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ESTABLISHED 1867
The Monetary Times
Trade Review and Insurance (chronicle
OF CANADA
Index to \'blume 65
Jiilv to Decenihcr, 1^^2(1
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The Monetary Times
INDEX TO \()LUME 65
July to December, 1920
A 1A..1:
Abitiui Bonds on the Market, Octo-
ber 15 42
Abitibi, Payment of Debentures, No-
vember 5 51
Abroad. Filling Orders for Custom-
ers. December 24 18
Accident and Sickness Insurance, Oc-
tober 29 20
Accountants, Dominion Association
of Chartered, September 17 5
Accountants of British Columbia.
Chartered, July 30 14
Adjusters, Regulation of Agents,
Brokers and. October 22 5
Advertising, Old and New Methods
in Bank, December 31 26
Advertising to Increase Bank Busi-
ness, July 23 5
African Representative, South, July
16 44
Agent and His Commission, The In-
surance (Editorial), September 3 9
Agents, Brokers and Adjusters, Re-
gulation of, October 22 5
Agents' Commissions, Insurance De-
partment May Limit, December 10 26
Agents, Suggests Stricter Licensing
of, October 8 14
Agricultural Insurance Company,
October 15 28
Alberta Associated Boards of Trade,
October 15 18
Alberta Association of Municipal
Districts, December 3 20
Alberta Bond Sales —
August 20 34
November 5 44
July 16 52
December 17 38
Alberta Flour Mills, Ltd., Novem-
ber 5 46
Alberta Institute of Chartered Ac-
countants, July 16 22
Alberta Local Sale, July 16 52
Alberta, Municipal Legislation in,
August 20 32
Alberta Municipalities to Hold Tax
Sales, October 1 36
Alberta Municipalities, Unioji of,
November 19 20
Alberta Oil Fields, Development of,
July 2 26
Alberta Savings Certificates, Decem-
ber 17 38
Alberta Tax Recovery Act, July 16 48
Alberta, The Financial Outlook in,
October 29 18
Alberta Towns and Their Problems,
Some, July 9 44
Alberta Towns Getting Back on
Their Feet, October 15 36
Alberta Universitv Bonds Go to U.S.,
September 24 40
Alberta Workmen's Compensation
Board, August 6 18
Algoma Steel Corporation, October
15 46
.Allen Iheatres, LimilecJ, ."<eploml)or
24
American and Canadian Mortality
Experience, July 23
American Cyanamid Company, Aug-
ust 27 — 1
American Industry, Condition of
(Editorial). October 8
American Industrv in Canada, July
23 -■
American Millers Tour Canadian
West, September 3
American Sales Book Shares Listed,
July 16
Anglo-British Columbia Packing Co.,
Ltd., December 3
Annual .Meetings —
Agricultural Insurance Co., Ltd.,
September 3
Agricultural Insurance Co., Ltd.,
December 17 1
Atlantic Sugar Refineries, Ltd.,
.August 13
Bank of Hochelaga. December 24
Bank of Montreal, November
26 14.
Bank of Montreal, December 10_
Bank of Toronto. December 24.
British Canadian and General
Investment Co., Ltd., July 9.27,
British Canadian Trust, Ltd.,
November 26
British Empire Trust Co., Aug-
ust 13 53.
Burglary Underwriters' Associa-
tion of Canada, July 9
Canadian Bank of Commerce,
December 24
Commercial Union Assurance
Co., July 30 24,
Consumers' Gas Co., Oct. 29—26,
Dominion Steel Corp., Ltd., and
Constituent Companies, July 2
Guardian -Assurance Co., Sep-
tember 17
Home Bank of Canada, July 2.
Lakc of the Woods Milling Com-
pany, October la
London and Scottish Assurance
Co.. July 23 18,
London Assurance Company,
July 23
London Assurance Corp. of Lon-
don, Eng., July 30
Merchants Bank Half-Yeariy
Statement, .November 26
Molsons Bank, November 12—26,
Motor Union Insurance Com-
pany, October 15 28,
Mutual Life and Citizens Assur-
ance, August 13
Norske Lloyd Insurance Co.,
.\upu.-<l l.'l
North British and Mercantile
Insurance Co., October 8
Northern Assurance Co.. Ltd.,
July 16 29,
Occidental Fire Insurance Com-
pany. October 8
U^;u^,.■ 1 .ou. V .....
October 22
Okanagan Loan and Investment
Trust Co., Octol>er 29
Phoenix Assurance Company.
Ltd., July 16 14,
Provincial Bank .Annual .Meet-
ing, August 13
Provmciale Banque, July 23
Quebec Railway. Light, Heat
and Power Co., September 17
Roval Bank of Canada, Decem-
ber 24 14,
Spanish River Pulp and Paper
Co., October 8
Sun insurance Office, July 16.12,
Trust and Loan Company of
Canada. July 2
Union Bank of Canada, Decem-
ber 24 14.
Union Insurance Society of Can-
ton, November 12
Wayagamack Pulp and Paper
Co., December 31 46,
Wellington Fire Insurance Co.,
Julv 16 ----
Western Canada Flour Mills Co.,
Ltd., November 5 25,
Whalen Pulp and Paper .Mills,
Ltd., July 16 36,
Winnipeg Hydro-Electric Sys-
tem, August 20 -12,
.Armour Company Leaves Cnnndn,
November 12 — ;-
A.ssessment Exemptions Still 1-
ing (Editorial), NovenilH-r .'
A.ssessment Values In.
tario .Municipalities,
.Assiniboia Bookinr I a
Atlantic Sugar I'
30
Atlantic Sugar K'
ust 13
Atlantic Sugar Refine.
vember 26
Atlantic Sugar to Pay ■
.30
August Bank Statf-nv
August Bond Sa^
Australian Tax
Are Handled,
Aujitralian War I"-.' . !'■ " " ""■
ial), September 17 ...
Automobile Insurance Pi
on, December 17
Automobih- In.iuranc
Octoliir 1'
Autoniobii'
Novtnil"
Automoltil'
tion, Deci ii'.i"
Barkua Gets Timber I
her 81
Backus Intert?!"* •""'
Reach A green
Baldwin.' to I'l
July 'J
Ariinn
Index
THE MONETARY TIMES
July 1 to December 31, 1920
I'ACJK
Bank Advertising, Old and New-
Methods in, December 31 26
IJank and Its Armament, The (Edi-
torial), December 24 10
liank Bonuses, October 29 -15
liank Branch Notes. See every issue.
Bank Business, Advertising to In-
crease, July 2.'i .'>
Hank Capital in Relation to Depos-
its (Editorial). October 22 'J
Bank Clearings (Monthly). .See first
of each month.
li'ank ClearinK.-; (Weekly). See every
issue.
Banker Goes to the United States
(Editorial), September 24 10
Bank, E.xtent of Liability on Guar-
antee to, .August 13 _I 38
Banking in Canada and .Abroad (Edi-
torial), December 10 9
Banking Operations in Canada, The
Cost of, October 1 26
I'anking, Success and Popularity in,
October 29 _.: ." 28
Bank .Votes Redeemed at Discount,
October 22 30
Bankruptcy Act Means Better Busi-
ness Methods, July 23 34
L'ankruptcy .Act, Operations of the
Dominion. December 17 7
Bankruptcy .Act, Trustees Under Do-
minion, July 16 30
Hank Shareholders. The Response of
(E('itoiial), November 19 9
Bank Statement, .August, October 8 22
Hank SUitemcnt, July, September 3 18
Hank Statement, June, July 30 18
Bank Statement, .May, July 2 5
Hank Statement, September, Novem-
ber .") 5
Bank Statement, October, December
„ '^ 5
Hank Statement, November, Decem-
ber 31 -
Bank Unable to Enforce Lien on
Shares, .August 6 ;J0
Barcelona Traction- Bonds, Decem-
ber 24 48
Beaver Motor Truck Stock, August
20 3g
Bell Telephone Company of Canada,
August 20 J2
Bell Telephone Co., .September 24-__ 46
Hell Telephone Company, October 1 46
Bell Telephone Company of Canada,
Ltd.. November 12 ,50
Beneticiarie.';. Legislation Respecting
Life Insurance, October 8 . 18
Hrneficiaries, Payment to Life Insur-
ance, December 3 ,30
Beneficiai-y Dies Before the Assured,
When, July .30 30
Beneficiary, When a Trustee Acts for
Infant. December 31 30
Benefit .A.-isociation.s, Solvency of
Fraternal, October 8 8
Blue Book, The Use of the Insur-
ance. .August 27 18
I'm:ii.1 .<( Commerce Activities Are
I October 29 7
■ide. Associated Ontario,
.; 26
Honri iiiiiler.K' Association, British
Coluiro ;i, .September 3 40
H.ind I>. .r-i. Now Stock Exchange
Membei-. II, •, ill,. I- 22 Id
lio-ul !...,•;, \v ! I . L'iilN- Authorized,
34
■ (Edi-
9
' ■'"•I ''.irkcl, Ihe t..' of the fEdi-
'.I'i.-ili, December '■'■ 9
Bond Sales, .Monthly — PA(iE
June, July 9 26
July, .August 13 22
-August, September 10 22
September, October 8 14
October, November 12 22
November, December 10 22
Bonds, An Epidemic of Lottery (Edi-
torial). October 29 9
Bond Selling, Local, July 23 46
Bond Selling, Local, October 8 42
Bond vs. -Stock Investment (Editor-
ial), July 9 9
Bonds, Will Not Accept Unguaran-
teed, September 24 7
Borrowing, Good Crops Will Stimu-
late, July 23 8
Brazilian Traction, Light and Power
Co., July 9 51
Brenner & Company, N., Toronto,
F'ailed, December 10 20
Britain's Example in Public Finance,
Great (Editorial), -August 27 9
Britain to Repay .•? 1.50,000,000, No-
vember 12 16
Britannia Mining and Smelting Co.,
.September 10 46
British Columbia Boards of Trade,
November 26 42
British Columbia Bond Dealers' As-
sociation. .September 3 40
British Columbia Bonds —
Julv 16 52
August 13 53
October 8 44
October 29 40
British Columbia Domestic Loan,
September 10 38
British Columbia Domestic Loan,
November 5 42
British Columbia Electric Railway,
Ltd., December 17 46
British Columbia Fire Insurance,
Centralized Control in, Decembers 48
British Columbia Health Insurance
Report, .September 17 16
British Columbia, Insurance Regula-
tions in, December 31 14
British Columbia Municipalities, Fin-
ances of, November 12 30
British Columbia Municipalities,
L'nion of, October 22 18
British Columbia Steel Rolling .Mills,
December 10 ,32
British Columbia Surplus, December
3 28
British Columbia Will Not Make
Grants to .Municipalities, Decem-
ber 31 .36
British Columbia, Workmen's Com-
pensation in, October 1 28
British Empire, Chambers of Com-
merce of, September 24 5
British Empire Steel Corp., Balance
Sheet, July 9 50
British Empire Steel .Stock Under-
written in London, October 1 42
British Industries Fair, 1921, Octo-
ber 16 14
British Labor's Constitutional Chal-
lenge (P'.ditorial), August 20 9
British Life Companies in Canada
(Editorial). July 30 9
British Report on Canadian Trade,
July 16 24
Brokers and Adjusters, Regulation
of .Agent.*;, October 22 5
Brompton Pidp and Paper Company,
December 31 45
Brompton Shareholders Approve
Capitalization Change, July 16 52
Building Permits (Monthly) —
.April, .lulv 9 22
.May, July 2.3 24
June. .Augu.-^t 20 24
July, September 17 22
August. October 22 22
PAGE
September, November 19 24
October, December 17 22
Burglary Inspectors, Beware of, De-
cember 3 22
Burnaby, B. C, December 10 36
Business Again Means Salesmanship
(Editorial), November 19 10
Business Failures in Canada for Six
.Months, July 16 42
Business Goes Abroad, Too Much,
November 19 8
Business Insurance, Openings and
-Methods for, -August 13 26
Business, Little Recovery in West-
ern, September 24 8
Business, Remove Luxury Tax to
Stimulate, December 24 7
C
Cabinet, Reorganized, Includes New
Ministers, July 16 6
Calgary, .Alta., August 13 46
Calgary and Vancouver and the Ex-
change Situation, August 6 34
Calgarv Finances Criticized, Novem-
ber i2 40
Calgary Finances Weak in Some
Spots, September 3 36
Calgary Light and Railway Depart-
ments, December 24 36
Calgary Revenue, November 19 32
Calgary Sells Treasury Notes, Sep-
tember 10 38
Calgary Sinking Fund and Tax Ar-
rears, September 10 36
Calgary Suggests Suit for Taxes,
December 17 36
Calgarv Utilities Face Deficit, Aug-
ust 27 36
Calgarv Will Lose in Paying Treas-
ury Notes, July 23 44
Calgarv Will Lose on Transfer, July
16 -1 50
Canada a Fortunate Nation, Novem-
ber 26 20
Canada at Washington, July 16 40
Canada Bread Co.. September 24 — 46
Canada Gas and Electric Power Cor-
poration, December 10 43
Canada Iron Foundries, Ltd., Decem-
ber 17 48
Canada National Fire Case, Novem-
ber 12 34
Canada Pi-aised by Bankers T,rust
Company, November 26 44
Canada's Debt to the United States
(Editorial), September 10 __ 10
Canada Should Not Stand Alone
(Editorial), November 5 10
Canada's Position in Iron and Steel
(Editorial), July 16 10
Canada Steamship Lines, Ltd., Julv
2 50
Canada Steamship Lines, Ltd., Julv
30 46
Canada, WHiat is Sold to the United
States, July 16 35
Canadian Bank of Commerce Super-
intendents, September 24 12
Canadian Car and Foundry <3o., Ltd.,
December 17 46
Canadian Gr^in Crops, Movement of,
October 1 6
Canadian Fur .Auction Sales Co.,
Ltd., Dec. 24 46
Canadian Life PajTnents in 1919,
September 24 18
Canadian Locomotive Co., September
17 46
Canadian Municipalities Convention,
Union of. July 30 5
Cianadian Northern Railway Borrows
in New York, November"26 36
Canadian Opportunities in Foreign
Trade, July 2 18
July 1 to December :J1, 1920
THE M O N E T A R Y T 1 M E S
Index
Canadian Pacific Railway Monthly
Report —
July 2 50
September 3 4(5
November 5 ~ 5D
December 3 "~ 4g
December 31 45
Canadian Securities in the United
States, August 13 50
Canadian Woollens, Ltd., August 6_ 46
Canadian Woollens, Ltd., August 13 54
Capital in Relation to Deposits, Bank
(Editorial), October 22 9
Capital Issues in the United King-
dom, July 2 24
Carriage Factories, Ltd., October 22 48
Cashing Cheques for Strangers, Julv
16 •_ 14
Caxton Insurance Co. of London,
England, December 10 34
Chain Stores a Speculation (Editor-
ial), November 19 10
Chambers of Commerce of the Brit-
ish Empire, September 24 5
Chartered Accountants Association,
Dominion, September 24 8
Chartered Accountants, Dominion
Association of, September 17 5
Chartered Accountants of British Co-
lumbia, July 30 14
Chemical Products, Ltd., Stock, Julv
2 ■_ 46
Cheque, Postdated, is Good Security,
August 27 J_ 30
Cheques for Strangers, Cashing, July
16 14
Clerical Machine, The Growth of
(Editorial), October 1 10
Coal Deals Put Through, August 20 28
Coal Minos, Ontario Companies Pur-
chase, October 15 34
Coal Output Has Been Steady, Do-
mestic, December 3 14
Coast Insurance Legislation Fore-
casted, October 1 45
Cobalt in the Making, Another (Edi-
torial), July 16 10
Cobalt Ore Shipments. See every
issue.
Cobalt Silver Production, July 9 14
Cockshutt Plow Company, Ltd., Oc-
tober 22 46
Collateral Security, Insurance Policv
as, September 10 "- 30
Collections Very Slow in the West,
July 16 I 8
College Man in Industry, The (Edi-
torial), October 29 10
Collingwood Shipbuilding Co., July
23 54
Colonial Loan Capital Reduction Ap-
proved, September 17 16
Colonial Loan Plans Capital Reduc-
tion, Scptoniber 10 . 8
Colonization Increases National
Wealth, July 9 20
Colonization Scheme, Development
of, August 27 16
Commerce Activities Postponed,
Board of, October 29 7
Commerce of the British Empire,
Chambers of, September 24 5
Commodities, Index Numbers of.
May, July 9 22
Commodity Prices and Security
Value.s, November 19 5
Comniunitv Loan and Investment
Company, October 22 20
Compensation Boards of Canada,
Workmon's, October 15 8
Compen.salion in Ontario, Work-
men's, July 2 20
Compensation Laws, Workmen's,
Comparison of, September 10 5
Confederation, The Fruits of (Edi-
torial), October 15 9
I'At.K
Coniagas Mines, Ltd., December 31 45
Consumer, Organized Protection for
the (Editorial), July 16 9
Consumers' Gas Companv, Decem-
ber 24 46
Continent, A Top-Heavv (Editorial),
October 15 9
Co-operative Union of Canada, July
23 55
Corporation Finance. See every
issue.
Corporation Securities Market. See
every issue.
Cory, Sask., Financial Report, July 9 40
Cost of Banking Operations in Can-
ada, October 1 26
Costs, A Time for Scrutinizing (Edi-
torial), November 5 ! 10
Costs, Knowledge of is Essential
(Editorial), September 24 10
Councillor Appeals. When the (Edi-
torial), December 10 10
Credit Stringency Felt Throughout
the West, September 3 12
Crop Acreage Reduced in 1920, No-
vember 5 14
Crop Conditions in Canada, July 23_ 36
Crop Condition in Canada, July 30_ 14
Crop, Excellent, Practically Assured,
September 3 14
Crop Financing a Problem for Banks
(Editorial), July 30 9
Crop, Optimism Prevails Regarding
Western, July 16 1- 38
Crop Outlook Continues Good, July 2 44
Crop Outlook, No Change in, August
6 14
Crop. Prospects for More Than Aver-
age, July 9 T
Crops, August Weather a Boon to
Canadian, September 10 _. 12
Crops, Good, Being Garnered in.
September 17 "i
Crops Holding Up Well in the West.
August 20 1-1
Crops, Movement of Canadian Grain,
October 1 , "
Crops Nearly a Failure in Brandon
District, October 15 S
Currencies, Depreciation in Recog-
nized, October 1 1-1
Customers Abroad, Filling . Oi-ders
for, December 24 18
Customs Purposes, Valuation for, Oc-
tober 29 It
D
Death Duties and Life Insurance,
Higher (Editorial), August 6 10
Debt Repayment by Elqual Annual
Instalments, October 15 5
Debt Will bo Refunded, N'atipnal, De-
cember 31 8
Deflation, The Danger of Too Rapid
(Editorial), December 3 10
Delusion, War Time Expansion Was
Largely a, December 24 S
Demurrage, Some Suggestions (Edi-
torial), October '22 10
Deposits, Bank Capital in Relation to
(Editorial), October 22 9
Detroit United Railway, October 29. 46
Dominion As.-Jociation of Fire Chiefs,
August 13 8
Dominion Bank Half-Yearly State-
ment. July 30 22
Dominion Bankruptcy Act, Opera-
tions of the, Dcrombor 17 7
Dominion Enginoi-ring Woi-ks Stock,
July 9 -16
Dominion's Financial Statement —
July '23 24
September 10 40
Soptemher 24 2->
October 29 24
November 19 24
December 17 '2i
I-. • . ''■^'•'
Uommion houndrios & Steel Offer
Stock-
December 10 42
December 17 m
Dominion Gla.<s Company, Ltd., De-
cember 17 ". 4(J
Dominion Iron and Steel Action, Oc-
tober 1 30
Dominion Park Co., Ltd.. November
19 42
Dominion Power Bonds, November 19 38
Dominion's Funded Debt, Reasons for
Fluctuations of, December 17 2l
Dominion Shipbuilding Co., Why it
Failed, September 10 1 46
Dominion Shipbuilding Co. Wound
Up, August 6 46
Dominion Steel Building Up Euro-
pean Market, September 17 32
Dominion Steel Purchases Cement
Plant, August 13 40
Dominion Steel Shareholdei-s Ratify
Merger, July 23 ."_ 55
Dominion Telegraph Co., Ltd., Julv
30 •_ 46
Dominion Trust Liquidation, Septem-
ber 17 30
Dryden Pulp and Paper Stock Issue,
September 10 42
Dutch Loan Companies Amalgamate,
August 20 24
E
Earning Capacity of the Average
Man (Editorial), August 20 10
Eastview Bookkeeping Negligent, .
November 12 40
Economic Aspects of Immigration
Problem, September 17 26
Economic Platitudes. A Repetition of
(Editorial), December 3 9
Edmonton. Alta., December 31 30
Edmonton, Dunvegan and British Co-
lumbia Railway, July 2 61
Edmonton Financial Statement for
Half Year, September 3 36
Edmonton, More Short-Term Finan-
cing for, December 3 8
Edmonton Redeems Debentures, Julv
23 •_ 44
Edmonton Sells Short-term Notes in
U.S., September '24 40
Edmonton's Financial Problem, Sep-
tember 24 36
Edmonton's Interim Statement, De-
cember 3 36
Edmonton Tax Collections, October 1 36
■education's Value to Insurance Men,
October '22
Efficiency, Just Everyday ■ '
iai), September 10
Electric Lines, Ontario May 1 ui-
chase, July 9 'li^
Electric Station Industry in Cnnnda,
Central. August G 21'
Embargo an InefTect)- ■•
(Editorial), Octob. ■ '.<
Emigrants Looking to < :iii:im:i, r.uro-
pi-an, October IB 7
Empire, Bon<ls of the (EHitorinU.
September 24 ''
Empire Casualty l■onlp;ln^.
her 3 '_
Emplo.vmenl, Problems of I'lhci. ■ -i-n,
September 24 16
Employers' Liability, A fryf on Or-
tober 15
Equitable Life Fom)'
toiler 1
Equitable Life Wit I
Canada, August 27
"Equitablo" Not an In
Mark, November IJ
Equitable to Write N
ing, Ontario. Octobi 1
Esquimau in Good I'dmilih i iian-
cially, August 6 36
T 11 E M O N E T A li V T 1 .M E S
July 1 to December :;i. 1920
Estate, Contract Relating to Manage-
ment of, August 20 26
Estate, Division of by Trustee, July
2 31
European Emigrants Looking to Can-
ada, October 15 "
Exchange. Discount and Premium,
October 29 20
Exchange Quotations. See every
issue.
Exchange Within the Empire, Octo-
ber 22 20
Expansion Was Largely a Delusion,
War Time, December 24 '>
Export Field, How the Manufactur-
er Can (!et Into the, November 19 18
Exporting, Korcign Agents of Manu-
factureis, .November 26 5
Exports, Financing of. December 17 18
Exports, .Necessity and Opportunity
for, November 12 •">
Ex ports -.Sales in Foreign Countries,
Organization for, December 3 18
Express Kates, Application for High-
er, July 30 30
Express Service, Hoards Jurisdiction
Over, October 15 30
Kxtravagance, Trade Reversal Due
to, August 13 — 7
F
F'ailures in Canada for Six Months,
July 16 42
I'ailures, Business (Weekly). See
every issue.
Famous Players Canada Corpora-
tion, December 3 '16
Famous Players Canadian Corpora-
tion, December 24 46
Farm, Co-operation from the (Edi-
torial), .September 17 10
Farmers Hit By Drop in Wheat,
Western, November 12 7
Federal Tax Collection Machinery
Impioving, July 3(» 6
Field Man, The Ontario Insurance
Department and the. .August 20 IS
Finance, CIroat Britain's Example in
Public (Editorial), August 27 9
F'inancial Outlook in .-Mberta, The,
Octoh.'r 29 18
Financing F.xports, December 17 18
Financing Irrigation Schemes. Octo-
ber 1 24
Fire, Action Regarding Suspicious,
December 17 30
Fire and .•Vccident Prevention Meas-
ures, October 15 20
Fire Chiefs, Dominion Association of,
August 13 8
Fire Companies, Judgment Against,
Novembers 34
Fire Companies Win Before Privy
('ouncil, July 9 SI
Fire Engineers. International Asso-
ciation of, July .'1(1 7
F'ire Insurance Agents, Some Sug-
gestions to, November 26 18
Fire Insurance. Ci-ntralized Control
in British Columbin, December 3.- 48
Firr Insurance, Fifty Years of, De-
ccmber 31 _. '26
I'iii- Insurance Methods Criticized,
October 15 4."^
Fire Insurance and the Fishing In-
dustry. November 6 18
Fire Insurance, The Cost of (Editor-
ial), October I 9
I ,, . I,, ,1 ,„, , 11, ,. (',,..1 ,.f ( I, ti.licr
22
10
laims, August 6
Fire Losses in Ontario, July 9 19
F'ire Losses (Monthly) —
June, July 9 14
July, August 13 24
August, September 10 24
September, October 8 30
October, November 12 24
November, December 10 24
Fire Losses, The Distribution (Edi-
torial), August 6 9
Fire Prevention League, Ontario, Oc-
tober 8 -.— 52
Fire Prevention Plans, Mutual Un-
derwriters', August 6 24
Fire Rating, Efforts to Make Uni-
form, July 16 60
Fires, Recent. See every issue.
First Mortgage Bonds, Holder Must
Comply, November 12 34
Fisheries Production in Canada, De-
cember 31 14
Fishing Companies Go Down, New-
foundland, December 10 24
Fisheries Conference, Canadian-
American, July 30 26
Fisheries Produced Sixty Millions,
Canadian, July 23 20
Fishing Industry, Fii'e Insurance and
the, November 5 18
Flour .Mills Operating, October 1 32
Foreign Agents of Manufacturers,
.Supporting, November 26 5
I'oreign Trade (Series of Articles) —
>iovember 12 5
November 19 18
November 26 5
December 3 18
December 10 18
December 17 18
December 24 18
December 31 18
Foreign Trade, Canadian Oppoi'luni-
ties in, July 2 18
Foreign Trade, Financing (Editor-
ial), December 17 9
Foreign Trade, F'urther Points in
Pi-omoling, December 31 18
Foi-eign Trade, Government .Assist-
ance in (Editorial). October 22 9
Foreign Trade, Is Our, Increasing"?
October 29 5
Forests, Facts About Disappearing
(Editorial), August 6 10
Fort William Debenture Debt, Sep-
tember 24 36
Fort Wiilliam Pulp and Paper Co.,
July 23 40
F'ort William Pulp and Paper Co., Oc-
tober 22 32
Foundations of Progress and Pros-
perity, July 16 26
Eraser Companies, Ltd., October 29 32
Fraternal Benefit Associations, Solv-
ency. October 8 5
Fraternal Benefit Societies Out of
Business, July 30 ^_. 8
Fraternal .Societies' Ontario Business
Decrea.ied, November '26 6
Freight Rates to Canada, Prepay-
ment .Suspended, .August 27 48
French Si>curities to Be Offeied Here,
October 15 .'58
Fur Pack. .Another I^arge, .September
24 32
Fur Pack in North. (Jood, September
3 32
Fur Shipment of Revillons. Octo-
ber I 32
Gait Hyiiro Profitable. December 31 36
Gatineau X'alley Development and
Directors, July 16 .i9
Gold Boom, Will it Help? November
12 28
Gold Reserves, Paper Circulation
and. August 6 26
J'.VGK
Gold Situation, The, October 15 20
Goods Abroad, Selling Canadian
(Editorial), November 12 9
Government and Municipal Bond
Market. See every issue.
Govemment Costs, WTiat (Edit), De-
cember 31 , 9
Government Fire Insurance, Will Re-
commend, October 1 8
Government Publications on the De-
ciea.se, August 27 8
Grain Crops, Movement of Canadian,
October 1 5
Grain Exchange President Welcomes
Open Trading, September 10 12
Grain Harvest, A Bounteous (Edi-
torial), September '17 9
Grain. Hedging Facilities Market-
ing, November 5 49
Grain Marketing Facilities, Evolu-
tion of, September 10 28
(Jrain Situation to Date, Crop Pro-
duction, November 12 14
(Jrain Yield Far Ahead of Last
Y'ear, September 24 14
Granby Consolidated Mining, Smelt-
ing and Power Company, Decem-
ber 31 _■ 45
Grand Trunk Railway, December 24 46
Grand Trunk Railway Borrows in
New Y'ork, October 8 46
Greater Winnipeg Water District
Assets, August 6 34
Greater Winnipeg Water District,
Man., July 2 40
Greater Winnipeg Water District
Securities, October 29 40
Great Lakes-St. Lawrence Congress,
August 6 20
Great, Secrets of the (Editorial), Oc-
tober 8 10
"Great We.st Bank" Shares to Be
Sold, August 20 7
Greene Co. of Canada, H. V., July 9 6
Grocer on Prices, A Wholesale
(Editorial), September 3 10
Group Insurance, December 24 24
(iroup Insurance Continues in Favor,
August 20 16
Group Insurance, November 5 3li
Guarantee to Bank, Extent of Lia-
bility on, August 13 38
H
Halifax Explosion Ca.se Finally Set-
tled, October 8 'L 34
Halifax Shipyards, Ltd., December
17 46
Hamilton Plate Glass Manufactory,
November 19 28
Hands Across the Sea (Editorial),
November 19 9
Hardware and Implement Under-
writers, December 24 34
Harvesting in Full Swing in the
West, August 27 14
Health Insurance Report, British Co-
lumbia. September 17 16
Hollinger Consolidated Gold Mines,
Ltd.. October 8 50
Housing Problem, A New Proposal
on the (F'ditorial), November 12_ 10
Howard Smith .New Common Stock,
October 29 42
Howard Smith Paper Mills Bond
Issue, July 2 . 46
Howard Smith Paper .Mills Stock,
October 22 42
Hudson's Bay Co., July 30 48
Humboldt to Come Under Investiga-
tion. October 22 36
I
Illinois Traction Co., July 16 5S
Immigration Problem, Econo"-'' *-
pects of. September 17 _
July 1 to December :il, 1920
THE -MONETARY 1 I .M E S
I'AGK
Imperial Tobacco Company of Can-
ada, December 10 .' 43
Income Assessment of Oil and Gas
Company, July 16 42
Income Insurance, September 10 18
Income Tax Cases, Jurisdiction on,
November 19 26
Income Tax, Keep Accounts for
(Editorial), December 31 10
Incorporation on Contract, Effect of,
October 22 30
Index Numbers of Wholesale Prices —
August 6 22
September 17 22
October 15 22
December 17 22
December 24 24
December 31 24
Individual Responsibility Must be
Kept (Editorial), August 6 10
Industrial Association Congress,
Niagara District, August 6 5
Industrial Development, News of.
See every issue.
Industrial Research Institute Advo-
cated, .August 6 32
Industrial Situation and Outlook,
The (Editorial), December 31 9
Industrial Workers, A Savings Sys-
tem for (Editorial), December 17_ 9
Industries, Trade Depression Affects
Canadian, November 5 36
Industry, Condition of American
(Editorial), October 8 9,
Industry, The College Man in (Edi-
torial), October 29 10|
Infant Beneficiary, When Trustee
^Acts fgr^necpmber 31 -^^^- 30(
Iron and Steel, December 31
Insurance Agent and His Commis-
sions. The (Editorial), September
3 9
Insurance Commissions to be Lim-
ited, December 31 16
Insurance Regulations in British
Columbia, December 31 ^ 14
Instalments, Debt Repayment by
.A.nnual, (jctober 15 5
Insurance Agents, Brokers and Ad-
justers, Regulation of, October 22 5
Insurance Blue Book, The Use of
the, August 27 18
Insurance Claims, Fire Losses and
Fire, August 6 6
Insurance Companies Build Up Pro-
vince, July 9 18
Insurance Companies, Report on
Quebec, December 17 8
Insurance Companies Secure Domin-
ion Licenses, August 20 22
Insurance Department and the Field
Man, The Ontario, August 20 18
Insurance Department May Limit
Agents' Commissions, December
10 26
Insurance in Manitoba, October 1 — 30
Insurance Law, Uniformity in (Edi-
torial), September 10 10
Insurance Legi.slation Forecasted at
the Coast, October 1 445
Insurance Licenses Issued in June,
July 16 22
Insuiancp Licenses, July, August 20 22
Insurance Licenses Issued in August
and September, September 24 20
Insurance Licenses in October, Oc-
tober 29 22
Insurance Men, Education's Value to
October 22 '■'
Insurance Money, Distribution of,
September 24 3'*
Insurance, Openings and Methods
for Business, .\ugust 13 2(>
Insuiance Organization in Canada
(Editorial), December 17 K'
fAGK
Insurance Policy as Collatei-al Se-
curity, September 10 30
Insurance, Practice in .\utomobile,
October 15 14
Insurance Proposals by British Co-
lumbia Superintendents, Novem-
ber 12 52
Insurance, Rise and Progress of
Canadian Liie, December 10 5
Insurance Trade Mark, "Equitable"
Not an, November 12 8
Insurance Training Required (Edi-
torial), November 12 10
Insurance, United States War Risk
(Editorial), October 29 10
Insurance World, Mergers a Feature
in, July 23 28
International Association of Fire
Engineers, July 30 7
International Petroleum Co., Ltd.,
August 27 46
Interprovincial Brick Co. of Canada,
September 24 46
Investment, Bond vs. Stock (Edi-
torial), July 9 9
Investments m Public Ownership in
Canada, November 5 26
Investment Situation in Winnipeg,
Good, December 24 8
Iron and Steel Action, Dominion, Oc-
tober 1 30
Iron and Steel, Canada's Position in
(Editorial), July 16 10
Irrigation Bonds, July 2 42
Irrigation Bonds, October 15 38
Irrigation Bonds, November 5 42
Irrigation Bonds, December 31 38
Irrigation Bonds in January, Decem-
ber 10 38
Irrigation Schemes, Financing, Oc-
tober 1 24
K
Kaministiquia Bonds Offered, July 30 45
Kaministiquia Bond Offering, Aug-
ust 13 50
K. and S. Tire Rubber Co. Bonds, De-
cember 17 45
Kerr Lake Mines, Ltd., November
12 50
L
Labor's Constitutional Challenge,
British (Editorial), August 20 9
Labrador Pulp Company Organized,
September 24 32
Lake of the Woods .Milling Company,
October 8 -— 50
Lake St. John Pulp and Paper Co.,
September 24 32
Lake Superior Corporation, August
20 12
Lake Superior Corporation, Septem-
ber 3 46
Lamson and Hubbard Canadian
Stock Offering, July .30 42
Land Purcha.ser Held to Agreement,
December 10 30
Land Title Case. Quebec Province
Win.s, December Id 30
Latchford Revived, November 19 — 32
Laurentide Co., Ltd., September 17. 48
Laurentide Prospects Illustrated at
.Annual .Meeting, October 1 32
Legislation Was .Not Remarkable,
Parliamentary, July 9 5
Lethbridge Northem Irrigation
Bonds, December 31 38
Liability on Guarantee to Rank, Ex-
tent of, Augu.st 13 38
Liability on I'npaid Loan .Shart-K.
.September 3 '"
Licensing of .Ageir
Stricter, October 8
Lien on Shares. Bank I. iuum.- 1.. i...-
forcc, .Augu-st 6 3ii
Life Agency Officers, Asoooiation of,
Novcml" I -'"
Lif. ■ .1.-, :i .S.,ciu.
Ji..
Liu K>cpev''-r
(K.i i..r,;ii|. A ■ ■• ,_,
Life C^Jmpanie^
(Editorial), J . 9
Lite Insurance li. n,-:
lation Resptcling, C 18
Life Insurance Hen. •
ment to, Decen ■ ._ 30
Life Insurance, 1 Duties
and (Editorial, 10
Life insurance uiisi'i \a'. -un> .Some,
July 16 20
Life Insurance on the harm, .August
13 18
Life Insurance Policy, Selection of a,
August 13 34
Life Insurance, Postal, December 3_ 34
Life Insurance Record, New (Edi-
torial). July 2.3 10
Life Insurance, Rise and Propre.'ss of
Canadian, December 10 5
Life Insurance, Succession Duties
and, August 27 5
Life Insurance Taxes in Quebec,
August 27 12
Life Insurance, Unlicensed —
November 19 8
December 3 34
Life Payments in 1919, Canadian,
September 24 18
Life Underwriters' Assoriatinn 1920
Convention, A . : 5
Life Underwrite _ ■
Convention, .A 26
Life Underwriter^ ( urn . m ..n, The
(Editorial). .August 27 9
Life I'nderwriting, Uniformity in,
July 9 8
Lignite Plant Will Be Operating
Soon, December 24 "2
Linen Industry, Oppo
September 17
Loan and Trust Compai
port, December 10 .
Loan Companies Amalgamati .
Dutch. .August 20 . 1; i
Loan Companies E.ni- " .i
Demand, October 2'.' 47
Loan Company A i-
Quarter Billion, Am .'>
Loan .Shares, Liabili' i.
September 3 30
Local Bond .Sellim
July 23 . 46
July .'JO __ .fS
.S.|);ember 17 10
Septi-mber 14 .. .'ts
Ortober 1 _. .ts
October 29 .38
December 10 '.'.H
Lwal .Selling I'laiiiu .i
vember 19 .
Loew's Theatn
17 .
Lor
p.
I.oii.i. '
lA)ttei.\ IJun.l.-, An K;
tobcr 29 -
Lumber Situation Tre.
U8t 20
Luxury Tax to .Slini';
F{eniove, December- ;'
M
.Maclewl, .Altii..
.Mammoth in ll ■
(Editorial). I
Index
T HE M 0 N E T A K Y T 1 M E S
July 1 to December 31, 1920
Manitoba Municipalities, Union of,
December 17 20
Manitoba Provincial Savings Banks,
July 16 24
Manitoba Rural Credits, Two Million
Loaned Under, December 17 8
Manitoba's Election (Editorial), July
9 10
Manitoba Sells More Securities, No-
vember 19 36
Manitoba Steel Rolling Mills, Sep-
tember .'! 32
Manitoba to Insure Civil Servants,
December 24 24
.Manitoba Workmen's Compensation,
December 31 42
.Manufacturers, Supporting Foreign
Agent.* of, November 26 5
.Munouan Pulp and Paper Co., Ltd.,
September .'5 32, 42
.Marconi Wireless and Canadian
General Electric .Merge, October I 4()
Marconi Wireless Telegraph Co. of
Canada, July 2 50
.Marine Insurance, Policies and
Claims, November 12 18
Maritime Board of Trade Meeting,
October 15 18
.Maritime Provinces Supporting Pro-
tective Tariff, November 12 49
Massey-llarris .Securities Offered
.■\cro.ss tlie Line, October 8 46
.Match .Manufacturing Co. to Locate
. Here. October 29 32
May Bank Statement, July 2 5
Mental Reserve, The Underwriters',
August 6 26
Merchant Marine and the Orient,
July 30 32
M<'rchant.s Marine to Do Business
Here, December 24 34
.Mergers a Feature in the Insurance
World. July 23 28
.Mexican Light and Power Co., Ltd.,
October 29 . 46
.Mexicans Want Canadian Trade, July
16 46
.Middleman, Co-operation or the?
(Kditorial), Julv 16 . 9
Mi<l<lle.sex County, Ont., July 2 ___ 40
.Middlesex Treasurer Suggests Elim-
ination of Borrowing bv Higher
Tax, July 23 45
Miner.-i' Strike, The Threatened (Edi-
torial). Octol>er 1 10
Mining Institute Meeting, Canadian,
November 5 38
Monev Bv-laws, The Defeat of (Edi-
torial), July 30 10
Money Conditions Continue String-
ent (Kditorial). July 23 10
:Money, Where Has it Gone? (Edi-
torial), November 5 9
Montreal and Quebec Savings Insti-
tutions (Monthlv Heport) —
Julv 2 21
July .'JO 24
.September 3 24
October 8 30
November 5 24
December 3 24
December 31 22
Montreal and Street Railway, Julv
16 --- 48
Montreal Debt, How It Has GrowTi,
(iitober 8 40
Montreal Tramway.s Co.. July 'iS-.. 51
Miinlieal Tax ("ollections, November
lir, .32
Montv;i! Tr.iinways Co., August 27 46
Montreal Tramwavs Companv, Octo-
ber 1 .. - ■ 46
Montr<':iI 191!> Finances, Augu.st 27- .36
^l^^c>se Jaw Finances Reviewed, Oc-
-.I'.r ir. 38
M.>..-. .Taw's Statement of Finances.
December 17 . 36
l'.\(.K
.Mortality E.\perience, American and
Canadian, July 2o ?>8
Mortality Experience Now Favor-
able (Editorial), .-August 13 10
Mortgage and Execution; Precedence
of, October 29 30
Mortgage, Interpretation of a Clause
in a, November 26 26
Jlount Roval Hotel Bonds, Decem-
ber 24 42
Municipal Association Convention,
Ontario. September 17 20
Municipal Bond Market, Government
and. See every issue.
Municipal Finance, News of. See
every issue.
Municipal Finances of Alberta, Ap-
prehension of, October 29 14
Municipal Finances, PFOvincial and,
July 16 18
.Municipalities' Convention, Quebec
Union of, September 17 18
.Municipalities' Convention, Union of
Canadian, July 30 5
Municipalities Feeling Shortage of
Capital, Western, November 12 — 44
Municipalities Had Successful Year,
Saskatchewan, December 3 22
Municipalities Seeking New Source
of Revenue, November 5 40
Municipalities, Union of British Co-
lumbia, October 22 18
Municipalities, Union of Nova Sco-
tia. September 3 8
Municipal Legislation in Alberta,
August 20 32
Municipal Taxation, Incidence and
Principles of, September 3 26
.Municipal Watchword, Caution the
(Kililorial), July 2 10
Mutual Finance Corporation, July 9 49
Mutual P'inance Corporation, Decem-
ber 3 42
Mutual Underwriters' Fire Preven-
tion Plans, August 6 24
N
National Debt Will Be Refunded,
December 31 8
National Electric Lines, Ontario May
Purchase, July 9 28
National Revenue Coming in Freely,
September 17 I_ 16
National W'ealth, Colonization In-
creases, July 9 20
Netherlands Representative Here,
October 22 32
New Brunswick Bonds Sold, Decem-
ber 31 40
New Brunswick Telephone Company,
November 5 .ifi
Newfoundland Fishing Companies
Go Down, December 10 21
Newfoundland Pulp Resources, De-
velop, September 17 32
Niagara District Industrial Associa-
tion Congress, August 6 5
Niagara Falls Annual Statement,
October 1 36
Niagara Falls Power Co., July 2 50
Northwest Ontario, A New Organi-
zation for, December 3 28
Norwegians Investigating B. C. Tim-
ber, October 22 32
Nova Scotia Bond.s —
August 13 53
November 12 .14
Nova Scotia Municipalities, Union of.
September 3 ._• S
Nova Scotia Steel and Coal Co., Julv
2 ■_ ,-.0
Nova Scotia Steel and Coal Devel-
opment. August 6 32
0 I'AUE
Ogilvie Flour Mills Co., Ltd., October
22 46
Oil and Gas Company, Income As-
sessment of, Septembei- 24 30
Oil Fields, Development of Alberta,
July 2 26
Oil, May Prospect Forests for, No-
vember 12 '- 6
Oil Strike at Fort Norman, October
22 28
Ontario Assessment and Population.
July 2 22
Ontario Associated Boards of Trade,
December 3 26
Ontario Bonds —
July 30 38
October 8 44
October 22 . 38
November 19 36
December 3 40
Ontario Dividends from Stock Divi-
dends, July 16 48
Ontario Fire Insurance Agents' As-
sociation, November 5 52
Ontario, Fire Losses in, July 9 49
Ontario May Purchase National
Electric Lines, July 9 28
Ontario Municipal Association Con-
vention, September 17 20
Ontario, New Organization for
Northwest, December 3 28
Ontario Power Negotiations Success-
fully Concluded, December 10 14
Ontario's Rights to Water Powers,
August 27 45
Ontario Steel Products Co., Ltd.,
July 23 54
Ontario Timber Probe, Interim Re-
port on, November 12 14
Ontario Will Investigate Rural
Credits, July 9 18
Opportunities in Foreign Trade,
Canadian, July 2 18
Orient, Merchant Marine and, July
30 32
Ottawa Disposes of Bond Issue, Oc-
tober 1 38
Ottawa Power Bonds, October 8 46
Outlook, Industrial Situation and
(Editorial), December 31 9
P
Pacific Coast Fire Insurance CIo., Sale
of, November 12 12
Paper Circulation and Gold Reserves,
-August 6 26
Paper Enterprise Under Provincial
Conti-ol, October 8 36
Paper Securitv, Selecting a (EMitor-
ial), October 22 10
Parliamenlarv Business Closed at a
Ru.sh, July 2 S
I'arlianientary Legislation Was Not
Remarkable, July 9 5
Pension Bill, Huge and Growing,
September 3 7
Personal .A.ction, Taxes Recoverable
by. December 10 30
Personal Liability of President of a
Company, August 27 30
Personals. See every issue.
Pig Iron Production Falling Off,
.\ugust 27 28
Policy is Cancelled, WTien, Novem-
ber 26 26
Political Partv, A New Name and an
Old Platform (Editorial). July 9- 9
Port Arthur Shipbuilding Co., Ltd.,
October 1 46
Port Arthur Shipbuilding Company,
October '22 .32
Port .'\rthur Shipbuilding Company.
Novem1>er 19 42
Postdated Cheque is Good Security,
August 27 30
July 1 to December 31, 1920.
T H E M O N E T A R Y T I M K S
Power Negotiations Successfully
Concluded, Ontario, December lol 1-1
Power Shortage Xot Yet Relieved,
November 12 36
Power Shortage, Relief in, December
3 32
Precedence of Mortgage and Execu-
tion, October 29 30
Preferred Stock Issues Thirty-seven
Millions, October 15 I 24
Price Bros. Capital Adjustment, Oc-
tober 15 42
Price Bros. Reorganization Approv-
ed, October 29 42
Price Reduction, Factors in (Editor-
ial), November 12 9
Price Reductions Have Been Exag-
gerated (Editorial), July 2 10
Prices, Publicity and (Editorial),
August 13 9
Prices, Public Opinion and, Decem-
ber 3 22
Prices, Railroad Rates and (Editor-
ial), September 3 10
Prince Rupert Annual Statement,
September 10 36
Progress and Prosperity, Founda-
tions of, July 16 26
I'ropertv Burned, Ownership of, Oc-
tober 22 _. 30
Property Listed in Schedule to Will,
July 23 38
Property Subject to Provincial Suc-
cession Duties, December 24 30
Provincial and Municipal Finances,
July 16 18
Provincial Finances, July 2 14
Provincial Paper Bonds, October 8_ 49
Provincial Paper Stock Called, Aug-
ust 20 38
Publications on the Decrease. Gov-
ernment, August 27 8
Public Ownership in Canada, Invest-
ments in. Novenjber 5 26
Public Utilities, Can They Be Oper-
ated at Cost? July 16 5
Public Utilities in Canada, August 13 20
Public Utility Rates and Costs (Edi-
torial), December 10 10
Public Works, Unemplovment and
(Editorial), October 8 -" 9
Pulp and Paper Developments, Prin-
cipal—
Julv 9 36
July 16 44
Julv 23 1 40
July 30 ■ 32
August 20 28
August 27 32
September 3 32
September 10 32
September 24 32
October 1 32
October 8 36
October 15 32
NovcmbiM- !;i 28
Decenibei- ^l 32
Pulp and Paper, Our Fortune in
(Editorial), August 13 10
Pulp Mill at Prince George Practi-
cally Assured, December 24 32
Pulp Mill for British Columbia, De-
cember 3 32
Q
Quebec as an Economic Unit (Editor-
ial), August 13 9
Quebec Insurance Companies, Re-
port on, December 17 8
Quebec, Life Insurance Taxes in,
August 27 12
Quebec Loan, August 6 — 38
Quebec Municipalities' Convention,
Union of. September 17 18
Quebec Railway, Light, Heat and
Power Co., September 24 46
Quebec's Surplus Over Million Dol-
lars, .-Viigust 20 24
R
Railioail Karnings. See every issue.
Railroad Rates and Prices (Editor-
ial), September 3 lo
Railroad Rate Controversy, The (Edi-
torial), .August 20 ". 9
Railroad Rates Are Too Low (Edi-
torial), July 23 y
Railroad Rates Increased, Public
Regulation Now Being Tested
(Editorial), September 10 0
Railroad Rates May Be Applied for.
Higher, July 16 8
Railroad Situation Still Tangled
(Editorial), October 8 10
Railway .Appeal Not Likely to Suc-
ceed, September 17 1 6
Railway Issues, Yield on, July 16.- 54
Railway Question Goes Back to
Board, October 8
Railways, Rates Increased, Future
Assured, .September 10 16
Rating, Efforts to Make Rating Uni-
form, July 16 . 60
Realty Values, Rentals and (Editor-
ial), October 1 10
Recent Fires. See every issue.
Reciprocity's Effects Would Now Be
Different, December 17 28
Red Deer Financial Statement, De-
cember 31 36
Rentals and Realty Values (Editor-
ial), October 1 10
Regina Finances in 1919, July 23 44
Regina's Interim Statement, Decem-
ber 3 .36
Regina Sinking Fund, Julv 16 48
Regina Utilities Deficits, October 1_ .36
Regina Will Do Its Own Financing,
July 16 57
Regulation Measure Gone, Another
(Editorial), December 24 9
Reindeer. Domesticate Canadian, Oc-
tober 22 .34
Revenue Coming in Freely, National,
September 17 14
Revenue from Wheat Crop, Canada's,
Julv 2 9
Riordon Co., Ltd., July 16 59
Riordon Co., Ltd., Bonds In New
York, December 24 42
Rural Credits, Ontario Will Investi-
gate, July t> 18
Rural Credits, Two .Million Loaned
Under, December 17 8
Russell Motor Car Company, Ltd.,
October 22 46
Russian Soviet Will Pay in Gold,
July 23 - 53
Saguenav Pulp and Paper Co., July
.30 — ■- JS
Saguenay Pulp and Paper Co., Aug-
ust 13 56
Salesmanship, Business Again Means
(Editorial), November 19 10
Salmon Pack of British Columbia,
Record, .August 20 28
Saskatchewan Boards of Trade, July
,30 28
Saskatchewan Bonds Sold, Septem-
ber 24 38
Saskatchewan Domestic Farm Loan
Bonds, October 29 88
Saskatchewan Domestic Farm Loan
Bonds, October 8 42
Saskatchewan Domestic Farm Loans
Debentures, December 17 40
Saskatchewan, Financial Centrea of,
October 22 46
of
Board
^iat«ment, De
Saskatchewan Has Surplus, But Debt
Increase, December 17
Saskatchewan Municipalities Conven-
tion, Union of, July 23
Saskatchewan .Municipalities Had
Successful Year, December 3
Saskatchewan, New Townsiti-s, Julv
9
Saskatchewan School m
Debentures, July 9
Saskatchewan's Debt, i nn t;, . i^-iii
Millions, November 28
.'Saskatchewan 'I'owns Financial Con-
dition of . ' ' ' '
.Saskatoon
Trade, 1'
Saskatoon's
cember .'J
Savings System for Industrial Work-
ers, .A (Editorial), December 17
.Secessionist Movement in Canada, A
(Editorial). December 3
Secretaries, Institute of Company,
October 22
Securities in the United States,
Canadian, August 13
.Security Bond, Limitation of, Sep-
tember 17
.Security Offerings, Control of, July 9
Security, Selecting a Paper (Editor-
ial), October 22
Selling Canadian Goods .Abroad (Edi-
torial), November 12
Sherbrooke, Bonds Sold, October 8..
Sherwin-Williams Co.. July 16
.Sherwin-Williams Co. of Canada.
Ltd., November 26
Sickness Insurance, Accident and,
October 29
Silver Production of Cobalt. ,lii'y 0
Single Tax, Toronto'.-
Commission and, No^ '
.Soldiers' Insuranc A pi
cember 3
.Southern Canada
ber 31
South Vancouver
October '22
.South Vancouver
penditure, Jul.\
.Spain Interest in
July in
.Span
.Span
Seplciiil"-!- ■:
SpanLs-h River Stock, Additional
Called, July "0
Spanish Rr
20
.Standard P..
cember lu
Standard Relianr.
tributcd, Novi n
Steel Co., Canadian L. U.. .1
Steel Corporation, British 1
Balance Sheet, July 9
Steel Industry at the '
New, N'ovenilior 26
Steel Industry, Pes.-.:: . .
October 16
Steel Industr>-, The .Mammot>
(Editorial), Jul- "
Steel Industry V
November 12
Steel, Iron and, 1 '
Stool Market in li. ( ..
September 10
Stool Market in !'
ber 26
Steel Strike Aw
December 3 .
St. Lawrence Fl'
ber 16
Stock Issues, Forty .Miiii-.n.- "i .\fw
Preferred, July 9
40
48
36
9
10
28
in l-'ini
"R."v.'n'j
-.iiditi
■ and Ex-
I'aper,
isniiin "11 Dividend
p and Paper, Ltd.,
Index
T H E .M O N E T A R Y TIMES
July 1 to December 31, 1920
I'AUE
Stock Issues Thirty-scvon Millions,
rieforenci-, October 15 21
Stock .Marki'ts, The. See every issue.
Stock I'rice.-i ami Trading. See every
issue.
Success and I'opularity in Banking,
October 29 28
Succession Duties and Life Insurance,
August 2" 5
Succession Duties, Property Subject
to Provincial, December 21 30
Succession Dutv Rate, P^ixing, July
23 38
T
Taber .May Have to Pav Double Tax,
July :iO 36
Tariff and Kinance, The (Editorial),
December 31 10
Tariff Commission Gone to the East,
No\ember 5 8
Tariff Commission Hears Evidence in
West, September 24 26
Tariff Commission Now in Protec-
tionist Centres, October 22 26
Tariff Evidence in Ontario, Decem-
ber 10 28
Tariff for Its Manufactures, Quebec
Supports, November 19 14
'I'aritV In(iuny and Politics, The (Edi-
torial). December 10 9
Tariff, Maritime Provinces Support-
ing I'roti'ctive, November 12 19
Tariff Opinions of the West Are Con-
flicting, October 1.5 26
Tariff, I'rotectionist Sentiment Not
Lacking in the West, October 1 ._ 18
Tariff Protection Now on the Defen-
sive (Editorial), September 24 9
Tariff, The Proposed United States
(Editorial). December 24 9
Tariff, Two Leaders on the, August
27 10
Taxation, Incidence and Principles of
Municipal, September 3 26
Taxation \iews of Halifax City Soli-
citor, December 10 ' 'Mi
Taxes Recoverable by Personal Ac-
tion, December 10 _" 30
Tax Sales, .Alberta Municipalities to
Hold, October 1 36
Tax Sales vs. Tax Suits (Editorial),
December 17 .. l()
Telephone .Association Meeting, Intlo-
pendent. December 17 34
Textil(> Industry in Satisfactory
Condition. November 19 28
Textile Industry Slacking Down, De-
cember 17 32
Theatre Capital, Heavy This Year
(EditorinU, October If) 10
Tbornfon. Daviilson and Company
Suspend Payment, August 6 '_ 24
Three Rivers Bonds Sold, July 2 44
Three Rivcr.s Pulp and Paper Co.,
October l.") .S2
Timber Probe. Interim Report on,
Niucmber 12 .._ 14
i"l> I 1.- I tH., July 9 .-il
!■ ; inenl, A (Editorial).
9
inent, September 17_ 36
i^mii Sale —
• ruber 12 14
I'llier 17 40
l"""ii" Finance Commissioner
Warns ef Capital Oblitmlions. No-
'■" ' 40
T.. „., New
4".
'!''■ ' ' iriMiiute Grows,
' 16
'' Working Capital,
36
' ' Real E.«itatc Boartl. October
14
I-AIJK
Toronto Street Railway Asking to
Defer Percentages, July 16 58
Toronto Tax Collections Good, Sep-
tember 24 36
Trade, Canadian Opportunities in
Foreign, July 2 18
Trade Depression Felt by Canadian
Industries, November 5 36
Trade, Foreign (Series of Articles) —
November 12 5
November 19 18
November 26 5
December 3 18
December 10 18
December 17 18
December 24 18
December 31 18
Trade, Further Points in Promoting
Foreign, December 31 18
Trade, Government Assistance in
Foreign (Editorial), October 22 __ 9
Trade, Is Our Foreign, Increasing?
October 29 5
Trade of Canada bv Classes —
July 23 1 22
August 27 24
Septe/nber 24 22
October 22 24
November 26 22
December 24 22
Tiado of Canada By Countries —
July 2 " 34
.August 6 22
September 3 30
October 15 22
November 5 24
December 3 24
December 31 24
Trade Reversal Due to Extrava-
gance, August 13 7
Traders' Finance Has Prominent Di-
' rectorate, September 17 7
Traders Finance Corp., Ltd., October
29 47
Trust Companies' Assets Increased
in 1919, September 3 ,5
Trust Companies in Canada, Sep-
tember 10 30
Tiiist Companies Must Report, Loaii
and, December 10 s
Trust Deed. Validity of Condition in,
November 5 34
Trustee Acts for Infant Beneficiary,
WTlien a, December 31 I_ 30
Trustee, Division of Estate bv, Julv
2 :_•__._•_ 3,
trustee Make Income Retum?
__ Should. November 12 34
Twin Cities Development Scheme,
October 1 34
Underwriters' Mental Reserve, The,
August 6 26
Inemployment and Public Works
(Editorial). October 8 9
Unemployment Farce, The (Editor^
ial), December 24 10
Unguaranteed Bonds, Will Not Ac-
cept. September 24 7
United Grain Growers, Ltd., Cal-
gary. December 24 48
United Kingdom, Capital Issues in
the, July 2 24
United Slates. Another Banker Goes
to (Editorial), September 24 10
United States, Canada's Debt to
(Editorial), SeptemlnM- 10 10
United States Fidelity and Guaran-
tee Co.. October 29 28
United States Tariff, The Proposed
(Editorial). Decemlier 24 9
I'nited States War Risk Insurance
(Editorial), October 29 10
United Stales. What Canada Sells
the, July 16 35
Utilities, Can Thev Be Operated at
Cost? July 16 -1 5
Utility Rates and Costs, Public (Edi-
torial), December 10 10
V
Valuation for Customs Purposes,
October 29 14
Vancouver and Calgary and the Ex-
change Situation, August 6 34
Vancouver Island Would Be Free,
December 17 14
Vancouver for Textile Manufactur-
ing, October 8 36
Vancouver Island Life Underwriters,
August 6 .^ 18
Vancouver Taxation 'Measures Sug-
gested, December 24 36
Vancouver Taxation Problem, No-
vember 19 32
Vancouver to Insure All Its Em-
ployees, October 15 48
Verdun Budget, October 22 36
Victoria Tax Problem, November 5 40
\'ictoi-ia Tax Proposals, November
12 40
Victory Bond Prices Reduced Again,
September 3 38
Victory Bonds as Investments, Julv
16 ■ 50
Victory Loan Issues Released from
Control, December 3 38
W
Wabasco Cotton Co., August 6 46
War Risk Insurance, United States
(Editorial), October 29 10
War Time Expansion Was Largely
a Delusion, December 24 5
Water Powers, Ontario's Rights to,
August 27 45
Wayagamack Reorganization Plans,
November 12 46
Wealth, Colonization Increases Na-
tional, July 9 20
Western Business, Little Recovery
in, September 24 8
W'estern Canada Pulp and Paper Co.,
July 23 50
Western Canada Pulp Bonds, August
•20 38
Western Homes Extending Opera-
tions, October 15 45
Western Power Stock, Optfbn for,
October 8 49
Western Power Co. Securities, Octo-
ber 15 J 42
West Indies Agreement Meets With
Approval. August 6 8
West. The Campaign in the (Editor-
ial), November 26 9
Whalen Pulp and Paper Mills, Ltd.,
July 2 50
\Mialen Pulp and Paper Co., July 9 50
Whalen Pulp and Paper Mills, Ltd.,
October 15 46
Wheat Acreage Decreased 10 Per
Cent., July 23 36
NNTieat Crop, Canada's Revenue
From (Editorial), July 2 9
Wheat Crop, Financing By Use of
Credit, September 10 1 26
Wheat Harvest Now Under Way in
Canada, .August 13 1 14
WHieat Price. Effects of Increase in,
August 6 42
Wheat Situation Puzzles Grain
Board, July 23 26
Wlieat, The Falling Price of (Edi-
torial), November 26 10
Wheat, Western Farmers Hit By
Drop in. November 12 "_ 7
Wliolesale Prices, Index Numbers
of—
August 6 22
Septeniliri- IT 22
July 1 to Decenilier 31, I'.iiio T
PACiK
October 15 , 22
December 17 22
December 24 24
December 31 24
Wholesale Prices, Movement of, Oc-
tober 8 27
Will. Property Listed in Schedule to,
July 23 38
Will. The Making of a (Hlditorial),
October 1.5 10
Windsor Hotel Co., Ltd., December
10 43
Windsor Sells Bonds —
Julv 23 .48
July 30 38
December 24 30
December 10 40
Winnipeg Bonds to Be Sold Locally,
July 30 i_ 40
Winnipeg- Council, Too Much Power
for, Novpmtiev n 22
HE M O N E I .A K ■»
1 I .M K
I'AGH
\\ mnipeg Debenture Debt. Octo-
ber 29 36
Winnipeg Electric Railway Co., Julv
2 ". 51
Winnipeg Electric Railway Co.,
August 27 4<j
Winnipeg Electric Railway, Septem-
ber 10 46
Winnipeg Electric Railway, Novem-
ber 12 i 46
Winnipeg Hydro-Electric Finances,
July .-iO 36
Winnipeg Hydro-Electric Finances,
Xovember 19 32
Winnipeg Offering Million and a
Half Bonds Locally, September 24 38
Winnipeg Street Railway Co., No-
vember 19 42
Wool Plentiful, Alberta, September
S Index
pal,i-:
Workmen's Compensation Board, Al-
berta, August 6 IS
Workmen's Compensation in British
Columbia. October 1 28
Workmen's Compensation Boards of
Canada, October 15 8
Workmen's Compensation in On-
tario, July 2 20
Workmen's Compensation Laws,
Comparison of, Scpteinfjer 10 5
Workmen's Compensation, Manitoba,
December 31 42
Works Council. How it (Editorial),
September 17 10
V
York County. Ont., July 2 40
Z
Zenith Companies, Novembir '"
Why
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The Monetary Times of Canada
Head Office: 62 Church Street, TORONTO
Western Canada Office: 1206 McArthur Bldg., Winnipeg, Man.
'■, The Monetary limes
^ Printing Company
CanaJian Engineer"
1 radc Kcvieu and Insurance Chronicle
of (TanaDn
Established I^ri7
Old as Confederation
JAS. J. SALMON!'
Pr»sldeot and Gen«rAl Haj..^
A. E. JENNINGS
AulBUmt G«ner&l Masai.-
JOSEPH BLACK
Secretary
A. McKAGtt
Editor
Canadian Banks' Position Strengthened in May
Volume of Loans is Lower— Demand Deposits Also Fall. Thou«h Savings
Deposits Increase— More Funds Kept on Call in New York- Circulation Reduced
May
Deposits on demand $ 568
Deposits after notice 1,107
Current loans in Canada 1,071.
Current loans elsewhere 127,
Loans to municipalities ... 50,
Call loans in Canada 89,
Call loans elsewhere 157,
Circulation 219,
Year">
Month-.
. 1919.
.\pril. 1920.
Mav. 1920.
inc. or dec.
inc. or dec
,730,118
S 652.918.760
5645.957,229
- 1,!.4
— 1
,983,072
1,209.57.3,990
1,229.073.515
- 11
- l.ti
,447,686
1.347.238.2.30
1.349.079.981
~ 21
.14
,490,932
185.085,021
183.986.222
- 41
— 1.08
,356.227
72,281,019
73.904.635
^ 46
- 1.3
,187,032
125.644.859
119.114.493
-r 33.7
— 4
,176,325
206.229,451
213.964.182
~ 35.6
-^ 3.3
,287.788
243,226,193
235.085.179
-i- 7.3
— 3.2
THE above are the principal changes shown in the summary
of statements of chartered- banks to the Dominion gov-
ernment, as at Maj' 31st, compared with the statements for
May, 1919, and for April, 1920. Current loans in Canada are
practically unchanged, while current loans outside of Canada,
and call loans in Canada, are reduced. Tlie increase in the
call loans elsewhere indicates .that stronger reserves are be-
ing kept in New York. Apart from this the upward changes
for the month are negligible. The comparison for the year,
however, shows that a great deal of expansion has taken
place, chiefly in increased credits, circulation and deposits.
The only changes recorded in the liabilities to share-
holders are as follows: —
Capital Capital
Banks. subscribed. paid-up. Reserve.
Bank of Montreal . . $2,000,000 $2,000,000 $2,000,000
Union Bank 220
Home Bank ... 100,000
Sterling Bank 1
The balance due to the Dominion government is reduced
from $261,044,11.5 at the end of April to $216,098.:r21 at the
end of May. Balances due to provincial governments are
slightly increased. The upward movement of savings de-
posits continues, while demand deposits are falling off, as
illustrated by the following table: —
Deposits payable Deposits payable
on demand. after notice.
1919— Mav $568.730,118 . $1,107,983,072
June . r,0-5.027,027 1,1:^,509,570
July 584.176,7(55 l,175,0'.i2,155
August .584,300,8.55 1,196,6.32.031
September 6.50,743,015 1,277,437,715
October 705.280,241 1,262.746.984
November 728.6.57,.589 1,137.858,277
December 703.329.292 l,i:!.s.0.«6,691
1920— January 621,408,024 l,lG:J.2'.t7,037
February 620,069,555 1.187,0-'7,.307
March " 657.412.028 1,197.719.570
April 6.52,918.760 1.209.573,990
May 645.957,229 1.229,073,515
A comparison of the assets statements v.ith those
as at April 30th, shows reductions in the nniount of coin
and notes held. The changes for the month were as fol-
lows:—
Gold and sub-coin in Canada — $3,033,937
Gold and sub-coin' elsewhere . 115,950
Total $3,149,893
Dominion notes in Canada — $9,749,162
Dominion notes elsewhere + 9,135
Total — $9,740,01'
Call loans outside of Canada have reached a new
record, as shown in the following comparison: —
$ $ $
1917. 1918. 1919. 1
January ... 155,747.476 13>,i>-<7.066 140.819.6.56 170.
Februar\' . . \i'' ' ' ' " ' ' ' '^ '
March ' .... 1'.
April 1..:'
Jlav 168.0L)2,67.'> 1'.
ui:;.!"!:!,!-
June 1.59,.309,133 17"
July 151.875.676 ir,7 ,..i
August ... 176,610,625 160,544,9'.iU 174. 176..S78
September . Ifin.l'snftni i.5'i,«so.sio ifio .^tj,i«9
October . . . l-'l
November . i:
December . . r. i. - .
Loans in Canada for the past thirteen month* hove been
as follows: —
Current in
I.o;iii>. Ciinada. '
June
.Tu!v
l:i20 — Janu.-
February
March
April . .
May
i.:;;..j::S2:.n l.::..';44.>.59
l.:)49.079.981 119.114,493
THE MONETARY TIMES
Volume 65.
Chartered Banks' Statement for May, 1920
LIABILITIES
CAPITAL STOCK
NAME OP BANK
I
I Bank of Montreal
Bank of Nova Scotia
Hank of Toronto
The MoUons Bank
Banquc Nutionale
Merchant ll.ink of Canada ....
B:<nquc I'rovincmic du Canada
Union Hank of Canada
Can.iilian Hank of Commerce.
Koyal Hank of Canada
Dominion Bank
Bank of Hamilton
Standard Bank of Canada
Banquc d'HochclaRa
Imperial Bank of Canada
Home Hank of Canada
Sterling Bank of Canada
Wayburn Security Bank
. t
28.075,000 1
15.000,000
10,000,000
5,000.000
5.000.000
15.000.000
5.00O.UO0
IS.OOO.OOO
25.000.000
25.000,000 I
10.000.000
5,000,000
5,000.000
10.000.000
10.000,000
5.000,000
3,000,000
1.000.000
»
22.000.000 I
il.700.000
5.000.000
4.000.000
2.000.000
H. 4(10.00(1
2.000.000
K 00(1.000
15.000.000
t7.0(IO.(X)0
6.000.000
4.000.000
3.500.000
4,000.000
7,000,000
2,000,000
1,266.600
655.700 I
t
22,000.000
9.700.006
5.000,000
4,000,000
2.000.000
8.400.(100
2.000,00<1
7.9>«»,.'W0
IS.OOO.OOO
17 (KHI.UiHJ
6,000,000
4.(NM.II00
3..WO.0OO
4.000.000
7,000.000
I .si.w.o:,'!
1.229,571
478.661
*
22.000,0
18.000,0
6.000,0
S.OOO.O
2.:«)0.C
8.4OO.0
1 .000.0
s,6ro,(i
15,000.(1
n.oiKi.(j
7.0OO.0
1.200.C
4.500.C
s.soo.t
7,.";oo.c
121.522,300 121 26fi.885
I
Bal. due
to Dom.
Gov. after
I deducting
' advances
for credits.
I pay-lists,
etc.
Balances
due to
Provincial
Govern,
ments
*
40,U,^i!24 I
22.464.584 i
7.537,728
6.423.263
S.341,420
15.206.873
2.194.143
10.447.929
•28,660.899
39,898.127
9.83.S.929
6.111.406
6.324.9S8
K.26!I.5I4
13 978.097
1.975.780
• 1.219,998
299.125
t
25.377.270
16,288,234
• 5.512.656
11.723.110
6.914.562
IO.7r2.93O
2.939.827
16.,302,0I0
38,858,717
21,246.261
!'>..'HI0.461
8.898,117
9,778,204
6,319,.'<98
6.943.389
3.668,102
5,629.723
475,350
226,335,037 i 216,098,321
•
680.260
305.586
129.409
110.412
286.015
4.298.440
202.723
4,516.042
2.358,419
1.539.005
.S4.480
201,323
I22.5S1
77.032
2.823.423
2.635.248
345.773
5.149
Deposits by
the public.
payable
on demand
in Canada
Deposits b}
the public
payable
after notict
or on a
fixed day
in Canada
9
131.937,401
36,698,209
27,761,125
16,987.638
8,.32l.2.52
5S.51i).S32
4.805,4311
32,379.1S2
112.439.835
96.298.184
29,534.856
18.187,769
22,013,371
II.492..S94
29.450.119
5,920,012
4,942.319
1,268,091
Deposit!,
elsewhere
than
in Canada
216,449,136 :6,5II.7;W
I 104 500,007 31.983.308
46,a52.708
I 42.640.126
I 35.603.845 i 5,802.267
! 83,826,584 | 2,738,514
' 23.012.577
66.920,192
165,572.941
172.277.873
I 6.5,099.179
1 41. .541.222
I 43.191.512
1 39,203,35 6
59,053,.383
12.017,638
I0,8I8,.534
1.292,702
8,191.880
38,571,384
179,042.856
2,253.467
20,691,300 645,957.229 1,229,073.515 345,095.475
LIABILITIES-Continued
\Vi:ST SHIMNf; TKEK (;()!. 1) AIJK.V
A report on the West Shininjr Tree jtold district, pre-
pared by Perry E. Hopkins, hns been issued by the Ontario
pppnrtmciil of Mines, SumninrizinK the economic possi-
liilitii?, Mr, Hopkins points out that freiirhtinjr in summer
I? litill expensive, and this and war conditions have resulted
in very little underground work being accomplished. He
states that gold occurs in numerous deposits, but in many
the metal is not concentrated enough to pay for working,
while m others it is irregularly distributed. A few small,
high vrr.'ide pockets have been found on half a dozen pro-
I" iti. •<. Imt he points out that this docs not signify that they
■Ai!l ! ,ako min<'?, as other portions of the same veins may
■ 1 till- iir no gold, .\ few properties in the area are
'■• i\ to have promise, but they are still in the
'■ and whether they will become mines or not
I'c iletermined by further underground develop-
i sampling. The balance of the report is largely
Dealing briefly with properties, Mr. Hopkins merely
states that the Herrick's manager reports ore shoots of con-
siderable size, indicated by surface sampling, the diamond
drill and sampling in a .iO-foot shaft. He further states that
the Ribble vein, which outcrops on the Wasapika, has been
exposed on the Miller-.\dair, and has been traced a (quarter
mile on the Foisey, being in all over a mile long and of satis-
factory width. He quotes Manager Rogers, of the Wasapika,
to the effect that the outcrop on Wasapika gives ^9 ore
across four feet for a distAnce of 800 feet, and a cross-cut
nt 100 feet showed 2.3 feet giving $7.20. The Ribble also
carries indications of ore on the Millcr-,\dair and visible
gold on the Foisey. Mr, Hopkins points out that ore shoots
may occur along the Ribble vein, but will not necessarily
all be ore.
J. M. Robinson and Sons, stock brokers, have opened an
office at Moncton, X.B., and George .1. Ross, of Shediac. has
been appointed manager. This makes three offices of this
firm of 3tn<-h l.ri.Lnra nnu- (Mi..r, n V..,v Prunswick,
July 2, 1920 THE MONETARY TIMES
Chartered Banks' Statement for May, 1920
ASSETS
NAME OK BANK
Domiaion Notes
Bank of Montreal
Bank of Nova Scotia
Bank of Toronto
The Molsons Bank
Sanque Nat-onaie
Merchants Bank of Canada..
Banque Provinciate du Canada
on Bank of Canada
Canadian Bank of Commerce
Koyil Bank of Canada
Dominion Bank
Bank of Hamilton
idard Bank of Canada...
Banque d'Hochelaga
peria! Bank of Canada
Home Bank of Canada
Sterling Bank of Canada
Weyburn Security Bank
'.23.674.420
9,78S.-63
»83.676
.'574.762
»14.70l
4.206.177
lli<.54l
I.025.4.i8
8.776.619
6.072.191.
2.108.190
931. U21
1.793.263
467.793
2.6,t0.056
18:1.668
111.985
I6.306|
900.431 '-'4.574.851
2.129.2S8I|I.91S.(I2I
I 985.676
i 574.762
1.386 346.087
11.991 4.218. IBS
119.541
26.942 1.052.400
5.479.164 14.255.784'
7.817.658 13,889.848
1.180 2.109 370
931.021
, 1.793.26;*
467.793
2,650.056
183.668
11.985
16.306
. . 63.830,589, 16.368,010 80.198.600 173.044.S77
*
41.445.301
15.134,730
9.938,381
3.243.729
1.404,129
5.172.620
3X4.183
12.448.171
22.725.438
22.5,SS.060
I2.608.1U5
3.63S.77S
7.306.314
1.883.613
7.356.726
3.742.564
987.502
117,536
t
9,772
5.399
•
41,455.073
! 15.140.129
I 9.93S.3Ki
3.243.729
1.404,129
5.172.620
333,183
12.448,171
I I 22,T2!«.0.v;
Z>.5«2.i'31
' 12.60S.I05
I 3.6:tS.775
; 7.306.314
' 1.8S;(.6I3
I 7.3.i6.T26
3.742..'>64
987.502
I17..536
t
1.038.166'
529.583
247.412
231 .000
100.000
377.000
67.804
260.000
881.791
750.000
3IK).0<10
21)0,000
17.5.000
200.000
404,897
105.000
66.826
21.550
t
21.200.000
I37.5O.0OC
3.0110.000
2.000.000
2.900.000
7.000.000
800.000
13.I10C.0III
24 OOO 0011
4.UIJ0.0O0
2.100.000
3.2OO.0O0
4.100.0O0
7.000.000
Is!
254\
»
3.783,f
3 976.*
902.610 5.413
Dcpiits
Due 1
made
from 1
with
bankc
irni bal.
and
due
bunkins
from
corrcs.
oth«r
pond'tt
banks
in the
in
I'n-rrd
1.334 ;
3 170.t
2:t.379.l
1.465.;
1.9S3.SXO .
3.089..508 .
0.016,393 .
2.215.887
6.858.275 .
5.-274.599 .
3.701.197 .
6.024.781 .
3.277.2.57 .
4.191.466 .
2.934.744
6.in0.427
I.33S.T2S .
786.695
36,9SS .
■25 918
.'20.048
93.841
23,690 172,068.567 ls.956.029 108.050000 47ja5.3l»'l4l.03538l
•21*1.345
1,424 569
116.974
7.608
429.447 .
5.987.209, I2,7U(.1.S
ASSETS— Conti nued
I 3overn-
Iment
securi-
ties
"•sis
Railway
and
Call and
shbrt
loans in
1 J ££
other
bonds.
Canada
on sfcks
-Ha.2^
deben-
debent-
i^Sl
tures
ure?; and
ESo «.
bonds
stocks
(not ex- 1
ceeding j
us S 3
30day«i
call an(
short
loans
Canada
(not ex-
ceeding
30 days)
Other
c
I. ^
current
Loans to
Other
loans
°s
Loans
cities.
current
and
to
towns.
Over.
due t
loans and
disconts
Pro-
muni-
else-
""5
cipalities
where
2 ^
Govern-
and
Canada
than
« ^
ments
school
in
aE
districts
3
Real
estate
other
than
Bank
Liabii.
premises
ties of
Other
at not
cus-
a»ets
more
tomers
not j
than
under
included
cost. less
letters
under
amounts
of
the fore-j
(if any)
credit
going 1
written
as per
heads '
ofr
contra
. '
1
U. 023.888 ;
2
i:i.(i:<: 248 2
3
5.;i'1)rt40
4
5 31!' 749
5
3.4M.551
6
7.K«.229
7
2.8-27.417
e
4.544 1H7
5,958.352 '22.772.470
4.741.965
1.. 5.58.279
7.38.630
1.286.710
3.797,a54
885,198
5,147,450' 6..580,4rs
3.640.311' 9.761, .590'
6.275,897
6I2,9r<9l
3.848.397
1. 365.825
4,2.'SO,.171
4.987,0.55
260,364
89.097,
91,487
I I
.599.177
i:o,2ys|
117.41S[
6S,.573;
30.976
.^51.489
.59.781
197,4201
61 ,.T29
387.351 I
227 881
IR4.-27>1
196.6.57
I7S.9,1">
4Sli..5.52
63.013
8.791 .
118.160'
49.039
378.820
6K3.:l5«
8.714
245.57;)
469.l:<7
,313,189
5.:f»4
440.ai7
4.915
483.!i49
.565.389
62.939
10.47S 7,844;
* I
.54,921
161,i:<7
293.4:0
597.092
17.234
145.697
193.4,=;^
.54 9I-.1
19. .5-.;;
20:1 7a=;
Tl.SMI
181.038
.528.112
105.49;
18.887.396 73.9(M,63S 3,448,103i4.9IO,2S7 2,1122,484 58.4».6i
1
t
SSOOMtl
9.917.1 H
5,303.3.50
645.718
3.616.096
1,724.088,
2,666,05;(
157,559
1 ,.585.604
2.690.G4S
2.768.r27
■2X3.466
I .vi,i :.'7
2!557.1(i«
1 .•::< TIM
■n.ii»
4.879.507
424.640
1.030.553
408.642
S..500
aOO,732
S8.4sa.6i:
OF the deposit in Central Gold Reserves $10,500,000 is in gold coin: the balance it in Dominion Note*.
T. C. BOVILLE. 0«»i>
HOME B.\NK ANNUAL REPORT
Progress in keeping with that recorded by otlier banks
is shown in the report of the Home Bank of Canaila for the
year ended May .31st, 1920, submitted to the shareholders at
their annual meeting, held on Tuesday. Net profits are
$268,894, compared with $238,753 for the previous year.
There had been brought fonvard $153,348, and there
was also $3,787 received from premium on capital stock,
making $431,031 available for distribution. With the increa^se
in dividend, the payments to shai-ehol.lers amounted to $117,-
236, as compared with $97,378. Other appropriations included
a reservation of $25,000 for adjustment of exchange rates
on British and foreign balances and securities, a new item,
and an unchanged sum of 8100,000 for rest account. The
balance carried for%vard is $146,873.
1920.
1919.
268,894
$ 238.753
117,236
97..'i7S
100,000
100.01 Id
90
The following are the principal items in the report, with
comparisons: —
Profits
Dividends
Rest account
Premium on capital stock
Deposits bearing interest 15,570,178
Deposits not bearing interest R,002,741
Liquid assets "".--p. "
Liabilities to publi<
Total assets .'.'.i- ■;'.
Last year the dividend rate was raised from 5 to 6 per
cent., and at the meeting this year the president, H. J. Daly,
stated that it would be increased to 7 per cent. The former
directorate was re-elected.
THE MONETARY TIMES
Volume 65.
Parliamentary Business Rushed at Close
Session Ended on June 30-Followed by Unionist Caucus-Premier Presents Kesignation-
" National Liberal and Conservative Party" Will be New Name for "Unionist Party"
(Special to Tlu- MoucUuv Times.) committee on soldiers' civil re-establishment have been
passed. In comparison with the pensions in other countries,,
Ottawa, July 1, 11)120. ^,^^ ^^^^ Canadian scale, for the totally disabled private
PARLIAMENT prorogued on Wednesday after a great soldier, is as follows: —
deal of business had been rushed through with the Man and Man, wife
utmost speed. The close of the session was followed imme- Single man. wife. and child.
diately by an important caucus of the Unionist party. As Canada $ 900 $1,200 $1,380
forecasted in these columns, the premier submitted his Great Britain 506 632 727
resignation, and the name "National Liberal and Con- Australia 379 569 695
servative Party" was elected to take the place of the New Zealand 506 759 885
"Unionist Party." A new leader has not yet been chosen. South Africa 379 506 601
Members of parliament this week all took a keen United States 1,200 1,200 1,200
interest in the proposal of the government to raise the France 480 480 540
sessional indemnity from the present figure of $2,500 to Italy 243 291 318
$4,000, and to make corresponding increases in the salaries • , , , ^i. 4.
of the cabinet ministers. Such increases have been strongly Higher pensions are provided where there are two or
urge.l this year bv the members, but the government had t^ree children, af er ^vh'ch the allowance is to be $120, per an-
maintained an attitude of opposition right up to last week. ""'" ^^^ each additional child This will increase the amiua.
Though a large majoritv in the house are in favor, criticism P-^n^ions' bill by about $8,000,000, to $34,000,000, when it
has nevertheless been keen, it is pointed out that when the '^""^'^^ '"t° ^""^"^ "^-''* September,
war veterans applied for a second gratuity the government Interest Rate on Deposits
answered that the financial position of the country did not
permit of any more being paid. In the Senate on June 21st, a motion by Senator Power
The resignation of James Murdoch, the last member to increase the rate to depositors in government banks from
of the Board of Commerce, now makes it necessary for the tliree to four per cent, was discussed at some length, but
government to do something if the work of the board is to was finally lost on division. In supporting his motion,
be continueif. More amendments to the iu.xury taxes have Senator Power pointed out that the rate had once been four
been passed, and the other business of the government will, per cent., and could be changed now by order-in-council. To-
il is expected, be carried through as soon as possible. day the government was paying six per cent, for outside
loans and only three to its own people. The Canadian banks
Supplementary Estimates were enabled, as a result of this, to keep their rate down to
Supplementary estimates totalling $62,002,482 were three per cent., so that the government was really preventing
tabled on June 28th. The principal item is a vote of $25,- L ^""^^ ?"] '■^'^^'^''"- -adequate interest on their deposits.
000.000 for a loan to the Grand Trunk. The loan is to be Senator Bostock supported Senator Power, but called atten-
used in "meeting expenditures made, or indebtedness in- "°" }" *''^ /""^^ ^^'""^ '^'■'"^-' certificates, through winch the
.urred or payable in respect of deficits in operating expenses, "^ri ^"''L''^^";,'^ ^''^ P"' ^^"t • were issued. In the opinion
interest on securities, maturing loans, construction, equip- "f Senator Turntf. the banks could pay four per cent, with-
ment. renewals and betterments" and for the purpose "of re- °"* '"'^°"^e'»fnce. Senator Beique argued against the mo-
tiring maturing secured loans or other funded indebtedness *'°"; '"-■'"^ ^'''iV'" ^nRland and France no interest was paid
and interest thereon." The funded indebtedness to which VI f "°f 't'^' "."^ that the interest rate was less in the United
reference is made is such as was in existence before March ^'"'^^^. *''"" >" Canada.
Sth. 1920. the date of the agreement between the CroWn " ' ."'"^^ Lougheed claimed that the Dominion govern-
and the Grand Trunk. It is provided that the minister of "1'^"* savings banks were merely a convenience for the peo-
hinance instead of applying towards loan retirement por- '„ ' ,"" "'■'"''' "°^ intended to rival chartei.:(i private banks,
tiona of the $2,-..000,000 "loan may. with the approval of the government raised its rates the result would be an in-
governor-in-council. guarantee the principal and interest of '■•'ease in the bank rates, which might seriously disturb busi-
si-ourities of the CJrand Trunk or any of the companies com- "^^* conditions.
11 i^', I in the (;.T.K. system. There is also a further vote
f >;iMi,000 to provide for expenses in connection with the CAN AIHAN FIRE UNDERWRITERS' ANNUAL
a,.i'.i:.'iition of the Grand Trunk.
After the Grand Trunk loan, the next largest vote is one Routine business was transacted at the annual meeting
of $l».5r)0,000 to meet the additionnl pension charges as pro- "f tbe Canadian Fire Underwriters' Association, held in St.
vided in the revised scale of pensions which passed the House Andrews. N.B.. on June 25th. The officers elected for 1920-21
a few days ago. Other items are:— are: President. Lyman Root, manager of the Sun Fire In-
^I.untenance of Canadian navy $1,700,000 surance Co.. Toronto; vice-president, John Jenkyns, fire
Pulilic works (harbors, wharves, etc.) 1.077i798 "'"""P*''" of the Employers' Liability .\ssurance Corporation,
All Hoard 1.650.000 Montreal, and Alfred Wright, nianairer of the London and
Soldirrs" Civil Ro-cstnldishment 6.387,064 Lancashire Fire Insurance Co., Toronto.
Inrrciisc!' 111 M.ilary due to application of rc-
cln.'sifiriilion of civil service for years 1919-
20 and 1920-21 6,000.000 COBALT ORE SHIPMENTS
Canadian Government Railways, additional
amount required to pay off deficit of working Tlie following were the shipments of ore, in pounds, from
expenditure for year ending March .Tlst. 1920 1.000,000 Cobalt Station for the week ended June 25th- McKinley-
C.nadian Pensions Now High Parragh. 8.1.150; Temiskaming Mine, 66,919; Nipissing Mine,
» ■'''•'•^0^: ^I'"'"P Corporation of Canada, 125,350. Total. 720,-
Bills providing for increased pen.«ioiis and for in- 723. The total since January is 11,681,901 pounds, or 5,840.9
surance for returnetl soldiers, as recommended by the tons.
t
July 2, UI20
THE MONETARY TIMES
Trad* Review and Insurance Chronicle
of Canada
Address: Corner Church and Court Streets. Toronto. Ontario. Canada.
Telephone: Main 7404, Branch Exchange canneetins all departmanta.
Cable Address: "Montimes. Toronto."
Winnipec Office: 1206 McArthur Buildina. Telephone Main 1401.
G. W. Goodall. Western Manager.
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The Monetary Times does not necessarily endorse the statements and
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PKlNrll'.VL CO.NTE.NTS
Editorial:
—^ PACI
Canada's Revenue from the Wheat Crop 'i
Price Reductions Have Been Exaggerated l(i
Caution, the Municipal Watchword ui
Special .\rticles:
Parliamentary Business Rushed at Close 8
Provincial Finances 14
Canadian Opportunities in Foreign Trade 18
Workmen's Compensation in Ontario 20
Ontario Assessment and Population Increased 2'2
Division of Real Estate by Trustee 34
Crop Outlook Continues Good 44
Monthly Departments :
May Bank Statement
Trade of Canada by Countries "4
Weekly Dep.4rtments :
Bank Branch Notes 16
News of Industrial Development in Canada 3C
News of Municipal Finance 40
Government and JIunicipal Bond Market 42
Corporation Securities Market 46
The Stock Markets 48
Corporation Finance 50
Recent Fires 5-?
CANADA'S REVENUE FROM THE WHEAT CROP
PROSPECTS for the 1920 wheat crop in Canada are uni-
toimly good, and world conditions assure a good price
tor our exportable surplus. The 1920 crop in Australia has
been a failure, and that of Argentina is scarcely normal.
Quantities available for export in other countries in the
southern hemisphere will be negligible. At this early stage
it is not possible to estimate the exportable surpluses of
those in the northern hemisphere, but Russia and the Bal-
kan.^ cannot be counted on for very large amounts, while
the Swedish crop is not large in proportion to the European
demand. A good market for the Canadian and United States
wheat can, therefore, be confidently anticipated and though
Great Britain will buy cautiously through its national
organization, the wheat market is of such a world-wide
character as to ensure that it will be governed by funda-
mental economic conditions. While a bountiful supply would
have helped to bring lower prices, Canada is fully justified
in exacting such terms as conditions warrant.
Canadian wheat crops for the past five years have been
as follows: —
Yield in Acres under
Year. bushels. cultivation.
1919' 193,206,400 19,12r,,968
19;s 189,075,350 17,3.>S,902
]f,17 233,742,850 14,755,850
191(5 .... 262,781,000 15,370,000
1915 393,542,600 15,110.000
Thera is a striking discrepancy between 1915 and 1919.
With 4,015,968 fewer acres under cultivation, the former
vear produced 200,336,200 more bushels than did the latter,
in fact the two years with the greatest acreage are those
which have the smallest yield. These variations are, of
course, occasioned by climatic differences during the years.
It is the weather, not the number of acres broken up, that
determines whether or not Canada is to have :. bumper
harvest.
The principal countries, other than Canada, on which
the world has relied for its wheat and flour during the past
few years are the United States, Argentina, and Australia.
Below i.s given the estimate made by the president of the
British Board of Trade on JMarch Uth lust of production of
wheat during the grain year of 1919, in the main wheat
growing countries of the world (excepting Russia): —
Exportable
Production Surplus
Rye Wheat & Rye
bus. bus.
10,744,000 120,852,000
84,639,000 330.600.000
165.300.000
Estimated
Wheat
bus.
Canada ' 193,206,000
United States 941.259,000
Argentina & Uruguay 195,494,000
.Australia & New
Zealand 81,217.000
Algeria & Tunis ... 32.913,000
Rumania & Jugo
Slavia 141,4'23,000
India 279.981.000
•99.180.000
9,183,000
17,710.000 20.'203,000
1.865.493.000 112.993.000 745.318.000
' Includes carry over from previous crop.
The present position of the world as regards wheat
cannot be looked on as entirely due to the war. Even heforc
1914 the world demand for the primary food.o and materiaU
was tending to outrun the supply. A clever recent annlysis
of the world's wheat situation pointed out that the great
increase in population of the United Slates in the liinl .'M
years had by 1914 resulted in the fad that their donustic-
requirements for wheat were approaching their production,
and the date was evidently near when there would be an
exportable surplus only in years of exceptionally favornlilc
harvest. The present domestic requirements of the Unit' 1
States are estimated at more than 90 per cent, of th:' aver-
age yield of the five years 1909-13. The importance of thi^i
will he appreciated on consideration of the wheat production
figures given above. It seems probable that even consider-
ably larger production in the world would for .'anic time do
no more than satisfy an increasing demand.
THE M <) N E T A R Y TIME
Volume 65.
rUICJi KEULCTIO.NS HAVE BEEN EXAGGEKATED
CAl HON THE MUMCIPAL WATCHWORD
WHILE the reports of price reductions which were sweep-
ing the Uniteil States were largely exaggerated, there
are nevertheless forces at work which must lead to lower
prices. In its July letter, the Koyal Bank of Canada
says: —
"The distinctive feature of the last two months has been
the retail sales at reduced prices which have taken place
through the United States and sections of this country.
They have been given great publicity, with the probable net
result of leaving in the minds of many people an exaggerated
idea of their importance. The financial and industrial situa-
tion at the present time is complicated by so many warring
factors that any clear survey is difficult to give. It is pos-
sible, however, to trace cause and effect to a certain extent,
and in doing so it is necessary to consider the United States
and Canada as a whole. So related are the t\so countries'
business activities that any severe depression in the former
has a strong effect on the latter.
'"The governing influence in the decline was the short-
age of credit and this must continue to be an extremely
important factor. Prices rose so sharply, and legitimate
and speculative activities were carried on on such a scale,
that credit resources were strained to supply a demand
which showed every sign of increasing tremendously unless
a check were applied to it. Add to this the steadily increas-
ing cost of labor, and it can be seen that the situation was
beioming an impossible one. Over six months ago the
banks were forced to commence scrutinizing old accounts
and declining new business. From that date until April,
money became dearer and scarcer in North America and in-
dcid all over the world. Into this situation was injected in
.April the news of the Japanese debacle, itself due to over
speculation. There followed heavy liquidation in stocks and
bonis, and a fall in the price of raw cotton. Concerns
thai had not been able to have their loans extended, specu-
lators holding raw material, and manufacturers holding
finished goods were in many cases forced to seek buyers at
lower prices.
"Early in May a great New York departmental store
starttd a 20 per cent, deduction sale with the avowed ob-
j( cl iif commencing the reconstruction of business on a peace
ti:i c : MSI- ..nd a lower scale of prices. Retail stores all over
ti.e iiiMlimiit followed suit. In many cases the actual re-
duct ons were probably small, and the sales no different
from those in January of each year which attract no special
attention. Their psychological effect wasi however, eon-
nidiTiible. rising prices were said to be a thing of the past,
and a collapse of all prices was freely predicted. Further
heavy liquidation in the stock and commodity market fol-
lowed.
"So far as the decline discouraged speculation or forced
sellers who had been making large profits to accept less
i\nrt it- nt niu->>. it<j •ffects have been beneficial. It seems
! lestriction of credit will present a
111 movements of prices which have
-^ince armistice, but belief in a per-
il .1111 niiy lower price level in the near future is hard to
.iu.Htify, Declininir prices in a world where almost every
111 i "vtnnt ■ • ' 'ipply Hcem impossible. How
].■:.,' 'hr I is beyond prophesy. Unless
I. 1 ,M ..ivl t M-ttled it will take some time
; , , 11,1 ■ly, I'luiluilion iia- seldom been so slow and i?x-
! • \i> :is it is at this moment in many industries. Strikes
ciuerrd efficiency of labor, difficulty and delay in ob-
", r raw malcrials, all contribute to heavy costs of opera-
,nH !i» I ho immo timo retard production. Even were
■■ ■ •'itled. there would still be, in
I'O, an enormous potenial de-
ii'lt on the market from time
, iluiiiiK -!'i i'l^t '"-^^ years, and in so doing give a
-pin to the wheels of commerce all over the
RATEPAYERS of Canadian municipalities are not being
stampeded into approving of so-called "necessary"
capital expenditures. An unusually large number of money
by-laws have been defeated during the first six months of
the present year. In the last three months alone by-laws
to authorize expenditures totalling about $.5,000,000 have
been turned down, some of the more important cases being
the following: —
April, Edmonton, local improvements $ 1,500,000
April, Chatham, water works 370,000
April, West Kildonan, municipal hall 20,000
May, Sturgeon Creek, schools 55,000
June, Edmonton, (2nd vote) local improvement 1,500,000
June, Winnipeg, bridge 300,000
June, Sherbrooke, local improvement 566,000
Junt, Vancouver, local improvement 1,495,000
These municipalities are located in both east and west,
and small towns and villages are also insisting on a more
conservative policy in fianancial administration. The diffi-
culties of Canadian municipalities have been largely due to
over-borrowing and to laxity in the imposition of taxes.
Just at present revenues are buoyant, but it is recognized
that business depression will bring reduced property values
and increased difficulty in the collection of taxes. Public
works at present construction costs are a luxury which most
Canadian municipalities cannot afford.
The Dominion Bankruptcy Act, which w-ent into force
on July 1st, has been heralded as a piece of excellent legis-
lation. The proof depends upon the experience of the next
few years.
*****
United States motorists have written to Montreal ask-
ing about the best road to Hudson's Bay. The best so far
is the old-fashioned water route, at least until the railroad
from Le Pas to the bay is completed.
* » * * «
When prices were being increased, manufacturers
pleaded the excuse of the increased cost of materials; now
that prices of raw materials are falling, they point out
raw materials are only a small factor in production costs.
These are the arguments of an opportunist.
*****
Schools are a good fire risk, according to Administrator
Pearse of the Toronto Board of Education. They may be
for an insurance company, but certainly not for a munici-
pality. London, Ont., has been severely criticized for carry-
ing only $»i0,000 of insurance on its collegiate institute,
which was burned on April 22 with a loss of $440,000.
=>****
No office building in Vancouver yields a return of more
than MX ptr cent, upon the investment, and if depreciation
were taken into account, the return would not exceed three
per cent, accord ni to a statement made on June 19 by
Jonathan Rogers, of Vancouver. From the purely invest-
ment I o:nt of view office buildings have not been a" success.
Toronto Street Railway employees went on strike last
we.'K. and secured an advance of five cents per hour in
wages; during the strike the city notified the company that
It would hold It liable for losses resulting from failure
to provide a service; when a similar strike was taking place
Irst year the company attempted to run some cars but the
city frilled to protect them; now that operation has been
resumed, the company is forbidden to charge higher fares,
and this year the revenue will fall ,l,ort of operating ex-
pensis by several hundred thousand dollars. These are not
conditions which will encourage the investment of capital
in rubl-.c utility enterprises in Canada
July 2, 1920
THE JI 0 N E T A R Y T I M K S
FOREIGN
BUSINESS
Much attention is being directed
at the present time to export
business. This liank has a
number of foreign branches as
well as close working arrange-
ments with banks of the highest
standing in many other coun-
tries which enable it to olFer
special facilities in the financing
of trade with foreign points.
THE CANADIAN BANK
OF COMMERCE
Capital Paid-up
Reserve Fund
$15,000,000
$15,000,000
Business Accounts
The complete banking facilities
provided at all our branches enable
this Bank to give Business Ac-
counts the care and attention they
need and deserve.
The Merchant and the Manufac-
turer will find the services rendered
by this Bank of the greatest assist-
ance in conducting their business.
IMPERIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais. Lloyds and
National Provincial Foreign Bank. Limited.
Now more than
400 Branches
in Canada
(CONSTANTLY enlarging our sphere
of influence that we may extend
to you — our customers — the fullest
possible banking accommodation, we
have made notable additions to our
branch bank system in Canada during
this year.
We have 400 branches and continue
to grow.
Assets Exceed • $174,000,000
UNION BANK
OF CANADA
Head Office - - WINNIPEG
Bank of Hamilton
HEAD OFFICE
HAMILTON
Ettablithed 1872
Capital Aulborizcd
Paid Up Capital
Resrrvt Fund
SS.OOO.OOO
4.000.000
4.200.000
DirectoTB
SIR JOHN HENDRIH, K C M G., C V O . rrcsi.lcnt
CVRfS A lURGK. Vicc-l'ii-si.lcnl
C. C. n.'\I.TON ROUT HOBSON \V. K. I'HIN
I. PITBI.ADO. K.C. J. TL'RNIUILI. W. A. WOOD
Branches
At Montreal, and throupliout the Provinces of
Ontario, Manitoba, .Suskatclicw.Tn, Alberta and
British Columhia.
Savinft Daparlmcol a( all Officti.
Dcpoiili of $1 and upwardi rKcivtd.
.Advances made for M.inufacturinjr and Farming
purposes.
Collections cflecled in all parts of Canada promptly
and cheaply.
Correspondence aolicited
J. P. BKLI,
General .Manager
HE MONETARY TIMES
Volume 65.
PERSONAL NOTES
Mr. Horace G. Vincent, formerly of St. John, N.B., has
been appointed manaper of the newly established provincial
savings bank at Winnipeg, Man.
Mr. J. K. MacDonald, who for the past fifty-four years
has been treasurer for York County, Ont., has retired, and
Mr. D. J. MacDonald has been appointed to succeed him.
Mr. T. S. English, manager of the Vancouver branch
of the Great West Permanent Loan Company, has been
promoted to the position of assisUnt general manager, with
hea<l(iuarters at Winnipeg. Mr. English is succeeded by
Mr. K. B. Heath, formerly manager at Saskatoon.
Mr. Arthur Dunbar, manager of the Union Bank of
Canada at I-ethbi-idge. Alta.. whose appointment as inspector
of bl :
heady been announced in
The Monetary Times,
arrived in the east re-
i-ently to take over the
duties of his new office.
Mr. Dunbar, who has
been in the service of
Union Bank of Canada
for a period of 23
rears, returns to the
i-astern division after
.!0 years banking ex-
perience in the west.
He entered the Union
Bank of Canada as
junior clerk at Wiarton,
Ont.. in 1898 and after
a brief term there and
at Smith's Falls, was
transferred to Winni-
peg. In the interim he
has filled various posts
at Oxbow, Sask., Daup-
hin, ^Inn., Brandon,
Man., Moosomin, Sask.,
Okotoks. Alta., High
River, Alta., and lately
at Lethbridge, Alta. His managership of the Lethbridge
branch held especial interest, because this was the pioneer
branch of the Union Bank of Canada to be established west
of the city of Winnipeg.
Mr. II. F. Harman has been appointed to the position
of hind comiiii.»sioner of the Hudson's Bay Company, with
headquarters .it Winnipeg, .Man., Mr. .lanie.s Thomson hav-
ing resigned. .Mr. Harman has been in the service of the
company for the past eighteen years, during which time he
has served in various capacities in the dopartmrnt of which
ho is now head.
Major M. Ross Gooperiiam has been appointed to the
directorate of the Union Trust Company, Limited. Major
Gooderham is a number of the law firm of Blackstook, Gait,
Gooderhani and McCnnn, Toronto, having been called to the
bar in 1900. He has specialized in the insurance business
and is n director of several companies, including the Manu-
facturers' Life, of which company he has been a director
.liner 1007.
Mr. II " ' '■ — ' " -'ladoes. was a visitor in
Montreal. an manufacturers are
n|:.liiir :i V by neglecting exports
• opinion that the trade
,1 is carried on by the
iv to alter this condition
^ n have a representative there for the solo purpose of
n ing trade. '
Mr. FREO S. I.awrason, manufacturer of London, Ont..
'I at completed a four months' tour of the West Indies
and South America. "There is enormous possibilities with
these countries," said Mr. Lawrason. "They prefer to trade
with Great Britain and Canada than with the United States.
Travellers thtre now, from the United States, are not plac-
ini* orders, and the travellers from Canada and Great
Britain are having difficulty in satisfying the demands of
their customers."
Mr. Mark Workman, former president of the Dominion
Steel Corporation, and later chairman of the board and a
member of the London advisory committee, who retired
from any executive connection with the corporation when
the new board was elected at the annual meeting, has ar-
rived in Montreal from England. Mr. Workman states
that he had only a slight idea of the developments in con-
nection with the merger, having been unable to get much
news on the way over owing to the strike of the wireless
operators.
BO.M) DEALERS IMPRESSED WITH WINNIPEG WORK
Fifty bond dealers, representing the leading bond
firms of Canada, personally inspected the power develop-
ments located on the Winnipeg River when attending the
annual convention
of the Bond Deal-
ers' .Association of
Canada in Winni-
peg, June 17-19.
The work was ex-
plained to them by
prominent officials
of the companies.
Reading from left
to right, those in
the accompanying
photograph are: J.
D. Glassco, man-
ager of the Winni-
p e g Municipal
Light and Power
Department; S i r
.Augustus Nanton,
president of the
Winnipeg River
Power Company
and of the W'inni-
peg Electric Rail-
way Company; and
A. W. McLimont,
general manager of
the Winnipeg River
Power Company,
and vice-president and general manager of the Winnipeg
Electric Railway Company. New developments have taken
place during the past few years, and the W^innipeg Electric
Railway Company is now arranging to place an issue of
preferred stock on the market to redeem floating liabilities
incurred in this way.
^
Q^ ^
9^'
HlJ^
pi
BBS
Oi
11
^^^^^^^
■^
OBITLARV
.Mr. Henry JIorris Watson, former' assistant genera!
manager of the Bank of Hamilton, died in Toronto on June
28tli, at his homo at 80 Madison .A.ve., after a prolonged
illness. Mr. Watson was born 74 years ago in Jamaica,
and came to Canada at an early age and received his educa-
tion at Hamilton. Ont. He served for a time with the Royal
B.mk. and later with the Bank of Commerce, and then
entered the Bank of Hamilton and was stationed in Mitchell,
Orangeville. Georgetown and Hamilton. For twelve years
he was assistant general manager of the bank, which posi-
tion ho held until he retired from active work six years ago
.nnd moved to Toronto.
July 2, 1920
THE MONETARY TIMES
^iBhanumnnifniviiainniinifnninnnnfiiininiiiini
The Sterling Bank
OF CANADA
The tangibility ol Sterling tS.ink Service has been
proved many times over — in the healthy growth of
our clients' and our own business.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Rnyal Charter and Act of Parliament- Established 18^5
Capital Subscribed ;£5,000,000 S25,000.O00
Paid up 1,100,000 5.500,000
Uncalled 3,900.000 19,500,000
Reserve Fund 1 ,000.000 5,000,000
Head Office - EDINBURGH
WILLIA.M CARNEGIE, General Manaser. GEORGE A. HUNTER, Sec.
LONDON OFFICE— 37 NICHOLAS LANE, LOMBARD ST., E.C.4
T. C. RIDDELL. DUGALD S.MITH.
Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaK'en. and the Accep-
tances of Customers residing in the Colonies domiciled in London, .ire
retired on terms which will be furnished on application.
The Bank of Nova Scotia
ESTABLISHED 1832
Capital paid-up
Reserve Fund and Undi
vided Profits over
Total Assets Over
HEAD OFFICE
S9.700.000
18.000.000
220.000.000
HALIFAX. N.S.
l>rcMUent
General Manager's Office, Toronto. Ont.
M. A. RiciiAUDsoN. l.c-ner.il .Manager
Branches in Canada
39 in Nova Scotia r.'J in Ontario
rj in Prince Edward Island 3Sin .New lirun
In Neivfoundland
Bay Roberts. Bell Island. Bonavistii. Bunnc Bay. liriKu>. Burgco. liurin,
Carbonear, Catalina. Change Islands, Channel. Fugo. Grand Bank.
Harbor Grace. Hermitage. Little Bay Islands. Old Pcrlican. St. John's,
Twillingate, Wesleyville. Western Hay.
In West Indies
HavBDt. Cuba, SaD Jaaa. Fftjardo mni Ponce. Portu Ricu.
Jimiica— Black River, l-iingstcm. .Mandeville. Montego Bay, .Morant Bay.
Port Antonio. Port .Maria. St. Ann s Bay. Savanna-la-.Mar,
Spanish Town.
BOSTON
In United States
■CHICAGO NEW VORK (AGENCY)
Correspondents
Great Briuio— The London Joint City and Midland Bank, Limited : Royal
Bank of Scotland.
France-Credit Lyonnaise.
Uniled Suiea-Hank of New York, N.B.A., New York: Nntional Bank of
Commerce. New York ; Merchants National Bank. Boston : First
National Bank. Chicago: Fourth Street National Bank. Philadel-
phia; Citizens .National Bank. Baltimore: The American National
Bank. San Franci>co: First National Bank. .Minneapolis: First
National Bank. Seattle.
THE
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
head office. weyblhn. saslia ichhw an
Branches in Saskatchewan at
Weyburn. Yellow Grass, McTaggart, Halbrite, Midale.
Griffin, Colgate, Panginan. Radville. Assiniboia, Benson,
Verwood. Readlyn, Tribune, Expanse. Mossbank. Vantage.
Goodwater, Darniody. Stoughton, Osage. Creclnian and
Lewvan .
A GENERAL BANKING BUSINESS TRANSACTED
H- O- POWELL. General M:inager
tncorporatdd
- - 1555
Branchea
Throughou'*^
Cancida
THE MOLSONS BANK
tpitnl and Reserve
Ovni l:<ii Hii
SH.OOO.OOO
A draft i
vher
COLLECT BY DRAFT
simple, economical and ctTectivc syittcm of collecting.
your creditor is located THE .MOLSoNS BANK
int will have vourdralt proenttd anj report promptly
It with the Man.iger ol any o( nur llrir, hr«
No matter
collection Depart
when psid. Con
Head Office MONTREAL. CANADA
R. C PRATT. I'.cnersI Mnn»«cr
The Dominion Bank
ESTABLISHED IS7I
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Eflicient service in all departments of Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
ACCOUNT HOOKS
LoosK I.KAF I.kik;i:us
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Streets
TORONTO
THE MONETARY TIMES
Volume 65.
I'KOVINCIAL I l.NANCKS
Kivtnues Increased by $6,000,000 in 1919. Hut I ailed to Keep
L |i With (irowth of Expenditure— (I'mparison for
Six Years
IN" its commercial letter for June, the Bank of Commerce
summarizes the financial position of the provinces as
revealed by latest public accounts. The article says: —
"For the fiscal year ending in 1919, the provincial gov-
ernments in Canada had a combined revenue of §76,306,044,
or $6,000,000 greater than for the previous year. Their ex-
penditures, however, increased by $11,000,000, the aggregate
being $76,025,211. There was a general increase in revenues
as a result of improved business conditions. Licenses for
jiutomobiles, land title fees, stumpage charges and corpora-
tion taxes yielded sums in excess of the estimates, but this
larger revenue was absorbed by increases granted to civil
servants and by the higher level of other expenses. More
liberal provision has also been made for educational require-
ments. The general tendency towards increased expenditures
and the corresponding demand for more revenue is shown
by the following comparisons: —
1914 1915 1916
Revenue $51,150,919 $49,910,743 $49,644,541
Expenditure .56.415,287 55,617,537 53,241,866
1917. 1918. 1919.
Revenue $57,962,979 $70,569,840 $76,306,044
Expenditures .59,710,666 65,809,163 76.625,211
Ordinary Provincial Revenie Per Capita ltil4 and 1919
l-l
1
; 1 ;
!
\
1
i
■ 1
ii
p.
n r"
n
^
..JL.JL.Ji.n n .
1914 1919 1914 1919 1914 1919 1914 1919 1914 1919
R.r. Alta. ."^n-xk. Man. Ont.
"The estimates for the current year provide for ordinary
expenditures of §81,000,000 and for revenues aggregating
$86,500,000. Each province anticipates still larger revenues
from motor licenses. Prince Edward Island is providing for
a past deficit by an increase in the land tax. -New Bruns-
wick, British Columbia and Ontario hope for substantial
increases in stumpage and other charges paid by those en-
gaged in cutting timber. Mines also in some provinces are
to be subjected to heavier royalties.
"A feature of the policy of all the provinces is the evi-
dent intention to keep ordinary expenditures well within the
limits of revenue. Fixed charges generally show an increase,
but this is not out of proportion to the growth of revenue
from ordinary services. Much capital expenditure .authorized
in recent years has not been incun-ed, doubtless owing to the
restraining influence of high interest rates, but from min-
isterial statements and budget speeches there is a disposition
now to enter upon capital expenditures of considerable
amount, as is evidenced by the authorizations given by the
legislatures. The conditions which deterred such expendi-
tures last year— that is, the high cost of labor and material,
as well as "of capital — are even less favorable at the present
time and do not promise to improve for some time to come.
The marked disinclination to add to fixed charges by bor-
rowing under present conditions, and at the same time the
effort to keep expenditures well within the revenue will, if
adhered to. prepare the way for borrowing on advantageous
terni.s when financial conditions become more stable."
"Discussions of financial conditions in some of the pro-
vincial legislatures, notably those of British Columbia and
.-Mberta, show a desire to protect the credit of the pro-
vinces by more
effective control
0 f municipal
finances, as it
has become
quite clear that
excessive bor-
rowing by such
bodies impairs
the credit of a
province. In ad-
dition to more
adequate con-
trol of munici-
pal borrowings,
some pi'ovinces
are exercising
greater care
in guaranteeing
and authorizing
capital expendi-
tures for enter-
prises of a pub-
lic character."
The per
capita revenue
obtained by
each province in
the years 1914
to 1919 is shown
by the accom-
panying graph.
1914 1919
Que.
1914 1919 1914 1919
N.B. P.E.I.
1914 1919
X.S.
SASKATCHEWAN MINKIPAL HAIl, INSIUANI K
ii ,-...i,i,. .,f the Saskatchewan Municipal Hail Insurance
\ 'ting in ncgin.t on June 8th, reached no de-
thp rcbnio which is to be allowed for
Mises other ' ly in the .sea.son.
■ i-ntion for - in connection with
;-. . .(1 by their . ' ' .lil insurance assess-
ment and fullfctions of rato.-. wa:, .licided on ns follows:
First — To cover the cost of compiling returns at the rate of
«..i „ . ,v-n5,j,ip_ to be paid on recr'"-' "' »'<■' returns. Second
— Where farmers have not made crop reports to the munici-
palities and it is necessary for tlie municipalities to send out
oflicials to get the infonnation, the association will pay ex-
penses when accompanied by vouchers up to a maximum of
$6 a day, and in addition will pay 15 cents per mile for mile-
age actually covered. Third— When the fall returns have
been received by the association from the municipalities
showing the assessments and collections, etc., remuneration
will be made at the rate of 15 cents per quarter section, pay-
able when the hail insurance taxes have been remitted to the
association.
July 2, 1920
THE MONETARY TIMES
AFRICAN BANKING
Corporation, Limited
(LONDON)
Paid-up Capital and Reserve, $6,800,000
Over 60 Branches and Agencies
throughout South Africa
Principal Branches located at Bula-
wayo, Bloemfontein, Cape Town,
Durban, East London, Johannesburg,
Kimberley, Port Elizabeth, Pretoria,
and Salisbury.
THE NEW YORK AGENCY
negotiates documentary bills of exchange,
issues drafts and cable transfers, and transacts
a general banking business direct with the
branches of the Bank in South Africa.
Correspondence invited from Canadian Ship-
pers to South Africa, and facilities offered for
the conduct of their business with that country.
Address the New York Agency
64 WALL STREET, NEW YORK, U.S.A.
HomeBankofCanada
Government Bonds and Savings Stamps
There is a page in the Home Bank's Thrift Account
Book for entering the date of purchase, amount, and
interest dates on Government Bonf's, War Stamps, and
Savings Certificates. The form is very concise and will
preserve all the details for ready reference. Ask for a
copy of the Thrift Book. Distributed free at all Branches.
Branches and Connections Throushoul Canada
Head Office and N-ne Branches in Toronto .
ESTABLISHED
Commonwealtb Barh of Bustialia
AM classes of GENERAL AND SAVINGS BANK businc.s arc irifit
acted in all the principal cities aril towns of Australia. Rabaul anj
London.
Bankinft and exchange bu^itncssof every description transacted wiih n
the Commonwealth. United KinKdom. Canada, U S.A. and Abroad.
I.\S k'KI.I,.
Di puty Governor \flO
DKNISON Mn.i.i:K,
Thomas Long
Sir Frederick
Hon. C. C. Ba
TH€ M€RCHANT5 BANK
Head Office : Montreal. OF CANADA Est.iljli5lied 1 864.
Capital Paid-up, $8,400,000 Reierve Fund and Undivided ProKti, $8,660,774
Total Deposits (30lb April. 1920) - $163,000,000
Total Assets (30tb April, 1920) - $197,000,000
Board of Directors .
Orr Lewis, Bart.
tLANTTNK
SIR H. MO.N'TAGU ALLAN
F. Howard Wilson
Farouhak Robertson
iJeo. I.. Caiss
Vice-Presidetil
Alfrei> B. liVANS
TtlOMAIi AllF.AKN
Lt.-Col. J. k. M00t.>IK
General Manager • - D. C. Macarow
Supt. of Branches and Chief Inspector: T. E. Merhett
Gencr.il Siinitrvisor - ■ ■ W A MKLDRt'M
A. J. DAWE-S
Hon. LoRNt C. Wkistkr
E. W. Knbkland
liORDON M. McGK»i;oR
AN ALLIANCE FOR LIFE
Many of the large Corporations and Tlieir banking connection is tor life —
Business Houses who bank exclus- yet the only bonds that bind them to
ively with this institution have done this bank are the ties of service, pro-
SO since their beginning. gressiveness. promptness and sound advice.
391 Branches in Canada, extending irom the Atlantic to the Pacific
New York Agency: 63 and 65 Wall Street: W. M. Ramiay and C. J. Crooksii, Agenu
London, England, Office, 53 Cornhill : J. B. Donnelly. D.S.O., Manager.
Bankers in Greal Britain : The London Joint City & Midland Bank. Limited. The Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
HANK KUANCH NOTES
I'orty-Eight New Branches Opened and Eight Closed in
May — Many New Buildings to be Erected — Bankers
Being Imported From Scotland
FJKTV-KIGHT brunches of Canadian Banks were opened in
May, distributed among the various banks as follows: —
Montreal, 4; Nova Scotia, 2; Royal, 10; Commerce, 4; Do-
minion, 2; Toronto, 1; Nationale, 2; Merchants, 5; Provinciale,
4; Molsons, 4; Hochelapa, 2; Standard, 2; Home, 1; Imperial,
4; Hamilton, 1.
The following eight branches were closed in May: —
Bristow, Sask., Standard; Calumet, Que., Nova Scotia; Esk-
bank, Sask., Merchants; Huberdean, Que., Merchants; J^ake
Valley, Sa.sk., Hamilton; Philipsville, Ont., Merchants; West-
erham, .S:isk., Standard; White Bear, Sask., Standard.
The following is a list of branches of Canadian banks
which were opened in May and have not already been men-
tioned in I hi- Miiihliiry rimes: — Angus, Ont., Home Bank;
Ashby, N.S., Merchants Bank; Cap St. Martin, Que., Pro-
vinciale; Edrans, Man., Merchants Bank; Estcourt, Que.,
Hochclaga; Fortune, Nfld., Nova Scotia; Grande Anse, N.B.,
Provinciale; Gormley, Ont., Imperial; Griffin Creek, Alta., Im-
perial; Hatchley, Ont., Royal; Hilton, Ont., Imperial; Hull,
Que., City Hall Square, Montreal; Hull, Que., Boulvd. St.
Joseph, Nationale; Melrose, Ont., Standard; Miscouche, P.E.I. ,
Royal; Morpeth, Ont., Molsons; Petite Cote, Que., Provinciale;
Providence Bay, Ont., Merchants; Quebec, Que., Molsons;
Ridgeway. Ont., Molsons; Rustico, P.E.I., Royal; St. Ambrose
de Kildaire, Que., Hochelaga; St. Eugene de Guigues, Que.,
Nationale; St. Faustin, Que., Provinciale; Toronto, Ont.,
(Broadview and Danforth), Merchants; Trinite, Martinique,
Royal; Union, Ont., Imperial; West Hamilton, Ont., Hamilton;
Winnipeg., Man. (Selkirk and .Arlington), Merchants; Winni-
peg, Man. (St. .lames). Royal.
Personal .Appointments
The Bank of Hamilton is establishing a branch at Ender-
by under the management of B. W. Cocks, formerly attached
to the main office staff at Vancouver.
F. A. Macrae has been appointed manager of the new
branch of the Bank of Montreal, which was opened in June
at the corner of Granville and Nelson Sts., Vancouver.
Branch Buildings to be Erected
The Bank of Hochelaga has been given a permit to build
on Ontario St. East, Montreal, a building with two dwell-
ings, costing $17,500.
The Royal Bank of Canada have permission to erect a
$r>0,000 building on Bernard St., Montreal.
The Bank of Montreal is to build on the corner of Notre
Oame and Second .Avenue, Mnisonneuve, Montreal, a ?:15,000
building.
The main office of the Royal Bank of Canada, Victoria,
will be extended by the acquisition of the property directly
in the rear of the present building, and extending through
from Government St., to Langley St. A. R. Heiter, local man-
ager, announced that the extensions will be commenced im-
iiuvliatcly, and will be ready for occupancy by the summer
of next year.
The Bank of Nova Scotia have a permit to build a
branch in New Toronto. The bank will coat ?20,000.
The Royal Bank of Canada will erect a new building at
Taber. .Alta..
Ttie Rank Nationale at Bourget. Que., wns robbed on
June 0th. and lost about $!),000. Thus far the robbers have
not been ca|itured.
New Branrhes Opened
The following br.-inrho? liavr been reported as opened
\h:-. wok: —
M \vm. B.C. .. .. Royal Bank of Canada
W .ir..ii\ die. Ont Royal Bank of Canada
\\innipeg, Man. (Portage Ave. and
Centre) Royal Bank of Canada
SHOWERS HELP ALONG WESTERN CROPS
Dryness Reported in Only a Few Places— Fight Against
Grasshopper is Successful — Wind Damage Small
(Special to The Monetary Times.)
Winnipeg, July 1, 1920.
REPORTS as to the present appearance of the crop are
universally optimisitic. Though sown late, it has grown
wonderfully fast, and a great deal of wheat is in the shot
blade. The past month has brought liberal and frequent
rains in most disti-icts, and in the extreme southwestern
corner of Manitoba, where thers has been dry conditions for
the past three or four years, a soaking rain has fallen.
Likewise the report comes from the Swan River Valley in
the north that there was a six-hours' rain last Sunday. At
this time of year, however, the warmth and rapid growth
absorb moisture quickly, and a few places report the ground
drying up somewhat. Everywhere a continuation of the
present showery weather for the next three or four weeks
would be welcomed. Wind damage this year has been neg-
ligible; there have been no late spring or summer frosts;
and the cutworm damage is less than usual.
Grasshoppers are widely distributed, and are extremely
thick in some places, serious outbreaks having occurred from
Saskatchewan as far ea.st as Pilot Mound and Lake Mani-
toba, and as far north as Hamiota and Langruth. A fair-
sized army of men — government, municipal and private — are
fighting them with carloads of poison mixtures, the materials
being supplied free by the provincial government, and though
the fight is not yet over, and the outcome depends some-
what on the rapidity of vegetative growth, it is faii-ly sure
that if farmers will continue to spread the poison mixture
without cessation wherever a "shoal" of grasshoppers ap-
pears, the scourge will be subdued. The prescription works
all right, and millions upon millions of hoppers have been
killed by it.
WEEKLY BANK CLEARINGS
The following are the bank clearings for the week ended
June 30th, 1920, compared with the corresponding week last
year: —
Week ended Week ended
*June30, '20. July 3, '19. Changes.
Montreal $103,213,539 $106,761,149 -$3,547,610
Toronto 79,350,471 71,479,825 -|- 7,870,646
Winnipeg 32,687,775 29,603,959 -f 3,083,816
Vancouver 14,962.871 10,075.247 + 4,887,624
Ottawa 6,300,005 7,551,330 - 1,251,325
Calpary 5,469,833 6,390,472 - 920,639
""'"''ton 5,227,062 5,768,759- 541,697
'^"'•'"'c 4,846.502 5,640,479 - 793,977
Edmonton 3,444,247 3,409.538 + 34,709
Halifax 4,104,3,57 5,079,816 - 975,459
V°"''°" 3,084,925 3,162,938 - 78,013
f.t- •'o'l" 2,637.2.-14 2,501,159 -f 136,095
^ 'ctona 2,590.404 2,408.078 -f 1 82 326
^f'^'^atoon 1,831.367 1,673,656 -|- 157,711
Moose Jaw 1.383.045 1,341,822 + 41,223
Brantford 1,119.906 990,136 -f 129,770
fi'"""'^'"' • 569,014 563,357 + 5,657
Fort W.lham 661„3.57 620,852+ 40.505
Lethhndge 574.106 .559,913 + 14,193
New Westminster .. 7.34..'^22 .564,816 -f- , 169,706
^f'''';'"""° 900,824 640,197 + 260,627
Shcrbrooke s.50.104 726,719 -f- 123,385
^.'^'■'"""^^'' 891.375 780,515 + 110.860
S 1"''"°'" ,, 2.173.266 1,506,790 + 666,476
Pnnce Albert 330,122 352,940 - 22,818
'^"^"^ $279.938,2.53 .$270,1,54,462 -|-$9,783,791
•For six days only, Dominion Day intervening.
July 2, 1920
THE MONETARY TIMES
17
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
PAID UP CAPITAL - . . .
RESERVE FUND ....
RESERVE LIABILITY OF PROPRIETORS
i:srAHLisHP.D isi:)
AUSTRALIA
^^.
- i 20.000,000.00
16.000,000.00
20,000,000.00
$ 56.000.000.00
AGGREGATE ASSETS 30th SEPT.. 1919 - -'VjS^ $335,181,247.00
Sir JOHN RUSSELL FREN'CH. K. BE. General Manager
340 BRANCHES and AGENCIES in the Australian States. New Zealand. Fiji, Papua (.New Guinea), and London. The Bank tranucti every description
■s. Wool anil other Produce Credits arranccd.
LONDON OFFICE: 29 THREADNEEDLE STREET. E.C.. 2.
of Austr.ilian BankinR Bus
HEAD OFFICE: GEORGE STREET, SYDNEY.
BANK OP MONTREAL. ROYAL BANK OF CANADA
ESTABUSHEXI 1879
Alloway & Champion
Bankers and Brokers
Members of \^innip<-!; Stock Exchange
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchanges
George Edwards, F.C.A. Arthur H. Edwards. F.C.A.
H. Percival Edwards W. Pomeroy Morgan A. G. Edwards
Chas E. White T. J. Macna.mara Thos. P. Gkggie
O. N. Edwards ]. C McNab C. Percy Roberts
A L StK.VKSS \V. H. TilOMP'-ON
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORO.NITO ..
CALGARY . .
VANCOUVER
WINNIPEG..
MONTREAL
CORRESPONDENTS
HALIFAX, N.S.
LONDON. ENG.
CANADIAN MORTGAGE BUILDING
HERALD BUILDING
LONDON BUILDING
ELECTRIC RAILWAY CHA.MBERS
McGILL BUILDING
ST. JOHN, N.B, COBALT, ONT.
NEW YORK. U.S. A
Succession Duties
in Ontario
The rates of Succession Duty having
been increased at the recent session
of the Ontario Legislature, we have
prepared a Booklet entitled " Succes-
sion Duties in Ontario." This Book-
let contains schedules of the new
rates, together with a summary of the
main provisions of the Act. To
readers of The MonclarX) Times we
shall be pleased to send a copy free
on request.
THE
TOROiSTOGEySERAOfeUSTS
COPPORATIOiS
Head Office - Bay and Melinda Streets, Toronto
LLOYDS BANK LIMITED, n.LOMBARnrnS^Ec.
CAPITAL SUBSCRIBED
CAPITAL PAID UP
RESERVE FUND
DEPOSITS. &c.
ADVANCES. &c.
$29 4,392,000
47,102.720
48,375,52.5
1,629,692.180
67S,8 17,955
THIS BANK HAS ABOUT 1.500 OFFICES IN ENGLAND & WALES.
(Ll^afand Foreign Department : U. CORNHILL. LONOOH. LC. 3. London »g.nc, of the IMPtRIU BA« OF CANADA,
colonial a^o^r^ Agency of Foreign and Colonial Banks ii. undcrtaken^_
>»■■• .1 p' u THF naTIQNaT bank of SCOTLAND LTD. THE LONDON & RIVF.R PLATE BANK LTD
AfhUated Bank^^THE^NATlONAL^ BANK ^^^^^^^^^^ PROVINCIAL FOREIGN HANK LIMITF.D
THE .MONETARY TIMES
Volume 65.
Canadian Opportunities in Foreign Trade
Heal LlTort to Secure Husiness Would he I'roductive, Says Bank of
Commerce— Friendly Feelin^c Towards Canada in Most Countries— Ware-
houses Would Make Prompt Deliveries Possible— The Currency Problem
MrCH foreign business could be secureil by Canadians if
they would send competent representatives abroad to
secure it, says the Canadian Bank of Commerce in a supple-
ment to its commercial letter for June. The article says: —
"In connection with our policy of doing all in our power
to develop the foreign trade of Canada, our representatives
have recently visited Portugal, Spain, Italy, Switzerland,
France. Belgium, Holland, Norway and Sweden, and they are
much impressed with the trade possibilities awaiting Canada
in these countries, if our exporters will only make the neces-
sary etfort to secure the business. .-Vs we have pointed out
before, the only satisfactory way to secure foreign trade is
to send representatives abroad to study the peculiar require-
ments of each line of business, and to establish first-class
foreign connections. Only a representative of the highest
class should be sent on a mission of this kind and he should
thoroughly understand his business and know his goods. He
should also be prepared to supply samples free of charge —
not ask the European house to pay for them, as has been done
in some cases — so that others may call and inspect what
they are asked to buy.
"If a system of warehouses can be established at leading
distributing centres, so that prompt deliveries can be made,
it will be a most efficacious means of developing trade and en-
suring its continuance. N'umerous instances have come to the
attention of our representatives in which prompt delivery was
the deciding factor in securing business, and while this is
particularly important at present owing to the scarcity of
many kinds of goods, it is always an important factor in any
selling campaign and should be given special attention.
Price Quotations
"Where goods are sold from samples, shippers must get
away from the parochial method of quoting 'f.o.b. Hamilton,
■Sherbrooke," 'St. John, N.B.,' or as the case may be. Such a
(luotation means that the importer must ascertain the freight
charges to the sea-board and across the ocean, not always an
easy matter for him, whereas if he is quoted, say, 'c.i.f. Chris-
tiania," '.-Vntwerp,' 'Genoa,' or as the case may be — which can
easily be done — he knows exactly what the goods will ^ost
laid down at his own seaport and will be much more likely
to favor the Canadian firm with an order. It must be remem-
bered that in order to place goods in new markets the seller
must aim at simplifying the transaction from the importer's
point of view— otherwise the business will go elsewhere.
"Canada to-day occupies a unique position in the matter
of foreign trade, and in this connection we refer particularly
to the very friemlly feeling which exists abroad towanls this
country. When our representatives returned from .Australia.
New Zealand, China and Japan last year they laid particular
«frei" on this (see the supplement to our Monthly Commercial
for .\ugust. 19191, and apparently the same friendly
exists towards Canada in the countries which have
■ •n visited on the continent of Kurope. I'sually if takes
a l.iMg time to attain such an attitude, but in our case it has
inme to us spontaneously, doubtless on account of the efforts
made by Cnnada in the great war. Her soldiers and their
heroic deeds have made the iinnie of Canada famous through-
nut the world and this, with her natural resources, makes
,<:hr'- .•nuiitrie.i expect great things of Canada in the reeon-
• 1 ;;(in and future trade of the world. This distinctly
•'•■ ■■ ndly sentiment, an incalculable asset in business, must
■ t he allowcKl to become extinct hy inaction.
'Our representatives rciwrt that again and again reput-
' "ises abroad have commented upon the fact that while
1^ of representatives of fimis from the United States
Hod upon them, thcv vcrv seldom s(.,> .i r nvi.li^m
Canadian manufacturers may argue that domestic trade is
booming, that their plants are fully occupied and that it will
be time enough to look for foreign trade when the home
market is fully supplied, but by that time the foreign markets
may also have been supplied by other countries, thus the market
for the goods they would have liked to introduce will be taken
away from them and years of energetic work may not suffice
to give them a foothold. It is, therefore, important that
Canadian manufacturers and dealers in raw materials should
. devote a portion of their organization to foreign trade and
should either collectively or individually have representa-
tives studying the peculiar requirements of each market in
which their goods might be sold. If such action is taken and
the greatest of care exercised in packing, shipping, and
supplying only the finest quality of goods, it seems to us
that Canada cannot but be successful in her efforts to secure
foreign trade.
Direct and Permanent Connection
"What should be aimed at is the formation of connections,
abroad which will be both direct and permanent. Canadian
exporters are inclined to ship to the United States to obtain
the benefit of the existing premium on exchange, entirely
overlooking the fact that this same premium gives them an
advantage over United States exporters in foreign markets
by enabling them, price and quality being equal, to undersell
their United States competitiors, if so desired, to the extent
of the premium. By thus dealing direct with foreign firms
they would be building up their foreign connections and will
make Canadian firms and brands of goods known as such in
foreign markets, an object which it is highly desirable to
attain.
"The argument is put forward: 'Why ship abroad when
we can ship at once to the United States and know exactly
what premium we will receive on our sales, while on the other
hand, if we ship abroad, it may be three months before the
relative payment arrives in New York, and we are in the
meantime subject to the vagaries of the exchange market?'
Our answer to this is that some day the premium on United
States funds will disappear and if Canadians have not estab-
hshcd their position they will then be dependent on the United
States and that country will have the connections abroad, so
that when business slackens and there is not much demand
for Canadian products across the border, they will be left out
in the cold. We are not in any way unfriendly to the United
States, in fact, we believe in selling that country everything
possible in order to offset the $2,280,000,000 worth of "goods
purchased from them during the past three years, but we
have in mind the similarity of the exports of the two countries
and the fact that the time may come, as already intimated,
u^^ien they will have a sufficient surplus to dispose of to en-
able them to fill the foreign demand, and we are merely point-
ing out that Canada, as a nation, should aim to do her
business direct rather than through an intermediary.
Dollars or Sterlini;
"If it is not desirable to sell on a c.i.f. basis in the cur-
rency of the country to which the goods are destined, they
can bi. sod either on the basis of Canadian dollars. United
Mates dollars or pounds sterling. If sold in Canadian
dollars the attempt must not be made, as it has in some
f^.r;. ? ""-'"'•''"t "•" '"■'"" ""''"'•"• to compensate for the
In h *!^' .f""'^ ^'■«' ""t paid for in United States dollars.
Jan ili^,T>K^ ^' I '"'"' ^°"'^" "merchants are much more
Inl • ,ev „! \'k "^' P'"*"''*'"^ "^='" '■»" o^r o«'n exporters
w 1 l?nlZ /.'u'" ^ ^^'" ^"''"■' '" the matter of price, as
n.n as quality. ,f ,h,s country is to do a lasting business."
July 2, 19:20
THE MONETARY TIMES
I
SterungTrusts Corporation
I Professional Men
and Manufacturers will find it profitable to
let us marage their personal Estates for
them. Our experience and financial advice
is free. We open and keep a complete set
of books, make income tax returns, look
after investments. &c.
Unfile lo-Jay. 1121
^
Your Summer Vacation
can be made free from wony in legard to business
which might otherwise be neglected, by ap-
pointing this Company to act as your Agent
during your absence. We will be pleased to be
commissioned to collect your rentals or other
moneys, make payment of taxes, etc., submitting
statement of all transactions.
Corrcsponclincc and cnqiinia mvitcJ.
THE CANADA PERMANENT TRUST COMPANY
18 TORONTO STREET. TORONTO
THE ALBERTA TRUSTS COMPANY, LIMITED
FINANCIAL AGENTS
StockiandSonJi. Firclmuranct.clc. Real Eitalc and Farm Landi. i'alualcn.tlc
Correspondence solicited
Union Bank Building • Edmonton, Alberta
ary
Ma
COLONIAL TRUST COMPANY
Head Office - - Victoria, B.C.
Registered in the Provinces of British Columbia and Alberta
Authorized to act as
Administrators Liquidators
Receivers Assignees
Executors and Trustees
R. F. TAYLOR. ManaBinB Director
The Best Time To Make Your Will
is at the time when you are enjoying good health and the
full possession of your mental powers Make certain that
the terms of the will will be carried out properly by ap-
pointing this company as executor. Expert service in
executing a will usually means procuring larger benefits
from an estate during settlement. We welcome enquiries.
Send for our Boot(lcl on H'ilU.
Chartered Trust and Executor Company
46 KING STREET WEST, TORONTO
HON. W. A. CHARLTON. M.P..
l>resiJent.
.lOHN J. GIHSON. M.-inailint Dli
WESTMINSTER TRUST COMPANY
iai Trust Company m B.C.
NEW WESTMINSTER B.C.
The Oldest Pro
Head Otfice
GENERAL FINANCIAL AGENTS
Admtmlttratorj, Ktctivin. Eanlcn, IJtmlJalon . Asittm
K. A R1I5DBLL. ManaBcr
J. S.DENNIS. President.
JAMES W DAVIDSON,
Vice-President
The Western Agen
cies & Development Co.
i 111 1 1 <■ •!
Gilt Edge Farm Mortgage! netting the inTttlor 7°
, for lale.
Calgary,
Alberta, Canada
Saskatchewan General Trusts
Corporation, Limited
Head Office: Regina, Sask.
Executor
Adminittrator
A*»ignee
Special attention given Mortgage Investments, Collectioos,
Management of Properties for Absentees and
all other agency business.
KOAKU OF niBECTOKH:
W. T. MOLLARD, President G. H. UAKR. K.C.. Vice-President
H. E. Sampson K.C. A. L. Gordon. K.C.
David Low. M.D. W. H. Duncan
Chaii.WiUoughby William Wilson
E. E. .MURPHY. General Manager
Olficial Administrator for the Judicial District of Wcyburo
'' He's on his
Holidays
11
^ ou dont want your executor
to give up his holidays to at-
tend to your estate.
But neither would you want
your estate to suffer while your
executor took his holidays.
Appoint this Company your
executor. It will avoid this
difficulty and many others.
Booklets on request.
National Trust Company
l.iinilcJ
Capitol r«id-up, SI.SoiMino Reserve, $I.60(t,nO(l
1H.22 KING STREET EAST • • TORONTO
THE MONETARY T I -M E S
Volume 65.
WOKK.MENS COMI'ENSATION IN ONTARIO
1919 Kiporl Reviews Work Accomplished — Amount I'aid Out
Last Year Was $1,192.859— Higher Wage Scales
Increase Payments
FIVE years' experience under the Workmen's Compensation
Act in Ontario ;ire reviewed in the annual report of the
Ontario Workmen's Compensation Board for 1919, just issued.
It is also pointed out that workmen's compensation legislation
in other provinces has been to a large degree modelled after
that of Ontario. Payments have increased substantially dur-
ing these five years. The report says in part: —
••During the year, 1919, $4,192,859, or an average of $14,-
000 per day, was awarded in benefits to workmen and their
dependants! the total number of accidents reported being 44,-
260, of which 429 were fatal. About 3,000 pieces of mail, in
and out, were handled each day by the board, the number of
chetiues issued daily being 408. More than 100,000 people
(including workmen's families) were more or less dependent
upon these payments for their support. It is estimated that
r>00,000 workmen in all are under the protection of the act.
"There has been now five years' experience of the present
workmen's compensation law. Since it came into operation
laws similar in principle have been adopted in nearl.r all the
other provinces of Canada. Its outstanding features are the
simplicity of its provisions and procedure, the extension of
the benefits to all injuries by accident arising out of and in
the course of the employment, the elimination of litigation
and expense, and the expeditious payment of compensation
directly into the hands of the injured workmen or their de-
pendents.
.\dmlnistration
•"The administration in what may now be called the Can-
adian type of compensation law is a complete change from
the old system. The administering board is a trustee and an
arbitrator rather than a court. The powers and responsibili-
ties vested in it are very great, and upon their proper exercise
must deuend the successful working of the act. The wel-
fare of those whose interests ai-e entrusted to its care must be
the only guiding principle, and there must be absolute im-
partiality and firmness of purpose in doing what is felt to be
right and in resisting the improper and indirect influences
which too often assail an administration of this kind. If the
|iiiri"iM-s of the act arc to be fully attained the administering
1 ; must actively and even aggressively sec that its pro-
\iMiiiis are effectively carried out.
"The many requests to be brought within the scope of
the act made by classes of employees not already covered,
and the rapid increase during the past year of applications
from employers to bring their industries under, emphasize the
popularity of the present law with both of the classes directly
concerned. Workmen from the commencement generally re-
garded the net with favor, and their sympathetic attitude has
been a great assistance in its administration. The great ma-
jority of employers are now also in hearty co-operation with
the working of the net, though doubts were at first enter-
tained among them as to its merits and workability.
Contrast With Other l.nws
"The collective liability principle of the Ontario law is
.11 contrast with the individual liability law of Great Britain
:iiid with the company insurance individual liability laws in
ixisteni'e in most of the United States. In Great Britain the
...ys»>M>i nf individual liability and court procedure and appeal
1 i~ '. n.lored the act so unsatisfactory, reducing its efficiency
• - -^ud to ."lO per rent., that n special commission is now
•u; a reniedy. In the fnitod States, where the insurance
lilies are allowed to deal with the workmen, investiga-
! i .15 disclosed short settlements and other abuses which
' eiii inevitable under such a system. Statistics there show
•liat under the old employers' liability 'insurance, after do-
■ lilting profits and lecal and other expenses, less than 25 per
ii't. of the premiums paid by employers actually reached
ic workmen or their widows and children. In Ontario last
year only l.Tl per cent, of the assessments paid by employers
went toward expenses. Probably under no other law does
so nearly the whole of what employers pay for accidents go
for the benefit of the injured workmen and their families.
Benefits and Assessments
"Though the benefits under the Ontario Act are already
liberal as compared with most other places, the assessments
upon employers are not high. The factors conributing to the
low rates of assessment are the comparatively good accident
experience, the absence, under the collective liability system,
of unnecessary costs and expenses, and the fact that the
province pays the larger portion of the administration ex-
penses. The average rate of assessment actually paid by em-
ployers for each year since the commencement of the act was
$1.27 (reduced from $1.64) per $100 of pay roll for 1915, $1.09
for 1916, $.99 for 1917, $1.09 for 1918, and $1.22 for 1919.
"One of the objections raised to the enactment of the
present law was the danger of malingering. A compensation
law or administration that did not recognize and guard
against this danger could not be satisfactory, but it is felt
that there has been little cause for complaints of this kind
in Ontario up to the present time. Such difficulty as has been
experienced has been chiefly with claimants having no one de-
pending upon them for support, largely the low wage earner,
and occasionally the high earner who gets a high rate of
compensation, but rarely the average worker with not only
himself but a family depending upon him for support.
1919 and Prior Years
"Though the number of accidents in 1919 was less than
in 1918 the total amount of benefits awai'ded was greater.
There were 47,848 accidents reported in 1918 as against 44,-
260 in 1919, but the benefits awarded in 1918 were only $3,-
883,994, as against $4,192,859 in 1919. The increase was
because of higher wages, which automatically increase the
compensation, and because of the increase in widows' and
children's allowances and in medical aid under the amend-
ment made in the early part of 1919. The average weekly
wage of injured workmen increased from $13.27 in 1915 to
$24.80 in 1919, the figures for the intervening years being
$15.63, $19.06, and $21.93, respectively.
"A very gratifying fact shown by the returns for 1919
is the comparatively small falling-off in the general volume
of industry after the close of the war. The earlier months of
l'.>19 showed much less industrial activity than the corre-
sponding months of the prior year, but the latter half of the
year showed a large and steady increase.
Accident Statistics
"The information obtained in dealing with cases affords
the opportunity of tabulating much exceedingly interesting
and useful information in relation to accidents and workmen.
As the extent of the disability that an accident may cause
cannot, in many of the cases, be ascertained until long after
the accident has happened, this data is not complete after
the close of the second year. In this report the statistics
arc for the accidents which happened in 1918. As it is only
in Schedule 1 cases that the Board pavs for medical aid the
figures relate to Schedule 1 industries only.
"Of the accidents in which compensation or medical aid
was paid, less than one per cent, resulted in death, less than
one-tenth of one per cent, in permanent total disability, and
about fi's! per cent, in permanent partial disability; .57 per
cent, involved only temporary disability and about 36 per
cent, medical aid only, causing less than seven davs loss of
time.
"The total time loss for the year, exclusive of loss of
man-power by de.ith and permanent disability, was 573,653
working Hays. The average time loss in temporary disability
cases was 10.75 days. In 47 per cent, of the temporary dis-
ability cases the time loss did not exceed two weeks; in 68
per , ent. it was not over three weeks; and in 90 per cent, not
over six weeks."
July ■>, I'jiJu
THE MONETARY TIMES
Helping
the
Sl. Operator
We suggest that subscribers practise
the following : —
1. Always consult our latest directory,
because numbers are frequently
changed.
2. In a moderate tone, speak slowly and
distinctly directly into the mouthpiece
with your lips not more than an inch
away.
3. .Answer promptly when your bell
rings. It saves '' Central " ringing
again ; saves the calling party's time,
and speeds up business generally.
4. When you answer give your name or
the name ol your firm instead of the
old-fashioned " Hello, " thus allowing
the conversation tc begin without
waste of time.
Co-operation with the operator, as
above, cannot but help your service.
The Bell Telephone Co.
of Canada
THE BANKERS'
TRVST 0OMB\NY
Head Offices: MONTREAL
Capital Paid Up
$250,000
I'rciiJcnl -
SIR H. MONTAGU ALLAN C.V.O.
I''icc-Prcsijenti -
K. W. BLACKWELL D. C. MACAROW
JAMES ELMSLY
C. D. CORNELL
Cenerat Afanager
Secretary
H. Mo
. ntagu Allan,
T. AhMrn C.V.O.
K. W. BLckwclI
C. L. Cm,
A. 1. Dawes
A. B. Evan.
David N. C. HoBg
Directors:
. ICilbourn
. G. Kippcn
B. Leiich
F. Ori Lewi.. Ban.
The. Ung
D. C. .Macaiow
W. A. Meldium
W. B
F. E. Meiedith. K.C.
T. E. Menrti
U..C0I. J. R. Moodle
Farquhar Roberlaon
Hon. Lome C.Web.let
F. Howard W.iMn
Edwin H. WilKin
lohn Wil.on
Offices now open in Montreal, Winnipeg.
Calgary, St. John. N.B.. Halifax, Regina,
Vancouver, Victoria and Toronto.
Premises in Merchants Bank Building in each city
Accumulate an Estate
Are you tempted to dispose of your Victory Loan Bonds in trade
for speculative securities ?
Before doing so. look into the advantages of a LIVI.VG TRUST
agreement with the Union Trust Company. Limited You may use
your bonds as a nucleus, and thus ensure your Wife's and Kiddies"
comfort and happiness.
Write for our hookl-t "I.i
i Tr:itt-'
Union Trust Company, Limited
HENRY F. GCX3DERHA.M, Preiident
TORONTO - - Cor. Bay and Richmond Sts
W1.NNIPEG. MAN. LONDON. ENGLAND
i% on Saxnnos— Withdrawable by Cheque ivl
Canadian Financiers
Trust Company
Head Office
Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for investment in all classes of .Securities.
Business Agent for the R. C Archdiocese of Vancouver.
Fiscal .\Kent for H. C. Municip.ilitics.
Inquiriet IttcHed
nrrni Miuingrr l.lrul.-<«l. I.. II. ItOUHI'.l
The most important document a person of large or sm.-ill
means is called on to prepare is his
LAST WILL AND TESTAMENT
It means the happiness and welfare of those most dear.
Ask for Booklet: " Make Your Will."
CAPITAL, ISSl'KD AND SUBSCRIBKD
PAID-TTP CAPITAL AND RESEKVK
The Imperial Canadian Trust Co.
EzecDtor, Administrator, Assignee, Trustee, Etc.
HEAD OFI-ICK: WINNirKG, CAN
BRANCHES: SASKATOON. REGI.VA EDMO.STON. CALGARV.
VANCOUVER AND VtCTOKlA *
.?I,I7I,"00 00
. 1,172.000 00
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, .Mi.n.
Acti *• Eiectttor, AdBiniilrtlor, Trailer, Cairdiip, Liquitfiler
Aiiifnc*. ind ia tuj oiktr (id«ciirr capacily.
Official Ailniinislriitor for the Northmi JuHicinI
I>islricl and the Dnuphiii Judicial fistrict in
Manitoba, and Official AsMKiiec for the Western
Judicinl Disliict in Miinitoliti .iml the Swift
Current Judicial l;istricl in Sa^k.itchewsn
Branch Office - - Swift Current, Sn.kiilchrw.n
JOHN R. LITTLK. Manai;'"? Director
THE :\IONETARY TIJIES
Volume 65
Ontario Assessment and Population Increased
Population at End of lilUt was 2.(521, T.s.'i, Compared With 2.o71)J77 at End of 1918—
Assessments for 1!»1S Higher Than for 1917— Increase of $6,000,000 in Municipal Taxes Levied
T)I'RAL communities in Ontario increased their popula-
-'•*' lion in 1919, as well as cities, according to figures just
issued by the department of municipal affairs of the pro-
vince. In 1918 the towns, villages and townships showed
actual decreases in population. The comparative figures are
as follows: —
Population.
Villages
Townships, and towns. Cities.
1919 998.597 .■>28,:J26 1,094,862
litis 996,228 520,791 1,062,158
1917 1,003,664 524,005 1,032,784
Total.
2,621,78.T
2,579,177
2,560,453
!;il7
1916
I'l
II
In the townships the increase in population for 1919 over
1918 is 2,369 and a decrease over 1917 of 5,067. In the vil-
lages and towns the increase for 1919 over 1918 is 7,535 and
the increase over 1917 is 4,321. In the cities the increase for
1919 over 1918 is 32,704 and an increase over 1917 of 62,078.
This will leave an increase for the province of 42,608 for
1919 over the year 1918 and an increase of 61,332 for 1919
iioni the year 1917.
' Assessments
Villages
Townships, and towns. Cities. Total. •
$706,635,799 $265,795,177 $1,096,947,539 $2,069,378,515
698.900,181 263,401,104 1,065,260,575 2,027,561,860
692,560,277 252,225,366 1,059,892,904 2,004,678,547
The total assessment in the townships in 1918 includes
i;9:-,n37.j97 real property, $5,824,669 business assessment,
.773,6;!;; income. There is also included $10,649,969 in
i property and $1,297,554 in the husiness assessment
.'lys school rates only.
Tlie total assessment in the villages and towns is made
of $231,919,879 real property, $21,539,975 business assess-
'*■ ' ■'•'23 income. In the villages and towns
'■ and $3,314,793 included in the real prop-
■ assessment that pays school rates only.
The total u.>,sessment in the cities is made up of $949,-
8.691 real property, $105,956,087 business and $41,842,761
In 'he cities there is $28,131,992 and $4,709,218 in-
in the real property and business assessment that
hool rates only.
Tlic total assessment of the province is made up of
•>l,.S7t;.10(;.067 real property, $133,320,731 business assess-
iiiiit .uid $.V.t.9.".l,717 income. The total assessment of the
■ will include $48,674,880 real property and $9,:!21,565
assessment, making a total of $57,996,445 that pays
only for 1918.
assessment in the townships show an increase for
■ 1 1''17 of $7,735,(;i8 and over 1916 of $14,075,522.
' - and towns the increase for 1918 over 1917 is
I over 1916 of $13,569,811, The increa.se in the
> r.-in over 1917 is $31.68(i.9r.4 and over 1916 is $37,-
Tho total increase for the province 1918 over 1917
>16,r.5ri .-jtid over 1911; of .<i;4,i;99.9(',S.
.\reas .Vssivscd
rtu. total area assessed in the townships for 1919 is
made up of 24.2.;.J..'^24 acres resident and 855,731 non-resi-
dent, makuig a total of 25.120.2.55 acres. This is divided
into 14.897,378 clearance. 4.S41.214 woodland, 2,7.56.297 slash
land and 2.r,25.:',(;6 swamp, marsh or waste land. The area
in the villages and towns for 1919 is 2.59.2f.3 acres. The area
in the cities for 1919 is 92.396 acres.
In 1891 there were 484 townships organized. 135 villages
:'ii towns. 11 cities and 38 counties, making a total of 758. In
'i'.' there are 5.5n townships. l.-.O villages. 1.39 towns. 23 cities
and 38 counties, making a total of 903 organized municipali-
ties, besides 10 districts that have no organization similar
to the county councils.
Municipal Taxes
Villages
Townships, and towns. Cities. Total.
1918 $11,223,811 §6,146,674 $26,931,590 $44,302,075
1917 • 9,462,175 5,589,415 23,082,427 38,134,017
1916 8,275,-353 5,164,817 20,854,540 34,294,710
The townships for 1918 show an increase in municipal
taxes imposed of 81,761,636 over the year 1917 and an in-
crease of $2,948,458 over the year 1916. The villages and
towns show an increase for 1918 over 1917 of $557,259 and
over 1916 of $981,857. The cities show an increase for 1918
over 1917 of §3,849,163, and over 1916 of $6,077,050.
School Taxes
Villages
Townships, and towns. Cities. Total.
1918 $5,093,924 $2,870,136 $8,474,337 $16,438,397
1917 4,672,057 2,606,282 7,547,463 14,825,802
1916 4,418,670 2,401,023 7,187,694 14,007,387
The increase in townships for 1918 over 1917 for school
taxes imposed is §421,867 and over 1916, §675,254. The in-
crease in villages and towns for 1918 is $263,854 over the
year 1917 and an increase over 1916 of §469,113. In the
cities the increase for 1918 over 1917 is §926,874 and over
1916 is $1,286,643.
Debenture Debt
The debenture debt is as follows: —
Villages
Townships, and towns. Cities. Total.
Municipal $6,839,044 $29,310,482 $166,435,955 $202,585,481
School . . . 2,899,461 3,960,077 23,829,955 30,689,493
Total.
II'IS 9,738,505 33,270,559 190,265,910 233,274,974
1917 9,242,292 33,390,732 184,121,866 226,754,890
191(i 8,953,926 32,042,660 184,701,426 225,698,012
Sinking fund:
l-'l*^ 174,.588 2,328,214 43,452,328 45,955,130
191" 147,836 2,300,248 40,881,536 43,329,620
191fi 159,348 2,140,073 36,885,289 39,184,710
County Debts
In addition to the foregoing debts the county municipali-
ties have the following debenture debts and sinking funds:—
Sinking
Municipal. School. Total. fund.
^•'1** $6,725,437 $7,431 $6,732,868 $448,761
i;'^' 6.110,010 8,207 6,118,217 396,039
*^'*' 5.282.821 8,953 5,291,774 305,652
Taxable and Exempt Property
Taxable real property statutory and other exemptions.
T u- .-.i"''"''' Buildings. Land. Buildings.
Townships :>.-,00,49<.171 $194,.540,273 § 3,644,464 $ 22,834,529
\ illages &
towns . 77,687,195 153.558.536 5,900,025 36,760,430
titles ■■• 496.79.5,154 4.52,353„537 78,129,126 114,695,006
Totals:
\l\- ■ ■ ^^ o-^r?'^-*' •?800.452,346 §87,673,615 $174,289,965
1-1' .. 1.0/3,.544,240 776,851,816 87,555,062 168,876,690
July 2, 1920
THE MONETARY TIMES
IN\EST YOUR SAVINGS
in a ^y.,% DEBENTURE of
^ The Great West Permanent
O 2 /j Loan Company
SECLRITV
INTEREST ''''■'^-"r Capital $2,412,578.81
Reserves . 964,4S9J9
......n.n.. Assets 7,086.695.54
RETURN
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Calgary,
Edmonton, ^'ancouver, \"ictoria ; Edinburgh,
Scotland.
Your friend and
The Canada Trust Company
Should you wish to have a friend act as executor
without burdening him with Look-work and other
details this can be arranged by naming The Canada
Trust Company co-executoi.
Competent and careful accounting is essential to
the proper managment of your estate.
The QiSxDx Trust Coi'VPANV
" The Executor for Your Estate."
DELAY MEANS LOSS
Thr cash with which you have been intendinii to open
a deposit account should br earninR tomethin^; tor you.
Open an account with ihii Corporation NO\X' and receive
interest at
THREE and ONE-HALF
per cent, per annum. p<iid and compounded half-yearly.
In addttion to a •rr\icr noird for promptnru and cAicicncy you wUl
hove the benefit of our lone e«peti<rnce. which rxtend* over a period ot
..xty five year.. One dolUr o. morr w.ll open an account on which ful!
checkinK privileK'e* will be allowed.
Canada Permanent Mortgage Corporation
TORONTO STREET
Total ..^sjth Exceed
TORONTO
$12.000 .000 m
S3 3. 000. 000. 00
^"^ Ontario Loan
& Debenture Co.
LONDON iNCORl'ORATKU IsTM
C.APIT.\L AND UNDrVlDED PROFITS
Canada
5
10/ SHORT TERM(3 TO ." VE.\RS)
- / DEBENTURES
2/0
YIELD INVESTORS
5
10.
7
JOHN .McCLAKY, Presldtnt
A M SMAKT.Minalcr
/^VER 200 Corporations,
^^ Societies, Tru.stees and
Individuals have found our
Debentures an attractive
inxe.stment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Office. No. 13 roronio Street
Cipital Account . l<i;«»..V-.0.00 K.-irvc Fund. »«:«.««o M
Tot;il A-^ctv |il.'l.'.'49.l.-.l.«S
President. WELl.INC.TOV KKASCIS. K»q.. I< C.
VicclVt«idrnt. HEKHKHT l.^NGUOIS. Esq.
Debentures issued lo piy S"... :i Lcn.il Invevlmfnt dr Truit Fundi.
Depo«iits received ;it <".. interest, withdmw able by cheque.
Loans nude on .mrnncd ni-;il K.|..Icnn favnr.,hl.- l.-rms.
WALTER GILLESPIE. Manaaer
Six per cent. Debentures
Intermit payable hjlf yearly tt par at any bank in Canada,
Particulart on application.
The Canada Standard Loan Company
520 Mclntyre Block. Winniptg
Port Arthur and Fort William
Realty Investments
Inside City and Revenue Producing Property.
Mortgage Loans Placed.
Write us for illustrated booklet descriptive of
the twin Cities.
GENERAL REALTY CORPORATION, LIMITED
Whalen Building, PORT ARTHUR, Ontario
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
Mjaonic Temple Bulldinl. London Canada
iiit.rcM u 1 l>tr cciil p.iv.tblc ImH vc.irlv on I»rl«-niurc«
T H PURDOM.KC . Pr«.ldent NATHAMHL MILLS M.OWi.r
London and Canadian Loan and Agency Co., Limited
H.i»"M.M|.i. IKT.i ■•' *<»^«-' »T . tOKOMII
I'aiJ up Ciritai JI.^VI.OOO K.vl |"«i"0 Total A«»el« J-•-OV^,.'
DrlM'Blarra i.mkJ. one hundrel Jo'.lar^ ..nd upward., one to hve >""_
Hc.< current rates. Interest payable half yearly „ JhM. D.bjintur.. ... aa
Author. «ed Trustee Investcnenv Mnrt(la,c Loant made iB Ontar.o Manl-
tobi and Saskatchewan
WILLIAM WEDI) Secretjr, V II WAOSWQRTH. Mana««f
THE MONETARY TIMES
Volume 65.
(AI'IIAL ISSLES IN THE LMTKI) hl.\(il)(JM
EMIM.OV.MENT CONDITIO.NS IN CANADA
There has been a ilistinct falling; off in the volume of
capital issues in the United Kingdom, according to informa-
tion furnished fo The Moiulary Times by F. V>. Field, British
Trade Commissioner at Toronto, based on notes forwarded
by the Department of Overseas Trade in London. The slack-
ening tendency noted toward the end of March proved to be
the lirst indication of a period of, relatively, considerable
reserve, and the total new capital applied for is, comparative
with recent applications, of modest volume. The public have
been increasingly reluctant to support the continued flow of
applications, and the conditions arc now such that many
notations are being withheld until the situation appears more
propitious, and the majority of new issues have been on
behalf of county and municipal undertakings only a little
over I' 1,000.000, being ap))licd for by industrial and shipping
concerns during the (irst week of the month. The effect of
dearer money is evident, but, unfortunately, the check ap-
pears to operate more severely upon some industrial securi-
ties than upon the speculative stocks, and industry seem?
likely to suffer thereby.
Registration of new companies continues on a fairly ex-
tensive scale, the aggregate capital of recently announced
registrations up to the end of the third week of April
amounting to nearly i'(;8,000,000. Of this total, shipping
accounts for the largest quota with about £'24,000,000, and
of this sum, £20,000,000 forms the nominal capital of one
registration, namely, the Shipbuilding and Associated In-
dustries, Ltd.
MOMUEAL AM) (jrEHEC S.\VIN(;S INSmTTIONS
DOMINION government demand deposits show a reduction
of $0."),000 in the May report of the Montreal City and
District Savings Bank, us compared with the previous month,
while the Cnisse d'F2conomie de Notre-Dame de Quebec shows
nn increase of $20,000 in this respect. Total liabilities of the
two institutions were reduced during the month to $r>5,2.">2,0G:!
from $.")."i,(;S4.S0.'>. Under assets, cash in hand and on deposit
v.is Iiiwcr by some $',>.!,000, while holdings of Canadian muni-
'curities were reduced S20,000. In the case of the
bank, loans on bank stocks were about $5,000 lower,
.^iii.i in the latter case an increase of $34,588 was shown in
that department. Loans on other securities were higher in
both rases. Total assets of the two institutions amounted
to $i;o..a6.it45, as compared with $00,528,300 at the end of
April. The complete returns as at May 31st, 1920, are as
The Employment Service of the Department of Labor
reports that returns from the Dominion and provincial offices
of the Employment Service of Canada for the week ended
June 12th show an increase in placements when compared
with the returns for the preceding week. The offices reported
that they had made 7,810 references to regular positions, and
that 6,965 placements were affected. This is an increase- of
765 when compared with returns for the previous week, when
(1,202 applicants were placed. In addition, 1,870 casual jobs
were supplied, as compared with 1,674 during the week ended
.June 5th.
During the week 9,048 applicants were registered, of
whom 7,994 were men and 1,054 were women. This is an
increase of 1,348 in registration when compared with the
figures for the preceding week. The number of vacancies
notified by employers to the service during the week totalled
9,569, of which 7,805 were for men and 1,764 for women.
This represents an increase of 1,417 vacancies over the pre-
ceding week, when 8,152 were reported. Of the placements
in regular employment, 6,404 were men and 563 were women.
The number of ex-service men reported as placed was 1.560.
MUTILATED BANK NOTES
C. A. Bogert, president of the Canadian Bankers' Asso-
ciation, has issued the following warning with reference to
fraudulent bank notes: —
"The public is warned against a form of fraudulent
mutilation of bank notes which recently came to light in
Toronto, Hamilton and St. Catharines. Any bank note with
a band of adhesive tape about half an inch wide i-unninp
across the note must be viewed with suspicion, and should
not be accepted in making change. Send the person who
presents it to the bank whose note it purports to be and put
upon him the burden of getting it redeemed. It will be found
on examination that the note is made up of parts of two
notes, the numbers on either end being different instead of
alike, or one of the numbers will be obliterated so as to
prevent the difference being noticed. Occasionally the mu-
tilation will consist of the removal of one end of the note,
and there will be no adhesive tape. The fraudulent manipu-
lation consists in cutting up a number of notes and pasting
the pieces together so as to make more notes than were
originally cut in two. ■
•'It is a petty form of fraud with small results to the
forger, and once the public is on the lookout for these 'notes,'
the fraudulent manipulator's occupation will be gone."
City and OlUrtct Savlnito Hank
^ \l'
1 M.
t'.iivt.
demand
dcpo*t!».
<
ICR.fiU
1
Provincial
Oovl.
demand
dcpoHitA.
t
Other
dcman.
dcposifi
$
LIABILITIE
Dominion ' Provincial
Govt. Govt,
notice, etc.. notice, etc.
; deposits. deposits.
s
Other
Liabilities.
Capiiul
paid up.
•
l,4M.$10
1 nno.oon
Cipital
Slock.
Other
notice, etc..
deposits.
Poor Fund
Charity
Fund.
Total
Liabilities.
•
S
24
9
i 8
«,<08.1«
10,645.071
8
180.000
83,000
*
2H,688
732.666
$
43,622.672
11.829.391
IW.flO
1
53.353,220
263,000
< SUM*
,'v';.2S2.063
1
C»»h Canadian
^. *- tn hand anJi municipal
""**■ oadtponlt. wcuriiu
Oov't and
Municipal
LoaniB.
7*,?.f.99
."» 999
—
Lo.ins on
other
Securities.
Poor Fund,
etc.
Invcstm'ts.
Bank
Stocks.
U.u...
premises.
Olii«:r
assets.
Jutal
Assets.
S
8
8
8
8
8
9.216.677
ISO.OOO
750.000
180.000
566,8S4
.iS7.374
46.791.043
IS.S25.S*!
3.219.714
K3.000
9.600
I2,4.1«,191
263.000
9.600
930.000
1.124.2.'!9
60.316.94.';
July 2, 1920
THE MONETARY T i m r.
26
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
T. K. McCallum & Company
<iOVERNMENT AND MUNICIPAL SECURITIES
We«l»rn Mnnlrlpiil. School and Sanbairhrwiiii Kurnl Tcl».
phonr Co. debpnlurps uprrlallzeil lu.
CorrctponJencc fnvi'/rJ
GRAINGER BUILDING SASKATOON
NIBLOCK & TULL, Limited
STOCK, BOND and GRAIN BROKERS
Grain Elxchange
Calgary, Alta.
■s
Montreal, and 'ihey have been
their progress ho? been due i
banking service ihcy have obtaine
We are gUd to admit that much o(
proKrcs* of theae curtomcr*.
The
Path
of
Progress
MANY SUCCMsful bu.i-
ness iren and con-
cerns now known throuRh-
out the Dominion began
building on small found-
ations.
Many of these notably
successful Canadians
have been lifelong cus-
tomers of the Banit of
kind ^-nough to say that
part to the satisfactory
d from us.
proKTcs* h*» been due to the
olhcr person! and firmt for the
Out service extend* Id all p.-'ttr
matntalneJ hstumn Slontreal. Ton
r,. .Vru- Yorl-. Chica:r. and <an Ff.i"
BANK OF MONTREAL
E$tabtithed over 100 yeart
Tot«l A..el in excess of »500.000.00(>
HEAD OFFICE: - - MO.NTREAL
Lougheed & Taylor
LIMITED
Bond Dealers and Financial Agents
210 Eighth Avenue West, Calgary,
Alberta
Government Municipal and Corporation Bonds
X Vancouver District Property
Expert Estate Agents and Managers.'
Property Bought und Sold. X'alued. Rented'and
Rrporled nn. .Correspondence invited.
WAGHORN GWYNN Co., Ltd. ^ v..co.y.r
TOOLE, PEET & CO., Umited
INSURANCE AND REAL ESTATE
MORTGAGE LOANS ESTATES MANAGED
cable Address. Topeco W.Mcrnln .nd A H C . .Vh Hdllion
CALGARY, CANADA
H. H. CAMPKIN
nsurance, Loans, Bonds, Debentures and Real Estate
Agent for Can;idianP.icificK;nlw.-iy Co. l..ind-;.C.tn».l.. N •■ ' I'
'.Vest Land Co. L.inds Hu.j5on'. H..y C >mpin>:. l...nJs.
REGINA, SASK.
The Security Trust Company, Limited
Head Office Calgary, Albrrtn
Liquiditor. Trutlee. Receirtr, Slock and Bond Broker..
Administrator. Evr ,1 r General Fiospcial A|»nli.
W, M COSNACIIKI- >'"- "•■> M^n.,i;.n> Director
WANTED -"-■'"•"•"■' '
Cit;. of Edmonton
WHYTE & CO., LIMITED
111 Pantagea
Insurance Broker,
Building - Edmonton. Altr
MACAULAY & NICOLLS
i\suRA\ci: or .ill classls
EST.rns M.is.-tchn
746 Ha.ting. Street - VANCOUVER. B.C.
C H MAOl.LAV '.I- MCOM.S Not.,ry I'. I c
THE
M O N E T A K Y T 1 -M E S
Volume 65.
Development of Alberta Oil Fields
Very lew ol Developments Were Successful-Speculation of 1911 Not Likely to be Repeated-One Group
Particularly Successful in Southern Alberta-Refineries in the Province-Imperial Oil Developments
Bv ANGIS LYELL
VEKV little has been accomplished during the past year
In the development of the oil fields of Alberta. The
few companies opeiating in the Calgary-Okotoks district
have not materially strengthened their position and little
definite has been achieved in the Peace River field. It is true
that the Imperial Oil Co. has acquired considerable holdings
in several parts of the province, but only at Czar has it
begun to drill and operations are not yet sufficiently de-
veloped to warrant conclusions. There has been little, if
any, increase in the market value of the shares of the capital
of the companies which have been more or less successful
in their drilling operations and the financial position of these
has not been materially strengthened.
Southern 1'icld
In the Calgary-Okotoks field, one new well was reported
late in the year. This is the well of the Illinois-Alberta Co.
Oil was struck, according to report, at a depth of some 2,300
ft., but there has been no ade<iuate baling test as yet. It is
stated, however, that the oil rises to about 650 ft. in the well.
. Other concerns operating in this field are the Alberta
Southern and the Southern Alberta, controlled by the same
promoters. Alberta Petroleum Consolidated and the Calgary
Petroleum Products or Dingman, as the company is popu-
larly termed.
Handling the output of these wells are two refineries,
the Southern Alberta Refinei'ies, Ltd., which handles the
production of the Southern Alberta and the Alberta Southern
companies, and the refinery of the Calgar>' Petroleum Pro-
ducts Co., which handles its own output and that of the
Alberta Petroleum Consolidated. The sales for the month
of October, which will give some idea of the production,
were 2:i,il82 gallons of gasoline and 12,4:J4 gallons of kerosene.
Other concerns, such as Alberta Pacific Consolidated,
Canada Southern, Midwest and Record, are drilling in this
field but have not yet reached the production stage.
Perhaps the most successful combination and that on
the best organized and strongest financial basis is the South-
ern Alberta group. The first company promoted in this
group was the Southern Alberta Oil Co., Ltd., which had a
well producing some forty or fifty barrels a day as far back
as September, 191(>. The market quotation of shares of
this company is now %'i bid and ?:J.50 asked. There are some
features of its organization and capitalization which may
be open to criticism but it has, in any event, reached a cash
dividend paying stage. The Alberta Southern Oil Co., Ltd.,
is n sister concern, organized Inter, but giving indications
of equally good success. Kew shares of its capital are
offered on the market, but recently shares were selling round
sixty or seventy cents. Both companies dispose of their
crude product to the Southern Alberta Refineries, Ltd.,
which of the three may become the most valuable to the
promoters. This is indicated even in the market quotation
of the stock which is $1 bid and §:! asked. Cash dividends
of about 10 per cent, per annum are being paid.
Ovor-Capilalization Keeps Down Quotations
The market quotation of the stock of Alberta Petroleum
Consolidated and Calgary Petroleum Products remains com-
paratively low, largely because of over-capitalization due, in
a large measure, to stock watering. The latter, for example,
carries its oil lands and leases at a valuation of $r>5<t,i;!0.3Sl,
which, on the face of it, is excessive. The issued capital is
S!^02.287.50 and the market quotation of the shares is 30
cent.s bid and 36 cents asked. The company has been en-
ikavormg to raise half a million dollars from the issue of
debentures, but, while the purchase of these might be a
fairly good gamble, such could hardly be regarded as an
investment. Some other method of financing will likely
have to be adopted.
While the second well drilled by Alberta Petroleum
Consolidated is on a producing basis, the value of the com-
pany's shares remains very low — only a little better than
one cent bid. This concern was formed through an amalga-
mation of several companies, including Hei-on-Elder, and
there is a considerable amount of water in its capital stock.
Financially it cannot be said to be strong, that is, in respect
to working capital.
Peace River District
Strong hopes were entertained some months ago of im-
portant developments in the Peace River district. Back in
July, 1916, the Peace River Oil Co. struck oil at a depth of
980 ft. On continuing operations, however, salt water was
encountered. The company then drilled another well and is re-
ported to have found oil at a depth of less than one thousand
feet. Later, salt water was encountered but drilling was
continued and the flow was overcome. A proper test of the
well has not yet been made, the necessary machinery not
being available.
It is expected that at least ten companies will be oper-
ating in the Peace River district in the spring. Some of
these are already in the field and have done considerable
work. Some of the oil obtained gives an analysis 15 per
cent, of gasoline, 50 per cent, of kerosene, 30 per cent, lubri-
cating and 5 per cent, asphalt.
Imperial Oil Co.
But the most hopeful sign is the fact that the Imperial
Oil Co. has undertaken, or is about to undertake, extensive
exploration work. So far it has commenced to drill but one
well, that at Czar, between Wetaskiwin and the Saskatche-
wan border, but it has acquired extensive lease holdings in
other parts of the province — south of Calgary, near the
Lesser Slave Lake and the McKenzie basin — and develop-
ment will follow. Believing that the best way to make
money in the oil game is to follow the trail of the big con-
cerns, many local people have been filing on the mineral
rights of lands near Czar and other points favored by the
Imperial Oil Co., and if that company is successful in its
operations in .\lberta these speculators may, and likely will,
turn over their leases to material advantage.
Should oil be found in commercial quantities in new
localities, however, it is hardly possible that speculation
similar to that which prevailed during the summer of 191-1
can recur. Then companies were usually formed by men
without capital and there were no restrictions on the sale
of the shares to the public. Now shares cannot be offered
to the public until the consent of the Public Utility Commis-
sioners is obtained. Even if a boom developed, this would
mean the killing off, before they could do much harm, of a
number of budding concerns.
Alberta is rich in natural gas, richer so far as present
development is concerned than any of the other provinces,
It has four important gas fields — Medicine Hat, Bow River,
Viking and Pelican Rapids. In Medicine Hat, there are 33
wells; in Bow River, 21; and in Viking, 8. In 1918, the
pniduction was 6,744 million cubic feet and the value $1,-
-'.'9,976, taken at 19 cents a thousand feet. Coal gas costs
(Co)ifvii(ed on page 32)
July 2, 1920
THE iM O N E T A R Y TIMES
27
The Home Bank of Canada
Statement of the Result of the Business of the Bank
for the year ending 31st May, 1920
PROFIT AND LOSS ACCOUNT
K.
iaiance Profit and Loss Account, May 31st, 1919 5158,348.98
('et profits for the year after deducting charges of
management, interest due depositors, payment
of all Provincial and Municipal taxes and re-
bate of interest on unmatured bills 268,894.95
$427,243.93
I CAPITAL PROFIT ACCOUNT
'temium on Capital Stock received during the year 3,787.92
$431,031.85
WTiich has been appropriated as follows:
IR.
>ividend No. 51 (quarterly), at the rate
of 6% per annum $29,216.01
|)ividend No. 52 (quarterly), at the rate
! of 6% per annum 29,248.86
'hidend No. 53 (quarterly), at the rate
of 6% per annum , 29,385.79
)ividend No. 54 (quarterly), at the rate
of 6% per annum 29,386.23
j . $117,236.89
jlovemment tax on Note CirculaUon 19,535.36
leserved for Dominion Government Income War
Tax .: 5,510.61
i^ritten off Bank Premises Account 15,000.00
!.eser\-ed for adjustment of exchange rates on Brit-
! ish and Foreign balances and securities 25,000.00
lonations to Patriotic and other Funds 1,875.00
transferred to Rest Account - 100,000.00
alance carried forward 146,873.99
?i:!l.(i:',1.85
General Statement 31st May, 1920
LLVHll-ITIES
I. the Public
.Notes of the Bank in circulation $1,975,780.00
Deposits not bearing interest 5,002,741.70
Deposits bearing interest, including interest
accrued to date of Statement 15,570,158.07
Deposits by and Balances due to Dominion
Government 3,668, 1I12..56
Balances due to other Banks in Canada 6.448.06
balances due to Banks and Banking Corre-
spondents in the United Kingdom 80,550.82
Balances duo to Banks and Banking Corre-
spondents elsewhere than in Canada
and the United Kingdom 544.074.70
I $26,847,855.91
'o the Shareholders
Capital (subscribed $2,000,000)
' paid up $1,9.59,073.41
Rest Account 500,000.00
Dividends unclaimed 2,275.53
, Dividend No. 54 (quarterly),
being at the rate of 6''r
I per annum, pavable June
1st. 1920 29,.386.23
Balance of Profit and Loss Ac-
count 146,873.99
^ 2,637.6119.16
S29.ISS.165.07
ASSETS
Gold and other current coin $ 183,668.19
Dominion Govemment Notes 3,742,564.50
„ $ 3,926,232.69
Deposit with the Minister of Finance as security
for note circulation "_ 105,000.00
Notes of other Banks 392[32o!94
Cheques on other Banks 1,338,'728.'75
Balances due by other Banks in Canada 116i974!83
Due from Banks and Banking Correspondents in
the United Kingdom 99,764.20
Balances due by Banks and Banking Correspon-
dents elsewhere than in Canada and the
United Kingdom 797,274.99
Dominion and Provincial Government Securities
not exceeding market value 1.902.091.14
Canadian Municipal Securities and British, For-
eign and Colonial Public Securities other
than Canadian 1,550,903.12
Railway and other Bonds, Debentures and
Stocks, not exceeding market value 1,214,524.39
Call and Short (not exceeding 30 days) Loans
in Canada on Bonds. Debentures and Slocks 2,445,690.02
Other Current Loans and Dis-
counts in Canada, less rebate
of interest $13,986,605.71
Other Loans and Discounts else-
where than in Canada 24,788.03
Loans to Cities, Towns, Municipal-
ities and School Districts 260,364.22
Overdue Debts 63.013.70
Real Estate other than Bank
Premises 62,939.88
Mortgages on Real Estate sold bv
the Bank 105,497.14
Bank Premises at not more than
cost, less amounts written off. 1.030,553.44
Other assets not included under
the foregoing 62,197.88
$13,889,505.07
15,595,960.00
H. J. D.ALY,
President.
$29,485,165.07
J. COOPER MASON,
General .Manager.
Al'DITORS REPORT TO THE SHAREHOLDERS
In accordance with .sub-sections 19 and 20 of .Kection 56
of the Bank Act. 191.!. I beg to report as follows: The for-
going balance sheet has been examined with the books and
vouchors at the Hc:id Oflice. and with the n-rtified n'turMH
from the Branches, and is in accordance therewith. I have
obtained all needed jnforntation from the o(Tirrr.'< of lh'> Honk.
an<l in my opinion the transact ion.s comin){ imder my notice
have been within the powers of thi- Hank. I h.-ivi- rh<'cke<l thr'
cash and verified the securitie.M of the Bnnk, at iUi chief of-
fice, both on the 3l8t of May. 19211. and also at another time
during the year; the oa.-ih and securilie.c of one of the
Branches have also been checked, and in each case they havi-
agreed with the entries in the books of the Bank with regard
thereto. In my opinion, the above balance sheet is properly
drawn up so as to show a true and correct view of thf slate
of the Bank's affairs, according to the best of my information
and the explanations given to me, and as shown by the hooks
of the Bank.
SYD.XEY H. .lON'ES, Auditor.
T n E yi (3 X E T A R Y T I JI E S
Volume 65.
Dominion Steel Corporation, Limited
and Constituent Companies
ANNUAL MEETING, 1920
Report of Board of Directors and Address of R.M.Wolvin, President
To the Shai-eholders:
Your directors have submitted the Consolidated Profit
and Loss Account for the year ending 31st March, 1920, and
the Balance Sheet of the Corporation and its constituent com-
punius as at that date.
Profit and Loss Account
The earnings for the year after deducting all expenses
incident to operations, current repairs, taxes, administrative
and selling expenses amounted to $5,r>.'!2,.529.43. After setting
aside the sum of ? 1,266,855.86 for Sinking Funds, the depre-
ciation of plant and properties, and §1,004,059.85 for bond in-
terest, tliere remained a balance of .?3,261,613.72 as net profits
for the year.
During the year the regular dividends were paid on the
preference shares of the corporation and the preferred stocks
of the Dominion Coal Company and Dominion Iron and Steel
Company, amounting in all to $980,000.00. The balance of
the year's earnings, .?2, 281,613. 72, was transferred to Profit
and Loss Account. Four quarterly dividends, aggregating
six per cent., were paid upon the common shai-es outstanding
1st .■\prll, 1919, and a proportional amount upon the new
shares is.<ucd in November, making a total disbursement of
.'f2,o:i'.i.(>29.12. The balance at credit of Profit and Loss Ac-
count on 31st March was $8,211,236.58, an increase of $251,-
981.60 over the balance at the beginning of the year.
Output and Shipments
Although every possible effort was made by your directors
and the oOicers of the Dominion Coal Company to maintain
the output of the collieries, it was somewhat less than that of
last year.
The total production from all collieries for the past five
years was as follows:
Gross tons
Year ending March 31, 1920..: 3,502,069
Year ending March 31, 1919 3,622,644
Vrar .M.ling March 31, 1918 3.781,615
Viar ending March 31. 1917 4,279.772
Year ending March 31, 1916 6,261,198
On account of trade conditions, operation of the Steel
Company's works was greatly restricted during the months
of August, September. Octolw-r and November, and in conse-
quence the year's output of steel was correspondingly reduced.
During the last quarter of the fiscal year operations were
gradually increased and are now upon a more satisfactory
U will be noted that a new item has been added to the
list of materials produced and that steel plates arc now being
made in quantity. The following table gives the annual pro-
duction of the prinriiial clas.-ies of iron and itecl in the last
two years:
Yr. ending i r. ending
31st Mar., 31st Mar.,
1919 19211
tons tons
Pie iron - 307.863 184.229
.!;tr,l ingots .- 341.603 219.94.3
l!lo„M,.'^ .ind billet- 47.890 2h.l65
.■Standard rails 164.972 68.9.6
Yr. ending Yr. ending
31st Mar., 31st Mar.,
1919 1920
tons tons
Light rails 3,319
Wire rods for sale 26,746 44,436
Bars 1,459 1,245
'Wire 6,043 15,542
Nails 5,508 12,386
Plates 3,252
* This includes wire used in the manufacture of nails,
shown on next line.
Staff
Your directors have pleasure in expressing their appre-
ciation of the services rendered by its officers and by the offi-
cers and employees of the constituent companies.
All of which is respectfully submitted.
For the Board of Directors:
R. M. WOLVIN, President.
PRESIDENT'S ADDRESS
To the Shareholders:
As pi-esident of the company, there devolves upon me the
duty and privilege of moving the adoption of the report of
the Board of Directors on the operations of your properties
during the fiscal year ending March 31st, 1920, copies of
which are now before you.
Upon preliniinary examination, it is probable that from
a fiancial standpoint the year's results will be somewhat dis-
appointing to you. Y'ou must, however, temper this judg-
ment by a consideration of the conditions existing during
the period with which the report in question deals.
The period covered by the present report followed almost
upon the termination of the war. A period of adjustment
had been generally expected, and although of shorter dura-
tion than anticipated, it seriously alTi'cted the results of prac-
tically the entire year. The prevalent uncertainty resulted in
very greatly retarding the operations of our coal mines, and
for the first six months of the fiscal year our sales were only
suflioient to warrant operating some of our collieries three
and four days per week. Similar conditions prevailed in the
stoil trade, and the steel plant was closed down from August
2i;(h to the end of October.
We were unfortunate also during the navigation season
in that we were unable to secure the return of most of the
steamships which we had under long-term charters. In the
autumn, however, we were successful in having delivered to
u.<i all of these boats except one, but the dates on which we
were able to secure these vessels were such that your com-
pany's earnings were very slightly augmented from this
source.
Competition from States
c<inipan
Our strongest competition will come from the large steel
panics of the United States. During the first three years
of the war. and prior to the time when the United States
threw in her lot with the Allies, the American steel com-
panies accumulated large surpluses, which were not at that
July 2, 11
THE MONETARY TIMES
29
time subject to abnormal taxation. This enabled them to
write down the cost of existing plants, to build large exten-
-ions, thus increasing their output, and to install every known
nprovement and labor-saving device tending towards in-
ii-ased output and lower cost. We in our company have
jrreat advantages in our properties, which I will mention
later, but I wish to draw your attention to the conditions
which 1 have just described, as they constituted one of the
most potent factors which influenced your directors upon what
I consider to be the most important step taken by your com-
pany in many years.
I refer to the sale of 50,000 common shares of the Domin-
ion Steel Corporation, and to the appointment of a London
Advisory Committee. The sale of those common shares was
. most desirable transaction, as the funds were required for
lie current needs of the company, and the price obtained was
a satisfactory one, in \iew of the conditions.
The London Advisory Committee is composed of the fol-
lowing gentlemen:
Colonel W. Grant Morden, M.P., Chairman.
Right Hon. Viscount Furness, Vice-Chairman.
Sir William Beardmore, Bart.
Major-Gen. Hon. Sir Newton Moore, K.C.M.G., M.P.
Mr. Henry Steel.
Mr. Benjamin Talbot.
Mr. Mark Workman.
The names of these gentlemen are, no doubt, well known
to you, and little comment is required. 1 might state, how-
ever, that Colonel Morden's financial connections in Great
Britain are such that excellent facilities for future financing
are made available through his co-operation. Viscount Fur-
ness is the chairman of the extensive hurness group of Eng-
lish Steel industrials; Mr. Benjamin Talbot is managing di-
rector of these companies; Sir William Beardmore is chair-
man ol William Beardmore ii Company, shipbuilders, of Glas-
gow; Major-Gen. Sir Newton Moore is a former Prime Min-
ister ol Western Australia, director of the General Electric
Company of England, and associated closely with the Aus-
tralian steel industry; Mr. Henry Steel is chairman of the
United Steel Companies of Great Britain, and the Bengal
Iron and Steel Company of India..
Ihese gentlemen bring to us long experience in the steel
trade of the world. They provide also in the plants which
ihev control, a large potential consumer of your company s
ore! and as events progress, a purchaser of considerable quan-
tities 01 pig iron and billets which will become available from
the new furnaces which the future will undoubtedly see in-
stalled at Sydney.
Resources of Company
If we briefly inventory our resources, we find that our
steel plant to-dav consists of a new by-product coke oven
plant, consisting of 120 of the most modern apparatus in ex-
istence We possess also a 110-inch plate mill which has
just been completed and put into operation, and is equal to
any mill of this character either on this co"}'"f " °,:" " J^"f
rope. Our rolling facilities also include a ^S"'"^'' '^d ml,
billet mill, wire rod mill and merchant bar mills, and in addi-
tion we own plant for the production of various fo'-ms of
wire products, including nails, barb and galvanizing ve and
=0 forth We have sufficient blast furnace capacits , but ai e
very short of open hearth furnace capacity, and the s.tua ion
tod'ay ii that^ur company finds itself with th^ jreates
kno«-n deposits of coal and iron ore, f '«""'1«J'> /''""^'S: ^on
nossessiniT a nlant with an economical output of onl\ Zo.UUU
fo^nsM'Us'p" month, with however, nrnch greater capa-
city for pig iron production and of finishing mills.
While many valuable additions have been made during
the oast few years, and numerous udicious impro\cmentb
have been carried out, much remains to be done in order to
SfacethT plant in coAdition for -meting wo. d comp^^^^^^^^^^^^
Our position as regards the possession ^l^l^'^.^^^\'^^^ 'fa'
however, unequalled, and given ade.iuat - capiUK ^^ere is
nothing to prevent the growth of your compan> into a strong
world position.
Our most pressing need is for a new open hearth urnace
plant and for other extensions, which um^r P'^-: "^^ .'^f'>^«»i«^;^;
win entail a large expenditui-e p'7" ^*^ %''' f,'^ '.■ ,, ace in
vour company will be enabled to take "; j!"^" ';',.'' '*i,are
world commerce, and to make adequate return., t. u. share
holders. These hnprovemenis will not only enable our work-
ing forces to become more productive than with the equip-
ment now available, thus affording a larger return from their
labors, but will ensure such profits as to enable the company
to give a fitting return to its shareholders. Without these
additions and improvements you must realize that your large
coal and ore deposits arc assets that contribute a small part
of what they should to the earnings of the company.
.More Favorable Conditions
We commenced the current year under much more favor-
able auspices than last year. While our coal properties aro
not producing as much coal as we have the right to expect,
we are fortunate in the possession of an unlimited market.
Similar conditions prevail in the steel industry, and we have
no difiiculty in disposing of every ton we are able to produce.
At the present time, three blast furnaces arc in operation at
Sydney, and we expect that a fourtli unit will be put ia blast
in August. The entire output of our steel works is sold for
the balance of this calendar year at attractive figures, and
we have every reason to feel optimistic with regard to our
company's prospects.
As previously mentioned, four or our five long-term char-
tered steamers were delivered to us late in Uie season of 1919.
Two of these four vessels have already entered our ser\-ice
for the present season, and we anticipate the return of 'wo
further steamships very shortly. We have made arrange-
ments to purchase a controlling interest in the remaining
vessel, in addition to which we have an option on tlie ser\'ices
of the boat for the full term of the original charter, at an
attractive rate.
A short time ago a proposal was submitted to your direc-
tors to become associated with various other enterprises in
the recently organized British Empire Steel Corporation. Lim-
ited.
The object is to unite under isingle control the largest
known single deposits of ore and coal, opcratimr coal and
ore mines, steel works, steamships, shipbuilding and repair
yards, and other complementary enterprises. It would be
the greatest industrial enterprise in Canada, and promises
greater economv and efficiency in tne production of coal and
steel, the much-needed shipping facilities j-nd organization for
the transportation of the companies' raw materials and fin-
ished products, and an outlet for its ship plites.
In addition there must be many economms to be effected
in uniting the various enterprises under one manaccmcnU I
only mention this because of the publicity it na.^ Leon i:iyn.
Your directors have been carefully inve.-lii.'atini: Ihf
posals and as it is an important matter for the consid. i .
of our shareholders I hope it will soo.i be n shape to pp • _
to you, and when the directors so .leciJ.o. .i special meeting o.
shareholders must be called to pass thereon.
R. M. WOLVLV. President.
HOARD or KIKKCTOKS
The Board of Directors and oflicials were elected as fol-
lows:
Roy M. Wolvin, president.
Hon. P>cderic NichoUs, vice-president.
Sir Henry M. Pellatt, vice-Prcsidcnt.
,1. .\'. Korcross. vice-president
"viscount Fumess, Hon. Sir Clifford Sifton, Sir William
Mackenzie, Sir William D. Reid, Major-Gcneral Sir N-wton
Moore. Benjamin Talbot Hon C. l'- »"-«"''"S"' ^,'^"'"7' ""^-
t.il, K.C., M.P.; ."Stanley K. Elkiii, M.P.: H. B. .Smith, .1. h. N.
Stewart.
The Executive Committee named at the conclus^ion of the
shareholders' meeting is comprised ^^ '^.^ r%''^l!l''.;^\^r}
vice-presidents, Stanley E. Elkin, M.P.; H. I!. .■^miUi .«n<i j.
V S Stewart- C. S. Cameron continues a.s comptrolli r, hcc-
retarVand treasurer, with W. A. Poig, assistant secretary-
treasurer.
The London Advisory Committee was named as Mjo-**'-
Col. W. Grant Morden, MP., chairman: V"^''""^^ J""^ r ■
Sir William Beardmore, Bart.: .-.r Newton >'"orc. M- ••
Henry Steel. Benjamin Talbot and Commander .^ir A. Tre^or
Dawson. Bart.
THE MONETARY TII^IES
Volume 65.
MOMKKAI. INSl UAN(.K EMl'LOVEES' ASSOCIATION
The Montreal Insurance Employees' Association a few
days ago asked the Department of Labor, Ottawa, to have
the question of their wages submitted to a board of concilia-
tion and investigation. The department pointed out, how-
ever, that insurance does not fall within the direct scope of
the Industrial Disputes Investigation Act, and a board of
conciliation could, therefore, be established only in the event
of both parties to the dispute being agreeable to this course.
The association represents clerks employed by about seventy-
four companies. These companie.'; Ii.iv.. imi inn>;i'iiti-il to
make application for a board.
K) SELL BRITISH COLLMIUA GOODS
Manufacturers of British Columbia have had outlined to
them a scheme for promoting the sale of products of the
province. J. H. F'aleoner, president of the B.C. Manufactur-
ers' Association, is the father of the plan. Briefly the idea is
to organize an incorporated company to be known as the
B.C. Sales Agency, Limited, in which each of the manufactur-
ing concerns would take one or two shares of stock. Three
hundred manufacturers each taking two $50 shares would
raise a capital of $30,000, and to this might be added, if ad-
visable, the value of a number of shares issued to commercial
travellers, the suggestion being that the travellers take
just one share.
SASKATCHEWAN RURAL MUNU U'ALITIES
On .June 2.3rd, Hon. C. M. Hamilton, minister of agri-
culture in the Saskatchewan government, resigned from the
position of president of the Saskatchewan .Association of
Rural Municipalities, a position he has occupied for six years.
He assured the executive, however, that he would retain his
interest in the association. Murdo Cameron, M.L.A.. for
Saskatoon, who is vice-president, will continue the work
until the next annual convention. The executive interviewed
the government on the same day, presenting some forty
resolutions passed at the last annual convention, asking for
amending legislation to the various municipal acts, the prin-
cipal one being a request for equalization of assessment be-
tween the urban and rural municipalities for the purposes of
the public revenue tax. The necessity for this was strongly
urged.
t AL( ILATINt; SUCCESSION DUTY RATE
In fixing the rate of succession duties on large estates,
where part of the estate lies outside the province, a province
is allowed to take into account the total value of the estate,
according to the judgment of the Supreme Court of Canada,
handed down on .June 22n<l in Ottawa.
At present, some twenty large estates in British Col-
umbia are held up in the parliament buildings awaiting this
decision. The case on which the decision has just been
reached relates to the estate of Sir William Van Home,
former president of the Canadian Pacific Railway. When he
died a few years ago his total estate was valued at $r,.0(IO.-
000, of which 300.000 was in British Columbia. Hon. .lohn
Hart, minister of finance, claimed that in fixing the rate of
succession duty he could strike the rate for the $:100,000 in
this province on the basis of the rate for a $(',,000,000 estate.
He argued that in asses.iing the succession duty he could
take into account the property of the deceased, both within
and outside thi- province, both as to the liability of the estate
to pay duty and as to the rate. The case went to various
courts, with the result that the minister's contention has
been upheld.
Debentures for Sale
Kl KAL MUNICIPALITY OF SWAN RIVER
Tenders will be received by the undersigned for the pur-
chase of Fifty-eight Thousand ($58,000.00) Dollars of De-
bentures of the Rural Municipality of Swan River, being the
second and final issue on authorized Debenture issue of
$108,000.00 under the Good Roads Act. The Debentures bear
interest at six per cent, per annum, are payable in thirty
years from the date of the Debentures in equal annual
amounts, made up of the aggregate sum due each year on
account of Principal and Interest, and are guaranteed by the
Province of Manitoba.
Tenders must be marked, "Tenders for Debentures," and
received by the undersignd not later than Noon on Tuesday,
the 6th day of July, A.D. 1920.
The highest or any tender not necessarily accepted.
JOSEPH ARMSTRONG,
Clerk of the Rural Municipality of Swan River.
Box 153, Swan River, Manitoba, Canada.
Swan River, Man., June 4th, 1920. 160
$5,000.00
TOWN OF CAPREOL, ONTARIO
6'> FIRE PROTECTION EQUIPMENT
Sealed bids will be received by the undersigned up to
and including July 24th, for the purchase of $5,000.00 Fire
protection equipment bonds, to be issued by the Town of
Capreol, bearing tK', interest arid due from one to ten years.
W. H. MATHEWS,
^^- Clerk & Treasurer.
$12,000.00
TOWN OF CAPREOL, ONTARIO
6'> ELECTRIC LIGHT BONDS
Sealed bids will be received by the undersigned up to
and mcluding July 24th, for the purchase of $12,000.00
Electric light bonds to be issued by the Town of Capreol,
bearmg 6r; interest and due from one to twenty years.
W. H. MATHEWS,
^^' Clerk & Treasurer.
CITY OF TRAIL. BRITISH COLUMBIA
Sealed tenders will be received by the undersigned up
to , .to p^m. on Monday, July 26th, 1920, at the City Hall,
I-La-r l^-/""" '.'•*'"'•'" ^'■"' Improvement Cement Side-
LnL p"'""' ?""^ ' P"" ^'^"*- '"Merest, payable semi-
bomt'VoO.OO • "■°"'° "'■ ''"^' '■•"•'^- I^— "nation of
,-^ ^^'^i- K- H- MOXYPENNY,
City Clerk.
Agents of the Northern Life Insurance Co. held
vent ion in Calgary on June 2l9t.
storN ui li r X ^°- ^°'"""*^' ^^' purchased a three-
Street 'in *^ n" ^^ '""'" °^ Richmond and Victoria
wthl'f.KH '"/""?" it into suitable oflice premises.
bv the /r, f ""'" '■""'''• '^^' ^'•''""'' flo"-- "-ill be occupied
Dj tlip trust company.
July 2, 1920
THE M <) .N h 1 A R Y T I M E S
31
11
|i
m-'Mr^-
(f ^^
A World-Famed Trip Through Canada's Finest River Scenery
A GLORIOUS boat trip — through a wealth of niatjnilicent sc^nt-ry thai t-vt-n the wondci-
ful beauties of the old world cannot excel, is the trip called
''Niagara to the Sea/'
You may satisfy your every cJcaire lur beauty. SI. Lawrence Knpids ii will exhilarate and charm
thrills, and interesting sit^hts and supreme cumfort. you.
The trip down the Upper St. Lawrence will never Are you interested in historic Romance ? Then
be fo.gotten by anyone who has once seen those quaint old Quebec vill furnish you boundless cnioy-
green clad Thousand Islands that Nature has strewn meni
like a necklet of jewels over the broad channel of this Finally, the boat steams slowly up throuKh the
mighty river. impressive canyon of the Saguenay. where those
Would you thrill to a new ejiperrence? Come mighty Capes -Trinity and Eternity — tower higher
"shoot" the tossing. tumbling waters of the than the Ro k of Gibraltar.
S<rnd 2c. poaldftc for illustrated booklet, mnp nnd Kuide to
JOHN F. PIERCE. PaMcniirr Tmftic Mnnaurr. Canada Slcamihip Uno, 208 R. & O. Buildini. Montrral. Canada
CANADA STEAMSHIP LINES, LIMITED
HOTEL
TAOOUIj^£_
X.
THE :\I O N E T A R Y T I I^I E S
Volume 65.
Dividends and Notices
PENMANS. LIMITED
DIVIDEND NOTICE
Notice is hereby K'ven that the following dividends have
been declared this day for the quarter ending July 31st, 1920:
One and one-half per cent. (I'/sTr) on the Preferred Stock,
payable on the 2n<l day of August to shareholders of record
of the 21st day of July, 1920, and Two per cent. (2'',) on
the Common Stoctc, payable on the 16th day of August to
shareholders of record of the 6th day of August, 1920.
By Order of the Board.
C. B. ROBINSON,
Secretary-treasurer.
Montreal, June 21st. 1920. 172
NIPISSING MINES CO.. LTD.
165 Broadway, New York. June 23, 1920
The Board of Directors has to-day declared a Regular
Quarterly Dividend of Five per Cent., payable July 20, 1920,
to shareholders of record June 30, 1920. Transfer Books
close June ."iO, 1920, and reopen Julv 19, 1920.
180 P. C. PFEIFFER, Treasurer.
NO\.\ SCOTIA STEEL & COAL CO., LTD.
DIVIDEND NOTICE
.\ dividend of two per cent. (2%) on the Preferred
stock and one and one-quarter per cent. (lUT'f) on the
Ordinary stock of the Company has been declared payable
on the l.'jth of July, 1920. to shareholders of record at the
close of business on June .'iOth, 1920.
By order of the Board.
THOMAS GREEN,
Cashier.
.N'ew Glasgow, Nova Scotia, June 20th, 1920. 183
SPANISH RIVER PULP & PAPER MILLS, LTD.
Take notice that the Stock Transfer Books of the
.Spanish River Pulp & Paper Mills, Limited, will be closed
for the purpose of the distribution of an issue of Preferi-ed
Stock to those entitled thereto from the Second Day of
July, 1920. until the 15th day of July, 1920, both days in-
clusive.
By (irdci i.f the Board.
J. G. GIBSON,
1 ' ' Secretnrv.
SP.VMSH RIVER PI LP & P.\PER MILLS, LTD.
Take notice that in accordance with a by-law approved
by the Shareholders of the Spanish River Pulp and Paper
Mill". Limited, on June 23, 1920, the "Dividend Vouchers,"
i- u'.i in July, 1919, by the said Company, representing one
^• I ■ 'lividend at T'V on the Cumulative Preference Shares
' th . Spanish River Pulp & Paper Mills, Limited, for the
year ending June 30th. 1914, will be paid by nn issue of
Preferred Stock of the Company at par upon the presenta-
tion of the "Voucher" at the OfUces of the Royal Trust Com-
pany, 59 Yongc Street. Toronto. Canada, or Montreal, Canada.
Hated at Toionto. this J^th day of June. 1920.
.i. G. GIBSON,
'^ Secretarv.
THE STEEL CO. OF CANADA, LTD.
ORDINARY DIVIDEND No. 14.
Notice is hereby given that a dividend of one and three-
quarters per cent, on the issued and fully paid Ordinary
Shares of the Company has been declared for the quarter
ending June 30th, 1920.
PREFERENCE DIVIDEND No. 36.
Notice is also given that a dividend of one and three-
quarters per cent, on the issued and fully paid Preference
Shares of the Company has been declared for the quarter
ending June 30th, 1920.
The above dividends are payable August 1st, 1920, to
Shareholders of record at close of business July 10th, 1920.
By order of the Board.
H. H. CHAMP,
Treasurer.
Hamilton, Ontario, June 18th, 1920. 176
Condensed Advertisements
■ Positun-.s U;inu-il ■ Jc iH-r word : all other con Jenst-d Hdverlisunients.
■Jc. per word. Minimum charge for any condensed advertisement. 50c
per insertion. All condensed advertisements must conform to usual
style. Condensed advertisements, on account of the veri' low rates
charged for them, are payable in advance: 50 per cent, extra if charged
ALBERTA COAL LEASES
FOR SALE
In the well-known Carbon District, near Calgary.
C. P. R. now constructing runs through land and should bt
completed this Fall.
For full reports, etc., apply to
CARBON CREEK COAL SYNDICATE.
511 Beveridge Building, Calgary Alta. 173
A FIRE INSURANCE Office requires a bright young
man as Inspector for Ontario. Must have insurance experi-
ence and good organization ability. .A.pply with full parti-
culars to Post Office, Box 780, Montreal. 170
DEVELOPMENT OF ALBERTA OIL FIELDS
(Conthmed from page 26)
about $1 a thousand feet. Well No. 2 of the Calgary Pet-
roleum Products Co., known as Dingman No. 2, is producing
a ga.s very high in heating value. The supply of the gas in
the fields now operating is diminishing from use. Other
fields will take their place and some companies now pros-
pecting for oil may develop important gas wells. But for
the proper development of the Alberta oil fields two things
are neccs.sary: adequate capital and ability to handle the
necessary operations. Both of these were sadly lacking in
a number of the ventures of the boom of the year 1914.
E.VSTEKN TOWNSHIPS BOARDS OF TRADE
The Associated Boards of Trade of the Eastern Town-
ships held a summer session in Lennoxville, Que., on June
21th. Addresses were given by H. J. Pratt, of Montreal,
who spoke on "Water Power Development," and by J. Grove
Smith, of the federal department of insurance, who spoke
on ".Municipal Responsibility for Canada's Fire Waste." The
meting of the Eastern Townships Immigration Society was
licl ! in con.iunction with that t.f the associated boards, and
tl>' work of that body was the subject of a satisfactory
report.
Jiilv 2. iy2u
THE -MONETARY TIMES
33
|MiiittiniiniiiiiiiMnMiiiMiiiiMiiiiiiiiiiiintiiiiiniiiiiiMiiiiiiinnniiiiiiuiMiiiiMiiiiiiiiiiiiiiiiiiiMMiiiiiiiiMiiiitiiiiiiiiiiiiiiiiiiiiiiiiiiiiitiiiiiie
I CHARTERED ACCOUNTANTS |
riliillllllllllllllllllllllllllllllllllllltlllllllllllillllillllltlllllll Illllltlllllllllllllilillillllllllllllllllllliiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiillll Illlr
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
Ol-KICES AT
Edtr.onlon - - Alherl.i
Toronto Out
CHARLES D. CORBOULD
Chartered Accountant and Auditor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipeg
W. A. Henderson & Co.
Chnrlcred Acciiunlnntn
508-509 Electric RailMay Ckambcn
Winnipeg Man.
W. A. Henderson. C. A. J. J. CorJnrr. C.A.
(.■••hk- Acl.lri-is ■Ornilir" "'ist<r- Inu.n Cmlc
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Bank of Toronto Chambers
LONDON ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 Confederation Life
Winnipeg
Building
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:
HAMILTON
WINNIPEG
CLEVELAND
Hubert Reade
& c.
)mpany
Chartered Ac
Auditor.
. Etc.
I
■107 408 MONTREAL TRUST
WINNIPEG
BUILDING
SERVICE
Thome, Mulholland, Howson & McPherson
3420
CHARTERED ACCOUNTANTS
Factorv Costs as;i IMvodi cries
Bank of
Hamilton Bldu.
TORONTO
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRIGGS t CO.
Lh.irU-',,! .4cc..i,ti/.liir«. li../ll.'i».
rr„wcc>.;.i.ji.i./,.(o..
Winnipej. Toronto, Satkaloon.Mooie Jaw.
Montreal. New York, London, En|.
GEO.
LUMSDEN
0. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Tclrphont- Mnin 70 1 1
BUILDING - TORONTO, CANADA
F. C.S.TURNER &C0.
Chnrlcred Accountunt.
TRUST & LOAN BUILDING, WINNIPEG
CLARKSON, GORDON & DILWORTH
Chartered Accountnnta. rru«lee».
Recc'vcrs. Lipuidntom
Merchants Bank Bldg.. 15 Wellington Street Went ToronI
1) T. ClJfUs
Est..hli^lu-J ]■*• H J. nilwoi
Your card here would ensure H being sfcii ''.v (*r
principal financial and commercial intereiti in Canada.
Ask about special rates fur thii pate.
\
...n.C.A
J 1) U»nj..
C A
A. .1 W
ll<ci. I' A
RUTHERFORD WILLIAMSON &
CO
{.■harlct
<.( Ar...i.n
.in(.. 7ri..«rf. .in
/.i/..rl
"
UK Ann
Allil STIit'l
T lU.T. TdKKNT
>
m)4 M
-i.lii IICIl
,iM.. Mi'MUl ^1-
tOc AJ.M"
- WIl.I.l.O
>1 ;.t H>li(
Vanc
BUSINESS BUILDERS, LTD.
Indualrinl and linl^
301 Endcrton Bldg.
inl Adviarra
Winnipeg
C»p.t»l Sccurcl tor Office. ard Plant. Or«an-
Sound H,.<.ir..^v iied ""d SyittmaH.td
i rr, Advicr on Invc.tmcnt Problem.
CnMfidenltal c'i<>uirtti invtitd
THE MONETARY T I -M E S
Volume 65.
DIMSION OF ESTATE HY TRUSTEE
Ol K I OUEK.N TRADE FIGURES GROAVING
Nova Sciilia Supren\i- Court Orders Ne« Apportionment —
Trustee Himself a Keneticiary
ON January 13th, 1920, the Supreme Court of Nova Scotia,
in the case of Iniurrahani vs. Hill, decided that it would
set aside the sale of a portion of the residue of an estate by
a trustee where it is clear from the will that the testator
intended the beneficiary to have a vested interest in such
residue on certain conditions, which had been fulfilled.
The facts of the case, as reported in the Dominion Law
Reports, are that Charles W. Hill, of Sydney, died on Feb-
ruary 10th, 1917, having made a will, dated June 9th, 1909,
which contained a clause that, on the death of his wife, "all
the rest and residue of my estate and property . . . upon
the trust that he (his brother, .\rthur E. Hill), do and divide
nn<l apportion the same between himself and the said Alfred
Harrison and the said Emily Inpraham in such proportions
as to my said brother shall seem ecjuitable and prudent; but
should either the said Alfred Harrison or the said Emily
Incraham die leaving no heirs of their bodies, then my said
brother, Arthur E. Hill, and his heirs shall take the same
absolutely."
'i rustee Apportioned Estate
By an instrument in wrltinur, dated- December 4th, 1917,
.Arthur E. Hill purported to apportion and divide the residue
of the estate of the late C. W. Hill, pursuant to the power
conferred by his will, and he thereby gave to Alfred Harrison
the sum of $60 yearly during his life and a like sum to Emily
Ingraham (the plaintiff) during her life; and he declared
that he held certain of the real estate belonging to the de-
( eased "in trust for securing the payment out of the rents
,-.nd profits or income arising therefrom of the said yearly
payments." The balance of the property he allotted to himself.
A property valued at $7,900 in the inventory of the
..'^tate. ar.d said to be worth $12,000, was claimed by Arthur
K. Hill under a verbal agreement with his deceased brother.
It was, however, considered as forming part of the estate.
Hill did not include this property in making the division and
.ipportionment of the residue of the estate, and the court
■ Iccided that Hill had not divided and apportioned the whole
ff the estate in his hands, and that the attempted distribu-
tion was manifestly in ba<l faith.
The judge, in deciding the case, said in part: "For these
reasons I think the appeal should be allowed, and there should
be a decree setting aside the instrument dated December 4th,
1917, and an order for a reference to determine the par-
ticulars and the value of the residuary estate, and that Hill
shall divide and apportion the whole of the estate between
himself and the said Alfred Harrison and Emily Ingraham
in such proportions as to him shall seem equitable and pru-
dent in accordance with the terms of the will."
.Ml 11 Al. FIRE INSURANCE CONFERENCE
The Western Mutual Fire Insurance As.sociation held
u conference in Calgary on May 27, going to Didsbury
Alta.. on May 28 and to ItanlT on May 29. Among the com-
panies repre.sentc<l were: Royal Victoria Mutual Fire Insur-
ance Co., of Beulah, Man., A. Van R. Schermerhorn. F. L.
Blair. T. H. Renshaw nnd C. \V. Clifton; Miniota Farmers'
Mutual Life Insurance Co., also of Beulah, Murray G. Doyle
and J. R. Lynch; Milk River Mutual Fire In.surnnce. of MHk
River. Altn.. Pniil Madge and Dr. G. W. Giles; Portage la
Prairie Mutual Fire Insurance. Messrs. Stratton. Whittakcr
and A. H. Thorpe; Farmer.s' Mutual Fire Insurance of Re-
gina; R. 11. Cook; Sa.skntchewan Farmers' Mutual Fire In-
-surance, Sa.skntoon. II. R. Liimby and John Evans; Western
Mutual Fire Insurance, of Didsbury, Alta., R. R. Reed H E
Poar.son, H. B. Atkins. R. J. Rolljs, A. C. Fisher and J. R
Bii'wn.
Fire prevention nnd other subjects of general interest to
•'" companies were discussed.
Relations with British Colonies Also Improving — Imports
from I'nited Kingdom and America Continue to
Advance on a Large Scale
EXPORTS to the United Kingdom fell off during the twelve
months ended May, 1920, by more than $100,000,000,
while imports have more than doubled. Imports from the
United States continue to increase on a large scale, while
exports to that country show comparatively small advances.
Traile with the British colonies, on the whole, is improving,
exports being considei'ably in excess of imports. Imports
from New Zealand and Australia show a falling off, while,
in the case of the latter country, exports also show a reduc-
tion. Foreign trade has made some big advances, particu-
larly under expoi-ts, although there are some notable in-
creases under imports. France is buying less from Canada,
while, on the other hand, the Dominion is importng moi-e
from that country. Exports to Italy show a slight reduction,
while appreciable increases are shown in Greece and Belgium.
The following table, prepared by the Dominion Bureau
of Statistics, gives the trade of Canada by countries for the
twelve months ended May, 1920, as compared with previous
years: —
Twelve Months ending May
FOR COKSUHPTION
Totul imports (mdse.) .
Duty collected
Exports
Ciinadun
HorciBn
Total exports (mdse.)
Imports by Cou.ntries
United Kingdom
Australia
liritish Hast Indies
British Ouiana ......
Urttish Suutll Africa
Britsli Wist Inuies
HonK KonB
NcHtuundland
New Zealand
Other Hritish Empire
Ariientinc Kepublic
Belgium
Krance
Ci recce
Italy :
Japan
Netherlands
United States
Other Horeign Countries
Exports nv Countries
(Canad.an F'roOuce only.)
United Kingdom
Austr
H
1920
9
752.077,597
398,577,061
h Bast Indies.
Uritish Ouiana
Untish South Africa
British West Indies
HonK Knng
i\c\eluund(and
New Zealand
Other Uritish Empir
Artlcntine Republic
Hel«iun,
Br
China "
Cub.i
France ....',,
Greece
Italy
Japan . '.'.','..
.\cthcrl.,nds
L'nited States
Other I'orciiin Countries .
7ti,019.1«
l7,4al,O07
6.3"S),9IU
77;.B22
9.S3!i,JU7 I
3.027,758 I
3,653,649 >
l.927,5S«
97H.7S4 I
I8.U5U I
858,935 ]
1.8KI,45U I
1.39S,2S8 ,
4.858,181 ;
19.825
"23.603
I3.IIS,955
1,033,263
77I.955,92S >
|6,S43 635 '
802.204,9^3
9.!l(iH.b72
;i.943,().xS
2.316.702
5.917,076
8,228.998
94S.773
iO„'i84,09l
4,32S,W0 I
l,9U'.',li;H
l,230.46ti
2.9.15,745
I.ICI.423
2.lfi7.9:«l
3.796,733
181,6llS,7.W
4.262
4.,S,5U,I37
5.666,4/3
2,283.387
412 390,184
7.8ol,48l
74,098,625
4.92-,,.5,i2
I4,367.(i79
6.957,196 I
1,085,773
8.2eo.5l.s
1,892 962
3,055, »9S
8.170,679
446,1115 I
1,108,631
6.753 I
1.173.897
1.415.454 '
3,393.S;tl
3.885,846
579
463.535
13.109,944
616,229
703,861,976
22.476,467
552,208,178
I4.(r26,«86
4,441,211
2,319.163
11,869.107
9.244.138
1.063.704
11.449,267
6,004.603
3.639.858
4.912.631
1.216.846
4.243.484
2.955,461
5,465.965
86,673.981
1,257,017
15,388,698
12,3r2 527
1,732.097
450,434.066
20.159.273
1.59.300.050
i .378.592
17.769,721
7,448,:<«8
678.030
13.054.825
4.143.479
i.4Sl.S25
3.656.494
1,521.190
4.1/08,290
■ ,.507,684
2.337,786
1.482.273
22.9;4.2l!l
14.3:1.382
865,221
1.295,812
14.417.060
2,681.273
'833.916.259
39.405.171
4.50.479,143
10.937.113
6.104.968
3,233.219
9.220,821
11.496,612
1,801,300
16,319.559
8,104.259
7.163.206
6.;<43 626
:<0.960,3II
2.839.163
6,781.255
6,.W6.703
57.679,190
34.099.776
I38;i6.69l
8004.370
4,466,005
472,449.294
44.586,6.12
With the object of stimulating interest in sheep raising,
the rural st-r,ice department of the Merchants Bank, of
which J. L. Clarke is manager for the west, is circularizing
all 1. ranches of the bank to aid in the encouraging of sheep
clubs.
July 2, 1920
THE MONETARY T I M F. S
35
jiiiiMiiiiMiiiMiiiiiiiuiMiuiiMniuiiiiMiiiuiiiiiiiiiiiiiniiiiiiiiniiniiiiiiHiiuiMnuiiuiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiMiiiiiinniiiiiiiiiiniiiiii^
I REPRESENTATIVE LEGAL FIRMS |
TiiiiiMiiniiiiMiiiiiiiiiiiiniiiniiiiiMiiiiiniiinniHiiiiiiniiiiiiiiiiuiiiiiiiiiiiiMiiiniiiiiniiiiiiiiiiiiitintniiiiiiiiiiinniiiniiiniiniiHiiiiin^
BRANDON LETHBRIDGE, Alta. REGINA
J. F. Kilgour. K.C.
R. H. McQuee
G. H. Foster
KILGOUR, FOSTER &
McQueen
Birriitcrt, Solicitors, Etc.,
Brandon, Man.
Solicitors for the Bank of
Royal Bank of Canada- Han
and Loao Society. North
Assurance Company.
Montreal The
lilton Provident
American Life
Conybeare,
Church
&
Davidson
Bar
riate
rs. Solic
tora. Etc. {
Solicitors
and Loan
for Bank of .Mo
Co of Canndj.
Trust Co.. *c
ntrca
Brit
.Ac.
1. The Trust
sh Canadian
C. !■■ P Conybea
R. R
re. K.C.. H
Davidson
W. Church. M.A. 1
LL.B. 1
Lethbr
dse
Alta. 1
Brown.Thomson & McLean
Birriitcrs, Solicitori, Noliriei
Mrdillum. Hill A < o. Balldlnc
KI'.(:l>'A. t'A» ADA
Solicitors f.ir the Si Jnd.ird Bank of Canada. etc.
Sr>.-..i;'l attention lo Corporation and
CALGARY
Charles F. Adams, K.C.
Bank of Montreal BIdg.
CALGARY - - ALTA.
W. P.W.Lent Alex. B.Mackay. .MA, LL.B.
H. D. Mann. M.A.. LL.B.
LENT, MACKAY & MANN
BarrUterii, nollcltorH, .\utarles, tUc.
305 Grain Exchange BIdR . Calgary. Alberta
Cable Address, "Lenjo.'^ Western UnionCode
Solicitors for The Standard Bank of Canada.
The Northern Trusts Co. Associated .Mort-
aage Investors, ^c
Hon. Sir James Lougheed. K-C. K.C.M.G..
R. B. Bennett. K.C, J. C. Brokovbki. K.C
A. M. Sinclair. K.C. D. L. Redman. H. E.
Forster. H. D. McAlpine. O. H. E. Might. L.
M. Roberts. rcable Address "Loughnett")
LOUGHEED, BENNETT & CO.
Barristers, Solicitors, Etc,
ClArence Block. 122 Eighth Avenue West
CALGARY. ALBERTA. CANADA
J. A. Wrioht. LL.B. C. A. Wr.ghi. B.C.L.
WRIGHT &WRIGHT
Barristers, Solicitors, Sotaries, hic.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
H. H. Hyndman, A
H R. .Milner. H
S. Matheson.
J. Carr
Hyndman, Milner
& Matheson
Barristers, Soli
citors, etc.
Solicitors for The Roya
Uoyal Brink 4'linnibrrK,
Bank of CanaJ.
Kdniiinlon. ,Hln.
F.
Hon. A C Rutherford. K.C
C Jamicson. K C. Chas
S.H. .McCuaiR Cecil Ruth
LL.O.
H. Orant
rford
RUTHERFORD
JAMIESON
& GRANT
Barr
isters, Sol
citorM,
Etc.
514
-18 M
cLeod BIdg.
Edmont
OD, Alberta
L M. Johnstone. K.C. J. Norman Ritchie
\V. S Gray
JOHNSTONE & RITCHIE
Barristers, Solicitors. Notaries
LETHBRIDGE Alberta
MEDICINE HAT
C. 1\ H. LOM..
LL.B.
J. \V. Sl.F.K.MT. U A
LONG
&
SLEIGHT
Barrist
era, etc
MEDICINE
HAT 1
nd BROOKS, Aha.
MOOSE JAW
Grayson, Emerson & McTaggarl
Barristers. Etc.
S.)iii;itors-lJank of .M.jntrta:
Canadian Hank of Commerce
Moose Jaw - Saskatchewan
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
Called toOntanoBir IKliu. .Sew York Bar IWi2
ELLISON, ELLISON & FRASER
111.-. Ilroailnnr. ^es» lurk
ELLISON. GOLDSMITH* ALLEN
•.'.-,1 Mi-i KIIHi •>'.. >'" *■"••
PRINCE ALBERT
COLIN E. BAKER, B.A.
Solicitor for the City of Prince Albert
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
REGINA
I A Allan. LLB.. K.C. II. M Allan. U.A
A L Gordon K C P- H Gordon. H.C L
H n Keown Huuh Taylor
ALLAN, GORDON & GORDON
Barristtrs, Solicitors, Ac.
RFGINA. SASK., CANADA
•i-,' ..-It ir. f.ir Imperial Hank of Canada
Merchant. Hank of Canada
SASKATOON
A H M \\ ■■>
,K,. 1
DURIE
& WAKELING
iturrl
ler» and M.llrllor.
Solicitori lor
Great West
.Monarch Life A
the Bank of Hamilton.
Permanent L,oan Co.
RsuranceCo.
The
The
< nnsiln llullillnE Hn.ksloon. €s
>S<tll
Ch ,s O I 1.1.^- Ma;nrJ.McAu(!hey.O,B H,
LOCKE & McAUGHEY
Barriatera, Solicitora, Etc.
208 Canada Buildirtg
SASKATOON - CANADA
VANCOUVER
W I Hn«-.cr KC >< I- «"'> ><^
|l S W.illh,, .!,;,• A H l>...!l!^a- .' l"' Hih'on
BOWSER, REID, WALLBRIDGE
DOUGLAS & GIBSON
Barristers, Solicitors. Etc.
Solicitor, f.ir Hank c.f Hnti-h Nnrih America
YORKSHIRE BUILDING
525 Seymour Si. VANCOUVER, B.C.
VICTORIA
A li DCM.DI' Iv H M lOOT
IK.C (..rAlhertal Mcmhrrof Manitoba
Mcmhrrol N"va So. ami lint.. h Cok.nihia
llu, Alhcrla and Hnt- Har..
IdUNLOP & FOOT
Bnrriiitrrs. .Solicitors
Notnrirs nnd Commissioner.
6121.1 1 S.»w«rJ nidB.
VicloriK Briti.h Colunibi.. C.ni.d.
)i>sr card here teimlJ
rnsHft it brimt trrn by
ihr primei/ial financial
and cnmmrrciol itilerrlts
in Canada, Ask about
special rates farlkispaft.
36
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
Many Difficulties .Must lie Overcome lieloie Steel Industry Is Established
on the Coast— To Develop Sulphate Deposits in Saskatchewan—
Granby Company to Pursue More Progressive Policy in the Future
FURTHER details of the investigation into the steel indus-
try on the British Columbia coast by Henry S. Fleming,
of New York, of which brief mention was made in these
columns last week, have been given out. Mr. Fleming, in
discu.ssing the problems, takes as the possible immediate
market the whole of the western section of Canada, reaching
probably to the longitude of Regina, where competition with
the eastern producers would define the limits, and the west-
ern seaboard as far south as San Francisco. The Orient is
recognized as a limited field only, for the reason that it is
now well controlled by Japanese production save for the
highly specialized products, and there is possible trade with
South America and Australasia.
.•\ sur\-ey of general conditions reveals many difficulties
which must be overcome before Mr. Fleming's plans mat-
erialize. He considers the market very shaky at present,
taking into consideration transportation facilities, both in-
hind and marine. As regards the supply of raw materials,
.Mr. Fleming has no doubt that it is more than adequate.
Develop Sulphate Deposits
.\ joint stock company will be formed in Saskatchewan
under the name of Ceylon Sodium Sulphite Co., Ltd., to de-
velop the sodium sulphate deposits south of Ceylon, Sask.,
according to a memorandum received by the provincial reg-
istrar, Regina, signed by .John W. Irwin, Estlin, Fred W.
Whitworth and John I). Burns. I^Ioose Jaw, all of Saskat-
chewan. The sudphatc deposits are considered the most valu-
able in the world and can be used without going through any
l)rocess. being !18 per cent. pure. There are said to be nine
million tons available without very much expense.
IJnder advice from an expert who has made a thorough
examination of the deposits, the company which owns the
property is not willing to sell its rights at less than ,S3,-
000.000. There are four or five by-products which can be
■•btained in the refining process and if the New Yorkers ob-
tain possession of the mine, it is their intention to erect a
refining plant on the property and to develop extensively
what is acknowledged to be the purest sodiimi sulphate mine
in the world.
Mnnuf.Tcturing Notes
A company capitalized at about .'f'J.i.OOO is being organ-
is:ed at Sydney, N.S.. with the purpose of erecting a lirick
manufacturing plant at Point Edward.
Lobster canning interests who own factories in Cumber-
land County, N.S.. intend erecting a factory at Glace Bay,
X.S., and have already chosen a site which is conveniently
near the lobster fishing grounds. Piers will be constructed
and other necessary work for that industry.
The Steel Co. of Canada has announced that its plant
will have to stand idle for a short time owing to coal and
fuel oil shortage. The close-down at this time means con-
.-idemblc to the company, as many orders are on hand to be
filled. Every eflfort will be made to secure a supply of fuel,
but it is feared the plant may have to lie idle for a couple
of weeks. In the neighborhood of 2,500 employees will be
nffccted.
The output of the Amcs-Holden Tire Company's plant
't Kitchener, Ont.. according to a statement made by the
president. T. H. Rcider, is now in excess of 100 tires per
day, and the output is expected to reach 400 tires per day
' y August 1st. The company is confining its operations for
lie time being to the sizes used by 90 per cent, of the car
wners of Canada. The product is being distributed through-
t the country by the sales organization of the Ames-Hol-
rn-MrCrendy Co.. who report an encouraging reception bv
'•" trade.
Work on the reopening of the mines formerly operated
by J. T. Burchell at Gardiner, N.S., has been commenced by
the Dominion Coal Co. Operations at the old Llngan mines
in Nova Scotia will also be resumed by the company.
According to the statement of H. S. Munroe, recently
appointed manager of the Granby Consolidated Mining and
Smelting Co., a more progressive policy, as far as the com-
pany's coal holdings at Cassidy, on Vancouver Island, B.C.,
and its copper mining operations at Anyox are concerned,
will be pursued in the future. Changes made in the coke
and by-product plant at Anyox makes Cassidy coal more
available than ever for the purposes for which the plant was
constructed, and the position of the company in becoming
independent for its coke supply in smelting operations has
become greatly strengthened. Mr. Munro is optimistic over
the future of copper in British Columbia, and has announced
also that the company will be in the market for all the cuper-
iferous and silicious ores possible to handle tributary to
Anyox. If necessary, shielter equipment will be augmented
to care for all tonnage that may present itself.
A large American pottery concern has purchased the
Raymond Pottery in Montreal East, with the intention of
enlargement. The property consists of two kilns in addi-
tion to a good-sized plant. About .$100,000 was the purchase
price.
Robertson and Bros., Montreal, have contracted to build
a factory on St. Patrick Street, Montreal, for the Colonial
Wire Manufacturing Co., at $7,500.
Salmon canners of Vancouver, B.C., are organizing a
syndicate to build a salmon warehouse near the government
dockyard at a cost of $100,000.
J. C. McLennan, professor of physics, Toronto Univer-
sity, is in London, Eng., arranging with the British admir-
alty for the installation of a plant in Canada for the pro-
duction of helium gas, a substitute for the more expensive
hydrogen, for inflating airships and balloons.
Work on the new mill of the Brompton Pulp and Paper
Co., at East Angus, Que., has been commenced.
Chemical Products
Ontario Smelters and Refiners, Ltd., announce that they
have revived the Weliand, Ont., plant and completed the
changes made necessary by their different processes, in the
machinery and chemical way, so that their production of
chemicals and mineral oxides would be very much stimulated
from now on.
Lately the company purchased the modern plant of the
Metals Chemical, Ltd.. at Weliand, Ont. The latter company
has been specializing in the recovery of all the valuable
elements already shown as present in the ores mined at
Co.ialt. Its plant, however, has since been altered and im-
proved m several respects. The Chippawa plant of the
Ontario Smelters and Refiners will also be kept in active
commission at full capacity, and combined these plants will
be able to fully meet the new conditions Which have arisen
m the smelting and refiining industry. Thev will turn out
birgc quantities of metallic cobalt, also the oxides of cobalt
and nickel, with antimony, copper bismuth, arsenic, insect-
icide and weed killer. The company also controls and op-
erates the Ogistoh Silver Mines, which furnish much of the
raw material treated in its two smelting plants.
Messrs. AA att and Watt, stock brokers. Dominion Bank
BuiMnig, Toronto, have announced the opening of their Ham-
ilton. Ont., office at 8 Main Street, under the management of
C. B. Montizambert.
July 2, 1920
THE MONETARY T I .M E S
87
The Imperial
Guarantee and Accident
Insurance Company
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident loburance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - - - S20O,0O0.tK)
Authorized Capital - - Sl,000,CK>i,00
Subscribed Capital - - $1,005,000.00
Government Deposits Slli.OOO.fXi
(
I r\ ]^ PJ r\ TVT c; I ' A R A N T E E AND
*-• ^"^ * ^ "-^ ^"^ ^ ^ ACCIDENT COY.. Limited
Head Office for Canada • Toronto
Hfiiploycrs- Luhility. Eicvator. Contract. Pcr»on*l .-VcclJcnt. FiJ.;iti
Uuar.in!fc. Internal Kcvem.i-. SiLl>nc«s. !..■ jri Ilond-
fcam^ an.l A. It,,™, .[.lie.
AND FIRE INSURANCE
T B HI nniNi. 'irc.^
Canada Security Assurance Company
HAIL — FIRE A UTOMOBILE
CALGARY
ALBERTA
CANADIAN STRONG PROGRESSIVE
V p*ijffiew.«y9Atfj?;E:e<3/Vii?e»'r?'
FIRE INSURANCE
AT TARIFF RATES
50-50 Mutual Hail Insurance Society
Head Office DIDSBURV. Alb.rln
OWNED AND OPERATED BY THE FARMERS
I'.^KKEK K KKll), S.n Msr.
THE NORTH EMPIRE FIRE INSURANCE Co.
HEAD OFFICE WINNlHfc.t;. MAN.
Toronto Office: 218 Confederation Life Blda.
J. E. HOL'NSO.M. Man.iscr
(Policies Kiiaranfted by the London Gunrantce :ind Ac.ultn
British Northwestern Fire
Insurance Company
Head Office
TORONTO
E. C. G. JOHSSOS.
J. H. Riddel,
Managing Director. Secretary
F. K. Foster.
Winnipeg. General Asent for Western Provinces.
The policies of this Company are guaranteed by Eagle,
Star and British Dominions Insurance Company, Limited, o'
London, England.
ASSETS EXCEED S93.000.000
Afiplicaliom. for aecncio ar. cnrhallv invilcJ
Merchants Casualty Co,
Head Office: Winnipeg, Man.
The matt prOKr
pervilion of the
nbraclng the ent
cEiiivc comp;4ny in i^dnini*. Upcmling under the
Dominion and Provincial Insurance Ocpartmenti.
re Oommion of Canada.
SALESMEN NOTE!
1^ the moftt liberal protection offered
Id up
ver'i.. WO different disei'et.
Life if disabled thmufih Accident cr
cent, extra if confined to hotpilal
AcCKfenlal Death. Quarantine. Sui-
for minor mjfrio. alto for death of
f and children of the Injured.
Pays foi
lllncis.
Pifty PCI
lleneHciai
'Good Optningi for Livm Agmntt
irn HeadOWcF.Kayal Hanh llldn .Toronto
r Office Electric Kail»ay Chambers.
W.nnipri!, Man
Palatine Insurance Company
LIMITED
Oh LuM-nj.\ /•..\l./,.!.\/i
Capital Fully Paid - $1,000,000
Fire Premiums, 1919 3,957,650
Total Funds - 6,826,793
In addition to the above there 's the fur
Union Assurance Compiny. Limited,
:..( tlie C.
funds
d 8/09.0110.1
Head Office : — Canadian Branch
COMMERCIAL UNION BUILDING, MONTREAl
W. S. JOPLlNci Manager
Toronto Office-60 KING STREET WEST
Jones He Proctoti Bros.. Li-utf.o. .A^cr.t
Automobile-- 1 920--Season
i
= Policies to cover ANY or ALL molorins: risk*
ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
82-88 KinR Street East, Toronto
38
HE MONETARY TIMES
Volume 65.
NEW INCOIU'OKAHONS
Nan.x.st-W.ilinKton Collieries, Ltd.. 8.3.00(1.000— I'eace IJiver
Wtstern Oil Co., Ltd., S3,OOD,000
Tin: following is a list of companies recently incorporated
umlcr Dominion and provincial charter, with the head
office and the authorized capital: —
Kichmond Hill. Ont.— H. J. Mills. Ltd., $40,000.
Essex, Ont.— Essex Brick Works, Ltd., $25,000.
Nelson, B.C.— Perrier Gold Mines, Ltd., $250,000.
Hamilton, Ont.— Greens, Hamilton, Ltd., $250,000.
Hope. B.C.— Kawkawa Lumber Co., Ltd., $25,000.
(;alt, Ont.— The Yale Shoe Mfg. Co., Ltd., $40,000.
Ford City, Ont.— Wolf Point Land Co., Ltd., $40,000.
nlackic. Alta.— Blackie Fair Association, Ltd., * 10,000.
Drumhi'lUr. Alta.— The Lion Collieries, Ltd., $2.50,000.
Durham. Ont.— The Durham Chemical Co., Ltd., $25,000.
StiltU-r, Alta.— Dunlop Manufacturing Co., Ltd., $10,000.
|{i.ssii\Kton, Alta. — Rossinpton Produce Co., Ltd., $20,000.
Stratford. Ont.- The .StralfonI Housing Co., Ltd., $40,000.
Brantford, Ont.— .Alfred Patterson Candy Co., Ltd., $75,-
nnck
Grant, B.C.— Manoose-Wellington Collieries, Ltd., $3,000,-
V du Lac. Man.— The Ste. Rose Flour Mills, Ltd.,
Alia.— The Tofield Farmers' Supply Co., Ltd.,
000
Ste. Ki>
$40,000.
Tolitld.
$20,000.
Coldstream, B.C.— Coldstream Fruitpickers' Camp, Ltd.,
$10,000.
.Sarnia, Ont.— The Home Building Association, Ltd.,
$100,000.
Ingersoll. Ont.— The Griffin Shoe Co., of Ingersoll, Ltd.,
$40,000.
I'eaoe River. .Vita.— Peace River Western Oil Co., Ltd.,
$3,000,000.
Banff. .\lta. — Rocky Mountain .\viation Transport Co.,
Ltd., $25,000.
Kingston. Ont.— The Kingston Smelting and Refining Co.,
Ltd., $1,000,000.
I-caminglon, Ont. — Canadian Tobacco Growers' Co-
operative Co., Ltd.. $250,000.
Calgary, Alta.— Western Credit (Bonded), Ltd., $25,000;
H. n. Reid Co., Ltd., $20,000.
London. Ont.— Instant Heat Co., $.50,000; Canada Vulcan-
i.^i-r and Eciuipment Co., Ltd., $70,000.
\ernon. B.C.— O.L'.G. Fruit Products, Ltd., $100,000;
( hcrrv (reck Hydraulic, Ltd., $20,000.
Windsor. Ont.— Public Drug Co., Ltd., $40,000; Woollatt
i: I.overidge, Ltd.. $50,000; Courseys, Ltd., $40,000.
Victoria. B.C. — The Orpheus Phonograph Co.. Ltd.. $10,-
000; Monmouth, Ltd.. $.500,000; Direct Supply .Association.
Ltd.. $100,000; the Autoservicc Co., of British Columbia, Ltd.,
$100,000; Island Meat Co., Ltd., $20,000.
Edmonton. Attn. — loe DriscoU, Ltd., $20,000; Edmonton
Baseball. Ltd.. $20,000; Masse Electric Co.. Ltd.. $20,000;
Kemp Drug Co.. Ltd.. $10,000; Curtis and Oxford Machine
Co., Ltd.. $20,000; Alberta Fish Co., Ltd., $.50,000.
Winnipeg. Man. — The Canadian Mining and Development
Co.. Ltd.. $i;0,000; Canada Oil ami Gas Co.. Ltd.. $100,000;
Nott and Dempaey, Ltd., $10,000; La Librairie Keroack, Ltd.,
$20,000; Red River Poultry Farms, Ltd.. $('.0,000; the Head-
kingly Country Club. $30,000; Canada Fibre Products. Ltd..
$1,000,000; W. E. Tosback Co.. Ltd.. $20,000; West End Labor
Hnll Co., Lt<l.. $20,000.
V.inroiiver. B.C.- Straits Cedars. Ltd., $25,000; Palmer
iiwcn Logging Co., Ltd.. $200,000; the Metropolitan Club,
Ltd.. $10,000; Lucky Stri'.- Silver Mines. Ltd., $1,000,000;
Polychrome Cement Brick and Tile Co.. Ltd.. $20,000; Ocean
Park. Ltd.. $20,000: Wells Pass Trading Co.. Ltd.. $25,000;
Modern Utilities, Ltd.. $.50,000; the Fifty-fourth Club Co..
Ltd.. $10,000; .Acetate Products, Ltd., $250,000; Whitney-
Morton and Co.. Ltd.. $100,000.
Toronto. Ont.— Dominion Brass Products, Ltd., $40,000;
t)'c KoHen Social Club. Ltd.. $40,000; Bedford Park Floral
Co., $2.50,000; Cerebos of Canada, Ltd., $40,000; Autostrop
Safety Razor Co., Ltd., $1,500,000; Wells and Newton, Ltd.,
$20,000; Kitty Grey, Ltd.. $50,000; Standard Silk Shades,
Ltd., $40,000; Karainistiqua Pulp and Paper Co., Ltd., §1,-
000,000, McKay-:Munro, Ltd., $10,000; J. H. Edmunds Co.,
Ltd., $100,000; the Mason Tire and Rubber Co., Ltd., $10,000;
York Brick and Building Co., Ltd., $100,000; Hamilton B.
Wills and Co., Ltd., $1,000,000; Salisbury Manufacturing Co.,
Ltd., $40,000; Lines and Co., Ltd., $50,000; the Toronto Com-
puting Scale Co., Ltd., $200,000; Raco Investments, Ltd.,
.$250,000; Maxwell, Burn and Co., Ltd., $40,000; Mutual Agency,
Ltd., $75,000; the Provincial Bond Co., Ltd., $40,000; Sentinel
Publishing Co., Ltd., $100,000.
(HiGANIZATION OF CENTRAL TRUST CO.
A general organization meeting of the Central Trust
Co. of Canada was held at Moncton, N.B., on June 22. The
company expects to have its office open in Moncton some
time in .August. At the meeting, H. M. Wood, of Sackvillc,
N.B., was elected president; Hon. C. W. Robinson, of Monc-
ton, J. D. Palmer, of Fredericton and R. C. Tait, of Shediac,
N.B., vice-presidents. The following directors, all New
Brunswick men, were also elected: —
A. E. Trites, Salisbury; C. W. Fawcett, Sackville, N.B.;
W. F. Ferguson, E. A. Reilly, F. R. Sumner, J. A. Marven,
Reid McManus, A. C. Chapman, Moncton; Fred. McGee, Port
Elgin; Wm. L. Carr, Woodstock; E. H. Sinclair, New Castle;
Angus McLean, Bathurst; William S. Richards, Campbell-
ton; P. G. Mahoney, Melrose; Hon. J. E. Hetherington, Cody.
INCREASE IN TELEGRAPH RATES
Increased rates on commercial telegraph messages
throughout Canada went into effect on June 14th, 1920.
The order of the Canadian Railway Commission directing
th;U tariffs become effective "not earlier than June 14"
states that the new rates have been checked and scaled by
the commission's traffic department and some slight changes
made in the arbitrary scaling suggested in the boai'd's re-
cent judgment on the subject. That judgment granted in-
creases which averaged thirty-two per cent, on traffic in
eastern Canada and twenty per cent, in western Canada,
with a special provision of an arbitrary twenty-five' per
cent, on the transcontinental $1 flat rates. The commis-
sion's current ruling states that the rates as finally checked
and scaled "are not, in the average, in excess of the increased
basis, as provided for under rule three" of the previous
order.
TRUST AND LOAN COMPANY OF CANADA
The annual meeting of the Trust and Loan Co. of Can-
ada was held in London, Eng., on June 24th, when the report
for the twelve months ended March 31st and the financial
statement at the end of that period were submitted to the
shareholders. Net profits for the year amounted to £118,575,
an increase over the 1919 showing of £8,513. Investments
in Canada as at March 31st, last, aggregated $13,757,832,
a gain over the value of those show-n in the previous state-
ment of $170,954. .At the end of the coinpany's fiscal year
in l'.U4, investments in the Dominion totalled $17.117,000»
indicating that the prosperity in agricultural districts had
resulted in considerable liquidaton of mortgages.
.Although the increase in the demand for fresh money
since the conclusion of hostilities has been substantial, ex-
change difficulties have, in all probability, affected the send-
ing out of Canada of funds from England, the slight gain
recorded in the company's statement would seem to point
to the fact that money will be forthcoming from that quarter
on the resumption of more normal conditions.
In his report to the shareholders, the president, Lieut.-
Col. the Hon. Sidney Peel, D.S.O.. M.P., referred to the recent
capital reorganization of the company, and to the fact that
the Canadian commissioner, John Campbell, of Winnipeg,
was elected a member of the board during the year.
July 2, 1920
THE MONETARY TIMES
Confederation Life
ASSOCIATION
INSURANCE IN FORCE. $112,000,000.00
ASSETS .... 24,600,000.00
UBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP
PROVED PLANS
HEAD OFFICE TORONTO
STRIDING AHEAD
These arc wonderful d.iyi ior Iji,- msursncr sBlcmrn.
particularly \orlh American Life men. Our reprenenta-
tivei are placing unprecedented amounlii o( new business.
All 1919 records are being smashed.
"Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Addr
yi„
North Americao Life Assurance Company
■■. SOLID ..\S THE CU.STINI-INT
MOIVIE OFFICE TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assurances, New and Revi\
Premiums on same
Assurances in Force
Total Premium Income
Policy Reserves
Admitted .■\ssets
Averatce Policy
$1,21 1, -147 OU
4:(.890.00
3,4,18,939.00
109,586.03
211.497.00
•296,430.62
2,237.50
Collected in cash per SI, 000 ins'.ir.Hicc in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director Winnipeg.
18TO - — OUR GOLDEN JUBILEE 1920
Mutual in Principle: Mutual in Practice
Prosperity his ;ittenJeJ i-very step in Ihv nurch of the Mutual from
ttie ppcninR of its lonK campaign in 1870 down to ihc present, .intj niu..h
of ttlat SUCCC5S h.ls been due to the practice of tlic pnn..iplc of mutuality
\vhchli.ischaracterii:ed all ranlisufttic ever incrcat^inii army. (IbMacio
have been removed. difKcultie*^ tivercome and a lonK succession of vic-
tories achieved by co-operation, the most vital force in the world.
-The obicctive of ihe .Mutu.il Life of Cansdi vince its ornaDiialion in
IfiAShaii been to furnish the largest .imount of genuine l.fc insurance at
the lowest possible net cost." This obicctive ha« t>fen attained as
actual results clearly show. The limited rucrber of lapses indicates
a membership of salistird policyholders while the rapidly expanding
business rcvea's the growini; popularity of the company- Join our vic-
torious march.
BE A MUTUALISTI
The Mutual Life Assurance Co. of Canada
Waterloo
: Uronyn, .Ml".. I'l
Onta
Clwrlcs Kuby. Gcner.
SUCCESS IN LIFE INSURANCE
Salesmanship depends so much upon the service rendered ;hat we have
adopted as our sloR:tn ; "trraler .Service to rollrytaolderR.'* wc have a few
desirable positions for good salesmen who will study their clients' best interests,
and co-operate with the Company. Every assistance, financial and otherwise.
given earnest, hard workers, to make K"od- Apply w:th rcicrcnc s. st jtinR ix-
perjence. etc.. to »4. I^> WEAVER. EaHtcni Suprrlnltn<lrnl, al llriid OfUrr
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
THE LONDOnTi'fe'InSURANCE CO.
Head Office ... LONUO.N, CANAUA
Profit Results in this Company 70^ better iban Eitimalei.
POl IC1H-" GOOD AS GOLD.'
Life Insurance
is an alliance of far-seeing men against
misforlune. Few of the prudent arc outside
that alliance.
Are you ?
Life insurance at lowest cost and with
highest returns i.s available in
THE GREAT-WEST LIFE ASSURANCE COMPANY
HEAD OFFICE
WINNIPEG
The Western Empire
Life Assurance Company
Head Office : 701 Somerset Building, Winnipeg, Man.
SASKATOON
HDMONTON
VANCOt \ HR
Great North Insurance Co.
Head Office. H).O.F. BLOCK. ( AI.C.AH'^. AI.IIIKI\
THE COMPANY WITH A RECORD
nFFtCHHS
Prttldcntand Manancr ... W. J, WALKBR. B>«
l>t Vicc-HrHidcnt ... ... J. K. Mcl.N'N'tS. Kaq
Jnd V(c« Pri.ldtnl. MuN. ALIi.X. C KITTHKKI-ORD. K C
3rd Vii:< Prttidrnt ... Hon. P. B. LHSSAKU. M.L A
Secretary .„ .. .. JTNORTH.Hu)
» Calwn
DinBCTORS
Hon Alex C. Kuthir- Bdwan) J. Preain
ford, K c . B.A., Bm]
iLo.aci J K Mclnnn.
Hon. P. K Le«tard. W. J Walker. B«q.
a.L.A Oro. H. Roo. «c
P. A. Walker. ■ l..». Let.
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Greater Winnipeg Water District Assets-Middlesex County lieduces Tax Rate— Bank
Urges York ( ()imt\ to Discontinue Road Construction Because of Strinj-ent Money
Market— Calgary Increases Street Railway Fares— Walkerville Tax Rate Increased
Harriston. Out. — Tax rate for this year has been fixed
at IG mills.
WinnipcK, .Man. — The city council has passed estimates
totalling $G,iyO,4Cl and a tax rate of 22.5 mills, as compared
with 23 mills last year.
Hamilton, Ont. — .■Vppeals against the city's assessment
resulted in the foUowinR reductions: Buildings, $21,360; in-
lonu'S, $U,G20; land, $4,550.
Lindsay, Ont. — Tax rate this year has been reduced from
11 mills to 38 mills. This reduced rate takes care of a $5,000
deficit, as well as increased school estimates and salaries.
Charlottetown, I'.E.I. — Estimates of the city for the cur-
rent year give a surplus of $404, expenditures being $138,532
and revenue $138,936. The municipal tax will contribute
$115,886.
Walkerville, Ont.— Total tax rate for 1920 is 32 mills,
an increase of iV^ mills, which advance is caused from the
increased estimates for school purposes of practically 4 mills,
and in the general rate, a 'a mill.
Fort William, Ont. — The city council has voted to in-
crease the fares on the municipal street railway to seven
cents from five cents. It is expected that the increase will
help to overcome an annual deficit of $60,000.
Greater Winnipeg Water District, Man. — The auditor's
report of the District for the year ended December 31st, 1919,
shows assets as follows: .Aqueduct proper, $13,604,452; rail-
road and equipment, $1,594,509; telephone system, $33,620;
gravel pits and rock quarries, $97,185; picnic grounds, $1,184;
sundry buildings and equipments, $116,828; original survey
and charter, $125,912; outstanding water levy, 1918-19, $988,-
564; outstanding water charges, $28,102.
Bonded indebtedness of the District is shown to be $14,-
294,588. The total liabilities of the District, inclusive of the
amount overdrawn on the District account, amounts to $16,-
387,671. Land jiurchased by the District on which the aque-
duct and railroad has been built has cost $314,932.
Calgary, Alia. — City commissioners have decided to in-
crease fares to 10 cents, single fare, or two tickets for 15
cents, four tickets for a quarter and twenty tickets for $1.
The present rate is 5 cents for a single ticket, or five tickets
for 25 cents and twenty-two tickets for $1. The rate for
children, which is now eight tickets for 25 cents, will not
he changed. Increases in operation, including $123,000 for
wages and $38,000 for depreciation fund, to be set aside for
further depreciation on the basis that was used prior to the
war, are the reasons for the advance in fare rate.
York County, Ont. — Treasurer D. J. MacDonald has sub-
mitteil estimated expenditures as follows: For general pur-
poses, $lll,37i>; industrial home, $27,000; court house deben-
tures and interest, $4,875; road improvement and interest,
$20,812; road improvement and construction, $130,000; road
impi-ovenient and maintenance, $16,000; reduction road im-
provement indebtedness, $92,000; road improvement interest
charges. $18,000; total. $420,060.
The Canadian Bank of Commerce, in a letter to the
financial committee of the county, urges the discontinuation
of all highway construction which is not of vital necessity
on account of the stringency in the money market. The letter
points nut that the county's borrowings amounted to $288,350
hist year, but that the amount was $459,006 this year. The
increase was explained by the treasurer, who stated that the
eovernment had not paid its share toward the maintenance
■ f highways, and was not likely to do so until the roads have
' • en inspected in the fall. The government will be asked
■ pay at nn early <late, which will mean n saving of $2,000
I 1- month to the county in interest.
Kdmonton. .Vila. — Tax arrears amounting to $408,000
:ivc been paid into the city assessor's office since Januar>-
1st, according to an announcement by Assessor Walker, and
is apart from the $1,500,000 of current taxes paid during the
May discount period.
The report shows that throughout the first six months
of this year there has been a steady payment of arrears.
These back payments were for 1919, as well as previous
years. By months, the payments were as follows: Januarj',
$124,000; February, $62,000; March, $75,000; April, $46,000;
May, $51,000; June 1st to 24th, $50,000. After July 1st all
property in arrears at December 31st. 1919, will be placed
in the tax sale list and the assessor's staff will commence
the preparation' of it. It is expected that the sale will not
be held earlier than October, and possibly next November.
Middlesex County, Ont. — An amendment to a previous
by-law cuts one mill off the tax rate this year, which has
now been set at 6.83 mills. Councillor Grieve was the only
one to voice an objection, the question being whether the rate
should be based on the treasurer's estimates, which showed
a deficit of $20,000, or struck on the auditor's report, which
show-ed a balance of $24,000 on hand.
In speaking to the council, Mrs. T. E. Robson, county
treasurer, reviewed the finances as far back as 1913, and
pointed out that up until 1913 the county had been raising
sufficient revenue each year to carrj- on the business of the
county without resorting to borrowing. Since that time the
estimates had been cut in various ways, with the result thai
it was necessary every year to borrow from the bank. She
pointed out that by doing business in this way the county
was every year paying out $7,000 in interest. In connection
with the $20,000 deficit, Mrs. Robson declared that she could
not say from where it originated as this had been lost track
of in the necessary renewal of notes. The balance of $24,000
was actually in the bank when the audit was made, but she
pointed out that there was $80,000 in notes against this at
the time. She thought that the rate should be eight mills
in order that the county might finance throughout the year
without resorting to borrowing, and declared that if the esti-
mates were to be cut so that borrowing was necessary, that
in the next ten years, with the same tactics, the county would
pay out $70,000 in interest on notes for current revenue.
.Macleod, .'Vita. — .At an informal meeting of the pro-
vincial finance commission, bondholders and town represen-
tatives at Calgary last w^eek, the tax rate was discussed, and
it is likely that a 66-niill rate will prevail this year. The
matter of a current rate of taxation for the town was care-
fully gone into. The bondholders asked that a 75-mill rate
be applied to Macleod, while Mr. Mercer, manager of the
Bank of Commerce, in W. Macleod, who appeared on behalf
of the bank, spoke of a 70-mill rate. Mr. J. L. Fawcett, mayor
of Macleod, submitted that a .60-mill rate of taxation, without
providing for the sinking fund, would be more applicable.
.After a long discussion a compromise was effected between
the parties interested, and all agreed on the application of
a ('.(.-mill rate. This decision will be laid before the financial
commission when it meets, and will in all probability be
adopted. The view expressed by town officials and those best
(lual'fied to judge of local conditions is that the levying of
the 66-niill rate will be in the best interests of both the
town and their bondholders.
Both the bondholders' representatives and the commis-
sion were satisfied that there has been no mismanagement
of town affairs, and that the present conditions were due
wholly to unavoidable circumstr.nces. The town of Macleod
has paid its way in the past, and not only the commission,
but the leading financial men who are interested in its muni-
<ipnl affairs, were satisfied that those affairs were being
ronducted in a safe and sane way, and that the creditors of
tlie town would be fully protected under the new taxation.
July 2, 1920
THE MONETARY TIMES
J. F. STEWART
r. K. McSAlR
Dominion of Canada
Guaranteeing Grand Trunk Pacific
3% Bonds
Maturing January Ist. 1%2
Interest payable January and July
Principal and Interest payable in Canada and N.Y.
Price on Application
J. F. STEWART & CO.
Canadian Government and Municipal Securities
106 BAY STREET. TORONTO. CANADA
Telephones: Adelaide 71-1 71^
HOUSSER WbOD V' G)M PANY
CANADIAN GOVtRNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
NEW tSSUE ive Offer $400,000
DOMINION CHOCOLATE COMPANY, LIMITED
TORONTO
(Succciiors to Ihc Hoolon Chocolate Co.. Lhnitcdl
S\, Cumulative Sinking Fund Preferred Shares
Dividends payable 1st December and 1st June at Par in Toronto.
Montreal or New York at option of Owner.
The 8% dividend on the Preferred Stock for the balance of this year
"The estimated neTe''arnings for the present year are 8160.000, being
,ir times the Preferred Dividend, and showing over 1J% on the Com-
■m Stock.
PRICE : $100 per share, carrying 30% bonus of Common Slock.
Full particulars and pmspcclus glailK- »<"' <"> "auat.
T. S.
G. PEPLER & CO.
INyESTME.\r BROKERS
ROYAL BANK BUILDING. TORONTO
CANADIAN
GOVERNMENT. I'ROVINCIAL.
.MrMCIPAL & CORPOKATION
BONDS FOR INVESTMENT
Harris, Forbes & Company
INCORPORATED
t. I'. K. Building, 21 St. John Street,
TORONTO.
MONTREAL.
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
$100,000
County of Renfrew, Ontario
5^,' Coupon Gold Bonds
Due I'.»21-19»0
DeiKiminaiions Sl.OdO, anil odil amounts
Price : Rate to Yield 6.20"
C. H. BURGESS & CO.
14 King Street Elast Toronto
THE DOMINION OF CANADA
GUARANTEE & ACCIDENT INS. CO.
Accident ln*.rimce Sickn.BS Insurance ''"" °'"* '"""""!'
Burglary Insurance Automobile Inwranc. Ou.r.nt« Bond.
The Oldtst and Strongest Canadian Acckient ln.urance C°rnP»n,
T.r«to M«nt«al Wl«.lp« t.l«.rT **""°^"
WE BUY
Chauvin,Allsopp & Company, Limited
FARM LANDS
And other good property. EDMONTON DISTRICT.
ALUATORS
Edmonton. Alta.
VALUATORS
Ground .Floor. McLeod Build
IRON MINE
FOR SALE
COUNTY OF RENFREW
Nc.-.. I'rtll.
For full particulara. report of •••ay. e«c.. apply
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAV nnd MELINDA STS. TORONTO
42
THE MONETARY TIMES
Volume 65.
Government and Municipal Bond Market
Good Volume ol Municipal Securities Taken I'p Durinu Past Week— Irrigation
Bonds Will IJe Ready lor Market Shortly— \ancouver Ratepayers Defeat Money
By-Laws Totalling Nearly A Million and a Half— Financing Toronto Harbour Work
LISTS of July government and municipal offerings reflect
in an accurate manner the position of the bond market
at the present time. There does not appear to have been
any material change during the past month, the trend of
prices being neither up nor down, even though the volume
of new issues has been considerable. It is interesting to
note, however, the change since the beginning of the year.
Ontario citie.s are now selling to yield from (3.10 to O',-" per
cent., according to the grade of the security, as compared with
5% to 6 per cent., in January. Western municipal, school
and telephone debentures are presently offered to yield from
6.60 to 7hi per cent., as compared with 6.40 to 6% per cent.,
six months ago. The yield on provincial securities has also
been raised considerably, being around 6 per cent, now, as
compared with between 5 '/a and 5.80 at the beginning of
the year.
Speaking of the prices at the present time, Messrs.
Wood, Gundy and Co. say in their monthly pamphlet: "Low
prices do not in any way reflect upon the security behind
the bonds. On the contrary, owing to heavy interest rates,
which it is now necessary to pay, Canadian provinces and
municipalities are restricting their expenditures as far as
possible. Consequently, there is a probability of a shortage
of these bonds, which should result in a strengthening ten-
dency in the market."
Irrigation Bonds
Premier Stewart, of Alberta, has promised prompt ac-
tion in connection with the irrigation projects in the south
to a delegation last week, as provided by legislation. He
has stated that bonds of the Lethbridge Northern district
would be prepared at once, and would be ready for the mar-
ket in about thirty days.
"There will be no further delay in the matter," said Mr.
Stewart. "The preparation of the bonds has been held up
for a little because of the inclusion of new areas, but this
has now been settled, and we shall proceed at once in strict
accordance with the terms laid down by the legislation.
The offer of the bonds will not be confined to the Warren
Construction Co., but will be free from restrictions of all
kinds. We shall in the meantime look around for likely in-
vestors. The market is tight, to be sure, but a good many
people are interested in this kind of security, and we shall
do our best to make a good sale."
Coming Offerings
The following is a list of debentures offered for sale of
which mention has been made in this or previous issues: —
Tenders
Borrower. Amount. Rate "/c. Maturity. close.
Ncclon and Gnrson
Townships. Ont. . . ? 10,000 t! 20-instal. July 3
Sudbury. Ont 167.004 5 & 6 Various July 3
St, t'hr>sostomc. Que. 7,000 6 10-yr.ser. July 5
Sw.Tii River, Man. . . .'iS.OOO 6 SO-instal. July 6
North Sydney, N'.S. 131,000 « 20-yenrs July 9
Emily Tp.. Ont 20.800 6 lO-instal. July 10
Hawkosbury. Ont. . . 170,000 C. Various July 12
Kenora, Ont T<>,'!20.C5 6Hi & 7 Various
Capreol. Ont 17.000 6 10 & 20 inst. July 24
Trail. B.C 9,000 7 10-years July 26
Township of Emily. Ont. — Tenders will be received until
July 10, lit20. for the purchase of S20.800 6 per cent. 10-
instalment debentures, the proceeds to be used for the muni-
cipal telephone system. R. J. Grandy, clerk, Omemee, Ont
Trail, B.C. — Tenders will be received until July 26th
1920, for the purchase of $9,000 7 per cent. 10-year deben-
tures. (See announcement elsewhere in this issue.)
Capreol, Ont. — Tenders will be received until July 24th,
1920, for the purchase of $5,000 6 per cent. lO-instalment fire
equipment debentures and $12,000 6 per cent. 20-instalment
electric light debentures. (See announcement elsewhere in
this issue.)
Hawkesbury. Ont. — Tenders will be received until July
12, 1920, for the purchase of $95,000 6 per cent., 20-instal-
ment road debentures, $65,000 6 per cent., waterworks and
sewer extension 30-instalment debentures and $19,000 6 per
cent. 6-instalment bonus debentures. Eug. Paquette.
North Sydney, X.S. — The town is receiving tenders until
July 9, 1920, for $131,000 6 per cent. 20-year debentures as
follows: $50,000 for town hall; $20,000 for fire equipment;
$25,000 for streets; $3,000 for right-of-way loan; $12,500
for sewer extension; $12, .500 for waterworks; $8,000 for re-
tiring debentures. Town clerk.
Kenora, Ont. — Tenders are being asked on the following
debentures: $10,000 7 per cent. 15-instalment, electric ex-
tension; $25,000 7 per cent. 20-instalment, public improve-
ment; $7,755.38 7 per cent. 20-instalment, local improvement;
$20,000 7 per cent. 20-year sinking fund debentures, for
waterworks; $13,564.87 6Vi per cent, sinking fund bonds, due
1953, for debt consolidation. No special date is set.
Debenture Notes
Islington, Ont. — Etobicoke Township intends to raise
$30,000 for a new school.
Kitchener. Ont. — The Separate School Board plans the
raising of $75,000 for a new school.
Louise. Man. — Voting at Crystal City, Man., was in favor
of borrowing $8,000 for a skating rink at Louise.
Amherst, N.S.— At the cost of $40,000, the town council
plans the erection of an addition to municipal hospital.
-Moncton, N.B. — The city has practically decided upon
a paving program this summer invohing an expenditure of
between $175,000 to $200,000.
Yorkton, S.D., Sask.— Messrs. Harris, Read and Co..
Regina, were given on June 26, a 15-day option on $85,000 7
per cent. 20-instalment debentures.
East Kildonan, Man.— Messrs. Strang and Snowden, of
Winnipeg, have secured an option on $150,000 6 per cent. 80-
year serial bonds of the school board at 90.25.
Oshawa. Ont. — Ratepayers have voted in favor of is-
suing debentures to the amount of $250,000 for watenvorks
I'Ui-pofes. A bridge money by-law has also been passed.
Kingston. Ont. — No more permanent paving will be done
this year after the present works are completed, in order
to keep the increase in the debenture debt down to a mini-
mum.
Sudbury. Ont. — A by-law has been passed by ratepayers
.Tuthorizing the expenditure of $27,000 on new water mains.
Delta. B.C.— Municipal council proposes to expend $100.-
0(10 on paving Delta Rd.
Melita. Man.— The hospital debenture by-law has been
defeated by all districts except Melita. The proposed hos-
pital area under the by-law. covered the municipalities of
-Arthur. Edward, part of .\lbert and Melita.
Regina. Sask.— The city council will be asked to issue
bonds to finance ai-rears of .school taxes assessed against
pioperty for which the city is securing title under the ar-
rears of taxes proceedings.
July 2, 1920
THE MONETARY TIMES
OUR NEW
BOND LIST
has just been received
from the printer. It con-
tains a full description of
various Government and
Municipal Bonds and
should prove of interest
to those planning to in-
vest July dividends.
Copy gladly mailed
upon request.
Wood, Gundy & Company
Canadian Pacific Railway Building
Montreal New York
Saskatoon loronto London. Eng.
.^
J J ho Should Control
Crown La}2ds Piilpwood?
Canadians think their Provinces
should.
Some American manufacturers, having
used most of tfieir own pulpwooJ, think
they should. So the United States
Senate is sending up a C')mmission to
" talk things over."
If you want to read an interesting dis-
cussion of the "Underwood Resolution,"
write for a copy of the latest issue of
lin'estment Items.
Royal Securities
^ CORPORATION
LIMITED
.\10NTRE.\L
rOltO.NTO HALIFAX ST. JOH.N, N.H.
WINNIPEG NEW YORK l.ONDO.N, Eoij.
W^
W. L. McKiN-xoN
])KAN H 1'i;tti->
Income Tsuc Payers
will find useful our circular showing
what they must receive from taxable
investments to equal ihe return on
TAX FREE VICTORY BONDS
at present prices.
■1 copy will be fladly senl on •requal.
W. L. McKINNON & CO.
IVIcKinnon BuildinK TORONTO
JULY
Interest and Dividends
You cannot do better than rein-
vest the interest and dividends
you will receive on July 1st in
Victory Loan Bonds
Denominations —
$1,000, $500. $100. $50.
Maturities —
1922. 1923. 1924, 1927, 1933.
1934 and 1937.
Canada's Prtmirr S»eurily
W . A. Mackenzie & Co. ' |
(-»u\crniii«nl and Muntcipal Bomlt
A2 Kin< St. Weil . TORONTO, OnUr
THE MONETARY T I .M E S
Volume 65.
York Township, Ont. — Township council has passed by-
laws authorizing the raising of $(57,000 for school purposes.
York County, Ont.^ — The sums of $430,000 for construc-
tion of highways and .$453,000 for the maintenance of roads
and bridges in the county, are to be raised by debentures.
Essc.\ Border Utilities. Ont. — .\ll tenders on the $117,H1.5
•J per cent. 'J8-instalment debenture issue were turned down.
It is understood that the commission will change the act
authorizing the issue and make another offering.
Vancouver, B.C. — Eight money by-laws totalling $1,425,-
000 have been defeated as follows: Street improvement,
$150,000; waterworks, .$120,000; maternity hospital, $500,000;
isolation hospital, $350,000; new schools, $60,000; equipment,
$15,000; repairs, $80,000; technical school, $150,000.
Niagara Falls, Ont. — Two by-laws will be voted on by
the people of Niagara Falls, July 26, one to raise $28,000 for
the purchase and equipment of a civic scheme of parks and
playgrounds, and one to guai-antee the bonds of a local com-
pany to the extent of $80,000, for the erection of a tenement
factory building.
Bond Sales
North Hattleford, Sask. — Citizens were recently invited
for the first time to subscribe to an issue of $30,000 3-year
7 per cent, treasury notes, and the loan was oversubscribed
by 10 per cent. The proceeds of the loan are for the purpose
of installing new boilers in the power plant.
Three Kivers, Que. — The city has sold to Versailles,
Vidricaire and Boulais $277,000 5 '/a per cent, bonds, dated
November 1, lOli), and due in 10 years, at 93.26. The $80,-
000 6 per cent. 30-year bonds and $6,000 5 per cent. 10-year
bonds have not been sold.
Brandon S.D., jMan. — Messrs. A. E. Ames and Co. have
purchased privately $50,000 5 per cent. 30-year debentures.
Pipestone. Man. — The municipality has sold to Harris,
Read and Co., Regina, $80,000 SVi per cent. 20-year deben-
tures at 86 and $13,000 5>4 per cent. 30-instalment deben-
tures at 89.
St. John, N.B. — It is understood that tenders on the
$100,000 6 per cent. 10-year debentures, issued in payment
for the nurses' home, were rejected, and that the bonds
were sold to a local syndicate headed by J. M. Robinson and
Sons at 98, at which price the city paid slightly more than
(i'l per cent, for its money.
Branlford, Ont. — During the past month or two, Brant-
ford has successfully disposed of its bonds to the amount
of more than $300,000 to local citizens, and on much more
favorable terms than could have been secured through the
usual channels. City Treasurer Bunnell informs Tin- Moiic-
Inry Times that there is still $250,000 undisposed and that
he intends to try the local market with a further issue be-
fore making public offering.
Chatham. Ont. — Messrs. Wood, Gundy and Co. have pur-
chased $90,000 t; per cent. 30-year hydro-electric debentures
at 96.18, which is slightly above the 6'.4 per cent, basis.
Only three tenders were received and they are: —
Wood, Gundy and Co 96.18
A. E. Ames and Co 94.33
K. C. Matthews and Co 92.50
Toronto ll.'irlior I'lnances
Member." of the Harbor Board and the Toronto city
council met this week to consider the work done by the
former body. R. Home Smith, for the commission, reviewed
the work completed and emphasized the financial conditions
the board had to contend with, past, present p.nd future.
"Financial matters have been difficult during the war." he said,
"and they have not got easier. In fact they have been harder."
Mr. Smith told the conference that the money realized
from selling the debentures earlier than required for actual
work had worked out to the advantage of the board. "The
money scoured." said he, "has been placed on deposit with
a trust and loan company at 4\ per cent. There has been
since 1913 a lower rote for bonds with a rising percentage.
Dn a declining market we would have made a loss on the
."^ale price of our bonds."
CROr OUTLOOK CONTINUES GOOD
Ontario and (Juebec Enjoy Fine Weather — Small Damage ii
West From Blowing and Grasshoppers
QUEBEC is promised good crops this year, according to re
ports secured from 40 correspondents of the Provincia
Bureau of Statistics. The main difficulty is a shortage oJ
labor, as many farm laborers have been drawn to the citie;
because of the high wages and short hours obtainable there
The following is a summary issued by the Ontario De
partment of Agriculture on June 29th: — "All field crops hav(
been more or less improved by the rains which have faller
at intervals during the last three weeks. Fall wheat has
been lengthening in stalk with the recent rains, but is still de-
cidedly below the average in height. The absence of great
heat during the last week or so has helped the heads t^
fill out well, and several representatives express the hop
of a generous yield. Essex, Kent. Elgin and Haldiniai:
speak of the Hessian fly as causing some trouble. Spriu:
grains are looking much better than they did earlier in t!
season. Essex and Kent report some oat fields as alreati
beginning to head.
"All hay and pasture crops have picked up wonderful:;
with the soaked soil, but timothy and clover will be behii!
the average in yield. Norfolk reports some new hay alread;,
on the market. Alfalfa has received the first cut, and is
giving satisfaction, and sweet clover is also said to be turn-
ing out well. Corn, taking the province over, never looked
better at this date, even though it has been more affected
by insects than in recent years. Potatoes are doing nicely
now, early varieties being in blossom. All roots except
mangels are looking well, but considerable of that cro|)
had to be resown to turnips. Lanark reports that Canadian-
grown root seed has given good results this season."
Western Situation Unchanged
Crop reports from the west received at Canadian
National Railway headquarters continue to be favorable,
and if conditions keep up at the present rate the we?-
promises a record crop for this year. Prairie provinces r;
port quite a bit of summer fallowing being done. In Mani-
toba showers come quite regularly, and the hailstorms of
last week did little damage. Shelmouth reports that crops
are ten days ahead of last year, and a twenty per cent, in-
crease in the oat crop this year. In Athabasca 60 per cent,
of the seeding has been done, while the Vermilion sub-
division reports the grain standing 12 inches high, with an
abundance of moisture.
EXCHANGE QUOTATIONS
Messrs. Glazebrook and Cron>'n. exchange and bond
brokers. Toronto, report local exchange rates as follows:—
^, ,. , Buyers. Sellers. Counter.
N.Y. funds 13 7-16 pm 13% pm
Mont, funds Par. Par.
Sterling —
Demand $4.49.50 $4.50
Cable transfers 4.50.25 4.50.75
% to
New \ork quotations of exchange on European coun-
\o\?' f!^^!]'^''^'' ^'^' ^^'^ >>'ational City Co., Ltd.. as at June
iOth, 1920, are as follows (all in cents per unit of foreign
currency): Cable. London, 395U, cheque, London, 394%;
cable. Pans, 8.24, cheque, Paris, 8.23; cable, Italy, 5.94,
, oT""' . ^'"'•^■' ^-^'^^ '■'^^1"'^' Belgium. 8.66; cheque, Swiss,
18.20; cheque. Spain. 16.60; cheque, Holland, 35.70; cheque.
Denmark, 16.40; cheque, ^•or^vay. 16.40; cheque, Sweden,
22.I0; cheque, Berlin, 2.64; cheque, Greece, 13.00; cheque,
1" inland, 4.90; cheque, Roumania, 2.50.
July 2, U»2U
THE M 0 N E T A R Y T 1 M K S
NEW ISSUE
$500,000
CITY OF HALIFAX, N.S.
5h% Bonds due January, 1953
Principal and semi-annual interest payable Montreal.
Toronto. Halifax.
Denominations $1,000
Pric<2 92.85 and interest yielding 6:,,
Eastern Securities Co., Limited
92 Prince William St.
ST. JOHN. N.B.
193 Mollis St..
HALIFAX, N.S.
A. J. Pattison Jr. & Co.
Members
Toronto Slocli Exch.in8c Montrcil StoJ( HM.hjnm;
Speciali.t. Unlisted Securille.
106 BAY STREET TORONTO
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Urancnej— SASKATOO.S AND CALGAKY.
Canadian .Manaecri
Invkstmbnt Corporation op Canada. Ltd.
London Office: t Oriat Winclicucr St.. E.G.
Government
Guaranteed to
BONDS
QM
2/0
MATVRINC 1921-1940.
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
UNION TRUST BUILDING - WINNIPEG
Manitoba Finance Corporation Ltd.
jnci'u/ Agentt, Etc.
Winnipeg, Man.
investment B-obers, Fir
He- .id O.Tlo
410-11 Electric RIy. Chamber*
Phone Garry ;«S(
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba, Alberta Flour Mills. Limited
DEALERS IN
Government, xMunicipal
and Corporation Bonds
Correspondence Solicited
A. H. Martens & Company
iMemljers Toronto Stock Bxchvnfic*
ROYAL BANK BUILDING, TORONTO
61 Broadway,
New York, N.Y.
Harris Trust BIdg.,
Chicago. III.
Northern Securities, Limited
KSTAHI.lSHKl) I!«i6
GENERAL FINANCIAL BROKER
Confidenlial Aduict on Brililh Columbia /nvc.rm«nra
Member of MortKaKc :ind T rust Companies Association of Hrf. -h Columhi.
S2S Pender Street W. VANCOUVER. B.C.
H CKOKGK H ANSI LI). .M'.. Man:i«cr
P. M. LIDDELL & COMPANY
Investment Banl(cr5. Fiscal A'gcnis
Insurance Brol(crs
826-7-8 ROGERS BUILDING, VANCOUVER. B.C.
WE WILL BUY
Western Provincial
AND
B.C. Municipal Bonds
Offerings may be telegraphed at our expense
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C. Victoria, B.C.
A Newspaper Devoted to
Municipal Bonds
'pill'iKI'. 1- pnhli>lK-il i« Now ^o^U City a daily
* and weekly newspaper which has for over
twetily-five years been ilcvolcil to nuinicipal
bonds. Bankers, bond dealers, investors and
public olVicials cmisider it an authority in it.s
field. Municipalities coiisjiler it the lof^ical
mediuin in which to aniiovince bond ofTeriniJs.
Wrila for frf specimen copies
THE BOND BUYER
67 Pearl Street
New York. N.Y.
THE MONETARY T I .M E S
Volume 65.
Corporation Securities Market
(iuebcc Kailvvay Features I'ninterestinK Sessions on Canadian Exchanges — Noticable
Easinjt in Prices of Many Stocks and Light \ olume of Trading — Bond
Market Also Quiet— Howard Smith Issue Sold — Riordon Offering Over-Subscribed
FOR till' week ended June 29th, there was even less specula-
tive interest in the New York stock market than pre-
viously, business being very dull, and price fluctuations unin-
teresting. Money ruled between 11 and 14 per cent., but
eased to 9 and 7 per cent., because there was no demand for
it at any price. A sharp reduction in the reserves of the last
Federal reserve bank statement is pointed to as e.xplaining
the stringency in the money market. It does not appear as
if there will be any decided change in the character of the
market for some time, but, nevertheless, there is a general
hopeful feeling in some circles.
Actions of Canadian stocks for the week ended June 29th,
seem to indicate that the market is entering a period of
summer quietness wifh a usual easing of some prices. In
Montreal trading was light, with the exception of Quebec
Railway, which furnished a turnover of 13,973 shares. Que-
bec Railway has attracted considerable attention during the
past week or two, and the future developments of the com-
pany are being discussed with much interest in influential
circles. It is the general belief that the stock will be placed
on a dividend basis, although what the rate may be is not
stated. There has also been considerable talk regarding the
amalgamation of the company with the Quebec Public Service
Corporation, which company is controlled by the Shawinigan
Water an<l Power Company. Atlantic Sugar was a strong
feature, gaining 9 points on sales of .'),280, while National
Breweries was fairly active, the turnover for the week being
9,833 shares. Interest in paper stocks, which have domin-
ated the market during the past few weeks, has entirely gone,
leaving most of those issues weaker.
Business in Toronto was also dull, Brazilian being the
only issue which furnished a turnover of more than 1,000
shares. While there were a few ordinary gains, there was
a noticeable easing in prices of many stocks. Steel of Can-
ada was a feature among the weak issues, selling as low as
75. a drop of 20 points as compared with the previous week.
New Issues Offered
Offering of 8 per cent, cumulative preferred participat-
ing shares of Chemical Products, Ltd., is being advertised
. l-.wlicie in this i.s.sue at par, with a bonus of one .share of
. 'miImoii stock, by Messrs. Graham, Sanson and Co., Toronto,
aii'l the Canada Industrial Bond Corporation, Montreal and
nttawn.
The total authorized issue of preferred is $2,000,000, of
which $1,7.")0,000 is to be issued. Already large blocks of
this stock have been disposed of privately and the balance
is now being publicly offered.
R. McLelland, Hamilton and Toronto, is offering subject
to prior sale, 20,000 shares of United Shoe Shops, Ltd., (par
value $10), at par. Net profits of United Shoe Shops, Ltd.,
are more than sufficient to pay 12 per cent., on this present
issue from the operation of the present stores. It is the in-
tention of the company to extend its chain of stores through-
out Canada.
Howard Smith Paper Mills, Ltd., have recently sold to
Nesbitt, Thomson & Co., 8450,000 6 per cent., first mortgage
bonds, maturing 1934. These bonds form a part of an issue
of $1,500,000, of which there still remains $250,000 in the
treasury.
Subscription lists on the $8,500,000 8 per cent, cumula-
tive preferred shares of Riordon Co., Ltd., have been closed,
and the issue has been substantially over-subscribed, to the
extent of $1,300,000, it is stated. Of the total allotted, more
than $8,000,000 was subscribed by Canadian investors. The
Royal Securities Corp., w-ere the underwriters. It is under-
stood that the number of applications totalled over two
thousand, a feature of the offering that indicates wide dis-
tribution with a resulting stable market for the new securi-
ties.
Capital Increases
Companies registered under Dominion charters have been
authorized to increase their capital stock as follows: —
Former capital stock Increased to
Canadian .-Ammonia Co., Ltd $ 100,000 $ 250,000
Benedict-Procter Mfg. Co.. Ltd.. 25,000 150,000
Nicu Steel Corp., Ltd 200,000 300,000
New shares in the two latter cases will have a par value
of $100, while in the former case new shares will have a par
value of $25.
L'nder provincial charters the changes are as follows,
the name of the province being indicated:
Former capital stock Increased to
Bond Hardware Co., Ltd. (On-
tario) $ 100.000 $ 250.000
Beaver Wood Fibre Co., Ltd.
(Ontario) 2,000,000 4,000,000
"Treespriggs Co., Ltd. (Ontario) 20,000 150,000
'Fairbanks Rattray, Ltd. (Mani-
toba) 10,000 . 45,000
Northland Knitting Co., Ltd.
(Manitoba) 100,000 . 250,000
•New shares to have a par value of $25 each, others $100
each.
UNLISTHD SECURITIES
Anu .11-11
Amcr. S.tic* li
KcldiriK. Piiul
Hriti5h Amcr
prcfu.d. HI fa
K.25
186 Can. Woollcnn com
'JO. SO ■■ •• prtl.
« Cock.hutt Plow 7%pr«f.
S 2S !Col(!>vnoJ Shiph'dil. b't
n ICrmvn Life
51 ICiiban C.in Sugar. com. I
« pr«f.
pavica wniiam «■>
l>)m. Foun. * St com
' 8",. Prcf.
nom. Iron ft Stc«l$'!i 1938
:iunlopTir«.. 7'., .prc(.;
■ >-.Ivcnr Tin' pref.
shed so The .Monetary Times by A. J. Patti
IWeck ended .lunc 3l.>th. 1920.)
. Jr.. & Co.. Toronto
1 47
; w .w
77. SO
t US
101
1 «•
71)
! w
96
! 71)
7.'! .
; ^
97
M
91
9«
93
■ 9S
W
I«
IM
120
71 SO
7«
.» I Ki nK Ed wartl H otcl .com .
LamhtonGoK
Ix>c\vs (Ottawa) com.
I-ondnn Loiin A- Savings.
.M.inuf;icturers Life
- cy-Harr.s
M;itt.i(j.iml Pulp. . . .com.
an Nor. Power. .S's
sauga Golf
K 7%pref.
National Life
North-Amcr. Pulp
"' rtli Star Oil com.
... prcf.
N. S. Steel 6% deb.
Onl. Pulp...6-s X-Talons
Page Herscy.. . pref-
Pcoples Loan
Robert Simpson.6% prcf.
South Can. Power.. prtf
Sterling Bank
StcrlingCoal com.
Toronto Power. S's (1934)
Trust A Guarantee
I'nitcd Cisar Stores prcf.
Western Assurance
West. Can. Pulp.... com.
I Western Grocers. ..prcf.
W'halen Pulp .'.com.
18.50
87. SO
73. SO
1.75
July 2, 1920
THE MONETARY TIMES
BAWLF & WINSLOW
Limited
STOCK AND BOND BROKERS
INVESTMENT SECURITIES
Montreal Correspondents —
THORNTON DAVIDSON ft CO. LIMITED
Ground Floor, Lindsay Building
WINNIPEG MANITOBA
We Offer
SCHOOL BONDS
Province of Alberta
A/alunng 10 and 15 Years
7 to 7':%
We Specially RccommcnJ ihcic DonJ^ dj Sound Invcslmenh
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto Bldg.
EDMONTON
McLean Block
CALGARY
A tuh'Sizcd. left-dried, all-r>il thcct of thi
'^ rossiblciiualtty. 01de<t of Canadian bord p>pc
First made at St.Jcrcme. P CJ.. in 18»2. Kvcr iincr
has maintained its position as the best known a
most widely used bond and leditcr in Canada. ^.
AaatJtJ Ihc Gold OCtial. AniKtrp. 1885: ikACoU
S\CcJal. Chkaso. 1893. and llx Grand Trit. Part,. 1900.
1 The Rolland PaperCo., Ld., Montreal
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Members of Winnipeg Real Estate Exchange. Winnipeg Stock Exch.nije
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE REALTY
432 Pender Street, W., Vancouver, B.C.
Dr. J. W. .MAHA.N J A.WKST.MAN
PrCMdcnt .Manailinfl Director
F. S. RATLIFF & CO.
FARiM LANDS— FARM LOANS
STOCKS AND BONDS
Medicine Hat ..... Albrrln
SASKATOON, SASKATCHEWAN
stock, Bond and
Grain Brokers
INSURANCE - FARM LANDS
RENTAL AGENTS
Willouffhby Sumner Limited
Member, of the Wmnipeg Gram fc.ieh:..,ge
Private n-iVc to ff inmpcg, foronlo. .\/ontrca/. CAicogo
and Aew \ urt
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM UNDS AND PROPERTY MANAGERS
KERN AGENCIES
IBM TO WI.VMl'KG CHTCAOC fOHnMi
•MONTRliAL AND M!W VOKIi
48
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
MOMItKAl— SIX <lll)» I'llllllllC .IIIIK' '.'illh.
(Figures supplied by Burnktt iv Co.)
Htorkn
Ahitihi Power* Paper. 1
Abitibi (ncwl
AmcsHolden prd.
Asbestos Corp :
pW-i
All:inlic SuHar
..pfd.
Hell Telephone
B.C. l-ishini;
Ur.i,rilian T L. .V I'ower
nplon I'ulp
Can
lent .
pfd. I
Ciinadi.in Cottons
.pfd.,
Can Converters I
Can^idlanCar
....pfd.
Curriaftc Factorie.s
Canadian Ccn. Blec...
Can. Steamship
• ■ pfd.)
Can. Loco pfd.)
Con..MininK&Smel....|
Delroil United i
Diiniininn Canners ,
Dominion BridKc
Dom.Coal pfd.
Dominion Glass
•• .pfJ.
Dom. Iron pfd. I
Dom. Steel Corp
..pfd.,
Dominion Textile
"... pfd.;
Howard Smith
•• ....pfd
(joodwins Ltd pfd
Sales
Open
High
Low
Close
' iiio
is"
' 76"
•73
■7^1'
rik
»H
is
8M
83}
■MKI
•j-j
9:M
mi
^rno
12<
VJH
l?»t
{■M
KMtl
Hi
153
142
l.W
70
lail
IIHii
105
.0«<
.1.'!
*4i
«t
■141
454
Wim
rn
42
42
■XKVi
I3IJ
I39l
l.W
134)
tw
65
65
6:)il
64
n
90
904
90
90^
f,
98
98
9S
98
ss
79
7»
79
79
S5
Ti
72
7H
71*
28,i
S2
.52
52
52
4I»
9«|-
98j
96
!I6
3.S
■an
■M
■26
26
Wl
102
102i
102
IU2
:foo
72
74
72
74*
191
78
78j
78
78
87}
4251 25i
51 104
105 609
90' 9411
1! 86i
Lake of Jhc Wood:
Illinois Tract
Laurentide
Liall Construction
Mackay
Maple Leaf Mill
.M.Kdonald C
Mont. CoC. Ltd
..pfd.
Montreal Power
Mont. TelcRrnph
Montreal Tram. ..Deb.
National Breweries
ORilvie Flour Mills. ..
pfd.
Onl Steel Prod
7S5
64
1:1
78
450
v.rii
115
132
21(1
i(r2
.5(]
324
'25
196
1
102
60]
944
86i
64 1' I 6-23
7S I 774
132i
(l!t,ivv;l L. * P
I'ru. Bros. Co. Ltd..
liovlHC Ky. L. H.&P..
KiorUiin Pulp* P
pfd,
St. Liiwrcnce PI. Mills
ShnwiniKiin W.ftP ..
Spanish KUer.
Div. Vi
Steel Co. of Canada
.pfd. 2665 I4I<4
.pfd. 200
Windsor Motel
84 i
w
187
1.57
II
168
183
188
IS7
isi
ills
.«o
77
i.vn 8»i
inooi H^i
.10001 81
7tian 1115
I .' ! in Car* Fo. .
L'.,l .1 . H.pnl» Mf«.. '
City ,Monl Dec ««.IW2
" May lis. 1923
" Scpt«'».IW.l 4000
Dom. Cfln.W l..wn I92.< xiinn
mil R7I00
ISI37 iSSW
Victory Bond!!. I«2 '
li»27
lira .
IMS .
n
8 674
1215 IU8
no 70
4.56 83 844 82 S4i
I0| UN I 118 118 118
230ul 68 I 68 6S 68
98331 533 57i 5;i4 .56
12' 226 226 226 22<i
75 100 100 100 1(10
74 76 I 77 , 75 77
30 130 I 130 I2!> Viit
2 79 I 79 79 79
15| :t60 :(6(i .355 355
13773] 294 3H I 29 29l
671 198 I 198 1941 1941
"7I
-d
I47«
1444
7(.
75
97
95
41
40
75
74
M)
84
32J 324 I 324 324
8»J , IWi 8<«
92i 924 9:1
tH I f^i 82)
M<>.\TUI;A.L— Co>i(>ntic<f.
■Ill
I Sales' Open ' High
Dom. Canners |..
Dom.Coal 3000
Dominion Iron & Steel,..
Dom. Textile .
Lake of Woods |.
.Montreal Power i .
Montreal Street Ry....! 8000
08ilvie Flour ' .
Penmans Ltd 200O 89
Price Bros £200 KS
(Juebec Ky.L. H.&P... 2500 61
Riordon PulpS Pnpcr. 500 91
Scotia 200 80
Sherwin-Williams... 1 3000 100
Spanish River
Steel Co. of Canada. ■ ■ |
Wabasso Cotton i I- ■■-
Wayngamack P. &P...I 7900 84
Windsor Hotel ...I
I ■■
83i 84
TOUOXTO— Six ilnyK endlns Jniic tiSlli.
Sales Open High | Low Close
Atlantic Sugar .
299
125
134
1244
134
pfd.
5
148
148
148
148
Anics.Holden...,
prcf.
100
99
991
99
993
Hell Telephone .
15
105
105
105
105
Brazilian Traction. . .
1019
42)
43
421
42*
H.C. F.shing
55
46i
46,i
441
44.i
Burt, t-.ti
5
9U
91}
91*
pfd
:o
96
96
95
96
165
23*
23*
2li
21ft
pref.
50
84
S4
84
84
240
65
65
64
64
pfd.
10
90}
90i
9()i
90i
31
65
102}
97
"^t
I02i
97
102)
pfd.
97*
39
73
73
71*
73
.pfd.
423
78*
79»
78
7S*
;:anadian Pacific
R...
80
1294
129*
I28i
129*
:anners
.pfd.
40
824
8;t
824
824
woniagas
250
2.00
2.;t5
2.00
2.3.>
15
500
135
135
21
135
21
135
Crown Reserve..
21
Detroit United .
100
11.00
11.0(1
11.0(1
11. 00
Locomotive
..pfd.
25
924
924
71*
924
924
.Mackay Compani
141
702
VOi
71*
pfd.
tm
67
67
67
67
Maple Leaf Milling...
100
1.59
159
159
1.59
.pfd.
33
98
984
98
984
NS.Car
5(1
4
4
4
40
pfd,
1-25
274
274
26ft
27
Nipissing
215
10.10
10.10
10.10
10.10
Porto Rico
l.pfd
10
444
444
444
444
P.c. Burt
5
34
34
34
34
«uebec R.L.H. * P
577
30
31»
29
■29
Riordon
Rogers
pfd.
25
964
96*
%*
96*
Spanish River. .
2151 101
101
99J
lOOii
..pfd
107 147
147
145
145
Smelters
200 254
ZS*
■25*
■A54
Steel Company
..pfd.
125 76
158' 95
76
954
744
75
744
75
Steel Corp .. ..
558 t»4
64
62
64
Stan. Chem
pfd
40, :t«
38
36
•M
Toronto Railway
145 42
43
42
43
37, 88
30' ;«4
88
33
87
Twin City
321
Win ipcR Klectr
cR
21
3(1
324
30
;«i
Trethewey
13000
;!»
30
294
294
Knnks
Commerce. .
1
1864
186*
186!
1864
Dominion
3.=;
199
199
I96(
196*
Imperial
Merchants
.Molsons
.Montreal
.Nova Scotia
Royal .
I ornnto
l>om nit n Cum. Div.
Con. Perm
Huron* Brie
Nat. Trust I Kishtu) .
Toronto Oen. Trust .
Wo ml*
C>n. Bread
Cnl.lnv
Penmans , .
Locomotive
Steel of Con
Rio Jan. T. L.«P. .
TOJtOHTO— Continued
War loans
Sale;
Dom. Can.W.Loan, 19251 21.500
1931 : 63700
1937: 22000
Victory Loan 1922 ....
1923
1927 .....'
1933 ....
1937
Open High Low
IVI.N.N'Il'ECi— Week ended June 26tb.
Victory Loan 1922
■• 1933.. ..
■' 1937
•• 19'24
" 1934
" " 1923
War Loan 1931
■ 1937
" 1925
North Star pfd
Traders BIdg
Union Bank
Sales Open High Low Close
200 99
5000 994
2600! 101
8000 98
4950 96
,500
94i
KEW YORK— Week ended June iieili.
Bonds
Dom. of Can. 5% Iffil 57000
54% 1921: 73000'
S% I926i S'iOOO
5*% IS'iS 64000
5% 1931 27000
Open High ! Low
1131 112
90j|
434
LOMDO.N', Eng.— Week ended June I8lh.
ttoVl. A Mun.
Sales
Open
High
Low
Close
Alberta 4% 1922 ...
1014
1014
100
100]
New Westm^n 5% deb.
65
65
65
65
B.C. 44% 1941
76
76
76
76
Canada... Ai% l920-'25
S7i
90
87?
88
■■ . . . . 34'?o I909--J4
734
74
7,lS
74
•■ .-.- 3^^., 1938,,..
61?
64i
62*
63J
631
■' ,.., 3}"o 1930 5(1
604
«\i
" ... 4% 194060.
69
69
684
69
Edmonton S% 195:1 . . .
74
74
74
74
744
61*
744
614
71
59*
71
Nfld.3i%
594
Quebec 3'X> 19;(7
66
66
63
63
" 4% 1988
??t
804
804
804
■" 44% 1963
774
774
77*
■■ 4% 1928
804
804
804
80?
Saskatch.. 41,1923....
105
105
las
105
.Manitoba 4j% ,
82
834
82
83
.Montreal 4S% 1951-53..
77
77
77
77
4% Reg
70
70
70
70
Ni.va Scotia 34% 1
64
6S4
64
69
Toronto. . 34% deb
78
78
77*
77
71
.59*
73
594
71
.594
72
Vancouver 4% 1950-2.
59
4%bds
76
76
76
76
Winnipeg 44% 1943-63.,
77
71
77
77
681
6«1
681
Rnllnnyi.
Can.Nor.Ont.4%deb'38
61*
6li
574
H
61
34% 1%I
57*
.57
63
57
Can. Nor. Pac. 4% deb.
634
634
63
•' " 44% deb. 1950
73
73
73
73
Can. Pac
142;
143
141*
1424
Can. Pac deb. 4%
64-,'
6Si
64|
65
t". T. P. Br. 4'V. 1939....
771
771
77}
77}
O.T.P,3%l96-2
.59}
59J
l^
.591
C.,T. P. 4% I9.v5
fio}
61
61
r. T. P 4"„deb.
.59
S94
59
594
C.t Xor ofCan.4",. 1934
.56
.56
.56
SO
Gr. Trunk , 4"v. g .ar.
Gr. TrunkS% 1st. pfd
44
<44i
42
43
3^2j
324
32
n
I3»
13?
.3{
(ir. Trunk S%deb
Or. Trunk 4% deb.
58
.594
.58
594
Ont.S Quebec 5% deb.
??i
79|
791
79!
Pac, Ot East. 44%deb.
794
774
774
Inil.. Fin., EIr.
Hank of .Montreal
44
404
44
405
434
40iS
43)
Can. Uk, of Commerce.
401
Can, Cement 7"„ pfd...
103
103
102)
1024
108
544
1094
.56
'"54'
108
Can, West Lumber. 5%
Mi
ToronloPowei 44%dcb.
64
64
614
62
Van, Power «}'V. deb...
S3i
531
S31
531
July 2, 1920
THE -M O N E T A R Y TIMES
WE OWN AND OFFER $1,000,000
8 Cumulative Participating Preference Shares of
Chemical Products, Limited
Prioe : $100 per Share, with a Bonus of One Share
Common Stock with each Share Preferred
('referred as to assets and dlvideiwls. AMer ii.iyiiuni nt W [ht Khare mi Iwlli the rri'fiTeiice and Cuniiuun
No mortgage indebteduess. Sh.invi, itu- ITefiriii.e Shares iwirilcli'ale pro raw wltli Coiuiiu.n
Dividends payable quarterly, cumulative iruin July 1st. liUd. Slinns In any lurllier dliiUcnilit.
CAPITALIZATION
UulMlllDdlliu luued
s'f Cumulative rartieipatiug Preference Shares (par vahie $100) K.OOO.OOO il.700.000
Lommcn Shares (no par value) ..._ . _ lOU.UOO Shares TS.OOO Sharva
BOARD OF DIRECTORS
R. J. COPE LAND, Esq.. Toronto, 0. M. SANSON, Esq.. Guelph.
President and General Manager. Graham. Sanson & Co.. Inveitment Bankeri. Toronto.
President. Copcland-Chatterson. Limited. President. Dominion Linens. Ltd.. Guelph. Ont.
Vice-President. Thermos Bottle Co.. Limited. President. Flax Spinners. Ltd.. Guelph. Ont.
J. C. GRAVES. Esq., Saginaw, Mich.. U.S.A.. Vice-President William Ne.lson. Limited. Toronto.
Vice-President. — ^ n'pni i v r<n Tnrnnin
Vice-President and General Manager, Saginaw Chem.cal Co.. Secretary I easur.r. V. E O'Rillly. Limited. Chemical Brokerage
Saginaw, Mich. Hnusc
Formerly General Superintendent, The Dow Chemical Co.. Formerly President. Chemical Products of Canada. Limited.
midland. Mich.
W. H. VAN WINCKEL. Esq.. New York City. T. P. BIRCHALL. Esq.. Montreal.
Vice-President. Vice-President. Chase Tractors Corporation. Limited.
Former Sales Manager. The Dow Chemical Co.. Midland. Mich. President. Canada Industrial Bond Corporation. Limited.
Late Vice-President. Aniline Dyes &. Chemicals. Ltd.. New York President. Loews Theatres. Limited.
City.
COL. HENRY COCKSHUTT. Brantlord. Ont. R. J- CLUFF. Esq.. Toronto. . „ j
President and Managing Director, The Cockshutt Plow Co.. Ltd. President. Chase Tractors Corporation, Limited.
Director. Bank of Montreal. ■ President. Gait Brass Company, Limited.
From a letter from Mr. R. J. Copclaud. I'rcsidcnl of Chemical Products. Limited. .,■<■ au.nmuru-. lit,- f„!l.;e<n:, ■'Irana intctment feature, ofltn.
'"*"""■ R„ = in»«s ""'' General Chemicals. 4. -Salicylates ol allied derivatives, vii.:
liusiness Aspirin. Salicylic Acid. Sodium Salicvlato. Oil o( Wintergreen.
Chemical Products. Limited, was formerly known as Chemical Creosotinic Acid. 5. -Ammonia and Coke Gvin by-products, in-
Products ot Canada. Limited, manufacturing a varied line ot eluding Salammoniac. Ammonia Carbonnlt. Liquor Ammonia,
pharmaceutical chemicals. This Company has been a leader in Aromatic Hydro Carbons and Whiting.
the production of many fine medicinal and technical chemicals. Numerous allied Industries will be located here, working in
Its products achieved a national distribution, and a world-wide conjunction with the main plant,
trade connection was established. \ssets
To cope with the volume of business offered at home and abroad. ■ .,,„^, „ , ,„^ Pia„i» Railwa>
expansion was necessary. Chemical Products. Limited, has taken The Company s prop. ties, ncludng Land. PlantvRaM
over all the formulae, processes and rights of Chemical Products SyUem and - ■ equ me .._ will havj-.^ ".'VVpiS^r'nt value
of Canada, Limited. Sf 3729 907 50 in addition to net working capital ol S400.000:
Property which' will be equivalent to 5119 « per share ot Preferred Stock
The property, comprising 255 acres is situated "'Trenton Ont °"Ai',houg"h''tho Company is the successor ol a business that ha.
"p^c*it '^^^ ¥? 'nk^ ^^rcJ:^.T;l'Jo::^ V^:.^rSr.T. an^Iilpi hIS wjnd w.de tr.de connection, it earrle. on Its books
the property and are connected with it by sidings. Rail and water no v.ilue lor goodwiU. „ .
transportation is thus assured. i.uiiiiuKa .„.„,■_, .„, .-iv
A conservative estimate of the net earnings, allowing tor only
Plant lour principal products and not taking Into consideration any
The main plant at Trenton. Ont.. will be divided into Hve distinct -- ---'^ r'-^r "'^ " "'" -"--• -°'"* ';"""
""'.-ivcld Phosphate Plant-annual capacity «;♦»»'» '«!;••*«, '""^ s.Ick"Siv'rnds''\:d"l.r.';'''.'u";plu'; SJ'u'.l t^Hou'lTl Per .'hare
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■r;r;rtu:;^t:;:^z:rxr::d:t;hn^^^^ Circular, .... -m b, g,.diy m»,i,
upon request ^ CANADA INDUSTRIAL
RrAHAMMnSONSi a bond corporation
U INVESTMENT.BANKERSAF INVESTMENT SECURITIES
Member, Toronlo Stock E.ch.n«r ^ ^ ^^ JohnStr«t Citi/cn Building
Toronto General Trusts Buildinn. MONTREAL OTTAW.A
TORONTO .vuiNiKL.xu
APPl-ICATION FORM
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ferred" ^^SZ ^^^l^^^SZ^^^^i^^^^^^ -"> .cirul^^vuieil^^ tk\ aSre, to Pay for the ..d rreferr^I HUa.c,
according to plan of payment Indicated below :— v\.,\S B.
PLANA. _,., „f iiie par <alii.- Iicrexltll.
25% of the par value hcrewllli. ,„ it^picmLcr l»l, IK".
W/'< of the par value uii delivery „i OeinlM-r ISili. IW
"■, ..n Ilccemlier M. 1920.
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stock. , , . pUn
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Dated at "" ''">' "' — "
NAME (in full) ' •""
STREET AllDRESS - - ■•
POST (IKKIfE
50
THE MONETARY TIi\IES
Volume 65.
Corporation Finance
.Judgment Reserved in Kdmonton. Dunveyan and Hritish Columbia Railway's Application
For Increased Rates— \Vinnipe« Electric Railway Wins Fare Case— Shareholders of Nova
Scotia Steel Ratify Agreement to Enter Merger— C.P.R. Net Earnings Improve in May
Abitibi Power and I'aper Co.— Directors have declared
a dividend of $1..50 per share on common stock, payable
July I'lth to shareholders of record July 5th.
Canada Steamship Lines, Ltd. — Without a dissenting
voice, shareholders at a meeting in Montreal on June 2(ith
ratified an agreement made by the directors for the purchase
of the Montreal Transportation Co.
The Montreal Ti-ansportation Co. has an authorized
capitalization of $4,000,000, of which $S,000,000 is outstand-
ing. Payment for the issued shares will be made in four
instalments. $1,000,000 in cash immediately and the balance
in notes, $1,000,000 falling due in December next, $500,000
in April, 1921, and $500,000 in July of next year. Canada
Steamship Lines several months ago disposed of its ships in
the West Indian trade on exceptionally advantageous terms,
and it is from the proceeds of this sale that the $3,000,000
involved in the acquisition of the Montreal Transportation
Co. will be paid. The Montreal Transportation Co. is one of
the oldest-established shipping concerns in the Dominion,
operating a large number of modern steel cargo steamers,
tugs and barges, in addition to a large grain elevator at
Kingston, Ont. Holders of this company's stock are asked
to deposit their securities with the Prudential Trust Co.,
which will issue negotiable certificates to the extent of their
holdings until the stock is fully paid for through the retire-
ment of the notes already referred to in July of next year.
Quebec Public Service Corporation. — A dividend of lV;i
per cent, for the quarter, payable July 15th to holders of
June 30th, has been declared. The Shawinigan Water and
Power Co. owns 51 per cent., or a controlling interest, in the
corporation. The corporation takes a considerable quanitity
of power from the Shawinigan development, and in addition
has a steam plant of its own in Quebec.
Imperial Oil, Ltd. — Reports from New York indicate
that net earnings, before taxes, for 191!), were approximately
5K,5:fO,000, of which the Standard Oil Co., of New Jersey,
the parent organization, was credited with $6,824,158, repre-
senting its ownership of 80 per cent, of the Imperial stock.
In 1918 the parent company was credited with $5,554,844
after taxes.
Canadian Connecticut Cotton .Mills, Ltd.— From Sep-
tember 10th, 1919, to May 10th, 1920, sales of the company
approximated $1,300,000 and profits $900,000, compared with
sales of $2,250,000 and profits of $450,000 for the corre-
sponding period previously. A special dividend of l-i of 1 per
rent, on the outstanding $3,000,000 8 per cent, participating
preferred shares has been declared, payable August 2nd next
to holders of record July 15th. Work on the extension of the
company's mills at Sherbrooke. Que., for which the issue of
preferred stock was made early this year, is progressing
satisfactorily.
Dominion Steel Corporation.— At the adjournment of the
meeting of the board of directors of the corporation, which
was held in Montreal on June 29th. it was announced that
the special general meeting of the shareholders of the enter-
prise will be held at Halifax. N.S.. on July l.')th next in the
hoard of trade rooms of that city.
It was further stated that the directors, after a two
days' study of the report of the special committee named to
Ro comprehensively into the details of the terms upon which
the smaller constituent companies are to be taken into the
Hritish Empire Steel consolidation, had reached a unanimous
decision to recommend the propoiials to the Steel Corporation
shareholders. Special circulars will be sent out to holders of
H'c company's stock.
Canadian Pacific Railway Co. — Net earnings for May
wore $3,197,942, an increase of $164,181. as compared with
the same month in 1919. Gross receipts amounted to $16,-
459,986, a gain of $2,890,574, as compared with last year.
The May gross was the best reported by the company since
last December.
Working expenses, on the other hand, however, continued
to mount in the period, higher wages and other operating
expenses reducing the gross receipts by $2,726,392, or by
nearly 29 per cent., and standing in ratio to the latter at 80.5
per cent, in the month, as compared with 77.6 per cent, in
1919.
For the five months of this year receipts grew $12,432.-
018. This good showing was offset, however, by a larger
increase of $12,830,706 in working costs. The ratio of ex-
penses to gross earnings during the period were 88.3 per
cent., as against 85.4 per cent, in 1919.
Whalen Pulp and Paper Mills, Ltd. — Preliminary figures
of operations for the year ended February 29th, 1920, indi-
cate an improved position in the finances of the company.
Total pulp production is placed at about 48,000 tons, a large
part of which w-as marketed in the Orient. Gross profits for
the year's operations amount to $1,050,000, compared with
the $900,000 estimated at the time of public issue of the
company's 6 per cent, first mortgage bonds last July. De-
ducting administration and general expenses of $173,000, the
amount available for interest, taxes and depreciation was
about $877,000. compared with $497,000 for the year ending
February 28th, 1919. After deduction of bank interest, the
amount available for bonds and debentures was about two
and one-half times their interest charges. Surplus for the
year totalled $323,000, adding to this the amount of $32,000
brought foi-ward at the end of the previous fiscal year, bal-
ance to the credit of profit and loss stands at about $355,000.
In the matter of working capital, net current assets have
increased by $1,600,000. Construction work to the extent of
about $700,000 was completed at the company's various
plants.
Niagara Falls Power Co. — Total operating revenue for
the year ended December 31st, 1919, amounted to $5,098,100,
as compared with $5,016,366 in 1918, an increase of $81,734.
Net income for the year totalled $3,445,286, against $3i40,-
875 in 1918, an increase of $204,410. After subtracting in-
terest on funded debt and other miscellaneous deductions,
the surplus stood at $2,084,055, an advance of $182,372 over
the previous year.
The balance sheet shows a reduction in investments of
$2,838,529, hut real estate, power-houses, transmission sys-
tems, etc., increased in value by $5,239,193, now amounting
to $53,470,089. Current assets increased $32,996 to $5,760,-
4.59, while current liabilities advanced $1,991,050 to $3,127,-
049, leaving a working capital of $2,333,410. Total assets of
the company at the end of the year were $60,636,874, an
increase of $2,433,659, while total liabilities were $57,695,459,
an increase of $1,441,032. Reserves were increased $277,545
to $2,252,850.
Marconi Wireless Telegraph Co. of Canada.— At the an-
nual meeting of the cumpany in Montreal on June 21, the
statement presented revealed profits for the year ended De-
cember 31, 1919, of $170..5fi2, against $1.38,648 in the previous
year. After the usual deductions, net profits before govern-
ment taxes were $102,131, compared with $95,563 in 1918.
The total surplus, after the balance for the previous year
was added, was $395,918, as compared with $293,787.
Total assets at the end of the year amounted to $3,817,-
621. as compared with $6,024,337 at the end of 1918. reflect-
ing the reduction in the par value and readjustment of" the
-ompany's capitalization at the previous annual meeting,
when shareholders voted that the par value of outstanding
July 2, 1920
THE MONETARY TIMES
shares be reduced from So to S2.50, and that 500,000 addi-
tional shares at that value be issued. Current assets
amounted to $562,925, as against §356,753 in the previous
year. Total liabilities are in excess of current assets, being
$881,708, as compared with $730,549 in 191S. In the year a
reduction was made in the item "property rights, patents,
titles, etc.," this being reduced to 82,491,881 from $4,991,881
in the previous year. Balances receivable §102,453 is a new
item among the assets. Investments have increased from
§9,860 to $55,600. Accounts payable are lower, being §121,083,
against §730,528, but this is due largely to a change in the
manner of presenting the accounts in the statement. The
current liabilities include a bank loan of §58,.381 and bank
overdraft of §55,600.
Winnipeg Electric Railway Co. — In a decision handed
down by Judge Curran on June 25th, the action of the city
of Winnifieg for a final injunction to restrain the company
from collecting a six-cent fare on the street cars was dis-
missed, with costs for the defendant company. This verdict
upholds the interim order given the company by the Public
Utilities Commission, authorizing the six-cent fare until such
time as the fare increase applicaton now before the commis-
un is decided upon.
The decision given concerns an argument made in the
•-uurt of King's Bench last December by T. A. Hunt, K.C.,
on behalf of the company. When the Mathers Conciliation
Board last fall granted wage increases to the street car em-
ployees which necessitated an annual expenditure of $400,000
the company applied to the Public Utilities Commission for
permission to charge a six-cent cash fare. An interim order
granting this increase was issued by the commission and put
into effect.
On the day the company started collecting the new fare
Mr. Hunt applied to Judge Gait for an injunction restraining
the company from increasing the fare, and his application
was granted. Late that same day the company reverted to
the old fares, and Mr. Hunt pledged the city to reimburse
the company for the money lost by not being able to charge
six cents if his application for a' final injunction was not
sustained. This has not been sustained, and in respect to the
company's counterclaim for several thousand dollars lost,
Judge Curran states that this is reserved, and the city's
application is dismissed without prejudice to this claim, and
the company may bring it up as they see fit.
Nova Scotia Steel and Coal Co.— Shareholders of the
company, without a dissenting voice, have ratified the agree-
ments entered into with the British Empire Steel Corporation
by the directors. .After discussion of the proposals, D. H.
Macdougall, president, stated that, while the resources of the
Nova Scotia Steel and Coal Co. were ver>' valuable, a large
sum of money would be required to develop these properties,
and this could be more easily raised by merging with other
large steel and shipbuilding companies in Canada. If the
company decided to continue on its own, it would not be an
easy matter, he had been advised by eminent financial ex-
perts, to obtain this money without a substantial security
on the part of the shareholders. -A. large organization, like
the British Empire Steel Corporation, on the other hand,
could obtain this money with less difficulty, and he saw a way
out of the present situation facing the company by ratifying
the agreement before the meeting. Discussing the objections
raised to the entrv of some of the smaller shipbuilding com-
panies, Mr. Macdougall said that he had made it his business
to investigate the shipping situation, and. while he had only
personal knowledge of the Halifax plant, he was convinced
that all the companies involved were modern in every respect,
and compared favorably, barring size, with the shipbuilding
plants of the other side.
W. D. Ross, vice-president, who also spoke, told of \he
robable elimination of Canada Foundries Co. and the Port
-Arthur shipbuilding companies from the project, and stated
that there might be some further changes which woul.l De
beneficial to the shareholders of Nova Scotia Steel.
Edmonton, Dunvegan and British Columbia KaiUay.—
Application to increase rates on the E.imonton. Dunvegan
IMIIHJ ■■■■■!■■■■■ ij;
Browptou Pulp &
Paper 6% Bonds
Due I9r,9
The Brompton Company
has an unusually small
bonded debt.
Assets are five times total
bonds outstanding.
Earnings averaged seven
times bond interest for past
five years.
The value in the open
market of securities junior
to the issue is over $ II ,-
000,000. Total bonded
debt is only $2,375,000.
We own and offer a lim-
ited amount of this issue
which we recommend as
a conservative investment.
Price on application
Greeusliields & Co.
Mrmbrri Monlrml Slock Exch.ngr
Dc.leri in Ciin«di«n Bond h.uf.
14 Kinj Street Eait, Toronto
Montreal Oltawi
^■■■■■■■■■■■■■nmf
THE MONETARY T I JM E S
Volume 65.
and British Columbia and Central Canada Railways, both
freight and passenger, has been made through the Board of
Railway Commissioners for Canada. The railways are asking
for a freight rate that runs from 36 cents per hundred
pounds for a five-mile haul to 64 cents for a 460-mile haul,
and to make the passenger fare six cents a mile, or ten cents
for a return trip. This means that north-bound passengers
will have to pay $10 for a return journey of 100 miles, as
compared with $5 for a similar journey over any other rail-
way, or compared with a little less than $7 on the E., D and
B.C. under present rates.
In making the application the companies stated that the new
tariffs are based on a 50 per cent, increase over existing stan-
dard tariffs, and that the increased revenue is absolutely
necessary if the railways arc to be operated. Financial state-
ments submitted show a total corporate loss at the end of
]!)19 for the E., D. and B.C. of $1,201,093, and $263,950 for
the Central Canada Railway Co. T. F. Phippen, K.C., of
Montreal, counsel, and J. D. McArthur, president of the lines,
represented the railways.
Some interesting figures were submitted at this hearing
by Mr. Phippen. Total Dominion grants were $384,000 for
the Grande Prairie branch, of which $292,000 had been paid
and some $91,000 was still to come. Recently an additional
$45,000 had been paid, he added. In addition, there had been
a grant of $175,000 for the bridge at Peace River. The pro-
vince of Alberta also had voted $175,000 for a traffic deck
on tliis bridge, of which $110,000 had been paid. The fol-
lowing bond issues had been made, and had yielded the fol-
lowing sums: —
An issue of $7,000,000 at 4 per cent., made early in 1912
and sold in July, 1912, yielding $6,405,854. The province of
Alberta concurred in this sale, it was stated.
A bond issue of $2,400,000 worth of 4'i per cent, bonds
was made on December 17th, 1016, and sold the same day.
This was for the Grande Prairie branch. The price was 76.4'J,
and the issue yielded $1,849,364, of which $1,794,000 had been
paid to the company, $58,769 remaining in the hands of the
provincial treasurer. The road, he added, had been guar-
anteed for $20,000 a mile.
A third bond issue, this time for the Central Canada
Railway, was made on May 1st, 1915. This was for $2,000,000
at 5 per cent. The sale price %vas 93. the province making
the deal. Receipts from the sale yielded $1,867,570, of which
$37,000 still remained in the provincial treasurj'-
The board, in reserving its decision, asked Mr. Phippen
to have a statement prepared showing how the interest
charges pn the bond issues had been paid year by year since
1913. and to have this foi-warded to the board in a few davs.
RECENT F IRES
Vilhige of llnffnrd. Snsk., Suffers SI 25.000 Loss — C.P.R.
Sheds and Cars in Joliette Ileslroyed with
Lofis of $100,000
Cn\uEa. Ont. — June 28 — Bakeshop belonging to M. H.
Varvett destroyed. Loss, $1,200, covered by insurance.
Chnthani. N.B. — The report in l In- Motu-l,iry Timrs of
June isth was an error. There was no fire in Chatham, N.B.,
on June 9th.
Clifton. Ont. — .lune 13 — Two farmhouses and a barn,
owned by Hamilton and Wilson, destroyed. Insurance is
small.
Cornwall, Ont. — .Tune 22 — Barn containinsr hides and
wool, valued at $8,500. owneil by Mr. Bottler at Alexander,
destroyed. Insurance, $1,500.
Fernie. I5.C. — .Tunc 23 — Residences belonging to Perry
Brothers destroyed. Estimated loss. $2,000.
Guclph. Ont. — June 25 — Brass foundry, owned by Smith
and Baulk, was damaged. Estimated loss, $1,500. with no
insurance.
HafTord. Snsk.— June 23— Hafford Hotel, poolroom, gen-
eral store and butcher shop destroyed. Estimated loss. $125.-
000. Insurance of $S.O00 on the hotel.
Hamilton. Ont. — June 17 — Truck owned by the Toronto,
Cartage Co. destroyed. Caused by a leak in the gasoline tank'
Joliette. Que. — June 28 — C.P.R. sheds and cars destroyed.!
Estimated loss, $100,000.
Kingston. Ont. — June 23 — Arden Sawmill, owned by
Albert Marsh, destroyed.
Limoilou. Que. — June 19 — Lumber mill belonging to Jos.
LaFrancois Lumber Co., Ltd., and home of Leon Parent
destroyed.
Lindsay, Ont. — June 18 — Sawmill belonging to Thos.
Brisbane destroyed. Fire started by a spark from the fire-
box.
Macleod, Alta. — June 22 — Power-house destroyed. Loss
partly covered by insurance.
.Mc.4dam. N.B. — June 19 — Two dwellings and a res-
taurant, owned by Allan Budd, damaged. Estimated loss,
$3,500.
Moncton, N.B. — June 26 — House and barn, owned by P.
L. Davis, destroyed. Loss, $50,000.
New Westminster, B.C. — June 20 — Lumber Products Co.
desti-oyed. The fire is thought to have started in the boiler-
house.
Peterboro, Ont. — .Tune 17 — Peterboro Canoe Co., Ltd.,
damaged. IjOss, $6,500. Insurance amounts to $116,500.
Prince Albert, Sask. — June 15 — Home of Samuel Soles
damaged. Fire caused by coal oil stove. One fatality.
Quebec, Que. — June 18 — Francois lumber yards destroyed.
Estimated loss, $100,000, partly covered by insurance.
Riverport. N.S. — June 19 — Business section of this town
destroyed by fire. Loss, $300,000.
Sarnia. Ont. — June 15 — Sarnia General Hospital dam-
aged. Fire caused by lightning. Residence owned by William
Farr damaged. Fire caused bv lightning. Estimated loss,
$3,000.
Stratford, Ont. — June 23 — Men's furnishing store, owned
by Wally Hern, damaged. Fire was caused by a hot iron.
Toronto. Ont. — June 28 — Shop belonging to W. Bruno
damaged. Loss, $1,400. Building owned by W". J. Walker
damaged. Loss, $1,500.
Streetsville, Ont.— June 22 — Hardware store belonging
to Robt. Greig destroyed.
Springhill,. N.S. — June 21 — Business block, owned by
Mrs. Sprague, destroyed. Estiriiated loss to the buildings,
$4,000.
A'ancouver, B.C. — .Tune 20 — Storage warehouse of the
Wallace Shipyards and warehouses of the Brackman-Ker
Milling Co. were destroyed. Estimated loss, $10,000.
Winnipeg. ^Man. — June 15 — Warehouses of the Camefac
Stock Food Co., R. A. List Machinery Co. and the building
belonging to the D. E. Adams Coal Co. were destroyed. Total
loss. $20,000.
Woodstock. Ont. — June 2.5 — Drysdale factory, now occu-
pied by Fisher and Hammond as a woollen mill, damaged.
Estimated loss. $5,000. Insurance, $2,500.
ADDITIONAL INFORMATION CONCERNING FIRES
St. Quenlin. N.B— The total loss in the fire on May 30th
is estimated at $500,000. Property in the town was insured
to the amount of $151,050 in St. John offices and for an addi-
tional amount in Quebec city offices. The insurance in St.
John agencies is distributed as follows: Palatine, $11,000;
Canadian Accident Insurance Co. (fire), $6,500; Hartford,
$15,000; London and Lancashire Fii-e Insurance Co., Ltd.,
$7,500; North British and Mercantile Insurance Co., $1,000;
Western, $2,500; Newark. $1,000; Commercial Union, $24,000;
St. Lawrence. S4.400; Queen. $8,000; British Crown, $12,000;
British Empire. $10,000; Eagle, $9,000; Lochart and Ritchie,
$30,000; Yorkshire. $4,150: Hudson Bav, $1,000; Roval,
$4,000.
Toronto. Ont. — Total fire losses in Toronto for the month
of May are estimated at $128,439. The loss of contents of
buildings included in this amount is placed at $105,010.
Walkerton. Ont.— :^Iay 23— Stable belonging to R. Truax,
Son and Co. destroyed. The fire was caused from exposure.
Total loss. JT.lliJ. witli insurance of $49,000.
'■ PfIll.liMKL..EvERV FkIDAV
The Monetary Times
, Printing Company
i>f (Canada, Lin-itca
rr;-, ' .::',aJian Engineer
Trade Kcvjew and Insurance ChroniLlc
of (TanaDn
Old as Confederation
JAS. J. SALMON D
PrMldent and General Mankgar,
A. E. JENNINGS
AMUt&nt Genaral Manager
JOSEPH BLACK
Secretary
U'. A. McKAGL [
Editor
Parliamentary Legislation Was Not Remarkable
Session Just Completed Will lie Notable for Political Developments, Howuver-
Meishen Succeeds IJorden As Premier-Franchise Hill Was Most Con-
tentious Measure-Review of Legislation Affectinjr Industrv and Finance
(Special to The Monetary Times.)
Ottawa, July 8th, 1920.
fT^ HE session of parliament which has just drawn to a
-■■ close may become memorable for its political develop-
ments, but it will not be noted for startling and outstand-
ing legislation. Due doubtless to the absence of Sir Robert
Borden, the natural hesitancy of his colleagues to launch out
on new lines without a leader and the general air of political
uncertainty which pervaded the capital, the government in-
troduced no new, striking or original legislation. The
political developments are important, however, as the
Unionist party has been reorganized, and it has just been
announced that the Hon. Arthur Meighen, .M.P., for Portage
la Prairie and minister of the interior in the Unionist
cabinet, is to succeed Sir Robert Borden as premier.
Budget Was Biggest Change
The one exception might be regarded as the budget.
Sir Htnry Drayton struck out on new paths for Canada in
his endeavor to tap fresh sources of revenue to meet the
tremendous Canadian expenditures. For the first time a
Dominion government has proceeded to impose direct taxa-
tion to secure revenue (aside from the income tax of the
past couple of years). To review here the whole buiiget and
the innumerable amendments which were later adopted,
would take up too much space. The broad principles of the
liu(lg:t of this year were: (1) The imposition of direct
faxes on the purchase of certain goods over a fixed value,
ailed luxury taxes. (2) The imposition of a sales tax on
ine turnover of manufacturers and wholesalers. (3) The
abolition of the IVz per Customs Duty imposed as a war
tax early in the struggle. (4) The renewal with modifica-
tion-: of the Business Profits Tax. (•'>) The tightening up
■f the Income Tax and the placing upon the taxpayer the
uty of making the return, as to amount and taxation.
However, while the, session was not marked by much
triking legislation, there were many contentious and many
' i'.iht Over Franchise Hill
From the standpoint of the politician th'j one acrimonious
ill of the session was the new Franchise .\ct. The parties
'■"Ught over this bill for months. It was the first bill in-
roducc'd and almost the last to be passed. \Vh nrv.-r i.hc
ommoners ran out of business they turne<I to tlie Franchise
Alt. While it was of vital import to the politician, the
idinary citizen took little interest in the measure. Roughly,
'he bill provides for suffrage to every man or woman over
'!. a British subject, who has resided two moiitlis in the
riding and a year in Canada. The two cliief points of con-
tention were first, who is a British subject an i ?■ cnnd. who
should revise and prepare the lists.
Inspection of C'unipanles
From the standpoint of the business world there were
several measures passed which attracted at the time little
attention. One was a measure introduced by Sir Henry
Drayton, which places loan and trust companies on the
same basis as insurance companies as far as inspection is
concerned. Under the old law an inquiry could be din-cted
on order of the Treasury Board, but it really amounted to
no inspection. Now they will be subject to regular inspection
the same as insurance companies.
Despite a certain amount of opposition from the dairy
interests the act permitting the importation into and manu-
facture in Canada of oleomargarine was extended until
March 1, 1922. At the same time the penalties for adultera-
tion were made stricter. Another food act was that in re-
gard to maple sugar. A bill was passed making it illegal
to sell an article resembling or imitating maple sugar or
maple syrup as the genuine article.
Appeals to Supreme Court
Another act which passed without any publicity but is
of interest to the legal and business fraternity is n bill
amending the Supreme Court Act. The purpose of this
amendment was to bring about a simplification an<l to secure
uniformity in the jurisdiction of the Supreme Court and
also to prevent appeals being brought to it in matters of
trifling importance on the plea that title to land or future
rights arc involved. The bill provides that appeals ns of
right to the Supreme Court should l>c restricted to cases in
which the amount or value of the matter in controversey in
the appeal, whatever its nature, exceeds the sum of $2,000
exclusive of costs and in all other caseii an appeal shall lie
ordinarily only by special leave of the highest court of last
resort in the province.
Civil Serviri- MeasureK
Ther'> were a number of civil scr\Mcc bills, but mo«t of
them of n minor nature. Intimation was given that the gov-
ernment has under consiilcrntion the whole question of
superannuation. There was somi'what of a storm produced
by the unnouncement that a Chicago firm, cnlled Crifflnhagcn
and Co., h.''d been engaged to reclassify all the depnrtmenls
of the civil .«ervice along the line« it has already reclBS»ifio<l
the printini' bureau. The chief question asked was why
Canadians could not be foun<I to undertake with efllcienry
such a work. In;-idenl:illy the senate, which showed n
tendency to run amuck nil session, upset the tranquility of
the government employees by rudely lopping off sin regula-
tion civil .siervice holidays. It has been the custom in the
past to give the civil servants every Quebec Church holiday,
making in all fifteen special holiflayg. The senate incono-
clnsticnlly reduced this number to nhle. The senate al«o
is not enamored with the civil service commission and tin-
HE MONETARY TIMES
Volume 65.
abolition of patronape and propostd its own employees
should be placed directly under it. However, the com-
moners refused to accept this amendment, although consent-
ing to the reduction of holidays. There is gloom in Ottawa.
Railway Questions Under Discussion
As usual railway matters were much to the foro. There
has not been a session for years when transportation in
some form or other was not one of the big issues of debate.
It was found necessary for legal reasons to introduce a bill
reaflirming the Grand Trunk agreement for the purchase
of that road. This gave an opportunity to re-open the whole
question. Second the annual railway statement, including
the first statement of the operations of the Canadian Na-
tional Railway as a public owned system was brought down
by Hon. .1. D. Reid. Despite a far from favorable statement
the minister expressed confidence as to the future of the
line. "If we imagine Canada" he declared in closing his
statement to the house, "to have reached the maximum of
development then we shall have planned foolishly, but I for
one have the faith to feel and the vision to prophesy that
this great transportation system is not being prepared to
perform this splendid transportation in vain."
The Merchant Marine
There is now another side of our transportation sys-
tem, the merchant marine, Hon. C. C. Ballantyne, who has
been largely responsible for the policy of a construction of
a public-owned mercantile marine, is naturally particularly
proud of its success and is even touchy of criticism. When
the vessels now under construction are completed Canada
will have a fleet of no less than G3 vessels with a net ton-
nage of 380,000 tons to operate in conjunction with the Na-
tional Railway system. To finish the vessels now under con-
tract Mr. Bailaiitync asked for $20,000,000.
Mr. Ballantyne said that the routes on which the Cana-
dian Government Merchant marine have placed their vesesls
now in commission are: Canada to Liverpool; Canada to
filniigow; Canada to London; Canada to Brazil and Buenos
Aires, calling at Pernambuco, Santos and Rio; Canada
iirect to Havana, three sailings through the present month;
Canada to Barbadoes, Trinidad and Denierara; Canada to
Havana; Cuba and Kingston; Vancouver to New Zealand
and Australia.
Aid to Shipbuilding
One of the problems which has given the government
much worry all session has been the future of the ship-
liuilding industry. During the war a big industry was built
lip; it was sustained largely by government orders. How-
ivcr, it could not continue indefinitely on such contracts and
the government was faced, without giving some of assistance,
with a prospect of seeing this industry completely collapse.
Bonuses were discussed, but it was found the policy was
so unpopular it was abandoned. The shipyards claimed
they could get orders and compete with the rest of the world,
if only some system of international credit could be advised.
Finally an unique plan was devised. Whether a wise one
remains to he seen; it was much criticized by the opposi-
tion who strenuously opposed it. The plan can be Iwst
explained in the words of Sir Henry Drayton. He said
in committee of tlie house when introducing the resolution:
"The proposition which is now before the committee, and
embodied in this resolution, is that twenty-five per cent, in
cash must be paid by the purchaser, that the shipbuilder has
to look after twenty-five per cent, and that the remaining
fwrnty-five per cent, has to be looked after by an issue of
notes made by the purchaser and endorsed by the govern-
ment but that the government's endorsation shall be secured
by a first mortgage on the boat." The result, as he pointed
out, was that the government takes the risk, but it takes the
ri«k of taking over a Canadian boat at fifty cents on the dol-
lar. As against that risk it ensures private shipbuilding
being carried on and the continuance of an industry in
which some $47,000,000 has been invested and some 23,000
men are employed.
Increase in Pensions
During the session a committee on pensions and Soldiers'
Re-establishment was appointed and carried on a most
thorough inquiry. It was presided over by Mr. Hume Cronyn,
of London, who has come to be recognized as one of the most
promising private members in the house. This committee
brought in a report in the closing days of the session, which
was adopted without amendment. The committee decided
against the principle of direct gratuities, but recommended
a fifty per cent, increase in the pensions as a bonus. It
(ilso recommended the adoption of a system of state insur-
ance for all returned men. This is for straight life insur-
ance only and is to be granted without medical examination.
These were the chief recommendations, although there were
many minor important changes.
Wheat and Commerce Boards
Two government boards came under fire during the ses-
sion. There was much difference of opinion as to the wis-
dom of continuing the Canada Wheat Board. After many
conferences and caucuses the government brought in a bill
giving power to recreate the board if it was felt conditions
should arise to make it advisable. As for the Commerce
Boaid it blew up with all the officers and crew and the
wreckage somewhat disturbed the calm of the closing hours
of the session.
These are the main features of what proved for the first
three months a most stupid session and for the last three
weeks a most interesting one. There were many other minor
measures, but mostly amendments of a slight character to
existing acts. The session will not go down in history as
one marked by great progressive legislation. It will be
chiefly remembered for seeing at its close the retirement of
Sir Robert Borden and the voting in the dying days of an
increased sessional indemnity.
ONTARIO WORKMEN'S COMPENSATION
According to figures reported by the Workmen's Compen-
sation Board of Ontario, there was a large increase in the
number of accidents for the first six months of 1920 over the
same period last year. The number of accidents for the last
six months was 25,940, as against 19,811 for the first six
months of 1919.
The compensation and medical aid awarded during rhe
first half of 1920 totalled 1^2,451,912.82. In the same period
in 1919 the total was 1,846,509.11. Over 500 checks a day
ai-e now being issued by the board. June had the greatest
number of accidents, 183 per day being reported. Thirty-six
were fatal. The amendments to the act came into force on
July 1, and anybody injured after that date is getting the in-
creased compensation.
H. V. GREENK CO. OK CANADA
The H. V. Greene Co., investment bankers, with offices
ill Boston and other American cities, has secured a Cana-
dian charter. W. F. O'Connor, formerly a member of the
Board of Commerce, is to be counsel for the company in
Canada and is also a director of the newly formed Bankers'
Union for Foreign Commerce and Finance, Inc. Referring
to their plans for Canada, H. V. Greene, president, said to
VVii- Mfl)iclary Titiics on June 30: —
"It is our plan to operate the H. V. Greene Co. of Can-
ada as agents for the Bankers' Union for Foreign Com-
merce and Finance in the sale of the securities of the latter
company. The Bankers' Union is founded for the purpose
of conducting an international banking business, and to
furnish the necessary financial facilities for the exchange of
products between Europe and this country, for we realize
that unless the productive forces of Europe are set in mo-
tion, it will be impossible for normal times to return."
July 9, 1920
THE MONETARY TIMES
Prospects for More Than Average Canadian Crop
Rainfall Has Been G(M)d But Not To<» Heavy— (Quebec and Alberta (»nl\ Provinces
to Experience Dry Weather— Cutworm and (irasshopper ()utbreak> in the West
Well Under Control— Despite Many Setbacks. Grain Prospects Favourable
/~1R0P conditions arj well above the average, judping from
v^ the reports wired to the Dominion Bureau of Statistics
• the end of June. Rainfall has been good but not too heavy.
~ .me parts of Quebec and Alberta have suffered from dry
i-ather, however, but the damage was not large. Some set-
ucks have been encountered in various parts of the country,
Liut these are being overcome. Generally speaking, the
prospects are ver>' favorable. The following reports sum-
marize the conditions: —
Atlantic Provinces: Prince Edward Island — Season fa-
ourable for all cx-ops. Cereals growing rapidly and show-
ing good colour. Oats, com and vegetables have gei-minated
quickly. Strong gio«-th of clover. Gras.sos not up to first
estimates owing to dry May. Timothy heading out. Pros-
pects for hay and pasture average. Large and small fruits
have set well and promise a full crop. Nova Scotia — Frosts
^n the 20th and 24th, combined \vith lack of precipitation,
ave been detrimental to good germination and growth,
"heat, oats and barley fair; potatoes and roots fair; small
fiuit below average; apples good; turnip seed good; hay
slightly below average, with fair amount of clover in evi-
dence. New Brunswick (Fredericton)^ Following extremely
dry May, June has given no rain to penetrate ground, but
frequent light showers totalling IV2 inches for month, have
germinated seed and helped cultivated crops. Grains, pota-
toes and com looking well; hay crop not half average; pas-
tures fair. All seeding except some turnips and buckwheat
completed.
Quebec: Cap Houge — Garden peas, gooseberries, cur-
:ints excellent; field peas, oats, cherries, ornamental plants
■ry good. Com, wheat, potatoes, mangolds, hay, pasture,
urns, strawberries, raspberries and squash good. Swedes,
arrots, barley, apples, string beans, tomatoes and onions me-
um. Drought is main cause of trouble. Lennoxville — Ex-
cc-ssively dry weather throughout the month of June has been
detrimental to hay crop and late-sown grains. There is not
the usual amount of clover on account of the severe cold
i-ather of the past winter and the high price of clover sc'.'d
i.s spring.
Ontario: From the Ontario Department of Agriculture —
i me rains greatly helped all field crops. Fall wheat prom-
■ .> good yield; straw short. Spring rains fair. Timothy
nd clover light. Alfalfa first cut good. Corn looks splen-
'i. Sugar beets prospering, but mangolds disappointing.
Umatoes and other canning crops promising. Strawberries
od yield. Other fruit prospects excellent. Live stock
:nifty.
Grains in Fine Shape
Manitoba: From the Manitoba Department of Agricul-
ae — Crop outlook promising. Growing and maturing rap-
iiy. June showery and moderately warm. Grasshoppere
leaten many districts, but have been vigorously poisoned
III have been kept under control. Hay crop good. Ani-
als thriving. Conditions fairly uniform over province.
Brandon — Rainfall has been light but timely, with no frost
■iring June. Some grasshoppers, but precautionary meas-
les have prevented serious loss as yet. Wheat pro.spccts
are fairly good, but more rain is needed at oner. Out.s and
barley are late but vigorous. , Hay iro]) light. Morden —
Timely showers have improved conditions. WTn'at looking
well; other crops average but somewhat later than usual.
Potatoes and garden crops average. Wircworms and cut-
worms prevalent. No grasshopper damage in this section,
and no injury from late frost.
Saskatchewan: From the Saskatchewan D.-partmont of
A trriculture — 'W'heat is now in shot blade in nearly all parts
'■ Saskatchewan. Generally speaking there is plenty of
oisture in the ground, and intermittent showers from now
on should assure a good croi>. (Jnisshoppor war being wage*!
with good success and comparatively little damage has been
sustained from this pest. Kxccllent reports received from
Swift Current district. Wieat heading out at Dundurn. Pas-
tures and hay promising splendid crop. Coaree grains mak-
ing good growth. Cattle improving rapidly. Indian Head-
Crop conditions generally slightly above average, although
grain crops hardly so far advanced as usual. Hay crops
all 10 to 20 per cent, above average. Hoed crops 10 per cent,
above average, except com, which requires more heat. Some
damage reported from grasshoppers and cutwomis, but all
outbreaks under control. Scott — Rainfall recorded at Scott
for June amounts to 2'2 inches. Early-sown wheat 18 in.
high. Late-sown crop short. Weeds unusually numerous,
particularly in stubbie fields. Hay and pasture crops have
made rapid growth, consequently live stock have thriven un-
usually well.
Alberta: Lacombe — During June l»i inches rain fell
here. Weather has been favourable for crops with no damage
from frost, cutworms or grasshoppers. Grain crops promis-
ing. Hay short. Rain needed from Olds south. Nortli-
westem part of province also dry. Fall rye good crop all
over. Lethbridge — ' Weather conditions for crop development
during June in Southern Alberta have only l)ecn fair. Severe
soil drifting took place west and north of Lethbridge. Show-
ers that have occurred have been heavier in some localities
than others, resulting in great irregularities in conditions.
General rains are needed. Cutworms have done damage in
some localities. Grasshoppers increasing, but situalio:i : p-
parently well in hand.
Fruil Prospcct.-i Good
British Columbia: Invermere — .■\lthough the sen.'mn has
been very backward, the crops arc in goo'l c:<ndition and
growing i-apidly. The hay crop is below the averagt?, but
pastures are only fair. Spring cereals are look'ng fine, and
with good weather and irrigation should equal last season.
The root crop has suffered consideiably from cutworM.-; Sum-
merland — Okanagan crops are at present hard to estimate.
Pears heavy, peaches good, apricots good, cherries fp.ir, ap-
ples good. This spring it has been difficult to estimate crop.
Bloom was excellent, but cold weather made pollenixation
poor. June crop has been heavy. Sidney, V.l. — Weather
conditions very favorable to all crops. S.Vii.<r.iclory growth
was recorded for grains, grasses, fruits and v.'Kelali'es. Hay-
ing has commenced; will be two-thirds crop. Wheat has
headed out and will be two-lhird.s crop. Live ftock in good
condition. Aga.'ssiz — June, with precipitation of S.'l'J inchei,
is wettest for twenty years. The growth of most crop.- i'-
rank. Pasture and hay crops exeeptionall/ gtMid. nUo c. . -
eals. The root crop is good, but late and weedy. Excessive
moisture made weed control almost impo.«.HitiIe Com crop
late.
Canadian NalionnI Kall«a>t< Report
The crop report of the iigentj* along the Xational H.n
ways lines west of the Great Lakes in Canada, for the «■■ h
ended June 26th, received at the head officr- here to-day,
decidedly encouraging in its general tone. The country nl'.i ,:
the lines of the publicly-controlled .nystem appeorn to be ..'
most entirely outside the zone extensively affected adversely
by high wind." and gras.shoppers. An a matter of fart, tl.i-
report nn-ntion.'. gra.'-FJiopperti at but a few point ^' in lb.
Prairie — one of the three great operating divisions into
which the C. \. R. western system i.-* dividc<l — while there
is no mention whatever of this menace to the craps in the
Central and \\ est«rn divisions. Wliere notice of the presence
of the grasshoppers occum it i.s stated that the damage result-
ing is but slight, likewise there is mention made of high
THE MONETARY TIMES
Volume 65.
winds, also in the prairie district, with but slight result and
damage.
Generally speaking, the condition of the growing crops
along the Canadian National may be set down as decidedly
good. The moisture is .said to be ample throughout the coun-
try served, with but very few exceptions, and the growing
conditions excellent. The agents are evidently of the opinion
that with the same conditions continuing the west will this
season harvest a bountiful crop, not only in wheat, but in the
coarser grains as well.
Alberta .Agriculture Report
The fifth semi-monthly crop and live storl; report of the
.Alberta Department of .Agriculture states on a brief review of
the season's progress, fine general mo'stnie conditions over
the province at the opening of spring; a later seeding than
usual chiefly due to plentiful moisture; a fairly satisfactory
conclusion of grain seeding owing to the supplementing of
horse stock with handy tractors. The occurrence of limitin,^
factors in Soutbem Alberta consisting of the partial blowing
of fiO.OOO acres north of Lothbridgc, some damage by cut-
In thk Track ok the Windstorm, June Sth, 1920.
Illustrating Soil Drifting \c(ir Lcthbndge, Alta.
- ...•■ ■ - f - -■*■''
worms in the same area, some threatened damage by grass-
hoppers south of Lethbridge. and slight droughts on the Cal-
gary-Saskatoon line.
Moisture conditions continue to be wholly favourable.
The crop is well rooted, the wheat and oats having been get-
ting well established for heavy fruitage. Following the es-
tablishment of the crop warm weather has now sot in and
the growth is extremely rapid. Some of the spring wheat
both in Central and Southern Alberta has reached a height
of 20 inches. Oats are in all stages of growth from grain
crop covering the ground heavily to greenfecd just standing
through the soil. At the beginning of the season conditions
were reported to be the best for five years and subject to
very slight discount the progifss of the crop carries on the
same promise.
The Peace River country, which appeared to be unduly
■•low early in the season is now favored with warm weather
and crops are coming along well. Live stock every place is
doing well.
HIKGI.ARY I NDERWRITERS- ASSOCIATION
The annual meeting of the lUirglary Underwritcis' A.sso-
ciation of Canada was held on .June 18, and the following ofli-
cers for the ensuing year were elected: President. A. E.
Kirkpatrick; vice-presidcnt.s, R. Welch, Montreal, and W. H.
Burges.s, Toronto; treasurer, John Good; Montreal secretary,
T. n. Hutchins; Toronto secretary, H. G. Humphries.
The association w.iss organized last fall, and a taritT has
now been issued. There are a few companies writing bur-
glary in.-^urRnce which are not members, but they write in
accordanie with the schedule. Losses during the present year
are reported as being rather heavy, and the volume of busi-
"■ ^s '•' irrcatly increased.
New Head Office Building
Pacific Coast Fire Insiirauce Co., Vancouvjer, B.C.
CANADIAN SAVINGS
The approximate amount of .savings deposits in Canadian
banks, loan associations, credit unions, etc., as compiled by L.
D. Woodworth, secretary of the savings bank section of the
American Bankers' Association,' from unofficial sources, is as
follows: —
I'ost Office savings banks $43,000,000
Government savings banks 13,600,000
Quebec savings banks 50,000,000
Loan and .savings companies 65,000,000
Provincial rural credit associations 1. 700,000
Trust deposits with trust companies 30.000,000
Chartered banks 1,300,000,000
$1,503,300,000
UNIFORMITY IN LIFE UNDERWRITING
Greater uniformity in methods of underwriting, particu-
larly of sub-standai'd risks, was discussed at a meeting of
medical directors and actuaries, held in Toronto on June 17th
and IRth. .Among the companies i-epresented were the Can-
ada. Sun, North .American, Great West, Mutual of Canada,
Excelsior, Imperial ai-d Dominion. The meeting was or-
ganized by the Canadian Life Officers' .Association. A similar
meeting was held last year, and during the year a committee
of actuaries and medical directors have met from time to
time to consider various classes of sub-standard risks. The
committee, the chairman of which was Dr. Scadding, of the
Canada Life, presented reports on the following: .Amputation
cases, history of asthma, history of goitre, histoid of pleurisy,
history of articular rheumatism and history of heart impair-
ments. The committee also dealt with the subject of build,
and recommended the ratings adopted by the Actuaries' Club
of Toronto.
July 9, 1920
T li E M O X E T A R V T I M E S
Trid€ Review and Insurance Chronicle
of Canada
Addrcu: Corner Chorch and Court Str«ta, Toronto. Ontario, Canada.
Telephone: Main 7404. Branch Exchanee connecting all departaMnte.
Cable Address: "Montimes. Toronto."
Winnipec Office: 1206 McArthur Building. Telephone Main t4M.
C. W. Goodall, Western Manaser.
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I'Kl.MU'.VL CONTENTS
Editorial: p^^
A New Nume and An Old Platform <»
The Mammoth in the SU-cl Industry y
Bond vs. Stock Investment " [ 9
Manitoba's Election lI)
Speciai, .Articles:
Parliamentary Le(,'islation was Not Remarkable . . .'.
Prospects for .More Than .\verut,'e Crop 7
Insuninc-e Companies Build Up Province 18
Ontario Will Investigate Rural Credits ., 18
Colonization Inti-eases National Wealth 20
Forty Millions of New Preferred Stock This Year 24
Ontario May Purchase .National Electric Line* 28
Fire Companies Win Before Privy Council 34
Monthly Departments:
June Fire Losses jj
Inde.x Numbers of Commodities 22
Buililinjr Permits 22
June Bond Sales o"^
Weekly Depart.ments:
News of Industrial Development in Canada 3Ci
Ncw.s of .Municipal Finance 40
Government and Municipal Bond Market 42
Corporation Securities .Market 4G
The Stock Markets 48
Corporation Finance 50
Recent Fires 50
A NEW NAME AND AN OLD PLATIOR.M
THE M.\MMOTH IN THE STEEL INDl .STKV
J
Vjn' HEN the Unionist members of parliament held their
» ' caucus on July 1, they decided to adopt the name "Na-
tional Liberal and Consenative" for their party. But the
platform announced is not new; it is rather a summary of
measures which have already been placed upon the statute
books. It is an outgrowth of the platform of the old Conser-
vative party, and this may account for the lack of enthusiasm
among Liberal Unionists over the reorganization.
First of all. the new platform is distinctly imperialistic
in tone, although "the maintenance of the autonomy of Canada
and its existing rights and powers of self-government" is one
of the clauses. Another clause aims at the Canadianizing of
alien immigrants and the fostering of a national rather than
a sectional spirit. The tariff is dealt with at length, and al-
though a thorough revision is mentioned it is obvious that
any drastic reductions are not anticipated. The rapid growth
of the national debt and fixed charges is emphasized to show
the necessity for tariff revenue, as well as for excise duties
and direct taxation. Mention is made of "the fixing of a
proper capitalization for the national railway system," which
may mean that the government does not expect to be able to
.■iO adjust railway rates as to yield a return on all the present
liabilities.
Good relations between employer and employee are to be
•■ncouraged, and the labour provisions of the peace treaty car-
ried out, "regard being had, as contemplated by the treaty,
to the time and character of similar legislation enacted by
other nations." Attention is to be given to a national militia
system and air force, and the present policy of .^ioldieis' civil
re-establishment is to be continued. Immigration and foreign
trade are to be encouraged, antl railroad and inland water
transportation improved. .Another subject for consideration
is "the transfer under fair terms and conditions of the re-
mainder of the public domain held by the Dominion to any
province of Canada in which such domain is .situated, sub-
ject to such reserves as may he deemed advi.snbk- in the
public interest."
Tl'DGIXt; by the criticisms being directed against the
*f British Empire Steel Corporation, it is feared that the
public will suffer from the inclusion of water in the new
corporation's liabilities. The element of water, however, is
not being introduced in the new fimincing, but was included
when the Dominion Steel, the Nova Scotia Steel and other
constituent companies were being organized many years ago.
The promoters of the merger have given evidence which
shows that the assets exceed the liabilities. This is the
result of the appreciation in the value of the assets during
the past few years. The dollar has depreciated in a balance
sheet as well as elsewhere, and a $100 share which may at
one time have represented only $.')0 of assets may now repre-
sent assets worth $100. The dividends on an investment of
$100 have not now as great a purchasing power as had the
dividends on the investment of $50 in 1914.
But assuming that the price of steel can be affected by
the capitalization of the new corporation, and supposing that
a certain amount of water is being introduced, the public
can scarcely be expected to bo able to calculate what would
be a fair price for steel, based upon production costs and a
return on the actual investment. To a controlling body with
a staff competent to Hgurc such a price, on the other hanil,
watered stock should add very little to the difliculty of the
calculation. Capitalization is the concern of the investor.
What is to be considereti. when it comes to price control, ia
the value of the actual iiN.-X'tH in\e."tcd.
BOND V. .STOCK INVESTMENTS
THE outlook for investments in bonds is considerably
different from that for investments in stocks, because of
the turning point which has been reached in industrial con-
ditions. The interest on bond*; will, generally iipoaking, be
THE :M 0 N E T A R Y TIMES
Volume 65.
paid regaidlcss of what profits are earned. Dividends on
stocks, on the other hand, depend directly upon the earning
of profits, and profits are high when commodity prices are
rising, but are low as prices fall and bu.siness is dull. The
latter condition is now anticipated, and as prices fall the pur-
chasinK power of the fixed return from bonds increases, while
it is quite likely that dividends will be cut down substantially.
This is the reverse of the movement which has taken place
during the last lour years. ^_
Discussing this point in "Investment Suggestions for
June, Burdick Bros., of Vancouver, say: —
"The bond market is in a totally different position from
the stock market. If the present situation is relieved by a
voluntary reduction of loans, there is no doubt but they will
act quite differently. For instance, a real drop in commodity
prices while a good point for bonds, i.s a derogatory point for
stock.^. It depresses stocks by reducing profits and earning
power, and at the same time it tends to increase bond prices
by increasing the purchasing power of fixed incomes. Be-
fore the war a family could maintain a luxurious standard
of living on the income from $150,000 par value of 4 per
cent, bonds. To-day the same standard of living would re-
quire at least $200,000 5 per cent, bonds.
"Recent shading of prices has been unmistakably marked
by a rally in bonds, and if the deflation between the present
time and December 1st goes far enough to enable the banks
to finance the crop movement wthout a general money strin-
gency—there will be little probability of seeing as low bond
prices in 1921 as in li»20."
:\I.\MTOBA'S ELECriON
ASOTHRR provincial government has just suffered a set-
back at the polls. The war-time governments of Ontario
und of I'rince Edward Island have already been defeated, and
the Liberal administration in Manitoba, at the election held last
week, secured only 21 searts out of a total of 55. It is still the
strongest party in the house, however, as the remaining seats
are <livided among the other parties as follows: Labor, 11;
farmers and independents, 11; Conservatives, 10. The elec-
tions in the remaining two ridings, including that of The Tas,
in which Hon. Edward Brown, provincial treasurer is the Lib-
I ral candidate for re-election, were deferred. As in Ontario,
this is a pronounced step in the direction of group representa-
tion rather than the old two-party system, and the Liberals
must form a coalition with one of the other parties if they
are to have even a working majority. Out of -17 seats in the
former Manitoba Legislature, the Liberals had 10, labor 1, the
Conservatives 2, and one member was classed as an indepen-
dent.
The results in the city of Winnipeg arc especially inter-
e.Kting because of the fact that proportional representation
was the system of voting adopted for the city at this election.
Out of 10 seats in Winnipeg, l were secured by the govern-
ment. 4 by labor and 2 by the Conservatives. Four cities of the
Dominion, viz: Vancouver, Victoria. Calgary and Winnipeg
already use this method for their municipal elections. The
movement for proportional reiirescntalion was started in 1883.
At first it did not make much progress, but since 1918 it has
been adopted in eleven countries, including Italy, France, C.er-
mnny, Czecho-.'^lovakia, Armenia, as well as in the British
universities. It ha.i been adopted in three cities of the
United States, the large.>*t of which was Kalamazoo, .Mich.,
where it is u.sed only in part of the city government.
The I'nited States Brotherhood of Locomotive JCnginccrs
has accumulated such a large amount of money that it is
organizing a bank for greater convenience in handling it.
To accept 4 '4 per cent, bonds of the province of Ontario
in return for radial lines purchase.! at an interest charge
iif ,=;Mi per cent, would be poor finance on the part of the
nonunion government. But even nt that the sale might be
.1 r'>iiil one.
•'There is a good deal of connnou sense in everyone no
matter to what political party he belongs," said Hon. Peter
Smith, treasurer of Ontario, in addressing the Life Under-
writers' Association of Toronto on June 17. This confirms
a suspicion which has been harboured by some citizens for
a long time past.
The production of the Dominion Steel Company, pei
miner, during the past four years has been as follows: 1916,
590 tons; 1917, .550 tons; 1918, 500 tons; 1919, 460 tons. If
individual production is going to be less, how can the indi-
vidual have more to consume.
Street railwaynien of London, Ont., will be paid in pro-
portion to the financial results of operation, with a
guaranteed minimum. This plan has been in operation for
just about three weeks, but already an improved service
has resulted, as the employees are anxious to do a maximum
business at the lowest cost. Profit sharing is a partial
solution of the industrial problem, and ofl'ers great op-
portunities.
The early days of fire insurance are recalled in a bi-
centennary volume just issued by the London Assurance
Corporation, on the completion of two hundred years of
business, from 1720 to 1920. Fire fighting was at that time
undertaken by the insurance companies, not by the municipal
corporations. Early forms of insurance contracts and other
methods of doing business are illustrated, and the book
is also made interesting by scenes of old London.
A warning to the effect that capitalism, if it tries to
impose monopoly, is committing suicide, is given by Hartley
Withers in a new book entitled "The Case for Capitalism."
Frightened by the threats directed against it, capital has
sometimes been stampeded into abusing" its power; such
abuse of power is not necessary, for the accumulation and
investment of capital is a service which must always com-
mand a reward.
Arguments presented in favor of an increase in rates
for the Edmonton, Dunvegan and British Columbia Rail-
way, are equally applicabl^> to the other railways in Canada,
according to Frank Ford, K.C., who appeared before the
Railway Board in Edmonton in opposition to the railway.
The Edmonton-Dunvegan is a good line for a test case,
from the railroads' point of view, but the other companies,
and especially the Canadian iS'ational, could also present
some effective arguments.
"Political alliance with labor is all right, just so
long as labor does not attempt to impose its views on the
farmers of Canada," says "Farm and Ranch Review," of
Calgary, in its issue of June 5. "When that time comes,
their ways must part i-adically. They dwell in opposite
camps and have few interests in common." The farmer-
labor government in Ontario are able to carry on only by
a policy of nuitual compromise. Jleanwhile the farmers are
looking forward to the time when they as a party will be
powerful enough to govern alone.
.Almost every day finds the price of some raw material
l)lunging downward. A forecast of low wool prices is con-
tained in a statement issued a few days ago by the Canadian
Co-operative Wool Growers, Ltd., reading in part as fol-
lows: "Everything at the present time points to a lower
level of prices as compared with those obtained on the 1919
clip. Just where that new level will be, however, is a point
upon which there is much sjjeculation and very little agree-
nunt. No one really knows what to expect in the market
for the next two or three months, and consequently very
little is being done except 'playing safe' in the matter of
consignment on a sufficiently low basis of advance, or, in the
few instances where buying has occuri'ed, giving a price in
keeping with the feeling of the trade."
July 9, 1920
THE :M 0 N E T A R Y TIMES
Australia and
New Zealand
Every effort is beinfi put forth to
foster and increase trade between
Canada and Australasia. The cor-
respondents of this Bank include
the principal hanks of both Australia
and New Zealand, and on the Pa-
cific coast of both Canada and the
United States it has branches in all
the principal sea-ports. ^^ ith many
years' experience gained in trans-
acting a foreign business, its services
are at the disposal of Canadian ex-
porters and importers.
THE CANADIAN BANK
OF COMMERCE
Capital Paid-up
Reserve Fund
$15,000,000
$15,000,000
EXPORT TRADE
The extensive foreign con-
nections of this Bank enable
us to place at the disposal
of our customers the best
existing world-wide banking
facilities.
Our local Manager is in a
position to give you both
assistance and advice.
IMPERIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agents in Great Britain: — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
^okyo
JAPAN'S increasing foreign Ir.icit; is ciiaracteribti
*' of the intelligence and energy of the nation.
Canada's trade with tliat picturesque country In
increased rapidly and contiiuies to expand.
Tokyo, the capital of Japan,
home of the Emperor, is in
touch witii every corner of
the Japanese Empire, thus
Canadians having trade re-
lations with the Japanese
will find the Tokyo branch
of the Park-Union Banking
Corporation of far-reaching
service.
1^ /^
lM0l€lSlfK
OF CANADA l_^^
n Foreign BaiiUinB CorporJtion iOinUl owned and cnr
trolled by National ParU Bank of New York
and Union Bank of Canada, '
ParkUnii
Bank of Hamilton
HEAD OFFICE
HAMILTON
Ettablithcd 1872
Capital Authorized
Paid Up Capital
Rricrvr Fund
$5,000,000
4,000.000
4.200.000
Diractori
SIR JOHN IIKNORIU. K C M G., C A'.O , President
CVRfS A. HIRGK, Viccrrcuj.icnt
C. C. I>.M.TON ROUT. HOBSON \V K PHIN
I. I'lTIU-AIH). K.C. J. TURNRl'I.I. \V A WOOD
Branches
At Montreal, and throughout tlic I'rovinces of
Ontario, Manitoba, Saskatciiewan, Alberta and
British Columbia.
Savinfi Dtparlincnl at all Officti.
Drpoiili of $1 and upwardt recti'td.
.Advances made for .Manufacturing and F-'arming
purposes.
Collections efTected in all parts of Canada promptly
and cheaply.
CorruponJtnc* tolieitaJ
J. P. BELL
Genera) Manager
THE MONETARY T I .M E S
Volume 65.
PERSONAL NOTES
Charles MacNab, who has for the past forty-eiKht
years been clerk of Carleton County, Ont., has retired.
Sir Tho.mas Whitk has been elected to the directorate
of the Brazilian Traction, Li^ht and Power Company, to
fill the vacancy caused by the death of Z. A. Lash, K.C.
N. R. POUSSETTE has been appointed to the office of
commissioner of commerce in the Department of Trade,
Ottawa, to fill the vacancy caused by the death of R. Griggs.
.Major John A. Rudland, a former chief of police of
Halifa.\, N.S., was appointed fire warden of the province
at a meeting of the provincial commission for the preven-
tion of fires in Nova Scotia.
Hon. Arthur Meighen, K.C, who has just been selected
to succeed Sir. Robert Borden as premier of Canada, was
born in Anderson,
Perth County, Ont., in
ls74. He was educated
at St. Mary's collegiate
institute and graduated
from the University of
Toronto in 1896. After
teaching school for two
years he went to Win-
nipeg in 1898 and to
Portage la Prairie in
1902. He was called to
the Manitoba bar in
1 903, and became a part-
ner in Meighen and Mc-
I'hcrson, 1904, in Meig-
iien and Hogg, 1907,
and in Cooper and
■Meighen, 1909-13. In
1908 he was elected
member of the federal house for Portage la Prairie, became
solicitor general in 1913, and now holds the portfolio of
minister of the interior. He has always been a pronounced
Conservative, and is a keen debater and party leader.
K. HiLOOKA, president of the Japanese government
bank at Osaka. Japan, in company with M. Matsui, a
prominent Japanese industrial man are making a tour of
Canadian cities to study business methods, and will proceed
to the United Kingdom afterward.
Coi,. S. R. Heakes, mining engineer, of London, Eng-
land, has just completed a survey of mining prospects in
western Canada and the United States. It is his opinion
that a great deal of British capital will be invested in
Canadian mining developments in the near future.
Harry M. Acnew, manager of Crane, Limited, Winni-
peg, .Man., was elected president of the Winnipeg Board
of Tratle at the first meeting of the 1920-21 council, held
on Juno 28. (ko. Munroe, western superintendent of tlie
Merchants Biink of Canada, was elected treasurer, and W.
E. Milncr was re-appointed managing secretnry of the lx)ard.
E. H. Talhot. special representative of the "New York
Commercial," New York, which is the oldest comniei'cial
paper on the North .American continent, will tour Canada
from Quebec to the Pacific. It is Mr. Talbot's intention to
estjiblish a Canadian department of the paper which will be
entirely devoted to industrial and commercial news of the
Dominion.
Georgk W. Yates, who since the formation of the Union
government has been private secretary to Sir Robert Borden,
has been appointed a9!<istJint deputy minister of railways.
Mr. Yates was previously private socretflry to Hon. Frank
Cochrane, at the time minister of railways and canals. When
the Union government was formed, however. Mr. Y'ates.
while still technically remaining an oflficer of the railway
department, temporarily took over the duties of private
secretary to the prime minister.
Ronald R. Martin has been appointed branch manager
for Canada of the Atlas Assurance Company. Prior to
joining the .Vtlas, Mr. Martin was with the Norwich Union
Firi' Insurance Society. He left the latteA company) to
become inspector for Ontario for the Atlas Assurance Com-
pany, and after a few years service in that capacity, he
was called to head office in Montreal as assistant to the
former branch manager, the late Matthew C. Hinshaw,
whom he now succeeds.
Geo. H. Ross has been appointed treasurer of the city
cf Toronto, upon the unanimous decision of the city council
on July 5th. Mr. Ross has had considerable experience as
a financier, having served in various capacities with the
Bank of Ottawa from the beginning of his business career
until a year or so ago, when he joined J. G. Beaty and
Company, stock brokers, Toronto. At the time he left the
Bank of Ottawa (now the Bank of Nova Scotia), he was
manager of the King Edward Hotel branch, Toronto. He
will retire from J. G. Beaty and Company upon taking up
his new duties as city treasurer.
A. E. Phipps, who was recently appointed assistant
general manager of the Imperial Bank of Canada, has a
successful banking record extending over a period of twenty-
nine years. Mr.
Phipps joined the
Imperial Bank as
a junior clerk at
Brandon, Man., in
1891, and served
in various capa-
cities up to the
position of west-
e V n superinten-
dent. Upon' the
retirement of Mr.
Edward Hay, as
general manager,
and the appoint-
ment of Mr. Wil-
liam Moffat as hi?
successor, JNIr.
Phipps was trans-
ferred to the head
office as superin-
t e n d e n t of
branches. During
its financial year
ended .\pril 30th
last, the bank
m a d e good pro-
gress, deposits increasing by 17 per cent., and current loans
in Canada by 2.") per cent. Its expansion is also indicated
by the fact that 76 new branches have been opened since
November 11, 1918.
OBITUARIES
James M. Young, a director of the Copp-Clark Pub-
lishing Company, Toronto, died very suddenly at his home,
73 Sorauren .•Avenue, this week, in his 58th year.
Richard L. Gaunt, one of Canada's leaders in the
woollen trade, died suddenly in Montreal, at his home, at
4263 Dorchester Street, on July 4th. He was born near
Leeds, Yorkshire. England, a little over 67 years ago, and
early went intp the woollen industry at Huddersfield, one
of the great woollen centres of England. He came to
Canada 44 years ago to take charge of the business of
Mark Fisher Sons and Company, assuming the manager-
ship of this business on arrival, and later becoming partner.
July 9, 1920
THE MONETARY TIMES
The Sterling Bank
OF C \N AD A
If your busin>--s» needs the impclus of a personal
banking service which shows results in every depart-
ment-better collections, a better understanding
where credits are concerned— let a Sterling Bank
executive have a talk with you.
Heaa Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Aci of Parliament- EsTAiiLisiito lITiS
Capital Subscribed /5, 000,000 525.000,000
Paid up 1,100,000 5,500.000
Uncalled 3.900.000 19,500,000
Reserve Fund 1 ,000,000 5,000,000
Head Office - EDINBURGH
WILLIAM CARNEGIE, General .ManaRir. GEORGK A. HUNTER, Sec.
LONDO.N OFFICE— 37 NICHOLAS LANE. LOMBARD ST., E.C.4
T. C. RIDDELL. OUGALD SMITH.
.Manager Assistant Mansger
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, art
retired on terms which will be furnished on application.
The Bank of Nova Scotia
ESTABLISHED ISJ2
Capital paid-up
Reserve Fund nnd Undi-
vided Profits over
Total Aaaets Over
HEAD OFFICE
S9.700.000
18.000.000
220,000.000
HALIFAX, N.S.
CilAi.i IS Ahc Al 1.. IVc-idvnl
General Manaser'a Office. Toronto, Onl.
H. A. RlciiAKUSo.v. C.oncral .Man.iKir
Branches in Canada
39 in Nova Scotia I.'.' m Ont.irio .'J in Uucbc
Vi in Prince Edward Island SK in New Hrunswick SI Western l>rovmcti
In Newfoundland
Bay Roberts. Bell Island. Bonavist.i Bonne Bay. Urigus, Burcco, Burin.
Carbonear, Catalma. Change Islands. Channel. Kogo, Grand Banlf.
Harbor Grace. Hermitage. Little Hay Islands, Old Pcrlican, St. John'«.
Twillingate. Wesleyville, Western Hay.
in West Indies
HioDi, Cobt. Saa Jtun, Fijirdo lod Pooce. I'orto Kico.
Jamaica— Black River. Kingston. M.inJcvillc. MonlcRO Bay. Morant Hay.
Port Antonio. Port Maria. St. Anns Bay, Savjnna-la<M.ir.
Spanish Town.
BOSTON
In United States
CHICAGO NEW YORK (AGENCY)
Correspondents
Great Briuin— The London Joint City and.. Midland Bank, Limited : Royal
H.inl( of Scotland.
France— Credit Lyonnaise.
United Slale<-Hank of New York. N.B.A.. New York: National Bank uf
Commerce. New York : .Merchants National Bank, Boston : First
National Hank, Chicago; Fourth Street National Bank, Philadel.
phia ;Citi/.ens National Bank, Balliniorc; The American National
H.ink. San Francisco: First National Bank, Minneapolis: First
N.ition.il H.inl(. Seattle.
The Standard Bank
of Canada
Quarterly Dividend Notice No. 119.
A dividend at the rate of Three and One Halt per
cent. (3'j) for the three n-onths ending 31st July, 1920,
haa been declared payable on the 2nd of August, 1920,
to Shareholders of record as at the 17th July, 1920.
By Order of the Board,
C. H. EASSON,
General Manager.
Toronto, June 16th. 1920.
The Dominion Bank
ESTABLISHED .'«/"/
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Hankinj,'.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
Bank of New Zealand
E:atnbliahrd in IHSI
Bankrra to thie New Zenland Covernmenl
CAPITAL
Subscribed $ 13,528,811
Paid Up 11,09.S,561
Reserve Fund and Undivided Profit! 12,147,874
Aggregate Assets al 31st March, 1919 . 210.299.500
HEAD OFFICE-WELLINGTON, NEW ZEALAND
WILLIA.Vl CALLl:;NUtK, General Manager
The Banlt of New Zealand haa Branches at Auckland,
WellinRton. Chri.lchurch, Duncdin and l'« other placea in
New Zealand: al«o al Melbourne and Sydney (Au.lrrli.l,
Suva and Lcvuka (Fiji) and Apia (Samoa).
The Bank haa facilltiea for lianiactinu -very deaciiption
of BankinK buiineta. .'t inviica the cilabliahmeni of Wool
and other Produce Credili, eilhci in alerlinit o- dollara with
cny of ita Auilralaaian Branchea.
LONDON OFFICE: J (Ju«n Viclon. Street. MiaMoa Home, t.C.
CHIEF CANADIAN AGENTS .
Canadian Bank of Commerce Bank of Montreal
THE MONETARY TIMES
Volume 65.
JUNE FIKK LOSSES I.ICHTEK
Month's Total is $1,12 l,:jl!l, and Total lor UaU-Vear is Less
Than in 1919— Fatalities are Kather Heavy
PROPERTY destroyed by fire in Canada during the month
of June totalled $1,424,319, according to The Moudary
I iiius' estimate. This is the smallest loss since last October,
and is a distinct improvement over the loss for June, 1919,
which was $3,:5:i7,r,:;o, and the figure of $3,080,982 for June,
1918. The loss for the month is summarized as follows: —
Fires exceeding $10,000 § 866,000
Small fires reported - ■ 58,319
Estimate of unreported fires 500,000
$1,424,319
The Monetary Times' record of the
the following monthly losses: —
Month. 1917. 1918.
January .... $ 1,918,660 $ 2,688,5r,6
February . . 2,009,953 2,243,762
MarcH 2,050,650 1,682,286
April 1,317,714 3,240,187
May 1,163,110 3,-570,014
June 1,184,627 3,080,982
July 1,101,734 3,369,684
August 1,230,183 3,110,445
September . . 1,301,700 917,286
October .... 704,605 5,119,145
November . . . 959,049 1,059,580
December . . . 5,144,100 1,733,917
past four years shows
1919. 1920.
% 3,915,290 % 2,637,850
1,091,834 1,895,575
2,154,095 1,793,200
1,080,070 3,229,500
1,785,130 2,001,819
3,337,530 1,424,319
1,118,377
1.374.495
1,940,272
1,023,288
2,339,870
2.047.496
Totals ..$20,086,085 $31,815,844 $23,207,647 $12,982,263
The total for the first si.x months of 1920 is $12,982,263,
tiniipared with $13,363,049 for the first six months of 1919.
List of Large Fires
The following is a list of fires in which the loss was
$10,000 or over:—
Toronto, Ont., June 3, Hortop milling plant, $21,000.
Erindalc, Ont., June 12, Price Bros., $50,000.
Montmagny, Que., June 10, Price Bros.' sawmill, $75,000.
Ottawa, Ont., June 13, Moyncur. Ltd., $150,000.
Sault Ste. Marie, Ont.. Bishop Lumber Co., $200,000.
Ayr, Ont., June 1(1, John Watson Co., $200,000.
Montreal, Que., June 20, Black Diamond Realty Co., Ltd.,
^70.000.
Vancouver, B.C., June 20, Balmoral Apartments, $100,000.
>
Analysis of Causes
.\mong the causes reported were: Sparks, 2; oil lamp,
1; rubbish heap, 1; explosions, 3; cigar butt, 1; stove, 1;
electrical storms, 3; spontaneous combustion, 1; furnace, 1;
backfiring of car, 1.
The following structures were destroyed or damaged
Inst month: Uesidenocs, 8; business blocks, 9; stoi-es, 5;
hotel, 1; school, 1; mills, 7; garages, 2; barns, B; creamery,
1: apartments, .'!; brewery, 1; town hnll, 1; canoe club, 1.
Deaths from Fire
Fifteen deaths during the month were directly due to
tires, the following being the circumstances: —
INirinii, Sask., Juno «'., burnt from explosion 3
I ^ -ny, Altii.. June 6, woman burnt in her home 1
KiLTiiia, Sn?k.. June ('>. burnt from explosion 3
I'lince Albert. Sask., June 14, woman burnt in her home 1
\ aiu'ouver, B.C., June 20, burnt in n building 6
la'cina. Sask., June 22. burnt in bed 1
T.'tal 15
Fatalities from fires for the first six months of the year
total 123, compared with 118 for the first six months of 1919,
and 206 for the whole year. Over eight years The Monetary
Tillies' estimate is as follows: —
Month 1913. 1914. 1915. 1916. 1917. 1918. 1919. 1920.
January 14 26 3 10 21 28 13 22
February 21 18 11 23 19 87 26 30
March 22 27 23 23 20 34 9 35
April 11 22 14 6 15 7 27 8
May 33 8 5 14 12 10 15 13
June 18 12 2 6 9 9 28 15
July 9 8 13 268 19 6 11 ..
Augu.st 29 3 14 30 12 7 24 ..
September ... 27 9 27 6 21 13 23 . .
October 15 9 7 39 23 11 16 ..
November .... 24 14 12 12 21 3 14 ' . .
December .... 13 19 11 94 15 26 ..
Totals
236 175 142 .531 207 241 206 123
CANADIAN TOWN PLANNING INSTITUTE
The first annual meeting of the Canadian Town Plan-
ning Institute opened in Ottawa on July 5. The following
officers were elected: President, Thomas Adams, Ottawa;
vice-presidents, Dr. E. Deville, R. H. Millson and Noulan
Cauchon, of Ottawa; council, J. B. Challies, of Ottawa, H.
B. Dunnington-Grubb, of Toronto, J. P. Hynes, of Toronto,
Dr. Otto Klotz, of Ottawa, James Ewing, of Montreal, T.
McQuesten, of Hamilton, Ur. E. Nadeau, of Quebec, J. P.
Anglin, of Montreal, F. G. Todd, of M6ntreal, and Prof.
Nobbs, of Montreal; librarian, W. D. Cromarty, of Ottawa;
secretary-treasurer, F. D. Henderson, Ottawa.
Chairmen were named for four committees as follows:
Public Education on Town Planning, Brig.-Gen. Mitchell,
Dean of the Faculty of Applied Science, Toronto; Legisla-
tion Committee, J. P. Hynes, Toronto; Publicity and Liter-
ature, A. Buckley, Ottawa; Ways and Means, James Ewing,
Montreal.
The chief business before the institute was the formu-
lating of the constitution and the consideration of the policy
of the organization. The institute was organized in Toronto
last year, and has as its main object the synchronizing of
the work of the dift'erent sections of membership, so that the
most chaste and artistic results may be obtained in the erec-
tion of buildings, construction of parks, boulevards, etc.
SILVKK PRODUCTION OF COBALT
According to preliminary estimates, the silver mines
of the Cobalt-Gowganda districts produced approximately
5,400,000 ounces of silver during the six months ended June
30. The quotations for silver averaged about $1.18 an ounce,
thus lending a value of $6,372,000 to the output. This does
not include the Cobalt metallics and Cobalt oxide which is
recovered as a by-product.
From the date of the discovery of silver in Cobalt in
1903 up to the middle of 1920, a total of 309,010,836 ounces
of silver has been produced, valued at $188,411,972. Of this
total yield, over $82,000,000 has been paid in dividends, in
addition to which is between $15,000,000 and $18,000,000 in
the treasuries of the various companies. Ore reserves in
sight at the producing silver mines of Northern Ontario
amounts to at least double the amount contained in the
treasuries. Not only this, but the majority of the mines have
development programs under way which in the aggregate
should add steadily to the ore which will ultimately be mined.
These figures briefly summarize the past record and the
present status of the silver mines of Northern Ontario.
July 9, 1920
THE MONETARY TIMES
AFRICAN BANKING
Corporation, Limited
(LONDON)
Paid-up Capital and Reserve, $6,800,000
Over 60 Branches and Agencies
throughout South Africa
Principal Branches located al Bula-
wayo, Bloemfontein, Cape Town,
Durban, East London, Johannesburg,
Kimberley, Port Elizabeth. Pretoria,
and Salisbury.
THE NEW YORK AGENCY
negotiates documenlary bills o( exchan^'.
issues drafts and cable transfers, and Iransi, i
a general banking business direct with ih
branches of the Bank in South Africa.
Correspondence invited from Canadian Ship-
pers to South Africa, and facilities offered for
the conduct of their business with that country.
Address the New York Agency
64 WALL STREET, NEW YORK, U.S.A.
HomeBankofCanadai
Government Bonds and Savings Stamps
There is a page in the Home Banki Thrift Account
Book for entering the date of purcha.e. amount, and
interest dates on Government BonH.. War Stamp., and
Savings Certificates. The form m very concise and will
preserve all the details for ready reference. Ask for a
copy of the Thrift Book. Distributed free at all Branches
Branches and Connections Throushout Canada
Head Office and .Vne Branche. in Toronto .
THE
Weyburn Security Bank
Chartered by Acl of the Dominion Parliament
HI-AI) f)l-|-|CK. \Vi:yULI<\, SASKATCllliWA.V
BKA.NCIIK.S IN Sa.SKATCIIEWAN- AT
Weybuiii. Yellow Grass, McTaKKiirt. Halhrite, Aridalr
Gnfriii. ColKatc-, l'nii«iiiaii, Riulvilk-. .Assinihoia. Hcn-iOii
Verwooil. Re.idlyn, Tribiiiu-, Hxpiinse. Mossljiink. VantaKi-
Goodwatcr. Dannody. Stcuuhtoii. Osa^e. Ciiiliiiaii and
I.ewvaii .
A GICNKR.^I, HANKING Hf.SINKS.S TR.ANS.ACTKl)
HI) I'OWHLL. Gi-ncnil M.in3i;cr
TH€ AVCRCMANTS BANK
Head Office : Montreal. OF CANADA.
Esl.ibiish.
1 r;64.
Capital Paid-up, $8,400,000 Rcirrve Fund and Unditidcd Profiti. $8,660,771
Total Deposits (30lh April. 1920) - $163,000,000
Total Assets (30th April, 1920) - $197,000,000
Board of Diracton ;
Thomas Long
Sir Frederick Orr Lewis, Bart.
Hon. C. C. BAtLANTYNK
SIR H. .MONTAGU ALLAN
V. Howard Wilson
Farouhar Robf.rtson
liEO. I.. f.'AISS
Vice-Prciidenl
Ai.kred B. llVANS
TllUMA<i AllKARN
LT.-COL. J. K. .MOODIE
General Manager ■ D. C. MacarOW
Supt. of Branches and Chief Inipecior : T. E. MiMiiiTT
Genci.ll Supervisor - - - W. A MKLDKfH
A. .1 DAWES
Hon. Lornk C. Wustsii
E W. KNKat.AND
Gordon M. McGrk;oii
AN ALLIANCE FOR LIFE
Many of the large Corporations and Their banking connection is for life —
Business Houses who bank exclus- yet the only bonds that bind them to
ively with this institution have done this bank are the ties of service, pro-
se since their beginning. greasiveness, promptnesa and sound advice.
391 Branches in Canada, extending from the Atkotic to the Pacific
New York Agency: 63 and 65 Wall Street: W. M. Ramsay and C. J. Crookall, Agenli
London, England, Office, 53 Cornhill : J. B. Donnelly, D.S.O., Manager.
Banker* in Greal Britain : The London Joint City & Midland Bank. Limited. The Royal Bank of Scotland
16
THE MONETARY TIMES
Volume 65.
BANK BKANCH NOTES
Three New Branches Announced This Week— Experienced
Bank Clerks Come I'rom England and Scotland
The following is a list of branches of Canadian banks
which have been opened recently: —
Winnipeg, Man. (Stafford and
Grosvenor) Bank of Commerce
Saskatoon, Sask. (west side
branch) Union Bank of Canada
Santo Domingo, West Indies . Bank of Nova Scotia
The Bank of Montreal are erecting a new building in
Gait, on the site of the Gait Hotel.
The Bank of Montreal are putting up a new building
at the corner of Main and Ainslie Streets, Montreal.
The Union Bank are constructing a new building at
the corner of Portage and Arlington Ave., Winnipeg. The
building will cost in the neighborhood of $65,000.
The Merchants Bank of Canada are building a new-
branch at the corner of Portage Ave. and Goulding St.,
Winnipeg.
British Bankers Come Here
Many experienced bankers from the United Kingdom,
and especially Scotland, are coming to enter the services
of Canadian banks. One party of 20 arrived in Toronto re-
cently, and practically all of them are now with the Do-
minion Bank. From their experience so far the banks are
highly pleased with this class of assistance. Bankers in
the old country, are of course, not overjoyed at the loss of
trained help, but, as one prominent Scotch banker expressed
it, they would rather see them emigrate within the empire
than elsewhere.
Personal Appointments
E. W. Lamprey, manager of the Bank of Toronto in
Kitchener, Ont., for the past eight years, has been promoted
to the position of manager of the Vancouver office and super-
intendent of branches for British Columbia.
The Union Bank of Canada announces the following
a ppointmcnts : —
F. J. Willis, inspector, Regina; F. C. Bell, manager,
McAuley; C. A. Gigot, manager, Birtle; W. V. Jones, man-
ager, Macklin; .\. D. W. McKnight, manager, Oakburn; A.
C MacLean, manager, Watrous; P. .1. Thomson, manager.
Saskatoon, West Side; H. P. Filleul, acting manager, Sunny-
nook; W. H. Neville, acting manager, Ro.sebank; L. D. G.
Strutt, acting manager, Lang; R. L. Thompson, acting sub-
manager, Toronto, Woodbine and Gerrard; H. C. Samis, as-
.'.istant manager, Vancouver; Chas McNeil, accountant-in-
charge, Clearwater; R. H. Powell, accountant-in-charge, Cal-
gary, Stock Yards; R. J. Waite, accountant-in-charge, Tor-
onto, Dawes and Dnnforth.
EXCHANGE QUOTATIONS
Messrs. GInzebrook and Cronyn, exchange and bond
brokers, Toronto, report local exchange rates as follows: —
Sellers.
14%
10c. pm.
Counter.
M> to U
?4..50
4.5075
Buyers.
N.Y. funds 13 15-16
Mont, funds Par.
."Sterling —
Demand 54.4950
Cable transfers . . . 4.5025
New York quotations of exchange on European coun-
tries, furnished by the National City Co., Ltd.. as at July
8. I!f20, arc as follows (all in cents per unit of foreign cur-
rency): Cable, London, :H>5S. cheque, :«»4%; cable. Paris,
8.:t3. cheque. 8.32; cable. Italy, 6.03. cheque. 6.01; cheque.
Belgium. S.'.MV. cheque, Swiss, 18.00; cheque, Spain. 16.30;
I beque, Holland, :^.ri.:l5; cheque. Denmark, 16..50; cheque, Nor-
way. 16.70; cheque. Sweden, 22.05; cheque, Berlin. 2.65;
olieque. Greece. 12.80; cheque. Finland. 4.76; cheque. Rou-
iiianin. 2.80.
JUNE BANK CLEARINGS
The following are the Bank Clearings for the month
of June, 1920, compared with the same month last year:—
Cities June, 1920. June, 1919. Changes.
Montreal . . .$612,:304,115 $ 549,038,173 +? 63,265,942
Toronto • • ■ 469,284,720 344,708,342 -t- 124,576,378
Winnipe- .... 182,749,256 151,400,638 + 31,348,618
Vancouver 73,870,444 44,846,525 + 29,023,919
Ottawa ... 45,680,127 39,839,758 + 5,840,369
Calgarv .... 30,214,716 25,642,734 + 4,571,982
Hamilton 32,859,435 24,774,871 + 8,084,564
Quebec ... 32,859,4:35 23,178,314 + 9,681,121
Edmonton 21,742,949 16,070,379 -f- 5,672,570
Halifax .... 24,586,070 20,352,344 + 4,233,726
London 19,167,708 13,113,791 + 6,053,917
Re<.ina 18,746,168 16,326,886 + 2,419,282
St'john 16,335,209 13,422,502 + 2,912,707
Windsor .... 14,461,131 7,138,103 + 7,323,028
Victoria 12,478,128 9,540,495 + 2,937,633
Saskatoon 9,6.36,882 8,369,371 + 1,267,511
Moose Jaw 7,298,373 6,567,372 + 731,001
Brantford 6,480,618 4,652,249 + 1,828,369
Brandon 3,390,494 2,547,912 + 842,582
Fort William . . . 3,984,840 3,157,056 -|- 827,784
Lethbridge 3,287,464 2,963,861 + 323,603
Medicine Hat .. 2,098,749 2,198,624 —
New Westminster 3,464,109 2,260,823 -t- 1,203,286
Peterboro 4,531,024 3,287,961 + 1,243,063
Sherbrooke 5,297,976 4,085,469 -+- 1,212,507
Kitchener 5,889,216 4,166,114 + 1,723,102
Prince Albert .. 1,988,203 1,478,750 + 509,453
Totals ....$1,664,687,559 $1,345,129,417 4-$319,558,142
WEEKLY BANK CLEARINGS
The followng are the Bank Clearings for the week
ended July 8, 1920, compared with the corresponding week
last year: —
Week ended Week ended
July, 8, '20. July 10, '19. Changes.
Montreal $140,183,884 $132,210,587 + $ 7,973,297
Toronto 113.574,789 86,816,576 4- 26,758,213
Winnipeg 48,169,622 38,240,880 + 9,928,742
Vancouver 19,702,131 13,644,830 + 6,057.301
Ottawa 12,013,162 8,806,749 + 3,206,413
Calgary 8,803,780 6,806,516 + 1,997,264
Hamillton 9,105,441 6,829,751 + 2,275,690
Quebec 9,994,554 7,532,361 -|- 2,462,193
Edmonton 6,088.453 4,284,251 + 1,804,202
Halifax 7,391,492 5,797,048 + 1,594,444
London 4,695,348 4,043,157 + 652,191
Regina 5,252,902 4,292,182 -f 960,720
St. John 4,390.959 2.908.640 -I- 1,482,319
Victoria 3,490.:',60 2,408,078 + 1,082,282
Saskatoon 2,675.487 2,160.315 + 515,172
Moose Jaw 2,150,529 1,694,353 + 456,176
Brantford 1,844,273 1,296,140 + 548,133
Brandon 949.181 689.774 + 259,407
I- ort William ... 965.057 822,110 -f 142,947
Lethbridge 7S1,:«1 781.694 — 360
Medicine Hat . . . 448,845 474,881 — 26,396
New Westminster 811.075 570,762 + 240,313
Peterboro 1,276,257 915,650 + 360,607
.•^hcrbi-ooke 1,783.244 948,720 -|- 834,524
Kitchener 1,449,984 9(i4.303 -|- 485,681
Windsor ' 3,626.<i79 1,870,094 + 1,756,585
Prince Albert . . . 595,952 416,608 -|- 179,344
Totals $412,214,774 $338,227 "10 + $73,987,764
Winans, Dickinson and Whitehead. Limited, investment
bankers, of Montreal, have moved their offices from the
Dominion Express Building to moi'e commodious quart<»is
at 152 St. James Street.
July 9, 1920
THE MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
Ks^TAULl^HHU l-i;i
AUSTRALIA
PAID UP CAPITAL - - . . .. , ^„ „„« „„„ „„
jMm } 20.000.000.00
RESERVE FUND - . - . t ^S^A 16 000 000 00
RESERVE LIABILITY OF PROPRIETORS ^^J^^j^< 2o!oOO 000 00
•^t^JX^yltf^n^^ S 56.000.000.00
AGGREGATE ASSETS 30th SEPT . 1919 ^^-^^SJtigjS*^^ ...... MS5.181 .247.00
Sir JOHN Rl'SSELL FKF.NCH. KB.B.. General Manaser
WO BRANCHES and AGENCIES in the Australian States. New ZcaUnJ F,„. Papua (New Guinea), and London. The Bank lran*.i>.ls every dcscriolion
of Australian BanklnE Busmen's. Wool and other Produce Credits arraniicd
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET. E.C.. 2.
Ar.BvTs BANK Ol" MONTRRAL. ROVAL BANK OF CANADA
BUSINESS FOUNDED I79S
INCORPORATED IN CANADA 1897
American Bank Note Company
ENGRAVERS AND PRINTERS
BANK NOTES, BON DS, MU NICIPAL DEBENTU RES, STOCK
CERTIFICATES, CHEQUES AND OTHER MONETARY DOCUMENTS
Special Satefuards Against Counterfeitinii Work Acceptable on all Stock Exchange*
Head Office : OTTAWA 224 WeUlngton St.
HKAXCHES
A Newspaper Devoted to
Municipal Bonds
T~'HERli is publi>licU ill New York City a daily
* and weekly newspaper which has for over
twenty-five years been devoted to municipal
bonds. Bankers, bond dealers, investors and
public officials consider it an authority in its
field. Municipalities consider it the logical
medium in which to announce bond offerings.
Write for free specimen copies
THE BOND BUYER
67 Pearl Street New York, N.Y.
ESTABUSHED 1879
Alloway & Champion
Bankers and Brokers
Member, of Winnipeg StocJ: Eic}..ni!
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchange!
Succession Duties
in Ontario
The rates of Succession Duty having
been increased at the recent session
of the Ontario Legislature, we have
prepared a Booklet entitled "Succes-
sion Duties in Ontario." This Book-
let contains schedules of the new
rates, together with a summary of the
main provisions of the Act. To
readers of The Monetary Times we
shall be pleased to send a copy free
on request.
THE
TorotstoGeaeralTrusts
CORPORATIOTS
Head Office - Bay and Melinda Streets, Toronto
HE MONETARY T I :M E S
Volume 65.
INSIRANCE COMPANIES BUM) LP PROVINCE
Ki'tter FeelinK Would Result from Ikltcr UnderstandinK.
Says J. J. Shallcross— Balmoral Fire Reveals
Defective Conditions
(Special to The Monetary Times.)
Vancouver, July 2, 1920.
L.AST week ail the insurance organizations in the city met
under the auspices of the "Blue Goose" and were ad-
dressed by Mr. Shallcross, insurance adjuster, and past presi-
dent of the Board of Trade. Mr. Shallcross gave some figures
as to the immense amount of money out on mortgage and
invested in real estate in British Columbia by the insurance
companies doing business in the province. He thought if the
public could be properly informed of these conditions it would
remove some of the unfriendliness which seemed to exist
with some insurers in their attitude towards the companies.
Other speakers followed, and as a result of the meeting
an arrangement was made to hold joint monthly meetings of
all the insurance associations in the Canadian coast cities
to be addressed by men of outstanding prominence in the
insurance world, to the end that insurance men may by this
means be more generally informed in matters pertaining to
their own business.
Many Serious Fires
During this month several serious fires have alrca<ly taken
place, one with fatal results. In this case the blaze orig-
inated in the boiler room of an apartment house, the "Bal-
moral,"'an eight-storey building. The boiler room was -not
composed of concrete, and contamed no metal doors. It ap-
peared, in evidence, that the janitor attempted to give the
alarm by telephone, but apparently failed. He rushed to
alarm the tenants. He could not take the elevator, as the
flames were before him; he ran up the stairs followed by the
fire. There was no fire alarm system, and he shouted out
the alarm at each landing as he reached it, pounding on each
door. When he reached the fifth floor the smoke and flames
headed him ofl', and he died'doing his duty. Those who first
escaped gave the alarm and citizens, assisted by the firemen,
rescued most of the inmates, but there was great difficulty in
getting them through the narrow apertures (the dimensions
of which were contrary to law) to the fire-escapes. Seven
lost their lives and many were injured. Numerous investiga-
tions are being held in an attempt to find out who was to
blame. Insurance on building $60,000, contents S-)0,000.
In the month of May there were seven fires reported, and
these occurred at Esquimault, Hammond, Port Coquitlam and
Vancouver, with a total loss of about .?20,000.
Turn to the Right
The rule of the road is being changed to correspond with
the rule of the road in the Pacific coast American cities. In
Seattle and other coast cities the. traflic turns to the right. In
British Columbia the traflic turns to the left causing confu-
sion to I'nnadians in the states and Americans in Canada who
use the road.
On July ISth, in all part« of the province with the excep-
tion of Vancouver Island and that section within which on the
mainland the 1!. C. Electric operates, those using the road
"turn to the right." As the B. C. Electric railroad will have
very expensive and serious alterations to make along the
right-of-way to accommodate the change, the new rule will
not be applied at present to .""treets upon which they are oper-
ating, thus the insurance cnllision hav.iid will not be seriously
afl'ecled in the meant inn .
Loss of K.Nesight
Judgment for the plaintiff has been given by Justice
I'.regory at the sitting of the Supreme Court of Vancouver,
I I.e., in an accident insurance case, which is interesting to
,i,<iialty companies. According to the policy of John J.
-■hnw. a train despntcher, he would receive Sl,.i00 from the
i.liihe Indemnity Company if ho should lose the entire sight
. :" ,.v,. ,.v.>. ii' til.. ,i,'ht \v:i< inoviiriii.lv Inst. Sh;iw did Ins..
the sight of one eye, but the company said that the sight of
the eye was not irrevocably lost. It was found by the judge
that the plaintiff could discern the difference between light
and dark and could tell when an object was in front of his
eye, but could not identify it. The company claimed that by
an operation the lens of the injured eye could be removed and
a glass lens put in its place. Justice Gregory in giving judg-
ment for the plaintiff said that the law was not so absurd as
to hold that sight is not irrevocably lost because by removing
the good eye, an operation might be performed which, if suc-
cessful, would restore a certain amount of sight to the injured
eye. The judge said, however, that in fairness to the com-
pany, he would say that he realized that the action was de-
fended only to obtain an interpretation of the language of the
policy.
ONTARIO WILL INVESTIGATE RURAL CREDITS
Commission of Three Just Appointed — Report Expected by
Fall — Short and Long-Term Credits to
Be Considered
FOLLOWING the announcement made recently by Hon.
Manning Doherty, Minister of Agriculture in Ontario, the
provincial government has appointed a commission of three to
investigate and report on rural credits. The commission con-
sists of W. T. Jackman of the political economy department,
Toronto University; Thomas McMillan, a farmer, of Seaforth,
Ont.; and Melville W. Staples, a farmer of Millbrook^ Ont. ,
In announcing this commission the minister said: —
"I have long felt that some system of nii'al credits would
be of much advantage to agriculture in Ontario, but I am con-
vinced that any system adopted should be safe and sound, and
should be provided to meet the peculiar needs of this province.
Conditions here differ from the conditions in the newer prov-
inces in the west where rural credit plans have been carried
out.
"The committee will be expected to inquire into the dif-
ferent plans adopted, both in the different provinces in Can-
ada and across the line. They will do this bothjtiy a study of
the legislation, and, to some extent probably, a personal in-
vestigation among those farmers who have taken advantage
of these schemes. They will also later on probably arrange
to meet farmers in various parts of the province of Ontario
so as to get not only full knowledge of the needs, but a com-
plete understanding of the views and desires of the farmers
on this subject.
"The inquiry will, of course, include both short-term
credits and long-term credits, and will endeavor to work out a
system which will provide the facilities for sound agricul-
tural development, and will take into account the banking
system and other institutions of the province which may be
affected. The committee will be expected to complete this
work this fall, so as to give an opportunity of adopting legis-
lation at the next session of the legislature as found desira-
ble. It is my desire that any legislation which may be adopt-
ed in this province shall be the most up-to-date available, and
1 trust the committee will have the co-operation of the farm-
ers and all other parties interested to accomplish this end."
TO FORM MANITOBA SAFETY LEAGUE
Decision to form a Manitoba Safety League was made
at an organization meeting held in Winnipeg on June 11th.
The selection of temporai-v- oflicers and executive will be
made by a committee of five appointed by the meeting for
this purpose.
R. B. Morley, of the Canadian National Safety League,
explained the method adopted by the Ontario Safety League
in preventing accidents in the province and to educate the
public in means of safety. Accidents did not happen, Mr.
Morley said; they were caused by carelessness in some form,
and prevention of them was largely a matter of education
"11. 1 co-operation.
Julv 9, 1920
THE MONETARY TIMES
^rungTrusts Corporation
The officers of this Corporation are experts in the adminis.
tration of Estates, the management of properties and the
investment of funds.
We shall be pleased o consider and advise you concerning
inv ..f vour problems.
President
W. H.WARDROPE. K.C.
\'i:e Pmiiient. Manitging Director.
A.W. BRIGGS. K.C. CHAS. BAUCKHA.M
1024
HEAD OfFICE-12 KING ST. EAST-TORONTO
Your Summer Vacation
can be made free f loiii wony in legaid to business
which might otherwise be neglected, by ap-
pointing this Company to act as your Agent
during your absence. We will be pleased to be
commissioned to collect your rentals or other
moneys, make payment of taxes, etc., submitting
statement of all transactions.
Correspondence unj cnquinei invited.
THE CANADA PERMANENT TRUST COMPANY
18 TORONTO STREET, TORONTO
THE ALBERTA TRUSTS COMPANY, LIMITED
FINANCIAL AGENTS
Stock* anJ iBondM, Fire Insurance, eic. Real Ejlate and Farm Land*. yaluoton.tU.
Correspondence solicited
Union Bank Building Edmonton. Alberta
COLONIAL TRUST
COMPANY
Head
Office
Victoria. B.C.
Registc
red in the Provinces of British
Columbia and AlbcrU
Authorized to act e
s
Administ
rators Liau
Receivers
Executors
dators
Assignees
and Trustees
R. F. TAYLOR. Managing
Director
(Jeokof. EiAVAKiis. K t' A. .Xktiilk II i;r.«Aiii)'.. K.C'..-\.
H. Pekcival Euwards \V. Pomekov MokGAS A. li. Euwakui
Chas. E. White T. J. Macsamaka Tiios. H. Gkcgib
O. N. Edwards J. c: Mc.Nab C. P«»cy Roheits
A, L. Stevens W. H. TaoMi'sgN
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORONTO ..
CALGARY ..
VANCOUVER
WINNIl'HG..
MO.NIkKAL
CORRESPONDENTS
HALIFAX. N.S.
LONDO.N. ENG
CANAUIA.N' .MOkK.AGE BUILDING
HERAI-[J BLTLDLNG
LONDON BUILDING
KLliCTRIC RAILWAY CHAMBERS
McGILL BUILDING
ST. JOHN, N.B.
COBALT. ONT
NEW YORK, USA
WESTMINSTER TRUST COMPANY
The OlJtst Provinci;.! Trust Cornr^iny m H C.
Head Otfice NEW WESTMINSTER B.C.
GENERAL FINANCIAL AGENTS
AJmlmlstratcn. Rtainn. Eactlon. Uimldalon. Aisliniti. Trmiint
E. A. RIDDELL. .M.inaser
The Security Trust Company, Limited
Head Office - - Calgary, Alberta
Liquidator, Trustee, Receiver, Stock and Bond Broken,
Administrator, Executor. General Financial Ajenli.
W, H. CONNACHER Pri.s, .ind .M..n...ir,. Uir.ctor
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
THE BANKERS
TRVST CDMB^NY
Head Offices: MONTREAL
Authorized Capital
$1,000,000
Pieuiient •
SIR H. MONTAGU ALUXN. C.V.O.
yice-PreiiJtnIi ■
A. J. DAWES D. C. MACAROW
JAMES ELMSLY - General Manogef
C. D CORNELL - Secretary
DIraclorst
c.v.o!
B.ti.
David N C. Hon
1. M. Kilbcuin
... B U..-
Sit F. O., L
Tht... Una
DC M.i.tow
W. A Mflilnim
F. E. Mwediih. K.C
T. E. MifTrll
Ij .Cnl J. R Mo<.J
Fuauhiir Rol.rrlK't
Hon.LornrC WVb.
F Ho».r.lW,»on
Edwin H. Wil>on
John Wilpon
Offices now open in Monlteal. WinnipcR.
CalRaty, St. John. N.B.. Halifax. RcRina.
S'ancotiver, Victoria and Toronto.
Premiiet in Merchanli Bank BuildinK in c»cfi city
20
THE
MONETARY T I JI E S
Volume 65.
COLONIZATION INCKEASES NATIONAL WEALTH
Setlkments Planned by Western Canada Colonization Asso-
ciation Would Mean Hundreds of Millions
of Dollars
»» TF the Western Canada Colonization Association settles
1 20,000,000 acres of idle arable land, it is probable that
another 10,000,000 acres, suitable only for pasture, will be
used for raising livestock. The value of such settlement will
exceed the entire national debt of the Dominion." So. said
Mr. M. A. Brown provisional chairman of the Western
Canada Colonization Association, in a recent interview. Mr.
Brown, who is mayor of Medicine Hat, added: —
"In 1918 the farm production of Alberta, Manitoba and
Saskatchewan was valued at .?1,322,804,490, from some 30,397,-
■IIG acres under field crops and other lands suitable only for
livestock. On the same basis, the idle acres which the asso-
ciation aims to bring into use have a potential value of S870,-
000.000 per annum. Divided into 93,750 half-section farms,
each of 320 aci-es, these lands would provide an opportunity
for almost 100,000 more farmers, and for a total of at least
400,000 immigrants, counting men, women and children.
Settlers Bring Wealth
"Settlers fi-om the United States have been bringing in
$600 for every man, woman and child. The average for immi-
grants from the Brititeh Isles and elsewhere would be consid-
erably lower, but even before the war British immigrants
averaged at least $100, and the amount now would be much
higher. The immigrants sought by the association will be
'hand-picked' and will be from the United States and the Brit-
ish Isles principally. Their average wealth may be placed
conservatively at ?300 each. This in itself means a total ini-
tial accession to national wealth of something like $100,000,-
000. Such an influx of agricultural settlers would be accom-
panied by heavy immigration of artisans and other non-agri-
rulturists, with wealth of probably $50,000,000 more.
Each Farm Means Large Income
"The annual gross income per farm in Western Canada
is now close to $-1,500, including the value of products con-
sumed by the farmers themselves. Allowing for a possible
decrease in prices, the annual gross income per farm may
safely be placed at not less than $3,500 for many years to
come. Of this amount at least $1,500 is expended annually in
purchase of goods, largely in local stores. One thousand dollars
represents the value of products of the farm consumed by the
farmer and his household, expenditures on vacations, etc.,
taxes and payments for personal services. Most of the re-
maining $1,000 is saved or invested. If the farm, equipment
or livestock be mortgaged, or if money is owing otherwise on
loan, part of the income may be expended as interest or in
reduction of the principal amount of such mortgage or loan.
But even such payments mean, for the most part, an addition
to national wealth. Depreciation of machinery will be offset
largely, if not entirely, by the purchase of new equipment or
by farm betterments.
More Business for Merchants
"At a conservative estimate. .^UOdO probably would repre-
sent the average net production |)er farm, after deducting
from the gross income expenditures of all kinds except those
properly chargeable to capital account. Then, too, of the
$1,50(1 or more expended for goods, probably ?200 would bo
saved by the producers, merchants or transportation inter-
ests, and would go to increase the total national capital. In
this way each fann would contribute ? 1,200 every year to in-
crease the national wealth of the Dominion. For all the 93,-
750 new farms the increase would amount to $112,500,000.
But this would be the gain from the project in a single year.
Canada would, in efTcct. receive from the settlement of these
idle acres a perpetual increase in national wealth of $112,500,-
oDit. The present value of such perpetuity, i-cckoned at 6 per
cent., is no less than SI. 875,000,000.
"The 91,600 or more expended by each fami household an-
rually for goods would he distributed among retailers, whole-
salers, bankers and naanufacturers. Ultimately much of it
would go to the workers. It would provide moue employment
and attract new capital to supply the additional wants.
Farmers Spend Much Money
"A recent survey among its subscribers, made by one of
the largest farm papers in W'estern Canada, showed that 50
per cent, of the farmers carried life insurance; 46.3 per cent,
had telephones; 47.2 per cent, owned automobiles; 36 per
cent, had gasoline engines; 34 per cent, had pianos; 30 per
cent. owTied threshing outfits; 30 per cent, had talking ma-
chines; 20.4 per cent, owned tractors. These figures indicate
the tremendous demand for goods and services which would
result from the successful utilization of nearly 100,000 new
farms. That demand would mean increased prosperity for
every interest in the Dominion.
"The settlers and their families would spend at least
$140,750,000 annually, principally for manufactured goods.
To meet this demand not less than $125,000,000 would be need-
ed for industrial undertakings. The opportunity would at-
tract new capital from the United States and elsewhere, and
it would be safe to count on an accession of at least $75,000,-
000 in this way.
Importance to National Railways
"The problem of the Canadian National Railways would
be solved. The average settler in W'estern Canada means
$763 per year in railroad earnings on freight and passenger
business. From the 93,750 farms there would come a yearly
increase of $71,531,250 in the gross income of the railroads.
"In addition to the items of increase in national wealth
already enumerated, there would be the handling of between
$3,000 and $4,000 worth of produce annually from each new
farm. Besides the transportation services, grain dealers, com-
mission merchants, millers, meat packers, cold storages,
creameries, and many other interests would share in such new
business. On the average, the products would be turned over
three times before reaching the consumer. This would r/»ean
a turnover of more than $10,000 for each farm, or probably
$1,000,000,000 in all. Such business would provide employ-
ment for many more persons, and the actual net profits or sav-
ings would not be less than 3 per cent. This would represent
an addition to the national wealth of $30,000,000 per annum in
perpetuity. The pi-esent value of such perpetuity at 6 pei
cent, is $500,000,000.
Value Would Exceed Debt
"The increase in national wealth which would result from
the accomplishment of the aim of the Western Canada Coloni
zation Association may, then, be summarized as follows; —
"New wealth brought by settlers $150,000,000
Present net worth of new farm production in per-
petuity 1,875,000,000
New capital attracted from abroad for indus-
trial undertakings 75,000,000
Present worth of new wealth resulting from
profits on handling new farm production 500,000,000
Total $2,600,000,000
"Besides, there would be the wealth created by the thou-
sands of new non-agricultural immigrants who would accom-
pany the influx of farm settlers. In comparison, Canada's
gross national debt is less than $3,100,000,000. and the net
debt about $2,000,000,000. I'tilization of the idle lands of
Western Canada in its value to Canada not only would offset
the entire net debt of the Dominion but would leave a surplus
of more than half a billion dollars for development of the Do-
minion's natural resources."
The Northwestern Life Assurance Company will open
its new head office building on Donald St., Winnipeg, on July
1.5th.
July 9, 1920
THE MONETARY TIMES
21
To Secure the Greatest Income
from your renting property and to secure it with greatest rcRutanty
and least worry and inqonvenience. place the property in the charge
of the Union Trust Company. We will attend to all details for
you and render a complete statement each month.
The cast of ihu sercfce la C€r\ a
inUralrJ ire urill be glad lo lilh,
all.
Union Trust Company, Limited
HENRY F. COODERHAM. Pre.ident
TORONTO - !- Cor. Bay and Richmond Sts
WINNIPEG, MAN. LONDON. ENGLAND
i% on Savings — Withdraivable by Cheque SI
f^B^nn^r
The impartialily of the acts of a TRUST COM PAN ' .m
from impropri-r influences are some of the advani ..
The Management of Estates
We will gladly discuss this matter with yon
?l, 171, 700.00
1,172,000 00
CAPITAL. ISSUED AND SUBSCRIBED
PAID-UP CAPITAL AND RESERVE...
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICi;: WINNIPEG, CAN.
BRANCHES :
SASKATOON. REGINA. EDMONTON. CALGARY.
VANCOUVER AND VICTORIA 1
A tub-sized, loft'drlcii. all-mn ihcct o( the Hnc--
'^ possible ouality. Oldest cf Carailinn bord p»p«i«
Firstmudeal St.Jcrcme. PCI.in 1B1>'2. Ever since .:
has maintained its position as the hcstUnown in.;
most widely used bond and IcdRer in Canada.
Avoided Ihe Cald riUdal. Aniverp, ISS5: ihc GoU
PlUdal. CAlcojo. / WJ. aod the Grand 'Pri,. Pari,. llOd
Rolland Paper Co., Limited, Montreal
Hi,ih. Grade P.irir Makers since It*: „ ,
sat St. Jerome, I'O. and Mt. Rolland. I>y. l t\ k
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents lor iiivcstniciu in .ul cl,ishci. of .SccuriiiLS-
Business Agent for the R. C. Archdiocese of Vancouver
Fiscal .^Kent for B. C. Municipalities.
Inquiries Incited
Lli'Ul.-(ol. I.. II. l>oltlti:l L
Urneml «ln
IRON MINE
FOR SALE
COUNTY OF RENFREW
Near Perth
In, lull |,.itli, iilarH. rr-por' .-.I ..-nv, rt, . npplv
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAV nnd Ml I.INDA .SIS.
TORONTO
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acil >• Executor, Adminiilrilor. Trmlee, Cuatdian, Liquidator
Aisi{nce, inti in »ny oilier fidocitry capacity.
Official Administrator for the N<irthi-ni Judicial
District and the Dauphin Judicial Distrut in
Manitoba, and Official Assignee for the Wislerii
Judicial District in Manitoba and ihe Swid
Current Judicial District in Saskatchewan.
Branch Office
Swift Current, S»»lc«lchewar
JOHN R, LITTI.K. Managing Dii
ACCOUNT IK)(>K?S
I.oosi: I.KAF I>i:ik;i:us
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special P«ttern.» made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds. Size and Quality. Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Strc-ct» TORONTO
22
THE MONETARY TIMES
Volume 65.
GENERAL PRICE MOVEMENT STILL UPWARD
BUILDING PERMITS SHOW BIG ADVANCE
Steep Advance in Potatoes and Onions — Index Numbers Rei;-
ister Decreases in Dairy Products, Textiles,
Hides and Raw Furs
PRICES movement continued upward in May, 1920, accord-
ing to figures of the Department of Labour, the feature
of the movement being the steep advance in potatoes and
onions. Butter recovered slightly from the decrease usual in
the spring, but had been fluctuating for some weeks. The
same condition appeared in the egg market. Beef advanced
appreciably toward the end of the month.
In wholesale prices the departmental index number rose
to 356.6 for May as compared with 353.1 for April, 284.1 in
May, 1919, and 136.3 in May, 191-1. The chief increases for
the month were in the groups: Fruits and vegetables, miscel-
laneous foods, lumber, grains and fodder, animals and meats,
fish, fuel, paints, oils and glass, and chief decreases in dairy
products, textiles, hides and in raw furs.
Index numbers of wholesale prices by groups of commodi-
ties for May, as compiled by the Department of Labour, are as
follows : —
(DEPART.MBNT OF LABOUR
FIGURES)
I. Grains and Fodobrs:
Grains, Ontario
Western
Fodder
All
11, Animals and Meats:
Cattle and beef
Hogs and hog products
Sheep and mutton
Poultry
All
III. Dairy Produch-s
IV Fish;
Prepared Hsh
Fresh fish
All
V Othkh Poods:
Ul Fruits and vegetables
Fre<h fruits, native
Fre>h fruits, foreign
Dried fruits
Fresh vegetables
Canned vegetables ;...,
All
(nl Miscellaneous groceries
BreadstulTs
Tea. coffee, etc
SuBar,etc
Condiments —
All
VI.Tbxtilbs:
Woollens
Cottons
suits
Jutes
Flax products ..,,
Oilcloths
All
VII. HinKs.LnATHRR.BotrrsANDSMOBs
Hide;! and tallow ...
Leather
Dnots and Shoes
All
VIII. Mktal-i ASD lapi.KMRim:
Iron and -trrl
Otb-
ln>r
IX. Fi I
Fuc:
Light. iiB
All
X. Bi'li.DiKO Matkriais:
Lumber
M.^;.oll.,ncn„^n..,l,ri.iK
I'.imf. ,.,U .in.l el.iv^
AM
XI llnioH Kl RVIIIIIMiS
Furniture
Crockery and glasAwarc
Tjhie tiitleri-
Hifclieo fur„,^h,„Ui
All
Xll.nnunsAVn
XIII. ,Ml«CflL«M
Raw Pur^
Liquors ami l.ib.i,,
Silndrirs
All
\'l commodities
iNDtEX NunDBRS
110. R
110.4
3X S
1I2.H
118.8
i:w.s
:ii3 t
:-.99 u
371. S ; 31» i
■Jlt.B I :ifi3 !l
ac.a I 2»5 7
17« B 176 6
371 8 I 359 9
292. 0 302 b
28<.6
312.5
18S U
283.1
673.11
216.3
Bin 0
216.3
m.f>
161 3
MiVM
IM I
;w2
»>2
325.4
.17 9
Sim 7
232.1
ili.A
219 3
3H| 9
216 9 I
219 9 '
412 3
:i5' 9
I 2 (•
lIB 3
19*1.1
289.3
211.1
330 u
tniM
IM 0
235 6
•iitii.3
3^11 311.* 214 2
2U 7 us: \ 210 I
301.1 2.'«.S I 227 I
Mt.9 «8V« I i" 7
3.V).« 2'fl ; I 2IS I
189. S t:3 i I 311 (i
lOMi I .«W.a 272..^
H3I.I fil:.6
211. 5 ;3) 9
:ilH.6 ' 301 6
39^ 3
i23 9
623 7
595 9
306 7
122 l>
275 « • 27J.2
212 7 ' 216, »
250 3 : im 3
161. 1
371.8
375 1
15.^1
2 8 3
3023
17!. 5
179.1
186.0
135.1
U2.0
l5-).7
159.9
121.1
lll.t
111.7
121.5
145.2
lis. 9
121.2
115.1
116.2
MI.B
115.9
iai.7
139.0
86.3
211.1
111.7
11172. 1
sin.S
S12 2
Wit Win . JM.i I SI 1 IS4.I
April Total for Fifty-five Cities Is .More Than Double That of
Year Ago — Alberta Shows a Decrease for the Month,
While New Brunswick Shows a Decline as
Compared With 1919
EMPLOYMENT in the building trades, as indicated by the
value of building permits issued in fifty-five cities, accord-
ing to the Labour Gazette for June, showed an increase dur-
ing April, 1920, as compared with the preceding month, the
total value of building permits rising from $8,258,150 in March
to .•516.382,543 in April, an increase of 88,124,393, or 98.4 per
cent. With the exception of Alberta, all provinces showed
large increases in this comparison, that of §3,194,175 regis-
tered in Quebec being particularly substantial. As compared
with the corresponding month in 1919, there w^as an increase
of ."59,322,902, or 132.1 per cent., the value for April, 1919,
having been $7,059,641. In this comparison New Brunswick
only reported a reduction, and in all other provinces the in-
creases were large.
DEPART.MENT
OP LABOUR
FIGURES
CITY
Prince Edwarh
Island
Charlottctown .
Nova Scotia
•Halifax
New Glasgow.
'aydney
Sbw Brunswick..
Frcdericton
*.Moncton
♦St. John
OUBBBC
•.Montreal \
Maisonneuve... / •■
* Quebec .
Shawinigan Falls.
*Sherbrooke
•Three Rivers
•Westmount
Ontario
Belleville
•Brantford
Chatham
•Fort William...
Gait
*Guelph
'Hamilton
'Kingston
•Kitchener
•London
Niagara Falls..
Oshawa
•Ottawa
Owen Sound . . .
•Peterborough ..
•Port Arthur
•Stratford
•St. Catharines.
•St. Thomas
Sault Stc. Mai
• Toronto
Welland
•Windsor
Woodstock.- .
Manitoba
•Brandon
St. Boniface . .
•Winnipeg
Saskatchbwan .
•Moose Jaw —
•Rcgina
•Saskatoon
Albbrta
•Calgary
•Bdmonton
l-elhbrldge. .
Medicine Hat.
Bhiti
I COL
•Preliminary figur
s. * Nine commodities
One line of spelter \n
Prince Rupcil
South Vancoviv
•Vancouver. . . .
•Victoria
Total-.Wcities.
•Total— S5 cities
4g,2S0
1,500
42.250
4.50O
1.531. IIS
945.496
392,524
131,310
368,735
7.200
60.375
403,990 750.150
2.OC0 9.709
144,040 740.45U
M7,950
4.725,320
2.858,165
253,480
'^il,IX)()
1.242,350 I
985,304
446,470
270.125
38,50(1
131.300
47.675
1S6.910
40 680
49,800
155,415
58.229
3.881,068
5.785.131
S.426.7-8
4,700
13.000
25.400
73,955
117.365
ISI.205
24,450
124.819
7.185
33,850
74.035
7.450
14.650
66.625
21,745
18.145
31.940
.50.605
311.325
779,500
483.310
28.330
1%,31S
204.595
319.6.90
160,770
58.405
172.570
211.510
137.01X1
30.300
35..575
34.650
64.950
IR2.48S
42,250
102.775
3;t4.0IO
I09,')20
6.500
32.000
500
65.060
S4.8iiO
17.790
9..S46
9 660
3.5.271
49.625
K3.590
9.223
63.250
128.000
82.282
19,085
18.670
69.725
61.505
fi2.027
S'2.87S
36.27.'i
60.20D
32.800
2.C5S.747
2.137.908
1,620.996
13.350
31.915
61.925
■2)i8.3!«
8.T;t.605
119.440
10.241
24.157
10.231
.'592.575
2.9:18,640
270,975
2.425
3.050
4.375
Ml.iSO
34.290
27.000
2.901, 3(X)
239.600
294.125
734.830
343.060
23.675
227.480
44.215
263.750
438.275
187,48(1
6.700
6ii.075
111.365
950.325
543.490
451.1.59
333,400
317.800
343.000
K00,650
218.200
64.U5
7.260
15,920
5.1)55
ISO
27,414
704,911
71 9.-5.57
400,905
21,250
33,900
14.200
151.699
2,ifi..'«iO
69.500
26.458
HI.5I7
69.200
129.233
:i7.l80
28.0V0
308.477
28:1,585
206.840
67.794
47.495
13.075
»S,25.S,150
16.3K2.543
7,059.641
»7,395.739
■ 15.333.183
6.477.556
July 9, 1920
THE MONETARY TIMES
23
INTEREST
RETURN
INVEST YOUR SAVINGS
I in a 5^% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital $2,412,578.81
Reserves 964,4S9J9
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Cal||try,
Edmonton, \'ancouver, Victoria ; Edinburgh,
Scotland.
DELAY MEANS LOSS
Thr cash with which you have brcn inlcnding lo open
a deposit account should br earning something (or you.
Open an account with thi« Corporation NOVt' and receive
interest at
THREE and ONE-HALF
percent, per annum, paid and compounded half-yearly.
In addition to a service noted (or promptnra* and efficirncy >'OU wiU
have the benefit of our long expcnence. which extends over a penod of
stxt>-five year*. One dollar or more will open an account on which full
checking privilege's vrill be allowed.
Canada Permanent Mortgage Corporation
TORONTO STRKKT lOKO.NTO
Lapilal and 5urp/ui .\tor(v iU.WU.iJi/UM)
Total A»ch ExcecJ ■ $}}.0O0.OO0.00
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
-Masonic Tempi.: Building. London Canada
Interest at 4 per cent. pa_vable half-yearly on Debentures
T. H. PURDOM. KC. President NATHANIEL .MILLS. Mamuer
The Hamilton Provident & Loan Society
Head Office. King Street. Hamilton. Ont.
CapiUI Paid-up. tl,200.000. Reserve Tand and Surpliu
Proflta, $1,280,670.69. Total AaieU, t4,764.<ia.Zl.
TRUSTEES AND E.VECLTORS are authorized by Law to inveat
Truat Funds in the DEBENTURES and SAVINGS DEPARTME3JT
of this Society.
GEORGE HOPE. President D. M. CAMERON. Treaaorer.
''"^ Ontario Loan
& Debenture Co.
LONDON Incorporated 1870
CAPITAL AND UNDrVIDBD Protits
Canada
$.1,!»<Ki.0OO
SHORT TERM (3 TO 5 YEARS)
DEBENTURES
YIELD INVESTORS
5
10,
2
JOHN .McCLAHY. Pr
A. m. S.MAKT. Manaler
r^NER 200 Corporations,
^'^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Office. No. 13 Toronto Street
Capital Account. 8;il..VMI.OO H.-.irM- l-i;nil. »0;o.»O».0O
Tot:.! Asscf.. »:1.«!>.IS«.»«
President. WcLl.lNCrON KBANCIS. Kig.. K C.
Vice.|>ro«idenl. HKHIIKHT I.ANOLOIS. B»u
Debentures issued to iny .v.. , :i i.cb.iI lnvr-.tnifnl h>r Trust Fund..
Deposits receiveii ;tt 4". interest. vvithJr.i\\ aMc by chegur.
Loans made on improved Wr;i' K«t itr o" f i\n^:,hic i.-rni--
WALTER GILLESPIE. ManlsBcr
Six per cent. Debentures
Interest payable half yearly at par at any bank In Canada
Particular, on application
The Canada Standard Loan Company
520 Mclnlyre Block. Winniptg
Port Arthur and Fort William
Realty Investments
Inside City and Revenue Producing Property.
Mortgage Loans Placed.
Write us for illustrated booklet descriptive of
the twin Cities.
GENERAL REALTY CORPORATION, LIMITED
Whalen Building, PORT ARTHUR, Ontario
J. A. THOMPSON & CO.
Government and Municipal Securities
fTrtlrrn Miinl.l|>nl, is.ln.nl nii.l »».l.alrlir«s an KDr.l ■fele.
phfitir I o. .Irbrnlurr* •pertallfr«t !■.
LdHUlSI'iiNDHNCK l."iVITHI>
Union Bank Building - WINNIPEG
BUSINESS BUILDERS, LTD.
Indualrlal and Fin
301 Enderlon Bids
inl Advlaera
WInnlpea
ilf>-,>t«ari,' l'iart.Of«an-
.zed and Syslirratizcd.
tment Prob'ems
.rir> ifirKe-t
THE MONETARY TIMES
Volume 65.
Forty Millions of New Preferred Stock This Year
Total for Last (Juarter Reaches Nearly .S20,0()0.000— Good Volume of New Bank
Shares— Other Important Changes in Capitalization of Canadian Industrial Concerns
cerns, since the beginning of the year, have announced other
capitalization changes. The Dominion Steel Corporation has
issued 85,902,000 additional common stock, while the Dominion
Iron and Steel Co. has also issued $4,200,000 additional com-
mon stock. Laurentide, Limited, have issued $28,800,000
new stock, allotted at the rate of three new for one old share,
while National Breweries also issued new capital, giving four
$25 shares for one $100 share. Riordon Pulp and Paper Com-
pany issued $1,500,000 common shares, which were allotted
to shareholders at $125. Brompton Pulp and Paper Co re-
cently announced the intention of giving two new shares, of
no par value, for old shares of $100. Spanish River Pulp
and Paper Co. also announced the issuance of new preferred
stock to wipe out arrears on old preferred.
OFI'EKI.NGS of preferred stock which have come on the
market during the first six months of this year total
nearly $40,000,000. For the second quarter, as given below,
the total is $19,522,000, while the total for the first quarter
(details of which appeared in these columns about three
months ago) was $20,410,000.
During the past three months the volume of new bank
.-stocks has also been considerable, totalling $9,500,000. These
i.-^sues arc made to shareholders, however, and judging from
the favorable rate at which they are being allotted and the
high dividends which are now being paid by Canadian banks,
it is not expected that the balance left for the public will be
very large.
Besides the above mentionedi Canadian industrial con-
Gjlt Brnss Co.. Ltd. (pfd. cum.)
■ ntcrrrovinciiil Cluy Products, Ltd. (pfd. red cum.)
Dominion Loose Leaf Co. Ltd. (pfd. cum. participntinfi). .
P.nr;im,iunt Kitchener Thtatres. Ltd. (pfd. cum. red.)....
Eternal Battery Co. . if Canada. I.t.l (pfd. cuirf. part.) .. .
Allen's Winnipes Theatres, Mil I pfd. cum )
Standard PavinR Co., Ltd. (pfd. cum)
H. I). \lcl«en/.e .1 Co. Ltd. (cam. pfd,
Domini. in Chocolate Co.. Ltd. (c
Cc.mmercial Finance Corp.. Ltd..
Willi. irJ-s Chocolates, Ltd. (cu
Anus Holdcn Tire Co.. Ltd. (cu
New Hiiinsw iclc I'owcr Co. (cu
on l-nninccrinR Works.
al PrtKlucls. Ltd. (cum. part. pfd.).
Orcat Bnstern Paper Co.. Ltd. (cum. pfd.)..
Kiordon Co.. Ltd. (cum, 1st. pfd )
link.fd. pfd. red)
(cum pfd)
1 pfd. sink, fd.)
1. pfd.) ..
. first pfd. red.)
Ltd. (cum. pfd. red.).
BAKK STOCKS
Hank of Hamilton
Kjmiue Provincials do Can.
Dank of .Montreal
.Merchants Rank of Canada ..
Royal Hank of Canada
Div.
Rate
%
l»2,0(X)
150.000
150,000
175,000
soo,auo
aa.ow
365.000
375,000
4(H).000
600.000 '
600.000 .
800,000
I,0<IO,0<IO
1 .40<),o(ia
1.750.000
'.1,500,000
8„5Q().00O
19,522.000
1,000.000
I.OOO.OOO
2.oa).<m
'i, 100.000
3,400.000
Domii
UnoekwriTERS
Balfour White and Co.
Exchange Securities, Ltd.
Housscr. Wood & Company
Goldman and Company
Notre Dame Investment Co.
Edward Brown and Company
Foster, Barrett. Riepert it Low, Ltd.
Standard Bond Corp., Ltd.
Campbell. Thompson & Co.
Standard Securities Corp.
ion Securities Corp. and Morrow and Jellett
Eastern Securities Co., Ltd.
McDougall and Cowans
Graham Sanson & Co., and Canada Ind. Bd. Corp.
lornton.Onvidson ^ Co . & Lawrence Chamberlain & Co
Royal Securities Corp.
To Sharcholdc
(Ratio one to four)
I Ratio one to two)
(Ratio one to ten)
(Ratio one to four)
(R.atio one to five)
BO.NLS OF
Common
Stock
CONTROL OF SECURrPY OKI LKINCS
Suggestion .Made (hat British Columbia Industrial Council
Pass on Offerings of Securities
IT HAS been suggested in British Columbia by J. A. Cun-
ningham that provincial legislation be enacted making it
compulsory for any proposed industry to obtain the appi-oval
of the industrial advisory council of the province befoi-e tak-
ing steps to interest the investing public. This suggestion is
being considered by the executive council of the llritish Co-
lumbia Manufacturers' .'\ssociation; it was made at a meeting
on .June 29, following an adilress given by D. B. .Martyn, in-
dustrial commissioner.
Mr. Martyn said that some tiOO applications had been con-
sidered during the one year his department had been in e.xist-
enci>, th<^ amount applied for being about $4.00(1,00(1. In all
about 75 new industries had started up following the gi-ant-
ing of loans totalling about $900,0(iii, and had given employ-
ment to between SOd and 900 men. He enumerated the va-
rious lines of industry approved by the council and mentioned
that one particular line that had born given assistance had
l)een an industry for the manufacture of "cut-to-fit" houses,
this inilustry having also received the support of the banks.
As indicating the .success already attending this industry, he
.said orders for 120 houses had already been received, and that
500 more would be required by the Canadian National over a
term of years. In addition, numerous inquiries were being
received from Japan, and there was every possibility that a
huge market for these houses would be secured on the other
^i(!r of the Pacific. He expressed the opinion that the system
of standardization followed out in this industry could be
adapted to other lines in the wood products industries.
In regard to mining, fifty prospectors had been sent out
by his department during ths year. In connection with the
possible future of the steel-making industry he said prospects
were of the very brightest and that the immediate future
should show something real. Dealing with the fishing indus-
try, he declared that with 70 to 80 per cent, of the fishermen
on this coast Japanese, and with so many returned men anx-
ious to engage in the industry, the department was gi\'ing its
attention to assisting the returned men. The co-operation of
Col. Cy Peck, M.P., had been obtained, and he was doing good
woi'k in that connection.
Assistance had been given in the establishment of a cord-
age factory and boat building, woollen mills, shoe factory, and
other proposed lines of industry w-ould receive the support of
the department, which was not so concerned in starting up a
large number of industries as it was in bringing about a
steady, pei-manent development in the province.
CARA({1 ET AND GULF SHORE RAILWAY
The Dominion government has taken over the Caraquet
and Gulf Shore Railway, a line of over 100 miles in Glou-
cester County, N.B. It will be operated as a branch of the
Canadian National Railways. The government now O'wns
all the branch lines in New Brunswick not owned by the
Canadian Pacific, except a small coal line between Beers-
ville and .•^damsville, and the Temiscouata extension in Mad-
awaska County.
July 9, liil'd
THE MONETARY TIMES
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
GENERAL AGENCY
1-OR WiNNIPtG
WANTED
Financial Man o( long experience, tried nbilily and trust.
for many years head o{ one of the larttest Companies op-
eralinx in the West, seeks Keneral agency for strongly
established Company writing Fire. AcciJent. Liability or
Autorrobile Insurance. Would consider light Commer-
cial Line. Valuable connections. Best references given.
Information can l>e oLtitined bv addressing
"FINANCE"
C o M«cphcr>on-McCurdy Co.
WINNIPEG •:- MA.N.
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Western Hunlrlpul, Scliui.l anil >u»kiilrli<'nan llnral Trie-
pliou«> I'u. debcnliires Kprrlallzetl In.
Correspondence invited
GRAINGER BUILDING - SASKATOON
NIBLOCK & TULL, Limited
STOCK. BOND and GRAIN BROKERS
(Direct Private Wire)
Grain Elxchange
Calgary, Alta.
Manitoba Finance Corporation Ltd.
Inyettmertt B-okrrs, Financial Agt nl:>. Etc.
HcuJ Ollic.
410-11 Electric RIy. Chamberi - Winnipeg. M«n.
Phone Garry SKU
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Form Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba, Albtrta Flour Mills, Limited
Lougheed & Taylor
LIMITED
Bond Dealers and Financial Agents
210 Eighth Avenue West, Calgary,
Alberta
Government Municipal and Corporation Bonds
Vancouver District Property
Expert L»tale A^:enl» ..lul .Malli.^ci.
Property Bought and Sold, \alued. Rented and
Reported on. Correspondence invited.
WAGHORN GWYNN Co., Ltd. v..co.v.r
X
TOOLE, PEET & CO., Limited
INSURANCE AND REAL ESTATE
MORTGAGE LOANS ESTATES MANAGED
Cjbic Addrc. Topcco. Wc.lern In and A IIC. 5th Kdrtlon
CALGARY. CANADA
H. H. CAMPKIN
insurance, Loans, Bonds, Debentures and Real Estate
AgentforCanadi.Tnl':iciHcHai;wr.yCn L..nJs.C:in»daN">th
West Land Co. Lands. Hu.Nonv li.n C.mr^.ny's Lands.
REGINA, SASK.
F. S. RATLIFF & CO.
FARM LANDS-FARM LOANS
STOCKS AND BONDS
Medicine Hal Alborln
WANTED 5^£^E-°"'
WHYTE & CO., LIMITED
l„,uranc€ Brokrr,
111 Pantagea Building - Edmonton. Alta.
MACAULAY & NICOLLS
INSURANCE OF ALL CL.-lii/:^
ESTATES MASACED
746 Ha.Hng. Street - VANCOUVER. B.C.
C II .MA1.AI LAY
.1 I- NICOLLS Sot.iry Cuhlii
THE MONETARY TIMES
Volume 65.
Volume of Canadian Bond Sales Reduced Last Month
CANADIAN bond sales reached a total of $13,758,711 in
Juno, 1920, as compared with $33,853,302 in May, and
.^18,292,335 in June a year ago. The following is the sum-
mary:—
Provincial $5,000,000
Corporation 5,000,000
-Municipal 3,758,711
$13,758,711
Last month's total was small as compared with the three
previous months, provincial loans showing a reduction, while
there wore no railway flotations at all. Only one corporation
issue of any importance was made, namely, Shawinigan Water
and Power Company, $4,000,000. Provincial bond sales for
the first six months of this year total slightly more than the
total for the whole of last year.
The volume of municipal financing last month, notwith-
standing the low prices, was good, although it was not as
heavy as is usual at this time of the year. Municipal sales in
.June a year ago amounted to $4,455,335, while the total this
year is $3,758,711. The summary by provinces is as follows:
Ontario, $2,554,061; New Brunswick, $493,500; Nova Scotia,
$50,000; Quebec. $277,000; Manitoba, $143,000; Saskatche-
wan, $186,150; British Columbia, $55,000; total, $3,758,711.
l>KOVI.\('IAL
niMt II' ti
Perth
Smiths Falls
Smiths F.ills
Pembroke
Rainy Kivcr
Lincoln County
Chatham
Trafalgar Township.
Chatham
Sudbury
Sarnia
St Catharines
County of Renfrew. .
CiHinty iif Renfrew...
KinKston
S.iult St. Marie
I'..rt .Vrthur
Ciirlcton County
O.ilt
9.000
13.471
I0r.!9
ZS.OOO
H7.349
I0.'I74
60,000
72.000
dO.OOO
9O,U0O
100.000
100,000
123,000
100.000
150,000
142,000
I.SO.00O
173.000
190.000
105.U9I
93.247
.loo.noo
218.300
!..<i.<;4.06l
10&20inst.
20 inst.
20 inst.
10 inst.
20 years
. 10 & 15 yeai
20 years
30 years
20 years
20 years
20 years
20 inst.
20 inst
30 year ser.
IS years
20 years
20 & 30 inst.
20 inst.
30 years
A. E. Ames & Co.. \Vr od Gundy & Co..
and Dominion Securities Corporation
Wood. Gundy & Co.. Dominion Securities Co
A. E. Ames iS: Co.. and Halsey.
Stuart and Company
A. E. Ames & Co.
T. T. Farmer
Local Investors
W. L. .McKinnon & Co.
A. Jarvis & Co.
Hrent. Xoxon & Co.
A. Jarvis & Co.
Local Investors
A !■:. Ames & Co.
Wood. Cundy &Co.
Wood. Ciundy & Co.
Brent. N'oxon & Co.
A E. Ames & Co.
C. H. Burfiess&Co. \
C. H. Burgess & Co. *
Wood. Gundy & Co.
Wood. Gundy & Co.
Wood. Gundy & Co.
Dominion Securities Corp.
Brent. Noxon & Co. I
Brent, .\o.\on & Co. )
A. E. Ames & Co.
Local Investors
90.317
ss.u«
. 95.56
"97^77
100 00
97 09
96. IK
9«.53
93.11
97.00
9:<..'.0
89.9
re. '587
89.228
96 09
10 years
20 inst.
20 years
J. *M. Robinson & Sons
J. .M. Robinson & Sons
a. .M. Robinson & Sons
98 00
94.00
95 33
Eastern Securities Co.. Ltd.
Versailles. Vidricaire & Boulais
Mnnllniui—
Brandon S. I)
Pipcilonc K .M
PipMtonc H.M
S0.000
IS.OOO
w.ilao
A. E. Ames S- Co.
Harris. Read & Co.
Harris. Read ft Co.
HtKhalrhrwiin—
So-l<at,.,in
North llatlloford (Trca»
Various
Locally
Plcdncd with L'nion Bank
W. L. .McKinnon & Co.
W. L. .McKinnon & Co.
Sask. Life Insurance Co.
W. L. McKinnon & Co.
4 IIUrOKATION
Ontario Smelters * KcKncrs. Ltd
Northern Light RIyii. Co
Howard Smith Paper Mills. Ltd
Shawlnignn Water* Power Co
iVl.oOO 7
sno.flOO I 7
20 year ser.
10 years
15 years
6 years
Tanner, Gates It Co.
Ncsbitt. Thompson & Co.
Aldred A Co.. Brown Bros. & Co.. Alex. Brown & Sons
and Jackson & Curtis
Julv 9, i;<:^o
THE MONETARY TIMES
27
The British Canadian and General Investment
Company, Limited
Report of the proceedings at the Ninth Annual General Meeting of the Company held at the Registered
Offices, 4 Moorgate Street, London, E.C.2, on Tuesday, the 15th day of June, 1920,
at 12 o'clock noon, Mr. Charles P. Johnson, Chairman of the Company, Presiding
The Notice convening the Meeting and the Report of the
Auditors having been read.
The Chairman said: Gentlemen, — I presume it will be
'ur pleasure to take the Report and Accounts as read.
The Accounts show an increased profit of nearly 50 per
cent, over last year, about £1,500 of which is accounted for
by the abnormal rate of e.xchange which prevailed during
the latter part of 1919. I may perhaps say that in addi-
tion to the profit shown in the Balance Sheet we have
credited the Reserve Account with about £3,300, being the
balance of profit upon the sale of securities held prior to
1915. The only item in the Accounts to which I need draw
special attention is the amount appearing as Trustees Fees.
In the past, such fees as we have received have appeared as
part of the general receipts under the heading of "Interest,
Commission, etc.," but this part af our business is now be-
coming sufficiently important to warrant our putting it in
as a separate item. The amount will, I hope, be substantially
increased during the current year. The prospects for 1920
are favorable, and I shall be disappointed if the figures do
not show an improvement upon those in the Balance Sheet
now before you. Mr. Mytton was able to pay us a visit in
the early part of this year, and gave a very encouraging
account of the position of our affiliated Companies, and since
his return to Canada he has written to us saying that things
look even better than he had hoped would be the case. Our
friends who distinguished themselves so much in France
during the war have now returned to their work in Canada,
and are very hopeful as to the future of the Companies
which they direct, and in which we are so largely interested.
t It will interest you to know that whilst Mr. Mj-tton
i was over here we went very carefully into the value of our
' investments and that my estimate of their value as at the
31st December last is about £17.000 in excess of the figure
at which they stand in the Balance Sheet, and if we add
our carry forward and appropriation for reserve, the sur-
plus is increased to over £23,000, which would make the in-
trinsic value of our Ordinary Stock about ll'j'r. You w-ill
understand that this is largely an estimate as a consider-
able proportion of our securities have no Stock Exchange
I quotation, but we believe that our valuation has been made
I upon conservative lines. There has probably been some de-
I preciation since the end of last year as many .securities
have diminished in value during the last few months, but I
"link I may say the surplus still remains at a substantial
irure.
You will notice that we recommend that the sum of
£4,000 should be placed to a special reser\e for taxation
I which is perhaps a somewhat unusual thing to do. Our rea-
I sons for doing this are, first, the imposition of the Corpora-
tion tax by the Chancellor of the Exchequer. We do not
' know yet if this tax will be levied upon Companies such as
' ours, but we feel it is wise to make provision for it. In ad-
dition to this, the amount we shall have to pay for Income
Tax is bound to be substantially increased in future years
as we shall soon lose the benefit we at present enjoy of
bringing the lean war years into average, and it seems to us
to be in your best interests to set aside part of our profits
during years when we have special sources of profit which
may not recur, to meet the increased charge under this head,
which is boun<l to appear in our future account.^. The charge
for Income Tax will be somewhat higher in 1920, but I hope
we shall not feel the full effect of the increa.se until 1921,
and that we shall be able to add a substantial amount to this
particular reserve during the current year. It is really in
the nature of a reserve for the equalization of dividends,
and we hope the provision of a fund of thi.f nature will
'immend itself to you as a wise and prudent step which will
nure to your benefit in years to come.
I do not propose to say much on this vexed question of
taxation, but I feel 1 must say that if the Corporation tax
is levied upon such Companies as ours which have necessarily
had to pass through a very difficult lime during the War, it
will be a little hard upon us especially as we have not taken
into account during the past few years any interest which
was unpaid owing to the difficulties crcatinl by the War,
and we may now hope to recover some of these arrears which
I am afraid may be considered income for the year in which
they are received and will be subject to taxation which
would not have been incurred if they hud been punctually
paid. Consequently, wj shall suffer doubly, first by the de-
lay in payment of this interest and secondly by its being
taxed when received to a considerably greater extent than
would have been the case had we received payment when it
was due. The ccst of the War must, of course, be paid in
■ some way and we have no desire to shirk our fair share of
this cojt, but we who are not profiteers but sufferers from
the War, do not feel we ought to be asked to pay more than
our fair share and you may rely upon us to use every effort
to avoid doing so. But this question of taxation is one over
which we obviously can have little, if any, control, and as I
have already sai<l, we think it wise to make such provision
as we can for eventualities in this direction.
We are not ashamed of what we have done during the
War as we have subscribed in all well over £100.000 towards
various War Loans and have generally lost money by doing
so. I may perhaps tell you that our profits for 1919 would
have been some £1,300 larger had we not, in response to
the Chancellor's appeal, borrowed a considerable sum for
the purpose of talking up £20,000 of the Victory Loan.
I do not think I need detain you any longer. I will
only repeat that the prespects for the immediate future are
not unfavorable, although our expenses must inevitably in-
crease, and that our advices from the Great Dominion in
which we are so largely interested are of an encouraging
nature. I hope at the end of next month to be able to pay
a visit to Canada and to spend some time there in ord^ to
see for myself how things are going, and I trust I shall be
able to bring back a favorable report.
I think you will agree with me that we are much In-
debt?<l to Mr. Mytton for the very able way in which he
has looked after our affairs on the other side, and I feel
sure I shall be carrying out your wishe.t if I tell him that
you appreciate his efforts during a very difficult and trying
time.
We are very glad Mr. Bury is able once more to be with
us after some years spent on active scrx-ice.
I should like to express our thanks to our Staff who
have done really excellent work. I am very fortunate in
having such ndniirable assistants, and I am particularly gliid
that our Secretary, Mr. .Ashton. is again with us. after sev-
eral trying years in Egypt and Palestine. I can a.tsure you
that his return is very welcome to me.
Mr. T. G. Scott, the Vire-Chiiirmnn. in seconding the
motion for the adoption of the Report and Account*, men-
tioned that the Board had In-en iible to arrange with the
Managing Directors to renew their .AgreenK'ntu with the
Company (which expired some time ago) for n further
period of 5 years on terms which the ri'moining Diroctorii
considered very satisfactory.
After the Chairman had answered various questions,
the Accounts and Balance Sheet and the Director's Report
thereon were adopted, and a dividend at the rate of 5 per
cnt. per annum for the yeor ended 31st December. 1919,
was declared.
Mr. H. F. Chamcn was n'-idcrted a Direct.
Comp.'>nv. the Auditors were rc-appointod. and th'
ings terminated with a cordial vote of thank
Directors and .Stjiff.
28
THE MONETARY TIMES
Volume 65.
Ontario May Purchase National Electric Lines
Option Secured from Minister ol Railways and Canals, and Ontario
Hydro Commission Recommends Purchase— Government Decides to Make
Thorough Investigation First— Some Strong Objections are Presented
ELECTKIC lines owned by the Canadian National Railways
in Ontario may be purchased by the Ontario Hydro-
Electric Power Commission, if the terms proposed are ap-
proved by the provincial government. The negotiations have
been carried on for some time, and Sir Adam Beck, chaimian
of the commission, submitted a report of the results at a
meeting of the conunission on June 29. The sum of ?6,878,374
is involved, but the province would not have to do any financ-
ing, as the Dominion government has agreed to accept Hydro
Commission 4^2% 50 year bonds, guaranteed by the province.
Report of Hydro Chairman
The report made by Sir Adam Beck to the commission
reads in pai-t as follows: "Subsequent to the Dominion gov-
ernment acquiring the Canadian Northern Railways and the
various electric lines, the chairman of the commission ap-
proached the Minister of Railways and Canals to dcternunc
what arrangement might be made to acquire these electric
railway lines from the Dominion government, thus avoiding
the duplicating and paralleling of electric railways in the
districts in which the municipalities had already voted in
favor of radial railways, as well as in those districts in which
the municipalities contemplated constructing electric rail-
ways. The Minister of Railways and Canals was in full ac-
cord with such a policy, and gave an option to the commission
for the sale of the Toronto Eastern Railway, partly construct-
ed, in the district between Toronto and Bowmanville, upon
which the municipalities subsequently voted and carried by
large majorities.
"At a subsequent conference with the Minister of Rail-
ways and Canals and the sub-committee of the Privy Council
appointed for this purpose, an agreement w-as reached which
the chairman of the Hydro-Electric Power Commission was
prepared to rcconvmend to the commission, that the munici-
palities submit by-laws and agreements for the acquiring and
operation of the properties known as the Toronto-Eastern,
the Toronto Suburban and the Niagara, St. Catharines and
Toronto Railways, which recommendation and agreement was
subsequently approved by the Dominion Cabinet.
Valuations Placed on Lines
"The offer agreed upon was as follows: Toronto Eastern
Railway — I'rice, J706,(I00, payable by Hydro Power Commis-
sion, •!',*! ?p fifty year bonds guaranteed by the province of
Ontario. Toronto Subuiban Railway — On this railway there
are .?2,628,00() of outstanding AM'/'c bonds due 19»U. This
is to be taken over by the Hydro Power Commission, and the
Hydro Power Commission to assume the bonds. Niagara,
St. Catharines and Toronto Railway — Price for this railway
to be S:<,5I4,:!7I.1(1. On thi.>* road there are $l.O!»S,O0n S'T'r
bonds due 1020. The Hydro Power Commission will assume
these bonds and give Hydro Power Commission bonds guar-
anteed by the province of Ontario, 4 4^'f fifty year bonds for
the difference between $1,098,000 and $3,544,374.
"It was under.stood in the di!*cussion with the sub-com-
mittee of the Dominion Cabinet that the Toronto Suburban
Railway and the Niagara. St. Catharines and Toronto Rail-
way must be taken together.
"It is understood, if the Hydro Power Commission take
over these radial railways on behalf of the municipalities,
it is one of the conditions, in view of the above agreement
will be made for nil traffic as to price; that an exclusive
traffic agreement will be made for all traffic between above
electric railways and the Canadian National Government
owned railways."
Tlie commission at its meeting appi-oved the n-commen-
ilations and offer of the Dominion government, and issued
instructions that application to the Ontario government for
an oj-der-in-Council authorizing the submission of agreements
and by-laws by the municipalities interested in the districts
covered by the above-mentioned lines. The municipalities
interested are as follows: Toronto Suburban Railway — Town-
ships of Etobicoke, Vaughan, Toronto, Chinguacousy, Esque-
sing, Nassagawaya, Eramosa, Puslinch, Guelph. Villages of
Woodbridge, Georgetown, Acton. Towtis of Weston, Bramp-
ton. Cities of Toronto, Guelph. Niagara, St. Catharines
and Toronto Railwaj- — Townships of Niagara, Grantham,
Stamford, Louth, Thorold, Pelhani, Crowland, Humberstone.
\illages of Port Dalhousie, Humberstone. Towns of Niagara,
Merritton, Thorold, Port Colbome. Cities of St. Catharines,
Niagara Falls, Welland.
Government's Announcement
After giving these proposals careful consideration, the
government issued a statement on July 6, reading in part
as follows: —
"While the government realizes the importance of rapid
and economic transportation and is much impressed by the
case presented by Sir Adam Beck and the municipalities,
it cannot disregard the many and serious problems involved
in the proposals now presented for the purchase and con-
struction of hydro-radial railways under government guaran-
tees, and having now reached a conclusion as to the action
it ought to take in the matter, it conceives it to be its duty
to give reasons for the course it proposes to follow.
"Under the provisions of the Hydro-Electric Railway
Act, 1914, and amendments thereto, the commission is auth-
orized to enter upon the construction (or purchase) and
operation of electric railway lines when the municipalities
interested shall, in respect of any proposed line, have signed
agreements containing terms and conditions laid down by
the act, and deposited with the commission debentures to
the amount of their respective shares of the costs of con-
struction and equipment of the line. The commission then
issues its own bonds guaranteed by the lieutenant-govemor-
in-council. The bonds thus issued and sold are, to all intents
and purposes, the bonds of the province."
A review of the radial situation in Ontario, insofar as
it relates to the present negotiations is then given. The
government will appoint a commission to make a thorough
investigation befoi-e taking action. Sir Adam Beck, upon
being informed of the government's attitude, issued a state-
ment pointing out the commitments which had already been
made on behalf of tho j^'overninL-nl.
Objections to Acquisition
Many arguments against the acquisition of the lines
have been placed before the cabinet. In a letter addressed
to the attorney-general a few days ago, A. T. Drummond.
LL.D., who has taken an active interest in this question,
summarized them as follows: —
"(1) Development of hydro-electric power for light, heat
and farm and manufacturers' purposes is to be encouraged,
provided that the capital cost per horsepower developed is
kept within definite limits. No comparative investigation into
both the capital and operating cost of the commission with
those of the largo private companies has ever been made by
the Legislature, and its need is suggestive.
"(2) The industrial expansion in Ontario has been, dur-
ing and since the war. and still continues, so large that all
the hydro-electric power to be developed during the next few
years will be needed for our manufacturing plants, which,
with the increasing requirements of the export trade, added
to those of the home trade, are growing largely both in size
and number. Their needs are vastly more important for our
J Illy
THE .MONETARY TIME
29
Chemical Products, Limited
— An Expanding Industry
A world shortage of chemical products, coupled with an
established and favorable market, have necessitated the
expansion of Chemical Products, Limited, to it.s present size.
Organization on a big scale enables the investor to secure an
interest, and to profit by the growth of the chemical industry
in Canada, through the
8% Cumulative Participating
Preference Shares
Prefern-'i ri< to a^^et? and divi-
dends. No mortpagc indebtedness.
Consen-ative capitalizntion of
11,700,000 Preferred c.nipared »-ith
net assets of over S.},000,000.
A conseri-ative estimate of net earn-
ings would be S1,4S.3.0S<S r>er annum —
equal to elevin tinic-s Prcfrrrrd .Stock
dividend!>-^Ifavinc a surplus equal to
$18 per share on ootstandiSK Common
Stock.
.^fter puyinK diridends equivalent to
$,S per share on both Preferenea and
Common shan-s. a further equal divi-
dend may !<.• paid on Ixilli Prefercni-<'
anil (^jmmon.
Di^ idinds payable in New York funds
increasing yield to about Sfi at pro-
w»nt rate of exchange.
Price;
100, with a Bonus of One Share Cor
Stock with each Share Preferred.
Write us to-day for
Descriptive Circular
PlRAHAM,8ANSON&ro.
\J INVESTMENT BANKERS V
Members Toronto Stock Exchange
Toronto General Trusts Building
TORONTO
prosperity than electric railway lines which are not a neces-
sity and will only give accommodation to local travel and
local freight, and in nearly ever>' case would be directly
competitive with the existing steam lines.
"(3) Except in the rare districts densely populated and
where pleasure travel can be secured from the large cities,
interurban electric railways, although built at a moderate
cost per mile, have in the past failed to pay (see Canadian
railway statistics annually published at Ottawa), and thiis
the enormous estimated cost of the.se projected hydro-electric
railways— from three to five times what the steam lines in
Ontario originally cost— will have the additional heavy load
to bear annually of several millions of dollars of interest and
sinking fund, and of the always needed renewals year by year.
"(4) Many hundreds of miles of railway lines have been
suneyed by the Hydro-Electric Commi.ssion in all parts of
eastern and south-western Ontario— the early estimate was
lor l.lidu niiloii of inl< ndcd road— Uic laU.-3l raihvaj.s bruiiKlit
before the people for a vote beintj set down as contlnK alwul
5134,00(1, ;fl92,000 and *iy6.0iiii per mile, rcspt-ctively. 1 he
Ontario government can readily estimate how these road^
would, if built, entail a cost of between $160,000,000 nnd
$250,000,000, and can, by laying them out on the map of
Ontario, see that in most cases they will be directly com-
p<>titive with the steam roadc — in one case paralleling lhic«
other railway.-i, and in another case two, .and that »omctimi»
they will be built into di.Htrirt-i where the population in thin,
and' the prospects of traflic. to a railway expert, poor.
Financing Would he Difficult
"(5) The large experiences in electric railroads in the
United Slates have been for several years imsatisfactor)-,
even before the war, and the commission would And it ini-
THE MONETARY TIMES
Volume 65.
possible at any price to float with New York bankers, bonds
lor these projected roads, unless with the direct guarantee
of the Ontario government to provide the interest and prin-
cipal.
"(6) The increasing experience of the United States gov-
ernment and of the general public there, is that the day of
the electric railway of the past is gone, and that for all
medium and short distances up to, even over, one hundred
miles, the 5-10 motor truck for freight and the large motor
'bus for passengers will, with good roads, serve the public
better, because the truck and 'bus are not limited to a fixed
immovable track and definite stations for receiving and de-
livery, but can go wherever the business reiiuires them. The
United States Post Oflicc has been experimenting for two
years over many routes with trucks for parcel delivery. To
illustrate — one route was 183 miles outside New York and the
truck started at 4 a.m., arrived at New York post office at
1 p.m. the same day, and all of its farm produce and parcels
from the towns were in consignees' hands by 5 p.m.
.Municipalities Will Not be Liable
"(7) Under the agreement they are required to sign, the
municipalities, if they ever had any rights, give Up every
right in these railways, even if the roads become bankrupt,
and every Canadian banker knows that the Ontario govem-
mcnt guarantee alone will float their bonds, and that in the
event of deficits, that government will have to meet them, as
the municipalities in most — perhaps all — cases will repudiate
responsibility and allege that they were led into the loss
through the representations of the government's hydro-elec-
tric commission which alone owns, built, operates and entirely
controls these railways. The huge load of bonds which the
municipalities, with careless indifforcnce. are handing over to
the hydro-electric commission for an alleged security which
financiers do not recognize, will injure the financial standing
of those municipalities when they come to borrow for other
purposes. The legislature should place some restriction on
such issues, for many municipalities could not pay them if
called on. '
"(8) Every railway's experience — and the Ontario gov-
ernment's own road in northern Ontario illustrates this — is
that each year or two years, new bond issues ha\e to be made,
and, in this case, further guarantees given, to pay for addi-
tional rolling stock, new sidings, double tracks, and scores of
other betterments. This means additional financing on a very
considerable scale from time to time in the early future.
Losses Already Incurred
"(9) The only experience of the Hydro-Electric Commis-
sion in railways is in the London & Port Stanley Railway
electrification, and as I have often, in the press and to the
late government of Ontario and members of the commission,
shown (see also London Advertiser of 10th inst. and The
Globe of 22nd inst.), the statements given to the public arc
quite misleading as to its alleged surpluses, the actual re-
sults showing a large deficit every year.
Not Good for Freight Business
"(10) The concenti-alion in two or three centi-al plants
of all the coal consumed on as many railways, and its utiliza-
tion in these plants in producing steam power to be trans-
mitted electrically throughout those railway lines, and in re-
placing steam locomotives, means economy in coal and power,
and can. and probably will, be a<lopted on short systems of
the steam roads, but hero the similarity to the electric road
would end, as in other respects such roads must continue to
operate on stt-am road principles. The electric road of the
■present day caters to frequent but slower trains with numer-
ous convenient stops; to the people who are going short dis-
tances, and to very low fares to attract the multitudes where
possible. As a rule, the fi-eight business on electric lines has
not been enrniiraged in the way it could h:ive been, due in
part to the frequent passenger trains and the need of double
tracks. Especially in the package freight and the farmers'
produce, the motor tnick is in the United States found now
'•1 he much mor*" sei-viceable, and motor 'busses are coming
into vogue with the improved roads."
PUBLICATIONS RECEIVED
English Public Finance, from the Revolution of 1688.—
Bankers' Trust Co., New York.
After fighting the greatest war in her history, taxing
herself to an unprecedented amount to pay the expense,
and loaning billions of dollars to her allies. Great Britain
is emerging from the first year of peace so little shaken
financially that her recent outpouring of capital for de-
velopment of private business exceeds all previous records.
IIow has Britain achieved this prodigy of finance? The ex-
planation appears in this study of English public finance,
which has just been issued in book form by the Bankers'
Trust Co., of New York.
Even allowing for universal knowledge of the tremen-
dous cost of the world war it will, perhaps, surprise many
people to learn that England's burden alone for the six
years of war and its aftermath, exceeded her entire govern-
ment expenditures for the previous. 225 years. It should
be remembered, too, the national spending during these 2^
centuries included costs of eight major wars which, in their
time, were considered appalling. More significant still is
the fact that during the world-war period, the British people
actualy paid, in taxation and other forms of contribution to
their war expense, more than one-third as much as they had
been required to pay in support of their government during
the preceding 225 years.
Handbook of Ontario. — Published by the Department of
Agriculture of the province. Ontario's resources and op-
portunities are fully described in this book of 300 pages.
Illustrations and a map of the province are also included. It
will be an effective means of making the province known
outside of Canada.
Toronto Municipal Year Book, 1920. — This book is pub-
lished under the direction of Hubert Groves, and is issued
by the Municipal Intelligence Bureau. It contains 144 pages
of interesting facts and information about the city, and is
handsomely illustrated. Besides information as to civic gov-
ernment, municipal finances, improvements, taxes, works and
parks, the book is tastefully illustrated. An index of sec-
tions and also a general index is placed on the front page.
Crop Production in Western Canada. — By John Bracken,
Professor of Field Husbandry, University of Saskatchewan.
The Grain Growers' Guide, Winnipeg, Man. 423 pages; $3.
Profitable Grain Growing. — By Seager WTieeler. The
Grain Growers' Guide, Winnipeg, Man. 351 pages; $3.
These two books are the first of a series on farming,
published by the Grain Growers' Guide. Both the authors
are well known in Canada, the one by reason of his contri-
butions to the science of agriculture, and the other through
his services in grain-growing in the west. The first-men-
tioned book is a comprehensive one, giving a brief history of
the principal grains, and describing their adaptability to
western conditions. The second describes the practical opera-
tions of farming, the various seasons and the marketing of
grain.
Essays on Wheat.— By A. H. R. Buller, Professor of
Botany at the University of Manitoba. The Grain Growers'
Guide, Winnipeg. 339 pages, with index; $2.75.
.Agriculture is now receiving considerable attention in
the form of books, and it is fitting that Canada's achieve-
ments in wheat-growing should receive special treatment.
In this book Mr. Buller tells the story of Marquis wheat, of
which approximately 250.000.000 bushels were raised in
North America in 1917 and 300.000,000 bushels in 1918. It is
an interesting and unusual story, as may be seen from the
fact that all the Marquis wheat in existence came from a
single grain planted in an experimental plot in 1903. Among
the other topics which Mr. Buller considers are the early his-
tory of wheat-growing in Manitoba, wheat in w^estem Can-
ada, the origin of "Red Bobs" and "Kitchener" and the wild
wheat of Palestine.
July
THE MONETARY T I M K S
The Call of the Rapids
I am the RapiJi—A nw.lcap Sprite,
I laugh and sing— I hounJ and splash.
A/y merriment shines in the ahirling lines
Of the aalcr's foam and crash.
I race the hoals as the}/ soeep alonf
Through mji Bxjvci in svifl career.
I call to the niortuls Biho enter my portals.
And hid them come haclf each vear.
NO one can experience the ihrill of a trip through the Rapids of the St. Lawrence
without then and there registering a vow to return again to that glorious River
which is a. part of the trip from
''Niagara to the Sea
99
The boats that make this journey are luxury-
ships- splendidly appointed, celebrated (or their
:uisine.
They take you from Lewiston across LakeOnlario
to Toronto -thence through the Thousand Island,
to Prescott. Then comes the descent of the Long
Sault the Lachine. and the other famous Rapids.
Montreal is visited, then Quebec. Here the travel-
ler does well to linncr taking the side trip t^ St.
Anne de Beauprc. A few miles dov
the River
are Murray Bay and Tadousac. beautiful sumtntr
resorts made doubly attractive by their splendid
hotels. The canyon-like scenery of the Saauenav
forms a fitting climax to this Vacation Trip thtou(th
Canada's lairvUnd. The supreme moment is
reached when the bont apptonchr. Capes Trimly
and Eterniiv. those mik-htiest of all the promon-
tories that lower above the Hark water, of this
maje.tic strrnm Before making your vacation
plans, you should obtain full information regarding
this wonderful Hont Trip.
Send 2c. pallagf for itluHralfd boohltl, mnp <.nrf «oi
JOHN F. PIERCE. Patttnttr Traffic Manafrr. Ca
Sitamlhin Linf. 208 K. A O. Bldf.. Monlfal. Cai
CANADA STEAMSHIP LINES, LIMITED
32
THE :\I 0 X E T A R Y T I JI E S
Volume 65.
DIVIDENDS AND NOTICES
The Canadian Fairbanks-Morse
Company, Limited
Preferred Dividend No. 30.
Notice is hereby given that a semi-annual dividend of
:; per cent. (3%) on the Preferred Stock of this Company
has been declared due and payable on the fifteenth day of
July, 1920, to stockholders of record at the close of business,
June 30th, 1920.
By order of the Board.
185
THE MERCHANTS BANK OF CANADA
QUARTERLY DIVIDEND
Notice is hereby given that a dividend of Three per
cent, for the current quarter, being rit the rate of Twelve
per cent, per annum, upon the Paid-up Capital Stock of the
Bank, was declared, payable on 2nd August next to Share-
liolders of record on the evening of lath July, dividends on
new stock, computed in accordance with the terms of issue,
to be at the same rate.
By order of the Board.
n. C. MACAROW,
General Manager.
Montreal, 28th June, 1920. 184
NOVA SCOTIA STEEL & COAL CO., LTD.
DIVIDEND NOTICE
A dividend of two per cent. (2';'r) on the Preferred
stock and one and one-quarter per cent. (1%%) on the
Ordinary stock of the Company has been declared payable
on the 15th of July, 1920, to shareholders of record at the
close of business on June ^Oth, 1920.
By order of the Board.
THOMAS GREEN,
New Glasgow, Nova Scotin. June 20th, 1920.
Cashier.
183
nO.MINION TEXTILE COMP.VNY, liMlTFn
NOTICE OF DIVIDEND
A dividend of one and three-quarter per cent. (l*4'"r)
on the Preferred Stock of the Dominion Textile Company,
Limited, has been declared for fh.c quarter ending 30lh June.
1920. pnyablr July 15lh to shareholders of record June 30th,
1920.
By Order of the Board.
J.AS. H. WEBB.
Secret* rj'-Troasurer.
Montreal, 31st May, 1920. 162
$5,000.00
TOWN OF CAPREOL, ONTARIO
67c FIRE PROTECTION EQUIPMENT
Sealed bids will be received by the undersigned up to
and including July 24th, for the purchase of §5,000.00 Fire
protection equipment bonds, to be issued by the Town of
Capreol, bearing 6% interest and due from one to ten years.
W. H. MATHEWS,
182 Clerk & Treasurer.
$12,000.00
TOWN OF CAPREOL, ONTARIO
6% ELECTRIC LIGHT BONDS
Sealed bids will be received by the undersigned up to
and including July 2-lth, for the purchase of $12,000.00
Electric light bonds to be issued by the Town of Capreol,
bearing 6% interest and due from one to twenty years.
W. H. MATHEWS,
181 Clerk & Treasurer.
CITY OF TRAIL, BRITISH COLUMBIA
Sealed tenders will be received by the undersigned up
to 7.30 p.m. on Monday, July 26th, 1920, at the City Hall,
Trail, B.C., for $9,000.00 Local Improvement Cement Side-
walk Debentures bearing 7 per cent, interest, payable semi-
annually. Principal payable in 1930. Principal and interest
payable at Trail, Toronto or New York. Denomination of
bonds $500.00.
Wm. E. B. MONYPENNY,
179 City Clerk.
Condensed Advertisements
"Positions W.ir:c,l.--Jc rcr word ;ill other Cunjciisi-J ulvcrliscments.
4c. per word. .Minimum ch.^rKe for any condensed advertisement. 50c
per insertion. All condensed advertisements must conform to usual
style. Condensed .idvcrtiscmcnts, on account of the very low rates
charBcd for them, arc payable in advance : .'^O per cent, extra if charged
ALBERTA COAL LEASES
FOR SALE
In the well-known Carbon District, near Calgary.
C. P. R. now constructing i-uns through land and should be
completed this Fall.
For full reports, etc., apply to
CARBON CREEK COAL SYNDICATE.
511 Beveridge Building, Calgary Alta. 173
Forty Alberta agents of the New York Life held a con-
vention in Calgary on June 24th.
Plans are under way for the calling of another national
industrial conference in Ottawa, at which both capital and
labor will be in attendance. The appropriation for this
purpose was provided by parliament in the department of
labor estimates which passed during the last week of the
recent session.
July 9, 1920 THE MONETARY TIMES 33
uiiiiMiiiiiiiiiiiiiiiiuiiiMiiiiiiniiiiiiiiiiniiiiiiiiMiiniiMiiiiiiiiiiiiiininniiiiiiiiiiiiMiiiuniiiiiiiiiiiiiiiiniiiniiiiiMMiiiiiiiiiiiniiiiMiiiiiu
I CHARTERED ACCOUNTANTS \
TiiiiuiiiiMiiiiiiiiiiiMiiiiiiiiiiniiiiiiiiiHiuiiiiiiiniiiMiiiiuniMUiiiiiuiiiiiMiniiiiiiiiiiiiiiiiiiiuiiuiiuiiiiiiiiniiiiiiiiuiihiiiiiiiMiuiiiiiiii^
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OFFICES AT
Edir.ontoo - Alberta
Toronto Oot.
CHARLES D. CORBOULD
Cktrtcred AccooDltnt and Auililor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipes
HARBINSON & ALLEN
C/M.lr-r/ .-(crcounldnl,
408 Manning: Chambers
TORONTO
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Bank of Toronto Chambers
LONDON ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
W. A. Henderson & Co.
Chartrlrd A.
lounlatits
508-509 Electric Ri
ilwijr CktBbrri
Winnipef
M».
W. A. Henderson. C. A.
J. J. Cordnrr. C-A.
C»hlo Ad.Irm '(Irml.r"
Wr^trrn Lnmn Cr«lr
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street Weft - TORONTO
AND AT:-
HAMILTON
WINNIPEG
CLEVELAND
D.
A. Pender, Slasor& Co.
CHARTERED ACCOLNTANT.S
805
Coniederatioo Life
WiDnipeg
Bnilding
SERVICE
Thorne, Mulholland, Howson & McPherson
CHARTERED ACCOUNTANTS
Specialiiti OS Factorv Costs ahi PBonicnos
Bank of TORONTO
Hnmillon Bids.
Hubert Reade
Cb.rUrtd Ac
Audiloti
407 408 MONTREAL
WINN
& Company
counlmli
. Etc.
TRUST BUILDING
PEt
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone M.in 7011
LUMSDEN BUILDING - TORONTO. CANADA
RONALD, GRIGGS & CO.
RONALD. MERRETT. CRICCS * CO.
^i,.„lr.,.! 4r.. ....«.."!• !...(. I. 't.
J,„.<rr. / 1U..I./.1I.'.
Winniper. Toronto. S«ilnloop,Moo»eJ»w,
Montreal. New York. Loodo.. Enf.
CLARKSON, GORDON & DILWORTH
Chartered Accountants. Truofee*.
Rece'vers. Liouidalors
Merchant. Bank Bldg.. IS Wellington Street We.t Toron(
O.T. Cl«rl4«
K^tjWi^h.d I'JH R J. nilwot
F. C.S.TURNER &C0.
Chartrrrd Account.nl.
TRUST A LOAN BUILDING. WINNIPEG
Your card hffe would ensure ,1 hr,„e i.r» hy the principal
financial and commfrcial inlrrein •» Canada.
■Isi ahr.ut special rules f'-r ihisfiatf.
RUTHERFORD WILLIAMSON k CO
Charlr'td Acctnmtanli, Tri'lrf J-a
a« At.fl..ir .: STUMT B«rr. T"KONTO
DO* MclliLl. IluiiniKo, MOMBKAL
Cjhle Addr»«.-' WILLtO "
Kc["r«rnled At HalifJt. SI. Jph". Wmniprrl.
HE MONETARY TIMES
Volume 65.
FIRE COMPANirCS WIN BEFORK I'RIVY COINCII.
(Juebif Railway, l-ight. Heat and Power Company Held
Liable for Damage Caused by Wires, After Insur-
ance Companies Had Pointed Out Defects
WHERE improvements for purposes of safety and fire
prevention are advised by fire insurance companies,
it is the duty of electric power supplying companies to install
these improvements. This is the substance of an important
legal case recently decided by the Privy Council of Great
Britain, on appeal from the Supreme Court of Canada.
The case originally began in 1912, when, after numerous
fires in Quebec City, the insurance companies interested ap-
pointed an investigator, who found that many of the fires
were caused by improper conducting apparatus, and who rec-
omnionded that conditions be improved by grounding all
transformers at their neutral point, which promised to be the
only remedy easily available to the operating company. Un-
til the fire in the present case no steps were taken by the
operating company to follow the advice given.
First Decision Against Company
In the present case the judge of the Superior Court of
Quebec found the Quebec Light, Heat and Power Company
responsible and they were ordered to pay $60,000, plus inter-
est and costs. This decision was appealed to the Court of
King's Bench, and the Quebec Light, Heat and Power Com-
pany was found not responsible. The insurance companies
then appealed to the Supreme Court of Canada, which reaf-
firmed the decision of the Superior Court, and the Quebec
Light, Heat and Power Company was thus again held respon-
sible by a majority of one.
But permission was given to the respondents (the Que-
bec Company) to appeal to the Privy Council, which, after
careful consideration of the law applicable and of such facts
as were admissible, decided that the Quebec Light, Heat and
Power Company were responsible for the fires in that it had
not attempted to relieve itself of responsibility by following
the advice of the insurance companies.
Facts of the Case
The facts of the case and the pertinent parts of their
Lordships' decision are as follows:
"The appellant company generates and distributes elec-
tricity in the City of Quebec and its neighborhood, and along
the St. Voyc Road the company had erected poles carrying
two overhead cables, a primary cable charged with electricity
at 2200 volts, and a secondary cable from which electricity
was supplied to the houses at 108 volts. There were many
trees along the i-oadside and in the adjacent enclosures, and
8t the time in question a violent wind had toi-n a branch,
coated with frozen rain, from a poplar growing some distance
from one of the enclosures and had driven it against these
cables, though many feet away. They broke down in conse-
quence, and thus the high-tension electricity found its way
along the secondary cable into the customers' houses and set
them on fire. For the loss thus caused, the present action
was brought against the appellant company.
"The powers under whicli the appellant company carries
on its undertaking are statutory and are contained, some in
private an<l .'iome in public statuti's. The powers which these
statutes give are of a very familiar type. The undertakers
are authorized to carry and distribute high-tension electricity
over cables which may be either overhead or underground,
and one section expressly provides that the company may
erect, equip and maintain poles in the streets for the i)urpose
of working and maintaining its lines for the conveyance of
electric i)o\ver, upon, along, across, over and under the same.
It was eiintended by the respondents (tlie insurance com-
panies) that ."subsection (e) of this section, by the words, 'the
lompany shall be responsible for all damage which its agents,
, ervants or workmen cause to individuals or property in car-
i>ing out or maintaining any of its said works,' made the
( ripipany absolutely liable for the damage sued for in the
present case. Their Lordships think that, as an indepiiident
cause of action, this case fails. The damage here is not, in
any view of the construction of the sub-section, caused in car-
rying out or maintaining works.
Company's Rights Not Absolute
"The appellants, however, rely on the authority to carry
their wires overhead which the statutes give. The applica-
tion of enactments of this kind is familiar and well settled.
Such powers are not in themselves charters to commit torts
and to damage third persons at large, but that which is neces-
sarily incidental to the exercise of the statutory authority is
held to have been authorized by implication and therefore it
is not the foundation of a cause of action in favour of strang-
ers, since otherwise the application of the general law would
defeat the purpose of the enactment. The legislature, which
could have excepted the application of the general law in ex-
press terms, must be deemed to have done so by implication
in such cases. Nor need a use of the power c:>nferred, which
is injurious to others, be excluded from the ambit of that
which is necessarily incidental to their enjoyment merely be-
cause the progress of discovery or invention reveals some ex-
traordinary means of preventing that injury to others which
has previously been unavoidable. This point arose and was
settled in connection with sparks falling from locomotive
engines many years ago. It, therefore, becomes necessary
to consider how far such an escape of electricity as took place
in this ease was incidental to the use of overhead cables and
how far and by what reasonable precautions injurious conse-
quences were preventable.
"The question whether it was necessary to hang the two
sets of cables on the same poles or in such proximity to one
another that the fall of the branch upon one would lead to
the flow of the high-tension current into the other, hardly
seems to have been examined at the trial. The main conten-
tion is this: That if the wires of the transformei'S, which are
used at intervals along the line of cable, had been grounded,
the escaping high-tension electricity would have found its
way innocuously to eai'th instead of entering the houses and
setting them on fire. The. value of this precaution has been
established by the experience of several years, but it was the
view of some distributors of electricity and of the defendant
company among them, that there was an offset to this advan-
tage in the fact that, if the wiring of the customers' houses
was defective, the grounding of the transformer wires would
substitute new difficulties for the old. It was not, however,
shown that the wiring of the plaintiffs' houses was defective
to this extent, although it was 'demode,' nor did the evidence
compare the one disadvantage with the other quantitatively.
The company could have inspected the wiring and, if it was
not safe, could have declined to supply current. It is plain
that the company was quite willing to have carried out the
grounding of the transformer wires, if the representative of
the fire insurance companies, who advised this coursa, had
given an instruction instead of a recommendation. The lat-
ter naturally pointed out that they had no authority to issue
instructions, but must confine themselves to advice, and ao
their Lordships are neither prepared to assume that this re-
quest on appellants' part for instructions was a mere quibble,
designed to disguise their own reluctance to do anything, nor
even to infer that they saw any objection to the proposal ex-
cept the expense of it, they conclude that the grounding of the
wires of the transformers would, some substantial time before
the accident in quesliton, have been a practicable and efficient
safeguard against the injury which in fact was inflicted. If
so. it is impossible to say that the escape of electricity into
customers' houses and the consequent damage in time of
storm was a necessary incident of the exercise of the power
to distribute high-tension current by overhead cables along
roads, such as would by implication relieve the company from
liability for the consequences."
"Their Lordships will humbly advise His Majesty that
this appeal should be dismissed with costs."
Work on the new offices of the London and Western
Trusts Co. in London, Ont., commenced on June 28. The
William F. Sparling Co., of Toronto, and Brantford, have the
contract, which will call for an expenditure of approximately
?100,000. The building will be completed by D?tember 1st.
•'"'y ^' ^^-^ T H E M O N E T A R Y T I M E S 35
^"■■"■"">" '■<■■■'< iiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiu
I REPRESENTATIVE LEGAL FIRMS I
^"■"'■" iiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii I iiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiniiiiiiiiiiiiiiiiiiiiiiii I iiiiiiiiiiiiiiir
BRANDON LETHBRIDGE, Alta.
REGINA
KILGOUR, FOSTER & McQUEEN
Barriiteri, Solicitori, Etc., Brandon, Mu.
Solicitors for the Bank of Montrea:. The
Royal Bank of Canada Hamilton Provident
and Loan Society. North American Life
Assurance Company-
Conybeare, Church
& Davidson
Barristers. Solic
tors. Etc.
Solicilurs for Bank of Mo
ntrcal. The TruM
and Loan Co of Canada.
British Canadtiin
Trust Co.. &c.
ftc.
C. F. P. Conybeare. K.C.. H
W. Church. M.A.
K. R. Davidson.
LL B
Lethbridge
Alta.
J -^ Alun, LL H. K C H M Alun.B.A
A L Gordon. K C R H OorJon. H C L
ALUN," GORDON &^GORDON
Barrittmra, SoiicitorM, Ac.
RF CINA. SASK.. CANADA
Sohcitor., for Imperial Bank of Canada
.Merchants Bank of Canada
CALGARY
Charles F. Adams, K.C.
Bank of Montreal BIdg.
CALGARY - ALTA.
W. P.W.Lent Alex. B. .Mackay. M.A..LL.B.
H. D. .Mann, M.A.LL.B.
LENT, MACKAY & MANN
Barrlaters, AoUcllorH. Notarlei>, KIc.
305 Grain lixchange Bldg . Calgary. Alberta
Cable Addrtts,' Lenjo." Western UnionCode
Solicitors tor The Standard Bank of Canada.
The Northern Trusts Co. Associated Mort-
gage Investors. Ac.
Hon. Sir James Lougheed. K.C. K.C.M.G..
K. B. Bennett, K.C, J. C Brokovski, K.C
A. .M. Sinclair, K.C. D, L. Redman. H. E.
Forster. P. O. McAlpine. O. H. E. .Might. L.
M. Roberts. 'Cable Address "Loughnett")
LOUCHEED. BENNETT & CO.
Barristers. Solicitors, Etc.
Clarence Block, 122 Eighth Avenue West
CALGARY. ALBERTA, CA.VADA
J A Wright. LL.B. C. A. Wright. B.C.L.
WRIGHT & WRIGHT
Borristen, Solicitori, .\otariei, htc.
Suite 10-15 Alberta Block
.CALGARY, ALBERTA
EDMONTON
Hon. AC. Ruthirford, K C..LL U
F. C J;«micson. K C. Chas. H. Grant
S. H. .McCuaig Cecil RutherforJ
RUTHERFORD, JAMIESON
& GRANT
BarriMter*. Solicitort, Etc.
514-18 McLeod Bldg. Edmonton, Alberta
JOHNSTONE & RITCHIE
Barriiters, Solicitors, Notiiriei
LETHBRIDGE Alberta
MEDICINE HAT
G. F. H. LoKQ.
LL.B.
J. W. Sleight. HA
LONG
&
SLEIGHT
B
arriaf
en, etc
MEDICINE
HAT
• nd BROOKS, Alia.
MOOSE JAW
Grayson, Emerson & McTaggart
Barristers, Etc.
Solicitors— Bank of .Montreal
Canadian Bank of Commerce
Moose Jaw - Saskatchewan
NEW YORK
PRINCE ALBERT
COLIN E. BAKER, B.A.
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
SASKATOON
DURIE & WAKELING
Rarrlitrr« and SallrJtors
Solicitori tor the Bank of Hamilton. The
Ore:it Went I'ermar-rnt L,oan Co The
.Mon.ir.-h Life Assurance Co.
t'anailn KullallDK taakalooa, Canada
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
W. J. Howicr 1> 1. I. 1. 1"'J '» >-
I) S Wallhrukr A M.n«ii;U- .' I' r.ihion
BOWSER, REID, WALLBRIDGE
DOUGLAS A GIBSON
Barrlaters. Solicitors. Etc.
Solicitors (or Hank of Hnti.h North America
YORKSHIRE BUILDING
525 geTBoDr St. VANCOUVER, B.C.
VICTORIA
h H M lOUl
Member of Mamloha
and British ColumWa
DUNLOP & FOOT
BnrrialtTK. .Solicitor*
NolJirirs ftnd Commissioner*
6IZ.6I.1 S.rw.rd Bld>.
Viclori. Br.li»h Cotumhin. CjiB«d»
) o«r t
;o.,/ Arrr
uoulJ rmurr it
bfiKC
ifrs
*.i /*<• fir
ncipal flmamdal
anJ
fii
mmtrcial
mttrriH in Coma
ia.
,lit fl*««f
ifireial rclft far
ihit patf-
The Standard Agencies, Limited
Head Office - CA IXi A l< V A M!f' l<T.\
Money to Loan on Improved Farm Lands and City Properlie*
in Western Canada. A. .1. SCOTT <;rn w.njccr
The Tru
slee Company of Winnipeg
322 IMAIN STREET
Ltd.
M.J
A M. DK LA <ilCl^l!J
Ma
naiSinl t>trrct^.
Sm u> (or i
lalHOf Intcrea
Our A«enci
vnuralTairi in t
ve>tmcnl<in allocalid n
Dcp^trlmcnt IS ver^' ac
or charwc.
KUI
ranlisd loanail at
Wtill* out of tO'
Iraclrvc
36
HE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
KaiTiinistiquia Pulp and Paper Company to Locate At Port Arthur-Mill to be Producing
by December-Americans Interested in Newfoundland Puipwood— Baldwin's to Proceed
With Construction of Front's Steel Plant-Power Difficulties Have Been Overcome
PORT ARTHUR is to have a pulp and paper mill in the
near future, according to an announcement made by
C. D. Howe, consultinK engineer, Port Arthur, Ont. The
Kaministiquia Pulp and Paper Co., \vith a capitalization of
$1,000,000, and compose<l pi-incipally of Toronto people,
has leased sixteen acres from the Port Arthur Parks Board
in the north and industrial end of the city, and will pro-
ceed at once with the erection of the first unit, which will
be a thirty ton palp mill. It is expected that the mill will
be protiucing by December.
The company has extensive timber limits east of Port
Arthur, and intends expanding as fast as manufacturing
machinery can be procured, with the ultimate production of
250 tons of newsprint paper a day. U. M. Waite, of New
York, is the managing director. All the necessary machinery
for the first unit of thirty tons has been obtained, and will
be on the spot by the time the building is ready for opera-
tion.
The site of the new mill is immediately north of the
Grain Grower's elevator at Current River. Thirty men will
be employed at the first instance, it is stated. Although the
names of the directorate have not yet been announced, it
is understood that foremost men in the pulp and paper
business in Canada and the United States are included.
Pulp and Paper Notes
Twelve hundred square miles of pulp lands, situated in
Newfoundland, and held under option by S. Duncan McLean,
of Sydney, N.S., are likely to be taken over by an American
sjTidicate in tne near future. The tract, which is valued
at $500,000, will be cruised by surveyors sent to Newfound-
land by the American syndicate. The syndicate has been
formed in the United States to take over this property and
work it, providing the report of the surveyors is a favor-
able one. This timberland is owned by Canadian and New-
foundland interests and is practically a virgin area. It is
readily accessible for cutting.
A famine in fuel oil faces the paper making industry
in British Columbia, and if the famine conies, there may be
no newspapers in Vancouver and Victoria, Seattle and
Tacoma and other Pacific coast cities, as far south as San
Francisco and San Diego. Calgary and Edmonton, .\lberta,
are also affected.
For the most part all newspapers on the Pacific coast
are dependent on the great manufacturing plants at Powell
River and Ocean Falls, B.C., for their supplies of news-
print. These mills are run by steam generated by boilers
heated with California fuel oil. The Standard Oil Co., in
California, has decided that no more oil for export can be
provided, owing, it is said, to the great demand for oil aris-
ing from the coming of many new steamers to the Pacific.
A lake of solid glauber salts, which is one mile long
and 1,000 yards across, and estimated to contain 2,000,000
tons of sodium sulphate has been discovered near Fusilier,
Saskatchewan. .\ syndicate has been formed under the
name of Soda Deposits, Ltd., for the purpose of exploiting
this lake. There is a great demand for. this mineral in the
pulp manufacturing industry and there ia no doubt of a
ready market.
The Fraser Companies have commenced operations at
their tenth saw and shingle mill located in New Brunswick,
situated at Magaguadavic. They will cut about six million
foot annually, this year's cut being at the mill site. An
e'ovonth mill will bo opened at Campbellton next month
and will have n capacity of 20 million feet annually.
Northoin Pl.ining Mill. Saskatoon, Sask., purchase of
whioii w.Ts Mininiin.-.-.i ^nmn months ago by the Warren
Manufacturing Co., has now been renovated and machinery
put in running order, while considerable new machinery
has been added. The mill is now in working order, and
operations have already been commenced. Among the pro-
ducts of Saskatoon's new industry will be doors, windows,
frames and sashes, window and door screens, as well as a
variety of smaller products.
Baldwin's to Proceed With Plant
For some time past it has been generally thought that
Toronto would lose an important industry in Baldwin's
Canadian Steel Corporation, because of the Hydro power
shortage. It was announced this week, however, th.it all
difficulties have been overcome, and construction work on
the plant at Ashbridge's Bay, which was stopped two or three
months ago, will be again proceeded with. Baldwin's already
are receiving some 1,500 horsepower from the Hydro for
their electric furnaces, but ten or fifteen thousand more will
be required when the works are going at full capacity.
Manufacturing Notes
Incorporation of the Canada Fibre Products Co., of
Winnipeg, Man., with an authorized capitalization of $1,-
000,000, has been announced. A plant will be constructed in
Winnipeg. The originators of this venture are planning to
utilize flax straw for commercial purposes.
The Steel Co. of Canada, Hamilton, Ont., has secured
a supply of coal and oil again, and will start part of its
plant immediately. It has not been able to get full supplies
yet.
A by-law to grant a loan of $25,000 to the Dominion
Construction Co., Ltd., and Fold Paper Boxes, Ltd., both
under one management, has been passed by ratepayers.
An electric washing machine factory will be established
at Owen Sound, Ont., shortly by the Shade Mfg. Co., Ltd.,
Edmonton, Alta. The promoters have an option on a large
warehouse in Owen Sound, where they expect to be operat-
ing very soon.
Denial of the rumor that the plant of Ames-Holden-
McCready Shoe Co., was closing, has been issued by Presi-
dent T. H. Reider. Mr. Reider stated that the company had
temporarily suspended the manufacture of certain lines of
which it has ample stock.
The Toronto City Dairy Co., has purchased a railway
siding and factory site at the Air Line depot. Simcoe, Ont.,
and will at once erect a milk-cooling station. The structure
will be put up with a view to expansion as the supply of
milk produced there increases.
If satisfactory arrangements can be made, tlie Keystone
Steel and Wire Co., of Puree, 111., will make Winnipeg,
Man., its western distributing centre for Canada. Wire
farm fencing, which is one of the specialties manufactured
by the company, is in heavy demand in the west, and the
establishment of a branch there will relieve the situation.
Messrs. Beatty Bros., manufacturers of bam equipment,
such as hay forks, carriers, pumps, and also distributors
of farm machinery, who have their headquarters at Fergus,
Ont., will erect a $60,000 plant at Regina, Sask. McCoU
Bros., of Toronto, manufacturers of lubricating oils, paint
oils and paint, intend also to build a $150,000 warehouse in
the city.
Nova Scotia Steel and Coal Co.'s coal output for June
were satisfactory, being about 1,000 tons in advance of May.
Colliery output was as follows: Princess 16,129 tons; .Jubilee
14.513; Scotia 5,912; Florence 19,75.3. In the steel depart-
ment an increase occurreil of 1,700 tons. Steel output was
11,700 tons and pig iron 7,112.
July 9, 1920
THE INIONETARY TIMES
87
The Imperial
Guarantee and Accident
Insureuice Company
of Canada
Head Office, 46 WNG ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident Insurance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - SiCHi.OOO.OO
Authorized Capital - Sl.OOO.OCXJ.OO
Subscribed Capital Sl.OOO.OOO.OO
Government Deposits Slll.OOO.Wi
LONDON
GUARANTEE AND
ACCIDENTCOY.. Limited
Head Office for Canada Toronto
ANU FIRE INSURANCE
The Western
Mutua
1 Fire
Insurance Co.
Head Office
-
Didab
ury. Alberta
Prendenl
-H. P.
ATKINS
M.L.A.
l»ARKi£R K. HKlia.
LAKi.KST ALHICKTA
SLinatiitis director
HUB MITIAI.
CANADIAN STRONG
PROGRESSIVE
FIRE INSURANCE
AT TARIFF RATES
IT PAYS TO INSURE YOUR AUTOMOBILE
u 1 1 i 1
The Canadian Surety Company
Maximum Service.
A/r
Cost.
THE NORTH EMPIRE FIRE INSURANCE Co.
HKAU OFFICt. WINNM^KC;. MAN.
Toronto Office: 218 Confederation Life BIdu.
J. E. HOL'.NSOM. Maniiucr
cdl
.ind Ac
THE EMPLOYERS'
LIABILITY ASSURANCE CORPORATION
OF LONDON, ENG. limited
ISSUES
F'ersonal Accident Sickness
Etnployers' Liability Automobile
Workmen's Compensation Fidelity Guarantee
and Fire Insurance Policies
C. W. I. WOODLAND
Geut-ral Manager for Caiia'la and Ne\viouii<llan.l
Lewis Building.
MONTRHAL
JOHN JENKINS.
Fire Man.ijjer
Temple md«
TORONTO
Economical Mutual Fire Ins. Co.
HEAD OFFICE KITCHENER. ONTARIO
CASH AND MUTUAL SVSTHMS
Total Assets, $n7.'.,000 Amount of Risk, $28,041,000
GOVBRNMKNT DEPOSIT, $60,000
JOHN PBNNBLL.
GEO. 0
THE DOMINION OF CANADA
GUARANTEE & ACCIDENT INS. CO.
Accident InAurimcc
Bursl*ry Insurance
The Olc^tt and Stroni
T«r*Bto N«Blreal
:kn«iit Iniurancc Plate Olai* Insurance
toraotMle ln»uranc( Ouarantcc Bondt
t Canadian AccKlcnt trwufmnc* Company
Commercial Union Assurance Co.
Limited, of London. England
Capital Fully Subscribed * N TSii.iHiil
Capital Paid Up 7,;t75.0(H)
Total Annual Income Exceeds . . 75,000.000
Total Funds Exceed "200 «i.Vi <i(Hi
llriKl onirr (nnadinn Krar
COMMERCIAL UNION BUILDING
W. S. JOPLING, Mana
Toronto Office - 49 Well. ,
OBO. R. HARORAPT. General Ageot lor Toronto *n.i t;>.-.n
MONTREAL
! Eatt
, ul York
Automobile— 1 920--Season
g Policies to cover ANY or ALL motoring: ritki
[ ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
ft2-S ^ Kincr Street F'.a^t. Toronto
3
THE JIONETARY TIMES
Volume 65.
NEW INCORPORATIONS
The BelKo I'apor Co., Ltd.. .<;20.000.000; Clark Bros. Paper
Mills, Lid., S.'i.OOO.OdU ; Canadian I'aperboard
Co., Ltd., .S.j,000,000
THE following is a li.st of companies recently incorporated
under Dominion and Provincial charter, with the head
office and the authorized capital:—
Gait, Ont.— Cut-Soles, Ltd., «200,000.
Moncton, N.B.— Tingley's, Ltd., ,?49,000.
(iiiehec. (Jue.— France Pare, Ltd., .?46,000.
Ileadingly. .Man.— Francis, Ltd., $100,000.
Newcastle, N.B.— .Moody & Co., Ltd., §24,000.
Perth. N.B.— Guy G. Porter Co., Ltd., .'?299,00().
Petrolia. Ont.— Orton .Motor Co., Ltd.. .?.500,000.
Sudbury. Ont.— Murray Townsite Co., Ltd., .?120,000.
.Midland, Ont.— Glen Transportation Co., Ltd., $500,000.
.St. Boniface, >lan.— The Lang Dnjg Co., Ltd., $20,000.
Belleville. Ont.— William Thompson Co., Ltd., $50,000.
Cornwall, Ont.— Palace Amusement Co., Ltd., $100,000.
Thorold. Ont.— Thorold War Veterans Co., Ltd., $25,000.
Owen Sound, Ont.— Owen Sound Cereal Mills, Ltd., $100,-
00(1.
Charlottetown, P.E.I.— The Charlottetown .Milling Co.,
Ltd.. $35,000.
Calgary, Alta.— Hewson-Caldwell Woollen Co., Ltd., $50,-
000.
Brant ford, Ont.— Alfred Patterson Candy Co., Ltd., $75,-
000.
Oshawa, Ont. — Samson Tractor Co. of Canada, Ltd., $10,-
OOO.
Chatham. Ont. — Coate's Supplies and Agencies, Ltd.,
^■2,r)00.
Bear River. N.S.— Clark brothers Paper Mills, Ltd., $5,-
IIOd.lKKI.
London, Ont. — London Memorial Labor Temple, Ltd.,
.SlOD.dllll.
Red Kock Lake, N.B.— The Red Rock Fishing Club,
Ltd., $3,000.
Sherbrooke, (Jue. — The Cyrano Cabinet Co. of Canada,
Ltd.. $100,000.
Port .Sfanle>, Ont. — Canadian Fisheries and Storage Co.,
Ltd., $150,000.
Eldorado. Ont. — Eldorado Cheese and Butter Co-operative
Co., Ltd., $2<I0,00().
Kincardine, Ont. — The Kincardine Country Club (Pri-
vat.). Ltd.. $25,000.
St. .\ndrews, X.B. — The St. Andrews Electric Light and
Power Co., Ltd., $0,900.
Walkerville, Ont. — The Walkerville and District Co-oper-
ative Society, Ltd., $25,000.
Hamilton, Ont.— United Shoe Shops, Ltd., $500,000; In-
dustrial Sites. Ltd., $100,000; Hartt, Grady & Hick. Ltd., $100,-
(M)0.
Ottawa, Ont.— National Cap Co., Ltd., $50,000; Sampson
Office Service. Ltd., $20,000; the Photogelatine Engraving
Co., Ltd.. $50.0(10.
Winnipeg, Man. — National Furniture Co., Ltd., $250,000;
the n. V. .Jamieson Drug Co., Ltd., $100,000; VV. G. Young,
Ltd., $20,000; Tiger Athletic Club, Ltd.. $5,000; Accounting
and Audit Co., Ltd., $20,000; .Toy Coal Mining JIachine Co.,
Ltd., ."'SOO.OOO; Commercial Sales. Ltd., $50,000.
Vancouver, B.C.— The Fifty-l'ourth Club Co., Ltd., $10,-
11(10; Acetate I'Toducts. Ltd., $2.50,00(1; Whitney-Morton & Co.,
Ltd., $100,000; Robert KtTord & Co., Ltd., $20,000; Pacific
Coa.s-t Fish and Oyster Co., Ltd., ^■J.'i.OOO; Record Publishing
Co.. Ltd., $25,000; Real Estate Record. Ltd., $35,000; Under-
bill Lumber Co., Ltd., $40,000; the Campaigners' Club, Ltd.,
S25.0Ofi: Vancouver Commission Co., Ltd.. $20,000; the .\uto
Works, Ltd., $100,000.
Toronto. Ont. — Manufacturers* Holding: and Investment
Corp.. Ltd., ■?2.00o,000; Canada Gas and Fuel Co.. Ltd., $3,-
'"I'.oiiO; Conifleld Steel Co., Ltd.. $750,000; Lines & Co.. Ltd.,
- I .I'lio; Nautical Togs. Ltd., $1. 'SO. (100; .lackson Drier Co., Ltd..
!ii(i (>ii(»; Haddon Book Shop, Ltd., $-IO,ttOO; A. E. Gui.lal, Ltd.,
•: 100.000; Soaps-Perfvimes. Ltd.. $2.50,000; Joseph Price Es-
tates, Ltd., S100,000; Zubcr Manufacturing Co., Ltd., $200,000;
the Beebe-Tod Manufactui:ing Co., Ltd., $40,000; Paramount
Kitchener Theatres, Ltd., $550,000; Canadian Triangle Con-
duit Co., Ltd., $100,000; Instantaneous Electric Heater, Ltd.,
.•S250,000; Myles Shoe Co., Ltd., $200,000; York Beverages,
Ltd., $40,000; Mauson Motors, Ltd., $1,500,000; Sugars of Can-
ada, Ltd., $2,150,000; Deer Park Garage and Livery, Ltd.,
$57,500; Canadian Paperboard Co., Ltd., $5,000,000; A. J.
Lafay Co.. Ltd.
Montreal, Que. — Prescott W. Robinson Sales Co., Ltd.,
§50,000; J. T. Donald & Co., Ltd., $100,000; Canadian and
Home Traders of Canada. Ltd., $75,000; the Grolier Society,
Ltd., $1,000,000; the Belgo Paper Co., Ltd., $20,000,000; the
RoUand Lumber Co., Ltd., $50,000; General Asbestos Co., Ltd.,
$500,000; Hewson-Falconer Co., Ltd., $50,000; Importing Co.
of Montreal. Ltd., $100,000; Brunelle & Monast, Ltd., $20,000;
L. C. Barbeau & Co., Ltd., $49,000; the Universal Social Club,
Ltd., $5,000; H. G. Craig & Co., Ltd., $5,000; St. James Finan-
cial Agencies, Ltd., $50,000; D. G. Loomis & Sons, Ltd., $1,-
300,000; Dunn's Auto Markers, Ltd., 81,000,000; A. G. Mooney,
Ltd., $250,000; Atlantic and St. Lawrence Stevedoring and
Contracting Co., Ltd., $25,000; the Rose Castle Steamship Co..
Ltd., $1,500,000; the North Eastern Drug and Chemical Co..
Ltd., $100,000; Laurentian Graphite, Ltd., $.500,000; P.osen-
baum. Freeman Co., Ltd., $20,000; Birks Buildings, Ltd., $2,-
000,000.
TEMISKAMING BOARD OF TRADE
The Temiskaming Associated Board of Trade held a meet-
ing on June 29 at Iroquois Falls, Ont. Among the resolutions
passed was one wMch calls upon the government to open up
at all well-established mining areas an assay office for the e.\-
clusive use of prospectors. A resolution was approved ask-
ing the Ontario legislators to visit the north in a body. The
Canadian Passenger Association is to be urged to again put
in force the week-end ticket which allowed a i*eturn trip on a
single fare.
Hydro matters were discussed and a committee was
named to gather information and report at the next meeting.
The scheme of Mr. Smith, Timmins, to finance the building of
a highway north was endorsed and a committee named to
gather additional information before steps are taken to secure
action on the proposal.
EMPLOYMENT CONDITIONS IN CANADA
The Employment Service of the Department of Labour
reports that returns from the Dominion and Provincial Offices
of the Emplojnnent Service for the week ending June 19, re-
main approximately the same as returns for the previous
week. The offices reported that they had made 7.843 refer-
ences to regular positions and that 6.965 placements were
effected. This compares with 6,967 placements reported dur-
ing the preceding week. In addition, 1,974 casual jobs were
supplied, as compared with 1,870 during the week ended
June 12.
During the week 8,730 applicants were registered, of
whom 925 were women workers and 7,805 were men. This
is a decrease of 318 in registration, when compared with the
9.048 applications of the preceding week. The number of
vacancies notified by employers to the service during the
week totalled 8.685. of which 1,356 were for men and 7,323
were for women. This represents a decrease of 884 when
companred with the 9,569 vacancies of the preceding week.
Of the placements in regular employment, 591 were women
and 6,374 were men. The number of ex-service men reported
as placed was 1,480.
COBALT ORE SHIPMENTS
The following were the shipments of ore, in pounds, from
Cobalt station, for the week ended July 2nd: Timiskamin.g
mine. 65,584; Nipissing mine. 86,058; Mining Corporation of
C-inada, 129.370; total. 281.(Tl2. The total since January is.
ll.!t(>J<)i:; nonnds. oi- .", CM ..( tons.
July 9, 1920
THE :^I 0 N E T A R V TIMES
39
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS .... 24,600,000.00
UBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These jic w.,i,Jcilui d,.>. loi i.lc i,„utniur .air, men.
particularly Norlh American Lite men. Our repre.enia
Uvea are placinK unprrcedenlcd amountn of new buiincas.
All 1919 record, arc being .ma.hed.
"Solid as the ConlinenI " policica. coupled with aplen-
did dividend, and the great enlhuaiasm of all our repre-
sentative! tell you why.
Get in line lor success in underwriting. A North
American Life contract is your opcninK. Write us for full
particulars.
Addres, E. J H«
ry. Superv
of Ad
North American Life Assurance Company
••.snun .\.s THI-; conti.mni'
HOME OFFICE
TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE WINNIPEG. MAN.
Assur.inces, New and Revivei ■ SI .'.II 1 ,4 17.00
Premiums ori same - l.'J.S90.00
.Assurances in Force - 3,-158.ya9.00
Total Premium Income l09,.S86.ii;)
Policy Reserves - ■ 'ill, -197 HO
.Admitted .Assets - ■29f;,430 6J
.Average Policy - - 2, 237. .SO
Collected in cash per 31.000 insurance in force ;il 7i
For particulars ot a good agency apply to
ADAM REID, Managing Director Winnipeg.
1870 OUR GOLDEN JUBILEE 1 920
Mutual in Principle : Mutual in Practice
Uu- Mulu.l f.
l'r.>-r>.Tity hjs .iltcnJv.l i-vi-ry Mcp ,r th> march ..1
thi' orcnini; of Its limi; canir:>ign en lSTlKli>«n lolhcp' ■
lit th.it success h;is been due to the pracliteol the iirintiple iit niuiu .1 ;>
which has charactcriKd all r»nk«u( the ever incrcasinc army iih t.., c
have been renioveJ. ditliculties overcome and .1 torii ^uccesin.n o* w.
tories achieved by co.operation. the most vital force . in the .^.r'd
Theohjcctive of ihe .Mutual Life of Canada Mhce its orRan.-..!.. n n
IS<a has been ■to furnish the largest iniount of ccnuine life inaur.m .c ,,,
the lowest possible net coil." This objective has been altairrj j~
actual results clearly >how. The limited nuirher of lapses indicates
a membership of satisfied policyholders while the rapidly expandinii
als Ihe ftrowinB popularity of the company Join our vic-
torious march.
BE A MUTUALISTI
The Mutual Life Assurance Co. of Canada
Waterloo
Cronyn. .MP.. President
Ontario
Charles Kuby.Orner.il Man;
SUCCESS IN LIFE INSURANCE
Salesmanship depends so much upon the st-rvicc rendered that wc have
adopted asourslosun: ** treater .Nervire lo Pollr>hol<l«r»i." v\c have a few
desirable positions for good salesmen who will study their clients' best interests,
and co-operate with the Company. Every assistance. HnancinI and otherwise.
given earnest, hard workers, to make good. Apply with reft-renc s. stutinj; ex-
perience, etc.. to S. !>l. M'F..4VeK. Kaaleni .•inpprlnlendrnl.ai Hcnd Oftirr
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
THE LONDONTlFEiNSURANCE CO.
HeaiJ OKice .. LONDON, CANAOA
Profit Results In tkii Company 70\ better than Eilimatei.
POLICIES "GOOD AS GOLD.
Household Expenses
II the head ol YOUR family died could the houaehold
expenditure go on aa before?
Life Inaurance will anawer the quealion — aa you want it
answered.
Over 100.000 persona. lookinR for THE BEST in Life
Inaurance hove arranged their pro'ec'ion with
THE GREAT-WEST LIFE ASSURANCE COMPANY
HEAD OFFICII
Aek for infurmalion
conaideralion. There wi
lil:pr I WINNIIT-C
' aent by mail fur youi leiauiel>
be no obliKAtion whataoevcr.
The Western Empire
Life Assurance Company
Head Office: 701 Somerset Building, Wiaoipef;, Man.
Bbancii OfncKs
SASKATOON CAL(;ARY KDMONTON \ \NCt)l \KH
CROWN LIFE
\\ 1' have » policy in suit every inaurance need up-
'* tii-diit.-, Iihcrni in its provision*. I'arlicipatint
I'olicsholdcrs in the (.'rnwn I i(c are cntillcJ lo ffr , o(
all (rolita earned hy the Company in addition t<i ihi
tuaranlees contained in their Policica.
r*»r>
i/</.
• f» Im 9r r» r»#f»i*»
Crown Life Insurance Co., Toronto
Qi
40
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Record Hank Loans to Municipalities— Five New Townsites Laid Out in Sasliatchewan— Cory Finan-
cial Statement for 191 it Shows Satisfactory Results— Fredericton Tax Rate Increases Ten Per Cent.
BAN'K loans to municipalities this year are 46 per cent,
in advance of those last year, and are also consider-
ably higher than in any year previous, indicating that there
i.-; still a considerable amount of permanent financing yet to
be done. The peak appears to have been reached, however.
As revealed in the last bank statement, there was an in-
crease of only 1.3 per cent, for the month, as compared with
an increase in the preceding period of 16.1 per cent. About
this time of the year there is usually a slackening in bank
credits, which continues while tax payments are being made.
Tax collections so far this year have been exceptionally
good. The following, table compiled by The Monela)y Times,
shows bank loans to municipalities since January, 1917: —
January . . . ?24
Februarj' ... 26
March 29,
.April • 35,
May 39,
June 42,
July 43,
August 43,
September . . 42
October .... 41
November . . 36
December . . 36,:
1917.
,487,272
,121,324
877,911
.931,996
700,191
,757,673
989,207
940,176
,721,.'S63
.204,781
459,598
.353,039
1918.
$40,015,466
43,535,628
50,652,061
55,685,350
57,728,226
58,000,424
56,589,173
56,662,931
47,977,472
46,275,106
40,865,358
30,684,052
1919. 1920.
$32,640,198 $46,147,388
36,830,183 52,690,790
41,993,305
47,911,199
50,356,227
52,349,353
54,455,738
57,536,867
57,033,309
56,116,897
52,703,363
42,635,290
62,992,675
72,281,019
73,904,635
St. Ubalde, Que. — A new municipality has been created
in Portneuf County under the name of the village munici-
pality of St. Ubalde.
Uegina, Sask. — Total taxes collected during June, 1920,
amounted to ?710,000, as compared with $697,973 for the
same month last year.
rrodoricton. N.B. — The tax rate for 1920 has been fixed
at .^li.liU, which is a 10 per cent, increase over that of 1919.
.Assessed value for taxation is $9,792,858, as compared with
.S7,17.'>.708 last year.
.Montreal, Que. — At a recent meeting of the adminis-
trative commission it was resolved to accept the oflfer of the
Dominion Securities Corporation to sell to the city £200
sterling of obligations of the city of Montreal at 3 per cent.,
at a price bringing 673 per cent., the city to take care of the
interest accruing from the date of purchase to the date of
delivery.
Winnipeg, Man. — Tax receipts for the month of June this
year amount to $236,520. as compared with $102,710 for the
same period last year. For the statutory year commencing
May 1, receipts exceed those of last year by $216,019.
Monrton, N.B. — Ratepayers have declined to endorse the
agreement proposed to be entered into by the city council
and the Moncton Tramways, Klectric and Gas Co., for the
taking over of the street railway and electric light works.
Brant County, Ont. — As finally adjusted, the following
are the apportionments for the county assessment: Paris
Tp.. $1,800,000; Brantford Tp., $4,455,000; Burford Tp.. $3,-
100,2."..".. S. Dumfries Tp., $2,797,200; Onondaga Tp., $1,236.-
600; Oakland Tp., ?.'.97.856; total for county, $14,119,911.
Cory R.M.. Sask. — A satisfactory statement is presented
by the nniiiiripulity for 1919, assets exceeding liabilities by
$134,534. Total receipts for the year were $1<>2.239, and
payments. $l,"iS.R.'>2. There is a cash balance in the bank of
:^-l..".02 and on hand $1,986. Particulars of a.>isessmcnt show:
lotiil collections, .$82.8.56; cancellations, $2,029; .sold for
axe.s, $3,924; balance uncollected, $106,510.
( nlgary. Alia.— Since the city took full control of the
' ity lio.spitals. the deficit in that department has more than
doubled annually, as will be seen from the following: 1918,
full control of old board, deficit for year, $103,000; 1919,
control of old board for first five months, under control of
city for last seven months, total deficit, $205,729; 1920,
full control of city, estimated deficit for year, $271,2747 In-
creased cost of living and wages is given as the reason for
the enlargement of the deficit.
Saskatchewan. — Five new townsites have been laid out
on the C.P.R. extension which is being constructed north-
east from Lanigan crossing the C.N.R. at Watson. An in-
spection of the proposed sites has just been completed by
W. O. Begg, town planning supervisor for the Saskatchewan
government. The new towns are named: Unwin and Ro-
mance, between Lanigan and Watson, and north of Watson.
Daphne, Magellan and Naicam. The last mentioned will
likely be the terminus of the line for a period and it will
probably be the most important town.
Guelph, Ont. — The 1919 hydro -electric report shows a net
surplus after charging to revenue every expense incident to
the year's business, including payments on debentures and
sinking fund account and setting aside the required reserve
of renewals. Total earnings were $107,438 and total expenses
$90,081. The gross surplus was $17,356 and the depreciation
charge $10,153, leaving a net surplus of $7,203. The Guelph
system began operating in 1912, and during the whole period
of seven years the yearly operations showed to such advan-
tage that the Provincial Commission found it necessary to
make several power rate reductions. The power rate to this
municipality in 1912 was $25. This rate was reduced to $22
in 1913, to $21 in 1914, to $20 in 1916, and to $19 in 1918.
Toronto. Ont — Revenue from the civic railway for the
first six months of 1920 amounted to $258,169, as compared
with $202,260 for the same period in 1919, an increase of
$55,909.
The civic railway carried 15,353,846 passengers during
this period, or 3,348,892 more than in the corresponding
period of 1919. The percentage increase in the case of pas-
sengers carried was 27.89, and in the case of revenue 27.64.
The following statement shows the number of passengers
carried during the two respective half-years: —
1919.
January 1,950,461
February 1,818,434
March 2,051,526
April 2,043,628
-'^lay 2,120,776
June 2,020,129
Passengers.
1920.
2,493,296
2,334.431
2,700,264
2,622.993
2,678,059
2,524,803
BRITISH CAN.ADI.VN AND GENERAL INVESTMENT
In presenting the annual report at the meeting of the
l?riti.sh and General Investment Company, held in London.
Kngland, on June 15, the chainiian made a reference to the
fact that interest overdue, which it was now hoped might be
collected, might be looked upon by the British government as
revenue for the year and taxed as such. The management,
he said, was not certain as to what taxation they would have
to, pay, but in any case a special reserve of £4,000 was being
made for this purpose.
A good year's business in Canada was reported, and the
profits show a substantial increase. A conservative estimate
of the value of the company's assets found them to be £17,-
000 in excess of the total shown in the balance sheet. This,
added to the resene and balance carried forward, would
make a surplus of £23.000, and would give the shares a value
of 115 per cent.
July 9, 1920
THE MONETARY TIMES
NEW ISSUE
PROVINCE OF ONTARIO
Gold 6% Bonds
Due June 15. 1930 Interest * Yearly
Price: 100 and interest
Yielding 6
J. F. STEWART & CO.
106 BAY STREET -:- TORONTO
Telephones: Adel. 714-713
HoussERViboD <r*CiMmNy
CANADIAN CONLKNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. E.\ST
TORONTO
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE REALTY
432 Pender Street, W., Vancouver, B.C.
Dr. J. W. .MAHAN J A WEST.MAN
President .Managing Director
THE NEW DOMINION TAXES
"In amending the new taxation legislation in several
iaor points during its passage through the house," says
I ily Investment Items, issued by the Royal Securities Cor-
poration, "the finance minister shows a willingness to accept
suggestions which is in pleasant contrast with the conviction
of his predecessor that a budget proposal, once introduced,
was something too sacred to be touched by the unhallowed
fingers of amendment. It is a pity that the minister, while
showing an open mind in these matters of detail, could not
have been equally receptive to the very strong arguments
put forward for the entire abolition of the excess profits tax.
Taking the profits tax, the graduated income tax and the
luxury taxes in combination, the present budget is class leg-
islation of the most vicious kind, and is an attempt to make
a small element of the population, and that the ablest and
most progressive of its business men, bear practically the en-
tire burden of the nation's expenditure. Such a policy of ex-
treme class legislation if pursued much further will lead to
the ultimate extinction of business ability and cnterpnse m
the nation which adopts it.
"We repeat our opinion as expressed in the last number
! Investment Items — the fundamental idea behmd the sales
i,d luxur%- taxes is sound, but the details of incidence and
■ nethod of collection are further evidence of the unbusiness-
like ideas attending the methods of collecting the great ma-
jority of Canadian taxes. A uniform percentage, and .t
could be a very small one, collected -^ ^^'-- :■-'"' ^Lf^^Zd
modities each time a change in ownership '°°^ P'^^*^';. XX
have produced the necessary revenue and would »""^' '^"^ [^
removed the criticisms of discrimination which ba^e been
levelled against the new taxes. Collection would have leen
irreatly simplified and equality of treatment would have been
-iven to all classes of the community.
The firms of Carruthers, Martin, and lorrance and
Clark and Martin, have moved from the Lindsay Building
Winnipeg, to the new Huron and Ene Building at the
corner of Portage and Fort St.
WWTED— Inside position in financial house. Thor-
ough expel^nce in Stock^Exchange business, a so now^odge
of government and municipal bond market an,i insurance.
Box 317, Monetary Times, Toronto.
CANADIAN
GOVERNMENT. I'UOVINCIAL.
MUNICIPAL & CORPORATION
BONDS FOR INVESTMENT
Harris, Forbes & Company
INCORPORATED
C. P. R. Building, 21 St. John Street,
TORONTO.
MONTREAL.
C. H. BURGESS & CO.
Government and
Municipal Bonds
14 King Street Ea»t
Wm offer the urtiold halanc* of
DOMINION CHOCOLATE COMPANY, LIMITED
TORONTO
• Suctamr, to lU Uo.Jn C/.»olol» Co.. LimlkJ)
8 Cumalatiom Sinking Fund Pr»Urr*d Short*
DIvldcndt p»val>l» l«l Dr-rrnSr jnj Ut Jure al I'ar in Toronlo.
Montreal or Sew York it ort">n ol Owner.
ThtR'X^.lniJtnd an the I'rclctrcd Stock for th. bjlancs <•! thl« r«ar
hat ali^aJv I'ccn carncJ.
The Mtini.icJ net c»rnm«« (or the preMBi >la
four lime* tlic frcfcrrcJ D.v.ilcnJ. >n<J «hn»me ov
man Stock.
PRICE: $100 p,rai«r».c«rrTin«M'>.boo««olCo»i>mon Stock.
T. S. G. PEPLER & CO.
ROYAl. BANK BUILDING. TORONTO
THE MONETARY TlilES
Volume 65.
Government and Municipal Bond Market
Ontario Disposes of ."sSjOOO.OOO Treasury Bills On Seven Per Cent. Basis— Municipalities Pay More
Than Six and Hall Per Cent For Loans— Numerous Money By-Laws Passed During Past Week
DEVELOI'.MENTS during the past week indicate that the
bond market is entering a period of summer quietness.
The announcement of the offering of $3,000,000 Ontario
treasury bills was more or less of a surprise. The bills,
however, which are being retailed at par and interest, are
meetinp with a good reception, according to the under-
writers. Nearly all of the municipal issues are cleared off
the market, and conditions at present, as indicated by the
prices received during the past week, do not warrant the
placing of any more than those which are absolutely neces-
sary. There is still much new financing to be completed,
both municipal and provincial, and should the market im-
prove, it is certain that there will be a rush of new issues
next fall.
Saskatchewan School and Telephone Debentures
Saskatchewan municipal telephone and school debentures
sold in 1919, according to figures prepared by the Local
Government Board, totalled $5,149,957, of which amount
.'i;2.■i0,.^0() was sold to local investors. Commenting upon the
awakening interest in local investments, J. N. Bayne, com-
misiosner of the local government board, stated that this
was an encouraging sign as the advantages of local sales
are not wholly restricted to the financial aspect and the re-
sult of such sales is the increasing of community feeling and
the awakening of an interest in local matters which makes
for the general benefit of all the ratepayers.
During the year the Local Government Board received
:;3-l applications for new schools, aggregating Sl,835,175, in-
cluding three city schools which totalled 5429,000. The total
school construction authorized by the board was $1,242,253,
divided among the different clas.ses of municipalities as
follows: City schools, ?139,000; village and town schools,
$467,810; rural schools, $635,443. Rural telephone construc-
tion was responsible for the bulk of the municipal debenture
issues floated last year. Out of the total no less than $3,-
374,1(;0 was authorized for new telephone systems and
I'Xtensions to existing lines. Authorizations for general
municipal improvements for the year totalled $533,544, di-
\ided as follows: Cities, $401,320; towns, $58,328; villages,
M'9,050; rural municipalities, $44,486.
Coming Offerings
The following is a list of debentures offered for sale
I'f which mention has been made in this or previous issues: —
Tenders
Borrower. Amount. Rate '/f- Maturity. close.
Kmily Tp., Ont $ 20,800 6 lO-instal. July 10
llawkesbury, Ont. .. 179.000 6 Various July 12
Kenora, Ont 76,320.25 6'^ & 7 Various
Renfrew, Ont 17,738 5 & 6 23 & 30-inst. July 12
Capreol, Ont 17,000 6 10 & 20 inst. July 24
Trail, B.C 9,000 7 10-years July 26
Renfrew, Onl. — The town is calling for tenders up till
July 12, 1920, for the purchase of the following debentures:
$3,000 5 per cent. 23-instalment; $4,738 5 per cent. 30-in-
stalment; $10,000 6 per cent. 30-instalment.
Hobcnturc Notes
Kcgina. Sask.— Five money by-laws totalling $102,153
will be submitted to the ratepayers on July 22.
Lnnraslor Tp., Ont.— The township has turned down all
l>ids on the $l7,72i". 6 per cent. 19 and 20-ini-talnient deben-
tures.
Winnipeg. Man. — The Maryland bridge by-law calling
r the raising of $300,000, which was defeated recently, has
! .isscd on the recount.
Niagara Falls, Ont.— A by-law to raise $33,000 for ex-
tensions and improvements to the city's hydro system, has
been passed by the city council.
Courtenay, B.C. — The city will shortly authorize for the
submission to ratepayers, a by-law calling for the raising
of .'>50,000 of waterworks debentures.
Brandon, Man. — The city council has passed a by-law
authorizing the temporary borrowing of $61,000 to meet der
benture issues which are now falling due to that amount.
York Township, Ont. — The council has passed a by-law
ratifying the issuing of debentures to the amount of $385,587
for the township's part of the Toronto-Bowmanville hydro
radial.
Durham, Ont. — The municipality will guarantee bonds
of Clark Metals, Ltd., to the extent of $15,000, and will also
guarantee the bonds of the Rob Roy Mills; Ltd., to the ex-
tent of $25,000.
Wingham, Ont. — Ratepayers have given their approval
of two money by-laws, one being for the raising of $18^00
for the construction of a concrete bridge and the other for
the raising of $6,500 to extend water mains.
Montreal, Que. — On the recommendation of the assistant
treasurer of the city the .\dniinistrative Commission has
authorized the issue of $500,000 worth of treasury bonds
in favor of the Bank of Montreal payable on demand, carry-
ing interest of 6 per cent, per annum, payable monthly.
Saskatchewan. — The following is a list of authorizations
granted by the Local Government Board from May 17 to
June 19:—
Villages: Balcarres, $6,500, grading, fire apparatus and
hall; Hague, $1,400, concrete sidewalks.
Rural Municipality: Estevan, $2,000, furnishing munici-
pal hall.
Town: Indian Head, $7,000, water works, electric lights
and sewers.
Cities: Prince Albert. $65,000, electric light plant; Sas-
katoon, $66,547, street railway and electric light; Regina,
$255,137, various local improvements.
Besides these a large number of school district and rural
telephone debentures were also authorized.
Bond Sales
Township of Teck, Ont. — Messrs. Wood, Gundy and Co.
have purchased $15,000 6 per cent. 15-instalment debentures
at 96.54, at which price the township pays about 6.50 for
its money. The debentures are guaranteed by the province
of Ontario.
Ontario. — Messrs. A. Jarvis and Co. and the Home Bank
•of Canada purchased recently from the province, $3,000,000
6 per cent, treasury bills, dated June 15, 1920, and matur-
ing in six months' time, at 99.50, at which price the province
pays about 7 per cent, for its money. It is stated that the
bills will be retired by a bond issue late in the fall.
Sudbury. Ont.— Messrs. Wood, Gundy and Co. have been
granted an option on $167,004.75 5 and 6 per cent. 5, 10 and
20-year debentures, issued for various local improvement
purposes at 91.63, which is on about a 6% basis. No offer
was received to take the bonds outright, but four companies
asked for options as follows: —
Wood, Gundy and Co 91.63
Brent, Noxon and Co. 90.OO & int.
A. E. Ames and Co 89.66 & int.
G. A. Stimson and Co No price stated.
Sa.skalchcwan.— The following is a list of debentures
reported sold by the Local Government Board from May
17 to June 19. 1920: —
Rural Municipality: Hi Isl.orough, $6,000, Harris, Read
and Co.
July 9, 1920
THE JI 0 N E T A R Y TIMES
Victory Bond
Owners
rightly congratulate themselves upon
their choice of investment. The an-
nouncement that there will bo no in-
crease in tfie supply of Dominion Gov-
ernment Bonds assures them that the
Victorj' Bond marlcet will gradually
strengthen, while owners of tax-exempt
bonds realize that the increased taxation
upon income has added to the intrinsic
value of their holdings.
Put your investment funds into Victory
Loan Bonds.
Wood, Gundy & Company
Canadian Pacific Railway Building
Montreal ^ New York
Saskatoon loronto London, Eng.
►;
>■>
y
►■•
►■
►>
>■
7<?Stv™
imffsTKWistwict
rwwm
IV hy I* rice
Reductions
are only
Temporary
is shown In the current
edition of Invest mint I tents.
Write and j<et a copj .
It is full of vahiable infor-
niation and suggestions to
business men and investors.
Royal Securities
CORPORATION
L. I M I -r E D
M().\ I HI A I
TOKONTU IIAI.IIAX ST. JOH.N. .N.ll
VMN.NIPRC M:\V VORK LONDON, Eo,i
\V. L. McKlNXON
I)i:an II. I'KrrKs
Income Teuc Payers
will find usetul our circular showintf
what they must receive from taxable
inve.stmeiUs to equal the return on
TAX FREE VICTORY BONDS
at pre.sent prlLCs.
A copy will be gladly sent on requal.
W. L. McKINNON & CO.
McKinnon BuildinK TORONTO
ii JULY ■
INVESTMENTS
' »lr(ory RiiniU (fnx IrrrI .1 IOt.1 .\ i»'>f I
»lrl<.r) lliinil> ( rnvablr) .1'; IB.U },.nt • \ 1
I'r.itlurr ..1 Oiiliiria *•„ IKM • | |
_^ , <ii>..rr..r. t«,% •»»•' « III
i j t'll.t ol ttoiilrral 4% IM» «.«4'i ll S
1 «ll) orMlnnlprx i% IM.T «.t»'i | |
- «llj ••r»anr.iu«rr «■», mil •..%« '' ^
< III ol llrnlKlon SSt, i»:l« «..-.•>
( llr of nil<l.nloi>n .. ■', '. IIIIO u.;'.
Kilriil >1anl<-l|>iilllr af
» "!• a latl^'M fc ; .
rii>.i klUloHuB nrhuol , =
IH.irl.i W„ •!••«• *%\. 1
Furlltrr parlkuhr, anj utrtlalilrtalon rn anlkttlan. i
\
W. A. Mackenzie & Co.
12 Kin ji street West TORONTO |
t
44
THE MONETARY TIMES
Volume 65.
Villages: Meota, $2,000 and Viscount, $7,000, W. L. Mc-
Kinnon and Co.; Vantage, 91,200, Saskatchewan Life Insur-
ance Co.; Ituna, $2,1.')0, W. L. McKinnon and Co.
Towns: Assiniboia, :>1",.^00, pledged with bank; Oxbow,
$6,750, locally.
Schools: Ranch Center, $3,500, T. K. McCallum and Co.;
Donjean, .?900, Nay and James; Bogend, $900, Canada Land-
ed and National Investment Co.; Lockwood, $16,500, Nay
and James; Lost Lake, $1,200, Canada Landed and National
Investment Co.; Springmount, $550, Regina P.S. Sinking
Fund.
Telephones: Green Bay, $1,500, Coleville, $2,700, Blucher,
$2,500, W. L. McKlnnon and Co.; Hilldrop, $15,800, Harris,
Read and Co.: Claj'ton, $3,000, Rosetown Sinking Fund;
Hyde, $3,000, W. L. McKinnon and Co.; Argo, $16,900, Land-
strew, $3,550, Hyde, $3,000 and Rockland, $1,900, W. L.
McKinnon and Co.
.Mliston, Ont.— Tenders will be received by the town
until 8 p.m., July 19th, 1920, for the purchase of $15,707.39
6 per cent. 20-instalment local improvement debentures, which
are guaranteed by the county of Simcoe. J. E. Addis, muni-
cipal clerk.
Quebec— When the province offered $5,000,000 5>i; per
c-ent. 5 and 10-year bonds in .April, no satisfactory tenders
were received. Since then, however, the province has been
carrying on private negotiations with a view of placing as
much of the issue as possible. Bonds to the extent of 1,000,-
000 have been sold to the Montreal City and District Savings
Bank, while another $1,000,000 is now being disposed of by
the Bank of Montreal through local brokers. It is apparent
that the interest rate has been changed, as the bonds are
selling at 100 to yield 6 per cent.
SOME ALBERTA TOWNS AND THEIR PROBLEMS
.Vrrangcments Just Made for Maclood and Bassano — Blair-
more, Tiihor and KodclifT Informally Discussed —
Outlook for liondholders is (iood
D
(Special to Tlic Monetary Times.)
Calgary, July 3rd, 1920.
I'RING the last few days some important conferences
have taken place here between representatives of the
towns of Macleod, Blairmoi-e, Taber, RedclifT and Bassano
and representatives of their bondholders. These conferences
were of a private nature. Judging by the expressions of
opinion of the local financial men. the outcome was of a satis-
factory character. The towns named, as previously reported,
have had difficulty in meeting their instalments of principal
and interest falling due during the past year. Naturally,
such difficulties created uneasiness. Towns which had securi-
ties to market found that the existence of trouble made it
impossible to find purchasers. The presence in Calgary at
the time of members of the government, and also local bank
managers, indicated that general interest was taken in the
discussions that were proceeding. E. G. Long, of Toronto,
who is known to be in close touch with the market for muni-
cipal securities, and John Appleton, secretary of the Do-
minion Mortirnge and Investments .Association, which body
includes in its membership the l;irgest purchasers of muni-
cipal securities, represented eastern investors. The nature of
the conferences which took place was disclosed at the sittings
in the Appellate Court of the Alberta Municipality Finances
Commission, which is composed of Chief Justice Harvey,
Justices Beck and Hyndman, and H. M. E. Evans.
Maclend Ucodjuslmenl
Mr. I-ong. in addressing the commission, intimated that
he had. along with Mr. Appleton, met representatives of the
town of Macleod, and had arranged with them a readjustment
of the bu<lgct of expenditures, which, he thought, would be
quite satisfactory' to the bondholders. This budget provided
for an assessment of land and improvements, on which a rate
of 66 mills on the dollar, estimated to yield sufficient in taxesi
to pay the current interest on the funded debt, as well as'
to provide for ordinary cui-rent expenditure. Mr. Long re-
feiTed in complimentary tenns to the apparent determination
of the officials and citizens of Macleod to put the town's
affairs in a better shape. Mistakes of the past were frankli,
admitted, and corrective measures were recognized as being
absolutely necessary, and in oi-der to carry out this arrange-
ment, Mr. Long intimated that he would recommend to the
bondholders the temporary cessation of assessment for sink-
ing fund pui-poses.
Perhaps the brightest spot in the statement he made was
a reference to the extraordinary measures taken with a view
to more efficient and economical operation of the waterworks
and electric light plants. He was very glad to know from
the representatives of Macleod that the operation of these
utilities was now on such a basis as would result in theii
carrying themselves in place of showing a very substantial
deficit each year. This was regarded as an evidence of a
detennination on the part of the town council and the citizens
behind it to rehabilitate their civic financial position. The
carrying out of the aifangements made between the town's
representatives and those of the bondholders required the
co-operation of the town's bank, and it was hoped that this
would be obtained. Up to the present time no word has been
received as to what action the bank in question has deter-
mined upon. The commission, as well as the bondholders'
representatives, have approved the plan, and it is anticipated
that as a result the bank will be a party to the carrying
out of the new arrangement, which will aid the town to over-
come its temporary financial difficulties.
Bassano Arrears Funded
After dealing with Macleod the commission proceeded to
enquire into the affairs of Bassano. The mayor of that towni
and its secretary-treasurer arranged with the bondholders'
representatives to fund a small amount of arrears of interest
and principal for a pei-iod of ten years, and also to adjust
the town's assessment and the mill rate so as to provide suf-
ficient funds to meet its current obligations and the services
of its funded debt. The town has also received considerable
credit from the bank, and its debt in this respect will be
funded on a basis similar to that arranged with respect to
debt appears. As in the case of Macleod, the bank will hav'e
to be a party to this arrangement in order to carry it through,
Other Towns Considered
These were the only towns which were dealt with offi-
cially by the commission. It is understood, however, that
informal conferences were held with others. Blairmore.
was one of these and it finds itself in difficulties which can
be rectified without much trouble. It was the general opinion
that by an adjustment of the rateable assessment and of the
charges for electricity and water services, that the town
would be able to restore in two years its financial position
to normal. At present it is prosperous and its people are
employed at good wages. As a result of the interviews with
the bondholders' representatives, the officials felt that within
a short time they would have the financial affairs of the
town on a good basis. It is understood, also, that the finan-
cial men interested in the enquiry are quite hopeful with
regard to the future of this mining centre.
Representatives of the town of Redcliff fully explained
the town's position to their bondholders' representatives and
it is understood that a tentative arrangement was made so
as to give the council of that town a further time in which
to carry out certain plans they have in mind which will re-
move the difficulties they have been in for the past few
months.
In the case of Taber, the officials undertook to deal with
their arrears during the current year. Representatives in-
timated that they had certain plans in course of being car-
ried out which would result in their financial needs being
relieved very considerably. In the event of the failure of
such plans in respect of both Taber and Redcliff, the com-
(Co)itinucd on page S2)
July 9, 1920
THE MONETARY TIMES
45
$500,000
CITY OF HALIFAX, N.S.
5h% Bonds due January, 1953
Principal and semi-annual inlerrsl payable Montreal,
Toronto. Halifax
Denominations Sl.tKWJ
Price 92.85 and interest yielding 6\
Eastern Securities Co., Limited
92 Prince Williatn St..
ST. JOHN. N.B.
193 Holli» St..
HALIFA.X. N.S.
Government
Guaranteed to
_, YIELD
Bonds
QM
2/0
.\IATLRL\C 1921-1940.
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
UNION TRUST BUILDING WINNIPEG
Province of
Ontario
6% Gold Bonds
For Estate or Trust funds
these bonds purchased at
par and interest maturing
15 June, 1930, make a
very desirable investment.
Bond Department
The Canada T»vi st ConrvNV
14 King Street E.
Toronto
DEALERS IN
Government, Municipal
and Corporation Bonds
Correspondence Solicited
A. H. Martens & Company
(Members Toronto Stock Bxchangei
ROYAL BANK BUILDING, TORONTO
61 Bivadway,
New York, N.Y.
Harris Trust Bldg.,
Chicago, III.
A. J. Pattison Jr. & Co.
Toronto Stock Kxchantc Monircil Stock Kxcfijnn
Speclaliata Unlisted Securities
106 BAY STREET TORONTO
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Br»ncht»-SASKATO0S ANDCALOAKV
Canadian Manaxers
iKVKaraairr CoaioaaTlo* or CtxADa. Lrt).
London OINce: 4 Ortat Winchiiirr Kt . K.C
WE WILL BUY
Western Provincial
AND
B.C. Municipal Bonds
Offerings may be telegraphed at our expense
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C. Victoria. B.C.
Northern Securities, Limited
l.sTAi:l.lslil.l< . . 1.
GENERAL FINANCIAL BROKER
Canfid.ntial Advie* on Hr,li,h Col„mhi„ Imflmtnit
Mcmtxrr ot MorU'S« and Tru«t Companic. A«»ociat f,n of Hnl.th Colurrl>ia
S2B Pender Street W. VANCOUVER. B C.
II OKOKt.H IIAVSl 1.1) J.I'. M»n»icr
P. M. LIDDELL & COMPANY
inv.slm.-nl I ,au „ .. /,.ku, .-J.w-,;:.
Imurancc Broken
826.7-« ROGERS BUILDING, VANCOUVER, B.C.
THE MONETARY T I -M E S
Volume 65.
Corporation Securities Market
National Breweries and (Juebec Railway Feature Interestins Session on Montreal Exchange-
Slight Improvement in Toronto Market For the Week— L.R. Steel Company Estab-
lishing Canadian Business— Public Offering of Dominion Engineering Works Preferred Stock
ACTION'S of stocks on the New York market this week
have been interpreted as indicating a fair advance dur-
ing the next few weeks. There was a moderation in call
rates, but not to any large extent. Money is expected to
play an important part in the market situation in the future.
The general feeling is that the rates will be lower than they
liave been for some time.
Following a week of comparative quietness, the Mont-
real market, for the eight-day period ended July 7th, broad-
ened considerably, with some new high records in trading
and higher prices established in some issues. National
Breweries feature activities with sales of 57,673, and a gain
of 13% points. There was a falling away of 5 points at the
close, however. Quebec Railway which has been an interest-
ing feature for some time, attracted even more attention
with 39,535 shares changing hands and a gain of 3V, points
over the previous high. It is the belief that the talk of the
amalgamation with the Quebec Public Service Corporation
will develop into something definite shortly. .Mthough the
bulk of the demand was centred upon the above-named
issues, public interest was fairly well distributed throughout
the entire list. There appeared to be a revival in interest in
the paper stocks, Spanish River and Laurentidc being con-
spicuous among that group. Tight money continues to be a
factor in the market, but brokers are co-operating with the
exchange in the employment of funds which might be
UMiiporarily unemployed, in order to relieve the situation.
Business in Toronto showed a slight improvement over
that of the preceding week, but with the exception of Quebec
Railway, there were no new developments of any significance.
Price fluctuations were of an ordinary nature. Canada
Bread, Canada Steamships, C.P.R., and Spanish River, com-
mon, were stronger, while Spanish River, preferred, was
notable among the weak issues. Steel Company of Canada
and Toronto Railway also registered fractional declines.
There was slightly increased activity in the industrial
bond market, Quebec Railway and Dominion Textile featur-
ing that section. Some fractional price changes were also
shown.
Canadian L. R. Steel Company
About $2,000,000 of stock in the L. R. Steel Company,
Inc., which has been organized to opei'ate a system of chain
stores in the United States and Canada, has already been
.sold. The company is incorporated under the laws of the
.■^tate of Delaware, but there is also a Canadian subsidiary,
the L. R. Steel Company, Ltd., all the stock in which is
owned by the American company. Seven per cent, cumulative
prefeiTcd stock is authorized to the amount of $10,000,000;
tlie common stock, of which 100.000 shares are authorized,
has no par viihic. Tlie pvifcrrcd shines arc being offered
at par ($100), witli a bonus of one share of common with
each two shares of preferred.
Goods priced at 5 cents to $1 will be sold in the stores oper-
ated, and specialty lines priced up to $10 may also be carried
in separate shops. Thirty-seven stores are now under lease
or in actual operation. Properties have been purchased in
Ottawa and Toronto, and leases secured in Montreal, Quebec
and Sherbrooke. L. E. Steel, the president, has been engaged
in the chain store business since before 1900, and until Sep-
tember, 1919, was vice-president and general manager of
the Metropolitan Stores, Inc. Practically all the other direc-
tors are also experienced in the business. The head office is
in Buffalo, with branches in Toronto and other cities.
Capital Increases
Companies registered under provincial charters have
been authorized to increase their capital stock as follows,
the name of the province being indicated: —
Former Increased
capital to
St. Thomas Packing Co. (Ontario) .. .$250,000 $1,000,000
Premier Grain Elevator and Milling Co.
(Manitoba) 400,000
Winnipeg Cold Storage Co., Ltd.
( Manitoba) 100,000 200,000
In connection with the former company 7,500 shares of
SlOO each will be issued, of which 5,000 are to be preferred.
Regarding the last-mentioned company 1,000 new shares of
capital will be issued, having a par value of $100.
Notice is being mailed to shai-eholders of Provincial Pa-
per !\Iills Company, requesting that outstanding certificates
be sent in for the issue of new certificates on the basis of
three shares for two. Fractions are to be adjusted on the
basis of par.
Uoniinion Engineering Works Offering
Public offering is now being made of $1,400,000 8 per
cent, cumulative redeemable preferred stock of the Do-
minion Engineering Works, Ltd., by Messrs. Hanson Bros.,
.Mdred and Co., Ltd., and McOougall and Cowans, Montreal,
at 98, with a bonus of 25 per cent, of common stock.
The Dominion Engineering W^orks, Ltd., has been foi-med
for the purpose of producing in Canada machinery which
comes largely into use in the development of the production
of power and the manufacture of pulp and paper. The plant
acquired by the company consists of the buildings which
were constructed by the St. Lawrence Bridge Co., and which
(Continued on page 49)
UNLISTED SECURITIES
Co.. Toronto
Uritisih Amtr. Ass
iranrc
Burns. P.. 1st
.. B»
I, .in. l-'ur(iitur«...
cnnl
.prcf
.in. Morinaiio
.-.n Oil
.com
■'. .tin«hou8
.com
pr«f.
• • Plow T"*
.orcf
CaPRwooi] ShipbdR. . ti's!
Crown Life . ]
Cuban Can. SuRar com.
prcf.'
Davies William «•»'
Dominion Fire
l>om,Foun.S St.. cnni
H'Lprcf.i
Oom. Iron ft SttclS's 1939
IVim. Pow-cr cnm. '
DunlopTirc 7'Xi .prcf.
6-s.
Ooodycar Tire, prcf.x.il.
Bid
Ask
!1J
as
4r.
SO
nao
77
9»
102
King Bdward Hotcl.com.
7-s
Locw's (Ottawa). ..com.
Manufacturers Life
.M.Tssey-Harris
.S'l i MattuK^imi Pulp com.
G7 .SO , 711 .Mexican Nor. Pnwcr...5-s
•15 50 I 9,s .Mi&sissauiia Golf
70 : 7:t Murr.-K 7\,pref.l 66.50
Si SO \ Si SO : National Life
North- Amcr. Pulp
North Star Oil com
... prcf.
N S Steel 6% deb.
Ont Pulp., fi's X-Talons
Pafle Hersey prcf.
PeopI
RAbcrt Sii
i.BOopref
Bid
Ask
Sterling Bank
no
117
Sterling Coal com.
i«
M.50
Toronto Power. S's (19241
87.50
Tru^t A Ouar x.d. 3%
73.50
78
L'nitcd Cigar Stores prcf.
1.75
Western Assurance
10
14.50
West. Can. Pulp... com.
41
44
Western Grocers. ..prcf.
76..W
Whalen Pulp com.
48
52
Whakn Pp Trust Cert
*S
::::;;:::::
July 0, 11120
THE MONETARY TIMES
We Offer
SCHOOL BONDS
Province of Alberta
J 10 and 15 Yian
to vitld
We Specially Recommend these DonJi m Sound InVcitmenU
W. Ross Alger & Company
I.WESTMEN'T BANKERS
Bank of Toronto Bide. McL<-un Block
EDMONTON CALGARY
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Mcmbrr. of WmnipcB Real Estate Ejtchongc, \\>nn,pcv Slo. L Eichongr
Canada's
Most Prosperous
Industry
1 he World is looking lo
Canada (or
PULP
Wrilt: (or detcriptive circular of
new issue oi a company tha: will
produce 20.000 ton* per annum.
Tborntoo Davidson & Co.
Umitcd
C. -.■,-,„„,././. Munuipul jnJ iJlh^'
/nvcjimcnl 5ccurii;<-i
Hod Office: TrantporlatioB Bld|.. MONTREAL
132 St. Peler Sireel 63 Sptrki Sircil
QUEBEC OTTAWA
BOND ISSUES
SHOULD HAVE MORE THAN
LOCAL ADVERTISING
Reach the important investment deal-
ers throughout Canada and the United
States, by inviting tenders to purchase
through
THE MONETARY TIMES
OF CANADA
The rate for this class of advertising is
very moderate when the character of
our clientele is taken into account.
Let us be the connecting link between
your municipality and the principal
individual and institutional bond
buyers throughout Canada and the
United States.
The Monetary Times of Canada
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
INSURANCE — FAR.M LANDS
RENTAL AGLNT.-^
Willoughby Sumner Limited
EM.t.li.hrd l«00
Mr.nl,.,, ,.l ihr Wmnipt-i Ctun F-icli»n(r
I'nv^l,- fire l,j ircnnip.-i;. 7or„n(o, Stonlical. l. hu ,
^,ui .\cm York
TORONTO
U 1 VMll
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
i>«,vA-s wiBna TO wivmim:o chicaoc. riimi.NTi
MONTKl-ALANO .VBWVORK
THE MONETARY TIMES
Volume Go.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORE
tFiKurcs supplied by Burnett & Co.)
Mtocfcn
Sales
Open
High
Low
Close
Abitibi (niwP
9190
7.M
88
75
88
AmcsHolden pfd.
82(1
97
98
96
9liS
luw
81
85
81
85
pfd.
4.'>0
9:t
96
92
%
Atlantic Sugar
.ViM
I34i
1393
131
138!
..pfd.
843
I.W
161
105
161
B«ll Telephone
415
I04i.
I06i
103i
lOi
B.C. Fishint!
Brazilian T.L.& Power
2741
42
45
42
44
Brompt.in I'ulpJi 1'. ■
1.^32
I3«
l4Si
132
143
CannJa Cement
2I!I
6li
62
6i
62
. .pfd.
112
90
90J
90
90i
Canadian Cottons
.pfd.
ua
79
79
79
79
Can- Converters
as
71
72
71
714
Canadian Car
130
98
98
97^
974
• ...pfd.
22D
%i
97
96
97
CarrinKe Factories
i.sa
27
28
25
28
Canadian Gen. Blec. . .
M
102
102
102
^14
Can. Steamship
I8U.S
741
77}
74
• ■■ pfd.
14.S
78
79,
78
794
" " Vot. Trust
IOC
72
72
72
n
Con.Mininii & Smcl....
490
26
26
25
25}
Detroit I'nitcd
ra
104)
106
104i'
105
Dominion Canners
IMl
61
61
60
60
Dominion Dridfte
2IS
93
94
93
93
Dom. Coal. .pfd.
Dominion (llass
82.S
62
65*
62
654
.pfd.
S
84
84
84
84
Dom. Iron... pfd.
9:1
82
83
82
S3
Dom. Steel Corp
3.S4I
64
66
634
66
..pfd.
20
78
78
774
774
Dominion Textile
1925
132
137
131
137
Howard Smith
2.16
ISI
135
131
lai
•• ....pfd.
101 102
IU2
102
102
Lalicof the Woods..
6.1
200
200
198
200
.pfd.
10
100
100
lOU
lOO
pfd.
IS
674
67J
67
67
Laurcntide
12497
107
lis
1116)
113
Lyall Construction
100
60
70
60
70
Maple Leaf Mill
130
30
32
30
;f2
Mont. Cots. Ltd
(»
79^
80
-94
80
..pfd
2.S
101
101
101
101
Montreal Power
10.11
83*
84
83
84
Montreal Tram. ..Deb.
lOOO
68
6S
68
68
National Breweries....
S783fi
.16}
70
.16}
6.1}
pfd.
450
9:1
93
93
9:t
ORilvie Plour Mills....
S
227
227
•227
227
pfd.
2
9!H
99*
994
994
Ont. Steel Prod
365
77
78
77
78
Penmnns
ast
129
136
129
I35i
Ottawa L. A P
Price Bros. Co. Ltd...
30
360
360
355
3.15
Quebec Ky. L. H.&P..
39270
29
34 J
27J
a3\
Kiordiin PulpXr P
597
195
198
195
198
pfd.
179
90
9U
90
90
St. Lawrence Fl.. Mills.
80
99
99
97
97
Shnwiniisan W. « P . .
811
109
H2«
109
112)
Shcrwin. William
1402
90
119
90
119
Spanish River. . . .
24414
102)
111
101
llOrf
•■ Div.Vou.
224
71
7}
7
7
■• pfd.
l.'>.S44i
KWl
118)
1034
116
Steel Co. of Canada...
1440
75
75
75
75}
" .pfd.
1
9.V
95
9X4
954
50
145
62)
41]
62
41
62?
42>
62j
Toronto Ky. Co
41i
Tooke Bros
416
75
77
VS
77
pfd.
Twin City
1
S2»
:«4
.■et
324
Wayailamack P. A P.
3U75
126
132
126
132
Winnipei! Elec...
Woods MfK. Co.... pfd.
Windsor Hotel
Knnkii
Comniire.-
.M
185
185
I83i
1M
II... Iiol.ii: .
5 1.17
1.17
157
1.17
.M. 1.1. n .
121 imii
ISO(
180
IW)
.M..! ..11. ■.
IB 188
188
188
188
M....ii, .;
seo lai
2(H1
195
200
No^.i s ..!■ .
1
280
260
260
'260
Bell Telephone Co
Canadian Car A Fo....!
Cm, Cement
Cnn. Rubber
Ccd.ir.; Kapid* MCk...
CityM. mt. Dec. Bs. 1922
•• May r.s. 1923
' Sept R«. 1923
Dom. Can.W.L.. in.l925;
19:11
1937
Viclorj- Bonds. 1922 . ;
1927 .. '
liW...
1923
201 210 , 210
aoi
20900
72900
44400
sot ! 90i
yH*STHKM.-Cotitiniied.
■to
Sales Open I HiRh Low Close
11000
IJoni. Canners.
Dom. Coal
Dom. Cottons .
Dom. Textile .
Lake of WiKids [ |
.Montreal Power ,
Montreal Street Ry ,
Ouilvic Flour . .
Penmans Ltd ! SOOi 89
Price Bros :
OucbecRy.L.H.&P... 38500 623
Hiordon Pulp A Paper. [
Scoti
looe 100
■Williams...
Spanish River
Steel Co. of Canada.
Wabasso Cotton
Wayanamack P. & P.
Windsor Hotel
T4MC4>M'U— KIsbl <lny8 rn<lln$c •liil.r 7lli.
.siiirks
Atlantic Sugar
...pfd.
Ames-HoMcn pref.
Barcelona
Bell Telephone
Brazilian Traction. ...
Burt. F. N pfd.
Canada Bread
... .pref.
Canada Cement
Can. Gen. Elec
...pfd.
Canada Steamship....
.pfd.
Canadian Car pfd.
Canadian Pacific R —
Canners pfd.
City Dairy pfd.
ales
Open
High
325
134*
139
20
1.16*
1564
100
96
96
Si
5i
5} j
,1?
102
105 !
1310
424
444
26
96
96
2^25
2H
24S
76
85
85
130 101}
25 98
88 744
129 783
..onsumers r.as
Detroit United .'!'!!' i
Dul Sup
Locomotive pfd.' .
.Mackay Companies.. . ,
■ ..pfd.
.Maple Leaf Milling... |
.pfd.l
.Monarch . ■ i
pfd..
NS.Car
•' pfd.,.
Nipissing
Penman's
Porto Rico j
Port Hope San I
P..C. Burt '.
Quebec R.L.H. «P
Kiordon
Sh. Wheat
Spanish River
...pfd.'
Smelters
Steel Company
...pfd.
Steel Corp.
Stan. Chem pfd. .
Toronto Railway
Tooke.. pfd.
Twin City com.
Winnipeg Klectric R...,
Trethewey
26 9.75
30O 130
I OS 45
25; 25
is.io' ita
1.10' 196
:15 137
997' 1048
515 147
I
KiS,
75j
lUinka
nmer
Dominion
Hamilton
Imperial
.Merchants
Koyal
Standard
Toronto
Union
Dominion Cum. Div
liOnn niKl Trual
Can. Land
Can. Bread
Huron A Erie
Nat. Trust (Rights).
Toronto Gen. Trust .
24 186
51 1984
I6l 1894
SI 193
9 ISO
I 210
20 215
II 190
i.i:<i
71)
6:iJ
659
'4ij']'4i3
168)
lOOOl 72 i 72
TOKONTO— CofiiiKKcrf
Mar Loans
Sales
Open
High
Low
Clos
Dom.Can.W.Loan.l925
1931
1937
8200
68900
59300
944
92
96
94j
924
%}
92}
92
95J
94!
1923 ....
1927 ....
1933 ....
1937 ....
WIXXIPEC-'Wwk cniled July 3r4l.
Sales
Open
High
Low 1 Cios
Victory Loan 1922
■ 1923
■• 1937
■ 1924
1933
500
"366
"iooo
99
ioi
99
ioi'
994
99
ioi"
99
ioi
.'994
War Loan 1931
Tr.aders BIdg
>f:w V«»KK— Week eualrd
Bniiils
Dom. of Can. 5% 1921 .17000 97|
5»% 1921 73000' .... 973
5% 1926 52000 88
54% 1929 64000 903
596 19311 27000 1 86|
894
85*
I.O.\UO.\, Eng.— Week eii4lc4l June IHh.
«iov'l. at .Mnu.
Alberta. ...44% 1943
B.C. 3%
B.C. 4»% 1941
Canada.... 44% 1920-25
•• ....3% Reg.. .
•■ .... 3% 1938...
■■ 3*"', 1930-50
49o 1940-60.
Edmonton 5% 1953 ...
Hamilton 4% deb
Calgary 44 ;„ debs
NHd. 4%
Nfld.3)%
Nfld. 34%b.ls
Quebec 3% 1937
" 4%19i<8
Manitoba 4% 1928....
Montreal 44% 1951-53..
4% Reg
Nova Scotia 34%
Toronto... 34% deb .
4»%I94S....
Vancouver 4'V. 1947-49
•• . 4%bds...
Winnipeg 44% 1943-63..
4% 1940-60..
ltnllwa.T!i
Can.\or.Ont.4%deb .38 .
3»%l%r.
Can. Nor. Pac. 4"odcb..
44'\.deb. 19.10 .
Sales Open High Low
71)
71)
.19*
.194
7SJ
751
88}
893
64
64
68
68
mh
fil4
699
70
.Nil
4%.
G T.
c deb. 4'\.
Br. 4% 1939
G.T.P.3%1962
G.T. P.4?i 1955
G T. P 4"., deb.
Gr. Trunk . 4".. guar
Gr. TrunkS% 1st. pfd. I
Gr Trunk .1% 2nd pfd..l.
Gr. Trunk 4"v 3rd. pfd .
Gr. Trunk 5% deb. .
Gr- Trunk 49Ddeb. .
Ont. A Quebec S% deb. .
Pac. Gt East.44%deb. .
Ind.. Fin., Rlr.
Bank of .Montreal
Can. Bk. of Commerce. .
Cm Cotton 5%
Can.Car7"„ 1.
Can. West Lumber. 5%'
TorontoPo\vcr44%deb. -
Van.Po\vcr4}%.deb... .
711
78
79
in
76*
79
694
694
694
77
77
77
714
71)
711
.17*
,174
17*
.18i
.184
.18!
n
77
77
75
75
s?
S2
S2
.174
564
57i
62}
62
62
7SJ
73!
73i
8,1
85
85
14?
140
140
64*
624
6S
76*
75
75
.171
57
57
60!
,18S
ssi
60
58
,19
.17
.18
43
42
42
3:14
3l4
31
133
1S4
13
75
75
75
6:1
62
624
814
794
81?
78
78
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40
fKl
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07
107
107
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.14*
54!
63
61
63
54
S4
54
July 9, 1920 T HE MONETARY T I M E S
CORPORATION SECURITIES MARKET MKE LOSSES IN ONTARIO
49
(Contittiii'd from page 40)
located an a large block of land adjacent to the property
the Dominion Bridge Co., at Lachine, Que. The com-
y has entered into an agreement with the firm of William
..mp and Sons, Ship and Engine Building Co. of Phila-
lolphia, for the exclusive use in Canada and the BritiMi
Empire of its designs for water wheels and other hydraulic
machinery. Through this association and the company's
acquisition of the paper machine business of the Dominion
Engineering and Machinery Co., it will be in a position to
supply the most recent designs in such equipment and of
iny size to meet Canadian requirements. Other lines ol
manufacture will include hydraulic valves, hydraulic gover-
lors, other accessories involved in hydraulic and paper mill
installations and centrifugal and other pumps.
Directors of the company include: President, G. H. Dug-
jan, president Dominion Bridge Co., Ltd.,; vice-president,
\, J. Brown, K.C., director of the Royal Bank; W. F. .\ngus,
(lirector of Canadian Car and Foundry Co.; Geo. Chahoon,
ifr., president of Laurentide Co., Ltd.; Sir Herbert S. Holt,
Ipresident of the Royal Bank of Canada; J. C. Smith, vice-
president, Shawinigan Water and Power Co.
JIutual Finance Corporation
The Mutual Finance Corporation, Ltd., of Windsor, Ont.,
■ireriiig direct to the public preferred shares having a
value of $10 and common shares having a par value of
. at ijlO and $11 per share, respectively. The company
incorporated under Dominion charter in May, 1919, with
imrized capital of $:300,000, which was increased in March,
.J-^O, to $1,200,000, of which $400,000 is common and $800,-
)00 is preferred. Half of the stock has already been sold.
The cost of selling the stock is not to exceed 15 per cent.,
iind no promotion stock is to be issued. The directorate of
'he company includes: President, A. F. Healy, past presi-
llent of the Border Chamber of Commerce and secretary-
Ircasurer of Healy-Page and Chappus, Ltd.; vice-president,
' R. Winter, mayor of Windsor; secretary-treasurer, W. D.
. h, Windsor; and J. L. Jones, Detroit. Mr. Jones is
tor of the company, and Or J. Brooks is fi.scal manager.
assistant treasurer is H. A. McEw.en, formerly a man-
: of the Merchants Bank.
The company specializes in financing the instalment sale
iiiproved property, paying the builder in cash and obtain-
:rom him a deed of warranty. These deeds are pledged
. the Royal Trust Co., Montreal, and debentures issued
he amount of 60 per cent, of their value. .A. considerable
-lint of these debentures have already been sold, some
:liem in the Netherlands.
.\n issue of $.500,000 30-year 6 per cent, golf bonds is
.ontemplated by the Royal Montreal Golf Club. Montreal,
Ijue., in connection with its improvement plans, and the
neeting of shareholders has been called for July 12 at the
Vindsor Hotel to vote on the proposal, a vote of not less
han two-thirds of the members being necessary to sanction
he issue.
Messrs. Tanner, Gates and Co., Toronto, report that the
250,000 7 per cent., first mortgage gold bonds of Ontario
Imelters and Refiners, Ltd., maturing February 2nd. 1925,
nd serially thereafter until February 2ncl, 1940, have been
Tactically disposed of at par, with a bonus of 2.') per cent.,
ommon stock. The bonds are redeemable in whole or in part
n thirty days' notice at the option of the company at $110
nd interest.
Good crops in the west are not without their attendant
■ ulties. of which the labor problem is om- of the most
iiportant. This vear .50,000 extra farm labnror- arc
Wanted, as follows: >ranitoba, 1.5.000; Saskat. l..-wnn,
JO.OOO; Alberta, 1.5,000.
1919 Total was $10.,->U.232. of Which $6,957,538 wag Covirtnl
by Iniiuranre — .Vnalygis of Causes and of t>o&>ws
THE firi.' marshal's ollicc of Ontario has tiow completed
its record of loisses in 1919. The year is found to com-
pare most favorably with any pri-cedmg year, "it was proh-
ably the lowest in the aggregaie of the fire wasti-, and con-
sequently, the best the fire insurance companies have ever
had." The fires and losses by counties wltc as follows:—
Lo&s nut
Insurance covered by
County No. Fires Loss Loss Insurance
Algoma 158$ 188,884$ 120,100$ 62,784
Brant 169 76,700 01,658 15,048
Bruce 115 159,317 113,25.J 46.064
Carleton 99 226,645 162,784 63,861
Ottawa city 316 206,753 187,280 19,473
Dufferin 33 46,142 24.496 21,646
Elgin 151 145,091 91,408 53,683
Essex 237 338,144 218,091 119,453
Frontenac 157 107,128 77,633 29.495
Grey 133 152,202 87,692 64,510
Haldimand 59 60,701 46.006 14,695
Halton 58 70,589 45,500 "25,089
Hastings 240 234,795 138,051 96,744
Huron 113 114.727 80,487 34.'240
Kenora 24 27.728 20,672 7,056
Kent 167 228,135 167,243 60.892
Lambton 171 104,965 65,752 39.2i:i
Lanark 60 57,093 28,863 28,230
Leeds and Grenville 234 119,578 80,7-29 .'18,849
Lennox and Adding-
ton 58 '28,332 14,733 13,599
Lincoln 135 155,739 117,102 38,637
Manitoulin 10 31,700 18.659 13,047
Middlesex HO 66,603 40,039 26,564
London city . . 179 102,708 78,199 24,.'.09
Muskoka 54 46,938 36,.387 10,551
Nipissing 87 174,846 1 1 1,054 63,792
Norfolk 83 241,364 144,802 90,502
Northumberland and
Durham ISO 113.031 71,958 41.073
OnUrio 148 196.013 118.071 77.942
Oxford 117 128.989 84,090 44.899
Parry Sound 42 41.438 22.622 18,810
Peel' 73 72.604 41.661 31.103
Perth 104 93.737 54.714 39.02.1
Peterboro' 162 100,910 57,120 43,790
Prepcott and Russell 102 200,302 97,828 102,471
Prince Edward .. 75 40,200 25,064 15,14<',
Rainy River 28 41.390 18.103 13.2s7
Renfrew 128 349.345 209,287 80,0^.^
Simcoc '297 647,793 534,719 113,071
Stormont, Dundns
and Glengarry 157 146,239 09.710 76,529
Sudburv ....;.... 105 291.367 20.5.726 85.031
Timi.skaming . 133 .306.945 234.'229 132.710
Thunder Bay .... 199 67.5.510 575.463 100.047
Victoria and Hall-
burton 107 69.160 .32.170 20,990
Waterloo 140 161.037 104.664 46.373
Welland 219 1.081.76.1 119.489 932.274
Wellington 146 73.001 40.490 27.111
Wentworth 77 S2.44K 33.000 49,448
Hamilton city . . 447 260.790 205.203 55.69.1
York 'i'>:i 273.149 183.944 89.20.5
Toronto city .... 2.5:16 1..52'2.8,50 1 ..337.010 185.S4r,
Totals 9.396 $10,514,232 J6.967.55s $3..5.50,671
Eighteen count le.i, ami the cities of London nnd Toronto,
show .•iibrtantial reduction as compared with 1918, and 13
counties show substantial increase!.
THE MONETARY TIMES
Volume 65.
Corporation Finance
Exclusion of Two Companies from Steel Merger Reduces Capitalization of New Con-
solidation—Other Important Changes Also Shown in Balance Sheet— Increased Profits
For Tooke Bros— Brazilian Traction Revenue Shows Big Improvement in 1919
Brazilian Traction Light and Power Co., Ltd. — Gross
earnings of the company for the month of May, 1920,
amounted to 10,985,000 milreis, an increase of 1,423,000 mil-
reis, as compared with the same month last year. Net earn-
ings, after operating expenses of 4,723,000 milreis, totalled
6,262,000, an increase of 1,045,000 milreis over last year.
For the five months from January 1, net advanced 3,788,000
milreis over last year to 27,261,000.
Porto Kico Railways Co., Ltd. — The following is a com-
parative statement of earnings of the company for May,
1920:—
For May: 1919. 1920. Change.
Gross .«;103,225 $116,877 -|- $13,652
Net 47,068 42,514 — 5,553
For five months:
Gross 478,777 547,944 -f- 69,166
Net 177,008 214,361 + 37,352
Whalen Pulp and Paper Company. — In submitting the
annual statement for the year ended February 29th, 1920,
Sir Geo. Bury, president of the company, says: "Your
directors, while optimistic as to the future, recognize mount-
ing labor and material costs, and jirudence demands con-
servative financing, looking possible falling markets." The
following comparison of the principal figures, shows that
the position of the company has been much improved: —
1920.
Gross earnings $4,619,734
Expenses 3,741,185
Net earnings 878,549
Net profits 323,757
Current assets 1,655,019
Current liabilities 1,012,890
Total assets 18,420,831
Pulp produced (tons) . . 47,962
Lumber pro. (m. ft.) . . . 12,731
Shingles pro. (m.) 61,198
1919.
$4,065,206
3,952,892
112,314
*337,729
1,003,080
2,184,424
16,818,608
41,814
20,081
49,190
*Deficit.
Western Power Co. of Canada, Ltd. — For the month of
May, according to reports from Vancouver, operating rev-
enues amounted to 844,945, an increase of 14.1 per cent.,
compared with May, 1919, and net earnings of $28,101, an in-
crease of 6.7 per cent., compared with May, 1919. There
was included in operating expenses for depreciation during
the month of May, 1920, the sum of $2,525. For the 12
months ended May 31, 1920, the company shows operating
revenues of $.501,668, an increase of 9.5 per cent, over the
same period in 1919, and net earning.^ of $303,845, an in-
crease of 3.5 per cent., compared with the same period in
1919, after making allowance for depreciation of $23,657.
Dominion Flour .Mills, Ltd. — A meeting of bondholders
of the company is called for July 14 i\ext, for the purpose
of securing their approval to a resolution empowering the
directors to dispose of all of their Ontario mills, should
they deem it advisable. It is pointed out by the company
that they are not entertaining any proposals to sell any of
their mills in Ontario at the moment, but should such an
ofl"er be made at any time they would be in a better posi-
tion to take advantage of it. The company operates two
mills at Brantford, us well as a mill at Hamilton. Copetown
and at St. George, making a total of five mills in the pro-
vince of Ontario.
Uoniininn Steel Corporation. — Shareholders of the com-
pany are in receipt of a formal notice from the directors
calling a meeting for July 15 next, to ratify the recommen-
dations of the board in respect to the British Empire Steel
Corporation proposals and to approve of the amended bal-
ance sheet. The previous balance sheet showed the total
issued capital to be $213,750,000, this has been amended and
reduced as will be seen from the following comparisoi: —
Formei'ly Presently
Issued capital stock: proposed. planned.
Seven per cent, cumulative pre-
ferred $ 37,000,000 ? 36,250.000
Eight per cent, cumulative and
participating preferred 25,000,000 25,000,000
Seven per cent, non-cumulative
preferred 72,750,000 *65,532,815
Common stock 79,000,000 65,000.000
Total issued $213,750,000 $191,782,815
In reference to the sale of the 8 per cent, preferred,
President Wolvin, of the Dominion Steel, states that it has
been agreed that not less than $20,000,000 of the $25,000,000
thus placed in the treasury will be spent in improvements,
development and extension of the undertakings of the Do-
minion and Nova Scotia companies.
The revised balance sheet, compared with former figures,
reflects the exclusion of the Canada Foundries and Forgings
Co. and the Port Arthur Shipbuilding Co., from the merger,
and is as follows: —
Assets.
New Old
figures. figures.
Properties, per appraisals $394,076,920 $403,770,990
Deferred balances 79,209 79,209
Cash 26,522,759 24,091,269
Call loans 1,526,204 1,526,204
Government bonds 4,229,832 4,913,590
Accounts received 16,494,523 17,018,536
Inventories 25,941,639 27,757,052
Investments 2,968,043 2,973,464
Deferred charges 1,986,804 2,008,386
Bond redemption 190,412 . 250,661
Liabilities.
Total securities $191
Funded debt
Deferred payments
Bank loans
Notes payable
.Accounts payable, etc
Pay, uncomp. contracts . . .
Deferred credits
Reserves
Capital surplus 201
$474,016,345
$484,389,361
$191,782,815
$207,000,000
43,419,094
43,550,294
1,484,000
1,484,000
6,198,515
6,445,973
392,431
398,560
14,410,197
15,147,017
9,468,647
10,216,847
1,308,230
1,308,231
3,832,489
1,998,844
201,719,929
196.839,.595
$474,016,345 $484,389,361
*Besides being reduced in amount, this class of stock
has been changed from non-cumulative to cumulative, so
that the account will now be known in the balance sheet as
$65,532,815 7 per cent., cumulative second preferred stock.
It is pointed out that the change will enhance the value of
the new shares in a very palpable way. It is also pointed out
that the fir.st cumulative preferred will be exchangeable for
the preference stock of the constituent companies, the hold-
ers of which have the option of making such exchange or re-
taining their pi-esent securities, while the 8 per cent, cumu-
lative and pai-ticipating preferred is to be issued to secure
additional capital to extend and improve the various units
of the new consolidation. Both issues will rank equal as
to dividends and assets.
July 9, 1920
THE .MONETARY TIMES
Bell Telephone Co. — According to a statement made by
Mayor Church, Toronto, the application for increased rates,
predicted by K. J. Dunstan, Ontario manager of the com-
pany, will be opposed by the city. "Any increase in rates
will be strenuously opposed by the city," declared the mayor.
•'It is up to the company to give a good service before it
talks about higher rates. The provincial Hydro Commission
has been asked by the municipalities to report on a system
of hydro telephones, but that has been held up by the U.F.O.
government, just as they are holding up the radials."
Assistant City Solicitor Irving S. Fairty, who fought the
recent increase in rates before the Railway Board, stated
that it had been clearly shown that even the "emergency in-
crease" granted the company by the board was not justified.
The city's appeal is now being considered. Mr. Fairty
pointed out that the city had put in evidence to show that
the increased rates were not necessary, while the company'
had failed as yet to give figures on depreciation to show
that the recent increase was justified.
Tooke Bros., Ltd. — Net profits for the year ended May
31, after provision is made for war taxes, amounted to
$238,230, a gain of $85,920 over the 1919 showing, and one
of $102,472 in e.xcess of that for the preceding year. After
depreciation of §15,000 was provided for, and deducting pre-
ferred dividends, which included all arrears on the senior
securities .of the company, there remained a balance of
$119,805 applicable to the common stock, against .?51,122 in
the 1919 period and $38,070 in the 1918 one. The year's
earnings, after all deductions, are equal to, approximately,
18.5 per cent, on the outstanding common stock issue of
$650,000.
The balance sheet .shows an excess of current assets
over liabilities of a similar category of $727,377, compared
with $388,296 at the end of the company's last fiscal year.
Inventories are up by §291,056, reflecting, in all likelihood,
the increased costs of raw materials, but this increase is
offset by the item of $491,731 in bank loans, compared with
$315,000 as at May 31 a year ago. Accounts payable are
also higher at $484,336, against $395,966 last year.
Brazilian Traction, Light and Power Co.— ."Vn increase
of nearly 45 per cent, in net revenue of the company is the
feature of the financial statement for the year ended Decem-
ber 31st, 1919, now in the hands of shareholders. The com-
pany had net revenue last year of 87,873,967, as compared
with 85,419,672 in 1918, and $5,266,518 in 1917. .\fter pay-
ment of $600,000 dividends on preferred there was a surplus
for the year of $7,273,967, or equal to 6.85 per cent, on the
$106,000^000 common stock. Secretary J. M. Smith, report-
ing for the board, points out that between January 1st, 1917,
and December 31st, 1919, surplus revenue amounting to $15,-
196,021 has been applied as follows: —
In reduction of floating debt $ 2,840,914
Toward necessary capital expenditures.. 12,355,107
Total $1.5,196.021
The surplus revenue for the year, as has been already
pointed out, amounted to $7,273,967.26. which, with the bal-
ance of $7,613,041.31 brought forward from 1918, gives a
total of $14,887,008.57. During the past three years the sum
of approximatelv $12,300,000 has been utilized towards meet-
ing capital expenditure on the properties, and a correspond-
ing amount has therefore been transferred to general re-
serve account, leaving a balance of $2,.587,008.57 to be carried
forward in profit and loss account. The sum reinveste.l in
the enterprise out of revenue since the inception of the com-
panies amounted at the end of the year to $33,0.).!..-.. .f. Ihe
construction work on capital account carried out during the
vear comprised additions and extensions to the tramway,
light, power, gas and telephone plant and installations, tne
amount expended for this purpose being S4.910,0'.,v. of whicn
the sum of $2,364,385 was spent on the telephone .system.
Secretary Smith in commenting upon the exchange ratis
as affecting "the company, said:-"The value of th« "^ "';«'«
for exchange on London (90 days' ^>aft> :"^«"'-'<-^/«'"'
13 5-64d. in January to 17 41-64d. in December, the :uerage
rate for the year being 14 33-64d. as compared with 13d.
for the year 1918. The rise in exchange on London closely
corresponded to the fall in the value of the pound sterling
for the purchase of dollars, and consequently there has been
little change in the value of the milreis for exchange on
New York. The average rale realized on remittances made
during 1919 was 26.80 cents per milreis as compared with
25.39 cents iluring the previous year. On funds remitted
from New York to Toronto there was a premium varj-ing
between 1 27-32 per cent, and 9 1-16 per cent., the average
for the year being approximately 4 per cent."
The balance sheet shows considerable improvement in
working capital. Current assets are now $16,371,197, as
compared .with $13,202,989, while current liabilities have been
reduced to $7,244,893 from S10,025,S36 in 1918 Total assets
have risen from $230..503,576 to $235,978,973.
NOV.V SCOTIA FIRE PREVENTION
The fire prevention board recently formed under the
Nova Scotia Fire Prevention .Act met in Halifax on June 7th.
It consist of A. H. Whitman, Halifax; Charles V. Wetmore,
Sydney; M. B. P. Saunders, Col. \V. K. Thompson, F. F. W.
Doane, Halifax, and James Sealy, of Kentvillc.
It was decided to advertise for a fire marshal, whose
duties will be to investigate, upon the recommendation of
local assistants, the origin and circumstance of every fire by
which property has been destroyed or damaged, with a special
view of ascertaining whether such fires have been the result
of negligence, accident or design. The investigations are to
be begun within three days following the fire by the local
assistant, who may be the chief of the fire department in
each city, town or municipality in which a fire department
exists, and the mayor or warden of every town or munici-
pality in which a fire department does not exist. The fire
marshal will be invested with authority to enter at all times
during the night or day into a building or premises where a
fire had occurred, and also other buildings and premises ad-
joining or near the same that he deems nccessarj' in con-
nection with the investigation.
In case of fires of a suspicious nature a preliminary
report will be made containing essential facts regarding the
property. If after investigation the fire marshal is of the
opinion that there is sufficient evidence to charge any person
with the crime of arson, he will at once report to the attorney-
general, and furnish him with the names of witnesses and all
information to be obtained. Other duties ore assigned the
fire marshal, and are outlineil in the Fire Prevention .\ct.
He will liave the whole province uniier his jurisdiction.
KOR S.VLK
' MKTAL I'UODICTS BUSINESS
To close an Estate, the undersigned offer for sale b» a
going concern all the shares of the capital stock of a very
successful metal proiiucts business being carrie<l on in Tor-
onto.
This is a splendid opportunity for iinyonc to acquire a
business of this character. Inventories mid .»tntcment.< of
affairs may be inspected or had upon npplirntion to the
Trusts and Guarantee Company, I.iniiteil. or Lionel Dnvii,
Executors.
D.-\VIS & MKHR.
Solicitors for Execatorf.
12 Richmond Street East. Toronto. 18''.
.4 FIRE INSl'R.VNCE Office requires n bright young
man as Inspector for Ontario. Must have insurance experi-
ence and good orennization ability. Apply with full parti-
culars to Post Office. Box 780. Montreal. 1""
THE MONETARY TIMES
Volume 65.
RECENT FIRES
Large Boaidins -house at Niagara Falls, Irving and ^IcKillop
at Calgary and Kidd IVlill at Prince Albert had the
Largest Losses this Week
Arden, Ont. — Sawmill, owned by Albert Marsh, de-
stroyed. There was no insurance.
Belleville, Ont. — July 2 — Cheese factory, owned by H. R.
Free, was destroyed. Loss partly covered by insurance.
Howmanville, Ont. — July 3 — Farm buildings, owned by
Alfred C. Hardy, destroyed. Fire caused by lightning.
Calgary. Alta. — June 29 — Garage belonging to Irving
and JIcKillop Motors damaged. Loss is estimated at $30,000.
The fire was caused by gasoline in the radiator shop.
Cobourg, Ont. — June 30 — Cheese factory belonging to IL
R. Fee at Cold Springs destroyed. The loss is covered by
insurance.
Fleming, Sask. — June 30 — Home of Mrs. Harry Bowering
destroyed. Fire was caused by an explosion from an oil
lamp. Two fatalities.
Forest, Ont. — July 2 — Barn, owned by N. Herbert, de-
stroyed. Fire caused by lightning.
Halifax, N.S. — June 27 — Stables belonging to J. A. Lea-
man and Co. destroyed.
Montreal, Que. — July 3 — Sawmill belonging to Bicker-
dike Harbor Conimisisoners destroyed. The fire was caused
from sparks from the furnace.
Nelson, B.C. — July 2 — O'Neil, Irvine and Mann Lumber
Co. destroyed. Fire due to dry weather.
New Glasgow, N.S. — July 7 — Main workshop of the
Maritime Bridge Co. destroyed.
Niagara Falls, Ont. — July 7 — Large boarding-house de-
sti-oyed. Loss is $3."),00<J, fully covered by insiirance.
Ottawa, Ont.— July 7 — Four residences damaged. Loss,
$500.
Portsmouth Ont. — July 2 — Residence of Rev. F. W. Mc-
Donald damaged. Fire was caused by lightning. Loss fully
covered by insurance.
Prince Albert, Sask. — June 19— Kidd Mill was damaged.
Estimated loss, $25,000, partly covered by insurance. Fire
believed to have been started by children playing with
matches.
Quebec, Que. — July 5 — The station of Mastai, on the
Q.R.L. H. and P. Co., Montmorency division, was desti'oyed
by fire.
St. John, Xfld — July 4 — Villages of Lanianche, New
Chelsea and the Great Northern Pond have been damaged
during the forest fires in Newfoundland.
Thorold, Ont. — June 17 — Residence of Angelo .Dame
damaged. Loss, $7,000.
Toronto, Ont. — July 5 — Lumber belonging to Ontario
Wrecking and Construction Co. was destroyed when the barn
caught five. Estimated loss, $5,000.
.\l»l)lllON.\L INFORMATION CONCERNING FIRES
Allen, Sask. — June 4 — Barn and equipment belonging to
K. Selzter destroyed. The total loss on contents and building-
was $10,000, with insurance of $600 on the building.
.\yr, Ont. — June 14 — Plant of John Watson Manufactur-
ing Co. destroyed by fire. The fire was caused by incen-
diarism. Total loss, $100,000. Insurance of $.SO,Oob. Two-
story brick building, occupied by the Canadian Bank of Com-
merce and owned by Dominion Realty Co., Ltd., was de-
stroyed. The fire was caused by heat from the Watson Manu-
facturing Co. Total loss on building, $:;00. Insui-ance. $3,000.
Erindale, Ont. — .Tune 13 — House and barn belonging to
Erindale Farms, Ltd., destroyed. Fire was caused by light-
ning. The total damage to contents and building was $50,000.
Insurance in the North British and Mercantile, $25,000.
Moncton, N.B. — May 26^ — Bank of Nova Scotia, a store
and law and insurance offices were destroyed. The total loss
is $20,000, fully covered by insui'ance.
Ontario. — The fire marshal's report for iMarch, 1920,
shows that during the month there were 919 fires, with a loss
of $889,205, of which $633,443 fell upon the insurance com-
panies and the balance of $255,760 was uncovered. The cor-
responding number of fires in March. 1919, was 832, with a
loss of $795,791, of which $618,555 was met by the insurance
companies.
Saskatchewan. — The fire marshal's report for the year
1919 in the province of Saskatchewan shows losses totalling
$2,400,000. The total number of fires reported in 1919 was
1,385, nearly half of these conflagrations being in dwelling-
houses. Others were: Stores, 138, dwellings 603, elevators
35, schools 25, churches 7, garages 21, granaries 48, livery
barns 15, poolrooms 12.
Carelessness in handling gasoline and coal oil was re-
sponsible for serious injury to 24 people.
St. Catharines, Ont. — July 1 — Residence of Thos. Pat-
tington damaged. Total loss on contents and building, $3,000,
fully covered by insurance. The fire was caused by an elec-
tric iron.
Vancouver, B.C. — June 20 — The Balmoral apartment
house fire, which occurred on June 20th, caused a loss of
$50,000 on the building, with insurance of $22,500 in York-
shire and Home and $15,000 in the Newark Insurance Co.
Loss on the contents was $35,000, with insurance of $10,000.
Five fatalities.
Winnipeg, Man. — June 15 — D. E. Adams Coal destroyed
with a total loss of $40,000. Insurance of $12,000 in "the
Alliance and Occidental Insui-ance Companies.
SOME ALBERTA TOWNS AND THEIR PROBLEMS
(Continued from page 44)
mission will make further enquiry into their position. To
this arrangement the bondholders' representatives assented.
The hopeful feature of the situation according to those
in touch with the bondholders, is that more economy is being
exercised in town administration and greater care is being
given to the efficient management of utilities. It is now
being more fully realized by these municipal bodies that
borrowing leaves behind it obligations which must be met
and that there is a limit to credit extended by banks. An-
other fact more clearly realized is that the amount of money
obtainable in the form of taxes on unimproved land, particu-
larly land held by speculators and non-residents, is limited
and as a source of annual revenue, is quite undependable.
.A reliable source and one on which greater dependence will
have to be placed is improved property and propeity which
is in actual use by the resident citizens. Taber is fortunate
ill being a mining centre, and Redcliff has behind it some
active industries. Their respective positions will be strength-
ened also by improved local agricultural conditions and also
by developments of irrigation plans.
Crop Prospects are Encouraging
.\t the present time it seems to be assured that crops
will be normal if not much better than normal. This means
a great deal to all the towns that came under review and
it is now believed that they will all be able to take care of
their debt and the interest upon it. It is felt here that if
the arrangements made between representatives, respectively
of the bondholders and the towns concerned, are carried out,
it will materially improve the municipal credit for the entire
province of .\lberta. Hon. C. R. Mitchell, provincial treas-
urer of the province, appealed to be very pleased with the
result of the negotiations. If the results are as hoped, it
will leave Alberta in a much better position than it has been
in for some time. There only remains one municipality, the
affairs of which have not been adjusted satisfactorily, and
if they are eventually cleared up. Alberta will be able to
face the financial markets with the advantage of being able
to say that none of its towns have caused loss of principal
to holders of their debentures. If the municipalities and the
government of the province can attain to this position, it
will assist greatly in securing capital which will certainly
be required for growth and development.
r
Pipi.isHKD Every Fkioav
The Monetary Times
: Printing Company
of Canada. Lin-,it<:d
m
"The Canadian Entjineer"
Trade Review and Insurance Chronicle
of (TanaDa
OIJ ;.' nfederation
JAS. J. SALMOND
ProsldcDt aud GeD«ra\ Han&gsr
A. E. JENNINGS
ABslBtant GeQ»ral Maniir' >
JOSEPH BLACK
Secretary
W . A. MirKAfV.T
Elinor
Can Public Utilities Be Operated at Cost ?
Municipalities Have Had Difficulty in Adjusting Revenue to Kxpenditure—
Increase in Operatinji Expenses Last Year Was Not Anticipated — Citizen's
Lack of Interest in Tiieir Enterprise — The Experience of Lethbridjj^e
Bv ANGUS LYELL
THE efficient municipal management of public utilities,
such as electric light and power, waterworks and street
railway, is a matter to which the average citizen pays far
too little attention. He will complain, of course, should the
service become grossly inefficient or should there be tem-
porary discontinuance, through accident or other cause. This
is about all the interest the average ratepayer takes in
municipal management, . except, perhaps, to protest when
there is an announcement that, say, the electric light de-
partment has yielded a surplus for the year. A surplus!
Why, ridiculous. The power plant should have been oper-
ated at cost and the charge to the consumer reduced. Such
is no uncommon line of talk.
No Interest in Civic Industry
This lack of interest in the municipal administration
of utilities is well shown by the general inaccessibility of
data pertaining to such management, that is, inaccessibility
to the average citizen. All cities now-a-days have an annual
audit, and locked up in the archives of the city hall is a
mass of useful information pertaining to the city's affairs.
But in addition to the city's bank and some stock brokers
and a few more individuals more or less interested, how
many people become conversant with the year's operations?
Go into almost any city in Canada and ask the average man,
even the average business man, for details of the capitali-
zation and operation of his city's power plant, or watenvorks,
or even street railway, and in a very large number of cases
you will be referred to the city's officials. What the average
man usually knows to-day is that the .street railway is being
operated at a loss and that there is an agitation for increas-
ing the fares. Question him on the cause of the loss and
you will find that he cannot dis;uss details. About the only
infoi-matiaft you can gst is that the operation expenses are
said to be increasing faster than the revenue.
Ratepayers and Shareholders
Such apathy to civic affairs is not a healthy sign. There
is no valid reason why every city should not publish annually
for general circulation a complete financial statement, .show-
ing clearly the result of the year's operation and the city's
standing financially. A city is a corporation just the same
as a joint stock company incorporated for the purpose of
marketing, say, a food product. The only difference i.s that
the one is a public concern and the other a private. Both
are governed by the powers contained in their charter.
Both have beneficiaries — one the ratepayers; the other, the
shareholders. These beneficiaries elect directors, for such
are the aldermen of a city just as truly as are the directors
of a joint stock company. Both corporations are on a capi-
talization basis and have current revenues to handle and
management problems to solve and services to render. But
while the shareholders of the private company usually fol-
low its operations more or less closely, the citizens oli the
municipality are generally apathetic. They do not, as a
rule, even demand the issue to all taxpayers of an annual
financial statement.
Service at Cost is Aim
The object of placing the operation of a public utility
under municipal control is to give tiie best possible service
at the least cost. The theory is that the utility should be
operated at cost. Under private ownership the aim would be
to create a surplus, so as to provide for the payment of
dividends to the shareholders. The dividends the citizens
expect are better service and less cost. They do not look
for a surplus. They want operation at cost.
Now, this is easier said than done. The city of Lcth-
bridge, for example, which, for a number of years has been
issuing annual financial statements, has been unable to
operate its utilities at cost. It operates four important
utilities — a power plant, waterworks, street railway and a
coal mine. I have before me the reports for the years inil
to 1918 inclusive and in none of these years has the city
been able to operate exactly at cost.
Example of Lothbridse I-ight and l'o«er
Take the electric light and power department,
are some interesting figures pertaining to it: —
Oprratins Sinkinit Debenture
Here
1911
1912
1913
1914
1915
1916
1917
1918
Revenue
$ 88.04;'.
108,256
109,855
110,898
110,:l8:i
lir.,148
130.217
142,895
Kjcik
?43,47t5
57,293
71.5r.8
(vl,4;tO
(".3.035
<i3,199
67,166
87,413
$ 8,831
9,437
13,430
16,0<;9
16,0t>'.i
17,329
17,963
17,963
$15,146
14.177
24.478
30.071
30,468
31.990
35.108
35,723
Surpliu
$20,688
27.349
377
266
210
3.629
9,978
1,794
years
it w.-is
Apparently, after the substantial surplu.s of ih
3911 and 1912, when the city w.i.s developing rnpidty
intended to re<luce the surplus. For the next three years we
find that a very fine balance w.-is struck, the chnrircs to sink-
ing fund and debenture intere.«ts beinir boiivicr. But in 1916
there was an increa.sc of nearly JiS.OOO in the revenue and a
plight increase in the operiiting expenses, which caused a
fair .surplus although the charge to the sinking fund wbh
increased as also the debenture interest. A gtill larRcr in-
crease in the revenue for the following year — over ?14,000 —
caused a surplus nearly three times n.s large, although there
were substaiUial increases in the operating expenses and
debenture interest. So far ao good. But next we come to
the year 1918 ond here we find that, although there was an
THE MONETARY TIMES
Volume 65.
increase in the revenue of nearly $12,700, this was more
than offset by an increase of over $20,000 in the operating
expenses. The result was that despite the substantial in-
crease in the revenue there was a decrease of nearly $8,200
in the surplus compared with that of the previous year.
Happily, there was still a balance of $1,794.71. But had the
estimates been on an operation at cost basis, it is reasonably
certain that the year's operations would have resulted in a
substantial deficit — to be met, of course, out of general
taxation: — •
Lethbridgre Waterworks Department
In the operation of its waterworks department the city
of Lethbridge had a deficit of $81G.58 for the year 1918. For
the preceding three years, the operation had been very near
cost as may be seen from the following figures: —
Year
1911
1912
191.3
191-1
1915
191G
1917
]91g
Revenue
.$54,602
(55,072
77,065
76,917
74,362
78,149
87,112
99,142
?20,917
22,166
30,467
34,472
36,870
40,444
49,202
62,045
$4,626 $ 560 $17,610 $10,886
6,5.58 4,541 21,294 10,512
7,441
7,520
8,238
8,755
8,755
8,755
5,221
5,275
5,330
5,389
5,451
5,516
21,586
22,802
23,282
23^501
23,546
23,641
12,348
6,847
640
58
155
*816
♦Deficit.
During the years 1911, 1912 and 1913 there was a sub-
stantial surplus. The revenue was steadily increasing. In
1914, however, it diminished slightly, and an inci-ease in ex-
penditure, mainly in operating co.sts, caused a material
reduction in the surplus. A further reduction in the revenue
for the following year, accompanied by increased charges,
reduced the surplus to $640.47. This fell to $58.68 in 1916,
although there was an increase of nearly $4,000 in the
revenue for that year. In 1917, the revenue increased by
about $9,000, but this was practically absorbed by increased
operating costs. The operations for 1918 were somewhat
similar only the increase in operating expenses exceeded the
increase in the revenue, with the result that there was a
deficit of $816.58.
Losses on Street Railway
The operation of a street railway at a loss is more
general to-day than exceptional. It was in 1912 that the
city of Lethbridge built its street railway, which was oper-
ated for one hundred and twelve days that year. Since
then as may be seen from the follo\ving statement there has
been a steady and substantial deficit: —
Year Revenue
1912 $20,736
1913 60,609
1914 46,053
1915 41,740
191G 49,639
1917 52,203
1918 51,930
Operating
Expenses
$17,698
69,739
55,136
44,024
47,597
49,637
55,356
$ 372
6,888
8,934
8,756
9,903
9,903
9,903
$ 7,841
14,812
19,184
18,801
20,063
21,530
21,530
Deficit
$ 5,176
30,831
37,202
29,841
27,924
28,867
34,859
The population of Lethbridge during these years has
ranged from ten to fourteen thousand and it may be taken
for granted that the citizens are prepaied to operate the
street railway for some time at a loss because of the gen-
eral convenience it affords.
From the experience of Lethbridge in the operation of
its utilities it will be seen that it is extremely difficult to
operate such at cost. There will be either a surplus or a
deficit, and it will be generally admitted that the former is
preferable. What would be most valuable, however, in pro-
moting the study of municipal finance would be, as already
indicated, the publication for general use by all cities of
their annual financial statements. These statements should
be drawn up on a uniform basis, so as to facilitate com-
parison. I need hardly point out that if the citizens of Leth-
bridge had available statements for, say, six cities of about
the same area and population such would enable them to
take a much more intelligent interest in the affairs of their
cwn municipality. Reforms usually follow and do not pre-
cede agitation, and when there is a demand for the general
circulation of the annual financial statements of municipali-
ties, such will be forthcoming.
Reorganized Cabinet Includes New Ministers
Hon. F. B. McCurdy is Minister of Public Works and Hon. Hus-h Gutlirie
Minister of Militia— New Premier Has Risen Rapidly In Politics— Pur-
chasing Now Permanently Centralized— Developments in Merchant Marine
(Special to The Monetiiry Times.)
Ottawa, July 15th, 1920.
/^.VNADA has a new prime minister, Hon. Arthur Meighen
^ having I'een jolected to succeed Sir Robert Borden. He
has the distinction of being the youngest Canadian prime
minister as well as the first executive head to come from
west of the grtat lakes. It is under trying and difficult
circumstances that Mr. Meighen undertakes the leadership.
He has to organize a new party; he has to defend a gov-
ernment which has accumulated in the past thi-ee years of
war and pence more than its share of enemies; he has to
hold in liu" the old Concervatives, who arc none too pleased
at the p:i.=snr of their party with all its traditions and
ho has to conciliate Liberal-Unionists, who are dubious as
to whether they will not lose their identity completely in
the shuffle. In addition, lie faces a rehabilitated Liberal
party led by Hon. MacKenzic King, young and aggressive
I'ke himself, although lacking in his parliamentary exp-.M-i-
ence and skill and a Farmer-Labor party, flush from recent
political victories and appealing with a sort of evangelistic
fervor to all the elements of unrest in the countrv.
Hon. Mr. Meighen has had rapid political advancement,
but has reached his present position by sheer force of
character and ability. There is no chance in his selection.
An Ontario man and easterner by birth, shortly after his
graduation from Toronto University he went west teaching
school and studying law in Winn'peg. He hung out his
shingle in the littls Manitoba plainstown of Portage la
Prairie. There .-even years after going west he was the
Conservative candidate for parliament in 1908. His party
was beaten at the polls by the then dominant Liberal party
under the leadership of Sir Wilfrid Laurier, but he was
elected. Only 32 at the tine, a mere boy in appearance
his capacity soon impressetV the house and it was not
long until he was one of the leading critics of the govern-
ment, 'n the reciprocity campaign of 1911 ho was one of
its chief opponents in a province that naturally favored the
pact. When Sir Robert Borden formed his cabinet he was
not included. Youth. geo'j:raphic and other conditions were,
against him.
But although a private member and a back-benchei-,
it was soon to him Sir Robert Borden turned when the gov-
ernment was hard pressed in debate. Ruthlessly logical.
July 16, 1920
THE MONETARY TIMES
with a mind almost razor-like in its powers of analysis, a
keen student of history he rapidly developed into one oi the
ablest debaters in the house.
Reputation Gained in Naval Debate
His parliamentary reputation was tirsl established dur-
ing the memorable naval debate of the session of 1912-13
Sir Robert Borden proposed as an emergency policy a gift
of dreadnoughts to the British navy. The proposals were
attacked with all the ability, sagacity and strength, which
the long experienced and well-trained members of the op-
position could summon. Dctemiined to force the govern-
ment to tlie country a policy of deliberate obstruction was
adopted by the opposition. Then suddenly a secret leaked
out. A casual visitor to Mr. Meighen's room one day dis-
covered him almost buried in a pile of law books and the
same night the rumor got abroad that the government was
preparing a closure bill. A w-eek later the opposition showed
no evidence of relaxing in their obstructive tactics and the
measure was introduced by Sir Robert Borden. The bill
was immediately ferociously attacked by the opposition. Sir
Wilfrid Laurier leading the attack with a fierce energj-
Upon Meighen's head the opposition poured the vials of their
wrath, as it w-as known lie was the author. Constitutionally
and le.:;ally, the bill was subjected to everj- possible method
of attack, but the structure which the young member had
builded stood the storm. When the violence of the debate
had subsided Meighen's reputation as a legal luminary was
beyond dispute. Throughout this acriminious debate he
was cool, resolute, confident of his position, master of him-
self and his materials, secure in his opinions and inflexible
in his purpose. Even his opponents expressed admiration of
the skill, logic and vigor of his defence.
In the same year he was brought into the cabinet as
solicitor-general. He rapidly developed into the mainstay
of the government in defence and every knotty problem was
turned over to him for solution. In 1917 when Union gov-
ernment was formed he was made minister of interior.
Able Rather Than Popular
Mr. Meighen has not the impressive appearanpe of a
Laurier or a Borden. He is slight, anaemic-looking; he
might be mistaken for a young cleric. He is not a hail fel-
low well met and knows it. To the public he seems cold,
austere and reserved, although as a matter of fact he has a
fine sense of humor and enjoys a holiday with boyish
abandon. He is a natural student, with a remarkably re-
tentive memory. The English classics are his favorities.
He is partial to Macaulay. To the study of Macaulay may
be laid his rolling sentences and fine rounded periods. His
power in debate, however, is not derived from a flowery
flow of language, from exuberent eloquence or from grace-
ful imagery. His strength lies in his marvellous capacity
to marshal facts, his ability to analyze and the pitiless
inquest of logic to which he subjects the argument of an
opponent.
Imperialist in Sentiment
As long as Mr. Meighen is prime minister it is certain
that there will be no move towards a break of Canadian con-
nection with Great Britain tolerated. Continuance of
Canada's position as a part of the Empire is one of .the
principles of his political beliefs. This is ba.sed upon an in-
tense admiration of the British constitutional system and
institutions and upon his conviction as an intensely patriotic
Canadian that the Dominion can best play its part in
international politics as an integral part of the Empire.
Any move towards a break with the Empire would be sternly
resisted by him.
His views and his policies can be best summe<l up in an
address he made in London during the last yc;.r ot tne
hostilities when he was oversea? on a war mission. t was
before the Royal Geographic Society. In hi. concluding
words he said: . ., .
"In feeling and in thought, in sentiment, in as,.»ation,
in the sense of her missioa in this world Canada is British—
never more British than now. She believes and always
wants to believe that Britain stands for real democracy.
Canada is unitedly, deU'rmintdly democratic. She hopes and
expects that out of the welter of this war of democracy, a
war in which she strains as in honor she must, every lilai'
and muscle of lier half-grown frame — she hopes that out of
it all there will come not so much avenues to greater masses
of wealth, but a widiT area of opportunity, an improvement
of living conditions, a higher general conception of public
duty, a releasing of liunian energy for the purpose of science
and art — an advancement for democracy all around over the
whole universal line, and an advance commensuraU' with
the cost."
New Cabinet Announced
The premier announced the reorganized cabinet on July
13 as lollows: Premier and Secretary of Suue for E.\lernal
Affairs. Hon. Arthur Meighen; President of the Privy Coun-
cil and Minister of Immigration and Colonization and
Minister of Health, Hon. J. A. Calder; MinisU-r of Trade
and Commerce, Sir George E. EosU-r; Minister of Finance,
Sir Henrv Drayton; Minister of Justice, Hon. C. J. Doherty;
Alinister'of Militia, Hon. Hugh Guthrie; Minister of Rail-
ways and Canals, Hon. J. D. Reid; Secretary of State,
Hon. A. L. Sifton; Minister of Marine and Fisheries and
Naval .Affairs, Hon. C. C. Ballantyne; Minister of Agricul-
ture, Hon. S. F. Tolniie; Postmaster-General, Hon. P. E.
Blondin; Minister of Public Works, Hon. F. B. McCurdy;
Minister of Customs and Inland Revenue, Hon. R. W. Wig-
more; Minister of the Interior and Superintendent-General
of Indian AtTairs, Sir James Loughced; Ministers without
portfolio. Sir Edward Kemp and Hon. E. K. Spinney;
Solicitor-General, not yet appointed.— Hon. Mr. Guthrie acU.
War Purchasing Department Continued
The war purchasing commission has just been trans-
formed into central purchasing commission for all depart-
ments, by order in council. In 1919 and 1920 efforts were
made bv Hon. N. W. Rowell and some of his colleagues to
get legi'slation to make permanent such a commission, but
there was ;uch opposition that the government had to with-
draw it. It is explained now that the government has power
to continue the existence of the War Purchasing Commission
for an indefinite period. Under the new order-in-council the
board can do all the buying for the government if it wishes,
or it can direct and control buyin? where it feels that the
buying could best be done by the department concerned. The
order-in-council is compiled along the same line as the war
measures order-in-council. There will be a chairmini and
two members appointe.l. Until that time Sir Hermis Brown,
secretary of the War Purchasing Commission, will carry on.
Government Merchant Marine
The Canadian government fleet of fili vessels may Ik-
entirelv built bv March :ll. 1921, says a .lespatch from Ot-
tawa. 'Up to the present time 32 ve.^sels have K-en fi"";!;*^;
and spl.ndid headway is being made with the other half ol
the fleet. Pnrticularly good progress is being ma.le nt the
Montreal. St. John. Collingvvood and Port Arthur yards.
Several vessels of large tonnage being built in inland yards
will be utilized in ocean--oing ser^•ic.•s. and it will bo ncce..-
sary to bring them throu.-h the canals to fho St. Lawrence
in sections.
West Indies Steamship Si-rvice
First fruit? of the West In.lies ronfir, nre hob) r. rently
in Ottawa will come in the form -f the .•st:.blishni. nt N.r y
in 1921 of a now Flcnmsbip s.rv.ce b-fw.-cn ( ,.ni.d» ami h.
West Indies. The gov.mn.nl, it is l-.'.rncsi. bn. und....a,.i
to commence, probably in .Lnnunry n.xt, ,n s..ry>c.. <■"";';'<■'';'
by the conference und- r Uie n.,m.. ..f .he ^^ -;''"' ^^'"'^
Ship Servic-e. This scheme provid. s for s.tlmtr- f. ' """'"^
and St. John to Bermuda, th n.-e to tb.' B."
Honduras and return. Th. i,r.:.nv'. nun^
vide for the install.Ttion on two <if tbf fiv.
gel« now being ronstiurt-d for freiirbt !.ervice -n Ihi* = ■ •
accommoilntion for about twenty-five fir.-t-cl.i!.» p.ii..-'e.v.- rs.
THE .MONETARY TIMES
Volume 65.
COLLECTIONS VERY SLOW IN THE WEST
New Orders Are in Good Volume, However — Crop I'rospects
Maintain Healthy Sentiment — Bankers Discuss
Deep Waterways Project
(Special to The Monetary Times.)
Winnipeg, July loth, 1920.
ON the whole, the crop outlook in Manitoba and through-
out the whole west is very encouraging. Reports from
a majority of points are entirely satisfactory, while from
other places there is complaint of lack of recent rains. Dur-
ing the past week thei'e have been local rains, but some places
have been missed, and evaporation at this time of year is
rapid. From no place in Manitoba is there any suggestion
of crop failure or even of crops having suffered considerably,
and the present promise is that the crop will vary from
fair to very good, according to locality.
Collections Not Good
Winnipeg wholesale houses are fairly busy. Whole-
sale hardware rejortsi trade good and orders coming in
freely. Midsummer conditions exist in retail lines, with
many sales in clothing and boots, but no real price cutting.
Further west, wholesale and retail trade are both quiet. Col-
lections at western and Pacific coast points are reported
very slow, and poor.
Bankers Attend DuUith Convention
Representatives of the Bank of Montreal and the Im-
perial Bank have returned to Winnipeg from Duluth, where
they attended the annual meeting of the State Bankers' As-
sociation. The total attendance at the assembly was about
nine hundred. The subject of greatest local interest was
the proposed deepening of T;he channel of the St. Lawrence
River. The estimated cost of this work was $130,000,000
and it was stated that a saving of this amount would be
effected each year. United States people of the northwest
are deeply concerned in the question owing to the freight
congestion which exists at the present time all through that
country. They state that it would nearly cut their freight
bills in half.
Local Financing
The Winnipeg firm of Strange and Snowden this week
bought the bonds of the rural municipality of Swan River.
These are good roads debentures and are guaranteed by
the province. The amount is $58,000. The bonds run for
.30 years and bear 6 per cent., interest and principal are
payable only in Canada. The funds cost the municipality
slightly less than 7 per cent.
The province of Blanitoba have this week opened an
up-to-date ground floor office in the Lindsay Building to re-
ceive savings deposits on which 4 per cent, interest will be .
paid. Many thousands of dollars have been sent in already
from all over Manitoba.
CASUALTY INSURANCE MANAGERS' ASSOCIATION
The annual meeting of the Casualty Insurance Managers'
Association was held on Juno 17. and the following officers
elected for the ensuing year: President, J. C. Gagne; vice-
presidents, A. E. Kirkpatrick, Toronto, and H. F. Roden,
Montreal; treasurer. E. Willans; senior secretary, T. D.
Hutchins, Montreal; Toronto secretary, H. S. Humphries.
Announcement is made by the United Financial CoiTDor-
ation, Ltd., of the removal of their Ontario branch office,
which is under the management of G. E. Cork, to the
premises occupied by the Guaranty Trust Co. of New York,
at 14 King St. East, Toronto. The foreign service depart-
;vicnt of the Guaranty Trust Co. will continue at the above
address under the supervision of E. N. Wilkes, corre-
p|ioii<lent, as formerly.
HIGHER RAILROAD RATES APPLIED FOR
Canadian Railway Association Presents Arguments Based on
Cost of Operation — Net Earnings Have Fallen Rapidly
APPLICATION for a -^O per cent, increase in rates was
filed on July 10, with the Board of Railway Commis-
sioners for Canada, by the Canadian Railway Association.
On July 14 the Board announced that the application will
he considered in Ottawa on August 10, and arguments from
both sides heard. The association presents its case in the
application as follows: —
Text of the Application
"The Railway Association of Canada, on behalf of the
railway companies members thereof, and of all other rail-
way companies within the jurisdiction of the board, hereby
applies to the board under section 325 of the Railway Act,
and such other sections thereof as may be applicable, for
authority to make a general advance of 30 per. cent, in the
tolls at present charged for the carriage of freight by the
said companies. In support of such application the appli-
cant respectfully states.
"(1) During the period since the outbreak of the war
the scale of expenditure of the said railway companies on
capital, maintenance and operating account has increased to
an extent unprecedented, which has greatly exceeded the
aggregated increase in freight and passenger revenues
granted during such period.
"(2) As a concrete example of the great burdens under
which the railway companies are laboring, reference may be
made to the result of the wage increase granted in 1918.
The so-called 25 per cent, advance in freight rates granted
under order-in-council No. PC1863, effective August 12,
1918, was intended to reimburse the railway companies for
the increased wage expense to which it was then estimated
they would be put through the application of the rates of
wages and working conditions which had then recently been
fixed for the railways of the United States under the so-
called McAdoo award and supplements thei-eto, and which
had been made applicable to Canada by order-in-council
No. PC17(58, effective August 1, 1918. Contrary to all ex-
pectations, such increase in revenue proved far from satis-
factory to accomplish what it was intended. During the
year 1919 the increase in wages granted as above mentioned
amounted on Canadian railways to more than $80,000,000,
while the increase in revenue derived from the advance in-
tended in the aforesaid to provide therefor amounted to only
approximately $43,000,000, a shortage of at least $37,000,000.
Apart from the increase in wages, the prices of the principal
supplies and materials in use by the railways have increased
more than 100 per cent, since the beginning of the war period.
"(3) In order that the railway companies may maintain
their systems in such a state of efficiency as to enable them
to serve the interests of the public in a proper manner, it is
essential that they be accorded an advance in tolls of at least
the extent applied for herein.
"(4) The increase in rates sought by this application
is based entirely on present costs, and does not take into
consideration any increase in wages or costs which may
occur hereafter."
Discussed Informally V> ith (Jovernment
This application has already been forecasted on several
occasions. President Beatty pointed out the necessity for
higher rates in his address to the shareholders of the
C.P.R. The request of the Edmonton, Dunvegan and B.C.
Railway, just heard by the board in Edmonton, is supposed
to have been a preliminary move in this direction. On July
5 a delegation headed by President Beatty, of the Canadian
Pacific, Chairman Howard G. Kelly, of "the Grand Trunk
management board, and President Hanna, of the Canadian
National Lines, along with a number of other high officials
of the various lines, met the government.
July 16, 1920
THE :M O N E T A R Y T I JI F S
Trade Review and Insurance Chronicle
of Canada
Address: Corner Church and Court Streets. Toronto, Ontario. Canada.
Telephone: Main 7104, Branch Exchange connecting all department*.
Cable Address: "Montimes. Toronto."
Winnipes Office: 1206 McArthur Building. Telephone Main 3409.
G. W. Goodall, Western Manager.
SUBSCRIPTION RATES
One Year Six Months Three Months Single Copy
S3.00 $1.75 §1.00 10 Cents
ADVERTISING RATES UPON REQUEST.
The Monetary Times was established in 1867. the year of Confedera-
tion. It absorbed in 1869 The Intercolonial Journal of Commerce, of
Montreal ; in 1870 The Trade Review, of Montreal ; and the Toronto
Journal of Commerce.
The Monetary Times does not necessarily endorse the statements and
opinions of its correspondents, nor does it hold itself responsible therefor.
The Monetary Times invites information from its readers to aid in ex-
cluding from its columns fraudulent and objectionable advertisements. All
information will be treated confidentially.
SUBSCRIBERS PLEASE NOTE:
When changing your mailing instructions, be sure to state fully both
your old and your new address.
All mailed papers are sent direct to Friday evening trains. Any sub-
scriber who receives his paper late will confer a favor by complaining; to
the circulation department.
PRINCIPAL CONTENTS
EDITORIAL: p^cE
Ol-ganized Protection for the Consumer 9
Co-operation or the .Middleman 9
~ Another Cobalt in the .Making lo
Canada's Position in Iron and Steel 10
Special .Articles:
Can Public Utilities Be Operated at Cost? 5
Reorganized Cabinet Under New .Minister 6
Cashing Cheques for Strangers 14
Provincial and Municipal Finances is
Some Life Insurance Observations 20
Insurance License.s Issued in June 22
British Report on Canadian Trade 2-1
Foundations of Progress and Prosperit.v 26
What Canada Sells the United States 35
Regina Will Do its Own Financing 57
Efforts to Make Rating ITnjform (jo
Weekly Departments:
News of Industrial Development 44
News of -Municipal Finance [ 4g
Government and Municipal Bond .Market ."lO
Corporation Securities Market 54
The Stock Markets 56
Corporation Finance rs
Recent Fires
ORGANIZED PROTECTION FOR THE CONSU.MER
THE Boarcl of Commerce .which was presented to this
country last year is now-, in so far as active woi'k is
conceined, a thing- of the past, its record has been a great
disappointment to the people of Canada. If it had e-.en
showed how industry should not be controlled some service
at least would have been rendered. But so much time w-as
absorbed with questions of the board's jurisdiction, with
personal disputes and with petty investigations that nothing
of positive value was accomplished.
The events leading up to the organization of the board,
the powers conferred upon it and some conclusions regard-
ing its opeiation were reviewed at length in The Monetary
Times of June 4th. The chairman. Judge H. A. Robson, of
Winnipeg, resigned last February, and the facts made public
during the past few weeks make it apparent that he had
not intended to occupy the position permanently. The initial
handicap of being presided over by a gentleman not per-
manently identified with it was a thing which militated
against the success of the board from the start. The re-
signation of W. F. O'Connor, vice-chairman, who had always
been the spectacular member, look effect on June 30th. Late
in the month of June James Murdock, the third inenilier of
the board and a prominent labor leader, also resigned, mak-
ing at the same time rather .sensational charges against the
former chairman and against the government as a whole
for its lack of sympathy and support. Coupled with these
personal developments is the decision of the Supreme Court
announced on June 1st, in which the justices were so divided
as to the powers of the board as to postpone any effective
work for an indefinite period.
Three members now constitute the board tcmporaril.v:
these are W. W. White, formerly secretary, F. A. Acland.
deputy minister of labor, and G. A. Dillon. Its .-xislence
is onlv nominal, at a time when tlie public is far from
satisfied that undue profits arc not being made in certain
industries. The I'ublic is usually right, and at the present
tmie it is patent tliat some lines of industry arc so highly
organized as to make the fixing of prices and of market
conditions easily possible. When this stage is reached, gov-
ernment control is the only alternative to public ownership
or operation. Economic laws may be relied upon to keep
prices at a fair level in some cases, but not in all. Some
organization subordinate to the general government is neces-
sary for this purpose, for the government is the. only body
which protects the consumer against the multitude of or-
ganizations in the fields of trade and labor. The boani
should be reorganized, supplied with adequate technical
assistance, and given a fresh start.
CO-OrEK.XTION OK THE MII)I)I,EM.\.\:
"/^UT out the middleman" has lieeii one ol tile oiitstand-
^ ing economic .slogans of the past few years. Varied
efforts have been made to Ho away with this ubi(iuiiou.'< cna-
ture, but he seems to be a virile ami prolific spccieh. The
principal effort has taken the form of co-operation, and \Uiilc
many co-operative enterprises have succeeded at the start,
few have outlived their initial impetus. "The economirs of
many current .suggestions to 'rut out the n)iddlemati' '"hv hi-
in error, but their psychological potency is iiiani'' '
says Maurice H. Weseen, of the University "f Nel
Journal of Political Economy" for Juni-.' "Imi. .
is the appeal of this slogan that many people nceii. .viihnK '"
risk even a fundamental changi' in our economic system 'f
such a change holds out any hope th:it the prcwnt strcsn may
be relieved. No thinking person h'llevi-s. of rour»e, that i
change of such magnitude as is roinprehen<le<l in the phras'-,
'the eliminati''n of the middlnman,' couhl be I'lTected at :■ in
gle blow. riiit both tho.se who believe that lliis suggrh! ..n >
founded upon sound i-conomic theory and I)io.h<' who f<ai il ui
it is not so founded are watching with intense inter> ;-' its
rapid spread. The mo.«t concrete manifestation of the rise
and growth of thi.« idea is to be found in " ■■ i>-i.-.v ,.f \h,.
T HE :\I O N E T A R Y T I M E S
Volume 65.
co-operative movement, and more particularly, in its phenom-
enal spread during the years of the recent world war."
The middleman is regarded as a parasitic growth who
renders no service in return for the profits he obtains. If
this is the case, then there is a whole field of distribution
which should be dispensed with. Goods pass through the
hands of many parties who do not change them in any way,
nor even carry them from one part of the counti-y to another.
The price, and presumably the value, increases at each stage.
This vast distributive organization has been built up at the
request of the public, which has demanded that goods be of-
fered to it in the most convenient time, form and place, and
has until recently paid willingly for the service thus rendered.
The consumer need take no thought for the morrow, for he
knows that his every wish has been anticipated. This is one
of the factors which has made the modern economic organiza-
tion so complex.
Co-operative movements do not as a i-ule attempt to thi'ow
any of the burden upon the consumer. They diifer, therefore,
from ordinary business only in the character of the proprie-
tors. The lack of unity in control is a business handicap, and
the co-operative concern is soon eliminated, or control gravi-
tates into the hands of a few. Where some responsibility is
thrown on the consumer, as where he is encouraged to buy in
large quantities, and at slack seasons, the inconvenience caused
results in unpopularity. Co-operation, in short, is no substi-
tute for present methods of distribution.
CANADA'S POSITION IN IRON AND STEEL
AMONG the fundamental industries which were disorgan-
ized by the war, one of the principal was iron and steel.
Great Britain lost ground which went to her great competitor,
the United States. A determined effort was made to main-
tain the supplies usually sent to British Dominions, but nev-
ertheless {he exports to British possessions fell from $9,759,-
661 tons in the five years from 1909 to 1913, to 4,561,397 tons
from 1914 to 1918. American iron and steel exports expanded
greatly during the war and to a limited extent met the short-
age in the export market created by the blockade of Germany,
the occupation of Belgium and the diversion of the British out-
put. The United States, Great Britain and Germany produce
80 per cent, or more of the total iron and steel output of the
world, while Belgium is a considerable factor in the export
international market.
Canada has always been one of the United States' best
customers. This country, as is pointed out by Herbert P.
Howell, vice-president of the National Bank of Commerce of
New York, in an article in that bank's July Monthly, pro-
<luces considerable iron and steel, but not sufficient for the
growing needs. Before the war Canada bought more steel
rails, steel bars and rods, steel sheets and plates, and tinplate
from the United States than did any country, taking over half
the exports in some cases. Since 1914 Canada's importance
as a customer of the United States has relatively decreased.
This is shown in the following comparison of average yearly
imports (in tons): —
United States Exports— 1910-14 1915-19
Rails 393,942 468,794
Billets, ingots and blooms 150,026 1,200.013
Bars and rods 147,921 549,663
Sheets and plates 264,483 543,541
Tinplates, tcrneplates and taggers' tin 48,708 205,780
Exports to Canada— 1910-14 1915-19
Rails 87,830 38.117
Billets, ingots and blooms 43.402 115.489
Bars and rods 85,730 112.002
Sheets and plates 194,953 200,091
Tinplates, terneplates and taggers' tin 30,734 50,816
"Despite unfavorable exchange, Canada must buy Ameri-
can sheets and plates to keep the wheels turning in her o\vn
industries," says Mr. Howell in conclusion. This country has,
however, a substantial part of the world's iron deposits. The
natural resources are sufficiently great and convenient to off-
set the lack of skill and the high production costs. Deposits
in some of the other countries are nearing exhaustion. The
future of the iron and steel industry in Canada seems as-
sured, and it may not be long before there is a surplus avail-
able for export.
ANOTHER COBALT IN THE MAKING
RAPID progress is being made in opening up and per-
manently establishing a new silver camp in Gowganda.
Situated in the very heart of Ontario's wildest wilderness,
where it is almost impossible to get in supplies or machinery
to work with, silver has been found equallingi anything
Cobalt ever produced. The history of Gowganda is similar
to that of many other mining camps, A few years a^o
silver was discovei'ed by prospectors and a "rush" then
occurred. Claims were held at such high pi'ices that capital
was discouraged in entering the field. A few companies
started operations but the very high cost, of development
work soon depleted their treasuries. The O'Brien interests
took over the Miller Lake O'Brien mine and by chance struck
it rich. They are a private company and details of their
progress is not made public. They have been operating for
a few years now and until recently were about the only jn'o-
dueing mine in the district. It is known in well informed
quarters that they produce about a million dollars worth
of silver yearly from this mine. Over a year ago Engineer
Arthur Cole, when leporting on ore reserves, estimated there
was seventeen million ounces in sight. It is said by peo-
ple who have been down in this wonderful mine that they
have a silver vein four feet wide, which runs sixty per cent,
silver. This information is given by a reliable party who
had actually examined the vein personally.,
Within the past year with the prevailing high prices
for silver the camp has taken on a new lease of life. Sev-
eral prominent Cobalt companies have taken options on
claims or bought outright promising properties after prov-
ing them up. A railway will soon be put into the camp
and electric power will be available in August. The camp
will then go ahead rapidly.
The Canadian Industries Exhibition in London, Eng-
land, for which extensive preparations had been made,
proved a "dud." Such a failure is worse than no exhibition.
Trade relations with the Russian government are to be
resumed. A government which has held the reins of power
for nearly three years can certainly be regarded as a de
facto government, even if it is not officially recognized.
Premier Drury of Ontario intimates that the provincial
civil service is to be thoroughly reorganized, and that de-
partments will bo provided with staffs sufficient to carry
the normal rather than the "peak" load of work. One rea-
son why the earnings of civil servants have been low is
because their earning power has not been applied to its
full extent.
"There was a time back in the '70's when the govern-
ment guaranteed the bonds of solvent municipalities, but
who had to pay when the collapse came?" This was asked
by Premier Drury of Ontario, when he was questioned as to
why the government should hesitate to guarantee the bonds
of solvent municipalities. The government has wisely decided
to act with caution; it must control, rather than be dominated
by, the Hydro-Electric Commission.
July 16, 1920
THE MONETARY TIMES
International Trade
In tlie transaction of foreign business,
knowledge and experience count for
much. The experience gained by
this Bank at its own offices in such
centres of international trade as the
following :
London, Eng.
New York
Mexico City
San Francisco
is available for extension of Canadian
trade abroad. In addition it main-
tains a Foreign Department specially
equipped to handle all foreign exchange
transactions.
THE CANADIAN BANK
OF COMMERCE
Capital Paid-up
Reserve Fund
$15,000,000
$15,000,000
Real Banking Service
All branches of this Bank are in
a position to give the most com-
prehensive Banking service.
Government and Municipal
Securities are dealt in. Foreign
Exchange bought and sold.
Money Orders and Letters of
Credit issued. Collections made
on all points in Canada or
overseas.
IMPERIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land - The Commercial Bank of Scotland,
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland, Dublin, and Branch<;s.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank. Limited.
-In Canada
and
Abroad
pOINCIDENT with Canada's foreign trade ambitions.
^ we have made remarkable progress toward the (ul
(ilment of our policy to build up an institution of an inter-
national character that will provide a financial highway
for Canadian trade with foreign countries.
Across Canada there are more than 400 branches o( the
Union Bank of Canada.
We have our own New York Agency and two branches
in London. England.
In addition, branches of the Park-Union Foreign Banking
Corporation offer oirect banking connections m the
Orient, at Seattle and San Francisco in the US., and m
Paris, France.
Resources Exceed SI 74,000.000
UNION BANK
OF CANADA
Park Union Foreign B.nkinB Corporation Jt"""* 5^""
trolled by National t-arli Bank of New Vorli
.inJ L'nion Bank of Canada
ointly owned and con-
/iS:?''
\
ESTABLISHED
':r
l:i:r^
1912
(lommoiuvcaltb
16a nh
Of
Buotialia
acts a
ments
« Ijankers to the
of Soulti Austr.T
Common
lia. Westi
vcallh Gov
rn Austral!
rnnient. and State Onvcm-
1 and Tasmania.
All cl
acted
isscs of GBN'BRAI. AND
in all the principal cities
SAVINGS
and townw
BANK bu«lnc«ft are tran»
of Auntralii, Rabaul nnJ
Banki
the Co
nn and rxchan>!>
mnionwealth. I
hiisincs^of every dcKCripti
niled Kinitdoni, Canada. I' S
>n tranuclcd within
A. and Abroad.
J.-\S.
KKI,I„
DI-
N'l.SON MII.I.KK, 1
DiPllly Onv.
rn..r l;rj(i
..mrrr.,r |
TheD
ominion
Bank
ESTABLISHED 1871
Capital Paid-up
Reserve Fund
$6,000,000
7,000.000
Kliicient stivicc in :ill departments of H.inkinf,'.
.Sterling Hrafls lunij^lu and .sold.
rr.ivcllers" I'liiiine". .tikI Litter?, of Crcilit isMietl
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
) II IIVNNA, stcretai-y-tieasurer of the Calgary Public
School Hoard, has been appointed secretary of the Calgary
Board of Trade.
Sir Lomer Gouin has retired from the premiership of
the province of Quebec, after successfully administering the
affairs of the province for fifteen years, and according to
latest advices, has accepted a position on the directorate oi
the British Empire Steel Corporation. "In 1905," said Sir
Lomer, in a statement regarding his resignation, 'after
having been called upon to
form a government I drew
up a program which, since
that time, has appeared to
carry weight and which
atfected every branch of
the administration. Dur-
ing fifteen years, I have
had the signal honor of
tn joying the most complete
confidence of our popula-
tion. I feel that I should
now confide to other hands
the work of peace, con-
cord and prosperity which
the Liberal party has
striven to accomplish in this province since 1H97." Besides
being premier and attorney-general for Quebec, Sir Lomer
was also a prominent business head, having been identifiefl
with many industrial and other undertakings in the province.
He is a director of the Royal Trust Company; director oi
the Montreal City and District Savings Bank; director of
the Mount Royal Assurance Company. He is particularly
interested in the pulp and paper industry in Quebec, his
name having been mentioned in connection with recent im-
portant developments. He will also be connected with
"La Presse," the Montreal afternoon daily. The Hon. Louis
A. Taschereau is mentioned as his successor to the premier-
ship.
Robert Gray, of Chatham, Ont., one of the leading
business men of the western part of the province, and presi-
dent of the Gray-Dort Automobile Company, has been ap-
pointed to the directorate of the Standard Bank of Canada.
Carl Riordon, an outstanding figure at the present time
in the pulp and paper industry in Canada, and vice-presi-
dent of the Riordon Company, Limited, has been appo-nted
to the directorate of the Sun Life Assurance Company of
Canada, replacing the late John McKergow.
W. P. KIRKPATRICK, former manager of the Canadian
Bank of Commerce at Saskatoon, Sask., has returned from
a business trip to Havana, Cuba. Mr. Kirkpatrick left
Saskatoon laft November, and during his stay in Havana,
succeeded in establishing a branch of the Canadian Bank
of Commerce there.
Major R. T. MacKeen, who has been with the Royal In-
surance Company since March, 1919, has been appointed as-
sistant manager in charge of life business for Ontario.
Previous to joining the Royal Insurance Company, Mr.
MacKeen served in the Canadian army, and after being
invalided was for two years vocational officer for Quebec.
Mr. J. W. Scott, of Listowel, Ont, was head of the
private banking firm of J. W. Scott and Son, which has
just been purchased by the Bank of Montreal. The actual
transfer was made
on May 31st. Mr.
Neil L. Scott, son
of Mr. J. W. Scott,
remains as man-
ager of the
branch. Mr. J. W.
Scott is one of the
oldest and best-
known private
bankers in the Do-
minion, having
conducted a large
private banking
business i n Lis-
towel for nearly
fifty years, as well
as having offices
i n Palmerston,
Clifford and At-
wood, and with
the late J. A.
H a 1 s t e> a d , in
M o u n t Forest,
S h e 1 b u r n e and
W i n g h a m . Mr.
Scott has large
business interests outside of banking, and, with T. L. Ham-
ilton, who has been with him for nearly thirty-five years,
will cont'nue to look after these, with offices over the Bank
of Montreal.
OBITUARIES
Walter M. Campbell, assistant secretary of the North
.■\merican Life A.^surance Company, Toronto, died on July
11th, at the aw of 49 years, after a lengthy illness. Mr.
Campbell liad been comected with the company for 29 years.
John Farley, K.C, one of the oldest and best-known
barristers and residents of St. Thomas, Ont., died on July
10th after a brief illness. Mr. Farley was born in Missouri
Township 8o years ago, of Irish parentage, his parents
settling in Ontario in the early fifties. He graduated in
law in 1862 and practised his profc?sion in St. Thomas over
50 vears.
.SUN INSUK.\NCE OFFICE
-A notable year of progress is recorded in the annual
report of the Sun Insurance Office, which is printed elsewhere
in this issue. The company, which was organized in London,
England, on .April 7th. 1710, has been conducting fire insur-
ance business in Canada on a large scale since June '{rd, 1892.
.■\ccording to the latest available figures, assets held solely
for the pi-otection of Canadian policyholders amount to $673,-
018, while total Cana<!ian assets are $979,649. The head office
of the companv for Caanda is at Toronto, and Lyman Root
is manager.
The Canadian figures for 1919 show that net cash re-
ceived for premiums amounted to $741,903, while in the pre-
vious year the figure was $712,182. This result is more favor-
able when it is taken into consideration that the ratio of
losses to premiums was considerably sn^aller, the figure being
46.03 per cent., as compared with 52.13 per cent, in 1918.
Gross amount of risks taken during the year totalled $93,-
413,893, as against $87,963,278 in the preceding period.
The total business of the Sun Insurance Office is world-
wide in extent. Premiums to the amount of $11,333,095 were
received on fire account, and losses totalled $5,360,690. The
funds total $20,118,340, of which the fire fund, to the amount
of $12,533,240, is the largest. Included in this total are also
the paid-up capital of $2,400,000, the profit and loss balance
of $2,204,860, an investment suspense fund of $375,000, and
a war contingency fund of $125,000, indicating that company
has assets much greater than the necessary reserves, as well
as being one of the oldest insurance companies in the world.
July 16, 1920
THE JI 0 N E T A R Y TIMES
^nBiinuioraiuiiiJininiiinunnDummuauiiia[inniiiiuin[iiuruiiii<.i
I The Sterling Bank
I OF CANADA
^iiiimuiiiiiiitniimmiiiiNiiimiiiitiiruniiiimmmiiiiiiiiiTi •
A constructive policy. iJ<l^<ru un uur ot-iirt in ll»r
future of Canada and Canadian Industries — is a
feature of Sterling brink service, both in the matter
of credits and advice
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament- Established I8'.i5
Capital Subscribed /5, 000, 000 525.000,000
Paidup 1,100,000 5.500,000
Uncalled 3,900,000 19.500.000
Resen-e Fund 1 ,000,000 5,000,000
Head Office - EDINBURGH
WILLIAM CARNEGIE, General Manager. GEORGE A. HUNTER. Sec.
LONDON OFFICE— 37 NICHOLAS LANE, LOMBARD ST., E.C.<
T. C. RIDDELL. DUGALD S.MITH.
.Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, :lre
retired on terms which will be furnished on application.
The Bank of Nova Scotia
ESTABLISHED 1832
Capitnl paid-up -
Reserve Fund and LIr
vided Profits ov
Total Assets Over
HEAD OFFICE
$8,700,000
18,000.000
■ 220.000.000
HALIFAX. N.S.
General Mnnager's Office, Toronto, Ont.
H- A. Kiciui.Dsnv. r.cncral M;in.iKer
Branches in Canada
;i9 in Nova Scotia VSl i
12 in Prince Edward Island ;iK i
In Nevrfoundland
B.iy Roberts. Bell Island. Bon.iviMii- B«nni- Bay. Brigus, Hurseo. Burin.
Cnrbonear. Catalina. Change Islands, Ch.inni:l. Fogo. Grand Bunli.
Harbor Grace. Hermitage. Little Kay KInnd-.. Hid Perhcan, St. John's.
Iwillingate. Wesleyville. Western ll:iv.
In West Indies
Cub.-H.-iv;ma
DomtDic«o Rcpoblc -Santo Domingo.
JiiDiiu- Black River. Kingston. .Mandeville
Port Antunio. Port Maria. St. Ai
Spanish Town.
Porto Rico— San Juan. Fajaidoand P.)nce
In United Stales
BOSTON CHICACU NEW YORK (AGENCY'
Correspondents
Crett Britain— The London Joint City and .Midland Bank. Limited : Royal
U.ink of Scotland.
Frince -Credit Lyonnaise.
UoiteJ Sum -Bank of N
itcgo Bay, Morant Ray.
Bay. Savanna-U-Msr,
York. N.B.A.. \c
w York: National Bank of
Commerce. New York : -Merchants Nalional Bank, Bo-ion ; Fir-t
National Bank, Chicago: Fourth Street N.ilional B.inli. PhiUdel.
phia ; Citizens N.itional Bank, llaUinuire; The American National
Bank. San Francisco: l--ii--t \a'.on-il Banli. Minneapolis. |-,rsi
N.ition.il B.inii, Se.ilil.
THE STRENGTH OF A BANK
ESTABLISHED in 1817 with modesl capital, the Bank ol Mon-
treal for over a hundred years has followed a conservative,
aggressive policy, until today it has assets in excess of
FIVE HUNDRED MILLION DOLLARS
I IKE Canada herself, Bank of Montreal has grown stronger
with the service it has rendered and the obstacles it
has overcome.
"ODAY the Bank is stronger than ever, prepared to
;nder ever-increasing service to the people and the
business concerns of the Dominion.
With Branches in every important ccnlie of every Province snd with dire. :i
bnnkinK connections throughout the world, we are fit for the laik of helpinu
Canadian business to grow to full stalurr.
A steadily increasini; number of butineis men. rntctpriiei, worketi snd
house holder;, ambitious vounK people — thrifty Csnsdiana of every loil.
cvcrywhere-arc (jettinK the benefit of the uttenKlK and intimnte service of
this financial institution.
Our nearest Brnncli Manager i» the best
J(
inl of
ilh
BANK OF MONTREAL
Established over 100 yrai.s
i)„cil li'irc jrrvicc mamiaincl /.cllrr.n .\/..fi(r<-o/. r.xon/o,
Hinn.fcp, Vancouver. \ca> ><.r(, C'licogo .imi^ Son f r.inciiro
Assets in excess of Five Hundred and Forty Millions
Savings Departments in ail RranchfS Head Office : Monltr.il
THE MONETARY TlilES
Volume 65.
CASHING CHEQUES FOR STRANGERS
Responsibility Rests Chiefly on Banks, and Adequate Pre-
cautions are Not Always Taken to Prevent Loss
By A. B. Barker
THE chief point of daily contact between the banks and
the general public, is at the teller's wicket, when
cheques are presented for payment. At times there is con-
siderable friction, due to the bank requirements in the mat-
ter of identification. The law holds the bank responsible
for payment to the proper party, and some of the public,
not i-ealizing this, or possibly not caring, are inclined to be
resentful when asked to prove their identity.
The average teller endeavors to perform this part of
his duty with full regard to the feelings of the payee, but
in view of his responsibility, he must play absolutely safe.
There are some, of course, as in all professions, who are
lacking in manners, but the vast majority handle the situa-
tion with tact and courtesy.
Resent Suggestion of Dishonesty
Part of the resentment felt by the honest man, who is
asked to get someone known to the bank, to identify him, is
due to pique at not being recognized, and this blow to his
self-esteem is apt to make him unreasonable, with others
of course it is merely a form of bluff, as they know per-
fectly well they are asking the teller to take a risk which
they themselves, under similar circumstances, would not
take. Sometimes men known to the bank are quite willing
to endor.se "for identification only," and profess to be much
agrieved when this is refused. This may be due to ignorance,
but as a rule their intention is that any risk in the matter
shall be borne by the bank, while any benefit accruing will
come to them.
Responsibility of Bank
When a bank accepts a deposit from a customer it
agrees among other things to account to him therefor on
demand, and to honor his instructions to pay his cheques
on presentation, out of the funds at his credit. In this ca-
pacity it is a trustee for its customer, and naturally the
customer looks to the bank to protect his rights to the full
under this arrangement. Under the Canadian law the respon-
sibilities of the banks in this connection are greater than
the law of Great Britain imposes on banks in that country.
The British system of crossing cheques insures the nego-
tiation of a cheque by the rightful payee only by having it
placed to his credit in the bank in which he has his account.
The law practically says that the maker of the cheque, by
crossing it as the act provides, can guard against loss by
theft, and that if he decides not to avail himself of this
method of protection, he niu«t stand the consequences. If a
bank in Great Britain, therefore, in good faith and without
negligence, pays an "uncrossed" or open cheque, the loss
would fall on the maker. This system of crossing cheques
is part of the Canadian law, but as the bank is not relieved
of any responsibility thereby, it is seldom used.
Banks Liable for Negligence
In the matter of conti-ibutory negligence, the public in
Canada is also protected at the expense of the banks. The
following is a case in point: Some years ago. in the west,
a farmer, in paying off his foreman, signed a cheque on his
bank account, the body having been filled in by the foreman,
who purposely left spaces in the cheque. It was drawn for
four dollars, and later filled up for four hundred by the fore-
man. It was presented to the bank, the officials of which
knew the jnan as an employee of their customer. It was in
order, so far as they could tell, and, in good faith, they paid
it. Later, it was disputed, and the bank's solicitor ad\nsed
tliat. except for the amount for which it was orginally drawn,
it was a forgery, and the bank, therefore, liable. The case
did not come to trial.
In the United States the Supreme Court of California
held that a bank paying out money on a cheque drawn to
order on which the payee's endorsment had been forged was
liable to the depositor, irrespective of the bank's freedom
from negligence.
When the public in general understands just what re-
sponsibility is borne by the banks in regard to cheques, the
vast majority, who constitute the reasonable part of any
community, will readily admit the necessity for adequate
precautions, and can be depended on to co-operate.
Epidemic of Frauds
At the present time the country is pestered with a num-
ber of forgers who are operating in various sections. These
have, unfortunately, been sufficiently successful to encourage
further attempts, and one result will be a tightening up of
the regulations as to identification in all of the banking in-
stitutions. Some of the schemes of these gentry are most
ingenious. In one of the more recent frauds a man of rather
good appearance presented a cheque for a fair amount at
the counter of one of the branch banks, and on being asked
for identification, claimed to be a relative of one of the
officials in a nearby plant, and suggested that they call him
up for confu'mation, giving the telephone number. The ac-
countant, with visions of a new account, foolishly called up
the number without verifying it, and was answered by some-
one claiming to be the party asked for. He obtained a full
and flattering description of the man who had presented the
cheque. Later, the cheque was found to be fraudulent, and
they are still looking for the payee and his coirfederate, and
the unfortunate accountant has learned a somewhat expen-
sive lesson.
PHtEXIX ASSURANCE COMPANY, LTD.
Previous records of the Phoenix Assurance Co., Ltd., are
shown to have been surpassed by that company in 1919,
according to the annual report, given in detail elsewhere in
this issue. Net premiums in the fire department totalled
.$11,320,195, compared with $9,970,775 in 1918. Net losses
were $4,812,010, a ratio of 42.5 per cent., against 44.6 per
cent, in 1918. New life business to the amount of $10,813,120
was issued, bi-inging in new net premiums of $467,535. In
the marine department net premiums totalled $4,197,670,
and claims. $3,839,190.
The company has been doing business for 138 years, and
in Canada its record extends over 117 years. The present
managers in this country are R. MacD. Patei-son and J. B.
Paterson. of Montreal. Last year the net cash received for
fire premiums totalled $1,145,616, an increase of nearly $100,-
000 for the year. The loss ratio was 43.16, or slightly higher
than in 1918. New life policies were issued in Canada to a
total of $659,843, an increase of $100,000, and the amount
in force is now $7,441,533.
The most notable event of the past year was the amal-
gamation of the Phcenix with the Norwich Union Fire, which
took place on January 1st, 1920. As a result of this arrange-
ment. Sir Gerald Ryan succeeds Lord George Hamilton as
chairman of the Phoenix, and R. Y. Sketch succeeds the
former in the position of general manager.
In his addi-ess to shareholders at the annual meeting,
held in London on .April 28th, the chairman. Sir Gerald Ryan,
outlined the successful results in the various branches of the
company's business. He also pointed out the important assist-
ance rendered by the insurance companies in war finance by
subscriptions to war loans and by the heavy taxes paid. This
would not have been accomplished if insurance had been
nationalized. "What would become of the vast volume of
profitable foreign business if insurance were nationalized?"
he asked, and continued to show how this foreign business
reacted to the benefit of the nation as a whole. "I have ven-
tured to lay before you these few personal reflections," he
said, "in order that all who are concerned in our important
branch of industry may give thought to the great damage
that may accrue to many interests, private and public, by
these unsound and ill-considered proposals."
July 16, 1920
THE .MONETARY TIMES
AFRICAN BANKING
Corporation, Limited
(LONDON)
Paid-up Capital and Reserve, $6,800,000
Over 60 Branches and Agencies
throughout South Africa
Principal Branches located at Bula-
wayo, Bloemfontein, Cape Town,
Durban, East London, Johannesburg,
Kimberley, Port Elizabeth, Pretoria,
and Salisbury.
THE NEW YORK AGENCY
negotiates documentary bills of exchange,
issues drafts and cable transfers, and transacts
a general banking business direct with the
branches of the Bank in South Africa.
Correspondence invited from Canadian Ship-
pers to South Africa, and facilities offered for
the conduct of their business with that country.
Address the New York Agency
64 WALL STREET, NEW YORK, U.S.A.
rnoMED
AN
KofIiAN
ADA'
Government Bonds
and Savings
Stamps
There is a pa^e in the Home Bank". Thrift Account
Book for entering the date of purchase, .mount, and
interest date, on Government Bon-^s, War Stamp., and
Savings Certificates. The form is very concise and will
preserve all the detail, for ready reference. A,k fo, a
copy of the Thrift Book. Distributed free at all Branche..
Branchea and Connect
on» Throushou
Canada
Head Office a
W N.r
e Branchri in 7"oronro
THE
Weyburn Security Bank
Chartered by Act of the Domiaion Parliament
HKAI) OKI-ICH \V|;V11LK'.\. S *SKA I CUKW AN
llRANCHliS IN .SaSKATCIIKWAN AT
Weyburn. Yellow Grass, SIcTaKKart, Hulbrite, Midalc.
C.riffin, ColKatc. Panjjinaii. RHciville. Assiiiiboia. IJcnson'
Verwood, Readlyii, Tribune, ICxpanse. Mossbank. VautaEc!
C.oodwaler, Darniody, .StouKhton, OsaKe. Crcelinan and
I.ewvan.
A gkni:k.\l hanki.ng hisink.ss traxs.'vctki)
H O POWHLL. Gcnir.il M;,naK,,
TH€ M€RCHANT5 BANK
Head Office : Montreal. OF CANADA
Est.iblrslu'cl 1864.
Capital Paid-up, $8,400,000 Reser\c Fund and Undivided Prohli, $8,660,774
Total Deposits (30lh April, 1920) - $163,000,000
Total Assets (30lh April, 1920) - $197,000,000
Board of Directors i
Thomas Long
Sir Fredekuk Orr Lewis, Bart.
Hon. C. C. Bailanttnr
SIR H. .MONTAGU ALLAN
I". Howard Wilson
Farouhar Robertson
Geo. I.. Cains
Vice-President
Al-FREIl B. K.vaNs
Thomas Aiifarn
Lt.-Col. J. R. MOODIK
A, J DAWli-S
Hon Loknk C. Wkbstep
E. W. Knkilanu
li0Kt>ON M. McUKi.OOK
General Manager - D. C. Macarow
Supi. of Branches and Cbie( Inspecior : T. E, Mkrrktt
General Supervisor - . - W. A. Meldri/m
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
T heir banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
greasiveness, promptness and sound advice.
391 Branches in Canada, ejctending irom the Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramiay and C. J. Crookall, Agenli
London, England, Office, 53 Cornhill : J. B. Donnelly, D.S.O., Manager.
Banker! io G.eal Britain : The London Joint City & Midland Bank, Limited, The Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
BANK BRANCH NOTKS
Five Ntw Branches Announced This Week— New Buildings
Planned in St. John, N.B., New Toronto. Ont.,
and .Marpole, B.C.
The following is a list of branches of Canadian banks
which have been opened recently: —
Winnipeg, Man. (Staflford and
Grosvenor Streets) Canadian Bank of Commerce
Winnipeg-, Man. (Portage Ave.) Canadian Bank of Comnierce
Walkerville, Ont. (Ottawa and
Walker Rd.) Bank of Montreal
Montreal, Que. (St. Catherine
and Poupart Streets) .... Banque d'Hochelaga
Hemingford, Que Banque d'Hochelaga
The Royal Bank of Canada erecting a new building at
Marpole, B.C., at a cost of $30,000.
The Bank of Nova Scotia will erect a new building in
New Toronto costing $30,000.
The Standard Bank is erecting a building at St. Johns,
N.B.
Edward J. Fitzpatrick, after three years' service in the
Brockville, Ont., branch of the Bank of Toronto, has been
transferred to Petrolia, Ont.
W. H. Thomson, who for the past 18 years has been
in charge of the Portage la Prairie branch of the Imperial
Bank, has now been transferred to Regina, Sask.
H. S. Calder, formerly at the Myrtle Station, Ont., branch
of the Sterling Bank, has been appointed manager at Som-
bra, Ont.
A. Burrow, former manager of the Sterling Bank at
Sombra, Ont., has been transferred to Richmond Hill, Ont.,
as manager of that branch.
N. J. Stevenson, formerly accountant of the Sterling
Bank at St. Catharines, Ont., has now been promoted to
acting manager of the Jordan Station, Ont., branch.
■ E. G. Matthews, formerly at Auburn, Ont., branch of
the Sterling Bank, is now manager of the Mpnkton, Ont.,
branch.
RATIFY ENTRANCE TO STEEL MERGER
Shareholders of the Dominion Steel Corporation at a
special meeting in Halifax, N.S., on July 15th, ratified
unanimously the agreement made by the directors for the
entrance of their company into the British Empire Steel
Corporation. Following the adjournment of the meeting,
Roy M. Wolvin, president of the company, gave out the
following statement: —
"I am more than gratified at the splendid spirit of
unanimity evidenced at the meeting this morning. The vote
polled, 298,000 shares, is the laigcst represented at a gen-
eral niteting since the inception of the company, and there
was not one dissenting vote. Now that our shareholders have
taken this step, I feel that it is fitting for me to say a
few words regarding the British Empire Steel Corporation.
"This plan to provide for the association of various
Canadian enterprises has been very close to mc for a long
time, and I am convinced that it will be of great benefit to
the jjrovince of Nova Scotia and the Dominion of Canada.
We to-day, must take a broad world vision, and the associa-
tion of the proposed companies will make it possible for
the Canadian steel industry to take its proper place in world
trade."
A most .<;uccessiui .seii^un iuis been concluded by the
Atlantic salmon hatcheries in Nova Scotia. While the total
number of eggs is not as large as it has been for the past
few years, the percentage' of eggs hatched was considerably
lavger. The distribution amounted to 6,722,000 fry, includ-
ing 21)2,000 trout. Fry to the number of 60,000 are being
fed in tanks during the summer.
EXCHANGE QUOTATIONS
Messrs. Glazebrook and Cronyn, exchange and bond
brokers, Toronto, report local exchange rates to The Monetary
Times as follows: —
Buyers. Sellers. Counter.
N.Y. funds 13 7-16 pm 13 9-16 pm
Mont, funds Par. Par. Vs to %
Sterling —
Demand .$4.40 $4.41
Cable transfers .... 4.41 4.42
New York quotations of exchange on European coun-
tries, furnished by the National City Co., Ltd., as at July
15, 1920, are as follows (all in cents per unit of foreign cur-
rency): Cable, London, 389%, cheque, SSSVa; cable, Paris,
8.29, cheque, 8.28; cable, Italy, 5.90, cheque, 5.89; cheque,
Belgium, 8.80; cheque, Swiss, 17.75; cheque, Spain, 16.05;
cheque, Holland, 35.07; cheque, Denmark, 16.65; cheque, Nor-
way, 16.70; cheque, Sweden, 22.05; cheque, Berlin, 2.59;
cheque, Greece, 12.75; cheque, Finland, 4.50; cheque, Rou-
mania, 3.10.
WEEKLY BANK CLEARINGS
The following are the bank clearings for the week ended
July 14, compared with the corresponding week last year: —
Week ended Week ended
July 14, '20. July 17, '19. Changes.
Montreal $170,114,423 $136,108,497 + $34,005,926
Toronto 105,686,766 91,646,337 + 14,040,429
Winnipeg 44,880,312 39,610,351 + 5,269,961
Vancouver 20,534,731 11,847,377 + 8,687,354
Ottawa 8,045,223 10,726,118 — 2,680,895
Calgary 6,588,068 5,910,168 + 677,900
Hamilton 7,805,490 6,737,506 + 1,067,984
Quebec 7,544,483 6,473,821 + 1,070,662
Edmonton .. 4,738,657 4,239,440 + 499,217
Halifax 6,270,796 5,330,825 + 939,971
London 3,67.9,328 3,644,744 + • 34,584
Regina 4,244,656 3,758,687 + 485,969
St. John 3,514,346 3,131,289 + 383,057
Victoria 4,899,846
Saskatoon 2,181,522 2,109,605 + 71,917
Moose Jaw 1,649,214 1,549,513 + 99,701
Brandon 804,488 633,623 + 170,865
Brantford 1,434,580 1,114,212 + 320,363
Fort William . . . 843,128 869,568 — 26,440
Letlibridge 645,830 800,477 — 154,647
Medicine Hat . . . 443,194 429,809 + 13,385
.New Westminster 878,688 553,905 + 324,783
Feterboro 974,847 699,688 + 275,159
Sherbrooke 1,119,479 1,027,969 + 91,510
Kitchener 1,349,081 908,057 + 441,024
Windsor 3,523,733 2,066,425 -f 1,457,308
Prince Albert 449,988 431,444 + 18,544
Totals $409,945,051 $342,359,460 + $67,585,591
Another confei'ence for the adjustment of the finances
of some Alberta municipalities has just been held, and it
is reported that arrangements have been made for raising
revenue sufficient to meet the obligations. Is a municipality,
which cannot itself calculate and levy an adequate tax rate,
competent to borrow?
Membership m the Saskatchewan Rural Telephone Com-
panies, Ltd., has more than doubled during the past year,
according to the report of the secretary of the association,
at the second annual convention held in Regina on July 7
and 8. Representatives of some 500 rural telephone com-
panies in the province, with a total of about 150 delegates
were in attendance.
'^y'^'^'-'^ THE MONETARY TIMER „
«.,-:,. AUSTRALIA and NEW ZEALAND '
BANK OF NEW SOUTH WALES
(BSTABLISURD IXI")
PAID UP CAPITAL • AUSTRALIA
RESERVE FUND .... j. "^^^SlA ' 20.000.000.00
RESERVE LIABILITY OF PROPRIETORS - ^M^ffil^f 16.000,000.00
AGGREGATE ASSETS 30.h SEPT.. 1919 - ^^S^ttj^JSil^ ,335.181.247 00
3.0 BRANCHES and AGKNOHS in .he ^..,r^^^L '^^y^t Tp'^'p "' , v ' 'T"' ^"""fV .
oi'lusultrJulni^^^^^^^ -r"' «-•■ '""""s every description
HEAD OFFICE: GEORGE STREET. SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET EC 2
. AoHNTs: BANK OF MONTREAL. ROYAL HANK OP CANADA ' "
ftjOorporat^d
- - t855
Branches
Throughout
Coinoda
THE MOLSONS BANK
Capital and Reserve - - - S9,000,000
Over l.'JO Branches
Remittances Abroad
Drafts for Sterling, Francs or Lire
sold at current rates of exchange.
Profit by present conditions to
make your remittances.
Consult our local manager.
Head Office - Montreal, Canada
E. C. PRATT, Getural Mawzer |--l■■■'
Succession Duties
in Ontario
The rates of Succession Duty having
been increased at the recent session
of the Ontario Legislature, we have
prepared a Booklet entitled " Succes-
sion Duties in Ontario." This Book-
let contains schedules of the new
rates, together with a summary of the
main provisions of the Act. To
readers of The Monelarxi Times we
shall be pleased to send a copy free
on request.
THE
ToroatoGeaeralTrusts
Corporation
Head Office - Bay and Melinda Streets, Toronto
LLOYDS BANK LIMITED,
HEAD OFFICE:
71, LOMBARD ST.. LONDON, E.C. 3.
CAPITAL SUBSCRIBED
CAPITAL PAID UP
RESERVE FUND
DEPOSITS. &c.
ADVANCES, &c.
If.') ii.i
3294,392, OOO
47,102,720
48,375,525
1,629,692,180
678,817,955
THIS BANK HAS ABOUT 1,500 OFFICES IN ENGLAND & WALES.
Colonial and Foreign Department: 17. CORNHILL, LONDON. LC. 3. London Agcnoy of the IMPE«i«L BANK OF CANADI.
The Agency of Foreign and Colonial Bnnks ih undertaken.
AffiUated Bank. • THE NATIONAL BANK OF SCOTLAND LTD. THE LONDON & RIVER PLATE BANK LTD.
Auxiliary: LLOYDS AND NATIONAL PROVINCIAL FOREK.N BANK LIMITED.
THE JI 0 N E T A R Y TIMES
Volume 65.
Provincial and Municipal Finances
Comparision of Per Capita Reveiuies and Expenditures in the Ditterent Provinces, and in 12 Representative
Cities— I'er Capita Expenditure For All Governments is Highest in Edmonton and Lowest in Charlottetown
*'nn HE simplifying and standardizing of tlie financial re-
A ports of provinces and municipalities would give, the
citizens of Canada a basis for judging the efficiency of the
governing bodies who are working for them. The exercise
of individual judgments based on impei-sonal facts is the
only possible guarantee of effective democratic government."
This is the foreword to a summary of the revenues ande.K-
penditures of the Canadian provinces, and of 12 representa-
tive cities just issued by the Citizens Research Institute.
This pamphlet follows a series recently issued dealing
with each province and leading cities. "The preparation of
the various provincial bulletins," says the Institute, "de-
monstrates clearly the necessity for: (1) Standardization
of provincial and municipal accounting methods; (2) a re-
vision of the methods at present employed by some provinces
and many cities in their reporting of financial facts, in
order that the average citizen may have a clearer under-
standing of the financial operations of his governing bodies.
"Some provinces and cities have already made com-
mendable progress in modernizing their accounting and re-
porting procedure, but others ai-e still following methods
Dominion subsidy .$1.17
which are obsolescent or distinctly obsolete." A comparison
of the main sources of provincial revenue, on a per capita
basis, for the year 1917, is given in table 1. Table 2 com-
pares provincial expenditures for 1917 in the same way.
Revenues and expenditures of 12 representative cities for
1917 are shown in tables .3 and 4.
Adding together the cost of municipal, provincial and
national government in 12 leading cities, for the year 1917,
the resu!ti compare as follows: —
Victoria $ 66.44
Vancouver 69.31
Edmonton 81.56
Rcgina 53.87
Winnipeg 58.39
London 45.79
Hamilton 44.82
Toronto 56.06
Quebec 39.70
St. .lohn 40.85
Halifax 39.30
Charlottetown 29.23
FOR THE Year 1917 — by Main Sources — Compared
Miscellaneous fees, fines, etc
Taxes on corporations and companies . .
Succession duties
Lands, forests and mines ". . .
Charitable institutions
Taxes — land, incomes, etc
ON A Per
Capita
Basis
B.C.
Alta.
Sask.
Man.
Ont.
Que.
N.B.
N.S.
P.E.L
;i.i7
.$3.67
$2.94
$2.87
$ .95
$ .90
.$1.75
$1.24
$3.97
1.29
1.96
2.17
1.17
.83
1.19
.51
.17
.10
.12
.73
.52
1.01
.72
.57
.33
.07
.16
.45
.28
.10
.53
1.13
.78
.08
.25
.04
4.63
.28
1.30
.79
1.25
1.48
.09
.13
.11
.25
.19
.08
.14
.30
.07
2.73
1.41
.57
Table 2 — Expenditures of the Canadian Provinces for the Year 1917 — by Activities Performed
-Comp.\red on a Per Capita Basis
Division
Civil government, legislation and ad-
ministration of justice
Education
Agriculture
Dett charges (interest and sinking fund)
Hospitals, public institutions, charities,
public health
Public works, including highways ....
Alta.
Sask.
Man.
Ont.
Que.
N.B.
N.S.
P.E.I.
;3.24
$2.59
$1.87
$1.97
$ .95
$1
.20
$ .64
$ .43
$ .61
2.48
2.24
1.45
1.96
.94
.71
.89
.92
1.90
.20
1.38t
.33
.72
.29
.22
.23
.16
.17
2.25
1.98
1.72
2.38
.85
.87
1.97
1.21
.67
1.32
.60
.36
1.04
1.02
.41
.52
.70
1.00
4.06
1.30
1.18
1.18
.46
.67
1.46
.80
.82
'Expenditures may differ from those given in "British Columbia — How It Governs Itfelf," since figures in these
bulletins are based on those given in the Canada Year Book, and not on direct investigation as in the case of the above
report. -fAbout one-half of this is made up of advance payments.
Table 4 — Expenditures of Twelve Canadian Cities for the Year 1917 — by Activities Performed
-Compared on a Per Capita B.\sis
City
Victoria, B.C
Vancouver, B.C.
Edmonton, Alta. ...
Regina, Sask
Wininpeg, JIan.
Toronto, Ont
London, Ont
Hamilton, Ont ....
Quebec, P.Q
St. John, N.B
Halifax. N.S
Charlottetown, P.E.L
General
government
. . $ 8.56
8.86
26.24:1:
5.81
8.82
9.10
6.45
4.07
9.25§1|
4.25
5.22
Protection of
persons and
Education property
2.11
$ 7.53
7.43
14.04
8.22
7.11
8.65
7.60
6.57
2.88
3.49
6.07
1.64
$5.92
5.58
4.37
3.44
5.49
5.68
2.96
2.92
3..54
2.63
2.69
1.01
Highways
and bridges
$4.48
6.77
2.09
6.57
2.59
3.02
3.04
2.49
2.41
2.66
1.52
1.88
Charities
and
correction
$ .77
2.93
1.20
.27
3.22
1.84
2.63
2.15
.23
1.68
1.48
.04
Health and
sanitation
$7.51
5.21
1.82
3.71
1.66
4.04
.37
1.19
.36
.81
1.22 .
.67
Recrea-
tion
$ .52
1.38
.26
1.14
1.08
1.30
.29
.63
.12
.09
.17
.12
Popula-
tion
36,400
102,550
55,000
40,000
182,848
473,829
57,301
107,826
103,426
61,000
50,000
12,000
^Includes the expenditures for debt charges on all city debentures at it w-as impossible, from information at hand,
to allocate same to the various services. 5'! Includes water works expenditures.
July 16, 1920
THE MONETARY TIMES
U
SterungTrusts Corporation
Experience and Judgment
dre necessary to the efficient management of any
estate.
Our broad experience in these matters assures
estates or trusts placed in our care efficient atten-
tion and mature judgment resulting to the profit
of such clients.
^^_ ""llEADOFFIttH^MNG ST."eAS^^
Your Summer Vacation
can be made free liom woriy in regard to business
which might otherwise be neglected, by ap-
pointing this Company to act as your Agent
during your absence. We will be pleased to be
commissioned to collect your rentals or other
moneys, make payment of taxes, etc.. submitting
statement of all transactions.
C oncsponJcncc and criquirics inviUti.
THE CANADA PERMANENT TRUST COMPANY
18 TORONTO STREET, TORONTO
THE
Slockt an
ALBERTA TRUSTS COMPANY, LIMITED
FINANCIAL AGENTS
dSondi.Flrt/raurance.clc. Real EttalcanJ Farm La ndi. Valaaton.tk.
Correspondence solicited
Union Ban
C. S. Waluis.
President
k Building - Edmonto
Geo. T. Bragg. J.
Vice-Pres. and Secretary Man
n. Alberta
J. AhDBRBON,
aginR Director
COLONIAL TRUST COMPANY
Head Office - Victoria. B.C.
Registered in the Provinces of British Columbia .md Alberta
Authorized to act as
Administrators Liquidators
Receivers Asaicnees
Executors and Trustees
R. F. TAYLOR, Managing Director
Good Business
If it is good business for you to h.mdlc your estiiir »iih cjdrrme
care while you arc alive, to walch Ihe details, il is more csscnlinl than
ever to see that it will be in the care of conipcirnl persons when you
are dead. An individual executor can only give Imiilea experience
This Trust Company provides the permanent service and combined
experience of a stafl" of specialisls. In making your will name lhi»
Company as executor. Write for our interesting booklet on wills.
Chartered Trust and Executor Company
46 KING STREET WEST, TORONTO
HON. W. A. CHARLTON, M.P .
President.
.IOH\ J. GIBSON. .Ma
WESTMINSTER TRUST COMPANY
The Oldest Provincial Trust Compimy m BC.
Head Otfice - NEW WESTMINSTER. B.C.
GENERAL FINANCIAL AGENTS
Admiuttlralon. R§c«ivBn, Extcvters. Hqmidaton. AtsttmefS. Tn$t»4i
E. A. RIDDBLL. Manager
The Security
Trust
Company,
Limited
Head Office
.
Calgary,
Alberta
ACTS
AS
Liquidator, Trustee
Receiver
Stock and Bon<
Brokers.
Administrator, Executor.
General Financial Agenls. |
W. ,M. CONNACHKR
I'rev .ind M..
„„,,r.D,r.c,.,r 1
Saskatchewan General Trusts
Corporation, Limited
Head Oflice : Ke(<ina, Sask.
Executor Administrator Assignee Truster
Special attention given Mortgage Investments, Collections.
Management of Properties for Absentees and
all other agency business.
U0.4I(I> OF ItlKKCTOKS :
W. T. MOLLAKD, Presiden
G. H. BARK, K.C.. Vicc-Pr
W. 1 . MULLAKU, FreSldenc u. n. I5rt i\i\, ia.^.. * iwi-t ■ v-.,".-
H. E. Sampson K.C. A. L. Gordon. K.C. J A M. P-itrick. I< C
David Low. M.l). W H. Duncan J. A. .McBridc
Chas.Willoughby
William Wilson
B. E. MURPHY. General Manager
K. K. iMlyRPMY. uenerai mianuKcr
Oificial Administrator for the Judicial District of Weyburn
The Estate
Voii Have Built Up
for \ our Family
Have you provided enough
protection to secure il for
your family after your own
administration has ceased ?
\ ou can do so most wisely
by appointmg this Company
your executor.
U'ritc for our hool(lcli
or comult ui.
National Trust Conipan\
l.iniitcd
CiipKnl, $2,li(H),(m(l l<e«cr\c, J2, 00(1, (Kill
1H.22 KING STREET EAST • TORONTO
20
THE MONETARY TIMES
Volume 65.
Table 3— Revenue of Twelve Canadian Cities
Year 1917— by Main Sources— Compared
ON A Per Capita Basis
Revenue from taxes
City
Victoria, B.C
Vancoucer, B.C.
Edmonton, Alta . • . ■
Rcgina, Sask
Winnipeg, Man.
Toronto, Ont
London, Ont
Hamilton, Ont.
Quebec, P.Q
St. John, N.B
Halifax, N.S
Clialottetown, P. E. I.
General School
32.54
15.13
18.63
21.51
15.07
9.83
8.22
12.06
11.08
13.45
7.79
6.78
8.28
6.95
5.29
2.60
3.36
5.98
Total
$20.98
34.13
45.99
22.92
25.41
29.79
22.02
15.12
10.82
15.42
17.06
5.60
Revenue
from
other
sources
$4.10
2.94
1.06
8.21
3.26
3.26
.84
1.68
1.44
.93
1.21
1.33
SOME LIIK INSURANCE OBSERVATIONS
Slackening Tendency in Some Quarters-Labor Situation and
Approach of Hot Season Contributing Factors-
Tight Money Has Little or no Effect
A SURVEY of life insurance conditions in Canada by the
A ''Life Underwriters' News,'" brings out some pertinent
and interesting facts. The following questions were for-
:" d d to insurance offices in all parts of the Do-n.on:-
(1) Is business showing a tendency to slow up. or s it bemg
sold at the same rate? (2) If it is slowmg up a) is it due
as a natural consequence of the approaching hot season
(b) Or is it the beginning of the long-expected slump (e
Or is it due to the tightened financial condition? (d) Oi
ean vou assign any other reasons? (3) What are other
observations from your experience?
In regard to the part one of the first question, the vote
was two to one in favor of the negative. The number of
affirmative answers was 23, of which 8 were head office, and
3 from the western provinces, while the number of negative
replies was 39, of which 9 were head office and 7 from the
west. Those who said that there was a slowing up advanced
the following contributing causes: (1) Approaching hot
season. (2) Beginning of long-expected slump. (3) light-
ened financial condition.
Other Reasons for Slackening
Tn replv to part "D" of question No. 2, the following
answers we're submitted: From head offices: (a) Labor
unrest causing some uneasiness in respect to industry, (b)
Natural reaction from excitement of war leading to con-
servative policy in all lines of business, (c) A few dis-
tricts affected by unfavorable crop conditions.
From the west:— (a) Desire to await events.
Anxiety re crops.
From Ontario: — (a) New Dominion Luxury Tax.
Want of rain, (c) Labor situation, (d) Press scares.
General feeling of fear in minds of business men that re-
action is at hand.
From Quebec: — (a) Luxury tax and other taxes, (b)
Awaiting decline in prices to invest money outside of own
business.
From the maritime provinces:— (a) Many have been
spending too freely, and will economize in life insurance
now. Business good. Effect of luxury tax has soon worn
off.
General Observations
General observations, in reply to question No. 3, prove
interesting, and are as follows: —
Group and foreign business good. Country business
never better. Crop prospects bright, which will naturally
(b)
(b)
(e)
offset any letting up there may be in industrial activity.
Paying premiums more promptly, although loans are heavy.
Cause of loans attributed to necessity of having to buy
houses. Effect will be good.
Present tendency to "slow up" only temporary, as
public will be reassured that business conciitions are sound
in Canada, although there has been a great deal of ex-
travagance. Any slowing up is the result on the agent's
mind rather than any lack of ability, due mostly to the
psychological effect of depression talk. Changed attitude on
the part of the public is a permanent one. Money getting
tighter has no effect on life insurance.
During past three years life insurance has become so
favorably known as an important means of protection and
investment that it will take more than tight money and poor
crops to seriously affect volume. A slump will only serve
to emphasize the value of life insurance — a good business
even in bad times. No falling off whatever in collection.
If business is falling off, it is because agents are lazy.
This opinion is generally held. Results still coming to the
real life insurance salesman even in increasing volume. Peo-
ple generally are as prosperous as last year.
There is certainly no room for pessimism. Optimism
rules the day. If a slump does come, people will think, and
naturally realize that all their other assets are apt to
fluctuate in value, and that practically the only investment
they can make which will pay 100 cents on the dollar at
their death is life insurance. Life insurance men have a
golden opportunity not enjoyed by any other classes of
salesmen.
COBALT ORE SHIPMENTS
The following were the shipments of ore, in pounds, from
Cobalt Station, for the week ended July 9th: Nipissing Mine,
390,147; Mining Corporation of Canada, 128,679; O'Brien
Mine, 64,380; total, 583,206. The total since January is
12,546,119 pounds, or 6,273.05 tons.
GRAND TRUNK ARBITRATION BOARD
The Grand Trunk Arbitration Board is now complete,
with Sir Walter Cassels, Chief Justice of the Exchequer
Court, as chairman; Sir Thomas White representing the
government, and the Hon. W. H. Taft, ex-president of the
United States, representing the Grand Ti'unk Railway.
The court, which will begin some time in September, had
had submitted to it by the government the duty of determin-
ing the value of the first, second and third preferred stock
and the ordinary or common stock of the Grand Trunk Rail-
way. The award is to be made by the arbitrators within
nine months of the time of appointment, unless more time
is granted by the government. A unanimous award will be
considered final, but if not unanimous there can be an appeal
to the Supreme Court of Canada or to the Judicial Com-
mittee of the Privy Council, if notice of appeal on any
question of law be given within 30 days of the making of
the award.
These stocks are given at a total par value of £37,073,-
491, the common stock alone being shown at £23,955,437.
The real value of these .stocks has to be determined. The
sum of the total award to the company is an amount on
which the annual dividend at 4 per cent, per annum would
not he more than $5,000,000.
A first dividend to the depositors and creditors of the
defunct Dominion Trust Co. will be paid in September, ac-
cording to an announcement made by Liquidator G. C.
Gwynne, in Vancouver, on July 8. Passage of a special act
by the federal parliament has removed all obstacles which
would have delayed payment for another two years.
July 16, 1920
THE MONETARY TIMES
that yoLi can place your
relievfnR yourself of the
your i
We make a specialty of servir.R under
"LIVING TRUST AGREEMENTS'
and our experience and special facilities for handlinK all matter
'ith property assure you of the r
not what you pay us. but what we, pay you that t
Co»He it[ to-dav and sec us reetirdin^ a " Livittt;
■nu-ul." or write f,.r our h r.kUI.
Union Trust Company, Limited
HENRY F. GOODERHAM. Pmident
TORONTO - - Cor. Bay and Richmond Sts.
WINNIPEG. MAN. LONDON. ENGLAND
i% on Savitias^ Withdraivable by Cheque 71
Be sure your WILL is made, naming a Strong
TRUST COMP.\NV as your
EXECUTOR
Ask for Booklet: "The Corporate Executor."
CAPITAL, ISSUED AND fiUBSCRIBED ..$1,171,700.00
PAID-UP CAPITAL AND RESERVE 1.172,00000
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICK: \VIXXII'I-:G, CAN.
THE BANKERS
TRVST GOMB\NY
Head Offices: MONTREAL
Authorized Capital $L0O0,000
I'rciiJcnl -
SIR H. MONTAGU ALLAN. C.V.O.
yice-PrciiJcnli ■
A. J. DAWES D. C. MACARO'X
JAMES ELMSLY - General Manager
C. D. CORNELL -. - Secretary
Directors:
Sit H. Montagu All.n, 1. D. G. Kipp
T. Ahe.rn CV.O. W. B. Leitch
G. L. Coin. Sir F. Orr Le>
A. J. Dawe« The Long
A. B. Ev.n. D. C. M.c.ro
D.vid N. C. Hogg W. A. MeMi
1. M. Kilbourn
T. E. Meirrlt
U.-Col. J. R. Moodic
F«lQuh«i Rol>pi1«)n
Hon.LornrC.W eb.te
F. How»i<) \Jl'.!»on
Edwin H. Vl'il.on
F. E. Meredilh. KG. John W ,l«,n
Offices now open in Montreal, Winnipeg-
Calgary, St. John, N.B., Halifax, Re(?ina,
Vancouver, X'ictoria and Toronto.
Premises in Merchants Bank Building in each city
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for investinent in all clas.ses of Securities.
Business Agent for the R. C. Archdiocese of Vancouver.
Fiscal Agent for B. C. Municipalities.
Inquiries fncifed
Lii'iii. -«<•!. «;. II. iMiUKt:i 1.
<>en«ral Mauager
IRON MINE
FOR SALE
COUNTY OF RENFREW
Near Perth
|„r lull ,,.,111. ul<.t». r-p.Tl ol i.^-.Tv. rl, . ..ppiv
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAY nnd MII.INOA .Sl.S. TORONTO
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acts as Executor, Administrator, Truslee, Guardian, Liquidator
Assignee, and in any other fiduciary capacity.
Official Administrator for the Northern JudiciHl
District and the Dauphin Judicial District m
Manitoha, and Olficial Assignee for the Western
Judicial District in Manitoha and the Swift
Current Judicial District in Saskatchewan
Branch Office ■ - Swift Current, Sa.kalchew.n
JOHN R. LITTLE. Managing Director
ACCOI NT HOOKH
I.OOSi: I.KAF I.KlKil lis
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Pattcrnn made to ordrr
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds. Size and Quality. Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl StrceU TORONTO
THE MONETARY TIMES
Volume 65.
INSURANCE LICENSES ISSUED IN JUNE
Two Ne« lOmpanits Obtain Charter to Transact IJuRiness
in Canada — I'oiir Others Have Scope Extended —
Fraternal Henefit Societies Also Registered
TWO new insurance companies obtained Dominion licenses
in June, while four others already licensed under Can-
adian laws, were authorized to extend their scope. The new
companies which obtained licenses were: Traders and Gen-
eral Insurance Association, Ltd., to transact the business
of fire insurance, with head office at Toronto, Ont., with
Carson and Williams Bros., as chief agents; Pacific Marine
Insurance Company, to transact the business of fire, automo-
bile and inland transportation insurance, w-ith head office at
Vancouver, B.C., and L. H. Wright, president of the com-
pany, as chief agent.
Companies which obtained authorization to extend their
scope were: London and Lancashire Fire Insurance Co.,
Ltd., to write explosion insurance; General Accident Assur-
ance Co., of Canada, to write burglary insurance; Casualty
Company of Canada, to write automobile insurance in addi-
tion to plate glass insurance for which it is already
licensed; Globe Indemnity Co. of Canada, to write forgery
insurance.
Besides these charters, two fraternal benefit societies
also obtained licenses. "The Maccabees" was authorized to
transact in Canada the business of sickness and disability
insurance, to the extent authorized by its act of incorpora-
tion, in addition to life insurance for which it is already
licensed. The "Association Canado-Americaine," a new so-
ciety, was also authorized to transact the business of life
insurance to the extent authorized by its act of incorpora-
tion. The chief asency of the association will be in the
city of Montreal, Que., and J. Emile Lussier has been ap-
pointed chief agent.
company will continue to represent the Occidental and Nova
Scotia Fii-e insurance companies.
F. C. Walls," manager of the agency of the Edmonton
Agency of the North American Life Assurance Co., has been
appointed president of the Edmonton Life Underwriters'
Association.
Geo. A. Symons, for the past two years cashier of the
eastern townships division (Quebec) of the Sun Life Assur-
ance Company, is giving up his office duties to devote his
whole time to field work. Mr. Symons is secretary-treasurer
for the Eastern Tow'nships Life Underwinters' Association.
W. R. Brownlee, of the Continental Life Insurance Com-
pany, has assumed the duties of provincial manager for
Quebec, with office in Montreal. He succeeds M. D. Mc-
Pherson, who has resigned.
S. C. Tweed, superintendent. Mutual Life Assurance
Co. of Canada, Waterloo, Ont., has resigned that position,
his resignation to take effect at the end of the calendar
year.
SOLDIER SETTLEMENT LOANS
Soldier Settlement Board loans passed the seventy mil-
lion mark in June. Up to the 19th of the month there were
17,872 soldiers' loans, amounting to $70,5.55,434, approved.
The loans were for the following purposes: —
Land purchase $38,399,892
Implements 7,849,386
Stock and equipment 22,259,668
Removal of encumbrances 2,046,488
$70,555,434
ALBERTA INSTITUTE OF CHARTERED ACCOUNTANTS
New Provincial Charters
New companie.s which obtained provincial licenses to
do business in the province of Quebec are as follows: —
British Northwestern Fire Insurance Company, to transact
the business of fire insurance, with G. Gordon Lewis, Lewis
Bldg., Montreal, chief agent; Tokio Marine and Fire Insur-
ance Co., Ltd., to transact the business of fire insurance,
with Wm. Boyd, c o Irish and Maulsen, Montreal, chief
agent; American Central Insurance Company, to transact
fire, hail and tornado insurance, with W. G. MacKenzie,
Lewis Bldg., Montreal, chief agent.
The Caledonian-American Insurance Company, which is
already licensed under Quebec, British Columbia and Mani-
toba laws, has been granted certificate of registration for
the transaction of fire insurance in the province of Alberta.
The Retail Merchants' Mutual Fire Insurance Company has
also been registered under Alberta laws to transact mutual
fire insurance in the province.
Permit has been granted to the Canada Security Assur-
ance Company, for the Westem Underwriters' Agency, per-
mitting them to transact in tlie province of Manitoba, the
business of fire, hail and automobile insurance. The Gen-
eral Accident, Fire and Life Assurance Corporation, Ltd.,
has also been granted a permit for the Scottish Canadian
UnderwTiters' Agency, authorizing them to transact in the
province of Manitoba, the business of fire, hail and automo-
bile insurance (excluding insurance against loss by reason of
bodily injury to the person).
Agency Notes and A|>poinlments
Messrs. Jones and Procter Bros., Ltd., Toronto, have
been appointed general agents for Ontario, of the Conti-
nental Casualty Company.
The partnership between Arthur McBean and A .S. Hill,
IMontre:d insurance agents, has been dissolved, and that busi-
ness will be continued under the name of A. IMcBean and
Co.. in the same office. Lewis Bldg.. St. .John St. The new
The annual meeting of the Institute of Chartered Ac-
countants of Alberta was held in Edmonton on May 22nd,
with President J. B. Sutlierland in the chair. Tlie president's
report showed that there had been a net increase of eight
members during the year, bringing the total up to 67, of
whom all but about a dozen would qualify for the D.A.C.A.
The financial statement showed a net surplus of $2,010, the
principal part of which had been invested in Victory bonds.
Delegates Suthei-land and Race reported to the meeting con-
cerning the convention at Winnipeg, and arrangements were
made to send two delegates to the convention in Ontario
during the summer, Messrs. J. B. Sutherland and W. H. A.
Thompson being the representatives elected.
A recommendation was sent forward to future meetings,
that the president who is retiring and the incoming pi-esi-
dent be the representatives in ensuing years to the D.A.C.A.
It was agreed tliat special arrangements might be made at
any time, but the adhering to some such plan as the one
suggested would provide desirable continuity. The elections
for the following year resulted as follows: President. Ed.
D. C. Thomson; first vice-president, F. M. Harvey; second
vice-president, M. C. McCannell; secretary -treasurer, C. E.
Race; auditor, H. O. Patriquin; representative of the insti-
tute on the senate of the university, Ed. D. C. Thomson.
Fifty-seven votes were reported as being either com-
pletely or substantially in favor of the proposed taritf of
fees, and it is probable that action will be taken shortly to
have the tariff authorized by the Lieutenant-Governor-in-
Council. A proposal that railway fares within the pro\nnee
be paid to members attending the annual meeting was de-
bated, but it was decided that the time was not opportune
for putting such an arrangement in force. A recommenda-
tion was carried that annual meetings should be held alter-
nately in Edmonton and Calgary. Explanation was made
by Mr. Sutherland of the recent incorporation of cost ac-
countants. Committees were appointed to thrash out the
details of Alberta's view concerning the report of the Do-
minion Committee on Uniformity of Standards. Their report
has since been sent in to the Dominion secretary.
July 16, 1920
THE IM O N E T A R V TIMES
INVEST YOUR SAVINGS
in a ^y^% DEBENTURE of
g^ ^ oi -^^^ Great West Permanent
O i /o Loan Company
INTEREST
RETURN
SECURITY
Paid-vip Capital $2,412,578.81
Reserves 964,459.39
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Re«ina, Calgnry,
Edmonton, V'ancouver, Victoria ; Edinburgh,
Scotland.
DELAY MEANS LOSS
The cash with which you have been intending to open
a deposit account shouM be earninR something for >'ou.
Open an account with thi» Corporation NOW and receive
interest at
THREE and ONE-HALF
per cent, per annum, paid and compounded half-yearly.
In addition to a arrvice noted for promplnrii And efficimcy )-ou will
hnvr the benefit of our lonn experience, which extend* over a period o(
»ixlv-f.vc yean. One dollw or more w.ll open an account on which full
< l.r: king privileKo w,U be allowed.
Canada Permanent Mortgage Corporation
TORONTO STREET - TORONTO
Ca^^ilol unJ 5(.rp/u» .Vtaf/v SI 2.000.000 W
Total A>>ch Exceed ■ S3}.000.000.00
Necessary Qualifications
Can an individual executor, however efficient,
be expected to possess qualifications possessed
by The Canada Trust Company such as : —
Ample financial responsibility;
Continuous seivice ;
Collective judgment and advice of a
Board of Directors ?
The Qnada Trust Coar^xy
" The Executor for Your Estate."
Sask; Edmonton. All
^"^ Ontario Loan
& Debenture Co.
LONDON iNcoRroRATKD ls7<i Canada
CAPITAL ANC UNDr\'iDBD Profits $,3.9<»i.O(iO
10/ SHORT TKRM (3 TO .5 YEARS)
5
DEBENTURES
YIELD INVESTORS
51
JOHN .McCLARV. President
A M. S.MAKT.Manater
/^\'ER 200 Corporations,
^-^ Societies, Trustees and
Individuals have, found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE
TORONTO
MORTGAGE COMPANY |
Office. No
13 Toronto Stree
Cip
tal Accour
t, 8Ti«.'..l«.oo
Re-orv: Fu
d. i!ic;<i.0M00
Tut.Tl A
scts.»-'l,4«9.l.'i«-l««
.WBLI.I
\r.TON KBANCIS. K<g .
K C.
V
ice-l'r
csidcnt. HEKBEKT LANGLOIS. B
^1-
D
ssued
to piy 5"
.. .-1 I,ck:iI Invcstmfnt l.ir
Trust Fundt.
D
posi
5 rcc
civcd ;
14', mil-
rest, withdrawable hv chct
uc.
roved Re
nl H«l.iti-on f.ivnr.ih:i- ten
WALTER GILLESPIE
Manaser
Six per cent. Debentures
Interest payBble half ye«rly at par at any bank in Canada
Particulars on application.
The Canada Standard Loan Company
5 20 Mc/ntyre Block, Winnipeg
Port Arthur and Fort William
Realty Investments
Inside City and Revenue Producing Property.
Mortgage Loans Placed.
Write us for illustrated booklet descriptive of
the twin Cities.
GENERAL REALTY CORPORATION, LIMITED
Whalen Buiiaing, PORT ARTHUR, OntBrio
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
M.uonic TcmpU- H.nlJir.k. L..mlon i>n«d«
IiiUMfSt .u I I>CT ci-nt i,,.v.il.U- lull yc.ilv <.u DrLmtmcd
T. H PURt)OM KC.Prc.ldtnt NATHANI8L MILUS M.na«f
London and Canadian Loan and Agency Co., Limited
K«i*r..i5"l:i' I-;. ■■' '"^'••- "T . ?0«€t%TO
l'..„l'up Capital. Sl.^W.ni-O IUM.S,'~a.c«>0 Tot.M A. .<■>«. fV0»M.7.
I>rlirnl«re> i.avicd, one hundred dollars and upward*. on« to five J"'"
IKM current rate.. Intercut payable haK-yearly. Theae f"<>''"'"2* u' "
Aulhnr.icd Trustee Investment. M<»-l«»Rc l.n»ns made in Ontario. Mam-
tohi .ind SaskJtthc" jn.
WILLIAM WEDIl, Secret. r^ V II WAOSWOHTH Manalrr
THE MONETARY TIMES
Volume 65.
MANITOBA PROVINCIAL SAVINGS BANK
Deposits up to July 10 Totalled $135,325, Says Chairman
Weir — Facilities Brought to Attention of I'ublic
«<T> ANKIXG by mail is a special service adopted by the
JD province of Manitoba savings office to give depositors
outside the city of Winnipeg a safe, convenient and profitable
method of depositing their savings," says a booklet just is-
sued by the chairman, E. A. Weir. Any person, it is ex-
plained, at any time, may deposit any amount by mail. The
interest rate is 4 per cent, per annum on the minimum
monthly balance compounded half-yearly. The money may
be withdrawn at any time by merely forwarding an order
to head office in a special order form provided for on re-
quest by letter signed by the depositor himself. Accounts
are opened by signing a letter, enclosing the money, in post
office, express money order, or bank draft, and mailing to
the office, for which a receipt in the form of an ordinary
bank pass book is issued. The book is balanced and interest
computed every May and November.
Regarding the safety of the deposit system, the booklet
says: —
"Deposits in this office are absolutely guaranteed by the
government of the province of Manitoba. Depositors can-
not lose. All the natural resources of the farms, forests,
mines, fisheries, water powers, the wealth of industries in all
Manitoba's towns and cities, the strength of the strongest
financial institutions and the resources of all the people of
the province of Manitoba guarantee the depositor's funds.
"This office was established to give the citizens of Mani-
toba an opportunity to invest their savings to help their
own province. The money secured from the people will be
used to finance the Rural Credits Societies and Manitoba
Farm Loans' Association. These institutions have helped
to make Manitoba prosperous by enabling farmers to bi'eak
up thousands of acres of land, buy livestock, clean off old
and burdensome debts, make purchases for cash and develop
better rural communities. The money may also be loaned
to assist in financing cities, towns, villages, rural munici-
palities or school districts within the province of Manitoba."
Business Done So Far
Up to July 10, $135,325 had been received on deposit,
according to a statement made by E. A. Weir, chairman, on
that date. The first deposit was made by W. J. Sisler,
principal of Strathcona School, Winnipeg, on June 2. The
total number up to June 10 was 25. "We have had deposits,"
said Mr. Weir, "from ten disti-icts in Manitoba by mail.
Among them are Elphinstone, Oakville, Souris, Sandy Lake,
McAuley and Minitonas. The foreign residents of the city
are displaying great confidence in the bank. Our deposits
in the north end branch and the number of enquiries we
are daily receiving are an indication, I believe, that the
provincial savings bank will prove to be immensely popular.
The guarantees we offer, the rate of interest and other fac-
tors entering into the banking business are proving very
attractive to prospective banking customers."
The head office of the liank, in the Lindsay Building,
will be opened July 20 or 21, Mr. Weir expects.
BRITISH REPORT ON CANADIAN TRADE
General Situation is Sound. Concludes Commissioner — United
Kingdom Manufacturers Alive to Foreign
Competition Here
A CANADIAN NATIONAL SUMMER RESORT
Among the new activities of the Canadian National
Railways this year is the opening of a modern summer
hotel at Grand Beach, on Lake Winnipeg, about 00 miles
north of Winnipeg. There are 200 guest rooms, each sup-
plied with hot and cold running water. The building has
been lined inside with fireproof gypsumboard, the material
for which was obtained from Gypsumville, Man., and manu-
factured in Winnipeg. Smoking rooms and ladies writing
rooms are provided on every floor. The cost of the im-
provements totalled in the neighborhood of $100,000.
"TT^CGNOMIC, industrial and commercial conditions in Can-
1-^ ada are sound, and given more stable, political and
social conditions throughout the woi'ld than those obtaining
at the beginning of 1920, the Dominion should achieve a
degree of development far surpassing that achieved hither-
to." This is the conclusion expressed in a blue-book just
issued by the British government, giving reports on the
trade of Canada and of Ontario by F. W. Field, British trade
commissioner in Ontario. With reference to the market for
British manufacturers, the following statement is made: —
"As a market for British manufacturers Ontario pre-
sents an attractive field, more especially in the lines in which
United Kingdom manufacturers have excelled for so long.
The development of Canadian manufacturing, of which such
a lai-ge proportion is carried on in Ontario, leads one to
the conclusion that the gi-eater part of British trade in this
market will in future years be confined to the principal
groups of manufactures which constituted the business here
of United Kingdom firms before the war."
Other Exporters are Active
Reference is made to the activity of the Japanese in
Canadian trade; to the opportunity for sales of machinery
here; to the need for more advertising of goods; to the high
production costs in Ontario factories as compared with those
in the United States; and to the increase in the number of
American branch plants here. British manufacturers also
showed their interest during the year by establishing fac-
tories here. As regards agencies, the following comments
are given: —
"It is still a matter for the consideration of certain
United Kingdom firms as to whether their agency arrange-
ments for Ontario, and Canada generally, should be treated
as part of their United States agency arrangements. At
least one British firm with branch works in the United States
has now established a branch in Ontario. The tendency of
United States firms with trade connections in Canada is to
establish separate units in Canada, either branch works,
offices, or agents,, to deal with their Canadian trade."
GERMAN GOODS IN CANADA
Germany is already securing considerable business in
Canada, according to statements made by E. J. Edwards,
British trade commissioner in Canada, at a meeting of the
Montreal branch of the Canadian Association of British
Manufacturei-s on July 7. Several clever and attractive
German trade circulars had come into his hands, he said,
through different Canadian firms which had received them,
and he urged that representatives of British manufacturers
here take warning from this German activity and keep in
close touch with buyers, even if they had diflSculty in supply-
ing goods.
It had come to his notice, continued the speaker, that
foreign manufacturers were trying to tempt British agents
here of good selling reputation to accept their agencies on
promise of ready supplies and high commission. He hoped
that such agents would not accept offers of that kind, but
w-ould make some small sacrifice by retaining their British
agencies, which would become more remunerative when con-
ditions reverted to normal. Another point stressed by Cap-
tain Edwards was that British agents here should urge
manuafcturers they represented to allocate a certain pro-
portion of their output for the Canadian market exclusively,
and so ensure a steady supply of British goods to this
country.
Julv 16, 1920
THE MONETARY TIMES
25
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank Bldg., Edmonton, Alta.
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
GENERAL AGENCY
FOR WINNIPEG
WANTED
Financial Man of lonK txpericnce. tried ability and irvj.i.
for many years head of one of ihe largest Companio op
eraling in the \V'e»l. seeks general agency for itronijly
established Company writing Fire. Accident. Liability oi
Auton^obile Insurance. Would consider light Commer-
cial Line. Valuable connections. Best reference* given.
Information can be obtained bv addressing
"FINANCE"
WINNIPEG
C o Mncpher.onMcCurdy Lid
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Weslcru Municipal. Sriiool anil .«»HpikalcboHaii Kural Trle>
pli'iue I'o. debeiiiureh Hperlullzcil In.
Correspondence invited
GRAINGER BUILDING - SASKATOON
NIBLOCK & TULL, Limited
STOCK, BOND and GRAIN BROKERS
Private Wire)
Grain Elxchange
Calgary, Alta.
Manitoba Finance Corporation Ltd.
Inyettment B-obrrt, Financial Agenlt, Etc.
Head Office :
410-11 Electric RIy. Chambers - Winnipeg, Man.
Phi.ni- C.irrs ;i>-)
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Vl'eslern Canada
Fiscal Agent for Manitoba, Albmrta Flour Mills, Limited
Lougheed & Taylor
LIMITED
Bond Dealers and Financial Agents
210 Eighth Avenue West, Calgary,
Alberta
Government Municipal and Corporation Bonds
X
Vancouver District Property
Expert Estate Agents and Managers
Properly Bought^nnd Sold. Valued. Rented and
R.-porlcd on Ccrrrspondence invited
WAGHORN GWYNN Co., Ltd.
rancoyxr
TOOLE, PEET & CO., Limited
INSURANCE AND REAL ESTATE
MORTGAGE LOANS ESTATES MANAGED
Cable Adiiresj.Topcco Wtstcrn Lr .inj A H t. .'Ih HJilion
CALGARY, CANADA
H. H. CAMPKIN
insurance, Loans, Bonds, Debentures and Real Estate
AscntforCanadianPacificR.lilvrayCo. Lands. Canada North
West Land Co. Lands, Hudson's Hay Company's Lands.
REGINA, SASK.
F. S. RATLIFF & CO.
FARM LANDS— FARM LOAiN'S
STOCKS AND tiONDS
Medicine Hat Albertn
WANTED
.'\gency for Board Com
pany Fire Insurance lui
City of Edmonton
WHYTE & CO., LIMITED
Insurance Brohfrf
111 Pantages Building - Edmonton. Alia
MACAULAY & NICOLLS
IXSUR.iXCE Of- ALL CLASSE.s
i:sr.\TES M.WACin
746 Haslinga Street - VANCOUVER, B.C.
C n MM \LL.\Y J 1> NICOLLS N,jl..rj I'lil ic
THE MONETARY T I JI E S
Volume 65.
Foundations of Progress and Prosperity
Changins Viewpoint as to Maintaining and Raising Standard of Living-
There Is No Surplus Which Can Be Tapped, Nor Does More
Money Provide a Remedy— Capital as Well as Labour Must Be Efficient
By W. W. SWAN SON
PROFESSIONAL economifts and others who ought to
know bettei- are engaged in the pleasant process of per-
suading "labor" that it is being grossly exploited by the capi-
talist class, inasmuch as the entire field of labor has not been
organized and the workers have not, therefore, a sufficient
"voice" in the management of industry. The general conclu-
sion that is reached is that the accumulation of capital has
proceeded apace, and that the rich have grown richer as the
poor have grown poorer. This is true neither absolutely nor
relatively.
An examination of many of our financial corporations will
disclose the fact that not only are their shares held widely by
the people, but also that their activities are vitally essential
for the common good — and not for the betterment of a pre-
ferred class. Be that as it may, the common notion that the
"surplus" should be seized by labor for its immediate enrich-
ment is one of the most pernicious fallacies of the times. It
is not by that facile and short-cut method that the workers
will be able to make permanent gains. This is obvious enough
to those, including the workers themselves, v^-ho have observed
that the increase in money wages has in general given no cor-
responding increased command over the necessaries and com-
forts of life.
W'age Increases Were InelTeetivo
It has been said sufficiently often that wages when ad-
vanced have but brought prices and wages alike within the
swing of a vicious circle. This solution of the wages problem
was, under present conditions, doomed to failure from the
first. The assumption underlying this plan of bettering living
conditions was that it was possible to restore the standard of
living to all the people that existed in 1914 — that a mere in-
crease in money wages would maintain and even improve that
standard for the masses, 't'hc futility of the argument, and
the program, is found in the fact that while money wages
were never before so high in Canada and the United States,
and while money circulates in growing volume, it becomes in-
creasingly difficult to got back to the old standard of living.
In the countries of continental Europe the very plethora of
money has raised prices to fabulous levels while at the same
time reducing and degrading the standard of living. It is
well to recognize that the chief difficulty to be overcome is
the actual dearth of goods — that no matter how high money
wages arc raised there are simply not enough commodities to
go around. And if this continent is to do its fair share in
rehabilitating the economic life of the world there will not be
sufficient commodities to satisfy even the primary needs of
humanity for a long time to come.
I'rodiiolicMi and the Hours ol Work
The intimate relation of production to consumption is ig-
nored or glossed over by those who speak so glibly of solving
the economic problem by the easy expedient of dividing the
"surplus" with labor, or handing over that surplus in its en-
tirety. In that exceptionally able work, "The Case for the
Shorter Working Day." by Felix Frankfurter of the Harvard
Law School, and Miss Josephine C.oldmark. the chief emphasis
was placed upon the relation of industrial fatigue to produc-
tivity; and the eight-hour day was justified by the fact that
it had resulted in a higher output per individual per day, which
in turn was made the reasonable basis for increased wages
and a higher level of living.
Rut much of present-day discussion turns upon a reduc-
tion of hours to increase the amount of work, or rather, to
make the same work go farther. Many workers are obsessed
with the idea that shorter hours and higher money wages
make for the permanent prosperity of their craft or class.
They lose sight of the fundamental fact that real wages con-
.sist of what money will buy, and that a general decrease in
productivity injures them first, and most of all. At present,
the needs of the world considered, there are simply not
enough commodities to go around. The granting of higher
money wages, without a corresponding increase of the pro-
ductive output, leads labor into a fool's paradise. If a gen-
eral increase in the volume of money in circulation means
prosperity, then Russia, Germany, Italy and France should
be just now the most prosperous countries in the world.
There Is No Surplus
Emphasis upon thrift in order that the permanent mach-
inery and tools of production may be increased through invest-
ment does not appeal to many in the community who demand
that they may eat their cake and have it. The practice of
thrift is too painful and prolonged a process when immediate
whims and desires may be sated by the appeal to the local or
general strike, or when wages may be increased by the mere
threat of provoking industrial disorganization. And thus
throughout the United Kingdom, the United States and the
Dominion the idea has become all too general that the chief
business of labor to-day is to obtain a greater share, or the
whole of the surplus — when the surplus is not there. The
only surplus that can be divided is one that is produced; and
this brings one back to the basic and elementary fact that the
quickest and most certain method of raising both local and
general standards of living is first of all to produce the goods.
The attempt to correlate wages with ever-climbing prices, and
to get back to the old standards of living by the money mirago
route is burning the truth into the minds of men that labor
cannot reap where it has never sowed, and that underproduc-
tion makes its malign eflFects felt first in the field of labor.
Industry :\Iust Have Skilled Direction
Much is made to-day of the "democratization" of indus-
try, and no doubt the principle itself when correctly applied is
capable of accomplishing great good. There are radicals
and visionaries, however, who imagine and indeed insist that
democracy in indu-stry involves the abolition of the executive
and capitalistic class as we now know it. In Canada there
are relatively few capitalists, as such, who are not directly
concerned in the management of industry; and of men of this
type the imperative need of the day is for more of them, not
less. For, in a word, the e.xecutive is the man who has both
the vision and the practical ability to get things done, and to
get them done in the most effective way. He it is who has
learned to combine the many factors of production in such a
manner as to obtain the best results — for labor as well aS
for capital. The man who has that great gift will always be
in demand, and will always receive a high return, whether in
terms of money, of prestige, or of power.
Combining Factors in Production
Dominating the nation's economic life is the great law of
proportionality — the combining of the factors of production
in the most efficient way. Abundance of land and abundance
of capital in fixed forms — in mines, farms and factories — is
in itself the origin and the explanation of the demand for la-
bor. It has often been remarked by economists that the chief
reason for the higher level of wages in the Dominion and the
United States, as contrasted with hitherto prevailing Euro-
pean standards, is found in the alternative employment always
open to the worker on the land — and particularly to the pos-
July 16, 1920 THE MONETARY TIMES
27
SUN INSURANCE OFFICE
Excerpts from Report of the Directors for the Year ending 11 ■
31st December, 1919 " I
2iaimn;:;iii»ntic:.,'i ,j 5
Ftre Account i i
I! i
Premiums received, less Re-lusuranees $11,333,095 i S
Losses paid and outstanding 5,360,690 i
being at the rate of 47.30 per cent, on the Premiums received. 1
E.xpenses of Management (including Commission to Agents and Working Charges of all ?
kinds) being at the rate of 38.83 per cent ■1,400,3*S."
After reser^'ing as unearned 40 per cent, of the Premiums to cover liabilities under current
Policies, there is a Credit balance of 491,065
which is transferred to Profit and Loss Account.
Profit and Loss Account and Dividend
The balance brought forward from last year was $ 2,098,01(i
Paid for Dividends in respect of 1918 684,000
Leaving a Credit Balance of : $ 1,414,010
This by the operation of the year has been increased to S 3.1 10.860
There has been: —
Carried to Pension Fund * 150,000
Leaving a Credit Balance of $ 2,960,860
An interim Dividend of .51.75 per Share, less income tax absorbing $294,000
was paid in .January last. The Directors have declared a further divi-
dend of S2.75 per Share, less income tax, payable on the 1st of July, which will
absorb a further sum of 462,000
756.000
Leaving unappropriated S 2.204.860
Tr"'"'"vw:tiXX[T'W " ' ' ""aWHuKHOlWiiJiVilWiiTlV t
Funds
The Total Funds of the Office stand as follows:—
Capital Paid-up \'iTZ
Fire Fund ' '^r ff?
.\ccident Fund cnool-
Employers' Liability Fund oor'o'-
Burglary and General Fund "OOOO
Dividend Reserve ■ ill'r ,„-
Pension Fund 10^ fioo
War Contingency Fund •!"' 000
Investment Suspense Fund on iccn
Balance at Credit of Profit and Loss Ac -ount _J___.
S2n.IlS3IO
CA^'AnlAN BRANCH .-
15 Wellington St. East, - - Toronto
LYMAN ROOT, Manager .
limm«miii™!iimmT!i''ifNM.™iiiiii)itfiiiiiiiciiiHiM«i»^
28
THE MONETARY TIMES
Volume 65.
sibilities of sclf-omployment there. The same principle ob-
tains with respect to the building up of capital resources in
fixed forms. A greater railroad mileage and a more efficiently
organized railway system makes for the employment of labor
and higher wages. An increase of capital brings benefits to
the entire community, and directly raises the status of labor.
With enlarged capital investment in fixed forms, and more
abundant funds in the loan market, the return to capital by
way of interest and dividends declines. At the same time the
demand for labor increases, and with that increased demand
the rate of wages. The decline in the interest rate makes for
community progress and development, and hence for increased
geneial prosperity.
(
Increased Wealth Benefits All
Thrift and increased production, let it be repeated, make
inevitable the raising of the standard of living for labor and
the improvement of social and economic conditions for the en-
tire nation. It is impossible to increase the per capita pro-
duction of wheat, say from five bushels to eight or nine, with-
out at the same time raising the standard of well-being of the
whole population of the country. And what is true of wheat
is true of all other economic goods — both concrete goods as
well as services. If wealth increases faster than population
the relative return to capital falls, and the return to labor
rises. Granted that there is injustice in specific cases, that
some employers underpay employees, it by no means follows
that employers in general, by concerted efforts or otherwise,
can defraud labor of its just reward. W'ith an abundance of
free land, or of cheap land, and an abundance of capital, the
demand for labor will inevitably foi-ce wages to higher levels.
Underproduction penalizes capital, but it is fatal to the best
interests of the workers themselves.
Example of Russia
There are some radical labor leaders who profess to see
great advantages in the soviet system of government. If
they have followed recent developments in Russia they will
have observed that the emphasis has been shifted from the
right to strike to the necessity to work, and that a great
scheme is being formulated and put into operation for the
con.scription of labor. It has come home to the leaders of
soviet Kussia, and to the members of the various committees
in charge of national affairs, that not visionary theories but
hard work is the only way of economic salvation for the na-
tion. If one can rely upon reports from Russia, already the
soldiers of the. third army in the Ural region, retaining their
military discipline, have been compelled to reorganize for
labor in the service of the nation. Bitter protest has been
entered against the scheme of compulsory labor on the ground
that it will make the technical expert and the business execu-
tive supreme and lead to the collapse of "industrial democ-
racy." Whether such be the outcome or not, it has become
plain to the hackers of the soviet that all that remains of Rus-
sian civilization and industry will disappear unless the entire
labor power of the country is organized in behalf of produc-
tion. The imperative importance of work, and not the right
to strike, receives the emphasis there to-day.
During the war the Anglo-Saxon democracies, including
the United States, gave close attention to the cadastration
and the organizing of all available resources — not only of
material wealth but also of labor power. Under the stress of
war amazing feats of production were performed. It was
regarded as something little short of treason that waste of
materials or of labor power should be permitted. In the great
industrial establishments of the United Kingdom and the
United States scientific analyses were made of the causes of
underproduction and the loss of productive energy. As a
result of these studies, jjroduction was keyed up to the high-
est possible pitch. Workers were instructed not only how to
make their labor count for more, but also how to safeguard
health. True, the driving power that the war emotion gives
to industry has gone, but the idea must be recaptured and
made effective in new ways. If farms that are now under-
developed, and workers that are below the average, could be
brought up to par the result would be an immense increase
of capital and new areas of work opened up in the fields of
trade and commerce.
Guaranteeing Return on Investment
This obligation of increased efficiency rests not only upon
labor but upon capital also. In the recent United States
legislation, providing for a guaranteed return of 5^2 per cent,
on the capital value of the railways in the several groups into
which they are divided, the opinion was expressed in some
quarters that such a guaranteed return would inevitably make
for inefficiency. The contrary, however, is the case, for the
guaranteed return is assured only to those railroads that
come up to standard in the sphere of organization and man-
agement. There are many important features about the legis-
lation in question, but none more so than the insistence
placed upon the necessity of earning a guaranteed return by
giving results — and service. And among other things, it
i-aises the fundamental ciuestion as to whether the nation, if it
restricts dividends by means of an excess-profits tax, should
not — in the case of public service corporations at least —
also guarantee a reasonable return on the v'alue of the busi-
ness in lean years
Unemployment Pay a Poor Remedy
But beyond that, larger issues are thereby raised for la-
bor. If a fair return on capital, as in the case of the United
States railroads, is guaranteed, and that return is related to
efficiency, there is bound to result therefrom steadier employ-
ment for labor. More than that, the industry may be held
more strictly to account in providing reasonable working con-
ditions. It appears evident that the guarantee of work, un-
der decent conditions of hours of work and wages, is the vital
factor in the field of labor to-day. In the United Kingdom
provision is being made for an unemployment benefit of 15
shillings weekly, the inadequacy of which is bitterly de-
nounced by the labor interests. True, such a benefit is but
little better than the pre-war old-age pension; but the objec-
tion to the entire scheme goes deeper than that. To pay such
an unemployment benefit the industries of the entire nation
are taxed, whereas unemployment may develop in only one or
two at the same time — leaving a period of general depres-
sion out of consideration. This draws attention sharply to
the fact, referred to above, that industries as well as labor
should be held to "strict accountability" for the efficiency-with
which they function. Slipshod management, as well as slip-
shod work, is a matter of comn^on social concern.
To guarantee work, then, is a far bigger and more sig-
nificant matter than to guarantee an unemployment dole.
This ought to be taken into account, in much greater meas-
ure than is done at present, by both legislators and workmen
who are turning their attention to insurance against unem-
ployment as an urgent social necessity. Production and ex-
change, the tariff, trusts, pools and combines, and the like,
should be studied from this point of view. The finding of ad-
ditional markets, the relation of Canada's trade to conditiors
in Central Europe and elsewhere, take on, froin this stand-
jjoint, a new meaning. To protect the nation's economic life
and aid in the great work of saving the world from the col-
lapse of civilization itself is the supreme obligation of the
hour.
Minority rule menaces Canada as never before in her his-
tory. Class-conscious interests develop everywhere, and the
formation of group government in the place of national soli-
darity threatens the country. It is essential, therefore, as
never before, to work out an economic and social policy mak-
ing for the common good. The One Big Union idea, which ii^
catching the imagination of many Canadians, is that the old
constitutional methods have failed, and that the appeal to the
ballot must be displaced by the appeal to the power of the
general strike. Let no one deceive himself that this idea will
fail of making conveits. The only sane and effective method
of destroying that idea is to displace it by a bettor and more
d>-namic idea — the idea that opportunities for progress wiil
he enlarged; that woi'k can be made moie certain and con-
tinuous for all willing to labor; and that industry as well as
labor will be held responsible for efficiency and service. That
way lies the broad highway of social and economic progress.
July 16, 1920
THE MONETARY TIMES
THE NORTHERN ASSURANCE COMPANY
ESTABLISHED 1836
THE KRIllTyFOlUTH
LIMI I ED
III Illf Mlt>.-.> .1 111.
.M;i.v ,')lh.
III.' Illr
FIRE DEPARTMENT
THE NET 1-KEMIUMS rici-ivod last year aiiiiiunu-U to SUiJmi.iKi:,, ,in in, nas,. ..I $6:ir.'.H0 In n
THE LOSSES amouiileil to $4,509,515. or 44.2 per «-nt. .■f l!i.' i.ninlunis.
THE EXPENSES OF MANAGE.MEXT (includliig .■uniiiil.ssi"r, ... ..uvnls .i.i.l .■li;iri;.> -t mrv
the premiums, .is ae.iiD..it S4..S4 Inst year.
FIRE REVENUE ACCOUNT
ni|iarl.H<
kliiill
..I 111.
i73.:i5.
Amuuut of Fire IiLsurunce Fund at the beginning of year :—
Reserve for I'nexpired Risks _ M,;S1.030
Additional Reserve _ 7,000.000
Premiums, less Re-insurances .
Interest, Dividends and Rent...
Less Income Tax
Claims Paid and OulsUindlue
Comnits.sloii _ _
Expenses of ManaKement ., — — „
Contributions w Fire ISrlKndes
Foreign Taxes -_
revious year,
SS'jT |>rr crlit. of
C.tKiT.sao
IS.IM
343,545
(it Assumed to Equal >'J)
Transferred to Profit and Loss : —
I'roltt for the year
Interest ^
Fire Fund at the end of the year:—
Reserve fur Unexiilrcd Risks, being 50
of Premiums -
Addlllnn.il Resene .
S22.46t.M5
FINANCIAL POSITION OF THE COMPANY
After giving effect to the proposals dealini: with the lialani., of the I'n.Il
December 31 last is as follows : —
Ordinary Shares— Subscribed $15,000.000— Paid up .._ i 1,500.000
6 per cent. ParticlpatlDg Preference Shares, fully Paid. 2,512.350
Debenture Stock „ 4.953.450
Fire Fund _ 12.100.010
Employers' Liability and Accident Funds 2,784,170
Marine Fund 14,934.815
Life and Annuity Funds _ „ 25,703.2.55
III. the flnanclal position of the Company as ot
Endowment and Capital Redemption Fund.
StalT Funds _
Investment Reserve Fund
Profit and I,oss Balance. ._..™„ \
T9S,41S
I.0«3.7W
,.. . . 2.400.000
2.S70J25
■ HEAD OFFICE FOR CANADA
MONTREAL
C. E. MOBERLEY. ManaRCr
George Edwarus, F.C.A. .^kthlk H. Edwakus, F.C.A.
H. Pkrcival Edwards W. Pomerov Morgan A. G. Edwards
Chas. E. White T. J. Macnamara Thos. P. Geccie
O. N. Edwards I. C. McXab C. Percy Roberts
A. L, Stkvfn.s W. H*. iHOMi'bOS
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORONTO ..
CALGARY . .
VANCOUVER
WINNIPEG..
MON IREAL
CORRESPONDENTS
HALIFAX, N.S.
LONDON, ENG.
CANADIAN MORTGAGE BUILDLNG
HERALD BUILDING
LONDON BUILDING
ELECTRIC RAILWAY CHA.MHERS
McGlLL BUILDING
ST JOHN, N.B. COBALT, ONT.
NEW YORK. U.S. A
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
THE
icioRy
Insurance Company, Limited
bubscnbed Capildl ^30U.UUU
Paid-up - - ^250.000
|lAN«l!M«;
LLOYDS HANK. Ll.MITUU
tl- LO\ni)N loINT CITY * MIDLAND HANK. M.MITED
FOR REINSURANCES
Ih.rtlori
Sll.llv.oH CiTKi.. 1< U.K.
SIR K«a.N»l... H HB.ii'. O C B sm C.<».. «. ^''^"'^y'
BuWAMU DllXTKK- l-*-C A. W"lll IT M«*l»Mlt»t
CllAHLfH H. TnllKAU- AfoiKW'n* 0(l«c<»r
..'unojtf.- Makmi I. Smatmi.
Sinlarx: F. tl til llA
Head Orticc .
LOMBARD HOUSE. GEORGE YARD
LOMBARD STREET, LONDON, E.G., 3
THE MONETARY TIMES
Volume 65.
TRUSTEES UNDER DOMINION HANKRUPTCY ACT
Every Province Represented in Appointments Already
Made— Individual Bond of $15,000 ftlust be Furnished
TRUSTEES have been appointed under the Dominion
Bankruptcy Act, which went into force on July 1st, as
shown in the list below, issued on Monday, by the depart-
ment of the secretary of state. The appointees are largely
chartered accountants, auditors and financial agents, and
they must deposit an individual bond of $1.^),000 before the
appointments are gazetted and before they will be able to act.
It is understood that practically every trust company doing
business with the public in Canada applied for appointment.
Some of them have not been actively doing this class of
business, but in any ease they wished to have the necessary
powers. The list was, therefore, somewhat of a sui-prise
in trust company circles, as in some provinces only one or
two have been appointed. In Ontario, for instance, the
National, the Toronto General and the Consolidated are the
only ones, although some other companies which have not
yet been appointed in Ontario, are on the list for other
provinces. It is thought, therefore, that further appoint-
ments will be made from time to time.
Ontario — Henry Barber, Joseph James Clarke, Edward
Roper Curzon Clarkson, Edward Guy Clarkson, Frederick
Curzon Clarkson, Geoffrey Teigmouth Clarkson, John Dickie
Wallace, Norman Leslie Jlartin, Samuel Ernest Montgomery,
Donald McKenzie McLelland. National Trust Co., Ltd., John
Bissland Robertson, Richard Tew, Harry Vigeon, Osier Wade,
Albert Elliott Weatherbe, Rutherford Williamson, James Hardy,
the Toronto General Trusts Corporation (Toronto), William
Alaiison Cole, George Andrew Welch, Arthur Alfred Craw-
ley, William Young Denison (Ottawa), Joseph Edmund Craw-
ford, Robei-t Henry Neeland (Fort William), James Michael
Johnston (Cornwall), Oliver Stuart Hillman, Frederick Henry
Lamb (Hamilton), the Consolidated Trusts Corporation (Lon-
don).
Quebec — Thomas James Coulter, L.I. A., John Joseph
Robson, L.I.A., Albert Onesime Chalifour, Joseph Alphonse
Lefebvre, Joseph Gustave Mousseau, L.I. A., Ernest Stamour,
Paul Louis Turgeon, Pierre Henri Dufresne, Edouard Henri
Merrill, Eugene Prevost, Vincent Lamarre, Edniond Garneau,
Wilfred Damphousse, Clovis St. Louis, John W. Ross, Joseph
E. Lemire, William Gordon I''inlayson, George Taylor
Gardiner, Alphonse Moisan, Robert Wilson, Alexander Fowler
Riddel!, Alexander Irwin Morison, Arthur Gagnon, Joseph
Alphonse Villeneuve, Morris Goodman, Richard Costigan,
John Hyde, Royal Trust Company, Montreal Trust Company,
Bankers' Trust Company, Charles Alfred Sylvester, Arthur
Panneton, Edward H. Begin, Frederick William Sharp, F.C.A.,
Edwin Brigs (Montreal); J. Arthur Larue (Quebec), John
James Griffith, L.IA.. Gedeon E. Begin, L.I. A., (Sherbrooke),
Joseph Conred Perrault (Joliette).
Prince Edward Island — The Canadian Credit Men's
Trust Association, Limited (Summerside).
New Brunswick — The Canadian Credit Men's Trust
Association, Limited (St. John), Arthur Earle Cox (St.
John).
Nova Scotia — The Canadian Credit Men's Trust Associa-
tion, Limited, Robei-t Carter (Halifax).
Manitoba — The Canadian Credit Men's Trust Associa-
tion, Limited, William Alexander Henderson, the Northern
Trust Company, the Traders Trust Company, the Western
Trust Company (Winnipeg).
British Columbia — Frederick James Carter, The Cana-
dian Credit Men's Trust Association, Limited, Mather Joseph
Crehan, Robert Baldwin Ellis, Walter Ernest Hodges, Harry
Joseph Perrin, Sydney Wilson, George Edward Winter (Van-
couver), Thomas Sturch Annandale (New Westminster).
Saskatchewan — The Canadian Credit Men's Trust As-
sociation, Limited, Saskatchewan General Trusts Corporation.
Limited (Regina), Great West Securities and Trust Com-
pany, Limited, Executors' and Administrators' Trust Com-
pany, Limited, Wm. Ewart Hodge (Moose Jaw), David
Mowat (Saskatoon), Oswald Julius Godfrey (Indian Head),
the Traders' Trust Company, the Western Trust Company,
the Northern Trust Company (Winnipeg).
Alberta — The Canadian Credit Men's Trust Association,
Limited, the Security Trtist Company, John Bain Watson,
James Gordon Edgar, the Trusts and Guarantee Company,
Limited (Calgary), James Angus MacKinnon, National
Trust Company, William Lewis Wilkin (Edmonton), the
Western Trust Company, the Traders' Trust Company, the
Northern Trusts Company (Winnipeg), Frederick Martyn
Oliver (Medicine Hat).
MANITOBA RURAL CREDIT LOANS
A total of $2,000,000 will have been passed under the
Manitoba Rural Credits Act for the period of December 1
to July 31, Chas. Gifford, administrator, stated a few days
ago. The amount is approximate, however, but is expected
to double the amount for last year. Up to date the total
value of cheques issued since April 2 of this year is $1,090,-
000, to 56 operating rural credit societies.
MANITOBA CHARTERED ACCOUNTANTS
At the annual meeting of the Manitoba Institute of
Chartered Accountants, held recently, the officers elected
for the ensuing year were as follows: President, F. C. Gil-
bert; vice-president, B. F. Griggs; secretary, W. J. Spence;
council, F. C. Gilbert, B. F. Griggs, W. S. Ronald, W. A.
Henderson, Hubert Reade, E. S. Reid, J. Parton, W. D. Glen-
denning, S. A. Brown, D. Y'oung, W. Gray, F. C. S. Turner,
C. E. White and A. E. Phillips.
PAYMENT ON 1919 WHEAT CROP
The Canadian Wheat Board has decided to make an
interim payment of 30 cents per bushel as soon as possible
after July 15 against the wheat represented by its participa-
tion certificates when such certificates are presented to the
board, states an official announcement made recently. WTiile
the board, says the statement, will be unable to determine
the total value of the cei-tificates before the business is com-
pleted; at present, indications are that this payment repre-
sents approximately 75 per cent. Owners of participation
certificates can send them either direct for payment or
through any available agency.
WELLINGTON FIRE INSURANCE CO.
Cash premiums of the Wellington Mutual Fire Insur-
ance Co., Guelph, Ont., during the year 1919, totalled $107,-
628, and mutual premiums, interest, etc., brought the in-
come for the year up to $122,486. In addition there was
$8,228 brought forward from 1918, and $82,050 received as
payment on capital stock. Claims to the amount of $49,541
were paid, including $1,809 on 1918 account. Commissions
totalled $24,378, and rebates and returned premiums $10,-
520. The sum of $43,288 was invested, and a balance of
$63,940 remained on hand at the end of the year. The com-
pany's assets now total $206,251, mostly consisting of bonds
and debentures. Liabilities to the public are $66,943, leav-
ing $139,307 as security to policyholders. The paid-up
capital is $124,500.
These figures represent good progress during the year,
the amount of insurance in force being increased from $10,-
345,797 to $13,107,130. With the payment of the remaining
65 per cent, on the capital stock, the latter is now fully
paid, and the position of the company strengthened by the
investment of these funds.
■jiM
July 16, 1920
THE MONETARY TIMES
PH(ENIX ASSURANCE COMPANY
LIMITED
Sir Gerald H. Ryan otj the Insurance Outlook— Interesting Report of the Company's
One Hundred and Thirty-Eighth Annual Meeting— Nationalization of
Insurance Bogey — Growing Demands of Taxation
RECORD FIRE PROFITS.
The Annual General JIeeting of the shareholders of
the Phoenix Assurance Company, Limited, was held April
28, 1920, at Phoenix House, King William-street, Sir Gerald
H. Ryan, Bt. (chairman of the company), presiding.
The Secretary (Mr. R. A. C. Thomas, F.I.A.) having
read the notice convening the meeting and the report
of the auditors.
The Chairman said: — Gentlemen, we have now reached
the 138th year of the company's e.xistence, and each year it
stems to me that the preparation of a chairman's speech
must become more difficult. The accounts gather together,
in a condensed form, our operations in practically every
branch of insurance business in nearly every part of the
world. Questions of gi'eat importance necessarily arise in
a large number of cases affecting our various interests in
ons place or another, and these are lost sight of in the
audited accounts. It is, therefore, desirable that the op-
portunity should present itself in the chairman's speech to
supplement the accounts and the report, which latter is
mainly but a brief summary of the accounts. I accordingly
propose to follow the example set by my predecessor in the
admirable addresses he delivered for so many years in succes-
sion, by offering a running commentary on the results em-
bodied in the accounts, adding a few more general remarks
on broader questions which our experience and ob.scrvation
during the year render desirable.
Fire Results.
My first and most pleasant duty is to call your attention
to the signal success of our fire department in 1919. -An
unusually low loss-ratio — it was only 42.5 per cent, of the
premium revenue, and 50 per cent, is regarded by us as a
favorable ratio — and expenses which remained at the nor-
mal level of 38.3 per cent., left us with a handsome margin
of profit. The final profit of £326,377 is not only highly
satisfactory in amount, but is the largest contribution the
itpartment has made to our profit and loss account since
the company v/as established. (Cheers.) An increase in our
premium revenue of no less than £269,884 is also a very
favorable feature, this being largely due to the higher values
of properties and commodities, and to the growing apprecia-
tion of the community that its insurance must be greatly in-
creased in amount if it is to enjoy full and proper protec-
tion. A word of praise will be ungrudgingly given to our
me manager, Mr. Boston, for these excellent results (hear,
•lear), and I would also mention Mr. Beresford, our manager
in the United States, for special recognition of his very
successful efforts. (Hear, hear.)
Marine Results.
The marine accounts are not so simple and convincing
as the fire figures, because the effect is still seen of the
marked and temporary addition to our normal income, due
to the transaction of war risks during the years 1914 to
1919. The claim payments thus relate to business of much
ampler dimensions than that completed in the year of ac-
count. The same remark applies to our expenditure, and it
would be wholly misleading to regard these outgoings as
comparable with the premium revenue of 1919. The actual
result as shown in the amount of i'300,000 carried to profit
and loss is excetdingly satisfactory. We may now be said
to have passed into the calmer waters of normal peace condi-
tions, and the directors feel that the shareholders would
like to join them in their congratulations to Mr. Sandeman
Allen and his colleagues for the skill and success with which
they conducted this portion of our business in circumstances
of unprecedented difficulty. (Cheers.)
Accident Results.
The accident department exhibited a satisfactory de-
velopment and a moderate profit was earned. Certain
branches of this business — burglary and motor risks,
especially — are passing through an unprofitable phase and
require exceptional attention. New legislation, in the shape
of the Workmen's Compensation (War Addition) Amend-
ment -Act (1919), introduces a disturbing element in Work-
men's Compensation business. The position of this clas.s of
business is b-'ing dotely watched by ourselves and other tariff
companies.
Life Results.
The operations of the Life Department recorded some
unusual features. An almost universal increase in the new
policies issued .in the year occurred in this section of in-
surance business. Various reasons have been assigned for
this; the larger incomes now enjoyed by so many, the need
of providing for the heavy death duties, the desirability of
making good depreciation in savings arising through the
shrinkage in the values of investments, and a juster estimate
of the proper amount of insurance necessary for heads of
families to provide for the protection of their dependenlit—
these, among other reasons, may be given for thif remark-
able expansion of new life business. We shall all agree
that, whatever the oaui-e of causes may b<-, thi.i is a healthy
indication of thrift and forethought on the part of the com-
munity— <iualitii's that are not too conspicuous in other direc-
tions. (Hiar, hear.) A marked increa.«e of expenditure is
another common feature of the year'.s results. Roughly
speaking, nn additional 2 per cent, of thi- premium income
has been disbursed for manngomeTit expenses. It is unnece*-
sary for me to ■-ny more about this item than that it is the
natural outcome of the incr.'iised new business, of the
heavier cost of all m:if<Tials, and of the improved remunera-
tion which the board has granted to the sUff, to which I
shall make furtlier reference later on. In other respect*
THE JIONETARY TIMES
Volume 65.
there is little to comment upon the Life Department, which
is in a flourishing condition apart from the fall in the value
of investments, a matter so largely outside the control of
your board. The outlook is not free from anxiety in this
connection, and in such circumstances it is a matter of satis-
faction that the board has sctn its way to declare a sub-
stantial lonus to the rolicyholders of the Law Life section,
after making full ;illowance for all depreciation. The
quinquennial valuation of the company's life fund will be
made at the end of the year, and the result must largely
depend on the values of investments then ruling.
Profit and Loss. ,
I now pass on to what is often considered the most im-
portant of our accounts, namely, profit and loss. In this we
find gathered together the results of the several trading
departments, and interest, dividends, and rents received, on
the one side, and our dividend and debenture interest pay-
ments on the other. Examining this account closely, we first
see that our available interest receipts amount to £187,G00
against dividends and debenture interest of £201,489. Next,
we find the various profits from separate departments make
up a grand total of £336,637, but from this no less than
£438,260 has to be deducted in order that we should provide
fully for all the taxes that have properly accrued. I say
it with no desire to boast, but I believe we take a stricter
view of the taxes to be provided for than do many other
companies. We hold that at the same time as you pass an
item of profit into your accounts you should debit the ac-
counts with the full taxes of all kinds, which are applicable
to such profit. (Hear, hear.) It is not unusual, I believe,
to charge in account only the amount of taxes actually paid
in the year under observation, but this may lead to a small
profit in one year having to bear the taxes strictly applicable
to a possibly larger profit of the year before, and against
this inconvenience our system fully protects us. With this
large deduction for taxes and a sum of £170,977 set aside
to write down our shareholders' investments to their market
values, our trading profits are practically exhausted. The
usual provision of £2.5,000 off the value of our oflice premises
has, however, been made.
Depreciation and T.\xation.
Now in these figures we see reproduced a feature of our
recent experience — namely, a highly satisfactory total trad-
ing profit melting away to nothing through the operation
of the joint foi'ces of depreciation of values and taxation of
income. Of these trading profits our shareholders have
taken practically nothing, their dividend being largely pro-
vided by interest on their reserves and funds. Almost the
whole of the outcome of the trained skill of our managers,
the long-established connections of the company throughout
the world, smd the fruits of our energy, enterprise, and ex-
ceptional hard work, have either been whittled away by a
shrinkage in our assets or taken from us by the State as
taxes. A few words may be spared to deal a little more fully
with this phenomenon of late yeai-s. As to the depreciation
in our funds, this has been caused, directly or indirectly, by
a weakening of the nation's credit.
Response to Gover.n'ment's Appeal.
No class of financial institution answered more freely
or promptly to the Government's appeal for support on the
issue of the several State loans than did the insurance com-
panies. (Hear, hear.) "Twenty per cent, of the total funds
for the Government" was the formula adopted by the great
majority of companies, and exceeded by not a few, includ-
ing our own. The heavy fall in the public quotation of all
these securities has had its inevitable effect in the periodical
revaluation of our assets. Even since our accounts were
made up a further considerable decline has taken place in
prices, an'1, according to the judgment of competent authori-
ties, the lowest point has not yet been reached. Other in-
vestments of a high character naturally followed suit, and
the reduction of values has become general. In the last 10
years the Phoenix has written off from the value of its
assets (apart altogether from the life funds) sums amount-
ing to upwards of £700,000, and in the five war years, 1915
to 1919, the total was no less than £470,000. Great inherent
strength and a wise husbanding of our resuorces alone en-
abled us, and other leading insurance companies, to with-
stand such serious and long-continued depreciation. This,
however, must be looked upon as a direct consequence of the
war, the debilitating effects of which have left their mark
upon the company in many other ways.
Growth of Taxation.
The item of taxes also yields some remarkable figures.
During the 10 years, 1910 to 1919, our shareholders' profits
and intei-est have provided no less than £1,623,315 in taxes
of one kind and another, the five war years, 1915 to 1919,
alone accounting for £1,552,500. I wonder what the corre-
sponding figures of all the insurance companies would be,
and what the total would amount to? Surely something
colossal. Now, it may he rather disappointing to insurance
shareholders that the profits of their companies should be
dangled before their eyes and then withheld for other pur-
poses, and this is a reasonable enough view for them to take.
But I think we may all gather solid consolation from the
thought that our skill and energy have not been thrown
away, nor been worked fruitlessly and to no end, but have
rather been employed at their full strength to provide, if
not dividends for our shareholders, what was still more im-
portant, the sinews of war for the protection of our
country. (Hear, hear.) The machine has run at its maximum
speed, and the output was never more satisfactory; our
shareholders will be the first to express their gratification
with the substantial help we have been able to render to
the State, even though, in the meantime, their immediate
pecuniary interests may have suffered.
The Problem of Nationalization.
There is one aspect of these figures which is, indeed,
not without a moral. We hear nationalization spoken of as
a principle to be applied to many branches of public or
private effort. To-day it is the mines; to-morrow it may be
the railways, and so on. Insurance has not escaped the
net which has been flung far and wide by the theorists and
idealists, who aim at destroying the present fabric of in-
dustry. On its political side we have, naturally, nothing to
say in such a meeting as this. But will anyone maintain
that the same measure of financial support, either in sub-
scriptions to loans or in payment of taxes, would have been
forthcoming to the nation in its emergency had the business
of insurance been in Government and not in private hands?
(Hear, hear.) Remember that a great portion of the total
profit of the large insurance offices is derived from foreign
business — the result of "missionary" enterprise in the past
and of diligent cultivation ever since without intermission.
What would become of the vast volume of profitable
foreign business if insurance were nationalized? We have
recently had brought prominently before our eyes one ex-
ample of the complete failure of a Government Department
to deal with a certain type of life assurance. Would the
result be any the more .successful were the more highly
technical business of fire or marine or accident insurance
undertaken by the State? And even if, for purposes of
argument, we admit that home affairs would not necessarily
prove to be so palpable a failure, would not the great benefit
to the country of our foreign business, carrying everywhere
the high name and fame of Great Britain and earning pro-
fits for shareholders and taxes for the State, be lost to the
country? (Hear, hear.)
The time has not yet come for a detailed and critical
analysis of the errors and evils inherent in any scheme to
(Report continued on page 34)
July 16, 1920
Hiiiiiiiiiiniiiiiiiiimiiiiiiiiiiiiiiiiiiiiniiiiiiii
THE M O X E T A R Y T I M E &
iiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiininiiiitiiiiMniiiiii i . jidUMMHi
iiitfWfflmiTwiiBii«iHHiiimmwBmM«»ira
Phcenix Assurance Company, Limited
General Balance
LIABILITIES.
CAPITAL (fully subscribed) . .$16,05o,2.j0
Sheet on
In 309,755 S50 Shares, $5 paid 1,548,775
In 113,100 $5 Shares, fully-paid
("Pelican" Shares) 565,500
Fire Insurance Funds
Marine Insurance Funds
Accident Insurance Funds
Profits and Loss Account
$ 2,114,275
11,466,000
3,829,465
938,150
1,676,875
$20,023,760
4':'f Debenture Stock (Law Life) 55,000,000
Do. (1911) 1,389,750
Interest on Debenture Stocks accrued but
not due
Claims admitted or intimated but not paid
(Fire)
Outstanding Accounts —
Fire Department
Accident Department
Marine Department
Dividends
Debenture Stock Interest
Bills payable
Life Department Funds and Outstanding
Liabilities as per separate Balance
Sheet
$5 taken as equivalent of £1 Sterling.
6,389,750
29,820
1,541,575
3,464,125
61,960
5,436,175
2,993
440
17,415
$36,968,015
61,435,785
the 31st December, 1919
.VSSETS.
Mortgages on Properly wilhin the United
Kingdom • • •
Mortgages on Property out of the United
Kingdom
Loans on Life Interests
Loans on Reversions
Loans on Stocks and Shares
Investments (at Book Values): —
British Government Securities
Municipal and County Securites, United
Kingdom
Indian and Colonial Government Securities
Indian and Colonial Provincial Securities. .
Indian and Colonial Municipal Securities. .
Foreign Government Securities
Foreign Provincial Securities
Foreign Municipal Securities
Railway and other Debentures and De-
benture Stocks, Home and Foreign . .
Railway and other Preference and Guar-
anteed Stocks
Railway and other Ordinary Stocks
Freehold Ground Rents
House Property and Land
Salvage Corps Premises (Company's Share)
Life Interests
.^gents' Balances
Outstanding Premiums
Outstanding Interest. Dividends and Rents
(less Income Tax)
Interest accrued but not payable (less In-
come Tax )
Bills Receivable
Cash — On Deposit
In hand and on current account
$.36,968.01
Life Department .Assets, as per separate
Balance Sheet 61,435,7k
$ 2,056.015
18,555
442,135
74,115
262,750
6,310,375
107,225
l,15;i.ur>.')
202,TT'.
764,975
3,436.510
712,235
2,005,070
5,059,530
644,860
1,3S5.60:.
100,000
2,930,340
95,2111
35,5K".
3,948,.-.C.n
3,570,871'
36,47"
233,8(in
85. If.
111.5:'r
1,184,711"
S98.403.800
$98.l03.S(iii
iiininiiiiiiiiiiniiiiiiiiiiniiiiiiiiiiiiiiiiiiniiiiiiiii
' icaanni'f.inDiisciiuftnijntaHii "
Funds of the Company on the 31st December, 1919
Fire Funds (including General Reserve) *^^
Life and Capital Redemption Funds
Marine Funds
Accident Funds
Profit and Loss Account
Capital paid up
Debenture Stock Funds
.465
,290
829,
938
,676,
.11-1
389
Provision for Outstanding Claims and Accounts
Total Assets as per Balance Sheet
$84
13
.703.
700,1
,000
,270
465
,150
,875
,275
.7.50
;85
,015
$98,403,800
iiiiiii;iiililiiiiiiiiiii»iii»imiiiiJiiuiiiiiiraa««"i«'li«''ii"
HEAD OFFICE FOR CANADA
lOO St. Francois Xavier Street
JOINT MANAGERS .
R. MacD. PATERSON and J. B PATERSON
Montreal
itjyiiiiiiiiiiiii]yii^Hiii*«"i''
THE I\I 0 N E T A R Y T I AI E S
Volume 65.
substitute bureaucratic control for individual enterprise in
the wide field of insurance, but 1 have ventured to lay be-
fore you these few personal reflections in order that all who
are concerned in our important branch of industry may give
thought to the great damage that may accrue to many in-
terests, private and public, by these unsound and ill-con-
sidered proposals.
lNCRE.-\siNG Expenses.
I have already mentioned, in connection with the Life
Department, the increase in our expenditure. This is, of
course, not confined to any single department, but affects
every section and phase of our business. The causes are
world-wide in their incidence, and too well understood in
their origin to call for any remark. The heaviest addition
to our expenditure is in the item of salaries, and though
the dirsctors are not unmindful, in a company like ours,
of the necessity of economy in cari-ying on our business,
they consider that a company like ours must look after its
employees properly, and remunerate them on a liberal scale.
The temporary allowances made in the shape of war bonuses
have, therefore, been made fixed additions to salaries, and
during the last few weeks a further substantial revision has
been made. In this and other ways the board seek to pro-
mote the welfai'e of the staff, and they have expressed them-
selves as favorable to joint action among the staff to enable
representations to be made to the management, whenever it
may seem necessary, on the conditions of employment in the
company. At the same time, I cannot conceal from you the
fact that all this means a constant increase of expenditure
throughout all branches of our business, the full result of
which is not apparent in the accounts before us. No corre-
sponding increase in the premiums we charge for the various
risks undertaken has yet been made on this account, and,
judging by recent results, our profits have been well able to
sustain' the additional burden. But for some years past
insurance business has enjoyed a spell of considerable pro-
sperity, and we cannot reckon upon the continuance of such
good times. Indeed, in several directions indications are
obsei-vable, over a wide area, that a turn of the wheel of
fortune has occurred.
Multiplication of New Companies.
Furthermore, the multiplication of new companies in
the last year or two must lead to more strenuous competi-
tion for the most desirable risks. I am told that since 1914
the number of active British marine companies has been
more than doubled, and new fire offices have, as we all know,
sprung into existence in great profusion. These conditions
give us no ground for anxiety concerning the future of our
company, but sound the note of warning, and show the need
of the utmost care and watchfulness in the conduct of our
affairs. We believe that our chief safeguard in these cir-
cumstances is that we have the benefit of a highly skilled
general manager in our new chief official, Mr. Sketch — •
(hear, hear) — with whom our most eflicient experts are as-
sociated in the various fields of our work. Together they
will be able, we confidently believe, to guide us through any
coming difficulties.
I
The Norwich Fusion.
What I have stated as to the general outlook applies
with equal force to the business of our newly associate<l
company, the Norwich Union Fire Insurance Society, the
fusion of which with the Phoenix was effected, with such re-
markable smoothness and goodwill, in the early months of
the present year. By this alliance, the Phoenix "group"
becomes one of the largest and most important of all British
insurance combinations. It is my firm conviction that a
great and prosperous future lies before the allied companies.
nnd that in due time we shall see a development and ex-
pansion of our business which could hardly have been
thought of in the old days. The one thing to give ground
for doubt is the state of the national finances, with the fear
lest, in their desire to find a quick and easy solution of pre-
sent difficulties, our Ministers may be induced to adopt ex-
pedients that will weaken the springs of entei-prise and
undermine the foundations on which our industries have
been i-aised. (Hear, hear.) I now beg to move: —
"That the report be adopted, and that a dividend of 12s.
per share, subject to income-tax, be declared out of money
available for that purpose at the end of the year 1919, to be
payable in two instalments of 6s. each, on May 1 and
November 1 next, to members on the register on April 30
and October 31, respectively, except that holders of Phcenix
(Norwich Union Fire) shares shall on 1st proximo receive
a proportionate amount of 4s. per share instead of 6s., in
accordance with the terms of the argeement of January
12, 1920.
"Provided that where no allotment of new Pelican shares
has bten made by April 30, 1920, to the parties entitled
thereto, the May dividend of 6s. in respect of each of such
shares shall be retained and paid to such parties on their
being duly entered on the register of the company.
"Provided also that where persons entitled to exchange
their shares in the Norwich Union Fire Insurance Society.
Limited, under the said agreement of January 12, 1920, have
been unable, for reasons not objected to by, this company,
to get their names entered on the register of this company
by April 30, 1920, and subsequently comply with such agree-
ment in all respects, the amount of the 4s. dividend shall
be retained, and paid to them on their being duly entered
on the register of this company."
The Rt. Hon. Lord George Hamilton, P.C, G.C.S.I.,
seconded the resolution, which was unanimously approved.
Mr. W. H. C. Whigham then proposed that the retiring
directors (Mr. Alex. T. Hawes, Sir Joseph White Todd, Bt.,
and Mr. William Fladgate, M.V.O.) be re-elected.
Mr. G. E. CocKRAM, in seconding, took occasion to con-
gratulate the chairman on his very able and comprehensive
address. He expressed the hope that when the next Budget
was proposed the Chancellor of the Exchequer would think
a little mbre about economy and a little less about taxation.
(Hear, hear.)
The resolution was unanimously approved.
On the motion of Mr. T. W. S. Bowlby, seconded by Mr.
S. Walker, the auditors (Messrs, Chatteris, Nichols, and
Co., and Messrs. Spain Bros, and Co.) were re-elected.
Mr. Millar Wilkinson then proposed a hearty vote of
thanks to the chairman, the directors, the executive, and the
staff of the company. Although, he said, he had objected to
the recent amalgamation, hej had recently expressed his
confidence in the present directors by increasing his share
interest in the company.
The motion was seconded by Mr. I. E. RoucH, and
unanimously accorded.
The Chairman, in acknowledging the compliment on be-
half of the directors and himself, stated that they could
never have attained the high position in which they now
found themselves, or could hope to succeed in holding that
position, if they had not had a most competent staff to con-
trol their organization. (Hear, hear.)
Mr. R. Y. Sketch (general manager), replying for the
staff, said that the vote of thanks so heartily accorded at
their annual meetings was greatly appreciated by every
member of the staff, and, he could assure them, it was well
deserved. Both in bad years and good years the staff always
did their best.
The proceedings then terminated.
July 16, 1920
THE M 0 X E T A R Y TIMES
35
What Canada Sells The United States
Analysis Shows Few Commodities In Which Canada Secures Most Business— Exports
to I'nited States More Than OfTsct By Imports— Changes Found in Recent Years
Hy JOHN A. COOPER
Canadian Bureau of Information, New York
CANADA did fairly well in selling goods to the United
States in the year 1919. A new record was made —
the total sales amounting to S494,G9o,8G9, according to the
figures just issued by the Department of Commerce at
Washington. This was an increase of §43,000,000 over 1918
and $81,000,000 over 1917. The question then arises: What
is the future likely to realize? Will these sales increase or
decrease ?
In order to answer these questions, the following tables
may be studied. They are not exhaustive in range, because
the United States government gives the Canadian figures
only in twenty-nine classes of goods. Two classes may be
added, because Canada is practically the only source of
supply — newsprint and asbestos. This makes 31 clas.ses out
of a possible sixty or seventy.
Comparison by Years
The following table compares the totals of the 31 classes
for the year 1919. The second column gives the total im-
ports from all countries into the United States in 1919,
while the third column gives the percentage supplied by
Canada: —
Imports into the United States from Can,\da
Per cent
Total purchases sum>lted
1919 by U. S. 1919 by Canada
Animals, cattle §50,376,054 $ 53,296,078 95
Asbestos, unmanufactd. 7,369,685 7,369,685 100
Breadstuffs, wheat . . . 11,293,097 14,905,722 70
Coal, bituminous 4,547,407 4,950,686 95
Copper, ore and matte 5,222,768 23,541,020 25
Copper, other forms .. 5,769,539 53,907,521 11
Cotton cloths 143,503 17,664,903 1
Flax 767,944 3,996,590 20
Furs undressed 16,378,378 69,289,909 25
Calfskins 3,764,056 33,653,139 11
Cattle hides 13,057,554 125,590,047 10
Sheepskins 1,700,853 .36,520,519 5
India rubber 2,5-30,295 215,820,113 1
Iron ore 64,785 2,385,689 hi
Lead ore 441,177 5,453,537 1
Sole leather 646,403 1,286,133 50
Upper leather 1,533,350 2,296,031 67
All other leather 870,060 12,262,106 6
Fresh beef and veal . . . 5,416,764 6,408,081 20
Paper, newsprint 43,674,094 43,674,094 100
Flax seed 5,322,051 44,360,095 12
Clover seed 3,527,694 7,401,964 50
Sulphur pyrites 387,490 2,176,565 18
Tea 772,397 20,145,864 4
Tobacco ' leaf" .' 43.5,434 10,019,891 4
Wood pulp, mechanical 5,083,488 5,117,316 99
Wood pulp, chemical un-
bleached 18,816,872 27,063,707 70
Wood pulp, chemical
bleached 3,394,887 4,867,3.^8 73
Wool combing 451,310 4,583,522 10
Wool clothing 7,875,206 171,3.-.4,2:i.) 4
Zinc ore 115,971 52!),(;60 20
Division Into Groups
Examining these figures and figuring the percentage
that the purchases from Canada bear to the tot:a purchases
from foreign countries the following gen.Tal re.-^ults are
obtained: —
Group 1. Twenty classes of articles in which Canada
supplies less than 26 per cent, of the total imports of .said
articles into the United States: Wheat, copper ore, copper
bars, cotton cloths, flax, furs undressed, calfskins, sheep-
skins, cattle hides, India rubber, iron ore, other leathers,
flax seed, sulphur pyrites, tea, tobacco leaf, combing wool,
clothing wool and zinc ore.
Group 2. Two classes of articles in which Canada
supplies less than 51 per cent, and more than 25 per cent,
of the total United Stated States importation: Sole leather,
clover seed.
Group 3. Three classes of articles in which Canada
supplies less than 75 per cent, and more than 50 per cent.:
Upper leathers, bleached sulphite, unbleached sulphite.
Group 4. Six classes of articles in which Canada sup-
plies more than 75 per cent.: Live cattle, unmanufactured
asbestos, bituminous coal, fresh beef and veal, newsprint,
mechanical wood pulp.
Where Canada's Share is Small
In the first group there are twenty classes of articles in
which Canada now supplies only a small percentage of what
the United States requires from abroad. The sales of all
of these could be increased considerably, except India rubber
and tea which are not grown in Canada. But even in this
high-possibility group, care must be taken not to over-
estimate Canada's effort. It is true Canada sold the United
States wheat to the value of $11,293,097 in 1919, but the
United States sold Canada wheat to the extent of $3,334,818,
which reduces the favorable balance. So the sale of copper
ores by Canada was around §11.000,000, but Canada bought
back refined copper to the extent of §4,000,000. Raw fun-
were shipped to the United States to the extent of §16,378,-
378; yet Canada got back "raws" valued at §4,331,662 and
"dressed" valued at §1,141,324. In lead Canada bought about
half as much as was exported.
Sales Offset by Purchases
So when group two is considered, Canada shipped sole
leather to the extent of §646,043, but bought back $926,627.
The figures are not available for clover seed in 1919, but
the experience of years proves that clover seed creases the
border at about the same rate in both directions.
In group three, the situation is similar in the case of
upper leathers. Canada sold the United States $1.5.33,350,
which looks well, until one discovers that Canada bought
from the United States more than twice as much of the
same material. In sulphite, of course, the movement in all
one way, becau.se the pulp resources of the United Stnte.--
are not sufficient for domestic requirements. Here is B great
opportunity, as everyone recognizes.
In group four, where Canada sells nearly all the United
States gets of these materials, there is still a return factor
In bituminous coal Canada .-^old $4,547,407 and bought $40.
00.3.599. In beef and veal Canada sold $5.41fi,7fi4 worth,
but bought back fresh, pickled and canned beef to the extent
of §767,642 and bacon t.. the value of S10.7(;7.992. In this
group, the materials are exch:ingcil largely f"r geographical
reasons.
Lumber and pulpwood are not included in the 31 rlasscn
enumerated, because the portions coming from Canada arc
not specified in the United States tables. The total impor-
tations from all countries are as follows: Ixigs. $1,690,672;
pulpwood, §10.458,753; sawed lumber. $30.883.it88; lath. $3.-
037.000; shingles, §8,720.032; toUl, $59,790,445.
(Continucii at foot of page S7)
THE MONETARY TIMES
Volume 65.
Whalen Pulp and Paper Mills Limited
ANNUAL REPORT
Of the Directors of Whalen Pulp and Paper Mills Limited, Year Ended February 29, 1920
L-iitltd 26th Fcbri
To the Jiharehuldtrs :
The accounts of tlie CoiuiiiUiy lor th<
:?howed the following result:
Uross Earning _..., „ $4,Mt>-'>,20t!.90
Expenses „ 3,952,892.22
Net Earnings $112^314.77
Deduct :
Taxes „.... 00,104.07
Fixed Charges „ 389,940.31
DEFICIT $337,729.01
The accountii of the Company for the year ended 29th February, 1920, show
the following results:
Gross Earnings „ $4,619,734.67
E.xpenses 3,741,185.41
Net Earnings „ $876,549.26
Deduct:
Taxes - „ 56,181.48
I!»li*, and February 29, 1920, that the net liquid assets of your company have
bii-ii imTt;ii.fd by $l,673,»O5.90. Recognizing the need of conserving the tim-
ber recoil re i-s of British Columbia, and to stabilize wood costs, your Directors
u-h it wisi- to instal barkers, etc., for small-wood operations at your Plants to
f-i.ppb'niiiit present large-wood operations. The wisdom of your Directors in
ii.^vtullin-;; ^m;ill-\vood operations is borne out by the fact that the price of logs
oil iJie ttpen market has doubled in the past year. The improvements and bet-
terments necessarily interfered to some extent with operations, but the work
had to be undertaken to imjirove and increase production and to meet growing
log costs^. The results of the small-wood operations and the betterments under-
taken should be reflected in the last half of the present year's operations. To
ircreiiso production and improve the quality of your product, one extra digester,
additional screens, drying apparatus, etc., are being installed in anticipation
of your approval. Your Directors authorized Capital appropriations as under:
For small-wood operations and additional facilities to increase pro-
duction ;uid improve the quality of pulp at the tlu"ee plants $4SS,000.OO
For erection of Shingle ilill and installation of five machines at
Woodfibre _.... - .'. 12,000.00
For the purchase of Logging Equipment... 60,000.00
$560,000.00
AI<o your Directors are making provision for further additions to your
Plant anil Equipment at an approximate cost of $193,380.20, distributed as
follows:
Woodfibre - - - ~ - —.. $39,611.00
Swanson Bav - 10,200.00
Port .'Mice ..'. ~ 15,000.00
Additions to Logging and Transportation Equipmetit 128,569.20
The expenses for the year amounted to SO per cent, of tlie earnings as com-
pared with 97 per cent, for the previous year. The earnings for the fiscal year
under review exceeded those of last year, notwithstanding one of the Plants was
closed lor six weeks through lack of orders following the signing of the peace
treaty. Your Directors, while optimistic as to the future, recognize mounting
labor and material costs, and prudence demands conser\ative financing, looking
to possible falling markets. Your Directors sold, during the first half of 1919,
$500,000 Gold Xotes, $550,000 Debentures and $1,500,000 Bonds. You will
notice by a comparison of the Balance Sheets for the years ended February 28,
$193,380.20
At the end of February the Grand Trunk Pacific completed a car" ferrj
■gf. and railway cars are now ferried between your Swanson Bay Plant and
;nce Kupert which will cheapen transportation and make it efficient. During
■ course ui the vear the launch "Xooya" was sold. For the Directors,
BALANCE SHEET FOR YEAR
ASSETS
COST OF PROPERTIES:
Land, Buildings, Plant, \Vat*r Power and Timber
Limits $16,505,701.96
Less — Reserve I'or Exhaustion of Timber Limits
INVESTMENTS:
Dominion of Canada Victory Bonds —
Deposited in trust as securitj' for payment o^
annuity to employee
CURRENT ASSETS:
Inventories; —
Logs, Lumber, Pulp and Shingles.... $499,658.66
Materials and Supplies on Hand and
in Transit _ 503,222.26
50,627.82
V.iii.i.uMT, JiJMc 2r)th. 1920.
ENDING FEBRUARY 28, 1919
LIABILITIES
CAPITAL STOCK :
Autliorized—
Preference 20,000 Shares of $100
each _ $2,000,000.00
Preference 102,500 Shares of §1.00
each 102,500.00
:;E0RGE bury. President.
Ordii
80,000 Shares of §100 eacil 8,000,000.00
$10,102,500.00
.\ccounts Reci'ivable less Resen'e -
Kelly Logging Companj- „ $306,029.58
Less — Reserve _ 246,029.58
Cash at Banks and on Hand
Issued — -
Preference _ $2,102,500.00
Note — Shares of the par value of $89,020.00
are held in trust for conversion of outstanding
shares of Colonial Lumber & Paper Mills, Ltd.
Ordinary 8,000,000.00
DEFERRED CHARGES TO OPERATIONS:
Une.Kpired Insurance Premiums and Prepaid Ite
Preliminary and Organization E.xpenses
Discount and Expenses on Debenture Issue
60,000.00
11,931.19
$ 62,212.61
23.180.80
11. '..393.22
Issued $2,500,000.00
Less. — Held by Trustees as security
for the retirement of British
Columbia Sulphite Fibre Com-
pany, Limited, Bonds $520,000.00
Held bv Bank as security for Loans 500,000.00
$1,020,000.00
We ha
ALDiroRS" REPORT TO THE SHAREIUUDERS
lined the Books and ,\ccovuits of the Wh;den Pulp .t Paper
Milk. Limited, for the year i?uled February 2S. 1910, and have oblaine<l all
(he information and explanaltons whirh we rr<iuired. We certify that the
.iljove Balance Sheet is properly drawii up so as to exhibit a true and correct
\icw of the state of the Company's affairs, according to the best of our infor-
mation and the explanations given to us and as shown by the books of the
Company.
PRICE, WATERHOUSE tt CO..
Vancouver, May 29, 1919. Auditors.
S16.S1S.60S.43
SEVEN PER CENT. DEBENTURE STOCK:
Authorized $2,600,000.00
Issued
PURCHASE MONEY OBLIGATIONS:
British Columbia Sulphite Fibre Company, Limited, 6 Per Cent.
Serial Bonds „ _ __
CURRENT LIABILITIES:
Due to Banks —
Demand Loans and Accrued Inter-
est thereon $1,126,111.86
Overdrafts _ 204.066.43
$1,330,178.29
226,221.09
517,084.20
98,333.32
12,607.81
2,600,000.00
Bills Payable and Accrued Interest thereon,.
.\ccounts Pa.yable
.Accrued Interest on Bonds and Debentures.,
.\ccrued Taxes ,
SURPLUS:
Bal.ance March 1, 191S $369,413.33
Deduct — Loss for year ended February 28, 1919,
before proviv'ing for Depreciation ." 337,729.61
CONTINGENT LIABILITIES:
Pfiide I'apiT under Discount
$16.818.608.43
APPROVED ON BEHALF OF THE BOARD. W. D. ROSS. Director. A. H. DOUGL.VS, Director.
July 16, 1920
THE MONETARY TIMES
BALANCE SHEET FOR YEAR ENDING FEBRUARY 29. 1920
S7
iJJST OF PROPERTIES:
ir.d, BuUding^s, Plant, Water
Less — Resene lor EjJiau.Hion
ASSETS
wer and Timlwr Lin
Timljtr Limiti..
INVESTMENT:
Domimon of Cana,i;> Victory Bond? deposited in Tru«t a,
for payment ol annuitv to EmnloVee
Auji,.f.. -.. Peabody, Trustet_ r<^.->".
'-LR.:i.XT ASSETS;
20,000.00
07,740.71
L"s-, Lumber, Shingl,
Materials and supplies
R -ceivabie ,
t- laims _..
:.-'ing Co. .
Dominion of Canada Victory Bond*
Cash on Band ' ~
DEFERRED CHAHGE.S TO OPER.\TIO\<; •
Cnelpirtd Insurance and Prepaid Items
Deferred Loggring Charges _ — •
Preliminary and Organization ExpenL^ ""
Discount^and Expen,^^on DjbTntulS-iid ' oier
1,635,019.51
AUDITORS' REPORT TO THE SHAREHOLDERS
examined the BcH«k? and .\ccount=. of the Wlialen Pulp & Paper
i, ijr tlie year ended Febniar>' 29, 1S20, and have obtained all the
i'lanations which we required. .\ND CERTIFY that the
• and the relative Profit and Los« .\ccotuit are correctly
■j'J" ourselve
narket price
subject to the lutnber us4>l in constmctioti
place of manufacturing co^t. that ilnring the
i-iAUii.mi ?
ach $J.O00,000.0O
b _ lU'.'.iuO.UU
OrUiimry - .-.o.Ouu ^lli
^"I'S^r''"''"^^"" =*'""■" '" ""^ '•*■■ '■^'" "' »77,045.00 .re
Held 111 tru^t iwr tvri>,rvion ul uutManding Sharo» o( Col-
onial Lumber i Pai.er Mill.. Limiti.l
SIX PER CE.NT. SERIAL MnRTliAi^E i;iiLU UoSOS:
uUiorizi-d ___■ S«.U(.u.(ioo.0O
Less — Held by Tnutcc as security (or the retire-
ment of Briti>h Columbia Sulphite Fibre Co.,
Limited, Bonds „ _
- (iS.Suo.uuu.uO
SEVEN PER CENT. KEUEEM.\BLE DEBENTl RE >T<>CK-
Authonzed __ _ J«,ono.i>nooo
liSUed _ _ „ . . _
SEVEN PER CE.VT. SERIAL OOLU M>TKS:
Authorised and Iswi.d .._. _ JSOO.OOO.IJO
L**>— Itetiriij iftA ftftrt rtrt
3.0«6,OOO.M
S.O&O.iKMOO
PIRt IUSK MiiNKV OBLIGATIllNS:
Briti-li I ..lunibi.1 .^ulphit.- Fibre Company. I.iniili-.l, 0 Va CeaL
— 4S6,OO0.0O
*349.952.3ll
IS,69(I.«1
S5S,30ti.41
144,V^!l.93
S.773.S4
3j,linu.00
S.rul llohd.
CIRHEST I.IABIUTIES:
B;iiik oi N..\a Suliu Overdraft
Bill- Pa.>ablv _ • —■■---• --
Account- l*u>alile , I.*'.' Z
Accrued liiten^t on Bonds. IJeUntuiwT and jiot«_
Accrued Pru\incial Taxi- .... _.. _^_ _
Provision tor Doniiniori Income Tax ....
SLRPLIS:
Balance per last Re|M)rl, Fibniurv ««, ivlii
Balance Imni PioHt and l.o-s AcTOunt
CONTINGENT LIABILITV:
On Nnt«-i l>i.(»Minti-<l at February 29. IBSO, and
Onarantt'ed .\ccounts ., -...„*....„
.vinr only actual additi.OLs and >.M.-a<)on- have l««, rharBr.1 to Pncwttr
Account*. No pn.M.mon hai Uvn made for drprwialion. '
>ubject to the above. «e wrtifj uiat the Bulane<' Slieet u ,..,,,, il> .lr.„.,
up so a« to e.\hibit a true and corrwt \le» ol the «tale
affair., according to the be'st of our information and the . ■
lis: and that the relali\e Profit and !..»• Aixi«int eti-ri •
therein of (he profit on the lumber u«-i in i-.tfi.iruc"lion i-
staletneiit Of the ml .-amings (or the y,-ar .-lulcl Februar'. ■:■/, ijj'o
PRICE, WATKRllnlSK i O'
Tth. 19-.'ll
Ai'!'H'i\ i:ri c'N nKH.vi.K I'l thi. iioMin. i.KoRKi: iiiin.
WHAT CANADA SELLS THK I .MTEl) STATES
ACCIDENT I'OLU IL.-^ 1 (IK .MOTOR DlMVKK.s
(Continued from page 35)
It may be assumed that 90 per cent, of these imports
come from Canada. It is equally clear to those who know
the situation that the appetite .if the United States for lum-
ber and pult) wood is not nearly satisfied.
This analysis is necessarily incomplete. In its pub-
lished table, the United States Department of Commerce
gives more information than can be obtained at Ottawa
about this particular feature of the trade between the two
countries, but there is still much to be desired to give a
complete picture of what Canada supplies to the United
States. A study of what is given above will, however,
speedily indicate that Canada's exports to the United States
mSy easily be doubled, jriven the necessary capital and labor,
the necessary time for development and a definite n.ssur-
ance that such increased e.xport will not denude ("anadian
manufactures of raw material Avhich is necessary to their
present and future production.
Premium income of the Pacific Coart Fire Insurance
( o. for the first six months of l!i20, is \'> per cent, ahead
of the same period last year. The loss rat if if "' per cent.
Charles G. Booker, mayor of Hamilton, has proposed
that drivers of taxicabs and livery automobiles be required
to take out nn accident insurance policy for the prolcction
of their passengers. "So far,'" said Mr. Booker to Tlif
Moiul,i'y I im,-,( on July Tth, "this has merely been u nux-
gestion of my own. but we are earnestly hoping; to brini;
the matter to a head as we feel that there should be jimplr
protection afforded, not only to the public, but uIbo to the
driver of the car, and the only way this ran Iw done is h\
placing the responsibility and enable that le.-ponribility to
be met by thv insurance."
I lUK 1 l(.HTI.\<. I OIJCE TOO S.M.VM.
That the St. Boniface fire bri^.'ii<le has been undermanned
and undcrequipped, and that elTurts to prevent fires are not
meeting with proper support, were opinions cxprcnned by
the report of the commission which investigated th<' St.
Boniface fire dcp.artment. which was made public on June
25th. The ii'vi ptigation was undertaken following a fire
April 8th, wlu'ii it was charged that the brigade had not
given adequat'- service. The report finds that on the occasion
referred to. only five firemen out of fifteen were on duty when
the alarm was given.
THE MONETARY T I .AI E S
Volume 65.
OPTIMISM PKEVAILS KEGARIJING WESTKUN CROP
General Kain Reported in Alberta— Notable Improvement in
Southern Part of Province— General Conditions Continue
Favorable— Manitoba Prospects Encouraging
REPORTS of crop conditions in the west received during
the past week reveal rather a mixed condition. The
"Manitoba Free Press" in its fourth statement, states that
generally, conditions in the whole west are not quite so satis-
factory as last reported, while in some large areas, notably
southern Alberta, conditions are much improved. The one
serious drawback has been lack of rain at many places. Out
of 234 points heard from, 11.5 want more moisture. Coarse
grains, as a whole seem to be in a thrifty condition and
promise well.
The agents alon^ the western lines of the Canadian
National Railways, between the Great Lakes and the Rockies,
continue to be optimistic regarding the yield of cereals to be
harvested this season. The detailed crop report for the
week ending July 3rd, contains some half dozen references
to such temporary conditions as need of rain, presence of
grasshoppers or presence of cutworms, with attending slight
damage from same. But practically all are agreed that
the prospects for a bumper crop are excellent. The tone
of the report generally appears to be more like that of 191.5.
than has any since that year of record crops in western
Canada.
^lanitoba Prospects
Prospects for Manitoba are decidedly encouraging, ac-
cording to the last report of the provincial department of
agriculture. The situation is summarized as follows: —
"Reports from probably fifty per cent, of points are en-
tirely satisfactory, while from other places there is com-
plaint of lack of recent rains. During the past two weeks
there have been local rains, but some places have been missed,
and evaporation at this time of year is rapid. From no
place is there any suggestion of crop failure or even of
crops having suffered considerably, and the present promise
is that the crop will vary from fair to very good, according
to locality.
"An interesting phase of the situation is that some of
the places that have suffered most from drouth dui-ing re-
cent years have been liberally supplie<l with moisture this
year, while the call for more rain comes from parts that are
usually bkssed with pltnty. Many of the early wheat fields
are headed or are heading out. Here and there small hail-
storms have occurred, though only a few of these are men-
tioned in our reports. Practically no damage from heat is
evident. The grasshoppers have been very successfully
fought this year, though, of course, there arc some hop-
pers still. It is significant, however, that from every place
where poison has been u.scd the report to date is satisfac-
tory. In some places cutworms have done a little harm, and
one report mentions sawfly damage in the wheat crop, but
insect damage, other than that by grasshoppers, is very
slight. No rust reports arc at hand, and as the crop has
moved along so very rapidly, and recent weather has been
so unfavorable to rust development, the outlook in this
respect so far is good.
"Summerfallow work seems to be progressing well, and
a hay crop above the average is indicated. The prevailing
outlook is decidedly optimistic. What is wanted now for the
grain crop is a good rain or two in the drier parts and bright
fairly cool, moderately breezy weather. Present prospects
suggest a fairly early harvest."
Expects Repetition of 1!'1.5
Superintendent J. M. McKay, of the C.P.R., Saskatoon.
on a recent tour of inspection of the lines in Alberta and
S.nskatchewan was favorably impressed with crop prospects.
:Mr. McKay stated the crops are good on the lines from
H.'.rdisty to Saskatoon. Indications are favorable for a bet-
f'r than average crop throughout the whole of the territory.
Some localities are blown out and while serious to the
individual farmers effected the condition is all purely local.
The crop conditions taken as a whole are good. On the trip
from Saskatoon to Saltcoats, Sask., returning to Yorkton,
and from Balcarries over the Grand Trunk and from Lem-
berg to Saskatoon, Mr. McKay said the crops are far above
the average, and if conditions continue as they have been
so far a repetition of the crop of 1915 can be expected.
"What impressed me most," said Mr. McKay, "was the
fact that in the scrub country, particularly the territory
between Wynyard and Yorkton, the crops were better than
anywhere else. This, to me, indicates the necessity of tree
planting throughout Saskatchewan."
Beneficial Rain in Alberta
A report from Calgary, dated July 6, states that
farmers are unanimous in declaring that rarely, if ever, has
there been such a beneficial rain as that which started a day
or so previously. Only in one or two isolated cases has
there been hail and any damage resutling from this has
been extremely limited. The rain, it appears, was general,
Edmonton, Lethbridge, Calgary and Medicine Hat participat-
ing in the downpour was steady, particularly in the latter
place when the rain continued for more than two days. The
report adds: —
"One of the outstanding features in connection with the
rainfall is the extreme optimism of business men in the city.
It is undeniable that a certain amount of uneasiness was be-
ginning to be manifested, although thex'e were old-timers
like Pat Burns, who never for a moment were lacking in
their faith of the country. There were pessimists, neverthe-
less, who were ever ready to remind one of the drought of
last year. All this doubt has now been cleared and it is
certain in the opinion of farmers that there will be a good
crop in Alberta this year."
Farmers are agreed that the present weather is ideal for
bringing on the crops most rapidly. At Rumsey, wheat is
37 incho> in height in many fields and the heads are be-
ginning to shoot. Crops in that district are generally in the
best of condition, and at Stettler are far ahead of what they
were this time last year.
NORTHERN ASSURANCE COMPANY
Progress made by the Northern Assurance Co. during
1919 was well up to that made by other British insurance
companies, as indicated by the eighty-fourth annual report,
which has just come to hand. During the year the company
ac(iuired the stock of the Medway Insurance Co., Ltd., and
of the Tasmania Insurance Co., Ltd. Since the close of the
year the capital has been increased to £6,502,500 by the crea-
tion of .jOO.OOO new ordinary shares of £10 each, of which
the directors decided to issue 50,000 at once to the existing
shareholders at the price of £15 per share of £10 (£1 paid).
The new caiptal will appear in the accounts for the year
1920.
In the fire department premiums received increased
§637,940 over the previous year. Losses amounted to $4,509,-
515, or 44.2 per cent, of the premiums, as compared with
43.6 in the previous year. The ratio of expenses to manage-
ment was 38.97, as against 34.84 previously. The life and
marine departments were particulai'ly successful. In connec-
tion with the former, 2,402 policies were issued for new
assurances, amounting in the aggregate, after deduction of
re-assurances, to $6,609,490, yielding annual premiums of
$275,400 and single premiums of $35,070. This is the largest
amount of new business transacted in the history of the com-
pany in that department, the sums assured being $3,724,425
ifi excess of the figures for 1918, which itself was a I'ecord
here for the company. The profit and loss account shows net
profits of $3,166,320, which, after dividends and usual de-
ductions, left a total of $2,570,325 to be carried forward.
The company, which writes fire business in this country,
has an aggressive Canadian organization in charge of G. E.
Jloberly, manager*, and in 1919 the company's reputation was
further sustained here, net premiums amounting to $1,050,-
101, as compared with $977,872 in the previous year.
July K), 1920
THE MONETARY TIMES
1
■
I
hnnij
Come for a Glorious
Vacation Trip
COMMENCE your boat-trip-holi-
day at Lewiston, where one of our
luxuriously -appointed Steamers
will connect with your train. Thence
across Lake Ontario to Toronto —
through the Thousand islands and the
Rapids, to the Cities of Montreal and
Quebec. Such is the route on the trip
from
((
Niagara to the Sea''
terminating in the canyon-like scenery of the
Saguenay. We approach Cape Eternity, a
towering mass of rock that looks down upon
us in isolated grandeur, making our craft look
like a microbic organism in some spectral
picture.
Our steamer traverses a little bay, and we gaze
spellbound at Cape Trinily — the lowest of its three
elevations graced by a huge statue of the Virgin,
which for 30 years has gazed with seeming compas-
sion on the waters below — impervious to the ele-
ments, a thank-offering of a devout Catholic.
These mightiest of all the promontories that
tower above the dark waters of the majestic
Saguenay. form a fitting climax to a trip thai has no
equal for awe-inspiring grandeur and panoramic
charm.
Send 2c. potlagt, for llluMlratrd hoohitt, map
and guide to JOHN F PIERCE. Puttengtr
Traffic Manager. Canada Sleamthip LincM.
208 R. <6 O. Building, Montreal. Canada.
CANADA STEAMSHIP LINES,
LIMITED
J rt ^ ^:l
k^
.J
Pi
THE MONETARY TIMES
Volume 65.
CITY OF TRAIL, BRITISH COLUMBIA
Sealed tenders will be received by the undersigned up
to 7.30 p.m. on Monday, July 26th, 1920, at the City Hall,
Trail, B.C., for ?9,000.00 Local Improvement Cement Side-
walk Debentures bearing 7 per cent, interest, payable semi-
annually. Principal payable in 1930. Principal and interest
payable" at Trail, Toronto or New York. Denomination of
bonds $500.00.
\VM. E. B. MONYPENNY,
179 City Clerk.
TENDERS FOR DEBENTURES
GOOSE LAKE CONSOLIDATED S.D. No. 1283,
ROBLIN. MAN.
Scaled tenders, addressed to the undersigned, will be
received up to Saturday, August 14th, 1920, for the following
Debentures: —
First Issue. — Debentures for Twenty-five Thousand Dol-
lars ($25,000.00), dated January 1st, 1920, bearing interest
at 6 per cent, per annum, and repayable in twenty (20) equal
annual instalments of $2,179.61 each. First payment, Jan-
uary 1st, 1921. Payment to be made at Union Bank of Can-
ada, Roblin, Man.
Second Issue. — Debentui-es for Twenty-five Thousand
Dollars ($25,000.00), dated June 1st, 1920, bearing interest
at 6 per cent, per annum, and repayable in twenty (20) equal
annual instalments of $2,179.61 each. First payment, June
1st, 1921. Payment to be made at Union Bank of Canada,
Roblin, Man.
District includes Village of Roblin and 109 sections of
land. Assessment for 1920, $830,465.00.
The highest or any tender not necessarily accepted.
L S. MITCHELL,
Secretary-Treasurer,
1<I1 Roblin, Man.
Condensed Advertisements
ions w ;tnteJ.'".;c per word : all other i.on;lcnsi-d advcrcistmcnts.
word Minimum charge for any condensed advertisement. .SOc
ertion. All condensed advertisements must conform to usual
ivle Condensed advertisements, on a. count of the very low rates
harged for them, arc payable in advance : .^0 per cent, extra if charged
"Po
pe
WANTED. — Inside position in financial house. Thor-
ough expci-ience in Stock Exchange business, also knowledge
of government and municipal bond market and insurance.
Box 321, Monetary Times, Toronto.
A FIRE INSURANCE Office requires a bright young
man as Inspector for Ontario. Must have insurance experi-
ence and good organization ability. Apply with full parti-
culars to Post Office, Box 780, Montreal. 170
WELL-EDUCATED, ENERGETIC ADVERTISING MAN
seeks opportunity with established brokerage house with
view to ilemonstrating advertising ability, pron\oting Sys-
tematic Inve.'^tnient Plan, and following up prospective clients
until sales have been consummated. Qualifications include
valuable metropolitan newspaper experience. Box 323, Moiii--
/i.rv Tiinc.i, Toronto.
THE MERCHANTS BANK OF CANADA
QUARTERLY DIVIDEND
Notice is hereby given that a dividend of Three per
cent, for the current quarter, being at the rate of Twelve
per cent, per annum, upon the Paid-up Capital Stock of the
Bank, was declared, payable on 2nd August next to Share-
holders of record on the evening of 15th July, dividends on
new stock, computed in accordance with the terms of issue,
to be at the same rate.
By order of the Board.
D. C. MACAROW,
General Manager.
Montreal, 2Sth June, 1920.
184
McINTYRE PORCUPINE MINES, LIMITED
(No Personal Liability.)
DIVIDEND No. 11
Notice is hereby given that a dividend of 5 per cent.
(5',v) on the issued Capital Stock of the Company will be
paid on the 1st day of September, 1920, to Shareholders of
record at the close of business on August 1st, 1920.
By Order of the Board.
M. P. VAN DER VOORT,
Secretary-Treasurer.
Dated at Toronto, July 9th, 1920. 190
CANADA AT WASHINGTON
A Canadian government representative at W'ashington
is to be appointed, according to announcement recently '
made in parliament, and at times this representative will act
for the empire as a whole. Mr. Bonar Law, in explaining
the reasons in the British house, said that the imperial gov-
ernment expected from it closer co-opei'ation and good-will
between the empire and the republic. Commenting upon the
announcement, "United Empire," the journal of the Royal
Colonial Institute, says: —
"This is a distinct constitutional step forward, and ob-
viously in conformity with the new status Of the Dominions.
It is not so much a departure from practice as a supplement
and a confirmation. Canada has on more than one important
occasion, where her interests were concerned, been allowed
a special representative. At Washington her intersts are
constant and many. Criticism of the new arrangement, cu-
riously enough, comes fronr Canada, where it is objected that
it has been made without consultation with parliament. The
point might surely have been raised with more effect at West-
minster, but on this .side there is approval only. Not the
least noteworthy feature of the scheme is that when the Brit-
ish ambassador is absent the Canadian minister will take his
place. In other words, the empire will be represented by the
Dominion. It is naturally asked what view the other Domin-
ions will take. Sooner or later they will probably demand
that they too should have special representatives. The ap-
pointment will give Canada a real opportunity to fill the role
which so many think should be hers — that of interpreter of
things American to Great Britain and of things British to
the United States."
The January-June, 1920, index to 77i.' Monetary Times is
now printed, and subscribers may obtain copies free upon
request.
July 16, 1920
T 11 E .MONETARY T I M E S
41
I""""" I ■■"'■'■ I illllllllllllllllllllllllllllt Illltllll Illlllllllllllllllllllllllllllllllllllllllllllllllllllillllll ML'
I CHARTERED ACCOUNTANTS |
Tliiiiiiiiiiiiiiiliiiiiiiiii iiiiiiiiiiiiiii iiiiiiiitiiiiiiiiiiiiiiiiiiiiiiiiiiiiiniiiii iiiiiiiiiiii inn innnnnnnnunnnnni i^
Baldwin,
Dow
&
Bowman
CHARTERED ACCOUNTANTS
OPFICES AT
Edmonton - ■ Alberta
Toronto - Out.
CHARLES D. CORBOULD
Cbartered Accountant and Auditor
ONTARIO AND MANITOBA
64B Somerset Block. Winnipeit
Correspondents atToronto, London, Bnfi.,
Vancouver
W. A. Henderson & Co.
Chnrlcred A<i..unlBnl»
508-509 Electric Railway dianbcrt
Winoipei, Man.
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Bank of Toronto Chambers
LONDON ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
D.
A. Pender
CHARTERED
, Slasor & Co.
\CCOUNTANTS
805
CooieiJeration Liie
Winnipeg
Building
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:
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CLEVELAND
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Audilori, Etc.
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SERVICE
Thorne, Mulholland, Howson & McPherson
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Kactobn
Costs aki- PporiLCTioN
Bank of
Hamilton BldK
TORONTO
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRIGGS & CO.
Winnipei, Toronto, Sa.kaloon.Moo.eJa*
Montreal, New York, London, Enc
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Tclcphonu Main 7011
LUMSDEN BUILDING - TORONTO, CANADA
F. C.S. TURNER & CO.
Chnrtcred Accoui.t«nl»
TRUST 4 LOAN BUILDING. WINNIPEG
CLARKSON, GORDON & DILWORTH
Chartered Accountant-, fruntee..
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Merchants Bank Bldg., IS Wellinaton Street We.t Toronl
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RUTHERFORD WILLIAMSON * CO
C/i.lr(crcJ AccounlunU. Irutlttt .i"<i
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eot McGiLL Huiii'i»<'. .\1I1NTHI?AL
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BUSINESS BUILDERS, LTD.
Indu.trinI and Miin
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il Adviarr.
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I rce Advice on Inve.tmcnt Problem.
C'on/irfrn/i.il rngutrif inx-tltd.
42
THE MONETARY TIMES
Volume 65.
.■VIORE FAILURES BUT SMALLER LIABILITIES
Number of Insolvent Firms for First Six Months of this
Year Sliows an Increase — Liabilities Have Been
Reduced to a Large Extent
BUSINESS failures in Canada for the six months ended
June. 1920, were greater in number in comparison with
the same jieriod in 1919, the figure being 4L'), as against HS.").
While the number shows an increase, however, there is a
considerable improvement as a whole, liabilities of the insol-
vent concerns being only $7,636,633 for the period, as com-
pared with $9,316,645 in 1919, a decrease of $1,680,012.
The showing for the second quarter, as represented in
the half-yearly statement, indicates an all-round improve-
ment over the first quarter, the number of failures in the
latter period being 206, compared with 209 in the former
three months. Liabilities also showed a reduction of more
than $1,000,000. Figures for the first half of this year, as
compiled by R. G. Dun and Co., and compared with the results
back as far as 1908, are as follows: —
Total Commercial.
Provinces.
No.
Assets.
Quebec 132
British Columbia ....
Nova Scotia
Newfoundland
Manitoba
New Brunswick
Prince Edward Island
Alberta
Saskatchewan
20
20
12
29
14
2,036,304
145,596
35,669
71,600
601,693
2,3,457
349,575
512,610
182,640
571,961
1919 .385
1918 501
1917 618
1916 1,031
1915 1,450
1914 1,218
1913
1912
1911
1910
1009
1908
817
696
661
659
761
881
932,
,652,
165,
,306
,197,
,312
,950,
,774,
.906,
,793
759
.70.-.
,722
,293
,000
,520
,218
,063
,544
,696
799
,298
,281
,840
9,316,645
8,654,694
10,336,703
15,868,941
23,421,615
11,688,225
9,593,498
5,112,219
6,492,736
9,752,.541
7,629,059
8,335,725
Manufact'ng.
Trading.
Other Com'l.
Banking.
Liabilities. No.
Ontario 110 $1,902,570 .$2,238,351 30
3,470,846 29
242,179 6
104,384 5
296,932 3
478,792 6
50,548 1
Total 1920 415 $ 5,679,134 $ 7,636,633 87
122
133
142
225
.345
276
210
155
162
135
204
239
Liabilities. No. Liabilities. No. Liabilities. No. Liabilits.
$1,831,957
2,210,013
102,000
17,984
32,000
361,960
20,000
74
96
11
15
8
23
12
389,969
1,067,548
103,179
86,400
159,589
116.832
29,548
6 $
16,425
193,285
37,000
105,343
1,000
6,700 13
7,862 50
60,240 4
544,046 4
115,700
20,053
6,312,373
5,460,936
3,707,934
5,-508,305
8,571,114
3,929,323
4,075,973
1,540,337
2,402.665
5,244,268
2,645,120
3,559,745
239
338
441
753
1,040
902
587
510
488
511
541
619
2.470
2.962
4,696
7,876,
11,002
7,215
4,811
3,304
3,852
4,402,
4,067,
4.550,
,036 24
352 30
,772 35
164 53
,990 65
,158 40
,233 20
,356 31
,609 11
887 12
135 16
658 23
.534,236
231,406
1,931,997
2,484,472
3,847,511
543,744
706,292
267,526
237.462
105,386
916,995
222,322
4,590,476 302 $ 2,557,351 26 $ 488,806
$150,000
500,000
125,000
549,830
560,781
INCOME ASSESSMENT OF OIL AM) GAS COMPANY
Ontario Supreme Court Decision ."\Ieans that a Company
.Might be Losing Heavily, but .Mu.st Still Pay
on Profitable Works
THE value of mineral land for assessment purposes is de-
termined by the income dei-ived from it, according to
the decision of the Supreme Court of Ontario, on appeal in re
Union Natural Gas Company and the Township of Dover,
announced on January 19th, 1920. It was also held that it
is not the income from the general business carried on, but
the income from the mine or mineral work that is to be
assessed.
Company Actually Had Deficit
In 1916 the Union Natural Gas Co. leased land in the
township of Dover, county of Kent, and drilled wells in search
of oil and natural gas, but its efforts came to little until
1917, in which year the value of oil and gas produced was
$11,041. and in 1918, when oil and gas to the value of $93,838
were produced. In its efforts to produce this the company
drilled in the township of Dover some twelve wells, of which
only two — designated well No. 1 and well No. 7 — produced
oil and gas, and they produced practically all the oil awl gas
secured by the company in this township. The two wells in
operation were assessed at $35,000 each, but on appeal to
the County Court this was reduced to $62,376, this amount
being arrived at by deducting ground rent and cost of opera-
tion from gross income. The company claimed that it had
suffered a deficit, for its payments on all wells, whether pro-
ductive or not, had amounted to $116,120, which, less the
assessed income of 1919. viz., $62,376. left a deficit of $,53,743.
Merertith. C.J.O.. in his written judgment, states that
the question for decision is as to the mode of assessing which
should be adopted.
Each Mine Treated Separately
The Ontario Assessment Act, section 40, provides that
the income from a mine or mineral work shall be assessed
by and the tax leviable thereon shall be paid to the muni-
cipality in which such mine or mineral work is situate.
Provided that the assessment on income from each oil or
gas well operated at any time during the year shall be at
least $20. Then comes subsection 6 which provides for the
assessment of mines or mineral works that are being oper-
ated. In his lordship's opinion, "each gas or oil well — being
a mine or mineral work — is to be treated as a separate
entity and the income from it is to be separately assessed."
"The assessment in respect of a mine or mineral work is
a very different thing from the assessment of a merchant,
a manufacturer, or mine-operator in respect of the busi-
ness cariied on by him. If, as counsel for the appellant con-
tended, the appellant was to be assessed in respect of its
business generally, language very different from that which
is used in sub-section 6 would have been used. What the
legislature was there dealing with was land, and it was pro-
viding that in the case of a mine or mineral work, the land
.should not be assessed at its actual value or at less than
the value of other land in the neighborhood used exclusively
for agricultural purposes, but that its value for assessment
purposes was to be determined by and be the amount of the
income derived from it. It is to be noticed also, that it
is not the income from the business carried on by the apel-
lant, but the income from the mine or mineral work, that is
to be assessed."
"I would affirm the order of the Board."
W. L. McKinnon and Co., bond dealers, Toronto, have
returned to their office premises in the McKinnon Building,
which was damaged by fire some weeks ago.
July 16, 1920
THE MONETARY TIMES
43
=• """ '""" ' iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii mill iiiiiiiii ntiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii niiiiiiiiniiiiu
I REPRESENTATIVE LEGAL FIRMS |
~' iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiuii iiiiiiiiiiiiiniiii HUM iiiiiiiiiiiiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiinir
BRANDON LETHBRIDGE, Alta. REGINA
J. p. Kilgotir. K.C. C. H Fo'.tcr
R. H. McQueen
KILGOUR, FOSTER & McQUEEN
Barriftcrt, Solicitors, Etc., Braodon, Man.
Solicitors for the Bank of Montreal The
Royal Bank of Canada Hamilton Provident
and Loan Society. North American Life
Assurance Company-
Conybeare, Church
&
Davidson
Bar
risters, Solic
toi
■ . Etc.
Solicitors
and Loan
fur Hanli of Mo
Co of Canada.
Trust Co.. &c.
Brit
4c
il. The TruM
ish Canadian
C. F. ]■>. Conybeare. K.C. H
R. R. Davidson.
W. Church. MA 1
LL B 1
Lelhbr
dge
Alta. 1
ALLAN,' GORDON & GORDON
BarriMterM, Solicitort, ie.
R RUIN A. SASK.. CANADA
Solicitors tor Imperial Hank of C»n«il»
.Merchant. Bank of C..n»d3
CALGARY
Charles F. Adams, K.C.
Bank of Montreal BIdg.
CALGARY - - ALTA.
W. P.W.Lent Alex. B.Mackay. .M.A.LL.B.
H. D. .Mann. M.A.LL.B
LENT, MACKAY & MANN
Barrlatera, .SoUellors, .Nolarle^,, t.lc.
305 Grain Exchange Bids . Calgary. Alberta
Cable Address," Lenjo." Western UnionCode
Solicitors for The Standard Bank of Canada.
The Northern Trusts Co. Associated Mort-
gage Investors. &c. ,^
Hon. Sir James Lougheed. K.C. K.C.H.G..
R. B. Bennett, K.C, J. C Brokoviki. K.C.
A. M. Sinclair. K.C. D. L. Redman. H. E.
Forster. P. D. McAlpine. O. H. E Might. L.
M. Roberts. ^Cable Address "Loughnetf)
LOUCHEED. BENNETT & CO.
Barristers, Solicitors, Etc,
Clarence Block. 122 Eighth Av«iue West
CALGARY. ALBERTA. CANADA
J. A. Wright. LL.B.
C. A Wrioht. B.CL
WRIGHT & WRIGHT
Barristers, Solicitors, Solaries, Etc.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. AC. Rutherford. K.C .LL. D
F. C. Jamieson. K C. Chas H. Grant
S.H. McCuaig Cecil Rutherford
RUTHERFORD, JAMIESON
& GRANT
Barristers, Solicitors, Etc.
514-18 McLeod Bldg. Edmonton, Alberta
JOHNSTONE & RITCHIE
Barristers, Solicitors, Notaries
LETHBRIDGE • Alberta
MEDICINE HAT
C. F. H. Lo.si^.
LL.B.
J. \V. SLElr.iiT. HA
LONG
&
SLEIGHT
Barristers, etc
MEDICINE
HAT
and BROOKS, Alta.
MOOSE JAW
Grayson, Emerson & McTaggart
Barristers, Etc.
Solicitors— Bank of .Montreal
Canadian Bank of Commerce
Moose Jaw - Saskatchewan
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
C..llcdtoOnt.irioBiir IHKU. New York B.ir lH,s-
ELLISON, ELLISON & ERASER
■ ■).-• Bronimny. ><■" '•""••
ELLISON, GOLDSMITH* ALLEN
PRINCE ALBERT
COLIN
E
BAKER,
B.A.
Solu-'t'T
f,.r I
ic City of I'rmc.
Alhirl
IMPERIAL
PRINCE
BANK BUILDING
ALBERT, SASK.
SASKATOON
C 1. 1)1.. 1 H A 11 ■•'. v. AMil.u
DURIE & WAKELING
Uarrltlrrx and Kallrllor>
Cana<lu Bulldlns Mn»ltal<i
LOCKE & McAUGHEY
Barri.tcrt, Solicitor., Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
W. J. H.w^cr K C I' '• l\'-'J *» '-
l> S \\'jllhr.J,:c A H. 1) ..^c'.a-. .' I' i.b'i^Jn
BOWSER. REID, WALLBRIDGE
DOUGLAS 4 GIBSON
Barristers, Solicitors, Etc.
S.)l.c,tors (or U..nk ..( HriL.h North Americ.
YORKSHIRE BUILDING
525 Sey-our St. VANCOUVER. B.C.
VICTORIA
(K.C (..r Alber(j) .Member of Maniloh-
Member o' Nova Sco. and Brltith ColumHa
tia. Alhcrt.i and Hrit- Bar*
IbuNLOP & FOOT
Bnrri.lor.. Solicitor.
Notnrics nnci C<>mml..l'>nrr.
612 6i;« S»)»«rd nldu
Viclori». Brili.h C.lun-
WE BUY
Chauvin,AlIsopp & Company, Limited
FARM LANDS
And other good property, EDMONTON DISTRICT.
VALUATORS
Ground Floor, McLeod Building ■ Edmonton. Altn.
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE REALTY
432 Pender Street, W,, Vancouver, B,C.
Dr. J. W. .MA MAN J A WKST.MAN
I'rctidcn: Manamns Director
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
Three New Paper Mills to Locate in Ontario— Definite Announcement to This
Effect Has Keen Made— Another One May Possibly Be Established at
Kapuskasins— Spanish Merchant Investigating Dominion Lumber and Pulp Con-
ditions—South African Steel and Iron Representatives Placing Orders in Canada
DT'RIXG the past week announcement has been made of
the establishment of four pulp and paper mills, all of
which are to be located in Ontario. The Provincial Paper
Mills, Ltd., has just acquired full ownership of the Port
Ai-thur Pulp and Paper Co., of whjch they had control for
some time previously. About $1,.500,000 is involved in the
transfer, and it is intended to expend about $2,500,000 in the
erection of a paper mill. Preliminary work has been in pro-
gress for the past six months, but delay in delivery of ma-
chinery, owing to the over-crowded condition of paper ma-
chinery factories, has made definite plans for completion im-
possible. The plant, which occupies 140 acres in the city of
Poi-t Arthur, Ont., has turned out about $2,000,000 of sul-
phite annually, which has been sold in the United States,
chiefly in Wisconsin and Minnesota. It is now intended to
complete the product into paper on this side with a mill to
turn out 40 tons a day.
Arrangements have been completed to commence build-
ing on the Mission site at the mouth of the Mission River,
Fort William, Ont., a $.3,000,000 plant, according to an an-
nouncement by R. J. Manion, M.P., for Fort William. It is
understood that the name of the company is the Fort William
Pulp and Paper Co., and that Kaministiquia power will be
used.
A large pulp mill is to be erected at Kapuskasing, al-
though nothing definite as to the plans have yet been given out.
The site is regarded as being ideal for such an enterprise,
the territory tributary to the Kapuskasing River above that
point and south of the Transcontinental Railway being
heavily timbered, and a large waterfall being conveniently
located with which to generate the required electric power.
It is understood that the plan took fonn some two years ago,
but was delayed. Actual work on the laying out of the site
will be commenced at an early date. The names of those
interested have not been mentioned, but it is known definitely
that the mill will be located, although complete plans are not
yet available.
The Nipigon Fibre and Paper Mills, Ltd., will locate a
mill one mile west of the village of Nipigon, Ont., which,
when completed, will produce 40 tons of pulp per day. Head
offices of the company are at Port Arthur.
International Mill Ready Soon
An announcement from New York states that the new
mill of the International Paper Co. at Three Rivers, Que.,
will be put into operation about November 1st next. It is
estimated that the output of the new plant will be approxi-
mately 80 tons of sulphite pulp per day. Eventually, it is
planned to produce newsprint at the Three Rivers plant,
although definite steps to materialize this forecast may not
be taken in the near future, although it is hoped that the
newsprint section of the plant will be in a productive stage
by the fall of 1921.
Relative to the rumor that the plant at Cornwall, Ont.,
would be closed down, the Howard Smith Paper Co. states
that the plant is at present, and has been for some time,
working to the limit of its capacity, with every prospect of
such a condition keeping up for some time. The company
is also building a large sulphite mill near its present plant,
which will add greatly to the output.
Timber limits containing fir and some cedar on the
south-west of Vancouver Island, B.C., have been sold by the
Rat Portage Co. to John W. Blodgett, 6f Grand Rapids, Mich.,
for $400,000. .\ mill will be erected on the property.
Initial steps toward establishing trade between Canada
and Spain are being taken by Augusta Ranioneda, of Barce-
lona, Spain, who is the representative of all the paper mills
of Spain. Mr. Ramoneda states that the primary object of
his trip to Canada is to investigate the lumber and pulp
supply of the country, and to ascertain how much of the
product is available for export. "The paper mills of Spain
need 60,000 tons of pulp," he said, "and the first two ship-
ments from Canada, amounting to seven thousand tons, left
Quebec the latter part of last month." The development of
trade in other products would follow later, Mr. Ramoneda
declared. An office has been established in Montreal.
Mr. T. A. Connolly, a member of the finii of J. W. and
T. Connolly, leading steel and iron merchants, Capetown,
South Africa, has arrived in Canada. For many years the
firm which Mr. Connolly repre'sents, had been buying from
Great Britain, but during the war they started obtaining
supplies from Canada through the Dominion Exporters, Ltd.,
whose headquarters are in the New Birks Building, Montreal.
Mr. Connolly was so impressed wath the possibilities and
advantages of the Canadian trade that he has taken a trip
here with the South African director of the Dominion Export-
ers, Ltd., and through the Montreal offices he has come in
contact with a large number of the leading manufacturers,
with the result that he has placed some important contracts
in Canada, with the intimation that further contracts are
likely to be given out in future.
Manufacturing Notes
The St. Thomas, Ont., Hydro-Electric Commission has
declared a reduction of approximately 15 per cent, on all
power rates in the city, the new order to be retroactive from
June 1st. This will mean a big saving to the larger com-
mercial users in the community.
Owing to the scarcity of coal, the plant of the Canada
Cement Co. at Hull, Que., may close immediately and may
not reopen until belated shipments of fuel arrive. The cement
plant has been operated at one-half capacity since last spring.
The .■\ndrew Gray Upholstering Co., of Toronto, an in-
dustry established for many years, and doing an extensive
business, will locate in Owen Sound, Ont., as soon as a fac-
toi\v can be built. The site of the factory will be on Third
Avenue East, near the old Central Hotel, a pi-operty owned
by Elias Lemon. The building will be of stone construction,
two stories high at first, and 50 feet wide by 72 feet long.
The company will rent the factory from Mr. Lemon, with the
option of purchase, and will manufacture all kinds of high-
grade upholstering. Hydro power will be used for the opera-
tion of machinery. Jv^o bonus or aid from the ratepayers is
being asked by the company.
Affiliation of the Mann Axe and Tool Co., Ltd.. of St.
Stephen, N.B., with the James Smart Manufacturing Co.,
Ltd., of Brockville, Ont., is announced. The Mann Axe and
Tool Co. had its origin in St. Stephen, 1911, in conjunction
with the James H. Mann Co., of Lewiston, Pa. It succeeded
the Maritime Edge Tool Co., which, in turn, had been estab-
lished here in 1900, when Mr. Huestis came from St. John,
and with H. W. Broad and the late John Wilson took over
the business that had for many years been carried on by E.
Broad and Sons. It is expected that the St. Stephen branch
will be directed as in the past by Charles E. Huestis, who will
continue as president and general manager of a new company
under the charter of the Mann Axe Co., Ltd.
Work on the contract for the erection of the new thou-
sand-foot dock for the G.T.P. at Prince Rupert, B.C., has
already commenced. Tlie material is being assembled and
the preliminary work is under way by the contractors. Grant,
Smith and Co. and Magoffin, Ltd. This dock is expected to
July 16, 1920
THE MONETARY TIMES
Great North Insurance Co.
Head Office. I.O.O.F. BLOCK. CALGAKY. ALBKRTA.
THE COMPANY WITH A RECORD
OFFICERS
President and Manager ... W. J. WALKER. E»q.
1st Vice-President
2nd Vice-President. H
3rd Vice-President
Secretary
AUDITORS
Edwards. MorKan & Co.
J. K. .Mcl.VNlS. Esq.
ALEX. C. RUTHERrORD. K.C.
Hon. p. E. LESSARD. M.L.A.
J. T. NORTH. Esq.
DIRECTORS
-ion. Alex. C.Ruther- Edward J.
ford. K.C, B.A.. Esq.
J. K. .Mclnni
W. J. Walke
Geo. H. Ro
Hon. P. E. Lessard.
I f^ ^ PI {^ ^ GUARANTEE AND
*-* ^-^ *^ *-' ^^^ ^^ ACCIDENT COY., Limited
Head Office for Canada - Toronto
Employers- Liability. Elevator. Com rj^ I, Personal A.;CH!cnt, F.JcliO
Guarantee, Internal Kevenue, SuUncss. CoLirl Uond;..
r<-am< anJ Autonu.bilc.
AND FIRE INSURANCE
l'res,Jcnt-H. B Atkins. .M.L.A. -nd Vicc-PrciiJcnl— R J. Kollit
1st Vice-Presidcnt-H. E.Pearson Treasurer-J. L. Broun
50-50 Mutual Hail Insurance Society
Head Offic- DIDSBURV. Albrri,
OWNED AND OPERATED BY THE FARMERS
I'AKKHK IV 1;1-.|:D. Sro Mki
CANADIAN STRONG PROGRESSIVE
FIRE INSURANCE
AT TARIFF RATES
THE NORTH EMPIRE FIRE INSURANCE Co.
HEAD OFFICE WINNIPEG. MAN.
Toronto Office: 2 1 8 Confederation Life BIdii.
J. E. HUU.SSO.M. .ManaKcr
(Policies guaranteed by the London Gu.irantee and Accident
Company. Limiledl
THE DOMINION OF CANADA
GUARANTEE & ACCIDENT INS. CO.
Accident Insurimce Sickness Insurance Plate Ula»i> Innuranc*
Bumlary Insurance Automobile Inaurvnce Guarantee Bonds
Tbc Oldest and Strongest Canadian Accident Insurance Comrany
T*ranlo Montrral TTlBolprc I'aicarr >uir«nTrr
British Northwestern Fire
Insurance Company
Head Office
TORONTO
E. C. O. JOHSSt
Hon. Edward Brows. J. H. Kidoul.
President. M.-inaging Director. Secretary
F. K. Foster.
Winnipeg. General AKent for Western Provinces.
The policies of this Company are guaranteed by Eagle.
Star and British Dominions Insurance Company. Limited, ol
London, England.
ASSETS EXCEED S93,000.000
Applications for aSlencici arc corJially invitcJ.
Merchants Casualty Co,
Head Office: WinnipetJ, Man.
The most progressive c
supervision of the Dominii
Embracing the entire Dom
iil'any in Canada,
and Provincial li
ion of Canada.
SALESMEN NOTE!
>l liberal protcclion oRcrcd
Our accident and health policy in the
lium of II 00 per month and up.
:rs over 'J..VX)di(Tcrent diseases.
Pays for Life if disabled throuKh Accident cr
Inrsa.
Fifty per cent. eMra if cnnlined to hospital
Pays for Accidental Death. Quarantine, Sut-
neon l-Vcs f.ir minor injL;ric». aKo lor death ol
llrncticiary and childicn ol the Insured.
Good Op*ningi for Livm Ag»nt»
Eastern Head Office. Royal Hank HldK.Tornnlo
Home Office BIcctric Railway Chambers.
Winnipeg. Man.
Palatine Insurance Company
LIMITED
OF LUM)U.\ EXCL.'IM)
Capital Fully Paid - $1,000,000
Fire Premiums, 1919 3,957,650
Total Funds - 6,826,795
In addition to the above there 's tlie further Guarantee of the ^""■"'"^■^''
Union Assurance Compjny, Limited, whose funds exceed S.W.Ooo.oih)
Head Office : — Canadian Branch
COMMERCIAL UNION BUILDING. MONTREAI
W. S. .loi-Lisc, ManaKcr
roron/0 0//;c<— 60 KING STREET WEST
JONHS & Proctoh Bros.. Limitfi). A^cnt-.
Automobile— 1 920— Season
Policies to cover ANY or ALL motoring riok»
ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
82-88 King Str«>et E*i»t, Toronto
THE MONETARY TIMES
\'olu;r.e CS
be used for Oriental as well as Alaskan trade. It will be one
of the most modern docks on the coast.
The York Cotton Mill, St. John, N.B., will be electrified.
New equipment to be provided includes two steam turbines
of GOO horse-power each, for which a new power-house is now
being constructed. The new units are replacing a 2.'30 horse-
power steam and a l.'')0 horse-power gas engine. Some addi-
tions will also be made to the Cornwall, Ont., mill.
Location of the Samson Tractor Co. of Canada, Ltd., at
Oshawa, Ont., is announced. The new company will manufac-
ture and look after the Canadian distribution of Samson
tractors, Samson trucks and Samson farm implements. It
is intended to commence the manufacture of the trucks at
once, but, as time will be required to equip a plant for the
manufacturing of the tractors and implements, these will be
impoi-ted, for the present, from the factory of the parent
company at Janesville, Wis., the Canadian firm taking care
of the distribution.
.Mexicans Want Canadian Trade
Luis Murna Martinez, recently appointed commercial
representative of the new Mexican government, arrived in
Toronto a few days ago for the purpose of working up closer
trade relations. The new government is now firmly estab-
lished, he says. "We wish to establish closer relationship,
too, because Mexico offers facilities for the investment of
Canadian capital for the development of many industrial
plants, where there is plenty of raw material produced in
the country. The principal aim of the new government is to
establish larger trade relations with this and other countries."
Regarding power interests in Mexico in which enterprises
Canadian capital is invested, Mr. Martinez says that the
Mexican Light and Power Co. have about £10,000,000 ster-
ling to invest in large plants for tramways in Mexico.
nOMINIGN BUSINESS FAILURES
The number of failures in the Dominion, as reported by
R. G. Dun and Co., during the week ended July 9, 1920, in
provinces, as compared with those of previous weeks and
corresponding weeks of la.st year, are as follows: —
Date.
July 9 ....(! 7 .3 0 0 0 2 2 0 20 8
July 2 .... Figures not yet available <i
June 2.''> . . . . 0 0 :i 0 4 2 0 0 0 9 15
June 18 .... 1 9 0 1 2 2 0 2 1 18 9
CONTINUE PURCHASE OF SEED UliMS
Abnormal conditions throughout the prairie provinces
during the past two years have led the federal government
to decide on a continuation of the Dominion Seed Purchasing
Commission, it was announced by Dr. S. F. Tolmie, minister
of agriculture, recently. This means that the government,
since the commission was established in 1916, has done busi-
ness with the farmers of the country to the extent of approxi-
n.ately $1. '3,000,000. The actual balance sheet, just completed
by the department, and covering the three years up to Sep-
tember last, shows $11,896,540 advanced to the Seed Pur-
chasing Commission on the authority of the minister of agri-
culture. On that date there had been refunded to the receiver-
general $11,90.3,437, and, in addition, the commission held
assets, including seed grain in storage, amounting to $51,185.
Referring to the need for a continuation of the work of
the commission, Dr. Tolmie went on to show that the money
advanced for the past season's business amounted to $3,800,-
000, over $3,200,000 of which has already been returned to
the receiver-general. The final accounting of the year's busi-
ness may not be completed before September, but the esti-
mate.! balance at the end of May gives promise of the total
amount being returned to the public treasury, an exceedingly
satisfactory state of affairs, according to the minister.
NEW INCORPORATIONS
Riordon Co., Ltd., $80,000,000— Brunette Sawmills, Ltd., $2,-
000,000— Marsh Mines Development Co., Ltd., $1,500,000
The following is a list of companies recently incorpor-
ated under Dominion and provincial charter, with the head
office and the authorized capital: —
Kenmore. Ont.— Conn, Ltd., $40,000.
Waterloo. Ont.— E. O. Weber, Ltd., $500,000.
Sherbrooke. Que.— Fletcher Corp., Ltd., $100,000.
St. John, N.B.— St. John Creamery, Ltd., $49,000.
Fredericton, N.B.— Lawlor and Cain, Ltd., $49,000.
Kingston. Ont.— Chateau Belvidere, Ltd., $200,000.
Hamilton. Ont.— Highway Gardens, Ltd., $250,000.
Chatham, Ont.— L. H. Johnston Co., Ltd., -$40,000.
Melfort, Sask.— The Bell Electric Co., Ltd., $5,000.
Sapperfon, B.C.— Brunette Sawmills, Ltd., $2,000,000.
Grimsby. Ont.— The Grimsby Pickle Co., Ltd., $40,000.
(Joodeve, Sask. — Goodeve Ukrainian Home, Ltd., $2,000.
:Moncton, N.B.— The Moncton Supply Co., Ltd., $24,000.
Ptarmigan Creek, B.C.— Ptarmigan Lumber Co., $250,000.
Raddeck. N.S.— Bell-Baldwin Hydrodromes, Ltd., $5,000.
Port Hammond. B.C.— Diamond Lath Mills, Ltd., $10,000.
Nelson, B.C.— Baskin-Gevurtz Lumber Co., Ltd., $100,000.
Yorkton, Sask.— The New York Drug Co., Ltd., $20,000.
London, Ont. — Metropolitan Holding Corp., Ltd., $500,-
000.
North Portal, Sask. — North Portal Lumber Co., Ltd.,
$20,000.
Weyburn, Sask. — W^eyburn Sash and Door Factory, Ltd.,
$20,000.
Ottawa, Ont. — Kipawa Raw Fur and Hide Co., Ltd.,
$50,000.
Owen Sound, Ont. — The Slade Manufacturing Co., Ltd.,
$200,000.
Balcarres, Sask. — The Balcarres Power and Light Co.,
Ltd., $15,000.
Regina, Sask.— Standard Clay Brick Co., Ltd., $25,000;
Ceylon Sodium Co., Ltd., $125,000.
Prince Albert, Sask.— Muske and Phillipe, Ltd., $35,000;
Central Realities Co., Ltd., $25,000.
Victoria, B.C.— R. P. Clark and Co., Ltd., $50,000; Mala-
hat Tie and Lumber Co., Ltd., $25,000.
Saskatoon, Sask. — Murphy, Juehlfs Lands Co., Ltd., $50,-
000; Universal Tire Filler Co. of Saskatoon, Ltd., $10,000;
LePage Co., Ltd., $20,000; Andon Dulmage Drug Co., Ltd.,
$39,300.
Moose Jaw, Sask. — Consumers Export Co., Ltd., $5,000;
Ililtz Stocking Machine Co., Ltd., $10,000; Moose Jaw Amuse-
ments, Ltd., $40,000.
Montreal, Que.— Belanger Foundry, Ltd., $100,000;
Riordon Co., Ltd., $80,000,000; Adcock and Brewer, Ltd.,
$24,000; Joliette Castings and Forgings, Ltd., $1,000,000;
Steamship Julius Kessler Corp., Ltd., $650,000; Cassel Cyan-
ide Co. of Canada, Ltd., $50,000.
Toronto, Ont.— Ebsary Gypsum Co., Ltd., $50,000; Inter-
locking Tile Co., Ltd., $135,000; Edward Press, Ltd., $40,000;
Niagara Sand Co., Ltd., .$250,000; Calnay Cinema Corp.,
Ltd., $40,000; Burnside Realty, Ltd., $40,000; Victory Toffee
Co., of Toronto, Ltd., $60,000; D. A. Balfour Co., Ltd., $40,-
000; United Jobbing and Importing Co., Ltd., $100,000.
Vancouver, B.C.— Storey and Campbell, Ltd., $500,000;
F. and F. Henderson, Ltd., $150,0000; A. W. Brett, Ltd.,
$10,000; Shilvock-Jackson, Ltd., $25,000; Western Glass Co.,
Ltd., $25,000; Marsh Mines Development Co., Ltd., $1,500,000;
Gevurtz Lumber Co., Ltd., $350,000; Hardwood Chair Co.,
Ltd., $10,000; Rotary Harrow Co., Ltd., $50,000; Maple Leaf
Knitting Co., Ltd., $20,000; E. A. Earle, Ltd., $10,000; Gray
King Manufacturers' Agency, Ltd., $10,000; Dally Coal and
Oil Syndicate, Ltd., $1,100,000; Vancouver Commission Co.,
Ltd., $20,000.
July IG, 1920
THE MONETARY TIMES
47
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS .... 24,600,000.00
UBERAL :NSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
^<,I<:
These arc wondciiul dava (or lite iii5ur«i
particularly North American Life men. Our rep
tivcs are placing unprecedented amountu of new bu
All 1919 records are being smashed.
■' Solid as the Continent " policies, coupled
did dividends and the great enthusiasm of all
sentatives tell you why.
Gel in line for success in underwriting.
-American Life contract is your opening. Vl'ritc
particulars.
Address E. I II
eata-
siness.
with
our
iplen-
:epfe-
\orlh
>r full
^upr
.1 A,-,
North AmericaD Life Assurance Company
■■SiiI.II> AS THH Cu.NTINhNT
HOME OFFICE
TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE WINNIPEG, MAN.
Assurances, New and Revived - - - 81,21 1, -1 17. 00
Premiums on same .... 4.^,890.00
.-Assurances in Force ... . 3,458,939.00
Total Premium Income - - - - 109.586.03
Policy Reserves ... - - 211.49700
Admi'tted -•Assets 296.430 62
.■Average Policy 2,237.50
Collected in cash per SI, 000 insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director Winnipeg.
1870 OUR GOLDEN JUBIUEE 1920
Mutual in Principle : Mutual in Practice
Prosperity has attended ivcry step in tin. mjrch of the MutusI (r.iii
the optninK of its lonfi campaign in IS70 down to the prcsvnt. jnl mu..h
of th.1t success has Iwcn due to the practice of the pnnnplc of niutuality
which has characterized all ranks of thi: ever increavmt: arni) <ihMac!e»
have been removed. diRiculties overcome and a lent succcsiun of vif.
tones achieved by co-operation, the most vital force in the world.
The objective of the .Mutual Life of Canada since it^ oruani.-at.on in
I8«9has been "to furnish the larKest amount of lenuine life insurance at
the lowest possible net cost." This objective his Ken attained as
actual results clearly fhow. The limited number of lapses indicates
a membership of satisfied policyholders while the rapidly cxpandinn
business reveals the firovvinK popularity of the company- Join our vie*
torious march.
BE A MUTUALISTI
The Mutual Life Assurance Co. of Canada
Waterloo Otitnrio
Hume Cronyn. .M.P.. President. Charles Kuhy. General .Manager
SUCCESS IN LIFE INSURANCE
Salesmanship depends so much upon the service rendered thai we havt
adopted as our slogan ; '*<irealer Service to l'ollrytaolder»." w c have a few
desirable positions for good salesmen who will study their clients' best interests,
and co-operate with the Company. Kvery assistance, financial and otherwise.
given earnest, hard workers, to makir nood. Apply with refcrcnc ^. stJtmK c.\
perience. etc.toS. S. nEAVCR, Knuleni .^apprlulcndcnt, ai Bend Oltlrc
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
ISSLHI) ONLY UY
THE LONDON LIFE INSURANCE CO.
Head Office ... LONDON, CANADA
Profit Results in this Company 70\ better than Eitimtlet.
POLICIES ■OOOU AS GOLD.'
Consider — Then Act
"He who hesitates is lost, and none the less
in Life Insurance.
Procrastination often brings dire consequences
upon the household when the breadwinner has
been negligent in the provision of suitable
protection.
Attractive features are embodied in the policies
issued by The Greal-Wcit Life Assurance Company. Ideal
Insurance is at last available.
Interested ? Then write, statinR age. to
THE GREAT- WEST LIFE ASSURANCE COMPANY
HEADOFFICE DHHT K WINNIPHi
The Western Empire
Life Assurance Company
Head Oftice: 701 Somerset Building, Winoipeg, Man.
SASK.\TOO.V
BD.MONTON
The Commercial Life Assurance Co.
Ol CANADA
.ycjKCj the icucci .,/ i(Vt.u( rclMhU ..j/rjru/,. a .':-,. ,1 .u.. -<;,'i,/.
milt in a short time he given poiition* of retponithilityat manageti
'■>f tiistrieta to he openeJ throughout Wextern Canoiia. an*! rrent-
ua//y in the East .>/<«. Thii n a tplenjij oppor/uni(y to (raw nth
a thriving, loli.l compunv. thni jt pretenl it operating in M.i/ port o/
CanaJa. fhere the l.i/e Iniuranec man'% nppnrlunily unJ.tuklcJ/y
ij the greuteit.
F.xpcrienced Life men, Jetirout of a ehan^e of enrirnnment anJ
climate, and fho pr'hapi neal the mipilui an<l inlhuiiatm of a
near orgnnisalion. are mvilrj tn i.:i r, •p^nl .
J. W. CLENWRICHT. MnnnBfnB Director
Head Office : C.P.R. BuildioR. EDMONTON. Canada
4R
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Calgarv Will Lose By Transfer of Collected Tax Arrears To New York — Regina
Sinking Fund Report Shows All Required Provision Made — Good Tax Collections
Reported Ry Oak Bay— Saskatoon Anticipates Big Deficit on Street Railway This Year
Ottawa, Ont. — The Eastview council will negotiate with
the Ottawa city fathers in the near future, with a view of
annexing their municipality to the city.
AVest Kildonan, Man. — School board estimates for the
year 1920-21, amounting to $71,258, have been passed. This
amount is for five schools and is an increase of $20,823 over
last year.
Woodstock, N.B. — The board of school trustees in sub-
mitting its report for the year ended June 30 last, shows
receipts of $16,986 and expenditures of $17,507 for the twelve
months, leaving a debit balance of $521.
Timmins, Ont. — Assessment of the town has been in-
creased from $2,025,013 to $2,445,264. The principal in-
creases are in land, buildings and income. The population
is given as 4,018, as compared with 4,663 last year.
Devon, N.B. — The tax rate this year will be $3, as com-
pared with $2.71 for last year. Assessment has also been
increased about one-third. The big increase in the money
lequirements of the town this year is due largely to the
increased cost of schools, the expenditure in that depart-
ment being increased from $5,400 last year to $11,500 this
year.
Calgary, Alta. — Since July 1, the date when payment of
1920 ta.\es began, the city treasurer has taken in more than
$153,920, most of which were current taxes. Until July 20,
taxpayers ai-e allowed 10 per cent., which rate is lowered
to 6 per cent, to August 20, and reduced 2 per cent, each
month thereafter. At the end of the year unpaid taxes be-
come delinquent.
Quebec, Que. — City representatives have decided to act
upon the following plan in all future negotiations for tax
exemption: New industries will be tax exempt for ten years
for real estate tax only. Nothing the first year and 10 per
cent, each year up to the eleventh year when they will be
paying their full tax. Where conditions warrant, extensions
of factories will be tax exempt for five years, the first year
nothing and 20 per cent, each year until the sixth year.
Oak Bay, B.C. — Tax collections up to the end of June,
after which a penalty is added, were 82 per cent, of the entire
\e\n,'. The levy in Oak Bay last year was $182,000, while
this year it is up to $215,000. The amount collected up to
the end of June last year was $140,000, while this year it
amounts to $175,000. Outside of properties protected by
the War Relief Fund, Oak Bay has at the present time
practically no tax ai-rears on its books.
Lennox and Addington Counties, Ont. — The following
equalization of the townships for assessment has been
made by the council: Adolphustown, $408,679; .Amherst Is-
land, $430,091; Bath, $111,000; Camden, $2,097,900; Den-
bigh, A. and A., $57,209; Ernesttown, $1,986,184; N. Fred-
ericksburgh, $753,534; S. Fredericksburgh, $762,659; Kala-
dar, A. and E., $76,512; Napancc, $880,000; Newburgh, $117,-
f»83; Richmond, $1,093,350; Sheflield, $604,194; total, $9,-
387,295.
Saskatoon, Sask. — Decision has been made by the city
council to reduce the street car sen'ice, in view of a deficit
of over $40,000 which the city faces on its street car lines
for 1920. A report by Commissioner Yorath brought to
light that the loss on the system up to May 31 was $11,382,
and the city would also have to pay out $11,700 for the
Smith claim. The estimated loss for June would be $6,500,
making a total up to June 31 of $29,582. Total capital
charges monthly are $5,229, so that the road is losing ap-
proximately $1,300 per month on operating alone. This
condition has existed only twice before — June, 1916, caused
by jitney competition, and November, 1918, caused by the
fiu epidemic.
Ontario. — Provincial legislation which will go into effect
on July 31, will mean an increase in civic revenue in muni-
cipalities all over the province of several millions, accord-
ing to an estimate by City Treasurer Baker, of London.
This law permits municipalities to levy taxes on the incomes
of citizens derived from dividends declared on stock held in
industrial and manufacturing corporations. Hitheito, this
source of income has been without the jurisdiction of civic
corporations, but the new law passed at the recent session
of the Ontario legislature puts all these matters on a new
footing.
Mr. Baker points out that a visible reduction in the cit\
tax rate will be made through it, and some Ontario cities
are preparing to take advantage of the new order this year.
Brantford, he states, is seriously considering the prepar-
ing of a second assessment after July 31, and that the
proposal may be made in the city which he represents.
Montreal, Que. — Approximately $1,250,000 on gross
revenue, covering a period of two years and a half, is owing
to the city by the Montreal Tramways Co. This money is
payable at the rate of $500,000 a year, and the company has
paid nothing on this account since the new contract was
signed early in 1918. The clause in the agreement regard-
ing the payment of this money reads: —
"The city shall receive out of gross revenue over and
above all other amounts to which it may be entitled under
this contract or otherwise, the sum of five hundred thousand
dollars ($500,000) per annum during the continuation of this
contract, payable quarterly."
The administratve commission when questioned on the
matter stated they had allowed the company a delay in
making payment, for the reason that if they insisted on
payment it might have for effect an increase in car fares.
Meanwhile, the company pays the city interest on the
amount owed.
Alberta. — The new tax recovery act as passed by the
last legislature is now going' into effect, being dated as
operative from July 1. Under its terms proceedings are to
be taken for the recovery of all taxes in arrears at the end
of 1919. The municipal authorities in each case will be
responsible for putting through the tax recovery, and they
will include in it not only their own taxes, but those levied
by any other taxing authority, so that overlapping may be
avoided.
Lists of assessable lands in aiTcars in all parts of the
province will be prepared at once and will be furnished by
the department of municipal affairs to the reeves. These
lands will then be advertised for sale, and tax sales will
follow in due course, the date set under the act being on or
before December 15.
One year's time will be allowed for redemption, and if
not so redeemed the delinquent lands will be taken to a judge
for final artion. It is estimated that the total amounts out-
standing in tax arrears of all kinds in the province, even
not counting the cities, i-un into the millions, and the new
act now going into operation is expected to result in sub-
stantial increases in overdue payments during the balance
of the year.
Regina. Sask. — The report of the sinking fund trustees
for the year ended December 31, 1919, shows that adequate
provision has been made by the city, as required by the city
act, for sinking fund purposes, and all levies in this respect
have been paid into the fund in full as at December 31, 1918.
There is a balance of $29,836 due by the city on account of
1919 levy. The corresponding balance which was due from
July 16, 1920
THE JIONETARY TIMES
nOUSS£RWdOD^°G>MPANY
VtSTMENT BANKCR*
CANAD1.A.N GOVERN.MENT
AND .MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
CANADIAN
GOVERNMENT, PROVINCIAL,
MUNICIPAL & CORPOR.\TION
BONDS FOR INVESTMENT
Harris, Forbes & Company
INCORPORATED
C. p. R. Building,
TORONTO.
21 St. John Street,
MONTREAL.
Dominion of Canada
51% TAX FREE BONDS
The most desirable investment available
tor conservative investors.
Maturities and Prices
•1922 - 99. yielding 5.87%
1923
1927
1933
1937
- 99.
- 99A.
- 99*.
- 101.
5.80%
5.58%
5.55%
5.40%
Taxable
Bonds
1924
1934
- 98. y
- 96.
elding 6.00%
5.90%
Prompt Jclivcru mill be made free of alt expente
or chargci
T. S. G. PEPLER & CO.
ROYAL BANK BUILDING, TORONTO
1
c.
14
H.
King
BURGESS & CO.
Government and
Municipal Bonds
Street East - - Toronto
'
NEW ISSUE
PROVINCE OF ONTARIO
Gold 6% Bonds
Due June 15. 1930 Interest i Yearly
Price: 100 and Interest
Yielding 6
J. F. STEWART & CO.
106 BAY STREET -:- TORONTO
Telephones: Adel. 714-715
Lnited binancia! (>,orporalion
limited
HO.ND OEAI.KKS
(.Successurs to C. .\'crcdith & Co. I. Id.)
Head Office: MONTRHAL. OL'K.
.AFFIt.l\TI-:i) WITH nlXKVNTV TRUST CO
OF NEW YORK
ANNOUNCE
the removal of their Hrynch Office for On-
tario under the manaitement (if Mr. (•. H.
('Ork to the premise* occupied hv the
(luaranty Tru«l Cumpany of New ^ ork, at
14 King Street Hast,
T(JR()NTn
The Forcijln .'^cr^ ice Deparlmcnl of the (luar-
iinty Tru%t Compan) will continue at the above
uddret* under the tuprrvition of .Mr. Kdward
N. Wilken, C(<rrr>pondcnt. at formerly.
Telephnncj :
I nited I'inancial Corporation. Limited,
A del. }S?,h
Guarant> Trust Company of New York.
M,i.n ;:<!
60
THE MONETARY TIMES
Volume 65.
the 1918 levy at the end of 1918, was $62,887, which is an
indication of a great improvement in prompt payment of the
tax levy.
New investments wsre made during the year to the
amount of $434,057. The trustees received fi-om the city
council on November 15, 1918, the sum of $75,000, being a
portion of the insurance money collected on the Winter Fair
Bldg., for investment. As this money was required for the
erection of a new fair building, the trustees returned the
proceeds of the investment on June 23, 1919, which amounted
to $81,985.
The interest rate ppr annum, capitalized yearly, cal-
culated to pay the principal of the debentures when, and as
they became due, is 4 per cent., as provided in Section 292 of
the City Act. The average yielding rate of the sinking fund
investments is 6 per cent., and as a result, a surplus has
been established, which for the year 1919, amounted to $28,-
974, and which added to the previous surplus shows a total
surplus earned since the policy to invest sinking funds was
adopted, of $74,456. Of this amount $63,748 has been re-
turned to the city to be used for current or other expen-
ditures, and $10,708 has been set aside as a reserve to pro-
vide for the possible losses or depreciation in the securities.
Total sinking fund investments are $1,836,875, and in-
terest accrued on investments, $51,294. Cash in bank
amounts to $18,670 and that on hand, $61,658. Total assets
are $1,998,339, while total liabilities, including investment re-
serve of $10,708, amount to $1,970,592.
Calgary, Alta. — Messrs. Spitzer, Rorick and Co., the
American financial house from which the city obtained a
loan of $1,500,000 in June, 1919, on 5-year treasury, notes.
issued against the 1918 and previous taxes as security, are
demanding that the city proceed to turn over the amount of
these taxes which have been collected to date. At the pre-
sent time, this amount totals some $225,000, and at present
exchange rates it would mean that the city would lose some
$35,000 on the transfer of these funds to New York. In a
letter to the city on the subject, Spitzer, Rorick and Co.,
admit that they gave written permission that the city treas-
urer was to transmit these funds, as collected, from time to
time, taking advantage of favorable rates of exchange. City
Treasurer Mercer maintains that as exchange has at no time,
since the loan was obtained, been more favorable than then,
but, on the other hand, is higher, the written permission has
entitled him to retain the funds in Calgary. Naturally,
there is no benefit to the city in holding them, as once they
are forwarded, an equivalent . amount of the interest bear-
ing treasury notes will be taken up. The only question at
issue, therefore, is the loss of exchange.
Spitzer, Rorick and Co. maintain that the city may lose
still more money by holding them, that exchange is growing
worse instead of better, and point out that although the
city of Vancouver, in a similar position, lost money by
transmitting funds last January, nevertheless it actually
saved money by sending the funds at that time, as if it had
waited until the present its loss would have been much
greater. Moreover, the firm say that when they made the
loan last summer, they stood a loss of $75,000 in transmitting
the funds for the loan from the United States to Canada on
account of exchange, and hence they do not think the city
is right in declining to shoulder any loss in returning them.
The subject is now being discussed by the city.
Government and Municipal Bond Market
Usual Summer Quietness Prevails— Few Small Municipal Issues Taken
Up— British Columbia Disposes of More Securities to Local and American
Syndicate— Alberta Campaign for Sale of " Baby Bonds " Now Under Way
QUIETNESS prevailed in the bond market during the
past week. A few small municipal issues were taken
up at prices which certainly registered no improvement.
The city of Windsor is asking for tenders on bonds approxi-
mating $380,000, of the instalment type, but outside of this
the immediate future oflfers nothing of especial interest.
Vetory Bonds as Investments
Under the above caption, Messrs. Wood, Gundy and
Co. in a financial digest, publish an article which should prove
interesting. It reads in part as follows: —
"If an unusually large supply of any commodity is
placed on the market within a comparatively short period,
the result, no matter how great the anticipated ultimate
demand, is that the price of that commodity eases to a
point below the original value of the article. Then, after
the primary demand has been supplied and the secondary de-
mand prevails,- the price readjusts itself, and if there is no
increase in the output, that commodity will return to its
former selling price.
"This truism constitutes one of the reasons for the posi-
tion of the bond market to-day. It is true that inflation and
the non-productive employment of labor have played a part,
but between these two factors and government loans, exists
a connecting link. Had it not been for the immense volume
of labor employed in the manufacture of munitions, and the
financing of a huge fighting force engaged in a non-pro-
ductive pursuit, the raising of large sums within so short a
period would have been unnecessary, and without these fac-
tors, no inflation would prevail.
"To accomplish this war financing, it was realized that
the institutions and private individuals whose habit it was
to buy bonds could furnish but a portion of the capital re-
quired. It was necessary to secure large sums from in-
dustrial, mei'cantile and other concerns, who strongly sup-
ported the loans, and from individuals who had hitherto re-
garded bonds as an investment for the wealthy only. Un-
doubtedly, the market for bonds was greatly widened by
educational campaigns, which taught hundreds of thousands
the advantages of owning this class of security.
"Finally the time arrived when many of these concerns
found it necessary to employ their assets in financing ex-
pansions and additions to their businesses, which had been
postponed during the latter period of the war. .A.lso, a num-
ber of people who bought Victory Bonds either through
patriotism, or believing that war-time wages would continue,
have required to part with their holdings. As a result of
this liquidation, it seemed that the market might suffer from
a surplus of these bonds. Buying, however, has been sur-
prisingly good and the opinion that these bonds would soon
become the property of the permanent investor is vindi-
cated by the large number of orders continually received.
Redistribution, now under way, takes time, and in this
period bonds ai-e cheap.
"Final absorption, therefore, may be termed the crux
of the price situation. Victory loan bonds are rapidly
passing out of the hands of those who wish to sell, and into
the hands of those who plan to retain them until maturity.
The floating supply will grow smaller and with its absorp-
tion a strengthening in the Victory bond market should
occur."
Coming Offerings
The following is a list of debentures offered for sale
^of which mention has been made in this or previous issues:—
July 16, 1920
THE MONETARY TIMES
61
'The Bond Market
IS the name of our latest publi-
cation. It contains short articles
on such questions as " Victory
Bonds as an Investment,"
" Canada — a Creditor Nation "
and "Inflation."
It will prove of interest to those
people who care to read of the
elements affecting the financial
situation.
Copy gladly mailed upon request.
Wood, Gundy & Company
Canadian Pacific Railway Building
Montreal
Saskatoon
Toronto
New York
London, Eng.
i|gLg.g?ygyyy
1^='
^rtSb
INYf)TX;i(I SERVICE
N^
' 9. 9 w.wm-mmm^
/ nicest hig
Outside
Your Business
There is a growing tendency among the
younger group of business men. to invest
a portion of their surplus earnings in the
larger basic industrial enterprises, such as
pulp, paper, coal, iron and sleel.
This was particularly noticeable in our re-
cent financing for the Riordan Company.
If you would like to keep posted upon
sound industrial investment offerings,
write and we will add your name to our
mailing list. ■• •_;■,
Royal Securities
CORPORATION
LIMITED
MONTRR.VL
TORONTO HALIFAX ST. JOHN, N,H.
WINNIPEG NEW VOKK LO.NDO.N, Eni.
•4
r-gags;^'
\V I^ McKiNXox
DKAN H I'KTTK:
Income Tax Payers
will find useful our circular showins,'
what they must receive from taxable
investments to equal the return on
TAX FREE VICTORY BONDS
al present prices.
A copy will be gladly sent on request.
W. L. McKINNON & CO.
IVIcKinnon Building .TORONTO
$100,000
City of Saskatoon
(Saskatchewan)
6%% Bonds
Dated 1st July, 1920. Due Isl July. 1940.
Interest payable Ist January and Isl July.
Principal and interest payable al loronlc
Montreal and Saskatoon.
Denomination $1,000.
Price: To Yield 6.75 'o
SASKATOON is one of the most imporlanl
cities in the Province of Saskatchcw.in. The
city is in splendid financial position. Saska-
toon bonds are a safe and desirnblr invesl-
mcnt. and this issue presents an opportun-
ity seldom offered of securing a 6-%
coupon bond of a first-class Canadian
municipality, running for 20 years.
.Sp. ( lu/ I III iilai on /l•(;(JI•^(.
W. A. MACKENZIE & CO.
rnn.rni and Munitipal Bond.
42 King St. West
7v>|Jr>rVT0
r A \' A I > \
52
THE MONETARY TIMES
Volume 65.
Tenders
Borrower. Amount. Rate %. Maturity. close.
Alliston, Ont 15,707.39 6 20-inst. July 19
Capreol, Ont $17,000 6 10 & 20 inst. July 24
Trail, B.C 9,000 7 10-years July 26
Sherbrooke, Que. . . . 392,500 5 5-years July 26
St. Jerome-de-Mat-
ane. Que 150,000 5^/2 Optional July 27
Macdonald R.M., Man. 25,000 6 20-years July 28
Goose Uke, C.S.D.,
Man 50,000 6 20-inst. Aug. 14
Hrantford. Ont.— A block of $150,000 school debentures
have been placed on the local market. The city recently
disposed of $300,000 in the same manner.
Goose Lake C.S.D., Man. — Tenders will be received until
AuRust 14th, 1920, for the purchase of $50,000 6 per cent 20-
instalment debentures. (See advertisement elsewhere in this
issue).
Macdonald R.M., Man. — Tenders will be received until
July 28th, 1920, for the purchase of $25,000 6 per cent., 20-
year telephone debentures, which are in denominations of
$500. H. Grills, Sanford, Man.
Windsor Ont. — Tenders ai-e being received to-day, July
Ifith, for the following debentures: — $17,000 6 per cent. 10-
instalment; $12,000 6 per cent. 10-instalment; $40,000 6
per cent. 10-instalnient; $107,547.81 5% per cent. 10-instal-
ment; $50,000 6 per cent. 20-instalment: $150,000 6 per cent.
20-instalment, totalling $376,547.81.
Sherbrooke, Que. — Tenders will be received until July
£6, 1920, for the purchase of the following debentures:
$150,000 5 per cent., maturing August 1, 1925; $242,500 5
per cent., maturing June 1, 1925, both payable in the pro-
vince of Quebec. Tenders must be accompanied by an ac-
cepted cheque equal to 1 per cent, of the amount of the ten-
der and specify whether the offer is made with or without
accrued interest.
St. Jerome-de-Matane, Que. — Tenders will be received
until July 27, 1920. for the purchase of $150,000 bVz per cent,
debentures, which are dated April, 1920. The price offered
in the tenders shall not include the interest accrued on the
bonds at the time of their delivery. Separate tenders shall
be made for redemption of the debentures by the corpora-
tion: (1) In five years by annual series; (2) in ten years
by annual series; (-3) in thirty years by annual series. The
debentures are to be printed by the tenderer.
Debenture Notes
Courtenay B.C. — Ratepayers have voted in favor of rais-
ing $1 10,000 for a new waterworks system.
Sandwich, Ont. — Ratepayers have defeated a by-law
authorizing the raising of $30,000 for the erection of a new
fire hall.
Newfoundland. — A resolution empowering the governor-
in-council to raise a loan of .$1,000,000 to be used in the re-
habilitation of the Reid-Newfoundland Railway, has been
introduced in the house of assembly.
.^loosc Jaw, Sask. — On July 10th; ratepayers voted in
favor of the following by-laws:— $45,000 for school; $16,500
for school; $2,000 for cottage schools. A by-law authorizing
the raising of $34,000 for addition to Alexandra school was
defeated.
Sarnia. Ont. — Ratepayers have defeated a by-law
authorizing the raising of $300,000 for a duplicate water
main system, and also one authorizing the additional ex-
penditure of $20,000 towards the purchase of a municipal
paving plant.
Westmount. Que. — Two civic loan by-laws totalling
$830,000 have been approved by the minister of municipali-
ties for the province and by the lieutenant-governor, and im-
mediate steps will be taken to promulgate the by-laws, and
make legal the bonds to bo issued thereunder, even though
they may not be placed on the market for some time. The
money will be used chiefly for roads, sewers and general
improvements.
Saskatoon, Sask.— A by-law authorizing the raising of
$30,000 for the extensions to the municipal street railway,
will be submitted to ratepayers on July 22nd. A by-law
authorizing the raising of $27,300 for extensions to the
electric light and power plant will also be submitted.
St. John, N.B. — A hea\'y financial program is faced by
the city this year. Already $150,000 is needed for the
imrses' home and $357,000 for water extensions. Besides
this, school trustees are planning two new schools which
cannot be built under $100,000 each, and many other smaller,
but not less important items.
Halifax, N.S. — The finance committee is recommending
a loan of nearly $900,000 for the following purposes:— $200,-
000 for sewers; $150,000 for water extensions; $300,000 for
street paving; $60,000 for fire station; $150,000 for tuber-
culosis hospital; $4,000 for fire alarm quarters.
, Renfrew, Ont. — Two tenders were reecived on the $17,-
938 5 and 6 per cent., 23 and 30-instalment debentures, but
both were rejected. Turner,. Spragge and Company offered
$15,745.47 and R. C. Matthews and Company, $15,285. J. A.
Devenny, clerk-treasurer, informs TItc Monetary Times that an
option has been taken for two weeks, but by whom he does
not say.
London, Ont. — The finance committee will recommend to
the council that the Ontario Railway Board be petitioned to
authorize the issuance of $265,000 of debentures for the
public utilities commission. The amounts requii'ed are: —
$100,000 for a new reservoir, for which the people voted at
the last election; $85,000 for waterworks extension, and
$80,000 for hydro-electric department extensions. All three
issues were sought in the city of London bill which was killed
in the legislature.
Bond Sales
Swan River R.M., Man. — An issue of $58,000 6 per cent.
30-yea>- bonds has been sold to Messrs. Strange and Snowden,
Winnipeg, at an interest cost to the municipality of slightly
less than 7 per cent.
Drummondville, Que. — Rene T. Leclerc has been awarded
$83,000 6 per cent. 10-year waterworks and sidewalk de-
bentures at 96.50. . Versailles, Vidricaire and Boulais bid 95
while the Municipal Debenture Corporation bid 95.50.
St. Chrysostome, (Jue. — The $7,500 6 per cent. 10-instal-
ment debentures which were issued to pay off the floating
debt, have been sold to J. A. Porrier at 100.25. La Banque
Provincial bid 93.1 while Credit-Canadien, Inc., bid 96.14.
Hawkesbury, Ont. — The town has accepted an option
from Messrs.' A. E. Ames and Co. for the $179,000 6 per
cent., 6, 20 and 30-year debentures. The option was taken
at 95,883 less 1% per cent. Messrs. Wood, Gundy and Co.,
also took an option at 92%.
Grand Prairie Alta. — Two debenture issues aggregating
$13,000 liave been disposed of to the three local men. H.
W. Smith, a pioneer farmer and rancher of the Grande
Prairie district, took $10,000; Norman Cuthbertson, $2,000,
and A. W. Carveth, $1,000. Numerous applications for
smaller allotnlents were received but rejected. The price
obtained was 92, the bonds bearing Ghi per cent, for a fifteen-
year period.
Alberta Local Sale
Sale of the Alberta government "baby" bonds under the
new plan recently announced by the provincial treasurer, is
now getting under way. Already $74,000 have been disposed
of, representing daily average of $3,500 for twenty-one
selling days. This average is expected to increase largely as
the campaign gets further under way.
British Columbia Sale
Briti.sh Columbia.— W. J. Goepel, deputy minister of
finance, wires The MoiieUiiy Times that the amount of the
recent bond sale was Sl,.300,000. The bonds are dated June
30, 1920, mature in five years, bear interest at the rate of
6 per cent., and are payable both in New York and here. A
part of the issue was sold at 99.78, to whom Mr. Goepel does
not mention, and part to a local syndicate comprising British-
American Bond Corporation, Royal Financial Corporation.
Ltd., and Gillespie, Hart and Todd, at par.
Ju'.y 16, 1920
THE .AI 0 N E T A R V TIMES
$500,000
CITY OF HALIFAX, N.S.
5i% Bonds due January, 1953
Principal and semi - annual interest payable Montreal.
Toronto. Halifax.
Denominations $1,000
Price 92.85 and interest- yielding 6%
Eastern Securities Co., Limited
92 Prince William St.
ST. JOHN. N.B.
193 Hollis St..
HALIFAX. N.S.
Government
Guaranteed ^q
_, YIELD
Bonds
QM
2/0
MATURIXC 1921-1940.
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
UNION TRUST BUILDING - WINNIPEG
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Confidtnlifl Adiicr on Oritith Columhia tn.^>lm,nl>
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P. M. LIUULLL & LUMPANY
Inv.
826-7-8 ROGFR^ Rfiinivr, VANCOUVER, B.C.
54
THE MONETARY TIMES
Volume 65.
Corporation Securities Market
Trading Broader But Not So Heavy On Montreal Exchange -Paper Issues Still the Features— Provincial
Paper Company May Issue Bonds— New Brunswick Telephone Company to Increase Capital— Brompton
Shareholders Ratify Proposed Stock Changes— American Sales Book Shares Now Listed in Toronto
IRREGULARITY marked dealings in the New York market
for the week ended July 14th, although trading was
broader. The easing in call money had little effect. Traders
were disturbed to a large extent by reports of commei'cial
difficulties and by the threatened interruption in industrial
operations on account of transportation congestion and the
coal shortage. Speculative interests are still much confused
over the immediate future of the money market and outlook
for general business. If there was more certainty about
these matters they would be disposed to buy stocks more
freely.
Although trading in some stocks on the Montreal ex-
change was not as heavy as in the preceding week, the
market was broader. The features were the paper stocks,
both in activity and strength, Abitibi, Spanish River and
Laurentide leading that section. The sensational rise of 25
points in Riordon is considered a belated one, and is attri-
buted to the exchange of shai'es in regard to the recent
consolidation. Such an advance has been expected for some
time. Outside of the paper issues, Atlantic Sugar was the
most attractive stock, gaining 11 points on a comparatively
small turnover. At the close there was a weakening ten-
dency which left that issue 4% points lower. The preferred
also attracted considerable attention, rising 15 points, and
continuing strong until the close. The actions of the latter
are understood to be related to the conference in New York
with regard to the payment of dividend arrears, which amount
to 29% per cent. National Breweries was active and strong,
while the tendency in Quebec Railway was to lower levels.
Tlie banking section was weak.
Toronto Exchange
Brazilian, Atlantic Sugar and Spanish River were the
three stocks on the Toronto market which attracted the most
interest. Brazilian was the active feature of the three, with
a fractional gain. Atlantic Sugar exhibited much strength,
the common gaining 16 Vi points and the preferred 16 points.
Spanish River, which remained fairly steady all week, sought
higher levels at the close, the common gaining 9 points and
the preferred 14I/2 points. C.P.R. attracted much attention
when it rose 6',i points at 140 ^i. There was a i-eactionary
tendency at the close, however. Canada Bread was rather
erratic, while Quebec Railway was somewhat weaker.
Railway Issues on Market
There was little interest in the bond market outside of
Quebec Railway, which issue was inclined to weakness. It
is interesting to note the prices of the odd blocks of Cana-
dian railway bonds which arc now being offered in the United
States. The Canadian Northern 6 per cent, equipment trust
certificates, maturing each June and December from De-
cember 1st. 1920, to 1929, inclusive, which were put on the
mai'ket in January last, were then offered to yield 6 '4 and
6V2 per cent. These same bonds are now being offered to
yield 7.50 per cent. Likewise, tlie Canadian Northern 5 ',4 per
cent, gold notes, due December 1st, 1922 and 1924, which
were put on the market in March at prices to yield 7.01 and
6.96 per cent., are now being sold to yield 7.75 jind 7.40 per
cent. The Canadian National 7 per cent, equipment trust
certificates, due May 1st, 1935, which were put on the market
in May. are still being offered at the same price, namely, 7.10.
Capitalization Changes
At the session of the Public Utilities Commission of N'cw
Brunswick on July 9th at St. John permission was given to
the New Brunswick Telephone Co. to issue $175,000 additional
stork. The former authorization was for $2,000,000. The
additional issue is for the purpose of paying for extensions
and improvements eft'ected during the last few years for
which no stock had been issued.
The capital stock of F. T. Hill and Co., Ltd., will be
increased from .$150,000 to $500,000 by the creation of 3,500
shares of new stock (par value $100). Supplementary letters
patent have been issued by the province of Ontario for this
purpose.
It is probable that the Provincial Paper Mills, Ltd., will
do some new financing later in the present year in connec-
tion with the new plant at Port Arthur, Ont. A bond issue
is mentioned, which will be secured by the company's four
properties, the other mills being at Georgetown, Thorold and
Mille Roches. In the reorganization of the company last April
ownership of the Port Arthur Pulp and Paper Co. vVas ac-
quired. At the time of reorganization the Provincial Paper
Mills was allowed $2,400,000 authorized preferred stock, of
which $1,700,000 has been issued; $7,600,000 of common stock,
of which $3,500,000 has been issued, and $3,000,000 of bonds,
none of which have been issued. It is the present intention
of the company to finance the new mill on bonds, if possible,
with a supplementary sale of treasury preferred stock, should
that be necessary.
Brompton Shareholders Approve Increase
At a meeting of the shareholders of the Bi'ompton Pulp
and Paper Co. in Montreal last week ratification was given
the proposal of the directors to increase the common capitali-
tion, which now consists of 70,000 shares of a par value of
$100 each, to 210,000 shares of no par value. Of the latter
issue present shareholders 'of the company will receive two
shares of the new securities for each one of old, the balance
of 70,000 shares remaining in the Bi-ompton treasury to be
issued in order to provide for future exigencies in the way
of financing.
It has been stated, however, that there is no present
intention on the part of the board to issue any portion of the
new stock in the treasui-y, the financial position of the com-
pany at the present time being so comfortable that the ex-
tensions at East Angus and elsewhere now in process of
completion are being provided for out of current earnings.
Following the meeting, it was announced that the regular
dividend of 1% per cent, had been declared on the preferred
shares and one of 3 per cent, on the common, the latter being
equal to $1.50 per share on the new no par value stock. Both
disbursements will be made on August 7th to holders of
record July 31st.
American Sales Book Shares Listed
Both issues of the stock of the American Sales Book Co.
are now listed on the Toronto Stock Exchange. The out-
standing common stock is $614,660 (par value per share,
$20), and preferred, $3,073,300 (par value, $100). The num-
ber of shares in each case is 30,733. The delay in listing this
stock was due to the distribution going on among Carter-
Crume shareholders, which is now practically completed.
American Sales Book Co. was organized in 1911 by the
present president, Mr. S. J. Moore, and has plants at Niagara
Falls, N.Y.. and Elmira, N.Y. It is one of the few. Canadian
companies operating in the IJnited States, an^ is the largest
manufacturer of mercantile sales books in the world. The
company was formed by merging the Carter-Crume Co., the
Eastern Sales Book Co. and the American Sales Book Co.,
Inc.. shareholders of the original companies receiving stock
in the new concern in return for the assets they turned in.
There are upwards of 800 shareholders, the majority of them
being in Canada.
Common has been quoted all week at 25 bid, while pre-
ferred was quoted at 86 asked and 80 bid.
July 10, 1920
THE MONETARY TIMES
We Offer
SCHOOL BONDS
Province of Alberta
Maluring 10 and 15 Years
lo ultld
7 lo7\%
We Specialty Re
eml lhc:e DonJ, as Sc.,n.y /nvcjfrncnf,-
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto BIdg. McLean Block
EDMONTON CALGARY
ESTABUSHEO 1879
Alloway & Champion
Bankers and Brokers
Member, of W.nnipeu 5<o.-li K.,:l,u>k-c
362 Main Street
Winnipeg
'iidfi bouKhl
commission.
Winnipeg, Montreal, Toronto and New York Exchange*
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Alembers of Winnipeg Real Estate Exchange. Winnipeg Slock Exchange
A Newspaper Devoted to
Municipal Bonds
'T'HERK is puhlished in New N'ork Cily a daily
and weekly newspaper which has for over
twenty-five years been devoted to municipal
bonds. Bankers, bond dealers, investors and
public officials consider it an authority in its
field. Municipalities consider it the logical
medium in which to aniHuuiie bond offerintj»i
Wri'le for free zpectrnen copiet
THE BOND BUYER
67 Pearl Street New York, N.Y.
DEALERS IN
Government, Municipal
and Corporation Bonds
Correspondence Soliciled
A. H. Martens & Company
iMembers Turunto Stock Bxchiinne
ROYAL BANK BUILDING, TORONTO
61 Broadway, Ha'-'-'S Trust Bldg.,
New York, N.V. Chicago, III.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OLR COUNSEL AND ADVICE
Willoughby Sumner Limited
Member, oi ihc U inniprit Ciun l^cli.nge
Private nire lo Winnipef:, Toronto, Montreal. Chieaio
.1,,' \,-a' y 't.
WE WILL BUY
Western Provincial
AND
B.C. Municipal Bonds
Offerir^es rrjay be telegraphed at our expcnie
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C. Victoria, B.C.
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM UNDS AND PROPERTY MANAGERS
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LIMI I fe.L>
Piilv«T> W,arj» TO WIN.MI'KO. CMIL'AOC. fORO.Mc
MONTKl-AL AND .VKW VOHK
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
H4t>TICi:.tl.— KIkIH <l!i.t><'liiliii;i July Ulll.
(FiBures supplied by Buunett & Co.)
StorkH
Abitibi Powers Paper.
• (new)
Ames Holden pfd.
Asbestos Corp
pfd.
Atlantic Sugar
..pfd.
Bell Telephone
B.C. l-ishinK
Bi-:izilian T.L.& Power
Brompton Pulp & P..
Canada Cement
■ ...pfd.!
CanadianCottons
.pfd.
Can. Converters
Canadian Car
•• ...pfd.
Ca rriage Factories
Canadian Gen. Elec.
Can. Steamship
•■ ■• pfd.
■' '■ Vot. Trust
Con. .MininR & Smel
Detroit United
I5e
Sales Open High Low Close
236.%
170
128S
23tt
11049
11»U
186
m5
Kys
Dominion Canne
.pfd.
pfd .
Dominion Bridge
Dom. Coal
Dominion Glass.
.pfd.'
Dom. Iron pfd.j
Dom. Steel Corp 1
■• _ •■ ..pfd.i
Dominion Textile
Howard Smith
• ...pfd. I
Kaministiquia i
Lake of the Woods. . ;
lUinoi!. Tract
Lainentide
Lyall Construction
Macdonald Co I
Mont. Cots. Ltd.
lOlit
8Sl l«i
aSOi 138 157 I 137 lS6i
1(10 I lOOi I 100 100
92* S2i ' 92* ' 92i
204 I 204 201 201
67i ; 671 ! 671 : M\
114 12."; I 114 . I21i
70 70 1 70 ! 70
32 • 33* 31 331
on ' U't < oi O'l
^4S
93
2.1
S.iJ
l,S.S.i
65
2S
84
4.i
85
3304
651
l.S
75*
392 1
137
Montreal Powei
Montreal Tram.
National Brewe
..pfd
'.Deb.
'.''■pfd.
Ogilvie Flour Mills
" pfd.
Ont. Steel Prod
Penm.tns
Price Bros. Co. Ltd....
Prov. Paper
Quebec Ry. L. H.&P..
Riordan Pulp & P 1
pld.'
St. Lawrence Fl.. Mills.!
.pfd.
Shawiniuan W.&P ...
Sherwin-Williams
Spanish River
■' Div.Vou.
•• pfd.
Steel Co. of Canada.
• ■• •■ .pfd.
Toronto Ry. Co —
Tookc Bros
pfd.
Tuckett
Twin City
Wabasso
Wayauamack P.&P.
Winnipeg Elec
Woods .\lfg. Co
Windsor Hotel
Itiiiiks
Commerce.
Hochelagn
Merchants
.Molsons
205; 228
27; 100
78*
2S4!'6 ll.ij
941 7 J
I5S17 119
751
I34J I 145
71 i 7*
118 1324
72j 73
95 95
40i 42
Montr
Nova
Natior
Royal
Union
Rolltis
Bell Telephone Co.
Asbestos Corp.
Canadian Car & Fo
1000
500
78
89j
92
Can. Rubber
Cedars Rapids MfR
City Mont. Dec. 6's. 1922! 7300 105
• May6's.1923' 160<l 105
'■ Sept.Os. 19231 400 100
Dom. Clin.W.Loan. 1925, 80,5.50; 95
1931! 335001 92j
1937 BOOOOi 964
Victory Bonds. 1922 !
1927...
1937
1923...
1033 .
SIOSTKEAl.-Co««ni(ed.
RoniLs
Sales Open' High Low Close
Dom. Canners i
Dom. Coal 1 2000| 90
Dom. Cottons 4.500; 97*
Dom. Textile [ :
Lake of Woods 1 1
Montreal Power I .. •
Montreal Street Ry |
Ogilvie Flour
Penmans Ltd
ce Bros ,
Quebec Ry.L.H.&P... 21900 63l
•don Pulp & Paper
Scotia
rwin-Williams.... , 1.5m)0 100
Spanish River !
Steel Co. of Canada. . . I
Wabasso Cotton
Wayagamack P. & P. . . I 3000 83
VV indsor Hotel ,
TOUOXTO— Eight ilnys riMlliig Jul.r I4tli.
Sales Open High I Low Clo
Atlantic Sugar .
Ames-Holden....
Barcelona
Bell Telephone .
Brazilian Tractio
B.C. Fish
Burt, F. N
Can.ada bread...
Canada Cement .
Can. Gen. Elec.
Canada Steamship.
Canadian Car
Can. Salt
Canadian Pacific R.
35! l"''
1895 1 43 J
35! *'■'
37 1 95
oio: 25
320 62
113 102
.pfd.,
. pfd.
Dome ;
Dul Sup '
Dome Iron pfd.
Locomotive pfd.
.Mackay Companies.. . ;
.pfd.
N.S. Car
" pfd.;
N'ipissing
Pjc. Burt pfd.
Penman's
Porto Rico
Quebec R.L.H. &P
Riordon
Spanish River
Voucher
...pfd.!
Smelters
Steel Company
....pfd.
Steel Corp.
Toronto Railway
Tooke pfd.'
Twin City com.
Wintiipcg Electric R...
Trethewey. ,.
BniikK
Comnncrcc
Dominion
Hamilton
Imperial
.Merchants
Nova Scotia. . .
Royal
Montreal
Standard
Lonn nn<l Trust
Can. Land
Can. Bread
Toronto t»en. 1
Can. Bread
Col. Inv
Penmans
i..ocomolive....
Quebec
Rio Jan.T.. L
.5701 35-1
118' 198
923! IIS
.5.5 71
118*
2.5i
1,594
"'54'
103
42*
140i
45
■Mi
7i
I18i
2Si
731 I
954
6«i
424 1
674 674 1 67*
TtJKONTO— Coniimied
War Loaniii
Dom. Can.W.Loan. 1925
1931
1937
Victory Loan 1922 ....
1923 ....
1927 ....
1933 ....
1937 ....
Sales Open High Low Close
16300
-3000
8900
WISISirEG— Week ended July llith.
Victory Loan 1922
•• 1923
" 192?
• 1937
'■ 1924
" 1933
" 1934
War Loan 1937
•■ 1925
Home Investments —
North Star pfd
Nor Trust
I Bank .
Sales
Open
High
Low
7000
99
99
99
500
99
99
99
300(1
99*
99*
994
20500
101
101
101
2290(1
98
98
98
1174f0
99+
994
994
220110
%
%
96
.500
96
96
96
700
94'J
95
94
10
110
no
110
3,50
3,50
355
350
20
115
115
115
30
153
1.534
153
SEW Y«KK— Week ended July lutli.
Sales Open; High Low
. 5% 1921! 81000
5*% 1921 ! 5000
5% 1926, 5000
S*% 1929! 74000
5% 1931 1 25000
90f 90
864 [ 86i
122}
43)
liONUOK, Eng.— Week ended June 86lta.
Uov't. >t Mull.
Alberta.... 44% 1943 ... .
.4% deb
B.C. 44% 1941 1.
Canada.... 4*% 1920-25i.
• ....3% Reg..
•• .... 34% ... .
" .... 3*% 1930 50 .
•■ ....34% Reg...
.... 4% 1940-60.
Edmonton 5?o 1953 . . .
Calgary 44 fc debs
.5% 1933-34. ..
Nfld. 4% l93i-28
Nlld. 3>% 1905
Nfld. 34%bds
Quebec 3%
" 4% 1988
Manitoba 4% 1928
.Montreal 44% 1951-S3..
4% Reg
Toronto 44% 1948
Vancouver 4% 1947-49
4% 1953...
4% 19.50-52.
Winnipeg 44% Reg
4% 1940-60. . . .
nallniiytt
Can.Nor.Ont.4%deb... .
3»% deb. .
Can. Nor. Pac. 4% deb. . I .
" 44% deb. 1950.
Can. Nor. 4% .
Can. Pac .
Can. Pac deb. 4% .
G T. P. Br. 4% 1939....!.
G.T.P.3%1962... !.
G.T. P. 4%I955 !.
G.T. P 4% deb.
Gt. Nor. Can. 4% bds..l.
Gr. Trunk.. . 4% guar. .
Gr. TrupkS?o 1st. pfd:. .
Gr. Trunk ,5% 2nd pfd. .
Gr. Trunk 5%deb. .
Gr. Trunk 4% deb.
Ont. S Quebec 5% deb.;.
Pac. Gt. East.4j%deb. .
liKl.. Elii., Kir.
Bank of -Montreal
Can. Bk. of Commerce. .
Can. Cotton 5'f,> .
Can. Car 7%
Can. West Lumber. 5%'.
TorontoPower44%deb. .
V:.n.Power4j%.dcb. I.
Sales Open High Low Close
"tiT
604
,581
764
SlJ
.571
621
139*
63j
751
81?
66*
581
764
68i
SU
571
621
644
764
,574
61
,58}
723
58S
424
31j
744
6l4
,584
63i
744
July IG, 1920
THE MONETARY T I M K S
57
KEGI.NA WILL DO ITS OWN IINANCING
Will Not Pay More than Current Kate of Exchange on
Sterling Issues — Local Sales Being Attempted
(Special to The Monetary Tiiius.)
Regina, July 10th, 1920.
SOMEWHAT of a spirit of antagonism between the Regina
city council and the bond brokers of eastern Canada has
been created, as a result of which the city council has just
turned down a recommendation of the city commissioners
to call for tenders for a block of debentures of about $100,-
000 which will be ready for the market, provided the bur-
gesses approve the issues at the polls on July 22nd. The
city council will instead attempt to sell the issue over the
counter to local investors, and, in order to ensure a ready
sale, a committee of the council has been appointed to co-
operate with the city commissioners in putting on a publicity
campaign.
Won't Pay Interest at Par
The situation has been partly brought about by the atti-
tude of the city council with respect to the payment of
interest coupons of sterling bonds domiciled in Canada. This
has been a burning question in the council chamber since
the first of the year. The coupons are made payable in ster-
ling currency, and the council decided to redeem at current
rate of exchange.
The decision brought a storm of protest from bond houses
on behalf of their clients, and, as a result of the representa-
tions which have been made, the question has been discussed
at numerous meetings of the council during the first six
months of the year, and was only finally disposed of early
this month by the aldermen ordering the item struck off the
airenda,thus proclaiming its intention to adhere to its original
Ifcision. At the same meeting it was decided to make an
appeal to the local investors for the necessary funds to con-
struct this year's programme of improvements.
The council adopted the attitude that the city should not
be expected to pay par rate of exchange on what was stated
to be large quantities of Regina city sterling bonds sold to
Old Country investors and repurchased in this country last
year with the object of realizing on the difference in ex-
change. A comprornise was suggested by some of the alder-
men in the form of a provision that par rate of exchange
should be paid on all securities which had been domiciled in
Canada prior to July 1st, 1919, putting it up to the holder
to support his claim by a sworn statement of date of pur-
chase. This, however, was declared to be impracticable, and
the council has now definitely decided to pay current rate
')f exchange on these coupons.
New Financing this Year
The city will have for sale this summer debenture issues
totalling approximately $240,000. Of this amount, SIOO.OOO
will be voted on at the polls on July 22nd, and, subject to
the approval of the burgesses, subscriptions are already being
taken for this issue. A further J80.000 represents local im-
provement by-laws, which will be tinanceil by the bank. The
remaining $i>0,000 is an issue for paving lanea in the l5u»i-
ness district, and an effort will be made to place this issue
with the property-owners abutting on the property to be
improved, the Local Oovernment Board having stipulated
that this flotation be confined to the local market.
Early in tlie year the city undertook its first sale of
securities on the local market. An issue of 161,000 6 per
cent, debentures, maturing 193-1, and an issue of $.')C>,000
6 per cent, debentures, maturing 1U28, were offered through
the wickets at the city hall. The longer term flotation was
over-subscribed to the extent of the total of both flotations,
and of the other issue $.1i),000 was sold, the selling price
being par in both cases.
When the city council undertook to turn down the re-
commendation to call for tenders among the bond brokers
for the new issue maturing in 193,">, some of the aldermen
declared that they would have to pay a higher price than
those which had been sold locally, and they did not wish to
place themselves in the position of being turned down by
the bond houses. Further, to pay a higher price to eastern
bond brokers would be an injustice to the local investors,
who had paid par for G per cent's., it was slated.
While the foregoing was the attitude of the majority
of the council, one or two members shook their heads. "What
about the future when we may wish to call for a million
dollars or more?" they asked.
Local Sales Beinj; Pushed
The Local Government Board in this province i.s also
doing what it can to encourage the sale of municioal and
telephone debentures among local investors, and, largely as
a result of its actions, issues totalling $2.'>0,000 were gold
directly to local investors in 1919 in addition to further sums
sold indii-ectly.
The Saskatchewan Rural Telephone Companies' Associa-
tion, at its convention in Regina last week, passed a reso-
lution, asking the Local Government Board to afford every
opportunity to telephone subscribers to purchase rural tele-
phone debentures. The Hon. Geo. Bell, chairman of ihe
L.G.B., told the convention that, up to the limits of his
staff's capacity, the board was prepared to do this, and would
issue debentures in anv (Unoniinjition to assist local siales.
THE RIORDON PILP \M» P M'Klf ( (iMPNN^. 1 IMIIK.U
COMMON STOCK KIMDEND No. \x
Notice is hereby given that a quarterly divideiui nI -'■.
has been declared on the Common Stock of the Company for
the quarter ending June thirtieth, 1920, payable August
fifteenth, 1920, to shareholders of record at the close of busi-
ness on .■August sixth. 1920.
Bv Order of the Board.
' F. B. WHITTET, Sccretary-Trcn»urcr.
Montreal, July Pith. 1920. P.*'*
UNLISTED SECURITIES
, Jr.. A C«.. Tororli
Aita. Pac. Grain... .pret.
Ames Holden Tire.. com.
BeldioR, Paul com
Black Lake com.
" " ...-.pref-
British Amer. Assurance
Burns, P., 1st 6's
Caledon .Moun. Trout Cb
Can. Felt prcf.
Can. Furniture pref.
Can. Mortgage
Can. Oil com.
Can. VVestinfihouse
Can. Woollens com
pref.
Cockshutt Plow 7% pref.
Col'Kwood Shipb'dg. .-b's
Crown Life
66.50
26.50
63.50
Cuban Can. Suua
__Uul_
Hi .W
Dom. Iron&SlccIS
Oom. Power
DunlopTirc....?",.
Goodyear Tire, pref
I prcf.l
sl9»9
com.
.pref.
nns .
sAbatto.r
Home Bank
; al Oil
Kipawa Paper i
King Edward Hotel i
Laurcnlule I'owtr
'1.0CW'!! lOltawal com.,
Manufacturers Life..
.\lai(«cy. Harris
Mallagami Pulp c.im
.Mexican Nnr. l'owcr..5s
;Mlssl««auga Golf
.Murr..K. . 7'>.,pref .
National Life
North-Amer. Pulp
North -Star Oil. com
pref.
Ont. Pulp 6'« X.Talor*
Pane Her«cy prel.
Kiordon com mewMk >
Koberl SiiT>p»nn.«%prc(.
Sterling Hank ..
SterliroCo'l com
S .W
S..«l
.l.fiO
THE MONETARY TIMES
Volume 65.
Corporation Finance
Position of New Riordon Company Clearly Reviewed — Directorate of the Organization Has Been Announ-
ced— Sherwin-Williams Selling Interest in Canadian Subsidiary — Whalen Company Improves Position —
Sliii Need For Conservative Financing. However— Toronto Railwa\ Would Defer City Payments
Calgary Gas Co. — The Calgary city council is at present
considei-ing action to be taken in regard to the request of
the company for an inci-ease of rates. Permission has been
asked to investigate the books of the company before coming
to a final decision.
Ottawa Light, Heat and Power Company. — Satisfactory
earnings are reported by the company as derived from its
subsidiaries, the Ottawa Gas Company and the Ottawa Elec-
tric Company. Notwithstanding the increased cost of fuel,
labor, etc., current earnings are running at the rate of ap-
proximately 9 per cent, per annum on the company's com-
mon share capital, as compared with 7 per cent, per annum
in 1919.
Toronto, Hamilton and ItulTalo Kailway Co. — For the
year ended December 31st lust the net income was $338,521,
as compared with $902,507 in the previous year. Gross
revenue was $2,500,917; net railway operating revenue, $493,-
919; operating income, $421,919; gross income, $628,198, and
net income, $338,521. The surplus was $78,981, and the
profit and loss surplus now amounts to $2,537,718. Total
assets are $15,449,061.
Tooke Brothers, Ltd. — At the annual meeting of the com-
pany in Montreal last week, there was a revision of the
personnel of the dii-ectorate. The new directors, Lt. Col.
Chas. W. McLean and \V. M. Weir, were elected to the board,
replacing W. Fred. Heney, of Montreal, and Hon. F. H.
Phippen, K.C., of Toronto. Lt.-Col. McLean also replaces
W. A. Brophey in the vice-presidency of the enterprise, the
latter, however, retaining his post as managing director.
The board and officers now comprise: W. A. Tooke, presi-
dent; Lt.-Col. C. W. McLean, vice-president; W. A. Brophey,
managing director, and the following directors: A. J. Brown,
K.C., Wm. McMaster, W. M. Weir and W. S. Barker, the
latter member of the board being also secretary-treasurer
of the company.
Toronto Street Railway. — The company is asking the
city for permisison to defer payment of the city's percentages
on revenue on condition that the accumulated sum of these
percentages be deducted in 1921 from the whole amount
which Toronto has to pay for the assets of the company. In
the meantime the company would use the funds to meet its
increased expenses. It is estimated that the sum of these
percentages, between now and the end of the franchise, will
be $1,500,000. The proposition is not favored by the civic
authorities, and will be considered in its legal as well as
other aspects. Mayor Church, in making a statement on the
matter before the council, said: —
"1 have gone fully into the question, both from the legal
point of view and as a matter of policy, and have come to
the conclusion that it can't be done. In the first place, it will
open up the whole question of the agreement; secondly, it
\yill depreciate our revenue, and the amount of the deprecia-
tion will have to be made up in the tax rate. There is no
security, and there are also legal objections which would lead
to complications. On these grounds and as a matter of policy
the company must finance itself without the help of the city.
We would have to borrow money at 7 to 8 per cent, if we
didn't get our money in time."
Montreal Light, Heat and Power Co. — Figures were
pVoduced before the Quebec Public Service Commission in
Jlontrenl on July 14th in support of their contention that
the price of gas should be increased from the present rate
of S5 cents per thousand cubic feet not to $1.20 per thousand
cubic feet, less 10 cents discount, or $1.10 net, an increase of
25 cents per thousand feet. J. S. Norris, general manager
of the company, produced the figures for the five years,
1914-1919. and showed that profits had- steadily fallen for
each of the years, while on the figures for the last eight
months of 1919 it was contended there would be a deficit on
the sale of gas for 1920 of $1,075,362 if present rates were
maintained.
The commission considered the application and will
render judgment shortly.
Illinois Traction Co.- — The annual financial statement
now going to shareholders shows that gross earnings of the
company increased by $2,495,580, or 16.35 per cent., to $17,-
756,583, all departments participating in the increase except
gas and miscellaneous decreases to the amount of $54,733
under no particular name. The decrease in the gas item is
due to the placing of the earnings from the products in an-
other category. These by-products showed an increase of
$234,614.
After deductions, the balance left for the preferred was
$1,335,393, an improvement of more than $840,000 from the
year before. Balance carried forward amounted to $1,078,073,
as compared with a previous balance of $1,060,345.
Whalen Pulp and Paper Mills, Ltd. — An improvement in
the financial position of the company, as already shown in
a brief review which has appeared in these columns, is
emphasized in the detailed report which is given on another
page of this issue. Although the future of the company
appears bright, the directors, in view of present conditions,
recognize the necessity of conservative financing. Sir Geo.
Bury, president, in his report to shareholders, states: —
"The expenses for the year amounted to 80 per cent, of
the earnings as compared with 97 per cent, for the previous
year. The eai-nings for the fiscal year under review exceeded
those of last year, notwithstanding one of the plants was
closed for si-x weeks through lack of orders following the
signing of the peace treaty.
"Recognizing the need of conserving the timber re-
soui-ces of British Columbia, and to stabilize wood costs, it
was felt wise to instal barkers, etc., for small-wood operations
at your plants to supplement present large-wood operations.
The wisdom of installing small-wood operations is borne out
by the fact that the price of logs on the open market has
doubled in the past year. The improvements and betterments
necessarily interfered to some extent with operations, but
the work had to be undertaken to- improve and increase pro-
duction and to meet growing log costs. The results of the
-small-wood operations and the betterments undertaken should
be reflected in the last half of the present year's operations.
To increase production and improve the quality of your pro-
duct one extra digester, additional screens, drying ap-
paratus, etc., are being installed in anticipation of your
approval."
-A. recent repoi-t from Vancouver states that Sir George
Bury will retire as president of the company. Sir George
has declared that he cannot continue with the company as
he has accepted an appointment in advisory capacity with
certain large interests on the Eastern Coast. What position
he has accepted, and who will be his successor, have not yet
been determined.
Sherwin-Williams Company of Canada. — -A cable from
London, England, confirms the recent rumors which have
been cun-ent in stock circles, regarding negotiations with
the London and .-Australian subsidiary, the Lewis Berger
ami Sons Company. The cable reads as follows: —
"Walter H. Cottiligham. president of the Sherwin-
Williams Co.. of Canada, Limited, who is now in London,
states that he has formed a syndicate to purchase the Can-
adian interest in the London and .Australia Company of
Lewis Berger and Sons. The Canadian company retains a
considerable stockholding interest in the English company,
July IG, 1920
T M f: monetary times
She's Daddy's Girl-
The very sunshine of his Hfe. He's plan-
ning great things for her— if he Hves.
And if he dies— well, he's proud of the fact
that she u-iil then receive— regularly— each
month— as^ ionpr as she lives— a cheque from
The Imperial Life to provide for her every need.
You can provide in this wav for ifour little
girl. Our free booklet tells all about it
Write for a copy. Address-
THE IMPERIAL LIFE
Assurance Company of Canada
HEAD OFFICE - TORONTO
irmwwm
Lewis Berger and Sons in addition to receiving' a substantial
cash payment. He states that the object of the change is
to enable them to extend the English business, and also put
the Canadian company in strong financial standing, in view
of the rapidly increasing business in Canada."
W. S. Fallis, of Montreal, the managing director of the
Sherwin-Williams Company who is now attending to the
company's business in the west, when asked regarding the
I'.ew deal stated that there was nothing authentic for publi-
cation at the present time. Regarding the report that the
iirice which the company is receiving was S1.:}00,000 in cash
and $2,000,000 in the preferred shares, Mr. Kallis stated
that this was rather an underestimate rather than an over-
estimate of the property which is being transferred.
The Sherwin-Williams Company of Canada was formed
in 1894. It took over the Canadian business of the Sherwin-
Williams Company of America and also the business of Lewis
Berger and Sons, of London, England, which had been for
some years associated with the Sherwin-Williams Company
if .America. Later control was acquired of the business of
the Canada Paint Company, of Montreal. The company luis
assets of between $15,000,000 and $20,000,000. The i)lant
if the Sherwin-Williams Company in Montreal is said ti. be
the most modern and complete of its kind in the world. The
Lewis Berger Company has been doing business in I,()n<ion
for 150 years, and has maintained offices in Sydney. .Australia,
Wellington. New Zealaml, Bombay and Paris.
Riordon Company, Ltd.— In order to eliminate any mis-
mderstandings which may have arisen from the confusion
"f the many statements regarding the new company, the fol-
!inving announcement has been given out. revcalinc iii a
irief and clear manner the present standincr of the now
company: —
"The Riordon Pulp and Paper Company S"Id all its !i'<?cts
to the Riordon Company, Limited, and sine? July 1st In?! the
Riordon Pulp and Paper Co., Ltd.. hn= ceased to he an
onerating company. The Rordon Co. LtJ., has assumed all
the liabilities of the Riordon Pulp and Paper Co., includinK
the two bond issues which are still in force and which ma-
ture in 1929 and 19-12. respectively. The only asset of the
Riordon Pulp and Paper Co. is $9,000,000 of 7 per cent,
cumulative convertible preferred stock and $12,000,000 of
common stock of the Riordon Co., Ltd. The Riordon Pulp
and Paper Co. has no liabilities whatsoever, and its only
business is to receive dividends on the Riordon Co., Ltd.,
stock which it holds, and to pay dividends on its outstanding
preferred and common stocks.
"Riordon Co. Ltd., operates all the mills formerly oper-
ated by the Riordon Pulp and Paper Co., and those of the
Kipawa Co., Ltd., wliich latter company has virtually passed
from existence. The common slock of the Riordon Pulp and
Paper Co. now listed on the .Montreal Stock F^xrhange will
continue fo bear dividends, ami the slock will remain out-
standing until the two bond issues, referred ti« above, iirc
paid off, and will continue listed as at present. Riurdcm <■' ,
Ltd., securities now being traded in on the local rurb ■ '
unlisted markets will be listed on the Montreiil .Stock i.-.
change as soon as possible."
The full board of directors of I hi' Ki.Tiloii ("o, Ldl.".
now stands as follows: — Charles Riordfii, presjt|.-nl ; iwrl
Riordon, vice-president and managing dire.-tnr: <". H Tb.ii..
second vice-prcsiilent and lecliMicu) ilin. i.i-; .1 I'. W I .
third vice-president and timber dinrinr; T I" U tirren, r^.n
ai:cr of the Tironderoga Pulp aii'l l'ji|.<jr <<■ . fMurth \ ■•
president and mercantile dire.-inr; V B WhiUet iie<rel:ii:,
and treasurer; .1
s
DouglnB, k'i'ii'r.il iiiiinnirer of
the Mm
Printing Co.. Toi
I'll'
i; T. .1. St<". .ni^on: C. (',. Bancroft,
presi
dent Intermit''
I ■;
. -' ' .. , Ho'.ton; .1. W. WhiH-l...
1
., I 11
son and Burr
P. Rr).s aii'l .Senulor
wards. The '
i^.-itineau Co.. Ltd . hn^
.nppointed. :•
.•I 'i exactly a» i ■
Riordon ("n
tini'uu Co., Ltd.
•111
Edwards ani
1 Hewson propei ■
■ ]!•
capital stock is
i.VI
e.| by the Riordon Co.. Li i
THE MONETARY TIMES
Volume 65.
K K C E .N J' V IKES
AVestern Printing and Lithographing Co. at Calgary and
■Vlann Axe Factory at St. Stephen, N.B., Both
Suffered Loss of SIOO.OOO
Alvinston, Ont.— July 13— Planing and sawmills belong-
ing to D. J. .McKaehern and Sons damaged. The loss is esti-
mated at $10,000, with insurance of .?1..500.
Broekville, Ont.— June 80— Residence of Al. Henry,
township of Dungannon, destroyed. Building and contents
were insured to the extent of $500.
Calgary, Alta. — July 5 — Western Printing and Litho-
graphing Co. damaged. Estimated loss, $100,000.
Fairville. N.B. — July S— Warehouse belonging to Ready's
Breweries damaged. Fire was caused by an ash pile. The
loss was fully covered by insurance.
Golden, B.C.— July 3— Store belonging to A. D. J. Mathie-
son and Co. and the fire hall at Golden destroyed by fire.
Halifax, N.S.— July 9— Garage belonging to the Nova
Motor Co. damaged.
Jasper, Ont.— July 9 — Methodist church destroyed. Fire
was caused by an electrical storm.
Kensington, P.E.L— July 7— Bank of Nova Scotia build-
ing damaged by fire.
London, Ont.— July 12— I-"actory belonging to the Taylor-
Campbell Electrical Co. damaged. Loss, $3,000.
Moncton, N.B.— July 11— City almshouse and barn de-
stroyed.
North Bay, Ont.— July 12— Twenty-two houses destroyed
in the village of Wye. Fire was caused from bush fires.
Parry Sound, Ont. — July 12 — House owned by Beagan
Brothers, was destroyed. There was no insurance.
St. Stephen, N.B. — July 10— Mann axe factory damaged.
Estimated loss, $100,000, vvith insurance of $50,000.
Toronto, Ont. — July 11 — Garage belonging to L. CJ.
Randle and twenty-five motor cars destroyed. Total loss,
$25,000.
Waterloo, Ont.— July 7 — W'arehouse belonging to Bauer's
shoddy mill damaged. Loss, $20,000.
Winnipeg. Man. — July 10— Building belonging to the
Crescent Furniture Co. damaged. Estimated loss, $50,000.
July 12 — Commonwealth Block damaged by fire. Esti-
mated loss, $30,000.
Wrentham, Alta. — July 7 — Walsh store and contents
damaged. Estimated loss, $6,000.
EFFORTS TO MAKE RATING UNIFORM
Co-Operation Between Eastern and British Columbia Asso-
ciations— Balmoral Apartment Fire Reveals Defects
in Building Regulations
Vancouver, B.C., July 10th, 1920.
IN the report of J. A. Thomas, British Columbia fire
prevention officer, on the Balmoral apartment house fire,
in whicb several people lost their lives, Mr. Thomas said:
"The present fire by-law, operated in Vancouver, cannot be
understood by laymen of ordinary intelligence or by some
lawyers, for this reason and also for the reason that the
stafi" of the building inspector and city fire wardens was
insufficient in numbers: by-laws have not been properly en-
forced in the past." A large nunjber of technical recom-
mendations for the protection of apartment houses, hotels
and semi-public buildings have been made by Mr. Thomas
in his report.
John Jenkins, Manager Britannic Underwriters, paid a
visit to Vancouver this week. Mr. Jenkins, who is viee-
))resident of the Canadian Underwriters' Association, stated
that it was the desire of the governing council of that body
to have the basic system of making rates the same all over
the American continent, and the rates themselves, as nearly
alike as the differences in local position will permit, and
with that end in view the Canadian Automobile Under-
writers' Association are giving the provincial ' association
every assistance in their power.
The new Manual containing the rates at which automo-
bile insurance can be written is now being printed. As a
new system of rating has been adopted and the rates have
nearly all been changed ample time is being given before
they become effective, which will be on September 1st.
J. R. Davison this week addressed all the insurance
organizations of the coast cities of British Columbia at a
luncheon held in Vancouver. Mr. Davison is publicity com-
sioner for Vancouver. The speaker outlined the work of
the publicity department in advertising Vancouver through-
out the prairie provinces and coastal states. He appealed
for the insurance men to support his work and to see that
the city provided greater sums to carry on with.
ADDITIONAL INFORMATION CONCERNING FIRES
RAILROAD EARNINGS
The following are the approximate gross earnings of
Canada's transcontinental railwavs for the month of June: —
.\yton, Ont. — June 3 — The Ayton Creamery, owned by
P. J. Biniger, was damaged by fire. The fire was caused by
a spark from smokestack. Total loss, $8,000, with insurance
of $5,000.
McAdam, N.B. — June 19 — Restaurant and ice cream
parlor belonging to King and Smith damaged. The total loss
was $5,000, with insurance of $1,200 in the Nova Scotia Fire.
Stratford, Ont. — .June 23 — A sewing machine, table and
iron belonging to Wally Hern was destroyed. The fire was
caused by an overheated iron. Total loss, $90, fully covered
by insui'ance.
Winnipeg, Man.- — .June 14 — Warehouse and contents oc-
cupied by R. A. Lister and Co., Ltd., and owned by the North-
ern Trusts Co. was destroyed. The loss is $9,000. with insur-
ance of $7,000 in the Sun Insurance Co., Insurance Co. of
Noi-th America and the Scotti.sh Union and National.
.Mr. 1. W. Kilhim, president of Royal Securities Corpora-
tion, ^lontreal. announces the election of the following offi-
cers of the corporation: W. C. Pitfield, vice-president and
general manager in charge of the corporation's entire or-
ganization, and V. M. Drury, vice-president. The new ap-
point.nents take effect at once.
Canadian Pacific Railway.
1920. 1919.
June 7 $3,619,000 $2,957,000
June 14 3,660,000 3,062,000
June 21 3,578,000 3,024,000
June 30 5,060,000 3,977,000
Inc. or dec.
Totals
,.$14,917,000 $13,020,000 -f $2,897,000
Canadian National Railways.
June 7 $1,618,195 $1,509,340 + $ 108,855
June 14 1,866,517 1,676,264 -f 190,253
June 21 ■ 1,820,408 1,435,593 -f 384,815
June 30 2,471,419 1,811,838 + 659,581
Totals $7,776,539 $6,433,035
Grand Trunk Railway.
June 7 $1,936,529 $1,619,873
.June 14 1,995,993 1,693,589
June 21 2,013,144 1,746,055
June 30 2,926,623 2,196,458
Totals $8,872,289 $7,255,975 + $1,576,314
+ $1,343,504
+ $ 316,656
+ 262,404
+ 267,089
+ 730,165
trSl.ISHKD EVERV FkIOAV
nv
The Monetary Times
Printing Company
of Canada. Limited
'The Canadian Engineer
iltrmctar^ limes
Trade Review and Insurance Chronicle
of (TanaDa
Esrablished lSti7
Old us Confederation
JAS. J. SALMON D
Provident and GeB«nl MAUnirar
A. E. JENNINGS
Aulat&nt Ccner&l Manager
JOSEPH BLACK
8ecr«tar>"
U. A. McKAGL'E
Editor
Advertising to Increase Bank Business
Habit of Ultra-Conservative Advertising Was Hard to Break — Banks Are Now-
Adopting Methods Successfully Used in Commercial Lines— Care in the Selec-
tion of Advertising Media— How Business May Be Held When Once Secured
By W. F. DORWARD
Manager. Royal Bank. Kcxlon. N.B.
'IITITHIN the last thirty years general commercial adver-
• ' tising- has made immense strides. A perusal of the
magazines of 1890 will show that the advertising of that
date was crude and elementary compared to the finished pro-
duct of to-day. This, of course, is due in no small measure
to the improvements in processes of reproduction, but most
largely to the effect of intense specializing in the modern
advertising art.
Bank advertising has not kept pace with the publicity
given to the retailer or the manufacturer. The reason is not
far to seek. Until very lately all the banks, in Canada at
least, seemed to indulge in the same flat, stale and unprofit-
able method of advertising, which invariably consisted either
of a bald statement of the bank's name, birthday, address
and resources, or an imposing statistical table of figures,
elucidating the recent position of its finances. This was not
advertising. The man on the street or on the farm was little
interested or did not understand, and these so-called ads
received not even a cursory glance from all except perhaps
a few senior bank officers (for whom they were not intended)
or a stray interested shareholder or two.
Precedent Was Hard to Break
It appears that during all those years no one of the
banks would venture to become a bold pioneer in advertis-
ing, and break the deadly monotony of business cards or bal-
ance sheets. We cannot believe that during this long period
of joyous effusions of assets and liabilities that all the
banks were dead to the value of their great article of stock-
in-trade — service. So we must revert to the first solution
and assume that the so-called dignity of past generations
held in leash all the seductive inducements which now begin
to show themselves to tempt the masses to brave the awe-
inspiring bronze grille.
To use a slang expression, the man who has silk, socks,
or sardines for sale, "has the bulge" on the banker in the
advertising field. In the first place these are actual com-
modities, good to wear or to eat, and their verj- quality sells
them or condemns them. Again the house that has a repu-
tation for supplying a good article can sell on its reputa-
tion. In addition tc the actual goodness of quality and the
attractive appearance of certain goods and their containers,
the wise vendor adds the main drawing card.-; of what banks
have to offer — service and courtesy.
Reaching Different Classes of Customers
The chartered bank has really but one great big trump
card service. There are several banks in Canada, strong,
healthy and widespread. A cheque, a draft, a deposit, or a
loan in any one is pretty much the same as a cheque, etc..
in any other, but it is in the manner of the reception and the
successfully expressed willingness to ser\'e, that the choice
lies; these are the deciding factors. I have already referred
to advertising as an art, but I am now tempted to call it a
science, so I will compromise and state that the art of the
banks in bringing the general public to their wickel.>: i> de-
veloping into a science; just as general advertising h:i- :il-
ready achieved the distinction of having become a perfn'.td
science with correspondence schools to unfold its my^ttiii-.~
throughout E-jrope and America. In concrete form, sucn-.->-
ful bank advertising consists in repre.'ienting in terms ef
publicity the methods adopted by successful bankers them-
selve •. Thus the induci'mcntj; offered to the different coin-
pone.it parts of the general public seek to be applicable to
their several lines of business and so couched as to arnu.-ic
interest for "interest," is the bull's-eye of all advertiMM^'.
:;nd "attention" is the inner circle. A man's attention nui>t
be gained before he is interested. It is obviously incongruous
to appeal to the average farmer with a booklet showing,
say, tabulated statements of the imports of ship supplies
with custom duties thereon, and very indifferent would be
the shipbuilder to advertising matter pertaining to agricul-
ture. In like manner the wise bank manager talks tin cans
to the tinker, crops to the farmer, etc.
Catches Readers Off Guard
Mankind universally craves entertainment, not neces-
sarily in the form of a theatre or a ball game, but something
to amuse, to interest, to divert. Although the average man
is busily occupied the greater part of each day, he inslmc-
tively turns his attention to some relaxation during his spare
time. Apart from outdoor exercise probably the mo.st popu-
lar pastime, is reading, and right here is where the adver-
tiser gets his innings. Even the golfer or the pedeitrian
is often driven indoors through stress of wnither. By far
the greater part of advertising then faces un when we arc
in the mood to receive and be interested, but it muirt Iw
interesting or attractive, or both. And right here if< where
the bank must attract and interest, in the daily or the per-
iodical; other^vise it will receive but :*cnnl attention.
Although I have accentuated servire an the Iradinr
stock-in-trade of the hanker in his publicity, there arc ntlior
resolving factors in the angling for business through the
press or by means of blotU>ra or booklets. There are the
elements of safety and efficiency, but these ( rrnrfl a- rnthor
less desirable points to be used for ad
as it is possible to put such a construct!'
lead to invidious comparison. The bank ■
a small and limited sphere of action may, and hope» to be.
the Gibraltar of finance of to-morrow. Rome was not built
in a day, and all the great financial institutions once occu-
THE MONETARY TIMES
Volume 65.
pied the same standing as their smaller contemporaries.
Moreover, the class of people whose business can be better
served by the ubiquitous bank are usually well aware of
such conditions, as their business is widespread, and they
seek such a bank without reference to adveilisements.
Variety of Advertising Media
The advertising matter appearing in the dailies and in
the financial periodicals is so attractive, that it invariably
receives more or less attention, and is doubtless productive
of some result and equally doubtless is it that huge sums
are fruitlessly expended through ill-chosen mediums or in-
efficient composition. The e.xpert does not waste good money
on advertising on barren land or to empty houses. Then
there is another class of advertising which we do not find
sandwiched between fact and fiction. What of the omnipre-
sent blotter, the booklet, the calendar. The keynote of what
success is attained by these lies in their very obtrusiveness,
or in their striking appearance. To explain, who can help
noticing a calendar that stares one out of countenance day
after day? The wording of the blotter becomes unconsciously
memorized, while many of the delightful little brochures or
more imposing catalogues hold the attention because of
their sheer artistic excellence.
Some -Vdvertising Costs Nothing
\t the beginning of these comments I should have classed
bank advertising under tw'o chief divisions: (1) That which
costs; and (2) the impressionistic advertising which is free
to employers. I have made some remarks, incomplete and
sketchy, on the costly article, but would not pass by the
never failing business getter — courtesy. Courtesy in itself
is a very excellent attribute, pleasant to exercise, but it
should never degenerate into obsequiousness. Courtesy com-
patible with absolute and impregnable self-respect will al-
ways leave a dignified impression behind. But courtesy alone
will not render a bank its full measure of advertising service
from a manager; it must be accompanied by a persistent
and genuine effort to assist, facilitate, and make the going
easy for his clientele. By this kind of service the smallest
trader or farmer will get the impression that the bank is
making a special pet of his account, and do not forget it,
he will talk about it, and interest his neighbors. If then,
any one bank accentuates this attitude to its officers, and if
the rank and file of the branches collaborate loyally, an un-
doubted result will accrue. The bank will be discussed in
the town and country hotels, in the rural post offices, and
in the market places, and a tide of business shall flow its
way.
Diplomacy Also Helps Business
Diplomacy, too, plays no mean part, not so much in
advertising, but in holding business already obtained. I
think it was Disraeli who said that the art of taxation was
"the art of plucking a chicken without making it cry." He
was wise in his day and generation. The busy bank man-
ager does not have to pluck many chickens, but he frequently
has to gently and diplomatically decline to advance money
where he or his executive, or both, have good reasons for
such action. The executive can efficiently discriminate from
long experience, and the unsuccessful applicant if judiciously
handled will depart still friendly with the institution and
with respect for the manager. Very special attention to
such a client will make him realize the bank's earnestness
to serve him up to the limit prescribed by sound business
principles. And he will spread the good word after his
temporary disappointment is long forgotten.
To quote from Mr. Pickwick, bank advertising "com-
prises, in itself, a difficult study of no inconsiderable mag-
nitude," and space prevents its exhaustive treatment here.
There are now many methods of bank advertising, most
of which can, and will, be improved upon, and there is yet
much virgin soil to be uncovered. Now that the balloon of
what was mistaken for business dignity has been pricked,
we will see many more progressive methods, and the sag-
acity of the executives is not likely to permit the aggressive,
joyous art of modern bank advertising to degenerate into
the mediocre, but will maintain the prestige and the success
of their institutions by a straightforward, interesting, legi-
timate and persistent appeal to the general public, whose co-
operation will result in the desired mutual benefit.
Cabinet Ministers Have Summer Recess
Vacations and Trips of Inspection the Order of the Day — Premier Addressed
Montreal Board of Trade— Tariff Enquiry Will Be a Feature of 1920— Other
Financial Developments— Russian Trade Situation Explained by Sir George Foster
(Special to The Monetary Times.)
Ottawa, July 22nd, 1920.
THESE are the dog-days at Ottawa. The new prime
minister may be concocting some big policies or some
spectacular moves, but there are no open evidences of it.
Most of his cabinet, tired of the sight of Ottawa, parlia-
ment, departments. Privy Councils and deputations have
hied themselves from the capital. They are either fi-ankly
on holiday trips or else on inspection tours, which ai-e
generally camouflaged holidays taken at the expense of
the counti-y. In the meantime, Mr. Meighen is about steer-
ing the ship of stjjte alone. It is an opportunity, however,
to get acquainte<l with the deck and the workings of the
machinery.
Mr. Meighen's first big worry is the by-elections.
Everything as far as his future is concerned depends upon
the five pending contests. He has two new ministers to
elect in Hon. R. W. Wigmore, in St. John, N.B., and Hon.
F. B. McCurdy in Colchester, N.S. If these ministers are
defeated then Mr. Meighen will have .no honest alternative
but to appeal to the country and to appeal under the most
difficult circumstances. In addition there are three more
hard by-elections in East Elgin, West Peterboi-o and Kam-
loops, where Hon. Martin Burrell has resigned to become
parliamentary librarian. Defeats in these ridings, if the
new ministers won, would not necessarily mean a general
election, but it would be a blow at the prestige of the gov-
ernment and would reduce an already slim majority.
Hon Arthur Meighen's first public speech since his ap-
pointment as premier was made before the Montreal Board
of Trade on July 21st. While in the city he also inspected
the harbor works and discussed the marketing of the 1920
grain crop. The premier in his address made an appeal to
all Canadians for toleration in their political views.
Decision on Wheat Board
One of the first deeds of the new government was a
decision not to operate the new wheat board, but to allow
this year's grain crop to be handled through the regular
grain exchange channels. In view of the fact the Am-
erican authorities have come to the same conclusion, this
would seem to be a wise decision. The guarantee of a
fixed price by the government with the possible danger of
the general taxpayer being called upon to foot a bill for
millions for the farmers is a principle that can only be
defended in times of emergencies. 'The western farmers,
or an element of them, ai-e already, though, vigorously
July 23, 1920
THE MONETARY TIMES
protesting against the action of the government. How-
ever, their protests will not be very impressive at Ottawa
in view of the fact that many of these same farmer organi-
tions were objecting with equal vigor against the wheat
board when they thought the board was securing a price
beneath the American guaranteed minimum. The farmers
themselves, however, are divided on this subject, as Hon.
T. A. Crearer, the recognized agrarian leader, spoke against
wheat control in the house.
Tariff Inquiry Will be Extensive
Sir Henry Drayton is preparing to hold the long-de-
layed tariff enquiry in the early fall. It is not yet de-
cided whether the inquiry will be by a committee of the
cabinet or a specially appointed board. It has been de-
cided, though that the inquiry will not be behind closed
doors, that it will be broad in its scope, thorough, and will
give every section of the country and ever>- class an oppor-
tunity to be heard. This will be the first systematic tariff
inquiry since 1908, when a committee of the cabinet, headed
by Hon. W. S. Fielding, went over Canada on a similar
mission.
Sir Henry, by the way, has instituted a" simple but
practical reforai in presenting the Dominion financial state-
ment in such a way that the public can more clearly realize
what it means. In former statements it was the custom
to place various kinds of non-active assets against the gross
public debt, the result being to give the country a false
impression of its actual net obligations. Sir Henry has
written off a number of non-active assets, such as loans to
the G.T.P. and C.N.R., which, for the time being, at all
events, are really nDt assets at all, with the consequence
that the public is enabled to know exactly what is the net
debt. Another promised improvement is tabulation of the
financial statement in such a way that the amount of
revenue from different sources is clear. This is particularly
necessary now that there is so much direct taxation.
Central Purchasing Commission
When the* government appoints a central purchasing
commission to buy for all of the departments an entirely
new board is likely to be selected. At present there are
two commissioners. Sir Hormisdas Laporte and Mr. H. W.
Brown. It is knowTi that Sir Hormisdas is anxious to re-
turn to his own business, and Mr. Brown will probably re-
turn to his permanent post at the Militia Department.
The new board will consist of a chairman and two mem-
bers.
Pensions May be Commuted
Commutation of pensions, or payment to pensioners
of a lump sum in final settlement of their pension claims, as
provided for by amendments to the Pension Act adopted by
parliament, is a matter that is now engaging the attention
of the Board of Pension Commissioners. In a memorandum
the board points out that the important point for pension-
ers to bear in mind is that no pensioner need have his
pension commuted unless he desires to do so. It is em-
phasized that only pensioners with disabilities between 5
and 14 per cent, may have their pensions commuted. Pen-
sioners entitled to commutation of pension will be forwarded
a statement within the next two months, in which they will
be asked to decide whether or not they wish to have their
pensions commuted or continued for the period of their dis-
ability. All cases will be dealt with automatically, and it
is not necessarj' for pensioners to communicate with the
board.
Labor Supply for West
The question of a supply of help to take off the west's
crop was discussed a few days ago at a meeting of r.nilroad
representatives with the department of labor. Through the
emplovment service, a careful sun-ey of the labor require-
ments for the harvest was made and it appeared that about
40,000 harvesters would be needed, of whom probably 10,000
could be secured through the offices of the employment ser-
vice in the prarie provinces, and an effort would be nuide
to recruit the remaining 30,000 in the east- Of this num-
ber 13,000 will be required for Manitoba, fifteen thousand
for Saskatchewan, and 2,000 for Alberta. It was agreed
at the conference that harvest excursions will be dejsputchi-d
west from all the eastern provinces in order to distribute
the burden of supplying this volume of labor over all parts
of the east as evenly as possible. At different times in the
past, objection has been taken by some provinces to the re-
cruiting of harvesters within their boundaries, but it/ is
obvious that no di.scrimination in any of the provinces
should be allowed. .All provinces are alike interesteu in
the successful harvesting of the western grain crop, as the
industrial prosperity of the whole country is vitally affected
thereby.
Excursions from Coast
The decision to send harvest excursions out of British
Columbia is a new departure, agreed upon with a view to
further lessening the strain upon the east, and also with a
view to absorbing any labor that may be available on the
coast. It is thought that probably about 5.000 harvest
hands will be secured in British Columbia, most of whom
will be placed in the province of Alberta. It is probable
that the first excursion from the east will reach Winnipeg
August 10th. The Manitoba harvest will start prior to that
date according to the present indications, but the employ-
ment ser\-ice plans to recruit a sufficient number of woik< rs
from the local labor supply to meet the demand until the
first quota of workers from the east arrives. The Sas-
katchewan and Alberta harvests are expecU>d to com-
mence about the middle of August. Much of the Unitod
States harvest will have been completed before a beginning
is made in the Canadian west, and numbers of these men
should be available for the Canadian harvest. Negotiations
with the United States Department of Labor in the matter
are now in progress. Harvest hands from the United
States whose services are utilized in this way will be given
temporary entry into Canada and will be returned immedi-
ately after the harvesting is completed. This should pre-
vent the drawing of labor too heavily from the eastern
provinces.
Trade Position omrially Kxplained
On July 15th Sir George Foster, minisU'r of trade and
commerce, issued a statement to the effect that there wa«
no embargo to prevent a Russian citizen making purchases
in Canada, or opening a place of business here, He snid:
"With reference to various rumors which have been oflo.-it
and the sUtements purported to have been made by vari-
ous parties as to trade between Russians and Canadians,
it may be stated: —
"(1) No recognition has been asked or is called for
of the Soviet or any other Russian government.
"(2) Russian correspondents from the United Sutes
and elsewhere have been informed that there is no embargo
in Canada against exporta destined for any part of Ru.'sin
and that it is open to any Russian to make legal purchases
from Canadians on such terms and conditions as they wil
mutually agree upon and that no restriction-, will be pl.-i-'i
upon either the making of the contract or the cnrryint.- nt
of the same bv export or otherwise which is not af the -..ino
time applicable to transactions botw.-en rnniidians and
peoples of other countries, and that the Tnna.iian govern-
ment is not in any way supporting h.v a.lvnnro credit- or
oth rwise any .«uch transaction." between Russians and »u
adians. nor is it the intention of the Canadian govorn.i. i.t
to make any credits in relation thereto.
"Anv Russian individual or corporate company is at
liberty ti) set up his place of busincM in exactly the Mmc
manner as the .iti/.ens of any other friendly country. No
recognition has t- en made of the Soviet or any other form
of Russian government by the minister of trade and com-
merce or by the government of Canada."
THE MONETARY TIMES
Volume 65.
GOOD CROPS WILL STIMULATE BORROWING
Western J'rovinces and Municipalities in Need of Funds —
Commercial Outlook at the Coast
(Special to The Monetary Times.)
Winnipeg, July 21, 1920.
QPLENDID vains have fallen in Manitoba and throughout
►^ the West in the last 24 hours. In Winnipeg and vicinity
it has been raining steadily for 12 hours. Rain was badly
needed in many localities and will be worth millions to the
country.
In Alberta for the most part the crop outlook is good.
The special correspondents of the "Calgary Herald" from a
large number of centres in Alberta all point to satisfactory
prospects. In some cases it is stated that the present appear-
ance of wheat and oats, as well as other cereals and grasses,
is the best for years. At Irricana for instance, farmers
are assured of a crop similar to the famous yield of 191.5,
while at Delia and Bessiker, 50 per cent, of the wheat has
now headed out. Many of the correspondents state that in
places where the ground is of a sandy nature there is
ample moisture to carry the crops to harvest.
With the outlook for good crops in Western Canada
this fall, the bond business is certain to be brisk. If the
crops are good, there will be plenty of money for investment,
and the provinces and municipalities, almost all of which
are in urgent need of funds, will have their opportunity.
A similar opportunity will be presented to Canadian com-
panies of all kinds, which are looking for funds for their
undertakings. At present the investment business is quiet.
A. L. Crossin, of the firm of Oldfield, Kirby & Gardiner
returned this week from the Pacific Coast, and is well satis-
fied with the general financial conditions of British Columbia.
"The tourist traffic." he said, "Has become in recent years
quite a factor in the business life of Vancouver. Some lines
of costly goods can be bought in Vancouver more cheaply
than in the United States and the volume of trade from
this source is considerable. In connection with agriculture,
deeper interest is being taken in the fruit raising and the
sale of this product has now reached real commercial im-
portance. Retail trade in Vancouver is brisk and the
general commercial prospects are quite satisfactory."
JUNE BANK STATEMENT
Advance figures of the June bank statement show that
current loans increased more than $1G,000,000, while saving.?
deposits advanced about .$15,000,000, as compared with the
previou.s month. Other principal changes are as follows: —
Changes from
June, 1920. May, 1920.
Reserve fund $ 128,675,000 + $ 100,000
Note circulation 227,775,253 -f 1,440,210
Demand deposits 659,622,583 + 13,665,334
Notice deposits 1,243,700,977 -f- 14,627,462
Total deposits in Canada 1,903,323,560 -+- 28,292,796
Deposits elsewhere 360,358,386 + 15,262,911
Current coin 80,964,285 -f- 765,685
Dominion notes 173,691,988 + 1,623,421
Deposits, central gold reserve 100,400,000 — 7,650,000
Call loans in Canada 115,272,587 — 3,841,906
Call loans outside 219,214,431 + 5.250,249
Current loans in Canada .... 1,365,151,083 -r 10,071,102
Current loans outside 184,328,404 + 342,242
Total liabilities 2,811,158,772 + 7,68M95
Total assets 3,091,674,511 + 10^991^711
A complete statement of the June figures will be pub-
lished in the next issue of The ^folletarv Times.
VANCOUVER STOCK EXCHANGE
At the annual general meeting of the Vancouver Stock
Exchange, held on July 13th, the following officers were
elected for the ensuing year: President, C. M. Oliver; vice-
president, C. G. Pennock; honorary treasurer, S. W. Miller;
honorary secretary, A. E. Jukes. Committee of management
— H. J. Thorne, J. T. MacGregor and A. N. Wolverton.
The retiring president. Major G. Ivor Gwynn, reviewed
the affairs of the exchange during the past year, which were
shown to be in a very satisfactory condition, the total value
of bonds traded in having increased over 100 per cent, and
the value of shares dealt in having increased over 50 per cent.
UNLICENSED AUTOMOBILE INSURANCE
In a circular issued on July 20th, G. D. Finlayson, Do-
minion superintendent of insurance, calls attention to the
fact that insurance on automobiles, as well as on real pro-
perty, cannot be solicited by unlicensed companies. The cir-
cular says: —
"It has been drawn to the attention of the department
that a considerable amount of insurance is being effected on
automobiles in Canada in British or foreign companies or
underwriters not licensed under the Insurance Act.
"Such insurance on automobiles is subject to the same
requirements as insurance on real property in unlicensed in-
surance companies, and is pennitted only if effected outside
of Canada, and without any solicitation whatever, directly
or indirectly, on the part of the company or underwriters;
otherwise, any person inspecting the risk or adjusting the
loss in Canada is subject to the provisions of the Criminal
Code.
"Every person so insuring an automobile is required to
make a return thereof to the department, the forms for which
can be obtained on request."
LONDON ASSURANCE BICENTENNIAL
English insurance companies were the pioneers in the
field of modem insurance, and their leadership in the United
Kingdom and in the foreign field has been well maintained
during the past two hundred years. Thi« is illustrated by
the records of such old companies as the London Assurance,
which has just completed two hundred years of business.
The interval has witnessed many changes in methods of
writing insurance and in the field of finance as a whole.
While stray cases of insurance were found previous to
this date, it was not until around 1720 that it was organized
as a systematic business. The London Assurance arose out
of a marine insurance scheme started in 1719. In 1721 it was
authorized to write fire and life as well. The authorized
capital was £1,500,000, of which £896,550 was subscribed.
The shares fluctuated in value during the first year from as
low as £12 to as high as £160. Prospective insurers were
examined by the boai'd of directors, and if the risk was con-
sidered good, the premium for one year was accepted. In
1720 the income from marine insurance was £9,740; in 1917
it was £1,743,928. In 1721 the income from fire was £570,
compared with £1,231,617 in 1918. The corresponding figures
for life insurance show a rise fi-om £170 to £247,386. Canada
is one of the fields into which the London Assurance first
expanded, a Dominion license having been secured in 1862.
The joint managers in Canada are W. Kennedy and W. B.
Colley.
The head office of the Sovereign Life Assurance Com-
pany, Winnipeg, has been moved from 707 Canada Building
to 300-301 Boyd Building, Portage Ave.
The Directors of the London Joint City & Midland Bank
Limited, have announced an interim dividend for the
past half year at the rate of 18 per cent, per annum less
income tax, payable on the 15th instant. The dividend for
the corresponding period last year was at the same rate.
July 23, 1920
THE MONETARY T I M K S
Trad* Review and Insurance Chronicle
0f Canatia
Address: Corner Church and Court Streets, Toronto, Ontario. Canada.
Telephone: Main 7404, Branch Exchange connecting all department*.
Cable Address: "Montimes, Toronto."
Winnipeg Office: 1206 McArthur Building. Telephone Main 8409.
G. W. Goodall, Western Manager.
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The Monetary Times does not necessarily endorse the statements and
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PRINCIPAL CONTENTS
Editorial: ^^^^
Kaihoad Rates are Too Low 9
MoiK-y Conditions Continue Stringent 10
New Life Insurance Records 10
Special .\kticles:
Advertising to Increase Bank Business &
Cabinet Ministers Have Summer Recess 6
American Industry in Canada 14
Union of Sa.skatchewan Municipalities Convention . . 18
Canadian Usheries Produce Sixty .Millions '. 20
Wheat Situation Puzzles Grain Trade 26
•Mergers a Feature in the Insurance World 28
Bankruptcy Act .Means Better Business Methods ! . 34
Wheat .Acreage Decreased Ten Per Cent 36
American and Canadian Mortality Experience 38
Property Listed in Schedule to Will ' 38
Monthly Departments:
Trade of Canada for June 22
Building Permits Decreased in May 24
Dominion Finances at the End of June 24
Weekly Depart-ments :
News of Industrial Development in Canada 4v
News of Municipal Finance 44
Govern.ment and Municipal Bond Market . 4C
Corporation Securities Market 50
The Stock .Markets 62
Corporation Finance 54
Recent Fires gg
RAILROAD RATES ARE TOO LOW
RAILROAD transportation on the North American con-
tinent is in a deplorable condition, the trackage, power
and equipment being quite unable to cope with the demands.
As a consequence, large quantities of freight are held up,
with an immense economic loss to the United States and
Canada. The situation in the former country is admittedly
due to the attitude of the Interstate Commerce Commission,
which for several years back has construed "just and reason-
able" rates to be those which would just keep the roads alive
for the time being, without provision for the future. A new
Transportation Act went into effect on March 1, however,
which requires the commission to "give consideration . . .
to the transportation needs of the country and the neces-
sity ... of enlarging such facilities in order to provide
the people of the United States with adequate transporta-
tion." In the July "Index," issued by the Liberty National
Bank of New York, it is stated that the demand for freight
movement has increased 57 per cent, and passenger busi-
ness has increased 32 per cent, since 1915, but the roads dur-
ing this period have spent only $1,900,000,000 on capital ac-
count, whereas they should have spent $.5,000,000,000 on the
basis of the investment in former years.
The Canadian Pacific Railway is one of the most success-
ful in the world, and it has come through these trying years
with little difficulty. The Canadian National is burdened
with long unprofitable sections to such an extent, that the
net earnings from the profitable lines are entirely wiped out.
In spite of these two extremes, however, although the regu-
lation here has not been quite so restrictive, the general sit-
uation in Canada is the same. The Canadian Pacific with
its immense assets increasing in value, has been unable to
pay more than a moderate dividend. Thc.-^e conditions have
absolutely discouraged the construction or in.rchase of new
equipment and improvements of service, and have made the
construction of new lines entirely impractKiibc.
On July 20, the Railway Labor Board in Chicago issued
its first award following negotiations cxton.ling fnr some
time pa.st. The award grants about one-hulf of wh.r
asked by the two million employees concerned, and wii
over $500,000,000 to the companies. The Canadian road. .:....
no doubt, adopt whatever award is granted in the United
States, as they did in the case of the JIcAdoo award, and
the result will be a still further increase in operatii ■, .
penses. The application of the Canadian roads for
rates is now before the Board of Riiilway Conimis.)
and will be considered by them on August 10. Public opinion
has been fairly well worked up to regarding an increase in
rates as necessary. E. W. Beatty, president of the C.P.R,
outlined the situation at the annual meeting of that com-
pany in March, and D. B. Hanna, president of the Canadian
National, has presented a good case in articles in the "Cana-
dian National Railways Magazine" for February, and in the
"Grain Growers' Guide" of July 7. About 200,000 railruu.l
employees in Canada are interc8t«l, and if the American
award is adopted here it will mean an additional bill of about
$75,000,000 annually.
Railroad rates have, in fact, failed to keep pace with
rising costs. The return on the railroad investments has, as
a result, been too low on the one hand, and on the other hand,
railroad service has been performed too cheiiply. Conbiilcr
ing the latter point, there is nothing extriionlitinr>' nboul
the congestion of freight and the apparent inadequacy of the
roads to meet the situation. In an open market for any
commodity or service, such a situation would immediately
result in a rise in price. Such an incicnHc in rntCH in the
obvious solution of the railroad difficulty, for in the long run
the function of rate fixing is placed in the handit of n publjr
body, not so much for the purpose of fixing the nbnolul"- l.'vil.
which must bi- determined by brnnd economic romii! n^.
but in order to nvercome technical difllcultie* peculiar to the
business of railroad transportation. The application of tbr
Canadian roads for an incn'ase of 30 per cent, in rat''-' i^.
in fact, overly modest, considering the much grt.nter in-. ■-■
that has taken place in labor and other production • '
The new wage award may cause the roads to aik for 4."< j>i'r
cent, in place of 30 per cent.
THE MONETARY TIMES
Volume 65.
MONEY CONUITIONS CONTINUE STRINGENT
NEW LIFE INSURANCE RECORDS
WHATEVER contraction has taken place in the volume
of commercial business transacted, the credit situa-
tion is still tight, according to latest reports from the United
States. In his report on business conditions issued on June
30, the agent of the second federal reserve district, in New
York, says: —
"Since the last issue of this report the Federal Reserve
Bank of New Y'ork announced a further advance in dis-
count rates, effective June 1. The rate on commercial paper
was raised from (i to 7 per cent., with corresponding in-
creases in other rates. The purpose of the advance, it was
stated in the announcement, was 'in order that bankers, their
customers and the public generally may find in the discount
rates of this bank a reflection of existing credit conditions.'
"Credit conditions, which are analysed in this report each
month, were fully discussed in the report of April 30. The
outstanding facts are that during the twelve months ended
February 28, 1920, in spite of a decrease of $256,450,000 in
the gold holdings of the country, bank loans, according to
the best available estimate, expanded $5,200,000,000, or 24
per cent., and prices expanded 26 per cent. From May, 1919,
to May, 1920, this expansion resulted in the following in-
creases in the cost of credit: New security issues, from 6%
and 7 per cent, to 7 and 8 per cent.; commercial paper, from
5% per cent, to 7Vi per cent.; government bond basis, from
4.65 per cent, to 5.45 per cent.; government short certificates,
from 4Vi per cent, to 5Vi per cent."
The outlaw strike of railway switchmen, which has not
yet come to an end in some parts of the United States, has
paralyzed the movement of goods there. "The recent par-
tial breakdown of our transportation system," says the
National City Bank of New York in its letter covering
economic conditions in June, "causing in some quarters a
refusal to renew credits, has resulted in realizing sales of
merchandise. However, there is a tendency to exaggerate
their importance in the general business situation. There is
no doubt that credit here, as in all of the principal countries
of the world, is inflated. But it would be a mistake to assume
that we are on the eve of immediate deflation on a large
scale. The great need of the time is an increase of produc-
tion, and in the long run, a large output of necessary goods
will be the chief instrument in reducing the relative amount
of credit used in the conduct of business. Immediate and
drastic steps should be taken to cure our transportation evils,
but when it comes to what is called the rationing of credit,
it is important that every case be considered on its individual
merits, and that the greatest discrimination be exercised in
order to facilitate the production of necessary goods."
The high money rates being paid by the United States
government are referred to by the Guaranty Trust Co., of
New Y'ork, in a report on financial and business conditions
as at July 2: "If basic economic conditions are against any
long fall of prices, it would seem that they are also against
any such fall in the rates for money as have been predicted
recently in some quarters. It has been asserted that after
the July 1 payments money would be cheap and would con-
tinue so. Why the United States government should have
entered the market within this last month for advances at
rates not reached since civil war days, if there were any-
thing to indicate a recession so soon, it is hard to understand.
There is much discussion of the possibility of a bank rate
rise in London, thus indicating the continuance of money
shortage at that centre of the world's markets. Here at
home borrowings continue on a high level in spite of all
efforts at curtailment of credits, indicating a very strong de-
mand for funds that would become insistent immediately
upon any easing of the market. The railroads and equip-
ment companies are merely instances of the many enter-
prises that must be financed. All in all, the prediction of
easy money does not seem well founded."
Developments during the present month indicate no
loosening of credit on this continent.
TEN of the largest life insurance companies doing 75
per cent, of the business written in Canada, placed
$188,296,940 of new business on their books during the first
five months of 1920, as compared with $145,626,167 during
the first five months of last year. This is an increase of
about 30 per cent., and indicates that the influences which
were at work to swell the volume of business in 1919 are
still effective. Of these ten companies, seven are Canadian;
these wrote $121,911,738 of new business, compared with
$90,372,659 up to the end of May, 1919. The remaining
three, which are American companies, wrote $66,385,202, as
against $55,253,508 last year.
These ten companies had $1,675,604,920 of business in
force in Canada at the end of May. The enormous expan-
sion in life insurance during the past few years is indicated
by the fact that on May 31, 1913, seven years ago, their total
was $740,057,154. The increase during these seven years
has, therefore, been well over 100 per cent.
Toronto city council's difficulty in coming to a decision
as to how the street lailway system is to be managed when
it is acquired next year is ample proof that operation by a
city council at least would not be satisfactory.
Premier Drury of Ontario has been much abused be-
cause, like Arthur Clennam at the Circumlocution office, he
wanted to know. Though the Ontario Hydro-Electric Com-
mission may lack the red tape of the Circumlocution office,
it is not lacking in its dogmatism.
Few Canadian wholesale houses attempt to do business
at home by correspondence only, so why should they expect
to do an overseas trade with foreigrn countries by methods
which are found to be unsuccessful at home ? This pertinent
question is asked by J. W. Ross, Canadian trade commissioner
for China.
"The whole empire is proud of Quebec," says "United Em-
pire," in commenting upon Sir Lomer Gouin's recent visit to
London. Quebec has shown the other provinces that, though
its industrial progress has not been so spectacular, what ad-
vances have been made have been sound, and Quebec is least
of all subject to radical agitation.
Chester Martin, professor of history in the University
of Manitoba, has just written an account of the controversy
l)etwcen the Dominion and the provinces regarding the con-
trol of natural resources. The Canadian field affords ample
material for historical research, and valuable assistance can
at the same time be i-endered in connection with the problems
of the day.
Prices will come down, but wages must be maintained at
their present level, says Tom Moore, president of the Trades
and Labour Congress of Canada. When prices were rising,
efforts were made to keep wages fi-om doing likewise, but
without success. The two movements come together, because
they both are an illustration of changes in the puixhasing
power of the dollar.
Invesf/ncnt Items, issued by the Royal Securities Cor-
poration, says that "the Canadian people wish no further
oonvtnt'ons of the American Federation of Labor — held in
Canada — nor will they tolerate the further extension of
its activities in the Dominion." But the international unions
of which the federation is largely comprised have been the
most responsible and conservative of labor organizations
on this continent, taking the lead in the fight against the
"one big union" in Canada.
July 23, 1920
THE MONETARY TIME?
Trade with the Orient
With correspondents of the highest
standing in China, Japan, India and
other countries of the Orient, and
branches in all the principal ports on
the Pacific coast of North America.
namely :
Prince Rupert Portland, Ore.
Victoria Seattle
Vancouver San Francisco
this Bank is excellently equipped to
serve the interests of Canada's grow-
ing trade with the Orient.
THE CANADIAN BANK
OF COMMERCE
Capital Paia-up - - $15,000,000
Reserve Fund . ■ . $15,000,000
38A
TRADE EXPANSION
The fundamental principle
of this Bank is — to foster the
growth and development of
Canada's enterprises and
resources.
Advances will be made to
aid in the expansion of
legitimate undertakings.
Consult our Manager as to
your present and future plans
IMPEKIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, l-imitcd.
LONDON
LONDON, the heart of the Empire, is
the centre of the financial world. All
roads, all sea-lanes lead to that mighty
city of distribution, of import and export,
of bankers and financiers.
It is inevitable that Canadians having
commercial relations overseas, require
banking facilities linked up with Canadian
finance. The Union Bank of Canada has
two branches in London — at 6 Princes
St.. E.C., and at 26 Haymarket St., W.
Officers at all our 400 branches will
gladly advise on the transaction of over-
seas business.
UNION BANK
OF CANADA
Resources Exceed
SI 74. COO. GOO
Bank of Hamilton
HEAD OFFICE
HAMILTON
EtUblUhed 1872
Capital Authorized
Paid Up Capital
Rtiervr Fund
SS.000.000
4.000.000
4.200.000
Dirmclor§
SIR JOHN HKNDRIK, K.C.M.G.. C.V.O.. I're»i<icnl
CYRIS A BIRGE. Vice- President
C C. D.\LTON ROBT. HOBSON \V. H PHIN
I riTBLADO. K C. J. TrRNBfM. \V. A WOOD
Branchea
At Montreal, and lhrouj;lioul the Provinces of
Ontario, M.iniiotia, Saskatchewan, Alberta and
British Columbia.
Sarinit Daparlmcal al all Oflico.
Dtpoiili of SI and apwardi rxtirtJ.
.Advance!, made for M.inufacturiiig and Farming
purposes.
Collections effected in all parts of Canada promptly
and cheaply.
Corratpondtne* lolieiltd
J. P. BELL - - General Manager
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
Robert Gray, president of Gray-Dort Motors, Ltd., has
been appointed a director of the Standard Bank of Canada.
Geo. Hurst, a member of the Toronto assessment com-
missioner's staff, will be in charge of the new branch of
that department, which will look after the collection of
taxes on dividends received on mercantile and manufactur-
ing' shares.
George Thomson, one of British Columbia's pioneer
legislators, died in Vancouver last week at the age of 6.5
years. The late Mr. Thomson sat in provincial parliament
for Nanaimo from 1896 to 1900, and was afterward govern-
ment agent at that city. He retired several years ago.
Frank S. Leslie, late of the Bank of Nova Scotia, has
joined the staff of Bryant, Isard & Co., Toronto stock
brokers. Mr. Leslie has made a special study of the pulp
and paper industry, and will give chief attention to that
phase of the work in his new position.
Major David Drummond has succeeded Andrew H.
Allan as European freight manager of the Canadian Pa-
cific Ocean Sers'ices. He was formerly with the Canadian
embarkation staff in England, and latterly became secretary
to Sir Thomas Fisher, manager of the Canadian Pacific
Ocean Services in Europe.
Hon. L. a. Taschereau, who succeeds Sir Lomer Gouin
as premier and attorney-general of the province of Quebec,
was previously
minister of public
works and labor
for the province.
Born in Quebec
City in 1867, he
was educated at
the Quebec Semin-
ary and Laval
University. From
the latter insti-
tute he received
the degrees LL.L.
tn 1889, and
LL.D. in 1908.
He was called to
the Quebec bar
in 1889, and be-
■gan professional
career as partner
with Sir Charles
Fitzpatrick. H e
was elected to the
Quebec legislature
for Montmorency
in 1900. In 1904
he was re-elected
and in 1907 accepted the portfolio of minister of public
works and labor.
W. W. Perkins, who has been for over nine years with
the Guardian Assurance Co., of London, Eng., has joined
the st^jff of the Union Insurance Society of Canton, Ltd.,
and the British Traders' Insurance Co., Ltd., as Ontario
inspector. Mr. Perkins has had a wide connection in the
field, and received his early training in the Canadian Fire
Underwriters' Association.
Lieut. .■\. M. Wiseman, M.C, has joined the staff of
Major Edwards, Senior British Trade Commissioner in Can-
ada and Newfoundland, and taken up his duties as chief
assistant to Major Edwards at Montreal. Lieut. Wiseman,
after demobilization, entered the service of the Board of
Trade, London, England, and his meritorious work there has
led to his being sent to Canada as assistant to the British
Trade Commissioner.
Georgs H. Ross, the newly appointed treasurer of Tor-
onto, Ont., took up his duties on July 19th. In regard to
his new position he made the following statement: "One of
the greatest assets which I hope to take with me in my new
task is the experience I gained as inspector of the 100
strong branches
of the Bank of
Ottawa between
Montreal and
Vancouver. I n
that capacity I be-
came familiar
with the manner
in which all the
important Cana-
dian municipali-
ties conduct their
financial business
and I also had
the opportunity
of making the
acquaintance of
agents of the
large banks in
Chicago, N e w
York and other
places. It was a
wonderful oppor-
tunity to get in-
formation that
will be valuable
in my new task."
When asked what financial policy he intended to pursue and
whether he intended to follow that instituted under Mr.
Bradshaw, the former city treasurer, he stated that the
point was not at all debatable. "The success of that policy
is shown in the reports for the past three or four years,'*
he said.
TAXATION OF LEASED FEDERAL i-KOPERTY
An action in which an important legal point affecting
the right of a city to tax leased federal property is to come
up before the Privy Council, according to a cable from Lon-
don. The Privy Council has given permission to the city of
Montreal to appeal the action, which was brought originally
against the attorney-general in Montreal, decided in favor of
the city, arid thrown out by the Supreme Court at Ottawa,
which held it had no jurisdiction in the matter. The city
authorities do no contend that they have the right to tax
federal property in general, but they submit that when
this property is leased to private individuals, and should be
taxed, which the city of Montreal is authorized to do by the
city charter.
RAILROAD EARNINGS
The following are the approximate gross earnings of
Canada's transcontinental railways for the first two weeks
in July: —
Canadian Pacific Railway
1920. 1919. Inc. or dec.
July 7 $3,773,000 $3,120,000 + $ 653,000
July 14 3,854,000 3,325,000- -t- 529,00^
Canadian National Railways
July 7 $1,932,961 $1,713,404 -f $ 219,557
July 14 2,000,993 1,659,083 -|- 341,910
Grand Trunk Railway
.hily 7
July 14 $2,138,945 $1,688,850 + S 450,095
July 23, 1920
THE MONETARY TIMES
The Sterling Bank
OF CANADA
Sterling Bank Service is a perMonal one — flexible.
BO as to fit the special needs of each client ; exact
and quick, that no action of ours may cause you
work or worry
Head Office
KING AND BAY STREETS. TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parlianitnt Eb-rABLisiiCD ISii
Capital Subscribed /5, 000, 000 825,000,000
Paid up 1.100,000 5,500.000
Uncalled 3.900.000 19.500,000
Resene Fund .-. 1.000.000 5.000,000
Head Office - EDINBURGH
WILLIAM CARNKGIE, General .Manager. GEORGK A. HUNTER, Sec,
LONDON OFFICE— 37 NICHOLAS LANE. LG.MBARO ST.. E.G. 4
T. C. RIDDELL. DL'GALD S.MITH.
.Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, are
retired on terms which will be furnished on application.
The Bank of Nova Scotia
ESTABLISHED 183!
Cnpital paid-up
Reserve Fund nnd Undi-
vided Profita over
Total Aaseta Over
HEAD OFFICE
S9.700.000
I8.000.000
- 220.000.000
HALIFAX. N.S.
I'J 1
sral Manaser's Office. Toronto.
H. A RlCH*k[.»..s. I'.cncrjl Manjdcr
Branches in Canada
in Untariu ^' in OlJ
in New Urun
In Ne^vfoundland
B.I)' Roberts. Bell Island. Bonavisla. Bonne Bay. Bricus. Burfeo. Burin.
Carboncar.* Catatina. Change Islands. Channel, Koco, Grand Bank-
Harbor Grace. HermttaKe. Little Buy Islands. Old Perlican, St. John's.
Twillmgate, Wesleyville. Western Ujy.
In West Indies
Cob.-Havana
Domioicaa RcpaUIc -Santo DominRo.
Jauica— Klack River, KmKston, ,Mandevillc Monlego Bay. .Morant Bay
Port Antonio. Port .Maria, St. Ann's Bay. Savanna-la-.Mar,
Spanish Town.
Porto Rio— San Juan. Fajaido and Ponce.
In United States
BOSTON CHleAt.d NEW YORK {AGENCYl
Correspondents
Great Briuia— The London Joint City and .Midland Bank. Limited : Royal
Hank of Scotland.
Fraace— Credit Lyonnaise.
Uailfd Sutta-Bank of New York. N.B.A.. NewY'ork: Notional Bank of
Commerce. New York . Merchant! National Bank Boston ; First
National Hank. Chicago; Fourth Street National Hani., I'hiladel.
phia Citizens Njti.inal Bonk. Baltimore: The American National
Bank. San Francisco: First National Hani. \l,..p, at^.'is F-s'
National B.ink. Seattle.
The Standard Bank
of Canada
Quarterly Dividend Notice No. 119.
A dividend at the rate of Three and One Half per
cent. (3;i) for the three months ending 3latjuly. 1920.
has been declared payable on the 2nd of August, 1920.
to Shareholders of record as at the 17th July, 1920.
By Order of the Board,
C. H. EASSON.
General Mana^ter.
Toronto, June 16th. 1920.
The Dominion Bank
ESTABLISHED IS7I
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments o( Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
Bank of New Zealand
Eatabliahed in 1 Se 1
Banlcera to the Ncvir Zealand Covernmeril
CAPITAL
Subscribed % 13,528.811
Paid Up 11.095.561
Reserve Fund and Undivided Profilf . 12.147,874
Aggregate Assets at 31st March, 1919. 210.299.500
HEAD OFFICE-WELLINGTON. NEW ZEALAND
WILLIAM CALLENDER. General Manager
The Bank ol New Zealand hai Branchea at Auckland.
Wellington Chtiitchurch. Dunedin and \t^ other placca in
New Zealand: alao at Melbourne and Sydney (Aualralia).
Suva and Levuka (Fi|i) and Apia (Samoa).
The Bank haa (aciliHea for Iraniacting •;very deactiplioii
of Banking bu.iner.. It invilea the ealabliahtneijl of ^ oo\
and other Produce Credila. either in aletling o- dollart with
cny of ita Aualralaaian Branchea.
LONDON OFFICE: 1 Qaeen Victoria Sire.i. Maa.ioa.Hoata. t.C.
CHIEF CANADIAN AGENTS .
Canadian Bank of Commerce Bank of Monlreal
THE MONETARY TIMES
Volume 65.
AMERICAN INDUSTRY IN CANADA
Tariff and Exchange are lnii)ortant Factors Bringing Capi
tal Here — "Made in Canada" Campaign also
an Influence in IJuying
AMERICAN manufacturers with a large Canadian business
must establish plants in Canada if they hope to hold
this trade intact, it is claimed by A. G. Sclater, manager of
the statistical depai-tment of the Union Bank of Canada, in
the July issue of the "Union Bank Monthly." After noting
that Canada for many years before the war and to-day
ranks second only to Great Britain among the customers
of the United States and that changes in trade during the
war has placed the Canadian dollar at an appreciable dis-
count, Mr. Sclater continues as follows: —
"Even under the conditions which existed before the war,
the importer of American made merchandise in Canada
was forced to pay a heavy customs duty, which averaged
about 35 per cent, ad valorem. During tne war this duty
was increased by the further imposition of a 7% per cent,
war tariff, a tax which has been recently removed. The
Canadian importer of American made merchandise was thus
compelled to pay during the war on an average at least 42 V2
per cent, of the wholesale value of the goods he bought in
the United States as a Government tax. When on top of
this already heavy tax was imposed the additional one
created by conditions of the exchange market the situation
became serious for the American manufacturer. While it
had, in most cases, been possible to do business with Canada
in the face of a 35 per cent, tariff, when it became necessary
to make provision for what actually was equivalent to a
tax of about 52 per cent, of the wholesale value of his
produce in the United States, a solution had to be found on
pain of losing Canadian trade almost entirely.
Many Branches Already Here
"During 1919 over 200 American manufacturers solved
this problem and a number of less pressing ones by either
erecting or leasing plants in Canada. They thus not only
solved the problem outlined above but they, at one stroke,
took advantage of a series of opportunities which a number
of American manufacturers already had seen and profited
by. Long before the war rendered commercial relations
between Canada and the United States more difficult, several
hundred — about 350 to be exact — American manufacturers
had taken advantage of the opportunities they believed
Canada to offer and had built Canadian plants and estab-
lished purely Canadian businesses.
"These manufacturers had established themselves in
Canada, first, to escape the Canadian tariff; and, second, to
take advantage of the preferential tariff treatment given
by other parts of the British Empire to goods originating
within the boundaries of the British Commonwealth. With-
out waiting for events to force upon their attention an
opportunity of a rare kind, they foresaw the future, and
have profited greatly as a result of their foresight.
Desire to Buy in Canada
"While these manufacturers who have been in Canada
for many years are now firmly established and in enjoyment
of a large volume of trade, not only in Canada but in all
parts of the British Empire, the opportunity which they
foresaw so many years ago still exists. Times have changed,
however, and with them the nature of the opportunity.
To-day the American manufacturer who has any large volume
of business in Canada must establish himself in Canada to
hold that business. The instinct of financial self-preservation
is forcing Canada to do all in her power to curtail her pur-
chases in the United States and to make within her own
borders those things which her people need. Only in this
way can she hope to rehabilitate her credit in the United
States and to reduce the volume of her war debt. Canadians
plainly see the logic of the situation, and the 'Made in
Canada' movement is daily gathering strength in the Domin-
ion. In this task of making herself self-sustaining Canada
is being helped by the course of events. Canada is now an
vxi)orting nation of some importance and this development
is making it increasingly possible for Canadian manufac-
turers to produce commodities in quantities and bring down
their initial costs. This development of Canada's export
trade has stimulated the imagination of the Canadian manu-
manufacturer; he sees more clearly than he ever did before
his opportunities in the markets of the world, and he is
fitted with a renewed ambition to make the most of these
opportunities. The inevitable outcome of this development
will, of course, be greater ability on the part of the Cana-
dian manufacturer to hold his ovm domestic markets against
outside competition. This will mean less buying in the
United States as time goes on."
CANADA FAVORED IN COAL ALLOTMENT
Plans for speeding up the movement of coal to central
Canada were discussed on July 19th in Washington by Frank
B. Cai'vell and S. J. McLean, of the Canadian Railway Board,
at conferences with the United States Interstate Commerce
Commission and Daniel Willard, chairman of the Advisory
Commission of the Association of Railway Executives. Be-
fore returning to Ottawa the Canadian commisisoners an-
nounced they would meet later with Canadian railroad officials
to consider pi-iority of movement for coal and increasing car
mileage. Both commissioners said they were confident that
the coal problem would be solved, but added that it primarily
rested with the United States railroads and coal operators
in getting improved movement of coal.
Following these discussions, new emergency orders were
issued on Tuesday by the United States Interstate Commerce
Commission, giving priority in the movement of the winter
stock of soft coal to the northwestern states and Canada.
More than a score of railroads serving mines in western
Pennsylvania, Ohio, West Virginia, Vii-ginia, Kentucky and
Tennessee were directed by the commission not only to give
preference in the movement of coal for the territory at the
head of the Great Lakes, but also to give preference in the
supply of cai-s for such shipments.
COMMISSION TO INVESTIGATE RADIALS
The Ontario government has announced the personnel of
the commission to enquire into the proposal to purchase the
Dominion government radial lines in the province. It is com-
posed of Justice Sutherland, chairman; W. A. Amos, C. H.
Mitchell, A. F. MacCallum and F. Bancroft. As first an-
nounced, the commission included T. A. Russell, pi-esident
of the Russell Motor Car Co., in place of C. H. Mitchell, but
Mr. Russell withdrew as a resylt of criticisms aimed at his
connection with the motor car industry. Justice Sutherland
was speaker of the House of Commons from 1905 to 1909,
and was libei-al member for North Essex in the House of
Commons. He practised law in Windsor until his elevation
to the bench. W. A. Amos, vice-president of the United
Farmers of Ontario, was formerly a Presbyterian minister.
Illness caused him to retire from the pulpit, and he is now
a farmer in Perth county. At the last provincial election he
was LT.F.O. candidate in North Perth. Brigadier-General C.
H. Mitchell is dean of the School of Practical Science of To-
ronto University, and served with distinction in the Canadian
army. A. F. MacCallum, at present commissioner of works
in Ottawa, was formerly assistant engineer for York county,
and later city engineer in the city of Hamilton. He has been
on several arbitration boards. Fred Bancroft, although a
member of the Pattern Makers' Union, has been in newspaper
work for years and is a "Star" reporter. He has been a \nce-
president of the Dominion Trades and Labor Congress, and
has represented unions on numerous boards of arbitration
and conciliation.
July 23, ::(L)
THE MONETARY TIMES
AFRICAN BANKING
Corporation, Limited
(LONDON)
Paid-op Capital and Reserve, $6,800,000
Over 60 Branches and Agencies
throughout South Africa
Principal Branches located at Bula-
wayo, Bloemfontein, Cape Town,
Durban, East London, Johannesburg,
Kimberley, Port Elizabeth, Pretoria,
and Salisbury.
THE NEW YORK AGENCY
negotiates documentary bills of exchange,
issues drafts and cable transfers, and transacts
a general banking business direct with the
branches of the Bank in South Africa.
Correspondence invited from Canadian Ship-
pers to South Africa, and facilities offered for
the conduct of their business with that country.
Address the New York Agency
64 WALL STREET, NEW YORK, U.S.A.
HomeBankofCanada
Government Bonds and Savings Stamps
There is a page in the Home Bank's Thrift Account
Book for entering the date of purchase, amount, and
interest dates on Government BonHi, War Stampi, and
Savings Certificatei. The form is very concise and will
preserve all the details for ready reference. Ask for a
copy of the Thrift Book. Distributed free at all Branches.
Branches and Connections Throuahoul Canada
Head Office and Nine Branche. in Toronto
THE
Weyburn Security Bank
Chartered by Act oi the DomiDion Parlument
htad okkick. weyhlk.v. saskaichhvsan
Bkanxhks in Saskatchewan at
Weyburn, Yellow Grass, McTaggart. Halbrite. Midale.
Griffin, Colgate, I'anginan. Radville. .\ssiniboiB. Itensoo.
Verwood, Readlvn. Tribune. Kxp.inse. Mossbank, Vantage!
Goodwater, Darmody, Stoughton, Osage, Creelmnn ami
Lewvaii.
A GENER.AL HANKING BrSlNESS TRANSACTED
H O POWELL. Crncnil .Mansccr
TH€ M€RCHANTS BANK
Head Off.ce : Montreal. OF CANADA Established 1 864.
Capital Paid-up, $8,400,000 Reierxt Fund snd Undivided Prohli. $8,660,774
..1 Total Deposits (30tb June. 1920) - Over $161,000,000
Tola! Astetf (30tb June, 1920) - Over $198,000,000
Board of Difctort :
Thouas Long
Sir Frederick Orr Lewis, Bart.
Hon. C. C. Baclanttnk
SIR H. .MONTAGU ALLAN
F. Howard Wilson
Farouhar Robertson
Geo. L. Cains
Vice-President
Al.FREn B. KvANS
Thomas Aiiearn
Lt.-Col. J. R. .MooDil
General Manager - - - D. C. Macarow
Supt. of Branches and Chief Inspector: T. E. Merkktt
General Supervisor - - - W. A. Meldrum
A. J DAWES
Hon. Lorni C. WtasTKa
E. W. Knielano
IJORIKIN M. MCGREOO*
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice.
393 BraDche» in Canada, extending irom the Atlantic to the Pacific
New York Agency: 63 and 65 Wall Street: W. M. Ramsay and C. J. Crookail, Agenn
London, England, Office, 53 Cornhill : J. B. Donnelly, D.S.O.. ManaRtr.
Bankers in Great Britain : The London Joint City & Midland Bank. Limited. The Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
BANK BRANCH NOTES
Thirteen New Branches Announced This Week
The following is a list of branches of Canadian banks
which have been opened recently: —
Point St. Charles, Que Dominion Bank of Canada
Montreal, Que Imperial Bank of Canada
Notre Dame dfe Charny, Que. Merchants Bank of Canada
Wallaceburg, Ont Canadian Bank of Commerce
Sturgeons Creek, Man Provincial Bank
Winnipeg, Man Royal Bank of Canada
Lanark, Ont Royal Bank of Canada
Brandon, Man Royal Bank of Canada
St. James, Man Royal Bank of Canada
Calgary, Alta. (Stockyards) . Royal Bank of Canada
Wilkie, Sask Royal Bank of Canada
Ameliasburg, Ont Royal Bank of Canada
Chemainus, B.C. (open two
days a week) Canadian Bank of Commerce
Imperial Bank Staff Changes
The Imperial Bank announces the following appoint-
ments: D. Robb, accountant at Prince Albert, Sask. branch,
has been appointed accountant-in-charge at Greencourt, Alta.,
succeeding J. A. McDonald. J. A. McDonald has now been
appointed manager at Krydor, Sask., in succession to C. J.
Dainard. C. J. Dainard, who has been acting manager of
Krydor branch, has been appointed accountant at Prince
Albert. P. L. Graban, at present manager at Yorkton, Sask.,
has been appointed to Portage la Prairie branch. W. H.
Thomson, formerly manager at Portage la Prairie, has been
appointed manager at Regina. D. Sutherland, formerly ac-
countant at Gait, Ont., branch, has been appointed manager
at Timmins, Ont. J. A. Wetmore, formerly manager at
Regina, has been appointed manager of the Fairview branch
at Vancouver. H. J. Hawkins, formerly teller at Niagara
Falls main branch, has been appointed accountant at Walker-
ville, Ont.
The James St. branch of the Imperial Bank at Sault
Ste. Marie, has been made an independent branch with C. A.
Kehoe, formerly accountant at the main office, appointed to
the position of manager.
Other Appointments
R. H. Anderson, manager of the St. John, N.B., branch
of the Bank of Nova Scotia, has been appointed supervisor
of the maritime and Newfoundland branches, with head-
quarters at St. John, N.B.
J. H. Stevenson, formerly manager at New Glasgow, has
been appointed manager of the St. John branch of the Bank
of Nova Scotia, in succession to R. H. Anderson. L. D.
Payzant, formerly assistant manager at Halifax, has been
appointed manager at New Glasgow.
W. Lawlor, first teller in the Royal Bank at Fredericton,
N.B., has been promoted to the position of manager of the
branch at Harvey Station, N.B.
H. C. McDonald, manager of the Imperial Bank at Tim-
mins, Ont., has resigned.
J. S. Gibb, manager of the Imperial Bank, Fairview
branch, Vancouver, is resigning after thirty years' service.
J. K. Ball, for the past eight years manager of the
Bank of Toronto, at Vancouver, and in charge of the bank's
activities in British Columbia, is giving up his connection
with the bank. He will be succeeded by Mr. Lamprey, who
has been manager of the branch at Kitchener, Ont.
M. D. Ross, late manager of the Royal Bank of Canada
at Peaehland, B.C., has been appointed manager of the new
branch of the Royal Bank established at Alice Arm, B.C.
A. C. Steven, assistant manager of the Vancouver main
office of the Canadian Bank of Commerce, has been appointed
manager of the Seattle branch.
W. J. Swaisland, assistant manager of the Union Bank
of Canada in Vancouver, has been promoted to undertake
special duty for the bank in the east. He is succeeded by
H. C. Samis, formerly inspector at Regina.
Counter.
to %
EXCHANGE QUOTATIONS
Messrs. Glazebrook and Crpnyn, exchange and bond
brokers, Toronto, report local exchange rates to The Monetary
Times as follows: —
Buyers.
N.Y. funds 13% pm
Mont, funds Par.
Sterling —
Demand $4.3450
(;able transfers .... 4.3550
New York quotations of exchange on European coun-
tries, furnished by the National City Co., Ltd., Toronto, as
at July 22, 1920, are as follows (all in cents per unit of
foreign currency): Cable, London, 382, cheque, 381%; cable,
Paris, 7.92, cheque, 7.91; cable, Italy, 5.62, cheque, 5.61;
cheque, Belgium, 8.42; cheque, Swiss, 17.47; cheque, Spain,
15.83; cheque, Holland, 34.70; cheque, Denmark, 16.40.
Sellers.
13% pm
Par.
$4.3550
4.3650
METHODS OF QUOTING EXCHANGE
Some banks in New York now quote all European ex-
changes in cents per unit of the foreign currency. The
customary method of quoting rates for francs, lire, etc.,
has been in foreign units per dollar. The new method was
discussed at a meeting of the Foreign Exchange Club re-
cently, and an informal vote of the members of the club
showed a majority in favor of the change. Those who ad-
vocate quoting foreign i-ates in terms of cents per unit do so
on the ground that already the majority of foreign exchange
rates are thus quoted and that it would simplify dealings
considerably to have all rates on a uniform basis. They say
that the great increase in American foreign trade has
brought many new interests into the foreign exchange mar-
ket and that commercial houses and individuals who are now
concerned with foreign trade for the first time find it diffi-
cult to understand the old system of quoting the Latin ex-
change.
BANK CLEARINGS
The following are the Bank Clearings for the week ended
July 21 compared with the corresponding week last year: —
Week ended Week ended
July 21, '20. July 24, '19. Changes.
Montreal $147,777,220 .$116,954,513 -t- $30,822,707
Toronto 106,544,711 71,310,334 + 35,234,377
Winnipeg ' 40,475,348 33,156,267 + 7,319,081
Ottawa 8,775,325 7,176,981 + 1,598,344
Hamilton 7,975,809 5,663,351 -f 2,312,458
Quebec 8,330,038 5,554,510 + 2,775,528
Halifax 5,172,092 4,361,364 + 810,728
London 3,621,118 2,933,915 + 687,203
Regina 4,270,899 3,444,798 -f- 826,101
St. John 3,539,327 3,389,480 + 149,847
Saskatoon 2,433,309 2,005,986 + 427,323
Moose Jaw 1,555,855 1,518,389 + 37,466
Brantford 1,502,063 1.079,788 + 422,275
Fort William . . . 1,027,084 762,559 + 264,525
Medicine Hat . . . 488,883 410,011 + 78,872
Peterboro 1,005,170 688,214 + 316,956
Sherbrooke 1,549,583 709,217 + 840,366
Kitchener 1,157,577 790,657 + 366,920
Windsor 5,146,361 1,997,074 + 3,149,287
Prince Albert . . . 444,961 343,354 + 101,607
Totals $352,792,733 $264,250,762 + $88,541,971
On and after August 2, 1920, the Toronto offices of the
Union Trust Co., Ltd., w-hich are now in the Temple Bldg.,
will be moved to the Union Trust Bldg.', at the northeast
corner of Richmond and Victoria Streets.
July 23, 1920
THE MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
PAID UP CAPITAL -
RESERVE FUXn ....
RESERVE LIABILITY OF PROPRIETORS
KSTABLISHF.U isi:!
AUSTR A LIA
} 20,000,000.00
16.000,000.00
20,000,000.00
I 56.000,000.00
AGGREG.\TE ASSETS 30th SEPT . 1919 -t«Si5>* $335,181,247.00
Sir JOH.N KLSSELL FRE.S'CH. K.B.E.. General Manager
340 BRANCHES and AGE.NCIES in the Australian States. .N'cw Zealand. Fiji, Papua I.Vew Guinea), and London. The Bank traniacis every dcKriplion
of Australian Banking Business. Woo! and other Produce Credits arranRcd.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET. E.C, 2.
A.Ksrs U4M; Ol MONTREAL. ROYAL HANK OK CANADA
BUSINESS FOUNDED 1795
INCORPORATED IN CANADA 1897
AMERICAN BANK NOTE COMPANY
ENGRAVERS AND PRINTERS
BANKNOTES, BON DS. MU NICIPAL DEBENTU RES, STOCK
CERTIFICATES, CHEQUES AND OTHER MONETARY DOCUMENTS
Special Safeguards Aiiainst Counterfeiting Work Acceptable
Head Office : OTTAWA 224 Wellington St.
HRAXCIIES
II stock Ekchangca
ESTABUSHED 187t»
Alloway & Champion
Bankers and Brokers
mbers of Winnipeg Slock Eichnnge
362 Main Street
Winnipeg
Stocks and Bonds bouyhl
and sold on commission.
Winnipeg, MontreaL Toronto and New York Exchange.
A Newspaper Devoted to
Municipal Bonds
THERE is publi.shed in New \ ork City a Jailv
and weekly newspaper which lias lor ovtt
twentv-five years been devoted to mtmiclpal
bonds'. Bankers, bond dealers, investors ;ind
public officials consider it an authority in it-
field. Municipalities consider it the loi,'ic:il
medium in which to announce bond offerint;-
Write for free apecimrn copirn
THE BOND BUYER
67 Pearl Street New York, N.Y.
Succession Duties
in Ontario
The rates of Succession Duty having
been increased al the recent session
of the Ontario Legislature, we have
prepared a Booklet entitled " Succes-
sion Duties in Ontario." This Book-
let contains schedules of the new
rates, together with a summary of the
main provisions of the Act. To
readers of The Monetary Time- we
shall be pleased to send a copy free
on request.
THE
TOROySTOGE/SERALTRU ^i^
CORPORATIOiS
Head Office ■ Bay ar\d Melinda Sfreefx. Toronto
THE MONETARY TIMES
Volume 65.
Union of Saskatchewan Municipalities Convention
Finances of Cities and Towns Discussed in Moose Jaw— Local Government Board
is Discouraging Loans Except for Necessary Purposes— Federal Housing Scheme
Does Not Appeal to Municipalities— Income Tax Would Reach Professional Men
(Special to The Monctiiry Times.)
Moose Jaw, Sask., July 16, 1920.
TAXATION and housing problems were the chief centre
of attraction at the annual convention of the Union of
Saskatchewan Municipalities (urban) in Moose Jaw, July
14 and 15, which was attended by about seventy delegates
from the cities, towns and villages of the province. The
necessity for an equalization of the assessment of lands as
between the urban and rural municipalities was apparent
during the discussion. The Association of Rural Munici-
palities at its annual convention in March decided to ask the
Saskatchewan government for the appointment of an equali-
zation board and the urban convention was in line with
this proposal.
Special Board Not ^Vanted
The work of the Manitoba Tax Commission was out-
lined by its chairman, L. W. Donoly, of Winnipeg, and the
convention expressed approval of the system, but there was
a general feeling that a board should be appointed by the
government, responsible to the government, or the work
should be done within the Department of Municipal
Affairs, rather than add to the number of commissions al-
ready in existence. The work of equalization between the
individual rural municipalities is being conducted by ■'he
depaitment, with the assistance of an advisory board of
members of the association, and it was thought that ;n
extension of this plan would suit the purposes of the jon-
vention.
Objection was urged by a representative of the rural
association to the control of rural assessment and the ab-
sence of control over urban assessment for provincial taxa-
tion, and he suggested that either both should be controlled
or the rural assessment de-controlled.
More Sources of Revenue
New sources of revenue for the urban centres were dis-
cussed at some length, the proposals including the use of
the income tax as one of the principal revenue producers.
While this did not meet with the popular view, it was gen-
erally felt that some steps should be taken to tax the in-
comes of professional men who occupy small office space and
who therefore virtually escape ta.xation under the business
assessment based on floor space. Mayor Young, of Saska-
toon, thought it should be left optional with the munici-
pality to assess on the basis of income or business. The dis-
cussion focussed in a resolution authorizing the secretary
to appoint a committee, one fioni each city, to devise ways
and means of gettin*; at a portion of the professionl man's
income.
The convention was also of the opinion that the cities
and towns should have the right of collecting some of the
moneys expended on amusements and a resolution asking
the government to confer power upon them to levy an amuse-
ment tax was passed.
No Decision Hegarding Housing
While the convention sought to find a solution of the
housing problem, one which is very acute in the larger cities
and towns, the feeling was predominant that under present
economic conditions the federal housing scheme was im-
practicable, and despite considerable discussion the question
was eventually allowed to drop.
Commissioner L. A. Thornton, of Regina, declared that
the municipalities were curtailed in taking advantage of
the scheme by the fact that the government insisted that
loans must be made a charge against the borrowing power
of the municipality and with the present high cost of ma-
terials and labor, coupled with the likelihood of depreciation
of the assets within a few years, he would not recommend
the adoption of the scheme. G. F. Blair, city solicitor for
Regina, referring to the same question in his report on the
work of the Local Government Board, expressed the opinion
that even if housing bonds were placed in the excepted list,
the bond buyers would regard them in the light of general
borrowings, "and," he said, "rightly so."
It was generally admitted that a loss would be incurred
by any municipality taking advantage of the appropriation
and the question was where the loss should be placed.
.Andrew Leslie, city clerk of Saskatoon, suggested it shoui
be divided equally between the federal and provincial gov-
ernments and the borrowing municipality. Mayor Peaker,
of Yorkton, thought that provincial government should assist
the municipalities to finance a housing project on a co-oper-
ative basis, similar to some of the commercial agricultural
schemes such as the Saskatchewan Co-operative Elevator
Co., any loss that might be incurred to be provided out of
general provincial revenues. In the event of the govern-
ment declining to consider this proposal, he was of the
opinion the municipality should borrow from the government
and stand the loss. A resolution incorporating this pro-
posal, however, was voted down.
Work of Local Government Board
.^n interesting feature of the convention was the pre-
sentation by Mr. Blair of his annual report as representa-
tive of the association on the advisory committee to the
Local Government Board, in the course of which he suggested
that the powers and scope of the board be extended to
include the management and operation of all public utilities.
"In these days," said Mr. Blair, "when there is an increas-
ing danger of municipal representatives administering utili-
ties and quasi-public works in the interests of a selfish and
interested sectionalism, rather than the general good, the
need of an independent board to deal with these matters is
very apparent."
Mr. Blair announced that the board had adopted the
policy of refusing applications for permission to float de-
bentures for the construction of curling and skating rinks,
secondary schools, electric light plants and community build-
ings, especially in small towis and villages, on the ground
that their borrowing powers were practically all required for
improvements necessary to the health or safety of the com-
munity. In this policy the advisory committee concurred.
With reference to the borrowings of rural municipalities,
the speaker said, the board has decided to limit the borrow-
ings to $15,000, and will not approve expenditures for roads
except where the plans conform to the general provincial
highway scheme. In all classes of municipalities the board
is endeavoring to encourage the policy of mapping out ex-
penditures for a period of five or ten years ahead with a
view to distributing the indebtedness with some equality and
also to encourage systematic planning.
Would Shift Expenses to Province
In addition to seeking for new sources of revenue the
urban municipalities are endeavoring to shake off some of
the tributes levied against them by the Saskatchewan gov-
ernment towards the maintenance of inmates of the various
institutions of detention and objects of charity. These in-
clude mothers' pensions, the care of the destitute sick and
.HI
July 23, 1920
THE MONETARY TIMES
SfE:RUNGTRU$TS CORPORATION"
DOCTORS AND DENTISTS
Let us look afier your financial affairs for you. We keep a
separate set of books, look after your investments, act as
your Secretary and financial advisers, all at a small cost.
President
W. H. WARDROPE, K.C.
Vice-President. Managing Director.
A. W. BRIGGS. K.C- CHAS. BAUCKHA.M
1120
HEAD OFFICE-12 MNG ST. EAST-TORONTO
ji^^V HEAD0FFICE-I2K
Your Summer Vacation
can be made trt-e troin worry in regard to business
which might otherwise be neglected, by ap-
pointing this Company to act as your Agent
during your absence. We will be pleased to be
commissioned to collect your rentals or other
moneys, make payment of taxes, etc., submitting
statement of all transactions.
CorrcspuirJiTu c jfiii cn<;iii/ii,\ tnvilcd.
THE CANADA PERMANENT TRUST COMPANY
18 TORONTO STREET, TORONTO
THE ALBERTA TRUSTS COMPANY, LIMITED
FINANCIAL AGENTS
SloektanJSonda. Fircliauranct.elc. Real EttaU and Farm Land,. I ahatcn. cic
Correspondence solicited
Union Bank Buildins - Edmonton, Alberta
WESTMINSTER TRUST COMPANY
: ^>lu^
LI •
Head Otfice - NEW WESTMINSTER. B.C.
GENERAL FINANCIAL AGENTS
Admlmittrafrt, RM»iT*n. ExKml9n. LIfmUtttrj. AuttmMt. Trmilmi
K A RIDDKLL. M.in..s. t
COLONIAL TRUST COMPANY
Head Office - Victoria. B.C.
Registered in the Provinces of British Columbia and Alberta
Authorized to act as
Administrators Liquidators
Receivers Assignees
Executors and Trustees
R. F. TAYLOR. ManaRins Director
The Security Trust Company, Limited
Head Office CfilgAry, Albert.
Liquidator. Trustee, Receiver, Stock and Bond Broken.
Adminisl.-tlor, Eiecolor. Gtntral FiDsn^ial A|tal>.
W M. CONNACHEK l•^e^ and .M..na,;inn Dir, ^l,>r
iimUilllllllllllHIIIIIIIIIIIIIMIIIIIUIIIIIIIIIIIIIillllllll!!!!!
I LONDON AND SCOTTISH ASSURANCE
CORPORATION LIMITED
I Formerly
I London and Lancashire Life and General Assurance Association, Limited
I of London, Enj^land.
I Extracts from the Report of the Directors presented at the Fifty-Seventh Annual Meeting held in London, England
I (For the year ended 31st December, 1919)
I LIFE DEPARTMENT
1 NEW BUSINESS:— During the year 2.753 policies were mucd fnr .urn. «»»urcd amouniing to $7,501,450. producinB s
I new annual Premium income of $307.01 1, and Single premium, of $71,572: m.k.ns a tot.l NEW PRE.MILM INCOME of $37(*.5flJ.
g Re-assurances were effected tor $266,000.
1 The sum of $17,615 was received for the purchase of Annuities.
I The rOT.AL LIFE PREMIUM INCOME after Deduction of premiums paid for Re-aaiurancea amounted to $2,289,720.
I The INCOME from INTEREST and DIVIDENDS on the Life and Annuity Fundi ws. $910,797, after deduction of income
B Tax
I The TOTAL INCOME of the Life Department was $3,220,177.
1 The CLAIMS by death with bonus ad.litions. amounted to $1,157,949.
1 ENDOWMENT POLICIES matured during the year, repre.enlinu Sums Assured of $742,079 .ncliidin« bonu* additions
1 After payment of all outgoings and providing for depreciation in securities, the LIFE and ANNUITY FUND amounted i..
= $21 152 012,
I ' The Total Funds and Assets of the Company, excluding uncalled Capital, amounted at 3l.t Dec. I'^l''. to $28.85S,210.
I Head Office for Canada - London and Scottish BIdg,, 164 St. James St., Montreal.
I Manager for Cinada - .Al T X RISSFT 1 .
THE MONETARY TIMES
Volume 65.
other indigent dependents. The convention felt that the
care of these people should be properly chargeable to the
public purse of the province and passed resolutions accord-
ingly.
City Commissioner L. A. • Thornton, of Regma, was
elected president for the ensuing year and the retiring pre-
sident, Mayor Peaker, of Yorkton, was made honorary pre-
sident. The executive committee is as follows: —
Cities — Mayor Grassick, Regina; City Clerk Leslie, Sas-
katoon; Alderman Jopp, Swift Current; Mr. Dixon, North
Battleford; Commissioner Mackie, Moose Jaw; W. E. Webb,
Prince Albert; Mr. West, Weyburn.
Towns— O. J. Godfrey, Indian Head; F. J. Pilkington,
Yorkton; M. T. McDonald, Davidson; W. Hartwell, Rose-
town; A. Moore, Outlook.
Villages— W. Stokes, North Regina; F. J. Batute, Per-
due; A. J. Kjelbson, Halbrite.
The ne.xt convention city will be Prince Albert. Invita-
tions having been extended by Regina, Saskatchewan Beach
and other places. The representative of the union on the
Local Government Board is again G. F. Blair, of Regina.
ONTARIO INSTITUTE OF CHARTERED ACCOUNTANTS
The annual meeting of the Institute of Chartered
Accountants of Ontario was held in Toronto on July 17.
The work of the year was reviewed by the President. Robert
J. Dilworth of Toronto, whose address was of much interest
and showed continued progress.
The election of officers for the year resulted as follows:
President, R. J. Dilworth; 1st vice-president, Rutherford
Williamson; '2nd vicc-President, Arnold Morphy; secretary-
treasurer, T. Watson Sime; council, R. Easton Burns, King-
ton; Arthur A. Crawley, Ottawa; Francis G. Jewell, London;
J. Wyndham Eddis, Fred. Page Higgins, Arnold Morphy,
T. Watson Sime, G. T. Clarkson, R. J. Dilworth, George Ed-
wards, Edmond Gunn, G. M. Munholland, Arthur C. Neff,
Bryan Pontifex, R. Williamson, all of Toronto; representa-
tives on council of the Dominion Association of Chartered
Accountants, Arthur C. Neff, Bryan Pontifex, Osier Wade;
auditors, W. K. Colin Campbell, Kris A. Mapp; registrar,
William J. Valleau, Toronto.
BANQUE PROVINCIALE'S FIGURES UP
Preliminary figures of the annual financial statement of
the Provincial Bank of Canada for the fiscal year ended
June 30 last, shows the bank's position in a favorable light,
the year being a record one. The figures for the twelve
months .iust ended compare with the preceding period, which
comprised 18 months, with the result that comparison of the
figures is difficult. Net profits in the period amounted to
$333,882. as against $434. .594 in the previous eighteen months,
a propoi-tionate increase of $44,1.52 on a twelve months'
basis.
Total obligations to the public, deposits, etc.. as on June
30, stand at $35,788,000. against the sum of $28,594,000 on
June 30. 1919, showing an increase of over $7,200,000. Total
assets of the bank stand at $39,077,000 against $31,093,000
the year previous, showing an increase of about $8,000,000.
The sum of $100,000 has been transferred to rest account,
which now stands at $1,100,000, and a furthei- sum of
$45,000 has been added to the pension fund, whicli is to date
$100,000. The sum of $25,000 has been written off bank
premises,
On the 2nd of July inst.. a new issue of stock of $1,000,-
000 at $120 was over-subscribed and paid for, which brings
the total paid-up capital of the bank to $3,000,000, with a rest
account of $1,300,000. The cash assets stand at $9,204,000.
and other quick assets, Dominion Government and municipal
securities, call loans, etc., amount to $17,225,000, making a
total of $26,489,000, being a percentage of 74 per cent, on
the total obligations to the public, $35,788,000.
CANADIAN FISHERIES PRODUCED SIXTY MILLIONS
Re\enue Last Year was Twenty-five Millions Above that for
1914 — British Columbia Prospects for this Year Good
C.ANADIAN fisheries for the fiscal year which closed Viith
March last produced a total commercial revenue in
excess of sixty million dollars, or an increase of twenty-five
millions, as compared with the fiscal year that closed with
March of 1914. The export trade in fish for the last fiscal
year was worth $40,687,172, an increase of over 100 per cent,
in value, as compared with 1914. The increase over the pre-
ceding year was in excess of four million dollars.
The export trade with the United Kingdom increased
from $6,726,389 in 1914 to $9,815,979 in the last year, while
the trade with the United States jumped from $5,644,355
in 1914 to $17,180,250 last year. The great increase in fish
sales to the United States has been due to the fact that the
value of canned salmon sold to the republic in 1914 was
$115,360, while last year it was $12,067,319. During a span
of six years there has been a jump of nearly 300 per cent,
in the value of di-y-salted cod, ling, hake and pollock shipped
into the United States.
Business Going to United States
Trade authorities look with some disfavor upon the in-
creased fish trade with the United States, because a ^arge
quantity of salmon and other fish imported from Canada is
exported again. Statistics indicate that the premium on
American money is attracting Canadian trade to the exclu-
sion of other markets. "While United States firms have
agents abroad building up future trade, Canadians," remarks
an official statement, "are content to sell to the United
States. They seem not yet to have appreciated the fact that
the premium on American funds gives Canadian exporters
in foreign markets an advantage over their American com-
petitors to the extent of the premium. The warning given
recently by a Canadian bank that Canadians are letting slip
by the opportunity to Isuild up Canadian trade would seem
to be applying just now to the fishing industry."
Good Salmon Yield Expected
For the present year reports are fairly optimistic. The
best sockeye season in several years for Rivers and Smith
Inlets, B.C., canneries is predicted by travellers returning
from northern British Columbia and by officials of the Do-
minion Fisheries Department. Conditions on the Skeena are
reported only fair, but Bella Coola has had a very good I'un
of spring salmon, although bad weather hurt the catch in
the Bella Coola district as well as on the Skeena. The run
of sockeyes at Alert Bay has been good so far this summer,
and there has been a good i-un of springs, red and white,
at Knight Inlet. Quathiaski Cove and Pender Harbor dis-
tricts have not shown well to date.
On the west coast of Vancouver Island the splendid run
of springs that came early in the season appears to have
gone south again after bad weather had intei-rupted the
fishing when it was at its best. The run appears to be over.
The traps on the south-west coast of the island did fairly
well in both sockeyes and springs. On the Eraser the run
of springs up to now has been above the average, but what
the sockeyes will amount to is a matter of conjecture. This
is the third year of the four-year cycle of the sockeyes, next
year being technically the "big year," although not much is
expected, owing to the smallness of the run in 1917. The
third year usually brings wth it a considerable catch, and
it would not surjsrise canners if this year proves to be better
than next year.
120 British manufacturers, accompanied by representa-
tives of the London Chamber of Commerce, will meet dele-
gates from western Canada in Toronto next spring with a
view to filling orders for the west. This meeting has been
arranged by Col. Macdonnell. who has just returned from
Europe.
July 23, 1920
THE MONETARY TIMES
My Will !
You did not forget to insure your house or your motor
last year, but did you make your Will and thus provide
for a proper administration of your affairs in case of
your death ?
See us at once and make good the omission of 1919.
Make your Will now.
Confer nith our Estates Department
Union Trust Company, Limited
HE.N'RY F. COODERHA.M. Pr<-.idcni
TORONTO - - Cor. Bay and Richmond Si-
WINNIPEG. MAN. LONDON. ENGLAND
i% on Saviiios— Withdrawable by Cheque ^ ■
When selecting a Trust Company as an Executor
choose one whose fixed policy is to give
FINANCIAL ASSISTANCE
To Estates being administered by it.
CAPITAL, ISSUED AND SUBSCRIBED ..§1.171,700.00
I'AID-TTP CAPIT.AL AND,RE;SERVE 1,172,000.00
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE : WINNIPEG, CAN.
THE BANKERS
TRVST (jOMB\NY
Head Offices: MONTREAL
Authorized Capital $1,000,000
PrctiJent -
SIR H. MONTAGU ALl-AN. C.V.O.
A. J. DAWES
Vice-PrcsiJcnIi -
D. C. MACAROW
JAMES ELMSLY - General Manager
C. D. CORNELL - - Secretary^
Sir H. Montagu Allan,
T. Ahe.rn C.V.O.
C. L. C«in.
D.vid N. C. Hogg
J. M. Kilboum
Directors:
S.r F. 0,r Lewi.. B.r
Tho.. L^ng
D. C. .M.c.row
W. A. Mrldrum
F. E. Meredith. K.C.
T. E. Mcnm
U..C0I. J. R. Moodje
Fuquhu- Robe*tM}n
Hon.LomcC.Vtebwel
F.Ho«.,dW.l.on
Edw.n H. W.l»n
John V('il«>n
Offices now open in Montreal, Winnipeg,
Calgary, S(. John. N.B., Hahfax. Retina,
Vancouver, Victoria and Toronto.
Premises in Merchants Bank Building in each cily
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for investment in all classes of Stciiiitii-s
Business Agent for the R. C. Archdiocese of Vancouver
Fiscal .Agent for B. C. Municipalities.
Inquiries Inoi'ed
«enrral nanaser Llenl.-<i>l. ii. II. IXIKKCI.I.
IRON MINE
FOR SALE
.n ll.r
COUNTY OF RENFREW
Near Perth
p^or full p.irlirulnr-, r'-port nf n«i.-y. eir . .ipplv
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAY nnd Mri.lNI>A SI;
TORONTO
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON,' Man.
Acti as Executor, Administrator, Trustee, Guardian, Liquidator
Assignee, and in any other fiduciary capacity.
Official Administrator for the Northern Judicial
District and the Dauphin Judicial District in
Manitoba, and Official Assignee for the Western
Judicial District in Manitoba and the Swift
Current Judicial District in Sask.itchew.iii.
Branch Office
Swift Current, Saskatchewsr
JOHN R. LITTLE. Managing I Mr
ACCOUNT BOOKS
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Paftt-rns mi>de to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality. Real Value
THE BROWN BROTHERS limited
SImcoe and Pearl Streets TORONTO
THE MONETARY TIMES
Volume 65.
Adverse Trade Balance Over Hundred Million
Figures For Three Months Ended June Show Enormous Excess of Imports
Over Exports— Unfavourable Balance of $28,000,000 in June— Situation Reversed
Since Last Year— Imports Have Increased Much More Rapidly Than Exports
A.\ unfavourable balance of $28,000,000 is shown in the
June statement of trade just issued by the Depart-
nient of Customs. Exports of domestic products show an
increase of $29,195,2.57 over May, as compared with an in-
crease in the preceding month of .$24,000,000. As compared
with a year ago the June figure showed an increase of more
than $18,000,000, while in May there was a reduction of
$1.5,000,000 in the same comparison.
For the three months, however, exports show a reduc-
tion as compared with last year, although the decrease was
decidedly less than that at the end of the previous month.
Imports continue to increase on a large scale, the figure for
the three months being $346,303,678, as against $200,61.5,514
in the same period last year. The decrease in the value of
exports was largely due to the fact that agricultural and
food products sent abroad were worth only $66,622,080, as
compared with $96,450,495 last year. There was also a fall-
ing away of several millions in the value of animal and
animal products exports. On the other hand wood products
and paper shipments abroad advanced from $34,000,000 to
$66,000,000, an increase of nearly 100 per cent.
The recapitulation shows that for the three months the
unfavourable balance is more than $100,000,000, as compared
with $76,000,000 for the period at the end of the previous
month, and a favourable figure of $53,000,000 for the same
period a year ago. This position is created by the rapid
advance in imports, rather than the decline in exports,
which is not large.
IMPOKTS ENTERED FOR HOME I'OXSVMPTIOX
Agricultural and vegetable products, mainly foods
Agricultural and vegetable products, other than foods
Animals and animal products
Fibres, textiles and textile products
Chemicals and chemical products
Iron and steel, and manufactures thereof ••
Ores, metals and metal manufactures, other than iron and steel.
Non-metallic minerals and products
Wood, wood products, paper and manufactures
Miscellaneous
Total .
Duty collected.
Month of June
2.937, IB3
2,4'?2.133
2.238.07,S
3.921.9fi6
697,5.'i9
2.775,714
1. 44 1. 328
4.,Si3.181
1.562.488
2.266..i47
24.834.154
9
10,098,095
1,383.900
6.740,010
7.868.532
1,132.056
12,354.540
2.284,644
4.341.226
1.632,366
2,345.956
50.181.325
5,210.189
5.764,748
3,144,211
9,434.350
1.739,034
4,947,176
1,900.520
7.342.465
2.382.819
3.695.336
45,560,848
16;693,428
3,619.125
4,058,445
22.199,206
2,302,121
21,361.228
4.168.234
8.319,671
3,017.689
3.392.349
89,131.496
Three months ending June
7,769.545
7,734.451
5.486,928
12.457.591
2.034.588
9,274.890
3.332,273
9.974.544
4.197.977
6.732.318
23.413,517
3.882,976
12,920,181
22.549.736
3.287,235
33.999.904
6.266,538
13.764.045
4.712.130
6.823,847
68.995.105 131,620.409
12,745.355
14.057.284
10.829,405
26,199,082
4.522,134
11,913,323
5.128.589
16,236.601
5,400.184
10.266.755
38.663.393
11.444,526
10,781.199
61.354.956
5.626,915
54,264.810
10,574,738
19,255.413
7.597.596
9,441.420
117.298.712 I 229.004,966
Agricultural and vegetable products, mainly foods
Agricultural and vegetable products, other than foods
Animals and animal products
Kibres, textiles and textile products
Chemicals and chemical products
Iron and steel and manufactures thereof
Ores, metals and metal manufactures, other than iron and steel
Non-metallic minerals and products
Wood, wood products, paper and manufactures
Miscellaneous
Total .«
Month of June
Three months ending June
Domestic Foreign
33,715,143 I
1.729.455 I
22,442.795
1,623.100
1.647.012 '
6.011.532 '
3,551.112 I
1.956.471
13.073.010
1. 599.322
263.275
56.892
S99.32I
402.994
l.38'>,647
786,931
59.223
79.214
16.909
395.338
87.348.9.52 4.042.744
33.927.908 1
2.499.289
14.702.889
2.375.142 j
2.231.089 1
8.799.321 1
4,7:!9.636
4.180.069
30,073,280
3,019.212
147.117
22.832
115.929
3,52.480
57.357
609.595
37.175
136,491
36.261
441.872
96.450.495
5,290.863
55,102.314
5.678.867
5.491.336
19,765,399
t.878.563
5.119.913
33,861.328
7.457,720
106,537.835 I 1.957,109 1 1 244.096.798
1,466.632
491.676
2.ii03.4.'i6
1,417,057
1,781.143
1.429.614
155.228
175,145
66.288
1.547.912
11.034.151
66.422,580
6.129.552
37.156.916
7.270,381
5.212.225
20,824.310
11.336.073
9.538.692
66.lfO.4gO
7.185.550
237.236,799
RE€.4I>ITIILATIO\
Merchandise entered for consumption .
Merchandise, domestic, exported
Total
Merchandise, foreign, exported
Grand total, Canadian trade.
Month of June
Three months ending June
1919
1920
1919 1920
75.015.479
87,348.952
S
134.692.344
106.537.835
241.230.179
1.957.109
s 1 ■?
200.615,514 316.303.678
244.096.798 237,236.799
162.364.431
4.042.744
444,712,312 583.540.477
11.034.151 1 7.546.983
166.407.175
243.187.288
4S5.746.463 1 591.087.460
322.658
101. 6S3
299.109
708,605
388,567
4,605.015
144,116
194,837
78,481
703.942
7.546.983
July 23, 1920
THE MONETARY TIMES
23
5i7„
INTEREST
RETURN
INVEST YOUR SAVINGS
in a S%% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital
Reserves
Assets
$2,412,578.81
964.4S9J9
. 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regin., C«lgary,
EdmoDton, Vancouver, Victoria ; Edinburgh,
Scotland.
DELAY MEANS LOSS
The cash vtfith which you h«ve been inlcndins lo open
a drposit account should be earning eomrthing for you.
Open an account with thi» Corporation SOW «n,i ircrnc
rHREE and OSEHALF
percent, per annum, paid and compounded halt-vraru
In addition lo a ccoicc notrd (or pfomplnr-M and efficiency you will
have the benctil of our lonB exprnrncp. which cstrndt o%cr • prTK>d oi
•iity-five ye«r» One doll«r or moir will open »n •ccouni on which lull
checking privilcKr. w,ll be allowed.
Canada Permanent Mortgage Corporation
TORONTO STREET TORONTO
CjfMlj/ dnJ Si.rp'u.. .\cur/.v $I2.'X.H).000 tHi
Toi.^1 AmcIs EiiccJ $33,000,000.00
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
Masonic Temple Building. London. Canada
Interest ai 4 per cent, payable half-yearly on Debentures
T. H PURDOM.K.C. President NATHANIEL MILLS. Manager
The Hamilton Provident & Loan Society
Head Office, King Street. Hamilton. Ont.
Capital Paid-up, (1,200,000. Baenre Fund and Sorplos
ProBts. (1,280,670.69. Total AaseU. M,TM.M»J1.
TRUSTEES AND EXECUTORS are authorized by Law to inrest
Trust Funds in the DEBENTURES and SAVINGS DEPARTMENT
of this Society.
GEORGE HOPE. President D. M. CAMERON. Treasurer.
Ontario Loan
& Debenture Co.
LONDON lscoiO'OR.\TEi) IsTo Cannda
CAPITAL htm UsDrviDED Profit* $3,9<»i.0IX)
10/ SHORT TERM (3 TO .'i YEARS)
5;
DEBENTURES
YIELD INVESTORS
5
0
JOHN McCLAKY. Preside
A M. SMAKT. Msnater
/^VER 200 Corporations,
^^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Office. No. 13 Toronto Street
Caoital Account l!i;»l.l5O.0O Hcvcrvc Fund. »«:<<.oo.i ••i
Lipitai Accoun.. T^i^i ^.,„,^ |t«.«4».Il«.l«
President WKLLIM'.TON KHASCIS. Ksq.. KC
Vicel>rc«ident. HEUBEKT I.ANOLOIS. Bui
Debentures issued to r.y 5'... :. Lc«al Inv.stmrnt '"; Trum Fund..
Deposits received Jt 4 interest, withdraii.blc by ..heuue.
Loans m.de on ,inrrovcdJ^e.l^RM^.^on_fa^o..^c^.c^_ s^^^^^^^
Six per cent. Debentures
Interest payable half yearly at par at any bank .n Canada
Particulars on application
The Canada Standard Loan Company
520 Mclnlyrt B/oc*. H'inrwp.f
Port Arthur and Fort William
Realty Investments
Inside City and Revenue Producing Property.
Mortgage Loans Placed.
Write us for illustrated booklet descriptive of
the twin Cities.
GENERAL REALTY CORPORATION, LIMITED
Whalen Building. PORT ARTHUR, Ontario
J. A. THOMPSON & CO.
Government and Municipal Securities
Western ^lunlcl,.,.. -1...... «n L...|.rw.n «-r.l Te.r-
WINNIPEG
sp.iS[)l-NCH INVITHll
Union Bank Building
BUSINESS BUILDERS, LTD.
Indualrinl unci Unn
301 Endcrton Bida.
Capital Secured lir
Sound Buslnet^c
Free Advice on Investment Protil
Advlaer
Winnipea
(.in-i.ctand MlanlaOrgan
«d and Srsumatiiad
THE MONETARY TIMES
Volume 65.
BUILDING PERMITS DECREASE IN MAY
Total For Month Shows a Falling Away of §4,500,000 as
Compared With Previous Period— There is An Increase
of $3,500,000 For the Year, However
IJ^MPLOYMENT in the building trades as indicated by the
■^ value of building permits issued in 56 cities showed a
decrease during May as compared with the preceding month,
the total value of building permits falling from ?16,385,-
153 in April to |12,160,379 in May, a decrease of $4,224,774,
or 25.8 per cent. Nova Scotia, Ontario, Alberta and British
Columbia reported increases in this comparison, that of
$429,592 in Ontario being the largest. On the other hand.
Prince Edward Island, New Brunswick, Quebec, Manitoba
and Saskatchewan reported decreases, those in Manitoba and
Quebec of $2,359,581 and $2,268,292 respectively, being the
most noteworthy.
The figures for May, with comparisons, as compiled by
the Department of Labor, are as follows: —
DEPART.MEXT
OF LABOUR
FIGURES
Charlottetowr
SJOVA Scotia. .■ ■
•Halifax
New Glasgow.
' Sydney
Ckw Brunswick..
Kredericton
• \loncton ....
•St. John
:r.igan Falls
* ^herbrooUe
Three Rivers
Belleville
"Brantford
Chatham
'Fort William.
alt
•Quelph
Hamilton
• Kingston
•Kitchener
• London
.Niasara Falls..
Oshawa
•Ottawa
Owen Sound ...
•Peterborough..
•Port Arthur
'Stratford
•St. Catharines.
•St. Thomas
Sautt Stc. Marie.
•Toronto
Wclland
•Windsor
Woodstock
VI \NITOBA. .. ..
•Brandon
St. Boniface.
■Winnipeg....
lASKATCHKWAN .
' Moose Jaw. . .
'ReBi.na
•Mew Westminster.
Point C.rey
Prince Rupert
South Vancouver..
•Vancouver
•victoria
Total-5fi cities..
•Total— 35 cities
403.990
2.0C0
144,040
•2,57.9!i0
4.725.320
2.858.16,'!
253.480
'^y.OOO
1,242.350
186.910
155.415
5.785.131
13.000
117,365
124.819
74.035
66.625
31.940
779,500
196,315
160,770
211.510
35,575
162.485
334.610
32.000
54,a!;o
9 660
83.590
128.000
18.670
62.027
60,200
2,137.908
31.915
83:l,6a5
24.157
I 2,938.640
3.050
34.290
2.901,300
7,'<4,830
227.480
438. i-S
6si.07S
543.490
317.800
I 2I8,:I00
7.26«
7 2,167
i.6lfl
Ki.SOO
565,607
431,845
26,800
106,962
154.205
6.000
120.003
28.200
2.457.028
1.665,658
334,900
26.000
102.430
99.365
228.675
6,214,T2:i
9.600
94.450
55.610
90.745
56.955
65.295
521 ,250
42.465
.18.345
266.685
73..S00
139,560
549.490
20,000
6.605
18.055
.S9,388
46,467
26,340
92,4.50
ISS.'i'iO
3.133.1i»5
112.425
4'! I. .825
75,36:1
579.059
14.674
32.985
531. 40O
570.2,55
149 630
324.675
95.9.=i0
891.460
4a6..<tOO
426,075
28.410
2.130
24.050
196.800
180.415
42,795
226.467
5('.885
I6.3HS.1.S3
IS.333.183
570.794
403.190
28.150
139.4.54
229,718
;t5.00U
114.516
,so.2(:o
1.762,488
1,269,435
182,46:!
71.800
136,850
41.615
60,325
3.648.80O
1 .450
239.785
12.620
IS6.900
23.100
176,630
318.310
40,380
66,125
129.575
48 000
30. 1 SO
388.927
7.650
9,330
' :»2.360
.53.800
82.682
18.3.S5
39.SK0
60.7(HI
1.4.i5.-:t4
19.S40
179.290
27.247
76,942
DOMINION FINANCES AT THE END OF JUNE
Important Changes Registered in Monthly Statement— Net
Debt Increased by Deduction of Non-Active Assets
IMPORTANT changes are shown in the June statement of
the Dominion Finance Department. Net debt increased
nearly $25,000,000, as compared with $50,000,000 in the same
month last year. A feature of the statement is that for the
til St time a deduction of non-active assets is made, such as
loans to Canadian Northern Railway, Grand Trunk Railway
and Grand Trunk Pacific, and to this extent, of course, the
net debt is increased.
The revenue account also showed some changes. It has
previously been the custom to lump practically all revenue
from direct taxation under the miscellaneous heading, and
not to give separately the revenue from business profits tax
and income tax, except in the budget speech following the
close of the year. Now the revenue from these taxes is to be
shown month by month. Ordinary expenditure last month
exceeded revenue by nearly $8,000,000, while in June, 1919,
there was a surplus on revenue account of nearly $18,000,000.
For the first three months of this fiscal year the surplus is
nearly $18,000,000, as compared with a surplus of nearly
$27,000,000 last yeai".
A summary of government accounts as at June 30 last,
is as follows: —
PUBLIC DEBT
Liabilities
Funded Debt—
P.iyable
iada
in London
do in New York
Temporary Loans -
Bank Circulation Redemption Fund
Dominion Notes
Savings Kakks-
Post Office Savings Banks
Dominion Government Savings Banks.
Trust Funds
Province Accounts
.Miscellaneous and Banking Accounts —
Total Gross Debt.
NVEST.ME.STS —
Sinking Funds.
1919 1920
$329,420.604 77 3411.574,445 11
219.516.983 44 259.079.369 66
109.903.621 33 152.495.075 45
Province Accounts
Misc.<i Bkg.Accts.l 863.967.843 49 601.795.870 90
Less Non-active. I 41.305.317 34 45.222.900 60
822,662.526 IS
Total Active Assets
.556..572.970 30
1508.751 .0.'iO 58
362.703,312 40
75.873,000 OO
482,687.666 64
5.8H7.1S8 40
293,055,697 67
38,930.371 58
II..581.554 62
11.390.350 27
11,920,481 20
28.462.790 93
207l.909.0;i 35
336,001.469 72
135.873.000 00
88.862,000 00
6.I37.29S0I
300,337.151 17
30.918,482 39
9,891.442 94
12,936.308 40
11,920,481 20
29,035.639 78
2831,223,464 29 I 3033,822.345 U
18.667.513 13 22.338.940 88
109.903.621 33
2.2%.327 90
822.662,526 IS
9!i3„S29.986 SI
152.495.075 45
2.296,327 90
Increase of Debt 49,652,681.59 '24,814.1.59 15
Revenue—
Customs
Excise
Post Office . . .
Pbc. Wks.. Ry
War Tax Revi
Bus
Income Tax.
Other War Te
Miscellaneous
Total..;.
EXPBNDITURB.
roll
&Cs.
t Tax
Month of I Total to SOth
June. 1920 June, 1920
13,672.914 45
3.350.714 IS
1,700,000 00
4,084,3.32 56
1.810.595 08
128,526 60
1,123,355 88
909,877 50
26,780.316-22
38,476.934 58
9.734.021 25
4.S00.000 00
7.927,121 41
6.5S9.783 60
130.448 IS
2.925,494 45
2.484,100 24
73,067.903 66
16.115.329 77
2,768,024 15|
1.800.000 00
3,.581.2l6 3ll
5:1.624.038 60
9.765.,S95 51
5.100 0110 00
8„573 916 34
1.753.898.54 8,556.658 36
1.707,731 0|i 4.571,90833
3.228..585 48 6.346.267 06
1.663.236 721 3.290.713 02
32.618.021 981 99,829.097 42
40,566.71701, 82,I20,6SZS3
Expenditure on Cap-
ital Account. Etc,
Public Works, includ'g
Railways and Canals
Railway Subsidies
51,215.977 16
3,416.894 26
77,781,986 23
1.2.'i6.S74 5l
1.876.851 42
1.524,499 60
2,600,929 41
3,163,725 93! 4,125.42901
The above statement represents only the receipts and payments which ^^Y^
passed through the Books of the Finance Department up to the last day of the
month.
Julv 23, 1920
THE MONETARY T I M h ^
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
GENERAL AGENCY
FOR WINNIPEG
WANTED
Financial Man of lun^ crxprricncr, tried ability and tru>t.
(or many years head of one of the largrat (. ompanicf op-
cratinK in the Weal, seeka ncneral agency (or itronDly
ealabluhcd Company writing Fire. Accident. Liability or
Automobile Insurance. Vl'ould consider light Commer-
cial Line. \'aluable connections. Best re(erences given.
Inlormaiion can be obtained bv addressing
"FINANCE"
C o Mocpher«.n.McCurxir Lid !«
WINNIPEG MAN.
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
WenterD .Manlclpal, Sebool and .^askalrbrMan Kural Tele-
phone Co. debenlnreh Hpeelallxed In.
CorrcponJcnrc inv,t..i
GRAINGER BUILDING SASKATOON
NIBLOCK & TULL, Limited
STOCK. BOND and GRAIN BROKERS
(Direct Private Wirei
Grain Elxchange
Calgary, Alta.
Manitoba Finance Corporation Ltd.
Inyeitmenl B-okurt, Financial Agenit, Etc.
HcaJ OlVcc
410-11 Electric RIy. Chamberi - Winnipeg, M»n.
I'li^nc <.Jrr\ :>vv|
Stocht and Bond* bought and sold on commission
Mortgage Loant on Improved Farm Lands
Inturance Effected in all its branches
Farm Landt (or Sale in Western Canada
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Lougheed & Taylor
LIMITED
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270 Eighth Avenue West, Calgary,
Alberta
Government Municipal and Corporation Bonds
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msurance, Loans, Bonds, Debentures and Real Estate
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Montreal Toronto Winnipeg
26
THE MONETARY TIMES
Volume 65.
WHEAT SITLATIO.N I'LZZLES GRAIN TRADE
Uncertainty as to Whether Enabling Act, Passed at Last
Session of Parliament, Will be Put in Force — Govern-
ment Control a Costly Method — Experience of
United States with Open Market
By C. BlRKETT
Secretary, Fort William aitd Port Artlmr Grain Exchange
THE enabling bill, passed by the House of Commons to pro-
vide for the appointment of the Canadian Wheat Board
for another year, if found advisable, is vei-y similar in char-
acter to the legislation under which the board now operates.
The most important change is a clause inserted, safeguarding
the trade in case the markets ai'o opened and then closed by
order of the government. This clause reads: "Should a board
be appointed under this .A.ct after trading in the wheat crop
of 1920 has commenced, the board shall have power to adjust
and make payments from the funds of the board in respect
to actual losses incuiTed by reason of the bringing into effect
of the Act. Provided, that before payments are made such
adjustments and payments are approved of by the governor-
in-council."
Loss Through Closing Exchanges
Last year the Canadian grain exchanges were opened
for a few days and then closed on the strength of a wire
received from the minister of trade and commerce. The
markets were closed arbitrarily, and no reason was given
at that time for the action taken. The result of this action
was that many firms who had pui'chased legitimate futures
were left high and dry. It has taken the representatives of
the Winnipeg Grain Exchange eight or nine months to secure
a settlement of these claims. The government, in the dying
days of the session, put through the House a vote for some
twenty odd thousand dollars to pay the said loss to these
firms, a loss caused entirely by the action of the government.
The government did not allow these firms one cent of
interest nor one cent of profit, notwithstanding the fact that
it was entirely the fault of the government that the situa-
tion arose. It was the feeling of some members of the grain
trade that the Canadian Wheat Board should pay these legiti-
mate claims out of their funds, but the board apparently did
not consider that they had any jurisdiction nor the power
to do such a thing.
To obviate a repetition this year the government inserted
the above clause, which will act as a safeguard not only to
the trade, but also to banks.
Preference to Export of Flour
Another clause that was inserted in the bill this year
which was not in the old bill is as follows: ".\nd also to the
reasonable necessities of the Canadian consumer, provided
that as between wheat and flour preference should be given
to the exportation of flour, except in cases where the public
interest would be adversely aflfected thereby."
This clause might or might not be of material benefit
to the miller. There are so many provisos contained therein
that it is questionable whether the millers will be able to
secure preference for the export markets.' At the present
time there is a discrimination in rates against flour, and the
millers claim that it has been diflicult, and it will be diffi-
cult, for them to compete in the European markets. They
ask that, if the board is appointed, that the board will en-
deavor, first of all, to sell flour in preference to wheat to
keep the mills running and to provide offal for domestic
consumption.
The grain trade of Canada has been assured that it is
not the intention of the government to bring the bill into
effect only under tlic gravest emergency. If the European
countries combine buying and have one purchasing agent
for wheat; or if the United States bring into effect the Lever
.Act as it affects the exchanges; or if the financial stability
of any counti-y is endangered, any one of these three might
be sufficient cause to bring into effect the bill and give Can-
the wheat. It is quite obvious, therefore, that government
paternalism.
Government Sale More Expensive
Is it cheaper to handle Canadian wheat by a government
board or through the usual channels of commerce? It is a
well-known fact that under conti-ol country elevators, track-
buyers, commission merchants, brokers, public terminal ele-
vators, private elevators and eastern public elevators have
all received their usual scale of charges. The banks also have
received their interest and the transportation companies have
received their rates, and lake tonnage is in the same position
as under open market conditions.
None of these charges have been eliminated, because it
was the policy of the wheat board to utilize as far as pos-
sible existing organizations to handle the crop. But, in ad-
dition to the above charges, there will have to be deducted
from the price of wheat the organization and administration
expenses of the board itself, which expenses are an added
charge, and must be deducted from the funds received for
the wheat. It is quite obvious, therefore, that government
control is not more economical, but rather the other way,
more expensive.
Open Market in United States
The United States are to-day operating under open
market conditions. The price of their highest grade mill
wheat at the present time is $2.75 per bushel, which indicates
that the price of wheat has a tendency to drop. Some experts
claim that wheat might reach $5 per bushel; other experts
claim that the price of wheat will drop during the next five
or six months, and after the new year will materially in-
crease.
The Baltimore exchange opened on June 25th, and the
first sales were made at $2.83 per bushel for September de-
livery. Taking everj-thing into consideration, it seems rea-
sonably certain that, sooner or later, the price of new wheat
will start to decline. The duration of the break will depend
to a great extent on the size of the harvest and the move-
ment. But the Canadian Wheat Board, if functioning, are
obliged to secure the world's highest price for the wheat and
bring the Dominion wheat and flour on a parity with the
world's price. Therefore, it follows, if the Canadian WTieat
Board does its duty, it must, of necessity, secure a price
pretty well on a level with the price that would prevail under
open market conditions.
Present Situation Too Uncertain
If the government are afraid of grain prices soaring,
the legislation enacted will not save the situation; if they are
afraid the price will drop, the Enabling Act will not be
much use. The wheat board are simply instructed to see that
the price obtained for export wheat or flour is the world's
market price, and that wheat and flour for domestic con-
sumption are on a parity with that price. With such a bill
hanging over the heads of tlie members of the grain trade,
making it diflicult to know what to do, the Canadian govern-
ment should decide, and should decide very quickly, what its
intentions are.
Crop reports from the Canadian north-west indicate that
the crop is in splendid condition, and everything points to
a bumper year. Moisture has been plentiful and weather has
been ideal, and, barring the usual hazards, it is estimated
that a tremendous amount of wheat will be handled this year.
This will mean large lines of credit on the part of the dif-
ferent grain firms. This will mean tightening up of the grain
organizations to give the most effectual service.
The government should immediately supplement the
statement made in the House of Commons by the minister
of trade and commerce. Sir George E. Foster, to the effect
that it was not the intention of the government to make this
bill operative only under the gravest emergency; by noti-
fying the trade that wheat will be de-controlled,' and giving
Julv 23, 1920
THE MONETARY TIMES
27
A healthy body means healthy arteries.
The railuays are the arteries of Canada.
TN the operation of railways Canadians
^ hold high reputations.
The chief Canadian systems are operated over great
stretchesof territory presenting widclydifferent problems.
Their traffic obligations fluctuate rapidly with the
seasons.
Climatic conditions are sometimes difficult. Unusual
foresight, skill and determination are called for.
Yet the only unfailing highways for the heavy
traffic across the N'ew World from China to France
during the war — were Canadian railways.
Canada alone, among the allied countries had no
war-time transportation crisis. When foreign roads
choked under their loads, she relie\ed them of millions
of tons. At a time when ships were the need of the
hour no ship lost time in any Canadian port through
failure of the railways to deliver cargoes at the docks.
To-day the Canadian producer still commands the
fastest, the most dependable and the cheapest railway
service in the world.
But the foresight that made this record possible
could do nothin'^ without money' The skill that
kept terminals uncongcstcd had to be backed with
money! The determination that drove crippled en-
gines ahead in the face of 40-bclow gales and mounting
snow would in the long run ha\c been useless without
MONEY !
* * * »
Thus to-day the alarming fall in the net revenues
of the railways is a menace to railway efficiency. It
injures railway credit. It dissolves the reserves need-
ful to meet the expanding needs of a grow ing country.
It imperils national prosperity.
Increased freight rates arc imperative therefore.
not merely on behalf of railways but in the interests
of Canada itself!
This a'l-.erti^emcnl is fuhli'hr.l undtr I h c aulllorily of
The Railway AsSOciaHon of Canada
formerly the C .\ N*A D I .\ N K A I 1. W \ N' WAR U < i \ K I)
In July 1^18 the Cana-
dian roads were threat-
ened with a Reneral Mrike
To prevent this public
catastrophe they attrccd
to follow the .American
scale of waRc increases
The Government ol C".an-
ada mca.nt imc allowed
freight ni!'; increases in-
tended to rrvike up the
cost of these new wage
ra:cs.
Leaving aside all que- -
tion of increased cost <>l
material, the new wages
cost t he railways of
C^niiJi an extra eighty
million dillars (or the
first year alorx:
The new rates yielded
them un .idditionaf (ony-
thrcc millions'
The annual deficit on
wages ulonc was thirty -
seven millions and is
constantly (irowinr.!
28
HE MONETARY TIMES
Volume 65.
specific reasons under what conditions the government con-
sider they should be closed.
Latc!*t Announcement is More Definite
Since the above was written, Sir George E. Foster, min-
ister of trade and commerce, has announced the de-control of
wheat and the winding up of the Canada Wheat Board on
August Hist. He states in his official statement that three
reasons may arise that might make it necessary for the gov-
ernment to proclaim the enabling bill: —
1. The centralization of buying in Europe.
2. Necessity of the government extending credits to
buyers of our wheat.
3. If the United States markets are closed at a later
date under the pi'ovisions of the Lever Act.
The exchanges do not believe these contingencies will
arise and are making arrangements for the wheat business
of this country to return to normal channels on the 1st Sep-
tember. It is expected the option market will open in Win-
nipeg about the middle of August
MERGERS A FEATURE IN INSURANCE WORLD
Subsidiary Organization Frequently Unchanged, but Policy
Principal must lltimately Dominate — "Fleets"
now Operating in Canada — U. S. Watch-
ing Movement Closely
MERGERS such as characterized the Canadian industrial
field about 1911 are now taking place in insurance.
British companies are at the head of this movement, and
several Canadian as well as British companies have been
acquired in this way. The subsidiaries continue to do busi-
ness in the usual way, though it is customary for the prin-
cipal to guarantee their policies. H. W. Crossin, of .Arm-
strong, Dewitt and Crossin, commented on this movement
in a recent number of the "Toronto Board of Trade News"
as follows: —
"The Old Country combinations are no doubt rightly
referred to as mergers, but the Canadian deals have been
more in the nature of a swallowing process. While the Can-
adian companies may preserve their identity, the manage-
ment will generally be in the hands of the officers of the own-
ing company. In the case of the Liverpool and London and
Globe, which was acquired by the Royal or the Norwich
Union, which is now owned by the Phoenix of London, the
Canadian organizations of these companies are, so far as
the outsider can observe, being conducted exactly as here-
tofore, with the same distinct offices and officers, the owned
and the owners apparently continuing to follow their owm
ideas of operation. Eventually, of course, the undei'\\Titing
views of the parent companies will probably dominate.
Where, however, smaller companies have been taken over
by larger companies, the management and individuality of
the smaller companies almost immediately disappears, and
they become a part and parcel of the parent companies.
Chain of Six or Eight Companies
".•^t the present time there are one or two companies
doing business in Canada which own as many as six or
eight other companies. In some cases the management of
a subsidiary company, in so far as Canada is concerned, is
entirely indeiiendent, while in others it is not. These groups
which may include several fii'e insurance companies, a casu-
alty company, and may be a marine or plate glass company,
which are owned or controlled by a single company, have
come to be known in the insurance world as the "Fleet" of
the owning company or interest.
"Of course, these mergers or sales come about through
one or other company seeing an advantage in the deal. .\s a
general rule, the buying company is desirous of securing a
wider spread of business, or with the same end in view, an
additional feeder, as, the wider the company's business is
spread, the better it is for that company. Very often such
a result is obtained, with also a reduction in overhead ex-
penses, all of which is not only beneficial to the company,
but also to the insurer as anything which will result in the
business being more profitable to the insurance company
is bound, in time, to be reflected in the rates charged.
New Companies Counteract Effect
"One difficulty which this condition presents to the pubhc
is that when one buys the policy of, say, the World-Wide
Insurance Company, he may find that in reality, so far as
security goes, he is actually buying a policy of the Omnipo-
tent Insurance Company. In this general tendency also,
one is sometimes inclined to fear that the business is gradual-
ly working into the hands of a few companies, which would
dominate insurance throughout the British Empire, if not,
in fact, throughout the world. This, of course, would be a
condition which no one would like to see. However, reports
continue to be received of the formation of a great many
new companies, so that probably there will always be a
sufficient number of independent companies to safeguard
the situation.
"Interest of the United States company officials has
been specially ai-oused by the recent mergers, as they see in
them a great strengthening of the position of British com-
panies, and yet find themselves prevented from adopting
the same course to improve their own position. This is
owing to the fact that companies coming under the insur-
ance law of the state of New York ai-e prohibited from
acquiring the stock of any other insurance corporation carry-
ing on the same kind of insurance business. The law refer-
ring to the investing of funds by domestic companies reads
in part as follows: 'The residue of the capital and surplus
money and funds of every domestic insurance corporation
may be invested . . but no such funds shall be in-
vested in or loaned on its own stock or the stock of any
other insurance corporation carrying on the same kind of
insurance business.'
Monopoly Not Now Feared
"Apparently this restriction was placed on companies
in the early days with the view of preventing a monopoly.
It now seems to be felt, however, that insurance is no longer
I'egarded as a private business, but as one in which the
public at large has an interest, and that if it is not con-
ducted fairly the state will step in and regulate it, and that,
therefore, this restriction should be removed. Writers in
the United States who seem to express the views of the
companies owned thei-e, are agitating to a certain extent
to have the restriction removed. The comment of one
writer in this connection is of interest: 'Whatever may be
the .American attitude toward concentration of control of
capital, preferences or prejudice at times have to give way
in the face of conditions. Leading American companies
are now reaching out for world business. Their chief com-
petitors are British companies — old, strong, experienced and
ah-eady strongly entrenched in the markets of the world.
They operate under laws which permit them to own other
companies doing the same class of business. Within the
past few months the greatest fusions of British companies
ever known have been effected because the companies saw
that under single control they could meet competition more
eft'ectively than as unrelated institutions. Those companies
can and do own numerous .American companies which streng-
then them by acting as feeders for them. Yet the laws of
various States, including New York, deny to .American com-
panies the privilege which British companies exercise to
their own advantage right here in .America. It is most
unusual for one company to handicap its own institutions
in competition with those of other countries. It is anom-
alous that while Congress is endeavoring to build up foreign
commerce and enable .American marine insurance to co-
operate to this end, the individual States should continue to
hobble .American insurance companies because at a time
now well in the past, under conditions which no longer
exist, they thought it in the public interest.' "
Juv 23, 1920
THE MONETARY TIMES
LAKE OF THE WOODS MILLING COMPANY. I.IMITEIJ
DIVIDEND NOTICES
Notice is hereby griven that a dividend of 1=4 per cent,
on the Preferred Stock of Lake of the Woods MillinK Com-
pany, Limited, for the three months endine August 31st,
1920, has been declared, payable on Wednesday, September
1st, 1920, to Shareholders of record at the close of business
on Saturday, August 31st, 1920.
By Order of the Board.
R. NEILSON,
Assistant Secretary.
Notice is hereby given that a dividend of 3 per cent, on
the Common Stock of Lake of the Wood.s Milling Company.
Limited, for the three months ending .August 31st, 1920,
being 2'/2 per cent, from the earnings of Lake of the Woods
Milling Company, Limited, and one-half of 1 per cent, from
the earnings of the Sunset Manufacturing Company, Limited,
re declared payable on Wednesday, September 1st, 1920, to
Shareholders of record at the close of business on Saturday,
August 21st, 1920.
By Order of the Board.
R. NEILSON,
Assistant Secretary.
Notice is hereby given that a special dividend of 25 per
cent, upon the Common Stock of the Company, being $25.00
per share, be, and it is hereby declared, payable on the 1st
September, 1920, to Shareholders of record at 3 o'clock p.m.
on the 21st August, 1920.
By Order of the Board.
R. NEILSON,
196 Assistant Secretary.
CANADA CEMENT COMPANY. LIMITED
PREFERENCE SHAREHOLDERS
IJANk OK .MONTREAL
Notice is hereby given that a Dividend of Three Per Cent,
upon the paid-up Capital Stock of this Institution haa been
declared for the current quarter, payable on and after
Wednesday, the First Day of September next, to shareholders
of record of 31st July, 1920.
By Order of the Board.
FREDERICK WILLIAMS-TAYLOR,
General Manager.
Montreal, 20th July, 1920. 202
THE CANADIAN BANK OF COMMERCE
DIVIDEND No. 131
Notice is hereby given that a Dividend of Three per cent,
upon the capital stock of this Bank, being at the rate of
twelve per cent, per annum, has been declared for the quarter
ending 31st .August ne.xt, and tliat the same will be payable
at the Bank and its Branches on and after Wednesday,
1st September, 1920, to shareholders of record at the close
of business on the IGth day of .August. 1920.
By Order of the Board.
JOHN .AIRD.
General Manager.
Toronto, 19th July. 1920. 200
DIVIDEND NOTICE
MLKRAY-KAY tOMI'ANY. LI.MITED
Notice is hereby given that a dividend of one and three-
quarters per cent, for the three months ending July 31st,
1920 (being at the rate of seven per cent, per annum), has
been declared on the Preferred shares of the Company, and
will be payable on .August 2nd next to Shareholders of record
at the close of business on July 20th. 1920.
The Transfer Books of the Company will be closed from
July 21st to 31st, 1920, both days inclusive.
By Order of the Board.
FRANK MCNDY,
Secretary.
Toronto, July 19th, 1920. 199
DIVIDEND No. 42
Notice is hereby given that a dividend of 1^4'' for the
three months ending June 30th, 1920, being at the rate of
7'f per annum on the paid up Preference Stock of this Com-
pany, has been declared, and that the same will be paid on
the 16th day of August next to Preference Shareholders of
record at the close of business. July 31st, 1920.
H. L. DOBLE,
Secretary.
195
Montreal. July 16th. 1920.
THE MERCHANTS BANK OF CANADA
QUARTERLY DIVIDEND
Notice is hereby given that a dividend of Three per
cent, for the current quarter, being at the rate of Twelve
per cent, per annum, upon the Paid-up Capital Stork of the
Bank, was declared, payable on 2nd August next to Share-
holders of record on the evening of 15th July, dividends on
new stock, computed in accordance with the terms of issue,
to be at the same rate.
By order of the Board.
D. C. MACAROW,
General Manager.
Montreal, 28th June, 1920. ^***
F. S. RATLIFF & CO.
FARM LANDS— FARM LOANS
STOCKS AND BONDS
Medicine Hot Albert*
liEOKCK EiiWAH'S. I < A. Akllii-K 11 KimAHiS. K.C.A.
H. Pkxcival Euwakdb W. PoMmnv .Mckioan A. G. Ki'WASOt
CHAS. E. WHITIi I ■ J. Macsamaka
O. N. EowAm).s I.CkMrNAS
A. L. Stkvkns W. H. Thumi->on
Tiio'- i'. Ucocil
;;. Piicr Rosiiiv
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
I UKUNTO
CALGARY
VANCOUVER
WINNIPEf;
MONTKEAI.
CORRESPONDENTS
HALIFAX. N ^
LONDON. KN'.
t A.NAI'IAN MUktliAt.E HUILIUNC*
HKKAI.I' tiriLDlNt.
LONDON IllILDlNr.
ELE< TKIC RAILWAY f.HAMHERS
McGILL BUILDING
ST JOHN. N B.
COBALT, ONI
NEW YORK. USA
THE MONETARY TIMES
Volume 65.
Bankruptcy Act Means Better Business Methods
Debtor May Be Forced into Bankruptcy if His Books Are Not Proper— Act Came
into Force on 1st of July— Defects in the Provincial Insolvency Legislation— Good
Accounting Methods Have So Far Been the Exception Rather Than the Rule
By ANGUS LYELL
ONE of the best provisions in the new Bankruptcy Act is
that which requires traders to keep proper accounts.
This does not merely mean records of cash receipts and pay-
ments and credit transactions, but also stock records. An
inventory has to be taken at least once a year. -The object
is to ascertain, in the event of failure, whether a merchant
has been acting honestly towards his creditors, in which
case he will have little difficulty in obtaining a discharge
in bankruptcy proceedings.
Of course, if a trader knew — which he does not — that
he would always remain solvent, he need not worry over
the keeping of adequate financial and .stock records, if he
can get along without such. But the dangerous thing in
connection vrith the new act is that, if a man gets behind
with his payments, a creditor can force him into bankruptcy,
when if it can be shown that he has not kept proper books,
he becomes liable to a heavy penalty. It would be wise,
therefore, for all merchants to see that their business records
can bear adequate scrutiny.
Delinition of "Proper" Records
There is also a penalty under the criminal code for fail-
ure to keep proper books with a view to defrauding creditors.
There have been few convictions, however, under this law.
It has usually been difficult to define just what are "proper"
books, and intent to defraud has, of course, to be proven.
There was a conviction recently in Calgary when William
Quirk and his son-in-law, S. H. Wallace — the members of a
cash grocery firm — were each sentenced to one month of im-
prisonment for failure to keep proper business records. Under
the Bankruptcy Act, however, conviction will be much easier,
because of the clearer definition of what constitutes proper
financial and stock records.
The Bankruptcy Act, which was assented to a year ago,
has now become operative. The delay in making it opera-
tive was due to the fact that a good deal of procedure had
to be drafted. There were rules of court to be drawn up, a
legal tariff of fees to be fixed to conform to the expenditures
allowed under the act, while uniformity in the various pro-
vinces is necessary because this is a Dominion measure.
Trustees Must be Competent
Since 1878 there has been no bankruptcy law in Canada.
The old act, which remained on the statute books for five
years, was repeated because it became unworkable. Most
of those entrusted with its administration were inefficient,
having secured their appointment through political favor,
and the cost of operation was excessive. Much care will be
exercised in the appointment of trustees under the new act,
to obviate the errors of the past.
Provincial Assignment Acts
With no Dominion legislation governing bankruptcy, it
devolved on the provincial legislatures to enact insolvency
laws. Each province passed its own measure under which
a debtor might make an assignment of his assets for the
general benefit of his creditors. These Assignment .\cts,
however, were by no means uniform in all their provisions,
and they contained no provisions under which a deserving
debtor might claim a release from his creditors. Such re-
lease can be claimed only in bankruptcy proceedings and the
Dominion government alone has the power to enact such
law. As a matter of fact, some debtors who had made an
assignment obtained a release from their creditors, some-
times on a compromise settlement over and above the pro-
ceeds of the assets assigned. Others did not. The result
was a tendency on the part of those who had failed in busi-
ness, but who had later met with success to so arrange their
afi^airs that they became proof against execution. They
usually did this by operating after their failure in the name
of somebody else. Nearly every sheriff could to-day point
out men, known to be well off financially, against whom
a writ of execution is valueless.
The result was that the business interests — the whole-
sale and retail houses, boards of trade, bankers and others —
felt that it would be to the advantage of all engaged in
business to have a unifoi-m bankruptcy law. If a man failed
in business but had acted honestly in his transactions, why
not relieve him of his liabilities, giving him another chance
to succeed ? Then in the case of joint stock companies, the
winding up of which have often been expensive under the
Winding-Up Act, mainly because of litigation, why not bring
these under the jurisdiction of the bankruptcy law, vesting
the trustee with greater powers than those of a liquidator?
Uniform Law Obtained
The business interests exercised pressure and to-day we
have the new Bankruptcy Act. But the measure is not de-
void of defects and in some ways may become a disappoint-
ment to its sponsors. While the fees of both the trustee
and his solicitor are limited by the act, yet the expenses in
some cases may be heavy. The measure is not lacking in
loopholes. All insolvent corporations, except building so-
cieties having a capital stock, incorporated banks, savings
banks, insurance, trust, loan and railway companies, come
within its jurisdiction; but these also, if so ordered by a
judge of the Supreme or Superior Court, may be wound up
under the Winding-Up Act. In practice, therefore, the only
important change may be that relating to the bankruptcy of
sole traders and firm.s or pai-tnerships. The new act, being
a Dominion measure, will likely supersede the existing pro-
vincial insolvency laws — Assignments Acts. Under it a
trader may bo forced into bankruptcy by his creditors or
he may voluntarily assign his assets to a trustee and make
the necessary petition to the court of relief.
The University of Minnesota recently made an investi-
gation into the records kept by one hundred and thirteen
retail stores and found that only 10 per cent, kept adequate
financial and stock records, while 40 per cent, had practically
no records at all, although engaging in credit transactions.
The other 50 per cent, purported to keep books, but the en-
tries were made in such a way as to be of little value. It
may be that as bad a condition exists in some parts of Can-
ada and, if such is the case, retailers should lose little time
in introducing bookkeeping and stock record systems adopted
to the needs of their business.
The annual report of the harbor commissioners of the
port of Montreal, covering operations during 1919, shows
there was only one serious accident in the year in the St.
Lawrence ship channel, and that the total cost of the harbor
work was $29,500,000. Total wharfage at the end of 1919
was 8,133 miles. Receipts totalled $1,990,594, a decrease of
$113,597 on the previous year and the cost of operation was
.?2,114,555, an increase over the previous year of $88,013,
leaving a deficit of $123,961.
July 23, 1920
THE MONETARY TIMES
36
t H ^ W W W B"
i
fe
A "Host" of Vacationists call this
AMERICA'S FINEST BOAT TRIP
All other holidays fade into insignificance when compored wilh ihe deliRhl. of lhi» «'";'",'P;
vacation. Experienced travellers come back year after year to experience the wonderful thrill ol
the •• St. Lawrence Rapids. ' A churning, splashinR. whirling volume of foam-la.hed walet.where
once only the skilful Indian would venture, but where now luxuriously appointed boati travel
with confident ease.
This is but one of the features that compel your interest in the trip from
y
a
Niagara to the Sea
f f
There's the delightful scenery of the Thou-
sand Islands- the sojourn in Quaint Quebec
—and finally the canyon-like scenery of the
Saguenay. where massive promontories rise
like giant obelisks and seem to touch the
very sky. Cape. Trinity and Eternity aic
higher than Gibraltar ; they and tht can-
yon of which they are a part, form • fillinii
climax lo a trip of incomparable charm and
interest.
Send 2c. postage for illuilraled booklet, map and iiuidr to
JOHN F PIEKCE. Pafengmt Traffic Martaa'r. Lartada
Steamship Line; 208 R. & O. Building. Montreal, Canada.
CANADA STEAMSHIP LINES LIMITED
THE MONETAl^. ^' TIMES
Volume 65.
Wheat Acreage Decreased Ten Per Cent.
other Grains, Excepting Oats. Also Register Declines. According to Latest Esti-
mate— Alberta Crop Conditions Ideal— Manitoba and Saskatchewan Need Rain-
Eastern Provinces Report Average Conditions— Lack of Moisture in Nova Scotia
ACREAGE sown to wheat, including fall wheat, in all
Canada, is now estimated at 17,186,300 acres, which
compares with 19,295,968 acres, the final estimate for 1919,
and represents a decrease of 10 per cent. Spring wheat, ac-
cording to the estimate of the Dominion Bureau of Statistics,
occupies this year 16,446,000 acres, or 11 per cent, less than
last year. Fall wheat acreage this year is 740,300 acres,
an increase of 10 per cent, over last year. Acreage in oats
has increased 4 per cent., from 14,952,114 to 15,555,400
acres. Barley is sown on 2,588,000 acres, or 2 per cent,
less than last year; rye, 729,500 acres, or 3 per cent, less;
peas, 2,588,000 acres, a decrease of 3 per cent.; mixed
grains, 909,350 acres, an increase of 1 per cent.; hay and
clover, 10,409,150 acres, decrease of 2 per cent.; alfalfa,
229,300 acres, increase of 1 per cent. The acreage in po-
tatoes is 819,000 acres, practically the same as last year.
The three prairie provinces have an estimated area
sown to wheat of 15,771,000 acres against 17,750,167 last
year, a decrease of 10 per cent. Manitoba has 2,687,000
against 2,880,301 last year; Saskatchewan, 9,440,000 acres
against 10,587,363; Alberta, 3,644,000 acres against 4,282,-
386 acres last year. The report from the bureau says:
"Upon the whole, the conditions of field crops at the end of
June is very favorable, timely rains having fallen in the
prairie provinces during the critical period of growth. E.\-
pres?ed numerically in percentage of the decennial average,
1910-19, the conditions for the whole of Canada on June
30th, with the corresponding condition for 1919, in brackets,
is as follows: —
"Fall wheat, 97 (102) ; spring wheat, 100 (90) ; oats,
100 (87); barley, 98 (91); rye, 98 (97); peas, 96 (92);
mixed grains, 99 (91); hay and clover, 88 (92); alfalfa, 95
(96); pastures, 97 (100); potatoes, 98 (95). A telegram
from the Saskatchewan department of agriculture stated
that the general crop conditions in the province are fair,
rain, however, being urgently needed to ensure the antici-
pated crop."
Bank of Alontreal Report
The outlook in the province of Alberta has been greatly
improved by recent rains, according to reports recently re-
ceived by the Bank of Montreal. In Saskatchewan" and
Manitoba rain is needed. Brief stetements follow:— Ed-
monton District— Weather conditions excellent. A\\ wheat
in shot blade, some heading out. No damage of any kind.
Calgary District— Outlook greatly improved by" recent
rains. AH sections of the district now expecting from fair
to heavy yield of grains, and large hay and feed crops.
Lethbridge District — Prospects much improved by re-
cent rains, grain still somewhat backward, but growing
rapidly. Good average yield expected, excepting some locali
ties north and west, where damage by wind is reported.
Saskatoon District— Within a thirty-mile circle of
Saskatoon farmers are likely to get little more than seed.
Other districts fair to good. Rain required.
Regina District— West, good. East, fair to good. Rain
needed. Reasonably look for average crop, and probably
better with favorable weather conditions.
Winnipeg District— Many districts need rain. Wheat,
60 per cent, headed out. Coarse grains in healthy con
dition. Pasture drying out in some districts, but cattle do-
ing well.
Quebec and the East
Reports from the different sections of the province of
Quebec indicate all crops, especially grain and hay; much
improved by recent rain, and in some localities an average
cut of hay is anticipated. Roots are doing well. Grass
pasture reported from fair to good; according to locality.
General prospects good.
Timely rains and favorable conditions have greatly
improved the general prospects in Ontario during the past
two weeks. Hay crops will be heavier than was expected,
and other crops will make up for deficiency in localities
where it falls below average. Cutting in full progress. All
root crops in excellent condition. Grain well up to average.
Excellent yield of all varieties of fruit appears certain.
Some damage by hail, but effect strictly local. Farmers
optimistic in nearly every district over prospects of best
general crop in j-ears.
Maritime reports indicate that recent rains have been
beneficial and New Brunswick reports that grain crops,
principally oats, promise to be about average. Hay, how-
ever, is reported light; probably 80 per cent, of an aver-
age crop. Potatoes doing well, and the outlook is generally
satisfactory.
Weather is favorable in British Columbia. Fruits, 25
per cent, below last year, but size and color better. Roots,
fair crop in Okanagan and Cariboo; other districts, good.
Grains show improvement. Prospects good in Coast Dis-
trict; fair in interior. Hay, light crop throughout. Pastur-
age satisfactory.
Ontario Conditions
A summary of the weekly reports made by the agri-
cultural representatives to the Ontario Department of
Agriculture to July 20th, states that fall wheat cutting be-
gan last week in some of the southwestern counties, and by
the end of the present week hai-vesting will be general over
a large portion of the province. Elgin and Norfolk report
serious injury to the crop from the Hessian fly in the
western parts of those counties. Late sow-n wheat did best
in this connection.
The harvesting of fall wheat will overlap haying in
many quarters, as the showery weather of the last two or
three weeks interfered considerably with the cutting, cur-
ing and storing of clover and other hay crops. Barley and
oats are referred to as looking most promising, both for
straw and grain. Spring wheat is described as doing only
fairly. Hay is roughly estimated as gi\nng at least a
three-fourths yield; but the second growth never made a
better start, and a good later cut is looked for. Corn is
now growing rapidly, and good returns are expected. To-
bacco has made great growth in Norfolk, some leaves
measuring 24 inches in length and 18 inches across, with
18 inches of stalk.
Potatoes are referred to by several representatives as
promising generous yields, and, where hoed, all root crops
are in more or less good condition. Showery weather made
the fields unusually rank with weeds, and also prevented
early hoeing. Buckwheat is also looking well, and more of
it is being grown. Lincoln reports a heavy drop of Alberta
peaches, but says that there will be sufficient left on the
trees to proluce a good yield of first-class fruit. Reine
Claude plums have also dropped heavily. Middlesex states
that much injury has been done to raspberry plantations by
the cane-borer. Victoria reports that grasshoppers are just
now vei->- numerous in the ranchin<r country in the town-
ship of Sonierville.
Cattle are in good general condition, and are selling at
from 9 to 16 cents a pound. Veal calves are bringing from
13 to 16 cents a pound. Manitoulin says that up to $90
is being paid for two-year-old cattle. Milk production has
(Continued on page 56)
July 23, 1920
THE MONETARY TIMES
87
^iiiiiiiiiiiiitninniMiiiiiiiiiintiiiiiiiiiiiuiuiiiiiuiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiniMiin iiiiiiiiiy
I CHARTERED ACCOUNTANTS |
iiiintiiniiiiiiniiniiHiiiiiiiiiiiiiiiiniiiiiniiiiiMiiiiiiiiiniiiMiiiiiiiiiiniiuiniiiiiiiniiiiiiiiiiiiiiiiiiiiiiiniiiiniiiiiiiiiiininiiiiiiiniMiiiiiiii^
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OFFICKS AT
Edmonton - ■ Alberta
Toronto Ont.
CHARLES D. CORBOULD
Chartered Accouottnt anJ AuJilor
ONTARIO AND MANITOBA
S49 Somerset Block. Winnipeg
HARBINSON & ALLEN
408 Manning: Chambers
TORONTO
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Bank of Toronto Chambers
LONDON ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
i-,st..b: .|u.; '■-.
W.A.Henderson
vK..tlr.eo A l«.
508-509 EUclric RiUwajr Ct
Winnipcf, Mas.
&Co.
aabcri
W. A. Henderson. C. A. J.J.C
tjhlc Addre-i^ '(Irnilir" Wei-Iero
irJncr. CA.
t r.onCndr
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:
HAMILTON
WINNIPEG
CLEVELAND
D.
A. Pender, Slasor& Co.
CHARTERtD ACCOLNTANTS
805
Coniederation Liie
Winnipeg
Building
SERVICE
Thorne, Mulholland, Howson & McPherson
CHARTERED ACCOUNTANTS
.ISTS OS Factorv Cc
.'?;:*' 3420
Ham^Uo^ne'ld. TORONTO
Hubert Reade & Company
Cbarlered Accounlaa
Auditor). Etc.
•
•107 408 MONTREAL TRUST
WINNIPEG
BUILDING
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone M.in 7014
LUMSDEN BUILDING - - TORONTO, CANADA
RONALD, GRIGGS & CO.
RONALD. MERRETT. CRICCS k CO.
Winnipei, Toronto. Sa»liatooD, Moon Ja»
Monlrttl. New York. Losdon. Enf.
CLARKSON, GORDON & DILWORTH
Chartered Accouritarits. Trustees.
Merchant- Bank Bld«!7s WeT.inZn Street West ^ Toron^
KstJblishkJ \^'A n. J. D'lwoi
Your card hen- would .«s,,rr it hcinf uc« hy ihf principal
financial and commercial inlereili in Canada.
■Uk about special rata f"< '*'» />"«'•
F. C.S. TURNER & CO.
Charl-r<-d A.i..,ii,t» .t^
TRUST k LOAN BUILDING, WINNIPEG
RUTHERFORD WILLIAMSON k CO.
/..«,.,,/.l...r.
as Xi.ruiiT srsin i:».t TOMiinTO
«i« XlaJltL lltli...»n. M<1NTKRAL
Cable AdJr«««- ' WILLCO '
l<ri.te«nlrd at HsMa.. 81. Jfh" W >nnip.«.
Vancouver
THE MONETARY TIMES
Volume 65
AMERICAN
AND CANADIAN MORTALITY
EXPERIENCE
Accidental Death Rate Higher in Canada, but Fewer Deaths
from Certain Diseases — Variations Among States
THE joint committee of American and Canadian actuaries,
which has been engaged in investigating American-
Canadian mortality experience for the past five years, has
collated the result of its enquiry in two volumes: the second
and completing volume has just been published. The first
volume deals — namely, with a series of tables of modern
mortality experience among American men and women, and
among Canadian men and women, under a variety of stand-
ards and comparisons of actual with expected deaths for
varying peiiods; the second gives a comprehensive analysis
of experience under the various plans of insurance — ordinary
life, limited payments, endowments, conversions, etc., also
tables showing mortality experience among American and
Canadian men and American and Canadian women, accord-
ing to place of residence, with a very complete analysis of
causes of death.
These analyses present some very interesting compara-
tive data. For example, the tables show the different mor-
tality rates in New England states, as compared with the
middle Atlantic and southern states. Similarly, a compari-
son of deaths by various causes between Americans and Cana-
dians reveals the interesting information that, while Cana-
dian mortality from accidental causes is higher than among
Americans, the deaths from cerebral haemorrhage and
apoplexy, organic diseases of the heart, diabetes, nephritis
and Bright's disease, were much higher among Americans.
High Mortality on Large Risks
With limited data before them the committee attempted
a study of the experience of several companies on policies
aggregating .$.50,000 or more on a single life. The results
indicate that the mortality experience is somewhat higher
in the case of such lines than the general experience of the
companies on risks of all amounts. Of this the committee
says: "It seems to be certain that the mortality among large
risks taken at one time is higher than the average for risks
of all amounts. It is probable, on the other hand, that the
mortality on cases from $.50,000 to $100,000 inclusive, on
persons who have gradually increased their insurance as their
means permitted, over a series of years, would be satisfac-
tory. There is a general belief that a good mortality could
be obtained on policies of $100,000 or more, taken in one
application, provided the so-called moral hazard could be
eliminated, and provided men who had overworked in attain-
ing their wealth could also be eliminated. At the present
time there is probably a smaller proportion of cases involv-
ing moral hazard for large amounts than in previous years,
as many men ai-e now making provision for payment of in-
heritance taxes through insurance, and as it has become a
commercial practice to insure for the benefit of the corpora-
tion the employees who are necessary for its success."
NEW .MONTREAL INVESTMENT HOUSE
Offices of N. A. MacDonald & Co., Inc., a new invest-
ment house, will be opened at Monti-eal and Ottawa. The
head office, Montreal, in the Royal Insurance Building, 2
Place D'Armes Square, will be under the management of
Stanley MacPherson, formerly of Hanson Bros., while
O. Drummond Burn will have cliarge of the Ottawa branch
in the IJnion Bank Building of that city.
The company, while essentially Canadian in manage-
ment, is closely allied with the banking house of N. A.
MacDonald & Company. Incorporated, with head office in
Buffalo, branches in Rochester, Hartford, Ivockport and has
connections through private wires with Messrs. Hornblower
& Weeks, of New York, Boston, Chicago and elsewhere.
The company will specialize in government, provincial,
municipal and industrial bonds.
PROPERTY LISTED IN SCHEDULE TO WILL
This Does Not Prove Ownership, Nor Affect Right of Any
Claimant to Assert His Rights, Says Supreme
Court of Alberta
EVEN though property is mentioned in a schedule of
assets in papers leading to a grant of administration,
this does not finally decide that such property belongs to
the deceased, according to a judgment of the Supreme Court
of Alberta on March 26th of this year. It is pointed out
by the court, however, that claimants to such property may
assert their rights freely-, for the appointment of the ad-
ministrator allows the claimant to take the initiative and
proceed against a definite person ; and a person resting his
claim on a mere right of possession will know who alone
can begin proceedings against him.
Acquired Property Under Statute of Limitations
The facts of the particular case were in brief that a
man named Butterworth had acquired title to a quarter
section of land by homesteading prior to 1897, that he had
then left the neighborhood, apparently intending to go to the
Y'ukon, and that he had not since been heard of, that no
trace of him could be found, and it appears that he had left
no next of kin and was not married. Nelson, wh,o was a
neighbor and close friend, was told by Butterworth before
leaving that if he did not return he could have the land. On
the strength of this Nelson went into occupation and con-
tinued so, undisturbed, until 1914, so that the Statute of
Limitations had apparetnly run in his favor. In that year
he sold the land to Cranston for $1,000.
Claimant Can Assert Right
In the papei's upon which the application for ad-
ministration was made, the land is mentioned as the only
asset of the estate. Cranston by his solicitor appeared and
opposed the application for administration. His Lordship,
in deciding on the right of Cranston to intervene and oppose
the grant, says in part, "The mention of a particular piece
of property in the schedule of assets in the papers leading
to the grant does not decide finally that that property be-
longs to the deceased. Any person claiming to own the
property described is just as free as ever to assert his
right. And indeed it is only by the appointment of an ad-
ministrator that any person is named against whom he can
proceed to assert his right if he needs to take the initiative
himself as perhaps he doss where the deceased is at any
rate the registered owner. Of course, if he intends to rest
on a mere right of possession he will not need to begin
any proceedings, tut at any rate he will know who it is
that alone can bring proceedings against him."
FIXING SUCCESSION DUTY RATE
In fixing the rate of succession duties on big estates
where part of the estate lies outside a province, the province
is allowed to take into account the total value of the estate,
according to a judgment of the Supreme Court of Canada,
handed down on July 12, in Ottawa. At present time some 20
large estates in British Columbia are held up in the parlia-
ment buildings awaiting this decision.
The case on which the decision has just been handed
down has to do with the estate of Sir William Van Home,
former president of the Canadian Pacific Railway. When he
died a few years ago his total estate was valued at $6,000,-
000, of which $.300,000 was in British Columbia. Hon. John
Hart, Minister of Finance, claimed that in fixing the rate of
succession duty he could strike the rate for the $300,000 in
the province on the basis of the rate for a $6,000,000 estate.
He argued that in assessing the succession duty he could
take into account the property of the deceased, both within
and outside the province, both as to the liability of the
estate to pay duty and as to the rate. The case went on to
various courts, with the result that the minister's conten-
tion has been upheld.
July 2.5, 1920
THE MONETARY TIMES
39
= '"" """' ' """ ' ""•iiiiiMiMiiiiiimiiiiimiMiimii iiiiiiiiintiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiniiMiiiiiiniii miiiiiu
I REPRESENTATIVE LEGAL FIRMS |
'• I'liiiimmiimni niii imiiRim mimmmimmmimiiiimmimnim i iiiiiiniiii Mniiiiiiiniiiiiiiiii?
BRANDON LETHBRIDGE, Alta.
REGINA
J- p. Kilgour. K.C. G. H Foster
R. H. McQueen
KILGOUR, FOSTER & McQUEEN
Barritteri, Solicitors, Etc., Brandon, Mui.
Solicitors for the Bank of .Montreal The
Royal Bank of Canada. Hamilton Provident
and Loan Society. North American Life
Assurance Company.
Conybeare, Church & Daridson
Barristera. Solicitors, Etc.
S>ohcitors for Bank of .Montreal. The Trust
and Loan Co of Canada. British Canadian
Trust Co.. Ac. Ac.
C. F. P Conybeare. K.C.. H W. Church. M.A.
R. R. Davidson. LL.B.
Lethbridse ... Alta.
A L Gorj
H. E. Keo
on K C 1'. H liorjon. B C L
vn K !■ Coll.^^
Gord
on. Gordon, Keown
and Collins
Ba
rriafera, Solicitora, Ac.
Aldon
Building, REGINA, Saak.
s,-._-.t..
- f.r Im «.r J HjnU „( CinsJ.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal BIdg.
CALGARY - - ALTA.
LENT, MACKAY & MANN
BarrUI«ra, »ollellors. .Vutarlrt, etc.
305 Grain Exchange BldB . Calgary. Alberta
CabUAddrett.'Lenjo." Western UnionCode
Solicitors for The Standard Bank of Canada.
The Northern Trusts Co.. Associated Mort-
gafle Investors. 8rc-
Hon. Sir James Lougheed. K.C. K.C.M.G..
R. B. Bennett. K.C. J. C Brokovski. K.C
A. M. Sinclair. K.C. D. L. Redman. H. E.
Forater. P. D. .McAlpine. O. H. E. .Might. L.
M. Roberts. ''Cable Address "Loughnetf)
LOUCHEED, BENNETT & CO.
Barristers. Solicitors, Etc,
Clarence Block. 122 Eighth Avenue We«t
CALGARY. .'VLBERTA CANADA
WRIGHT & WRIGHT
Barristers, Solicitors, Sotaries. F tc
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. AC. Rutherford. K.C.L.- D
P. C Jamieson. K C. Chai H. Grant
S. H. .McCuaig Cecil Rutherford
RUTHERFORD, JAMIESON
& GRANT
Barritteri, Solicitort, Etc.
514-18 McLeod BIdg. Edmonton, Alberta
L, M. J.jhnstone. K.C. J. N.>rman Rit,;hic
W. S. Gray
JOHNSTONE & RITCHIE
Barrijheri. Stilicitors, Nol.iriei
LETHBRIDCE Alberta
MEDICINE HAT
G. K. H. Lov... LL B J W. Si ti .ht H A
LONG & SLEIGHT
Barritteri, etc
MEDICINE HAT and BROOKS. Alta.
MOOSE JAW
Grayson, Emerson & McTaggart
Barriatera, Etc.
Solicitors-Ujnkof Monircjl
Canadian B.inU of Commtrce
Moose Jaw - Saskatchewan
NEW YORK
NEW YORK
WILLIAfVI BRUCE ELLISON
Called to Untano Bar 18KU. New York Bar IKHV
ELLISON. ELLISON & FRASER
IU5 Krt>a<l>»B7, >e»» lork
ELLISON. GOLDSMITH A ALLEN
■•-.I «e.l llHth ••I.. %<••• ».irU
PRINCE ALBERT
COLIN E. BAKER, B.A.
Solicitor lor the City o( Prince Albert
IIV1PERIAL BANK BUILDING
PRINCE ALBERT. SASK.
SASKATOON
C 1.
DL
I) 1 . 1! A
RIE & V
h M ^^ . ..
IIKO 1
VAKELING
IUrrl,l<T> a
III •xillrllor.
Soli
Great
Monar
itort for the Ba
Welt Perma
ch Life Assuran
nk of Hamilton.
nent Loan Co.
eCo.
THa
The
faaai
a liullillot
KaakatoaB, <'a
aada
r J.McAughey.O B.B.
LOCKE & McAUGHEY
Barri.trr.. Solicitor., Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
D.'s WallhriJic A H.l>.H)«la« JO O.haoo
BOWSER. REID, WALLBRIDGE
DOUGLAS & GIBSON
Barriatera. Solicitor., t.tc.
Sjl.citor. fur U.nk .1 Hr.l.-h S..ilh V-.cn..
YORKSHIRE BUILDING
S2S S.y-our St. VANCOUVEI, B.C.
VICTORIA
A E ULNLiii- h H M tool
(K C for Altierlal Mcn.hcr of Manitol
U-mber of N.'Va So. and llr,t..h Columh
,a. Alherla and Hnt l«>r>
i«h Columbia Bar^
DUNLOP & FOOT
Bnrrialrra. Solicitora
Nolnrle-a itnd Commlaalonera
6ir.«l.t .S.rw«r,l Bldu
Victoria. BnH«l> Colum>»». C«n»J»
I'sar Card hrrr wtuU rmiurr it itimi
ttrm by tki firineipal fimamriti and
eommrrrial imitreili i* Camada.
Att ahomi i/ircial rairt fir
ikil patt
u
Th
e
Monetary
Times"
will be sent vou lor four months on
our TRIAL SUBSCRIPTION plan for
$ l.OO
Jl
1st sen
d a
dollar bill and your name nnd addre^aa.
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE REALTY
432 Pender Street, W., Vancouver, B.C.
Ilr J.W .MAIIA.S J A AKMMAN
PrMiden- Manjj.ns Director
THE .MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
Three Million Dollar Pulp Mill Will Be Valuable Asset For Fort William— Saskatchewan
Plant to Utilize Waste Straw For Paper Making— \ancouver Industries Obtain Loans From
Provincial Government— Large Wholesale Warehouse For Edmonton— Alberta's Wool Crop
SOME interesting facts have been made public regarding
the I'ort William Pulp and Paper Company, of which
passing mention was made in these columns last week.
While the city council has to pass upon the agreement, and
submit the by-law authorizing tax exemption and additions
to the utilities to the ratepayers, it is not expected that these
formalities will delay the undertaking. The plant, which is
expected to be ready by January, 1922, involves the outlay
of $3,000,000. The driving of test piles by Barnett-McQueen
and Company, Fort William, by whom the principal contract
is being undertaken, has already been commenced.
Using pulp to be cut from limits between Fort William
and Siou.x Lookout, which is estimated to last for about
forty-five years, the industry will start viith one hundred
men, enlai-ging to 350 men on the local end, and operating
up to 1,000 men, when the pulp camps are in operation. The
limits secured by permission of the Dominion government,
are known as the Farlinger-MacDougall limits. Kaministi-
quia power will be used, and when the plant is working to
capacity the output, it is stated, will not be less than 100
tons daily. Extension of street car facilities to the site, and
completion of the mission driveway so that vehicles may
operate direct to the mill, are included in the city's end of
the bargain. About one third of a mile is the extent of the
street car extension, but the additional expenditure should
be taken up by the increased revenue from mill employes.
The company will divide its work in two sections. First
attention will be paid to the erection of the pulp-grinding
plant. This will cost a million, exclusive of the cost of the
site, which has been leased from the government. Here the
logs will be ground into pulp ready for receipt by the paper
mill, a department which will cost two millions to build.
The whole enterprise should be ready for normal output by
the beginning of 1922, so that the mill takes a little more
than a year to get into shape. In the meantime a large
number of men will be at work on construction, not only of
the mill, but also of the street car extension, road building
and camp sites in the woods. Pulpwood limits acquired
include 1,000 square miles of limits on the Grand Trunk Paci-
fic between Fort William and Sioux Lookout, known as the
Farlinger-MacDonald limits. The lease is to run for twenty
years, with a privilege of renewing for two further periods
of 25 years each.
The Mead Investment Company, of Dayton, Ohio, who
are stated to control fourteen per cent., of the news-
print supply of the United States, will be the controllers of
the new company. It is understood that John G. Sutherland,
of Dayton, Ohio, will be the president of the company.
H. J. Wekman is the company's representative at Fort Will-
iam now, and is in charge of organization.
Lumber and Paper Prospects
Southern Saskatchewan is being surveyed by W. R. Phil-
lips, of Trenton, Ont., with a view of establishing a $1,000,000
paper mill. Thousands of tons of waste straw in the province
will be used in the manufacture of the product, and large
financial interests in Toronto are behind the project. As to
the success of such a venture, Mr. Phillips is most optimistic.
A plant already in operation in eastern Canada has proved
most successful, while in the United States there are several
mills in operation. Experiments have shown that a ton of
paper can be manufactured from two tons of straw, while two
tons of coal would be necessai'y for power, the paper could
be turned out at a considerably lower price than that now
charged for the pulpwood product.
For the first six months of 1920. British Columbia has
shipped 29,000.000 feet of lumber. Orders are on hand for
approximately 36,000,000 feet. These orders include 2,900,000
feet for South Africa; 14,000,000 feet for the United King-
dom; 700,000 feet for West Coast of South America, 18,000,-
000 feet for Australia; 3,000,000 feet for New Zealand. There
are lai'ge enquiries for railway ties from India and the
United Kingdom. This is a very important matter for the
mills of British Columbia, as the grade of lumber used in
these ties takes up a portion of the logs which does not go
into merchantable lumber. Australia and New Zealand are
in the market for large quantities of lumber, and the pros-
pect for increased business is good.
The Gillies timber limit, on the French River, will shortly
be thrown open to the mining prospector. These limits were
withdrawn from prospecting, but practically the whole area,
with a reservation in the south, may be entered by prospec-
tors after July 20, by virtue of an order-in-council just passed
by the Ontario government on the advice of the minister of
lands and forests. The lands are added to the Timiskaming
mining division. Those lands still withheld by the Crown
against prospecting include the right-of-way of the Cobalt
Power Company, and the right-of-way of the Cobalt Hy-
draulic Company's Transmission line, both 100 feet wide.
The British Columbia Mills, Ltd., incorporated at a
million dollars, will shortly commence the construction of a
large saw mill at Wattsburg, B.C. The syndicate, which is
organized on American capital, has secured large timber
limits in the Cranbrook district and the new saw mill will be
in operation by next spring.
A large pulp mill plant is about to be erected between
St. Romuald and New Liverpool, at Levis, Que. The company
will begin doing business with a capital of $5,000,000 under
the direction of John Breakey, of Breakeyville, Levis.
Loans for Vancouver Industries
Approval by the British Columbia government, on the
recommendation of the depai-tment of industries, has been
given in regard to the loans to the following Vancouver com-
panies, which are either commencing or enlarging their
plants: Canada Western Woollen Jlills, Ltd., $30,000; Stettler
Cigar Factories, Ltd., $25,000; Aetna Saw company, $15,000,
and Standard Shoe company, $15,000.
The Stettler Cigar Factories, Ltd., of Stettler, Alberta,
which located in Vancouver some yeai's ago, was contem-
plating leaving Vancouver and removing to Eastern Canada,
owing to difficulty over securing a suitable larger factory
and having to finance the storage of home-grown and other
tobaccos during the three year period of curing. The loan
made by the government on the recommendation of the indus-
trial department is to be used for the purchase of a suitable
factory with storage facilities, and means that the company
will make its permanent home in the city of Vancouver
instead of in Eastern Canada.
The advance of $30,000 to the Western Canada Woollen
Mills, Ltd., supplements the capital of the company, which
has about $100,000 worth of machinery installed in the new
factory at the corner of Hastings east and Clark drive, and
has commenced the manufacture of woollen blankets and
tweeds from home-grown wool. With the advance of $15,000
to the Aetna Saw Company that organization is to instal a
tempering plant at its factory on Industrial Island and in
future will do its own work in this line. It is understood
that the company will also enlarge its output so as to manu-
facture cross cut hand saws as well as circular saws.
The Standard Shoe Company, which has had its private
capital augmented by a loan of $15,000 from the industrial
department of the provincial government, is a new boot and
July 23, 1920
THE MONETARY TIMES
The Imperial
Guarantee and Accident
Insurance Compciny
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accideni Insurance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - - . S-2O),000.00
Authorized Capital Sl.OOO.OCHi.OO
Subscribed Capital Sl.OOl.OiKJ no
Government Deposits Slll.OfXi.tifi
I O MOOM GUARANTEE AND
L^VJ l^ LJKJ rS ACCIDENT COY.. Ulmlted
Head Office for Canada
Toronto
L «h,lity. hici j!or. Contract. I'cr«on»l AcC.JcBt. FiJelil)
aotce. Internal Kcvenuc, Sickncn. Court Uondi.
Tcamk ami Automobile.
ANt> FIRE INSURANCE
IT PAYS TO INSURE YOUR AUTOMOBILE
The Canadian Surety Company
Xfiiximum Service.
Sfinimum Cosl.
CANADIAN STRONG PROGRESSIVE
FIRE INSURANCE
AT TARIFF RATES
ahr Ilninn ^^^^
Insurance Company. Limited, of PARIS. FRANCE
Capital fully subscnbcj 5<)% pud up 9 1.000.00000
Pireand<;cni-r.il Rcicrvc Fund» g,27O.0O0.O0
Available Balancefrom Profit and Lox Acoount iVSSI.OO
Net premiums in I9l<l tstttuvvo
Total Lassci paid to Jilt December 1919 I I4.MU.O00 0(i
lian Branch. 17 St. John Street. Montreal: .Manatcr (or Canada.
■CP PrHBAjiD. Toronto Office-.. J. H. Ewavt. Chief Alcnt. U \V*Uin(
n St Ea>it: R H Rica » Sovt. Toronto A«cnti. «. Victoria Si
General
Fire
lainrtnce
Accident
UeaJUi
Fidelitf
Bonds
Plate
Glass
Bnrglarjr
A. E. Hiia. Vice-PrtsiJei
J O. Meun. Sec -Treas.
Capital Subscribed
$500,000
-XIM0
ifelSiaLTYGoS!
WwsrpjEo
Good Openi
lOlh Floor, Electric Riilvray Cbambers
igB for Live Asents
THE EMPLOYERS'
LIABILITY ASSURANCE CORPORATION
OF LONDON, ENG. l-lMltH)
ISSIES
Personal .Accident Sickness
Einplovers' Liability Automobile
Workmen's Compensation Fidelity Guarantee
and Fire Insurance Policies
C. W. I. WOODLAND
General Mntiajjer for Ciinii nul Ncu l.uiiill.uil
Lewis KuildinK. JOHN JKNKINS. Temple HUIk
MONTRKAI. Fire ManaKtr Tl)R()NT»>
Commercial Union Assurance Co.
Limited, of London. England
Capital Fully Subscribed 5 14.750.(H>0
Capital Paid Up 7.375 (XM)
Total Annual Inconie Excee is T.l.tMlo.tKK)
Total Funds Exceed jniMKKi.tKK)
lirail «nire Tanaillnn llrmirli :
COMMERCIAL UNION BUILDING - MONTREAL
W. S. JOPLING. .Man,wei.
Toronto Office - 49 Wellington Street Eait
GEO. R. HARGRAPT. General Agent for Toronto and County ol Vork
Automobile-- 1 920--Season ";
I
Policies to cover ANY or ALL motorinjr riik» g
ATTRACTIVE AGENCY CONTRACTS I
British Empire Fire Underwriters |
82-88 Kinjr Street Enst, Toronto 1
THE MONETARY TIMES
Volume 65.
shoe manufacturing concern comprised largely of the heads
of departments of other such concerns in the province.
Large Warehouse for Edmonton
With the completion of a building, which has recently
been planned for Revillon Wholesale, Ltd., Edmonton, Alta.,
will have the largest commercial warehouse building in
Canada, according to M. J. Hutchison, associate secretary of
the Board of Trade. This structure will contain 11 acres
of floor space and will extend 350 feet on 104th street and
135 feet on 102nd ave., and will tower 9 stories from the
side-walk. At present the Revillon warehouse measures 150
feet by 135 feet, 6 stories in height and work was commenced
some little time ago on the erection of a 200 ft. addition
along 104th st., and upon this, eventually, the nine stories
will be built, together with three additional stories to the
original building. In the meantime, however, the company
only plans to build, this year, two stories to the addition,
leaving the construction of the plans of the structure until
the price of building material has been reduced somewhat.
Starting originally in 1903 as a wholesale branch for the
purpose of supplying their own trading posts, this depart-
ment of Revillon Bros, was continued until 1912 under that
name, when a reorganization took place, the new firm being
known as Revillon Wholesale, Limited. At the present time,
not moi-e than 2''< of their business is with their own posts.
In 1912, coincident with the reorganization and the change
in name, the building, which up to the present has been the
largest wholesale, warehouse in Northern Alberta and one
of the most extensive in the West, was built and occupied.
This is the only large wholesale house in Canada handling
general lines, five departments being maintained, namely,
dry goods, groceries, hardware, drugs and paper and
stationery.
COBALT ORE SHIPMENTS
The following were the shipments of ore, in pounds,
from Cobalt Station, for the week ended July 16: La Rose
Mine, 90,666; Dominion Red'n, 64,000; Nipissing Mine, 86,390;
Temiskaming Mine, 82,366; Hudson Bay, 60,293; Coniagas
Mine, 61,305; total, 445,020. The total since January is
12,991,139 pounds, or 6,495.5 tons.
LIFE ASSURANCE AS A SOCIAL FACTOR
"Life assurance has been evolved by tue demand of the
homes for protection from the assaults of poverty, distress,
crime and a thousand kindred evils which inevitably follow
the death of the breadwinner of the home", said Thomas J.
Parkes in addressing the Rotary Club, Shei'brooke, Que.,
recently. Mr. Parkes, who is manager of the eastern town-
ships division for the Sun Life, spoke on "Life Insurance as
a Factor in Social Economics." He compared the importance
of life insurance to that of the church and of the state.
"While schools and religion must rank first as promoters of
education, morals and religion, life assurance easily takes
second place to them by its indirect aid to these paramount
necessities."
Mr. Parkes quoted figures to show how life insurance
benefits the community by lessening poverty and crime, and
by increasing thrift. "Nor must it be overlooked," he added,
"that the more recently exploited field of partnership or
corporation insurance furnishes further facts for proving life
assurance a beneficient factor in social economics. More
than one large business with its ramifications affecting the
families of thousands of dependent workmen and clerks has
been saved from disaster,- or, at least, from being seriously
crippled, by a policy carried on the life of its executive. I
would instance F. H. Peavey, the Minneapolis elevator man,
whose $1,000,000 insurance paid at his death brought relief
to his successors and enabled the banks to furnish credit to
continue the business. No insurance on his life might have
spelled disaster to many a farmer scattered over the vast
prairies of the west."
NEW INCORPORATIONS
Spruce Falls Co., Ltd., 87,000,000— Wm. Southam and Sons,
Ltd., SS.OOO.OOO— Willard Chocolate Co., .$3,250,000— Hotel
Chaniplain Co., Ltd., §2,000,000- Winnipeg
Motor Cars, .$1,000,000
The following is a list of companies recently incor-
porated under Dominion and provincial charter, with the
head office and the authorized capital: —
Coderich, Ont.— Alkyris Mines, Ltd., $1,000,000.
London, Ont.— London Paper Co., Ltd., $150,000.
Juniper, N.B.— Juniper Lumber Co., Ltd., $49,000.
Oyen, Alta.— The Reliance Hardware, Ltd., $20,000.
Winnipeg, Man.— Winnipeg Motor Cars, $1,000,000.
Hanna, .\Ita.— Wolfgang and Samson, Ltd., $20,000.
Consort, Alta.— The Consort Hotel Co., Ltd., $15,000.
Kapuskasing, Ont.— Spruce Falls Co., Ltd., $7,000,000.
Brantl'ord. Ont.— Brantford Nut Krust, Ltd., $20,000.
Carleton Place, Ont.— Bates and Innes, Ltd., $800,000.
Chatham, N.B.— The North Shore Motors, Ltd., $45,000.
St. John, N.B.— The Hotel Champlain Co., Ltd., $2,000,000.
Three Hills, Alta.— The Palisade Coal Co., Ltd., $60,000.
Port Clements, B.C.— Port Clements Club, Ltd., $10,000.
Victoria, B.C.— North-Western Cattle Co., Ltd., $250,000.
Haileybury, Ont. — Whitney-Porcupine Gold Mines, Ltd.,
$40,000.
Woodstock, Ont. — The Kennedy Car Liner and Bag Co.,
Ltd., $100,000.
Sault Ste. Marie, Ont.— Sault Ste. Marie Curling Club,
Ltd., $40,000.
Hamilton, Ont.— Hamilton Nut Krust, Ltd., $20,000; Wm.
Southam and Sons, Ltd., $5,000,000.
Edmonton, Alta. — Capital Thrasher and Tractor Co., Ltd.,
$100,000; the Traill Investment Co.. Ltd., $5,000.
Quebec, Que. — Morissette and Levesque, Ltd., $99,000;
Bale Saint-Paul Pulpwood and Spoolwood Co., $19,300.
Sherbrooke, Que.— Sturdy Investments, Ltd., $10,000;
Newton-Dakin Construction Co., Ltd., $250,000; Agence Mer-
cantile de I'Est, Ltd., $5,000.
Calgary, Alta.— Mud Butte Oil Fields, Ltd., $1,000,000;
the Bachelors' Association, $5,000; the Coast Timber and
Trading Co., Ltd., $1,000,000; the Northern Pictures Cor-
poration, Ltd., $125,000; the Gilbert Mercantile Co., Ltd.,
.$5,000; Guyburt Oils, Ltd., $100,000; Hutchings Garage Co.,
Ltd., $100,000; the Jeffrey Drug Co., Ltd., $20,000.
Vancouver, B.C.— Vogue, Ltd., $25,000; National Develop-
ment Co. of Canada, Ltd., $500,000; Coast Lands, Ltd., $10,-
000; New British Columbia District Telegraph and Delivery
Co., Ltd., $120,000; Sign-a Time Corporation of British Col-
umbia, Ltd., $50,000; British Columbia Theatre Supplies,
Ltd., $50,000; Western Truck Lines, Ltd., $100,000; Glacier
Lumber Co., Ltd., $20,000.
Toronto, Ont. — Canadian Cinch .Anchoring System, Ltd.,
.$20,000; Rex Fancy Goods Co., Ltd.. $40,000; Winchester
Garage Co., Ltd., $10,000; Mechanical Trades Co.. Ltd., $40.-
000; Willards Chocolates, Ltd., $3,250,000; Twentieth Cen-
tury Bagholder Co., Ltd., $40,000; Saulnier Hat Manufac-
turing Co., Ltd., $40,000; the Victory Oil and Gas Co., Ltd.,
$500,000; Woman's Century Publishers, Ltd., $100,000;
Robert Long and Sons, Ltd., $100,000; Thames Oil and Gas
Co., Ltd., $500,000.
Montreal, Que.— The Brandford Clothing Co., Ltd., $20,-
000; the Flooring Insulating and Refrigerating Co., Ltd.,
$20,000; Island Securities Co., Ltd., $100,000; Alexander's, Ltd.,
$95,000; Eastern Dry Goods, Ltd., $20,000: W. W. O'Hara,
Ltd., $100,000; N. A.' Macdonald and Co., Ltd.. $100,000;
Universal Leaf Tobacco Packers, Ltd., $500,000; Ideal Garage
and Service, Ltd., $50,000; the Manufacture of Pianos and
Phonographs, Ltd., $20,000; DuBarry's, LUl., $100,000; the
Shamrock Cafe, Ltd., $20,000; Archambault Garage, Ltd.,
$10,000; General .Ad.iustmcnt and Appraisal Co., Ltd., $10,-
000; the Publishers' Printers, Ltd., $10,000; Rosebank Real-
ties, Ltd., $49,000; Progress Realties, Inc., $49,000.
July 23, 1920
THE -MONETARY T I M E S
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS .... 24,600,000.00
UBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
Thc.c arc wondriful dnys for litr insutan.r =»lr,men.
ponlcuUrly Noith American Life men. Our repreteaii-
lives arc placini; unprecedrnied amount! of new buiinei>.
All \y^ records ate being .mathed.
"'^"I'd as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our lepre-
sentativex lell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us (or full
particulars.
Addr
I I Harv
..( Awrnc
North American Life Assurance Company
■•.SOLII' AS THE CO.NTI.NKNT •
HOME OFFICE TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assurances, New and Revived - - 81, 211. -417 00
Premiums on same .... 4.3,890.00
Assurances in Force ... 3,458,939.00
Total Premium Income - - - 109,586.03
Policy Reserves - - - 211,497.00
Admitted Assets 296,430,62
Average Policy - 2,237.50
Collected in cash per SI ,000 insurance in force 31.75
For particulars ofa good agency apply to
ADAM REID, Managing Director Winnipeg.
1870 OUR GOLDEN JUBILEE 1B20
Mutual in Principle: Mutual in Practice
Prosptrily has iittendtd every Mep ,n ihc mjfch o( the .MulusI (rutn
the opcninR of its loni! campaign in 1870duvvn to the present, and much
of th.ll success has been due to the practice of the principle o( mutuality
which has charactenrcd all ranli.of the ever increaMnt army dbklscltk
have been removed, dilticullies uvercome and a lonu succession of vie-
torifs achieved by co-operation. Iht most vilal force in the world.
The obiective of the Mutual Life of Canad . since Us orBaniijlion in
I8li9 has been 'to furnish the larRest amount ol senuine life insurance at
the lowest possible net cost." This ubtcctive has l>cen alUined as
actual results clearly show The limited nuaber ol lapses indicates
a membership of satisHrd policyholders white the rapidly espandtnn
business reveals the Rrowinc popularity of the company- Join our vie*
.torious march.
BE A MUTUALISTI
The Mutual Life Assurance Co. of Canada
Waterloo Ontario
ll.n.a- Cri.nwi. M I' , I'rcM.l.iU Charles l<uh>. lirner..! .ManiK.-r
SUCCESS IN LIFE INSURANCE
Salesmanship depends so much upon the service rendered that \vc have
adopted as our slogan : "treatfr Service to Policyholders." v\ e have a few
desirable positions for good sulesmen who will study their chcnts' best interests.
and co-operate with the Company. Kvery assistance, financial :tnd otherwise,
given earnest, hard workers, to make good. Apply with rcfcrtnc* s. st Jtmg ex
perience.etc.to!^. M. WEAVKK. KaHlern Saprrlulendpnt, at Head onirc.
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
ISSLEU ONLY HV
THE LONDON LIFE INSURANCE CO.
Head Ollice ... LONDON. CANADA
Profit Results in this Company 70 better than Eilimates.
POLICIES OOOn AS GOLD
"I will Insure next year"
Wry few nirn ilclil.erjlelv rrla-e u, an \ \..l.- InMii.ir.cr Inn.nr
cases out of ten thcni.in whose life is unprotected lielievei in InM.i.ii..r,
intends to inburc—tjut procia5lin.Ur5. "I will insuie next >e.ir. i,r
says, forgetting that if only one could count upon "ncit year.' ilieir
would be no need for Life Insurance.
The Great-Well Life I'olicies are issued on icrmi so altmclive Ibai
there is no sound reason for anyone to delay uking out a Policy. Plans
are available to meet every need and citcumslance. and premiums may
lie paid annually. Ii.ilf-ycarly, qiumerly. or monthly, to sun ilir con-
vcniencc of the insured.
Ask for personal rales— giving date of birth.
THE GREAT-WEST LIFE ASSURANCE COMPANY
HEAD OFFICE 1)1: 1'T I- WINNII'tli
The Western Empire
Life Assurance Company
Head Office: 701 Somerset Building, Winnipeg, Man.
SASKATOON
\ ANCOl M-H
The Standard Life Assurance Company of Edinburgh
Btlablithcd IKS. H<ad Oftlcc tor Oan:<<la .KlOSr Kl< AL. Out.
In*eit«j Kundt t >».6M.0OO Inviattd under Can
IXpoaited witll Cana- adian Urancli . . I l.f.cnS.ODO
dian Oovtrnnitnt and Kevenuc _. ... a.JSi (K*
Oovcrnmcnt Truat- Bonuica drclarcd 40 av coo
t«i 8.J00.000 Clalmapald I»: ^auoo
W >l. CiaaK Khnniiiv. Manaaer. P. W. DoajiK. Clilit A«enl. anl>>..
The CoinmerciSLlXile
Assur3inc« Company of Canada
Ifead ZdSets, T.RP. BMj.,£dtt-nton
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Regina's Position at tlie End of 1919— South Vancouver Had Revenue Bal-
ance Last Year— Edmonton Loses Heavily in Redeeming Debentures in New
York — Middlesex County Treasurer Suggests Elimination of Borrowing By
Higher Tax Rate— Edmonton and Calgary Utilities Have Deficit For Six Months
Phu-nix, li.C. — A tax rate of five mills was decided upon
last week, four mills being for general purposes and one mill
being for schools.
Goderich, Ont.— The tax rate of the municipality has
been struck at 41 mills, a reduction of three mills, as com-
pared with last year.
Belleville, Ont. — To meet current expenditures for the
year the Board of Education has requisitioned the city council
to provide $92,303. This is an increase of $25,000 over last
year.
Toronto, Ont. — The 1919 operations of the local Hydro-
Electric Commission showed a surplus of $4,000, notwith-
standing several severe handicaps. In the first place, wage
increases added $136,000 to the pay-roll, over and above the
wages paid in the previous year, while an item of $18,000
for exchange on bonds sold by the city in New York had to
be met. The sum of $106,000 was paid to the Provincial
Hydro Commission for power delivered but not re-sold.
Calgary, Alta. — It is expected that the deficit on the
municipal hospitals for the year will equal, if not exceed, the
city's estimate, which was $271,000. Allowing for the pro-
vincial government grant, the deficit for the General Hospital
for the first six months is more than $140,000.
For the first six months of the year the deficit on the
street railway amounted to $15,185, as compared with a
deficit of $9,551 for the first six months of 1919. The in-
creasing deficit, in spite of increasing revenue, is due, of
course, to increased wages, increased cost of material and
increasing repair costs, due to the accelerating depreciation
of the lines and equipment.
.Montreal, Que. — Notice has been given by the city in
regard to debentuure transfers from the London, England,
register to Montreal, that in future these transfers would be
dealt with as to principal and interest by payment in sterling
funds. In the case of the city of Montreal, the majority of
their stocks are expressed in sterling, with the privilege of
transferring to a Montreal register. This transfer does not,
however, give the holder the right to expect dollar certifi-
cates in Montreal. It means that instead of having so many
pounds on the London register they have the same number
of pounds on the Monti-eal register. It has always been the
custom to remit the interest on stocks transfen-ed to Mont-
real at the par rate, but the city has never bound itself to
do so.
Edmonton. Alta.— .\ net deficit of $24,234 is the result
of civic utility operations during May, 1920, according to the
comptroller's report for that month. At the end of May the
departments had a net surplus for the five months of this
year of $1,063, while the same period of 1919 recorded a
surplus of $62,233.
In May the power-house department had a loss of $10,-
202. while the radial service was on the losing end of busi-
ness by $14,760. In the pumping and filtration plant the loss
was $2,879, while the watenvorks deficit was $1,239. Profits
w'ere reported by the telephone and electric light branches
of $4,709 and $136, respectively. Regai'ding the power and
pumping plants, the comptroller says that the deficits, will
be wiped out by surplus earnings when the consumption of
power increases in later months of this year.
Winni'peg. Man. — Since the city commenced to carry its
own workmen's compensation insurance, a saving amounting
to $60,000 is reported by City Treasurer Thompson. The
funds at the disposal of the Civic Workmen's Compensation
Insurance scheme amount to over $30,000, while the charge
has been only half of regular insurance rates which the city
would have to pay if insuring its workmen through an insur-
ance company, resulting in a saving of $60,000, half of which
would be kept on reserve for the fund.
The city commenced handling its own insurance three
years ago, it being then considered advantageous to handle
the insurance under the Act. Since that time it has only paid
half-premiums, resulting in having on hand the sum of $30,-
000. The other $30,000 has been a net saving.
Calgary, Alta. — A letter has been forwarded by Mayor
Marshall to Spitzer, Rorick and Co. with reference to their
demand that the city forward at once to New York the taxes
in arrears which have been collected and pay ofl^ an equiva-
lent amount of treasury notes which are held there against
these taxes. The letter, which was approved by the finance
committee, offered to place the collected taxes in trust in a
Canadian chartered bank until the exchange situation is
bettered.
The total amount of these arrears collected is appro.xi-
mately $300,000. With exchange off about 13 points at pre-
sent, it is estimated that the city would lose from $39,000
to $42,000 if the funds were transmitted at the present mo-
ment. The original agreement for the loan provided that the
city was to remit the aiTears of taxes as they were collected
every three months.
This agreement, however, was modified later by a cov-
ering letter from the fii-m last summer, agreeing that the
taxes might be remitted from time to time to take advantage
of "a favorable rate of exchange." The city treasurer has
been holding the sums collected since that time, but exchange
has constantly got worse instead of better.
Toronto, Ont. — In making his report on the collection
of the first instalment of taxes, Acting City Treasurer Black
says: "It is pleasing to note that, although no new record
was established, the somewhat disturbed financial conditions
prevailing have not affected the collection of the first instal-
ment of taxes, and, on the whole, the result is very grati-
fying.
"Notwithstanding that the total amount levied is in ex-
cess of the previous year by $1,780,654 and the rate two mills
greater, the total amount collected on the first instalment
was $12,591,617, or an increase of $760,826 over the amount
collected for the first instalment of last year, while unpaid
balance is $8,501,334. The total amount levied on the city
this year was $21,242,951, of which $9,724,963, or 45.78 per
cent., was payable in June. The amount paid in was 59.27
per cent."
A reduction of $482,821 has been made in the arrears
of taxes, which now total $1,762,618, of which $1,306,917 was
due in 1919 and the balance in the previous year.
The city treasurer's return of current expenditure for
the first six months shows $15,386,270 expended by civic and
outside boards. For the last half of the year there is $14.-
511.008 available.
Kegina, Sask. — A deficit of $12,839 is shown in the
general revenue and expenditure account for the year
ended December 31st, 1919. Large increases in expenditure
over estimates in the street lighting account and
the hospital account were chiefly responsible for this.
In connection with the latter account, however, a
supplementary grant of $8,297 was made after the
adoption of the estimates. The net surplus on the opera-
tion of the utilities for the year after taking credit for the
sum of $20,575, being payment of street railway sinking
I'und out of property sales account, is $14,239, as compared
with the estimate of $13,301.
As a copy of tl)e 1918 statement is not on hand, it is not
possible to compare the results of the 1919 balance sheet
July 23, 1920
THE MONETARY TIMES
46
with that year. The comparison with 1917, however, is in-
teresting. The bonded debt of the city has been increased
from §10,526,087 at the end of 1917 to §10,893,858 at the
tnd of 1919. Capital expenditure last year totalled $14,771,-
128, less depreciation represented by §365,757 debentures re-
deemed, §1,995,963 sinking fund reserve and $24-4,854 de-
preciation reserve, leaving a net amount of $12,164,554,
which compares with §12,463,024 at the end of 1917. Capital
surplus at the end of 1919 was §3,762,390, as against $3,-
659,622 in 1917. The revenue deficit, as already mentioned,
was §12,839, while in 1917 the deficit was §14,117. .Arrears
of taxes at the end of 1917 totalled §372,131, while at the
end of 1919, the amount was §362,812. Cash on hand showed
an increase of §72,448 for the two years, while the advance
in inventories was of a like nature. The bank liability at
the conclusion of last year amounted to §389,063, as against
the 1917 figure of §367,003.
Newmarket, Ont. — A tax rate of 32 mills has been struck,
as compared with 37 mills last year.
Hope Township, Ont, — The township council has struck
a tax rate of 10 mills.
Toronto, Ont. — Three Toronto business men have been
elected by the city council to act as members of the new
Transportation Commission. They are: P. W. Ellis, head of
the P. W. Ellis Co., Ltd., wholesale jewellers; F. R. Miller,
member of the firm of Roger Miller and Sons Co., which
company is undertaking a considerable portion of the work
on the harbor, and Geo. Wright, manager and owner of the
Walker House. These three men, into whose care the To-
ronto Street Railway is entrusted, are acting in an honorary
capacity, and all have had considerable business experience,
besides a good knowledge of municipal and public works.
Middlesex County, Ont. — County Treasurer Robson re-
cently stated that between $6,000 and $7,000, a sum equal
to one-fifth of a mill on the tax rate, is the amount expended
annually by the county in pa\nng interest on bank loans to
cover current expenditures. According to the treasurer, this
money is absolutely wasted, in that the county might, by a
slightly higher rate for a few years, put the countj- in such
a position that it would be practically unnecessarj- to borrow.
Treasurer Robson attributes the misunderstanding in the
county's finances to this borrowing. A special meeting was
called about three weeks ago to clear up this misunder-
standing. After examining the finances of the county it was
shown that the difference between the auditors statement
and the estimates was due to the necessity of borrowing in
December approximately §80,000 for county road work and
current expenditures, the borrowing of §60,000 for road
work was necessary to cover expenses until the arrival frorii
the provincial government of their portion of the cost, while
the remainder was for current expenses, pending the pay-
nent of taxes.
Referring to the elimination of borrowing by higher tax
rates. Treasurer Robson stated that until 1907 the estimates
submitted by the treasurer's department were accepted and
borrowing was not necessarv-. In that year the estimates
were pared and no allowance was made for interest on the
sinking fund. Incidentally, it was pointed out that this was
contrary to the Municipal Act, and the councillors who cut
off the "interest on the sinking fund in the estimates were
liable to be disqualified for office for two years. Since that
time the county has had to make up this interest, and this,
with the paring of the estimates from year to year, has
resulted in the necessity of borrowing money, the interest
if which is mounting up. Treasurer Robson believes that the
V arious councils, instead of attempting to keep down the tax
rate each vear, should rather make an attempt to save the
countv the money which is being wasted in interest Ly fixing
the t^x rate at a figure which would in a short time chmi-
nate extensive borrowing.
Edmonton, Alta.-In taking up §1,309,000 of ''^h^"' "'•<'•''
which came due on July 1st, the city spent $M0.00«J in ex-
change, or an amount equal to two mills of the ta^ rate. Ihc
funds were provided from the proceeds of consolidated deben-
tures sold to the National Bond Corporation in \ancouver.
This total is now placed at $1,441,000. The payments v^ere
flOUSSLR W>OD v'G)MRV4Y
CANADIA.N GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECfRITlES
12 KING ST. EAST
TORONTO
Grand Trunk Pacific .{ lionds
Dominion of Canada
Principal and interest payable at rate
of $4.86 to the pound in UNITED
STATES or CANADIAN FUNDS.
At price to yield almost 6'',
Harris, Forbes & Company
INCORPORATED
C. p. K. Building, 21 St. John SUe«t,
TORONTO. .MONTRE.M..
c.
H.
BURGESS &
Cjovc-rnniirnt itnd
Municipal Bonds
CO.
14
King
Street East - - Toronto
J. F. STEW ART
1. K. McNAlK
Dominion
of Canada
Guaranteeing; G
rand Trunb Pacific
3%
Bonds
MalutinK J
Inlrrr.l povnb
Principal on J Inicrr.l r
Price on
r- ),nua,v .nd July
„.,M, mCn.da.ndN.V.
Application
J. F. STEWART & CO |
Canadian Coiernmrnt
lOe BAY STRRKT
and Municipal Stcarilir.
TOKONTO. CANADA
THE MONETARY TIMES
Volume 65.
made to the Bank of Manhattan company through the Im-
perial Bank, and also included collections from tax arrears
paid into the sinking fund.
The severe exchange rate is evident when compared with
1918, when these short-term securities first came due, and
an extension was secured by ex-Mayor Evans, administra-
tion. On a payment of around $1,000,000 the exchange rate
was 2 per cent., involving an additional cost of $22,000. The
remaining one-half of the issue was extended two years, and
as a result fell due on July 1st last. On July 1st the city
made a payment of $1,225,000 against debentures issued on
1914 and 1915 tax arrears. Also, the city took up $220,000
of 1916 tax debentures, with an additional $127,172 issued in
the following year. These bonds were redeemed on interest
due dates, and possibly mean interest saved. The next ma-
turity the city has to provide for is $124,000 of three-year
notes which come due next September. But the big obliga-
tion develops next January 1st, when an issue of $2,075,000,
made up of five-year notes hypothecated against long-term
debentures, matures.
Nearly $500,000 of current taxes was paid into the city
assessor's department in June, when the 8 per cent, discount
period prevailed. To date, collections amount to $2,044,963,
which also takes in payments on business and income taxes.
Government and Municipal Bond Market
Three Ontario Municipalities Sell Securities — Ingersoll Gets a
Good Price — British Columbia Will Consider a Domestic Loan —
Question of Financing Alberta Irrigation Works Still Perplexing
AS a whole, the bond market was void of new developments
during the past week. A few municipal issues were
disposed of, but, with one exception, there was very little
interest in these. The price received by the town of Ingersoll
for its 6^2 per cent, debentures was considered good. The
issue will be offered on a 6.30 per cent, basis, which, being
at a premium, is rather unusual at the present time.
Local Selling
Sales of securities to local citizens appears to be gaining
in popularity. The condition of the bond market during the
past few months has caused some municipalities to try this
method, and if their efforts are particularly successful now,
it is highly probable that in the future they will use the
local market to the greatest possible extent. Several western
municipalities during the past month or so, which have
hitherto disposed of their bonds in the east, are now selling
their securities in the community with the aid of local dealers.
Regina and Point Grey are two instances. In Ontario, Brant-
ford and London are outstanding examples. While few are
engaged in this method of selling now, the results are being
watched carefully, and others will act accordingly.
Local selling is not only confined to municipalities, how-
ever. The province of Alberta is at present engaged in selling
bonds of small denomination at par, and, according to latest
reports, these securities are being taken up in a satisfactory
manner. Many of the purchasers of these small-denomina-
tion bonds have exclianged provincial saving certificates for
them. As was expected, a number of purchases have come
from outside points, including Manitoba, Wisconsin and Cali-
fornia. The treasury department is doing some special adver-
tising in connection wth the bond sale, and it is expected
that there wll be an active demand for the issue dui-ing the
next few weeks. .-Vbout $1,000,000 is expected to be disposed
of in this manner. In the meantime, the sale of savings cer-
tificates is reported to be going on briskly. For the six
months ending June 30th the total sales were $741,508^
which exceeds by more than $100,000 the sales in any whole
year preNnous.
British Columbia is also considering the question of
floating a domestic loan, somewhat along the same lines of
Alberta. It is understood that a conference of repi-esenta-
tives of provincial bond houses is to be called at about the
end of this month by the provincial treasurer at which the
question of handling a domestic issue will be brought up.
With large purchases made by local investors in the bonds
of other provinces, it is felt by the treasm-er that a local
loan, to be used for provincial highway or university or other
work of permanent provincial impi-ovement, would make a
strong appeal to British Columbia investors. The province
has already raised several million dollars by selling bonds
this year, but wishes to borrow considerably more if market
conditions are at all favorable.
Coming Offerings
The following is a list of debentures offered for sale, of
which mention has been made in this or previous issues: —
Tenders
Borrower. Amount. Rate %. Maturity. close.
Capreol, Ont $17,000 6 10 & 20 inst. July 24
Trail, B.C 9,000 7 10-years July 26
Sherbrooke, Que. . . . 392,500 5 5-years July 26
St. Jerome-de-Mat-
ane, Que 150,000 51/2 Optional July 27
Macdonald R.M., Man. 25,000 6 20-years July 28
Picton, Ont 5,000 6 10-inst. July 31
Alberta School Dis-
tricts 132,135 7&8 Various Aug. 5
Goose Lake, C.S.D.,
aian 50,000 6 20-inst. Aug. 14
Picton, Ont. — Tenders will be received until July 31st,
1920, for the purchase of $5,000 6 per cent. 10-instalment
debentures.
New Glasgow, N.S. — Tenders will be received until July
24th, 1920, for the purchase of $28,000 6 per cent. 10-year
debentures, dated August 1st, 1920, and in denominations of
$500. Interest payable half-yearly at the Bank of Nova
Scotia, New Glasgow or Halifax. James Roy, clerk and
treasurer.
-Vlberta School Districts. — Tenders are asked until
.\ugust 5th, 1920, for the purchase of school district deben-
tures totalling $132,135 as follows: Rurals — 15-years, 8 per
cent.; Kenilworth, $3,000; Bruce Lakes, $2,500; Gan-ard, $3,-
000, 12-years, 8 per cent.; Crystal, $3,000, 10-years, 8 per
cent.; Lake View, $3,500; Poplar Dale, $2,400; Black Spring
Valley, $1,000, 10-years., 7 per cent; Lotus, $1,800; Foreina,
$3,000; 15-years, 7 per cent.; Blarney, $2,500, 5-years, 7 per
cent.; Fertile Hills, $575, 5-years, 8 per cent.; Manawan,
$500; Wintering Hills, $3,000, 6-years, 8 per cent.; Szypenitz,
$1,400, 20-years, 8 per cent.; Harvey, $3,000. Consolidated—
8-years, 8 per cent.; Champion. $3,500, 15-years, 8 per cent;
Falher, $10,000; Skiff. $1,860. Villages— 20-years, 8 per cent;
St. .\ubin, $600, 10-years, 7 per cent.; Bellevue, $14,000;
Nacmine, $8,000. Towns — 25-years, 7 per cent; Coleman,
$25,000, 30-years, 7 per cent.; Hanna, $35,000. J. T. Ross,
Deputy Minister of Education, Edmonton.
Debenture Notes
Chatham, N.B. — Ratepayers have declared themselves
as against the issuing of bonds for permanent paving pur-
poses.
Newmarket, Ont..— It is probable that the council will
authorize the issue of $30,000 debentures for sewerage pur-
poses.
July 23, 1920
THE MONETARY TIMES
47
A Problem
for Men of Affairs
Do you realize the effect of the in-
creased tax upon your investments?
Have you carefully weighed each one
with a view to deciding upon the
advisability of converting a por-
tion of your income into tax exempt
bonds? Many business men with
substantial incomes have overlooked
the fact that an interest return of
from 6.429'f to IS';/ is required to
yield the 5.55':/ net afforded by tax
exempt Victory Bonds.
Write us and we shall be glad to
furnish full particulars.
Wood, Gundy & Company
Canadian Pacific Railway Building
Montreal
Saskatoon
Toronto
New York
London, Eng.
'^▼▼y^V,|>^r.y^'«'Tyyy
"^l
'Tzi'ill be Culled
" I'lic I'n/p and I'upir liouni''
l;ul It IS not a l)ooni. \Noild demand and
tlie water-powers and raw mut^rials to fill
the demand are behind it.
This i.*; a pulp and paper year — but only one
year of many yet to come. Canada's leader-
ship in the industn,- should increase for the
next five years and perhaps for a decade.
Why? Bicause Canada has the last great
accessible forest reserves. The world must
have our pulpwood and lumber, and the price
must be paid.
Those v.ho possess sound pulp and paper
securities should retain them and increase.-
their holdings at every available opportunity.
Write, if you wish, and we will advise you of
some choice pulp and paper securities to in-
vent in. .Addre.<?:
Royal Securities
^ CORPORATION
L. I M I X E D
MOM ui: Al.
rOKONTO HAl.IIAX ST.JOHN,N.B.
WINNIPRH NTW VOHK 1 ONDON, Fad.
I
A^
W. L. .McKinnon
Dean H. Pcttes
We recommend ihc pu
rchascof
VICTORY
LOAN
MATURITY
1922 ...
1927 ..
1937 . .
1923 ...
1933 .
1924 . .
1934 . . .
at the follujtirR prices:-
PRICE
99 and Interest yieldin
99iand
lOl and
99 and
. '99iand "
98 and
96 and
K 5.«6'..
5.58"..
5.41%
5.82%
5.55%
6.01%
5.91%
Orders m:iy 1
c telephoned or IcIcRr
iphcd at ou
r expense.
W. L.
McKinnon Bui
McKINNON &
■ dins
CO.
TORONTO
Government, Municipal
AND
Corporation Bonds
R.. A. 13aly & Co.
HANK OF TORONTO BUILDING
TORONTO
$25,000
City of Saskatoon
(Saskatchewan)
614% Bonds Due Julv Isl. 1940
The City of Saikaloon ii in ■ atronK
financial poiition.
Sinkinti Fund accounlt havr a turplua.
Ulililira operate at a profil. Depreciation
Fund an well an Sinking Fund eilabliahed
in connrclion with Utililiei.
This i> ihe only long-term bond with a
6'j''- coupon that we have offered.
PRICE: 97.28 and accrued inlcrepi yield
ing 6^4 %.
Special Circular on Application
W. A. MACKENZIE & CO.
42 King St. West
TORONTO ONTARIO
48
THE MONETARY TIMES
Volume 65.
Strome, Alta.— The Board of Public Utility Commis-
sioners has authorized the council to borrow $6,000 for the
purpose of building a new community hall
Port Colborne, Ont. — Ratepayers have carried a by-law
authorizing the raising of $19,500 to purchase property on
the lake front for a town park.
Victoria, B.C. — The city is considering a loan of about
$150,000 to carry on work on the Johnson Street bridge until
about September. The total cost of the bridge will be between
$700,000 and $800,000, and up to the present $8,000 has been
spent on preliminaiy work.
South Vancouver, B.C. — A statement issued from the
commissioner's office shows that during 1919 receipts reached
the sum of $1,548,147, of which amount $192,370 was bor-
rowed from the Bank in March, 1919, to enable debenture
interest payments to be met in April. All current expendi-
tures were provided for out of the revenue, and a substan-
tial balance was left on hand for reserves, etc. The state-
ment is divided into two sections, showing "What we re-
ceived in 1919," and "How we spent it." Under the first
caption the following figures are given: Cash on hand Jan-
uary 1, $34,870; taxes and interest, $1,003,548; school and
government grant, $93,058; water rates, $81,227; sundry
collections, $69,658; soldiers' housing, $13,397; borrowed
from bank, $192,370; total, $1,548,147.
Under the second caption the figures are: Schools, $305,-
661; interest, $264,952; sinking fund, $92,495; watei-works,
operating and interest on debentures. $111,347; fire depart-
ment, $17,980; police, $23,105; treasury bills repaid, $43,371;
joint sewerage board, $24,310; street light, $19,551; road
maintenance, $66,627; ditches and watercourses, $9,578;
soldiers' housing, $13,607; tax sale redemptions, etc., $26,742;
hospitals and grants, $11,494; relief, $1,967; accounts pre-
vious years paid, $5,311; departments and sundries, $81,620;
cash reserve to reduce liabilities, $105,152; reserve to finance
till 1920 tax collection period, $302,646; cash on hand, cur-
rent accounts, etc., $20,931; total, $1,548,147.
According to advices received from the city's bankers,
the corporation has placed to the credit of the tax trust,
1917 account, the sum of $124,489. This is against the $227,-
000 borrowed to pay off the Spitzer-Rorick debt. There is
also in the bank $65,073 to the credit of the tax trust, 1920,
account, which sum is set aside to retire the bank loan.
Bond Sales
Alliston, Ont. — Messrs. Wood, Gundy and Co. have pur-
chased $15,707.39 6 per cent. 20-instalment debentures at
94.27 and accrued interest. At this price the municipality
paid about 6.75 for its money.
The offer of Wood, Gundy and Co., was originally in the
form of an option, but at the request of the municipality it
was changed to a straight bid. It is understood that
there were two other bids higher than that at which the
bonds were awarded.
Point Grey, B.C. — Messrs. Peniberton and Son, together
with the Royal Financial Corporation, Ltd., have purchased
$135,000 B\2 per cent. 20-year debentures. The securities are
to be placed on the Vancouver market at a yield of O'i per
cent.
East Kildonan, Man. — Messrs. Strang and Snowdon,
Winnipeg, who recently secured an option on $150,000 6 per
cent. 30-year serial bonds at 90.25, have exercised the same.
The issue is an obligation of the East Kildonan School Dis-
trict.
Hawkesbury, Ont. — .Xn issue of debentures amounting
to $179,000 has been purchased by A. E. Ames and Co. at
94.53. The bonds, which bear interest at the rate of 6 per
cent., are as follows: $95,000, 20-instalments; $19,000. 5-in-
stahnents; $65,000, 30-instalments. The offering is being
made at a price to yield 6'-j per cent.
Brandon, Man. — Messrs. J. A. Thompson and Co., Win-
nipeg, have purchased $75,000 Sli per cent. 30-year school
bonds at a price which costs the city slightly in excess of 7
per cent, for its money. The amount wanted originally was
••SISO.OOO, but only half of the issue was sold, as $75,000 is
sufficient money at the present.
IngersoU, Ont. — Messrs. Wood, Gundy and Co. have pur-
chased $61,000 debentures from the town at 99.27. The issue
is in two blocks, one of $36,000 for fifteen years, and the
other for $25,000 for ten years, both payable in instalments,
and bå interest at the rate of 6% per cent. The bonds
will be sold at a premium, the yield being 6.30 per cent.
Brantford, Ont.— The city's $150,000 6 per cent, bonds,
which are being sold locally, are meeting with a good recep-
tion, according to A. K. Bunnell, treasurer. There have been
some enquiries from patries outside of Brantford, but not
to any great extent. Local dealers are co-operating in dis-
posing of the bonds, which are being sold at par and accrued
interest. Brantford has been particularly successful in dis-
posing of bonds locally in the past, and no difficulty is an-
ticipated in the sale of the present issue.
Windsor, Ont. — The following debentures have been
awarded to A. E. .A.mes and Co. at 95.631: $17,000 6 per cent.
10-instalment; $12,000 6 per cent. 10-instalment; $40,000 6
per cent. 10-instalment; $107,547.81 5^2 per cent. 10-instal-
nient; $50,000 6 per cent. 20-instalment; 150,000 6 per cent.
20-instalment, totalling $376,547.81.
Wood, Gundy and Co. submitted a straight bid on the
whole block for 95.18, and an alternative bid, asking for an
option at 95.68. An offer was also submitted by the Dominion
Securities Corporation.
Irrigation Problem Still Troublesome
As yet the Alberta government is undecided as to what
to do with the irrigation bonds. The Warren Brothers' Con-
struction Co., which made the original proposition for taking
up the Lethbridge Northern bonds, has again signified its
willingness to submit a new offer, which will be the same
as the first, with the exception of a change in bond prices.
It is also a condition of the new offer that Premier Stewart
must change his attitude in regard to the question of con-
tract and bond proposal in one.
The premier has always insisted upon the selling of the
lionds and the placing of the contract being treated as two
separate transactions, but the Warren company wants to buy
the bonds and to build the irrigation works, and insists that
the government must take it that way, too. Lethbridge
farmers are in favor of the new proposition, and intend to
impress the fact on the premier, with the hope that he may
change his opinion.
LONDON AND SCOTTISH ASSURANCE COMPANY
\ record gain was made in the life department of the
London and Scottish .\ssurance Corporation, Ltd., (former-
ly the London and Lancashire Life and General Assurance
.Assoc. Ltd.,) for the year ended Dec, 31, 1919, the number
of policies issued being 2,753 as compared wth 1,834 in
the previous year, and the sums assured amounting to
$7,501,4.50, as against $4,780,830 in 1918. Total new premium
income was $378,583, a gain of $94,839. Total income of
the life department increased more than $250,000 during
the year. Total funds of the company at the end of 1919
amounted to $28,858,210, while at the end of the previous
year the figure was $25,486,354. Other departments of
the company made equally good showing, including fire and
marine.
The London and Lancashire Life was organized in Aug.
1862, with head office at London, England. During the past
year, however, the name was changed to the London and
Scottish. The company's business extends throughout Great
Britain and the larger British colonies, including Canada,
South Africa, Egypt and India. Business in Canada com-
menced in 1863, and the head office for the Dominion is at
IMontreal, under the able management of Alex. Bissett.
Operations here last year, as in other spheres in which the
company does business, were attended with much success.
New policies to the number of 863 were issued, as compared
with 586 in the previous year, and the amount was $2,073,307,
as against $1,405,731. Net premiums totalled $536,342, a
gain of $34,836.
July 23, 1920
THE MONETARY TIMES
49
$36,000
CITY OF SYDNEY,
N.S.
6% Bonds due July, 1950
Principal and semi-annual interest pavable
Sydney.
Halifax,
Denominations $1,000
Price 96'., and interest yielding about eu%
Eastern Securities Co., Limited
ST. JOHN, N.B. HALIFAX, N.S.
Government
Guaranteed to
BONDS
QM
2/0
MATiRI.\C 1921-1940.
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
UNION TRUST BUILDING WINNIPEG
Province of
Ontario
6^^> Gold Bonds
For Estate or 1 rust funds
these bonds purchased at
par and interest maturing
15 June, 1930, make a
very desirable investment.
Bond Department
iiiL CANADA Trust Cu-'M'vnv
14 King Street E. Toronto
lillliiniliMllultllNllllllUIIIIIlllllllUllllll:!!
SELLING
MUNICIPAL
BONDS
THE connecling link between the borrow-
ing- municipality and the bond buyers of
Canada, as well as those in the United
States that are specifically interested in Can-
adian Securities of this class, either as indivi-
dual or institutional buyers, is
THE MONETARY TIMES
OF CANADA
Bond offerings advertised in The Munctan'
Times are assured of getting before a l.irge
and directly interested clientele.
Rates for advertising furnished
upon application.
The Monetary Times
TORONTO WINNIPEG
A. J. Pattison Jr. & Co.
Specialists lUnlisted Securities
lOS BAY STREET TORONTO
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Hranchcs-SASKATOUN AND CALOAKV.
Canadian ManaKcrt
iNVHBTaBHT COKI>OttATIOII OP CANADA. LtT).
London OfBct: t Oraat Wmchc.lcr St . KC
Northern Securities,'ILimited
i-staiuisuki) I ■•
GENKRAL FINANCIAL BROKKK
Confidrnl.al Advicf on Britith Colamhio /».r.i(m./,f.
McmKcr nt Morlii>ii( anJ Tru«l Companin A.wcialion of HMli»h Columhi.
S2B Pender Street W. VANCOUVF.R, B C.
H. Gl;OKl5K HANSl'1-l). J.P . Man;.«fr
P. M. LIDDELL & COMPANY
Invcitmcnl Banlfcft. Fhcul Agents
Inmranci- lhnhcr%
826-7-8 ROGERS BUILDING, VANCOUVER. B.C.
50
THE MONETARY TIMES
Volume 65.
Corporation Securities Market
Dull and IrreRular Market— Light \ olume ot Business on Canadian Exchanges
Ontario Steel to Increase Capital— Wabasso Cotton May Issue More Stock
DEALINGS in New York for the week ended July 21, were pany also has outstanding $600,000 6 per cent, bonds,^ due
merely a repetition of those of previous sessions. As July 2nd, 1943, less $77,800 bonds redeemed by sinking fund.
a-vhole the market was barren of interesting results. The Application has been made by the Western Canada Pulp
publication of the wage terms of the United States Railway and Paper Co., for the listing of its securities on the un-
Board had very little effect outside of the rail section, and listed department of the Toronto Stock Exchange The com-
the easing in call money rates produced very little interest. pany's operations are carried on at Howe Sound, five miles
The market is still in a "waiting attitude" and speculators from Vancouver B.C The common stock outstanding is
are holding back $1,000,000, par value $100. First mortgage bonds of $1,000,000
, ,, ^ ,■ , , ^ , 4. f 1 .,„„ w^= and 6 per cent, debentures of $1,200,000 authorized complete
In Montreal the buoyant marke of a ^v«ek ago was Jurities. The common stock is fully paid, and the
replaced by one of du Iness and irregularity, and at the close n^ortgage bonds are serial from 1920 to 1940, bearing
of the e.xchange on July 21, the trend of prices was uncertain, 7 • nt
with a tendency in some cases to go to lower levels. At- P ' " ,,.,■„,, ^ ^^ r^
lantic Sugar was the only stock traded in to any extent. A circular has been issued by the Wabasso Cotton Co.,
The issuance of a favorable annual financial statement by Ltd., concerning a plan to readjust the share capital. The
Ontario Steel and the declaration of a dividend, tended to plan calls for the doubling of the stock from 17,500 shares to
strengthen that issue considerably, but, in keeping with the 35,000 shares and changing the shares from a par value of
rest of the market, there was a weakness at the close. $100 to a no par value basis. The new shares will be allotted
Reaction apparently has settled over the paper section, in proportion of two for one now held. The proposed reso-
weakness in those stocks continuing all week. There was lution will be submitted for approval at a special general
some interest in Brompton, new, but not enough to prevent meeting of shareholders to be held on August 26, imme-
a fallino- awav in that issue. The light volume of business diately after the annual general meeting, and, if approved,
and the weakness of the whole market is probably due to application will be made for the necessary supplementarj-
seasonal influences. letters patent on the issue of which the readjustment of the
_ ,. • m . I 114 4. 1 ,. . „w capital stock will immediately become eflFective, and certifi-
Trading in Toronto was broad, but not very heavy, and ' ^.i. or n,^n i i, n u
^, , ? ^, . -t-u A «„A cates for the 35,000 no-par value common shares will be
on the whole the price range was narrow, with advances and ■ a ■ t
recessions about equally divided. In a large number of cases issue pio
the losses made during the week w-ere partly retrieved at Capitalization Increases
the close. As a whole the banking section was stronger. Companies registered under Dominion charter have been
although some further losses were made. authorized to increase their capitalization as follows:—
The bond market was more active than it has been for Fonner Increased
some time, several issues being traded in to quite a large capital stock to
extent. Price movements were uninteresting, however. ^.^^.^^ American Lumber Supply Co., Ltd. $100,000 $1,000,000
Citizens Lumber Co., Ltd 100,000 1,000,000
Capital Changes S. Fremes and Co., Ltd 40,000 200,000
At a meeting of the directors of the Lake of the Woods I" al' of the above cases the new shares to be issued will
Milling Co., in Montreal, on July 16, a by-law was passed have a par value of $100.
authorizing the olTering of one new share at par for each Under provincial charters the changes are as follows,
four held. A special dividend of $25 a share was also de- the name of the province being indicated: —
clared upon the common stock of the company. In addition McLaren and Co., Ltd. (Ontario) $100,000 $ 200,000
to the special dividend, directors of Lake of the Woods have Blachford Calf Meal Co. of Canada
declared the regular dividend of 3 per cent, on the common, (Ontario) 75,000 150,000
payable September 1st to shareholders of record August 21st, *Wells Bros. Co. of Canada (Ontario) 40,000 250,000
and 1% per cent, on preferred, payable September 1st to Dominion Press, I^td. (Quebec) 20,000 250,000
shareholders of record August 21.
Directors of the Ontario Steel Products Co., Ltd., have *Under supplementary letters patent, besides having its
decided to increase the authorized capital stock of the com- capital increased, the company's name is changed to Green-
pany from $1,500,000 to $2,750,000. The capital presently field Tap and Die Corporation of Canada, Ltd. In all of the
outstanding is divided between $750,000 7 per cent, cumulative above cases the new shares to be issued are to have a par
preference shares and $750,000 ordinary .shares. The com- value of $100.
UNLISTED SECURITIES
Aita. Pac. Grain... com.
prcf.
Ames Holden Tire. .com.
HcldinR, Paul com
HIacIt Lake com.
....pref.
Hrandram-Hcnd.. . .com.
British Amer. Assurance
Burns, P., 1st 6's
Can. I-cIt com.
Can. Furniture pref.
Can. Machinery. .. .pref.
Can. Mortfiage
Can. Oil com.
Can.WcstinRhouse
Can. Woollens com
Cockshutt Plow 7% pref.
Corgwood Shipb'dg.. .fe's
Continental Life
Crown Life
Cuban Can. Sugar.com.
prcf.
Davics William 6's
Dom. Foun.SSt.. com
" 8% prcf.
Dom. Iron ftSteelS's 1939
Dom. Power com
pr.f
DunlopTire 7% .pref
" 6-s,
Goodyear Tire, prcf.x.d.
(lunns prcf,
Harris Abattoir 6'!
Home Bank
Imperial Oil
inter. Milling prcf.
n. Jr.. & Co.. Toronto
Bid
Ask
20
«
80
47
49
Ti
74.50
99
102
70
72
9,S
97.75
70
7;i
.SI.SO
.S3
97
92.25
96
9B..S0
90
95
...
97.50
91
95
100 .<»
105
109
116
87.25
91
Laurcntidc Power
Loew's (Ottawa)... com
Loan & Saving!
Manufacturers Life
Massey- Harris
MattaRami Pulp — com
Mexican Nor. Power.. 5'i
Mississausa Golf
Murr.-K 7% pref,
National Life
North. Amer. Pulp
North Star Oil com
— pref
Pulp 6"!
Pa^e Hersey pref.
Bid
Ask
86
65
75
80
63
64
10
12.50
90
36.50
41
100
105
63
65
7.50
10
46
56
67
72
42
8
8.50
5
3.. SO
3.70
98.50
95
75
Riordon . . com. (new stk. )
Robert Simpson. 6% pref.
Sterling Bank
Sterling Coal com
South Can. Power., pref
nto Power. 5's (1924)
t & Guar
United Cigar Stores com
Western Assurance
West. Can. Pulp com.
Whalen Pulp com.
Whalen P'p Trust Cert. .
July 23, 1920
THE M 0 N E T A R 'i' TIMES
We Offer
SCHOOL BONDS
Province of Alberta
WcSptcmllv R:c
j/ifjc BuiiJi iii Scun.i Invcslmenti
W. Ross Alger & Company
INVESTiMENT BANKERS
Bank of Toronto Bldg. McLean Block
EDMONTON CALGARY
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Members of 'A innipeg Real Estate Exchange. Winnipeg Stock Exchange
Canada's
M
ost Prosperous
Industry
The World is looking to
Canada for
PULP
Wr,. ccrcul.ror
nc^^ . pnny iha. will
TborDtoD Davidson & Co.
Limited
Covcrnmfnl. .\/unici>o( and Other
InvcMmcnl SccvriiUy
Head Office: TransporliHon BI<J|., MONTREAL
132 Si. Peter Sireel 63 Sp*rk> Street
QUEBEC OTTAWA
DEALERS IN
Government, Municipal
and Corporation Bonds
Correspondence Solicited
A. H. Martens & Company
iMembers Toronto Stock Exchange'
ROYAL BANK BUILDING, TORONTO
61 Broadway, Harris Trust Bldg.,
New York, N.Y. Ch.cago. 111.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OLR COUNSEL AND ADVICE
Willoughby Sumner Limited
E.l»l>l,.hr,i I «I0
Membera of the Winnipeg Grain Exchange
I',, vale 1,-nc ,„ ir.nn.pcE. /-oron/.. Mmn.jl. Cl.u..,
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK. FUNDS
Wire at ou, expense any offermg. also •">; B'-'h
Columbia Government and Municipal issues.
BRITISH AMERICAN BOND
CORPORATION LIMITED
., or Victoria, B.C.
Vancouver, tJ.c
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERxN AGENCIES
LIMITED
PmvATa WiMM TO WrNNIPBd. CHICAOO. rORON1<'
MONTHKALANO NinvVnHK
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
NOM'KKAL— Week iviltlaMi .lllly 21st.
(FitJures supplied by Bubnktt & Co.)
.Stocks
Abitibi P. & P.... (new)
•■ pfd.
AmcsHolden pfd.
Asbestos Corp
pfd.
Atl.->ntic Sugar
..pfd.
Bell Telephone
B.C. Pishing
Brazilian T.L.& Power
Brompton Pulp & P.
Canada Cement
•• ...pfd.
Canadian Cottons
.pfd.
Can. Converters
Canadian Car
•• ...pfd.
Can. Forfiings
Carriage Factories
Canadian Gen. Elec...
Can. Locomotive . .pfd.
Can. Steamship
•■ •■ pfd.
■' " Vot. Trust
Con. .Mining & Smel... ■
Detroit United
Detroit Rys
Dominion Canncrs
Dominion Bridge
Dominion Glass
.pfd.
Dom. Iron pfd.
Dom. Steel Corp
..pfd.
Dominion Textile
•■ pfd.
Hillcrest
Howard Smith
' ....pfd.
Lake of the Woods. .
Laurentide
Lyall Construction ....
Hacliay pfd.
Macdonald Co
Mont. Cots. Ltd
..pfd
Montreal Power
Montreal Tram. ..Deb.
Sales
Open
High
.SfiRi
861
M
93
93
190
94
94
6S'2
87
88
8«
944
95
12880
154
164
2253
176
184
121
I03i
103.
335
44^
511
n.w
43.*
43
3085
1.50
ISO
3347
74
74
986
.5»S
59
113
91 i
91
1332
96
100
20
77
77
276
774
78
•m
55
60
880
98
lOli
I.SO
185
190
45
27
27
115
1013
102
10
874
874
2305
75
76,1
788
81*
83
680
704
704
2.35
254
251
120
106
10(i
80
104
104
515
60
604
100
93
93i
265
674
68
10
85
85
IS
83
83
3140
68i
68^
45
77
78
1327
1454
1454
10
lOli
1014
140
.56
56
195
1.55
155
46
101
101
299
205
225
.5.504
122
122
20
70
70
6
664
66J
303
34
34
34
85
86
:j3
100
100
843
7000
83
68
84
68
National Breweries
Ogilvie Flour Mills...
pfd.
Ont. Steel Prod
Penmrms
Price Bros. Co. Ltd....
l»rov. Paper
•Quebec Ky. L. H.&P..
«iardan Pulp* P
pfd.
St. Lawrence Fl. Mills.
ShawiniganW.&P ...
Sherwin-Williams
.pfd.
Spanish River
" Div.Vou.
•' pfd.
Steel Co. of Canada...
• •• •■ .pfd.
Toronto Ry. Co
Tookc Bros
Tuckett
Wabasso
Wayagamack P. & P
Winnipeg Elec
Woods .Mfg. Co
Windsor Hotel
1.560
100 J
77
2:10
143
45
360
2
95
22H5
34-I
1613
220
5
91
104
99
704
ni4
35
110
41
924
10290
124
7,S
8
6I0S
134
142S
73
I4(;
954
IS
404
•i.s.s
84
35
SO
51
126
1620i 125 125
Itniikfi
Commerce
Hochelagft
32 185
ioo iiioi 183
80i ' 8li
204 i
1176
323 ' 32)
Union
Blliuls
Bell Telephone Co..
Asbestos Corp
Canadian Car J« Fo.
Can. Cement
Can. Rubber
Cedars Rapids .Mfg....
City Mont. Dec. 6's.l92?
•■ May 6s. 1923
■■ Sept.6s, 1923
Dom. Can. W. Loan. 1925
1931
I9;>7
Victory Bonds. 1922
1927...
1937....
1023....
1933....
37«'0
62400
27300
903
2594 I 2.594
2091 I'iio '
902 I 90i
MOHrUEAl-ConHnued.
Bond.s
tSales Open High Low Close
Dom. Canners
Dom. Cottons
Dom. Iron
Dom. Textile ..
Lake of Woods
.Montreal Power
Montreal Street Ry..
Ogilvie Flour
Penmans Ltd
;e Bri
Scoti:
Sherwin-Williams...
Spanish River
Steel Co. of Canada.
Wabasso Cotton
Wayagamack P. &P.
Windsor Hotel
2000 84
1750 95
7000 1 998
10000
1.5001
2600
TOR(niTO-Wcek Ended Jul.v SIst.
i Sales, Open H
Atlantic Sugar
Barcelona
.pfd.
Bell Telephone I
Brazilian Traction. .. [
B.C. Fish I
Burt. F. N
■■ pfd.]
Canada Bread
...pfd.
Canada Cement
Can. Gen. Elec 1
Canada Steamship 1
.pfd.
Canadian Car
Canadian Pacific R. . . .
Canners
pfd.
City Dairy
■• pfd. I
consumers Gas
Coniagas 1
Dome '
Dul Sup I
Locomotive
pfd.
Lake of the Woods .. .
Mackay Companies. . ■ i
•■ ..pfd.
Monarch
NS. Car
•■ pfd.
Maple Leaf pfd.;
Nipissing
Pjc. Burt
•• pfd.
Penman-s !•
Rus
594
1014
30O| 74i
ell
Porto Rict
Rogers
Quebec R.L.H. & P..
Sawyer-.Massey ....
Spanish River.
Salesbrook
pfd.
pfd.'
^pfd'.!
Smelters
Steel Company
...pfd.;
Steel Corp.
Shredded Wheat
Ti.cUetts
Twin City com.
Western Can. Flour...
itnnk!!
Commer
Dominion.. . .
Hamilton....
Imperial . ..
•Merchants . .
Nova Scotia.
Royal
Montreal ....
Standard....
Toronto
Union
Dominion Cu
l.nnn niid Trii»l
Can. Perm
Col. Inv
Lon & Can
■lands
Can. Bread
Penmans
Quebec
Rio. Jan. T.. L.&P....
Steel Co. of Canada . . . ; 2000
814
33?
2104 I 2104
260J 2t»J
1534 < 1534
954 I 9Si
T»KOJiTO— Continued
M'ar l.oans
)m.Can.W.Loan.l925
1931
1937
ctory Loan 1922
1923 ....
1927 ....
1933 ....
1937 ....
Sales Open High i Low Close
WIKMIPEC-Wffk ended Jnly ITth.
Victory Loan 1922
'■ 1923
■■ 1927
" 1937
■' 1924
" 1933
•• 1934
War Loan 1937
'• 1925
Can National Fire
Nor. Mortgage
North Star pfd.
Nor Trusts
Sales Open High Low Close
27100
2000
1900
2000
57000
16950
.\EW VOKK— Week ended Jnly I7lh.
123J
. 5"., 1921 94000 .
54'.. 1921 2S00(1
5",, 1926 22000 .
5*% 1929 79000;.
5% 1931 23000.
High, Low
1263 I 1191
974
98
895
LO.^DO.V, Eng.— Week ended July 3rd.
tloT'l. at Mnn. Sales Open High Low Close
Alberta 4j%
44% Reg
4% deb
4% deb. 1922...
B.C. 4*% 1941 .._
■• 3%
■• 44%
Canada 3% Reg ...
•' ....3%1938
•• .... 34%
•• .... 34% 1909.34
'■ .... 34% 1930S0
" ....34% Reg..
•• ....4%
" 4% 1940-60
Edmonton 5% 1953 . . .
Calgary 44% debs
Nfld. 3*%bds
Quebec 4% bds
Manitoba 44% Reg
.Montreal 44% 1951-53..
4% Reg
4it.deb
Toronto 4i°,. 1948
4% deb. 1944-481
Vancouver 4% 1947-49
Winnipeg 44?o Reg
4?4 1940-60..
731
Itnllnays
Can.Nor.Ont.34%deb 60
Can. Nor. Pac. 4% deb 624
" 4j% deb. 19.50 72)
Can. Pac i 140
Can. Pac 4% deb I 631
G.T.P,3%I962 1 571
G.T. P. 4%195S 1 604
G.T P 4% deb .57
Gt. Nor. Can. 4% bds.., .. .56
Gr. Trunk... 4% guar .574
Gr. TrunkS% 1st. pfd I 41
Gr. Trunk 5% 2nd pfd..
Gr. Trunk 4% 3rd pfd 123
Gr. Trunk 4% deb. .
Ont. .K: Quebec 5% deb 794
Pac. Gt. East. 44% deb. ..
Inil.. Fin., Elf. |
Bank of .Montreal '..
Can. Bk. of Commerce. . .
Can. Car7"„
Can. Cement 6% bds.. ..
Can. West Lumber. 5% . .
TorontoPower44%deb.j . .
Van. Power 4}%. deb... ..
614
70
70S
, *»
73j 75
.59*
81)
J
July 23, 1920
THE MONETARY TIMES
53
Dkbentures for Sale
CITY OF TRAIL, BRITISH COLUMBIA
Sealed tenders will be received by the undersigned up
to 7.30 p.m. on Monday, July 26th, 1920, at the City Hall,
Trail, B.C., for $9,000.00 Local Improvement Cement Side-
walk Debentures bearing 7 per cent, interest, payable semi-
annually. Principal payable in 1930. Principal and interest
payable at Trail, Toronto or New York. Denomination of
bonds $500.00.
Wm. E. B. MONYPENNY,
179 City Clerk.
TENDERS FOR DEBENTURES
GOOSE LAKE CONSOLIDATED S.D. No. 1283.
ROBLIN, MAN.
Sealed tenders, addressed to the undersigned, will be
received up to Saturday, August 14th, 1920, for the following
Debentures: —
First Issue. — Debentures for Twenty-five Thousand Dol-
lars ($25,000.00), dated January 1st, 1920, bearing interest
at 6 per cent, per annum, and repayable in twenty (20) equal
annual instalments of $2,179.61 each. First payment, Jan-
uary 1st, 1921. Payment to be made at Union Bank of Can-
ada, Roblin, Man.
Second Issue. — Debentures for Twenty-five Thousand
Dollars ($25,000.00), dated June 1st, 1920, bearing interest
at 6 per cent, per annum, and repayable in twenty (20) equal
annual instalments of $2,179.61 each. First payment, June
1st, 1921. Payment to be made at Union Bank of Canada,
Roblin, Man.
District includes Village of Roblin and 109 sections ol
land. Assessment for 1920, $830,465.00.
The highest or any tender not necessarily accepted.
I. S. MITCHELL,
Secretar>--Treasurer,
JQ1 Roblin, Man.
I CLAIMS PAID EXCEED $3,000,000. =
..ELLINGTO
FIRE INSURANCE COMPANY
MUTUAL and STOCK
= 8288. KING STREET EAST. TORONTO
i Applic..ion.(orAg.nci«lnvi.«l. FullGov«nm«
nlllllllHIIIIIIIIIIII'"""""""""""""""""'^^^
The "Link" is the title of a pamphlet, the t-"t number
of which has just been issued by the I">P"'^' ^""J^^l! »
little booklet," says the general manager m a f"^*-""--' • ^»
being introduced (we hope to distribute an "'"•■. "^^^^'^^j^"^
quarterly) with a view to establishing \'--<'""7""';.'' b„„.
?ween the official actions and operations of the I^;'"' f "^^
of Canada and the personal interests of all "»-^;" "J^^^^
staff. It is hoped to promote esprit de cor,,, .nd increase
the spirit of good fellowship."
Analysis
of
Ccuiadiau Stocks
This Edition brings up to date
the classification and analysis of
eighty issues, comprising all the
important preferred stocks listed
on the .Montreal Slock Exchange.
The careful investor will find the
information given of constant
service. Vie v»rill be glad to send
copies free on application.
Hrile for " Aiialy"^ .4-»."
Greenshields & Co.
Invesimcnt HanWer»
14 King Street I'ast, Toronto
RUSSIAN SOVIET \M1.L I'AV IN IJOLD
\rrangements have been made by the Russian govern-
ment for the transfer of $10,000,000 in gold lo Canadian
banks, according to a statement made by Ludwig t. A. K.
Martens, chief of the Soviet Bureau in New York on July 1-
This money is for the purchase of Canadian goods. foUowinjs
upon the opening up of trade relations. Mr. Martens stated
that he believed that arrangements had been made in Ix-ndon
bv Santeri Nuortevn. one of the Soviet represenUtivcs. who
recently toured Canada interviewing Canadian m.»:iu »c-
turers. and who after%vards went to London to conduct
negotiations regarding the financing of «^°"'™'^'! *'»V/""m
dian firms. He said that the gold would be shipped from
Esthonia or from that deposited by the Soviet^ovcrnnu-nt
in Scandinavian banks. It would be sent to the •'»■" "'°n
but he <iid not know which Canadian bank would hamUc t.
That was a matter which was to have been arranged In
London.
At the Soviet Bureau in New York on July 1-'. 't wa*
.tated that plans are still in ,.rogre». for the ..,.-ning of »n
ortlce in Canada, but they had not yet rcachc.l a .l«gc ^hcrc
,i .finite announcement of the nrrang-ment. could be made
is said that nr. Oh.ol. head of the *^-- . J","--;, ';„'
department here, will likely be m charg.- of 1^" n""-^-^"
ofBce. Authorization for the opening of ,uch an office w«.
given by the C.madinn Kovernmonl recently.
It was reported recently in M-^-n' »h-t a n.n«di.^
syndicate had r.rr:.nged to extend a ^."j*'"^ °^„»^*"^'^j,^
the Russian government. Di<-uM.ng l"^'* ;:^,°.^- ..';, ^^ ^
in the New York Kver.ng Po.t of July '2. «»» — ^* ;° r*
lo- of the Canadian credit, government nfflc.aU «..d to-^1.y
tra?they simply refused to believe tha '^"^J'^-'^-;',;,"^^',
dian bankers an.l business men would .•.. l.u„„o,. «.th
Soviet commerciiil envoys."
THE MONETARY TIMES
Volume 65.
Corporation Finance
Dominion Steel Shareholders Ratify "Merger" Proposals Unanimously— Ontario Steel Had
Successful Year— Collinswood Shipbuilding Terms of Entrance into British Empire Steel
Corporation Are Announced— Winnipeg Street Railway Employees Reject New Wage Offer
London Street Railway. — In reply to complaints of poor
service, the vice-president of the Street Railway Union an-
nounced that until the wage scale reaches a minimum of
52 cents an hour there will be no money spent on improve-
ments. The system is at present being operated by the
Ontario Railway and Municipal Board, and the men are
working for 48 cents an hour, w-ith the understanding that
when the receipts warrant it they will receive increased pay.
Citizens may have to contend with a stilj further reduced
service if earnings fall off at the present scale of wage.
Bell Telephone Co. of Canada. — Final sanction and ap-
proval of a 10 per cent, increase in telephone rates by the
company, which was authorized over a year ago by the Do-
minion Railway Board, has been given by the governor-gen-
eral-in-council. The new rates will, by this approval, remain
permanent, because the cabinet has refused to grant the ap-
peal of Toronto and other municipalities in which the request
was made that the board's order be rescinded as unjustified,
and there is no higher court to which to appeal.
Winnipeg Street Railway. — By a majority of eight, and
with about .SOO men not voting, employees voting against ac-
cepting the 10 per cent, increase in wages offered them by
a board of arbitration. The vote was: 481 against accepting
the award and 47.3 in favor. Another ballot is to be taken
on the question of striking to enforce a demand for a 20 per
cent, wage increase.
Company officials say that the 10 per cent, increase
would raise the operating expenses $300,000 per year, and
claim that this could be met only by increased fares.
Dominion Flour Mills. Ltd. — Bondholders of the com-
pany have ratified a resolution of the directors, modifying
the bondholders' rights and permitting the company to dis-
pose of their mills located in the province of Ontario, .should
they see fit to do so. It is stated that no offer has been made
the company for any or all of their mills in Ontario, but
should such an offer be made, the company would have
no authority to consider same before consulting the bond-
holders. It was for this purpose that the special meeting
was called, and the approval of bondholders sought.
Fort Frances Pulp and Paper Company. — The Paper
Control Tribunal has handed out a judgment regarding the
refund of overcharges alleged against the company, and that
the Fort Frances interests must refund to various news-
papers concerned, charges over and above the prices for
newsprint, amounting to approximately $122,000. At the
same time the tribunal has allowed the appeal of the Fort
Frances company against another ruling, and allowed the
company to charge $80 a ton for paper from and after De-
cember 31st. 191!). Mostly western journals are involved
in the appeal of the newspapers, and the claims cover a
period from January, 1919, to December 31st, 1919, during
which it was alleged the Fort Frances company has charged
and collected prices in excess of those allowed by the paper
control board to a total of $122,13G.
It is intimated by Mr. Hellmuth, K.C., who appeared for
the company, that the decision of the tribunal would be
carried to higher court since the company challenged the
jurisdiction of the paper control board.
British Columbia Electric Railway Company. — Applica-
tion for the privilege of putting in force a seven-cent fare
in Victoria will probably be made to the Board of Railway
Commissioners in the near future. A. T. Goward manager
of the company, intimated this much before the city council
recently. As the city council, under existing legislation, has
no authority to give the company the right to charge more
than six cents, it is unlikely that negotiations can be carried
on further between the city and the company with any
promise of a satisfactory agreement resulting.
The British Columbia Electric Railway Company applied
last year to charge a six-cent fare, believing that the general
improvement in conditions at Victoria, expected at that time,
would enable the street cars to be operated satisfactorily on
that basis. Events have shown, however, that a six-cent
fare, even accompanied by elimination of jitneys, would be
an expedient of little value. The seven-cent fare some
months ago seemed to be inevitable if the company was to
make both ends meet.
Collingwood Shipbuilding Co. — Shareholders of the com-
pany are in receipt of a letter announcing the terms upon
which it is proposed to enter the British Empire Steel Cor-
poration and calling a special meeting for July 27, for ratifi-
cation. Under the agreement the Collingwood Shipbuilding
Co. agrees to sell all its undertakings and assets to a con-
cern described in the circular as the "Collingwood Shipbuild-
ing Corporation, Ltd.," which would appear to be a new link
between the operating company, which is being acquired, and
the British Empire Steel Corporation. The purchaser as-
sumes and undertakes to pay, satisfy, discharge, perform and
fulfil all the debts, liabilities, contracts, engagements and
obligations of the company, whatsoever. The consideration
is as follows: —
"(a) First mortgage 10-year 6 per cent, serial bonds,
upon the property of the corporation, of the par value of
!fl,950,000, unconditionally guaranteed as to principal and
interest by the British Empire Steel Corporation, Ltd.
"(b) Seven per cent, cumulative preference stock of
British Empire Steel Corporation, Ltd., of the par value of
$1,040,000.
"(c) Seven per cent, cumulative second preference stock
of British Empire Steel Corporation, Ltd., of the par value
of $1,040,000.
"(d) Common stock of British Empire Steel Corporation,
Ltd., of the par value of $1,040,000."
Montreal Tramways Co.— A decision of the Montreal
Tramways Commission given against the company last year,
was upheld by the Quebec Public Service Commission at a
sitting in Montreal last week. On August 25, • 1919, the
Tramways Commission deducted the sum of $534,055 from
the amount of the company's working capital; the judgment
of the commission of first instance reading: —
"It was resolved that of the amounts of working capital
for which interest at the rate of 0 per cent, per annum is
claimed by the Montreal Tramways Co., from February 10th,
1918, to June 30th, 1919, the amount of $534,055, represent-
ing the reproduction cost of stores in hand, included in the
valuation schedule 'A,' of the contract, be deducted." It
was from this ruling that the company appealed.
Col. Hibbard, chairman of the Public Service Commis-
sion, who wrote the judgment, pointed out that the first thing
to consider is whether this amount of $534,055 was or was
not included in .schedule "A," referred to, and part of the
contract, as sanctioned by the legislature, and believes that
it is quite clear from the evidence of Mr. Sauret, engineer of
the Tramways Commission, that this sum was included at
the book value of stores in hand as per the inventory of
June, 1917, and this sum is entered in the total sum of $36,-
286,295, the allowed ca.pital value of the company's system.
The company contended that the sum of $534,055 should have
been allowed it as working capital.
Ontario Steel Products Co.. Ltd A successful year's
business is reported by W. W. Jones, president of the com-
July 23, 1920
THE -MONETARY TIMES
55
|iany, in his statement for the year ended June SO, 1920.
Ihe net profits amounted to if;U5,900, as compared with
li»8,770 in the previous twelve months, an increase of $117,-
:0.47. And this result was achieved in face of a sul)stantial
reduction in the price of articles.
In addition to paying the regular 7 per cent, dividend on
•he preferred stock, which consumed ?52,500, arrears to a
tal of $1.5,000 were paid out. .\11 the arrears on the pre-
.jrred stock have now been overtaken. The directors have,
in addition, declared a dividend of 7 per cent, upon the pre-
ferred shares for the full year ending June :H»th, 1921, pay-
able quarterly at the rate of 1% per cent., on November 15th,
1920, February l.")th. May KHh, .\ugust l.")th, 1921, to stock-
holders of record October 30th, 1920, January 31st, April
nth and July 30th, 1921, respectively. The directors have
;lso authorized a dividend of 8 per cent, upon the common
shares for the full year ending June 30th, 1921, payable
quarterly at the rate of 2 per cent, on August Itith, Novem-
ber, 15th, 1920, February 15th, May IGth, 1921, to stock-
holders of record July 31st, October 30th, 1920, January 31st,
April 30th, 1921, respectively. The amount transferred to
the sinking fund was $15,708; a year ago it was $12,000.
Bond interest consumed $32,292; a year ago it took $36,000.
. In his report the president said: —
"Notwithstanding a substantial reduction in our prices
Juring the past year, our output in value and tonnage was
the largest since incorporation. Earnings from specialties
show an encouraging increase, and sales of old or obsolete
stock omitted in previous inventories contributed substan-
tially to the profits as shown. Since the first of January,
domestic shovel business has been brisk, and an extension
10 this work is in contemplation. Export trade is still being
outlined, but in smaller volume than last year. .AH our
original factories have been employed to about capacity
iuring the year, and manufacturing was commenced in the
L-ntral Springs Works, Oshawa, early in April. Necessarily,
our output at that point has been small up to the present
time, but it is expected that a satisfactory tonnage will be
produced dui-ing the coming year."
Dominion Steel Corporation. — As was briefly mentioned
in Tin- Moiu'ldi-y Times last week, shareholders of the com-
pany have unanimously accepted the proposals of the direct-
ors to enter the British Empire Steel Corporation. The only
remaining large company to vote on the merger proposals
ow, is the Canada Steamship Lines, Ltd.
After the preliminaries at the special meeting, which
was held on July 15, Roy M. Wolvin, president, moved the
formal resolution ratifying the agreement. Sir Clifford Sif-
ton, speaking as a member of a committee appointed by the
recently elected board of directors, to investigate the pro-
position of the Empire Steel Corporation, stated that there
was no need to enter into a discussion of all the details of
the proposed consolidation. The shareholders generally re-
lied upon the wisdom and loyalty of the directors to safe-
guard their interests, and in this case, and speaking in the
light of a careful investigation of all the many matters
involved, he was happy to say that the interests of the share-
holders had been amply protected. There were no other
speakers and the motion being put, carried unanimously.
President Wolvin, in his remarks, spoke enthu.siastically
s the future of the new consolidation. "The British Em-
pire Steel Corporation," he said, " will possess the largest
individual holdings of iron ore and coal of any company in
the world. To my mind its properties are best situated for
the cheap manufacture of steel products, and are most
advantageously located for world trade. In thc.-c days of
railroad difficulties and congestion our situation is such that
for export trade we need place no dependence whatever upon
railroad service, and with a water outlet for our coal, our
miners are able to work every day in the week, if they \vill,
instead of being idle on account of shortage of cars or other
similar difficulties.
"The steel and coal industry of Nova Scotia has had a
varied experience. Undoubtedly the men who first under-
took this work were men of vision, but I .Jo not leel that
tverything has been acconiplij^hed that should have been
done with these wonderful natural resources. The companies
have always found it difticult to get capiuil. They have also
depended upon government us.-iistance and upon domestic
trade, but the situation in the world has chaiiKi'd, and our
industry is now what its new name will imply— an empire
proposition and a world proposition. Uur plans include the
bringing into the consolidated companies of twenty-five mil-
lion dollars of new money, to be spent upon the development
of our properties, and with this money we hope to get ut
least part of our plants into a position where the cost of
production will be such as to compete with any other plant
in the world.
"In Toronto business is largely operated on the bunker
and trust company idea. Montreal operates in a broader
field, but when you get to the .Maritime provinces one finds
the trader who is in touch with West Indian business and
foreign trade, and who has a different outlook. We are
naming our new company the British Empire Steel Corpora-
tion. We hope to give it the world vision such us has made
Great Britiiin. We have the necessary money, and I expect
we will havt sufficient vision ind proper British enterprise
and nerve to go into the world's market-s and obtain suffi-
cient profitable business for all our plants. Let me .iny here
that in my judgment the possibilities of the corporation are
unlimited."
.At a meeting of the directors of the company, during
their visit to the marilimes on their inspection trip, two
new meml)ers were elected to the board. The new mem-
bers are D. H. McDougall, president of the Nova Scotia
Steel and Coal Co., and Dr. W. L. McDougall, president of
the Century Coal Co., of Montreal.
co-oi'KUA in i: i-uoi irs aki: (.ood
The Co-operative Union of Canada, with headquarters
in Brantford, Ont., has just published statistics of the pro-
gress made last year by the organized co-operative move-
ment in Canada. The societies nflilintcd with the union are
scattered from Cape Breton to Vancouver Island. The fifteen
retail .societies which furnished information did an aggregate
turnover of S2,132,72.">, showing an increase for the year
of $044,185. The share capital investment was increased by
$49,ri98; the same amounting to $212,059. The net surplux,
or profit, made was $150,870, or an average of 73.9 per cent,
on the share capital employed. Of this amount, however,
$138,215 was returned to the consumers as dividend* on
their purchases, an increase of $24,24(i over the previouii
year, reducing the cost of living to the members and other
customers to that extent: only $18,054 being retained to
pay interest on capital and for allocation to reserve funds.
The purchase dividends paid range from 2 per cent, to 12Vi
per cent.
Separately tabulated are the statistics of United Grain
Growers, Ltd., also an affiliated organisation, which, while
principally engaged in the marketing of grain and livestock
does, in addition, a large distributive business. For the
year it recorded the handling of 5,257 cars of livonfock nnd
22,203,007 bushel.K of grain, be.tidcH doinir a diHtributivr
trade of $0,180,369. It has n memliership of .•M.503, n rnpitiil
investment of $2,415,185, a re.ifr%e fund of $1,750,42'.', m;otr
a net profit of $14.S,540. and fnuml cinploymenl for " '
people. Its net .xurplus is not. however, diflributr<l on the
Rochdale plan, that is to say. in proportion to purchuMS*
and sales, but retained or applied for the common advantaire
of the members.
"Our South American Trade and Iti> Kinnncing" is the
title of a booklet just issuejl by the Nntional City Bank of
New Vork. It dii-cribos methods of iloing business, handlins
shipments, financing and exchange with the countries of the
south, in which the bank is well represented.
THE MONETARY TIMES
Volume 65.
^VHEAT ACREAGE DECREASED TEN PER CENT.
(Contbmed from page 36)
been well sustained, owing- to the excellent condition of the
grass. Peel remarks that while the milk flow has been
keeping up well, butter-fat tests have been responsible for
several "shut-offs" during the week. Bacon hogs are being
marketed at from $19 to $20 a cwt., but do not appear to
te in such numbers as in recent years. The demand for
farm labor is increasing now that grain cutting has joined
with the belated harvesting of hay.
Nova Scotia Needs Rain
All correspondents in their reports to the Secretary of
Agriculture of Nova Scotia, refer to the inadequate rainfall
to date, and state that the crop outlook is serious if the
drouth continues much longer. With a moderate rainfall
during the next few weeks, however, present conditions
are such as to warrant the expectation of at least a good
average harvest of practically all farm crops. Hay, which
looked very unpromising three weeks ago is now averaged
at 85 per cent, of last year'.s bumper crop. Last year's hay
crop, by the way, was about 25 per cent, larger than that
of tlie previous year. There are some local areas, such as
North Inverness, where rainfall has been unusually light,
and the hay is consequently in a very poor condition. Even
■with the most favorable weather from this out, little more
than two-thirds of a crop can be expected in these areas.
Oats and other cereals, potatoes and root crops are re-
ported to be, in the main, well up to the average. With
favorable weather conditions during the remainder of the
season, these will yield bumper crops. The apple prospect
is variously estimated in different districts from 45 to 90
per cent., with a general average of 65 per cent, as com-
pard with 1919. It will be remembered that the apple crop
of last year was about double that of any previous year
for some time back. With respect to apples it may be well
to point out that there is sure to be a heavy drop in yield,
-with smaller fruit, should there be long continued di->-
-weather.
Pastures are reported slightly below last year's quality,
averaging 90 per cent, with some districts giving a much
lower estimate. Notwithstanding this, creamery managers
report an increase of 40 per cent, over last year's business.
While some of this gain is due to an enlarged patronage,
there is also a marked increase of output from former
patrons. Taking it all in all, present crop reports must be
regarded as reasonably favorable, with a very gi-eat deal
depending upon weather conditions during the" next month.
RECENT FIRES
Chemical Fertilizer Plant at St. John, N.B., Sawmill at
Maissonouvc and Garage in Vancouver are
Large Losses this Week
"jl/fORE dry weather in some sections has again started
-l-'* forest fires. Some valuable timber has been burned
during the past two weeks, but as yet the danger to towns
and villages is not nearly as serious as during the dry spell
towards the end of May. A report from St. John, N.B.] dated
July ISth, stated that the village of Upper Gagetown, on
the St. John River, was threatened by a fire which had
already burned five miles of timber, but on the 19th the
danger was reported as being past.
Reports received on July 12th by the British Columbia
depai-tment of lands stated that the Cariboo, Kamloops and
Prince Rupert districts were the only ones really safe at that
•time. Nelson, Prince George, Vernon and Cranbrook were
in a rather serious position. Subsequent rains relieved the
anxiety, however. Over a thousand acres in the Brazeau
reserve, in northern Alberta, were burned over during the
first few days of July. The area was mostly covered with
small spruce of considerable value.
Coaldale, Alta. — July 14 — Warehouse belonging to J. B.
Shimek was destroyed. Loss is estimated at $30,000.
Drumheller, Alta. — July 12 — Barn belonging to the
Premier Coal. Co. was desti-oyed. The loss was covered by
insurance.
Hull, Que. — July 15 — Hull Music Store damaged. Esti-
mated loss is $3,000.
Kingston, Ont. — July 14 — Home of George Loyst com-
pletely destroyed. Fire was caused by lightning. One
fatality.
London, Ont. — July 18 — Factory belonging to D. S.
Perrin damaged. The loss is estimated at $2,000, and the fire
is believed to have been caused by spontaneous combustion.
Maissoneuve, Que. — July 21 — Sawmill and lumber plant
belonging to J. P. Abel, Fortin and Co., Ltd., damaged. Esti-
mated loss, $25,000, partly covered by insurance.
Wanitou, Man. — Fire originating in the office of John
Pollock destroyed several other shops in the town. The loss
was covered by insurance.
St. John, N.B.— July 20 — Chemical fertilizer plant, owned
by R. D. Patterson, was destroyed. Loss is estimated at
$100,000, partly covered by insurance. Cause unknown. The
plant was built in 1891 by the owner.
Vancouver, B.C. — July 9 — Garage belonging to the Con-
tinental Motor Co. destroyed. The loss is estimated at $25,000.
Winnipeg. Man. — July 15 — McRae Building, at comer
of James and King Streets, damaged by fire.
-ADDITIONAL INFORMATION
Alvinston, Ont. — June 13 — Planing and sawmills be-
longing to D. J. McEachern and Son, damaged. The total
loss on contents and building is $6,000, with insurance of
$1,500, in the Gore District Mutual Fire Insurance Co.
Halifax, N.S. — June 27 — Barn belonging to J. A. Lea-
man and Co., also two dwellings destroyed. The fire is be-
lieved to have been caused by defective wire. There was a
total loss of $9,600, with insurance of $2,000, in which only
$900 can be collected.
New Glasgow, N.S.— July 7— Workshop of the Maritime
Bridge Co. destroyed. The total loss was $120,000, with
insurance of $65,000.
Warwick Township, Ont.— July 2 — Two barns, owned by
N. Herbert, were destroyed. The fire was caused by light-
ning. Total loss $3,000, with insurance of $900, in the Lamb-
ton Insurance Co.
Winnipeg, ALnn. — June 15 — Hay belonging to the Came-
fac Stock Food Co., Ltd., was destroyed. The fire was
caused by smoking. The total loss was $12,000, with insur-
ance of $15,000, in the following companies: Aetna, $1,000;
Atlas, $250; Essex and Suffolk, $2,500; Fidelity-Phenix,
$500; Glens Falls, $2,000; Guardian, $2.50; Law, Union and
Rock, $600; New York Underwriters, $600; Northern, $600;
North Empire, $500; New Hampshire, $1,500; Providence-
Washington, $2,000; Truro, $600; Queensland, $500; Spring-
field Fair and Marine, $1,000; Western, $600.
Manitoba.~The fire marshal's report for May, 1920,
shows that during the month there were 254 fires, with a
loss of $96,901, on which $1,112,379 of insurance was carried,
the value of the property being $1,343,057. The loss ratio
per capita was $.1.58.
.\n analysis of the causes of fire during May shows that
fires were caused by: Rubbish, 97; stoves and furnaces, 20;
matches, 16; chimneys, 14; lightning, 6. Fifty-nine dwellings,
93 rubbish and grass, 30 farm dwellings and 4 stores were
destroyed. The loss in Winnipeg was $644,639 and the loss
in Brandon $25,069.
PlTBUriUKD KVF.RV Fl
The Monetary Times
i- Printing Company
' of Canada. Lin-.it.J
I^i^he Canadian Engineer"
Trade Review and insurance Chronicle
of (Tanaiia
Established ISt^
Old «s Confederation
JAS. J. SAL.MOND i
Prxldent and Geaar&l MAiiac«r'
A. E. JENNINGS
AeaUluit C«D«»1 Manager
JOSEPH BLACK
8«cretJir\'
W. A. McKAi.l
Editor
Union of Canadian Municipalities Convention
Ownership and Operation of Utilities and MunK-ipal Activity in Htmsin;: Feature lii>cus-
sions at Quebec Meeting— Incidence of Municipal Taxation— Recent Progress of Western
Municipalities — Commission Government in Small Towns — Relations With Labor
THE 20th annual convention of the Union of Canadian
Municipalities was held in the city of Quebec, July 27
to 29. Representatives from all parts of Canada were pre-
sent. After a meeting of the executive on Tuesday morning,
an official welcome to the delegates was extended by Mayor
Samson, of Quebec, in which he emphasized the need for
serious consideration of growing municipal problems, such
as the operation of public utilities. Sir Charles Fitzpatrick,
lieutenant governor of the province, formally opened the
meeting in the afternoon.
Mayor Harold Fisher, of Ottawa, in his presidential
address, stated that unless financial conditions changed, the
housing problem was bound to become more acute. The ques-
tion of handling municipal enterprises was admittedly diffi-
cult, and deserved a careful investigation.
The delegates were given ample opportunity to see Que-
bec, both as an industrial and as a tourist city. On Wed-
nesday they inspected the police and fire departments, and
were taken on a boat trip through the harbor. In the even-
ing they were the guests of the city council, addresses being
given by Mayor Samson; A. A. Pearson, of Point Grey, B.C.;
Hon. Antonin Galipeault, minister of public works. Quebec;
Aid. M. Fiset, Quebec; Mayor Fisher, of Ottawa; .\rthur
Roberts, K.C., Bridgewater, N.S.; Aid. Dixon, Montreal;
Mayor Beaubien, Outremont, and Controller J. H. Ramsden,
Toronto.
Bonuses to Industries Opposed
On July 28 the convention placed itself on record as
opposed to the practice of bonusing industries; there was
only one dissenting vote when this resolution was passed.
J. N. Bayne, of Saskatchewan, remarked that if firms were
not strong enough to stand on their own feet without the
aid of bonuses it did not speak well for these fimis. He
did not believe there could be any strong arguments in favor
of granting bonuses. W. D. Lightall, K.C., Montreal, said
that although the principle of granting bonuses was a bad
one, there might be individual cases where it would be ad-
visable to grant them. Mayor T. D. Bouchard, of St. Hy-
acinthc, was strongly opposed to municipal bonuses, and
said a law should be passed to put an end to them.
Aid. Dickson, of Montreal, expressed his opposition em-
phatically. He pointed to Montreal as an example, saying
that the annexation of smaller municipalities ot>liged Mont-
real to acquire their liabilities. A firm which could not do
business without a bonus was not worthy of consideration.
he said. Aid. Collier, of Quebec, &Uo spoke against bonuses,
and likewise of municipal tax exemptions, which, he held,
were equally vicious.
Previous to the discussion of the bonus question a reso-
lution was passed accepting the resignation of G. B. Wilson
as assistant secretary and granting him J'lOO for his services.
It was decided to appoint a permanent secretary at a salary
of ;v2,500 a year, the salary to be increased later il the
finances of the union will permit.
At the opening of the afternoon session. J. I). Saunders,
city clerk of Camrose, Alta., and secretary of the Union of
Alberta Municipalities, spoke on the recent progress of west-
ern municipalities. He said that until the West has a popu-
lation commensurate with its vast areas, there was no use
of talking of establishing industries. Mr. Saunders pointed
cut that the total population of Alberta was not as large
as that of the city of Montreal, and dealt at length with the
questions of inflated valuations, taxation systems and the
lack of population.
President's .\ddress
In his address President Fisher, of Ottawa, said in p«rt:—
"About the union there is a great deal tb..
said and certainly there is much that must be ■
to be made the useful and efficient organization ■
Under favorable conditions an association composed of uU
the municipalities of Canada, large and small, and separ-
ated in some cases by thou.sands of miles, must be a diffi-
cult organization. During the past few years the union had
had to contend with exceptional conditions.
"Originally, the union was a fighting organization formi-il
primarily to look after the interests of the municipnlities in
matters coming before the Dominion parliament or dealt
with by the Dominion government. For several years there
has been little fighting to be done before the Dominion par-
liament. The creation of the railway board, with its ever-
increasing jurisdiction, remove<l many matters from the
political field where lobbying and other influences of a bane-
ful character had long been felt. The war put an end for
a time to private enterpri.^e of the kind that took form in
private bills, that were not always of benefit to the public.
The acquisition by the government of o great yun of the
railway svstem of the country has. for a time at least, done
awnv with i-ailroad building by private companies and. what-
ever may be said otherwise of the venture, has had the
effect of removing a source of aggression which has nhvays
been feared bv municipalities. Within the year the unioi,
did raise a prof.sl against any suggestion that goVornnMm'
railway property taken over fmrn private . .mpnnic^ 'Ii.mim
be exempt from local ta.xation. with the rcnlt th.it u -«.".
ment was made by the govrniment that th-rr wbn .u. vu-
tion to seek this exemption. Perhaps the |M.U<-r wa- un-
neces-sarv. but it .-ertninly -lid no harm. Apart rn.m ini..
there has been little work for the union to do .,
With no danger threatening m wb;it w.'ii* the
of the union, the nei^l of .■. f.-Icr.-1 ..rgnniznt..
questions by some who br.ve not g.,nc into tbv iiiat.c,
thoroughly. . ,. . . i j „ .t„n\i
"Dunne the war many municipalities, developed « -trcBk
of economv o^ the kind that show. itM-lf "'"""'y '" """'
matters. They thought that they could not ^"J^^l''^^
delegates to on, conventions. It is to be- hoped that we are
(iniiliinied o»t pngr 1,5)
THE MONETARY TIMES
Volume 65.
FEDERAL TAX COLLECTION MACHINERY IMPROVING
Busiest Department at Ottawa — Prosecutions are Invariably
Successful — Burden of Increased Railway Expenses
to be Shifted to I'ublic
(Special to The MoiU'lary Times.)
Ottawa, July 29, 1920.
THERE are evidences that there will be a political awaken-
ing in Ottawa shortly. Hon. Mackenzie King, the
Liberal leader is preparing to make a nation-wide tour.
From his standpoint evei-ything depends upon this tour.
With his following in the house, he has not made a great hit,
and last session did not strengthen his position. However,
if he can carry the fiery cross to the country with enough
zeal to arouse the old-time Liberal spirit he will rehabilitate
himself. He is young and will grow, and unfortunately for
himself with his following in parliament always suffers with
the very natural comparisan with Laurier.
The new Prime Minister, Hon. .Arthur Meighen, if he
can tear himself away long enough from his duties at Otta-
wa will also take to the stump. The country has a new min-
istry, a new party and a new platform, and the country
would like to get better acquainted with all three. Mr.
Meighen will make his first public appearance in Portage La
Prairie, his home constituency, where he will be given a public
reception. This will be followed by several other meetings,
and then he will plunge into the coming bye-elections. Upon
these bye-elections depends the fate of the government and his
own future. Judging by the Nova Scotia results, Hon. F. B.
McCurdy will not have easy sailing in Colchester. Colchester
was carried by the fai'mers in the provincial fight. .-Alto-
gether Mr. Meighen has a couple of anxious months ahead.
The outlook ahead is enough to daunt one with less vigor and
less courage.
Imperial Press Congress
Just at present Ottawa is chiefly interested in the com-
ing Imperial Press Congress. In addition to the meetings of
the conference itself, which promise to be of more than pass-
ing interest there are a whole series of functions and fetes,
which so delight the heart of Ottawa, and this at a time when
such events are not usually looked for.
It is a heartbreak to try to do business with Ottawa
departments these days. All gocernment offices close at
four o'clock, and there is no ovei-tinie. There is a gi'and
scramble as soon as the clock ticks four and the chances
ai'e that the man you are looking for has slipped away ten to
four. Then follows Ottawa's famous Sparks Street and
Plaza parade. Fifth .Avenue has nothing on riots of colors,
gaiety of frocks and variety of costume.
Collection of Taxes
There is just one man in Ottawa who never seems to
cease work, that is R. L. Breadner, commissioner of taxes.
There is no end to taxation, so it is perhaps fitting that Mr.
Breadner keeps up his eternal vigil. There is an all round
tightening up in the enforcement of the act. Last month,
he tells me, he prosecuted sixteen people for not making
returns. He was successful in every case. The boast of the
department, indeed, is that it has not yet lost a prosecution.
When income taxation was first proposed, Mr. Breadner told
Sir Thomas White it would take five years to build up an or-
ganization which would be at all efficient. It is now only three
years since the income tax was first introduced, so that the
commissioner of taxation naturally is well satisfied with the
results. In two more years he claims he will have such an
organization completed that, few, if any fish, will be able to
slip through the net.
Certain Increase in Railroad Rates
There is much interest in Ottawa in the official announce-
ment from Vancouver, made there by Hon. J. D. Reid. min-
ister of railways and canals, that the Canadian National
lines will accept the schedule of wage increases for railway-
men granted by the American Railway Board. There would
seem to be no alternative for the government — having
accepted all through the war the McAdoo award. However,
incheased wages makes certain a jump in railway rates, both
passenger and freight, the hearing for which will be heard
shortly by the Railway Commission. Increased rates means
increased cost of living and there you go.
In a statement made in th€ house, Hon. Dr. Reid pointed
out that the wage bill for the Canadian National Railways —
this was without the Grand Trunk— was in 1919 $73,000,000,
having owing to the McAdoo awards, jumped from $54,000,-
000 in 1918. The minister made the rather startling state-
ment that out of every dollar earned seventy-eight cents
passed directly by way of wages to the employees. He also
added that in 1914, the average wage per year of the railway
employees was $700, and in 1919, on the National Railways, it
was $1,447. The new award will increase these figures and
for all this the poor public will pay.
Action by the Department of Trade and Commerce in
regard to the increased freight rates between Halifax and
St. John and West Indies points have been deferred pending
the return to Ottawa of Sir George Foster, minister of trade
and commerce. Some time ago the department had. an appli-
cation from the steamship companies concerned asking for
an increase of 10 per cent, in the rates between points on this
route. Now a protest against the increase has been received
from St. John, N.B., city council, and it is expected that the
city council of Halifa.x will join in opposing the increase. The
matter will stand over, in any event, until Sir George Foster
returns from his trip down the St. Lawrence.
Five Million for Highways
Five million dollars will be spent this year in making
better the main highways of the country through federal and
provincial gi'ants. Of this amount, the Dominion governmeht
will contribute two millions and the provincial governments
three. This is the first year in which the road money has
been available, and in view of the time taken in preparing
plans the initial year's outlays will not be so heavy as in
some succeeding years.
The improvement scheme, however, is general. Before
the Dominion government makes any grant for the pui-pose
the provinces have to file general plans, and evers' one of
them, from coast to coast, has done so already. The detailed
plans also need approval by the Dominion government, and
this has been done in several instances, and work is already
under way. While the provinces may improve whatever roads
they choose to, the Dominion grant of 40 per cent, of the cost
is restricted exclusively to main or trunk highways.
Messrs. W. E. Scott and Russell Wilson, who have been
in the British Isles acting as a Selection Committee of the
Soldier Settlement Board of Canada, have returned to Ottawa.
They held eighty-three sessions in many parts of Great
Britain and Ireland, and a large number of men who wish
to settle on farms in Canada appeared before them.
Duplication in Income Taxes
Methods to obviate the duplication of income taxation are
receiving consideration from the minister of finance. The
present system is admitted to involve considerable hardship-
In some provinces the individual is called on to pay three
income taxes — federal, provincial and municipal. Two sets
of income taxes is an ordinary process. There are hopes that,
by means of negotiations with the different pi-ovinces, some
understanding may be reached whereby income tax may
suffice, this tax being under the auspices of the federal au-
thorities. Some compensating process for the pro\'inces will
be necessary, and taxes on land values open up one possible
avenue. Investigations which have been made are not favor-
able to the land tax as a federal institution, but as one
operated by the pi-ovinces, if they are so disposed, the out-
look is more favorable. Where the federal tax would be, in-
evitably on one common basis, such a tax, imposed by the
provinces, could be governed by local conditions.
I
July 30, 1920
THE MONETARY TIMES
International Association of Fire Engineers
Many Canadians Attend Large Ct)nventi<)n in Toronto I're-^ident
Kenlon of New York Suddenly Resigns— Manual on Fire Fighting:
Presented— Adequate Fire Fighting Force Necessarj- to Efficiency
I^OR the third time within two years a large international
A body engaged in fire preventive work held its annual
convention in Canada, when the International Association of
Fire Engineers met in Toronto, July 26-29. The meeting
was scheduled to close on July 30, but business was com-
pleted on Thursday. In May, 1919, the National Fire Pro-
tection Association met in Ottawa, and last August the Fire
Marshals' Association of North America held its convention
in Toronto. While all three organizations are mainly Ameri-
can, they include many Canadians in their membership, the
work of the National Fire Protection Association, especially,
being international in scope. Once before, in 1894, the In-
ternational Association of Fire Engineers met in Canada, in
Montreal.
.^bout 2,000 fire chiefs and other members attended the
Toronto meeting this week, a special train bringing the
delegates from New York and the surrounding district.
Special features were the exhibits of fire fighting appara-
tus at the Canadian National Exhibition grounds, Toronto,
where the meetings were held.
President Resigns
The president, Fire Chief Kenlon, of New York, resigned
immediately upon his arrival in Toronto, because of the fact
that the executive committee supported Fire Chief Wil-
liam Russell, of Toronto, who had charge of local arrange-
ments, in his selection of an officiating clergyman not fav-
oured by Chief Kenlon. The resignation was accepted by
a vote of the delegates. It is understood that differences
in policy, which arose between the president and the ex-
ecutive during the past year, are really responsible for the
resignation of the former. The vice-president. Chief Healy,
of Denver, Col., presided in place of Chief Kenlon. The other
members of the executive committee are: Second vice-presi-
dent, . Chief Reynolds, of .Augusta, Ga.; acting secretary.
Chief Hoey, of New York; treasurer. Chief Carter, of Cam-
den, N.J.; Chief Bywater, of Salt Lake City, Utah; Chief
Magee, of Dallas, Texas; and Cheif .Armstrong, of King-
ston, Ont.
Pumping engines operating without any hydrant pres-
sure were demonstrated on the water-front. .Among the
companies exhibiting engines were Seagrave.s, Republic,
American La France, Ahren-Fox and White's. Chemical
extinguishers, smoke masks, waggons, hose, life saving de-
vices and other apparatus for use by fire departments and
by private concerns were shown in a building set aside for
this class of exhibits.
Manual on Fire Fighting
Advance sections of a new manual on firefighting in all
its phases were distributed to the visiting fire chiefs. These
sections, which are in the form of pamphlets, deal with,
among other topics, the "Uses of .Automatic Sprinkler Equip-
ment," "Fires in Theatres," "Factory Buildings," "Oil Fires."
"Fires in Frame Tenements," "Fires in Department Stores,"
"Fires in Non-Fireproof Tenements, Flats and Apartment
Houses." They are the work of various committees appoint-
ed for the purpose by the association. When completed, the
entire work will fill a volume, and will be almost encyclo-
paedic in its scope. A paragraph from the pamphlet on
apartment house fires advises the firemen, in cases where
illuminating gas is escaping, not to extingui.-^h the ga.s flame
with streams of water, but to wet the woo<lworl< in Its vicinity
and take necessarj- measures to cut off the flow of gas.
Othei-wise, the escaping gas may cause a bad explosion or
injure the firemen who inhale it.
After the registration of delegates on Monday morning,
a welcome to Toronto was extended by Mayor T. L. Church.
Chief S. Boyd, of Knoxville, Tetin., replied. Chief Kenlon,
in presenting his resignation, stated that there was too
much criticism from outside as to how fire depnrtmpnts
should be run. He thought that the convention
some definite policy of running a tlcpartment, .
position to say to civic authorities that this pol:
approved by the fire chiefs of the continent. He ihuu^hl
the report presented by Chief Hculy of Denver, vice-presi-
dent, on this subject, went too far in attempting to estab-
lish hard and fast ordinances, because different cities had
varj-ing conditions.
BusineK.s Sessions
Chief Healy, in this report on organization, the first
presented at the business sessions, which commenced on Mon-
day afternoon, advised the appointment of a fire commis-
sioner to have full charge of the dt-partment and to l«;
answerable only to the mayor. Drastic by-law in connection
with rules to be obser\'ed by the citizens, and the authority
of the chief over his subordinates while a fire is in progress,
are proposed in the report.
Fire Chief Wm. H. Murphy, of Philadelphia, rend a
report on the "Organization and Strength of Companies."
Too many defects are due, he maintained, to the under-
manning of fire departments, which should always have,
after allowing for absences, a sufficient staff. The strength
necessary for an average mercantile district, where then-
is a considerable life hazard, he defined as follows: For a
combination pump and hose wagon, 8 men; automobile pump
and hose wagon, 9 men; tractorized steamer and hosse wagon,
10 men; hose company, H men; high-pressure ho.se wagon.
11 men; engine company, capable of operating two streams,
7 men, with extra drivers for hose wagon or other auxiliaries;
truck company, serx'ing .'J engine companies and to provide
life-saving and other service, 9" men; chemical company, 5
men; water tower company, 5 men; fire l>oot company, 16
men; rescue squad, 11 men.
Other Reports I'resenU-d
The third report was by Fire Chief Howard Stanton,
of Norwich, Conn., on Fire Department Engineering. This
was followed by one on Drill Schools, Drills and Troining.
By Chief John C. .Moran, of Hartford. Conn., who went into
the best methods of handling a fire fighting unit. Thru-
four reports were followini by six others, which it wn»-<i«-
cided should Ik- taken as read, ami rofcrnMl back to the
committtH.'S to 1-c taken u)) and passed upon ot the next ion-
vcntion. The reports wi-re as follows: Di.scussion of Kir.
Manual, by Deputy Chief Thos. F. Dougherty, New V.iV.
Building Inspection by Uniformed Members of Fir>' I'-
partments. by Captain John J. Conway. Cincinnati. <'i •
Membership, by Chief Hugo R. Delfs. Lansing, M h :
Location. De.iign and Construction of App;ir,ttu» Umi-.-.
by Chief Frank ('.. Reynolds. Augusta. C.i; Rules. R-r i
tions and Discipline, by Chief Charles W Ring-r. M- ■
apolis, Minn.; Water Supply. Hi<h Prrssure Systom. Oi • ..
tion of High Pressure Strcani.v by Chief A ^ ^ '
Baltimore. Md
The mcnib" rship of the assmintion »hou«
increase for tlic year The numb<T regl
vention was ns follows: Old active men
tivc members 121'; old a.«.»ocinl«- members
members 115. This made a toLol of fi20 r<k; u !■ <i. I'"' ' '
were a consid>nible number of delegalt-s present who i.l
not register. Tin total present was estimate*! »• "'"i \ , .i
25 Canadians ^^•^.■ pres<nt. including the fire
distant cities of Halifax ond Vancouver. Most
THE .MONETARY T I .M E S
Volume 65.
come for the principal purpose of attending the convention
of the Dominion Association of Fire Chiefs in St. Thomas,
Ont., next week.
A proposal that all fire insurance agents be licensed, and
placed to some extent under the control of the local fire
chief, was discussed and received considerable support,
although no action was taken. Incendiarism, it was pointed
out, is fostered by over-insurance.
Danger of Incendiarism
John G. Gamber, president of the Fire Marshals' Asso-
ciation of North America, delivered an address before the
convention, describing in a general way the work of a fire
marshal. He said in part: —
"During the last year incendiary fires have been few.
Business has been too good for incendiarism because of the
high price levels. I need hardly tell you there are hundreds
and thousands of firms and individuals who cannot stand a
sharp break in prices. Their profits are built on inflation.
They include many factories which were equipped during the
vv'ar or since and thrived because commodities of every sort
have brought unheard of prices. They include the specula-
ting profiteers, who have hoarded the necessities of life on
a rising market, despite the scorn that was heaped upon them.
"Many merchants are said to be overstocked also, and
we know that warehouses are stocked to bursting with food
and clothing. But information trickles out that speculators
have overplayed their game. They will be victims of their
own greed and will be obliged to disgorge at a loss. But will
they ? Fire insurance for a year past has been written on
inflated valuation and insurance companies are frankly dis-
turbed. Let us prepare to meet the emergency. Every sus-
picious fire should be scrutinized more closely than ever be-
fore. Conservation must be encouraged and the prison doors
left open for those desei-ving them."
Election of Officers
The election of oflficers, held on July 29, resulted as
follows: President, Fire Chief Healy, of Denver, Col.; first
vice-president. Chief Reynolds, of Atlanta, Ga.; second vice-
president, Chief Ringer, of Minneapolis. The voting for the
office of second vice-president, for which there were four
nominations, resulted as follows: Ringer, Minneapolis, 199;
Bywater, Salt Lake City, 141; Armstrong, Kingston, 41;
Houston, Cincinnati, 7. J. J. Mulcahey, of New York, was
elected secretary, and Peter Carter, of Camden, N.J., was
re-elected treasurer.
ONE FRATEUN.XL IS ACTUARI.VLLY SOIA ENT
Nine Fraternals Comply With Dominion Regulations— Eight
Others Fail to Do So. and (an Only Collect Premiums
on Business Already in Force
T>UT of seventeen fraternal insurance societies doing busi-
■L» ness in Canada, eight have now been prohibited from
soliciting new business. One has proved itself to have
adequate reserves, and the remaining eight have been
granted conditional licenses, having shown that their rates
for new business are sufficiently high. This information
has just been given out by G. D. Finlayson, superintendent
of insurance, Ottawa.
The amendment to the Dominion Insurance Act, 1917,
representing fraternal benefit societies, passed at the first
session of parliament in 1919, came into force on the 1st of
January, 1920. The principal effect of this amendment is to
bring within the jurisduction of the Insurance .\ct certain
fraternal benefit societies which have heretofore been ex-
empt from its provisions. Foreign societies, heretofoi-e
operating in Canada under provincial jurisduction, are here-
after subject to the Insurance Act. Many of these societies
were actuarially in.solvent. Some were not collecting ade-
quate rates even from new members.
The amendment to the act provides that these foreign
societies shall be entitled to a license thereunder provided
they can furnish certificates of qualified actuaries that they
are actuarially solvent. If a society cannot furnish such a
certificate, and if it has operated in Canada prior to the
coming into force of the act, provision is made for a condi-
tional license, renewable until the year 1925, if it can establish
to the satisfaction of the department that the contributions
payable by new members are sufficient to provide for the
benefits promised. Such license, however, cannot be con-
tinued beyond 1925, unless the society is by that time
actuarially solvent.
Seventeen Societies Affected
The foreign societies heretofore transacting business fn
Canada which are affected by these provisions are the follow-
ing: The Brotherhood of American Yeomen, Association
Canado-Americaine, The Catholic Fraternal League, The,
Catholic Mutual Benefit Association of New York, The Cath-
olic Order of Foresters, The Knights of Columbus, The
Knights of Pythias, The Ladies' Catholic Benevolent Associa-
tion, The Maccabees, The Modern Woodmen of America,
The Polish National Alliance, The Royal Ai-canum, The
Order of Scottish Clans, The Western Mutual Life Associa-
tion, The Women's Benefit Association of the Maccabees,
The Women's Catholic Order of Foresters and the Workmen's
Circle of New York.
Of these societies, one. The Knights of Columbus, has
obtained an unconditional license based on a certificate of
actuarial solvency.
Eight societies, Association Canado-Americaine, The
Ladies' Catholic Benevolent .'Association, The Catholic Order
of Foresters, The Macabees, The Royal Arcanum, The Wo-
men's Benefit Association of the Maccabees, The Workmen's
Circle and the Western Mutual Life Association, have ob-
tained conditional licenses based on the adequacy of rates
charged new members, such licenses, however, to be inoper-
ative after the year 1925, unless the societies are then
actuarially solvent.
Others Cannot Write New Business
The other societies. Brotherhood of American Yeomen,
Catholic Fraternal League, Catholic Mutual Benefit Asso-
ciation of New Y^ork, Knights of Pythias, Modern Woodmen
of America, Polish National .Alliance, Scottish Clans and
Women's Catholic Order of Foresters, have failed to comply
with the requirements of the .Act. and are thei'fore prohibited
under the Act from soliciting new members in Canada. They
are permitted to continue the collection of premiums in re-
spect of certificates issued prior to January 1, 1920, but these
certificates have no pi-otection furnished them under the
the Insurance Act.
In the case of all the societies licensed, deposits are re-
quired to be maintained to cover in full the societies' liabilities
in Canada, under certificates issued after January 1st, 1920.
No deposit is required to be maintained in respect of the
liabilities under certificates issued prior to that date.
Representatives of the societies which have not obtained
licenses are subject to the provisions of the Criminal Code
in the event of their soliciting new members in Canada.
COBALT ORE SHIPMENTS
Shipments of ore, in pounds, from Cobalt Station for
the week ended July 23. 1920, are as ,follows: Coniagas
65,998; McKinley Darragh. 83,657; Northern Customs, 96,-
800; LaRose, 87,400; O'Brien, 129,795; total, 403,650. The
total since January 1, is 13,.394,787 pounds, or 6.697.39 tons.
The Provincial Bond Company was recently incorpor-
ated to take over the assets and business of the Ontario
Bond Co. Kent Bldg., Toronto, and will handle municipal,
government, provincial and industrial bonds, as well as high
grade preferred stock.
July 30, 1920
THE M O N E T A K \ T 1 M K S
iilonetary ffixmes
Trade Review and Insurance Chronicle
of CanaDa
Address: Corner Church and Court Streets. Toronto. Ontario, Cuuds.
Telephone: Main "404, Branch Exchanse connecting all departmcnta.
Cable Address: "Montimcs, Toronto."
Winnipeg Office: 1206 McArthur Building. Telephone Main UOt.
G. W. Goodall, Western Manager.
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I'KI.NtU'AL CONTENTS
EDITORIAL:
Crop Financing a F'roblem for Banks .
British Life Companies in Canada ....
The [)efeat of Money Bv-laws
Special .\hticles:
Union of Canadian Municipalities Convention
Federal Tax Collection Machinery Improving .
International .-Vssociution of Fire Eng'ineers .
Rainfall of Inestimable Value in the West . . .
Canadian and -American Fisheries Conference
When Beneficiary I ties Before Assured
.Application for Hisher Express Rates ....
Monthly Depaktments:
June Bank Statement
Montreal and Quebec Savings Institutions . .
Government Currency
Weekly Departments:
News of Industrial Development in Canada
News of Municipal Finance
Government and Municipal Bond Market .
Corporation Securities Market
The Stock Markets . .
Corporation Finance
Recent Fires
5
G
7
14
26
30
CROP FINANCING A PROBLEM FOR H.\NKS
demands, has in large measure been due to transportation
difficulties which have obstructed free commodity movement!-
and occasioned the credit stringency which became pro-
nounced earlier in the vear."
WITH an unusually large crop and high prices now prac-
tically assured, the credit situation amply justifies the
action of the banks in strengthening their position in pre-
paration for the crop moving period. The situation is
further complicated, at least in the United States, by the
freight congestion, which may mean that bank credits may
require to be extended for a longer time than usual. The
National Bank of Commerce, New York, summarizes the
position in a circular, issued on July 21, as follows: —
"The crop moving season, during which the country's
credit requirements reach their maximum intensity, is now
close at hand. Because of the difficulties of transportation,
it may be expected that the volume of credit needed this
year to finance crop marketing will be larger than usual.
While the traffic movement has improved slightly, sufficient
relief can hardly be expected to the extent necessary to per-
mit of the clearing away of existing congestion and the re-
sumption of a normal movement of agricultural staples in
the fall. The crops, to an unusual extent, may have to be
held this year. Recent experience has demonstrated fully
the effect of any interference with orderly commodity ship-
ments in tying up an enormous volume of credit.
"This prospect enhances the importance of the credit
situation which, during the current period of June 10 to July
15, has experienced no relief from the tension of the past
several months. Since last November, the federal reserve
institutions and member banks have been seeking to curtail
non-essential borrowing, to limit loans to necessary require-
ments and to reduce gradually the volume of outstanding
credit. In the former of these aims, they have in large
measure been successful and there can be no question of the
underlying soundness of the general credit structure. There
has thus far, however, been no reduction of the aggregate
volume of credit outstanding. The efl'ort- of the bank.-t have
simpiv limited further credit expansion and the volume of
credit at the beginning of July exceeded that outstanding
at the close of 1919. The failure to eff'ect a normal credit
liquidation before the commencement of the crop-movmg
lilMliSIl Ml K COMP.WIK.S L\ (A.NAD.V
BKITISH fire and general insurance companies have al-
ways played a leading part in the Canadian field. Thi
life companies, on the other hand, have been backwa
have been losing ground as compared with the <
and United States companies. Some evidence to tl.'
that there is no fundamental reason for thi.'< is pre>i
"The Review," an in.'surance weekly, of I>ondon, I
"In our view," says the article, "the amount of busin^
by British (as distinct from Canadian) offico.H i» \.
short of what, we think, they might do, having rr.
their inherent strength and reputation in the it
world. The Itulk of Canadian fire insurance is i(
British offices, but only about '2 per cent, of the life '•
and we sec no cogent reason why our compelitm?.
business should not be as elTective as in fire. Imi..
are ren»on.-< why it ."ihould be more cfTectivi
"Fire insurance, after all, in a temporary
business. Most of the contractu are annual. aii.J i^'
signs of Weakness to be shown by the in curing d'
business could, and in many cai^v wodid, hi- quirk!'
ferrcd. But life insurance ix for n lontr term, r»nri
suposc, mainly from 20-year cndnwnirnt t<i wh '• '•
life, and the concrete utability of ihi- nf[\rf \>
business is done i.s a very much m.^rc inqxirl.T
it is in the c a^e of fire in.«umnriv Wc recall a
an insurance broker — a broker nf Hntmh nt.nndnrd '
manager of u \cry consider-nblr oflicc: "Pvc pln»-»<1 ^
of thou.sand.'' with you, biil not u ninglc life pi '
make good- -. iM-tninly you're good for nornc yen
not e.^tablisbr-.l yet for life businesn:" Tii.
left, thinkii-k- deeply. The moral applie !:iiw-li
THE MONETARY TIMES
Volume 65.
and American companies in competition for Canadian Irte
business.
"The Review" quotes the following expression of opinion
from the manager of one of the large British life companies
in Montreal: "British companies do not get more life in-
surance business because they do not go after it as Canadian
and American companies do. British companies are con-
tent with an annual increase of about 12V'2 per cent. British
companies that do a life and fire business prefer to push
the latter as more profitable. The Canadian Insurance Act
prevents outside companies doing two classes of business in
Canada. .'Vn exception is made of companies that were doing
both fire and life insurance prior to the passing of the new
act."
The executive head of one of Canada's big life insurance
companies also undertook to explain why British companies
play such a small pait in the life insurance business of Can-
ada. He said: "It is due chiefly to the fact that they do
not adopt their methods to suit the Canadian field. They
get business at home in a rather desultory way, not having
specialized sales forces, as in America, where the agents
of the most vigorous companies write insurance and do little
else. The consequence is that the British companies have
been left far behind. I do not think Canadian or ."American
companies on the whole paid larger profits. Indeed, I know
of some British that do better in this respect than these of
this continent. The British life companies seem to depend
on their reputation to place policies, but this is not working
out as it does in the fire business. There seems to be little
chance now of the British companies catching up even if
thev should desire to do so."
minority that looks primarily to its own direct interests, may
i;ot always be large enough in the future, to deny to the
citizens generally improvements in civic services which are
imperatively needed, except in so far as these can be pro-
vided out of revenue. Should this prove to be the ease, it
follows that the revision of the scheme of Ipcal taxation will
also have to involve a revision of the scheme of popular con-
trol of capital expenditures.
"That things have come to this pass, that this sharp,
and formerly almost negligible, opposition of the interests
of those who pay for and those who make use of civic utili-
ties has arisen, is the fault, not of the aldermanic board
of Vancouver, but of the government and legislature of
British Columbia. Proposal after proposal has been taken
down to Victoria session after session, only to be rejected
without any workable substitute being suggested. Only last
year Premier Oliver asked a large meeting of representa-
tive ratepayers to refrain from reprisals, at least until a
government commission had examined the situation and
found the remedy. Vancouver waited expectantly and was
rewarded with powers to impose two unpopular levies that
the government feared to impose itself and which, even had
the powers been exercised, would have been totally inade-
quate. This vote is the comment of the ratepayers on the
ineptitude displayed at James Bay."
The statement that a ma.ximum price for bituminous
coal will be fixed in the United States, does not greatly en-
courage the Canadian consumer. We have had some experi-
ence with price-fixing here.
THE DEFEAT OF MONEY BY-LAWS
PROPERTY owners' hostility to increased capital charges
is echoed by the "Vancouver World's'" comments upon
the defeat of ten money by-laws, already mentioned in these
columns. The "World" says: —
"There is no mistaking the meaning of so comprehen-
sive a verdict. Had one or two of the by-laws passed, it
might have been possible to ascribe to the ratepayers a dis-
agreement with the authorities respecting the policy involved
in the submission of those that were rejected. As it is, the
property-owners have served notice, not for the first time,
that until the basis of taxation is broadened, so that some
part of the burden of the upkeep of various public utilities
is borne by those who derive direct benefit from them, they
do not propose to permit it to be inci-eased, so far as they
are able to prevent it.
"The returns may indicate even more than that. Time
was when the property-owners voted for money by-laws as
a matter of cour-se and with as little discrimination in cast-
ing their affirmative ballots as they showed when they voted
so overwhelmingly in the negative. In those days many
owners held their property for speculative purposes, and al-
most all alike regarded a rise in property values as an un-
mixed blessing. There was little complaint that valuations
for taxation purposes were too high, there was more than
one agitation for a general raising of the level as the differ-
ence between the assessed and the market value, as settled
by actual sales, tended to restrict realty operations. More
schools, more paved streets, more improvements generally,
seemed to have the effect of attracting population and so
raising selling prices. The cry was "progress," and anything
that appeared progressive was pretty sure of the sanction
of the people who, in the end, would have to pay the bills.
"Since then certain economic discoveries have been made
and property-holders have found that a paved street may be
more of a liability that an asset to the lot saddled with the
hontage tax, and that it depends on the commercial and
industrial soundess of the community much more than on its
educational and other instittuions, whether property pays or
not. Having learned this it becomes a question whether a
A report of the Dominion Bureau of Statistics showing
the quantities of food in cold storage as at June 1 indicates
iiicr^^ases in alnost all commodities as compared with last
year. This, coupled with the excellent prospects for produc-
tion in 1920, explains the substantial reductions which are
taking place in the prices of food products.
J. J. Morrison, secretary of the United Farmers of On-
tario, says that if labor will help reduce the tariff, the farmers
will endeavor to bring about the eight-hour day. Such :\
programme might be successful politically, but as economic
measures they are not consistent. The lower tariff would
reduce prices and production costs, but shorter hours will in-
crease them.
The Nova Scotia Liberal government was returned to
power in the election held on July 27. This is the first
Canadian administration to succeed at a general election
since the armistice, the war-time governments of Ontario,
Prince Edward Island and Manitoba all having failed to
secure a majority at the polls. The new parties made sub-
stantial gains in Nova Scotia, however, labor securing 5
seats and the farmers 7, in place of none before. The
Liberals have 30 and the Conservatives 1 seat in the new
house, compared with 32 and 11, respectively, in the former
legislature.
"The feeling that the summit of high prices has been
reached continues to depress certain markets and to exer-
cise a restraining influence on buying," says the July "Re-
view," issued by Barclay's Bank, London, Eng. "Even in
the retail trade, there is evidence that purchases are being
deferred for lower prices and that an increasing number of
buyers are, for the moment, refusing to purchase anything
they can do without. On the other hand, sellers are not
inclined to cut prices where this step can be avoided, and
it results that in many markets quotations are nominal with
little new business passing." The bank points out, how-
ever, that "it is difficult to see anything in prevailing econo-
mic conditions, either at home or abroad, which justifies the
assumption that a drastic and permanent fall in general
prices is at hand."
Julv 30, 1920
1 HE MONETARY T 1 M K S
Exports
A special Department of this
Bank is devoted to the inter-
ests of the foreign business of
its customers.
Exporters and others having
business relations with foreign
countries are invited to avail
themselves of the very com-
plete information which has
been gathered by the Bank's
Foreign Department. This
may be done through any one
of the Bank's many branches.
THE CANADIAN BANK
OF COMMERCE
Capital Paid-up
Reserve Fund
$15,000,000
$15,000,000
CURRENT ACCOUNTS
Efficiency is hard to obtain and
highly paid for. Merchants and
Manufacturers will find this
Bank equipped and prepared to
give all Current Accounts the
efficient care and careful con-
sideration they dennand.
Open a Current Account with
this Bank. Your interests will
be faithfully looked after by
experienced men.
IMPERIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland. Dublin, and Branches.
A(;ents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
Now more than
400 Branches j
in Canada
(CONSTANTLY enlarging our sphere
of influence that we may extend
to you — our customers — the fullest
possible banking accommodation, we
have made notable additions to our
branch bank system in Canada during
this year.
We have 400 branches and continue
to grow.
Assets Exceed
SI 74.000,000
UNION BANK
OF CANADA
Head Office - - WINNIPEG
GEo«Gt EuwAKNs. 1- I A. Akthlh H 1ii»aki>>, K.C. a.
H. PeHClVAL EliWARI>8 \V. PoMtKUY MOKOAN A. G. EOWAlUk
(.HAS. E. Whits T. J. Macsamaka Tho(.. P. Gkocik
O. N. Edwahis J. C McNaii
A I, STKVKNS \V. H TllnMrvJN
C. Pkkcv Ronun
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORONTO ..
CAl.GARY ..
VANCOUVER
UINNIl'Kd .
MUMKEAl.
CORRESPONDENTS
HALIFAX. N S
LONDON. ENC
CANADIAN MUklUAcE BUILDING
HERALD BL ILDING
LONDON BlILDINU
ELECTRIC RAILWAY CHAMBERS
McGILL BUILDING
ST. JOHN. N H
COBALT. ONT
NEW YORK. U S A
A Newspaper Devoted to
Municipal Bonds
THKKI i~ pnl'lislK-J 111 \o'.\ ^ :>. City a daily
ami weekly nc\v>papcr wliicli lias for over
twenty-five vcars been tlcvoleJ to municipal
bonds. H.mkcrs, bond dc:ilcr>, investors and
public otlici.TK consider it an .'niihority in h%
field. Municipalilirs consider it the logical
medium in wbich to .iniu".in.-o bond offerinj,"-
Wrilt for frtt tpmcimtn copi»»
THE BOND BUYER
B7 Pearl street
Ncv> V..rk. N.Y
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
R. H. Coats, Chief of the Federal Statistical Department,
has been appointed to the Statistical Commission of the
League of Nations, and leaves for Europe in September to
participate in meetings of that commission.
David Price, treasurer of the city of Belleville, Ont.,
handed in his resignation to the civic finance committee
last week, and the same was duly accepted, iVIr. Price, who
is eighty years of age, and who has held the position of
treasurer for nearly twenty years, will be succeeded by E.
P. Fredekick, formerly auditor and for some time acting
treasurer of the city.
Sir John Aird and Sir Thomas White were appointed
vice-presidents of the Canadian Bank of Commerce at a
meeting of the board of directors on July 23. The former
has been general manager of the bank since 1915, and the
latter was elected a director last November. Sir Alexander
Mackenzie, of Dio de Janeiro, president of the Brazilian
Traction, Light and Power Company, was also elected a
director. The pro-
motion of Sir John
Aird, who con-
tinues to hold the
position of gen-
era! manager,
comes after 41
years' service
with the bank, he
having entered its
employ in Novem-
ber, 1878, as a
shorthand writer
in the general
manager's office.
From 1888 to 1890
he was manager
at the Seaforth
branch. In 1890
he became assist-
ant manager at
Toronto, in 1899
manager at Win-
nipeg, in 1911 as-
sistant general
manager, and in
1915 general man-
ager. His steady
rise through the
different grades of the bank's service is considered an en-
couragement to the younger men, as well as an achievement
in itself.
There has been no vice-president of the Bank of
Commerce since the death of Mr. Z. A. Lash, and
either Sir John Aird or Sir Thomas White might be con-
sidered successor. Sir Thomas has made a number of
other financial connections since retiring from the position
of minister of finance, the most recent being his clectioji
to the board of the Brazilian Traction, a further evidence,
along with the election of Sir Alexander Mackenzie to the
Commerce Board, of the intimate relations between the two
coi'porations. Sir Alexander has hctn in Toronto for some
weeks in preparation for the annual meeting of Brazilian
next week. His election to the Commerce board at a time
when the bank is planning further branches in Latin
America may presage its entrance into Brazil at an early
date. Sir Alexander is one of Canada's international
financiei-s, dividing his timie between Toronto, Rio and
London.
Simons, Day & Co., Chicago, have opened a branch office
at 307 Royal Bank Building. Toronto. The firm deals in
grain, provisions, cotton, coffee, stocks and bonds.
SiK John Aird
W. H. Van Winckel, of New York, vice-president of
Chemical Products, Limited, of Trenton, Ont., is one of the
prominent figures connected with the chemical industry on
this continent. He
was formerly sales
manager of the Dow
Chemical Company of
Midland, Mich., and
more recently he was
vice-president of
Aniline Dyes and
Chemicals, Limited,
of New York. The
other members of the
Chemicals Products,
Limited, board are
president and general
manager, R. J. Cope-
land, Toronto, presi-
dent of the Copeland-
Chatterson Company,
Limited, and vice-
president of the
Thermos Bottle Com-
pany; vice-president,
J. C. Graves, Sagi
naw, Mich.; Henry
Cockshutt, Brantford,
Ont.; D. M. Sanson,
Toronto; T. E.
O'Reilly, Toronto; T.
P. Birchall, Mont-
real; and R.J. Cluff, Toronto. The actual direction of the
plant is in the hands of A. H. C. Heitman, who for ten
years was in the research division of the Parke, Davis
Company, Detroit.
(•AXADL\N BUSINESS FAILURES
The number of business failures in the Dominion, as
reported by R. G. Dun and Co., during the week ended July
23, 1920, in provinces, as compared with those of previous
v.eeks, and corresponding weeks of last years, are as fol-
lows:—
H
Date. *i a> g5'5ow«
July 2:! 4 1 2 0 1 2 0 0 0 10 12
July 15 4 4 2 0 2 1 0 0 0 13 8
July 9 G 7 3 0 0 O: 2 2 0 20 8
Bradstreet's figure for the week ended July 22, 1920, is
13, compared with 20 in the previous week, 5 in the same
in 1919, 13 in 1918, 18 in 1917 and 36 in 1916.
EXCHANGE QUOTATIONS
Messrs. Glazebrook and Cronyn, exchange and bond
brokers, Toronto, report local exchange rates to The Monetary
Times as follows: —
Buyers. Sellers. Counter.
N.Y. funds 13 U pm 13% pm
Mont, funds Par. Par. % to J4
Sterling —
Demand $4.2650 $4.2750
Cable transfers 4.2750 4.2850
New York quotations of exchange on European coun-
tries, furnished by the National City Co., Ltd., Toronto, as
at July 29, 1920, are as follows (all in cents per unit of
foreign currency): Cable, London, 375, cheque, 374'4; cable,
Paris, 7.68, cheque, 7.67; cable, Italy, 5.35, cheque, 5.34;
cheque, Belgium, 8.20; cheque, Swiss, 17.10; cheque, Spain,
15.52; cheque, Holland, 34.35; cheque, Denmark, 15.90; cheque,
Norway, 16.05; cheque, Sweden, 21.30; cheque, Berlin, 2.33.
July 30, 1920
THE MONETARY TIMES
m the improvea returns our clients obtain on
collections ; in the personal knowledge and atudy
of their business problenis displayed by our
officers; in their realization of the fact that our
own growth is largely dependent on the expansion
of our clients* business.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament. Hstahlishku ItfiS
Capital Subscribed /5, 000. 000 S25, 000,000
Paid up 1.100.000 .S. 500. 000
Uucalled 3.900.000 19.500,000
Reserve Fund 1 ,000.000 5.000,000
Head Office - EDINBURGH
WILLIAM C.-\RNliGIE. General Manager. GKOHGK A. HU.NTBR. Sec.
LONDON OFFICE— 37 NICHOLAS LANE, LOMBARD ST., E.C.4
T. C. RIDDELL, DUGALD S.MITH.
.Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, are
retired on terms which will be furnished on application.
The Bank of Nova Scotia
Capital paid'up ...
Reserve Fund and Undi-
vided Profit* over
Total Aasets Over
$8,700,000
I 8.000.000
220.000.000
HEAD OFFICE
HALIFAX. N.S.
General Mnnager'a Office, Toronto. Onl.
11. A. Rii.iiAi.l»,.iN. C.eniral Mjnjccf
Branches in Canada
39 in .Vova Scotia r.'J in (liu.<iiu .'J in UuchcL
12 in I'nncc Edward Nland is m Nc« Hruniwicli U Western Piovinto
In Newrfoundland
Bay Roberts, Hell Ulund. IVinaviMii. B4>nnc Bay. Uriiiuv Bunco, Bunn.
Carboncar, Catalma. Change Utands. Channel. Fogo. Grand fianb
Harhur Grace. Hermitage. Little Bay Islands, Did Perlican. Si Juhn ~
Twillingalc. Wesleyville. Western Hj>.
In Weal Indie*
Cob.-Hav.in.i
DoniniraD RepabI c -S.into I)om<nno
Jamaica— lll.icif River. Kingston. .Mandc
I'.irt Ant.inio. Hurt .Maria. St.
Sp.inish li
Porto Rico— San .
BOSTON
. F.'jaido and Punce.
In United States
CHICAGO SEW YORK (AGENCY)
Great BriUia— The Londi
Kanli of Scotl-ind
Fr.oce-Crcdit Lyonnai-
Uoilcd Sui«-Banh uf N
Correspondents
I Joint City and .Midland Bank. Limited : Kosa,
York. N.H.A . New Vorl,
■ York ; .Mcroha
.Vatiimal Hank. Ch.catn; Hourth Street Nali.
rhia;Citii<n-i Nati.inal Bank. Haltimnre: Th.
Bank, San prancihcu: First National Bank. .Mi
National Bank. Seattle.
CommouNvealtb ffianf? of austvalia
.lets as bankers to the Commonwealth Gi.vernnient. and St.itc Govern-
ments of South Australia. Western Australia and Tasmania-
All cl.isses of GENERAL AND SAVI.SGS BANK husinos .irc trar,.
acted in all the principal cities and towns of Australia, Babaul and
London.
Banking and exchange business of every description transacted wi hi.i
the Commonwealth. United Kingdom. Canada. C S. A. and Abroi.d.
JAS- KELT.,
Deputy Governor !«!(
I)I:NIS!)N MII.l.HR.
Oover
GENERAL AGENCY
KOR WINNIPEG
WANTED
1 innncial Man of long cxperirncr. Incd ability snd ttuit.
for mi>ny years head o( one o( the larKcal (. ompanica op
cratinK in the Weat. leeks K^netal aKency (or alrongly
established Company wrilinK Fire, Acndenl. Liabilil* or
.•Xuton-obilc Iniurance. Would connider liRht Conimct-
cial Line. Valuable ronnectiona. Be. I relefncei liivcn.
Information can l.r nbtAined bv addreaimit
"FINANCE"
on-McCunir I l<<
WINNIPEG
The Dominion Bank
L^l AuLl:>UED I'-jI
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
rncorporatftd
- - 165)
Throughout
CoJV>rltk
THEMOLSONS BANK
CBpilnl nn<< Kr.rrvp »hl.oOO.OUl.
BANKING ABROAD
I),jr ..>rr< p.
England
Irelnnds M'
Head Office MONTREAL, CANADA
H C l'"*TT, ... r r.»' ■-ni- ' ' ."
THE MONETARY TIMES
Volume 65.
KAIMALL OF INESTIMABLE VALUE IX THE WEST
Nearly all I'arts of I'rairie Provinces Benefit by Abundant
Moisture — Storm Damage is Comparatively Small —
Saskatchewan Wheat Yield Reduced by Drought.
Hut Rainfall I'revented Absolute Ruin
SINCE the last crops reports were published in Tliv Mone-
larv I'iiiu-s, the western situation has changed materially
and the outlook is much more cheerful in some parts. There
have been beneficial rainfalls of inestimable value in nearly
all parts of the west, and although in some places the stomis
were vei-y heavy, the damage by hail, wind or lightning is
comparatively small. In Alberta, the Red Deer, Lethbridge,
Manton, MacLeod and Carmangy districts experienced heavy
downpours. Grains were not suffering in these placs, be-
cause about a week before, as already mentioned in these
columns, there had been a fairly general rain in the province,
but nevertheless the additional moisture was welcomed.
In Southern Saskatchewan lieavy rains have fallen,
wliich, according to experts, arrived just in time to save
thousands of acres from ruin. While the rainfall varied
considerably in different districts, it is believed that the dry
spell has been broken. There are still some parts, however,
which are badly in need of moisture. A rain, said to be
worth millions of dollars to the growing crops, has fallen in
Manitoba, extending to and beyond Brandon. Other districts
also received benefit of this nature.
Storm Damage in Saskatchewan
Southern Saskatchewan wliere the storm was the
heaviest is the only place, as far as known, where there was
damage to any extent. Frobisher, Alameda, Benson, Lamp-
man, Kronau, Edgeley, Edenwold and Avonhurst districts
wei'e affected the most, barns and crops in those districts
being compleaely wrecked by winds and hail. In the first
two places two deaths and many injuries are reported. At
other points outside of those mentioned, the rain was so
heavy as to result in the grain being lodged. Damage in the
whole of Southern Saskatchewan is conservatively estimated
at $200,000. This may be doubled in the final estimate.
British Columbia Fruit not so Good
Fruit crop conditions in British Columbia are not nearly
as good as they were reported some weeks ago, the sudden
change from cold to heat, following a late spring, having
worked havoc among the ben-y plants, according to J. A.
Grant, British Columbia fruit commissioner, following an
inspection trip of the lower fruit lands of British Columbia.
The shortage of ben-ies is explained by the fact that the
berry crop will only be 60 per cent, of last year's crop, and
that the growers can get as good a price from the by-pi-o-
ducts factories as they are getting from the prairie jobbers,
with the result that tons of the berries never reach the prairie
markets.
A prominent Ontario fruit grower estimates that the
damage done to fruit in the Niagara district by last week's
storm will aggregate not less than $500,000. The peach and
apple crops, he said, suffered the most severely.
Saskatchewan Yield Reduced
Despite the valuable rainfall in the province of Saskat-
chewan last week, farmers have incurred very heavy losses
in wheat as a result of the scorching heat and drought of the
preceding ten days or so, according to Hon. Geo. Langley,
who estimates the decrease in yield from this cause at be-
tween fifty and seventy-five million bushels. The minister
of municipal affairs has returned from an extensive tour of
tlie northern part of the province. He stated that with the
information he already had of conditions elsewhere, and from
wliat he had seen during his journey by rail and auto, he had
formed the opinion that, in consequence of the drought, the
wheat vield of Saskatchewan would be less from fifty mil-
lions to seventy-five millions bushels than was promised at
the beginning of July.
In other places, the Minister had seen the crop ruined
beyond redemption. "In the district fifty miles east, west
and south of Saskatoon and twenty-five miles north, the
average yield," said Mr. Langley, "could not possibly be
greater than from five to eight bushels to the acre, and in
the other parts visited where the crop was much more prom-
ising, such as the district north of Battleford, towards Turtle-
ford and the Jackfish country, where the crop was really
magnificent, I saw scores of fields where the young ears had
been scorched by the sun, and will likely entail a reduction
in yield of from 20 to 35 per cent.
"The recent ample rains would not to any material ex-
tent assist the above estimate," continued the Minister.
"Had the heat continued for four or five days more the loss
would have been more than double what it is above stated.
The farmers have been saved from this calamity by the rains.
The oat crop, which over large areas had become stagnant
and was being dried up, will be greatly benefitted by the rain
and will show a large increase, both in the threshable grain
and bulk fodder."
NEW COMPANIES IN MANITOBA
Every sort of business in Manitoba is on the increase.
More business has been done during, the past eight months
than during the whole of 1919, according to the books kept
in the provincial secretary's office, showing new companies
incorporated and increases in capitalization made by old
fimis. Letters patent and licenses were issued for companies
having an aggregate capitalization of .$60,000,000 during the
eight months' period. The total for the whole of last year
was $57,000,000.
METROPOLITAN LIFE AGENTS MEET
Representatives of the Metropolitan Life Insurance Co.
met in Vancouver on July 20th at a company convention.
Those present from head office' included Haley Fiske, presi-
dent, and F. O. Ayres, R. L. Cox, K. Frankel, James E.
Kavanagh and Dr. Lee. Mr. Fiske described the enormous
scope of the company's work, stating that it had a policy
on the life of every eighth man, woman and child in Canada,
and had .$60,000,000 invested in this country.
CHARTERED ACCOUNTANTS OF BRITISH COLUMBIA
At the fifteenth annual general meeting of the Institute
of Chartered .Accountants of British Columbia, held in Van-
couver, many items of interest to the profession were dis-
cussed. The report of the retiring president, W. S. Buttar,
dealt with, amongst other matters, the proposed new by-laws
and regulations, the raising of the membership subscription,
the holding of the annual examinations in December instead
of May, as heretofore, and the alteration of the end of the
institute's financial year to 31st January instead of 30th June.
The following members were elected to serve on the council
during the ensuing year, viz.: A. L. C. Chalk, H. C. Chiene,
J. D. Forsyth. H. D. Christie, A. H. Edwards, A. F. Griffiths,
G. F. Gyles. G. E. Winter and J. B. Woodthorpe.
G. E. Winter and G. Tansley were elected to represent
the institute at the meeting of the Dominion Association of
Chartered Accountants, to be held in Toronto in September
next, and it was decided to invite the members of the Do-
minion Association to \nsit Vancouver in 1921 as the guests
of the British Columbia Institute.
At a council meeting held subsequently the following
officers were elected: President, J. B. Woodthoi-pe; vice-presi-
dent, G. F. Gyles; secretary-treasurer, H. D. Christie.
July 30, 1920:
THE M O xN E T A R Y T 1 M i-. s
16
AFRICAN BANKING
Corporation, Limited
(LONDON)
Paid-up Capital and Reserve, $6,800,000
Over 60 Branches and Agencies
throughout South Africa
Principal Branches located at Bula-
wayo, Bloemfontein, Cape Town,
Durban, East London, Johannesburg,
Kimberley, Port Elizabeth, Pretoria,
and Salisbury.
THE NEW YORK AGENCY
negotiates documentary bills of exchange,
issues drafts and cable transfers, and transacts
a general banking business direct with the
branches of the Bank in South Africa.
Correspondence invited from Canadian Ship-
pers to South Africa, and facilities offered for
the conduct of their business with that country.
Address the New York Agency
64 WALL STREET, NEW YORK, U.S.A.
HqmeBankofCanada'
Government Bonds and Savings Stamps
Ihc.c ,. „ p.^.c m the Home Bank. 1 hnd Account
Book (or entering the dale o( purcha.e. -mount, and
interest dates on Government Bonr',, U.r Stamps and
Saving, Certificate.. The form i. very concise and will
preserve all the detail, for ready reference. A.k fo, a
copy of the Thrift Book. Di.tributed free .1 all Branche..
Branches and Connectiona Throuchoul Canada
Head Office and N-ne Branche, ,n Toronto
THE
Weyburn Security Bank
Chartered by Act o( the Dominion Parliament
HEAD OFFICE. WEVBLRN. S ASKA rc HHW AN
Branchks in Saskatciikwan at
Weyburn. Yellow Griiss, McTiiKK'irt. Hi.lliritc. Midair
Griffin. ColK.ile. f'aiiKinan. Riuiville. .\ssiiiihoia. Benson
Verwood. Re;i<llyii. Tribune, lixpausc. .Mossbank. VuntOKr!
Goodwater, Darniody, SiouKhlon, Osage. CreclmHii and
Lew van.
A GENERAL BANKING BISINESS TRAN.S.ACTI- D
H O POWBLL. General .\lar,tcr
TH€ MCRCMANTS BANK
Head Office: Montreal. OF CANADA
Estabiishprl 1864.
Capital Paid-up, $8,400,000 Roerve Fund and Undivided ProSti, $8,660,774
. . , Total Depoiits (30th June, 1920) - Over $161,000,000
Total Aweti (30tb June, 1920) - Over $198,000,000
Board of Directors ;
Thomas Long
Sir Frederick Orr Lewis, Bart.
Hon. C. -C. Bailantyne
SIR H. MONTAGU ALLA.N
I-. Howard Wilson
Faroumak Roblktson
Geo. L. Cains
General Manager
Supt. of Branches and Cbief Inspecto
General Supei visor -
Vice-President
Al.FRl M B. ICVANS
Thomas Aiifarn
Lt.-Col. J. R. MoouiE
D. C Macarow
: T. E. Mkkkitt
W. A MCLDKUM
A. j DAWE-S
Hon. Lornk C. Wea^TKii
E. W. Knkii.and
(JORDON M McGRKiOK
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
T heir banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gTCBsiveness, promptness and sound advice.
393 Branches in Canada, cxtendiDK irom the Atlantic lo tbc Pacific
New York Agency: 63 and 65 Wall Street: W. M. Ramiay and C. J. Crookali. Agenii
London, England, Office, 53 Cornhill : J. B.Donnelly, D.S.O.. ManaRcr.
Banker! in deal Britain : The London Joint City & Midland Bank, Limited, The Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
BANK BRANCH NOTES
Five New Offices Announced During Past Week — Merchants
Bank Will Erect Branch at Kegina— Other
Buildings Contemplated
During the past week 'I'lic Monetary Times learned of the
opening of several new branches of Canadian chartered
banks as follows: —
Banff, Alta. (C.P.R. Hotel) . . bank of Montreal
Ameliasburg, Ont Dominion Bank
Toronto, Ont. (685 Yonge St.) Home Bank of Canada
Honeywood, Ont licnie Bank of Canada
Horning's Mills, Ont Home Bank of Canada.
In connection with the opening of the above branches,
L. G. MacHaffie has been appointed manager at the Banff
branch of the Bank of Montreal. Hugh Hall is manager of
the new office of the Dominion Bank at Ameliasburg.
S. D. Griffith.s, who has been manager of the Union Bank
of Canada at Barons, Alta., for the past year or so, has
left that position to take up a new line of business at Bos-
ton, Mass. Mr. Ramsay, manager of the bank at Blackie,
Alta., will succeed Mr. Griffiths.
The Bank of Montreal announces the following appoint-
ment.^: M. A. Johns, formerly manager at Grand Falls, Nfld.,
has been appointed manager at Cui'ling, Nfld. C. Lonsdale,
manager at Gaultois, Nfld., has been appointed his succes-
sor at Grand Falls, while A. R. Pye has been appointed act-
ing managei^ at Gaultois.
W. A. Reid has been appointed acting manager of the
bank's branch at Holstein, Ont. E. T. Lemaire has been
appointed acting sub-agent at City Hall Square, Hull, Que.
W. H. G. Phipps, manager at Curling, Nfld., has been ap-
pointed manager at Wolfville, N.S.
Proposed New Branches
The Bank of Nova Scotia has decided to erect a new
building for its own use at Annapolis, N.S., and has pur-
chased the vacant lot on the east side of Lower St. George
St., for that purpose. Construction will be proceeded with
as soon as possible. The building will be a one-story struc-
ture of brick or stone, and devoted altogether to the use of
the bank.
The Standard Bank of Canada will shortly commence
the construction of a new building for its branch at Coal-
dale, Alta. It will be situated on the best site in the village,
on the corner facing the Lund store. The new building will
be of brick and two stories high.
Permit has been granted to the Bank of Toronto to
erect a bank building, which will be used as a new branch
when constructed, at the corner of St. Clair Ave. and Christie
St., Toronto, to cost ?19,000.
?^«»^JJIt)HMWm»"lllll"»JMWt^lHllll^t?'-^
WEEKLY BANK CLEARINGS
The following are the bank clearings for the week ended
July 29, 1920, compared with the corresponding week last
year: —
Week ended Week ended
July 29, '20. July 31, '19. Changes.
Montreal $143,467,269 $114,909,507 + $28,557,762
Toronto 90,091,603 77,592,038 + 12,499,565
Winnipeg 40,065,807 39,813,469 -1- 252,338
Vancouver 15,608,895 11,936,235 + 3,672,660
Ottawa 7,071,090 7,901,891 — 830,801
Calgary 7,265,252 5,791,112 -|- 1,474,140
Hamilton 7,279,492 5,806,973 + 1,472,519
Quebec . . . '. 7,047,780 5,370,389 + 1,677,391
Edmonton 4,281,533 3,881,724 + 399,809
Halifax 4,422,472 4,680,765 — 258,293
London 3,308,991 2,155,547 + 1,153,444
Regina 3,374,742 3,551,472 — 176,730
St. John 3,610,058 2,889,518 -f 720,540
Victoria 2,442,271 2,571,201 — 128,930
Saskatoon 2,028,502 2,258,015 — 229,513
Moose Jaw 1,600,916 1,518,043 -|- 82,873
Brantford 1,354,507 921,149 -|- 433,358
Brandon 820,353 858,738 — 38,385
Fort William . . 897,219 760,653 + 136,566
Lethbridge 574,848 1,047,149 — 472,301
Medicine Hat . . . 430,445 416,028 -f- 14,417
New Westminster 676,960 636.548 -f 40,412
Peterboro 884,736 839,952 + 44,784
Sherbrookfc . . , ■ 1,258,228 838,568 -f 419,660
Kitchener 1,019,220 852,632 + 166,588
Prince Albert . . 361,358 418,487 — 57,129
Totals $351,244,547 $.300,217,803 + $51,026,744
Owing to wire troubles because of heavy storms, clear-
ings from some western cities were not received last week.
The figures omitted are as follows: —
Week ended Week ended
July 22, '20. July 24, '19.
Vancouver $ 16,2.39,974 $ 11,453,376
Bank of Commerck, rouiAut Avk., Winmi
Opened to the Public, June 7th, 1!)J0.
Calgary
Edmonton
Victoria
Lethbridge
New Westminster
Changes.
+ $ 4,786,!598
8,067,647
4,573,168
3,046,147
712,035
647,918
5,955,167
3,884,813
2,412,829
629,610
506,287
2,112,480
688,355
633,318
82,425
141,631
July :JU, 1920 T H E M O N E T A R Y T I M E S 17
AUSTRALIA and NEW ZEALAND ~
BANK OF NEW SOUTH WALES
KSTABLISIIHO Im:>
A USTR A LI A
PAID UP CAPITAL - - , 20.OUO.000.00
RESERVE FUND - - . . C ^S^A 16 000 000 00
RESERVE LIABILITY OF PROPRIETORS - jM^SAt 20.000.000.00
AGGREGATE ASSETS 30th SEPT., 1919 VJi^J^^jgjSlia*' JSS5.181. 247.00
Sir JOH.V RLSSELL FRENCH. K.B.E.. Gentnil Maniger
340 BRA.NCHES and AGENCIES in the Australian States. Now Zealand, Fiji. Papua (New Guinea), and London. The Hank transact ever,' de«rlplion
of Australian Banking Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREAD.NEEDLE STREET, E.C, 2.
A.;pvTs B4NK Ol" MONTREAL. ROYAL BANK Ct' LANAl'A
LLOYDS BANK LIMITED,
HEAD OFFICE:
71, LOMBARD ST., LONDON. E.C. 3.
CAPITAL SUBSCRIBED
CAPITAL PAID UP
RESERVE FUND
DEPOSITS. &c.
ADVANCES. &c.
($6 = i;i.i
$294,392,000
47,102,7i;0
48,375,525
1,629,692,180
678,817,955
THIS BANK HAS ABOUT 1,500 OFFICES IN ENGLAND & WALES.
Colonial and Foreign Department: 17. CORNHILL, LONDON, E.C. 3. London Agency of the IHPERIAL BANK OF CANADA.
The Agency of Foreign and Colonial Banks i» undertaken.
AffiUated Bank»; THE NATIONAL BANK OF SCOTLAND LTD. THE LONDON & RIVER PLATE BANK LTD
Auxiliary: LLOYDS AND NATIONAL PROVINCIAL FOREIGN BANK LIMITED
ESTABUSHED 1879
Alloway & Champion
Bankers and Brokers
Membert of Winnipeg Stock EichnnKe
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchanges
LONDON JOINT CITY & MIDLAND
BANK LIMITED
HEAD OFFICE 5. THREADNEEDLE 5TREET. LONDON. EC i
OVEK I 4S0 OFFICES IN ENGLAND AND WALES
.71
Subscribed Caplta.1
Paid-up Capital
Reserve Fund -
Deposits lOic aia, inn
. «:38, 053,049
10.797.195
10,797,196
. 371,742,389
OVERSEAS BRANCH 65 4 66. OU) BROAD STREET, LONDON. EC I
AFFIUATED BANKS.
BELFAST BANKING CO. LTD. THE CLTOESDUt 8»N« ITB
Succession Duties
in Ontario
The rates of Succession Duty having
been increased at the recent session
of the Ontario Legislature, we have
prepared a Booklet entitled "Succes-
sion Duties in Ontario." This Book-
let contains schedules of the new
rates, together with a summary of the
main provisions of the Act. To
readers of The Monelary Tima we
shall be pleased to send a copy free
on request.
THE
TOROiSTOGEyHERALTRUSTS
Corporation
Head Office Bay and Melinda Street*, Toronto
18
THE :monetary times
Volume 65.
Bank Loans and Deposits again Move Upward
June Bank Statement Reflects Expansion in most Accounts— Call
Loans in Canada Decline, but those elsewhere are Increased —
Loans to Municipalities nearly 50 per Cent. Ahead of Last Year
June,
1919.
Deposits on demand S 605,927,027
Deposits after notice 1.139,569,570
Current loans in Canada 1,043,712,932
Current loans elsewhere 132,525,550
Loans to municipalities 52,349,319
Call loans in Canada 95,852,728
Call loans elsewhere 167,236,045
Circulation 222.712,991
May.
June,
Year's
Month's
1920.
1920.
inc. or dec.
inc. or dec.
.$ 645.957.229
S 659.622.583
+ 8.9
+ 2.2
1,229,073,515
1.243.700.977
+ 9.1
+ 1.1
1.349,079,981
1,36.5.151.083
+ 30.9
+ 1.2
183,986,222
184,328,464
+39.3
+ .5
73,904.635
76,410,676
+46.2
+4.1
119,114,493
115,272,587
+21.1
—3.5
213,964,182
219,214,431
+31.2
+ 2.8
235,085,179
238.088,555
+ 7.2
+ 1.3
THE above are the principal changes in the summary of
bank statements to the Dominion government as at
June 30th, 1920, compared with the statements for May and
for June, 1919. It will be recalled that the May statement
showed decreases in demand deposits, in circulation and in
current loans outside of Canada. These accounts all increased
in June. The reduction in call loans in Canada is continued,
however.
No changes in authorized capital are recoi-ded for the
month, but additions have been made to other liabilities to
shareholders as follows: —
Capital Capital
Banks. subscribed. paid up.
Merchants $1,."32,800 .$1,132,800
Union 270
Home 89
Provincial
Reserve.
$100,000
$1,-332,800 $1,133,1,59 $100,000
The Dominion government is rapidly using up its credit
balance at the banks, the total having been reduced from
$261,044,115 to $216,098,321 during May, and again to $183,-
913,852 during June. Balances due to the provinces increased
during June from $20,691,300 to $23,955,524.
.•\s the following thirteen months' compainson shows, the
movement of savings deposits has been steadily upward,
inten-upted only by the 1919 Victory loan, while demand
deposits have wavered considerably: —
Deposits payable Deposits payable
on demand. after notice.
1919— June $60.5,927,027 $1,139,569,570
July 584,176,765 1,175,092,155
August 584,300,855 1,196,632,931
September 650,743,015 1,277,437,715
October 705,280,241 1,262,746,984
November 728,657,589 1,137,858,277
December 703,329,292 1,138,086,691
1920— January 621,408,024 1,163,297,037
February 620,069,555 1,187,027,-307
March 657,412,028 1,197,719,570
.\pril 652,918,760 1.209.57:;,990
May 645,957,229 1,229,073,515
June 659,622,-583 1,243,700,977
The course of the deposit accounts during the past six
years is shown in the following table: —
June. On demand. .\fter notice. Total.
1915 $349,057,351 $ 683.761,432 $1,032,818,783
1916 428,117,340 767..598.130 1.195,715,470
1017 449,689,670 900,510,.552 1,-350.200.222
1918 549,.327,078 905,9.34,556 1.515,261,634
1919 605.927,027 1,139,569,570 1,745,496.597
1920 659,622,583 1,243,700,977 1,903,323,560
Deposits outside of Canada show the substantial increase
of over $15,000,000 during June. Amounts due to banks in
the United Kingdom are decreased from $9,534,525 to $6,792,-
662, those due to banks in Canada are slightly higher, while
in the case of banks elsewhere the total is practically un-
changed.
With the exception of gold in Canada, holdings of coin
and notes increased, as the following table of changes for
the month shows: —
Gold and sub-coin in Canada — $ 148,563
Gold and sub-coin elsewhere + 914,245
Total + $ 765,682
Dominion notes in Canada + $1,647,111
Dominion notes elsewhere + 287
Total + $1,647,398
Deposits with the minister of finance for the security of
note circulation increased slightly, while those in the central
gold reserve dropped from $108,050,000 to $100,400,000. Notes
on other banks are decreased by $3,400,000, while holdings
of cheques decreased by $8,600,000. Loans in Canada for
the past thirteen months have been as follows: —
Current in Call in
Loans. Canada. Canada.
1919— June $1,043,712,932 $95,852,728
July 1,014,387,206 93,587,497
August 1,011,785,424 95,899,836
September 1,058,572,202 96,912,709
October 1,104,940,160 100,549,390
November 1,189,408,423 121,754,469
December 1,207,109,046 125,888,760
1920— January 1,226,962,963 132,015,334
February 1,257,015,902 127,251,919
March 1,322,267,030 128,233,310
April 1,347,238,230 125,644,859
May 1,349,079,981 119,114,493
June 1,365,151,083 115,272,587
The following is the course of the principal loan ac-
counts during recent years: —
Current loans Current loans Call loans Call loans
June. in Canada. elsewhere, in Canada. elsewhere.
1915 .$ 759,934,154 $ 39,273,120 $ 73,628,187 $124,604,875
1916 . 747,470,541 60,081,584 86,776,474 182,757,016
1917 . 839,355,782 93,150,083 76,085,220 159.309,133
1918 . 897,226,012 103,033,289 76,970,920 170,034,476
1919 . 1,043,712,932 132,525,550 95,852,728 167.236,045
1920 . 1,365,151,083 184,:328,464 115,272,587 219,214,431
1
Balances due from banks in the United Kingdom have
risen during the month by $2,300,000, while those due from
banks elsewhere have risen by over $11,000,000. Holdings
July 30, 1920
THE MONETARY TIMES
19
SterlingTrusts Corporation
I I Professional Men
ti i and Manufacturers will find it profitable to j
b : j let us manage their personal Estates for '
I i;, i them. Our experience and financial advice
f: I is free. We open and keep a complete set
[ ■ of books, make income tax returns, look
\ ■'■■_ after investments, &c.
Write to-Ja\/.
1121
'HW^DWflCE;]?^^
Your Summer Vacation
can be made tree tiom worry in ic^jaid to business
which might otherwise be neglected, by ap-
pointing this Company to act as your Agent
during your absence. We will be pleased to be
commissioned to collect your rentals or other
moneys, make payment of taxes, etc., submitting
statement of all transactions.
Corrcspoiuhr\(.c anil cruiuiius invit<J.
THE CANADA PERMANENT TRUST COMPANY
18 TORONTO STREET, TORONTO
THE ALBERTA TRUSTS COMPANY,
FINANCIAL AGENTS
Stotktontl^onit. Flnlmttrana.tU. Real EtlalcandFarmLan
Correspondence solicited
Union Bank Building • Edmonto
C. S. Wallis. Geo. T. Bragg. J
President Vice-Pres. and Secretarj- Mar
LIMITED
i*, Valuaton.elc
n. Alberta
J. AH)EBSOK.
.iRinR Director
WESTMINSTER TRUST COMPANY
Head Office NEW WESTMINSTER. B.C.
GENERAL FINANCIAL AGENTS
iJmlutttrafn. Rpcttvfn. F.s»€mfn. I.itmlJat»n. Aulgm^i. Trms$m$
H A KIDOHLI.. M..n..«rr
COLONIAL TRUST COMPANY
Head Office - - Victoria. B.C.
Registered in the Provinces of British Columbia and Alherta
Authorized to act as
Adminiatratora Liauidators
Receivers Aasisnees
Executors and Trustees
R. F. TAYI-OR. Managing Director
The Security Trust Company, Limited
Head Office - ■ C«lii«r>. Albrrt«
Liquidator, Troilre, Receiver, Stock and Bond Broken,
Adminitlrstor, Eieculor. GcnertI FiBsocisI Afenli.
W M. CONNACHKK I'rc-. and .MjnJkirt D.r. cl, t
Available for Trust Funds
The Canada Trust Company, through its close
connection with "The Old Huron and Erie"
Mortgage Corporation, has at all times an excep-
tionally fine range of safe investments from which
to select for estate funds.
Such advantages are not possessed by individual
executors.
The Executor for Your Estate. "
imas. On
Ion. Alta.
London. Toronto. Windsor. Chatham. St
Winnipeg. .Man.; Regina. Sask : Bdi
ACCOUNT HOOKS
LoosK I.KAF I.Enar:Ks
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Streets
TORONTO
The Estate
You Ha\e Built I p
for \ Our l^aniih
Have you provided enough
protection to secure it for
your family after your own
administration has ceased ?
^ ou can do so most wisely
by appointing this Company
your executor.
Write for our hoolflcli
or contull in.
National Trust (Jonipany
I iiliitcd
Cgpilat, i.\iilMI,lll"l Rf»rr»c, $2,000,000
1S.2: KiNf; sTKi i:t fast TOKONTO
THE MONETARY TIMES
Volume 65.
Chartered Banks' Statement for June, 1920
LIABILITIES
NAME OF BANK
CAPITAL STOCK
Bank of Montreal
Bank of Nova Scotia
Bank of Toronto
The Molsons Bank
Banque Nationale
Merchants Bank of Canada
Banque Provinciale du Canada
Union Bank of Canada
Canadian Bank of Commerce ..
Royal Bank of Canada
Dominion Bank
Bank of Hamilton
Standard Bank of Canada
que d'Hochelafia
terial Bank of Canada
ne Bank of Canada
Sterling Bank of Canada
Weyburn Security Bank
28.075.000
15.000.000
10.000.000
5.000.000
5.000.000
15.000.000
5.000.000
15.000,000
25.000.000
25.000.000
10.000.000
5.000.000
5.000.000
lO.OOO.OtK)
10.000,000
5.000.000
3,000,000
1 ,000.000
22.000,000
9.700.000
5,000,000 i
4,000,000 I
2,000.000
?!.7;!2.80O
2.000.000 I
8.000.000
15.000,000
17,0110.000
6.000.000
4.000.000
3.500.000
4.000.000
7.000,000
2.000.000
1,266.600
655,700
22.000,000
9.700.009
5.000.000
4.000.000
2.00O.O00
;i,532.800
2.000,0011
7.099,8,50
15.000,000
17.000.000
6.000.000
4.000.000
3.500.000
4.000.000
7.000,000
1.959.162
1.229.571
478.661
122.8.15.100 122.400.044
Amount
of rest or
reserve
fund
22.000.000
18.000.000
6.000.000
5.000.000
2.;ioo.ooo
S.400.000
1,100.000
5.600,000
15,000.000
17.000.000
7.000.000
4.200.000
4.50O.O0O
3.900.000
7.500.000
500.000
450.000
225.000
Notes
rculation
Bal. due
to Dom.
Gov. after
deducting
advances
for credits,
pay-lists,
etc.
40.246.210
21.982,342
7,779,903
6.213,553
5.636.340
15.684,103
2,246,873
10,750,834
29,283,974
40.369,087
9,794,149
6,4.54,127
6,291,853
7.428.059
14.011.275
2.018.2.S5
1.240,136
344.180
»
16.636.394
8.6,55.539
4.107,.531
11.007.871
8.795.137
12.162,920
2,473.926
14, .567.068
33.956.088
15,677,194
12.822.787
9,455,975
9,652,333
7,765,276
5,929,783
3,672.841
6,118.735
456,454
3,231.211
285,620
170,848
114,994
320,004
4,289,786
218,370
3,758.895
3.859,257
4.099,120
118,837
383,872
116,736
67,743
2.518.798
59,903
337,799
3.731
227.775.253 ] 183,913,852 23.955,524 659,622,583 1,243,700.977 360,358
Deposits by
the public.
payable
on demand
in Canada
Deposits by
the public.
payable
afternotice
140.937.431
35.278.080
27.855,375
17,9,52,671
7,691,901
54,089,035
5,160,116
35.128.198
122.830,787
94.349,575
28,720,957
17,535,335
18,833.254
10.659.848
30.798.938
5.815.560
4.880..526
1.104.996
»
215.433,;
104 905.J
46,251,;
43,656,6
35,929,;
83,571,;
25.175,';
66,786,7
169,999,£
178,747.S
65.833.;
41,570,3
43,807,8
39,007.8
59.177.;
11,816.6
10,736.6
1.292.5
8,320.804
42.122.310
185.959.515
2,356.300
LIABILn lES-Contiuiied
Loans
from other
banks in
Canada,
secured,
including
bills re-
discounted.
Deposits
made by
and balan-
ces due to
other banks
in Canada
Due to
banks and
banking
correspond-
ents in the
United
Kingdom
6ue to
banks and
banking
correspond-
ents else-
where than
in Canada
or the U.K,
Bills
payable
Accept -
- ances
under
letters of
credit
Liabilities
not
included
under
foregoing
heads
Balances
due to the
Imperial
Govern-
Total .
Liabilities
Aggregate
amount of
loans to
directors.
and firms
of virhich
they are
partners
Average
amount of
current
gold and
subsidiary
coin held
during
the month
Average
amount of
D( minion
Notes held
during the
the month
Greatest
amount of
notes in
circulation
at any time
during the
month
t
S
2,.503,674
903.206
303.3'A3
409.379
61.425
299.837
S
2.566.839
2.674,379
1,201.041
205.353
74.639
706.777
512.160
3.253.692
5.731.244
15.369.395
1.414.150
648.556
927.865
691.249
.551.715
613.7.54
8
3,711,069
'549',566'
i
7,800,185
803,115
1.675.362
260,378
$
1.5S1„56S
391.240
5.288
827,960
8,518
3
514,179,587
210.019.933
89,350,407
80,902,118
64.877.264
179,547,627
35,939.057
149.279,268
818.579
1.157.215
437,505
267,994
828,765
937,036
$
24,596,026
11,892,749
974,242
575,878
328,300
4,088,242
114,641
985.006
20.725.000
14,022.587
2.093.000
897,590
1.764,668
470.032
2.640.241
165.680
1 1 1 .507
S
46,042,854
11,232,688
10,625,006
3,322,679
1,265.711
5.578.830
383.840
10, 122,845
26..5S4.00O
19,681.574
11.537.000
2.800.446
5.195.836
1.654,996
7,301.077
1.892.604
884.861
115,977
S
42,241.077
2.3.447.914
8.116.100
6,977,763
5,714.050
16.276.952
2.408.258
10.750.834
30.111.430
41.513.804
10.342.279
6,583.216
6.,532.363
8.755.624
14..588.432
2.141.64S
1.242,634
344.180
253.3.50
4.016,408
1.181
386,090
lOi.501
2.5.55
189.823
206.755
1.909.932
2,957
980.562
19.056
317.656
114.098
2,.521,784
"4.371.409'
13.345.200
10.277.951
2.624.423
"155.787
1.249,449
,582.480
150,694
131,426
17.777
49,670
714.037
1.824,056
1.303,527
396.2*25
975.583
475.988
889,927
105,552
15.282
77,212
1.780,227
.54s!547,ir8 ; 77i!640
126,147.058 ! 640.373
24,026
83.481,432
65,746,893
114.330.184
24.093.238
23.642,512
3.244.497
283,459
247,600
103,328
373.221
672,277
18.319
346.117
7.520
3,529
17.331
25.571
7, 00 I .J,,,.,
12,255,058
6,792,662
37.168.379
6,272.311
45,470,631
3,873.091
86,460,664
166,192,824
238,088.555
*
of securities show no notable changes. Advances to the
provinces are slightly lower, while those to municipalities
are increased.
The current loans in Canada continue to move upward,
while call loans in Canada have been steadily reduced since
January. Call loans outside of Canada have reached a new
high record, as shown in the following comparison: —
S S
1917. 1918.
January . . . 1.55,747,476 132,G87,0(;()
Febiniary . . 162,344,556 160,239,494
March 161,610,735 167,296,701
April 159,1.56,054 179,818,531
May 168,692,675 172,259,879
June 159,309,133 170,034,476
July 151,875,676 167,112,836
August . . . 176,610,625 160,544,990
September . 166,480,004 159,680,810
October . . . 151,018,747 157.040,858
November . 139,832,552 171,035,732
December . . 134,483.482 150,248,322
$ $
1919. 1920.
140,819,656 170,206,805
155,983,681 184,469,882
160,116,443 205,202,133
155,533,666 206,229,451
157,176,325 213,964,182
167,236,045 219,214,431
178,098,434
174,176,578 . . . .
169,532,489
158,194,085
169,626,880
172,232,161
HOUSING LOANS IN MANITOBA
Federal and provincial appropriations for housing have
been successful in their object of assisting people to build
homes, according to Hon. Edward Brown, provincial treas-
urer. He announced on July 19 that no further funds will
be available for suburban municipalities, as the remaining
money will be needed to round off work now under construc-
tion, and to meet demands from outlying districts.
Out of $1,580,000 federal appropriation, and $1,000,000
provincial, only $250,000 remains, W. J. Ptolemy, deputy
provincial treasurer, said. It is expected that further ap-
plications amounting to $150,000 will soon be received. In
giving a rough estimate of the manner in which the money
has been distributed throughout the province, Mr. Ptolemy
quoted the follo\ving figures : —
Assiniboia, $1,230,000; Charleswood, $2,000; Fort Garry,
$280,430; Killarney, $1,700; East Kildonan, $93,610; West
Kildonan, $60,413; Moii-is, $1,200; Russell, $14,088; St.
Vital. $,50,028; Selkirk, $3,000; Transcona, $64,0.37; Virden,
$27,800; Wawanesa, $3,500; Winnipeg, $400,000. Total,
$2,231,807.
July 30, 1920
THE MONETARY TIMES
You Should Make a New Will— if
yoii have married : your family ha-, mcrcascj ;
member? of your family have married— or Jiid ;
your own circumstances have matcriully changed. (Some men make
a new will every year.)
In any case, your estate and heirs should have the exact know-
ledge, business organization, experience, tinancial responsibilities
andpermanency of the UNIO.M TRUST COMPANY, which is sure to
attend whenever your estate affairs need attention.
fi'el our literature
Union Trust Company, Limited
HENRY F. GOODERHAM. Prcid-^nt
TORONTO - - Cor. Bay and Richmond St..
WINNIPEG. MAN. LONDON. ENGLAND
-% on Savings — Wichdrau-abte by Chcqtic 67
The most important document a person of large or small
means is called on to prepare is his
LAST WILL AND TESTAMENT
It means the happiness and welfare of those most dear.
Ask for Booklet: " Make Your WiU."
CAPITAL. ISSUED AND SUBSCRIBKD
PAID-UP CAPITAL AND RESERVE
.51,171,700.00
. 1.172,00000
The Imperial Canadian Trust Co.
Executor, Admieistrator, Assignee, Trustee, Etc.
iiE.'Vn oFi-ici-:: wixxii'i;!-,. c.\.n
BRANCHES :
THE BANKERS'
TRVST OOME^NY
Head Offices: MONTREAL
Authorized Capital
$1,000,000
SIR H. MONTAGU ALIJ\N. C.V.O
yicc-PresiJcnIi -
A J. DAWES D. C. MACARO'V
JAMES ELMSLY - General Alanoger
C. D. CORNELL - - Sccrclary
Directora:
Sit H. Montacu AlUn,
T. Ahearn C.V.O.
A. 1. D«we.
A. B. Ev.n.
David N. C. HoK
]. M. Kilboum
.ippen
I. D. G. Ki
W. B. Leit,
Sir F. Oti Lewi.. B.rt. F»rquh;
Tho.. Una
D. C. .VLcfow
W. A. Meldrum
F. E. Meredith.iK.C
T. E. Merirti
Ll..Cal. I. R. Moodie
Rob«ftK>n
eC WebMet
F . Ho»>id Wilaon
Edwin H. W.lMn
Jolm WilMn
Offices now open in Montreal, Winnipeg,
Calgary, St. John, N.B., Halifax. Re(?ina.
Vancouver. Victoria and Toronto.
Premises in Merchants Bank Building in each city
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents lor invL-stineiU in all cl.issis ol Stciinlics
Business Agent for the R. C. Archdiocese of Vancouver
Fiscal .•\gentfor B. C. Municipalities.
Inquiries incited
,.nl.-<<il. <■. 11. IMIUIII I I
SaskatchcNMUi (jeneral Trusts
("orporation, Limited
Head Dllicc : Kcdina. SmW.
Executor Adminittralor Afignre Truttn
Special nitention ftivcn M<irl|tii|!c InvcHmenl., Collcclinnt ,
Manaiiemcnt ol l'ri)prrlic< lor Ah«cnlcr» and
all other ndcncv hu»inc»».
KOAKU Ol IIIKKCTItKh :
W. T. MOLLAKD, Prt.idcnt O. H. UAKR. KC. Vic.-Mrt.ldtnl
H H Sampson K.C. A. L. Gordon. U.C. J A M. Patrick. KC.
oivid Low. M.I). W. H. Duncan .1. A. .Mc Bride
Chas.Willouilhby William Wil.on
B. B. .Ml'Kl'HY. Oencral Managtr
OI(ici«l Adminiitr»lor (or the JudicinI Dinricl o( \\t»hurn
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Actt a> Executor, Adminijtralor, TrustM, Guardian, Liquidator
AMifnee, and in any other fiduciary capacity.
Official Adinitiislrator for the North.rn JiMicial
District and the Dauphin Judicial District in
Manitoba, and Official Assignte for the Western
Judicial District in Manitoba and the Swift
Current Judicial District in SaskalchewMu
Brancb Office
Swift Current, SaaUalchev
JOHN R. I.ITTI.K. Managing Dir.N
Experience a Vital Factor
.11 ,n)
irntr
^^ hanrlling ol one csialc in « liteiime. >s()r....il.iir,,; on ll.'
del.iili of cilale» i» ihr conilntil bu»lno^ ..f out »iafl K '••r
counti for .tnylhin(t. it n ryidrnt that Ihc .nirrrM* M jont ruair tan
best tw lakcn care of Ijy ihi. Tru>t Company Wr .ill 1* glad ai «nj
Iinic to riplain Hli'v t(ir -.c-vlrr. wr tcndr- WnK fm hr«.l.lri or, i.iM>
Chartered Trust and Executor Company
46 KING STREET WEST. TORONTO
HON. VV A CHAKLTON M !■
I're.idrr.l
W H MnPm:v l( C
JOHN J OIHSON. Manaalnil Dlrwcl"
22
THE MONETARY TIMES
Volume 65.
Chartered Banks' Statement for June, 1920
ASSETS
NAME OF BANK
Curren
Gold and Sub-
sidiary Coin 1
In
Canada
Else-
where
Total
Dominion Notes
Bank of Montreal
Bank of Nova Scotia
Bank of Toronto
The Molsons Bank
Banque Nat^onale
Merchants Bank of Canada .
Banque Provinciale du Canad:
Union Bank of Canada
Canadian Bank of Commerce
Koyal Bank of Canada
Dominion Hank
Bank of Hamilton /.
Standard Bank of Canada. . .
Banque d'Hochelaga
Imperial Bank of Canada ...
Home Bank of Canada
Sterling Bank of Canada
Weyburn Security Bank
;3.695.525|
9.788. 2S9
97'2.e49
575.639'
32-2.736
4.124,'I47
!3S,il67
1.041. 4112
8.700,389
6.033..':3l,
2.147.779
916,354
1.781.395
497.711
2.640.488!
I72.;1S4
116.2fi2
16.0211
1.103.335,24.798.8601
2.175,780 ll,9B4.070i
972,649|
I 575.6391
1.5141 324.250;
16,467 4.140.914
138,967
28,686 l,o;0.149|
,i.6S9.827j 14.390.217
8,265,67l;l4,299,202'
2,148 754
916,354
1.781,3951
497,711
2.640,488|
172.384
ilfi.2f2
16.0201
47.504.329
8.756.242
9.972.317
3.149.816
1.032,598
5,804,64
2,847.198
12,525.370
21.234.472
24.303.367
I3,7.S6,703
3.272,63
6,197.322
2.305,587
7.865.759
1,644.565
1,380,239
114.854
63.682.026 17,282.255 80.964.285 173.668,017
»
8.644
6.137
2.053
4.278
2,8,59
47.512.973
8.762.379
9,972.317
3.149.816
1,032,.598
5.804.647
2.847.198
12.527.423
21.238.750
24.306,226
13,7.56.703
3.272,632
6.197,322
2,305,587
7.865,759
1.644,565
1 ,380.239
114,854
$
1.038.166
533.399
2.54.834
231.000
100.000
377.0011
261), II '
9(IS.J . .
750,liin>
300.01HI
200.000
175.000
200.000 1
406.845
105.0001
66.826
21.5.50
17.200.000
12.500.000
3.000.000
2.000.000
3.300.000
5.500.000
4.(1110,001)
2.100.0001
2.800.000'
2.700.000,
7.000.000'
4.301.319
3096.921
777.355
635.325
881.940
1,471.599
631.480
935,546
.;, 772.116
i.^,772.804
indbal.
due
from
other
.._S.247
743.854
517.875
1.245,359
1,274.447
354.840
2.53.557
28,342
120.541,277,
12.541. ;40i
5.001.967!
5.552.235'
2.712,063
11,062,815
■3,127,591
6,180.486
14,693.783
28.199.738
4,783.191
3.64t.223
3.777.655
3,012,723
5,707,494
M33.166
801,809
16.405
23.971 173,691.988 5.997.S26 100.400,000 43,920.926 132.486761
banking
pond'ts
in the
United
King.
than in
Canada
andU.K
4,421 ,0731 1
3,424,206
39.408
447.625'
26.6831
292.7321
125,S9o!
2.361.7621
372.308!
24.123 2.108.3892
1.410 6.5S.189I
0.741 16.428
62,548,
31.133
525.635;
85,800
44,507
10,134
5,920'
12,218!
2.226.996!
79.404
10.912
144.247
62b.:il9
116,831
5.0.-5
428.524
5.022.834 15,044,016 69,i:20.
ASSETS— Continued
Oomin'n
foreign
blic se.
an Can
Call and
Oovern-
Railway
short
ment
and
loans in
and
C5 • &■£
other
Canada
Pro-
bonds.
on sfcks
vincial
.2a.55
deben-
debent-
Oovern-
tures
ures and
ment
E n° '•
and
bonds
securi-
stocks
(not ex-
ties
Mlh
ceeding
30dav';l
*
8
*
S
11,i;70u7,
'■'""'-
1 5(15 1,W
1 S 14,346
'■ .'I'S 003
^|i2,n06
(not ex-
ceeding
30d;iys)
102.980,299
12,017 616
1.000,000
Other
c
current
>"o
Loans
Loans to
Real
Mort-
estate
gages
discounts
else-
where
1^
Pro-
vincial
Govern-
cipalities
and
Over-
due
debts
other
than
bank
estate
sold
by the
M ^
ments
school
pre-
sl
districts
Canada
u
Bank
premises
at not
more
than
cost, less
amounts
(if any)
written
off
assets
not
included
under
the fore-
going
heads
207..3J1.752|14. 108.128
96,6114. 58212.781.280
.5.5.904.601!
.50.975.976!
3.'<.93 1.495
118.069.710
10.912.995 1.21S.091
86.408.4.52 4.499.795
9,13.321, :i;; l^.::s.^\<^ i..ji.s.ium i),iM.j.;:i
lo' I3.U20.9*;4;22.144.3S6 16,236.829 12.932.91 1
ll! 4.775.31i;il.417..594 1. 873.127 11. 9S9.668,
Ij! 2.381.065 6.639.168, 461.779 7.627.490
is! 4.I07.9B0 7.(..52.669; 1 1)18.119: 2.857.642'.
14 2 320.101 4.794.149 139.272 5.597.681
Ij 6.4.18.993 1(..T23.402, 411.4991 4.939.941
Ifc 1.362.091 1.550.91)3' 1.2I4..522J 2.402.892
17 9.202.618, 3.172.636; 387.812 1.55.406
275.440 268.714
1 17.471.5981206.534550 46.785.603 115272587 219.214,431 1.365,151 083 1S4328464
214.076.845
180„552.068
68.962.028
47.671.415
57.365.2.33
42,543.429
63.388.479
14,649,031
8,744.949
2.048.043
37.431.878
113,389807
874.697
6.095,102 23,268,211
I 4.433.552
! 1.675,.530
I 1.206,421
1 961,040,
3,983.696
966.493
3.889.268 6.833.785
10.007.8111
7,015.800
496.8341
4,193,912
1 ..556,2951
4.545,8721
4,823,369'
154.622:
175,146
112,287
«
581.222
175,780
422,395
3S.433
29,894
3.55,618
.59.719
178.560
637.7991
384.0J3 1
72.946
165.454
1s'9.699'
2.5S..525|
5.58.1871
110.5681
8.776
123.800
51.649
376.160
685.715'
7.S00
247.184
472.442
,234.231
5.483
440.242
4,9151
438.202!
568.301
63.099
9
43.7951
177.3841
25.186
295.448'
608.1881
17.472
145.697
195 614
54 .877
19,325
200.160
71,8.50
229.038
529.971
104.506'
7.819
s
7.800.185
803,115
1,675,362
260.378
2.521.784
$
5.500.00(1
5.343,246
3.616.096
2.690.024
1.593.621
2.770.812
278.779!
976.323: 4 371.409
6.495.S03 l3,34S.'iO!M
4.912,239
1.037.517
413.248
201.340
15.773.409 76.410.676 4.354,41814,786,140 2,726.360 57.192,011 45,470,631 3.153.16213.091,674,511
150,201
206,792
'349.275:
89,370
182,406
275,372;
39,2221
216.214
26.237
191.637
2S2.;»21
21.141
78.171
S40.138
86.766
255.949,
61.950
I
562.946.097
239.490.599
102,543..5C7
91,096.029
69..581.236
198.307.602
39.077.524
164.890.610
4,55.938.521
587.195.988
140.164.643
86. .590.769
92.832.114
74.601.770
13(l.4(tl.317
26.732.456
25.440.739
3,842.990
or the deposit in Central Gold Re
i g10..500.000isin gold coin: the balance is in Dominion Notes.
T. C. BOVILLB. Deputy MinisUr of Finance.
DOMINION BANK HALF YEARLY STATEMENT
Several interesting points of pi'ogrress are shown in the
half-yearly statement of the Dominion Bank for the six
months ending June 30. An item of significance is that of
$2,624,423, "liabilities of customers under letters of credit,"
compared with $170,434 a year earlier. This is evidence of
the expansion of the bank's foreign business during the pa.at
year through its new London and its New Y'ork connections.
In the course of the year current loans advanced by almost
$14,000,000, to $69,000,000, showing further participation in
the country's business. Deposits went up by $6,700,000 to
$102,852,000 in the course of the year. Total assets advanced
Hourly $17,000,000 to $140,000,000. Quick assets are slightly
less than a year ago, owing to the greater demands for
loans.
Taking the six months' period by itself, the profits
were $664,729, compared with $610,048 in the same period
last year, and $1,256,053 for the whole of 1919. Dominion
government taxation, amounting to $60,000, was deducted,
as against $30,000 a year ago, and provincial government's
taxation $38,500, against $26,350. With a balance carried
forward at the end of 1919 amounting to $495,707, there was
available for distribution $1,061,936. Two dividends of
$180,000 each were paid, the same as last year, and the
balance carried forward is $701,926, compared with $640,201
one year ago.
A statement of the Sun Life of Canada for the first
six months of 1920, shows that during that period nearly
$53,000,000 new business wag written and paid for, while
in 1919, for the same period, $31,000,000 was secured.
July 30, 1920
THE MONETARY TIMES
INVEST YOUR SAVINGS
in a h%% DEBENTURE of
o , The Great West Permanent
O a /) Loan Company
SECURITY
INTEREST I Pa'd-"P Capital $2,412,578.81
Reserves " 964.459 J9
RETURN P^^'* 7.086,695.54
I HEAD OFFICE, WINNIPEG
j BRANCHES: Torooto, Regina. Ciliiry,
EdcnoatOD, Vancouver, Victoria ; Edinburgh,
Scotland.
DELAY MEANS LOSS
The caih with which you have br«n iniendmti to open
a depoait account should be earning something for you.
Open an account with lhi$ Corporation NOW and rrceivr
interest at
THREE and ONE -HALF
per cent, per annum, paid and compounded half-yearly.
I «nd tthcimcy you will
stcoda over • period of
n ftccount on «rhich full
In addition to a ■rr\-tce notrd lor ptomptnc
have the bcnefil oi our Iohk rsprnencr which
sixty-hve year*. One dollar or morr will open
checking privilecca vrill be allowed.
Canada Permanent Mortgage Corporation
TORONTO STREET
Total Alien Exceed
TORONTO
ii:/Mo.o."j -"-'
Sii.OOO.000.00
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
.Masonic Temple Buildint. Loodon Canada
Interest at 4 per cent, payable half-yearly on Debentures
T. H. PURDO.M. KC. President NATHANIEL MILLS. Manager
London and Canadian Loan and Agency Co., Limited
Established 1873 Jl »«M;KST., TOKOXTO
Paid-up Capital, 31.250. 000 Rtit. $.J50.0«) Total Assets. $S.0X5.S7J
D«bentvre*» issued, one hundred dollars and upwards, one to Bve years.
Best current rates. Interest payab:e half-yearly. These Debentures are an
Authorized Trustee Investment. Mortgage Loans made in Ontario. Mani-
toba and Saskatchewan.
WILLIAM WEDD. Secretary V B. WADSWORTH. Manager
^"^ Ontario Loan
& Debenture Co.
LONDON l.scoRPORATKD IsTo Canada
C.AI'IT.'\L ANO Undividbd Profits $3.9i"i.0<X)
10/ SHORT TERM (3 TO .-i YEARS)
5:
DEBENTURES
YIELD INVESTORS
%
JOH.N McCLARY. President
A M. SMAKT. .Manager
/^VER 200 Corporations,
^^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Office. No. 13 Toronto Street
Capital Account. lii:»«.5J0.«0 .^ '.'.'' '""""'^ ••'•••" ••
Total As-ict-. •■t.ilS. I.VI.t«
President. WKLLINi-.TON KKAVCIS. K.q . KC
Vice I'rvtidenl. HEKHEKT I.ANOLOIS. EtJ
Debentures issued to pay S". a Ijrital ln\ ' ■"
Deposits received -it 4 interest, withdraw
Loans n,ade on i-nr^'v r.l^e^l^-^l^t^o^^.^£^'|.-— ■E"M,n„er
Six per cent. Debentures
Intercat payable hall yearly at par at any bank In Canada.
Particular* on application.
The Canada Standard Loan Company
520 Mclnlyr, Block, Winniptg
Port Arthur and Fort William
Realty Investments
Inside City and Revenue Producing Property.
Mortgage Loans Placed.
Write us for illustrated booklet descriptive of
the twin Cities.
GENERAL REALTY CORPORATION. LIMITED
Whalen Building. PORT ARTHUR. Onl*rio
IRON MINE
FOR SALE
COUNTY OF RENFREW
Nc.li Pctii.
For full pnrtirul.r.. frport ..( •M7V. «lc. .pply
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAV »nd MEt.lNDA STS. TORONTO
24
THE .MONETARY TIMES
Volume 65.
GOVERNMENT CURRENCY
COMMERCIAL UNION ASSURANCE CO.
Dominion note circulation at the end of June, 1920,
amounted to $292,016,290, compared with $309,142,651 at
the end of April. Gold held by the minister of finance at
the end of the month totalled $99,619,182, from which must
be deducted $4,080,992, being the amount of reserve to be
held on savings banks deposits, leaving $95,538,190 for the
redemption of Dominion notes.
The following is the June statement of all government
cuirrency:—
Provincial $ 27.743 25
KrMCtional 1.271.904 92
$1 17.497.672 SO
$2 14,144,229 .50
g4 38.135 00
8.i 4,224.205 00
850 3.900 00
SlOO
S.500 2.659.500 00
$1,000 4.373.000 00
8500 Legal Tender Notes for Banks 88.(K10 00
SI.OOO ■' '■ " 1,445.000 00
85.000 " ■■ " 209.fi43.000 00
S.SO.OOO •' " " 36.600.000 00
8292,016.290 17
Provincial Notes.
81 $ 11.293 50
82 6,060 00
J5 4,219 75
810 2,180 00
820 S«) Ofl
8,50 6,50 00
8500 2.500 00
827,743 25
Resehves.
Gold held June 30th. 1920, by the ,Ministcr of Finance S 99.619,182 64
Gold reserve to be held on SavinRs Banks Deposits—
10 p. c, on $4,809,925.33 under The Savinss Banks Act 4.080.992 53
Gold held for redemption of Dominion Notes 8 95.538.190 1 1
Dominion Notes outstanding against deposits of approved secur-
ities, under Finance Act. 1914 138.036,125 00
The annual report of the Commercial Union Assurance
Co., for the year 1919, some figures from which are given
elsewhere in this issue, indicates a good year of progress.
The net premium income was $68,784,245, an increase of
over $6,000,000 as compared with 1918. The net premium
income for the separate departments for 1919 are: fire,
£6,032,826; marine, £855,925; accident, £5,362,159; life
£854,950; life (West of England Life Fund), £7,981; life
(Hand-in-Hand Fund), £133,778; life (Union Life Fund),
£156,479; life (Liverpool Victoria Life Fund), £33,716; life
Edinburgh Life Fund), £294,482. Consideration for an-
nuities in the Commercial Union totalled $591,350 and in-
terest from investments, etc., $6,326,820.
The position of the company has been materially
strengthened by additions to the funds during the year.
These now total $173,493,360. British government securi-
ties predominate among the investments. The pi'ofit and
loss account shows the following results: — balance from
1918, £554,699; interest and dividends not carried to other
accounts, £538,031 ; transferred from fire department, £300,-
000; transferred from marine department, £350,000; trans-
ferred from accident department £450,000, transfer and
other fees, £1,096; a total of £2,193,827. The sum of £501,500
was paid out in dividends, and after deducting other items
a balance of £682,363 is carried forward to 1920 account.
The Commercial LTnion has been writing business in
Canada since 1863, two years after it was established, and
at the end of 1919 had $150,827,965 of business in force in
Canada, making it fourth in the whole list of fire insurance
companies in Canada. The head office for Canada is in
Montreal, W. S. Jopling being the manager.
BEAUBIEN AND CO. EXTEND SCOPE
Messrs. G. L. Beaubien & Company, stock and bond
brokers, and members of the Montreal Stock Exchange,
announce that a separate department for the selling of
municipal, provincial and industrial securities will be estab-
lished at the Quebec city branch, which office hitherto dealt
in stocks only. When the Montreal office of the company
was first established it was for stock purposes only, but
later a bond department was added. The company's bond
business has grown so lately, that it was thought necessary
to establish a similar department at the Quebec branch.
L. T. DesRivieres, who was formerly manager of the stock
business at the Quebec office, will take under his care the
new department.
MONTREAL AND QUEBEC SAVINGS INSTITUTIONS
Dominion government demand deposits of the Montreal
City and District Savings Bank and the Caisse D'Economie
de Notre- Dame de Quebec, which have been decreasing
steadily for the past few months, showed a still further
reduction in the June statement of those institutions of
$197,793. This is a much larger reduction than in any month
previously. Loans on bank stocks and other securities ad-
vanced some $280,000, while holdings of municipal securities
were reduced by about $370,000. Miscellaneous assets also
showed a decrease. Total assets of the two institutions at
the end of the month were $60,164,108, and liabilities,
$55,116,289, compared with $60,316,945 and $55,2.52,063 at
the end of the previous months. Complete returns as at
June 30, 1920, are as follows:
City and l)i>.triet Savmtis Bank.. .
Caisse d'Hconomie Notre-Dame
de Quebec
2.000.000
1.000.000
LIABILITIES
Dominion
Govt,
demand
deposits.
395.043
95.62$
Provincial ]
Govt. I
demand I
deposits.
Dominion
Govt.
notice, etc.
deposits.
Provincial
- Govt,
notice, etc..
deposits.
Other
notice, etc.
deposits.
Public
securities.
Cash
in hand and
on deposit.
Canadian
municipal
securities.
Other
securities.
Gov't and
Municipal
' Loans.
Loans on
Bank
Stocks.
$
796,057
308.165
Loans on
other
Securities.
Poor Fund.
etc.
Investm'ts.
Bank
Stocks.
8
Bank
premises.
Other
assets.
Total
Assets.
City and District Sav-
inBS Bank
8
11.083.472
7.S13.983
8
15.211.758
4.107.008
8
1.43C.303
1.741.366
9
S
9.441.0%
3.242.86U
$
180,000
83,000
8
750.000
180.000
s
4S4.6S2
• 523.607
8
46.891.318
I3.2T2.7S0
Caisse d'bconomie No-
tre Dame dc Quebec.
1.679.093 1 l.39S.0ii7
9.R0O
12.762.SSS
Total
8,912.071
19.348.786
3.171,669 1
1.104,22:1
12,683 951
263.000
9.600
930.000
978,259 1 60.164.108
July 30, 1920
THE MONETARY TIMES
26
Old Home Office N^w Home office
"Tested by the fires of two centuries"
Two Hundred Years Ago
A.D. 1720 A.D. 1920
IF time were made for slaves, the philosophy of time was made for Metaphysicians. W'c
talk casually of aeons, and in the few years of the great war some of us seemed to
live arj eternity. So two hundred years are a speck in the history of the world ; and
in the development of insurance signify the growth from infancy to maturity.
The course of the London Assurance has been calm and steady, prosperous in itself and ticncfirial to those who dealt
with it, and has not been marked by many exciting incidents or by lively controversy.
When people speak of the "romance of business" they usually refer to startling vicissitudes, to millionaires who
began with half a crown, and so forth. It would seem, however, there is a truer romance to be seen, if we have eyes of
imagination to see it withal, in the mere steady persistence of a business institution through such a long period as this. As
the mind travels down these two hundred years and notices all the changes in ideas, in manners, in habits, even in dress,
and thinks of one institution going steadily on its course through them all. it surely perceive* a romance in it all There
are many older, much older, institutions in our ancient Empire, but only a very frw older institutions of business even in
the ancient city of London. The London Assurance had flourished for nearly a hundred years before the first Rotharhild
was established in England. It has survived many political " revolutions." many great economic changes, end celebrated
its Bi-Centenary on June 22nd this year.
The progress of The London Assurance has been a steady forward movement .since its inception,
conducting its business at all times in a difinified, honorable manner.
We cannot help but feel proud at this time, when we pause and realize that 1 he London Assutnncc
has weathered the storm of two centuries.
So to-day one may look back over the pages of history with a fcclinR of approval and confidence.
Total Assets
$42,496,015
The London Assurance Corporation
Of London, England
A.O. 1720
Head Office for Canada - 17 St. John Street, Montreal
W. KENNEDY Joint Manager* W. B. COLLEY
THE MONETARY TIMES
Volume 65.
CANADIAN-AMERICAN FISHERIES CONFERENCE
Report Advocates Complete Reciprocity between Two Coun-
tries— Provision for Protection and Renewals
of Resources
IMPORTANT recommendations are made in the report,
made public on July 2Gth, of the Canadian-American
Fisheries Conference, appointed to consider a settlement of
outstandinK fishery questions between Canada and the United
States. The questions submitted and considered by the con-
ference were: Privileges to the fishing vessels of either
country in the ports of the other; rehabilitation and protec-
tion of the sockeye salmon of the Fraser River system; pro-
tection of the Pacific halibut fishery; fishing by United States
lobster wellsmacks off Canadian coasts; protection of the
fisheries of Lake Champlain; requirements imposed on Cana-
dian fishing vessels passing through territorial waters of
Alaska; protection of the sturgeon fisheries; protection of
whales.
Abolish All Duties
On the first question the report traces the history of the
controversy back over one hundred years. It expresses the
belief that the question can never be permanently removed
from the field of discord unless the markets of both countries
are available to the fishermen of both on the same terms.
The commissioners recommend that the Canadian duty on
fish and fresh frozen fish, not including shell fish, be removed,
and, with a view to assuring stability in the industry, that
the two countries enter into an agreement by which such fish
shall be admitted customs duty free from either country into
the other, and that such arrangement remain in force for
fifteen years, and thereafter until two years after the date,
when either party thereto shall give notice to the other of
its wish to terminate.
They recommend that Article 1 of the treaty of Oc-
tober 20th, 1818, be amended so as to make available in either
country, to the fishing vessels of the other, the privileges
covered by the instructions of the United States Secretary
of Commerce to collectors of customs of that country, dated
■ February 21st, 1918, and by the Canadian order-in-council,
dated March 8th, 1918, in substance as follows: —
1. That the fishing vessels of either country may enter
from the high seas any port of the other, and clear from such
port back to the high seas and the fishing gi-ounds.
2. That the fishing vessels of either country may dispose
of their catches and purchase bait, ice, coal, nets, lines, oil,
provisions and all other supplies and outfits in the ports of
either country.
3. That the repairing of fishing implements in the ports
of either country be allowed to the vessels of the other
country.
4. That the fishing vessels of either country may dress,
salt and otherwise prepare their catches on board such ves-
sles within the territorial waters of the other country.
o. That the fishing vessels of either country may ship
their crews and tranship their catches in the ports of the
other country-.
6. That the fishermen of either country may sell their
catches in the ports of the other country, subject to the local
tariff, if any.
To Rehabilitate Sockeye Salmon
With regard to the rehabilitation and protection of the
sockeye salmon of the Fraser River, the commissioners ex-
press the opinion that a treaty or convention for the proper
regulation of the fisheries should be entered into by Canada
and the United States. Commisisoners should be appointed
under this treaty to study the situation, inspect the hatchery
operations, and also the sides of the river, to ascertain where
slides which might bar the ascent of the fish might occur.
They append a draft of a proposed treaty for the restoration
and protection of the fishery, the adoption of which, subject
to such modifications as responsible officers of the two gov-
ernments may consider necessary, is urgently recommended.
(Concluded on page 28)
FIRE-LIFE-MARINE-ACCIDENT
Commercial Union
Assurance Company
LIMITED, OF LONDON, ENGLAND"
Extracts from the Report for the Year 1919
Premiums (Fire, Life, Marine and Acci-
dent) Net $ 68,784,245
Consideration for Annuities granted. Net 591,350
Interest Derived from Investments .... 6,.326,820
$ 75,702.415
Total Assets of the Company exceed $209,000,000
FUNDS OF THE COMPANY
After providing for the payment of the DividencT and
of all Outstanding Claims, Losses and Current Accounts
against the Company, the funds stand as follows :
Uncalled Capital Reduction Fund $ 2,950,000
Capital Paid Up 4,425,000
Investment Reserve Fund, Guarantee and
Pension Fund, Profit and Loss Account 9,725,215
Fire Fund 29,769,830
Marine Fund ; 6,141,800
Accident Fund 16,194,390
Re-insurance and other Funds 3,062,605
Life and Annuity Funds 99,147,565
Leasehold Redemption and Sinking Fund
Account 2,076,955
$m, 493,360
£1 .Assumed Equivalent to $5.00.
Canadian Branch :
COMMERCIAL UNION BUILDING
MONTREAL
W. S. JOPLING, Manager
GEO. R. HARGRAFT, General Agent
49 Wellington St. E., Toronto
July 30, 1920
THE MONETARY TIMES
27
Developing Canada's Wealth of Natural Resources
4j™:^;':;^s^5.;.,..»,^
-.i:l'alitinK.iiilEJ-i„natra3iTC
'^iiSdl—
jy^lNING. lumbenng. farminj? stock-raisinK. fisheries. — ihe
fundamental industries on which all of Canada's varied
activities of business are buill— have received the practical
co-operation of Bank of Montreal for more than a century.
JN 1920 our desire is as it was in 1817, to be helpful in every
possible way in the development of every kind of Canadian
business.
This co-operation extends through and beyond the large busi-
ness enterprises to the men and the women who make those
enterprises possible— to the miners, lumbermen, farmers, stock
raisers, fishers, merchants, clerks, workers of every kind, to
whom we are rendering an intimate, understanding, personal
service through our Branches in every part of the Dominion.
Whatever your banking! needs, consult our nearest Branch
Manager and thus be in touch with our entire organization,
which is working for the upbuilding of Canada.
Direct aire iervice maintained hetveen Montreal. Toronto
H'innicci. l-anr,nn:-r ,V..n, > „rt Chicngn anj San Francisco
BANK OF MONTREAL
i-'stal)lishcd ovrt I nil years
TOTAL ASSETS in excess of $500,000,000
Head Office: MONTREAL
Dividends and Notices
BANK OF MONTKEAl.
Notice is hereby given that a Dividend of Three Per Cent,
upon the paid-up Capital Stock of this Institution has been
declared for the current quarter, payable on and after
Wednesday, the First Day of September next, to shareholders
of record of 31st July, 1920.
Bv Order of the Board.
FREDERICK WILLIAMS-TAYLOR,
General Manager.
Montreal, 20th July, 1920. 202
THE ROYAL BANK OF CANADA
DIVIDEND Nc i:J2
Notice is hereby given that a Dividend hI Thri-f per
cent, (being at the rate of twelve per cent, per annum) upon
the paid-up capital stock of this bahk has been declared for
the current quarter, and will be payable at the bank and its
branches on and after Wednesday, the first day of September
next, to shareholders of record at the close of business on
the 14th day of August.
By Order of the "Board.
C. E. XEILL.
General Manager.
Montreal. Que., July Ifith. 1920. 201
THE CA.NADIAN HA.NK OK ( (JMMKKt K
DIVIDEND No. 134
Notice is hereby given that a Dividend of Thn>e jH-r cent
upon the capital stock of this Bank, being at the mt* of
twelve per cent per annum, has been declared for the quarter
ending .'Jlst .August next, and that the game will be payable
at the Bank and its Branches on and after Wednesday,
Ist September, 1920, to shareholders of record at the close
of business on the 16th day of .August. 1920.
By Order of the Board.
JOHN AIRD.
General Manoscr.
Toronto, 19th July, 1920. 200
THE MERCHANTS BANK OF CANADA
QIARTERLV DIVIDEND
Notice is hereby given that a dividend of Thre* prr
cent, for the current (juartcr, being at the rate of Twelve
per cent, per annum, upon th>> Pnid-iip Cnpital Slock of the
Bank, was declared, payable on 2nd August next to .Share-
holders of record on the evening nf 15th July, dividends on
new stock, computed in aecordnnce with the terms of itiue,
to be at the same rate.
By order of the Board.
P. C. MACAROW,
General MansKcr.
Montreal, 28th June, 1920. 184
A party of Toronto bankers, brokers and bonil dealers
was taken on a trip of inspection of the city's harbor work
on July 27, by the Toronto Harbor Commission.
The Coloni.'il Trust <''>nipany. of Victoria, B.C., which
was incorporated in 1909, has disposed of its business to the
Bankers Trust 'Umpany, of Montreal.
THE MONETARY TIMES
Volume 65.
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Western nuiilclpiil. Srliool ami Sanhalclicwaii Ituial Tele-
pliuiie <'o. ilflienliireN speelallzeil In.
Correspondence invited
GRAINGER BUILDING - - SASKATOON
NIBLOCK & TULL, Limited
STOCK, BOND and GRAIN BROKERS
(Direct Private Wire)
Grain Elxchange
Calgary, Alta.
Lougheed & Taylor
LIMITED
Bond Dealers and Financial Agents
210 Eighth Avenue West, Calgary,
Alberta
Government Municipal and Corporation Bonds
H. H. CAMPKIN
insurance, Loans, Bonds, Debentures and Real Estate
AKcntforCaii.uli^n l';ic:lic l<;iilw.Ty Co. I..inds.l.\in«il.i Norlh
West Land Co. I.anils. Hu.lson s H.iy Company's Lands.
REGINA, SASK.
WE have 450 good businesses for sale in the central
portion of Alberta. Everything from a General
Store to a small Confectionery.
If you want a business in Alberta you want us.
WHYTE & CO., LIMITED
Busint.s Broker,
111 PantBKes Building - Edmonton. Alberta
CANADIAN-AMERICAN FISHERIES CONFERENCE
(Continued from page ~26)
With regard to the halibut fishing industry on the Pacific
coast, the commissioners recommend a close season for both
the United States and Canada from the 16th of November
to the 15th of February during a period of ten years. They
suggest that the commissioners appointed to investigate the
Fraser River fisheries be charged with supervision of the
halibut close seasons.
The difficulty regarding lobster fishing off the Canadian
coasts by United States fishermen was adjusted previous to
the issuance of the report of the commissioners. This was
also the case with that arising over requirements imposed on
Canadian fishing vessels passing through territorial waters
of Alaska.
Recommendations for the protection of the sturgeon
fisheries, and a suggestion for an international conference to
consider action designed to save the whale from extinction,
are made.
SASKATCHEWAN BOARDS OF TRADE
Organization of the Saskatchewan Boards of Trade was
completed at a meeting of representatives of the different
boards of the province, held in Regina on July 21st. Over
fifty boards were represented. The following officers were
elected for the ensuing year: Thos. Reynolds, of Saskatoon,
president; Major F. J. James, of Regina, vice-president;
Charles Claire, Prince Albert, second vice-president; W. E.
Dennison, of Assiniboia, thii-d vice-president; Gerald Graham,
of Saskatoon, secretary-treasurer. Members of the executive
— J. P. O'Leary, Weyburn; J. Wood, Swift Current; Peter
McAra, Regina; R. Farquharson, Moose Jaw; R. Barbour,
Yorkton; G. G. Blackstock, Kindersley, and H. G. Dawson,
Melfort. Battleford was not represented at the conference,
and the executive member of that district will be appointed
at a later date.
The proposed general increase of 30 per cent, in the
freight rates was discussed at some length and a resolution
that a thorough investigation be made for the purpose of
ascertaining where increases were necessary was adopted.
The meeting also decided to secure the services of an expert
to take care of the interests of the province in all matters
coming before the Railway Commission. Other resolutions
were passed asking that the federal authorities provide that
the provincial authorities handle the resources of their own
territory; that the Hudson's Bay Railway be completed; that
an investigation be made of the way transportation com-
panies handle the exchange rates on imported goods; that
a mail car be placed on the Kerrobert line; that the names
of the various grades of wheat known under the Canada
Grain Act as Manitoba grades should be changed to Canada
Western grades.
Hon. Chas. Dunning gave an address on "Industrial De-
velopment Policy for Saskatchewan." An executive meeting
was held, at which the assessment of the various boards was
fixed on a scale according to the population.
WILL ENFORCE GAS SUPPLY
Companies supplying natural gas to Essex and Kent
counties, Ont., will be forced to keep up the supply, regard-
less of rates and difficulties of production, according to orders
issued on July 27th by Hon. H. Mills, minister of mines for
Ontario. A. conference of mayors and reeves with represen-
tatives of the companies will be held shortly to decide upon
an equitable rate. The Union Gas Co., which sells gas to
the Windsor Gas Co., the distributors, wishes to increase gas
prices on the border from 30 cents to $1 a thousand. The
company had declared that it would cut off the gas supply
.\ugust 1st, following the refusal of the municipalities to
pay the increase, and the decision of the governmnet was
reached after an interview with representatives of the
municipalities.
July 30, 1920 T H E M 0 N E T A R V T I M K S 29
= '""""""""" ■■■■■■■ IMIIIIIIIIIIIIIIII Illllllllllllllllllllltllllllllltlllllll Illllllllllllllllilllllllllllllllllllllllllllllllllllllllllllllir
I CHARTERED ACCOUNTANTS \
'"'"""""" iiiiimiiimiiiiiimiiiiiimiiiimmi iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiini mn iP
Baldwin,
Dow & Bowman
CHARTERED ACCOUNTANTS |
OFFICES AT
Edmonton
Alberta
Toronto
Ont.
CHARLES D. CORBOULD
Cbtrlered AccouDl>nt anJ Auditor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipes
CorrcsponJcnts at Toronto. London. RnR .
W. A. Henderson & Co.
508-S09 Electric R>nv«>y Cb>aibrr>
Wioliipcc, Man.
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Bank of Toronto Chambers
LONDON - ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
SOS Confederation Life Buildiiifi
Winnipeg
ROBERTSON ROBINSON, ARMSTRONG & Co.
CHARTERED ACCOUNTANTS
AUDITS
FACTORY COSTS
INCOME TAX 24 King Street West - TORONTO
AND AT:
HAMILTON
WINNIPEG
CLEVELAND
Hubert Reade & Company
Chtrlercil Accounlaali
Audilori, Etc.
407 408 MONTREAL TRUST BUILDING
WINNIPEG
SERVICE
Thorne, Mulholland, Howson & McPherson
JCi1?;:%3420
CHARTERED ACCOUNTANTS
Hamilton Bldx.
RONALD, GRIGGS & CO.
RONALD. MERKtIT. GRIGGS k CO.
WiDiiipcc.Toranlo.SaiktIoon.Mooif Jaw,
Montreal. New York. Lnndon. En|.
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Mnin 701-1
LUMSDEN BUILDING - - TORONTO, CANADA
F. C.S. TURNER & CO.
Chnrtcrcd Account.nl.
TRUST i. LOAN BUILDING, WINNIPEG
CLARKSON,
Charte
R
Merchants Bank Bldg..
E. K.C. Clarkson
H. D. I-ockhnrt CorJon
GORDON & DILWORTH
red Accounlnntn. fruattrra.
ece'vera. LiQuidntora
15 Weilinuton Street West Toronto
0. T. Clarkaon
Kst.ihhsluJ IWH H J. Ililwnrlh
It William.on C
X .1 WjlUer. f A
RUTHERFORD
A . J n Wa
H A Sh
WILLIAMSON
lac
*
.C A
C A
CO.
i h.lrlr't.l *• .
■ .;-!■..'"•<'
'•'
""
•fi .\m ' ■
(i04
Kcprcwr-
J
Wt: SKLL
Chauvin,Allsopp & Company, Limited
FARM LANDS
And other good property. EDMONTON DISTRICT.
VALUATORS
Ground Floor. McLeod Building - Edmonton. Alta
F. S. RATLIFF & CO.
FARM LANDS-FARM LOANS
STOrK? A\D BONDS
Medicine Hnt Albert)
THE MONETARY TIMES
Volume 65.
WHEN BENEFICIARY DIES BEFORE THE ASSURED
Life Insurance is Exempt from Succession Duties if Payable
lo Preferred Beneficiary, But its Taxable if Payable
into Estate
WHEN succession duties can be collected on life insur-
ance was the point involved in an important case
decided on March 19, by the Supreme Court of Alberta. It
was held that an insurance policy in favor of a wife who
dies before the maturity of the contract, becomes, under the
Life Insurance Beneficiaries Act one for the benefit of the
children of the assured and forms no part of the estate of the
assured, but if the policy is payable to the wife if living and
if not, then to. the insured's executors, administrators or
assigns, such insurance goes to the executors of the will of
the assured, and forms part of his estate.
Beneficiary Clauses Varied in Policies.
The facts as stated by his Lordship were as to whether
the money payable on two policies of insurance on the life of
the deceased was or was not to be taken into account in decid-
ing the question of the liability of his estate for succession
doty. The Canada Life policy for $.5,000 was upon its face
made payable to his wife. The Conferation Life policy for
$10,000 was upon its face made payable to his wife if living,
and if not, then to his executors, administrators or assigns.
His wife predeceased him and he did not marry again. He
never made any other decdai'ation with reference to this in-
surance money and these policies stood at the time of his
death as they had always done. He left but one child sur-
viving him.
Assured made no Declaration
In his written judgment, Justice Walsh decides: —
"(1.) That as the Life Insurance Beneficiaries Act provides
that if a sole beneficiary dies before the maturity of the
contract the assured may by declaration provide that the
policy shall be for the benefit of himself or of his estate, or
of any other person or persons whether or not such person
or persons belong to the class of preferred beneficiaries.
In the absence, however, of any such declaration, a policy in
favor of a wife who dies before the maturity of the contract
becomes one for the benefit of the child or children of the
assured, and that is his case. The money payable under the
Canada Life policy is upon the facts and by vii-tue of the
statutory revisions, the property of the son of the assured,
and as a prefeiTed beneficiary. It therefore, forms no part
of the estate of the assured and it is only on the property
of the deceased that succession duty is payable.
Second Policy not Exempt
"(-.) That the Confederation Life policy is different.
Though his wife was the original beneficiary under it, upon
her death it was to be paid to the executors, administrators
or assigns of the assured. It was quite competent to the
assured to thus direct. He could have done it after her death,
and I see no reason why he could not do it in advance of and
conditional upon her death. I do not see how the son can
possibly claim this money as a pi-eferred beneficiary. It
must go, I should say, to the executors of the will of the
assured, and form part of his estate. It, therefore, was not
wholly kept up by him for the benefit of one of the class to
which exemption is given by sec. 6 (g) of the Succession
Duties Act, (husband, wife, child, grand child or mother of
tlie deceased) and is therefore dutiable." ,
According to a cablegram from London, the privy coun-
cil of. Great Britain has decided, on the appeal in the case
of the explosion at the Curtis-Harvey powder plant near
Rigaud, Que., that the fire insurance companies are re-
sponsible only for the loss caused by fire, and not for the
loss due to explosion.
Ai'PLIC.\TIOX FOR HIGHER EXPRESS RATES
Increase of 1918 Insufficient for Present Expenses — Actual
Return is 61 Per Cent, of What it Was in 1911
APPLICATION was made to the Board of Railway Com-
missioners an July 23, by the Express Traffic Associa-
tion of Canada, for an increase in rates. The application is
made on behalf of the expi'ess companies doing business in
Canada, of which the chief are the American Railway Ex-
press Company, British American Express Comapny,
Canadian Express Company, Central Canada Express Com-
pany and the Dominion Express Company. The application
roads in part as follows: —
"Previous to the year 1911 our board made an exhaus-
tive investigation into the express business in Canada. The
investigation resulted in certain concessions to the public
by the express companies, increasing the 'operating expenses
of the companies and reducing the express rates. In 1913 a
further reduction in practically all the express rates was
ordered. The express companies unavailingly protested
against these reductions.
Costs Up 100 Per Cent.
"In 1918 an- increase was granted. What has actually
happened shows that the Increase in rates, instead of
amounting to 37 per cent, east of Sudbury and 23 per cent,
west of Sudbury, amounts to less than 23 per cent, on the
whole traffic. The result is that the tolls as increased were
not sufficient to take care of the actual operating expenses.
The cost of living has gone up 100 per cent., and the opera-
ting cost of the express companies has gone up proportion-
ately. The Canadian railways have received freight rates
increases of (so called) 15 and 25 per cent, respectively.
These increases in reality represent a natural advance of
about 31 per cent., which, if granted, will entail a further
substantial cost to the express companies, and naiTow the
spread between express and freight rates. The result is
the express companies are operating on less than 61 per cent,
of what the board in 1911 declared to be a fair and reason-
able tariff. Reviewing the inci-eased costs, the companies
submit that they are entitled to further protection.
"When granted, this will still leave the totals 15 per
cent, below parity of those put in force by the board in 1913.
The companies claim a loss of $2,800,000 for one individual
company, and a continuing loss."
EMPLOYMENT CONDITIONS IN CANADA
The Employment Service of the Department of Labour
report that the Dominion and provincial offices of the Em-
ployment Service of Canada for week ended July 10, show an
increase in placements as compared with the returns for the
preceding week. The offices reported that they have made
7,853 references to regular positions and 7,108 of these
received employment. This represents an increase of 1,382
when compared with the previous week when 5,726 place-
ments were reported, but the smallness of this number is
due partly to the Dominion Day holiday. In addition 1,818
casual jobs were supplied as compared with 1,887 during the
week ended July 3.
During the week 8,639 applicants were registered of
whom 1,063 were women and 7,576 were men. This is an
increase of 1,670 in registration when compared with 6,969
applicants reported during the preceding week. The number
of vacancies notified by employers to the Service during the
week totalled 9,427 of which 1,406 were for women and 8,021
were for men. This represents an increase of 2,007 when
compared with the 7,420 vacancies reported during the
week previous. Of the placements in regular employment
708 were of women workers and 6,400 were of men.
July 30, 1920
THE MONETARY TIMES
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I REPRESENTATIVE LEGAL FIRMS \
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BRANDON LETHBRIDGE, Alta.
REGINA
KILGOUR, FOSTER & McQUEEN
Barrittori, Solicitors, Etc., Brandon, Man.
Solicitors for the Bank of .Montreal The
Royal Bank of Canada. Hamilton Provident
and Loan Society. North American Life
Assurance Company.
Conybeare, Church & Davidson
Barristers. Solicitors. Etc.
Solicitors for Bank of .Montreal. The Tru»t
and Loan Co of Canada. British Canadian
Trust Co.. 4c., 4c.
C. K. p. Conybeare. K.C., H W. Church. M.A.
R. R. Davidion. LL.B.
Lethbridse • Alta.
A L Ourjon
K C R H u.ifjun. li 1. L
H H Ko,.«n
V !■ CoUi.i-
Gordon
Gordon, Keown
and Collins
Barri.
tetM. Solicitort. Ac.
Aldon Bu
ildmi, REGINA. Ssak.
■S.,l,c,...„ u,
r 111 -<t;j! Hink of C.n.d.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal Bldg.
CALGARY ALTA.
W. p. W.Lent
Alex
B..Mackay. .MA. .LL.B. |
H. D
. .Man
1. MA
,LL.B.
LENT, MACKAY
& MANN 1
BarrUt«r»,
!«aIlelIors.
.Vularle
, Etc.
305 Grain Exchange
BldR.
Calgary
Alberta
Cable Addreit
"Lenj
o.'H'e
s(em Un
ionCodt
Solicitors for The Standard Bank of
Canada.
The Northern
Trust
s Co..
Associat
ed Mort-
cafie Investor-i
. ftc.
Hon. Sir James Lougheed. K.C. K.C.H.G..
R. B. Bennett. K.C. J. C Brokovski. K.C
A. M. Sinclair. K.C. D. L. Redman. H. E.
Forster, P. D. McAlpine. O. H. E. Might. L.
M. Roberts. fCablc Address 'L.oughnett ■)
LOUc;HEED. BENNETT dt CO.
Barristers. Solicitors. Etc.
Clarence Block, 122 Eighth Avenue We.t
CALGARY. ALBERTA. CA.MADA
WRIGHT & WRIGHT
Barriilers, Soliciton, Sotariei, Etc.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. A. C Rutherford, K.C. LL.D.
P C. Jamieson, K.C. Chan. H. Grant
S.H. .McCuaifi Cecil Rutherford
RUTHERFORD. JAMIESON
& GRANT
Barristers, SolicllorM, Etc.
S14-18 McLeod BIdg. Edmonton, Alberta
L M. Jnhn'it.ine. K.C. J. Norman Kitchn-
W. S. Gray
JOHNSTONE & RITCHIE
Barrittert. Solicitors, Not.irie>
LETHBRIDGE - Alberta
MEDICINE HAT
1, 1-. H. LoM..
LL.B.
J. W. Sl,E|.,MT li A
LONG
&
SLEIGHT
B
arrittert, etc.
MEDICINE
HAT
and BROOKS, Alta.
MOOSE JAW
Grayson, Emerson & McTaggart
Barristers. Etc.
Sohwiturs-Hark of Montreal
Canadian H.inU of ComimTce
Moose Jaw - Saskatchewan
NEW YORK
NEW YORK
WILLIAIVl BRUCE ELLISON
Called to Ontario Hjr I8XU New Vork Bar ]IUC2
ELLISON. ELLISON & FRASER
lii.-> Hroailnar. >'« *"'••
ELLISON. GOLDSMITH & ALLEN
■-■.••I Wr.t lOllli HI.. Nr<» Inrl.
PRINCE ALBERT
COLIN E. BAKER, B.A.
S ihcitor (or the City of I'rincc Alberl
irvlPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
SASKATOON
C 1.
DL
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JRIE &
, , , ^,^
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WAKELING 1
l(arrl<lrr<
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Great
Mona
citora for the
Wett Perr
rch Life A..ur
Bank of Hamilton,
nanent Loan Co.
<nceCo.
The
T*«
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la BallillBs
Aaakaloon, (a
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Ch.i'i G Lncko
MjjnrJ.J
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LOCKE
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AUGHEY
Barriit
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tor.. Etc
208
Canada B
uild.ng
SASKATOON -
CANADA
VANCOUVER
W J How-cr K C H L «"J ^^■
1). S WjllhrKliie A H. I).HJil»« J O l"'ih»on
BOWSER, REID. WALLBRIDGE
DOUGLAS i GIBSON
Barrialers. Sollcltora. Klc.
Solicit.ir. (or Hank ol Urili.^i \ f •■ >i * rrrn:.
YORKSHIRE BUILDING
S2S S.7«oor St. VANCOUVER. B.C.
VICTORIA
l- M M ll>l)T
:,„b«T ..I Mjo.IoI
d Hr.li»h i:oUi".h
A K DL M.'ir
IK.t (..r Alberta
limber ol Novj S
.a. Albert., and Hr.t- K^r.
l«h Columbia Barv
DUNLOP & FOOT
Bnrrialerra. Sollcltora
Nolnrie-a nnd Commlaalcnpr
fiI2.fii:t S»»-.r,) llld«
Viclona. BriliJi Columhi.. C ■■■.-«i«
i«r Card hrtr trcmlJ rmtarr II keimt
itrm ».T I*/ principal finannal and
commercial inlrrrili m Canada.
l.t ahoul i/lr.i.j/ r.Ufi for
tllh fait
"The
Monetary
Times"
w
11 be sent vou (or four mo
ir TRIAL SUBSCRIPTION p
$ l.OO
Un lor
Just send a
dollar bill and your nn
mi^ nnd nddresa.
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE • REALTY
432 Pendc-r Street, W., Vancouver, B.C.
I)r J.u. MAtI ■ •. ) A WMSTMAN
Pre«ident Mania.na Oiractor
32
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
Spanish Representative Looking Over Canadian Timber and Pulp — Cana-
dian Government Merchant Marine Will Start Operations on The Pacific in
September With Increased Service at Later Intervals— Dominion Steel
Corporation Will Commence Manufacturing Bricks Shortly for Its Own Use
AUGUSTO RAMONEDA, of Barcelona, Spain, who was in
Montreal some weeks ago, and who arranged for two
shipments of pulp from the province of Quebec to the country
which he represents, visited British Columbia last week.
He has already opened an office in Montreal and intends to
stay in Canada for some time, with a view of cementing
trade relations between this country and Spain, in regard
to timber and pulp. Mr. Ramoneda was impressed with the
timber of British Columbia, and it was his opinion that it is
larger in size and better in quality than any he had seen
in the Scandinavian countries. He was favorably impressed
by his visit to the larger pulp and paper mills of the province.
"I am hoping to be able to make arrangements while in
British Columbia for regular shipments of pulp from the
mills in the province," said Mr. Ramoneda. "Spain is in a
position to be a regular buyer of pulp and large timber.
Previously to and during the war, Spain drew her pulp sup-
plies from the Scandinavian countries. Since the war ended
the world's competition for pulp has been so intense that
Spain can no longer obtain sufficient pulp for her paper
mills. She has been importing at the rate of about (50,000
tons per year, and would like to make arrangements for
regular shipments from Canada."
United States competition for pulp is very keen in the
Canadian market, but Mr. Ramoneda thinks the wisdom of
extending their market to Europe should appeal to the Cana-
dian pulp producers. He states that, that financially, Spain is
flourishing, and that the country's commercial progress is
very rapid.
Merchant Marine and the Orient
A trade route on the Pacific side of Canada from Van-
couver, B.C., to the Far East, has been announced by R. B.
Teakle, general manager of the Canadian Government Mer-
chant Marine. The route starts from Vancouver to Shang-
hai, thence to Hong Kong, Singapore, Colombo, Calcutta and
ending at Rangoon. It is expected that the first ship will
be dispatched from Vancouver early in September and the
vessels employed will be of the largest type of 8,300-ton
vessels being built on the Pacific coast. At least one ship
a month will be placed on the route.
The Canadian Government Merchant Marine will not
undertake a service between Vancouver and China and Japan
for the present, according to the decision of the executive
council of the C.G.M.M., which held a special meeting in
Montreal la.st week. It has been decided to continue the pre-
sent Australian service with five steamers, and to inaugur-
ate a sen'ice between this port and Straits Settlement, with
an extension to India if conditions warrant. Seven steamers
will be required for this service, according to present plans.
Boats on the Australian run will be the "Canadian Im-
porter," "Canadian Exporter," "Canadian Inventor" and
"Canadian Prospector," now in service, and the "Canadian
Winner," now being completed at Victoria. In the Straits
Settlements service will be the "Canadian Traveller," now
completing at Victoria; the "Canadian Highlander" and
"Canadian Skirmisher," building at the Wallace yards at
North Vancouver; "Canadian Freighter" and "Canadian
Transporter," now building at the Coughlan yards; and the
"Canadian Reaper" and "Canadian Thresher," under con-
struction at Prince Rupert.
Quebec Province Industrial Expansion
Speaking recently regarding the industrial expansion of
the province of Quebec, Hon. Rodolphe Lemieux, said: "Our
province is expanding industrially at a rapid rate. The value
of the province's industrial products has grown from S219,-
861,648 in 190.5, to $387,900,585 in 1915, and to about $500,-
000,000 in 1919. The development of our water powers has
in a very large measure contributed to this great industrial
expansion. The province is eminently adapted for all kmds
of industries. We have the natural resources, we have the
power, we have transportation facilities by rail and water,
and we have, too, an industrious and contented population,
which in these days is a great asset. Great progress has
been made in the pulp and paper industry, and this has been
lai-gely due to the action of the provincial government in
prohibiting the exportation of the raw material, and so forc-
ing the Americans to erect factories in the province for the
manufacture of pulp and paper. One reason why there has
been such industrial progress in the province is to be found
in the fact that labor conditions are good."
Pulp and Paper Prospects in B.C.
A campaing conducted recently by the "Prince George
Citizen," Prince George, B.C., for a joint pulp and paper
proposition to be located there, generating power at the
hydro-electric site on the Nechaco River, appears to be ma-
terializing, according to that authority. The "Citizen's" aim
was to make it possible for industries to become established
with reasonable assurance of growing up with the city. The
absolute lack of industries there is attributable to the limited
and costly electric service now provided. According to an
article in the "Citizen" recently, many pulp concerns are
approaching the local authorities with a view of developing
the timber and pulp areas, particularly from the American
side, but in view of the heavy export of pulp from Canada
to the American consumers and of the outcry raised by
Canadian papers threatened with extermination owing to
the newsprint shortage resulting from this export, American
capital is not so welcome in this industry as British.
With regard to the prospects, the article goes on to
say: "Here at Prince George there may be found an excel-
lent site for pulp mill purposes. Being situated down stream
from the whole of the Eraser and Nechaco valleys beyond
this point, and at the radiating point of the railways through
this country, this would form an ideal site for a large pulp
and paper mill. Power may be developed within five miles
of this city on the Nechaco River, where from 5,000 to 10,000
h.p. can be produced by a dam of from 10 to 20 ft. in height,
which can be constiucted on an ideal location."
Build Brick Plant
Work is to be started this summer by the Dominion
Steel Corporation, in the quarrying of silica deposits at
Leitche's Creek, Sydney, N.S., for the pui-pose of manufac-
turing brick. Delay in obtaining the necessary machinery
for the work is all that now holds up operations and as
soon as it can be obtained workmen are to be placed upon
the ground at once to extract the material.
The silica deposits at Leitche's Creek, development of
which has now been decided upon by the company, were pur-
chased last fall. The cost of opening up the quarry, to-
gether with the price of the property containing the deposits
will be in the vicinity of $50,000. A huge brick plant, which
is costing the company in the vicinity of $250,000 is now in
course of erection and is already nearing completion. The
silica extracted at the Leitche's Creek holdings is to be
transported to the plant and there manufactured into brick.
When the new brick plant is in operation it will turn
out brick at the rate of 15.000 a day. Employment will be
given to over fifty men. About 8,000,000 bricks are used
each year by the company at present in the various depart-
ments on the plant and they are obtained mostly from the
July 30, 1920
THE MONETARY TIMES
The Imperial
Guarantee and Accident
Insvu-euice Company
of Canada
Head Office, 46 KJNG ST. WEST, TORONTO. ONT.
IMPERIAL PROTECTION
Guarantee Insuranc.-, Accident In^,ura.,ce, Sicknes^
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital . - . $200,000.00
Authorized Capital - . - $1,000,00<J.OO
Subscribed Capital - - - $1.000,0fl0.00
Government Deposits $Ul,000.0<i
LONDON GUARANTEE AND
*-.V-rii i^v-ri-^ ACCIDENT COY.. Limited
Head Office for Canada Toronto
Kmph.ycrs' l.,,l„l,lv. Hlcvator. Con>r,.I. Hc.on.l AccdcBt, F.d.l,t»
Guarantee, Internal Kcvencc, Sickness. Court Uondt.
Teams anJ Auiomobile.
AND FIRE INSURANCE
The Western Mutual Fire Insurance Co.
Head Office - Didsbury, Albc^rta
Prts,<irni-ll. K. ATKINS. M.L.A
PARKER H, KEIiD.
M.inatinl director
LAHl.KST ALni:i<TA
l-IHB MITUAL
CANADIAN STRONG PROGRESSIVE
FIRE INSURANCE
AT TARIFF RATES
Great North Insurance Co.
Head Office. I.O.O.F. BLOCK. CALGARY. AI.KIKI\
THE COMPANY WITH A RECORD
OFP/CfiRS
... W.J. WALKER. B*a.
- J. K. McI.VMS, Em.
ALEX C RUTHKRl-ORD. K.C.
Hon. P. B. LBSSARD. M.L.A.
J.T NORTH. Eiq.
Edward J. HrsMn.
E»«
J. K. .Mclnnlt
W. J. Wallier. Baq.
Oco. H. Rmi. 1.0
Palatine Insurance Company
LIMITED
OF LOADON. ENGLAND
Capital Fully Paid - $1,000,000
Fire Premiums, 1919 3,957,650
Total Funds - 6,826,795
Head Officii : — CanaJian Branch
COMMERCIAL UNION BUILDING, MONTREAL
W. S. Joi'LiNG. Hananer
Toronto Office— 60 KING STREET WEST
JoNKS & Proctor Bros., Limitrd, ARcnts
i Automobile— 1 920— Season
Policies to cover ANY or ALL. motorinK risks
ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
.SL'-SS k>
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
Hail and Fire
General Afjciicios svaiiteil l>_v new liriii comiiiriic-
in),j ill Calfjury, for cither S.i>k:ilchcwan or
Alberta or both. Il.is fxccplion.illy slronj; con.
nections over both provinrcs, .mtl c.tii assure a
strong premiiiin income. All cnquiric!* rcffarJed
as strictly conliclcntiil. AJdros replies to :
Box 325, The Monetary Times,
TORONTO
34
THE MONETARY TIMES
Volume 65.
United States. The price paid at present is in the vicinity
of $70 a thousand. By manufacturing the brick required
on the plant in this city the officials estimate that many
thousands of dollars will be saved yearly.
Manufacturing Notes
The contract for the construction of a $3,000,000 drydock
on Burrard Inlet, B.C., has been let to Coughlan and Sons.
Loans aggregating $1,0(5:^,063 have been recommended
by the advisory council of the Provincial Department of In-
dustries of British Columbia, during the year in which the
department has been in operation. Within the past month
or two, loans aggregating $359,000 have been passed upon
by the council and recommended to the govemment.
Assets, including the goodwill of the Williams, Greene
and Rome Co., Ltd., Kitchener, Ont., have been transferred
to Cluett, Peabody and Co. of Canada. The local manage-
ment will continue with the new company, which will also
continue buiness under the old name. Extensions to the
present plant are contemplated in the near future.
Nineteen hundred and twenty acres of tar sand rights
in the province of Alberta have been leased to Gen. William
Lindsay upon specified terms and conditons. From the tar
sands of Alberta — which are known to exist by billions of
tons along the Athabaska River — it is estimated that great
quantities of gasoline, kerosene, naptha, bitumen, tar, lubri-
cating and fuel oils can be obtained.
At the special general meeting of the shareholders of
Canada Foundries and Forgings Co., held at Brockville, Ont.,
on July 24, approval was given to the recommendation of
the board of directors of the enterprise involving the ac-
quisition of the Mann Axe and Tool Co., of St. Stephen,
N.B. If certain negotiations now being conducted with the
municipality of St. Stephen are carried to a satisfactory con-
clusion, the Mann plant at that town will be rebuilt without
delay. The business will be conducted under the name of
the Mann Axe Co., in which Canada Forgings will own a
controlling interest.
Ament Brothers, of Bi-ussels, Ont., who do a large stave,
heading and sawTnill business, are now constructing an addi-
tion to their sawmill to be utilized in connection with their
own flax output. John McDonald, of Walton, Ont., another
sawmill owner, is erecting an up-to-date flax mill.
Ontario Gets New Industries
A new automobile manufacturing plant is projected, to
be located in Weston, Ont. The flotation of the company is
proceeding, and Weston people are being approached to sub-
scribe. It is understood that the new company is to manu-
facture its own car, and will not be a branch factory for an
American car.
Extensive operations involving the outlay of almost
$500,000, and the maintenance of a big fishing fleet are
planned by the Mackenzie Basin Fisheries, who are establish-
ing a cannery at Black Bay, Athabasca, Alta., equipped with
modern machinery that will employ over one hundred helpers,
according to Captain Baxter, of Cannin, N. S., who is at
Peace River, in charge of the supplies that will be used in
the construction of the factory.
The Universal Tool Steel Company has disposed of its
property and machine shop on the east side of Dufferin street,
north oif the Exhibition grounds, Toronto, Ont., for $155,000,
to a United States firm, whose identity has not been dis-
closed by Robins, Ltd., who negotiated the transaction.
Negotiations have been completed whereby the Orton
Motor Co. Ltd., will locate at Petrolca, Ont., and commence
operations just as soon as the necessary machinery can be
imported and installed. The Orton Company has taken over
the large building formerly occupied by the Stevenson boiler
works, lying between the M. C. R. and G. T. R.
Collection of Alberta's 1920 wool crop commenced on
July 12. in Calgary, where the raw product is collected and
prepared for shipment to the east. It is estimated that
approximately 300.000 pounds of wool will be sent from
.\lherta, through the central collecting station at Victoria
Park this year. This estimate is based on the annual iiro-
duotion of the last few years, when from 250,000 to 300,000
pounds were handled annually. In former years the wool
growers themselves attended to the grading of their crop,
and a definite date was set for the sale of the same, when
buyers from all parts were notified to attend at Calgary.
NEW INCORPORATIONS
Midwest Development Company, Limited — Iroquois — Kirk-
land Mines Company, Limited — United Trading Corpor-
ation, Limited — Firestone Park Housing Company,
Limited
The following is a list of companies recently incorporated
under federal and provincial laws, with the head office and
authorized capital: —
Hull. Que.— T. A. Guay, Ltd., $49,000.
Fort Erie. Ont.— Arner Co. Ltd., $75,000.
St. Thoma.s. Ont.— Armand, Ltd., $40,000.
Gait. Ont.— A. Little Co., Ltd., $40,000.
Hanna. Alta.— Shacker's No. 1, Ltd., $40,000.
London, Ont.— Daly Coal Co., Ltd., $40,000.
Victoria, B.C.— Hajnvard Estates, Ltd., $2,160.
Brantford, Ont.— Harrington Bros., Ltd., $40,000.
Oshawa, Ont.— Moffatt Motor Sales, Ltd., $20,000.
Lachine. Que.— Leger & Charlton, Ltd., $49,000.
Aylmer, Ont.— Aylmer Products, Ltd., $500,000.
Thessalon. Ont.— Hope Lumber Co., Ltd., $50,000.
Vernon. B.C.— Lakeside Clay Products, Ltd., $50,000.
Nicola, B.C.— Nicola Lake Stock Farni, Ltd., $500,000.
Quebec. Que.— Charlesbourg Granite Co., Ltd., $20,000.
Blackie, Alta.— Chase Creek Lumber Co. Ltd., $100,000.
Sudbury, Ont— Murray Townsite Mines, Ltd., $120,000.
Minnedosa, Man. — McQuarrie Ranching Co., Ltd., $50,000.
Emerson, Man.— E. Casselman Drug Co., Ltd., $20,000.
Brantford, Ont. — Brantford Washing Machine Co., Ltd.,
$100,000.
Sarnia, Ont. — Regent Mines, Ltd., $1,000,000 (no person-
al liability). ,
Calgary, Alta.— Grain Lands, Ltd., $50,000; New York
Fashion. Ltd., $10,000.
Fort Steele. B.C. — Victoria Sliver Leaf Mining Co., Ltd.,
$180,000 (non-personal liability).
Edmonton, Alta.— A. T. A. Publishing Co., Ltd., $20,000;
Lees-Big!er-Moore, Ltd., $25,000.
Hamilton, Ont. — Firestone Park Housing Co., Ltd.,
$1,000,000; Colonial Radiators,, Ltd., $40,000; Canadian
Color Type, Ltd., $50,000.
Winnipeg, Man. — Marshall Granite Block Co., Ltd.,
$50,000; Standard Gramophone Manufacturing Co., Ltd.,
$25,000; Western Match Co., Ltd., $200,000; Winnipeg Pro-
ductions, Ltd., $250,000.
Vancouver, B.C. — Glacier Lumber Co., Ltd., $20,000;
Bi-itish Columbia Bauxite Co.. Ltd., $100,000; Napier Lum-
ber Co., Ltd., $25,000; Sidney Logging Co., Ltd., $10,000; San
Juax Box Co., Ltd., $50,000.
Montreal, Que. — Dominion Music Co., Ltd., $50,000; Hali-
fax Shipbuilding Co., Ltd., $100,000; Fibres, Ltd., $50,000;
Jentil Cleaning, Derusting and Rust-Protecting Co., Ltd.,
$125,000; Jensen, Ltd., $125,000; Associated Screen News of
Canada, Ltd., $24,000; St. James Realty and Investment Co.,
Ltd., $250,000; Dixie Land Housing Co., Ltd., $10,000; St.
Jerome Hardware Co., Ltd., $20,000; Robert Martel, Ltd.,
$20,000; Veterans, Ltd., $.5,000.
Toronto, Ont.— Winchester Garage Co., Ltd., $10,000;
Clarke Rubber Heel Co., Ltd., $200,000; Iroquois-Kirkland
Mines Corp., Ltd., $2,000,000 (no personal liability); Wiggily
Toys, Ltd.. $40,000; Grand Valley Fruit Farm, Ltd., $40,000;
Midwest Development Co.. Ltd!, $3,500,000; Sturgis Baby
Carriage Co., Ltd., $40,000; Algonquin Lumber Co., Ltd.,
$100,000; Wilkinson Paper Co., Ltd., $60,000; United Trading
Corp., Ltd., $1,000,000; Combined Bnish and Comb Co., Ltd.,
S40.000; Co-Operative Skirt and Dress Mfg. Co., Ltd., $50,-
000; Unlisted Securities Corp., Ltd., $50,000.
July 30, 1920
THE MONETARY TIMES
35
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS .... 24,600,000.00
UBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful dava for life inaurance aaleamen
parlicuUrly North American Life men. Our repte.eBI.-
'!1f'.^."^ placinK unprecedented amounia of new buaineaa.
All 1919 recorda are being amashed.
... '" ^°\'^ ■• '*>«■ C^onlincnt ' policie., coupled with aplen-
did dividenda and the great enthuaiaaro of all our reprc-
aenlatives tell you why.
Get ill line for succeta in underwriting. A North
American Life contract ia your opening. Write ua for full
particulars.
Addre.5 E. J. Harv
of Agencies
North American Life Assurance Company
II. II
HOME OFFICE
iN'lIN IN':
TORONTO. ONT
important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assurances, New and Revived - - - 81,211.447.00
Premiums on same - . - . 4.'?, 890.00
.Assurances in t'orce - . . . 3,458.939.00
Total Premium lucome - . . . 109,586.03
Policy Reserves - - . . . 211,497.00
Admitted Assets '296.430 62
Average Policy 2.237.50
CoUecteil in cash per §1,000 insurance in force 31 75
For particulais of a good agency apply to
ADAM REID, Managing Director Winnipeg.
1870 ' OUR GOLDFN JL'BILIK - 1 020
Mutual in Principle: Mutual in Practice
.ittc
■ Mil
the openinc of its Inni! campaign in IK7Uiluun lolht
of that success has hccn due lo Ihc practKcof tht prm,.irU ot mutuiililv
which has characti-nicdaliranli. of the ever incrcas.nt irm> obsljclci
have been removed, dirticiiltics i>vcrcomr and a loni; ftucceihSiun ol vic-
tories achieved by co-operation, ihr most vital force in the wi.rld
The obicctive of Ihe .Mutual Life of Canada -ince it« oreaniul.on in
1869 has been "to fu^nl^h the largest amount of .cnuine life inmranvc ii
the lowest possible net cost." This objective has been attained as
actual results clearly ^ho« The limited nurrher o( lapse, indicate.
a membership of saiistird policyholders whi'e the rapidly expandmt
business reve.i's the uri.winK popularity of the cnmran) ,i,.,n . ,., > c.
BE A MUTUALIST!
The Mutual Life Assurance Co. of Canada
SUCCESS IN LIFE INSURANCE
Salesmanship depends so much upon thir- ^^^•rv1^;c rcndcrcii that \vc have
adopted asourslog.'in : ** Vrealor Service (o rullryhMldtTpt." \\ c have a feu
desirable positions for good salesmen who will study their clients' best interests,
and cooperate with the Company. Every assistance, financial and otherwise.
given earnest, hard workers, to make good. Apply with refercnc s. staling ex
perience etc..tn«l. ». ^VKAVF.R. Eastern .^aperlnlendent. ai Henri Ofllre
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
THE LONDONTlipE'lNSURANCE CO.
Head Office LONDON, CANADA
Profit Results in this Company 70^ better than Eilimalci.
POLICIK-; GOOD AS GOLD
Some Men
Ciive "reasons" why they have no! taken
oiU Life Insurance. In nine cases out of
ten these reasons are found to be mere
excuses.
Life Insurance is a matter far too import-
ant lo risk coming lo false conclusions.
If you need information and advice, permit
THE GREAT- WEST LIFE ASSURANCE COMPANY
lo t;ivc the explanations yoii nr- rd
HEAD OFFICE DKPT'f WINNIPEU
The Western Empire
Life Assurance Company
Head Office: 701 Somerset Building, Winnipeg, Man.
SASKATOON
BD.MONTON
VANCOl VER
THE DOMINION OF CANADA
GUARANTEE & ACCIDENT INS. CO.
Aocidtnt Inauranc* Slcknesa Iniuranoe Plate OI»*i Inturmnc*
Burilary Intumnct Automobtle Inaurance Ouaraniee Dond*
Tht Oldctt and Siron«««t Canadian Accident Inauranct Companr
Tar«Bl« !N«Blreal Wlnalpet <«,tc«r7 Tuir««Trr
PROGRESSIVE'
The Cotnmerciail LUk
Assurance Company ofCMiadA
'Tfead TMBc0s. V.KM. AMj-.E^mmiMt
36
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Former City Treasurer Suggests Working Capital for Toronto— Taber May
Face Double Tax— Winnipeg Hydro Has Surplus— Regina Operates at a Loss
for First Six Months— Increase in Collection of Vancouver's Tax Arrears
Halton County Ont.— A tax rate of 6Vi mills on the ings which were $545,644 in 1913, had increased to $1,279,469
dollar has been struck, as compared with 7 mills last year. for 1919, and the 22,015 customers for light and power m
CalKary Alta.-Up to July 20, the end of the first dis- 1913 have now increased to 39,877.
count perLd a total of $1,52^006 was taken in in taxes. The statement for the year ended Aprd 30, 1920, corn-
Most of the taxes paid were ^urr^nt, the proportion of arrears I'-'ed with the e.tm,ates for the current year, .s^as follows^-
being small. Revenues. for 1920. end.Apr. 30.
Chatham, Ont.— The tax rate for 1920 has been set at Commercial lighting $201,000 . $ 310,053
31',.i mills, as compared with 32 mills last year. Assessment, Domestic lighting 322,500 516,165
which was $10,094,195 last year, has been increased Lighting city buildings . . . ." 15,100 21,390
$2,000,000. ^ Street lighting 43,200 54,971
Vancouver, B.C. — Tax ai-rears collected for six months Outside municipal lighting 6,800 8,543
ending 30th June, 1920 amount to $645,406, as compared Commercial power 205,000 284,113
with $468,809 for the same period last year. This is con- Power for city buildings 15,100 20,490
sidered all the more satisfactory in view of the fact that City waterworks 30,200 24,100
arrears outstanding at the first of the year for collection Outside municipal power earnings . . . 3,000 4,234
were approximately 10'a less than at the 1st January, 1919. Tramway earnings 3,000 7,486
City Solicitor Jones has given nis legal opinion that there Non-operating revenues ^'^0" ^^'^^^
can be no objection to the council authorizing expenditures ^^^ ^^^ ^^^
of funds for which no provision was made in the estimates. o i +• iqiq loon 'lanVvQ
Mr. Jones makes the proviso, however, that in no case should ourp us tor IJIJ-IJ-U i»u,^(9
,.V , li i i 1 1 * t J „„^„„o Surplus at begmnmg of year 104,262
exnend.tures exceed the total amount of expected revenue ^ J ^ adjustments 2,002
He also pomts out that it is the duty of the comptroller •" '__
when funds for- any particular project are exhausted to notify Surplus April 30 1920 $ 282,5.39
the person, committee or department concerned.
Regina. Sask.— The city public utilities were operated at Statements showing the development and progress of
a total loss during the firstsix months of the year, according the system are to be circulated by the department through-
to a report prepared by the auditors. The loss on the street out America for the purpose of inducing business establish-
railway for the period was $34,014, and the electric light and ments to locate in Winnipeg and to boost the city's cheap
power department were behind to the amount of $27,739. power.
The only utility to show a surplus was the water works de- Toronto, Ont.— Need of working capital for the city, is
partment, the profit being $1,295. pointed out in the last annual report of the former city
The operation of the genei-al government of the city treasurer, Thomas Bradshaw. "A considerable portion of
for the first half of the year shows a deficit of $43,793, as the year's revenue." he said "is not received within the fiscal
compared with the proportion of the estimated expenditure year, and yet it is apportioned and treated as though it
for the whole year, but it is pointed out that some of the vvere available. Such a condition necessitates heavy borrow-
departments spend less the second half of the year, and this i„gs which could be avoided if a working capital were
may be made up before December 31. provided. Furthermore" he continues, "practically no rev-
Taber, Alta. — After conferring with bondholders of the enue is received during the first five months of the year,
municipality recently at Calgary, presented a report of the owing to the first installment of taxes not being payable
meeting to the council. The mayor submitted the report until June, in spite of the fact that the year's expenditures,
of the commission on municipal finances on the affairs of commencing January 1, are going on all the time, and must,
the town, the gist of which was that improvements were of necessity, be provided by further borrowings in the eai'ly
being made at a time when expenditures ought to be reduced, months of the year, which puts an additional strain upon
even though the town was reducing its liabilities by the sum the city's credit. These conditions emphasize the necessity
of $4,000 to $5,000 a year. He pointed out at the meeting of providing a liquid surplus or reserve fund in order that
of the commission, that the town according to the last two the city may have working capital to carry the revenue
annual statements, had improved its position by the amount expenditure while revenue is unavailable, and further, of
stated, but the chairman wished him to pledge himself that placing the date for the collection of taxes as early in the
the town would return to the tax both on buildings and land year as possible in order that the borrowing period may be
which he declined to do. The increased cost under present shortened and the amount borrowed be minimized."
conditions, of running the town, had offset the saving, and Mr. Bradshaw suggests that the difficulty could be over-
he reported to the council, that should the town default, come by placing in the 1921 estimates a sufficient sum to
which it had not done, in paying the debentures, the bond- meet a portion of the temporary borrowings, and that like
holders, in his opinion, could force matters, and the town sums could be spread over succeeding years until a large
would have no other course than to return to the double tax. enough fund had been created to carry the treasury depart-
He had pointed out to the bondholders that the town had ment over the lean months.
no other source of revenue, but he thought that the council ht t> j i , , , ..
should under the circumstances, take the matter into serious , ,,^^''- ^''^^l^'V^^'y^^ '"^P"'^ ^'^°^'^ *^«t **'« capital assets
consideration ' '^^'^'"^ $147,531,041, apart from reser^'e
for depi-eciation. This includes sinking fund assets of
Winnipeg. Man.— A good record was made by the city's $27,863,995 and permanent properties, improvements, etc.,
hydro-electric department last year. The surplus earned was to the extent of $114,705,864. The report also brings out
$182,283 in spite of liberal increases to all employees of the the fact that though there was a falling off in war expen-
department. Besides providing for sinking fund levies and ditures during the year, there was an increase in general
spending $100,000 on plant renewals, some $200,000 was expenses exceeding" those of the previous year by more
added to the contingent reserve account. The gross earn- than $2,000,000.
Julv :^o. 1920
THE MONETARY TIMES
37
We Offer the
8% Cumulative Guaranteed Preference
Stock of
King Edward Construction
Company, Limited
(King Edward Hotel, Toronto)
Guaranteed by —
King Edward Hotel Company, Limited, and
United Hotels Company of America
Secured upon Realty situated in the centre of Toronto
Price $100 per Share
Carrying a bonus of 30'( in Common Stock
Yielding 11%
Complete Prospectus will be sent upon request
T. S. G. PEPLER & CO.
Investment Brokers
ROYAL BANK BUILDING, TORONTO
^M1SS£RVV^0D4-'G'MB^NY
CANADIAN GOV EKNMtNT
AND MUNICIPAL BONOS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
CITY OF WINNIPK(;
'Iwi-nlv-^ i-ar 6'. C'oiipdn l<un(l>
I>ur. ind Aujun. Isi''.
/"riiiciijai and m-mi-annuaf iFi(«rrM( Itnd h'cbnuury and Aumttft
payablr of Otr Bank «f Manlnal in Taronla. UontmU or
WinniiKo at the hotdrr'f ojition.
Ormnninalion fl..../. /iVuul^miW, a. f„ I'rinripal.
Price 97.17 and Interest, Yieldine G.25'^; .
Harris, Forbes & Coni|)an\
INCORPORATED
C. I'. K. Building. 21 St. John blreiL
rOKONTO. MONTREAL.
Declining Prices for Commodities
Mean Lower Interest Rates
Therefore invest while the opporluiuly ijri'-seiiLs it-
self, in long-term, hig:h-yielding securities. You
will help yourself and assist Canadian business.
The following list of Canadian municipal bonds offer
you attractive investments with interest retu'Mi
ranging from 6'7'r to 7.10%.
To YieM
Prov. of Ontario . . . 6% Bonds, 1930—1935, &'/•
Prov. of Quebec .... 6'/r Bonds, 192.5— 1930, 6' ^
G.T.R. Branch Lines
(Guaranteed by Prov
of Saskatchewai
City of Wmnipeg
Lincoln County
Renfrew County
York Township
Town of Pembroke
City of Swift Current Sfr Bonds, 1942,7.10'.
We; will be pleased to furnish further particular-
regarding any of the above securities upon reqw.'^t
). 4',
, Bonds
19.39,6.40'
. . 6',
Bonds,
1940.6.2,5'
.. 6'
r Bonds,
1940,6.10'
.h\^'
Bonds,
1921—1940.6.20'
.. fi'
Bonds,
1923— 1928, 6.2.5'
.. 6',
Bonds,
1921— 1«30, 6.50'
c.
H.
BURGESS &
Covernmcnl and
Municipal Bonds
CO.
14
King
Street East - • T
oronio
J. F. STEWART T. K. McNAIR
Dominion of Canada
Guaranteeing Grand Trunh Pacific
3% Bonds
Molunnu Jai.uarv III VKi
Intrrr-I p.y.blr j.no.ry »n.J Julv
I'rincipoi sn i Inirrr.i p.vablr m <:»ni>A, and N.Y.
Price on Apphcntion
J. F. STEWART tk CO
Canadian Covtrnmrnl and Municipal Srrvrilif
106 BAY STREET. TORONTO. CANADA
T. r- "M ■- A.:. »..:, :i4 tr
38
THE MONETARY TIMES
Volume 65.
Government and Municipal Bond Market
Ontario Sells $5,000,000 More Bonds, Bringing Total Borrowings of That Province
Tills Year Up to Nearly Twenty-Five Millions — Winnipeg and Regina Issue Bring
Favorable Prices — Four More Municipalities Propose to Sell Their Debentures Locally
THIS week the bond market was featured by the sale of
$600,000 6 per cent. 20-year bonds of the city of Win-
nipeg to a Toronto syndicate, at a price which cost the city
about 6.4.5 per cent. The bonds are now being retailed to
the Canadian public on a 614 per cent, basis. The last loan
made by the city was in April of this year, when the city
paid (>Vs per cent, for its funds, the bonds at that time being
exactly the same kind as the present issue. In August a
year ago Winnipeg sold bVs per cent. 30-year bonds at
10-1.87, which was on a basis slightly less than 5.20 per cent.
The announcement that the province of Ontario had dis-
posed of .'f 5,000,000 bonds privately to the same syndicate
which purchased the previous issue of $3,000,000 in June, and
on the same terms, was somewhat surprising. The bonds
issued in June bear interest at 6 per cent., matui'e in 10
years and were sold at a price of 98.317, which is on a 6.23
basis. The $5,000,000 issue was not sold all at once, but was
disposed of in three blocks, and on terms exactly the same
in every respect as the one in June. This latest loan brings
the total borowings of the province for the present year up
to $24,800,000. The last $8,000,000 were floated for disposal
in Canada only, and as far as can be ascertained, have been
practically disposed of at par.
Comins' Offerings
The following is a list of debentures offered for sale, of
which mention has been made in this or previous issues: —
Tenders
Borrower. Amount. Rate %. Maturity. close.
London Tp., Ont. ... $ 24,000 6 15 & 20 inst. July 31
Picton, Ont 5,000 6 10-inst. July 31
Alberta School Dis-
tricts 132,135 7&8 Various Aug. 5
Moncton, N.B 300,000 6 10-years Aug. 12
Goose Lake, C.S.D.,
Man 50,000 6 20-inst. Aug. 14
Tow nship of London, Ont. — Tenders will be received un-
til July 31, 1920, for the purchase of $15,000 6 per cent. 20-
instalment debentures and $9,000 6 per cent. 15-instalment
debentures. The proceeds of .these two issues will be used
for school purposes. Tenders close at noon.
Moncton, N.B. — Tenders will be received by the Board
of School Trustees until noon, August 12, 1920, for the pur-
chase of $300,000 6 per cent. 10-year debentures, in denom-
inations of $500 each, dated June 1, 1920, and secured by
way of mortgage upon the whole of the city. The official
notice advertising the issue, points out that the debentures
rank prior to any real estate mortgage and that no loss in
municipal bonds has ever been made in the province of New
Brunswick. A. O'Bunes, secretary.
More Local Selling
Four more municipalities have been added to the list of
those who are selling their securities locally, as will be seen
below. All these expect to obtain the desired amounts from
their community. It is usually the case to offer the deben-
tures at par, when disposing of them direct to citizens, but
in the case of Penticton, B.C., the offering will be made at
90, which means, in that case, that the interest yield will
be G.85 per cent.
New Westminster, B.C. — At a recent meeting of the
civic finance committee, the city treasurer was instructed
to sell, locally if possible, $25,000 6 per cent, high school de-
bentures at par.
Penticton, B.C. — The municipality will sell to local citi-
zens $35,000 6 per cent, water debentures, in denominations
of $100 and $500. The debentures will be issued at 90, to,
yield 6.85 per cent.
Cobourg, Ont. — An effort is being made by the finance
committee of the town to dispose $50,000 of the town's de-
bentures locally. It is contended that there is a saving of
about $4,000 by selling the debentures this way, instead of
selling through the usual channels, taking into consideration
the brokerage commission, etc. So far the effort is meeting
with success.
Moose Jaw, Sask. — There has been a good number of
applications for the city's school debentures, which are toi
l)e issued in August. The city hopes to dispose of $64,000.
An ofi'er for the total issue has been received from the east^
but the purchaser wished to buy at a discount. It is under-
stood that the school board trustees are likely to reject the
offer, as they feel that the debentures can be sold at par.
Debenture Notes
Yorkton S.D., Sask. — An option which was taken re-
cently by Harris-Read and Co., Regina, on the $85,000 7
per cent. 20-instalment debentures, has not been exercised..
Prince Albert, Sask. — The city is considering the issu-
ance of $65,700 debentures for extensions to waterworks.
Saskatoon, Sask. — Three money by-laws amounting to
$62,234 have been passed by ratepayers.
Ottawa, Ont. — The boai-d of control has agreed to issue
the full amount of debentures asked by the public school
board for new buildings and extensions. The school board
at first asked for $757,000, but later increased this amount
to $984,000.
Regina, Sask. — Ratepayers have approved of the follow-
ing money by-laws-: $4,400 for sewer work; $7,000 for water-
works; $6,400 for water meters; $34,353 for sewage disposal
works; $59,000 for light and power plant.
Chatham, Ont. — The ratepayers will be called upon next
month to vote on a by-law authorizing the city council to
raise $35,000 for the erection of a civic garbage incinerator.
St. Vital, Man.— By-laws to raise $63,000 for the pur-
chase of a new site and erection of a six-roomed school, and
$22,000 to enlarge the present Woodlawn School, have been
defeated by the ratepayers.
Wingham, Ont. — Town council has passed three by-laws
which were voted on favorably by the ratepayers, providing
for placing the waterworks department under a commission;
$18,500 for building bridge and $6,500 for extension of
waterworks.
British Columbia. — Certificates of authority to issue de-
bentures have been issued to the following municipalities by
the municipal department of the province: Prince George,
$10,000 6 per cent. 10-years, for street improvements; Prince
George, $15,000 6 per cent. 15-years, for hospital extension;
Prince George, $60,000 6 per cent. 15-years, for school build-
ings; Point Grey, $33,230.50 5% per cent., payable May 1,.
1925, for schools.
London. Ont. — The city council at a special session on
July 26, gave first and second readings to by-laws to issue
$165,000 debentures for the public utilities commission, and
directed that the Ontario Railway and Municipal Board be
asked to ratify the loans. One issue will be of $85,000 for
waterworks extensions and the other of $80,000 for the
hydro-electric department's expansion program; both items
were included in the city of London bill that met defeat in
the legislature.
Victoria, B.C. — In an effort to make the bonds more
attractive to purchasers, the council authorized an increase
in interest from aVz per cent, to 6 per cent, on debentures
amounting to $420,000 in respect to the Johnson Stre»t
July 30, 1920
THE MONETARY TIMES
39
To Purchasers of
1934 Victory Bonds
Some people who bought 1934 Maturity
Victory Bonds have, for various reasons,
sold them. The bonds thus made avail-
able can be bought at a price of 9C and
interest. Although these bonds occupy
a stronger position than they did when
issued eight months ago they can, owing
to market conditions, be bought to yield
nearly 6%.
We recommend the purchase of Victory
Bonds at existing prices. Full particu-
lars gladly furnished upon request.
Wood, Gundy & Company
Montreal
Saskatoon
Canadian Pacific Railway Building
Toronto
New York
London, Eng.
Ctnnulicni
I*ii/f) (lud l\if)i'r P)osf)crit\
Well Foiimled
The IncreasinK value of Canadian pulp and
paper aeruriliei is not ihe reauit of temporary
and artificial trade conditions It ■• bdard upon
the natural law of supply and demand.
The pulpwood reserves ol the United Stales and
other countries are beiominit exhausted. It vi , "
lir years before the .Northern European (ore-
..re commercially workable. The only ava.lal; -
commercial supply of pulpwood is now in Canada
And. as the demand continues and the supply
grows less, the price will inevitably rise. This
means larger earnings and greater profits to the
holders of Canadian pulp and paper securities.
If you hold any pulp and paper securities, you
should certainly read our bulletin Invtitmenl ttemt.
It will keep you thoroughly posted upon the
development of the industry.
Royal Securities
^ CORPORATION
LIMITED
MONTRF.\L
TORONTO HAUIAX ST. JOHN, N.H.
WINNIPEG NEW YORK I.ONUON, Hot.
W. L. -McKinnon
l)Ljn H. I'ctti-
We recommend the purcha
se of
VICTORY
LOAN
at the fjllu«ins prices
-
.MATURITY PRICK
1922 99 and Interest )
1927 ... 994 and
19;i7 101 and
lH2:i 99 and
193;t .... 99iadd "
1924 98' and
\%M .... 96 and
ielding .5.94",,
.S.58",.
5.41%
5.82%
5.55%
601",,
5.91".,
Orders may be telephoned or telcRraph
d at our expense.
W. L. McKINNON
McKinnon Building
& CO.
TORONTO
Victory Bonds
1 here IS no bc-ttc-r investment
opportunity than that afford-
■ 1 by Victory bonds due
.\<n. Isf. 1934.
These bonds at 96 and ac-
crued interest yield 5.92"i,
A full and direct obligation
of the Dominion of Canada
on these terms is the best
possible investment, and one
that will show suljstnnlial
appreciation.
W. A. MACKENZIE & CO.
Covonnirnf au.t MiinUttol Bonji
42 KinjT St. Weit
TORONTO •:- ONTARIO
40
THE MONETARY TIMES
Volume 65.
Bridge, and $234,630 in connection with the local imin-ove-
nient by-law I'elating to the expropriation of Pandora Ave-
nue property between Fernwood Road and McGregor Street.
A similar increase was arranged for in respect to debentures
on Fairfield Road widening, totalling .?44,500.
Saskatchewan. — The following bonds have been auth-
orized by the Local Government Board, from June 18 to 26,
1920: Sasman K.M., .$8,500 for road improvements, 7% per
cent., 10-instalments; Baildon R.M., $10,000 for road improve-
ments, 8 per cent., 10-instalments; Village of Lockwood,
ii'1,000 for drilling well, 5-instalments, 8 per cent.; Town
of Morse, $1,000 for purchasing hose, 7 per cent., 5-years
annuity.
School Districts.— Beaver, $5,000 8 per cent. 20-years
annuity; HoUingtcn, $2,500, 10-years 7 per cent, annuity;
Edward Grey, $12,000, 8 per cent, instalment; Quill Lake,
$12,000 7 per cent. 10-years instalment; Lawrence, $2,.5O0 8
per cent. 15-years annuity; Dee Valley, $1,100 8 per cent.
10-years instalment; Zealandia, $1,500 8 per cent. 15-years
instalment; Briar Mound, $1,500 8 per cent. 15-years instal-
ment; Elrose, $5,500 8 per cent. 10-years annuity; Lawson,
.'54,000 8 per cent. 10-years annuity; Darmody, $7,000 7 per
cent. 20-yeais annuity; Alluvia, $1,500 8 per cent. 5-years
instalment; Chambers, $1,000 7 per cent. 10-years instalment;
Glenhurst, $1,200 8 per cent. 6-years instalment; St. Front,
.S2,700 8 per cent. 10-years annuity; Plunkett, $17,000 8 per
cent. 20-years annuity; Colonsay, $3,900 7 per cent. 10-years
innuity; Galloway, $4,000 7 per cent. 10-years annuity;
Stenen, $16,000 71/2 per cent. 20-years annuity; Bradley, $5,-
500 7 per cent. 20-years annuity.
Rural Telephones. — For 15-years annuity and bearing in-
terest at 8 per cent., River Ayr, $4,800; Goldeye, $1,400;
Richlea, $19,300; Bruno, $17,800; Mawer, $11,700; Pasqua,
$10,500, Buchanan, $56,200.
British Columbia. — Hon. John Hart, minister of finance,
has called for a further provincial loan of $3,000,000 worth
of 6 per cent, five-year bonds, principal and interest payable
in Victoria, Montreal, Toronto and New York, and the pro-
ceeds to be devoted to constraction work on the Pacific Great
Eastern Railway.
Bond Sales
Saskatchewan. — The following debentures have been re-
ported as sold, by the Local Government Board, from June
18 to 26, 1920: Schools, Melville View, $5,000, Nay & James,
Regina; Emmery, $7,000 and Truax, $4,500, Waterman-
Waterbury, Regina; Dressier, $2,000. J. G. Hass, Shelmouth,
Man. Rural Telephone: Shaunavon, $8,000, G. T. Brander,
Regina. Village of Esterhazy, $1,000, W. L. McKinnon &
Co., Regina.
Ontario. — The province has disposed of $5,000,000 6 per
cent. 10-year bonds, the Messrs. A. E. Ames & Company,
Wood, Gundy & Co., and the Dominion Securities Corp., at
98.317, which is on a 6.23 per cent, basis. The deal was the
same in every respect as the one in June, when the province
disposed of $3,000,000 bonds.
Regina, Sask. — Messrs. Wood, Gundy & Co. have pur-
chased $102,153 O'iiper cent, debentures at 97.35. The de-
bentures are in the following blocks: $4,400 and $7,000
maturing July 1. 1950; $6,400 and $50,000 maturing July 1,
1935. At this rate, the city pays about 6.75 per cent, for its
money, which is considered favorable, in view of the prices
received by other western municipalities. The city originally
decided to sell the bonds locally, but on receipt of the offer
from Wood, Gundy & Co., decided otherwise.
Winnipeg. Man. — An issue of $600,000 6 per cent. 20-
year debentures was disposed of this week to a syndicate
comprising the National City Co., Ltd., Hai-ris, Forbes &
Company, A. Jarv'is & Company and W. A. Mackenzie &
Company at 95.155. Another bid from A. E. .Ames & Co.,
Wood, Gundy & Company and the Dominion Securities Cor-
poration, art 95, was also submitted, but outside of these
there were no other tenders. The bonds are payable in Can-
ada only. The proceeds of the issue will be used for local
improvements and waterworks e.vten.sions now under con-
struction.
WINNIPEG BONDS TO BE SOLD LOCALLY
Hj ■'ro-Electric Issue Planned — Crop Reports from West are
Optimistic
(Special to The Monetary Times.)
Winnipeg, July 29th, 1920.
WESTERN crop reports continue favorable. Rains of last
week saved the situation in many localities. Alderm.an
George Fisher, of Winnipeg, a prominent member of the
Grain Exchange, has just returned from a sixteen-day trip
through Alberta and Saskatchewan, and predicts a more than
average crop in these pi-ovinces. Crop conditions in Manitoba
also are highly gratifying, he said. While some of the prairie
disti'icts suffered somewhat from drought, he believed the
recent rains had given at least partial relief, and in no part
of the west would crops be a total failui'e.
National Railway Reports
Reports received by the Canadian National Railway from
their local oflices indicate splendid crop prospects in most
parts of Alberta. Vermillion has "pi'ospects of record crop.''
Other northern points say conditions are "excellent," "good,"
"ideal," "favorable," "bumper crop expected." Calgai-y and
the southern district also send optimtstic reports. Many
points say the wheat is heading out rapidly, and there seems
to be plenty of moisture in most sections, with weather favor-
able for rapid growth and development. Some points in the
Hanna district repoi't damage from dry weather, which was
not entirely overcome by last week's rains. Government report
from Saskatchewan just received indicate fair to good pros-
pects in most districts.
Winnipeg Bond Sale
The Hydi'o-Electric department of the city of Winnipeg
are to institute an over-counter 6 per cent. $150,000 bond
issue, offering the citizens one hundred dollar bonds. If the
scheme is as successful as anticipated, bonds of other de-
nominations will be issued. The department is willing to sell
by this method bonds aggregating $500,000 or $1,000,000.
The funds received will be used to reduce capital overdrafts
at the bank.
RAILROAD EARNINGS
The following are the approximate gross earnings of
Canada's transcontinental railways for the first three weeks
in July: —
Canadian Pacific Railway
1920. 1919. Inc. or dec.
July 7 $3,773,000 $3,120,000 + $ 653,000
July 14 3,854,000 3,325,000 + 529,000
July 21 3,648,000 3,202,000 + 446,000
Canadian National Railways
July 7 $1,932,961 $1,713,404 -f $ 219,557
July 14 2,000,993 1,659,083 + 341,910
July 21 2,222,500 1,746,289 + 476,211
Grand Trunk Railway
July 7 $2,008,354 $1,458,946 + $ 549,408
July 14 2,138,945 1,688,850 + 450,095
July 21 2,387,118 1,799.020 + 588,098
"The progress of insurance has mainly consisted in re-
placing mere guesswork and the higgling of the market by
a scientifically worked-out system of probabilities," says the
London .•Assurance in its bi-centennial review. British com-
panies have played an important part in the development of
fire insurance as a systematic business.
July .-50, 1920
THE MONETARY 11 .M K S
$36,000
CITY OF SYDNEY,
N.S.
6% Bonds due July, 1950
Principal and sc-mi - at.nual interest payable
Sydney.
Halifax.
Denominations $1,000
Price 96 J and interest yielding about 6 '., ^
Eastern Securities Co., Li
mited
ST. JOHN. N.B. HALIFAX. N.S.
A. J. Pattison Jr. & Co.
Specialists Unlisted Securities
I08 BAY STREET . TORt^Mio
OLDFIELD, KIRBY & GARDNtK
INVESTMENT BROKERS
WINNIPEG
Branches-SASKATUON ANU CALOAKY.
Cansdian ManlKcrt
ImVKIITMRKT CORf'ORATION Ol" CasAOA. LtD.
Lonion Office 4 Orest Wcnc»ie»!cr Si HC
Government
Guaranteed
Bonds
TO
YIELD
QW.
2/0
MATURING 1921-1940.
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
UNION TRUST BUILDING - WINNIPEG
Northern Securities, Limited
GENERAL FINANCIAL BKoKKK
ConfiJcniiul Adfice on Brili.h Columbia Inirilminl.
Member of MnrtRic ind Trust Companies Association o( UritiAh i.' l,iml-o
529 Pender Street W. VANCOUVER. B C.
'< OKOHOfi HANSl LI). J. P.. MlnKcr
P.
M.
LIDDELL & COMPANY
/m
•cslment Bunkers. Fiical .Agents
InmiLintc Brol(eii
826-7-8 ROGERS BUILDING, VANCOUVER. B.C.
Houston's Standard Publications
THE STOCK EXCHANGE BUILDING
84 BAY STREET
TORONTO, CANADA
London England :
EFFINGHAM WILSON, 54 Thre.dneedle Sl
THE
Annual Financial Review
The Annual Financial Review is a circfuiiy revised summai^ of facts rcgTirding »ccuritieii li»lcd on ilic NKiiircl *iiJ
ToroBto Stock Exchanges, and of other proniineiil Canadian companies.
It includes the Current Annual St.itcments of Companies ; the highest and lowest prices of sIocKn and Knnd% ou Mh
Exchanges for each month for ten vears ; number of .shares sold e.ich month for the past fifteen monlh» ; r.ilc o( dnidend* p.i,d f,.r
past years, and other important items in ih..- histor>- of the different Companies, such as incrc.vses i.i capital Uc^k. p:.rlu-ular% of
franchises, when bonds arc redeemable, dividends pa> .iblc, together with a mass of other facts.
It comp-ises 7,-,0p,iges of solid inform-.tion, well printed in a cic.ir and concise manner, and is neatly bound in full cloth.
The work is invaluable, not only to financial ii.stiiuti.'ns, but al«i to the general investing p..Mic.
JUNE 1920
PRICE $8.00 PER ANNUM
42
THE MONETARY TIMES
Volume 65.
Corporation Securities Market
Light Trading on Canadian Exchanges- Most Stocks Close Weaker— British Empire Steel
Sold on New York Curb— Lamson and Hubbard Offering Stock— Atlantic Sugar to Pay
Arrears on Preferred— Additional Preferred of Spanish River Called on Montreal Exchange
UNXERTAINTY and weakness marked dealings on tho
New York market for the week ended July 28, 1920,
althoujrli the sentiment was a little more cheerful towards
the close, when call money eased a little. The credit situa^
tion continues to be the most important factor in the stock
market, and although there will be slight easings occasion-
ally, bankers hold out no hopes for easier money for an
inclefinite period. Emphasis which is being placed on the
distinction between essential and nonessential loans, ap-
pears to be convincing the trading element that stock
speculation on a broad scale is out of the question for the
time.
It is noteworthy to mention that British Empire Steel
Corporation stock is now quoted on the New York curb.
During the week ended July 26, 8 per cent, preferred was
quoted at 96 high and 94 low, with sales of 500; 7 per cent.,
preferred at 52 high and 50 low, with sales of 600; common,
at 2i high and 25 low, with 800 sales. As none of this
stock has yet been issued, it is apparent that these trans-
actions take place pendingi the issuance of these securi-
ties.
Light Trading on Local Exchanges
Concurrent with New York, stocks on the Canadian ex-
changes were for the most part weak and uncertain, but
towards the close on July 28, there was a moderate rally,
following a similar movement in Wall Street. The gains
made, however, were not sufficient to offset the losses, an;l
consequently a large number of issues closed lower. Trad-
ing was of light volume in both Montreal and Toronto, in
the former case Atlantic Sugar, National Breweries and the
paper stocks being the most prominent, while in the latter
case Brazilain and Atlantic Sugar wtre the only issues
dealt in to any extent. As in New York, the credit situa-
tion may be considered a vital factor in the stock market
here. Canadian bankers are continually emphasizing the
need of deflation, particularly in view of the approaching
crop-moving season, and according to the latest bank figures,
their efforts appear to be meeting with some success.
Capitalization Increases
Companies registered under Dominion charter have
been authorized to increase their capitalization as follows,
the new shares to be issued in each case to have a par value
of $100: —
Former Increased
capital stock to
Tobacco Products Corp. of Canada, Ltd. $400,000 $ 650,000
Geo. White and Sons Co., Ltd 170,000 1,000,000
Under provincial charters the changes are as follows,
the name of the province being indicated. The new shares
to be issued in all cases are to have a par value of $100: —
Former Increased
capital stock to
W.E.Woelfle Shoe Co., Ltd. (Ontario) $ 40,000 $ 200,000
Elgin Coal Co., Ltd. (Alberta) 50,000 100,000
Ford Lumber Co., Ltd. (Alberta) .. 75,000 225,000
The Niagara Falls Victoria Theatres, Ltd., now operat-
ing under an Ontario chart3r, has been issued supplemen-
tary letters patent to change the name of the company to
Allen's Niagara Falls Theati'e, Ltd., and to change and
increase its present capitalization. The existing 5,000 shares
of common stock of a par value of $50, will be redivided
into 10,000 shares of a par value of $25. The present
capital of $350 000 will be increased to $400,000, by the
creation of 250 shares of preference stock of a par value of
$100, and 2,000 shares of common stock of a par value $25.
Lamson and Hubbard Offering
An offering of 8 per cent., cumulative convertible pre-
ferred stock of Lamson and Hubbard Canadian Co., Ltd.,
is being made by the Standard Bond Corp., Ltd., of HaH-
fax, N.S., at par, with a bonus of 25 per cent., of common
stock. The preferred stock is callable at $110 per share
and accumulated dividends and is convertible at any time
into common stock share for share. An annual smking fund
is to be provided, being 2 per cent., of a maximum amount
of preferred stock issued. The Lamson and Hubbard com-
pany has an authorized capitalization of $1,500,000, of which
$1,400,000 is outstanding. The authorized common stock
is 33,750 shares (no par value), of which 18,000 are out-
standing.
The company was incorporated under the laws of the
Dominion of Canada on November 13, 1918. It operates 35
fur-trading posts, with auxiliary equipment, in the Atha-
basca, Slave, Mackenize and Peace River regions in the pro-
vinces of Alberta, Saskatchewan and British Columbia,
with a lai'ge warehouse and head operating office at Ed-
monton; also a transportation system consisting of steam-
boats, gasoline boats, tractors, etc., enabling it to control
the transport of its own goods from rail terminals to its
various post locations. The business consists chiefly in thi.»
purchase at vvholesal; of merchandise which is distributed
at the company's various trading posts and exchanged for
raw iUis. These in tuin ars sold in the leading fur markets.
Atlantic Sugar to Pay Arrears
At the annual meeting of the Atlantic Sugar Refineries,
Ltd., in Montreal, on July 26 last, announcement was maJs
by President McGibbon that the 28 per cent, accrued on the
preferred shares of Atlantic Sugar refineries would be paid
off on September 1 next, in cash. The an;iouncement was
accompanied by a further one that the common stock was
to be placed on a 10 per cent, basis prior to a reorganiza-
tion of the share capital of the enterprise, which now con-
sists of $2,500,000 preferred and $3,500,000 in common.
Ths details of the latter process, Mr. McGibbon stated,
would be announced at a latter date, presumably after the
holders of the preferred have exercised their right to con-
vert their holdings into common, a privilege which the higher
dividend rate on the latter would seem to render advantage-
ous, whether there would be a splitting up of the existing
shares or a formation of an altogether new company to
provide for such a readjustment, remains to be decided upon.
The action of the board was much in line with expecta-
tions in market circles, and the decision to pay off' the pre-
ferred arrears in cash, finds ample warrant in the excel-
lent position presented by the company in the last annual
report which is reviewed on another page of this issue.
Additional Spanish River Stock
An additional issue of $3,143,000 of preferred stock of
the Spanish River Pulp and Paper Mills was "called" on
the Montreal Stock Exchange on July 24, bringing the total
outstanding up to $8,842,100.
Of this amount 23,940 shares will be the new issue in
payment of the 42 per cent, ai-rears on the preferred stock,
2,100 will be the issue in payment of the vouchers issued
a year ago in connection with one year's dividend on the
original capital, and 5,390 shares will provide for the dis-
(Co)itinued on page 1,5)
I
July 80, Ul2(t
THE MONETARY TIMES
We Offer
SCHOOL BONDS
Province of Alberta
Maturing 10 and 15 Yea,
to yield
7 lo1\%
Wc Specially Re
nc„J Ihcsc DonJ, cs Soun.l Invclmcnh
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto Bldg.
EDMONTON
McLean Bloc
CALGARY
Manitoba Finance Corporation Ltd.
Inyr.HmenI B okrrs, Financial Agtnl., Elc.
HcaJ Dthvc
410-11 EleclricRly. Chamber. - Winniptg, M»b.
Hh.inc Oarry SSM
Stocks and Bondt bought and lold on commitiioo
Mortgage Loam on Improved Farm Land*
Inturance Effected in all id branches
Form Lands (or Sale in We.lern Canada
Fiscal Agent for Manitoba, Alberta Flour Mills, Limited
N. T. MacMillan Company
Limited
. FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bidg., WINNIPEG, Canada
Members of Winnipeg Real Elstate Exchange. Winnipeg Slock Exchange
X
Vancouver District Property
Luprrl fc.stalc Ai^rnlJ and Mans^rr.
Property Bouuht and Sold, \alued. Rented and
Reported on. Corrrapondenre invited.
WAGHORN GWYNN Co., Ltd.
MACAULAY & NICOLLS
lASURAACE OF ALL CLASSES
ESTATES MAXACED
746 Hastings Street - VANCOUVER, B.C.
C. H MACALLAY .1. P MCOI.LS Nol..r> I'ul-hr
DEALERS fN
Government, Municipal
and Corporation Bonds
Correspondence Solicited
A. H. Martens 8c Company
iMembers Toronto Stock Bxchangci
ROYAL BANK BUILDING, TORONTO
61 Broadway,
New York, .N.V.
Harris Trust Bldg.
Chicago, III.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OUR COUNSEL AND ADVICE
Willoughby Sumner Limited
l.it<it.li.hr,| I'HIO.
Members of the Winnipcf Giain ExcJiaac*
PihaU vWc io n'innipcf.. Toronlo. M„nl,rJ. ('/„.,,«„
The Bond House of British Columbia
WE ARE IN THE MAHkET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings also any British
Columbia Government and Municipal issues.
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C.
Victoria, B.C.
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
PHIVATS Wiam TO WIV.MIM'.O, CHICAOO. roRQNTO.
Mn.VrKI'.AL ANO .VBW VOKK
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
1»I«\TIIEAI.— Wt-ek KiKlril July asih.
(Figures supplied by Burnett & Co.)
SlockH
Abitibi P /tP....(new)
pfd.
Ames Holden pfd.
Asbestos Corp
pfd,
AtLintic Sug.lr
...pfd.
Bell Telephone . . :
Brazilian T.L.& Power
Brompton Pulp & P..
Canada Cement
•• ...pfd.
Canadian Cottons
•• .pfd.
Can. Converters
Canadian Car
■• ....pfd.
Can. Forgings
Carriage Factories
Canadian Gen. Elec...
Can. Locomotive . .pfd.
Can. Steamship
■• ■■ pfd.
" " Vot. Trust
Con. Minings Smel....
Detroit United
Detroit Rys
Dominion Canners ....
Dom. Coal pfd.
Dominion Bridge
Dominion Glass.'
.pfd,
Dom. Iron pfd.
Dom. Steel Corp
..pfd.
Dominion Textile
■• pfd.
Hillcrest
Howard Smith
' ....pfd.
Illinois Traction
...pfd.
Lake of the Woods. .
..pfd
Laurcntidc
Macdonald Co '
Mont. Cots. Ltd... pfd. i
Montreal Power j
.Mont. Tele
Montreal Tram
....Deb. I
National Breweries
Ogilvie Flour Mills....)
pfd.l
Ont. Steel Prod
Penmans
Price Bros. Co. Ltd....
Quebec Ry. L. H.&P..
Riordan PulpS P
pfd.
St. Lawrence Fl.. Mills.
Shawinigan \V. &P....
Sherwin-Williams
pfd.
Spanish River.
•• Div.Vou,
■• pfd.
Steel Co. of Canada...
• •■ . ■• .pfd
Toronto Ry. Co
TooUc Bros pfd
Tuckilt
Wabasso
WayagamacU P.&P..
Winnipeg Elec
Woods Mfg. Co. .■
Winosor Hotel
Sales Open High Low
38, IIS
11 !30
4500 67i
100*
1.5
•B7J
214
102*
llniiks
llniKl:
Bell Telephone Co 3000
Asbestos Corp. . . .
Canadian Car & Fo
785
JI7 j r24j
Cat
„t 40001 il2
, Rubber
Cedars Rapids .Mfg..,.:
City Mont. Dec. 6's. 1922
" MayOs. 1923
•• Sept.lVs. 1923 .
Dom. Can.W. Loan. 1925]
1931 1
1937
Victory Bonds, 1922..
1927......
1937. ...I.
1923... |.
1933.... .
MoJ
9li
78j
Hi : 74*
" 141 ; 138.1 I 1383
360 I 3tia I 360
134i 134i
M»NTItEAl-Con tinned.
Runils
Dom. Cottons 1 2000
Dom. Iron 1000;
Dom. Textile A 1.500|
B .SOOOl
Lake of Woods I0«0
Montreal Power i lOOOl
Montreal Street Ry....| .. .
Ogilvie Flour
Penmans Ltd !
Price Bros
Quebec Ry.L.H.&P... 16800
Riordon Pulp & Paper, i
Scotia
Sherwin-Williams..
Spanish River
Steel Co. of Canada
Wabasso Cotton....
Wayagamack P. & P
Windsor Hotel
Sales Open High Low Close
TIIKOKTO— Week Ended Jnl.v %8tli.
Sales Open High Low
Atlantic Sugar
• p
American Sales Bk.
Bell Teleph.n.
Brazilian Tra^
B.C. Fish
Burt. F. .N...
Canada Bread.
Canada Cement
Can. Gen. Elec.
Canada Steamship.
Can. Salt
Canadian Pacific R.
Canner;.... .
.pfd.
lietroit Uniteu
Dome
Locomotive. pfd.
Lake of the Woods. ...
Mackay Companies.. . .
■■ ..pfd.
Monarch
NS. Car
Maple Leaf ptd.
Nipissing
P«c. Burt pfd.
Prov. Paper
Penman's
pfd.
Russell
Russell pfd.l
Porto Rico
Riordon
Rogers
Quebec R.L.H. & P
Sawyer-.Massey
Spanish River
..pfd.
Salesbrook
pfd.
Smelters |
Steel Company ....
...pfd.
Steel Corp
Shreddid Wheat
Tucketts
Twin City com.
Western Can. Flour...
Winnipeg Elec
ICniiks
4 -
UK)
90 9.75
I0| 8U
50 lOO
10 140
10 86
Comn
Dominion.. ..
Hamilton
Imperial —
Merchants . .
Nova Scotia.
Royal
Montreal
Standard
I oronto
Un
■.mill nnd Trust
Can. Perm
National I rust
Can. Land
Col. Inv
Ham. Prov
Tor. Ge.,. Trust
Bell Telephone
Rio Jan. T.. L.&P....
Stiel Co. of Canada . .
30P0
1000
7000
201
201
2I«<
2I0A
IKS
188
153!
153j
16.5
ia5
200
200
140
140
«7!
67iS
200
200
87
87
90(
9<H
W
72
9Si
95i
260! ; 260J I 260j
TOROSiTO— Continued
War Loan.s
)m.Can.W.Loan.l92S
1931
1937
ctory Loan 1922
1923 ....
1927 ....
1933 ....
1937 ....
Sales Open High Low Close
11900
17100
56900
96i
WIXBIII'Eft— Week cndfd July !84tli.
1927..
1937..
1924..
1933 ; IllOO
War Loan 1937 ..
'■ 1925..
Can National Fir.
Open High Low Clo:
XEW IfOltK— Week euded July 84tli.
Stocks
Canadian Pacific :
Bonds
Dom. of Can. 5% 1921
5i% 1921
' 5% 1926
5*% 1S29
5% 1931
.New York Curb—
British Empire
British Empire 8% ....
7% pfd.
Doniin'on Rteel
60O0O
25000
26000
59000
4000
High'
124j ■
Low Close
1181 I23i
LO.M»0.\, En;;.— Week ended July lUlfa.
(iOT't. A IMun.
Alberta 4»% Reg
4% deb. 1938 ..
4% deb. 1922...
B.C. 3% 194! '
•■ 4i%Reg
Canada.... 37o 1938....
•■ ... 3i% 1909-34
.... 3J% 193050
.... 4% 1940-60.
Edmonton 5% 1923-53. .
5% 1923-33. .
Calgary 4*% debs
Nfld. 3*%bds
Quebec 4i?o
4 bds
Manitoba4l%Reg. 1953
4% Reg. 19.50.
.Montreal 4j% 1951-53..
4% 1948-50 . .
4 ,, deb
ReginaS%
Toronto 4S% 1948 ,
4% deb. 1944-481
3j% 1929
Vancouver 4% 1947-49
4% 1950.
Winnipeg 4% 1940. . .
4% 1943-63.
Unllmiys
Can..Nor.Ont.3j%deb
Can.Nor.P. 4%dcb.l9!>0
'■ 4i% deb. 1950
Can. Nor. 4%
Can. Pac
Can. Pac 4% deb.
G.T.P.3%1962
G.T. P. 4%19S5
G T. P 4% deb.
Gr Trunk 4% guar.'
Gr. Trunk5% 1st. pfd..
Gr.Trunk4% Ptrp
Gr. Trunk 4% 3rd rfd
ikh.
High i Low Close
Br
ick
Ont. ivQueb
Pac.Ot. East. 4.; ,„dcl>,
lud.. Fin., EK-.
Bank of .Montreal
T. & L. of Can. 4% deb.
6%
t 6v- bds..
Steel Fd. 6% bds.
Can. Steam Vot. Tr....
Dom. Steel
'■ pfd.
Ju'.v so, 1920
THE MONETARY TIMES
CORPORATION SEC LUITIES M AKKLT
(CoiUinittd jiom page ^JJ
ikution oi 2,890 shares to bondholders of the company anil
ii6 subsidiaries, in accordance with the terms of various
mortgages, which requires that the Spanish River Co. dis-
tribute ten per cent, of the amount available for distribution
to shareholders by way of dividends and bonuses. The re-
maining 2,50J shares will be transferred to the North
Amer.can S-!Curities, Ltd., to acsist shareholders to buy or
-ill fractional shares.
Other Capilaiizatinn Changes
Circulars are being mailetl to shareholders of the
Kipawa Co., Ltd., asking them to expand their holding of
Kipawa Co. stocic into the common stock of the kiordon Co.,
Lt., as soon as possible. The Kipawa Co., Ltd., was one or
the companiei which went to niak2 up Riordon Co., Ltd.
The stock will be exchanged in the proportion of 1 share
of Kipawa Co. for l'/2 shares of Riordon Co. stock. As
neither of these issues are in a dividend basis at the pre-
sent time no transfer or record dates have been set.
It is understood that preparations are under way to
bring out an issue of $2.5,OJO.OoO eight per cint. preferred
and participating stock of the British Empire Steel Cor-
poration, simultaneously in London and Montreal, with ix
possibility of a New York connection. After the meeting
of the Canada Steamships Lines' shareholders on July 24,
to ratify the deal, only a few of the smaller lines will re-
main to be swung into line, so that it is probable that the
entire merger deal will be iully consummated early in
August. In the meantime, preliminary steps are being taken
for the flotations. If the issue meets with success an issue
of common stock is expected to be brought out later.
Riordon Co., Ltd., directors have declared an initial
dividend of 1% per cent, on the $10,000,000 7 per cent,
cumulative convertible preferred stock and an initial pay-
ment of 2 per cent, on the $10,000,000 8 per cent, first pre-
ferred stocks of the company. The. payments cover the quar-
ter ending September 30 next, payable October 1 to share-
holders of record September 24. In all $.J7.j,000 will thus
be distributed, $187,500 of which will be p^iid into the
treasury of the old Riordan Pulp and Paper Co., which holds
$1,500,000 of the 8 per cent, securities and $9,000,000 of the
7 per cent, stock, in addition to $12,000,000 of common. The
regular quarterly dividend of 1 % per cent, was also declared
on the $1,500,000 7 per cent, preferred stock of the Riordon
Pulp and Paper Co., Ltd., for the quarter ending Septem-
ber 30, payable September 30 to shareholders of record Sep-
tember 24.
Two more paper stocks have been added to the unlisted
department of the Toronto Stock Exchange. These are the
Whalen Pulp and Paper Mills, Ltd., and the Mattagami
Pulp and Paper Co., Ltd. The Whalcm operates at Mill
Creek, 32 miles from Vancouver, B.C. It has paid-up capital
of $8,000,000 common, of $100 par, and two blocks of pre-
ferred, one of $2,000,000 at $100 par, and one of $102,500
at $1 par. There are also $3,500,000 6 per cent, serial bonds
outstanding, bearing 6 per cent.
The Mattagami operates at Smooth Rock Falls, a short
distance west of Cochrane, in northern Ontario. 't ''»»
paid-up capital of $2,000,000 common, $100 par, and $1,600.-
000 preferred, $100 par. There are also outstanding $1,-
829,600 6 per cent, bonds.
Kaministiqiiia Bonds to be Offered
An offering of $500,000 7 per c:nt., first mortgage sink-
ing fund gold bonds of the Kaministiqaa Pulp and I r.por
Co., Ltd., will shortly be made by Graham, Sanson and ( o ,
Toronto. Common stock will likely be issuerl abo, to the
amount og $650,000. Bon.h of the Kamini.-tKiu;. company
are secured by a first mortgage on all pn-tnl and lutur.'
fixed assets and a floating charge on all other 'iH-et> of the
company. It is estimated that the comprmy should ?am
during Itw first yenr of its operation an iimounl equal to 40
per cent., of its total indebtedness. This estimate is bused
on an output of 7,000 tons of ground-wood pulp ut ii con-
servative price of $6'> per ton.
The Kaministiqua company was incorporated on June
4, 1920, under the laws of the province of Ontario. The
pulp mill is located at Port .\rthur, and it is the intention
of the company to extend this mill ultimately into u com-
plete pulp and paper mill, having a full capucily of 250
tons of newsprint daily. .\t present the company will
manufacture ground-wood pulp and sell its products to the
various pulp and paper mills for newsprint and manufacture.
IMON OK CANADIAN MINK II' All I IKS'
CONVENTION
(Continued from page 5)
now returning to a proper perspective and a realixution of
the fact that anything which helps to a larger breadth of
view in municipal affairs is, in the long run, the truest
economy."
Interest on Housing Loans
On July 29 the convention passed a resolution pre.-iented
by Mayor Bouchard, of St. Hyacinthe, relative to housing
for working men. The motion called upon the federal gov-
ernment to reduce by 1 per cent, the interest on the $25,000.-
000 voted for housing, and upon the provincial governments
to make a like reduction in the interest charged to munici-
palities.
It was resolved to recommend to the federal government
that grain shipped from the Canadian west to European
markets be routed by Canadian instead of .American ports.
At the final session on Thursday. Arthur Roberts, K.C..
of Bridgewater, N.S., was elected president, and C. W. H.
Rondeau. Westmount. first vice-president; J. M. Ramsdcn.
Toronto, second vice-president and A. .A. Pearson, Point
Grey. B.C.. third vice-president. The selection of the place
for next year's convention was left to the executive to decide.
TENDERS FOR DEBENTURES
GOOSE LAKE CONSOI.IDATEIl S.I). No. 1283.
KOHI.IN, MAN.
Sealed tenders, addressed to the undersigned, will be
received up to Saturday, August Ulh. 1920. for the following
Debentures: —
First Issue.— Debentures for Twenly-l^vc Thousand Dol-
lars ($25,000,001, daf.Ml January 1st. 1920, bearing tntcrc»t
at 6 per cent, per anni.m. and rcpnyable in twenty (20) equal
annual instalments of $2,179.61 e.-.rh. K.rM |.»yment Jan-
uary 1st, 1921. Payment to be made at Union Unn\i. of Can-
ada. Roblin. Man.
Second Issue. — Pebcnturcs for Tw.ntv live Thou>nnd
Dollars ($25,000.00). dated June 1st, I'.'jn, l.n.iint inter. -I
at 6 per cent, per annum, and rcpayabl.- in iwct.i.v i^m ejiunl
annual insUlment. ..f $2,179.61 each. K.rst p:.vn..-..t, June
Ist, 1921. Payment to be made nt I men Bank of t tui«<l«,
Pi'strict'inrlu<l.» Village of RobUn and 109 scclionii .(
land. Assessment f.-r 1920. $P30.JC5.00.
The highest or any tender not n. cossarilv arcii.!. t
I. S. MITCHELL,
Sccretury-Trensuror,
.g, Roblin. Man.
THE MONETARY TIMES
Volume 65.
Corporation Finance
Hudson's Bay Company Reports Favorable Progress — Outlook for Saguenay Pulp and
Paper Company Promising— Last Year's Operations Satisfactory— Rapid Strides Made by
Atlantic Sugar Company in 11)19 Canada Steamship Shareholders Agree to Enter Merger
Granby Consolidated Mining, Smelting and I'ower Co. —
DuriiiK June. 1920, the company produced 2,079,000 pounds
of copper, as compared with 2,131,219 pounds in May and
2,180,000 pounds in February, which month was a record for
1920. In June a year ago the (itrure was 2,637,184 pounds.
Canadian Pacific Railway Telegraph Co. — Wage increases
of between 1 'i and 20 per cent, have been granted by the
Board of Conciliation, which recently heard the demand of
the telegraphers employed by the company. The present rates
of pay for operators in Ontario are from $100 a month to
$13.'j.25. The schedule which the board dealt with included
operators, printers, clerical staff and others employed in the
offices of the company.
Collingwood Shipbuilding Co. — A meeting of tlie share-
holders of the company was held in Collingwood, Ont., on
July 27th, when 95 per cent, of the stock was represented,
and it was unanimously agreed to sell all its assets to the
Collingwood Shipbuilding Corporation, Limited, which Mr.
H. B. Smith, president, stated was a part of the British Em-
pire Steel Coi-poi'ation. Conditions of tlie agreement appeared
in this column last week.
Southern Canada Power Co., Ltd. — The June earnings
statement of the company is as follows: —
Increase over
June, 1920. last year.
Gross $ 51,681 $ 5",719
Operating expenses and purchased
power 28,917 3,365
Net eai-nings $ 25,764 $ 2,354
Nine months ending June 30th, 1920: —
Gross $502,781 $62,431
Operating expenses and purchased
power 253,773 20,420
Net earnings 3249,008 $42,01 1
Dominion Telegraph Co. of Canada. — Very little change
is recorded in the annual report of the company for the year
ended June 30th, 1920. The balance at the credit of the profit
and loss account at the end of the year was $290,393, as com-
pared with $290,978 a year ago. Cash on hand and in the
bank totalled $18,901, against $22,914 in the previous period.
Dividends pai'd on July 15th amounted to $10,000, while in
1919 the figure was $14,000. Directors report the payment
for the past forty-one years of the guaranteed interest at 6
per cent, per annum on the capital stock of the company by
their lessee, the Western Union Telegraph Co., which interest
has been duly distributed quai-terly to the shareholders of the
Dominion company. The lease is for ninety-nine years, from
July 1st, 1879, to June 30th, 1978, inclusive.
Officers and directors of the company were re-elected at
the annual meeting, and D. B. Hanna, president of the Cana-
dian National Railways, was added to the board, taking the
place of the late Dr. Charles O'Reilly.
Winnipeg Electric Railway. — Shareholders of the com-
pany, represented by I. Pitblado, K.C., made application io
the Public Utilities Commission last week for an eight-cent
car fare so as to give them a suitable return for money in-
vested in the company. For the past five years shai'eholders
have been receiving no dividends, according to Mr. Pitblado.
A fair return of 8 per cent, is desired by these shareholders,
with the result tliat tlie seven-cent fare being asked by the
company would be inadequate for pro\iding the necessary
returns. .\ straight eight-cent fare, with special considera-
tions for "strip" tickets, would give the necessary returns
to the shareholders, Mr. Pitblado said. The hearing was ad-
journed.
E. Anderson, K.C., on behalf of the company, closed his
arguments before Commissioner P. A. McDonald, stating that,
although the seven-cent fare would only give the shareholders
a return of 5.4 per cent., the company was not desirous of
asking for a higher rate, in consideration of the hardships
that might be worked upon the travelling public.
Canada Steamship Lines, Ltd. — After a very brief meet-
ing, shareholders of the company, on July 25th last, decided
to accept the agreement of the directors with the British
Empire Steel Corporation. Represented at the meeting, either
in person or by pi'oxy, were 100,580 shares of the common
stock outstanding, amounting to 120,000 shares, and 57,428
of preferred, of a total issue of 125,000, the latter securities
being largely held abroad, the voting power of which not
being exercised at the meeting.
The terms of the agreement with tlie new consolidation,
as already published in detail, provided for tlie nominal
leasing of the Canada Steamship properties for a term of
twenty-five years, but actually entail the absorption of the
company by the British Empire Steel Corporation. Holders
of Steamship common are to receive 100 per cent, in 7 per
cent, cumulative second preference stock of the new consoh-
dation and 45 per cent, in common, while par and 10 per cent,
of the respective securities go to the owners of Steamship
preferred on exchange. The latter is optional, the British
Empire Steel Coi'poration guaranteeing the 7 per cent, divi-
dends in both instances.
Mr. J. W. Norcross, president of the company, recently
speaking of the present business of the Steamship lines,
stated that the present season is proving a record one, so far
as traffic on the Great Lakes is concerned. "There is really
more passenger business offered than we can take care of,"
he said, "while freight earnings are well in excess of those
of a year ago. Operating expenses, owing to the increased
price of fuel and higher labor costs, are in excess of those
of last year, but I feel confident that when the net of the
season's operations is available it will compare well with that
of 1919, when our results in this respect reached their high-
water mark."
.Atlantic Sugar Refineries, Ltd. — Rapid strides were made
by the company in the year ended April 30th, 1920, according
to the annual report just issued. The volume of sales of
refined sugar during the year amounted to over $25,000,000,
an increase over the previous year of about 133 per cent. Net
earnings on the 35,000 shares of common stock, after allowing
for the year's dividends on preferred, indicate 14.14 per cent.,
against 8.70 per cent, in 1919 and 0.91 per cent, in 1918.
With the larger business handled there has been a sub-
stantial increase in the profits, the profit and loss account
showing refining profit for the year of $1,594,888, as against
gross profits for the preivous year of $986,343. This year
profits from other sources are reported amounting to Sl,199.-
012. This evidently represents transactions in raw sugar, of
which the company has very large supplies. There is also
an item this year of profit on investments of $9,009, making
a total of $2:802,910.
This amount was distributed as follows: Bond interest
for year, $81,450; bank interest and exchange on trade paper,
$131,325; depreciation, $721,031; contingent reserve, $1,199,-
012, making a total of $2,132,819, and leaving net profit for
the year of $670,090. From this amount dividends of lO^^
per cent, were paid on the preferred shares, amounting to
$262,500, leaving an amount to be carried forward of $407,-
590. This, added to the balance carried forward from the
previous year, brought the total of profit and loss up to
$1,106,362.
The general statement of assets and liabilities shows
that total assets of the company stand at $13,186,347, as
J
July .iO, li)2tj
THE MONETARY TIMES
A World-Famed Trip Through Canada's Finest River Scenery
A GLORIOUS boat trip— through a wealth ot magnihcenl sc.-nery that even the wondci-
ful beauties of the old world cannot excel, is the trip called
''Niagara to the Sea/'
Vou may satisfy your every acjire lor beaulv. 51. Liiwrrncc Kopidi it will exhilarate and charm
thrills, and interesting sights and supreme comfort. you.
The trip down the Upper St. Lawrence will never Are you interested in historic Romance f Thru
be fo gotten by anyone who has onc= seen those quain; old Quebec will furnish you boundless enioy-
green clad Thousand Islands that Nature has strewn meni
like a necklet of jewels over the broad channel of this Finally, the boat steams slowiy up through the
mighty river. impressive canyon of the Saguenay, where those
Would you thrill to k new experience? Come mighty Cape*— Trinity and Eternity — tower higher
shoot" the tossing. tumbling waters of ihq than the Rock of Gibraltar.
Send 2c. postAse for illuBtmtvd lx>okl«l. map «nd suide to
JOHN F. PIERCE. Pnucnier Traffic Manauer. Canada Sloamallip Linr.. 208 R. & O. Buildinii. Montreal. Canada
CANADA STEAMSHIP LINES, LIMITED
m
HArtil;rOM // " aooitiTt
^'^IjS.^Sir^ *" "'^-v
~MI^^Ml
-<'-..
X.
X
%^
THE MONETARY TIMES
Volume 65.
compared with $10,561,478 at the end of the 'previous year.
Of this amount, current assets reach a total of $4,988,723,
against total current liabilities, in which is included pi-ovision
for profit tax for 1920 of $1,188,881. This compares with cur-
rent assets in the prex-ious year of $3,400,000 and current
liabilities of $2,148,417. Current assets contain cash, $1,438,-
041, compared with $30,908 at the end of the previous year;
accounts receivable, $922,569, as against $451,305; bills re-
ceivable, $1,147,519, compared with $249,864, and inventories,
$1,453,465, as against $2,498,098.
Saguenay I'ulp and Paper Co. — The first annual state-
ment of the company is now in the hands of shareholders.
Previously, the statement was issued by the North American
Pulp and Paper Co., but in June, 1919, that company and its
subsidiaries, together with the Saguenay Power and Light
Co., were organized under the above-mentioned name, and in
view of this, a proper comparison of this year's financial
results with last year is not possible. The progress made by
the new oi'ganization last year was good, however, and,
according to F. L. Beique, president, the prospects for this
year are very promising. He estimates that net earnings for
1921 will be about $3,000,000, based on the business to date.
as compared with $1,415,000 in 1919. The last statement,
which is for the year ending December 31st last, shows gross
revenue from sales of $5,416,544, less sales expenses of $55,-
257, leaving the net amount from sales $4,861,287. The total
operating expenses amounted to $3,538,022, leaving the net
amount from production $1,323,264. Other receipts total
$311,857, making total revenue $1,635,122. General expenses
amounted to $214,945, which left the net revenue $1,415,176.
From this amount is deducted: Interest on bonds required
$690,134, and interest on bank loans, etc., $260,405, or a total
of $950,540, leaving an amount of $464,636. From this amount
was deducted resci've for limits, $263,000; a special appro-
priation, due to the high cost of coal, of $149,067, and an item
of further allowance of $18,916, making the total of new
appropriations $430,985, leaving the net balance to profit and
loss of $33,651.
The general statement of assets and liabilities shows
total assets of $25,197,483. Of this amount, current assets
amounted to $4,204,085, and current liabilities, $3,954,108.
The principal items in current assets are bills receivable,
$659,520; stocks of pulp in hand, $1,119,440; wood pulp, $904,-
694. In cun-ent liabilities the principal amounts are: Loans
from banks on supplies, $1,793,365; bills payable, $764,560;
accounts payable, $627,244; interest on bonds, $355,200; sink-
ing fund, $227,531. Of the total assets, the limits, plants and
railways of the company are placed at a value of $18,521,555.
Hudson's Bay Co. — A copy of the company's financial
statement for the year ended May 31st, 1920, has just come
to hand. According to the figures submitted, the company's
business in "saleshops and other trading" continues to pi'o-
duce favorable results. Farm land sales for the year ended
March 31st last comprise 276,629 acres for i'970,878, an aver-
age of £3 10s. per acre, compared with 285,561 acres for
£1,023,072, an average of .£3 12s. for the preceding year.
Thei-e was a profit of £203,857 on the fur trade and
£198,669 on general trading after making provision for excess
profits, duty and other contingencies. Dividends on the 5 per
cent, cumulative preferred shares are paid out of the profits
of the trade. .■Xn interim dividend of 10 per cent, was paid
on the ordinary shares in January last, and a further distri-
bution of 5 per cent., together with a bonus of 10 per cent.,
less income tax, is now recommended, making a total of 25
per cent, for the year from the profits of trade, being the
same rate as in the previous year. The committee has also
i-econimended a distribution of 15 per cent., on which income
tax is not payable, in respect of the receipts of the land
department. This compares with 20 per cent, paid for the
year ended May 31st, 1919, a reduction which is due to the
increased disbursement for taxes. The total distribution on
the ordinajy capital for the year is, therefore, 40 per cent.,
as compared with 45 per cent, last year.
On March 31st, 1919, the unsold lands in the possession
of the company amounted to 3,253,198 acres. During the year
276.629 acres were sold, 23,753 accrued to the company under
the "deed of surrender," and 5,886 i-everted to the company.
RECENT FIRES
Six Large Fires Last Week Involve Loss of $375,000— Many
Other Conflagrations Reported — Number of Buildings
Damaged by Lightning
Barriefield, Ont.— July 26— St. Mark's Anglican church
was damaged. The loss is estimated at several hundred
dollars.
Burnaby Lake, B.C. — July 16 — Chicken-houses and
chickens of H. J. Herolz, Douglas Road, were destroyed.
Cause, upsetting of oil lamp. Estimated loss, $2,000.
Calgary, -\lta. — July 21 — Residence of E. B. Burns.
Tuxedo Park, was destroyed by lightning. Estimated loss on
building, $2,000; on contents, $1,000. No insurance was
carried.
Cobalt, Ont.^ — July 24 — Sawmill of the Moose Lake Lum-
ber Co., in Firstbrook township, west of Cobalt, with 5.000
feet of this season's lumber, was destroyed. The loss is esti-
mated at $10,000, partly covered by insurance.
East St. John. N.B.— July 20— Plant of the Provincial
Chemical Fertilizer Co. was destroyed. Estimated loss, $100,-
000, pai-tly covered by insurance.
Estlin, Sask. — July 23 — Elevator of the Security Ele-
vator Co. was struck by lightning and completely destroyed.
Gait, Ont. — July 26 — Two barns on the McAllister fami,
on the Preston Road, just north of the golf links, were de-
stroyed. Cause stated to be incendiarism. Estimated loss,
$2,000, partly covered by insurance.
Halifax. N..S. — July 25 — Wooden garage and Chevrolet
car of W. E. Sandford, 16 Beach Street, was destroyed. Esti-
mated loss, $2,000, and no insurance.
Ladner, B.C.— July 25— Store of Currie-Williams Can-
nery, manager's residence and forty houses, occupied by
employees, were destroyed. Estimated loss, $100,000.
Lorneville, Ont.— July 26— Barn of A. McMillan was
struck by lightning and destroyed, with a number of hens
and farm implements. Insurance is carried to the extent of
$1,500.
Medicine Hat, Alta. — July 23 — Building, occupied by the
Saskatdiewan Bridge and Iron Co., was entirely destroyed.
Estimated loss, $75,000. The building is owned by the Do-
minion Glass Co. Contents were insured for $50,000 and
building for $7,000.
New Glasgow, N.S.— July 20 — Robertson Brothers' woor-
woi-king factory on McLean Street was damaged. The loss
will be heavy.
Niagara Falls, Ont.— The Incline building at the Whirl-
pool Rapids was destroyed when struck by lightning. Esti-
mated loss on building," $10,000, and on contents, $20,000.
North Sydney, N.S. — July 25 — Warehouse, six cars of
flour and a great quantity of miscellaneous merchandise were
damaged. Estimated loss, $60,000. covered by insurance.
Pembroke, Ont— July 2.5— Residence of W. H. Williams,
Main Street, was destroyed. '
Simcoe, Ont.— July 25— House of A. Ryerse, Kent Street,
was damaged. Cause, defective heater.
St. Thomas, Ont.— July 29— Two-story brick buildinir.
containing the pattern storage department, the pattern-room
and storeroom of the Canada Iron Foundries, Ltd., was de-
stroyed in addition to material sheds and shipping-room at
the Dominion Brake Shoe Co., Ltd. The total loss has beer.
estimated at $100,000. Patterns worth thousands of dollars
were destroyed.
Toronto, Ont.— July 26— Building at 112 Wellingtor
Street West was damaged. The estimated damage, which '-
$850, is suffered by the several occupants, as most of tin
damage was on the contents.
July 27 — Home of J. G. Arnold, a one-story frame cot-
tage at Stop 6"2, Lake Shore Road, was destroyed. Insurance
is carried to the amount of $700.
West Chinguacou.'iy, Ont.— July 26— Barn of M. Laidlaw
and contents were destroyed. Estimated loss, $4,000, of which
$1,200 was on contents. Insurance carried.. $1,800.
Winnipeg, Man. — July 2.5 — Fruit and confectionery store
of J. Hangle at 591 Portage Avenue, was destroyed. Esti-
mated loss, $1,000.
PrPMsHFD Kv=<
The Moneiar J . iiijv.>
|v Printing Company
I'f Canada, Lirr.ii:;d
I
|:The Canadian Eni;ineer
Monttav^ limes
Indc Kc\ie» and Insurance (.Chronicle
of (Tanaiia
Established )8i>7
Old as Confederation
JA^. J. S.ALMONU
Prnldent and GeotnU lbuiaj:*r^
A. E. JENNINGS
AsaUt4nt C«Der^ Muiaeer
lOSEPH BLACK
8*cr*viirjr
U A. McKAi/ :
Editor
Niagara District Industrial Association Congress
Delegates Are Shown Power, Transportation and Other Facilities nl Towns and ( ilii>
in the Niagara Peninsula — Progress of H\dro-Electric Power Developmenl — New Welland
Ship Canal Is Immense Undertaking — District Organization Will Likely Be Permanent
T^ ACTORY sites, power and transportation facilities con-
■l- tained in the Niagara peninsula were shown to dele-
gates to the first conference of the Niagara District Indus-
trial Association, held August 2nd to 4th. The more impor-
tant points visited were the cities of Niagara Falls, Welland
and St. Catharines, and the towns of Bridgeburg, Fort
Eine, Chippawa, Port Colborne, Humberstone, Meiritton and
Thorold. The district is one of the most populous in Canada,
and, in addition to the attractions to manufacturing industry',
has also excellent soil for agricultural and fruit-growing
purposes.
Assembling at Niagara Falls on Monday, the party,
which included not only delegates from the district, but also
visitors from other points in Canada and from the United
States, were entertained by the Niagara Falls Park Com-
mission and by the Niagara Falls Chamber of Commerce.
In the afternoon they were shown over the power plant of
the Ontario Power Co., and over the Queenston-Chippawa
Power Development, now under way, by the Ontario Hydro-
Electric Power Commission. In the evening a "power" ban-
quet was held, at which further information about the work
and its importance was given. The principal speakers were
W. M. German, M.P., president of the Niagara District
Industrial Association; Senator Gideon Robertson, Canadian
Minister of Labor; Mr. Acres, of the Hydro-Electric Power
Commission, and F. W. Field, British Trade Commissioner
in Ontario.
The Niagara Power Development will, when completed,
be the largest Hydro-electric power plant in the world. There
will be an installed capacity of 500,000 horse-power, with
a head of 305 feet. The capacity of each unit is 52.500 horse-
power. The canal is to be nine miles in length, the river
section being four miles in length. The deepest cut is 145
feet, of which 75 feet is in rock. The width of the finished
water channel will be 48 feet, and the depth of the water
section under operation will be .35 feel. Thiileen million
cubic yards of earth are being excavated in connection with
the work, and four million cubic yards of rock. A total of
500,000 cubic yards of concrete will be used. Sevi»nteen
bridges will be required to carry railroad and highway traffic
over the canal.
The Welland Canal
On Tuesday the conference went to Bridgeburg, Crystal
Beach, Port Colborne, Humberstone and WoU.nnd. Wat*T
transportation was the subject of main intere!<t on this day.
The problem was discussed by railroad, marine and highway
men from various standpoints. The m-oils .ind advantages
of the Niagara district in particular and the province in
general were dealt with by the speakers, including Senator
Gideon Robertson. Minister of Labor; .A. P. Zimmerman, In-
dustrial Commissioner of the C.P.R.; A. R. BroniU-y, gen-
eral freight agent of the Michigan Central: Charles J. Sales
and J. J. Morsman of the Wabash Railway; Mr. Fitzsim-
mons of the G.T.R., and Major Alex. C. Lewis of the Cana-
dian Deep Waterways and Power Association. The slogan
"Bring the ocean to your doors" was emphasized by Mr.
Lewis as the inevitable policy for both Canadian and
American interests, regardless of local considerations.
Senator Robertson announced in his address at a ban-
quet in the evening, that highway development is to be pro-
ceeded with immediately in the Niagara peninsula if the
federal share of $2)0.000 is to be devote<l to the buiUling
of the Queenston-Haniilton road. This will be pushed by
the Ontario Department of Highways in the immediate
future. He also declared that the building of the Welland-
Port Colborne road would be completed with a minimum of
delay on the portions still unfinished. He declared himself
in favor of the building of a higher bridge over the Niagara
River to relieve the present traffic congestion at the frontier,
and would try to hasten that project. After dealing with
the developrnent of rail transportation under private owner-
ship. Senator Robertson stated that service woulil be the
basis of competition in the oiH-ration of the nationally-
owned lines, with C.P.R. stamiards in front of them. He
declared the proposed freight rate increases were justified
in view of the much higher operating and maint*'nanco costs,
citing the tripling in cost of box cars, locomotives and pas-
senger cars, and the douhlinvr of wages. With regard to
canalization of the St. Lawrence, he said federal aid v,-a»
assured, and that for more than thr«v years the Dominion
government had been making surveys preparatory to making
a start in that work of power development and deepening of
the waterways to the sea.
I.,abor Dcvolopmenta
"There has been a gradual change in industrial condi-
tions during the year," said Senator Robertson. "Twelve
months ago unrest was prevalent everywhere. More Utterly
there has been a growing tendency to refer industrial dis-
putes to conciliation, with good results in many rniiei". I
have ample evidence to prove that the .Soviet govrrnmrnt m
Mo.scow has been financing attempts to spread its gospel nf
Bolshevism in Canada. It ha.s been amply demonstrated that
Mr. Martens, the agent of the Bolshovixts. ban been financed
to the extent of two million rfnible". for the pur|wv "f in-
fluencing public opinion on this continent, ami we nrr pMMtivj-
that Canada has not been neglected in tbr rfToil!. t.i Nprrad
the propacanda liro.-idcnst on this side of tlie .Atlantic." He
deprecated the re.-ults that roiild !.<• obtaim-il, l.ut a«ktd em-
ployers to -how a spirit of tolcnitii>n iiml to •n-k to gain ro
operation foundoil on ronlidencc in thru n-Intionn with em-
ployees.
Major Alex. C. Lewi* in hi* addnsK on deep watiTways
•aid that the development of a passage to tbi* ten wnn ah
solutely imperative to both Canada and the fnitcd .Stat..
"The long haul and high freight rat<^ arc a wall again i
successful Cinadian competition in Eur"---" ".■•■i.!'
fContinitrd on pap f 18)
THE MONETARY TIMES
Volume 65.
Fire Losses and Fire Insurance Claims
Some Legal Aspects of Fire Losses— Valuation of Property and
Securing of Evidence — Statutory Conditions and what they
Require- Notice of Loss, Statement of Claim and Adjustment
By J. ARMITAGE EWING, K.C.
EwinK and McFadden. Montreal
THE payment of fire losses is a very important feature
cf the business of fire insurance. In this consists the
fulfilment of the company's obligations. A clear under-
standing, therefore, of the principles underlying the making
of claims by the insured and the meeting of them by the
companies is desirable.
Fire insurance is h. contract of indemnity. In that re-
spect it differs from life insurance, which is not always a
contract to indemnify. A man may insure his own life in
favour of himself, his wife, or his children for an unlimited
amount, and the payment of the policy money when death
takes place is not based upon any idea of indemnity. Where
the loss is payable to a creditor under a life insurance policy
the contract may be one of indemnity. In the case of fire
insurance there is no question. It is purely a contract of
indemnity. The loss must be direct and immediate and not
be remote or speculative. The insured can only recover the
extent of his own interest and his loss.
Valuation of Property
The sum insured does not constitute any proof of the
value of the thing insured. This value must be established
in the manner required by the conditions of the policy, and
the general rules of proof unless there is a special valuation
in the policy itself. In the province of Quebec, valued poli-
cies are recognized by fhe law. In such a policy the value
of the property insured is not merely estimated, but the
valuation of the loss itself is made and is equivalent to an
assessment of damages in the event of the loss occurring.
This valuation, provided there be no fraud or mistake, is
conclusive on both the company and the insured.
Fire insurance being a contract of indemnity, the claim-
ant is not entitled to more than his actual loss, and anything
he may recover in excess of that he holds in trust for the
company which has paid him or for those on whose behalf
he has entered into the contract; so where money is received
by the insured after payment by the company, it inures to
the benefit of the company, even where it is paid voluntarily
by the party causing the loss; but not if it is received by way
of a gratuity not intended to be as an indemnity.
Evidence of Value
It is a principle that the contract of insurance is one
of the utmost good faith, and this applies with particular
force to claims and the settlement of fire losses. In the
majority of cases, the company is at the mercy of the
insured. The object insured is destroyed or damaged; where
it is a total loss its condition before the fire and value can
only be established by evidence apart from the thing itself
— often difficult to obtain — and so to protect the companies
as far as possible, rales have been adopted which the insured
must abide by in order that his claim may be valid.
In the province of Quebec as well as certain other jiro-
vinces of the Dominion, the law has grafted onto insurance
policies certain conditions called "statutory conditions."
which form part of every contract. Many of these apply
to losses, their proof and their settlement. The companies
may vary them within certain limits. The object is to afford
.An address before the Fire Insurance .•Association of
Montreal.
the companies all reasonable means of ascertaining the extent
of the claimant's loss on the one hand, and to provide means
for the insured to obtain proper redress on. the other.
Notice Must be Given
When a fire occurs no primary obligation rests upon the
company; but such obligation is incumbent upon the insured.
His first duty is to give notice of his loss to the insurer.
This is provided by statutory condition 13a.
The notice must be given "forthwith" after the loss.
What does this mean? Article 2478 of the Civil Code re-
quires the notice to be given "with reasonable diligence."
It is necessary that the company should have the opportunity
of inspecting the loss as soon as possible in order that it
may arrive at a true estimate of its extent. Hence, while a
reasonable time is allowed the insured, the notice should be
given without any unjustifiable delay, under all the circum-
stances of the case. It has been held that the words "forth-
with" and "immediately" have the same meaning. The law
always takes, or tries to take, a reasonable view, and it is
provided in the above article (2478), that if it be impossible
for the insured to give notice within the delay specified in
the policy, he is entitled to a reasonable extension of time.
The notice must be in writing. As to what constitutes
written notice, this is covered by another condition, No. 23,
which provides that any written notice to the company, where
the mode is not expressly provided by law, may be by letter,
delivei-ed at the head office of the company in the province
of Quebec, or by registered letter addi'essed to the company,
its manager or agent at such head office, or by such written
notice given in any other manner to an authorized agent of
the company. From this it would appear that a written notice
given to any authorized soliciting agent of the company will
be sufficient, though I would not advise a claimant to rely
upon this method. It is far safer to address the notice to the
company at the head office in the province or at least to the
general agent of a division.
Where it has been proved that notice has been duly
mailed, and there is evidence of its non-delivery, the law
will generally presume that delivery has been made, and so
notice given.
Giving Verbal Notice
While the law requires the notice to be in writing, it
has been held by the Court of Appeal in the province of
Quebec that where verbal notice was given to the local agent,
the policy requiring a notice in writing, this verbal notice
was sufficient, when the company immediately on receiving
it sent its expert adjustor to the scene of the fire with in-
structions to draw up a basis of settlement. But this decision
must not be taken as holding that verbal notice is equivalent
to written notice. Rather it is based upon the action of the
company in acting upon the verbal notice as constituting a
waiver of its right to notice in writing.
-As to who must give the notice; the statutory condition
requires this to be done by the person entitled to make a claim
under the policy. While it is desii-able for the notice to be
given by the claimant himself, it would doubtless be held
sufficient were it done by one who is in the position of the
claimant for the purpose of exercising his rights, such as an
official assignee in insolvency or a receiver or liquidator.
This, perhaps, would be extended to an authorized agent, one
August 0, lii20
T HE MONETARY TIME S
who had been acting as manager of the tlaiiiiant's business
in connection with the property. It is possible that it would
be held sufficient if the written notice were sent by anyone.
Mr. Laverty in his work on insurance says "it would appear
not to be a matter of importance who gives the notice of
loss so long as the company duly receives the notice."
I'roofs of Loss
.\fter giving the notice the ne.xt duty on the part of the
claimant is to deliver to the company "as particular an
account of the loss as the nature of the ease permits." These
are popularly called "proofs of loss," the requirements with
regard to which are found in statutory condition 13 b, c, d
and e. The claimant must also furnish with his account of
the loss a sworn declaration establishing that it is just and
true, the origin of the fire, that it was not caused through his
wilful act or neglect, the amount of other insurance, all liens
and incumbrances on the property, and if it is movable pro-
perty, where it was at the time of the fire. The claimant
must also, if the company requires and if practicable, produce
his books of account and other documents tending to show
the value of the property, and must also furnish evidence in
the mode specified of his good character.
As to who should furnish these proofs: While Condition
1.5 requires the claimant to do so. Condition 14 permits it to
be done by the agent of the. insured in case the latter is ab-
sent or unable himself to make them and this absence or
inability is satisfactorily accounted for.
Time for Sending Proofs of Less
The statutory condition requires this to be done a^ soon
as practicable after the notice. No unnecessary delay must
occur in the sending of these proofs. They are exacted in
order to afford the company evei-y oppoi^tunity of ascertain-
ing whether or not the loss has occurred, and, if so, the value
of the property destroyed. The proofs are supposed to
furnish the necessary information to the company for this
purpose, and a prompt investigation, assisted by the required
information, is essential to enable the company to coiiie to its
decision. No hard and fast rule can be established fixing
the time limit within which proofs of loss must be sent. The
circumstances of each case must be considered. The sending
of such proofs is not a condition of liability but of recovery,
and therefore should not be too rigorously enforced if there
is evidence of compliance and good faith within a reasonable
time.
The furnishing of proofs of loss is a condition precedent
to recovery, and if they are not sent as required by law or
the conditions of the policy as the case may be, the company
is relieved from liability.
Like all conditions precedent to recovery after loss
which require something to be done by the insured before
he can recover, no affirmative action is required of the com-
pany. The latter can stand by in silence until the proofs of
loss have been furnished; and this applies also to the notice.
Its silence will not be construed as a waiver. Therefore, if
no notice have been sent or proofs of lo.ss furnished, the
company is not obliged to remind the insured of the condi-
tions of his policy in these respects and to suggest that he
comply with their provisions. It may adopt a i)assivc atti-
tude, and should the time allowed the insured to fulfil these
conditions go by without his having done so, the company
may then consider itself off the risk and repudiate all lia-
bility for the loss.
If the policy stipulates a specific delay within which
proofs of loss must be delivered, and imperfect proofs of loss
are sent to the company before the exjiiration of such delay
and no objection is made to them until the ilelny has elapsed,
the company would likely be stopped from objecting to them
and pleading that proofs of loss as require.l h.-iti not been
sent, as the defects might have been remedied in due time if
the objection had been properly made and drawn to the
attention of the insured, and particularly if the nfustnl to
pay is also put upon other grounds.
But it is otherwise where the proofs are sent in after
the lapse of time lixed by the condition. This the company
is permitted to take full advantage of, and the delay consti-
tutes a complete defence to the claim unless there is evidence
of waiver on the part of the company.
With regard to the books of account and information
which sections d and e of statutory conditions 13 require the
insured to furnish, these are only if the company demand
them, and so the insured is not obliged to pay any attention
to the requirements until a request to that effect is made
by the insurer. Then, of course, the conditions must be (Tom-
plied with, a reasonable delay according to the circumstances
of each case being |)ermitted.
Waivers
As these and other statutory conditions are in favor of
the companies and for their protection, they may relieve the
insureil from complying with all or any of their require-
ments. These releases are called waivers. The company
waives or foregoes that which it is entitled to exact.
Waivers are not to be presumed, and this although
forfeitures are not favoured by law. They must be judged
rather from the intention of the company as inferred from
its actions as a whole, and as affecting the insured rather
from isolated acts. In the absence of statutory enactments
it may be laid down as a principle that any aflirmative action
on the part of the company, which might reasonably cause
the insured to believe that the company had excused him
from the performance of a condition precedent to recovery,
woulil be interpreted as a waiver.
In order that a waiver may exist, some positive act on
the part of the company is required. Mere silence does not
constitute a waiver. Thus, when there is a failure to give
notice or furnish proofs of loss within the time limit re-
()uired, the omission to point this out to the insured is no
wrong or prejudice towards him, and so it does not amount
to a waiver of tliese important conditions.
On the other hand, positive acts by the company incon-
sistent with the exaction of the fulfilment of the conditions
precedent to recovery will be interpreted as a waiver of its
rights to rei|Uirc them. For example, where, upon receipt
of informal notice of loss, the company offers a ccrUin
amount in payment, it may be deemed to have waived the
more formal notice of loss which the policy might call for;
and if before proofs of loss have been sent and before the
insured is in default, the company refuses to pay upon some
other ground, it would be stopped from successfully plendinE
that no proofs of loss had been sent.
Statutory condition No. 20 provides that "no condition
of the policy shall be deemed to have been waivifl by the
company either wholly or in part, unless the waiver ii
clearly expressed in writing, signed by an agent of the
company." In iwlicies governe<l by this condition there con
be no parol waiver of a re.iuirement covered by such con-
dition; but the company might, by its conduct, be stopped
from setting up the non-compliance with its terms. In onler
to suocessfullv plead such estoppal, the conduct of the com-
pany should be so clear as to lead to no other interprftntion
than that it intended to excuse the insured from doing what
the condition calls for.
False Statement or Fraud
Good faith being of the esM-n.e of the c.nlr.ir! of ih
surance, it follows that rules have been laid d-" ■ f i "'
protection of either party against frauds of
Amongst those in connection with rbnnis after ■
occurred is statutorv condition 1.'.. which says th«i :i' ;■ i'-""'
or false 'reprcMMlalion in relation to .iny of the above pnr^
ticulars (i.e.. notice and information given in the proofs of
loss) shall vitiate the claim. As the company i* mo much
at the mercv of the insured after the fire takes place, n very
straight course of action on his part is re.|uircd, i\v<^ --
conduct savoring of fraud is apt to h-ivr smous '. . •
quences for him, and should it be glnrintr. will drstroN ih.
(Continued on pngr in)
THE MONETARY TIMES
Volume 65.
WEST INDIES A(;UEEMENT MEETS WITH APl'KOVAL
Kutirication by Parliament Expected— Some of the Pro-
visions— New Minister of Agriculture — The
Fuel Situation
(Special to The Monetary Times.)
Ottawa, August 5th, 1920.
ANNOUNCEMENT was made this week of the details of
• the agreement which has been reached between the
Canadian government and the governments of the British
West Indies as a result of the conference held in Ottawa.
While the agreement was reached before the conference
broke up delay in announcement was made in order to give
time for the various governments to ratify the proposals.
This has been done by the Briti.sh West Indian administra-
tions, while the Canadian cabinet has also ratified it, subject
to the approval of parliament.
The new agreement is a most important one, not only
on account of the development of business which is bound
to follow between Canada and the British West Indian
colonies, but on account of the wider adoption of the principle
of preference within the Empire. It is believed in Ottawa
that the approval of this agreement is only the first step
towards a wide scheme of Imperial preference. The dele-
gates evidently had this in mind, as they have inserted a
clause to make certain that this agreement will not interfere
with the adoption of any bolder project.
History of Negotiations
The man who is naturally most pleased over the new
agreement is Sir George Foster. A gi-eat Imperialist, wider
trading within the Empire has always been a desire of his
heart. It was shortly after the return of the Borden gov-
ernment in 1911 that Sir George first opened negotiations
with the British West Indies for some sort of a reciprocity
agi-eement. A conference was held in Ottawa in 1913. Un-
fortunately, at that time the main island, Jamaica, stood
aloof. However, an agreement was reached providing for
a 20 per cent, preference and better steamship facilities.
Before the agreement was well in force the war came with
it^ almost complete interruption of business v^-ith the West
Indies and the old agreement never had a fair chance to
test its advantages and disadvantages. Sir George has
again been the prime mover in this new conference, which
this time was participated in by every colony. The pre-
ference has been this time extended to 50 per cent., with
slight modifications for some of the islands. The free list
is also extended. The agreement provides for an extended
steamship service with a weekly service between the Canadian
port^. an 1 the eastern group of the British West Indies and
a fortnightly service between the western group. This is
to be started "as soon as possible and in any case within
three year=." It is understood that it is the plan of the
Canadian government to put a public-owned steamship ser-
vice on this route.
However, if it is found necessary to subsidize a line, the
various governments will contribute proportionately. This
is the plan as for the eastern group. .\s for the western
group, if the service by the government lines proves unre-
munerative, the Bahamas, British Honduras and Jamaica
will contribute 25 per cent, of the loss within certain re-
strictions.
The question of better cable service has not been over-
looked, although it was found impracticable to do anything
at the conference. The agreement recommends to the
various governments involved the consideration of the lay-
ing of a British-ov/ned and British-controlled cable service.
The Canadian government pi-omises to institute an inquiry.
Hon. .A.rthur Meighen may be handicapped by having
bequeathed to him a cabinet not of his own choosing, some
of whom, like Hon. Arthur Sifton, are far from well, others
of whom were opposed to his selection and others are none
too capable. However, he is fortunate in one thing and that
(Continued on page 12)
NORTHWESTERN LIFE ASSURANCE HOME OFFICE BUILDING
rpHE official opening of the
-•- new home office building
of the Northwestern Life As-
surance Company, Winnipeg,
took place on July 15th,
coincident with the celebra-
tion of the fiftieth anniver-
sary of the entry of the
province of Manitoba into
confederation. The building,
photograph of which is
shown herewith, was erected
at a cost of about .$75,000,
and is located in the heart
of Winnipeg, just two and
a half blocks from Portage
Avenue, on Donald Street.
The building is forty by one
hundred and ten feet, and
provision has been made for
the erection of a larger
building at some time in the
future. It is eciuipped with
all mechanical devices useful
to a life insurance company.
The office now occupied by
the Northwestern Life As-
surance Company is the sec-
ond largest head office of a
life assurance company west
of the citv of Toronto.
I
August 6, 1920
THE MONETARY TIMES
Trade Review and Insurance Chronicle
of Canatia
Address: Corner Church and Court Streets, Toronto. Ontario. Canada.
Telephone: Main 7-104. Branch Exchange connecting all departments.
Cable Address: "Montimes. Toronto."
Winnipeg Office: 1206 McArthur Building. Telephone Main S4M.
G. W. Goodall, Western Manager.
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PKl.NCIPAL CONTE.NTS
EDIT..RIAL: p^^^
Distributiun of Fire Losses 9
Individual Responsibility Must be Kept 10
Facts about Disappearini; Forests 10
Higher Death Duties and Life Insurance 10
Weekly Departments:
Personals 12
-No Change in Crop Outlook 14
Hank Branch Notes 16
.News of Industrial Development 32
News of .Municipal Finance 34
Government and .Municipal Bonds 38
Stock Quotations 42
Corporation Finance 46
Corporation Securities Market. . 48
Recent Fires 4s
Monthly Departments:
Wholesale Prices in June 22
Imports Show no Abatement 22
Special Articles:
Niagara District Industrial Conpress 5
Fire Losses and Fire Insurance Claims 6
.Approval of West Indies .Agreement 8
-•Vlberta Workmen's Compensation Board 18
Great Lakes-St. Lawrence Conpress 20
Central Electric Station Industry 20
Mutual Underwriters' Fire Prevention Plans 24
The Underwriters' Mental Rescr\'e 26
Paper Circulation and Gold Reser\-es 28
Bank Unable to Enforce Lien on Shares 30
THE DISTRIBUTION OF FIRE LOSSES
FIRE insurance is effected so that the insured shall be in-
demnified for the loss of property by fire up to a stipu-
lated amount, in consideration of an agreed sum, called a
premium, which he pays for the protection. Its value con-
sists in relieving the individual from a hazard which might
prove his financial ruin. This class of insurance has become
so universal that it would be impossible to carry on modern
business without it. Treasurer Gardiner, of the Fireman's
Fund Insurance Co., in the June "Record" of that company,
points out that certain forms of fire insurance existed among
the Romans and that later it was an adjunct to marine in-
surance. He continues: —
"As early as 163.1 efforts were made in England to
establish it upon a separate footing, which, however, was not
accomplished until after the London fire of WW, which .seems
to have brought strongly to the minds of property owners
that without insurance they could not be secure against loss.
"The great lesson of self-protection by insurance again
fire loss was fully demonstrated in this country by the great
fires of Chicago in 1871, Boston in 1872, Baltimore in 1001
and San Francisco in 1906, as well as by the enormous fire
waste which is eontinualy eating up our resources. In thi.s
country and Canada during 1919 the fire losses amounted to
$269,000,77.5.
"To distribute the great burden of this awful fire waste
and relieve the communities in which fires occur from finan-
cial embarrassment, is the duty of the fire insurance com-
panies, by collecting from the people of all scrtions of the
country premiums for individual protection which in turn
become the resources of the company from which payment
to the loss claimant is made; for no state, city or locality
depending upon its own local premium resources could sur-
vive a serious conflagration.
"It therefore becomes necessary for insurance companies
to distribute their agencies in all sections of the country so
that a continual flow of premiums is brought in to them in
order that they themselves may not be overtaxed in cn.se of
a great fire in one or two localitie.«. A wide distribution of
risks insures a like distribution of fire lo.iscs.
"No individual or community should feci because it.!i
particular risk has proven profitable in the past to n com-
pany that the rate of insurance chnrge<l is higher thiin it
should be. The company, to illustrate, is talking a risk on
your property similar to the one it took on that of your
neighbor, to whom it was called upon to pay his loss by fire
amounting to many times the premium paid by him; and be-
fore another day rolls around your pnrticuljir rink or com-
munity may have to call upon the company for reimburse-
ment for a loss.
"The .same principle applies to the country nn a whole.
Fire insurance companies may have made what npcm to l>e
large profits for a period of years in one sectmn. The "ame
is true of losses. !f insurance is to render the ncceniinn-
service to the entire country, there must be an r<)UHtii>M:
the income and outgo must be ron.widoroij in their entirety
Moref>ver, there iihvays cxi.sts the poBKibility n( ri trrrnt
conflagration which would in n day wipe "Ut the pmlit't from
a previously profitable sUite an well a" thi- nrrmiunin to be
received for many, many years to come.
"During the war the in«<uriinre romiiiiiur. were called
upon by the federal government for aid in the prevention of
fire. So much good was accomplinhcd iit thai time in re-
ducing the number of fires that the work has been continued
with greater vigor .•dncc the close of the war. 'Vk- ^r— •ft-ir—
realizing that while fire in.-.iirnnce rcimbur
for lo.ss by fire, only fire prevention cm
munity from los^. for that which is dc.it ro.v
lutely gone beyond restoration."
THE MONETARY TIMES
Volume 65.
INDIVIDUAL RESPONSIBILITY MUST BE KEPT
SCARCELY a year passes which does not see some new-
extension of jfovernment activity. Services considered
as necessary to human existence, for which the individual
assumed responsibility in the past, are being thi'ust upon
the shoulders oi'- a willing but incompetent state. P'or
a democratic government is only too ready to do what the
electorate wishes it to, but its ability has fallen short of
efficiently handling the vast business which it has assumed.
The path of pi-ogress, however, is strewn with the wreckage
of hasty experiments, but who is prepared to be a stumbling-
block to progress on this account?
The state does not step in because the individual is not
competent to look after himself. The nineteenth century,
during which the most phenomenal economic progress in
history was made, was the period when the spirit of indi-
vidualism and the doctrine of laixsc^-fairc reached its culmi-
nation. Success brought huge financial rewards, while failure
meant certain elimination. The power of the state has now
gradually been brought to the assistance of the weak. If
he cannot work, he is supported from the public funds; if
he is an inefficient worker, he is none the less assured of
a minimum wage; even if he won't work, his claim to a
livelihood is admitted. The lowest standard of living has
been enormously improved, and nothing short of outrageous
crime can deprive the citizen of his right to that standard;
whether support is extended in the form of poor relief, old-
age pensions, unemployment and sick benefits, workmen's
compensation, the minimum wage, or any of the other
devices of modern legislation, the purpose is the same.
Enormous sums ai-e paid out annually by the govern-
ments of advanced nations for the support and assistance
of the helpless and the inefficient. The cost is shifted to the
shoulders of the successful through the agency of pi-operty
taxes, succession duties, taxes on consumption, and gradu-
ated income and corporation taxes. While the necessities,
and even the comforts, of life are being guaranteed to a
vast number of incompetents, the annual output of goods
is thi-eatened by depriving the successful of a large part of
their gains. If consumption is to be equalized by such a
process, levelling up and down, then production, which in
the past has been stimulated best by the prospect of indi-
vidual gain, will fall. However far we may care to go in
this direction, it is at least apparent that some measure of
responsibility to exercise brain and hand must remain with
the individual. Equality in distribution is still beyond the
bounds of safety.
1A(TS ABOUT DISAPPEARING FORESTS
THE forests of the United States are rapidly being de-
pleted. The same is true of Canadian forests, so far as
they are accessible to transportation, and the shortage
across the border increasingly aggregates the situation in
Canada, for the demands for Canadian pulp and other pro-
ducts is becoming more and more insistent;. The .A^nierican
Fore.-!try .Association, in making an appeal for support of
the movement to perpetuate forests, summarizes the situa-
tion as foUow-s: —
"We are consuming lumber three times as fast as we are
procuring it. Experts predict our saw log lumber will be
gone in fifty years. The bulk of the original supplies of
yellow pine in the south will be gone in ten years, and with-
in seven years 3,000 manufacturing plants there will go out
of existence. White pine in the lake states is nearing ex-
haustion, and these states are paying $(5,000,000 a year in
freight bills to import timber. New England, self-support-
ing in lumber twenty years ago, now has to import one-
third of the amount used. It has .$:!00,000,000 invested in
wood and forest industries, employing over 90,000 wage-
earners. Fire destroys over $20,000,000 worth of timber
every year, and kills the reproduction upon thousands of
acres of forest lands. Within fifty years our present timber
shortage wmU have become a blighting timber famine.
Forests can be protected from fire, regrowth can be en-
couraged, conservative cutting can be practiced, reforesta-
tion can be accomplished — but it takes from fifty to one
hundred years to mature a timber crop. Forest devastation
must be stopped, lands now in forest must be kept continu-
ously productive, forest lands now devastated and idle must
be put to work.
"Ten years ago the United States produced its entire
supply of pulpwood, but now two-thirds of it is imported.
This means freight rates to be added to the purchase price.
Indications are that supplies of pulpwood timber in New
England and New Y'ork will be exhausted in twenty years.
In New York alone supplies will be gone in ten years. De-
pendence upon foreign supplies of pulpwood for news print
means we will be at the mercy of foreign manufacturers as
to prices. Ten years ago the United States produced its entire
newsprint supply — now we import two-thirds of it. Only
cne-third of the newspapers issued in 1919 were printed on
the product of American forests. High cost of pulp and pa-
per mills prevent the manufacturing plants from following
the timbers as do saw mills. Much pulpwood has now to he
freighted -500 miles to the mills. We bought nearly 1,400,-
000 tons of pulpwood from Canada in 1918 and prices ad-
vanced from $10 a cord to as high as $25."
HIGHER DEATH DUTIES AND LIFE INSURANCE
THE value of life insurance for meeting succession duties
and thereby avoiding a possible sacrifice of assets is re-
cognized. These duties are now being raised to still higher
percentages, and arguments for this insurance protection
are thereby strengthened. A recent number of the "Great
West Life Bulletin" says: —
"With the Dominion Government facing the serious
problem of having to obtain sufficient revenue to pay interest
on its debt of $2,416,531,088, and also meet its current ex-
penditures, and the municipalities and cities desperately
casting about for ways and means to carry on their respec-
tive programmes, it is small wonder that our provincial
legislators are re-examining available means of taxation to
see if their possibilities are sufficiently developed. Their
problem is to find inci-eased revenues without seeming to
impose too greatly on an already long suffering public, and
it is not surprising that the Succession Duty .Act should be
seized upon for revision. Saskatchewan, we believe, was the
first province to submit its schedule for a substant'a! in-
crease of estate levies. Next in order comes Ontario with
'anticipated increased revenue from the corporation tax,
increased amounts from the insurance companies, banks and
the Succession Duty Act," which last, according to Ontario's
financial minister, the Hon. Peter Smith, is expected to
bring in a good deal of extra money.
"The most striking feature of the new rates for Ontario
is the way in which they deal with estates that pass on to
one or two beneficiaries or to other than near relatives.
Where the old act took from twelve to fifteen per cent, in
taxes, the new legislation will give the province authority to
impose duties for a maximum of 60 per cent, of the estate.
Where the estate exceeds $25,000 and does not exceed
$50,000, and goes to w-ife, husband, children, parents, etc.,
the tax remains at one per cent. On estates up to $150,000,
the old rates have been increased one half of one per cent.
On larger amounts the tax is practically the same, 10 per
cent, being collected from estates of over *!, 000,000."
The Leamington, Ont., merchant, who, by way of re-
prisal, imposes a discount of 10 per cent, on .American money,
may be comended for his patriotism, but his knowledge of
currency is scarcely sound.
August 6, 1920
THE M V N E 1 A K V 1 1 .M K 8
FOREIGN
BUSINESS
Much attention is beinjj directed
at the present time to export
business. This Hank has a
number of foreign branches as
well as close working arrange-
ments with banks of the highest
standing in many other coun-
tries which enable it to olVer
special facilities in the financing
of trade with foreign points.
THE CANADIAN BANK
OF COMMERCE
Capita! Paid-up
Reserve Fund
$15,000,000
$15,000,000
Business Accounts
The complete banking facilities
provided at all our branches enable
this Bank to give Business Ac-
counts the care and attention they
need and deserve.
The Merchant and the Manufac-
turer will find the services rendered
by this Bank of the greatest assist-
ance in conducting their business.
IMPERIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agent* ia Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land - The Commercial Bank of Scotland,
Limited, F.dinburgh, and Branches. Ireland —
Bank of Ireland, Dublin, and Branches,
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
The Stamp Taxes
>j^rK
=::>S. CVERY Canadian
^^"%^_3\ — ' manufacturer.
1^
c'^fs.._V\ producer, agricul-
">4 y^^J turist, corporation
In^ -'-'•■■. *..,^
%^/ jj or individual, having
/y business relations
i^^""^ with a Bank in
Canada
will require to be completely
informed
regarding Canada's new stamp
taxes.
O
ur newly publiitied booltlel
Canadian Bill Stamp Tax 1920 "
II gUdly be sent on requcit
UNION BANK
OF CANADA
E.tabli.hed 1865
Resources Exc
»d $174,000,000 Morr lh>n 400 Br.ntht.
The Bank of Nova Scotia
t S I AHI ISIII n IS.1J
Capital paid-up .... 98.700,000
Reserve Fund and Undi-
vided Profit* over - 18.000.000
Total Asael* Over - 220,000,000
HRAD OFFICE
HALIFAX, N.S.
Crnrral Manaser'a Offlcv. Toronto. Onl.
II A H]cii«i.i>»iis. i.rncral Man.i>icr
Branches In Canada
iino n in UutbK
f llrunawick S3 W«>t«m Prtn-lncct
In Nawfoundland
Bay Koherln. Kcll lnliinJ. IVmjvoln. liunnc lUr. Ilrmuii. liur(«o. Ilurin.
Carboncar. Catalina. Chjngt ■•land*. Channel. l-o«.>. Orand lUnfc.
Harbor Ciracc. Hcmiitaiic. Litllc r«a> Nl»nd«. 1>M Ctrlitan. St. John'«.
Twillingale. Wclkvvillt. Wc.trm llj\
In Weal Indiea
CaU-Havana
Dxalaieaa it«»aU c Sanin IKimlnCn
Jaaalca -IILicU Hi\ct KmiKton. MandcHik. Monlc«o Ha». MoranI H^)
l'..rl Ant. Pi. . I'.irt Maria, St Ann » lla>. Sa> anna la M;>. .
Spani.h T.iwi.
Port. RlM-Sjn Juan I^jardoand f.inci-
In United Stale*
BOSTON CHICAlid MiW YOKK (*<.I>.NCV»
Correapondenia
Crnl »fiul«-lhr I nndi.n Joinl l.lv an.l M.JI..nJ llanli Limited: Ko) ^
ll.i
i Slain I Sen Vorli. N II A , N«« Votk: Kallonal lla
C..C1CI. I •■ Nv^ \ork . Mt<i.hanl« NalKwal lUnh. Holon
Nat. una: llii.li. i;hii.a«o . l-mirlh StrMi National llan>. 1'hi
phia .Cil.»cn« Nal...nal llanli llalllmorei Tite An
Bank. San l-rant. •,....
National Hani Statlle.
•t National Bank ^ln
at^ilii
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
n. F. Harman, whose appointment as land commissioner
of the Hudson's Bay Company, was announced' in these
columns recently, succeeds Jiinu s Thomson, who resigned
from that position
recently. Mr. Har-
man has been with
the company for the
past 18 years. He
was born in Lon-
don, England, and
r:iine to Canada in
1 ;m)2, entering the
service of the
Grand Trunk Paci-
fic Railway Com-
pany on survey work.
Subsequently M r .
Harman was en-
gaged in connec-
tion with manage-
iiK-nt of townsite
|M iijierties for the
Canadian Northern
Railway, leaving
that company to
.idiii the Hudson's
Hay Company land
Mi'partnient in Win-
nipeg. Mr. Har-
man served in Eng-
land and France during the war, with the 4th Canadian
Casualty Clearing station. This appointment is further evi-
dence of the desire of the Hudson's Bay Company to promote
qualified officers from existing staff to senior positions in the
company's service.
E. C. MACLEOD has been appointed manager of tdie
London, England,
branch of the Bank
of Nova Scotia,
which was opened
to the public about
the 1st of August.
Mr. Macleod, who
entered the ser-
vice of the bank at
Winnipeg, Man.,
has served in vari-
ous important capa-
cities. In 1911 he
w a s manager of
the Chatham, N'.B.,
branch and from
1S)11-13 was man-
ager at Peterboro,
Ont. In 1913 he
went to Kingston,
Jamaica, as man-
ager of the bank's
office there, which
position he held un-
til June. 1919. Mr.
Macleod is now in
England arranging
the necis-aiy littails for thr (ipening of the new branch.
D. C. Wood, has been appointed general foreign freight
agent of the Canadian National-Grand Trunk Railways, with
offices in the Board of Trade Building, Montreal. The former
position held by Mr. Wood, that of traffic manager of the
export and import department, Canadian National Railways.
Toi'onto, has been abolished. Other appointments announced
are as foUovi's: R. J. Foreman, to be foreign freight agent,
Canadian National-Grand Trunk Railways, with headquar-
ters at Montreal; F. R. Porter, to be foreign freight agent,
with headquarters at Toronto; J. A. Wright, to be assistant
foreign freight agent at Montreal; Geo. Pepall, to be as-
sistiint foreign freight agent at Toronto. A. F. Read, who
has occupied the position of foreign freight agent of the
Grand Trunk Railway System of Montreal since 1894, and
that of loreign freight agent since 1911, having requested
relief from his official duties on account of ill-health, has
been granted leave of absence until December 31st next,
after which date he will be transferred to the company's
superannuation fund. Mr. Foreman, the newly-appointed
foreign freight agent, will be succeeded as assistant to the
traffic vice-president by J. M. Sparling, at present chief clerk
to the vice-president.
WEST INDIES AGREEMENT MEETS WITH APPROVAL
(Continued from page 8)
is that he has handed to him as minister of agriculture a
man who is on the job every minute of the day and knows
his work from Alpha to Omega. I have seen now four
ministers of agriculture at work at Ottawa and without
casting any reflection on the capabilities of the others Hon
Dr. Tolmie is easily the best of the four. Old-timers al
Ottawa are a unit in saying that lie is the best minister of
agriculture Canada has ever had. He is an expert agricul-
turist from nearly every standpoint and in addition is a
fine administrator. He does also what few ministers before
him have taken the pains to do — kept in touch with farm life
in every aspect. He has just returned from a western trip,
where he attended every important agricultural exhibition
on the prairie provinces. Perhaps the finest tribute was
paid to him at a banquet at Brandon, where a political op-
ponent said that if the government was beaten he hoped a
new administration would retain the services of Dr. Tolmie
as minister.
Here is an example of the way Dr. Tolmie works. While
at Winnipeg he looked over the stock yards. He was pained
and surprised to see a particularly scrubby lot of beef, which
was bringing minimum prices. He made inquiries and
found this beef came from foreign districts of the west. He
discovered that these alien settlers knew nothing of the
science of stock-raising; they wei'e turning out inferior
stock for the market through ignorance. Dr. Tolmie figured
that this was a loss to the country of hundreds of thousands
of dollars. So now he is investigating the feasibility of a
plan by which some of the brightest of the settlers in each
foreign district can be brought to Winnipeg or some other
point and given a practical short course in stock-raising,
with the idea that they will each teach their neighbors and
ultimately the whole district.
Fuel Situation
The coal situation is giving- the government much
anxiety. Hon. Frank B. Carvell is wrestling with the prob-
lem, but is not making much apparent headway. There will
likely be a fair supply of anthracite coal for this coming
winter in central Canada, but the outlook for bituminous is
far from rosy.
Government railways are so short that they are actually
seizing stocks from industries in the maritime provinces.
There has been an improvement in production in the Nova
Scotia mines, but the production is still far short of a mark
of a number of years ago. Dropping of the amount of
work per man is given as one of the main causes.
The following are the shipments of ore, in pounds, from
Cobalt Station for the week ended July 30th: —
Dominion Reduction Co., 66,000; Nipissing Mine, 245,380.
Total, 311,380 pounds. The total since January 1st is 13,-
706,167 pounds, or 6,853.08 tons.
August 6, 1920
THE MONETAKV TIMKS
IS
The Sterling Bank
OF CANADA
The unusual character of Sterling BankSrr-
is not extended to a hand-piclced clientele, but
to each and every customer indiscriminately.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament. Established IKS
Capital Subscribed /S, 000, 000 $25,000,000
Paid up 1,100.000 5,500.000
Uncalled 3.900.000 19.500.000
Resene Fund 1.000.000 5,000,000
Head Office • EDINBURGH
WILLIAM C.AR.VhOlE. General Manager. GEORCK A. HL'.VTER. Sec.
LONDON OFFICE— 37 NICHOLAS LANE. LO.MBAKD ST., B.C. 4
T. C. RIDDELL. DUGALD S.MITH.
.Manager Assistant .Manager
The agency, of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, arc
retired on terms which will be ''jmished on application.
Bank of Hamilton
Quarterly Dividend Notice
A DIVIDEND of Three Per Cent.
{Zn ), together with a BONUS of One-
half of One Per Cent (S'-), on the
Paid-up Capital for the three month*
ending 31st AuKust, 1920, has been de-
clared, and will be payable on the Igt
September, 1920. Dividend and Bonus on
New Stock will be computed at the same
rates, but in accordance with the terms
of issue.
The Transfer Books will be closed from
the 20th to 31st August, 1920, both days
inclusive.
By Order of the Board.
J. P. BELL.
General Manager.
Hamilton, 19th July, 1920.
The Standard Bank
of Canada
Established 1 873 15J Branches
Capital (Authorized by Act of Parliament) IS.OOC.OOO.OO
Capital Paid-up »JOO.000.0O
Reserve Fund and Undivided Proets <.7?7J?S.90
DIRECTORS
WlLLIKGTOIl FrAHCIS. K.C, HcBERT LaNCLOIS
President Vice-President.
W. P. Allen, F. W. Cowan. T. B. Greening. H. Langlois.
James Hardy. F.C.A.. Thos. H. Wood.
H««D Office. 15 King St. West TORONTO. Out.
C. H. EASSON. General .ManMci-.
J. S LOUDON. Assistant General .Manager.
SAVINGS BANK DEPARTHE.ST AT ALL BRA.>vCHHS
i The Dominion Bank
,i.-ihiJ^HLn ;>
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Bankinj,'.
Sterling Drafts bought and .sold.
Travellers' Cheques and Letters of Credit issued.
Bank of New Zealand
ESTABLISHt.U IN I Me I
to the New Zenland Cov
irni
TmU
CAPITAL
P.>d-Up apilal (Sll.2t4.t2() ,mi K^
(SI2,I6«.2S«) . S K.tit.lH
UUi.id<4 rrofili 7U.«)f
A«trrf.l> Aiwti •! 3M M.kIi. in* IS7.SM.»«<
Hend Ofrice :
WELLINGTON
NEW ZEALAND
H. BUCKLETON
CencrnI ManaKrt
f
THK I4»M< OP S'HW /,.,,.
Au..Uland. WrlUnaion. throli^L.ir.h i . •-
plac«^ m .V.N% Zcjiaod, al... »t Mt l"u'
(Au«lf.>l"> Sura and LetuLa (I ', ). Ar>
London.
The ll»nl< h;i. I.c.lil.«« I " I'.n.i Ir... .
of IV.nkK„( M„.,n... It n>.l.« !"• <-«l'h'
an,l..'her IV.)Ju.« Cred.i
Mr
LONDON OFFICE: I Q«Ma VKloria Sirett, Maatiaa Hon.. I f 1
CHIEF CANADIAN AGENTS .
Canadian Bank ol Commrrce Bjink o( Montreal
THE MONETARY TIMES
Volume 65.
NO CHANGE IN CROP OUTLOOK
Prospects Still Good as Harvest Approaches— (utting (Jraiii
Now in Many Sections— Slight Damage to Western
Crops
NOTHING has developed of late to affect the general crop
outlook in Canada. Any damage from dry weather,
wind, hail, or grasshoppers is reported as being slight.
The following- is a summary of the weekly reports made
by the agricultural representatives to the Ontario Depart-
ment of Agriculture up to August 3: —
"Welland reports that oats, corn, etc., have recovered
from the effects of the severe rain storm of July 2:3rd. The
injury from Hessian fly has been serious in a number of the
fall wheat counties in the southwest part of the Province.
Norfolk reports that some fields tmft'ered from 40 to 50 per
cent, of damage from the insect. Some representatives are
of opinion that the work of the fly may tend to limit the
area of winter wheat planted this fall.
Barley and early oats have been cut in several counties.
While well headed, the straw of the first-named crop is
rather short; but oats (with more than double the acreage
of all the other cereals) promises a generous yield of both
grain and straw. Spring wheat has not done so well.
Farmers are still drawing green peas to the Napanee canning
factory, where some days as many as 30,000 cans have been
turned out.
Corn is very uneven this year, and has not received as
much cultivation as usual owing to long spells of broken
weather. However, the main growing season is now on.
Early potatoes are pouring upon the market. The yield has
been good, and they are largely free from disease, although
Frontenac speaks of considerable blackleg. Beans are doing
exceedingly well as a field crop this season; the acreage,
however, is comparatively small. Flax is said to have done
well in Middlesex, where the crop is now being pulled, mainly
by Indians. Owing to continued catchy weather a good deal
of hay is still lying in the fields, which will mean a lot of
poorly cured clover and timothy. The second growth of
clover, however, is most satisfactory. New hay is selling at
from $20 to $26 a ton. Grey reports that sweet clover is
doing remarkably well both for fodder and seed. Alfalfa has
also been an excellent crop so far, both first and second
growth. The rain has forced the root cro])s ahead in fine
style, and good returns are looked for, especially from sugar
beets and turnips.
"The season will rank as a good season for fruit, gener-
ally speaking. Raspbenies are large in size, and are yielding
well. Apples are bearing fairly in most cases, especially
the summer and fall varieties, and are freer than usual from
work and spot. Early peaches are now on the market.
Norfolk reports them as yielding well.
"Cattle are being marketed slowly. Calves for veal are
selling at from 13 to 18 cents a lb. The milk flow is good
for the time of the year. Frontenac reports a drop hi the
price of cheese during the week, sales on the board going to
25',.T cents a lb. Prescott and Russell states that a number
of cheese factories are now selling their products on a graded
basis. Hogs are going to market regularly at from $19 to
$21 a cwt. Brant reports little pigs selling slowly at $10
a pair."
Hail Damage in Manitoba
Two storms which struck Winnipeg on August 3 extended
generally over Manitoba. One storm swept over the north,
carrying hail and doing some damage through the wind.
That which went over the southwest was slighter in its
violence, but hail also fell. Roblin came in between the
paths of both and got no rainfall. Etlielbert and Garland
districts had their crops nearly wiped out by hail. Emerson
and Glenboro' are cut off by teleplione. and are supposed to
have suffered. The city of Winnipeg welcomed the rain as
a relief to excessive heat.
Grasshoppers in Saskatchewan are still doing some dam-
age to the wheat in stock. The hoppers are chewing the
twine, with which sheafs of rye are bound, and the winds
are distributing the grain in all directions. The hot, dry
weather recently has brought grain crops to maturity in the
southern part of the province very 'rapidly, and cutting is
under way at a number of points, including Trossachs,
Estuary and Aneroid, and by the end of the week will be
general in the south and southwest. While there is no short-
age of twine, the rapidity of ripening has caught a number
of farmers without a supply on hand, and some of them are
finding it necessary to ship in by express enough to commence
operations. In the Regina district cutting will be general
about August 10 if present weather conditions continue.
Ninety-five per cent, of the crops in the district affected
by grasshoppers have been saved by the prompt action on
the part of the Manitoba Department of Agriculture, and
the pest, in so far as it was a menace to this year's crops,
has ceased to exist, according to an official communication
from Dr. Norman Criddle, Dominion Entomologist. Some
damage, he states, is still being done to the late crops. The
infestation was the largest in the history of the province,
and the crops endangered were valued at millions. Much
of the damage done was due to the failure of the individual
farmers to take the necessary precautions or report out-
breaks. Prof. Criddle points out that egg-laying is now
going on in the parts of the province affected, and that the
destruction of these constitutes the next problem.
Manitoba Crops Early
In a report dated July 27 the Manitoba Department of
Agriculture says: —
"The Manitoba harvest will be somewhat earlier than
usual. Fall rye cutting has actually begun here and there,
and will be general by the end of this week. Wheat cutting
is expected to start at several points by August 10th or
before, and the binders will be at work in almost all parts
of the province by the middle of the month. Reports as to
crop prospects are very mixed. For a month past the
weather generally has been dry with waves of heat in many
places. Sevei'al districts were relieved during that period
by nice rains which carried the crop along, but other parts
of the country were not so fortunate. Practically all over
the province good rains fell last week. An area both north
and south of the main line of the C.P.R. west of Carberrj'
and extending into Saskatchewan has suffered very severely
from the heat and drouth. This district extends about as
far south as Reston, and takes in part of that very fine
park-like country north and north-west of Brandon, which
has mostly had good crops during recent years, such points
as Rapid City and Hamiota being in this belt. Had it not
been for last week's rains some of the grain fields in this
belt would by this time have been used for pasturage. The
rains will very greatly lengthen the oat and barley straw
tliere, and will help fill the short wheat heads. Outside this
area reports generally are very satisfactory. The heat did
some harm, and in several places there are white tips on the
heads; but in thousands of Manitoba's wheat fields the straw
will be of at least average length with a really good crop
of grain.
"At many places the difference between the area of very
good and of very poor crops is quite sharply marked. Ac-
co'ding to the way in which show-ers passed over the coun-
try, most of southern Manitoba has fair to good crops, and
the northern parts and the lake country are in good shape.
Reports from Gladstone and Langruth, for instance, are
very encouraging, and Portage Plains has a fine crop. At
several points not covered in this report the crops are known
to be good. No rust damage is so far reported. Several
hail storms have occurred, with probably more damage than
usual. Grasshoppers, now in the winged stage, are yet pre-
sent in some places, and may do harm by eating off the
heads of grain, but they have been fought very faithfully,
and some reports tell of them dying as though attacked by
some natural enemy. Potato bugs are reported plentiful
from many places. Hay prospects are mostly fairly good."
AuL,'Usi (j, 1920
THE MONETARY TIMES
AFRICAN BANKING
Corporation, Limited
(LONDON)
Paid-up Capital and Reserve, $6,800,000
Over 60 Branches and Agencies
throughout South Africa
Principal Branches located at Bula-
wayo, Bloemfontein, Cape Town,
Durban, East London, Johannesburg,
Kimberley, Port Elizabeth, Pretoria,
and Salisbury.
THE NEW YORK AGENCY
negotiates documentary bills of exchange,
issues drafts and cable transfers, and transacts
a general banking business direct with the
branches of the Bank in South Africa.
Correspondence invited from Canadian Ship-
pers to South Africa, and facilities offered for
the conduct of their business with that country.
Address the New York Agency
64 WALL STREET, NEW YORK, U.S.A.
HomeBankofCanada'
Government Bonds and Savings Stamps
There „ a po^e m the Home Binf. Thrift Account
Book for enlcrinB the dale of purchase, amount, and
interest dates on Government Bone's, War Stamps ,r. <
Savings Cerlificales. The form is very concise ai.
preserve all the details for ready reference. A«k : ■ ,
copy of the Thrift Book. Di.liibutrd free al all Bran, he,
Branchea and Cortnections Throuihout Canada
Htad Office and Nine Branch,, in Toronto
THE
Weyburn Security Bank
Chartered by Act of the DomiDion Parliament
HEAD t>l I ICH. W1-;VULU\, SASKA 1 1. MHW AN
llRAXCnivS IX Saskatciikwan at
Weyburn. Yellow Grnss, McTngRart. Halbritc. Midair.
Griffin, Coln.ilc, r.inKinnn, Riidvillc, .Xssiniboia. Hensoii!
Vcrwood, Rcidlyn, Tribune, Kxpansc. .Mossbank* V.inlaKe!
Goodwater, Dannoily, Slounhton, Osiiiyc. Crcc-lniun an(i
Lewv.in.
A CESV.UM. li.A.NKING Hrsi.N'ESS TRANSACTl-l)
H O POWRI.L Grrcral Manatrr
TH€ MCRCMANT5 BANK
Head Office : Montreal. OF CANADA
EsLiblishod 1864.
Capital Paid-up, $8,400,000 Rt>c^^c Fund and Undivided Profcli. $8,660,774
Total Depoiili (30lh June, 1920) - Over $161,000,000
Total A.. eti (30th June, 1920) - Over $198,000,000
Thomas Long
Sir Frederick Orr Lewis, Bart.
Hon. C. C. Bailanttnk
Board of Director
SIR H. MONTAGU ALLAN
K. Howard Wii,son
Farouhar Robf.rtson
c;eo. L. ( ai.ss
Vice-President
Alfrek B. Kvan>
TllOMA<i AllFARN
Lt. -Col, J. R. MooDiit
General Nianager . ■ - D. C. Macarow
Supl. of Brancbes and Cbiel Inspector : T. E.. Merrett
General Supervisor - • - W. A, MkLORUM
A. j liAWES
Hon LoVnk C WEk!,T>»
VL W, Kncki.and
liuRImN M MrGRK^OI
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Tlieir banking connection is for life —
yet the only bonds that bind them to
this bank are the ties ol service, pro-
gressiveness, promptness and sound advice.
393 Branches in Canada, utending (rom the AtUntic to the Pacific
New York Agency: 63 and 65 Wall Street: W. M. Ramiay and C. J. Crookall, Agenil
London, England, Office, 53 Cornhill : J. B. Donnelly, D.S.O.. Manager.
Bankers in G.eal Britain : The London Joint City & Midland Bank. Limited. The Royal Bank ol Scotland
16
THE MONETARY TIMES
Volume 65.
BANK BRANCH NOTES
Bank of Commerce Plans Branch in Brazil— Bank of Mon-
treal to Have Branch at Banff
THE Canadian Bank of Commerce has, it is understood,
decided to open a branch in Brazil. Nearly two years
ago the general manager, Sir John Aird, made a visit to
South America, and this action on the part of the bank has
been anticipated. E. B. Ireland is to undertake the organiza-
tion of the branch. Mr. Ireland has for five years been
manager of the Seattle branch, and prior to that was at-
tached to the New York agency.
The Bank of Montreal is planning to build a new bi-anch
at the C.P.R. Hotel at Banff, Alta.
■ The following staff changes of the Canadian Bank of
Commerce have just been announced: —
Head Office— Mr. A. E. Tayler, manager at Windsor,
Ont., to be assistant general supervisor.
Windsor, Ont.— Mr. W. G. Lynch, manager at Medicine
Hat, to be manager.
Medicine Hat, Alta.— Mr. C. H. Niles, manager at Grand
Forks, to be manager.
Havana, Cuba— Mr. A. DuBoulay, assistant inspector at
Sherbrooke, to be assistant manager.
On the 3rd of August the Bank of Nova Scotia opened
its branch in London, England, at 55 Old Broad Street. Mr.
E. C. MacLeod, who was fonnerly of the Kingston, Jamaica,
branch, will be manager at London.
The Canadian Bank of Commerce announces the opening
of branches at the following points: Campbell River, B.C.,
temporarily in charge of Mr. A. K. M. Roberts; Chemainus,
B.C., sub-agency to the Duncan branch.
The Royal Bank has opened branches at Montreal (Park
and Barnard); Toronto (Sherbourne and Queen); La Esmer-
alda, Cuba; Manguito, Cuba; and Langre Grande, Trinidad.
EXCHANGE QUOTATIONS
Messrs. Glazebrook and Cronyn, exchange and bond
brokers, Toronto, report local exchange rates to The Monetary
Tiims as follows: —
Buyers. Sellers. Counter.
12 "'8 pm 1.3 \s pm
Par. Par.
N.Y. funds
Mont, funds ....
Sterling —
Demand ....
Cable transfer
% to %
4.02
4.03
4.09
4.11
Rate in New York for sterling demand, $3.61%.
Bank of England rate, 7 per cent.
The following New York quotations are furnished by
the National City Co.: Cable, London, 3.61 V4; cheque, Lon-
don, 3.G0%; cable, Paris, 7.30; cheque, Paris, 7.29; cable,
Italy, 5.08; cheque, Italy, 5.07; cheque, Belgium, 7.70;
cheque, Swiss, 16.55; cheque, Spain, 14.90; cheque, Holland,
.3305; cheque, Denmark, 15.25; cheque, Norway, 15.30;
clieque, Sweden, 20.50; cheque, Berlin, 2.18; cheque, Greece,
11.95; cheque, Finland, 3.40; cheque, Rumania, 2.50.
BANK OF HAMILTON DISTRIBUTES PROFITS
Following closely upon the recent action of the Bank of
Hamilton in presenting each member of its staff of more
than one year's service with a life insurance policy, paid
for by the Bank, under the .group insurance plan, it is ann-
ounced that a bonus to the shareholders of one-half of one
per cent, has been declared to be paid on the 1st September
next, this being in addition to the regular quarterly dividend
of three per cent, also payable on that date. It is said that
the half year of the Bank which ends on the 31st of August
next has been prosperous and it was thought fitting by the
board of directors that the shareholders should benefit.
NIAGARA DISTRICT INDUSTRIAL ASSOCI.VTION
CONVENTION
(Continued from page 5)
said he. "This can be pierced by a waterway to the seaboard
so that shipments can be made economically and without
transhipment." He urged that the interests of rail and
marine transportation interests were one, and that construc-
tive co-operation was necessary to bring about realization
of the plans. No exception was made in the case of the
New York barge canal, which, he said, would have more
traffic than ever under the new conditions, by reason of the
industrial growth that would follow the development of the
water powers on both sides of the international boundary.
The congress finished at St. Catharines, after being
shown through the adjoining towns of Merritton and Thorold,
where large plants for the manufacture of paper, glass,
metals and other products are located.
BUSINESS FA I LI RES
R. G. Dun and Co. report failures in Canada for the
past few weeks as follows- —
Date -oJ 5iiJ<^wm2!2 S
July 30 .... <; 4 1 0 2 1 0 4 0 18 . .
July 23 .... 4 1 2 0 1 2 0 0 0 10 12
July 15 .... 4 4 2 0 2 1 0 0 0 13 8
July 9 .... 6 7 3 0 0 0 2 2 0 20 8
July 2 .... Figures not yet available. 6
June 25 ....003042 000 9 15
WEEKLY B.\NK CLEARINGS
The following are the bank clearings for the week ended
August 5, 1920, compared with the corresponding week
last year: —
Week ended Week ended
Aug. 5, 1920 Aug. 5, 1919 Changes
Montreal $145,321,010 $135,168,135 -t-$10,152,87o
Toronto 90,064,583 77,84^,380 + 12,216.203
Winnipeg 41,089,7.59 40,538,833 -f 550,926
Vancouver 16,971,112 12,935,704-)- 4,035,408
Ottawa 9,194,293 8,809,248+ 385,045
Calgarv 6,480,216 6,460,216 + 20,000
Hamilton 7,161,582 6,067,557 + 1,094,025
Quebec 7,897,956 6.306.432+ 1,591,524
Edmonton 5,0.53,386 4,865,810 + 187,576
Halifax 4,910,688 4,695,301 + 215,387
London 3,552.462 2,971,494 + 580,968
Regina 4,334,753 4,196,210 + 138,543
St. John 4.045,125 3,015,864+ 1,029,261
Saskatoon 2,432.971 2,206,559 + 226,412
Moose Jaw 1,883,783 1,648,128+ 235,655
Brantford 1,288,793 1,123,969 + 164,824
Brandon 790,578 875,703 - 85,125
Fort William 888,606 857,002 + 31,604
Lethbridge 850,908 911,789- 60,881
Medicine Hat 5.58.117 547,102 + 11,015
New Westminster . . 811.322 689,145 + 122,177
Peterboro 859,326 842,189 + 17,137
Sherbrooke 1,366,987 845,502+ 521,485
Kitchener 1,243,438 969,642 + 273,796
Windsor 3,004,954 1,730,858 + 1,274,096
Prince Albert 459,484 470,417 — 10,933
Total $362,516,192 $327,597,189 +$34,919,003
August G. 1920 THE MONETARY TIMES „
AUSTRALIA and NEW ZEALAND ' "
BANK OF NEW SOUTH WALES
HSTAIILISHP.D lsl?l
PAID UP CAPITAL- - ^ "^ ^jl«^ "^ ' '^ » "0 000 UUO 00
RESERVE LIABILITY OF PROPRIETORS - ||A^A> ; WOOo"
AGGREGATE ASSETS 30th SEPT., 1919 ^-^^^^^^SttigjS"^*^ J335,181.247.00
Sir JOHN RLSSELL FRE.NCH, K.U.K . Gcnenil ManaKcr
310 BRANXHES and AGENCIES in the Australian States. New Zealand. Fiji. Papua (New Guineal , and London. The BanU transact, ev.rv descr-otinn
of Australian liankinR Business.- wiol and other Produce Credits arranKed. transacts ex.ry description
HEAD OFFICE: GEORGE STREET. SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET. E.C, 2.
A. ;hsts: HANK OK .MONTREAL. ROYAL ham; n|.' CANADA
BUSINESS FOUNDED 1795
INCORPORATED IN CANADA 1897
American Bank Note Company
ENGRAVERS AND PRINTERS
BANKNOTES, BON DS, MUN ICIPAL DEBENTU RES, STOCK
CERTIFICATES, CHEQUES AND OTHER MONETARY DOCUMENTS
Special Safeguards Against Countcrfcitint£ Work Acceptable
Head Ofllce : OTTAWA 224 Wellington St.
15RAXCIIES
1 nil Stock txchAntfei
ESTABUSHEX) 1879
Alloway & Champion
Bankers and Brokers
Memberi of Winnipeg Stock Gzchnnge
362 Main Street
Winnipeg
Storks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchanges
Geokoe Edwards, 1 .C.A. Aktiilk II. liuwAKis, I'.C.A.
H. PERCIVAL EUWARDb W. POMEKOY MoKCAN A. G. EllWA»DS
Chas. E. White T. J. Macnamaka Tiio.'i. V. GEU(;ii
O. N. Edwards J. C McNab C. Percy Roberts
A. L. Stevens W. H. Tho.mi'son
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORO.XTO ..
CALGARY ..
VANCOUVER
WIN.N'IPF.G ..
MON1REAL
CORRESPONDENTS
HALIFAX, N..'^ ST. JOHN, N.B.
LONDON, ENG
CANAUIA.N MOKIGAtJE HUILDI.NG
HERALD BlMLhlNG
LONDON BUILDING
ELECTRIC RAILWAY CHA.MBERS
McGILL BUILDLNG
rOBAl.T, ONI
NEW YORK. U..*; A
Succession Duties
in Ontario
The rates of Succession Duty having
been increased at the recent session
of "the Ontario Legislature, we have
prepared a Booklet entitled "Succes-
sion Duties in Ontario." This Book-
let contains schedules of the new
rates, together with a summary of the
main provisions of the Act. To
readers of The Monetary Times we
shall be pleased to send a copy free
on request.
THE
Toro/stoGe/^eralTrusts
Corporation
Head Office - Bay and Mclinda Streets. Toronto
THE MONETARY TIMES
Volume 65.
ALBERTA WORKMEN'S COMPENSATION BOARD
1919 Was First Complete Year of Operation— Expenditures
Totalled Nearly $150,000— Investments are $237,947
CLAIMS paid by the Alberta Workmen's Compensation
Board in 191 i) totalled $94,216, in addition to which
$13,558 was expended in administration and mine rescue
work, and $38,181 in payment of expenses and equipment.
These figures are given in the annual report of the board
for 1919, just issued.
The Workmen's Compensation Act came into effect in
Alberta on August 1, 1918, and practically all persons en-
gaged in industries where manual labor is employed are now
within the scope of the act, with the exception of those
working in retail stores, the farming industry and those
specifically mentioned in the act. During 1919, six assess-
ments were made on the payrolls submitted by employers,
and the total amount yielded in this way, with interest on
the same, was $321,707, to which is added a balance of
$70,904 carried forward fi'om the year 1918.
Assessments in 1919
At the 1919 session of the legislature, an amendment
was made to the act, whereby the board was given authority
to require each employee who was not protected by a medical
aid contract to contribute a certain amount per day to the
board. The amounts i-equired were two and three cents
per day, according to the hazard of the industry, until
August' 1, 1919, when these aniount.s were reduced to one
and two cents per day respectively. The amount collected
by the board under this provision was $33,847, of which
$10,522 was paid out, leaving a balance of $23,324, and a
total balance of $269,980 for assessments and medical aid.
Of this balance investments have been made in Victory
bonds, provincial government saving certificates and provin-
cial government debentures which brings the total invest-
ments as at December 31, 1919, to $237,947.
During the time the act has been in operation up to
and including, December 31, 1919, there were 4,409 accidents
reported to the board, and of these 1,956 were finally dis-
posed of by payment of compensation, 1,257 on which no
compensation was paid, leaving 1,196 to be finally disposed
of.
The board in its annual report, expresses its apprecia-
tion of the manner in which it was given co-operation and
assistance in its work, by practically all of those who came
within the scope of the act. It was, however, necessary to
take action against certain employers and others for failure
to comply with the provisions, which action was not taken
until warnings had been repeatedly given to the persons
affected. In many of these cases the provisions of the act
were complied with after action had been taken, and the action
was consequently stopped. In this respect, information was
sworn out against 202 employers, the charges against 77
being withdrawn. One hundred and twenty-three were con-
victed, and in two cases convictions were not obtained. One
doctor was convicted for failure to comply with the provi-
sions of the act regarding reports.
Statistics for the Year
The members of the Alberta Workmen's Compensation
Board are: John T. Stii'ling, chairman; W. F. McNeil and
J. A. Kinney, commissioners.
The following is a summary of statistics for the year
ending December 31, 1919:
Number of employers within the socpe of the act 2,153.
Number of accidents reported 3,466.
Number of claims finally disposed of by payment of
compensation 1,594.
Number of claims disposed of without payment of com-
pensation 70S.
Number of accidents reported and dispose<l of for which
no applications for compensation received 192.
Number of accidents reported which were disposed of
by payment of medical aid only 73.
Number of claims on which further payments have to
be made 237.
Number of accidents reported still under consideration,
and on which no payments have been made 959.
Total amount of payrolls on which assessments wera
made $26,363,546.
Total amount of assessments made $356,174.
Total amount of asssessments collected $314,688.
Total amount of expenditure in connection with fatal
accidents: Compensation paid, $3,477; funeral expenses
only $619— $4,096.
Total amount of expenditure in connection with non-
fatal accidents $90,119.
VANCOUVER ISLAND LIFE UNDERWRITERS
.A.t the annual meeting of the Victoria and Island Life
Underwriters' Association, held in Victoria, B.C., on July 12,
the following officers were elected: — President, K. Ferguson
(Imperial Life); vice-president, J. B. Warnicker (Mutual
Life): secretary-treasurer, S. B. Johnson (Dominion Life);
executive, Alex. Peden (New York Life), and J. W. Hudson
(North American Life). - ,
The retiring president, Mr. Bell, stated that during the
past year nine general, one special and two executive meet-
ings were held. A publicity campaign during the year
resulted in the publication of several articles explaining the
value of life insurance and the work of the underviriters'
association. Mr. Bell said: —
"Our organization has fully lived up to its reputation
of being a public-spirited body by the participation of its
members in several campaigns for national and local ad-
vancement, the most important of these being the 1919
Victory Loan. In this campaign twenty-three life insurance
men took part, their personal efforts resulting in the securing
of 1,987 applications and the sale of bonds to the extent of
$1,041,550. In March of this year, on a request from the
directors of the Victoria (B.C.) Shipowners, Limited, a few
of our members, in conjunction with other business men of
the city, undertook the sale of about $80,000 worth of that
company's stock. By persistent and untiring effort this
stock was quickly sold. More recently our members have
been asked to assist the campaign of the Canadian Jewish
Relief Committee, and I feel it may be said that those who
have given such time as they could to this work have met
with satisfactory response to their appeal.
"My reference to insurance legislation passed by the
provincial house during the last session must of necessity
be brief, as little legislation of this nature was brought down.
An amending Act to the 'Life Insurance Policies Act' was
passed on .4pril 14th, dealing with the issuing of 'Policies
on the Lives of Infants.' This amendment is very similar
to the present Ontario Act covering similar policies, with
the exception that it would appear to give a minor greater
latitude in the choice of a beneficiary.
"It is regrettable to notice that no law was enacted for
the licensing of agents, as I know it is generally conceded
amongst insurance men that for the protection of both public
and agent alike some law would be beneficial. During the
early part of this year I had considerable correspondence
with the Vancouver association on this subject with a view
to getting consolidated action in the matter, but I fear our
joint efforts have not met with success."
The Canada Life Assurance Co. has recently purchased
the Jai-vis and the Times' buildings on Bay Street, Toronto,
at a cost of about $500,000. These properties, together with
the present Canada Life building and the Sterling Bank
Building, which has been owned by the Canada Life for over
ten years, rounds out a corner in the financial district of
Toronto with a frontage of 159 feet on King Street, and
236 feet on Bay Street.
August 6, 1920
THE MONETARY TIMES
SterungTrusts Corporation
THE Officers of this Corporation are experts in the
administration of estates, the management of pro-
perties and the investment of funds.
We shall be pleased to consider and advise you con-
cerning any of your problems.
\
iilcnt
H. WARDROPE. K.C.
; _L-President,
A. W. BRIGGS.K.C.
HEAD OFFICE-12 KING ST. EAST-TORONTO
Your Summer Vacation
can be made free fioiii woiiy in regard to business
which might otherwise be neglected, by ap-
pointing this Company to act as your Agent
during your absence. V^'e will be pleased to be
commissioned to collect your rentals or other
moneys, make payment of taxes, etc.. submii'mv
statement of all transactions.
Correspondence and cnquiiu-i invited.
THE CANADA PERMANENT TRUST COMPANY
18 TORONTO STREET, TORONTO
THE
ALBERTA TRUSTS
COMPANY,
LIMITED
FINANCIAL
AGENTS
SlocJtM anJSor^. Fitt
Insurance, etc. Real Eitakami Farm ban
ii. yoluaton.eU
Correspondenc
solicited
Unioi
1 Bank B
uildtng
Edmonlo
n. Alberta
C. S. W
ALLIS.
Geo.T. Br
IGC, J
J. A»[>I!RtOS.
Prcsii
ent
Vice-Prcs. and Secretary ManaRinR Dirccinr |
WESTMINSTER TRUST COMPANY
Head Otfice - NEW WESTMINSTER. B.C.
GENERAL FINANCIAL AGENTS
AJmlnitlrcltn. RtcHrtn. Extnfn. l.ltmljtitn. Auttm—t. rniMi
I- A RlllDHl.!.. M .r.icr
F. S. RATLIFF & CO.
FARM LANDS— FARM LOANS
STOCKS AND BONDS
Medicine Hat Alberta
The Security Trust Company, Limited
Head Office - Calgary, Alberta
Liquidilor, Trotlce, Recti'
Adiiiiniilralor, Executor.
\V M. CONVACHER
r. Slock and Bond Broken
General Financial A|enli
A Newspaper Devoted to
Municipal Bonds
THERE is published in New York City a daily
and weekly newspaper which has for over
twenty-five years been devoted to municipal
bonds'. Bankers, bond dealers, investors and
public officials consider it an authority in its
field. Municipalities consider it the logical
medium in which to aniHHinc-e hoiul oflTermgs.
Write for free specimen capita
THE BOND BUYER
S7 Pearl Street
New York. N.Y.
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
ACCOUNT KODKS
Loose Leaf Ledgers
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS umited
Simcoe and Pearl Streets TORONTO
COLLECTIONS
R. G. DUN & CO.
Dominion Bank Building, Toronto. Canada
THE MONETARY TIMES
Volume 65.
GREAT LAKES-ST. LAWRENCE CONGRESS
Canadians Take I'rominent Part in Detroit Meeting— Deep
Waterways Sclieme Approved by Representatives
of Tliirty-Five States
A GREAT Lakes-St. Lawrence Tidewater Congress was
held in Detriot, Mich., July 22-24. Many Canadians,
including 15 aldermen, Mayor Church and Controller Gib-
bons, of Toronto, and representatives from Hamilton, Lon-
don, and Windsor, attended. 0. E. Fleming, of Wind-
sor, president of the Canadian Deep Waterways and Power
Association, was one of the prominent speakers. Refen-ing
to Senator Lenroot's remark that Canada and the United
States should work in harmony on this project, he said: —
"Senator Lenroot was right when he said that it was un-
thinkable that ti-ouble could ever arise between the two
great English-speaking nations which could not be settled
by arbitration." Mr. Fleming presented a resolution from
the Canadian delegates that all organizations in Canada de-
voted to the waterways movement were solidly behind the
principleaf for which the Great Lakes-St. Lawrence tide-
water stood, and that they would bring the matter promin-
ently before the Canadian government with the aim of
securing united action on the project.
Efficient Transportation is Desirable
"This is the most important matter which has faced
Canada since Confederation," declared Mayor T. L. Church,
of Toronto. "We must go ahead with the project; we mast
not stand still on a question of such international com-
mercial importance. 1 hold the hope that everyone here
will live to see the fulfilment of our visions of a waterway
from the lakes to the sea. From every angle the project
is desirable. It means cheaper transportation, greater pro-
duction on our farms and more rapid and efficient handling
of all the products of the sea, the farm, the forest and the
mine.
"There will be no ti'ouble between the United States
and Canada. The Americans are our own people, and blood
is thicker than water. You are one with us in these high
democratic ideals of right, justice and honor. In all the
4,000 miles of border between the two countries there is not
one pennanent armed force and no fortifications except for
one little old fort at the mouth of the Niagara River."
Endorsation of the deep waterways scheme was re-
ceived from 35 of the states of the union before the con-
gi'ess closed on Saturday. Herbert Hoover, war food ad-
ministrator of the United States, voiced his approval of
it as follows : — "To-day both railways and waterways are
far behinlthe productivity of our country on every hand.
Agriculture and general industry are embarrassed by the
lack of transportation; the margins between the producer
and consumer are extravagantly widened by failure to
secure proper distribution. As our country grows in its
productivity it will be found that the outlet for the proper
transportation of bulk commodities will lie rather by water
than by rail between those points where such transportation
is possible."
Resolutions Passed
The report of the committee on resolutions was received,
and the congress passed resolutions calling on all civic,
state and commercial bodies throughout the country to take
up the work of spreading everywhere the merits of the
canal proposal to the end that the demand will be made upon
the government with such pressure as to bring about if pos-
sible an immediate undertaking of the plan. Another re-
solution declared that the proposed improvement was "not
only physically feasible," but of "great utilitarian service
to the nation," and still another recognizing that the St.
Lawrence River was one of the world's richest and most
potential power resources, and urged the "immediate de-
velopment of this power for the eninchment of Canada and
the United States, the lightening of human burdens and
the conservation of 24,000,000 tons of coal a year."
CENTRAL ELECTRIC STATION INDUSTRY IN CANADA
Capital Investment on January 1, 1919, was $401,942,402—
Income for Year, 853,549,133 — Large Industrial Centres
Now Served With Hydro-Electric Power
EVIDENCE of the extensive development of one of our
imported fundamental industries is given in the second
report of the census of central electric stations in Canada,
recently cohipleted by the Dominion Bureau of Statistics
in co-operation with the Dominion Water Power Branch of
the Department of the Interior. The census includes all
stations which distribute or sell electrical energy for light-
ing, heating or general power purposes and excludes indus-
trial organizations developing electrical energy as primary
power for only their own direct use.
The report is complete to January 1, 1919. The statis-
tics are given by provinces as well as for the Dominion as
a whole and are so divided as to provide separate data for
publicly owned and privately owned stations and for stations
deriving their power from water and from fuel. The main
features of the report are as follows: —
Capital and Employees
The total capital invested in central electric stations
is $401,942,402, of which $356,547,217 represents the inves-
ment in power development and transmission and distribu-
tion systems and $45,395,185 represents miscellaneous
supplies and working capital. The commercial or privately
owned stations reported 71.7 per cent, of the total capital
investment and the municipal or publicly owned stations
28.3 per cent. The total number of persons reported as
employed in the industry is 9,696 with salaries and wages
amounting to $10,354,242.
The aggregate receipts from the sale of electrical en-
ergy for all stations amount to $53,549,133, of which the
commercial stations reported $33,190,882, or 62 per cent.,
and the municipal stations $20,358,251, or 38 per cent. It
should be noted that this revenue includes the income re-
ceived from the re-sale of energy purchased in bulk by our
central station from another central station. The re-sale of
energy by a second station must obviously take care of the
purchase price of such power and the distribution charges.
Power Installation
The total capacity of primary power machines is re-
ported as 1,958,642 horse power, of which 1,841,114 horse
power represents the installation in principal plants and
117,528 horse power, the equipment of auxiliary or stand-by
plants. Of the total capacity of primary power equipment
in principal plants the commercial stations reported 77.9 per
cent, and the municipal stations 22.1 per cent. The capacity
of the water wheel and hydraulic turbine installation is
given as 1,682,191 horse power, or 91.4 per cent of the total
capacity of all primary power machines in the principal
stations and is 85.0 per cent, of all the primary power equip-
ment of both principal and auxiliary or stand by stations:
the steam reciprocating engines and steam turbines 145,637
horse power or 7.9 per cent; and the internal combustion
engines 13,286 horse power or 0.7 per cent, of the principal
station primary power equipment.
According to a recent census 72.7 per cent, of the total
water power developed in Canada is employed in connection
with the central electric station industry. Quebec, Ontario,
Manitoba, British Columbia and the Yukon Territory, each
derive over 95 per cent, of their total central electric station
power from water. The capital invested in the Hydro-
electric stations and the non generation stations which pur-
chase their power from these hydro-electric stations is $364,-
477,961 or 90.7 per cent, of the total invesment of all central
electric stations in Canada. Prctically every large industrial
centre is now served with hydro-electric power and has
ample reserves of water power within easy transmission
distance.
August 6, 1920
THE MONETARY TIMES
tl
is extended to our cus'
modern and commod..j
BUILDING, corner Vic
To the friends of ihc institution we express our appreciation for
•ir patronage ard loyalty in the past, and offer every assurance
It the improved facilities now at our disposal will enable us to
ider even a greater measure of service in the futuie.
Telephones urch:ini:ed— .Uni'i, r:."'^!-?. .'.
Union Trust Company, Limited
HENRY F. GOODERHAM. Pre.idrnt
TORONTO - - Richmond and Victoria St».
WINNIPEG. MAN. LONDON. ENGLAND
i% on Savijtos— Wilhdrauahlc hy Cli,
T^e imparliality of the acts of a TRUST COMPANY and its freedom
from improper influences are some of the advantagef offered in
The Management of Estates
We will gladlv discuss this iiiatier with vou
CAPITAL. ISSUED AND SUBSCRIBED
PAID-UP CAPITAL AND RESERVE
f 1, 171, 700.0(1
1.172.000 00
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE: WINNIPEG, CAN.
TO THE WORKERS OF CANADA
^'^-' 'j^i; sequence of the
■^:*»f!».— great nvar, there is a
. •" 7;t''%: certain aiiiounl of
\i' '- unrest in this and
itries, but
CANADA condi-
■ ^'j:)K'^^'.i' j^; tions are fundamen-
tally sound.
_{'"'i^-'\ The wise Canadian
worker will noltlisten
to those who would
disturb the economic
i> system which is at
I ' the basis of our gen-
* ^ unrest in I
• 1 other count
"i^ in CANAD/
f.(f;
systematically
ings account.
eral prosperity.
,^^^ if conditions are fair
'Vj'jf keep working steadi-
^^ ly and store up some
of the fruits of your
labor by saving
nd depositing regularly in a snv-
BANK OF MONTREAL
Eitablished over 100 ytart
lir«nchr
»ll
, I .n>d;i
/ing* Department* at all Bri
Tot.I Ai.el. in cjiceM of »500.000.0(lO
HEAD OFFICE: - - MONTUt \l
Canadian
Financiers
Trust
Company
Head Office
Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for iuvestnieiu in
.ill classes of ."^vcurilii-s
Busioess Agent for the R
. C. Archdiocese of Vancouver
Fiscal Agent for B. C. Municipalities. 1
Inquii
ic* Inoiled
General tlniiiiKer
i.i<'ui.-(<ii. <-. II. nouitij 1
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acts hi Executor, Adminiilralor, Trutlcc, Guardiin, Liquidator
Aiiitnce, anii in tnjr olbcr (idociarjr capacity.
Official .■Administrator for the Northern Judicial
District and the Dauphin Judicial District in
Manitoba, and Official Assignee for the Western
Judicial District in Manitoba and the Swift
Current Judicial District in Saskntclicw.tii.
Branch Office
Swift Current, S«»Uatche
JOHN R. LITTLE. Managing Director
THE BANKERS
TRVST CDMD\NY
Auth
Head Office*: MONTREAL
d Capital $1,000,000
orize
PretUtnl ■
SIR H. MONTAGU ALLAN. C.V.O
Vice-Pfciiticntt ■
A J. DAWF^ D. C. MACARO'V
JAMES ELMbLY - Ctocro/ Manattt
C. D CORNELL - - SctrcM^y
Diractorsi
Sit H. Monla«u Allan. I D. G. Kiptwn T E M'T"
- C.VO W. B.Leilch
T. Ah
G. L Cair-
A. J. Dawr.
A. B. E«an.
Dand N C Hon
J. M. Kilboum
„ „ „ \jJCvi 1 R M~«fc.
S.I F. On l-«wi«. Ban. Ka.<iuh.r K.>l.r««or.
Tho.. Uo, H„„l>.,„.r >*,!....
n C. M«:arow I" Ho-...* «/•■'.
W. A. Meldrom K.l«.rH M.I.-. ■
F. E. M«t«l.<h. K.C. J-*n W il~m
Offices now open in Montreal. Winnipeg,
Calsary, St. John, N.B . Halifax. Rcgin*.
Vancouver. Victoria and Toronto.
Prcmiies in Merchsnti Bsnk BuildioK in f»cb tily
22
THE MONETARY TIMES
Volume 65.
WHOLESALE PRICES DECLINE IN JUNE
CANADA'S IMPORTS SHOW NO ABATEMENT
Index Number in that Month was Lower than in May —
Sugar and Paper Register Increases
DECREASES in many commodities feature the June state-
ment of index numbers, compiled by the Department of
Labor. In wholesale prices the index number fell to 349.3,
as compared wath 35C.6 for May, 284.1 for June, 1919, and
13.5..3 for June, 1914. There were increases in oats, barley,
corn, cattle, cheese, sugar, cotton goods, iron products, coal,
coke, gasoline, coal oil, bricks, chemicals and paper.
The index number of wholesale prices is based on the
quotations for 261 commodities, and is the average of the
percentages of current prices of the several commodities in
relation to the average prices for the base period, 1890-1899,
these being, therefore, made equal to 100. The quotation for
most farm products are obtained weekly and averaged for
the month; the quotations of other commodities are taken
for the middle of the month.
A comparative statement of index numbers of wholesale
prices by groups of commodities for June, 1920, follows: —
(DEPARTMENT OF LABOUR
FIGURES)
■a
oH.t;
NDEX N
UMBERS
♦June
IS-JO
411.3
451.3
350.8
413. tl
31)7.2
318.3
289. J
476 6
3ti9.1
282.0
268.6
281 3
273.8
228.1
2.U.«
270.9
760.7
216. 3
4U4.3
327.9
2.2.7
6!6.8
241.5
316.2
376.3
392.7
203.8
671.9
595 9
308.7
410.5
269 8
315.0
339.7
305.3
271.1
221 9
251 7
248.1
375.8
281.6
330.1
533.9
251.6
472.9
398.5
451.3
S04.9
161.1
292.2
339.2
233.0
900.3
320.8
218.5
in. 2.
349 3
*May
1920
410.6
410.5
336.5
112.6
371.3
371 6
297.2
476 6
371 8
292.0
261.6
32 .'.5
2|J6.6
312.5
22.. 9
283.1
819.0
216 3
128.5
3i7.9
222.7
634.1
211.5
318.6
3«5.3
399 3
223,9
623.7
595.9
308.7
122 0
398 3
315. C
339.7
305.3
275.4
232.7
250.3
252.3
3:13.4
258 7
301.1
631.9
2.W.6
189. B
103.0
451.3
5U4.9
161.1
2«2 2
389.2
230.2
1072. 1
316.8
212 2
451 1
356.6
*June
1919
326 5
346 6
308.8
325.9
361.3
11(1.1
292 2
o'T 9
384.8
276.1
2i2.8
22i.9
222.8
275 7
216 5
306. 1
3. '3 i
195 5
2i4 7
25U.7
207 8
285.2
a26,9
247.1
373.1
361.1
168 2
4^6 6
166 1
261 9
358.9
16S.5
272.3
281.8
316 2
200.0
183.2
238.1
205.5
221 9
210 4
229 3
286.0
218.7
3H2.0
280.1
332.1
375 1
155 1
2<3.8
.301 2
223.5
854 0
■MJ
381 '5
2.'i4 1
June
1913
I. Grains and Fodders:
Grains. Ontario
Western
6
15
17
10
14
10
6
S
•iS
6
(
3
2
t
2
■iO
4
4
3
11
11
12
10
33
«
4
10
14
20
14
48
8
4
■i
4
16
16
1
6
7
17
135.4
l-.i4.3
134.9
13.'. 2
II. Anisials and Meats :
191.8
Hogs and hog products
186. 2
185.1
184.7
188.8
III. Dairv Products
137.0
151.8
169.9
All
V. Other Foods :
iA) Fruits and vegetables
1B0.9
121.1
Fresh fruits, foreign
122.8
108.1
Fresh vegetables
Canned vegetables
166.9
125.2
128.8
(b) Miscellaneous groceries
123.1
114.1
HI. 7
99.6
All
VI. Textiles:
115.2
131.0
113.0
87.4
210.3
114.1
106.7
All
129.5
VII. Hides. Leather, Boots and Shoes:
180.5
Leather
151.4
155.7
All
163.2
VIII. .Metals and Implbbents:
101.5
131.8
105.6
All
115.3
IX. Fuel and Liohtino:
Fuel
131.3
92.2
All
lis. 6
X.Bun.DiNO Materials:
183.1)
1124
114.7
All
112.5
XI. House FuRNiSHiNos:
Furniture
148.6
130. C
72.4
117.8
All
125.2
XIII. Miscellaneous:
Raw Furs
112.8
32-.. 1
Sundries
131.7
All
113.4
170.7
2fllt
163.1
Exports Decrease, However — Dominion is Selling Less to
United Kingdom, France and Japan — Tendency to
Buy More from Those Countries
FOR the twelve months ended June, 1920, Canada's trade
statement shows no marked changes as compared with
previous records. Imports continue to advance rapidly, while
the increase in exports is small in proportion. There was
a further falling away in exports to the United Kingdom and
a tendency to buy more from that country. There appears
to be no abatement in the flow of goods from the United
States to this country, and if the advance continues at the
same rate as it has been doing for some time past, Canada
will soon be buying twice as much from her southerly
neighbor as she is selling. Trade with the colonies and
foreign countries does not appear to show such good results,
there being a falling off in exports to many countries, notably
in Australia, France, Italy and Japan.
The following table, prepared by the Dominion Bureau
of Statistics gives the trade of Canada by countries for the
twelve months ended June, 1920, as compared with previous
years: —
OR Consuhption
Twelve Months ending June
526.012,577
396.169.034
Total imports (mdse.) | 922.181,61 1
1919
s
S21.391.I68
348,109,248
Duty collected.
Exports
Canadian
Foreign.
Total exports (mdse.).
Imports bv Coun
United Kingdom
Australia
British East Indies
British Guiana
Brttish South Africa ...
Britsh West Indies
Hong Kong
Newfoundland
New Zealand
Other British Empire . . .
Argentine Republic
Belgium
Brazil.
China
Cuba
France
Greece
Italy ..
Japan
Netherlands
United States
Other Foreign Countries
Exports by Countries
(Canadian Produce only.)
United Kingdom
Australia
British East Indies
British Guiana
British South Africa
British West Indies
Hong Kong
vfoundhmd
New Zeala
Other British Empire.
ArKcntinc Republic ...
liclsiimi
Netherlands
United States
Other Foreign Countries .
1.259,568.977
75,091,775
4.954,257
14.081,888
7,335,218
898,330
8,339,002
1,814,207
2,940,892
7,868,841
482,606
1 ,043,988
S.399
1,240.325
1.340,244
4,378,918
4.121,547
579
467,887
13.013,476
686,435
696,370.469
23.024,133
344,581,834
13.355,398
4.579,613
2,361.871
10,492.024
9.660.389
962.892
11,857,266
5,698,953
3,491.229
5.492.102
1.268,456
4,241,624
2,926.839
5.7!I9.777
82.284.878
1,663.602
15.047,826
11,916,035
1,S77,289
439,983.496
22.333.730
177.494.102
!, 356,064
18,564,(>%
7,135,144
732.838
13,564,807
4,510.l.<;3
2,635,160
3.782,957
1.628,573
4,012,971
2,246,S4.S
2,532.82(1
1,650,885
27,905,722
15,874,9M
922,164
1,486,040
15,010,625
2,934,040
861,103,465
43,119,792
436.352.096
11.788.845
6.400,185
3,316.»I8
10,526,963
11.916.191
1,891,700
17,983,397
8,704,189
7875.542
6,1.'<0 749
35,797.469
3,029,l.'v(
7,388.237
6,617,569
56,730,264
38.520,335
13,418.546
8,367.835
4,643,060
488,974,311
46,259,144
•Preliminary Hgures. (Ten commoditiesofT the market, fruits,
""e line of spelter was dropped in I91S.
vegetables, etc.
The 1921 annual meeting of the National Fire Pro-
tection Association, will be held in San Francisco, Gal.,
June 7 to 9, 1921, according to a decision just announced
by the executive. This will bo the 25th annual meeting of
the association.
August 6, 1920
THE MONETARY TIMES
INVEST YOUR SAVINGS
in a ^%% DEBENTURE of
^ Q The Great West Permanent
O 2 /) Loan Company
SECLRITY
INTEREST P'^'d-'T Capital $2,412,578.81
Resenes 964,4S9J9
RETURN ^^^"^ '•'"''■""'•
HEAD OFFICE, WINNIPEG
I BRANCHES: Toronto, Regina, Clgary,
' Edmonton, Vancouver, NictoriB ; Edinburgh,
Scotland.
IT IS A MISTAKE
to carry much niuury nn wnir j^iiur ' , ^' ", ' j -i-ni .tinl
pay by chenuc. N'oi only will your (untfs l>r .il'iouiirlv •.^Ir «rid
available al any lime you may require iheni, but by having your
account wilh this Corpomtion you will enjoy the idvanuget o( our
excellent service and our rxpertrncr of o\f*r siMv-five yeais in dealing
wtib many thousands of drpoi^itorb Intrrebt .it
THREE AND ONE-HALF
per cent, per annum will he added to your account and compounded
twice each year.
Canada Permanent Mortgage Corporation
TORONTO STRF-F.T T<>R(iNTO
Established 1855
Long before Dominion Day u.'ai a Legal Holiday
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
.Masonic Temple Building, London Canads
Interest at 4 per cent, payable half-yearly oti Debentures
T. H. PURDO.M.K.C. President NATHANIEL MILL.S. ManaRer
The Hamilton Provident & Loan Society
Head Office. Kins Street. Hamilton. Ont.
Capital Paid-up, (1,200,000. Reserve Fuid and Sorplos
Profits, 11,280,670.69. Total Assets, t4,764,81«.21.
TRUSTEES AND EXECUTORS are authorized by Law to invest
Trust Funds in the DEBENTURES and SAVINGS DEPARTMENT
of this Society.
GEORGE HOPE, President D. M. CAMERON. TreasurcT.
^"^ Ontario Loan
& Debenture Co.
LONDON LscoRPORATEi) IbTO
CAPIT.-^L A.ND UNDr\-iDED Profits
Canada
$3,9<«i,0<>0
5
10/ SHORT TKRM<3 TO 5 YEARS) j^ \ Q
- I DEBENTURES
2/0
YIELD INVESTORS
5
0
JOHN McCLAKY. Prcsulcnt
A M SMAKT M.n.jer
(^VER 200 Corporations,
^-^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Office, No. 13 Toronto Street
Capital Account. l!i:«».V.(I.IH» K.-.crvc Hun.l lauto.ooo •«
Tol.il Assets. •;i,:;i9.i.'n.»«
President. WeLLIMiTON KKANCIS. I>J . b C
Vice President HEKHP.HT l.A.VOLOIS. B»g
Debentures issued to pjy .v.. a l-eitJl Investmrnt (or Trutt Fund«.
Dcrosits receivcd.it 4 interest withdrjwable hy chcguc.
Loans m.ide nn imprnve.! Real P.st.ilc on l.ivorahle terms.
WALTER GILLESPIE. Mi»n««er
Six per cent. Debentures
Interest parable half yearly at par at any bank In Csnwls.
Parlkulars on application.
The Canada Standard Loan Company
520 Mclnlyrt Block. Winnipeg
Port Arthur and Fort William
Realty Investments
Inside City and Revenue Producing Property.
Mortgage Loans Placed.
Write us for illustrated booklet descriptive of
the tvk^in Cities.
GENERAL REALTY CORPORATION, LIMITED
Whalen Building. PORT ARTHUR. Ontario
IRON MINE
FOR SALE
COUNTY OF RENFREW
Neat Perth
For lull particulars, report ol assay, ate . apply
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAV »nd MELINDA STS.
TORONTO
THE MONETARY TIMES
Volume 65.
MUTUAL UNDERWRITERS' FIRE PREVENTION PLANS
Efforts in Past Not Very Successful — Special Company for
Windstorm Insurance Proposed — Progress of
the .Mutual Movement
''TT^DUCATING the people, as a whole, on the prevention
-C^ of fires is hard, uphill work; in fact, it is very similar
to many other ideas that would be of use and benefit to
the people," said Stratton Whittaker, vice-president of the
Western Canada Mutual Fire Insurance Association, at a
meeting held recently in Calgary. Delegates from the
three prairie provinces were present, and plans for fire pre-
ventive work wci'e discussed in detail. "In these days,"
continued Mr. Whittaker, who represented the Portage la
Prairie Farmers' Mutual Fire, "it seems that nobody has
time to read any literature of the type that is issued by the
Ontario Fire Prevention League, a booklet that is most
interesting, chiefly so because of the many true statements
that it contains. It certainly would appear from information
obtained by the fire inspectors of the various provinces that
practically no results have been obtained up to the present
by the system of issuing booklets in limited quantities. If
this is the case, then different methods should be used. I
believe that an aggressive campaign could be started if the
Dominion government and the various provincial govern-
ments could only see their way clear to provide a fund for
this purpose, and no doubt, if the case was presented to them
with some concrete line of action prepared, there would be
no difficulty in obtaining some real help."
Suggested Methods
Mr. Whittaker suggested that in such a plan of action
the city and rural districts be kept separate, as different
methods would be needed. Moving picture films in theatres
and the assistance of the education departments could be
utilized to advantage in the cities. The same methods could
be used to some extent in the country, but here the mutual
companies could also be of great help, as they are in close
touch with the people. In the rural districts fire extinguishers
are very useful, and he suggested the association as a medium
for obtaining a satisfactory extinguisher at a fair price.
John Evans, of the Saskatchewan Farmers' Mutual Fire,
discussed the same subject, and expressed the opinion that
many of the losses from "causes unknown" were due to
smoking.
A. Van R. Schermerhorn, of the Royal Victoria Mutual
Fire, presented the report of the committee on fire preven-
tion, stating that moving pictures, card follow-up systems
and other methods had been discussed. It was decided to
recommend to the directors of the different mutuals that an
additional charge be made in premiums in the case of farm
buildings situated within 100 feet of a buildng within which
fire is used.
Windstorm Insurance
Murray G. Doyle, of the Miniota Farmers' Mutual, stated
that, from the experience of members of the association, a
considerable loss was being sustained at the rates charged
for windstomi and cyclone insurance. The Saskatchewan
Farmers' Mutual Company last year had paid out more than
its premiums for five years, and his own had paid out more
than double the premiums for the year. "The accumulation
of a reserve to take care of exceptional losses arising from
windstorm appears to me to be absolutely necessary," said
Mr. Doyle. "It is an established fact that we can, through
experience such as some of our companies have had, arrive
at a reasonable estimate of what our average annual lire
loss will be, but with windstorm and cyclone losses this is
not the case. Also through reinsurance we can disti-ibute
our individual loss and limit our liability on any one fire,
but unless each company confines its liability under wind-
stonn covering to a stated amount of insurances per town-
ship, for example, it is impossible to protect ourselves against
possible excessive loss. To do this would entail plotting and
mapping similar to that used by hail offices, and the expense
would not, to my mind, be justified. This would incidentally
react on our fire and lightning volume to a certain extent.
"After careful consideration of this subject from all
angles, I have come to the conclusion that our existing fire
mutuals should discontinue wndstorm business entirely.
Should it be thought advisable, a mutual company could be
formed, as they do in the United States, to do a windstorm
and cyclone business only, distributing the business over as
large an area as possible so as to minimize the probability
of too large a loss from any one storm. This company should
be run on a purely mutual basis and not on a cash plan.
Additional assessment should be made annually for the pur-
pose of reserve in the good years, so as to provide for the
emergency which will sometime, sooner or later, come. In
this way the assessment could, to a great extent, be
equalized."
Mutual Principles
An address on "Mutual Principles," by P. R. Reed, of
the Western Mutual Fire, was read. The mutuals of the west
had been very successful, he said, in carrying out their object
of furnishing insurance at cost. They had their difficulties,
however, in the form of excessive valuations, incendiarism
and tlie collection of assessments. The agents sometimes
laid too much stress on the low cost of mutual insurance,
and should rather emphasize the fact that the business was
for the benefit of all rather than of one. A campaign to
impress the mutual spirit might produce good results. "I
believe we are just on the verge of a great awakening of
the masses to the advantages of co-operation. The mutual
fire and hail organizations now in existence should be very
careful if the fullest benefits of this are to be realized.
Capital to-day is very unpopular with the masses everywhere
in the world. In many cases this wave of criticism is unjust,
yet it is here, and very likely will be for some time to come.
Co-operation will alleviate the conditions which have pre-
vailed, but we must have co-operation for construction, for
bettering the world, and not for the purpose of destruction.
We, whose hearts are with this movement, must use all our
capabilities to see that an upbuilding tendency is fostered,
and we can do so by educative propaganda in our own par-
ticular sphere — mutual insurance."
Officers elected for the coming year were as follows:
Murray G. Doyle, president; Stratton Whittaker, vice-presi-
dent; J. L. Brown (Western Mutual Fire), secretary-
treasurer.
STOCK BROKERAGE FIRM SUSPENDS PAYMENT
Thornton Davidson and Co., members of the Montreal
Stock Exchange, suspended payment on July 28th. The mem-
bers of the firm are Hugh G. Davidson, L. A. Wyse and Colin
O. Cameron, all three holding seats on the exchange. Mr.
Cameron has been the active head of the firm in recent
years. It was founded about twelve years ago by Thornton
Davidson. The firm of Thornton Davidson and Co., Ltd.,
bond dealers, is not affected by the suspension of the stock
firm.
This event was not entirely a surprise in financial circles,
as it has been known for some time past that the firm has
been having difficulty in meeting loan calls, which have been
frequent in the market generally for months past. Their
position was aggravated by the fact that collateral on which
loans were passed were inactive stocks, and on which realiz-
ing was practically impossible at the present stage. The
firm did not meet its clearing house obligations on Wednes-
day morning transactions, and no business was transacted
on the floor by its representative on Wednesday.
With reference to this suspension, an official of one of
the banks interested said: "This is one of those unfortunate
incidents not always avoidable in a period of great stock
market activity. The situation, however, is understood to be
well in hand, and, apart from the delay w^hich will necessarily
follow in the liquidation of the securities, there is nothing
of a very disquieting nature involved; on the contrary, it will
tend to clear the atmosphere and put a stop to unwarranted
and disturbing rumors. Any advances we have made the firm
from time to time were, of course, secured by the customary
stock market collateral."
August 6, 1920
THE MONETARY TIMES
New Telephone Rates
Are Necessary
OUR existing rates for telephone service are
inadequate. The revenue is insufficient to
pay our operatinc expenses and secure the
fair return required to attract new capital for
extensions and additions to the system.
It is not strange that this should be the case.
Our revenues are not keeping up with our ex-
penses. All telephone materials and supplies
have increased enormously in cost ; wages have
gone up; during the twelve months ending 30th
June, 1920, our payrolls increased over $3,100,000.
To meet the greatest demand for telephone
service in our history, we have made extensive
additions to the system, which, under present day
conditions, have involved an abnormal expense.
Our 1920 expansion programme calls for an ex-
penditure of over $10,000,000, and to meet the in-
creasing demand for telephone service, we must
continue to expend large amounts annually dur-
ing the next few years.
The continued development of telephone service
depends upon adequate revenue. Inadequate
revenue means a repetition in the telephone busi-
ness of what happened to the American railroads.
You know their story. Inadequate rates stifled
their development and every community in that
country is suffering as a consequence. Inadequate
telephone rates will produce similar results In the
(«l<|ilumc field. It is unthinkable that this will be
permitted. .Adequate telephone service is of the
utmost importance to the public; without it the
business and social interests of every community
must suffer.
The plain fact is we have reached a point
where we cannot maintain a satisfactory and
comprehensive telephone service unless "■• ir.
assured of sudicient additional revenue.
It "ill be necessary to establish new rates for
telephone service, and schedules, which »e hope
will furnish the needed relief, will be filed within
a few days with the Dominion Board of Kailwu>
Commissioners. These schedules will yield onlj
reasonable assistance. The facts regardinit the
necessity for the new rates will be given to the
public through the advertising columns of the
newspapers and through other channels.
Public sentiment and public necessity demand
the maintenance of adequate telephone service.
Business men particularly reali/e the fact that
increases in telephone rates arc necessary in these
abnormal times to Insure a continuance and ex-
tension of service.
Ue desire to keep our busineiiH upon .i sound
litianrial basis and we believe that when you
know the farts you will support us in this en
deavour.
The Bell Telephone Cc
of Canada
THE MONETARY TIMES
Volume 65.
THE UNDERWRITERS MENTAL RESERVE
How Prospect's Mind is Influenced— Rtetail Merchants Turn
Down Insurance Proposal — Other Developments at
the ('oast
(Special to The Moiiflary Times.)
Vancouver, July 27, 1920.
«»rp HE Underwriter's Mental Resei-ve" was the title of a
X lecture given by G. J. A. Reany, of Edmonton, at the
monthly luncheon of the insurance men of Greater Van-
couver "a few days ago. Mr. Reany went into the mental
make-up of man and showed the manner in which the ob-
jective mind draws upon the subjective mind, which is a
sort of mental storehouse, for its arguments. The speaker
stated that an insurance man who depends entirely on his ob-
jective mind will fail— -that a man who is all subjective
mind is insane — the equipose between the two produces a
genius. When we sleep our subjective mind creates dreams,
and if our objective mind takes hold of the dream just as
we are waking, we remember the dream, othei-wise we do
not. Our subjective mind enables us to feel the presence
of a person before we see or hear them. It is a sixth sense.
The Part-time Agent
In canvassing for insurance, the salesman who has a
perfect mental equipment can, with his objective and sub-
jective mind, meet every argument as it comes up, and
convince the prospect that he should have insurance or more
insurance. The great evil he has to contend against, how-
ever, is the fear of the spotter, the part-time man who steals
the product of his brain to secure the risk behind his back.
He believes that insurance companies should unite in elim-
inating the part-time man, which would elevate the profession.
He claimed that if this was done, in ten years time the life
insurance men would take their right place in the business
social scale which they do not enjoy now, although the class
of agents engaged in life insurance were 50 per cent, better
men than those professing to be life insurance agents ten
years ago, and it was largely due to the life insurance agents'
associations of Canada and the United States which had
brought this about.
Continuing, the speaker said that the salesman's mental
reserve depended essentially on — first, sound knowledge of
his business, for knowledge was power; secondly, a proper
appreciation of business methods; and thirdly, a thorough
consciousness of business ethics. Men, he said, must be
honest as well as religious, and some men he knew who
professed religion were not honest.
"The keenest and most successful business men to-day,"
Mr. Reany said, "are those who stand out for real ethics
in business life — you cannot eliminate business ethics and
be safe." He made a strong appeal for the professionali-
zation of insui'ance work. He produced figures to show that
those companies who eliminated the part-time man, which
meant an actual reduction in the working staff, \\TOte far
more business than when part-time men were engaged.
Insurance for Retail Merchants
J. F. Martin, of the Martin Agencies, of Seattle, ad-
dressed the members of the Retail Merchants Association of
Canada, in session here on July 22, informing them that
the Northwest Mutual Fire Insurance Company of Seattle
was ready to amalgamate with the Retail Merchants Asso-
ciation for the purpose of giving them cheaper insurance.
This is the same company who are claiming to offer cheaper
rates to automobile o\VTiers for their insurance, provided they
are members of the automobile club. It was suggested in
reply to IMr. Martin that it might be better for the retail
merchants to form their own company. A committee was
appointed to report upon the whole matter the following day.
Mr. Martin was allowed thirty minutes to talk on insur-
ance matters generally, and he took the opportunity, inci-
dentally, to boost his own company, its method, and his own
liersonal success in the field. As a result of the committee's
report, it was recommended that no particular insurance
company should receive assistance from the Retail Merchants
Association, and that though every merchant should be free
to insure where he chooses, it is considered that mutual
companies should receive favorable consideration, and in
any event, that a Canadian, rather than an American
Company, should be chosen.
Vancouver Fire Protection
Some years ago the local press advocated that Van-
couver should have a fire boat. The authorities paid no
attention to the matter, and shortly aftei-wards a disastrous
fire occurred in Burrard Inlet. The authorities woke up to
the extent that numerous enquiries were made as to the cost
of new and old boats which could be used for the purpose.
The cost appeared very large and the idea of providing added
fire protection for the water front was abandoned. Again,
to-day, the press are urging the authorities to rouse them-
selves to the danger of a sei-ious fire on the water front
gaining headway with feai'ful results owing to there being
no fire boats to fight the flames. Will the city again side-
track the issue, and, if so, with what result?
PAPER CIRCULATION AND GOLD RESERVES
Canada Has Alternative of Building Up Reserve to Improve
Currency, or Exporting Gold to Correct Exchange
By A. B. Barker
PROFESSOR LEACOCK advocates the paying out of the
gold in the Canadian treasury at once in order to
reduce the rate of exchange between Canada and the United
States — in other words, voluntarily parting with our specie
reserve. In thus utilizing the gold in the ti-easury, instead
of keeping it as a reserve, he does not suggest abandoning
the gold standard. On the contrary, he states emphatically
that only by maintaining this standard can we hope to return
to financial stability. It is merely a question of method, his
theory being that the holding of this amount of specie out
of actual circulation is an aggravation of conditions, and
that by using it freely, so long as it lasts, a return to normal
conditions will be more quickly assured.
Gold Reserves in Britain
The history of. panics in London, in the early part of
the last century, to some extent bears out his contention,
as in every case the panic was controlled, and finally dis-
pelled, by the Bank of England fi-eely paying out funds far
in excess of the legal limits, parliament suspending the Bank
Act for the purpose. At the same time, however, it paid out
notes, not gold, this being held as a reserve, though much
,below legal requirements. The cause of the panics was the
fear that money of any sort could not be obtained on any
terms, and, when it was realized that money could be had,
at a price, the pajiic quickly subsided.
Professor Ii-ving Fisher, of Yale, has also developed a
theory, which he calls the "compensated dollar," by which
the unit of gold in the coinage would be increased, or reduced
each month, according to the fluctuation in the value of gold,
measured by the prices of commodities.
It seems strange that suggestions like these can be
made without rousing a storm of protest, but evidently we
have come a long way since the free silver controversy of
thirty years ago. Then the gold reserve, and standard, were
a creed to be fought for, and not fliscussed. There was no
middle ground.
After all, the gold standard is of very recent growth,
barely a hundred years old, in fact, even in the case of its
chief advocate, Great Britain. It came about through the
draining of that countiy of silver at the close of the Napo-
August 6, 1920
THE MONETARY TIMES
27
WK OWN AND OFFER
To Yield 7%
City of Medicine Hat, Alta.
6% BONDS Ul E Jl LY 1st. 1930
Interest semi-nnniially (January and July)
Principal and interest payable at Medicine Hat. Montreal, or Toronto.
Population 11.000. Area 11.242 acres.
.Vssessed valuation for Taxation $11.;183..'134
Net Debenture Debt $ 1.639,791
The Public Utilities of Medicine Hat provide enough revenue to pay their own operation, interest
and sinking fund on utilities debt and provide a surplus sufficient to pay approximately ."i'-s'V on the
balance of the city's bonded indebtedness.
The City of Medicine Hat is situated about midway between Winnipeg and Vancouver, and is the
junction of the C.P.R. and Crow's Nest Line. The C.N.R. will shortly enter the city. The city is well
laid out and enjoys the benefits of Natural Gas, which has resulted in the establishment of a consider-
able number of flourishing industries. The city owns its own power plant, which is a combined
electric power, water pumping and filtration plant.
Medicine Hat is the distributing point for a very prosperous farming and ranching area.
PRICE 92.89 .\ND INTEREST. TO YIELD 7%
i^Emilius Jarvis & Co.
INVESTMENT BANKERS
K,-il:.l.lish.il ]^-y,
Jarvis Building, Toronto
Ordarn ynnji b" telephoned or
Housser Wood & Co.
I N \ E.^TMENT BAN KERS
12 King Street E., Toronto
ieler/raplitd tit our expeiLnr.
fl. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank Bldg., Edmonton, Alta.
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
Lougheed & Taylor
LIMITED
Bond Dealers and Financial Agents
210 Eighth Avenue West, Calgary,
Alberta
Government Municipal and Corporation Bonda
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
. •irhiMil niKl >ji.l.iil<'lii
III. ilrlii'uMlrr> npiiliill
CorrciponJence invidiil
«p,l<Tll .Muillrlplil. •irhiMil mill lii.!. iililn- •< i>" Uuriil Trlr
pliniie 4 II. ilrlii'Ulllrr> npiiliiIKi il In.
GRAINGER BUILDING
SASKATOON
H. H. CAMPKIN
•nsurance, Loans, Bonds, Debentures and Real Estate
Ailrn!lcirCiii".l...nl'jcllK K...:<. -.> i .. I ^n.K.t .. .1, S, .
Wr.t I.:.i. K. I..ir.,l-, 11,.' ,n I..1 c .,,,...,1 I..,., .
REGINA. SASK.
NIBLOCK & TULL, Limited
STOCK. BOND and GRAIN BKUktRS
(Direct Private Wire'
Grain Exchange - Calgary, Alta.
Ill l)i<> Mitlral
m • Crnriol
I '■" "< '^
More l<. a .n
U von wnni o bu'.r ..- ; i \ -rrn j ou v j,.i \,,.
V, HYTE & CO., UMIl LD
I 1 I Pnnfauc HtiildlnB - rrin.onton. Allx^rla
28
THE MONETARY TIMES
Volume 65.
leonic Wars. When, owing to the working of Gresham's law,
the silver coinage of that country had found its way to other
countries, the only coinage left was gold, and the commerce
of the country had to be carried on with that medium of
exchange, and with Bank of England notes, that institution
having suspended specie payments for a number of years.
In 1816 Lord Liverpool introduced his mono-metallic bill,
and gold formally became the sole standard in Great Britain.
A similar state "of affairs exists to-day; the commerce of
Great Britain is carried on through treasury notes, Bank of
England notes and the subsidiary silver coinage, gold being
entirely withdrawn from circulation. There is a gold re-
serve, but, as in Canada, it is held intact, and one is no
longer able to demand gold at the Bank of England counter
for notes presented. It is, in effect, a practical suspension
of specie payments, and yet the business of the country goes
on, not too smoothly, perhaps, but that, apparently, is due
to labor difficulties, and not to any doubts as to the value
of the currency.
Gold Reserve Not Adequate
Thomas Carlyle, in his "French Revolution," speaks of
the "age of paper" during that movement, and with the
f omparlitively small basis of gold for the enonnous issues
of paper money in circulation to-day, it might be said that
this also is an "age of paper." The result of the French
experiment of that time was alanning. but that was partly
due to the fact that those in authority at that time believed
in the system. To-day, no one does, except as a temporary
expedient, and the absolute necessity of a definite measure
of value and basis of issue is clearly recognized and worked
for, whether it is gold or something yet to be decided on.
Economists have long realized the possibility of a change
of, shall we say, fashion. Even the London "Statist" some
years ago remarked, apropos of the demonetization of silver,
that "the fall in the price of silver was not the result of an
over-production of that metal, but of a change in the opinion
of mankind.
It may be that we are on the eve of such a change in
regard to g'old. World-wide changes, as a rule, are not
brought about through any process of human skill or deep
planning. They come through force of circumstances, over
which we have little or no control, and new conditions, neces-
sarily, develop new lines of action and methods suitable to
the altered circumstances. In this connection the terms on
which the late railway strike in England was settled will
be of interest. These were that, in future, the basis on which
wages are to be fixed is the commodity index number. This
standard is a modern idea, and one of which we are likely
to hear much in the future. It is a device for keeping record
of the variations in price of commodities as a whole by
establishing a certain avei-age figure, based on the prices
of commodities in common use. Fluctuation in a commodity
price affects the index number, thus affording a good record
of one of the main factors affecting changing living con-
ditions.
CROWN LIFE
WF. luive a policy to suit every insurance need— iip-
to-dato, liberal in its provisions. Participatinji
Policyholders in the Crown Life are entitled to 95 ,, of
all profits earned by the Company in addition to (hi.
guarantees contained in their Policies.
Tkt Crown Lift is a ioad ComHimy i
r to rrtirfsfitl
Crown Life Insurance Co., Toronto
trfttrfsrnleJ di^t
DIVIDENDS AND NOTICES
BANK OF MONTREAL
Notice is hereby given that a Dividend of Three Per Cent,
upon the paid-up Capital Stock of this Institution has been
declared for the current quarter, payable on and after
Wednesday, the First Day of September next, to shareholders
of record of 31st July, 1920.
By Order of the Board.
FREDERICK WILLIAMS-TAYLOR,
General Manager.
Montreal, 20th July, 1920. 202
THE ROYAL B.4NK OF CAN-4DA
DIVIDEND No. 132
Notice is hereby given that a Dividend of Three per
cent, (being at the rate of twelve per cent, per annum) upon
the paid-up capital stock of this bahk has been declared for
the current quarter, and will be payable at the bank and its
branches on and after Wednesday, the first day of September
next, to shareholders of record at the close of business on
the 14th day of August.
By Order of the Board.
C. E. NEILL,
General Manager.
Montreal, Que., July 16th, 1920. 201
THE CANADIAN BANK OF COMMERCE
DIVIDEND No. 134
Notice is hereby given that a Dividend of Three per cent,
upon the capital stock of this Bank, being at the rate of
twelve per cent, per annum, has been declared for the quarter
ending 31st .\ugust next, and that the same will be payable
at the Bank and its Branches on and after Wednesday,
1st September, 1920, to shareholders of record at the close
of business on the 16th day. of August, 1920.
By Order of the Board.
JOHN AIRD.
General Manager.
Toronto, 19th July, 1920. • 200
Debentures for Sale
TOWN OF KERROBERT
DEBENTURE ISSUE, $4,500.00
Scaled tenders, endorsed, "Tender for Debentures," ad-
dressed to the undersigned, will be received on or before
12 o'clock noon, Tuesday, the 17th day of August, 1920, for
the purchase of a part or the whole of an issue of $4,500.00
debentures.
Ten-year debentures, bearing interest at the rate of
6 per cent.
The highest or any tender not necessarily accepted.
203
W. WHITTAKER,
Secretary-Treasurer.
q;
On Monday last, August 2nd, the Bloncton, N.B., clearing
house was opened for business. The officers are: W. T. White,
chairman; J. B. Hegan, secretary-treasurer.
August 6, 1920 THE. MONETARY TIMES 29
|iiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiriiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiii niiiiiiiiiiii iiii iiiiiiiu
I CHARTERED ACCOUNTANTS |
:;illllllimilllllllllillllllillliiiiiiiiiiiiiiliiiiiiiilllllllllllllllllllillllllllllllllllllllllliliiiiiiiiiiiiiii I iiiiiii iiiiiiiiiilliiilliir
Baldwin,
Dow &
Bowman
CHARTERED
ACCOUNTANTS
Of KICES AT
Edmonton
Alberta
Toronto
Ont.
CHARLES D. CORBOULD
Ckirtered Accounltol and Auditor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipes
Carrespondcnts at Toronto, London. EnR..
HARBINSON & ALLEN
408 Manning; Chamber*
TORONTO
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Bank of Toronto Chambers
LONDON ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
W. A. Henderson & Co.
Chntlcrcd Actounianu
508-S09 Electric Rtilwijr Cktaibcri
Wiaaipct, Maa.
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:
HAMILTON
WINNIPEG
CLEVELAND
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 Confederation Liie Building
Winnipeg
SERVICE
Thome, MulhoUand, Howson & McPherson
CHARTERED ACCOUNTANTS
TORONTO
Hubert Reade & Company
Cbarlcrcd Accounlaali
Aadilori, Etc.
407 408 MONTREAL TRUST BUILDING
WINNIPEG
GEO. O. MERSON Sl COMPANY
CHARTERED ACCOUNTANTS
Telephone Main 7014
LUMSDEN BUILDING - - TORONTO, CANADA
RONALD, GRIGGS & CO.
RONALD. MERRETT, GRIGGS k CO.
Tr...(rf./..J.".'.ilo..
Wiiiaift|.Toroala.S»kalooB,Moo»J>«,
Monlrral. Ne- V...L l.,nA,„ lo.
CLARKSON, GORDON & DILWORTH
Chartered Accounlnnta. rrualcc
Reccvera. LiQuidatora
Merchants Bank Blda.. 15 Wellinston Street Weat ToronI
or Clarlia
Rstahl.'.l -d l^'-' R J. IlilMor
F. C.S. TURNER & CO.
Cbortrrcd Atcou.itanl.
TRl'ST * lOAN BI'liniNC. WINNIPEG
Your card here would ensure it heme if en hy the principal
financial and commercial intertill in Canada.
I a nhout ifiecial r.iirs for thii pafe.
\ ,t «.. W. 1 A H
RUIHERFORD WILLIAIWOH It CO.
^,„,,, . '. r...ii.f..ni<t
MA. TOKItJItO
,.„ •• MO.VTHBAL
1,1- r ».i If wiLLCO ••
Hfrr<%.cnl«J at M» I... St. John. Winnlpra
THE MONETARY TIMES
Volume 65.
BANK UNABLE TO ENFORCE LIEN ON SHARES
Ontario Supreme Court Holds Union Bank Should Have
Advised Lazard Bros, of Fact That it Had a
Privileged Lien
FAILURE on the part of the Union Bank of Canada to
disclose to Lazard Bros., who made large advances to
a customer of the bank, on the security of shares of the
capital stock of the bank which Lazard Bros, supposed to
be held for them by a trust company, but which in fact
stood in the name of the customer and on which the bank
had a privileged lien under section 77 of the Bank Act for
a debt due from the customer, disentitled the bank from
asserting- this lien over Lazard's title to the shares, since
there was a clear duty on the part of the bank to disclose
such facts. This is the substance of a recent decision of the
Ontario Supreme Court in the case of Lazard Bros. v. Union
Bank of Canada.
Briefly the facts of the case were that the late E. E. A.
Duvemet, having an-anged with Lazard Bros., of London,
for a loan, promised to deposit with the Union Trust Co.,
as trustees for Lazard Bros., 500 shares of the Union Bank
and 500 shares of the Union Trust Co. as security. The
dispute arose over the ownership of 200 shares of the Union
Bank which were held in trust for Lazard Bros, by means
of a stock certificate The bank claimed ownership of the
shares in question because of a debt owing it by Duvernet
and because of section 77 of the Bank Act which provides: —
"The bank shall have a privileged lien, for any debt
or liability for any debt to the bank on the shares of its
own capital stock, and on any unpaid dividends of the debtor
or person liable, and may decline to allow any transfer of
the shares of such debtor or person until the debt is paid."
Bank Knew the Facts
The bank officials knew all the details of the loan by
Lazard Bros, and the security on which the loan was made.
Knowing these facts and knowing of their lien on Duvernet's
shares which Duvernet was pledging as his own absolutely,
the bank should have notified Lazard Bros.
The pertinent parts of his Lordship's decision are as
follows: —
"Before discussing the law, I would point out that the
certificate deposited with the Union Trust Co. afforded no
protection to the plaintiffs. It in no way represented the
shares. It was a mere statement that at its date the shares
were standing in the name of Duvernet. The power of
attorney would enable the holder to make a transfer on the
books of the bank, but there was nothing to prevent
Duvernet from dealing with the stock in the meantime. The
production or surrender of the certificate was not necessary
to the transfer of the stock, and there was nothing to pre-
vent the issue of any number of certificates, each stating the
same fact, that Duvernet's name appeared upon the register
as the holder of so many shares.
"In this case I have no hesitation in finding that there
was a duty upon the part of the bank to disclose its lien and
that the failure to disclose was fraudulent, in the sense that
it was intended to allow the plaintiffs to assume the liability
incident to the acceptance of the bills without the security
they thought they had."
The Capital Trust Corporation, of Ottawa, will open a
branch office in Toronto on September 1st next, in the
Temple Building, at the corner of Bay and Richmond Sts.,
where they have rented the offices and vaults fonnerly occu-
pied by the Union Trust Company.
All the members of the fire department of Sarnia, Ont.,
resigned last week. The resignations were accepted by the
city council on July 26, with the exception of that of F'ire
Chief Batty, which was left in the hands of the fire pro-
tection committee with power to act.
NEW PACIFIC TRADE ROUTE
R. B. Teagle, general manager of the Canadian govern-
ment merchant marine, announced on July 16 the establish-
ment of a trade route on the Pacific side of Canada from
Vancouver to the far east. The route starts from Van-
couver to Shanghai, thence to Hong Kong, Singapore,
Colombo, Calcutta and ending at Rangoon. It is expected
that the first ship will be dispatched from Vancouver early
in September and the vessels employed will be of the largest
type of 8,300 ton vessels, being built on the Pacific coast.
At least one ship a month will be placed on the route.
NEW VICTORIA FINANCIAL ESTABLISHMENT
A new financial house is established in Victoria, B.C.,
under the name of R. P. Clarke & Company. Brig.-General
R. P. Clarke, formerly of Gillespie, Hart & Todd, is president.
The other members of the new company served in the Cana-
dian army. Major G. G. Morriss, one of the original officers
of the Stli Canadian Battalion (Western Cavah-y) and latterly
of the general staff, Candian Expeditionary Force, is in
charge of the real estate, accident and sickness and life
insurance branch of the firm. Major Morriss, who was born
in Yokohama, Japan, has extensive connections with China,
Japan and the Far East generally. Previous to the war he
was in business in Saskatoon, but has now decided to transfer
his interests to Victoria.
Bonds and stocks and fire insurance are under the man-
agement of C. E. Brown, whose overseas service dates from
1914, when he left Victoria with the 7th Canadian Battalion,
and later took his commission with the Royal Berkshire
Regiment, with which he served for about 12 months at the
front.
ADVANTAGES OF ANNUAL PREMIUM PAYMENTS
The privilege of paying life insurance premiums semi-
annually or quarterly is costly to the assured, points out the
"Excelsior Life Banner" for July. Taking the case of a $10C
premium payable to the Excelsior Life, it would work out
as follows: — '
"If paid semi-annually, it would be $51.50, or a total
amount in the year of $103. The insured pays his first semi-
annual premium at once, $51.50. He has the use of the bal-
ance, $48.50, for six months. He pays thus $3 for the use
of $48.50 for six months, which is the same as $3 for the
use of $24.25 for one year, which works out at 12.78 per cent.
a year. In a similar manner it may be shown that if the
insured pays his premiums quarterly, when the company
adds 5 per cent, to the annual premium, that the interest
charge is in excess of 14 per cent.
"It may be thought that the company is making an un-
reasonable charge for the privilege given to the insured of
paying premiums semi-annually or quarterly. It must be
remembered that the additional charge has to cover some-
thing in addition to the loss of interest to the company.
There is the extra clerical work and postage. Instead of one
record of premium payment each year, as would be necessary
on an annual basis, four records have to be made in taking
care of quarterly premiums, four premium notices have to
be sent out, and if the policyholder is late in paying his
premium, several notices are sent out each quarter. Four
premium receipts have to be mailed instead of one, and not
only the clerical labor, but the postage necessary is four
times as great. The same remarks apply to semi-annual
premiums. From the standpoint of the insured he is saved
the annoyance of paying premiums every three or six months,
as the case may be, and the chance of overlooking his pay-
ment, and of his policy lapsing, occurs but once a year instead
of twice or four times."
August 6, 1920 T n E M O N E T A R Y T 1 M E S 31
i!iiiiMiiiiiiiiiiniiiiiMiiiuiiiiniiniiniiinniiniiiiiiiiMiiiiiiniMiiiiiiiiiiiiiiniiiiiiiiiiiiMiiiniMininiiiiiiiiiniiiiMiiiiiiiiuniMiiiiiii^
I REPRESENTATIVE LEGAL FIRMS \
%^iiiiiiiiuiniiniiiiiiiiiiiiiiiiiiniiiniiiiiiiiiiiiniiniiniiiiiniiiMiiiiiiiiiiMiiiiniiiiiiiiiiiiiiMiiuiiiMniiiiiuuiiiiiHiiiiiiiiniiiMiiiiiiiiniMiii^
BRANDON
KILGOUR, FOSTER & McQUEEN
Birriitcri, Solicilon, Etc., Brandoa, Man.
Solicitors for the Bank of Montreal The
Royal Bank of Canada- Hamilton Provident
and Loan Society. North American Life
Assurance Company.
LETHBRIDGE, Alta.
Conybeare, Church & Davidson
Barristera. Solicitor*. Etc.
Soi.caors for Bank of .Montreal. The Tru«t
And Loan Co of Canada. British Canadian
Trustee. *c..*c
C. K. P. Conybeare. K.C. H W. Church. M.A.
R. R. Davidson. LL.B.
Lethbridse Alta.
PRINCE ALBERT
COLIN E. BAKER, B.A.
S.,:.c.!.r for the City of Prince Albert
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal Biag.
CALGARY - - ALTA.
W.P. W.Lent Alex. B.Mackay, M.A..LL.B.
H. D. .Mann. .MA. LL.B.
LENT, MACKAY & MANN
BarrliMra, SoUellor". Notaries, Etc,
305 Grain Exchange BldR . Calgary. Alberta
Cable Addrett.L^nio." Western UnionCode
Solicitors for The Standard Bank of Canada.
The Northern Trusts Co.. Associated Mort-
gage Investor':. Ac. .
Hon. Sir James Lougheed. K.C. K.C.M.G..
R. B. Bennett. K.C. J. C Brokovski, K.C
A. .M. Sinclair. K.C. D. L. Redman, H. E.
Forster. P. D. .McAlpine. O. H. E. Might. L.
.M. Roberts. '^ Cable Address "Loughnett")
LOUCHEED. BENNETT ^fe CO.
Barristers. Solicitors, Etc.
Clarence Block. 122 Eighth Avenue Wett
CALGARY. ALBERTA. CANADA
C, A. Wrioht. B.CL
WRIGHT & WRIGHT
Barristen, Solicilon. Sotariet, Etc.
Suite 10-15 Alberta Block
CALXiARY, ALBERTA
EDMONTON
Hon. A.C. Rutherford. K.C.LL.U.
p. C Jamieson. K C. Chas. H. Grant
S. H. McCuMig Cecil Rutherford
RUTHERFORD. JAMIESON
& GRANT
BarriMtert, Solicitort, Etc.
514-18 McLeod BMf. Edmonton, Alberta
JOHNSTONE & RITCHIE
Barriiberi, Solicitors, Notariei
LETHBRIDGE Alberta
MEDICINE HAT
.. V H. Lov , LL H J
LONG «& SLEIGHT
BarritterK, etc.
MEDICINE HAT and BROOKS. Alta.
MOOSE JAW
Lester .M^:TjkH
Grayson, Emerson & McTaggart
Barristers. Etc.
s-Uank of Montreal
Canadian Bank of Commerce
Moose Jaw - Saskatchewan
NEW WESTMINSTER
JOHN W. DIXIE
liari isttr tititJ Siiliiiliir
405 Weitminjler Trust Building
NEW WESTMINSTER. B C.
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
C..ll<-J tnOntar,.. B:.r MOV. New York H..r INri
ELLISON. ELLISON & FRASER
\bi Broailosj. >e" liirt
ELLISON, GOLDSrWITH A ALLEN
.'.■■I «r«t l»lih HI., Ne" lork
REGINA
A L
Gordon. K C H. H Gordon. U C L |
H. H
Keo
vn H I' Coll.riN
G
ord
on. Gordon, Keown
and Collins
Barriitert, Solicitor§, Ac. 1
AldoQ
Building, REGINA. Ssak.
S)l
crtor
. (or Imx-rijl tf.rk of Canada
SASKATOON
C 1. DiKM . B A H M " ««.ri i»o
DURIE & WAKELING
llarrl<ler> and »ollrllur«
.Monarch Life A«»urance Co
<-«n*<U BulldlBI lUaksUKiB, C'SBsds
LOCKE & McAUGHEY
Barriatera, Solicitort, Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
I) S \Vj|lhr..l£r .\ II n.i«:»- ■' '• '• l-'"0
BOWSER. REID, WALLBRIDGE
DOUGLAS 4 GIBSON
Barristers, Solicitors. Etc,
Solc.tor. lor Bank of M.ntr.al ( ll.nk . (
Brni'h North America Bran, hi
TaikiUr. kiUiai. MS inwmi Si.. Vaaciw.w. ».C .
VICTORIA
DIM. (PI'
1
M M l(K)I 1
Mc.T
htt at Man.lotia
o( Nova SCO
and llnllahColumMa |
tia. AIN
rl;i and lint.
l»ar«
;,.v,h... Iljr>
DUNLOP
&
FOOT
llnrrial>-ra
Sol
irllcir*
Notr
rira nn<1 <.
i>m
miaalonrra
fll3 «l 1 .^•i
..n
Bide
Vic
tori.. BnliJi Coluw
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will be sent vou fo: four monlli. "ti
our TRIAL SUBSCRIPTION plan lor
$ 1 .oo
Just send a dollar bill and your name and address.
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE • REAI IV
432 Pender Street, W., Vancouver, B.C.
T)r J.\V MAHAN ■> * •■•HSTMAS
|Ve..Jerl M.n.«"( n,-r ■..,
32
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
Research Institute Advocated in Report of Honorary Council— British
Empire Will Spend $20,000,000 — Coal Shipments from Pacific
Coast to Europe — Changes in steel Industry at Welland, Ont.
IN the annual report of the Honorary Advisory Council
for Scientific and Industrial for the year ended March,
1920, an important reference is made to the National Re-
search Institute for Canada. "The establishment of a Na-
tional Research Institute for Canada has been one of the
matters urged by the Council," the report states. "This was
placed before the House of Commons and was investigated
by a special committee headed by Mr. Hume Cronyn. There
are hopes, however, that it will be brought into force in the
not distant future. Early in 1918 the Research Council
presented an ux'gent recommendation to the sub-committee
of the Privy Council for Scientific and Industrial Research
and to the Reconstruction and Development Committee of
the government asking that this institute be established
at an early date, with the function of a Bureau of Standards
and to provide facilities for research carried on and main-
tained by associations or guilds for research formed in the
various lines of industry in Canada.
"The special committee of the House of Commons,
formed April 24, 1919, held ten meetings at which the
promotion of research was discussed. A report was made to
the House of Commons in which the committee gave its
opinion that the time had arrived for co-operation and na-
tional support of scientific research. The committee was
reappointed in April, 1920, and since reported recommend-
ing the establishment of a National Research Institute for
Canada, and that an appropriation be made of $600,000 to
meet the cost of the site of the institute, of the construction
of the building required, of the scientific equipment of the
same, and of $50,000 for the salaries for the staff for the
first year. This report was unanimously adopted by the
House of Commons on May 7.
"Organization of the industries to promote research on
the problems which they have to solve is a subject that has
been given much attention both in Great Britain and the
United States," the report continues. "It will be of special
interest to all those promoting measures that will enable
Canadian industry to keep abreast of the more progressive
element inl British and Canadian industry. The council
now considers that a campaign of education should be under-
taken in the various lines of industry with the object of
promoting the right organization for this purpose."
Nova Scotia Development
As a result of the formation of the British Empire Steel
Corporation, a sum approximating $20,000,000 will be spent
in Nova Scotia upon the development of the coal, steel and
shipbuilding industries. -According to a budget prepared
for the "Sydney Post," the money will be spent as follows:
Dominion Iron and Steel Co., $6,250,000; Dominion Coal
Co., and for new ocean terminal piers at Louisburg, $6,-
250,000; Nova Scotia Steel Co., Sydney Mines, $2,080,000;
Cape Breton total, $14,580,000. Nova Scotia Steel Co., New
Glasgow, $4,160,000; Halifax Shipvards, $1,250,000; grand
total, $19,990,000.
Large development in other industrial lines are also
expected to take place shortly. The Inverness Railway and
Collieries, Ltd., a company formed through the efforts chiefly
of M. E. C. Henderson, president of the H. D. MacKenzie
Co., of Halifax, has acquired extensive coal and other pro-
perty from the Mackenzie and Mann interests in Inverness
county. This property consists chiefly of fifty-odd miles of
coal area and sixty-two miles of railway I'unning from
Point Tupper to Inverness, with shipping docks at Port
Hastings capable of handling the largest ships.
Though these coal properties are known to be very rich,
their development has been more or less stagrnant during
the past ten years or so, owing largely to the handicap of
absentee ownership, which will now be eliminated by the
deal just consummated. Coal, however, has been shipped to
several countries of Europe and to several of the New Eng-
land States, as well as to all parts of eastern Canada.
Coal Shipped to Sweden
A shipment of coal was recently made by the Canadian
Collieries (Dunsmuir), Ltd., amounting to 4,500 tons, from
British Columbia to Sweden, via the Johnson Line. Con-
firmation of the shipment has been given by J. M. Savage,
manager of the Canadian Collieries (Dunsmuir), Ltd. He
states that at present prices of coal on the coast are lower
than anywhere else in the world, that the shortage in
Europe is so acute that the nations there are driven else-
where to secure supplies, and that of late there has been a
great inquiry from various countries for supplies. The
company, he stated, is in a position to handle much more
of that export business were it possible to secure tonnage,
but the shipping is lacking at present.
The present order from Sweden is only the first of
what, Mr. Savage believes, will develop into a promising
e.xport trade, always provided the facilities for shipment
can be secured.
Manufacturing Notes
The Joliette Steel Co., Joliette, Que., is making arrange-
ments to transfer all their interest to the Independent Steel
Specialties Corporation. The latter concern intends putting
up a steel oven and developing new industries.
T. J. Dillon, present of the Dillon Crucible Alloys, of
Welland, Ont., has announced that the Atlas Crucible Steel
Co., of Dunkirk, N.Y., has acquired a substantial interest
in the Welland company, which will hereafter be known as
the Canadian Atlas Crucible Steel Co. The American com-
pany is one of the largest independent manufactui'ers of
high speed special and alloy tool steels in the United States,
and its brand is highly regarded by .the largest users of
these steels.
Bradshaw and Co., overall manufacturers, have secured
temporary premises in the old woollen mill at Markham,
Ont, and have started operations. The Bradshaw Co. also
operates in Toronto.
The mines of the King Coal Co., the Northfield Coal
Co., and the A. D. Taylor Co., in the Grand Lake district
at Minto, N.B., have been purchased by the International
Pulp and Paper Co., at a i-eported price of $150,000. The
first shipment of coal has been made under the new owner-
ship to Van Buren, Maine, where the International Paper
Co. recently purchased a new pulp mill.
The Dominion Steel Corporation is to spend $5,500,000
in its coal mine in Nova Scotia, Roy M. Wolvin, president,
announced on July 30. The company is going to make an
immediate effort to offset the coal shortage in eastern
Canada, Mr. Wolvin said.
The Adams Wagon Company, Limited, of Brantford,
Ont., a subsidiary of the Cockshutt Plow Company, Limited,
Brantford, have secured the plant of the Petrolia Wagon
Works, Petrolia, Ontario, and are fitting it up especially
for the manufacture of sleighs and trucks. The plant is now
in operation and will be working to capacity in a month's
time. The present plant of the Adams Wagon Company and
this new arrangement will enable the Brantford plant to
devote its capacity to the production of farm wagons, dump
wagons, drays, etc.
August 6, 1920
THE MONETARY TIMES
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Capital Fully Subscribed S U.T.iUtHH)
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Total .-Xnnual Income Exceeds 75.000.000
Total Funds Kxcecd 209.000,000
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34
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Montreal to Have a City Manager — Greater Winnipeg Assets and Debt
Show Large Increases — Financial Statement of Esquimalt, B.C. —
Meeting Obligations Due in New York Means Heavy Loss On Exchange
SOME Canadian municipalities aie in an unfortunate posi-
tion in i-egard to the payment of maturing debentures,
as a result of the exchange situation. One instance is that
of Calgary, Alta. If that city wishes to maintain its credit,
it must remit funds to New York to pay off treasury notes
which are held there, and as a result lose a large amount
of money because of the exchange. Vancouver was in a
similar position some months ago, although perhaps not so
difficult, and would have been faced by the same problems
which are now before Calgary, had it not been for what is
now considered a wise piece of financing, although at the
time the city was criticized for the stand it had taken. An
interesting review of the situation by "Civicus" was recently
published in the "Vancouver Sun," which reads in part as
follows : —
"It may be recalled that there was some criticism of
the city's course in remitting $900,000 in the closing days
of last December to meet treasury notes maturing on Janu-
ary 1st. The criticism from some quarters directed at this
course which was recommended by ex-Ald. Thos. H. Kirk,
then finance chairman, was owing to the fact that the city
was not only meeting its obligations in regard to some
$.300,000 of these notes, but was actually anticipating the
payment of the other $600,000, which did not fall due until
January, 1921 and 1922. To meet these notes on January
1st, 1920, with American exchange then about 8%, it cost
the city approximately $75,000 on the full remittance of
.?900,000, and it was on this score that some citizens thought
the city was unnecessarily over-generous in meeting its pay-
ments so soon after war times. City Comptroller Pilking-
ton points out that had the city asked and received an ex-
tension of time in making this payment to the next interest
bearing date of July 1st, it would have then cost the city
approximately $12(5,000 to make the remittance. For ex-
change on that date was about 14 per cent. This means
that aside entirely from what the city gained morally in the
way of e.stablishing its credit as gilt-edged in eastern
money markets, a heavy loss which would have resulted
from a postponement, amounting to approximately $51,000,
was avoided.
"As a direct result of meeting its financial obligations
ahead of time, Vancouver is now in the fortunate position
of having no treasury notes actually maturing until Janu-
ary 1st, 1923, the remittance of last January having retired
all short-term notes to that date. The city has some funds
on hand which it could remit to its eastern American fiscal
agents under its option of retirement of these 1923 notes,
if exchange was favorable. But with exchange as high as
it is at present that would be about the last thing thought
of.
"Another fortunate circumstance for Vancouver civic
finances, as pointed out by Comptroller Pilkington, is that
the city has the greater part of its interest-bearing deben-
tures domiciled in England. It is a poor rule that won't
work both ways, and that is where Vancouver benefits on the
international exchange situation, as the city stands to obtain
quite a a substantial advantage on exchange as it stands.
Early in the year the city benefited to the extent of about
$75,000 on the half-yearly interest on English domiciled de-
bentures which fell due on the first of February last, and at
present rates it is anticipated that the city will again benefit
somewhere between $40,000 and $50,000 on the half-yearly
payment falling due on August 1st. Altogether, owing to
the greater proportion of its interest being payable in Eng-
land, the city will more than break even on the matter of
international exchange."
Niagara Falls, Ont. — First collection of taxes for 1920
amounts to $243,080, as compared with $200,000 last year.
Timmins, Ont. — A by-law to strike the tax rate for
1920, is being prepared by the city solicitor. The general
and debenture rate to be 25 mills; public school rate, 19
mills; separate school rate, 20 mills. Taxes are payable on
or before October 31st, 1920, and five per cent, penalty will
be added to all taxes not paid by that date.
Moose Jaw, Sask. — The total amount of 1920 city taxes
paid in by June 30th, the end of the first discount period, was
$447,070, or 43 per cent, of the 1920 levy, according to a
statement issued to-day by city treasurer W. C. Goudie.
From this sum must be deducted a total of $19,826, which
was allowed in discounts. In addition to the current taxes
paid, a total of $57,083 in tax arrears was paid in by June
30th, making the total tax collections for the half-year $504,-
153, or over $4,000 more than the half-million dollars the
city desired to secure by mid-year.
Halifax, N.S. — E.xpenditures and requirements of the
works department have been submitted to the finance com-
mittee by the city treasurer as follows: — For water con-
struction, $197,200 sewerage, $257,000; pumping station,
etc., $25,000; estimated cost of streets under contract, $1,-
162,965; city's share thereof, $665,624; pavement, ordered
but not in contract, $37,985; city's share thereof, $30,916;
value of work being done by contractors, $456,166; paid con-
tractors, $394,928.
It was decided that the water construction appropriation
be increased by $100,000- to include $25,000, authorized for
the pumping station and to increase the amount for sewer-
age by $100,000.
Greater Winnipeg Water Districts -Total assets of the
district, according to the annual report for the year ended
December 31st, 1919, are $16,701,027, as compared with $10,-
625,943 in 1917. The bonded indebtedness at the end of
last year was $14,294,588, as against $8,827,360 two years
previous. The following is the comparison of the principal
accounts from the two balance sheets: —
1919. 1917.
-Aqueduct $13,604,451 $7,220,634
Riilroad 1,423,545 1,430,961
Railroad equipment 170,964 187,261
Outstanding levies 988,563
Bonded indebtedness 14,294,588 8,827,360
Bank overdraft, etc 2,052,735 1,042,995
Sinking fund 313,355
Montreal, (Jue. — The sub-committee of the charter com-
mission has decided that Montreal shall have a city manager.
A statement as to the powers of this new official, have been
discussed and accepted as follows: —
"The manager to be the chief executive officer of the
city, under the direction of the city council.
"The manager to be appointed by a majority vote of the
whole council and that he be suspended by the council by a
two-thirds vote for cause, and removed by the same vote,
after a public hearing, if he applied for it within a week. He
would have the supervision of all employees, with exceptions
to be specified later, and all departmental heads would be
appointed on his recommendation, a two-third vote of the
whole council being required to reject such recommendation.
"The appointment of the manager to be based solely on
his executive and administrative capacities without regard
to race, language or creed.
"In dealing with the city manager, the council always
to act as a body and individual members not to attempt to
dictate to him while the council is not in session.
Au!just 6, 1920
THE MONETARY TIMES
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS .... 24,600,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These arc wondctlul d»y« (or li(e iniurancr .sir. men,
particularly North American Life men. Our lepiexrnla-
tives are placing unprrcedrnlcd amount* o( new buainrts.
All 1919 records are beinR smathed.
"'Solid as the Continent ' policies, coupled with splen-
did dividends and the great enthusiasm of all oui repre-
sentatives tell you why.
Get in line (or success in underwriting. A North
American Life contract is your opening. Write us for fall
particulars.
Addr
E. J. H.
Super
^1 A.
North American Life Assurance CompaDy
HOME OFFICE
i.N'i IM
TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assurances, New and Keviveci - S1.21 1,-I17.00
Preuiiuuis on same .... -IS.SlrtO 00
.Assurances in Force - - - 3,45S.9;(9.00
Total Premium Income - . - - 109,.S,S6.U3
Policy Reserves - - - - - 211,497.00
-Admitted .Assets '296,430.62
Averaf(e Policy --.... 2.237,50
Collected in cash per 81,000 insurance in force 31 75
For particulars of a good agency apply to
ADAM REID, Managing Director Winnipeg.
1870 OUR COLDKN JUBILEK 1 920
Mutual in Principle: Mutual in Practice
Prosiv.ilv 1..1S ..llcnJvJ cviry step m Ihi niuitli ol ihc .Mulii^i (.. ■
IhcopiniriK of Its Ic.nK ompaijn in IS7(lJi>«n to Ilic rrricnt. an 1 11 h
nf that success has hccn due to the pructiccof thr r'rp.ir'r ■■<—-■• ■■,
whichhasclKirjctcnrcd jllrunk«of thcivcr .-ir
have been rcinuvcJ. JiDiculties uv ercumr unJ
tories ;»stiifvcil by cu-opcrution. Ihe in.tst \
The objcctnc of Ihi- .Mutual L>fi- of C..n«d«
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the Uiwest possible net co»t." Iliis uhjcsl
actual results clearly Khow The liniilcd r
a membership of jatiMinl poliLVholdcrs «l.
business rcvea's the »:ri.\\ir^: popularity of tlit .
torious march.
BE A MUTUALISTI
The Mutual Life Assurance Co. of Canada
Waterloo Ontario
HunieCr, rv. n. .\1 !• I'r.- .:.'. ^.•. cl... 1;. . . ., ■ , 1 ., : M ,n .. . . :
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Salesmanship depends so much upon the - mtvill- rendcrcJ that wc hsive
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perience. etc.to.H. .«*. W »:iV»:u. i:nKl<Tn *«u|Mrliii<ii(hiti, hi llriiil OHIrr
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
ISSl. Kl) ONLY HY
THE LONDON LIFE INSURANCE CO.
Head Office ... I.ONnUN, CANADA
Profit Reiuili in tbit Conpaoy 70 , beller Iban Etlimalci.
POLICIES GOOD AS GOLD'
Persistent Policyholders
Sumc IWJ.IKK) l'..:u>t..jldL.i ..uiiviK,; iJicr $.!JO.0Ul.(XK)
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It \ clear that more intimate acquaintance atronxly
confirma thru good opinion, iince The GrratVl'eat Life
is surpassed hy only one other Compan>' (and that
doinK a amall buiineas) for the partitlancy n( ita
BuftincBs.
Obtain particular! ol ihor fa
rnleii hurhrnl profit.
rd Pol,,
THE GREAT- WEST LIFE ASSURANCE COMPANY
HEAD OFFICE
WINNIPECi
The Western Empire
Life Assurance Company
Head Oliice : 701 Somerset BuiltlinK, Winnipeg, Man.
SASKATOON
BDMO.VTON
VANCOl VHR
The
Trustee Company of Winni
3^2 MAIN STREET
peg
Ltd.
Sec
rates of
Our
your aff
M. J. A. M.
us for investm
interest.
Agency Depar
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EXCELSIOR
INSURANCE LIFE COMPANY
A Sirorj ean.il.jr, Lon p.o,
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EXCELSIOR LIFE BUILDING
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'J TOKf>NTO CANADA
36
THE MONETARY TIMES
Volume 65.
"The charter not to specify the salary to be paid the
manager, but to specify a liberal maximum up to which the
council may go if a man can be secured who is worth it.
Calgary, Alia.— While the term of the city's street rail-
way bonds averages 30 years, the life of the assets will
average less than 17 years, according to a statement made
by F. M. Harvey, city auditor, before the city commissioners
on July 23rd. He said that half of the bonds should have
been for fifteen years and half for twenty. The peril of
obsolescence Mr. Harvey also deemed to be great in that
some other form of transportation might force the street
railway out of business before many years, especially in
view of the naiTOWhess of Calgary streets.
The remarks of the auditor were made during a dis-
cussion with the commissioners relative to increasing the
depreciation reserve of the street railway. Mr. Harvey con-
tended that as the street railway assets must largely be re-
placed within the term of life of the bonds, it is necessary to
establish in addition to the sinking fund a substantial de-
preciation reserve. Mr. Harvey said that the impression
that the city is setting aside the full amount of sinking fund
and depreciation is a misconception. Under the system now
in vogue, by 1939, when the bonds come due, the city would
have set aside only about 50 per cent, of the original cost
of track and roadbed.
Hamilton, Ont. — The assessment of five of the eight
wards has been completed, and the increase amounts to
more than 37 per cent., or $18,800,490. The total assessment
of the five wards is $67,382,2(30, as compared with $48,-
581,770 last year.
The civic gas committee, of which alderman McQuesten
is chairman, has adopted a report recommending the
City Council to offer the United Gas & Fuel Company $2,-
850,940 for its plant and franchise. The company wants $3,-
200,000. The price will probably be fixed by arbitration.
The price the company may charge under its fi-anchise is 90
cents a thousand cubic feet. Alderman McQuesten believes
the city can sell at about $1.10 and give a dependable supply
of gas. It was stated that the company would have a new
unit of its artificial plant ready about October.
Toronto, Ont. — Whether retail stores operated by the
Wm. Davies Co., Ltd., are to be assessed as retail stores or
as part of their manufacturing plant is a question now be-
fore the city Court of Revision. The Assessment Act pro-
vides that the business tax on retail stores is to be based
on 25 per cent, of the assessed value of the premises
occupied, while in the case of a manufacturer the per-
centage is (iO. Several other companies are interested in
the decision.
Esquimalt, B.C. — A bright financial outlook and a suc-
cessful record in the past six months, is presented in the
semi-annual report of A. Lockley, reeve of the municipality.
The tax levy for this year amounts to $97,379, and according
to the statement $84,075 has been collected, or 86.33 per
cent., of the total levy.
"Although the majority of municipalities found it neces-
sary to raise their rates this year," said Reeve A. Lockley,
in commenting on the showing of Esquimau's finances, "we
decided when framing our estimates to make a reduction. In
doing so we were faced with two difficulties — the fact that
our school expenditure necessitated raising the school tax
from 5 mills to 5% mills, and the circumstance of having
to pay a heavy rate of exchange on the interest money
forwarded to the New York holders of our municipal bonds.
This amounted to an imposition of 1 mill, and was a situa-
tion that was impossible to foresee. All other municipali-
ties with loans payable in the United States were affected in
the same way. In spite of these things and by very careful
revision of our expenditure budgets, our taxes were reduced
from a total of 18 mills in 1919, to the present ratfe of 17
mills. That the policy of the council was justified is shown
by the fact that this year's collection of current taxes has
already amounted to St>.33 per cent, of the total, and prac-
tically equals the percentage for the whole of last year.
"With regard to our sinking funds," the reeve went on,
"Esquimalt is in the enviable position of being one of the
few municipalities in British Columbia to have a surplus on
hand. At the end of last year it amounted' to $2,570. The
position has been further improved by the redemption of
$26,000 worth of sewer loan debentures at a figure which
will result in a substantial saving to the ratepayers.
"A tax sale will be held on September 10th, and it is
confidently expected that the greater part of the arrears will
be cleaned up, in view of the fact that all properties which
have hitherto been protected by the War Relief Act will be
sold, unless the owners will avail themselves of the pro-
visions of the War Relief Act Further Powers Act. It is
worthy of note that, although tax sales have been held each
year since 1915, it has only been necessary for the cor-
poration to buy in three lots. This in itself is an indica-
tion, we believe, of the excellent position of the municipality."
NEW INCORPORATIONS
Fifty Million Dollars Capital of New Firm — Number of Other
Large Incorporations Listed During Past Week
The following is a list of companies recently incorporated
under federal and provincial laws, with the head office and
the authorized capital:- —
Ottawa, Ont.r— Gilner, Ltd., $60,000.
St. .lohn, N.B.— Leavitt Bros., Ltd., $100,000.
Hamilton, Ont.— John P. Whelan, Ltd., $2,000,000.
Waterville, Que.— Dominion Snath Co., Ltd., $75,000.
Courtenay, B.C.— The Comox Argus Co., Ltd., $20,000.
Vernon, B.C. — Neil, Cryderman and Kennedy, Ltti.,
$80,000.
New Westminster, B.C. — Eraser Valley Farms, Ltd.,
$75,000.
Brandon, IMan. — Brandon Orange Hall Association, Ltd.,
$6,000.
Victoria. B.C. — Canadian Industrial Petroleum Co., Ltd.,
$100,000.
Chicoutimi, Que. — La Compagnie des Reserves Hydrau-
liques du Lac Kenogami, $18,000.
Toronto, Ont. — South American Steamship Co., Ltd.,
$750,000; Page-Hersey Tubes, Ltd., $4,300,000; Griflfenhagen
and .\ssociates, Ltd., $5,000; Anglo-American Motors, Ltd..
$10,000,000; the Superheater Co., Ltd., $1,000,000; North
American Steamship Co., Ltd., $750,000; Brazilian Develop-
ment Corporation, Ltd., $50,000,000.
Vancouver, B.C. — The Sportsmen's Agency of British
Columbia, Ltd., $100,000; C. D. Bruce, Ltd., $30,000; B. W.
B. Navigation Co., Ltd., $1,000,000; Outland Silver Bar
Mines, Ltd., $500,000; the Canadian Die and Novelty Manu-
facturing Co., Ltd., $300,000; Alluvia Lumber Co., Ltd., |10,-
000; Periodicals. Ltd., $150,000; Liberator Mining Co., Ltd.,
$1,000,000; Mexicanda Petroleum, Ltd., $1,000,000; Helen Bay
Logging Co., Ltd., $21,000.
Montreal, Que.— G. and J. Weir (Canada), Ltd., $750,000;
Boston Cattle Co.. Ltd., $410,000; Everhot Heater Corpora-
tion of Canada, Ltd., $400,000; Dumani, Ltd., $200,000; the
Mount Royal Hotel Co., Ltd., $8,000,000; Canadian Tube and
Steel Products, Ltd., $5,000,000; J. A. Lessard, Ltd., $65,000;
Ives Dental Co., Ltd., $20,000; Notre Dame de Graces Curling
and Bowling Club, $100,000; Ang Yuen Co., $20,000.
Winnipeg, Man.— The Roslyn Co., Ltd., $200,000; John
Gunn and Sons, Ltd., $100,000; the Mutual Agencies, Ltd.,
$10,000; the Winnipeg Self-locking Concrete Wall Co., Ltd..
$150,000; Liberty Chocolates, Ltd., $24,000; Regal Invest-
ments, Ltd., $100,000; Winnipeg Mortgage and Investment
Co., Ltd., $100,000; Walsh, Henderson Co., Ltd., $30,000; the
Aero Tea-Room Co., Ltd., $20,000; the Parker Motor Car Co.,
Ltd., $3,000,000; the Parker Motor Sales Co., Ltd., $50,000.
August 6, 1920
THE MONETARY TIMES
S7
We Offer the
8% Cumulative Guaranteed Preference
Stock of
King Edward Construction
Company, Limited
Kiiii; i:duard Hotel, Toroiuoi
Guaranteed bv —
Kinjjf Edward Hotel Company, Limited, and
United Hotels Company of America
Secured upon Realty situated in the centre ot'ToronU'
Price $100 per Share
Carrying' a bonus of '('i in Common Stock
Yielding 11%
Complete Prospectus will be sent upon request
T. S. G. PEPLER & CO.
Inveslment Brolfcrs
ROYAL BANK BUILDING. TORONTO
J K. STEWART 1 k M
\ \li<
Dominion of Canada
Guaranteeing Grand Trunk Pacific \
3% Bonds
M»lunn« J«nua,v l.i l%2
Inlert.l p»>«blr J.nu.rv and July
Principal nnJ Inlcrcil paynblr in Canada and NY. |
Price on Application
J. F. STEWART & CO.
Canadian CovernmenI and Municipal Srcurit
f«>
106 BAY STREET. TORONTO. C ANAI1
A
Tolcrhon.s AJ>- >:j, 71.
CITY OF WINNIPKC;
Twenty-Voar 6'. Coupon UondH
t>Ur. :j\d AuffUMt. tViti.
PrincxptU and »4rmi'anm%tul IntertKt 'ind Frhryiarv and AuQ%»t}
payable at Utr Bank o/ Monlrral in Toronto. Uamtrral or
Winnittro at thr hotder'M option.
Denomination : tl.if). RtinMrmhU am to IVinripat.
I'riro 97.17 and Intercsf. Yielding: 6.2.''*..
Harris, Forbes cV: Company
INCORPORATED
C. I'. K. Building, 21 SU John Strcol,
TOKONTO. .MO.MiCK.M..
Announcing
The Establishment of a
DEPARTMENT OF
BUILDING MANAGEMENT
RENTALS
AND
CITY REAL ESTATE
Osier, Hammond and Nanton
WINNIPEG
Etiablished 1883 Canada
Bankrri : Thr Dominion Bonk
Thr Imprrial Bank of Canada
c.
H.
BURGESS &
Ciovernnic-iit iind
Municipnl Bond*
CO.
14
KInK
Street En»t - - T
oronto
BANki:
K
With
live lo ten
years' cxprricnrc, |
possessed
of cncr^'y nni)
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employed
by a Hank ).
ca n
ob
.iin
Hood
position
u-iih ex<.'cller)t
pt.
.spe.
Is.
liive
references
and full piiili
ciil.irv with
appli-
cation.
H.>v .
M7, \Inncrar>
Times,
To
rrmlo
THE MONETARY TIMES
Volume 65.
Government and Municipal Bond Market
Important Provincial Financing Now Taking Place — British Columbia
Makes Further Sale— Part of (Juebec Issue Sold by Private Arrangement
—General Condition of Market Is (Juiet, with Few Municipal Issues
WEAKNESS in the stock markets has exerted its influ-
ence on the bond market during the past few days.
The market is quiet and prices are easy. Few new municipal
issues are coming upon the market, but there are plenty of
outstanding issues available for pui'chase. Bonds of the
provinces of British Columbia and Quebec were sold recently
to syndicates of bond dealers.
The following is a list of debentures offered for sale,
of which details are given -in this or preceding issues: —
Tenders
Amount. Rate ',>. Maturity. close.
Moncton, N.B $300,000 6 10-year"s Aug. 12
Goose Lake C.S.D.,
Man 50,000 6 20-instal. .-^ug. 14
Kerrobert, Sask. . . . 4,500 6 10-years Aug. 17
Ontario County. — The county council is considering the
issuing of $50,000 of debentures for bridges and roads. A
by-law to borrow $12,000 temporarily was also passed.
Armbruster Rural Telephone Co. — Tenders are invited
for $5,700 10-year 8 per cent, debentures of the company.
Philip Filler, secretary-treasurer, Neudorf, Sask.
Kerrobert, Sask. — Tenders will be received until .August
17th, 1920, for the purchase of $4,500 6 per cent. 10-year
debentures. (See advertisement elsewhere in this issue.)
Cotswold Rural Telephone Co. — Tenders were invited up
to July 31st for $9,500 debentures of the company, repayable
in fifteen equal annual instalments of principal and interest,
with interest at not more than 8 per cent. C. G. Bulstrode,
secretary-treasurer, QuAppelle, Sask.
London, Ont. — The Ontario Railway and Municipal
Board has written General Manager E. V. Buchanan of the
Public Utilities Commission, asking for full information in
regard to the application of the city of London for the ratifi-
cation of an issue of $165,000 of debentures for water and
electric lighting extensions in this city. Mr. Buchanan, upon
orders of tlie Public Utilities Commission, has gone to Tor-
onto to explain to the Railway Board the absolute need of
the money to provide light and water for many homes in
London, including fifty or more being erected by the Hous-
ing Commission.
Outremont, Que. — Sealed tenders are invited for the
purchase of Outremont Board of Protestant School Ti-ustees"
debentures to the amount of $175,000, bearing (i per cent,
interest, payable half-yearly, for a period of ten years. Ten-
ders will be received up to 6 p.m., August 9th, 1920. Ten-
derers to specify Canadian or American funds. Can be
arranged in suitable denominations. This issue is for the
pui'pose of extending school accommodation. Wm. F. Rowell.
secretary-treasurer. Outremont.
Bond Sales
Brant ford. Ont.— Out of $150,000 offered in city deben-
tures placed on the local market. City Treasurer A. K. Bun-
nell reported that up to July 30th more than $100,000 had
been sold, the district as well as the city purchasing. The
bonds yield G per cent.
British Columbia. — British Columbia securities to the
extent of $3,000,000 were acquired by a Victoria syndicate
on August 4th at the rate of $98.91 for the whole issue. The
new loan will be utilized solely for construction work on the
Pacific Great Eastern Railway as part of the provincial gov-
ernment's program of railway extension to Fort George.
In the month of July two issues, totalling $2,800,000,
were sold by the province.
Outremont, Que.— The Catholic School Board of the city
lias just sold, at 97, to a syndicate of four Montreal fimis,
its $400,000 6 per cent. 5-year bond issue, dated March 1st,
1920. The proceeds will be applied to the payment of $335,.
000 (5 per cent, bonds, maturing in New York, and to the
consolidation of floating debts. The new bonds are payable
in Montreal and New York. The underwriting finns are:
Versailles- Vidricaire-Boulais, Limitee, Le Credit Canadien,
Incorporee, Beausoleil, Limitee, L. G. Beaubien et Cie.
Quebec— Part of the issue of $5,000,000 of bonds of the
province of Quebec, tenders for which were originally re-
ceived in April, has been disposed of privately. In a state-
ment to The Moiielary 'I'ivics, the provincial treasurer, Hon.
W. G. Mitchell, says: —
"An issue of $5,000,000 was made, $2,500,000 10-year
6 per cent bonds and $2,500,000 5-year (5 per cent, bonds. Of
the $2,500,000 10-year bonds, $1,000,000 was sold under
special conditions, by which the purchasers bound themselves
not to place the bonds on the market during the term of the
loan, and the balance of the bonds, amounting to $4,000,000,
were placed in the hands of our financial agents, the Bank
of Montreal, to- be disposed of to the public at par, they to
be allowed a commission for this and brokerage of one point."
Cobourg, Ont. — At a meeting of the finance committee
of the council, held July 31st, Wood, Gundy and Co.'s bid
for $75,000 town of Cobourg debentures was accepted. The
following is a list of the tenderers and bids submitted: —
Wood, Gundy and Co 94.77
United Financial Corporation 94.58
A. E. Ames and Co 94.09
The above debentures consisted of two blocks, namely:
1st Block $50,000, 20-year period, 6 per cent., issued on
instalment basis, and dated from July 1st, 1920; 2nd Block
$25,000, 15-year period, bearing interest at the rate of 6 per
cent, per annum, and datod from July 1st, 1920.
WESTERN CANADA IRRIGATION ASSOCIATION
The fourteenth annual convention of the Western Can-
ada Irrigation Association was held in Lethbridge, Alta., on
July 28 and 29. Soil drifting, which caused millions of dollars
loss to the crops this year, was the chief subject discussed.
Irrigation is advocated as the remedy for this, and Professor
Jardine of the Kansas State College of Agriculture gave
evidence to the effect that land in a 66,000 acre tract in Kan-
sas, which had been subject to drifting a few years ago, was
now producing from 25 bushels of wheat per acre upwards.
Delegates present from the three prairie provinces were
taken through the Lethbridge-Coaldale irrigation block and
shown fields of wheat which will yield 40 to 50 bushels per
acre, and other excellent crops of hay, etc.
The convention passed a resolution urging the Dominion
and provincial governments to adopt a policy of financial aid
to irrigation projects in the semi-arid portions of Alberta
and Saskatchewan which are capable of irrigation, and also
asked that the Dominion Department of the Interior Re-
clamation Service continue to carry out surveys to establish
the feasibility of irrigation schemes in these areas. Amend-
ments to the Alberta Irrigation Act defining the word
"owner" of land wore also asked.
Deputy Minister Craig of the Alberta Department of
.-Vgriculture made the announcement that his department
was beginning to see that it was better to help the farmers
make good on their farms than to be continually providing
relief in dry seasons, and therefore more attention would
be paid to irrigation in the future.
August 6, 1920
THE MONETARY TIMES
Retain those
Victory Bonds
Victory Bonds to-day are in the process
of re-distribution. More than $100,000,-
000 of these bonds have been bought
this year by owners who keenly appreci-
ate their sterling value, and plan to hold
them as a permanent investment.
This re-distribution has taken place on
more favorable terms than the original
issue price. This means that in a Vic-
tory Bond transaction, the advantage is
with the purchaser — it is a "Buyer's
Market."
The soundest advice that owners of Vic-
tory Bonds can consider is to retain their
present holdings, and when possible, buy
more.
Wood, Gundy & Company
Montreal
Saskatoon
Canadian Pacific Railway Building
Toronto
New York
London. Eng.
U c I' iuance
Basic Industries
— CunaJiun lnJu^trjcs IciundcJ upun ihe develop-
ment of natural rcMiurcc^ tu supply an ever-
present and liruninfi dcinund.
Fur the invcstur, thit policy en>urc« tlcrlinj
security, hijih interest return and the poskibility
of ■>uh'>tantial profit ; lur Canada, it enturet llie
hiflhest defirce of productivity from her natural
resources.
As examples, we instance the followin|( compan-
ies,the securities of which we have underwritten.
Nova Scotia Steel fraier Companies
Canada rement Abitibi foirer S Paper
Steel of Canada Hioraon Company. UmileJ
Price Bros. S Co. Hrompton I'ulp S Paper
II you invest occasionuMv. It would he wortli
vour while to read /nvcstmrnl hems W rite anJ
«c will ,lJd >oiir rijim- li. nur in.iilin»i lisl.
Royal Securities
^ 'corporation
L. I M I T E D
\1()N I Kl-
TOKONTO IIAl.II A\
WLNNU'EG NKW YORK
\l
ST. JOHN, N.ll
LONDON. V.oi
W'c recommend the purchase of
VICTORY LOAN
ut the folio *iPS prices
.WATLKITV I'RICK
1922 .... 99 ami Interest yielding . 5. 9-1",.
1927 . 99iand " " .S.S8'!„
1937 . l'»l and ' 5.41%
1923 ... 99 ami ' 5.82%
1933 .... 991 ami ' " 5.55%
1924 . 98 and 60l'\'.
1931 H6 and " .t.91%
OrJe
nay he telephoned or leleRrapheU ut (
W. L. McKINNON & CO.
McKinnon Building
TORONTO
Government, Municipa
AND
Corporation Bonds
R. A. 1>ALV cs. Co
BA.NK OK TOKO.NTO BUILDINO
TORONTO
$600,000
City of
Winnipeg, Man.
6%
20-YEAR COUPON BONUS
Dated 2nd AuRU.t 1920 Due 2nd Auguit. I"**'
Denomination. Si.OOn
Price: 97.17 and Interest
Yielding 6 .
Ordert may l»r tclrplionrd nr Irlrgtaphrd kI our
W. A. MACKENZIE & CO.
Cvcnmcl „,„/ Munuitol li-n.l,
42 Kin>r St. We»t
TORONTO -:- ONTARIO
THE MONETARY TIMES
Volume 65.
FIRE LOSSES AND FIRE INSURANCE CLAIMS
(Continued from page 7)
validity of his entire claim. This is but giving effect to the
general principle of our law of insurance as contained in
article 2488 of the civil code that fraudulent misrepresenta-
tion or concealment on the part either of the insurer or the
insured is in all cases a cause of nullity of the contract in
favour of the innocent party.
If in making his claim, the insured is guilty of a delib-
erate false statement in reference to the claim itself, it
nullifies the whole claim and not merely that for the parti-
cular property for which the falsehood is made. This prin-
ciple was recently held by the Superior Court of this prov-
ince and confirmed by the Court of Review. So in preparing
proofs of loss and claims generally, the utmost care must
be exercised so that no mispresentation shall occur with
regard to any one item of the claim.
The fatal false statement must refer to the claim itself
and not to any immaterial or collateral object of it.
The misrepresentation must be pleaded and must be
proved to be wilfully false in order to nullify the claim
The court will not infer it; and unless it should appear that
the falseness of the statement is deliberately made knowing
that it is false, the court will not deem it to have been
fraudulent pnd so destroy the claim. It therefore frequently
happens that an exaggerated value of a loss is not regarded
as fraudulent because value is largely a matter of judgment,
whether estimated before or after the loss. It is always
a question for the jury or Court to decide whether, in arriv-
ing at this overvaluation, there has been fraud or false
representation; and though the court may be dissatified with
the value set upon the property by the insured, unless he
appears to have valued it at too high a figure deliberately
and not by error of judgment, it would not disturb the ver-
dict in favour of the insured, or decide that the contract was
void. I think it may be said that a certain amount of ex-
aggeration in every valuation is always expected, so while
an overvaluation is an evidence of fraud it does not amount
to fraud where it expresses the honest opinion of the insured,
due allowance being made for the exaggerated opinion he
may have of the worth of his own property, which after the
loss takes place is generally found to be, in the estimation
of the insui-ed, the finest property that ever was.
Degree of Overvaluation
As to what degree of overvaluation will be sufficient for
a presumption of fraud, it is hard to fix a cast-iron rule. It
has been held by the Court of Appeal in the province of
Quebec, that where the amount demanded is over double the
actual value, fraud will be presumed in the absence of clear
evidence to the contrary; on the other hand, another judg-
ment of the same court held that an apparent overvaluation
of 20'}'c is not necessarily fraudulent where the value of the
property is not easy to determine. .\& a rule, each case
must be judged by its own peculiar circumstances. In many
cases fraud would be presumed where the overvaluation was
considerably less than double the actual value.
Closely associated with fraudulent claims is the conduct
of the insured with regard to the fire itself. Of course, if
the insuied wilfully causes the fire, he cannot recover any-
thing, and is fortunate if he escapes gaol. But by the rule of
good faith, the law requires a stricter line of behaviour
than mere absence of crime, and if the insured does anything
to aggregate the loss, he will be held to have violated the
contract and cannot recover. Thus, if he intentionally pre-
vents the interference of others to save the goods threatened
with destruction, or the working of the fire brigade to ex-
tinguish the fire, preferring to have the insurance inoney
rather than the property itself, he commits fraud on the
company which will relieve the latter from obligation. It
is even maintained that if the insured deliberately refrains
from and neglects to save the insured property without
leasonable excuse, the company will be relieved from its
contract. But the refraining from saving the property must
be done with the fraudulent intention of causing it to burn,
and throwing the loss on the company. Fi-audulent intention
could be inferred from the insured's refraining from the use
of reasonable exertions and employing the means at hand to
extinguish the fire.
Recovery of Money Paid
If the loss be paid by reason of fraudulent acts on the
part of the insured, the money may be recovered back by an
action at law. To succeed in such an action the company
must show not only that there was misrepresentation, but
that it caused a damage to the company. It must also show
that it relied upon the statements furnished by the insured
and made the payments by reason thereof.
Arbitration
Statutory condition 16 provides that in the event of a
difference arising as to the value of the propei'ty insured,
or saved, or the amount of the loss, the matter in dispute
shall be submitted to arbitration. One arbitrator is chosen
by the insured and the other by the company, and they ap-
point the third arbitrator, and if they cannot agree, he is
appointed by a judge of the Superior Court. The award of
the arbitrators is conclusive as to the amount of the loss, and
the proportion to be paid by the company.
The rules of the common law governing arbitrations gen-
erally, as found in the Quebec Code of Procedure, apply to
these insurance arbitrations. The provisions of the Code of
Proceduie as found in Article 1431, and following, must be
strictly adhered to. The deed of submission to arbitration
must fix the delay within which the award of the arbitrators
must be given.
The arbitrators must hear the parties and their proofs
or establish a default against them, and decide according to
the rules of law, unless by the terms of the deed of sub-
mission they have been exempted from doing so; but if they
have been appointed at the same time as mediators, or as
mediators only, they are not required to decide according to
the rules of law. The witnesses must be sworn before giv-
ing their testimony.
The arbitrators should be careful to observe the required
formalities, otherwise their award may be nullified; for in-
stance, it has been held by the Court of Appeal that failure
by the arbitrators to notify the parties, or one of them, or
the time and place of their proceedings, is a contravention
of the law, and nullifies their award.
During the delay fixed for the rendering of the award
the appointment of the arbitrators cannot be revoked ex-
cept with the consent of all the parties to it. If the delay is
not fixed, either of the parties may revoke the submission
to arbitration at will.
Where more than one arbitrator is named, two at least
must agree upon each item of the award.
The award of the arbitrators is made out in notarial
form, or deposited with a notary, who then draws up an act
of the deposit; and the award must be pronounced in the
presence of the parties, or a copy left with them — all within
the delay fixed by the arbitration submission.
The award is executed under the authority of the Court
upon a suit brought for that purpose.
The court, when such a suit is brought, may examine
into any grounds of nullity which affect the award, or into
any question of form which may prevent its being homolo-
gated; but it cannot enquire into the merits of the contesta-
tion.
.•Arbitration may be availed of after action has been
brought on the policy, and the award of the arbitrators is to
prevail then over the finding of the court or jury as to the
amount of the loss.
It must be borne in mind that such an arbitration is
strictly limited to the matters provided for, that is the
amount of the loss, the value of the property insured and
saved, and the sum and proportion to be paid by the com-
pany.
Where the company demands an arbitration under this
statutory condition, it could not set up the defence of
Autrust t;, 1920
THE M O N E T A K V TIMES
41
$36,000
CITY OF SYDNEY, N.S.
6% Bonds due July, 1950
Principal and semi-annual interest payable Halitai.
Sydney.
Denominations SI. 000
Price 96 . and interest yielding about 6'^%
Eastern Securities Co., Limited
ST. JOHN. N.B.
HALIFAX. N.S.
Government
Guaranteed to
BONDS
QM
2/0
MATLRL\C 1921-1940.
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
UNION TRUST BUILDING - WINNIPEG
Province of
Ontario
6"" Gold Bonds
For Estate or Trust funds
these bonds purchased at
par and interest maturinL'
15 June, 1930. make a
very desirable investment.
Bond Department
The Cvnada Trust G).n?A\Y
14 King Street E.
Toronto
A. J, Pattison Jr. & Co.
\U-nibcr5
Toronto Stock Exchanse .Montrejl Stock Kx-nanKc
Specialists Unlisted Securities
106 BAY STREET TORONTO
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Branches-SASKATOON A^JD CALOARY.
Canadian .ManaReri
ImrBSTSexT Corporatiob op Canada. Ltd. o. d ^
London Office: 4 Or.at Wincheiter St.. E-C
Manitoba Finance Corporation Ltd.
Inyetlment B-okrri. Financial Agmnti. Etc.
Wionipeg, Man.
Hod Oflicc
410-11 Electric RIy. Chamberi
I'h .nc l.jrr . .KM
Slockt and Bond* bouK-hl and 'old on commiiiion
Mortgagt Loan* on Improved Farm Landa
Iniurance Efftctmd in all its branches
Farm Land* for Sale in Weatern Canada
Fiteal Aftnt for Manitoba, Albarta Flour MilU, Limtltd
Northern Securities, Limited
KSTAllI.lSHHl) i ««
GENERAL FINANCIAL BROKER
Confidential Advice an BritUh Columbia Intrtlmtnf
Member of MortSJRe and TruM Companies AssociAHon of Hr.ti.h Columbi»
529 Pender Street W. VANCOUVER. B C.
B OKOKGB HAVSL'LD J.P ■ Mjn.itt-^
P. M. LIDDELL & COMPANY
Investment Bankers. Fiscal .Is'ul-
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
X
Vancouver District Property
Expeil i.olale A|ienl> and Manaticx
I'roperlv H.uuhl and Snid. \ alurH. Rrnled and
RrpMtled on. C"r.rir.pr.nden<e inMled
WAGHORN GWYNN Co.. Ltd.
MACAULAY & NICOLLS
/v.srK.jvcv-: or .ii.i. l laches
l.sl.tTl.S \I.I\.-H..HJ
74 6 Ha-tlng. street - VANCOl VER. B.C.
K MAI >i L«V
!■ MCOLLS
42
THE MONETARY TIMES
Volume 65.
original error and avoid the policy where it had prior notice
of such error; and it might not be able to set up irregulari-
ties in the notices and preliminary proofs of loss under such
conditions. But a reference to valuators without waiver of
the conditions of the policy will not deprive the company of
the benefit of the condition that all claims under the policy
shall be forfeited in the case of fraud in the claim or false
swearing by the insured.
Notwithstanding the somewhat emphatic wording of the
condition it is not intended to make arbitration a condition
prcccdtnt to action; but when there is a submission to
arbitration the proceedings are in the nature of an arbitra-
tion and not of a mere valuation. Arbitrators should act in
the quality of judges; they should, therefore, be impartial
and disinterested.
The submission to arbitration must be made within the
time allowed for the recovery of the loss which by statutory
condition No. 22 is placed at one year from its date.
Subrogation
Subrogation, which means the substitution of another
person in place of a claimant to whose rights he succeeds
in relation to the claim, applies to fire insurance losses.
This is provided by article 2584 of the Civil Code, which is
to the effect that the insurer on paying the loss is entitled
to a transfer of the rights of the insured against the per-
sons by whose fault the fire or loss was caused. This does
not give subrogation ip.so facto upon payment of the loss;
there must be a transfer of the rights of the insured con-
currently with the payment of the insurance money in order
that there shall be conventional subrogation (that is subro-
gation by agreement). It must be express, and made at
the same time as the payment. In the absence of such con-
ventional subrogation, where the insurance company has paid
the insurance money, it might have recourse against the
wrong-doer under article 10.3o of the Civil Code by which
every person capable of discerning right from wrong is made
responsible for the damage caused by his fault to another,
whether by positive act, imprudence, neglect or want of
skill. While the insured under this article has the right
to recover the damage he suffered from the one who caused
his loss, it is open to question if the insurance company has
the same right, without subrogation, the judges holding dif-
ferent views on the question, though the weight of authority
so far favors the opinion that the company can recover. It
is recognized by our law that the insured cannot be in-
demnified twice for the same loss. Therefore, the insurer is
not only substituted for the insured in respect to any dam-
ages the latter is entitled to from the one causing the loss.
but it is entitled to recover from the insured, after paying
him his loss, any indemnity over and above the actual loss
the latter has received from the third party causing the loss,
whether such indemnity be paid voluntarily or not.
Delays for Tavment and Knlering .Action
Statutory condition 17 enacts that the loss shall not be
payable until 60 days after the completion of the proofs of
loss unless otherwise provided for by the contract. This
being a provision in favor of the company, it has the right
to stipulate anything less favorable to itself, but needless to
say, this is seldom done.
It has been decided by the courts of Quebec that where
the company has absolutely refused payment, the insured
can sue before the expiry of the delay. As this condition
fixes a time for the payment of the claim, interest will run
from the expiry of the time thus fixed.
Should the company waive its right to have from the
insured his statement of loss within a definite delay, it does
not entitle him to disregard the condition giving to the com-
pany a certain time to pay the claim after production of
proofs of loss.
Statutory condition No. 22 requires that even,- action
or proceeding against the company for the recovery of any
claim under the policy shall be absolutely barred unless com-
menced within one year next after the loss or damage
occuiTed.
This condition is a complete bar to any suit or action
instituted after the time mentioned unless the prescription
has been intei-rupted by some act on the part of the com-
pany itself. But coi-respondence between the insured and the
company on the subject of the loss without any admission
on the part of the company would not constitute such an
interruption. For all practical purposes it may be said that
the rule is that the action must be commenced within the
year following the fire.
Rebuilding or Repairing
Statutory condition 18 allows the company, instead of
making payment, to repair, rebuild or replace, within a rea-
sonable time, the property damaged or destroyed on giving
notice of its intention to do so within fifteen days after the
receipt of the proofs of loss.
This provision is seldom availed of by the companies,
but it is a convenient right to have, should a claim be made
which appears to be exaggerated and proof of value difficult
to make.
If the company does not rebuild within a reasonable
time after signifying its intention to i-einstate, it can be sued
on the policy.
It has been held in Quebec that if the insured refuses
to accept a house rebuilt by the company, he is entitled to
an expertise (reference to and report by experts), and so
long as the company has not complied with the condition
and made the repairs in a proper manner, he is not bound
to accept the house, and the circumstances of his having,
during- reconstruction, made suggestions to the builders can-
not be held to deprive him of his right to an expertise.
It appears that where the company agrees to pay, its
election to reinstate is gone; and it has been held that the
company, by exercising its right to repair, precludes itself
from the right to insist upon arbitration. So where the re-
pairing or rebuilding is done in an unsatisfactory manner, the
insured will be entitled to sue for damages without reference
to arbitration.
EFFECTS OF INCREASE IN WHE.4T PRICE
The effects of the acton of the wheat board in raising
the price of spring wheat by .3.5 cents a bushel, on May 8,
is reflected in the May returns to the Board of Commerce,
showing the cost of bread in different cities of Canada.
This was followed by an increase of $1.45 per barrel in flour
prices; winter wheat flour also advanced about 70 cents per
barrel.
The average cost of flour as used by bakers throughout
the Dominion advanced from $12.04 in April to $12.71 in
May, an average increase of 67c. per barrel, flour stocks on
hand before the advance, evidently keeping the trade from
feeling the full increased cost during the month of May.
The total avei-age cost per pound of bread for the Dominion
for May was eight and three-tenths cents per pound, against
eight cents in April, an increase of three-tenths cents per
pound, due to the increased flour cost, and fractional in-
creases in baking and delivery charges, caused by increased
wages to bakers and delivery men.
The consumption of bread in May shows an increase of
two and one-half per cent, over April, and the average yield
for May stands at the same figure as for April, namely, 262
pounds of bread from one barrel of flour.
As the yield of bread per barrel is a material factor on
the cost, the higher the yield the cheaper the bread, it is
interesting to note from the returns that \&'/t of the reports
show yields under 250 pounds, 279'r run from 250 to 259
pounds, 34'^'( report from 260 to 269 pounds, while 2Z'7i
show 270 pounds and up. Efficiency, character of the bread
produced, ovens used, etc., largely influence the yield.
August (). 1920
THE M 0 N E T A R 'i- TIMES
We Offer
SCHOOL BONDS
Province of Alberta
"? 10 anj 15 Years
to uictd
7 to 7 \ Ik
We Specially Recommend these Bonds as Sound Investments
W. Ross Alger & Company
IWESTMENT BANKERS
Bank of Toronto Bldg. McLean Block
EDMONTON CALGARY
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
of Winnipeg Rral E^statc Eichang
-iC Stoc^c EichnniK:
Businesslike Management
of Your Surplus Funds
EfF.ciency applied lo your sur-
plus funds consists in gaining
the maximum income without
sacrificing that more import-
ant quality -safely.
Vt'c own. and oftcr lo Canadian In-
vtiiori only tuch bonds a< wc have
firal purchaird with out own fundi
«(lcr thoruuKh invnligalion and lal-
isihrd i>ur»clve« at lo iheir touod-
n<->« nnd the (Irenglh and iccurily
Ijchind the iaiue.
Write for BonJ List No. 30.
Thornton Davidson & Co.
ird
Ollu
t..a,,n„,,,„. :/.,„„„
Inxeslmcnl Securities
Head Office: TrantporlaHon Bl<l|., MONTREAL
132 St. Peter Street 63 Spirkt Street
QUEBEC OTTAWA
DEALERS IN
Government, Municipal
and Corporation Bonds
Correspondence Solicited
A. H. Martens & Company
iMemberi Toronto Stoc^c Bxchangc>
ROYAL BANK BUILDING, TORONTO
61 Broadway,
New York. N.Y.
Harris Trust Bldg.,
Chicago, III.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE Or-hER OLR ((1LN>II \SI) AI)\UI
Willoughby Sumner Limited
tMaUi.hc.l I'^IO'
Mrn.U,. .,1 ihr U'lnnipra C.mm t^^ch.nc
I'livjic wire to H'innipef. Toronto. MantrcjI. C/w..j|
and .\e» Yor^
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offcrinR. al.o any Bnti.h
Columbia Gov
-nl and Muni
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C.
Victoria, B.C.
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LiMi ri:u
Wii... .-.. VSJVSCiii CMICAOC
MO.SrCKAL AND NEW VOL ,
THE MONETARY T!1\IES
Volume 65,
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
MONTKKAL— Wrck Entlril Aug. 4lli.
* Figures supplied by Burnett & Co.)
Storks
Abitibi P.;«P....(i
Ames Holden.. ..
Asbestos Corp —
Atlantic Sugar . . .'
Bell Telephone ....
B.C. Fishins
Brazilian T.L. & Power
Brompton Pulp S P. ..
Canada Cement
•■ ...pfd,
Canadian Cottons
.pfd.
Can. Converters
CanadianCar
•• ...pfd.
Can. Forgings
Carriage Factories
Canadian Gen. Klec...
Can. Locomotive ..pfd.
Can. Steamship
■■ ■■ pfd.
" ■' Vot. Trust
Con. Mining & Smel —
Detroit United
Dominion Canners ....
Dnm. Coal pfd.
Bridge
Sales Open High Low Close
Do
Olas
.pfd
Dom. Iron. pfd
Dom . Steel Corp
..pfd
Dominion Textile
Hillcrest
Howard Smith
• ....pfd,
Illinois Traction
...pfd.
Lake of the Woods. .
..pfd
Laurentide
Macdonald Co
Mont. Cots. Ltd.ptd.
40
40^
H.S
fifii
S6i
,S6i
8S)i
SHi
Montreal Power
Montreal Tram
.. ..Deb.
National Breweries —
Ogilvie Flour Mills...
pfd.
Ont. Steel Prod
Penmans
pfd.
Price Bros. Co. Ltd....
Quebec Ry. L. H.&P..
Riordan Pulp* P
pfd.
St. Lawrence Fl. Mills.
"..pfd.
ShawinLgan VV.&P ...
Sherwin-Williams
Spanish River
" Uiv.Vnu.
•■ pfd.
Steel Co. of Canada...
• '■ •• .pfd.
Toronto Ry. Co
Tooke Bros
Tuckett
Wabasso
Wayagamacit P. & P..
Woods Mfg. Co.
Wii
84i
lOOj
S7
(i9}
Windsor Hotel .
■tniiko
Commerce... . . .
Hochclago
Merchants
.Molsons
Mo
.pfd.
; Scotia
Nationalc
Royal
Union
Bollil.H
Bell Telephone Co.
Asbestos Corp. . .
Canadian Car & Fo
Can. Cement I
Can. Felt I
Cedars Rapids .Mfg....!
City Mont. Dec. K's,I922l
■• Mayfi's. 192.1
■■ Sept,i;'s.l92.l|
Do-n. Can. \V. Loan. IWM;
I9:il
1937
Victory Bonds. 1922. .
• ' ■' 1927....
1937....
1923...
1933,...
2000
27.10
2riO
i.sooi
looflo;
13200
1100
209001
20900
3X200
1171 IIS
100 I 100
MOyTltEAlj-Continued.
Dom, Cottons .. .
Dom. Iron
Dom. Textile A..
B..
1000
Lake of Woods
Montreal Power
Montreal Street Ry....| .. .
Ogilvie Flour
Penmans Ltd
Price Bros
Quebec Ry.L.H. & P...' 11400
Riordon Pulp & Paper.
Scotia !
Sherwin-Williams.... I
Spanish River [
Steel Co. of Canada. . . 3000
Wabasso Cotton | i
Wayagamack P. & P. . . | 6300
Windsor Hotel
High Low CI
95j
TORONTO— Week Ended Aug. 4th.
Sales Open High
Atlantic Sugar
Ames Holden
Barcelona
Uell Telephone ...
Brazilian Traction.
B.C. Fish
Burt. F. N
nada Bread
Canada Cement
Can. F. & F
Can. Gen. Elec. ..,
.. P
Canada Steamship.
.p
Canadian Pacific R.
Consumers Gas.
Detroit United .
Dom. Iron
Dome
Dul. Sup
Mackay Compar
Nipissmg..
Pac. Burt .
Prov. Paper,
Pi
.pfd.
.pfd.
Porto Rico
Riordon
Rogers
Quebec R.L.H. & P..
Sawycr-.Massey . . . .
Spanish Ri<
Salesbri
pfd.]
'.pt'd.\
Smelters
Steel Company . I
....pfd. I
Steel Corp
Toronto Ry
Tucketts pfd.
Twin City com.
Western Can. Flour...
Winnipeg Elec
Itaiikx
Commerce. . .
Dominion.. . .
Hamilton....
Imperial . . . .
.Merchants ..
Montreal
Nova Scotia.
Royal
Standard
Toronto
Union
liOnii niMl TruHl
Can. Perm
National Trust
Col. Inv
.&Can
on & Erie
Tor. Gen. Trust
Knnds
. Bread
Canners
Penmans
Rio. Jan. T.. L.&P...
Steel Co. of Canada . .
!<9i
■9.SJ'
89)
95 j'
TOKOMTO— ConMn«ed
War Loans
Sales
Open
High
94.1
91}
96S
Low
94
90
96i
Close
Dom. Can. W.Loan, 1925
1931
1937
10800
4900
46700
94J
96S
94i
9li
96J
1923 ....
1927 ....
1933 ....
1937 ....
■
WIXXIPEft— Week ended July 8l»t.
Sales
Open
High
99
99
101
98
99J
%
Low
99
99
101
88
99j
96
Close
Victory Loan 1922
" 1923.. .
•■ 1937
'■ 1924
" 1933
" 1934
War Loan 1937
5000
2000
2100
6750
5000
71900
99
99
101
98
99i
96
99
99
101
98
99*
96
•• 5%
200
200
30
S
4
50
96
100
110
811
90
lis
96
100
no
80
90
115
96
100
110
80
90
lis
96
100
no
80
90
115
Home Inv
F.P
Nor Trusts
SiEW YOKK-Week ended July Slat.
Canadian Pacific j 11500
Bonds I
Dom. of Can. 5% 1921' 8700ol
S*"„ 1^21 2:t000
5'V, IMiH 10000,
.Sj'V, 1929 .S30U0
,59o 1931 33000
New York Curb-
British Empire
7% pfd,
Canada Copper.
Dommion Steel
High
Low
I22i
118i
97i
971
89J
91.
86]
97
86
24
52J
22
48
59
sn
LO\WO.\, Kng;.— Week ended July lUh.
tiov't, A Nun.
Alberta 4*%
B.C. 44% 1941
Canada.... 3% 1938...
■' .... 34°,', 1909-34
" .... 3j% 1930..'i0
" .... 4% 1940-60.
Calgary 4*% debs
5% deb
Nfld.4°i> :913-38
'■ 3*% 1945
" 3* 19,52
'■ 3*% 1950
Quebec 4°', bds
4 » 1934
Montreal 4j% 1951-53,.
3J%cons....
S%deb
3%dcB
4i deb
Nova Scotia 44% cons.
31% 1954..
Toronto 3J% deb
4% deb. 1944-48:
44% 1943..'
34% 1929 .
44% 1918..
Vancouver 4% 1947-49
4% cons. .
Winnipeg 4% 1940
4% 194.3-63...
ICallwnys
C.Nor.Ont.34%deb 1%1
4% deb...
Can.Nor.P.4%deb.l9S0
" 4*% deb. 1950
Can. Nor. 4% deb
■' ■ West. 44% 1942
Can. Pac
Can. Pac 4% deb.
G.T.P. Br. 4% 1939
G.T.P.3%1962
G.T.P. 4% 1955
G.T. P 4% deb
Trunk... 4% guar,
TrunkS% 1st. pfd..
Sales Open High Low Close
76
64i
614 I 6li
7Hi,
784
74*
73
61
K4
78*
784
48*
48*
774
77
Gr.Tr
G
Trunli rX-. 3rd pi
Gr, Trunk Western .
Ont. & Quebec 5"odeb.,
ind.. Flu., Etr.
Bank of Montreal
Can. Bk. of Commerce.
Can. CartV'o 1
Calgary Power 5% bds
Can. West Lumber .5%. .
. West Natural Gas, .
794
744
VA
Til
75J
74J
741
.594
^
.59!
.114
Sll
67
67
fi7
75
734
75
,544
.53
59
.734
734
73
154
151
151
644
76$
63i
64)
76
76
.58
58
58
61
60
fil
.59
.574
57i
59
58
59
43S
41J
42i
33
31
S2
14i
t3i
Mi
734
734
7SJ
794
794
794
43
43
43
404
40
40
^\
^
^
55
5S
55
504
504
504
August 6, 1920
T li E M O N E T A R Y 1 1 M E S
45
■vv-v;
The flight of a train is like the throb of an enormous pulse
in the arteries of the nation. To slow tlie beat M to
slou.' the life of the country.
I "HE train in the picture is one of the eleven
*■ hundred freight trains in daily service in Canada.
lit consists of one heavy-duty • freight engine and 45 standard box cars.
It can carry 2,000 tons of wheat.
In 1913 its engine could have been built for $34,700 — to-day $81,000; its
box cars for $1,138.85 each— to-day $3,797.50.
In other words, the rolling stock alone in the movement of 2,000 tons of
wheat has increased in cost from $85,948.25 to $251,887.50 or 193.1% !
The labor bill of the railways has risen in the same period from $11 5,000.000
to$231.000,000.— 101%!-
The cost of rails for a mile of track has gone up from $9,497 to $19,680
-107%!
No cost has been unaffected by the general rise.
Operating expenses continue to rise more rapidly than Gross earnings.
Net earnings are sinking at an alarming rate.
These are the facts that lie behind the application for increased frciRht
rates for the railways.
'Estimated
7/.t! 13 iht srcond o/ a taw al oc'mti. cm/«i fxWdVJ unUr OuamUaHly^f
The KaiKvay Associnlion of Canada
:crin.?rly 'h- ' A n'a D . A ;. KAiLWAV WAK ItUAKU
ExplanMioH of Chart •
Top :imt ikoaa lit rut <^ Gton
tnmul,
i/k/Jt< lint iham tk.- m.wr rtfU
rat v/ Ot)traint4 Lx/<nt4J .
t'oUom tint ikom tk* icm»tri
tlnni$ tt SI rutniHci ai *
lantl V Uit n.t «■ Iki mu4t:
ttnt — i>ptr4;tm: Eiivaici.
THE MONETAE V T I M E S
Volume 65,
Corporation Finance
Wabasso Cotton Reports 1919 as Best Year in its History— Position
of Dominion Shipbuilding Company— First Annual Statement of
Canadian Woollens — Earninjis of Brazilian Traction in June
Winnipeg Electric Uaihvay Company. — Officers oi' the
Street Raihvayinen's Union on Saturday evening- signed the
agreement with the Winnipeg Electric Railway Co., provid-
ing for a wage increase of approximately 10 per cent., as
recommended by the Myei's Conciliation Board. The agree-
ment is for one year. As the award is retroactive to May
1, the men will receive back pay, aggregating $70,000, at
the earliest possible moment.
Porto Rico Railways Co., Ijtd. — The following is a com-
parative statement of earnings of the company for June,
1920:—
1919. 1920. Increase.
Gross $ 89,191 $124,382 $ 35,190
Net 33,112 50,.507 17,394
For six months ended June: —
Gross $5G7,9G9 $072,326 $104,3.'J6
Net 210,121 264,868 54,747
Brazilian Traction. — A net increase of 919,000 niih-eis
for the month of June over the same month last year is
shown in the combined earnings and expenses of the
Brazilian Traction, Light and Power Co., Ltd. Total gross
earnings amounted to 10,874,000 milreis, the operating ex-
penses 5,078,000, net earnings 5,796,000, while the aggregate
gross earnings from January 1 totalled 61,040,000 milreis,
and the aggregate net eai'nings for the six months 33,057,000.
Tlie increase in gross earnings for the six months was
7,077,000, and the increase in net earnings 4,707,000.
Gross Net Net inc.
1920 (milreis) (milreis) (milreis)
January 9,655,000 5,110,000 827,000
February 9,381,000 4,984,000 1,120,000
March 9,900,000 5,810,000 297,000
April 10,245,000 5,595,000 499,000
May 10,985,000 6,262,000 1,045.000
Jun^ 10,874,000 5,796,000 919,000
Domin'On Shipbuilding Company. — Assets valued at $3,-
500,000 and liabilities of $2,000,000 represent the position
of the Dominion Shipbuilding Co., Toronto, which is now
bein'T wound up by Osier Wade, assignee, who was placed
in charge of the affairs of the company by a group of
creditors represented by A. C. McMaster of the firm of
McMaster, Montgomery, Fleury and Co. "The information
I have received is that there will be a surplus of $1,500,000.
The assets are not liquid, and are locked up in the plant.
The information I received to-day is six weeks old, and the
position of the company may have changed in the mean-
time," said Mr. Wade on August 4. "A staff is going
through the affairs of the company, and a definite statement
will not be made for three weeks."
Wabasso Cotton Co. — There is unusual interest in the
annual statement of the Wabasso Cotton Co., Ltd., Montreal,
this year on account of the plans which are being worked
out for the splitting up of the share capital of the com-
pany. The annual statement for the fiscal year ended June
30th, which has just been sent to shareholders, indicates that
the company has enjoyed the best year in its history. The
largest volume of business handled has enabled it to
strengthen its financial position and to report a slight in-
crease in profits over the previous year, which up to that
time had been by far the best year the company had ever
enjoyed.
The general statement of assets and liabilities shows
current assets of $2,051,702, as compared with $1,205,054 a
year ago. Current liabilities, which include provision for
business profits tax for 1919 and 1920, amount to $1,211,332,
as against $614,017 for the previous year. Included in cur-
rent assets are cash on hand and in banks, $122,137, as com-
pared with $i06,989; Victory bonds and call loans, $550,321,
up from $327,539; accounts and bills receivable, $560,951, up
from $386,333, and inventories $818,242, as compared with
$376,549.
Canadian Pacific Railway Co. — The June earnings state-
ment of the company discloses a decline in net of $359,603,
or about 12 per cent, from the level of June, 1919. Gross
earnings were well up to previous records, but working ex-
penses, as the result of the ever-increasing cost of mainten-
ance and materials, together with higher wage requirements,
rose to unprecedented figures. The following is the compara-
tive statement: —
1920. 1919. Increase.
Gross earnings $16,480,574 $13,577,273 $ 2,903,300
Expenses 13,849,757 10,586,852 3,262,904
Net 2,630,817 2,990,421 *359,603
Figures for the first half of the year are: —
1920. 1919. Increase.
Gross earnings $92,057,586 $76,722,266 $15,335,319
Expenses 80,629,400 64,535,788 16,093,611
Net 11,428,186 12,186,478 *758.292
*Decrease.
Canadian AVoollens, Ltd. — The first annual report of
the company shows the results of the company's operations
in the first twelve months of its existence, and indicates that
the period has been a successful one. Profits from operations,
after deducting all manufacturing, selling and general ex-
penses, and providing for government taxes, but before mak-
ing provision for depreciation, interest on bank loans and
organization expenses, etc., amounted to $599,072. Provision
for depreciation of buildings and machinery, $107,188; inter-
est on bank loans, $25,999; organization expenses, $10,008;
reduction of investments to market value, $12,650; and
provision for employees' pension and insurance fund, $20,000;
when deducted, left n?t income for the year of $423,227.
.^fter deducting preferred dividend/s, net earnings were
$300,727, indicating over 17 per cent, earned on the 17,500
common shares.
The balance sheet shows the company in good financial
position. Total assets aggregate $5,581,208. Current assets
are given at $2,346,394, as against current liabilities amount-
ing to $1,290,174, a surplus of current assets of $1,056,220.
Krazilian Traction. Light and Power Co. — No definite
declaration in regard to a dividend on common stock was
given at the annual meeting of the company in Toronto on
July 28, although .shareholders were given the assurance
that attention would be accorded their claims at the earliest
possible moment. The chairman. Sir William Mackenzie, re-
ferring to this question, said that the board was just as
anxious to see a dividend as the individual shareholders.
He pointed out that the matter would be taken up at the
first possible opportunity, but that at present the future had
to be considered, wnth a view to seeing where the money was
coming from to keep its concession obligations in shape.
Answering the question of how much of the earnings had
been applied to capital account since the company ceased to
pay a dividend. Vice-President E. R .Wood stated that the
sum was approximately $33,000,000. This brought the remark
from a shareholder that a stock dividend .ought to be paid.
Mr. W'ood replied that if this was done it would have to be
paid at par in new shares, and, if liquidated at present prices,
would reduce its cash value, and, in addition, future dividends
would have to be paid on the new stock at par.
Sir Alexander Mackenzie, the president, drew attention
to some of the more salient features of the year's business.
Autrust 6, 1920
THE MONET A R V T 1 M F.
ACHIEVEMENTS IN CANADA
OF THE
L. R. STEEL COMPANY, LIMITED
5c. to $1.00 Stores
Mnntr9»\ ^ l.uildiiig, srt ft. ;. In. l,y HH ft., at 4.;'.. tn 470
UUlICdl <, L-atlKiine Street Kiist. h;is hc-fn l.-ast-il iin.l
is bi-mK uuii.-^ioimed Into an I.,. R. Steel Compan.v. Limilcd,
oc. to jl.iHi St- -re. The foundation has been excavated, work
has be^un <.»n tlie concrete and the front of the building is
beinj? reino<l<-ned. An addition to the rear is l>eing t»uHL
When reconstructed to conform to standard retiuiremenla.
this structure will contain a 5c. to $1.00 store, woman's spe-
cialty shop, and In the biisement a soda fountain, lunch
counter and other attractive features.
to the U R. Steel Com-
pany, l.imited. One store is on St. John Street, the other on
Crown Street. Foundations are in and work is proceedlnB
on the iron work. Both buildings. ,is soon .is completed, will
be oc<upied by 5c. to $1.00 stores, specialty shops for women,
soda fountains and lunch counters.
CI 1 1.- .\ store has le.n aciiuired on WVlllnKton
JOerorOOKe street. An addition to rear h.is been com-
plett-.i The front will be remodelled. This excellent location
will !.,. used for an U R. Steel Company, Umltcd. 5c. to Jl.OO
purchased at f>8 Sparks Street, In the heart of the
shopping district. It will be transformed into an U R. Steel
Company, Limited, 5c. to $1."" .-^tore. sp.cialty shop and
cafeteria. Possession will be obtained May 1st. 1'.'21.
Tn>,nn»n Comcr of Danforth Avenue and Cough. "S ft.
I orODIO by 110 ft., has been purchased. Plans are ready
: ri. building of a modem structure to contain an I* R.
Sieel i-oMi|.aiiv. I.lnul.d. :,. to il.i'o .lor., a «■ ■
lialty sli..p and a ' llunnymoon Sweets ian.l> h! ■
A larse warehouse at 3.1-35 Jliitual Stn-i. T.i.i.'. !...>
leen purchased by the 1. Ft. Steel Coni|'an>. l-iiniii-l It will
l)e tilted out with electric hubts ami other nupd.-rn Iroprovr-
nienis. 1.. be used a* a warehouse for the Company'* •tore*
ill .in. I .lound Toronto.
/-- J--:-L .\ lease in held on a nio«t modern nni] wcll-
UUaerica situated building liere. Reinodelllnic I* tthoul
completed, and the op^'nliig "late of thta utorc l» »et for
August 7th. This will be the flrsl U U. Steel OompaoV,
L.lmlted, ac. to Jl.OO store In oiwmtion In Canada.
a held on u valuubin
«.c<ind -Vvenue \V<«i
Kxt.nsi\.- ali.ratlons arc being made. It in planned to open
this I. II. .sieel Company, Limited. 5c. to Jl.OO «lore about
.\utu.«l L'ISt.
n.liou/,> A valuable site un SImeoe Street ban been
USnawa u-ased. Old store bulldinss arc beinK removed
to niak,- way for the line, modern bulldiiiK to be built and
used a» an L. R, Steel Company. Limited. 5p. to 11.00 itore
and woman's specialty iiliop. HIds for construclliw the new
liiilldlng will be let in a few days.
iif l.tiintfonls best lorners -<'o|lsirne and
■n Streets has lieetl pun hllH.-.l by the I.
l: .-I..1 Company. Llmite.l. H, re will be I'ulU " mi^leni
no r. I iindlsing structure thai will be occupied by an I. P.
Steel Company, Limited. 5e. to $1.00 store and apeclally <•'
for women.
Brantford
Achievements in the United States
of the L. R. Steel Company, Inc.
ii.i'
Three Pioneer Producers — o|,',!ratink-"i'ince last .-Spring.
Conn ; I'onghkeepsh-. .N'.Y.. an.l Port
lies are being r.inod.lled to meet the
of the L. H. Steel Company. Ineor-
I.orat...!,
W:l_:_.^«.. In Wilmington. Delaware, a very valuable
lllDlDglOn — store lease has been acquired. A modern
merrhan.lisiiiK building is being reconstructed Into a standard
L. R Steel Companv. Incorriorated, 5c. to $1 On st^ire, which
Is planned to ..pen about Oct. 1st.
ip rn . » • J IS stores— ID r -ntly aciuired
I WO LhainS Acquired from tlu- Ilolxwortli chain— I
fK.in the Willn.r . hain— are being transfornie.l Into highly
,.,.,,,. I ]• -:t ..' Company, Inc.. 5c. to $1.'"' stores in
, ,s city: Quincv, II!.; Oshkosh. Wis.:
viile III.; Aurora. Ill ; H.vk Island.
hJallvllle. Ind.; Dclr.-li. .Ml.-li.; Mollne.
. Ohio. The Kansas Clt>. yuln. .v ni\d
(iMiwiu.i Hior. s wiU have woiiiens spe.inlty »b"P», iin.l the
first two mentioned, cafeterias also.
n«a.l» A verv substantial and spad..— boil.llng him.
DOnalO 1,..,.,, ,',„r.-hase,! ,,n Wi-'-.-'- -"■-' ■■■■■■..-m,.
Klllc.lt S.iu.ii.- Hull. III. f. Til.. !«.. I<.«cr flo..™ of tl.li. !■■
ing will be reln...blle.l an.l beaulllled int.. one of the I.
cafeterias in Anieilca, .apulib- of sealing ti" people
tipper portion of this building will !>.• used aa n wureti.
by the L, R. Steel Company, In — *
iit.-.1
One of Ihi- lK-»t orners In i;
Streets— haa been leased for a woi
retail hats, waists, i-orsets, hosier'
price limit of $1". Ijirg.- plate itia:
and Interior littings are being liistnjieil I'l.. 'i. joi
Specialty Shop lie Luxe Is kcIhmIuIihI f..r Au«u«l Ui
(ipposite the largest market pliice In lluffHln. :>i
the Inrgesl in America, there Is situated n sb.re i
be remodelled Int.. iin 1. U SIrel Conipuny. lb.- .
St. re This IniHilIng is held on :eo»e 111 an nm.'
'I .r. Imii.ll«li.„- |...-atl.in
Nia^a
most prnmlneiil
il for 99 year* by the
■e building when erede.l 1
i.table stores In the chain ■
if the L R (»le<l
SITES WA NT E D
The U. R. Steel Comp.iny, Lh
for the purpose of leasing, buying
TORONTO DISTRICT London
Wetland
Toronto i,2)
Guelph
Woodstock
Sault 3te. Marie
Windsor
Hamilton
St. Thomas
St. Catharines
Cobalt
Peterboro
Kitchener
The abo
Sornia
Stratford
Sudbury
Chatham
MONTREAL DISTRICT
Montre.ll i->)
Three Rivers
Brockville
Malsonreuve
Thetford Mines
itert Di.ms to cover Canada from Coast to Co*«t. Neootiition
r bulldinq store, m the toMowinj cities and town, in the Ooir
Sherbrooke HALIFAX DISTRICT
Verdun Halifax
Kingston Monclon
Cornwall ?.'"r»i?*''
St. Cuneoonde Amh.r,i
Ottawa (2) Svdnev
Valleyfield r^dericlon
Charlotietown
Sydney Mine.
WINNIPEG DISTRICT
LachI
3t. Hyaclnthe
Belleville
Levis
Hull
Winnipeg
Port Artivur
Moose jaw
Fort Willlar
Brandon
Pr.nce *ib«t
Real"'
CALGARV
CalQ."/
Edn.jnton
Victoria
Saskatoon
Vancouver
Lethbrldfi*
list Is
Canada.
Information eonce'
LIMITED. CANADIAN i
OFFICES. MERCHANTS
mediate needs o« the Company. Eventually about 100 .ite. wlH IM ne-.rd >n
'oFF^f.E^s' Vu"iTk° i^jL-'viv^r'sS-N-rB^rioiriSi: ".oMiVr^ ^^^^
_01NC. wiMNrPEG.
THE MONETARY TIMES
Volume 65.
recently made known in the annual report, which showed an
improvement in conditions generally, and also the possibility
very shortly of a change for the better in the exchange situa-
tion. His remarks showed that the property was in excellent
physical condition and the earning position better than ever.
Touching on the increased demand for services, Sir Alex-
ander said that they had absolutely no resourse but to spend
the earnings of the company until they were able to raise
money in the United States, but he hoped that the time was
not very distant when the cheerful communication could be
made of a resumption of dividend.
The retiring board of directors was re-elected wdthout
any change as follows: Sir William Mackenzie, chairman;
Sir Alexander Mackenzie, K.B.E., president; E. R. Wood, H.
M. Hubbard, R. C. Brown, E. R. Peacock, Miller Lash, vice-
presidents; H. F. Marshall, Clarence Dillon, Sir Thomas
White, K.C.M.G.. D. B. Hanna, R. M. Horne-Payne, Sir
Henry M. Pellatt, C.V.O., Hon. F. H. Phippen and William
Bain.
CORPORATION SECIRITIES MARKET
New York Market Lower — Montreal and Toronto also
Weakened — Several Companies Secure Increases
in Authorized Capital
POLITICAL developments in Europe exerted a strong
bearish influence on the stock markets, both in New
York and in Canada since last week. Coupled with high
money rates and a general tightness in the market, this
effected substantial losses in the quotation of many securi-
ties. Some improvement took place in the railroads, with
the certainty that higher rates would be authorized without
delay.
In Montreal there was rather heavy trading with prices
tending downwards. Some of the securities which lost the
most ground were Abitibi, Ames-IIolden, Atlantic Sugar,
Dominion Canners, Price Bros., and Spanish River. The
papers were rather prominent in the downward tendency,
although some issues stood up well. Among other stocks,
Bell Telephone, Woods Mfg. Co., and Dominion Steel made
gains. In the banks there was some activity, with no im-
portant change in price levels. Bond prices were fii-m.
Capitalization Changes
Increases in the capital of companies incorporated under
Dominion charter have been authorized as follows: —
Former capital Increased
stock to
De Laval Co., Ltd .?1,000,000 $2,000,000
American Nitrogen Co., Ltd., (de-
creased) 4,000,000 3,000,000
Dominion Paint Works, Ltd 50,000 .500,000
The capital of the W. E. Woelfle Shoe Co., Ltd., in-
corporated under Ontario charter, may now be increased
from $10,000 to §200,000. Changes have also been author-
ized in the capitalization of the Allen's Niagara Falls
Theatre, Ltd., increasing the capital from $350,000 to $425,-
000.
RECENT FIRES
Village of Carp, Ont, Suffered Loss of $100,000— Currie-
Williams Cannery at Ladner, B.C., Canadian Iron Foun-
dries, Ltd., and Dominion Brake Shoe Co., Ltd., at
.St. Thomas Also Were Large Fires This Week
Burnaby, B.C. — July 17 — Residence of Rev. A. C. Cam-
eron on Mayne Avenue, near Kingsway, was destroyed.
Carp, Ont. — August 4 — The village of Carp was de-
stroyed, the estimated loss being $100,000. The following
places were destroyed: Younghusband Block, occupied by
Alfred E. Y'ounghusband, hai-dware and grocery store, and
Austen C. Y'ounghusband, dry goo<:is store, ice cream parlor
and dwellings. Loss on building $15,000, and on stock $15,-
000, partly covered by insurance. The Daly Block, owned by
.James Daly, Ottawa; loss, $30,000, partly covered by insur-
ance. G. A. Dawson's drug store; loss on stock $10,000, in-
surance $5,000. A. E. Evoy, Carp "Review" office and print-
ing plant; loss $12,000, insurance $5,000. Geoi-ge Bishop,
grocery stock; loss $10,000, insurance $5,000. Bank of Nova
Scotia, fittings and equipment, $3,000, mostly covered by
insurance. Masonic Hall, loss $3,000, no insurance. Mrs.
Samuel Hempshill and Freiman Gibson, furniture in dwell-
ings, loss $2,000.
Glace Bay, N.S. — August 3 — Department store belonging
to McArel Bros, destroyed by fire.
Ladner, B.C. — July 25 — Cun-ie-W'illianis Cannery, with
6,000 cases of salmon, was destroyed; also a store and about
forty residences destroyed. The loss is estimated at $100,000.
The plant was owned by the British Columbia Packers'
Association.
St. Justine de Dorchester, Que. — July 25 — Five houses
and four barns, valued at $40,000, were destroyed.
St. Thomas, Ont. — July 29 — Pattern storage department,
pattern-room and a portion of the roof of the foundry of
the Canadian Iron Foundries, Ltd.; and the material sheds
and shipping building of the Dominion Brake Shoe Co., Ltd.,
were damaged. Total loss is $100,000, partly covered by
insurance.
Winnipeg, Man. — August 2 — The Winnipeg civic light
and power plant at Point du Bois was damaged by fire, which
shut off the city's system for five hours.
ADDITIONAL INFORMATION CONCERNING FIRES
Sarnia, Ont. — The fire. loss for the quarter ending June
30th was much greater than the loss during the first quarter
of the year, according to the report of Chief Batty, which
recorded twenty-seven alarms, seventeen fires and a loss of
$11,876, $10,985 more than during the first three months of
the year.
Fairville, N.B. — July 7 — Storage of Ready's Beverages,
Ltd., was destroyed. Estimated loss, $400. Insurance carried
to the extent of $1,000 in the Canadian-.\nglo Insurance Co.
Fleming, Sask. — House and contents of Harry Bowering
were destroyed recently. Estimated loss on contents, $2,000;
on building, $6,000. Insurance carried to the amount of
$1,500 in the London Fire Insurance Co.
Golden. B.C.— July 3— Store of A. D. J. Marhuson was
damaged. Estimated damage to contents, $4,000; to building,
$2,750. Insurance to the amount of $2,000 carried in the
Hudson Bay Insurance Co.
J, A. THOMPSON & CO.
Government and Municipal Securities
Kiiral Trlr-
COKHP.SPONDE.NCE INVITED
Union Bank Building
WINNIPEG
The CommGrciail lAie
Assur Since CompaiPyof Canad*
Ifeacf VfGcts, T.P.R. BIdj., Edmonton
; The Monetary limes
Prinring Com pan v
Irade kc%icw and In>iurann; Chronicle
of (TnnaDn
0;j a^ U-dftJcr-
JAS. J. SALMON U
Pr*«ldeBt and Qeatral Muia^r!
A. E. JENNINGS
Asiidiuit Central Utaacar
JOSEPH BLACK
S«ret*ry
«'. A. MeKAC.l I
Loan Company Assets Exceeds Quarter Billion
Figures for 1919 Show Moderate drowth in \ Oiunu- of IUisines>— Deposits Increased but
Amount of Debentures Outstanding is Almost Inchanjred -^Amount of MortRages Held is t'onsider-
ably Reduced — Net Profits Average ti.7 Per Cent, of t ombined Paid I'p I'apital and Reserve
CANADIAN loan companies increased their business in
1919 in spite of the fact that money conditions were
very tight. Deposits show a healthy increase for the year,
representing net savings on the part of the Canadian people.
The amount of debentures outstanding was substantially
reduced, however, the discount of the pound sterling being
one of the main factors bringing about these repayments.
This scarcity of funds was offset by the heavy repayments
of principal on mortgages, and an increasing proportion of
loan company funds found its way into government and
municipal securities.
Figures of loan company business for 1919, as compiled
by T/ii' Miiuri.iiv Tinus. compare as follows with the figures
for 1918:—
1918. 1919.
Capital paid up $ 63,934,070 $ 55,641,039
Reserve 35,753,954 34.673,738
Deposits 23,549,559 27.774,056
Debentures outstanding 110,524,076 110,523,185
Mortgage loans 164.327,374 156,052,063
Total assets 245,302,208 250.076.621
Net profits 3.297.404 6,125,177
There were fourteen Canadian companies (leaving aside
the Trust and Loan Company of Canada, the head office of
which is in London, Eng.), which had a paid-up capital of
$1,000,000 or over at the end of 1919. The results for these
fourteen, compared with the results for 1918, are compared
below. The statistics for these companies are practically
complete, and the comparison, therefore, gives a good indi-
cation of developments during the year.
Paid-Up Capital
1918. 1919.
Canada Landed $ 1,20.5,000 $ 1.20.5,000
Can. Mort. Inv 1.231,631 1.23.'5,954
Can. Permanent Mort 6,000.000 6.000,000
Central Canada L. and S 1.750,000 1.7.^0,000
Colonial Invest, and Loan 2,456.402 2,4.Vh.421
Credit Foncier 4,823.333 4,823.833
Great West Perm 2.412..'7h 2,413,018
Hamilton Prov 1.200.000 1.200.000
Huron and Erie Mort 2,500.000 5.000,000
Landed Bank and Loan 1.000.000 1.000.000
London and Can. Loan 1,2.50.000 1.250,000
Northern Mort. Co 1.903,.V.U 1,914.602
Ontario Loan and Dehen. .. :• 1,750,00(1 1.750.000
Toronto Savings and Loan .... 1.000.000 1,000,000
Total J30.483.538 $33,000,918
Reserve
1918. 1919.
Canada Landed ^ 1.205,000 $ 1.355,000
Can. Mort. Inv 450,000 532,O.S4
lyl8.
Can. Perm. Mort 5,500,000
Central Can. L. and S 1,7.50.000
Colonial Invest, and Loan 400.000
Credit Foncier 4,198,177
Great West Perm 964,459
Hamilton Prov 1,200,000
Huron and Erie Mort 3,300,000
Landed Bank and Loan 880,000
London and Can. Loan 900,000
Northern Mort. Co 176,733
Ontario Loan and Deb 2.050,000
Toronto Savings and Loan 1,100.000
Total $24,074,369
Deposits
1918.
Canada Landed
Can. Mort. Inv. ...
Can. Perm. Mort $ 5,461,936
Central Can. L. and S 1..151,693
Colonial Invest, and Loan
Credit Foncier • ■
Great West Perm 691,574
Hamilton Prov 8.50,113
Huron and Eric Mort 3,104.973
Landed Bank and Loan 875,885
London and Can. Loan
Northern Mort. i'o
Ontario Loan and Deb 825.414
Toronto Savings and Loan .... 552.312
Total »13.7I3„<KK)
DEaGKTURES OlTSTA.VDINC
1918.
Canada Landed » 3.816,095
Can. Mort. Inv 60fi.ltf.r.
Can. Perm. Mort 14,ir.4..3.M
Central (nn. L. and S 3.616.514
Colonial Invest, and Ixjnn 539,835
Credit Foncier 37.978.145
Great Wc«t Perm 1.42r..i01
Hamilton Prov 1.241.209
Huron and Erie Mori 9.074.85,
Landed Bank and Unn 7ir..0».5
London and (an. I^an 2.600.263
Northern Mort. Co 968.400
Onf, Loan and Pcb 2.424.060
Toronto ."Niiving* and Lor.n .... l,360,.T''l
Total fsojiau:
1919.
5.750.UOO
1 ,750,000
400.(KiO
4.342, lUU
1.050.WKI
1.25(1.000
l.OOO.OOU
925,000
950,000
200.4.'"..'.
2.150.1MI0
1.100.000
$23,755,140
f 6.206.962
1.824^318
93.3.617
852.r.3r.
4.054.841
949,882
900.HTJ
l.08'.<.Mr.
$16.8124J42
1919.
$ 3.931. •
.'.r.oi
U.T'.'t
.3,:U'
4-,,
37.97^
U.<-.".
m:<.:
10,14T.'
7i: :
2.7-.'."
1.0o<i.
2.70.-.'.
«T1
THE MONETARY TIMES
Volume 65.
Mortgage Loans
1918.
Canada Landed $ 4,801,620
Can. Mort. Inv 1,565,170
Can. Perm. Mort 26,318,587
Central Can. L. and S 1,348,944
Credit Foncier 37,1 03,063
Great West Perm 4,247,882
Hamilton Prov 3,978,849
Huron and Erie Mort 10,409,670
Landed Bank and Loan 2,909,424
Northern Mort. Co 2,690,224
Ont. Loan and Deb 5,207,977
Toronto Savings and Loan .... 242,361
Lon. and Can. Loan 4,272,143
Total $105,095,914
Total Assets
1918.
Canada Landed $ 6,422,606
Can. Mort. Inv 2,406,613
Can. Perm. Mort 31,461,387
Central Can. L. and S 9,104,030
Credit Foncier 55,896,156
Great West Perm 5,507,435
1919.
$ 6,252,111
1,413,457
26,211,306
1,196,633
35,183,953
5,498,465
4,244,509
13,339,194
2,811,518
2,699,046
7,221,409
4,381,380
$110,4.'')2,981
1919.
$ 6,606,428
2,386,927
33,054,238
9,508,807
57,220,880
7,423,973
1918. 1919.
Hamilton Prov 4,579,472 4,764,339
Huron and Erie Mort 18,207,750 20,435,520
Landed Bank and Loan 3,527,773 3,650,662
Northern Mort. Co 3,169,861 3,213,467
Ont. Loan and Deb 7,132,790 7,578,797
Toronto Savings and Loan 4,074,188 4,171,720
Lon. and Can. Loan 4,844,958 5,085,872
Total $156,335,019 $165,101,630
Dividend Rate
1918. 1919.
Canada Landed 9 9
Can. Mort. Inv 6 6
Can. Perm. Mort 10 10
Central Can. L. and S 5 10
Credit Foncier 10 10
Great West Perm — 5
Hamilton Prov 8 9
Huron and Erie Mort 12 6
Landed Bank and Loan 8 8
Lon. and Can. Loan 8 9
Northern Mort. Co 5 5
Ont. Loan and Deb 9 9
Toronto Savings and Loan 10 10+4
LOAN COMPANIES— Statistics for Year Ended Dec. 31, 1919
npcg..
ICom-
Business
Urockville Loan & Savings Co., Ltd., Brockville
Uritish .Mort. Lean. Stratford, Ont
B.C. Perm. Loan, Vancouver. U.C
Canada Landed i>i National Invest. Co.. Toronto. Ont.
Can. MortgaKe Invest., Toronto
Can. Northern I'rairie Lands Co.. Ltd., Toronto.
Canada Permanent Mort. Corp., Toronto, Ont
Canadian Finance .■;■ Securities Co.. Ltd., Winnipeg. M,
Can. Standard Loan. WmnipeK, Man
Canadian Bond and .Mortgage Co.. Winnipeg
Central Canada L. & S., Toronto. Ont
Coionial Invest. & Loan, Toronto
Crown Savings & Loan. Petrolea, Ont
Credit Poncier Franeo-Canadien, Montreal. Que
Dom. Savings fi Invest.. London, Ont
Eastern Canada Savings, Halifa.\
Kast Lambton Farmers Loan, Forest
Edinburgh Canadian .Mort. Co., Toronto
Empire Loan, Winnipeg. Man
Frontenac Loan, Kingston —
Great West Perm. Loan, Winr
Grey & Bruce Loan, Owen Soi
Guelph I'i- Ont. Invest., Guelph
Hamilton Prov. S Loan, Hamilton :.
Home Building .V- Savings Assoc, Ottawa
Home Invest. >1 Savings, Toronto
Huron & Krie .Mortgage Corporation. London
Industrial .Mortgage «r Savings Co.. Sarnia
International Loan. Winnipeg
Lambton Loan X- Invest.. Sarnia
Landed B.ml< A Loan. Hamilton
London & Can. Loan. Toronto
London Loan and Savings Co.. London. Ont
.Midland Loan \' Savings, Port Hope
.Montreal Loan & Mort , .Montreal
Mort. Corp. of N.S, Halifax
Niagara Falls BIdg . Savings S Loan Assoc, Niagara Falls.,
Northern .Mort. Co.. Winnipeg
Nova Scotia Savings ,<. BIdg. Halifax
Ontario Loan X- Ocben., London
Olianagan Loan, Kelowna. B,C
Owen Sound Loan. Owen Sound
People's Lo.in & Savings. London
Peterborough WorUingmens BIdg. & Savings, Peterborough.
Port Arthurs Fort William .Mort..
Provident Investment Co.. Toronto
Real Estate Loan. Toronto
Royal Lnan.< Savings. Brantford
Saskatchewan .Mort . , Regina
Scottish Ontario and Manitoba Land Co.. Toronto
Security Loan H Savings Co., St. Catharines
Southern Loan & Savings. St. Thomas
Toronto .Mortgage, Toronto
Toronto Savings & Loan. Peterhoro
Trust & Loan Co. of Can.ada, London. Eng
Victoria Loan v^' Savings, Lindsay
Waterloo County Loan. Waterloo
1885
1877
189»
1858
1900
1905
1855
1900
1881
1881
1872
1888
1891
1865
1902
1889
1864
1889
1!)I3
1846
1876
1873
1877
1872
1858
1901
1894
1910
1850
1870
303,043
500,000
923,290
1.205,000
1,235.954
6,000,000
466.920
1 .750,000
2.4.58.421
241.050
4,823,833
934.905
522.000
221,650
973,300
607.226
200.000
2,413.018
444,350
923,233
1,200,000
1887
1914
1893
1877
1876
1909
1879
1870
1870
1899
I88S
1843
1887
1913
5.000,000
635.000
333,168
789,750
t.OOO.OOO
1,2.50,000
8('8.32l
360.0110
600,000
.507,1!53
2,S2.S80
1,914.692
986.4.56
1. 750.000
Reserve I Deposits
125,000
430,000
600,000
1.355.000
532,084
2X3.408
839,372
3b,732
5,750,000
81.318
1,7.50,0011
400,000
92.000
4,342,601
i75.OO0
243,000
66.236
82,730
80,000
30,000
1.0.50,000
72,000
8:i9.43S
1,250,000
665,751
392,1.58
108.404
85.942
1.164,194
1,106,532
3,931.755
560.674
47.600
933.617
131,624
.597,476
8.52.635
3,316.!i35
420.173
81,870
37.978.145
287,904
93I).33S
239.4S5
689.8S2
128,007
1,560,733
118.926
1,980,092
939.591
Totals
.594.818
500,0011
5lin.flu0
600.000
908,705
800.000
925,000 I
9,50.000
380,000 I
385,000 I
800,000
125,000
29.443
200.455 ,
184,0.58
2,150,000
806 260
318,956
1.59.191
.38,086
375.000
260.000
4.50.000
115,000
.532.300
90n,(N10
724. ,5.50
I.OOO.OOO
2.9l6,fl(N) {
600.000
604.331
160.000
270.000
670.0(10
I.IOO.OOO
2.917.526
320.000
105.000
345.714
.572.955
1 (HI. 1 68
SS,611.039 34.673.738 27,774,0.56
537.535
712.425
2.759.600
963,458
561„551
148.433
270.048
661,002
1,694.923
1.537,041
6.2S2.I11
1,413.457
26.211,306
479,280
1,196,633
8.53.740
595.746
35,183,953
2.134,495
1.929,846
238,236
1,645.361
847,061
172,063
5.498.465
.566..539
1 987,332
4,244,509
730,544
2 973,817
2,90S,44S
6,606,428
2,386.927
1.000,000
584.937
2.705.92S
101.264
798.186
I.B78.247
871.533
12,228,046
1,123.184
,545.389
13.339 194
2,548,581
376,487
3.243.492
2,811,518
4,381 .,380
2,066,936
887.090
1,612.120
956.391
225.930
2.699.046
1.854.430
7.221.409
33,054.238
583,077
9.508,807
5,416.569
703,948
57,220,880
2,196,533
2,320.107
503 826
1,944,248
908.798
299.838
7.423,973
843,406
4.477,985
4,764,339
20,43S..520
2.599.2(12
403.403
3.351,675
3,650.662
5,085,872
3,052.9i9
1.582,088
1,774,888
1 ,3:10,385
565,535
3,213,467
1.915,595
7,578,797
701.1% •
77,266 I
1,095.595 I
1.631.298 j
594,657
801,416
2,295,184
1.419.423
2.568.555
1.609,861
979,406
2,351.9.50
1,974.270
13.5,86,878
1,805.740
735,172
1,19,5,955
2,598,560
3.249.154
4.171,720
18,967,802
3,10,5,119
2,473.187
110.523,185 156.052,063 1 250,076,621
31,199
82.953
91,789
151.684
42,084
827,983
36,785
210,822
136,4,33
40,944
817,011
54,978
58,313
4,871
27.747
18.132
161.598
51.015
143,770
170.660
535,610
27,242
8.965
114.735
238.368
163,138
16.163
96,072
87,929
45,303
38,813
26,984
84,151
80.450 I
73.691
47.357
98.281
90,210
148,389
'534.901
7,5.345 i
51.113 I
6,125,177
6fl
8+1
104-4
'For half year only
August 13, 1920
THE MONETARY TIMES
TRADE UEVKUSAL IH K TO KXTKAVACiANCE'
Exports Have Held up Well. But Unusual Increase in Im-
ports Has Again Resulted in L niavorable Balance
THE abrupt reversal in the foreign-trade position of the
Dominion is of more than passing concern, but there
is evident misunderstanding in many quarters as to the
reasons behind the reversal. If the figures for the first half
of the current year are taken — and because of varying con-
ditions aft'ecting markets and transportation for Canadian
products it is not wise to generalize from the results of a
shorter period — it may be accepted that the volume of ex-
ports has held surprisingly well. The half-year's total is
no less than 554 millions, which is only 10 millions less than
in 1919, and 62 millions in excess of the average of four
years of war, when the returns were swollen by munition
exports.
It is on the import side that the showing is unsatisfac-
tory. Imports for the half-year reachetl the unprecedented
total of 680 millions, an increase of 270 millions over 1919
and of 295 millions over the average for the war period.
Heavy Imports Unexpected
Forecasts of the probable effect of the ending of the
war on our foreign trade have, therefore, been upset in two
ways. Sales abroad have continued in much larger volume
than expected, but the advantage has been more than offset
by the still greater and more unexpected increase in the
volume of our buying. The net result, in so far as it has
thrown the country abruptly back into the position of a
debtor instead of a creditor in world trade, is for the time
being at least decidedly unfavorable. In summary, the rist-
and tall of this trade balance as shown in the returns foi
the first six months of eight years presents itself as fol-
lows:—
Exports Imports Balance
1920 $ 554,878,000 $ 680,004,000 -$ 125,126,000
llii;. 564.566,000 410,231,000 -r 154,335,000
I'.ils 5.54,075,000 -450,667,000 -j- 103,408,000
]:.17 639.798,000 528,606.000 + 111,192,000
19if, 546,160,000 350,102,000 + 196,058,000
IKl", 230,133,000 205,732.000 -I- 24,401,000
101 i 156,767,000 260,338.000 - 103,571,000
l:ii:; 167,754,000 340,267.000 - 172,513,000
Running Into Debt
To visualize the effect of this reversal in the net tend-
ency of trade, it is only necessary to consider how a similar
situation would affect an individual. The in<iividual who
spends more than he receives as income is running into debt.
He may part with some of his belongings or he may borrow
to meet the deficiency. In either case, he will be that much
the poorer in the long run unless the obligations he has in-
curred arc for the enlargement of a business that will
ultimately show substantial profits.
It was not all loss, by any means, when trade balances
were running heavily against Canada in a period of great
activity in new development like the years 1910 to 1913.
The national plant was being enlarged by the construction
of new railways, new factories, and other facilities for do-
ing business. Steel and other materials for this necessary
work were bought abroad and paid for by the sale of
Canadian stocks and bonds. Our credit was good, and in-
vestors in Europe were well satisfied to accept our obli<rn-
tions to pay. This balanced the account at the time.
When the war came on, it was found that aa a general
thing the borrowing of the preceding years had been pro-
fitable. The business capacity of the country was cc|unl to
the greatly increased demand, an.l the cuntry reaped the
benefit of large profits on a large volume of sates. Sales of
our products rose from 4''1 million dollar^ in 1913-14 to
1,540 millions in 1917-18. As we were buying thriftily from
other countries, our previous position of debtor on balance
♦From Greenshields' Monthly Review, June-July, 1920.
was reversed. The rest of the world owed us Bomethin^ •.r.\
current account, enabling us to pay off an insUilment on the
old account.
KxtravuRunt Buying
No explanation of the r>.'lapse into the position of dilUor
in the past six months can be .idduced except extravin;aiK-.
We h.ivo been runnin',: into debt again, aiul seemingly not
with tlie worthy motive of making the debt productive. If
good clothes are c-seniial, it is not clear that our comfort
called for the expenditure of $87,5.14,038 in the three monllis
of April, May and June, against $35,007,327 in the sajne
period of 1919. As we are an agricultural country, then- is
an id.-mmt of absurdity in the fact th.it we bought abroi.l
in the same period "agricultural and vegetiible products,
chiefly foods," valuetl at $51,408,748, an increase over 1919
of $20,225,686. These two items account for about half the
increase in imports in the April-June period.
The buying of certain raw materials abroad, notably
cotton and to a less extent coal, is neces.sary, but it is noi
in this direction chiefly that our buying has expanded. Tak
ing free and dutiable goods as roughly dividing raw
materiah from finished products, the increase in the former
in the three months was only half the increase in the lattr.-
In short, we have been living high, exacting a new
standard of luxury, an<l growing callous to the self-iniposi- i
penalty of a 14 pe.- cent. pr.'niium on payments to the chirf
supplier of our reiiuiremcnts. The least unfavorable inter-
pretation that ci'n be placed on the .showing is that it repre-
sents a brief reaction in national habits. The autumn is
the best perio<i of our export year, and. granted a little nmrx-
restraint on our buying abroa<l, the unfavorable balance for
the first half of the year can be overronie in the second.
ADDlllo.N \1 l.\l ORMATION CONCKRMNt; IIUF.S
London. Ont.— July 18— Biscuits and confectionery in
store belonging to D. S. Perrin and Co., Ltd., destroyed.
The fire was caused by spontaneous combustion. The tot-iil
damage was $1,350, with insurance of $1*25.000 in blanket
policies,
policies.
Wrentham, Alta.— July 6 — Storr Building and contents,
belonging to J. H. Welch, was damaged. The fire wai caused
by incendiarism. The total loss is $10,000. with no insurance.
Maissoneuve, Que.— July 20— Sawmill and box factory
of J. P. Abel, Kortin, Ltd.. were damaged. Cause, probably
electrical defects. Estimated damage to contents $3.S.OOO:
to buildings. $15,000. Insurance was carried to the extent
of $37,000 in the Lumber Mutual Fire Insurance Co., $10,000
being on buildings and $27,000 on stock, etc.
PIBLICATIO.NS KECEIVK!)
American HusineHit Law.— By Hon. A. B. Frey. A.B..
LL.B. Macmillan Co. of Canada, Toronto; 614 pp.. with
index; $5. "Business," says the nuthor in his preface, "may
be defined as that which occupies the time, atU-ntion and
labor of men for the purpo.ic of a livelihood or profit. Busi-
ness Kiw treats of those legal principles appllnible to per
sons engaged in business. A knowledge of the fundament nl-
of business law is of great value, not only in riiablmi; t
possessor to conduct his business denlings and his .<.ii.^
spondence and to prepare his agreement!, in conformity with
the law but also to assist him in avoiding being taken ad-
vantage of bv tho.-e with whom ho deal-." .SmrtinK with
a (Tcneral explanation of the subject of law, Mr. hrcy then
explains the law ..f contract. pBrtn<-r..h<pf and corporations,
suretyship and guarantee, insurance, property, banknii
patents, copyright and other branches ndnting to bu.n,.
Each chapter is followe<i by a series of questions and :. '
of references. It is busine!.s law as developed in •■ ■ .^
Britain and the United .States that is set forth, an.l »"
Canadian law is very similar to the law of thew two coun-
tries, the book will be useful to Can.-idians.
THE MONETARY TIMES
Volume 65.
DOMINION ASSOCIATION OF FIRE CHIEFS
Fire College at Ottawa Recommended — Uniform Phone
Number to Facilitate Fire Alarms — Fire Departments
to Become Preventive Organizations
THE 1920 annua! convention of the Dominion Association
of Fire Chiefs was held in St. Thomas, Ont., August
2 to (). On the first day meetings of the auditors, of the
board of directors and of the committee on fire college were
held, the convention proper opening on the 3rd. President
Berthiaume, of Quebec, in his opening remarks, stated that
this was the first time the association had been presided
over by a French-(^anadian, and that the pi-oblems of fire
chiefs were similar in all parts of the Dominion. F. Brink-
man, mayor of St. Thomas, and E. A. Horton, president of
the board of trade, welcomed the delegates to the city.
Organization of a ladies' auxiliary to assist in lire preven-
tive and educational work was completed during the con-
vention, Mrs. G. W. Graham, of Ottawa, being elected pre-
sident and Mrs. J. Keyes, of Gait, secretary.
The act passed at the last session of the Ontario legis-
lature providing that every fireman should have one day in
seven off was discussed, and it was pointed out that this
would add substantially to the cost of fire departments, and
that it would also do away with the double platoon system
which has been adopted by many municipalities. This act
is to go into force January 1, 1921, and a penalty of $10
per day is to be imposed on fire chiefs who do not carry it
out. A majority of the chiefs were opposed to the act.
The convention unanimously approved a uniform tele-
phone number for fire calls throughout the Dominion, and
appointed a committee to bring this to the attention of the
Board of Railway Commissioners for Canada. It was de-
cided to adopt red and white lights for all fire vehicles, and
a standard fire siren was approved. A code of traffic rules
was discussed, but not adopted, as it was considered best
to leave this to individual municipalities.
Standards for Fire Fighting
Fire Chief Healy, of Denver, Col., who, the preceding
week was elected president of the International Association
of Fire Engineers at Toronto, and Fire Chief Percy Hoyt,
of Cheyenne, Wyoming, addressed the meeting. Mr. Healy
stated that the view held by some chiefs of large cities that
they could learn nothing at such conventions was wrong, as
the chiefs in smaller cities, not having so many expert sub-
ordinates, had to give more attention to the different branches
of the work, such as building regulations, etc. The Inter-
national Association, he said, w-as now engaged in compiling
a standard book of rules and information for fire chiefs.
The standard must always have regard to the function of
the department, which was to extinguish fires in the quickest
way. In the United States the chief had to pass a civil ser-
vice examination, and held his position for life or during
good behaviour.
J. Grove Smith, Dominion fire commissioner, gave an
address on fire prevention. "The fire chief of the future
will," he said, "increase in importance, and will direct his
attention more and more to the prevention of fires. Fire
prevention is one of the most important questions before
Canada to-day. This country is burdened with a debt of
•$2,400,000,000. Nine million people have to bear this debt.
It is imperative that we be careful of our waste. We must
be an economical nation if we are to carry on and pay off
this gigantic debt. In the final analysis and from the very
best point of view fire prevention should appeal to all pat-
riotic citizens because it is a public service of the highest
order. And to give to one's neighbor, to one's community
and one's country is the very best thing that a man can do."
Fire preventive work was showing results, said Mr.
Smith, as the 1918 loss of $33,925,000 had been reduced in
1919 to $24,000,000, and he felt confident that this year it
would not exceed $20,000,000. It must go still lowerif this
country was to prosper. The speaker disapproved of the
paying of commissions to insurance agents based on the
premiums, as this did not encourage the agent to advocate
the improvement of property and the removal of fire hazards,
which would lessen the insurance premium and thereby lower
his commission. Mr. Smith also pointed out that it was the
duty of chiefs to urge the installation of sprinkler systems
and to see that an adequate water supply was available.
The committee on fire college reported in favor of the
proposal, and their report was approved by the convention.
They recommend that the college be controlled by a board
representing the Fire Chiefs' Association, the Dominion Fire
Prevention Association, and the fire marshals of the pro-
vinces. Admission would be open to a fireman at his own
expense, though some financial assistance might be extended.
RULING ON STOCK TRANSFER TAX
The expected ruling has been handed down by both the
minister of finance and the provincial treasurer in regard
to the transfer tax on "no par value" shares. Such stock
i.T to be taxed upon selling price on each hundred dollars or
fraction thereof at the rate of five cents per hundred dollars.
For instance, one hundred shares of North America Pulp
would sell at approximately $6.50, on which the tax would
be 35 cents.
EXCHANGE QUOTATIONS
Messrs. Glazebrook and Cronyn, exchange and bond
brokers, Toronto, report local exchange rates to The Monetary
Times as follows: —
Buyers. Sellers. Counter.
N.Y. funds 12 25-32 pm 12 27-32 pm
Mont, funds Par. Par. % to M
Sterling —
Demand $4.13 $4.14
Cable transfers . . . 4.14 4.15
Rates in New York, sterling demand, $3.66%.
Bank of England rate, 7 per cent.
The National City Co. report exchange rates in New
York, as at August 12, as follows: Cable, London, 3.66%;
cheque, London, 3.66; cable, Paris, 7.29; cheque, Paris, 7.28;
cable, Italy, 5.05; cheque, Italy, 5.04; cheque, Belgium, 7.80;
cheque, Swiss, 16.75; cheque, Spain, 15.15; cheque, Holland,
.3350; cheque, Denmark, 15.20; cheque, Norway, 15.20; cheque,
Sweden, 20.75; cheque, Berlin, 2.20; cheque, Greece, 11.80;
cheque, Finland, 3.20; cheque, Roumania, 2.25.
BANQUE PROVINCIALE ANNUAL MEETING
The annual meeting of La Banque Provinciale was held
in Montreal on .August 11, and the financial statement for
the year ended June 30 last was presented to shareholders.
The statement, which was reviewed recently, showed an all-
round improvement over a year ago. Deposits show an in-
crease of nearly $8,000,000, while reserves of $9,264,000 were
2.") per cent, of liabilities to the public, and total quick assets
of $26,489,000 were 74 per cent, of liabilities to the public.
Net profits last year amounted to $333,882, an increase of
over $44,000.
During the year the bank raised its capital of $3,000,000
by the issue of an extra $1,000,000 of new stock, which was
mostly fully paid up by July, 1920. Also during the year
the bank raised its dividend from 7 per cent, to 8 per cent.
The bank confines its operations to Quebec, Ontario. New
Brunswick and Prince Edward Island.
The retiring board of directors were re-elected as fol-
lows: Sir Hormidas Laporte, P.C, president; W. F. Carsley,
vice-president; Tanerede Bienvenue, vice-president; G. W.
Bosworth, Hon. N. Garneau, C.L.L., J. O. Beauchemin, M.
Chevalier. The retiring board of control was re-elected with
Sir Alexandre Lacoste, presiil^nt; Hon. N. Perodeau, N.P.,
?nd J. S. B. Relland.
Augrust 13, 1920
T HE MO N E T A R \ TIMES
Trad* Review and Insurance Chronicle
of CanaDa
Address: Corner Church and Court StreeU, Toronto. Ontario. Canada.
Telephone: Main 740-1, Branch Exchange connecting all departments.
Cable Address; "Montimes, Toronto."
Winnipeg Office: 120G McArthur Building. Telephone Main MM.
G. W. GooUall. Western Manager.
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PUBLICITY ANU PRICES
WHOLESALERS and other dealers are finding it hard
to convince the buying public that prices will ko
higher, or even remain at their present level. Consumers
are still buyin? moderattly but retailers appear to have
reduced their purchases to a minimum, making an effort to
dispose of their stocks while prices are still high. It is a
common experience these days for commercial travellers to
visit town after town without securing an order. It is not
to be supposed, of course, that retailers have any grounds
at present for cutting prices, except in the case of a few
commod.ties, and the cut price sales so widely advertised
in the United States during the past lew weeks represent
an effort on the part of merchants to dispose of their sl»H-ks
with only nominal reluctions, rather than a sound price
reduction movement. .Nevertheless, there is evidently a gen-
eral feeling that prices m.ust be shaded in order to maintain
a sufficient volume of business.
Wholesalers, and to some extent manufacturers, are
makin,' an effort to postpone as far as possible the time
when purchases will be drastically cut. An interview with
Frederick H. Yapp, secretary of the Canadi:!:! v. ixilU-n
Manufacturers' Association, in New York on July ">, illus-
trates the kind of opinion that is expressed. Mr. Yapp had
just returned from a business trip to France anil p:urope.
and spoke in reference to his visit there. "In the textile dis-
tricts of Great Britain," he said, "the mill.t are all operat-
ing at about 7.') per ceiii. capaciiy. opnng pi icc.t are higher.
The smtll decline in the raw market was for thf noii.inl
only. English manufacturers are confident of the future.
At the London wool auct'on about y.'i per cent, of the
material was withdrawn because they refused to let it go
at prices ctTered. There seems to be plenty of wool, but
the prices oi the better grades will remain up
"The mills in England have made more money than the
retailers, while in America the opposite Is true. Some of
the English manufacturers sent wool to f;ermnnv to be
combed, but have had nothing returned. 1 talked with those
PRINCIPAL CONTENTS
EdITORIAI,: p^Q£
Publicity and Prices 9
Quebec as an Economic Unit 9
Our Fortune in Pulp and Paper , 10
Mortality Experience Now Favorable 10
Special Articles:
Loan Companies in Canada
Trade Reversal Due to Extravagance . .
Dominion Fire Chiefs' Association .. K
Crop Summary U
Life Insurance on the Farm 18
Public Utilities in Canada 20
Openings and Methods for Business Insurance 26
Selection of a Life Insurance Policy 34
Extent of Liability on Bank Guarantee H8
Weekly Departments:
.News of Industrial Development ...; 40
New Incorporations 42
News of Municipal Finance 44
Government and Municipal Bonds 48
Corporation Securities Market r>0
Stock Markets 52
Corporation Finance M
Recent Fires Mi
Monthly Departments: •
July Bond Sales 22
July Fire Losses 24
closely connected with the textile industry abroad, and in-
cidentally with several Germans. It is the general belief
that Germany need not be fearetl as a competitor during
the present generation. She is trying to market paper good*
for clothing at about four marks a yard. However, it i» ol"
little value for wear. Belgium isslackening a little in the
textile line now, although she came back rapidly after the
war."
iji i:hi:< .\s an kconomk inii
FROM time to time there springs up in Ciinndn Ihiit
desire, which no doubt exi»l« in nil countneit where
the population is diversified in race, language and religion,
to bring about greater uniformity in the lawn and cu»tom».
Unification removes one of the greateitt prohlemn of »Unt4'-
craft. but the wiping out of these divinionn neem* only to
intensify the economic struggle between industrial groupa.
which has become in recent .veiirs one of the critical prob-
lems of government. France is riTognizetl n» In-ing a n.ition
in fact a.s well as in name, where the people are of one race
and religion, and have uniform rulllonl^ and nopirnllona, and
yet it is not likely that any French utateomnn would admit
that government is easier there than eliwwherr. Crrtainlv
it doe* not appear to 1h' ronspiruounly nucreiiiful In c'nnnd.i,
on the other hand, the differencen in racial nni othrr dc(T.
cnces temper industrial iliiiputeii, and in aonn- iiesr«' ni"-' '
tho«e economic linei< along which politiral pnitir* n\ Ibi' jui
«cnt time are »o prone to organix*-.
The fathers of confederation wiTr midlriendy broail
visionod to recognize that rariiil and ri-Iigmup diffrr. n ■ •
were forces to be reckoneil with in C.ma.in. whether for k.'
or for ill. Qu /bee province' would, in fiirt. nc\er have rnt^ i
confediTntion h.-.d not provincial nutonnmy in certain '■
been ajsuretl. One of thmo field." w.in education, and no •
ject has occai"ionH more di»i>Hl/- than haa th!» one. Qui i>
is sometimes accuiH-d of lagging iM'hind in rducational n.^il
tcrs, and of using the ^rhool vyitem to fo«t. i .i mi wp'.mt
not in the bejt interest of the Dominion
THE MONETARY TIMES
Volume 65.
This viewpoint comes to the surface from time to time,
and is unfortunately made use of in some quarters to main-
tain ill-will between French and English Canada. It was not
optnly referred to at the National Conference on Character
Education in Relation to Canadian Citizenship, held in Win-
nipeg- last October, but it is a notable fact that not a French
Canadian name is to be found among those constituting the
executive committee. In opening the second session of the
conference on October 20th, the chairman, Hon. Dr. Thorn-
ton, who is minister of education in Manitoba, said: "This
conference comes at a psychological moment. As we address
ourselves to the problems of peace this national consciousness
may be emphasized and directed to educational matters. No
single factor is destined to affect national thought so much
as our common schools. Let us think and speak of Canadian
schools. In Manitoba let us speak and think not of Mani-
toba schools, but of Canadian schools in Manitoba. In On-
tario, of Canadian schools in Ontario. In Quebec, of Cana-
dian schools in Quebec, and so of the other provinces." Mr.
Thornton -was speaking in a broad way and was not dis-
cussing concrete problems of school administration, but his
remark was not in accordance with a liberal minded policy
which has been found to be the most successful and the
most desirable for this country.
Professor Carrie Derick, of Montreal, vice-president of
the National Council of Women, was not entirely consist-
ent. She remarked at one point: "I look forward^ to com-
pulsory education throughout the Dominion on a much higher
standard than anything we have now; I shall never be satis-
fied until every boy and girl in Canada is going to school
until IS years of age." Later, she said, in i-eferring to the
work of the school in moulding character, "This character
does not need to be the same; the methods do not need to be
the' same; the teachers do not need to be the same; the
greater diversity the greater richness in our life. Diversity
does not make for disintegration. Diversity, combined with
tolerance, is the one best rule for liberty and unity."
• OUK FORTUNE IN PULP AND PAPER
FREQUENT references made by the imperial press dele-
gates to their newsprint difficulties emphasize the fact
that a shortage in this product, as understood abroad, is
unknown in Canada. Sir Campbell Stuart, who represented
the Northcliffe papers, stated in Toronto that one thing with
whicli Canadian papers impressed him was their size. The
output of newspapers and periodicals in this country is, in
fact, very large in proportion to the population, and the
cause is not an extraordinary demand for publications, but
the remarkable supply of paper at comparatively low prices.
Paper, however, is merely one illustration of the value of
Canadian forests. These forests contribute upwards of $200,-
000,000 per year to the trade of Canada. They play an im-
portant part in our external commerce. They are a source
of inestimable national wealth. Under proper management
and control they can be made to contribute to the national
wealth of the country indefinitely. Without such manage-
ment and control they are doomed to diminish rapidly, and,
within a comparatively few years, to become entirely extinct.
Proper forest control includes the enforcement of sen-
sible cutting regulations under official superintendence, as
well as adequate provision for a continuity of wood supply.
The last is the moi-e impoi-tant. These can only be obtained
through intelligent action on the part of the legislatures of
the several provinces and through faithful administration
by the governmental authorities. The means for adequate
forest perpetuation must necessarily be supplied at public
expense out of the revenues derived from the sale and utili-
zation of the forest resources.
Public enlightenment on the subject is the first essential.
The newspapers of Canada, in addition to the national in-
terest involved, have a direct personal concern in the subject.
Their raw material is dependent upon the continued and
uninteiTupted supply of pulpwood. The present high price
of paper is due primarily to the high price of wood. To-day's
paper prices, onerous as they may appear to the newspaper
publishers, will fade into insignificance compared with what
the future prices will be if Canada's pulpwood forests are
allowed to be consumed indiscriminately and without pro-
vision for their replacement.
MORTALITY EXPERIENCE NOW F.WORABLE
HE.4LTH conditions are now excellent, • according to re-
ports from life insurance companies and from com-
panies insuring against sickness. The Metropolitan Life
Insurance Company states that the death rate among its
industrial policyholders was 9. .59 per 1,000 in June, com-
pared with 9.28, both rates being comparatively low. In-
creases took place in the case of tuberculosis, and for extei-nal
causes, especially automobile accidents. These increases were
almost entirely ofi'set, however, by pronounced declines in
the mortality from influenza, pneumonia and other respira-
toi-y diseases. Public attention is now focused upon fatal
automobile accidents. No less than 132 deaths from auto-
mobile accidents were recorded among Metropolitan indus-
trial policyholders in June. This is an increase of 37 deaths,
or 39 per cent., over the month of May. Automobile acci-
dents are as important causes of death as are typhoid fever
and scarlet fever combined.
Health conditions in the population at large were also
very favorable during the month of June. The death rate
in 49 of the leading cities of the United States for the month
was 11.8 as compared with 13.8 for May and 14.8 per 1,000
for April. It appears that measles and malaria are now very
prevalent, although not important factors in causing death.
A serious outbreak of smallpox was reported from Texas
in the beginning of June. Indiana and Kansas also reported
many cases. The incidence of whooping-cough is generally
declining, although a large number of cases were reported
from Kansas, Massachusetts and Detroit. A number of cases
of bubonic plague had been definitely reported from a number
of centres on the Gulf, including Florida, Louisiana and
Texas. In foreign countries it is important to observe that
malaria has been made a notifiable disease in England as
well as in Scotland, where large numbers of cases prevail
because of the return of many infected soldiers. There has
also been considerable smallpox in Scotland in recent weeks.
Since June 8th all ports of Cuba, except Havana, have been
closed against arrivals from Vera Cruz.
"Life insurance protects business and investments; it
always matures; it never fails; it does not fluctuate; it
creates an estate immediately; it does away with worry; it
is necessary; it lengthens life; it solves all problems; it has
saved many from ruin." These extracts, taken from an essay
submitted to the Northwestern Life in a children's contest,
may over-rate the value of life insurance, but they are at
least true in many cases.
Canada, by reason of its relation to the United States
as regards new-sprint supply, has the power to force that
country back, "so far as the printed word is concerned,
almost to the dark ages," says a writer in the "Wall Street
Joui-nal." The United States also, through its control of the
coal supply of the central provinces, could force them back
to the age before artificial heat was discovered.
Dealers in foreign exchange i-eport a large speculative
demand in Canada. One firm, the A. Cordasco Steamship
Agencies, of Montreal, reports that over 3,2.50,000 marks
were traded in by their clients during the past few months.
The rise in marks from .018 to .04 resulted in profits of over
100 per cent. French and Belgian francs, Italian lire and
Roumanian leis are also in demand.
AujTust 13, 1920
THE MONETARY TIMES
Australia and
New Zealand
Every effort is being put forth to
foster and increase trade between
Canada and Australasia. The cor-
respondents of this Hank include
the principal banks of both Australia
and New Zealand, and on the Pa-
cific coast of both Canada and the
United States it has branches in all
the principal sea-ports. W ith many
years' experience gained in trans-
acting a foreign business, its services
are at the disposal of Canadian ex-
porters and importers.
THE CANADIAN BANK
OF COMMERCE
Capital Paid-up
Reserve Fund
$15,000,000
$15,000,000
EXPORT TRADE
The extensive foreign con-
nections oi this Bank enable
us to place at the disposal
of our customers the best
existing world-wide banking
facilities.
Our local Manager is in a
position to give you both
assistance and advice.
IMPERIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agenta in Great Britain : — England — Lloyds
Bank. Limited, London, and Branches. Scot-
land The Commercial Bank of Scotland,
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland. Dublin, and Branches.
Agents in France: — Credit Lyonnais. Lloyds and
National Provincial Foreign Bank, Limited.
The Stamp Taxes
CVERY Canadian
•' — ' manufacturer,
producer, agricul-
turist, corporation
or individual, having
business relations
with a Bank in
Canada will require to be completely
informed regarding Canada's new stamp
taxes.
Our newly published booklet
"Canadian Bill Stamp Tax 1920"
will gladly be tent on requeil
UNION BANK
OF CANADA
Establiihrd 1865
More than 400 Branches
THE
Bank of Nova Scotia
E»tnblishfcl 1H32
Capital
Reserve
Total Assets
$9,700,000
• $18,000,000
- $2.10.000,000
GENERAL OFFICE : TORONTO. ONT
n. A. Richatdion. Grnn ' ^'
Branches al all the principal ccniies
throughout Canada and in Newfound-
land. Cuba, Porlo Rico. Dominitan
Republic, Jamaica, and in the L'nitcd
Slate* al
BOSTON CHICAGO NEW YORK
London, Eng.. Branch:
55 OLD HHOAD STREET E C
THE MONETARY TIMES
PERSONAL NOTES
J. Fked O'Brien has been appointed manager for the
Globe Indemnity Company in Manitoba and Saskatchewan.
E. WiLLANS, managing director of the Imperial Guar-
antee and Accident Company has left for the Pacific coast
on a month's business trip.
Sir H. Montagu Allan, and D. C. Macarow, president
and general manager, respectively, of the Merchants Bank
of Canada, have just returned from Great Britain.
F. L. Butler, general superintendent of the Winnipeg-
Electric Railway Company since May, 1918, has been ap-
pointed manager in charge of operations. W. E. Blodgett,
of Salt Lake City, Utah, has been appointed comptroller and
head of the accounting department; Mr. Blodgett is at pre-
sent secretary treasurer and auditor of the Utah Light and
Traction Company, Salt Lake City.
Mr. Jas. G. Ogilvy, managing dirsctor of the Kern
Agencies, Limited, of Moose Jaw, Sask., has recently been
appointed a director of the North West Adjustment and
Inspection Company,
Limited. Mr. Ogilvy
is at the head of one
of the most active
agency and financial
firms in the west.
Kern Agencies, Ltd.,
are agents and
managers for the
British Empire Un-
derwriters' Agency,
the Fire Insurance
Company of Canada,
and the Merchants
Fire Assurance Cor-
poration of New
York. They are also
correspondents for
Logan and Bryan,
New York; Green-
shields and Co.,
Montreal; and Osier
and Hammond, Tor-
onto, being connected
1) y direct private
wire with each of
tliese firms. An ex-
tensive i.unii DUMJU'j-s :s ;li^-(l c jnuucted, Kern Agencies,
Ltd., being a member of the Bond Dealers Association of
Canada. The firm now issues a monthly bulletin entitled
"The Kernal," which deals with insurance and other topics
of current interest in connection with its business.
Arthur Pattison, who has been assistant to the comp-
troller of currency in charge of war loans, department of
finance, Ottawa, has been admitted as a partner into the
firm of A. J. Pattison, Jun., and Company, members of the
Toronto and, Montreal stock exchanges. Mr. Pattison has
been connected with the department of finance for some
.Vejirs, and prior to that was with the Standard Bank of
Canada.
Harry C. May has been appointed manager of the
recently opened Toronto branch of Simon's, Day and Com-
pany, of Chicago. Mr. May went to Chicago in 1901, where
he was employed on the Chicago Board of Trade, and later
on the Milwaukee Chamber of Commerce by A. V. Booth
and Company. He returned to Toronto in 1907, when he
wr 4 (■ 'incc'i'd with J. P. Bickell and Company for a num-
ber of years, and later with Tonienson, Forwood and Com-
pany.
Sir Lomer Gouin, former prime minister of the pro-
vince of Quebec, has been elected a director of the Shawinigan
Water and Power Company, his advent to the board of the
power enterprise having been forecasted some weeks ago.
Sir Lomer has for some years past taken a keen interest in
the development of industries along the St. Maurice River,
and was largely instrumental during his public career in im-
proving conditions to facilitate the exploitation of its water
powers. Several weeks ago he joined the board of the
Laurentide Company, one of the pioneer concerns situated
on the St. Maurice.
H. C. Samis, formerly inspector of the Union Bank of
Canada resident at Regina, Sask., who has taki_n over the
duties of hi'i re-
cent appointment
as assistant man-
ager of the main
branch of the
Union Bank of
Canada in Van-
couver, B.C., has
been in the service
of the institution
for eighteen years.
He entered at Win-
nipeg- branch in
1902 and was
transferred to
Yorkton, Sask., in
1903. He was ap-
pointed accountant
at Yorkton in 1906
and accountant at
Virden, Man., in
June, 1907, re-
maining there until
March, 1909, fol-
lowing which he
held the managership at the following branches: Maryfield,
1909, to December, 1910; Strasbourg, December, 1910, to
March, 1913; Maple Creek, Sask., March, 1913, to January,
191.5, and Swift Current, Sask., January, 1915, to February,
1919. Mr. Samis was appointed inspector with headquarters
at Regina in February, 1919, and continued at this post until
his latest appointment.
Arthur B. Buckw^orth has beer, appointed general
manager of the Pacific Great Eastern Railway, succeeding
George E. Macdon?ld. For the past two and one-half years
he has been manager of the Spokane and British Columbia
Railway. Born in Birmingham, England, Mr. Buckworth
came to Canada with his parents at the age of twelve yeirs
and spent his early life in the city of Hamilton, leaving for
the Kootenay district in British Columbia when 19 years of
age. After spending two years in Rossland, B.C., Mr. Buck-
worth resided at Ymir, B.C., a small mining town, for the
succeeding fifteen years. Going to Vancouver twelve years
ago as representative for E. R. C. Clarkson Co'np=ny,
liciuidator-, of Toronto, Mr. Buckworth has remained^ as
their Vancouver representative since that time and during
the last two years has oflTiciated as manager ,of the Spokane
and British Columbia Railway.
OBITUARIES
S. .\. GoRMELEY, district :'gent of the Capital Life In-
surance Company- at Cornwall, Ont., was killed at Glen
Nevis, Ont., when his automobile was struck by a freight
train.
Chas. W. Sexton, vice-president of the Ryan Agency,
Lin'ited, of Winnipeg, Pi-esident of Charles W. Sexton com-
pany. Minneapolis and Portland, Ore., director in the First
and Security National banks, and Minneapolis Trust com-
nany Minneapolis, .'•nd a national fiture for 50 years in the
insurance world, died in Minneapolis, Minn., on August 1.
August 13, 1920
THE MONETARY TIMES
The Sterling Bank
The i5trr\ ICC i'oiicy oi me sterlinj; K.inU is lu
give personal atlentioii lo each cusloiiier s
business ; to study his problems— if neeil be, in
his office: to fauiiliaiise ourselves with his
work and opportunities so that we may render
matiirtil advice and personal as'i'^nnce
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament- EsTABLliHCU l»':5
Capital Subscribed /5, 000, 000 S25.000,(KiO
Paid up 1,100.000 5., ^00.(100
Uncalled 3.900.000 19.50(i nun
Reserve Fund 1.000,000 5.UtK),(X)u
Head Office - EDINBURGH
WILLIA.\t CARNEGIE, General .ManaRcr. GEORGE A. HLWTER. Sec.
LONDO.S" OFFICE— 37 NICHOLAS LANE. LO.MBAKD ST.. E.C.4
T. C. RIDDELL. DL'GALD S.MITH.
Manager Assistant .Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, jrt
retired on terms which will be furnished on application
Bank of Hamilton
Quarterly Dividend Notice
A DIVIDEND of Three Per Cent.
O*^. 1, together with a BONUS of One-
half of One Per Cent ('-'.I, on the
Paid-up Capital for the three months
endinR 31st Aupust. 1920, has been de-
clared, and will be payable on the Ist
September, 1920. Dividend and Bonus on
New Stock will be computed at the same
rates, but in accordance with the terms
of issue.
The Transfer Books will be closed from
the 20th to .31st August, 1920, both days
inclusive.
By Order of the Board.
J. P. BELL,
General Manager.
Hamilton, 19th July. 1920.
.,»«EAi.r>,
ESTABLISHED " . mi^JiJi
Commonwealtb Banh of Hiunialia
All classes of GENERAL AND SAVINGS BANK busmen are trans
acted in all the principal cities and towns of Australia. Kabaul and
London.
Banking and exchange business of every description transacted wichm
Che Commonwealth. United Kingdom, Canada. L' S A. and Abroad.
JAS. KELL.
Deputy Gove
DF.NISUN MILLHR,
TheD
ominion
LSI ABIISIIlil) !'■
Bank
Capital Paid-up
Reserve Fund
$6,000,000
7,000.000
Efficient service in .ill dcpartnicnt!> of Bankin);.
Sterling Drafts bought and Mild.
Tr.ivcllers' Chemic-^ and Letters of C'redit issued.
LLOYDS BANK LIMITED, n. LOMBAtr^TrioNooN .c .
CAPITAL SUBSCRIBED
CAPITAL PAID UP
RESERVE FUND
DEPOSITS. &c.
ADVANCES. &c.
(fft-.i;i.i
S294, 392,000
47. 102,7:>0
48.375,525
1,629,G02, 1 HO
t»7S,8 17,955
Affiliated Bank.
THIS BANK HAS ABOUT 1.500 OFFICES IN ENGLAND & WALES.
Colonial and Foreign Drpartment : 17. CORHHIU. lONOOK. tC. J. London »«eney of Ih. lllPt«l*l e»NI Of MMOl
The Asency of Foreijjn and Colonial Bi%nk« i» undertaken.
THE NAXrONAL^BANK ^F "SCOTLAND LTD. THE LONDON & RIVER PLATE BANK LTD
uxili«rv : LLOYDS AND NATIONAI PROVINCIAL FOREI'.N HANK LIMITED
THE MONETARY TIMES
Volume 65.
Wheat Harvest Now Under Way in Canada
Crops in West Average Good — Those in Ontario, Quebec and Maritime Provinces
are Fair, But Hay is Below Normal — Harvesting is Earlier Than Usual —
Hail Does Some Damage. But Grasshopper Menace was Overcome
REPORTS of crop conditions as at the end of July, col-
lected by the Dominion Bureau of Statistics, are sum-
marized as follows: —
Prince Epward Island: The hay crop below average.
Has been practically all saved under very favorable condi-
tions. Occasional showers have been very beneficial to
cereals, roots and potatoes, which promise yield above the
average. Pastures good. Small fruits a full crop. Large
fruit about average. July weather favorable for all crops.
Nova Scotia: (Kentville) : A rain during early and latter
part of month improved crops greatly. Hay average crop.
Cereals short but appearance of filling well. Potatoes good,
corn making rapid development. Roots fair. Pastures fair.
Fruit fair to good, probably below average in yield. (Am-
herst) : July most part fine and dry. Seven showers re-
ported, precipitation 2.6.3 inches. Hay making general by
19th. Grain, com, sunflowers, potatoes and vegetables fair
growth. Turnips, strawberries and raspberries poor. Cur-
rants fair. Apples medium and clean. Pasture fair. Cut-
worms bad. NEW Brunswick: Fredericton: Frequent
showers in July totalling slightly over two inches and favor-
able weather brought hay to average crop except in dry
land. Weather favorable for hay and grain. Corn and
roots growing well and promise average crop. Potatoes
suffered from dry weather after planting, stand uneven.
Prospects are for less than average ci'op.
Central I'rovinccs
Quebec: (Cap Rouge): Old meadows only fair. New
ones very good. All grain, potatoes, corn for silage and
field roots good. Tree fruits good, small fruits very good.
Vegetables good except cabbage, cucumbers and carrots,
which are only medium. Ornamental plants good. (Ste.
Anne de la Pocatiere) : First part of July was too dry to
insure full success of crops. Beneficial rain of last two
weeks improved all crops. Hay crop much below the aver-
age. Cereah short bu'a fairly pormising. Potatoes are
good. Small fruits abundant. Tree fruits fine; promise a
good crop. (Lennoxville) : The excessive amount of rain
which has fallen on twenty days in July amounting to 7.64
inches has caused very rank growth of grain, which has
lodged considerably. There is much hay yet to harvest.
Swedes and potatoes average crop. Corn for silage very
poor.
ONTARIO: From the Ontario Department of Agricul-
ture: Hay crop light. Catchy harvest weather. Fall wheat
harvest rushin;;. Fair yield rye. Good barley and oats,
promise well. Straw long but soft. Spring wheat poorer.
Corn looks late, but will improve. Early potatoes yielding
well. Sugar beets and turnips look well. Mangolds poorer.
Pastures good. Milk slow but good for season.
Manitoba: From the Manitoba Department of Agricul-
ture: Reports generally are satisfactory. Good rains fell
practically everywhere about July 20. Condition of all crops
fair to good. No rust damage so far. Grasshoppers being
held in check. Harvest will be earlier than usual. Fall rye
being cut July 31. Wheat cutting likely to commence by
.August 10.
Saskatchewan: From the Saskatchewan Department
of Agriculture: Heavy rains during week ending July 24
greatly improved crop conditions, especially late crops. With
more rain and cool weather expect an average yield, al-
though rain came too late to save ci'ops in some districts.
(Indian Head): Dry hot weather during first three weeks
very h;u'd on crops. Exceptionally heavy rain on 22nd and
23rd improved conditions. Crops generally about average.
Grain filling well. (Rosthem) : No rain in July till 22nd.
This drought has ruined 25 per cent, of crops. Two and
one-quarter inches of rain on 22nd and 23rd have brought
on late seeding. Estimate 60 per cent, crop in this district.
No damage from hail or rust. Cutting likely to begin by
middle of August. (Scott) : Crop suffered from warm, dry
weather during early July. Rainfall of over three inches on
22nd has improved situation. Prospects are now for fair
to good crops.
Alberta: (Lacombe) : During July one and one-half
inch of rain fell. Grain on the whole good. In central
.A.lberta some late crops suffered slightly from drought.
Straw is short in some localities but head filling well.
Damage from hail is not extensive. Hay short in this
locality but good further north. (Lethbridge) : Rain has
been fairly general in southern Alberta during July, con-
sequently districts not suffering from drought during June
ai-e in good condition. In Winnifred and Medicine Hat dis-
tricts and south to border, crops light. Over balance of
southsrn portion of province crops are spotted but generally
fair and some excellent.
British Columbia: From the British Columbia Depart-
ment of Agriculture: Gi'ains during' middle of July greatly
helped all field crops. Weather generally settled now. Crops
in general look promising. Oat and wheat heading out well.
Hay now being cut and yield better than at first anticipated.
Alfalfa, potatoes, barley, mangolds, carrots and sugar beets
good. Raspberries good. Other fruit prospects good. (In-
vermere) : Hay and clover crop about average yielding 2-4
tons per acre. All grains good, turnips favorable. Hot
weather during month bringing wind and thunder laid some
barley flat, but wheat and oats stood up well. (Summer-
land) : Apple crops fair. No change from last report
Peaches good, pears full crop, apricots patchy but good.
Hay crops below average. (Agassiz) : July very dry and
hot. Weeds controlled more easily than in June. Most crops
doing well. ' Some early barley harvested. Average crop hay
saved in excellent condition. Floods of Eraser River did
damage. Mosquitoes and flies troublesome to live stock on
pastures. (Sidney, V.I.) : Weather conditions were favor-
able. Good crop of hay harvested. Oats and wheat ripen-
ing. Corn and roots developing well. Orchard fruit and
small fruit conditions satisfactory.
The Lethbridge Herald's fifteenth weekly crop report
issued on August 3rd estimates the total amount of wheat
which will be threshed on the Lethbridge railway division
at 22,000,000 bushels. Coarse grains will add another 10,-
000,000 bu.shels, making a total of 32,000,000 bushels fs
against shipments of 39,000,000 bushels in 1915 and 32,-
000,000 bushels in 1916. Cutting of wheat had started at
Burdett and other points in eastern south Alberta, and it
was expected that wheat cutting would be general by the
middle of the month, or about a week earlier than usual.
National Railways Report
A Canadian National Railway crop report issued on
August 4 covering the entire country from Rainy River to
the west boundary of Alberta shows that rains during the
last week of July broke a protracted hot spell that was seri-
ously affecting both early and late crops in almost every
part of that extensive territory. The rye harvest began to-
wards the end of July in the three prairie provinces, and a
few farmers were already cutting their wheat. Wheat sown
on summer fallowed land was maturing rapidly. Late sown
crops give promise of fair yields. There are poor crops in a
few localities, but average and bumper ones in most districts.
Hail is the cause of most damage so far created. The alarm
created over the hopper menace early in the summer does
not now seem to have been justified.
Au^st 13, 1920
THE MONETARY TIMES
AFRICAN BANKING
Corporation, Limited
(LONDON)
Paid-up Capital and Reserve, $6,800,000
Over 60 Branches and Agencies
throughout South Africa
Principal Branches located at Bula-
wayo, Bloemfontein, Cape Town,
Durban, East London, Johannesburg,
Kimberiey, Port Elizabeth. Pretoria,
and Salisbury.
THE NEW YORK AGENCY
negotiates documentary bills ot exchange,
issues drahs and cable transfers, and transacts
a general banking business direct with the
branches o{ the Bank in South Africa.
Correspondence invited from Canadian Ship-
pers to South Africa, and facilities offered for
the conduct of their business with that country.
Address the New York Agency
64 WALL STREET, NEW YORK, U.S.A.
HomeBankofCanada
Government Bonds and Savings Stamps
There is a page in the Home Bank". Thrill Account
Book for enlcnnR the date of purcha.e. .mount, .od
interest dales on Government Boo''.. War Stamps, and
Savings Certificates. The form is very concise and will
preserve all the details for ready reference. Ask for a
copy ot the Thrift Book. Distributed free at all Branches.
Branches and Connections Throuahout Canada
Head Office and Nine Branch,, in Toronto k
THE
Weyburn Security Bank
Chartered by Act of the Dominioo Parliament
HEAD OI-l-ICK. WHYllUKS. SASKA I tHK\V A.V
Hra.nches in Saskatchewa.v at
Weyburn. VcUow Grnss. McTuKK'art. HiiDirite. .Mv!,i:i
Griflfin, Colniitc. I'aii);inan. Radville, .^<>Mnil>oitt. Krn-.n
Verwood, Readlyn, Tribune. Kxp<insc. .Mossliunk. \'iiiii..l:i
Goodwatcr, OHrmody, SloUKliton, OsaRC. Crceliiian an.l
I^w\aii.
.\ GUNKRAL B.ANKING Isrsi.NE.SS TR.\NSACTKI)
H O POWKLL. Orncrifl Minacrr
TH€ M€RCMANT5 BANK
Head Office : Montreal. OF CANADA.
Est. I
sIi.mJ 1864.
Capital Paid-ap. $8,400,000 Reitrvc Fund and Undivided Profili, $8,660,774
Total Depositi (30lh June, 1920) - Over $161,000,000
Total Aiieti (30lb June. 1920) - Over $198,000,000
Board of Directors :
SIR H. .MONTAGU AIXAN Vice-Pre«ideoi
Thomas Long
Sir Frederick Ork Lewis. Bart.
Hon. C. C. Bailanttne
F. Howard Wilson
Farouhar Robkktson
Geo. 1-. Caiss
Alpreh n. KVANS
Thomas Aiikarn
Lt.-Col. J K. MOODIK
General Manager • D. C. Macarow
Supi. of Brancbes and Chief Inipeclor : T. E. Mkiuitt
Gencr.il Superviior - • ■ W. A Mkldrum
Hon. Lornk C. Wittii >
E W. Knkii.and
GOMIXIN M Mr(iRK-.o«
AN ALLIANCE FOR LIFE
Many of the large Corporations and Tlieir banking connection is for life —
Business Houses who bank exclus- yet the only bonds that bind them to
ively with this institution have done this bank are the ties of service, pro-
SO since their beginning. gressivencss. promptness and sound advice.
393 Branchet in Canada, exteiidiDg froin the AtUotic to the Pacific
New York Agency: 63 and 65 Wall Street: W. M. Ramiay and C. J. Crookall. Aged.*
London, England, Ofdce. 53 Cornhill : J. B. Donnelly, D.S.O., Manager.
Banker* in G.eal Britain : The London Joint City & Midland Bank, Umilcd, The Royal Bank ol ScolUod
16
THE MONETARY TIMES
Volume 65.
BANK BIIANCH NOTES
Seven New Branches Announced this Week— Three Others
are Under Way— Bank of Commerce Appoints Assistant
General Supervisor
The following is a list of branches of Canadian banks
which have been opened recently: —
Quebec, Que., St. Sauveur
Branch Bank of Montreal
Lenore, Man.' ' .' Bank of Hamilton
Montreal, Que., Peel and Sher-
brooke Sts Royal Bank of Canada
Aurora, Ont Sterling Bank of Canada
Hull Que Canadian Bank of Commerce
Kens'ington, P.E.I Canadian Bank of Commerce
Kapuskasing, Ont Imperial Bank of Canada
The Canadian Bank of Commerce is to open up a branch
at Campbell River, B.C. . .,,•
The Union Bank of Canada is to open the new building
at the corner of Hastings and Seymour Sts., Vancouver,
B.C., during the next few weeks.
The Bank of Nova Scotia is erecting a ne\v building
at Annapolis, N.S.
Fifty Branches in June
Fifty branches of Canadian banks were opened in June,
distributed among the various banks as follows:— Montreal.
1- Nova Scotia, ITj; Royal, 8; Imperial, 1; Sterling, 2;
Merchants, 4; Hamilton, 1; Hochelaga, 6; Commerce, 3;
Provinciale, 4; Nationale, 2; Union, 3.
The following- is a list of branches of Canadian banks
which were opened in June and have not already been men-
tioned in The MonetM-y Times: Albany, P.E.I., Nova Scotia;
Athalmer, B.C., Imperial; Breadalbane, P.E.I., Royal;
Brown's Rown, Jamaica, Nova Scotia; Calumet, Que., Nova
Scotia; Campo Bello, N.B., Nova Scotia; Clarke's Beach,
Nfld., Nova Scotia; Deer Island, N.B., Nova Scotia; Grand
Harbor, N.S., Nova Scotia; Kagavvong, Ont., Merchants;
Lake Megantic, Que., Provinciale; Linstead, Jamaica, Nova
Scotia; London, Ont., Merchants; Margaree Harbor, N.S.,
Royal; Middleville, Ont., Nova Scotia; Naicam, Sask., Com-
merce; Notre Dame de Rimouski, Que., Nationale; Oshawa,
Ont., Union; Paquetville, N.B., Provinciale; Poinle-a-Pic
Que., Nationale; Port Morien, N.S., Nova Scotia; Rife, Alta.,
Hochelaga; St. Amour, Ont., Hochelaga; St. Catharines,
Ont., Roval; St. Cecile du Bic, Que., Hochelaga; St. Eusebe
de Temiscouata, Que., Provinciale; St. Fabien, Que., Hoche-
laga; St. Ignace du Lac, Que., Hochelaga; Sacre Cocur, Que.,
Hochelaga; Tiverton, N.S., Nova Scotia; Toronto, Ont.,
Union; Unionville, Ont., Marchants; Westport, N.S., Nova
Scotia; Wllno, Ont, Sterling; Winnipeg, Man., Nova Scotia.
The following five branches were closed in June: Best-
ville,) Sask., Union; Kylevillc, Sask., Union; Mull, Ont.,
Standard; Port Greville, N.S., Commerce; Spalding Sask.,
Commerce.
Banking by Mail
Knowing the difficulty of banking in communities, where
communications are poor and the matter of reaching a bank
one of time and some inconvenience, .-V. H. Logan, manager
of the Union Bank of Canada at Prince Albert, Sask., who
is an advocate of the practice of banking by mail, has in-
structed the local staff, so that the entire facilities of the
bank are available for out of town residents who find it in-
convenient to make personal business. A general banking
business by mail and savings account carried on by mail are
part of this system.
The following is a list of some branches of Canadian
banks w-hich are now under construction: Listowel, Ont.,
Bank of Hamilton, costing $10,000. Walkerville, Ont., Bank
of Hamilton. Guclph, Ont., Bank of Hamilton, costing SIO,-
000. Taber, Alta., Royal Bank of Canada. Vulcan, A\U\..
Canadian Bank of Commerce. I'enticton, B.C., Bank of
Hamilton, costing $25,000. Bedford, Que., Molsons Bank.
St. John's, Nfld., Royal Bank of Canada, costing $230,000.
Montreal West, Que., Royal Bank of Canada.
Tenders are being called for the erection of a new
branch of the Merchants Bank of Canada at Regina, Sask.,
at the cost of $150,000.
WEEKLY BANK CLEARINGS
The followang are the bank clearings for the week ended
August 12th, compared with the corresponding week last
year: —
Week ended W'eek ended
Aug. 12, '20. Aug. 14, '19. Changes.
Montreal $139,417,.500 $115,864,215 -|- $23,553,285
Toronto 102,256,813 79,218,814 -f 23,037,999
Winnipeg 41,163,138 39,715,315 + 1,447,823
Vancouver . ..... 18,290,502 12,483,287 + 5,807,215
Ottawa 7,788,325 10,217,931 — 2,429,606
Calgary 6,558,078 5,935,901 -|- 622,177
Hamilton 7,571,971 5,171,825 + 2,400,146
Quebec 7,009,590 5,633,402 -f 1,376,188
Edmonton 4,470,920 4,050,836 + 420,084
Halifax 5,109,044 5,582,330 — 473,286
London 3,624,342 3,076,911 -f 547,431
Regina 4,510,223 3,799,028 -i- 711J.95
St. John 3,480,'257 -2,687,541 -|- 792,716
Victoria 2,494,144 2,804,153 — 310,009
Saskatoon 2,142,727 2,093,427 + 49,300
Moose Jaw 1,526,955 1,372,878 + 154,077
Krantford 1,325,783 838,104 -t- 487,679
Brandon 771,101 688,536 + 82,563
Fort William .... 774,427 730,378 -r 44,049
Lethbridge 844,062 653,938 + 190,124
Medicine Hat .... 419,697 436,626 — 16,929
New W^estminster 677,339 641,656 + 35,683
Petcrboro 829,533 691,837 -1- 137,696
Sherbrooke 1,472,747 1,074,990 -|- 397,757
Kitchener 1,213,302 955,144 + 258,158
Windsor 3,004,948 2,017,124 + 987,824
Prince Albert 429,232 332,889 + 96,343
Totals $369,176,700 $308,769,016 + $60,407,684
MONTHLY BANK CLEARINGS
The follow-ing are the bank clearings for the month of
July, compared with the same month last year: —
Week ended Week ended
July, 1920. July, 1919. Changes.
Montreal ..$ 647,820.992$ 548,409,745 +$99,411,247
Toronto 447,270,993 362,804,420 + 84,466,573
Winnipeg 187,417,562 163,813,469 + 23,604,093
Vancouver 76,934,040 54,076,340 + 22,857,700
Ottawa 38,188,647 38,528,285 — 339,638
Calgary 32,758,119 28,055,192 -|- 4,702,927
Hamilton 34,312,454 28,158,831 -I- 6,153,623
Quebec 34,892,388 28,238,214 -|- 6,654,174
Edmonton 21,110,274 19,699,769 + 1,410,50.'.
Halifax 24,520,960 22,627,589 + 1,893,371
London 16,409,122 15,754,171 + 654,951
Regina 18.211,891 16,650,735 + 1,561,156
St. John 15.961,197 13,679,104 + 2,282,093
Victoria 14,670,096 11,807,469 -t- 2,862,627
Saskatoon 10,037,638 9,382,795 + 654,843
Moose Jaw 7,450,168 6,950,073 -|- 500,095
Brantford 6.507,651 4,981,486 + 1,526,165
Brandon 3,523,792 3,168,089 + 355,703
Fort William . . 3,943,737 3,539,398 -|- 404,339
Lethbridge .... 2,936,846 3.636,533 — 699,687
Medicine Hat . . 2,043,720 1,943,989 -|- 99,731
X. Westminster. 3,120,751 2,578,031 + 542,720
Peterboro 4.385,513 3,619,321 + 766,192
Sherbrooke .... 6,071.296 3,937,306 + 2,133,990
KiU'hener 5,312,854 3,922,974 + 1,389,880
Windsor 16.647,014 8,578,258 -f 8,068,756
Prince Albert .. 1,933,060 1,803,416 + 129,644
Totals $1,684,392,775 $1,410,345,002 -f $274,147,773
Aiigrust 13, 1920
THE MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
PAID UP CAPITAL -
RESERVE FUND - . . .
RESERVE LIABILITY OF PROPRIETORS
AGGREGATE ASSETS 3Ist MARCH, 1920
l-.S I Alil.lMIHU |H
•«5^.
$ :i3.S2S.jUU.UO
16.375.000.00
23.828.500.00
$ 64,032.000.00
$377,721,211.00
Sir JOH.N KUSSBLL FHBN'CH. K.B.B.. General Manager
351 BRA.NCHES and AGENCIES in the Australian States. New Zealand Fiji. Papua (New Guinea), and London. The Banli traniacti every deKriptior
of Australian B.inkini; Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET, E.C 2.
.A.)Hsis mVK OK MONTKKAL. ROYAL BANK OF CA.NADA
Geokue Edwards, K.C.A. .^ktiilk H. Edwards, F.C.A.
H. Pekcival Edwasdb W. PoMERor Morgan A. G. Edwaeds
Chas. E. White T. J. Macnamara Thos. P. Gegcie
O. N. Edwards ]. C McNab C. Percy Roberts
A. L. Steve.ss W. H. Thompson
EDWARDS, MORGAN & CO.
CHARTERED
OFFICES
TORO.NTO ..
CALGARY ..
VANCOUVER
WINNIPEG ..
MONTREAL
ACCOUNTANTS
CANADIAN .MORTGAGE BUILDING
HERALD BUILDI.NG
LONDON BUILDING
ELECTRIC RAILWAY CHAMBERS
McGILL BUILDING
CORRESPONDENTS
HALIFAX, N.S.
LONDON, ENG
.'^T. JOHN, N.B.
COBALT, ONI
NEW YORK. U.S.A
ESTABUSHEX) 1879
Alloway & Champion
Bankers and Brokers
Membert of Winnipeg Slodc Excl.iirKr
362 Main Street
W
innipeg
Storks and Bonds bouttHl
and sold on coinmission.
Winnipeg, Montreal, Toronto and New York Excbaiigri
SUPERFINE
LINEN RECORD
YOLR letterhead miv pa-..
throuKh the m.^ln I'e h;i.
died hy a dojen clerks. In- tlkJ
and yet. at thecrucial ni 'ment
carry into a Prcsidin; s ortn.
the sucuestion of your Con
pany's dmntly and stanjing- ■
.t be of Superfine Linen KicorJ
Awarded the Cold Mcda"
Antwerp ISK.'i: the GoKI Med.i
Ch.cago. IS93: and thellrand Prix. Pans. I'.'OO
The RolUnil Paper Co., Limited, Montreal
High QraJc Paper Makm lincr I8»2
MilU •! St. Jerom.. P.Q.. ud »l«»l RolUoJ. P.O ^,
Succession Duties
in Ontario
The rates of Succession Duty having
been increased at the recent session
of the Ontario Legislature, we have
prepared a Booklet entitled " Succes-
sion Duties in Ontario." This Book-
let contains schedules of the new
rates, together with a summary of the
main provisions of the Act. To
readers of The Monelarv Times we
shall be pleased to send a copy free
on request.
THE
Toro/stoGe/heralTrusts
Corporation
Head Office - Bay and Melinda Streets, Toronto
THE MONETARY TIMES
Volume 65.
LIFE INSURANCE ON THE FARM
I'rotection For His Business Undertaking as Well as For His
Family Now Necessary— Merits of Different
Classes of Policies
WITH his growing financial prosperity, and the increasing
complexity of farm work, the Canadian farmer is be-
coming a better "prospect for the sale of life insurance. Dis-
cussing the possibilities in this field the August Cmitineiital
Life Line says: —
"Obviously farmers are among the most important pros-
pects of life insurance agents. Farmers are divided into
four general classes: farm owners, farm renters, agricultur-
alists, and stock raisers— all of whom are popularly believed
to have been making money fast during recent years. It fol-
lows, therefore, as a matter of course, that they all are
more or less in need of insurance protection. The farm
owners, most of whom carry mortgages, need more insurance
to protect their mortgages from becoming a tax on the
families' protection; for the renters life insurance is doubly
necessary, for when one of these is called away his family,
having no estate left them, are without the means of paying
the rent, except through life insurance. Farmers often tell
us that they have secured their barns with fire insurance,
and stock breeders especially insure their cattle for large
amounts, while some take out hail insurance to protect their
grain crops. If they believe it necessary to insure their
barns and stocks, and corn, is it not vastly more important
to secure life insurance protection for their wives and
children ?
Is Head of a Business
•The farmer then can be appealed to largely upon the
same argument as the business man in the city— love of
wife and children. But, as our readers are well aware, the
average farmer of to-day is a business man, who labors
less with his hands and more with his head than ever. He
not only reads his daily paper, but studies the best maga-
zines, especially those published in his special interests. It
follows, therefore, that the intelligent farmer— and probably
his wife, too— will read life insurance literature, and is as
amenable to the gentle influence of the insurance salesman,
as any other prospect who insures his life from the same
good motives which actuate nearly all policyholders. If the
average insurance solicitor cultivated his field in the country
as tlioroughly as the average farmer cultivates his broad
acres, the percentage of business written by agents would
be vastly increased. The question with the farmer gener-
ally is, What policy in insurance plan appeals to him most?
Selection of Policy
".As we have already intimated, the up-to-date farmer
oiierates upon a larger scale by business methods than
formerly; he has more capital invested in his business, and
therefore needs business insurance as much as the manu-
facturer or merchant. Further, the machinery employed in
agriculture has become more extensive, and creates a de-
ferred liability to provide for replacement and depreciation;
to cover this a short-term endowment policy may be explain-
ed to the farmer. Owing to his several needs for sinking
funds this plan of insurance should appeal to him. as it pro-
vides the means of replacing farm machinery, purchasing
more land, or meeting various defei-red obligations. For
the purpose of retiring a mortgage a ten-year endowment,
when properly pi-esented, will appeal to many farmers; besides
being an additional security when placing the mortgage,
this plan has the effect of paying off the mortgage in ten
annual payments, coupled with the guarantee that, should
the insured die within the period, the encumbrance will be
lifted. Many farmers borrow from the banks, to assist
them in hai-vesting their fall crops, giving their notes on
the general security of their property. In every case the
farmer thus assumes an extra liability, to meet which pro-
vision must be made. To protect his interests, therefore, the
banker generally encourages his farmer customer to take
out business insurance, and in the country _the banker often
extends active assistance to the agent in placing such busi-
ness. The agent, of course, should make clear to the farmer
the practical utility of this form of insurance, to serve his
particular purposes, and explain fully the difference between
that form of protection and domestic insurance.
Monthly Income Policy
"For serving the family welfare it is questionable
whether we should continue selling a small amount of in-
surance payable in a lump sum to him or his beneficiary;
should we not rather present the monthly income service
to him, — so that in event of death he can make sure of the
pension for his widow, and daughters if any? Fine, valu-
able farms are often left to widows unable to manage them.
The sons, if any, are attracted to the city, and the widow,
depending upon hired help, and sustaining an occasional crop
failure, with steady inroads of heavy taxation, finds her in-
come much reduced. Then she sells the property, determin-
ing to re-invest the proceeds; at this point the unscrupulous
money shark appears with his so-called investments. The
new investment is too frequently made, and in a couple of
years the widow is dependent upon her daily earnings for
her support. Often, too, the farmer leaves the farm to his
sons, and his daughters, if any, are inadequately provided
for. -All this shows the necessity of a monthly income policy
as the only safe provision for the families of farmers."
TRAFFIC THROUGH CANALS IN JUNE
The transportation di\asion of the Dominion Bureau of
Statistics publishes the following on the traffic which passed
through the Canadian canals during June: —
The total number of vessels through all canals was 4,251,
with a net tonnage of 1,768,575 tons, a decrease from June,
1919, of 384,785 tons. Cargoes totalled 1.234,691 tons, a de-
crease of 295,626 tons. The main items of cargoes, compared
with June, 1919, are: Bituminous coal, 395,261 tons, decrease
106,244 tons; wheat, 182,998 tons, decrease 60,318 tons; iron
ore, 140,608 tons, decrease 76,015 tons; pulpwood, 110,554
tons, increase 44,109 tons; anthracite coal, 64,248 tons; in-
crease 4,076 tons; sand, 80,391 tons, increase 12,379 tons.
Since the opening of navigation the cargoes through the
canals are: Bituminous coal, 711,711 tons, decrease 131,250
tons; anthracite coal, 104,680 tons, decrease 34,381 tons; iron
ore, 384,275 tons, decrease 1,090,864 tons; pulpwood, 135,793
tons, increase 47,637 tons; wheat, 436,189 tons, decrease 325,-
256 tons; oats, 84,137 tons, increase 39,175 tons; flour, 64,600
tons, decrease 51,715 tons.
The totals of the principal canals for June, compared
with June, 1919, are: —
Sault Ste. Marie Canal — 494 vessels, net tonnage 710,-
424 tons, decrease of 234,081 tons. Total cargoes of 297,-
185 tons, decrease of 225,369 tons, including decrease of
76,010 tons in iron ore, 73,835 tons in wheat, 35,260 tons in
barley, 31.175 tons in bituminous coal and 12,975 tons in flour.
Through the United States Canal there were 2.143 ves-
sels, net tonnage 7.486,339 tons, with cargoes of 10.350,625
tons, a total tonnage of 10,647,819 through both Canadian
and American canals.
Welland Canal — 482 vessels, net tonnage 375.964, de-
crease of 74,766 tons; cargoes, 340,711 tons, decrease 40,833
tons, including decreases of 22,729 tons of barley. 16,931 tons
of bituminous coal, 13,064 tons of crude petroleum and oils.
St. LawTence Canal — 1,142 vessels, net tonnage 513,359,
decrease 86.552 tons; cargoes, 443,975 tons, decrease of 62,117
tons, including decrease of 59,868 tons in bituminous coal,
25,205 tons in barley, 14,829 tons in crude petroleum and
other oils, and an increase of 20,899 tons in pulpwood.
Trent Canal— 930 vessels, net tonnage 30,309, increase
4,366 tons; cargoes, 11,514, increase 4,672 tons.
Ottawa Canal — 245 vessels, net tonnage 41,604, decrease
9,428 tons; cargoes, 37,090 tons, increase 481 tons.
Augrust 13, 1920
THE MONETARY TIMES
19
J. ■4*-»'/:*3W»-^*»*?^*^?^^--^
SteRLINGTrUSTS CORPORATIOMi
Experience and Judgment
1 are necessary to the efficient management of any
i estate.
I Our broad experience in these matters assures
i estates or trusts placed in our care efficient atten-
i tion and mature judgment, resulting to the profit
j o( such clients,
i 1119
';^^^^^M}SlMM9'.KK^^-'^^^^^'^^
Your Summer Vacation
can be made free from vvoiry in regard to business
which might otherwise be neglected, by ap-
pointing this Company to act as your Agent
during your absence. We will be pleased to be
commissioned to collect your rentals or other
moneys, make payment of taxes, etc., submitting
statement of all transactions.
ConesponJcncc jnj cnquiria invited.
THE CANADA PERMANENT TRUST COMPANY
18 TORONTO STREET. TORONTO
THE ALBERTA TRUSTS COMPANY, LIMITED
FINANCIAL AGENTS
Slodt$andSonJa.F(KlnMaran<x.eU. Real Etlatc and Farm Landt. Valaalon.tU.
Correspondence solicited
Union Bank Building Edmonton. Alberta
ndSe
ary
.Ma
WESTMINSTER TRUST COMPANY
The Oldest Pr..vmei.il Tru^t Co.nr.in> tn H C
Head Otfice - NEW WESTMINSTER, B.C.
GENERAL FINXNCIAL AGENTS
AdmtmittratT». R»e»iT*rt. Erttmfn. I.in'ida$»rt. inigme*t. Tnni^ti
R A HIDDRLL. M..n..ner
The Standard Agencies, Limited
Head Office
CAl.GARV, ALBERTA
Money to Loan on Improved Farm Lands and City Properties
in Western Canada. A J. SCOTT. Gen. ManaBer
The Courts of Canada assume that a man
knows better than anyone else how to dispose of
his own estate.
Important as it is. this privilege of makini; a
Will is neglected by many men.
Wiicn neglected, the Courts appoint an
administrator to dispose of his property.
■• The Law of Intestates' Estates" shows what
the distribution would be. Write for a copy.
The Canada Trust Co^^m'vny
London, Toronto, Windsor, Chatham. St. Thomas. Ontarit
Winnipeg, Man., Reg na, Sask., Edmonton. Alta.
The Security Trust Company, Limited
Hi-nd Office - - Calgnry, Albrrta
Liquidator, Trutlee, Receiver
Administrator, Executor.
W. M. CON.SACHEK
Stock and Bond Brokers
General Financial Atrnts
I'lcs .ind .ManuKiri; Di
HOW TO FEEL SAFE
IN rcRard to the c.irc and distrihution of your estate— see flrat that
your will is carefully made. Have your Kiwycr draw il. Then com-
mit the administration of your estate, under the will to the judiimeni
of our Board of Directors Where the duties cttver a peruKli f years, the
services of a trust company are almost indispensable- In any even:,
you c;tn put your f.iith in the combined ability and juditment of thi-.
Trust Company more safely than you can in the limited rcson. . (
any mdividu.il executnr. Send for our Ixinklet im wills
Chartered Trust and Executor Company
46 KING STREET WEST, TORONTO
HON. W. A. CHAKLTO.N. .Ml'..
JOH.V J. OIBSON. Managinn Director.
ACCOUNT FJOOKS
LOOSK LEAF LEDGERS
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS umited
Simcoe and Pearl Streets
TORONTO
Saskatchewan (icncral Iriists
( Corporation, I.iniitcLl
Head (lllice : Kc^ina, Sask.
Executor AdmiryUlrator Attignem Tratltt
Special attention liivrn Nfiirl<atc Investtnent*, Collecliont,
.Manttdement (i( I'riipcrlie* liir Ahtenteci and
all other agency huiineit.
BOAsn or DiKr.rroaai
W. T. .MOLLAKU. President O. H. BARR. KC. Vlc«-Prtaldtm
H.B.Sampson K.C. A. I- Gordon. KC. J. A. M. Palricli. K C
David Low, M.I> W. H. Duncan J. A. .McUrlde
Cha«.WiUou«hby William Wilson
B B. .MIHPHV. General Manafer
Otiicial Adminiitrator for the Judiatal Diifricl of Weyhuro
20
THE MONETARY TIMES
Volume 65.
PUBLIC UTILITIES IX CANADA*
I'rivatf Ownership and Operation With Public Rejiulation is
.Most Promisintr Solution of Uiiliculty — High Operating
Costs Cannot be .Vvoided Either Way — Winnipeg
is Conspicuous Example of Municipal Success
By L. a. Herdt, D.Sc.
Vice-chairman, Montreal Tramways Commission
PUBLIC utilities stand face to face to-day with the
createst crisis in their history. In very few cases pro-
fits under the new scale of wa^es and with the old rates
for service may still be sufficient, but a large increase in
the cost of labor and the cost of material and supplies has
placed upon the public utilities in Canada and in the United
States a burden which it cannot properly be asked to bear.
In the larger number of cases it is unable to bear it.
Public utility service is a necessity in small and large cities.
We could no more do without light, power, transportation
than we could do without bread. A public utility, as its name
implies, is designed to render the amount of service which
the public needs in the commodity or necessity which it
supplies.
Extensions are Discouraged
The public utilities of Canada and the United States
and particularly the street I'ailway companies are clamoring
for financial relief through increased rates and fares. The
business does not pay. The great industry of transportation
is staggering under the burden of increased cost of labor
and material. Capital cannot be drawn to it, and capital is
requiix'd to finance betterments and extensions. The whole
structure of the franchise relationship between the public
utilities and the various communities has broken under the
strain of increases in cost of labor, material and supplies.
A public utility, within a given urban community is
naturally a monopoly and its operation should be such as to
secure to the people the best public utility service that is
practicable, but the full cost of this service must in the long
run be borne by the public.
If this service is given by a private company, this cost
n\ust be made up through the rates. If the servica is secured
by municipal operation, the cost must be made up through
the rates, special assessments, or through subsidies from
taxation.
Costs Cannot be Avoided
Whether the public shall decide to operate the public
utilities themselves through thd municipal authorities,
whether it assumes control over these, or allows them to
remain in the hands of private investors, the price at which
their products are sold must be sufficient to operate the
plants and give a sufficient return on the money invested in
the enterprise, that is, the rates or fares must cover (1)
operating costs an<l maintenance, (2) interest on money in-
vested— whether this money is that of private investors or
that of the municipality.
The question of the wisdom or policy of private or
municipal ownership and management must be solved in
each instance with reference to the problem as to und?r
which policy will the public receive the greatest economic
benefit, that is, which policy will bring to the public the best
return for the moneys it will pay out for the service.
Succe-sscs in Public Ownership
Can municipal or governmental bodies meet the test of
operating large public utility enterprises as successfully as
it can be done through private initiative? It has done so
in certain instances to my knowledge. The most prominent
example of a public utility successful under municipal owner-
ship is that of the Winnipeg light and power department —
controlling and operating a vast hydro-electric enterprise,
supplying light, heat and power to the citizens of Winnipeg
*An address before the Union of Canadian Munici-
palitie.';' Convention, Quebec, July 26-29, 1920.
at very cheap rates — but the success of this enterprise has
been mainly due to the fact of the city having developed at
low cost a water power of large potentiality. The whole en-
terprise was placed under the management of a trained busi-
ness man and expert engineer without interference by the
municipal authorities.
No General Conclusion
I am firmly of the opinion that at the present time,
each separate case of public utility operation in a city has
aspects peculiar to itself and it is impossible to solve all
questions by some simple rule or formula. The public re-
quires and desires to be protected against unreasonable
rates — it also desires to see speculative profits eliminated
from the financing of public utilities — that is ail.
If the public was convinced that the government, what-
ever it may be, is fitted to undertake and carry out the
management of all municipal affairs including public
utilities, it will probably ask that this be done; but the
large and important problem involved in the economic de-
velopment and operation of light and power plants, urban,
suburban and interurban railways require men of ability
trained and fitted to handle such problems and whose tenure
of service and standing is free from political influence.
Kates Under Municipal Ownership
Municipal ownership is urged by many as a panacea
against the large increase of rates and fares which the public
utilities have had to charge for their services. The public is
under the impression that street railway enterprise particu-
larly is operated solely for the benefit of the investors, that
it is an usurper of the streets and that the business is con-
ducted solely in the hope of securing profit and awarding
loss to its owners. Let me say that there is not one street
railway property in Canada to-day that is operating at a
profit, and that the speculative element, both in Canada and
the United States, is a thing of the past.
The whole complex financial structure of the public
utilities, in Canada, is on the verge of collapse. I am firmly
of the opinion that the best service which can be given to a
community is by private ownership, with private manage-
ment under regulation and control, with such regulation
and control as will assure to the public fair and reasonable
treatment in all matters of service, rates and safety. Re-
gulation that will encourage and reward those supplying tlie
energy, enterprise and capital without the highest develop-
ment of public utilities is impossible.
MUTUAL LIFE AND CITIZENS ASSURANCE
Good results for the year 1919 were reported at the
annual meeting of the Mutual Life and Citizens Assurance
Co., held in Sydney, Australia, May 27. The chairman said
in moving the adoption of the annual report: "This com-
pany and every one connected with it have reason to be
well satisfied with the results disclosed in the report pre
sented on this occasion. We have secured over £2,500,000
in sums assured (an increase of almost half a million over
the previous year) in the ordinary branch; in the industrial
branch we have added considerably to the sums assured and
premium income; and while paying nearly one million to our
policyholders in claims we have added just on £380,000 to
our funds, which at the close of last vear exceeded £11,000,-
000."
Some of the figures from tht report are given elsewhere
in this issue. The company's business in Canada was in-
creased during the year, and there was a net amount of over
$3,000,000 in force at the end of December. The Mutual
Life and Citizens commenced business in this country undei
Dominion license in 1913, the chief agent for Canada
being J. P. Moore, of Montreal. The net premium income
in Canada in the ordinary branch was $49,929 compared
with $37,620 for 1918, and in the industrial branch it was
$69,722 compared with $.56,740 for the preceding year.
August 13, 1920
THE MONETARY TIME?
You Should Make a New Will— if
nbers of yo
-led
•fan
..ly hii
-ltd:
your own circu
a new will every year.)
In any ca«. your estate and heirs should have the exact kn
ledKC business organization, experience, nnanciil responsibili
andpermanency of the L'S'O.V TRUST COMPANY, which is sur
attend whenever your estate affairs ntcd attention.
Gel .
lilrralu
Union Trust Company, Limited
HENRY F. GCXDDERHAM. Pre.ldent
TORONTO - - Cor. Richmond and Victoria St«.
WINNIPEG. MAN. LONDON. ENGLAND
i% on SavijiBB—Withdrairablt by Cheque 67
Be sure your WILL is made, naming a Strong
TRUST COMPANY as sour
EXECUTOR
Ask for Booklet: "The Corporate Executor."
CAPITAL. ISSUED .-VND SUBSCRIBED ..$1,171,700.00
PAID-UP CAPITAL AND RESERVE 1.172.00000
The Imperial Canadian Trust Co.
Execator, Administrator, Assignee, Trostee, Etc.
HEAD OFFICE: WINNIPEG. CAN.
Your Property or
\ our Problems?
V^ hich will you leave to your
family ?
Make your Will. Appoint this
Company your executor. Then
your prof>erty will be distributed
in the way you would have it,
and the problems of its manage-
ment will be dealt with by an
organization equipped to solve
them.
I('n(c inr niir hnnhh'ti
National Trust Company
1 .iiiiitcd
Ciipilal, $2,000,00(1 Ke.erve, $2,000,000
IV. 22 KINC STKEET EAST TOKONTO
Canadian Financiers
Trust Company
Head Office
Vancouver, B.C.
TRUSTEE EXECUTOR .\SS1GNEE
Agents for investiiieul in all classes of Sccurilius.
Business .■\gent for the R. C. Archdiocese of Vancouver.
Fiscal .\gent for B. C. Municipalities.
InqairieM Invited
Seaerml Manacrr LIrul.-tol. <.. II. DUKIir.LL
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, .Man.
Acti at Executor, Adminittralor, Trnilce, Guardian, Liquidalor
As>itn«e, and in an; other fidociarr capacitjr.
Official Ailministrator for the Northern jiilicial
District and the Dauphin Judicial District in
Manitoba, and Official .\ssiKnee for the Wrstern
Judicial District in Manitoba and the Swift
Current Judicial District in Saskatchew.ir
Branch Office
Swift Current, Saskatchewan
JOHN R LITTLE. Managing Director
THE BANKERS'
TRVST GOME\NY
Head Off icc» : .MONTREAL
Authorized Capital
$1,000,000
Pretidcnt -
SIR H. MONTAGU ALLAN. C.V.O
yic€-Pre»idcnlt -
A J. DAWES D. C. MACARO'V
JAMES ELMSLY Ccnera/ Sfanafcr
C. D CORNELL - - 5ecrc(ary
All.
.Sir H M
T. AliMrn C.\
C. U Cm.
A. j. Dawe.
A. B. Ev.n.
D.v,d N. C. Ho»B
J. M. Kilbouin
Dlractora:
I. D G. Kipp^n
S.I F. Orf Uwi.. lUrt.
Tho.. Long
DC. Mac.row
Ml. A M.ldxum
F. E Metedilh. K.C
T E Mrn
U.-C^l J I
F.,.,ul,., !•
Hon Urnr
F H..-.rcl
FJ^n H 1
lokn WiIm>
Offices now open in Montreal. Winnipeg,
Calgary. St. Jofin, N.B , Halifax. Reainn.
Vancouver, Victoria and Toronto.
Premises in Mercbants Bank BoiMinc in eacb city
THE MONETARY TIMES
Volume 65.
July Bond Sales Total $19,380,733
Provincial Issues Total $15,800,000 Compared with 85,000,000
in June — Municipal Issues are Slightly Less — Only One
Corporation Issue — Last Year's Figure was §21,942,108
SALES of Canadian bonds in the month of July totalled are slightly less than in June, however, when they amounted
819,380,733, compared with $13,758,711 in June, ac- to $3,758,711. There were no railroad issues, and only one
cording to The ^^olletary Times' record. The following is a corporation issue. Details are given below,
summary: — British Columbia's sales during the month totalled $2,-
Provincial $15,800,000 800,000. One lot of $1,500,000 was sold to a local syndicate,
Municipal [..................... S^OSO J33 composed of the British Columbia Bond Company, the Royal
Corporation 500,000 Financial Corporation, and Gillespie, Hart and Todd, all of
' Victoria. The price was 99.88 and interest. The second lot of
Total $19,380,733 §1,300,000 was sold to the same syndicate at par and in-
The outstanding feature of the month is the large terest. Both issues were of 5-year 6 per cent bonds, dated
volume of provincial financing, Ontario, Quebec and British June 30th. These issues, together with that of $2,000,000
Columbia each placing large issues on the market. In June sold in June, were made to meet obligations on account of
the provincial issues totalled only $5,000,000. Municipal issues the Pacific Great Eastern Railway.
Issue
AaouNT
5s?
Tebh (Years)
Puac„.SEH '-:
■■KOVIXriAL
OnMrio
Ontario (Treas. Notes)
British Columbia
S
s.ooo.ooo
3.1100,00(1
1 .iilM).(K)0
1.300.000
2.500,000
2,500.000
R
B
ti
6
6
6
5)&K
6
5&6
6
6
6
6
6
10 years
6 months
& years
5 years
10 years 1
5 years /
I0&20inst.
S&30inst.
S. 10 & W years
10 & 15 inst.
A. E. Ames I'j Co.. Ilominion Sucunties Corp. and
Wood, Gundy iV Co.
A. Jarvis & Co.. and the Home Bank of Canada
British-America Bond Corp.. Royal financial Corp..
and Seattle firms.
British-.America Bond Corp.. Royal Financial Corp..
and Gillespie. Hart & Todd
Bank of .Montreal and others
A. E.Ames* Co.
A. E. Ames & Co.
Wood. Gundy & Co.
Wood. Gundy & Co.
Locally
Brent. Noxon & Co.
Wood. Gundy & Co.
Wood. Gundy & Co
Locally
R.C. .Matthews &C>
Brent, .\oxon & Co
Wood. Gundy & Cv-
Rene T. Leclerc
J. A. Porrier
Versailles-Vidricaire-Boulais. Le Credit Canadien
Beausoleil. Ltd.. and Beaubien & Co
National City Co.. Ltd.. Harris. Forbes & Co.
A. Jarvis & Co.. and W. A. Mackenzie & Co.
Strang & Snowdon
.1 A. Thompson & Co.
Strang & Snowdon
Wood. Gundy & Co.
Various
Pcmbcrton \ Sons
Locallx
Graham. Sanson & Co.
S(i 317
99.56
99.88
QuchL-c
MI>>I('IFAL
«>iilarlo—
KS.SOO.OOO
376,548
179.000
167.00.'!
61.000
100.000
76,320
15,000
15.707
U.OOO
15.000
10,000
400.000
95 831
94.5.1
91 63
99.27
1110 00
Hawkcsbury
Brantford
Kcnora
15 & 20 inst.
15 inst.
20 inst.
*.,^(
6
I
a
6
6
6
6
6
6»
Var
5^
6J
7
10 inst.
20 years
15 « 20 years
10 years
10 inst.
5 years
20 years
30-yr. ser.
SO years
1.'! X -Ml year^
Various
20 years
15 years
Cobourg
•M :-
«|nrlH<i—
Drum ntondvi lie
1.438.SSO
83.000
7..=100
400.000
490.500
6OO.00O
150,000
75.000
58.000
883.000
lll-.'.l.1.1
18.S0U
IW.S.IS
I.V.OOO
13.000
500,000
9e..<io
•00 ai
97 00
».> l.>i
90.25
1% ba«
-•■ t-1-
97.35
Var
92.00
Outrcniont C.S.B
Mnnllnlin—
Wmnipet!
Brandon tSchoolsl
Swan River R..M
^iKknli'lK'tiiiii-
Kctim.,
Schools
RrllUll 4'ollllltlilii-
Point C.rcv .
.lIlM-rln-
Grand Prairie,.
4 oiiroii \nu\
Kaministiquin Pulp * Paper Co. (First Mt*. sku- td.)
KET.MI.EUS CONDEMN COMMERCE BOARD
The fifteenth annual convention of the Retail Merchants'
Association of Canada was opened in Vancouver on July 22.
In his presidential address, J. A. Banfield of Winnipeg
suggested raising from $50,000 to $100,000 for an organi-
zation and legislation fund to fight any legislation the
association considers unfair. The convention lasted until
Julv 25.
At the concluding meeting Mr. Banfield contended that
the activities of the Board of Commerce should be more
constructive, rather than destructive. No action was taken
on a resolution brought forward by the British Columbia
branch that the Board be dismissed. Winnipeg was selected
as the next convention city. Owing to a large number of
complaints of the increase in smuggling, it was decided to
request government officials to make a more rigid examina-
tion at the border ports.
August 13, 1920
THE MONETARY TIMES
sn
INVEST YOUR SAVINGS
in a 5y2% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
INTEREST i ''^'''■"p ^''P"^'
RETURN
$2,412,578.81
Reserves 964,459 J9
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Rejioa, C.lg.ry,
EdmootOD, Vaocouver, Victoria; Edinburgh,
Scotland.
IT IS A MISTAKE
pay by cheque. Not only will your lunds I* »i
available ai any lime vou may require ihent, l>tit
account with this Corporation you uill rniov the .>
excellent lervice and our experience of over nxn-five )cari .ii Ui:.i..i.|;
with many thousands of depositors. Iniercsl m
THREE AND ONE-HALF
per cent, per annum will be added to your account and compounded
twice each year.
Canada Permanent Mortgage Corporation
TORONTO STRKliT - I CJKON I O
F.stnblished 1855
Long before Dominion Day u^a a Legal Hofiday
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
.Masonic Temple Building. LonJon Canada
Interest .it 4 per cent, p.-jyable half-yearly on Dc-'jcntures
T. H. PURDO.M. K.C.. President NATHANIEL MILL£. Manager
London and Canadian Loan and Agency Co., Limited
EsTARl.rsHEl. 1873 .•.! 10%«it: .«iT., TOKO>TO
IMid-up Capital. $1,2W.000 Ktst, $H.iO.OOO Tot:il Assets, S.s.O.S.S 8rj
llebenlBren issued, one hundrel dollars and upuirds. one to Kvc >ears.
Hest current rates. Interest payable half-yearly. These Debentures arc an
Authorized Trustee Investment. Mortguge Loans made in Ontario. Mani-
:cb3 and Saskatchewan.
WILLIAM WEDD. Secretary V.I'. WAOSWORTH M3n.i|!er
^"^ Ontario Loan
& Debenture Co.
LONDON Incorporated 1870
CAPITAL AND Undividkd Profits
Canada
$3,9<«i.(K>0
SHORT TERM (3 TO 5 VE.\RS)
DEBENTURES
YIELD INVESTORS
512
JOHN McCLARV, President
A M SMAKT. Manxer
51%
Absolute
Security
(^\ER 200 Corporations,
^'^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG. Man.
THE TORONTO MORTGAGE COMPANY
Office. No. 13 roronio Street
Cipital Account. I!i:il..\.10.«0 K.scrvc Kund. »»:o.«00.00
Total Assits, ai.'l.-.-4!l.nt.t«
President. \V(iLLI\C.TON HHANCIS. Kig.. K C.
Vice President. HKKHEHT I.ANGLOIS. Biq.
Debentures issued to piy .f',,, a Lenal Investment tor Truit Pundt.
Deposits received at 4 '. interest, withdraw ahlc by ehegue.
Loans made on improved Real B«l:ile on (.ivoral-lr terms
WALTER GILLESPIE. Manager
Six per cent. Debentures
Interest payable half yearly
any banli in Canada
The Canada Standard Loan Company
S20 Mclntyrt Block, Winnipeg
Port Arthur and Fort William
Realty Investments
Inside City and Revenue Producing Property.
Mortgage Loans Placed.
Write us for illustrated booklet descriptive of
the tv^in Cities.
GENERAL REALTY CORPORATION, LIMITED
Wh.len Building, PORT ARTHUR, Ontario
IRON MINE
FOR SALE
COUNTY OF RENFREW
Near Perth
For full particular*, report ol aatiy. etc., apply
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAY «nd MELINDA STS. TORONTO
24
THE MONETARY TIME
Volume 65.
JULY FIRE RECORD IS AGAIN SATISFACTORY
Loss About Same as in June. Which Was Lowest Month
This Year— Seven Months Total Slightly Below 1919
FIRE losses in Canada totalled $1,426,850 in July, accord-
ing to The Monetary Times' record. This is the lowest
for the year, with the exception of June, when the figure
was §1,424,319. It exceeds the July losses in 1917 and 1919,
but is less than half the exceptional figure of $3,369,684 in
July, 1918, when several large fires, including the business
section of the town of Graham, Ont., and the Toronto ware-
house of Sanderson, Pearcy and Co. took place. The fire
loss for the first seven months of 1920 is $14,409,113, com-
pared with $14,482,326 for the same period in 1919. The
July loss is made up as follows: —
Fire exceeding $10,000 $ 885,000
Small fires reported 41,850
Estimate of unreported fires 500,000
$1,426,850
The Monetary Times' record of the past four years shows
the following monthly losses: —
Month.
1917.
1918.
1919.
1920.
January . . .
. $ 1,918,660 $ 2,688,556 $
3,915,290 $ 2,637,850
February .
. 2,009,953
2,243,762
1,091,834
l,89a,o7o
March . . .
. . 2,050,650
1,682,286
2,154,0*5
1,793.200
April
1,317,714
3,240,187
1,080,070
3.229,500
May
1,163,110
3,570,014
1,785,130
2,001,819
June
1,184,627
3,080,982
3,337,530
1,424,319
July
1,101,734
3,369,684
1,118,377
1,426,850
August . . . .
1,230,183
3,110,445
1,374,495
September .
1,301,700
917,286
1,940,272
October . . .
704,605
5,119,145
1,023,288
November ..
959,049
1,059,580
2,339,870
December . .
5,144,100
1,733,917
2,047,496
Totals ..$20,086,085 $31,815,844 $23,207,647 $14,409,113
List of Large Fires
The following is a list of fires in which the loss was $10,-
000 or over: —
Niagara Falls, Ont., July 7, boarding-house, $35,000.
Calgary, Alta., July 5, Western Printing and Lithograph-
ing Co., $100,000.
St. Stephen, N.B., July 10, Mann Axe Factory, $100,000.
Toronto, Ont., July 11, L. G. Handle's Garage, $25,000.
Waterloo, Ont., July 11, Bauer's shoddy mill, $20,000.
Winnipeg, Man., July 10, Crescent Furniture Co., $50,000.
Coaldale, Alta., July 14, J. B. Shiniek's warehouse, $30,-
000. ' „ ^
Maisonneuve, Que., July 21, J. P. Abel, Fortin & Co.,
Ltd., $25,000.
Vancouver, B.C., July 9, Continental Motor Co., $25,000.
St. John, N.B., July 20, R. D. Patterson's Chemical
fertilizer plant, $100,000.
Cobalt, Ont., July 24, Moose Lake Lumber Co., $10,000.
Ladner, B.C., July 25, Currie-Williams Cannery, $100,-
000.
Medicine Hat, Alta., July 23, Saskatchewan Bridge and
Iron Co.. $75,000.
Niagara Falls. Ont., Incline Building, $30,000.
North Sydney, N.S., July 2.'>. Warehouse. $60,000.
St. Thomas, Ont., July 29, two-storey building, $100,-
000.
While there were 16 fires with a loss of $10,000 and over,
as against 8 in June. $100,000 was the largest estimated loss
for July, whereas in June there were losses of about $200.-
000 each at Sault Ste. Marie and .\yr. Ontario.
Analysis of Causes
.\niong the causes reported were: Sparks, 1; oil lamp,
2; electrical storms, 9; spontaneous combustion, 1; defective
heater, 1; bush fires, 2; gasoline, 1; incendiarism, 1; matches,
1; dry weather, 1.
The following structures were destroyed or damaged
last month:— Residences, 13; oflSce buildings, 8; factories,
7; barns, 8; sawmills, 6; stores, 5; garages, 5; churches, 2;
farm buildings, 1; stations, 1.
Deaths From Fire
Sixteen deaths during the month were directly due to
fires, the following being the circumstances:—
Kingston, Ont., July 14, struck by lightning 1
Winnipeg, Man., July 30, suffocation 2
Fleming, Sask., July 2, explosion 2
Welland, Ont., July 26, playing with matches 1
Edmonton, Alta., July 2, mother and four children burnt
to death 5
Brandon, Man., July 5, explosion : 2
Belleville, Ont., July 18, burnt in a burning house 1
Mitchell, Ont., July 9, explosion 1
Hamilton, Ont., July 11, touched a high voltage wire 1
Total 16
Comparison of Deaths
Fatalities this year will probably equal or exceed last
year's figure, as indicated by the following comparative table
covering the past 8 years: —
Month. 1913. 1914. 1915. 1916. 1917. 1918. 1919. 1920
January 14 26 3 10 21 28 13 22
February 21 18 11 23 19 87 26 30
March 22 27 23 23 20 34 9 35
April 11 22 14 6 15 7 27 8
May 33 8 5 14 12 10 15 13
June 18 12 2 6 9 9 28 15
July 9 8 13 268 19 6 11 15
August 29 3 14 30 12 7 24 . .
September ... 27 9 27 6 21 13 23 . .
October 15 9 7 39 23 11 16 ..
November . . .-. 24 14 12 12 21 3 14 . .
December .... 13 19 11 94 15 26 . .
Totals .... 236 175 142 531 207 241 206 138
EMPLOYMENT CONDITIONS IN CANADA
Reports from over 5,100 employers to the Dominic
Headquarters of the Employment Sersice of Canada, Depan
ment of Labour, indicate that, disregarding loss of tini
due to strikes, there was another increase in the volume c
employment during the week of June 26, as compared wit
returns from the same firms for the preceding week,
substantial increase had been anticipated, but the retun
show that the actual increase exceeded that anticipate'
For the following week these finns estimated that they woul
have a net decrease in staffs of 1.140 persons or two p<
cent., the anticipated decline being attributable chiefly '
estimated curtailment of operations in the iron and ste
group because of a shortage of fuel. In comparison wil
their returns for January 17, these firms reported that th<
had made very considerable additions to the number '
persons on their pajTolls.
Prince Edward Island, Ontario. Manitoba. Saskatchewi
and Alberta reported increases as compared with the retun
for the preceding week, while in all other provinces decreas
were reported, that in Quebec being the most substantu
For the succeeding week increases were anticipated
Quebec, Manitoba, Saskatchewan and Alberta, while of tl
decreases expected in the remaining provinces that in 0
tario was the most noteworthy. In comparison with the
returns for January, 17 firms in all the pro\nnces report
considerable increases to their staffs.
August 13, 1920
THE M O X E T A Pv V TIM K S
Equal Banking Service For Every Part of Canada
CANADA has many and diversified business interests.
Each province and each community has its own local business prob-
lems, which are importantly related to the welfare of the Dominion.
Many minds are working on these problems, each contributing its
talent to a wise solution.
,!>fr.
(~^L'R special talents - banking knowledge and banking service —
are being devoted whole-heartedly to Canada's business
development, general and local.
IN every important business community of the Dominion we have
a Branch Office.
EVERY' BRANCH knows the local man's problems, be he
merchant, farmer, manufacturer or worker in any line of industry —
great or small — and the officers in charge can be relied upon to
co-operate in every proper way with those who ask for advice
and banking service.
ALL of our service, all of our knowledge, all of our experience at-
tained in over a century of banking, are dedicated to the interests
of all of Canada
BANK OF MONTREAL
Established over 100 years
Direct aire icrvicc mainlaincJ helvccn Monlrral, Toronto.
Winnilief. J'oncouvcr. Acw \ or\. ChUafo uiiJ Son Francisco
Head Office: MONTREAL
Total As«Et« in excess of SGOO.OOO.OOO
Branch o&ctt in all important citici and townt ifaroufhoul Canada and Newfoundland
THE MUTUAL LIFE & CITIZENS'
ASSURANCE COMPANY LIMITED
lOF AUSTRALIA'
Chief Office: 286 St. James St., Montreal
POINTS FROM THE THIRTY-THIRD ANNUAL REPORT
FOR THE YEAR ENDING 31ST DECEMBER, 1919
Total Assets exceed $74,000,000
Income for year exceeds 8.500.000
Payments to Policyholders for year exceed 5,177,000
(Not including bonuses of over $1,250,000 credited to Ordin-
ary Branch policyholders, but not yet drawn)
PROGRESS OF THE COMPANY
Year Inrome At«et»
1899 .. $1,410,000 $ 2.600.000
1909 .... 4.400,000....- 23.800.000
1919 .;.;;.■ 8.500,000 74.000.000
The MutuallLife and Citizens" guarantees on each of its Ordinary Branch policies a low rale of ex-
pense to policyholders, and for the year 1919 the percentage of Ordinary Branch expcnic. to pre-
miums was onlv I 1.5 which is less than the guarantee.
BIG BONUSES LOW EXPENSES
J. P. MOORE, A.I A.
Applications for Agencies invited
W. B. ROBINSON
26
HE JI 0 N E T A R Y TIMES
Volume 65.
Openings and Methods for Business Insurance
Valuable to any Kind of Concern, but for Different Purposes-May be used as
Substitute for Sinking Fund to meet Bonds— Intimate Knowledge of Corporation
Finance and Forms of Business Organisation is Useful to Successful Agent
EVERY year an increasing volume of business insurance
is written in Canada. It is recognized that personnel
as well as property is an asset which should be protected
in the interests of the firm. Almost any kind of business
can find some form of insui-ance suitable to it. Recent
issues of the Great-West Life Bulletiji showed how busi-
ness insurance can be applied to various kinds of organiza-
tion. "The form of the organization," it is pointed out,
"determines, among other things, the degree of risk assumed
by the persons interested in it. Of course, this has a direct
bearing on business insurance as indicating specific need for
pi'otection. A member of a partnership, for example, may
lose all the money he has invested in it, and everything he
possesses besides, whereas in the case of a shai-eholder in
a corporation his liability to loss will be limited to the
amount of his subscription, except in the case of a banking
business.
"The most common forms of business enterprises are
sole propiretorships, partnerships and corporations. Each
of these has some variations which affect, more or less, the
liabilities involved. For instance, the joint stock company is
a partnership with transferable shares. The limited partner-
ship is one in which some of the members have a limited
liability. The so-called 'close corporation' is one, the stock
of which is held in few hands. Sometimes it is virtually
a proprietorship or partnership in corporate form.
The Proprietorship
"The proprietorship is a business owned by one person,
who is generally the sole nlanager. He may be operating on
borrowed capital to an extent which transfers the financial
control to other hands. Needless to say, under such circum-
stances, insurance should be caiTied for the protection of
the backer primarily, but also in order to conserve the busi-
ness for the o\viier's heirs.
"The one-man business is the most numerous form, and
includes many concerns in which large capital is employed.
The great majority of proprietors become first-class pros-
pects for business insurance when its potential services are
explained to them.
"The liability of the sole owner is absolutely unlimited.
His private property may be attached by his creditors, and,
under certain conditions, which the agent should ascertain
by reference to the bankruptcy law, he may be compelled
to realize the cash value of his life insurance for the pay-
ment of debts.
"The disadvantage involved in the combination of busi-
ness and private liability is offset by the consequent com-
bination of business and private credit. The indivdual pro-
prietor can borrow inore extensively, and, consequently,
operate more extensively than he could if his liability were
limited. This credit may be considerably enhanced by safe-
guarding it with business insurance against the consequences
of death or permanent disability, which would be especially
disastrous to an enterprise under one-man management.
The Partnership
"The partnership is similar in nature to the proprietor-
ship, being a combination of two, or more, owners. In law
the members of a firm are i-egarded as one person, so far
as their acts are concernc<l. For example, all arc liable to
the fullest extent for a debt contracted by one wnthin the
scope of the business. Death, insanity, bankruptcy or the
withdrawal of a member automatically dissolves a partner-
ship. Firms are usually perpetuated by a new organization
immediately following such an occurrence. Business insur-
ance is the most certain and effective agency for assuring
the continuance of a business under these conditions, just
as it is the surest means of securing survival of a proprietor-
ship after the owner's death.
"The unlimited liability of partners has a favorable
effect on their credit, but this is more than offset by the
danger of sudden dissolution and by the unrestricted power
of one member to commit his associates, even without their
knowledge. Insurance will generally act as a counterbal-
ance of these disadvantages, and enhance the bank and trade
credit of a firm.
The Corporation
"The corporation is an organization doing business
under a charter granted by the government. Its ownership
is represented by transferable shares and its management
is under the control of a boai-d of directors.
"Heavily capitalized and extensively operating enter-
prises are usually conducted under the corporate form. Great
monetary interests are involved and exceptionally valuable
men are employed in positions of responsibility. Hence, large
policies of business insurance are generally issued for the
benefit of corporations. Nevertheless, their need of insur-
ance protection is relatively less than that of a partnership
or of a one-man business.
Close Corporations
"The close corporation is peculiar only in the fact thai
its stock is held in a few hands. There are usually sub-
stantial reasons for this condition. Business insurance is
especially serviceable to a close corporation as a means ol
perpetuating the restricted control. Reinforced by a sub
sidiar>' agreement, it will provide funds for enabling tht
sun^ivors to absorb the stock holding of a deceased associate
and so prevent its passing to alien, and, perhaps, objection
able hands.
"It may be said, in passing, that the agent should bi
able to draw up, in correct form, the subsidiary- agreement:
which are frequently necessary to insure the full effective
ness of business insurance. It is inadvisable to have the lepa
adviser of the corporation or firm brought into the trans
action. He is likely to create all manner of complicationf
To forestall any questions on the part of the prospect a
to the soundness of the agreement, and invariably when th'
least doubt exists in his own mind, the agent had better hav
the agreement drawn or approved by a lawyer of repute.
"Consolidations and reorganizations frequently presen
logical occasions for business insurance pi'oposals. An amal
ganiation or a merger of two or more business enterprise
almost invariably involves deferred liabilities, for the dis
charge of which provision may be made through busines
insui-ance. Reorganization usually entails change of man
agcment and increased responsibilities. Frequently it i
accompanied by enlai'ged capital, with correspondingly m
creased liability. A common feature of the transaction i
extension of operation, which necessarily creates new hazard;
"In case of consolidation or reorganization, it is probabi
that the i-econstructed enterprise will have a new head an
perhaps other new ofTicers, whose lives the concerns may f
disposed to cover with business insurance.
"The bankruptcy law should be studied in so far as :
may affect a canvass of business insurance. In particular
ascertain the precise status of business and domestic insui
ance carried by insolvent debtors.
"We will now take into consideration other importar
matters which should be within the knowledge of an ager
aspiinng to write business insurance in connection with larg
concerns.
"Good-will is the pati'onage enjoyed by a business. 1
is derived from many different sources. Good-will is rarel
a definite calculable asset. It is sometimes inserted in boos
(Continued on page 29)
August 13, 1920
THE MONETARY- TIMES
27
The Norske Lloyd Insurance Company
Some Notes Regarding its History, and Interesting Information
Gleaned from the Annual Report of the Company for the Year 1919
HISTORY.
The Norske Lloyd Insur&nce Company is a Scandinavian
iistitution which has built up a vast business in the foreign
.eld. It was established in 1905 and entered the United
r.ingdom in 1911. The head office is in Christiania, Nonvay,
iie general manager being Alf. L. Whist. The capital is
.11,000,000 kroner, of which 9,850,000 kroner is paid up (the
1 .'oner has a par value of $.208). The original paid-up capital
vas $55,555, which was increased in 1910 to $lGG,(;i55, in 1914
. $205,450, in 1915 to $794,500 and in 1917 to $2,506,105.
I lie stock issued in 1915 was sold at a premium of 35^0 above
; ar, the surplus thus realized being added to the special
..■sen'e fund of the company. The present capital affords
anple security to the insured, which is further strengthened
y the obligations of the stockholders for the amount of
apital unpaid. The company writes fire, marine, accident,
late glass, burglary and all classes of re-insurance. It has
reputation for prompt settlement of losses. All assets are
iable for payment of losses wherever incurred.
The Norske Lloyd operates particularly in Scandinavia
!id England, but has an organization extending over the world.
.cense to write marine and fire business was obtained from
::e New York State Insurance Department in January, 1916.
! he management in the United States is in the hands of
!ie International Fire and Marine Agency Corporation, New
Vork, the United States trustee being the Guaranty Trust
I Corporation. Sterling Offices, Ltd., the managers of the com-
I pany for the United Kingdom, have a branch in the Bank of
Hamilton Building, Toronto, the special representative for
anada being H. Marshall Robertson.
ANNUAL STATEMENT.
Rapid growth is illustrated in the statement shown
it.rewith. Net premium income has increased from $42,240
■■: 1906 to $4,217,920 in 1919 (converting the pound sterling
I $5 to the pound). During the same period of fourteen
cars the reserve for unexpired risks, including reserves for
■ sses, has risen from $15,380 to $3,021,075, and the general
-serve fund from $2,775 to $1,931,505. The growth of in-
'•stments is shown by the increase in interest and dividends
a'l-om $2,000 to $287,635. The subscribed capital has increased
from $273,970 to .$2,739,725, and the paid-up capital from
|S55,555 to $2,721,885. Payment of dividends commenced at
he rate of 5 per cent, in 1908, and during 1918 and 1919
■ere paid at the rate of 12% per cent.
A summary of revenue accounts for the year 1919 shows
lat net marine premium income was Sl,6r.7,(>37; net fire
riemium income was $1,221,285, and net accident premium
income $1,328,995. This makes a total net premium income
»f $4,217,919, to which was added $287,635 of interest on in-
I'pstments, making a total net income of $l,."i05,554. The
l.iims totalled $1,181, 7(i2, made up of marine. $554,7.'.3, fire
■ "J5,213 and accident $271,795. Commission and miiniigc-
Tient expenses totalled $1,591,334, made up of marine $163,-
r63: fire, .•i;.382,126; accident, $463,9.10: taxe.-s. excess profits,
luty, rent, etc., $314,100; and depreciation 'if inve.stmenUH,
"ss on exchange, etc., $267,415. The balance between the
■oome and the outgo as above was therefore $1,732,457, to
vhich was added the insurance fund of $1,888,616 brought
'invard from 1918, making a total insurance fund
of $3,621,073 for 1920, to cover known and i.uKn<.« n
contingencies.
The premiums in the company's life reassurance depart-
ment totalled $50,.399. The fund at the end of 1918 was
$236,595, and these, with other income from investments, etc.,
made a total of $300,173 of income in this department. The
expenditures were: Claims by death, $5,891; annuities, $137;
surrendered policies, $10; expenses, $19,241; and cancelled
portfolio, $156,010. These expenditures totalled $181,291,
leaving a balance of $118,881, of which $112,208 was carried
to the insurance fund and the remaining $6,773 carried
forward.
In the closing of the 1918 account there was a balance
of $2,324,786, after paying all claims on marine, fire and acci-
dent account. Of this balance, $1,888,616 was carried to the
insurance fund for 1920, and the remainder of $436,170 was
profit. Dividends at 12"^ per cent, required $337,328, divi-
dend reserve fund $68,493, directors' fees $28,972 and $1,375
was written off furniture.
The balance sheet as at the end of 1919 shows assets
totalling $11,540,767, the investments being well distributed
as follows: Government securities, $1,815,504; municipal and
industrial debentures and securities, $1,041,145; railway and
other guaranteed stocks, $1,581,232; preference and ordin-
ary stocks and shares, $654,862. The amount of cash on
deposit at banks was $2,391, 24.'i, and $4,079 was kept on
hand. The company's head office buildings in Christiania
were valued at $254,794. Amounts due from insurance com-
panies and others totalled $1,173,054, and agency balances
and sundry debtors $2,4()2,727. All Russian bonds and se-
curities held by the company have been entirely written off,
and any other foreign securities have been taken into the
balance sheet at their present market value.
The liabilities side of the balance sheet shows the paid-
up capital to be $2,721,684, the general re.ser\'e fund $1,931,-
506, and the insurance fund, $3,621,073. Other liabilities are:
Sundry creditors. $2,538,160; mortgages, $35,616; directors'
fees, etc., $28,972; unclaimed dividends, $13,595; dividend for
1919, $337,328; staff pension and benevolent fund, $27,397;
and dividend reserve fund, $136,986. In the life reassurance
department there are the life reassurance fund, $140,9.'>9; the
reserve for claims, $811; and $6,673 carried forward.
The premium income, as will be noticed from the com-
parative statement, fell off slightly as compared with 1918.
Other leading British companies writing marine insurance
had the same experience. Some of them also report that
their experience during the latter part of 1919 was fnr from
satisfactory, hut that of the Nor.^ke Lli>y<i was by no menn.f
the worst.
In preparing the statement, the company converted
foreign monies into Scandinovian currency at the nominl
rates of exchange in the cose of sterling and dollnr.H, while
other foreign money was converted at current rates of ex-
change.
There is scarcely a foreign compiiny in London, the pro-
gress of which during the past ten years has been watched
with greater interest than the Nnritke I.loyd, ,»inre it was
very useful to the groat fire and marine companico when
their usual reinsurance focililies were destroyed during the
war. The present strong financial position has been created
by the practice of building up adequate reserves. Its record
is very gratifying to those who prophesied success for ft
when its entry into Great Britain was first mooted.
28 T H E M O N E T A R Y T I M E S Volume 65.
NORSKE LLOYD 1919 REPORT
SUMMARY OF REVENUE ACCOUNTS FOR 1919
INCOME.
Marine —
Premiums, less Retui-ns and Reinsurances ■■■ , $1,667,637.79
FlRF. I ••
Premiums, less Returns and Reinsurances 1,221,285.98
ACCIHENT —
Premiums, less Returns and Reinsurances 1,328,995.37
Total Net Premium Income $4,217,919.14
Interest on Investments 287,635.54
Total Net Income $4,505,554.68
OUTGO.
Claims Account —
Marine $554,753.65
Fire 355,213.48
Accident 271,795.11
Commission and Management Expenses — $1,181,762.24
Marine $163,763.07
Fire 382,126.11
Accident 463,930.68
Taxes, Excess Profits Duty, Rent, etc 314,100.04
Depreciation of Investments, and Loss on Exchange 267,415.02
1,591,334.92
2,773,097.16
Balance $1,732,457.52
To which add Insurance Fund brought forward from 1018 ; '. 1,888,616.19
Total of Insurance Fund for 1920 to cover known and unlniown contingencies $3,621,073.71
Life Reassurance Department —
INCOME.
Balance brought forward 6,490.34
Insurance Fund 236,595.37
Insurance Fund for accepted portfolio 208.67
Premiums 50,399.69
Interest 4,650.35
Insui-ance Fund for cancelled portfolio 1,696.76
Exchange 132.69
$ 300,173.87
OUTGO.
Claims ' by Death $ 5,891.48
Annuities 137.00
Surrendered Policies 10.96
E.xpenses 19,241.96
Cancelled portfolio 156,010.54
181,291.94
Balance 118,881.93
Carried to Insurance Fund 112,208.87
Balance Carried forward 6,773.06
CLOSING OF ACCOUNT FOR 1918
Insurance Fund as at 31st December, 1918 $3,909,011.65
Of which was paid for Claims —
Marine $ 872,366.67
Fire •■ ■ 530,489.26
Accident 181,369.48
1,584,225.41
Balance $2,324,786.23
Carried to Insurance Fund for 1920 1,888,616.19
Profit $ 436.170.04
APPROPRIATION ACCOUNT ~
Dividend of I2V2 per cent $ 337.328.76
Dividend Reserve Fund ' 68,493.15
Directors' Fees, etc 28,972.59
Amount written off Furniture Account 1,375.54
$ 436,170.04
Exchange, £ = $5.00. '
AuMU.-^i
T H l; M o n e t a R Y T I M E S
BALANCE SHEET as at .Ust December. IMl'.t
Rate 01" Exchange taken at £ — ^5.00.
LIABILITIES.
( apital Paid Up :!; 2.721,(;84.a3
(.Jeneial Reserve Fund 1
Insurance Fund 3
Sundry Creditors -2,
Mortgages
! lirectors' Fees, etc '.
Unclaimed Dividends
IMvidend for 1919
Staff Pension and Benevolent Fund
Dividend Reserve Fund
Life Reassurance Department-
Life Assurance Fund
Heserve for Claims
Carried forward
,500.85
073.73
,160.35
616.44
,972.58
,595.06
,328.77
,397.25
986.31
140,959.81
811.98
6,673.06
$11,540,767.12
ASSETS.
$1315,504.06
1,041.145.33
Government Securities
Municipal and Industrial Deben-
tures and Securities
Railway and other Guaranteed
Stocks 1,.">8 1,232.04
Preference and Ordinary Stocks
and Shares 054,862. 61
Cash on Deposit at Banks 2.391,245.20
Cash in hand 4.079.33
Company's Head Uflice Buildings
— 7 and 9 Prinsengude,
Christiania 2r>4,7U4.51
Due from Insurance Companies and others . .
.\gency Balances and Sundry Debtors
Payments in advance on Claims
Furniture and Fittings at Head Office and
Branches written off, except a nominal
sum of
Like Reassi'ra.nce Dei'artme.nt —
Cash on Deposit in Banks
Due from Reassurance Companies
Reassurance Companies' Share of Life Fund . .
Reassurance Companies' Share of Reserve for
Claims
7,742,863.14
1,173.054.08
2,462,727.75
13,677.06
16,389.42
103.148.2C
28,750.94
156.21
$ll,.'''io;
after deduc-
tion of
Return!) and
Reinsurances
SUMMARY OV THE COMI'WV'S (ij'KiMTloNs;
.">
?
5
' '.<ih;
i-J:JU<
15,000
(;,950
l:"i7
Tl.dMi
28.750
10,890
■ '.Ills
'.•.'i.Tr,.')
I'.l.lUMI
12.980
i'.MI'.i
iJT.i'.i;:,
:>i;,i;i;:,
14,720
i;»lo
2.jS,!MU
I5l,!»:j.5
26,100
1911
377,.5G.^
233,135
52,1.50
1912
537,930
353,535
60,340
1913
665,6;{5
472.920 •
75,755
1914
887,9:i0
495,010
105,055
1915
1,931,145
887,300
152,71 u
1916
3,847.3.55
2,001,705
107,585
1917
4,805,200
3,302,050
589,200
1918
4,422,195
3,10(!,740
890,970
1919
4,217,920
2,765,985
1,323,920
Inclu.liiiK
Kc«.TV.« f..r
Gcneml
Rcitcrvtf
Fun.i
Diviilrndi.
Invintnicnu
5
$
$
15,380
2,775
2,000
21,240
9,720
2.235
30,585
19.445
2,415
05,780
. 34,720
2,495
100,490
47.225
7,0!t5
172,.385
65,000
8,025
206,(!85
83,335
8.945
355,220
104,165
12.725
524,085
143,825
14,570
l,30i;,17O
303,015
50,835
3,002,335
.190,410
93,440
3,859,120
1,931,505
137,085
3,909,010
1,931.50.=i
.301,200
3,621,073
287,635
27:1,970
273,970
273,970
273,!t70
821,920
821.;t20
h2I.;r_'il
821,920
S21,'.l20
l,30>.t.St..)
I.:.-" V. ,.
?
55,555
56,555
55,>'>55
55,556
100.065
10(i.005
ir.0,005
100.005
205,4.50
794.520
M7S.270
■..".or,,ioS
,70:i.7OO
:,72l,»«>-'
j-Exclusive of 2'/4';'r carried to Dividend Re8er\'c Fund. •Additional Bonus of 6%,
.^bovp ("iiriires are exclusive of Life Pepnrtmc"'
10
10
10
♦10
tJ2«i,
OI'FMNG.S AND METHODS FOR lU SINESS
INSURANCE
(Continued from page 26)
of account at a specific valuation. Upon a business changing
liands good-will may be paid for at a. high figuio, espcciolly
when its stability is apparent and the cost of its creation
can be shown to have been heavy. When a partner retires
from a firm, it frequently pays for his gooil-will; that i» to
say, his connection.
"It may be that n large proportion of n coticcm's bu"-
ne%» i» due to the reputation or influence of an indivirlu.Tl,
In the event of bin denth or retirement, «hi» busincci, or •
contidernbjp part of it, would be lost. Life Infumnce will
indemnify for such a condition. An endowment policy choalii
be taken to provide for the latter contingency.
"Depreciation connisls of decrrane in value of flxc<l
assets. It may bo occasioned by wear nnil tear, shrinkage,
expiration of franchises and oth'-r rnusos. Thr depreciation
factor enter* into the calculations of all forms of business.
but varies greatlv. In a law firm, for Instance, St would b*-
THE MONETARY TIMES
Volume 65.
limited to the wear and tear of office furniture. In an indus-
trial corporation it would extend to buildings, machinery and
other equipment.
"Depreciation may be estimated and written off at h
fixed rate annually against profits or dividends. Or it may
be provided for by the establishment of a i-eserve account
or sinking fund. This would bear interest, and would be
debited with expenditures for replacements and mainten-
ance.
"The estimates and depreciation in most large businesses
ai'e necessarily more or less arbitrary. But in some cases
an approximation to precise calculation is possible. For ex-
ample, auto delivery trucks of a standard tjTse are estimated
as depreciating 10 per cent, a year. That is to say, the life
of this asset is calculated at ten years. A ten-year endow-
ment policy would make exact provision for the replacement
of such equipment.
"The average sinking fund is 5 per cent, yearly. The
principal sum contemplated is, therefore, realized in twenty
yeai's, or such reduction of that period as may be effected
by interest accumulation. A twenty-year endowment policy,
at an average age, will require a premium payment of less
than 5 per cent., and the accrued profits will operate as an
offset to the interest on the sinking fund. Of course, the
method of providing for depreciation by life insurance has
the great advantage that the death of the insured may put
the concern in possession of the principal sum at an earlier
time and at smaller outlay than by the method of creating
a reserve account. Moreover, the insurance may cover a
valuable life, and so effect two important purposes. A pro-
positien on these lines will often make a strong appeal to
a corporation. And it must be borne in mind tliat evei-j-
industrial concern requires to maintain a substantial sinking
fund.
Sinking Fund for Redemption of Bonds
"A common method of providing working capital for a
new business or for the extension of a going concern is by
the issue and sale of bonds. The redemiition of these is
usually provided for by the creation of a sinking, reser%'e or
redemption fund. This consists of money deposited in bank
or conservatively invested in such periodical sums as will
amount to sufficient, together with interest or other accre-
tions, to discharge the obligation at maturity.
"Bonds are issued for varying periods, and sometimes
as a serial; that is to say, an issue certain proportions of
which mature in periods of varying lei.gths In any case,
endowment insurance furnishes a substitute for the ordinary
sinking fund, and will prove attractive to most corporations
if properly presented. It has the advantages which were
noted in connection with a similar recourse for anticipating
depreciation. There is the additional consideration in the
case of insurance taken to pro\'ide for the redemption of
bonds that, if the policies are specifically taken and held in
ti-ust for that purpose, they contribute an element of strength
to the bonds, which will unquestionably facilitate the sale
of them.
"Capital, in a commerical sense, means all the property
owned — not borrowed — and used in a business. The term,
"invested capital," more exactly expresses this idea, whilst
"working capital" implies the net amount of liquid funds
available for the immediate operating expenses of a busi-
ness. Working capital to tide over three or four months is
usually considered sufficient for industrial concerns, but the
need may be considerably increased by extraordinary cir-
cumstances. During a period of expansion a company will
require a substantial increase of ready money or bank credit,
because the cost of increased output will keep ahead of in-
crease of income for some time. The manufacture of seasonal
products demands a supply of working capital much greater
at one period of the year than at another. Contract work
extending over a long period, with payment deferred until
completion, would involve the use of an exceptional amount
of working capital.
"A business with little or no reserve funds is in a more
or less precarious situation in times and under conditions
which strain its resources of working capital. The death of
an important person in its organization at such a juncture
Some of the Delegates at the Niagara District Ind<'
August 13, 1920
THE MONETARY TIMES
might entail the worst effects unless provision for indemnity
had been made through the medium of business insurance."
Study of Finance
Underwriters are urged again to study books on cor-
poration finance. Such books "contain typical illustrations
of articles of co-partnership, certificates of incorporation,
promotion prospectuses, plans of consolidation, voting trust
agreements, readjustments of capital account, financial state-
ments, bond issues, mortgages, and other matters from
which he cannot fail to gain numerous suggestions for the
application of business insurance. If this is not done as a
general preparation, recourse should be had to such a volume
for preliminary information in particular cases. For ex-
ample, the agent hears of a merger and forms an idea of
making it the basis for a proposal of business insurance. He
will do well to read the description of one or two consolida-
tions, as given in a work of Corporation Finance, and then
seek to learn the details of the case in view. In the same
way, he may qualify himself to make an intelligent proposi-
tion for business insurance in connection with a bond issue,
a mortgage, or other transaction of a corporation, involving
increased liabilities.
"In many instances, such knowledge is necessary in order
to formulate logical arguments in support of the proposi-
tion. The agent who is completely ignorant of the subject
in question is bound to betray the fact in the most super-
ficial discussion, and it can hardly fail to ruin the chances
cf srccess. A case in point was recently recounted to the
writer by a member of a firm which had been approached
by an agent with a proposition for business insurance on
the strength of the concern having taken in a special
partner. There was sound ground for insurance and it was
written, but not by the agent in question. In the first and
only interview he displayed a complete misunderstanding
of the situation. He did not know the status of a special
partner, nor the nature of his connection, and made a pro-
position which proved that he was ignorant of the real
hazard in the case.
Agent Alust Specialize
"The agent who aspires to writing business insurunci
in large amounts must make a specialty of it. He cannoi
hope for success unless he is willing to take the trouble to
qualify for it. The agent should be able to read intelligent-
ly the. financial statement, or general balance sheet, of a
commercial concern. Its two main divisions are assets and
liabilities. Each of these has several subdivisions, of which
the following are typical examples: —
"Fixed assets: embracing land, buildings, machinery
and equipment, furniture and fixtures, good-will.
"Working and trading assets: materials and supplies,
goods in process of production, goods ready for the market.
"Current assets: cash accounts and notes receivable.
"Deferred charges to Expense: insurance prepaid, inter-
est prepaid, advertising.
"Fixed liabilities: mortgage payable.
"Current liabilities: accounts payable, not*s payable,
dividends payable.
"Reserve funds: for depreciation of fixtures, of ma-
chinery, of auto equipment, of buildings, for doubtful ac-
counts, for income and excess profit taxes.
"Capital: common stock outstanding, preferred stock
outstanding.
"Surplus: profit and loss for year ended, etc.
"Whilst such statement shows the general financial con-
dition of the company, several of its items may specially
enter into a calculation of business insurance. General bal-
ance sheets are commonly published and generally obtain-
able from mercantile agencies.
"The Income Statement, which is a detailed account of
income, profit and loss, throws even greater light upon the
conditions of the business. Amount of capital and extent
of assets arc not the sole criteria of a company's strength.
The ratio between current assets and current liabilities i«
highly important. A concern might have an ample p •
of fixed assets, and yet be force<l into receivership f-
of immediate resources with whirh to meet its n ■
liabilities."
rres;, August 2 to 4, 1920. Photo at Niagara Falls, Oiil.
THE MONETARY TIMES
Volume 65.
Atlantic Sugar Refineries Limited
D. Lome McGibbon
Hon. C. P. Beaixbien, K.C.
F S. Armstrong-
S. H. Ewing
President
D. LORNE McGIBBON
General Manager
F. G. 0 GRADY
DIRECTORS
F. G. 0 'Grady
Lewis J. Seidensticker
Sir Thomas Tait
Hon. Wallace Nes*bitt, K.C.
OFFICERS
Secretary
STEPHEN J. LeHURAY
Murray E. Williams
William Mulock
L. R. Wilson
S. J. LeHuray
Vice-President
SIR THOMAS TAIT
Treasurer
M. J. SAVAGE
REPORT OF THE PRESIDENT AND DIRECTORS
For the Year Ending April 30th, 1920
To the Shareholders :
ATLANTIC SUGAR REFINERIES, LIMITED
Your Directors beg- to submit herewith the Fifth
Annual Statement of your Company for the year ended
April 30th, 1920.
The profits for the year, as will be seen from the
Profit and Loss Account, amounted to $670,090.67
after making deductions for Interest, Repairs and De-
preciation, and Reserves for Business Profits Tax and
Contingencies. The Balance of $698,771.68 brought
forward fi'om the previous year, added to the above,
makes a total of $1,368,862.33, from which four quar-
erly dividends of 1%% each on the Preferred Stock,
in addition to 31/2% on account of accumulated arrears
have been paid, amounting- to $262,500.00, lea-ving a
balance of $1,106,362.35 at the credit of Profit and Loss
Account.
Exchange on New York funds to pay for Raw Sugar
purchases amounted to $976,302.90 as against $115,000
last year.
The sales of refined sugar of the Company for the
year amounted to more than $25,000,000, an increase
over the previous year of approximately 133%. This
large increase in the volume of the Company's busi-
ness contributed appreciably to the satisfactory results
for the year.
The purchase of raw supplies for 1920 has been
left to the discretion of the refiners, and there has been
an open market since the finish of the 1919 crop. The
world shortage of suoar, however, has made it neces-
sary to conserve available supplies for home consump-
tion and very favorable opportunities to obtain export
business have had to be ignored.
Labor difficulties in the raw sugar districts and
numerous delays in both water and rail transportation
have operated to affect the continuous running of the
Refinery, and have been the cause of slowing up and
even shutting down on several occasions owing to lack
of raw sugar. The shut-downs were only of a tem-
porary nature, however, and your' Refinery was oper-
ated 262 days out of a possible 312 days.
The efficiency of your Refinery has been maintained
and improvements and betterments have been installed
during the year. A new valuation of the Refinery has
been made which shows a value of $5,181,444.52 for
the land, buildings, and machinery and plant, being
$1,061,184.94 in excess of the previous valuation. This
increased value has been added to Capital Account,
and a corresponding amount has been added to Depre-
ciation Reserve Account, in addition to the usual yearly
allowances for depreciation.
The Company has continued its advertising policy
to a modified extent sufficient for the Company's pur-
poses, and the excellence of the Company's products is
well established with the consunung public of Canada.
During the year machinery for making lump sugar was
added to the equipment, and this grade has been called
"LANTIC LUMPS, " and found immediate favor with
the trade. The Company now produces a complete line
of all grades of sugar.
On July 1st, 1919, the Com.pany redeemed outstand-
ing Bonds amounting to $75,000, in accordance with
the terms of the Trust Deed.
Owing to labor and other troubles in Cuba during
the early months of 1920, the Company was unable to
obtain delivery vdthin the contract time of a portion
of raw sugars purchased, and it became necessary to
resell them, but as the quantity sold had to be replaced
at higher prices for later delivery, your Directors have
deemed it advisable to set up the amount of profit on
the raw sugars so sold as a contingent reserve against
possible loss on future contracts.
Respectfully submitted,
D. LORNE McGIBBON,
July 12, 1920. President.
August 13, 1920
THE MONET A II V TIMES
33
BALANCE SHEET AS
ASSETS
Land, Buildings, Wharfs,
Plant, Equipment, etc. . 55,181,444.52
Franchises, Leases and Good-
will 3,000,000.00
3,181,444.52
Cash $1,438,041.73
Accounts Receivable 922,569.41
Bills Receivable 1,147.519.01
Investments 27,127.00
Inventories 1,453,465.95
4,988,723.10
Expenditures made on account of future
business 16,179.77
AT 30th April, 1920
LIABILITIES
CAPITAL STOCK:—
Authorized : —
30,000 1\ Cum. Con. Pre-
ferred Shares of $100
^Jicb $3,000,000.00
35,000 Common Shares of
$100 each 3,500,000.00
Issued : —
25,000 7% Cum. Con, Pre-
ferred Shares of $100
each 2,500,000.00
35,000 Common Shares of
$100 each 3,500,000.00
— — $6,000,000.00
Note: — Dividend on Preferred Stock
cumulative from 1st January, 1916.
BONDS:—
Authorized : —
$2,000,000.00 First Mort-
gage 60/0 Bonds— Issued $1,570,000.00
Less: — Redeemed 225,000.00
Bills Payable $ 46,035.74
Accounts Payable, including
provision for War Tax,
1920 . 1,115,946.00
Bond Interest Accrued 26,900.00
1,345,000.00
1,188,881.74
$13,186,347,39
Reserves : —
For Depreciation $2,006,613.50
For Wharf Replacement,
Bad Debts and Inven-
tories of Supplies 340,477.03
Contingent Re.«erve 1,199,012.77
3,546,103.30
Profit and Loss Account — Balance 1,106.362.35
$13,186,347.39
Approved on Behalf of the Board,
D. LORNE McGIBBON i _.
F. G. 0 GRADY ' ""^*^*°"
lited:
To the Shareholders of the Atlantic Sugar Reflnerle .
We have examined the Accounts o( the Atlantic Sugar RcDnerles. Limited, (or the year ended 3»th April, ma. and havr obtained all Ibr
rxplanation^ required by us. Wo hereby certify that the above Balaneo Sheet Is properly drawn up to at to . (hibit a true and correct
Company's affairs, according to the best of our information and explanations given to us, and at ihown by the bookt of the Company.
(Signed) MACINTOSH. COLE t. ROOERTSON.
Montreal. lOth July. 1920, Chartorwl Accounl
of iht
PROFIT AND LOSS ACCOUNT FOR YEAR TO 30th APRIL, 1920
Balance as at 30th April, 1919
Refining Profits for the Year after deducting Charges for Repairs, Mjiintenance and Im-
provements and providing for War Tax, 1920, and Reserves for Wharf Replace-
ments, Bad Debts and Inventory of Supplies
Profit on Investments
Profits from other Sources
Deduct: —
Bond Interest for Year
Bank Interest and Exchange on Trade Paper
Depreciation
Contingent Reserve
. $1,594,888.26
9,009.31
1,199,012.77
$2,802,910.34
$ 81.450.00
131,325.46
721,031.44
1,199.012.77
Net Profit
Less :— Dividends of 10y2% on Preferred Shares
— 2,132,819.67
$670,090.67
262.600.00
$698,771,68
Balance
THE MONETARY TIMES
Volume 65.
SELECTION OF A LIFE INSURANCE POLICY
No Question as to Need of Protection for Dependents, or as
to Safety of Companies Licensed in Canada — Best
Policy Depends on Assured's Circumstances
By C. Lear White
Sit7i Life Insurance Co.
LIFE insurance is a problem which presents itself to every
thoughtful young man. In these days when the cost of
living is mounting at such a rate, one would, perhaps, think
that the amount of insurance being taken by the public
might decrease, but it is well known that such is not the
case. Life insurance companies were never before so taxed
to handle the business which is coming in to them. In Can-
ada last year .$500,000,000 of new life insurance was written.
A large amount of these life insurance policies are being
taken by young men, returned men who have married and
settled down, or are seriously thinking of doing so, and are
re-establishing themselves in civil life.
What is the problem of life insurance for these young
men? To a very few, perhaps, there is first of all the ques-
tion of the need for insurance at all, but this type of thought-
less individual is not very often mot with. No young man
who has any self-respect can ask a girl (the finest one in
the world) to leave her father's home, to care for him, to
weaken her strength by bearing his children, and to destroy
her earning power by having to care for them, and yet per-
suade himself that he is responsible for that girl only as
long as he lives. His obligation does not cease at his death,
but continues as long as she may live. Also, as he owed his
support during childhood to others, he should now be willing
to lepay his obligation by rearing and educating his own
children. A little honest thinking along these lines will
easily convince any self-respecting man of the need for life
insurance.
The next phase of the problem then present themselves
— what company? What kind of policy? What amount?
What Companies are Safe?
A few days ago the writer met a young man who had
actually obtained a copy of the government insurance blue
book, and had attempted to dig out from that complicated
volume a comparison of the leading companies. He laughed
when asked what conclusion he had reached. It is not neces-
sary to discuss the merits of different companies here, suffice
to say that any company which has been licensed to write
life insurance in Canada is absolutely safe. Banks, loan
companies, trust companies, real estate ventures, and indus-
trial enterprises of all kinds have failed, but the day has
yet to dawn when a Canadian life insurance claim has not
been paid. The young man need not worry about com-
panies. Let him select a reputable insurance agent in the
same way that he would select a firm of solicitors; then he
may rest assured that the insurance advice and service
which he receives will be the very best.
Term Policies
The next problem then is — what kind of policy? The
development of life insurance has evolved many different so-
called "plans." The basic idea of all is, of course, protec-
tion against death. For the sake of clearness let us take a
concrete example. A man wishes to insure his life for ?1,000
for one year. He would buy a one-year term policy, similar
in every way to a one-year fire insurance policy; this is the
simplest plan of life insurance. The premium increases with
the ago of the applicant, because the risk of death is greater
as man grows older. The term policy may be issued for any
number of years, at the end of which time the policy ends.
This form of policy has proved very unsatisfactory, as the
insurance may cease just at a time when the man has the
greatest need for protection. If he can pass a medical ex-
amination and is able to pay a much higher premium, he may
take out another policy, but either of these conditions may
present an insurmoimtable barrier.
To overcome this a policy known as the renewable term
policy has been issued. This policy is renewable without
medical examination. However, it does not contain the lib-
eral privileges of life policies which have made insurance
contracts so attractive. For example, there is practically
no cash value to a term policy, no provision for non-for-
feiture in case of non-payment of premiums, and no loan
value. Term policies are to be recommended only in ex-
ceptional circumstances.
Life Policies
This brings us to the life policies, and, first of all, we
have the ordinary, or whole life plan. On this plan the first
medical examination serves for life and the premium is pay-
able until death but does not increase.
The payment of premiums on the life policy may be
limited so that the assured pays all his premium in 1, 5, 10,
15, 20, or, in fact, any number of payments. These are
known as limited payment life policies, the most popular of
which is the 20-payment life policy. Finally, we have en-
dowment policies. A new feature is introduced in this form
of insurance. In addition to protection of $1,000 against
death, the endowment policy agrees to pay $1,000 in a given
time if the assured be then alive.
Of these several different plans, naturally, the term
policy is the cheapest, because it gives the fewest privileges,
and similarly the endowment is the most expensive, because
it contains the greatest benefit.
Which, then, of these vai'ious plans is the young man
to choose ? The plan salected must suit the individual need,
and needs vary greatly, but let us take an example of the
average young married man.
Calculating Needs of Dependents
Our average young married man is not rich. If he has
■$1,000 in the bank or Victory bonds, or invested in a home,
and is earning .$1,500 or $2,500 a year he is lucky. If this
individual were to die suddenly he would leave to his wife
and family $1,000 — sufficient pi'obably for his funeral ex-
penses. Quite obviously then it is this young man's duty to
carry sufficient life insurance to provide entirely for his
family's needs, because he has nothing else to leave them.
If he decides that S50 per month would be sufficient for
his family's needs, then he can easily figure that on a 6 per
cent, basis they will need $10,000 capital to produce $600
per year or $50 per month. His next thought will be, how
much will $10,000 insurance cost, and this brings us to the
question of the plan.
If our young man could afford to pay for $10,000 en-
dowment insurance he would not only be providing the
necessary protection for his family, but he would be build-
ing up a competence to provide for his own old age. But
$10,000 insurance on the 20-year endownment plan will cost
nearly $500 per year, or on the 30-year endowment plan,
about $335 per year. This expenditure is too much for our
average family man. $10,000 ,on the 20-pay life plan will
cost about $325, or, on the whole life plan about $225.
Whole Life Policy Most Popular
Now, if our young man can afford to pay $325 per year,
he should take the 20-pay life policy, but if he cannot afford
so much then he should carry the $10,000 on the whole life
plan; if he cannot afford even this he should carry $10,000
on a term plan which will allow him to convert it later to
life plan. 'The main point is that we decided that he needed
$10,000 protection and in average cases the plan will depend
on the ability of the man to pay. Of course, there are other
considerations which may influence the plan to be taken. A
man who is in business for himself, or who can and does
save and invest money outside of his insurance, should choose
the whole life policy. This policy will give him protection,
and his own investments will provide for his own old age.
But to the professional or salaried man the endowment
policy offers a very attractive combination of protection and
savings.
(Continued on page 36)
August 13, 1920
THE MONET A K V T I M E S
36
C. S. GUNN & COMPANY
REAL ESTATE, INSURANCE, RENTAL AGENTS
805 Union Trust Building
WINNIPEG, MAN.
Members of Winnipeg Real Estate Exchange, Winnipeg Stock Exchange
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
A Newspaper Devoted to
Municipal Bonds
HTHIiRli is publislieil in New Nork City a daily
and weekly newspaper wliicli has for over
twenty-five years been devoted to municipal
bonds. Bankers, bond dealers, investors and
public oHicials consider it an authority in its
field. Municipalities consider it the logical
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Write for free tpecimen eopitB
THE BOND BUYER
67 Pearl Street
New York, N.Y.
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank Bldg., Edmonton, Alta.
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
Lougheed & Taylor
LIMITED
Bond Dealers and Financial Agents
210 Eighth Avenue West, Calgary,
Alberta
G jvernmcnt Municipal and Corporalion Bonds
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Wc.lrrn « rlpill. »rl I llll'l -.iLfclllrlH- » ai. IllirnI Trir.
Iihoni' < II. ilrlii-nliirrn •prrlnlliril In.
Correspondence invilcil
GRAINGER BUILDING - - SASKATOON
H. H. CAMPKIN
'nsurance, Loans, Bonds, Debentures and Real Estate
AlicnllnrC.in;..l,,in I'.mlK H...l«aH '■ I .niJ= I J'» • ■•
Wem UnJ Co l.,ir.l> ll,. :-...n . lUy I', nn -nt'- I >'^>)•
REGINA. SASK.
NIBLOCK 4&: TULL, Limited
STOCK. BOND and GRAIN BROKERS
(Direct Private Wi
Grain Elxchange
Calgary, Alta.
Wr have 4ii; ^<^„a bo..n<:.--r. I"r .»lr in ihc cctiU.l
portion of Albcrl« Ev^tylhing (rom a Grnrf«i
.Siore lo n imsll Cr.n(rri,onfiv.
II you w.nl n bu.inr.. in Ailirrl. >ou w.nl "•
WHYTE A CO., LIMITED
Outin.t. Srot.r.
I 1 1 PnnlnsP* Building - Edmonton. Albrrla
THE MONETARY TIMES
Volume 65.
BANK OF MONTREAL
Notice is hereby given that a Dividend of Three Per Cent,
upon the paid-up Capital Stock of this Institution has been
declared for the current quarter, payable on and after
Wednesday, the First Day of September next, to shareholders
of record "of 31st July, 1920.
By Order of the Board.
FREDERICK WILLIAMS-TAYLOR,
General Manager.
Montreal, 20th July, 1920. 202
THE ROYAL BANK OF CANADA
DIVIDEND No. 132
Notice is hei-eby given that a Dividend of Three per
cent, (being at the rate of twelve per cent, per annum) upon
the paid-up capital stock of this bahk has been declared for
the current quarter, and will be payable at the bank and its
branches on and after Wednesday, the first day of September
next, to shareholders of record at the close of business on
the 14th day of August.
By Order of the Board.
C. E. NEILL,
General Manager.
201
Montreal, Que., July 16th, 1920.
THE CANADIAN BANK OF COMMERCE
DIVIDEND No. 134
Notice is hereby given that a Dividend of Three per cent,
upon the capital stock of this Bank, being at the rate of
twelve per cent, per annum, has been declared for the quarter
ending 31st -August next, and that the same will be payable
at the Bank and its Branches on and after Wednesday,
1st September, 1920, to shareholders of record at the close
of business on the 16th day of .■August, 1920.
By Order of the Board.
JOHN AIRD.
General Manager.
200
Toronto, 19th July, 1920.
CANADIAN PACIFIC RAILWAY ((IMl'ANY
DIVIDEND NOTICE
.^t a meeting of the Board of Directors held to-day the
following dividends were declared: —
On the Common Stock, two and one-half per cent, for
the quaiter ended 30lh June last, being at the rate of seven
per cent, per annum from revenue and three per cent, per
annum from Special Income Account, payable 1st October
next, to Shareholders of record at .'5 p.m. on 31st .\ugust
instant.
On the Preference Stock, two per cent, for the half-year
ended 30th June last, payable 1st October next, to Share-
holders of record at 1 p.m. on 21st .August instant.
The Preference Stock Books will be closed in London
from 1 p.m. on the 21st day of August to 1 p.m. on the 2nd
day of October.
By order of the Board.
CANADIAN. CAR & FOUNDRY COMPANY, LIMITED
Notice is hereby given that a dividend of one and three-
quarters per cent. (1%%) on the Paid-Up Preference Stcck
of the Company, for the quarter ending September 30th,
1920, has been declared payable on the 9th day of October,
1920, to Shareholders of record at the close of business on
the 25th day of September, 1920.
By order of the Board.
A. C. BOURNE,
Secretai7.
Montreal, Aug. 6th, 1920. 205
Dkbenttjres for Sale
TOWN OF KERROBERT
DEBENTURE ISSUE, $4,500.00
Sealed tenders, endorsed, "Tender for Debentures," ad-
dressed to the undersigned, will be received on or before
12 o'clock noon, Tuesday, the 17th day of August, 1920, for
the purchase of a part or the whole of an issue of $4,500.00
debentures.
Ten-year debentures, bearing interest at the rate of
7 per cent.
The highest or any tender not necessarily accepted.
W. WHITTAKER,
203 Secretary-Treasurer.
SCHOOL DISTRICT OF DAUPHIN TOWN
No. 905.
TENDERS FOR DEBENTURES
The undersigned will receive sealed tenders for the pur-
chase of $50,000.00 20 yeai-s, 6V2% debentures of the above
School District.
Tenders will be received up to and including 2nd Septem-
ber, 1920.
This issue is for additional School Accommodation.
No tender necessarily accepted.
R. M. CARDIFF,
Secretary-Treasurer.
Dauphin, Man. 207
ERNEST ALEXANDER.
Montreal, 9th August, 1920.
Secretary.
SELECTION OF A LIFE INSURANCE POLICY
(Continued from page Si)
However, the average young married man will find the'
cost of the endowment policy prohibitive and the ordinary
or whole life plan seems to be the most suitable for this
class of men. This conclusion is borne out by facts. In
past years the 20-paynient life and endowment policies have
been the most popular but recently there has been a great
increase in the amount of insui-ance issued on the whole life
plan. This plan has been misunderstood in the past in some
respects.
Because the assured agrees to pay premiums for life
does not mean that he has to die to win. If in 20 or 25
years' time, the policyholder wishes to stop paying pre-
miums, he may take a paid-up policy for a substantial
amount, or he may withdraw his cash value, which will have
amounted to a very considerable sum. In fact, if his policy
is on the participating plan and he has allowed the dividends
to accumulate, he may be agreeably surprised to find that
these dividends will have amounted to sufficient to pay his
future premiums entirely. It would appear then that as life
insurance becomes more thoroughly understood by the public,
the whole life plan will become increasingly popular with the
young married man.
Augnist 13, 1920 T H E M 0 N E T A R Y T I M E S 87
^iiiiiiiiiiMiuiiiiiiMniiiiiiuiiiMiiMiiiiiiMiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiitiiiiiiiiiiiiiiiiiiiiiiiiiniiniiiiiiMiiiiiiiiiiiiiiiii
I CHARTERED ACCOUlSiTANTS |
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Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
()1>-|CES AT
Edmonton - - Alberta
Toronto • Ont.
CHARLES D. CORBOULD
Cbirlcrcd Accountant (nd Auditor
ONTARIO AND MANITOBA
648 Someraet Block. Winnipeg
Correspondents atToronta London. Enji .
W. A. Henderson & Co.
I ti„rlrird A, .cunlAlit-
S08-509 Electric Riilwa; Cli*mb*r>
Wianipcf, M«a.
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Bank of Toronto Chambers
LONDON ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 ConiederatioD Life Buildini;
Winnipeg
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street Wett - TORONTO
AND AT:
HAMILTON
WINNIPEG
CLEVELAND
Hubert Reade & Company
Cbirlered Accountants
Auditor!, Etc.
407 408 MONTREAL TRUST BUILDING
WINNIPEG
SERVICE
Thorne, Mulholland, Howson & McPherson
3420
CHARTERED ACCOUNTANTS
FACToav Costs aki. Phodictiok
Bank of
Hamilton BIdii.
TORONTO
RONALD, GRIGGS & CO.
RONALD. MLRREIT. GRIGGS & CO.
Winnipef. Toronto. SaikalooD.KIooie Jaw.
Montreal. New York. London. En|.
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Miiin 7014
LUMSDEN BUILDING - - TORONTO, CANADA
CLARKSON, GORDON & DILWORTH
Ctiarlercd Accounlnnta. Frualcca.
Rccevera, Licjuidatora
Merchant. Bank Bld«.. 15 Wellinaton Street Wc.t ToronI
O.T. Cl»rli«
HM^ll'Ir.hcd IHfi4 H J. nilwri
F.CS.TURNER&CO.
Chnrlercd Accountant.
TRUST k LOAN BUILDING, WINNIPEG
V J \\,.ll.cr.C \ H X Mi'-.h t*
RUTHERFORD WILLIAMSON k CO.
CV.ur/fred .it. oMn(..«(t. Tt^'I'l, <-"<
(.!«.. I. (.H"r.
aa Ai.ruii'r Stih.t IU.t Tl'KuNTO
«£ .McO.Li I.. M.'VTKllAL
C.We Adlre.. - WH.Ll-O
Kenfc.cntfJ at ll.lilJ" '^
. W.r.. ..(««.
VVt tHJ T
Chauvin,Allsopp & Company, Limited
FARM LANDS
And other good property. F.DMONTON DISTRICT.
VALUATORS
Ground Floor. McLcod Building ■ Edmonton. AHa.
F. S. RATLIFF & CO.
FARM LANDS-FARM LOANS
STOCK? AND BONDS
Medicine Hot - • • "
Alberta
38
THE MONETARY TIMES
Volume 65.
EXTENT OF LIABILITY ON GUARANTEE TO BANK
Directors (Juarantee Not ExtinRuishc-d so Long as Loan
Lasts — Limiti'd Only by Total Amount (iuaranteed.
Holds Supreme Court of Ontario
IN a recent case of interest to bank officials which was de-
cided by the Supreme Court of Ontario, it was held that
a letter signed by directors of a company to a bank guaran-
teeing the indebtedness of the company to the bank for a
limited amount was not merely a guarantee of a certain
amount of the company's indebtedness, .but a guarantee of
the whole indebtedness, the guarantors to be called upon to
pay the amount provided for in the guarantee, for the guar-
antee only applied to a certain amount of the company's in-
debtedness and payment by the company of that amount
on account of its indebtedness, if still owing more than that
sum, did not discharge the guarantors. It was held also
that a surety does not obtain the rights of a creditor when
payment is made by the principal debtor, and so long as any
indebtedness exists, the surety is liable to make good any
part of it, not exceeding the amount which he has guaranteed.
Company Directors Guaranteed Loan
The case was that of Mather vs. Bank of Ottawa, the
facts being that the bank loaned to the company $250,000—
that is, $100,000 on trade paper and $150,000 secured by a
bond covering all the property of the company; by a pledge
on wheat purchased (the company being a milling concern);
and by a guarantee from the directors of the company. The
bank loaned the amounts mentioned and then further
amounts were advanced. Upon request the company paid
part of its debt to the bank to the extent of $150,000, leav-
ing a balance of some $95,000. The question then arose
whether the directors' g'uarantee was redeemed or still ap-
plied to the balance owing.
The bank's contention was that according to the true
construction of the bond, the directors were liable for the
ultimate balance owing by the company as a direct debt to
the bank, the amount they might be called on to pay being
limited to $1.50,000. The contention of the appellants (the
directors or their estates) was that the guarantee is one
for $150,000, and that sum having been paid by the company
and them, their liability was at an end.
Extended Over Life of Loan
His Lordship, in his decision on the case,, says in part:
"The -surrender of the guarantee is to take place when
'that debt is fully discharged,' that is, 'the direct debt
of the company,' not the $150,000, but the direct debt of the
company, which I take to mean what the company should
owe the respondent apart from its indirect liability on trade
paper: and this view is emphasized by the words which fol-
low, 'only the trade paper will remain,' indicating plainly,
I think, that the guarantee was not to be surrendered untii
the whole of the direct debt of the company, whatever it
might be, should be fully discharged. With reference to the
bond, in my view it is not a guarantee of $150,000 of the
indebtedness of the company, but a guarantee of the whole
of the indebtedness, the amount which the guarantors were
to be called on to pay being limited to $150,000.
"The guarantors are liable for the whole of the direct
indebtedness of the company, but are not to be called on for
more than $150,000 in all.
"However, if it be assumed that the guarantee is applic-
able only to $150,000 of the indebtedness, it by no means fol-
lows that the payment of that .sum by the company on ac-
count of its indebtedness, it still remaining indebted in more
than that sum, discharges the guarantors.
"The importance to a surety of his guarantee being
treated as applicable to a part only of the principal debtor's
indebtedness is that, if he pays that portion, he has in re-
spect of it all the rights of a creditor, and therefore, if the
principal debtor becomes bankrupt, is entitled to the divi-
dends on so much of the indebtedness provable against the
bankrupt's estate, and, if the creditor holds other securities
lor his debt, to the benefit of a proportionate part of them.
"It is not, as I read the cases, payment by the principal
debtor, but payment by the surety which gives him theae
rights; and as I understand the law, so long as any indebted-
ness exists, the surety is liable to make good any part of it,
not exceeding the amount which he has guaranteed."
MAIL SERVICE TO ORIENT
United States mail for the Orient is to be carried by the
Empress steamers of the Canadian Pacific Ocean Services,
it was announced on July 29, if the Dominion Goverimient
approves the contract .iust concluded by the steamship line
and the American postal authorities. A feature of the pro-
posed arrangement is the transportation of American mail
from Seattle to Victoria by airplane, thus cutting off many
hours and possibly a whole day in delivery time between
Seattle and the far east.
GREAT WEST BANK DIRECTORATE
Election of provisional directors of the Great West
Bank on July 19 in Regina resulted in the appointment of
Aid. J. K. Mclnnis as chairman, and ex-Mayor Henry Black
as secretary. The remainder of the pi'ovisional directorate
consists of: Dr. W. A. Thomson, Geo. Speers and Hugh
Armour, of Regina; J. A. Sheppard and A. Del Garno, of
Moose Jaw, and F. S. Wilbur, of Creelman.
Arrangements were made to institute a campaign to
raise the $5,000,000 capital, and application has been made
to the Local Government Board for the necessary authoriza-
tion. As soon as this has been granted a prospectus will
be issued and the work of securing subscribers to the stock
commenced.
MUNICIPAL SECRETARY'S REPORT
W. D. Lightall, secretary-treasurer of the Union of
Canadian Municipalities, referred in his report at the
recent convention in Quebec to the fact that the amount
of legislation relating to municipalities this year had
been very small. "It is very important," he said,
"that the provincial unions, fulfilling their own work, should
not forget or lose connection with the general union. The
constant changes in the personnel of elected municipal men,
constitute a tendency towards disruption. The west and the
east need to be kept together on some workable system, of
which a part should consist in encouraging permanent offi-
cials to take part in the union.
"We have been constantly pressing for years for several
special reforms. One of these is the establishment in every
province of a municipal department of the government. It
has now been established in most of the provinces. We hope
Ontario will be the next. Two years ago it was Quebec.
The splendid work done by the department of municipal
affairs of this province merits our warmest praise. Oscar
Morin and Mr. Marquis have taken great trouble to aid and
back up every movement of municipal improvement. Pos-
sibly, they may solve the difficult problems of housing and
town-planning. The annual reports of this department are
models of their kind and deserve recognition and recommen-
dation. We hope next that the much-needed reform of a
Dominion-wide system of unifonn municipal statistics and
accounting may follow."
In all policies issued since July 1st, the Confederation
Life Association is stating that a rate of interest not ex-
ceeding 7 per cent, on loans may be charged. All loans
made on and after July 1st on policies issued previous to
that date will be made at 7 per cent., unless the policy it-
self calls for a lower rate.
Augrust 13, 1920
THE MONETARY TIMES
=' """" """ iimimiimiiiimiiiiii iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiitii iiiiiiniiiiiiiiii iiiiiiiniiiiiiiiniiiiiiiiimu
I REPRESENTATIVE LEGAL FIRMS \
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BRANDON LETHBRIDGE, Alta. PRINCE ALBERT
J. F. Kilgo
ur. K C.
R H. McQ..ee
,
■.. H Foster
KILGOUR. FOSTER &
McQueen
Barriibert
, Solicitori, Etc.,
BrandoD. Mu.
Solicitors for the Bank of
Royal Bank of Canada. Han
amJ Loan Society. North
Assurance Company-
Mo
niltc
An
ntreal The
n Provident
lerican Life
Conybeare, Church & Davidson
Barriaters, Solicitors, Etc.
Solictors for Hunk of Montreal. The Trust
and Loan Co of Canada. Britl^h Canadian
Trust Co.. &c.. »c
C. F. F. Conybeiire. K.C.. H W. Church MA
K. K. Davidson. LL H
I-ethbridse - Altn.
COLIN E. BAKER. B.A.
Soils. lor fi.r Iho L.I) o( I'r.m. A l>srl
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F.
Adams, K.C.
Bank of M
ontreal
BIdg.
CALGARY
- -
ALTA.
W.P.VV.Lent Alex.B.Mackay, M.A..LL.B.
H. D. Mann. MA.. LL.B.
LENT. MACKAY & MANN
BarrUtern, Mollellors, .Notarlc*. tAe.
305 Grain Bschangc BIdK . Calgary. Alberta
Cubit AddrCMt,' Lento." Western Union Code
Solicitors for The Standard Bank of Canada.
The Northern Trusts Co. Associated Mort-
cage Investor';. Ac
Hon. Sir James Lougheed, K.C, K.C.M'.G.
R. B. Bennett. K.C, J. C Brokovaki, K.C.
A. M, Sinclair. K.C. D, L. Redman. H. E.
Forster, P. D. McAlpine. O. H. E. Might. L.
M. Roberts. ("Cable Address 'Loughnctf)
LOUOHEED. BENNETT itc CO.
Barriatera. Solicitora. Etc.
Clarence Block, 122 Eighth Avenue We,l
CALGARY. ALBERTA, CANADA
J. A. Wrioht, LL.B.
C A. Wr.oht. B.C.L.
WRIGHT & WRIGHT
Borristeri, Solicilon, Sotarin, I- Ic
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. AC. Rutherford. K C.LL U
K. C Jamicson K C. Cha« H. (iran!
S. H. .McCu.iiK Cecil KiithcrJor.l
RUTHERFORD. JAMIESON
& GRANT
Barritteri, SolicilorM, Etc.
SU-18 McLeod Bid)!. Edmonton, Alberta
JOHNSTONE & RITCHIE
Barrisbert, Solicitors, Notiiriei
LETHBRIDGE - Alberta
REGINA
MEDICINE HAT
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LL H
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LONG
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Barri.t
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MEDICINE
HAT
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MOOSE JAW
Grayson, Emerson & McTaggart
Barriatera, Etc.
Sah.itor.s-Uarli ol Montrca:
Canadian Bank of Commcr<:e
Moose Jaw - Saskatchewan
NEW WESTMINSTER
JOHN W. DIXIE
liarrislir tint/ SoliciKir
405 Wettminster Trust Building
NEW WEST.MINSTER. B C.
NEW YORK
NEW YORK
1
WILLIAM BRUCE ELLISON |
Called toOnta
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nrk Bar IIU.'J
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Gordon, Gordon, Keown
and Collins
Barritter,. SolicilorM, <£c.
Aldon Building, REGINA, Sask.
SolicKorsfor Imperial Hank ol Cin.da
SASKATOON
C 1.
DLJ
II.O 1
RIE & WAKELING
llarrlaKTi. aud Kullrlluri.
Soli
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Monar
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Weit Permanent Lxian Co.
ch Life AmuranceCo.
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VANCOUVER
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MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
Or. J. W. .MAHAN J A WKSTMAV
Pretldent M»na«in« Diraclor
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
Three American Companies now Looking for Sites in Canada— Ingersoll Reports
Five New Plants during Present Year— Gurney Foundry Buys Canada Stove
and Foundry Plant in Montreal — Port Moody Shipbuilding Company
NEW industi-ies are still coming to Canada, although the
total invested in this form in 1920 may not be as great
as in the exceptional year 1919. According to a statement
made by Alderman Bridge, of London, Ont., who has just
spent several weeks in the United States, three lai-ge Ameri-
can firms are at present looking for sites here. The head
offices of these concerns are in Michigan, Ohio and Indiana.
One of them would capitalize its Canadian subsidiary at about
$3,000,000, and would employ 1,200 men, while a second would
employ at least 700.
Ingersoll, Ont., has secured fivv new industries during
the present year. One of these, the Ingersoll Machine Co.,
now employs 80 men. Two others, the Ingersoll Knitting
Co. and the Griffin Shoe Co., are just commencing to manu-
facture, and report plenty of orders. The plants for the
Dominion Cone Co. and for the A. I. Root Co. are now being
put into shape. The last-mentioned firm will manufacture
supplies for apiaries.
The Hudson's Bay Co. has let the contract for the com-
pletion of its departmental store in Victoria. When in the
city i-eccntly, Sir Robert Kindersley, govei-nor of the com-
pany, stated that the cost of completing the building would
be about 25 per cent, more than the cost of erecting the
premises, which was in the neighborhood of $450,000, and on
this basis the contract now let would call for an outlay of
from $550,000 to $600,000. Actual construction will be
stai"ted as soon as materials can be assembled. It is expected
that the building will be ready for occupation next summer.
The consti-uetion of a large fireproof warehouse is con-
templated by the Farquhar Company, Noi-th Sydney, to re-
place the one destroyed by fire on July 25th. To cope with
the increased business of late years it is to be much larger
than the wooden one originally used.
A shipbuilding yard has been started at Port Moody,
B.C., by the Port Moody Shipbuilding Co. As soon as the
plant is ready to operate work will commence on a freighter
and a pleasure boat.
The little town of Unity, Sask., in the Battleford dis-
trict, is experiencing a miniature oil boom. The discovery
by a homesteader of oil on his property was followed up by
the Imperial Oil Co., which sent in sevei-al carloads of equip-
ment. By the end of July the company had leased a whole
township and had expended $20,000 on its work. The main
wells are six miles south of the town, where the loading will
be done for the present at least.
Hydro Will Xot Build Steam IManl
At a meeting of the Ontario Hydro-Electric Power Com-
mission on July 30th it was decided not to proceed with the
constiiiction of an auxiliary steam plant. The tenders sub-
mitted showed that, owing to the high cost of materials and
labor, the capital cost of a 50,000 horse-power unit would
exceed $5,500,000, and the extra power to be made available
could not be secui-ed for a year and a half, the guarantees
of deliveries by the various companies not pennitting of the
plant being ready earlier than December, 1921. The high
initial expense and the high cost of operation due to the price
of coal would, it was estimated, add at least $10 per horse-
power to the cost of power in the Niagara district.
The Elgin Milk Products Co., Ltd., is to erect a two-
story concrete factory building in St. Thomas, Ont. The
plant will be used for the manufacture of dehydrated milk,
using the economic process, which is owned and controlled
in Canada by the Appleford Milk Products Co., Ltd., with
headquarters in St. Thomas. Two brands of powdered milk
are to be manufactured, "Mealomilk" and "Cowlacto," the
latter being made from the milk of pure-bred Holsteins. The
plant will have a capacity of approximately 100.000 pounds
of raw milk daily, or 20,000 pounds of the manufactured
product.
Dominion Steel's Cement Plant
The Dominion Iron and Steel Co. has purchased outright
the plants of the Sydney Cement Co. and the Sydney Pressed
Brick Co., and as soon as the necessary preparations about
the plants have been completed the manufacture of cement
is to be started at once. The purchase of the plant was an-
nounced on July 29th by an official of the Dominion Steel Co.,
who likewise gave out that the plants when put in operation
will give employment to about fifty men. The plants pur-
chased by the company were operated during the early years
of the war by a company composed of local interests, chief
among whom was H. S. Burchell, formerly of Sydney and
now of Windsor, N.S. This company operated the plants for
several years, but was compelled to close down through con-
ditions created by the war. It is possible that production of
cement will be under way early in the fall. The daily output
when formerly in operation was in the vicinity of two hun-
dred ban-els a day. When the proposed program of extension
planned for the local steel plant has been undertaken, it is
estimated that a quantity of cement nearly equal to the
plant's daily output will be required. Any excess of cement
which will be produced will be used to supply the local
mai-ket. In the past years the amount of cement used by the
company in construction and repair work has varied from
5,000 to 25,000 ban-els a year.
The Dominion Iron and Steel Company has received its
first foreign order for plates rolled in its new mill from ship-
building firms in Australia and New Zealand. Shipment will
be made shortly.
Paper Mill at Kapuskasing
Preliminary work has already been commenced in con-
nection with the projected pulp and paner mill at Kapus-
kasing, Ont., and the final details are being ari-anged between
the Ontario govei-nment and the Kimberley and Clark Com-
pany, of Neenah, Wis., for the enterprise to be started on
the scene of the unsuccessful attempt of the province during
the war to establish a soldier colony. Timber limits and suit-
able water power have already been secured, and buildings
used in connection with the soldier colony are being pur-
chased through an arbitration commission, to be torn down
and the material used in the erection of a plant. The Kim-
berley and Clark Company will finance the undertaking with-
out making a stock issue. A plant may also be erected at
Niagara Falls, Ont.
Gurney Foundry Purchase
The Gurney Foundry Company, Ltd., of Toronto, have
purchased the plant, including all of the machinei-y, equip-
ment and patterns, of the Canada Stove and Foundry Com-
pany, Ltd., at St. Laurent, a suburb of Montreal. The grow-
ing business of the company has for some time taxed the
capacity of the stove plant at Toronto. It was impossible
to enlarge this plant further as no vacant land was available,
and these conditions made it necessary to consider another
location. The Canada Stove and Foundrj' Company have done
a very large stove business in the province of Quebec, and
this business will be added to the turnover of the Gurney
Foundry Company. The Montreal plant also has a modem,
well-equipped plant for producing white and colored %'itreous
enamel on iron and steel. The demand for the white enamel
sanitary finish has been beyond question the greatest de-
velopment in the art of producing stoves over the last decade,
and the Gurney Foundrj' Company ^vill now have unrivalled
Au^st 13, 1920
THE MONETARY TIMES
The Imperial
Guarantee and Accident
Insurance Company
of Canada
Head Office, 46 KJNG ST. WEST, TORONTO. ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident ln-,uraiicr, Siickri«s!>
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - . - S-200,000.00
Authorized Capital - . SI. 000,000.00
Subscribed Capital - . Sl.00i1.00O. 00
Government Deposits Sill. 000.00
I O ^ pj |~| ^I GUARANTEE AND
*-* ^-^ *^ ■-' ^-^ ^^ ACCIDENT COY.. Limited
Head Office for Ca
alnluy.K
Cunlrii.i Pcr»on»l AcciJfOl. F.dchi
c. IntcrnjI Kcvrnuc. Sickne»l. Court liund>.
rcjim% *nJ Automobili;.
AND FIRE INSURANCE
THE DOMINION OF CANADA
GUARANTEE & ACCIDENT INS. CO.
Accident Insurance Sickncit Iniuranct Plxtr 01»>i Inaurance
Burllary Insurance Automobile Insurance Ouarant^e Bond!
The Oldcut and Slronfcst Canadian Accident Insurance Companr
T*r*aia Moalrral Wlaalprg I alcarj taareaTrr
CANADIAN STRONG PROGRESSIVE
FIRE INSURANCE
AT TARIFF RATES
Automobile— 1 920--Sea^on
Policies to cover ANY or ALL motorinjt risks
ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
82-88 King Street East, Toronto
Palatine Insurance Company
LIMITED
OF LO.\DO\. E^CLAM)
Capital Fully Paid - $1,000,000
Fire Prenniums, 1919 3,957,650
Total Funds - 6,826,795
In addition to the above there 's the (urllicr Guarantee of the Commercial
Union Assurance Company. Limited, whoic funds exceed SiO9.0OU,(XK)
Head Office : — Canadian Branch
COMMERCIAL UNION BUILDING, MONTREAI
W. S. JoPLim;. Manauer
roronfo Office— 60 KING STREET WEST
JONKS & Proctor Bros.. LlwrTEt*. A«cnt>.
GENERAL
ACCIDENT F I R E AND LIFE
ASSURANCE CORPORATION, LIMITED, OF PERTH, SCOTLAND
PBLEO HOWLAND THUS. H HALL
Canadian Adviaory Director Manadcr (or Canada
Toronto Adents. E L. .McLBAN. LI.MITHO
50-50 Mutual Hail Insurance Society
Head Office DIDSBURY, Albrrt.^
OWNED AN;D OPERATjED BY THi: 1 ARMERS
I'AKKEK K Kl-KD. Secy.Mir.
THE
V/lClOR'
Insurance Company, Limited
Subscribed Capital £50U.U0U
Paid-up - - i:250,000
LLOVl)-S HANK. I.IMITKO
It; LONDON JOINT CITY « MIOLAND HANK, LIMITBD
FOR REINSURANCES
So Ovaox >'i;t«*b. K II H
Sir KloioaLO H HRai.r. 0 C B Si. Cm««i •• n»vlf..
Bi.wARl. riaxtl... P.C A. . IIORI « MwiRi
CxaRLta H. T»«»«i. AfonafllW D«etl»r
Manofrr: H«n»» L SnaTHraa 5'firl«n.' V Crcii |l»iip»
Head Officr .
LOMBARD HOUSE, GEORGE YARD
LOMBARD STREET. LONDON. EC. 3
THE MONETARY TIMES
Volume 6S.
facilities for supplying this finish with Gurney Oxford stoves.
This enamel plant also does an important business in sani-
tary table tops, enamel signs, etc. In addition to the plant,
an important tract of land has been secured around the plant
to take care of further expansions. The head office of the
company will remain at Toronto.
Sale of Kenora Power IMant
It is expected at Kenora, Ont., that the ratepayers will
approve the agreement to sell the municipal power plant to
the Backus interests. At a public meeting on August 3rd
Mayor George A Toole stated that during the past six years
the plant had lost $50,000, whereas, had the town been pur-
chasing power for $20 per horse-power, as per agreement
with Backus, for a like period, the profit for the lighting
plant would have been $30,000. As there will be another
power plant in Kenora, the town services will also be better
protected, it was asserted. P. Heenan, M.P.P. for Kenora,
told of the efforts to have the English River limit added to
those of the Liike of the Woods, and the danger that if put
up for tender they might bo secured by speculators and held
up for a number of ycai-s, thereby being detrimental to the
town, a loss to the province, and also delay the time when
western newspapers would be able to secure an adequate
supply of print paper.
R. K. Neil, part owner of the Premier Mine, which is
situated up the Salmon River, in British Columbia, about
two and one-half miles on the Canadian side of the Alaskan
boundary, stated in Vancouver on July 31st that, in con-
junction with the operation of the claim on a more extended
scale than formerly, the company will introduce the cyanide
process of refining their ore, and are building a cyanide mill
of a 100 tons per day capacity, the first of its kind to be
erected on this coast. In this process the ore is reduced into
gold and silver bars at the mine itself, instead of being
shipped in its crude state to the smelter at Tacoma. The
plant, which is being built at an enormous cost, is expected
to be operating by the first of next year.
Ratepayers of the town of Midland, Ont., have carried
a by-law granting tax exemption for twinty years to a new
flour mill to be erected by A. E. Copeland and a company
to be formed. The construction of the mill and equipment
will cost a quarter of a million dollars, snd it will have an
initial capacity of 1,1.50 barrels, and be so constructed that
the daily output can be increased to 2,500 barrels wnth no
expense. An acre of land adjoining the Midland elevator
has been secured from the G.T.R., and the building of a seven
stories concrete or brick structure will be commenced without
delay. The exemption privileges do not refer to the land or
the school rates. The company is negotiating for 400 hoi-se-
power from the local hydro commission, and the result of
the vote is giving the greatest satisfaction.
NEAV INCORPOR.VTIONS
Oak Tire and Rubber Co.. Ltd.. $3.000.000— Iniversal Pro-
duels. Ltd.. $3.000.000— Pri.gressive (iold Minis. Ltd.
$2,000.000— Brant-Kenora Mining Co., Ltd., $2,000,000
The following is a list of companies recently incorporated
under Dominion and provincial laws, with the head office and
the authorized capital: —
Nanaimo. B.C.— Morton Bros., Ltd., $10,000.
Watrous. Sask.— Clarke Bros., Ltd., $100,000.
Claresholm. Alta.— Forest Mills, Ltd., $25,000.
Choslcy. Ont.— Chesley Garage. Ltd., $.50,000.
Ri-gina. Sask.— VVhiteford Bros.. Ltd., $25,000.
Wilcox. Sask.— Tubman Grain Co., Ltd., $30,000.
Welland. Ont.— Welland Wine Co., Ltd., $40,000.
Saskatoon. Sask.— Thode and Nelson, Ltd., $300,000.
Forest. Ont.— Neil McCahill and Co., Ltd., $50,000.
Cobourg. Ont.— Provincial Canners, Ltd., $100,000.
Swahvfll. .\lta. — Swalwell Curling Association, $3,000.
Palmerston. Ont.— Palm Creamery Co., Ltd., $60,000.
New Liskeard. Ont.— Smith and Donaldson, Ltd., $40,000.
St. Catharines, Ont. — J. T. Festing and Sons, Ltd., $50,000
London. Ont. — London Business College, Ltd., $75,000.
Hatton, Sask. — H^tton Export Liquor Co., Ltd., $10,000.
Fort Qu'Appelle, Sask. — Fort Qu'Appelle Country Club,
$(;,000.
.Moose Jaw, Sask. — Moose Jaw Auto Supply Co., Ltd.,
$20,000.
Orono, Ont. — Orono Farmers Co-operative Co., Ltd.,
$10,000.
Victoria. B.C. — Canadian Industrial Petroleum Co., Ltd.,
$100,000.
Kaslo, B.C. — Slocan Consolidated Silver Mines, Ltd.,
$300,000.
Ottawa. Ont. — Dier's Railway Telegraph School, Ltd.,.
$25,000.
Emo. Ont. — Rainy River Co-operative Seed Growers.
Ltd., $5,000.
Nicola. B.C.— Nicola Town Properties, Ltd., $100,000.
Westlock. Alta. — Westlock Livestock and Produce Co.,
Ltd., $20,000.
New Toronto, Ont. — Phoenix Leather Manufacturing Co.,
Ltd., $40,000.
Bridgeburg. Ont. — Bridgeburg Co-operative Society,
Ltd., $25,000.
Brantford, Ont.— A.C. Spark Plug, Ltd., $10,000; Sudda-
by-s, Ltd., $40,000.
Lethbridge, Alta. — Balderson Ranching Co.. Ltd., $20,000;
Morrill Ranching Co., Ltd., $20,000.
Fort William, Ont. — Kaministiquia Lumber Co., Ltd.,
$200.(1(10: Beaver Nickel Co., Ltd., $300,000.
Windsor. Ont. — Border Cities Co-operative Society, Ltd.^
§25,000; Kyte Oil and Gas Co., Ltd., $99,000.
Calgary, Alta. — Dunham and Tod, Ltd., $50,000; National
Furniture Exchange, Ltd., $20,000; Greenfield's -Auction Mart,
Ltd., $20,000; Non Bursting Auto Radiator Co., Ltd., $50,000.
Edmonton, Alta. — Northern Threshing Machines, LtQ.,
$10,000; Battle River Ranch, Ltd., $20,000; Wa.shington Fi-
nance Corporation, Ltd., $40,000; Jones and Cross, Ltd.,
$25,000.
namilton. Ont.— Stanley Mills Co., Ltd., $1,500,000; AI-
derson Brothers (of Hamilton), Ltd., $50,000; International
Investments, Ltd., $300,000; Thrift Stores, Ltd., $40,000; Uni-
versal Products, Ltd., $3,000,000; Burlington Steel Co., Ltd.,
$20,000.
Vancouver, B.C.— Utility Oil and Gas Co., Ltd., $300,-
000; Sun Club, Ltd., $5,000; Mill Creek Lumber Co., Ltd.,
$100,000; G. E. Slater, Ltd., $10,000; Vancouver Island Coal
Development Co., Ltd., $10,000; Ourland Silver Bar Mines,
Ltd., $500,000; Canadian Die and Novelty Mfg. Co., Ltd.,
$300,000; Periodicals, Ltd., $150,000; Liberator Mining Co.,
Ltd., $1,000,000; Newport Cafe, Ltd., $10,000; British Col-
umbia Quarries, Ltd., $50,000; George Holden, Ltd., $10,000.
Toronto, Ont.— Progressive Gold Mines, Ltd., $2,000,000;
Manning Bros, and Co., Ltd., $100,000; Allen's Brantford
Theatre, Ltd., $100,000; Pasznicki Bros., Ltd., $100,000; Blue-
bird Transit Co., Ltd., $40,000; Walker's Clothes Shops, Ltd.,
$250,000; Regal Fruit Preservers, Ltd., $40,000; Superior Oil
Co., Ltd.. $100,000; Dominion Accessories, Ltd., $40,000;
Ontario Paint and Varnish Co., Ltd., $40,000; European
Steamship Agencies (Toronto), Ltd., $40,000; Ontario Pro-
duction Co., Ltd., $600,000; Bailey-Drumniond Motor Co.,
Ltd., $100,000; Pineland Groves, Ltd., $100,000; Quinte Gen-
eral Mfg. Co., Ltd., $150,000; Penly-Colialt Exploration Co.,
Ltd., $50,000; Alderson Brothers Motor Sales (of Toronto),
Ltd., $50,000; Practical Shoe Repair Co., Ltd., $40,000; Cana-
dian Opinion Publishing Co., Ltd., $40,000; Unitee} Securities
Corp., Ltd., $40,000; Brant-Keora Mining Co., Ltd., $2,000.-
000; Oak Tire and Rubber Co., Ltd., $3,000,000; Cockbum
and Bachrack, Ltd., $200,000.
The following are the shipments of ore, in pounds, from
Cobalt Station for the week ended August Oth: —
McKinley Darragh Mine. 84.950; La Rose Mine, 82,450;
Nipissing Mine, 346,710; total, ,514,110. The total since Jan-
uary 1st is 14,220,277 pounds, or 7,110.1 tons.
August 13, 1920
THE M 0 N E T A R ^. T I M E S
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS ... 24,600,000.00
UBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
Ihcsc aic wf.ndrtful dov» for litr iii.urancr .nlrdnen.
particularly North American Life mm. Our rrprorala-
lives are placing unprecedented amounia of new butineta.
All 1919 records are beint; smashed.
'■ Solid as (he Continent " pulicirs, coupled with splen-
did dividends and the ureat enthusiasm oi all our repre-
sentatives tell you why.
Get in line (or success in underwriting. A \orlK
American Life contract is your opening. Write us for fall
particulars.
A.iJr^^, E. J. lUrvrs. Sup-,^,„„ >,f \^:rn,,c.
North American Life Assurance Company
■Sol, ID .\.S TIIK C(i.\TINI-.NT
HOME OFFICE TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. IV1AN.
Assurances, New and Revived - - - 91,21 1, -147. 00
Premiums on same .... 4.1.890 00
Assurances in Force ... - 3,458,9:19.00
Total Premium Income - - - 109.586.<J3
Policy Fteserves - - - 211.497 00
Admi'tted Assets - 296,430 62
Average Policy - - - 2. 237. .SO
Collected in cash per 81.000 insurance- in force 31 7.S
For particulars of a good agency apply to
ADAM REID, Managing Director Winnipeg.
1870 OUR GOLDEN JL'BILEE — — I020
Co-Operative - Scientific - Successful
"Hiiw did the Mutual LifcolCanada lucceed inaltaining il% prcxnt
imprcitriubic positton in Ihc tinunci;)) world''" It may tic replied thsi the
promutcrs of the Company did not oritanixe it as a commercial undir.
tukinH. but th:it it miKht -.crvc as a public iMrncfuk-tDr nivini: "the l.4ri{eftt
amount of scnuinc life inMir;ince (or the least poiiMiie (niilay ' l'n»cU
tilh devLliontiithcuctessof the enter prise lupplml l he pl.iwi .>f ,..irilal
AlIhouKh strictly co-operative or mulu.il. yel Ir i • , , < n
built up un a fcienlitic bams a> an old line > r
company. The Mutual Lite of Canada is .1 1
on scientiHc line<-that is the secret of its iv.i »:
essentially a companyof r<jlicyhnderi».c«>ndu, .
interests of policyholders, naturally became .1 ►'. n ■ u-.i ■■
BE A IVIUTUALISTI
The Mutual Life Assurance Co. of Canada
SUCCESS IN LIFE INSURANCE
] Salesmanship depends so much upon the sirvict- rendered thai we have
adopted as our slogan: "tirenler Service lo I'olleyholilrrn." «e have a few
desirable positions for good salesmen who will study their clients' best interests.
I and co-operate with the Company, livery assistance. Hnanci.il .ind otherw ise.
given earnest, hard workers, lu m.il<.: t:o.,J. Ai'ply wah rtfcrcnc. s. .tatm*; >n
pcrience. etc.to.-*. .•*. WEAVKK, Knxlerii Huprrlnlinilriil, ni llrn<l «llle.-
THE CONTINENTAL LIFE INSURANCE CO.
Head Office TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
THE LONDON LIFE INSURANCE CO.
Head Office .. LONDON, CANAUA
Profit Resulli in this CompaDy 70, better ibsn Eitimalci.
POLICIES "OOOn AS OOLI)
Low-Priced Life Insurance
Some people do not yet know that from a Canadian
Company — with all its funds invested in Canada and
making for the counttys development — they may oKlain
Life Inrurance at lower cost than in any otlier Company
Many, on the other hand, DO knnw-.n.l thnl i. ihr
rnn.on lo, Ihr rrmarknblr wr„wth of
THE GREAT-WEST LIFE ASSURANCE COMPANY
DhlM 1 ■
HEAD OFFICE - WINNIPtt;
A»k for ptraonal ratma — Miating agm.
The Western Empire
Life Assurance Company
Head Oiiice : 701 Somerset Building, Winnipeg, Man.
SASKATOON
HUAV
CALGARV
BD.MONTO.N
\ ANCOIA'KR
The CommerciaiMiWe
Assurtince Company of Cwiao*
. r»bat/ V/Bcaa, T.P.K. Bl<fy.,Efhn9nt»n
Merchants Casualty Co.
Head Office: Winnipeg, Man.
The most proit
supsrvfvion of the
Hmbraclng Ih
:nmi.any in Canada Clrrratnf uniJrr the
the l>.. minion and frovmcial Insurants Ospartmsnis
(ntir* Uominion uf Canada
SA LESMEN NOTE I
and hsalth policy i* Ihn mokt lil>«r«l protsct-on ( flcrf d
.1 Si iici per month and op,
Coxrt over z.yMd'IToenl diwoo
I'sys for Llls It ll'••h;cdl^^ r'^ «t- 'r^trr
lllni>i.
Fifty p»r ct^t eitra it tnr ■
»••)•. for Accii'iMal l>»•l^
«e..r, fee. for m, nor Kn-nc-
llen,Hrlsr» and children o| i , . ,
Good Optningt for Uom AganI*
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Toronto Appoints Transportation Commission— London Taxes Coming in Earlier— Montreal
has Assets Totalling .$133,645,970. and Capital Surplus of S2.848,384 — Hamilton will
require .$4, 400,1)40 for Gas Plant ~ Calgary Tax Payments up to Last Year's Figure
Russell, Man. — The town will offer 30 parcels of land at
a tax sale to be held on September 7.
Grey R.M., Man. — The municipality will offer 35 parcels
of land at a tax sale to be held at Elm Creek on August 31.
Regina. Sask. — By a decision of the city council on
August 3, Regina street care fares were advanced on August
4 to 10 cents cash, two tickets for 15 cents, four for 25 cents
and 17 for .$1. A motion to establish a workingman's ticket
was defeated.
Millbrook, Ont. — The town council has struck the rate
for this year at 38 mills on the dollar. The levy for schools
has been increased from 11 to 15 mills. The rate last year
was 37 mills, of which amount 4V2 mills went for gifts for
returned soldiers.
Minnedosa, Man. — On August 14, a by-law will be sub-
mitted to the ratepayers to give approval for the construc-
tion by the Manitoba Power Commission of an electric plant
at that point. The by-law explains that the power plant is
to have a capacity of 150 kilowatts and that the charges for
the first year are to be $21,600.
Victoria, B.C. — The city council on July 30 passed a
by-law to enforce a license fee for overhead signs, gasoline
and oil pumps extending on or over the city sidewalks. This
"overhead fixtures" by-law, as first drafted, included porches,
awnings, verandahs, water and air pumps, but these were
left out before it was passed.
Richmond Municipality, B.C. — Two lots of bonds were
sold on July 26 to a total of $168,2.30, as follows: $33,230
in five-year bonds at 5'/i per cent., bought by Pemberton
and Son at 95.78 and 1 per cent, commission. The second
lot was $135,000 in 20-year bonds, also at oVi per cent., which
went at 84.29 to Pemberton and Son and the Royal Financial
Corporation.
New Toronto, Ont.— The town tax rate for 1920 will be
35 mills on the dollar. Last year's rate was 42 mills, and
it was only after radical paring that the council managed
to keep the rate down this year. Had the council consented
to issue debentures for $67,000 for school purposes, as the
school board requested, the rate would have been six mills
higher. The council decided that a new school was unneces-
sary, and only passed the account for current expenses,
$16,300.
Hamilton, Ont. — In order to establish and put in opera-
tion the plant contemplated by the special gas committee,
approximately $5,450,940 will be required. This includes the
cost of the new plant to be erected at an estimated cost of
$2,600,000, and the system to be purchased from the United
Gas and Fuel Co. As there are bonds for more than a mil-
lion dollars that can be assumed by the city, only $4,400,940
will be required in debentures. There is a general feeling
among members of the city council that the report of the gas
committee recommending the purchase of the company's
plant should be adopted.
Edmonton, Alta. — In a discussion of the city's banking
system on August 2 and 3, City Treasurer Bamhouse stated
that the separate accounts were not being kept intact, as
funds from one were sometimes applied to relieve another.
The merging of the accounts, he said in reply to a question
from City Commissioner Hadlow, was feasible but not de-
sirable. Comptroller Mitchell expressed himself strongly in
favor of having separate capital and current accounts. .\s
a result of keeping accounts for different departments, the
city's tax on overdrafts, payable to the federal government,
may be $8,000 or $10,000 a year.
South Vancouver, B.C. — The city has completed the pur-
chase of £5,600 of debentures of the municipality issued nine
years ago and due in 1961 on a 7% per cent, basis. Further
negotiations are being made for an additional amount on the
same basis. When complete the purchase will total £10,000,
on which the municipality will obtain a reduction as against
the face value of over §21,000. This reduction, representmg
profit, will help to make up the losses on sinking fund loaned
on mortgage on the municipality some years ago, which loss
it is expected will aggregate $40,000. The commission hopes
making a similar deal next year, when the loss on mortgages
alluded to will be wiped out.
Three Rivers, Que. — The city solicitor has secured per-
mission from the courts to examine the following corpora-
tions and individuals as regards the part taken by them in
the administration of a trust fund issued for debentures
amounting to $200,000 and endorsed by the city of Three
Rivers in favor of the Page Wire Fence Co. of Canada, Ltd.,
now in liquidation: The Montreal Trust Co., the Sun Trust
Co., Ltd., the Credit Canadien, Incor.; William C. Heron,
business agent; Joseph Grant, business agent; C. E. Arpin,
employed by the Sun Trust Co., Ltd., and the Credit Cana-
dien, Incor.; and W. S. Green, employed by the Montreal
Trust Co., Ltd. The endorsement was given under authority
of a by-law passed January 3, 1918, for the purpose of build-
ing a plant of the Page Wire Fence Co. at Three Rivers, and
it is alleged that the plant was not built.
London, Ont. — The city is collecting its taxes two months
earlier this year than formerly and may advance the date
another month to May 15 next year. City Treasurer Bell
approves of the aldermanic move towards framing a city
budget in the fall in order that the tax rate may be struck
earlier. A few more years, Mr. Bell prophesied, following
the method already established, and the city would start the
year with sufficient capital for yearly expenditures, making
bank loans unnecessary. The treasurer, however, is not in
favor of a drastic cutting of six months from the city tax
collection date. "It would probably work too great a hard-
ship on the majority of citizens," he stated. "At the present
rate of reduction in the tax due date, London in five years
will be collecting its taxes early jn January. A two months'
reduction in one year might later be possible, bringing the
new order into effect a year or two earlier." Mr. Bell thought
that the city council should early advertise in each year the
probable date of tax collection. This would give citizens an
early warning in order that they might "put aside" a fund
for tax payment.
The city is arranging to borrow an additional $400,000
under the federal housing act. This will make a total of
$800,000, of which $500,000 is required for buildings already
under construction.
Point Grey R.M., B.C.— Councillor Capt. Stewart inti-
mated on July 20 at the meeting of the Point Grey council
that he intended testing the validity of the municipal act
in regard to the penalty imposing 15 per cent, on taxes that
are not paid by the stipulated date, explaining that the
charges for interest and sinking fund on loans under by-
law were provided for in those by-laws. The question arose
upon the reading of a letter from the inspector of munici-
palities, who wrote stating that he would refuse to pass
any by-laws in future that did not provide for future councils
having the power of taxing improvements as well as land.
It was pointed out by Comptroller Floyd that if this were
agreed to it should be made plain to the ratepayers that they
were in danger of having their improvements ta.xed, which
was not the case at the present time in the municipality.
August 13, 1920
THE MONETARY TIMES
45
We Offer the
8% Cumulative Guaranteed Preference Stock of
King Edward Construction
Company, Limited
(Kms Ka.varJ H,,:ci. Toronl J
Guarantei:d by —
King Edward Hoiel Company. Limited and
United Hotels Company of America
Price $100 per Share
CarrytnR a bonus of 'M) tn Conimon Stock
C'^mplete Hrospc..tu-> wil! he sent upon rctjucst
T. S. G. PEPLER & CO.
t.\yE.<T.\tE-\T BROKERS
ROYAL BANK BUILDING. TORONTO
hOUSSERVVbODXG>MRV^
CANADIAN CON'EHNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 kING ST. EAST
Banker
With five to ten years' experience,
possessed of energy and initiative (not now
employed by a Bank), can obtain good
position with excellent prospects. Give
references and full particulars with appli-
cation.
■ Box 327, Monetary Times, Toronto
CITY OF WINNIPEG
Twenty-Year 6'. Coupon Uond»
Due 2nd AuKust. 144(1
Price 97.17 and Interest. Yielding 6.25':'t.
Harris, Forbes & Company
INCORPORATED
C. i'. K. Building. 21 Sl John Street
TORONTO. MO.NTREAL.
Announcing
The Establishment of a
DEPARTMENT OF
BUILDING MANAGEMENT
RENTALS
AND
CITY REAL ESTATE
Osier, Hammond and Nanton
WINNIPEG
E.lablijbe.) 1883 Canada
Banktr. . Tht Dominion Bank
The Imvrial Bank of Canada
,
c.
H.
BURGESS &
Covernrnenl and
Municipal Bonds
CO.
14
Klnu
Street East - - Toronto
1
Province of Ontario
Ten Year 6% Bonds
DLt JLM Iv "i INTIMlsr M \l I M \KI "1
Price 100 and Interest
MKI.DINC; 6%
J. F. STEWART & CO.
106 BAY STREET - - TORONTO
THE MONETARY TIMES
Volume 65.
Toronto, Ont.— P. W. Ellis, George Wright and Fred
Miller were appointed by the city council on August 5 as a
transportation committee to conduct the business of the city,
taking over the Toronto Street Railway at the expiry of the
lompany's franchise on August 21, 1921. The commission is
to act without salary, this being requested by the trio when
approached to allow their names to be put forward in this
connection. Messrs. Ellis and Wright are members of To-
ronto's Hydro-Electric Commission and -Mr. Miller is a con-
tractor. The proposed appointment of a housing commis-
sion has been referred back to the board of control by the
council. It was thought the housing scheme had not been
properly matured. The scheme contemplated the erection of
150 dwellings of fairly cheap construction and a loan of
$1,000 to every bona fide builder of a small home in connec-
tion with the scheme.
George H. Ross, city finance commissioner, pointed out
at a meeting of the board of control on August 3, that ex-
penditures since March last not included in the estimates
submitted to council amounted to $318,447, almost one-half
mill on the estimates. This he described as "almost alarm-
ing." To take advantage of the discount on sterling ex-
change Commissioner Ross was instructed to purchase ster-
ling bonds payable in New York, and thus effect a consider-
able saving to the city.
Calgary, Alia.— City taxes to the amount of $2,023,000
were paid from July 1 up to July 2ri, or about the same as
during the first period last year. In September, 1919, at the
end of the 10 per cent, discount period, which occurred in
that month, there was approximately $1,950,000 of taxes
paid in, or about $75,000 less than during the same com-
parative period this year. None of the taxes paid in this
year have been segregated yet, that is, apportioned to ar-
rears of taxes, local improvement ta.xes, and the current
taxes for 1920. The arrears paid are not expected to be a
particularly large sum, and there is no way of estimating the
total of local improvement taxes paid yet. On the whole,
therefore, the indications are that people are paying their
taxes in just about the same degree as in 1919, with the ex-
ception that they are being paid earlier this year, owing to
the new arrangements of discount dates beginning with 10
per cent, up to July 20, and diminishing by 2 per cent, a
month to the end of the year. Consequently, it is expected
that there will be a considerable rush to pay taxes again just
preceding August 20, to take advantage of the 8 per cent,
discount date.
A report on the city waterworks system, just presented
to the city council by Commissioner A. G. Graves, points
out that the flat rate is unjust in many cases, as some use
more water than they pay for, and others use less. For the
year 1919 the total charges against revenue amounted to
$410,982; and as this was the total cost of supplying the
3,650 million gallons, it might be stated that the average
cost per 1,000 gallons would be 11. 2(5 cents. The revenue
for metered water in 1919 was $100,049, or 10.95 cents per
1,000 gallons; and the revenue from flat rate water during
1919 was $186,823, or (i.83 cents per 1,000 gallons. From the
foregoing, said Mr. Graves, it would appear that there was
a slight loss on metered water and a considerable loss on
flat rate water, which, of course, is more than offset by the
item of $110,000 for the frontage tax, and $30,000 hydrant
rental, a detailed statement of which was presented to the
commissioners. On December 31, 1919, said Mr. Graves, the
waterworks department had 13,411 services in the city, of
which 692 were metered, leaving a total of 12,719 flat rates.
In addition they had 69 standpipes in use. The ratings on
ehtse flat rate services are as follows: 69 public standpipes
at $6 per year; 3,011 services under $12 per year; 6,511 at
$12 and under $15 per year; 2,100 at $15 and under $18 per
year; 685 at $18 and under $24 per year; 167 at $24 and
under $30 per year; 143 at $30 and under $48 per year; and
102 at $48 and over.
Montreal, Que. — City Comptroller Pelletier has handed
to the administrative commission his annual statement for
1919. It shows the city assets to amount to $133,645,970,
divided as follows: —
Municipal real estate S 43,408,683
Tunnels and bridges 1,408,742
Improvements, expenses for which rolls on spe-
cial tax have not been prepared 2,516,929
Special real estate contributions to be collected
from owners for improvements made 4,749,090
Store account 279,264
-Amounts to be collected 1,864,248
Expense account representing an equal amount
of the consolidated debt 64,014,811
Securities and moneys held in trust for the sink-
ing fund of the city 3,864,752
Securities held in trust for the sinking fund of
the Catholic School Commission 359,558
Securities held in trust for the Protestant
School's sinking fund 847,617
.Accounts of administration 1917-1919 covered
by collectable ordinary taxes 6,612,563
Deficit in the revenue of 1916-1917 covered by
special collectable tax of 20 years 400,000
Cash account 319,728
$133,645,970
Liabilities.
Consolidated debt S 82,165,370
Additional debt 33.795,123
Rolling stock capital 4,000,000
Floating debt 5,225,706
Sinking fund's reserve (city) 4,132,843
Sinking fund's reserve (school commission) . . . 1,353,484
Rents due, conduits, etc 125,058
Surplus on capital account ^ . . . . 2,848,384
Total $133,645,970
Montreal property owners owe the civic administration
the sum of $1,000,000 in arrears of taxes covering the past
two years, according to a statement issued on .August 8, by
Patrick Collins, city treasurer. A list of the delinquents has
been sent to Quebec by Mr. Collins for publication in the
official gazette. Those in arrears had still a chance to pay
their taxes with but $10 additional for costs, if they do so
before .August 10. Since Tuesday, the costs are $20, after
publication of the lists in the official gazette $30, and after
publication in the Montreal press $50. But if ta.\es are left
unpaid after October 15, the affected properties will be sold
by the sheriff. The list of those in arrears with their pro-
perty taxes includes 3,500 names, as compared with 17,391
names on May 1, so that it will be seen many owners have
paid up during the past three months.
.A by-law providing for the acceptance of $1,000,000 of
the federal housing loan came before the city council Oil
August 9.
BRITISH COLUMBIA FIRE UNDERWRITERS
At a meeting of the British Columbia Fire Underwriters'
.Association in Vancouver on .August 3, the following officers
were elected: President, R. S. Day, of Victoria; vice-presi-
dent, T. W. Greer, Vancouver; secretary, W. L. Foster; dis-
trict manager for Vancouver Island, D. A. S. McGregor.
The interests of Vancouver Island will be cared for by A. E.
Planta, Xanaimo, and James Forman, Victoria. The Vic-
toria office will carry on the business for Vancouver Island
in practically the same manner as heretofore.
The National Appraisal Co., Royal Bank Building, Tor-
onto, has moved into new and more commodious offices in.
the Burnside Building, 9-11 Wellington Street East.
August 13, 1920
THE MONETARY TIMES
Are You Getting
6%?
If your savinjrs are not earning nearly
6% while surrounded by undoubted se-
curity, they are not fully employed.
Victory Loan Bonds not only afford the
highest grade of security, but. in the
case of the 1934 maturity, yield an in-
terest return of almost G'/, .
Furthermore, Canadian Victorj' Bonds
are the most convenient form of invest-
ment, for, should there arise a necessity
for immediate cash, they will be found
the most readily saleable of all securities.
Wood, Gundy & Company
Montreal
Saskatoon
Canadian Pacific Railway Building
Toronto
New York
London, Eng.
liiii/t on
Rock or Sand f
1 he dcvcltipnicnt of the C^anadian
pulp and paper industr> has been
so rapid, and the corresponding
rise in the \alues o( pulp and paper
securities so lari<e, thai many in-
\estors are pu/./led b) it.
And rifjhtiv so, becaukc the movement it
vritliiiiit purallel, untl unless one Lnows the
fucts, the reusun< fur it are mysli(yin|i.
To £ive you these facts vre huvc published •
searching rinancial analysis of the Canadian
pulp und paper industry in Ihr current num-
ber ul Inveslmeiit llrmi. It is of ahsorhint
interest and will be of ijrcat service to
investors.
\\ rite for a copy before the edition is exhausted.
"■<■ .xfiin a hcwy ,all fo, il.
Royal Securities
^ CORPORATION
I. I M I T E D
TORONTO
WINNIPEG
MONTREAL
HALIFAX ST. JOHN.N.H.
NHW YORK LONDON. En|.
J
W. L. .McKinno
n
lAan H. I'etti-s
We rccommen
J the pur
chusc of
VICTORY
LOAN
at the folio
wirR pru
es:-
MATUKITY PKICE
1922 99 and
1927 . 994 and
1937 . 101 and
1923 99 and
1933 99i and
1924 98 and
1934 .... 96 and
Interest yieldin
K .i.94 ..
,=; 58"..
5.41";.
5.82",.
5.55%
6.01";,
5 9n,
Orders r
nay be telephoned c
r iclecrj
phed at ol
r expense.
w.
McKinnon
L. McKINNON &
BuildinK
CO.
TORONTO
Government, Municipal
AND
Corporation Bonds
R. A. Oaly *6 Co.
BANK OF TORONTO BUILDI.NO
TORONTO
$600,000
City of
Winnipeg, Man.
6%
20-YEAR COUPON BONDS
Dated 2nd AuBU.I 1920 Doe 2nd Aogo.l. WO
Denominations $l,00(i
Price: 97.17 and Interest
Yielding 6 >
Ordcto may br telrphonrH or Irleirraphrd nl our
W. A. MACKENZIE & CO.
42 King Sl We.l
TORONTO ONTARIO
I I
THE MONETARY TIMES
Volume 65.
Government and Municipal Bond Market
Market Conditions Continue Quiet— Nova Scotia Sells Half Million Issue— Particu-
lars of British Columbia Sale— Sherbrooke Rejects all Tenders— No Tenders for
Moncton Bonds but Issue is Sold Privately— A Few New Issues Coming on Market
THE bond market continues quiet. The total sales during
July, as shown elsewhere in this issue, were more than
in June, owing to the unusually large amount of provincial
bonds sold. In August there has already been sold $500,000
of the province of Nova Scotia, but it is not expected that
many issues of either provinces or municipalities will be
placed on the market. Bidding on issues recently offered
has not been good, and direct to the public sales are meet-
ing with only occasional success.
Coming Offerings
The following is
a list of
issues
oifered for
sale, par-
ticulars of which are given in
this or preceding
issues of
The Monetary Times:—
Tenders
Borrower.
Amount.
Rate',
,c. Maturity.
close.
Goose Lake, C.S.D.,
Man
S 50,000
6
20-inst.
Aug. 14
Bridgewater, N.S. . .
75,000
G
30-years
Aug. 14
Bridgewater, N.S. . .
10,000
5
42-years
Aug. 14
Toronto Twp., Ont. .
74,675
20-inst.
Aug. 14
Kerrobert, Sask. . . .
4,500
7
10-years
Aug. 17
Ontario County ....
50,000
6
20-inst.
Aug. 27
Dauphin S.D., Man. .
50,000
<!'/2
20-years
Sept. 2
Bridgewater, N.S. — Tenders are invited up to 5 p.m.,
August 14th, for $85,000 of bonds, as follows: — Forty de-
bentures of $500 each, and fifty-five debentures of $1,000
each, dated August 1st, 1920, maturing in 80 years, with
interest at 6 per cent., payable semi-annually at the town
clerk's office, Bridgewater; ten debentures of $1,000 each,
dated June 30th, 1919, payable in 42 years, with interest at
5 per cent., payable at the town clerk's office. These de-
bentures are issued under authority of the legislature of
Nova Scotia.
Sherbrooke City. — The city rejected all tenders on its
issue of $392,500 5 per cent. 5-year bonds, tenders on which
were invited up to July 26th.
Dauphin School District, Man. — Tenders are being in-
\-ited up to September 2 for $50,000 eVa per cent, debentures,
maturing in 20 years. (See official notice el.sewhere in thi.>^
i.ssue.)
Kerrobert, Sask. — Attention is called to the fact that
the interest rate on the issue of $4,500 of debentures, ad-
vertised in The Monetary Times last week, is 7 per cent., not
ij per cent.
Cranbrook, B.C. — The electors of the city will shortly
be asked to vote on a by-law authorizing the pui'chase by
the city of the plant of the Cranbrook Electric Light Co
for approximately $58,000.
Waterloo, Ont. — At a meeting of the Waterloo Park
Board, held on .\ugust 4th. it was derided to issue debentures
to the amount of $3,500 to cover overdraft, caused by the
excess cost of nen' buildings over the original estimate.
Delhi, Ont. — Ratepayers on August 2nd turned down by
■\ small majority a by-law to authorize the purchase and im-
provement of the Dickeson block for a town hall and
municipal ofTioe. and the issue of debentures thei'efor to the
amount of $7,000.
Toronto Township, Ont. — Tenders will be received up
to 2 p.m., .August 14th, for $74,675.85 debentures, issued for
Toronto-Hamilton higjiway purposes. The bonds are payable
in twenty equal annual instalments. J. K. Morley, acting
clerk, Cooksville, Ont.
Ontario County, Ont. — Tenders are invited up to noon
on -August 27 for two .separate issues of debentures, each
for $25,000, with interest at 6 per cent., repayable in 20
annual instalments of principal and interest. E. A. McKay,
county treasurer, Whitby, Ont.
Prince Albert, Sask. — Ratepayers of the city on August
12th voted on the proposal to issue $65,700 of bonds for ad-
ditions and alterations to the city waterworks. The de-
bentures would bear interest at 6 per cent., principal and in-
terest payable in 15 equal annual instalments of $6,764.60
each.
Windsor, Ont. — To authorize a debenture issue of $150,-
000 for improvements to waterworks, a by-law will be cub-
mitted to Windsor electors on Tuesday, September 4th. The
election is necessary because the brokers who purchased- the
bonds decided not to place them on the market until the
ratepayei-s had approved the expenditure.
British Columbia. — The following certificates were is-
sued by the municipal department of the province of British
Columbia on the dates indicated: —
July 22, 1920.— City of Prince George— "The Water-
works Debentures By-law, 1919," No. 88, $3,000 payable in
fifteen years, with interest at 6 per cent., payable half-
yearly.
July 23, 1920.— The Corporation of the city of
Courtenay — "The Courtenay School Building Authorization
and Debenture By-law, 1920," No. 55, $30,000, payable in
twenty years, with interest at 6 per cent., payable half-
yearly.
July 30, 1920.— The Corporation of the city of Trail—
"Corporation of the City of Trail Local Improvement Cement
Sidewalk Construction Debenture By-law," No. 249, $9,000,
payable in ten years, with interest at 7 per cent., payable
half-yearly.
July 31, 1920.— City of Armstrong— "The City of Arm-
strong Memorial Hospital Loan By-law, 1920," No. 75, $5,-
000, payable August 1st, 1940, with interest at 6 per cent.,
payable half-yearly.
-August 2, 1920. — Corporation of Point Grey — "Point
Grey School Loan By-law, No. 19, 1920," $135,000, payable
-August 1st, 1940, with interest at 5^i per cent., payable
half-yearly.
Bond Sales
Saskatoon, .Sask. — The city has sold an issue of $100,-
000 20-year SVi per cent, bonds to W. A. MacKenzie and
Co., of Toronto, at 92.61 and accrued interest, in Saskatoon.
Moncton, N.B. — No tenders were received for the city's
issue of $393,500 6 per cent, bonds, bids for which were in-
vited recently. It was decided, however, to accept an offer
received from J. M. Robinson and Sons, St. John, N.B.
$190,000 of the bonds are serial bonds, and the remaining
$203,500 mature in 20 years.
East Sandwich Twp., Ont.— .A bond issue of $42,094.84
has been sold by the township, to Wood, Gundy and Co., of
Toronto. The bonds are 6 per cent., fifteen instalments, and
the price paid was 94.33. A. E. Ames and Co. bid 94.09. Last
month East Sandwich rejected all bids for its bonds, but at
that time it could have secured a better price, as A. E. Ames
and Co. bid 95.83.
East Kildonan. Man. — $150,000 6 per cent. 30-year serial
bonds of the town have been sold to Strang and Snowden-
of Winnipeg, at 89.50 and interest. -About the end of June
the firm secured an option on the bonds at 90.25, but before
the option had expired they made a definite offer of 89.50.
In view of the unsettled state of the market, the town de-
cided to accept the offer.
(Covtiniud 07! page 5S)
August 13, 1920
THE MONETARY 11 M E
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7i%
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B. HALIFAX, N.S.
Government
Guaranteed to
n^^,^^ YIELD
Bonds
65°^
2/0
MATURI\C 1921-1940.
THE BOND .4ND DEBENTURE CORPORATION
OF CANADA, LIMITED
UNION TRUST BUILDING WINNIPEG
Vie Offer
SCHOOL BONDS
Province of Alberta
Maluring 10 onJ IS Y,
h>u<tU
7 (0 7 ', »
U'f Specially, Recommend lhe,r HonJ, a. SmmJ Inxe.tmcn!,
W. Ross Alger & Company
iN\ r>TMENT H.WkEKS
Bnnk of Toronto Bids.
EDMONTON
Royal Bank Chambr
CALGARY
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOAN>
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG. Canada
McmL.r,. or Winruurw Kr.i i..,»tr tict,«ni|r. \V ,nn.p<-ri Slock t^lch.nft
A. J. Pattison Jr. & Co.
Membtrs
Toronto Stock Exchaniie Montreal Stock Bxchangc
Specialists Unlisted Securities '
lOS BAY STREET TORONTO
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
r*r.mcncs-sASKATOON AND CALGARY.
Canadian ManuRers
iMVRRTHeNT CORPORATION OP CANADA. LTD.
London Office: 4 Great Winchcitcr St.. B-t.
Manitoba Finance Corporation Ltd.
InyetlmenI B-ohrrt, Financial Agenit, Etc.
HcaJ <>: c<.
410-11 Electric RIy. Cbambert - WioDipeg. M n
Ph.r.c Cian , .1!wm
Stocht and Bonds bouuHl and aoM on commitiioD
Mortgage Loanu on Improved K«rm Lands
InBurancc Effected in all iu branchci
Farm Lands for Sair in Wrvtrrn Canada
Fiscal Agent for Manitoba, Albmrta Flour Mill*, Limited
Northern Securities, Limited
tSfJULiSHKlJ r«'n
GENERAL FINANCIAL BROKER
Confidential Adtliet on Briliih Colombia /nir.lmeni,
Iccr.bcr uf W.rtBjgt and Trust Companies Alwcialion of Briti»h Columhia
52S Pender Street W. VANCOUVER. B.C.
X
Vancouver District Property
1 ipril L.I.IC AwnilP. ami Mal.a.rr.
l'r..i,c.U U. uthi »n<J S..IH \«U,r.l Kr„lf.) .m.j
Krpi.tlrd .'n L r.itr .p..n.)rii< •■ ir,Mlr,J
WAGHORN GWYNN Co.. Ltd.
P. M. LIDDELL & COMPANY
Inveslmenl Bankers. Fiscal Agciils
Insurance Brokers
826-7-S ROGERS BUILDING, VANCOUVER, B.C.
MACAULAY & NICOLLS
L\5LI<A.\CE Uf ALL (./..J.s^/i.>
tsr^l/t-S U1\^tCEL>
746 HaslinKs street - VANCOUVER, B.C.
,; H MA'. V u*V '■ MCOl.LS S..tjr, l-H.C
50
THE MONETARY TIMES
Volume 65.
CORPORATION SECTRITIES MARKET
Canadian Stocks Break Sharply and Continue Downward
Movement — Kaministiqua I'ulp and Paper Co.
Bonds Ottered
FOLLOWIXG several weeks of buoyancy, especially in the
paper stocks, securities on the Canadian exchanges took
a sudden plunge downward on August .5th. This flight and
collapse was an independent movement, as the New York
market has continued beai'ish for some time past. Although
there was a recovery on Friday, yet the general tendency
during the week ended August 11 has continued downward.
The following are some of the more substantial losses: Can.
Forgings, 5 points; Dominion Textile, Ty, Ontario Steel, 4;
Price Bros., 10; Spanish River S'/a; Wabasso, 5. Howard
Smith and Riordon were both strong, however, Riordon gain-
ing 5 points and Howard Smith 1. The latter stock held up
well throughout the weak period, and it is rumoured that
there will be a further readjustment of the capitalization.
The bank stocks shared to some extent in the declines of the
industrial market. Bonds registered practically no advances,
with a few small recessions.
Kaministiqua Bond Oflering
An issue of $.500,000 l)onds of the Kaministiqua Pulp
and Paper Co. is being offered by A. E. Osier and Co., .and
Graham, Sanson and Co., Toronto. This company will erect
a plant at Port Arthur, Ont., to manufacture ground wood-
pulp. Power has already been contracted for, and the essen-
tia! machinery and other equipment has been purchased. It
is expected that the plant will be in operation in about four
months' time. The bonds are first mortgage bonds, with in-
terest at 7 per cent., and are offered at par, with a bonus of
40 per cent, of common stock. The directorate of the com-
pany includes U. M. Waite (president), A. E. Osier, John
Ball, C. D. Howe, F. R. Graham and Hon. T. W. McGarry.
A good supply of timber is available, and the plant will be
served by the Canadian National and the Canadian Pacific
Railways. It is estimated, allowing a low price for news-
print, that earnings will, in the first year, amount to 40 per
cent, on the bonded indebtedness.
CANADIAN SECURITIES IN UNITED STATES
Canadian securities held in the United States as of July
1 of this year represented the enormous total of $524,248,.313,
according to a compilation published in the current issue of
the Federal Reserve "Bulletin." Of this total, provincial and
municipal issues accounted for $130,425,313, government is-
sues $152,500,000, roalroad $121,328,500, public utility $80,-
095,000 and industrial $39,899,500. Included in the Canadian
list in this compilation is a loan of $2,500,000 to the govern-
ment of Newfoundland. The borrowings of Canada in the
United States are tabulated as follows:—
Issue. Interest.
(Gold bonds)
5-yr. 5 %
10-yr. 5 %
15-yr. 5 %
10-yr. 51/2%
(Gold notes)
2-vr. 514 ^f
losued.
Apr. 1, 1916
Apr. 1, 1916
Apr. 1, 1916
Aug. 1, 1919
Aug. 1, 1919
Amount.
$25,000,000
25,000,000
25,000,000
60,000,000
15,000,000
Among the provinces of Canada, Ontario is shown as
the heaviest debtor of Uncle Sam, with a total borrowing of
$.'?.0,800,000 on the part of the provincial government. The
province of Alberta is next with $11,150,000. Other pro-
vinces stand as follows: Manitoba, $7,848,000; Quebec, 57,500,-
000; Briti.?h Columbia, $5,630,000; Saskatchewan, $3,720,000;
New Brunswick, $3,170,000; and Nova Scotia, $2,000,000.
In the list of municipal borrowings the compilation places
Toronto at the head of Canadian cities, with loans in the
United States of $17,119,633, while the Toronto Harbor Com-
mission is shown as having $5,000,000 of its bonds outstand-
ing in the United States. Montreal has borrowed $7,000,000
and Greater Winnipeg Water District another $7,000,000.
Other Canadian cities figure as follows: Calgary, $2,918,806;
Vancouver, $2,810,000; Ottawa, $2,588,859; Quebec. $1,255,-
000; London, $1,246,056; Edmonton, $1,348,750; and Halifax,
$1,025,170.
EXPORT OF COAL FROM CANADA
Capitalization Changes
Increases in the capital of companies incorporated under
Dominion charter have been authorized as follows: —
Former
capital Increased
stock. to
Saskatchewan Courier Publishing Co., Ltd. $30,000 $,50,000
Increases in the capital of companies incorporated under
Ontario charter have been authorized as follows: —
I'"ormer capital Increased
stock. to
Russell Gear and Machine Co., Ltd. $ 100,000 $2,000,000
Premier Langmuir Mines, Ltd 2,000,000 2,800,000
St. Mary's Milling Co., Ltd 50,000 250,000
Christie, Henderson and Co., Ltd. . . 100,000 300,000
Since the embargo on coal went into effect on August
1, Hon. F. B. Carvell, chairman of the Board of Railway
Commissioners, has been bombarded with requests for per-
mits to export. As soon as the announcement was made
of the embargo, shippers and mine-owners got hold of ever)'
type of craft that was available to load with coal. A num-
ber of these did not get away in time and the permits to ex-
port are asked on the ground that these are exceptional casses.
Only in "very exceptional" cases is Chairman Carvell grant-
ing the permits asked for.
The first general meeting of the Canadian Society of
Cost Accountants will be held in Toronto on September 15,
at 8 p.m.
UNLISTED SECURITIES
, Jr., & Co., Toronto
Aita. Pac. Grain... com.
pref.
Ames HolJcn Tire. .com.
....7's
Belding.Pnul com
prof.
Black Lake com.
HranJram.Hcnd....prcf.
British Amcr. Assurance
Burns. P., 1st 6's
Can. Felt com.
Can. Furniture pref.
Can. Machinery com.
" " ... .pref.
Can. Oil com.
Can. Westinghouse
Can. Woollens pref
com.
Cockshutt Plow 7% pref.
Col'ftwood Shipb'dn.. b's
Cuban Can. SuRar.com.
" " " pref.
Dnvies. William 6'8
l>om.Foun.&St.. • com
8% pref.
Dom. I ron& Steel S's 1936
Bom. Power com.
pref-
DunlopTire....7% .pref.
6's.
Goodyear Tire, pref.x.d.
(lunns pref.
Harris Abattoir 6's
Home Bank
Imperial Oil
Kipawa Paper com.
5>) KingBdwardHotel.com.
1 (.Mo
call.. .pref.
^Life
Manuf.actu
Massey.Harris
Mattagami Pulp — com.
.Mexican Nor. Power.. S's
Murr.-K. 7','„ pref. X.D.
National Life
North'Amer. Pulp
North SlarOil com.
" — pref.
Ont. Pulp 6's
IPage Hersey pref.
jRiordon. com.lnewsik.)
' " pref.
Robert Sim pson.6% pref.
Sterling Bank
Sterling Coal com.
South Can. Power. ..com.
Toronto Power. S's ( i9W>
Trust* Guar
United Cigar Stores com.
Western Assurance
West. Can. Pulp com.
Whalen Pulp com.
Whalcn P'p Trust Cert..
Bid |_A^
78
«0
109
117
li
19.10
27
30.75
Augrust 13, 1920
THE M 0 N E T A R \- T 1 M E S
Who'll provide the monev to keep you ?
Will you then be compelled to keep on
working the same as some old men
you know? Or will you be able to
enioy an old age o'f comfort and
independence ?
A moderate annual saving now— when you
can spare the money- invested in an Im-
perial Endowment Policy will secure you a
regular income in your old ape : or it will
provide for your family should death call
vou early.
THE IMPERIAL LIFE
Assurance Company of Canada
HEAD OFFICE ■ TORONTO
__iii
^^1
DEALERS IN
Government, Municipal
and Corporation Bonds
Correspondtnct Soliciltd
A. H. Martens & Company
iMembcri Toronto Stock Bzchaniiei
ROYAL BANK BUILDING, TORONTO
61 Broadway,
New York. N.Y.
Harris Trust BIdg. ,
Chicago, III.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
UF iXIIK (UK (i)L\MI \M) AIAU I
Willoughby Sumner Limited
tUt.l.liil.rd I'tlK)'
S\r,n\,r,. .., ,(„ W mn.pr, C,.,n tjrK.n,-
Piivate ttirc to H'innipec. Toronto. Monlrtal. Chicato
and ,Ve» Vor*
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense- any offerinKS oUo any Britith
Columbia Gov
-nt .^7,d Murunr.ll
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C.
Victoria, B.C.
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERIT MANAGERS
KERN AGENCIES
LIMITKO
li-i.AiK WiBiv to WINMl-K'i. CHICAC.O niH'i-. ic
MONTKI'JIt. AND NEW YORK
THE M 0 N E T A R V TIMES
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
tlOKTKEAL— Mrrk KiMlcil All;;. Illl
'Kiiiures supplied by Burnett & Co.)
.StorkH
Abitibi P fiP ■
Ames Holdcn. .
Asbestos C.orp .
Atlantic Sugar .
pfd.
■Pfil.
• pfd.
Bell Telephone
B.C. Fishing
Brazilian T.L.& Power
Bromplon Pulp «; 1'..
CanaJa Cement
...pfd.
Canadian Cottons
.pfd.
Can. Converters
Canadian Car
•■ ....pfd.
Carriage Factories
Can. Forgings
Canadian Gen. Elec...
Can. Steamship
•• ■• pfd.
" " Vot. Trust
Con. Mining & Smcl....
Detroit United
Dominion Canncrs
Dominion Bridge
Gla
ales
Open
H8.S0
75
Ml
89
■a
fiO
■iSB
65
:«i(i
80
\r,
90
Kl.SII
141
•.iHli
1G5
IHII
103
10
47
B070
93962
3465
High Low Close
Don
.pfd.
Dom. Iron pfd.
Dom. Steel Corp
..pfd.
Dominion Textile
..pfd.
Hillcresl
Howard Smith
• ....pfd.
Illinois Traction, pfd.
Lake of the Woods. .
..pfd
Laurentide
Macdonald Co
Mont. Cots. Ltd
pld.l
Montreal Power
Montreal Tram
LoanS.Mtg.
Deb
Mont. Telegraph
National Breweries....!
Ogilvie Flour .Mills...
Ont. Steel Prod ;
Penmans , ■
pfd.
Price Bros. Co. Ltd....
Prov. Paper
Quebec Ry. L. H.&P..
Riordan Pulp* P
pfd.
St. Lawrence Fl. Mills.
"..pfd.
Shawinigan W.&P .;.
Sherwin-Williams. pfd.
Spanish River
" Div.Vou.
•• pfd.
Steel Co. of Canada...
' ■■ •• .pfd.
Toronto Ry. Co
Tookc Bros .
TucUett
Wabasso
Wayagamacic P. & P..
Woods Mfg. Co
■ pfd.
Windsor Hotel
24i I 24)
10600: 67i
■n 116
18280' 64)
SSI 230
40 340
25 100
4070 29
321 190
151
150 ;
lOOJ^
ioa.i
70
68
210
208
112*
100
■29*
28
80
80
"sir
79J
130
U«
163
165
69
116
67*
116
ICniikii
184 182]
327 m
RoikN
Bell Telephone Co.
Can. Felt
Can. Cottons
Cedars Rapids Mfg... .
Can. Con
City Mont. Dcc.6's, 1922
" .May6-s. 1923
•' Sept.6's. 1923
Dom. Can.W. Loan. 1925
19;il
1937
Victory Bonds. 1922 .. .
1927 ...
I9S7....
1923...
2101 2ICi
1S3J
92 I 93J
91 I 9li
95) I 96{
nUtiTKE.Al-Coniintied.
I Sales Open H
Dom Cottons 1000 974
Dom. Iron 3000 81
Dom. Textile A.
B..
Lake of Woods
.Montreal Power
Montreal Street Ry..
Ogilvie Flour
Penmans Ltd
Price Bros
Quebec Ry. L.H.&P.
Riordon Pulp & Papei
Scotia
Sherwin-Williams... i
Spanish River !
Steel Co. of Canada. . . i
\Vaha>so Cotton !
Wayagamack P. & P. . . i 2100
V\'indsor Hotel
3800
1000
2500
99i
TOItONTO-Wcek Ended Aug. 1 1 111.
SaleSiOpen High Low I Close
Atlantic Sugar.
Ames Holden. . .
Bell Telephone . . . .
Brazilian Tr.action.
Burt. F. N
Can. Car &F. .
Can. Gen. Elei
Canada Stean
l)(»me
Dul. Sup
Locomotive
.\lackay Companii
pfd.
• pfd'.
N.S.Car
Maple Leaf
Nipissing
P.c. Burt...
Prov. Paper. .
.pfd.
'pfd.
.pfd.
Pen
Riordon
Rogers
pfd.
Quebec R.L.H. & P
Sawyer-.Massey . . .pfd.
Spanish River
..pfd.
Salesbrook
pfd.
Shredded Wheat
Smelters
Steel Company
...pfd.
Steel Corp.
Toronto Ry
Twin City com.
Dominion..
Hamilton..
Imperial ..
.Merchants
Molsons .
Montreal . .
Nova Scoti:
Royal
Standard . .
Toronto
Union
hann anil TriiHl
Can. Perm
Can Land
Col. Inv
Ham. Prov
Tor. Mortgage
Tor. Gc'. Trust . .
23J
57J
! 89
213
100
94
101
4(1
99
99
2,55
68*
68*
245
78
78
45
137
137
85
41^
.50
26
m
83
11
89
89
25
136
136
20(!
2.40
2 40
230
11.00
11.51
I33i
244
222! I53J
1! 140 140
iss! 68 i;s
23 145 145
14 134 134
18 200
185 ! 185
l.53i
200 200 200
Kiinil!.
Can. Bread
Cannfrs ,
Penmans
Rio. Jan. T.. L.«P I 5000
Steel Co. of Canada
TOKONTO— CoiiMHued
War Loans
Sales Open High 1 Low Close
Dom. Can. W.Loan. 1925, 1600
19311 19800
1937 35600
Victory Loan 1922 ....'
1923 ....;
1927 ....'
1933 ....;
1937
94j 94i i 94
9U 91S ! 91
9Bi 961 ! 96i
WISISJIPEC-Weekcnileil Ane. 7lli.
Victory Loan 1922..
■■ 1923..
'■ " 1927..
'■ 1937..
■' 1924..
" 1933..
■■ 1934.
War Loan 1937 ....
5%
Home Inv
Nor Trusts
Western Grocers, .pfd.
Standard Trusts
Sales Open High i Low 1 Close
113150' 99
84000 1 99
800 99*
500 101
lUl 101 tOI
75
XEW lOKK— Week en<liMl
Slovks Sales! Open
Band!«
Dom. of Can. 5% 1921 1 18000
5i% 19211 21000I
5% 1926 14000'
5*% 1929 63000!
5% 1931 12(H)fl
New York Curb —
British Empire
7% pfd.,,,.
Canada Copper. . : IK70«!
■tug.
High
121i
LO.N'DON. Eng.— Week ended Jul)' ttth.
Vov't. A Man.
Alberta 4*% 1943
4% Deb
B.C. 3% 1941
Canada....3% 1938....
3J% 1909-34
'■ .... 3»% 193050
•• .... 4% 1940-60.
Calgary 4*"o debs
5% deb
Nfld.3*%;943
34 "n bonds — r. .
■• 34% ,1950
Quebec 4% bds
4 1934
3% 1937
Montreal 4j% 1951-53..
3*% cons
5% deb
4 1948-50. . . .
4% cons. deb.
Nova Scotia 4i% cons.
3j%1954..
Toronto 3*% 1929
4j"o 1948
Vancouver 4*% debs.
4% deb
4% cons. .
Winnipeg 4°x, 1940
4% cons
4% deb
Itallnafs
C.Nor.Ont.3»°udebl%l
3j% 1938..;
Can. Nor. P. 4% deb.l950|
•' 4»%deb. I9.t0'
Can. Nor. 4% deb I
• 4">,, deb. 1930.1
Can. Pac [
Can. Pac 4% deb.
G.T.P. Br. 4% 1939
G.T.P.S%1962
G.T.P. 4% 1955
G.T. P 4%deb.|
Gr. Trunk. .4% guar.
Gr. TrunkS% 1st. pfd..
Gr Trunk 5<,\> 2nd pfd.. I
Cr. Trunk 4% 3rd pfd..
Gr. Trunk Western 5%j
On I. * Quebec 5% deb.,
■ nil.. Fin., EIr.
Bank of .Montreal
Can. Bk. of Commerce.
Can. Carfi'\,
Can. Cement 7% pfd...
6% bds...
C.W. Lumber S% debs.
Sales Open High | Low Close
' 63J
I "
74
6'4
78i
73i ! 73j
70» ' 70}
69i
70i 701
73i 72j
54i I S3J
1.57}
151 {
"L
64*
79*
m
76
5^
,58
.S8
.w
61
61
61
.58
.57}
,57
59*
.58
IW
43
421
42
^t
32
.12
I3i
13
72
7li
71
80)
■H
m
43
43
43
I02{ I 103* 10
August 13, 1920
THE MONETARY TIMES
(iOVERNME.NT AM) MlMni'AL BU.NU MARKET
(Continued froui paye J,S)
Carleton County, Ont. — Debentures bearing ('i per cent.,
to the amount of §150,000, were sold by the finance com-
ttee of Carleton county council on August 11 to R. C.
it thews and Co., Toronto, at a figure of 92.t>t;i). The bonds
e in two blocks of ¥100,000 of 40-instalments, and $50,-
■1 of 20-instalments. Wood, Gundy and Co.. Toronto, ten-
ed a slightly higher figure for an option on the issue,
vi-ral other requests for options were also received.
.\ova Scotia. — Bonds of the province to the amount of
10,000, being the remainder of an issue brought out in
■ril, 1918, were sold on .■\ugust 6th to the National City
at 101.287 and interest. They are 6 per cent, gold bonds,
able in New York, and are due in April, 1928. They are
iig offered for sale in New Y'ork at a price to yield 7%
. cent. The tenders were as follows: —
National City Company 101.287
Harris, Forbes and Co 99.98
Dominion Securities Corporation 99.70
A. E. Ames and Co., and J. M. Robinson
and Son 99.59
Eastern Securities Co 99.39
Wood, Gundy and Co 98.86-
United Financial Corporation 99.41
British Columbia. — As announced in these columns last
• k, the province on August 4th sold $3,000,000 5-year 6
cent, bonds at 98.91. The purchasers were a syndicate
sisting of the Seattle National Bank, Blyth, Witter &
. the B.N..-V. Bond Corporation, Royal Financial Corpora-
M and Gillespie, Hart and Todd. The latter three houses
Vancouver ones, and the others .\merican. The bonds
II be sold in the United States, and will have to be met
maturity in New York funds.
Only the one tender was received by British Columbia
the whole $3,000,000. Tenders on apportion of the offering
10 received as follows: —
Canada Bond Corporation, 87.11 in New York funds on
•II 10.000.
A syndicate composed of Carstens and Earl, Price and
. Ferris and Hardgrove of Portland and Seattle, 99 on
700,000.
W. A. MacKenzie and Co., ^milius Jarvis and Co., and
le First National Bank, 99.95 for $1,700,000. This bid
^is made on the basis that the province would arrange for
lelf to realize 13 per cent, on New York funds, which the
• incial treasurer thought possible. The tcniier was really
New York funds, and would probably work out at less
•1 99.95 if the actual exchange had to he procured.
The Dominion Securities Corporation, A. E. Ames ami
and Halsey, Stuart and Co., of Chicago, bid 98.59 on
1110,000.
CANADIAN FAILURES
BRITISH EMPIRE TRLST COMPANY
In spite of substantial deproiation in investments, the
British Empire Trust Company was still able to pay the
usual dividends of 5 and 7 per cent, on the preferred and
deferred stock for the year 1919. At the annual meetinK,
held on July 20th in London, Eng., the managing director,
J. Davidson, also pointed out that there is u margin of f IK,-
000 of assets over the capital stock. "The only sound policy
is to provide fully for depreciation in values," he said. This,
of course, has the effect of reducing the amounts available
for dividends, but, on the other haml, it maintains the com-
pany's credit. Mr. Daviilson also referre<l to the demand for
capital for existing and for new industrial enterprises. While
the company is taking an active part in such new financing,
he said, it is necessary to pursue a policy of caution owing
to the inflated conditions now prevailing.
CANADIAN NA'IIONAI. KXHimriON
"Work and Prosper" is the motto adopted for tlu' r.i^U
Canadian National Exhibition, Toronto, which will be held
.\ugust 28th to September Uth, and the enlii-e machinery
of the organization has been turned to the task of making
the forty-second annual event a striking exemplification ol
the appropriateness of the slogan. Unwilling to rest on the
standard of previous expositions, the directors and manage-
ment have utilized every resource of this Canadian institu-
tion in the effort to make the position of the enterprise more
noteworthy. Early indications point to new records in every
department, perhaps al.so in matter of attendance, which
reached the magnificent total of 1,201,000 last year, a figure
never attained even by the monster World's Fairs at Paris,
London, Chicago, San Francisco, etc., in the same number
of consecutive days.
RAii.Ko All i:ak.m.n(;s
The following are the approximate gross earnings of
Canada's tran.scontinental iiiilways for the month of July: —
Canadian Pacific Railway
1920. 1919. Inc. or doc.
July 7 $3,773,000 $3,120,000 -(- I (•.53,000
July 14 3,854.000 3,325,000 + 529,000
July 21 3.648,000 3,202,000 -f 446.000
July 31 .".,600.000 4,.591.000 -f 1.009,000
$1(;.875.000 $14.238,0(Mt -I- |2,637,0OO
. Canadian National Railways
July 7 $1,932,961 $1,713,404 -(- $ 219,567
July 14 2,000.993 1,6,59.083 + 341.910
July 21 2.222,500 1,746.289 + 476.21 J
July 31 2.847.220 2,777.987 4 69.233
$9,003,674 $7,896,763 + $1.106,'.M1
liie miirihur of failures in the Dominion, as reported by
G. Dun and Co., during the past few weeks, in provinces,
compared with those of previous weeks, and corrcspond-
; week of last year, are as follows: —
Grand Trunk Railway
Date.
A«- 6 •
J^ 30 .
y 23 .
y 15 .
Jy 9 .
d
M
03
ii
a.
s
n
'A
Z
WM
H
3
fl
II
21
16
1
0
1
II
18
2
0
0
II
10
12
1
0
0
0
13
8
0
2
2
0
20
8
W. Ross Alger and Co., of Calgary, have moved into
office premises in the Royal Bank Chambers.
July 7
July 14
July 21
July 31
$2.00S.354
2,i:is,945
2;{87.118
3.837.56it
$I.4.^S.;l46
1 ,6H8.Kf>0
l,7!".t.020
:!.(ir.8.:i.i.'.
$10,;i71,9H6 $8,Ml.%.l.'il
-^- $ :.4;mon
•i t.'.n.oii:.
4 7i;'.»,2"M
-t- !^2,•'l.■>6,^.■l.'■l
Th» arrangement recently mn'!*" l'<twof n lh< t.<.n.nv>IHoi»
of Wcta.«kiwin, Alia., and the town, for the fun.iink- "f i"
tercsl and principal payment!' due in 1919. hn^i been op
proved by the government of the piovince. The McLeo<1.
AlU., bondholder.-' committee, han ii.i.ucd notice to the cfTcct
that outstanding coupon.M due by the town will be paid upon
I resentation at the places indicated on the coupon*.
S4
THE MONETARY TIMES
Volume 65.
Corporation Finance
Canadian Woollens' First Annual Report Shows Assets Totalling $5,581,208—
Net Income was $120,227— Atlantic Su^ar Report for Year Ended April
.'50, 1919 — Exchange was Important Factor in Sugar Cost in Canada
Toronto Street Kailway Co. — There is a prcspect of
further litigation between the city and the Toronto Street
Kailway Co., owing to the fact that the latter has not paid
over the percentage of its earnings for the months of June
iind July, amounting to approximately $237,;525, in accord-
ance with the terms of the agreement governing the fran-
chise. On August 9, Mr. Heming, the manager, had an in-
terview with Finance Commissioner Ros.'s, when the whole
financial situation of the company was under review. Mi\
Ross is making a special report to the board of control on
the matter. It is well known that the civic officials and con-
trollers are averse to granting the company any special
favors.
Atlantic Sugar Refineries, Ltd. — The report for the year
ended April 30, 1920, submitted at the fifth annual meeting,
shows the following items ia the profit and loss account,
compared with the preceding year: —
1919. 1920.
Balance brought forward $ 323,439 $ (598,771
Profit for the year 986,343 1,-594,888
Profit on investments 9,009
Profits from other sources 1,199,012
Less bond interest
Less bank interest and exchange
Less depreciation
Less reserve
Less betterments
§ 986,343 $ 2,802,910
85,700 81,450
186,855 131,325
164,397 721,031
69,892 1,199,012
104,166
Total deductions $ 611,011 $ 2,132,819
Net profits 375,332 670,090
Preferred dividends 262,500
The balance sheet shows the following main items, in
comparison with the preceding year: —
1919. 1920.
Land, buildings, wharf, plant and
equipment ? 4,120,259 $ 5,181,444
Franchises, leases and goodwill . . . 3,000,000 3,000,000
Cash 30,908 1,438,041
Accounts receivable 451,305 922,569
Bills receivable 249,864 1,147,519
Investments 170,329 27,127
Inventories 2,498,098 1,453,465
Total assets 10,561,478 13,186,347
Capital stock ' 6,000,000 6,000,000
Bonds 1,420,000 1,345,000
Accounts payable, etc 2,148,417 1,188,881
Reserves 294,289 3,546,103
Profit and loss balance 698,771 1,106,362
The arrears on the preferred stock, amounting to 3%
per cent, were paid up, and the regular dividend at the rate
of 7 per cent, for the year was paid. The president, 1). Lome
McGibbon, stated that during the year exchange paid on
raw sugar purchases amounted to $976,302, as compared
with $115,000 the preceding year. The report also gives "a
few sugar facts," showing that prices in Canada, after mak-
ing allowance for duty, extra freight and exchange, are lower
than in the United States; how the company's sales ex-
panded enormously in 1920, after a small decrease in 1919;
illustrating the output of sugar in Cuba and in the world;
and comparing the price of refined sugar in New York and
Montreal.
Canadian Woollens, Ltd. — The first annual meeting of
the shareholders of the Canadian Woollens, Ltd., was held
on August 9 in Peterboro, Ont. The balance .sheet, report
and profit and loss account for the year ending June 30, 1920.
was presented and adopted. The president, during his re-
marks, intimated that the business of the company was so
satisfactory that a dividend on the common stock might be
looked for in the near future. The following board was
elected: A. O. Dawson, president; W. K. George, first vice-
president and chairman of the board; F. B. Hayes, 2nd vice-
president; L. Bonner, Wm. Hanson, G. D. Perry, F. R.
Sweeney.
The report shows the results of the company's opera-
tions in the first twelve months of its existence, and indi-
cates that the period has been a successful one. Profits
from operations, after deducting all manufacturing, selling
and general expenses and providing for government taxes,
but before making- provision for depreciation, interest on
bank loans and organization expenses, etc., amounted to
.$599,072. Provision for depreciation of buildings and mach-
inery $107,188, interest on bank loans $25,999, organization
expenses $10,008, reduction of investments to market value
SI 2,650, and provision for employees' pension and insurance
lund $20,000, when deducted, left net income for the year of
$423,227. After deducting preferred dividends net earnings
were $300,727, indicating over 17 per cent, earned on the
17,500 common shares.
The balance sheet shows the company to be in good
financial position. Total assets aggregate $5,581,208. Cur-
rent assets are given at $2,346,394 as against current assets
amounting to $1,290,174, a surplus of current assets (net
woiking capital) of $1,056,220. The balance sheet is shown
in full, as follows (comparisons in this first report, of course,
being impossible) : —
Assets.
Properties, etc $1,789,081
Trade mark, goodwill, etc 1,440,038
Current Assets:
Inventories 1,424,231
Victory bonds 265,248
Investments in other companies 5,000
Accounts and bills receivable 633,924
Cash on hand and in bank 17,991
$2,346,394
Deferred Charges:
Prepaid taxes 4,795
Total 5,581,208
Liabilities.
Preferred stock $1,750,000
Common stock 1,750,000
$3
Deferred liabilities
Current Liabilities:
Bank of Montreal
Tax provision
Accounts payable
Bills payable
Accrue4 wages, commission, etc
Approximate provision for government taxes in
respect of Canadian W'ooUens, Ltd., profits . .
,500,000
5,000
290,067
240,005
352,340
190,243
25,661
191,858
$1,290,174
Reserve for depreciation 465,307
Reserve for Emp. fund 20,000
Surplus 423,227
Dividend on preferied stock 122,500
$5,.581.':0''
August 13, 1920
THE MONETARY TIMES
BRITISH EMPIRE TRUST COMPANY
(LIMITED)
DIVIDENDS MAINTAINED AND CAIMTAI. MOKE
THAN INTACT
INDUSTRIAL BANK BUSINESS.
The Nineteenth Ordinary General Meetini; of the
itish Empire Trust Company, Limited, was held on Tues-
. , July 20th, at the Liverpool-street Hotel, London, Eng-
The Secretary (Mr. H. Bower Clark, A.S.A.A.,
I M.S.), read the notice calling the meeting and the
; liters' report.
Mr. J. Davidson (managing director), who presided,
lid: — Gentlemen, the Chairman of the company, Mr. Horne-
layne, regrets that owing to ill-health he is unable to be
resent to-day. He has, however, sent me a speech which,
ith your permission, I shall have much pleasure in reading:
The year under review has been marked by a heavy and
I sistent decline in the market value of securities gener-
Nevertheless, I am glad to say that, after writing our
estments down to the lowest market values and provid-
' in full for all depreciation, we are able to recommend you
authorize the payment of the same dividends on the Pre-
led and Deferred shares as last year — namely, five per
it. and seven per cent, respectively. I think the shai'ehold-
- will agree that it is satisfactory to receive these divi-
.;nds and to know that the capital of the company is intact
|ith a margin of over £18,000, notwithstanding the heavy
!1 in prices.
"The accounts are clearly stated and do not, I think,
;l for any explanations. If you will turn to the profit and
-s account you will see that the ordinary income of the
ijipany from trusteeships, registrarships and secretary-
iips, and from interest and dividends on investments, is
lell maintained. It shows an improvement of f(>,000 over
lat of the previous year and had it not been necessary to
vide the item of £12,647 on the other side of the account
depreciation, the proceeds available for distribution would
e amounted to over eight per cent, on the Preferred
litiary and ten per cent, on the Deferred Ordinary
res. The only sound policy, however, is to provide
!y for depreciation in values. The effect of so doing is,
lourse, to restrict for the time being the amount avail-
■ lo for dividends: on the other hand, the credit of the com-
liny, which is so important from the point of view of obtain-
g and carrying through future business, is maintained on
unquestionable basis. Another advantage which results
Ml writing down of investments is that, while the intrinsic
ue of the securities remains unimpaired, the lower values
ncd upon them increases the yield proportionately, thus
i(>asing the company's revenue. I can confidently assure
shareholders that the position of the company is stronger
lay than it has been at any time since 1911.
Financing of Industrial Undertakings.
".•\t an annual meeting some years ago I ventureil to
recast that on the conclusion of hostilities there would
suit a tremendous demand for capital for itnlustrial pur-
ses and your company, in anticipation of this demand, de-
led to adopt as part of its programme the carrying on of
e business of an industrial bank. My foreca.st has proved
be correct. During the past 12 months w<' liuve been
oded with financial proposals from industri.il \in.l<rtaking»
many and diverse kinds. Your managing duoctor has
LStigated a large number of these proposals at an im-
Mse expenditure of painstaking labor, and wc have taken
and are financing those which, after careful considcrntion,
poared to us to offer solid grounil for safe investment and
ture profit. Th'<; hvM.i.li nf nm- husin.'ss is developing
satisfactorily, but present conditions are still far from
normal, and it is necessary to proceed slowly and with great
caution. We find that applications for capital which come
under our notice may be divided into three classes; firstly,
those for the recapitalization, frequently involving amalga-
mation, of existing enterprises; secondly, those for the
starting of new enterprises; and thirdly, those for additional
capital for existing enterprises. With regard to the first
class — viz., recapitalization and amulgamatiun, there are a
large number of enterprises whose whole position has been
changed by conditions arising out of the war, and which are
justified in rtcapitalizing, but there are a still larger number
which seek recapitalization upon the strength of large profits
earned during the war or on an increase in the value of
their assets, or on the two combined. I fear much money
inflated values, and that dividend expectations founded upon
profits due to war conditions or exceptional opportunity can
only t-esult in disappointment.
"With regard to the second class — viz., the financing of
new enterprises, our experience is that, in many cases, the
estimates of anticipated profits are based upon a level of
prices obtainable only in consequence of scarcity arising
irom restricted output consequent in some cases on thv in-
terruption of the supply of raw materials from usual sources,
and in others on the dislocation of industry in other parts
of the world from which competition must sooner or later
recommence. It is evident that the greatest caution is neces-
sary in the financing of such enterprises. With reference
to the third class — viz., the furnishing of miditional capital
for existing undertakings, there arc many sound companies
to whom further capital is an absolute necessity on account
of the higher wages they pay and the higher cost of ma-
terials, apart from extending their business. It is to this
class of enterprise that your company is devoting its atten-
tion and seeking to be of assistance, aW in doing this we
believe that we are making the best use of our resources in
the interests of British trade. 1 am .satisfied that for many
years to come there will be no lack of opportunity of doing
remunerative business of this class. I have no hesitation
in encouraging you to look forward with confidence to the
future progress and prosperity of your company."
No questions being asked, Mr. Davidson then moved
"that the accounts for the year ended .\pril IlOlh, lti20, and
the reports of the directors and auditors thereon be received
and adopted."
Mr. T. Blunpell Brown .seconled the motion which was
unanimously carried.
The Dividends.
The Chairman then proposed: — "That the payment of
the dividends on the Five per Cent. Cumulative Perpetual
Preference shares for the year be approved, and that the
following dividends— viz., at the rate of five per cent, anil
three per cent., making eight per cent, per annum on the
Employees' Profit Participating shares from the date of
allotment to April 'iOth, 1020; five per cent, per annum on
the Preferred Ordinary shares, and seven per rent, per
annum on the Deferred Ordinary shares, be and they arc
hereby declared in respect of the year endeil April SOth.
1920, payable to all shareholders of record on July -"t'l-
l!)2o!"
Mr. N. Scott-Ri.hseli., M.Innl.C.F,., M.I K.K.. hi.ving
seconded the n-olution .t was un inimously .ii'pr.nrd
On the motion of the CHAIRMAN, unon.l.d by liRli.UUWi-
General E. F. O. Ca.scoic.ve. r.M.C. DS.n. ihr r.t.nn„'
directors (Sir William Mnikenii- and Mr. N Sctt-Uu/Kll i
were re-electe.l; and the audilorx ( M. ."sr!!, Ur.lMH«oii. Mill
and Co.) were reappointed, on the piopojiition of Mr. Coir
RIDGE SIMP.SON. .■•wonded by IIR. S.M^•THF.
Dr. Smvthe proposed n vote of thanks to the ■
and directors, .-nd thi.« wa« seconded by MR. W. K
and unanimously accordei).
Mr. David.son hnvine briefly aeknowlcdgtrd the voU-,
the proceedings terminate*!.
THE MONETARY TIMES
Volume 65.
Saguenay I'ulp and Paper Co. — The 1919 and first annual
report of the company and its subsidiaries, which company
was formed a year or so ago to take over the several com-
panies represented by the North American Pulp and Paper
Companies Trust, has made its appearance. The report,
which covers the year ended December 81 last, indicates an
improved position of the new company over the old gross
revenue in the period having amounted to $5,416,545, as com-
pared with $4,268,3(;8 as shown in the 1918 report of North
American Pulp. After bond interest net earnings amount to
S4G4,63G, against $442,227 for the old company in 1918, while
surplus of $33,651 compares with $38,005 for North Ameri-
can Pulp in 1918, the showing being lowered by way of crea-
tion of a reserve against depletion of timber limits of $263,-
001, and writing off of surplus of coal used in alterations of
the Chandler mill, of $149,067.
Pi'ofit and loss account, Saguenay Pulp and Power Co.
and subsidiaries, 1919, compared with profit and loss ac-
count. North American Pulp and Paper Companies Ti-ust,
1918:—
Saguenay, N.A. Pulp,
1919. 1918.
Gross revenue $5,416,545 $4,268,368
Ap. expense 4,093,280 3,283,199
Other income
$1,323,265
311,857
$ 985,169
501,559
Total income $1,635,122 $1,486,728
General expenses 219,945 287,198
Net income $1,415,177 $1,199,529
Bond, etc., interest 950,540 757,302
Net earnings $ 464,636 $ 442,227
Timber i-eserve
*Surplus coal . . . .
Miscellaneous items
Sinking fund
Amortization . .
263,001
149,067
18,917
Surplus $ 33,651
261,730
142,492
38,005
''Used at Chandler mill during alterations.
The balance sheet of the two companies is less easy to
compare, but the report currently being dealt with shows
general improvement in fiscal position. Total assets are
given at $25,197,483, against $24,254,696 in the 1918 North
American Pulp report. The working capital position of the
Saguenay Co. is good, current assets of $4,202,086 exceeding
current liabilities of $3,954,108 by $247,978. this amount re-
presenting net working capital available. In the 1918 re-
port of North American Pulp current assets of $3,746,914
were exceeded by current liabilities of $4,687,099, by $940,-
185. Working capital compares as follows: —
Saguenay, N.A. Pulp,
1919. 1918.
Current assets $4,202,086 $3,746,914
Current liabilities 3,954,180 4,687,099
Net working capital $ 247,978 *$ 940,18.'i
*Surplus of liabilities.
Barcelona Traction. Light and Power Co. — Earnings of
the company show continued improvement, according to the
June statement just issued. Gross earnings from operation
for the month totalled 2,523,998 pesetas, an Increase of 551,-
386 compared with the same period last year. Operating
expenses for June were higher than those recorded for the
month of May, being 905,811, compared with 880,281 pe.>ietas.
The table is as follows: —
Gross.
Net.
Net inc.
(Pesetas.)
(Pesetas.)
(Pesetas.)
March
■J..W3.815
1,695.141
754,189
April
2,676,148
1,767.913
782.874
May
.... 2,647,592
1,767,311
628,785
June ....
2,523,998
1,618,187
488.939
RECENT FIRES
Husiness Section of Town of Port Coquitlam, B.C., Suffered
Loss of $100,000
Chatham, N.B. — August 9 — The Northumberland Garage
A. K. Cole's blacksmith shop, the Kerr House and a barr
were damaged by fii-e. The total loss is $25,000, covered by
insurance.
Cooksville, Ont. — August 6 — Shale and Ontario Brick
Co. damaged. The loss is estimated at $30,000.
I>ake Megantic, Que. — August 2 — House and barn be-
longing to Isidoi-e Duquette, near Sandy Bay, destroyed
Estimated loss, $5,000, with $1,500 insurance.
Moose Jaw, Sask. — July 27 — Home of M. J. Lambert-us
destroyed. The loss vias partly covered by insurance.
Ottawa, Ont. — July 30 — Residence belonging to Jack
Burns, 193 York Street, damaged by fire. The loss is esti-
mated at $1,200.
Port Coquitlam, B.C. — Business section of this t-w;
damaged by fire. Estimated loss, $100,000.
Quebec, Que. — .August 3 — Garage belonging to P. T.
Legare, on St. Valier Street, damaged. Loss, $10,000.
Revelstoke, B.C. — .August 4 — Baken," belonging to Domi-
nick Gallicano, also a large stable, destroyed. Estimated
loss, $10,000, with no insurance.
Sault Ste. Marie, Ont. — August 4 — Barn, owned by
License Fuel and Supply Co., destroyed. Fourteen horses
burnt. The fire was caused by a cigarette. Total loss, $10,-
000, with insurance of $500 on horses.
Winnipeg, Man. — July 30 — Princess Billiard Parlors,
owned by W. A. Carson, damaged. The loss is estimateil at
$20,000. One fatality.
ADDITIONAL I.NFOR.MATION CONCERNING FIRES
Cobalt, Ont. — July 24 — Sawmill, belonging to Moose
Lake Lumber Co., Ltd., destroyed. The fire was caused from
sparks from burning refuse. Loss on contents and building
was $3,072, with insurance of $3,000 in the following com-
panies: Insui-ance Co. of North America, $500; the Atlas
Assurance Co., Ltd., $566; the Noi-them .Assurance Co., Ltd..
$666; London Guarantee and Accident Co., Ltd., $666; Union
Assurance Society, Ltd., $500.
Nelson. B-C.^July 2 — Log camp and flume, owned by
O. I. and M. Lumber Co., Ltd., destroyed. The total loss is
$60,000, with insurance of $58,434 in the following companies:
Queen Insurance Co.. $2,415; North British and Mercantile.
$9,457; Hartford, $18,117; Fireman's Fund, $25,364; National,
$3,079.
.A. party of oflicials of the Mutual Life Assurance Co
of Canada is now going through western Canada.
Hail and Fire
CJeneral Agencies wanted by new firm commencing
in Calgary, for either Saskatchewan or Alberta or
both. Has exceptionally strong connections over
both pi'ovinccs, and can assure a strong premium
income. All enquiries regarded as strictly confidential
Address replies to:
Box 325, The Monetary Times,
TORONTO
!-l .'I.ISHKCJ EVF.RS' Fl:li!.\',
nv
The Monetary Times
Printing Company
of Canada, Limiijd
■ Pul'lisl.ir.; ;^i^.l
^The Canadian Eiu'Iiklt"
Trade Hcview and Insurance t^hronicle
of (TanaiJa
i >tablished 1867
Old as Confederation
JAS. J. SALMON I)
Pr^iMeot and Gencnl HAii&|f«r>
A. E. JENNINf.-
Aulitast C«oeral Ma:: .
OSEPH BLAl K
SecreUry
A. McKAO;
Editor
i
Life Underwriters' Association 1920 Convention
Canadian Association of Life Agency Officers Oriiani/ed — lmprovement>
Made in Insurance Legislation, liut Many Defects Still F'ound — Association
Has Played Its Fart Hetter Than Hasthe Ajjent — Taxation. Succession Duties,
Business, Group and Income Insurance are Discussed at Ottawa Convention
(Staff Correspondence.)
Ottawa, August 19, 1920.
LEGISLATION, taxation and other financial questions
affecting life insurance and the work of the agent,
■ere coupled with methods of organizing the field and sell-
uig life insurance, in the discussions at the 14th annual con-
Ivention of the Life Underwriters' Association of Canada,
held in Ottawa, August 18 to 20. Several papers were read
il. the meetings, some of which will be covered later in
.'u' Monetary Times. The customary reports of committees
ere also presented and discussed. Prominent visitors at
: e convention were Haley Fiske, president of the Metro-
ulitan Life, of New York, who has just been making a tour
: the Canadian west along with several other officials of
!ie company; Phillip Burnet, president of the Continental
Life, of Wilmington, Delaware; Sir Henry Dra>ton, minister
lof finance; and G. D. Finlayson, Dominion superintendent of
I insurance.
On Tuesday, August 17th, a meeting of the executive
■ ommittee of the association was held. Several companies,
[including the Metropolitan Life and the North American Life,
iheld conferences of their own agents on the same day for
the discussion of subjects of special interest to them.
Life Agency Officers' Association
Field officers of companies doing business in Canada also
•et on Tuesday, and organized a "Canadian .A.ssociation of
'ife Agency Officers," which has a constitution and objects
iiiilar to the "Life Agency Officers' A.ssociation" in the
nited States, which was organized in l!»lt; and has grown
apidly since that year. The proposal to have a body of this
ind in Canada was first discussed at a meeting held in Tor-
onto on January 16, 1920, when the following committee
was appointed to consider the basis and scope of such an
organization: A. Gordon Ramsay, assistant general super-
intendent, Canada Life; Geo. W. Brophy. superintendent of
agencies. Equitable Life; W. Clark Kennedy, manager in
Canada, Standard Life; C. E. Robertson, superintendent of
agencies, Dominion Life; and S. C. Tweed, superintendent of
agencies. Mutual Life of Canada. This committee met on
April 13, and it was decided to hold an organization meet-
ing in Ottawa on August 17. A constitution was also drafted.
The Ottawa meeting, after hearing an address by Phillip
Burnet, proceeded with the organization work. It was de-
cided to adopt the na ne suggested by the commiltoe. as
iliove, though some alternatives were discussed. After one
r two slight amendments, the draft constitution was adopted,
lid the delegates passed the following resolution:—
"Whereas the deliberations of those in attendance at the
informal meeting in Toronto on the Ifith Jan., 1920. indi-
cated the desirability of forming an association of the offi-
cials of the legal reserve life insurance companies domg
business in Canada; now, therefore, be il resolved that we
do hereby form ourselves into a definite organization of
agency officials of legal re.serve life insurance companies,
and we do hereby agree to be governed by the rules and
ly-laws to be hereafter adopt ed."
Constitution
The main clauses in the constitution as adopted are: —
"The object of this association .shall be the considcnition
and interchange of opinion upon matters pertaining to the
betterment of the selling department of life insurance,
through the improvement in the quality of men who enter
the business, through the elimination of those who bring
discredit to it, through a study of methods of selection and
training of life insurance salesman, and through the con-
serving of the business which is placed on the books.
"The membership of the association shall be composed
of legal reserve companies doing business in Canada and the
agency officers and such other officers as the company mem-
bers may wish to have present shall be welcome at the meet-
ing of the association. No company member .shall have more
than one vote.
"New members may be hereafter admitted to the B!t»o-
ciation by vote of the executive committee.
"Any member shall be dropped from the roll of member-
ship upon failure to pay due." within the month following
notice thereof.
"The membership dues in the association .shall be twenty-
five dollars, payable upon election to membership, and nn-
nuallv thereafter.
"There shall be elected by ballot at each annual meeting
six members of the association, who shall constitute nn ex-
ecutive committee.*
"This committee shall perform the fiinclionn of ^"' »»-
Bociation between the meetings, as provided herein, and aholl
hold meetings upon written call of the rhuirman or the
written request of three members thereof. . , , «
"Members of the executive rommitlre fhaW hold office
for one year, or until their successoro are chosen. Thre*-
members shall constitute a quorum, and the committer i>hall
have power to fill any vncnnciec that may occur m itK mem-
^""The executive committee shall select from itJ. member-
ship a chairman, who shall also be chairman of the a^.ocia-
tion, and who shall hold office for one year or until hi* ^uc-
cesKor is cho«en. They »hall al.n select from it» mcml-.
•Thir olau.-e was changed so that two mMnbci
tire nnncfllly.
THE MONETARY TIMES
Volume 65.
ship a secretary-treasurer, who shall likewise hold office for
one year or until his successor is chosen.
"The secretary-treasurer shall receive and carefully keep
all the moneys of the association, and disburse the same as
may be directed by the association or the executive com-
mittee. We shall keep the records of all the members of all
meetings of the association. In case of special meetings, the
business for which the meeting is called shall be stated in
the notice.
■'The executive committee shall appoint an auditing com-
mittee of three members of the association, to audit the ex-
penditures and to report thereon at the annual meeting and
at such other times as the association or executive committee
may direct.
Meetings
''The annual meeting shall be held on call of the ex-
ecutive committee, written notice of which shall be mailed in
due time to reach members not later than thirty days prior
to such meeting. Eight members shall constitute a quorum.
"Special meetings may be called by the chairman or on
the written request of eight members he shall issue a call
for such meeting, and not less than ten days' notice thereof
shall be given.
"Amendments to these by-laws may be made by a two-
thirds vote of the members present at any meeting of the
association, provided that a copy of such proposed amend-
ment be filled with the chairman of the executive committee,
who shall cause a copy thereof to be mailed to each member
as provided in the call for the meeting."
The following executive committee for the Agency Offi-
cers' Association was appointed: A. Gordon Ramsay, presi-
dent; C. E. Robertson, secretary; A. E. Corrigan (managing-
director. Capital Life); C. H. Carpenter (superintendent for
Ontario, Great West Life); 11. Kay (manager for Canada,
Metroplitan Life); V. Archambault (of the La Sauvegarde
Life). The question of meetings and subjects was left to
the committee. Mr. Ramsay stated that nothing definite had
as yet been planned, but one subject he had in mind was
the keeping of business on the books after it had been se-
cured. Phillip Burnet suggested semi-annual meetings, at
which the papers and reports presented at the annual meet-
ings could be discussed and criticized.
Life Underwriters' Meetings
The program of the Life Underwriters' Association com-
menced on Wednesday with a few words of welcome from
Mayor Fisher, of Ottawa, and from W. T. Lamb, president
of the Ottawa Life Underwriters' Association. These were
responded to by T. J. Fatten, vice-president for Ontario and
by C. C. Gauvin, vice-president for Quebec. The president.
E. S. Miller, spoke briefly, expressing his appreciation of the
honor conferred upon him last year.
Committee Reports
J. B. Hall, reporting as chairman of the executive com-
mittee, reviewed the subjects which bad occupied the atten-
tion of the executive during tha year, including soldiers' in-
surance, the membership campaign, educational courses and
taxation. J. H. C. Graham, general secretai-y-treasurer,
stated that the membership is 1,927, with 41 local associa-
tions reporting. During the past five years, he pointed out,
membership lias increased from 757. with 3 local associa-
tions, to 1,927, and income from ,$2,500 to $18,000. John A.
Tory, in submitting the report of the legislative committee,
described the important developments which have taken place
in Ontario. The Dominion government had proposed a federal
licensing law, to which the un.lerwriters had expressed ob-
jection unless provincial licenses were abolished; this legis-
lation is still pending, however. He reconmiended a cam-
paign in Quebec to obtain redress fix)m the numerous taxes
levied on companies and agents, by both the province and
municipalities there. In Manitoba there is a movement on
foot to license agents, and in the same province during the
year the efforts of the association had' prevented the in-
clusion of life companies' employees under the scope of the
Workmen's Compensation Act.
F. T. Stanford, for the publicity committee, pointed out
that their activities were limited by lack of funds.
D. E. Kiigo ur, actuary of the North American Life, spoke
on behalf of the Life Officers' Association of Canada, and
referred to the numerous occasions on which co-operation was
useful. "The Life Officers' Association is not a close cor-
poration," he said, "but is composed of chief executive offi-
cers of life insurance companies in Canada. Its aim is to
I romoLe the best interests of the business. This year, meet-
ings of the medical directors and actuaries were held, with
a view to the standardizing of sub-stundard risks. We are
trying to secure a unifoiTn practice for this class of busi-
ness, for we feel that every risk will some day be insurable."
There is already such a uniform classification for occupa-
tional risks, he pointed out. "I am optimistic about the future
of life insurance, but there are obstacles ahead," concluded
Mr. Kilgour. There is always the possibility of government
insurance, he said, but whatever happens the insurance man,
from the chief executive to the humblest agent, must recog-
nize the fact that he is first of all the servant of the policy-
holder and must live up to this obligation.
Responsibility of the Association
H. St. C. Clayton, of Sherbrooke, Que., led the discussion
on "The Association's Responsibility to the .\gent." It is
responsible, he said, first for legislation affecting insurance;
one example of room for action in this regard was the Que-
bec law which made it impossible for a married woman to
insure in favor of her husband. A second responsibility is
that of encouraging co-operation among agents, to elimin-
ate rebating, switching, etc. J. E. Matthews, of Brandon,
Man., speaking on "The Member's Responsibility to the As-
sociation," said that it was the duty of every one who carries
a i-ate-book to become a member. Then he should not hesi-
tate to report cases of rebating, etc., and the association
should not hesitate to take action on points such as this. A
standard of fitness or qualification for the agent was desir-
able, said Mr. Matthews. In Manitoba, he pointed out,
there is now no one to refuse a license. "The greatest para-
site on the insurance business at the present time," said
Mr. Matthews, "is the bank manager in the small towns,
who picks of the good business, sometimes using pressure
to do so."
In a discussion of these papers, J. B. Hall, of Toronto,
pointed out that in Ontario the new legislation which would
go into force on September 30 would require a separation
of licenses and the signing of a new application form. In
this way all undesirables can be eliminated. Mr. Burke, of
Quebec, stated that the association has lived up to its duty
better than has the member to his. Many of the best agents
would not have entered the business if the association had
not raised the standard. Regarding licenses, he thought
that the provincial superintendents should not issue a license
to anyone who cannot get a bond from a guarantee company.
Status of the Modern Agent
"The Underwriter of the New Era," was the subject of
an address by J. Stanley Edwards, president of the National
Association of Life Underwriters of the United States. He
compared the work done by the association there with that
done by the Life Und3rwriters of Canada, and found much
in the latter which could be copied in the United States.
Much attention had been given there, he said, to education,
and this was one of the factors which is raising the work to
a new standard. Discussing the terms "business" and "pro-
fession," he found that the life insurance agent measured up
to the latter standard. "In contrast to every other organiza-
tion of workers," said Mr. Edwards, "life undenvriters' as-
sociations aim to increase their members' income not by
raising fees but by increasing production."
August 20, 1920
THE MONETARY T I .M E S
Methods of Selling
In his address entitled "Producing Persistent Policy-
holders," Phillip Burnet pointed out that in the growth of
civilization occupations had become specialized, and ser%-ices
as a result had to be exchanged. "If the great moving prin-
ciple at the core of civilization is the exchange of servnces
between man and man, then it would follow that the more
we strive to serve our fellow men, the more do we work
with that great fundamental power and the less does it
oppose our efforts." Applying this to the life insurance
business, it becomes obvious that the community permits
the agent to engage in his work primarily for the benefit
which the community expects to derive from his specialized
effort. The responsibility which is thus delegated to the
agent is thus a great one, and yet there is a tendency on
the part of the agent, as his skill increases and his renewal
income grows, to make fewer calls and generally to slacken
in his efforts. Speaking in reference to selling methods,
-Mr. Burnet said he had found good results from keeping a
record of prospects' birthdays, and calling on them six
months before the birthday, pointing out that the rate at
which 'the prospect could obtain insurance would be higher
thereafter. "If this is the best time to see a prospect," asked
Mr. Burnet, "why should we visit them at any other time?
Could not the business be so organized so that every call
should be made on these days?" The names of all prospects
could be arranged, he thought, so that they could be seen
on the days when their rate changed because of age.
Taxation of Insurance Companies
In an address on "The Taxation of Life Insurance," W.
B. Taylor, secretary of the North American Life, stated that
this subject had not received proper attention from either
the federal or the provincial governments. After describing
the principles of equitable taxation as defined by John
Stuart Mill and other economists, he stated that the present
taxation of insurance in Canada was not in accordance with
these principles. The fundamentals of the business were
not understood by the taxing bodies. A tax on insurance,
being passed on to the policyholder, is an indirect tax. Tax-
ation of life insurance is therefore unjust, because the in-
sured, in protecting his dependents, relieves the estate of a
possible burden. Mr. Taylor suggested that the co-opera-
tion of policyholders might be enlisted in making represen-
tations to governments on this point. An eminent taxation
authority, he said, had stated that' life insurance taxes can
lie justified only on the ground of expedience.
Thursday's program included discussions of business in-
dustrial, group and income insurance led by H. W. Manning,
J. J. McSweeney, F. W. White and E. J. L'Espernncc. John
T. Cowan, of the Toronto General Trusts Corporation, gave
:in address on "Succession Duties and Life Insurance." The
day concluded with the annual banquet, at which the speakers
were Haley Fiske, president of the Metropolitan Life, whose
-ubject was "The Soul of Life Insurance" and Sir Henry
Drayton, minister of finance for Canada.
Friday's sessions are scheduled to include the following
subjects: "WTiy I am a Life Insurance Agent," by O. B.
Shortly, Toronto; "Histoire vue a vol d'oiseau de I'assurance
sur la vie," by M. Monaghan, of Quebec: "Producing Per-
sistent Policyholders," by Phillip Burnet, president of the
Continental Life .\ssurance Co., of Wilmington. Delaware;
"Uses of the Blue Book," by G. D. Finlayson. superintendent
of insurance. Ottawa; "What Life Insurance .\gcnts Should
Know," by W. Lyle Reid, Ottawa. Officers will also be elected
and new business concluded.
A "Handbook of the Canadian Pulp and Paper Industo'"
has been issued by the Canadian Pulp and Paper Association.
It describes the process of paper making, and discusae? the
position of the Canadian mills as regards timber supplies,
power, markets and earnings.
HARVESTIN(. I.N I ILL S\\1.N(. l.N WEST
Grain Yield Stated tu be Best in Five Years — Manitoba
Savings Office Opened For Business — Local Govern-
ment Board .\pproves of Sale of Shares of Ne»
Bank of Sahkatchewan
(Special to T/u' .U<i>ii/iirv Tiw.j.i
Winnipeg, August 19th, 1920.
H.\RVESTI>»'G is now in full swing in all parU of Mani-
toba, Saskatchewan and some parU: of Alberta. The
grain being garnercii will, from all reports, yield a very
generous return, the best in five years. Recent weutljer
conditions have brought along backwani crops that farmers
thought three weeks ago would not pay for the seed and
cost of planting, but which will now give profitable returns.
Late sown grains will also yield much better than expected,
owing to showers and cooler weather of the past ten daj-s.
There are excellent crops in SaskaU;hewan and Alberta
along the C.N.R. main line from North Battleford to Ed-
monton and particularly in the Lloydminster, Vermillion and
Vegrevill.^ sections, says a recent C.N.R. report. Wheat
standing on the fields four feet high is heavily headed, and
yields of 40 to 45 bushels an acre will be common. Har\-est-
ing is general throughout the west this week. Conditions
also continue to be favorable throughout south and along
the Saskatoon-Calgary line from Rosetown westward. In
the Saskatoon district, where the crops were despaired of
during a very protracted dry period there has been a re-
markable improvement during the past fortnight and fields
that gave proimse of but three to four bushels an acre at
the end of Julv will now turn out eight to ten bushels.
I
Situation Highly Promising
Southern and eastern Manitoba are in the midst of a
splendid harvest. Fifty per cent, of the cutting has been
done and thre.shing is now in progress in several localities.
Portage la Prairie, Gladstone, Neepawa, Dauphin. Curborry,
Rossburn, Swan River. Yorkton and Canora. all report
harvesting in full swing under favorable weather conditions.
There will be fair to heavy yields of all grain- in 1>n«<-
famous grain growing districts. Prince AUkt'
whole Carrot River countn,- will also have hou!
The general outlook would indicate that nature
fooled the experts and pessimists by turning the v.-
conditions of a month ago into a highly satisfii
tion. New wheat of this year's crop has already :irri\.M m
Winnipeg; thirteen cars received to-day.
\
Manitoba Savings Oflice Opens
The province of Manitoba savings office is now open for
business and already large amounta have been received on
deposit upon which interest of 4 per cent, will be paid. The
board of trusU-es comprises Uie following: Aid. CK^org^
Fi»her, Canadian manager, Scottish Co-operative Whol<.s..l.-
Society; J. R. Murray, assistant general mnnngrr, Unit..!
Grain Growers', Limited; S. F. Collier, din-ctor. United Gram
Growers', Limited; J. W. .McQuny. Dauphin, Man.; E. A.
Weir, chairman and supervisor of administration. Two
offices are open in Winnipeg at .'135 Garry St. and K72 Mam
St. Offices are .ilso to be opcne<l at the principal cenlrei
throughout the province.
Sell Sharm of .^Saskatchewan Hank
It is announced from R'.'/ina that the I>oc.il G(v. rnmmt
Board there has given approval of the propom-d fbIc of the
shares of the new Bank of Saskntrhewnn. Two nullioni of
an authorized c.-ipiul of five millionn will bo put on the
market imni.diately, the Canada Tru»t Co. having been ap-
pointed trustee for any sale* occurring prior to formal allot-
ment. The offering will be made at a premium of 25 per
cent., this premium going immediately towards the creaUon
of a rescn-c.
THE MONETARY TIMES
Volume 65.
BANK BRANCH NOTES
Four New Braiiclu-s Opened by SterlinK Bank — Merchants
Bank is Building Large New Branch at Kegina —
Canadian Bank of Commerce Has Two New
Buildings Under Erection in B.C.
The following is a list of branches of Canadian banks
which have been opened recently: —
Eganville, Ont Home Bank of Canada
Toronto, Ont. (Stockyards) . . . Bank of Hamilton
Hamilton, Ont. (Gage and Bar-
ton Streets) Bank of Hamilton
Vanderhoof, B.C Royal Bank of Canada
Queensville, Ont Sterling Bank of Canada
Phelpston, Ont Sterling Bank of Canada
Craighurst, Ont Sterling Bank of Canada
Minesing, Ont Sterling Bank of Canada
Proposed Branches
New buildings at Williams Lake, B.C., and West Sum-
nierland, B.C., are being erected by the Canadian Bank of
Commerce.
A new building is being erected by the Bank of Nova
Seotia on Charlotte St., Sydney, N.S.
A building, costing 51''o>000, is being erected at Regina,
Sask., by the Merchants Bank of Canada.
The branch of the Standard Bank of Canada at Hillsdale,
Out., which heretofore has been a sub-office to Elmvale, has
now been made an independent branch.
Personal .Vppointments
The Sterling Bank of Canada wish to announce ths
following changes: —
G. M. Phemister, formerly at the St. Williams branch,
is now manager at Port Rowan, Ont. R. E. Mevi.son has
been transferred from the head office to St. Williams as
manager, in place of Mr. Phemister. J. A. Bush, another
head office officer, is now acting manager at Auburn, Ont.
F. Walton is appointed permanent manager at the Keswick
branch. N. J. Stevenson, St. Catharines' branch, is now act-
ing manager at Jordon Station. A. T. Smyth is now holding
the position of acting manager at Kelvington, Sask., having
been transferred from Winnipeg, Man. W. S. Cook, formerly
at Uxbridge, is now manager of the Myrtle Station branch.
A. L. Windsor, for the past year and a half manager of
the Ingersoll, Ont., branch of the Merchants Bank of Can-
ada, has been transferred to Sherbrooke, Que.
G. A. Patterson has been appointed manager of the
Sterling Bank at Stayner, Ont.
K. E. Brookes has been made manager of the Sterling
Bank at Dungannon, Ont.
A. G. Clark has taken over the management of the Sterl-
ing Bank at the Fort Erie, Ont., branch.
E. W. Lamprey, former manager of the Bank of Tor-
onto in Kitchener, Ont., has been appointed manager of the
branch at Vancouver.
A. E. Taylor, for the last nine years manager of the
Canadian Bank of Commerce at Windsor, Ont., has been
promoted to the position of assistant general supervisor of
the bank. W. J. Lynch, of Medicine Hat, succeeds Mr. Tay-
lor as manager of the Windsor branch.
CAN.MMAN Bl SLNESS FAILURES
The number of business failures for the week ended
Augu.«t 12, 1920, as reported by Bradstreet's, is 14, as com-
pared with l.T in the previous week, fi in the same week in
1919. a in 191S. l.'i in 1917 and 2.5 in 1910.
EXCHANGE QUOTATIONS
Messrs. Glazebrook and Cronyn, exchange and bond
brokers, Toronto, report local exchange rates to The Monetary
Times as follows: —
Buyers. Sellers. Counter.
N.Y. funds 131A pm 1.3% pm
Mont, funds Par. Par. % to H
Sterling —
Demand ?4.1150 S4.1250
Cable transfers . . . 4.1250 4.1350
New York quotations of exchange on European countries,
furnished by the National City Co., Ltd., as at August 19,
1920, are as follows: London, cable, 361%; cheque, 360%;
Paris, cable, 7.15; cheque, 7.14; Italy, cable, 4.74; cheque,
4.73; Belgium, cheque, 7.65; Swiss, cheque, 16.65; Spain,
cheque, 15.20; Holland, cheque, 33.00; Denmark, cheque,
15.00; Norway, cheque, 15.00; Sweden, cheque, 20.60; Berlin,
cheque, 2.02; Greece, cheque, 11.50; Finland, cheque, 3.15;
Roumania, cheque. 2.30.
OFFICER OF LIFE UNDERWRITERS' ASSOCIATION
The president's chair of the Life UnderviTiters' Associa-
tion of Canada for the years 1920-21 will be occupied by Mr.
O. B. Shoi-tley, formerly manager of the Metropolitan Life
Insurance Company in Ottawa, and now manager for the
Metropolitan for Central Ontario, and resident in Toronto.
Election of officers resulted as follows: — Honorary presi-
dent, E. S. Miller; president, O. B., Shortley; vice-presidents,
S. E. W. Keenley, of British Columbia, W. L. McNeth, of
.\lberta, W. Underwood, of Saskatchewan, J. W. Scott, of
Manitoba, T. E. Holmes, of Ontario, W. O. H. Percey, of
Quebec, Robert Reed, of New Brunswick, F. G. Taylor, of
Nova Scotia, J. 0. Hyndman of Prince Edward Island, and
.7. A. McKenzie of Newfoundland; honorary secretary, W.
T. Lamb, of Ottawa.
WEEKLY BANK CLEARINGS
The following are the Bank Clearings for the week ended
August 19, 1920, compared w-ith the corresponding week last
year: —
Week ended Week ended
Aug. 19, '20, Aug. 21. '19. Changes.
Jlontreal $130,360,498 $108,785,870 + $21,574,628
Toronto 91,468,728 77,641,996 + 13,826,732
Winnipeg 45,668,369 33,110,928 + 12.557,441
Vancouver 17,240,712 13,205,128 + 4,035,584
Ottawa 7,664,925 8,345,944 — 681,019
Calgary 7,359,928 6.350,128 + 1,009,800
Hamilton . . .. 7,044,311 5,802,859 + 1,241,452
Quebec 6,793.174 5,315871 + 1,477,303
Edmonton 5.174,856 4,849,398 + 325,458
Halifax 4,879,781 4,164,290 + 715.491
London 3,858,229 3,023,577 + 834,652
Regina 4.046,625 3,600,780 + 445,845
St. John ' 3,351,773 3,289,607 + . 62,166
Saskatoon 2,381,467 2,045,687 + 335,780
Moose Jaw 1,7.58,125 1,484,232 + 273393
Brantfoid 1,.390,194 1,097,000 + 293,194
Fort William . . . 715,807 810,791 — 94,984
Lethbridge 864,932 679,614 + • 185,318
Medicine Hat ... 407,081 438,882 — 31,801
New Westminster 701,080 617,614 + 83,466
Peterboro 892,103 749,692 + 142,411
Sherbrooke 1,218,483 1,033,474 +. 185,009
Kitchener 1,080.013 862,451 + 217,562
Windsor 3,881,800 2,269,062 + 1,612,738
Prince Albert . . . 456,923 399.206 + 57.717
Totals
$350,589,917 $289,974,081 + $60,615,836
August 20, 1920
THE MONETARY TIMES
9
Trad* Review and Insurance Chronicle
of Canada
Addrns: Corner Church and Court Streets. Toronto. Ontario. CanuU
Telephone: >Uin 7404. Branch Exchange connectmc all department*.
Cable Address: "Montimes, Toronto."
Winnipee Office: :20G McArthor Buildine. Telephone Main S4M.
G. W. Goodall. Western Manager.
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The Monetary Times was established in 1S6T, ■ federa-
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The Monetary Times does not necessar.
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eluding from its columns fraudulent and objectionai . -^. Al'
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PUl.VClFAL CONTENTS
EdITORIAI,: . ,.,,j^
British Liibor's Constitutional ChalleuKi '.'
The Railroad Rate Controversy \i
■ Earninjr Capacity of the Average Man lo
Special .Articles:
Life Undcnvriters' Association 1920 Convention.... S
HarvestinK in Full Swinfr in the West 7
Crops Holding Up Well u
The Ontario Insurance Department and the Field
Man 18
Quebec's Surplus Over One Million Dollars 2i
Contract Relating to Management of Estate 26
Municipal Le);islation in .Alberta T2
.Monthly Departments:
Insurance Companies Secure Dominion License*.... 22
Building Permits , 24
Weekly Departments:
Bank Branch Notes 8
News of Industrial Development in Canada 2S
Government and Municipal Bond Market 34
News of Municipal Finance 36
Corporation Securities Market 38
Corporation Finance 42
Recent Fires 44
BRITISH LABOR'S CONSTITl TION.VI. (MALLKMiE
ORG.ANIZED labor in Great Britain has taken an un-
equivocal stand against war with Russia. On .August
13 labor and trade union executives organized a "council
of action" with power to call foi any and every form of
withdrawal of labor so far as necessary to prevent military
or naval operations against Russia. .1. H. Thomas, .M.P.,
pointed out that this was a challenge to the whole constitu-
tion of the country. W. Adamson, chairman of the parlia-
mentary labor party, said that unwarranted interferenci;
with the government of other people would not be tolerated.
"We believe," he said, "in the inalienable right of any na-
tion to choose its own form of government."
The labor party's view of the political situation may be
wiser than that of the government. Some of the principle.^
which it upholds seem thoroughly in accord with the North
.American viewpoint. Secret diplomacy is deplored, and when
public opinion i< so strongly set against war, only an
undemocratic government could enter into one. Governments
make mistnkes only too often, and it ii^ not uncommon for
the judgment of a group to be wiser than that of the re-
presentatives of the nation as a whole.
What is significant, however, and perhaps prophetic, in
the action of the British labor party is the erection of :i
new puthority, to which the members will accord their .lup-
port, in opposition to the government. This is direct action,
not only industrial but political as well. When labor tric<l
to enforce the nationalization of the coal mines in opposi-
tion to the expressed wishes of the people, it diil so by direct
economic action. Us industrial power will W niatie use of
to prevent war with Russia; for instance, it threatens to
cut off France's coal supply if the latter country refuses
to send coal to Russia. The purpose in this case is purely
political, and the "council of action" is, therefore, a political
body, not subordinate to the constitution, but co-ordinoU-
with it and guaranteed the support of the labor party. "I
tell you solemnly and seriously." said Robert Williams, a
British labor leader, "that you are infinitely more representa-
tive tiian the House of Commons, and you may be sum-
moned to sit permanently as a committee of national safety."
It is. therefore, the method rather than the view of l;ibor
which is now meeting with popular disapproval. The fact
that the question of a war with Russia had already been
settled in the negative may be the reason why labor was
led to take such a threatening attitude.
THE K.MI.KOAI) KATE t (»NTK()\ F.K.s^
THE United States had some dilliculty in ailjusting tht
wages of railroad employee.s for the coming year; wlii-ii
this was done, rates were then increased in n scienlitu
method, under the new legislation enacted al the luxt »»•?>
sion of congress. Canada had no difficulty in nettling the
new wages, but any increase in rates is being fought bitterly
by municipalities, boards of trade, the manufacturers and
the west as a whole. Perhaps this ileparturc from the ac-
tion of the United States is merely a method of asserting
our independence, but it is strange that the op|Kinent.« nf
higher rate.-i were intlilTercnt to the substantini incr«:iM
in operatinir cost^. If we follow the action of the I'nii ■•)
States in adjusting wage.n. why should wc not do the »:it <
as regards rates? If the economic conditions in Ihr ;•>'
countries are xutTirienfly .•limilar to have identirnl wage
schedules, is it not also reasonabli- to havr correapondino
freight and pas.-w nger tariffs for the ronds'.'
Judging from the nrgument."t Iwfore the Board of K.il
woy Commis-'ioniTS, there seems to be only one weak f •■:
in thv casv for the railwn.vs. Thin h the fart th-it ' i
Canadian Pncifir is still able to pay a substantial dividn :
The earning of a dividend upon capital, at leant In puih
utility anil railroad operation, now Fr^ms lo be a rruv
against the comiminity. In fact, the ability to pay opcr-iting
expenses appear.* to be suflicient reason for a lower ral«
agitation. This at any rate is the situation with the Cana-
dian National, which ln«t .vcar failed to pay operating ex-
penses by the substantiol deficit of »47,OOO.OOn. This. t<^
gcther with the interest on the capital obligations assumed.
THE MONETARY TIMES
Volume 65.
had to be met from the national treasury, and no return
was deceived on the stock which was purchased at a consid-
erable cost. Tiie people of Canada in no uncertain voice
demanded the acquisition of these lines. The whole resources
of the country are pledged for their maintenance. Will this
national road be allowed to g-o to pieces merely because the
Canadian • Pacific is still able to outpoint its rival? To
meet the deficit from the national treasury is to admit that
public ownership of the railways is a failure.
It is a strange camp which stands opposed to the rail-
ways in the present hearing". The west, the advocate of
"fair play to all and special privilege to none," wants rail-
way service below cost, boards of trade, who fail to see
that the transportation service in which they are so vitally
interested cannot be adequately given at present rates,—
manufacturers who would make the railways, like them-
selves, the recipients of a bonus from the public, — and the
public as a whole, regarding the railways as foreign in-
stitutions levying an annual tax upon the country, rather
than a vital part of its organization, — all these are repre-
sented at Ottawa.
There are three methods of dealing with the situation.
The first is to leave the rates as they are, meeting the de-
ficits of the Canadian National to keep it in operation until
such time as the Canadian Pacific is dragged down to its
level of inefficiency. The second is to grant an increase just
sufficient to cover the increase in wages just granted. Thi;
third is to raise rates to a level sufficient not to permit of
extravagance, but to enable the Canadian National to pay
operating expenses and fixed charges at least, and to enable
all the roads to give such service as will be necessary to
meet reasonable demands. The present situation is unbal-
anced. The railroads, like any other company which would
offer to do business below cost, are swamped with busines.;
on which they are continaally losing money. Far better
to cut off a part of that traffic by raising rates, relieve the
taxpayer of his present annual bill of several dollars per
head of population, and place shippers in a position to de-
mand good service, without an apology, knowing that it is
good service they are paying foi'.
EAKMNG CAPACITY OF THE AVERAGE MAN
HOW the earnings of the average man rise and fall through
his life, and just when he should be best able to make
provision for his declining years, is shown in a chart recently
published by the National City Company. Earnings are
divided into three grades. First, there is the "line of de-
pendency," which is passed shortly after the age of twenty,
and down to which earnings again fall at about sixty-three.
Second, there is the "line of comfortable living" extending
during the ages twenty-five to forty, and fifty-two to sixty-
three. Finally there is the "line of maximum earning
power," which is reached from forty to fifty-two.
These calculations are, of course, only approximate.
Variations will be found not only in the case of individuals,
but also with groups of individuals occupying a similar sec-
tion in life. The unskilled worker, for instance, attains to
his maximum earning power much earlier than the average,
because his earnings depend upon his physical ability. More
skilled workers do not reach their maximum until some-
what later, when a certain amount of experience has been
acquired, but before the physical powers ai-e materially af-
fected. Clerical workers may retain their greatest earning
power until comparatively late in life. The highly trained
business or professional man does not commence to earn
until much later than other workers; for some time there-
after his earnings may scarcely equal those of a manual
laborer, but so long as he retains fair health and physical
power his earnings, being dependent upon practice and ex-
perience, should continue to increase.
It is obvious that tiiose who wish to be independent dur-
ing the later years of their life, if they are sufficiently
fortunate to have later years, must make provision for them
during the period when their earnings are above the line of
dependency. This is, on the average, between the ages of
twenty-three and sixty-three, a period of forty years during
most of which there is a substantial margin between earn-
ings and the cost of the "necessities" of life. Two forms of
saving absorb the vast bulk of surplus earnings. The one
is direct investment, whether in real estate for use or for
revenue, in the bank for convenience and interest return, or
in securities. The second is the mox-e indirect foi-m of life
insurance, where an estate is created at once which is large
in comparison with the initial investment, and where the
total of the premiums, with accrued interest and after mak-
ing deductions for the cost of carrying the risk and the ex-
penses of operating a life insurance company, are returned
at the end of the time specified in the contract. A combina-
tion of these forms of investment is agreed upon as the
most desirable. Most of us have domestic obligations rather
larger than our resources would meet, and for this purpose
some life insurance is requiredi The bank, loan company or
other depository is the most convenient for ready money,
possibly we may wish to own some real estate, and securities
in almost endless variety are available for the balance.
For the first time in three years the income of the
United States government has exceeded its expenditures. A
surplus of .$291,227, .547 is estimated for the fiscal year endo!d
June 30, 1920. Canada's record is far from being so favor-
able.
Capital issues in the United Kingdom in June totalled
,'?27,r)e0,000, making a total of £241,000,000 for the half year.
This exceeds the total for the whole year 1919, and is just
one million less than the figure for the year 1913. War time
expansion has developed into a mania of speculation, the eye
being turned to the successes of the past rather than to the
uncertainty of the future.
*****
Hon. C. C. Ballantyne, minister of marine and fisheries,
says that the government merchant marine will be a pro-
fitable investment again this year, and 63 additional ships
are being built. Great Britain and the United States, on
the other hand, are greatly reducing their ship-building
work, as less traffic, lower rates and smaller profits are
anticipated in shipping circles.
*****
Premier Meighen says it is the financial policy of the
Dominion governnrent to go into debt no further, to raise
revenue to equal or exceed expenditure, and to reduce the
debt. Hen. Mackenzie King asks "what would be thought
of any government or party that, under existing conditions,
would pi-opose anything different?" It may be that all parties
will claim such a policy, but to carry it into effect will be
a radical and desirable change in national government.
**»»!>
I\Iayor Church, of" Toronto, says that a provincial
guarantee of the municipalities' bonds to be issued to pur-
chase the electric railways in the province is not desired by
the municipalities. He is assuming, however, that the Do-
minion government would accept unguaranteed bonds. The
provincial guarantee saved the hydro municipalities many
thousands of dollars on bonds sold in the open market, and
this obligation gives the province the right to make a
thorough investigation of any hydro-electric project.
*****
The number of vessels under construction in the United
Kingdom at the end of June was 3, ,578, compared with
3.394 on March 31, and with 2„524 on June 30, 1919. The
number of vessels commenced during the quarter ended June
30 decreased, however. The corresponding figures for the
United States were 2.106, 2,573, and 3,874; for Japan they
were 2.54, 826 and 282. If shipbuilders in these leading coun-
tries fear to risk new capital under present conditions it is
safe to conclude that ocean shipping will be duller in the near
future.
August 20, 1920
THE MONETARY TIMES
International Trade
In the transaction of foreign business,
knowledge and experience count for
much. The experience gained b>
this Hank at its own offices in such
centres of international trade as the
following :
London, Eng.
New "^ork
Mexico (]ity
San Francisco
is available for extension of Canadian
trade abroad. In addition it main-
tains a Foreign Department specialh
equipped to handle all foreign exchange
transactions.
THE CANADIAN BANK
OF COMMERCE
Capital Paid-up
Reserve Fund
$15,000,000
$15,000,000
Real Banking Service
All branches of this Bank are in
a position to give the most com-
prehensive Banking service.
Government and Municipal
Securities are dealt in. Foreign
Exchange bought and sold.
Money Orders and Letters of
Credit issued. Collections made
on all |x>ints in Canada or
overseas.
IMPERIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land - The Commercial Bank of Scotland.
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais. Lloyds and
National Provincial Foreign Bank. Limited.
LONDON
T ONDON, the heart of the Empire, is
^ the centre of the financial world. All
roads, all sea-lanes lead to that mighty
city of distribution, of import and export,
of bankers and financiers.
It is inevitable that Canadians having
commercial relations overseas, require
banking facilities linked up with Canadian
finance. The Union Bank of Canada has
two branches in London — at 6 Princes
St., E.C., and at 26 Haymark. t St., W.
Officers at all our 400 branches will
gladly advise on the transaction of over-
seas business.
UNION BANK
OF CANADA
THE
Bank of Nova Scotia
Established 1832
Capital
Reserve
Total Assets
$9,700,000
$18,000,000
$2.<o.O()() oon
GENEf^AL OFFICE : TORONTO. ONT.
H. A. Rich«id>on. Crnrtal M«n«B"
Branches al all the principal centres
ihroughoul Canada and in Newfound-
land. Cuba, Porlo Rico. Dominicm
Republic, Jamaica, and in the L'nii
Slates al
BOSTON CHICAGO NEW YORK
London, Eng.. Branch:
S5 01,D BROAD STREET EC
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
Major-Gen. S. C. Newbukn, K.C, has been elected to
the directorate of the Mutual Life Assurance Company of
Canada to till the
vacancy caused by
the death of Mr.
G. B. Ryan, of
Guelph. Hon. Mr.
Newburn is minis-
ter of militia and
defence for
Canada, and is a
member of New-
burn , Ambrose,
Burbidge and Mar-
shall, barristers
and solicitors,
Hamilton. He is
also a director of
the Tuckett Tobac-
co Company and
the Mercantile
T rust Company.
He was born in
Hamilton, Ont.,
December 4, 1863,
called to the bar in
1885 and created
K.C, in 1910. His
military career in-
cludes long service with the volunteer militia in various
capacities, stailins as a private. He was appointed director-
general of the Canadian Deience Force in March, 1917, and
in October of the same year was taken into the Unionist
Cabinet es minister of -.lilitia.
H. C. Samis, formerly inspector of the Union Bank of
Canada, resident at Regina, Sask., who has taken over the
duties of his recent appointment as assistant manager of
the main branch of
the Union Bank of
Canada in Van-
couver, B.C., has
been in the service
of the institution
for eighteen years.
H e entered the
Winnipeg branch in
19 0 2 and was
transferred to
Vorkton, Sask., in
1903. He was ap-
pointed accountant
at Vorkton in 1906
and accountant at
Virden, Man., in
June, 1907, remain-
ing there until
March, 1909, fol-
lowing which he
held the manager-
ship at the follow-
ing branches:
Maryfield, 1909. to
December, 1910; Strasbourg, December, 1910, to March, 1913;
Maple Creek. Sask., March 1913j to January, lOl.i, and
Swift Current, Sask., January, 1915, to February, 1919.
Mr. Samis was appointed inspector with headquarters at
Re.gina in February, 1919, and continued at this post until
his latest appointment. The photograph reproduced in these
columns last week was that of F. J. Willis, formerly
manager of the Union Bank at Swift Current, who has been
appointed inspector resident at Regina, Sask. Mr. Willis
has been in the service of the Union Bank since September,
1904. He commenced at Lumsden, Sask., and became teller-
accountant at Pense, Sask., in June, 1908. In September,
1909, he was appointed to a similar position at Milestone,
Sask., where he remained until August, 1910. Since the lat-
ter date he has been manager at the following branches:
Lang, Sask., Watrous, Sask., and Swift Current, Sask.
C. E. Neill, general manager of the Royal Bank of
Canada, is at present touring western Canada. He will be
accompanied part of the time by Mr. Robert Campbell, super-
visor of the bank for the west.
Arthur Barry, manager for Canada of the Royal Ex-
change Assurance, recently returned from London, England.
Mr. Barry went to England a few months ago and while
there was present at the bi-centenary banquet of the com-
pany which was hsld at the Mansion House, London, on
June 22.
W. Moffat, general manager of the Imperial Bank of
Canada, is touring the west for the purpose of the inspection
of the bank's branches there, and other matters of import-
ance. He is accompanied by Dr. W. Hamilton Merritt, vice-
president of the bank, and Col. J. F. Michie, one of the
directors.
INDEX TO BUSINESS ACTIVITY .
Greenshields and Company's index to business activity
in May and June, based on bank clearings and gross railway
earnings, with 100 as the average for the same month in
1909 to 1913, is as follows:—
June
May
1920.
1919.
1918.
1909-13
238.8
188.3
165.5
100
239.7
200.1
168.9
100
WINNIPEG HYDRO-ELECTRIC SYSTEM
The annual report of the city of Winnipeg Hydro-
Electric System for the year ending April 30th, 1920, will
be found on another page of this issue.
A study of the report shows that the assets show a
gratifying increase of about $1,500,000 as compared with
the previous year. The number of consumers increased from
37,809 in 1919 to 39,877 in 1920, all of which goes to show
that the service which is afforded by the System is fully ap-
preciated by the citizens.
In spite of the fact that like all other public utilities
operating costs must have gone up considerably, the re-
port shows a surplus of |1S0,279 earned on the 12 months'
operations as compared with $52,881 the previous year.
Since 1918 there has been expended on development and
extensions the sum of $1,500,000, all of which has been
drawn from the reserve fund.
The recapitulation which follows shows that the financial
position of the System during the past year has been ma-
terially strengthened and reflects credit upon those who are
resnonsible for its management.
For Year
Ending
April 30. Total .\ssets.
1913 5 6,623,663.56
1914 7,847,501.39
1915 8,181,372.78
1916 8,630,710.80
1917 9,070,627.51
1918 9,535,173.11
1919 10,243,773.63
1920 11,763,354.28
Total Reserve.
$ 20,436.52
360,901.50
640,213.72
928,914.92
1,273,714.41
1,615,618.68
1,996,604.79
2,406,145.18
Gross earnings.
$ 545,644.18
867,621.47
976,347.50
995,511.37
1,020,480.25
1,056.281.88
1,097,196.99
1,279,469.41
August 20, 1920
THE MONETARY TIMES
The Sterling Bank
OF CANADA
A special feature of our personal ser-
vice is its value to business concerns
v*rho are rapidly expanding.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament. Estahliihid IS2S
Capital Subscribed ^5,000.000 S25,000.000
Paid up 1.100.000 5,500.000
Uncalled 3,900.000 19.500.000
Reserve Fund 1,000,000 5.000,000
Head Office - EDINBURGH
WILLIAM CARNEGIE, General .Manager. GEORGE A. HU.STER. Sec.
LONDO.V OFFICE— 37 NICHOLAS LANE. LOMBARD ST.. E.C.4
T. C. RIDDELL, DL'GALD S.MITH.
.Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, arc
retired on terms which will be furnished on application.
Bank of Hamilton
Quarterly Dividend Notice
A DIVIDEND of Three Per Cent.
(3''r>, together with a BONUS of One-
half of One Per Cent (^'i ), on the
Paid-up Capital for the three months
ending 3Ist August, 1920, has been de-
clared, and will be payable on the Ist
September, 1920. Dividend and Bonus on
New Stock will be computed at the same
rates, but in accordance with the terms
of issue.
The Transfer Books will be closed from
the 20th to 31st August, 1920, both days
inclusive.
By Order of the Board.
J. P. BELL,
General Manager.
Hamilton. 19th July, 1920.
The Standard Bank
of Canada
Established 1873 I5J Branches
Capital (Authorized by Act of Parliament! IJ.OOO.OOO.OO
Capital Paid-up »,SOO.00O.0O
Reserve Fund and Undivided Profits 4.727,328.90
Ol RECTORS
WlLLINCTOli PraIICIS. K.C. HlbERT LAHOUOIS
President Vice-President.
W. P. Allen. F. W. Cowan. T. B. Greening. H. Langlois.
James Hardy. P.C.A.. Thos. H. Wood
H«iD Office. 15 King St. West TORONTO. Otit.
C. H. EASSON. General Manager.
J. S LOUDON. Assistant General Manager.
SAVINGS BANK DEPARTMENT AT ALL HRANCHHS
The Dominion Bank
ESTABLISHED I''? I
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in .ill departments of Banking.
.Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
Bank of New Zealand
ESTABl-ISHK.D IN 1 Be I
Bonkcra to the New Zcniand Covprnfncnl
CAPITAL
P.id-Up C>piul (SI].2M.02«) ,ti Knmt F»4
(SI2.lt(.2SO) S 2S.«M.27(
UaJi<iJrd Prafili 211.011
Afiret.lr Au«u •! )lil Narck. IRt 2S7.SM.M4
Hend Officp:
WELLINGTON
NEW ZEALAND
H. BLCKLETON
General Managei
^1
MW
THK IIANK OP NHW /lAI.V.
AutUlard.WrU.nglon Chrislihurth l
place* in .New ;^ealand. atM> at Mr
(A«»'.>l<a> Kiivs and Levulia (I'l, i
Londnn.
The llanU hJs lacililin for tranaacKnc eierr deKnplion
ot Bankmic llusinass. It invilei iha e>laHI«limrr>l ol Won)
jnj other I'nxlute Cr»dil«. edhtr rn •Irrlinj or.lollaii. <riih
any n( It .\miI r;ilasian llranihc
LONDON OFFICE: I Qbmb Vicleri* SUeel. Maatioa Hoax, E.C .4
CHIEF CANADIAN AGENTS .
Canadian Bank of Commrrce
Bank ol Montreal
THE MONETARY TIMES
Volume 65.
Crops Holding Up Well In The West
Wheat Harvesting Will Be General Next Week — Manitoba and Saskatchewan Have
Already Commenced Alberta a Little Backward— Rust and Hail Have Done \ ery Little
Damage So Far, But There is Still a Possibility ot Reduction in ({uality From Those Causes
CROP conditions in the west are very satisfactory in view
of the weather conditions which have prevailed during
the latter part of June and nearly all of July, according
to the fifth crop report of the "Manitoba Free Press." The re-
port shows that in Manitoba wheat cutting is general at 22
points and will be general at the remaining 52 shortly ; 22 points
report average yields of IS bushels or better, many of these
quoting 2.5 and 30; the lowest yield mentioned is 8 bushels,
the highest 40, so the range is sufficiently wide; 45 points
need rain to finish filling late wheat and coarse grains, and
more than half these points report the need as urgent and
damage accruing fi'om the intense heat.
With regard to rust, it is reported present at 41 points
out of the 74; only ten points report any considerable dam-
age from it, only one point reports the damage serious. It
is evident the rust has come too late to be a serious menace,
but will take toll of the late grain.
Hail damage is very slight, as only one point reports
it serious and four as considerable. The query as to frost
w-as put in to satisfy a number of inquirers who were ap-
prehensive of some of the nights round the full of the July
moon. Every point in Manitoba reported "no frost." Coarse ■
grains are. a very mixed assortment and the returns as to
flax conditions not vei-y bright. Large numbers of har\'est
hands are needed, the greatest number for any one point in
Manitoba being 300. A number of points report that farmers
will not pay the wages asked and are managing amongst
themselves. This is possible to some extent this year as
crops are not all coming in together as they do sometimes.
Wheat Harvesting General
Wheat harvesting in Saskatchewan is general and 4G
out of 110 points report estimated averages of yield of 18
bushels and better. The highest estimate made is 30 and the
lowest three; in regax-d to rain it is wanted at 46 points
and practically all of them want it pretty badly for the filling
of late wheat and coarse grains; only IC points report rust
and of these 12 report considerable damage already,
especially to late wheat; a few points report rust on barley;
hail damage is slight and appears to be confined to small
areas in districts; one point reports slight frost damage.
Coarse grains are similar to Manitoba and run all the way
from very poor to excellent, but it is evident the oat and
barley proposition in Saskatchewan is still very largely de-
pendent on rain to help filling; flax is much in the same
condition, quite a number of points reporting flax seriously
injured by excessive heat. The demand for farm help runs
very high and runs all the way from 20 to 2,000 at one
point.
Wheat harvest will be slightly later in Alberta than in
either JManitoba or Saskatchewan, and will hardly be general
much before August 23rd. Estimate of wheat yield runs
from five to 40 bushels, but 30 out of the 39 points heard
from make the yield 18 bushels or better with the 25-bushel
crops well in the lead. Rain is badly needed, as 23 points
out of 38 indicate that unless there is more the shrink in
coarse grains will be serious. No rust is reported from any
point in Alberta. It will be remembered that in 1916, when
rust was bad in the other provinces. Alberta was largely
immune.
There is slightly more hail damage in Alberta th:>n in
the other provinces, though it is not very serious even there.
No frost. Conditions as to coarse grains and flax are very
similar to the other provinces. Demand for labor is large
and runs from 20 at one point to 1,500 at another.
All the provinces report winter rye as cut and in stock
and at a few points it is threshed. There is a lot of the
early barley cut and a small percentage of early oats.
On the whole, this is a mighty good showing on the
sample of weather which has been furnished. To a very
considerable extent the wheat crop is made as to quantity,
though there is still the possibility of reduction in quality
from heat, rust and hail.
Fall Wheat Yield
According to figures of the Dominion Bureau of Statistics
based on conditions as at July 31 the preliminary estimate
of the yield per acre of fall wheat for Canada is 23 >4
bushels, as compai'ed with 23% bushels last year and with
22^2 bushels, the decennial average for the period 1910-19.
The yield per acre is, therefore, % of a bushel over average.
The hai-\'ested area this year is 740,300 acres, as compared
with 672,793 acres last year, and the total yield, in- round
numbers, is 17 million bushels, as against 16 million bushels
last year. In Ontario the total yield for 1920 is 15,831,000
bushels from 688,300 acres, an average yield per acre of 23
bushels, as compared with 15,052,000 bushels from 619,494
acres, and an average per acre of 24.30 bushels last year.
In Alberta the yield this year is 935,000 bushels as against
640,000 bushels last year, the yield per acre being 24.60
bushels as against 15% bushels. In British Columbia the
yield is 357,000 bushels from 14,000 acres, as compared with
814,000 bushels from 12,699 acres last year, the respective
yields per acre being 25.50 and 34.75.
The total yield of hay and clover in Canada is estimated
at 1,2853,900 tons from 10,409,150 acres, an average per acre
of 1.25 ton, as compared with last year's record total of 16,-
348,000 tons. Of alfalfa the total" estimate is 388,700 tons
for the first cutting, as compared with last year's final total
of 494,200 tons.
Condition of Other Field Crops
For spring wheat the condition at the end of July has
fallen by 8 points as compared with a month ago, the figure
now being 92 per cent, of the decennial average, as against
100, or just average a month ago. The deterioration has
been caused by continued dry, hot weather during the earlier
part of July in Saskatchewan where more than half the
spring wheat crop is grown. In many districts, however,
good rains fell about July 22 or 23, just in time to save a
large proportion of the crops. The good effect of these rains
should be reflected in the next report. In Saskatchewan the
condition both for wheat and oats is 89, as compared with
100 last month and 73 at the end of July, 1919. In Mani-
toba the condition for spring wheat is 94 as against 103
last month and 92 on July 31, 1919, oats being 92 as against
102 in June and 92 in July, 1919. In Alberta spring wheat
and oats are 98, as against 100 for wheat and 98 for oats
last month and 70 for both crops in July last year. In
the other provinces the condition of wheat and oats is as fol-
lows: Prince Edward Island — Wheat 102, oats 94; Nova
Scotia — Wheat 96, oats 97; New Brunswick — Wheat and
oats 99; Quebec— Wheat 102, oats 105; Ontario— Spring
wheat 95, oats 105; British Columbia — Spring wheat 95,
oats 96. For all Canada the condition of other crops in
percentage of the decennial average is as follows, the figures
for last month and for July 31, 1919, being given in brackets:
Barley 95 (98 and 85) ; rye 95 (98 and 88) ; peas 102 (96
and 92) ; beans 103 (95 in 1919) ; buckwheat 101 (94 in
1919) ; mixed gi-ains 105 (99 and 89) ; flaxseed 93 (74 in
1919) ; corn for husking 95 (86 in 1919) ; potatoes 104 (98
and 88) ; turnips, etc., 95 (88 in 1919) ; fodder corn 86
(93 in 1919) ; pasture 96 (94 and 93).
August 20, 1920
THE MONETARY TIMES
AFRICAN BANKING
Corporation, Limited
(LONDON)
Paid-up Capital and Reserve, $6,800,000
Over 60 Branches and Agencies
throughout South Africa
Principal Branches located at Bula-
wayo, Bloemfontein, Cape Town,
Durban, East London, Johannesburg,
Kimberley, Port Elizabeth. Pretoria,
and Salisbury.
THE NEW YORK AGENCY
negotiates documentary bi:.
issues drafts and cable transl
a general banking business '.•,'■
branches of the Bank in South Atnca.
Correspondence invited from Canadian Ship-
pers to South Africa, and facilities offered for
the conduct of their business with that country.
Address the New York Agency
64 WALL STREET, NEW YORK. U.S.A.
HomeBankofCanadai
Government Bonds and Savings Stamps
There is a page in the Home Bank'i Thrih AccounI
Book (or enlerinB ihe date o( putcha»e, amoun- .,r '
interest dates on Government Bonds, War Slamj -
Savings Cerlificales. The (arm is very concise ai.. .,
preserve all the details (or ready reference. Ask lui .
copy of the Thrift Book. Dislrihuted free at all Branches.
Branches and Connectiona Throushout Canada
Head Office and Nine Branchet in Toronto
THE
Weyburn Security Bank
Chartered by Act of the Dominion Parliamenl
HEAD OHKICB. WKVUl.:K.\. SASKATCHKW A.V
Uranchks in Saskatchkwan at
Weyburn. Yellow (iriiss, .McTaggart. H "
CFrifiiii, CoJK.ite. I'aiiKinaii. Riulvillc. Assii
Verwood. Rtadlyn, Triliune, Kxpause. .Mos ,
Goodvvater, Dnnnody, Stounhtoii. Osiige, (.m-.ih.m miiI
Lewvan.
A r.KNKRAI. li.ANKING lU.SINKSS Tk.A.\S.\CTi:i)
H 1) IH)\VHI.L, General Mjn.tcr
TH€ MCRCHANTS BANK
Head Oft.ce: Montreal. OF CANADA Est ,hi. I. -I 1 fJ64.
Capital Paid-up. $8,400,000 RcterM Fund and Undiridrd Pro(il>. Sg.660.774
Total Drpoiili nOlk June. 1920) - Qvrr $161,000,000
Total Aiieli (30lk June. 1920) - Over $198,000,000
Board of Director* :
-IR H. MO.N'TAGU ALLAN Vice- PrcaidenI
Thomas Long
Sir Fredericic Orr Lkwis, Bakt
Hon. C. C. Baila-vtynb
F. Howard Wilson
FAROUHAR RODERTtON
Geo. L. Cains
ALrRKIi n KVAN»
1 IIOMAS AlUARN
I.T.-COL. J. R. MOOI'IR
A. J HAWt>
Hon. Loini C. Wervteh
R. W. Knekland
■ iORDON M McORI
General Manager D. C. Macaiuw
Supi. of Braocbei uid Chief Irupecior ; T. E. Mkrkctt
liencr.il Supervisor • W A MkldrL'U
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bankare the ties of service, pro-
giessivencss, promptness and sound advice.
393 BrancJicf in Canaiia, extending from the Atlantic to ibe Padiic
New York Agency : 63 and 65 Wall Street : W. M. Ramsay aniJ C. J. Crookall, AgeDti
London, England. Office, 53 Cornhill : J. B. Donnelly, D.S.O., ManaRtr.
Bankeri in Great Britain : The London Joint City & Vlidland Bank, Umiled, The Royal Bank of Scollaod
THE MONETARY TIMES
Volume 65.
Ontario Conditions
Weekly reports to the Ontario Department of Agri-
culture and summarized as at Au^st 17, 1920, reveals the
following results: —
The general success of the cereal crops is one of the
leading features of the season. Barley and oats are spoken
of by mo3t representatives as being worthy of being classed
as bumper crops, and the quality of both these grains is
well up to the standard. Unlike fall wheat, the spring
grains have plenty of straw. Waterloo speaks of some oats
standing between live and six feet high and as thick as they
can grow. Straw will be a most welcome commodity after
last year's scarcity. Grain cutting started in the New
Liske'ard district on August 4th on the Demonstration Faim,
where a field of O.A.C. No. 3 oats was cut that had matured
in seventy-five days.
Fall wheat is threshing out better than was expected
by some. Oxford reports, ranging from 25 to 35 bushels
to the acre; Huron states that some are threshing from 30
to 40 bushels to the acre, while Welland places yields as
running from 25 up to as high as 50 bushels to the acre.
As against all this there have been yields running as low
as 12 bushels in some parts of the province.
Sugar beets are likely to make a record for generous
yield. Just now all classes of roots are making rapid growth
under most favorable conditions. Potatoes will also give
good results. Prices have already gone as low as $1.25 a bag
in Grenville. ■ Essex remarks that while wet weather has
delayed threshing it has been good for the corn and tobacco
crops. Hay is selling in older Ontario at from $20 to $28
a ton, but Kenora reports that in the north as high as $50
has been paid, while at Dryden $30 a ton w^as given for
hay "right from the field." Dundas says that timothy kept
for seed is yielding well. Grey states that buyers have been
going through the county paying $15 a bushel for sweet
clover seed. One man there with seventeen acres has been
showing a stalk from a field seeded this spring that meas-
ures 3 feet 7 inches in height. Peterboro places the yield
per acre of sweet clover, in that county, at from 10 to 12
bushels per acre.
Apples are plentiful, especially the fall varieties. Went-
worth reports that the Hamilton market is being flooded
with early apples. Huron says that buyers are now offer-
ing $1.50"a barrel for apples under the tree. Peaches are
being marketed, and will be fairly plentiful. Lincoln states
tomatoes as being a glut on the market. Live stock
continue in good general condition owing to the favorable
state of pastures. As an exception, Prescott and Russell
reports a few young cattle lost from blackleg.
Waterloo says that a number of farmers are speaking
of buying stockers as there is going to be a good supply
of feed for carrying thom over winter, especially of silage
and spring grains.
The milk flow continues to be strong for the season;
Essex claims that it is practically as good as in June, but
Oxford states that many dairy cattle have about finished
their lactation period. Cheese sold in Glengarry during the
week at 25 %c. a lb. for colored and 26 '.sc. for white. Hogs
are being marketed steadily, many being rather light. Nor-
folk says brood sows are scarce.
In the counties where the Hessian fly appeared this
season there i.s a disposition to sow less fall wheat— or, if
not less, to sow later than usual. Elsewhere a normal acre-
age is likely to be put in, although a bigger area is expected
in the Port Arthur district. Middlesex says that farmers
will pay more attention than usual to the fields recently at-
tacked by the fly, by plowing down the affected wheat stub-
ble or burning it. Wentworth stales that the local farm
labor shortage is being further influenced by the western
farm excursions.
The "New British Columbia District Telegraph and De-
livery Co., Ltd.," has been formed to operate night watch
and fire alarm, burglar alarm, fire protection and other
services in the city of Vancouver. "Fire Patrols, Ltd.," is
amalgamated with the new concern, the organization of which
is the result of one or two serious fires in the city.
GROUP INSURANCE CONTINUES IN FAVOR
Business Not Heavy, but Several Important Contracts
Closed During Past Month
ALTHOUGH the group insurance business has not been
j>articularly heavy during the past month, several im-
portant contracts have been announced. The staff of the
Bank of Hamilton have been presented with life insurance
policies paid for by the bank under the group insurance plan,
covering practically everyone in their service, under which
those continuously in their employ for one year and over
are insured in steadily increasing amounts until the maxi-
mum amount of $3,000 is reached. This insurance, which was
arranged without cost to any of those covered, is, in addition
to the pension fund, covering aged and disabled members
of the staff, as well as widows and orphans.
Newfoundland Company Takes Policy
The Reid Newfoundland Company has covered all its
employees by means of a group insurance policy in the Sun
Life Assurance Company of Canada. This policy, amounting
to over a million and a quarter dollars, is the first to be
placed in any part of the British colonies outside of Canada.
The Reid Newfoundland Company has specially provided that
employees of the company who enlisted for service during
the late war will be given full credit for the time of their
service with the Empire.
Other Contracts
Insurance of all employees against death or total dis-
ability in amounts from $750 to $1,000 has been announced
by the Port Arthur Shipbuilding Company. Through a Cana-
dian company the shipbuilding firm has placed a group policy
on the life of each employee who has been in the employ of
the company for at least six month, is insured immediately
for $750, which amount will, on the completion of an addi-
tional six months of continuous employment from June 30th.
1920, automatically be increased to a maximum of $1,000.
Employees who have not yet been in the company's employ
for six months, and all futui-e employees, will receive insur-
ance for $750 six months from the day employed, which
amount will automatically be increased to a maximum of
$1,000 on the completion of an additional six months' con-
tinuous employment. This life insurance is available to everj'
employee, male or female, without physical examination
and in-espective of age. It is furnished by the company at
no expense to the employee, and does not, in any way, take
the place of any pajniient for accidents under the woi'kmen's
compensation law.
P. B. Yates and Co., of Hamilton, Ont., are providing
their employees with life insurance under the group scheme
amounting to from $500 to $2,000, according to length of
service. This insurance is entirely free from any expense
so long as the employee remains in the service of the com-
pany. An employee is entitled to the minimum amount after
six months' sei-vice. Jenkins Brothers, Ltd., Montreal, have
established a similar scheme.
MONTREAL STOCK EXCHANGE SEAT SOLD
A membership on the Montreal Stock Exchange was trans-
ferred on August 7th for the sum of $31,000, the seller being
the firm of Oswald Bros., and the buyer, Charles M. Black,
of the brokerage house of Greenshields and Company. The
price at which the transfer was effected represented a decline
of $5,000 from the last recorded transaction, which took place
early in the current year at $36,000, when the purchaser was
L. A. Wyse, of Thornton Davidson and Company. This was
the highest level ever reached in the histoi-y of the local
institution, although two seats were disposed of at that price
on the same day in January last. It was understood in market
circles that the membership involved in the latest trans-
action was one of the three held by the firm of Tliomton
Davidson and Company, both seller and buyer, it was stated,
acting in behalf of clients.
Augiist 20, 1920
THE MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
PAlLl Ul' CAl'lTAl.
RESERVE FUND ■
RESERVE LIABILITY oi- I'R( irKlKTORS
- 1 MII.ISHIU)
•jflSt.
AGGREGATE ASSETS 31st MARCH. 1920
Sir JOHN KL'SSELL FKBNCH. K.U.E.. Otncral Manxr
351 BRANCHES
s :;3,s-x,:.u(t.ou
lti,37j,OUU.0U
22,828.500.00
$ 64.032.000.00
$377,721,211.00
d AOENCI15S in the Australian States. New Zemland Fiji. Papua (New Guinea), and London. The Bank tranucu every deicrlDKnn
of Australian BankinK Uuiincvs Wool and other Produce Credits jrranjed. oeK^ipuon
HEAD OFFICE: GEORGE STREET. SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET. EC. 2.
HWK ()|- MOVTlil-AL. KOYAL HANK <il- CANAIlA
BUSINESS FOUNDED 1795
INCORPORATED IN CANADA 1897
American Bank Note Company
ENGRAVERS AND PRINTERS
BANKNOTES, BON DS. MU NICI PAL DEBENTU RES, STOCK
CERTIFICATES, CHEQUES AND OTHER MONETARY DOCUMENTS
Special Safciiuards Au.vi
!it Counterfcitinii Work AcicptAblc
Head Office : OTTAWA 224 Wellington St.
BRAXCIIKS
I Sto«:l< Exchontfca
George Edwards. K.C.A. Artiil'(i H. Edwarhs. I'.C.A.
H. Pekcival Edwards W. Pomeroy Morgan A. G. Edwardj
Chas. E. White T. J. Macnamara Thos. P. Gegcie
O. N. Edwards ]. C McNab
A L^ StKVKN> W. H. IH..M1-..N
C. PKRi V ROHKK I
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORO.NTO ..
CALGAR\
VA.NCOLVER
WINNIf'K(J .
MONTREAL
CORRESPONDENTS
IIAIJKA.X. N S
LONDON. KN(i
CANADIAN MORTGAGE BUILDING
HERALD BUILDING
LONDON BUILDING
ELKi IRIC RAILWAY CHAMBERS
McijILL BUILDING
.ST. JOHN, N.B. COBALT, ON I
NEW YORK. U.S A
F-STABLISHED Ih7
Alloway & Champion
Bankers and Brokers
Mcmbe.. o( Winnipeg Stock Ex^h.,
362 Main Street
Winnipeg
Stoi Ics ond Bondf bouKhl
and sold on commission.
Winnipeg, MontrcnI. Toronto and New York Exchanges
Succession Duties
in Ontario
The rates of Succession Duty having
been increased at the recent session
of the Ontario Legislature, we have
prepared a Booklet entitled "Succes-
sion Duties in Ontario." ] his Book-
l«"t contains schedules of the new
rates, together with a summary of the
main provisions of the Act. lo
readers of The Monetary Times we
shall be pleased to send a copy free
on request.
TORO/STOGEySERALTRUSTS
Corporation
Head Office - Bay and Melinda Slrccl*. Toronto
THE MONETARY TIMES
Volume 65.
THE OMAKIO INSL KANCE DEPARTMENT AND
THE FIELD MAN*
Insurance Organizations -Make Co-operation Possible — Some
Constructive Assistance Can be Given — Policy
ot the Department
By V. Evan Gray, M.A., LL.B.,
Supeririteiideiit of Insurance for Ontario
IS the special fields with which the Ontario Insurance
Department is concernetl, nearly every separate interest
is organized for the expression of the wishes of that inter-
est. These associations are a prolific source of suggestions
to the department both in the way of legislation and ad-
ministration. The department also submits to these associa-
tions any suggestions of its own in similar matters with the
purpose of testing out the practicability and advisability of
iiny plans it has in mind, and the department will feel sure
that, if its proposals have the concurrence of the organized
opinion so expressed, they will be of practical value to the
business.
I can assure you that the Ontario department intends
to make the utmost use of these associations. I therefore
urge upon you that you should make this association a
genuine and effective instrument by thoroughly discussing
here in your meetings any suggestions which a member has
to make for the improven:ent of the- business, or for the
adoption of new ideas in legislation, and that they be com-
municated to the general executive and made the subject of
a resolution to be forwarded to the department.
E\|)ansJon of Life Business
Brief reference must be made to the unprecedented
development in the volume of insurance business during
the war years. It is not for me to attempt to analyse the
factors that have contributed to this phenomenon. It is
sufficient to note its extent, and I will give you some figures
just received from life insurance companies which indicate
the amazing extent of this' growth: —
Total amount of business in force in Canada,
End of 1919 2,187 million
End of 1918 1,78.5 million
Gross new business written and paid for in cash by all com-
panies in Canada,
For 1919 524 million
For 1918 313 million
Increase, 67.45' r .
1919 new business was more than half total business in foi'ce
during the war.
Seven largest Canadian companies doing 759^ of total
Canadian business show: —
First five months, 1919 90 million
First five months, 1920 122 million
The Place of the Insurance Department
Some believe that the insurance department's duties are
restrictive in character, that the department is formed to
say what individuals and companies must not do. In part,
of course, this view is a correct one. Through its restraint
of improper investments by life managers, by insistence on
adequate reserves, by periodic inspections of the companies
to I-. ake certain they are solvent, by endeavoring to eliminate
the abuses of rebating, misrepresentation, extravagant
estimates, and so forth, and by prohibiting contracts of in-
surance which were not fair to the assured or to the com-
pany, the departments have served a great purpose and
done a great work. The fact that there has not been a
single life insurance failure in Canada at any time is an-
other evidence of the efficiency with which the departments
have supervised the life insurance business. But there is
another purpose of the governmental departments which is
*An address before the Life Underwriters' Association
of Hamilton, Ont., June 16th, 1920.
organizing for constructive work and for leadership in the
business. By co-operation with the companies and with the
field man, and with other persons interested in the business,
the department can assist in laying down lines of construc-
tive policy, it can open up new avenues of development, it
can assist in popularizing the business and in making even
more firm the confidence of the public in the business and in
persons who conduct it.
Federal and Provincial Administration-
Just in this connection I w'ant to say a word in ap-
preciation of the Department of Insurance at Ottawa. Great
credit is due it for its general attitude of co-operation to-
ward the business and the broad lines of constructive policy
which the officers of the department have been able to devise
and make effective. Possibly the field men know the depart-
ment best through the "Insurance Blue Book," but I can
assure you that its constructive influence in the develop-
ment of the insurance business has been tremendous.
Doubtless, many of you wonder at the existence of two
departments and the apparent duplication of i-esponsibility
resulting. It is too long a story to detail historically, but
it will perhaps be sufficient to point out that under the
provisions of the British North America Act, which is the
written Constitution of the Dominion of Canada and its
provinces, distinct fields of authority were intended to be
mapped out for the exclusive operation of the Dominion
and of the provincial parliaments. The Dominion govern-
ment has the authority to incorporate trading companies, in
fact, any company which has for its object matter's subject
to exclusive legislative jurisdiction of the Dominion or of
Dominion-wi.ie character. Under this authority the Do-
minion is empowered to create life insurance companies and
therefore necessarily to provide for the government of these
companies. On the other hand, in addition to having a con-
current jurisdiction for the creation and government of in-
surance companies, the province has, within its sole
authority, the regTjlation of matters of property and civil
right within the province. This enables the province to
legislate generally in regard to insurance contracts and in-
surance business, so long as that legislation does not encroach
upon the constitution or status of the Dominion company.
Licensing of Agents
An aspect of this matter which particularly concerns the
field man is the matter of licensing of insurance agents
and the regulation of the business of the field man. It has
been generally admitted that this is a matter within the ex-
clusive jurisdiction of the provincial legislatures, and there-
foi-e a subj'3ct for regulation by the provincial department
of insurance. The suggestion was recently made, however,
that the Dominion depai-tment of insurance should under-
take some responsibility in this connection, and a definite
proposal was recently made by the Dominion superintendent
of insurance that legislation should be enacted at Otta^'S,
requiring all agents who act for Dominion incorporated
companies, to obtain a license or certificate of approval from
the Dominion department of insurance. This suggestion has
occasioned much discussion among the field men. and quite
rightly so, because of its great importance to their business.
I think the objections to the duplication of authority and of
licenses are so obvious and so important that they were at
once appreciated by all life underwriters.
Service for the Fee Paid
There is a very direct and powerful link which con-
nects the field insurance man with the Ontario department
of insurance that legislation should be enacted at Ottawa
pocket authorizing him to conduct the business of an in-
surance agent, and the reciprocal part of the link is the fee
of three dollars which he pays into the department of in-
surance to secure this certificate. By this transaction the
insurance agent acquires a vested interest in the insurance
department, and the department is bound to provide a ser-
vice in return for the fee received. The licensing law has
two distinct purposes: —
August 20, 1920
THE MONETARY TIMES
SterlingTrusts Corporation
INCOME TAX PROBLEMS
Our folder entitled "Relief from Income
Tax Worries" is just off the Press.
We shall be pleased to mail you a copy
on request.
HEAD OfFICE-12 KING ST. EAST-TORONTO
Your Summer Vacation
can be made tree tioin woity in ic^'Td to business
which might otherwise be neglected, by ap-
pointing this Company to act as your Agent
during your absence. We will be pleased to be
commissioned to collect your rentals or other
moneys, make payment of taxes, etc., submitting
statement of all transactions.
Corre.sponJtru I' anj cnquina mvilcJ.
THE CANADA PERMANENT TRUST COMPANY
18 TORONTO STREET. TORONTO
THE ALBERTA TRUSTS COMPANY, LIMITED
FINANCIAL AGENTS
SlachanJStruU. Firclniurancc.clc. Real EiiattandFarmLanJt. I'nlualcn.tlc
Correspondence solicited
Union Bank Building Edmonton. Alberta
C. S \Vj
iidcnt
Ma
WESTMINSTER TRUST COMPANY
IhcUUK-t Provni.-i' Tr.;-! Lii!iir.ir.> n H ^
Head Office NEW WESTMINSTER. B.C.
GENERAL FIN\NCIAL AGENTS
4Jmlmhlr*fn, fi»eflr<fn. EK»nttn. i.itwt^Mttn. Aitigmma. Truauti
H A KIDDHLL, M:ir...Krr
J, A, THOMPSON & CO,
Government and Municipal Securities
»»e»trrn llunlrlpal. SfUiiol ami Sn«k«ielie«aii Kiirnl Trie.
Iihoiic *o. debeDliiret Hprrlnliiea In.
CORRESPO.NUENCH INVlTtl)
Union Bank Building - WINNIPEG
The
He
Security Trust
»d Office
Liquidilor, fruilec. Rec<
Admiaiitralor, Executor.
W M. CO^.NACHER
Company, Limited
C«lK«iy. Alberts
Slock and Bond Broken.
Gtncril Financial Atrnlt.
I^re» nnd Munjiiioit Director
To Fire Insurance Officials
and brokers the Monetary Times
is indispensable. For fresh and
reliable insurance news it is ab-
solutely unrivalled by any other
daily or weekly in Canada.
On account of the completeness
of its fire record it is of great use
alike to the underwriter and the
salesman in the field.
All other departments are equally
as complete as insurance and are
considered as authoritative in
their respective fields.
THE MONETARY TIMES OF CANADA
62 Church Street
TORONTO
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
A Newspaper Devoted to
Municipal Bonds
THKKl. IS piihlisiicJ in .New \ .m k City a Jaily
ami wfi-kly newspaper which ha*, for .ucr
iweiitv-tnc years been tJcMilCil to nioniiipal
bonds. Riinkcrs, bond dculcrs, invcslors and
public ofTuials consider it nti imthonty in its
field. MiinicipaliiicN consider it the lo^'cal
medium in which to .iniioimcc bond cfTcrinKs.
Writr far frrr tptrimrn rnpir,
THE BOND BUYER
67 Pearl Street
New York, N.Y.
20
THE MONETARY TIMES
Volume 65.
First — It intended to confine the business of life insur-
ance agencies and the receipt of commission for business
placed to those persons who were giving actual service to
the community in exchange for the commission paid. In
other words, it was intended to free the business from the
evil of the parasite and the rebater who has made the way
of every honest life insurance man a difficult and unsatis-
factory one.
Second — It was intended that the department should
exercise a form of supervision over the business of the in-
surance man in order that complaints made, either by the
public or by competitors, of fraud or improper conduct on
the part of an agent- in the way of splitting commissions,
or misrepresentations, or twisting business, should be enter-
tained by the supervising authority, and some remedy or
penalty imposed where the facts of the matter warrant it.
Now I submit that the degree of success with which the
department serves these two purposes in its administration
of the licensing law is the degree of justification for the
licensing system in the collection of the agent's license fees.
There is no doubt whatever that the very existence of this
licensing system in the province has been effective in
ameliorating the situation by preventing the payment of
commissions by insurance companies to persons who did not
have an agent's certificate. On the other hand, there is no
doubt whatever that its provisions have been abused, and
that licenses or agents' certificates have been issued to per-
sons who should never have received them. It is necessary,
tlierefore, for the department to establish in its administra-
tion a test as to the right of a person to receive an agent's
certificate of authority.
Qualification of Agents
That test is, that the agent must have given to the
applicant for insurance (that is to the public) real service
which entitles him to remuneration or commission for busi-
ness written. If a person is actually giving valuable ser-
vice to the public in the sale of life insurance, at expense
to himself either in time or in money, so that he has earned
his commission, then he is entitled to an agent's certificate;
but the man who gives no service, the man who wants to
receive a life insurance commission on his own life or on a
policy written on the life of a friend, has no right to re-
muneration or to a certificate. He is the man whom the de-
partment wishes to weed out of its lists of insurance agents
and to prevent from receiving a remuneration which pro-
perly belongs to some other lijgitimate insurance agent who
has (ione the work and is giving his services to the com-
munity.
You will be int<?rested to know that at the time of my
appointment as superintendent of insurance, Dr. Frank
Sanderson, F.I. A., F.A.S., was appointed consulting actuary
to the department for the purpose of advising the depart-
ment in all matters affecting its reconstruction. In general,
he has that breadth of vision and matured, judgment which
only high intellectual attainments and wide business ex-
perience can give. It is unnecessary to assure you that
these talents will be of splendid value to the department in
its roconsti-uction problems.
As you probably know, it was only on the first of
February last that the reorganization of our department
was effected, but I can already report to you some changes
that have been made in the practice of the department and
in legislation.
Clearing the Field of Unlicensed Agents
In the first place, we were advised that many persons
cany on insurance business and receive commissions for
business written who do not hold a certificate of authority
from the department. This condition has certainly been due
in part to laxity in the department, and for that reason
we do not think it is fair to begin our administration by
strict enforcement of the penalties provided by the On-
tario Insurance Act for this infringement. It seemed only
right and proper such person should be given an op-
portunity to correct this failure before prosecution is begun
or penalty imposed. Our first proceeding was to carefully
review the lists of agents who had certificates in other years
and to make a sui-s^ey of these to see if any had, by inad-'
vertance, omitted to renew their certificates. We next ap-!
proached the insurance companies and secured their co-
operation in completing our lists of agents. The companies
have promised to send to the department a complete list of
all persons to w'hom they paid commissions on insurance
business in the past year. When these lists are received they
will be checked up wath the departmental list, and anyone
who does not now' hold a certificate will .be given an op-
portunity of making application in the regular way, or, in the
alternative, of being prosecuted for carrying on business
without a license.
In connection with this same work, we are endeavor-
ing to ascertain how general the practice has been of issu-
ing a certificate or license to a person who vmtes only a
single risk, in respect of which he has some special influence.
Changes in the Licensing System
Two very important changes were made at the last ses-
sion of the legislature. The first was the elimination of all
firms, partnerships and corporations. This will do away
with the piactice heretofore in vogue of having business
written through the name of a firm holding a single license
for ma7iy agents in order to escape payment of the license
fee, and further, it will give the department an opportunity
to better control the operations of the individual 'agent by
threatening cancellation of his license upon charges of im-
proper conduct. Most important of all, it will enable the
department to insist on personal qualifications and train-
ing for an insurance agent before license can be issued or
he can commence business.
The second of these changes was the division of the
agents' license into three classes.
In future separate licenses will be issued for life insur-
ance business, fire insurance business, and casualty insur-
ance business, with provision made for the inclusion of a
single class in two or more divisions if its special character
requires; for example, automobile insurance will probably
be included in both the fire and casualty business. The pur-
pose of this change is obvious and largely the same as that
before mentioned — namely, to enable the test of personal
qualifications to be applied as a condition precedent to the
issue of an agent's license.
No Increase in Fee for Life Men
This division of licenses indirectly affects the amount
of fee which an agent will have to pay for his license. The
fee remains as heretofore ?3 for each certificate, but the
man who wishes in future to do more than one division of
the insurance business, for example, who wishes to do all
three — life and casualty business — will be required to pay $3
for each of these licenses, making 59 in all. The matter
of the fee to be paid by the life insurance agent has been
a matter of great discussion in the departments. Very great
pressure was brought to bear to have our department re-
commend the legislature to increase the amount of the in-
surance agent's fee, based on the belief that an increased
fee would prevent many persons who had no right to an
insurance agent's license from applying, and so help clear
up the objectionable practice of the present time.
In answer to these representations, however, the de-
partment returned a negative answer, because we believe
that there was a difference of opinion amongst the agents
themselves, and because we believed that the purpose that
they had in mind might be accomplished by a more efficient
administration of the license law. A more careful scrutiny
of applications for licenses and the careful investigation of
complaints received from time to time should be effective
in clearing up the situation and, until such time as the im-
proved administration proves ineffective for this purpose,
we have decided that there should be no increase in the
license fee. I may say that there is liktly to be an excep-
tion in the case of the fire insurance agency, and one of the
department's reasons for the division of the insurance
licenses into the three divisions was to make possible dif-
ferentiation in the amounts of the fee charged for ^he fire
business.
Aug-ust 20, ly^o
THE MONETARY TIMES
Accumulate an Estate
Are you tempted to dispose of your Victory Loan Bonds in trjdi
for speculative securities >
Before doing so. look jnlo the advantafes of a LIVING TRLST
agreement with the Union Trust C'otnpany. lini'ted Vou m»y usv
your bonds as a nucleus, and thus ensure your Wife's and Kiddiei
comfort ard happiness.
Write for omt \x«hUt "Liri'ig Truils.-
Union Trust Company, Limited
HENRY F. COODERHAM. Prciident
TORONTO - - Cor. Richmond and Victoria Sis
WINNIPEG. MAN. LONDON. ENGLAND
•% <m Savings- WiOidTiivrablc by Chtrjve f.<
When selecting a Trust Company as an Executor
choose one whose fixed policy is to give
FINANCIAL ASSISTANCE
To Estates being administered by it.
CAPITAL, ISSUED AND SUBSCRIBED . .Si. 171. 700.00
PAID-UP CAPITAL AND RESERVE 1.172.00000
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE : WINNIPEG. CAN.
HRANCHBS :
rncorjjorei'tdd
'Mi^^^
Branch* J
Through .Jut
THE MOLSONS BANK
Capital and Reserve ■ $9,U00.U00
OVER 130 BRANCHES
BANKING ABROAD
Exportert. secure truiii uscxcclleiu ser-
vice for their operations in Europe
and elsewhere.
Our correspondents in Great Britain
and on the Continent are as follows:
England: London County, Westmin-
st( r and Parrs Bank, Limited
Ireland: Munster-Leinster Bank,
Limited
France: Societe Generale
Belgium: La 3anque d'.\nvers
Head Office - Montreal, Canada
[■'. C PRATT. General Manager i
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents tor invesliiieiit i:i all cI.ism-s <:•( Seen::'
Business Agent for the R. C. Archdiocese of Vancouver.
Fiscal .\gent for B. C. Municipalities.
fnquiritM Incited
l.i-nrral VtannKT 1 1, nl.-l ol. «.. II. IIKUKdl.
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Mnn.
Acts ai Executor, Adminiilralor, TrnsUe. CnsrdiaD, Liqaidalor
AtsifBce, aod in anjr otbcr fidaciarj capacit/.
I )fficial Adniinislrntor for the Northirn Jiidicinl
district and the Dauphin Judicial Iiislrict in
Manitoba, and Official .Xssignee for (lie Wt-.ilcrn
Judicial District in Manitoba anil tht- Swift
Current Judicial District in Saskitchrw.m
Branch Office
Swift Current, Saskatchewan
JOHN R LITTLE. Managing Dire, t.r
THE BANKERS'
TRVST 0OME\NY
Head Offices: MONTREAL
Authorized Capital $1,000,000
PretiJcnl ■
-SIR H. MONTAGU ALLAN. C.V.O
yicfPretiJcnU ■
A J. DAWES D. C. MACAKO'V
JAMES ELMSLY - Ccnera/ .W«n«»<f
C. D CORNELL - - 5ccfe(«ry
D<r«clorat
Sit H. MofUaau Allan. I D G. Kippn>
r AKearn C V O W. B Lench
T r M.
. AK,
G. L C«n.
A. J. D.we.
A. B. ETan>
r)av<d N. C. Hon
) M. Kilbouin
S, F Off Lewi.. D.i
Thorn, Lnna
D C. Macarow
W A Meldrum
F. L Meredxh. K.C.
Offices nowropenin Monlreal. >X'innipcg.
Calgary. St. John. N B., Halifax, Rrgino.
Vancouver, \'ictriri,i and rntonin
Premiin in Merchanli B«nlc Building in rich cily
THE MONETARY TIMES
Volume 65.
Insurance Companies Secure Dominion Licenses
Licenses Have Been Issued For That Purpose— Northwestern Mutual Fire Presents
New Policy in the Dominion For the First Time— Employers' Liability to Extend Scope
DURING the past month or more six companies, which are
not already doinK business in Canada, secured Do-
niTnion licenses. The Hartford Live Stock Insurance Co.
was authorized to transact the business of live stock insur-
ance. The Lumbermen's Mutual Casualty Co. was authorized
to transact the business of automobile insurance. The
Western Mutual Life Association was authorized to tran-
sact the business of life insurance. Various classes will be
written by the Hartford Accident and Indemnity Co., includ-
ing accident, automobile, burglary, guarantee, live stock,
plate glass and sickness insurance.
Northwestern Mutual Fire Association
License has been issued to the Northwestern Mutual
Fire Association, of Seattle, Wash., to transact business in
Canada, and Mr. Norman S. Jones, of Seneca Jones and Son,
Hamilton, Ont., has been appointed chief agent for the Do-
minion. A feature of the company, Mr. Jones points out to
The Moncliiry Times, is that it offers for the first time in the
history of Canadian insurance a policy which is non-assess-
able and carries a participating feature conditionally. Never
before has a non-assessable, participating policy been issued
for fire insurance in Canada. In fact, the Northwestern
Mutual is the only company t"hat issues such a contract in
the United States. Their office is the largest mutual or-
ganization in the United States and has more assets in pro-
portion to liabilities than any other stock company in the
United States.
"The first efforts of the company," says Mr. Jones, "are
directed towards inspection and fire prevention. Business is
done direct with the owners of the property, no agents being
employed. Business is selected and accepted only after in-
spection. The standard rates of insurance are charged and
after expenses and losses are paid and a small appropriation
made for reserve, the balance is returned to the policyholder
at the end of the policy year. The company has been in
existence for practically twenty years and the annual refunds
on the various classes have amounted during the last few-
years to from 2.5 to 40 per cent. Needless to say, in view
of the strength of this company, if a risk can measure up to
the standard accepted by the company, insurance cost is very
greatly reduced."
Grain Insurance and Guarantee
A Dominion license, authorizing it to write insurance
in Canada, has been received from Ottawa by the Grain In-
surance and Guarantee Co. This concern, which has just
been organized by the grain trade, is to write insurance and
bond.s of all kinds for the trade. Its officers anticipate that
within a short time it will handle practically all the insur-
ance of the trade in western Canada. The company, with
an authorized capital of $.'?00,000, has opened offices in the
Paris Building, Winnipeg, Man. R. T. Evans is president;
W. H. McWilliams, vice-president and A. Thomson, secretary.
The Insurance Underwriting Co., Ltd., a Manitoba cor-
poration which has received letters patent from the provin-
cial government under the Manitoba Companies Act, is to act
as manager of the Grain Insurance and Guai'antee Co. The
underwriters soon will have a corps of inspectors on the
load inspecting the country elevators throughout the west.
Other Licenses
The National Provincial Plate Glass and General Insur-
ance Co., Ltd., has been authorized to transact in Canada
the business of fire insurance, in addition to plate glass in-
surance, for which it is already licensed.
License has been issued to the American Central In-
surance Co., authorizing it to transact in Canada the busi-
ness of fire, automobile, explosion and tornado insurance.
This replaces a previous license for fire, hail and tornado in- 1
surance.
The Columbia Insur£>nce Co. has been licensed to transact
in British Columbia the business of fire insurance. Provincial
head office is at Vancouver. F. W. Rounsefell, of Ceperley,
Rounsefell & Co., general agents. Winch Building, Van- ;
couver, is the attorney for the company.
The Railway Passengers Assurance Co. has been licensed
to transact in British Columbia the business of fire insurance.
Provincial head office is at Vancouver. P. H. Grant, branch
manager, Vancouver, is the attorney for the company.
The Wawanesa Mutual Insurance Co. has been licensed
to transact in British Columbia the business of fire insurance.
The- head office of the company is situated at Lumby, and
Albert Quesnel, w-hose address is Lumby, is the attorney for
the company.
The American Central Insurance Co., which already
writes fire, hail and tornado insurance in the province of
Quebec, has amended its license to include the following
classes: Fire, automobile, explosion and tornado insurance.
W. H. Mackenzie, Montreal, is chief agent for the province.
Insurance Notes
By the acquisition of the Clerical, Medical and General
Life Assurance Society of London, Eng., the Employers' Lia- '
bility Assurance Corporation is now in a position to cover
all classes of insurance. The Clerical, Medical and General
is an old and well-established company, having been founded
almost one hundred years ago and having assets of nearly
$40,000,000. While the provisional agreement by which the
company is to be absorbed by the Employers' Liability As- .
surance Corp. has yet to be sanctioned by the shareholders,
it may be taken for granted that the arrangement will be ■'
confirmed.
The National Benefit of London, Eng., which has hitherto
limited its business to fire insurance in .the province of Brit-
ish Columbia, is extending its operations to all the provinces,
excepting New Brunswick. An additional license is also
being taken out for hail insurance. The company is working
its Canadian business through general agents. Messrs.
Black and Armstrong, Winnipeg, have been made western
managers and have the four western provinces in their con-
ti-ol; Messrs. Reed, Shaw & McNaught, of Toronto, are the
general agents for Ontario; A. M. Jack & Son, Halifax,
are general agents for Nova Scotia; and the Prudential
Trust Co., Montreal, for the province of Quebec.
Messrs. Dale and Co., Montreal, Que., known throughout
Canada as one of the largest firms of insurance underwriters,
announce the opening of a new' branch office in St. John's,
Newfoundland. For many years past, C. W. G. Tessier, of
St. Jolin's, has been acting as marine agent for the company,
which has now taken over his insurance business, as from
August 1st. Mr. Tessier becomes manager of the branch,
jointly with O. P. Jones, who has been in the head office at
Montreal during the past few years, prior to which time he
was with the Toronto branch. This makes the fourth branch
office of the company, while an associate office, Dale and
Oliver, Ltd., maintains their interests in the city of Quebec.
The Maryland Assurance Corporation has notified the
British Columbia department of insurance that it has ceased
to carry on business in the province and has reinsured its
outstanding contracts with the Maryland Casualty Co. The
licence to the company under the insurance act has. there-
fore, been withdrawn.
August 20, 1920
THE MONETARY TIMES
INVEST YOUR SAVINGS
in a ^y^% DEBENTURE of
^ The Great West Permanent
O 2 /) Loan Company
' SECURITY
Paid-up Capital $2,412,578.81
Reserves 964,459.39
Assets 7,086.695.54
INTEREST
RETURN
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Calgary,
Edmonton, Vancouver, \'ictoria ; Edinhiirf{b,
Scotland.
IT IS A MISTAKE
lucarrv much morn-v nn vour [).•l^...^ 0(i,'ii .. .tcpoMi account .ind
pay by cheque. Sot only will your funds be .ibsolutcly safe and
available at any time vou may require them, but by having your
account with this Corporation you will enjoy the adrantages of our
excellent service and our experience of over 5ixtv-five years lo dealing
with many thousands of depositors. Interest at
THREE AND ONE-HALF
per cent, per annum will be added to your account and compounded
twice each year.
Canada Permanent Mortgage Corporation
TORONTO STREET TORONTO
Establiahed 1855
Long before Dominion Day wa» a Legal Holiday
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
Masonic Temple Building, London. Canada
Interest at 4 per cent, payable half-yearly on Debentures
T. H. PURDO.M. K.C.. President NATHANIEL MILLS. Manager
The Hamilton Provident & Loan Society
Head Office, King Street. Hamilton. Ont.
Capital Paid-up. Jl,200.000. Reaerve Fuad and Sarplu»
Profits. Jl.280.670.69. Total Asaets. J4.764.8I9.21.
TRUSTEES AND EXECUTORS are authorized by Law to inveat
Trnat Funds in the DEBENTURES and SAVINGS DEPARTMENT
of this Society.
GEORGE HOPE. President D. M. CAMERON. Treaanrer.
^"^ Ontario Loan
& Debenture Co.
LONDON iNioKPORATED ISTii Canada
CAPITAL AND Unopvidbd Profits $3,9ij<i,000
SHORT TERM (3 TO 5 YEARS)
DEBENTURES
'2/o
5
YIELD INVESTORS
5
10.
2
0
JOHN .McCLAKY. President
A M. SMART. Mnnaser
/^\'ER 200 Corporations,
^-^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five j'ears.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Office, No. 13 Toronto Street
Cipital Account. KKil.-VlO.OO Reserve Pund. l»8:o.mH
■ Total Assets. Si:i.-Ji9.I.%4.«6
President. WELLINl, TON KRA\CIS. E»q.. K.C.
Vicc-IVe^idcnt. HEKHBRT LANOLOIS. Esq.
Debentures issued to pay 5... a Leual lnve*tnienl for Trust Funds.
Deposits received at 4 ' ,. interest, withdrawable by cheque.
Loans m.lde on improved Real Btt.itc on favorable terms.
WALTER GILLESPIE. Mnnager
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
Particulars on application.
The Canada Standard Loan Company
520 Mclntyre Block. Winnipeg
Port Arthur and Fort William
Realty Investments
Inside City and Revenue Producing Property.
Mortgage Loans Placed.
Write US for illustrated booklet descriptive of
the twin Cities.
GENERAL REALTY CORPORATION, LIMITED
Whal*n BuiMing, PORT ARTHUR, Ontario
IRON MINE
FOR SALE
COUNTY OF RENFREW
Neor Peril.
I or lull pBrticuUrs. teporl of a«i»y. etc., apply
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAY and MELINDA STS. TORONTO
THE MONETARY TIMES
Volume 65.
BUILDING PERMITS INCREASE IN JUNE
QUEBEC'S SURPLUS OVER BULLION DOLLARS
BUILDING permits issued in fifty-five cities showed an
increase during June as compared with the preceding
month, the total value rising from $12,155,8'?9 in May to
$13,295,041 in June, an increase of $1,139,162, or 9.4 per
cent., according to figures of the Department of Labor, which
are given below. Ontai-io, Saskatchewan and British Col-
umbia reported decreases in this compariron, that of .$887,137
in Ontario being the largest. On the other hand, Nova Scotia,
Quebec, Manitoba and Alberta i-eported increases, those in
Quebec and .Manitoba of $1,165,655 and $813,786, respectively,
being the most noteworthy.
-A-s compared with the corresponding month in 1919,
there was an increase of $5,717,695, or 75.5 per cent., the
value for June, 1919, having been $7,577,346. In this com-
parison Saskatchewan alone reported a small decline in the
value of the permits issued. In the remaining provinces large
increases were recorded, that in Quebec of $2,483,568 being
the most substantial.
DliPAKT.MENT
OF LABOUR
rlGUKES
Nova Scotia
•Halifax
New CjlasRow.
'iydney
Krcdcricu
' \loncton .
• St. John .
.-}■
OUBBEC
•Montreal.
Uaisonneuve.
•Ouebec
Shawinigan Falls.
•SherbrooUe
Three Rivers
•Westmount
Ont
IcviHe
• Brantford
Chatham
•i^ort William.
Gait
•Guelph.
' Hamilton
•Kiniislon
* Kitchener
NiaBav.i Faiis!
sha
• )tt;i
Owen Sound
•Peterhorc
•Port Arth
•Strattiird
•St. Caiha
••«t. Thorn
gh.
Saull Stc. Ma
' Toronto
Wclland
•Wind.-ior ..
Woodstock .
•Brandon..
St.Bonifac
•Winnipeg
SARKATCHP.WA
• Moose Jaw.
•ReRina
•Saskatoon
British Coi.unniA
•New Wcstminsit
Point r.ny
Prince Rupert .
South Vancouvc
•Vancouver
•Victoria
Total-M cities.
•Total— S,s cities
.May
June
June
\\)'M
1920
1919
s
*
s
565,607
615.6;«
290,390
431,845
489,435
224.290
26.800
5.300
1.870 •
106.%:^
r20.900
64,230
154.205
403.460
210.170
6.000
26.9.S0
19.,500
120,005
163.210
180,870
28,200
213.300
9,.SC0
2.457.028
3.622.683
1.139.115
I.66S.6S8
2.440.935
731.1417
S34.9()0
332.990
177.993
26.000
17.000
10..S00
102.430
639.70:t
21.800
99.365
72..W0
85.965
228,675
119,475
111.440
6,2l4.72;f
5.327.586
4.380.099
9.600
Nil.
40.600
94,450
97.873
34.630
55.610
24.025
10.575
90.745
■24.480
275.200
56.955
25.750
24,400
65.295
46.035
103,744
521.250
452,775
266.830
42.465
139,770
72.770
.i8.345
254.620
145.950
266.685
174,340
163.615
73.500
23.100
45.460
139.560
132,726
165,710
,'M9.49n
224,600
856,400
20.000
10.675
3,500
6.IW5
31.660
6,760
18.055
7.044
5.398
.59.388
52.782
28.716
46.467
127.224
57.915
26.340
38.810
13.670
92.450
9:i.%6
68.224
158,'iW
292.790
261.870
3.133.605
2.6.56.193
1.379.087
112.425
30.775
.58.950
441,825
342.29(1
279.175
75.363
•23.283
I0.9MI
.579.aW
1.392.845
38.660
14.674
26.075
3,840
.12.985
l:«),320
■ 11.920
531. 40U
1, 2:16,450
2'2.900
.570.2.55
322.825
362.0.50
149.630
98.035
37.625
324.675
158.900
192.200
95.950
65.8!<0
132.225
891.460
1 1.066.796
874,080
436..5nO
' 494.900
381.000
426.075
544.075
306.285
28,410
12,5.50
2K.9US
475
1 15.271
159.890
723.S4S
1 S4.3.21I
282.782
2.130
1.825
1.400
24.050
.-8.400
8.575
196.800
17S..545
101.4.13
180.415
11.6.55
51.800
42.795
32.606
31.674
226.467
236.6.10
62.921
.5t.WlS
S3..M0
2/.979
I2.I.V5.87«
13.295.04
1 7.577.346
10.8I9,S.5(
12.2IO.S.'tS
! 6.470.215
Revenue for Year Ended June 30th, 1920, Was $26,529,861,
and Expenditure 825,302,924 — Funded Debt is $38,-
531,751 and Temporary Borrowings 85,778,661
ACCOUNTS of Quebec province for the year ended June
30th, 1920, show a surplus of $1,226,937 for the year.
The total funded debt is $40,708,113, against which there is
a sinking fund of $2,176,362, leaWng a net funded debt, in-
cluding increase of capital by conversion, totalling $38,531,-
751. there are also temporaiy liabilities amounting to
$5,778,661 as follows: Temporary loans, $5,000,000; teachers'
pension fund, $241,582; Protestant council of public instnic-
tion, $43,336; and security and trust deposits, $493,742.
Surplus on Current .Vccount
Ordinary receipts totalled $14,472,650, including the fol-
lowing pi-incipal items: Dominion -subsidy, $2,028,162; lands
and forests, $3,033,587; mines, fishei-ies and game, *681,582;
justice, fees, etc., $619,995; licenses, $1,554,079; taxes on
commercial corporations, $1,581,759; succession duties, $1,-
786,930; motor vehicle law, $1,180,725. To the ordinary
revenue is added receipts from temporary loans, $5,000,000;
loan under 10 Geo. V., cap 3, $6,524,700; trust funds and
deposits, $445,983, and other items, bringing total receipts
up to $26,529,861.
Ordinary expenditures were $13,520,740, leaving a sur-
plus or ordinary account of $951,910. The larger expendi-
tures were as follows: Public debt, $2,029,721; administra-
tion of justice, $1,299,063; public instruction, etc., $1,673,-
561; roads, $1,336,366; lunatic asylums, $1,017,946; civil gov-
ernment, $809,097; agriculture, $887,400; public works, $758,-
205; charges on revenue, $618,665; lands and forests, $566,-
000; and legislation, $562,986. Other payments were $6,000,-
000 for redemption of public debt, $1,000,000 for payment of
temporary loans, $3,413,108 under the Good Roads Act, 1912,
and $408,904 for trust funds and deposits. The total e.xpen-
diture was $25,302,924.
DUTCH LOAN COMPANIES AMALGAMATE
An amalgamation has taken place of two mortgage com-
panies, both working in Canada — viz., the Netherlands Trans-
atlantic Mortgage Co., of Amsterdam, Holland, whose man-
aging directors are L. D. Fortuyn and J. Mees, and of the
Rotterdam-Canada Mortgage Co., of Rotterdam, Holland,
whose managing directors are F. H. Wachter and W. J. van
Suylekom. The Netherlands Transatlantic Mortgage Co. has
its Canadian head office in Winnipeg, under management of
L. n. P'ortuyn, and the Rotterdam-Canada Mortgage Co.
worked through the intermediary of the Standard Agencies
of Calgary.
The new company to be formed in Holland will be called
the "United Transatlantic Mortgage Companies." The Euro-
pean office will be in Rotterdam, Holland, and the managing di-
rectors are L.D. F.ortuyn.F. H.Wachter and W.J. van Suylekom,
whilst J. Mees, one of the former directors of the Netherlands
Transatlantic Mortgage Co., is retiring from the manage-
ment and will take a scat on the board of control in Holland.
The Canadian business will all be centralized in Winnipeg
under the management of L. D. Fortuyn, and for this purpose
a Canadian company will be formed, which will look after
the interests of the United Transatlantic Moi-tgage Com-
panies. The authorized capital of the new company is $2,-
000,000, of which $1..300,000 is issued and fully paid up, whilst
the total amount of debentures issued amounts to $9,600,000.
Both figures represent a total investment in mortgages in
western Canada of nearly $11,000,000. The United Trans-
atlantic Mortgage Companies are the largest Holland com-
pany operating in Canada, and the largest but one in Holland,
operating in foreign countries.
August 20, 1920
THE MONETARY TIMES
^liiiiiiiiiiiiiiiiMiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiniiiiniiMMiiiiiiiiiiiiiMiiiiiiiiiiniiiiMiitiiiiitiiiMiiiiiiiiiiiiiiiiiiiiiiiniiiiiiuiiiiiiMiiiiiiiiiiiiiiiiiu
I CHARTERED ACCOUNTANTS \
^iiiiiiiiiMiiiiitiiiMiiiMiMiiiiiiiiiiiiiiiiiiiniiiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiitniiiiiiiiiiiiiniiiiniMiiiiM
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OKKICES AT
EdmODlon - Alberta
Toronto • - Ont.
CHARLES D. CORBOULD
Ckarlertd Accoootutt and Auditor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipes
Correspondents at Toronto. London. Eng, .
HARBINSON & ALLEN
Chartered Accoui\lanli
408 Manning- Chambers
TORONTO
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Bank of Tc
LONDON
ito Chambers
ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
W. A. Henderson & Co.
Chartered .Accountants
S08-S09 Electric Railway Ckambcrs
WiDoipes, Man.
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 Kin; Street West - TORONTO
AND AT:
HAMILTON
WINNIPEG
CLEVELAND
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
SOS ConfederatioD Life Building
Winnipeg
SERVICE
Thome, Mulholland, Howson & McPherson
3420
CHARTERED ACCOUNTANTS
FAC70I.V Costs am. pBotii-CTios
Bftnk of
Hamilton BIdg.
TORONTO
Hubert Reade
& C(
)nipany
Chartered Ac
Auditors
. Etc.
>
407 408 MONTREAL TRUST
WINNIPEG
BUILDING
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Main 7014
LUMSDEN BUILDING - - TORONTO, CANADA
RONALD, GRIGGS & CO.
RONALD. MERRETT, GRIGGS & CO.
Winnipef, Toronto, Saskatoon. Moose Jaw,
Montreal, New York, London. En|.
CLARKSON, GORDON & DILWORTH
Chartered Accountnnta. Trustee*.
Recevers. LiQuidatorn
Merchants Bank BIdg.. 15 Wellington Street We.t Toron
shid 1H64
F. C.S.TURNER &C0.
Chartered Accountant*
TRUST & LOAN BUILDING, WINNIPEG
Your card here would ensure il hn«( ^ee« »» ihr pr.ncpai
financial and commercial inlerests ... Canada.
-Uk about special r,,lr^ f'.r this pate
l< Uilh.ii.i~nn L' A . J D Wallace. C.A.
-V J WilU.r.CA H \. ShiJCh C.A.
RUIHERFORD WILLIAMSON k CO.
C'uirtercd Accountanlt. TruHtet and
Li^uidiilort
M AnauilPi; STREIT Ea»t, TORONTO
M4 .McOiLl. BuiLniKO. .MONTREAL
Cat-le Addr««»-" WILLCO."
Repre»cntcd at Halitax. St. Jotin. WinnipeK.
26
THE MONETARY TIMES
Volume 65.
CONTUACr KKLATING TO MANAGEMENT OF ESTATE
Security Trust Co. Obtained Judgment .Vgainst E.\ecutors of
Estate Who Are Held Kesponsible for Payment for Services
EXECUTORS are personally liable on their contracts so
long as they have no relation to some obligation of the
testator, according to a decision of the Alberta Supreme
Court on April 22nd last. The case was that of Security
Trust Co. vs. Wishart, in which' the facts were that the com-
pany obtained $15,000 for services rendered Mrs. Wishart
and William Breckenridge, two of the executors of the will
of the late John Breckenridge. The two executors had
made an agreement with the trust company whereby the
company was to act as their attorney and agent whenever
they might be absent from the jurisdiction. The agreement
then witnessed that the trust company was to receive $250
per month for its services and that some question might
arise later as to what extent such compensation might be
chargeable against the estate. A later clause then set forth
that in the event of Mrs. Wishart not receiving $300,000 and
her daughter $75,000, or any legacies being diminished by
reason of payments to the trust company, Mrs. Wishart was
to be "personally liable for such proportion or amount of the
said trust company's remuneration, as may be disallowed by
the court on the passing of the accounts of the said estate,"
provided that if William Breckenridge received more than
$5,000, "he shall to the extent of such excess contribute in
equal shares with the said Irene Breckenridge (Mrs. Wishart)
to such remuneration of the said trust company as may, on
the passing of the executors' accounts, be disallowed by the
courts."
This agreement was signed by the above two executors,
but not by the third. The will of John Breckenridge pro-
vided that William Breckenridge and Mrs. Wishart would be
amply compensated for their services by the legacies they
would receive and that the third executor who was to look
after much of the detail was to receive $250 per month,
which he has received. At first it was thought that there
would be a surplus, but it later developed that there was
hardly sufficient to pay the debts in full. His Lordship's
fici-isiiin is briefly: —
Ihouitht Expenses Would Come From Estate
"The parties all thought the estate was not only solvent
but very rich. Hence the idea of much personal liability
was not very prominently in their minds. Mr. WHshart
agreed that what she had indemnified William Breckenridge
against would come out of her share of the estate. They
were really all thinking th^t everything would come even-
tually out of the estate or someone's very large legacy from
it.
"I thei-eforc think that we ought not to discover any
implied undertaking of the plaintiff to look to the estate
nnd the estate alone for the major portion of its remunera-
tion.
"My point is that there never was any possibility of
the plaintiff company being able to sue the estate in an
action for t^eir services. Even if the reference to 'per-
sonal' liability which is found in the agreement had never
been there at all and even if Roach had signed, and al-
though they were all described as executors, the plaintiff
company could have sued executors personally, and them
nlone, for their agreed renumeration.
"There is nothing in the agreement specifically relieving
the two signing executors from their ordinary personal
liability, covering the whole amount agreed to be paid — the
uncertain an'ount left after a fixed renumeration had been
decided on for the two executor? as well as the amount
which might be allowed to them — i.e.. the executors, as such
remuneration. And I think, therefore, the ordinary rule
of full personal liability should apply.
"The appeal should be allowed with costs and judg-
ment entered for the plaintiffs again5(,t the dependants
Wishart and Breckenridge for $15,000."
COBALT ORE SHIP»IENTS
The following are the shipments of ore, in pounds, from
Cobalt station, for the week ended August 13th: —
McKinlev Darragh Mine, 252,740; Nipissing Mine, 432,-
790; O'Brien" Mine, 64,130; Hudson Bay, 60,260; Total,'819,-
!)20. The total since January 1st is 15,040.197 pounds, or
7,520.09 tons.
GREEK GOVERNMENT'S FLOUR ORDER
An order for $25,000,000 of flour has been placed with
London brokers, according to cable advices, because of inability
to obtain guarantee of delivery from any recognized agency
in Canada. In view of the fact that Canadian flour is pre-
ferred in Greece, however, it is felt in Canadian milling
circles that the orders' will be placed here. The reason that
the business was placed through a firm of English brokers,
according to well-informed opinion, is that the Greek govern-
ment desired to concentrate the responsibility for delivery
of the flour to one agency, rather than distribute it among
the several Canadian milling ehterprises which will likely
participate in the filling of the order. The London firm, in
other words, simply replaces the abolished wheal board in
the transaction, a development which millers here view with
entire satisfaction.
FISHERIES OUTPUT IN JUNE
Although the total catch of sea fish in Canada during
the month of June was 22,104 cwts. less than in June, 1919,
its total value was $567,526 greater. The monthly state-
ment issued July 29 from the fisheries branch of the marine
department shows that the total catch of sea fish in Canada
during June of the present year was 832,916 cwts., as com-
pared with 855,020 cwts. in June last year. The total value
of the June catch at the point of landing this year was
$3,586,776, as against $3,019,250 in June, 1919.
The weather was generally favorable for fishing on the
Atlantic coast and operations proceeded without hindrance
during the month. The catch of cod and haddock amounted
to 395,800 cwts., against 377,800 in June of 'last year. The
weather on the Pacific was unfavorable, but in spite of this
the catches of salmon, halibut and pilchards were consider-
ablv greater than those of June last year.
OPTIMISTIC VIEW OF BUSINESS
Greenshields and Co., in their June-July Review, says:
"Natural conditions existing in the industries in which Canada
is most concerned fairly presume a considerable measure
of stability, even in the event of the present unsettlement
in the United States extending into a period of business
depression. There is no sound reason to expect such de-
pression. We continue of the view expressed at some length
in the last number of the Review, that there is too much
woi-k to be done in making good the shortage of goods
throughout the world to allow of a period of acute depres-
sion. Unsettlement will be evident from time to time as
supply begins to overtake deirand in special commodities,
but adjustments can and probably will take place within
the industries affected without notable disturbance to the
situation as a whole. The njinor influence exerted on gen-
eral business by stagnation in the big copper producing in-
dustry of the United States since the end of 1918 is in point.
The progress of civilization has made world trade a firmly
balanced structure in which special strain on cert^iin parts
may be taken up and relieved at others."
A party of 35 bankers, grain merchants and investors
from the United States arrived in Winnipeg on August 9,
on a trip through western Canada.
August 20, 1920 T H E M O N E T A R Y T 1 M E S 27
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I REPRESENTATIVE LEGAL FIRMS |
^IIIIIIIIIIIMIilUHIIIIinilllllinMIUIIIIMnilllHMIIIIIIIIIinilllMIIIMIItlllllllllUIIIIMIIIHIIUIIIIIIIIIIIIIIIIIIIIIHUIHIIIIIIIIIUinMlllllin
BRANDON LETHBRIDGE, Alta. PRINCE ALBERT
J. p. Kilgour. K.C.
R H. McQuee
G. H Fo5ter
KILGOUR, FOSTER &
McQueen
Birriiteri, Solicitor!, Etc.,
Brandon. Mu.
Solicitors for the Bank of
Royal Bank of Canada. Han
and Loan Society. North
Assurance Company.
Montreal The
lilton Provident
American Life
CALGARY
Charles F. Adams, K.C.
Bank of Montreal BIdg.
CALGARY - - ALTA.
W. P.W.Lent Alex. B..\lackay, .M.A
..LL.B. 1
H. D. Mann. .MA
,LL.B.
1
LENT,
MACKAY
& MANN 1
BarrUterB. »oUc<lor».
Votaries
tie.
305 Grain
Exchange BIdR .
Caleary.
Alberta
Cable Addreta. 'Lenjo."We
stern Un
on Code
Solicitors
for The Standard Bank of Canada.
The Northern Trusts Co.
Associat
d .Mort.
sase Inve
stors.Ac
Hon. Sir James Lougheed. K.C. K.C.M.G..
R. B. Bennett. K.C, J. C Brokovakl. K.C
A. M. Sinclair, KvC. D. L. Redman, H. E.
Forster, P. D. McAlpme. O. H. E .Might. L.
M, Roberts. ^Cable Address "Loughnett ■)
LOUOHEED. BENNETT & CO.
Barristers. Solicitors. Etc.
Clarence Block. 122 Eighth Av<mue We.t
CALGARY. ALBERTA, CANADA
J. A Wright, LL.B. C. A. Wright. B.CL.
WRIGHT & WRIGHT
Barriiten, Solicitors, .\olaries. F.tc.
Suite lO-lS Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. AC. Rutherford. K.CLl.D.
PC Jamicson K C. Cha>; H. Grant
S. H. .McCuaig Cecil RuthorforJ
RUTHERFORD, JAMIESON
& GRANT
Barriattrt, Solicitors, Etc.
514-18 McLeod BIdg. Edmonton, Alberli
Conybeare, Church & Davidson
Barristers. Solicitors. Etc.
Solicitors for Bank of .Montreal, The Trust
and Loan Co of Canada. British Canadian
Trust Co.. 4c.. *c.
C. K. P. Conybeare, K,C.. H W. Church. .MA
K. R. Davidson. LL.B.
Lethbridse - Alta.
JOHNSTONE & RITCHIE
Barrister!, Suliciton, Notariei
UETHBRIDGE Alberta
MEDICINE HAT
ti. F. H. LoKo.
LL.B
J. \\ . Sle T HA
LONG
&
SLEIGHT
B
arriatert, e/c
MEDICINE
HAT
and BROOKS. Alia.
MOOSE JAW
Willi.im Or
.yson.KC T. .1 K,v.cr,or,
Lester .McTaggar:
Grayson
, Emerson & McTaggart
Barristers, Etc.
Solicitors— Bank of Montreal 1
Canadian Bank of Commerce |
Moose
Jaw - Saskatchewan |
NEW WESTMINSTER
JOHN W. DIXIE
Harrisler and Solicitor
405 Weitminsler Trust Building
NEW WESTMINSTER, B.C.
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
C.!U-JtuOnI-r, !.»... I!**. S.wVo.k Bar liW;
ELLISON, ELLISON & FRASER
li;.% HrnailnST. ^'■'' *"rl«
ELLISON. GOLDSIMITH A ALLEN
•i.-.l «r«l lOllli 11. , >rw l.irk
COLIN E. BAKER, B.A.
Solicitor for the City of Prince Albert
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
REGINA
A. L Goroon, K C
H. E. Keown
Gordon, Gordon, Keown
and Collins
Barriatert, Solicitora, &c.
Aldon Building, REGINA, Sask,
S.il.cnorv fnr l-iircn..! H.iP.U of C.ioaJa
SASKATOON
C. L Dii-u. B A H M WAuruno
DURIE & WAKELING
llnrrlHtor- anil •iillclliir.
Solicitor! fw the Bank of lUmillon. The
Great West Permanent Loan Co. The
.Monarch Life Assurance Co.
fsnxia BulldlnE Sn»k«taoo, ««iia<l«
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Bailding
SASKATOON - CANADA
VANCOUVER
a I Howser K C IJ 1- HtiJ I* C
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DOUGLAS &. GIBSON
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Briti-h North Americs Br.in.:hi
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VICTORIA
A IS UL.SLttf
(K.C for Alberta)
Member of Nova Sen
lia, Albert.i and Brit.
1-. H M laor
Member of .Manitoba
and British CoIumWa
Bar.
DUNLOP
&
FOOT
Barri.lrr.. -Sol
Notaries and Com
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will be sent you for tnur montlr. on
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Just send a dollar bill and your name nnd address.
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
MAIIA.V J A WKSTMAN
,idcnl Managing Director
Dr J.
THE MONETARY TIMES
Volume 05.
News of Industrial Development in Canada
Record Sockeye Salmon Pack For British Columbia This Year— Canneries Are
Marketing,' as Early as Possible to Get Highest Prices— Northclifle Interests Take
Over Quebec Paper Company— Ontario Company Purchases One Alberta Coal Mine
and Takes Option on Another— Dominion Still Developing New European Market
THERE will be a record sockeye salmon pack in British
Columbia this year, according to present developments.
Capacity loads of these fish in cans are being received at
Vancouver from northern British Columbia canneries on
every trip of the coasting boats, and in many instances
special steamers are being sent to the north for the purpose
of bringing out the pack as soon as possible.
On the Eraser River a total of about 10,000 cases have
been packed and near the close of the sockeye run the can-
neries were paying as high as 95 cents per fish which brings
the cost of a case of fish for salmon alone up to about $14.
To this must be added the packing, storing and marketing.
A rough estimate of ths packs from the northern canneries
has been made by the fishing interests here as follows: —
On River's Inlet, where nothing but sockeyes ever run, it
is estimated that about 100,000 cases have been packed;
Skeena River has not produced to normal and is less than
last year, showing about 60,000 cases, but pinks are running,
and the canneries are now canning a number of these cheaper
fish. Smith's Inlet pack is estimated to be 15,000 cases and
Naas River 6,000 cases.
All the canneries are endeavoring to get their packs
into the market as early as possible as the demand is strong
and each operator expects to get a high price for his sock-
eye and gamble on the lower grades of fish. It is estimated
that the pack this year will have cost each canneryman ap-
proximately .SO per cent, more than that put up last year,
iind in the majority of instances the packers do not antici-
pate that the cheaper grades will be able to stand the addi-
tional expense. About 150,000 cases of last year's chums
are still in the market and v.'ith the low prices quoted on
the United States market for pink tails and chum tails, about
!i2 and .$1.50 per case, respectively, the prospect for this
year's pack on these grades is very poor. They have only
the advantage of being freshly packed in 1920.
Through the canneries anno"uncing that they would pack
cnly a limited number of pink fish a new industry developed.
This is salting them for the Oriental market. Last year a
number of small shipments of salt pinks and chums were
made to Japan and the market took them up eagerly. This
year a number of Japanese firms have gone in extensively
for this class of packing and are taking all grades of fish
which the canneries will not pack and salting them.
Like herrings this fish will take a $14 rate to Japan this
year instead of the $20 which it cost last year arid an ex-
tensive business is expected in the exportation of salt salmon
as well as salt herring.
Pulp and Paper
An important deal in the pulp and paper field has just
been closed as the result of the Northcliffe interests of Lon-
don, Eng., having purcha.sed a two-thii-ds interest in the
Gulf Paper and Pulp Co., at Clarke City, below Quebec.
This is the company owned by members of the Clarke family.
I'ollowing their purchase, the Northcliffe interests have
formed the Imperial Paper Mills, Ltd. The remaining one-
third of the interest in the company is being purchased by
other London fcople who are interested in the purchase of
paper. The price, it is understood, was $3,000,000 United
States currency. As soon as the deal was put through, a
new board of directors was elected, consisting of Frank \V.
Clarke, of, Quebec, J. Alex. Cameron, of Montreal, and Ken-
reth K. MacKcnzie. of New York.
A by-law, selling the municipal power plant to the
Backus interests, has been carried by ratepayers of Kenora,
Unt., practically unanimously. In addition to the sale of
the power plant the by-law fixes the present assessment of
the Backus interests at $300,000 for ten years, and also
grants exemption from all but school taxes for a like period
on all additional lands, up to 125 acres, they may acquire
for the purpose of the immense pulp and paper industry they
propose to establish. The company agrees to sell power to
the town for its utility service at $20 per horse power per
year, it now costing the town $27. The agreement approved
by the passing of the by-law is conditional upon the com-
pany securing the English River pulp limits.
A new company, under the name of the Standard Pulp
and Paper Co., Ltd., has been incorporated in the province
of Quebec, with a capital stock of $12,000,000 and head office
at Quebec. The directors are: John Ball, New York City;
W. S. Bullock, Rexton Pond, Que.; W. H. Bullock, Quebec.
The charter of the company provides that the company may
carry on the business of manufacturers, importers, exporters
and merchants oi sulphite, sulphate, pulp and paper and
lumber and their composites and derivatives.
Lumber Situation Troublesome
In an attempt to cut expenses, the Canadian Puget
Sound Lumber and Timber Co., Victoria, B.C., have acquired
the best stand of timber on the Cowichan Lake Rd., from
the Victoria Lumber and Manufacturing Co., of Chemainus,
the area consisting of 991 acres, and is intersected by the
road for three and a half miles, just before reaching the
Cowichan River. A start will be made in the near future
on the construction of camps and the actual work of logging
oif the tract.
The company has found it impossible, stated J. D. Kis-
singer, local manager of the fii-m, to compete for logs in the
open market and operate the mill at a profit, and it will
make no further efforts in that direction. It is estimated
that a saving of $6 on every thousand feet will be made!
possible by the acquisition of these logging areas. Referring
to the general situation of the lumber market at present,
Mr. Kissinger remarked that while the difficulty of the past
few months in getting contracts continues, the mill will al-
ways be faced with the possibility of closing down. The bulk
of the output, apart from a few small export orders, has
been divided between the Canadian and American markets.
The shortage of cars is now making it impossible to continue
the United States exports, and no relief appears to be in sight.
As for the Canadian situation, while orders are not now
numerous, an increase is expected with the general picking
up of business incident to the harvest season, sufficient, it is
hoped, to keep the mill on a daily working basis.
Two Large Coal Deals
The purchase of the Blue Diamond Coal Mines, Ltd., of
Brule, .Alberta, and the securing of an option on the Cana-
dian Coal Fields, Ltd., in the same vicinity, by the Mclntyre
Porcupine Mines, Ltd., has been made known. It is further
stated by J. P. Bickell, director of the Mclntyre Mines, that
an equal participation in deal would be offered to the Temis-
kaming Mining Co., Ltd., of which he is president. He
stated that the shareholders of the Temiskaming Mine would
be asked to vote on the matter in the near future.
The deal is an extensive one, Blue Diamond Coal Mines
owning property of about O,TO0 acres, which is producing
over .^00 tons of steam and coking coal daily. The Canadian
coal fields on which Mclntyre has an option is a much larger
August 20, 1920
THE MONETARY TIMES
29
Do You Believe
in Canada?
If you do you believe in patronizing
Canadian companies in preference to
all others when their goods and prices
are the same, and you will insure in
THE CANADIAN FIRE INSURANCE CO.
HEAD OFFICE. WINNIPEG
AGENTS EVERYWHERE
ACCIDENT COY.. Limited
Hpnd Office for Cnnada - Toronto
lycrs' Liability hli-valor. Contract. Ptrsonml Accident. Fiiltlity
Guarantee. Internal Kcvcnuc. Sickness. Court Bonds,
reams and Automobile.
ANU FIRE INSURANCE
IT PAYS TO INSURE YOUR AUTOMOBILE
villi
The
Canadian
Surety
Company
A/
j.vimum Service.
Minimum Cost.
CANADIAN STRONG PROGRESSIVE
V "Ji^ie w<^M'9s»fi^ s^vj wa«r?
FIRE INSURANCE
AT TARIFF RATES
Automobile— 1 920— Season
Policies to cover ANY or ALL motoring risks
ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
82-88 King Street East, Toronto
Commercial Union Assurance Co.
Limited, of London. England
Capital Fully Subscribed 8 14.750.000
Capital Paid Up 7,375.000
Total Annual Income Exceeds 75,000,000
Total Funds Exceed 209,000.000
Head OlUce Canadian Hraneh :
COjVIMERCIAL UNION BUILDING - MONTREAL
\V. S. JOPLING. .Man,\.>kb
Toronto Office - 49 Wellington Street East
OBO. R. H A RG RAPT, General Agent for Toronto and County ol York
General
Fire
IniurtDce
Accideol
Heiltii
Fidelity
Bondi
Plile
Cltt,
BurfUry
A. B. Hab. Vict- I'rtMuttuI
J O. Mbun, Sec -Trean.
Good Ope
Capital SubMcribed - f 500,000
mm
C Asi'ALTY Company
\Vi\Ni('hr, '•IwirohA
Automobil*
Iniurancc
Fire and
Thefl
Liability
Property
Damafe
BoUer
EiploiioD
lOlk Floor, Electric Railway Chaobe
ling* for Live Auenta
,,r ^.
Fire'Inaurance Company. Limited, of PARIS, FRANCE
Capital fully subscribed .50% paid up « "■','!?" ,11^! IS
i^ire and GencrLiI Reserve Funds "-;- ^'^
Available Balance from Profit and L,oss Account *: 'Vwi
Net premiums in 1919 ,,?'v.T™««.
Total Losses paid to 31st December. 1919 | n..'Wi.lM» ixi
Canadian Branch, 17 St. John Street M""''"! Uj^'"","?*" ,'T« wJlfln!
Maurkb Perrand. Toronto Offices. J. H. Ewart. Chief ,\Rcne. IB welllnl
ton St Ea>;t: R. K Rice 4 Sosf. Tnror.to ABcnt^. '* Victoria >t.
THE EMPLOYERS'
LIABILITY ASSURANCE CORPORATION
or LONDON, ENC. LIMITEP
issi i.s
I'ersonal .Vccitlent Sickiies.s
limpliiycrs' Liability Autoinohilc
Wtirkmeii's Compensation Fitlclity Gti;ir:tnlee
and Fire lnsur;jncc Policies
C. W. I. WOODLAND
Genenil Man.iKcr for Canada anil Newfuuudlmi'l
I.vwis BuildlMK.
MONTRK.M.
JOHN JKNKIN.S,
I'irc M,innKcr
Temple Midi;
TORONTO
30
THE MONETARY TIMES
Volume 65.
concern and is about thirty miles from the Blue Diamond.
This latter mine is said to contain anthracite. The Blue
Diamond Mine is capitalized at $1,.500,000 and the Canadian
Coal Fields at .$10,000,000. The option on the latter is said
to be for fifteen years.
Grand Lake, New Brunswick, coal areas of the G. H.
King Coal Co., the Northfield Coal Co. and the A. D. Taylor
Co. have been purchased by the Miramichi Lumber Co. for
a price in the vicinity of .flSO.OOO, and the three areas will
be consolidated and operated by the International Paper
Co. for the purpose of building up a unit for increased pro-
duction during the coming winter. At present the output of
the three mines is about 100 tons daily, but the new owners
will sink extra shafts and get an output of over 200 tons
daily. It is stated that the double production would probably
start within the next two months in order that a supply of
coal might be at hand during the coming winter in case of
a coal shortage.
Miscellaneous Trade Notes
Owing to the high cost and scarcity of building material,
the Ames-Holden Rubber Boot Co. has decided to defer the
erection of its new building at Kitchener, Ont., for a year
or two. It is proposed to manufacture rubber boots in a
portion of the Ames-Holden Tire Co.'s factory, which is in
operation.
Geo. Melrose, proprietor of the Listowel Well Drilling
Co., Listowel, Ont., manufacturers of drilling rigs for the
past fifteen years, has sold his entire plant to the Canadian
Farm Power and Machinery Co., which is capitalized at ?1,-
000,000. This company will manufacture the Hvid oil engine,
the invention of R. H. Hvid, of Chicago, beginning opera-
tions at an early date.
Prospects for the establishment of an automobile factory
at London, Ont., are good. A committee representing the
Service Motor Truck Co., of Wabash, Ind., have been inspect-
ing the city and its advantages and a large plant is prac-
tically assured. This factory, as well as others which the
city is endeavoring to obtain, will be located in the eastern
part of the city, and as a result the Public Utilities Commis-
sion announces that it is planning a new power substation
for the district.
\n American firm has taken over the trunk factory at
Palmerston, Ont., recently operated by Hyndman and And-
rich, and is installing new and up-to-date machinery. The
firm expects to employ many hands, and to be in operation
at an early date. Complaint is made regarding the shortage
of houses in town, and the firm has asked the mayor to do
all in his power to relieve the situation.
The sale has been completed of the Dwyer elevator, on
the Kaministipuia River, Fort William, Ont., to the Gilles-
pie Elevator Co., of Edmonton, .\lta. The figure at which
the property changed hands is not given out. The property
includes the elevator, with a capacity of 250,000 bushels, and
475 ft. water frontage, making a most desirable lake terminal
elevator. The Dwyer Elevator Co. will retain their grain
offices in Fort William. The Gillespie Co. already owns about
fifty country elevators in the west.
It is announced that the new oil refinery and distribut-
ing plant of the Continental Oil and Refining Co., at St.
Boniface, Man., is nearly completed and will be in operation
shortly. Crude oil will be brought by tank cars from Texas
wells and refined at the St. Boniface plant. From there it
will be distributed for sale through western Canada.
The North-West Biscuit Co.. Ltd., of Edmonton, .\lta.,
is opening a wholesale distributing warehouse at Moose
Jaw, Sask., and has leased suitable premises on High St. W.
Dominion Iron and Steel Co. is developing a new Euro-
pean market. A surplus of iron ore is being mined at Wa-
bana, N.S , and 24,000 tons will be shipped to Middleborough,
England. .'\ tl.OOO-ton cargo steamer is at present en route
to Sydney for the first shipment and three others will follow.
Thi.s is a new departure for the company, which previously
had not sold any of the Wabana product.
NEW INCORPORATIONS
Consolidated Distilleries. Ltd.. $5,000.000— J. H. Williams,
.S2.000.000 — International Gypsum Corp., Ltd., $1,500,000
The following are the list of companies recently incor:
porated under Dominion and provincial laws, with the head
oflSce and the authorized capital: —
Souris. Man.— Box Brothers, Ltd., $75,000.
South Vancouver. B.C.— McKee's, Ltd., $100,000.
Fort William. Ont.— Bole Grain Co., Ltd., $500,000.
Grimsby. Ont.— Village Inn, Grimsby, Ltd., $400,000.
Sherbrooke. Que. — Office Requirements, Ltti., $50,000.
Stratford. Ont.— Stratford Machine Co., Ltd., $50,000.
Cap Rouge, Que. — La Compagnie Hamel, Ltd., $20,000.
Windsor. Ont.— Indiana-Ojibway Land Co., Ltd., $25,000.
St. Catharines, Ont. — J. H. Williams and Co., Ltd.,
$2,000,000.
Renfrew. Ont. — British Canadian Export Co., Ltd.,
$500,000.
Welland. Ont. — Th: Champion Intensifer Co., Ltd.,
$50,000.
Jlount Forest, Ont. — The Courlay Shoe Co., Ltd.,
$100,000.
Bevan, B.C. — The Bevan Lumber and Shingle Co., Ltd.,
$60,000.
Lavenham, Man. — Lavenham Farmers' Supply Co., Ltd.,
$20,000.
Valley Junction, Que. — Legare Automobile of Beauce,
Ltd., $100,000.
College Bridge, N.B. — College Bridge Construction Co.»
Ltd., $900,000.
Victoria, B.C. — Victoria-Phoenix Brewing Co. (1920),
Ltd., $1,000,000.
Annapolis Royal, N.S. — The International Gypsum Corp.,
Ltd., $1,500,000.
St. Thomas. Ont. — St. Thomas Labor Temple Associa-
tion, Ltd., $100,000.
Ottawa, Ont. — Dominion House Furnishings Co., Ltd.,
$200,000; Gladstone Co., Ltd., $50,000.
Vancouver, B.C. — Worster Patents Development Co.,
Ltd., $25,000; Mercantile, Ltd., $10,000; Motion Skreenadz,
Ltd., $50,000; Hardy Bay Cold Storage and Fish Co., Ltd.,
$10,000; Vancouver Laundry and Dry Cleaners, Ltd., $25,-
000; George Holden. Ltd., $10,000; British Columbia Marine
Engineers and" Shipbuilders, Ltd., $1,000,000; Nigel Island
Lumber Co., Ltd., $50,000.
Winnipeg. Man.— Speers Commission Co., Ltd., $50,000;
Fort Rouge Labor Hall Co., Ltd., $20,000; Manitoba Motores,
Ltd., $150,000; the Art Press, Ltd., $15,000; Dawson Road
Packing Co., Ltd., $100,000; Columbia and Western Lumber
Co., Ltd., $250,000; the Northern Chartering Co., Ltd., $10,-
000; Western Auxiliary Valve Co., Ltd., $150,000; People's
Savings and Finance Corp., Ltd., $100,000; McKinnon,
Strang, Ltd.. $20,000; Windatt Coal Co., Ltd., $250,000.
Toronto, Ont. — Canadian Edison Appliance Co., Lta.,
$1,000,000; Gem Safety Razor Corp., Ltd., $50,000; British
Empire Investments, Ltd., $17,.")00; British Empire Develop-
ment Association, Ltd., $50,000; Miller Lithographic Co.,
Ltd., $300,000; R. Howe, Ltd., $50,000; Finch and Anderson,
Ltd., $200,000; Port Burwell Canning Co., Ltd.. $150,000;
Rockola Brothers, Ltd., $40,000; Toye Bread Co., Ltd., $40,-
000; E. Pullan, Ltd., $500,000; John M. Hall Co., Ltd., $100,-
000; Height of Land Mining Syndicate, Ltd., $50.00; Builders'
Land Co.. Ltd., $40,000; Ware-Harden. Brown, Ltd., $40,000.
Montreal. Que.- Household Appliances, Ltd., $100,000;
Rhodia Motors, Ltd., $50,000; Viking Rennet Co. of Canada,
Ltd.. $50,000; Canadian Jlotor Craft Shops, Ltd., $100,000;
Equitable Finance Corp.. Ltd., $1,100,000: Export Pulpwood
Co.. Ltd.. $100,000: the Magog and Newport Steam Navi-
gation Co.. Ltd., $200,000; Steamship Julius Kessler Corp.,
Ltd.. $650,000; Autographic Register Systems, Ltd., $500,-
000; Consolidated Distilleries, Ltd., $5,000,000; Thomas
Meadows and Co., Canada, Ltd., $50,000; Paquette. Ltd.,
$20,000; Metropolitan Investment Co., Ltd., $1,000,000; La
Compagnie des Produifs Chimiques River, $10,000; Girourard
Taxi Senice, Ltd., $20,000.
August 2U, llijij
THE MONETARY TIMES
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS . . . 24,600,000.00
UBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These arc wonderful days for life insurance salesmen,
particularly North American Life men. Our representa-
tives are placing unprecedented amounts of new business.
All 1919 records are being smashed.
" Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract ii your openini;. Write us for full
particulars.
Address E. J. Harvey. Supervisor of Agen. ,es
North AmericaD Life Assurance Company
TiiK cunti.si;nt
HOME OFFICE
TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE WINNIPEG, MAN.
.Assurances. New and Revived - - 61.211,447.00
Premiums ou same - - 4.3.890.00
.Assurances in Force - i. 458. 939.00
Total Premium lucome - 109.586.03
Policy Reserves - . - - . 211.497.00
Admitted Assets . - . . . 296.430.62
-Averafje Policy 2.237.50
Collected in cash per SI.OOO insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director - Winnipeg.
1870 OUR GOLDEN JUBILEE 1920
Co-Operative - Scientific - Successful
"How dij the .Mutual LtfeofCunada succeed inattaining its present
imprcunable position in ihe Bnancial world?" It may be replied that the
promoters of the Company did not organize it as a commercial under-
takinK. but that it might serve as a public benefactor Kiving "the luriicst
amount of lienuine life insurance for the least possible outlay " Unsel-
fish devotion tothe success of Ihe enterprise supplied the place of capital.
AlthouRh strictly co-operative or mutual, yet the Company has been
built up on a scientific basis as an old line leual reserve life insurance
company. The .Mutual Life of Canada is a beneficent idea worked out
on scientific lines— that is the secret of its popularity. The Mutual beinfi
essentially a company of rolicyho dcrs, conduced by policyholJcrs in the
interests of policyholders, naturally became a lireat success.
BE A MUTUALISTI
The Mutual Life Assurance Co. of Canada
Waterloo
Ciunin. M I',. I'l
Ontario
ticner..: M.I
SUCCESS IN LIFE INSURANCE
Salesmanship depends so much upon the ^i-rvicc rcnucred ihai wc have
idopted as our slogan: **«ireater Service to rollcyliolderis." v\l- have a few
desirable positions for good salesmen who will study their clients'best interests,
and co-operate with the Company. Every assistance, financial and otherwise.
given earnest, hard worherK, to make good. Apply '.virh rcfcrcnc*-*:, «;t;itinR l-x
perience etc.to?*. ?». WKIVKK. Kasleni Snprrliili-iMlrfK, hi HcihI Ollhr
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
THE LONDOnTiFE "insurance CO.
Head Office ... LONDON, CANADA
Profit Results in this Company 70', better thin Estimilei.
POLICIKS GOOD AS GOLD."
Low-Priced Life Insurance
Some people do not yet know that from a C'dnadian
Company — with all its funds invealed in Canada and
making for the countrys development— they may obtain
Life Ineurance at lower cost than in any other Company .
Many, on the other hand. DO know — and thai is the
re.ison for ihc remarkable arowlh ,>l
THE GREAT-WEST LIFE ASSURANCE COMPANY
UEl'T. K"
HEAD OFFICE - WINNIPEG
Ask fc
al rateM — Btating age.
The Western Empire
Life Assurance Company
Head OHice : 701 Somerset Building, Winnipeg, Man.
Branch Offices
SASKATOON CALGAKY BD.MONTO.V
\ ANCOLVER
F. S. RATLIFF & CO.
FARM LANDS— FARM LOANS
STOCKS AND BONDS
Medicine Hat Alberta
IF you are not younger than 22 years
*■ or not older than 41 years and in good
health, send for particulars of our famous
Money-Back Policy
Pirate ttaU date of birth.
The Travellers Life
Assurance Company of Canada
MONTREAL, QUE.
Hon. GEORGE P. GRAHAM. Prc^i.Uni
THE MONETARY TIMES
Volume 65.
Municipal Legislation in Alberta
IJond Holders jMay Sutler Some Loss. Hut Taxpaving Power is
Sutlicient to Meet Obligations in Most Cases— Province Will Continue
to Exercise Control Through Board ol Public Utility Commissioners
Bv ANGUS LYELL
AT the recent session of the Alberta legislature a good
(leal of time was given to the consideration of municipal
problems; to. matters pertaining to assessment, the levying
of taxes, the disposal of property offered but not sold at tax
sales; to the financial condition of cetrain towns and cities
and the advisability, or otherwise, of provincial aid in
meeting debenture indebtedness; to the degree of control the
legislature should exercise over municipalities; to the extent
to which rural districts can make advances to aid needy
settlers in obtaining seed grain, and so on.
There are in the province six cities — Calgary, Edmonton,
Lethbridge, Medicine Hat, Red Deer and Wetaskivvin, fifty-
one towns, one hundred and eight villages and one hundred
and sixty-eight municipal districts. Some of these are in a
bad way financially, and the civic fathers are at their wits'
end as to how to raise the necessary revenue. Athabasca
and Maeleod have defaulted in the payment of debenture in-
terest anjl are likely to go into receivership during the year;
and while the latter may finally meet its obligations, the
freely expressed opinion is that the former ;is hopelessly in-
solvent. Wetaskiwim has been permitted — for one year only
— to impose a tax on incomes, and Medicine Hat, after a
good deal of manoeuvring, has obtained leave to levy a tax
of ten per cent, on rentals. But the legislature decided not
to bolster up the credit of any municipality by lending
financial assistance.
Uevflopment Was Not Sound
The cause of the trouble in nearly every case is over-
expansion, due to speculation in land in the "boom" days,
and general incompetence on the part of those administer-
ing the affairs of the towns and cities. Had there been sane
devcloi>ment in Calgary, for example, the city would have
had, accordinjj to a statement made recently by one of its
commissioners, about forty miles of street car tracks in-
stead of seventy-five, with sewer and water mains and side-
walks, and grading in propoi-tion, which would have meant
a debenture indebtedness of about fifteen instead of twenty-
three million dollars and a tax rate considerably less than
forty-five mills. Had there been efficient management, the
late mayor of one city would surely not have been permitted
to make a trip to New York for the purpose of delivering
debentures which had been sold, taking with him, if I re-
member correctly, the city treasurer to carry the bonds!
The basis of the valuation of property is an important
factor in municipal government. If the assessment is not
fair and uniform, according to the worth of the property,
then not only may injustice be done to cei-tain citizens, but
the municipality as a whole may suffer financial loss. To
ensure equalization of assessments, the legislature has en-
acted that in the present year, and every fifth year there-
after, there shall be a valuation of the lands in each muni-
cipal district. These valuations, made by local assessors,
are subject to variation, if deemed unfair, by the Assess-
ment Equalization Board of the Department of Municipal
.Affairs.
Hitherto the minister of municipalities has had power to
dismiss and appoint councillors, should circumstances war-
rant these steps. Such authority has now been withdrawn;
but if in any municipality the number of* aldermen is less
than that required to form a quorum, the minister can ar-
range for ai\ election to fill the vacancies. This is a step m
the right direction.
Control Through I'ublic L tility Board
But while the minister of municipailties has been shorn
of powtr to dismiss or appoint councillors, the legislature
has tightened, rather than loosened, its grip on munici-
palities. It has vested the Board of "Public Utility Commis-
sioners with power to investigate the financial condition of
any municipality and to plan ways and means of relieving
financial jiressure.
The Public Utility Commissioners, however, will not
interfere in the affairs of any town or city unless requested
to do so either by the minister of municipalities, the citizens
of the municipality itself, or by debenture-holders represent-
ing at least one-fourth of the total of the bonded indebted-
ness. The commissioners will then consult with the electors
and creditors or their representatives, and their recom-
mendations will not become binding unless approved' by
holders of at least three-fifths of the bonded indebtedness
and confirmed by the Lieutenant-Governor-in-Council.
Where a muncipality is unable to meet its financial
obligations, the Lieutenant-Governor-in-Council has power
to discharge the civic fathers and to appoint an administrator
in their place. Such administrator would have full authority
to levy taxes and to carry on the affairs of the town or
city, doing anything which the elected representatives of
the people had power to do.
Tax Paying Power is Pleasure
The revenue producing possibilities of a village, town or
city constitute the determining factor in procuring capital
for civic improvements or other purposes. Water mains,
sewerage systems, or bridges may be valuable assets, but
are not readily convertible into cash in case of liquidation.
Debenture-holders look mainly to the tax-paying power of a
municipality, and revenue is usually obtained by a levy
on land, on buildings and improvements, on personal prop-
erty and upon persons carrying on any trade, business or
profession. While each village, town or city prepares its
own budget, the assessments made must be in conformity
with, and within the provisions of, the laws of the legisla-
ture and the terms of its own charter.
The big problem is the collection of taxes on vacant lots.
This is really a serious problem in all of the cities and in
many of the towns. Tax sales have now to be held annually,
not later than the fifteenth day of December. But these are
proving to be more or less a failure, and are creating new
problems in municipal administration. Take the case of the
city of Calgary. Last year it was unable to dispose of lands
on which there were arrears of taxes of nearly one and a
half million dollars. So far less than five per cent, of this
has been paid. Title to the land will, of course, vest in the
city if the taxes are not paid by the date specified. But
what can the city do with vacant lots in "wild cat" sub-
divisions? Then taxes for the current year have been levied
on unredeemed properties, which taxes are obviously uncol-
lectible (unless paid by the city itself) but have been taken
into consideration in planning the expenditures. This clearly
is an error, perhaps even a serious mistake in municipal
administration.
To 'issist settlers in obtaining seed and feed, municipal
districts are permitted annually to make advances per quar-
ter section of not more than $.300, provided the total charge
against any quarter section docs not e.xceed $8.50. Repay-
ment is guaranteed by the legislature. Where a lien cannot
be obtained on the land, by consent of the owner, the bor-
August 20, liijlO
THE MONETARY TIMES
33
Announcing
The Establishment of a
DEPARTMENT OF
BUILDING MANAGEMENT
RENTALS
AND
CITY REAL ESTATE
Osier, Hammond and Nanton
WINNIPEG
EsUbllshed 1883
Canada
Bankers : The Dominion Bank
The Imperial Banh of Canada
HoussLR Wood -.-"^Cmpanv
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
CITY OF WINNIPEG
Twenty-Year 6','f Coupon Bonds
Due 2nd AufJusI, 19-10
Price 97.17 and Interest, Yielding 6.25'f.
Harris, Forbes & Company
INCORPORATED
(". I'. R. Building. 21 St. John Street
TORONTO. MONTREAL.
DOMINION OF CANADA
5i TAX FREE BONDS
The most desirable investment av;iilahle for conser^^.tivi: investors
Maturities and Prices
1922
1923
19a3
1937
99. yielding 5.94%
99. •• 5.8i'!u
99i. '• 5 .W%
99t. ■• S.K-X,
101. ■• .i40'>,
Taxable Bonds
Prompt dtlicer)} will be made free of alt expetue or charges
T. S. G. PEPLER & CO
INVESTMENT BROKERS
ROYAL BANK BUILDING. TORONTO
C. H. BURGESS & CO.
Government and
Municipal Bonds
14 King Street East
Toronto
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank Bldg., Edmonton, Alta.
Province of Ontario
Ten Year 6% Bonds
DUE JUNE l-i. "Mil INTEKESI IIAl.l-'l KAKl.'l
Price 100 and Interest
YItLDINC. 6%
J. F. STEWART & CO.
106 BAY STREET - - TORONTO
34
THE MONETARY TIJIES
Volume 65.
rower must give as security a chattel mortgage on the crop
and any goods or chattels he may own. Such charge remains
in force until the loan is paid.
"Home Rule" Not Granted
The agitation for "home rule" for cities, sponsored by
the ma.vor of Lethbridge, has not met with much success.
It could hardly be otherwise while the affairs of our cities
are being administered as at present. If there was a high
degree of efficiency, the situation would be different. The
legislature docs not propose to assist needy municipalities
financially, but it is aiming at uniformity of procedure, and
evidently intends to retain the right to interfere, where
necessary, in the affairs of any municipality. It apparently
will act through the Boai-d of Public Utility Commissioners,
which has control over municipal expenditures and has al-
ready Tendered useful service in advising on financial prob-
lems, in certain cases, and on the reconversion of some sub-
divisions into farm lands and on problems of assessment.
While in some cases, as in that of the town of Athabasca,
the debenture-holders may, and probably will, suffer loss,
yet the tax-paying power of all of the cities and most of
the towns is sufficient to liquidate the bonded indebtedness.
Substantial increases in the mill rate will, undoubtedly, be
necessary, and, in some cases, it may even be necessary to
appoint a receiver. Calgary, for example, now has a tax of
about forty-five mills, with good prospects of an increase
next year. Propert.v o\\TiGrs, wherever possible, usually
meet the extra taxes through higher charges for rent. The
average man, in the final analysis, pays his share. Efficient
municipal management, therefore, is a matter of moment
to all citizens and not to any class in particular.
Government and Municipal Bond Market
Alberta Sells Two Million Bonds on Six and One Half Per Cent. Basis — Province Rejects Higher
Bid Because the Offer, Although Legitimate, did not Come Under Specific Terms of Tender Notice —
Prescott and Russell Counties Dispose of Debentures— Calgary May Offer Securities to Local Citizens
BOND dealers were somewhat surprised this week when
the province of Alberta sold $2,000,000 6 per cent.
10-year bonds to the United Financial Corporation, Ltd., at
96.58, more than a point below the offer "of R. A. Daly and
Co., and VV. .\. Mackenzie and Co., who bid 1)7.597. The
conditions in the Daly-Mackenzie tender which did not
meet with the provincial treasurer's acceptance were that
the tenderers should be protected in the New York market
for thirty days, that is to say, no other issues were to be
sold in that time payable in New York without the consent
of these firms; also, that they have fifteen days in which
to take up the first $1,000,000, and an additional fifteen days
for the second $1,000,000. Nevertheless the offer was legiti-
mate, and, in view of matters as they stand now, decidedly
more acceptable to the province that any of the other tenders.
"We consider these conditions were reasonable, and quite
ordinary, and do not understand why the prjvince should not
have accepted them," said Mr. R. A. Daly, of R. A. Daly
and Co. "So far as we know, the province was not in im-
mediate need of money,' and could well have afforded to
await the time specified."
A few municipal issues were placed during the past
week, but generally the bond market is quiet, and promises
to be so for a month or more, when it is hoped there will be
increased activity.
Coming Offerings
The following is a list of issues offered for sale, par-
ticulars of which are given in this or preceding issues of
The Monetary Times: —
Tender?
Bonower. Amount. Rate %. Maturity. close.
Arnprior, Ont $ :!.3,200 5'i.&6'2 Var. .\ug. 26
Ontario County 50,000 6 20-inst. Aug. 27
Lachine, Que. " 15 1,000 5 & 6 Var. Aug. .'n
Calgary, Alta 250,000 6 15&30-inst. Aug. 31
Dauphin S.D., Man. . 50.000 i^^i 20-years Sept. 2
Milton, Ont 48,000 6 30-inst. Sept. 7
.Vrnprior, Ont. — Tenders will be received until August
26, 1920, for the purchase of $8,200 6^ per cent. 20-inst!il-
mcnt debentures, and $25,000 5 ",2 per cent., debentures due
April 1, 1930.
Milton, Ont. — Tenders will be received until September
7, 1920, for the purchase of $48,000 6 per cent. 30-year, in-
terest and principal payable annually. Purchaser is to pre-
pare debentures at own expense. — G. A. Hemstrcet, clerk
and treasurer.
Calgary S.D., Alta. — Tenders will be received until
.•\ui'\ist :ilst. \'X\0. fm- tlip niirrh.nse of $225,000 i'. per cent.
30-instalment debentures and $25,000 6 per cent. 15-instal-
ment debentures. (For particulars, see advertisement else-
where in this issue.)
Lachine. Que. — Tenders will be received until August
31, 1920, for the purchase of $154,000 debentures as follows,
separate tenders to be made for each block: —
$8,000 dated 1st May, 1920, payable in Canada on the
1st of May, 192.5, interest 5 per cent, payable at Montreal
or Toronto the 1st day of May and November, denomination
$1,000:
$61,000 dated 1st June, 1920, payable in Canada on the
1st June, 1925, interest 6 per cent, payable at Montreal or
Toronto on the 1st day of June and December, denomina-
tion $1,000;
.•> 15.000 dated the 1st June, 1920, payable in Canada on
the 1st of June, 1950, interest 6 per cent, payable at Mont-
real or Toronto on the 1st of June and December, denomina-
tion $1,000;
^70,000 dated 1st June, 1920, payable in Canada \vithin
ten years of their issue in series of $7,000 per year, denomina-
tion $1,000; 0 per cent, interest payable at Montreal or Tor-
onto on the 1st of June and December. — E. Leduce, secretary-
treasurer.
Debenture Notes
St. .Mary's, Ont. — A by-law providing for the expendi-
ture of $15,000 on a new fire engine and motor truck, was
defeated.
Surrey, B.C. — The school board is desirous of raising a
loan of $138,000, and the council will be approached with
this end in view.
Tilbury, Ont. — At a recent meeting of the town council
the clerk was instructed to prepare a by-law authorizing the
issue of debentures for paving.
Fort Erie, Ont.— Ratepayers will be asked in the near
future to vote on a money by-law for the raising of $10,000
for various local improvements.
Saanish. B.C.— Money by-laws totalling more than $1,-
000,000 have passed the council, and on .A.ugust 21 will be
submitted to the ratepayers for approval.
Calgary. Alta.— The finance committed of the city council
at a recent meeting decided to recommend the raising of
$75,000 for gravelling by an issue of bonds at par to the
citizens of Calgary in denominations of $50, $100, $500 and
$1,000, bearing interest at 6>2 per cent. This decision fol-
lowed a lengthy discussion, in the course of which Comp-
troller Wood submitted a statement of what has been done
by other western cities in the raising of local loans.
August 20, 1920
THE MONETARY TIMES
Victory Bonds a
Bulwark
Just as the Great Silent Fleet was
England's sure shield against the ag-
gressiveness of German Kaiserism,
so are Victory Bonds your strongest
bulwark against misfortune and a
"rainy day." The security is un-
rivalled. Interest is prompt and
sure, and should necessity arise for
immediate cash, your Victory Bonds
can be readily sold. Furthermore,
no other security maintains its value
so well.
Mail your order or write for particulars.
Wood, Gundy & Company
Canadian Pacific Railway Building
Montreal
Saskatoon
Toronto
New York
London, Eng.
Built on
Rock or Sand?
1 lie development of the Canadian
pulp and paper industr\ has been
so rapid, and the corresponding
rise in the values of pulp and paper
securities so larjje, that many in-
vestors arc pu/./led b% it.
And ri(!litlv >o, becauie the movement i»
without parallel, and unless one knows the
lacts, the reasons (or It are mystifying.
To give you these facts we have published a
searching financial analysis of the Canadian
pulp and paper industry in thr current num-
ber of InveitmenI llinii. It is o( absorbing
interest and will be of great service to
investors.
\\ rite for a copy before the edition is cxhaust^j
H'l- txpect a heavy lull for it.
Royal Securities
^ 'corporation
L. I M I T E D
MONTRE.AL
TORONTO
WINNIPEG
HALIFAX
NEW 'i OKK
ST. JOHN, N.B.
LONDON, Eai.
1
iSBB
"^^■*^^^'^^'i
^ja
U . L. .McKinno
n
iKjn H. I'ettcs
We recommend the purchj
SC Ol
VICTORY
LOAN
at the foUoffirg prices
-
MATURITY PRICE
1922 99 and Interest yieldin
1927 99iand
1937 . . 101 and
1923 99 and
1933 99iand
1924 9S and
1934 96 and
H 5.94',,
5.58",,
5.41%
5.82'X.
5.55%
6 01 -o
5 91%
Orders may be telephoned or lilegraph
cd at ou
r expense.
w.
McKinnon
L. McKINNON
Building
&
CO.
TORONTO
Government, Municipal
AND
Corporation Bonds
R. A. Daly ^* Co.
BANK OF TORONTO BUILDING
TORONTO
a I'
$50,000
East Kildonan School District
Manitoba
6 Coupon Bonds
Dated ISth May, 1920
Due Serially 15th May, 1821-1940
Principal and Interest pnyable 15th May at
Winnipeg. Man.
Denomination, S 1 .OOO
The Municipality of East Kildnnan ad|Oina the '
of Winnipeg on the NorthEanl. beariuit the fame ;
lation to Winnipeg ai York Townihip doet to Torcr.'
Eaat Kildonan ia one of the oldeit tettled portion'
the Province of Manitoba.
Transportation provided by the Winnipeg Eleclrii.
Railway, making it atliaclive for luburban renidenco.
Two branch linen oi the C.I'.R. al«o run through ihr
Municipality.
Price accordins to Mnlurily
To Yield B.T.'j
W. A. MACKENZIE & CO.
42 Kinsr St. West
TORONTO -:- CANADA
36
THE MONETARY TIMES
Volume 65.
Edmonton, Alta.— The city has received enquiries from
capitalists on the Pacific coast who are anxious to get cer-
tain bonds. From Victoria a buyer has asked for $1,000,000
7 per cent, one-year treasurj' bills, payable in Canada, while
a Vancouver buyer would like to get $20,000 to $50,000
of bonds issued on tax arrears extension.
Deputy Mayor East has replied to the queries to the
effect that the city has no one-year treasury notes on hand,
while further sale of tax arrear debentures has been post-
poned. There are other bonds to sell, however, consisting of
$947,037 long-term debentures, running from ten to twenty
years. These have been hypothecated to the bank to cover
a loan of $124,000, which matures September 1st.
Dundas, Stormont and Glengarry, Ont.— Tenders were
called until August 18th, 1920, for the purchase of $400,000
6''-. per cent., 10-year good roads bonds of the united
counties of Cornwall. A few bids were received, but the
finance committee has not yet accepted any, but has de-
ferred action for a few days.
Bond Sales
Outremont, Que. — Messrs. Nes-bitt, Thompson and Co.,
have been awarded $175,000 6 per cent. 10-year debentures
of the Outremont Protestant School Commission. Interest
of the bonds is payable in Canada and the United States.
Manitoba.— A syndicate composed of A. Jarvis and Co.,
Toronto, Halsey, Stuart and Co., and the First National
Company of Detroit, are offering in New York, $1,250,000 of
the province's 6 per cent, bonds, due August 16th, 1925, at
92.85 and interest, to yield 7% per cent. The bonds are a
direct obligation of the province.
Toronto Township, Ont. — Messrs. Harris, Forbes and
Co., and Nesbitt, Thompson and Co. have purchased $74,675.85
6 per cent. 20-instalment debentures at 94.87. Bids received
were: —
Harris Forbes and Co., and Nesbitt, Thompson and
Co 'J-i-si
United Financial Corp., Ltd 9-*'' '
A. E. Ames and Co 9-1-12
Prescott and Russell Counties, Ont.— Messrs. R. C. Mat-
thew., and Co. have been awarded $200,000 5% per cent. 30-
instalment debentures at 87.51, which is on a 6.75 per cent,
basis. Tenders were as follows: —
R. C. Matthews and Co §''•51
W A. Mackenzie and Co., and the National City Co.,
Ltd 86.57
C. H. Burgess and Co., option 88.50
Brent, Noxon and Co., option 88.00
Wood, Gundy and Co. offered to purchase $50,000 at 86>^
on the condition that they were granted an option on the
balance for the same price, or as an alternative, asked for
an option on the whole block at 87.
Alberta. — The province this week disposed of an is.'Jue
of $2,000,000 6 per cent. 10-year bonds to the United Finan-
cial Corporation, Ltd., at 96.58, Canadian funds, at which
price the province pays slightly less than GMi per cent,
for its money. The bids in Canadian funds are:—
R. A. Daly and Co. and W. A. Mackenzie and Co. . . 07.597
United Financial Corp., Montreal 9<5.58
Wood, Gundy and Co., A. E. Ames and Co., Dominion
Securities Corp., Toronto 96.39
Harris. Forbes and Co., the National City Co., New
York 96.253
/Emilius Jarvis and Co., Toronto, Halsey, Stuart and
Co., Chicago, Wells, Dickey and Co., Minneapolis,
First National Bank, Detroit i'^'-'l
Canada Bond Corp., Toronto 9*'135
The bonds, which are payable in Toronto, Montreal. Ed-
monton and New York, will be sold partly in Canada and
partly in the United States.
NEWS OK MUNICIPAL FINANCE
Tax Collections Good in South Vancouver — Colborne and i
Etobicokc Tax Rates Increased
Etobicoke Township, Ont. — A tax rate of 18.9 mills has
been struck, being an increase of 2 mills over last year.
Colborne, Ont. — The tax rate this year has been fixed
at 40 mills on the dollar, an increase of 8 mills over last
yeai-.
Sherbrooke, Que. — Just now the Sherbrooke Housing
Co. is erecting a hundred dwelling houses under the govern-
ment loan plan, while the city council has passed a resolu-
tion authorizing the formation of a second company and
the borrowing of another $500,000 from the government for
the purpose of building a second block of one hundred houses, ;
South Vancouver, B.C. — Collections made by the munici-
pality from January 1st to July olst this year shows de-
cided improvement as compared with last year and previous
years, the total being $918,147. In 1918 the amount was
$821,543.
Regina, Sask. — As a result of the half-year's tax col-
lections, the city sinking fund trustees have to their credit
the sum of $100,000, according to an announcement by J. E.
Snowball, city treasurer and secretary of the sinking fund
trustees. Only a small proportion of this sum will be in- ■
vested. Five-year plank sidewalk debentures sold in 1915
to the amount of $60,000 are falling due and will have to be ■
retired out of the proceeds of the fund. Of the remaining
840,000 it is proposed to hold in reserve $35,000 in anticipa-
tion that the fund will buy up the $35,000 cyclone loan de-
benture issue, authorized recently by the council to meet
payments to the provincial government due August 1.
For several years from now on, all the income accruing
to the fund will likely be invested as there are no more city
issues to mature until 1923.
Saskatchewan. — In nearly all of the municipalities where
relief was granted last winter, good crops appear to be
promised, and the minister of municipal affairs is hopeful
that the larger part of the indebtedness incurred will be
discharged soon after threshing operations are completed
this year. A set of regulations governing the collection of
this money has been issued under section 25 of the Relief
Act. These regulations make it imperative for municipali-
ties which distributed relief to appoint collectors, who, ac-
cording to the regulations, may be paid by stated salaries or
by commissions. The commissions must not in any case ex-
ceed five per cent, of the amount collected. It is understood
that the amount of relief afforded by the municipalities last
winter was in excess of $2,500,000. This figure does not
include the relief extended through the provincial depart-
ment of agriculture to the unorganized districts of the
province.
Calgary, Alta. — The city's municipal street railway con-
tinued to go further behind financially during July, the de-
ficit for that month totalling $10,603, according to the
monthly report of the street railway accountant. This brings
the total deficit of the street railway for the first seven
months of 1920 up to $25,788, in spite of increased fares.
Supei-intendent R. A. Brown has informed Mayor R. C. Mar-
shall that the increased fares had made very little difference
in revenue so far, as all the people were now buying tickets
instead of paying cash fares. The mayor, together with the
superintendent, favors raising the fares to the original
recommendation of Mr. Brown, of 18 tickets, instead of 20,
for $1.
Saanich, B.C. — The question of renewing certain insur-
unce policies brought before the council recently the pro-
posal from Clerk Cowper that the municipality insure its
own buildings. 'WTnile thousands of dollars had been paid
cut as premiums smce 1906, said Mr. Cowper, only $500 ir
insurance had been received. He pointed out that legislativt
action will be required. The council is in favor of the plan
but nothing definite has been decided in the. matter.
August 20, 1920
THE il O N E T A R V TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7i%
We have a very complete list. Before inveslins
secure particulars of our offerirjgs.
Eastern Securities Company, Limited
ST. JOHN, N.B.
HALIFAX, N.S.
Government
Guaranteed to
n^^,^„ YIELD
Bonds
gio/
2/0
MATURING 1921-1940.
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
UNION TRUST BUILDING WINNIPEG
Province of
Ontario
Q"" Gold Bonds
For Estate or Trust funds
these bonds purchased at
par and interest maturing
15 June, 1930, make a
very desirable investment.
Bond Deparlment
The G^^ADA Trust Co^^vpany
14 King Street E.
Toronto
A. J. Pattison Jr. & Co.
McnibiT5
Toronto Stock Kxchanee Montreal Stock ExchjnKc
Specialists Unlisted Securities
XOe BAY STREET TORONTO
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
aranches-SASKATOON AND CALOARY.
Canadian Managers
iNvesTSENT Corporation op Canada, Ltd.
London Office: i Great Winchester St.. B.C.
Manitoba
Finance Corporation
Ltd.
/nyestme
Tt B-okrrs, Financial Agents, Etc.
410-11 Electric
RIy.
Head OlHcc :
Chambers - Wionipeg
Mao.
Slocht and Bonds bought and sold on commissioD
Mortgage Loan* on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent foi
Man
iloba, Atbsrla Flour Mills. L
miled
Northern Securities, Limited
ESTAliLISMKIJ l'-«'6
GENERAL FINANCIAL BROKER
Confidential Advice on Britith Columbia Invetlmtnf
Member of MortRaBe and Trust Companies Association of Britnh Columh.j
S29 Pender Street W. VANCOUVER. B.C.
B. GKOROE HANSULD J. P.. M.in.iiicr
X
Vancouver District Property
Expert Estate Aiients and ManaKeri
Property Boughl and Sold, Valued. Rented and
Reported on. Correspondence invited.
WAGHORN GWYNN Co., Ltd. v..co»«r
P. M. LIDDELL & COMPANY
Investment Ban!(cis. Fiscal ,-Ji,'c/i/.>
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
MACAULAY & NICOLLS
ISSLR.WCI: ()/■ ALL C /,. /.s.s/-:.s
L^il.tlES SIASACIJ)
746 Haatlngs Street - VANCOUVER, B.C.
C. H MAC.M. LAV I. IV MCOLLS. Notary Cuhl.c
THE MONETARY TIMES
Volume 65.
Corporation Securities Market
Trading Dull and Price Movenient.s Irregular on Canadian Exchanges— Issue of Western
Canada Pulp Bonds to be Made Shortly— Beaver Motor Truck Stock Offering Announced—
Additional Spanish River Stock Listed— Canadian Car Company Proposes to Issue Bonds
BUSINESS on the New York exchange for the week ended
August 18th was dull and price movements irregular,
with a tendency at the close to lower levels. Weakness in
the commodity markets was responsible for declines in cer-
tain industrials, while the reports of the unsettled political
situation in Europe also had some effect. The credit situation
was the most important factor, however. Call loans, which
were easy at 6 per cent, during the early part of the week,
rose to 7 per cent and closed at 9 per cent.
Actions of Canadian stocks during the week ended
August 18th were very much the same as those of New York.
Business was comparatively dull, while the price movements
were irregular. Most issues, however, in both Montreal and
Toronto, retrieved to a certain extent the losses which they
had sustained in the past two weeks. It is confidently
thought in stock circles that the worst has been seen in the
stock market. This does not mean, however, that there is
no further need for caution or that the bull market will be
immediately resumed, but that the bearish tendencies are
excluded for the time at least, and that any change from
present conditions might be for the better.
Beaver Motor Truck Stock
An offering of 8 per cent, cumulative retirable preferred
stock of the Beaver Motor Truck Corporation, of Hamilton,
Ont., is being made by Morgan-Dean, Harris and Mulveney,
Ltd., Hamilton. The authorized capital of the company is
$1,000,000, of which .S400,000 is preferred and $600,000 non-
retirable common. At the present time $260,000 of preferred
and $426, .500 of common will be issued. The offering is being
made at $100 per share, with a bonus of one share of com-
mon with every two shares of prefen-ed.
The plant of the company is capable of turning out one
hundred trucks per month. Estimated net profits on a pro-
duction of 1,000 trucks per annum is $2.50,000. The company
will set aside 10 per cent, of its annual net earnings, after
payment of taxes and preferred stock dividends, as a sinking
fund for the retirement of its preferred stock.
Spanish River Stock Listed
Two additional blocks of securities of the Spanish River
Pulp and Paper Co. were listed on the Toronto Stock Ex-
change on August 171h. They were $1,750,000 common and
$3.1i:{.000 of preferred. Of the preferred, $2,394,000 repre-
sents the 42 per cent, accrued dividends, $210,000 the 7 per
cent, vouchers, $289,000 the bonds' share in the adjustment
and $250,000 the adjustment of fractions. This brings the
total preferred listing up to $8,842,100.
The common listing is in provision for the terms of the
note issue of last September of $3,500,000. This issue was
made to assist in the redemption of existing securities and
provide new working capital, with the proviso that the under-
writing firm could exchange half the amount of $1,750,000
into common at parity at any time during the following three
years. For this reason the new listing has been made, for
advantage may be taken of the offer at any time, although
to date only a small amount has been so converted. It is
pointed out that this provision applies to the undenvriters
only and not to the individual holders of the 0 per cent, notes.
Capitalization Changes
A. A. Fournief, Ltd., have been authorized by an Act
of the Ontario legislature to increase their capital stock from
$100,000 to $500,000 by the creation of 4.000 shares of new
stock, each share having a par value of $100.
The proposal to issue ten-year 7 per cent, income bonds
in lieu of cash to retire the dividend arrears on the preferred
stock of the Canadian Car and Foundry Co., which amount
to 22?.i per cent., will be discussed by the board of directors
at a meeting to be held in Montreal on September 2nd next.
A small stock issue is being made to the public this week
which may ultimately result in the foi-mation of a new and
most valuable industry in Canada. Playfair, Paterson and
Co., members of the Toronto Stock Exchange, are acting in
a brokerage capacity. The stock in question is that of the
Jackson Drier Co., Ltd., capitalized for $100,000, of which
$40,000 is held by the syndicate and only $25,000 is being
issued for public subscription. The company proposes to
manufacture special drjnng machinery, which has been de-
signed and patented by the company's president, W. S.
Jackson.
The Jlontreal Stock Exchange official sheet of August
18th contained the announcement of the "calling" on August
21st of 65,000 shares of common capital stock of the Pro-
vincial Paper Mills, Ltd., of the par value of $100 each, and
of 17,000 shares of 7 per cent, cumulative preferred stock
of par value $100 each. This stock presumably represents
the new stock of the reorganized Provincial Paper Mills Co.,
which in April voted a change in the company's capital
whereby common shareholders would receive one and a half
shares of new stock for each one of old held, and the pre-
fen-ed shareholders would receive share for share.
Western Canada Pulp Bonds
An offering of $1,000,000 7 per cent, serial bonds, ma-
tui'ing annually from February 1st, 1923, to February 1st,
1940, of the WesteiTi Canada Pulp and Paper Co., will shortly
be made to the public by Messrs. Graham, Sanson and Co.,
Toronto, at par, with a bonus of five shares of common stock
with each $1,000 bond.
The capitalization of the company is as follows: Com-
mon shares (no par value), 25,000 authorized, of which the
total has been issued; 6 per cent, mortgage debenture stock,
due February 1st, 1950, $1,200,000, all issued, and 7 per cent,
first mortgage bonds of $1,000,000, which mature in annual
series from February 1st, 1923, to February 1st, 1940. Ap-
plication will be made in due course to list both bonds and
stock on the Montreal and Toronto Stock Exchanges.
The company's plant is located on Howe Sound, about
25 miles from Vancouver, B.C. With the proposed additions
and improvements, for which funds have been pro\nded by
the present company, the plant will have a minimum capa-
city of 40 tons per day. or about 12,000 tons per year, and
will be capable of producing such result economically and
in accordance with the latest practice. The company owns
its townsite, which is located on na\ngable deep water,
equipped with a dock 600 feet long, with suflScient depth
in sheltered water for ocean-going vessels. The company has
acquired a valuable asset in the water-power of Rainy River,
the foreshore rights at th« mouth of the Rainy River and 1,000
feet of waterfront on Thomborough Channel, Howe Sound.
The pulp mill of the company, it is estimated, will have
a minimum capacity of 40 tons of pulp per day. It is the
intention to work in conjunction with the pulp" mill, saw-
mills and to extend their operations to the manufacture of
shingles and wood products of all kinds. The company's
timber areas contain a large quantity of superior quality
red cedar, which is adapted for the manufacture of the best
class of shingles.
The Russian Soviet government will shortly open an
office in Montreal, under the care of J. G. Obsol, to take
charge of commercial relations with the Canadian govern-
ment.
August 20, 1920
THE MONETARY TIMES
We Offer
SCHOOL BONDS
Province of Alberta
Maturing 10 and 1 3 Years
to iiicld
7 to7\ %
We Specially RecommenJ ihac DonJs at Sound Inveitmenti
W. Ross Alger & Company
IWtSTMENT BANKERS
Bank of Toronto Bldg. Royal Bank Chambers
EDMONTON CALGARY
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Memb.:r5 o( \Vinnip.:g
Real Estate Exchange. \1inn.prB Stock Eichnnsc
Canada's
Most Prosperous
Industry
The World is looking to
Canada for
PULP
nf
^'rite for descriptive circular of
new isaue of a company iha; will
produce 20. COO ions per annum
ThorntoD Davidson & Co.
Umitcd
C.'V.rMnicnl, Municipal jnJ Other
Invcslmcnl 5«ur,l:«
He»d Office: Tr»n»port«tion Bldj.. MONTREAL
132 Si. Peler Street 63 Sp»rk> Street
I QUEBEC OTTAWA
DEALERS IN
Government, xMunicIpal
and Corporation Bonds
Correspondence Solicited
A. H. Martens & Company
(Members Toronto Stock Bxchangcl
ROYAL BANK BUILDING, TORONTO
61 Broadway, "^'■^u'^'"'' m''^"
New York, n'y. ChicaRO, 111.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OLR COUNSEL AND ADNICE
Willoughby Sumner Limited
Establithed l<)00>
Mem'bcri of the Winniprl Cr.m ELlcK.n<r
Private aire to Winnipeg. Toronto. Montreal, Chitog^
and .\cw )orV
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire a, our expense any offer.n,, also -V B-"''
Columbia Government and Mun,c.p..l .-m,
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vamcouver, B.C.
Victoria, B.C.
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
iMivAtn Wium r.) WI.VNIPHO. CHICAOC rOHO.SIO.
MO.STKKAL AND NKW VOHK
THE MONETARY TIMES
Volume G5.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
SIO.NTKKAl— Wi-eh Kiiiled Aug. I8lh.
(Figures supplied by Burnett & Co.)
NlnrkH
Abitibi P.* P.... (new)
•■• pfd.l
Ames Holden 1-
•• pfd.,
Asbestos Corp
pfd.
Atlantic Sugar
..pfd.]
Bell Telephone i
B.C. Fishing |.
Brazilian T.L.& Powerj
Brompton Pulp & P.. i
Canada Cement !
■• ...pfd.'
Canadian Cottons
•■ .pfd.j
Can. Converters
Canadian Car
•■ ....pfd.
Carriage Factories [
Can. 1-orgings i
Canadian Gen. Elec...]
Can. Steamship ;
■■ ■• pfd.l
" '■ Vot. Trust .
Can. Loco
Con. Mining & Smcl —
Detroit United I
Dominion Canners '
Dominion Bridge
Dominion Glass
Dom. Iron pfd.
Dom. Steel Corp '
..pfd.'
Dominion Textile
..pfd.
Hillcrest
Howard Smith
• ....pfd.l
Illinois Traction... i
...pfd.'
Laltc of the Woods.. I
..pfd
Laurcntide
Lyall Cons. Co..
Macdonald Co
Mont. Cots. Ltd
• ...pid.
Montreal Power
Montreal Tram
Loan & Mtg.
Deb
National Breweries....
Ogilvie Flour Mills. ..
Ont. Steel Prod
Pcnmans
Price Bros. Co. Ltd....
Prnv. Paper
Quebec Ky.L. H.&P..
Riordnn Pulp & P
'■ " pfd.
St. Lawrence Fl. Mills.
•■..pfd.
Shawinigan W.&P ...
Sherwin-Williams, pfd.
Spanish River
" Div. Vou.
■■ pfd.
Steel Co. of Canada...
■ •■ •• .pfd.
Toronto Ry. Co
Tooke Bros
Tuckctt
Wabasso
\Vayagamacl< P. &■ P. .
Woods Mfg. Co
■■ pfd
Windsor Hotel
Sales Open High Low Close
74* 7-14
101 102
Sl SB
5401 153 160
/8 lOli I lOli
50 14}
27 69
34 210
14}
4085
109
2000 68
7657 633
105 240
■235 76
115
nniikn
Commerce
Hochelngn
Merchants. ...
981
1200
Can. Kelt
Can Cottons
Cedars Rapids Mfg..
Can Con
City Mont.Dec.6's. 1922
" MayRs, l9Zt 1200 105
■■ Sept.Ws.l923 ir<m\ 'Wj
Dom. Can. W. Loan. 192.'; 20200
19.111 21."i«0
I93T 31000
Victory Bonds. 1922
1927
1937
1923
1933
101)
98i
I13i
!>1
11.5]
98i
90] I 90]
nuJiVKKXl-Coiitinued.
Sales Open High Low Close
Dom. Cottons 30001 96i
Dom. Coal I 2000| 88
Dom. Textile A ''
Lake of Woods
.Montreal Power
Montreal Fr. deb
Ogilvie Flour
Pcnmans Ltd
Price Bros
Quebec Ry.L.H.&P..
rdon Pulp & Paper
Scotia
Sherwin-Williams
Spanish River
Steel Co. of Canada..
Wabasso Cotton
Wayagamack P. & P. .
Windsor Hotel
TOKOXTO— IVrek Ended Aug. IKIh.
Sales Open High Low
Atlantic Sugar.
Am.Cyan'd
Bell Telephone
Brazilian Tracti<
Burt. F. N
Can. Gen. Elec
...pfd.
Canada Steamship —
.pfd.
Canadian Pacific R —
Canners
pfd.
onsumersGas
Con. Life [
Coniagas
Dome
Dom. Tele
La Rose
Locomotive I
pfd.
Mackay Companies — i
•• ..pfd.
N.S. Car
pfd.
.Maple Leaf
•■ pfd.
.Monarch
Nipissing
Petroleum
Pac. Burt
Porto Rico
Prov. Paper
Rogers
pfd.
Quebec R.L.H. & P
Spanish River
..pfd.
Salesbrook
Sawyer-.Massey
Shredded Wheat
Smelters
Steel Company
....pfd.
Steel Corp
Toronto Ry
Twin City com.
Winnipeg
ItniikH
Commerce
Dominion
Hamilton
Imperial
Merchants
Molsons
Montreal
Nova Scotin. ..
Royal
Standard
305 140
4C, 170
25, 33
37 102
1179, 39]
60l 90
88 90
165 24j
116, .57
16i 89
140, KXI
42; 89
42 69*
225 77
641 133
25 SO
5 83
I18| 136
1.50' 300
600 2. 50
175 12.00
10 85
900 33
65
90
9.35
10i40.50
251 34j
5 79
80 103
46 .54
10 94
lOOi 31
200 IKl
127 lis
20
15
61J
nto..
I.«nii nnd Trniil
Can. Perm
Can Land
Ham. Prov
Lnn.&Can..
Tor. Mortgage
Tor. Oen. Trust
ItflDlIt
Can. Bread
Canners
Pcnmans
Rio. Jan. T.. L.&P...
Steel Co. of Canada .
87 182
49 1951
125 18(1
IIM] 192J
« 178
12 210
11 182
** ISS
66i
9 65
40.50
:t4j
1 95 J
69i ' 70
a5 I 66i
9.35
40.50
34j
•1.65
40.. 50
34i
lasl
'liSl 65 I 65 65 I 65
«»] 9Si I SIS] »5i I 9.5]
TOKOSTO— Continued
M'ar I<onu»t
Sales Open High Low Close
Dom. Can.W.Loan. 1925 15300
1931 1 224O0
1937 60400
Victory Loan 1922
1923
1927
1933
1937
WIXXII'Eft-WfCk ended Aog. 14lh.
Sales Open High Low
14000
2000
Victory Loan 1922..
" 1923..
•■ 1925..
■ 1927..
•■ 1937..
'• 1924..
■■ 1931..
" 1933 I 10500
■' 1934 1 130O0
War Loan 1937 .
North Star Oil
Noj;.JMortgaje^
pfd.
200
KEW I'UKK— Week eniled Aug. I4lh.
I Sales
. 12300
125
Bonds
Dom. of Can. 5% 1921 29000
5j% 1921 .57000
' 5% 1926 12000
5*% 1929 ,56000;
5% 1931, 18000
Ncjv York Curb-
British Empire '
7% pfd.l... !
Canada Copper. 7800
High^
118} I
„_J....
LOMMtN. Eng.— We<^k ended Jnl.v »l8l,
Close
CioT'l. A Mnn.
Alberta 4% Deb. 1922 . .
4% Deb
•• ,4i%
Canada.... 3i% 1938...
•■ . . 3)% 1909-34
" .... 34% 1930-50
" .... 1% 1940.60.
" 44% bds. 1920-25.
Calgary 5% deb. 1934-44
Nfld. 34% bds
■ 34VI9:0
•• 3J% 1950
Quebec 4% bds. . . .
4 . 1934....
4% 1888 . . .
.Montreal 4j% Reg.
34"c
■Bri
ons.deb.
k4%....
Scotia 44% cons.
3l% 19.54
Toronto 4% debs
4",.M44-8
" ■ 44",, 1948
Vancouver 44% cons.
■; 4% deb....
4% cons. .
Winnipeg 44% cons —
Sales Open High Low Closi
62*
Rnllnn.vs
C.Nor.Ont.3!o„debl9(il
3J% 1338..
Can. Nor. 4% deb
4% deb. 1930.
Can. Pac i I 1,56
" 4?« deb.' ' 64
'• 4% pfd.
G.T.P. Br. 4% 1939
G.T.P.3%bds
G. T. P. 4% 19,55
G.T. P 4'^,. deb.
Gr. Trunk.. . 4 ">, guar.
Gr. Trunk5% 1st. pfd .
Gr. Trunk 5% 2nd pfd..
Or. Trunk 4% 3rd pfd
Gr. Trunk Western .5%
Ont. i1 Quebec 5% deb
Ind.. Fin., Kir.
Can. Car 6",,. ..: ....
Can. Cement 7% pfd...
6% bds...
Can. Cottons 5%
C.W.Lumber.5%dehs.
Calgary Power 5% bds.
Toronto Power 44% deb
634
89*
August 20, 1920
THE MONETARY TIMES
Dividends and Notices
BANK OF MONTREAL
Notice is hereby given that a Dividend of Three Per Cent,
upon the paid-up Capital Stock of this Institution has been
declared for the current quarter, payable on and after
Wednesday, the First Day of September next, to shareholders
of record of 31st July, 1920.
By Order of the Board.
FREDERICK WILLIAMS-TAYLOR,
General Manager.
Montreal, 20th July, 1920. 202
THE CANADIAN BANK OF COMMERCE
DIVIDEND No. 134
Notice is hereby given that a Dividend of Three per cent,
upon the capital stock of this Bank, being at the rate of
twelve per cent, per annum, has been declared for the quarter
ending 31st August next, and that the same will be payable
at the Bank and its Branches on and after Wednesday,
1st September, 1920, to shareholders of record at the close
of business on the 16th day of August, 1920.
By Order of the Board.
JOHN AIRD.
General JIanager.
Toronto, 19th July, 1920. 200
DIVIDEND
IMPERIAL OIL, LIMITED
Notice is hereby given that a dividend of seventy-five
cents per share in Canadian funds has been declared by the
Directors of Imperial Oil, Limited, and that the same will
be payable in respect of shares specified in any share war-
rant of the Company within three days after the Coupon
Serial Number Four of such Share Warrant has been pre-
sented and delivered to the Royal Bank of Canada, Toronto,
Ontario, or at the oflice of Imperial Oil, Limited, Toronto,
Ontario, such presentation and delivery to be made on or
after the 31st day of August, 1920.
Payment to Shareholders of record and fully paid up
at the close of business on the twenty-fourth day of .August,
1920 (and whose shares are represented by Share Certifi-
cates), will be made on or after the 31st day of August,
1920.
Shares subscribed for in accordance with the Company's
circular of January 12th, 1920, will rank for the above
dividend pro rata in the proportion which the amount paid
up on such shares from time to time bears to the full price
at which such shares were issued, viz.; seventy-five dollars
per share, but no dividend will be actually pai'l ^V 'he Com-
pany to subscribers until their shares shall have becn.fuUy
paid for and Share Certificates issued therefor.
The books of the Company for the transfer of shares
will bp closed from the close of business on the twenty-
fourth day of August, 1920, to the close of business on the
thirty-first day of August, 1920.
Bv order of the Board. -"
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Wf«lcrii Miiiilrlpal. school anil •■
l>li»ne «:o. ilebenliireit
Correspondence
GRAINGER BUILDING
iprrllillzril III.
invite,!
SASKATOON
THE OCilLVIE FLOLK .MILLS CO.MI'A.N V. LLMlTEl)
DIVIDEND NOTICE
Notice is hereby given that a quarterly dividend of one
;ind three-quarters per cent, has been declared on the Pre-
ferred Stock of the Ogilvie Flour Mills Company, Limited,
payable Wednesday, the first day of September, 1920, to
Shareholders of record, at the close of business Monday, the
twenty-third day of .August, 1920.
By Order of the Board.
G. A. MORRIS,
Secretary -Treasurer.
Montreal, August 12th, 1920. 210
Debentures for Sale
SCHOOL DISTRICT OF DAUPHIN TOWN
No. 905.
TENDERS FOR DEBENTURES
The undersigned will receive sealed tenders for the pur-
chase of $50,000.00 20 years, 6%% debentures of the above
School District.
Tenders will be received up to and including 2nd Septem-
ber, 1920.
This issue is for additional School Accommodation.
No tender necessarily accepted.
R. M. CARDIFF,
Secretary-Treasurer.
Dauphin, Man. 207
TENDERS FOR DEBENTURES
CALGARY SCHOOL DISTRICT NO. 19 OK THE
PROVINCE OF ALBERTA
Sealed tenders will be received by the undersigned up
to Tuesday, August 31st, 1920, for the following de-
bentures:—
Issue No. 1 of 1920.— Debentures for Two Hundred and
Twenty-five TkousamI Dollars ($25,000.00), dated September
15th, 1920, repayable in thirty equal, annual, consecutive
instalments of principal, with interest at six per cent, per
annum, payable half-yearly, in Canadian currency, at the
Imperial Bank of Canada, in Calgury, Montreal, or Tor-
onto, or at the Bank of ManhatUm, New York, U.S..\.
Issue No. 2 of 1920.— Debentures for Twenty-five
Thousand Dollars ($25,000.00), dated September 15th, 1920.
repayable in fifteen equal, annual, consecutive payments of
principal, with interest at six per cent, per annum, payable
half-yearly, in Canadian currency, at the Imperial Bank of
Canada, in Calgary, Montreal, or Toronto, or at the Bank
of Manhattan, New York, U.S.A.
The lowest or any tender not necessarily accepted.
D. C. BOYNE,
Secretary-Treasurer.
Calgary. Alberta. 209
NIBLOCK & TULL, Limited
STOCK, BOND and GRAIN BROKERS
(Direct Private Wlr«-'
Grain Elxchange
Calgary, Alta.
THE MONETARY TIMES
Volume 65.
Corporation Finance
Bell Telephone Company is Making Application for Hijiher Rates— New Schedule, if it Comes Into
Force, will Affect Business Houses Chiefly— Company will be Strongly Opposed from that End-
Wage Increase for Montreal Tramways Employees— Lake Superior Corporation had Satisfactory Year
Montreal Tramways Co. — The strike which has been
threatening: the company for the past two weeks is definitely
cff. On August 15th, employees, by a majority of 1,152, de-
cided to accept the award of the Board of Conciliation. The
new contract is until June 30th, 1921, and is retroactive to
.luly 1st, 1920. It is quite clear that the union will make a
further demand for increases toward the close of the present
year's contract. They will now receive 45, 50 and 55 cents
an hour for the first, second and third year men, respectively.
Tlie increase to the men means an additional $800,000
added to the wage bill of the Montreal Tramways Co., which
will in consequence within a short time make application to
the Monti-eal Tramways Commission for an increase in fares
so that this additional amount may be met.
Twin City Rapid Transit Co. — A comparative income
statement of the company for June, 1920, shows the fol-
lowing results: —
1920. 1919.
Total railway operating income $996,120 $923,672
Total railway operating expenses and
taxes 768,547 680,019
Operating income $227,573 $243,653
Total non-operating income 2,643 1,181
Gross income $230,216 $244,834
Interest on funded debt, etc 90,453 91,906
Net income $139,763 $152,929
Lake Superior Corporation. — At a meeting of the board
of directors of the corporation in New York on August 14th,
annual operating reports of subsidiary companies were sub-
mitted and approved. The directors declared the payment
of 5 per cent, interest on the outstanding income bonds of
the company.
Commenting on the past year's operation. President
Cunningham said that a full detailed report would shortly
be published and forwarded to the stockholders, showing a
most satisfactory operation of the steel plants under the very
trj-ing conditions that existed throughout the year. The steel
company's earnings, after all interest charges, but before
reserve for general depreciation, were $2,591,183, the net bal-
ance carried forward amounting to $1,570,314, making the
total surplus at close of year $2,793,444, subject to taxes.
The future held out encouraging outlook for steel operations
during tlie present year. Coal and ore receipts to cari-y over
winter months' operations were substantially assured by
heavy arrivals in the past and present months.
Bell Telephone Co. of Canada. — Particulars of the appli-
cation it is making to the Dominion Board of Railway Com-
missioners have been announced by the company. The com-
pany asks, if its application is endorsed by the board, that
the new schedule of tolls be effective from September 16th,
1920. In a statement issued by the company it is shown that
the estimated annual revenue will be increased by $4,571,815.
Although an increase of 10 per cent, was granted by the
Railway Commissioners on May 19th, 1919, on all tolls, rates
and charges for exchange ser^'icc, it has been found that the
cost of labor and materials have advanced so rapidly that
the additional revenue made possible at that time is not now
sufficient for the company to catrj* on its business. In a
statement based on the months of May and June, it is claimed
that the annual revenue from all sources is $16,583,367, while
the expenses of operation, 7iiaintenance, depreciation and
taxes total ?ie.468.450. The net telephone revenue of $113.-
016, when compared with the valuation of the company's
pniK.rtv ,,(• ?."i5,025,342, is a rate of return of but .207 per
cent, annually. The cost of materials is shown to have in-
creased by 16.53 per cent.
The company, in presenting its case, states: —
"Owing to the increasing demand for telephone service
in the territory sei-\'ed by the applicant it is essential, in
order to maintain the ser\'ice, that the applicant provide ad-
ditional facilities and extend its present plant from time to
time. In order to provide for this the applicant must arrange
for further financing upon a large scale.
"The necessary moneys to meet this expenditure and
for the applicant's operations cannot be raised unless the
applicant is authorized to charge rates sufficient to provide
a reasonable return upon the applicant's investment. In view
of the cost of raising the necessary additional capital for
the extension of the applicant's business in order to meet the
continually growing demands for telephone service, the appli-
cant submits that reasonable rates for telephone service
should be such as to provide a return of at least 8 per cent,
upon the value of the telephone property used in the service.
"The applicant has given careful consideration to the
method by which the necessary additional revenue should be
secured, and has revised its present rate for exchange tele-
phone service and charges incidental thereto and its long
distance and other tolls in such a manner as fairly to dis-
tribute the rates among the users of the applicant's service,
as well as to permit a wider distribution of service by pro-
%iding additional classes of ser\'ice. The applicant has aiso
endeavored in revising its. rates to conform to the opinions
expressed by the board upon the previous hearing by re-
moving the discrimination in rates between different ex-
change areas which was the subject of criticism at the pre-
vious hearing. The applicant submits for the approval of
the board changes in the following: —
(a) The tai'iff of I'ates for exchange sei"vice.
(b) The tariff of tolls for long distance ser%ice.
(c) The tariff of tolls for miscellaneous equipment and
services.
(d) The tariff of tolls for private branch exchange ser-
vice, and
(e) A charge to be known as 'Sei-\'iee Connection
Charge.' "
The New Schedule
The company requests that the schedule of tolls for ex-
change service be changed so that the tolls be assessed
according to the popu'ation of the various municipalities in
which the stations are located. These are di\'ided into seven
classes, which, with the corresponding rates, are as follows: —
Group 1 — Comprising stations having in excess of 70,000
stations and 400.000 population. The charge per indiWdual
phone for 100 messages per month to be $5 and each ad-
ditional message to be charged 4 cents. The flat rate for
residences would be $4 per month for individual lines and
$3 for two-party lines.
Group 2 comprises 10,000 to 35,000 stations, and 100,000
to 150,000 population. This is made up of Ottawa, Hamilton
and Quebec, and the business monthly rate (100 messages)
are $4.50, with 3 cents for additional messages; and resi-
dence, $3.50 and $2.75.
Group 3, 5,000 to 9,000 stations and 40,000 to 60,00fl
population, includes London and Windsoi;. with flat rates for
business phones $4.75 and $4, and residence $^ and $2.50.
Group 4 includes 2,000 to 5,000 stations, 15,000 to 35,00C
population, with rates at $4 and $3.25, and $2.75 and $2.25:
Group 5, 900 to 2.000 stations, 8,000 to 25,000 population
with rates $3.50 and $2.75, and $2.50 and $2; Group 6, 40C
to 900 stations. 3.500 to 18,000 population, at $3 and $2.50
and $2.25 and $1.75: Group 7, generally less than 400 sta-
August 20, 1920 THE MONETARY TIMES
fiiiiiiiiiiiiniiiiiiiiiiiiiiHiiiiiiiiiiiiuiiiMiiiiniiiiiiraiiiiiiw^
HYDRO-ELECTRIC SYSTEM
CITY OF WINNIPEG
BALANCE SHEET
AS AT 30th APRIL, 1920
ASSETS
Property and Plant iSilu-Uule) _.
Sinking Fund Investments _
Depreciation Reserve Fund—
$891,531.29
694.168.76
776.061.69
3,234.40
$8,942,430.11
2.363.299.14
451,180.46
LIABILITIES
Capital Liabilities-
City u( Winnipeg ConsnllJoted Stock
$6,912,000.00
I'.iO.OOO.OO
$ 234.988.68
1,331,159.29
49,400.68
IiivestuK'nt of Uepreciatfon Reserve . .
Cash In B.iuk ..._ _ _
Accrued Interest on lnve.stments
Current Liabilities—
Accnunl.1 Pnv:ihle
$7,402,000.00
Current Assets-
$143,077.14
62.057.62
131,986.21
63.369.69
396.72
47.293.08
Accrued Liabilities—
I'nniatured Interest on Funded Debt
Wat-es _
Reserves-
Depreciation Reserve ._
.Sinking Fund-
iFivesieil with Sinking Fund Trustees
Amount of Annual I.*vles Accrued.
rnroUedablc .-Vccnnnts
Revenue Surplus
1,6I5.,VS4«5
57,115.25
Accounts Receivable Appliances and Sup-
plies _
Stores _....
$56,247.29
867.96
Consumers' Wiring and Installation.
Sundr.v Current Assets
$1,417,183.99
891,534.29
56.580.86
Prepaid Accounts-
Prepaid Insurance . _
S
2,365.2<,t9.14
40,SI6.04
282.539.20
$
1 1.763. 354 .2J
llJM.3M.2t
INCOME ACCOUNT
FISCAL YEAR ENDING 30th APRIL, 1920
OPERATING REVENUES
Commercial Lighting Earnings $ 310.053.13
Ilomestic Lighting Earnings __ 516.165.20
City Liglit Earnings. ISulldliigs . 21,390.62
City Light Earnings, Street Lighting _... 54.971. 40
Municipal Contract Lighting Earnings, not Winnipeg. 8.513.50
Commercial Power Earnings _ .- 2&t.lI3.50
City Power Earnings, Buildings 20,490.19
City Power Earnings, Water Works - _ — — 24.100.00
JIunlclpal Power Earnings, not Winnipeg 4.234.S3
Tramway Earnings - - — — 7.486.61
Total Operating Revenues $1,251,548.68
N'on-Operating Revenues -. - - - 27.920.73
OPERATING EXPENSE
Sub-station Feeder Systtni
Power ~._
Ceneral .
Tramway
Undistributed
Total of alMiTO Items _ _
Interest on Funded Pebt
Interest on Filiating Pebt ..,_
Ileiirecialion (Includes Sinking Fundi
Taxes ..
Contingencies Exlrnordlnory
Financial Expenses ((
Total Exiiensos ., _ ....
Surplus for 12 mnnilis emllng 30th April. 1930
Sur|>liM at beginning of year
Adjustments during year (Prolli and Losal
Surplus at rbiso nf year, as iwr Balanrc Bheel
RECAPITULATION OF ANNUAL STATEMENTS
Total Re.wn.
S 6.623.663..i6
$ 20.I.16..52
7 MT -iM .T>
360.901. .W)
610.213.72
- ( ^ '0
92.''.91l.!i2
,. ,,-,, , .,- 'ii
1.273.71 1.41
o.-,.3.->,ir.i-n
1.6l.5.618,Ri
10.213.773,63
1.996.601.79
11.763.3.11. 2S
2.406.M5.1.S
c.f-i Ennilngs
: .S45.IM4.I8
S67.62I.47
976.317 .W
995..1II..17
1.02n.4W25
l.(V16.2.SI,»i
1.0'i7.196 99
1.279.109.41
.Suriiliu
.No. of
Vnlu
Peak O.a
, .inc.
for Vr«r.
Cutinniers.
Urnc rated.
in H r
.7 28
$ Ii3.l32.»0»
2J.015
38.701.220
14.080
7i,t.SI
SI.S97 96
29.732
60.337.M,',
I9..SVI
.o«2.78
78.684 72
32.«53
70.654. .360
23.030
781.70
79.729.67
3I.W5
75.834. 750
2«.I30
90&.7J
84,.S74 53
35.392
82.278,070
17.800
541.82
S4.700.0e
a«.3t3
85.336.830
28..VI0
.3IS.M
51.881.00
3i.80»
88.947,100
31,131
•89.88
180.279.53
a>.877
9V,S]I.U0
15,000
iiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiMiiiiiiKimHiiiiiia^^
THE MONETARY TIMES
Volume 65.
tions and G.OOO population, at S2.75 and $2.25, and $2 and
$1.75.
Long distance calls would be classed for the purpose
of charges as station to station, person to person, appoint-
ment, messenger and collect calls.
. By the above arrangement the company claims that tlie
users will pay for the service, and the subscribers who use
their phones but a small number of times will not be bearing
the cost of the larger subscribers. It is evident that if the
new schedule goes into effect business houses will suifev the
most, and the company will be strongly opposed from
that end.
RECENT FIRES
Nanaimo Lumber Mill Destroyed With Loss of S85,000—
Business Section of .Morinville, Alta., Damaged —
Other t'onflagrations — Lightning Caused Six Fires
Belleville, Ont. — August 14 — Barn belonging to Charles
McCann, of Seymour Township, was destroyed with a loss
of .?1,500. The fire was caused by an electrical storm.
Brockvillc, Ont. — August 16— An unoccupied cottage,
owned by Wm. Tindale, on the river opposite Butternet Bay,
was destroyed by fire.
Charlo Sta., N.B. — August 7 — A lightning bolt struck
the residence of W. D. Miller and did considerable damage.
Darling's Island, N.S. — August 11 — Barn belonging to
James Henderson was struck by lightning and destroyed.
Ingersoll, Ont. — August i:i — .\n electrical storm de-
stroyed a barn on the farm of John Sheehan. The loss is
estimated at §2,.500.
Lanfine, Sask. — August 7 — A hardware store and a bank
building were destroyed by fire. The fire originated in a
small oil warehouse.
Who Pays?
NATURALLY, big users of telephone
service are concerned about the
prospect under the message rale tariff.
They have never before realized hovk-
often they use the telephone.
It has never occurred to them that un-
der the low flat rate small users might
be carrying an unfair proportion of the
cost of the service.
Somebody must pay for heavy use !
Who should it be ?
When the facts of the telephone rate
situation have been made cleat, there
are few, we believe, who will question
the fairness of a tariff for business
telephones that fixes payment in pro-
portion to use of the service.
The Bell Telephone Company
of Canada
Limuilou. Que. — August 7 — Barn owned by L. Begin was
destroyed. The fire was caused by an electrical storm. The
loss is estimated at .?5,000.
Morinville, Alta. — August 7 — A fire caused by an ex-
plosion of an oil lamp caused the destruction of one of the
business sections of this town. The loss is estimated at
.'flOO,000.
Nanaimo, B.C. — August 8 — Lumber mill owned by Frank
Beban was destroyed by fire. Estimated loss, $85,000. The
fire was caused by bush fires in that district.
St. John, N.B. — August 12 — Grist mill, carding mill,
shingle mill and barn belonging to David McLean were
damaged by fire. The loss is estimated at $10,000.
Scotstown, Que. — August 1.3— Residence and barn of E.
Leblanc was damaged by fire. The loss is estimated at $5,000,
with very little insurance.
Tabusintac, N.B. — August 12 — Large barn owned by
Mr. McNeill was destroyed by fire together with this year's
crop. The fire was caused by lightning.
Toronto. Ont. — August 18 — Four motor cars in Cleve-
land and Chandler's garage at Yonge and Wellesley Streets
were destroyed. The loss is .estimated at $5,000.
Vancouver. B.C. — August 11 — Royal Canadian Mounted
Police Barracks were damaged by fire with a loss estimated
at $25,000.
ADDITIONAL INFORMATION
Sault Ste. Marie. Ont August 4 — A stable, horses and
equipment, belonging to the Lyon Fuel and Supply Co., Ltd.,
v-ere destroyed by fire. The total loss is $7,500 with insur-
ance of $500 in the Royal Exchange. The fire was started
from a cigarette stub.
Winnipeg, Man. — August 2 — The electric wiring and ap-
paratus, belonging tc the city of Winnipeg light and power
dept., was destroyed by fire. The fire was caused by hot
rivets coming in contact wit'.i axle grease. The loss is
$25,000 with no insurance.
OF INTEREST TO CANADIAN FIRE INSURANCE
COMPANIES
A company in Alexandria, Egypt, is anxious to obtain
the agency for Egypt of a good Canadian fire insurance com-
]iany. Those interested will please convmunicate with Jas. J.
Salniond, president of The .Moiict:ir\ Tijiics.
Four additional fire wardens and several building in-
.spectors will be appointed in Vancouver, orders to this effect
having been given on .\ugust 4 at a special meeing of the
city council to consider Justice Movri^'i"'* v.-pnit nn thf-
Balmoral apartments' fire on June 20.
Hail and Fire
General Agencies wanted by new firm commencing
in Calgary, for either Saskatchewan or Albei-ta or
both. Has exceptionally strong connections over
both provinces, and can assure a strong premium
income. AW enquiries regarded as strictly confidential
.Address replies to:
Box 325, The Monetary Times,
TORONTO
The Monetary Times
Printing Company
■ of Canada, Limited '
The Canadian Ensjineer'
Trade Review and Insurance Chronicle
of (TanaDa
Establishtd ISti'
Old as Confederation
J AS. J. SALMON D
Prosldent and General BIaca,-t>r
A. E. JENNINGS
ABslBl&nt General Hanaec r
JOSEPH BLACK
Secretary
«', A. McKAGL'E
Editor j
Succession Duties and Life Insurance
Comparison of Rates in Nine Provinces of Canada — Nova Scotia, Manitoba
and Alberta Give Special Treatment to Life Insurance — .Many Ways in
Which Insurance Monev Comes in Useful in Administration of Estate
By JOHN COWAN
Toronto General Trusts Corporation, Toronto
ACCORDING to our old friend, Benjamin Franklin, there
is nothing surer than death and taxes. Both have been
with us in many forms since the beginning of time, the great
war especially having yielded an abundant har^•est. This
afternoon we are met to consider the relationship of one of
the more recent forms of taxation, namely, succession duty,
to that class of life insurance which makes provision for the
dependents of the assured in the event of death.
As to definition of terms, it is unnecessarj' in such a
gathering as this to define the business of life insurance;
suffice it to say that, founded as it is on well-ascertained
natural laws and on principles of finance, which, in their
broad aspect, are of the simplest description, it has proved
of untold blessing since its inception in providing funds in
those times of need, which, sooner or later, come to most
of the children of men.
It is difficult to express a similar appreciation of suc-
cession duty, or, in fact, of any kind of taxation. Succession
duty may be defined as a tax on the succession to the estate
of a deceased person by his beneficiaines or next of kin, the
term "estate" including real and personal property of every
description and every interest therein capable of being de-
vised or bequeathed by will on the death of the owner to his
heirs or personal representatives.
Originated in England '
The imposition of this tax on the estate of a deceased
person in the British Dominions dates back to 1780, when
a duty was charged in England by the government of the day
upon property devolving by will or intestacy (that is. in the
absence of a will) to legatees or next of kin of a deceased
person. The principal act dealing with this measure was
the Legacy Duty Act of 1796 by which duty was charged on
personal estate, that is on all the estate left by a deceased
person except real estate, and it was charged only }n cases
where the deceased was domiciled in the United Kingdom.
By the succession Duty Act of 1853 a tax was placed on the
gratuitous acquisition of property which passed on the death
of any person by means of a transfer from one person ualled
the predecessor) to another person (called the successor).
Then came the well-known Finance Act of 1894 under the
chancellorship of Sir William Harcourt. making provision
for payment of death duties and effecting large changes in
the duties which had been hitherto i)ayable. Further amend-
ments to this act were made in 1908. This is briefly the his-
tory of the succession duties in Great Britain.
" In Canada succession duty is entirely a provincial tax.
and first made its appearance in Ontario in 1892, when it
*An address before the Life U^derv^Titers' Association
convention, Ottawa, August 18th to 20th, 1920.
was introduced by the government to meet the growing ex-
penditures of the province for the support and maintenance
of such provincial institutions as the insane asylums, insti-
tutions for the blind and deaf mutes, and for other charitable
and educational institutions. The large revenues which the
act yielded in Ontario led the other provinces to follow her
example, until every province in the Dominion has now a
Succession Duty .Act on its statute book. The highest rate
of duty levied by any Canadian province is 35 per cent., this
being the rate of duty charged by the province of Ontario
on a legacy passing to a remote relative or stranger in blood
of the deceased when the estate exceeds $800,000 in value;
the lowest rate is \j> of 1 per cent., charged by the provinces
of Saskatchewan and .Alberta on an estate passing to the
immediate relatives of a deceased person which exceeds $10,-
000 and does not exceed $15,000 in value. The aggregate
revenue raised during the last three years by the nine pro-
vinces of the Dominion averaged a little over 6^ million
dollars, almost one-half of this amount being raised in On-
tario alone.
Exemptions of Life Insurance
When the Succession Duty -Acts in some of the provinces
were being framed special provisions were made with regard
to payment of duty on life insurance funds.
Let us dip into these acts of the various provinces and
see what they have to say in this regard, for in those pro-
vinces where exemption from pa>-ment of this tax on insur-
ance moneys has been granted a talking point may be found
for the alert agent.
Starting with Prince Edward Island, we find that this
province has made no exemption for life insurance, the pro-
ceeds of all policies, no matter how payable, being subject
to succession duty.
In Nova Scotia insurance moneys payable to certain
benefiicnries are taken into account for the purpose of deter-
mining whether or not an estate is liable for succession duty.
Where any moneys are received or arc payable tjndcr a con-
tract of insurance e(Tecte<l by any person on his life have
been made payable to or for the benefit of the grandfather,
grrandmother, father, mother, husband, wife, child, grand-
child, daughter-in-Inw or son-in-law of the deceased, and the
total amount of such insurance money does not exceed five
thousand dollars, the money received in respect thereof is not
dutiable, although the rest of the estate is dutiable. When,
however, such insurance moneys exceed five thou«nrH Hol!ar«>
they are subject to duty. For example, an est:r
of one thousand dollars and there is five thous.
insurance, payable to a certain bencficiar>-, sue!
niece, cousin or any other collateral relative or stranger in
blood to the deceased, the thousand dollars is dutiable and
the insurance moneys are not . Or take another case. An
THE MONETARY TIMES
Volume 65.
estate has assets of twenty-four thousand dollars and insur-
ance amounting to six thousand dollars, payable to one or
more beneficiaries, the assets and the whole amount of the
insurance funds are both subject to duty. If the insurance
had amounted to only five thousand dollars, the twenty-four
thousand dollars would have been dutiable, but the five thou-
sand dollars would have been exempt.
New Brunswick and Quebec, like Prince Edward Island,
have not yet given special treatment to life insurance in
their Succession Duty ."Vets, all insurance moneys, when
forming part of a dutiable estate being subject to payment
of the duty, whether payable under the policy, will or any
other document.
Taxable in Ontario
Under the Ontario Insurance Act insurance moneys, made
payable to a preferred beneficiary, either by declaration of
the assured or designated by him in his insurance policy, are
not so long as the object of the trust remains, subject to the
control of the assured or of his creditors and do not form
any part of the deceased's estate. One would assume, there-
fore, that such insurance monys not forming any part of the
estate would be exempt fi-om payment of succession duty.
This is not the case, however, for the Ontario government
charges succession duties on all insurance moneys when they
form part of a dutiable estate, no matter how they are made
payable, on the ground that succession duty is not a debt
of the deceased and the provincial treasurer, who collects the
duty, is not a creditor within the meaning of this section
of the Insui-anee Act. Until a few years ago Ontario ex-
empted insurance up to five thousand dollars, but this ex-
emption for some reason or other has been \viped out.
In Manitoba the question as to whether or not insurance
moneys are liable to succession duty is determined by the
manner in which these are made payable. Without any limi-
tation as to the amount, when they are payable by the policy
to the beneficiaries therein named, they are exempt from
payment of duty, but when they are referred to in and dis-
tributed by the will of the deceased, or when they are made
payable to him or to his estate, such insurance is subject to
succession duty.
In the province of Saskatchewan no exemption is made
from payment of succession duty on insurance moneys. Pro-
perty passing on the death of the deceased for the purpose
of charging duty includes money received or receivable under
a policy of assurance effected by any person on his life where
the policy is wholly kept up by him for the benefit of any
existing or future donee, where nominee or assignee or for
any person who may become a donee or a part of such money
in proportion to the premium paid by him where the policy
is partially kept up by him for such benefit.
Sunny Alberta is one of the provinces which has recog-
nized the benefits of life insurance by exempting it from
payment of succession duty in certain cases. .■Vlberta ex-
empts from payment of duty any life insurance moneys when
these are made payable to or for the benefit of a husband,
wife, child, grandchild or mother of the assured, or a part
of such moneys in proportion to the premiums paid by the
assured where the policy was partially kept up by him for
such benefit. In a recent case which came before the Supreme
Court of .Alberta the question was raised as to whether the
money payable on two policies of insurance on the life of
a deceased person was or was not to be taken into account
in deciding the question of the liability of his estate for suc-
cession iluty collected on insurance moneys. The court held
in the case in question that an insurance policy in favor of
a wife who dies before the maturity of a contract becomes,
under the Life Insurance Beneficiaries .\ct, one for the benefit
of the children of the assured, and forms no part of the estate
of the assured, but if the policy is payable to the insurctl's
executors', administrators or assigns, if the wife be not living,
such insurance goes to the executors of the will of the
assured, forms part of his estate, and is, therefore, subject
to payments of succession duty.
In British Columbia insurance moneys are liable for
payment of succession duty when forming part of a dutiable
estate. All property situate within this province liable for
duty according to the act includes all policies of assurance
wherever entered into or wherever payable.
Nova Scotia, Manitoba, Alberta — these, then, are the
only three provinces of the Dominion in which life insurance
receives special treatment in the matter of succession duty.
Practice in the United States
In many states of the United States of America the gov-
emments exempt the first $10,000, $15,000 or $20,000 of an
estate before estimating its value for payment of the inherit-
ance tax or succession duty. Such exemptions have not yet
been recognized by our Canadian provinces. It may be that
our provincial treasurers have not yet fully appreciated the
extent of the increase of the cost of living in the past few
years; they certainly have not in six of our provinces fully
appreciated the part that life insurance plays in a man's
estate. Some recognition is surely due to the peculiar posi-
tion of life insurance funds. Intended primarily for the pro-
tection and support of one's dependents, it is often the only
opportunity available for a man to create any estate at all,
and some real service could surely be rendered by such an
organization as the Life Underwriters' Association of Canada
making representations on this subject to those provinces
which do not exempt life insurance from payment of duty.
Exemption Limits and Rates
Before leaving this part of my subject it may be useful
to incorporate in this paper a statement showing the amount
in each province at which an estate becomes liable for suc-
cession duty when it passes to such near relatives of the
deceased as husband, wife, child, the rate of duty and the
period from the date of death in which the duty is payable.
Prince Edward Island $10,000 2 % 18 months
Nova Scotia 25,000 2Vi'7o 18 months
New Brunswick 25,000 IM'/f 6 months
Quebec 20,000 IH 7f
Within thirty days of a statement of the duty payable
being furnished to the executors by the collector, this state-
ment being based on an inventory of the estate assets to be
filed within three months from date of death.
Ontario $25,000 1 7c 18 months
Manitoba 25,000 1 7c 6 months
Saskatchewan .. 10,000 '^7f 18 months
-■Vlberta 10,000 \~i'7c 6 months
British Columbia 25,000 l%7c 2 years
HaNing now learned what the various Succession Duty
Acts have to say with regard to life insurance, let us turn
to the practical side of our subject and see what part life
insurance plays in the administration of an estate.
Policies are .\lways Good Assets
When a person has died and his estate falls to be ad-
ministered, one of the first duties of the executor who takes
the estate in charge, after reading the will, is to go carefully
over the assets left by the deceased, noting, among other
things, any insui-ance policies which may be found among
the deceased's papers, and ascertaining if these are in force,
and notifying the insurance companies interested of the
death of the assured and of their appointment as the executor
and trustee of the estate. The experienced executor knows
that these insurance policies are among the most valuable
documejits left by the deceased. Proof of death and the right
of the executors or beneficiaries to collect the proceeds of
these policies is all that is required to turn them into cash.
The question as to the ability of the insurance company to
make immediate payment does not arise, nor does the neces-
sity of having to sell the security on a low market in order
to obtain funds, as may sometimes be the case with listed
stocks. These features make life insurance policies of special
value among the assets of an estate.
When a testator by his will has provided that his widow
shall be entitled U) the income only from his estate and the
capital divided amone- his children or others on her des***--
August 27, 1920
THE MONETARY TIMES
and has not specifically provided for payment of succession
duty out of his general estate, then the duty is payable by
the widow out of the income to which she is entitled within
the time mentioned in the statute, namely, from six to
eighteen months (with the exception of one province) from
the death of her husband. The duty becomes a first charge
against the income to which she is entitled, and, therefore,
no income can be paid to her until this charge has been first
met. In such cases this is the only charge for succession
duty against the estate until the death of the widow, when
the estate is revalued, duty then charged on the balance of
the estate and deducted from the shares of the remaining
beneficiaries before payment to them of the same. Needless
to say, payment of the duty by the widow out of her income
causes considerable hardship and inconvenience. To maintain
a family of, say, seven in number, a widow and six children,
to provide food, clothing and education on the income from
a $30,000 estate leaves little, if any, of a surplus, especially
when no provision has been made for payment of succession
duty out of the general estate. Many wills left by testators
make no such provision, and the consequent hardship caused
to the widow and family is very great. By the exercise of
foresight in drawing a will and by the deceased providing
sufficient insurance funds to meet such claims, this hardship
and inconvenience could be avoided.
Insurance Useful in Many Ways
Then again, it is often of material benefit to an estate
when insurance moneys are made payable to the executors
of the deceased and not to beneficiaries named in the policy,
especially in cases where the estate comprises assets which
cannot readily be realized, such as unimproved real estate
or unlisted stocks. In some instances executors of estates,
and of fairly large estates at that, when they take over the
administration of an estate find that there are no funds
available for payment of taxes or for payment of claims,
succession duty, etc., and in order to pay these it has been
necessary for them either to advance the moneys out of their
own pockets or to mortgage the -real estate under their care.
If the right to mortgage the real estate has not been con-
ferred upon them by the will, it is necessary for them to
make application to the court for an order giving them this
right, with all the trouble and expense involved. These are
cases in which the use of insurance moneys greatly facilitates
the administration of an estate for the executors.
In one case the assets of an estate consisted of improved
real estate right in the heart of Toronto. The circumstances
were such that in order to pay succession duty the property
had to be mortgaged in order to raise the funds necessary,
whilst in another estate the assets consisted of a valuable
subdivision on the outskirts of the city, which, for the same
purpose, was required to be sold when there was a depres-
sion in the real estate market, the sale resulting in consider-
able loss to the estate.
Example of Hardship
Similar circumstances frequently present themselves in
the estate of a business man, especially in cases where his
whole assets are tied up in a business. Let us take the case
of a man leaving an estate valued at, say, $160,000 in such
shape. Under his will he has given his widow an annuity
of $.5,000, to a brother who has been associated with him
in the business he has given a legacy of $15,000, and the
remainder of his estate is bequeathed to his only son. The
will directs that the business is to be continued untiV his son
reaches the age of twenty-five years, when he is to become
entitled to his father's share and take his place in the man-
agement. If the son does not wish to enter the business it
is to be sold, the first option to purchase to be given tq the
testator's brother. Meanwhile the executors have some bills
to meet. There are the personal obligations of the deceased,
testamentary expenses, the $1.5,000 legacy to the brother,
and in addition to these succession duties amounting to be-
tween $12,000 and $13,000. It is foun.i that the executors
have not the funds on hand to meet these obligations, and
are placed in a verv awkward position To withdraw the
funds from the business at a time when it has lost its execu-
tive head may involve a serious curtailment of its operation
or serious financial embarrassment. But the executors are
anxious to continue the business and carr>- out the wishes
of the testator as expressed in his will, and so are obliged
either to advance the funds themselves or to arrange a line
of credit with the bank, neither of which propositions are
very likely to be satisfactorily arranged.
Prevents Sacrifice of Business
Another instance arises when insurance moneys would
have proved of real assistance to an estate is that of the case
of a structural engineer. At the time of his death he had
on hand several large contracts which he was carrying out
with the assistance of the bank. In order to realize as much
as possible for the estate and for the benefit of his widow
and children the executors decided to complete these con-
tracts. Arrangements with the bank entailed pajTiient to
them of all moneys received for the work as it progressed,
and this left no funds available to the executors wherewith
to pay succession duty or for the support of the dependents
of the deceased, and it was only with great difficulty and
after careful negotiation that arrangements were made with
the bank whereby the executors were enabled to complete
the contracts and finally wind up the estate with advantage
to those interested. But in the meantime, what of the family ?
They had to wait pending the satisfactory outcome of these
contracts, and naturally suffered much inconvenience. How
much more satisfactory it would have been for the executors
in both of these estates and for the estates generally if the
testators had each carried insurance policies sufficient to
meet such contingencies.
It is needless for me, in a gathering of the life under-
writers of Canada, to elaborate on the benefit of life insur-
ance. The gentlemen comprising this audience know a great
deal more of the benefits of life insurance than does the
speaker. I would not close this paper, however, without
emphasizing the fact that the field for this class of life in-
surance is ever widening. As the result of the development
of our young country, with its consequent increase in wealth,
and the result of the increasing expenditures of our pro-
\incial governments, our Succession Duty Acts are being
constantly revised and amended. With business conditions
ever assuming a more complex character, there are innumer-
able opportunities for the agent who knows his ground and
makes a close survey of his prospects to secure business in
a lucrative field. More power, then, to your elbow "to ad-
vance the best interests of true life insurance!"
COltAI.T OKK SHH'MENTS
The following are the shipments of ore, in pounds, from
Cobalt Station for the week ended August 20th: —
Dominion Reduction Co., 66,000; O'Brien Mine, 04.020;
Northern Customs Con., 64,600; Nipissing Mine. 23S.375;
Coniagas Mine. 132.19S. Total. .565.193. The total since Jan-
uary 1st is 15,605,390 pounds, or 7,802.6 tons.
NKW Al TOMOIULE FIN \N( IN<. (OMl'VNV
The Sterling Securities Corporation. Ltd.. is the luime
of a company formed last week in Regina. Three hundred
thousand dollars of stock will be issued at once, over
half of thi.s amount having been subscribed by directors and
their friends. The main bu.iincss of the company will be the
discounting of conditional .nalc agreements creatcil by the sale
of automobiles, although the charter also calls for other
forms of business. Premier Martin, of Saskatchewan, is
president, the other directors being: Aid. W. E. Mason, dis-
count company manager; Col. J. A. Cross, K.C.; H. W.
Givens. mortgage company manager; Lome Johnson, trust
company manager; A. H. Tasker, farming and financial
director- W. D. Craig, telephone contractor.
THE MONETARY TIMES
Volume 65.
GOVERNMENT PUBLICATIONS ON THE DECREASE
Would-be Authors of Official Reports are Suppressed by
Editorial ^Board — Important Saving in Expense
(Special to 'I'lic Moiictiiiy J'iiius.)
Ottawa, August 26th, 1920.
ONE of the greatest faults of the old Union government
was its inability to keep in touch with public sentiment
or to keep the public informed of what it did. Union govern-
ment, as a matter of fact, instituted many reforms of which
no one outside of Ottawa, or few in Ottawa, ever heard. One
e.xample is a reform in the publishing of government blue
book bulletins, etc., which has saved the country probably
a full quarter million dollars a year.
Anyone who knows anything about governments is aware
of the colossal waste and extravagance in the issue of official
documents. Every department turns out blue books by the
thousands, and officials love to issue reports under their own
signatures — it is only human. With the pressure for economy
during the war and the shortage of paper, the Cabinet ap-
pointed a committee to consider ways and means of effecting
savings. This committee brought in a drastic report, and
as a result it was given, by order-in-council, full authority
to handle all government blue books and publications. Under
the order all blue books had to be approved and authorized
by the committee, which was known as the editorial com-
mittee, with Fred Cook, assistant King's Printer, and an
experienced newspaper man, in charge. The committee has
made such savings and has brought about such economies
that it has been made a permanent institution, with Mr. Cook
as the head.
The following comparative tables give some idea of the
achievements which the committee has been able to bring
about in the reduction, both in the text of manuscript reports
and the number of copies printed: —
Departmental Reports
1915-16. 1917-18. 191S-19.
Number of copies 325,365 195,624 151,425
Number of pages 39,356 26,482 19,808
Total number of printed
pages 210,007,404 105,261,128 55,742,120
Distribution to parlia-
ment 112,600 72,735 51,685
Distribution to depart-
ments 162,060 91,354 83,065
Stock 6,905 5,685 3,480
Sessional papers 43,600 25,850 13,225
Cost $255,813 ?196,285 $150,509
Supplementary Reports
The comparative figures of supplementary reports to
parliament for the same years are: —
1915-16. 1917-18. 1918-19.
Number of copies 222,085 123,075 56,080
Number of pages 19,508 13,168 5,776
Total number of printed
pages 60,799,190 23,313,800 11,067,120
Distribution to parlia-
ment 67,950 49,050 17,950
Distribution to depart-
ments 136,575 t>0,675 32,700
Stock 1,840 1,750 580
Sessional papers 15.720 11,600 4,850
Cost $87,488 $61,612 $38,457
When a blue book or official publication of any kind is
desired it must be approved first by the editorial committee.
This committee decides on the size, quality and number to
be issued. Many a budding official author has been cruelly
nipped by the editorial committee. Many departments also
ran riot with expensive cuts and maps. These have been
treated even more drasticallv.
The comparative figures of the past four years of the
reductions in the use of illustrations in annual and supple-
mentary,' reports are evidence of what the committee has
been able to accomplish: —
Plates inserted, 1916 9,397,865
" « 1917 6,622,005
1918 2,326,840
1919 137,100
The committee has also insisted on a more careful re-
vision of the lists of government publications. The com-
mittee in its last report makes this comment on this sub-
ject: "The committee is of the opinion that since confedera-
tion thousands of tons of printing paper, worth hundreds
of thousands of dollars, have been thrown away in the manner
indicated. The importance of frequent revisions of depart-
mental mailing lists cannot be emphasized too strongly. Your
committee has tested them in a few eases. Those examined
were found to contain a great amount of "dead wood," and
representations were promptly made to get rid of it. One
batch of fifty names on the list to receive the report of the
railway board turned out to be pupils of one of the Hebrew
schools in Montreal. The attention of parliament is drawn to
the 'notification card' system in use in one or two branches
at Ottawa, and respectfully commends its more general adop-
tion. WTiere an individual whose name is on the mailing list
fails to forward the return portion of the card to the distri-
bution office or branch making the inquiry the name should
be dropped."
MONTREAL STOCK EXCHANGE ELECTION
The Montreal Stock Exchange on August 24th announced
the election of William Daney Chambers to membership. Mr.
Chambers was until recently manager of the Ottawa office
of the stock brokerage firm of Greenshields and Co., and is
leaving that institution to go into partnership with Col.
Stanley Watson, who resigned from the managership of the
Montreal branch of Sutro Brothers and Co., New York finan-
cial house.
BUSINESS CONDITIONS FAIRLY GOOD
In its August review of general business conditions, the
National City Bank of New Y'ork says: —
"The general business situation has undergone little
change in the last month. Retail trade has been good for
the season and confidence in the future is strengthened by
the fine progress of the crops. Nearly everybody seems to
understand that an abundant production on the farms is
good for the country, although the doctrine of greater pro-
duction everywhere is not so well appreciated. The settle-
ment of the railroad wage controversy and improved pros-
pects for peace in Europe were also factors on the con-
structive side.
Outside of the lines of production in which disturbance
began several months ago. notably wearing apparel, the in-
d\istries are more embarrassed by transportation troubles
than by lack of demand for their products. The iron and
steel people and other manufacturers of material entering
into construction see plenty of business ahead, although
house-bnilding has suffered a check. Construction for busi-
ness purposes holds up, but investors are hesitating to put
money into dwellings or apartments at present costs and
with the existing anti-landlord agitation. The scarcity of
capilal of course is an important factor, and with conditions
as they are it goes more readily into investments for the ser-
vice of business than into buildings for family use. In gen-
eral it may be said that there is little evidence that the \
buying power of the public has been impaired, although
there has been an accumulation jf goods in some lines and
prices are unsettled. The agricultural districts are looking
for a continuance of good trade."
Augrust 27, 1920
THE II 0 N E T A R Y TIMES
Trad« Review and Insurance Chronicle
of Canada
Address: Corner Church and Court StreeU. Toronto, Ontario, CaowU
Telephone: Main 7404, Branch Exchange connectine all departments.
Cable Address: "Hontimes, Toronto."
Winnipeg OflSee: 1206 Mc.^jthur Building. Telephone Main MM.
G. W. Goodall, Western Manager.
SUBSCRIPTION RATES
One Year Six Months Three Months Single Copj
$3.00 $1.75 $1.00 10 Cents
ADVERTISING RATES UPON REQUEST.
The Monetary Times was established in 1867, the year of Confedera-
tion. It absorbed in 1869 The Intercolonial Journal of Commerce, of
Montreal ; in 1870 The Trade Review, of Montreal : and the Toronto
Journal of Commerce.
The Monetary Times does not necessarily endorse the statements and
opinions of its correspondents, nor does it hold itself responsible therefor.
The' Monetary Times invites information from its readers to aid in ex-
cluding from its columns fraudulent and objectionable advertisements. Al'
information will be treated confidentially.
SUBSCRIBERS PLEASE NOTE:
When changing your mailing instructions, be sure to state fully both
your old and your new address.
All mailed papers are sent direct to Friday evening trains. Any snb-
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the circulation department.
PRINCIPAL CONTENTS
Editorial: ■ page
Tlie Life Underwriters' Convention 9
Great Britain's Example in Public Finance 9
Two Leaders on the "Tariff lo
Special Articles:
Succession Duties and Life Insurance o
Government Publications on the Decrease 8
Harvesting in Full Swing in the West 14
Development of Colonization Scheme in the West 16
The Use of the Insurance Blue Book is
Life Underwriters' 1920 Convention 26
Postdated Cheque is Good Security 30
Personal Liability of President of Company 30
Ontario's Rights to Water Powers 4T,
Monthly Departments:
Government Currency 22
Trade of Canada in July 24
Weekly Departments:
News of Industrial Development in Canada 32
News of Municipal Finance 36
Government and Municipal Bond Market 38
Corporation Securities Market 42
The Stock Markets 44
Corporation Finance 46
Recent Fires 48
THE LIFE UNDERWRITERS' CONVENTIONS
EDUC.\TION of the public as well as of the agent is the
purpose of a movement, which is now on foot among
life insurance agents, to hold district conferences in various
parts of the country. Three such educational conferences
were held during the past year at London, Ont., Peterboro,
Ont., and Winnipeg. Such local meetings give the agents an
opportunity to attend, and bring the value of life insurance
more directly to the attention of the average man than
does the annual Dominion-wide convention. The same would
also be true if these meetings were e.xtended to provincial
scope, as most full-time agents would take advantage of this
opportunity to make one trip per year to whatever place
within the province at which the meeting was held. Such
an extension was suggested at the Dominion convention just
held at Ottawa, and one provincial organization has already
been formed in Saskatchewan.
The main difficulty with the Dominion conventions
now held is that the distance to be travelled means too great
a sacrifice to the average field man. Canada is a country
of great area but of sparse population, and this factor is
an important one in determining the work and methods of
such organizations. Matters which require the attentions of
life underwriters throughout the Dominion could effectively
be dealt with by a small gathering, representing provinciai
or local associations and acting on lines laid down by thcni.
This would leave the provincial meetings free for the dis-
cussion of provincial questions such as licensing, taxation
and insurance law, for educational discussions and for social
intercourse. The insurance business in Canada has now
extended to such a scope that there is within each province
sufficient numbers and talent for the holding of successful
meetings of this kind. A parallel case is found in th.- union?
of municipalities, where the provincial organizations heade<i
by an energetic executive have been able to hold successful
meetings, while the Union of Canadian Municipalities has
received little support because of the inconvenience m at-
tending and because of the paucity of subjects of general
interest from coast to coast. This would not prevent the
agents in any district within a province from organizing
smaller meetings if they saw fit to do so, but the local meet-
ings in each city would probably be found sufficient to com-
plf-te the procT.ini
GREAT BRITAIN'S EXAMPLE IN PUBLIC FIN ANCK
WHILE the national debt of Canada grows by leaps and
bounds. Great Britain is making a successful effort
to bring expenditure within revenue and thereby reduce her
capital obligations. During the month of June the net debt
of Canada increased by $24,K14,1.59 to a total of *J. •■■'.
119,030, which is $13:5,000,000 greater than it was ,;
ago. Our provincial and municipal borrowings continj.
be exceptionally heavy, and far too large a proportion of
these new obligations are being incurred in the United States.
This borrowing across the line has the immediate effect of
holding down the premium on New York exchange, but the
fact that the capital and interest must some day be repaid
means that a growing influence is being thrown on the side
of a high New York exchange rate.
Britain's achievements have been accomplished in the
face of greater political and industrial difficulties than have
arisen in Canad:! since the armistice. The British public
demands bread and conl below cost, railway services at rates
prev-ailing when wairvs wore lower and working hours
longer, and numerous other concessions which can be met
only from the national purse. Faced with this situation, the
chancellor of the exchequer has nevertheless laid unqualified
stress on the importance of finance, .\lway8 a creditor in
the foreign field, a special effort is being made to reduce
the national debt abroad. A "white paper" issued early
in July by the British government shows that at the end of
March, 1920. the nation was liable to outside countries for
the amount of i"l .278,71 4.000, as compared with fL-^ei. 8.50,000
on March 31, 1919, making a net reduction of £86,136,000
during the fiscal year. Since the beginning of the current
THE MONETARY TIMES
Volume 65.
fiscal year a further net reduction of over i;4,500,000 has
been effected.
A detailed statement of the obligations to the various
countries is of special interest here because of the important
place held by Canada among 'Great Britain's creditors. It
shows, however, that the total owed to Canada on March
31, 1919, was almost cut in half during the year which fol-
lowed. The figures are as follows: —
Sterling
equivalent" of
amount Net increase ( + )
outstanding on or decrease ( — )
County in which payable March 31,1920 during 1919-20
£ ' £
U.S.A 1,046,774,000 -I- 9,441,000
Canada 73,419,000 —62,069,000
Argentina 19,200,000
Straits Settlements 7,656,000 - 624,000
Japan 7,170,000 - 11,860,000
Loans from certain Allied
Governments 113,.500,000
All other countries 10,995,000 — 21,024,000
Total 1,278,714,000 - 86,136,000
* Converted at par.
Of the total amount outstanding £865,652,000 is payable
on demand to the United States government, and £37,297,000
to Canada, which, in the opinion of the London StaliKt, con-
stitutes a considerable menace to the money mai-ket there.
The sum payable on demand to the Canadian government
was reduced last year by over 54 '/^ millions, but, doubtless
on account of the large maturities which had to be met in
.America, demand indebtedness to the United States govern-
ment was increased by £24,830,000. The item "loans from
certain allied governments" will be used merely as a set-off
against the large debts owed by the allies to the United
Kingi'om.
Revised estimates for the current fiscal year, ending
March 31st. 1921. show revenue of £1,418,300,000 and ex-
penditure of £1.184,102,000. This leaves a balance of
£234,198,000 for debt redemption. This will be the
first year since war expenditures, and if Great Britain
can reduce its national debt by bver £200,000,000 a great
financial feat will have been accomplished.
rWO I.KADERS ON THE TARIFK
M.^INTENANCE of the protective tariff is one of the
central planks in the platform of the new National
Liberal and Conservative administration in Canada. The
tariff will scarcely be increased in the face of the low
tariff agitation which has become so strong of late. But
that no substantial reduction need be expected is indicated
in the statement made by Premier Meighen, in connection
with the work of the tariff commission, that "wherever there
is a tax or schedule that is not absolutely necessary it :vill
be wiped out." The workings of the tariff are so intricate
that very few cases can be found where a re<luction is pos-
sible without adapting the principle of a general reduction.
In a speech at Belleville. Ont.. on .■\ugust 11, the premier
also took pains to show that the average duty now was the
lowest in forty years, or since the adoption of the national
policy. The average rate on dutiable goo<ls now is 22.58
per cent., compared with 29.98 in 1898 and 26.76 in 1910.
"Th? tariff policy of this country," he said in a distinctively
protective utterance, "is to keep Canadian workingmen in
C'^nadn. The policy of the government is to enlarge the
employment market and add to the size of Canada. The
policy of the government is to make goods here and keep
people here with plenty of work for every class of man.
The policy of the government is to give Canadian industries
of every kind just i nough advantage in the Canadian market
to make it pay them better to stay here and expand than
to diminish their plants or to leave."
Hon. W. L. Mackenzie King, leader of the Liberal party,
is also on record in support of protection. His position is
not so clear, however. In political debate there may be such
a thing as the "tariff' for consumers and producers" to
which he pledges the Liberal support, but it cannot work out
that way in economic life; for a tariff helps the producer
by raising prices, something which can scarcely be a benefit
to tlx3 consumer. In his statements in Toronto on August
14 the Liberal leader seemed to waver between a tariff to
take care "of the position and needs of all the industries
in our country," a tariff to provide the large sums of money
which of necessity will have to be raised by indirect taxa-
tion," and a tariff providing "substantial reductions of the
duties on the necessaries of life." Indeed, he seemed to be
attempting the impossible task of combining the three in one,
and even went so far as to say that "such a tariff is not
only in the interests of the people of the rural
parts, but also in the interests of city dwellers." There
seems to be no doubt, however, but that it is a downward
revision of the tariff which is intended, for he expressed
himself to this effect in one part of his speech, and the
platform of the Liberal party as laid down last year at
Ottawa contains a clause to this effect.
Between the two viewpoints the choice seems to lie with
the latter. The Liberal leader may be too ambitious in his
political appeal, and too optimistic as to the damage which
would be done to the city industries, but it is by a lower
tariff that the position of the country, both economically and
politically, can be strengthened. The rural communities are
to-day the soundest elements in Canada. The farmer has for
forty years been handicapped by the tariff, while both manu-
facturer and employee in the cities have taken advantage
of the protection to bring about such favorable living condi-
tions as to produce a serious depopulation in the rural
districts. "Canada is topheavy with industry, while the basis
of the structure has been neglected. A very gradual re-
duction in import duties will remedy this unsatisfactory
condition.
The mayor of Toronto has inaugurated a campaign
against high prices, but the citizens are not optimistic as
to the results.
Writers of letters to the daily press are now instructing
the Canadian National. Railways where to build lines and
how to operate them. Between an apathetic public and an
exacting public the National Railways management has little
to choose.
The amount of sugar on hand in the United States for
the year ended June 30. 1920, was 9,734,000,000 pounds. The
iuoracc for the three preceding years was 8,428,000,000
pounds. The public was rather suspicious about the reported
srgar shortage during the past year.
Wliin the Bell Telephone Company was giving efficient
service, higher rates were on this account considered un-
necessary. Now that the service has fallen down under the
han('ic:>p to high operating costs, the argument is presented
that nothing more should be paid for inefficiency. What the
public demands, apparently, is more than it is willing to
pay for.
"Clothiers and garment manufacturers are frantic in
their efforts to circulate high price propaganda to deceive
retailers and the general public." says the New York
"Journal of Commerce" in its dry goods' review for August
21st. It adds: "Textile prices are falling all over the world,
and it is finally being acknowledged by bankers and others
that merchandise is not at all scarce anywhere, in so far
as famine is implied by scarcity." The effort to circulate
propaganda aimed at keeping up buying has already been
referred to in these columns Dullness in business indicates
that it has been far from successful.
August 27, 1920
THE MONETARY TIMES
11
Trade with the Orient
With correspondents of the highest
standing in China, Japan, India and
other countries of the Orient, and
branches in al! the principal ports on
the Pacific coast of North America,
namely :
Prince Rupert Portland, Ore.
Victoria Seattle
Vancouver San Francisco
this Bank is excellently equipped to
serve the interests of Canada's grow-
ing trade with the Orient.
THE CANADIAN BANK
OF COMMERCE
Capital Paid-up
Re»erve Fund
$15,000,000
515,000,000
TRADE EXPANSION
The fundamental principle
of this Bank is — to foster the
growth and development of •
Canada's enterprises and
resources.
Advances will be made to
aid in the expansion of
legitimate undertakings.
Consult our Manager as to
your present and future plans
IMPERIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land - The Commercial Bank of Scotland,
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
Now more than
400 Branches (|
in Canada
CONSTANTLY enlarging our sphere
of influence that we may extend
to you — our customers — the fullest
possible banking accommodation, we
have made notable additions to our
branch bank system in Canada durmg
this year.
We have 400 branches and continue
to grow.
UNION BANK
OF CANADA
Head Office - - WINNIPEG
THE
Bank of Nova Scotia
Established 1832
Capital
Reserve
Total Assets
$9,700,000
$18,000,000
$230,000,000
GENERAL OFFICE : TORONTO, ONT.
H. A. Richardson. Grncral Manaurr
Branches at all the piincipal centres
thioughoul Canada and in Newfound-
land, Cuba. Porto Rico, Dominican
Republic. Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
SI. OLD BROAD STREET. EC. 2
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
Geo. a. Watson, who for eight years has been commis-
sioner of telephones in Manitoba, has resipied on account
of failing health. Mr. Watson will continue as commissioner
until a successor is appointed.
A. "C. Flummerfelt, Victoria, was elected president of
the British Columbia Bond Dealers' Association, at the
organization meeting in Victoria on August 23. The
organization comprises the chief bond houses of the province.
Orvili.e B. Shortly, who was last week elected president
of the Life Underwriters' Association of Canada, is manager
for the Metropolitan Life Insurance Company in Toronto,
and before com-
ing to Toronto he
was manager for
the company in
Ottawa. For many
years past he has
taken an active
interest in the
work of the asso-
ciation, and last
winter was elect-
ed president of
the Toronto Life
Underwi'iters' As-
sociation. Import-
ant developments
are planned for
the coming year
by the under-
writers. Applica-
tion will be made
for a Dominion
charter, and ar-
rangements are
to be made for
a series of edu-
cation a 1 con-
gresses in dif-
ferent parts of Canada. In accordance with the practice for
several years past the president will make a tour of Canada,
visiting the local associations and investigating the problems
oi the life insurance agents from coast to coast.
OBITUARY
.Alexander Brlxe, K.C, one of Ontario's most prominent
barristers, died at his home at 91 Bedford Road, Toronto,
on .August 20th, at the age of 84. Born in Aberdeensliire,
Scotland, on November 23rd, 1836, Mr. Bruce came to
Canada while yet a young man and located at Hamilton.
He was head of the firm of Bruce, Bruce and Counsell, when
he moved to Toronto in 1905 to become general tolieitor of
the Canada Life Assurance Company. In addition to being
general solicitor, Mr. Bruce was made a director of the com-
pany, and also of the National Trust Company. In 1886
Mr. Bruce was made a Bencher of the Ontario Law Society.
OSLER AND CO. REORGANIZED
Messrs. A. E. Osier and Co., Toronto, announce the
retirement from the firm of A. E. Osier, to accept the pre-
sidency of A. E. Osier and Co., Ltd., a company formed
with an authorized capital of JoOO.OOO to take over with
Gordon Taylor the business of A. E. Osier and Co. Directors
of the new company are: A. E. Osier, president; T. W. Mc-
Garry. K.C, vice-president and chairman of the board: Gor-
don Taylor, managing director; W. W. Butler, president,
Canada Car and Foundry Co., Montreal; Charles McCrea,
M.P.P., Sudbury, Ont.; J. E. Regan, secretary-treasurer.
UNITED STATES' TRADE WITH CANADA INCREASES
United States total trade with Canada for the twelve
months ended June, 1920, was $1,427,512,404, showing an
increase over the total trade between the two countries for
the corresponding period of last year of over $150,000,000,
according to the monthly summary of foreign commerce of
the United States. United States sales to Canada for this
period reached a total of $890,135,023, as against $810,745,160
for the corresponding period of 1919. Canada's sales to the
United States for the twelve months ended June, 1920, were
$537,377,381, as against $468,954,818 for the corresponding
period of 1919, an increase of $70,000,000.
Canada sold to the United States in the twelve months
ended June more goods than any country in the world except
Cuba. In the same period Canada bought from the United
States twice as much as all the South American countries,
one-half of what comprised United States total sales to the
whole of North America, and nearly $200,000,000 more than
France, which is now the United States' third best customer,
the United Kingdom and Canada being respectively first and
second.
LIFE INSURANCE TAXES IN QUEBEC
The Eastern Townships Life Under\vriters' Association
has passed the following resolution, protesting against heavy
taxes in the province: —
"Whereas life insurance companies and agents are taxed
by the federal government, by the provincial government and
by many of the municipalities in the province of Quebec, and
in some of the latter cases both the company and the agent
pay a tax, to wit: —
"Canadian life insurance companies have to deposit:
(1) $50,000 with the federal government for their charter.
(2) Have to pay for the support of the department of insur-
ance. (3) Pay the Quebec provincial government 1% per
cent, on their premium income. (4) Pay the Quebec pro-
\'incial government an annual fee of $150. (5) Pay some of
the municipalities as high as $50 to do business in the city
or town.
"The agents in Quebec have to pay: (7) A provincial
tax of $5 or $3 per year. (8) A municipal tax scaling down
from $25 in many places. (9) .\ non-resident tax in many
municipalities of an amount double and treble the resident
tax.
"WTiereas these special accunmlated taxes are imposed
upon the companies and the agent in addition to the usvial
taxes paid by the ratepayers, such as real estate, rent, in-
come, etc.
"Therefore, be it resolved that: —
"We. the members of the Life Under^v^iters' Associa-
tion of the Eastern Townships in annual meeting assembled
do hereby record our protest against this multiplication and
duplication of taxes, which are unjust and a burden too
onerous to be borne, and we respectfully request the Cana-
dian Life Officers' .Association to take immediate steps to
relieve the situation, particularly ha\nng reference to the
provincial tax of 1% per cent, and the municipal tax on
agents, as the latter, to our minds, is ultra vires of the pro-
vincial government to authorize, seeing. —
"1. That all the Canadian companies are chartered by
the federal government to do business throughout the whole
Dominion, and business cannot be secured without the inter-
vention of agents.
•■'2. Tliat the agents have a pro\'incial license to do
business throughout the province, and it seems to us that the
pro\-inoial license is sufficient authority for the agents to do
business an>-where, and any municipality which ignores this
license and refuses to allow its holder to do business within
its borders is defying the provincial government, is placing
the government in an vindignified position and over-riding
the government authority."
August 27, 1920
THE MONETARY TIMES
18
The Sterling Bank
OF CANADA
Our policy of familiarizing ourselves personally
with the needs and opportunities of each client's
business has resulted in a better understanding
when credits are being arranged, and has thus meant
taking full advantage of business opportunities.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Koyal Charter and Act of Parliament. Established 18V5
Capital Subscribed /5, 000,000 S25.000.000
Paid up 1.100,000 5.500,000
Uncalled 3.900,000 19,500,000
Reserve Fund 1 .000 000 5.000,000
Head Office • EDINBURGH
WILLIAM CARNEGIE, General Manager. GEOKGE A. HUNTER. Sec.
LO.VDON OFFICE— 37 NICHOLAS LANE. LOMBARD ST., E.C. <
T. C. RIDDELL. DUGALD S.MITH.
Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London nre
retired on terms which will be furnished on application.
Bank of Hamilton
HEAD OFFICE
HAMILTON
Established 1872
Capital Authorized
Paid Up Capital
Reserve Fund
$5,000,000
4.000.000
4,200,000
Diraetori
.SIR JOHN HENDRIE. K C M.G., C.V.O., President
CYRUS A. HIRGK, Vice-President
C. C. DALTON ROHT. HOBSOX W. E. PHIN
I PITBLAUO, K.C. J TURNnULI. \V. A. WOOD
Branches
At Montreal, and throughout the Provinces of
Ontario, Manitoba, Saskatchewan, Alberta and
British Columbia.
S(vin|i Department at all Officei.
Depoiiti of $1 and upwardi receiTed.
.Advances made for Manufacturing and Farming
purposes.
Collections effected in all parts of Canada promptly
and cheaply.
Corrttpondenct tolicited
J. P. BKLL
General .Manager
TheD
ominion
Bank
ESTABLISHED 1871
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
London Joint City & Midland Bank Limited
HEAD OFUCE: 5 THREADNEEDLE ST . LONDON. EC. ;.>
Oi<T I.-iSO Of(,crt ,n finslanj unj Ha/r.
Subscribtrd Cnpilnl
Pnid-up Capital
Reserve Fund -
1:38. OPe. 363
lO.S.tO. 1 12
lO.SnO.I 12
Depoaits Uunc 30lK 1920) 36-7. 667. 322
OVERSEAS BRANCH : SS & tC OLD BRQAD STREET. LONDON. E.G. 2
Fcrtlfin Bankint Butinu o/ tVtrv UeKiltilhn UnJrrlakrn
Atlantic Offices:
"AQuitania," "Imparator," "Mauritania"
The Right Hon. R. McKENNA. Ch.irm.n
AFFILIATED BANKS:
BELFAST BANKING COMPANY LTD. THE CLYDESDALE BANK LTD
O.rr linOff„r.,n Irrl.nH Ovrr I SO Officr, in Scoll.n J
LLOYDS BANK LIMITED, ..
HEAD OFFICE:
LOMBARD ST., LONDON. EC. 3.
($6 = £l.)
CAPITAL SUBSCRIBED
S294,392,000
CAPITAL PAID UP
47,102,720
RESERVE FUND - - -
-48,375,525
DEPOSITS, &c. . . .
1,629,692,180
ADVANCES, &c. . . .
678,817,955
THIS BANK HAS ABOUT 1.500 OFFICES IN ENGLAND & WALES.
Colonial and Foreign Department : U, CORNHILL, LONDON, E.C. 3. Undon A((enoy of thi IMPERIAL BANK OF UNADL
Xhe Agency of Foreign and Colonial Banks is undertaken.
AffiUated Bank*- THE NATIONAL ?AN1C oFsCofl.AND LTD. " THE LONOON * RIVFR PLATE BANK LTD
Xuxiliary- LLOYDS AND NATIONAL PROVINCIAL FOKK.ir.N HANK LIMITED
THE MONETARY TIMES
Volume 65.
HARVESTING IN FULL SWING IN THE WEST
Threshing Will be Fairly General Next Week— New Bruns-
wick Grain Yield Will he Satisfactory — Quebec
Crops Generally Fair
HARVESTING is now in full swing in the west, all three
prairie provinces reporting good progress in this con-
nection, and threshing is expected to be fairly general next
week. W. A. Black, vice-president and managing director
of the Ogilvie Flour Mills Co., has just returned from a tour
through the western wheat growing provinces. Mr. Black
was inclined to take a conservative view of conditions, but
speaks of conditions on the whole as very satisfactory. He
says: —
"From what could be judged, and the experience of those
on the spot, and from the appearance of the crop prior to
actual threshing, I formed the impression that the western
wheat crop in Manitoba, Alberta and Saskatchewan would
run from 225,000,000 to 2,50,000,000 bushels, as compared
with from 165,000,000 to 170,000,000 last year. This is really
a good showing in view of the reduced acreage.
"It was satisfactory to note that a considerable per-
centage of the area that only gave a poor yield last year
has produced a fair crop of wheat this year. As to the oat
crop, I found that over a very considerable area the yield
was poor, but on the whole a fair average may be looked
for. Bai-ley, rye and flax promise a good yield, and if fav-
orable weather continues, a very satisfactory quality of grain
will be harvested."
Regarding the quality of wheat for flour purposes, Mr.
Black said: "From what I could judge, the wheat is of good
milling quality. Practically none of the western wheat has
yet been marketed, but with a continuation of the present
weather, it is likely that a considerable quantity of western
wheat will be threshed during the coming week, and deliveries
of the new wheat may be expected at the elevators in the
west by about September 1st. Probably some of the new
western wheat will arrive in Montreal about the middle of
September, both for milling and export."
Grain Harvest in New Brunswick
According to the report of the New Brunswick Depart-
ment of Agriculture, the grain harvest has commenced in
some parts of the province. The report further says: —
"Northumberland, Restigouche and Gloucester counties
report wheat an average crop and oats 20 per cent, above
average. The condition of the grain crop is good throughout
the province and the yield should be quite satisfactory and
the quality good. The turnip crop is good while buckwheat
is reported doing well, but somewhat short in the straw.
The past week has been very poor weather for curing hay,
owing to the cloudy, wet weather. Considerable hay remains
uncut in some parts of the province.
"Late blight of potatoes is reported to be in evidence in
a small way in some sections, while generally reports indi-
cate a rapid maturing of the crop due to excessive heat.
Just how serious the blight infection will prove to be will
not be determined for several days. Early potatoes are
turning out well and are giving a good yield.
"Cows are reported to be failing considerably in milk
production. The pastures are short and this coupled with
the heat has been the primary cause. Farm labor is re-
ported difficult to get with wages for haying and han-est at
?4 to $5 per day and board.
"The apple crop is of excellent quality and clean of
scab up to the present. The quantity will be less than last
year but the quality very much superior."
Quebec Crops Generally Fair
A bulletin respecting agricultural conditions in the pro-
vince of Quebec as at August 15 has been issued by the
Quebec Bureau of Statistics. The bulletin sets forth the
situation somewhat as follows: —
"In the county of Rimouski the hay crop has been very
small, not even a ton to the acre, and hay will have to be
imported. Dairy products have also decreased owing to the
poor pastures. There will be a heavy crop of potatoes.
The products that will yield more than the last decennial
average are wheat, barley, rye, peas and flax. There will
also be a fairly good crop of oats. The hay crop in the
Quebec region was an average one in some counties, such as
Montmagny, Charlevoix and Drummond; the yield was under
one ton to the acre. There will, howevei-, be probably
enough for local consumption. The cereals and potatoes
promise a more than ordinary yield. That of vegetables,
fodder corn and fruit will be rather small. In Charlevoix,
root plants were kept back by cold weather. Hail also did
considerable damage in a portion of that county. Dairy pro-
ducts in the Quebec region are less abundant than last year
owing chiefly to poor pastures.
"In the Montreal region the hay crop varies between
one and two tons to the acre, although in Brome the agrono-
mist gives three-quarters of a ton to the acre and Chateau-
guay gives two and one-half tons to the acre. There will
be enough for local consumption. Cereals, potatoes and root
plants will give a higher yield. There will be an ordinary
yield of fodder corn, vegetables and fruit. In this region, as
elsewhere, the pastui-es are poor and the dairy industry
feels the effects. The hay crop was small throughout the
north of the province, that is. Lake St. John, the counties of
Hull, Labelle and Temiskaming. Hay will have to be im-
ported there, or a great many cattle will have to be sold in
the fall. At Lake St. John, cereals and potatoes will give a
greater yield; on the other hand, vegetables, fodder corn, as
well as clover seed, are of very poor quality, and there, as
elsewhere, the production of butter and cheese has decreased
owing to poor pastures.
Vegetables Not So Good
"In the counties north of Montreal, most of the crops
have a fine appearance, but the yield of vegetables, fodder
corn and fruit, will be inferior. The Abitibi agronomist re-
ports that, judging by appearances, the potato and vegetable
crops will be marvelous. The varieties of early oats will
probably yield from 25 to 30 bushels to the acre. In the
southwest part of the county of Hull, the oat fields have
been almost completely destroyed by an insect hitherto un-
known.
"In the Richmond region the yield of hay is weak, while
in the east, about Sherbrooke, Compton and Megantic, the
yield has varied between 1% and two tons to the acre. It
is probable that some will have to be imported on account of
the heavy consumption in timber shanties. Cereals, oats,
especially, will yield a superior crop; fodder corn, and corn
for husking, as well as fruit, have almost completely failed.
In Megantic, among other places, the pastures were poor and
the production of butter and cheese will feel it.
"On the whole, the hay crop will suflSce for ordinary
needs in most counties, although in some, especially in the
east, south and north of Quebec, hay will have to be im-
ported, particularly where large lumbering operations are
being carried on. The drought of the month of June last
caused irreparable damage to the pastures and, in conse-
quence, the production of butter and cheese will be less
abundant this year than last.
"Cereals and potatoes in particular will yield more of
an average than in the last decennial period. Vegetables,
fodder corn and corn for husking, fruit and root plants in
certain regions will yield but little owing to drought and
cold weather. Hay, the gathering of which is over in the
western part of the province, is being finished in the north
and lower part of Quebec. The cereal harvest is begun and
will probably finish at the end of the month (except in the
Lower St. Lawrence part), provided the weather is favorable."
The Quebec division of the Canadian Manufacturers'
Association is extending an invitation to the Ontario branch
to visit Quebec during September. Montreal, Quebec, Sher-
brooke, Three Rivers and other points will be visited.
August 27, 1920
THE MONETARY TIMES
AFRICAN BANKING
Corporation, Limited
(LONDON)
Paid-up Capital and Reserve. $6,800,000
Over 60 Branches and Agencies
throughout South Africa
Principal Branches located at Bula-
wayo, Bloemfontein, Cape Town,
Durban, East London, Johannesburg,
Kimberley, Port Elizabeth, Pretoria,
and Salisbury.
THE NEW YORK AGENCY
negotiates documentary bills of exchange,
issues drafts and cable transfers, and transacts
a general banking business direct with the
branches of the Bank in South Africa.
Correspondence invited from Canadian Ship-
pers to South Africa, and facilities ofiered for
the conduct of their business with that country.
Addre.ij the New York Agency
64 WALL STREET, NEW YORK, U.S.A.
HomeBankofCanada'
Government Bonds and Savings Stamps
There is a page in the Home Banks Thrift Account
Book for entering the dale of purchase, amount, and
interest dates on Government Bon'^s. War Stamps, and
Savings Certificates. The form is very concise and will
preserve all the details for ready reference. Ask for a
copy of the Thrift Book. Distributed free at all Branches
Branches and Connection* Throughout Canada
Htad Office and N^ne Branchtt in Toronto ;
THE
Weyburn Security Bank
Chartered by Act of (he Dominion Parliament
HEAD OFFICE. WEVBUR.N. SASKATCHEWA.N
Branches in Saskatchewan at
Weyburn. Yellow Grass, McTagKarl, Halbrite. Midale,
GrieSn. Colgate, PaiiKinan, Radville. .^ssiiiiboia. Bensoni
Verwood, Readlyn. Tribune. Kxpanse. .\Iossbank, Vantagel
Goodwater, Darmody, Sioughlon. Osage. Creelman and
Lewvan .
.A GKNKR.AL B.ANKING BUSINESS TRANSACTEn
H. O POWELL. General .Manaecr
TH€ MERCHANTS BANK
Head Onice: Montreal. OF CANADA. Ei;..L,:. shad 1 864.
Capital Paid-up. $8,400,000 Reicrvt Fund and Undivided Profilt, $8,660,774
Total Otpositf (31il July, 1920) • Over S163.000.000
Total Aitett (31st July. 1920) - O'er {200.000,000
Board of Dirtetort ;
Thomas Long
Sir Frederick Ork Lewis, Bart.
Hon. C. C. BAtLA.NTYNE
SIR H. MONTAGU ALLA.N
F. Howard Wilson
Farouhar Robertson
Geo. L. Cains
Vice-Prejideni
Alprei> B. Evans
Thomas Ahkakn
Lt. -Col. J. R. MooDie
General Manager - - D. C. MacarOW
Supi. of Branches and Chief Inspector : T. E. Merrrtt
Gcnci.ll Suprrvijor - ■ W A MKl.rKfM
A. / DAWES
Hon. Lornk C. Webstiv
E. W. Knf.eland
Gordon M. McGregor
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
greasiveness, promptness and sound advice.
395 Branciiei in Canada, extendiDg from the Atlantic to tbe Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookall, Agenti
London, England, Oifice, 53 Cornhili : J. B.Donnelly. D.S.O., Manager.
Bankeri in Great Britain : Tbe London Joint City & Midland Bank. Limited. Tlie Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
BANK BRANCH NOTES
Seven New Branches Announced This Week^Bank of Com-
merce Will Make Addition in Toronto
The following is a list of branches of Canadian banks
which have been opened recently: —
Hull, Que Canadian Bank of Commerce
Kensington, P.E.I Canadian Bank of Commerce
Kapuskasing, Ont Imperial Bank of Canada
Hamilton, Ont Bank of Hamilton
Osoyoos District, B.C Canadian Bank of Commerce
Hamilton, Ont. (Gage and Bar-
ton) Bank of Montreal
Toronto, Ont. (Stockyards) . . Bank of Montreal
The last two branches in the above list were opened by
the Bank of Montreal, not the Bank of Hamilton, as reported
last week.
The Standard Bank of Canada has commenced construc-
tion of a $75,000 new building in Lelhbridge, Alta.
The Canadian Bank of Commerce has taken out a permit
for additions to their building on Atlantic Ave., Toronto, to
cost $100,000.
The ei-ection of a new bank at Markinch, Sask., is being
made by Royal Bank of Canada.
J. F. Gillespie, accountant at the Cobalt branch of the
Bank of Commerce, has been promoted to manager of the
Iroquois, Ont., branch.
C. S. Cameron, accountant at the Imperial Bank at Co-
balt, Ont., has been transferred to Hearst, Ont., as manager.
WEEKLY BANK CLEARINGS
The following are the bank clearings for the week ended
August 26, 1920, compared with the corresponding week
last year: —
Week ended Week ended
Aug. 26, '20 Aug. 28, '19 Changes
Montreal $125,997,729 $104,206,621 +$21,791,108
Toronto 94,060,189 67,858,506 + 26,201,683
Winnipeg 43,086,715 30,788,144 + 12,298,571
Vancouver 16,289,085 12,501,550+ 3,787,-535
Ottawa 6,454.513 8,346,656- 1.892,143
Calgarv 7,086.253 5,826,680+ 1,259,573
Hamilton 6.531,017 5,336,357+ 1,194,660
Quebec 6,254,279 5,327,143 + 927,136
Edmonton 4,867,464 4,719,316+ 148,148
Halifax 4,259,591 4,551,642 - 292.051
London 2.997,278 3,253.310- 256,032
Regina 3,682,290 3,590,985 + 91.305
St.' John 3,938.403 3,049,115+ 889,288
Saskatoon 2,130.028 1,825.(>29 • 304.399
Moose Jaw 1,757,005 1,278,782 -■■ 478.223
Brantford 1,3.55,873 936,462 -r 419,411
Brandon 616.056 608.763 + 7,293
Fort William 902.326 766.985 + 1,35.341
Lcthbridge 746,095 721,453 + 24,642
Medicine Hat 305,807 412,283 - 106.476
New Westminster .. 620,864 512,184 + 108.680
Peterboro 903,511 734.728+ 168,783
Sherbrooko 1,158.501 768,194 + 390,307
Kitchener 1,310,919 751.118+ 559,801
Windsor 3,082,051 1,797,.364^ 1.284,687
Prince Albert 399.389 371,344 -i- 28,045
Total $340,793,231 $270,841,314 +$69,951,917
Mniirt.Mi 673,793
H
DEVELOPMENT OF COLONIZATION SCHEME
Work to Begin in 1921 — Grain Trading Resumed in Win-
nipeg— Mortgagors Benefit by Depreciated Dollar
(Special to The Monetary Times.)
Winnipeg, August 26, 1920.
ARVESTING and threshing operations are in full swing
throughout western Canada, and, while in some locali-
ties the crop is termed spotty, on the whole a most satis-
factorj' harvest is being reaped. Cutting in many localities
is completed and threshing already is in full swing. Returns
well above the average are being reaped and new wheat is
daily being inspected at Winnipeg. Open trading on the
local grain exchange has been resumed, which makes for
a considerable renewing of activities.
Funds for Colonization.
The first meeting of the executive of the Western Canada
Colonization Association was held a few days ago in Regina.
Several prominent Winnipeg business men who were present
included J. H. Ashdown; H. B. Shaw, general manager of
the Union Bank; W. H. Carter, president of Carter, Halls
and Aldinger, and W. E. Milner, of the Board of Trade. They
report that the proceedings were mai'ked by great unanimity,
the members of the executive being satisfied that the project
under consideration ought to be prosecuted with the utmost
vigor. Gratification was expressed at the remarkable pro-
gress which had been made in raising the necessary money.
Business men in all parts of the Dominion have responded,
and nearly a million dollars has been subscribed. It is pro-
posed to raise an additional half million, and the members
of the executive were of opinion that the effort should be
made to secure all the rest of the subscriptions before the
close of October. The balance of the year will be spent in
arranging details, and the actual colonization work of the
organization will commence in 1921.
Mortgagors Pay Off Loans
A large moi-tgage loan of $325,000 was negotiated in
Winnipeg this week, the rate being 7 ',2 per cent., indicating
the pi'esent price of money on a high-class loan. Mortgage
companies anticipate that large sums will be offered to them
this fall by farmers, and the advantage of the situation is
with the latter. There are hundreds of mortgage loans out-
standing which were made when wheat was worth less than
one dollar a bushel, and they are being paid off when wheat
is worth more than two dollars, a circumstance which was
by no means contemplated by either party when the loans
were made. >
CANADIAN BUSINESS FAILLRKS
Bradstreets report the number of business failures for
the week ended August 19, 1920, as 22. compared with 14
in the previous week. 12 in the same week in 1919. 16 in
1918. 18 in 1917 and 37 in 1916.
RAILROAD EARNINGS
The following are the approximate gross earnings of
Canada's transcontinental railways for the first three weeks
in August: —
Canadian Pacific Railwaj.
1920. 1919. Inc. or dec.
August 7 $3,95(1,000 $3,442,000 + $ 514,000
August 14 4,043,000 3.298.000 + 745,000
August 21 3,895.000 3,374,000 + 521,000
Canadian National Railway
^"Sust 7 $2,235,110 $1,846,508 + $ .388,602
August 14 2,253.719 1,926,349 + .327,370
August 21 2,150.350 1,8:52,914 + 317,436
(irand Trunk Railway.
August 7 $2,576,894 $1,894,875 + $ 682,019
August 14
August 21 2,560,729 2^()38,3i7 + 522,413
August 27, 1920
THE MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
kSTABLISHBO 1817)
PAID UP CAPITAL - - - ^ ^^ | 23,828,500.00
RESERVE LIABILITY OF PROPRIETORS - JM^^^Lf " -" ." . llfillloO.OO
AGGREGATE ASSETS 31st MARCH, 1920 S^jg55«^*^ $377,721,211.00
Sir JOHN RUSSELL FRENCH, K.B.B.. General Manager
351 BRANCHES .ind AGENCIES in the Australian States. New Zealand. Fiji, Papua (New Guinea), and London. The B ink ■, .isacts every dewinlion
of Australian Hankinfi Business. Wool and other Produce Credits arranfied.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET, E.C., 2.
A.;ests RVNK ok MONTREAL. ROYAL BA.VK OF CAVAPA
C. S. GUNN & COMPANY
REAL ESTATE, INSURANCE, RENTAL AGENTS
805 Union Trust Building
WINNIPEG, MAN.
Members of Winnipeg Real Estate Exchange, Winnipeg Stock Exchange
George Euuards, r.C.A. .■\kTiaK H. IIdwakds, I'.C.A.
H. Pkbcival Edwards W. Pomeroy Morgan A. G. Edwards
Chas. E. White T. J. Macnamara Thos. P. Gkgcie
O. N. Edwards J. C Mc.Vab C. Percv Roberts
A. L. Stevens W. H. Thompson
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORO.NTO
CALGARY
VANCOUVER
WINNIPEG ..
MONTREAL
CORRESPONDENTS
HALIFAX. N.S.
LONDON, ENG.
CANADIAN MORTGAGE BUILDING
HERALD BUILDING
LONDO.N BUILDING
ELECTRIC RAILWAY CHAMBERS
McGILL BUILDING
■ST. JOHN, N.B. COBALT, ONT.
NEW YORK, U.S. A
ESTABLISHED I87<>
Alloway & Champion
Bankers and Brokers
Membera of Winnipeg Slork ETclinnitf
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchonge.
Succession Duties
in Ontario
The rates of Succession Duty having
been increased at the recent session
of the Ontario Legislature, we have
prepaS-ed a Booklet entitled "Succes-
sion Duties in Ontario." This Book-
let contains schedules of the new
rates, together with a summary of the
main provisions of the Act. To
readers of The Monelarv Times we
shall be pleased to send a copy free
on request.
THE
TOROySTOGETHERAlTRUSTS
Corporation
Head Office - Bay and Melinda Streets, Toronto
THE
MONETARY TIMES
Volume 65.
The Use of the Insurance Blue Book
General Public Does Not Understand It. So Chief Medium For Interpretation Must Be the Agent-
Unfair Use of Figures in Comparisons Cannot lie Avoided-Some Recent Changes in the Blue Book
By G. D. FINLAYSON
Superintendent of Insurance for Canada
THE primary object of the issue of the "blue book" is the
proper information of the public as to the financial
staniiinK and the comparative merits of the licensed life in-
surance companies. While this is the primary object it must
be admitted that there is doubt as to whether that object is
accomplished. The reason for this is that life insurance is
a technical business, the mysteries of which are imperfectly
understood by the great majority of the public. The state-
ments of the companies and the summaries thereof made by
the department are also necessarily somewhat technical, and
to the mind of the layman probably complicated and obscure.
This characteristic the insurance blue book shares with the
majority of statistical reports issued ostensibly for the in-
formation and education of the public. In practice it becomes
necessary to have the information they contain interpreted
if wrong impressions are to be avoided, and the most natural
interpreter of the insurance blue book is the insurance agent.
Incomprehensible to .\verage Person
It must often appear to the public that while the blue
book contains a great mass of information it fails to give
the very information most desired, and that is a clear state-
ment as to the merits of the companies. In fact, if we are
to judge from the enquiries which reach the department from
prospective policyholders, the question with which they are
concerned is, "What is the best company in which to insure?"
and they find it hard to understand why a department deal-
ing specially with this business cannot answer a question
which the most inexperienced agent is prepared to answer
offhand. The only practicable course open to the department
in such a case is to send to the enquirer a copy of the blue
book accompanied by a suggestion that if he will but devote
himself diligently to the study of its contents he will be
led inevitably and irresistibly to a satisfactory answer to
his own question. We have usually no means of following
up the subsequent history of any case, but I have no doubt
that if the enquirer attempts at all to comply with the in-
structions he soon becomes weary of the task, throws the
book down in disgust and goes to the life insurance agent in
whom he has most confidence, and from whom he thinks he
has the best chance of getting a square deal, and signs his
name on the dotted line.
If this is so, it becomes all the more important that the
life insurance agent should be in a position to«interpret cor-
rectly for the public the facts which the blue book contains.
A Technical ruhllcation
While the blue book is intended primarily for the in-
formation of the public there is contained in it much informa-
tion of a technical character which is intended rather for the
information of the insurance companies, and the student, it
may be outside of Canada, of the conditions under which the
life insurance business in Canada is carried on. The idea is
that the book should constitute a book of reference to any
person desiring to compare insurance company practices in
Canada with those in other countries, and there is, therefore,
included in respect of Canadian companies much miscellane-
ous information as to methods of valuation and distribution
of surplus which makes but little appeal to the ordinary
prospect.
So far as the agent and the public are concerned, how-
ever, the blue book is intended to enable the agent to pro-
*An adch-ess before the Life Underwriters' Convention.
Ottawa, August t9th. 1920.
perly estimate the standing of his own company and to get
a perspective of the life insurance business as & whole. It
is not intended to enable him to obtain a point of attack
against the other company. If such is sought there is no
doubt it can be obtained. We are told Scripture is some-
times quoted to serve malign purposes. In the same way
the unscrupulous agent, if such there be, can easily find in
the blue book apparently good foundation for serious allega-
tions against reputable companies. The practice, however,
of attacking the other company instead of boosting his own
company is becoming more and more out of date. In the
case of companies, as in the case of individuals, the old say-
ing is probably true, that there is so much that is good in
the worst of us, and so much that is bad in the best of us,
that it does not become any of us to speak ill about the rest
of us.
The relations betjveen company and company and be-
tween agent and agent are, I believe, constantly improv-
ing, and every advance made in this direction goes to elevate
and dignify the business in which you are engaged.
Unfair Comparisons
I have said that ahiiost anything can be, apparently,
proved by the use of figures from the blue book and from
an examination of some of the statements and comparisons
frequently seen it would appear that figures are very loosely
used for the purpose of justifying a desired conclusion.
There are some ratios and comparisons which cannot be
justified on any consideration. It is probably possible for
every company to devise some ratio which will place that
company at the head of the list. We sometimes see a com-
parison of total assets to total business in force, total
surplus to total business in force, total protection to policy-
holders to total insurance in force. Now it will be easily
seen that such a ratio as total amount of assets to total
business in force will put at the head of the list the com-
pany just organized and ha\nng written its first policy of
$1,000. That company will show assets of $100,000 per
$1,000 in force, a position which it is never likely to attain
to again, for which the writing of the second policy its
financial standing is impaired by 50 per cent. Such a com-
pany may be ten years removed from payment of dividends;
it has all the difficulties incident to early growth ahead of
it, but on this basis it is pre-eminent in the field. On the
other hand, a company hoary with age and confining itself
largely to renewal business, with a high and increasing
mortality and decreasing I'ate of dividends and a surplus
might find itself, in such a ratio, occupying a most favor-
able position.
It is unnecessary to refer to other ratios which are
equally misleading, and it is useless to suggest that all
comparisons between companies should be avoided. The
remedy lies in the analysis of the comparison by the agent
to see if it is fair and in the conscientious effort to use only
such comparisons as fit the case. Failure to do this may re-
sult in the prospect obtaining the information from a com-
petitor and the prospect naturally appreciates the agent
who presents to him sound conclusions and reasoned judg-
ments.
Past Results .\re no (Juarantee
The blue book contains very complete information as
to the dividends which have been declared in the past on
participating policies. Here again, the object of this
publicity is to enable the public to inform themselves as to
the profit-earning power of the companies. The publication
August 27, 1920
f H E MONETARY TIMES
Sterung Trusts Corporationi
<H^
^^=^
Experience and Judgment
are necessary to the efficient management o( any
estate.
Our broad experience in these matters assures
estates or trusts placed in our care efficient atten-
tion and mature judgment, resultins; to the profit
of such clients.
1119
- HEAD OfFICE-12 KING ST. EAST-TORONTO"
-f
~'~W^
Your Summer Vacation
can be made free from worry in regard to business
which might otherwise be neglected, by ap-
pointing this Company to act as your Agent
during your absence. We will be pleased to be
commissioned to collect your rentals or other
moneys, make payment of taxes, etc., submitting
statement of all transactions.
Correspondence and enquiries invited.
THE CANADA PERMANENT TRUST COMPANY
18 TORONTO STREET, TORONTO
THE
ALBERTA TRUSTS
COMPANY,
LIMITED
FINANCIAL
AGENTS
Slock. <•
nJmonJi. F
rclrauranccctc. Rtal EilaU and Farm Land
. I'alualon.etc
Correspondenc
s solicited
Union Bank
Building
Edmonton, Alberta 1
C. S. "
Pres
dent
Geo. T. Bragg. J.
Vice-Pres. and Secretary Man
J. Ak„hrso.v.
R.ne Dirccior |
WESTMINSTER TRUST COMPANY
The Oldest Provincial Trust Company in RC.
Head Office - NEW WESTMINSTER, B.C.
GENERAL FlNi^NCIAL AGENTS
Adnlmhlralan. Rtttirtn, ExttmtTj. LifmiJaltn. AititmMM, Trmstfti
n A KIDUELL. ManaRcr
A. J. Pattison Jr. & Co.
Specialists Ur
lOe BAY STREET
Bted Securiti
TORONTO
The Security Trust Company, Limited
Head Office
Calgary, Alberta
Liquidator, Trustee, Receiver, Slock and Bond Brokers,
Adminislralor, Executor. General Financial Agents.
W M. CONN'ACHt-K ■ I'riv .,nd Man.,,:;r t n,r,
Saskatchewan General Trusts
Corporation, Limited
Head Odice : Regina, Sask
Executor Administrator Assignee
Trustee
Special attention given Mortgage Investments, Colleclion»,
Management of Properties for Absentees and
all other agency business.
BOAKU OF UIKElTOUiS:
W. T. MOLLARD, President G. H. BARR. KC, Vice-Pre.ident
H.E.Sampson K.C. A. L. Gordon. KC J. A Jl. Patrick. KC.
W.H.Duncan J.A. .McBride
William Wilson
E. .MURPHY. General Manager
Official Administrator lor the Judicial District of Weyburn
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
HOW TO FEEL SAFE
.N regard to the care and distribution of you
your will is carefully made. Have your lawy
mit the administration of your estate, under I
t our Board of Directors Where the du
jrvices of a trust compa
3u can put your faith ir
r estate-sec firH that
■r draw it- Then corn-
he will, to the judgment
er a period c.f yca»»i. the
ndispcn
the combined ahil
nJ judRmcnt of thl
n the
„tcd
- honldtt I
Chartered Trust and Executor Company
46 KING STREET WEST, TORONTO
HON. W. A. CHARLTON. M.P.,
President.
W. S. .\IUM)1:N K C.
VicePres and Estates Man
JOHN J. GIBSON. Managing Dii
" He Left No Will."
How would your ealate be dialribuled if you
neglect to leave a will }
Write for a copy of " The Law of Inleal.Ica'
Eatales."
The Canada Trust Co^^any
London, Toronto, Windsor, Chatham. St. ThomB«. Ontario
Winnipeg, Man., Reg na, Sailc., Edmonton. Alta.
20
THE MONETARY TIMES
Volume 65.
of these results, however, no doubt makes more easy the
furnishing of estimate, and the question arises, "what use
can be made of these results without violating the pro-
hibition of estimates?" Everyone recognizes that the use
of past results is a legitimate feature of life insurance
solicitation, and all are equally agreed that to hold up the
results of the past as a guarantee or even an estimate for
the future is a violation of the act. There is the danger,
however, that, even if the figures are presented merely as
earnings in the past, the prospect will be unconsciously im-
pressed with the view that they may reasonably be expected
to be continued in the future, and the experience of the last
few years, during which, as a result of the war and in-
fluenza, dividends have been reduced, and quite properly re-
duced, has developed the fact that policyholders have re-
garded the old rate of dividends as practically guaranteed
for the future, and their disappointment at receiving a
lower rate of dividend is but little less than it would be at
the failure of the company to pay the full amount of the
policy at maturity. Estimates, like chickens, come home to
roost, and in the experience of many agents the impression
formed by the policyholder has caused much anxiety, and in
many cases forfeiture of public confidence.
This experience should not be lacking in its lessons for
the future. I think the time has come for the creation of
some special order of merit for the agent who will display
prominently on all his literature and stationery a statement
to the effect that any information furnished by him as to
dividends heretofore paid by the company must not be re-
garded as a guarantee, or even as an estimate of the earn-
ings of the future. Naturally everyone hopes that when
dividends are restored to their former levels a subsequent
reduction will not be possible, but hopes, however, appar-
ently well founded, may prove to be dupes, and the only
prudent course is to play safe.
New Figures Now Shown
It should be pointed out that the dividend results pub-
lished for the last year or two contain additional informa-
tion to those previously in use. The quinquennial dividends
are shown not only for the period just closed, but the ac-
cumulated dividend for all periods as well. This enables
the results to be judged not only for the period in question
but for the whole history of the policy. In the deferred
dividends also there is now shown not only the dividend
paid when the policy is continued in force beyond the end of
the dividend period, but also the total cash settlement when
the policy is surrendered. This latter value includes the
reserve on the company's basis, and shows in the proper
light the results of the company maintaining the higher re-
serve as compared with a company holding a lower reserve
and paying possibly on that account a higher dividend if
the policy is continued in force.
It is necessary here to refer to the effect of the change
of basis of reserve, in 1900, upon dividends for the reason
that the impression has sometimes been created that the
total cash settlements at the end of the dividend period is
affected by the change. The total settlement depends on
the premium received, the claims and expenses incurred and
the interest earned, and should be independent of the re-
serve held at any time against the policy. The change did,
however, in many cases affect the amount paid as dividend
when the policy is continued in force, since the amount
necessary to raise the reserve from the original to the new
basis is deducted from the amount which would other\vise
have been paid.
Separation of Funds
One of the most valuable sections of the blue book is
one incorporated during the last few years, which shows the
separation of accounts between the various funds. These
schedules arc found on page 156 and following pages of the
abstract for the year 1919. These statements are prepared
on n strictly revenue basis, and show clearly the standing
of the participating, non-participating and shareholders'
funds of all companies paying dividends to either policy-
holders or shareholders. These tables show the relative im-
portance of the two main branches of the business, and of
the capital stock and shareholders' surplus. There is no
information in the report more worthy of study by the
agent than this table if a clear idea of the progress of any
company is desired.
Decrease in Lapses
The blue book should be used by the agent to ascertain
the figures respecting the persistence of the business from
year to year, and to compare his own experience with the
average. It must be gratifying to all insurance men to note
that the loss of business from lapse and surrender, what
might be termed unnatural terminations, is steadily being
reduced. Commencing with the year 1914, we have the
total lapse and surrender rate of 53% of the new business
written. In other words, for $1,000,000 of new business
written there was a gain of $470,000 in force, excluding
terminations arising from death, maturity and expiration.
This rate has shown a gratifying decrease ever since, the
successive years showing the following figures: — 1915, 51%;
1916, 42% ;" 1917, 32%; 1918, 29%; 1919, 21%; and it is also
satisfactory to note that the decrease in the lapses has been
responsible mainly for this decrease in the total surrenders,
the ratio of lapses having decreased from 44% in 1914 to
16":^ in 1919, and terminations for surrender values de-
creasing from 9% in 1914 to 5% in 1919.
We must, of course, not conclude from this that lapses
are fast approaching the vanishing point. Unfortunately,
the actual amount of lapses just now is increasing year by
year, but the annual increase in new business written is so
iarge that the ratio is being reduced. Lapses are still too
high, and should the increase in new business be for any
reason arrested, the lapse ratio would probably mount to
the old figure. This can be guarded against to some
extent by care in the selection of risks now and by avoid-
ing undue pressure in the placing of large amounts of in-
surance which are beyond the probable ability of the policy-
holder to maintain. At a time when business is offering so
freely the interests of the company demand unusual care
not only in the selection of risks from the physical stand-
point, but in the guarding of the business against premature
lapse. The boom which we are now experiencing may very
well become, for both companies and agents, a boomerang,
unless the necessary precautions are taken. While a warn-
ing against placing unduly large amounts may be in order,
no such warning is necessary against the increase in the
average amount of insurance carried. You will see from
the blue book that the average amount of insurance in force
is somewhat less than $300, or, assuming five to a family,
$1,500 to a family. This will yield about $6 or $7 a month
when invested for the family should the policy become a
claim.
Sound Knowledge Necessary
It is, I am sure, needless for me to suggest that the
blue book will be of value to the agent in direct proportion
to the amount of study he has given to the fundamental
basis of the science of life insurance. Facts acquired from
the blue book without a mastery of the principles on which
they are compiled may easily lead one astray. It is becom-
ing more and more necessary that the insurance agent shall
be a master of his business in order to compete successfully
in the solicitation of trained business men who are quick to
perceive any weakness in his preparation of his case. If the
canvass of the agent is to possess the alchemy which will
transmute a procrastinating pi-ospect into a persistent
policyholder, it must be prepared and analysed beforehand
with all the care and precision which the scientist brings to
his task in the laboratory, and a mastery of the elemental
facts and theories of the science is as necessary in the one
rase as in the other. Having given this preparation and
having added persistence, poise, and what is colloqually
termed the punch, success in this rapidly expanding field
should be assured.
August 27, 19-20
THE MONETARY TIMES
You Should Make a New Will— if
you have married ; your family has increased ;
member? of your family have married— or ditd :
your own circumstanct: shave materially charged (Some men ma l^t-
a new will every year.)
In any case, your estate and heirs should have the exact l(no\\
ledge, business organization, experience. Hnar.cial responsibiliti*.--
andpermanency of the UN ON 1 RLST COMPANY, which is sure II.
attend wht never your estate affairs need altenlion.
del
lilt I
"Union Trust Company, Limited
HENRY F. COODERHAM. Pre.ident
TORONTO - - Cor. Richmond and Victoria Sis.
WINNIPEG, MAN. LONDON. FV^' ^^ f^
i% on Savings— Withdraicable by €}■
The most important document a person of large or small
means is called on to prepare is his
LAST WILL AND TESTAMENT
It means the happiness and welfare of those most dear.
Ask for Booklet: " Make Your Will.'
CAPITAL. ISSUED AND SUBSCRIBED . .Si. 171, 700.00
PAID-UP CAPITAL .^ND RESERVE 1.172,000 00
The Imperial Canadian Trust Co.
ExecDtor, Administrator, Assignee, Trnstee, Etc.
HEAD OFFICE: WINNIPEG, CAN.
BRANCHES: SASKATOON. REGINA. BD.MONTON. CALGARY
VANCOUVER AND VICTORIA )
The Law of Intestacy
Will distribute your property
according to a set of definite
fixed rules — probably not as you
would wish — unless you make
a Will.
To make sure your Will is in
order have your lawyer draw it.
To make sure it is faithfully
carried out have a Trust Com-
pany written in as your executor.
Booklets on request
National Trust Company
Limited
Capital, $2,000,000 Reserve, $2,000,000
18.22 KING STREET EAST . • TORONTO
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for investment in all classes of Securities
Business -Agent for the R. C. Archdiocese of Vancouver.
Fiscal Agent for B. C. Municipalities.
Inquiries Incited
CeBcral .Manager
[il..l'«l. U. II. DOBRKI.I.
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON. Man.
Acts as Executor, Administrator, Trpittt, Guardian, Liquidator
Assignee, and in any other fidociary capacity.
Official Admiuistrator for the Northern Judicial
District and the Dauphin Judicial District in
Manitoba, and Official Assignee for the W estern
Judicial District in Manitoba and the Swilt
Current Judicial District in Saskatchewan.
Branch Office - - Swift Current, Sa.katctewan
JOHN R LITTLE. Managing Director
THE BANKERS
TRVST OOMB^NY
Head Offices: MONTREAL
Authorized Capital
$1,000,000
ProiJcnl ■
SIR H. MONTAGU ALLAN. C.V.O.
V'kc-Prciiiicnti -
A. J. DAWES D. C. MACAKO'V
JAMES ELMSLY Centra/ Manatc,
C. D CORNELL - - 5ccrt(ary
Directora:
5ii H. MonLBu AlUn. I D. C. Kipprn
T. Ahwrn CV.O. VI. B.J^itch
G. L. Cm.
A. 1. D.wf .
A. B. Evanf
Dand N. C Hoca
J. M. Kilbour7>
Si. F. Orr Lewis. B.rt.
Thos. Lona
D. C. Maurow
W. A. Mfldfum
F. E- Mtrca.ih. K.C.
T. E. Mcnrti
U.-Col. J R Moodit
Fafquhar Rob«rlM>n
Hon.LonicC.Web.lc
F. Ho«..d Wilaon
Edwin H. W.l>[>n
John W,l«>n
Offices now open in Montreal, Winnipeg.
Calgary, Sl John, N.B., Halifax, ReRina.
Vancouver, Victoria and Toronto.
Premitei in Merchant* Bank BaildinK in each city
THE MONETARY TIMES
Volume 65.
GOVERNMENT CLKRENCY
EQUITABLE LIKE WITHDRAWING FROM CANADA
Dominion notes outstanding at the end of July, 1920,
amounted to $293,541,399. Gold held for the redemption of
these notes totalled $95,510,383. The complete statement
of all government currency as of July 31st, follows: —
27,743 25
1.278.434 9.;
7.915,313 00
1,391. .S2S .SO
3«.095 OO
l,Seii.455 00
3.800 00
S500 ..
SI.OOO
S.SOO Legal Tender Notes for Banks.
SI.OOO
?5,000 ■■ •• " .,
S50.000 " '• ■' .
2.641.000 00
4.461.000 00
79.000 00
979.000 00
. 210,510.000 00
36.350.000 00
8293,541.399 67
.8 11,293 .50
1. 1 SO 00
840 00
6,50 00
!.500 00
Rbrbrves.
Gold held July 31st. 1920. by the Minister of Finance 8 99..i89.973 09
Gold reserve to be held on Savings Banks Deposits —
10 p.c. on 840.795,8*2.24 under The Savings Banks Act 4.079.589 ■!■•
Gold held for redemption of Uominion Notes * 95.510.383 87
Dominion Notes outstanding against deposits of approved secur-
ities, under Finance Act. 1914 8I39.749.I25 00
DO.MINION GOVERNMENT SAVINGS BANK
Will Also Cease to Write Business in Great Britain and Ire-
land— This Action Will Not Affect Present Policyholders
FOR many years the Equitable Life Assurance Society,
New York, has been following the policy of gradually
withdrawing from the writing of new business in territory
outside of the continental limits of the United States, and
of concentrating its energies upon the intensive develop-
ment of its agency forces in the latter field. In furtherance
of that policy the Equitable from time to time has so with-
drawn from all outside fields except Canada, Great Britain
and Ireland. It has now decided to discontinue writing new
business in those countries.
Active in the Dominion
The Equitable in the past has conducted an active busi-
ness in all three countries, particularly in Canada. Accord-
ing to the latest returns of the department of insurance,
Ottawa, the total net assurance premium income is $1,269,-
532. In 1919, 2,308 new policies were issued amounting to
$6,772,835. At the end of 1919 the number of policies in
force numbered 15,012, amounting to $36,165,048. The with-
drawal of the Equitable from this country leaves eleven '
United States companies now writing life business here.
The action of the Equitable in withdrawing from the
Dominion will not affect in any way the rights of the pre-
sent Canadian policyholders. So long as there remain any
outstanding policies of the company in Canada, there will be
maintained in the Dominion whatever offices and organiza-
tions may be necesary to properly serve the holders of such
policies.
Withdrawals from the Dominion Government Savings
Banks in .April, 1920, exceeded deposits by $52,598. The
balance at the credit of depositors at the end of the month
was $10,709,736, as compared with $10,762,334 at the end of
the previous month. The statement is as follows: —
arilish Columbia —
Victoria
Prince Bdward Island :—
Ch.irlottetown
W«ui Bruntwich —
Newcastle ....
Transfer
St. John
Nova Scolia
BnrrinKton
Ouyshoro' . .
Halifax
Kentvillc
Lunenburg
Port Hood ■
Transfer
Shcrbrookt
Totals
Deposits
April lO'iO
23,385.00
48,623.00
9 ct
471,341.20
1.127,046.52
1,785.304.00
1..500.0tl 73.401.19
4.IH) 8I.4.«5.!IS
34,786.00; 2.411.4.50 32
5,4.50.0.11 251.178.33
720.07 416.851.40
477.00 68.863.34
2I4..V59 84,10 976.894.26
Withdraw
April 1920
32.460.00
48,439.77
Balance on
April 30,
1920
1.094,.5SB.,52
l.736..S(i4,2;i
772.8.i 72.628.34
1.820.23 79.fi;i5.75
57,090.:(9 2.354,;«H.9;i
5.219.39 245,958 94
8.471.13 408.:<8n.27
2,944 58 63.918 76
287.1.57.79:10,709,7.16.47
ONTARIO REVENUE INCREASING
Ontario's revenue for the first eight months of this year
totals over $1,000,000 in excess of the same revenue last
year. Succession duties brought in more than half a million
above those for the same period last year, and the amuse-
ment tax for eight months totals as much as the entire
amount last year. The corporation tax has brought in prac-
tically nothing as yet, but this revenue will not come in until
llio end of the year.
E.MPLOY.MENT CONDITIONS IN CANADA
The Employment Service of the Department of Labor
reports that returtis from the Dominion and Provincial Offices
of the Employment Service of Canada for the week ended
July 31 show a slight decrease in placements when com-
pared with the returns for the preceding week. The offices
reported that they had made 8,063 references to regular
positions and that 7,216 placements were effected. This is a
decrease of 51 when compared with the previous week when
7,267 placements were reported. In addition 1,558 casual
jobs were supplied as compared with 1,737 during the week
ended July 24, During the week 8,619 applicants were regis-
tered, of whom 948 weic women and 7,671 were men. This
compares with 8,636 applicants reported the preceding week,
a decrease of 17. The number of vacancies notified by em-
ployers to the service during the week totalled 9,855, of which
1,170 were for women workers and 8,685 for men. This
represents an increase of 865, when compared with 8,990
vacancies reported during the previous week. Of the place-
ments in regular employment 620 were for women and 6,596
were for men.
Of the placements in regular employment 107 were re-
ported by New Brunswick offices, as compared with 80 dur-
ing the preceding week. Quebec offices reported 210 place-
ments, 76 of which were in other provinces, as compared
with a total of 240 during the w-eek preceding. Placements
reported by Ontario offices totalled 2,565, of which 2,510
were within the province and 55 in other provinces, as com-
pared with a total of 2,611 during the week previous. Mani-
toba offices reported 1,155 placements, 1.061 within the pro-
vince and 94 in other provinces, as compared with a total of
l.OiVJ during the preceding week. Saskatchewan offices re-
ported 690 placements, of which 13 were in other provinces,
as compared with a total of 683 during the preceding week.
1.215 by .Mberta offices, 4 of which were in other provinces
as compared with a total of 1,385 during the week previous
British Columbia offices reported 1,274 placements, 1,211,
within the province and 57 in other provinces, as compared
with a total of 1,206 during the week ended July 24.
August 27, 1920
THE MONETARY TIMES
5n
INTEREST
RETURN
INVEST YOUR SAVINGS
in a 5y2% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital $2,412,578.81
Reserves 964,459.39
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Calgary,
Edmonton, Vancouver, Victoria; Edinburgh,
Scotland,
IT IS A MISTAKE
to c.irry much iiioinry on your pirrsor. Open .i dt-posii account and
pay by cheque. Not only will your funds l>e .absolutely safe and
available at any time vou may require them, but by having your
account with this Corponition \ou will enjoy the advantages of our
excellent service and our evperirnce of over sixty-five years in dealmg
with many thoustinds of depositors Interest at
THREE AND ONE-HALF
per cent, per annum wil! be added to your account and compounded
twice each year.
Canada Permanent Mortgage Corporation
TORONTO STREET - - TORONTO
Eatablished 1855
Long before Dominion Day was a Legal Holiday
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
.Masonic Temple Buildine. London Canada
Interest at 4 per cent, payable half-yearly on Debentures
T. H. PURDOM, K.C.. President NATHANIEL MILLS. Manager
London and Canadian Loan and Agency Co., Limited
EsTARi.isHED 1873 ;i lOXil; .ST.. TOItONTO
Paid.up Capital, Sl,25a.000 Rest. §950.000 Total Assets. SS.08S.872
Itebenlnres issued, one hundrel dollars and upwards, one to five years-
Best current rates. Interest payable half-yearly. These Debentures are an
Authorized Trustee Investment. Mortgafic Loans made in Ontario. Mani-
tob.l and Saskatchewan.
WILLIA.M WEDD. Secretary V. B WAOSWORTH. Manager
^""^ Ontario Loan
& Debenture Co.
LONDON Incorporated IsTO Canada
CAPITAL AND Undivided Profits .. $3.9(ki,000
SHORT TERM (3 TO .5 YEARS)
DEBENTURES
'2/o
5;
YIELD INVESTORS
511
JOH.N McCLARY. President
A. M. SMART. Manager
/^\'ER 200 Corporations,
^^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE
TORONTO MORTGAGE COMPANY |
Office. No. 13 Toronto Street
Cap
tal Account !ii: .•|..-..-.(I.Un Reserve Kur
d. Hi>
;<MMMI.OO
Total Assets l!t:l.-.MK.I.'V4.<6
President. WcLLINtiTOV I-R4NC1S. Esq..
K C.
Vicc-l»re«iJent- HKHBRRT LANC.LOIS. B
q-
Dc
hrnt
urcs issued to piy ■^"... a LcKal Investmmt for
Trust
Funds
Di
s received at ■!".. interest, withdrawable by chc.
lie.
Tilde on improved Real Kst;ite on f.ivorable t.-ri
WALTER GILLESPIE
inser
Six per cent. Debentures
Interest r-iv:'blc half yearly at p.ir at .iny bank in Cjnadli.
I'.irticul.irsnnaprlic.tinn
The Canada Standard Loan Company
520 Mclntyre Block, Winnipeg
Port Arthur and Fort William
Realty Investments
Inside City and Revenue Producing Property.
Mortgage Loans Placed.
Write us for illustrated booklet descriptive of
the tvtrin Cities.
GENERAL REALTY CORPORATION, LIMITED
Whaler. Building, PORT ARTHUR, Ontario
IRON MINE
FOR SALE
- in the
COUNTY OF RENFREW
Near Perth
f-o. dill pnrliruUr.. report of n.riiv. etc.. npply
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAV nnd Ml l-INDA STS. - TORONTO
THE MONETARY.Ti:\IES
Volume 65.
Imports Show Falling Away in July
Reduction ol' About Seven and a Hall' Millions as Compared with Previous
Month— Slight Recession in Export Trade— Large Increase in Wood and
Paper Offset Declines in Agricultural. Vegetable and Animal Products
A FALLING away o{ about seven and a half million dol-
lars in imports, as compared wtih the previous month,
features the July trade statement of the Department of
Customs, Exports show a sliffht decline for the month, but
as compared with the same period a year ago there is a
considerable reduction, while the advance in imports in the
same comparison is equally as marked. The increase in
imports of merchandise is $42,987,312, or over 80 per cent.,
compared with July, 1919, while e.\ports show a decrease of
!?8,91 1,475. These changes reverse Canada's trade balance
from a favorable one of $29,505,(500 last July, to an unfavor-
able one of $22,393,187 in July, 1920.
For the four months ended July, 1920, the statement, as
compared with a year ago, shows some notable changes.
Under exports there was a recession in trade, which would
have been much more serious but for the fine showing in
wood and paper. Exports of agricultural and vegetable pro-
ducts and animal and animal products registered large de-
clines, but these were otfset to a large extent by the increase
in wood and paper, etc. Fibres and textiles and iron and
steel showed comparatively small advances.
Under imports there were heavy increases in agricul-
tural and vegetable products. Fibres, textiles and textile
products also show notable advances. Other increases are:
Ores, metals and metal manufactures; non-metallic minerals
and products; wood, wood products, paper, etc.; miscellaneous
products.
The following is the detailed statement: —
■MPOKTS ESTEKED FOR HOME CONSUMPTION
Agricultural and vegetable products, mainly foods
Agricultural and vcRttabIc products, other than foods
Animals and animal products
Fibres, textiles and textile products
Chemicals and chemical products
Iron and steel, and manufactures thereof
Ores, metals and metal manufactures, other than iron and steel.
Non.metallic minerals and products
Wood, wood products, paper and manufactures
Miscellaneous
Total .
Alonth of July
Four months ending July
Domestic Foreign
Agricultural and vegetable products, mainly foods
Agricultural and vegetable products, other than foods
Animals and animal products i
Fibres, textiles and textile products
Chemicals and chemical products
Iron and steel and manufactures thereof
Ores, metals and metal manuf.ictures. other than iron and steel.
Non metallic minerals and products
Wood, wood products, paper and manufactures....
Miscellaneous
Total
39,4:<4,064
•i,4l7.792
31.999,104
2,0M.741
1,304.992
S.I79.78B
S.OCi.Ml i
I,92«,521
17.696,673
5.SI3.I7.'! 1
543.774
:t82.343
72:t,41l
503,781
39U,0.i«
l,I.W,270
385.883
27,185
49.341
808,i«
,13,867,804
165,047
2,489.585
15,241
18,878,1.52
110,912
1.317,<S2
•231,244
2, r20.530
22,018
5.70().989
591,736
3.997,775
147.435
3,.573.033
59.432
-.'8,775.429
50,701
4,154,875
642.000
113,787.099 4.972.2% 104.875,624 2.035.766
REr.triTI'L.tTIOM
Four months ending July
1919
1920
1
1 Domestic
Foreign
Domestic
1-orciKn
1
S
S
?
8
13,5,884.559
2,010,40(5
100,290,384
487,705
7.708,655
874,019
8,619 137
116.894
87.101.418
3,226,867
56.035,098
410.021
7.693,608
1,920,838
8,587,833
939,849
6.796,328
2.171,199
7.;»32.7.55
410,585
25,94.5,185
2,587.884
26,525.299
5.196.751
14.880.814
541. Ill
15,333.848
291.551
7.044.434
202.330
13.111.725
254,289
51„«.58,001
115,629
94.935,919
129.162
13,270.895
2,356.164
11,340.425
1,345,942
357.883,897
16.006,447
342.112,423
9.S«,749
Four months ending July
X ported
Grand total. C;in.-iili;i
August 27, 1920
THE MONETARY TIMES
To the Shareholders
of
International Petroleum
Company, Limited
NOTICE is hereby given tiiat a company has been in-
corporated under the laws of the Dominion of Canada under
the name of International Petroleum Company, Limited,
herein referred to as the New Company, and that an ar-
rangement has been made whereby the New Company will
issue to the Preference shareholders of the International
Petroleum Company, Limited, (Old Company), one Prefer-
ence share of .$5.00 par value fully paid up and non-assess-
able and one share without nominal or par value of its
Common stock fully paid up and non-assessable in exchange
for each Preference share of the Old Company, and to the
Common shareholders of the Old Company two shares with-
out nominal or par value of its Common stock ftdly paid up
and non-assessable in exchange for each Common Share of
the Old Company.
The New Company proposes to issue 1,804,534 shares
without nominal or par value fully paid up and non-assess-
able of the New Company in exchange for 1,575,000 shares,
(being the whole of the outstanding stock), of the Tropical
Oil Company, a company incorporated under the laws of
the State of Delaware and holding concessions from the
Government of the United States of Columbia. The de-
livery to the New Company of 90% of the outstanding
stock of the Tropical Oil Company has been assured and
in the event of the whole of such outstanding stock not
being delivered then a pro rata reduction will be made in
the number of shares in the New Company to be exchanged
for the shares of the Tropical Oil Company delivered to it.
Holders of Bearer Share Warrants who surrender their
warrants to the International Petroleum Company, Limited,
(New Company) at 56 Church Street, Toronto, Canada,
or to the Farmers' Loan & Trust Company, 16-22 William
Street, New York City, U.S.A., between the 15th September,
1920 and the 30th September, 1920, inclusive u'ill receive in
exchange therefor Bearer Share Warrantu un the bonis of
two shares of the New Company for each share of the Old
Company surrendered, in accordance with the terms afore-
said.
No Warrants for "rights" will be issued and share-
holders who fail to exchange their old shares for the new
shares within the time limit and in the manner aforesaid
will subject these rights to forfeiture.
The books of the Company will be closed finm the 10th
day of September, 1920, to the 30th <iiiy of September,
1920, inclusive, and no Bearer Share Warrants will be split
during that period.
Holders of Bearer Share Warrants are recommended
to send their Warrants by registered mail insured as the
Company is not responsible for Share Warrant.- lo.s) in
transit and duplicate Sh-ire W'.rrf!n*s .-inn.^' i"' liisucd.
By Order of the Ronrd,
J. K. ( I,.\RKE.
Scf:>'ctni~y
56 Church Street,
Toronto, Canada.
23rd August, 1920.
SUPERFINE
LINEN RECORD
VOIR letterhead may pass
' throuRh the mailf. be ban.
died bya Cozen clerks, be filed.
and yet. at thecrucial moment,
carry into a President's oftice
the suKKestion of your Com
pany's dignity and standinu— il
it he of Superfine Linen Record
Awarded the Cold Medal
Antwerp 1885 : the Gold Medal
L'hicaBo.lS93; and theGrand Prix. Paris. 1900.
Tke Rolland Psper Co., Limited, Montreal
High Qradc Pafrr Mak.rs tint, I HH2 ,
Milli •! St. Jerome. P.Q.. .nd Moot RolUod. P.Q. /
A Newspaper Devoted to
Municipal Bonds
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THE BOND BUYER
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212
ACCOUNT HOOKS
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THE BROWN BROTHERS umited
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TORONTO
THE JIONETARY TIMES
Volume 65.
Life Underwriters' Association 1920 Convention
0. B. Shortly of Metropolitan Life, Toronto, is President for H 920-21—
Victoria Chosen for Next Convention — Dominion Charter will be Applied
For — Other Addresses and Discussions at Closing Sessions
THE second and third days of the 1920 convention of the
Life Underwriters' Association of Canada, held in
Ottawa, August 18 to 20, produced several papers and dis-
cussions of outstanding interest. The election of officers,
held in the afternoon of the 19th, resulted as follows:
Honorary president, E. S. Miller, Regina; president, 0. B.
Shortly, Toronto; vice-president, British Columbia, E. W.
Keenlcyside, Vancouver; vice-president. Alberta, W. L.
McBeth; vice-president, Saskatchewan, Geo. Underwood;
vice-president, Manitoba, D. J. Scott; vice-president, Ontario,
T. E. Holmes; vice-president, Quebec, W. O. H. Percy; vice-
president, New Brunswick, R. Reed; vice-president, Nova
Scotia, F. G. Taylor; vice-president, Prince Edward Island,
J. O. Hyndman; vice-president, Ne\vfoundland, J. A.
McKenzio; Hon. secretary, W. T. Lamb, Ottawa.
The Dominion executive was elected as follows: Belle-
ville, Ont., A. F. Blakeley, Canada Life; Brandon, Man.,
J. E. Matthews, North American Life; Brantford, Ont., W.
American; Vancouver, H. 0. Leach, Sun, W. J. Twiss,
Mutual; Victoria, J. W. Hudson, North American; Windsor,
R. J. Henry, Imperial; Winnipeg, J. E. S. Buchanan, Mon-
arch, Walter T. Hart, Policyholders' Mutual, H. B. Andrews,
Imperial; Woodstock, C. Schuyler, Mutual of Canada; Anna-
polis Valley, H. E. Woodman, Canada.
Business Insurance
On Thursday morning, H. W. Manning, Toronto man-
ager of the North American Life, led a discussion on busi-
ness insurance. The agent who would specialize in this line,
he said, must, after obtaining a thorough knowledge of in-
surance, turn liis attention to forms of business organiza-
tion and finance. The volume of business insurance that
has been written bears testimony to the fact that this has
been successfully done. In the subsequent discussion on the
subject Mr. Manning expressed the opinion that the limited
payment policy w'ould best suit the business owned by an
B. Collins, Imperial Lifej Brockville, Onb., Thomas A.
Mott, Great West; C-slgary, A. P. Harris, Sovereign, H. S.
Ellis, Monarch, and F. B. Summers, New York; Charlotte-
town, H. Lapthomc, North American; Chatham, J. M. Mar-
tin, Confederation; Edmonton, W. W. Hulton, Sun, F. C.
Walls, North American, G. J. A. Reany, Mutual of Canada;
Guelph, M. J. Barry, Imperial; Halifax, H. T. Watson,
Canada; Hamilton, Geo. Nixon, Canada, A. G. Bradley,
Metropolitan; King.^ton, M. G. Johnston; London, M. C.
Folmar, Canada, C. B. McLean, Great West; Montreal, F.
G, Bourgeosc, Metropolitjin, C. A. Butler, Great West, J.
D. Young, New York; Moose Jaw, W. C. Gordon, Imperial;
North Bay, A. H. Kilgour, Confederation; Oshawa, C. C.
Stenhouse, Excelsior; Ottawa, P. A. Holmes, Manufacturers,
W. B. Graham, London; Prince Albei-t, M. McLeod, Im-
perial; Quebec, W. J. Delaney, Manufacturers; Regina, J.
H. Taylor, Dominion, S. G. Mclntyrc, North American;
Petcrboro, A. J. McClcUan, Excelsior; Sarnia, H. A, Link,
Sun; Saskatoon, G. D, Underwood, W, J. Yound; Sault
Ste. Marie, C. W. Pearson, Jlutual; Sherbrooke, H. St. C.
Clayton, Mutual, T. J. Parkes, Sun; St. John, G. C. Jordan,
Sun, R. L. Spirrell, Dominion; St. John's, Newfoundland,
C. A. C. Bruce, Canada; Stratford, Thomas Joliffc, Imperial;
Sudbury, P. T. O'Goi-man, Imperial; Sydney, W. H. McMil-
lan, Excelsior; Thunder Bay, E. Bonin, .Aetna; Toronto,
J. B. Hall. Poniinion, W. A. Carson, H. W. Manning, North
Life Underwriters' Association Convention, Otfwa.
individual, who would in all probability some day close it
down or hand it over to another, and would then wish to
assume the policy personally. The ordinary joint stock
company, on the other hand, could continuei to pay the
premiums right up to the death of the assured. The difficult
thing about selling business insurance, he said, was not the
life insurance end, but the business end, because of the
fact that no two cases were identical. The treatment of
business insurance premiums in income tax retui-ns was also
discussed. It was pointed out that a deduction up to a
certain percentage of profits is made in England, as al-
lowance for insurance premiums; in Canada a deduction
may be made if the insurance is actually carried.
Industrial Insurance
J. J. McSweeney, of Toronto, led a discussion on In-
dustrial Insurance, quoting figures to show its importance
in economic life. It is insurance by retail, he pointed out,
and was necessary and useful in the same w^ay that the sell-
in ir of tea and sugar in small weekly quantities met the re-
quirements of a large section of the people, the extra cost
being off.sct by the convenience. Regarding the connection
of industrial men with the association, he complained that
subjects were not chosen to interest them at the local meet-
ings. The two branches, ordinary and industrial, were part
of tho one business. T. J. Parkes, of the Sun Life, Sher-
Augrust 27, 1920
THE MONETARY TI.MES
brooke, pointed out that thtre had been one discussion of
industrial insurance at every annual meeting for many
years past.
Group Business Progressing
Group insurance was discussed by F. W. White, of the
Canada Life, Toronto. This was a new line in Canada, he
pointed out, and he had the honor of first addressing the
association on the subject. It was, in fact, an experiment,
the first group policy in America having been written as
recently as 1912. Its expansion in the United States was
rapid, and numerous inquiries had been received about it
in Canada prior to authorization last fall. The volume
of business written during the winter was very large, and
while the summer months were quiet, he expected a good
demand, even if industrial conditions were quiet.
Income Insurance
E. J. L'Esperance, of Montreal, spoke on "Income In-
surance," describing how in this way the maximum of in-
come might be obtained by the beneficiary, in proportion to
premiums paid. It was, therefore, well suited to the needs
of the married man of small means, whose income was small
in proportion to his responsibilities. Another advantage
is the fact that no opportunity is given for spending the
money foolishly, or losing it in unwise investments. It is to
those of small means that life insurance is most essential.
August 19. Haley Fiske, who is president of the Metropolitan
Life, is making a tour of Canada from Vancouver to St.
John, N.B. The insurance agent's responsibility is a great
one, he said, and he must live up to it. Speaking in re-
ference to the Metropolitan, he pointed out that it had
$504,000,000 invested in Canada, of which 25 per cent, is
in government bonds, and most of the balance in municipal
and other bonds and mortgages. It has over 1,100,000
policies in force in Canada, or about one in eight of the
population. The company took a broad view of its respon-
sibilities, and its work included the distribution of health
literature and co-operation with health authorities, and the
furnishing of nursing service to its policyholders.
Hon. Geo. E. Foster emphasized the value of life in-
surance in maintaining the family, which is at the basis
of modern life.
Other addresses were: "Why I am a Life Insurance
Agrent," by 0. B. Shortly; "Birdseye View of the History of
Life Insurance," by M. Monaghan, Quebec; "What Life In-
surance Agents Sliould Know," by W. Lyle Reid, Ottawa;
"Uses of the Blue Book," by G. D. Finlayson, Dominion
Superintendent of Insurance. The last-mentioned is given in
full in this issue of Tlw .\toiii-ttiry Tinus. Mr. Monaghan's ad-
dress, which was in French, was not given in full before the
convention, but he gave a short summary of it in English,
reviewing the growth of life insurance from the early experi-
ments of the Romans up to modern times.
PI>to at Dominion Experimental Farm, August 18. 1920
and they are usuaUy inexperienced in handling of funds for
investment.
Succession Duties
One of the best addresses, from the point of view of
practical information for the agents, was that given by
John T. Cowan, of the Toronto General Trusts Corporation,
Toronto, on "Succession Duties and Life Insurance." Besides
describing the succession duty legislation in the different
provinces, Mr. Cowan stated that a life policy was always
one of high grade investments found by the trustee in an
estate. Life policies are always paid without delay, and the
ready cash thus provided comes in very useful for the pay-
ment of succession duties and other expenses. This pre-
vented the sale of property, possibly at a sacrifice', to pay
the duties within the time specified, which vanes from six
to eighteen months in the different provinces. He reminded
the agents, however, that if the in-^urance was payable in
the form of income insurance, the payments couM ^e stopped
until sufficient had accumulated to pay the dutivs He cited
one case where a widow, who had been left quite wealthy,
could not get any cash for about two yoar- l'»CHUse it was
required for that purpose.
Haley Fiske's address on "The S-.l '■' Life Insurance."
and that of Hon. Geo. E. Foster, ^v'.o .poKe w piac. of Sir
Henrj' Drayton, were delivered 2: t'-^ :'.i^--:"l banquet on
Resolutions Passed
The only important resolution was one which was in-
troduced by T. J. Parkes, of Sherbrooke, and passed after
being recommended by the resolutions committee. It re-
commends that the executive take action, in co-operation
with the Life Underwriters' Association of the province of
Quebec, and with the Life Officers' Association of Canada,
to secure modifications in the system of Uixing life com-
panies and agents in Quebec province, especially as regards
the provincial tax of 1% per cent, and the municipal tax
on agents.
The executive committee, at its meeting held on August
17, endorsed a list of text-books on salesmanship, and ratified
agreements which had been made whereby they should be
sold through the association; instructed the sccrctarj- to
prepare and examine the succcs.iion duties in the different
provinces and prepare a chart which would enable the agent
to show his prospect exactly what amount would be levied
on his estate; decided to apply for incorporation of the
association under Dominion charter; and decided to hold a
series of congresses from coast to coast.
Victoria was selected as the place for the 1921 con-
vention, the Vancouver delegates endorsing the invitation
of that city. The plans for 1922 provide for a joint inter-
national convention at some central point in Canada, similar
to that held in New York in 1918.
28
THE MONETARY TIMES
Volume 65.
IMG IKON I'KUDICTION FALLING OFF
Total for First Hall" ol" 1920 Was 502,667 Tons. Compared
With 524,977 Tons During First Half of 1919
THE total production of pip iron in Canada during the first
half of 1920, according to statistics collected by the
mines branch of the department of mines, Ottawa, was 502,-
()67 short tons (499,891 tons made in blast furnaces and
2,796 tons made in electric furnaces), as compared with a
production of 524,977 tons during the first half of 1919, and
:ii'2,804 tons during the second half of 1919. The average
monthly production of pig iron during the first half of 1920
was 83,778 tons, as compared with an average monthly pro-
duction throughout 1919 of 70,482 tons.
The blast furnace plants active during the first half of
the year were those of the Dominion Iron and Steel Co.,
Ltd., at Sydney, the Nova Scotia Steel and Coal Co., Ltd.,
at North Sydney, N.S.; the Algoma Steel Corporation at
Sault Ste. Marie, Ont.; the Canadian Furnace Co., Port Col-
horne, Ont.; and the Steel Co. of Canada, Ltd., at Hamilton,
Ont.
The blast furnace plants at Midland, Parry Sound and
Deseronto, Ont., were idle throughout the period.
Pig iron was made from scrap iron and steel in two
plants, the Shawinigan Foundries, Ltd., Shawinigan Falls,
Que., and the Hull Iron and Steel Foundries, Ltd., Hull, Que.
Comparison by Months
The monthly production of pi
g iron in
short ton
s smce
1916 has been as follows: —
1916.
1917.
1918.
1919.
1920.*
.January
89,187
74,239
103,963
81,494
February .
83,801
78,507
86,840
70,864
March . . .
103,789
96,848
91,286
77,155
A pril
100,564
104,331
93,359
86,303
May
108,891
104,867
83,059
97,593
June ....
99,998
103,037
66,470
89,258
July ....
92,012
93,499
109,723
60,927
August . .
87,864
100,727
96,164
67,404
September
102,744
100,690
95,102
56,806
October
113,808
103,277
106,962
56,049
N'ovember
104,436
97,905
106,585
73,092
1 lecember
106,496
87,152
119,186
78,526
1,169,257
1,170,480
1,195,551
917,781
Aver, montl
ily 97,438
t to revision
97,540
99,629
76,482
83,778
*Subjei
VICTORIA FIRE INSURANCE AGENTS
The first meeting of the Victoria, B.C., Fire Insurance
\gents' .Association was held on .\ugust llth. An address
!i,v R. S. Day, president of the B.C. Fire Underwriters' Asso-
ation. was the feature. The speaker declared that the fire
i,?uranco business had just passed through most momentous
lines during which the whole business had changed radically.
Ihe business, he said, had been taken from the agents ami
p.issed over to the companies. He was satisfied, howovor,
;hat the change would not affect local conditions to the detri-
ment of Victoria as compared with Vancouver. The change,
lie said, was from agency control to purely company control,
and he urged the agents to form a strong and efficient organi-
ation to protect the public as well as their own personal
ntcrests. He pointed out that insurance agents had formed
trong organizations all over the continent, and he felt that
he local agents must be protected by the immediate forma-
tion of an efficient organization.
F. F. Fatt, temporary secretary, was appointed secretary
of the association, and he has opened offices at 620 Sayward
Building.
The Remedy!
THE only corrective for overloading
of lines and excessive ''Busy"
reports is a charge proportionate
to use of the service.
For street car transportation you pay
by the ride; for gas when the tap is
turned on; for electricity when the lights
burn.
Why not (or telephone service by the
message — so much for each effective
call you originate?
Flat rates, especially for business ser-
vice in big cities, are unfair to the
small user. A flat rate high enough to
yield a fair return would aggravate this
unfairness.
Pay for what you get, not for what
someone else gets — that's the principle
of message rate telephone service.
The Bell Telephone Company
of Canada
NIBLOCK & TULL, Limited
STOCK, BOND and GRAIN BROKERS
(Direct Private Wire)
Grain Elxchange
Calgary, Alta.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Uranches— SASKATOON AND CALGARY.
Canadian Managers
iNVHSTHBNT CORPORATION OP CANADA. LTD.
London Office: 4 Great Winchester St.. B.C.
Northern Securities, Limited
KSTAiU.ISHKl) 11106
GENERAL FINANCIAL BROKER
Confidential Aduice on British Columbia Investmtntt
Member of MortRaue and Trust Comp.inics Association of British Columbia
529 Pender Street W. VANCOUVER, B.C.
B. GEORGE HANSILO. J. P.. Manager
P.
826-7
M. LIDDELL & COMPANY
Invcstmenl Bankers. Fiscal Agents
Insurance Brokers
-8 ROGERS BUILDING, VANCOUVER, B.C.
August 27, 1920
THE MONETARY TIMES
29
^iiiiiiiiuiiiiiiMiiiiiiiiiiMiiMiiuiiiniiiiiiiiiinuiiiiiinniiiiiiiiiiiiiiiiiiniiiiniiiiiiiiiiiiiiiiiiiiiiiiiinniiiiiiiiiiiiiiiuiiiiiiiiiniiiuiiiuiiiiiiii^
I CHARTERED ACCOUNTANTS |
^niiiiiiiiiiiiiiniiiiiiiiiiiiiuiiiiiiiinHiiiiiiiiiiiiniinnMiiiiiniiuiiiniiiiiiiiiiiiiMiiiiiiiiiiiiiHiiiiiiiiiuunniiMiiiiiiiiiiiuiiiiiiiiiiinuiiiiiiiiiir
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
;V-FICliS AT
Edironton - Alberta
Toronto • Ont.
CHARLES D. CORBOULD
Chartered Accounlaat >rJ Auditor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipes
E!.tjblishi-d IK<;
W. A. Henderson & Co.
L'harlcred Accountanis
508-509 Electric Rtilwijr Ckimberi
Winnipet, Man.
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Specialist on Taxation Problems
Bank of Toronto Chambers
LONDON ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 Confederation Life BuiltJiog
Winnipeg
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:
HAMILTON
WINNIPEG
CLEVELAND
Hubert Reade & Company
Chartered Accountants
Auditors, Etc.
407 408 MONTREAL TRUST BUILDING
WINNIPEG
SERVICE
Thorne, Mulholland, Howson & McPherson
3420
CHARTERED ACCOUNTANTS
k:. I'ho:.. ^Tiov
Banl< of
Tiilton Bids.
TORONTO
RONALD, GRIGGS & CO.
RONALD. MERRETT. GRIGGS & CO.
Winnipe(, Toronto, Saskatoon, Moose Jaw,
Montreal. New York, London, En|.
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
LUMSDEN BUILDING '""'-"""^ ''""- "" TORONTO. CANADA
F.CS.TURNER&CO.
Chartered AccounUnta
TRUST & LOAN BUILDING. WINNIPEG
CLARKSON, GORDON & DILWORTH
Chartered Accountant., frualec..
Rece'vera. Liauidalora
Merchant. Bank BId«.. 15 WellinB.on Street We.l Toron
O. T.CIarks
Ebtahhshtd IS<M R. J. Uilwoi
K Williamson. C A.. J. U Wallace. C. A.
V J. Wjikcr. CA. H A. ShiJChCA
RUTHERFORD WILLIAMSON t CO.
U AcRLainr Stp'i'i'.V'ba.t. TOHO.STO
604 .McOln. HuiLi.iKO. MOSTKBAL
CaMc AdJr»«.-" W'lLLCO •■
Kcprcuntcd at Halifax. St. .'"hn. Winnipeg.
WE BUY . I
Chauvin, Allsopp & Company, Limited
FARM LANDS
And other good property. EDMONTON DISTRICT.
'AIAJATORS
Edmonton, Alta.
Ground Floor
VALUATORS
McLeod Bi.
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Wr.lrrn tlunlrlpiil. .rli....l ..M.I .«.S. nul.r - an Kar.il Tele-
ptioilr «... ilrhrnmrr. .prrlnlllr.! In.
C orrcjponJcncc invited
GRAINGER BUILDING SASKATOON
THE MONETARY TIMES
Volume 65
POSTDATED CHE(<IE IS GOOD SECURITY
Union Bank ^^■ins Case in Which it Had Advanced Credits
Against Postdated Cheque on 'Which Drawer
Stopped Payment
IN the Supreme Court of Alberta it was held in the case
of Union Bank vs. Tattersall that where a customer de-
posits a cheque with his bankers with the intention that the
amount of it shall be at once placed to his credit and the
bankers carry the amount of it to his credit accordingly,
they become immediately holders of the cheque for value
and this notwithstanding that the cheque is postdated when
the deposit is made.
Appeal was made fi-om the decision of the trial judge
on the ground that he had erred in holding that the Bank
was holder for value, in good faith and in due course.
The facts of the case are as follows: On June 3, 1919,
Tattersall agreed to buy some cattle from Shaw and Mounti-
field, Ltd., and gave a cheque for $600 payable to Shaw and
Mountifield. He desired, however, to inspect the cattle and
for that reason dated the cheque June 5. On the same day
he sold Shaw some cattle and received from him a cheque
of Shaw and Mountifield, Ltd., for $400. The cheque for $600
was endorsed for deposit "Shaw and Mountifield, Ltd., per
H. R. Mountifield," and was deposited to the company's credit
in the plaintiff's bank at Edmonton on June 4. There was
then a slight overdraft and on June 5 a note was charged to
the account which again left an overdraft. Tattersall in-
spected the cattle and found them satisfactory, but for some
reason he never received them, and on 12th of June before
the cheque had been paid by his bank he stopped payment.
The bank sued and recovered judgment.
Followed English Judgment
Chief Justice Harvey in his written judgment says: "The
decision of the English Court of Appeal in Royal Bank of
Scotland vs. Tottenham is very much in point. In that case
a cheque drawn on August 3rd was postdated August 10th.
It was deposited in the plaintifl"s bank on August 8th and
cheques were drawn against it on August 10th and Uth. On
August 10th, the defendant gave notice to his bankers to stop
payment and on the 11th the plaintiffs received notice of the
dishonour whereupon the cheque was charged back to the
customer leaving a debit balance of about half the amount
of the cheque. The plaintiffs recovered judgment for the full
amount of the cheque which was affirmed on appeal. The
Couit held, following a previous decision that the mere giving
of ciwlit on the deposit, was good consideration, and that
the bank thereby became holders for value. In the present
case there is no doubt about the good faith of the plaint !«■,
or the negotiation being in due course.
"The appeal should be dismissed with costs."
Pi:i{S()N Al. I.I AHII.nV OF PRESIDENT OF tO.MPANV
Servant I ndir M Years Killed hv Negligence— Prisidinl
Held Liable for Putting Hoy at ^Vo^k Where
Protection Was Not Sudicient
T N a recent ca,se appealed to the Supreme Court of Canada
•*■ from the Court of .Appeal of Nova Scotia, it was held
that the president of a company whose activities are such
that he is regarded as the owner of the business and who
has full .Tuthoiity to direct changes in the factory or mach-
inery necessary to safeguard the employees is personally
liable in damages for the death of n young boy whom hv
I'.as personally hired and put to work in a dangerous place,
thereby causing his death.
The facts of the case (Lewis vs. Boutilier) and the de-
cision of the Supreme Court are given in the following judg-
ment of Justice Mignault: —
"The action was taken against George Lewis personally,
the plaintiff alleging that her son Frank, aged less than 14
years, had lost his life through the negligence of, the de-
fendant by whom he was employed at a factory owned by -
him at Lewiston, N.S. The jury found that the deceased
was employed by the Lewis Hardware Co., Limited, but that
the defendant, Mr. Lewis, who was the president of this
company, had put him to work at the carrier on the morn-
ing of the accident and had instructed him as to his duties.
They found that there was negligence in so placing the boy
at work; that this negligence was that "there was -not the
proper equipment to protect the boy, no seat across the
carrier, no guards on the side to protect against falling into
the carrier'; and that this negligence was the efficient cause
of the accident.
Work Was Dangerous
"There was evidence to support this finding. The
brothers of the deceassd testified that they had worked on
this carrier; that they had stood or sat astride the carrier,
cne foot on each side, and Robert Boutilier swore that he
was working there and in that manner on the morning of the
liccident, and that Mr. Georga Lewis told him to come down
imd sent his broth-^r, the deceased, to work in his place. If
the jury believed these witnesses, and this was a matter for
him to consider, it was entirely consistent with this evidence
for them to find that there was negligence in not providing
a seat across the carrier and guards on each side to protect
against falling into the carrier.
"I felt some hesitation in view of the fact that the
action was taken against Mr. George Lewis personally as
having employed the boy, and that the jury had found that
he was employed by the Lewis Hardware Co., Limited. But
I cannot but think that even granting the employment of the
boy by the company, an action would lie against Mr. Lewis
if he personally put the boy at a dangerous work without
proper safeguards to protect him from mishap. The jury
having found that Mr. Lewis did put the boy at this danger-
ous work, and they have also found that proper safeguards
were not provided. Under these circumstances, liability was
incurred, in my opinion, by Mr. Lewis, the president of the
company, even although the boy was employed by the com-
pany. I wo\ild dismiss the appeal with costs."
DECISION AGAINST STANDARD BANK
Appeal will be made by the Standard Bank against a
decision against it early this month, made by a Vancouver
judge in F. J. Finucane vs. Standard Bank. The case came
to trial last spring and the financial dealings of the Rainy
River Pulp and Paper Co. and the HoUey Mason Hardware
Co., of Spokane, together with the principals in the action,
are discussed in the judgment.
The Rainy River Co., being indebted to the bank, hypo-
thecated its output as security for that indebtedness. Sub-
sequently, the same company obtained a loan of $50,000 from
the IloUcy Mason Hardware Co. and the bank waived certain
security to that amount to permit the transaction to go
through. In Mai-ch, li)li>, Mr. Finucane advanced funds to
carry on the pulp company and the Holley Mason agree-
ment was assigned to him. The bank contended that it did
not approve of the loan of $50,000 by the hardware co.npany
to the pulp concern, but only at the rate at which the loan
should be repaid. The agreement, which came into the hands
of Mr. Finucane, provided he should i-eceive $10 per ton on
the output of the pulp company, but after the sale of con-
siderable quantities of pulp and paper, the bank would not
recognize the validity of the agreement, and refused to hand
over any moneys to Mr. Finucane.
His lordship interpreted the approval of the bank as a
"specific undertaking to see at least that the payment of $10
per Ion was carried out, and with that object in view con-
sented to honor the company's cheques as issued." Regard-
ing the payment of $10 a ton, he decided the bank "stepped
into the shoes of the Rainy River Co., and in my opinion,
are trustees for such sums as may be found doe in an ac-
counting."
August 27, 1920
THE MONETARY TIMES
UiiiiiiiuiitiiiiiiiiiiiiiiiiiiuiiiuiniiiiiiniiiiiiiiiiiiittiiiiiiiiiiiiiiiiniiniiiiiiiiiiiiiiiiiiiiiuiiiiiMiiiiiiiiHiiiiiiiiiiiiiuiiiiiiiiiiiiiiniiiii^
I REPRESENTATIVE LEGAL FIRMS |
?iiiiiiiiiiiiniiniiiiiiiiuiiiiiiiiiuiiiiiiiiiinniHiiiinniiiiiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiniiiniiiMHiiuiinin
BRANDON
KILGOUR, FOSTER & McQUEEN
BarrUtcrs, Solicitors, Etc., Braodon, Man.
Solicitors for the Bank of Montreal The
Royal Bank of Canada Hamilton Provident
and Loan Society. North American Life
Assurance Company-
CALGARY
Charles F. Adams, K.C.
Bank of Montreal Bldg.
CALGARY - - ALTA.
W. P.W.Lent Alex.B.Mackay, M.A.,LL.B.
H. D. Mann, M A..LL.B
LENT, MACKAY & MANN
Barrl>l«r8, SoUeUors, .Notaries, Klc.
MS Grain Bxchange BldR . Calgary, Alberta
Cablt Address. ' Lenjo." Western UnionCode
Solicitors for The Standard Bank of Canada,
The Northern Trusts Co. Associated Mort-
ise.
Hon. Sir James Lougheed. K.C. K.C..M.G..
K. B. Bennett. K.C. J. C Brokoviki. K.C
A, M. Sinclair, K.C. D. L. Redman, H. E.
Korster, H. D. McAlpine. O. H. E. Might. L.
M. Roberts. I'CabIc Address "Loughnett")
LOUOHEED. BENNETT & CO.
Barristers. Solicitors. Etc,
Clarence Block, 122 Eighth Av«iue Wesl
CALGARY. ALBERTA. CANADA
J. A- Wbicht, LL.B. C. A. Wright. B.CL.
WRIGHT & WRIGHT
Barristen, Solicitors, Solariei. lie
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. AC. Rutherford, K.CLL D.
F. C Jamicson. 1< C Chat H. Grant
S.H..McCu,.iS Cecil RuthcrforJ
RUTHERFORD, JAMIESON
& GRANT
Barristers, Solicitors, Etc.
514-18 McLeod Bide- Edmonton, Alberli
LETHBRIDGE, Alta.
Conybeare, Church & Davidson
Barristers. Solicitors, Etc.
Solicitors for Hank of .Montreal. The Trust
and Loan Co of Canada, British Canadian
Trust Co., &c.,ac.
C K. p. Conybeare. K.C-, H W. Church, M.A.
K. K. Davidson. LL.B.
Lethbridge - - Alta.
L. M. Johnstone. K.C. J. Norman Ritchie
W. S- Gray
JOHNSTONE & RITCHIE
B»rriil«r», Sulicitors, Notiiriei
LETHBRIDGE - Alberta
MEDICINE HAT
G. 1". H. Lose. LLB. J. W. Si.EK.HT. 1'. A
LONG & SLEIGHT
Barristers, etc.
MEDICINE HAT and BROOKS, Alia.
MOOSE JAW
Grayson, Emerson & McTaggart
Barristers. Etc.
Solicitors-Uankof Montreal
Canadian B.ink of Commerce
Moose Jaw - Saskatchewan
NEW WESTMINSTER
JOHN W. DIXIE
Barrister and Solicitor
405 Weitminster Trust Building
NEW WESTMINSTER. B C.
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
C.illeJtoOntJrioH.r IW"). New Ynrk Bar IBK'.'
ELLISON, ELLISON & FRASER
11^', BromM'njf. >•"" »<irl.
ELLISON. GOLDSMITH* ALLEN
•.'.-.I We. I limli »!.. ^••" ^"rl.
PRINCE ALBERT
COLIN
E.
BAKER,
B.A.
Sih;i:or
for t
heC.tvof Prmc-
All>orl
IMPERI
AL
BANK BUILDING
PRINCE
ALBERT. SASK.
REGINA
H Gi
, B.C L.
A. L Gordon. K C
H. E. Keown F I' Coll.ns
Gordon. Gordon, Keown
and Collins
Barristers, Solicitors, &c.
Aldon Buiiaing, REGINA, Saak.
Solicitors for Imperial Bank of Canada
SASKATOON
C 1. Uitii. B
A
U .M \V.>K
1.0 1
DURIE
& WAKELING 1
llarrl"
ur.
11 ml .s<
llrlliir.
Solicitors for
Great West
.Monarch Lite A
the
Per
Bank of
anceCo
Hamilton.
Loan Co.
The
The
Canadn niillilins
KonksltHin, Vn
■ BcIa
Chas-G. Locke. Ma/orJ.McAuKhci.O.B.E-
LOCKE & McAUGHEY
Barriitcra, Solicitors, Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
\V. J Uuw-cr K C
I) S. WalllriJuc A H.
l; L Held K.C
l),,i,glas J G Oibnon
BOWSER, REID,
DOUGLAS
WALLBRIDGE
& GIBSON
Barristers. So
S , I.e. tor, fur Hank <
Hr.tivh North A
licitors. Etc.
( \1,,. Ureal (Hank i.(
meriCK Branch)
Yotk.bii.BoiMiii.. S25Se.
soar Si.. Vi»c«»»ef. B.C.
VICTORIA
A. E UUNLlll'
(K.C. for Alberta)
Member nf Nov.i Sc.i
tia. Albert., and lint.
h H M. 1 OOT
Member of .Manitoba
anil Hritnh Columbia
Harv
DUNLOP
&
FOOT
Barristers.
Notaries and C
61 2-6 1. •* Snr
VirloHn BM.i.h C
.So
om
oluir
icltori.
missioncra
Bids.
Urn. Cnnfidn
"The Monetary Times"
will be sent you f°' '°"'^":''"'''' ,""
our TRIAL SUBSCRIPTION plan (or
$ 1 .CO
JuBt send a dollar bill and y<
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE • REALTY
432 Pender Street, W., Vancouver, B.C.
l>r, J.W. MAHAN J A WKSTMAN
Prcmdent Managing Director
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
International Nickel Company IMannins Heavy Expenditures at Sudburj Output of
Plant of Spanish River Company at Sturseon Falls to Be Increased IJy Installation
of New Machine— Dominion Steel to Spend Four Millions in Coal Development in
Nova Scotia— Baldwin's Canadian Steel Plant Will Soon Be Producing at Toronto
THAT the International Nickel Co. is planning the ex-
penditure of about $3,000,000 on a new rolling mill
at Sudbury, Ont., is the information given out by Frank L.
Culver, mining magnate, who has just returned to Toronto
from the convention of the Ontario Mining Association,
which was held at Sudburj' last week.
This plant is to be used exclusively for the rolling of
monel metal — work that is now done at Bayonne, N.J. —
and eventually, it is understood, all the operations of the
company will be carried out in Canada, either at the mine
and plants at Sudbury and Copper Cliff, or at the recently
established refinery at Port Colborne, Ont. Monel metal is
a composition of pure nickel and pure copper, and is in de-
mand because it i.s not susceptible to the influence of acids,
because it is only affected in small measure by the pres-
ence of heat or cold, and because of its freedom from oxidiza-
tion it will not, like steel, gather barnacles.
Mr. Culver is particularly interested in the work that
the International Nickel Co. is completing in the neighbor-
hood of High Falls, where a dam 90 feet in height is being
erected that will hold water back for a distance of twenty-
five miles. All the area that is to be submerged has been
carefully cleared by the company, so that no refuse of any
kind can be swept down towards the dam to interfere with
the operation of the power wheels supplying electricity to
the plant. The dam has been made as high as it is in order
that, even in the depth of winter, the ice and snow may
not impede the flow of the water underneath. In the con-
struction of the dam 88,000 cubic yards of cement have been
used, and the total cost of the work will be in the vicinity
of $4,000,000.
Recent advices from the plants of the Spanish River
Pulp and Paper Co. in northern Ontario are to the effect that
the new machine being installed at Sturgeon Falls' mill will
be ready to start operations about January 1 next. Some
delay has been experienced in securing electrical equipment,
but progress is being made now. This machine will in-
crease the output of the mill by about fifty tons of news-
print each day.
A sawmill of Frank Bcban, near Extension, B. C, which
was destroyed by bush fire recently at a loss of about $75,-
000 will be rebuilt. The new mill wll be built on the old
site, and will be capable of handling fifty thousand feet of
lumber per day.
The Manouan Pulp and Paper Co., Ltd., is a cencem now
in process of organization, whose plant will be located in the
St. Maurice district of the province of Quebec. The interests
behind the new corporation include a number of prominent
American and Canadian interests, who are already largely
identified with the pulp industrj'. Prominent among them
are: Frank L. Moore, president and managing director of
Newton Falls Paper Company, of Watertown, N.Y., and
former president of the .\merican Pulp and Paper .•Associa-
tion; Thomas Fynes, of the Continental Bag Company, of
New York, and several pulp and paper companies, both in
Canada and the United States, and George R. Smith, M.P.P..
manager of the Bell Asbestos Mines.
In preparation for proceeding with the construction of
dams on the Tobique River and a pulp and paper manufac-
turing plant at Tobique Narrows, a few miles from the town
of .A.ndover, in Victoria county, N.B., the Fraser Companies,
Ltd.. who now operate several pulp mills and about a dozen
lumber plants in New Brunswick and Quebec, are said to
be obtaining options now on properties which will be required
in carrj-ing out their immense new project.
Lumber stocks in western yards are reported by retail
men as lower than at any period since the war. Business
is reported as exceptionally good, but their accounts are
mostly with farmers, and they cannot make collections until
after the harvest. Meantime, they are not ordering stock
from the coast as the banks on the prairies are restricting
loans until after the cro phas been removed. Lumber trade
in the west will remain dull, as far as original mill shipments
are concerned, until October 15th.
Coal and Steel
The Dominion Steel Company announces the commence-
ment of operations for the expansion of coal production by
a programme involving an expenditure of four million dollars
in the Cape Breton mines and half a million dollars at
Springhill, N.S. The company expects to develop the Spring-
hill mines eventually to yield one thousand tons per day.
Colonel Sir Charles Wright, a director of Baldwin's,
Ltd., is visiting Toronto. This week he inspected the plant
of Baldwin's Canadian Steel Corporation at Ashbridge's Bay
and expressed himself as pleased with the location of the
plant and the progress made in its erection. Sir Charles
mentioned that the commencement of operations is now
clearly in sight. The last piece of the large rope wheel had
left Pittsburg, and was expected to be delivered at the plant
toward the end of the present month. Immediately upon its
arrival its erection will be proceeded with and the first unit
of eight mills set in operation.
It is not the intention of the company to bring into
Canada any more men than is absolutely necessary for the
starting up of the plant. Opportunity will be given to Cana-
dians to learn the trade of rolling, doubling and finishing the
sheets, and it is the particular wish of the company that only
Canadian labor will be engaged.
"The intentions of the corporation," said Sir Charles,
"were to install forty mills at an outlay of about $3,000,000,
but owing to the shortage of power the plans had to be cur-
tailed to suit the available power which the Hydro-Electric
Power Commission could let us have, which has i-educed the
plant to one unit of eight mills. The original idea will be
resorted to when the Chippawa-Queenston development is
fully carried out and we are able to receive our full require-
ments of 20,000 horse-power."
Maritime Brick Manufacturing
Immediate expenditure of several million dollars is to
be made by the Empire Silica Co., in the development of
silica properties near Whycocomagh, N.S., and in the erec-
tion of factories for the manufacture of brick of various
kinds, as well as lime and cement products, according to
an announcement by Major Burton, of New York, in Sydney,
N.S., recently.
The brick manufacturies which are planned will give
employment when in full operation to at least 1,000 men,
said Major Burton, and will be operated under the manage-
ment of a Canadian company, incorporation for which is
now being sought. The various silica lime and clay pro-
perties which are situated in the district of Sky Mountain
near Orangedalo, N.S., consists of nearly 60,000 acres con-
taining silicia, limestone and fire clay. The property is at
present b'eing surveyed and a Sydney engineer is at present
at work completing surveys which are to be handed over
to the new Canadian company which will acquire all rights
of the Empire Silica Co. The board of directors of the new
company will consist of the directors of the Empire Silica
Co., with the addition of several Canadian financiers. The
headquarters of the company will be at Skv Mountain.
August 27, le.i
THE MONETARY TIMES
33
The Imperial
Guarantee and Accident
InsuTEOice Company
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT,
IMPERIAL PROTECTION
Guarantee Insurance, Accident Insurance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital
Authorized Capital
Subscribed Capital
Government Deposits
Siai,000.(Xi
Sl.OOO.OOti.OO
Sl.OOCi.OfKJ.OO
Sill, (XXI. 'XI
LONDON
GUARANTEE AND
ACCIDENT COY.. Limited
Head Office for Canada - Toronto
nptoyerfe' Liability. Elevator. Contract. PersonMl Accident. Fidclity
Guarantec. Internal Revenue. Sickness, Court Bonds.
rcafTTi anJ Automohilc.
AND FIRE INSURANCE
THE DOMINION OF CANADA
GUARANTEE & ACCIDENT INS. CO.
A^idcnt Insurance SicknesK 1
Burglary Insurance Automobile Ir
The Oldest and Strongest Canadian Accide
T*r«Dto Montre-al Wlnolpf^
Plate Glai> Insurance
:e Guarantee Bondi
nt Imurvnce Company
Caicmry VanrvoTer
CANADIAN STRONG PROGRESSIVE
FIRE INSURANCE
AT TARIFF RATES
Automobile— 1 920— Season
Policies to cover ANY or ALL motoring: risks
ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
82-88 King Street East, Toronto
Palatine Insurance Company
LIMITED
OF LOSDO.W E^CLA.\D
Capital Fully Paid - $1,000,000
Fire Premiums, 1919 3,957,650
Total Funds . - 6,826,795
In addition to the above there 's
Union Assurance Compiny. L
thefiirtncrGL,
MONTREAI
Head Of fid .—
COMMERCIAL UNION ii.....
W. S. JoPLiKO. .Manaser
Toronfo O//ice-60 KING STREET WEST
Jones & Proctor Bros., Limitru. A>:t.nt
British Northwestern Fire
Insurance Company
Head Office
TORONTO
t.C. C, JOIIKK
J. H. KiDOEU.
Managing Director.
F. K. FOSTKB.
Winnipeg, General Agent for Western Provinces.
The policies of this Company are guaranteed by Eagle,
Star and British Dominions Insurance Company, Limited, of
London. England.
ASSETS EXCEED S93.000.000
Great North Insurance Co.
Head Office. I.O.O.F. BLOCK. CALGARY. .A'-BFRTA
THE COMPANY WITH A RECORD
OFFICERS
d Manacer ... W. J. WALKKK. Hsq.
President •■■ J K. .MclNSIS. Esq
-President. HON. ALEX. C.RLTHKKH3RD.K.C.
.^;es,dent- ... Ho.. P. E. t-HSSAHa M.L>.
AVDITORS
3dwards. Morgan 4 Co C»l«»rr
DIRECTORS
Hon.AIex.C.Ruther. Edward J. Fream.
ford. KC. B.
Hon'. P. E.' Lessard.
Esq
J. K. .Mclnnis.
W J Wallier. Esq.
Geo. H. Robs, k c
Merchants Casualty Co,
The
Head Office : Winnipcfct, Man.
»t [irogr
under tht
lupervttton of tr
Embracing the entire Dominion of Canada
SALESMEN NOTE!
Our accident and health policy is the most liberal protection ofTcrcd
■or a premium of $r 00 per month and up.
Covers
Pays tc
Illness.
Fifty percent, extra if con^ncd to hospital
Pays for Accidental Death. Ui/arantinc. Su;
geon |.cc« for mmnr in;unc« al»o for death cf
Beneficiary and children ol the Insured.
Good Optning* for Liv Agmnlt
Eastern Head Office. Royal Bank Hldg .Toronto
Home Ofnce Electric Railway Chambers.
Winnipeg. Man
34
HE MONETARY TIMES
Volume 65.
Manufacture Hard Rubber Goods
The Joseph Stokes Rubber Co., of Trenton, N.J., have
acquired a three-acre site in Welland, Ont., adjoining the
Grand Trunk Railway, and will erect a plant for the manu-
facture of hard rubber goods, plates and cells for batteries,
etc. It is proposed to erect the factory as soon as material
can be placed on the ground. .
The size of the first unit will be 65 x 160 feet, with a
separate power-house and office. The railway spur is being
laid the entire length of the property, so that shipping facili-
ties will be available to other units as they are added. The
company e.xpects to operate by December, and estimates the
number' of employees at 150 by the end of the second month.
About 1,500 people are employed by the parent organization
in Trenton, N.J.
The company will be incorporated under an Ontario
charter, and a by-law will be submitted to Welland ratepayers
at the ne.\t municipal election giving a fixed tax assessment
to cover everything except special and school taxes for a
ten-year period.
About the middle of October the new warehouse now
under construction for the Marshall Wells Alberta Co., at
Edmonton, Alta., will be ready for occupancy. This new
building, which is the largest commercial warehouse de-
voted to one line west of Winnipeg, represents an invest-
ment of well over ,$500,000. Since July, 1912, the present
building at the corner of 102nd Ave. and 10:3rd St., has been
occupied. At that time they bought out the business of Ross
Bros. Previous to that the Marshall Wells interests had
operated the Somerville Hardware Co., including its whole-
sale department, but in 1912 the two businesses were amal-
gamated. The territory served from Edmonton embraces
a very wide area and includes everything west to Prince
Rupert, east to the Saskatchewan boundary, south to Cal-
gary and north to the Arctic Ocean.
NEW INCOUPORATIONS
InternaUonal Petroleum Co.. Ltd., Sarnia. $20,000,000 —
American de Levaud :\lauufacturing Company, Ltd..
Toronto, §7,500,000
The following is a list of companies recently incon)orated
under Dominion and provincial laws, with the head office and
the authorized capital: —
Hecla, Man.— C. Tomason Co., Ltd., ?40,000.
Kingston. Ont.— Wettlaufers, Ltd., $800,000.
.Marpole. B.C.— Murray Motors, Ltd., $10,000.
Senlac. Sask.— Senlac Salt Co., Ltd., $150,000.
Morris, Man.— Western Brick Co., Ltd., $5,000.
Revelstoke. B.C.— Comaplix Mills, Ltd., $10,000.
Perth. N.B.— Geo. B. McLaughlin, Ltd., $49,900.
Dunnville. Ont.— J. H. Charles Co., Ltd., $40,000.
Chesley, Ont. — Bruce Woodworkers, Ltd., $40,000.
Waterville. <iue. — Weaver Products. Ltd., $24,000.
Sandwich. Ont. — Border Transit Co., Ltd., $50,000.
Canlerhurv, N.B.— Benton Land Co., Ltd., $99,000.
Cal«ary. .\lta.— Caldwell-Mount Co.. Ltd., $50,000.
Moncton, N.B. — Moncton Orangemen, Ltd., $49,000.
Cole's Island, N.B.— West Lumber Co., Ltd., $90,000.
St. Boniface, Man.— Belgian Baking Co., Ltd., $18,000.
Nash«aksi«, N.B.— Hawkins Lumber Co., Ltd., $98,000.
Windsor. Ont. — Dominion Motor Castings, Ltd., $250,000.
Lions Head, Ont.— Eastnor Thrashing Co., Ltd., $10,000.
Peterboro', Ont. — G. J. Jopling and Sons, Ltd., $100,000.
Penticton, B.C. — Penticton Stationery Store, Ltd.,
$10,000.
Merritt, B.C. — Nicola Valley Silver Fox Co., Ltd.,
$35,000.
f.iokshire, Que.— East View Small Mills Co., Ltd.,
!?50,000.
Bracebridge, Ont.— .\rcher-Hcintz Lake Service Co., Ltd.,
$12,000.
Sarnia, Ont.— International Petroleum Co., Ltd., $20,-
000,000.
Bear River, N.S. — The Bear River Steamship Co., Ltd., j
$150,000. ;
Richmond, Que. — Richmond Wii-e and Iron Co., L+d., 1
$1,000,000.
Nanaimo, B.C.— Nanaimo Fish Meal and Oil Refinery,
Ltd., $75,000.
Walkervillc, Ont. — Canadian Detroit Tavist Drill Co.,
Ltd., $20,000.
St. Jerome, Que. — Legare Automobile, of St. Jerome,
Ltd., $100,000.
Caledonia, Ont.— Caledonia Farmers' Co-operative Co,,
Ltd., $10,000.
Port Stanley, Ont. — Port Stanley Farmers' Co-operative
Co., Ltd., $10,000.
St. Gabriel de Brandon, Que.- Le Club Saint Gabriel de
Brandon, Ltd., $2,500.
New Liskeard, Ont. — Pan-Oceanic Power Development
Co., Ltd., $1,000,000.
St. John, N.B.— The Phonograph Salon, Ltd., $2,900; the
Lord Beatty, Ltd., $25,000.
Lachine, Que.— La Traverse de Caughnawaga, Ltd., $20,-
000; Canadian Aeencies, Ltd., $90,000.
Hamilton, Ont.— Canadian Metlskin Co., Ltd., $50,000;
Electric Stamping, Ltd., $100,000; Burlington Products, Ltd.,
$20,000.
Hamilton, Ont.— Hamilton Engineering Service, Ltd.,
$50,000; Canada Rock Products, Ltd., $24,000; Frank B,
Smith Co,, Ltd., $40,000.
Regina, Sask. — Farmers' Operative Land Co., Ltd., $100.-
000; the Saskatchewan Co-operative Export Co., Ltd.,
$100,000; Provincial Agencies, Ltd., $10,000.
London, Ont. — London Concrete Machinery Co., Ltd.,
$500,000; Benson-Hines London Hotel Co., Ltd., $500,000;
Parisian Laundry of Ontario, Ltd., $300,000.
Ottawa, Ont— Associated First National Pictures (East-
ern Canada), Ltd., $18,500; George C. Graves Construction
Co., Ltd., $250,000; Empress Navigation Co., Ltd., $100,000.
Vancouver. B.C.— G. H. Cottrell Oil Tanking Co., Ltd.,
$25,000; Bailey Hobbs Lumber Co., Ltd., $50,000; Campbell
Logging Co., Ltd., $20,000; Brewer Building Co., Ltd., $16,-
000; Cum-.\yre Development Co., Ltd., $600,000; Canadian
New Zealand Timber Agency, Ltd., $100,000; Commercial
Securities, Ltd., $10,000; Standard Lumber Co., Ltd., $2,-
500,000.
Montreal, Que. — Shamrock Aerated Waters, Ltd., $99,-
500; Autographic Register Systems, Ltd., $100,000; Darling
Brothers, Ltd., $1,250,000; A. G. Campion, Ltd., $100,000;
B, Gardner and Co., Ltd., $1,000,000; Williams, Grenne and
Romse Co., Ltd., $20,000; Hazelwood Shipping Co., Ltd.,
$20,000; Lavoie Automotive Devices, Ltd., $100,000; John
Richardson, Ltd., $175,000; Wonder Co,, Ltd., $165,000; Fed-
eral Flax, Ltd., $250,000.
Winnipeg, Man. — The Regent Investments. Ltd., $50,000;
Canadian Farm Land Development Co,, Ltd,, $250,000; Robb-
Shelton, Ltd,, $40,000; Martin's, Ltd,, $30,000; Universal
Merchandise Co., Ltd., $20,000; Tribune Newspaper Co,, Ltd.,
$1,000,000; Timber Products, Ltd., $50,000; Canada Steam
Trap Co.. Ltd., $250,000; Stockholm Cream Separator Co.,
Ltd., $20,000; A. RaMisay and Son Co. of Manitoba, Ltd.,
$100,000; Fort Garry Lawn Tennis Club, Ltd., $30,000; West-
ern Products, Ltd., $40,000; Insurance Underwriting Co., Ltd.,
$50,000.
Toronto, Ont.— Exide Batteries of Canada, Ltd., $1,050,-
000; Loraine Chocolate Corp.. Ltd., $600,000; American de
Levaud Manufacturing Co., Ltd., $7,500,000; Hudson Invest-
ments, Ltd., $40,000; .\uto Supplies Co., Ltd., $1,50,000;
Mohawk Trading Coi-p„ Ltd,, $1,000,000; Canadian Farm
Power and JIachinery Co., Ltd., $1,000,000; General Acces-
sories. Ltd,, $100,000; South West Porcupine Syndicate, Ltd,,
$100,000; Ideal Knitting Mills, Ltd,, $40,000; Mutual Bond
and Securities Corp.. Ltd., $100,000; Paciuette and Hughes,
Ltd., $40,000; Fuel Burner Co., Ltd., $45,000; Purser Machine,
Tool and Stamping Co., Ltd., $40,000; Textile Processing Co.,
Ltd., $50,000; C, A, Ward Fireproof Storage, Ltd., $750,000;
Tricotage de Luxe, Ltd., $10,000.
August 27, 1920
THE MONETARY T I .M E S
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS .... 24,600,000.00
UBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These arc wondrrful d/.ys lor li(r insurancr salc.men.
particularly North American Life men. Our representa-
tivea are placing unprecedented amounts of new busineas.
All 1919 records are being smashed.
"Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey. Suprrvisor of Asences
North American Life Assurance Company
■SOLID .-\S THE CONTINENT'
HOME OFFICE - TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG, MAN.
Assurances, New and Revived - - 51,211,417 00
Premiums on same ' - . . . 43,890 00
.Assurances in Force - - - 3,458.939.00
Total Premium Income ... 109,586.03
Policy Reserves - - - . . 211,497.00
Aduiitted Assets 296,430 62
Average Policy 2,237,50
Collected in cash per $1,000 insurance in force 31 75
For particulars of a good agency apply to
ADAM REID, Managing Director Winnipeg.
OUR GOLDEN JUBILEE 1B20
Co-Operative - Scientific - Successful
BE A MUTUALISTt
The Mutual Life Assurance Co. of Canada
Waterloo
Cronyn, .M.P.. PrcsiJcnt.
Ontario
Ch-irlcs Kuhy, General .Man.iiicr
SUCCESS IN LIFE INSURANCE
Salesmanship depends so much upon the st-rvici; rt-ndcrcd thai wc have
adopted as Our slogan : "Cirt-aler Scrvlrc lu rollryliohleri«." v\ c have a few
desirable positions for good salesmen who will study their chtnts' best interests.
and co-operate with the Company. Every assistance, financial ;md otherwise,
given earnest, hard wcrKers. to maUe good. Apply with rt-fcrcnc s, st Jtin>; c.\
perience.etc..to!«. S. ni-:\Vtlt. Kaftlrrii .>u|M'rliiU'nitrnl. ii( llcii«l Otllcr
THE CONTINENTAL LIFE INSURANCE CO.
Head Office TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
ISSLHU ONLY ISY
THE LONDON LIFE INSURANCE CO.
Head Office ... LONDON, CANADA
Profit Results in this Company 70;: better than Eilimalei.
POLICIES •fiOOD AS GOLD'
A REMINDER
As it hiis \,evn well said — some of ua ore •• absent-minded
begRars." and fail to look rhcad. Many families have suf-
fered from this cause. \rl if everybody knew at how
trifling a cost such suffering could be altogether avoided,
there would be fewer who fail to take advantage of the
opportunity of Life Insurance.
If the reader of this announcement has hitherto failed to
secure the protection he ought to have, let him take the first
step towards remedying this omission by sending his name,
address, and age ,o
THE GREAT-WEST LIFE ASSURANCE COMPANY
HEAD OFFICE ' - ' . WINNIPEG
when full details of the Company's many
attractive Pl»n« will be sent to him.
The Western Empire
Life Assurance Company
Head Office: 701 Somerset Bailding, Winnipeg, Man.
SASKATOON
ED.MONTON
VANCOlMiK
F. S. RATLIFF & CO.
FARM LANDS-FARM LOANS
STOCKS AND BONDS
Medicine Hat , . - -
Alberta
ATLAS
Assurance Company Limited
Founded in :hp Reign of George III
Subscribed C«pital
Capital F'aid Vp . .
Ailrlitinnnl FiiiuU
911.000.(100
L 320, 000
24.720.180
The coiiiprttiy enjoys the highest reputation for prompt
and lihenil settlement of claims and will be chul to receive
applications fr)r Agencies from Kentlenicn in a position
to introduce business
Head Office for Canada 260 St. James St., Montreal
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Resina and Calyarv Civic Itilities Falling Behind Financialh -Montreal Assistant City
Treasurer Suggests Caution in Order That Maturing Loans May be Met-Kingston Auditor
Criticizes City's Accounting-Large Increases in Cobalt and Portage La Praine Tax Rate
Seymour Township, Ont. — At a special meeting of the
council on August 24th a by-law was passed fixing the tax
rate at 2:5 mills on the dollar.
Calgary, Alta. — During the two discount periods between
July 1 and August 20, approximately §2,250,000 was received
by the city treasurer in payment of current taxes.
Cobalt, Ont.— The tax rate this year has been struck at
32..5 mills for public school supporters and 50 mills for sep-
arate school supporters, as compared with 38 and 44.3 mills
last year.
Owen Sound, Ont.— The city council has set the tax rate
for 1920-21 at 40 mills on the dollar for public school sup-
porters and 35.5 mills for separate school supporters. The
total amount required by the city is $271,065 and the assessed
value is $7,042,581.
Portage la Prairie, Man. — The tax rate for this year has
been fixed by the city council at 42 mills on the dollar. This
is an increase of 8 mills over last year. The increase is due
largely to an increase of four mills asked for by the school
board, made necessary by increased salaries to teachers.
Lethbridge, Alta. — At a recent meeting of the city council
a by-law- authorizing a bank credit of $313,000 was passed.
This was done at the instance of the Bank of Montreal which
asked that a by-law covering the full line of credit for the
year bo passed. The council decided that the best thing to
do was to pass one for 80 per cent, of the current year's
taxes, and then use whatever might be necessary of the
amount.
Oak Bay, B.C. — A by-law for the relief of returned
soldiers owing taxes on property within the municipality
is being considered by the council. At a recent meeting the
by-law was investigated to some extent, but certain diffi-
culties prevented any definite arrangement being made, and
the council instructed their solicitor to look into the matter.
The by-law deals with arrears owing up to December 31st,
1910, and allowed a five-year extension, with interest, for
jiroperty on which a taxpayer does not reside, and a five-
year extension, without interest, on the property on which
a tax-payer does reside. Payments must be made annually,
and the first by September 1st of this year.
Winnipeg. Man. — Property to be sold this year for taxes
represents a total in tax arrears of $278,798, the smallest
amount in years, according to the list submitted to the city
treasurer's department by II. R. Pattinson, city tax collec-
tor. The sale covers 1917-1919. The properties on which
taxes are in arrears will be advertised for sale at once, and
the sale will be held earlier than usual, probably in Septem-
ber. Ratepayers will still have an opportunity of keeping
their property from sale by paying all arrears to date to the
city treasurer at once. The 1919 sale covering arrears from
1916 to 1918. called for .$591,251. The taxes in the 1918 sale
called for $499,079; in the 1917 sale, $318,753, and in the
1911! -sale, $624,451.
Hamilton, Ont. — City Clerk Kent has received a letter
from the United Gas and Fuel Company containing a new
offer in connection with the city's proposal to take over the
company's holdings. The plant of the company is now offered
to the city for $3,050,000, the city to assume the outstanding
bonds of $1,050,000, due in 1923, and pay the balance in city
of Hamilton 6 per cent, sinking fund bonds. The company
also asked that the city buy any stocks of coal, oil and other
supplies on hand at the prices paid for them. The company's
first offer was $3,200,000, and the city offered $2,800,000 for
the plant. The city later increased its offer to $2,900,000, and
the company's latest offer splits the difference between the
price asked and the city's second offer. No definite decision
has yet been made.
Kingston, Ont. — Auditor Muir, in submitting his report
to the city council on the 1919 financial statement, makes
some severe criticisms. He says: "Seven months after the :
close of the financial year is rather late to submit a report.
The reason is the same as for the past two years, and is ;
on account of difficulties in connection with the accounting
department of the Public Utilities Commission. On July
20, 1914, the city council passed a resolution in accordance
with the Public Utilities Act, asking the local commission
to submit quarterly statements of the business of the three
utilities. As yet you have not had a statement except the
annual reports which I have filed. If the accpunting de-
partment was on an efficient and permanent basis, as it
should be, there is no reason why these statements should
not be submitted shortly after the end of each quarter.
The deficit of the 1919 council was $14,306, the Board of
Works being responsible for the greater part. The municipal :
business of 1919 was the most poorly conducted that I have
seen. For five months from July 1st, the city's business,
especially the work's department was conducted without any
regard for the statutes, municipal by-laws, or any other
procedure, being done principally by the so-called round
robins. I am very glad to see that so far the 1920 council
is trying to properly conduct the city's business, and it is
to be hoped that future councils will not follow the example i
set in 1919."
Montreal, Que. — Assistant City Treasurer Patrick Col-
lins has just issued the annual report of the city's receipts
and expenditures for 1919. In the course of his remarks he
calls the attention of the civic authorities to the fact that
between December 1st, 1922, and September 1st, 1923, loans
to the extent of $18,000,000 will become payable, and sug-
gests caution so that these loans may be met promptly when
due. The report shows that the total revenue for last year
was $19,808,651; receipts on loan account and special revenue,
$14,650,652; moneys due by bankers outside of Canada, $162.-
397; balance on hand on January 1st, 1919, $203,969, forming
a total of $34,825,669.
The expenditures were as follows: Cost of administration
on revenue account, $19,882,861; expenditures on loan ac-
count and special expenses, $14,620,589; moneys owed to
bankers outside of Canada, $16,982, making a total of $34,-
520,432, leaving a cash balance on hand on January 1st, 1920,
of $305,257.
.\s regards the preparing of the annual budget. Mr. Col-
lins points out that, while the civic budget has now to be
prepared for Januaiy 1st. the revenue included in said budget
does not begin to come available until the following May 1st,
and this method has been followed for the past twenty-five
years. The assistant treasurer considers this to be an
anomaly which could be remedied in the new charter of the
city, which is now being drafted by the Charter Commission.
Calgary. Alta. — In making up the estimates for 1920, it
was estimated that the civic hospitals would have a deficit
of about $273,000 this year. The showing- made for the first
seven months seem to indicate that unless certain changes
are made before the end of the year, this figure will be
greatly exceeded. Based on the estimate for the year of
.S273,3fi0, the deficit for the seven months should have been
about $159,464. The actual figure for that period, however,
was $162,710.
The municipal market is facing a situation very much
the same as that of the civic hospitals. While expenditures
are constantly increasing, revenues are practically station-
ary, as compared with last year, the result being a steadil.v
August 27, 1920
THE MONETARY TIMES
Announcing
The Establishment of a
DEPARTMENT OF
BUILDING MANAGEMENT
RENTALS
AND
CITY REAL ESTATE
Osier, Hammond and Nanton
WINNIPEG
Established 1883 Canada
Bankers : The Dominion Bank
The Imperial Bank of Canada
houssLR Wood v°G>MRvw
IMVWTMIMT •ANHCIIt
canadiajN government
and municipal bonds
high grade indl'strial
securities
12 KING ST. EAST
TORONTO
CITY OF WINNIPEG
Twenty-Year BTc Coupon Bonds
Due 2nd August, 1440
Price 97.17 and Interest, Yielding 6.25%.
Harris, Forbes & Company
INC0RP0RATEU3
C. p. K. Building. 21 SL John Street
TORONTO. MONTREAL.
We Offer the
8% Cumulative Guaranteed Preference Stock of
King Edward Construction
Company, Limited
(King Edward Hotel. Toronto)
Guaranteed by-
King Edward Hotel Company. Limited, and
United Hotels Company of America
Price $100 per Share
Carrying a bonus of 30'".^ in Common Stock
Complete Prospectus will be sent upon request
T. S. G. PEPLER & CO.
INVESTMEST BROKERS
ROYAL BANK BUILDING. TORONTO
c.
H.
BURGESS & CO.
Government and
Municipal Bonds
14
King
Street East
Toronto
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank Bldg., Edmonton, Alta.
Province of Ontario
Ten Year 6% Bonds
DUE JUNE I'). "Mil INTI.Kl.^r MALI YEARLY
Price 100 and Interest
YIELDING 6%
J. F. STEWART & CO.
106 BAY STREET - - TORONTO
Trltt'lionc'; Adelaide Til -,]•
THE MONETARY TIMES
Volume 65.
increasing deficit. The report of city comptroller, W. C.
Wood, for the seven months of 1920 just elapsed, show that
whereas !j;27,110 was estimated by the council as the total
expenditure for the year on the market, §15,997 had been ex-
pended up to the end of last July, leaving A balance of .$11,-
11. '{ to operate the market for the remainder of the year.
In the same period, revenues only amounted to $6,325, leaving
a deficit of i59,()72 for the first seven months of the year.
The expenditure of $15,997 for the first seven months of
1920 compares with $12,380 expended in the first seven
months of 1919 and the revenue of $0,325 for seven months
of this year is a trifle less than the revenue for the same
period of 1919, which was $6,350, and a deficit for the same
period of $6,031. These figures are inclusive of all charges
for interest, sinking fund, taxes, insurance, reserve, etc.
Regina, Sask. — The city council is setting itself the task
of cleaning up an accumulation of balances on capital ex-
penditure by-laws covering a number of years back in the
city's history. Over-expenditures on local improvement and
general by-laws to date total $612,864. Unexpended balances
aggregate $809,255, leaving a balance in favor of under-
expended by-laws of $186,391.
In preparing the above statement the city auditors re-
commend that special legislation be secured from the Sas-
katchewan government authorizing the city to merge the un-
expended balances and apply them against the over-expendi-
tures, and it is probable that this course will be adopted by
the council.
With the exception of the waterworks, the civic utilities
are running behind rapidly. At the end of July the electric
light and power department had accumulated a deficit of
$41,442 as compared with an estimated surplus for the year
of $20,710. The adverse showing is entirely due to the acci-
dent in January, when a big, new 5,000 kilowatt turbine
generator was destroyed. The company is replacing the ma-
chine without cost to the city, but in the meantime inefficient
machines are being used. These are eating up fuel at an
alarming rate, and there being no reserve power, little can
be done to repair defects until the new machine arrives and
is installed.
In comparison with an estimated loss of $21,960 for the
entire year, the street railway showed an actual deficit of *
$36,563 at the end of the first seven months. This is partially
due to a falling off in anticipated traffic receipts, but to a
greater extent to the increase in operating costs. The in-
auguration of an inci-ease in fares from five cents to a
straight cash fare of ten cents and tickets at seventeen for
the dollar will, it is believed, stem the rising tide of adverse
finances for the svstem.
Government and Municipal Bond Market
Several Ontario Municipal Issues Disposed of During Past Week— Halifax
Selling Half Million Through Local Brokers — Calgary Will Try "Over-
the-Counter " Method— Alberta Issues Disposed of in the United States
SEVERAL Ontario municipal issues were disposed of dur-
ing the past week, the total sum involved being about
$900,000. The prices received by the various municipalities,
however, were not of the kind to encourage others who anti-
cipate coming on the market at the present time. The yields
on the Oshawa, York Township and the United Counties of
Stormont, Dundas and Glengarry bonds, were between 6%
and 7 per cent.
The $2,000,000 6 per cent. 10-year Alberta bonds pur-
chased by the United Financial Corp., Ltd., last week, have
practically all been absorbed by United States investors at a
price of 89.50, to yield 7\^ per cent.
More Local Selling
Because of the success of certain municipalities in plac-
ing their debentures locally, and chiefly because the open
market does not yet look sufficiently attractive, other muni-
cipalities have decided to arrange their own financing. A
good illustration of this new method is that of Goderich, Ont.
The town disposed of in a few days over the counter to
citizens at par, $10,000 6 per cent., 20-year debentures. The
proceeds of the issue will be used for sewer construction.
Another loan has been floated by Halifax, N.S. .-^n
issue of $500,000 6 per cent, bonds, due July 1, 1930, and de-
benture stock, is being off'ered by local brokers at 98.16, to
yield 6'i per cent. The bonds are in denominations of $1,000,
while the stock, which is registered both as to principal and
interest, is issued in certificates of $100 and upwards. This
issue is similar to the one made in May last, and the offer-
ing price is exactly the same.
At a recent meeting of the Calgary, Alta., council, the
recommendation of the finance committee that the city dis-
pose of $75,000 bonds to local citizens, the proceeds to be
used in gravelling trunk roads throughout the city, was
adopted. The original recommendation, with amendments,
reads that "short-term debentures be issued in the nature
of a domestic loan, for $75,000, extended over a period of
five years: the bonds to be serial annuity, with interest at
bM per cent., denominations of $50, $100, $.500 and $1,000."
Cloverdale, B.C., may, in the near future, float a school
loan locally. Particulars are not yet available.
Coming Offerings
The following is a list of issues offered for sale, par-
ticulars of which are given in this or preceding issues of
The Monctny Times: —
Tenders
Borrower. Amount, Rate 9i . Maturity. close.
Lachine, Que $ 154,000 5 & 6 Various Aug. 31
Calgary, .Alta 250,000 6 15 & 30-inst. Aug. 31
Lakefield, Ont 33,500 6 30-instal. Sepv. 1
Dauphin S.D., Man. 50,000 6>4 20-years Sept. 2
Milton, Ont 48,000 6 30-instal. Sept. 7
West Kildonan, Man. 56,849.37 6 Various Sept. 7
Lakefield, Ont. — Tenders will be received until Septem-
ber 1, 1920, for the purchase of $33,500 6 per cent. 30-in-
stalment hydro-electric debentures. W. Sherin, clerk.
West Kildonan. Man. — Tenders will be received until
September 7, 1920, for the purchase of 6 per cent, debentures
as follows: $26,248.95, 30-years; .$23,150.61, 30-years; $6,-
641.24, 20-years; $808.57, 7-years. (See advertisement else-
where in this issue.)
Debenture Notes
Exeter. Onf. — Ratepayers have approved of the by-law
authorizing the raising of $8,000 for paving purposes.
Kalmoral. Man. — Ratepayers have voted against a by-law
authorizing the raising of $12,000 for a new skating rink.
Walkerville, Onl.— The town contemplates issuing de-
bentures to the amount of $100,000 for pavement construc-
tion purposes.
Prince Albert, Sask.— Debentures to the amount of $65,-
700 for waterworks intake will not be offered for public sale.
E. F. VVebb, city treasurer, informs The Mmielary Times.
The city purchases all debentures issued with its present
sinking fund.
Sarnia. Onl.— Messrs. Brent, Noxon and Co. have been
given a thirty-day option at 95 on the following debentures:
Augi:st 27, 1920
THE MONETARY TIM
Victory Bonds a
Bulwark
Just as the Great Silent Fleet was
England's sure shield against the ag-
gressiveness of German Kaiserism.
so are Victory Bondsyour strongest
bulwark against misfortune and a
"rainy day." The security is un-
rivalled, interest is prompt and
sure, and should necessity arise for
immediate cash, your Victory Bonds
can be readily sold. Purthermore.
no other security maintains its value
so well.
Mail your order or write for particulars.
Wood, Gundy & Company
Montreal
Saskatoon
Canadian Pacific Railway Building
Toronto
New York
London, Eng.
Basic Development
— .Vo/ Inflation
Main investors uho do not apprc-
cialc the exhaustion of other coun-
tries' pulpwood reserves, fear that
the past > ears' advance of the
Canadian pulp and paper industr> ,
and the correspondinji rise in value
of its securities, is ariificial.
This is not so — and the reasons why it is not
so arc very clearly shown in the current
numher of Itimlmint llrmi If >ou are a
holder of pulp and paper seciiritici l( will
add greiUly to your salisfactiun to read this
numher ; so we recommend you to write for
a cop\ .
Even thoufih you may not at present hold
such securities, you will be interested in I't.
W rite lor a cop> today.
Royal Securities {
^CORPORATION ^
1. I
M I X E
Mt)M I'H.AL
W. L. .McKinnc
n
IVan H. Pctlf.
We recommend the pur
chase of
VICTORY
LOAN
at the folloivinK pric
es:-
MATURITY PRICE
1922 .... 99 and lute
1927 . , 99J and
1937 . 101 and
1923 .... 99 and
1933 99.iand
1924 ... 98 and
1934 96 and
rest yieldin
K 5.94"„
.S.58'.„
5.41%
5.82%
5.55%
6 01V,
5 9r..
Orders n
nay be telephoned or tt;!efir.T
phcd at ou
r e.xpen^c.
w.
McKinnon
L. McKINNON &
Building
CO.
TORONTO
Government, Municipal
AND
Corporation Bonds
R.. A. Daly & Co.
BANK OP TORO.VTO BUILDING
TORONTO
7%
And Absolute
Safety
\X I- oflcr a choice selection of
high-grndc
Municipal Bonds
To yield tht- above rate.
Particulars on request.
W. A. MACKENZIE & CO.
CovcrnmenI all./ Municipal Bond'
42 KinK St. We.t
TORONTO CANADA
40
THE MONETARY TIMES
Volume 65.
.^55,893.82 6 per cent., 5-instalments; $37,479.77 6 per cent.,
10-instalments; $70,000 5% per cent., 10-instalments; $6,460
t; per cent., 20 instalments; total, $169,833.59.
Moose Jaw, Sask. — Only about one-half of "the city's
^.22,200 debenture issue has been taken up by local citizens.
.\ renewed effort will be made to dispose of the balance.
Kern Agencies has undertaken the sale of the debentures
without cost to the public treasury.
Hamilton, Ont. — All bids were tumed down by the city
this week on the $272,000 5 per cent. 10 and 20-instalment
debentures. .\ list of tenders has not been made public, but
it is understood that under the highest bid the city would
have had to pay 6.70 per cent, for its money.
Lcthbridge, Alta. — September 18 is now set as the pos-
sible date for the election in the Lethbridge Northern Irri-
gation District. On this date it is hoped that the farmers
of the community will vote overwhelmingly for the issue of
debentures to cover the expenses of constructing the dis-
trict. Two possibilities for delay are still evident. One is
that the drafting of the debenture by-law will not be ready
and the other is that some of the farmers in Macleod dis-
trict may decide to appeal the assessment notices.
Bond Sales
Stormont, Dundas and Glengarry, Ont. — The united
counties, on August 20, awarded $400,000 6% per cent. 10-
year road debentures to A. E. Ames and Co., at 97.79, which
is on a basis of about (j.82 per cent.
Truro, X.S.— The Eastern Securities Co., Ltd., recently
purchased $27,000 5% per cent, bonds, dated August 1,
1920, and due August 1, 1950. The bonds are now offered at
90 and interest, yielding 6V4 per cent.
Charlottetown, P.E.I.— The Royal Securities Corporation
recently purchased $75,000 bVs per cent, bonds, maturing
September 1st, 1940. The bonds, which are payable in To-
ronto and other principal Canadian cities, will be offered on
about a 6Vi per cent, basis.
Fort Garry R.M., Man. — The Canadian and General Se-
curities, Ltd., recently purchased $150,000 6 per cent. 30-
year bonds, and are now making the offering at 87.52, to
yield 7 per cent. The bonds are payable in Winnipeg, Tor-
onto and Montreal.
York Township, Ont. — Messrs. Wood, Gundy and Co.
have purchased $278,248.41 C per cent bonds as follows:
.sMO.OOO, 25-instalments; $138,248.41, 10-instalments. The
I rice paid was 95.07. Other tenders were: —
A. E. Ames and Co 94.601
Dominion Securities Corp 94.531
C. H. Burgess and Co., and A. Jarvis and Co. 94.32
National City Co., Ltd 93.67
Macneill, Graham and Co 92.27
Macneill, Graham and Co. also offered 97.75 for 6V^ par
cent, bonds. The Canadian Bank of Commerce bid 96.534
for $25,000 only. Brent, Noxon and Co. put in two separate
bids, $131,681.61 for the ten-instalment block and $129,150
for the 25-instalment block.
Oshawa, Ont. — The United Financial Corporation, Ltd.,
was the successful tenderer for the $220,000 6 per cent,
bonds, which were issued as follows: $125,000, 30-instal-
ments, for waterworks; $35,000, 30-instnlments, for schools;
$50,000, 20-in.stalments, for parks; $10,000, 20-instalments,
for bridges. The price paid for the combined issues was
92.43. Bids received were as follows: —
United Financial Corp.. Ltd. . 92.43
A. E. Ames and Co 92.29
Wood, Gundy and Co 92.14
Dominion Securities Corp 90.33
In addition to the above, which were all straight offers.
Brent, Noxon and Co. bid 93 for $60,000, and asked for an
option on the balance at 92.50. A. Jarvis and Co. bid 91 for
•■?i;0,000 and asked for an option on the balance at the same
price.
Saskatchewan. — The following is a list of debentures
reported sold by the Local Government Board from August!
5th to August 12th, 1920:—
Schools. — Mawer, $6,900; Harris, Read and Co., Regina.i
Fortsburg, $3,500, Point Lake, $4,500, Ipsley Mound, $4,000,
Roanoke, $4,200, Scotsguard, $5,000, Antelope Valley, $8,650;
Waterman- Waterbury, Regina. Weldon, $6,500; Hardy H.
Wood, Regina. Wiley, $1,000; T. Hogg, Regina. HoUington,
.-; 2,500; S. J. Ripley, Kipling.
Rural Telephones.— Rhein, $28,400, Killaly, $9,300; Har-
ris, Read and Co., Regina. Star City, $33,000, Poplar Cres-'
cent, $500, Valleyfield, $8,400, Allen East, $16,400; W. L.
McKinnon and Co., Regina. Dinsmore, $1,200; Wood, Gundy
j:nd Co., Saskatoon. Erie, $5,100; F. Somerville, Regina.
Sprattville, $3,000; R. C. McCallum, Regina. Quinton, $1,400;
J. Burnett, Regina.
Towns.— Watrous, $4,085, $3,365.
JULY feANK STATEMENT
Current loans in Canada showed an increase of more
than $12,000,000 in the July bank statement, as compared
with the previous month. Total deposits in Canada showed
a decline of $1,738,102 in the same comparison. Principal
changes are: —
Changes from ■
July, 1920. June, 1920.
Note circulation $ 231,534,233 -|- § 3,758,980
Reserve fund 130,027,965 + 1,352,965
Demand deposits 639,415,025 — 11,207,558
Notice deposits 1,253,170,433 + 9,469,456
Total deposits in Canada . . . 1,892,585,458 — 1,738,102
Deposits elsewhere 348,008,545 — 12,349,841
Current coin 81,060,510 + 96,225'
Dominion notes 171,307,950 — 2,384,038
Deposits, centra! gold reserve 99,850,000 — 550,000
Call loans in Canada 115,360,894 -|- " 88,307
Call loans outside . , 203,045,209 — 16,169,222
Current loans in Canada . . . 1,377,276,853 + 12,125,770
Current loans outside 190,914,052 + 6,585,588
Total liabilities 2,778,714,531 — 32,444,241
Total assets 3,066,861,431 — 24,810,080
-A. detailed review will be given in these columns next
week.
EXCHANGE QUOTATIONS
Messrs. Glazebrook and Cronyn, exchange and bond
brokers, Toronto, report local exchange rates to The Monetary
Times as follows: —
Buyers. Sellers. Coun*er.
N.Y. funds 12% pm 12% pm
Mont, funds 10c. dis. Par. % to U
Sterling —
Demand
Cable transfers
$4.03
4.04
$4.05
4.06
New York quotations of exchange on European coun-
tries, supplied by the National City Co., Ltd., as at August
26, 1920, follows: London, cable, .359; cheque, 3.58V4; Paris
cable. 7.06: cheque, 7.05; Italy, cable, 4.67; cheque, 4.66; Bel
gium. cheque. 7.50; Swiss, cheque, 16.,50; Spain, cheque, 15.02
Holland, cheque, 31.70; Denmark, cheque, 14.10; Norway
cheque, 14.10; Sweden, cheque. 20.25; Berlin, cheque, 2.11;
Greece, cheque, 11.00; Finland, cheque, 3.30; Roumania,
cheque, 2.40.
\n office of the Royal Financial Corporation, Ltd., of
Vancouver. B.C., has been opened at Seattle in order to take
care of the rapidly increasing American business. B. Hall
will be in charge.
August 27, 1920
THE .MONETARY TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7h%
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B. HALIFAX, N.S.
Government
Guaranteed
Bonds
YIELD
6^
2/0
MATURING 1921-1940.
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
UNION TRUST BUILDING WINNIPEG
Manitoba Finance Corporation Ltd.
Investment B-okrrs, Financial Agents, Etc.
He.ld Ortici; :
410-11 Electric Rly. Chamber* - Wionipeg, Man.
Phone Garry 3g.<l
Stocki and Bonds bought and sold on commisiion
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba. Alberta Flour Mills. Limited
XX Vancouver District Property
yV Expert Estate Agents and Mananer.
/ \ Property Boufiht and Sold. Valued. Rented -n,l
f ' Reported on. Correspondence inviled.
WAGHORN GWYNN Co., Ltd. v.«c.«v.r
MACAULAY & NICOLLS
INSURANCE OF ALL CLA^bh^
ESTATES MANAGED
746 Hastings Street - VANCOUVER. B.C.
C. H. .VIACAULAY J. !'• MCOl.LS. Sot ry f ^ , c
■ ■ ■■■■■■■■■■■-
An Essentia/
Raw Materia/
Asbestos has become
established as a material
necessary to many indus-
tries ; and with world-wide
realization of the qualit\
of the Asbestos mined in
Canada, has come a re-
markable increase in the
price per ton.
This in turn has had its
effect upon the financial
position of the Companies
engaged in the business —
one of which, the Canadian
Asbestos Corporation, is
analyzed at length in the
current issue of the Green-
shields Monthly Review.
A copy will be sent to
any investor on request.
Greeushields & Co.
Invr.tm-nt B«nU.r.
14 Kin;j Sirfcl Eait, Toronto
Monlreal Ottawa
THE MONETARY TIMES
Volume 65.
Corporation Securities Market
Tone of Canadian Stock Markets Improved Notwithstanding Diminished Business—
Another Factor Enters the Credit Situation— New York Stocks Active and Strong-
Western Canada Pulp Bonds Offered to Public— Automobile Club Issue Now on the Market
DEVELOPMENTS in tht Canaaian markets for the week
ended August 25 were void of importance, and the gen-
eral situation remains practically the same. Trading, particu-
larly during the last three days, was reduced to a minimum,
and came very near approaching the low record of last
March. At times there was a bearish tendency to stocks in
both Montreal and Toronto, but at the close the tone of
both markets seemed greatly improved, and losses sustained
during the week v^ere in the majority of cases retrieved,
while some stocks showed small gains. The general out-
look of the markets is regarded as hopeful, but somewhat
clouded as lo the future of money. Hitherto the chief cause
of money tightness has been attributed to the necessity for
funds for crop movement, and brokers were looking for a
let up in call money restrictions in a few weeks, followed by
a genei-ally easier period immediately following the crop
movement period. A new^ factor has been mentioned, how-
ever, which makes the situation rather uncertain. An
authoritative banker points out that once the crop is moved
the banks rather anticipate heavy calls will be made upon
them by the Dominion government, which will continue to tie
up fund? w^hich would otherwise come into the market. In
this connection, however, a great deal depends upon the na
tional railroad situation in re.-jard to the schedule of rates.
Action of New York stocks for the week were almost
entirely opposite to those of Canadian securities. Trading
was brisk and at times there was an inclination towards
liuoyancy. Call money which was at 7 per cent., all wcik,
rose to 8 per cent, at the closing session, and as a result
there wrs a slackening in operations, but the tone of the
market was steady. In brokage circles the opinion is ex-
pressed that business conditions and the money situation
do not justify the beginning of a new and sustained upward
movement. In important business circles, however, the
opinion diflfers. It is claimed that changes in the business
situation are in progress that will work for its ultimate good
and that of the securities market as well.
New Issues
An offering of $600,000 8 per cent, cumulative preferred
shares of the Automobile Club of Canada, Ltd., is being made
by the Provincial Bond Co.. Ltd., Toronto, at 98 and accrued
interest, with a bonus of 40 per cent., common stock.
The Automobile Club of Canada, Ltd.. is being organized
to purchase land and to build the largest automobile club,
garage and service station in the Dominion. The building
site comprises the southwest comer of Richmond and Shep-
pard Sts., Toronto. It is proposed to erect an eight-story
building of steel and concrete construction, with accommoda-
i.on for approximately 1,000 cars. Tlie buiUlin?; will be
modelled on the lines of successfully operated similar build-
ings in New York, Boston, Cleveland and Detroit.
Public offering is now being made by Graham, Sanson
and Co , of the $1,000,000 7 per cent., serial bonds, matur-
ing annually from February 1, 1923, to February 1, 1940, of
the Westirn Canada Pulp and Paper Co., at par, with a
bonus of five shares of common stock with each ?1,000 bond.
The new British Columbia District Telegraph and De-
livery Co., Ltd., Vancouver, has just successfully completed
the flotation of $55,000 worth of eight per cent, cumulative
preference shares, all the stock being subscribed for locally.
The new company takes over the British Columbia District
Teltgraph and Delivery Co. and Fire Patrols, Ltd., both of
which have been in existence for some time.
Capitalization Increases
Noden, Hallitt and Johnson, Ltd., have obtained supple-
mentary letters patent from the Ontario legislature to in-
crease "the capital stock from $50,000 to $100,000, by the
creation of one thousand shares of stock of $50 per share.
The Fort Francis Pulp and Paper Co., incorporatec
under the laws of the province of Ontario, have obtained
supplementarv letters patent to increase the capital stocli
of the company from $50,000 to $.3,000,000, by the creatior
of 29,500 shares of new stock of $100 per share.
R. J. Whitla Co., wholesale dry goods, Winnipeg, Man.,
havo b:en authorized to increase the capital stock Ironj
$2,000,000 to $4,000,000.
Shareholders of the New Brunswick Telephone Co., Ltd.
at a meeting at Fredericton last week, authorized th«
directors to increase the capital stock of the company fron
$2,000,000 to $4,000,000.
American Cyanamid to Purchase from Holders
Shareholders of the American Cyanamid Co. are in re
ceipt of an offer from the company to purchase pro rati
froni the hold?rs of preferred stock of record August 16
23,983 sharfs, being 30 per cent, of its preferred stock thei
outstanding. The price offered is $60 per share in New Yorl
funds, which is in line with present market quotations ir
New York.
It is understood that the company considers the presen
an opportune time to make this deal, as it has considerabli
accuirul.ited funds, and the price has been thought low ii
view of the prosperous condition of the operation. The com
panv's main plant in its manufacture of chemicals is a
Niagara Falls, Ont., and it is a large customer of powe:
from the Ontario Power Co., or rather its successor, thi
Hydro-Electric Commission. Quite a number of shareholder
reside in Canada, particularly in the Niagara district.
UNLISTED ShCURlTlES
A'ta. Pac. Oruin... cum.
" •' " pref.
Ames Holden F«U ...7s
Tire com
HeldlnK. Pnul ...com
Hl.icU Lake .-irct.
Hr.indram-HcnJ.. ..com.
pref.
British Amcr Assuranrj
Can. Furniture pref.
Can. Machinery —
... com.
...pref.
Can. Oil com.
C;in WcstinAhousc
Can. Woollens pref
com.
Cockshiitt Plow 7% nref
Col'gwood Shipb"d«...ii's
Cuban Can. Susar.cum.
" *' " pref,
Davie» William t>'^
Dom. Foun. & St.. com!
8% pref.'
Dom. lronSSlcclS'»l!0»
Oom. Power — .. com.
pr«f
l)unlopTirc....7% .pref.
.Monetary Times hy A. J. Patti:
'WceU enilvH AuB. 25th. "'20.'
. & Cn.. ToronKi
.?l .SO
!»< SU
92.. W
IKing Edward Hotel ..7's.
iLocw's lOttawa). ..com.
...pref.
London Loan
nufacturcrs Life
.Ma
.Ha
MatlauamiP.AP. com,
.Mcxicin Nor. Powcr...'is
Miirr. -K. 7% pref. X.D,
National Life
INorth-Amcr. Pulp
{North Star Oil com
" pref,
Ont. Pulp 6's
Mane Mersey pref.
Riordon- -coni.inewstk.)
Robert Sii
pref.
1.6% pref.
6.2,'!
4.2S
3..W
Sterling Bank
SterliniiCaal. com
South Can. Power. ..com
Toronto Power.. is (I9i-ll
Tru'it & Guar
United CiRar Stores com
Western Assurance
West. Can. Pulp com
Whalen Pulp com
Whalen Pp Trust Cert.
108
116
ta.so
20
■n.-in
30. 7S
WiSO
87
August 27, 1920
THE MONETARY TIMES
We Offer
SCHOOL BONDS
Province of Alberta
Maturing 10 and 15 Yean
7 toT'^.%
We Speciall-y Recommend these DonJi js Sound Im-eilmenh
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto BIdg. Royal Bank Chambem
EDMONTON CALGARY
Lougheed & Taylor
LIMITED
Bond Dealers and Financial Agents
210 Eighth Avenue West, Calgary,
Alberta
Government Municipal and Corporation Bonds
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
MemberB of 'A'innipeg Real Estate Ejcchange. Winnipeg Stcxrk Elch.nge
H. H. CAMPKIN
■nsurance, Loans, Bonds, Debentures and Real Estate
ABent for Can.idian Pacific K.i
ay Co. l.jnd'i
- H,,y C.«^
> Ncrth
I..ir-J«.
REGINA, SASK.
\^
f TE have 450 Rood businesses <or sale in the central
/ portion of Alberta. Everything from a General
Store to a small Confectionery.
If you want a business in Alberta > ou want us.
1 1
WHYTE & CO.. LIMITED
Su..nrt. BrokcrM
I Pantagea Buildins - Edmonton. Albc-rtn
DEALERS IN
Government, Municipal
and Corporation Bonds
Correspondence Solicited
A. H. Martens & Company
(Members Toronto Stock Exchans*'
ROYAL BANK BUILDING, TORONTO
61 Broadway, Harris Trust Bldg.,
New York, N.Y. Chicago, III.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
VIE GITEK OLK (OLNSL.L AND ADMCF
Willoughby Sumner Limited
EM.bluhcd I900>
Members of the Winnipec Crun Exchange
Private wire (o If^i'nnipcJ. Toronto, Montreal, Cfnt-n'
and ,\ea> Yor^
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
W,re at our expense any offeritjgs also any British
Columbia Government and .Municipal issues
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C.
Victoria, B.C.
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
i.iMi I r I)
I'PlVATi Wiom T.i W[N MI'Kd LHItAl.f rOHON^i
MONTRRAL ANO NEW YORK
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
MOMTKKAL— Week Ended Aiij:. SSIh.
iKiSurcs supplied by Uuhnett & Co.)
.Hi<>ck»
Abitibi P.AP....(i
Ames Holden.. ..
Asbestos Corp
AtL-intic Sugar
Sales Open High
pfd.
iipfd'.j
'.'.^ifd'.j
i.'pfd.
Bell Tilcph
B.C. Fishing
Br.lzilian T.L.& Power
Urompion Pulp & P. . .
Crinada Cement
" ...pfd.
Canadian Cottons
.pfd.
CanadianCar
" .. ..pfd.
Ca rriage Factories
Canadian Gen. Elec...
Can. Steamship
•■ ■■ pfd.
" " Vol. Trust
Con. Minings Smcl....
Detroit United
Oct. Rys
Dom. Coal pfd.
Dominion Bridge
Dominion Glass
■• ...pfd.
Dom. Iron pfd. I
Dom. Steel Corp
-pfd.]
Dominion Textile
•■ ..pfd.;
Hillcrest |
Howard Smith
Illinois Traction. . >
■• ...pfd.j
Kaminstiquia
Lake of the Woods. .
rights
Laurentide
Loco pfd.
LyallCons. Co
Macdonald Co
Mont. Cots. Ltd
...pid.
Montreal Power '
Montreal Tram ,
Loan & Mtg.
Deb I
National Breweries....
Ogilvic Flour .Mills....!
Ont. Steel Prod I
P(
105
SO
lll| 9,5 : 9.i} I H4i S5i
HO '23
41 100
sat] 67
1961 7K
85l 78
as' 25^
75 mi
81
2;t5
85
1003 ' 100 looii
68 67 68
78j , 774 77J
88} I 85 88J
67 64 67
85i
eoi
51
IM
4'i
69
?(
97
lU
208
4
30
248C
lull
Wl
87*
8(;
59
»(i
»Z
3
94
139)
lOli
iman
...pfd
Prov. Paper
Quebec Ky. L. H.*P..
Riordan Pulp* P
pfd.
St. Lawrence Fl. Mills.
"..pfd.
ShawiniganW.SP ...
Sherwin-Williams. pfd.
Spanish River
" Div.Vou.
" pfd.
Steel Co. of Cnnadsi...
■ pfd.
Toronto Ry. Co
Tookc Bros
Tuckett
Wab;is^ii ...
W.iy
3000 67
'2540 64!
50 249
320 75
60' 135
lO: 83
3U lUI
986 1 30i
I.WI 202 J
40' 91
245 I08i
5 100
41.59' II.5t
Won
i.r II. >
MfK,
Nattonalc .
Royal
Union
42 is;l
IS2 IDS
18' 248
Ca
. Ccn
.5000| 90] ' 903
Can. Felt I
L'nnCottims lOOOl
Cedars Rapids Mfg.. 4000
Can. Con
CityMnnt.ncc,6s.l922 700'
" May Bs, 1923 .MOO
" Sept.6s. 1923
Dom. Can. W. Loan. 1925 1.5:W0i
Victory Bonds. 1922
1927.
19S7.
1923.
•• 1933.
64i
249 I
llSi ' 116}
921 I 92j
205 T2a5
90) I 903
MOSTRKXL-Continued.
Dominion Canners
Dom. Coal
Dom . Textile A
Dom. Iron 1000
Lakcof Woods
.Montreal Power
Montreal Fr. deb .
Ogilvie Flour I |
Penmans Ltd j 2000 88J
88i
21000 62 I 62
Price Bros
Quebec Ry.L. H.&P...
Riordon Pulp Si Paper.
Shenvin-Williams.... I ( ...
Spanish River I
Steel Co. of Canada...! I....
Wabasso Cotton I | ...
Wayagnmack P. &P. .. 12000' 82
Windsor Hotel
TOKOSTO—CotiHnued
War Loans
TORONTO- Week Ended Aug;. Slilh.
.Slocks
Sales Open
Atlantic Sugar 932 144
" . ...pfd. 36 172
Barcelona
Bell Telephone
Brazilian Traction. ..
B.C. Fish
Burt, F. N
■: ■• pfd.
Canada Bread
Can. Car & F pfd.
Canada Cement
■■ ...pfd.
Can. Gen. Elec. ,
...pfd.
Canada Steamship ;
pfd.i
Canadian Pacific R....i
V onsumers Gas
Con. Life ]
Coniagas '.
La Rose...."..'.'..'..'!!!'..'
Locomotive '
pfd.;
.Mackay Companies 1
..pfd.i
4i
121 I02i
1238 39i
100 46
63 90
67J
\.S. Ca
.pfd.l
.pfd.
Phc. Burt
Prov.Paper.
Rogers
Quebec R.L.H. & P
Spanish River. .
pfd.
Sawyer-.Masscy .
' ...
. pid.
Shredded \\'heat
Smelters
Steel Company
pfd.
Steel Corp
Torontd Ry
TucUetts
Twin City
Wa>'agnmack ..
2.50
12.50
87J
24j
High Low ' Close
Dom.Can.W.Loan.I92S 1S200
1931 10900
1937 -iSJOO
Victory Loan 1922 ...
1923 ...
1927
1933
1937
Sales|Open : High Love
933 i 94i 933
Wllli.\IPE«;-Week ende«l Ann, -iuu
Victory Loan 1922
" 1923..
■■ 1925
■■ 1927
" 1937
■• 1924 1
" 1931 1
■■ 1933
" 1934
War Loan 1937 I
Home Inv I
North Star Oil... pfd.
Sales Open High Low Close
99i 99i
4i
1024
4I'3
200' 9.65 9.75
180 100
15 52
30 30
145, MB
Imperial
Merchants
Molsons
.Mnntrcal
Nova Sciiti.i
Royal..
Standnr.l
Toronto.,
L'nion.. .
l.onn nnil TrusI
Col.lnves..
n. Prov
Tor. Mortga)
Tor. Gen. Til
64 1 178
:<4' 19,5i
75, 177
I9$i
454 I
67iS
773
60i
91
lOOi
I53i I 153)
NEW VOKK-Week ended
Aug. aisi.
Storks 1 Sales
Canadian Pacific ' 6700
Open
High
Low
Close
117
1211
H7
1203
38
97}
975
89
Bond.s
Dom. of Can. 5% 1921 35000
5*% 1921 29000
5% 1926 5000
5J% 1929, 69000
■• 5% 1931 10000
.Vc«' York Curb —
British Empire
!!!!!!
1
98J 97}
981 97}
87} 89
9ll 90
861 841
7?ipfd.,
Canada Copper. , 7200
"•i"l ••»••
»
LO.NDOM. Eug.-Week ended Aus. Ttb
Bond*
. Bread
Elec. Development . .
Penmans
Rio, Jan.T.. L. & P..
Steel Co. of Canada .
1.520(1; esi 74
SOO 9S| I 9Si
1951 ; lilSi
Vov'l. A Man.
Alberta 4?i Deb. 1922 . .
4% Deb
•■ 4i%Reg
B.C. 3%
Canada... 3}% 1938...
3!'V, Reg...
. . 3l"u 1930 50
...496 1940-60.
" 4l%bds. 1920-25.'
Calgary 4i"„ deb I
Nfld.3{%bds. . t
'■ 3«%19I0
■■ 35% 1941-51 1
.Montreal 4j'\. Reg
!! 4% Keg
4"o cons. deb.
New Brunswick 4%....
.Nova Scotia 4j% cons,
3i% 19.54.,
Quebec 4'\i bds .,
4} Reg
4% 1888
Toronto 4% bds
4% 1936
45% 1948
Vancouver 4j% cons,
!; 4% deb. . . .
4% cons, .
Winnipcg44%c'ns4»-63
4% deb..
Rallwiivs
C.Nor.Ont.3j%dcbl%I
31% 19.18..
Can. Nor. 4% deb
4?ideb. 1930.
Can. Pac
!! " 4% deb.
' 4% pfd.
G.T.P. Br. 4% 1939
G.T.P.3%bds
G. T. P. 4% I9.V5
G T. P 4% deb.
Or. Trunk , . 4% guar.
Gr. TrunkS% 1st. pfd..
Gr. Trunk ,5% 2nd pfd,.
Or. Trunk Western .5%
Ont. >>; Quebec 5% deb,
P. Gl. East. 4.1% deb. -42
■ lid., rin., EIr.
Can. Car 6%
Can. Cement 7% pfd...
■ 6% bds...
C. W. Lumber 5% debs.
Calgary Power 5% bds.
Toronto Power 4*% deb
Bank of .Montreal
54i ' 541
High
Low
1081
105
113*
113
73*
S
621
64
64
741
74}
6:4
62
73
73
901
901
82
82
B5i
6S3
K.i
63
621
S'H
73i
n
66
66
77 1
77
70
70
73
73
64
64
79
79
77
77
79
79
80
80
71
71
703
7«3
fS
65
.59
,57*
,59
57
741
7211
72
72
160 1661 ; 158
821 i 821
611 .591
m
.313
m
70
79
79
78
821
106
106
106
106
'n
'"54I
68i
^1
62
453
4.5?
801
August 27, 1920
THE MONETARY TIMES
ONTARIO'S RKJHTS TO WATER POWERS
Dominion Has Control of Navigation and Shipping, Which
Over-rides Claim to Water Power Development
By a. T. Dbummond, LL.D.
IT is not always pleasant to run counter to public opinion,
but there is a prevailing impression in Ontario, fostered
y the Hydro-Electric Commission and entertained, to some
extent, by government officials at Toronto, that the province
has claims to the power which can be generated in the St.
Lawrence River between Prescott and the interprovincial
boundary line between Cornwall. It may occasion some sur-
prise, especially to the municipal organizations which have
passed resolutions on the subject, and which have evidently
taken their cue from the assertions of the commission, to be
'ftld that this claim has really no foundation, and that, as far
Canada is concerned, the Dominion alone has rights in,
lid control over, the waters of the river. It has, in the
past, been recognized that where there was water power
available in rivers that were not navigable, certain rights
accrued to the owners of the land on either side of the un-
developed power, but on navigable rivers these rights are
not only very restricted and open to question, but are ab-
"lutely subject, at all times and under all conditions, to the
1 oper navigation of the river and the necessary works to
■:sure this.
Under the confederation act, the provinces have no con-
xil over navigation and shipping, or over ships, railways,
iiials and other works which extend beyond the province,
• !■ over lines of communication between any one and any
Jther province or a foreign country. Further, provincial con-
trol is excluded from all matters not of a local or private
nature, and applying this to Ontario and the St. Lawrence
River, the dams erected to raise the water for navigation
purposes, and the attending canals, and locks, all for the
; lissage of shipping to and from the ocean, would certainly
t be matters of a local character.
Navigation First Consideration
The requirements for the unobsti-ucted navigation of the
river necessarily stand first in importance: the creation of
lower for industrial purposes is merely a valuable consc-
ience arising from the erection of dams to aid navigation,
nd from the surplus waters flowing over these dams. In
is particular case, the United States is concerned along
;:h Canada, both in the navigation of the river and in the
■•ation of power, and this, if there were no other reason,
juld in itself militate against any claim of the province of
■itario. The necessary works must be constructed under a
int agreement of the two countries and must be financed
iiler some joint arrangement. The canals and the water
retches between will be available to the ocean shipping
■stined for, or coming from, the ports on the great lakes
: either nation, and the power obtainable will be divided
iween them in agreed-on ratios. The Dominion will neces-
rily have control over its share of the power obtained, as
is imperative to maintain an ample depth in the river for
teamships up to a fixed draft of water at all seasons of
he year, and especially during the years, periodically oc-
curring, of low water in Lake Ontario. Further, with the
~t. Lawrence as an ocean highway through both the provinces
>f Quebec and Ontario, Montreal, which at present obtaina
nuch of its hydro-electric power for industrial purposes from
his river, above the city, wll demand from the Dominion
covemment a share of the new power to be created so near
o it on this ocean highway.
Niagara Falls Power
It has always appeared to me that the right.s "t Ontario
0 the waters at and above Niagara Falls have no foundation.
except so far as they may be granted Ijv tlu- L>ominion.
They were, no doubt, assumed by Ontario at the time when
the river front was taken over for park purposes, and at a
time 'when the Dominion government had not begun to give
consideration to power problenij for Canada's industries.
The Niagara Falls, like the St. Mar>''s Falls between Lake.s
Superior and Huron and like the Long Sault Rapids and the
Lachine Rapids above Montreal, are merely an obstruction to
navigation. The natural course of the waters of the great
Ickes to the sea is over these obstructions, and to overcome
them for navigation purposes, canals have had to be built.
Steamboats from Toronto run daily up the Niagara River
to Queenston, as far as the rapids below the falls permit,
whilst above the falls reasonable safety is the limit of its
use. But for the Falls, the vessels from the upper lakes
rt'ould proceed by this river route to Kingston and Montreal
with their cargoes of grain and other products. The canal
und its accompanying locks could have been built around the
falls, but it was found more convenient and less expensive
to take advantage of physical features in the land a few
miles further westward, and construct what is now known
as the Wellar.d Canal.
Not Altered by Wi-lland Canal
The conditions as to provincial rights are preci.^eiy me
same at Niagara Falls as they are on the St. Lawrence at
the Long Sault Rapids, or between Lakes Superior and Huron
at the St. Mary's Falls. It is only a question of the size of
the obstruction, and the special method of overcomin^^ it.
All of these falls and rapids are merely physical features
in the course of a great and largely international highway
from the centre of the continent to the Gulf of St. Law-
rence The waters at the three points named form the
boundary line between the United States and Canada, and
are subject, in each case, to international conditons, as well
as to the terms of our confederation act. As the two coun-
tries have in their western sections grown in population and
in developed resources, facilities have had to be provided by
both for through transportation, and all obstacles have had
tc be surmounted. That the Welland Canal was, on account
of the convenience and lessened expense, constructed a few
miles west of the main downward course of the lake waters,
did not thereby transfer to Ontario any right to take pos-
session of the main flow of these waters at the Niagara
Falls. Every obstruction in this great waterway has been
surmounted, not by the province in which it occurred, but
by the Dominion, which constructed, and continues to oper-
ate, all of the canal systems and locks. Even the deepening
of the river between Montreal p.nd Quebec is entirely a Do-
minion undertaking, through the harbor commissioners of
Montreal.
Navigation Under Federal Authority
The intention of the confederation act is clearly that,
for the purposes of navigation and shipping, navigable rivers
are under federal jurisdiction, .ind not that of the provinces,
and especially so when the rivers are between province and
province, and between Canada and the United State,-^. iind
are utilized for shipping to foreign countries. When these
canals are accompanied by dams to raise the height of the
water for navigation purposes, the water powers arising
from the surplus overflow are secomlnry in importance to
navigation and subject to its requirements, and are neces-
sarily under the control of the Dominion. Who should claim
ownership in the waters of the great lakes which are cease-
lessly passing through their connecting rivers and the St.
Lawrence onward to the sea? Not the different states and
provinces, each in its turn, as the waters in their progress
skirt their lake and river borders, and much less the indi-
viduals who may own the shore lands of these borders. The
direct rights and interests in navigation, shipping, fisheries
and trade, here exercised by the United States and Canada,
suggest the only reply.
46
HE MONETARY TIMES
Volume 65.
Corporation Finance
American Cyanamid Company Makes Satisfactory Showing in Past F.scal Year- Organization of New
International Petroleum Company Planned-Montreal and Winnipeg Street Railway Rates Increased-
St. Maurice Paper Company Increases Dividend-Dominion Steel Made Good Progress in First Quarter
St Maurice Paper Co., Ltd—Dividends on the capital year, while the increases granted then to the employees dated
stock of the company have been increased from 5 per cent. back to July 1st, 1919, and were much m excess of he pre-
. o „„^ „„. ^ • sent $800,000 wage increase. The same situation applies this
to fi per teni. ^^^^ ^^^ ^^^^ wages will date back to July 1st, and the;
.Montreal Tramways Co. — .^t a meeting of the board increases granted recently commence September 1st, or two
of directors of the company at Montreal on August 25th it „ionths later. Hence there will be an additional loss of two
was decided to declare another dividend to shareholders of months, which will have to be made up later,
record September 8th next of 2% per cent, on arrears, to ' ,.. , ■ r <.u
be paid on capital stock of the company. This dividend is American Cyanamid Company-Net income of the com-
for the quarter ending March 31st, 1919, and makes the pany for the year "^^'«' •J""«„ffj^/.^20• ^"3*1"^ ,*° ^V"
fourth payment, amounting to 10 per cent., on the total of 525,876, as compared with $1,048,,. ,1 ^n 1919 a"d $1,601,410
15 per cent, arrears originally accumulated. in 1918- Total sales for the year w-ere $8,684,084, as against
$6,205,385 a vear ago. Net profits on sales amounted to
Canadian \Vm. A. Rogers Co.. Ltd.— Preferred share- $1,716,360 and total profits $2,092,177, as compared with $1.-
holders of the company have received dividends amounting 573,041 and $1,798,129 in 1919. The surplus as at June 30th
to 7 per cent, for the whole of the fiscal year ended June 30th j.^^j.' ^^,^g $2,292,629, while a year ago the figure was $1,723,-
last, paid out of the earnings of the Canadian company. In -^O. Principal figures from the balance sheets of 1920 and
the announcement covering the remittance the company re- 1918 compare as follows:
ports a favorable outlook, with plant running to capacity. .^20 1919 1918
It is proposed to change the fiscal year to end December 31st ^^^^^^ 4,381,021 $ 4,730,384 $ 2,927,885
instead of June 30th so as to conform more closely with ^^^^^^^^ liabilities .... 980,386 1,023,532 871,17f
other associated companies. Plant, etc., less reserves 2,997,311 3,791,139 4,172,99!
Dominion Steel Corporation. — Good progress is reported Investments in subsidi-
ty the company for the first four months of the fiscal year, ary companies 4,761,740 4,700,388 4,864,141
and earnings for the period mentioned are stated to be sub- Total assets 18,620,741 18,591,787 17,609,13;
stantially ahead of the same period last year. The corpora- ^^^^^^ S.Washburn, president, in his repoit, sU;,tes;
tion has decided to pay out of the current earnmgs for sonie ^Operation of the cyanamid plant at Niagara Falls, Ont., hai
improvements the directors iKive authorized, including open- ' • ^^^ the entire year. The two new am
,ng of two new coal mines. The opening of these two mines , P ^^^: ^^ ^ ■ .^ ^^^^^^ ^^ ^^^ ^^^
has been decided upon owing to the increased demand for , ,*^ . u- , ^i. 1 j • *u tu .,
, : , . , «• . i »u ,„;ii K„ „,„A^ +^ o d furnaces which they replace, were during the month 0
coal, of which every effort of the company will be made to , ^ ^u ^ j 1. r 1 «; ; ,. i,„-
+ It ■ h t May, and from the standpoints of economy and efficiency havi
take advantage. ^^^-^^ ^^^^^ expectations. Operation of the ammo-phos plan
Winnipeg Electric Railway Company. — Seven-cent cash at Warners, N.J., was less than capacity, due to inteiTuption
fares on the city lines of the railway on August 23rd were jn deliveries of materials by the railroads, but, on the whole
authorized by the Public Utilities Commissioner of Manitoba. this plant is doing well. Operation of the phosphate mine
Four tickets will be sold for 25 cents. This is an increase at Brewster, Fla., was seriously interfered with for si;
from a six-cent fare, when nine tickets sold for 50 cents. months by the walkout of employees. For the past si:
Workmen's tickets, which have been good during limited months, howevei", normal output has been attained, and evei
hours, and sold at five for 25 cents, are abolished. The price exceeded."
on children's tickets remains unchanged at eight for 25 cents. *• 1 r. * i r- i .j » «„«»om».,
_, 1 • 1 I f „ Ti,,. ^.,.«-> i,,A„ International Petroleum Company, Ltd. — Announcemen
There are increases also in suburban fares. The same judg- ^ m ^ u /-■ tr o -^u • i„„* ^t tv.
. ■ , .u <■ , , i,„ or „„„f<, „„,. 1 nno root- was made on .■August 21st by G. H. Smith, president of th
ment increased the price of gas by 2.j cents per l.UUO feet , _ =; _ ., ^ ^ ^i rJ. • 1 n;i r-n
f ^l 35 to $1 60 o • company, and J. C. Trees, president of the Tropical Oil Co
^ ■ '' ' ' of the conclusion of negotiations which have been in progres
!\Iontreal Tramways Company. — Following a brief hear- f^^ some time past. Holders of more than 90 per cent. 0
ing, brought about by the increased salaries to employees, the Tropical shares and of a large majority of the Interna
the Montreal Tramways Commission on .\ugust 20th made tional stock have consented to arrangements as follows:—
public the following: — It is planned to organize a new international Petroleui
••Starting early in September, those who use strip tickets Company. Ltd., under the laws of Canada, authorized to issu
■will pay at the rate of four tickets for 25 cents. Tlie present at least 100,000 preference shares of a par value of $5 an
rate is" five tickets for 30 cents, so there is an increase of at least 7,118,138 common shares without par value. Th
one-(iuarter of a cent a ticket. Books of fifty tickets now Tropical Company has outstanding approximately 1,575,00
selling for $2.50 will then cost $3. This tariff is for the dis- shares and the International 2,606,802 shares of common an
trict covered bv the 'uniform tarilT' as stipulated in the 100,000 shares of preferred.
agreement of 1918. There is no change in the charges for For the outstanding stock of both companies the ne'
places outside the 'uniform tariff' area. Similarly, there is International Petroleum, Ltd., will exchange its shares o
no change in the cash fare— 7 cents; in the night fares, 15 the following basis: To the Ti-opical Oil Co., 1,804,534 con
cents cash, or in the children's fares, seven for 25 cents." mon shares upon receipt of 1,575,000 shares of Tropica
The company at the time of the new wage award let it After setting aside enough of the common stock to meet obi
be understood that it would grant the men the increases gations the Tropical will have 1,732,500 common shares c
mentioned, pro\'ided the commission sanctioned an increase new International, which it will exchange in the proportio
in fares commensurate with the new wage schedule. of 1.1 shares for each share of Tropical. To the old Interm
In its report the commission points out that the deficit tional Petroleum Co.. Ltd., 5,313,604 common shares and 100
of the company for the year ending June 30th. 1920, was 000 preference shares, to be exchanged on the basis of or
$1,728,812, but included in this is the deficit of $1,364,111 share common and one preference share for each preferem
carried over from the previous year, which made the deficit share now outstanding and two shares of the new commo
on last year's operations $364,701. In this connection it is for each share of old common stock now outstanding,
also pointed out that the tariff authorized last year went The International Petroleum Company, Ltd., was inco
into effect only three months after the commencement of the porated in Canada in 1914. and acquii-ed control of thr«
August 27, 1920
THE MONETARY TIME
British corporations, the London and Pacific Petroleum Co.,
Ltd., and the Laganitos Oil Co., Ltd., both producers, and
the West Coast Oil Fuel Co., Ltd., a marketing concern. It
operates in Peru, with a refinery and shipping port at Talara.
It has nine tank steamers, with a combined capacity of 55,500
tons, and a 20,000-ton vessel under construction. The com-
pany supplies the local trade in Peru and exports to Chile,
Ecuador and Panama. Surplus crude oil and naphtha are
shipped in bulk to Vancouver. The company also purchases
large quantities of Mexican oil. It has between 500 and 600
square miles of territory, of which only sixteen square miles
have been drilled upon, besides 125,000 acres in Ecuador.
The Tropical Oil Company was organized in Delaware
in 1916, and acquired the de Mares concession of two million
acres in Colombia. It has drilled three wells, estimated at
from 1,000 to 5,000 barrels daily capacity each. The com-
pany is constructing a road and pipe line from its wells to
the Magdalena River, a distance of twenty-eight miles, and
a refinery and tanks on the river bank. It is planned evenlu-
ally to build a pipe line from the concession about 300 miles
to the Atlantic coast. The Colombian government has con-
sented to transfer of the de Mares concession to the Tropical
Company, which has since inaugurated an aggressive cam-
paign of development.
GRAIN STOCKS IN ELEVATORS
According to returns received at the Dominion Bureau
of Statistics for the week ended August l^th, 1920, the
quantity of grain in store at the different public elevators
throughout Canada, has decreased by 1,735,.501 bushels in
Its, barley and flax, .is compared with the previous week.
creases are shown of 1,147,528; 487,849 and 100,124 bush-
. respectively, in the foregoing grains. Wheat indicates
increase of 52,587 bushels and rye -3,162 bushel.?. Briefly,
ne situation of grain in stole is as follows: —
In the public terminal elevators at Fort William and
lit Arthur an increase is shown in wheat of 475,342 bushels
d in rye of 3,238 bushels; while oats indicates a decrease
: 106,090 bushels; barley, 2,800 bushels, and flax, 46,180
ushels. The private terminal elevators show a decrease in
all grains of 53,632 bushels. Decreases are shown in wheat
lof the 25,818 bushels; oats, 10,212 bushels, and barley 17,602
bushels.
In the interior terminal elevators the quantity of grain
in store has decreased by 222,431 bushels in all grains. De-
reases are shown in wheat of 151,729 bushels; oats. 58,789
ushels; barley, 1,250 bushels; flax, 10,-587 bushels, and rye,
'•': bushels.
In the public elevators in the east the quantity of gr
in store has increased by 614,757 bushels in wheat, oats and
•a.x. Increases are shown of 528,905; 49,702; and 36,150
i-shels respectively. Barley indicates a decrease of 227.o2o
ishels.
The inspections show 726 cars as compared with 1.09t>
' the previous week.
Commonwcaltb ffiarh of tUiytralia
K.ib;.iJl
acts as bankers to the Commonwealth Governnu-nt. .ind
ments of South Australia. Western Australia and Liitnai
All classes of GENERAL AND SAVINGS BA.S'K hu-ijn
acted in all the principal cities and towns of Austraii.
London.
Banking and exchange business of every description •""";;''^/''
the Commonwealth. United K ngdom. Canada. L b A. and A^roi.d.
J AS KEI.I.. DEN I SOX MIU-F.K.
Deputy Governor 1«0
•SCHOOL DISTRICT OF DAUPHIN TOWN
No. 905.
TENDERS FOR DEBENTURES
The undersigrned will receive sealed tenders for the pur-
chase of $50,000.00 20 years, 64% debentures of the above
School District.
Tenders will be received up to and including 2nd Septem-
ber, 1920.
This issue is for additional School Accommodation.
No tender necessarily accepted.
R. M. CARDIFF,
Secretary -Treasurer.
Dauphin, Man. 207
TENDERS FOR DEBENTURES
Sealed tenders, endorsed "Tenders for Debentures," will
be received by the undersigned up to Twelve o'clock noon,
Tuesday, the seventh day of September, A.D. 1920, for the
whole or part of the following debentures, dated July 19th,
1920, bearing interest at the rate of six per cent., payable
yearly: —
By-law No. 325 $26,248.95 30 years
'• 326 23,150.61 30 years
" 327 6,641.24 20 years
" 328 808.57 7 years
Delivery, Winnipeg. Interest and principal payable at
Winnipeg, Toronto and Montreal.
The highest or any tender not necessarily accepted.
WILLIAM BALLARD,
Secretary-Treasurer, Rural .Municipality
2]-.', ' Wo?! KiM<.n:in. M:.ii.
1 )lVI13i:NnS ANO NOTICES
I UK .MOLSONS i;\\K
160th DIVIDEND
The Shareholders of The Mol.<(on8 Bank are hereby noti-
fied that a Dividend of Three Per Cent, (being at the rate
of twelve per cent, per annum) upon the capital stock has
been declared for the current quarter, and that the same
will be payable at the office of the Bank in Montreal and
at the Branches on and after the first day of October next
to Shareholders of record on 15th September, 1920.
By Order of the Board.
EDWARD C. PRATT.
General Manairi-r.
Montreal, 24th August, 1920. -ill
Condensed Advertisements
■Potitu
4c. per \
ch»rsr(1 for :h
nted."'ic per word ■ all
Minimum charm for ar
All condenvcd advvrii
-.cd .id\f rti*«ment*. on
m arc p.n -hic in jdvar
:nnilcn«cd advtrli»cmerl
ncntii muKt conform to i
count cf the very low
: M)p»r cent «iitr» if chi
FllLLY-QUALlKIED CHARTERED ACCOUNTANT
desires to become associated with progressive organization
as accountant or auditor, or similar position of authority.
Available October Ist. For full particulars address Box 329,
48
THE MONETARY TIMES
Voiunie 65
RECENT FIRES
Bush Fires Have Been liagini;; in British Columbia, Northern
Ontario and Xe« Brunswick, Considerable Damage Done
— Several Other Places Have Suffered a Heavy Loss
FOREST fires are reported in several parts of Canada,
and some damage has resulted during the past week.
A serious one near Glace Bay swept over Crown timber
lands and Dominion coal property oij August 21st and 22n(l,
but was extinguished by rain. South Porcupine, Cobalt and
Bourke, in northern Ontaino, were also threatened early this
week, the flames coming to within a half-mile of South Por-
cupine before the wind died down. Rains have relieved the
situation, but northern Ontario is still dry. In northern
Manitoba, Moose Lake and Sturgeon Landing were in dan-
ger, and two trading posts were desti-oyed early this week;
these are in the district along the Hudson Bay Railway. An-
other severe fire in Manitoba was in the Mulvihill district.
Bad fires are also reported in British Columbia, both on the
mainland and on Vancouver Island.
Banff, Alta. — Many bad fires have been raging around
Banff. Village of Kananaskis and Mount Assiniboine badly
damaged.
Cobourg, Ont. — August 21 — Barn, owned by Joseph
Greer, Kingston Road, was destroyed.
Edenbridge, Sask. — August 13 — Two stores belonging to
H. Boudy and Mr. Shore were destroyed. The loss was partly
covered by insurance.
Hamilton, Ont. — August 21 — Two frame houses occupied
by E. Williams, Fairfield Avenue, were destroyed. The flames
spread to nearby dwellings, which were slightly damaged.
Hatley, Que, — August 14 — Buildings on the farm of H.
L. Moulton were completely destroyed. The fire was caused
by lightning.
Hyde Park, Man, — August 24 — Barn of Robert Kennedy,
Vth concession, was destroyed. The loss is estimated at $8,000,
Marmora, Ont, — August 20 — Office, sheds, planing mills
and kiln, owned by the Pearce Co., Ltd., was damaged by
fire. The loss is estimated at $25,000, partly covered by in-
surance.
Moncton, N.B. — August 23 — Residence of Stanley Han-
son, High Street, was desti'oyed, with contents.
August 24 — Brunswick Hotel was badly damaged when
a fire started in the kitchen. The building and contents were
estimated to be worth $400,000.
Montreal, Que. — August 17 — Store belonging to Wm.
Dubc, lf»7 St. Jerome Street, was damaged to an extent
of $400.
August 18 — Fire broke out on the fourth floor of the
harness and trunk manufactory of Lamontagne, Ltd., 338
Notre Dame Street. The fii-e is believed to have been caused
by a cigarette butt. Mattress factory of Messrs. Rolland,
Freres and Co., 927 Coloniale Street, was damaged. The fire
was caused from the picking machine. The damage is $.5,000,
with no insurance.
August 2.3 — Victoria Jubilee Bridge, connecting Mont-
real with the south shore of the St. Lawrence, was damaged
by fire. The city incinerator plant at the corner of St. Patrick
Street and Atwater .\venue was destroyed by fire.
Itlulvihill, Man. — Twenty houses, a sclioolhouse, crops
and stock were destroyed, with three f.Ttalities. Fire was
caused by dry weather.
Newcastle, N,B, — .\ugust 21 — Lumber yards of the Ed-
ward Sinclair Lumber Co, destroyed. The loss is estimated
at $300,000, partly covered by insurance.
Odessa, Ont. — August 18 — A woodworking shop belong-
ing to Mr. Babcock, residence of Mrs. Kelly and a black-
mith shop were damaged by fire. The loss is estimated at
$6,000, with no insurance.
Ottawa. Ont, — August 20 — Store belonging to Darwin's,
Ltd., was the scene of a fire when an electric iron was left
connected. An estimate of the loss is not yet known.
Pelerboro. Ont,— .Vugust 18 — Peterboro' Lock Works
damaged by fire. The fire is believed to have been caused by
a spark on the roof.
Saint Tite, Que. — A.ajvust 19 — Fire destroyed the boot
and shoe factory of C. Trotter and a number of stores anr
houses. The loss is estimated at $200,000.
South Vancouver, B.C. — August 16 — Plant of the Cham-
pion Shingle Mill was damaged by fire. The loss is $20,000
Simcoe, Ont. — August 25 — Storehouse of Wm. Jaquef
and Son, wholesale rag dealers, was damaged by fire, Tht
loss is estimated at $20,000, with insurance of $5,000 on tht
building. The storehouse of Edmonds and Co. caught fire
and suffered a loss of $3,000.
Vancouver,' B.C.— Bush fires have been raging along
North Thompson River. Many ranches have been destroyed
Estimated loss, $100,000. Business section of town of Chilh-
wack damaged with a loss of $60,000.
August 11 — Columbia cigar store, 70 Hastings Street
West, was damaged by fire to the extent of $4,000. The loss
is covered by insurance.
Verdun, Que. — August 19 — Barn at the Protestant Hos-
pital for Insane was destroyed. Nine horses were burned
to death.
Westmount, Que, — August 14 — Fire damaged the Met-
calf Apai-tments, Cote St. Antoine Road. Estimated loss,
$10,000, with insurance of $100,000 in the Yorkshire Insur-
ance Co.
ADDITIONAL INFORMATION CONCERNING FIRES
Port Coquitlam, B.C. — August 5 — Business section of
this town damaged to the extent of $100,000, with insurance
of $48,800. The fire is believed to have been caused by a
spark from the roof.
PREPAYMENT ON SHIPMENTS TO CANADA
Prepayment of freight rates to Canada on goods shipped
from points within the United States was suspended from
August 18 to December 16, 1920, by a decision of the Inter-
State Commerce Commission handed down on August 17. The
commission held up tariff schedules putting such rates into
effect. This decision was the result of the complicated for-
eign exchange situation. With the Canadian dollar at a dis-
count as compared with the United States dollar, it is to t'le
advantage of the shipper to pay for the transportation at the
Canadian end. With the lower Canadian money under sched-
ules filed with the Inter-State Commerce Commission, which
are now suspended, the railroads would be allowed to collect
charges in advance in the higher United States currency.
The tariffs containing new schedules of individual and
joint rates were filed with the commission by F. A. Leland
and W. J. Kelly as agents, and were to become effective or
August 18. The order of the commission on this subject
reads as follows: —
"It appearing that said schedules provide certain i-ules
and regulations requiring the prepayment of freight charge;
on traffic from points in United States to points in Canadr
and the rights and interests of the public appearing to be
injuriously affected thereby, it is the opinion of the com-
mission that the eflTective date of the said schedules con-
tained in said tariffs should be postponed pending said hear-
ing and decision thereon. It is ordered that the operatior
of the said schedules contained in said tariffs be suspended
and that the use of the rates, charges, regulations and prac
tices therein stated be deferred upon inter-state traffic unti
the 16th day of December, 1920, unless otherwise orderet
by the commission and no charge .shall be made in such rates
charges, regulations and practices during the said period ol
suspension unless authorized by special permission of th<
commission. It is ordered that the rates and charges there
by sought to be changed .shall not be increased and the regu-
lations and practices thereby sought to be altered shall no
he ch.nnged by any subsequent tariff or schedule until this
investigation and suspension proceeding has been disposed ol
or until the period of .suspension and any extension thereol
has expired, unless authorized by special permission of the
commission."
•' I'rpi.iiiiKD EVF.RV Fkioav
The Monetary Times
; , Printing Company
(.'f Onada. Li-r.it'jJ
anadian I-.ni;iiic
TraJc Review and Insurance Chronicle
of (Tanai'in
Established 18i
Old as Confederation
JAS. J. SALMOND
President and Cencml Manager'
A. E. JENNINGS
Aaslitant General Manager
JOSEPH BLACK
Secretary,-
W. A. AlcKAi-;
Editor
Trust Companies' Assets Increased in 1919
Total on December 31 Was $689,795,777. Compared With .S")') 1,428.791 at End
of 1918 — Guaranteed Accounts Stationary, But Assets Under Administration
Increased Greatly— Profits Also Improve, Being 9.5 Per Cent, of Paid-up Capital
FIGURES compiled by The Moih-liiry Times show that assets
of trust companies in Canada totalled ?689,795,777, as
at December 31, 1919, in comparison with $551,428,791 at
the end of December, 1918. A comparison of the principal
figures is as follows: —
1918. 1919.
Capita] paid up ? 17,722,209 $ 26,109,9G6
Reserve 8,687,364 11,069,886
Capital assets 37,451,593 49,024,381
Guaranteed accounts 41,083,811 42,782,299
Estates, trusts, etc 471,343,812 598,581,140
Total assets 551,428,791 689,795,777
Net profits 1,530,814 2,476,418
These large increases are to some extent' accounted for
by the fact that the 1919 list of companies is more complete
than the 1918 list. This is especially true in the case of the
profits figui'es. For comparative purposes the results for
the eleven companies which have a paid-up capital of $1,-
000,000 or over may be compared, as they are complete for
both years. The totals for these eleven companies are as
follows: —
1918. 1919.
Capital paid up ? 12,155,927 $ 12,907,468
Reserve 7,709,926 7,903,893
Capital assets 24,627,020 25,954,581
Guaranteed accounts 36,693,485 36,547,060
Estates, trusts, etc 424,993,027 490,525,311
Total assets 481,433,089 548,150,294
Net profits 1,287,942 1,507,616
The net profits for these eleven companies average 11.7
per cent, of their paid-up capital, compared with 10.6 per
cent, last year. For all the companies the figures are 9.5
per cent, and 8.6 per cent., respectively.
The relative growth of the larger companies is shown
in the following comparisons: —
Capital Paid Up
Canada Permanent Trust Co., Tor-
onto
Canada Trust Co., London, Ont. . .
Eastern Trust Co., Halifax
National Trust Co., Toronto
Northern Trusts Co., Winnipeg . . .
Royal Trust Co., Montreal
.Standard Trusts Co., Winnipeg . . .
Toronto General Trusts Co., Toronto
Trust & Guarantee Co., Toronto . .
Union Trust Co., Toronto
Western Trust Co., Winnipeg
1918.
$ 2.59.000
1.000,000
1.000,000
1,500,000
1,. 500,000
1,000.000
1,000,000
1.500,000
1,39 1,927
1,000,000
1,005.000
1919.
1,000.000
1,000,000
1,(11111,(1(10
1,.')00,000
1,500,000
1.000,000
1,000,000
1,. '.00,000
l.lOJ.ll'.K
l.OOO.OOi
1,005,00' i
Reserve
1918. 1919.
Canada Permanent Ti-ust Co., Toronto $ 71,682 $ 100,000
Canada Trust Co., London, Ont 600,000 62.j,o00
Eastern Trust Co., Halifax 300,000 330,000
National Trust Co., Toronto 1,600,000 1,600,000
Northern Trusts Co., Winnipeg 423,000 440,918
Royal Trust Co., Montreal 1,000,000 1,000,000
Standard Trusts Co., Winnipeg 600,000 600,000
Toronto General Trusts Co., Toronto 2,000,000 2,000,000
Trusts & Guarantee Co., Toronto ... 46.1,244 491,.563
Union Trust Co., Toronto 450,000 4.50,000
Western Trust Co., Winnipeg 200,000 266,412
Totals $7,709,926 $7,903,893
Capital Assets
Canada Permanent Trust Co., Tor-
onto
Canada Trust Co., London, Ont. . .
Eastern Trust Co., Halifax
National Trust Co., Toronto
Northern Trusts Co., Winnipeg . .
Royal Trust Co., Montreal
Standard Trusts Co., Winnipeg . . .
Toronto General Trust Co., Toronto
Trusts & Guarantee Co., Toronto .
Union Trust Co., Toronto
Western Trust Co., Winnipeg ....
Guaranteed .Accoiints
19I>
Canada Permanent Trust Co., Tor-
$ 330,682
$ 1,13.5,497
1,645,597
1,685,752
1,550,154
1,455,672
3,238,221
3,300,670
2,143,867
2,161,203
5,016,032
3,7.38,884
1,605,641
2,958,741
3,759,444
3,882.657
2,507,584
2,722,047
1,542,031
1,596,162
1,287,767
1,317,296
$24,627.01'! )
$2r..:l.54.681
Totals $12,155,927 $12,907,468
$ 42,012
$ 42,012
Canada Trust Co., London, Ont. . .
4.719,763
4,860,636
Eastern Trust Co., Halifax
121,000
161.582
National Trust Co., Toronto
6,897,900
5,975.171
Northern Trusts Co., Winnipeg . .
1,295,801
1,.370.134
Royal Tru.st Co., Montreal
2,705,047
2.467,438
Standard Trusts Co., Winnipeg . .
1,314,563
548.672
Toronto General Trust Co., Toronto
8.185.884
9,476..599
Trusts & Guarantee Co., Toronto .
5,182.061
5.363,413
Union Trust Co., Toronto
5.218.020
5,287.876
Western Trust Co., Winnipeg
1,011,434
$3fi.6'.l3,485
993.527
Totals
$.36,547,060
Estates, Trusts, Etc.
1918.
1919.
Canada Permanent Trust Co.,
Toronto $
772.851
$ 2,191.522
. Trust Co., London, Ont
3.544,906
4.234.387
•1 Trust Co., Halifax
20,670.982
21.6.53.965
>,iii..n„l Trust Co.. Toronto ...
69.9.55,549
79.665,410
Northern Trusts Co., Winnipeg
9,625,521
11.072,120
THE MONETARY TIMES
Volume 65.
Estates, Trusts, Etc. — (Continued)
1918. 1919.
Royal Trust Co., Montreal -207,259,331 226,032,801
Standard Trusts Co., Winnipeg 9,059,499 16,196,331
Toronto General Trust Co., Tor-
onto 78,887,301 101,123,031
Trusts & Guarantee Co., Toronto 12,783,554 14,046,958
Union Trust Co., Toronto 6,103,487 6,718,996
Western Trust Co., Winnipeg . . 6,430,046 7,589,790
Totals .$424,993,027 $490,525,311
Total Assets
1918.
Canada Permanent Trust Co.,
Toronto $ 1,145,544
Canada Trust Co., London, Ont. 9,910,267
Eastern Trust Co., Halifax 22,342,136
National Trust Co., Toronto . .• 80,091,670
Xoi-thern Trusts Co., Winnipeg 12,965,189
Royal Trust Co., Montreal 214,980,410
Standard Trusts Co., Winnipeg 13,460,169
Toronto General Trust Co., Tor-
onto 90,832,629
Trusts & Guarantee Co., Toronto 20,473,199
Union Trust Co., Toronto : 12,863,538
Western Trust Co., Winnipeg . . 2,368,338
Totals $481,433,089
1919.
$ 3,369,033
10,780,775
23,271,221
88,941,252
14,603,458
234,238,124
16,196,331
101,123,031
22,132,419
13,594,035
9,900,615
$548,150,294
Profits For Year
1918. 1919.
Canada Permanent Trust Co., Toronto $ 19,412 $ 63,672
Canada Trust Co., London, Ont 140,136 140,352
Eastern Trust Co., Halifax 126,080 131,766
National Trust Co., Toronto 266,784 281,140
Northern Trusts Co., Winnipeg 137,265
Royal Trust Co., Montreal
Standard Trusts Co., Winnipeg 93,785 111,004
Toronto General Trust Co., Toronto 321,969 343,983
Trust & Guarantee Co., Toronto .... 107,543 110,175
Union Trust Co., Toronto 111,226 113,574
Western Trust Co., Winnipeg 71,007 74,685
Totals $1,287,942 $1,507,616
Dividend Rate %
1918. 1919.
Canada Permanent . . 4
Canada Trust 8 8
Eastern Trust 8 9
National Trust 10 10
Northern Trusts 8 8
Royal Ti-ust 12 + 4 12 + 4
Standard Trusts 9 9
Toronto General Trusts 10 10 + 2
Trust and Guarantee 6 6
Union Trust 7 7
Western Trust 5 5
TRUST COMPANIES— Statistics for Year Ended Dec. 31st, 1919.
NA.ME
Com-
menced
Business
Capital
Paid Up
Reserve
Capital
Assets
Guaranteed
Accounts
Estates. t„*.«i
T-«s. Total^
Net
Profits
for Year
Divi.
dend
Rate%
$
670,000
S *....
$. .;
1917
50.000
730,000
1907
1902
1914
300.000
3.7S8.945
76,425
20.000
25,i38
330,200
180.90S
5.543
5&7
British Western Prust Corporation, Reilina. Sask
10J.313
5.300
80.709 188,333
5
Can. Permanint Trust Co.. Toronto
1914
1909
1894
1,000,000
240,925
1.000,000
100.000
3.S,000
625,000
1,135,4!t7 42,012
439,517 1 285,988
1.685,752 1 4,860.636
2.191.52a ! 3,369,033
1.912,806 ! 2,638,312
4,234,387 j 10.780.775
63,67i
17,761
I40..3S2
4
Capital Trust Co.. Ottawa
Ch.irtered Trust anil Hxcculor Co.. Toronto
1914
1907
1903
i9in
1909
1917
488,242
446,862
208.644
15.000
500.000
31.669
56,802
67.000
545,073 605,302
542.990 ' 15,204
1,ias.747 ! 2,286,122
4.365.904 4.924,099
85.425 I 454,268
7.702 40.375
26.375
48.368
12.51 1
908
4
7
Commercial Trust Co.. Prince Albert, Sask
2.100 ;12.673
6
6
4,105 ;t5.793
11.933 ' 47.726 ; 1 294
1892
1,000.000
535,277
121,433
330.000
1 ,4.«5.672
911,182
140,9.<i9
161,582
6,129
6,116
i9i2
2r..ooo
258,782
Kideiity Trusts Co.. London. Ont
Fidelity Trust Co . WinnipeR. Man
1910
1911
124.500
.525.936
125.000
14.190 141,802
25.000 1 671.456
164.994 1 672.788
212.768
1.532,776 1,867.288
; 671,456
8,638
16.531
;t4,213
'20.906
5
Cicncral Administration Society, .Montreal
riu.irdi.in Trust Co.. Toronto. . . .
1902
9.719.217 1 10,392,005
1
8
i9l7
292.500
930 185
2a5.S26
10.S35
100.000
.SOO.OOO
500.000
1,000.000
L.-iOO.flOO
1 .SOO.OOO
236,675
ll.";..'i67
2,'ifl.(KiO
609.611
I.OOO.flOO
112.227
10.000
'
In>pcrial Canadian Trust Co.. Winmr, ■
5
Imperial Trusts Co., Toronto
Interior Trust Co.. WinniPeK
I.a Siiciete Natiunalcde l-iducic. Montreal
London & Western Trust Co.. London, Ont
.M.-rc.intile Trust Co.. Hamilton
Montreal Trust Co., .Montreal
Natiiin.il Trust Co.. T.ironio
NortlurnTrustsCo. Winnipeg. Man
N,.,.i Si,. tia Trust Co.. Halifax. N.S
Oil!. Km. ,1 Trust Co.. Wawanesa.Man
ll<87
1918
1918
1897
1907
1889
1897
1904
1912
1 III
I'lll
ISW
l!>IO
50,000 273.174 ' 1.364,728
12,837 ' ■104.281 iiii.'iiii!
t9fl,0(KI , 7S4.686 .59,151
l.'S.OOn '• 829.301 451.167
LOOO.IKKl 3,782.ii36 .351,500
1.6(KI.0<HI 3.300.(,70 , 5,975,171
440.918 2.161.203 1.370,134
40,00(1 1 282..W7
3.080,820 ' 4,718,724
3.156 ' 153,920
3.(iS5..W;t 3.9ii9 S65
10.:t2S.6!)6 ' 11,112,533
5,6;(4..S78 ! 6,915,107
55.794.503 , 59.928.SjO
79.665.410 88.941. 2!i2
11.1172.120 14.603.4.58
1.010,768 1,293.295
13.ST2
797
11.511
61.134
55.470
175,722
281,140
137.265
26.6T2
9.44''
3
5
6J
7
6
10
8
7
' "^.i:'t,,n Trust Co.. Winnipei:
Trust Co.. .Montrc il
' I Co.. Ueiiina. Sask
56.570 424.342 '
100,464 !M2,143 \ 1,574.675
1 79;l.44S ; 2,223.787
2.277.463 4.845,992
!■ -tCo.. Montreal. ,.
,s.isl,,,ul,iwan C.eneral Trust Corp.. I'. .
1.000,000 3.738,884
3.S 000 1 1.'>5.0S4
2.467.438
r,J6.0:«.s6l 234.238.124 1 1. .
Standard Trust Co.. Winnipeg. .
Sterlinn Trust Co., Toronto
Sun Trust Co . Montreal
1901 1 1.000.00(1
1910 1 .'iOI.:l02
600.000
2.958.741
514.859
"ss.oos'
132 12S
.548,672
587,a57
r2.(!45.214 16,196.331
7,(I70,(I(>8 8,IT2.2;M
111.004
62,196
9
S.isU.itiheivan Trust C ■. of .Moo.^e .law. Moose J.iv, >
ls-17
1 ■ (hi
I'KII
19(1(1
.M..SnO 1 10.289
,i;7 800 \ 61.600
S.437
Secur.tv Trust Co., Canary, Alta
Scottish Saskatchewan Trust Corp., ReRlna. Sajili
1. soil .00(1 2.000.000
I.40.'.1BS 491„"i63
134.166 lO.Oim
l.lWO.OOO 4S0.0('0
. 1005.000 1 'ies'iii
Toront,, Ccneral Trusts Co.. Toronto
Trusts \ (guarantee Co.. Toronto
Trustee Co of Canada. Winnipcfl.
Union Trust Co.. Toronto
Vancouver Trust Co.. Vancouver.
Western Canada Trust Co.. Winnip«B
Western Trust Co.. Winnipeg
Westminster Trust Co.. New Westminster
I 3.882,657
2.T22.04?
249.130
1.. 596. 162
r "1.317.296
9,476,5.S!l 1 87.763,834 1 101,1^.631
.5,36,3,413 1 14.046.9.S8 ] '22.132,419
93,970 ' 2.5.'9,44i 2.872,9S3
5.278.876 ] 6.-|S,9SC. 13.594.035
1 9iW.527 1 7,i589,796 | ' " 9.900 615
343.983
110,175
9.779
113,574
'74,685
10+2
6
fi
7
■ ".5"
Winnipeg Men , utile Trust Co.. Winnipeg
1
1 154,463 1 85.231 j 3,360
»\m.»t)i
''"■■■
11.069.886
1 49.024.381
\ 42.782.299
j S98,.581.140 689,795,777
2,476,418
September 3, 1920
THE MONETARY TIMES
HLGE AND GROWING PENSION BILL
S25,000,000 Required in Year Ju^t Ended, and $35,000,000
Will Probably be Needed Next Year
(Special to The Monetary Times.)
Ottawa, Sept. 2nd, 1920.
\^ ILL Canada's annual pension bill, like that of the United
'^' States after the civil war, increase rather than de-
crease from year to year? This question has occasioned
some concei-n in this country. Those who are in any way
disabled as the result of the war are now supposed to be on
the pension list, so that future additions could only be the
result of •'pork-barrell" distributions, like those which fea-
tured congressional sessions in the United States, when, after
the recovery from the civil war, revenues from the tariff
were so great that the government was worried as to what
to do with the money. Canada has no "pork-barrell," how-
ever, and the spending departments seem to be quite able
to cope with such an emergency in case it should arise.
Beginning this month, the new pension scale provided
at the last session of parliament goes into effect. Canada's
pension bill for the twelve months ending .August 31st this
year was, it is estimated, in the neighborhood of $25,000,000.
With the increases going into effect on September 1st of this
year it is estimated that the pensions bill for the next twelve
months will be increased by $10,000,000, and the total will
be $35,000,000. This is exclusive of the payments necessary
through the commutation of pensions, as provided for in the
amendments to the Act.
For the purpose of explaining to returned soldiers, and
also to the public who are interested, the provisions of the
amended Pension Act, and also the Returaed Soldiers' Insur-
ance Act, Colonel John Thompson, chairman of the Board of
Pension Commissioners, and Colonel J. W. Margeson, com-
missioner, will make a tour of the western provinces this
month, addressing public meetings. At the same time the
Pension Commissioners will hear appeals from Pension Board
awards. Leaving Ottawa September 16th, the Pension Com-
missioners plan to commence a series of meetings in one of
the British Columbia cities, and thereafter visiting every
large city in the four western provinces. Then they will go
to some of the United States cities where there are a great
number of former C.E.F. men and address them also. There
are several pension appeals in the United States centres to
be heard, and these must be heard by two members of the
Pensions Board.
Millers Want Lower Flour Rate
The Cabinet received a deputation from the Dominion
Millers' Association last Friday, the subject for discussion
being the freight rate on flour carried on government ships.
The millers urged that it should be the same as the rate on
wheat. It was stated that a grave danger menaces the mill-
ing, dairying, live stock and other intei-ests in Canada from
the possibiliy of the high rates for flour being continued by
the ocean combine. They asked specifically that the govern-
ment ships, instead of being part of the combine known as
the North Atlantic Conference, should be used solely in the
best interests of Canada, and this could best be accomplished
by carrj'ing flour for export at the same rate of freight as
wheat, thus giving to the Canadian tiixpayer all the benefits
accruing therefrom instead of the British taxpayer getting
all these benefits, and the ocean combine crushing out of ex-
istence one of Canada's basic industries, in which over $77,-
000,000 is invested, not to mention the effect on the dairying
and live stock feeders and other allied interests.
A memorial presented referred to a significant clause in
a report made by Sir Henn,- Drayton when appointed in 1912
by the government as a commissioner to investigate the com-
bine called the North Atlantic Conference. It was to the effect
that the combine had power to make such rates "i>? will
e.xtingui.sh the traffic." "The government steamships are now
part of this combine, and the ocean freight rate.-i charged on
them will certainly extinguish the traflic," says the memorial.
The delegation also pointed out the importance of mill
offals from flour to the dairj-men and stock feeders. The mill
offal from domestic flour is not nearly enough, and the price
would become prohibitive, with a resultant increase in the
price of dairy products, bacon, etc., as well as of flour,
through the upward trend of costs because of short-time pro-
duction. The deputation was asked to prepare a further me-
morial setting forth their proposals to right the condition
complained of.
WILL DISCUSS INSURANCE LAW
A conference of the provincial superintendents of insur-
ance for Saskatchewan, Alberta, British Columbia, Mani-
toba, Ontario and Quebec, at which i-epresentatives of the
maritime provinces may possibly be present, will be held in
Winnipeg on October -1. .-^mong the subjects which will be
discussed at the meetings are the following:
(1) Uniformity in insurance law covering the follow-
ing: (a) Statutory conditions for accident and sickness
contracts. (b) Statutory conditions for automobile insur-
ance.
(2) Discussion of the Model Fire Insurance Policy act
as drafted by the commissioners on uniformity of legislation
in Canada.
(3) Uniform laws governing beneficiaries under life
insurance contracts.
(4) Legislation governing the solvency of fraternal
societies.
(5) Uniformity in agents' certificates, (a) Form of
application. (b) Qualifications. (c) Reciprocal relations
between provinces, (d) Insurance brokers.
(6) Legislation governing unlicensed insurance.
(7) Legislation relative to reciprocals and inter-in-
surers.
(8) Hail insurance.
(9) Uniform reports from insurance companies.
(10) Duty of insurance departments in fire prevention
work.
GRAND TRUNK PACIFIC RECEIVERSHIP
The Canadian National Railways management has been
retained as manager for the receivers of the Grand Trunk
Pacific Railway, according to a statement made by W. P.
Hinton on August 23. Mr. Hinton, who is vice-president
and general manager of the Grand Trunk Pacific, becomes
consulting officer to the receiver, the minister of railways,
and will remain in Winnipeg, where he will be available in
a consulting capacity with the Canadian National Railways
management. He expressed his .satisfaction with the ar-
rangement, especially as it involves the retention of the offi-
cial staff of the Grand Trunk Pacific.
Mill AL LIFE MEETINGS IN WEST
Executive officers of the Mutual Life Insurance Co. of
Canada recently visited the west. At a meeting in Calgary
on August 17, Hume Cronyn, the president, referred to the
act passed .-it the last session of the federal parliament pro-
viding insurance for rfturned soldiers whose physical condi-
tion made it impossible for them to secure insurance from
the regul.nr life insurance companies. He explained briefly
the provisions of the net and invited the co-operation of the
agrents present in aidin-,' to bring to the notice of returned
men who could not secure life in.surance otherwise, the
benefits provided by the new act.
Several of the other proininent offlcials of the compnny
addressed the gathering. Those included C. M. Bowni.-in.
cbairtnnn of the executive; Dr. J. H. Webb, the medical
director of the company; S. C. Tweed, superintendent of
agencies; and (Carles Ruby, the general manager.
THE MONETARY TIMES
Volume 65.
UNION OF NOVA SCOTIA MUNICIPALITIES
SinkinR Funds Should be Invested at Good Interest Rates —
Single Tax on Land — A. C. McCormick, Sidney Mines,
is New President
THE 15th annual convention of the Union of Nova Scotia
Municipalities was held in Windsor, N.S., August 25 to
26. About 50 delegates were present. Mayor Slack, of
Windsor, in welcoming them, said it was an inspiration to
have such an influential body of men visit the town. Warden
Thompson, of East Hants County, pointed out that municipal
councillors, not being elected on party grounds, represented
the people more truly than did the federal or provincial
members.
Executive's Report
The report of the secretary, A. Roberts, of Bridgewater,
showed that the membership had increased to 60, consisting
of 39 cities and towns, and 21 rural municipalities. The
report of the executive gave a resume of the work of the
committee during the year. It was stated that "nothing
further has been heard of the resolutions of the last con-
vention duly presented to the government, and no legislation
had been enacted with reference thereto." The executive
considered it wise to refer to the convention two of the
resolutions, namely: (a) Taxation for school purposes, and
(b) old age pensions.
The report referred to "The Fire Prevention Act" of
1919, as legislation that had met with some approval, in-
cluding favorable comment from some of the other pro-
vinces. The executive also considered uniform municipal ac-
counting and bookkeeping, and urged continuation of this
matter until improvements were brought about.
Complaints had been received re: (a) assessment appeal
courts in towns, and (b) town licenses. The aim of the
union is to make it a clearing house of municipal experience,
and to impart knowledge leading to much-needed reform.
The report referred to the neglect of the provincial gov-
ernment to add a department of municipal affairs such as
exists in nearly all the other provinces. A properly equipped
municipal department could not only give quicker and better
service, but could be the means of avoiding much financial
expense, both for the municipalities and the province.
Assessment and Taxation
H. P. Blanchai'd, Ellershouse, gave an address on "Tax-
ation and Assessment." With the possible exception of the
franchise, he said, there is no subject of more importance
to the municipalities. Mr. Blanchai-d showed the fallacy of
imposing a tax on improvements and personal property, and
advocated land tax as the only real solution of the present
problem, as it meant justice to all concerned. "Land has
two values," he said. "The first or inherent value is upon
just so much land as will supply food to the occupying tiller
of the soil and his family. Surround that land with a com-
munity, give it adjacent roads, shops, neighbors and civiliza-
tion, and the land takes on a value that multiplies its worth.
The present unjust methods of taxation are undoubtedly
working to the advantage of some, but the question to-day
is not, Will the land and income tax ever be placed upon our
statute books? Rather is the question, Who and what party
and clement will enact the law?
The speaker hoped that from the convention there would
go forth such an impulse that at no late date the legislature
would take up in earnest this subject and enact such assess-
ment laws as will harmonize with the basic elements of right
and justice, and will impose taxation upon land values and
income, and exempt absolutely all improvements and personal
property.
F. H. Bell, K.C., city solicitor of Halifax, followed with
an able speech on the same subject. He clearly demon-
strated that the assessment problems of cities and towns
did not apply to the rural districts. He showed that land
values varied according to locality. He thought a solu-
tion of the assessment problem might be solved in three
ways, namely: A business tax, for the privilege of doing
business in a thriving community; a habitation tax, for the
privilege of residing in a city or town; a tax on a man
according to the benefit he receives.
Investment of Sinking Funds
A. W. Weston, of Halifax, gave an address on "Invest-
ment of Municipal Sinking Funds." He pointed out the
fallacy of towns not seeking better investments for their
sinking funds than the 3 per cent, usually obtained by bank
deposits. The art of making money work and earn to its
fullest capacity was one not yet understood by the general
public. As in other scientific work, the need was for invest-
ment specialties. He had informed towns that they were
losing money annually. It was poor business to borrow
money at 5 '/a per cent, and lend town funds at 3% per cent,
and 4 per cent. Under the Acts of 1914 towns are permitted
to invest in bonds of the province of Nova Scotia, munici-
palities and towns of the province and dominion of Canada
war and victory bonds. If all the towns took advantage of
this law, all moneys set aside each year for sinking funds
would be available for the purpose of taking up at least a
portion of all issues made by each town and municipality
each year. This would supply a greater market for the vari-
ous issues of towns and pay practically the same rate of
interest from one period to another, so that towns would
secure the same rate of interest on sinking funds that they
paid on bond issues. These monies invested and re-invested
at compound interest would make an enormous difference in
totals over a period of years.
Resolutions
Among the resolutions passed were the following: —
(1) Resolved, that in the opinion of the Union of Nova
Scotia Municipalities the time has now arrived for the legis-
lature of the province to take up the matter of the home for
the feeble minded, and take such action as will assure the
erection and maintenance of such an institution.
(2) Resolved, that executive be requested to consider
the possibility and advisability of making use of the publica-
tions of our proceedings to advertise the attractions and ad-
vantage of Nova Scotia as a vacation resort.
(3) Resolved, that the government be requested to
amend existing legislation so that municipalities will be
authorized and empowered to sell and otherwise dispose of
electric current purchased from the Nova Scotia Water
Power Commission.
(4) Resolved, that the executive again wait on the
government and urge on behalf of the Union the desirability
of immediate action being taken re adjusting the Assess-
ment Act.
(5) Resolved, that government be asked to enact legis-
lation to enable cities, towns and municipalities to impose a
tax in addition to that already collected by the government
from show houses and other places of amusement in each re-
spective city, town and municipality.
A resolution to the effect that the rule of the road should
be changed from left to right was withdrawn.
Officers Elected
At the final session on August 26, Halifax was selected
as the meeting place next year, and the following officers
were elected:— President, A. C. McCormick, mayor, Sydney
Mines; 1st vice-president, Parker Archibald, municipal clerk,
Halifax Co.; 2nd vice-president, H. L. Dennison, solicitor,
Digby.
Executive committee — J. S. Parker, mayor, Halifax;
Peter H. Ross, municipal clerk, Lunenburg; Mrs. Eleanor
Herbert, town clerk. Yarmouth; F. C. Whitman, councillor,
.\nnapolis Royal; W. Ker Dimock, municipal clerk. West
Hants; G. W. Thompson, warden, Pictou Co.; H. A. Rice,
mayor. Canso, N.S.; Wm. Fitzgerald, mayor, Sydney; J. S.
Liscombe. town clerk. Dominion, C.B.; W. W. Ferguson,
municipal clerk, Col. Co.; F. W. W. Doane, city engineer,
Halifax: R. W. Ralston, mayor, Amherst.
September 3, 1920
THE MONETARY TIME?
Trade Review and Insurance Chronicle
of (TaiiaDa
I'UINCIPAL CONTENTS
Editorial: page
•■Stabilizing" the Boiul Market 9
The Insurance Agent and His Commission 9
Railroad Rates and Prices iO
The Knowledgre of Fire Insurance 10
A Wholesale Grocer on Prices 10
Address: Corner Church and Court StretU, Toronto. Ontario, Cuimda
Telephone: Main 7404, Branch EichanKe connecting all departments.
Cable Address: "Montimes, Toronto."
WinnipcE Office: 1206 McArthnr Buildine. Telephone Main MM.
G. W. Goodall, Western Manaecr.
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The Monetary Times was established in 1867, the year of Confedera-
tion. It absorbed in 1869 The Intercolonial Journal of Commerce, of
Montreal : in 1870 The Trade Review, of Montreal ; and the Toronto
Journal of Commerce.
The Monetary Times does not necessarily endorse the statements and
opinions of its correspondents, nor does it hold itself responsible therefor.
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eluding from its columns fraudulent and objectionable advertisements. Al'
information will be treated confidentially.
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Special Articles:
Trust Companies' Assets Increased in* 1919 .... 5
Huge and Growing Pension Bill 7
Union of Nova Scotia Municipalities 8
Excellent Crops Practically Ac^sured 14
InciJence and Principles of Municipal Taxation . . 26
Liability on Unpaid Loan Shares .30
American Millers Tour Canadian West 47
Monthly Departments:
July Bank Statement 18
Trade of Canada 30
Weekly Departments:
News of Industrial Development in Canada ^J
News 01 Municipal Finance 36
Government and Municipal Bond Market 38
Corporation Securities Market 42
The Stock Markets 44
Corporation Finance 4<i
Recent Fires ...
'.STABILIZING' THE BOND .MARKET
VICTORY Loan 'oonds, which were "stabilized" by being
placed under the control of a market committee, have
just suffered the worst decline since they were issued. The
truth of the matter is that the action of the committee has
amounted to no more than fixing the price for day to day
trading. To really stabilize the market and maintain a fixed
price would necessitate the buying in by the government or
some other body of such surplus bonds as might be offered
at one time, and at another time the placing on the market
of sufficient bonds to meet the excess of demand over supply.
Such a plan, especially during the present uncertain times,
would be entirely unsatisfacton,- to the government, and
no other organization has offered to take the responsibility.
With a fixed amount of securities outstanding, the balance
must be struck by changing the price. Time after time the
committee has endeavored to meet a declining market by
pushing the sale of the bonds, and the government has at
times redeemed some of the surplus bonds which have ac-
cumulated, but the volume offered has been so great that
the price had finally to be lowered by a considerable amount,
with a resulting shock to the security market as a whole.
This has happened several times, but the latest reduction is
the most substantial so far.
The committee has therefore failed to maintain Victory
bond prices in the face of changing conditions. Control
that does not control is worse than useless. Perhaps the
most that the committee has accomplished has been the
maintenance of a spread of one per cent, between buying
and selling prices, a margin which may 'ue sati.'<fnclory to
the bond dealers, but which is obviously not so to those who
buy and sell. There was a theory that this margin en-
abled the dealers to push the sale of Victory bonds more
actively, as the whole one per cent went to the selling
broker, and that the price was, therefore, to some extent
supported; but just 'why the prospective buyer should be dis-
criminated against by this artificial maintenance has not
been made evident, and Victory bonds, which are by right
Canada's premier security, have lost favor on this account.
The market for war bonds is the broadest that has ever
been enjo.ved by any security. The margin of trading pro-
fit should, therefore, be the lowest. Victory bonds should
be released from control, listed and traded in openly, so that
buyers and sellers may benefit by the freest possible cor.i-
petition, and so that the day to day variations in business
may be fully adjusted by corresponding fluctuations in the
price of the securitv.
THE IN.SIRANCE .\GENT AND HIS CO.M MISS IONS
WHILE every other organization of workers has de-
manded and obtained increases in wages the insurance
agents, we are told, obtain no more commission than they
did in 1914. In fact, the whole cost of life insurance has
not increased. That it should not have increased is obvious
from a consideration of the fact that insurance is not a
commodity, but a contract to pay a sum in dollars. The
effect of higher commodity prices on insurance is reflected
in the increased volume of business being written; for as the
dollar will now purchase less, more protection is necessary.
The depreciation of the dollar applies to the indemnity as
well as to the premium.
To take a specific example in life insurance. Suppose a
man in 1914 insured his life for $5,000, the agent's commis-
sion on which mieht be. say, $100. A life polic.v of $10,000
would now be required to give as much protection, for the
latter sum would now scarcely purchase as much as would
the $i),00) in 1914. To sell an amount of insurance
equivalent to $.">,000 in 1914, llic ajrent, therefore, would
have to place a policy for $10,000. in which case hi.i com-
mi.'sion would b<- <ioubled, though its purchasing power wouhl
be approximately the sumc. To demand a higher rate of
commission would be asking the insurer to contribute a
larger proportion of the premium towards commission,
rather than facing the duty of selling him a proportionally
higher amount of insurance.
THE MONETARY TIMES
Volume 65.
KAILKOAD RATES AND PRICES
THE ultimate effect of an increase in railroad rates is
at present being carefully considered in Canada. Will
the higher costs of transportation which must of course be
passed on to the consumer, still further depress business?
In the United State.s, where an increase has already been
authorized, the same subject is being discussed. What the
effect of the increased rates on prices of commodities will
be, only the facts of the future can determine. Some of the
American railroads themselves have undertaken to show that
there should be no large increases, and that in many cases
the increase in rates per pound or per dozen or per quart
will be so small as to be practically incalculable. Upon this
point Vice-President Dixon of the Pennsylvania system says:
"The public should be forewarned and forearmed against
any attempts to take advantage of the freight rate advance
for the purpose of justifying profiteering. While it is true
that in the case of some few articles and commodities small
increases in price may be justified, nevertheless the amounts
which in any instance could fairly be added to the present
prices are a very small fraction of the whole, and in the case
of practically every article or commodity of daily consump-
tion the increases in transportation charges are relatively
so small as to be practically negligible."
The National Security League sums up its warning to
the same effect \vith the following: "The $1,500,000,000
advance in freight and passenger rates may seem a huge
sum, but when it is considei-ed that this is not more than
2 per cent, on the annual production of the farms, factories
and mines in the United States, a proper perspective can
be obtained of how slightly the advance affects the cost and
price of any particular commodity."
THE KNOWLEDGE OF FIRE INSURANCE
M.4NY holders of fire insurance policies have never read
them. Possibly a majority of house-owners whose
liouses are covered by a contract including the co-insurance
clause are ignorant of its meaning, or perhaps are not even
aware of its existence. Ignorance of the technicalities of
fire insurance is excusable in the case of the layman, and
the responsibility resting upon the agent is correspondingly
heavy. Fire insurance on large properties such as stores
and manufacturing plants is, however, sometimes placed
without due regard to the needs. The number of cases
where the provisions of a contract have been violated by
the assured is proof of this fact. Arthur Hawxhurst, who
for over 40 years placed the insurance on all the American
properties of Marshall Feld and Company, Chicago, describes,
in July Sirteni, the main features which must be kept in
mind by those responsible for securing coverage on large
properties.
"From a long experience in placing insurance I have
drawn one broad general conclusion," he says. "The busi-
ness man who gets first-cla.«is insurance knowledge either in
person or in the person of someone upon whom he can de-
pend, and who then sees to it that this knowledge is
scrupulously applied, will have few i-egrets when his policies
become claims. Instead of regrets, he will have the money to
make up the greater part of his loss. If I were reducing
this to a rule for the man who looks after a concern's busi-
ness, I might phrase it this way: First know what con-
stitutes the right way and the wrong; then inspect the
promises often enough to know that what is going on is not
being done the wrong way. One of the favorite diversions
of business people— so it sometimes .seems to the haraspe<i
insurance man — is bringing inflammable material such as
benzine, celluloid window trimmings, and the like, Into an
otherwise safejruarded building!
"After he has learned all the printed conditions of a
policy, the insured must see to it that the form or written
portion (so called) is so drawn that the policy when de-
livered and accepted covers his property, as he wants it
to be fully covered. It is worth remembering that every
conceivable kind ot property and condition is written upon
the same printed form of terms; if there is anything in this
printed part of the contract that conflicts with one's particu-
lar interest, he must have it erased by the wording of the
written form. If the form is not correctly written, the in-
surance companies cannot be held responsible. That is why
it is advisable for the business man to see before a fire that
his property is properly protected by his insurance contract.
If he does this, with his insurance in reliable companies he
will experience no trouble with its adjustment."
Mr. Hawxhurst sums up the points to be kept in mind
by the assure;!, in the following rules: (1) Find out the
fundamental facts of insurance; then see that the rules are
complied with. (2) Know the provisions of the policies, and
that the protection covers exactly what he wants to cover.
(3) When building alteration or new construction is planned,
have the plans checked by his local board of underwriters.
(4) Be sure that the insurance is placed in reliable, re-
sponsible companies.
A WHOLESALE GROCER ON PRICES
A WORD of praise for the Board of Commerce was given
by Hugh Blain in his presidential address before the con-
vention of the Canadian Wholesale Grocers' Association in
Toronto last week. "In view of the ignorant and sometimes
malicious criticism of the public," said Mr. Blain, "I con-
gratulate the trade on having an independent capable tri-
bunal like the Board of Commerce to appeal to under unjust
treatment." The Board, it seems, had been expected to bring
down the prices of commodities in Canada, in the face of a
world wide movement of inflation. This was an impossible
task, for the entire power of any one government could do
little to offset such a widespread tendency. The world
demanded more goods to consume than it was prepared to
produce, and high prices were the natural result.
Mr. Blain was lenient towards "middlemen," who have
been so often accused of being responsible for the rise in
prices. "In my experience," he said, "'the distributor actually
made a lower percentage of profit on his turnover during
the war than he did previously." The attempt to shift the
responsibility on to the shoulders of any one class has failed.
Excess of demand over supply, inflation of prices, and ex-
pansion of credit were essential parts of a movement for
which no special interest was responsible.
The early birds in the Ponzi scheme got 50 per cent,
interest on their money. The late ones will be lucky if they
get back half of their principal.
» » * « *
Present interest rates are high only in comparison with
recent years. A recently discovered note, dating from about
1962 B.C., calls for interest at 40 per cent. It was never
paid, and all the wealth in the world would not meet the
interest accrued on it up to the present time.
The experience of Moose Jaw and other Canadian cities
which have tried to sell their bonds direct to the public
demonstrates the fact that unfavorable money conditions
cannot be overcome in this way. The many times' broader
market reached through a bond house usually enables it to
pay a higher price for the issue than the city could secure
by selling retail.
Employees of the London Street Railway arc atten.pt-
inp to deprive the bondholders of their interest. Labor's
fair claim to a voice in management is* ofltset by its unwill-
ingness to recognize the claim of other factors to a share
in the distribution of profits.
September 3, 1920
THE MONETARY TIMES
Exports
A special Department of this
Bank is devoted to the inter-
ests of the foreign business of
its customers.
Exporters and others having
business relations with foreign
countries are invited to avail
themselves of the very com-
plete information v^hich has
been gathered by the Bank's
Foreign Department. This
may be done through any one
of the Bank's many branches.
THE CANADIAN BANK
OF COMMERCE
Capital Paid-up
Reserve Fund
$15,000,000
515,000,000
CURRENT ACCOUNTS
Efficiency is hard to obtain and
highly paid for. Merchants and
Manufacturers will find this
Bank equipped and prepared to
give alJ Current Accounts the
efficient care and careful con-
sideration they demand.
Open a Current Account with
this Bank. Your interests will
be faithfully looked after by
experienced men.
IMPEKIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land The Commercial Bank of Scotland,
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
The Bond
Between
Bank and
Farm
CTIMULATION of agricultural pursuits
*^ is essential to the welfare of the
Dominion. This Bank plays its part as
a national institution by lending every
effort and its vast resources to support
agricultural activity to the utmost.
Those interested in any enter-
prise of the soil are invited to
confer with our branch manajiers.
UNION BANK
OF CANADA
THE
Bank of Nova Scotia
Established 1832
Capital $9,700,000
Reserve $18,000,000
Total Assets - - $230,000,000
Branche.s at all the piincipal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico. Dominican
Republic. Jamaica, and in the United
Stales at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
IS. OLD BROAD STREET. E.C.2
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
Lord Beaverbrook, formerly Sir Max Aitken, is now in
Canada ir connection with some important pulp ami paper
financing which is
being planned. In
accordance with the
reputation estab-
lished by Sir Max
Aitken before leav-
ing Canada, the
new financing will
take the form of a
merger. It is
understood that the
companies concern-
ed are the Lauren-
tide Pulp and
Paper Company,
the Donnaconna
Pulp and . Paper
Company, Bromp-
ton, St. Maurice,
VV a y a g a mack
Kraft Paper Com-
pany, and possibly
some others. The
name "British Em-
pire Pulp and
Paper Company"
will probably be
adopted for the
new concern. lHu i;u,:il Securities Corporation, of which
Lord Beaverbrook was formerly president, has been as-
sociated more or less with the financing of these companies,
rnd I, W. Killam, who is now president, is now in London
in connection v,-ith some of the issues.
A. C. Flumerfelt. who has just been elected president
of the British Columbia Bond Dealers' Association, is one
of the prominent
financiers in the
west. His business
interest include the
following: Presi-
dent, Hastings
Shingle Mfg. Co.;
president, Interna-
tional Coal and
Coke Company;
president. Royal
Collieries, Limited ;
president, British
Canadian Fire In-
surance Company;
president. Pacific
Marine Insurance
Company; presi-
dent, Western
Mortgage Corpora-
tion ; director.
Ames, Holdon and
Company; director.
Miner Rubber Com-
pany; director.
Redmond and Com-
p a n y ; director,
Patterson Shoe
Company; director, Canadian Consolidated Rubber Com-
pany; director. Empire Trust Company; president, Crnnby
Conjolidated Minin? Smelting and Power Company, Limited;
director, Tru.'ts and Guarantee Company, Limited; director.
British Northwest Insurance Company; director, Great-
West Life .Assurance Company; director. Hutchinson Com-
pany, Limited; director, Canadian Bank of Commerce;
chairman, Board British American Trusts Company;
director, Cassidy's Limited, Montreal.
Cecil B. Reay, who was formerly connected with the
manufacturing department of the Canadian Fire Under-
writers' Association, has joined the Atlas Assurance Com-
pany as inspector for the province of Quebec.
E. P. WiTHROW, formerly manager for British Columbia
of the Dominion of Canada Guarantee and Accident Insur-
ance Company, has taken up the position of branch manager
of the company at Winnipeg, with jurisdiction from the
head of the Great Lakes to Moose Jaw, Sask. Mr. Withrow,
who previously had his office at Vancouver, will be succeeded
there by J. Cecil Stuart, inspector of the Ottawa branch of
the company.
OBITUARIES
William P. Miller, representative in the Orient for
the Canada Foundries and Forgings, Ltd., and formerly
manager for western Canada of the same company, died at
Virden, Man., on August 21st last. He was born at Morris-
burg, Ont., where he originally operated a foundry.
J. B. Hughes, one of the oldest and best-known resi-
dents of Waterloo, Ont., died at his home there on August
26th, at the age of 84 years. For a number of years he
was a recognized farmer in Hawkesvillc, Ont., where he was
living at the time, but at the age of twenty-eight he com-
menced business in Waterloo as an insurance agent, in which
occupation he has been engaged until a few months ago.
He was recognized as the father of the Mutual Life Insur-
ance Company of Canada, the head office of which is in that
town. He was inspector of the Waterloo Mutual Fire In-
surance Company for eighteen years, and for over a quarter
of a century has been special agent in Canada for the Aetna
Fire Insurance Company of Hartford, Conn. He served as
a member of the town council for a number of years and
was mayor for one term. He was an active member of the
board of trade.
CREDIT STRINGENCY FELT THROUGHOUT WEST
No Relief in Sight Until I'ayments for Crop Come In — Im-
portant thai Government Keep Out of Market
(Special to The Monelary Times.)
Winnipeg, September 2, 1920.
/CUTTING is now pretty generally completed throughout
^ the west and threshing is everywhere in full swing.
Excellent yields are being reported. One pleasing thing
about this year's crop is the fact that, in many districts
where the crops have been poorest during the past two
seasons, they are best this year. The outlook for a good
fall is very bright. Money, however, is exceptionally tight
just at present, as all efforts are being directed towards
crop financing.
Banks' Funds are Fully Occupied
The Manitoba provincial treasurer, on returning from
the east recently, said that there were only two banks in
Canada which had any money to loan. A prominent Win-
nipeg banker, discussing the situation this week, said that
this was not quite correct that the fact was that there
were none of the Canadian banks which had any money to
loan, referring to new accounts.
Some relief will come in October and November, when
the returns come in from the actual sale of the crops of this
year. The public in the west ask whether they will be able
to get money freely at that time, and one of the replies is
that it depends on what the requirements of the national
government are. If the government can finance itself and
get large sums from the new taxes, money at the banks
may be a little easier at the close of the year and in the
early months of 1921.
September 3, 1920
THE MONETARY TIMES
IS
inrmniHiiimi! ununuimii | ixi-tn; ii^gmani .,
The Sterling Bank
OF CANADA
••Pets„:.o. -.- ,;.;.._ ..„, .,..u..i i,„; , a
speeding up and an increase in the etiiciency o( every
department of the Bank, but it has meant a more
courteous and friendly spirit in handling ordinary
banking transactions.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Rnyal Charter and Act of Parliament' Estaolishbd I8V5
Capital Subscribed ^£5,000,000 $25,000,000
Paidup 1,100,000 5,500.000
Uncalled 3,900,000 19,500,000
Reserve Fund 1 ,000,000 5,000,000
Head Office - EDINBURGH
WILLIA.M CARNKOIE, Generul Manager. GEORGE A. HU.VTER. Sec.
LONDON OFFICE— 37 NICHOLAS LANE. LOMBARD ST., EC. 4
T. C. RIDDELL, DUGALD S.MITH.
Manager Assistant Manager
Ttie agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, arc
retired on terms which will be furnished on application.
Bank of Hamilton
HEAD OFFICE - HAMILTON
Etlablished 1872
Capital Authorized
Paid Up Capital
Reserve Fund
$5,000,000
4,000,000
4,200,000
Directors
SIR JOHN HKNDRIK. K.C.M.G., C.V.O.. President
CYRUS A, BIRGE, Vice-President
C. C. DALTON ROBT. HOBSON W. ?:. PHIN
I. PITBLADO. K.C. J. TI'RNBULI. \V. A. WOOD
Branches
At Monireal, apd throughout the Provinces of
Ontario, Manitoba, Saskatchewan, Alberta and
British Columbia.
Sarlnts Department at all Offices.
Deposits of $1 and upwards received.
.Advances made for .Maniifacturing and Farming
purposes.
Collections efTected in all parts of Canada promptly
and cheaply.
CoTTetpondenct lolicited
J. P. BKI.I. - General .Manager
The Dominion Bank
L:,! ABUSULD liJI
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
The Standard Bank
of Canada
Batablithed 1873 '5- Br.nchei
Capital (Authorized by Act of Parliament) «5.IX)0,000.00
Capital Paid-up .,500.000.00
Reserve Fund and Undivided Proflta i.Tny2i.tO
DIRECTORS
W«LL1N0T0« FRAKCH, K.C, HuBP.KT LANOLOia
President Vice-President.
W P Allen, P. W. Cowan. T. B. Greening. H. Langlois.
James Hardy. F.C. A, Thos. H. Wood
H..D Office. 15 King St. West TORONTO. Out.
C. H. EASSON. General Manager
J. S LOUDON. Assistant General M.in»tcr
SAVINGS BANK DEPAKTMBNT AT ALL HKANCHHS
Bank of New Zealand
ESTABLISHED IN 1 S6 1
Bankerra to the New Zealand Government
CAPITAL
Pud-Un Capital (il3,284,026) ni RiHrve FudiI
(SI2. 166,250) $25,450,276
UoditidcJ Prolila 713.039
AstrriaU A»cli at Jill Maccli. 1920 2S7.S0(I941
Head Office:
WELLINGTON
NEW ZEALAND
H. BUCKLETON
General Manager
THE HANK 111- NEW ZEALAND haa llrarchc. at
Auckland. Wcllinillon. Chriatchurch. Uuncdin. and 203 other
plac« In New Zealand: alM at Melbourne and Sydney
(Au»ir:ilial. Suva and Lcvuka (Fiji), Apia (Samoa), and
London.
The Hank h:n lacilitiei for tran«.aclinii every Jcscnplion
o( Bankinn Hu«ine»a. It invilca Iht eatabliahment of Wool
and other Pmduca Crcdim. either in •tcrlinri or dollar*, with
any of il< Auatralatian Brancho.
LONDON OFFICE: I Queen Viclori. Street, Manvioo House, E.C.,4
CHIEF CANADIAN AGENTS .
Canadian Bank of Commerce
Bank of Montreal
THEMONETARY TIMES
Volume 65.
EXCELLENT CROP PRACTICALLY ASSURED
Harvesting of Grains Progressing in All Provinces Under
Favorable Conditions — Alberta Leads the West in
AVhcat Yield, According to the Latest Estimate
IN practically all parts of the west cutting is well on
toward completion, and threshing is in full swing in
many districts. In Saskatchewan last week, rain was fairly
general in the province and somewhat retarded harvesting
operations. Frost has been reported from all three pro-
vinces, but as far as grains are concerned, the damage has
been nil, while the damage to other crops has been very
slight.
Ontario and Quebec rural districts report grain cutting
nearly completed. In the Maritime provinces the oats crop
is in fine condition, and is reported as being' very much above
the average. The apple crops, however, in both the Maritime
provinces and British Columbia, show a decrease from last
year's yield of from 30 to 40 per cent. The quality is better,
however.
Judging from recent reports, the crop yields in the
various provinces will be considerably above former expecta-
tions. It appears that preliminary estimates were somewhat
conservative.
Alberta Leads the West
That Alberta will have the largest yield of wheat per
acre of any of the western provinces, is the estimate of
Thomas Atchison, agricultural agent for the Canadian Pacific
Railway, who expects a general average for the province of
19 bushels an acre. Mr. Atchison, who is touring the west
on an observation trip of crop conditions, places the aver-
age yield for Manitoba at 1(5.5 bushels, and that of Saskat-
chewan at 14.5 bushels. The acreage in the three provinces
is placed at 3,644,000, 2,087,000 and 9,440,000, respectively.
It is approximately estimated that there will be about
50,000,000 bushels of oats alone produced this year in the
three prairie provinces, irrespective of barley and rye. What
Alberta's proportion will be has not yet been forecasted, but
in the Canadian Pacific territory, it is estimated that there
will be from 30,000,000 to 35,000,000 bushels of coarse grains
that will be harvested, if. the present weather conditions
prevail. This is exclusive of the Peace River country and
the far northern districts.
Ontarid Conditions
A summary of reports to the Ontario Department of
Agriculture as at August 31 last, sets forth the crop con-
ditions as follows: —
The apple market has been livelier than for several
years past. Brant states that around Paris there are some
orchards well loaded with the Northern Spy, and that buyers
are oflcring from ?1.50 to $2 for sprayed fruit, the pur-
chaser to do the picking. Prince Edward reports much ac-
tivity in fruit buying during the last week, when about two-
thirds of the apple crop passed under the control of buyers
at a wide range in prices. Some owners sold outright for
a set sum; others to be paid by the barrel. An 8.000 barrel
lot, owned by several growers around Wellington, sold for
$2 a barrel on the trees, the orchardi'sts being under no obli-
gation except to draw the barrels, not even hoarding the
pickers and packers. Other growers in Prince Edward
County have received as high as ?5 a barrel for Nos. 1 and
2 f.o.h. One special lot, containing a high percentage of
Spies, sold for $3 a barrel picked.
Tomatoes have been plentiful. The Weltand represen-
tative says they are a glut on the market. Tobacco cutting
has been started in the Lake Erie section. The crop is said
to be very uneven, and much of it will be late. Middlesex
reports that some fields of flax have been left for seed for
lack of pullers.
While mo.st of the spring grains have been cut.
a considerable quantity is still in the shock, and some
sprouting is complained of. Repoits are common of oats
yielding from 50 to 70 bushels to the acre. Wentworth states
that many farmers threshed their grains as they drew it in,
so as to cut down the labor cost. New hay is selling in
Peterborough at from $25 to .$26 a ton, but Peel quotes loose
hay as bringing around $20 a ton. The Fort William repre-
sentative says there is practically no local market for hay.
UNITED STATES CROP ESTIMATE
In its report on the crop prospects for 1920, the Conti-
nental and Commerical National Bank of Chicago says:
"Production of important crops will exceed that of last
season, with the exception of wheat; the aggregate produc-
tion will be in excess of all domestic demands. The average
yield per acre is larger than for some years; the quality is
excellent, and the shortage in the acreage has been more
than overcome. In the past two months there has been a com-
plete reversal of the dismal forebodings that attended the
plantings under climatic restrictions; ideal weather condi-
tions have turned the prospect of partial failure into boun-
tiful harvests, and promise of still better return in the crops
that come to harvest later in the season."
The 1920 crops, in comparison with those of 1919, are
estimated as follows: —
1920. 1919.
Bushels. Bushels.
Corn 3,055,427,000 2,917,450,000
Oats 1,433,007,000 1,248,310,000
Winter wheat 558,791,000 731,636,000
Spring wheat 275,956,000 209,351,000
All wheat 834,747,000 940,987,000
Barley .-. . 188,416,000 165,719,000
Rye 88,425,000 88,478,000
Potatoes 394,512,000 357,901,000
Hay (tons) 83,209,000 91,326,000
Cotton (bales) 13,289,000 11,030,000
INCREASED RATES FOR AMERICAN ROADS
On August 14th the Board of Railway Commissioners
for Canada granted the application of the American Railway
Association for an increase in thi'ough rates, in so far as
Canada is concerned, to correspond with increases recently
granted by the Interstate Commerce Commission across the
line. The increase, however, it is specifically stated, will not
apply to freight rates on coal and coke. If there is to be an
advance in the rate on these commodities, it is delayed until
the decision of the board in the general freight rate case is
made. The increase pro\nded for in to-day's ordevv is effective
on or after August 26th upon not less than five days' notice.
The order of the commission, which is signed by As-
sistant Chief Commissioner S. J. McLean, sets forth that
the Interstate Commerce Commission has granted certain
rate increases which are applicable to the proportions of
joint through rates to or from Canada accruing in the United
States. It is deemed expedient by the board that the con-
tinuity of joint through rates should be preserved. There-
fore, to quote the order: —
"It is ordered that the proportions of through rates,
fares and charges between the United States and Canada,
fares in both directions, in effect at the date of this order,
accruing within Canada, may, by general or blanket supple-
ment to existing tariffs, be increased to the extent that the
through rates and changes shall conform to the increases
granted by the order of the Interstate Commerce Commis-
sion, except on coal and coke — increases which are reserved
pending the judgment of the board in the application of
Canada carriers for increased rates within Canada.
"That the through rates and fares from points in Can-
ada to points in the United States so increased may be pub-
lished and filed to become effective on or after August 26th,
1920, upon not less than five days' notice."
September o, li^O
THE MONETARY T I .M E S
AFRICAN BANKING
Corporation, Limited
(LONDON)
Paid-up Capital and Reserve, $6,800,000
Over 60 Branches and Agencies
throughout South Africa
Principal Branches located at Buia-
wayo, Bloemfontein, Cape Town',
Durban, East London, Johannesburg,
Kimberley, Port Elizabeth, Pretoria,
and Salisbury.
THE NEW YORK AGENCY
negotiates documentary bills of exchange,
issues drafts and cable transfers, and transacts
a general banking business direct with the
branches of the Bank in South Africa.
Correspondence invited from Canadian Ship-
pers to South Africa, cind facilities offered for
the conduct of their business with that country.
Address the New York Agency
64 WALL STREET, NEW YORK, U.S.A.
~HomeBankofCanadai
Government Bonds and Savings Stamps
There ia a po^c in the Home Bank's Thrift Account
Book for entering the date of purchase, amount, and
interest dates on Government Bon<^8, War Stamps, and
Savings Certificates. The form is very concise and will
preserve all the details (or ready reference. Ask for a
copy of the Thrift Book. Distributed free at all Branches.
Branches and Connections Throughout Canada
Head Office and Eleven Branches in Toronto ;
THE
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
HEAD OI-l'lCE. Wl-IYHLKN. S ASKATCHli W AN
Branches in Saskatchewan at
Weyburn, Yellow Grass, McTaggart. Halbrite. Midale,
tiriflSn, Colgate, PaiiKUiaii, Radville, Assiniboia, Benson,
Verwood, Re.idlyn, Tribune, Kxpanse. Mo.ssbank, Vantage.
Gooilwater, Oarmody, Sloughton, Osage, Creeluian and
Lewvan.
.•\ GRNKRAI. HANKING HUSINESS TRANSACTED
H O POWRLL. General M.in.iRcr
TH€ AV€RCMANT5 BANK
Head Office : Montreal. OF CANADA,
Established 1864.
Capital Paid-up, $8,400,000 Reserve Fund and Undivided Profits, $8,660,774
Total Deposits (31sl July. 1920) - Over J163.000.000
Total Assets (31st July, 1920) - Over S200.000,000
Board of Director* :
SIR H. MONTAGU ALI.A.N
Thomas Long
Sir Freoekick Orr Lewis, Bart.
Hon. C. C. BAtLANTYNE
Vice. President
Alfred B. Evans
Thomas Aiirarn
Lt.-Col. J. R. MOODIE
K. Howard Wilson
Farouhar Robertson
(Jeo. L. Cains
General Manager - D. C. Macarow
Supt. of Branches and Chief Intpecior : T. E. Mrrkett
Gener.il Supervisor - - - W. A. Mkldkum
A. J. DAWES
Hon. Lorne C. Webster
E. W. Knekland
Gordon M. McGrkuok
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Tlieir banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice.
395 Branrhe* in Canada, extending' from the Atlantic to the Pacific
New York Agency: 63 and 65 Wall Street: W. M. Ramsay and C. J. Crookail, ARenis
London, England, Office, 53 Cornhill : J. B.Donnelly, D.S.O., ManaRcr.
Bftokert in Great Britain : The London Joint City & Midland Bank, Lmited, The Royal Bank ol Scotland
16
THE MONETARY TIJMES
Volume 65.
STANDARD RELIANCE AFFAIRS
Creditors of the Standard Reliance Mortgage Corpora-
tion will probably be paid in full, according to a statement
made by F. C. Clarkson, liquidator, on August 23rd. It will,
however, take a number of years to do this. It is not likely
that the shareholders will receive anything.
BANK BRANCH NOTES
Only two new branches of Canadian banks have been
announced this week. These are branches of the Bank of
Hamilton at Ridgedale, Sask., and at Guelph, Ont.
Hunter Gordon, assistant manager of the Canadian
Bank of Commerce, at Calgary, Alta., has been promoted
to the position of manager of the Regina, Sask.,
branch. He succeeds A. W. Ridout, who goes to
Montreal to take charge of the securities depart-
ment. Mr. Gordon will be succeeded in Calgary by
Hedley Hill.
Imperial Bank Premises at Windsor, Ont.
Noiv in Course' of Ccynstnu^tion.
EXCHANGE QUOTATIONS
Messrs. Glazebrooke and Cronyn, exchange and
bond brokers, Toronto, report local exchange rates
to The Monetary Times as follows: —
Buyers. Sellers. Counter.
N.Y. funds 11% pm lO'i to 10% pm
Mont, funds . . . Par. Par. % to '*
Sterling-
Demand $3.97 $3.itr>
Cable transfers . 3.98 3.95
New York quotations of exchange on European
countries, supplied by the National City Co., Ltd..
Toronto, as at September 2, 1920, are as follows:
London, cable, 357; cheque, 356V4; Paris, cable, 6.84;
cheque, 6.83; Italy, cable, 4.68; cheque, 4.67; Bel-
fjium, cheque, 7.43; Swiss, cheque, 16.50; Spain,
cheque, 15.00; Holland, cheque, 32.00; Denmark,
cheque, 13.45; Norway, 13.45; Sweden, 20.20; Ber-
lin, 2.05; Greece, cheque, 11.00; Finland, cheque,
3.75; Roumania, cheque, 2.45.
WEEKLY BANK CLEARINGS
The following are the bank clearings for the week ended
September 2, 1920, compared with the corresponding week
last year:
Week ended Week ended
Sept. 2, '20 Sept. 4, '19 Changes
Montreal $129,461,771 $ 93.706,196 +$35,755,575
Toronto 93,175,592 69,9.58..526 + 23,217,066
Winnipeg 41,232,949 33,279,803 + 7,953,146
Vancouver 16,725,720 11.924,964+ 4,800,756
Ottawa 7,060,701 7,821,339 - 760,638
Calgary 6.692,742 6,265,635 + 427,107
Hamilton 7.071,415 5,231,615 + 1,839,800
Quebec 6,487,367 5,284,534 + 1,202,833
Edmonton 6,064,624 4,291,785+ 1,772,839
Halifax 4,309,040 4,108,178 + 200,862
London 3,276,961 2.940,986 + 335,975
Regina 3,823.381 2,290.,523 + 1,.5,32,858
St John 3,097.079 2.617.409 + 479,670
Saskatoon 2.0.36,034 1,770.228 + 265,806
Moose .Taw 1.430.320 1,433,138- 2,818
Brantford 1,160,540 1,086,385+ 74,155
Brandon 682,253 655,673 + 26,580
Fort William 749,283 785,061 - 35,778
Lfthbridge 802.649 724,732 + 77.917
Medicine Hat 377,687 355,010+ 22.677
New Westminster . . 750,908 576,832 + 174,076
Pctcrhoro 848.749 669.386+ 179,363
Shcrbrooke 1.421, .547 870,.523 + ,551,024
Kitchener 1.023,.525
Windsor 2,997,680 1,798,537+ 1,199,143
Prince Albert 446,290 248,075 + 198,215
Total $342,183,282 $260,695,073 +$81,488,209
Moncton $ 797.630
AUGUST BANK CLEARINGS
The following are the Bank Clearings for the month of
August, compared with the same month last year: —
Aug., 1920. Aug., 1919. Changes.
Montreal $576,939,686$ 498,289,151 +$78,650,535
Toronto 406,191,434 327,665,398 + 78,526,036
Winnipeg 184,981,567 154,723,394 + 30,258,173
Vancouver 74,858,240 55,975.609 + 18,882,631
Ottawa 33,008,013 38,018,133 — 5,010,120
Calgary 30,434,969 26,827,108 + 3,607,861
Hamilton 30,270,697 24,188,384 + 6,082,313
Quebec 29,698.617 24,278,933 + 5,419,684
Edmonton 21,767,146 19,999,454 + 1,767,692
Halifax 20,553,413 20,473,163 + 80,250
London 14,878,915 13,316,.559 + 1,562,356
Regina 17,168,314 16,309,2.52 + 859,062
.St. John 16,004,679 12,870,5.50 + 3,134,129
Victoria 11,144,187 10,708,137 + 376,050
Saskatoon 6,550,691 8,704,577 — 2,153,886
Moose Jaw 7,201,741 6,135,275 + 1,066,466
Brantford 5,775,195 4,248,015 + 1,527,180
Brandon 3,086,815 3,020,376 -P 66,439
Fort William . . . 3,525,798 3,421,687 + 104,111
Lethbridge 3,600,231 3,179,041 + 421,190
Medicine Hat ... 1,845,928 1,939,974 — 94,046
New Westminster 3,063,053 2,635,459 + 427,594
Peterboro 3,764,802 3,188,387 + 576,415
Sherbrooke 5,671,186 3,985,267 + 1,685,919
Kitchener 4,836,003 3,803,827 + 1,032,176
Windsor 13,859,156 8,394,914 + 5,464,242
Prince Albert . . 1,977,068 1,769,782 + 207,286
Totals ...81,532,657,544 $1,298,129,806 +$234,527,738
Moncton 2.451,731
September 3, 1920
THE MONETARY TIMES
IT
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
I STABLISHRD l-i!:-
PAID UP CAPITAL - _M|K_ * 23,828,500.00
RESERVE FUND .... C ^^4 -.•-... 16,375.000.00
RKSKRVE LIABILITY OF PROPRIETORS ■ ^Kl^A^mt 23 8'8 500 00
AGGREG.ATE ASSETS 3Ist MARCH. 1920 ^'■SCsajft*'*^-^^ $377,721,211.00
Sir JOH.V RUSSELL FHHNCH. K.U.E.. Ocncral Man»ger
351 BRANCHES and ACE.NCIES in the Australian States. .Mew Ze»l»nd Fiji. Papua (New Guinea! . and London. The Bank tra.itacK every description
of Australian Banking Business Wool and other Produce Credits arraniicd.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET. E.C„ 2.
AoEVTs: BANK OK MONTKF.AL. ROYAL BANK OF CANADA
BUSINESS FOUNDED 1795
INCORPOBATED IN CANADA 1897
AMERICAN Bank Note Company
ENGRAVERS AND PRINTERS
BANKNOTES, BON DS, MU N ICI PAL DEBENTU RES, STOCK
CERTIFICATES, CHEQUES AND OTHER MONETARY DOCUMENTS
ill Safeguards Against CountcrTeitint^ Work Acceptable
Head Ofllce : OTTAWA 224 WelUngton St.
URAXCHES
1 all Stock Exchange*
WINNIPEG
Inion BAnk BldC
CiEORGE EUWARUS, 1- C .A. ARTHUR H. EtUVAkUS. F.C.A.
H. Pebcival Edwards W. Pomerov Morgan A. G. Edwards
Chas. E. White T. J. Macnamara Thos. P. Geggik
O. .N. Edwards J. C Mc.N'ab C. Percy Roberts
A L Stevens W. H. Thomp'.-n
EDWARDS, MORGAN & CO.
CHARTERED
OFFICES
TORO.NTO ..
CALGARY ..
VA.NCOL'VER
WINNlPEci .
MONTREAL
CORRESPONDENTS
HALIFAX. N S.
LONDO.N. E.VG.
ACCOUNTANTS
CA.VADLAN MORTGAGE BUILDING
HERALD BUILDING
LONDON BUILDING
ELECTRIC RAILWAY CHAMBERS
McGILL BUILDING
ST. JOHN, N.B.
COBALT, ONT.
NEW YORK, U.S.A
E5TABUSHED m79
AUoway & Champion
Bankers and Brokers
Member, of Winnipeg Stoci Eich«n»r
362 Main Street
Winnipeg
Stoclca and Bonda bouuSi
and sold on cominission.
Winnipeg. Montreal. Toronto and New York Exchange*
Succession Duties
in Ontario
The rates of Succession Duty having
been increased at the recent session
of the Ontario I-egislature, we have
prepared a Booklet entitled "Succes-
sion Duties in Ontario." This Book-
let contains schedules of the new
rates, together with a summary of the
main provisions of the Act. To
readers of The Monclar\) Times we
shall be pleased to send a copy free
on request.
THE
Toro/stoGetheralTrusts
CORPORATIOiS
Head Office • Bay and Melinda Streets, Toronto
18
THE MONETARY TIMES
Volume 65.
New Record For Current Loans in Canada
Increase in That Account For July Not as Pronounced as in Previous
However-Savings Deposits Continued Hiftiier- Further Restriction of
for Stocli Market Purposes Substantial Reduction in Call Loans
July,
1919.
Deposits on demand $ 584,176,76)
Deposits after notice 1,17.5,092,1.').')
Current loans in Canada 1,014,387,206
Current loans elsewhere 138,217,9o7
Loans to municipalities 54,4.r>5,738
Call loans in Canada 93,587,497
Call loans elsewhere 178,098,434
Circulation 223,662,648
PRINCIPAL changes in the July bank statement, as given
above, show little departure from the tendency of the
previous report. It is apparent, however, that the efforts
of the Canadian banks in bringing about deflation, are being
successful to some extent.
Savings deposits continued higher in the period under
review, the increase over June being about $9,500,000. The
account is still more than $9,000,000 below the record of last
October. Demand deposits show a reduction of some $20,-
000,000 for the month. It will be seen from the following
table, that while notice deposits have been steadily recover-
ing since the last Victory loan, the trend of demand deposits
has been somewhat irregular: —
Deposits payable Deposits payable
on demand. after notice.
1919— July $584,176,765 $1,175,092,155
August 584,300,855 1,196,632,931
September 650,743,015 1,227,437,715
October 705,280,241 1,262,746,984
November 728,657,589 1,137,858,277
December .: 703,329,292 1,138,086,691
1920— January .... 621,408,024 1,163,297,037
February 620,069,555 1,187,027,307
March 657,412,028 1,197,719,570
April 652.918,760 1,209,573,990
May 645,957,229 1,229,073,515
June 659,622,583 1,243,700,977
July 639,415,025 1,253,170,443
The course of deposit accounts during the past six years
is shown in the following table: —
July On demand. After notice. Total.
1915 . $340,950,215 $ 691.731,719 $1,032,681,934
1916 431,958,188 789.363,919 1,221,322,107
1917 4.'-.0,849,356 929.442,340 1,380,291,696
1018 549,068,651 992,015,137 1,551,083,788
1919 .584,176,765 1,175,092,155 1,769,268,920
1920 639,415,025 1,253,170,443 1,892,585,468
Deposits outside of the Dominion declined from $360,-
358,386 in June to $348,008,545 in July.
Current Loans Move I pward
Current loans in Canada, which have been continually
moving upward since August, 1919, established a new high
record. The increase in July was less pronounced than in
the previous month, however, reflecting a restriction in
credits to the indu-strial and commercial community. Call
loans were practically .stationary .ns will be seen from the
following table: —
June,
1920.
$ 659.622,583
1,243,700,977
1.365,151,083
184.328,464
76,410,676
115,272,587
219,214,431
238,088,555
July,
1920.
$ 639,41.5,025
1,253,170,443
1,377,276,853
190,914,052
78,792,822
115,360,894
203,045,209
240,833,686
Month
Credits
Abroad
Year's
inc. or dec.
+ 9.4
-f 6.6
-1-35.8
4-37.7
-i-46.3
-1-23.6
-t-14.0
+ 7.6
Month's
inc. or dec.
—3.0
+ .8
+ .9
-f3.2
4-2.6
+ .07
—7.3
+ .8
Current in Call in
Loans. Canada. Canada.
1919— July $1,014,387,206 $ 93,587,497
August 1,011,785,424 95,899,836
September 1,058,572,202 96,912,709
October 1,104,940,160 100,549,390
November 1,189,408,423 121,754,469
December 1,207,109,046 125,888,760
1920— January 1,226,962,963 132,015,334
February 1,257,015,902 127,251,919
March 1,322,267,030 128,233,310
April 1,347,238,230 125,644,859
May 1,349,079,981 119,114,493
June 1,365,151,083 115,272,587
July 1,377,276,853 115,360,894
Call loans in Canada have fallen away more than $16,-
000,000 since last January, and with banks placing further
restrictions on funds for stock market purposes, it is most
probable that further recessions will be shown in the August
statement. Call loans abroad show a decline of more than
$16,000,000, indicating that the demand for funds in Canada
has brought to a close, temporarily at least, the successive
increases in the amounts loaned in New York. The following
table shows call loans elsewhere than in Canada since Jan-
uary, 1917: —
January
February
March
April
May
June
July . . . .
August
September
October
November
December
1917.
$
155,747,476
162.344,556
161,616,735
159,156,054
168,692,675
159,309,133
151,875,676
176,610,625
166,480,004
151,018,747
139,832,552
134,483,482
1918.
$
132,687,066
160,239,494
167,296,701
179,818,,")31
172,259,879
170,034,476
167,112,836
160,544,990
159,680,810
157,040,858
171,035,732
150,248,322
1919.
1920.
140,819,
155,983
160,116
155,533
157,176
167,2.36,
178,098,
174,176,
169,532,
158,194,
169,626.
172,232
656 170,206,805
681 184,469,882
443 205,202,133
666 206,229,451
,325 213,964,182
045 219,214,431
,434 203,045,209
578
489
085
,880
,161
The following table shows the course of the principal
loan accounts in recent years: —
Current loans Current loans Call loans Call loans
July. in Canada. elsewhere. in Canada, elsewhere.
1915 ..$ 758,349,517 $ 41,784,633 $ 71,168,233 $117,821,174
1916 .
. 740,040,741
62,356,259
87,355,648
176,121,733
1917
, . 829,560,700
90,253,882
71,376,788
151,875,676
1918 ,
, . 905,677,233
99,702,919
74,382,762
167,112,836
1919 ,
. . 1,014,387,206
138,217,9.57
93,587,497
178,098,434
1920
. . 1,377,276,853
190,914,052
115,360,894
203,045,209
(Continued on page 20)
September 3, 1920
THE MONETARY TIMES
SterungTrusts Corporation
I f DOCTORS AND DENTISTS
r j Let us look after your financial affairs for you We keep i
} j separate set of books, look after your investments, act a:
your Secretary and financial advisers, all at a small cost.
President
W. H.WARDROPE. K.C
\ ice-Prcsideni. Slanating Director.
A W. BRIGGS.K.C CHAS. BALXKHAM
1120
HEAD OfFICE-12 KING ST. EAST-TORONTO
ATTENTION!
Projectors of New Companies
Uc invite cncjuiiica a» to tlie tciiii!i ^n v.liitli wc aic
prepared to set as Stock Transfer Agent and Registrar.
THE CANADA PERMANENT TRUST COMPANY
Paid-up Cnpilnl
Sl.OOO.OOO
TORONTO STREET
TORONTO
DIRECTORS:
W. G.Guodcrhjm R. S. HuJscn
Jol. A. B. Goodirham J. H. G. Hasarty
)•'. Gordon Osier George H. Smith
E. R. C. Clarkson George W. Allan. K.C, M.P
Manager. Ontario Branch: A. E. Hcssin
John Massey
John Campbell S.S C
William Mulock
THE ALBERTA TRUSTS COMPANY, LIMITED
FINANCIAL AGENTS
StochandSondt.FlKlmarance.etc. Real Etlale and Farm LanJi. yalualon.elc
CorresrondcncL- solicited
Union Bank Building • • Edmonton, Alberta
WESTMINSTER TRUST COMPANY
Tht Oldest Provincial Trust Comi-Jny m BC.
Head Office NEW WESTMINSTER. B.C.
GENERAL FINANCIAL AGENTS
AJmlntilralcn. Rtalc^n. Eanltn, l.ltmlJaltn. AttllmMi. Trmtlmi
K. A RlUnELl.. .M:iniiccr
A. J. Pattison Jr. & Co.
Specialists Unlisted Securities
106 BAY STREET • TORONTO
The Security Trust Company, Limited
Head Office
Calgary, Alberts
Liquidilor, Trotlee, Receiver, Stock and Bond Broken,
Adminittralor, Executor. General Financial Afcals.
W M CONNACHER Pres. and .Managiri! Director
Lougheed & Taylor
LIMITED
Bond Dealers and Financial Agents
210 Eighth Avenue West, Calgary,
Alberta
Government Municipal anti Corporation Bonds
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
H. H. CAMPKIN
insurance, Loans, Bonds, Debentures and Real Estate
Agent for Can:.cli.in l':icih. K.Uw.ny Co. I,..nds,<.. jn.,;.. N.,itn
West Land Co. Lands, Hii.Kr.n-. li.iv Cmpany'i "Lands.
REGINA, SASK.
w
E have 450 good businesses for sale in the central
portion of Alberta. Everythinn from a General
Store to a small Confectionery.
!f you want a business in Alberta \ ou want us.
WHYTE & CO., LIMITED
111 Pantaees Buildi
A Newspaper Devoted to
Municipal Bonds
T^HKRK is publisheil ii) New N'ork City a iJaily
^ and weekly newspaper which has for over
twenty-five years been Jevotcil to municipal
bonds. Bankers, bond dealers, investors and
public ofTicinls consider it an autliority in its
field. .Municipalities consider it the logical
medium in which to announce bond ofTerinjjs.
Write far fret tpmcimrn copitt
THE BOND BUYER
67 Pearl Street
New York. N.Y.
THE MONETARY TIMES
Volume 65.
Chartered Banks' Statement for July, 1920
LIABILITIES
NAME OF BANK
CAPITAL STOCK
['Bank of Montreal
! Bank of Nova Scotia
I Hank of Toronto
I The Molsons Bank
)' Banque Nationale
i Merchants Bank of Canada ...
'I Banque Provinciate du Canad;
I Union Bank of Canada
I Canadian Bank of Commerce ■
I Royal Bank of Canada
Dominion Bank
i;8ank of Hamilton
Ii Standard Bank of Canada
Banque d'Hochelaga
i Imperial Bank of Canada
[Home Bank of Canada
• Sterlinu Bank of Canada
Iweyburn Security Bank
I Total
* 1
28.075,000 '
15.000.000
10.000.000
5.000.000
5.000.000
IS.OOO.OOO
S.000.000
15.000.000
•25.000.000
25,000.000
10.000.000
5.000,000
5.000.000
10.000,000
10,000.000
s.000.000
3 000,000
«
22.000.000
9.700.000
S.000.000
4,000.000
2.000,000
'J.8!14,;fOO
3.000.000
s,ooo,uoo
15,000,000
19.452,000
6,000.000
4.8H4.200
3.500.000
4.000.000
7.000.000
2.000.0OO
1.266.600
655.700
22,000.00<l
9.700.006
5,000.000
4.000,000
2,000.000
9,667,840
2.810.124
7,999.8.50
15,000,000
18.969,120
6,000,000
4.73K.810
3.500.000
4,000.000
7,000.000
1.959.162
1.229.571
478.661
22.000,000
18,000,000
6,000,000
S, 000 ,000
2,300,000
8,400,000
1.100,000
5.600,000
15,000.000
I7.9S4,.W0
7,000,000
4„i63,40S
4.500,000
3.90O.0O0
7.500.000
500.000
4S0.00(>
225.000
7.302.800 126.051.138 130.027,965
40,563,523
22,204.618
8,139,373
6.575,518
6,104,445
16,189,372
2.976,613
10.592,629
29,684,879
40,9.59.871
10.395.959
6,588,307
5,882,128
7,033.594
13,792,512
2,123.045
l,:i89.3.52
338.495
deducting
advances
for credits.
pay.lists.
Balances
due to
Provincial
Govern-
ments
Deposits by
the public.
payable
on demand
in Canada
Deposits by
the public.
payable
afternoticc
S
17.134,218
6,343,330
3.251,396
10,727.301
8.676.509
14.010,044
2.270.051
17.120.564
33.065,042
9.405.921
10.115.471
7.396.286
8.784,504
7.631.905
4,797,225
3,669,592
5,364.382
4.325.871
567,701
122.155
«
214.6%.e
103844. i
46.266.E
45.230.6
36,328.2
85,570,.5
24,070.0
66,388,6
173.277,';
180.262,4
66,731.5
41.421,2
45,518.9
39,61 1. i
60,231 .2
11,657,;
10.792,4
8,219,456
42,277,616
185,187,714
2.853,074
639,415.025 1,253,170,443 348,008,515
LIABILITIES— Continued
Loans
from other
banks in
Canada,
Deposits
made by
and balan-
;urcd. I ces due to
luding 'otherbanks
n Canada
nted.
banking
correspond-
ents in the
vhere than
in Canada
<T the U.K.
Accept-
ances
under
letters of
credit
Liabilities
not
included
under
foregoing
heads
Balances
due to the
Imperial
Govern-
ment
loans to
directors,
and firms
of which
they are
partners
gold and
subsidiary
coin held
Notes held
during the
the month
Greatest
amount of
notes in
circulation
at any time
during the
month
%
2.864,662
1,414.494
217.904
929.649
3.229
3,147,932
5.373
221.140
10i,751
18.101
603.036
193.229
1.298,719
809
814.0.54
10,393
354.220
«
35.597
180,408
268,849
2,512,003
1,002,870
488,226
983.948
298,790
758,346
24.348
26,146
t
2,413.746
3,451,388
1,224,530
170.380
73.452
797,079
310.337
2.917.697
7.726.9S0
I4.465,.573
1.341.759
615.148
894.219
692,712
321,987
661,577
'23,648
6,837,914 38,104,212 6,334,956
250,483
1.616,626
432,960
t
7,838,753
706.959
I.O0S.348
242,515
2,246,653
S.987,907
13,7.56.8.50
9.357.040
2.598.864
324.581
789,500
152,275
235,770
•
1.484,558
12.792
1,634
540,346
3,518
278,195
150,123
112,021
6.767
15,228
678,053
18.180
1,272
2.863
25,974
43.261,195 3.313.344
500,832,695
209,696,051 I
85,761.567 I
81.252,663 I
65.378.726 I
181.839.632
34,861.466 I .
145,833,260 '
42:1.278,931
541.590.492
125.823.982 \
75,430.183
83,230,099
65,249,832
108,050,529
23,701,685
23.851,132
3,051,606
S
774,246
1.186,430
512,.579
187,658
814,942
9-25,477
1,736,435
858,643
778,856
5,50,182
379,568
-387,051
243,150
1 12,258
394,995
547.386
18,465
s
25.032.013
12,163,689
969,539
582,384
326,800
4,012,3,59
126,628
1,020.115
20.724.000
14,311.368
2,122.000
911,336
1,701,233
455.467
2.651.429
174,180
111.851
15.535
2.778,7I4,$3I | 10,408,321 87,471,9
•
43,207,249
10,634.618
7,955,095
3,136,888
1,442,100
6,252,606
344,275
10,497,119
29,080.000
22.564.868
9.821,000
3,377.858
4,824.204
1,938,734
6,402,963
2.031.465
1.054,487
115,147
42.242,555
23.146.922
7.714,400
6,937,193
6,104.445
16.995,292
3.03S,.5S3
10.768.104
31.069.575
42,206.599
10.456.174
6.990.452
6.519.9/8
7.820,459
14.819.910
2.255,945
1.393,725
356,405
NKW RECORD FOR CURRENT LOANS IN CANADA
(Continued from page 18)
Li.ihilitit's to Shan-hnldiTs
LiM'pe additions were made in liabilities to the share-
holders, as will be .seen from the table below. These are ex-
plained by the stock issues made by the various banks in
recent months: —
Capital Capital
Ranks. subscribed. paid up. Reserve.
iMerchants ? lfil.500 ? l.^.'i.O-IO
Provinciale 1,000,000 810,124
Royal 2,4,52,000 1,909,120 $ 984,.5C0
Hamilton 8:!4,200 7,36,810 368,405
$4,447,700 ?3,651,094 91,352,96.5
Dominion Note Holdings Lower
Holdings of Dominion notes in Canada were lower by
nearly ?2..S00,000. and of pold and subsidiarj' coin by more
than ?1,000,000, while other notes and coin showed increases.
The following table shows the changes for the month: —
Gold and sub-coin in Canada — $1,101,739
Gold and sub-coin elsewhere -|- 1,197,966
Total -t- $ 96,227
Dominion notes in Canada 2,417,340
Dominion notes elsewhere -f 33,300
Total _ $2,384,040
Other Changes
Balances due from banks in the United Kingdom in-
creased slightly during the month, while those from banks
elsewhere were reduced by over 56,000,000-
Advances to municipalities increased more than $2,000,-
000. or 2.G per cent. This increase was not as great as in
the previous month, however. Usually the loans to munici-
palities decrease during the last half of the year, but the
low prices being secured for bond issues may prevent some
September 3, 1920
THE MONETARY TIMES
DO YOU KNOW
that you can place your property in our rharRc :ind. in adtlition to
relieving yourself of thi: trouble and worry of manaBcment. increase
your income?
We make a specialty of s;ervirK undt-r
"LIVING TRUST AGREEMENTS"
.ind our experience and special facilities for handlins all matters in
connection with property assure you of the maximum income. It is
not what you piy us. but what we pay you that counts.
Come in today ami set 11.5 renitrding a " Living
Trust Aer^cmetit." or trri/r f.,r „„r booklet.
Union Trust Company, Limited
HENRY F. GOODERHAM. Preiidcnt
TORONTO - - Cor. Richmond and Victoria St».
WINNIPEG. M.^N. LONDON. ENGLAND
The impartiality of the acts of a TRUST COMPANY and its freedom
from improper influences are some of the advsnlage? offered in
The Management of Estates
We will gladly discuss tbis matter with you.
CAPITAL. ISSUED AND SUBSCRIBED
PAID-UP CAPITAL AND RESERVE....
.SI. 171, 700.00
. 1,172.000.00
The Imperial Canadian Trust Co.
Execator. Administrator, Assignee, Trustee, Etc.
HEAD OFFICE: WINNIPEG. CAN.
THE BANKERS
TRVST OOMB^NY
Head Offices: MONTREAL
Authorized Capital
$1,000,000
PretiJent -
SIR H. MONTAGU ALLAN. C.V.O.
.A. J. DAWES
JAMES ELMSLY
C. D. CORNELL
PrciiJcnts -
D. C. MACAROVl
Ccneml Manager
Secretary^
Sir H. MontsKU Allan.
T. Ahe.rn IC V O
G. LC«.p-
A. 1. D.w.
A. B. Ev.,
D.vid N ■-
]. M. Kilb.
Directors:
I. D. G. Kjpprn
\i'. B. U.ich
<.r F. Orr Lewi., Bo
•o,. Long
T. E. Merrelt
Lt..Col. J. R. Moodie
Farquhar RobertM>n
Hon.LomeC.Web.let
I- . Howard Wilwn
Edwin H. Wil»n
John Vl'il^n
Offices now open in Montreal. Winnipeg,
Calgary, St. John, N.B., Halifax. Regina,
Vancouver, Victoria and Toronto.
Premises in Merchants Bank Building in each city
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
.Aijenls lor investment in all clas.ses of Secuntii'.-;.
Busine^ Agent for the R. C. Archdiocese of Vancouver.
Fiscal .■Vgent for B. C. Municipalities.
Inquirict /netted
(;rnrrKl Manaerr - ll.ul..Col. «;. li. UOKRI.LI.
ACCOUNT BOOKS
I^OOSK I.EAF I.EDOKKS
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Streets
TORONTO
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acli at Execnior, Adminiitralor, Trnilce, Gnirilian, Liqoidtlor
At>i(nee, and in any olbcr fidnciarj capacilr-
Official Administrator for the Northern Judicial
District and the Dauphin Judicial District in
Manitoba, and Official .Xssisnee for the Western
Judicial District in Manitoba and the Swift
Current Judicial District in Saskatcliewan.
Branch Office - - Swift Current. Saaltatchcwon
lOHN R I.ITTLH. ManaginR Director
trxMrpora+dd
- - 165>
Bronchea
Throughout
Conodft
THE MOLSONS BANK
Cnpitnl i«nd Reserve • »B. ODD. GOO
COLLECT BV DRAFT
\ draft i«.i rncul n.mpU . tcnnfimlcnl .ind ilTccKvc vy.lcm of collccl.m!
S.. matter where vnur creditor i« l.<atcd THK ,MOLSI)\8 BA.Mv
O.llcction l>epjrlmrnt will have your draft presented and rctxirt prompt v
when paid Conviill with the ManaBcr ot ary of our Uranche*.
MONTREAL. CANADA
Head Offtca
K C I'RATT.
Jl M?
22
THE MONETARY TIMES
Volnme 65.
Chartered Barxks' Statement for July, 1920
ASSETS
NAMB OF BANK
Bank of Montreal
Bank of Nova Scotia
Bank of Toronto
The Molsons Bank
Banque Nat'onale
Merchants Bank of Canada ..
Banque Provinciate du Canada
Union Bank of Canada
Canadian Bank of Commerce
Koyal Bank of Canad:^
Dominion Bank
Bank of Hamilton
Standard Bank of Canada...
Banque d'Hoclielaga
Imperial Bank of Canada
Home Bank of Canada
Sterling Bank of Canada
Wcyburn Security Bank
:3,710,438|
8.764,587
171. 48? 1
5S 1,327!
360.4621
4,n83.li>5
133.627
1. 028. 194
8,682,643
5.!>65.»98
2.144,844
947 073
1,769.042
456.682
2,6,'i3,673
191,315
120,615
15,U9(p
1,581
24,687,894
12,155,148'
971,482
381,327
362,043'
11,078! 4.094,273
133,62?
28,S32l 1.0.'i6.726
5,802.929 14,485,572
8,267.3461 14,233.:i44
739 2,145.S84
947,073
1,769,042
456,682]
2,653,673
I91,315|
120,615
15,09(1
Total 162,580,287 18.480,221 81,060,510 171,250,677
ASSETS— Continued
Call and
Govern,
ment
Railway
and
short
loans in
and
Pro-
other
bonds.
Canada
on st'cks
vincial
.iffl.3 "
deben-
debent-
°rn7-
E 5 o »i
and
ures and
bonds
securi-
«tock<!
inot ex-
ties
OZr. -
.......Imi!
loans
else-
where
than in
Canada
(not ex-
cpeding
loans
and
disco'nts
else-
n
Bank
Liabili-
Loans to
.Mort-
premises
ties of
Other
Loans
cities,
assets
towns
estate
gages
tomers
not
Pro-
muni-
Over.
other
than
under
vincii.1
estate
letters
under
Govern-
and
bank
amounts
of
the fore-
ments
school
pre-
(if any)
credit
going
districts
written
off
as per
contra
heads
14.670,613 37 „i67.hJl
I3.647,0I2;21,392.8».<
5.235.624; 7,692.492;
5.342,7;t6| 6.9J6.llfli
5.494,705i 6.832. l.'iS
8.441.979 12..'i0.^.03.'ij
2.fi8,S,615, 4 344 367'
4..'i44.1,37l 13.237.303;
13,302,171|2:t.804.S7O
13.020,%4 22.610.658
4,841.664 11.271.031
2.381.165 6.626.117
4,262.343 7,192.690,
2.319.7S1 4.769.149
fi.inti.HSfl 1(.. 718.632
1.36J.IM1 l..S!>(),3.57
9,229.048 3.171,211
176.290 263,714
2.S72.K.!?;
716.455
72:1,5.12
944.382
4.318,371
1.889.406
2.519.942
6.019.0751
16,218.238
1.779.2:15
461,38|1
764.742
139.2721
409.9.52
l,214..5-22
387,812
2.895.321
7.917.3101
4.826,%91
8.:«)2.647
9,944.760
5.628.1521
20,212.644
13.745.7.W
11.317,187
7.463.0S1
3.;«t3.959|
5.257.484
4.619,2061
2.:i04,.564
1.56.189
3.429.762
27,143.434
.56.10.5,943
4,182,300
-.7.761,897 I4,.507,117
i«l.(;49,972 15.733,297
56.987,70S:
,50.605.610
.S7.915.517
120.642.8.58, 1.372.351
11.485.016
82,951,101 5,283,291
117,037931202,47130145,738,394 115360894 203.045,209 ||,377,276.8S3 190914052
209,186,501
182.144,170
72,937,903
49,641,661
56,690,479
43,792.105
63.178,138
14,331,054
9,244,800
2,130,363
37,721,447
115,525787
742,974
3,816,048 24.470,324
1 5.:i79.392
' 1.7-22,519
j 969.913
1 I.32S.2S4
I 4.123,605
1 l.(K)4.119
4,217.995 7.001.744
5.2%.7;i3 10.431,8%
108.343 6.992.877
I 611.446
398.680i -^,724,435
2.061,519
4.777.491
4,469.344
304.841
284,321
134.850
*
551,056
251,309
486,364
112,9,54
29.803,
379.536,
' 76.931
185.183
780,275
392,625
144.844
169,411
157,471
341.908
,530,033
105,443
7,801
1 13.799
52,102
366,720 1
645.469
7.500,
245,392
485,414
,131,421
5,4681
447,2391
4,9151
436,402,
,542.024
63,417
"ii.'8i8
s
43,0521
177,284,
25.10,3
301.223
680.603,
16.75S
140,.522
192.178|
54.794
19,0.57'
199,7441
70,8.501
228,2081
39S,.SS:i
99,409
"7,794
I4,9»l,799 78.792.822 4,816,746 4,625,775 2,655,462157,896,005 43,2(>1,195 2,888.011 3.066,861.431
s
$
5,500.000
7,838,7,53
5,4,59,175
706,959
3.616,096
1.005,348
2.746,373
242,515
1.604,078
2.,S60.281
2,246,653
282..550
1.000.470
3 987.907
6.721.440
13.756.850
8,855,283
9.357,040
5,722,331
2.598,364
2,809,762
324,581
1,517.235
789,.50O
2,668.851
152,275
4.936.265
235,770
971. 83J
422,39^
18.180
201,583
57.896,005
43,2(>1,195
I
56,4141
204,9:0:
312,279'
S7.684
■203.2301
289,420
39,319
118,433]
27,6371
40.865
292,7.55 1
51,004
84,376
654.'285,
95.366;
267.039;
62,995
•
551,6.57.178
239.590.785
99,286,783
91,468.7.58
70.2i5.572
200,168,246
38,979.t97
161,893,885
456,465,.536
584,579,969
140,195,8.18
86,177,874
91.889,208
74,320.617
124,132.83.=
26.SS4.S7S
2.5,710,516
3,783,55;
Of the deposit in Central Oold Reserves 110,500,000 is in gold coin: the balance i
T. C, BOVILLB. Det>uty Minister 0/ Finanet.
of them from being liquidated by permanent financing this
year.
The balance at the credit of the Dominion government
in the banks was reduced $1.3,000,000, after large reductions
in May and June of this year.
Deposits with the minister of finance for the security of
note circulation increased from $.5,997,526 in June to ?C,252,-
442 in July, while deposits in the central gold reserves were
reduced slightly.
COR.M.T OUK ,'-;HirMENTS
The following arc the sbiimients of ore, in pounds, from
Cobalt Station for the week ended August 27th: —
McKinley-Darragh, 82,607; La Rose Mine, 87,915; Nipis-
sing Mine, 521,241. Total, 691,853 pounds. The total since
January 1st is 16,297,243 pounds, or 8,148.6 tons.
LOSS OF TI.ME ON INDUSTRIAL DISPUTES LOWER
The loss of time on account of industrial disputes was
less during July, 1920, than during June, 1920, or July, 1919
according to the Labor Gazette. Tliere were in existence ai
some time or other during the month 49 strikes, involvinf
about 6,734 workpeople, and resulting in a time loss of 80,22:
working days as compared with 60 strikes, 12,406 work
people and 155,502 working days in June, 1920; and 7!
strikes, 62,020 workpeople and 683,896 working days in July
1919. On July 1st there were on record 29 strikes, affectin)
4,229 workpeople. Twenty strikes were reported as havinj
commenced during July as compared with 27 in June, Six
teen of the sti'ikes commencing prior to July and 14 of thos
commencing during July were reported terminated, leavini
19 strikes, involving about 1,442 workpeople, on record a
the end of the month.
September 3, 1920
THE MONETARY TIMES
23
INVEST VOLR SAVINGS
in a 5K% DEBENTURE of
The Great West Permanent
Loan Company
SECLRITY
INTEREST P*''!-^ Capital $2,412,578.81
Resenes 964.4S9J9
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto. Retiat, Calvary,
Edmonton, Vancouver, Victoria ; Edinburgh,
Scotland.
5r/„
RETURN
CANADA PERMANENT
MORTGAGE CORPORATION
gLARTERL'i DIMDEND
Notice is hereby given that a Dividend of TWO and
ONE-HALF PER CENT, for the current quarter being at
'' TEN PER CENT PER ANNUM
^,v. ■ ij Capital Stock of the CorporBtion. has been
drJ,.rrd. ..rd that the same will be payable
FRIDAY. THE FIRST D.AV OF OCTOBER
next, to Shareholders of record al the close of business on
the Fifteenth day of September.
By order of the Board.
CEO. H SMITH. .Assistant General Manager.
Toronto. August 25th. 1920.
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
.Masonic Templi; Building. London. Canada
Interest at 4 per cent, payable half-yearly on iJcbcntures
T. H. PURDOM. K.C.. President NATHANIEL MILUS. Manlier
The Hamilton Provident & Loan Society
Head Office. King Street. Hamilton. Ont.
Capital Paid-op, Sl.200,000. Eeaerre Fend and Sorplos
Profits. $1,280,670.69. Total Asscti. M.7644l».ll.
TRUSTEES AND EXECUTORS are authorized by Law to invest
Tnist Funds in the DEBENTURES and SAVINGS DEPARTMENT
of this Society.
GEORGE HOPE. President D. M. CAMERON. Treasnrer.
Ontario Loan
4& Debenture Co.
LONDON Incorporated 1870
CAPITAL KUD Undivided Protits
Canada
S3,9ii",000
SHORT TERM (3 TO 5 YEARS)
DEBENTURES
YIELD INVESTORS
511
JOH.N .McCLAKY. President
A M SMART. Maraeer
/^\"ER 200 Corporations,
^^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG. Man.
THE TORONTO MORTGAGE COMPANY
Office, No. 13 Toronto Street
Capital Account. »:*I.5.VI.«0 Reserve Fund. SMO.OOO.M
Total Assets. Wl.litS.lM.**
President. WhLLINl-.TON KHANCIS. E»q.. K C.
Vice-President. HBKHEKT LA.SGLOIS. Bw.
Debentures issued to pay 5".,. n Leual Investment (or Trust Funds.
Deposits received .it 4 ',. interest. wilhJrawahle hy cheque.
Loans m,de on ''-^'0^'^^'-;l^:^^^°^\-i[^':^^C^rM^„^.^r
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
Particulars on application
The Canada Standard Loan Company
S20 McJntyre Block, Winniptg
Port Arthur and Fort William
Realty Investments
Inside City and Revenue Producing Property.
Mortgage Loans Placed.
Write us for illustrated booklet descriptive of
the twin Cities.
GENERAL REALH CORPORATION, LIMITED
Whalen Building, PORT ARTHUR, Ontario
IRON MINE
FOR SALE
COUNTY OF RENFREW
Neat Perth
Kor full parliculara. report of assay, etc.. apply
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAY and MELINDA STS. TORONTO
THE MONETARY TIMES
Volume 65.
EMPLOYMENT CONDITIONS IN CANAU.V
DOMINION GOVERNMENT SAVINGS BANKS
The Employment Service of the Department of Labor
repoi'ts that returns from Dominion and provincial offices
of the Employment Service of Canada for the week ending
August 7th show an increase in the placements as compared
with the returns for the preceding week. The reports show
that 8,990 references to regular positions were made, and
that 7,635 placements had been effected. This is an increase
of 110 when compared with returns for the previous week,
when 7,216 placements were reported. In addition, 1,522
casual jobs were supplied as compared with 1,558 during the
week ended July 31st.
During the week 8,891 applicants were registered, of whom
7,859 were men and 1,032 were women. This is an increase
in registration of 272 as compared with the preceding week,
when 8,619 applications were made. The number of vacancies
notified by employers to the Service totalled 10,924, of which
9,145 were for men and 1,479 for women. This represents
an increase of 1,069 vacancies when compared with 9,855
reported during the week previous. Of the placements in
regular employment, 6,990 wei-e for men and 645 for women.
Of the placements in regular employment, 89 were re-
ported by New Brunswick offices as compared \%'ith 107 during
the preceding week. Quebec offices reported 329 placements,
298 within the province and 31 in other provinces, as com-
pared with a total of 210 persons the previous week. Place-
ments reported by Ontario offices totalled 2,408, of which
2,332 were within the province and 76 in other provinces as
compared with the total of 2,565 during the preceding week.
Placements were reported by the prairie provinces as follows:
1,387 by Manitoba offices, 1,301 within the province and 86
in other provinces as compared with a total of 1,155 during
the week previous; 771 by Saskatchewan offices, 643 within
the province and 28 in other provinces as compared with a
total of 690 during the preceding week; 1,419 by Alberta
offices, one of which was in another province, as compared
with a total of 1,215 during the previous week. British Col-
umbia offices reported l;232 placements, 1,149 within the
province and 83 in other provinces as compared ■with a total
of 1,274 during week ended July 31st.
A booklet entitled "Canadian Bill Stamp Tax, 1920,"
has been issued by the Union Bank of Canada. This book
i.s designed as a ready reference to the new stamp tax about
which Canadian manufacturers and producers, corporations
and individuals, who carry on a business with a banking
institution should be completely informed. The booklet is a
thorough digest, is carefully indexed, and for complimentary
distribution.
Withdrawals from the Dominion Government savings
banks for the month of May, 1920, exceeded deposits by $25,-
941, thereby reducing the balance at the credit of the de-
positors from $10,709,736 at the end of April to $10,683,795
at the end of May. The following are the returns: —
Manitoba : —
Winnipeg
British Columbia .—
Victoria
Prince Edward Island:—
Charlottetown
Vew Brunswick:—
Newcastle ■■■■/
Transfer I
St. John
Sova Scotia
BarrinRton
Guysboro'
Halifax
Kentvillc
Lunenburg
Port Hood J
Transfer I
Sherbrooke ....
Totals
■27,109.40
40,293.45
1,121,695.92
1,777.159.68
382.501
204.00
28,230.90
5,147.00
7,380.85
272.00
192.518,57
73,010.84
79,839.75
!.3S2,590 83
251.105.94
415,761.12
64.190.76
10,902,355 04
Withdraw- Balance on
als'or ' May 31,
May 1920 1920.
? cts I S cts
11,860,08: 449,230.68
27,369.33
36,646.23
1.094,326.59
I.740.S13.45
80,873.27 4,194,934.17
1.489.07- 71.521.77
2.346.32 77.493.43
44,509.74 2,338,081.09
7,548.16 243.357.78
5.662.95{ 410,098.17
152.00 64,038.76
218,459.15 10,688,795.89
MONTREAL AND QUEBEC SAVINGS INSTITUTIONS
Changes in the July statement of the Montreal and Dis-
trict Savings Bank and the Caisse d'Economie de Notre Dame
de Quebec were insignificant. Dominion government demand
deposits continued the downward movement of the past few
months, decreasing from $490,671 in June to $403,671. Notice
deposits showed very little change. On the assets side, hold-
ings of Dominion, provincial and other public securities were
increased from $12,762,565 in the pre^nous month to $13,-
544,170. Cash on hand and on deposit in chartered banks was
reduced from $8,912,071 to $8,118,587. Canadian municipal
bonds and other securities increased slightly. Loans on bank
stocks and other securities showed slight reductions. Total
assets of the two institutions at the end of the month
amounted to $00,001,346 as compared wth $60,164,108 at the
end of June, while total liabilities were $54,992,905 as com-
pared with $55,116,289. Complete returns as ;it July -'Ist
last are: —
LI.ABILITIES
City and District Savings Bank.. 2.<IO().n0O
Caisse d'l^conomic Notre-Damcj
dc Quebec I 1 .0(10,000
1.411S..S70
i.ooo.oon
3,000,000 2,498.570
Dominion Provincial
Govt. Govt,
demand demand
deposits. deposits.
Other Dominion Provincial other
demand . p""^- .9°^''- notice, etc.
deposits, notice, etc.. notice, etc., deposits.
1 deposits. I deposits, i ^
8 8 I s e $ I ;
335.043 i I ; 43,043,074
68,628 I I .-..l 24 10.292,6116
180.000
83,000
24 53.335.771 i 2634X)0
29.:.! 12
698,324
43,650.230
11,142.675
990,437 54,992,905
ASSETS
l»ublic inh^n'.I'and
securities, on deposit.
Cnnadian
municipal
iccuritica.
Other
securities.
Gov't and Loans on Loans on
.Municipal Bank. other
Loans. Stock.s'. Securities.
Poor Fund,
etc.
Investm'ts.
Bank
Stocks.
Bank
premises.
Other
assets
r.„.:
S 8
City and District Sav-
ings Bank ! '.1.865.077 6,831.303
1S.191.SII
4.104.S1S
•
1.442.083
1.741.366
<
8 1 S
796,0.T7 1 9.395.848
310.385 3,1S2.692
S
180.000
83.000
8
8
750,000
180,000
S
510,330
461.146
46,962,161
13,035.184
Caisse d'feconomic No-
trc Dame.de Quibec. 1.679.093 l t.2k7.284
9.600
Total ; 13.544.170 ' 8.ll8..5g7 | 19.296,128
3,183.400
1 1.106,443 I2,.'!78.S40
263.000 9.600
930,000
971.477
60.001.346
September 3, 1920
THE MONETARY T I M K S
25
To the Shareholders
of
International Petroleum
Company, Limited
NOTICE is hereby given that a company has been in-
corporated under the laws of the Dominion of Canada under
the name of International Petroleum Company, Limited,
herein referred to as the New Company, and that an ar-
rangement has been made whereby the New Company will
issue to the Preference shareholders of the International
Petroleum Company, Limited, (Old Company), one Prefer-
ence share of $5.00 par value fully paid up and non-assess-
able and one share without nominal or par value of its
Common stock fully paid up and non-assessable in exchange
for each Preference share of the Old Company, and to the
Comrnov shareholders of the Old Company two shares with-
out nominnl or par value of its Comvion stock fully paid up
and non-assessable in exchange for each Common Share of
the Old Company.
The New Company proposes to issue 1,804,534 shares
without nominal or par value fully paid up and non-assess-
able of the New Company in exchange for 1,575,000 shares,
(being the whole of the outstanding stock), of the Tropical
Oil Company, a company incorporated under the laws of
the State of Delaware and holding concessions from the
Government of the United States of Columbia. The de-
livery to the New Company of 90% of the outstanding
stock of the Tropical Oil Company has been assured and
in the event of the whole of such outstanding stock not
being delivered then a pro rata reduction will be made in
the number of shares in the New Company to be exchanged
for the shares of the Tropical Oil Company delivered to it.
Holders of Bearer Share Warrants who surrender their
warrants to the International Petroleum Company, Limited,
(New Company) at 56 Church Street, Toronto, Canada,
or to the Farmers' Loan & Trust Company, 16-22 William
Street, New York City, U.S.A., between the 15th September,
1920 and the 30th September, 1920, inclusive will receive in
exchange therefor Bearer Share Warrants on the basis of
two shares of the New Company for each share of the Old
Company surrendered, in accordance with the terms afore-
said.
No Warrants for "rights" will be issued and share-
holders who fail to exchange their old shares for the new
shares within the time limit and in the manner aforesaid
will subject these rights to forfeiture. .
The books of the Company will be closed from the 10th
day of September, 1920, to the 30th day of September.
1920, inclusive, and no Bearer Share Warrants will be split
daring that period.
Holders of Bearer Share Warrants arc recommended
to send their Warrants by registered mail insured as the
Company is not responsible for Share Warrants lost in
transit and duplicate Share Warrants cannot be issued.
By Order of the Board,
J. R. CLARKE.
■■■■■■■■■■■■■^■■■■■■r]
Secretary.
56 Church Street,
Toronto, Canada.
23rd August, 1920.
212
Pulp and Paper
Stocks
Important facts and
figures relating to the
expansion of Cana-
(da's Pulp and Paper
industry are given in
the new issue of our
Monthly Review.
A study of these sta-
tistics reveals a future
for Pulp and Paper
Stocks which the
caii^ful investor can-
not ignore.
As a first step toward
a proper investigation
of these investment
opportunities write to-
day for a copy of the
Greenshields Review.
Greenshields & Co.
Invotmcnl Bsnkcri
14 King Street East, Toronto
Montreal Ottawa
■ ■■■■■■■■■■■■■■■■■■f
THE MONETARY TIMES
Volume 65.
Incidence and Principles of Municipal Taxation'
Practice in Canada in Case of Income, Property, Business, Tenants and
Occupants, and Public Utility Taxes— General and Local Improvement
Rates— The Quebec Education Tax— Some Comments ond Suggestions
By E. T. SAMPSON, F.I.M.T.A.,
Treasurer, OiitremDnt. (Jue.
TAXATION embraces, for the most part, the means by
which the burden of public administration is distributed,
and borne by those who are presumed to benefit by such ad-
ministration. Indirect taxation (customs and excise duties)
was until quite recently the main source of the revenue of the
federal government. Direct taxation (income tax) has now
been established and bids fair to outstrip the indirect in the
not too distant future.
Income tax principles once adopted by the federal
authorities supported with overwhelming precedents from
other countries should be respected by all other public
authorities, particularly municipal, who should now avoid or
abandon this method of raising revenue and leave to the
government the entire field. If this is not always practic-
able, then the principle of precepting should be adopted,
viz.: One authority demanding its quota of tax product from
another authority, which collects in full, and pays thereout
the amounts precepted upon it. The precepts should be paid
on specified dates within the fiscal period and not left until
actual collections are made. The possibility of separate
federal provincial and municipal income taxes seems in-
tolerable to us all.
Real Estate Taxation
The purposes for which taxation on real estate by
municipalities is imposed, are broadly divided into: general
administration; special administration; and local improve-
ment. General administi'ation comprises all the services per-
formed by a municipal corporation that are necessary to its
maintenance and for the health, safety, and comfort of its
residents. They do not require enumeration here. Special
administration may comprise all or any service which may
also be general, and other services, the benefits of which,
however, are limited to special areas of the municipality or
to particular residents. Local improvement may be de-
scribed as any improvement (street, square, sewer, macadam,
sidewalk, etc.), that is constructed or undertaken by a
municipality for the benefit of any particular property or
properties.
Real estate taxes as we all know them in Canada fall
into two divisions: (1) General assesments, the rate of
which is based on the assessed value of the property. (2)
Looal improvement assessments, charged usually upon the
frotitage of the property, or may be upon other bases.
General Assessment Tax
This tax which is common to all Canadian municipalities
is based upon the capital value of the property, the assessed
value of buildings (if any) is shown separate from the land.
Great divergence of practice exists throughout the Dominion
in establishing real estate values. The assessors of some
municipalities claim their assessments to be at true value:
others openly avow a partial valuation only; some again
state their assessments to represent a conservative true
value and admit there is an indeterminate margin between
their figures and actual market values. As many writers
have often stated, this want of uniformity renders im-
possible any accurate comparison between municipalities,
either of assessments or tax rates and products.
The history of Canadian municipal taxation during the
war period, particularly in ?he western provinces, has proved
*An addi'ess before the I'nion of Canadian Municipali-
ties' convention, Quebec. July 27-29, 1920.
the failure of taxation on land only, a form of taxation much
favored during the boom period (1909 to 1913). The whole-
sale abandonment for tax arrears of many outlying town
lots by their pi'oprietors, forced many municipalities to re-
turn to the practice of assessment of buildings in addition,
and where reduced assessment of buildings was in vogue,
then to a considerable augmentation of these assessments.
Not many tears need be shed over these pseudo single tax
principles; the altruistic spirit of the reformer (Henry
George) was wanting in the whole enterprise; one section of
proprietoi's placing on others a greater burden than their
own, was inevitable.
Transfer of Incidence to Annual Value
".Ability to pay and taxation in proportion to benefits re-
ceived" have now come to be recognized as two very sane
guiding principles. To bring, however, these principles fully
into practical utility, it will be necessary to revolutionize the
incidence of the tax, and the basis of assessment. Reversion
to assessment of annual value (or earning power) of all tax-
able properties is here recommended as a practical means of
accomplishing this object.
A tax based on assessed annual value of a property will
certainly become a charge upon the occupant (be he owner
or tenant). There is no reason, however, that an owner of
property be not held jointly responsible with his tenant for
this tax, and that the taxes thus imposed become privileged
claims upon the property in the same manner as the
present real estate taxes. When property became untenant-
ed, some measure of relief from the tax would surely be
sought by its owner. A carefully prepared scale of abate-
ments would have to be prepared in order to meet this con-
tingency.
Undeveloped vacant land under this proposed basis
would bear little of this tax burden. To offset this feature,
an "increment tax" or tax on sale profits, would be very
effective and desirable. An arbitrai'y percentage of sale
profits would have to be established. This could be approxi-
mated after the product of the annual tax had been
established, viz.: The unprovided balance, necessary to meet
the expenditures of the municipalities. (This is not a
radical refonn when we consider that present taxes on vacant
undeveloped land correspond to annual payments in advance
from the profits the land speculator anticipates he will
eventually receive).
Assessable Properties
Many valuable precedents in assessments on annual
value are obtainable from Britain and other European
countries. Many intangible forms of wealth would be in-
cluded in the basis of assessment; a broad list of the assess-
able properties would be: Land, occupied or unoccupied;
land and buildings, occupied or unoccupied; rights and
privileges on land (passage, sporting, substitutions, ad-
vertisement hoardings, etc.), saleable timber quarries and
mines, public utilities (right-of-way, etc.), including rail-
ways and tramways, gas and electric, water, telephone and
other utilities.
The assessment of public utilities for municipal taxa-
tion purposes requires very careful study. Gross profit less
operating cost is much favored in Britain, and the assess-
able profit is distributed among interested municipalities,
cither upon the basis of proportion of track mileage, etc., or
upon a proportion of earnings made in each municipality.
September .", 1920
THE MONETARY TIMES
Dkbenttjhes for Sale
TENDERS FOR DEBENTURES
Sealed tenders, endorsed "Tenders for Debentures," will
be received by the undersigned up to Twelve o'clock noon,
Tuesday, the seventh day of September, A.D. 1920, for the
whole or part of the following debentures, dated July 19th,
1920, bearing interest at the rate of six per cent., payable
yearly: —
By-law No, 325 $26,248.95 30 years
" 326 23,150.61 30 years
" 327 6,641.24 20 vears
" 328 808.57 7 years
Delivery, Winnipeg. Interest and principal payable at
Winnipeg, Toronto and Montreal.
The highest or any tender not necessarily accepted.
WILLIAM BALLARD,
Secretary-Treasurer, Rural Municipality
213 West Kildonan, Man.
Dividends and Notices^
DIVIDEND NOTICE
CANADIAN GENERAL ELECTRIC CO.. Ll.MITED
COMMON STOCK DIVIDEND No. 85
Notice is hereby given that a Quarterly Dividend of two
per cent, for the three months ending the thirtieth day of
September, 1920, being at the rate of eight per cent, per
annum, has been declared on . the Common Stock of the
Company.
PREFERENCE STOCK DIVIDEND No. 49
Notice is also given that a half-yearly Dividend of three
and one-half per cent, for the six months ending the thirtieth
day of September, 1920, being at the rate of seven per cent,
per annum, has been declared on the Preference Stock of
the Company.
The above Dividends are payable on and after the first
day of October, 1020, to Shareholders of record at the close
of business on the fifteenth day of September, 1920.
By Order of the Board.
W. H. NESBITT,
Secretary.
Toronto, August 26th, 1920. ' 217
Condensed Advertisements
•Ic. per word. Minii
FULLY-QUALIFIED CHARTEKKD ACCOl N IAN T
desires to become associated with progressive orgniiizalion
as accountant or auditor, or similar po.sition of authority.
Available October 1st. For full particulars addre.-is Box 32!*.
Monetary Times, Toronto.
BRITISH Tariff company about to open in Canada
- iirepared to appoint Manager experienced in Fire busi-
ness and with good organizing powers. Applications invited,
stating age, experience, salary required, etc.. etc.. to X. Y. Z.,
care of 77i,- .l/oi/r/m Tinirs, 62 Church Street, Toronto. 218
DEPARTMENT OF CUSTOMS AND INLAND REVENUE
NOTICE
To Manufacturers, Wholesalers
and Retailers
XIOTICE is hereby given to all concerned, that
Returns, accompsnied by remittance of Luxury
and Excise Taxes, must be made as follows to the
local Collector of Inland Revenue from whom any
information desired may be obtained.
Returns of Luxury T^x must be made on the first and
fifteenth day of each month.
Returns of Jcwclleia' Tag, Manufacturers Tax. and
SiilcB Tux must be made not later than the last day of
Uie month following the month covered by the return.
Returns for Taxes in Arrears must be made forthwith.
otherwise the penally provided by law will be enforced.
By order of thr
DtPART.MENT OF CUSTOMS AND INLJiiND REVENUE
CEO E. DUNBAR.
Collector of Inland Revenue,
TORONTO
^^m&jf^
" Security First
EXCELSIOR
.NSURANCE LI FE COMPANY
.■\ Stroni; L.in;nlijn Con'p.inv
«lni' lliinilre<l anal Tlilrl.t -Our
ILilljiro III (»rl<. riir I'Mri
II Irril l>iillar> nl
Llalilllly.
HEAP ori-icii
EXCELSIOR LIFE BUILDING
A.lrlnidr »nd Totonlr. Sl.fel.
TORONTO - CANADA
WANTED
An experienced llie insurance man for Western
Canada, capable of organizing, underwrilinR
and handling I lead Office detail of Board
Company. Lxcellcnt prospcct.-t for advance-
ment. /\pply giving experience, salary ex-
pected and references to
BOX 333, MONETARY TIMES,
Toronto, Ontario.
.'Ml applications ticaled as confidential.
THE MONETARY TIMES
Volume 65.
Quarries and mines are usually assessed upon annual out-
put.
Objections may be made by municipal officers to this
proposed taxation of occupants, on the grounds of increased
difficulties and time required to obtain collection. This objec-
tion will particularly arise in the larger cities and urban
municipalities. To meet this objection, a system of tax col-
lection by bankers, through their branches, is here recom-
mended. The relief thus felt in tax collection departments
would considerably more than offset the multiplication in
assessments.
Permanently exempt properties as at present existing
should remain exempt from the assessment on annual value.
Increment Tax Product
The product of an increment tax would naturally be very
variable, rendering forecasting for the budget practically im-
possible, particularly in municipalities only partially de-
veloped. To overcome this difficulty, it would be advisable
to appropriate the established product of this tax to revenue
of the subsequent year after collection.
The revenue derived from this tax would form an ex-
cellent indication of the extent of further development a
municipality may wisely undertake.
The advantages of changing the basis of municipal
assessments to annual value based on earning power may be
summarized as follows: —
1. Stabilises the tax product.
2. Conforms to and brings to practical result the ac-
cepted principles of: .Ability to pay, and taxation in pro-
portion to benefits received.
.3. Eliminates the speculative element from municipal
assessments.
4. Discourages over-development by placing the burden
of charges arising therefrom directly upon the residents.
T). Conversely encourages legitimate development.
6. Uniformity in municipal assessments attained.
Education 'I'axation in (Juehcc
This part of the subject seems unfortunately beset with
many peculiar difficulties and problems. The following
method is here suggestive only: Taxes for purposes of
education to form part of the tax for general municipal ad-
ministration purposes.
The local education authorities of each municipality to
duly ascertain their financial requirements for the forthcom-
ing year (for which the tax is to be imposed). The local
education authorities shall submit the estimate of their
financial requirements to the provincial education depart-
ment.
The provincial education department shall examine and
certify if satisfactory. The department's supervision shall
be exercised for the following objects: — (1) To maintain
equity between the panels. (2) To insist upon proper pro-
vision being made for all educational requirements. (3) To
suppress illegal, unauthorized and unnecessary expenditures.
(Code of regulations hereon would be very desirable).
Whenever the demands contained in the estimate of one
panel of a municipality are out of proportion to the demands
of another panel of the same municipality, the education de-
partment shall add to the estimate of the panel effecting
economies an amount equal to the economies effected (but
should at the same time distinctly enumerate these
economics). The amount thus added to be applied to all or
any of the following purposes:— (1 ) Increased remuneration
to personnel. (2) Establishment and maintenance of super-
annuation fund for personnel. (3) Maintenance or improve-
ment of any of the institutions owned or controlled by the
local education authority.
The provincial education department to forward to the
clerk of the municipality a copy of its certificates authoriz-
ing the provision of the funds necessary to meet the ap-
proved demands contained in the estimates of the local
education authorities.
The municipality upon receipt of the certified demands \
shall include such amounts in the budget of its next tax
levy for general municipal purposes, and shall collect same
as part of the general municipal tax.
The municipality shall further pay to the local educa-
tion authorities on dates to be specified on the said certificate
or (precept) instalments of the amount (or the whole in one
amount) as thus precepted.
Local Improvement Taxation
Local improvement assessment wherever in force is
generally based on the "division of the annual loan charges
of the total capitalized cost of the improvements, upon the
several properties benefitting, according to frontage."
The tax is thus a fixed annual charge (or a diminishing
annual charge, according to whatever method of repayment
of principal that has been adopted) upon the properties
assessed.
The tax is further susceptible of commutation and
whenever a sheriff's sale of any such property occurs, then
the commuted amount of the local improvement taxes there-
on must be claimed in addition to whatever taxes then re-
maining due.
Arbitrary rebates of flankage and of intersecting street
frontage are allowed by some municipalities. In actual prac-
tice, it is often found that some properties are more heavily
burdened than others for improvements identically similar.
This is explained by the fact that the cost of improvement
work is continually changing (for the last decade it has been
continuously increasing).
Suggested Averaged Local Improvement Tax
While there may be justification for saddling each pro-
perty with the cost of its particular improvement, especldly
of properties that offer peculiar difficulties of development,
it yet appears more equitable to charge only the averaged
annual cost of each class of improvement upon all properties
provided with such improvement benefits.
The local improvement taxes would thus become annual
taxes variable and not susceptible to commutation (and by
specific amendment necessary to be made in municipal law)
not eliminated by sheriff's sale.
Inasmuch as maintenance, repairs, and renewals of a'l
local improvements are generally a charge upon the general
municipal fund of a municipality and are defrayed out of the
general municipal tax, to which unimproved properties con-
tribute in proportion to their assessments, there is thus suf-
ficient justification to assess all properties enjoying local
improvement benefits to averaged local improvement taxes,
until all the respective local improvement loans of the
municipality have been redeemed or provided for.
That portion of the local improvement taxes of a
municipality representing repayments of principal (includ-
ing sinking fund instalment) should be credited in total in
the books of municipality either to the sinking fund or to
whatever account or fund that is established for the reduc-
tion or extinction of the loan, even the requirements of the
specific loan by-laws do not require such an extensive pro-
vision.
Business Taxes
This form of taxation appears to be a ready means of
raising revenue for a municipality, particularly so when
business is prosperous. It has the following undesirable
features: — (1) Restraining trade. (2) Difficult to establish
equitable assessment basis.
.A.11 benefits of imposition are capable of preservation
by the enhanced value of the property on account of the
business. This would be more obvious if assessments were
based on earning power.
The tenants' and occupants' tax which is provided for
in the municipal law of Quebec is limited to S*"/ of the annual
value of the assessed dwelling, would necessarily disappear,
or rather be merged with the general municipal tax if the
incidence as here recommended were changed to occupation.
September 3, 1920 T H E M O N E T A R Y T I M E S 29
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I CHARTERED ACCOUNTANTS \
^iiiiiiiiiiiiiiiiniiiinMiiiiMiMiiininiiiiiiiiMiiiiiiiiiiiiiMiiiniiiiiiiiiiiiiiiiiiMiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiniiiiiuiiiiinMiiiuiiniiniininiiiiii^
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
()I-F1C1:S AT
Edmontun Alberta
Toronto - Ont.
CHARLES D. CORBOULD
Chartered Accountant and Auditor
ONTARIO AND MANITOBA
S48 Somerset Block. Winnipeg
HARBINSON & ALLEN
CharlrrcJ Accounlunii
408 Manning Chambers
TORONTO
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Specialist on Taxation Problems
Bank of Toronto Chambers
LONDON - ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
I- ■ i..ti;i-h^j 1
W. A. Henderson & Co.
Charlrrtd Accountants
508-509 Electric Railway Chamberi
Winnipeg, Man.
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:-
HAMILTON
WINNIPEG
CLEVELAND
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 Confederation Life Building
Winnipeg
SERVICE
Thome, Mulholland, Howson & McPherson
CHARTERED ACCOUNTANTS
TORONTO
Hubert Reade & Company
Chartered Accountant*
Auditors. Etc.
407 408 MONTREAL TRUST BUILDING
WINNIPEG
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Mnin 7014
LUMSDEN BUILDING - - TORONTO, CANADA
RONALD, GRIGGS & CO.
RONALD, MERRETT, CRICCS & CO.
Winnipet, Toronto, Saikatoon.Mooe Jaw,
Montreal, New York, London. Enf.
CLARKSON, GORDON & DILWORTH
Chartered Accountnnta. fruBtcea.
Rece'vcm. Linuidntora
Merchants Bank Bldg.. IS Wellington Street Wc.t ToronI
or Ci»rl<%
lv,t..hli'.h.J lN<-.( H J, l)iU,i„
F. C.S. TURNER & CO.
Chnrlored Accountanta
TRUST & LOAN BUILDING. WINNIPEG
Your card here would emurc il heine iff» hy ihe principal
financial and commercial inlerrsti in Canada.
Aih about special r.iirs for this pace.
RUTHERFORD WILLIAMSON k CO.
Ch^rKrtd AccoiiHl.inli. Trutltemnd
IR AiitLiiDi: SmrtT B»i.t TOHONTO
(10« Mclili.l But.niKO. MONrHHAL
Cahlc Adilrt.«-" WILLCO."
Kcprewnted m Halifax. St. John. WinniptR.
THE MONETARY TIMES
Volume 65.
YEAR'S TRADE BALANCE IS ADVERSE
Latest Statement Shows Decline in Exports to Several
Countries — Business with United Kingdom Not So
Favorable to Canada — Other Foreign Trade
Continues Satisfactory
FOR the twelve months ended July, 1920, Canada's trade
statement shows less favorable results than in the pre-
vious report. Total imports, which for the twelve months
ended June, 1920, were about $1,210,000,000, for the period
at the end of July were $1,253,000,000, while total exports,
which were $1,276,311,542 at the end of June, were $1,264,-
463,537 at the end of July.
Our trade with the United States has assumed a more
favorable aspect in regard to exports, but with the United
Kingdom the situation is not so cheerful. Foreign trade con-
tinues to show favorable results with the exception of one
or two countries, including France and Japan. In, rcgai-d to
trading with the latter country, Seizaburo Shimizu, consul-
general of Japan, was in Ottawa recently, and while there
he stated that there is an opportunity for Canada as a whole
to cultivate a more general business that is to be done be-
tween the country which he represents and the American
continent. He pointed out that steel and iron in ingots and
n.anufactures, such as rails and different kinds of construc-
ion materials, shipped from Canada to Japan during the
year 1919. constituted the largest item of business of that
year, amounting to something over six million dollars.
The following table, prepared by the Dominion Bureau
of Statistics, sets forth the general trade situation in a com-
prehensive manner: — ,
Imports foi
Dutiable Goods..
Free Goods
Consumption
Total imports (mdse.) .
Duty collected
Twelve Months ending July
Total exports (mdse.)
Imports by Countrie
United Kingdom
Australia
British East Indies
British Guiana
British South Africa
British West Indies
Hont! KonR
Newfoundland .,
New Zealand
Other Britisl) Empire
Artientine Republic
Beliiium
1918
S
522.826.642
3»2,()58,349
1919
s
529.%8.S97
340,822,094
1920
»
821,457,699
431.734,0:i6
9U,885.I91 870,850,691
l.ai3.l91,73S
157,049.272 154.934,971
208.001,705
1,393,006,040 1.213.494,777
42,916.815 59.948.495
1,223,720.624
40.742.913
1,435,922.855 , 1 ,27.f,443.2T.: | l,264.4f 3,537
Br:
China
Cuba
France
Greece
Italy
Japsn
Netherlands
United States i.
Other Foreign Countries
F.XPORTS nV COUNTRIBS
(Canadian Produce only.)
United Kingdom
Australia
British Kast Indies
British Guiana
British South Africa
British West Indies
Hong Kong
Newfoundland.
Ne
Zc
and
■ Br
sh Kmpiri-
France
Greece
Italy
Japan
NethcrLinds
Initcd States
Other Foreign Count
72.338,476
2,382,575
17,977,845
5.648.822
985.212
8,981.768
2.348.541
3,108,619
4,826,213
1.867,436
1,020,499
16,059
842.609
1. 751 .800
1.7.51.625
4..537,4IS
19,386
682,988
13.839,229
790,668
7,52,806.5.W
16.360.850
744,380„5.^
11.059,338
3,.50O,046
2..Sa0.437
7.28.5.815
8.642.093
728,510
11.019.549
4.767.245
2.2(19,497
l.SOfl.748
2.TJ9,971
1.171.492
2,286,869
3.978,088
I.S»,.597.16S
4.262
5.789.2a5
6..589,.544
2.226.763
411.860.008
8.148.847
75,617,003
4,88.5,918
13.833.093
7.941,737
1,066.512
8.918..580
1,748,304
2,718,001
7.019,187
6:<2,.565
1.365,320
11.429
1.295.623
1.352.697
4.349,865
4.113,811
14,248
476,001
12,643,176
678,081
694,851,715
25.417,825
555.697,6
13,706.4
4,640,0
2,32!).7
10,3,VI.«
9.691,1
l.024,li
12,173.4
6.212.1!
6,368.li
5.605.:l
2.3S5.C
4.389,!
3.342.4
S,794,«
80,945."
2.686.!
17.365.:
II.6I.').(
2.026.1
431.6.53.5
2:1.484.:
191.932.a54
1.479,257
18.848.911
6.795,850
.562,717
15,443,325
4,674.980
2,789,718
3,884,223
1,510,840
4,286,047
2,519,751
2,511.986
1.722.035
30,.523,709
17,:t20,828
945,763
l,563.««
IS.I.tn.072
;<,082,270
881,147.129
44.516.635
LIABILITY ON UNPAID LOAN SHARES
Shareholders in Provincial Permanent Loan Co. Who Had
Received Partly-Paid Shares in Dominion Permanent
Loan, Held Liable For Full Amount
WHEN the shareholders of one company accept shares
in another, and certificates for whole shares in the
latter company are issued for fractional shares in the former
company, such shareholders are liable to the extent of the
amounts unpaid on such shares, according to a decision of
the Ontario Supreme Court a few weeks ago. The facts of
the case are that in April, 1902, an agreement was drawn up,
which later became valid and effectual, by which the share-
holders of the Provincial Permanent Loan Co. accepted stock
in the Dominion company of the same name, paid up by
the transfer of assets. One clause of the agreement pro-
vided "in case the am'ount of stock ... to which any share-
holders ... is entitled is a fraction of a share or a num-
ber of shares and a fraction, then in either of such cases
the stock to be issued for such fraction shall be one share
with the amount of such fraction paid-up, and the share-
holder to whom such stock is allotted shall have the privilege
of paying up the balance of such share of stock so issued."
Held Full Shares Only
In his judgment. Justice Middleton says in part: "What
I regard as of vital importance is that no attempt was ■
made to constitute the shareholders of the Provincial holders
of fractions of shares or of fully paid up shares for uneven
amounts, but by the terms of the agreeement these share-
sholders became holders of shares for $100 on which the
named amount was paid.
"Under the statute then in force, the Loan Corporations
Act: -'No shareholders shall be liable for or chargeable in
respect of permanent shares with the payment of any debt'
or demand due by the corporation, save 6nly to the extent
of the amount unpaid on his shares in the capital stock of
the corporation.'
Liable to Creditors at Least
"What was done in this case was to issue $100 shares
upon which a certain sum was paid up. These shares were
accepted; and even if the unpaid balance could not have been
called in by the company by reason of the wording of tne
agreement which gave the privilege of payment to the share-
holder, the shareholder would z-emain liable to the creditors
by virtue of the statute until the full amount should be
paid."
Justice Lachford also says: "As between the company
and the holders of a share on which but a fraction of the
par value had been paid, it is a matter of contract un-
equivocally expressed that the holder could not be compelled
to pay the balance unpaid on such a share. He had the
option of paying the balance, but none of the shareholder.'
affected by this appeal had exercised that option. Each held
a share paid for but in part and in part unpaid for. Tc
the extent of the amount unpaid, the statute, in my opinion
renders the holder liable."
HAIL COMPANY HAS GOOD YEAR
The Agricultural Insurance Co., Ltd., Regina, reporti
success in its initial year's business. During the past seasoi
it wrote $1,250,000 of hail insurance, yielding gross pre
miums of $73,000, of which $52,000 was paid to reinsuranci
companies. After paying all losses, commissions to agenti
and all costs of operation the company made a net profit oi
hail of $12,000. The company has written $600,000 fire in
surance and has yet to record its first loss. J. H. Mitchell
of Bell and Mitchell, secretary of the company, said that th
success was due to the loyalty of the farmers to the insti
tution in which they had invested. The company has at pre
sent close on a thousand shareholders, and many of those whi
invested only a small sum are now seeking to increase thei
holdings to the maximum allowed, namely, twenty-five shares
September 3. 1920
THE MONETARY TIMES
31
diiiniiiiriiiiiiMiiiiiiMihiiniiniiiiiiMiiiMiMiiMiMiiiiiiiiiiiiMiiiiMiiiniiMiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiniMiiiiiiiiiiiiiiiiiniiiiuiiiiMiiiiiiii^
I REPRESENTATIVE LEGAL FIRMS |
liliiiiiiiiiiiiiiiuininMMiiiiiiiiiiiiMiiiiiiniiiHMiiiiiiiiiiniiiiiiiiiniiiiiMiiiiiiiiiinniiMiiiiiiiiiiiiiinniMiiiiiuiiiuiiMiiiiiMiiHiiiiiiiiiiiM
BRANDON
J. p. Kilgour. K.C.
R. H. McQuee
G. H.
Roster
KILGOUR, FOSTER &
McQueen |
Barriiteri, Solicitors, Etc.,
Brandon
Man.
Solicitors for the Bank of
Royal Bank of Canada. Han
and Loan Society. North
Assurance Company.
Montrea
nilton Pro
The
vidcnt
n Life
LETHBRIDGE, Alta.
Conybeare, Church & Davidson
Barristers, Solicitors. Etc.
Solicitors for Bank of .Montreal. The Trust
.ind Loan Co of Canada. British Canadian
Trust Co.. &c.. 4c.
C. 1-. I'- Conybeare. K.C, H W. Church. M.A.
R. K. Davidion. LL.B.
Lethbridse • • Alta.
PRINCE ALBERT
COLIN E. BAKER, B.A.
Solicitor for the City of Prince Albert
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F.
Ad.
ims, K.C.
Bank of M
ontre
al BIdg.
CALGARY
-
ALTA.
W. p. W.Lent Alex.B.Mackay, MA. .LL.B.
H. D. .Mann. .MA. LL.B.
LENT, MACKAY & MANN
Barrimrrii, solicitors. .Votarle.s, £!«•
305 Grain Exchange BWr . Calgary. Alberta
Cable Addreta.' Lenio." Western VnionCode
Solicitors for The Standard Bank of Canada,
The Northern Trusts Co. Associated Mort-
aace Investnr^^^c^
Hon. Sir James Lougheed. K.C. K.C.M.G..
R. B. Bennett. K.C. J. C Brokovbki.. K.C
A. M. Sinclair. K.C. D. L. Redman. H. E.
Forster. P. D. McAlpinc. O. H. E. .Might. L.
M. Roberts. 'Cable Address "Loughnutf)
UOUtiHEED, BENNETT ^fe CO.
Barristers. Solicitors, Etc.
Qiwence Block, 122 Eighth Avenue Wc.l
CALGARY. ALBERTA. CANADA
J. A. Wright. LL.B. C. A Wright. B.CL.
WRIGHT & WRIGHT
Barristers, Solicitors, Notaries, Etc.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. A.C. Rutherford. K.C.LL.D.
P.O. Jamieson.K.C. Cha». H. Grant
S. H.McCuaig Cecil Rutherford
RUTHERFORD, JAMIESON
8c GRANT
Barrittert, Solicitor!, Etc.
514-18 McLeoJ Bldg. Edmonton, Albsrli
JOHNSTONE & RITCHIE
Barriitert, Solicitors, Noturiei
LETHBRIDGE - Alberta
REGINA
MEDICINE HAT
I,. I. II 1.1. Si , LL H. J \'. Sri'i. HT !•• A
LONG & SLEIGHT
Barriitert, etc.
MEDICINE HAT *nd BROOKS, Alta.
MOOSE JAW
Willuini C.r.u-on. K C T. J Kn.vrsun
Lester McT.itK.irt
Grayson, Emerson & McTaggart
Barristers. Etc.
Solicitors— Bank of .Montreal
Canadian Bunk of Commerce
Moose Jaw - Saskatchewan
NEW WESTMINSTER
JOHN W. DIXIE
liarristtr and Solicitur
405 Wettminster Trust Building
NEW WESTMINSTER. B.C.
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
Called to Ontario lijr IKHO. Sew V.irk Bar IRK2
ELLISON. ELLISON & ERASER
Hi.", MrosiK'iir, ^<•" inri.
ELLISON. GOLDSMITH & ALLEN
'i.'>l «>«l loilh m.. ^rw »<irk
A. L Gordon. K C H. H. Gordon. B.CL.
H.E. Kcown K 1'. Collins
Gordon. Gordon, Keown
and Collins
Barriitert, Solicitort, &c.
Aldon Building, REGINA, Satk.
Solicitors for Imperial H.ink of Canada
SASKATOON
C. L DlniK. B A H M w Ahii.iKO
DURIE & WAKELING
Itarrixrm itnil Sullrllor*
SnIicilorfcfOi the Bank of Ha
.Monarch Life AssurJ
Csnailn Bulldlne
Co. The
ceCo.
Saakstoon, <'jinsdH
Ch.i- 0 Locke
LOCKE & McAUGHEY
Barriitrrt, Solicitor!, Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
l; L K. ul, li C
1;,., ,1 (1 Cihuon
BOWSER, REID, V'ALLBRIDGE
DOUGLAS & GIBSON
Barristers. Solicitors. Etc.
Solicitor, for Bank of Montreal (Bank o(
Briti".h North America Branch)
Yorktiiire BoiUiif. 52SS«rao«r Si.. VancaiTtr, B.C.
VICTORIA
,\ I- DIM. Ill'
~
II M I.IDI
(K.C. r.ir Alhcrtai
.Mi-i.
bcr o( .Manil.il'a
Member of Nova Sc.
and
Uriti.h Columtaa
tia. Alberta and Brit.
Barl
i«h C.ilunibi.i B.ir-.
DUNLOP
&
FOOT
UnrrialTH.
So
1 <- i 1 o r K
Nolnrira niicl C
(,iri
niiMoitxicrn
612-61.1 Snr
wnr^
Bld«.
Victoria. Bnti.h t
olun
bi.. C.n»d»
J. A. THOMPSON & CO.
Government and Municipal Securities
Wmrrn Muillrlpal. School and Hn.k«U-l.r« an Kural Trie.
Iilioiir «o. drlirnlarrii «prrlnll/.eil in.
COHRRSPONDRSCR INVITKI)
Union Bank Building - WINNIPEG
MAHAN-WESTMAN, LIMITED
FINANCt INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
I)r J.W. MAHAN JAWH8TMAN
IVcMdrnt .Man.,B.ni! Dirrclor
32
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
Another New Pulp and Paper Concern to Locate in Quebec Province— Steel Rolling
Mill for Manitoba— Will Utilize Western Coal— Million Dollar Fur Pack Reaches
Alberta from Northern Trading Posts — Canadian Woollen Mills Receive
Large Orders from Roumania — Rope Factory to Open in New Westminster
ANEW company, under the name of the Manouan Pulp
and Paper Limited, has been incorporated under the
laws of Quebec to operate in the province. A brief notice
to this effect was contained in these columns last week, to-
gether with the names of the directors. The company pro-
poses to acquire a power known as "Allard Falls" on the St.
Maurice River, above La Tuque, which has about 38,000 h.p.,
and also a mill site of about 1,590 aci-es at the same location.
Only about 9,000 h.p. will be necessary for present needs
for the proposed 100-ton ground wood mill. A highly-qualified
engineer states that, owing to the natural formation of the
suiToundings, power can be developed at a much less cost'
than any other on the river. At the power site the waterfall
is arrested by two islands of granite formation, thus facili-
tating hydro development and providing ideal anchorage for
the dam. It is the last remaining power of magnitude on the
St. Maurice which is possible of development on an eco-
nomical basis. The Transcontinental Railway parallels the
river at this point and runs directly through the mill site,
assuring economical shipping facilities.
The company will acquire two tracts of timber on the
Manouan River containing approximately 100,000 acres, and
estimated conservatively to contain 1,380,000 cords of spruce
and balsam pulpwood, and in addition 17,000,000 feet, B.M.,
of pine. There is also estimated to be about 70,000 cords of
other woods suitable for pulp and a very considerable quan-
tity of birch, etc. A feature of these limits is the small
quantity of balsam as compared with Spruce, it being esti-
mated that there is not more than 2 per cent, to 7 per cent.
balsam. It is a recognized fact that spruce is superior for
groundwood pulp purposes.
It is estimated that the timber available from the limits
and surrounding territoiy will ensure a supply for the pro-
posed 100-ton mill for a period of about sixty years. An
issue of bonds and debentures, which is being offered by a
Montreal financial house, particulars of which are given else-
where in this issue, will supply the capital required for all
construction, logging operations and working capital. The
most ample provision has been made in this regard, it being
deemed desirable by the directors to be rather over than
under estimated requirements.
Xlanitoba Steel Rolling Mill
Formal opening of the new open-hearth furnace plant
for the use of pulverized coal in the manufacture of steel
took place at the plant of the Manitoba Rolling Mills Com-
pany at Selkirk, Man., on August 26th. The plant, which has
just been completed, is a building of a large white brick,
and has been constructed at an approximate cost of $200,000,
bringing the total investment of the rolling mill well up to
$1,000,000. A fifteen-ton McLain-Carter open-hearth furnace
has been installed, the most modern of its kind and the first
in Canada, and the plant is equipped with three fifteen-ton
ladles and a huge electric crane, making the complete equip-
ment a replica of the most advanced steel factories of the
continent. This, when operating at full capacity, which will
be in three weeks' time or less, will produce from four to
six heats per twenty-four hours, or from 60 to 00 tons of
steel ingots per day.
Scrap iron, mixed with a small quantity of iron ore,
ferro manganese and ferro silicon, make the ingedients of
the steel manufactured by this process which has proven
itself to be cheaper and better than Bessemer steel in every
way. Soft conl, of certain grades only, from the western
mines will be used.
Speaking of the new plant, T. R. Deacon, president of
the company, said: "We hope for the present to relieve the
shortage of reinfoi-cing steel and steel bars in the prairie
provinces, and when running to full capacity expect to turn
out from 60 to 90 tons of steel ingots per day. Our market
is more than assured, as we will supply railway companies
and manufacturing companies in all parts of the west. As
for our supply of scrap iron, we have no fear of running
short on that. At the present time there is a supply two
and a half times as great as we need available, though the
Duluth iron manufacturing plant is a serious competitor for
the purchase of western scrap iron."
Denies Establishment of Nickel Plant
J. L. Agnew, vice-president of the International Nickel
Company, announced on August 26th that there was nothing
in the report given out in Toronto on the authority of Frank
L. Culver that a $3,000,000 rolling plant would be established
by the company at Sudbury, Copper Cliff or Port Colborne.
This project has been mooted for some time, owing to the
inconvenience which the company has sustained fi'om having
to send the metal to customs mills at Bayonne, N.J., to
undergo the rolling process, but it is considered that the
construction of such a plant in Canada, especially in the Sud-
bury district at the present time, would be impracticable.
Mr. Agnew stated that if a rolling plant were built it would
have to be so situated that the securing of pure oil, free from
sulphur, at first hand, would be an easy matter. No con-
clusion has as yet been arrived at as to the location of the
rolling mill when it has been decided to build one, but it is
practically certain that it will not be built at Sudbury or
Copper Cliff.
Good Fur Pack in North
About a million dollars' worth of raw furs has just
reached Edmonton, Alta., from the far north, representing
the annual pack of the Hudson's Bay and Northern Trading
Companies from their Mackenzie River and Arctic coast
posts. It came in over the A. and G.W. Railway from Fort
McMurray, having been brought to that point by the steam-
ers operated on the northern water route by the two com-
panies. C. T. Christie was in charge of the fur cargoes for
the Hudson's Bay Company and A. L. Sawle for the Northern
Trading Company. Both made the trip to the end of the line,
Mr. Sawle going as far as Scenic, 100 miles past Fort Mc-
Pherson, and both brought down their year's fur catch with-
out the loss of a single skin.
In quantity and quality the 1920 fur pack from the far
north is declared to be a good average and somewhat ahead
of last year. Mink, marten, white fox, beaver and rats are
in the majority, with rats perhaps the leader because of the
unusually high prices paid this past year for that particular
fur. Both companies w\\\ shortly reship their packs to Lon-
don, where they will be sold on the market. The Northern
Trading will assort and repack the lot, but the Hudson's Bay
will forward dii-ect as received, to be sorted out in London
for final selling. Shipment will be made as soon as possible.
The Hudson's Bay furs, totalling between twelve and
thirteen tons, have come from the Mackenzie, Coronation
Gulf, Lsiird River and West Arctic posts. The Herschel Island
post has not contributed to the present pack, but %vill have
a good catch to send down next time. Mackenzie River, Tree
River and Coronation Gulf posts furnished the Northern
Trading Company's cargo. This companys steamer made
the first trip on record to Scenic, well down the Mackenzie
delta, and there gathered up a good supply of furs that the
Eskimo huskies had caught in the near-Ai'ctic wilds. The
Northern Trading Company's pack is the largest and best
September 3, 1920
THE MONETARY TIMES
33
The Imperial
Guarantee and Accident
Insurance Compeiny
of Canada
Head Office. 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident Insurance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - . S'JCXt.CHXt.tlO
Authorized Capital - - $1,000.00(1.00
Subscribed Capita! - • SI.00O,0iK).O0
Government Deposits Slll,00<j.()0
I OlVPlOM GUARANTEE AND
*-• ^^^ '■^ *--' ^-' ^^ ACCIDENT COY.. Limited
Head Office fc
Canada
Toronto
nploycri' Liability, BIcvalor. Contfiict. Personal Accident. Fidelity
Guarantee. Internal Kevenue. Sickness. Court tionds,
Teams an.l A.itomobile.
AND FIRE INSURANCE
IT PAYS TO INSURE YOUR AUTOMOBILE
UITH
The Canadian Surety Company
Mdximiini Scrvi
Mirumuni Cost.
CANADIAN STRONG PROGRESSIVE
FIRE INSURANCE
AT TARIFF RATES
gpHJi
Automobile— 1 920"SecLSon
Policies to cover ANY or ALL motoring risks
ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
82-88 King Street East, Toronto
Commercial Union Assurance Co.
Limited, of London. England
Capital Fully Subscribed 8 14.750.()«0
Capital Paid Up 7,375.000
Total Annual Income Exceeds 75.000,000
Total Funds Exceed 209,000,000
Head onire Canailian Rranrli :
COMMERCIAL UNION BUILDING MONTREAL
W. S. JOI'LI.NG. MANAr.KK
Toronto Office - 49 Wellington Street East
GBO. R. HAROKAFT, General ABcnl for Toronto and County ol York
THE EMPLOYERS'
LIABILITY ASSURANCE CORPORATION
OF LONDON, ENG. limited
ISSUES
Personal Accidetit Sickness
Employers' Liability Automobile
Workmen's Compensation Fidelity Guar.nntee
and Fire liisiiraiice Policies
C. W. I. WOODLAND
General Manaj^er for Canada and Ncwiouiidlund
Lewis BiiililinK.
MoNTKi: \I,
JOHN JKNKINS.
I'ire Maii.igcT
Tetnple HldR
TiiKdNTd
GcDctal
Fire
Intorince
$500,000
T\ Company
GI»i ,
Bur|l«r7 I
A. B. Hab. Vice-President
J. O. Meun. Sec. -Trcas.
Good Oper
VWlKNIfl-r,M\\!(<>KA,
Aulonobiia
Iniurancc
Fire and
Theft
Liability
I'roprrlr
Boiler
E>ploiioa
lOlh Floor, Electric Railway Cbambert
ea for Live Aacnta
Business Men
Will Tell You
Ihal the more innncv (here i* in
Caoidi the bcKcr il i> liir ctcrvmc.
mil- KKKP VOUR MONEY IN
CAS AD \ Im iniiir.ni in
THE CANADIAN FIRE INSURANCE CO.
HEAD OFFICE . WINNIPEG AGENTS EVERYWHERE
THE MONETARY TIMES
Volume 65.
it has yet secured from its Mackenzie posts and makes up
about 100 bales.
Canadian Woollens for Roumania
Allotment has ri^cently been made anions Canadian
woollen mills of orders totalling about $7,500,000 from Rou-
mania. This amount represents several contracts from that
countiy, including a large order from the Roumanian gov-
ernment for khaki frieze and serge, and $500,000 for knit
goods, principally heavy woollen socks, sweaters, jerseys,
and hosiery. The fabrics are, for the most part, blanket
cloth, curl cloth and oxford tweeds of a heavy character
in small demand for the domestic market and the order, com-
ing at a time when the Canadian mills had practically com-
pleted deliveries under the contract with Greece, will keep
in full operation for some months Canadian woollen manu-
factories, the capacity of which were largely expanded to
meet war demands.
Deliveries to Roumania must be completed within six
months from October 1st. The order is being financed by a
British syndicate and will not involve any credits from the
Canadian government. Frederick H. Yapp, secretary of the
Canadian Woollen Manufacturers' Association, negotiated
the order. Canadian woollen manufacturing plants w-hich-
produce only finer grades of fabrics did not participate in
these particular orders, as such factories are devoting their
entire output to the Canadian market.
Miscellaneous Trade Notes
Messrs. Toner and MacBride, practical box and crate
makers, have decided to open up a factory in Moose Jaw,
Sask., and it is expected that deliveries will commence shortly.
A huge floating drydock, large enough to accommodate
the largest freighters on the Great Lakes, is now being put
together in .\shbridge's Bay. It was built in Montreal for
the John E. Russel Shipbuilding Co., and two of the six fifty-
foot sections have already arrived at their destination. They
were towed up from Montreal by the tugs "James L. Russel"
and "Glide," and four other sections are now on their way.
Owing to increase in business the plant of the New Eng-
land Fish Co. will expend $200,000 in new buildings and im-
provements at Vancouver, B.C. They include a $r)0,000 canned
salmon storage warehouse and improved canning and curing
establishments. The company handles thousands of tons of
fish through the plant yearly.
Three great harbor projects at Vancouver, B.C., wtU be
well under way by the end of the month. The Ballantyne
pier, to cost at completion about five iiiillion dollars, is to
be started at once, the harbor authorities announce. The big
drydock, to cost at least three and a half millions, will be
commenced before the end of the month, and steel and con-
crete work on the four million dollar C.P.R. pier will also
see an early commencement on the completed excavation.
The establishment in Canada of a branch of the Vulcan
Motor and Engineering Co., a famous English automobile
firm, is contemplated to be undertaken shortly, according to
an announcement by Walter S. Walker, generjil manager of
the company, who recently visited Montreal. Mr. Walker
intends making a trip through the Dominion to survey gen-
eral conditions with regard to the country's ability to supply
the steel and material required in construction and labor at
reasonable rates.
.\ new digester is being installed at the plant of the
Western Cana<la Pulp and Paper Co., Howe Sound, B.C.,
which, when completed, will double the output of the plant
to forty tons per day of sulphate pulp and kraft pulp. The
new digester, it is expected, will be operating in a few days'
time.
.\ recent amalgamation of four British match manufac-
turing firms will erect in the province of Quebec a match
manufacturing plant at an investment of five million dollars
through the medium of a Canadian associated company.
Complete information will be given out in the course of the
next few weeks. Sir Alexander Maguire, the chairman of
the British amalgamation, who has been investigating con-
ditions here for the past few weeks, made an announcement
to this effect in Montreal this week.
NEW INCORPORATIONS
Canadian Associated Goldfields, Ltd., Toronto, $30,000,000—
Fort William Paper Co., Ld., Toronto, $15,000,000
The following is a list of companies recently incorporated
under Dominion and provincial laws, with the head office and
the authorized capital: —
Ottawa. Ont.— United Delivery, Ltd., $40,000.
Arnaiid. Man. — Arnaud Town Hall Co., Ltd., $3,000.
Kamloops, B.C. — Kamloops Canneries, Ltd., $20,000.
Hanover, Ont.— Spiesz Furniture Co., Ltd., $200,000.
London. Ont.— Reid Brothers and Co., Ltd., $250,000.
Grandview, Man. — Grandview Land Co., Ltd., $20,000.
Owen Sound, Ont.— Superior Theatres, Ltd., $500,000.
Cobourg, Ont.— Douglas Packing Co., Ltd., $1,000,000.
Prince Rupert, B.C. — Pattison, Ling and Co., Ltd., $20,000.
Manotick, Ont.— The Manotick Realty Co., Ltd., $25,000.
Orillia, Ont.— Forest Home Telephone Co., Ltd., $3,360.
Creemore, Ont. — Nottawasaga Co-operative Co., Ltd.>
$5,000.
Brantford, Ont. — Brantford Land and Gravel Co., Ltd.,
$100,000.
New Westminster, B.C. — Westminster Shook Mills, Ltd.,
$100,000.
Haileybury, Ont. — Barrj'-Webster Gold Mines, Ltd.,
$2,000,000.
Port Arthur, Ont. — Port Arthur Structural Iron Works,
Ltd., $100,000.
Hebertville, Que. — Le Club de Courses de Station Hebert-
ville, Ltd.. $2,500.
St. Edouard de Fabre, Que. — Compagnie Sportive de
Fabre, Ltd., $5,000.
Bear River, N.S. — Bear River and Digby Electric Light,
Heat and Power Co., Ltd., $50,000.
Edmonton, Alta.— Radway Elevator Co., Ltd., $20,000;
Edmonton Symphony Orchestra, $6,000; Edmonton National
System of Baking, Ltd., $20,000.
Calgary, Alta. — Alberta Self-Locking Concrete Wall Co,.
Ltd., $20,000; Hose and Brooks, Ltd., $25,000; Cunningham
Electric Co., Ltd., $20,000; Chapin Co., Ltd., $450,000.
Hamilton, Ont.— Don-OLac Co. of Canada, Ltd., $50,000;
James Kirk, Ltd., $500,000; Paramount Paper Boxes (Toronto
and Hamilton), Ltd.. $40,000; Calhouns, Ltd., $20,000; Bum-
well Coal Co., Ltd., $40,000.
Vancouver, B.C.— D. M. Doherty, Ltd., $25,000; Van-
couver Laundry and Dry Cleaners, Ltd., $25,000; Benson
Radio Meter Co., Ltd., $250,000; Edham Shingle Mills, Ltd.,
$25,000: Victoria Logging Co., Ltd., $10,000; Edward Cox,
Ltd., $10,000.
Winnipeg, Man. — Manitoba Athletic Grounds, Ltd., $30,-
000; Star Electric Co., $50,000; Campbell's, Ltd., $200,000;
Wisconsin Canadian Land Corp., Ltd., $100,000; Simpson-
Hepworth Grain Co., Ltd., $5,000; Jumbo Metal Works, Ltd.,
$300,000; Westem Drainage Co., Ltd., $200,000; Manitoba
Theatre Supplies, Ltd., $50,000.
Montreal, Que.— Mont Louis Seignioiy, Ltd., $1,000,000;
St. Lawrence Commercial Club, Ltd., $5,000; Canada Fire
brick Co., Ltd., $500,000; Adams Chemical Co., Ltd., $50,000
Walford Shipping Co.,. Ltd., $500,000; Steamship Sagua Cor
poration, Ltd., $50,000; Steamship Macoris Corporation, Ltd.
$50,000; J. Donat Langelier, Ltd., $300,000; J. V. Boudriai
and Fils, Ltd., $300,000; Canada Fittings Co., Ltd., $20,000
the S. and M. Chocolate, Ltd., $75,000.
Toronto, Ont.— Fort William Paper Co., Ltd., $15,000,
000; Newport Shoe Co., Ltd., $75,000; Oakwood Amusemen
Co., Ltd., $250,000; Corson Shoe Manufacturing Co., Ltd.
$600,000; Universal Gas and Oil, Ltd., $1,500,000; Engraver
and Die Sinkers, Ltd., $40,000; Merchandise Outlet, Ltd.
$50,000; Bitrish American Drug Co., Lt<l., $300,000; Cellula
Pneuamtio Tire and Rubber Co. of Canada, Ltd.. $250,000
Lowes Buildings, Ltd., $250,000; Frid Construction Co. o
Toronto. Ltd., $40,000; Ontario Dolomite Manufacturing Co
Ltd.. $100,000; Eagle Oil and Gas Co., Ltd., $500,000; Cana
dian .Associated Goldfields, Ltd., $30,000,000.
September 3, 1920
THE MONETARY TIMES
36
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS .... 24,600,000.00
UBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful d»y» for life iniurancc saleamen,
particularly North American Life men. Our repreneDIa-
tive« are placing unprecedented araounls of new business.
All 1919 records are beini; smashed.
■■ Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey. Supervisor of Agencies
North AmericaD Life Assurance Company
ii.iii
HOME OFFICE
cont:.m;.nt
TORONTO.
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assurances, New and Revived - - 81.211,417.00
Premiums on same . . . . 43,890.00
Assurances in Force ... . 3. 45}>. 939.00
Total Premium lucome - - - - 109. .586. 03
Policy Reserves . - - - - 211,497.00
Admi'tted Assets 296,430.62
Average Policy 2,237.50
Collected in cash per §1,000 insurance in force 31 75
For particulars of a good agency apply to
ADAM REID, Managing Director Winnipeg.
1870 OUR GOLDEN JUBILEE I920
Co-Operative - Scientific - Successful
"How d.J thi- .Mulu.nl Lifcof Canada succeed inattaininK its rrcscnl
impresnatjlc position in the Knancial " orld > ' It may be replied th»t the
promoters of ttie Company did not organize it ss a commercial under-
taking, but that it mmht serve as a public benctactor givinu "the largest
amount of Icnuine life insurance for the least possible outlay " L'nsel.
fish devotion tothe success of thecnterprise supplied the place of capital.
Although strictly co-operative or mutual, yet the Company has been
built upon a scientiHc basis as nn old line legal reserve life insurance
compjny. The .Mutual Life of Canada is a beneficent idea worked out
on scientific lines— that is the secret of its popularity. The Mutual being
essentially a company of policyho'ders. conducted by policyholders in the
interests of policyholder.;, na'urally became :i >:re:it success.
BE A MUTUALIST!
The Mutual Life Assurance Co. of Canada
Waterloo Ontario
HumeCronyn, .M P.. ('resident Charles Kuhy. Cencr.il Mjn..,;er.
SUCCESS IN LIFE INSURANCE
Sjlesmunship depends so much upon the servict.- rendered that wc have
• dopted as our slogan : "lirealcr Service to Pollcyholclern." Wc have a few
desirable positions for good salesmen who will study their clients* best interests,
and co-operate with the Company. Every assistance, financial und otherwise.
given e;irnest. hard workers, to make ^ood. Apply with reft^renc s. statinn ex-
perience, etc . to S. S. «I-:.4»KK. Knf»l«rii .nu|h rluK nilnit. ui IImmI onirr
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
IS.SLHD ONLY UY
THE LONDON LIFE INSURANCE CO.
Head Office ... LONDON, CANADA
Profit Retultj in thii Company 70 better iban E.timalei.
POLICIES GOOD AS GOLD."
WHEN
in a Life Insurance Company hish interest earning* on
investments are coupled with low operating expenses,
the Policyholders reap the benefit.
This combination ot conditions has effected notable
results for the Policyholders of The Creat-Wost Life
Assurance Company. The pamphlet, "ACTUAL
RESULTS TO POLICYHOLDERS." give, information
along this line that cannot fail to interest those con:em-
plaling Life Insurance. Ask for a copy.
THE GREAT-WEST LIFE ASSURANCE COMPANY
HEAD OFFICE
WINNIPECl
The Western Empire
Life Assurance Company
Head Office: 701 Somerset Building, Winnipeg, Min.
BRiNCM OvnCES
SASKATOON CALGARY EDMONTON
VANCOIVER
F. S. RATLIFF & CO.
FARM LANDS— FARM LOANS
STOCKS AND BONDS
Medicine Hat Alberta
CROWN LIFE
Yl^T^H have ■ policy to suit every insurance need— up-
' ' lo-datc, liheral in its proviiiont. Participnlinii
I'alicyhuldero in the l^rown Life ire enlillcd to ''5'. of
• II profits earned hy the Company in addition tii the
Jtuarantccs contained in their Policies.
rA« C'rvrs Lift t» « gmtj Ctm^nj ft tmnn In sr r« rrprratml
Crown Life Insurance Co., Toronto
□:
:□
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Edmontons Halt-Yearly Statement Reflects Satisfactory Position— Good Showing Made by Tax Collec-
tion Departments— Operation of Utilities Results in a Deficit— Abnormal Amount of Tax Arrears-
Serious Weakness in Calgary F inancial Position— London Wants Municipally-Owned Telephone System
Hillier Township, Ont.— The tax rate for the current year
has been fixed at 27 mills on the dollar.
Stamford Township, Ont. — The council has struck the
tax rate at six mills on the dollar, an increase of one mill
over last year.
London, Ont. — .\t the next meeting of the city council a
motion will be put before the assembly that the city take
steps toward the establishment of a municipally-owned tele-
phone system. It is contended that the municipalities, which
have made a success of the hydro scheme, could easily make
a municipally-owned telephone system pay.
Manitoba. — Officials of the provincial tax commission are
pursuing their policy of visiting municipalities and gather-
ing data on the equalization of taxation and assisting rural
assessors in their work. Leo. Donley, chairman of the com-
mission, and W. Watts, secretary, have been travelling almost
continuously for the past month, covering the south and
eastern territory. The trips have extended to the districts
of Gimli, Kreuzberg, Rockwood, St. Andrews, St. Clements,
Springfield, Lac du Bennett, St. Vital, Fort Garry, Salisbury,
Hanover, Louise, Franklin, Montcalm, Pempina, Stanley,
Argyle, Lome and Rhin.eland. At each of these and the
other points visited, they have been in conference with the
assessor and the council, explaining to them the system of
taxation recommended and perfected by the tax commission.
"The object of the trip," Mr. Donley stated, "is to look over
the province and confer with the assessors on assessment
problems and also to gather data in connection with equalized
assessment. We are getting first-hand knowledge of mat-
ters through these trips."
Alberta. — Tax collections by the department of muni-
cipal affairs up to the first of August are reported by Deputy
Minister J. H. Lamb to be 100 per cent, ahead of the corre-
sponding period for any previous year. The figures are
$1,089,811, as compared with $590,109 in 1919. These sums
represent the wild lands, supplementary revenue and educa-
tional taxes, which are now collected by the department from
the unorganized districts and by the municipal districts
within their own bounds. Mr. Lamb figures that the province
has saved .'?10,-188 in interest charges alone if it had had to
borrow an amount equal to the excess of taxes collected.
The success of the collections, despite the fact that portions
of the province were hard hit by crop failures, is attributed
by the deputy minister to the increased efficiency of the pre-
sent methods, by which all the taxes are included in one bill.
The provincial government's municipal assessment
equalization board has completed its purview of the south-
ern part of the province, and has covered a considerable
portion of central Alberta as well. There still remains prac-
tically the whole of the northern district to be done, and
this unfinished work is now being taken up. A complete
report of the board's work is to be ready for submission to
the legislature by January 10.
Calgary, Altn. — In preparation of the issuance of §75,000
bonds locally, W. C. Wood, city comptroller, has issued a
statement of the city's finances, in which he takes a hopeful
view of the outlook althougli the situation at the present
time does not look very rosy. Total assets exceed liabilities
by $1,534,481, assets being $27,908,458 and liabilities ?2G,-
373,977. Unpaid taxes amount to $4,979,321, a serious weak-
ness in the city's financial position which Mr. Wood admits.
On the subject he says: —
"The amount of outstanding taxes is altogether
abnormal. During the years 1914 to 1919, the city was
very lenient, and rightly so. in the collection of its taxes.
However, that time is past and the city is now determinedly
collecting the taxes it has levied in past years. It should be
made very clear to the people that all properties in arrears
will surely be confiscated if the taxes be not paid." Further,
the comptroller adds: "The fact cannot be ignored that the
very act of confiscating certain properties must result in cor-
respondingly higher taxes in the remaining taxable pro-
perties."
It is estimated that from 30,000 to 40,000 vacant lots
with an overwhelming burden of taxes which will never be
paid, will revert to the ownership of the city at the tax sale
in the fall. Of course, where there is any chance of the property
paying out, the taxes will be paid by the purchasers, and
only that which is regarded as virtually woi-thless will go
to the city. But for years past the city has been levying
taxes on this property, thereby reducing the mill rate, though
the taxes have not been paid, which accounts for the huge
amount of unpaid taxes totalling nearly $5,000,000, much
of which have been hypothecated, money having been bor-
rowed against them which must be paid.
The condensed statement of the city's revenues and ex-
penditures at the end of December, 1919, as prepared by the
comptroller, shows that three city utilities made surpluses in
that year, and three had deficits. Thus, the electric light
and power department had a surplus of $24,219, the street
railway department had a surplus of $24,233, and the water-
works a surplus of $9,742 in 1919, according to the comp-
troller's method of computation. In the same manner he
shows the city hospitals to have a deficit for the seven
months that the city operated the general hospital in 1919
of $145,759, and the city paving plant a deficit of $94,343.
In regard to the revenue and outlay of the city the
comptroller remarks that "in 1919 on its current year's busi-
ness operations, the city's revenue exceeded its expenditure
by $111,036, which, were it a company, would pay 4'.i per
cent, on its capitalization over 27 millions, and further," he
adds, "the city's assets, as above stated, are taken at cost,
less proper, correct and adequate depreciation. Thus, while
its liabilities during the last five years have remained nearly
stationary, because of the fall in the purchasing power of
money, many of its assets, if oflTered for sale, would realize
a very great deal more than book value."
Under the heading of assets and liabilities, the comp-
troller's statement shows the following accounts: —
General assets, $18,627,141; liabilities, $17,427,500.
Electric light and power — Assets, $2,696,435; liabilities,
$2,418,247.
Street railway— Assets, $2,577,893; liabilities, $2,420,095.
Waterworks— Assets, $3,191,814; liabilities, $3,579,190.
Hospitals— Assets, $592,939; liabilities, $308,258.
Market and weigh scales, $118,428; liabilities, $118,428.
All departments- Assets, $27,908,458; liabilities, $26,373,-
077. Surplus, $1,534,481.
Mr. Wood includes the unpaid taxes in the statement as
a revenue asset, under the general heading of "convertible
into cash or available as an offset."
Edmonton. Alta.— A satisfactory showing is presented
in the statement of finances of the citv for the six months
ended .June 30th, 1920, by D. Mitchen, city comptroller.
Sundry revenue for the period amounted to $209,724, as com-
pared with $101,2.53 in 1919.
A particularly good showing is made in the matter of
tax collections, the total for the first seven months of the
year being approximately one million greater than for the
corresponding period of last year. Inclusive of arrears,
amounting to $641,832, the aggregate of these with current
taxes of $2,155,213, is shown to be $2,797,045, as against
September 3, 1D20
THE MONETARY TIMES
87
C.P.R. BUILDING
TORONTO
HoussLR V\Ax>D vCmmrvot
CANADIAN GO\ 0<NMfc.\ 1
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
f 1
OSLER, HAMMOND & NANTON
WINNIPEG
Stock Brokers and Financial Agents
Insurance Mortgage Loans
Real Estate
-T^. r. •
Province of Alberta
•J'; Sterling Bonds
Due November 1, 1922.
Price: 93.77, Yielding 6^4%
Harris, Forbes & Company
INCORPORATED
<- . 1'. K. Building, 21 SL John Street,
TORONTO. MONTREAL.
We Offer the
8% Cumulative Guaranteed Preference Stock of
King Edward Construction
Company, Limited
(King Edsvard Hotel. Toront..)
Ouaranteeii by-
Kmg F.dwarJ Hottl Company. Limited, and
L'nited Hotels Compuny of Amcrka
Price $100 per Share
Carrying a bonus of 30% in Common Stock
Complete Prospectus will be sent upon request
T. S. G. PEPLER & CO.
INVESTMEST BROKERS
ROYAL BANK BUILDING. TORONTO
C. H. BURGESS & CO.
Government and
Municipal Bonds
14 King Street East
Toronto
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank Bldg., Edmonton, Alta.
DOMINION OF CANADA
VICTORY LOAN
M- , l>i...
1 '.- IS and intii^
I'lil M
ll.'T 97
193.1 9t% •
I9S7 »« " •
1924 »?••"•
I<I.H .... <tl
Yield
•.l<%
6.00%
5.M%
S.M%
•.Z7%
«.J4"».
J. F. STEWART &
CO.
lOfi BAV STREET
TORONTO
Telephone*' Adelaide 7H.7IS 1
38
THE MONETARY TIMES
Volume 65.
$567,752 arrears and ^l,ll'i,U:a current taxes, or a total
of $1,744,785 for the seven months of 1919.
Expenditures for general administration, usually termed
controllable, for the first six months amounted to $604,781,
compared with $392,727 for the corresponding period last
year, representing an increase of $212,054. On a proportion-
ate basis the expenditures in the aggregate are well within
the current year's estimates, the total estimate for the whole
year being $1,434,696, but those of the engineer's and streets
department indicate that it will be necessary to considerably
reduce the ratio of monthly expenditures of that department
during the second half of the year, in order that the authori-
zation of the council may not be exceeded. Uncontrollable
expenditure for the six months, including interest, discounts
and exchange, debenture interest and redemption, totalled
$843,719, as against $864,171 last year.
In connection with the issue of ten-year debentures
authorized in 1919 against consolidated tax arrears, there
have been sold $1,431,000. The proceeds of this issue with
part of the tax arrears recovered, were applied towards re-
demption of outstanding debentures previously issued on
the security of tax arrears for the years 1914, 1915 and 1916,
the amount being $1,760,768.
Deficit For Utilities
The net result of operation of all utilities for the half-
year was a deficit of $49,466, as compared with a net surplus
for the corresponding of last year of $71,292. For the month
of June there was a net deficit of $50,529, as against a net
surplus for June, 1919, of $9,059, the street railway alone
being responsible for approximately $40,000 of this deficit.
The abnormal loss on this utility is partially explained by
the circumstances that retroactive wages paid to the street
railway employees, amounting to $23,472, are included in the
cost of operation of this department during the month. The
city comptroller in commenting on this says: "The con-
stantly recurring deficit on this department would seem to
indicate the necessity for considering revision of the present
street car fares. Figures for the first six months of the
year are as follows: —
Net Surpluses
Electric light and power $28,652
Pumping and filtration plant 514
Telephone 23,614
$52,780
Net Deficits
Power house $24,318
Street railway 77,296
Waterworks 632
$102,246
Net deficit $49,465
In commenting on the operation of the utilities, the city
comptroller remarks: —
"It should be remarked that the' utilities are meantime
passing through the least profitable months of operation,
and that the balance of the year will doubtless show sub-
stantial recovery. So far, however, as it is possible to make
a forecast from the present situation, it scarcely seems likely
that the utilities as a whole will complete the year on the
basis of an even break; but the extreme vigilance in re-
stricting operating costs to a minimum, it might even yet
be possible to avoid incurring a deficit."
Government and Municipal Bond Market
Victory Bond Prices Reduced to Conform with Present Situation Delines of From One
to Three Points— Manitoba Sold Four and a Half Million Bonds During Past Month —
Alberta's Domestic Loan Meeting With Good Demand— Moncton Sells Another Issue
OUTSIDE of the Victory Loan, the bond market during course will then be taken is yet to be decided. Stock
the past week was quiet. The announcement by the brokers, of course, favor placing the bonds on the open
special committee of the reductions in Victory bond prices market, while bond dealers are of the opinion that restricted
was received in financial circles more or less by surprise, trading should continue for at least a short time longer,
although such a move was unavoidable, and was made in One bond dealer is of the opinion that if the bonds were
order that the prices would be in conformity with present put on the open market to find their own level, they would
conditions. The principal problem of the committee, it is jtq considerably below the present fixed prices. He believes,
explained, was that business houses who were unable to however, that "the bottom has been nearlv reached and after
get sufiicient money from the banks under present restricted the crop moving period prices should gradually improve,
credits were forced to sell their Victoi^y bonds at a rate
faster than the committee could absoi-b them. Under the „ . .
new prices it is felt that the demand will quickly absorb «-oming uucnngs
any floating supply of bonds. The following table gives a The following is a list of debentures offered for sale,
comparison of the old and new selling prices, together with particulars of which are given in this or previous issues of
the present yield:— The Moiuljry Times:—
Maturity Old price New price Present Yield Tenders
1922 99 98 6.38% Borrower. .Amount. Rate %. Maturity. close.
1923 99 98 G.W'r Milton, Ont $ 48,000 6 30-instal. Sept. 7
1927 99% 97 O.OO-^'r West Kildonan, Man. 56,849.37 6 Various Sept. 7
1933 99% 96% 5.88''f St. James S.D., Man. 180,000 6 20-years Sept. 15
1937 101 98 5.68'f
1924 98 97 6.27' i S*- James S.D., Man. — Tenders will be received until
1934 96 93 6.2-4'^r September 15, 1920, for the purchase of $180,000 6 per cent.
, . , . J 20-year debentures. S. B. Drennan, secretary-treasurer,
The question of control is another matter which is under .Sturgeon Creek P.O. Man.
discussion. Stock brokers and bondmen are under an agree-
ment with the government, with regard to the control of Debenture Notes
the bonds, which expires on September 30, and which covers
the 1917 and 1918 loans. They are also under another agree- Newmarket. Ont — Ratepayers have voted in favor of a
nunt which expires on December 31. and whicli covers the by-law authorizing the raising of $20,000 for waterw-orks.
1919 lo.Tn. It is expected that when the first agreement ex- 'Windsor. Ont. — On September 4, ratepayers will be asked
pires it will be renewed until the end of the year. What to authorize a debenture issue of $1.50,000 for waterworks.
September 3, 1920
THE MONETARY TIMES
New Prices for
Victory Loan Bonds
1922
1923
1927
1933
1937
1924
1934
98 and Interest, yielding 6.45"
98 •• •• ■ •• 6.20:
97 ' ■■ " 6.00
96^ •■ •• V 5.87'\
98 5.67-'>
97 • •• ■• 6.32"
93 6.24",
At these prices the securities of the Domin-
ion Government are obtainable on a more
attractive basis than ever before in the
history of Canada.
Wood, Gundy & Company
Canadian Pacific Railway Building
Montreal
Saskatoon
Toronto
New York
London, Eng.
Basic Deve/opment
— Not Inflation
Man\ in\ fstors «ho Jo not appre-
ciate the exhaustion of otlier coun-
tries' pulpwood reser\es, fear that
the past > ears' ad\anee of the
Canadiati pulp and paper industry,
and the correspondinji rise in \ alue
of its securities, is artificial.
Thi<> is not so and the reasons irhyil is not
so ore very clearly shown in the current
number of Ini-eHmrnl llrmi II you are n
holder ol pulp and paper securities it will
add ((reatlyto your salisiactiun tu read this
number : so we recommend you to write foi
a copy.
F.ven (hou(>h you may not at present hold
such securities, you will he interested in it.
\\ rite lor a copy today.
!?oyal Securities
^ CORPORATION
LIMITED
■MON ll'l-Al
i
tefc &:^-^.x ^.x a-iLii.M.a.iJ.ai^^rg-2 :
iSJisi
W. L. McKinnon
Dean H. Pcttc
\\c recommend the purchase of
VICTORY LOAN
at the f;,"„jU'irR pncfs —
MATUKITV PKICE
1922 98 and Interest vielclinx 6.38",,
1927 .. 97 •• •• ' '• 6.00-,
1937 , . 98 ■• S »<S
1923 .. 98 ■ Hit
1933 .... 96* • • 5.,S,s
>(24 ... 97 ■ ■■ 6.27"o
iH-M 93 • ■• 6.24"„
i.)rdi.-rs may lie telephoned nr telcRr.nphcd at our i-xpcnie.
W. L. McKINNON & CO.
McKinnon Building TORONTO
Government, Municipal
AND
Corporation Bonds
R. A. IDaly cv Co.
BA.\K OK TORONTO BUiLOI.NO
TORONTO
OPPORTUNITY!
VICTORY LOAN
5 .'o GOLD BONDS
The Biggest Bargain in the Bond Market
It is out opinion tlial V ictoiy Bond prices
are at the bottom, and the present supply
will not be long available.
TAX FREE ISSUES
Pr.cr and
Yield
Dur
Intcrcil
«
1922 . .
... 98 ...
... 6.37
1923 .
98
. 6.13
1927
97 .
6.00
1933 ,
96* .
5.88
I'M/ ...
. 98 . .
.. 5.68
TAXABLE ISSUES
1924 ')7 .. 6.27
1934 ''3 .. 6.24
: rtcfraph ut Iclcfihonc nrjen al our exiitntc.
BonJt JelivrteJ free of charfr
W. A. MACKENZIE «&: CO.
42 Kin? St. West
TORONTO
r..\N\n,.\
THE MONETARY TIMES
Volume 65.
Saanich, B.C. — Ratepayers recently defeated by-laws
authoriy.ing the raising of about $1,000,000 for water and
sewer purposes.
Coaticook, Que. — A by-law to borrow $60,000 for the
building of a new cement dam has been passed by the council.
Ratepayers must now give their approval.
Park Hill, Ont. — Ratepayers will be asked to vote on
two money by-laws authorizing the raising of funds for
improvements to the high school and to the waterworks
system.
Lachine, Que. — The sale of $154,000 5 and 6 per cent,
debentures has been postponed, it is understood. Tenders
were asked until August 31st, but whether any offers were
received or whether any were accepted is not known.
Winnipeg, Man. — The city council has authorized a bond
issue of $300,000 to be used in connection with the civic
housing scheme. The bonds, which are for a period of
twenty years, will bear interest at the rate of 6 per cent.
Kitchener, Ont. — City Treasurer Huber reports satis-
factory disposal of civic debentures locally since the com-
mencement of the year. Nearly $100,000 has been disposed
of, and it is expected that the remainder of the block for
sale will soon be taken up by local investors. The bonds
bear interest at G per cent.
Ontario County. — Authorities rejected all tenders on the
$50,000 G per cent. 20-instalment debentures, being under
the impression that a higher bid could be secured. The
highe.st oifer was on a basis of about 6.72 per cent. Ten-
ders w'ere received as follows: —
iEmilius Jarvis and Co 94.43
Brent, Noxon and Co 94.112
A. E. Ames and Co 94.11
C. H. Burgess and Co 93.917
United Financial Corp., Ltd 93.88
Harris, Forbes and Co 93.C77
Dominion Securities Corp 93.531
Macneill, Graham and Co. 93.31
Wood, Gundy and Co 92.65
Bond Sales
Kxeler, Ont. — Debentures to the amount of $28,000 are
being sold locally. The proceeds will be used for street pav-
ing purposes.
Charlottetown, P.E.I.— The issue of $75,000 5',i per cent.
20-year bonds, which were recently purchased by the Royal
Securities Corp., Ltd., are now being offered at 92 and ac-
crued interest, yielding over 6.20 per cent.
Alberta. — The province's domestic loan seems to have
met with popular demand, and to such an extent that the
provincial treasurer is confident that the whole amount will
be fully taken up within the time anticipated.
Moncton, N.B. — Messrs. F. B. McCurdy and Co. are
offering $300,000 0 per cent. 10-year school bonds, matur-
ing July, 1930, which they recently purchased. The price
is 98.50 and interest, to yield the purchaser 6.20 per cent.
Quebec, Que. — The Municipal Debenture Corporation,
Ltd., has acquired the balance of the latest issue of deben-
tures of the city amounting to $75,000, bearing interest at
6 per cent., and maturing in 10 years. The bonds are now
being offered at par.
Quebec, Que. — Beausoleil, Ltd.. a Montreal investment
bouse, will shortly offer to the public $1,000,000 6.pcr cent.
5-year bonds of the province at par and accrued interest.
The bonds comprise part of an issue which was placed in the
hands of the Bank of Montreal during July for sale to the
public at par.
Hamilton. Ont.— The city has disposed of $286,000 de-
bentures to private purchasers so far this year, of which
amount $90,000 went to persons outside of the city. The
bonds run from one to twenty years and yield 6 per cent,
interest. The sale was better in the earlier part of the year,
but it is believed that there will be increased activity in
buying aftr the summer vacation.
Manitoba. — During the month of August, the province
disposed of several blocks of bonds amounting to $4,500,000,
maturing in five years and bearing interest at 6 per cent.
The transactions were made privately through A. Jarvis and
Co., Toronto, and the First National Co., of Detroit. The
bonds have all been sold in the United States to yield the
investor slightly over 8 per cent.
BRITISH COLUMBIA BOND DEALERS' ASSOCIATION
New Organization Aims to Supplement Work of Dominion
Association — Complaints of Unscrupulous Bond Dealings
THE following firms comprise the membership of the
British Columbia Bond Dealers' Association which was
organized last week: A. E. Ames and Co.; Burdick Bros.;
British American Bond Corporation, Ltd.; Ceperley Rounse-
fell and Co.; R. P. Clark and Co.; Gillespie, Hart and Todd,
Ltd., Pemberton and Son; Royal Financial Corporation;
Waghorn, Gwynne and Co. A. C. Flumerfelt was elected
president and J. H. Tailing, secretary. "The association,"
says Mr. Tailing in a wire to The Monetary Times, "was
primarily organized for the purpose of unifying and stand-
ardizing methods and affording protection to buyer and seller
of investment securities. It is hoped and earnestly desired
that the British Columbia organization will receive re-
cognitions from and be permitted to work in, close harmony
with the Dominion association."
Fair Treatment for Investor
In a further communication to The Monetary Times,
Mr. Tailing says: —
"This association has been formed primarily to ensure
the local investor of fair and equitable treatment at the
hands of the legitimate bond dealer, whose dealings have
seriously been interfered with by the more unscrupulous so
called bond broker, and it is the intention of the newly
formed organization to work in harmony with the older
established organizations along similar lines in the east.
P'eeling that the distance intervening between the Pacific
Coast and the east prevents tVie dealer from securing the
full benefits that might be derived from association
with the Bond Dealers' Association of Canada, has resulted
^ a very scattered membership from British Columbia, and
which can hardly be termed representative.
"The association feel vei-j- fortunate in having secured
the co-operation of evei-y recognized dealer within the pro-
vince and the good to be secured from such co-operation
should be felt within a reasonably short time."
Executive Elected
The executive elected is as follows: —
President — A. C. Flumerfelt, Esq., director, British
American Bond Corporation, Ltd., Victoria and Vancouver.
Vice-president — J. R. Waghorn, Esq., Waghorn, Gwynne
and Co., Vancouver, B.C.
Secretary — J. H. Tailing, British American Bond Cor-
poration, Ltd., Victoria, B.C.
Executive— Brig.-Gen. R. p. Clark, R. Pl Clark and Go^
Victoria; J. H. Gillespie, Gillespie, Hart and Todd, Ltd.,
Victoria; Harry A. Ross, A. E. Ames and Co., Victoria; S.
B. Burke, Pemberton and Son, Vancouver, B.C.; E. B. Mc-
Dermid, Royal Financial Corporation, Ltd., Vancouver, B.C.;
E. A. Earle, Ceperley Rounsfell and Co., Vancouver, B.C.;
Major J. C. Ross, Burdick Bros., Ltd., Vancouver, B.C.
Offices will shortly be opened in Vancouver, B.C., by the
Royal Securities Corp. Ltd.. and will be in charge of R. C.
Buchanan, who served for three years in Vancouver as sub-
district intelligence oflicer during the war. Mr. Buchanan
is now in Vancouver arranging for the opening.
September 3, 1920
THE MONETARY TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7h%
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B.
HALIFAX, N.S.
Government
Guaranteed to
_- YIELD
Bonds
QM
2/0
MATVRINC 1921-1940.
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
UNION TRUST BUILDING WINNIPEG
Province of
Ontario
&'o Gold Bonds
For Estate or Trust funds
these bonds purchased at
par and interest maturing
15 June, 1930, make a
very desirable investment.
Bond Deparlmeni
The Canada Trust Co.nrvNY
14 King Street E.
Toronto
Manitoba Finance Corporation Ltd.
Investment Brokers, Financial Agents, Etc.
Head Office :
410-11 Electric RIy. Chamber* - Winnipeg, Man.
Phone Garry 3«K4
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all ils branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba. Alberta Flour Mills, Limited
NIBLOCK & TULL, Limited
srOCK.. BOND and GRAIN BROKEf^S
(Direct Privnte Wire'
Grain Exchange - Calgary, Alta.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Branchei-SASKATOON ANDCALOAKV.
Canadian .Manager!
iMVKSTaiNT CORfORATIOH Or CANADA. LTD.
London Office: t Orsat Winchester St.. B.C.
X
Vancouver District Property
Expert Estate Atjcnts and ManoKcrs
Property Bou«ht and Snid, Volued. Rented nnd
Reported nn. Corresponden. c invited.
Vanconvrr
WAGHORN GWYNN Co., Ltd.
MACAULAY & NICOLLS
INSURANCE OF ALL LL.l.^.^h>
ESTATES MANACFO
746 Hastings Street - VANCOUVER, B.C.
C. H. MACALLAY L t>. NICOl.LS. Not.iry I'u-hc
Northern Securities, Limited
HSTAlll.lSHKI) l««
GENERAL FINANCIAL BROKER
Confidtnlial Advicm on Btilith Columbia ln„,.lmtnlt
MrnitxT of MortBJiKc and Truxt Conipanie« Amociat.on of Uritnh Colwmhis
529 Pender Street W. VANCOUVER, B.C.
H r.l-;OI((".H HANSl'Ln. .I.P . Vanailrr
P. M. LIDDELL & COMPANY
Invcilmcnl lianl{crs. l-iscai .-i gents
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
THE MONETARY TIMES
Volume 65.
Corporation Securities Market
Lack of Interest in Canadian Stocks Again Reflected in Dealings On Montreal
and Toronto Exchanges — Prices Close Firm On Latter Market — Manouan
Pulp and Paper Honds Offered— Reorganization of the Wabasso Common Shares
ALTHOUGH money at times ruled as high as 9 and 10 per
cent., the New York market for tlie week ended Sep-
tember 1st was active and strong, and at the close industrials
were fii-m, rails were buoyant, and there was a tendency
towards broader trading. Brokers are of the opinion that
the continued strength of the rails is impressive, and reflects
a growing conviction on the part of the public that the rail-
road legislation last winter was a step in the right direction
of putting the companies on their feet, which is an important
factor to the business of the countrj^ as a whole. It is con-
sidered that all that is required to restore confidence in securi-
ties is a reasonable, stable money market, together with the
drastic lio.uidation of commodities, which, in the opinion of
some, should not be long.
Lack of public interest in Canadian stocks was again
reflected in dealings on the Montreal and Toronto exchanges
for the week ended September lat. The reduction in the price
of Victory bonds was one of the most important influences of
the week, tending towards lower prices of listed securities.
In the case of the Montreal exchange the prices movement
was irregular all week, and at the close net losses were
prominent, although certain issues showed a sign of recovery,
but not to such an extent as to cover the losses sustained
during the week. On the Toronto exchange prices were some-
what firmer and the number of issues showing net gains at
the close was fairly substantial. Money continues to be the
most important factor in the Canadian markets and will con-
tinue so for some time.
Manouan Pulp and Paper IJonds
Private offering is now being made by the Atlas Bond
and Security Co., Ltd., Montreal, of $1,750,000 7 per cent.
first mortgage sinking fund gold bonds, dated September 1st,
1920, and maturing September 1st, 1945, and $650,000 7%
per cent, convertible 15-ycar debentures, dated September
1st, 1920, of the Manouan Pulp and Paper, Ltd., Montreal, a
company incoi-porated under the laws of the province of
Quebec. The capital of the company is as follows: Stock,
$5,000,000 (50.000 shares, $100 par value), of which $4,000,-
000 is to be issued; bonds, $2,500,000, of which $2,000,000 is
to be issued; debentures, $1,000,000, of which $900,000 is to
be issued.
Interest on bonds and debehtui-es is payable in Mont-
real, Toronto, New York and Chicago, at the option of the
owner. The debentures will be convertible on or before May
1st, 1927, for equal par value in common shares. For this
l)urpose 10,000 shares are left in the treasury. The bonds
and debentures are redeemable on any interest date at 105
and interest. A sinking fund will be provided to retire the
issues by annual payments, commencing the second year.
It is presently planned to make public offering of these
issues shortly at par, wth 30 per cent, of common stock for
bonds and par, with 50 per cent, of common stock for deben-
tures. A review of the company's plans and possibilities are
contained elsewhere in this issue.
Capitalization Increases
Companies registered under Dominion charter have been
authorized to increase their capitalization as follows: —
Former Increased
capital stock. to
Canadian B. K Morton Co., Ltd. . . $ 50,000 $ 200,000
Traders Sugar Co., Ltd 1,000,000 3,000,000
New shares to be issued by the latter company will have
a par value of $100. In the former case, 8 per cent, cumu-
lative participating preferred shares of a par value of S50
and common shares with a par value of $50 will be issued.
Supplementary letters patent have been issued by the
province of Manitoba to the following companies, authorizing
them to increase tlieir capital stock. In each case the new
shares to be issued will have a par value of $100: —
Former
capital stock.
Kingston Smith Arms Co., Ltd... $ 50,000
Premier Grain Elevator Milling
Co 60,000
N. Bawlf Grain Co., Ltd 1,000,000
Increased
to
$ 100,000
I
400,000
2,000,000
The Cobalt-Frontenac Mining Co., Ltd., incorporated
under the laws of the province of Ontario, has been au-
thorized to increase the capital stock from $2,000,000 to $3,-
000,000 by the creation of 1,000,000 shares of new stock with
a par value of $1.
At a special meeting of the shareholders of the Wabasso
Cotton Co., Ltd., following the annual meeting, which was
held in Montreal on August 27th, the proposal of the direc-
tors to reoi'ganize the common capital was ratified. Instead
of the present 17,500 shares of common stock there will be
35,000 shares of no par value. Shareholders will be allotted
the new stock in the proportion of two shares for each share
of the present stock of $100 par value now held.
English Interest in Davidson
According to an announcement just sent to shareholders
of the Davidson Consolidated Gold Mines, Ltd., important
new financial arrangements have been made. As a result of
the visit to England during recent months of H. H. Suther-
(Contitnied on page J,5)
UNLISTED SECURITIES
ctuotations furnished to The Monetary Times by A. J. Pattison. Jr., & Co., Toronto
iWcek ended Sept. 1st. 1920.1
A ta. Pac. Grain... com.
*' " prcf.
Ames Holdcn Tire. com.
Felt... 7-5
Ili'ldinK. Paul com
Ill.lcU Lake prcf.
liritish Amer. Assurance
C:in. Fur Aucl.Sales.pfd.
Can. Furniture prcf.
Can. Machinery O's
... com.
" ....pref.
Can. Oil com.
C.»n. WestinRhousc
Can. Woollens prcf
Cock^hutt Plow 7% prcf.
Col'swood Shipb'dii. fe's
Cuban Can. SuRar.com.
pref
navies William «'i
Dom. Foun.ftSt.. com
8 v. prcf
Pom. IronSSleelSslSSS
Dom. Power com,
*' prcf.
Dunlop Tire ... . 7% .prcf.
6b,
Famous Players .S?o ptd,
Ooodyear Tire, prcf.x.d.
nns prcf
irris Abattoir 6'!
imc Bankx.d 1}%....
perial Oil
pertal Tobacco
ni: KJward Hotel.com
Bid
Ask
4.1
70
73
98
101
6(1
u
90
9.S
'69
7:!.. SO
,w
88
94
8!)
92. SO
9.;
9;t
89. -SO
9i.50
n
90
9S
!)8
102
no
ll.'i
3.«
f-a
.■«
61
KinRBdward Hotel.. Ts.
Locjv's (Ottawa). . com.
...prcf.
Manufacturers Life......
■Massey-Harris
Mattasanii P.&P. com.
Mexican Nor. Power.. 5s
Murr.K. 7% prcf. X.D.
National Life
North-Amcr. Pulp
North Star Oil com.
Nova Scotia Stccl6%dcb
Peoples Loan...
Ont. Pulp 6'5
Page Herscy prcf.
Kiordon. .com. (ncwstk.)
prcf.
Robert Simpson.6%pref.
Bid
Ask
74
80
9
10.50
81
180
206
96
102
65
6G..S0
9
70
JGO
7.2S
7.75
5
6
85
85
95
98.50
«i
50
S3
85
89
75
79.50
Sterling Bank
Sterling Coal com
.South Can. Power. ..com
Toronto Power. 5's (1924)
Tru'it &• r.uar
United Cigar Stores com.
Western Assurance
West. Can, Pulp com.
Whalen Pulp com.
Whalen P'p Trust Cert. .
1 5.. 50
27.25
83.50
September 3, 1920
THE MONETARY TIMES
43
We Offer
SCHOOL BONDS
Province of Alberta
Maturing 10 and 15 Years
lo ukld
7 to7'i.%
IVe Speciallx) RecommenJ these Bonds as Sound Investments
W. Ross Alger & Company
I.WESTMENT BANKERS
Bank of Toronto Bids. Royal Bank Chambers
EDMONTON CALGARY
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Members of Winnipeg Real EUtale Exchange. X^innjpeg Slocl: Exchange
OWNERS
c)|-
VICTORY BONDS
When (he time comes to look back
you will realize how fortunate you
were to have invested in
VICTORY BONDS
every dollar you could spare.
We strongly advise you to add to
your holdings at present prices.
Wrile for particulars.
Thornton Davidson & Co.
CoVi-rnmc<U. Miinicipal jnd Uthcr
Investment Securities
HeadOmce: TrantportaHon Bldg., MONTREAL
132 St. Peter Street 63 Sparks Street
QUEBEC OTTAWA
UEAl.ERS IN
Government, Municipal
and Corporation Bonds
Correspondence Solicited
A. H. Martens & Company
(Members Toronto Stock Exchangcl
ROYAL BANK BUILDING, TORONTO
61 Broadway,
New York, N.Y.
Harris Trust Bldg.,
Chicago, III.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OUR COU.NbliL AND ADVICE
Willoughby Sumner Limited
Ealiibliihr'l I'tMi
Membe,. o( the Winnipeg Grain Excjiange
Private aire to lyinnipeg, Toronto, Montreal. Chicago
and .\co York
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings aUo any Briliah
Columbia Governmcnl and Muninpal i,i„CH.
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C.
Victoria, B.C.
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
L.IMI I I IJ
I'BivATF \Vi»iw :<, UIVMI'I I,. CHICAOC IUHOWk
HON THKAL A.VD NKWVOKH
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
.MO.\TKKAI.— W<-rk KiKleil Sept. InI.
(Figures supplied by Burnett & Co.)
Sliirko
Abitibi P./tP ...(new)
Ames Holden
pfd.
Asbestos Corp
pfd.
Atlantic SuRar
Bell Telephone
B.C. FishinR
Brazilian T.L.& Power
Brompton Pulp & P.
Canada Cement
■■ ...pfd.
Can. Con
Canadian Cottons
•• .pfd.
Canadian Car
■• ...pfd.
Carriage Factories ,
Canadian Gen. Elec...
Can. Steamship
•■ •■ Pfd.l
" " Vot. Trusti
Con. Minings Smel....
Det. Rys j
Horn. Canncrs i
Dom, Coal pfd.
Dominion Bridse
Dominion Glass
•• ...pfd.
Dom. Iron pfd.
Dom. Steel Corp I
..pfd.l
Domi nion Textile
•• ..pfd.
Hillcrest
Howard Smith i
• pfd.
Illinois Traction
...pfd.
Kaminstiquia
Lake of the Woods. .
..pfd.
Laurentide
Lyall Cons. Co
Macdonald Co
.Mackay
Mont. Cots. Ltd
...pfd.l
Montreal Power |
Montreal Tram i
Loan&Mtg.l
Deb I
National Breweries
OBilvie Flour Mills...
Ont. Steel Prod
Pcnmnns
Price Bros
Prov. Paper
Quebec Ry. L. H.&P..
Riordnn Pulp* P
pfd.
St. Lawrence Fl. Mills.
■'..pfd.
Shnwiniuan W. «r P . . .
Sherwin-Williams, pfd.
Spanish River
" Div.Vou.
" pfd.
Steel Co. of Canada...
• •■ pfd.
Toronto Uy. Co
Tooke Bros
TUL-Iutt
W.iV-.ixsn
\V.,v..n;imack P. & P..
Winjsiii- Hotel
Woods MfR. Co
pfd.
I Sales Open i High Low Close
248
'67J'
K«7
84
227
97
24,50
I40i
14.5
102
lU
47
I5in{ 382
1501 69}
701 I 74i
4SI
69
SO 92j
31 170J
45 io:<
790, 116)
351 59i-
30 32
35 70
68)
92)
170)
30 165
2175 64j
35 2.50
1001 74
27, 133
5: 345
Hochcladn..
Merchants.,
MoK
Montreal .
Nova Scotia
Nationale
Koyal
Union I
Bnn<li>
Asbestos Corp
Bell Telephone Co
Can. Car
Can. Cottons
Cedars Rapids Mfu ...
CC- Rubber
City Mont. Dec. Bs. 1922
" May 6s. 1923
■' Sept.Ss. 192,1
Dom. Can. W, Loan. 1925
" • •■ 19:11
1937;
Victory Bonds. 1922 ...
1927....!
1937.... I
1923...
1933...!
1301 177
34 180
42| I9A
82 248
90)
20001 78
5000. 90)
1000 90 I 90
inOfl 80 SO
100 81 , 81
2000' 91) »li
2100 ia5) 10,5)
3200 81 I 81
1 1 100 ;)3t 96)
20100 91) 92
32100 951 95]
176) I 176)
MOSTKEAL-Con««>iierf,
' SalesI Open HiRh Low I CI
Dominion Canncrs .
Dom. Cottons
Dom. Textile A
lOOfli 97) I 97)
B..
Dom. Iron I i
Lake of Woods .. .
.Montreal Power I I
Montreal Fr. deb
Ofiilvie Flour !
Penmans Ltd i
Price Bros
Quebec Ry.L. H.&P... I 10600, 61)
Riordon Pulp & Paper. |
Sherwin-Williams.... |
Spanish River
Steel Co. of Canada. . . .5500 9S3
Wabasso Cotton I
Wayaiiamack P. &P... 400«l 8l3
Windsor Hotel
TOKO.VTO— Week Ended Sept. Isl.
.siuckii
SalesI Open High Low CI
Atlantic Sugar
•• ■ ■■ ....pfd.)
Ames Holden pfd.l
Barcelona
Bell Telephone
Brazilian Traction.
B.C. Fish
Burt, F. N.
■pfd.,
Canada Steamship.
. Salt
Con. Life
Coniagas
Dome
Duluth
La Rose
•Mackay Companies..
115
68
195
78
132
137}
165
.50
34
82)
10
95
?5
40
300
2.55
103) lOlJ
S7 93
68i ) 67j
66) { 66)
.Monarch.
Nipissing
.pfd.[
ipfd'.i.
Roge
pfd.;
Quebec R.L.H. & P....'
Saksbook pfd.i
Spanish River ,
...pfd.'
Sawyer-.Ma
SteerCompany
Steel Corp
Toronto Ry. . .
Twin City..
Tretheway
Winnipeg
Wayagamack .
. pfd.
pfd.l
N'ova Scotia.
Roy.il
Standard...
Toronto
Lonii nnil Trust
Can. Perm
Can Land
Col.lnves
Hani. Prov
Tor. Mortgage
Tor, r.cn. Trust
KondH
Can. Bread I 12000
Penmans 1
Rio. Jan.T.. L. « P,...i 4.500
Sterling i 5000
Steel Co. of Canada ... . .
29j 29}
78 1 80
109) I 112)
120) I 120)
44 I 44
683 en'i
92) , 92)
59 , 59
.39) 42
27} 27)
180) ' 180)
159) 160
724
TO KOSiTO— Continued
War Loans
Sales
Dom. Can.W.Loan. 1925 46000
1931 1 24100
1937 51900
Victory Loan 1922 ....i
1923
1927
1933 .... I
1937 ....I
Open High Low
WIXNIPEO-Wcek ended Ang. i»th.
Sales
Open
High
Lpw
Close
Victory Loan 1922
■• 1923.. ..
" 1925
" 1927
•• 1937
•■ 1924
'■ 1931
■' 1933
■■ 1934
War Loan 1937
155500
4000
"166
lOOO
9100
54900
9300
2800
99
99
■■99)'
101
98
■■99)'
96
96
99
99
Wj'
101
98
96
96
99
99
■994'
lot
98
Mt"
96
99
99
"99)
101
96
"99)
%
Union Bank
•MEW ¥OKK— Week ended Aug.
Sales
15400
Bonds I
Dom. of Can, S% 1921 > 21000
■■ '• '■ 5hfo 19211 310O0
New York Curb —
British Empire
7% pfd.
Canada Copper.
Open I High
I2li
Close
121)
LOKI>ON, Eng.— Week ended Aug,
i I
14111
Gov't, at Nnn.
Alberta 4% Deb. 1922 .
4% Deb
B.C. 3%
. 3*% 193S
. 3)% Reg... I
. 3»% 1930 50,
. 4% 1940-60
,4%
Sales Open { High Low Close
Nfld.3S%bds
■■ 3*% 1910
■• 3}% 1941-51
■ 3)% 1912
.Montreal 4j% Reg
;• 4% Reg
4% cons, deb.
Nova Scotia 4)% cons.
Quebec 3%
4)% Reg
4% 1888
Toronto '.Wo deb. 1920.
4% bds
4)% 1948
Vancouver 4)% cs. '50-2
4% deb....
4%deb.'47-9
Winnipeg4i%c'ns43-63
4% deb
Railway!* i
C.Nor.Ont.3j%deh 1961|
3)% 1938.. I
Can. Nor. 4% deb. \3!»\
" •• 4% deb. 1930.1
Can. Pac '
" 4% deb.
" 4% pfd.
G.T.P. Br. 4% 1939
G.T.P.3%bdS
G.T.P.4%19S5
G.T. P 4% deb.
Gr, Trunk... 4% guar.
Gr. Trunk5% 1st. pfd..
Gr. Trunk 4% cons
Gr. Trunk Western 4%
Ont. & Quebec 5% deb.
P. Gt. East. 4)' deb. '42:
■ nd.. Fin., Kir.
Can. Car 6% 1
Can. Cement 7% pfd...i
6% bds...
C. W. Lumber 5% debs.
Canadian General
Can. Bk. of Commerce
Bank of Montreal
107)
I08i
72)
,58?
58j
6fl|
eo«
60
60)
72)
73
72
73)
61}
61)
,59
59
63)
63)
94
94
1,59«
163
62)
62J
63
63
8-/J
83(1
61}
62
63)
83
I
ei!
72
September 3, 1920
THE MONETARY TIMES
CORPORATION SECURITIES MARKET
(Continued from page J,Z)
land, managing director, an arrangement has been made for
the sale of 1,500,000 shares of treasury stock at a price of
75 cents per share net to the company, which will provide
the Treasurer with 51,125,000. The entire block of stock is
to be taken up by April 1, 1921, and the greater proportion
of the payments are to be made before the end of 1920. It
IS stated that a substantial payment has already been made.
A condition of the agreement is that the English in-
terests shall receive a further option on 2,000,000 vendors'
shares— 1,000,000 at %1 per share and 1,000,000 at $1.25 per
share. The option is to remain in force until the first 500-
ton unit of the mill is completed, but in no case to exceed
a period of two years. As a result of the arrangement be-
tween the company and the English interests, an extensive
plan of development is to be carried out, which will include
the sinking of a three-compartment shaft to a depth of
1,000 feet and the construction of a mill with a daily capa-
city of 1,000 tons, the first unit of which will handle 5O0
tons per day. Tenders for the shaft work have already been
asked, and the construction of the mill is to be undertaken
at once. It is estimated that after erecting the mill and car-
rying out all development work there will be a cash \v0rkin5
capital available of approximately $300,000.
DIVIIDEND NOTICE
THE CANADA LANDED AND NATIONAL INVEST.MENT
COMPANY, LI.MITED
DIVIDEND No. 13J.
Notice is hereby given that a Dividend of Two and One-
Half per Cent, (being at the rate of ten per cent, per an-
num ) on the amount paid up on the Capital Stock of this
Company has been declared for the quarter-year to the
thirtieth day of September, 1920, and that the same will be
payable at the office of the Company, 23 Toronto Street,
Toronto, on and after the first day of October, 1920, to Share-
iiolders of record at the close of business on the sixteenth
iay of September, 1920.
By order of -the Board.
EDWARD SAUNDERS,
Managing Director.
1 nronto, 1st September, 1920. 219
To Company Directors
Financial Executive, of standing and experience in
organization and administration, nov/ engaKed with
Large Canadian concern, is open to consider change of
business connections. Remuneration required pro-
portionate to responsibilities suggested. Correspond-
ence confidential.
Box 331, Monetary Times
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
CorrciponJcnce invilcJ
GRAINGER BUILDING
SASKATOON
Our September
Investment Guide
Is Now Ready
CEPTEMBER presents to
the investor a period
when many interest coupons
and dividend checks are due,
thus placing at his disposal
surplus funds for re-invest-
ment.
Present conditions call for
unusual care in the selec-
tion of investments, so that
your funds will return to
you the greatest income,
consistent with safety.
For your assistance in select-
ing the proper securities we
have compiled in our " In-
vestment Guide" for Sep-
tember, a complete list of
current offerings, which carry
our recommendation.
These bonds are suitable for
every form of investor, and
for the investment of large
or small amounts.
A copy of this issue will be
mailed to your address upon
application, and each month
as published, without obli-
gation.
Before you Invest, consult us
/EmiliuslarvisfitCo.
I,,,. ,s \\^nUUu■■. W IWKSTMENT IVANKhRS
I j^-)|^Q-\'| 0 l.STMll.lMIKI) IS"*!
' C OWUKM'ON'JENTS '
LONDON. ENti. NEW YOHK MONTHKAI. WINNIPEG
THE MONETARY TIMES
Volume 65.
Corporation Finance
Increase in Canadian Pacific's Operating Expenses More than Offsets Increase in Gross
Earninss— Winnipeg Will Appeal "on Street Railway Fares Decision— London Street
Railway Employees Oppose Claim of Bondholders— Brazilian Earnings Increased in July
Brazilian Traction, Light and Power Company. — The
statement of combined earnings and expenses of the tram-
ways, gas, electric lighting, power and telephone sei-vices
operated by subsidiary companies controlled by the company
for the month of July, 1920 (in milreis), is as follows: —
1920. 1919. Increase.
Total gross earnings 11,74.5,000 10,070,000 1,675,000
Operating expenses 5,627,000 4,681,000 946,000
Net earnings 6,118,000 5,389,000 729,000
Aggregate gross earnings
from January 1st 72,785,000 64.033,000 8,752,000
Aggregate net earnings
from- January 1st 39,175,000 33,739,000 5,436,000
The above figures are approximated as closely as pos-
sible, and will be subject to final adjustment in the annual
accounts of the subsidiaiy companies.
The gross earnings were the largest for any month in
the year, but operating expenses were maintained on a much
higher basis.
Canadian Pacific Railway. — Gross eai-nings of the com-
pany for the first seven months of the year amounted to
$109,433,347 as compared with $91,442,630 last year, consti-
tuting a new high record. On the other hand, the showing
made by net was the lowest on record. The fiiyures are: —
1920. 1919. Increase.
Gross $109,433,347 $91,442,630 $17,990,717
Expenses 96,385,675 76,259,448 20,126,227
Net $ 13,047,672 $15,183,182 *$2,135,510
♦Decrease.
For the month of July the earnings created a new high
record for the month, beinfj more than $2,500,000 above the
gross for July a year ago, but the greater increase in working
expenses left net earnings for the month more than $1,250,-
000 under net for July, 1919. July's gross amounted to $17,-
375,761 and net to $1,619,486, the largest gross and the
smallest net in the past ten or twelve years. The increased
gross reflects the increase in traffic for the summer months,
during which the working expenses should have decreased as
the gross went up, instead of which actual increase in operat-
ing cost, plus the fact that the company has taken into con-
sideration provision for estimated increase under now wage
award for July, has caused a resultant decline in net earnings
to below any of the years mentioned.
I/ondon Street Railway Company. — While the Ontario
Railway and Municipal Board claims that it cannot default
in the payment of the bonds of tlie company. Dr. H. .\.
Stevenson. M.L..\., states that the members of the board have
full powers of directors, and by virtue of this power could
refuse to make the annual payments. In this event the deficit
would be made up by the shareholders in some manner, either
directly or from the physical assets of the road. In case the
latter method were adopted the payment would probably be
made at the time the road is sold in 1925.
It is pointed out that the railway board could easily pay
the men 52 cents an hour if the payments on the bonded
indebtedness were not made out of revenue. These payments
amount to approximately $750 weekly, and this wouM in-
crease the wages to the rate asked by the men, and which
rate they say that they are determined to get. The em-
ployees have repeatedly stated that they never expected that
this bonded indebtedness would be considered before their
wages or they would not have returned to work under the
conditions.
At the conferences which were held recently between the
labor men of the city and Vice-Chairman Ingram, of the rail-
way board, this question was the one on which they dis-
agreed. Many of the labor men claim that the wages should
be paid first, and then if there is anything left over it could
be applied to reducing the bonded debt. Mr. Ingram con- '
tended that the payment on the bonds is the first call and
the increase in wages comes next. As a result of carrying
out this principle the men have received only 49 cents an
hour for July and the latter part of June.
Granby Consolidated Mining and Smelting Company —
The judgment of Justice Gregory, favoring the Esquimalt
and Nanaimo Railway Company in the suit over the title to
the Granby Company's coal lands near Cassidy, B.C., is to
be appealed by the Granby Company, and it is e.xpected will
eventually reach the Privy Council. An investment of nearly
a million and a half dollars made by the Granby Company
at Cassidy alone is affected by the judgment. The validity
of the grant made by the provincial government of under-
surface rights to settlers in the E. and N. belt, under the
Settlers Rights Act of 1917, is questioned by his lordship
in the judgment.
The property in question was acquired by the Granby
Company from Wilson and McKenzie and Mrs. Dunlop, the
two former being executors of the estate of the late Joseph
Ganner, of Nanaimo. The vendors in each instance assigned
to the Gi'anby Company their grants under the Act of 1917,
which awarded undersurface coal rights to settlers who
failed to register within the statutory time under the Set-
tlers Rights Act of 1894.
Justice Gregory finds that proper notice of the proceed-
ings before the executive council were not given to the
E. and N. Company before the grants were issued to the
Granby Company, and that the Granby Company has not
complied with Section 104 of the Land Registry Act and
are debarred from pleading that they ai-e innocent third
parties. "They purchased with full knowledge, and their title
must fail," says his lordship. The trial was held at Victoris
last February.
Winnipeg Electric Railway Company. — On September
1st last sti-ect car fares came into effect on the city lines
as follows: Seven cents cash, or four tickets for 25 cents;
children's tickets, seven for 25 cents; workmen's tickets at
reduced rates abolished. Fares on the suburban lines were
increased about 25 per cent.
These increases wei-e authorized by the Manitoba Public
Utilities Commission in a judgment handed down on .\ugust
23rd. During the past two years the commission has con-
ducted an elaborate and thorough appraisal of the company's
property, which it has valued at $24,369,431. On the matter
of return the commission's judgment says: "The rate of
return is not a difficult one to set. To ensure continuance of
a satisfactory service the rate must be such as will be attrac-
tive to investors, for the business is one which requires ad-
ditional cap'tal. In my judgment 8 per cent, is the proper rate
to fix." The commission further points out that the new
fares will now provide surplus funds for contingencies.
The company also operates the gas utility in Winnipeg,
and two increases in the price of gas have been granted since
A. W. McLimont. vice-president and general manager, took
charge, the last increase of 25 cents per 1,000 cubic feet
ha\-ing also been authorized on August 23rd.
The decision of the commission of the matter of increased
rates marks the successful close of a consistent effort to put
September 3, 1920
THE MONETARY TIMES
the company on its feet by Mr. MoLimon ever since he took
charge of the property in October, 1917.
It has been decided by the city council to appeal the
order of the commission.
Lake Superior Corporation.— A statement of the financial
standing of the company's subsidiaries for the year ended
June 30th last has just been issued and shows net earnings
from operations, excludinjr the Algoma Central and Hudson
Hay Railway, at $3,722,153, as compared with $5,441,574 in
the previous year. W. H. Cunningham, president, in his
leport gives the reason for the decline. "Operations of the
-reel plant for the fiscal year," he says, "'continued through-
out the first quarter at below 50 per cent, capacity on account
• f scarcity of new orders, and subsequently until April were
-t-riously curtailed, notwithstanding heavy orders on hand
: looked in November and December. The winter was un-
isually severe, and operations were seriously hampered by
-.eavy snowfalls and extremely cold weather. These condi-
■ ions affected our own transportation facilities, and interfered
vith shipments by rendering it impossible at times for the
ailways to supply sufficient cars. Sickness was very preva-
lent during the winter, at one time 20 per cent, of the operat-
ing force being absent from this cause. Not until the last
quarter was the plant able to operate approximately to
capacity.
Disbursements from the net earnings of the Lake Su-
perior Corporation show some changes from the previous
year. The sum of $1,315,522 was taken for interest on bonds
of subsidiary companies, on bank and other advances and
rentals, compared with $1,235,710 in 1919. For general de-
preciation and losses the sum was $1,024,964 as against $1,-
•')00,000, while for depletion and depreciation of mining pro-
: erties and quarries there was allowed $88,898 as against
-::;24,463. Last year, however, $365,000 was reserved against
ibnormal cost of new plant and equipment, and $260,000 for
'cpreciation, renewals, etc., of special assets. This year the
-um of $2,592,237 is carried forward by all companies as
against $1,589,388, the dividend to Lake Superior Corporation
being, however, only $180,000 this year, compared with $1,-
'i54,000 last year. The balance sheet of the Lake Superior
'orporation shows total assets of $49,305,224, against $50,-
;o2,101, the reduction being practically accounted for on the
■ ne item of investments and securities.
The statement of the Algoma Steel Corporation, the
ompany's principal subsidiary, shows net earnings from
operations and other profits of $3,147,694, and dividends from
subsidiaries of $500,000, or $3,647,694, against net earnings
rrorn operations in the previous year of $5,035,032. Deduc-
ions show little change, except the reserve for general de-
: reciation is $1,000,000, instead of $1,500,000 in 1919, while
■ack dividends paid on preference amounted to $175,000, com-
iiared with $1,050,000 paid in the previous year. The balance
aiTied forward is $2,793,444 as against $1,433,!S75. Divi-
u.'nds are now in arrears from March 31st, 1916, and income
nd business profits taxes from June 30th, 1917. Currt^nt
.ssets for the Algoma Steel Corporation are $13,484,878,
• imipared with $13,834,842, while current liabilities are $4,-
.73,031, against $2,449,790.
Spanish River Pulp and Paper, Ltd.— Ever since the im-
provement started in the pulp and paper industry,
Spanish River has given principal attention to roundinir out
.!! its undertakings and in this way place itself in a po.si-
1011 to meet any conditions that might ari.se. Of equal im-
portance to the shareholders has been the improvement in the
financial position. All deferred obligations have been cleared
away by the settlement of all arrears of dividends on the
ureferred stock. At the same time the company has been
able to build up a working capiUil of over $6,.")00,000. as re-
presented by current assets of $10,713,924, as compared with
current liabilities of $4,102,856. At the same time rcseni-es
have been built up of over $3,000,000. These reserves in-
clude miscellaneous and contingent reserve $1,037,261, dc-.
preciation reser^^e $1,926,813, bond sinkinj: fund reserve
S638.000. The current assets reflect the manner in which
•he company has been adding to its supplies at the various
mills, the princip.il accounts showing as follows: Pulpwood,
$3,465,647; woods equipment and stores and mill stores,
$1,973,267; mills products. $1,029,240; accounts receivable,
$2,953,031; Victory bonds, $184,150; company's bonds pur-
chased and held, $577,705; cash in banks and on hand, $530,-
881. Current liabilities are made up of Joan from banks
$1,000,000,000, accounts and bills payable $2,835,477, accrued
interest on bonds and serial notes $267,378.
The net profit for the year, before depreciation, but
after allowing for the full preferred dividend of $400,000,
was equivalent to 29.9' V on the common stock. After allow-
ing both for the preferred dividend had it been paid and
full depreciation, the net profits were equivalent to approxi-
mately 22 V6 per cent on tlie common stock. The net pro-
fits for the year of $2,202,069, added to the balance as at
June 30th, 1919, of $2,368,222, brought the total amount
available for distribution up to $4,570,291. This was appro-
priated as follow.-: .Accumulated preferred dividends to 30th
June, 1920. met by issue) of preferred stock, $2,871,493.
bonds, sinking fund, reserve $638,000, making a total amount
of $3,509,493 and leaving a balance to be carried forward
into the new year of $1,060,798.
AMKRK AN MILLERS TOUR CANADIAN WEST
Large Interests in Wheat and Flour Represented in Delega-
tion of Fifty — Some Impressions of Western Growth
(Special to The Moitclary Times.)
Winnipeg, August 30, 1920.
A TOUR of considerable importance to western Canada
has just been completed by a number of influential
bankers and grain dealers from the United States. The
party comprised official representatives of F. H. Peavey and
Co., of Minneapolis, possibly the largest grain operators
on the American continent, and who control, along with
allied companies, over 500 country elevators in western
Canada, as well as two large terminal elevators at the head
of the lakes. The party was under the personal guidance
of E. W. Kneeland, manager in WinnipcK of the British-
American Elevator Co. Those comprising the party were
as follows: —
Minneapolis: — F. T. Heffelfinger, president, F. H. Peavey
and Co.; F. P. Heffelfinger; T. P. Heffelfinger; E. F. O'Brien;
F. B. Wells, vice-president, F. H. Peavey and Co.; A. L.
Searle, vice-president, Globe Elevator Co.; C. F. Deaver,
treasurer, F. H. Peavey and Co.; H. G. Dickey, vice-presi-
dent. Monarch Elevator Co.; E. C. Warner, president, Mid-
land Linseed Products Co.; S. T. McKnight, vice-president.
First National Bank; C. B. Mills, president. Midland National
Bank; J. A. Latta, vice-president. Northwestern National
Bank; A. C. Loring, president, Pillsbury Flour Mills Co.;
J. F. Bell, vice-president, Washburn-Crosby Co.; R. Webb,
president. Minneapolis Trust Co.; Judge W. A. Lancaster,
attorney; C. S. Lnngdon, president. Civic and Commerce As-
sociation; H. C. Clarke, president, Shelvin, Carpenter and
Clarke Co.; Chas. E. Heffelfinger, real estate.
Duluth:— Wm. G. Hegardt. vice-president, American
Exchange National Bank; E. N. Bradley, vice-president.
Globe Elevator Co.
St. Paul:— G. H. Prince, chairman of board of direclorn.
Merchants National Bank.
Chicago: — D. R. McLennan, Mar^h and McLennan (in-
surance); Chas. W. Folds. Hathaway, Smith, Folds and Co.
(commercial jinper lir<>kcrsl.
Omaha:- K. P. Peck, vice-president, Omaha Elevator
Co.; L. Drake, president, Merchants National Bank; W. H.
Head, president. Omaha National Bank.
New York- — A. L. .Andrew.i. cashier, Chn.sc National
Bank; A. R. Jones, a.^sist. vice-president, Guaranty Trust
Co.; Alex. V. Ostrom, vice-president, Liberty National Bank;
H. Smith. Hathaway, Smith, Fold* and Co. (commercial
paper brokers).
48
THE MONETARY TIMES
Volume 65.
Boston: — S. P. Ware, Bond and Goodwin (commercial
paper brokers).
Philadelphia:— S. Bell, Jun., Samuel Bell and Son Co.
(flour jobbers).
Impressions of Visitors
Upon his return to St. Paul, George H. Prince, chair-
man of the board of directors of the Merchants National
Bank, expressed his surprise at the progress which had
been made since his previous %nsit in 1902. \Vhen he passed
through Saskatchewan 18 years ago there were only two
houses in Saskatoon and there were- less than 4,000 people
in the present city of Calgary. There were no paved streets
in the latter place, no granolithic sidewalks and compara-
tively no sidewalk of any kind.
Mr. Prince estimated the value of the western crop at
about a billion dollars and said that only about 15 per cent,
of the tillable area of the provinces was under cultivation.
The wheat crop of the year, he thought, would be in the neigh-
borhood of 250,000,000 bushels, and the area under crop, he
was informed, was 29,000,000 acres. Mr. Prince anticipated
that the United States would aid materially in financing
western Canada and that very large quantities of the wheat
raised would be milled in Minneapolis.
RECENT FIRES
McNair Shingle Company, Port Moody, B.C., Trading Posts,
The Pas. Slan., and Dominion Park Property, Montreal.
are Heaviest Losses this Week
FOREST and bush fires are reported this week from Mani-
toba and Saskatchewan, near Prince Albert, but the
latter have been quenched by rains. In Manitoba consider-
able property was destroyed near Ste. Rose du Lac, Eriks-
dale and several other places.
Belleville, Ont. — August 30 — Schuster Company's freight
warehouse and lower offices were destroyed by fire. The loss
is estimated at $15,000.
Blaine Lake, Sask. — August 25 — Electric power plant of
Larsen Brothers was damaged by fire. The loss was partly
covered by insurance.
Brigden, Ont. — .August 30 — Implement building of J. R.
Sinclair and the printing office of the Brigden "Progress"
were damaged. The loss is $10,000.
Charlottetown, P.E.I. — August 26 — Barn, belonging to
Ale.x. Richard, was destroyed. The loss is estimated at $7,000.
Fire was caused by incendiarism.
Chateau Richer. Que. — August 29 — .\ fire broke out in
a bakerj- and completely destroyed six houses. The loss is
estimated at $12,000, with a small amount of insurance.
Gamebridge, Ont, — .\ugust 30 — Barn and contents be-
longing to Jay Morgan were destroyed by fire. The fire was
caused by a spark from the engine of the threshing machine.
The loss is $3,000, partly covered by insurance.
Montreal, Que. — August 30 — Building, belonging to the
Progress Spring Bed Manufacturing Co. at 1-52 Cadieux
Street, was destroyed by fire. Dominion Park damaged by
fire. Several small booths were destroj-cd. The loss is esti-
mated at $25,000.
Moose Jaw, Sask. — August 27 — Fruit store of Gus
Kellos, 128 Main Street North, was damaged by fire. Tlie
loss is estimated at $2,500, partly covered by insurance.
.■\ugust 28 — Bam on the property of W. D. Dexter. 737
Athabasca East, was damaged by fire. The damage amounts
to $600.
North Vancouver, B.C. — August 26 — Fish and chip res-
taurant at 54 Lonsdale Avenue was damaged by fire. Several
other buildings were slightly damaged. The loss is estimated
at $3,000.
Peterboro', Ont. — .\ugust 27 — Barn, situated on the pro-
perty of Walter Stocker, Weller Street, was damaged. The
less is not yet known.
Port Huron, Ont. — August 26 — Windermere summer
hotel damaged by fire.
Port Moody, B.C. — August 27 — The new plant of the
McNair Shingle Co. was damaged to the extent of $75,000.
Revelstoke, B.C. — August 23 — Residence of Mrs. Cleland
was damaged by fire. The fire is believed to have been caused
by electric wiring. The loss will exceed $3,000, with $2,000
insurance.
Ridgetown, Ont. — August 2.5 — An unoccupied house on
Alpha Street was damaged by fire. The loss is estimated
at $500.
South Vancouver, B.C. — August 22 — Residence at the
corner of Euclid and Spencer Streets was damaged by fire.
The loss is estimated at $5,000.
Stratford, Ont. — August 21 — Barn, belonging to Mrs.
Michael Teehan, on the tenth concession of Downie, was
destroyed. The fire is believed to have been caused by chil-
dren playing with matches.
Sydney, N.S. — August 31 — The transforming station of
the Dominion Steel Co. was destroyed. The fire was caused
by an electric storm.
The Pas, Man. — .August 25 — Two trading posts were
wiped out by fire with a loss of $35,000.
Toronto. Ont.— September 1 — Vulcanizing plant occupied
by Herbert Chaperon, 1592 Queen Street West, was damaged.
The loss is estimated at $1,800.
Wolf Island, Ont.— August 31— Lightning struck the bam
of Jas. Daisy and it was completely destroyed, together with
the contents. The loss is $9,000.
ADDITIONAL INFORMATION CONCERNING FIRES
Manitoba.— During the month of June 110 fires occun-ed
in the province with a monetary loss of $73,579, showing a
decrease of 25 in the number of fires, with a corresponding
decrease of $45,079 in the amount of loss, compared with
June of last year, when 135 fires were reported with a loss
of $118,658. the following were the principal causes of fires:
Hot ashes 40, cai-eless handling matches 80, smoking 48.
Ontario. — The fire marshal's report for July, 1920, shows
that during the month there were 729 fires, with a loss of
$676,297, on which S551.301 of insui-ance was carried, the
loss not covered by insurance being $124,996. During the
month only two losses of importance took place, St. Thomas
Foundry, $150,000, and Porquis Junction Stores, $100,000.
River Charlo. N.B. — August 7 — Three bams, dwelling-
house and dairy, owned by W. D. Miller, damaged. The fire
was caused by an electric storm. The loss was $12,000, with
no insurance.
Simcoe. Ont. — .■Vugust 2.5 — Public feed bam and storage
on the estate of E. Edmonds. The fire caught from burning
building nearby. The building was completely destroyed, with
insurance of $4,500 in Merchants and Gore Insurance Com-
panies.
Toronto, Ont. — The fire losses for August are the lowest
for the year. During the month there were 138 alarms, with
an estimated damage of $7,657. Unknown causes 14, fire
caused by rubbish and dumps 13. number caused by autos 10.
dumps and grass 9, children and matches 8.
Vancouver, B.C. — The fire losses in July were not seri-
ous, aggregating the total of $27,715. The loss was covered
by insurance, with the exception of $3,084. There were forty-
five bush fires around the city. Fires where loss occurred 25;
fires, no loss resulting. 11; chimney fi.res, 2; exhibition runs.
2; false alarms, 5; rubbish fires, 4. The following shows the
cause of fires: Backfire carburetter, 3; bush fires, 37; care-
lessness with cigarettes, 6; children playing with matches, 2;
chimney fires, 3; electric iron left on switch, 1; electrical
origin, 6; lightning, 1.
Westmount, Que. — August 15 — Metcalfe Apartments
were damaged to the extent of $6,300, with insurance of
$95,000. The cause of the fire is unknown.
The Monetary Times
• Printing Comtvinv
of Canad:.
The Laiiajiiin tnamoer
IriJc Kcview and Insurjnce Chronicle
of (Tnnaitn
r-MUT,:s.'iri; i ■■
Oiu UN '..iinii.
JAS. J. SALMOND
Pt'stdent and Genar&l Macat^er
A. E. JENNINGS
AiBlst&at General Manager
JOSEPH BLACK
SecreMxy
A. MeKAGUE
Editor
i
Comparison of Workmen's Compensation Laws
Dominion and Eight out of Nine I'ro\ ince s have Workmen's Compensation Laws— Rapidly
Adopted in Canada. FoUowini; Introduction into Great Britain — Payments Approximate
Those of most Liberal States — Administrators are Permanent Officials in Canada
By CARL HOOKSTADT
WITH the single exception of Prince Edward Island, all
of the provinces of Canada, including the Dominion
government, have enacted workmen's compensation lejjisla-
tion. The law of Saskatchewan, however, although designated
in its title as a workmen's compensation law, is meiely an
employer's lia'oility act, and is therefore not included in the
following discussion. The Dominion act provides that if a
federal employee (government railroads excepted) sustains
an injury he shall receive the same compensation as any
other peDson woulil under similar circumstances, receive
under the law of the province in which the accident occurred.
Administration of the Dominion act is placed in the hands of
the provincial boards, and any compensation awarded may
be paid by the Dominion Minister of Finance.
Chronologically, Canadian legislation practically par-
allels th".t of the United States.. The first law was enacted
by British Columbia in 1902, followed by Alberta in 1908.
Quebec in 1909, and Manitoba and Xova Scotia in 1910.t
These early laws were patterned after the British act and
were really modified employers' liability laws. Xo adminis-
trative commissions were provided, and usually suits for
damages were permitted. A radical departure from the
British type of law. however, took place in 1914, when On-
tario enacted the first of the collective-liability compensation
acts prevailing in most of the province.^ nt the present time.
These laws were patterned upon the mutual liability idea of
the German workmen's compensation system ami upon the
exclusive state fund plan of the Washington act. Nov;.
Scotia enacted a similar law in 191.'), followed by British
Columbia in 1916 and by Alberta and New Brunswick in
1918.
Canadian and American Laws Compared
An analysis of the Canadian laws shows a number of
striking characteristics and of deviations from the American
type oif compensation act. Some of the more important of
these are the following: —
1. In Canada there is a remarkable uniformity among
the several compensation laws. This uniformity applies to
the scope of the acts, benefits, injuries covered, adminislra-
tion, and procedure. In the United States compensation acts
are distinguished more for their dissimilarity th.Tn for their
uniformity.
2. In Canada all of the laws arc compulsory upon the
employers coming within the scope of the net. In the United
States only 1.3 are compulsory while :i2 are elective.
•From the "Labor Review" of the Bureau of Labor
Statistics, U.S. Department of Labor. This comparison in-
cludes 1919 legislation.
tin the United States the Federal Compensation Act was
passed in 1908, while Montana enacted a compensation law
in 1909 and New York in 1910. though these early state laws
VTC later declared unconstitutional.
3. In Canada the scope of the law in each province
(Yukon excepted) is limited to enumerated hazardous em-
ployments. There is some diversity in the number of such
employments, but the principal hazardous industries are
covered, including manufacturing, mining, construction, and
transportation. In the United States only 1.3 states limit
their scope to the so-called hazardous industries, while 32
states cover the "nonhazardous" as well as the "hazardous"
industries.
Occupational Diseases Enumerated
4. In Canada occupational diseases are compensable in
every province except Quebec and Yukon. Such diseases,
however, are limited to those enumerated in the statutory
schedule. In the United States only 6 of the 45 state laws
include occupational diseases, but in these six states all oc-
cupational diseases are covered.
5. In Canada all of the provinces except Manitoba,
Quebec, and Yukon have exclusive state insurance funds. In
Ontario, however, employers under schedule 2 (municipali-
ties, railroad, express, telephone, telegraph, and navigation)
are permitted self-insurance. In the United States only
eight of the 4.5 states have exclusive state funds, while nine
have competitive state funds.
6. In Canada probably the most significant charact-
eristic of compensation legislation is the assumption of
liability on the part of the province. Injured workmen are
paid direct by the workmen's compensation board out of the
accident fund. This is true, irrespective of whether or not
the employer has contributed his premiums to the fund and
even if tiie en'ployer is insured or carries his own risk.
Failure on the part of the employer to meet his compensa-
tion obligntions does not deprive the injured workmen or his
dependents of compensation benefits. This obligation is as-
sumed by the accident fuml, which in turn has rwlress
against the defaulting employer through an action at law.
Under none of the laws in the United States does the state
a8.sunie linhility. In c.Tse of insolvency of the employer ami
insurance carrier the injured employee loses his compensa-
tion benefits.
No .Vppeal Except in Two Provinces
7. !n Canada the workmen's compensation board? have
exclusive iind final jurisdiction over all compensation mnttcr«,
no appeal to the courts being permitted except in New B^un^•
wick nnd Nova Scotin. In these two provinrrs appeal may
be had to the Supremo Court upon questions of law, but
only with the permission of the judge of said court. In
none of the states of .America does the administrative com-
mission have final jurisdiction. In every state appeal may
be had to the courts upon questions of law and in many of
the states upon questions of fact.
8. In Canada membeis of the workmen's compensation
boards hold office during good behavior, except that in
THE MONETARY TI M.E S
Volume 65.
British Columbia the term of office is 10 years. In most
of the provinces, however, they are subject to compulsory
retirement at the age of 75. Each board is authorized to
appoint its officers and employees and to tix their salaries.
The term of office of such employees is subject to the pleas-
ure of the board. In the United States the term of office of
compensation commissioners is usually three, four, or five
years.
Amount and Period of Compensation
9. As regards liberality, the benefits of the Canadian
laws are about on a par with the more liberal of the
American acts. The scale of benefits is considerably lower,
but on the other hand the periods for which benefits are paid
are much longer. In Canada compensation is usually paid
during- disability or until death or remarriage of the widow,
while in most of the states the compensation periods termin-
ate at the end of 300, 400 or 500 weeks. In none of the pro-
vinces (Yukon excepted) is the waiting period over one
week, and in most of the laws compensation when payable
begins from the date of the injury, whereas in the Un.ted
States seven states have a waiting period of 10 days and
13 states of two weeks. In all of the Canadian laws ihe
amount of compensation in case of disability is 55 per cent,
of the employee's earnings, except that in Quebec the per-
centage is 50; in the United States 20 states have a per-
centage of 60 or greater. The early Carmdian laws did not
provide for medical benefits, but some of the provinces have
recently made provision therefor; in the United States 42
of the 45 states provide medical service. All but five of
these states, however, place some limitation upon the amount
of the medical service which the employer is required to
furnish.
Conipensalion and Insurance Systems
All of the Canadian laws are compulsory upon employers
coming within the scope of the act. In the five provinces of
Alberta, British Columbia, New Brunswick, Nova Scotia, and
Ontario* all employers must contribute to the accident fund.
Quebec and Yukon Ten-itory have no state fund, nor are
employers in those jurisdictions required to insure. Manitoba
has a hybrid system. Employers are required to insure in
private casualty companies or provide self-insurance. Such
insurance companies or self-insurers, however, must contri-
bute to the accident fund. They must also contribute 7>2 per
cent, of their premiums to the administration fund.
Out of these accident funds, which are managed by the
workmen's compensation boards, are paid all compensation
claims. The board classifies the industries according to the
hazard, fixes and collects premiums, receives and investi-
gates claims, grants awards, and pays the compensation
benefits. As already noted, the workmen's compensation
board assumes liability. Injured workmen are always paid
direct by the board from the accident fund, irrespective of
whether or not the employer is insured or carries his own
risk. Failure on the part of the employer to meet his com-
pensation obligations does not deprive the employee of his
compensation benefits. This obligation is assumed by the
accident fund, which, in turn, has redress against the de-
faulting employer through an action at law.
Scope or Coverage
The scope or coverage of the Canadian laws is more
restricted than that of most of the .\merican Acts. In all
of the provinces (Yukon excepted) the employments covered
are limited to enumerated hazardous industries. .-Agriculture
and domestic service are universally excluded. Most of the
laws also exclude outworkers, travelling salesmen, non-
hazardous clerical occupations, non-liazai'dous public employ-
ments, and casual employees employed othei-wise than for
the purpose of the employer's business. Alberta also excludes
"Except employers enumerated in Schedule 2, -which in-
cludes municipalities, and railroad, express, telephone, tele-
graph and navigation companies. Employers in these indus-
tries arc individually liable, though they must deposit funds
with the hoard, which pays the compensation direct to the
iniiircl employee.
railroads. Jloreover, the workmen's compensation boards
have been given discretionary po-wer both to increase and to
decrease the scope of the .A.cts by adding to or subtracting
from the industries enumerated in the statute. Under this
authority the original statutory scope of the Acts has been
considerably changed. Many new classes of industries have
been added; others have been excluded. In addition, the On-
tario Board has exempted certain classes of employers having
less than a stipulated number of employees. The policy of
the boards in including and excluding certain industries is
apparently determined by the hazard of the particular in-
dustry and by the administrative difficulty of collecting pre-
miums in the case of small employers. Exempted employ-
ments usually are given the privilege of coming under the
Act if either the employer or employee so desires.
Under all of the Canadian laws employees injured -with-
out the province are entitled to compensation benefits if the
place of business of the employer and the usual place of em-
ployment of the workmen are in the province. The folio-wing
provision found in the Alberta law is typical of that in the
laws of practically all the provinces: —
Location of Accident
(1) Where an accident happens while the w-orkman is
employed elsewhere than in the province which would entitle
him or his dependents to compensation under this Act if it
had happened in the province, the workman or his dependents
shall be entitled to compensation under this Act —
(a) If the place or chief place of business of the em-
ployer is situate in the province and the residence and the
usual place of employment of the workman are in the pro-
vince and his eniplojTiient out of the province has imme-
diately followed his employment by the same employer within
the province and has lasted less than six months; or
(b) If an accident happens to a workman who is a resi-
dent of the province and the nature of the employment is such
that in the course of the work or service which the workman
performs it is required to be performed both within and
without the province.
(2) Except as provided by subsection 1, no compensation
shall be payable under this Act where the accident to the
workman happens elsewhere than in the province.
The following table shows more in detail the scope of
the several Canadian Compensation Acts: —
Scope of Canadian Co.mpensation Laws
Fnunirrnled
cm ploy-
Allicrta .Mbcna
TravollDi:
Mjnltob.i — I MAtillohn.
Now Dnuli
wlcV. wick. ,
N*pvoSooltxi..| XoxikScgtla.l Nora gcotla.
Puhlic and olhf r f Dipteymc
DHtUh Co-
lutDbia.
ManUotiA. .
Now Bnms-
wlclr.
piovtn<y
Brithli C -
i Manltol'n
.■xcw nnins- I New l^'v
»rtck. I
No<-aS<xHla. No\ i
I >"
Onlarlo Out -
'y.r. f03nhai3rd4V5
hr.»in1oU!ipuhHcV
Accidents and Occupational Diseases
Canadian compensation laws cover both accidents and
occupational diseases. The provisions of the British Act, both
as to content and phraseology, have been adopted practically
without change in nearly all of the provinces. Every law
except Quebec uses the phrase, "Personal injury by accident
arising out of and in the course of the employment, unless
it is attributable solely to the serious and willful miscon-
duct of the workman." In four provinces," however, injuries
•Alberta, British Columbia. Manitoba and Nova Scotia.
September 10, 1920
THE MONETARY TIMES
due to willful and serious misconduct are compensable if they
result in death or serious disability. In addition, New Bruns-
wick excludes' injuries if intentionally self-inflicted, due to
intoxication or caused by a fortuitous event not connected
with the industry. Quebec also excludes intentionally self-
inflicted injuries, while. Yukon excludes those caused b\
intoxication.
As regai'ds occupational diseases, the Canadian pro-
vinces followed the compensation law of Great Britain, which
originally included the following diseases and processes: —
Occup.\TioNAi. Disease Schedule of British Workmen's
Compensation Law of 1906
l'roc««.
naQ'jlttiK of woo). hAlr, brlttlrs. hiiJn, snd sklof.
Any proerss InvulvinK tbe use o( Irad or Its |mp«nU0Dl or
.-.t- ..-,.:, U^ ,
n^ the luc o( mercury or lis prcpATiUoni or
„ : .: ,■'■
.uiii;oril5S<qu*Lw..
; the UK of phoipliOruj or lu prepvAtloos
Anen,-; .. .i:,i
.>-il5r*qurlw .
:iv- \hf u'f ' 1 jr-*nlc cf It^ ptfpaiailonj or
AakyliMl>jaii^)>
Miuiii^.
Canadian \'ariations from British Law
Manitoba and British Columbia adopted verbatim the
British Act of 1906; .A.lberta and Ontario added miners'
phthisis to the original list, while Nova Scotia added the
three following diseases: Subcutaneous cellulitis of the hand
(miners' bent hand), subcutaneous cellulitis over the patella
(miners' bent knee), and acute bursitis over the elbow
(miners' bent elbow). New Bninswick did not adopt the
British schedule, but grants compensation benefits for all
occupational diseases, as determined by the board, contracted
in industries within the scope of the .\ct. Quebec and Yukon
do not compensate for occupational diseases.
However, the foregoing diseases are compensable only
if they are due to the nature of any employment in which
the workman was employed at any time within one year
previous to the date of disability. Compensation shall be
payable in the first instance by the last employer. The latter,
however, may recover from other employers whose employ-
ment had within the year contributed to the contraction of
the disease.
Waiting Period
With the exception of Yukon Tenitory, none of the
Canadian compensation laws have a wailing period of over
one week. In two provinces the waiting time is only three
days. Furthermore, in most of the provliicc-s compensation
when payable begins from the date of the injui-y. The fol-
lowing table shows the waiting period for each province: —
\ Compensation Laws
Per Cent of Wages Paid as Compensation, Maximim
Weekly or Monthly Pay.ments, and Maxi.mim
Period and Amoint of Compensation Pay-
able in Case of Death, Permanent
Total Dis.ujility, and
Partial Disability
' Utxlinum period a
Hmthtr or VMklr
UwilcolM
N»w Dniaiwlrk .
No\» Srolll
IIOmonlhlT t>^(lonfdMih)
, f Ifl «-(Tklr (<cniloa uoul
i diuMlllvi. <
I tflmo-ltblvitcll'lontilMtllV..
I 122 «'^rVlv (loial dlsa.
blUl;)
iru] life of dr-
«»»nlllJ.WI.
rroLiibh, {ndu«- U(#..
Nljty I.
«l<']lh>. l'r(i(nbl« Indui'
I'rotab)^ Indus- Hit..
nWy (
l'n>tuU# Indus-
n,soi..
The provisions relative to weekly or monthly maximums
differ widely as between death and disability. In case of
death the monthly maximum is usually $40 (Ontario, $60),
but not over 55 per cent, of the employee's wages. In case
of total disability the weekly maximum amounts range from
$13.20 in Nova Scotia to $22 in British Columbia, Manitoba
and Ontario. The Quebec and Y'ukon laws make no provision
in this regard.
Compensation benefits in case of death are not based
upon wages. Instead, all of the provinces except Quebec and
Y'ukon provide a fixed monthly pension of $20 for the widow
($30 in Ontario), with an additional $5 for each child ($7.50
in Ontario). Payments to the widow continue for a period
equal to the probable industrial life of the deceased husband,
or, to quote the law: "Tlie payments shall continue only so
long as, in the opinion of the board, it mig'nt reasonably have
been expected had the workman lived he would have contri-
buted to llie support of the dependents." Payments to the
children cease at sixteen years and to the widow upon re-
marriage, except that in the latter event she is paid a lump
sum equal to two years' compensation. Two of the above
provinces have a maximum limit; in .Mberta this limit is
$2,500 and in New Brunswick $3,500. Under the Quebec law
the death benefits are four years' earnings of the deceased
employee (maximum, $2,500), while the Yukon law provides
a flat sum of $2,500. In addition to the compensation benefits,
most of the provinces provide also for burial expenses, the
maximum nllowancc usually being $75.
Compensation Benefits
The compensation benefits of the Canadian laws are
about on a par with the more liberal American Acts. The
scale of benefits is considerably lower, but, on the other hand,
the periods for which benefits are paid arc much longer,
compensation usually being paid during disability or until
death or remaniage of the widow. In case of death the usual
provision is a fixed monthly pension of $20 to the widow,
with an additional $5 a month for each child, but not over
$40 in all. In case of disability the usual compensation i«
55 per cent, of the employee's earnings, to be paid durinfr
disability. The following table shows the per cent, of wag-
paid as compensation, maximum weekly or monthly P":
ments, and maximum period and amount of compcnsati^T
payable in case of death, permanent total disability and
partial disability: —
Total and Partial Disability
In all of the provinces (except Y'ukon) compensation for
total disability accidents continue during disability, and in
case of permanent disability, .luring the life of the injured
workman. Throe provinces, however, provide a maximuni
limit: Alberta and Quebec J2.500 and New Brunswick $3,500.
In five provinces (British Columbia, Manitoba, New Bruns-
wick, Nova Scotia and Ontario) the amount of compensation
18 55 per cent, of the employee's wages, subject to weekly
maximum and minimum limits. In Quebec the percmtago
is 50, while in .VIberta the amount is not based upon- wages,
a weekly pension (maximum $10, minimum $10) being pro-
vided instead.
The Canadian method of compen.saling partial disability
accidents .lilTers widely from the popular American method.
Most of tbe laws in the liniled Stales contain a schedule of
1 lial disabilities for which benefits arc awarded
iriods, the wi'ckly paymcnU being based upon
• of wages earneil at the time of the injury. In
Canadu ail of the provim-cs except Alberto and Yukon base
the amount of compensation upon the wage loss or impair-
THE MONETARY TIMES
Volume 65.
merit of earning capacity, payments continuing during disa-
bility. The workmen's compensation boards liave authority
to formuhite partial disability schedules in which the loss of
earning capacity of the various disabilities is e.xpressed in
percentages of total disability. The age and occupation of the
injured workman is usually taken into consideration in de-
termining his impairment of earning capacity. One of these
provinces, however, has a maximum limit — New Brunswick.
$1,.500. Alberta and Yukon have adopted the Washington
method and provide fixed amounts for certain specified
injuries.
.Medical Service
Although none of the early Canadian Acts pi-ovided
medical or surgical service in the present acceptation of the
temi, some of the provinces have recently made provision
therefor. The following table shows for each province the
amount of medical and surgical aid and the conditions under
which it is furnished: —
Medical Service Provided Under Canadian
Compensation Laws
compulsory retirement at the age of seventy-five. Each board
is authorized to appoint its officers and employees and to fix
their salaries. The term of office of such employees is sub-
ject to the pleasure of the board.
The boards have final and exclusive jurisdiction over all
compensation matters, no appeal to the courts being per-
mitted except in New Brunswick and Nova Scotia. In these
two i)rovinces appeal may be had to the supreme court upon
questions of law, but only with the permission of the judge
of said court.
-Occident Prevention
Of the six Canadian provinces having administrative
compensation boards, the British Columbia board is the only
one which has statutory jurisdiction over accident prevention
W'ork. In all of the other provinces this function is per-
formed by other State or private agencies. The Alberta and
Manitoba compensation laws made no provision for accident
prevention at all, while the laws of New Brunswick, Nova
Scotia and Ontario authorize employers' associations to
undertake this work, with a rather loose supervision by the
workmen's compensation board.
Drltish Columbia..
ncasonablccxponst.^ of lost sickness In fatal c
x'DJvinffnortppcndrnts; Inothor
r------ fil"il5''Pd medical Aid from employers hos|"fJ*l f"nd or ^lit'Z
accident fund to wliich cmpIo>'ccs must conlriiniie .
Such service as reasonably necessary, transportation included; rpccial provirifn
. 5 hospital fund permitted.
Such sueclal medical and surgical treatment as will con'
such Ilrsl-ald and ho.sDltal treatment as the board ma
' Rensonnblp ^rviee fop W days in compenaabia IniUTy c
It l.e<vs^;irv toreduce dlsannily; spectal pro^^no^ '-
! i! t^npllt schemes pernutted.
■Txicv in eomponsoWe injury cases: transporiationjncluded: appro- p.l
;: I'nt Iienefit schemes permritert.
Non-Resident Alien Dependents
With the exception of Quebec, all of the provinces grant
compensation to non-resident alien dependents, but with
certain qualifications and resti-ictions. In .\lberta the law
provides that it shall be conclusively presumed that a work-
man, two years after his arrival in Canada, has no non-
resident dependents other than his parents — one year after
his arrival in case the workman is not of British nationality.
In British Columbia non-resident alien dependents are en-
titled to compensation, but the board may awanl such lesser
sum as will, according to the conilitions and cost of living
in the place of residence of such dependents, maintain them
in a like degree of comfort as dependents of the same class
residing in Canada and receiving the full amount of com-
pensation would enjoy. In the other five provinces (Mani-
toba, New Brunswick, Nova Scotia, Ontario and Yukon) a
iion-resiilent alien dependent shall not be entitled to com-
pensation unless by the law of the country in which he re-
sides the dependents of a workman to whom an accident
happens in such country if resident in Canada would be
entitled to compensation. Moreover, the amount of compen-
sation shall not be greater than that granted under the
foreign law. Furthermore, in Manitoba and Ontario non-
resident enemy aliens are excluded entirely from the benefits
of the Act. Ontario also denies compensation to a resident
of a country "voluntarily withdrawn from alliance with the
British Empire during the Great War, or of a country in
default of establishing peaceful and harmonious relations
with the British Empire." The Quebec law does not grant
compensation to non-resident alien dependents.
Administration
In all of the provinces except Quebec and Yukon, wliich
have the court type of law, the administration of the Com-
pensation .^cts is under workmen's compensation boards. The
members of the boards are appointed by the lieutenant-gov-
ernor, and hold office during good behavior, except that in
British Columbia the term of office is ten years. In four*
of the provinces, however, the commissioners are subject to
•Manitoba, New Brunswick, Nova Scotia and Ontario.
COLONIAL LOAN PLANS CAPITAL REDUCTION
Kedeniption of Half Capital Stock Would Have Effect of
Doubling Proportion of Reserve to Paid-Up Capital
SHAREHOLDERS of the Colonial Investment and Loan
Co. have been advised that a special general meeting
will be held on Septetiiber 14 for the purpose of considering
a by-law for the redemption of one-half the company's
capital stock. The capitalization of the company at present
consists of permanent preference shares which have been
subscribed to the extent of $2,455,010, on which $2,438,421
has been paid up, and of ordinary permanent stock sub-
scribed to the amount of $100,000, and on which $20,000 is
paid up. The reserves total $400,000, and the total assets
at the end of 1919 were $5,41(5,569.
The by-law provides for the redemption at par of one-
half of the pennanent preference shares, power to do this
having been included in the company's charter. Such re-
demption would take place on October 1, 1920, by redeeming
one-hair the shares held by each stockholder, and where an
odd amount is held, one share would be excluded in calculat-
ing the amount to be redeemed. Fifteen days' notice of
intention to redeem is to be given, unpaid balances are to be
paid up, and dividends upon the shares to be redeemed are
to cease on Septetnber 30th.
To Strengthen Company's Reserve
This proposal accounts for the activity which has taken
place in the shares of the company on the Toronto exchange
during the past two weeks, and for the advance in price from
around 67 to 74. The purpose of the by-law, said J. H. Mit-
chell, secretary of the company, in an interview with TIu-
^folh■l^ll■y Times, is to strengthen the company's position by
increasing the proportion of reserve to paid-up capital and
thereby ensure the continuation of the 6 per cent, dividend.
There are, he pointed out, no deposits from the public, and
the .$423,352 of debentures remaining outstanding at the end
of 1919, mainly in England, have since been paid off. The
liquid assets will also enable it to meet the cash outlay of
about $1,200,000, which would be required by the redemption,
he said, as among these were over $1,600,000 of Anglo-
I'lcnch bonds due October this year.
The Colonial Investment and Loan Co. was organized
about twenty years ago, and the shareholders have received
a dividend of 6 per cent., with the exception of the early
years and a short time during the war. Although a pro-
I'Dsal to acquire the controlling interest in the Imperial
Trusts Co. was voted down by the shareholders last year, it
IS expected that the present plan will be approved, as the
.shareholders will receive $100 cash for shares having a
market value of around $70.
September 10, 1920
THE MONETARY TIMES
Trade Review and Insurance Chronicle
of CanaDa
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Telephone: Main 7404, Branch Excbanse connecting all depmrtmcnta.
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The Monetary Times does not necessarily endorse the statements and
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PRI.NCIPAL CONTENTS
KDITORIAL: -- - PAGE
Public Regrulation Now Being Tested 9
What We Must Pay the UniU'd States 10
Uniformity in Insurance Laws 10
Just Even,' Day Efficiency 10
Special .Articles:
Comparison of Workmen's Compensation Law .... 5
Augrust Weather a Boon to Canada's Crops 14
Income Insurance 18
Financing Wheat Crop By Way of Credit 26
Evolution of Grain Marketing Facilities 28
Insurance Policy as Collateral Security 30
Monthly Departments:
.■\ugust Bond Sales 22
Fire Losses 24
Weekly Departments;
News of Industrial Development in Canada 32
News of Municipal Finance 36
Government and Municipal Bond Market 38
Corporation Securities Market 42
The Stock Markets 44
Corporation Finance 46
PUBLIC REGULATION NOW BEING TESTED
UPON the decision of the Board of Railway Commissioners
for Canada, in three cases, before it this summer, de-
pends to a large degree the future of three of the important
industries of this country. In one of these cases, the appli-
cation of the railways for increased rates, the Board has just
made a commendable decision, which should mean that the
burden of the national system will fall less heavily upon the
shoulders of the taxpayer, and that the railways as a whole
will be in a position to render efficient service. Good seni'ice
cannot now be expected at old rates. The other two cases
are the applications of the Bell Telephone Company and of
the express companies for higher rates.
It is not merely the future prosperity of these industries
that is in the balance, but the question of ownership iUelf.
Judging by past experience, however, both alternatives which
are open to the Board would seem to lead inevitably to public
ownership. The public is certainly in no piood to pay higher
rates for transportation and telephones in order that excep-
tional profits may be made by the companies, and a policy
of too great liberality on the part of the Board towards the
latter would result in a demand, which we doubt not would
soon be put in force, that they be taken over by the govern-
ment. Similarly, to refuse any increases in rates would
mean, at present costs, that shareholders, and perhaps bond-
holders, would receive little or nothing, that new ' .securities
could not be sold, and. as a consequence, that further exten-
sions and improvements in the services could not be m«de.
How quickly such a condition leads to govcrnnunt acquisition
we have already witnessed in the case of the railways.
To enable the companies to continue in business success-
fully, and at the same time to convince the public that the
maximum ser\ice is being rendered, is the excee.lingly iliffi-
cult task now resting upon the shoul<ler.« of the railway
board. Government control of industry is young in Canada,
and it has not been entirely successful. In fact, it seems to
be a half-way point between corporation freedom and public
ownership. It has wavered between an over-libcrality to-
wards the companies and a too great zeal on behalf of the
public, according to the sentiment of the day and the views
of the regulating officials. So great has been the ardor of
Restriction in recent years that there is scarcely a railroad
or a public utility company on this continent which has been
able to pay even a moderate dividend upon its stock, and
in many cases bond interest is in default. The zenith of eco-
nomic prosperity finds industrial and financial institutions
making profits greater than ever before, and individuals
receiving high and still incrjeasing salaries and wages, while
these services which are essential to industrial and private
life are starved for lack of adequate revenue.
What is to be considered a fair profit in these cases? If
the dividends of the most successful corporations are re-
stricted to six or eight per cent., no investor in his senses
would buy their securities at par at a time like the present,
when the sjime rate can he secured on good bonds and mort-
gages. For the profits from successful enterprises must be
sufficiently large to compensate for the failure of the others,
and the investor will not buy stock unless the possibility of
loss is counterbalanced by the possibility of a return sub-
stantially above the assured return from an investment in
which his principal will be unquestionably safe. There is.
moreover, alwa.vs the chance, that one of these sen'ices. no
matter how essential it may .seem now, will pass out of use
as the result of a new invention or great change in economic
life. The vast properties of a telephone company might be
made valueless overnight by the commercializing of wireless
telephony. That such a vast change is not unknown in actual
historj- is instanced by the immense ctinal system in the
United States, built up in the early nineteenth ccnturj-. but
supplanted in the latter half by the railroads. These and
other considerations must be taken into account in calcu-
lating a fair return upon an investment in shares of a rail-
road or public utility enterprise.
In estimating what rates would be fair, considenition
must, of course, be given to real investment rather than to
nominal capitalization. There is much merit in the proposal
that the capitalizjiton of the Canadian National R.n: •-
should be written ilown on a conservative basis. Havii i-
this, it would then be necessary to •«•<■ tlmt e.-irnniL'^ ■ ■"
sufficient to carry the system.
THE MONETARY TIMES
Volume 65.
WHAT WE MUST I'AY THE UMTED STATES
SOME food for serious Canadian thought is found in a
statement of foreign loans in the United States, com-
piled by the Guaranty Trust Company and published in the
Federal Reserve Bulletin of July. This country is con-
spicuous in the list of foreign borrowers. This is, of course,
to be e.xpected, considering the geographical, industrial and
financial relations between the two countries. But while it
is a fine thing to enjoy good credit, there is such a thing
as making too free a use of such credit. One country may
obtain a strangle-hold upon another by finance alone, and,
though it is not suggested that any political difficulties might
arise by the predominance of United States capital in Cana-
dian enterprise, yet the financial relations set up in this w-ay
must constitute one of the main factors in the development
of this country.
The statement shows the amount of foreign loans in the
United States outstanding as of July 1st, 1920, by classes
of securities and by countries. Those made by Canada and
Newfoundland compare with the totals as follows: —
Total. Can. and Newf.
Govemment $ 1,5.55,744,000 $152,500,000
State and municipal 264,606,313 130,425,313
Railroad 264,416,265 121,328,500
Public utilitv 81,345,000 80,095,000
Industrial . '. 55,899,500 39,899,500
Total $ 2,222,011,078 $524,248,313
Cash advances and other
charges against credits
established by U.S. up to
May 11th, 1920 9,598,855,000
Grand total ?11,820,8G6,078 $524,248,313
The immense total of cash advances are mostly to Great
Britain, France, Italy, Belgium and Russia for purchases in
the United States. Confining our attention to the bond issues,
however, we find that Canadian loans comprise nearly one-
fourth of the total. Again, leaving aside the government
loans, which include the Anglo-French loan and the issues
of United Kingdom notes, etc., we find that Canadian issues
loom still larger in the total. They are one-half the state
and municipals, nearly half the railroads, neai-ly all the
public utilities and about thi-ee-fourths of the industrials.
The Canadian government loans were the issue of $75,-
000,000, made in March, 1916, and due 1921, 1926 and 1931,
and another issue of $75,000,000, made in .-Vugust, 1919. The
states and municipals are made up chiefly of issues of the
provinces and of such large municipal corporations as Greater
Winnipeg Water District, Toronto Harbor Commission, Ham-
ilton, London, Calgary, etc.
This total of $524,248,313, which does not include .-Vmeri-
can subscriptions to Canadian domestic loans, holdings of
stocks and other securities or direct investments in industry
or property, means an annual intei-est charge of around
$30,000,000. This is a considerable item in striking our annual
balance with the United Slates, an item which must be offset
by an excess of exports to that country. Our present imports
are greatly in excess of our exports, indicating that the bor-
rowing process is still under way.
UMFOUMITY IN INSUKANCE L.VW
UNIFORMITY in provincial insurance, in so far as such
is possible, is desirable. Such uniformity can be ob-
tained best through joint consideration on the part of the
provincial superintendents and close co-operation between
the superintendents and the companies. The third annual
conference of provincial superintendents is to be held in
Winnipeg, October 4th to 7th, and it is expected that subjects
of the foremost importance will be discussed. The provinces
will all be represented, and it is the desire that insurance
companies be also represented. Particular importance is i
attached to this conference because of the recent reorgani- '
zation of the Ontario department, which is now engaged in
a comprehensive consolidation and revision of the Ontario
Insurance Act, to be presented to a special committee of the
legislature for consideration at its next session. This re-
vision was recommended by the Hon. Justice Masten in his
report on insurance in Ontario, and must deal with subjects
which will be discussed at the conference.
The sessions will be open to the public, but only invited
delegates are expected to take part in the discussions. A. E.
Fisher, superintendent of insurance in Saskatchewan, Regina,
is secretary of the conference. The range of subjects to be
discussed included the following: Uniform forms of depart-
mental return from insurance companies; insurance trans-
acted in Canada by unlicensed foreign companies; taxation
of insurance companies; a discussion of the model fire policy
act, drafted by the commissioners on the uniformity of legis-
lation, and consideration of draft forms of statutory condi-
tions for automobile insurance and for accident and sickness
insurance; the administration of the licensing system for
insurance agents, brokers and adjusters; the forecasting of
legislation governing solvency of fraternal societies; and a
discussion of the subject of reciprocal fire insurance ex-
changes.
JUST EVERY-DAY EFFICIENCY
A WORD may lose its value by over-use. One which has
been over-cultivated, to the loss of its real meaning,
is "efficiency." Efficiency means the shortest and quickest
way of doing a thing. It has a double value, a quadruple
value, an unlimited value. It is not something to be reserved
for comprehension of the elect. It is not a thing to be called
scientific management and used as a bugaboo. It is, on the
contrary, nothing but common-sense applied to every-day
affairs. The doing of a thing in a better, quicker, and more
economical way than at present, the doing of a thing in the
right way, the easy, the adept, the direct and natural way,
rather than in the careless, slovenly, WTong, or round-about
way. Efficiency is the duty not alone of every man to him-
self, but every man to his neighbor. It is a slogan that means
prosperity, and a watchword of honest effort and well-
<lirected energy.
The one comprehensive word covering efficiency in its
fullest and broadest sense is "results," not the initial result
but the final result. The unit measure is but the starting
point, but the combination of units brings about a complete
and finished article of efficiency. Figures having but a
relative value should always be measured by results. The
unit having but an initial value should be combined with
other units, and compressed into a complete and finished
whole.
This is expressed in the necessity for each unit of
efficiency standing elbow to elbow, and shoulder to shoulder,
to the next unit of efficiency, thereby making a compact and
invincible whole proof against the onslaught of competitors,
with whatever organization they must have at variance with
our own.
The recent drop in the price of Victory bonds has in-
creased the determination of owners to hold rather than
sell at a loss. .-Vt the same time buyers are not encouraged,
feeling that the bottom may not yet be reached.
Farnici-s :md manufacturers are objecting to the rate
decision of the Board of Railway Commissioners. This
. awai-d, coupled with previous increases, will mean an in-
crease of about 75 per cent, since 1914. Will the farmers
and manufacturers maintain that this is out of proportion to
the increases in labor costs, averaging 100 per cent., and
in the cost of materials, ranging from 50 per cent, to 300
iHT cenf.?
Septeniljer 10, 1920
THE MONETARY TIMES
FOREIGN
BUSINESS
Much attention is being directed
at the present time to export
business. This Bank has a
number of foreign branches as
well as close working arrange-
ments with banks of the highCvSt
standing in many other coun-
tries which enable it to offer
special facilities in the financing
of trade with foreign points.
THE CANADIAN BANK
OF COMMERCE
Capital Paid-up
Reserve Fund
$15,000,000
515,000,000
Business Accounts
The complete banking facilities
provided at all our branches enable
this Bank to give Business Ac-
counts the care and attention they
need and deserve.
The Merchant and the Manufac-
turer will find the services rendered
by this Bank of the greatest assist-
ance in conducting their business.
IMPERIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land - The Commercial Bank of Scotland.
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
International
Trade
""PHE success of
international
relationships is
primarily dependent upon com-
merce between nations.
Our Foreign Trade Department is
equipped to render a complete,
world-wide service. We invite you
to utilize our facilities.
Foreign Exchange Departments — with pri-
vate wire service — at London, Eng.. New
York. Montreal, Toronto, and N'ancouver.
UNION BANK
OF CANADA
THE
Bank of Nova Scotia
Eatablished 1832
Capital
Reserve
Total Assets
$9,700,000
$18,000,000
$230,000,000
GENERAL OFFICE : TORONTO, ONT.
H. A. R.rhard.on. CcnrrnI M«nJ.v:rr
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic, Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
55. OLD BROAD .STREET. E C.2
HE MONETARY TIMES
Volume 65.
PERSONAL NOTES
V.M. .'^ICi.EliU, manager of the Vk-loria office oi die
Great West Permanent Loan Company, was in Toronto this
week.
W. N. MC'LWBAITH, a member of Wood, Gundy and
Company, Toronto bond dealers, sailed for England this
week, where he will be associated with the company's Lon-
don office for a time.
Hon. Rodolph Lemieux, formerly postmaster-general of
Canada, and now member of the House of Commons for
Maissoneuve and Gaspe, Que., and Hon. E. M. Macdonald,
of Picton, N.S., were elected directors of the National Life
Assurance Company at a meeting of the Board on September
8th.
Lyman Root, who was recently elected president of the
Caiuulian Fire Underwriters' Association, is one of the fore-
most figures in
the Canadian fire
insurance field. He
was born in West-
field, Mass., i n
1869, and held
various positions
with the Hartford
Fire in Hartford,
Conn., from 1SS9
to 1905. In the
latter year he came
to Canada as the
company's inspec-
tor for the Do-
minion. After a
time he formed a
partnership with
D. C. Edwards,
operating an in-
surance agency for
two years in Sault
Ste. Marie, Ont.
Then in 1914 he
became assistant
manager of the
Sun Fire Insur-
ance Company, and in 1916 was appointed manager. Mr.
Root is also president and managing director of the Imperial
Underwriters' Corporation of Canada.
G. S. Ralston, vho was formerly associated with tlie
Crnada Bond Corporation, Toronto, has joined the invest-
ment house of Hous^cr, Wood and Company, Toronto. Pre-
vious to his association with the Canada Bond Corporation,
Mr. Ralston served for some time with the Canadian forces
overseas.'
John J. Henry, who has been with .\. E. Dyment and
Company, stock brokers, Toronto, for several years as man-
ager, has been appointed assistant manager for Ontario,
with offices in Toronto, for the Educational Motion Picture
Bureau, Inc., a MassixchuseWs corporation, with head-
c|uarters in Boston.
A. E. D. HoL' EN, who has been serving as chief ac-
countant with the Canadian Trade Commission at Ottawa
for some time past, has been appointed secretary-treasurer
of the Hew R. Wood Company, Montreal bond dealers. In
his early endeavors in the bond business, Mr. Holden was
formerly associated with the Hew R. Wood Company.
J. P. Bell, general manager of the Bank of Hamilton,
is at present touring the west for the purpose of inspecting
the bank's branches there. He was at Winnipeg this week
; nd while there conferred with F. E. Kilvert, western
superintendent and manager of the bank's Winnipeg office.
and Isaac Pitblado, K.C., who is the western member of
the board of directors.
<;R\I\ EKCHAXGE PRESIDENT WELCOMES OPEN
TRADING
Past ^ ear Has Been an Eventful One in Grain Trading-
Present Price Around $2.77 per Bushel
(Special to The Monetary Times.)
Winnipeg, September 9, 1920.
WKT weather in some parts of the west has delayed
threshing operations this week. Threshing is now
general all over the west and the yield and grade are quite
satisfactory. The new wheat crop is moving marketward
at a rate that will average well up to former years, although
not so heavy as in the corresponding period of 1919, when
the harvest was two weeks earlier.
Up to September Oth, 2,117 cars of w^heat have been
inspected in Winnipeg, as against 5,424 cars for the same
period last year. On the basis of 1,225 bushels to the car,
which is a fair average, there has already been marketed
2,593,o25 bushels, all of which has been practically absorbed
by western mills and very little has yet found its way to the
head ol* the lakes.
The demand for the new wheat has been very keen,
resulting in premiums of from 10 to 16 cents being paid over
the October prices, and the farmers who have already sold
their wheat have been securing about $2.77 per bushel on the
basis of Fort William, which means that a sum of $7,183,510
has already passed into the farmers' hands for this year's
wheat.
Grain Exchange Meeting
The annual meeting of the Winnipeg Grain Exchange
. was held to-day w-hen the following officers were elected:
President, Norman L. Leach, vice-president and general man-
ager of the National Elevator Co.; vice-president, C. H. Lea-
man; secretary-treasurer, Dr. Robt. Magill; executive couti-
cil, T. J. Anderson, W. R. Bawlf, E. S. Parker, T. Brody, J.
E. Botterell, J. A. Richardson, D. C. Maclachlan, C. Tilt, A.
K. Godfrey, A. Kelly, C. C. Fields.
The retiring president, John E. Botterell, who has held
office during one of the most trying years of the exchange,
and during who.se term of office trading in wheat futures
was again resumed after three years of closed markets, said,
in part, in the course of his address: "The most important
event that has taken place during the year affecting the
grain trade was the reopening of the wheat market. After
very mature consideration of the matter from every point of
view, the government decided to re.store free and open tid-
ing of wheat by the exchanges, and the market was opened
on August 18. The government passed a bill which enables
it at any time, should conditions render such a step necessary,
to resume control and reappoint the Canadian wheat board.
"We, of course, in the trade, welcomed the opening of
the markets, and we did so, not merely because our business
had been affected by the long-continued method of handling
of w'heat, but also because we believe that all experience
justifies our confidence that government trading is not as
efficient and economical as private trading."
New Mortgage Comiiany Formed
.\ chartei' has been asked and obtained in this province
for a new mortgage and colonization company, which will
have an authorized capital of $4,500,000. The moving spirit
in connection with this matter is G. W.. Prout, who was
formerly in the local house, and who is well-known through
his activities in the matter of the provision of credit facilities
to farmers. Jlr. Prout's company will be known as the Com-
munity Loan and Investment Co. It will list bonds for sale
and will finance purchasers both in the acquisition of land
and in the subsequent development of it. It also has power
to aid the settler in disposing of his products. The other
nunos appearing as provisional directors are: A. W. Miller,
R. G. Grierson, J. D. iMcKinley and A. C. Grant. Of the
•< l.."no.OOO authorized capital, $3,000,000 will be preferred
stock and $l,.")00,00n common stock of no par value.
September 10, ly20
THE .MONETARY TIMES
The Sterling Bank
OF CANADA
The'service j
firm belief thai ■: ■ H<i.ii^inL; dumucsb nc.as personai
banking service ; and that only by helping our clients
grow can we grow.
Head Office
KING AND BAY STREETS, TORONTO
-*e*Lr^
ESTABUSHED
Coiiimoiiwcaltb TBuvh of au!?tralia
All clasnes of GENERAL AND SAVINGS BANK business are tnins-
ncteJ in all the principal cities and towns of Australia. Rabaul and
Banking and rxchanKc business of every description transacted wilhii
the Commonwealth. United Kingdom, Canada. US. A. and Abroad.
JAS KKIJ.,
Deputy Co
DHNISON MII.I.KR,
The National Bank of Scotland
Limited
Incorporated by Knyal Charter and Act of Parliament. Established iri^
Capital Subscribed /5, 000. 000 325,000.000
Paid up 1.100.000 5,500.000
Uncalled 3.900.000 19.500.000
Reserve Fund 1 .000,000 5.000,000
Head Office • EDINBURGH
WILLIA.M CARNEGIE, General Manager. GEORGE A. HU NTER. Sec.
LONDON OFFICE— 37 NICHOLAS LANE. LO.MBARD ST., EC. 4
T. C. RIDDELL. DUGALD S.MITH.
-Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London- are
retired on terms which will be furnished on application-
The Dominion Bank
ESTABLISHED IS7I
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Banking.
Sterling- Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
ESTABUSHED 1879
Alloway & Champion
Bankers and Brokers
Mcmberi of Winniprg Stock Elch.ns
362 Main Street
Winnipeg
Storks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchanges
fnrjorpora+dd
- - iS5>
Throughout
THE MOLSONS BANK
ICOUi DIVIDEND
The Sharfholdrm of The Molxini. Bonk are hereby notifled that
o Dividend of Three Per Cent, llx-init at the rate of twelve per
cent, per annum t upon the capital stock has been dce1ari><l for the
current <iuarU'r. ond that the name will bo payable at the office t.f
the Hank in Montreal nnil at the flrahchen on and after thr first day
of October nest to Shnreholden< of record on ISth September, IMO
By Order of the Board.
En\v.\nn o. pratt.
V..nlr,nl. -.'Itli Auuii~(. lijn ''.n.r.il M.-ii.iu-. ■
LLOYDS BANK LIMITED, ..
HEAD OFFICE :
LOMBARD ST.. LONDON, E.C. 3.
t}r,=.£i.)
CAPITAL SUBSCRIBED
$294,392,000
CAPITAL PAID UP
47,102,720
RESERVE FUND
48,375,525
DEPOSITS, &c.
1,629,692,180
ADVANCES, &c. . . .
678,817.955
Affiliated Banks :
THIS BANK HAS ABOUT 1.500 OFFICES IN ENGLAND & WALES.
Colonial and Foreign Department: 17. CORNHILL, LONDON. E.C. 3. London Anenoy of lh« IMPERIAL BANK OF CANADA.
The Agency of ForeiRn and Colonial Banks i» undertaken^
THE NATIONAL BANK OF SCOTLAND LTD. THE LONDON & RIVER PLATE BANK LTD.
uxiliary: LLOYDS AND NATIONAL PROVINCIAL FOREKiN BANK LIMITED
THE MONETARY TIMES
Volume 65.
AUGUST WEATHER A BOON TO CANADA'S CROPS
Reports From All Parts of the Dominion Express Satisfac-
tion Ovi-r Conditions — Vegetables and (Jrains in
Excellent Condition — Kruits LiRht
SATISFACTION as to the condition of crops is expressed
in reports to the Dominion Bureau of Statistics from
various parts of the Dominion at the end of August. The
following dispatches were received: —
Prince Edward Island. — Prolonged hot weather early in
August ripened all cereals very quickly, reducing yields, but
favorable for saving balance of hay. Sufficient beneficial
rains fell throughout month for corn, roots and potatoes.
Some blight has been reported on potatoes, but crop pros-
pects are good. Large fruit looking well. Pastures "fair.
Nova Scotia. — Kentville: Fine harvest weather during
latter part of month. Fifty per cent, of grains now har-
vested in good condition. Yields are good of all cereals. Com
exceptionally good and root crop fair. Fall pastures are
good. Potato blight in places with yield fair to good. Apple
crop about one million barrels of good quality. Amherst:
Hay-making well advanced. Crop 80 per cent, of average.
Weather catchy. Roots, ensilage and potatoes good. Grain
ripening fast. Fruit light.
New Brunswick. — Fredericton: August weather favorable
for crop growth and harvest. Moisture sprouted some grain
in stook and started blight among potatoes. Haying about
finished. Grain two-thirds cut, and will give high yield.
From :!0 to 40 per cent, of potatoes down blight. Apples
light crop.
Quebec. — Ste. -Anne de la Pocatiere: August has been
warmer than July and cereals are ripening normally. Hay
crop harvested in poor condition. This crop much deficient
in the east. Twenty-live per cent, of cereals harvested.
Potatoes give promise of a good crop, so will European
plums. Lennoxville: Weather during month generally fair
with exception of heavy rains from 115th to 15th and on the
22nd. More than half the grain crop already harvested.
Yield very good. Corn crop fair. Potatoes are affected
with rust. Swedes average crop. Vegetables good.
Wet Weather Caused Slight Delay
Ontario — From the Ontario Department of .Agriculture:
Wet weather delayed harvesting. Oats and barley yield well
with long straw. Spring wheat rather poor. Fall wheat
niodiMiite yield but grain plump and much of it overweight.
Mii|>iwnmcr pastures good. Milk flow satisfactory. Second
growth of clover, alfalfa, etc., good. Corn now growing
promisingly. Potatoes and roots good.
Manitoba. — From the Manitoba Department of Agricul-
ture: Grain rutting almost completed. Threshing over 50
I'l'i- ii'iil. done in the south. .Starting in the north. Con-
siderable rust on late crops in portions of the Red River
Valley, but many oreas unaffected. August warm and very
dry. with little hail loss or frost damage. Crops vary from
very heavy to very light. On the whole, wheat, oats and
barley will give slightly obovc average yields. Excellent
seed wheat. Stem sawfly somewhat prevalent. Potatoes
light. Morden: We have experienced one of the hottest and
driest summers that southern Manitoba has had. Despite
this the cereals ace yielding fair crops of No. 1 grain. The
straw is short. Potatoes n light crop but of excellent
quolity. All sorts of garden products limited, with prices
high. Pastures dead.
.Saskatchewan. — From the Saskatchewan Ttepartnient of
Agrinilture: Wheat cutting is practically completed. Thresh-
ing has started in many places. Ruin generally in the pro-
vince delayed harve.'«t oiwrations for a few days. Prelimin-
niy average wheot yield for province estimated at 14 hu.shel?
per acre. Rosthem: Wheot cutting completed under favor-
able weather conditions, but threshing delayed by rain. Esti-
mated wheat yield 10 bushels. Oats 50 per cent, cut, yield
"0 bushels. Barley nO per cent, cut, yield 20 bushels. No
damage from hail or frost, but slight damage to late wheat
Horn rust. Scott: No rain from 4th to 28th. Early sown
crops matured rapidly, cutting commenced on the 23rd; 40
per cent, crop in stook at the end of month. Heavy rain
last four days stopped harvesting operations. Three degrees
of frost on the 20th injured tender vegetation and caught
.some late wheat.
Alberta. — Lethbridge: Weather conditions in August
have been favorable for ripening and harvesting grain in
southern Alberta. Seventy-five per cent, wheat now cut and
good start made on coarse grains. As yet insufficient grain
threshed to make reliable estimate of yield. The feed situa-
tion good and consequently demand for hay not strong.
Conditions at the Pacific
British Columbia. — From the British Columbia Depart-
ment of .Agriculture: Weather during August has been
settled with the exception of the last few days of the month,
when rains were prevalent in practically all sections of the
province. Sixty per cent, of grain harvested and threshing
is in progress at many points. Oats and wheat promise
heavy yields. All root crops show great improvement and
good yields are anticipated. Invermere: Crops are being
harvested in good condition. Most of the grain is being
cut. -Mfalfa has made a good second growth. Com and
sunflowers are giving good yields. Potatoes and roort^
promise well. .August has been exceptionally dry. Sum-
merland: .Apple and pear crop is sizing up well and is of
excellent quality. Packing houses seem to anticipate an 80
per cent, crop, compared with last year. In this district
hay crop not as heavy as average, but well harvested.
Agassiz: Precipitation for August 1.67 inches. Excellent
harvesting weather. Harvesting practically completed and
about 25 per cent, threshing done. Y'ields below average.
Pastures and roots require more moisture. Sidney, V.I.:
Favorable weather for harvest. No damage done by rain.
Threshing and straw baling active. Grain crops yieldir.g
well. Soil in good condition for ploughing. Orchard fruit,
com and roots developing satisfactorily.
TRADE WITH BRITISH WEST INDIES
A booklet on "The British West Indies and British
Guiana," just issued by the Bank of Montreal, is a most
timely publication in view of the new trade agreement be-
tween Canada and the West Indies now awaiting the ratifi-
cation of the respective governments. The booklet gives a
concise and interesting description of the salient features of
the various colonies which are party to the agreement, in-
cluding the physical characteristics, area, population and
principal exports and imports. It shows that there are most
promising markets awaiting development by enterprising
Canadian merchants and industrial firms.
At the present time, it is stated, the British West Ir-
dies, British Guiana and British Honduras have a total popu-
lation of over 2,000,000, with natural resources that have
really only just begun to be developed. For instance, it is
offlcially estimotcd that there are at least 20,000.000 acres of
fertile land in the British West Indies not yet beneficiall'
occupied, whereas the area under cultivation is only one
and a half million acres.
The opinion is expressed that under the system of pre-
ferences granted by Canada and the United Kingdom, and
with the growing world-demand for such commodities as the
West Indies produce, the development of these colonies will
proceed apace. There is every prospect of considerable and
progressive increase of the population. If all the fertile land
there were brought under cultivation the colonies which are
in the new .^greemcnt could oasily support a population of
between ."0.000.000 a.ul r.O.OOO.ooo. Even at the present
tinie the interchange of natural products between Canada
and the British West Indies is only a tithe of what it well
might be. and probably will be. with the larger preference
now .ndyocated and the much-improved steamship services
provided for.
September 10, 1920
THE MONETARY TIMES
AFRICAN BANKING
Corporation, Limited
(LONDON)
Paid-up Capital and Reserve, $6,800,000
Over 60 Branches and Agencies
throughout South Africa
Principal Branches located at Bula-
wayo, Bloemfontein, Cape Town,
Durban, East London, Johannesburg,
Kimberley, Port Elizabeth, Pretoria,
and Salisbury.
THE NEW YORK AGENCY
negotiates documentary bills of exchange,
issues drafts and cable transfers, and transacts
a general banking business direct with the
branches of the Bank in South Africa.
Correspondence invited from Canadian Ship-
pers to South Africa, and facilities offered for
the conduct of their business with that country.
Address the K'ew York Agency
64 WALL STREET, NEW YORK, U.S.A.
HomeBankofCanada'
Government Bonds and Savings Stamps
There is a page in the Home Banks Thrift Account
Book for entering the date of purchase, amount, and
interest dates on Government Bonn's, War Stamps, and
Savings Certificates. The form is very concise and will
preserve all the details for ready reference. Ask for a
copy of the Thrift Book. Distributed free at all Branches.
BranchcB and Connections Throughout Canada
Head Office and Eleven Branches in Toronto -^
THE
Weyburn Security Bank
Chartered by Act of the DoninioD Parliament
hkad okficb. weyuurn. saskatchewa.n
Branches in Saskatchewan at
Weyburn. Yellow Grass, McTaggart, Halbrite. Midale,
GrifHn, Colgate, PaiiKinan, Radville, .Assiniboia, Bensou,
Verwood, Readlyn, Tribune, Expanse. Mossbank, Vantage!
Goodwater, Darmody, Stoughton, Osage, Creelman and
Lewvan.
A GEXER.^L B.\NKING BUSINESS TRANS.^CTEI)
H O POWELL. General .VUinaccr
TH€ AVCRCHANTS BANK
Head Office : Montreal. OF CANADA. Established 1364.
Capital Paid-up, $8,400,000 Reierve Fnnd and Undivided Profits, $8,660,774
Total Deposits (3Isl Jul;, 1920) - Over $163,000,000
Total Assets (31st July, 1920) - Over $200,000,000
Board of Directors :
Thouas Long
Sir Frederick Orr Lewis, Bart.
Hon. C. C. Ballantvne
SIR H. MONTAGU ALLAN
I". Howard Wilson
Farouhar Robertson
Geo. L. Cains
Vice-President
Alfred B Kvans
Thomas Ahkarn
Lt.-Col. J. R. MOODIE
A. .1. DAWES
Hon. Lorne C. Webster
E. W. Kneeland
Gordon M. McGregor
General Manager - D. C. Macarow
Supt. of Branches and Chief Inspector ; T. E. Mkrrett
Gencr.il Supervisor - - - W. A Meldrum
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
greasiveness, promptness and sound advice.
395 Brancfaei in Canada, extending irom the Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookall, Agenit
London, England, Office, 53 Cornhiil : J. B.Donnelly, D.S.O., Manager.
Bankers in Great Britain : Tbe London Joint City & Midland Bank, Limited, The Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
HANK HUANCH NOTES
Nft (;ain in Number i>l Hrancht's in July was 32 — Koval Hank
Took Li-ad with Kight New Branches
ONLY one new branch is announced as being opened this
week, this being a branch of the Canadian Bank of
Commerce, at Hull, Que.
The Merchants Bank of Canada will open a branch at
Humboldt, Sask. The building to be erected is to cost $30,000.
At an e.xpenditure of $55,000, extensive alterations are
to be made to the premises of the Royal Bank of Canada
at the northeast corner of Robson and Granville Streets,
Vancouver, B..C
New Branches in July
Thirty-five branches of Canadian banks were opened in
July, distributed among the various banks as follows: Mont-
real, 1; Nova Scotia, 3; Royal, 8; Commerce, 3; Dominion, 1;
Nationale, 3; Merchants, 1; Provinciale, 4; Hochelaga, ',',;
Imperial, 5; Home, 3.
The following three branches were closed in July: Bon
Accord, Alta., Merchants; Cedar Springs, Ont., Commerce;
Hampton, Ont., Standard.
The following is a list of branches of Canadian banks
which were opened in July and have not already been men-
tioned in The Momlary Times: Arrowhead, B.C., Imperial;
Avcning, Ont., Merchants; Bayfield, N.B., Nova Scotia;
Bethany. Man., Home; Brownsburg, Que., Nova Scotia; Cap
Chat, Que., Nationale; Carlton, Sask., Imperial; Connaught
Sta., Ont., Imperial; Kabre, Que., Hochelaga; Friedenstal,
.\lta.. Imperial; Montreal, Que., Royal; Nevis, Alta., Royal;
Notre Dame de Charny, Que., Royal; Papineauville, Que.,
Provinciale; Piopolis, Que., Provinciale; Plamondon, .-Mta.,
Hochelaga; Riviere la Madeleine, Que., Nationale; St. Cecile
de Whitton, Que., Provinciale; St. Denis sur Richelieu, Que.,
Hochelaga; Ville St. Leonard, Que., Nationale; Virgil, Ont.,
Imperial; Wallaccburg, Ont., Royal; Wickham West, Que.,
Provinciale.
WEEKLY BANK CLEARINGS
The following are the Bank Clearings for the week ended
September f», 1920, compared with the corresponding week
last year: —
Week ended Week ended
Sept. 0, '20. Sept. 11. '19. Changes.
Montre:i > I08.t72.'.i77 $12r,,5(i3,058 — $18,090,081
Toi-onto 88,297,172 80,89(5,897 + 7,400.27.t
Winnipeg 40,576,505 43,097,370 — 2,520,871
Vancouver 1<;,.592,935 14,832,551 -f 1,700.384
Ollawn 8,li27,8t;i 9.378,315 — 750,454
Calgary 0,300.700 (•.,(•.53.904 — 353.204
Hamilton 5,884,-201 (•..093,413 — 209,212
Quebec 7,.''.00,859 (•..215,.391 + 1,'291,4C.S
Edmonton 5,188,440 5.225,287 — 30,847
Halifax 4,892.220 4.C.83,290 -I- '208.93(1
London 3,1.39,180 3.346.437 + 20(i.257
Rcgina 4.920.009 4.504.210 -i- 415.793
St. Johi. 2,934,230 3.180,200 — 245,970
Virtoriii 2,903,015 2,971.7(>2 — 08.147
•\I.. . .. .1 , 1.487.900 1,771.957 - '284.0.^7
l.t.ri .,: 1,090,851 1,109,788 — 12,937
r.ian.l.M, 702,707 718.322 — 15..-..V^
Fort William 9'22.975 848,704 -* 71.271
Lcthbridge . . 705.480 750.905 — 45.485
Medicine Hat ... 404,007 421.133 — 17.000
New Westminster 624,664 601,909 + 22.045
Potcrboro 864,«8>? 718,118 + 140.508
Sherbrookc 1.170.217 1.090.150 + 80.001
Kitchener I.059.028 987.280 -^ 71.748
Windsor 3.083.070 1.880.439 ^ l.'202.037
Prince Albert . . . 391,733 444.645 — 52.812
Totals $318,749,044 $328,985,019 — $10,235,975
Moncton (590.004
ITTLKK OF RAILWAYS NOW ASSURED
iJate Increases of Thirty-five and Forty Per Cent. Authorized,
to Take Effect on Monday
(Special to The Moiictury Times.)
Ottawa, September 9, 1920.
SL'BST.\NTIAL increases in railway rates were authorized
on Wednesday by the Board of Railway Commissioners
for Canada, to go into effect on September 13. Eastern
freight rates may be raised 40 per cent., and western freight
rates 35 per cent. After December 31 the increase in the
freight rate in eastern Canada is reduced from 40 to 35 per
cent., and in western Canada from 35 to 30 per cent.
Simultaneously with the increase in freight rates, pas-
senger rates all over the country are advanced 20 per cent.,
so long as they do not exceed four cents a mile. This in-
crease is effective only to December 31. After that date
(December 31) and for the six-months' period, from January
1, 1921, to July 1, 1921, a 10 per cent, increase is authorized.
Following July 1, passenger rates return to those in force at
the present time.
The judgment authorizes increases of 50 per cent, in
sleeping and parlor car rates, and an increase of 20 per cent,
in the rate on excess baggage. No increase is authorized in
the rates on milk. Authorization is given for an increase in
freight on coal from 10 to 20 cents a ton.
Much Evidence Submitted
A summary of the judgment, which has been handed
down by the railway commission in the application of all
Canadian railways for increased rates, was given out by the
chief commissioner, Hon. F. Cai-vell. The chief commissioner
stated that during the exhaustive hearing which opened on
August 10, and continued for nearly two weeks, a tremendous
mass of documentary evidence had been .submitted. The
work of going through this evidence had been a very large
one, and it was only by the greatest effort on the part of
the commissioners that a judgment was arrived at so soon.
Authorization is given for an increase in the freight rate
on coal from 10 to 20 cents per ton (flat rate), according to
distance. When the freight rate is under eighty cents per
ton an increase of 20 cents is allowed; when it is over 80
cents and under $1.50 the increase authorized is 15 cents,
and when the rate is over $1.50 the increase will be 20 cents
per ton. The rate on coidwood, slabs, mill refuse, etc., for
fuel purposes is increased 10 per cent.
In his judgment, Hon. F. B. Carvell, chairman of the
board, say.s: "I realize that these rates will be a substantial
burden upon the people of Canada, but it was admitted by all
parties at the hearing that the cost of everything entering
into the operation and maintenance of railways has increased
more than 100 per cent, during the past four years, while
the railway companies have been granted increases, in what
are known as the 15 per cent, and 25 per cent, cases, amount-
ing on an average to not more than 35 per cent."
The chairman estimates that from the increased rates
granted, the Can:idian Pacific Railway will collect $00,720,000
more from the people of Canada than it would have done
if the present rates remained in effect, or a total of $270,-
470,000. He estimates that the expenses of the Canadian
Pacific for 1921 on the present basis of costs would be $217,-
231.000. including $21,000,000 for labor increases, on account
of the Chicago wage award adopted by Canadian roads, re-
troactive to May 1; $10,000,000 more for increased cost of
coal, more than $10,000,000 for materials, and more than
S'0,000.000 to bring the maintenance of way up to pre-war
sland.nrd. With all these allowances, the C.P.R. will have a
.surplu,« of $15,004,500. after pa.\ing $22,427,000 for dividends,
$4.398.".00 for a 10',*; per cent, income tax, and $11,350,000
for fixed charges and pension fund. That $15,064,500 sur-
plus, the judgment acknowledges, "is probably more than
the company should be entitled to, and probably a little less
than the actual surplus would be for the year's operation,
a.': possibly the increase in the maintenance-of-way labor
might not be realized."
September 10, 1920
THE MONETARY TIMES
17
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(ESTABLISHED ISl")
PAID UP CAPITAL - - - ^Ifc ^ 23,828,500.00
RESER\^ FUND 1 . . . f^j^A 16,375.000.00
RESERVE LLVBILITY OF PROPRIETORS - ..^av^ittgf^ f 23 8''8 500 00
S 61,032,000.00
AGGREGATE ASSETS 31st MARCH. 1920 —<vjs^ $377,721,211.00
Sir JOH.N RUSSELL FRENCH. K.B.E.. General Manager
351 BRA.VCHES and AGENCIES in the Australian States. New Zealand Fiji. Papua (New Guinea), and London. The Bank trn.isacts every description
of Australian BankinK Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET. E.C., 2.
Ar,EsTs: B4SK OF .MONTREAL. ROYAL BANK OF CANADA
c
s.
GUNN
&
COMPANY
REAL
ESTATE, INSURANCE,
RENTAL AGENTS
805 Union
Trust Bu
ilding
WINNIPEG, MAN.
Members of Winnipeg Real Estate
Exchang
e, Winnipeg Stock Exchange
uEOkGt Edwards, F.C.A. Akthuk H. Eduakus, I'.C.A.
H. Percival Edwards W. Pomeroy Morgan A. G. Edwards
Chas. E. White T. J. Macsamara Thos. P. Gegcie
O. N. Edwards J. C McNab C. Percy Roberts
A. L. Stevens W. H. Thompson
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORO.NTO ..
CALGARY ..
VANCOUVER
WINNIPEG ..
MONTREAL
CORRESPONDENTS
HALIFAX, N.S.
LO.NDON, ENG.
CA.NADIAN MORTGAGE BUILDING
HERALD BUILDING
LONDO.V BUILDING
ELECTRIC RAILWAY CHA.VIBERS
McGILL BUILDING
ST. JOHN, -N.B.
COBALT, ONT.
NEW YORK. U.S.A
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
THE
TOROiHTOGEAERALTRUSTS
CORPORATIOiS
Head Office - Bay and Melinda Streets, Toronto
DIVIDEND No. 97
Notice is hereby given that a Dividend
of Three Per Cent, has been declared
upon the Paid-up Capital Stock of this
Corporation for the quarter ending Sep-
tember 30th. 1920, being at the rate of
TWELVE PER CENT. PER ANNUM.
and that the same will be payable on and
after Friday, the 1st day of October. 1920,
The Transfer Books of the Corporation
will be closed from Monday, September
20th, until Thursday, September 30th,
both days inclusive.
By Order of the Board of Directors.
A, D, LANGMLIR.
General Manager.
Toronto, August 3 1st, 1920.
THE MONETARY TIMES
Volume 65.
Income Insurance
This Form Offers Maximum of Protection and Security Removes all Doubt as to
Necessities of Dependents-Interest on Cash Value of Policy is Supplemented by Repay-
ments of Principal— Represents Effort on Part of Company to Meet Needs of Policy-holder
By E. J. LESPERANCE
ImpiTial Life Assurance Company. Montreal
IT is scarcely necessary to define what income assurance
is, because the tremendous advance in sales that has
taken place in the last three or four years is indicative that
salesmen know pretty well what it is. If there remain, how-
ever, a few not fully informed as to what income assurance
is and what is meant by the term, let me state that it is just
the same as any other assurance, built up in the same way,
carrying the same cash values as paid-up assurance. The
sole ditference is in the method of payment. This ilifFerence
in the method of payment by the company is really the bit;
thinp in income assurance. If every widow invested her
money wisely and well, and if, over a period of time, it guar-
anteed her an income for her life, she would have something
that would be somewhat comparable to income assurance in
its results.
In other words, the principal sum that is left at the death
of the deceased is capitalized at a certain rate of interest,
which, plus part of the principal, is extended over the bene-
ficiary's entire life — that is, where the plan is a continuous
income for the beneficiary. The calculations on which income
assurance is based includes both lives, the life of the insured
and the life of the beneficiary. The younger the beneficiarj-,
the longer her probability of life, and hence the more money
the company will pay.
Principal (iradually Repaid
Income assurance guarantees a certain rate of interest
to the beneficiary for a certain length of time. Through the
amortization of the principal this revenue is increased to
the amount shown on the face of the contract.
A beneficiary, age H5, would have a minimum amount
of $18,140, which is always in force, on our books in the
event of the assured's demise. However, the company have
considerably in excess of this, as the sum must be large
enough to continue pajnnents according to her expectjincy.
At age 35 this amounts to the sum of $2."j,.lU2 in hand out
of which to pay instalments, and which earns interest. The
first month the company would pay the beneficiary $100,
which would be taken out of capital, leaving a sum in our
posse.^sion amounting to %2r\:i:i2. The second month the sum
of $100 would be made up somewhat as follows: The com-
pany guar.inteeing H per cent, per annum on the sum in our
possesision. we find that one-twelfth of :t per cent., or one
month's interest, is $0:1.58. We find, then, that we need an
amount of $:1C.42 out of principal. These two amounts com-
bined form the guaranteed amount of $100 to the bcncficiarj'.
However, she share."* in the <lividends which the company
earns. This year the monthly excess dividends amount to
$4.4'2, which mean nn increase in the principal sum of over
64 per cent., or $l.-il. Thi.s gives you an idea as to how the
sum per month is arrived at, and also explains how and why
the monthly amount is slightly reduced each month. This
is due to a slow consumption of principal.
I'rovidcs for Needy Period
The working out of a plan of this kind is ideal for a
man who is unable by lump sum payment to leave principal
enough so that the revenue therefrom will be sufficient to
keep liis dependents and give them the amount they should
have. In a monthly income plan there is a irradual consump-
tion of principal which swells the revenue and makes it con-
•Part of an address before the Life Underwriters' Asso-
I'iation convention, August 18th to 20th, 1920.
siderably larger than from interest alone. Some men say,
"I do not like a plan which makes for the consumption of
principal." This fact must be borne in mind that most men
— by far the majority — do not buy insurance to leave a great
amount of cash to their children, but rather to make certain
that their educational period shall be successfully passed
and that the widow shall have sufficient for her needs
throughout her life.
Through the amortization of capital through the income
plan .this is exactly what happens. The income is swelled to
the greatest possible amount, and, while the capital is con-
sumed, a sum is guaranteed throughout the entire life of
the widow to make certain as to what she shall receive. As
most plans sold are for the life income of the widow and
guaranteed for twenty years, certainly the present-day
monthly income policy covers every possibility, every need
of the ordinary man. In the event of the death of his widow
before having received the income for twenty years her
children receive it. If she lives beyond the twenty years she
receives it as long as she lives.
Consider the case of a man age 35 years and his wife
of the same age. Suppose that she dies after having received
the income for five years, his dependents are guaranteed
this sum for fifteen years. Even supposing there is a small
baby in the family of one or two years old, this will enable
the child to receive the benefits, directly or indirectly, until
he is twenty-one years of age, when the educational period
will be passed. Furthermore, if she lives, the widow con-
tinues to draw the income for life.
Gives Maximum Protection
For the young married man this type of contract, which
is a decreasing type of insurance, is ideal. In the earlier
years, before he has amassed any amount of this world's
goods, he needs for his wife and family all the protection
he can get. This type of contract gives him the maximum.
For instance, assuming that he is age 30 and his wife the
sjime, the amount of money carried on the company's books
in the event of his death at this age is $26,590. At 40, due
to the fact that the beneficiai->-'s expectancy is less, this has
been reduced to $24,220. At 50 the amount is now $21,679,
which will give you an idea of its decrease. However, at
50 the amount is still over $18,140, and is never less than
$18,140, or the commuted value.
Income is Secure
The monthly income plan, wherein the widow shares in
the company's profits, to my mind, offers the maximum of
protection to the widow from every viewpoint. It gives the
maximum revenue with security. We do not hear of very
many life insurance companies failing; in fact, I believe it
is the boast of Canada that never has a policyholder lost
a dollar in any old line company. It gives the widow a guar-
anteed amount upon which she may count, and it gives it
to her with a certainty that she shall have it as long as she
lives.
The income plan means that as soon as the assured's
name is taken ofl' his company's pay-roll his widow's name
goes on; it means that the mail-man brings a cheque to her
for a certain guaranteed definite amount each month. It
means that the beneficiary, who at this time has not yet
recovered from the blow and is considerably upset, does not
have to worry as to whether her tenants will pay their rent.
She does not have to worry about the oil wells having gone
September 10, 1920
THE MONETARY TIMES
[SterungTrusts Corporation^
i ^ Professional Men
and Manufacturers will find it profitable to
let us manage their personal Estates for
them. Our experience and financial advice
IS free. We open and keep a complete set
of books, make income tax returns, look
after investments. &c.
H^rife (o-jaji. 1121
HEAD OfFICE-12 KING ST. EAST-TORONTO
A Custodian of Your Securities
who i-i tii-inciaUy responsible .md will relieve you of the details
uf collectinfi and depositing interest coupons, dividends, more
gage interest, rents, or other moneys, is something worth while
having. Our charge for such service is moderate. and ensures to
clients prompt attention and advice of moneys collected and
dishursed for them.
THE CANADA PERMANENT TRUST COMPANY
Paid-up Capitr
Sl.OOO.OOO
W. G. Gixjderham
Col. A. B. Goodcrham
F- Gordon O-sler
E. R.C. Clarkson
.Manager. Onta
Ul RECTORS:
R. S Hudson
J. H. G. Hagarti
George H. Smith
TORONTO STREET
TORONTO
John Massey
John Campbell S.S.C.
William Mulock
Saskatchewan General Trusts
Corporation, Limited
Executor
Head Oliice : Regina, Sask.
Adminittrator Assignee
Trustee
Special attention given Mortgage Investments, Collections,
Management of Properties for Absentees and
all other agency business.
BOAKO OF OIKECTOBtS:
W. T. MOLLJVRD. President G. H. BARR, K.C.. Vice-President
H.E.Sampson K.C. A. L. Gordon. K.C. J. A M. Patrick. KC.
David Low. M.D. W. H. Uuncan J. A. .VIcBride
Chas. WiUoughby William Wilson
B. E. MURPHY. General Manager
Official Administrator for the Judicial District of Weyburn
WESTMINSTER TRUST COMPANY
The Oldest Provincial Trust Company in B.C.
Head Office NE>V WESTMINSTER. B.C.
GENERAL FINANCIAL AGENTS
Admimistralan. Rtctivtn. Extcnton. I.ifuidatpn. AuituMi. TnutMi
E. A. RIDDELL. Maniifler
The Security Trust
Company, Limited
Head Office
Calgary, Alberta
Liquidator, Traslee, Receiver
Stock and Bond Brokers,
AdmiDislrator, Executor.
General Financial Agents.
W M CO.WACHKR
Prcs. and .M.in;pi;irc Director
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
INDUSTRIAL SECURITIES
300 Nanton Building, Winnipeg
H. H. CAMPKIN
insurance, Loans, Bonds, Debentures and Real Estate
Agent forCanadian Pacific Railway Co. Land ..Canada .North
West Land Co. Lands, Hudson's Hay Company's Landi.
REGINA, SASK.
w
E have 450 good businesses for sale in the central
portion of Alberta. Everything from a General
Store to a small Confectionery.
If you want a business in Alberta you want us.
WHYTE & CO., LIMITED
111 Pantagea
Executorship is
Exacting
An executor's duties are varied and
difficult enough to require a special
training and organization if they are
to be adequately performed.
This Company's management com-
bines long training in the general
principles of administration with
special knowledge of various kinds
of property ; and, acting under the
best legal advice, it is able to prom-
ise thoroughly effective service.
Correspondence and free, confidenlal
consultation invited.
National Trust Company
Limited
Capital, $2,(l0n,0OO Keserve, $2,000,000
lH-22 KING STREET EAST . . TORONTO
THE MONETARY TIJIES
Volume 65.
dry, or the shipbuilding company having failed, or the thou-
sand and one things that occur in business and with invest-
ments. She is absolutely certain, in so far as man can guar-
antee it, that she will receive an income of a certain amount
as long as she lives.
It gives her a peace of mind and a feeling of security
in knowing just how far she may go in the matter of her
expenses. There is no ambiguity in connection with a monthly
income policy; there is no indefiniteness. It comes to the
beneficiary in plain terms of $25, $50 or $100, or whatever
amount it is, per month, and will come to her as long as she
lives. There is no chance of misunderstanding. She is not
misled through thinking that such-and-such an amount of
money will produce so much revenue, that she will have no
end of it to spend, and immediately begin spending it without
its having first been produced. There is no mistaking and
making that common error of to-day of considering capital
or principal as income — an error which she would be too
apt to commit. It means to her a continuation, perhaps on
a reduced scale, of living as she has always lived, with a
certain amount of money coming in regularly. It enables
her to plan thoroughly and carefully as to the disposal of
this income because of its fixed amount and because of its
frequent appearance. It gives her a month-to-month basis
of living rather than a year-to-year one, which would not
be familiar to her.
Dependent Knows Her Position Exactly
It enables an adjustment to be made immediately after
the death of the assured to the proper basis, and one which
can be easily understood, figured on and arranged for. It
does away with all perplexing problems as to what to do
with this or that security, as to whether this piece of pro-
perty should be sold because of its being non-paying. True,
husband had the idea of selling it, but he was waiting for
a good price. It does away with the embarrassing situation
as to whether she may continue to live on the same scale
as heretofore, and her believing (through hope) that the
estate which he has left will be sufficient for her to do so.
In other words, it gives her a clear insight as to the future,
and she does not fool herself.
How many thousands of widows are going to meet the
same vexing situation in the future through their husbands
not having made arrangements for the disposal of the prin-
cipal and providing proper payment of revenue to his de-
pendents? How many are going to wonder what they will
do with the money? How many arc going to take bad advice
— foolish advice? How many are going to lose their money
through not knowing? How many through over-confidence
in themselves? How many anxious hours are the widows
going to have in the future, wondering what to do with this
money, that they may get the maximum revenue with maxi-
mum security? How many are going to find, when the bread-
winner has passed away, that $20,000 of assurance which
husband has left, and which sounded so large to them, is only
in terms of income $100 a month? This could have been
obviated had husband considered his insurance in terms of
income. He would have bought more. This same $20,000 of
assurance in an income contract, including excess dividends,
would mean, in round figures, alx)ul $U)0 a month to the
beneficiary for a long term of years. .\ beneficiary, age :i5,
in the second monthly payment would have an increase over
the guaranteed amount of over 54 per cent., and even in the
twenty-first year, over ^ii) per cent. Figure it out for your-
self, and you will find that an income plan gives a widow
n\ore revenue, with a certainty of having it. It is a more
ideal method of payment than any other plan of assurance
that any company writes.
.Mtitude of the Company
The insurance company has nothing to gain through
advocating monthly income. I say, nothing to gain, except
possibly two things. We know that the present-day assur-
ance company oflicials are a fine, clean lot of men and have
the welfare of the policyholder at heart: they want to sec
maximum results given to the policyholders. In fact. between
you and me, as an insurance salesman, they want to give
results so badly that the insurance salesman's commissions
are the only thing that have not increased, as has everything
else, within the last ten or twenty years. I think this is due
entirely to the fact that they are doing their best for the
policyholder. In the monthly income plan they derive the
satisfaction of knowing that maximum results are Leing
given, and they derive another benefit as well. When the
widow has started to receive her cheque, on which is printed
the name of the company, the spending of this for the neces-
isties of life at the grocer's, the butcher's, the clothing store,
etc., makes a splendid medium of publicity for the company.
The grocer knows that Madam Smith comes in each month
with her cheque, and he knows that she will have it. It gives
him a better idea of. insurance, because it shows its per-,
manency, and therein is the whole secret, after all, of the
income plan — its permanency, its security.
BRITISH COLUMBIA WORKMEN'S COMPENSA-nON
During the first six months of 1920 10,285 accident cases
were dealt with by the British Columbia Workmen's Com-
pensation Board, E. S. H. Winn, chairman, stated a few days
ago. Of this number of accidents, 73 proved fatal. The
greatest toll was in connection with the lumber industry.
Out of the total number of deaths 34 were caused through
the various lumbering activities, or an equal of 46 per cent.
Accidents in connection with lumbering totalled 2,231. Con-
struction work proved the second most hazardous. In con-
nection with this work there were 770 time-loss accidents,
of which 12 proved fatal. Deaths and accidents attributed
to other industries were as follows: Coal mining, 542 acci-
dents, 6 deaths; railroads, 468 accidents, 9 deaths; iron and
steel industry, 3 deaths; Dominion government service, 3
deaths; provincial government service, 2 deaths; fishing in-
dustry, 2 deaths; electrical plants, 1 death; mining, 1 death.
STREET RAILWAY FARES GOING UP
"Municipal ownership," says the Winnipeg Electric
Public Service News of August 16, "so often referred to as
the panacea for ills afflicting privately-owned tramways, is
receiving a severe mauling at the hands of 'hard experience'
in the west.
"First Seattle adopted a ten-cent fare, when twelve
months previously they had denied a private company, then
running the street railway, to raise fares over the nickel
stage. Next in the dime column came Calgary, and last
week Regina succumbed and passed ever to the ten-cent
stage. Incidently Brandon, during the fair week, charged a
ten-cent fare.
"In Saskatoon the city council there is face to face with
a deficit of $40,000 for the past year's operation of its street
railway. They have had seven-cent fare there for some time,
•nnd while this added to revenues, yet operating costs have
increased in greater ratio. Reduced service has been tried
in the endeavor to make ends meet, but has caused more
dissatisfaction than it was worth.
"The history of the street railway experiences in these
'municipally-owned' cities is interesting. Raises in fares
have been more rapid, and more steep, on municipal rail-
ways than on privately-owned, in spite of the fact that the
latter are saddled with pavement charges, franchise taxes,
and other burdens which are not chargeable to the car riders
when the road passes over to the city. There is one com-
mendable feature about municipal ownership of street rail-
ways, as shown by the experiences of these western lines,
and that IS as soon as revenues become inadequate fares
are raised by the simple expedient of introducing a resolu-
tion m council and passing same. Most privatelv-owned com-
panies hers to the same ills as afflict the municipal ones,
i„ . I°,f° "''■°"«''i « I't'i-iod of 'corporation baiting- and
cgal fitrhting. resu tinvr in an expenditure of thousands of dol-
lars. This money hr,s to bo paid out of car fares, and makes
a big contribution towards the necessity of the private com-
pan> applying again for a further increase "
September 10, 1920
THE MONETARY TIMES
CHANGING CONDITIONS
Even if you are unsettled in mind regardins the future of
your property, have your lawyer make your Will NOW and
then you can change it from time to time to meet new
conditions.
And, to assure yourself that your property v^ill be eco-
nomically handled, with careful regard to your wishes,
name the UNION TRUST COMPANY as your Executor.
Asl( for our tilcrcilurc or, ihe subject.
Union Trust Company, Limited
HENRY F. GOODERHAM. Prc.id<.nt
TORONTO - - Cor. Richmond and Victoria Sl»
WINNIPEG, MAN. LONDON, ENGLAND
i% on Savings — Withdrawable by Cheriue
Be sure your WILL is made, naming a Strong
TRUST COMP.\NY as your
EXECUTOR
Ask for Booklet: "The Corporate Executor."
CAPITAL, ISSUED AND SUBSCRIBKD . .Si. 171. 700. 00
PAID-UP CAPITAL AND RESERVE 1,172,00000
The Imperial Canadian Trust Co.
ExecDtor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE: WINNIPEG, CAN.
BKANCHBS :
THE BANKERS
TRVST 0OMB\NY
Head Offices: MONTREAL
Authorized Capital $1,000,000
PreslJent ■
SIR H. MONTAGU ALLAN, CV.O.
Vice-PrciiJcnIs -
A. J. DAWES D. C. MACAROW
JAMES ELMSLY General Manager
C. D. CORNELL - - Sccre/ary
Sir H. Montagu Allan,
T. Ahearn [C.V.O.
G. L.Cain.
A. J. Dawes
A. B. Evan.
David N. C. Hogg
J. M. Kilbourn
Directors:
Sir F. Orr Lewi., Bar
Thoa. Long
D. C. Mocarow
W. A. Meldrum
F. E. Meredith, K.C.
T. E. Mcrrelt
Lt.-Col. J. R. Moodie
Farquhar Robert.on
Hon.LomeC.Web.ler
F.Howard Wilson
Edwin H. Wil.on
John Wilson
Offices now open in Montreal, Winnipeg,
Calgary, St, John, N.B., Halifax, Regina,
Vancouver, Victoria and Toronto.
Premises in Merchants Bank Building in each city
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Ajjetits for investnieiil iti all classes of St-curilies.
Business Agent for the R. C. Archdiocese of Vancoiivtr
Fiscal Agent for B. C. Municipalities.
inqairies Invi*ed
Venrral Maungrr - i.l<'iil.-4 iil. «.. II. IM>ltlCI°,l.l.
HOW TO FEEL SAFE
I.N rtRard to tlic cut ;inj dl^t^lln]tlc>n of your c-slatt sec firit tint
your will IS carefully made. Have your lawyer draw it. Then eom-
mil the .idniinistration of your estate, under the will, to the judgment
of our Board of Directors Where the duties cover .1 period t.f years, the
services of a trust company are almost indispensahle. In any c\-ent.
you can put your faith in the combined ability and judgment of this
Trust Company more safely than you can in the limited resources of
any individual executor. Send for our buoldet on wills.
Chartered Trust and Executor Company
46 KING STREET WEST, TORONTO
HON. VV. A. CHARLTON. .MP.. W. S.
President. Vice-Pres.
JOHN J. OIBSON. .Managing Dir
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Act» as Executor, Adminittralor, Trustee, Guardian. Liquidator
Astitnee, an<l in any other fiduciary capacity.
Official Administrator for the Northern Judicial
District and the Dauphin Judicial District in
Manitoba, and Official .Assiguee for the Western
Judicial District in Manitoba and the Swift
Current Judicial District in Saskatchewan.
Branch Office
Swift Current, Saskatchcwar
JOHX R MTTLE. Managing Director
"What will become of my
estate if I fail to leave a Will?"
A ropv ..f ■■ rh<- l.nw of Inlr-nlatca' (Istotca " for
the ProvinccB of Ontario. Monitoba, Saslcatcbcwon
and Alberta, will be moiled upon request.
The Cvnada Trust Co^p^vny
" The executor for \>our estate"
London, Toronto, Windsor, Chatham, St. Thomas, Ontario.
Winnipeg. Man., Regina, Sask., Edmonton. Alia.
THE MONETARY TIMES
Volume 65.
August Bond Sales Large Despite Lower Prices
Volume of Provincial Financing In August Heavy. Hut Not as
Great as in Previous Months — Municipal Transactions Increased
Notwithstanding Lower Prices — Two Pulp and Paper Issues
DEAR money and the vacation season are not reflected The large increase over 1919 is due to the fact that in
to any great extent in the volume of new provincial August a year ago bond selling organizations were making
and municipal financing in August, the total bond sales for preparations for the approaching Victory loan, and as a re-
that month being well up to the figures of previous periods suit the greater part of other financing was suspended
this year. There was not very much activity in the industrial temporarily. Provincial bond sales last month showed a re-
field, only two corporations floating loans, while no railroad duction as compared with the previous period, while on the
issues came on the market. The following is a summary of other hand the total of municipal and corporation transac-
last month's transaction in all fields, with comparisons, ac- tions increased,
cording to The Monetary Times' record:— .-Municipal Sales
August, 1920. August, 1919. July, 1920. Municipalities are apparently adapting themselves to the
Provincial $10,000,000 $3,500,000 $15,800,000 changed conditions, and are paying the prices demanded by
Municipal 3,404,644 1,321,124 2,755,733 the market. In a few cases last month bids were rejected.
Corporation 3,400,000 1,750,000 500,000 the municipalities being under the impression that they could
get a better price for their securities at a later date. It is
$16,804,644 $6,571,124 $19,055,733 not thought, however, that they will benefit very much by
■ ■■tot IM I tl
HritiMhCnluii
Alhcrta
«ll M< 11*11.
Oliliirlii
SI .1 ru, . 11. 1 ninJiiM and ulenKJrry Count i<
N.irl. I.Kvnship
I 're ,..ii anj RukVcVldjnlics! '/.".".'"
l.',.,l.;tonC.n,nn .
I.an...l, (..Mints
T.ir.n.l,. r,nvn-.hM'
N,u I..T..nt.i
U.iKl SnnUu'ich TuwnHhu'
Kitchener
qarbrr-
Cotc Stc. Mi^hvl
Outrcmont (l> S.l
<}ucKc
RrlllHli lull In
R.vhnii.n.l
Kuhnto.ul
AllMTln-
Kcnilwnrth H. S l<
Siyprnitx R. S. D
Black Sprina Valltv R. S l>
rrlnrr Katnnnl I. In
Chailntlclown
<'OIIIMIIi k I ■<•>
I'ulp ft Power Co
I'.iper Co . lal mormailc sink. (.1
!■ ipcr Co . lonvcrl.Hc Jcl^enlur,
a
Amount
s**
8
4.300.000
3,000,000
6
0
2.000,000
SOO.OOO
6
6
10.000.000
4nfl.no<i
6*
A. Jar\is & Co.. and First National Co.
Seattle National 8k.. RIyth, Witter .<< Co.. British-American
BJ. Corp.. and Gillespie. Hart & Todd
United Financial Corp., Limited
National City Co.. Limited
am.iMKi
1.10 IHXI
iim.niKi
74.6711
7S..'>00
lOQ.nao
400,000 ' 6
iT.s.ono «
75.000 i «
.t.om ■
i.nno '
10 years
lO.tiSinsI
10 fi 30 insi
3M.4»5
mxooo
s
10 year*
I.W.OOO
e
.10 yean
iM.ono
M.23n
IBX.WI
;^f
3) year*
.■i yea™
3.000
1.400
1,000
.1 400
K
l.< yeani
« yean
10 yearii
.M
20 years
.M
30 yearn
20 yr. «r
is yearn
13 yearn
A. K. Ames& Co.
Wood, Gundy & Co.
United Financial Corp.
R. C. Matthews* Co.
R. C, .Matthews* Co.
Locally
Harris, Forbes & Co.
C. H. Burgess .■!: Co.
Wood, r.undy Jt Co.
Locally
Locally
Nesbitt. Thompson & Co
Municipal Deb. Corp.
Various
Harris, Rciid & Co
Harris, Read & Co.
Nay & James
Locally
M. .McKay. Morden
F. B. McCurdy & Co.
Can. .<- General Sec. Limited
W. Ross AlKcr & Co.
T. .1. Norman. Edmonton
T, J. Norman, Edmonton
Uoyal Securities Corp
Eastern Securities Co.. Ltd.
I'lraham. Sanson & Co.
Mlas Bd. 4 Sec. Co.
Atlas Bd. & Sec Co.
97,7it
9ii 07
92,43
87 SI
92,6««
100.00
as, 8?
lOU.IO
100,00
100,00
September 10. 1920
THE MONETARY TIMES
23
INTEREST
RETURN
INVEST YOUR SAVINGS
in a 5%% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital $2,412,578.81
Reserves 964,4S9J9
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Reglna, Calgary,
Edmonton, Vancouver, Victoria ; Edinburgh,
Scotland.
CANADA PERMANENT
MORTGAGE CORPORATION
QUARTERLY DIVIDEND
Notice is hereby given that a Dividend of TWO and
ONE-HALF PER CENT, for the current quarter being at
the rate of y^^ p^^ ^^^j pg-j^ ANNUM
on the paid-up Capital Stock of the Corporation, has been
declared, and that the same will be payable
FRIDAY, THE FIRST DAY OF OCTOBER
next, to Shareholders of record at the close of business on
the Fifteenth day of September.
By order of the Board,
CEO. H SMITH. Assistant Grnrral Manager.
Toronto, August 25th. 1920.
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
Masonic Temple Building, London. Canada
Interest at 4 per cent, payable half-yearly on Debentures
T. H. PURDOM, K.C.. President NATHAMBL MILLS. Manager
London and Canadian Loan and Agency Co., Limited
BSTAOLISHED 1873 .jl VO.V«;K ST.. TOItOXTO
Paid-up Capital, 8l.250.000 Rest. $9o0,000 Total Assets, SS.085.872
ltcl>ent«re.>t issued, one hundred dollars and upwards, one to five years-
Best current rates. Interest payable half-yearly. These Debentures are an
Authorized Trustee Investment. Mortgage Loans made in Ontario. Mani-
toba and Saskatchewan.
WILLIAM WEDD. Secretary V. B. WADSWORTH. Manager
The Ontario Loan & Debenture Company
DIVIDEND NO. 133.
Notice is hereby given that a IJIART1-:RI,V DIVinHND
of 2)4 per cent, for the three months endinj; 30th Sep-
tember, 1920 (BEING AT TIIK R.ATK OF NINE PER
CENT. PER .•WNTM) TOGETHER WITH A BONUS OF
'X OH ONE PER CENT has been declared on the paid-up
capital stock of this Company and will be payable at the
Companys Office, London, Ontario, on and after the 1st Oc-
tober next to Shareholders of record of the l.Sth .September.
By order of the Board.
A. M. SMART,
Manager.
London, Can.ida. 31st AuRust, 1920
51%
Absolute
Security
r^V^ER 200 Corporations,
^^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Quarterly Dividend
Notice is hereby given that a Dividend of Two and one-quarter per
cent., bcmg at the rate of Nine per cent, per annum, upon the paid-up
Capital Stock of this Company, has been declared for the current
Quarter, and that the same will be payable on and after l«l Oelolirr,
1980. to shareholders of record on the books of the Company at the
close of business on 15th inst By Order of the Board.
Toronto, 2nd September. 1920 WALTER GILLKSPIE. Manager.
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
Particulars on application.
The Canada Standard Loan Company
520 Mclntyre Block, Winnipeg
Port Arthur and Fort William
Realty Investments
Inside City and Revenue Producing Property.
Mortgage Loans Placed.
Write us for illustrated booklet descriptive of
the tvirin Cities.
GENERAL REALTY CORPORATION, LIMITED
Whalen Building, PORT ARTHUR, Ontario
IRON MINE
FOR SALE
il. Il.c
COUNTY OF RENFREW
Near Perth
For full particulars, report of assay, etc., apply
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAY and MELINDA STS.
TORONTO
THE MONETARY TIMES
Volume 65.
their decision if they need funds this year. Classified by pro-
vinces, municipal bond sales in August were as follows: —
Ontario ?1,6-J3,519
Quebec 650,000
Saskatchewan 385,495
New Brunswick 300,000
Manitoba 150,000
British Columbia 168,230
Alberta 5,400
Prince Edward Island 75,000
Nova Scotia 27,000
Total ?3,404,G44
I'ul|) and Paper Bonds Popular
This year, to date, pulp and paper bonds have been put
on the market to the extent of more than $12,000,000, in-
cludinp the two issues made last month, or approximately
50 per cent., of the total of industrial loans floated this year.
Pulp and paper sccuritoes are at present very popular, and
have been for some time past, and the issues made this year
were quickly taken up, with the exception of the latter two,
which were only made recently, and have, therefore, not had
time to be absorbed. A large amount of this class of bonds
is still to come on the market this year, judging from recent
developments.
Chatham, N.B., Aug. 9, business block, $25,000.
Vancouver, B.C., Aug. 11, police barracks, $25,000.
St. John, N.B., Aug. 12, grist mill, $10,000.
Westmount, Que., Aug 14, apartment house, $10,000.
South Vancouver, B.C., Aug. 16, shingle mills, $20,000.
St. Tite, Que., Aug. 19, factory, $200,000.
Marmora, Ont., Aug. 20, building, $25,000.
Moncton, X.B., Aug. 24, Brunswick Hotel, $400,000.
Simcoe, Ont., Aug. 25, storehouse, $20,000.
The Pas Man., Aug. 25, trading posts, $35,000.
Chilliwack, B.C., business section, $60,000.
Port Moody, B.C., Aug. 27, shingle company, $75,000.
Chateau Richer, Que., Aug. 29, bakery and six houses,
$12,000.
Belleville, Ont., Aug. 30, warehouse, $15,000.
Brigden, Ont., Aug 30, implement building, $10,000.
Montreal, Que., Aug. 30, building, $25,000.
Analysis of Causes
Among the causes reported were: Sparks, 3; oil lamp,
1; electrical storms, 7; defective wiring, 1; bush fires, 6; in-
cendiarism, 1; matches, 1; cigarette butt, 1; electric iron, 1.
The following structures were destroyed or damaged last
month: Residences, 39; office buildings, 13; factories, 2;
barns, 17; mills, 4; stores, 12; garages, 3; business section
of towns, 4; banks, 1; billiard parlors, 1; barracks, 1; schools,
1; lock works, 1; apartments, 1; hotels, 1; bakery, 1.
1 IKE LOSSKS .STILL AHEAD OF LA.ST YEAR
August Total Was $1,857,800. Compared with $l,374.49.i in
August, 1919— Moncton. N.B.. St. Tite. Que., Carp,
Ont., and .Morinvillc, Alta.. were Chief Losers
■piHE losses in Canada amounted to $1,857,800 in August
■■■ compared with $1 ,,374,495 in the same month last year'
accordmg to The Mon.-laiy Times' estimate. Tlie totals for
the first eight months of 1920 and of 1919 are $16,266,913
and .?15,556,821, respectively, indicating that this year's figure
wll be ahead of that for last year. The August loss is made
up as follows: —
Fires exceeding $10,000 $1,272,000
Small fires reported 85,000
Estimate of unreported tiros 500,000
The Monetary Times' record of the
the following monthly losses: —
Month. 1917. 1918.
January .... $ 1,918,660 $ 2,688,556
February . . 2,009,y5.'} 2,243,7K2
March 2,050,650 1,682,286
April 1.317,714 3,240,187
May 1,163,110 3,570,014
June 1,184,627 3,080,982
July 1,101,734 3,369,684
Auirii.st 1.230,183 3,110,445
September .. 1,301,700 917,286
October. ... 704,605 5,119.145
November... 959.049 1,059,580
December . . . 5.144,100 1,733,917
$1357,800
past four years shows
1919. 1920.
$ 3,915,290 $ 2,637,850
1.091.8.'M 1.895,575
2,154,095 1,793,200
1.080.070 3.229.,'"i00
1.785,1.30 2.001,819
3,337,530 1.424.319
1.118.377 1.426,850
1.374.495 1,857,800
1.940,272
1.023.288
2.3.39.870
2.047.496
Deaths from Fire
Fourteen deaths during the month were directly due to
fires, the following being the circumstances: —
Montreal, Que., Aug. 10, clothing caught fire 1
Regina, Sask., Aug. 12, in burning house 1
Montreal, Que., Aug. 16, playing with matches 1
Barrie, Ont., Aug. 17, explosion 1]
Vancouver, B.C., Aug. 18, forest fires 2
Lethbridge, Alta., Aug. 19, explosion 1
Lindsay, Ont., Aug. 20, explosion .... .1
Oshawa, Ont., Aug. 24. explosion . .1
Winnipeg, Man., Aug. 30, bush fires 2
Mulvihill, Man., forest fires 3
14
Comparison of Deaths
The record of deaths from fire has been as follows: —
Month. 1913. 1914. 1915. 1916. 1917. 1918. 1919. 1920.
January 14 26 3 10 21 28 13 22
February 21 18 11 23 19 87 2fi :"
March 22 27 23 23 20 34 9 35
April 11 22 14 6 15 7 27 S
May 33 8 5 14 12 10 15 13
June 18 12 2 6 9 9 28 15
July 9 8 13 268 19 6 11 15
August 29 3 14 30 12 7 24 14
September ... 27 9 27 '6 21 13 23
October 15 9 7 39 23 11 16
November .... 24 14 12 12 21 3 14 . .
December 13 19 11 94 15 26
Totals
236 175 142 531 207 241 206 152
Totals ..$20,086,085 $31,815,844 $23,207,647 $16,266,913
Ixi-MIMON TKIST SUES ROYAL BANK
Liiil of Lar^p Fires
The following is a list of fires in whi'-h 'i'" '""» w
$10,000 or over: —
Quebec, Que., Aug. 3, garage. $10,000.
Carp. Ont., .Aug. 4, business block. $100,000.
Revclstoke, B.C.. Aug. 4. bakery. $10,000.
Morinville. Alta., Aug. "., business section, $100,000.
Nanninio. B.r,. Aug. 8, lumber mill, $85,000.
In the British Columbia Supreme Court on September
7. suit was commenced in which the liquidator of the Do-
minion Trust Co. is suing the Royal Bank for the return of
securities with a face value of over $1,300,000, the market
value being said to be between $200,000 and $300,000. All
money collected under the securities is also being asked for.
The liquidator contends that the Dominion Trust had no
power to hypothecate its securities for loans and that the
bank had no right to accept and retain them.
September 10, 1920
THE iM 0 N E T A R Y TIMES
To the Shareholders
of
International Petroleum
Company, Limited
NOTICE is hereby given '
corporated under the laws of t;
the name of International I'
herein referred to as the Nev^
ay has been in-
■' '" 'lada under
Limited,
■. iuit an ar-
rangement has been made whereby the New Company will
issue to the Preference shareholders of the International
Petroleum Company, Limited, (Old Company), one Prefer-
ence share of ?5.00 par value fully paid up and non-assess-
ible and one share without nominal or par value of its
' ommon stock fully paid up and non-assessable in exchange
for each Preference share of the Old Company, and to the
Common shareholders of the Old Company two shares with-
out nominul or par value of its Common stock fully paid up
and non-assessable in exchange for each Common Share of
the Old Company.
The New Company proposes to issue 1,804,534 shares
without nominal or par value fully paid up and non-assess-
able of the New Company in exchange for 1,575,000 shares,
(being the whole of the outstanding stock), of the Tropical
Oil Company, a company incorporated under the laws of
the State of Delaware and holding concessions from the
Government of the United States of Columbia. The de-
livery to the New Company of 90% of the outstanding
stock of the Tropical Oil Company has been assured and
:n the event of the whole of such outstanding stock not
being delivered then a pro rata reduction will be made in
the number of shares in the New Company to be exchanged
for the shares of the Tropical Oil Company delivered to it
Holders of Bearer Share Warrants who surrender their
warrants to the International Petroleum Company, Limited,
(New Company) at 56 Church Street, Toronto, Canada,
or to the Farmers' Loan & Trust Company, 16-22 William
Street, New York City, U.S.A., between the 15th September,
1920 and the 30th September, 1920, inclusive will receive in
exchange therefor Bearer Share Warrants on the basis of
two shares of the New Company for each share of the Old
Company surrendered, in accordance with the terms afore-
said.
No Warrants for "rights" will be issued and share-
holders who fail to exchange their old shares for the new
shares within the time linrit and in the manner aforesaid
will subject these rights to forfeiture.
The books of the Company will be closed from the 10th
day of September, 1920, to the 30th day of September,
1920, inclusive, and no Bearer Share Warrants will be split
during that period.
Holders of Bearer Share Warrants are recommended
to send their Warrants by registered mail insured as the
Company is not responsible for Share Warrant! lost in
transit and duplicate Share Warrants cannot be issued.
By Order of the Board,
J. R. CLARKE.
S*c rotary.
56 Church Street,
Toronto, Canada.
23rd August, 1920.
DIVIDKiNO NOTICES
THE CANADIAN CKOCKER-WHEELER CO.
DIVIDEND NOTICE
LIMITED
The Directors of The Canadian Crocker-Wheeler Com-
pany, Limited, have declared a One and Three Quarters per
cent (1%%) dividend on the preferred stock of the Company
for the three months ending September 30th, 1920, to share-
holders of record September 20th, 1920. Also a dividend of
One and Three Quarters per cent (1%9'c) on the common
stock of the Company for the three months ending September
30th, 1920, to shareholders of record September 20th, 1920.
The Stock Books will be closed from the 20th to the
30th of September, both days inclusive.
Checks will be mailed to shareholders on September
30th, 1920. I
By Order of the Board.
H. A. BURSON,
Secretary.
St. Catharines, September 2nd, 1920. 223
RIORDON COMPANY, LIMITED
CUMULATIVE CONVERTIBLE PREFERENCE STOCK
DIVIDEND -No. 1
Notice is hereby given that a quarterly dividend of
1%%, being at the rate of 1"( per annum, has been de-
clared on the Cumulative Convertible Preference Stock of
this company, for the quarter ending September 30th, 1920,
payable October 1st, 1920, to shareholders of record at the
close of business September 24th, 1920.
Bv Order of the Board.
F. B. WHITTET.
Secretary-Treasurer.
Hh, 1920.
221
RIORDON COMPANY. LIMITED
first' CU.MULATIVE PREFERENCE STOCK
DIVIDEND No. 1
Notice is hereby given that a quarterly dividend of
2<yc, being at the rate of S'^'r per annum, has been declared
on the First Cumulative Preference Stock of this Company
for the quarter ending September 30th, 1920, payable October
1st, 1920, to shareholders of record at the close of business
September 24th, 1920.
By Order of the Board.
F. B. WHITTET,
Secretary-Treasurer.
Montreal, August 30th, 1920. -20
Condensed Advertisements
ny conOcnjtcd advertise
i«cfrcnt« mu«.t corfoir
I account of the very
r payable m aJv
nicnl.SOc
f .:bir«cd
FULLY-QUALIFIED CHARTERED ACCOl^'TA?«rT
desires to become associated with progressive organization
as accountant or anditor, or similar position of authority.
Available October Ist. For full particulars address Box 329,
Monetary Timrs, Toronto.
THE MONETARY TIJIES
Volume 65.
Financing Wheat Crop By Use of Credit
Extraordinary Demand for Accomniodalion in Last Five Months, of
Year— Domestic Resources must now Handle Situation — Result
is General Tightening of Credit for Commercial Purposes
Bv A. H. BARKER
AS usual, at this time of the year, there has been a steady
curUiilment of credit throuKhout the country in pre-
paration for the heavy demands which the harvesting and
markoting of the ^'rainicrops will entail this fall and winter.
As usual too, this curtailment has been felt most keenly
by speculators who must of necessity depend on borrowed
money to , finance their commitments. The pressure has
been somewhat greater this year owing to the falling value
of the dollar, as compared with other commodities. Accord-
ing to the index numbers compiled by the department of
labor, the value of the dollar is about 40 cents as compared
with 1913, and it can therefore do that much less work.
.As compared with other commodities values have not
materially altered in recent years. A suit of clothes will
exchange for about the same amount of bacon or wheat as
before the war. To measure values, however, we use one
commodity — money — and when this commodity, shrinks the
amount required to carry out any mercantile transaction is
increased accordingly.
Dealing in Credit
Trade is carried on by the use of credit, and like other
commodities is measured by money. Credit is produced by
trade and is handled by dealers in credit — the banks. These
do not manufacture credit in the sense of creating it,
except to a very moderate extent; they merely col-
lect it from their depositors and make it avail-
able. They manufacture it in the sense that they give it a
realizable value. They turn an unknown credit into a known
credit and so give it a wider circulation and use. John
Smith may be a well known man in his own community,
and in local dealings his standing unquestioned. A hundred
miles away, however, no one has heard of him. Stran;iers
cannot deal with each other except on a cash basis. Through
the medium of the banking systems of this and other coun-
tries this credit is collected and organized, and can be sent
where it is most in request.
DrposilH at Base of Credit
The resources of the banks from which their supplies
of credit are derived are their deposits, and the extent to
which deposits can be attracted depend upon the savings
of the community, and the confidence of the depositing public
that the funds deposited will he available to the depositors
when wanteil. If evcr>-one wanted his money at the same
time no bank could exist, and trade as we understand it
would be impossible. Experience has shown that only a
certain percentage will be required from day to day,
ordinarily, and by retaining suflTicient cash to honor these
demands, with a margin in case of emergencies, the fund
derived from these deposits can be utilized to make advances
to farmers, traders, and manufacturers in the regular
course of their business.
In the tJnited States banks nre compelled by law to
carry cash reserves to the extent of 15 to 25 per cent, of
their deposits, depending: on the locality. In Canada there
is no fixed percentage, hut in practice Canadian banks carry
20 to 2.") per cent, of their liabilities in cash (specie and
Dominion government notes and bank balances) , and as
much more in readily renlirable as.sets. These rcser\'es
materially reduce the balance available for loans.
The demands in the banks in the crop moving season
are heavy. They begin in the latter part of August and
steadily increase until the peak is reached in Dcccmbor
and January. From then on the advances reduce rapidly
and by April are practically cleaned up in normal times.
As their resources are not unlimited careful preparation is
necessary in order that other lines of business shall not
be unduly restricted. Some years ago a clause was embodied i
in the Bank Act permitting an increase in circulation over
the amount of paid-up capital for this purpose. On this :
excess interest was payable to the government while this
excess circulation was outstanding. The rate was five per
cent. And when to this was added the ordinary expense
connected with the circulation so issued, there was little if
any profit to the bank. It was merely enabled by this means
to extend additional temporary accommodation.
Of course this tax is not levied until the notes are
outstanding, and the bank may keep a full supply on hand
in its vaults without expense, other than the cost of mak-
ing and handling. In this respect they ai-e better off than
banks in the United States, who when supplies of currency
are required can only obtain them from the Federal Reserve ■
Bank by rediscounting trade paper with that institution.
Con idering the circulation taxes now levied in Canada,
however, it is doubtful whether the cost of the necessary
excess circulation is not about the same in both countries.
The methods of obtaining currency in the United States,
however, emphasize more clearly the fact that bank ad-
vances must be for definite trading purposes, with definite
terms of payment, if the various classes of business are
to obtain the supplies of credit to which each is entitled.
Loans from London
In the years before the war temporary assistance at
this time could be obtained from London, pending the
marketing of the grain in Britain. This year this source
will not be available, as much of the crop sent to that
market must be disposed of on credit, which must be fcc-
tended by the Canadian seller. This will require the as-
sistance of the owners of the ci'cdit. If the entire task is
thrown on the banks the business community in Canada as
well as speculators will find their supplies increasingly hard
to obtain. The banks will of course be blamed, and unjustly,
as they must keep their resources in such shape that they
can honor the demands of their depositors. During the war
this marketing was arranged by the government, but, now
that trade is, it is hoped, working back to a normal basis
the less of governmental trading there is the better.
The credits for the purpose of disposing of our sur-
plus crops to Europe must be obtained directly from the
owners of the credit, the depositing and investing public.
There is at all times a considerable supply of credit utilized
in speculative channels, and if some plan- could be devised
which would attract these funds there would in all prob-
ability be sufficient to finance the sales of grain in Europe.
Short-Term Debentures Suggested
It has been suggested that short term debentures be
issued for the purpose under government auspices and
direction, the funds so derived earmarked so that the trans-
actions of each year would be allocated to the issue for that
year, each issue to carry its own profit or loss. Such issues
would readily sell on the market and the bank credits would
then he left to fulfill their proper function of facilitating
tr.ide by supplementing woi-king capital. The speculative
public would welcome some such scheme, as, with the prospect.?
of profit in addition to interest, if the debentures or certi-
cates were issued with interest, there would always be Si
market for them.
September 10, 1920
THE I^IONETARY TIMES
What would You do with it?
If you owned this Company, what would you aim to do with it?
You would want to give good service to your patrons —
To pay good wages and provide agreeable working conditions for your employees —
possibly make provision also for their old age —
And to pay a fair return to investors who had put their money into the business —
such a return as would attract other investors so that you would be certain to ob-
tain necessary new money for extending the system.
This is just what we are aiming at — no more; no less! These things cannot be
done on our present revenues.
That is why we are asking for a readjustment of our rates for service!
THE BELL TELEPHONE COMPANY OF CANADA.
WANTED
An experienced fire insurance man for Western
Canada, capable of organizing, underwriting
and handling Head Office detail of Board
Company. Excellent prospects for advance-
ment. Apply giving experience, salary ex-
pected and references to
BOXS333,lMONETARY TIMES,
Toronto, Ontario.
All applications treated as confidential.
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
WrHlcrn .lluiilrlpnl, .Hrliool nn<l .Snakalrlir » an UiirnI Trlr-
phsiic 4'n. (lebrnlureii npcrlnlltril In.
Corrcipontlencc invital
GRAINGER BUILDING - SASKATOON
(«
The
M
onetary
T
imes"
r
II be sent you for (our months
ir TRIAL SUBSCRIPTION plan
on
for
$ l.OO
Jl
1st send a
dollar bill and your name
and address.
DEPARTMENT OF CUSTOMS AND INLAND REVENUE
NOTICE
To Manufacturers, Wholesalers
and Retailers
\IOTICE is hereby given to all concerned, that
Returns, accompanied by remittance of Luxury
iind Excise Taxes, must be made as follows to the
local Collector of Inland Revenue from whom any
information desired may be obtained.
Returns of Luxury Tax must be made on the first and
fifteenth day of each month.
Returns of Jcwellets" Tax, Manuf nrturcrs Tax, and
Sales Tax must be made not later than the last day of
the month following the month covered by the return.
Returns for Taxes in Arrears must be made forthwith.
otherwise the penalty provided by law will be enforced.
By order of the
DEPARTMENT OF CUSTOMS AND INLAND REVT.NUF.
CEO. E. DUNBAR.
Collector of Inland Re
TORONTO
28
THE MONETARY TIMES
Volume 65.
EVOLUTION OF GRAIN MARKETING FACILITIES
IncreasinK Grain Crops lax Transportation and Storage
Facilities— Eichly Per Cent, of World's Wheat is Har-
vested in Late Summer— Production in West >\ill
Probably Increase for Many Years to Come
By Charles Birkett
aartlaru. Fort WHUum and Port Arthur Grain Exchange
WHEAT and other grains, as everybody possibly knows,
are harvested every month of the year in some part of
this old world of ours. It has been stated, however, that 80
per cent of the world's supply is harvested in one-third of
the vear, from June loth to October 15th. This being the
case," a storage and transportation problem of considerable
magnitude exists.
From 60 to 70 per cent, of the western gram crop comes
for\var.l to Fort William and Port Arthur between the Ut
of September to the close of navigation, December 15th. This
happens cverv vear, and the result is that Canada's trans-
portation and storage facilities are taxed to their very utmost
Elevators are considered as part and parcel of our great
transportation svstem. They fill an important part in the
gathering and distribution of our field crops and perform an
economic and useful function.
The most difficult problem we have to face in the next
decade is to make transportation facilities keep pace with
production. Have the elevator facilities kept pace with pro-
duction .luring the last decade or two? W^e will answer this
(luestion later. Production, we believe, is ready and waiting
to jump forward with a bound. It is very important to
Canada, from an economic standpoint, that our facilities are
such as ^^^ll take care of this increased production from time
to time.
Eight Hundred Per Cent. Increase
We will take the production of wheat as being indicative
of the general run of things. In the crop year 1900-1 Canada
produced 47,867,000 bushels of wheat; in the crop year 191o-lb
Canada grew her largest crop of wheat and other cereals,
the wheat crop totalling 376,;!03,000 bushels. This means
that during the period under reNnew (fifteen years) the wheat
crop inrreascd approximately eight times. It is necessary to
sUite, however, that the 1915-16 crop was what is commonly
known as a bumper crop and has not been approached since
that year. The average crop of wheat is approximately 200,-
000,000 bushels, which would be about five times in excess
of that of 1900-01.
How did our elevator capacity keep pace with this de-
velopment? In 1900-01 there were 421 country elevators in
western Canada with a total capacity of 12,7.'->9,000 bushels.
In 1915-16 the number of elevators had increased to 2,90:i,
with a total capacitv of 94.322,000 bushels. This works out
approximately eight times greater than the first-named yean
It will then be seen that the grain trade in the building of
storage space has kept pace with the development of western
Canada, even allowing the figures for the bumper crop year
to remain as a standard. If, however, an average crop is
taken into consideration, the development of the storage
space has been much greater than that of production.
Country and Terminal Elevators
Very few people to-<lay arc aware of the tremendous
increase in the elevator storage capacity of Canada during
the last twenty vears. We have in Canada at the present
time 3 7.10 countrv elevators, with a total capacity of 12/,-
OOO.OnO bushels. We have in Fort William and Port Arthur
eighteen public terminal elevators with a capacity of h\.-
500,000 bushels and twelve private elevators with a capacity
of 2.755.000 bushels, making n total storage capacity of
54.255.000 bushels. Taking Canada as a whole, there are
3 797 elevators, with approximately storage capacity totalling
'^''6 2.56 970 bushels. This in itself shows the wonderful
I-rowth' in Canada, and brings to our attention the splendid
grain-handling facilities that have been provided for the
moving of our principal basic product, grain.
Tlie following figures, taken from an official report of
the Board of Grain Commissioners for Canada, ^^^ll give some
idea as to the evolution of the grain marketing facilities of
Canada: —
Grand Totals. Eleva- Ware-
Year Stations. tors. houses. Capacity.
moo 01 219 426 97 18,329,352
1901-02 243 544
1909-03 285 750
1903-04 323 919
1904-05 359 977
1905-06 415 1,059
1906-07 491 1,221
1907-08 526 1,318
1908-09 647 1,446
1909-10 788 1,802
1910-11 863 1,909
1911-12 937 2,037
1919.13 1,048 2,319
1913-14 . ........ 1,217 2,607
1914-15 1,247 2,813
1915-16 1,334 3,0.59
1916-17 1,400 3,360
1917-18 1,463 3,694
1918-19 1,484 3,777
1919-20 1,511
3,797
87 22,549,000
82 29,806,400
64 40,636,000
46 46,403,630
50 50,453.200
52 55,222.200
36 58,535.700
41 78,016,100
38 94,266,100
32 105,472,700
31 108,649,900
37 127,224,550
24 154,765,000
28 168.624,000
19 180,988,000
193,844,000
211,-591,800
221,279,964
226,256,970
We have in the three prairie provinces a total land acre- :
age of 358,805,198 acres. The latest figures obtainable, those
of 1916, show that 73,300,135 acres had been taken up for
farms. Out of this amount 34,330,246 acres were improved
farm lands and the balance unimproved. Of the improved
farm lands 23,766,364 acres were growing wheat, oats, barley
and flax.
In 1919 the total acreage for grain had increased from
23,766,364 to 30,071,312 acres, an increase of 7,000,000 acies. I
Probable Increase in Acreage
A study of the statistics showing the development of
western Canada clearly proves that the increase in the acre-
age of field crops from year to year is fairly consistent, not-
withstanding the fact tiiat during the past five years very
little development has taken place in the building of railroads
in now territory. The resumption of such will undoubtedly
cause a further increase in the total area of farm lands taken
up for cultivating purposes. In the meantime a large pro-
portion of the unimproved land will be cultivated and cropped.
It seems quite reasonable to assume, therefore, that when
the 1921 census is taken it will be found that the increase
from 1916 has been fully maintained to that of previous
years. Using that as a basis, the following figures are ob-
tained, allowing for a considerable slowing up as compared
with the past ten years: —
Total Total area
Total area area under under principal
improved. field crops. grain crops.
Year. Acres. Acres. Acres.
1921 40.000,000 34,000,000 32,000,000
1926 48.000,000 40,000,000 37,500,900
1931 56,000,000 45,000,000 42,000,000
The above, we think, is a fair estimate, considering the
fact that it is a general belief that the population of western
Canada will materially increase during the next ten years.
There docs not seem to be any doubt that the grain
trade of western Canada will, when necessary, still further
increase the elevator facilities to handle the crops, and, in
conjunction with the transportation companies, will provide
ample facilities for the handling of the crops as they are
grown.
An attempt was made a few days ago to cash a stolen
$1,000 St, Cath.nrine?, OnU. 5H per cent, bond, bearing the
stamp of the Standard P^nk, at the Manhattan Banking
Company, New York.
September 10, 1920 T H E M 0 N E T A R Y T I M E S 29
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I CHARTERED ACCOUNTANTS |
:^iiiniiiiiiiiiMiiiiiiniiiiiiiiiMiMiinniMiiiiniiMiinniiiiiiiiiiiiiiiiiiiiiiitiiiiiiiiiiiiiiiiiiiiiiiMiiiiiiiiMiiiiiiiiniiiiiiiiniiiiniiiiiiiiiiniiiiiiiiiiiir
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OFFICES AT
Edmonton . Alberta
Toronto Ont.
CHARLES D. CORBOULD
Chartered Accountant and Auditor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipetc
Cor
W. A. Henderson & Co.
Charlered Accountants
508-509 Electric Railway Chambers
Winnipeg, Man.
ALEXANDER G.
CALDER
CHARTERED ACCOUNTANT
Specialist on Taxation Problems
Bank of Toronto Chambers
LONDON
ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 Confederation Life Building
Winnipeg
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:
HAMILTON
WINNIPEG
CLEVELAND
Hubert Reade & Company
Chartered Accountants
Auditors, Etc.
407 408 MONTREAL TRUST BUILDING
WINNIPEG
SERVICE
Thorne, Mulholland, Howson & McPherson
CHARTERED ACCOUNTANTS
Specialists on Factory Costs am) Hroi'
3420
TORONTO
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRIGGS & CO.
C;i.ir(<-,,./ ,lccoiiM(.l.i/.s. Aii.ltlors,
Tru.-lccs.U^ut.lalors
Winnipec Toronto, Saskatoon, Moose Jaw,
Montreal, New York, London, Eng.
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Mnin 70 M
LUMSDEN BUILDING - TORONTO, CANADA
F. C. S.TURNER &C0.
Chartered Accountants
TRUST & LOAN BUILDING. WINNIPEC
CLARKSON, GORDON & DILWORTH
Ctiartered Ac
Its. Trustees.
Merchants Bank BIdg.
Liciuidntors
IS Wellington Street Wc
l-.stahlishi-d IWi4
WE SELL
Chauvin,Allsopp & Company, Limited
FARM LANDS
And other good property. EDMONTON DISTRICT.
VALUATORS
Ground Floor. McLeod Building - Edmonton. Alta.
U W.Ui.imson.C.A., J, I). Wallace. L. A
\ .1 W.ilUcr. C A. H. A. Shi:ich C.A.
RUTHERFORD WILLIAMSON & CO
Charlcrcil Accoinil.inls, Trufiro and
Litjuuitttora
M A»KL»n>l! Stbiht Eabt, TORONTO
(W4 McC.u.l. mui.lMi. MO.VTKHAL
Cable Address-" WILLCO"
Kcprcscnted nt Halifax. St. John. \Vinnipc(i
V ininuver.
A. J. Pattison Jr. & Co.
Specialists Unlisted Securities
lOe BAY STREET TORONTO
30
THE
MONETARY TIMES
Volume 65.
INSlKANrE POLICY AS COLLATEKAl- SECIKHV
Assured's Estate is Entitled to Such I'roportion of Policy
and Profits as wrts Borne by Assured Durinn His Lifi"
THE transfer of a mortKaRor's interest in a property, and
the failure of the purchaser to buy back an insurance
j)olicy which they had undertaken to assume as part of the
scales aKif'<?"iL'nt, broujrht up a complicated case in the Alberta
courts. This was Standard Trusts Co. vs. Canada Life As-
surance Co., decided on February 4, 1920, by the Supreme
t'ourt of Alberta.
The facts of the case as stated in the judprment of
Harvey, C. J., are in effect that the Standard Trusts Co. is
the executor of the will of Ferris, who in his lifetime was a
half owner of certain Edmonton property upon which a
mortRape for $.50,000 was piven to the Canada Life As-
.surance Co. It was a condition of obtaining the mortgage,
at the rati- of 7 per cent., payable $5,000 a year for four
years and the balance in five years, that an insurance policy
for an amount equal to the principal should be given and
assigned to the company as collateral security. The policy
was issued to Ferris and assigned, but half the first
premium was charged to his co-owner.
Purchaser's .\greement
The second premium was paid by Ferris, one-half be-
ing charged to and paid by the individual defendants who
bad then acquired the half interest of Ferris' co-owner, but
before the third premium became due the individual de-
fendants had acquired the whole interest in the lands
mortgaged. A term of the mortgage made the insurance
premiums a charge on the land if not paid by the assured
and upon the acquisition by the defendants of Ferris' interest
on .July 10, 1914, an agreement was entered into between
them which provided that Ferris should assign the policy to
the defendants, but that they should pay the premiums. Also
that if the mortgage money was repaid before Ferris' death
"the owners hereby covenant and agree to and with the as-
sured to assign and make over the same at such date to the
assured upon payment by him to the owners of a sum
tquivalent to the cash surrender value of the said policy at
such date, and the assured hereby in such event covenants
and agrees to and with the owners to pay the said sum forth-
with after the repayment of the moneys secured by the said
indenture of mortgage." Also that upon repayment by the
owners of any instalment of the principal, the assured shall
pay to the owners "a sum equivalent to what would be the
cash surrender value under the said policy of the amount
of such instalment or other payment or both at the date or
respective dates of payment based on the proportion which
the amount of any such instalment or other payment bears
to the total surrender value of the said policy at such date
and .thnll thereafter i)ay to the owners a sum equivalent to
the premium in respect of any such instalment or other
payment so repaid. base<l on the proportion which the pre-
miun\8 in respect of the inatalmcnta or other payment so
repaid bears to the total premium payable in rc8pi>ct of the
said policy."
A8.<iured was Killed in War
.Although one instalment of $.'i.000 wa» past due at the
time of this agreement it had not yet been paid. One in-
stalment of $.">,000 was subsequently paid and Ferris paid
the defendants $110 which was one-tenth of the surrender
value at that time of the policy and reimbursed the de-
fendants one-tenth of the next annual pn-mium. Before any
other insUilment was paid or any further premiunx paid,
Ferris who had gone to the war was killed in action.
His Lordship in his written judgment says in part:
"Whi'n the necessary proofs to obtain the insurance moneys
were forwarded it was found that n mistake had been made
by Ferris in understating his age and that at his actual
nge the premiums paid would be the premiums for an in-
surance of $47,500 instead of $50,000, and in accordance with
the terms of the policy the policy was trcato<l as one for
$47,500. Just how this little error affects the terms of the
agreement and the rights of the parties is what is in issue
in this action."
Xot EnUtled to Full Interest |
"I agree with the trial Judge that the plaintiff is not .
entitled to tlie full beneficial interest in the policy, subject
to any claims of the defendants for reimbursement of the
premiums paid and have nothing to add to the reasons he
gives for reading that conclusion.
"I also agree with him that the plaintiff is not entitled
to an interest in the policy represented by the three $5,000 j
instalments which were payable by the terms of the
mortgage but only one of which had been actually paid at
the death of the assured." j
"I agree with the trial Judge also that the plaintiff is '
entitled to one-tenth of the profits because Ferris was bear-
ing the burden of one-tenth of the policy which had been
released to him."
"I would therefore allow the appeal and declare that
the plaintiff is entitled to one-tenth of the amount of the
policy and profits amounting to $4,750 and $75.57
respectively. The plaintiff should have judgment against
the individual defendants for $4,825.57 with interest at the
legal rate from January 16, 1917."
TRUST COMPANIES IN CANADA
Trust companies ar^ as firmly established as banks in
this country, said S. Lawrie, manager of the Royal Trust
Co., in Edmonton, at a meeting of the Rotary Club in that
city on August 25. He showed the progress of the trust
company, and claimed that it was the highest development
on the financial side of civilization. It was only possible
when the community had developed a high degree of honesty j
and integrity- in its social and economic life.
"One of the highest developments of civilization is
credit," said Mr. Lawrie. "By its means, the greater part of
modern business is transacted and civilization itself is in-
creased. The highest development of credit is trust. Credit
means reposing confidence in another that he will pay money
due at a certain date. It implies that he is financially re- •
sponsible. Trust means imposing a confidence that another '
will not only pay money, but that he will perform certain
acts and exercise discretion in the proper way. The ques-
tion we are continually asking is not: 'Shall we trust?' but
'Whom shall we trust?' "
Mr. Lawrie showed that the duties of a trustee are more
strictly circumscribed by the law and more jealously guarded
by the courts than any other business relation between men.
The trustee may take no action in carrying out a trust that
is averse to the interests of the donor or the beneficiaries.
' The develojinient of the trust company idea in the
United States and Canada has been rapid," said the speaker,
"and to-day the modern trust company combines every func-
tion of financial business and has truly been called the de-
partment store of business. For a long time, the use of
the word.s 'trust' or 'trust company' by irresponsible concerns
was not forbidden to any extent by the legislatures of
Canada, but steps have now been taken, both by the dominion
and some of the provinces, to remedy this evil. Even the
new lecislation, however, which has been passed on this point
has not always provided for this discontinuance of the use
of the name by the act. Consequently it is very important
for any person who contemplates doing business with a
Canadian trust company to inquire carefully into its stand-
ing."
Boards of trade in Ali., , i,, ,i,,, snortiy hold a conference
in Edmonton, with a view to forming a provincial organiza-
tion.
Tlic Imperial Bank has issued a writ in Toronto, claiming
$19,834 from Clayton Fielding under alleged obligations as-
sumed by Fielding last year on behalf of the Niagara Falls
Pickles, Ltd.
September 10, 1920
THE MONETARY TIMES
31
•jiiiiiiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiit iiiiiiiiiiiiiiiiiiiiiiiiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiu
I REPRESENTATIVE LEGAL FIRMS |
TiiimiiiiiiiiiiiiiiiiiiiiiniiiiiniiMiiiiunniiiiuiiiinniiiniiiiiiiiiiiinuiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiMiiiiiiiiiiiiiniiiiiiiiiiiiMiiMiiiiiiiiiiiiiiiiiiiiiir
BRANDON
KILGOUR, FOSTER & McQUEEN
Barritteri, Solicitors, Etc., Brandoo, Man.
Solicitors for the Bank of Montreal The
Royal Bank of Canada Hamilton Provident
and Loan Society. North American Life
Assurance Company.
LETHBRIDGE, Alta.
Conybeare, Church
&
Davidson
Barristers, Solic
tors. Etc. 1
Solicitors
and Loan
for Bank of Mo
Co of Canada,
Trust Co.. &c
ntreo
Brit
, ftc.
1, The Trust
sh Canadian
C. F. P. Conybeare. K.C.. H
R. R. Davidson
W. Church. M. A 1
LL.B. 1
Lethbr
dge
Alta. 1
PRINCE ALBERT
COLIN E. BAKER, B.A.
Solicitor for the City of Prince Albert
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal BIdg.
CALGARY - - ALTA.
W.P. W.Lent Alex. B.Mackay, .M. A. .LL.B.
H. D. .Mann. .M.A., LL.B.
LENT, MACKAY & MANN
Barristers, !tolJellor», .Votarle», Etc.
305 Grain Exchange BldK . Calgary. Alberta
Cable Addre$a," Lenjo." Western Union Code
Solicitors for The Standard Bank of Canada.
The Northern Trusts Co. Associated Mort-
-.'age Investors. Ac.
Hon. Sir James Lougheed. K.C. K.C.M.G.,
R. B. Bennett. K.C, J. C Brokoviki. K.C
A. .M. Sinclair. K.C. D. L. Redman. H. li.
Korster, P. D. McAlpine. O. H. E. Might. L.
M. Roberts. CCablc Address ■Loughnctf)
LOUGHEED. BENNETT & CO.
Barristers. Solicitors. Etc.
Oarence Block. 122 Eighth Avenue We«
CALGARY. ALBERTA. CANADA
J. A. Wbioht. LL.B. C. A. Wright, B.C.L
WRIGHT &WRIGHT
Barristers, Solicitors, Notaries, I tc.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. A.C Rutherford. K.C.LL.U.
P. C. Jamieson. K C. Chas. H. Orant
S. H.,McCuaiR Cecil Rutherford
RUTHERFORD. JAMIESON
& GRANT
Barrister*. Solicitors, Etc.
514-18 McLeod BIdg. Edmonton, Alberta
JOHNSTONE & RITCHIE
Barrisheri, Sulicilors, Notaries
LETHBRIDGE - Alberta
REGINA
MEDICINE HAT
O. F. H. Long. LL.B. J. W. Si.eci.ht. li.A.
LONG & SLEIGHT
Barristers, etc.
MEDICINE HAT and BROOKS. Alta.
MOOSE JAW
Grayson, Emerson & McTaggart
Barristers, Etc.
Solicitors — Bank of .Montreal
Canadian Bank of Commerce
Moose Jaw - Saskatchewan
NEW WESTMINSTER
JOHN W. DIXIE
Barrister and Solicitor
405 Weilminsler Trust Building
NEW WESTMINSTER, B.C.
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
Called to Ontario H.ir IIINO. New Y.irli Bar lh.sj
ELLISON. ELLISON & ERASER
iori Bronil»»«j', Vew »ork
ELLISON. GOLDSMITH A ALLEN
.".•.I «r,l lllllh »!., Nr>» li.rl.
A. L
H. E.
G
Gordon. KC P. H . Gordon, B.C.L.
Keown P- P. Collins
ordon. Gordon, Keown
and Collins
Sarri
sters. Solicitors, &c
Aid
on B
uilding, REGINA, S
ask.
Sol
citors
or ImrxTial Hank of Ca
nada
SASKATOON
C. L. DtHiK. B A
H. .M
Wakpliho
DURIE & WAKELING |
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III .<>i>lli'll
.rn
Soli.:itors for the Ua
Great West Perma
Monarch Life Assuran
nk of Ham
nent Loan
eCo.
ilton. The
Co. The
<'ana<ln ItnlKIIne
Hankaloo
n, Canada
r J..\K.\uKhcv,0,B.E.
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
W. J Uowacr. K C
11 S.Wallhridge A.H.
i; L KciJ
UiwiRlns J.G G
K.C
bson
BOWSER, REID, WALLBRIDGE
DOUGLAS & GIBSON
Barristers, So
licitors. Etc
Solicitors for Hank i
Britiih North A
f Mimtreal (Ha
iierica Branch)
nkof
Yorliibire Buildim, S2S Ser
DoarSl., VftDcourcr
B.C.
VICTORIA
A B
(K.C.
Member
tia. Alhi
ish C.
DL'M.OP
f,.r Alberta)
of Nova Sco-
ria and Brit.
umhia Bars
K. H M loot
Member of Manitoba
and British Columbia
Bar..
DUNLOP
&
FOOT
Notn
Vic
BnrriateTK
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612-61:) Snr
orin. Bnlith L
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BIdu.
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TOOLE, PEET & CO, Limited
INSURANCE AND REAL ESTATE
MORTGAGE LOANS ESTATES MANAGED
Cable Address, Topeco
CALGARY
estern L n, and A.BC. 5th Edition
CANADA
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
Dr. J. \V. MAHA.S J. A. WBSTMAN
Prcnidcnt ManaRing Director
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
InvestiKatinf; .Market lor Hritish ( olumbia Steel-Another Pulp and Paper Deal being
Consummated — Maritime Fisheries Depressed by Low Prices — Ontario Timber Pur-
chased bv Manchester Merchant-Will be used for Shipbuilding Purposes m England
FOR the purpose of studying the market for British
Columbia steel, Major D. B. Martjii, industrial commis-
sioner for the province, and James McVety, of Vancouver,
are now on a tour of American cities. They will later be
joined at San Francisco by Nicol Thompson, of Vancouver.
Messrs. McVety and Thompson compose the steel committee
of the advisory board of the provincial department of in-
dustries by which a number of projects have of late been
considered, projects being promoted by individuals who are
applying for loans to permit of the inauguration of steel
nianufacturinjr plants.
This question of the inauguration of an iron and steel
manufacturing plant in the province has received the at-
tention of the provincial government, which has already
passed legislation granting a bonus for iron produced in
British Columbia. But, so far, no private enterprise has
come forward with any definite plan designed to take ad-
vantage of the assistance promised. At the last session of
the legislature Hon. William Sloan, minister of mines, made
tlic definite declaration that should no private enterprise be
established this year, the government would seriously con-
sider the project of inaugurating a government steel plant.
British Columbia Cement Industry Prospering
During the past three or four years the market for
British Columbia cement has been somewhat depressed. An
indication of this is the fact that the plant of the British
Columbia Cement Co., at Tod Inlet, Vancouver Island, the
principal cement-producing plant in the province, has, since
1915 been turning out about one-third of its capacity and
operating only six months in the year. Only about one-
tenth of the company's actual capacity output has been sold
during the past four or five years, and, as a result, the com-
pany as been operating at a loss. Just recently the situation
hn.s been greatly changed, however, although whether per-
manently or not, it is not known.
Within the past few months Australia, New Zealand,
South America, the Fiji and Philippine Islands have com-
menced to bid for British Columbia cement, a development
unheard of until the high cost of labor, shortage of fuel
and transportation difficulties gave Vancouver Island a dis-
tinct advantage over other Pacific cement plants on ac-
count of its tide-water location and easy access to sea trans-
portation.
Andther l.arvre Pulp Deal
A new ciimiiany, headed by Greenshields and Co., of
Montreal, has been formed to take over the operation of the
plant of the Dryden Pulp and Paper Co., at Dryden, Ont.,
from the late English owners. The chief production of the
plant has been in krnft pulp and paper, which will be
continued by the new organization, only on a much larger
scale. An issue of securities will be shortly made by the
new company, the proceeds of which will be devoted to the
completion of the plant and extensions. Owing to various
causes, including the exchange situation, the English inter-
ests have not been ready to provide the company with the
necessary capital to complete the plant. It is understood that
the Cnnndian interests, on the understanding that they
would provide this capital, were able to purchase the pro-
perty at approximately its pre-war valuation.
The r)r>-den Co. holds 1.157 square miles of timber
limit.s adjacent to Lake Wabigoon and Eagle Lake, in the
Kenora District of Ontario, between Winnipeg and Port
Artluir, containing a large stand of accessible pulpvvood.
The company's history dates back to before the war, when
it was originally formed as a lumber and power concern.
It went into liquidation in 1913, at the time when the lumber
business went into depression. Additional capital was secured
and the company's sulphate mill, which was under consti-uc-
tion previous to liquidation, was completed. Under the re-
organization, the company's capitalization was scaled down
to a low figure. The pulp and paper plant was gradually
developed out of earnings, and additional timber holdings
and power sites secured. The additional powers have been
partially developed, and the mills, which are laid out for
a much larger capacity, have been brought up to a present
production of 45 tons of sulphate pulp, 18 tons of build-
ing paper and 15 tons of kraft paper per day. The company's
timber limits are adjacent to two lakes of approximately
100 square miles each, which enables them to secure their
pulp wood, it is said, at a very low per cord cost of the
pulp wood delivered at the mill.
Among the directors of the reorganized Dryden enter-
prise will be included : W. A. Black, vice-president and man-
aging director of Ogilvie Flour Mills and a member of the
Abitibi Pulp and Paper Board; J. B. Beveridge, who has for
some time been associated in the chief executive capacity of
the company; J. N. Greenshields, K.C.; J. H. A. Acer,
director of the Laurentide Power Co.; Senator Lome C.
Webster and Dan McLachlin, president McLachlin Brothers.
Ltd., of Arnprior, Ont.
Maritime Fisheries Depressed
A bulletin has been issued by the eastern division of
the Canadian Marine and Fisheries Department, which ,
.speaks of the depression of the fishing industry in the Mari- ',
times. The bulletin says in part:
"The fishing industry at present is in a somewhat
perilous condition, not only in the Maritime provinces, but
also along the Atlantic coast of the United States. Large
stocks are on hand, and great difficulty is experienced in
marketing sufficient supplies to ease the situation. The re- 1
suit is that the dealers will probably lose heavily, either in '
prices or in the deterioration of the supplies, or both. And •
as a consequence the fishermen will also suff'er, as the dealers
are not in a position to satisfactorily handle the catches.
"Indeed, so far as the fishermen are concerned, the sea-
son thus far has been quite disastrous, with the exception
of the lobster fishery, which has been the most successful
and remunerative for some years. Cod and haddock have
been plentiful on large sections of the coast, but the prices
to the fishermen are unusually low, particularly when it
is remembered that the cost of gear is at least one hundred
per cent, greater than under normal conditions.
"Owing to the unsatisfactory conditions, the dealers,
with hardly an exception, are curtailing operations, and in
some instances have closed their plants; while many of the
fishermen have had to engage in other occupations. This
is particularly true in some districts in Cape Breton and
Craml Manan, N.B.
"The sardine fi.'ihery of New Brunswick is most un-
satisfactory. Owing to the scarcity of tin plate, the can-
neries, both on the Canadian and American sides, could take
only small quantities of herring. Darrel Chenev is construct-
ing a sardine canner>' at Little River, Digbv County, and
proposes to utilize the catches of St. Mary's Bay."
Manchester Merchant Buys Timber Here
While in Montreal recently, G. Mason, of Manchester,
England, m.ide a statement regarding the purchase by his
company of twenty-five million feet of timber from" the
Manley-Chew saw mill at Milton, Ont. He intimated that
the purpose of his present trip is to make forwarding ar-
rangements to have the timber, as it is put through the
mill, forwarded to the company's distributing vards in
Manchester, where they have large storing ground "and shed
September 10, 1920
THE MONETARY TIMES
British Northwestern Fire
Insurance Company
Head Office
TORONTO
J. H. Riddel. E. C. G. Johxsox.
Managins Director. Secretary.
F. K. Foster.
Winnipeg. General Agent for Western Province-;
The policies of this Company are guaranteed by Eagle,
Star and British Dominions Insurance Company, Limited, ot
London. England.
ASSETS EXCEED $93,000,000
Applications for aeencies art- cor.lially invited.
LONDON
Head Office for
GUARANTEE AND
ACCIDENT COY.. Limited
Canada - Toronto
Klevalor. ContrjLt. IVrsonal Accident. Fidelity
ternal Kcvenue. Sickness. Court Bonds,
reams and Automobile.
AND FIRE INSURANCE
THE DOMINION OF CANADA
GUARANTEE & ACCIDENT INS. CO.
Accident Insuranct Sickness Insurance Plate Glass Insurance
Burglary Insurance Automobile Insurance Guarantee Bonds
The Oldest and Strongest Canadian Accident Insurance Company
T 'roiilo Montreal WlnnlpcK ^'Blcnrj VaneoDTer
CANADIAN STRONG
PROGRESSIVE
fjij^iS: wis^y^^mes^avi^sffr?
FIRE INSURANCE
AT TARIFF RATES
The Western
Mutua
I Fire
Insurance Co.
Head Office
-
Didsb
ury, Alberta
Prrside'i
-H. B.
ATKINS
M.L.A.
PARKER R, REED.
LARGEST ALBERTA
.l/.i>i<«lin« Director
FIKE ML'TUAL
GENERAL
ACCIDENT FIRE AND LIFE
ASSURANCE CORPORATION, LIMITED, OF PERTH, SCOTLAND
PELEG HOl'.LA.VU THUS.. H HALL.
Canadian Advisory Director .Manager for Canada
Toronto Agents. B. L. McLEAN. LLMITED
Palatine Insurance Company
LIMITED
OF LONDON. ENGLAND
Capital Fully Paid - $1,000,000
Fire Premiums, 1919 3,957,650
Total Funds - 6,826,795
In addition to the above there Is the further Guarantee of the Commercial
Union Assurance Company. Limited, whose funds exceed $i09.000.U00
Head Office : — Canadian Branch
COMMERCIAL UNION BUILDING, MONTREAI
W. S. JoPLiNc. Manager
Toronio Office— 60 KING STREET WEST
Jo.vKs & Phoctor Bros.. Limtteh. \tcn;^
Automobile— 1 920— Season
Policies to cover ANY or ALL motoring risks
ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
82-88 King: Street East, Toronto
Great North Insurance Co.
Head Office. I.O.O.F. BLOCK. CALGARY. ALBKRTA
THE COMPANY WITH A RECORD
OFFICERS
anager ... W. J. WALKBK. Btfl.
It ... ... ,1. K. MclSMS, Etq.
nt.Hos.ALEX. C. RUTHERFORD. K.C.
nt ... Hon. P. E. LBSSARD. M.L.A.
J.T. NORTH. Etq.
1st Vice-Preside
2nd Vice-Prcsidi
3rd Vice-Preside
AUDITORS
Edwards. Morgan & Co.
DIRBCTORS
Hon. Alex. C.Ruther
ford. K.C, B.A..
LL.D.. a.c.i..
Hon. P. E. Lessard
P. A. Walker, a l.a.
Bdward J. FrtMn.
E«i
J. K. ,Mclnni>.
W.J. Walker. Bk).
Geo. H. Rosi. R.o
LL.3.
Merchants Casualty Co.
Head Office : Winnipeg. Man.
The mott progroiivc comiMny in Canada. Operating under the
■ upcrviiion of the Dominion and Provincial Insurance Departments.
Embracing the entire Dominion of Canada.
SALESMEN NOTE!
Our accident and health policy Is the moit liberal protection olTcrcd
for a premium of ll.oo per month and up.
Covers over 2..VXI different diseasca.
Pay! for Life if disabled through Accident or
Illness.
Fifty percent extra if confined to hospital.
Pays for Accidental Death. Quarantine. Sur-
geon Feci for minor injiinc-i. also for death of
BeneKciary and children of the Insured
Good Opening* for Lim Agmnt*
Eastern Head Office. Royal Bank Bldg .Toronto
c Oliice Electric Railway Chambers.
Winnipeg. .Man.
THE MONETARY TIMES
Volume 65.
space, adjacent to the ship canal, and possessinisr railway
communication. UurinK the past four years, through the
war period, the company was debarred from purchasing
timber in Canada, owing to an embargo of the British gov-
ernment which sought to conserve tonnage. With a very
large demand for timber supplies which is prevalent through-
out Great Britain, for engineering and shipbuilding pur-
poses, Mr. Mason was led to make the deal he is now
marshalling, and he states that his company is open to pur-
chase all the white pine timber they can get in Quebec and
Ontario and elsewhere in the Dominion of Canada.
The timber, as it is cut for the company's purposes, is
fashioned into boards and deals and is sold in that way.
The Midland mill has a capacity of about fifty million feet
a year and it is estimated that the timber supply that is
tributary to it is good for about fifty years. At Midland,
the company, which is known as G. Mason and Co., Ltd., has
established offices, with ."Major G. L. Main, of Gait, in charge,
for the purpose of looking after their present investment,
and to negotiate any further purchases of timber which
they may be able to make in this part of the country.
United Kingdom Industries
Cable advices have been received by F. W, Field, vthe
British government trade commissioner in Toronto, from
the Department of Overseas .Trade, London, England, that
the United Kingdom iron and steel industries are fully oc-
cupied with home orders to the capacity of raw materials
available. Manufacturers of tinplates, galvanized sheets,
hardware, cutlery and pottery are in a little belter position
and can deal with an increased export business. Among
the industries in the United Kingdom which can now handle
larger business are machine tools, motor cars (except the
higher grades), electric batteries and accumulators, drapery,
clothing, hosiery and hats, and musical instruments. Indica-
tions in those industries point to a larger export trade in
the near future. The same remarks apply to glass and
glassware.
Miscellaneous Trade Notes
A new sash and door factory is to be established at
Mission City, B.C., by the Canadian Western Door Co., Ltd.,
at the cost of about ?135,000.
Quarters have been secured by the St. Catharines Silk
Mills, Ltd., at Port Dalhousie, Ont., whe.re silk gloves will be
produced. About fifty persons will be employed.
Adams Wagon Co., Ltd., a subsidiary of the Cockshutt
Plow Co., has aci|uired the plant of the Petrolea Wagon
Works at Petrolea, Ont., and is fitting it up for the produc-
tion of sleighs and trucks. This will enable the Brantford
plant of the Adams Wagon Works to concentrate on other
lines of farm wagons, etc.
The Ontario Paper Co., Ltd., is erecting n new building
at Thorold, Ont., t!0 by .300 ft. A new paper-making machine
is being added to the plant's equipment, and it is announced
that the capacity of the mill will thus be raised from 2:{0
to :i(i(» tons of newsprint per day.
A factory is being erected by the Dominion Motor Cast-
ings, Ltd., at Windsor, Ont., which, when completed, will
have a floor space of '2;{,000 square feet. The new concern,
which is applying for a charter, with a capitalization of
S2r)0,000, will nmnufacturc different types of castings used
for automobiles, etc.
With a capacity of 8,000 pounds of hemp per day, a new
cordage plant will open at New Wcstmin.ster, B.C., in Octo-
ber, to supply not only the British Columbia market, but
also that of the prairie provinces. The plant of the com-
pany represents an investment of $2»iO,000, of which the
provincial government loaned $200,000, and the stockholders
took up ?no,000. The plant is under the manaftement of
John Passmnre. who has had thirty years' experience in
Xcw Zealand cordage manufacture. The first protluct is
expected to be turned out by October l.i. At present the
building is completed and part of the machinerj' is on the
ground, while another part is en route west and the balance
is oil nr.ir.r 1 .1 1,.. ..hipped Bs quickly as possible. To insure
early manufacture, 1-32 tons of raw materials is now on the
ground, and a steady importation of hemp from Manila and
New Zealand will be maintained.
NEW INCORPORATIONS
.Mount Royal Hotel Co.. Ltd., .$10.000.000— Airtight Valve
Co., Ltd.. .S3,000,000— Loblaw Groceterias, Ltd., $300,000
The following is a list of companies recently incorporated
under Dominion and provincial laws, with the head office and
the authorized capital: —
Hanna, Alta.— Shacker-s No. 2, Ltd., $20,000.
Rosedale. B.C.— Mt. Cheam Club, Ltd., ^.''j.OOO.
Winnipeg, .Man. — Touch Buttons, Ltd., $50,000.
Drumheller. Alta.— Callie Coal Co., Ltd., $150,000.
Guelph. Ont.— The Guelph Outfitters, Ltd., $50,000.
Prince Rupert, B.C.— Maguire and Co., Ltd., $25,000.
Woodstock. Ont. — Peerless Telephone Co., Ltd., $500.
Sudbury. Ont.— Sudbury Woollen .Mills, Ltd., $40,000.
Oshawa, Ont. — Oshawa Improvements Co., Ltd., $500,000.
.Milverton. Ont. — Milverton Furniture Co., Ltd., $200,000.
Beaverlon, Ont. — Centre Thorah Telephone Co., Ltd.,
$600. i
Winchester. Ont. — Melvin Cheese and Butter Co., Ltd., ^
$10,000.
Cobourg. Ont. — Robert Hicks Coal and Towing Co., Ltd., ^
$25,000.
Nicole), Que. — Les Chevaliers de Colomb de Nicolet,
$19,000.
Coalspur. .Vita. — Macleod River Hard Coal Co., Ltd.,
$20,000.
New Westminster, B.C. — Westminster Shook Mills, Ltd.,
$100,000. I
Nelson, B.C. — Kootenay Pulp and Paper Co., Ltd., 1
$500,000.
Charloftetown, P.E.I.— The Charlottetown Milling Co..
Ltd., $35,000.
Campbellton, N.B. — Jost Pulpwood Co., of Campbellton,
Ltd., $75,000.
Hamilton, Ont. — Mount Hamilton Co-operative Society,
Ltd., $25,000.
Parkhill, Ont. — Parkhill Farmers' Co-operative Supply '
Co., Ltd., $25,000.
Sussex. N.B. — The Kings County Silver Black Fox and
Fur Co.. Ltd., $75,000.
Wind.sor, Ont.— S. E. Dinsmore Co., Ltd., $50,000; Paul
Wise Co., Ltd.. $100,000.
Cowley, .Vita. — Christian Community of Universal
Brotherhood of .Mberta, Ltd., $20,000.
Victoria. B.C.— Little Logging Co., Ltd., $20,000; Wood-
Foystor Construction, $10,000; Clarke Printing Co., Ltd.,
$10,000.
Victoria. B.C.— Sarita Industrials, Ltd., $250,000; Cherry
Point Logging Co., Ltd., $50,000; Little Logging Co., Ltd.,
$20,000.
Toronto. Ont — F. Colyer Manufacturing Co., Ltd., $60,-
000; Andrews and Morison. Ltd., $40,000; Loblaw Gro/;eterias,
Ltd.. $.300,000; Moore's. Ltd., $200,000; L. Newman and Co.,
Ltd., $20,000; Canada Stores Co., Ltd., $40,000; Commins and
Moffatt, Ltd., $.50,000; Madcwell Clothing Co., Ltd.. $100,000:
Claudius Ash, Sons and Co. (of Canada), Ltd., $150,000.
.Montreal. Que.— Rosomont Quarry, Ltd., $20,000; Bir-
ketts, Ltd.. $15,000; Mackay and Currie, Ltd., $20,000; Do-
minion Confectionery, Ltd., $50,000; Glackmeyer, Harris, Ltd.,
$40,000: Regent Cap Manufacturing Co.," Ltd., $50,000;
David's, Ltd., $100,000; Mount Royal Hotel Co., Ltd., $10,-
000,000; Downtown Garage. Ltd., $100,000; Airtight Valve
Co., Ltd.. $3,000,000.
Vancouver. B.C.- Castolcne Oil Co. of Canada, Ltd., $50,-
000; Edward Cox, Ltd.. $10,000; Benson Radio Meter Co.,
Ltd.. $2.50.000; Edham Shingle Mills. Ltd., $25,000; Victoria
Logging Co.. Ltd.. $10,000: Yale Liquor Co. of Canada, Ltd.,
$2.5.000; Paramount Victoria Theatres, Ltd., $600,000; Nitinat
Land Co.. Ltd.. $10,000; the Mackinlav Film Co., Ltd., $15,-
000; Robert McDonald. Ltd., $100,000.
September 10, 1920
THE MONETARY TIMES
35
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS .... 24,600,000.00
UBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful days for life insurance salesmen,
particularly North American Life men. Our representa-
tives are placing unprecedented amounts of new business.
All 1919 records arc being smashed.
" Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey. Supervisor of Agencies
North American Life Assurance Company
•SOLID .AS THE CONTI.NKNT •
HOME OFFICE - TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assurances, New and Revived - - SI, 21 1, ■417. 00
. Preuiiunis on same .... 43,890.00
Assurances in Force - - - - 3,458,939.00
Total Premium Income - - - 109,586.03
Policy Reserves - - - - - 211,497.00
Admitted Assets . - - . - 296,430.62
Average Policy . - - - . 2,237.50
Collected in cash per 81,000 insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director - Winnipeg.
1870 OUR GOLDEN JUBILEE 1B20
Co-Operative - Scientific - Successful
"How did the .Mutual Lifeof Canada succeed inattainiri! its present
impregnable position in ihe financial world?" It may be replied that the
promoters of the Company did not organize it as a commercial under-
taking, but that it mikht serve as a public benefactor givins "the largest
amount of genuine life insurance for the least possible outlay " Unsel-
fish devotion to the success of theenterprisc supplied the place of capital.
Although strictly co-operative or mutual, yet the Company has been
built upon a Rcienlitic basis as an old line legal reserve life insurance
company. The .Mutual Life of Canada is a bcncficei t idea worked out
on scientific lines — that is the secret of its popularity. The Mutual being
essentially a companyof policyho'ders, cnnducicd by policyholders in the
interests of policyholders, naturally became a great success.
BE A MUTUALISTt
The Mutual Life Assurance Co. of Canada
Waterloo
Cronyn. .M.P.. President
Ontario
1 Uuby, General Ma
LIFE INSURANCE SERVICE
("HH ultimate success of a Life Insurance Company depends largely upon
^ what Its policyholders think of the service they receive. The Contmen-
.■1 Life has long since passed this test, and earned a high reputation for paying
claims promptly. 1920 will likely prove the best year in the Company's history.
U rite for booklet. "Our Best Advertlner*." For Managers positions in On-
tan... apply with references, stating experience, etc., to S. S. WEA^KK.
Eaalrru itaprrlnlcnilrnt. ai ilrnd OIHre
THE CONTINENTAL LIFE INSURANCE CO.
Head Office TORONTO, ONTARIO
ENDOWMENTS AT LIFE RATES
THE LONDONTlFE^iNSURANCE CO.
Head Office ... LONDON, CANADA
Profit Results in this Company 70° belter tban Estimalei,
POLICIKS 'GOOD AS GOLD.'
WHEN
in a Life Insurance Company high interest earnings on
investments are coupled with low operating expenses,
the Policyholders reap the benefit.
This combination of conditions has effected notable
results for the Policyholders of The Creat-Wost Life
Assurance Company. The pamphlet, "ACTUAL
RESULTS TO POLICYHOLDERS," gives information
along this line (hat cannot fail to interest those con:cm-
platini.; Life Insurance. Ask for a copy.
THE GREAT- WEST LIFE ASSURANCE COMPANY
HEAD OFFICE
■WINNIPEG
The Western Empire
Life Assurance Company
Head Office: 701 Somerset Building, Winnipeg, Man.
SASKATOON
OVPICKS
BD.MONTON
S ANCOL VKK
FARMERS'
FIRE & HAIL INSURANCE COMPANY
FIRE, HAIL AND AUTOiMOBlLE INSURANCE
Head Office, CALGARY. Saskatchewan Office, RECINA
H. P. JOHNSTON'. Man.iKinK Director
Desirable Territory
FOR
Alert Agents
Always ready to negotiate with men who can establiih their
capacity to pay for a reasonable volume of New Insurance
regularly — ^ood business placers steadily needed.
Union Mutual Life Insurance Co,
Portland, Maine
Address ALBERT E. WADE, Supl. of Agenrjes.
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Hi^h Tax Itate lor Calgary Next Year Inless a Definite Plan is Formed in
Regard to Arrears— Prince Rupert Debt Reduced— Shortage in Windsor Sink-
ing Fund Denied— Vancouver and Lethbridge Tax Collections Show Increases
I.tthhridyc, Alta. — Taxes collected during the discount
period, which ended on August 31, amounted to $276,000, re-
presenting 54 per cent, of the total, compared with $212,000,
or 4i).5 per cent, of the total, in the same period last year.
Vancouver, B.C. — Since the middle of July more than
$650,000 has been received in taxes. Heavy collections are
anticipated towards the end of the discount period, which
expires on September 15, and at that date receipts are ex-
pected to reach $1,000,000 or more.
Montreal, Que. — Water and business taxes collected dur-
ing the discount period which ended oh September 1 last,
amounted to $2,303,399, as compared with $1,792,893 received
in the same period last year. During the following sixty
days, interest at the rate of six per cent., will be collected
on arrears, and after that 7 per cent.
The administrative commission on August 30, decided to
purchase for its sinking fund, the following bonds of the
city of Montreal, from H. B. Robinson and Co.: £5,000, 4%
per cent., due 1951-3, at 1)6.50; £2,140, 4 per cent., due 1932,
at 73; £5,000, 4\'ii per cent., due 1963, at 67.50.
Windsor, Ont. — A special audit made recently by Dadson,
Fitzgerald and Co., revealed a shortage of about $12,975 in
the city's sinking funds. This, however, has been contra-
dicted by F. J. Holton, city auditoi-, who demands an investi-
gation by the city council, and who is backed in his state-
ments by City Treasurer Thompson.
Speaking of the matter, Mr. Holton explained that the
sinking fund of a city is always considered as a sacred trust,
and that any statement such as appears in the report of the
special audit will injure the credit and reputation of the city.
"It is libellous and should be corrected," he said. "Not only
is nil the money there which should be there, but there is a
.•surplus of $2,206, which has been earned by investing sink-
ing fund money in debentures drawing a higher rate of in-
terest than that allowed by the banks."
I'rince llupert, B.C A reduction in the debt of the city
'il s:;l!.269 last year, is .shown in the annual statement just
is.-ii.ii. The total bonded debt as at December 31 last,
:iiui'uiited to $1,609,223. The sinking fund was intact, and
fully paid in at that date.
There was a deficit for the year on general revenue ac-
count of $19,382, but to offset this profits were earned by
the various utilities amounting to $26,8iil. The city thus
had a net surplus for the year of $7,478, which was not
iiT'iiirh, however, to pay the exchange on a payment of
>^i<.\:,2 due on the city's bonds, and payable in New York on
AiMil 1, 1920. Taxes levied for general purposes during the
year amounted to $175,697, a.i compared with $154,594 in
1918. Local improvement levies amounted to $59,186. Total
collections, inrludintr arrear.>i, were considerably over the sum
of these two amounts and uncollected taxes at the end of the
year were reduced from $196,250 to $172,742, which includes
both general and local improvement tuxes.
Mnntrcnl. Que. — The finance committee of the Charter
Commission will request the Chamber of Commerce, the
Board of Trade, the Manufacturers' .Association, the City
Improvement League and other similar organizations, to send
in their suggestions on the best system of taxation adapt-
able to the conditions prevailing in the city. In making this
annoimcement, A. Lambert, chairman of the finance com-
mittee, drew attention to the importance of financial mach-
inery required for the administration of Montreal. Mr.
Lambert added that he would ask the committee to adopt
his .'suggestion at its next meeting. "If the commission has
over needed the opinion of citizens it is on this matter," na\d
Mr. Lambert. The committee will also study the taxing
systems in use in other cities.
Up to the appointment of the present administrative
commission, Montreal adhered to the rigid system of having
a fixed realty tax, which, however, completely broke down
during the stress of the times following the outbreak of
European hostilities. The city was confronted for two or ;
three years with annual deficits, which were wiped out only
with the power of increasing the realty tax. The new law
authorizes the city commissions to assess property with a
rate of taxation not exceeding 1 li per cent., or $1.50 on
each $100 valuation of property. The city commissioners
have succeeded, however, in administering the affairs of the
city on a property tax of $1.35. Now, in view of the draft-
ing of a new city charter, the sub-committee will go into the
question of taxation and submit their recommendations to the
general charter commission.
Calgary, Alta. — At a recent meeting of the finance com-
mittee, the question of tax arrears and the tax sale was the
principal topic. It was finally decided that a definite policy
must be framed to provide revenue in lieu of taxes from
property which will be sold this fall. Alderman Johns1;on
and McCoubrey expressed the opinion that there was a possi-
bility of a 70-mill tax rate in 1921, unless the city sold in-
stead of trying to lease lands that came into its possession
through the tax sale.
It is variously estimated that from 30,000 to 40,000 lots
will come into the city's possession, which will mean probably,
striking another $1,500,000 from the already greatly reduced'
taxable property of the city, which is now down to some
$75,000,000. The most serious phase of this situation, how-
ever, is the possibility of a decision from Judge Carpenter,
of the Public Utilities Commission, compromising taxes on
property classed as farm lands, and making the compromise
retroactive over a term of years. Such a decision might
mean wiping another $5,000,000 off the assessment rolls.
Another question of importance which was considered'
was that of sinking funds. Aid. Johnston made that state-
ment that the city fell behind in payments into the sinking
fund to the amount of $22,000, as compared with the pre-
vious year. The advisability of investing more money out
of the fund in Calgary bonds, was also discussed, and it
was finally decided to ask the council to authorize the com-
mittee to invest sums from the sinking fund, not to exceed
$50,000 at one time, in Calgary bonds of ten or fifteen-year.
Emphasis was also laid on the fact that no loans shall
be made from the sinking fund on local mortgages, which
is a repetition of a decision made long ago. At the pre-
sent time, according to a statement made by Mayor Mar-
shall recently, the city has $500,000 cash in its sinking and
$600,000 invested in Victory bonds, besides mortgage loans
and other investments. Prior to the war period, most of the
sinking investments were in mortgages on local property.
Alderman Johnston expressed the opinion that the city even-
tually would lose some $100,000 on these mortgage invest-
ments, but Commissioner Saniis expressed the opinion that
by 1931, when sinking fund payments fall due, the propertj
on which loans were made will be worth the principal and
deferred interest.
COBALT ORE SHIPMENTS
The following are the shipments of ore, in pounds, froff
Cobalt Station for the week ended September .3rd:—
Temisknming Test. Lab.. 60,000; O'Brien Mine, 64,050
Pommion Reduction. 80,000; Nipissing Mine, 693,135; total
897.18.",. The total since January 1st is 17,194,428 pounds, oi
8.i')97.2 tons.
September 10, 1920
THE MONETARY TIMES
87
C.P.R. BUILDING
TORONTO
nOUSSLRWiXH)v°G)MPANY
INVKSTMKNT BANKCRt
CANADIAN' GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
REAL ESTATE
Farm Lands City Properties
Building Management Rentals
OSLER, HAMMOND & NANTON
WINNIPEG
CANADIAN
(iOVKKNMKNT, I'KOVINtlAL.
Ml NI( II'U. & COKI'OKATION
BONUS FOR INVESTMENT
Harris, Forbes & Company
INCORPORATED
C. 1'. K. Building. 21 SL John Street
TORONTO. MONTREAL.
DOMINION OF CANADA 5'<% VICTORY BONDS
The fireaust Kilt-edged investment bargain in the history cf Canad
Only a limited quantity of bonds are avaiUible at the fallowinR extr
ordinary priecs.
The foUowinR are free from Do
December. 1922
November. 19'J3 98
December. I9i7 97
November, \-fii 96i "
December. 1937 98 ■
Sobject to Dominion Income Tax only when held br
November. 1924 97
November. 1934 93
6.1S%
6 OO.'V,
5.88%
tidents of Caudi
fi.27',,
6.24%
>' presented
Immediate advantage should be taken of the opportunity i
to purchase VICTORY BONUS at these prices.
Orders will be promptly executed without charge, and delivery made
tree of expense to any part of Canada.
T. S. G. PEPLER & CO.
INVESTMEST BROKERS
ROYAL BANK BUILDING. TORONTO
c.
H.
BURGESS &
Government and
Municipal Bonds
CO.
14
King
Street East - - Toronto
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
DOMINION OF CANADA
VICTORY LOAN
I»i2
!W and
intergKt
6.37%
1923
9»
n.is-iii
w.n
97
6.00%
I9M
9(IS ■■
8.88'\.
1937
OS •■
SWh
ir24
»7
6.27%
1934
V.I
6.24%
J. F. STEWART & CO.
106 BAY STREET
TORONTO
38
THE MONETARY TIMES
Volume 65.
Government and Municipal Bond Market
Two Municipalities Iktrrow on Seven Per Cent. Basis During Past
Week— Prospects for ISriti.sh Columbia Domestic Loan this Fall Con-
sidered Bright— Calgary Sells Treasury Notes instead of Debentures
TlIP] past week in the bond market was an inactive one.
Two small Ontario municipal issues were disposed of at
prices which indicated no change in the situation. There are
a few issues coming up in the future, but these are not of
any significance, and it seems at the present that September
\Vill not be a very active month. As far as known, the pro-
vinces have just about completed their financing for this
year, although there will probably be a few more issues.
British Columbia is anticipating floating a domestic loan this
fall, the proceeds of which will be used for the economic de-
velopment of the province. Hon. John Hart, the minister of
finance, considers the prospects for such an issue are bright,
and does not expect that the present credit stringency will
adversely affect a heavy subscription, which is anticipated.
It is probable that the various committees which took charge
of the Victory loan campaign in the province last year will
be called upon to take an active part in this new campaign.
Calgary Sells Treasury Notes
No direct tenders were received for the $225,000 G per
cent. :iO-instalment and the $25,000 6 per cent. 15-instal-
ment debentures of Calgary S.D., Alta., but two conditional
offers were received, one being from Wood, Gundy and Co.,
at 87.50, and the other from Brent, Noxon and Co., at 85,
both companies asking for a thirty-day option at these rates.
Xeither offer was accepted and the school board called a
meeting for a later date to discuss the matter.
At the meeting last week, the board instructed Chairman
Sehvood and Trustee Sinnott to negotiate the sale of treasury
notes at par on the security of the debentures for a period of
not less than three years, to the full amount of the de-
bentures. Mr. Sinnott stated that he had been practi-
cally assured of an offer, whereby the board could bor-
row the amount covering the debentures for a period of three
years by giving the bonds as security, at a rate of interest
of about 6 per cent. In this way, he pointed out, the board
would be able to dispose of the bonds at any time during the
three years, when the market would be in a better condition
to receive the securities. In view of this and the fact that
the board needs funds to pay for the new schools which are
now being constructed, the decision was made as stated
above.
At a further meeting of the board on September :!, at
which the committee appointed to arrange the sale of the
trea.^ury notes reported the result of their negotiations,
arrangements were completed for the sale. The committee
reported to the board that they had interviewed the repre-
."entative of W. Ross Alger and Co., of Edmonton and Cal-
gary, and Morris Brothers, Inc., of Portland, Ore., and found
that their offer for notes of the board to be at the rate of par
if repayable in two years, ?!)8.75 on the $100 if repayable in
two and a-half years, and $!»7.fiO on the $100 if repayable
in three years. The committee were of the opinion that two
and a half year notes were the best, and, accordingly, the
following recommendation was made to the board: —
"That the board of tru.stces of the Calgary School Dis-
V'l. 19 issue treasury notes payable as to principal and
■ at the office of any branch of the Imperial Bank of
', in the cities of Calgary. Montreal, or Toronto, Can-
ada, or at the office of the Bank of Manhattan Co., in the
city of New York, l^S.-'V., bearing interost at the rate of
ii per cent, per annum, p: ' ' " id notes to
iiiatmc on March 15, 1!)'J ~ of S250,-
iliio bearing intcre.«t at <i ; ' v-laws No.
1 and 2, 1920, he lodged with the Imperial Bank of Canada.
at Calgary or Toronto, as the purchasers may desire, to be
held by the said bank as security for the due payment of
this note."
The recommendation of the committee, as stated above^
was adopted by the board.
The following is
particulars of which
7"/ic Monetary Titiics:-
Borrower.
Etobicoke Tp., Ont.
Essex Border Utili-
ties, Ont
St. James S.D., Man.
Bexley Tp., Ont. . . .
Glenwood, Man. . . .
Coming Offerings
! a list of debentures offered for sale,
are given in this or previous issues of
Tenders
Amount. Rate %. Maturity. close.
$ 17,361 6% 5-instal. Sept. H
$ 117,615 6 28-instal. Sept. la
180,000 6 2a-years Sept. 1&
7,000 7 Oct 1
25,000 5% 30-instal. Oct. 4
Etobicoke Tp., Ont. — Tenders are being received until
September 11, 1920, for the purchase of $17,361 6»4 per cent.
5-instalment debentures.
Bexley Tp., Ont. — Tenders will be received until Octo-
ber 1, 1920, for the purchase of $7,000 7 per cent, school de-
bentures. Alfred Taylor, Victoria Road, Ont.
Glenwood, Man. — Tenders will be received until Octo-
ber 4, 1920, for the purchase of $25,000 5% per cent. L'O-
instalnient good roads debentures. Securities to be dated De-
cember 31. 1919, and are payable at the Union Bank, Souris,
Man. J. W. Breakey, Souris.
Essex Border Utilities, Ont. — Tenders will be received
until September 13, 1920. for the purchase of $117,615 6 per
cent. 28-instalment debentures. Bids were asked in June
last for an issue practically the same, but those received
were tui-ned down. The act validating the issue has been
changed slightly, as was intimated at the time bids were
rejected, so that now the debentures are a direct charge
against all the municipalities in the section, instead of
against only some of them.
Debenture Notes
.VImonle. Ont.— The town is considering the installation
of a waterworks system at the cost of $263,695.
Bienville, Que. — Ratepayers have passed a by-law auth-
orizing the borrowing of $25,000 for public works.
Windsor, Ont. — Ratepayers have approved of the issuing
of $150,000 debentures for waterworks improvements.
.Vyton. Ont. — Ratepayers have endorsed a bv-law auth-
orizing the issue of $11,000 debentures for hydro "purposes.
Halifax, N.S. — .-^n order-in-council has been received by
the council from the provincial secretary's department, di-
recting the issue of stock or debentures to provide $25,000
for school purposes. The council has instructed the finance
committee to provide the money.
Lethbridge. .-Mta.— Major .Aluckleston, chief engineer of
the Lethbridge Northern Irrigation District, after an inter-
view with the provincial government, reports that financial
arrangements have been made so the district can carry on.
fhe bond election will take place at the end of this month,
It IS expected.
Saskatchewan.-The following is a list of authorizations
f8"''"l920--i ^""''''' "^'"'■*"'""*^"* ^°^^^ f""""' August 13 to
tin^,^"^?."'!""^ P^'" ""'• If-years annuity: Banger, $4,000;
Hill Hall. $4,000; Nicklct. $3,500; Crocus, $5,600, 8 per cent
-0-years annuity: Alameda South, $.5,500; Lampman. $15,000
September 10, 1920
THE MONETARY TIMES
39
The
Investor's Opportunity
At revised prices, Victory Loan
Bonds, Canada's highest grade
of security, can be obtained to
yield from 5.67% in the case of
1937 maturity (tax free) to
6.45% in the case of the 1922
maturity.
Write for our pamphlet giving
all prices and particulars.
Wood, Gundy & Company
Montreal
Saskatoon
Canadian Pacific Railway Building
Toronto
New York
London, Eng.
tJI}^f-IW/4l!y.-»41i^^»-'r'
/ IKVt>THENTStRy|([ X
Vancouver
Branch Office
To further extend the scope of our
investment facilities, we have
opened a British Columbia Branch
Office at—
W8-^10 Pacific Biiildins,
744 Hastings Street West,
Vancouver.
The new office will be under the
management of Mr. R.C. Buchanan.
The broad Investment Service
ofiered by our Branch Offices in
Canada, Great Britain and New
"1 ork is unrcscr\ edl> placed at the
disposal of our clients.
Royal Securities
CORPORATION
I. I VI I -r E D
MONTREAL
\V. L .McK.nnon
IJean H. I'cttcs
We recommend the purch
iseof
VICTORY
LOAN
at the following prices
—
MATLKIIY
1922 . .
1927 . .
1937 .
1923 ..
1933 . .
1924 ..
1934 ..
PKICE
98 ai
97
98
98
.. 96J
97
93
id Inte
rest yieldin
R fi.38%
6.00".,
5 68",,
6.14",.
5.88%
6 27"o
6.24"o
Orders may
be telephoned or Iclesraph
d at ou
r expense.
W. L. McKINNON
&
CO.
McKinnon Bu
ilding
TORONTO
Government, Municipal
AND
Corporation Bonds
R.. A. Daly is. Co.
BANK OF TORONTO BUILDING
TORONTO
Bargains in Bonds
Victory Loan tax free bonds at present
prices are absolutely in the bargain class.
The supply available is limited.
We, therefore, urge prompt action for
those desiring to take advantage of
the opportunity now presented :
YOUR CHOICE OF FIVE MATURITIES :
Price and Yield
Du,- Interest %
1922 98 6.37
1923 ... 98 6.15
1927 97 ... 6.00
1933 96A .... 5.88
1937 98 5.68
TAXABLE ISSUES
1924 97 6.27
1934 93 ....... 6.25
Telephone or telegraph orJera al our expense.
BonJi delivercti allhout charge
W. A. MACKENZIE & CO.
(.. ■.,..,,■„..,/ on I Mun,c,vM !i..n::
42 King St. West
TORONTO -:- CANADA
40
THE MONETARY TIMES
Volume 65.
Rural Telephones.— 8 per cent. 15-years annuity: Laurie.
.^22 300; Whitewood, $10,000; Parkbeg, $2,400; North West
Smiley,' .$13,500; Readlyn, $10,200; Tadmore, $4,400; Glen
'Adelaide S4,800; Cana, $8,500; Castleton-Pennock, $6,400;
West Osape, $1,250. McTaggart-Weyburn, $800, 8 per cent.
14-years annuity.
Village.— Hubbard, $10,000, 10-years 8 per cent, instal-
ment, for street grading and sidewalks.
Rural Municipality.— Fertile Valley, No. 285, $5,050, 10-
years 7 per cent, instalment, for building municipal office.
Township of Toronto, Ont.— Tenders will be received
until September 14th. 1920, for the purchase of $37,000 6 per
cent. 20-year school debentures of School Section No. 2. .1. K.
Morley. CooksviUe. Ont. —
IJond Sales
Lakefield. Ont.— A. E. Ames and Co. have purchased
$.33,500 6 per cent. 30-instalment debentures of the town, at
a price which costs the municipality about 7 per cent, for
its money.
Grand Forks. B.C.— The municipality has announced that
it has sold locally $25,000 debentures. The purchasers had
the option of either 5 or 20-year securities, but the latter
maturities proved to be the most popular.
Brantford, Ont.— City Treasurer Bunnell advises The
Monetary Times that the city has disposed of $500,000 6 per
cent, debentures and $125,000 S'i per cent, debentures. The
former were sold locally at par, either over the counter, or
by the local brokers, while the latter were sold outside of
the city at a price which cost the city a fraction over 6 per
cent for its money. The bond are all serials, and mature
on December 31, annually, from 1920-39, and were disposed
of since the beginning of the year, it is understood.
Milton, Ont.— Wood, Gundy and Co. have been awarded
an issue of $48,000 6 per cent. 30-instalnient debentures at
y0.31. Several tenders were received as follows, the first
few being very close: —
Wood, Gundy and Co 90.31
United Financial Corp., Ltd 92.23
Turner, Spragge and Co 90.21
A. E. Ames and Co 89.56
C. H. Burgess and Co 86.75
Saskatchewan.— The following is a list of debentures re-
p.Hted sold by the Local Government Board from August 13
to 18. 1920;—
Schools.— Scotsguard, $5,000; Antelope Valley, $3,650;
Hradley. $5,500; Campbell, $5,000; Boharm. $5,700; Edward
Crcy $12,000, all sold to Waterman-Waterbury Mfg. Co..
Uegina. Odessa Village, $7,000, .sold to the Regina Public
School Sinking Fund Trustees. Onward. $1,000; Morton.
S2,000; CreswcU. $600; MacVert. $900; Clunie. $200, all sold
to C. M. Gripton. St. Catharines. Ont.
Rural Telephones.— Balgonie, $8,000, A. Piewold, Bal-
ironie; .Vrmbruster, ?"..7.'>0, Nay and .James. Regina; Cotswold,
>9,50li, W. L. McKinnon and Co.. Rcginn; Laurie, $22,300.
Harris, Read and Co.
Town.— Strasbourg. $2,000. M. McKay. Morden.
liOMl DKAI.EKS- PHOKX.KAl'H
Photogrnph-s. S in. by 10 in., taken at the bon.l dealers-
convention in Winnipeg in June, may be secured from the
Winnipeg office of The Monclnry Times, 1206 McArthur Build-
ing. The price is $1.
U. P. Clarke and Co., Ltd.. investment bankers, Vic-
toria, B.C.. will shortly open a branch office in Vancouver,
in the Pacific Building. 744 Hastings St. W.
DOMINION DEBT SHOWS APPARENT REDUCTION
Statement for July- Decrea.se Due in a Large Measure
to Transfer of Soldier Settlement Loans Account—
(Jood Showing in Revenue and Expenditure
AN apparent decrease of $65,622,115 in the net debt of
the Dominion at the end of July, 1920, is shown in the
statement issued by the Department of Finance. A despatch
from Ottawa commenting on this remarks:—
"The figures are, however, more apparent than real, this
exceptionally good showing being due in a large measure
to transference from the consolidated funds to "investments '
of $40 000,000 covering loans to soldier settlers by the Land
Settlement Board. Deduction of the $40,000,000 still leaves
the debt smaller than it was at the end of June by $25,000,-
000, but this again is in a measure due to a change m the
government's interest-pa>-ing period, which was largely re-
sponsible for a drop in expenditures for July to $22,789,304
as compared with $40,084,840 during July, 1919."
For the four months ended July 31st revenue amounted
to $145 049,589 as compared with $99,621,970 for the same
period test year, an increase of about $45,000,000, which
easily covered the advance in ordinary expenditure of $28,-
000 000. Expenditure on capital account for the four months
totalled $6,990,918, as against $117,276,824 last year, the
principal reductions being in war and public works accounts.
PUBLIC DEBT
LlABIUTICS
Funded Debt—
Payable in Canada
do in London
do in .New York •.
Tempoi'^ry Loans
Hank Circulation Redemption Fund.
Dominii
S.»
Ba
Post Office Savings Banks
Dominion Government Savings Banks
Trust Funds
Province Accounts
Miscellaneous and Hanking Accounts
1920
1512.205.643 04 2062.537.4IS 16
362.703.312 40
75.873,000 OO
.S48.620.999 97
6.044.967 66
300,170,697 67 '
:!S,566.954 00
!l.(i64.8S5 2l
ll,771.9.il 09
11,920,481 20
28.124.149 26
336.001.469'
135.873.000 10
88.847.000 00
6.137.273 01
281.171 483 17
30,693.682 16
10.102.010 08
13.404.609 Ti
11.920.481 20
37.193,443 97
Total Gross Debt
2907.667.041 SO I 3013,882,068 19
1919 1920 I
Other Inv'tm-ts.. S343.662.S92 52 $40S,44,i,488 95
Less Non-active.
18.667.513 13 j 22.338,940 88
21 2.924 .659 74 257,026.502 55
130.737.932 78 !48.4I8,9S8 40 l:iO,737.932 78 148,418,985 40
Province Accounts
.Misc is BkR. Accts.l 872.776.916 43 653.143.063 50
Less Non-active. 11.192,38802 46,812.'.66 44
861.584.528 41 606.330.897 06 SSI. .584 .528 41 606.330.897 06
Total Active Assets. July 31st
10'3.286.302 22 779.385.1.W 24
).7,19 28 2234.496,915 95
do" "'do 'to June 30 I fornon-activc assets iS77.693.475 78 2300.119.030 61
Total Net Debt July 31 \ No credit been taken 1S94,:
Post office
Pbc Wks..
<V
•..VCs.
War Tax R
nuc —
Husincss 1
*ri
it Tax
Income T.
X
Other War
T.
xRev.
.Mi«cellaneo
us
Total...
XPKNDITUHIi
Month of 1
July 1
Total to 31
July. 19U'
? cts.l
10.677,669 3;i
3.345.T78 27
1 ..SUO.OOO 00
4.921,061 26|
2.538.546 051
740.668 71
l.2.V>,lll SI
l..s:i<.23! 19
49.154.W13 97
13,079.79!! 52
6.300.000 00
12.848.182 67
1
9.128.329 6Si
S7I 116 84
4.177.605 96
4.01i2,331 43.
1 26.554.066 :W
99,621.970 041
-: ^t-.
•S Is
16.149.139 10
2,982 II.S7 77 1
1.600.000 00
5.173.394 sol
69.773.477 90
12.747,6.53 28
6.700.000 00
13,747.310 84
1.802,396 621
706.000 .iO,
6.772.202.57!
10.13.5.000 05
I0.3S9.0S4 98
5.277.908 .53
i:i.ll8.469 63
13.325.713 69
( 43.220.491 11
145.049.588 85
22 7S9.304 321
104.909.936 «5
Public Woiks.includ'gl
Rail\v.-vvs and Canals
Railway SubKtdics. ....
29,617,269 34 i 107,399,255 57
553. .174 49
2,311,914 84'
2.078.074 v.
4.912,844 2!
35.442.03940 117,276,824 00 2,86S,48933i 6,990.918 3'
The above statement represents only the receipts and payments which hav<
passed throuKh the Books o( the Fir.ance Department up to the last day of th"!
month.
Septenibtr 10, 1920
THE MONETARY TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7h%
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B.
HALIFAX, N.S.
Government
Guaranteed ^o
BONDS
Qlof_
2/0
.\IATUR1.\C 1921-1940.
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
UNION TRUST BUILDl.NG WINNIPEG
SUPERFINE
LINEN REOQRD
died hy a dozen clerks, be filed.
and yet. at thecrucial moment
carry into a K're.'.idents oftice
the suiIKestion of your Com-
pany's diRnity and standing— if
It be of Superfine Linen Record
Aw.irded the Gold .Medal.
Antwerp lesS: the Gold .Medal
Ch.iago 1S93: and the Grand Frix. Pans. 1!H)0.
Tie RolUnd Paper Co., Limited, Montreal
Hish Qrailc Pafcr Maker, tine, 1 8S2 >
Milk •! Si. Jerone, P.Q.. aod Moot RollaDil. P.Q. /
Manitoba Finance Corporation Ltd.
Inyestment Brokers, Financial Agents, Etc.
Winnipeg, Man.
Head Office
410-11 Electric RIy. Chambers
Phone Garry 3i.N4
Stocks and Bonds bought and sold on comnnission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba. Alberta Flour Mills. Limited
NIBLOCK & TULL, Limited
STOCK. BOND and GRAIN BROKERS
(Direci Private Wi
Grain Elxchange
Calgary, Alta.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
firanchcs— SASKATOU.N AND CALGARY.
Canadian Manancrk
A, Ltd.
BNT COHfORAT
London Office: 4 Great Wine
X
Vancouver District Property
Expert Estate Agents and Mana(;ers
Property Bought and Sold, Valued, Rented and
Reported on. Correspondence invited.
WAGHORN GWYNN Co., Ltd. v.nc..».r
Northern Securities, Limited
KSTAIILISHHI) I'.iin
CIENERAL FINANCIAL BROKER
Confidtnlial Advict oq Britith Columbia Invftmtnit
tiember of I1..rl«*lle and Trust Companies Association of British Columbia
629 Pender Street W. VANCOUVER, B.C.
B GI-:0I«;H HANSI LD J.P.. Manaucr
MACAULAY & NICOLLS
L\SURA\CE OF ALL CLA5:iLb
EST.-iTES MASACED
746 Hastings Street - VANCOUVER, B.C.
C if v.AC.AL'LiV J P. MCOLLS No:..ry 1'. ■ -•
P. M. LIDDELL & COMPANY
Investment Banlfen. Fiscal Agents
Insurance Brol(crs
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
THE MONETARY TIMES
Corporation Securities Market
York
Business on Canadian Exchanges (JuieU but Prices •'■'"-^^^
Market Develops Reactionary Tendency - Two New Stock ssues Offered
Drvden Pulp and Paper Common Shares Nearly all Disposed
of
AFTER enjoying a period of activity and strength, the
New York market, at the close of the week on Septem-
ber 8 developed a reactionary tendency, although some in-
dustrials advanced. The downward movement started m the
railroad section, but did not appear to be directed by any
new development. Call money was much easier, being loaned
at the rate of between 6 and 8 per cent., during the week,
and closed at 7 per cent.
Developments on the Montreal and Toronto stock ex-
changes during tha week ended September 8, indicate that
the condition of the Canadian market is sound. Business
was not brisk, but the majority of the issues showed a ten-
dency towards strength, and there was a firm tone at the
close. Paper issues were the most prominent, both in activity
and strength, but their position now is not as dominant as it
has been. Spanish River was the feature of that section,
gaining substantially on comparatively heavy dealings, pre-
sumably as a result of the record financial report published
last week. There was considerable interest in other issues,
including Asbestos Corp., in Montreal, and F. N. Burt pfd.,
Canada Steamshipi, Canners and Penmans in Toronto. The
latter issue was notable for its weakness, while the others
all registered substantial gains. Colonial Investment and
Loan shares, which two weeks ago gained about seven points
to 74 on the Toronto exchange, went back below 73 this week,
with few transactions.
Dryden Pulp Stock Issue
An offering is now being made by Greenshields and Co.,
Montreal, Toronto and Ottawa, of 100,000 shares of common
stock of the Dryden Pulp and Paper Co., Ltd., of Dryden,
Ont., which company was formed to take over the properties
of a company with a similar name, which was formerly con-
trolled by English capitalists. The capitalization is as fol-
low.s: Ten-year G per cent, bonds, due October 1, 1928, §405,-
000; thirty-year 6 per cent, debentures, due October 1, 1!145,
§1,100.000; common .stock, no pur value. 100,000 shares.
The English interests, who held the bonds and deben-
tures, will retain the same, while the common shares are being
sold in Canada. The offering is now being made at the price
of $;!5 pef .share, and already the greater part of the issue
has been taken up. Application will be made in due course
to list the shares on the Montreal Stock Exchange. Par-
ticulars of the company's operations and plans are given else-
whoro in this issue.
Rubber Company Stock Offered
R M Heffernan and Co., Ottawa, Kingston and Mont-
real are offering to the public §600,000 8 per cent, cumula-
tive participating preferred shares of the Rubber Co. of
Canada Ltd at SlOO per share, with a bonus of 25 per cent.l
common stock (one common share with four P«fe"ed
shares). The rubber company is capitalized at ?1,00U,UUU]
preferred stock, and $1,000,000 common stock. All of the
common stock is to be issued, while only §600,000 of the pre-
ferred will be issued. The company has no bonded debt.
The Rubber Co. of Canada, Ltd., has been organized to
handle the rapidly expanding rubber goods business of Can-
ada, and for this purpose have acquired, as a going concern,
the Panther Rubber Co., Ltd., with extensive manufacturing
plant at Sherbrooke, Que., a company which has been in suc-
cessful operation for the past six years. The company is at
present producing a variety of articles manufactured of rub-;
ber, and embracing the following: Heels, soles, automobile
and household mats, stair treads, packing, plumbers' sup-
plies, balls, etc., and upon completion of present financing
will manufacture automobile inner tubes.
Capitalization Increases
Companies registered under Dominion charter have been
authorized to increase their capitalization as follows, shares
to be issued in each case to have a par value of §100: — i
Former capital
stock. Increased to
Blue River Lumber Co., Ltd §100,000 § 200,000
Franke, Levasseur and Co., Ltd. . . . 60,000 160.000
Canada Glue Co., Ltd 250,000 1,000,000
No definite action was taken by the directors of th(
Canadian Car and Foundry Co. at a meeting in Montrea
last week, in regard to the issue of income bonds, which is'
contemplated in connection with the paying up of the 22%»
per cent, preferred dividend arrears. The matter may b<
given consideration at the next meeting of the board ir
October.
Allen Theatre Issue Coming
In the near future, a large issue of securities of th«
-•Mien Theatre enterprise will be offered for public subscrip
tion. The securities, it is understood, will be in the form ot
eight per cent, preferred shares, and will be issued to th«
extent of §2.500,000. The issue is in connection with the re
organization of the capital, and will be brought out by Hous
.ser. Wood and Co., Toronto, and other investment houses
Complete particulars will be available when the offering i
made, which will l>e within the next two weeks.
UNLISTED SECURITIES g.o»,.„„. (um,
ihcd to The Monetary Tin
(Wcelc ended
les by ;
Sept. 8
Bid ~
V. J. Pattison. Jr.. A Co., Toronto
h. 1920.1
Uid
A«k
427.V)
1
Ask
Bid
A-ik
Alta 1'^
108
114
" i»r<f.
7«
73
Locw'n (Ottawa). ..com.
9
10. .W
StcrlinRConI com.
16
??
■I-
,..,^,c» wniiAm «•«
9»
101. .Wl
.. prcf.'
81
South Can. Power... com.
26
Ihmi.Foun.aSt. com
no
M.W
.Manufacturers Life
180
206
Toronto Power. S's (19241
83.50
ni.ick l^kt com.
12
14 .«
»%pr«C.
!ll
\>s -i^
.\1.i.scy. Harris '
9t>
102
Tru'.tX Guar
70
9
13.5(1
Pom. lrona»tc«li »!*»*
li'.l
7.*
.Matt.m;imi P.* P com.
K3
6.1.. 10
United Cisar Stores com.
7n
Dom. Power com.
«7
Mexican Nor. Power.. .Vs
9
Western Assurance
9.50
W.M
. ..pr«f.
<« M
•Murr.K. 7% prcf. X.D.
70
West. Can. Pulp com.
40
41 .SO
7.S
w
Dunlop Tir»... .7% .pr«(.
Kl .10
W.VI
National Life
IW
Whalcn Pulp com.
44
M
North. Amcr. Pulp.
7.3.S
7.75
Whalen Pp Trust Cert. .
prcf
«n
V ,,„.„.^ I'l .vrr. S ■ rM
92
North StarOil. com.
4.80
S
60
tifa
Nova Scotia Steel fi% deb
77
84
«6
K-
91
Ont. Pulp S's
9,"!
98. 10
C".->n Woo'lrn- rwf
1 l'
V-
\m Mt
Pane Herscy pref.
82
11.'!
Riordun .com.tncw ntU.)!
SO
.a
91
Rl
pref. •• 1
Robert Simo»nn.S% orct. '
84
7.1
88
79 SO
lonl .
September 10, 1920
THE MONETARY TIMES
43
We Offer
SCHOOL BONDS
Province of Alberta
Malurina 10 and 15 Years
to yield
7 lo7 -4 %
We Specially Recommend ihese Bonds as Sound Investments
W. Ross Alger & Company
INVESTMENT BANKERb
Bank of Toronto Bldg. Royal Bank Chambers
EDMONTON CALGARY
OEAI ERS IN
Government, Municipal
and Corporation Bonds
Correspondence Solicited
A. H. Martens & Company
(Members Toronto Stock Bxchungtri
ROYAL BANK BUILDING, TORONTO
61 Broadway,
New York, N.Y.
Harris Trust Bldg.,
Chicago, III.
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Members of Winnipeg Re
Exchange. WinnipeB Slotk EichonB
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerin(,'S also any British
Columbia Governm<-nt and Municipal issues.
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C.
Victoria, B.C.
I BOND ISSUES
I SHOULD HAVE MORE THAN
I LOCAL ADVERTISING
I Reach the important investment deal-
I ers throughout Canada and the United
I States, by inviting tenders to purchase
I through
' THE MONETARY TIMES
OF CANADA
The rate for this class of advertising is
very moderate when the character of
our clientele is taken into account.
Let us be the connecting link between
your municipality and the prmcipal
individual and institutional bond
buyers throughout Canada and the
United States.
? The Monetary Times of Canada
j TORONTO WINNIPEG
l«llllllilllllli!llilllilliilllillillllllllli
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OLR COUNSEL AND ADVICE
Willoughby Sumner Limited
Eilnbli.l.ed l"(JOi
Member, uf llie Winnipeg G.oin tichanuc
Private aire to Winnipeg, Toronto, Montreal, Chicago
and Sen York
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
PmvA-B WIUKS TO WINNIPEG. CHICAOC. rOKO.MH
MONTHKAL A.SD NHW VORK
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
IFiHurcssupphcJ by BUHMrrr & Co.)
NIorfca
Abitibi PAP ...(new)
Ames Holdcn pfd.
Asbustos Corp
pfd.
Atlantic SuKar
Bi-ll Telephone
B.C. l-ishinR
Brazilian T.L. & Power
Brompton Pulp* P. ..
CanaJa Cement
...pfd.
Can. Con J
Canadian Cocton.s
Canadian Car I
■ . ..pfd.i
Carriage Factories. ...
Canadian Gen. Blec...
Can. Loco
• pfd.
Can. Steamship
■• • pfd.;
■• " Vol. Trust
Can.Mininii& Smel...
Det. Rys
Dom. Canncrs
Oom. Coal pfd.
Dominion Bridge
Dominion Glass
•• ...pfd.
Dom. Iron pfd.
Dom. Steel Corp
..pfd.
Dominion Textile
..pfd.
Hillcrcst
Howard Smith
pfd.
Illinois Traction...
...pfd.
Kaminatiquin
Lake of the Woods. .
..pfd.
Laurentide
Lyall Cons. Co
Macdonald Co
Mackay
Mont. Cots- Ltd
...pfd.
Montreal Power
HontrealTram
Loan « MtR.
Deb
National Breweries....
OeiMe Flour .Mills. ..
Ont Steel Prod
Penmims
Price Bros
Prov. Paper
Quebec Ky. L. H.&P..
Riordnn Pulp ft P
pfd.
St. Lawrence PI.. Mills.
..pfd.
Shnwininan W.ft P ..
Shrru'ln.Williams.pfd.
Spanish River
•■ Oiv.Vou.
•• pfd.
Steel Co. of Cnnndn...
■ •• pfd.
Toronto Ky. Co
Tookc Bros —
Tucketl
\V»bil«so
Wavaiiamack P. « P .
Windsor Hntel
Wood- Mf«. Co
Open
High
75}
80
64
64
85
9U
97
99
138
139
ItU
lUi
m\
Si
60)
62
»ui
90*
9U,
90*
TSi
73}
Till
72*
95
95
95
9.S
48
48
48
48
95
95
94
94
'i:'
•ii
22
■ii
iirM
103
102
102
874
87J
87i
• 87J
mi KO) 80i
67i
2085 65
32' 2SS
I04i I04i
170 170 170
67*
«4l
255 250 2.M
10 115 ! 115
S-W 347 3,»!l
281 27* 27*
108}
.VMI 1 121 , IIS*
7S: 85
24S3' 122
4U5 69*
12 93*
2SS 43
SO so
27| ISO
Bnnkn
Hochclagn.
Merchants.
Mols
HO 17*
101 177
50
Mo
eal
1 Scotia.
Nationale .
Royal
Union
Ilnnils
Asbc-tns Corp
Dell Telephone
Can Cottons
Cedars Rapid. MVg
CItyMiioI.nc.
Dom. Can. W I
IM7,ia!li»i M*
«0t
1IU.\TKEAL-Coii(>niied.
Sales Open High Low Close
Dominion Cunners .
Dom. Cottons
Dom. Textile A
Dom. Iron
Lake of Woods...
.Montreal Power. .
Montreal Kr. deb..
Ogilvic Flour
Pcnmans Ltd
! Bn
7000 89
61*
Quebec Ry.L. H.&P... 9600
Riordon Pulp * Paper.
Sherwin-Williams... I
Spanish River ]
Steel Co. of Canada...! 1000
Wabasso Cotton 1 ..
WayagnmackP.ftP... 16700 81*
Windsor Hotel !
95*
95* 95*
80 80
TOBO.>TO-Werk Endetl 8epl. Klb.
Atlantic Sugar
Barcelona
Bell Telephone ...
Bra/.ilian Traction.
B.C. Fish
Burt. F. ^
220' ;39j
Sales; Open High | Low | Close
Canada Cement .
Can. Gen. Elcc.
Canada Steamsh
C. Car* F..
Canadian P:
Canners
.pfd.:
pfti.
pfd'.
125 48 i 4$
124 101 101
480 38} 38}
41; 94
27' 61
10 90j
173 102}
45 96*
20 651
62; 79
38 I 138*
■4*'l"'4*'
60}
90*
Iflli
9fi!
Con. Gas
Crown Reserve.
Dome
Duluth
Loco
pfd.
pfd.
Nipissing .i
Pcnmans
P«c. Burt
Port Rico
pfd.
Prov. Paper
Rogers
Quebec R.L.H. ft P
Salesbook pfd.
Spanish River
pfd.
Sawyer«.Masscy . . ...
"... pfd.
Steel Comtiany
pfd.
Steel Corp
Toronto Ry
Twin City com.
Trcthcway
Winnipeg
Wavauanlack I.
Itiinlu
Commcfcc
Dominion
Hamilton -
Impcriat
Merchants . . .
Molsons
Montreal
.\ovn Scotia
Hny.,1
Sl.in>l.ir>l
134 i 134 134
I ,12.10 12.10 12.10
i 8'
33
fi9S
109 111}
2 124}
S4 177 I 1
204 195 I9.> 195 IR'i
18 177 I 178 i 177 177
3\ 190 I 190 190 190
5' 177 I 177 I 177 177
7 247*
45 204
III 211
200 I 200 200
Loan and TrnsI
Con. Perm
Can Land.
Col Inves .
l...n «C«n
V.il Tnist
Toi (Icn. Trust ...
Rami*
Dell Telephone
Pennians
Canncrs .VIOO| HI
Kio Jan. T.. L. X P.. 12000 73
Steel Co. of Canada .. I
nOO 901 90} 901 J 90J
TORONTO— Continued
War Lonns
I)om.Can.W.Loan.l925 14300
19311 16900
1937, 30800
Victory Loan 1922 ....|
1923
1927 ....•
1933 ...I
1937 ....'
High Low Close
93i I
92 I
95* I
WIX.VIPEC;— Week ended 8ept.4tli.
Sales
Victory Loan 1922 25100
•• 1923.. . 17300
■■ 1925
■ 1927 450
■• 1937 1 5300
•• 1931 I ....
'• 1933 ■ 24300
■■ 1934 1 .54050
War Loan 1937
•• S%>192S..
2000
100
>KW V4»KK— Week eniled Sept. 4th.
!<lo<'ks
Canadian Pacific
Sales Open
120*
High 1 Low
123 1 118
Closi
122 1
Bonds
Dom. of Can. 5% 1921
.5*7o 1921
S% 1926
5J% 1929
5% 1931
.Veir York Curb-
British Empire
•• 7% pfd.
Canada Copper.
15000 ....
7000
21000
40000
5000 .. ..
3001
iioo!
11.100
!
98* 96
96 -96
88 i 87*
91 90*
88 87*
23* ' 23
985
98
88
91
88
LON'DOX, Kng.— Week ended Aur. Slitt
<iOV*l. A Mnn.
Alberta 4% Deb. 1922
4% Deb
■• 4*%
B.C. 4*%
Can.-ida. . .3*% Sterling
3»'-
3%
" 4* hds. 1920-25..
Calgary 4*% deb
-Nfld. »»■ " M'
■■ SVV, 1112
.Manitoba 4
.Montreal 4j"u Reg
4'oReg
4% cons. deb.
Nova Scotia 4*% cons.
■■ 34%
Quebec 3".,
4",. deb
4\. 1SS8
Toronto 4"o deb.
4'V 1948
Vancouver 4*% cs. ■m-'
4*% cons..
4.%dcb/47-9
Winnipeg4l%c'ns4:i-6.1
4"„ ens 40-60
Rnllnnrs
C.Nor.Ont.a!'\,debl96l
Can Nor. 4".. deb. I9;<9
" 4% cons. deb.
■■ ■ i% deb. 1930.
Can. Pac
■' 4% deb.
4% pfd.
G.T.P. Br. 4'\, 1939
G.T.P.3%bds. 1962. .
G.T.P. 4% 1955
G.T. P 4-\,deb.
Or. Trunk . 4".. guar.
Gr. TrunkS% 1st. pfd.
Or Trunk 4% cons.
Gr Trunk Western 4%
Ont. .<; Ouehcc 5'\, deb
I'.G! East.4»»,dcb.-42
Inil.. Hn., Ktr.
i
90*
1.575
High
Low
no
IlIJ
IS^
72
72
77
75*
74}
74?
g|
62
64}
73
73j
i
^
90
79
65
65
61*
61
74
74
72*
71
6A
66
77
73
65
76*
Si
631
7?
63J
74
81
74
SO
66
66
66
65
.58)
58
«K
64
60
59}
72i|
711
691
69}
61
.»*
62*
62<
S3
.53
.Cement 7% pfd..
C. W. Lumber 5% debs
C.'ilK.-ir\- Powxr
Can- Bk. of Commerce
Hank of Montreal..
62*
61
6
6l!
61
6
84}
83}
K
63
«2
6
K\
62
6
.56
55
6
.55
55
5
42
59
42)
58*
4
5
.5(1
58
5
79
79
7
81
80
8
106*'
106
10
105
lOS
1(1
109*
108
IC
.56{
.55
*j
67|
67
(
42a
42
4
47i
47
*
September 10, 1920
THE :\IONETARY TIMES
CANADIAN BUSINESS FAILIRES
The number of failures in the Dominion, as reported by
!. G. Dun and Co. during the period ended August 27, 1920,
1 provinces, as compared with those of previous weeks, and
■rresponding weeks of last year, are as follows:—
Date.
O
o
3
O"
<
a
si
2:
23
a
3
5i
Aug. 27 . .
.. 9
16
1
0
1
0
1
1
0
31
12
Aug. 13 . .
.. 3
3
0
4
1
0
1
2
0
14
10
Aug. 6 ..
.. 1
8
4
0
2
3
0
3
0
21
Ifi
July 30 . .
.. 6
4
1
0
2
1
0
4
0
18
Business failures in Canada for the week ended Septem-
L'l- 2, 1920, according to Bradstreet's, totalled 10, as com-
pared with 26 in the previous week, 11 in the same week in
1919, 16 in 1918, 17 in 1917, and 28 in 1916.
EXCHANGE QUOTATIONS
Messrs. Glazebrook and Cronyn, exchange and bond
brokers, Toronto, report local exchange rates as follows: —
Buyers. Sellers. Counter.
\.Y. funds 10% pm 10 7-16 pm
K)nt. funds par. par. % to %
-lerling —
Demand $3.90 $3.9050
Cable transfers 3.9075 3.9125
New York quotations of exchange on European
'untries, furnished by the National City Co., Ltd., Toronto,
s at September 9, 1920, are as follows: — London, cable,
■ '■i; cheque, 353%; Paris, cable, 6.80; cheque, 6.79; Italy,
Me, 4.37; cheque, 4.36; Belgium, cheque, 7.33; Swiss,
(-■que, 16.40; Spain, cheque, 14.28; Holland, cheque, 31.55;
'•■nmark cheque, 14.40; Norway, .cheque, 14.40; Sweden,
iieque, 20.45; Berlin, cheque, 1.93; Greece, cheque, 10.95;
Finland, cheque, 3.40; Roumania, cheque, 2.30.
MORE RESTRICTIONS ON FOREIGN INVESTING
On September 9th the following statement was issued
it Ottawa by the minister of finance, relating to the embargo
n the purchase of securities outside of Canada: —
"Owing to the financial conditions arising out of the
ir and the change in Canada in recent months from a fav-
;ioIe trade balance to an adverse trade balance, the minis-
r of finance has requested the Canadian banks to decline to
militate the importation or carrying of Canadian and other
'urities which have been held abroad. To that end the
mister is requesting the banks to have purchasers of ster-
iK of foreign exchange in amounts of a thou.«and dollars
■ over, and drawees of drafts received for collection from
Jtside of Canada for the like amounts, certify that the ex-
hange so required or the draft from abroad does not repre-
•nt the purchase outside of Canada of such securities. The
inister is of the opinion that it is impossible for Canada
' absorb this portion of its foreign debt or foreign securi-
' ■; at the present juncture without embarrassment to gen-
al financial conditions. Every available dollar now in Can-
ii is required for the business of the country and particu-
ily to finance the crop movement, and if money is with-
•>wn in the way referred to, the withdrawal will seriously
I'ect and restrict the commercial activities of the country."
The advertisements of the Imperial Life .Assurance Co.
ive been exceptionally striking and attractive. Some of
u-m have been reproduced in a handsome booklet, "A Hund-
'1 and One Reasons For Life Insurance," just prepared
i the use of the company's agents.
CO-ORDINATION OF CAN.VD.V NATIONAL AND
GRAND TKl NK
Announcement was made from Winnipeg on August 30
last of some big changes affecting the control of the co-
ordinated lines of the Canadian National and Grand Trun):
Pacific Railways in western Canada. Joseph R. Cameron,
who was assistant general manager of the C.N.R., has been
appointed assistant general manager with jurisdiction over
the Grand Trunk Pacific line between Edmonton (not in-
cluding Edmonton and Edison) and all lines west of Edison,
including Vancouver Island lines. His oflice will be at Van-
couver.
H. H. Brewer, has been appointed assistant general
manager with jurisdiction over all Grand Trunk lines be-
tween Winnipeg and Edmonton, and Canadian National
lines west of Armstrong, Ont., west of and including Port
-Arthur, Ont., to Lobtick Junction, Alta. His office will be
in Winnipeg.
The jurisdiction of George Stephen, freight traffic
manager of the Canadian National at Winnipeg, has been
extended to include the Grand Ti-unk Pacific Railway and
the Grand Trunk Pacific Coast Steamship Company.
The jurisdiction of W. G. Manderss'on, Toronto, pas-
senger traffic manager, has been extended to include the
Grand Trunk Pacific Railway and the Grand Trunk Pacific
Coast Steamship Company.
DIVIl)i:>I) NOTICES
THE KIOKDON PLLP & PAPER CO.Ml'ANV. 1.11).
PREFERRED STOCK DIVIDEND No. 33
Notice is hereby given that a dividend of l^tVc (being
at the rate of I'l per annum) on the Preferred Stock of this
Company has been declared, payable September 30th, 1920,
to shareholders of record at the close of business Septem-
ber 24th, 1920.
By order of the Board.
F. B. WHITTET,
Secretary-Treasurer.
Montreal, 8th September, 1920. " 222
DOMINION TEXTILE COMPANY, LIMITED
NOTICE OF DIVIDEND
.A dividend of one and three-quarter per cent (!%''< ) on
the Preferred Stock of the Dominion Textile Company.
Limited, has been declared for the quarter ending 30th
September, 1920. payable October 15th, to shareholders of
record September 30th.
By order of the Board.
JAS. H. WEBB,
Secretary-Treasurer.
Montreal, Sth September, 1920. 224
MOMIMON TEXTILE COMPANY. LIMITED
NOTICE OF DIVIDEND
A dividend of two and one-half per cent. (2'2''r) on the
Common Stock of the Dominion Textile Company. Limited,
has been declared for the (|U!irter ending .'iOth September,
1920, payable October 1st, to shareholders of record Septem-
ber ISth! 1920. O
By order of the Board.
JAS. H. WEBB.
Secretary- Treasurer.
\I,,ntr..,-,l Mh S('l.trmli.T_ 1020. 225
THE MONETARY TIMES
Volume 65.
Corporation Finance
Insuliicient Capital. Labor and .Manaj,'enu'nt and Inability to Collect Debts given as Reasons of
Failure of the Dominion Shipbuilding Company— (General Manager of Winnipeg Electric Rail-
way Endeavors to Correct Misapprehension Regarding Company's Return on Investment
I'orto liico Railway Co., Ltd.— The following is the torn- S10,:it;.3. Regular quarterly dividends of five cents per share,
parative statement of earnings for July:— were paid. The Britannia Company's investments in the
Dominion of Canada war bonds aggregated $500,000, par
1919. 1920. Increase. value.
For July: Including the Mexican operations of the company, de-*
^■■o^s ? 86,496 §114,698 $ 28,202 ^^^^^ ^^^ unsatisfactory features of the copper market during
N^' 33,967 36,748 2,780 ^^^ ^.^^^.^ j^ ^^.^^^ j,,g ^,j,g^ prosperous in the history of the
For Seven Months: _ mine, due to the greater tonnage produced and the higher
S'°^^ ^'^^'"^^^ "^"'°24 1=52-558 prices realized for silver metal.
Net 244,088 301,616 57,527 '
Dominion Shipbuilding Company. — Osier Wade, assignee
Winnipeg Electric Railway. — A statement has been in charge of the affairs of the failed company, in a statement
issued by A. W. McLimont, vice-president and general man- y^^^^^^ Jlaster-in-Chambers Cameron and a group of eredi-
ager of the company, endeavoring to correct the misappre- ^^^^ ^^^.j^^ ^^^ winding-up proceedings at Osgoode Hall
hension that is apparently gainmg credence in some sections Toronto, on September 3rd, said that insufficient capital
regarding the rate of return received by the company. The j^^^j. ^^^^ management, and the inability of the company tc
statement remarks:— collect its debts were the causes of the failure. The financial
"There appears to be a general misapprehension with statement which Mr. Wade presented shows an apparent
veferenco to the Public Utilities Commission's judgment surplus of $1,557,263 as follows: —
dealing with the rate of return the company is entitled to Assets— Cash on hand, $1,069; cash on deposit wtl'
earn. The assumption is made that because the commission Hannevig and Co., bankers, New York Citv, $12,462; Victon
finds 8 per cent, reasonable that it is a guaranteed rate. This ^,„„,,g (assigned to bank). $68,600; bills receivable. $100,000
• ssumption is quite wrong. The commission finds that 8 per accounts receivable, $533,874; general supplies and work ir
cent. IS a reasonable rate of return, and the commissioner progress, $389,320; office furniture, $6,000: drafts, patterns
estimates that th« fares, which he has allowed, will yield the ^^^ moulds, $10,000; building on leasehold land, $532,624
company this rate of return, but there are many contin- machinery, $317,907; yard equipment, $615,026; undergroum.
gencies which might easily prevent this. In the first place, equipment, $104,591. Total assets, $2,691,476. '
the commissioner assumes that the company will carry 65,- ,.,.,.. _ , -..,„„„, , , , ,,'«.,rnnn
250.000 passengers this year, that there will be no further „ Liabilities-Bank, $158 805; rent of leasehold, $15,300
increase in wages, and that no other event will happen which «• \Jj^"^ ^".'' <^"- ^^'''f H,' Burroughs Adding ■ Machin.
might interfere with the company's operations. Co., i^2o0; Canadian General Electric Co., $1,383; city of To
, , , , , , . , , ronto, taxes, $22,962; Workmens Compensation .\ct, $5,22o
.As to the number of Passengers carried, we have never. Dominion Government Sale Tax, $585; wages, $106,252; credi
in our best years, carried even 60,000,000 passengers a year; ^^^^^ ^s per an accompanying list, $520,349; Gulf Navigatior
here is no guarantee that there will be no recurrence of any- ^o.. $60,000; London Guarantee Co., on performance bond t-',
thing in the nature of another epidemic, strike, increased jj.^,.;,,^ Department, Federal government, $137,800; Marln^
demands for pay or some accident over which the company Department, $100,000. Total liabilities, $1,134,213. !
has no control interrupting the service, and many other con- , _, ... , , . „„„«,■
tingencies .which mav arise. The 700 shareholders of this '^'''' ciip^n] invested in this company was $1,000.00(;
company have not received any return for five vears, the as compared with .•>1,600,000 in fixed assets for the plant,
shares of the company have been a drug upon the market, ^""^ .^'»"- ^^ '''.d^- "'^ "^ ^"'^^ obvious, instead of having an:
an<l to-day they can be bought for under S35 a share, and, working capital, the company has a lif.bility of $600,000, o
notwithstanding the judgment of the commission, there does ^'""^ ''"^ working capital was $600,000 less than nothiiv
not appear to be any rush to buy them, even at present bar- making it necessary to rely upon loans and advance pay
gain prices." ments on contracts to conduct operations."
Dealing with labor conditions, Mr. Wade said that th
Britannia Mining and Smelting Company, I,td. — The an- combined labor and material cost per ton on huUs laid ("ow
nunl report of the Howe Sound Company, which is the holding during 1918, 1919 and 1920, respectively, had been $116, $16
company of the Rritannin organization, of Britannia Beach, and $156, and that on the last hull it had been $167, wit
B.C., discloses the large operations which the company is the result that the hull was put down at a loss of $300, t
engaged in at Howe Sound. During the year 923,190 tons of whidi were added penalties of $72,000. The arrangemer
ore were broken down and 642,635 tons were delivered to with labor at the time of liquidation was for a five-day wee
the rock-raise, leaving a total of broken ore in slopes of of •!•' hours, with double time for Saturdays and overtime.
1.862,196 tons. This ore has an nvciage copper content of "It is quite apparent that the policy of the closed sho
3 per cent., based on daily samples broken. Reserves in had its elfect on labor costs, which were constantly increai
place amount to 5,298,555 tons, averaging 2 per cent, copper. ing. while the cost of material has been decreasing since th
Also 645.910 tons were transported to the bench mill, re- peak last year," said Mr. Wade, who claimed that if the shii
suiting in the treatment of G15,.'}00 tons thi-ough the beach building industry in Canada were to succeed the capital ou
concentrator, yielding 70,099 tons of concentrates, which were lay on construction would have to be on a competitive bas
shipped to the Tacomn smelter. These concentrates yielded: with the construction of other markets, or. failing this, tl
Gol.l, 4,349.85 ounces; silver, 99,863 ounces; copper, 17,3:!0,S 14 government would have to subsidize to equalize any diffe
P"U"<ls. ences. He believed that Labor had overlooked this fact, ar
The total receipts from smelter returns were ?6,938,069 the result would be. if the conditions were not met, that tl
and from miscellnneous income $143,011. The expenditures Canadian industry would fail. Mr. Wade told the creditoi
were: Mining, $1,915,034; transportation, $237,667; milling, that it would require at least $600,000 to meet the preferr*
$479,550; smelting nnd marketing. $2,303,945; extraordinary claims and carry out a reorganization without making ar
expenses, $35,185; administration, $150,144; t.axes, $223,4S2; provision for ordinary creditors. If this could not be doi
depreciation nnd depiction, $1,583,605; and interest. $231,102, from the accounts receivable the required sum might l'
lea\Hng a balance to be carried forward to the new year of raised by an issue of debentures.
September 10, 1920
THE MONETARY TIMES
It's a Hard Rub
For a woman to unexpectedly find it
necessary to become a breadwinner.
You wouldn't like your wife to come
to that, would you ?
But what about your widow ? ^Tiy not
provide for her a regular monthly income
to begin at your death and continue as long
as she lives ? You can do it by means of
an Imperial Life policy.
THE IMPERIAL LIFE
Assurance Company of Canada
HEAD OFFICE TORONTO
AGGRESSIVE^ «:
NORTHAVES'
F. S. RATLIFF & CO.
FARM LANDS— FARM LOANS
STOCKS AND BONDS
Medicine Hat . . . -
First British Insurance Company established in Canada. AD. 1804
Phoenix Assurance Co., Limited
FIRE of London, England LIFE
Pounded 1792
Total resource! over I 90.000.000
Pire losses paid 425 000.000
Deposit with Federal Government and Investment in Canada
for security of Canadian policy holders only exceed 2.500.000
Ag^ents wanted in both branches. Apply to
R. MacD. Paterson, )
J. B. Paterson. / """''K"'
100 St. Francois Xavier Street, Montreal, Que.
All with profit policies affected prior to the 31st December will rank
for a full year's reversionary bonus at that date
A Newspaper Devoted to
Municipal Bonds
T-HERE is publi^hed in New N'ork Cily a daily
* and weekly newspaper which lins for over
twentv-five year.s been devoted lo municipal
bonds. Bankers, bond dealers, ii\vestors and
public officials consider it an authority in its
field. Municipalities consider it the logical
medium in which to announce bond ofTerinjjs.
Write for free specimen eopii*
THE BOND BUYER
67 Pearl Street
New York, N.Y.
ACCOUNT HOOKS
I.oosi: I.i:af I^kdofrs
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
Ail Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Streets
TORONTO
THE MONETARY T I i\I E S
Volume G-5
(Juthec Kailwaj Li>;ht. He:.t and l'o«er Co.— Prelimi-
nary iijfurcs of the annual financial statement of the com-
pany for the twelve months' period ended June 30th last, to
be submitted at the forthcoming annual meetinR of the share-
holders, shows that irross earninps from operations amounted
to $2,.'i72,034, compared with $2,077,621, an increase of $294,-
413 over those of the previous year, representing a sain of
sliphtly over 14 per cent. The 1919-20 fipures are also
$574,182 in excess of those reported two years apo, an in-
crease of over 32 per cent. Costs of operation and mainten-
ance, however, in common with the experience of other public
utilities, were hicher by $32.">,047 than in the previous year,
the aKtireKate to the end of last .June being $1,769,563, against
$1,444..">16 in the previous statement.
Net eai-nings from operation for the twelve months under
review amounted to $602,471. compared with $633,105, being
a decrease of $30,634, insufficient by $44,703 to meet the re-
quirements of fixed charges, taxes and depreciation on equip-
ment placed out of service during the year. This deficit of
$44,703 compares with one of $65,273 in the preceding state-
ment. .\fter charging this and an amount of $55,055 in con-
nection with the recent adverse Privy Council judgment
against surplus account, there remained a credit balance in
the latter of $582,704, compared with $582,463 as at June
30th, 1919.
Napanee. Ont.— September 3 — Lennox Garage damage
by fire. The loss is not yet known.
New Westminster, B.C. — September 2 — Plant of the Do
minion Shingle Co. was damaged by fire. The loss is esti
mated at $70,000. ,
Ottawa. Ont.— September 5 — Gladstone Avenue rink an,
the Producers DaiiT. Ltd., were destroyed and twenty-tw
residences damage'd by fire. The loss will amount to $150,00(
Ste. Rose du Lac, Man. — August 31 — Sixteen farmerj
have lost their homes, barns, implements and crops in busl
fires in this district.
St. Thomas, Ont. — September 2 — Barns, belonging t
Alex. Duncanson, were destroyed by fire. The fire is believe
to have been caused by spontaneous combustion. The los,
is estimated at $8,000, with $4,500 insurance. '
Toronto, Ont.— September 3— Third floor of Levit
Brothers' fur shop, 245 Yonge Street, was damaged. Th'
loss is $4,500. Fire is believed to have been caused by in
cendiarism.
Vancouver, B.C. — September 2 — Tunstall Block, in Grar
ville Street, was damaged to the extent of $10,000. Fairfiel
Block, on Granville Street, was damaged by fire. The los
is estimated at $30,000.
RECENT FIRES
(iladslime Avi-nuc Kink, Producers Dairv. Ltd., and Other
Ottawa Pniporlies Suffer Loss of .S150,000 — Dominion
Shingle Co., New Westminster, Loss $70,000
I$ellevillc. Ont.— September 1 — Residence, barn, wagon-
house and drive-house belonging to Wm. J. Tufts, of Zion's
Hill, Thurlow township, was destroyed by fire. The loss is
estimated at $12,000, partly covered by insurance.
Brantford. Ont. — September 4 — Brown Garage on Col-
borne Street was damaged by fire. The loss is estimated at
$3,.'>00.
Capilano, B.C. — September 4 — Two million feet of saw-
logs, belonging to Capilano Lumber Co., were destroyed. The
<lamage is $.'.0,000.
Chapman, Ont. — .August 30 — Residence of Mrs. Florence
Lusk, Hungerford township, was destroyed by fire. The loss
is partly rovcrcil by insurance.
Chatham, Ont. — September 2 — Buihlings on the farm of
John Hinks, 3rd concession, was damaged by fire. The loss
is partly covered by insurance.
Courtland. Ont. — .\ugust 27— Sawmill, owned by John
House, together with a considerable quantity of lumber, was
destroyed. There was no insurance on the mill or the lumber.
Catineau Point, ({uc. — September 5 — Business section
of the village damaged by fire. The loss is estimated at $30,-
000. The lire is believed to have been caused by incemliarism.
(Jrafton. Ont. — .-Vugust 31— Barn, belonging to .Arthur
Birmingham, destroyed by fire. The fire was caused by light-
ning.
Gurlph. Ont.- September 1— Bookstore of C. J. NcUcs,
I'ppov Winhani Street, was destroyed. The loss is $10,000.
IngersoU, Ont. — September 4 — Barn on the farm of
Alfred Povning, 3rd concession of Perehnm. was destroyed.
The loss is estimated at $1,000.
loco, B.C. — August 29 — Lar.we oil tank damaged. The fire
was causeil from an explosion. Loss is estimated at $50,000.
Kingston. Ont,— September 2 — R.C.H..\. stables dam-
aged. Large quantity of hay, straw and oats destroyed in
the fire. The loss is not yet known.
Knowllnn. Que. — September ;]— Guthrie Block on Main
Street damaged by fire. Tlic fire was started by an oil lamp
exploding.
Monrton. N H V -• 29— Barn, owned by J. Fred
Steeves. Cable destroyed by fire. Tlie loss is
estimated n*^ ^' ■ oreH by insurance.
Moss ' -Barn, belonging to Ells-
worth Pi: The loss is estimated at
$4,000. 1 UK-
ADDITIONAL INFORMATION CONCERNING FIRES
:Marmora. Ont.— August 20 — Planing mill, lumber shed
and office of Pearce Co., Ltd., damaged by fire. The tots
damage was $27,000, with insurance of $7,000 in Dominio
Fire and London Mutual.
Moncton. N.B. — August 24 — Brunswick Hotel was danil
aged by fire. The fire was caused from spontaneous combus
tion in laundry shute. The total damage to contents an
building was $120,000. The insurance on the stock was $40
000, with $153,000 on the building in the following com
panies: Insurance Co. of Canada, Provincial- Washingtoi
British Crown, the Acadia, the Eagle, Star and British, Hart
ford, London and Lancashire, Yorkshire, Ltd., Canadian .\s
surance. La Union Fire, Nationale Fire, American Equitabli
North River and Richmond.
Monclon, N.B. — .\ugust 24 — The insurance on
wick Hotel was $145,000 and on contents $40,000
lowing companies: —
Building.
Providence-Washington $ 10,000
North America 37,500
Richmond
North River . 5,000
British Empire Underwriters 5,000
British Crown 5,000
Eagle, Star and British Dominion . . 7,500
Acadia 23,000
Yorkshire 5,000
Union 2,000
Canada Accident
London and Lancashire 5,000
Hartford 5,000
Montreal Underwriters 5,000
Fire Insurance Company of Canada 10,000
American Equitable 10,000
National of Paris 10,000
the Brum
in the fo
Contents.
$ 5,000
5,000
5,000
3.000
5,000
5,000
r, iioii
$40,000
$145,000
Vancouver. B.C.— The fire chief's report for .August, 192
shows that during the month there were 166 alarms. Firt
where damage occurred. 30; fires (no loss resulting), 2
bush fires, 75; chimney fires, 3; false alarms, 4; rubbis
fires, 2. The total loss sustained by fire w.as $29,623, of whic
$18,603 was covered by insurance. The following shows tl
causes of fires: Backfire (carburetters) 1. carelessness wit
cigarettes, matches 19, coal oil stove 1, defective chimneys
rubbish fires 3, sparks flying !•'. spontaneous combustion
Pi'in.iiHK:; t-.\ f Ri ■- . w
'The Monetary Times
Printing Company
of Canada, Limited
I'lil.lislu-r.. also of
Brhe Canadian Engineer"
Tnde Review and Insurance Chronicle
of (TanaDa
Established lSi57
Old as Confederation
J AS. J. SAL;MOND
Pr<'aldent and General Manager '
A. E. JENNINGS
Assistant General Manager
JOSEPH BLACK
Secretary
A. McKAGUE
Editor
J
Dominion Association of Chartered Accountants
Membership Increased by Twenty-two — Bankruptcy Act a Great Benefit, says
G. T. Clarkson, But Operation !\lust be Kept Simple— President Reviews
Events of the Year as Aftecting Accountants — Reports of Provincial Institutes
THE annual meeting of the Dominion Association of
Chartered Accountants was held in Toronto on Tuesday,
Wednesday and Thursday of this week, with about 100 mem-
bers in attendance. After a council meeting on Tuesday
morning, a welcome was extended to the visitors by R. J.
Dilworth, on behalf of the Ontario Institute. The president,
A. C. Neff, of Toronto, conducted the meetings. In his
presidential address Mr. Neff said in part: —
"Since we last met here, in 1912, great changes have
come over the world, and, though peace has been declared in
most countries, there is still an element of unrest in many of
them. There is also such a change in economic conditions as
few of us could have imagined a few years ago, such as the
prices of commodities, the cost of living, the rate of wages
and of rent, the rate of exchange and relative value of money,
and, as important as any, the enormous increase in the na-
tional debt and obligations and the cost of government and
the consequent burden of taxation in many new forms. With
these has come a remarkable increase in evidence of wealth
and gain.
"With it all, there is a heavy increase in our work and
responsibilities, in which I hope we shall not fail to acquit
ourselves with due credit to our profession, and that we shall
bear a worthy part in the solution of the great problems of
the day.
Increase in Membership
"Turning to our own affairs, the membership of the
association, as shown by the last returns, is now 570, an in-
rease of 22 over that shown last year, the details by pro-
■■ inces being as follows: —
Incorporated: 1919.
1880— Quebec 85
188.3— Ontario 168
1886— Manitoba 80
1900— Nova Scotia 32
190.5— British Columbia . . 62
1900— Saskatchewan 55
1910— Alberta 57
1918 — New Brunswick .... 5
1902 — Members at large... 4
Increase or
1920.
Decrease.
89
4
177
9
80
35
3
62
64
9
55
2*
5
3
!•
548
570
22
'Decrease.
Regarding the new Dominion Bankruptcy Act, the prcsi-
lent said: —
"At last year's meeting there was a discussion of the
losirability of all chartered accountants being registered as
Mustees under this act, and the president, in his address,
mentioned the fact that, as appointments arc made by order-
in-council. it might not bo practicable to appoint the members
as a body. It is now hoped that chartered accountants
will be prima facie considered as sufficiently qualified for
appointment on application to the governor-in-council, and
so would be eligible for registrations wherever there is
room on the panel of the district.
"It appears to me that there are a number of account-
ants who have no desire to practice in the Bankruptcy Court,
and some of the partners in firms would not wish to carry
the permanent bond for $15,000 which, under the latest
regulation, is required before registration.
"From my early enquiries, it appeared that the duty on
accountancy books is regulated by Customs Tariff Act, and
can be changed only by an amendment to the act. Books
on law and medicines are under the same duty as those on
accountancy, and the only effort which promised benefit
was to lay our case fully before the tariff commission when
it is making its enquiries this fall. However, within a few
days I have learned that if accountancy books are placed
upon the curriculum of a university in Canada, and register-
ed by the departments, they will be entitled to free entry.
As some of our institutes have affiliations with universities,
this should be capable of arrangement by the universities.
Ruling.s on Dominion Tax Acts
"I wrote the commissioner of taxation pressing upon
him the necessity for a pamphlet or book of these rulings,
or some means by which accountants could become possessed
of authoritative information on the subject, and recently
added to the enquiry an invitation to him to meet us again,
at this convention, and give us a further address, or talk,
on the subject. Owing, no doubt, to his being extremely
busy with the new legislation. I have had no reply from him.
Meantime, the increasing difficulty of following the changes
in the act accentuate the necessity for some reliable guide
for the use of the profession and of the general public.
"When the announcement was made some months ago
that an Association of Cost Accountants had been formed
in the United States, under the auspices of the American
Institute of Accountants, it was thought to be wise to take
similar action here, and a Dominion charter was applied for
by the presidents of the eight provincial institutes, who
were the provisional directors or trustees. The organization
has been carried to completion and the first annual meeting
of the society will be held on Wednesday evening.
Legislation
"The chief legislation which has been passed this year
affecting our work as accountants has been: Further amend-
ments to the Income Tax Act and the Business Profits War
Tax Act. and the act imposing a sales tax and luxury tax in
addition to the former taxation. These all tend to increase
the responsibilities of the profession, and call for increased
vigilance in prenarntion and scrutiny of the financial state-
ments of our clients."
(Coiilivucd on /'(ifff 8)
THE MONETARY TIMES
Volume 65.
KAII.WAV AIM'EAL NOT LIKELY TO SUCCEED
Government Refuses to Postpone Increase in Rates. Which
Went Into Effect on Monday — W ill Hear Appeals at Once
APPEAL may be made from any judgment of the Board
of Railway Commissioners to the Govemor-in-Council.
.•Mthough the government has in the past always refrained
from interfering-, and in fact has rarely been appealed to,
yet some of the opposers of increased railway rates have
decided to try to secure a modification of the rate judgment
announced last week. An effort was, in fact, made to have
the advance postponed, but without success. In a statement
issued on September 13 the government said: —
"TeleKranis have been received from different parts of
the country protesting against the judgment of the Board
of Railway Commissioners granting a general increase in
railway rates, and requesting that the action of the board
should first be suspended and aftenvards set aside by the
government. Many of the wires received have been sent
under misapprehension as to the position of the Board of
Railway Commissioners and its action to the government.
The wires, indeed, would indicate that a belief exists which,
if not prevalent, has at least obtained in certain parts of
the country, that the Board of Railway Commissioners is
merely a department of the government service. This is
not the case, and it is important that the right position be
stated.
Railway Control Non-Political
"In 101.'! parliament decided that the control of rail-
ways was to be removed from direct departmental and
political interference and provision was made for a Board of
Railway Commisioners. The board was subsequently con-
stituted and has since discharged the statutory and judicial
functions assigned to it in a manner undoubtedly, on the
whole, in the public interest and to the general acceptance
of the people. It has not been interfered with by this or
any other government. Instead of being a mere govern-
mental department, the board is, by statute, constituted a
court, and has the rights, privileges and independence of a
court. The act. however, provides for an appeal to the Gov-
ernor-in-Council, and reserves the right of the Governor-in-
Council on such appeals to vary or rescind any order, rule or
decision of the board. The practice that has grown up under
this rule is well settled. The decisions of the board cannot
lightly be interfered with. As a matter of fact, since the
board commenced its operations, no judgment of the board
has been set aside by the Governor-in-Council. In a case of
the importance of the present it undoubtedly becomes the
duty of the Governor-in-Council to go carefully into the
whole of this issue, to hear the arguments that may be made,
and, after becoming seized of the whole matter, to dispose
of the appeal, having regard to the underlying principles of
the Railway Act, the rights of shippers, the rights of the
carriers, and the underlying national interests.
No Delay in Increase
"The question of a stay of the board'.s judgment has
been as carefully considered as the very short time at the
government's disposal renders possible. The board's judg-
ment goes into effect on Monday, the 13th inst. ' The govern-
ment has had before it the complete judgment of the rail-
way commission embodying references to the evidence of the
reasons for judgment. This has been carefully studied. As
against this there have been, and, of course, could be pre-
sented, only brief contentions by way of protest. The judg-
ment finds that the relief granted is necessary and should be
applied, and this after the hearing of evidence and argu-
ments on both sides. A suspension means more or less
indefinite postponement, and if the judgment is right, would
render impossible the remedying of any injustice done. The
judgment of the commissioners, which, it should bo pointed
out, is unanimous, being concurred in by all the commis-
sioners who sat upon the case, further indicates that the
objections now urged were taken into account, and empha-
sized that such objections went to the measure of relief that
ought to be granted rather than to the claim that no increase I
should be made. The official judgment of the Inter-State I
Commerce Commission of the United States has, as v/el\, j
been available for reference. This judgment, it may be j
noted, is now in force. A perusal of this judgment discloses 1
that more general, and, in many cases, heavier increases
have been granted to railways in that country. For example,
on coal the Inter-State Commerce Commission has increased
the rate 35 per cent, in western territory, and 40 per cent,
in eastern territory. In Canada, the rates on coal are in- ;
creased 10 cents per ton on all existing rates not exceeding
80 cents, and increased 15 cents per ton on all existing rates
over 80 cents per ton and not exceeding $1.50 per ton; and .
20 cents per ton on all existing rates over $1.50 per ton.
Less Than in United States
"It will be noted that the increase in ' Canada is very
considerably the lower. Coal constitutes a large proportion
of the total traffic of Canadian carriers. The rates on sand,
gravel and crushed stone in the United States have been
increased 40 per cent, for the eastern territory, 35 per cent,
in the western. In Canada no increase whatever is allowed.
On cordwood, slabs and mill refuse used for domestic fuel,
the same increase has been granted in the United States,
while in Canada the increase is held down to 10 per cent.
"The general increases allowed in American territory
are reduced in the cost of milk movement, the increase al- ■
lowed there by the Interstate Commerce Commission being
20 per cent. In Canada no increase whatever is allowed.
"Over and above this the increases in the United States
are not limited as to time 'n the manner as to which in-
creases in Canada are. The general increases of 35 per cent. ■
in western tei-ritory and 40 per cent i" pastern territory
allowed by the Canadian board are reduced, und^r the judg-
ment, to 30 per cent, and 35 per cent, effective January 1 '
next, and, in addition, the railway companies are bound to
submit monthly statements so that their earnings may be
checked and reductions made in rates, in case the rates al-
lowed proved unnecessarily high.
"It should also be noted that the increase in passenger
rates is also limited. In the American territory the increase
is 20 per cent.; in Canada the increase is 20 per cent., but
in Canada the increase is to be reduced to 10 per cent, effeo--
five January 1 next, and on July 1 next the increase is can-
celled altogether. No limitations are made in the American
order.
"The above references are necessary to be taken into
account when the government is asked to take the respon-
sibility for the confusion and possibly the injustice that may
be done at this date by interfering with the commission's
order to suspend its application. The whole subject can,
however, be fully gone into on appeal. Every facility will
be given to argue the merits of all contentions advanced
and to revise the entire order. If it should appear to hi a
case where the appeal should be granted and the decision
modified or reversed, there could, if deemed proper, be pro-
vision for rebates of rates charged beyond those ultimately
fixed. The government, while decided that it could not justify
now a suspension of the order, will facilitate in every way
the early hearing of the appeal."
FIUE SUFFERERS TO BE COMPENSATED
Definite assurance that sufferers from bush fires ir
Manitoba will be compensated for the loss of stock, crops
and effects sustained during the August fires was given or
September 9 by J. H. Evans, deputy minister of agriculture
Plans for an immediate survey of fire losses among the
settlements that were burned out during the August fire
plague were launched by the department on the advice anc
sanction of Premier Xorris. Full information as to tb«
destruction of livestock, feed, buildings and effects will b(
obtained, and on this information a definite plan will be
formulated for the assistance of the sufferers.
September 17, 1920
THE MONETARY TIMES
TRADERS' FINANCE HAS I'UO.MINENT UIKECTORATE
Will Furnish Discount Facilities to Automobile Dealers —
Sun Life Appoints Manager for City of Winnipeg
(Special to The Monetary Times.)
Winnipeg, September 16th, 1920.
C PLENDID weather for threshing prevails throughout the
^ west and good progress is everywhere being made
From the latest government information the crop of western
Canada is estimated as follows: Wheat, 260,000,000 bushels;
oats, 359,000,000 bushels; barley, 43,762,000 bushels; fla.v
10,817,000 bushels; many prominent financial men who have
been over the west this fall both from eastern and western
Canada are wonderfully impressed with what they have seen.
As far as the eye can see the stooks of ripened grain ex-
tend, and it is left to the imagination to determine where the
cultivated area terminates and its value in dollars and cents.
Automobile Financing Concern
The Traders' Finance Corporation, Limited, is the name
of a new company just formed in Winnipeg, with a capitaliza-
tion of three million dollars, half of which will be first pre-
ferred eight per cent, cumulative shares, and the balance
common shares.
The chief function of the corporation will be to furnish
discount banking facilities to dealers of approved credit in
the automobile truck and tractor trade. It is felt that the
demand for this financial service in Canada is relatively as
great as in the United States, where similar institutions
have been very successful. Companies to handle this class
of business are also established in eastern Canada by lead-
ing financial men, and the Traders' Finance Corporation, Ltd.,
which is essentially a western institution, has been formed
to develop this business in western Canada. A half mil-
lion of stock has already been taken by the directors and
their associates.
The board of directors comprise the following, and others
are to be added : President, Hon. A. B. Hudson, K.C.,
formerly attorney general of JIanitoba; vice-president, J.
C. McGavin, president Canadian Bond and Mortgage Cor-
poration, vice-president, Canadian General Securities, Ltd.;
managing director, W. W. Evans, vice-president and general
manager, Canadian and General Securities, Ltd., managing
director, Canadian Bond and Mortgage Corporation; direc-
tors. Sir Douglas Cameron, president. Maple Leaf Milling
Co., director, Manitoba Bridge and Iron Works; E. W. Knee-
land, general manager, British American Elevator Co.,
director. Merchants Bank; R. T. Evans, assistant manager,
British American Elevator Co., director. Port Arthur Eleva-
tor Co.; Andrew Kelly, president. Western Canada Flour
Mills, director, Great-West Life and Western Grocers, Ltd.:
A. R. Davidson, president, Davidson and McRae, vice-presi-
dent, Saskatchewan Valley and Manitoba Land Co.
Dominion Bank Officials in West
General manager C. A. Bogert, of the Dominion Bank,
accompanied by assistant general manager Frank L. Pat-
ton, of Winnipeg, vice-president A. W. Austin, W. W. Near,
R. J. Christie, R. S. McLaughlin, directors, and B. D.iw.son,
eastern in.=pector, are at present on a tour of inspection of
western Canada.
J. C. G. Armitage and H. A. H. Baker, formerly in
charge of the Equitable Life Assurance Society business in
Winnipeg, are joining the staff of the Sun Life .Assurance
Co. organization in that city. As branch managers for
Winnipeg, they will bring to the Sun Life the entire selling
staff of the Equitable Life, Winnipeg office.
Colonization Association
The organization work of the Western Canada Coloniza-
tion Association is now nearing completion. The plans which
thy propose to carry out for bringing desirable settlers
to fertile western lands now awaiting cultivation will re-
quire a considerable amount of money. The directors have
set this at $1,500,000 to be spent over a period of three
yeai's, and they have souglit, and have been assured of active
co-operation from eastern Canada. Nearly a million dol-
lars has already been secured, and during the next few weeks
an effort will be made both in the east and west to obtain
the full amount of financial support.
To eastern business men almost as much as to those
in the west the value of the proposed undertaking should be
apparent. The west has become an enormous market for
"eastern manufacturers and wholesalers and it is still ex-
panding; and anything that will facilitate the expansion
of that market on safe, healthy lines is bound to prove bene-
ficial to the east.
GOOD CROPS BEING GARNERED IN
Western Situation Continues Satisfactory — Ontario, Quebec
and Maritime Conditions Good — Roots and Fruits
Promise Well — Storm Damage in Niagara District
AFIN.AL estimate of the 1920 crop has been prepared by
the Northwest Grain Dealers' Association, Winnipeg,
showing the yield in the three prairie provinces as follows:
Wheat, 14,026,000 acres at 15.2 bushels per acre, 213,245,000
bushels; oats, 10,973,500 acres at 32.8 bushels per acre, 359,-
000,000 bushels; barley, 2,108,000 acres at 23.5 bushels per
acre, 49,538,000; rye, 237,500 acres at 16 bushels per acre,
4,400,000 bushels; flax, 1,181,000 acres at 7.1 bushels per
acre, 8,385,000 bushels.
Reports indicate that less than 25 per cent, of the crop
will be under three degrees, so that if favorable weather
conditions continue until after threshing is completed, the
crop as a whole should be above the average.
The above figures may be considered reliable, in view of
the fact that they represent the combined judgment of those
most closely in touch with crop conditions throughout the
western provinces.
Crops Gathered In
Reports from branches of the Bank of Montreal to the
head office, regarding crop conditions throughout the country,
indicate that harvesting operations in the west are nearly
completed. Saskatchewan has been delayed by rain, but
threshing is now general in that province. In British Colum-
bia a good average crop of grain is expected. Roots are in
good condition, and yield will be good, while fruits are sat-
isfactory.
In the province of Quebec harvesting operations are
nearly completed in most districts, and indications point to
a good yield. Root crop prospects continue excellent and
potatoes are yielding well. Pastures are in need of rain.
Conditions in Ontario continue favorable. Harvesting of
grains is about finished and threshing is now general, while
prospects are very encouraging for better than an average
all-round yield. Apples are abundant and other fruits will
yield over last year's crop. Recent rains have much im-
proved the root crops and grass. Since this report was issued
by the Bank of Montreal, terrific rains and winds in the
Niagara district have done a great deal of damage. An esti-
mate of the loss is not available yet.
Crops are being harvested in the Maritime provinces,
and oats in particular give promise of a good yield. Root
crops throughout the provinces continue to look well, and
present indications are for a yield well up to average.
The report of the Saskatchewan Department of Agricul-
ture to The Mciictary Times, dated September 7, indicates that
harvesting operations are practically completed and that
threshing is general. Rain, which was general in the pro-
vince for about a week, delayed operations somewhat, but
with the exception of two places, did no harm, but rather
improved conditions of pastures.
Some wheat has been shipped, the grade proving very
satisfactory. Grain is yielding much better than was antici-
pated. Men for threshing are scarce, even at the high rate
of wr,„..- llv.t i^ l„.,n.r „;n,| tlli- fnll.
THE JI 0 N E T A R Y TIMES
Volume 65.
UO.MIMON ASSOCIATION or CHAKTEKED
ACCOUNTANTS
(Continued from pitt/c 3,1
Reports were received from constituent societies in
Montreal, Ontario, Manitoba, British Columbia, Nova Scotia,
Saskatchewan and Alberta. There was no one present repre-
senting New Brunswick. The report of the Montreal society
referred to the incorporation at the last session of the
legislature, of the "Accountants' Association." British
Columbia extended an invitation to the Dominion Associa-
tion to hold its rJ21 convention in that province. Several
of the provincial societies referred to the question of pro-
fessional fees, steps having been taken to charge a higher
scale; Alberta already has a new scale drafted, with the con-
sent of practically all the members, and will endeavor to
secure the approval of the lieutenant-governor-in-council.
Another subject or. which some of the provincial so-
cieties had taken action during the year was the employ-
ment by the Dominion government of the Chicago firm of
Griffenhagen and Company for the purpose of reorganizing
the civil service. Letters of protest had been forwarded to
the government, which had in reply pointed out that this
firm had had experience in work of this kind in the United
States, and was therefore better qualified for the purpose
than any of the firms in Canada.
The uestion of the admission of Orientals had also
come up in British Columbia during the year, and the other
societies had been consulted as to whether this should be per-
mitted. It was decided that there was no reason why the
membership of the societies should be restricted to British
subjects. The Chartered Accountants' Society in New
Zealand had during the year has also asked the British
Columbia Institute for reciprocity in membership privileges,
but after examining the papers, etc., it had been decided
not to extend membership reciprocity at present.
Address on Bankruptcy Act
G. T. Clarkson, of Toronto, addressed the meeting on
the new Dominion Bankruptcy Act. "Accountants knew
nothing about this act," he said, "until after its first reading.
Committees were then formed, and about ."lO amendments
were asked for, almost all of them being adopted. This
shows the importance of the service rendered by the ac-
countants' committees.
"Under the terms of confederation, the Dominion gov-
ernment has control over insolvency and bankruptcy. Acts
were passed, hut later repealed, and tliere has been no Do-
minion law of this kind since 1880, apart from the Com-
panies' Winding Up Act. The provinces accordingly passed
assignment acts, which were held to be iii/r.i t'iVi.c so long
as there was no Dominion act of this kind. There was
therefore, a variety of practice in the different provinces.
The Dominion Winding Up Act itself is surrounded by
formalities, and procedure under it is costly."
Mr. Clnrkson then gave a summary of the new act.
The procedure, he pointed out, does not differ greatly from
that under the provincial assignment nets. Building so-
cieties, loan companies, insurance companies, railways and
hanks are exempt from its provisions, these being covered
by the Companies' Winding Up .\cl. Since the act was
passed It has been found that there is no provision to give
shareholders notice of creditors' meetings. A Bankruptcy
Court, presided over by a judge of the Supreme Court, was
created.
Tender the assignment acts, said Mr. Clarkson, the pro-
vincial powers are In the hands of the creditors, and the
rest in the hands of the Inspectors. Under the Dominion
Act this condition is reversed. Trustees nre under the In-
structions of the inspectors. Security held by a creditor
may he redeemed at a value set by the creditor, or at market
value, instead of at a bonus of 10 per cent., as was the
practice under the assignment acta. Claims for salaries and
for rents nre '"-•..i •- 'i-r .....i.^ ti,„ /•,,,,, ^f trustees
and of their counsel, said the speaker, are limited to 5 per
cent, of the receipts. This was quite satisfactory in most
cases, and was usually more than was received, but it mea^t
that there would be a class of estates, such as where the
assets have been dissipated by fraud, which it virould not pay
a trustee to handle.
In conclusion, Mr. Clarkson said that the Bankruptcy
Act will be a benefit in that a uniform procedure super-
sedes a variety of methods under the provincial assignment
acts. Honest debtors will not be penalized by creditors, nor
will a dishonest one be tempted to compound with his
creditors. The procedure must be kept as simple as pos-
sible, and must not be surrounded by formalities which
would tend to increase the expense.
Society of Cost Accountants
The inaugural meeting of the Society of Canadian Cost
Accountants was held on Wednesday, many of the delegates
to the chartered accountants' convention being present. The
feature of the meeting was an address by J. Lee Nicholson,
C.P.A., author of Nicholson's "Cost Accounting," and presi-
dent of the National Society of Cost Accountants. Cost ac-
counting, explained Mr. Nicholson, served to show where a
profit was made by a firm and where a loss is sustained. It
showed the cost of the production of an article, and it was
from the results thus obtained that the price of the article
was arrived at.
Cost Accounting Pays Well
"If a cost system is merely used to ascertain the cost
it is not worth the money spent on it," he said, "but a pro-
perly conducted system is always a paying proposition. The
pi-ofit made during six months, it has been proven in a
number of cases, under a proper system, has been sufficient
for the maintenance of the system for twenty-five years
"Three elements entered into the working of a cost sys-
tem, and these are material, labor and overhead, and the
second is, perhaps, the least troublesome. The big fault is
the lack of appreciation that material represents money and
is as valuable as the actual cash. The loss in material in
manufacturing is due mainly to waste and defective work.
Lately the introduction of by-products has done away with
a lot of the loss in manufacturing. Some firms make more
out of their by-products than they do out of their more estab-
lished lines of goods. The question of saving material through
by-products is a big one, but it is being considered by all
large firms now.
"The cost of labor is more a human element than a me-
chanical one. From my experience I am a firm advocate of
some sort of bonus system for the workers. Every human
being is in need of an incentive, although these are some-
times different. There are all sorts of bonus plans, and the
best, in my mind, is that of profit-sharing, which is growing
rapidly throughout the United States. -After deducting the
working expenses and a definite percentage for the share-
holders, the rest of the profit is divided equally by the
workers on one hand and the shareholders on the other. It
has been very successful, and is the best effort of the present
day to bring the workers and capital together. It shows that
the capitalist is willing to give part of the pi-ofits to the man
who makes the profit possible, and the worker sees that the
capitalist is not trying to get it all. Every effort made to-
wards profit-sharing with the workmen will save this and
all countries from much future trouble between capital and
labor."
ONTARIO INSTITUTE OF CHARTERED ACCOUNTANTS
.■Vt the annual meeting of the Ontario Institute of
Chartered Accountants, which was held in Toronto on July
17, the following officers were elected: — President, R. J. Dil-
worth; first vice-president, Rutherford Williamson; 2nd vice-
president, Arnold Morphy; secretary, T. Watson Sime. The
executive council includes these and past presidents George
Edwards, E. Gunn, .A. Coreff, and Bryan Pontifex, and also
R. E. Burns, G. T. Clavk.son, J. W. Eddis, F. G. Jewell, F. P.
Higgins, G. M. Mulholland, and A. A. Crawlev.
September 17. 1920
THE MONETARY TIMES
Trade Review and Insurance Chronicle
of Canada
Address: Corner Church and Court Streets, Toronto, Ontario, Canada
Telephone: Main 7404, Branch Exchange connecting all department*.
Cable Address: "Montimcs, Toronto."
Winnipeg Office: 1205 McArthur Building. Telephone Main S4W.
G. W. Coodall, Western Manager.
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The Monetary Times was established in 1SG7, the year of Confedera-
tion. It absorbed in 1869 The Intercolonial Journal of Commerce, ct
Montreal: in 1870 The Trade Review, of Montreal; and the Toronto
Journal of Commerce.
The Monetary Times does not necessarily endorse the statements and
opinions of its correspondents, nor does it hold itself responsible therefor.
The Monetary Times invites information from its readers to aid in ex-
cluding from its columns fraudulent and objectionable advertisements. AH
information will be treated confidentially.
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All mailed papers are sent direct to Friday evening trains. Any lob-
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EDITORIAL:
A Bounteou.s Grain Harvest
The .Australian War Loan . .
Co-operation from the Farm
How a Works Council Works
Special Articles:
Dominion .Association of Chartered Accountants . . 5
Railway .Appeal Not Likely to Succeed 6
Traders' Finance Has Prominent Directors 7
Good Crops Being Garnered in 7
National Revenue Coming in Freely 14
Union of Quebec Municipalities' Convention 18
Ontario Municipal .Association Convention 20
Limitation of Security Bond 30
Economic Aspects of Immigration Problem 36
Monthly Departments:
Building Permits 22
Index Numbers of Commodities 22
Weekly Departments:
News of Industrial Development in Canada 32
News of Municipal Finance 36
Government and Municipal Bond Market 38
Corporation Securities Market 42
The Stock Markets 44
Corporation Finance 46
Recent Fires 48
A BOUNTEOUS GRAIN H.ARVEST
WliEAT, wheat everywhere, — and not a car to move it
nor a dollar to finance the sale. This at least is how
it seems to the western tarmer, and he is at least right in
believing that the annual sale of the wheat crop is the Dig-
gest transact on in Canadian economic life. Two hundred
and fifty million bushels at two dollars a bushel amount to
five hundred millions of dollars, or almost half the savings
deposits in Canadian banks. Unlike other lines of industry
where production and sale are carried on continuously
throughout the year, the wheat crop comes all at once, and
thf credit strain is on this account so much the greater.
Moreover the -farmer generally wants his money as soon
as he delivers the grain, and as the resources of the dealer
cou'd not possibly make all these payments, the assistance
of the banks is required. In the pre-war days the banks
loaned up to ninety per cent, of the market value. Now,
on account of the general scarcity of funds, and also of the
inflated price of wheat, they are inclined to draw the line at
seventy to eighty per cent.
The importance of the grain crop to Canada as a whole
is difficult to over-estimate. It is the most important item
in the field of production. This year Canada is peculiarly
fortunate in having a large crop while wheat is scarce and
high in the world's markets. The immense surplus for ex-
port will greatly increase our purchasing power, offset our
adverse trade ba'lance, and help the country through the
period of uncertainty and depression before us.
For the first time since the 1916 crop, wheat is thrown
on the open market. Only if the British and other European
governments e.xert buying pressure on the market will the
Canadian government assume control. The 1917 and 1918
crops wurc handled by the Board of Grain Commissioners
for Canada, the price being fixed. The 1919 crop was
handled by the Canadian Wheat Board, which guaranteed
a minimum price of $2.15 per bushel, in place of the 1918
fixed price of $2.28. The west, which had assumed that
?2.1.'> was all that would be received for the 1919 c;op an.l
which had criticized the board for setting so low a figure, was
agreeably surprised when the chairman announced last
spring that ;;t least 40 ctnts more would be paid.
This year, however, there is no control. The Canadian
Wheat Board ceased operations at the end of -August. The
Winnipeg Grain Exchange, which had been closed down on
May 1, 1917, and which operated only for seven days, from
July 21 to 28, in 1919, was again opened on August 16.
The course of the market is interesting. During tlie seven
days of 1919 the price ad\anced from the fixed price of
$2.24 to as high as $2.4,'}. On .August 16 it opened at $2.63,
or just a little more than the farmers were certain to
ii';ilizr on t(i<'ir !919 crop.
THE AUSTRALIAN WAR LOAN
"PVEPRESSION in the bond market is by no means jieculiar
■L' to Canada. Liberty bonds in the United States are
down to prices arranging from 84 to 97, which is an interest-
ing commentary upon the enthusiasm and success with
which the' low interest war bonds were sold in the United
States. The British war loans are also suffering deprecia-
tion, although the existence of a broad and conservative
market demand there has kept prices up fairly well. In
Canada the war issues, in spite of the recent drop, have
probably the best record thus far. This record is not due
to the support rendered by any controlliii',' committee, but
to the fact that the Canadian issues hear a hijh rat<' of
interest and have tax exemption features which give them
a preference in the market.
The wisdom of the former finance minister. Sir Thomas
White, in floating the loans at rates of interest which would
ensure their success, has been demonstrated. Australia tried
the other plan of making the bonds less attractive ami reiv-
ing on patriotism. The last public loan in Australia was
scarcely n success, and a compulsory levy was threatened
before the necessary amount was secured. A new Austra-
lian loan has just been announced, and although the terms
are very liberal, the warning is given that "if the required
amount is not i-eceived, compulsion is to be brought into
10
THE MONETARY TIMES
Volume 65.
force at^ainst ptrsons in a position to subscribe, who are
not holders of bonds of previous loans." The terms of the
loan are as follows: —
The amount of the loan is £25,000,000 and the rate of
interest 6 per cent. The interest is subject to commonwealth
income tii.xation, but is free of state taxation. The loan is
for ten years and is repayable on December 15, 1930. Sub-
scribers "may pay in full upon application or by instalments
of 10 per cent, upon application, 20 per cent, on October 4,
1920, 20 per cent, on November 1, 1920, 25 per cent, on
December 6, 1920, and 25 per cent, on January 25, 1921.
Subscribers have the privilege of converting at face value
an equal amount of stock or bonds which they hold in pre-
vious war loans. As the earlier war loans were on the basis
of 4'/4 per cent, free of taxation it is anticipated that many
investors in the new loan will also convert bonds of the old
loans in order to obtain the higher rate of interest.
Compulsion will hardly be resorted to, however, as a
cable from Australia, dated September 15, states that the
loan had by that date been already oversubscribed.
CO-OI'EK.\T10N FROM THE FARM
IT will be a wonderful country when the farmers' program
is realized. Then none will be for party but all will
be for state, for why should they be for party when the
state itself is a government of the people. The economic
plan being worked out by the United Farmers of Ontario
is exhaustive in its scope. It aims to include every line of
business, from farming to finance. It will carry goods
thi-ough every stage of production and place them at the
door of the consumer without the intervention of the mid-
dleman. This profiteering middleman has not yet been found,
but in any case the farmers want the job. There are to be
no profits of distribution. The economic gain is to be dis-
tributed between producer and consumer.
Co-operative movements are very often successful at
the start. Few of them survive this initial impetus. The
workers in the scheme want wages and salaries. The in-
ve.stors want dividends. Customers are dissatisfied with the
service, and turn to the private business for their goods.
Not mnny years ago the co-operative movement in Saskat-
chewan was making phenomenal progress. The business
became overstocked in the expectation that the whole pro-
vince would buy from it. Saskatchewan is still a great pro-
vince for individual enterprise, however, and the farmers
of Ontario cannot expect, now or ever, to grasp the whole
volume of business in the province. Co-operation is a move-
ment not void of economic merit, but it is one which fails
to I chievi' all that is expected.
advent of trades unionism. In numerous places it has failed
to arouse enthusiasm and in others it has collapsed entirely.
The cause of failure may be summed up as lack of mutual
confidence. In some works where there is a council, the com-
pany affairs are dominated by the officials, and the workers
merely sit in the meetings. In others the representatives
of the employees are selected by the management. Where
representatives are elected by the employees themselves, and
employee and employer alike feel confident of fair treat-
ment to each other, the works council has a stabilizing effect
and has much to recommend it.
Bank credits are now extremely tight. The financing of
the wheat crop is the chief business for which funds must
be conserved.
****■■
Toronto bond houses, by purchasing seats on the local
stock exchange, recognize the fact that the most efficient
method of dealing in active securities is through listing
them.
*****
This year's favorable crop conditions may never be re-
peated. It is a rare thing to have a bounteous harvest and
a high price. The opportunity for real economic progress
is unexcelled.
* * * ::.- *
Canada is determined to maintain her reputation as a
bon-o\ving country. Our loans in the United States show that
if one creditor nation, the United Kingdom, has failed us,
we have been able to find another.
'•If gasoline goes to fifty cents a gallon one result will
be that there will be a lot of people buying gasoline at fifty
cents a gallon," reasons the New Yo7-k Mail. There will also
be some who will wish they weren't.
*****
Toronto's policy in raising assessments is sound and
equitable. The rise in the value of real and improved
property and of income is a development which should not
be overlooked by assessment departments.
"The demand for increased rates from public utility
corporations has become epidemic throughout Canada," says
the Grain Growers' Guide. Did the Guide expect that the
epidemic of higher prices for farm produce, for raw
materials, for manufactured goods ancj for labor, would
come alone?
HOW .\ WORKS COl NCIL WORKS
I
XDUSTRI.VL concerns arc making an effort, sometimes
sincere and sometimes only simulated, to introduce their
employees into participation in control. Fair success has
been the result. In a recent interview the superintendent of
the International Harvester Works, Hamilton, which has
one of these councils in operation, stated that it has been
the means for frank, friendly conferences, participated in on
an exact equality, between the management and the freely
chosen representatives of the employees. In this manner
each had been brought to rcalir.e the problems, the prejudices,
the hopes and ambitions of the other. "Happily, we have
come to believe that these problems may all be encompassed
in the same program when squared by the group judgment
of the fair-minded, forward-looking responsible persons who
constitute our councils." he remarked. This view was en-
dorsed by representatives of the employees.
In a score or more of Canadian organizations industrial
councils exist with varying degrees of satisfaction. The
ilea is by no means new, dating probably ns far back as the
Mayor Bonehard, of St. Hyacinthe, Que., speaking be-
fore the Union of Quebec Municipalities in Montreal last
week, stated that if the building of houses were attended
to by the municipalities, speculation would be eliminated. Is
speculation, if indulged in by a town or city, none the less
speculation?
> ^> » * ♦
Major .1. C. Tolmie, M.P.P.. for Windsor, Ont., suggests
provincial ownership of telephones as the solution of the
rate question. Public ownership of railways has not solved
the railway question in the Dominion; in fact, it is the na-
tional system which is now in greatest need of increased
rates.
■> :;■ :^ *
The Soldiers' Civil Re-establishment Department dealt
with 1,218.472 individual enquiries and problems, says a
statement just emanating from that department. The number
of men who received medical treatment is 49,369, clinical
treatments totalled 422,235, and dental operations 84,576;
4S,I1-1 men commenced vocational training and 28.273 gradu-
ated. These elaborate statistics at least explain what some
of the huge staff were doing.
September 17, 1920
THE MONETARY TIMES
Australia and
New Zealand
Every effort is being put forth to
foster and increase trade between
Canada and Australasia. The cor-
respondents of this Bank include
the principal banks of both Australia
and New Zealand, and on the Pa-
cific coast of both Canada and the
United States it has branches in all
the principal sea-ports. With many
years' experience gained in trans-
acting a foreign business, its services
are at the disposal of Canadian ex-
porters and importers.
THE CANADIAN BANK
OF COMMERCE
Capital Paid-up
Re»erve Fund
$15,000,000
$15,000,000
EXPORT TRADE
The extensive foreign con-
nections of this Bank enable
us to place at the disposal
of our customers the best
existing world-wide banking
facilities.
Our local Manager is in a
position to give you both
assistance and advice.
IMPERIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land The Commercial Bank of Scotland,
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
Experienced
Banking
lervice
A PERFECT commercial banking
^^ service is only evolved by expe-
rience. A bank's value to its cus-
tomer increases proportionately
with the widening of its knowledge.
The Union Bank has been engaged
in commercial banking for more
than half a century, and has at-
tained a clear perception of its
duties to the banking public.
UNION BANK
OF CANADA
THE
Bank of Nova Scotia
Established 1832
Capital
Reserve
Total Assets
$9,700,000
- $18,000,000
- $230,000,000
GENERAL OFFICE : TORONTO. ONT.
H. A. Richardson, General Manager
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic. Jamaica, and in the United
Slates at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
55. OLD BROAD STREET. E.C.2
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
H. B. Smith, president
of the CoUingwood Shipbuilding
r. . tor nf the Canada Steamship
Lines, has been
made president of
the Halifax Ship-
yards, Limiteil, suc-
ceed i no Roy M.
Wolvin, who has
iL-tired owing: to the
pressing duties of
ins position as
president of the Do-
minion Steel Cor-
|i o r a t i 0 n . Mr.
.Smith was born in
Owen Sound, Ont.,
Ill May, 1864, and
111 the earlier part
of his business
( areer practised
law. In 1899 he
ritired from that
i'lofession and has
iiice been engaged
II extensive busi-
'ss operations. He
- also president of
I lie Steam Naviga-
tion Company of
Canada, Limited, and vice-president of the Parry Sound
Iron Company, Limited.
,1. C. Saunders, formerly assistant deputy minister of
finance, has been promoted to the position of deputy minister
in succession to T. C. Boville, C.M.G., who has been super-
annuated. Before joiniirj- tiir linnnco department, Mr.
Saunders was in
the office of the
mechanical super-
intendent of the
rntercolonial Rail-
«av at Moncton,
N.B. He relin-
iuished that posi-
Mon in 1887 to go
'" Ottawa, and
after holding vari-
'iis positions and
.■■quiring a good
.'I'ncral knowledge
■f the workings of
ihe finance depart-
ment was attached
as clerk to the
treasury board.
Later on he bc-
rnme assistant to
the chief account-
ant of the depart-
ment, and soon
after was made
chief accountant and Dominion bogkkecpcr. In January.
1917, he was promoted by Sir Thomas White to the position
of assistant deputy minister of finance in place of H. T. Ros.',
who resigned to become secretary of the Canadian Bankers'
Association. He has held that position until his present pro-
motion to deputy minister of finance, which has been given
from the 1st of April, 1920, on which date the late deputy
minister of finance, T. C. Boville, retired on superannuation.
Vere C. Brown, western superintendent of the Cana-
dian Bank of Commerce, has resigned from that position tot
become executive manager of the National City Bank, of'
New York, to which position he was elected on September
14. Mr. Brown began his career as clerk with the Huron
and Erie Loan and Savings Company, London, Ont., and
was with that company from 1882 to 1889. In 1889 he
joined the Canadian Bank of Commerce as clerk at the head
office and in the
same year was ap-
pointed assistant
inspector. In 1903
he became inspector,
and in 1907 chief
inspector, which
position he held
until 1911, when he
was appointed to
the superintendency
of the central
western branches.
Mr. Brown has for
a number of years
been one of the
outstanding figures
in western Canada,
not only as the
supervisor of an
important banking
institution but as a
public-spirited and
very able man who
could seize upon the
points of interest
common to the bank
and the farmer and could utilize them for the development of,
the country. During the period of his superintendency.
which began in May, 1911, he had devoted himself with
untiring energy to building up the western business of the
Canadian Bank of Commerce upon a sound, substantial basis,
and has directed an expansion of banking activity, which is
indicated by the growth in the number of branches under
his jurisdiction from 115, when he assumed office as superin-
tendent, to 197, at the present time. The superintendency of
the middle west has now been divided into two parts. C. Vf.
Rowley, manager at Winnipeg, has been appointed superin-
tendent for Manitoba and Saskatchewan, and J. B. Corbet,
senior inspector of western branches, becomes superintendent
for .\lbcrta and the Peace River district. C. G. K. Nourse.
of Calgary, succeds Mr. Rowley as manager of the Winnipeg
branch. i
OBITUARIES
W. P. ToLMlE. who had been deputy provincial treasurer
for Manitoba for more than thirty years, died in Winnipeg
on September 10. Mr. Tolmie was born in Smithville, Ont,
in 1850.
Robert Moon, who for the past twenty years had been
Toronto agent of the Dominion of Canada Guarantee, Ac-
cident and Insurance Company, died at his home, 62 Con-
cord Ave., Toronto, on September 15, after a lingering
illness.
John Macfarlane, who for many years ' has been
identified with the paper trade in Canada, and who at the
time of his retii-ement from active business in 1912 was
president of the Canada Paper Co., Ltd., died in Montreal
on September 6th.
Hon. S. N. Parent, ex-premier of the province of Que-
bec, died in Montreal on September 7th, after a long illness.
He was born at Beauport. near Quebec, in 1855, was mayor
of the city of Quebec in 1894, and occupied the civic chair
until 1905. In 1897 he entered the provincial .government
of the Hon. F. G. Marchand as commissioner of lands,
mines and forests. Upon the death of Mr. Marchand, in
1900. ^Ir. Parent was called upon to succeed him as premier
of the province, which office he held until 1905, when he re-
tired, to be succeeded by Sir Lomer Gouin.
September 17, 1920
THE JIONETARY TIMES
IS
The Sterling Bank
OF CANADA
Personal ■
increased ri-turns to the client. In addiUcn, no note
or draft is returned to our clients without a full and
adequate reason — saving time and the cost of
double drawing.
Head Office
KING AND BAY STREETS, TORONTO
The Standard Bank
of Canada
Established 1873 ISi Branches
Capital (Authorized by Act of Parliament) tS.OOO.OOO.OO
Capital Paid-up 3.500.000.00
Reserve Fund and Undivided Profits 4.727.326.90
DIRECTORS
Wbllingtom Fradcis. K.C. Hubert Languois
President Vice-President.
W. P.Allen. F. W. Cowan. T. B. Greening. H. Langlois.
James Hardy. P.C.A.. Thos. H. Wood.
Hb«d Office. 15 King St. West TORONTO. Otlt.
C. H. BASSON. General Manager.
J. S LOUDON. Assistant General Manager.
SAVINGS BANK DEPARTMENT AT ALL BRANCHKS
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament- Establishkd \h'i^
Capital Subscribed /a.OOO.OOO §25.000,000
Paid up 1.100.000 5.500.000
Uncalled 3,900.000 19,500.000
Reserve Funfl 1.000.000 5.000,000
Head Office • EDINBURGH
WILLIA.M CARNEGIE, General Manager- GEORGI- A. HUNTER. Sec.
LONDON OFFICE— 37 NICHOLAS LANE. LOMBARD ST., E.C.4
T. C RIDDELL. DUGALD SMITH.
Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled m London, are
retired on terms which will be furnished on application.
TheD
ominion
Bank
hSI ABI.I^IIEI) It
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Banking.
Sterling- Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
ESTABLISHED 1879
Alloway & Champion
Bankers and Brokers
Member, of Winnipeg S«>ck E.ch.nBe
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commisaion.
Winnipeg, Montreal, Toronto and New York Exchanges
tncorporatdd
- - 1855
Branches
ThrougtivAj*
C&nod»
THE MOLSONS BANK
l^Oth DIVinKNI)
The Shariholdera of The Molsona Bunk nre horrby nnlificl that
a Dividend of Three Per Cent, (being at the rnU- of twrlv per
eent. per annum) upon the capital stock hao been declnred fnr the
current quarter, and that the same will be payable at the i.llico of
the nank in Montreal and at the Branches on and after the Brat day
of October next to Shareholders of record on 16th Sn)temb«-r, 1920.
By Order of the Board.
F.DWARD C. PRATT.
M..iUreal, 24th Aui;ust. K'2n. General Mnniun-r
Bank of Hamilton
HEAD OFFICE
HAMILTON
Established 1872
Capital Authorized
Paid Up Capital -
Reserve Fund
J5.000.000.00
4,791.280.00
4,595.640.00
Oirccfora
SIR JOHN HENDRIK, K.C.M.G., C.V.O., President
CYRl'S A. BIRGK, Vice-President
C. C. D.\LTON ROKT. HOBSON \V. H PIIIN
I. PITHLAIK). K.C. J TrRNlU-I.I \V. A. WOOD
Branches
At Montreal, and throughout the Provinces of
Ontario, Manitoba, Saskatchewan, .Alberta and
RritisI) Columbia.
SiTiafs Dapirtnicnt at all Officet.
Depotid of $1 and upwards received,
.Advances made for Manufacturing and Farming
purposes.
Collections effected in all parts of Canada promptly
.md cheaply.
CorreapontJence Molieited
r. Bi-.i.i.
General .Manager
THE MONETARY TIMES
Volume 65.
NATIONAL UEVENLE COMLNG IN FREELY
Large Increases Expected for Current Financial Year — Sales
of Savings Certificates— May Have New Trade
Agreement with France
(Special to The Monetary Times.)
Ottawa, September 16th, 1920.
SALES and luxury taxes are already taking a prominent
place in the receipts of the finance department. Canada's
Uial revenue for the month of August was $11,374,290, as
against $r),251,801 for the corresponding month of last year.
The increase in the amount of war tax wiped out the de-
crease of $198,915 in the total amounts received from excise
and seizures, fines, methylated spirits and law stamps, and
left a net increase in inland revenue for the month of
$(5,122,489. The total revenue for the fiscal year ending
March 31 last was slightly over $58,900,000. A very con-
servative estimate, based on the August totals, places the
total collections for the current year at approximately
$115,000,000. However, it is expected that the total revenue
for the fiscal year will be $150,000,000 or more.
The luxury and sales tax collections, it is stated, are
expected to show a substantial increase in coming months.
Some merchants have not yet made full returns, and it is
exp«t'.'d that when the department's staff of auditors is
placed in the field it will be able to assist the merchants
in making their returns, and at the same time check up a
great deal of laxity and carelessness.
For June, July and August of this year the war tax
collections totalled "$18,185,037, as against $3,973,287 for the
corresponding three months of last year, an increase of
$14,211,749. If the increase of last month is borne out
during the balance of the fiscal year the total increase would
approximate $75,000,000. The comparative statement for the
month follows, the first figures being those for 1919, the
second for 1920:
Excise, $3,557,968; $3,379,762; decrease, $178,205.
Excise seizures, $20,489; decrease, $10,925.
War tax, $1,629,731; $7,950,902; increase, $6,321,171.
War tax fines, $3,014; $1,275; decrease, $1,739.
Methylated spirits, $40,152; $32,15^; decrease, $7,993.
Law stamps, $441; $390; decrease, $51.
Exchange premium, $5.58; $11.03; increase, $5.45.
Casual revenue, $228; increase, $228.
Totals. $5,251; $11,374,290.
Net increase over August, 1919, $6,122,489.
More From Income Tax
The income tax will, it is expected, yield $35,000,000
in the current fiscal year, compared with $20,000,000 in the
fiscal year ended March 31 last. The giowth is attri-
buted to the liigher rates of Uixation an<l to improved
organization for their collection. Assessments will be made
on November 1 and payable later. Numerous prosecutions
which have been instituted against delinquents have had a
.salutary effect. According to figures which were given be-
fore a committee of the house last session, income tax re-
turns made by the farmers, especially in the oast, were al-
most negligibie. This >x-ar there is a much more general
response, and those who have failc<i to make returns are to
he got after. Simultaneously with the Income Tax Collec-
tion Act, steps are being tJiken to see that proper returns
:iro made from the sales' Uxes. This week thirty expert
auditors are being appointed and distributed over the coun-
try to chock up the returns maile, and, if necessary, to go
info the books of firms or individuals. An increase of
:f 120.000.000 in excess returns is indicated on the strength
of tlie showintr up to September 1, but with the measures
which are being taken it is believed that this will be con-
sidcrably bettered.
Savings CcrtificatOH ."<old
Seven months' sales of the new form of savings certi-
ficates total two and a half million dollars. The certificates,
which replace the war certificates, are issued in denomina-
tions of $6 and up, yield the investor 5V4 per cent, interest,
and are obtainable direct from banks and money order post-
offices.
Decennial Census
Arrangements for the taking of the decennial census of
Canada in June of next year are almost completed. In the
collection of the information respecting the population of
the Dominion more than 12,000 enumerators will be em-
ployed. The results of their labor will be compiled and pub-
lished. The Census Department, upon the basis of the
average increases in population in the past 20 years, esti-
mates the number of the country's inhabitants at about eight
and three-quarter millions. That method of computation,
however, is not considered infallible, particularly with re-
spect to the western provinces. At the last quinquennial
census of the prairie provinces, Saskatchewan showed an in-
crease much greater than the normal or than had been esti-
mated by the Census Department.
France needs many products, such as building materials,
foodstuffs, machinery and other goods, which Canada has
to sell, but the exchange rate and unfavorable customs re-
gulations are keeping down the volume of trade which would
otherwise spring up, in the opinion of Hon. Dr. Philippe
Roy, Canadian High Commissioner to France, w^ho is spend-
ing a short time in Ottawa. It is expected that one of the
questions which he will discuss with the government during
his stay here will be the drawing up of a new trade con-
vention between France and Canada to replace that -which
was cancelled on June 19 of this year. Dr. Roy expressed
the opinion that with an improved exchange rate and a
favorable trade treaty France would soon be buying Cana-
dian goods to a greater measure than she had ever done be-
fore.
Another Canadian Trade Commissioner, W. M. Clark,
of Milan, Italy, is in Canada at present, and expresses him-
self as hopeful of the outlook for Italy.
NEW BOOKLET BY ROYAL BjVNK
''Canada's Possibilities" is the title of a new booklet
issued by the Royal Bank of Canada, for circulation in the
United States. It gives information on Canadian trade and
finance, an^d shows the prospects for development and pro-
gress.
COBALT ORE SHIPMENTS
The following are the shipments of ore, in pounds, from
Cobalt Station for the week ended September 10th: —
Nipissing Mine, 481,411; Coniagas Mine, 151,000;
Beaver Mine. 60,000; LaRose Mine, 83,902; Hudson Bay,
02,640; total, 838,853. The total since January 1st is 18,033,-
281 pounds or 9,016.6 tons.
CONSOLIDATING GRAND TRUNK PACIFIC AND
CANADIAN N.\TIONAL
Further reorganization for the purpose of consolidating
the Canadian National Railway System, to include the Grand
Trunk Pacific Railway, is now taking place. Under authority
issued by the Receiver of the Grand Trunk Pacific Railway
the jurisdiction of the following officials of the Canadian
N.Mlional Railways has been extended to include the Grand
Trunk Pacific: R. C. Vaughan, assistant to the president; A.
J. Mitchell, vice-president in charge of accounts and finance;
H. H. Macleod. vice-president, in charge of operating main-
tenance and construction; S. J. Hungerford, assistant vice-
pit'sident, in charge of operating, maintenance and con-
struction; A. C. Hayes, vice-president, in charge of traffic;
Gerard Ruel. K.C.. general counsel.
The management of the Grand Trunk Pacific Railway
for the Receiver h.Ts. by order-in-council, been vested in the
board of directors of the Canadian National Railways, and
W. P. Hinton. heretofore vice-president and general manager
of the former company, becomes consulting officer to the
Receiver, with headquarters at Winnipeg.
September' 17, 1920
THE MONETARY TIJIES
16
AFRICAN BANKING
Corporation, Limited
(LONDON)
Paid-up Capital and Reserve, $6,800,000
Over 60 Branches and Agencies
throughout South Africa
Principal Branches located at Bula-
wayo, Bloemfontein, Cape Town,
Durban, East London, Johannesburg,
Kimberley, Port Elizabeth, Pretoria.
and Salisbury.
THE NEW YORK AGENCY
negotiates documentary bills of exchange,
issues drafts and cable transfers, and transacts
a general banking business direct with the
branches of the Bank in South Africa.
Correspondence invited from Canadian Ship-
pers to South Africa. <ind facilities offered for
the conduct of their business with that country.
Address the New York Agency
64 WALL STREET, NEW YORK, U.S.A.
HomeBankofCanada'
Government Bonds and Savings Stamps
There is a page m the Home Banks Thrift Account
Book for entering the date of purchase, amount, and
interest dates on Government BonHs, War Stamps, and
Savings Certificates. The form is very concise and will
preserve all the details for ready reference. Ask for a
copy of the Thrift Book. Distributed free at all Branches.
Branches and Connections Throughout Canada
Head Office and Eleven Branches in Toronto ^
THE
Weyburn Security Bank
Chartered by Act of the DomlnioD Parliament
HEAD OI-I-ICB. ^HYULKN. SASKATCHEUAN
Kranches in Saskatchewan at
Weyburn. Yellow Grass, McTaggart. Halbrite, Midale,
GriflSn. Colgate, PaiiKiiiaii, Radville. Assiniboia, Benson,
Verwood, Readlyii, Tribune. Kxpanse. Mossbank. Vantage,
Goodwater. Darmody, Stoughton. Osage. Creelman an.i
Lewvan.
A GKNKRAL HANKING KUSINESS TRANSACTED
H. O. POWELL. General Manacer
TH€ M€RCMANT5 BANK
Head Oftice : Montreal. OF CANADA.
Established 1864.
Capital Paid-up, $8,400,000 Reserve Fund and Undivided Prolilt. $8,660,774
Total Deposits (31st July. 1920) - Over $163,000,000
Total Assets (31st July, 1920) - Over $200,000,000
Board of Directort :
SIR H. MONTAGU AU.AN Vice-President
A. J. DAWES
Thomas Lo.sg
Sir Frederick Orr Lewis, Bart.
Hon. C. C. BAtLANTTNE
F. Howard Wilson
Farouhar Robertson
Geo. L. Cains
Alfred B. Evans
Thomas Ahearn
Lt.-Col. J. R. MooniK
Hon. Lornb C. Webster
E. W. Kneeland
General Manager • - D. C. Macarow
Supt. of Branches and Chief Inspector : T. E. Merkett
General Supervisor - \S'. A. Meldrum
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice.
395 Branches in Canatia, extendiDR from the Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookall, Agenii
London, England, Office, 53 Cornhill : J. B. Donnelly, D.S.O., Manager.
Bankers id Gveal Britain : The London Joint City & Midland Bank, Limited, The RoyaJ Bank of Scotland
THE MONETARY TIMES
Volume 65.
BANK BRANCH NOTES
The Merchants Bank of Canada has opened a branch at
South Hill, Vancouver, B.C.
W. E King, manager of the Lethbridge branch of the
Bank of Nova Scotia, has been transferred to Calgary, where
he will be manager of the west end branch. B. M. McLeod,
who comes from Guelph, Ont, will succeed Mr. King.
F. W. Clarke, manager of the Merchants Bank in Athens,
Ont., has been moved to Montreal, Que.
W. H. Pratt, manager of the Molsons Bank at Owen
Sound, Ont., has been transferred to Waterloo, Ont. W.
Wallace, who comes from Morrisburg, will succeed Mr. Pratt
at Owen Sound.
T. M. TurnbuU, manager of the Canadian Bank of Com-
merce in Edmonton, Alta., has been transferred to the head
office of the bank in Toronto. W. P. Kirkpatrick, who has
been manager at Saskatoon, will succeed him in the Edmon-
ton branch.
COLONIAL LOAN PLAN IS APl'UOVEU
At a special meeting of the shareholders of the Colonial
Investment and Loan Company, held in Toronto on Tuesday,
the plan of capital reduction described in these columns last
week was approved. Half of the preferred stock, of wliich
^2,4.')5.010 is outstanding, will accordingly be redeemed. A.
J. Jackson, president and general manager, said after the
meeting that the company's general policy would not be
changed by the course now being adopted, except that the
amount of money available for loans would merely be re-
duced by the amount of the quick assets now being used in
reduction of capital, but that the ordinary business of mak-
ing loans would be continued. One result of the adoption
of the course taken would be to give shareholders a chance
to use their money in other ways, including investments that
under present conditions would bring a higher yield.
WEEKLY H.VNK CLE.\KIN<;S
The following are the bank clearings for the week ended
September 16, 1920, compared with the corresponding week
last year: —
Week ending Week ending
Sept. 16, '20. Sept. 18. '19. Changes.
Montreal $139,075,170 $119,762,786 -f $19,312,384
Toronto 100,041,774 86,825.974 + 13,215,800
Winnipeg 50,527.876 54,287,775 — 3,759,899
Vancouver 18,897.204 14,614,165 + 4.283,039
Ottawa 8,458,094 8,422,239 + 35,85.")
Calgary 8.324.189 6.817.439 + 1.506.750
Quebec 7,143.983 6.434.406 + 709.577
E.lmonton 5,131.962 4.367,930 + 764,032
Halifax 5.909,228 4.814,352 + 1.094.876
London 3.418.47B 3,074.961 -|- 343.514
Regina 4,150,798 5.243,804 — 1.093.000
St. John 3.049,021 3.067.742 — 18,121
Victoria 2.960.402 2,479,423 + 480.97'.>
Saskatoon 2.231,092 2.103,132 + 127.900
Moose Jaw 1,809.457 1.798.007 + 11.450
Brnntford 1,132,420 1,086.,385 + 40.035
Brandon 784.483 797.393 — 12.910
Fort William ... 745.348 866.693 — 121.345
Lethbridge 921.470 815.326 + 106.144
Medicine Hat ... 560.689 463.792 -f 96.897
New Westminster. 738.878 598.684 + 140.194
Petorboro 1,073.071 1,012.463 + 61.50S
Shcrbrooke 1.265.338 1.043,289 -t- 222.019
Kitchener 1,114.481 979.876 + 134.00.^
Windsor 8,948,576 2,656,220 -t- 1.292.3.'-.0
PrincB Albert ... 4.34.517 400.122 + 28.39.^.
Total
Moncton
$373,849,496 $334,840,378
920,327 .
$39,009,118
UKITLSH COLUMBIA HEALTH INSURANCE REPORT
Kccomminds Sick Benefit When Wages are Under a Specified
Amount — Basis lor Automobile Insurance Rates
Now Uniform
(Special to The Monetary Times.)
Vancouver, B.C., September 10, 1920.
THE monthly luncheon of the Vancouver Fire Insurance
Agents' Association took place on August 31. The re-
lation between board and non-board companies was discussed
at some length and a committee appointed to bring in a
recommendation.
A "Get-together" luncheon of all insurance men resident
in the three cities on the coast took place on September 7.
The gathering was addressed by H. H. Stevens, M.P., the
subject being "Canada's Obligations." Mr. Stevens pointed
out that the indebtedness of the Dominion, the provinces and
municipalities and the corporations w-as appalling when men-
tioned in dollars, and it was the duty of everyone to think
seriously upon the subject, and endeavor to arrange his
affairs so that he might stand up under the heavy burden.
The British Columbia Health Insurance Commission has
' at length reported to the government. It recommends the
inclusion of a measure of compensation for disability due to
sickness in cases where wages are under a specified amount,
the funds to come out of general revenue. It has been
pointed out that the merit or otherwise of this plan will
depend upon the amount of wages specified.
It is evident, however, from the finding of the commis-
sion, that the evidence did not warrant the foisting of health
insurance as advocated by the chairman of the committee
on the British Columbia taxpayers.
Automobile Insurance Rates
The new British Columbia manual of automobile rates,
effective September 1, is in the hands of the automobile in-
surance companies. The same basis for making the rates
were adopted as now prevails throughout the continent.
Vancouver and New Westminster have practically the same
rates as Toronto, with the exception that 5 per cent, dis-
count is allowed off property damage if loss of use is not
required. Vancouver Island and all the rest of the province,
outside of Vancouver and New Westminster, takes the same
rates as central Ontario district.
A discount of 10 per cent, is given on trucks listed as
trucks, off the old rates, for all districts, while for other dis-
tricts than Vancouver a discount of 10 per cent, is given off
the old rates for public liability and property damage on all
commercial cars. Public automobiles remain about the same.
Manufacturers' and dealers' cars remain the same. In fire
and theft for Vancouver district, the rate for cheaper cars
has been increased according to the age, and for more ex-
pensive cars it has been reduced, while the very low rate of
25 cents for nearly all cars continues for districts outside of
Vancouver. This also applies to commercial cars.
The executive of the British Columbia Automobile
Underwriters' Association are now considering for the first
time special fire and theft rates for fleets of ten cars or
more.
There are now over sixty companies in the association,
and as the association has reduced rates to the lowest limit
consistent with safety, the non-board companies are not a
serious menace.
The similarity of the manner in which a number of
different fires in business blocks in the city has resulted in
an investigation being made, with the result that the pro-
vincial fire warden, Mr. Thomas, is of the opinion that the
conflagrations have been started by a maniac firebug. Un-
fortunately, in each case, there has been no fire alarm system,
or if there was one. it was not operating. The last two fires
have started in the refuse in a dry-goods box in the hallway;
(Conthuied on page 1,5)
September 17, 1920
THE -MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
CI-.STABLISHBD LSITJ
PAID UP CAPITAL - _•!«- ----..$ 23,828,500.00
RESERVE FUND .... C ^1^4 16.375,000.00
RESERVE LIABILITY OF PROPRIETORS .^(^Oi^A., 23,828.500.00
$ 64.032.000.00
AGGREGATE ASSETS 31st MARCH, 1920
5377.721,211.00
Sir JOH.N Rl'SSELL KKENCH. KB. E. General .ManaRcr
351 BRANCHES and AGE.NCIES in the Australian States. New Zealand, Fiji. Papua (New Guinea) . and London. The Bank tra.uacts every description
of Australian Bankini; Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET, E.C, 2.
• Ar.ENTS: HWK OF MO.NTREAL. ROYAL HANK OF CANADA
BUSINESS FOUNDED I79S
INCORPORATED IN CANADA 1897
American Bank Note Company
ENGRAVERS AND PRINTERS
BANKNOTES, BON DS, MU NICIPAL DEBENTU RES, STOCK
CERTIFICATES, CHEQUES AND OTHER MONETARY DOCUMENTS
Special Safeguards Atlainst Counterfeiting Work Acceptable <
Head Office : OTTAWA 224 WeUlngton St.
r.RAXCHES
1 all Stock Exchaf\|2cs
George Euwarus, F.C.A. Akthlh H. Edwarus. K.C.A.
H. Percival Edwards W. Po.merov Morgan A. G. Edwards
Chas. E. White T. J. Macna.mara Thos. P. Gegcie
O. N. Edwards J. C McNab C. Percy Roberts
A. L. StP\-e.n= W. H, Inm-.V'.r.s
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORONTO . .
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VANCOUVER
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CANADIAN MORTGAGE BUILDING
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LONDO.N BUILDING
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McGILL BUILDING
ST. JOHN, N.B.
COBALT, ONT.
NEW YORK, U.S. A
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
THE
TorotstoGeaeralTrusts
Corporation
DIVIDEND No. 97
Notice is hereby given that a Dividend
of Three Per Cent, has been declared
upon the Paid-up Capital Stock of this
Corporation for the quarter ending Sep-
tember 30th, 1920, being at the rate of
TWELVE PER CENT. PER ANNUM.
and that the same will be payable on and
after Friday, the 1st day of October, 1920.
The Transfer Books of the Corporation
will be closed from Monday, September
20lh, until Thursday. September 30th,
both days inclusive.
By Order of the Board of Directors.
A. D. LANGMUIR,
General M.n
Toronto. .AupusI 31sl. 1920.
THE MONETARY TIMES
Volume
UNION OF (JIEBEC MUNICIPALITIES' CONVENTION
Municipalities lUinK Checked Up on SinkinK Funds—Some
Have Itorrdwid Several Times lor Same Work — Keep
Expenditure Within Income, Says Provincial Treasurer
r|"^IIE 1920 convention of the Union of Municipalities in the
X Province of Quebec vi^as held in Montreal, September
0 to 8, with Mayor Joseph Beaubien, of Outremont, presid-
ing. Mayor R. Prieur, of Pointe-aux-Trembles, secretary of
the union, presented a review of the work of the union dur-
ing the past year. He stated that the union had, among
other matters, approached the government on the subject of
the extension of the term of rural mayors from two to three
years, and that while no definite promise had been given the
government had agreed to give the matter most favorable
attention at the next session. Another question which had
been taken up, he stated, was in regard to the secretary-
treasurer of municipalities. The law as it now stands pro-
vides that such official must have lived in his municipality
for at least a year, and must be resident therein during his
term of office, and it frequently happened that eligible men
under these conditions could not be secured, so it is sought to
eliminate the stipulation that such residence be essential.
G. E. Marquis, head of the provincial bureau of statistics,
discussed the exodus of population from country to city, and
Oscar Morin, deputy minister of municipal affairs, pointed
out that Canada had the unfortunate distinction of having
the highest paid per capita fire loss of any country in the
world, and advocated a widespread campaign of education
on the subject, including talks to the children.
Mayor Beaubien spoke on "The Platform of the Union."
He dealt at some length with the importance of efficiency in
municipal administration, and the valuable work of the
union in encouraging and developing honest and efficient
management of public affairs by municipal authorities. Every
municipality, he said, ought to be like a corporation of which
each citizen is a shareholder. The task of the municipal
official was to see that the municipality was developed so
as to render the citizens' interest in the city or town or
parish the most profitable possible.
Every effort should be made to make the property in
the municipality render the biggest possible profit to its
owners. The development of the municipality should always
have in view the need for industries in the community. No
effort should be omitted which would encourage industry,
and allow the manufacturer every chance to make the utmost
legitimate profit. The object of the union was the encourage-
ment and development among municipal authorities the most
efficient and public spirited administration of public affairs.
It was particularly important at this time, when municipali-
ties were invited to borrow extensively from the govern-
ment, to give attention to the need for careful administra-
tion. If that borrowed money was not efficiently adminis-
tered, it would simply represent a further addition to already
overloaded taxation.
The Ilousinn (Jueslion
Mayor Bouchard, of St. Hyacinthc, pointed out that no
one wanted to invest private capital in housing. In his own
city, no one could be induced to build houses for rent. St.
Hyacinthc had already appointed a housing commission and
prepared the site of the proposed new erections, but no
money was yet forthcoming from the provincial government.
Mayor Bouchnrd insisted that the federal, provincial and
municipal governments should all share in the loss entailed
by building working men's houses. One third of the loss
should be borne by a loan from these governments at a low
rate of interest. In Belgium, where this system was prac-
tised, the rate charged was :! per cent, and a movement was
on foot to reduce it to 2 per cent.
St. Hyacinthc was willing to bear its shore of the lo.'^s
on these terms. If all houses were built by the municipality
direct or by a municipally appointed commission, specula-
tion would be eliminated. He disagreed with Mr. Adams
when the latter said private enterprise could do the worki
more cheaply than a public body. Experience in St. Hya-
cinthc had shown that the municipality could do such work
more cheaply than contractors. If public authorities did
not start building, the landlords in the country would start to
force the rents up, just as they had been doing in Montreal,
Mayor Bouchard concluded.
Municipal Finances Improved
Describing the w-ork of the provincial department of;
municipal affairs, Oscar Morin stated that progress has been
made during the past year towards regularizing the finan-
cial position of the municipalities, this being the main object
for the creation of the department. During the year 32
municipalities had their financial positions regularized, that
is, did what was necessary according to law and financial
safety by creating sinking funds. Mr. Morin hoped that the
number would be tripled this year, and that before long all
the municipalities would be in proper financial position as to
sinking funds, and other financial steps which the law re-
quires.
Some questions of a legal nature were asked by dele-
gates, but Mr. Morin said that the department was pro-
hibited from giving legal advice. One of these questions
came from the representative of St. Claire, where, it was
pointed out, there was doubt as to what was to be done in
regard to taxation of vacant land, which the owners wish;
valued at farm land valuation, though not farming the land
in all cases. Such lands had been previously sub-divided and
placed on the market. The new general law in regard to
the passage of money by-laws brought criticism from some
delegates, notably those from Three Rivers, the complaint
being that it was often impossible to secure a sufficiently
heavy vote to have a by-law passed. The law requires that
10 per cent, of the proprietors must vote. Mr. Morin ad-*
mitted that the main reason for such a law was because sonit
municipalities passed by-laws without the proprietors having
been informed of them, and various schemes were put througli
in this way. However, said he, the legislature had amended
the law to make it less onerous last session, and was readj
to hear suggestions from the union for further amendments
What was wanted was a proper system of publicity so that
the proprietors would be informed of what was to be done
Keep Expenditure Down
Hon. C. R. Mitchell, provincial treasurer, advised tht
municipalities to keep their expenditures within their in
come — a policy which had been carried out with excellen'
results in provincial affairs. The department of municipa
affairs was doing good work in guiding the municipalities
he said. Many of their measures, he added, had been criti
cized. For instance, the law requiring the deposit of the sink
ing funds with the provincial government had been criti
cized, but he was convinced that it was the proper way
They had a provision by which they could allow a munici
pality to deposit its sinking fund elsewhere, if they believec
the proposal of the municipality was safe for the citizens
but the object of insisting on the sinking fund being de
posited with the government was to see that, when the timi
came to wipe off a debt, the money was there to wipe it of
with. That would prevent the experience of money beinj
borowed time after time to perform the same work. He ha(
.■^een instances in the province of Quebec where sums up ti
^■00,000 and over had been borrowed to construct the sami
sidewalk three or four times over again. Equally wise con
siderations had caused the legislature to pass laws makini
it difficult to pass borrowing by-laws. A tendency to reck
less borrowing had made it necessary to pass such a law
As regards bonuses to industries, he had seen municipalitie
competing with each other as to who could attract a ne\
industry by offering greater bonuses than the others. Ye
the number of industries brought up on bonuses which sue
cccded was very few. Hence the law preventing the grant
ing of bonuses.
September 17, 1920
THE MONETARY TIMES
SterlingTrusts Corporation
TUB Officers of this Corporation are experts in the
administration of estates, the manaEement of pro-
perties and the investment of funds.
We shall be pleased to consider and advise you con-
cerninK any of your problems.
President
W. H.WARDROPE. K.C.
Vice-President, Managing Direciur,
A. VV. BRIGGS. K.C. CHAS. BAL'CKHAM
1122
^i'-~^
HEAD OfFICE-12 KING ST. EAST-TORONTO
Trustees Desiring to be Relieved
ul llK-ii ihr.ii-s ;is >iicli art mviu-'l to cimfei with us .iinl
ascertain the satisf.iclory iiiannur in which their wishes
may be accoinplisheil In rloiiig so you will not be incur-
riiii; any expense, and will probably be surpriseci at the
benefits to lie lieriveii.
THE CANADA PERMANENT TRUST COMPANY
Paid-up Capitnl
$1,000,000
W.O. Gooderham
Col. A. K. Gooderham
F. Gordon Osier
E. K.C. Cl.ii
IJIRECTORS.
George H. Smith
TORONTO STREET
TORONTO
John Massey
John Campbell S.S.C.
William Mulock
George W. Allan. K.C. M.P.
aeer. Ontario Branch : A. i£. Hes
A. J. Pattison Jr. & Co.
Specialists Unlisted Securities
lOa BAY STREET
TORONTO
WESTMINSTER TRUST COMPANY
I B-i
H
ad Otfice - NEW WESTMINSTER, B.C.
GENERAL FINANCIAL AGENTS
Admtmislraton. JttcHvtn, Encmttn. Li^utdatorz, Assigmtts. Tnslmi
E. A. KIDDELL. Mnnafier
The
Trustee Company of Winnipeg
322 MAIN STREET
Ltd.
M. J. A. M. DE
LA GICLAIS
, ManaRing Di
ector.
See us for investments i
rates of interest.
Our Agency Departmen
your afTairs in our charge.
n allocated o
t is very act
guaranteed to
ive. While ou
ansaJa
t of to«
tractive
n. leave
The Security Trust
Company, Limited
Head Office
Calgary, Alberta
Liquidator, Trustee, Receiver
Stock and Bond Brokers,
Administrator, Executor.
General Fioancial Agents.
W. M LONNACHEK
Prcs. and .ManagirR Director
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
INDUSTRIAL SECURITIES
300 Nanton Building, Winnipeg
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for investineiU in all classes of Securities.
Business .■\gent for the R. C. Archdiocese of Vancouver.
Fiscal Agent for B. C. Municipalities.
fnquirieM Incited
Vrnrrnl MiinnK'T l.linl.-l i>l. «.. II. ixiltlt I.I I
H. H. CAMPKIN
insurance, Loans, Bonds, Debentures and Real Estate
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If you want a business in Alberta you want u«.
WHYTE & CO., LIMITED
Busincn Broktrt
111 Pantases Building - Edmc
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acts as Executor, Administrator, Trustee, Guardian, Liquidator
Aiiifnce, aod in any olber fidaciarjr capacity.
Official Administrator for the Northern Judicial
District and the Dauphin Judicial District in
Manitoba, and Official .\s8i({Mce for the Western
Judicial District in Manitoba and the Swift
Current Judicial Disliicl in S.i.skatchew.in.
Branch Office
Swift Current, Saikatchrwi
John K LrrXI.i;. ManaKii'K Director
THE MONETARY TIMES
Volume 65.
ONTARIO MLMCII'AL ASSOCIATION CONVENTION
Munuipalitios Have Great Responsibility in Hydro- Electric
Knterprise— University Training for all Ollicials
Recommended
THE 22nd annual meeting of the Ontario Municipal Asso-
ciation was held in Toronto, September 3 to 4. Mayor
T. L. Church, of Toronto, in welcoming the delegates, dealt
with the enormous investment in the hydro-electric system.
He said in part: "We have over ?100,000,000 invested in the
provincial light and power schemes, and there are those in
and out of the legislature who are using dark schemes to
destroy hydro power and hydro radials. The big problem
to-day is transportation, and if we had proper transporta-
tion our population in Ontario would be from 5,000,000 to
0,000,000. The big interests are opposed to hydro radials,
and they have got the ear of the government and are mis-
representing our case. The Board of Railway Commissioners
does not represent the people and the time has come to let
(he government know the feeling of the people. The in-
crease in express and freight rates should be postponed a
year at least."
OfTicers Should be Trained
S. Baker, of London, in his presidential address, lamented
the decentralization in municipal government which had re-
duced the councils to mere tax-levying bodies. He suggested
that the association again urge the provincial government
to appoint a commission to report upon the municipal system.
He said: "The new municipal act must work out a system
which will provide intelligent council-controlled expert ad-
ministration. No person should be appointed clerk, treasurer,
engineer or assessor unless he has secured university stand-
ing in a faculty of municipal affairs of one of the provincial
or other universities. Most of the municipalities have to pay
lor the training of their employees, and sometimes the ap-
pointees have not received sudicient general education to
enable them to develop as they should, to successfully and
efficiently discharge the duties of the office."
He suggested that the association appoint a committee
to report to the next session of the association on the crea-
tion of a purchasing commission along the lines of the pur-
chasing department of the Hydro-Electric Commission, and
he moved also that the executive committee appoint and em-
liloy a competent person to watch and report upon all legis-
lation affecting municipalities coming before the provincial
Icgislnture, and to provide expert professional advice for
municipalities for such general purposes as may be deemed
expedient.
Aid. Carter, of Guelph, rend a paper on "The Experi-
ence of Gueli)h City Government." In Guelph the aldermen
are elected for one, two and three years, and the council
elect the mayor. The city clerk acts as city manager, and
has the hiring of the heads of departments.
"If the Dominion Railway Board are to be convinced as
to the unreasonableness of the increa8e<l telephone charges,
it is necos!>ary for municipalities to unite in opposing
the application," declared Francis Ilapgcr, when explaining
the new rates to the convention. "The measured service is
a Bell invention," he said. "The independent telephone com-
panies in the United States have not adopted it. There are
under Ontario jurisdiction '"<^0 independent felri>h,.iio sys-
tems."
Assessments and Franchise
A resolution was passed urging that the Assessment .\ct
be amended, so that only freeholders, tenants and farmers'
sons should vote.
Following an address by Dr. J. W. S. McCuUough, pro-
vincial officer of health. E. L. Auly, Frontennc County, criti-
cized the appointn\ent )f health officers, whose salary the
municipalities have to pay, but over whose actions they have
no control. "There is enough evidence in Portland town-
ship to discharge the whol? medical department." he said.
CHARGES FOR STORING GRAIN
The Board of Grain Commissioners for Canada heard
applications in Winnipeg on August 30th for increases in the
charges for elevating and storing straight grain by terminal
elevator companies. The board heard the applications in the
morning, and in the afternoon took up all the proposed
changes in the rules covering the handling of grain. It was
announced that consideration will be given to all the evi-
dence submitted, and that a decision would be given with
the least possible delay. The commissioners remained in the
city several days looking over the grain situation.
LOANS TO SOLDIER SETTLERS
Up to the end of August the Soldier Settlement Board
of Canada granted loans to 19,181 settlers actually on the
land. The amount of loans approved by the board is $76,530,-
07.^ for the following purposes: To purchase land, $41,638,-
827; to remove encumbi-ances, $2,151,275; for permanent im-
provements, $8,705,462; for stock and equipment, $24,035,111.
Alberta has 5,554 settlers actually established; Saskat-
chewan, 4,628; Manitoba, 3,170; British Columbia, 2,867;
Ontario, 1,359; Quebec, 418; New Brunswick, 456; Nova
Scotia, 387; Prince Edward Island, 282. Applications for
qualification certificates have been received from 56,352 re-
turned soldiers, and 40,820 have been qualified. The total
amount saved to soldier settlers on the purchase of equip-
ment is $390,607. This represents the difference between
ordinary price lists and special prices granted to soldier
settlers.
Up to sixth of September, 7,760 returned men have re-
ceived free Dominion lands through the Soldier Settlement
Board. A statement by the Soldier Settlement Board
also shows that 268 soldiers have purchased school lands
of an area of 62,672 acres. The board secured an ar-
rangement with the governments of the three prairie pro-
vinces by which these lands become available for soldier
settlement.
GUARDIAN ASSURANCE CO.
The report of the Guardian Assurance Co., of which H.
M. Lambert, of Montreal, is manager for Canada, shows
continued success. Following a growth of over $168,000 in
premium income in 1918, as compared with 1917, the net
fire premium income in Canada of the Guardian for 1919
amounted to $1,433,698, an increase of approximately $100,-
COO. With one exception, this was the largest fire premium
income received in Canada during 1919 by any other com-
pany. The loss ratio was 45.44 per cent. The Guardian has
been operating in the Dominion for the past fifty years, or
for about half of its entire history of one hundred years.
The fire premiums after deducting reinsurances show a
growth of $1,148,270 for the year 1919 over 1918, and amount
to $5,110,615 as against $3,962,350. The amount absorbed
by losses totalled $2,342,520, figuring a favorable loss ratio
of 45.83 per cent. The expenses of managenlent, including
fire brigade charges and commission, amounted to $1,912,495,
being 37.42 per cent, of the premiums. The company applied
the very generous sum of $255,904 towards the depreciation
of securities, which amount has been provided for out of the
profits of the year in the fire department.
The accident, burglary and general assurance depart-
ments have also made most satisfactory progress for the
year under review, the premiums receipts amounting to $1,-
914,278, show an increase of nearly $400,000, as compared
with 1918. Losses were .somewhat higher, figuring at 46 per
cent, of the premiums, as compared with 40.14 per cent,
in 1918.
The Central Canada Loan and Savings Co. has declared
the usual quarterly dividend of 2% per cent., payable Sept-
ember 30.
September 17, 1920
THE MONETARY TIMES
Safety and Profit
are all-important ■
bus
:ion of a depository for
•inkin>{ fund,
a personal account.
The UNION TRLST COMPANY'S resources and its conservativ
management establish the element of safety:
Its method of adding 4% interest rcRularly to the account, gives
maximum return on the sums involved-
Jlll account, an luhjcci lo cheque
Union Trust Company, Limited
When selecting a Trust Company as an Executor
choose one whose fixed policy is to give
FINANCIAL ASSISTANCE
To Estates being administered by it.
CAPITAL, ISSUED AND SUBSCRIBED
PAID-UP CAPITAL AND RESERVE....
51,171,700.00
1,172,000 00
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE: WINNIPEG. CAN.
BRANCHES :
THE BANKERS
TRVST OOMB^NY
Head Offices: MONTREAL
Authorized Capital $1,000,000
I^rcsiJcnt -
SIR H. MONTAGU ALLAN. C.V.O.
A. J. DAWES
JAMES ELMSLY
C. D. CORNELL
Vkc-Presidcnis -
D. C. MACAROW
General Manager
Sccrelar)/
Sir H. Montagu Allan,
T. Ahearn [C.V.O.
C. L. Cain.
A. J. Dawe.
A. B. Evan.
David N. C. Hogg
J. M. Kilboum
Directors:
I. D. C. Kippen
W. B. Leilch
Sir F. Orr Lewi., Ban
The. Long
D. C. Macarow
W. A. Meldrum
F. E. Meredith. K.C.
T. E. Merrett
Ll-CoI. J. R. Moodie
Farquhar Robert.on
Hon.LorneC.Web.ter
F. Howard Wilson
Edwin H. WiUon
John WiUon
Offices now open in Montreal, Winnipeg,
Calgary, St. John, N.B., Malifax, Regina,
Vancouver, Victoria antJ Toronto.
Premises in Merchants Bank Building in each city
Why We Need More Money!
Last year our rates for service were increased by ten per cent.
That was the first general increase in telephone rates in over twenty-five years.
To-day the general level of commodity prices is three hundred and fifty per cent over what
it was twenty-five years ago.
Our operating expenses in 1919 had increased 99 per cent over 1913, while gross revenue
was only 49 per cent greater.
Wages absorbed over 36 per cent of our revenue last year, and our wage bill this year will be
at least 35 per cent higher than in 1919.
/( is apparent that if ivc are to continue to pa\> good mages, and so ensure good service, and at the
same time pa^ such a return lo investors as dm'// attract ncn- capital to enable us lo extend our plant,
we must earn more mone^!
We must accomplish both of these things, else service to our present patrons will suffer
and new applicants for service cannot be accomodated !
Increased rales are the only source from which such further revenue can come !
THE BELL TELEPHONE COMPANY' OF CANADA
THE MONETARY TIMES
Volume 65.
miLDING PERMITS DECMNE IN .IM.V
WHOLESALE PRICES AGAIN DECLINE IN JULY
Total Shows a FallinK Away of Two Per Cent, as Compared
with Previous Month, but an lncrea.se of Forty Per
Cent, as Compared with a Year Ago
Chief Decreases for the Month in Grains, Vegetables, Fish,
Fruits, Textiles and Lumber — Increases in Livestock and
Meats, Butter and Eggs and Coal and Coke
BUILDING permits issued in fifty-six cities showed a slight
decline during July, 1920, as compared \vith preceding
month, the total value falling from $13,.'}16,041 in June to
$1.5,025,500 in July, a decrease of $290,181, or slightly over
2 per cent. Prince Edward Island, New Brunswick, Quebec,
Ontario and Manitoba registered decreases in this compari-
son, the decline of $2,208,203 reported in Quebec being the
largest. In Nova Scotia, Saskatchewan, Alberta and British
Columbia there were increases in the value of the permits
issued, that of $1,219,880 in Saskatchewan being the most
noteworthy.
The following table, compiled by the Department of
Labor, gives the details: —
Soiitl- \ .
• Vancouvi
• Victoria
Total-.^ cities
DBI'ART.MBNT
June
July
IW20
July
1919
OF LABOUR
r'lOUKBS
CITY
^
•
I'RiNCB Edward Island
M IHVl
6.000
Ml.
736,K33
6.OU0
374.183
Nova Scutia
lil.i.WS
•Hali(a».
IKl.llW
S30.I73
291.422
New i;i.is80\v
.S..K10
4.800
14.000
•jVdncy
1 .'O.WW
201.860
68.761
SilW Bhunswick
4KI.4liU
J82.705
418.795
iTcUcricton . .
ifi,»Sl)
no.ooo
S5.0O0
lli3.2IO
■J 13.300
iri.Bos
ICO, 100
315.29.'!
48,500
•St. John
OuKaKC
3.6Z!.SKI
i:. 440.935
1.414.480
1.105.785
1.846.897
1.484.999
• VIontrcal l
Ma.>onncuve...r
* vouchee
.i.l'.'.WW
7S.-i70
107.361
ShjwiniKitn Kallti
17.(100
4, .WO
• 15.100
• .■^hcrbrooke
KI'J.TIW
21.600
29.200
• Three Rivers
li.SM
S4.700
121.615
•vVe«tmount
119 475
149.625
88.622
Ontario
.^327..'i88
5.280. 1«7
4.72!*,3.'i6
Belleville.
4.000
K..SO0
•rtrantford .
•17.873
41,705
73,;l7.'i
Chatham
■J4.0M
28.3CO
145.21)2
•t'ort William
JI.4S0
1.V900
37.105
Call
.',^.740
38.400
32.!)75
* Juclph . ■ ..
4b.03.<
42.470
•23.903
• Umilton
iSI.n-i
4911.025
500.527
• ■iindmon-. .
l.iH.77ii
.M,2as
4a.N04
•*<itchencr.
J.'i4,fi'.'l>
ISI.UI5
218.945
' l^nJon
I7«.;t4(l
ISR.l'l.'!
171.200
Niailnta FulN
.M.I 00
2S.>tl4
71.587
Oiihawa. .
1 n.TM
44.625
68.475
• )ttawa .
.-4 fiOO
48)1,1136
252.420
Owen Sound
10.«7.f
I.S.OOO
2..500
•Poterborouiih
II.BOO
2.640
8.705
•Port Arthur
7 Oil
S4.455
140.230
•Stratford
=.'*,«.'
57.79S
22.180
•St. Calhannis
1." .'1
127.450
81.830
•4<. Thoma.
6.656
2l'.ti<10
T2.I.10
119.398
Sault Stc. M.it .
61.400
121. -2711
•Toronto. . .
2.640.004
2.l,W,2«l
Wclland
22.115
;i5.:i9J
•WlnilAor
514.210
.160.300
WooO.tiKk
S6.702
15.620
MAniroRA
1 . -H
I.W7.210
34«.!IU
•Brandon
. ..-^
470
»,32S
SI. llonKacc
48.M0
56.110
'Winnipeg
1 . .
i.iao.4M
2SI.WD
SAIRATCIiaWAN
■L'TtM
248.1100
•Moo.eJaw
"S
.■M.27S
•HeUina ...
.*!
l.<2 0Vl
•■ia^lotoon
"
60.475
AUI«RTA
■ lit
5I3,.'W>I
•Calnary .
TM.ono
•Rdmonton.
-■>
I99.IMI
I-cthbridiic
■ -w
3l.StO
Medicine H.r
'. .IT.<
I.RWl
BRltmi Cm 1 "■• .
1 -i.vte
791. »0
Nan ,
llv<
jnn
••Neu
■•1
I6« lat
THE prices movement in July was marked by decreases in
many lines of materials and by seasonal changes in
food.';, some of which were upward and some downward. The
chief change in retail prices was in potatoes which declined
considerably after the end of June as the new crop came on
the market.
In wholesale prices the indsx number was again lower,;
falling to 346.8 as compared with 349.3 for June, 356.6 for
May, 249.9 for July, 1919, and 134.6 for July, 1914. The;
chief decreases for the month were in grains, fish, fruits and
vegetables, textiles and lumber, with increases in livestock
and meats, butter and eggs, sugar, coal and coke, some build-
ing materials and some chemicals.
The following table, compiled by the "Labour Gazette,"
gives index numbers of wholesale prices by groups of com-
n,o.i;t;,. . f,,r- .July, 1920, as compared with previous periods: —
IDEPAKT.MBNT OF LABOUR
FICfRKS)
. Grains and Foodbrs:
Grains. Ontario
Western
Fodder
All
II. Animals AND Meats:
Cattle and iMef
Hogs and ho8 products..
Sheep and mutton
Poultry..
. Da
All.
Products..
IV Fish :
Prepared fish
Fresh Hsh
All.
V. Other Foods :
(a) Fruits and vegetables
Fresh fruits, native
Fresh fruits, foreign
Dried fruits
Fresh vegetables .
tjanned vegetables
All.
<n) Miscellaneous groceries
Breadstuffs t....
Tea. coffee, etc
Sugar, etc.
Condiments
All.
Vl.TExni.
Woollens
Cottons
Silks
Jutes
Flax products.
Oilcloths
All .
Hides. Lkathrr. Boot* AND Shoes:
Hides and tallow
Leather
Boots and Shoes
VIII. Metals AND lapLBBRim:
Iron and steel
Other metals
Implements
IX.Pl'EL AND LioHTINa:
Fuel
Lighting
X. BlILDIKO .Matbriau:
Miscellaneous materials.,
and gta^ . .
All
XI. HoLSR Furnishinos:
Furniture
Crockery and glassw
Table cutlery
Kitchen furnishings.
XII. Dp
All
'Chrrical*.
Mil. MlSGCll.iSROtS:
Raw Fiim
Liquors and tobacco
Ml commodities
o^l Index NUBBBRS
SS __
g I - »July I 'June 'July July
l»20 1M2U WW lUlil
436.3
11 -.7
3I6.U
JUl.l
asci.S
vra.i
J'fi.li
3?1J.9
299.6
225.8
288.3
211.4
HIS. I ,
218.3 I
362.9
33G.8 I
222.7
166. 6 I
-.31.1
3i:.9 I
337.2
10l!.U I
200.0 I
SU.i I
S95.V I
806.7 :
3»3.3
257.2
i7i.l
221.8
265.4
S12.n
267.7
167. 4
3117.2
151.3
601.9
161. 1
292.2
W?a.2
283t' SIR. 8 319.3
S39 8
390 0
270 3
330 0
363 3
18<.9
43U 3
187.6
2860
161.1
602 9
186 6
3S9 ;
181.11
288 1
138.1
219 «
I19.S
■iiS 3
171.8
223 3
169 7
2K.C
136 2
iSi2 8
i02.2i
2!1 1
108 1
.6 8
160.0
al6 7
110.6/
239 7
120. 1
25S.5
125 0
211 1
116.1
288 9
111.;
227. 1.
99.6
«l 2
115.6
3-6
IS6.8
319 2
118.1I
179. k
s9.0
649 8
201.1
169 8
lll.l
261 9
101.7
361 3
1311 2
199 9 1
96 6
238 1 ,
210 0
im.o
130.1
106.6
111.
221 9
211 7
229 8 '
130.1
9J.!
lu.e
301 6
218.5 '
101 9
298.0 I
)8VC
112.3
113.7
112. >
3SI.1
391.2
159.5
253.8
3260
116 f
130.1
72.4
117. >
I26.i
iil.i
113.1
916.6
271.1
211.2
107.1
30t.(
131.1
112.1
ias(
' ''n^l'?'^^^ ."iir*'' ' ^If^' ""^modities off the market, fruil
One line of spelter was dropped in WIS. }Onc commodity onl
September 17, 1920
THE MONETARY TIMES
INTEREST
RETURN
INVEST YOUR SAVINGS
in a 5K% DEBENTURE of
The Great West Permanent
Log.: Company
SECURITY
Paid-up Capital $2,412,578.81
Reserves 964.459.39
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regioa, Calgary,
Edmonton, Vancouver, Victoria ; Edinburffh,
Scotland.
CANADA PERMANENT
MORTGAGE CORPORATION
QU.ARTERLV DIVIDEND
Notice ia hereby given that a Dividend of TWO and
ONE-HALF PER CENT, for the current quarter being at
the rate of j^^ ^^^ r.£H-\ PER ANNUM
on the paid-up Capital Slock of the Corporation, has been
declared, and that the same will be payable
FRIDAY. THE FIRST DAY OF OCTOBER
next, to Shareholders of record at the close of business on
the Fifteenth day of September.
By order of the Board,
GEO. H SMITH. Assistant General Manager.
Toronto. August 25th. 1920.
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
Masonic Temple Building. London (.Canada
Interest .it 4 per cent, payable half-yearlj* on Debentures
T. H. PURDOM.K.C. President NATHANIEL MILLS. Mansser
The Hamilton Provident & Loan Society
Head Office. King Street. Hamilton. Ont.
Capital Paid-up, tl.200,000. Reserre Fsad and Surplui
Proflta, tl,280.670.69. Total AueU. |4,764.U»J1.
TRUSTEES AND EXECUTORS are authorized by Ijiw to inve.t
Trust Funds in the DEBENTURES and SAVINGS DEPARTMENT
of this Society.
GEORGE HOPE. President D. M. CAMERON. TreaJorer.
The Ontario Loan & Debenture Company
DIVIDEND NO. 133.
Notice is hereby K'ven that a QUARTKRLV IJIVIDKNI)
of 2% per cent, for the tliree months ending 30th Sep-
tember, 1920 (BEING AT THK RATK OF NINE PER
CENT, PER ANNUM) TOGETHER WITH A BONUS OF
X OF ONE PER CENT has been declared on the paid-up
capital stock of this Company and will be payable at the
Company's Oflfice, London, Ontario, on and after the 1st Oc-
tober next to Shareholders of record of the lath September,
By order of the Board.
A. M. SMART,
Manager
London, Canada, 31st August, 1920
/^VER 200 Corporations,
^^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Quarterly Dividend
Notice is hereby Kiven that a UiifiJcnd of Two .ind one-ciiiarter per
cent., bcins at the rate of Nine per cent, per annum, upon the paid-up
Capital Stock o( this Company, has been declared for the current
Quarter, and that the same will be payable on and after l»l OcIi>I)€t,
I9«0. to shareholders of record on the boolcs of the Company at the
close of business on l.'ith inst By Order of the Board,
Toronto, ind September, hViO WALTER OILLBSPIB. Manaficr.
Six per cent. Debentures
Interest payable half yearly at r ir at any bank in Cnnnda.
The Canada Standard Loan Company
520 Mclnlyre Block, Winnipeg
Port Arthur and Fort William
Realty Investments
Inside City and Revenue Producing Property.
Mortgage Loans Placed.
Write us for illustrated booklet descriptive of
the twin Cities.
GENERAL REALTY CORPORATION, LIMITED
Whslen Building, PORT ARTHUR, Ontario
IRON MINE
FOR SALE
- in thr
COUNTY OF RENFREW
Near Perth
For full p,irtir.iUr«, rrporl o( asssv. etc.. apply
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAV and MELINDA STS. TORONTO
24
THE MONETARY TIMES
Volume 65.
riBLKATlONS KECEIVED
Insurance Institute of Toronto, Proceedings for 1919-20. —
This annual publication gives the addresses delivered before
the Institute during the year, including that of the piesident,
H. \V. Crossin. The syllabus of examinations, examination
papers and results are also given, and an index of papers
read before the meetings since 1899. C. Elvins, Imperial
Life, Toronto, is secretary.
Dominion Mortgage and Investments Association, Year
Book, 1920.— The activities of the provincial associations as
well as of the Dominion Association are covered in this re-
port, which includes the addresses given at the annual meet-
ings, etc. A review of legislation as alTeeting the invest-
ment institutions is given in an appendix. John Appleton,
Canada Life Building, Toronto, is secretary.
Canada Year Book, 1919.— The 1919 edition of the Can-
ada Year Book is a volume of 697 pages, including the in-
dex; it is published and distributed by the Dominion Bureau
of Statistics, at $1. A special feature of this year's edition
is the illustrated history of the war, 1914-18, with appendices
showing the number of rewards for gallantry and honor-
able service granted to members of the Canadian Expedi-
tionary Force. The ofTicial statistics as a whole are now
being reorganized, and the 1919 volume shows improvements
in those relating to education, trade and commerce, trans-
portation and communication and finance.
Wriglcy's British Columbia Directory.— The 1920 edition,
which has just been issued, comprises 1,262 pages, the first
70 pages containing an early history of the province, the
personnel of the British Columbia government, together with
a list of all oHicials of the various departments of the gov-
ernment, both at Victoria and throughout the province, with
short articles giving the jurisdiction of the various depart-
ments, and indicating the great resources of the province;
the names of all Dominion government officials throughout
the province are also given in this section, and the book
contains scenes and views throughout the province, and
also maps covering all automobile routes in the province.
The gazetteer portion of the book deals with 2,1-19 separate
and distinct cities, towns, villages and settlements in the
province of British Columbia. This is an increase of 107
places over the 1919 issue.
Annual Financial Review, 1920.— Houston's Standard
Publications, Toronto.— Each year the literature of Canadian
finance grows in volume, and the Annual Financial Review
shows the expansion of financial information commonly re-
quired by those who follow the stock market. This is the
20th volume of this useful book and the information it con-
tains regarding companies listed at Montreal and Toronto is,
as usual, of a complete and reliable character. Latest an-
nual reports are summarized, and, in addition, a sur\ey of
the course of securities on the exchanges on which they are
listed is given, usually, for the past ten years. As a work
of reference, it takes a high place. This year its value is
enhanced by the addition of quite n few companies not yet
listed, such as some of the newer paper concerns, some prom-
i.ting industrials seldom heard of, as well as the first bal-
ance .sheet of the British Empire Steel Corporation.
The Budget and Rogponsihle Government.— By Frederick
A. Cleveland and Arthur Eugene Buck. MacMillan Co. of
Canada, Toronto. 406 pp.; $3.50. "The budget sy.^tem for
governments has had its fullest and most successful develop-
ment in Great Britain, and it has squared with the whole struc-
ture of government in that country." says \V. H. Taft. ex-presi-
dent of the United States, in an intrmiuction to this book.
"When, therefore, we .attempt to adapt the result? there
obtained to our own case we ore somewhat embarrassed by
the constitutional differences between the British govern-
mental system and ours." This l^ook i«. us it» suh-title indi-
cates, "a description and interpret . ' ' ' 'irle for
responsible government in the I' special
r.-f.>ron.-.. 1,. T..,riit ,li:ini:os in Stat. ' statute
laws providing for administrative reorganization and budget
reform" After giving the historical background, it deals
with proposed plans and recent legal enactments for ad-
ministrative reorganization in state governments.
The Case for Capitalism.— By Hartley Withers. Eveleigh,
Nash and Co., London, Eng. 255 pp.; 7s. The author of
this book is already well known through his work in finan-
cial journalism and as the author of several books. In this
book he outlines what has been accomplished under capi- ;
talism in what respects it has failed, and suggests some
remedies. "Individual freedom," he says in the preface,
"initiative and enterprise have been the life-blood of the
Anglo-Saxon race, and have made it what it is, pre-eminent
among the races of the world because its men and women
can think and act for themselves. If we throw away this
heritage because we think that regulation and regimentation
will serve us better, we shall do a bad day's work for our-
selves and for human progress. And yet this seems to be
the object to which many earnest and sincere reformers are
now trying to lead us, when they ask us to accept national-
ism ofindustry, or its organization under guild monopolies,
as a remedy for the evils which are evident in our economic
system. If" they succeed, life will cease to be an adventure
and will become a drill; the tendency to variation which, as
science teaches us, is the secret of development, will be killed
or checked, and we shall be standardized like government
boots.
"This book is written to show that the greater output
of goods and services on which material progress depends
cannot be expected with certainty under any form of socialism
that has yet been proposed; that capitalism, though a certain
amount of robbery goes on in its back-yard, does not itself
rob anybody, but has wrought great benefits to all classes;
and that, if improved and expanded as it may be without
any sudden change in human nature such as other systems
demand, it may earn for us the great material advance that
is needed to provide us with a better, nobler and more beauti-
ful world."
In the course of the book Mr. Withers discusses the
function played by capital and labor in production. State
socialism, which is the antithesis of private ownership, he
defines and describes, drawing a picture of its operation.
Guild socialism and the guild program he finds equally un-
satisfactory as a basis for radical change.
Canadian Annual Review.— By J. Castell Hopkins, F.S.S.,
F.R.G.S. Canadian .\nnual Review, Ltd., Toronto. 955 pp.,
with index; ?6. Prefatory to this, the 19th issue, the
author says: "Ever since the Review was started in 1901,
I have feit that Canada had entered the 20th century with
a pending and inevitable evolution into empire and world
polities, and each of these 19 volumes has had a specific
space allotted to this development; to-day, Canada is one of
a group of British nations belting the world with a power
for peace and progress which will be effective in just the
degree which their spirit of Imperial co-operation warrants
and as it makes for permanence."
The Canadian .Annual Review is a comprehensive record
of political, economic, educational and social developments
in and affecting Canada. The special features of the present
volume are the sections dealing with Canada's place in the
Treaty of Versailles and in creating the League of Nations
the history and analysis of the farmers' movement in Canada
the record of the Prince of Wales' tour, the industrial and
labor situation and Canadian educational interests.
NATIONAL EXHIBITION AGAIN A SUCCESS
Attendance at the Canadian National Exhibition, Tor
onto, which closed on September 11, totalled 1,152,000, ai
average of S8.600 for the 13 days during which it was open
I^st year the attendance reached the record figure o)
1.201.000.
September 17, 1920
THE MONETARY TIMES
To the Shareholders
of
International Petroleum
Company, Limited
NOTICE is hereby given that a company has been in-
corporated under the laws of the Dominion of Canada under
the name of International Petroleum Company, Limited,
herein referred to as the New Company, and that an ar-
rangement has been made whereby the New Company will
issue to the Preference shareholders of the International
Petroleum Company, Limited, (Old Company), one Prefer-
ence share of $5.00 par value fully paid up and non-assess-
able and one share without nominal or par value of its
Common stock fully paid up and non-assessable in exchange
for each Preference share of the Old Company, and to the
Common shareholders of the Old Company two shares vjith-
mtt nominal or par value of its Common stock fully paid up
and non-assessable in exchange for each Common Share of
the Old Company.
The New Company proposes to issue 1,804,534 shares
without nominal or par value fullj' paid up and non-assess-
able of the New Company in exchange for 1,575,000 shares,
(being the whole of the outstanding stock), of the Tropical
Oil Company, a company incorporated under the laws of
the State of Delaware and holding concessions from the
Government of the United States of Columbia. The de-
livery to the New Company of 90% of the outstanding
stock of the Tropical Oil Company has been assured and
in the event of the whole of such outstanding stock not
being delivered then a pro rata reduction will be made in
the number of shares in the New Company to be exchanged
for the shares of the Tropical Oil Company delivered to it.
Holders of Bearer Share Warrants who surrender their
warrants to the International Petroleum Company, Limited,
(New Company) at 56 Church Street, Toronto, Canada,
or to the Farmers' Loan & Trust Company, 16-22 William
Street, New York City, U.S.A., between the 15th September,
1920 and the 30th September, 1920, inclusive will receive in
exchange therefor Bearer Share Warrants on the basis of
two shares of the Neiv Company for each share of the Old
Company surrendered, in accordance with the terms afore-
said.
No Warrants for "rights" will be issued and share-
holders who fail to exchange their old shares for the new
shares within the time limit and in the manner aforesaid
will subject these rights to forfeiture.
The books of the Company will be closed from the 10th
day of September, 1920, to the 30th day of September,
1920, inclusive, and no Bearer Share Warrants will be split
iluring that period.
Holders of Bearer Share Warrants are recommended
to send their Warrants by registered mail insured as the
Company is not responsible for Share Warrants lost in
transit and duplicate Share Warrants cannot be issued.
By Order of the Board,
J. R. CLARKE,
Dkbentt res; for Sale
$2,300,232.13
CITY OF OTT.VVVA, ONTARIO
DEBENTURES FOR SALE
Sealed tenders addressed to the "Chairman of the Board
of Control," and marked "Tenders for Debentures," will be re-
ceived by the City of Ottawa up to 3 p.m., standard time, on
Tuesday, the twenty-eighth day of September, 1920, for
the purchase of Debentures of the following amounts and
terms: —
I 85,307.31 10 years
357,562.68 15 years
448,362.14 20 years
1,409,000.00 30 years
$2,300,232.13
All Debentures bear interest at the rate of 6</<-, and are
issued on the instalment plan. That is to say each issue is
repaid in such annual amounts that the aggregate amounts
paid on principal and interest each year are equal. Each
Debenture is, however, for a definite amount payable at the
end of some year with interest coupons attached payable
semi-annually. Interest is payable 1st January and 1st
July.
The Debentures are an obligation of the City at large,
are issued in coupon form, with provision for registration
of principal, bear date 1st July, 1920, and are in denomina-
tions of $1,000.00, $500.00, $100.00, and odd amounts.
The City will make these Bonds payable either in Canada
alone or both in the United States and Canada, as may be
decided.
Debentures will be paid at the branches of the Bank
of Nova Scotia at Ottawa, Toronto and Montreal, and, if
payable in the United States, at the National Bank of Com-
merce, New York.
Tenders will be received as follows: (1) Bonds pay-
able as to principal and interest in Canada; (2) Bonds pay-
able both in Canada and the United States.
All tenders must be on the official form.
Accrued interest from the 1st July, 1920, must be paid
in addition to the price tendered.
Tenders specifying for Debentures other than those
herein described, or containing conditions varying from the
above, will not be considered.
Delivery of the Debentures \vill be made as soon as the
Debentures are printed and signed, upon payment of the
purchase money.
A certified cheque payable to the City Treasurer for
the sum of $10,000.00 must accompany the tender.
The highest or any tender not necessarily accepted.
Full particulars, together with further conditions and
official forms of tender, can be obtained on application to
the City Treasurer, City Hall, Ottawa, Ont.
HAROLD FISHER,
Mayor. 229
56 Church Street,
Toronto, Canada.
23rd August, 1920.
Secretary.
NATIONAL RAILWAY SERVICE ON PACIFIC
The Canadian National Railways have completed ar-
rangements for the inauguration of a trans-Pacific service
under the flag of the Canadian Government Merchant Marine,
Ltd. The trans-Pacific sonnce is the result of an engage-
ment with Messrs. A. Holt and Co.. of Liverpool, who will
be represented in the Orient by Messrs. Butterfield and
Swire.
THE MONETARY TIMES
Volume 65.
ECONOMIC ASPECTS OF IMMUiK ATION PKOHLEM*
Moro Topulation Will hv BeiU'Cuial to Canada. I'rovidi-d
Careful Selection is .Made — (. hanne in Dominion
(iovernment's Policy
Bv H. B. Keakns,
Union Bank, Alexandria, Out.
IMMIGRATION is the crucial economic factor in the pro-
Kress of the Dominion, and to this vital question our
government should bend due energies if our great Dominion
is to rise to the level of her destinies and take her place
among the great nations of the world.
The reason for this is that "every financial responsibility
that has been assumed for the development of Canada,
whether in pledging public credit for railways, for civic ex-
pansion, or for industrial enterprises, has been assumed on
the expectation of a greater increase of population than the
natural increase." The risk in such a policy is well shown
by the events of five years. The venom in the snake has
come to the surface, and in all truth it must be admitted
that among the worst snakes in the nest were those in whom
much confidence was placed, as evidenced in the recent "revo-
lution" in Winnipeg. It is this Bolshevism, in fact, that has
brought the problem of Canadian immigration sharply to
the fore. Consequently, the Department of Immigration and
Colonization has adopted the principle of "quality rather
than quantity."
The immigration policy which Canada is pursuing is
easily explained and just as easily justified on economic
grounds.
More Farmers (Jreatest Need
In the first place, there must be clear recognition that
there are two requirements, producing classes and laboring
classes. Canada must attend to the first before she can
justify attention to the second. There are in this country
unlimited production possibilities in the vast areas of un-
occupied agricultural lands. Only a small percentage of this
arable land is taken up. To extend the area of cultivation
is the prime necessity. To make these lands productive it
is necessary that there should be a great increase in the pro-
ducing population working on the soil. When this is accom-
plished and not until then, will there be increased demand
for industrial classes, whose support is mainly due to the
producing population. Hence Canada's immigration policy
is directed mainly towards the securing of prospective
farmers and those who anticipate living by farm labour.
Before dealing with immigration to Canada from an
economic or historical standpoint it may be well to study
the latest statistics of our good agricultural lands, that we
may have an idea as to the possibilities of Canada extend-
ing her producing element.
Plenty of Available Land
There are estimated to be 40,000,000 acres of land suit-
able for agriculture in the province of Quebec. Only 16,000,-
000 acres ore occupied, and only one-half of this is under
cultivation, or one-fifth of the total. The maritime pro-
vinces have "0.000.000 i 'o for agriculture and
U. 000,000 under cultivn has .'>0,000,000 acres of
agricultural lands, has ^ . . . res of it occupied and
14,000.000 cultivated. Manitoba has 40.000,000 acres of farm
lands and raises crops on onn-qunrtor of it. Sa.skntchcwnn
(the greatest whcal-pr"' nice in the Empire^ has
r.8.000.000 acres of land her .settlers have taken
up aO.OOO.OOO but have nOO acres under cultiva-
tion. Alberta, with the lai>:ct.l a«iicultural area of all the
provinces. 82,000.000 acres, has assigned 20.000,000 acres, and
of this 4,000.000 acres arc under cultivation. British Colum-
bia, with 25,000,000 acres of farm and fruit lands, has 3,-
000.000 acres occupied, but only one-third of this is actually
under cultivation. Thus it may be seen that the provinces
are cultivating only three-twentieths of their available land.
Irom the "Union Bank of Canada Monthly," July, 1020.
The question, from the standpoint of density of popula- 1
tion, may also be considered. Canada has fewer than two
persons per square mile. What of England and Wales?
Over (iOO to the square mile! In the United Kingdom there
are 373, in Austria 24(i, in Hungary 16(), in Belgium 650, and
in Germany 310, to the same area. Of course these figures
refer to the period before the great war. The recent rav-
ages of war will materially change them; but even with the
necessary deductions the comparisons will remain striking.
Quality is Now Emphasized '
These figures disclose that immigration is a matter of
immediate interest to all Canada. A sane and healthy im- :
migration policy is of vital importance from coast to coast.
There is truth in Rudyard Kipling's statement that Canada's
greatest need is to be supplied by pumping in the immigrants. '
Then, the vital question is where must she extend her supply
pipes to obtain desirable immigration. There is no doubt that
a great flood of immigrants could be precipitated by simply
throwing the doors wide open, but it is believed that the
policy of the Department of Immignition in insisting that
Canadian citizenship is a privilege to be enjoyed only by
those best qualified expresses the wish of the Canadian
people, and is the surest, if not the most rapid form of
nation-building.
Canada is receiving from sources which she regards as
highly satisfactory — the British Isles and the United States.
This double stream kneads quickly into Canadian national
life. Each part of it is desired. Americans of the farmer
class are immediately useful immigrants. They enter the
country singularly well equipped. These men know good
land when they see it. They come in with experience and
often with a considerable amount of money gained where
physical conditions strongly resemble those of their new
country. They can afford to wait the short time that must •
pass before they can harvest their first crop — and they know
from the beginning the difficulties to expect.
Some Canadians, by the way, are suspicious lest the
enthusiasm of Americans for Canada may develop for an-
nexation. To me this fear seems groundless. In general,
the newcomers are far too busy with their private affairs
to spare time for politics on the grand scale.
British vs. Foreign Immigration
The British are Canada's most desirable immigrants.
This is incontestable, though far be it from us to disparage
the excellent qualities of many of our foreign settlers. The
Empire's task is to find within the Empire the proper places
for all its peoples. This, until recently, she has failed to do.
Statistics show us that at the beginning of the century only
20 per cent, of British emigration was going to British
countries. In a score of years this proportion has risen to
approximately 90 per cent., with Canada having become the
chief hope of British statesmen in that regard. The need ^or
strengthening the tics that bind Canada to the mother country
is shown by the contrast that is drawn between the feeling
of Englishmen in Canada and in Australia. In Australia, he
finds the prevailing accent is that of London. He hears Eng-
land freely spoken of as "home." He finds no large element
of Republicans. In Canada a different spirit prevails. Loy-
alty is mixed with independence. Canada needs England,
but she will not cease being Canada on any terms. Canada's
course, then, is to expand her immigration from Great
Britain, which, owing to relative pressure of population,
means not Scotland or Ireland, but England.
Notwithstanding the regulations for the restrictions of
immigration from the Orient, certain classes of immigrants,
in particular British East Indians, were being induced to
. ome to Canada under circumstances which necessitated our
refusal of their admittance. Experience has shown that
immigrrants accustomed to tropical conditions are wholly un-
suited to this country, and that their inability readily to
adapt themselves to the ■lurroundings inevitably brings upon
them suffering also, that were such immigration allowed to
reach any considerable dimensions, it would result in a serious
September 17, 1920
THE MONETARY TIMES
27
THE ROYAL BANK
OF CANADA
Capital and Reserves
$38,000,000
Total Resources
$585,000,000
; CANADA X
A T' A
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BRITISH WEST INDIES
19
FRENCH WtST IIIDIES
4
CENTRAL & SOUTH AMERICA ]
ARGENT.NA. BRAZIL i URUGUAY
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.1 T L A .V TIC
Collections
handled upon
favorable terms
28
THE MONETARY TIMES
Volume 65.
disturbance to industrial and economic conditions in certain
portions of the Dominion.
Such an effective restriction of immigration is desirable,
therefore, not less in the interests of the East Indians them-
selves, than in the interests of Canadians. Moreover, the
whole subject of Oriental immigrration is one of first con-
cern to Canada, and affecting, as it does, the relations of
the Dominion with foreicrn powers, and the relations of our
people with British subjects of India, involves considerations
of the highest importance, not only to Canada, but to the
Empire. Then, it is desirable that on this important ques-
tion there should be as complete an exchange of views be-
tween the authorities of India and the governments of Great
Britain and Canada as may be possible.
The Hindu immigrant presents a complicated problem
by the fact that immigrants from India are fellow-British
subjects. Will Canada as a loyal colony injure the power
of the mother country by offending the Hindu, and thus
deepen their hatred for the Briti.sh? Canada tried to solve
this problem by providing that the Hindus could not enter
Canada unless they came direct from India, there being no
direct steamship line to bring them; but in 1914 a body of
some 350 sikhs tried to meet the issue by sailing direct from
India to Vancouver in the Japanese steamer "Komagata
Mam," led by Gurdit Singh. They arrived on May 23, but
were forbidden to land. For several weeks they lived in
their ship in the harbor. They tried several schemes to land
but these were abandoned. On July 13 the Court of Appeal
decided that they could not enter Canada. But this is not
expected to be the last of the Hindu efforts to enter the
Dominion. However, recent legislative enactments and regu-
lations in force have partly offset the difficulties. The auth-
orities of India have issued warnings whereby the natives
have become informed of the risks involved in emigrating
to Canada, and the actual conditions in so far as it is desir-
able that such should be known to persons about to sever
their connections with one country for the purpose of taking
up residence in another.
Many Defectives Admitted
In .spue ol strict immigration laws, the Department of
Immigration has been unsuccessful in prohibiting large num-
bers of defective immigrants fro)n invading our Dominion.
If you are familiar with the results of the investigation by
C. K. Clarke, M.D., Medical Director Canadian National Com-
mitte for Mental Hygiene, you will agree with me that the
supply pipes should not have boon allowed to tap streams
reeking with insanity, crime and degeneracy. When an
analysis was made of the criminality, prostitution, illegiti-
macy, poverty, etc., it was shown that if the defectives
were carefuly eliminated these problems would be so simpli-
fled that crime and vice could no longer exist. When mak-
ing an analysis of the figures at hand it became apparent
lit once that the inspection at the ports of deborkation had
been o failure and numbers of children whose defects would
have been detected by a capable tyro in psychiatry, have
in.ised the so-collcd tests with success, and consequently the
country has been forced to assume the maintenance of large
nuniber.s of peoples to whom no obligation is due.
However, "there has been a radical change in Canadian
immigration," states Hon. J. A. Colder, in the March issue of
the "Courier." So successful have been the immigration offi-
cials in their t^fforts to protect Canada from undesirable im-
migrants that in lOlii, 20,708 persons seeking admission into
the Dominion were turned back.
Total immigration to Canada for 1910 totalled 117,633.
on increase of 67..'?63 over 1018. or 134 per cent. Of this
67,251 were British, 52,064 Americans ond 8,318 from other
countries. These figures harmonize with the views of Can-
adian immigration schemes, that is. to have the bulk of our
immigration from Great Britain and the United States. If
we continue to pledge ourselves to such a policy, well might
wp look forward to the time when Canada will be, as
lord Grey predicted, "Canada the centrr <•( '''•• Knipire; the
li;uler of Britannic Nations."
SASKATCHEWAN WATER SUPPLY
Seven million dollars is the minimum cost at which the
southern part of the province can be supplied with water
fruni the South Saskatchewan River. This is the estimate
of the Saskatchewan Water Supply Co., and is based on a
wood stave pipe line being used. If a concrete pipe line is
adopted the cost will be eleven million dollars. Should it be
found necessary to adopt this type of construction to make
the scheme a success, it would be financially impracticable
at the present time, according to Major A. J. McPherson,
chairman of the commission. A steel pipe line would cost
thirteen million dollars.
SASKATCHEWAN FARMERS FINANCED
About five hundred Saskatchewan farmers, who, owing
to crop failure, were unable last year to meet their notes
given for lumber and agricultural implements, or to pay the
interest or principal falling due on their real estate mort-
gages, were protected by the provincial government. The
government interceded with their creditors and secured ex-
tension of credit for them. This was made public recently
by Edward Oliver, secretary of the bureau of statistics, of
the Saskatchewan department of agriculture, who was desig-
nated by the government to handle this work.
TRUSTEES UNDER BANKRUPTCY ACT
The following have been appointed authorized trustees
under the Bankruptcy Act: Nova Scotia, G. E. Faulkner,
Halifax. Ontario, S. J. Fream, Toronto; J. M.Johnston, Corn-
wall; H. Rowlatt, Toronto; R. E. Burns, Kingston; P. W.
Raymond, London; A. B. Lee, Woodstock. Quebec, J. 0.
Bonnier, Montreal; A. B. Brodie, Montreal; the Bankers'
Trust Company, Montreal; A. Desmarteau, Montreal; T. Y.
Foster, Montreal; H. M. Gardner, Montreal; F. R. Paquet,
Montreal, and H. Bisson, Three Rivers. Saskatchewan,
Executors and Administrators' Trust Company, Limited,
Moose Jaw. Alberta, J. G. Edgar, Calgary. British Colum-
bia, R. M. Ellis, Vancouver.
PLANS FOR BRITISH EMPIRE EXHIBITION
Preparations are being made for an exhibition to be
held in London in 1923, to celebrate the achievements of the
British Empire in the war. The proposal to hold an inter-
imperial Exhibition in London was initiated by Lord Strath-
cona about a year before the war, on the outbreak of which
the matter fell into abeyance. Since the cessation of hostili-
ties, however, the scheme has been revived, and at a meet-
ing held at the British Empire Club, under the auspices of
the British Empire League, on the 20th May, 1919, attended
by Ministers, High Commissioners and Agents-General of
the Overseas Dominions, a unanimous resolution was pacsed
in favor of holding in London, in the summer of 1921, a
great exhibition of the manufactures and products of the
Empire.
Since that date a good deal of preliminary work has
been done, but it is not anticipated that an exhibition on the
scale contemplated can be held before 1923. The project
has now received the warm support of the Imperial govern-
ment, who have decided to introduce to pariiament a special
bill to enable them to participate in the guarantee fund.
The site of the exhibition has not yet been definitely fixed,
but the question of a suit.ible position is being carefully
con^dered. The exhibition is not being organized for profit;
any surplus which may be available at its close will be de-
xoted to some public or chnrit.-.ble object. It will be financed
by means of credits obtained from banks on the security of
a Punrontee fund to which R.M. government have agreed,
subject to the sanction of parliament, to contribute £100,000.
September 17, 1920 THE MONETARY TIMES 29
giiiiiiniiiiiiiiiiiiiiiiuiMniiiiiiiiiMiiiiMiiiiiiiiiiiiiiniiiiiiittiiiiiiiiiiiiniiiiiiniiiiiiiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiMiMiiiiiiuiiiiiniiiiiu
I CHARTERED ACCOUNTANTS |
?iiiiiiiiiiiiiiiiiiiiiiMiniiniuMiiiiinniiiMiiinniiiiiiniiiMiuiMiMiiiiiMiiiiiiiiiiiiiiiiiiiiiiMiiiiiiiiiiiiiiiiiiiuiiiinuiiMiiiiiniiiiMuiiiiiiniiiiiiir
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OI-FICES AT
Edmonton . Alberta
Toronto - - Ont.
CHARLES D. CORBOULD
Chartered Accountant and Auditor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipes
Correspondents at Toronto. London. EnR..
HARBINSON & ALLEN
Chartered Accounljnii
408 Manning Chambers
TORONTO
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Specialist on Taxation Problems
Bank of Toronto Chambers
LONDON - ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
W. A. Henderson & Co.
Chartered .Accountants
508-S09 Electric Railway Cbambers
Winnipeg, Man.
W, A. Henderson. C.A. J. J. Cordnfr.C.A.
C-^hle Address ■'Ornil.^" "V,s,tr„ IVi-n CcKJc
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West ■ TORONTO
AND AT:-
HAMILTON
WINNIPEG
CLEVELAND
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 Confederation Life Building
Winnipeg
SERVICE
Thorne, Mulholland, Howson & McPherson
CHARTERED ACCOUNTANTS
3420
TORONTO
Hubert Reade & Company
Chartered Accountants
Auditors, Etc.
407 408 MONTREAL TRUST BUILDING
WINNIPEG
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Main 701 ■»
LUMSDEN BUILDING - - TORONTO, CANADA
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRIGGS 4 CO.
Winnlpet, Toronto, Saskatoon, Moose Jav
Montreal, New York, London, Eng.
CLARKSON, GORDON & DILWORTH
Chartered Accountan tn. Fruatceii.
Rece'vers. Liauidators
Merchant. Bank Bldg., 15 Wellington Street We.t ToronI
O T. Cl»rl(s
K'tahli-h.d lw-< R I. ndwr
F. C.S. TURNER & CO.
Chartered Accounlantt
TRUST & LOAN BUILDING, WINNIPEG
Your card here would ensure it being icen by the principal
financial and commercial interests in Canada.
Asit about special rates fur this pane.
RUTHERFORD WILLIAMSON I CO.
Chartered Accnunt.inlf. Trustees onri
Liguittatora
tn Ar>Pl.»mK Stfkit Bast. TORONTO
eat .McOiLL Buiuniso. .MO.VTREAL
Cable Address-' WILLCO."
Represented at Halifax. St. John. Winnipeg,
THE MONETARY TIMES
Volume 65.
LIMITATION OK SIXTKITY I$O.M)
Arniiiint Specilivd is Intended as a I'rotection to Hank, Not
a Prohibition Against Advancing More
IN a recent case before the Supreme Court of Ontario the
court had occasion to interpret a bond given by two men,
Mills and Howell, to the Dime Savings Bank to guarantee
payment of loans to a company which they were organizing,
and also to determine the liability of the guarantors ac-
cording to the terms of the bond. The bond was conditioned
as follows: "Now, therefore, for value received, we, the
undersigned, Lawrence C. Howell, of Gait, Ontario, and
Thomas Mills, of Kingston, Ontario, hereby, jointly and
severally, guarantee the payment of any and all sums of
money which may at any time hereafter be owing and pay-
able by Steams-Knight Detroit Co. when organized to said
bank, not exceeding si.\ thousand dollars ($f<.000) at any one
time, upon notes, acceptances, endorsements, overdrafts to
be made by said corporation when organized or upon any
account whatsoever.
"Acceptances of this guarantee, notice of default, re-
newal or extension of time of payment of any part of said
indebtedness, any releases thereof, addition thereto, or change
or other form of security are hereby waived and agreed to.
"This guarantee is a continuing guarantee, covering all
indebtedness of said Steams-Knight Detroit Co. when or-
ganized to said bank, not exceeding six thousand dollars
(?6,000) at any one time upon any account whatsoever until
revoked by notice given to said bank."
Judgment of the Court
In their judgment their lordships say: —
"The first recital set out that the corporation 'wishes
and expects to borrow . . . divers sums of money from
time to time, not to exceed $6,000 at any one time, upon
notes, endorsements, acceptances and any account whatever.'
"The second recital reads that the respondents agreed
'to loan to the said corporation, sums of money, from time
to time as above st'jte<l, not exceeding $6,000 at any one
time, upon notes, acceptances, endorsements, overdrafts, etc.,
made or endorsed or upon any account whatsoever provided
that the payment of the said loans be guaranteed by the
undersigned.'
"Two points arc raised : first, that the recitals govern
the operative parts of the bond, bo that the appellants are
not liable if at any time the respondents had advanced more
than $6,000; and second, that the agreement between the
re.npondents and the company contained in the guarantee,
being the basis of the appellants' liability, couid not be de-
parted from, and if in fact more than $6,000 was, at any
one time, due to ihe respondents, the bond was void.
"Both these objections amount really to the same filing,
as each suggests that the bond, when properly construed,
prevented the reppondenf."! from exceeding the limit of $6,000
!it any one time.
I.imltntir>n tif Itiind
"In my opinion, the bond primarily contemplates direct
advances to the company up to $6,000 to enable it to begin
operations and finance them. It w.ns, I think, contemplated
that in the course of business customer's notes for pur-
chased motor.<t might be discounted by the 'company, and
thus an addition to the $6,000 would be created. This would
be natural, while a limitation of the advances upon the com-
pany's own notes or endorsements for plant or operating ex-
penses, etc.. might well be insisted on from motives of
prudence. The real meaning of the guarantee seems to be
expressed in the last paragi'aph of the bond, where it is
said that the guarantee is to be a 'continuing guarantee
covering all indebtedness (of the company) to said bank-
note excieiling $6,000 at any one time upon any amount
whatsoever.'
1 rend this as meaning that the sureties were notwith-
standing renewals, extensions, additions or charges to be
liable "on anv .icrounl wh.if soever" .-inlv to tin. fct.nt r.(
$6,000 at any time, and that when they chose to revoke 'oy
notice they could do so, their liability being then fixed by
the limited amount. The limitation of .?6,000 is intended as
a protection to the bank, not a prohibition ag-ainst advanc-
ing more than that amount."
SUIT REGARDING STEEL RAILS
A suit involving several million dollars, the point at
issue being the value of steel rails which the Dominion gov-
ernment, under the authority of the War Measures Act, com-
pelled the Dominion Iron and Steel Co. to roll during the war
period for the use of Canadian railways, is being heard by
the Exchequer Court of Canada, at a sitting which opened
on September 7. The amount involved is .$8,727,617, less
cash already advanced to the extent of $5,.500,000. This
makes the actual amount in dispute upward of three and
one-quarter millions with interest.
"The amount of rails rolled under the government's order
was something in excess of 100,000 tons, for which the com-
pany seeks payment at the rate of $75 per ton. As the
government considered the price too high, provision was
made by order-in-eouncil for a reference of the dispute to
the Exchequer Court. The rails were delivered under the
government order to the Grand Trunk, Canadian Pacific and
otl\er roads. These railways have been made parties to the
proceedings before the Exchequer Court, the purpose being
to have the court declare that the railways must pay for the
rails received the amount the court finds to be fair and reas-
onable.
WITHDRAWAL FROM JOINT ACCOUNT
Action of Helen Grannen, niece of the late Owen Shor-
till, of North Devon, N.B., in drawing $1,200 from their joint
account at the Bank of Montreal, after the death of Shortill,
is being contested in court by Frank Shortill, son of Owen
Shortill, who inherits the whole estatp under a will. The
hearing was concluded on September 9, and Chief Justice
Hazen reserved judgment. The late Owen Shortill in making
his will about 1906 left all his property, personal and real,
to his son, the plaintiff in the case. About six years ago the
decea.sed and his niece opened a joint bank account at the"
Bank' of Montreal, in Fredericton, and after the death of
the deceased Miss Grannen drew out the depo.sit which
amounted to about $1,200. The plaintiff claims that he was
entitled to the money and brought action for the purpose of
obtaining it.
DOMINION TRUST LIQUIDATION
On .\ugust 21 J. C. Gwynn, liquidator of the Dominion
Trust Co., obtained the con.^ent of the shareholders of the
old company, the Dominion Trust Co.. Ltd., to a settlement.
The sum of $25,000 out of $26,000 already collected by Mr.
Gwjnn from shareholders of the old company is to be handed
back, and the liquidation of the old company is to proceed
voluntarily. Calls of $67,000 on shareholders of the old
company and $."{.5,000 on shareholders of the new company
are to be paid.
A settlement was also made of the litigation between
J. W. Oxlcy. one of the largest English creditors, and the
liquidation. The settlements will clear the way and enable
Mr. Gwynn to apply to the courts for leave to pay a dividend
to the creditors and depositors of the Dominion Trust com-
pany out of the moneys he has realized.
Some useful "Notes on the Dominion Bankruptcy Act"
have been published in the form of a 20-page pamphlet, by
Salter and Arnold. Ltd., assignees and liquidators, of Win-
lunri' .Til, I IJnn-ina.
September 17, 1920
THE MONETARY TIMES
31
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I REPRESENTATIVE LEGAL FIRMS \
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BRANDON
J. p. Kilsour, K.C.
G. H Fos
H. McQue
KILGOUR, FOSTER & McQUEEN
Barristers, Solicitors, Etc., Brandon, Man.
Solicitors for the Bank of Montreal. The
Royal Bank of Canada- Hamilton Provident
and Loan Society. North American Life
Assurance Company.
LETHBRIDGE, Alta.
Conybeare, Church & Davidson
BarristerB. Solicitors. Etc.
Solicitors for Bank of Montreal. The Trust
and Loan Co of CanadiA, British Canadian
Trust Co.. &c.. Ac.
C. F. P. Conybeare. K.C, H W. Church, M.A
R. R. Davidson. LL.B.
I^ethbridge - - • Altf».
PRINCE ALBERT
COLIN E. BAKER, B.A.
Solictor for the City of Prince Albert
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal BIdg.
CALGARY - - ALTA.
W.P.W.Lent Alex. B.Mackay, M.A. , LL.B.
H. D. Mann, HA. .LL.B.
LENT, MACKAY & MANN
BarriDtera, i^ollcltors, .\otarle!>, Ktc.
305 Grain Exchange Bldg , Calgary, Alberta
Cable Address. " Lenjo." Western UnionCode
Solicitors for The Standard Bank of Canada,
Th« Northern Trusts Co.. Associated Mort-
gage Investors. &c.
Hon. Sir James Lougheed. K.C. K.C.M.G..
R. B. Bennett. K.C, J. C Brokovski, K.C
A. M, Sinclair. K,C., D, L. Redman, H. E.
Forster, P. D. McAlpine. O. H. E. Might. L.
M. Roberts. f Cable Address 'Loughnett")
LOUGHEED. BENNETT ^fe CO.
Barristers. Solicitors. Etc.
Clarence Block. 122 Eighth Avenue West
CALGARY. ALBERTA. CANADA
J. A. Wright, LL.B.
C. A. Wrioht. B.C.L.
WRIGHT &WRIGHT
Barristers, Solicitors, yolaries, t tc.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
Hon. AC. Rutherford, K.C.LL.D.
PC. Jamieson. Iv C. Chas H. Grant
S. H. McCuaig Cecil RutherforJ
RUTHERFORD, JAMIESON
& GRANT
Barristers, Solicitors, Etc.
514-18 McLeod BIdg. Edmonton, Alberta
L. M. Johnstone. K.C. J. Norman Ritchie
W. S. Gray
JOHNSTONE & RITCHIE
Barristers, Solicitors, Notaries
LETHBRIDGE - Alberta
MEDICINE HAT
G. F. H. Long.
LL.B.
J. W. Sleight, HA.
LONG
&
SLEIGHT
Barrist
ers, etc.
MEDICINE
HAT
and BROOKS. Alta,
MOOSE JAW
Grayson, Emerson & McTaggart
Barristers. Etc.
Solicitors-Bank of .Montreal
Canadian Bank of Commerce
Moose Jaw - Saskatchewan
NEW WESTMINSTER
JOHN W. DIXIE
Barrister and Solicitor
405 Westminster Trust Building
NEW WESTMINSTER, B.C.
EDMONTON
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
Called toOnt:.r,oB..r IIWI, .Vew York B;,r mi
ELLISON. ELLISON & ERASER
IIIK Bronilway, Nrw Vork
ELLISON. GOLDSMITH & ALLEN
•J.M «i«l lOllh "*!.. ><■" \"rU
REGINA
A. L. Gordon. KC P. H. Uordon, B.C L.
H.E. Keown P. P. Collins
Gordon, Gordon, Keown
and Collins
Bar
isters. Solicitors, &c.
Aldon Building, REGINA, Sask. |
Solicitors
for Imperial Bank of Canada |
SASKATOON
C 1. Dtun:. U A. U. .M. W,>khi.iho
DURIE & WAKELING
Solicitors for the Bank of Hamilton. The
Jreat West Permanent Loan Co. The
itonarch Life Assurance Co.
Canada ItulUllns
Snakaloon, <:a
ChT; G. Locke. .Major J. McAughey.O.B.B.
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
W. J. Ho
K L
S. WallliriJKc AH. D.xiRlas J. (j Gibson
BOWSER, REID, WALLBRIDGE
DOUGLAS & GIBSON
Barristers, Solicitors. Etc.
Jjnk of M.intrcil (HanUul
Sol
ich)
ish North Amen
Yorkikirr BuilJio». 525 Seymoor Si.. V.ncoOYer. B.C.
VICTORIA
A K
(K.C.
.\Kmbcr
lia. Alh.
UCNLlll'
for Alberta)
of Nova Sco.
r(;l and Bnt.
,iinhi;i H.irs
H. H. .M. l-OOT
.Member of Manitoba
and British Columbia
liars
DUNLOP
&
FOOT
Notn
Vic
Barristers,
ries and C
6I2-6i:i Sny
or^n. Briti.h C
Sol
wi.rd
ol<in<
citor.
tniKsionera
Bldu.
bin. Cnnndn
J. A. THOMPSON & CO.
Government and Municipal Securities
Wealcru Muiilrlpal. Silioul and '*""''»*',",';","",_
phone ««. deh.ntnre» »perlall/.cd In
COi<Kl-;SPONDEN-CR INVITBD
Union Bank Building
WINNIPEG
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE • REALTY
432 Pender Street, W., Vancouver, B.C.
Dr.J.W.M*HAN J.A. WHST.MAN
President Managing Director
32
THE MONETARY TIMES
News of Industrial Development in Canada
Dominion Steel HuildinR up European Market— Lar^e Shipments of Plate Made to England for
Distribution on the Continent Opportunities for Huildinp up Linen Industry Here are Good— New-
foundland Pulpwood Resources to he Developed— British and Norwegian Capitalists are Interested
SHIPMENTS of steel to England are now being made by
the Dominion Iron and Steel Company, subsidiary of the
Dominion Steel Corporation, according to an announcement
from Sydney, N.S. Cargoes of plates manufactured at the
recently erected mill at the local works have been shipped to
London and Leith, via Montreal, for distribution on the
continent. Birkenhead, one of the leading shipbuilding
centres of the British Isles, has received a consignment, and
an order has also been delivered at Glasgow, Scotland.
These shipments, it is stated, are not chance orders, but
comprise large shipments of plates, and in some instances
repeat orders have followed the initial order. The company
hopes to continue exports of this kind for an indefinite
period, because the demand for steel in Europe is so great,
and as a result, the company has deemed it expedient to
again operate the Bessemer plant. That department is now
being prepared for business and will probably be in operation
next month. While building up a European market, the com-
pany is not neglecting the home trade, large shipments hav-
ing been made regularly to Halifax and Montreal, for ship-
building purposes.
While in Jlonlreal recently, Roy M. Wolvin, president
of the Dominion Steel Corporation, made the statement that
plenty of orders are ahead of the company. He said that
the steel works at Sydney are at present very prosperously
employed, and are working to full capacity. He referred to
the production at the coal mines as disappointing.
Opportunities for Linen Industry
For the i)urpose of marketing six thousand tons of flax
fibre and two hundred thousand bushels of fibre flax, R. J.
Hutchinson, flax expert of the Dominion Government, is
now in Europe. The flax crop in Canada is reported as being
exceptional, and it is estimated that 30,000 acres of land
were placed under cultivation this vear, as compared with
18,000 in 1019.
A representative of the Brookficld Linen Company, Bel-
fast, Ireland, has been investigating the possibilities of the
linen industry in Canada, and it is intimated that the firm
will commence to grow flax in Quebec, and if this is success-
ful, build a spinning mill. The Federal Flax Co., Ltd., re-
cently incorporated for $2r)0,000 in Montreal, will grow fibre
flax in Quebec and build a mill.
Develop Newfoundland Pulp Resources
Development of the large pulpwood resources of New-
foundland is about to be undertaken under grants to two pulp
and pnper companies made at the last session of the legis-
lature, according to announcement from St. John. One of
these companies is British and the other Norwegian.
The mills of the British concern will be locatecl at
Bonne Bay. halfway up the west coast. This port is the
centre of the winter herring fishing activities. In its vicinity
are large areas thickly wooded with spruce and fir. through
which flow rivers which will aff'ord good water power as well
as facilities for floating logs. Bonnvista Bay. on the cast
coast, is to be the site of the Norwegian company's mill.
Codfishing at present is the great industn,- there. Backward
from the bay runs a scries of well-wooded valleys, drained
hy rivers of good size.
At present the only pulp and paper mills in the island
are at Grand Falls, in the interior, where the Anglo-New-
foundland Development Co. some years ago established an
extensive plant which supplies the Northcliffe papers in Eng-
land with most of their paper. Before the war capitalists
were negotiating for other similar projects. The extensive
timber holdings of the Reid-Newfoundland Co., obtained as
part of their compensation from the government for open-
ing up a large part of the colony with a railway line, also
are expected to be utilized for pulp-making in the near future.
Still another project in contemplation is the establishment
of paper and pulp mills, saw mills and veneer mills for the
manufacture of birch into boxes and barrels, at St. George's,
on the west coast. ,
The company promoting the St. George's enterprise is
composed of British and American capitalists, who control
1,500 square miles of timberland in that " vicinity and 1,000
square miles bordering on Grand Lake, the largest body of
water in the colony. The upper end of the lake has direct
retail connection with St. George's.
Coast Trade Prospects Good
On his return from the Pacific coast, Hon. C. C. Ballan-
tyne, minister of marine and fisheries for Canada, was
optimistic as to the trade outlook of that part of the country.
Of the export trade from British Columbia, Mr. Ballan-
tyne expressed the opinion that it is only in its infancy. The
government, he said, are at present running ships from Van-
couver to Australia and New Zealand, and also to the United
Kingdom. These ships so far have had no diflficulty in obtain-
ing large cargoes both ways. The Canadian Government
Merchant Marine, which is the operating company, will pu.t
on a line to India on November 1. They have also under con-
sideration running ships from British Columbia ports to West
Africa, to South America and the West Indies. The govern-
ment, when all their ships under construction on the Pa-
cific coast are completed, will have sixteen shijis in commis-
sion of 120,000 net tonnage, and these ships will all be oper-
ated from British Columbia ports.
New Tord Factory in Montreal
A five million dollar automobile factory will shortly be
established in Montreal by the Ford Co. -Arrangements for
that purpose are now being made.
The plant of the British-.\merican Shipbuilding Co.,
Welland, Ont, will shortly be closed down permanently. The
"Canadian Squatter," which is now being finished to the
order of the Dominion government, will be completed by
that time and will be towed to Montreal for assembly. The
plant will be sold and the buildings and machinery will be
removed. When the shipyard was working at full capacity,
there were 570 men employed, but latterly there have been
only 150 on the payroll.
"The minister of lands for British Columbia announces
that in order to encourage the establishment of more pulp
mills in the province, the government may cut in half the
timber license fees on areas better suited to pulp and paper
than to lumbering. The section of Prince George is believed
to be one that will benefit very largely from this concession.
French and United States interests have been obtaining in-
formation with a view to establishing pulp mills in this area.
Good progress is reported by the Fort William Paper
Co., Ltd., recently organized, whose new mill at Fort Wil-
liam is now under construction. The unit being built is a
ground-wood mill, with a capacity of 120 tons of ground-
wood per day. Later, the company will erect paper mills,
installing at first a couple of machines to turn out 100 tons
a day.
The Matane Lumber and Development Co., Quebec, Que.,
owned by O'Brien and Dohcny, has sold all its assets, real
and personal, to the Hammermill Paper Co.. of Erie. Pennsyl-
vania The deal, which involves a price of several millions
of dollars, was completed la.st week in Montreal. The timber
September 17, 1920
THE MONETARY TIMES
The Imperial
Guarantee and Accident
Insureuice Company
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident In^^urance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - - SJOii,OOO.C»0
Authorized Capital
Subscribed Capital
Government' Deposits
SI, 000, (XXI. (XI
SI. 000, 0(10. 00
SIU.OOO.OO
CANADIAN STRONG
PROGRESSIVE
FIRE INSURANCE
AT TARIFF RATES
LONDON
C UARANTEE AND
ACCIDENT COY.. Limited
Head Office for Canada - Toronto
lycrs Liability. EUvator. Contract Personal Accident, Fidelity
Guarantee. Internal Kevenue, Sickness. Court Bonds,
Teams ami Automobile.
AND FIRE INSURANCE
IT PAYS TO INSURE YOUR AUTOMOBILE
WITH
The Canadian Surety Company
Maximum Service.
Mi>
Cost.
Commercial Union Assurance Co.
Limited, of London, England
Capital Fully Subscribed 8 H. 750,000
Capital Paid Up 7.375.000
Total -Annual Income Exceeds 75,000,000
Total Funds Exceed 209,000,000
Head Office Canadian Branch :
COMMERCIAL UNION BUILDING MONTREAL
\V. S. JOPLI.NG. .VUnageh
Toronto Office - 49 WellingtoD Street East
G80. R. HARORAPT, General Agent for Toronto and County of York
Automobile— 1 920"Season
Policies to cover ANY or ALL motoring risks
ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
82-88 King Street East, Toronto
General
Fire
Capital Subtcribed - $500,000
Inssraoce
Accident
, ::^t*i.'^;'/S. .
Heal til
Fiaelilr
Bonds
Pltle
mmon
l^tenGoMPAp
Class
BnrjUry j^
'^ '•^NNTF'P ( . ^ ' \ ' . ■T<M^T- ''
Automobile
Insurance
Fire and
Theft
Liabililj
Propertj
Oamate
CoUision
BoUer
Explosion
A. E. Hab. Vict-Prcsident
J. O. Meus. Scc.-Treas.
Good Openi
Ho-lB Okhcb
ICth Floor, Electric Railway Cha
28 for Live Auenla
THE EMPLOYERS'
LIABILITY ASSURANCE CORPORATION
OF LONDON, ENG. LIMITED
ISSLI-S
Personal Accident Sickness
Kmployers' Liabiliiy Automobile
Workinen's Compensation Fidelity Guarantee
and Fire Insurance Policies
C. W. I. WOODLAND
General .Mnn,iKi-r for Canad;i ami Newfouiiillainl
Lewis Builiiini;.
MONTRi:.-VL
JOHN JENKINS,
Firif Manager
Temple HIiIk
TORONTO
THE MONETARY TIMES
Volume 65.
lands acquired with the mill site, river improvements, etc.,
lie on the rivers Matane and Cap Chat, on the south shore
of the St. Lawrence, comprising an area of l.!3,000 acres.
Miscellaneous Trade Notes
Construction on the new factory of the Imperial Steel
and Wire Company has commenced at Collingwood, Ont. Ihe
new building will be much along the same line as that which
was burned in May, 1919, only more extensive, ami it is
stated that the output of the new plant when completed will
be 200 tons of wire products per day.
Plans for a big pulp mill on the Queen Charlotte Islands
are being prepared by the M^^^*^* '^'"^''7 ComrnnooOO
Masset, B.C. The company's output of logs totals 10,000,000
feet per month.
Within two months Baldwin's Canadian Steel Corpora-
tion, now operating at .A.shbridge's Bay, Toronto, hope to
have eight mills in operation at their plant, according to Sir
Charles Wright, who has just left for England after a visit
here He stated that the company had assurances of sut-
ficient electrical power to run the eight mills, and had a
further assurance from Sir .\dam Beck that in another year
there would be power enough to supply any extensions the
Baldwins might make.
With a capitalization of $;?.000,000, the Ruggles Motor
Truck Company. Limited, has been incorporated. Property
on Dundas Street, immediately east of the McCormick fac-
tor%-, London, Ont., has been purchased, and it is expected
that tenders will be called for the new building within twenty
davs. The plans are now with the company s architects. As
soon as possible the building will be commenced. In the mean-
time temporary quarters are being secured and manufactur-
ing will start almost at once. Already the company has suf-
ficient export orders on hand to keep the London factory
running full time for one year.
Three assembling plants will be erected in Canada by
the Ford Motor Company, involving an expenditure of about
jr,,000.000. Alrca.ly a site has been selected for eastern
Canada at Lancaster, N.B.
POST OFFICE SAVINGS BANKS
Deposits in the Post Office Savings Banks durmg April,
19'>0 totalled $537,31(>, as compared with ?fi82.979 m the
previous month. Withdrawals for the month amounted to
<! "11 708 thereby reducing the balance to the credit of de-
positors from $:n;(i05.59-l at the end of March, to ?30,9I0.-161.
The following is *e statement:
BauiNCi In hand* of (ha Mlnl>*
o( Pinlinccor3l5t M •"""
19'i0. 3l.8M.S'l| ;
S37.1II. .
XPOHIK tranifcrrcd from the
Pott Oftlce Sa»in«» lUnk of the
Unlltd Kingdom to tht Po^l
omcc Styin«» Uank otC«naJ»
iMTMRIiaT Bccnicd on depositor
account*^ and mado princ pi
Slat Mar. lino, estimate.
NEW INCORPOK.VTIONS j
Lake St. John Pulp and Paper Co.. Ltd.. Montreal, Que.,
S4 000 000— Traders Finance Corp., Ltd., W mnipeg,
Man., $3,000,000
The following is a list of companies recently incorpor-
ated under Dominion and provincial laws, with the head
office and the authorized capital: —
Sniithers. B.C.— Steamship Mining Co.. Ltd., $400,000.
(iovi-nlock, Sa.sk.— Govenlock Exporting Co., Ltd., $5,400.
(<uinlon, Sask.— Quinton Farmers' Hall Association, Ltd.,
.>o,000. „ ^ ,
Eslevan, Sask.— E.stevan Exporters and Wine Co., Ltd.,
¥20,000. ' . r J
Stc Therese, Que.— Valade Printing and Publishing, Ltd.,
?20,000.
DrumhelUr. .Mta.— Alberta Cartage and Storage Co.,
Ltd., .?20,000.
Campbclllon, N.B.— Harry A. McLennan, Ltd., $25,000;
Renault Bros., Ltd., $49,000.
Saskatoon, Sask.— Visas Oil Co., Ltd., $50,000; United
Farmers' Grain Co., Ltd., $20,000.
Victoria, B.C.— Clarke Printing Co., Ltd., $100,000;
Trader Steamship Co., Ltd., §25,000.
Calgary, Alta.— Mount Royal Pharmacy, Ltd., $15,000;
Wood-Roberts, Ltd., $20,000; Alberta Motor Owners Mutual
Agencies, Ltd., SoO.OOO.
Winnipeg, Man.— Traders' Finance Corporation, Ltd.,
$3,000,000; Domasco, Ltd., $50,000; W. J. Clubb, Ltd., $100,-
000; Red River Pharmacy, Ltd., $20,000.
Edmonton, Alta.— Northern Garage, Ltd., $20,000;
Motor Equipments, Ltd., $20,000; Namayo Avenue Spur
Track Co., Ltd., $5,000; Western Consolidated Hard Coal
Co., Ltd., $200,000.
Vancouver, B.C.— Mackinlay Film Co., Ltd., $15,000;
Robert McDonald, Ltd., $100,000; King-Baach Manufacturing
Co. (1920), Ltd., $500,000; Giant Motor Truck Co., Ltd.,
$100,000: Tax Sale Homesites, Ltd., $10,000; Mary J. Faulk-
ner (Toronto), Ltd., $10,000.
Montreal. Que.— Elite Footwear Co.. Ltd.. $100,000; Lake
St. John Pulp and Paper Co., Ltd., $4,000,000; Economy
Realty and Investment Co., Ltd., $100,000; Mercantile Cor-
poration, Ltd., $200,000; Industrial Equipments Co., Ltd.,
.'i:20.000; Russian-Canadian Social Club, $10,000; Corona
Breweries, Ltd., $10,000.
DOMINION GOVERNMENT SAVINGS BANKS
Deposits in the Dominion Government Savings Banks irt
June, 1920, increased about $21,000, as compared with May,
but, notwithstanding, were some s:',.(ino uTufci- withdrawals.
The following are the returns :-
I Deposits T„..i Withilraw U^lar^. or.
BANK for nJ°"iL alsfor June 30.
.Uinc \9X "«PO»«» June IMO 1920
>.!>«0.4ai.2l
.M.'W.I6R.tfi
Pritue Bdvard liland .—
Chariot tetown
,V«w BruftMU-icti:—
Newcaatle /
Traoater \
St. John
Nova Sootia
BarrinRton
Ouyaboro'
Halifai
KcntTillc
Luncnbunt
Port Hood
Traosf
Slicrbrookc
Totala
1.130,057.72
1,794,722.29
I 71.521.771
929.00' 78.4^.;.i;(
24.7Q.8-il 2,362,Sfl,1 ;ll
5,265.00, 248.R22.7l<
4.310.36! 414,408.53
2.028.00{ 66,066.76
2l3,33l,64i|0.897,!27.5S
27,9115.09 1.092,062.63
■28,624.521 1.768.097.77
202.81 71.318.96
I.573..57 76,848.86
42,647.57 2.320,156.34
7,198.011 241.624.77
8.475.S8 405,932.55
827.69 65,239 0'.
216,279.44' 10.680,848.0!
Ssptembcr 17, 1920
THE .MONETARY TIMES
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS .... 24,600,000.00
UBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG, MAN.'
Assurances, New and Revived - - - 81,211,447.00
Premiums on same .... 4.3,890.00
.\ssurances in Force ... . 3.458.939.00
Total Premium Income - - - - 109,586.03
Policy Reserves .... . 211,497.00
Admitted Assets 296,430.62
Average Policy ... . . 2,237.50
Collected in cash per SI, 000 insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director - - Winnipeg.
STRIDING AHEAD
These are wonderful days for life insurance salesmen,
particularly North American Life men Our representa-
tives are placing unprecedented amounts of new business.
All 1919 records are being smashed.
" Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your openini;. Write us for full
particulars.
Address E. J. Harvey. Supervisor of Agencies
North American Life Assurance Company
■•-SOLID .\.S THK Co.NTIXI'^NT '
HOME OFFICE - TORONTO. ONT
1870 OUR GOLDEN JUBILEE — — 1Q20
Co-Operative - Scientific - Successful
Hijw JiJ ihf .Mutual LifeofCunada succeed inaitumirK its present
iniprennable position in ihe tin:incial woria?" Ii may be replied that the
promoters of the Company did not orcanize it as a commercial under-
taking, but that it might serve as a public benefactor givinR "the largest
amount of genuine lite insurance for the least po.ssible outlay " Unsel-
fish de vet ion to the success of thccnlcr prise supplitd the place of capital.
Although strictly co-operative or mutual, yet the Company has been
built upon a scientific basis as an old line legal reserve life insurance
company. The .Mutual Life of Canada is a bcneficer t idea worked out
on scientific lines— that is the secret of its popularity. The Mutual being
essentially a company of policyho ders. conduced by pol'cy holders in the
interests of policyholders, raturally became a Kreat success.
BE A MUTUALIST!
The Mutual Life Assurance Co. of Canada
Ontario
Charles Ruby, General .Manager.
Waterloo
Cronyn. .M.P., Preside
LIFE INSURANCE SERVICE
'PHK ultimate success of a Life Insurance Company depends largely upon
what Its polici holders think of the service they receive. The Continen-
tal Life has long since passed this test, and earned a high reputation lor paying
claims promptly. IWM will likely prove the best year m the Company s history.
Write for booklet, "our ltr.<st Advertiser*." For Managers positions in On-
tario, apply with references, stating exoericnce. etc., to .1. !*. WEAVEB(
Ka^lern Siiprr Hirnt, at ilrnil Mltlri'
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
ISSUED ONLY BY
THE LONDON LIFE INSURANCE CO.
Head Office ... LONDON, CANAfJA
Profit Results in this CompaDy 70°, better than Eslimalei.
POLICIKS 'GOOD AS GOLD."
ii
PUTTING OFF"
Life insuranci; lios robbed many a family of a fortune.
Life Insurance is easy to secure. A little money and
good health are the requisites.
You may have the money next year, but the good health
may have gone. So arraiige your protection now, and
arrange it in the Company charging lowest rates and
paying highest profits — that is
THE GREAT- WEST LIFE ASSURANCE COMPANY
Dl-IT I'
HEAD OFFICE - - WINNIPEG
Ask for a Memo-Book - free.
The Western Empire
Life Assurance Company
Head Office : 701 Somerset Building, Winnipeg, Man.
SASKATOON
VANCOUVEK
Economical Mutual Fire Ins. Co.
HEAD OFFICE ... KITCHENER. ONTARIO
CASH AND MUTUAL SYSTE.MS
Total Assets, $975,600 Amount of Risk, $2.S,6il,000
Government Deposit, $50,000
john pennbll. geo. g. h. lang. w h sch.malz,
t ^'Hr Sccrttarv
CROWN LIFE
VlTfi have a policy (u suit every insurance nceJ- up-
'" to-dal:, liberal in its provisions, i'orticipulinit
riillcyholderis in the Crown Life are coliticd to ^i „ ol
all r-rofils earned hy the Company in addition to Ihe
Himrantce* contained in iheir I'oliclcs.
Tlu a
I lAft ii a good Company to 'ai«rv tm
Drown Life Insurance Co., Toronto
q:
:q
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
loronto Assessment Increased More than Sixty Millions— Land Valuation Shows
Largest Advance— Exemptions also Greater— London Treasurer Sugsests Muni-
cipal Insurance Scheme for City—South Vancouver Tax Collections Improve
Milton, Ont — The tax rate has been struck by the town
eouiKil at .M mills, which is 2 mills below last year's rate.
Hull, (Jue. — The assessed value for taxation in the muni-
cipality for the comiiiK year is placed at $11,308,105, as com-
pared with $'J,G41,127 previously, an increase of 151,666,978.
Vancouver, B.C. — A proposal to collect a personal prop-
erty tax in the city and have the government discontinue
the levyinir of that tax in the municipality, will be considered
by the civic finance committee.
AVinnipeK. Man. — Over 79 per cent, of civic business
taxes have been collected to date this year, as compared with
about 66 per cent, for the same period last year. The levy
this year is $431,915, and of this amount $342,211 has been
collected. Last year the levy was $376,436, and the amount
collected was $234,617.
London. Ont. — In its fifth year of municipal operation,
the London and Port Stanley Railway had a surplus of
$23,186, after debentures were retired to the amount of $20,-
509, and $20,000 in rent had been paid to the city council,
according to the annual statement issued by the city auditors.
This result is considered satisfactory, in view of the wage
advances during the year.
Gross earnings amounted to $582,651, as compared with
$499,656 in the previous period. Operating expenses, how-
ever, advanced from $350,740 to $438,103.
South Vancouver, B.C. — Tax collections this year to the
end of August amounted to $1,010,308, as compared with
$600,233 for the same period in 1918. Included in the figure
this year, arc the provincial government's contribution to
the upkeep of the schools and an amount paid in for the redemp-
tion of tax sale property, which must be paid out again to
tax sale purchasers, so that the actual taxes and rates col-
lected total $807,911, of which $625,393 is for current taxes.
Since Commissioner Gillespie took charge of the affairs of
the municipality in May, 1918, tax collections have shown
great improvement, as illustrated by the above figures.
Alberta. — Some interesting figures, compiled by J. H.
Lamb, d'.-puty minister of municipal affairs for the province,
show that the province has an area of 2.'..'>,288 square miles,
or an acreage of 163,382,400 acres, or about 300 acres for
every man. wonuin and child in province. Of this 85.147,816
acres were surveyed up to 1920. That part of the province
•s analysed by the Dominion authorities into the following
parts: Timber license area, 1,353.100 acres; grazing leases,
2,902,400 acres; forest reserve and parks, 16,754,700 acres;
reserve for forestry purposes, 1.677,500 acres; road allowances,
1,276,500 ncrP!»; wnter-rovercd lands, 2,285,000 acres, or a
total of ' ■ " '•on up in this manner and leaving
n fipt f " res for settlement.
Of t . , that arc left for settlement, the
Hud.son's liay * t>., tlic Irrigation Companies and railway
companies control li;.192.864 acres. There arc 27.610,416
acres included in the municipal districts and taxed by them,
while S,9.'>0.048 acres are taxed by the department of muni-
cipal affairs, being in the unorganized district?. Thi? makes
a total of :!r.,.''.60.l<'<4 acres, and the Pomiiii ;iont
accounts for l.'i.OOO.OOO acres held for hoi- So
when it can be estimated just what acreage i the
cities, towns and village sites, a fair deduction can U- made
as to just what amount is actually held by the Hudson's Bay
Co., the irrigation companies and the railway companies in
tho entire province.
Toronto. Ont.— An increase of $61,897,195 in the city's
assessment for 1921 is shown in the unrevised statement,
which has just been made public. Total assessment in all
eight wards amounts to $703,351,351. as compared with a
valuation of $641.4,'i4.156 made last year. There was also a
slight increase in exemptions. The unrevised statement
.shows the following results: —
1920. 1921. Increase.
Total assessment .... $641,454,156 $703,351,351 $61,897,195
Land assessment .... 294,675,927 315,660,799 20,984,872
Building assessment . . 263,563,880 253,665,093 17,101,213
Business assessment . . 69,189,511 78,404,872 9,215,361
Income assessment . . . 41,024,838 55,620,587 14,595,749
Exemption 92,916,595 98,271,202 5,654,607
The above statement will probably show some changes
when revised, but not to any great extent. As in other
Ontario cities, income assessment will be reduced, as a re-
sult of the legislation passed this year, raising the exemp-
tion allowance of heads of households from $1,700 to $2,000,
and of single persons from $700 to $1,000, and a further ex-
emption of $200 per head for dependent children under the
age of eighteen. It is stated that this will not make a vast
difference, as the assessors have already made the necessary
allowances on income, except in the cases of children in three
of the wards.
London, Ont. — On account of overcharges this year, ow-
ing to the fact that the city assessment was nearly com-
pleted before the recently enacted provincial amendment to
the municipal income tax law went into effect, a rebate will
have to be made next year to the citizens which were affected.
Statements of taxes due were made out before the passing
of the amendment, and to prevent delay in collection of
taxes with consequent large interest bills for the city, the
council instructed the assessment commissioner to carry on
with his tax notices under the local assessment by-law for this
year. This same method has been adopted by other munici-
palities, and will save considerable trouble and expense.
City Treasurer Bell is of the opinion that the city should
seriously consider the question of adopting a municipal in-
surance plan. "Approximtely $10,000 yearly is paid out in
premiums by the city," he said. "Now if the city were to
set that same amount aside every year it would not be long
until a large fund would result. The only difficulty lies in
securing a substantial fund with which to commence the plan.
This might be overcome by maintaining the insurance on the
several buildings for a few years, and in addition setting
aside a sum annually equal to the premiums. In this way a
nucleus for the insurance fund could soon be realized, and
then the outside insurance could be dropped entirely." Mr.
Bell pointed out that the city might save considerable money
by adopting this plan. In any event he advocates that it be
considered at length to determine whether it should be
adopted.
VANCOUVER FIRE PREVENTION
Seventeen apartment house agents were summoned in
the Vancouver police court to answer the violations of the
firo by-laws, says Tlu- Monetary Times' Vancouver correspond-
ent. A number of them have been fined. Since the serious
apartment house fire in which many of the occupants lost
their lives, the authorities are determined to see that the
fire by-laws are lived up to. Only the other day, when a
business block was damaged by fire, the fire alarm for some
reason, was not working.
The firemen of the city of Vancouver are to be insured
against sickness and accident under a blanket policy, the
insurance to be carried for them by the city, the same as in
the case of the members of the police force. This plan ap-
pears to be somewhat unique, as some prominent publications
in the states are writing for an explanation of the kind of
insurance they are writing, that they may give it publicitv.
September 17, 1920
THE MONETARY TIMES
C.P.R. BUILDING
TORONTO
noussERV^jboDv^G^MRV^r
INVC«TMCMT aANKCRt
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
i INSURANCE
j FIRE, AUTOMOBILE, ACCIDENT, LIABILITY, Etc.
I Business transacted ':n all its branches
OSLER, HAMMOND & NANTON
WINNIPEG
CANADIAN
GOVERNMENT, PROVINCIAL,
MLNICIPAL & CORPORATION
BONDS FOR INVESTMENT
Harris, Forbes & Company
INCOEPORATED
C. P. R. Building, 21 SL John Street,
TORONTO. MONTREAL.
F. S. RATLIFF & CO.
FARM LANDS— FARM LOANS
STOCKS AND BONDS
Medicine Hat
T.K.
McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES |
We.ttrn n
nnlrlpal. School an<l >a«lialrli<» an Kural Tflr-
phsiir «'o. dcbenliirci. sprrlallzdl In.
CorreiponJcncc invited
GRAINGER BUILDING - SASKATOON |
C. H. BURGESS & CO.
Government and
Municipal Bonds
14 King Street East
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank Bldg., Edmonton, Alta.
Province of Alberta
TEN YEAR 6 ; GOLD BONDS
Dated August 16. 1920. MalurinR August If.. \''Mi
Principal and Intcrcitl rayablc in Canada and Lnitcd Stalci.
PRICE: 98.16
YIELDING 6',
J. F. STEWART & CO.
106 BAY STREET • • TORONTO
Tclcphonci: Adelaide 714.71';
38
THE MONETARY TIMES
Volume 65.
Government and Municipal Bond Market j
Saskatchewan to Float Three Million Loan-Tendeis Now Beins Called I or-Ottawa Also |
Asking for Offers for ^2,300,000 Securities— Five Ontario Municipalities rryinj- to Nego-
tiate Local Loans - Regina Saves by " Over-the-Countcr" Method, says City Treasurer
mWO new issues of importance are due to come .on the Owen Sound. 0"t--The city will shortly .ssue $87 000
1 bond market during the next two weeks, namely. Saa- 6V, per cent, debentures. The '"Merest rate was forma ly 6
katchewan and Ottawa. The absorption of these securities per cent., but. upon the authorrzation of the Ontario Railway j
should prove interesting inasmuch as it will be a good indi- and Municipal Board, was increased. ,
cation of the condition of the market and of the money Minitonas R..M., Man.— Tenders will be received until j
situation as a whole. October 1, 1920, for the purchase of $.50,000 6 per cent. 30- ,
Saskatchewan is asking for $3,000,000, and the bonds instalment good roads debentures. Securities will be issued
will be either payable in Canada only, or in both Canada ;„ denominations of not less than $100, and interest coupons. '
and the United States, as the situation may warrant. It is are attached. John H. Cannon, Minitonas, Man. '
most probable that the latter class of securities will be Chicoutimi, Que.— Tenders will be received until Sep- ,
issued, as the purchaser will no doubt wish to dispose of tember 27, 1920, for the purchase of the following deben- '
large amounts across the line, if not all of the issue. tures: $8i900 a'-S per cent., maturing from the first of May,
The province has made two loans this year, one of $3.- ^ggi, to the first" of May, 1929; $91,100 5'/i per cent., ma- •
500,000 in January, and one of $1,000,000 in May. They turin'g May, 1930. Principal and interest payable in Mont-
were both 6 per cent., and short-term issues, and were sold j.^^, ^^^ Quebec. Bonds in denominations of $100 and $500.
in the United States. In the case of the first loan the pro- q Treniblay clerk.
vince paid about »\, per cent, for its money, and about 5% " gj^^j^^^^ Township, Ont.-C. H. Burgess and Co., have
per cent, for the other. , . , , ,.,.„„ purchased $17,361 6\i per cent. 5-instalment debentures at 1
Ottawa's last loan was made in July a year ago, when V * ' received were ■-
$865,694 five per cent, debentures of various maturities were ««■"'■ lenders recenea were.
disposed of. The securities were straight-term and were sold C. H. Burgess and Co »».U <
on a 5.34 per cent, basis. The city's credit is good and Brent, ^oxon and Co 98.00
Ottawa debentures are included among the high-grade On- A. E. Ames and Co 9..bi
tario municipals, but it is not thought that the present Ottawa, Ont. — Tenders will be received until Septem-
loan will be negotiated under a 6'/i per cent, basis. 1,^^ 28, 1920, for the purchase of $2,300,232 6 per cent, in-
stalment debentures as follows:— $85,307.31 for ten years;
Disposing of Debentures Locally S:{57.5(;2.G8 for fifteen years; $448,362.14 for twenty years;
Five Ontario municipalities are now engaged in dis- $1,409,000 for thirty years. The bonds will be made payable j
posing of their debentures over the counter to local citizens. in Canada alone, or Canada and the United States, as may |
London is offering six per cent, securities in various de- be decided. (For complete particulars see advertisement
nominations, the lowest being $100. Non-residents are also elsewhere in this issue).
permitted to buy these debentures. Township of Toronto, Ont.— Wood, Gundy and Co. have
Guelph is also offering civic debentures to citizens. Ihe purchased $37,000 6 per cent. 20-instalment school debentures
amount is $16,000, and the interest rate is 6 per cent. The ^^ ^ ^^.^^ ^^ ^^^^ ^^^^^ ^^^^^^^ ^^^^^._
securities mature in twenty years. , r. . . r^ oi noo
Orillia is offering $67,000 of its bonds, guaranteed by A. E. Ames and Co. 94.092
the countv of Simcoe, for local investment, at a price Dominion Secur.ies Corporation 94.09
which will yield the purchaser 6% per cent. U"' ed Financial Corporation, Ltd 93.0<
Hamilton, which has already disposed of some $285,000 A. Jarvis and Co. 92.21
debentures this year, is offering another block of $244,903 at Brent. Noxon and Co 91.27
par, yielding interest of G per cent, from July 15 last. The Saskatchewan. — Tenders will be received until Septem-
debciilures mature in from two to twenty years, and are in her 21. 1920. for the purchase of $3,000,003 6 per cent, bonds,
denominations of $100. $500 and $1,000. The province asks that alternative bids be submitted as fol-
A decision to offer municipal debentures of the town- lows: On ten-year bonds, dated September 1 or October 1,
ship of Gloucester to the taxpayers, in denominations of two, 1920, at the option of the purchaser, the principal and interest
five and ten hundred dollar lots, was made by the Gloucester to be payable in Regina, Toronto. Montreal and New York,
township council, at a meeting this week. The attempt to On twenty-year debentures, dated optionally as in the other
dispose of the bonds to the ratepayers of the township is instance, with interest and principal payable in Canada only,
more or less of an experiment, as the debentures fornu-rly at K.i' im Toronto and Montreal,
sold by the municipality were first advertised, and then dis-
posed of in block by the tender route. It was felt by several Debenture Notes
of the members of the council that the residents of the i horold. Ont.-Ratepavers have given assent to issue de-
township shoul.1 be given an opportunity of buying the se- tentures for the laving out of a new park,
curitics instead of having the township pay out money to c» m • « . % u i n u u .» i * *
financiers. The new step was taken only after sound St, Mary s. OnL-A by- aw will be submitted to rate-
nnnciradvice had been secured. P-^"" .»" October 2. authorizing the borrowing of $16,000
for various local improvements.
Cnming Offerings Weyburn. Sask. — Ratepayers have approved of the issue
The following is a list of debentures offered for sole, of debentures to the amount of $45,000 for connecting of the
iiarticulars of which are given in this or previous issues:— new municipal hospital with the sewer system. A $5,000
_ , school by-law has also been passed.
Borrower Amount. Rate -r. Maturity. close. ^ Colonsay. Sask.— The village will borrow, by way of de-
Siskitohewan $3,000,000 6 optional Sept. 21 bentures. the sum of $1..>00. of which $700 is for the purpose
iiiicoutimi Que ' ' 110.000 5«a various Sept. 27 «' draining a slough and $800 for constructing sidewalks.
Ottawa Ont ' 2 300 232 6 various Sept. 28 Debentures are to be repayable in seven annual instalments
BoxIov'tp "ont.V. ' 7.000 7 Oct. 1 and bear interest at the rate of 8 per cent.
Minitonas R.M.. Man. SO.OOO 6 30-in«tal. Oct. 1 Brantford, OnL— With $624,000 debentures already dls-
Glenwood. Mali. .. 25.000 BH 30-insta1. Oct 4 posed of this year, the city has yet to sell three other blocks,
September 17, 1920
THE MONETARY TIMES
39
THE CHOICE
OF THE
SHREWD INVESTOR
The experienced purchaser
selects Victory Loan Bonds
as the most desirable invest-
ment in which his funds can
be placed.
The security is unquestioned,
interest is prompt and sure,
and is payable at any branch
of any chartered bank in
Canada.
Write for our special pamplilet.
Wood, Gundy & Company
Montreal
Saskatoon
Canadian Pacific Railway Building
Toronto
New York
London, Eng.
Europe
Changing For
The Better
Despite " bulls " and " bears " and
nervous speculators, tlie security
markets of the world arc upon a
sounder foundation than they have
been for years— all of which is en-
couraging to Canadian investors.
How und vrhy thii, change is beinj brought
about is shown in Investment Items. You
should read it. Write for a copy. Address: —
Royal Securities
^ CORPORATION
1. I M I -r E D
MONTREAL
Dt-un H. )Vtte
We recommend the purchase of
VICTORY LOAN
at the following prices : —
MATURITY PRICE
1922 98 and Interest yielding 6. 38"o
1927
1937
1923
1933
1924
1934
96i
97
93
6 00"„
5.68%
6.14%
5.88%
6.27%
6.2-I",,
Orders may be telephoned or teleRraphed at our expense
W. L. McKINNON & CO.
McKinnon Building
TORONTO
Government, Municipal
AND
Corporation Bonds
R. A. Daly & Co.
BANK OF TORONTO BUILDING
TORONTO
Bargains in Bonds
Victory Loan tax free bonds at present
prices are absolutely in the bargain class.
The supply available is limited.
We, therefore, urge prompt action for
those desiring to fake advantage of
the opportunity now presented :
YOUR CHOICE OF FIVE MATURITIES:
Price and
Interest
98
98
97
96i
98
TAXABLE ISSUES
97
93
Due
1922
1923
1927
1933
1937
1924
1934
Telephone or telegraph orJen nl our
Bonds delivered vllhoul charge
Yield
%
6.37
6.15
6.00
5.88
5.68
6.27
6.25
W. A. MACKENZIE & CO.
Cov.M.mcn/ an.l Munkifal /i„n,/..
42 King St. West
TORONTO -:- CANADA
40
THE MONETARY TIMES
Volume 65.
totalling ?153,600, as follows:— $6,250 for street railway;
schools, $11,500; $135,850 for water works. These debentures
mature from one to twenty years, and will be sold to yield
the investor 6 per cent.
Saskatchewan. — The following villages have been
authorized by the local government board to issue deben-
tures: .Mossbank, $:i,000 10-years 8 per cent, instalment,
for fire protection; Meota, $3,000 15-years 8 per cent, instal-
ment, for payments on well drilling contract.
Gravenhurst. Ont. — The town is offering $5,000 6 per
cent. 10-instalment debentures to local citizens.
Bond Sales
loronto. Ont. — Authority has been given to the finance
commissioner to issue debentures to the amount of $864,000
to cover expenditures by the Toronto Housing Commission.
The money has already been expended.
Essex Border Utilities Commission, Ont. — Wood, Gundy
and Co. have purchased the $117,615 6 per cent. 28-instal-
nient debentures at 90.55 and interest, which is on about a 7
per cent, basis. A. E. Ames and Co. bid 87.13 and interest,
while Brent, Noxon and Co. asked for an option at 90.
Rcgina, Sask. — While in Calgary recently. City
Treasurer Snowball, of Regina, made the statement that the
city has disposed of $167,000 debentures this year locally.
He said that the securities had sold well at par to yield the
investor 6 per cent., and all the purchases were voluntary.
While he does not expect that the city will be able to dispose
of more than $200,000 this year, he advocates keeping de-
bentures for sale locally on hand all the time. The cost of
selling the $167,000, he said, was not more than $800, in-
cluding advertising in the local papers and other necessary
details.
Saskatchewan. — The following is a list of debentures
reported sold by the Local Government Board from August
19 to 25, 1920:-^
Schools.— Molewood, $4,200, North Regina, $3,000, Bates-
town, $3,500, Waterman-Waterbury Mfg. Co., Regina: Nase-
by. $1,700, J. Matchnm, Saskatoon; Colonsay, $3,000, Mon-
arch Life .Assurance, Winnipeg; Gray Valley, $1,750, M.
Middlcmiss, Wolseley; Darmody. $7,000. Nay and James,
Regina; Khoilivc, $18,000, $7,000 to Mr. Rooney, Regina;
.Minglv. $600, L. Clark. Prince .Albert.
Rural Telephones.— Parkberg. $2,400. T. P. Taylor, Re-
gina; Logberg. $5,100. Harris. Read and Co., Regina; Gold-
eye, $1,400. W. L. McKinnon and Co,, Regina; Guernsey,
$6,800, Pirt and Pirt. Regina; Golden Acre, $11,000, Wood,
Gundy and Co., Saskatoon; Guernsey, $200, Pirt and Pirt.
Regina.
TOKOMO HON!) HKALERS JOIN .ST()( h K\( M \N(.E
Wood, Gundy and Co.. and W. A. Mackenzie and Co.,
Toronto, bond dealers, have announced that they have bought
scats on the Toronto Stock Exchange. Both firms state that
no change of policy will be adopted, but it is probable that
when necessary they will act in a stock brokerage capacity.
The purchase of the seats were made through Playfair.
Patterson and Co.
CANADIAN BUS1NE.SS I AIM UKS
The number of failures in the Dominion as reported by
R. G. Dun and Co. during the week ended September 10,
1020. in provinces, as compared with those of prc\-ious weeks,
and corresponding weeks of Inst year, arc as follows: —
Date.
O
c
a
2
<
1
tn
n
a:
s
o
H
3
Sept. 10 .,
.. 5
(t
0
1
0
0
0
0
0
14
21
Sept. 3 ..
.. 2
12
0
0
1
0
1
5
0
21
15
Aug. 27 . .
.. 9
16
1
0
1
2
1
1
0
31
12
Aug. 13 . .
.. 3
3
0
4
1
0
1
2
0
14
10
STOCKS OF RAW HIDES AND SKINS
Canadian packers, dealers, importers and tanners held
the following stocks of raw hides and skins on July 1st, 1920,
according to reports received from 225 firms by the Do-
minion Bureau of Statistics: —
Unit. Number. Weight (lbs.).
Steer hides, unbranded... . Hides 82,910 4,225,392
branded " 33,865 1,767,675
Cow hides, unbranded " 596,265 10,694,676
" branded " 10,868 491,068
Bull hides, unbranded " 13,700 990,985
" branded " 718 47,001
Horse hides " ''1.978 1,258,690
Calf skins Skins 496,237 4,012,477
Kip skins " 70,814 1,038,281
Sheep skins (wool on) " 71,448 508,580
" " (pickled) Doz. 16,713 381,004
SASKATCHEWAN MUNICIPALITIES IN DIFFICULTY
Now that fairly satisfactory arrangements have been
made with those Alberta municipalities, with the single ex-
ception of the town of Athabasca, which were in default on
their bond interest, investors are faced with even more acute :
difficulties in Saskatchewan. Last year, it will be remem-
bered, an arrangement was made with Prince Albert, Sask.,
whereby the interest burden of that city was lightened for
some year.s, and made correspondingly heavy for later years.
Several other towns in the province now wish to make a
similar armngement, the principal being Battleford, Hum-
boldt and Canora. The situation as a whole has been dis-
cussed by the respective bondholders at meetings held dur-
ing the past week, though no definite plan has as yet been:
reached.
RAILROAD EARNINGS
The following are the approximate gross earnings of
Canada's transcontinental railways for the month of Au-|
gust:—
Canadian Pacific Railway
1920. 1919. Inc. or dec,
August 7 $3,956,000 $3,442,000 -|- $ 514,00C
Augu-st 14 4,043,000 3,298,000 -1- 745,00C
August 21 3,895.000 3,374,000 + 521,00(
August 31 5,681.000 4,75£i,000 -|- 922,00(
Total $17,575,000 $14,873,000 -I- $2,707,00)
Canadian National Railway
August 7 $2,235,110 $1,846,508 -f- $ 388,60!
August 14 2.253,719 1,926,349 -f- 327,371
August 21 2,150,350 1,832,914 + 317,43'
August 31 2.943,810 2,810,093 -|- 133,71
Total
August 7
August 14
.August 21
August 31
. $9,582,989 $8,415,864
Grand Trunk Railway
. $2,576,894 §1,894,875
2,443,144
2,560,729
3.809.991
1,966,718
2,0.38,317
3,005,165
+ $1,167,12
-f- $ 682,01
-I- 476.42
-f 522,41
+ 804,82
Total $11,390,758 $8,905,075 -f $2,485,6f
A party of directors and officials of the Dominion Bar
are making a tour of tlie west. Vice-president A. W. Austi
W. W. Near. R. S. McLaughlin and Major R. J. Christi
ilircctors, and general manager C. A. Bogert, have start*
from Toronto. At Winnipeg they are to be joined by S
Augustus Xanton. vice-president, and at Vancouver by E. V
Hamber, another director.
September 17, 1920
THE MONETARY TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7*%
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B.
HALIFAX, N.S.
Greater Winnipeg Water
DISTRICT
6% BONDS DUE 1940
Price 97.17 r„f_». Yielding 6i%
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
UNION TRUST BUILDING - WINNIPEG
An investment of the high-
est grade, bearing 5/2%
(free of Federal IncomeTax)
and yielding over 5.90/r
for over thirteen years —
1933 Victory Bonds
Price on application
Bond Department
The Cvnada Trust Co^^^rvNV
14 King Street E.
Toronto, Ont.
Manitoba Finance Corporation Ltd.
Investment Brokers, Financial Agents, Etc.
Head Office :
410-11 Electric Rly. Chambers - Winnipeg, Man.
Phone Garry LiSS-1
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fi»ca/ Agent for Manitoba. Alberta Flour Mills, Limited
NIBLOCK & TULL, Limited
STOCK. BOND and GRAIN BROKERS
(Direct Private Wirei
Grain Exchange
Calgary, Alta.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Hranches— SASKATOON AND CALOAKY.
Canadian .ManaRcrt
iHVBSTnBNT CORPORATIOI) Or CaKAOA, LtO.
London Office: 4 Oraat Winchester St.. B.C.
X
Vancouver District Property
Expert Estate Agents and Managers
Property Bought and Sold, Valued. Rented nnti
Reported on. Correspondence invited.
Vancouver
WAGHORN GWYNN Co., Ltd.
Northern Securities, Limited
KSTAIll.lSHKl) l'««i
GENERAL FINANCIAL BROKER
Confidential Aduic* on Brilith Columbia Inveilmenli
■Member o( MorlRaRe :ind Trust Companies Association o( Br.lith Columbia
SZe Pender Street W. VANCOUVER. B C.
H. OHORGK HANSLLD. J.P . Man.iger
MACAULAY & NICOLLS
INSURA.\CE OF ALL CLAbi>E.>
ESTATES MANAGED
746 Hastings Street ■ VANCOUVER. B.C.
C H MAC.ALLAV
J. P. NICOLLS. No:.'
P. M. LIDDELL & COMPANY
Investment Banl(cri. /'iscu/ Agents
Insurance Brokers
826-7-8 ROGERS BUILDING. VANCOUVER, B.C.
THE MONETARY TIMES
Volume 65.
Corporation Securities Market
Trading Narrow and Price Movements Irregular on the Canadian Exchanges-Interest Centred Chiefly
on Paper Issues-Quebec Railway also Strong-Announcement of New Railway Rates did not Have
anv Noticeable Effect on C.P.R.. Here or in New York-St. Maurice Paper Securities to be Listed
IHRKGULARITY marked dealings in Nl-w York during
the week ended September 16, although the gentral
sentiment was somewhat improved. It is the opinion of
some brokers that from now on the market will beirin to p'l-k
up, although the a'lvance will be gradual, and trading is not
yet e.\pccted to emerge from its narrow limits. In the mean-
time speculators are advised to go slowly. Call money was
easy around seven per cent. The announcement of the new
railway rates in Canada did not have any noticeable effect
on C.P.R.
Trading on the Canadian exchanges for the week ended
Sejitember 16, although heavier in volume than in previous
weeks, was narrow, business being confined to certain issues.
Price movements were irregular, following the lead of Wall
Street to some extent, although some stocks were more
greatly influenced from other quarters.
In Toronto net losses were prominent at the close and
the gains were few. Paper issues were firm and the most
active. C.P.R. was dealt in to a considerable extent,
but only gained fractionally. In the banking section Do-
minion, Nova Scotia and Commerce were weak, while other
issues were steady.
Interest in Montreal was centred chiefly around the
paper issues, and a great part of the trading was in those
stocks. Laur.Mitiile w:i.s active and strong as a result of
the record report which was made public. Abitibi, Bromp-
ton and Spanish River closed firm, and dealings in those
issues were substantial. The effect of the last report of
the Quebec Railway on that company's securities, was fav-
orable. On the surface tlie report does not give much room
for enthusiasm, but careful analysis shows an improved posi-
tion, ;ind in the words of the president, "the next statement
should .-ihow the turning of the corner."
The bond section was quiet, with (irices holding firm.
In Toronto Canada Bread was weak.
Capitalization Increases
A- noted in these columns last week, the Canada Glue
Co.. Br.intford, Ont., has been authorized to increase its
capital ."ctock from ?2r,0,000 to $1,000,000. The new stock
will not be available to the public, but will be absorbed
\irivately.
The Atlas Construction Co. has been authorized to in-
crease its capital stock from $100,000 to $500,000. by the
creation of ■1,000 new shares of $100 each.
The following companies, registered under Ontario
charters, have been authorized to increase their capital
stock by the issue of new shares of $100 par value:—
Former capital
stock Increased to
Ingram and Bell, Ltd., Toronto .... $150,000 $250,000
Burlington Steel Co., Ltd., Hamilton.. 20,000 200,000
Imperial Varnish and Color Co., Toronto 200,000 500,000
Seven thousand shares of new stock of the Lake of the
Woods Milling Co. will be called on the Montreal exchange
immediately.
Supplementary letters patent have been issued to the
Oakville Basket and Veneer Co., Ltd., Oakville, Ont., by the
province of Ontario, authorizing it to change its name to
the Oakville Wire Bound Box and Basket Co., Ltd., and to
reorganize and increase the capital stock.
Capital reorganization will take place in the form of
conversion of the 471 issued pieference shares and the 29
unissued preference shares of a par value of $100 each, into
common shares of the same par value.
The entire capital stock of $100,000 will then be in-
creased to $500,000 by the creation of 4,000 new shares of
$100 each.
A holding company, to be known as the Allen Theatres,
Ltd., has been formed to control the Allen theatres through-
out Crmada, and on this organization an issue of preferred
stock is to be olTered for public subscription shortly by Hous-
S'.'r, \\'ood and Co., Toronto.
St. Maurice Paper to be Listed
Application has been made by the St. Maurice Paper
Co. to have its securities listed on the Montreal Stock Ex-
change, and action will be taken immediately by the List-
ing Committee. Recently the bond issue of the company was
converted into common stock, which, as the company has no
preferred issue, leaves the common the sole outstanding
liability. The company pays a straight 8 per cent, dividend,
which was augmented last May by a 5 per cent, cash bonus,
after a previous distribution of a 30 per cent, stock bonus.
Approximately 60 per cent, of the outstanding shares of
the company are owned by the Union Bag and Paper Co.,
an American enterprise, and are popular among Canadian
traders in the New York market. The balance of the St.
Maurice stock is presumed to be held largely by Canadians.
The total common stock of the company presently out-
standing, inclusive of bond conversions, is $7,899,900. No
preferre:i shares exist, and the bond issue has practically
all been converted into common shares. The securities are
on an 8 per cent, dividend basis, although the quarterly dis-
bursement last May was augmented by a straight 5 per cent,
cash bonus. The dividends are payable in United States
funds.
UNLISTED SHCIIRITIES
lll;i
k U
k
Rril
M.I
Can
Can
On
.O.l
Bid
A«k
rOHotilcom '
S7
m
■>*
7<>
wan
Sif.
10.!
fiS . v»
n
70
-.Ml
n
SI
w
Stcrlinfi Bank
StertinKCool com.
Soulh Can. Power.. .com.
Toronto Paper 6"s
Toronto Power. 5'« (19W1
Trust &Ouar
United Cigar Stores com.
.pfd.
AVcBicrn Assurance
\Ve»l. Can Pulp com.
Whal.n Pi.Ii- cnm
September 17, 1920
THE MONETARY TIMES
We Offer
SCHOOL BONDS
Province of Alberta
Maturing 10 and 15 Year
7 toT'if^
Wc Specially Recommend these Bonds as Sound Investments
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto Bldg.
EDMONTON
Royal Bank Chambers
CALGARY
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Membfn of Winnipeg Rtal Estalc Eichangr. Winnipeg Stock Eich.ngc
BUY
VICTORY
BONDS
NOW
They are the Best Buy on the
Market at Prevailing Prices
Write, phone or call for particulars
Thornton Davidson & Co.
Limited
Covernment. \tunicipal jnd Other
Investment Securities
Head Office: TraniporlaHon Bldg., MONTREAL
132 St. Peter Street 63 Sparks Street
QUEBEC OTTAWA
DEALERS IN
Government, Municipal
and Corporation Bonds
Correspondence Solicited
A. H. Martens & Company
iMembers Toronto Stock Bxchangei
ROYAL BANK BUILDING, TORONTO
61 Broadway,
New York, N.Y.
Harrio Trust Bldg.
Chicago, III.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OLR COUNSEL AND AD\ICE
Willoughby Sumner Limited
Eslabll.hed 19001
Membeii of the Winnipeg Gi.in Exchange
Private aire to IVinnipcS. Toronto, Montreal. Chicag,,
and AcB V'or^
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings also any Brilisfi
Columbia Government and Munir,p«l i.s.i-..
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C. Victoria, B.C.
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
l>niv»Ti! WiBB. TO WlSMfl-X.. CHICAGO. rORONT"
MO.NTREAL AND NEW YORK
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
<lo\TnKAI/-M
rrk Kniird
Jt*pl
ISIb
' l-'t»turc»i
supp
led by Hurkbtt & Co.)
»lorki>
Sales' Open
High
Low
Close
Abnibi P^P...
ncwl
3136
79
82
7"
RO
.pfd,
H
91
HI
91
91
Ames Holdcn
..pfd.
4S
60
62
60
Hi
Asb«to« Corp .
II2I
89
91
87
89
. . pfd.
385
100
100
99
»9
zwu
198
142
138
141*
S74
lOli
lOll
lOO
IU(J>
»razlli.inT.L.& Power
\RMi 38
'J8j
37
371
lirompton Pulp & P- ■
1I7«) 7SJ
76»
«
75 S
mri. eit
61
63
pfd.
181, UU
fi^
90
911
Can. Con
6.^' 74
74
74
8Sl »S
95
95
pfd.
151 79
80
79
80
IIOI 42
42
*\
4J
.pfd.
81 !)4
94
93J
!l<
C»n. Forginils...
190 Il5i
120
I15|
II9J
inii
Canadian Oen. Elec...
321 1 102
ioi3
is: W
162 65
90
6.1
so
64
ns
pfd.
271, 78j
80
78)
79)
■' •■ Vot.
Trust
1
Con.Minlnij&Smcl....
211
251
26
25^
25j
Del. Kv»
441
103
103
103
10:1
55
524
.524
5'.*
51)
Dorn. Coal
pfd.
10
81
81
Kl
81
55
87
87
87
Dominion OIniMt.
..piii.
.pfd.
.0| 67i
674
«:i
67)
Dom. I'on
Dom Slccl Corp.
1155' .Wi
58*
564
7l|
.Wj
pfd.
SO 71i
71)
71)
Dominion Textile
170 139
140
139
13!1
pfd.
lOl 102
102
102
102
Hillcrcst
4S; 60
60
60
60
Howiird Smith .
I ....
.pfd.
50l I03i
100)
102
102
Illinois Traction.
..pfd
20; «H
69
69
69
Kaminstiquin
Liike of the Woods
40 ieo
ieo
pfd.
12 102)
1024
102
102
3t<r.! 117
1211
118
118
Lyall Conn. Co.
4(1 SV
.59
m
.5!l
250 :i2l
32)
,T2
:«
Mont. Cots. Ltd
pid
170 80
80!
80
801
Montreal Power.
7431 81
81
80
HO)
Montreal Tram. .
|. ....
Laian * MIK.
Deb.
t.VW 69)
694
691
691
cs .
iom M
HH
R4i
65
Omlvic PInur .Millr,
10 250
ISO
2.50
■2,50
pfd.
20 103
103
103
103
Ont.Sloel Prod
.W 7S
75
75
7.<
Penmnns
Si 141
141
H7
137
PtiiTc Bros.
IAS 365
365
.365
365
Prov. Paper
65 115
1174
115
1171
Quchei. Ry. L. H.
*P .
2183, 27)
32
27)
294
Riordnn Pulp* P
4.S2 201
2111
200
211
pfd
91 91
92
91
92
St. Lawrence PI.
ilills
10 91
91
91
91
pfd.
100 94
»4
»4
94
Shnwiniil-in W. * P ..
437 lOHi
109
i08
ION
SherMinVVilhani
s pt.l.
.
Spanish River.
• Div.Vou.
6201 117
120
117
118
..Dfd
26171 i2S
13*4
125
125)
St«c1 Co. of Canada...
410 6S
89
en
68i
rM
. 1
r... .,!. U-, (■..
140| 48«
48)
464
46)
41"
25! 49
49
49
■ 1 '
1793 138
145
138
143
\V ni- ! • .: llv
.Wl 311
»24
■Mi
100
34
1(10
W,.,..l. M't V .i
IW 100
100
Itaalis
i
300 175
175
1:4
IT<
m' IVl
18«
I5M
\SM
M
-■ ■-■.)
177
176
I7i.
181
181
IBI
200
199
l'«9
'■'
249
.47
Jf.l
Ko>al
L'nion
^s*
mi
183
VlfJ
Koitllo
Asl-e-lo. i.nr|v
, ... -sj
781
771
"«
Hell Telephone i
at
9(1
90
C.i" (■ 1
■ ■.;'
«»
«»!
S»i.l .
s
Victory Hoods. 1"
n »STKKM.-Cotiiiniitd.
Sales Open i High Low Close
Dominion C
Dom. Cot
Uom. 10
1000 96) 96i
le A..
B..
Dom
..( Woods...
real Power..
real Fr. deb ' .... 1....
Omlvie Flour I
i Ltd 5000 89
4000 81 81
■ioOOi 83) I 83)
Br
(Juebic Ry.L. H.«P... 6000 61
-don Pulp & Paper.
rwinWilliams
Spanish River
Steel Co. of Can :■,! .
Waha~so Cotton
Wayasomncli P.*P. .500 82
Windsor Hotel \
TOKO!«TO-M'rrk Ended .Scpl. I.1lh.
Sales Open High | Low I Close
Atlantic Sugar
Harcclonn
Bell Telephone . .
Brazilian Traction.
Burt. K. N
Canada Steamship
pfd.
.'pfd'.
pfd.
C. Car
« P..
..pfd.
Canad
an Pacific R...
Canne
'
!!!pfd.
Can. I.
fe
Con. (".
City l>
iiry
...pfd.
Crown
Reserve
Dome
DulutI
...pfd.
.Macka
y Companies
N.S.C
"■
' 'pird.
9ui
1024
96)
134) 133 134)
300 300 300
134 ! 133] I33i
.Maple Leaf
.Monarch
Ninis-H,,,
Port Ri..
Prov. Paper.
Uuehcc R.I..H. A I
SalesbooU
Spanish River. . .
Sawyer-.Mftssey . .
Smellers
pfd.
pfd.
260 100) . 1004 100 I
7.54 38 38S I 37
181 102 105 102
51 103 104 103
80 24 24 24
118 62 63 fit)
10 904 90) 90)
59 103 103 ' 102
15 96) 96) 964
20 64) 64) 64
245 79J go 78
25| 94 91 : M4
489 134
50' 52
6,S 83
no 300
50 134
10 90
•200 '25
2311 l^.-W
210 13
35 90
65 87)
1085' 67j
561 . 25
165 4
6 974
8-21 97
24 73
130 II 00
20' 140
•25 70
10 117
35| ■■»
26 80
51 34,
■231 118)
22 r24»
105 15
145 -50,
34 ^25
Jtt"^ 68)
•25 93
10 130)
180 563
400 49
25 .504
70 38
1 1100 IB
Kli 321
I
4U
384
00)
689 K7J 68)
3)
974
124) r25)
B
98 195 195 193) 194
SI 177 178 177 177)
S lot,
S 211
46 182
I I.Q
TOUOJiTO— Continued
War Loans
Dom. Can.W.Loan. 1925
•• - 1931
" 1937
Victory Loan 19^22 ....
1923 ....
19'27 ....
1933 ....
19-i7 ....
Sales Open High
23000 93) 93)
25300 914 92
39000 94i 94}
93J
\9-l- 1500
■ u-*..: . usoot
19:11
■* 19-33.. , 1J;150| 96)
•■ 19.14.... ItifiOOi 93
War I-oan 1937 1000 954
1331 1000 924
5V>1925.... lOIIU 944
L'nion Bank..
13 1.S2
NEW TORIi-Weck ended -Sept. IIMi.
Storks Sales Open 'High Low Close
■27600; r22 122 iiKl
IIOlMls I
Uom. of Can i% 1921 36000l .... I 98i
5)% 1921 I60O0 97i
S"o 1926 28000 884
S»% I9^.'9 730O0: 914
S% 1931 39000 ; 884
.Vrtr York Curb — 1
British Empire
7% pfd. I
Canada Copper.
LONiXUX. Kng.— Week eniled A«K. gWh
Uov'l. fti .Hun
Alberta 4)"., Reg..
4''e> Deb..
•■ 44%
B.C. 44%
Canada... 3)%.
Sales Open I High ! Low Close
III] < III) no
3%.
•■ ...4%
■■ 4) bds. 1920-25..
Calgar)- 4) ".. deb
.\fld.3( ■,>bj«
■■ 3'„ 1947
■• 3)V 1»«S
Manitoba 4 deb
4",, 19-2S
■Montreal 4! ■„ Reg .. .
Ke
I S.
774
744
64)
7^^
58i .58)
.•4)-9
\inni(.in4' ens4:l.6:t | 711
4 ;, I. n> 40-60 I 684
KAlinii).
:.S'or.Ont.3)'>.^debl961 61
:an. Nor. 4% deb. 1939 624
" 4'%cons.deb •044
" ■■ 4'\. deb. 1930., 89
:an. Pac 161)
" 4% deb 634
. ...4% pfd. I 63
l.T.P. Br. i\, 1939. 854
iT.P.3\,hds 63
iT. P. 4% 1955 ! 634
1 T P. . 4'Vdeh I 56
Ir. Trunk 4% guar 57
ir Trunk. 5'X, 1st. pfd 42
It Trunk 4'., cons 58}
ir Trunk Western 4% 56
Int 4 Quebec 5% deb 79|
'. I'll East 44 '. drb.'42 81
Ind.. rin., Kir.
644
73)
%\
83
83
724
734
6«
66
n
79
64
631
64
77
77
76)
76)
88
88
66
il«
.584
.58)
66
66
59
71
68
.59
73
"68
64l I Ii3
85) I 85
63 63
66 634
.58 ' 5«
■57) I 5f4
42 I 414
.58} I 58
56 ] 56
79J ' 774
r 6 ■», .
Can.Ccment 7% pfd... 1081
Cm Coii„ns gal
C W Lumber S'S, debs. 56
T.T, nu,P.nvcr4i^5jdcb 63)
Can Bk. nf Commerce, 42)
Bank of .Montreal
^
September 17, 1920
THE MONETARY TIMES
BRITISH COLUMBIA HEALTH INSLRANCE REPORT
(Continued from page 16)
in the last fire the box being- removed from the spot where
the janitor had put it to another part of the building.
When the firemen arrived at the Moore Printing Shop
fire, they found the front door open. In the words of J. A.
Thomas: "Everything points to the conclusion that a firebug
is at work."
Would Tax Corporations .More
Among other things said by H. H. Stevens, M.P., at the
insurance men's luncheon this week regarding Canada's na-
tional debt, were the following: —
"My proposal is that Canada's debt .should be paid
■argely from corporations operating under public franchise,
and on the public domain — that their profits should be fixed
by law; for instance, if the maximum profit was fi.\ed at 10
per cent., and the actual profit was 40 per cent., the govern-
ment would receive the extra 30 per cent, profit, either in
money or in a share of the business."
He said that the government had reached the limit of
taxation, and must seek other ways of liquidating their obli-
--ations. He gave his opinion that when the war bond issues
ell due, they should be paid, and not left to future genera-
lions.
ACCOUNT BOOKS
Loose Lkaf Ledgers
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS LIMITED
Simcoe and Pearl Streets
TORONTO
A Newspaper Devoted to
Municipal Bonds
'T'HERIi is published in New \ork City a daily
* and weekly newspaper which hag for over
twenty-five vears been devoted to municipal
bonds. Bankers, bond dealers, investors and
public officials consider it an authority in its
field. Municipalities consider it the logical
medium in which to announce bond offering's.
Write for free specimen copies
THE BOND BUYER
67 Pearl Street New York, N.Y.
AGGRESSIVE— III COMPANIES ON Tj«B ooiftf^Mttrr
N( >UTH^\'K^^TKK
ANNUAL REPORT
The Quebec Railway, Light, Heat
and Power Co., Limited
miC TlIK
Fiscal Year Ending 30th June, 1920
Submitted at the Annual Metting hrld in Montreal, on the
14th September. 1920
To tlio Slwrellolclers :—
Your DIrwiors bog to submit thf KiIIdkUii; nporl of the opera-
tions of your properties for the ye.ir eudod 30th June. 1920. togellier
will) flnnnclul statement of A.ssels aud Liabilities.
The Gross Earniiics from Operation for the year were t2.372,-
034.69, as compared with $2,077,621.43. IwlnB an Increase of
$2»I,4UJS
The Operating and Maintenance Expenses were Jl,"69,5«3.41, as
compared with $1,444,516.08, beini; an increase of
$32S.M7.S3
leaving the Net Earnings from Operation $602,471.28, as compared
•.villi $633,100.35. being a decrease of
JW.tM.OT
After adding Miscellaneous Income and deducting Fixed Charges,
taxe^ and depreciation for eitulpment placed out of service, there
remains a deflcit of
$44.7I)S.TS
The balance at credit of Surplus Account on 301h June, 1919, was
$682,464.29, and after charging the deflcit above mentioned together
witli an amount of $55,055.70 In connection with recent Privy Council
judgment, there remains a balance of credit of Surplus Account at
30tli June. 1920, of
$SI2,n4.t4
During the vear nine (9) new 1"..VV.E. double truck latest typo
cars were added to tile rolling stocli of your City Street Railway
Department. Ilie njieration of which have given great satisfaction tn
tlie travelling public. One more car of the same type was placed
In service during the current year's operations, completing order
placed for ten cars.
The I-otbinlere & Megantic Ilallway Company, operating between
Lyster, County of Megantic, and SI. Jean Deschalllons. County of
Lotbiniere, I'M., and which connects with the Grand TrunIi Railway
It I.ysler, and Canadian National Railways at Vllleroy, was acquired
bv tile Dominion Oovernment, The operation of tills line was taken
over by the Canadian Xalional Railways, cITective 1st April, 1920.
Extensive alterations and Improvements of the intake and the
installation of new steel head gates at the main dam on the Mont-
morency River were carried out during the year, the results of
which, when completed, will prove most satisfactory In the operations
of the Tower Division.
There was expended during the year on (Capital Account an
amount of t266,8IS.38, which amount includes tlio extension of the
City Street Railway ou Bcauport Road to tlic City liinlta, also the
nine (9) new double truck cars above referred to.
Statistical charts showing comparisons of the railway operations
for previous years are attaclied to this report, wlilch Information
will prove most Interesting.
The accounts of the Company have been duly audited and cer-
tifted to by Messrs. P< S. Ros-s & Sons, Chartered Accountants,
Montreal,
Your Directors desire to express their appreciation of the efficient
services rendered by the officials and staff of the Company.'
Respectfully submitted on behalf of the Directors.
LORXE C WEBSTER,
rresident.
Statement of Assets and Liabilities at June 30th, 1920 ,
ASSETS
Investments. Stocks. Bonds and Interest in other Car-
J1S.2U3U.T0
Treasury Bonds
1.487.!»0.00
Advanced to Controlled Companiei
1.9JI.5f3 99
5JZ87666
177.730.55
Cash on Hand and in Banks
130.9M.76 1
Accounts and Bills Receivable
9]9SiO.M
Stores and Supolies on Hand
259 5M.35 .
Prepaid Expenses, etc.
Z3.2T2.I0 \
S24.73«.«33.95
LIABILITIES
Capital Stock SIOOOO.OOO.OO
Less; Unissued S«« ««
S 9. 999, 500.0*
Bonds $t4.60«.OMOO
Less; In escrow to redeem
Bonds of Subsidiary Com
panics $3,411.00000
1
Less; Cancelled 144.000.00
1.SS5.000.00
U.045.00«M '
Bills Payable
725.1]l.t« 1
Accounts Payable, etc.
5S74I4.0} 1
223.2HU
Accrued Interest
101.!«7,03
Oe.lerred and Unclaimed Interest
1 151«0b73
9i254 SO
General Suspense and Reserves
2J3.I17.I0
Surplus
Surplus 5«2.704.M '
n4.7S6.«I3.»S j
Cerllfled correct ;
(Signed) A. E I.ABEU.E, Dlrecior.
(Signed) H. C. BOSSE. Comptroller.
(Signed) C. A. I.AV10SE. Director.
Quebec 30th Augii.«l. 1920.
Audited and rerltled as per Report of August 3Ath, 1920. annexed.
(Signed) P. S. ROSS tc. ^ONS.
. ! Chartered Accountanta.
THE M O N E T A r. Y TIMES
Corporation Finance
Laurcntidc Company Makes IJiti Strides after UeorKanization— P^arninps lor Six Months Approached
Those for Whole of Previous Year— Judjinient Against Granby Company Stayed by Court of
Appeal— Burt Common Dividend Increased Canada Foundries Company Sells Buffalo Subsidiary
Canada Foundries and ForKings C'o.-»-Anangements have
been completed for the sale of the Delaney Forge Co., the
company's Buffalo subsidiary, at a price which will net the
parent organization approximately $500,000. The Delaney
Forge Co. was purcha.sed by the Canadian company in th(j
fall of 1917.
(iuebfc Railway, Light, Heat and Power Co. — The an-
nual meeting of the company was held in Montreal on Sept-
ember 14, and the oflicers and directors were re-elected with-
out change. Lome C. Webster, president, expressed him-
self as satisfied with the year's operations, in view of the
conditions which have prevailed, and .spoke with optimism
regarding the financial results in the current year.
Canadian Woollens, Ltd. — A quarterly dividend of 1%
per cent., payable October 1 next, to shareholders of record,
September 20, has been declared. The company has been
organized a little over a year, and this is the first dividend
to be declared on common. The above rate is equivalent to
6 per cent, per annum, and is considered conservative, in view
of the last annual report, which showed 17 per cent, earned
on common shares.
Western Power Co. of Canada, Ltd. — The company re-
ports from Vancouver, B.C., operating revenue for the month
of July, 1920, as $44,501, an increase of 9.G per cent., com-
pared with July, 1919, and net earnings of $25,644, an in-
crease of 1.3 per cent., compared with July, 1919. There was
included in operating expenses during the month of July,
1920, the sum of ?l,t')85 for depreciation. For the twelve
months ended July 31, 1920, the company shows operating
revenues of $515,507, an increase of 12.4 per cent, over the
same period in 1919, and net earnings of $309,282, an increase
of 5.7 per cent., compared with same period in 1919, after
making allowances for depreciation of $23,842.
Ogilvie Flour .Mills Co., Ltd. — A 10 per cent, bonus has
been declared by the directors for distribution in cash, in
addition to the regular quarterly dividend of 5 per cent.,
and will be payablv, together with the regular dividend, on
October 1 next, to holders of record .September 2.'!. .\ bonus
of 45 per cent, was declared about this time last year.
Marconi Wireless Teles;raph Co. of Canada, Ltd. — As a
result of changes effected in the organization, the company
will henceforth be under Canadian control. The company
liow becomes alTiliatcd with the Canadian General Klectric
(^1.. and lyieutenant-Colonel Hon. Frederick Nicholls, Sir
William Mackenzie, and A. E. Dyment, all of whom are di-
lectors of the latter company, now have seat.s on the board
r)f the Canadian Marconi Co.
Mclntyre-I'orcupinc Mines, Ltd. — In the report for the
year ended June 30 last. President J. P. Bickel makes the
following remarks: —
"An operating profit of $1.''"' "" 1 n non-operating
profit of $228,828, making at ''.232, wos earned
during the year, a.s . ..nii'riin! - fr.r the previous
year. Of this anvi i- 1:19 follows:
Plant dcprecialii.il ■ s to bring
the.ie to present m >. , ........ . ..; v;....;urcs for de-
velopment work and interests acquired in adjoining proper-
ties, $'.^0.|,-ri7: nmount "ft rin for fi'rc?! nrrnied for the cur-
rent > • rans-
fcr t- i:! of
5 per . ^ . Imrc-
holders."
Nipissing Mining Co. — During August, 1920, the value
of the production of the mine was $'2.18,919, «9 compared
with S182.111 in July. During the month the low-grade mills
month. Shipments of bullion and residue reached the total
of $701,981. This included 598,199 fine ounces of silver sent
out from the refinery. July shipments were only $129,315.
Nipissing's production so far this year has totalled $2,340,983,
as compared with a total of $3,117,345 for last year.
F. N. Burt Co., Ltd. — Common stock of the company has
been placed on a 10 per cent, basis by the declaration of a
(juarterly dividend of 2yj per cent. This is an increase over
the 8 per cent, rate which has prevailed since April, 1919.
A record of the company's dividend payments follows: —
The preference shares have received 7 per cent, per an-
num since the organization of the company in September,
1909, and the common shares recer\'ed the first dividend on
April 1, 1910, at the rate of 4 per cent. That rate was in-
creased to 6 per cent, on January 1, 1911, and continued at
the advanced rate until October 1, 1914. As a precautionary
measure, at the commencement of the war it was reduced to
4 per cent, and remained at that rate until January 1, 1917,
when it was restored to 6 per cent. On April 1, 1919, it was
increased to 8 per cent. Preference shares may be con-
verted into common stock at any time, and the directors
have provided that preferred shares may be converted up
to October 15 in order to rank for the increase in dividends.
(Jranby Consolidated Mining and Smelting Co. — Judg-
ment of Justice Gregory, handed down on August 12 last,
favoring the Esquimalt and Nanaimo Railway in the suit
over the title to the Granby Company's coal lands near
Cassidy, B.C., particulars of which were given in these col-
umns recently, was ordered stayed by Justice Gallagher,
of the Court of Appeal, in a decision given in Victoria re-
cently, provided that the defendant appellants deposited se^
curity to the amount of $75,000.
It was further ordered that the defendant appellants '
should be allowed to mine coal from the lands affected by
the decision in the Supreme Court, up to the amount of 100,-
000 tons; but that no amount beyond that should be mined
on such lands without an order obtained from the Court of
Appeal. It is probable that the appeal will come on for
hearing at the next sitting at the highest court of the pro-
vince, and that the venue will be Vancouver.
Howard Smith Paper Mills. Ltd. — President C. Howard
Smith in a statement regarding the operations of the com-
pany, said: —
"We are filled up with orders, and all our plants are
running to full capacity. So far as I can see, this condition
will last for a long time. The earnings are entirely satis-
factory, and the new machines that we have been putting
in for the past eighteen months are now producing paper
that will show a substantially beneficial effect on our earn-
ings. We have had a great deal of export business offered
us, but have made it :> principle to look after the require-
ments of the Canadian market first. In certain lines, from
our new machines, we have exported a considerable quantity.
"We have i)urchascd extensive timber limits and are
considerably increasing our sulphite plant, so we will be able
to cope with the situation in the near future. We are also
building on electrolytic bleaching system and a 50-ton soda
pulp plant to manufacture bleached soda pulp. Changes
arc being made at the Cornwall, Ont., plant with a view' to
bnnging out papers that have heretofore never been made in
Canada, and it is expected that enough will be produced to
.supply the Canadian market with these lines and have a sur-
plus for export."
Canadian Locomotive Co — Net profits for the year
ended June 30 last amounted to $278,553, compared with
!?S48.68.". m the preceding year. Commenting on the large
■,..i„^t,,'v A. Jarvis. chairman, said:
September 17, 1920
THE MONETARY TIMES
DIVIDENDS AND NOTICES
DOMINION CANNERS LIMITED
DIVIDEND NOTICE
PREFERRED STOCK
Notice is hereby given that the quarterly Dividend of
one and three-quarters per cent, has been declared on the
PrefeiTed Stock of the Company.
The above Dividend is payable on October 1st next to
Shareholders of record at the close of business on September
15th next.
By Order of the Board.
W. R. DRYNAX.
Secretary-Treasurer.
Hamilton, September 10th, 1920. 226
THE CANADIAN CROCKER-WHEELER CO., LIMITED
DIVIDEND NOTICE
The Directors of The Canadian Crocker-Wheeler Com-
pany, Limited, have declared a One and Three Quarters per
cent (1%%) dividend on the preferred stock of the Company
for the three months ending September 30th, 1920, to share-
holders of record September 20th, 1920. Also a dividend of
One and Three Quarters per cent (1%%) on the common
stock of the Company for the three months ending September
30th, 1920, to shareholders of record September 20th, 1920.
The Stock Books will be closed from the 20th to the
30th of September, both days inclusive.
Checks will be mailed to shareholders on September
30th, 1920.
By Order of the Board.
H..A. BURSOX,
Secretary.
St. Catharines, September 2nd, 1920. 223
Dividend Notice
NOTICE is hereby given that a inuirlcrly dividend
of two and one-half tcr cent. Cli%) for three
tronlhs cndini! September aoth. 1920 (beinu at the
rate of ten per cent, per annum), has been declared
upon ihe Capital Stock of thi-s Institution, and the
same will be payable at the offices of the C mpany.
Toronto, on and after Frday, the 1st day of October.
1920.
The Transfer Books will be clo5ed from the 16th to
the 30th of September, both days inclusive.
By Qr^cr of the Board,
G. A. MORROW.
.Managinu Director.
CENTRAL
CANADA
LPAM AMD SAVINGS
COMPANY
King & Victoria Sts. Toronto^
THE MONTREAL CITY AND DISTRICT SAVINGS BANK
Notice is hereby given that a dividend of Two dollars
and fifty cents per share has been declared on the Capital
Stock, called and paid up, of this Bank, and will be payable
at its Head Office, in this City, on and after Friday, first of
October next, to shareholders of record, Wednesday, fifteenth
of September next, at three o'clock p.m.
By Order of the Board.
A. P. LESPERAXCE,
General Manager. ,
Montreal, August 28th, 1920. 216
DIVIDEND- NOTICE
Notice is hereby given that Dividends have been declared
by Provincial Paper Mills Limited as follows: —
Regular Quarterly Dividend, l%7r on Preferred Stock.
Regular Quarterly Dividend, I'/s'i- on Common Stock.
Special Dividend, I'/'r on Common Stock.
All payable on October 1st to Shareholders of record at
close of business, September Inth, 1920.
(Signed) S. F. DUNCAN,
227 Secretary.
THE OGILVIE FLOUR MILLS COMPANY, LIMITED
DIVIDEND NOTICE
Notice is hereby given that a quarterly dividend of three
per cent., together with a bonus dividend of ten per cent.,
have been declared on the Common Stock of The Ogilvie
Flour Mills Company, Limited, payable Friday, the first day
of October, 1920, to Shareholders of recoi-d at the close of
business, Thursday, the twenty-third day of September, 1920.
By Order of the Board.
G. A. MORRIS,
Secretary.
Montreal, September loth, 1920. 232
INSTITUTE OF ACTUARIES
■*■ STAPLE INN HALL. LONDON.
NOTICE IS HEREBY OIVKN:-
1. That the Examinations uf the Institute of Actuaries will be held from
Monday. i:< Lecemher. to Wednesday. 15 December. I921I. inclusive.
2. That ^.and:date5 presentmg themselves for the first time fur Part I
of the Examinations must make application for admission as
Students of the Institute on the form lo he obtained from Ihe
Local Supervisor, and remit the Application Pec of £l I 0. in
addition to ihe Examination Pee.
' Ihat all Hpplicitions of Candidates for Examination, and all re-
mittances from them, should rench the Hon. Secretaries in Lon-
don, not later than \3 October. 1920.
(By Order) H. M. TROUNCER. \ Hon.
A. C, THOBNE. I .'Sera.
O. CECIL .MOORB. 2'iS
The Imperial Life Assurance Co.,
20 Victoria St .
Hon. Supervisor in To onto.
Condensed Advertisements
" Positions Wanted." 'lie per word: all other condensed advert isimcnts
^c. per word. Minimum charge for any condensed ;idvcrtiscmcnt. SOc
per insertion. All condensed advcriifcefrcnts must conform to uRuai
style. Condensed advertiserrcntrt. on at.cnunt of the vcri low rate*
chartted for them, are payt- blc in advance: .'iO per ctnl. extra if chtir»ied
CONFIDENTIAL APPLICATIONS invited for Branch
Manager at Winnipeg for English fire tariff company. Must
have extensive Western connection. Territory, Manitoba,
Saskatchewan and Alberta. Apply Box 335, Monetary Tinier*
Toronto.
THE MONETARY TIMES
"The strike of last year extended into this year, coni-
]il"tely c-uttinp off our production for the first three months.
This, tOKcther with the frreat difliculty in securing material —
owing to the strike and emliargoes on American railways —
has affected our output for the pest year very materially.
However, we have at the present time sufficient contracts
nil hand to run us up to January 1, 1921, beford which time
iinuoubtediy further contracts will be closed."
There was a surplus of $l,:3GG,7y4 brought forward from
the previous year, however, so that the dividend position of'
the company was maintained. After allowing for interest
en bonds and depreciation, etc., and adding interest on in-
vestments to the net profits, there was left $109,189, com-
pared with $677,377 last year. Adding this to the balance
l.rought forward, the total for distribution' amounted to $1,-
47.5,9S.'!, as compared with Sl,(>0t),7U-l previously. Of this
amount sinking fund took .?15,000, which was the same as
in 1919, preference dividends were paid to the amount of
yi05,000, also the same as last year, and $145,000 was dis-
tributed on common, as compared with $120,000 in 1919,
leaving a balance to be carried forward of $1,210,983.
The liquid position of the company is not so strong as
la.st year, current assets amounting to $2,630,189, compared
with liabilities of the same category of $1,077,134. The
figures last year were $2,298,430 and $633,7.54, respectively.
Total assets are $8,2.38,192, as compared with .?7,871,474.
Laurentidc Co., Ltd. — A record showing for the six
months ended June 30 last is shown in the statement of the
company which will be presented to shareholders at the an-
nual meeting next week. The figures represent the opera-
tions of the reorganized company, which took the place of
the old company last January. The president in his report
points out that the conditions peculiar to the pulp and paper
industry rendered it advisable not to change the date of the
end of the old fiscal year, so that the initial statement is for
six months only. Figures show that total income for the six
months amounted to $2,566,673, or but $389,305 less than the
total for the whole of 1919, and almost up to the level of
1918.
After all deductions, including interest charges, depre-
ciation and war tax provisions, there remained a balance
applicable to the trebled capitalization of the company —
which now amounts to $28,800,000 — of $1,499,538, or equal
to 5.2 per cent, for the half year. Allowing for earnings at
the same rate during the latter half of the current calendar
year, and without taking into consideration the enhanced
prices the company is securing for its newsprint and other
products, the percentage on the increased stock would be ap-
proximately 10V4 per cent., or equivalent to 31 Mi per cent.
'■n the old capitalization.. This showing is made despite a
IS allowance for depreciation i>nd depletion, for which
-'^ was appropriated out of the earnings of the half-
. compared with $505,395 for the full 1918-19 period,
and *J71.883 in the preceding twelve month.s. Reserve for
business profits war tax also was increased by $40,000 to
$280,000 for the six months.
Accounts and bills receivable are up by over $500,000,
standing at $1,590,547, as against '$1,056,238, due, presum-
ably, to the increased business being done and the higher
prices prevailing. Ix)gs and logging supplies also more
than doubled their figures in the year, being shown as
$5,373,606, compared with $2,533,912 a year ago.
Among the important changes in the linbilittr? is an
item of $2,812,S.S9, representing advances fi' ' ; :iny's
bankers. A year ago there was no indi this
nature shown, the changed position in thi,« n , l' due
to the extensive additions and improvements alroady effected,
or now under way. at .the Grnnd 'Mero plant, whero now
paper-making machinery, aloi ' '
of considerably ip excess of
Working capital of the coni]
strengthened, as will l>e .seen from the fulluwuig ligure:-. —
June .30. 1920. June 30. 1919.
Current assets $13,431,228 $7.':'~- - '
Current liabilities 5,377,761 1.^-
Working capital 8,053.467 l>:'
1{ E C E N T FIRES
.Vllen Cilove Manufacuring Co. and Thirteen Dwellings in
Montreal, Que.. Damaged with Loss of $200,000— Sawmill
of Itrooks. Bidlake and Whitall Co.. I'owell River.
B.C., Destroyed with Loss of $115,000
Aylmer, Ont. — September 15 — Brown House Hotel and.
an adjoining building were damaged by fire. The loss will
amount to several thousand dollars.
Bar River. Ont. — September 13 — Blacksmith shop of W.
G. Greenwood. The loss is $7,000, with no insurance.
Cloverdale, B.C. — September 4 — Smith and Hutton's
shingle mill was destroyed by fire with a loss estimated at
nearly $40,000.
Granby, Que.— September 4 — Residence, occupied by Mrs.
Duplace, on Queen Street was destroyed- by fire. The loss
is partly covered by insurance.
Limoilou, Que. — September 7 — Roman Catholic parish
house was damaged by fire. The loss is $20,000.
London, Ont. — September 8 — C.P.R. warehouse, situated
between Ontario and Quebec Streets, was damaged by fire.
The fire was caused by spontaneous combustion.
.Montreal, Que. — September 9 — Allen Glove Manufactur-
ing Company's plant and thirteen dwellings were damaged
by fire. The" loss is estimated at $200,000.
I'owell River, B.C. — September 9 — Sawmill plant of the
Brooks, Bidlake and Wbittall Co. was damaged. The loss,
which was $115,000, was covered by insurance.
Seaforth, N.S. — September 11 — Two bams of Samuel
Storey, with the season's crops and farm implements, were
destroyed.
Timmins. Ont. — September 11 — Planing mill and large '
two-story workshop of Dan" St. Onge was damaged by fire.
The loss is estimated at $10,000, with insurance of $5,000. ,
Toronto. Ont. — September 9 — Building occupied by the I
Studebaker Sales Service, 472 Yonge Sti'eet, was damaged
by fire. The fire was caused by defective wiring.
September 10 — Plant of Johnson and Son, Dundas Street
and Sheridan Avenue. The loss is estimated at $15,000, partly
covered by insurance.
September 14 — Boiler rooks of the Milnes Coal Co. were
damaged by fire. The cause is said to have been hot ashes
dumped against the building. Estimated loss, $5,000.
Tweed, Ont. — September 0 — Residence of Gus Thompson
was destroyed by fire. The loss was partly covered by in-
surance.
Vancouver. B.C. — September 5 — Empire Buildings, Hast-
ings and Seymour Streets, were damaged by fire. The loss
is estimated at $1,500.
Winnipeg, .Man. — September 11 — Forrester Block, Fort
Street, was damaged. Loss, $13,000.
^^'oods(ock. N.B. — September 9 — Garage, operated by
Smith Grant on Water Street, was damaged by fire T'm' <"".-
is believed to have been caused bv hot ashes.
ADDITION Al, INFORMATION CONCERNING FIRES
Chapman. On). — .August 24 — Frame house and contents
belonging to W. H. Lusk damaged. The fire was causcti by
a coal oil stove exploding. The^loss is $1,600, with insur-
ance of SSOO in 1/onilon Mutual.
Port Cnquillam. B.C.— August 5— In the big fire in this
town the following buildings were burnt: Wood poolroom
and dwelling, value $11,000; insurance $3,000, Home Insur-
ance, of New York. C.P.R. freight shed, value $1,400; fully
insured. Wood garage, value $3,000; insurance $1,000, Que-
Ih-c Insurance Co. Wood printing office, value $6,000; insur-
ance $1.S00. General .Xccidcnt. Sun. Connecticut, Ocean Guar-
antee. Wood hotel, value JIS.OOO; no insurance. Wood dwell-
ing, value $1,400; insurance $1,200, Pacific Coast Fire. Wood
dwelling. $2,700; insui.in e $1,500. Pacific Coast Fire. Wood
ith shop, value .<4.000; insurance $1,000, Liverpool-
1. The fire is supposed to have originated by sparks
f chimncv.
* The Monetary Times
f Printing Company
of Canada, Lin-.it-.J
L" The Canadian Ensjineer'
E :
Trade Review and Insurance Chronicle
of (TanaDa
Established Ihi:^
Old as Confederation
JAS. J. SALMOND
Prostdent and General Manager 1
A. E. JENNINGS
Assistant General Manager
JOSEPH BLACK
Secretarj-
A. AkKAGUE
Edltar
i
Chambers of Commerce of the British Empire
Problems of Empire Trade Being Discussed at Ninth Congress, Which
Opened in Toronto Last Friday— Will Tour Ontario Next Week — Many Reso-
lutions Being Considered— Proposals to Stabilize Exchange Within Empire
*'rpHIS great assemblage is the culmination of the hopes
A and ambitions of the Toronto Board of Trade for many
years, and the realization of these gives to our organization,
its members and its officers the deepest gratification," said
C. Marriott, president of the Toronto Board of Trade, in
welcoming the delegates to the ninth congi-ess of Chambers
of Commerce of the British Empire. The congress opened
in Toronto on September 17th, where it remained until to-
day, September 24th. The remainder of this week will be
spent in St. Catharines and Niagara Falls, and next we^k
the delegates will visit Bi-antford, London, Windsor, Guelph
and North Bay. The following week they will go to Copper
ClitT, Espanola, Sault Ste. Marie, Cobalt, New Liskeard,
Haileybury, Timmins and Iroquois Falls, returning by way
of Ottawa and Monti-eal.
The delegates came from all parts cf the empire, and
number about ninety. Other Canadian cities and towns are
represented to the number of about 100 delegates. Rt. Hon.
Lord Desborough is president of the congress.
Review of Previous Meetings
The first congress was held in London in 1886, on the
invitation of the London Chamber, at the Colonial and Indian
Exhibition of that year, and thereafter, more or less, trien-
nially until 1912. In two instances during this period they
were convened in the overseas Dominions, viz., at Montreal
(Canada) in 1903 and at Sydney (New South Wales) in 1909
in view of a decision that they should be held alternately in
London and in the Dominions. The last congress having been
held in London, it was decided to accept the invitation of the
Toronto Board of Trade for the succeeding congress, to take
place in Toronto in 191.5. Owing to the war this invitation
was held in suspense until circumstances were more favor-
able, and after many delays and changes in arrangements it
was definitely convened for September 18lh. 1920. Lord
Desborough, who was president of the congress in 1912, and
who again occupies the same position this year, js president
of the British Imperial Council of Commerce, and thus has
been in close touch with the business of both congresses. By
this and other means continuity of purpose has been ensured.
These congresses have been invariably thrcjwn open to
any chamber of commerce of board of trade which may be
willing to send delegates, but the representation prior to
1012 was not strictly confined to such bodies. After the
Sydney congress of 1909, however, it was considered de-
sirable to limit representation to chambers of commerce and
boards of trade or associations thereof while preserving the
franchise on the broadest lines, and in 1911 it was resolved
to form a permanent bureau for future congresses, called
the British Imperial Council of Commerce, by which the 1912
congress was arranged. New rules were foitnulated in No-
vember, 1913, under which the congress now meets, which
differ in the main from those of the British Imperial Council
of Commerce and are kept separate and distinct. There is.
however, this similaritv hotwrpn the constitution of the council
and the congress — both are comprised of representatives
elected by individual chambers of commerce, boards of trade
and associations thereof; but, as it happens, the membership
is not precisely the same, as certain bodies which have par-
ticipated in the congresses have not thought fit to subscribe
to the council also. There are, however, 116 bodies affiliated
with the council.
Extensive Program
In a summary of the work of the congress, written in
anticipation of this year's meeting, Charles E. Musgrove,
honorary secretary of the ninth congress, says: —
"During the period 1913-1920 the British Imperial Council
of Commerce has had steadily in view its main purpose, viz.,
to keep alive the woi'k of the congresses between one meeting
and another by carrying out the resolutions passed and pre-
paring for the next occasion when the congress meets. In
addition, the British Imperial Council of Commerce has
initiated several matters of importance, more particularly
relating to war conditions, by convening, besides its annual
meetings, certain business conferences, notably in 1916, when
valuable discusisons on economic topics, including imperial
preference, were initiated, bearing upon post-war conditions,
which, however, to some extent, lost their practical value
owing to the war being protracted until November 11th, 1918.
There was still great uncertainty in regard to the economic
position until peace with Germany was signed in 1919, as
it was not possible to deal with post-war conditions in any-
thing like a comprehensive form. Large schemes of economic
reconstruction, both on the part of the government and of
business men, have been held in abeyance by adverse con-
ditions which were not merely inter-imperial, but world-wide
in their manifestations. Even now it cannot be said that there
is anything like an assured basis for progressive develop-
ment on strictly imperial lines owing to adverse circum-
stances existing all over the world, but the way is clearer
for the consideration of many problems which press for solu-
tion and for the reconsideration of many of the old ideals
under altered conditions.
"It is hardly necessary, and would, indeed, be impossible,
within reasonable limits, to describe in detail the results
which have attended the meetings of the congress since 1886,
but as one who has been connected with them from the first,
in conjunction with his predecessor (Mr. Kenric B. Murray),
the writer can aflirm that many of the measures advocated
have ultimately materialized, sometimes in a modified form,
due to altered circumstances. There is no doubt whatever
that, looking at the subjects considered, even at imperial
conferences, the governments represented have been inspired
from the same sources as the chamber of commerce, aided by
public opinion. Some of the old questions of the past are
still with us. retarded in their solution by war conditions.
Others, old and new, are ripe for treatment and only need
the powerful help of governments to be settled. All that any
congress can do is to affirm its views and take steps to secure
effect being given to them in the proper quarter, bearing in
THE MONETARY TIMES
Volume 65.
mind that the thought of to-day may become the act of to-
morrow. Measured by this standard, a congress of chambers
of commerce compares favorably with any other."
Toronto Sessions
In speakinj; at the opening meeting on September 17,
Mr. Marriott, president of the Toronto Board of Trade,
said: —
".After such a titanic anu terrific war it was inevitable
that commerce and industry together with all great public
services throughout tlie empire should be disorganized. In
fact, so widespread had been the changes that the work of re-
construction had, been delayed, perhaps not unduly delayed,
for the making of a new world. In the making of this new
world time should be taken to lay the foundations deep in
righteousness and honor and justice and unselfishness. The
business of the empire should be carried on for the benefit of
all the people who are its co-operative shareholders. We
approach the opening of the congress to-morrow with great
anticipations and high hopes, believing that its deliberations
will result in important benefits to the wellbeing of trade
and commerce through the empire."
Lieut. -Governor Lionel H. Clarke spoke on behalf of the
province, and mayor T. L. Church on behalf of the city.
Sir James W. Woods, chairman of the Toronto Board of Trade
general congress committee, expressed the opinion that no-
one now questioned the wisdom of postponing the meeting
which had been planned for 1915. Many conclusions which
might have been reached then would have had to be re-
vised now, he pointed out. The purpose of the 'Congress, as
he understood it, was to see that all efforts are made to the
end that every dollar's worth of goods imported by any part
of the empire shall, if possible, be got within the empire. In
the case of Canada, he had to confess, there was room for
improvement. In the past twelve months Canada importeii
from the United Statea goods to the amount of $»02,102,-
187, or about $100 per head of population. Canada bought
from the United States five dollars' worth of goods for
every dollar's worth purchased from Britain, and nearly twice
as much as the United States bought from Canada. From
the motherland Canada bought only one-iiunrter of what
Britain purchased here. He believed the preferential tariff
had been a great influence in stimulating trade with Britain.
"But I believe," continued Sir James, "much more would
be accomplished by arousing a real empire spirit for the
purposes and demands of peace, as we had it in connection
with the war." It was to awaken such a spirit that he was
glad to see the Congress come to Toronto. He wondered
why .some of the spirit that was quickened in .August, 1!)14,
could not be aroused in connection with imperial commerce.
"If the Bolshevist can scatter his seed broadcast and produce
a crop of disciples of his peculiar brand of world salvation,
surely the Congress will devise some means of propaganda
that will achieve results."
Replica on behalf of the delegates were mnilc by Lord
Pesborough, president of the congress; by Stanley Machin,
chairman of the organizing committee, and President of the
London, Kng., Chnmber of Commerce; by A. J. Hobson, late
lord mayor of Shenicld, and president of the Association of
British Chambers of Commerce, and by Thomas Mackenzie,
former premier of Now Zealand. Lord Desborough stated
hat he had already been through Cana.la on more than one
occasion, and each time is impressed with the progress made.
•Mr. Machin said:— "As we stood together in war, so may we
.itaml together in peace. We are here on this great com-
mercial mission to meet in this city representatives from
almost every important part of the empire, to discuss ques-
tions of the greatest commercial importance, and I feel that
we at this time should act in the sentiment of thr words of
cMir grc.Ttest colonial secretary, Joseph Chamberlain, and
think iiii|.orially." Mr. Hobson emphasized the fact that
Canada was to have her own ministvr at Washington, and
Lloyd George had announced that there would be a meeting
once a year of the Imperial War Committee, at which the
overseas premiers would be present or send their personally
accredited representatives. The congress would endeavor to
do something to assist in the work of reconstruction. It was
not proceeding as rapidly as one would like. Europe was in
a sad and miserable state. The fires of war had not yet been
put out, and until they were entirely extinguished, and until
the nations have been restored to stable conditions, with re-
gard for honesty and a desire to carry out their obligations.
present conditions would likely continue to prevail.
Empire Currency and Exchange
The most strikin:^ proposal considered at the Toronto
meetings was that made by John F. Darling, who moved
the followin<r resolution : "That the home government be !
asked to call an imperial conference on the stabilization of
our inter-empire exchanges by the co-operation of the home
government with the governments of the Dominion of India."
Mr. Darling said in part: "Each portion of the empire
is anxious to get back to gold parity, and this can be done
by co-operation of the units of the empire. The only basis
for this is the pound sterling, but before this is adopted as
an instrument we must make sure it is on a sure and sound
basis. This is impossible because there is not enough gold
to go .nround. The proposal is that the self-liquidating bills
of exchange should be made the basis for further altera-
tions in exchange. London will always be the centre of such •
bills, no matter what happens. These bills for goods bought
should be for only three months, and there is no necessity
for altering the nomenclature of the various monetary sys-
tems in the cnpire.
".A basis for currency may conform to past theory, but'
if it is nether practical nor workable for us under the
changed economic conditions caused by the war's upheaval,,
wc n-ust endeavour to find some other basis. This is surely!
the case in regard to gold and silver. Their sources of
supply are uncertsiin and subject to great changes; on the
other side, the demands for currency or as a basis for credit
have to contend with the demands for the arts and the in-
satiable demands of the east.
"Why should wo not follow the lead of the United States^
and introduce bills of exchange as a currency basis to ini-'
prove somewhat on the federal reserve system? It is ■neces-'
sary to diftin"'uish between the bill created on pure credit
and that drawn ajrainst a movement of goods from one coun-
try to another. The former we eliminate, and even in the
latter it is desirable to limit the time the bill has to run to
three month? and to avoid renewals.
"But within these limits a currency system based upon
bills of exchange is really ba^cd upon a mass of different
commodities in course of n-ovement. at current prices, and,
in the majority of cases, actually sold so that the bill can be
easily met at maturity.
Canada's I'eruWar Difficulties
Sir Edmund Walker, in seconding this resolution, said:
"I want to mnke n frank statement as to the difficulties in
this regard. In Cinndn the currency is the dollar, based
on the old Spanish dolbr. We u'-ed to have two kinds of
shilling's here. Our financial affairs are rooted with the
people to the south of u-— the United States. We are in-
volved in the entire trade of North America, with New York
as our financial centre. We could not do business with the
St^ntes if we had nn Enelish currency. Such an object as
Mr. Darling has outlined is a worthv nn,. Hni von n.wsi
recognize our difficulties."
.An Imperial Banking System
Th's propo«:il carried almost unanimously. .Anothei
proposal of Mr. Darline's. to the effect that an imperial ban!
and clearing .system should be created, was also discussed
Mr Darling explained that this would completely secure the
sla»-iHzition of all int<'r-empire exchanges. it would b(
nocfssarv to secure a common custodian of funds of 12.'
ba^ks. fo'- bank amalgmations have been carri-H =o far ant
September 24, 1920
THE MONETARY TIMES
the branch bank system so greatly developed, that there
are now only some 125 separate banks in the whole of the
British Empire. The Bank of England, already acting as
custodian for many other banks, could act in this capacity.
One of the functions of the empire bank would be to
issue cable transfers to its banking clients at par between
the central office and any other office, and the figures of each
office would be wired weekly to the central office and in-
corporated in the weekly balance sheet issued by the empire
bank. He emphasized the point that cable transfers from
one branch of the empire bank to another branch would
have no effect upon the aggregate of bankers' balances with
the central office in London, the level of the pool always
remaining the same.
Dominions could be given representation on the director-
ate, and the bank would then become a truly imperial bank,
and notes would in reality become imperial notes, acceptable
at par any place in the empire.
The notes of this bank are now almost entirely backed
by gold, pound for pound. Acting as an imperial clearing
house, with the short-term bill of exchange the common basis
of currency value, this condition would still obtain, and thus
a comparatively simple system of machinery for the stabiliza-
tion of inter-empire is secured. There would be some slight
difference between buying and selling pounds sterling as be-
tween one part of the empire and another, sufficient to com-
pensate the banks for handling the business, but as the banks
could always obtain cable transfers at par backwards and
forwards from the empire bank, exchange fluctuations
would in effect be eliminated. The rate of interest would also
tend to equality the empire over on the same security, which
would be a further aid to production.
The Canadian dollar, said Mr. Darling, is now related
neither to the American dollar nor the British pound sterl-
ing. It stands pretty much alone, but under the proposed
system it would have a very definite relation to the standard
employed throughout the empire.
WILL NOT ACCEPT UNGUARANTEED BONDS
Dominion Government Defers to Right of Province to Control
Matters Relating to Municipal Affairs
(Special to The Monetary Times.)
- Ottawa, September 23, 1920.
PENDING the outcome of the Ontario government's in-
vestigation into the hydro-radial situation, the Dominion
government will not take advantage of the offer of bonds
which are an obligation of the municipalities alorle. in return
for its radial lines in Ontario. When the question was
brought up here, it was deferred till the return of Hon.
J. D. Reid, minister of railways, from the west. Dr. Reid
has left on a trip to Europe and it is now intimated that
the hydro bond proposition remains in abeyance, and more-
over, that nothing will be done in the matter till the com-
mission investigating the radial scheme shall have made its
report. Without taking sides on the merits of the radial
discussion the government is understood to have come to
the conclusion that it would be well to wait and ascertain
the attitude of the provincial government to the radial pro-
ject before agreeing to accept municipal bonds not guaran-
teed by the province. One reason cited is that the province
is really the guardian of the municipalities and framer of
the laws defining municipal powers and governing their ac-
tivities.
The opinion is expressed that an awkward situation
might arise if the Dominion government should accept muni-
cipal bonds over the head of the province, which has the
power to define, enlarge or restrict municipal borrowing
powers. It is very doubtful, therefore, that the electric
lines of the Canadian National system will pass to the Hyiro
Commission unless the condition is such as will meet with the
approval of the Dominion and provincial governments and
the directorate of the Canadian National Railways, who are
understood to have a considerable say in the matter. Nearly
^7,000,000 is the purchase price quoted by the government
for the sale of the electric roads in question. The price asked
for the Toronto Suburban is $2,(328,000, for the Niagara, St.
Catharines and Toronto .'?.',,.i44,000, and for the Toronto
Eastern ?70G,000.
Canadian Trade Mission Finished
The Canadian Trade Mission is preparing to close up in
November after administering 157 millions of credits abroad,
of which about 65 millions have been taken up. Credits of
25 millions each were extended to Greece, France, Belgium
and Roumania. Roumania was the only country that availed
itself of a full assortment of Canadian goods. It has ab-
sorbed $20,483,076, Greece $7,141,300, France $5,900,000 and
Belgium $1,772,263. Italy has taken up 6 millions for meats.
Of the timber credit of 50 millions, 26 millions has so far
been absorbed.
Preliminaries of the Grand Trunk arbitration com-
menced on Monday with an inspection of the physical assets.
Sir Walter Cassels, ex-president W. H. Taft and Sir Thomas
White, who compose the board, will go from Montreal to
Chicago first, and afterwards, it is intimated, over the G.T.P.
to the coast. The date for commencing the court proceed-
ings in the arbitration has not been decided, but it will prob-
ably be earlv in November. The arbitration will take several
months. It "will determine the value of the common stock of
the company, and much evidence on the subject will be intro-
duced. Just as the arbitration board is starting out from
Montreal westward, the directors of the Canadian National
will leave Montreal to inspect the eastern lines of the system.
Settlement With German Creditors
More than $2,000,000 received from Canadian firms and
individuals in payment of debts owing to Germans at the
beginning of the war is now lying in the bank to the credit
of the custodian of enemy debts. The money has been col-
lected bv the cu.stodian, the secretary of state, in accordance
with the arrangement made in the treaty of Versailles for
the settlement of debts between citizens of the signatory
nations. Under the treaty direct settlements of pre-war obli-
gations between citizens of allied countries and German na-
tionals is forbidden and provision is made for the establish-
ment of a system of clearing houses. Canada has a local
clearing house of which the secretary of state is head. Ihat
clearing house communicates with the German clearing house
through a central clearing house in England.
Many Canadian firms, too, it is stated, are now anxious
to close up accounts with Germans and readily pay accounts
owing to the latter into the clearing house. The custodian
had disposed of the assets of some companies which were
wholly owned by Germans and which were liquidated From
one of these, located in Montreal. $200,000. Included m the
propertv to be dealt with is 143.000 shares of Canadian
Pacific Railway stock, which stood in the name of the Deut-
<rh,'v Bank.
Wont Send for Russian Gold
Agents of the Soviet government of Russia have ma.le
requests that Russian gold, shipped to Canada to pay for
goods will be guaranteed from any other claims against the
Russian government. They are asking that any gold sent
to Canada to pav for goods purchased in the Dominion will
not be devoted to any other purposes. The Dominion gov-
ernment, however, it is understood, is declining to give any
such guarantee or to be involved in any way in the ship-
ment of Russian gold. Opening up of trade relations between
Canada and Russia are therefore at an impasse. The posi-
tion taken bv the Dominion government is that if any in-
dividual Canadian wishes to trade with the Soviet or any
other government in Russia he may do so, but at his own
risk There is no embargo on the exportation of Canadian
goods to Russia, but the exporter will have to make his own
arrangements for payment as no credit will be furnished
by the Dominion government.
THE MONETARY TIMES
Volume 65.
LITTLE KECOVKKY IN WESTEUN HI SINESS
Kft'ii Interest in West as Investment I'ield Indicated by
Number of Visitors — Winnipeg Selling Hydro Bonds
(Special to The Monetary Times.)
Winnipeg, Man., September 23, 1920.
'T' HE weather in Manitoba this week is rather unfavorable
A for threshing, but a good deal is already done.
The sale, locally, of Hydro-Electric bonds has started.
The city light and power department has placed one and a-
half million six per cent, debentures on the market and these
ale being well taken up. The first day thirty thousand was
subscribed for.
BusinesK Not Good
Wholesale trade in the west is reported only fair. Orders
from country towns are commencing to come in, wholesalers
say, but spasmodically and "as required." Retail trade in
Winnipeg and big cities is "fair" and there are many sales
in clothing, boots and shoes, and like lines. Calgary and Ed-
iVionton reports wholesale business good. Merchants who had
cancelled during midsummer have since reordered which bears
out reports of better business in country towns, although
threshing is far from completed and farmers busy. Farmers,
of course, have very heavy liabilities to banks, to merchants,
etc., on 1919 commitments, for which it will take a large
part of this year's proceeds to liquidate, but the outlook is
generally excellent. Collections are improving with proceeds
of crop coming in.
Crops Evenly Distributed
J. W. W. Stewart, managing director of the Monarch
Life Assurance Co., has just completed a fall tour through
western Canada and reports that business conditions gen-
erally throughout the west have assumed a real healthy
.state. The somewhat even distribution of good crops, though
of low acreage in many districts, is the cause of general
gratification. High prices for grain quite overcome the low
yield. Mr. Stewart says: —
"In British Columbia there is fair mining activiy out-
side of gold mining. The cost of operating the latter at
the present time runs the cost of producing the standard
metal very high. Lumber for export is fairly active, de-
pendent, of course, upon the ships. The mills which pro-
duce for home consumption will continue quiet pending the
movement of the prairie crops. The fish business is mod-
erately active, while demand remains good for well-packed
products. Tourist trnfllc is heavy. The imperial press and
other important excursions arc looked upon as forerunners
of considerable activity at the const and a substantial in-
crease in population is looked for. The housing problem
Heems quite as difltcult as in any other part of Canada, in
spite of the fact that a large number of moderate sized
homes are being erected in the suburban districts. A large
pn)>ulatinn is anticipated from the prairies. It is common
talk that if the railway companies, the government, Van-
couver and Victoria would co-opcrnte by installing certain
winter playgiounds with a couple of good .swinlming tanks —
one on the mainland and one on the island, that a large
amount of Californinn winter tourist traftic would be di-
verted to the coast where the cost would be much less than
by going south.
"Tlie Dominion government is spending five million dol-
lars on wharfage and the minister of marine stated pub-
licly that the government plnnnc<l to spend another five mil-
lion dollars on Vancouver shipping facilities — that within a
year n line of steamships woiild ply bitween Imlia and
Vancouver. A large steel and smelting project, invulving
very heavy expenditure in British Columbia, is now under
way. Copper mines and concentrators arc quite active, run-
ning three shifts daily. Industrial and labor Hiaturbnnces
are more moderate. Many ex-military nn ' ing
their homes in British Columbia. The thi' in-
ental rnilway.s have splendid facilities for b" !hc
public. Most tourists are not aware of the cxcallcnie of the
Kettle Valley Railway through Southern British Columbia,
lor of the beautiful trip from Cranbiook to Golden, via the i
Windermere and Columbia Valley route. One of the most
beautiful holiday places in British Columbia, is Lake Win- i
uernure.
"A most optimistic feeling has come over Alberta, par-
ticularly since the definite assurance of reasonable crops.
As soon as the actual movement of the grain in reasonable
quantities is started, commercial activities will be satisfac-
tory in the towns and cities.
"In Saskatchewan, the general feeling is most cheerful.
Saskatchewan has been in need of some real money on a
large scale and the people should have their desires well
gratified this year.
Many Visitors in West
"I met the president and general manager and western
manager of one of Canada's largest trust companies. These
gentlemen traversed a part of Manitoba, Saskatchewan and
-Alberta by motor. They are very conservative gentlemen ;
and will no doubt be making their own public statement, but
they expressed great satisfaction with what they had seen
and learned throughout their trip.
".Another group of eastern financial gentlemen have just
completed their sun-ey of the west, extending over a period
of several weeks, and have gone back to Ontario feeling
greatly pleased with western conditions. <
"In addition to the distinguished visitors from Great i
Britain and her colonies who have thoroughly traversed the
west, several hundreds of American bankers, business men ,
and farmers from the United States have in groups per-
sonally witnessed the real harvesting operations on the
prairies, and it is only reasonable to assume that very bene-
ficial results will follow the visitation of these prominent
and influential persons.
"With other financial conceims, the Monarch Life is en-
joying a good share of this year's pi-osperity. Death losses i
have dropped 50 per cent, lower than last year during the i
same period and the business shows a fair increase over the
same period in 1919."
DOMINION CHARTERED ACCOUNT.VNTS'
ASSOCIATION
The annual meeting of the Dominion Association of
Chartered .Accountants, held in Toronto last week, was
the 18th annual meeting of this association since its founda-
tion .'ind the eleventh since "confederation" in 1910 when it
became the central body of the provincial institutes — all
mcml ers of the provincial institutes resident in Canada be-
ing, ipsn facto, members of the Dominion association. At
this convention the scope of membership was proposed to be '
enlarged and the by-laws amended by which members of the
provincial institutes, ro?i('ent out of Canada shoubl also
be members of the Dominion association. A by-law amend-
ment to this effect will be circulated to provincial institutes •
for their approval.
The total registration at the convention was 117 — of
whom SO were members of the Ontario institute — 3,5 from
the other seven provincial institutes and two American ac-
countants. The annual convention is held alternatively in
each province; last year in Manitoba, next year in British
Columbia and the following year in Nova Scotia. The mem-
bership is now ,'>70. an increase of one hundred and twenty-
three per cent, in the past 10 years.
R. .1. Dilworth. as president of the Ontario institute,
gave the opening addre's of welcome and throughout the
convention acte.i the part of the genial host to the "visiting
brethren." Organization was under Bryan Pontifex, chair-
man of the central committee, with Osier Wade in charge
of the automob-le arransemcnts, Major Robert Shicll in
charge of the banquet. H. P. Higgins. hotel reservations
committee. R. Williams, publicity and whips committee and
F. G. Short, registration committee.
The next convention will be held at Vancouver under
the presidency of Geo. E. Winter, past president of the
British Columbia Institute, with H. D. Creighton, of Hali-
fax. X.S.. as vice-president, in September of 1921.
September 24, 1920
THE MONETARY TIMES
Trade Review and Insurance Cbronicle
of Canada
Address: Corner Church and Court Streets, Toronto, Ontario,
Telephone: Main 7404, Branch B^change connecting all departments.
Cable Address: "Montimes, Toronto."
Winnipeg Office: 1206 McArthor Building. Telephone Main t4W.
G. W. Goodall, Western Manager.
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PRINCIPAL CONTENTS
Editorial: page
Protection Now on the Defensive 9
The Bonds of the Empire 9
Another Banker Goes to the United States 10
Knowledge of Costs is Essential 10
Speci.al Articles:
Chambers of Commerce of the British Empire 5
Will Not Accept Unguaranteed Bonds 7
Grain Yield Far .-Vhead of Last Year 14
Canadian Life Payments in 1919 18
American Companies to Write Fire Insurance Here 20
Tariff Commission Hears Evidence in the W'est.... 26
Income Assessment of Oil and Gas Company 30
Disribution of Insurance Money 30
Monthly Departments :
Trade of Canada for August 22
Dominion F'inances in August 24
W'EEKLY Departments:
News of Industrial Development in Canada 32
News of Municipal Finance 36
Government and Municipal Bond Market 38
Corporation Securities Market 42
The Stock Markets 44
Corporation Finance 40
Recent Fires 48
THE tariff commission which commenced its sessions last
week in Winnipeg has already received, and no doubt
will continue to receive, evidence which is merely a reitera-
tion of views which are already well known to the
reading public. There is probably not a single issue
which has received so much space in the press as the
tariff; scarcely one of our leading dailies can be picked up
which does not contain something about it, and every grade
of opinion from high tariff to free trade is represented.
So far as general tariff policy is concerned, this is an
issue which can be settled, and has always been settled, only
at the polls. Any effort to take the tariff out of politics, if
it is genuine, overlooks the fact that the relative economic
prosperity of town and city as against country is absolutely
bound up in the maintenance of the tariff wall, and the chief
aim of political activity now seems to be to secure economic
gain. The opinions aired before the present tariff commis-
sion and scattered broadcast through the medium of the
press can scarcely affect the viewpoint of any who have
come to a conclusion on the subject. It may, however,
emphasize the dilemma of the present government; it might
even impress some with the fact that the tariff is a non-
political issue.
There is one thing certain in the present situation, and
this is that the protectionists are distinctly on the defensive.
The movement, which commenced in the formation of the
"national policy" over forty year.s ago. and which reache<l
its zenith shortly afterwards, now has its back to the wall.
In the large number of manufacturing plants established
and prospering in this country the protectionists have an
argument which ensures against any drastic reduction in
import duties. The present issue, however, is not between
absolute free trade on the one hand as against protection
on the other. Whatever a free trade party may advocate
in opposition, the most it could put into effect if returned
to power would be a substantial reduction. As is now being
emphasized, manufactures in Canada, with thr hundreds of
millions of dollars invested, and the hundreds of thousands
of workers deriving their livelihood therefrom, is absolutely
dependent on the tariff. As a means of checking the too
rapid movement from town, country to city, however, the
tariff reduction movement is one which can effect a great
benefit to the country as a whole.
THE BONDS OF E.MPIRE
t^MPIRES of old were held together by material forces —
*-^ forces imposed by the central power. The British em-
pire has outgrown this stage, for it is now nearly one hun-
dred and fifty years since the American colonies broke the
chains with which the British government endeavored to
bind them to the homeland. It is immaterial forces which
now maintain the unity of the empire; common race, cus-
toms and political ideals are proving themselves the niojt
potent reasons for political association.
Speaking before the Congress of Chambers of Coiii-
merce of the British Empire, on Tuesday last. Premier
Drury of Ontario warned against any attempt to forcibly
hold the empire together. The congress is on record in
favor of imperial preference, but Mr. Drury was not afraid
to stand by his belief in free trade. Empire preference will
be practicable only so long as it springs from a native
desire to favor commerce with the United Kingdom and ',.he
other colonies. Preference itself assumes a protective tariff,
and the movement towards tariff reduction may overtake
the preferences already granted.
The congress has not been without its jarring notes.
Canada is unquestionably loyal — there never was a time
of greater appreciation of the high ideals for which the
empire stands — but Canada has a part to play in world
commerce which necessitates a view of the political world
beyond. Sir Edmund Walker emphasized the fact that
Canadian transactions must in the main be cleared in New
York, which has by natural growth become the financial
centre of this continent, and that any attempt to divert the
flow to London could not be favored here. Premier Drury
THE MONETARY TIMES
Volume 65.
outlined a hiKh political ideal in which Canada, and more
especially Ontario as its central province, would harmonize
the two (,'reat branches of the Anglo-Saxon race. The British
empire may be a federation of partners, but it cannot be a
self-sufricinV leaRUe of nations. The congress does well to
favor imperial preference The self-governing colonies will
continue to frame their fiscal policies on economic grounds,
tempered by such concessions as spring from an inherent
desire to strcngti-en the hon-l? — not the chains — of empire.
.\NOTHER BANKER GOES TO UNITED STATES
THE appointment of Vere C. Brown to the committee of
executive managers of the National City Bank of New-
York is still another tribute to the Canadian banking sys-
tem and to the grade of training this country can give. A
large number of Canadians have gone to the United Stales
after a brief experience in Canada, but the appointment of
Jlr. Brown directly to one of the highest positions in the
gift of this enormous institution is a recognition of the
fact that those who have made good in the Canadian field
are fit to take a leading place in the financial centres of
the world.
The National City Bank is the largest banking in-
stitution in .America, its total resources exceeding $1,000,-
000,000. It has .56 foreign branches in England, Belgium.
Spain, Italy, South Africa, South America and the West
Indies; and, through its ownership of the International
Banking Corporation, a further 29 branches in India, China,
Japan, the Philippines, Java, Straits Settlements, etc. Its
board of directors has 24 members, including many names
continintally known, such as James .\. Stillman (president),
Win. am Rojkefeller, J. Ogden Armour, Cyrds II. McCormick,
Henry A. C. Taylor, etc. The administration of the bank
is organized in thirteen divisions, principally geographical,
the general management being in the hands of the president
anil a small committee of executive managers, of which latter
Mr. Brown is made a member.
kN()\VI,EI>(;E OK (OSTS IS E.SSENTI.VL
THE trganization in Toronto last week of a "Costs Ac-
countant.i Association of Canada" is a recognition of
the growing value of this comparatively recent business
operation. The new association will include not only
chartered accountants but also all those accountants who
are interested in the estimating of manufacturing and sell-
ing costs. A similar organization already exists in the
United States.
Some references to this class of work are contained in
a recent issue of the Aiinncan Magazine. It is termed the
tS" new Sfiince of cost nccounling, and some interesting
illu.-ttrations are given of the serious mistakes which even
tile larger manufacturing concerns have made in past years,
owing to the fact that they were not in possession of exact
information reenrding their own manufacturing lists. It is
told of one large ynited Stat.'s firm that it wa;. only when
the war broke out that it learned that all its profits were
being made from its foreign business and that its domestii-
transactions were brintr mrrii-d on p« n loud, Hnvine lost its
foreign trade as ' >' *^'"'
it either to rcoi r " '""'
it wou'd yield a i yean*
in th-,- busines" world, th.-ie wire aUv.i.v.x .•^ou.i i.HtimaUs
made of manufacturing and selling costs, but in the great
ivajority of cafe? this was not done with a suffv.-f i. ••
of exa"tne59. and ns a rc'ult there was consi'l.
work a'mut it, corporation- .nn.l companies d;
know from month t" ■ 'lu-r they wrr. m-.^l-nc
money or otherwise.":. y of failures prove that
;., .1 ;.,■■,(,■ .,f .-n^, Idsinc,
The price of motor cars is coming down. On the other |
hand the price of gasoline has gone up, and those who
bought automobiles at high prices are caught both ways.
*****
The 1920 Leipzig fair was a failure, due to lack of
buyers. There is no shortage of goods in Europe, though iu
some parts there may be a shortage of money to pay fcr
them.
The price of C.P.R. stock has failed to respond to the
increase in railw^ay rates. Perhaps this good news had
been more than offset by the harrov/ihg story which the rail-
roads told the Board of Railway Commissioners.
"All public men in Canada are protectionists in office"
is the apt remark of Round Tabic in commenting upon the
premiership of Sir Robert Borden. Even a farmers' gov-
ernment would find it difficult to break the rule.
.•\1 ready the pr!c3 of wheat, like that of most other
law materials, is coming down. Wheat for December de-
livery sold at $2.32 in Chicago on Tuesday, Canadian ship-
ments being responsible for a substantial decline.
Ford Motor Car Company of Canada shares fell thirty
points on the Detroit market when the announcement of a
reduction in the selling price of cars was made. This is a
direct result of a slackening in demand, and forebodes a
reduction in the profits of industry.
In a .'pecial article on housing, the ISew York ll'.ir/ii
says, that Canada has accomplished something in solving
the housing problem. This will be news to Canadians, but;
there is no doubt as much truth in it as in the reported'
success of government housing schemes in Great Britain.
The fact that a bond is not readily convertible into cash,
points out the Manitoba Free Press, may sometimes be an
advantage, as the owner will not find it so easy to turn it
into money to be spent extravagantly. We know of some
bonds which possess this virtue to the nth degree; in fact,
some issues which have been placed upon the market dur-
ing the past year can scarcely ever be repaid.
The writing-down of security valuations to new market
levels is disheartening to the institutional and private in-
vestor. It wipes out a substantial part of profits and of
savings. It is only by this process of writing down, how-
ever, that a company's financial position can be certainly
known, and those which make full provision for such de-
preciation will reap a corresponding benefit as values re-
cover.
"I remember saying in 1916 that Germany had revealed
itself in such a way that we wanted no more truck or trade
with it, out I do not think we can say that in 1920," said
Sir Jrmes Wro Is in addressing the Empire Chamber of
Commerce in Toronto on September 17. Did Sir James in
1016 really believe that there would be no more trade with
Germanv. or was he not rather taking advantage of the
sentinent of the time?
"The credit situation has continued, during the period
ending September 1.5, to evidence in a substantial measurt
the in'iirovcirent which had become apparent a month ago,'
says lhi> National Bank of Commerce, New Y'ork, in its let
for of Seplembi-r 22. "There h.->s not, it is true, been any eas-
ing of credit. Banking loans have increased in response U
seasonal needs; there has been no relaxation in commercia:
n'o-K-y rates; and little change in this situation can be ex-
pec'' d until the m.-'ior renuircments of the crop-moving sea-
■nn hnve been met. Nevertheless, substantial progress has
been made in overcoming the difliiculties in the credit situa-
t on."
September 24, 1920
THE MONETARY TIMES
International Trade
In the transaction of foreijjn business,
knowledge and experience count for
much. The experience gained by
this Bank at its own offices in such
centres of international trade as the
following:
London, Eng.
New York
Mexico City
San Francisco
is available for extension of Canadian
trade abroad. In addition it main-
tains a Foreign Department specially
equipped to handle all foreign exchange
transactions.
THE CANADIAN BANK
OF COMMERCE
Paid-up Capital
Reserve Fund
$15,000,000
$15,000,000
Real Banking Service
All branches of this Bank are in
a position to give the most com-
prehensive Banking service.
Government and Municipal
Securities are dealt in. Foreign
Exchange bought and sold.
Money Orders and Letters of
Credit issued. Collections made
on all points in Canada or
overseas.
IMPEKIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agents in Great Britain: — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
Helping
Humanity
DETWEEN the wheat on our prairies
^ and the daily bread of the people
of this country and of distant lands runs a
long chain of operations, each link of
which is strengthened by banking services.
For 55 years this Bank has been privi-
leged to furnish a substantial part of the
financial energy necessary in the growth,
transportation and marketing of Canada's
vast crops.
UNION BANK
OF CANADA
THE
Bank of Nova Scotia
Established 1832
Capital
Reserve
Total Assets
$9,700,000
$18,000,000
$230,000,000
GENERAL OFFICE : TORONTO, ONT.
H. A. Richordson, General Manager
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic, Jamaica, and in the United
States at
lUJSTON CHICAGO NEW YORK
London, Eng., Branch:
55. OLD BROAD STREET. E.r.2
THE MONETARY TIDIES
\V. K.iui.Ki
BANK OF COMMERCE SUI'ERINTENDENTS
Upon the retirement of Vere C. BrowTi as superintendent
of the miililU- west for the Canadian Bank of Commerce, a
new policy has been
adopted. Hitherto the
superintendency for
the middle west has
been at Winnipeg
and has covered
Manitoba, Saskatche-
wan and Alberta.
L'nder the new ar-
rangement, however,
this superintendency
will be di\nded into
two parts, with one
branch at Winnipeg,
to cover the pro-
vinces of Manitoba
a n d Saskatchewan,
and one at Calgary
to cover Alberta and
the Peace River
branches, so that
MOW there are two
superintendencies in-
stead of one. Under
this arrangement the
business of the bank
in the west will be conducted more efficiently. C. W.
Rowley has been appointed as superintendent of the
.Manitoba and Saskatchewan branches, while J. B. Corbet
has been appointed
superintendent o f
the Alberta and
Peace River
branches. Mr. Row-
ley's banking career
has been confined
entirely to the west.
From 1892 to 1902
he was accountant
at Winnipeg, after-
wards for a short
time in Vancouver,
and from there he
went to Calgary to
open a branch in
that city. Since
1911 he has been
manager of the
main branch at
Winnipeg. Mr. Cor-
bet entered the
bank's service at
New Westminster
in 1901. and in 190.'!
was brought to Tor-
onto. From that
date until 1911 he
was attached to the head office staff, after which ho be-
came assistant inspector at Winnipeg, and for the
past three years has been senior inspector of the bank's
western business, with hendciiiarters 'at Winnipeg.
OBITUARY
Hon. RobkRT Beavkn, former '' Hnti^h
Columbia, for m-arly twenty year? :\ '"o in the
political life of the province, and at oi'v . 'i' of Vic--
toria. died r.l his home in that city on September 19, at the
age of S4 years.
PERSONAL NOTES
.1. B. CoRiitrr
W. G. Frisby, principal of the York Street School, Tor-
onto, has been appointed secretary of the Mothers' Pension
Board of Ontario.
E. L. Pease, vice-president and general manager of the
Royal Bank of Canada, is touring the maritime provinces in
company with other officials of the bank.
J. A. Campbell, formerly British Columbia manager of
the Equitable Life Assurance Society, has become Vancouver
manager of the Sovereign Life Assurance Company, of
Winnipeg.
Colin Cameron has resigned from the directorate of
the Canada Foundries and Forgings Company. Mr. Cameron
was formerly a partner in the late firm of Thornton, David-
son and Company Montreal.
J. E. Coombs, who has been manager of the Sterling
Bank of Canada, Adelaide St., Toronto, for the past few
years, has resigned, and is going to New York to take up
a position with the Guaranty Trust Company, of that city.
James E. Reilly, who has been secretary of the Alberta
Board of Public Utility Commissioners since that organiza-
tion was created in 1915, has resigned to accept a position
with the Gregory Tire and Rubber Company, of Vancouver.
G. S. Laing, chartered accountant, of Winnipeg, Man.,
who for the past two years has been engaged by the Board
of Grain Supervisors as, internal auditor has completed
this work and has opened an office at 805 Union Trust Build-
ing, Winnipeg, Man.
Napoleon Lavoie, general manager of the La Banque
Nationale, left for New York on September 14, from where
he will sale for Europe. While in Europe, Mr. Lavoie will
visit the Banque Nationale in Paris, and will also study
general commercial and finance relations between France
and Canada.
Howard E. Bligh. for some years inspector for Mani-
toba, Saskatchewan and Alberta, of the Western Assurance
Company of Toronto, with headquarters at Calgary, has
relinquished his connection with that company and has been
appointe(f manager of the insurance department of the
Northern Securities, Limited, Vancouver.
A. E. Holt, manager of the Royal Trust Company,
.Montrciil, has retired from that position owing to ill-health.
H. B. Mackenzie, formerly general manager of the Bank of
British North America and at present one of the assistant
general managers of the Bank of Monti'eal, will, it is under-
stood, be appointed general manager of the Royal Trust
Company, having supervision of the head office here and the
branches throughout Canada. The board of directors has
elected Mr. Holt as a member of the board in order to re-
tain his connection with the institution and to take advantage
of his long experience, he having been its first employee.
J. H. C. l.AWRKNCE, who is well known in Winnipeg
financial circles, has been appointed manager of the Canada
Permanent Trust Company, succeeding Jfr. G. F. Harris.
Mr. Lawri'nce has been with the firm since 1896 in various
capacities both in the east and the west. The company is an
offshoot of the Canada Permanent Mortgage Corporation
whose headquarters arc at Toronto, and the formation of
the trust company was undertaken to work hand-in-hand
with the parent company, doing general trust company busi-
ness.
W. W. Stratton has been electetl to a seat in the Tor-
onto Stock Exchange. Mr. Stratton has just formed a part-
nership with P. W. Campbell under the name of Campbell,
Stratton and Co.. and will carry on a general business as
Mock brokers and bond dealers, as successors to the firm of
.\. E. Dyment and Company. Mr. Dyment is giving up his
seal on the local exchange in order to devote his time more
exclusively to other financial interests. The new partners,
since their return from overseas, have been engaged in
financirl work, both in Toronto and Montreal.
September 24, 1920
THE MONETARY TIMES
18
giiimunuiiiiiiiminiminmimBnniiuiiuini
THE Sterling Bank
OF CANADA
auumiiiuijiiiaminiiiiiii
.'i;ii!iini!i.itmni:iiiiiii::i
Personal Banking Service — as we interpret it —
means that our officers make themselves personally
familiar with each client's business; study his pro-
blems, if necessary, in his own office ; give him the
full benefit of close co-operation and broad busii.c- -
relationship.
Head Office
KING AND BAY STREETS, TORONTO
ESTABLISHED
Commonwealtb Barh of Hustralia
Ticnts of Siiuth Australia, Wesltrn Australia .inil Tastnai
\ll classes of GENERAL AND SAVINGS BANK busin
ictcd in all the principal cities and towns of Australii
!...ndon.
!. inking:
:chanKe business of every description transacted «
alth. United KmKdom. Canada, U S.A. and Abroad.
Deputy Co
DKNISOK MII.LKR.
Gove
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament. Established 182S
Capital Subscribed /5, 000. 000 S25.000.000
Paid up 1,100,000 5.500.000
Uncalled 3,900.000 19.500.000
Resene Fund 1 ,000,000 5.000,000
Head Office • EDINBURGH
WILLIA.M CARNEGIE, General Manager. GEORGE A. HUNTER, Sec.
LONDON OFKICE— 37 NICHOLAS LANE, LOMBARD ST.. EC. 4
T. C. RIDDELL. DUGALD SMITH.
.Manager Assistant Mamtger
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, arc
retired on terms which will be furnished on application.
The Dominion Bank
ESTABLISHED IS7I
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
ESTABUSHEb 1879
AUoway & Champion
Bankers and Brokers
Member, of Winnipeg Stock E.chonK
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchange!
':orpora+dd
Branches
Throug^ou*
Ceint^cid
THE MOLSONS BANK
160th DIVIDEND
Thi- Shanhnldir.s of The MoLson.s Bank are hereby notified that
Dividend of Three Per Cent. (beinK at the rate of twelve per
nt. per annum) upon the capital stock has been declared for the
irrent quiirter. and that the snme will be payable at the ofTice of
V Bank in Montreal and at the Brnnchc* on and after the first day
October next to Shareholders of record on 16th Septemlwr, 1920.
By Order of the Board.
EDWARD C. PRATT.
..ntrcnl, 2Uh Atik-ust. lOJO. Con. rnl Miinaircr.
LLOYDS BANK LIMITED, 71, Lombard ST, LONDON, EC 3
CAPITAL SUBSCRIBED
lir,- i-'l.l
$353,396,900
CAPITAL PAID UP
70,679,380
RESERVE FUND
49,833,410
DEPOSITS. &c. . . .
1,621,541,195
ADVANCES, &c. . . .
821,977.505
THIS BANK HAS ABOUT 1,500 OFFICES IN ENGLAND & WALES.
Colonial and Foreign Department : 17, CORNHILL, LONDO.t, E.C. 3. London Agency of the IHPERIAt BANK Of CANADA.
The Agency of Foreign and Colonial Banks ia undertaken.
Affiliated Ban'i
• THE NATIONAL BANK OF SCOTLAND LTD. THE LONDON & RIVER PLATE BANK LTD.
Auxiliary: LLOYDS AND NATIONAL PROVINCIAL FOREIGN BANK L MITED.
THE MONETARY TIMES
Volume 65.
GKAI.N VIKI.I) lAK AHEAD OF LAST YEAK
l.ali'st Estimates Indicute This — Western Farmers Had to
Contend with .Many TryinK Situations, but Have
Come Through Successfully
THERE will be a total grain yield of 664,462,000 bushels
in the three prairie provinces, according to the latest
estimate of the Manitoba "Free Press," this figure being
divided among five cereals as follows: Wheat, 248,745,000
bushels; oats, 352,109,000 bushels; barley, 47,564,000 bushels;
flax, 7,152,000 bushels; rye, 8,912,000 bushels. In compiling
the estimate the figures for acreages are the revised figures
of the Dominion government, issued in July last. The acre-
ages for barley and flax are probably too small, but with
that exception the figures would appear to be satisfactory.
Commenting on the situation, the "F'ree Press" says: —
"The crop of 1920 in the prairie provinces has passed
through many vicissitudes. The spring was exceptionally late
and cold, and in many large areas no seeding was done until
after May 1st. Large sections of all three provinces were
threatened with destruction bj,- grasshoppers, and, while the
final loss from this plague has been small, it was only or-
ganized co-operation and a stiff fight that produced this
result, and the cost of fighting the grasshoppers was no light
burden. Other big areas suffered from a variety of cutworm
that works under ground and for which no remedy has so
far been found.
"Over large districts in southern .\lberta and Saskatche-
wan and more restricted districts in Manitoba there was
heavy loss from drifting and blowing of soil. Some fields
were seeded at least three times and were finally lost. From
the middle of June until the first few days of July there was
a period so dry that for a time it seemed as if the disaster
of I'.M!) was to be? repeated. When rains came and growth
was suddenly lush and heavy, rust became a menace, especi-
ally along onr southern borders, and has certainly taken a
very considerable toll of the wheat in both Manitoba and
Saskatchewan, .Alberta, more particularly southern Alberta,
being immune. There has been hail damage in some sections,
though the general hail damage of the three provinces is not
large. The gophers have taken their toll, and due, no doubt,
to the late spring and the dry period in June, weeds have
been diflicult to cope with and hove smothered a certain per-
centage of the crop. Though the seeding was one of the
latest on record, the harvest was an early one, the excessive
heat and dryness bringing crop too fast for fullest develop-
ment of the berry. Uetween two excessively hot periods in
August, to wit: August 21st and 22nd, there was from 4 to
S degrees of frost over very considerable areas, more especi-
ally in central Saskatchewan, the extreme north and the ex-
treme south of all the provinces escaping and the chief dam-
age being done to late oats and barley. In the entire growing
period of the crop there has never been even one soaking rain
that covere<l the wheat belt from the eastern boundarj- of
the province of Manitoba to the Rockies and from the inter-
national boundary to the crop line in the north. In spile of
these ninny drawbacks the west has harvested and to a con-
siderable extent thrashed the satisfactory total of 248,745,000
bushels of wheat, much of which will grade high and weigh
over 60 pounds to the measured bushel."
Total Preliminary Estimntr
Yields and conditions of field crops in the whole of Can-
ada, as conipileii from the returns of crop correspondents at
the end of August to the Dominion Bureau of Statistics,
are summarized as follows: —
The first reports made by crop correspondents on the
average yields per acre of wheat, oats, barley, rye and flax-
seed show that for the whole of Canada the yields per acre
are for spring wheat 16»i bushels, as compared with ".>S
bushels la?t year and with 16Mi bushels, the decennial aver-
age for the period 1910-19; for oats, 35^ bushels, compared
with 26U bu.'hels last year and 33'4 b\ishels. the ten year
average; for barley. 25 'a bushels, compared with 21*^4 bushels
last year and 25 '^i bushels, the ten-year average; for rye.
1 7 »i bushels, compared with 13Su bushels last year and 16
bushels, the ten-year average; and for flaxseed, 9Vi bushels,
compared with 5 bushels last year and 9.40 bushels, the ten-
year average. These figures indicate, therefore, that for
wheat the yield is just equal to the decennial average; that
for oats the j-ield is 2U bushels above average; that for
barley and rye it is 'i bushel below average, and that for
flax it is practically equal to the average. Applying the aver-
ages for 1920 to the latest estimates of areas sown (these
areas being shortly subject to final revision), we get as the
preliminary estimate for the whole of Canada total yields
as follows: Wheat, 289,498,000 bushels, as against 193,260,400
bushels last year; oats, 556.719,000 bushels, as against 394,-
387,000 bushels; barley, 64,257.000 bushels, as against 56,-
389;400 bushels; rye, 12,915.000 bushels, as against 10,207,400
bushels, and flaxseed, 11,090,000 bushels, as against 5,472,800
bushels.
Y'ields of the Prairie Provinces
The following is the preliminai-y estimate of total pro-
duction in the three prairie provinces (Manitoba, Saskatche-
wan and Alberta), the corresponding totals for 1919 being
given within brackets: Wheat, 260,157,000 bushels (165,544,-
300); oats, 359,289,000 bushels (235,580,000); barley, 43,762,-
000 bushels (36,682,400); rye, 9,820,000 bushels (7,262,400),
and flaxseed, 10,817.000 bushels (5,232,300). By provinces
the estimated yields are: Manitoba— Wheat, 40,305,000
bushels (10,975,300); oats, 61,328,000 bushels (57,698,000);
barley, 19,895,000 bushels (17,149,400); rye, 4,349,000 bushels
(4,089.400); flaxseed, 605.000 bushels (520.300). Saskatche-
wan—Wheat, 136,880,000 bushels (89,994,000); oats. 173,003,-
000 bushels (112.157,000); barley, 11,640,000 bushels (8,971,-
000); rye, 3,535,000 bushels (2,000,000); flaxseed, 9.288,000
bushels (4,490,000). Albeita— Wheat, 82,972.000 bushels (34,-
575,000; oats, 124,958.000 bushels (65,725,000); barley, 12.-
227,000 bushels (10,562,000); rye, 1,936,000 bushels (1,173,-
000); flaxseed, 924,000 bushels (222,000).
Late-Sown Field and Fodder Crops
The average condition on August 31st of late-sown field
and fodder crops, expressed numerically in percentages of
the average yield per acre for the ten years, 1910-19, was
reported as follows, the figures within brackets representing
in the order given the condition on July 31st, 1920, and on
August 31st, 1919: Peas, 96 (102, 87); "beans, 99 (103, 93);
buckwheat, 90 (101, 95); mixed grains, 104 (105, 87); corn
for husking, 98 (95, 89); potatoes, 102 (104, 91); turnips,
mangolds, etc., 97 (95, 99); fodder corn, 100 (98, 97); sugar
beets, 96 (99, 83); pasture, 92 (89, August 31st, 1919).
Ontario Y'ields are Greater
A comparison for Ontario is contained in a bulletin just
issued by the provincial department of agriculture, as fol-
lows:—
Following arc some of the figures for the two years:
Fall wheat, 1920, acreage. 762,371; production. 18,274,468;
average per acre. 24; 1919, acreage, 619,494; production 15,-
051,703; average per acre, 24.3.
Spring wheat, 1920, acreage, 267,367; production, 4,-
717,938; average. 17.6; 1919, acreage, 361,150; production,
5.646,544; average, 15.6.
Barley, 1920, acreage, 484,328; production, 16,353,689;
average, 33.8; 1919, acreage, 569,185; production 13,133,757;
average, 23.1.
Oats, 1920, acreage. 2,880,053; production, 128,006,264;
average. 44.4; 1919, acreage, 2,674,341; production, 78,388,-
018; average, 29.3.
Peas, 1920, acreage, 109,187; production, 2,249,283; aver-
age. 20.6; 1919, acreage. 127,2.53; production, 1,816,517; aver-
age, 14.3.
Beans. 1920. acreage. 22.744; production, 369,159; aver-
age, 16.2; 1919. acreage. 22.920; production, 288,480; aver-
age, 12.6.
Hay and clover, not including alfalfa, 1920. acreage, 3.-
533.740; production. 4.4.59.094 tons; average, 1.26 tons; 1919,
acreage. 3.508.266; production. 5,588,804 tons; average, 1.59
tons.
September 24, 1920
THE MONETARY TIMES
AFRICAN BANKING
Corporation, Limited
(LONDON)
Paid-up Capital and Reserve, $6,800,000
Over 60 Branches and Agencies
throughout South Africa
Principal Branches located at Bula-
wayo, Bloemfontein, Cape Town,
Durban, East London, Johannesburg,
Kimberley, Port Elizabeth, Pretoria,
and Salisbury.
THE NEW YORK AGENCY
negotiates documentary bills of exchange,
issues drafts and cable transfers, and transacts
a general banking business direct with the
branches of the Bank in South Africa,
Correspondence invited from Canadian Ship-
pers to South Africa, dnd facilities offered for
the conduct of their business with that country.
Address the New York Agency
64 WALL STREET, NEW YORK, U.S.A.
fHomeBankofCanada'
Government Bonds and Savings Stamps
There is a page in the Home Bank's Thrift Account
Book for entering the date of purchase, amount, and
interest dates on Government Bonn's, War Stamps, and
Savings Certificates. The form is very concise and v^ill
preserve all the details for ready reference. Ask for a
copy of the Thrift Book. Distributed free at all Branches.
Branches and Connections Througliout Canada
Head Office and Eleven Branches in Toronto ^
THE
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
head oi-ficb. wevbl'rn. saskatchewan
Branches in Saskatchewan at
Weyburn. Yellow Grass, McTaggart, Halbrite, Midale,
Grifiin, Colgate. I'aiiguian. Radville, Assiniboia, Benson,
Verwood, Readlyn, Tribune, Kxpanse, .Mossbank, Vantage,
Ooodwater, Darmody, Stoughton, Osage, Creelman and
Lewvan.
.•\ OKNKR.-M, li.^NKING BUSINESS TRANSACTED
H. O. POWELL. General .Manager
TH€ M€RCHANT5 BANK
Head OfV.ce : Montreal. OF CANADA.
Es;ab;isl.ed 1364.
Capital Paid-up, $8,400,000 Roerve Fund and Undivided Profid, $8,660,774
Tola! Deposit! (31sl July, 1920) - Over $163,000,000
Total A>iel> (31tt July, 1920) - Over $200,000,000
Board of Director* :
Thomas Long
Sir Frederick Orr Lewis, Bart.
Hon. C. C. BAtLANTVNE
SIR H. MONTAGU ALLAN
F. Howard Wilso.s
FaROUHAR ROBE.KTSON
Geo. L. Cains
Vice-Presideni
Ai.FREl> B. livANs
Thomas Aiikarn
Lt.-Col. J. R. MOODIE
General Manager - D. C. Macarow
Supt. of Branches and Cbief Inspector: T. E. Merrktt
lirr;ri.ll Su|.eivi50l - - VV. A Mn.HKlM
A. J DAWES
Hon. Lorne C. Wkbsteh
E. W. Kneeland
tjORDON M. McGRKCOR
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice.
395 Branches in Canada, extending irom the Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookail, Agents
London, England, Office, 53 Corohill : J. B.Donnelly, D.S.O., Manager.
Bankers in Greal Britain : The LondoD Joint City & Midland Bank. Limited, The RoyaJ Bank oi Scotland
THE MONETARY TIMES
Volume 65.
I'HOIJLEMS OF I:M1'1.(»VMKNT DISCUSSED
Amc-rican Association of I'liblic Employmi-nl Oflicfs —
Control Over InimiKration SuKgi'sli-d
THK eighth annual meeting of the American Association
of Public Employment Offices was held in Ottawa,
September 20 to 22. Bryce M. Stewart, director of the
Canadian Employment Service, is president this year. The
program was divided into five divisions, as follows: Unem-
ployment and organization of employment; employment and
education; the placement of the physically handicapped; the
harvest labor problem; and employment office administra-
tion and technique. Several addresses were given under each
division. The Canadians who read papers were: Gilbert E.
Jackson, associate professor of economics, University of Tor-
onto; G. Frank Beer, Toronto; W. C. Clark, associate pro-
fessor of economies. Queen's University, Kingston; J. W.
Macmillan, professor of sociology, Victoria College, Toronto;
R. A. Rigg, Dominion superintendent of western offices, em-
ployment service of Canada; J. M. Wyatt, juvenile employ-
ment specialist, employment service of Canada; T. Norman
Dean, statistician, Ontario Workmen's Compensation Board.
Might Direct Immigration
J. W. Macmillan, Toronto, spoke on "The Public Em-
ployment Service and the Immigrant." He said in part: —
"It is manifest that there would be great advantage- in
getting into touch with would-be immigrants in their own
lands. Those who are destined to be rejected at the port of
entry would be saved the wearisome and costly journey,
and their disappointment greatly mitigated. And the false
ideas inculcated by mercenary agents, or the fairy tales of
hear.';ay. might be corrected in time. Most of all, the immi-
grant might be connected with a job before he buys his
ticket. And those for whom jobs were waiting might be
assured of entnince, while others were delayed or refused.
Indeed, the problem of the limitation and selection of immi-
grants might thus be solved, as only those were admitted
who wore manifestly needed and for whom a place was
waiting.
"I suggest a special department in connection with the
public employment bureaus, charged with the distribution
and protection of immigrants. This department would co-
operate with the immigration authorities. Employment
offices would require to be opened at the ports of entry and
the centres of population where immigrants normally gather
and from which they scatter.
"Under present conditions the skill of the immigrant is
negated by his person. The determining factors of his first
choice of work are the occupations of his family or relatives,
the orders on the book of the employment agent or banker
to whom he comes, and the help of chance acquaintances. His
aptitude, training, experience and qualities other than phy-
sical have little influence upon the decision.
"Our immigration policies, so far, have been halted at
the. point of admission of the immigrant. They .should,
hereafter, attend and guide him until he becomes a citizen.
Citizenshiji — that is the real |>ort of entry to a nation's life.
That is the place where the state should say 'Godspeed.' "
Canadian Ke-elected President
A', the closing session it was decided to meet at Buffalo,
N.Y., next year, and also to change the name of their organi-
zation. In future it will be known a."* the International Asso-
ciation of Public Employment Services. The constitution was
amended to allow this.
Bryce M. Stewart, Labor Department, Ottawa, was again
elected president of the association. Other officer? elected
were: First vice-president, A. W. Holbrook, Dayton, Ohio;
second vice-president. .1. Dunderdalc, Boston, Mass.; third
vice-pi-esident. A. Sullivan. Chicago; secretary. Richard A.
Glynn, New York; executive— J. D. Densmore, Wnshmgton.
D.C.. immediate past president and director-general United
States Employment Service; Miss Marion Findlay. Toronto;
Hol.ert P.t.M." Unvii-,b..r.' \':x: Th..Mi:i^ Miillov. Kririna. Sask.
BANK BRANCH NOTES
THK Imperial Bank of Canada have opened a branch at
the northwest corner of Annette St. and Runnymede
lid., Toronto.
The temporary branch of the Bank of Montreal, in the
Canadian Pacific Railway Co. hotel at Banff, Alta., has been
closed for this season.
The Bank of Montreal has obtained permission to erect
a brick and stone building on Cherry St., Toronto, at a cost
of $:{0,000.
R. M. Campbell, manager of the Merchants Bank at
Minburn, Alta., has been transferred to their branch at
Galahad, Alta. Mr. McMillan, who has been manager of
the bank at Galahad, has been transferred to Minburn.
Jlr. Thomas the new manager of the Brockville branch
of the Merchant's Bank, has ari-ived from Lancaster, Ont.
EXCHANGE QUOTATIONS
Messrs. Glazebrook and Crdnyn, exchange and bond
brokers, Toronto, report local exchange rates to The Monetary
Times as follows: —
Buyers. Sellers. Counter.
N.Y. funds 10 15-lGpm 11 1-32 pm
Mont, funds par. par. % to U
Sterling —
Demand $3.8650 ?3.87
Cable transfers . . . 3.8725 3.a775
New Y'ork quotations of exchange on European coun-
tries, supplied by the National City Co., Ltd., Toronto, as at
September 23, 1920, follow: London, cable, 350%; cheque.
350; Paris, cable, 6.8*1; cheque, 6.83; Italy, cable, 4.31; cheque,
4.30; Belgium, cheque, 7.15; Swiss, cheque, 16.15; Spair.,
cheque, 14.75; Holland, cheque, 31.00; Denmark, cheque, 13.70;
Norway, cheque, 13.20; Sweden, cheque, 20.15; Berlin, cheque,
1.63; Greece, cheque, 10.55; Finland, cheque, 3.05; Roumania,
cheque, 2.10.
WEEKLY BANK CLEARINGS
The following are the bank clearings for the week ended
September 23rd. 1920, compared with the coiTesponding week
last year: —
Week ended Week ended
Sept. 23, '20. Sept. 25, '19. Changes.
Montreal $137,747,897 $110,389,743 + $27,358,154
Toronto 101,865,985 89,786,462 -|- 12,079,523
Winnipeg 65,400,883 59,006,143 + 6,394,740
Vancouver 18,634,050 12,974,467 -t- 5,659,583
Ottawa 7,997,962 9,398,139 — 1,400,177
Calgary 8,876,850 8,269,756 + 607,094
Hamilton 7,799,376 6,139,826 + 1,659,550
Quebec 7,391.939 5,594,468 + 1,797,471
Edmonton 5,002,405 4,653,949 + 348,456
Halifax 5,270,318 4,987,674 4- 282,644
London 3,621,745 3,040,060 + 581,685
Rt'gina 4,535,644 4,733,248 — 197,604
St. John 3,259,129 3,366,029 — 106,900
Victoria 2,595,377 2,025,031 -t- 570,346
Saskatoon 2,442,351 2,139,532 + 302,819
Moose Jaw 1,927.199 2,145,139 — 217,940
Brantford 1,482.508 1,339,867 + 142,641
Brandon 705.373 762,570 — 57,197
Fort William . 989,954 1,016,705 — 26,751
Lethbridge 987,106 760,146 -1- 226,960
Medicine Hat 733,111 480,538 4- 2.52,573
New Westminster.. 697.870 548,853 + 149,017
Peterboro' 1,005.776 756,111 + 249,665
Sherbrooke 1.351,744 853.017 -I- 498,727
Kitchener 1.049,452 916,554 + 132,898
Windsor 4,189,212 2,250,720 + 1,938,492
Prince Albert .... .385,303 525,906 — 140,603
Totals $397,946,519 $338,860,653 + $59,085,866
'^''^"-""^ 547,487
September 24, 1920
THE MONETARY TIMES
17
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(I^STABLISHBU ISl?)
PAID UP CAPITAL - - - ,Mttm * 23,828,500.00
RESERVE FUND .... K^I^A 16.375,000.00
RESERVE LIABIIJTY OF PROPRIETORS ^l^^^^t 23 828 500 00
AGGREGATE ASSETS 3Ist MARCH, 1920 ^"^^^^jgSS"^*^ $377,721,211.00
Sir JOHN RUSSELL FRENCH, K.B.B., General Manager
351 BRANCHES and AGENCIES in the Australian States. New Zealand. Fiji, Papua (New Guinea), and London. The Bank transacts every description
of Australian BanliiiiK Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET, E.C, 2.
AOPVTS: HWK Ol" .MONTREAL. ROYAL BANK OF CANADA
C. S. GUNN & COMPANY
REAL ESTATE, INSURANCE, RENTAL AGENTS
805 Union Trust Building
WINNIPEG, MAN.
Members of Winnipeg Real Estate Exchange, Winnipeg Stock Exchange
Geori;!-; Edwards, F.C.A. Arthur H. Edwards, l-.C.A.
H. Percival Edwards W. Pomekoy Morgan A. G. Edwards
Chas. E. White T. J. Mac.namara Thos. P. Geggik
O. N. Edwards J. C Mc.N'ab
\ L. Stevens W. H. Thompson
C. PF.Kfy Roberts
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORONTO ..
CALGARY .
VANCOl.'VER
WINN'lPEc; ..
MONTREAL
CORRESPONDENTS
HALIFAX, N..S
LONDO.N, ENG
CANADIAN MORTGAGE BUILDING
HERALD BUILDING
LONDO.N BUILDING
ELECTRIC RAILWAY CHA.VIBERS
McGILL BUILDING
ST. JOHN, N.B.
COBALT, ONT.
NEW YORK, USA
LONDON JOINT CITY & MIDLAND
BANK LIMITED
The Rlilht Hon R McKENNA
Subscribed Capital - £38,096,363
Paid-up Capital 10,840,112
Reserva Fund .... 10,840,112
Deposits u./<, wra. t9:i>i . .367,667,322
ID OFFIce, i. THRUONEIOLE STREET. LONDON. (.C
KM «s * M. QUI IIOAA fTUO. U)M)OII. LC 1
THE
TORO^^TOGEiSEKALTRUSTS
CORPORATIOiS
Established in 1882, was the first trust company
in Canada. It is absolutely free from affiliation
with Other financial concerns — a trust company
confining itself to the business of executor,
trustee or agent and eliminating from its trans-
actions everything of a speculative character.
The total value of estates, etc., under its admin-
istration now exceeds One Hundred Million
Dollars, one half of which has accumulated dur-
ing the last seven years. All investments made
by this Corporation are restricted to "Trustee
Securities " as authorized by law. The Toronto
General Trusts Corporation solicits the appoint-
ment of Executor and Trustee of your Will,
offering these advantages combined with years
of experience in estate management.
A. D. LANCMUIR
Gen. Manage r
W. C. WATSON
Assl. Gen. MoniiKcr
Head Office : Cor. BAY AND MELINDA STS.
TORONTO
B,«n:hc
Winnipeg Saskatoon Vancouver
THE M 0 N
E T A R Y TIMES
Volume 65.
CANAI^IA.N LllK l-WMKNTS IN lillit
List of I'aynu-nts of ?10,000 and 0\ er— rolicies of Late
John Ltnnox. of Iliimilton, are Second in List —
I'ayments by Cities
ACCORDING to a compilation of "The Insurance Press,"
New York, $1,84S,.500,000 was paid to life insurance
policyholders in 1919 in the United States and Canada. The
total is made up as follows: —
Death claims, matured endowments and an-
nuities ? 672.(;XG,000
Payments for premium savings (dividends to
policyholders) and for lapsed, surrendered
and purchased policies 291,<)i»(),00C
Total ? 964,3S2,00C
ConiMiutcil value of insurance claims awarded
by the Bureau of War Risk Insurance
from December 31, 1918, to December 31 879,118,000
Grand total $l,843.n00,000
The larpest an\ount of insurance on a sinple life paid in
1919 was carried by the late Henry C. Frick, of New York
City and Pittsburgh. The next largest amount was $33-1,000
on the life of John Lennox, of Hamilton, Ont. Both of these
sums are modest compared with reports in preceding years.
Large Payment.s in Canada
The payments of $10,000 and over in Canada were as
follows : —
Calgary.— Ralph U. Shant/., $10,000; William B. Waters,
$10,000.
Vancouver.— Frank N. Torites, $10,000.
Victoria.— Robert P. Rithet, $16,474.
Winnipeg.— Name not given, $13,816; Thomas .\. An-
derson. $10,082.
Rourget, Ont.— Arthur A. Bourque, $10,797.
Hamilton.— John Lennox, 3334,000; name not given, $!.'>.-
122; Lawrence B. Johnston, $12,002.
London. — George Robinson, $64,031.
Toronto.— William Hyslop, $6.';,000; Thomas W. Watkins,
$20,000; William Carter. $14,6.=>9; Fred. E. Fuerst, $14,659;
H. R. Kmery, $10,240; J. J. Fallelt, $10,144; George E. Dies,
$10,000; John D. Ivey, $10,000.
Charlottetown.— R. C. A. Grant, $10,068.
West Cape, P.E.I.— Ame? McWilliams. $12,957.
Montreal.- .Mphonsc Felix Mercier, $30,000; name not
given, $24,405; name not given, $16,877; name not given,
$16,877; name not given. $16,877; name not given, $16,724;
P. Lamarre, $15.0.52; Louis L. DcGuise. $15,000; Joseph A.
Duport, $10,000; Joseph D. R. Forget. $10,000; Charles L.
Shninwnld. $10,000; Colin M. McCurig, $10,000.
Quebec— Jean E. Luvellc, $10,7.50; Gustavus G. Stuart,
$10,000.
St. Baithelemy. Que— Louis J. PInnte. $12,009.
St. Hyacinthc, Que.— Herbert Tchalifoux, $12,081.
St. Jerome. Que— J. Camille Lc Moyne dc Mnrtigny,
$10,000.
Westmount, Que.— William Kelly, $20,046; Sidney H.
Ball, $13,000; Albert H. Dalrymple, $12,000.
Regina. — Name not given. $10,000.
Carcross, Yukon. — James Alex.nnder, $100,1^8.
Totals for Cilicn
The totals for the cities and larr- <■">"- •>' '»"• Vi.imin,.in
and Newfoundland were as follow-
.•\U1KBTA
Edmonton. $169,000; Calgary. $167,000; Lethbridge. $36,-
000: Hich River. $26,000: Wainwright. $24,000; Brant. $15.-
000- Provost, $15,000; Crossfield, $14,000; Rimbey, $14,000;|
C-ivdston $13,000; Drumheller, $13,000; Cereal, $12,000;'
Morinvill'e $12,000; Oven, $12,000; Raley, $12,000; Sedge-
wick, $12,000; Seven Persons, $12,000; Spirit River, $12,000.
British Columbia
A'-ancouver, $504,000; Victoria, $162,000; Prince Rupert,
<;49 000- New Westminster, $36,000; Grand Forks, $26,000;
Fort George $14,000; Summerlass, $14,000; Hope, $13,000;
KerriMlale $13,000; Rossland, $13,000; Trail, $13,000; Daw-
son «<l-^000- James Island, $12,000; Kamloops, $12,000; Lady-
smi'tli, $12,000; Mineola, $12,000; Phcenix, $12,000.
Manitoba
Winnipeg, $482,000; St. Boniface, $50,000; Deloraine,
S15 000- Newdale, $15,000; Portage la Prairie, $14,000; To-
tonica $13,000; .Mexander, $12,000; Arborg, $12,000; Dauphin,
$12,000; Elphinstone, $12,000; Plumas, $12,000; Selkirk,
$12,000.'
New Brunswick
St. John, $109,000; Chatham, $14,000; Upper Rexton,
$14,000; Rexton, $13,000; Central Blissville, $12,000; Moncton,
$12 000; New Bandon, $12,000; West St. John, $12,000.
Newfoundland
St. Johns, $13,000.
Nova Scotia
Halifax, $230,000; Yarmouth, $49,000; New .Aberdeen,
$15,000; Windsor, $14,000; Chester Basin, $12,000; Dart-
mouth, $12,000; East Wallace, $12,000; Somerset, $12,000;
Trenton, $12,000; Truro, $12,000.
Ontario
Toronto, $1,533,000; Hamilton, $620,000; Ottawa, $S13,-;
000; London, $216,000; Peterborough, $117,000; Windsor,
$72,000; Belleville, $49,000; Sarnia, $48,000; Kingston, $36,-
000; Bourget, $31,000; Westmount, $30,000; Chatham, $25,-
000; Guelph, $25,000; Palmerston, $24,000; Chapleau, $15,000;
Collingwood, $15,000; North Bay, $15,000; North Hamilton,
$15,000; Grand Bend. $14,000; Niagara Falls, $13,000; Bow-
manville, $12,000; Biantford, $12,000; Cobalt, $12,000; Cum-
berland, $12,000; Dunnville. $12,000; East Liverpool, $12,000;
Elmira, $12,000; Hull. $12,000; Ingersoll, $12,000; St. Mare,
S12.000; St. Thomas, $12,000; Sault Ste. Marie, $12,000;
Stratford, $12,000; Vankleek, $12,000; Whitney. $12,000:
Wilsonburg, $12,000.
Prince Edward Island
Charlottetown, $34,000; W'est Cape, $23,000; Summer-
side, $12,000.
Quebec
Montreal, $2,276,000; Quebec, $233,000; Westmount
$109,000; St. Hyacinthe, $55,000; Levis, $39,000; Outremont,
$37,000; Hull, $36,000; Sherbrooke, $36,000; Montmagny
$25,000; Chicoutimi, $24,000; Farnham, $24,000; St. Marie,
$24,000; St. Barthelemy, $23,000; St. Jerome, $20,000; .Ar-
undel, $15,000; Coaticook. $15,000; La Tuque, $15,00; Monte-
hello, $1.5,000; St. Jean Port Joli, $15,000; Berthier, $14,000;
Cartier, $14,000; Rimouski, $14,000; Beloeil, $13,000; Chand-
ler. $12,000; Danville, $12,000; Dorchester, $12,000; La Chute
$12,000; Louiseville, $12,000; Matane, $12,000; Nicolet, $12,-
000; Noynn. $12,000; Riviere Bleuc, $12,000; St. Agathe, $12,-
000; St. Andre, $12,000; St. Cesaire, $12,000; St. Thomas
$12,000.
Saskatchewan
Regina, $120,000; Weyburn, $76,000; Mossbank, $30,000;
Saskatoon. $25,000; Osage, $1.5,000; Swift Current, $15,000:
Delisle. $14,000; Graverbourg, $13,000; Luseland. $13,000
Moose Jaw, $13,000; Watrous, $13,000; Areola, $12,000; Bat
trum, $12,000; Langenburg. $12,000; Langham, $12,000; May
pole, $12,000; Milestone, $12,000; Rodgcrs, $12,000; Rostem
$12,000; Talmage, $12,000.
Carcross, $110,000.
Yukon
September 24, 1920.
THE MONETARY TIMES
j^T^RilNGTRUSTS CORPORATIOM
.! INCOME TAX PROBLEWS
h'l
Our folder entilled -Relief from Income
Tax Worries" is just off the Press.
We shall be pleased to mail you a copy
on request.
HEAD OfFlCE-12 KING ST. EAST-TORONTO
Do Not Procrastinate
lint tl.lVt
\\ lii J.!.)]-..
L-uteil now.
DO NOT MAKE THE MISTAKE
of nominating one or more individuals as your Kxecutor
and Trustee. Without fear of successful contradiction as
to its advisability, we conscientiously recommend the
appointment of a Corporate Kxecutor and Trustee in pre-
ference to individuals. We shall be pleased to confer with
you on the subject at .nny time \ou may find it convenient
to do so
THE CANADA PERMANENT TRUST COMPANY
Paid-up Capit»l
Sl.OOO.OOO
TORONTO STREET
TORONTO
A. J. Pattison Jr. & Co.
ito stock Exchange Montreal ;
Specialists Unlisted Sec
106 BAY STREET
ck E.xchansc
rities
TORONTO
WESTMINSTER TRUST COMPANY
The Oldest Provincial Trust Company in B C.
Head Otfice - NEW WESTMINSTER. B.C.
GENERAL FINANCIAL AGENTS
Admimistratan, Rtuivtn. Extcmtara, l.itutdatan. AsxiiuMs. TrmaiMt
R. A. KIDDELL. Manaficr
H. H. CAMPKIN
msurance, Loans, Bonds, Debentures and Real Estate
Agent forCanadian Pacific RailwayCo. Lands.Carada .North
West Land Co. Lands. Hudson's Hay Company's Lands.
REGINA, SASK.
The Security Trust Company, Limited
Head Office
Calgary, Alberta
Liquidator, Trustee, Receiver, Stock ind Bond Broken,
Administrator, Executor. General Financial Agents.
\V. M. CONNACHER Pres and .ManaKinK Dire
Saskatchewan General Trusts
Corporation, Limited
Executor
Head Office: Regina, Sask.
AdminiMtratoT A*»ignee
Trattee
Special attention given Mortgage Investments, Collections,
Management of Properties for Absentees and
all other agency business.
BOAKII OF UIU>:iTOK8:
W. T. MOLLARD. President G. H. BARR. K.C.. Vice-President
H.B.Sampson K.C. A. L. Gordon. KC. J AM. Patrick. KC.
David Low, M.D W. H. Uuncan J. A. .McBridc
Chas.WiUoughby Vl ilham Wilson
B. B. .MURPHY. General Manager
Official Administrator for the Judicial District of Weyburn
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
A),'fnis lor investmciii iii aii classes ot Securuies.
Business Agent for the R. C. Archdiocese of Vancouver.
Fiscal .Xaint fni H. C Muiiicipalilics.
inquiries lrtvi*ed
<;rnrral «lnn:iK<-r Lliiit.-t ol. (.. II. ItoUKKLL
Providing for Education
In times of prosperity make certain that tlie education
of vour children will be provided for in case of a reversal of
fortune. Bv placing a trust fund with us for investment,
an income can be provided to begin at any time and be
administered under any conditions you see fit to incorporate
ill the agreement. Write us for particular';
Chartered Trust and Executor Company
46 KING STREET WEST, TORONTO
HON. W A. CHARLTON. .Ml
President.
W. S. .MOnDt-;^
Vice-Pren. and Estate
JOHN J. GIBSO?J. .Managing Director.
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acit ai Eieculor, Administrator, Trustee, Gnardiao, Liquidator
Aitiinee, anil in any other fidaciarjr capacity.
Official Ailministrator for the Northern Judicial
District and the IJauphin Judicial District in
Manitoba, and Official Assignee for the Western
Judicial District in Manitoba and the Swift
Current Judicial District in Saskatchewan.
Branch Office
Swift Current, Saakatchewan
JOHN R LITTLE. Managing Director
THE MONETARY TIMES
Volume 65.
American Companies to Write Fire Insurance Here
Licenses Have Hecn Issued lor That Purpose— Eaton Company Receives Authorization
to Transact Life Business — Extension of Scope Granted to Other Companies-
Unlicensed Insurance for British Columbia Meeting With No Resistance
F
1\'E insurance compiinies which had not previously been
writing business in Canada received Dominion licenses
during the past month. The T. Eaton Co. Life Insurance
Company has been authorized to transact in Canada the
business of life insurance. P. S. McLean has been appointed
chief apent, with head olTice at Toronto. Authorization was
also given to the Canada Security Assurance Company, to
transact the business of (ire, hail and automobile insurance.
J. B. Laidlaw is chief agent, with office at Toronto. The
Xorlhwe^Urn .Mutual Fire Association, which formeily l'*-''''
license restricting its business to British Columbia, may
now write fire and automobile insurance (excluding insur-
ance against loss by bodily injury to the person) in Canada.
Three United States companies have obtained the neces-
sary authorization to write business in this country, and C.
L. Clark, oC Winnipeg, JLin., has been appointed to act as
chief agent. The three companies, which will all transact
fire insurance, are as follows: Hardware Dealers' Mutual
Fire Insurance Company of Wisconsin; Retail Hardware
Mutual Kire Insurance Company; Minnesota Implement
Mutual Fire Insurance Company.
The Sterling Fire Ins. Co., of Indiana, U.S.A., has been
authorized to transact in Canada the business of fire and
tornado insurance. P. A. McCallum, Toronto, has been ap-
pointed chief agent for the Dominion.
Other Licenses Issued
Two companies which are already operating under a
Dominion license have had their powers extended. The Na-
tional Benefit Assurance Co., Ltd., has been authorized to
transact the business of accident and sickness insurance, in
addition to fire insurance for which it is already licensed.
In addition to classes which the Great American Insurance
Co. is already licensed for, the company may transact the
business of inland transportation insurance. The Traders
General Insurance Association, Ltd., has also had its scope
extended, and will write automobile insurance in addition to
fire insurance.
The Union Assurance Society, Ltd., which is already
transacting throughout the province of Quebec the busi-
ness of fire and inland transportation insurance, has had its
license amended to include automobile insurance. Last
month the II:irtford .\ccident and Indemnity Co. obtained a
Dominion license to transact accident, automobile, burglary,
guarantee, live.^tock, plate glass and sickness insurance in
Canada. The company has also obtained a separate provin-
cial license to transact the same classes of business in the
province of Quebec. H. A. Frominga, Montreal, is to be the
chief agent for the province.
Ilrit'sh Columhin Bu8lnes.s
l.ircnse has been issue<i to the Pacific Marine Insurance
Co. to transact in the province of British Columbia the
business of fire, automobile and inland transportation in-
surance. Ileail office of the company is to be at Vancouver,
anil L. H. Wright is attorney for the company. The Eagle
Star and British Dominions Insurance Co. has also been
licenced to write automobile insurance in tho province.
I.oewen and HarN-ey are the attorneys.
The Columbia Insurance Co.. which was licensed last
month to transact in the province the business of fire insur-
ance, has obtained the necessary authoriialion to write in-
land transportation and automobile insurance. Authoriza-
tion has also been given to the American Central Insurance
Co. to write in the province the business of automohilc. ex-
plosion and tornado insurance. D. W. Campbell. Victoria,
is attorney for the company.
Notice is given that the British Crown Assurance Corp.,
Ltd., has been licensed to transact in British Columbia the
business of fire and automobile insurance. The head office
is at Vancouver, and A. S. Matthew is the attorney for the
company. This company has acquired the rights and prop-
erty of the old British Crown Assurance Corp., Ltd., which
w.is incorporated in the United Kingdom, and operating
under a provincial license, but which has ceased to carry
on business.
Companies unlicensed by the federal or British Columbia
governments are said to be doing a brisk business in British
Columbia, The Monetary Times understands. In the case
of one company, definite information has been received, that
in spite of warnings from high places, they are continuing
to write automobile business at reduced rates in defiance of
British Columbia and federal laws, but up to the present
time no one is prepared to take the initiative to make a
definite charge to the proper authorities.
Insurance Notes
The Maryland Assurance Corporation, with head office
at Montreal, has ceased to write accident and sickness insur-
ance in the provipce, and all its business in force has been
reinsured by the Maryland Casualty Company, -which also
has its office in Jlontreal.
The Continental Insurance Company of New York and
the Fidelity Fire UnderwTiters of New York recently es-
tablished a joint brokerage department at 17 St. John Street,
Montreal, in charge of Mr. Harry Hall. This new depart-
ment, in addition to the French brokerage office operated
by tho Continental Insurance Company under the direction
of .1. W. Provost, will act as a measure of enlarged service
to agents and brokers and give prompt attention to the
handling of business located anywhere in Canada.
A. A. Fairbairn, from the western department at
Chicago, of the Firemen's Insurance Co., of Newark. N.J.,
has been appointed chief agent for Canada, not only for the
Firemen's, but for the Girard Fire and Marine Insurance
Co. His office will be in the Lewis Bldg., St. John St.,
Montreal.
The Mills Insurance, Ltd., Vancouver, have been ap-
pointed general agents for British Columbia for the Na-
tional Insurance Co. of Hartford, transferring this account
from Leslie H. Wright and Co. The occasion for the change
is the fact that the Pacific Marine Insurance Co., of which
Leslie Wright is the executive head, has entered the fire
insurance business in Canada and will push the fire business
of his company. The offices of the Mills Co. are at 402
Pender St.
ISIMTISH CANNOT INVEST HERE
Because of the present adverse rate of exchange ther
is little prospect of investment funds from England finding
their way out to Canada, is the opinion of William Toole,
who has returned from a four months' visit to the United
Kingdom. Tliere are prospects of a very desirable class of
emigrants coming out from the British Isles to Canada, par-
ticularly to the west. From reliable sources Mr. Toole
learned that over fifty per cent, of this English emigration
is settling in Alberta. "The old country people are very
anxious for reliable information, statistics and continuous
reports on the development that is taking place in .\lberta,"
he said. "I would emphasize that too much care cannot be
exercised in the accuracy of information sent out. We have
nothing to be ashamed of, and we must stick to the actual
truth."
September 24. 1920
THE MONETARY TIMES
DO YOU KNOW
that you can place your property in our charge and. in addition to
relieving yourself of the trouble and worry of management, increase
your income?
We make a specialty of serving under
"LIVING TRUST AGREEMENTS"
and our experience and special facilities for handling all matters in
connection with property assure you of i he maximum income. It is
not what you p3y us. but what we pay you that counts.
Cotne i»( toda\ and see us regarding a " Livinft
Trust Auretment.- or xcnt^ f,.r our h.^okiet.
Union Trust Company, Limited
HENRY F. GOODEKHAM. Proident
TORONTO - - Cor. Richmond and Victoria Sts.
WINNIPEG. MAN. LONDON. ENGLAND
i% on Savings— Withdraicable by Chetfue 71
The most important document a person of larse or small
means is called on to prepare is his
LAST WILL AND TESTAMENT
It means the happiness and welfare of those most dear.
> Ask for Booklet : " Make Your Will."
CAPITAL. ISSUED AND SUBSCRIBED . .51.171.700.00
PAID-UP CAPITAL AND RESERVE 1,172,000.00
The Imperial Canadian Trust Co.
EzecDtor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE ; WINNIPEG, CAN.
BRANCHES :
SASKATOON REGINA. EDMONTON. CALGARY.
VANCOUVER AND VICTORIA ^
Why Individuals Don't
Become Famous as
Executors :
How many individuals do you know who
have made business reputations purely as trus-
tees ? Not many.
How many trust companies do you know
whose reputations for business efficiency have
grown solely through their services iii positions
of trust ? Quite a number in Canada alone.
The reasons are two. Few people act as
executors often enough to learn how to manage
estates efficiently. The company is managing
various estates from day to day. This means
that to any new business the company brings
a skill and organization developed through
years of experience.
If you will send us your address we shall be
glad to mail to you our booklets telling why it
is a duty for every man to make a will, and why
trust companies make the best executors.
National Trust Company
Limited
Capital, $2,000,0(10 Reserve, $2,000,000
18-22 KING STREET E.\ST - - TORONTO
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
Offices in Four Provinces
Men whose investment holdinRS arc represented
in several provinces will find it beneficial to their
estates to select as executor The Canada Trust
Company.
The knowledge of Provincial Law and conditions
possessed by its officers at these branches, has
established an advisory service which ii
to all client.^.
nble
The Gvnada Trust Co^^pany
" The executor for \)our ealale'
London. Toronto, Windsor, Chatham. St. Thoma.. Ontario.
Winnipeg. Man.. Regina. SasU.. Edmonton. .Mta.
THE BANKERS
TRVST OOMBWJf
Head Offices: MONTREAL
Authorized Capital
$1,000,000
PrtslJcnl -
SIR H. MONTAGU ALLAN. C.V.O.
. DAWES
JAMES ELMSLY
C. D CORNELL
yicc-Presiiicnta -
D. C. MACAROU
Ceocrai Manager
Secretary
.Sit H. Montagu AlUn.
T. Ah«rn iC.V.O.
G. L. Cin.
D.vid N. C. Hogi
J M. Kilbourn
Directors:
Sir F. Orr Lcm>\: B»n.
Thot. la>nK
D. C. Macarow
W. A. Mcldrum
F. E. Meredith, K.C.
T. E. Merrcll
U-Col. J. R. Moodie
F.rquh.r Robrrt«)n
Hon.LorncCW'cbtter
F.Hown,dW.l.on
Edwin H. Wil»n
John W,l.on
Offices now open in Montreal, Winnipeg,
Calgary. St. John, N.B., Halifax, Regina.
Vancouver. X'icforia and Toronto.
Premiset in Merchanli Bank Building in each city
THE MONETARY TIMES
Volume 65.
Imports Show Further Falling Away in August
Exports Increased Approximately Seven Millions-Favorable Movement Which
Started in Julv will Likely Continue -Increase in Fibres and Textiles Notable .
Amonj? the Imports - Wood and Paper Still Canada's Major Industry
and increase the exports. It is thought that this movement
will increase in the latter part of the year and that at the
end of the period the Dominion will be in a better trade
position than it has been for some months past.
Notable among the increases in imports for August
were: Fibres and textiles, iron and steel, non-metallic
minerals and agricultural and vegetable products. The only
account to show a decline was animal and animal products.
Under exports there were large decreases in agricultural,
vegetable and animal products, while there was a small de-
cline in fibres and textiles. Those decreases were offset to
some extent by advances in other products.
The following statement, prepared by the Department
of Customs, gives the details: —
ACOXTIXUANCE of the improvement which started in
.July is shown in the August trade statement. Imports
show a further falling away of about ?:J,000,000 for the
month, while exports increased $7,000,000. The grand total
of Canadian trade for the month was $238,08.5,409, as com-
pared with $202,235,978 for the same month last year. This
showing, however, is not as good as it first appears, inas-
much as imports represent the bulk of the total this year,
while last year exports were in that position. For the five
months ended August, 1920, Canada has piled up an un-
favorable balance of $132,428,000, while for the same five
months in 1019 the country had to its credit the sum of
ajiproximately $128,.514,000. During the last two months,
liowcvor. there has been a tendency to reduce the imports
IMIMIItTS CXTKKKD MIK IIO.flE «;0>iSU.11l»TI0Ji
Fihr
Agricultural nntl vegetable products
Aftricultur.ll und vc»tvt;iblc products
Animals and anim.Tt products
I lies and textile product*
:ind chemical products
•> ind ni.inufjctures thereof
I metal manufactures, other than iron and steel.
r)t:r.ils and products
ducts, paper and manufactures
Ilutv collectrJ
Aflncultural and vcfletabic products, mainly foods
Asricultural and vaftctablc products, other than foods
Ariin-.il-. .in.! .inmuil iM-.~li.>!.
I l.icts
. t hereof
< ■ '..turcs. other than iron and steel.
S..- .ti<t,.;i,i miiicr..U an.l r'lHlilcts.
Wood, wood products, paper and manuf.it rut.
Miscellaneous
Grand total, Canadian trade
Month of August
Five months ending August
I0,KJ0.15,S
1.611.^47
4.7:r>,ioi
I0,(!67.U.>
l,ai>6.696
12,O97..S0O
•i.S'it.'sri
5.()7<.n96
1,!1.VJ.5->I
2,990.326
12.627,239 1
3,137.521
2.550.146
|g..59l),0S8
l,9!v;.394 !
19.974.896
3935.4%
13.5S9.732
3.Ifc0.2S4
3.421.374
41.37S.880 82.942.134
4.141,891
2,588,2,54
2.120.404
10.000,264 I
1.77.5,145
4.615,649
1.264.176
9.189.876
2.7:B,215
2,947.006
$
14.421.962
14,118,882
10,350,490
20,993.374
3.599,577
15.010.829
6,756.431
22.307.773
7.321,321
11,266,264
44,028.884
6,922.132
24,812,947
43.399.487
5,897,770
58.263.562
11,209.778
24.330.489
8,403.236
12,839.210
i 126.146.903 1 240,107.495
67,046.584
$
21.7.52,149
19.226.1.56
15.740,450
4,5.484,829
8.144„563
21 .287.242
7.891,712
33..504.5I5
lu.597.639
17.053.223
68.63l,Rr/
17.94ii.204
16.309.831
98,223,541
9.S36,66«i
94,176.526
18,296.129
43,2«6.t<51
13.738.186
17,076.512
•200.682.478 397,208.125
i:\POKTN
.Month o
f August
-
Oomeslic
Foreign
?
Domestic
Foreign
•
e
;i«. 107.741
611.7.53
28,06S.:«t2
116,356
2.803.1.52
326,988
1,904.981 1
14,109
:0.4«7.777
XW.9S4
21,232.920
120,588
ZS92.n69
239.747
l.395,(K)8
203,708
1,. 546.451
43.iio<;
1.810,962
24,774
7.5in.49«
1.148.014
7. .544,48(1
.587.399
3,817.640
1.017,879
4,691.948 .
43.014
2,l;riK8,5
23,031
5.746.363
67.811
7n,97».730
33,9.58
31.817.127
27.845
7..W7.M9
.502.471
S.068.893
•28:4.727
1I6..W(,7>'2
4.313.801
1 12.278.064
l,489,3:<l
Five months ending August
$
169.992.300
10.511,807
12n.,569.19S
10.385.677
8,:t42.779
33,455,683
18,698,4.54
9.I77.SI9
72..536,731
•20.778,744
474,448.689
$
2,62'2,1.59
1 .■201 ,007
3.563,821
2,160,585
2.214.205
3.735.898
1.. 588.690
22S.36I
149,5«7
2.858.635
20.320,248
Domestic Foreign
128.355,766
10,524 118
77.268.018
9.982.841
9,143,717
31,069,779
20.025,796
18.858.088
r26,7.53.046
19,409.318
454,390,487
e0'.06l
131.003
530.609
1,14S..5S7
435,3.59
S.784,150
334,565
322.080
I57,0'27
1,629.669
R»< *rmi,*Tiox
Month of August
Five months ending August
1919 1 1920
366.2S4.398
474.448.tW9
S
597.890.603
454.390.487
840.703.087
■/0.3-20.248
1.05'2.'28l.09O
11,072.080
S61.0'23.335
I.D63.3S3.I70
September 24, 1920
THE MONETARY TIMES
23
INVEST YOUR SAVINGS
j in a 5j^^ DEBENTURE of
^ ^ I The Great West Permanent
O 2 A Loan Company
INTEREST
RETURN
StCLRITV
Paid-up Capital $2,412,578.81
Reserves 964,459.39
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Calgary,
Edmonton, Vancouver. Victoria ; Edinburgh,
Scotland.
CANADA PERMANENT
MORTGAGE CORPORATION
QUARTERL-l- DIVIDEND
Notice is hereby given that a Dividend of TWO and
ONE-HALF PER CENT, for the current quarter being at
the rate of j^^ ^^^ ^j^^^ ^^^ ANNUM
on the paid-up Capital Stock of the Corporation, has been
declared, and that the same will be payable
FRIDAY. THE FIRST DAY OF OCTOBER
next, to Shareholders of record at the close of business on
the Fifteenth day of September.
By order of the Board.
GEO. H SMITH. Assistant General Manager.
Toronto, August 25th. 1920.
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
Masonic Temple Building, London Canada
Interest .it 4 per cent, payable half-yearly on Debentures
T. H. PURDOM.K.C, President NATHANIEL MILLS. HanaRer
The London and Canadian Loan and Agency Co., Ltd.
DIVIDHND No. MS
NOTICE is hereby Riven that a Dividend of Tw
for the quarter ending 30th September. 19J0. u
Stock of the Company, (beinfl at the rate of Nio
this day been declared, and will be payable i
October. 1920. to Shareholders of record at the
I ind Out Quarter Per Cent.
mn the Paid up Capital
Per Cent, per Addudi) , has
n and after the first of
close of business on 15th
The Ontario Loan & Debenture Company
DIVIDEND NO. 133.
Notice is hereby given that a Qr.ARTKRI.Y DIVlDKXn
of 2% per cent, for the three months ending; 30lh Sep-
tember, 1920 (BEING AT THF. K.VTH OF NINE PER
CENT. PER .ANNT-M) TOGETHER WITH A BONl'.S OF
■^ OF ONE PERCENT has been declared on the paid-up
capital slock of this Company and will be payable at the
Company's Office, London, Ontario, on and after the 1st Oc-
tober ne.xl to Shareholders of record of the 1.5th September.
By order of the Board.
A. M. SMART,
Manager.
London. Canada, .tls-t August, 19'_'0
(^\'ER 200 Corporations,
^'^ Societies, Trustees and
Individuals have found our
Debentuies an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Quarterly Dividend
Notice is hereby given that a Dividend of Two and one-quarter per
cent., being at the rate of .Vine per cent, per annum, upon tije paid-up
Capital Stock of this Company, has been declared for the current
Quarter, and that the same will be payable on and after l"l Oetiibrr.
I91S0. to shareholder!) of record on the books of the Company at the
close of business on I.Sth inst By Order of the Board.
Toronto, 2nJ Ssptembcr. 1920 WALTER 01LL8SPIB. .Manager.
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
Particulars on application.
The Canada Standard Loan Company
S20 Mclntyrt Block, Winnipeg
ACCOUNT BOOKS
LoosK I.i:af J^Enoi<:iis
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Streets
TORONTO
IRON MINE
FOR SALE
- ,1, ii,<-
COUNTY OF RENFREW
Near Perth
For full particulars, report of assay, etc.. apply
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAY and MEUINDA STS. - TORONTO
THE MONETARY TIMES
Volume 65.
DOMINION REVENUE INCREASED LARGELY IN
AUGUST
Due To Taxts Imposed Under Last Budget — Ordinary Ex-
penditure Also Advanced — Net Debt up Twenty Millions
LARGE increases are shown in ordinary revenue and ex-
penditure in the Dominion government's financial state-
ment for August, 1920. The lar^e advance in revenue of
approximately $51,000,000 for the first five months of the
fiscal year is due chiefly to the taxes imposed under the
last budget.
For the first time ordinary expenditure is shown in de-
tail. Principal increases for the five months are in interest
on public debt, soldiers land settlement, pensions and miscel-
laneous revenue. Interest on public debt includes the first
payment on the last Victory loan, which explains the heavy
advance over last year.
PUBLIC nEE<T IHIH ia--ii
LlAHILlTIRH d CtS, $ CtS
FusniiD Ovm —
P.iyablc in C -n.idJ
do in London
do in New York
Tcnipor.lry Lo;ins . .
BankCiriiihition Redemption Fund.
S\
Ha
t Otlicc
Domini.m I
Trust Fund^
Province Accounts
Miscellaneous .ind BankinR Accounts
Total Gross Debt
AnSKTn
a)w.'ja<i.(Kio3:i
X«.0O1.46!l7:i
n.i.s7:i.0(io dO
KS,K<4.IIOfl 0(1
6,:«)l..772 "B
m.til*H3 17
:iO..'ili7,!i58 9l
!l>!fj.3.i0 28
1:1.4(14.020 iTi
\\.VM.4»\ 20
37.:(4R,792 37
mOS.8l2,g46<ill , 3n'.2l,800.!)2t)72
37.868. 1 :.S BO
ll.Bfil.928 77
11,859,319.^9
ll,»?0,48l 20
:(tl..SIO.OI2 92
1919 IWO
.;SS3().IW,24li20 t4/0.7.'i4.2tl8A('>
214,485.73130 279,712.72311
121.1(40.514 00 I41.04I..SAS4S
18.667,51.113 22.338.940SS
Province Accounts. .
.Misc. ft BkR. Accts. 9H4.004.II94 08 648.263.317 67
Less Non-nclivc' 47,654.781 08 4H.l 22.6.S6 86
I2I.S40.5I4 90
2.29«.327 90
9I6.I.W.II2 10 (,01.640.6608!
Total Active Assets
9lfi l«" 1
.1,1
10."
1947 J .
IK94.JSU:.
;):a
14 1. 04 1, .565 45
2,296,327 90
M0,(>(>0 8l
< 1 7. 495 04
RKVEkbk—
» ..Is.
Customs .
I2.!>82.813 17
Excise
3..562.7(^ II !
Pol* ''"
1 ..50(1.0(10 OO'
I'lv ■'
4.4l),H.219 4n
\v.,
In; .
1. Kit Sin r.'
ln,.,,Mie
jj. . ,
' '.Jl
Other W
irT.ixKcv.
1"
52.677.639 35 I9.9S6.518 73
Total to 3Kt
Aunust. 1920
84.k:(9 WW US
l«.(V>2,0:il 03
S.4ISI.I)(«>V0
18.010 .57.<^ 66
. ■vii,.>.i,';;ii
l>.477,««»3 1k:i,S27„579 96
POST OFFICE SAVINGS BANKS
The balance at the credit of depositors in the Post Office
Savings Banks was still further reduced in May, 1920, al-
though deposits showed a slight improvement over the pre-
vious month. The statement is as follows: —
1 handsof thcMinis'ei 8 cts
ceor. 30th April 19S0. . 30,S40,461.21
DKPOsrTS in the Post Office Sax
inss Bank durini; month
Transpbrs from Dominion O'x- -
ernment Savings Bank during
month :—
iNTKRBST accrued
from 1st April to
date of transfer. ..
UuposiTs transferred from the
Post Office Savings Bank of the
United Kingdom to the Posi
OfHcc Savings Bank of Canada
NTKRBST accrued on depositors',
accounts and made principal'
.list Mar. la20. Estimate
INTBRBST allowed to Depositors
on accounts closed during'
month
1,871.37
31, 540.774.45
Balanob at the credit
of Depositors' ac
counts on 3ISt
.May. 1920
30.475.872.2;
31, 540,774,4.'
DOMINION GOVERNMENT SAVINGS BANKS
Deposits in the Dominion Government Savings Bank.<
for July, 1920, were about .$30,000 below the June figure, but
withdrawals were not so heavy, showing a decrease of about
.fl4,000. The balance to the credit of the depositors at the
end of the month, was therefore reduced from $10,680,?48
to $10,661,200. The following are the figures:—
St. John.
Nova Scolia
Bftrrington .
Ouysboro'..
Halifax
Kentville...
Lunenburg
Port Hood.,
Withdraw- Bdancf o'
als for I July i>l.
' July 1920 1 1920.
1,109,7.53.63
1, SOI. 365.77
Sherb
Totals
ke.
50.00 71,368.96
2,01S.O0l 78,863.86
31,189.08 2.351.345 42
66.606.07
10,863,470.77
21,408.56
29~.S34.3$
1.088,345.0
1,771.831.4
1,328.12 70.040.t
969.57 77,894.'.
54,887.20 2,296,458.:
4,792.01 242.7S8.-
4.676.29 403.869.:
238.96
202,270.80
66,367,
10.661,199.:
ITAL Account. Etc
liVtrjBii
"H9.473 43
ugh the Books of the Finance DcparimenI up lo the last di>v of the
(JRAND TIUNK TELEGRAPH SERVICE
The jurisdiction of Geo. D. Perry, general manager o
the Git'ut Northwestern Telegraph Co., has been extende
over the telegraph lines of the Grand Trunk Pacific Rail
way, with headquarters at Toronto, according to an announce
nient made by D. B. Hanna, president of the Canadian Ns
tional Railways. The announcement follows the decision o
the government to place the management of the Grand Trun
Pacific under the control of the board of directors of th
Canadian National Railways.
September 24, 1020
THE MONETARY TIMES
25
We heard a man say:
"Lei the Telephone Company use the profits the}) made in
prosperous years, if the]) need mone}) to build more plant."
That's exactly what we have done !
Shareholders of the Bell Telephone Company of Canada have been paid only a moderate
return on the par value of their stock — no more !
We have made no distributions of bonus stock, no 'melons' have ever been cut; no distri-
bution ever been made of surplus earnings. Every share of stock has brought us its par
value, or better.
For forty years we have consistently used all surplus earnings, all idle reserves to buy more
telephone plant. Every dollar has gone back into the business to extend it and serve new
subscribers.
What has this policy meant to the public.^
The Board of Railway Commissioners at our last rate investigation found that if we had not
pursued this honorable course of turning all surplus earnings back into the business we would
have had to provide in the year 1918 alone an additional $908,000 out of revenue to pay in-
terest on the plant so secured. This, of course, would have meant higher rates to subscribers.
The fact is, we need millions of new money just because our funds have always been at work,
keeping down our bond and stock issues, and ensuring low rates to our subscribers !
THE BELL TELEPHONE COMPANY OF CANADA
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
Private WutKs to WIN.NIPKG. CHICAGO, roRONTO,
MONTREAL AND NEW YORK
A Newspaper Devoted to
Municipal Bonds
T^HERli is puhlished in .New \ork Cily a daily
and weekly newspaper which has for over
twenty-five years been devoted to municipal
bonds. Bankers, bond dealers, investors and
public officials consider it an authority in its
field. Municipalities consider it the logical
medium in which to announce bond offering's.
Write for free specimen copies
THE BOND BUYER
67 Pearl Street ' New York, N.Y.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OUR COUNSEL AND ,\UVK E
Willoughby Sumner Limited
F.»ii.bl,,l,cd I WO.
Member, of the Wmnipcg Grain Exchanij =
Prlntale xoire to Winnipeg. Toronto, Montreal, Cliicago
and ,\ca Yort(
BOND SALESMAN
WANTED
Toronto Bond House lios opening for experienced
Bond Saleamun.
Atlraclivc conlroct on baiis of salary and com-
mission with pnrticipfitinn in profitfi.
ACCOUNTANT
Accountant also wanted capable of taking charge
of bond office detail.
Communicate with
W. R. FLEMING, 8 King St. West, TORONTO
THE MONETARY TIMES
Volume 65.
Tariff Commission Hears Evidence in West
Manufacturers Ue-AtTirm Position in Favor of Protection — Council of
Agriculture Would Have Revenue Tariff Only — Attitude of Farm Implement
Manufacturers Explained Evidence Heard at Winnipeg and Vancouver Sessions
SIXCE its sittings commenced in Winnipt-ir on September
11th, the Tariff Commission, composed of Sir Henry
Drayton, Hon. G. D. Robertson and Hon. J. A. Calder, has
already heard perhaps the most authoritative statements from
both sides. The Canadian Council of Agriculture and the
Canadian Manufacturers' Association lost no time in pre-
senting their respective cases; and it is evident that much
care was given to their preparation. Outside of these state-
ments, perhaps the most notable was one presented on Sep-
tember 18th by Thomas Findlay, general manager of the
Massey-Harris Conijiany, on behalf of farm implement manu-
facturers. Individuals also gave evidence, most of it favor-
able to protection, and in Vancouver, where the commission
arrived on September 20th, the evidence was almost entirely
in favor of a substantial tariff.
The Winnipeg hearings were on September 14, 15, and
16; sessions were then held in Medicine Hat on September
17; in Vancouver on September 20 and 21; and in Victoria
on September 22 and 23. The itinerary for the coming week
is as follows: — Vancouver, September 24 and 25; Vernon,
B.C., September 27; Nelson, B.C., September 30 and
October 1.
In pointing out the purpose and scope of the inquiry,
Sir Henry Drayton agreed that Canada's fiscal policies,
while insuring the necessary revenues, should be applied in a
manner least burdensome to the public. At the same time,
he wanted all parties to understand, when presenting their
claims or suggestions, that Canada must meet her financial
obligations brought about by the war. Any bodies or organi-
zations interested in the tariff would have an opportunity
to advance their arguments for or against a reduced tariff,
but the minister of finance made it evident that he is much
more interestc<l in proofs than in generalities. The United
Farmers of the west will have much more to say about the
tariff, as detailed statements will be put in later to show
what they believe will be the effect of a continued protective
tariff.
Manufacturers' Association Statement
Summed up briefly, the Canadian Manufacturers' Asso-
ciation made it plain that they feel that, while a tariff re-
vision is long overdue, they must still have protection from
foreign industry, and they are renflTirming their advocacy of
n policy of adequate protection for Canadian industry. The
objects of the protective system, which they insist upon, arc
to diminish as far as possible the importation of goods from
foreign markets which could be produced at home; to facili-
tate the importation of raw materials for manufacturing
processes; to encourage the exportation of Canadian goods,
and to make Canada self-contained by developing and en-
couraging, within her boundaries, all legitimate activities
that will give occupation to Canadian citizens. Conditions
which would make for the development of Canada, it was
insisted through a scries of speeches, could be attained only
by the api>lication of an adequate tariff, the term "adequate"
being defined by the particular measure of protection which
each industry may require to put it upon a fighting footing
with its competitors in the I'nited States, Japan and other
exporting nations. The general statement of the CM. A. was
presented by .lohn S. McKinnon, of Toronto, president of the
association.
Farmers Auk for Revenue Tariff
On the other hand, the contention of the organizi-d
farmers of the Dominion, as presented by Norman Lambert,
secretary of the Canadian Council of Agriculture, was that
agriculture is Canada's basic industry, and that for many
years it has not been justly considered and dealt with by
federal legislation. Mr. Lambert's statement, which had
pre\noualy been endorsed by the council, emphasized that the
farmers of Canada are not asking for any drastic legislation
which would tend to unsettle and injure Canadian industry,
but it did take the position that a national policy based upon
the principles of protection is wrong. The suggestion ac-
cordingly was that any tariff which the commission may
leave in force should aim at reducing the customs to a strictly
revenue basis. That is the big point of conflict between the
opposing forces. The United Farmers ask for a tariff which
will be strictly revenue-producing. The CM. A., representing
the industries of Canada, declare that a tariff, levied for
revenue only, is entirely wrong, and' that the aim of any
tariff should be to protect industries. The further attitude
of the United Farmers, as expressed during the day, was
that production in Canada has been forced into uneconomic
channels by the application of protective duties, and that,
as a result, the development of vast supplies of natural
wealth has been retarded, and Canada has been held back
from the attainment of her fruitful destiny. Having advo-
cated that tariff should be revenue-producing only, and not
protective of industries, and realizing that such a system
of tariff would fall short of producing the big slice which
the customs duties are expected to contribute to the Do-
minion's annual expenditui'es, the United F'armers put for-
ward the proposal, planned to make up the deficiency, that
the federal government should immediately call a conference
of the treasurers of all the provinces and the large murici-
j)alities with a view to dividing up the fields of taxation so
that no one of them should be harvested too freely, so that
there should be as little overlapping as possible, and so that
there should accordingly be an adequate division of taxation.
There was also a repetition of the farmers' taxation
platfomi, which has been advanced before, covering the per-
sonal income tax, the inheritance tax and the graduated tax
on business, the charge in this connection being that the ad-
ministration of the federal income tax has not been efficient
since it was introduced some five years ago. The farmers,
it was emphasized, are in favor of the direct method of taxa-
tion, as opposed to the indirect method represented by the
customs tariff", and they are prepared to pay their share of
the direct tax if the government chooses to lean upon it more
strongly. As proof of that, Mr. Lambert made the sugges-
tion that the forms sent out to the farmers could be im-
proved, and he insisted that the direct tax, properly applied,
should yield a revenue of at least $200,000,000 yearly. This
rigid enforcement of the income tax would tend to make up
for the falling Off in revenue which would result from tariff
reduction.
Statement of Implement Manufacturers
Thomas Findlay, president of the Massey-Harris Com-
pany, spoke on behalf of the manufacturers of farm imple-
ments. He made it plain that they are absolutely opposed
to free trade in implements. Their opposition to the free
trade policy, he declared, was not actuated by selfish con-
siderations, but was based rather upon the effect which such
a step would have upon other industries and the way in
which it might result in driving Canadian workmen to the
United States. As far hack as August of 1917, Mr. Findlay
stated, the Massey-Harris directors went on record with a
resolution, hitherto unpublished, to the effect that "given
free materials, machiiiery and all other articles entering into
the manufacture of our jroods and the operation of our plants,
we would be as well off with free agricultural implements."
That resolution had been adopted after careful investigation
of the effects of free trade upon the Massey-Harris Company,
and tiic directors had been satisfied that owing to their
pecuiinr position of having a business about half domestic
and half foreign, "they could make as much money under the
grain gt iwera' proposal as at present."
September 24, 1920
THE MONETARY TIMES
THE ROYAL BANK
OF CANADA
Capital and Reserves
$38,000,000
Total Resources
$585,000,000
5Q8 BRANCHES fN
DOMINION or C\NADA
AND
• NEWFOUNDL/VND •
"--„ =Ji5^V
COWJMbtA; ALBERTA ,
BRANCHE^ branches/ '»'^'*'<- < 40 BRANOtE^
\ / '°^ ; (T ^ /
I BBANCMES
O NTAR I O
. q U E B E C
rtlVOURANCMEp S7BRAMCUBS.< ,
L .!0 BRANCHES
.^
Collections f
handled upon
avorable terms
THE MONETARY TIMES
Volume 65.
But in spite of the fact that in 1917 the company felt
they could make as much money under free trade as under
protection, they had kept their views quiet in order that free
trade might not work a hardship upon the great bulk of the
other implement companies in the Dominion, the most of
whom had no foreign trade, and work a hardship also upon
other manufacturers supplying them with materials, and
more particularly because of its possible effect upon the wel-
fare of their own workmen. To-day, Mr. Findlay continued,
given no consideration other than that of money-making, his
company would be quite prepared to have the tariff taken off
implements, if at the same time it were taken off evei\vthing
that entered into the cost of producing them. Even when
the company started, the same money could have reaped the
same success in the United States, but, since there was a
tariff protecting the industry, it had permitted those inter-
ested in the business to enjoy the great privilege of living
in Canada.
"I am not suggesting that free trade would immediately
drive our company out of Canada," Mr. Findlay continued,
"but it must be perfectly clear to any thinking person that
under free trade the requirements of western Canada in
implements would ultimately be supplied by factories in the
middle western states, where they would be close to their
raw material and closer to their market than in Ontario."
Mr. Findlay accordingly protested most vigorously on
behalf of the company's employees against "a policy which a
few years hence may impose upon them either the neces-
sity of giving up their occupation or being forced to emi-
grate with the industry to the United States."
In taking up in a general way the application of the
tariff on fami implements to the cost of producing crops, Mr.
Findlay gave detailed figures to show that the tariff adds
practically one cent per bushel to the cost of harvesting
grain, and that cent, he did not imagine, would result in
driving many farmers out of the west. It occurred to him
that a little education for the fanner in looking after his ma-
chinery might save a whole lot more than the tariff costs
him, and, accordingly, his suggestion was that the Canadian
Council of Agriculture, instead of attacking the tariff, should
educate the farmer on implement preservation. At the same
time, Mr. Findlay wanted to clear up some points which
have been the subject of controversy. He gave the assur-
ance that Canadian farm implements are not sold abroad
cheaper than in Canada, and he submitted detailed figures
to back up the point. He also insisted that misleading com-
parisons have been made regarding Canadian and American
prices of farm machinery. The average difference in price,
lie declared, is not as great as the average difference in
freight which the American farmer has to pay on his imple-
ments, and which the Canadian farmer escapes. In response
to an inciuiry from Sir Henry Draj-ton, Mr. Findlay declared
that Canadian industry has been misrepresented in the
charge that thoy fix their prices on American prices, plus
tariff. Prices, he assured, are regulated by cost alone, and
every time the opportunity comes the Canadian farmer gets
thi' liinifit of possible reductions.
Plea for Wool Industry
.\s I hairm.'vn of the Prairie division of the CM. A., L). .1.
Dyson made a plea for the retention of the tariff in order
that the western wool industo'. recently established, might
have a chance to live. The west, he recalled, hn.s starteil the
manufacturing of clothing, but the spinning of yarn and the
weaving of cloth have yet to come. Give the industry the
tariff, and the result will be the development and locali/.ntion
of the textile industry for the benefit of the sheep misers
and the farmers of the west, but knock off the tariff, and
nwny goes the industry. .\t the same time, away goes the
benefits which the stockmen would get from the industry.
But wool was only an illustration, for there arc scores of
other industries which the west is beginning to develop. Mr.
Dyson's ircnor:il plea was for a tariff which would permit
the youmr. but flourishing, industries, west of the great
lakes, to keep on flourishing and brineine nrosnrntv t.> ilio
nation. Already there are 4,118 factories between Ontario
and the coast, and the experience of the world had taug'nt
men that agriculture and industry must prosper hand in
hand. If they are to prosper, keep the tariff as a protection.
.A.n appeal on behalf of the fertilizer industry of Ontario
came from A. C. Hornberger, representative of the Canadian
fertilizer industries. This speaker showed how the nations
which have perished have gone down' because of military con-
quest or because of the exhaustion of the soil. The latter
is the danger which faces Canada, though the fertilizer com-
panies are doing their best to avert the disaster. But they
cannot do it without a tariff to protect them from the United
States industries. There are seven Ontario industries in-
terested, three of which are in Toronto.
Representing the textile manufacturers of Canada,
Robert A. Pringle, K.C., of Ottawa, explained how the cotton
industry must have a protective tariff or be brought face
to face with cheap competition. No country, he declared,
wanted to face Japan industrially in view of labor conditions
there. Japan has lots of hands and low wages, hence cheap
cotton for export, and the only way to save the Canadian
workmen is to keep the tariff up. With her labor condi-
tions, Japan is going so strong that she can even import her
raw cotton and compete in the United States market, duty
and all.
Protection Favored at Coast
In Vancouver, J. W. Berry, of Langley Prairie, spoke
on behalf of the Fraser Valley Milk Producers' Association,
telling the Commission that protection is essential to dairy-
ing in the province. He stated that the farmers of Washing-
ton could produce milk more cheaply than the British Colum-
bia farmers could. In British Columbia alfalfa, bran, shorts,
oil-cake and other fodders have to be imported from tha
United States, paying a duty as they came.
Mr. Berry admitted that the association controlled the
milk situation in Vancouver, and dictated the price received
for its surplus milk sold to condensers. Ninety per cent,
of the milk produced in the Fraser Valley was controlled by
the association, and forty per cent, of this w-as distributed
under one central control in Vancouver. The price set for
milk sold to the condensers was slightly above that paid
by the United States factories. If the 17^i per cent, protec-
tion on milk and milk products were removed Washington
producers would be able during the "flush season" of produc-
tion to flood in their milk to the condensers at lower prices
than those asked by the milk producers of the Fraser Valley.
That would mean lower prices for the producer in British
Columbia, and in order to recoup himself for losses he would
have to ask a higher price than is obtained now during the
winter season when there would be no foreign milk coming
in. The consumer would, therefore, not benefit in the long
run.
Wholesale dry goods merchants of Vancouver also de-
clared their belief to-day that the protective feature of the
tariff mu?t be maintained. H. A. Stone wanted the commis-
sion and the public to take special note that the wholesalers,
who were bound to keep close touch with the markets of the
world, knew that for three years, and particularly at the
present time, "we have been and are still able to purchase
and to supply to the consumer articles of wool, cotton, silk
and other materials of Canadian manufacture at considerably
lower prices than similar goods could or can be obtained
from Great Britain, the United States or any foreign coun-
try." Without protection the industries giving such prices
would not have existed, and therefore because of protection
Mr. Stone argued that lower prices were enjoyed here.
J. J. Plomnior, representing the Clayburn Brick Manu-
facturing Company, asked that a duty should be levied on
all fire-brick entering this country instead of on certain
sizes only as at present. His object in asking this was that
the fire-brick industries of Nova Scotia and British Colum-
bia might be able to offset the advantages of the short haul
to the United States concerns and get the business of central
C.inad.i.
September 24, 1920 THE MONETARY TIMES 29
JllllllllllllllllllllllllllinilllllllMIUIIIinilllllllUIIIIIIIIIMIIIMIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIUIIIIIIIIIIIIMIIMIIIIIIIIIIUIIIIIIIlM^
I CHARTERED ACCOUNTANTS |
^liniMinillllHHMIIIMIIIIIIIIIIIIIIIIIIIIIUIItllllllllinilMIIUiltlllllllinUIIIIIIIIHIIIIIIIIIHIMIIIIIIiniMIIIIMIIIIIMIIIIIIIIIIIMIIIIUIinilllMIIIIII^
Baldwin,
Dow & Bowman
CHARTERED ACCOUNTANTS |
O'-FICES AT
Eduionlon
Alberta
Toronto
Ont.
CHARLES D. CORBOULD
Chartered AccouDlanl and AuJitor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipes
Correspondents at Toronto. London. Eng .
l-:st.,b;[~hcJ
W. A. Henderson & Co.
Chartered Accountants
508-509 Electric Railway Chambert
Winnipeg, Man.
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
SpeciaJist on Taxation Problems
Bank of Toronto Chambers
LONDON ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 Coniederation Life
Winnipeg
Building
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:
HAMILTON
WINNIPEG
CLEVELAND
Hube
rt Reade
& Company
Chartered Ac
Auditors
, Etc.
'
407-408
MONTREAL TRUST
WINNIPEG
BUILDING
SERVICE
Thome, Mulholland, Howson & McPherson
3420
CHARTERED ACCOUNTANTS
Factoiiv Costs am. PRonicTloK
Bank of TORONTO
Hamilton Blda. • WIW^l"^ I V^
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRIGGS 4 CO.
Ciuirlcreii Accoutilanls. Amlllors.
Trustees. Liai't'lalors
Winnipeg, Toronto, Saskatoon, Mooie Jaw,
Montreal, New York, London, Eng.
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Main 7014
LUMSDEN BUILDING - TORONTO, CANADA
F. C. S.TURNER &C0.
Chartered Accountant*
TRUST & LOAN BUILDING. WINNIPEG
CLARKSON, GORDON & DILWORTH
Chartered Accountanta. Fruatee*.
Receiver*. Liquidators
Merchants Bank Bldg.. IS Wellington Street West ToronI
O. T. ClarUs
Established III64 R. J. ijilwoi
WE BUY
WK SELL
Chauvin, Allsopp & Company, Limited
FARM LANDS
And other good property, EDMONTON DISTRICT.
VALUATORS
Ground Floor. McLcod Building - Edmonton. Alt—
K. Willuui.son.CA., J, 1) Wi.lljtc.C A.
.\. .1 W.illier, C \ H. A. Shi.^h C-A.
RUTHERFORD WILLIAMSON & CO.
Charltrcd AccaunUinlt. Trustees una
LiQttidtltora
«6 AnFLAiDt Sti<i:«t East. TORONTO
(O* McGluL nuiLUlNO. MO.NTREAL
Cable Address-' WILLCO"
Kcprescntcd at Halifax. St. .John. Winnipeg.
TOOLE, PEET & CO., Limited
INSURANCE AND REAL ESTATE
MORTGAGE LOANS ESTATES MANAGED
Cable Addres.. Toreco Western Vn r.rd * H C «th hdit.on
CALGARY, CANADA
THE MONETARY TIMES
Volume 65.
INCOME ASSESSMENT OF Oil, ANU (iAS COMl'ANY
Supreme Court of Canada Ipholds JudKmrnt of Ontario
Court, That Capital Expenditure is Not Deductible
RKCENTLY the Supreme Court of Canada affirmed the de-
cision of the Supreme Court of Ontario in the case of
I'nion Natural (ias Co. vs. Corporation of Dover holding
that "expenditure on the sinking of new wells or the deepen-
ing of existing wells is expenditure on capital account and
is not deductible from earnings for the purpose of arriving
at the 'income' of a mine or mineral work, assessable under
the Assessment Act of Ontario."
In rill- Miiiirliiry Times of July 16 appeared a statement
of the facts of the case and of the judgment of Chief Justice
Meredith of Ontario. The following is the pertinent parts
of the judgment in the appeal in that case of Davies, C. J.,
and Anglin, J., of the Supreme Court of Canada: —
■ ^ t
Two Wells in Operation
"The expression 'mine or mineral work' is not defined
in the statute, and what it may include must, I think, in
every case depend on the circumstances. In the ease at bar
there is no evidence to unable us to determine whether each
of the two wells assessed is in itself, or forms part of, a
distinct mine or mineral working, or whether the two wells
assessed are parts of the same 'mine or mineral working.'
"I agree with the view of Chief Justice Meredith of On-
tario, that expenditure on the sinking of new wells or the
deepening of existing wells, whether productive or dry, is
expemliture on capital account and is not deductible from
earnings for the purpose of arriving at the 'income' of the
mine or mineral work assessable under sub-sec. 6 of sec. 40
of the UcvLsed Statutes of 1914, ch. 195.
"I am ([uite unable to appreciate the grounds on which
the appellant contends that an adverse difference between
receipts and expenditures in one year (the latter in this
case including capital outlay) should be taken into account
and deducted from earnings of a succeeding year in order
to arrive at the 'income' for the latter year. The definition
of 'income' in sec. 2 (2) as 'the annual profit or gain derived
(inter alia) from any business' in my opinion excludes any
such deduction.
"I would, therefore, dismiss the appeal."
1)11) lUSlNESS HKIOKE CAI'llAl, J'All) IN
The Chambre Commcrciale des Cultivateura, Ltd., and
the Chambre des Cultivateurs, Ltd., were held to have for-
feited all their powers and privileges and were accordingly
dissolved, in a judgment rendered in the Superior Court at
Montreal on September 14. The court's decision was based
on proof that both companies commenced operations before
ten per cent, of their authorized capital had been subscribed
and paid for.
The evidence adduced at the hearing showed that ap-
peals were made to a number of farmers for money, and
many answere<l afTirmatively, either sending money or notes
)>ayable. Complaints were made to the provincial govern-
ment of the companies' proceedings, and inquiry established
that all their transactions were illegal. Justice Surveycr
said that the companies in question ilid not appear to have
done anything but solicit subscriptions and distribute the
product without any benefit to the shareholders. In both
cases. His Lordship said, the attorney-general of the pro-
vince was exercising a duty as well as a right when he inter-
vened. The fact that both companies had gone into liquida-
tion since the actions were entered. His Lordship added, wn?
not any defence to the complaints and therefore the aotion.s
wore maintained, with costs, and the companies' powers were
held to have been legally forfeited.
DISTRIBLTION OF INSURANCE MONEY
Whether the law at the time a will is made, at the time
the testator became insane, or at the time he died, should
govern the disposition of his property was the main point
in a case respecting the estate of the late John J. Mellon,
on which the Alberta Supreme Court gave judgment on
Sei)tember 8. The case originated in an application made by
the executors of the estate for advice in respect to the dis-
tribution of two policies of life insurance on the life of the
deceased, and His Lordship was called upon to decide the
knotty problem as to whether the proceeds should be dis-
])ose(I of according to the law as it stood on August 27,
1908, the date of the will; on March 24, 1914, when the
testator became insane, or on March 4, 1918, when the
testator died in a sanitarium at Guelph, Ontario.
According to the evidence given, the Confederation Life
Association, on June 3, 1887, issued a $1,000 policy on the life
of John J. Mellon in favor of himself, and on May 5, 1897, the
insured executed a declaration in which he appointed his wife,
Amelia Mellon, and daughter, Amelia Elizabeth Mellon, now
Amelia Elizabeth McCrum, beneficiaries under the policy.
His wife predeceased him, and the insurance company paid
the policy to his daughter, the surviving preferred bene-
ficiary. The Grand Orange Lodge of North America also
issued a policy on Mellon's life for $1,000, payable to him-
self, and -the pi'oceeds were paid into court pursuant to an
order by Jlr. Justice Scott and the issuer released from any
further liability.
Mr. Justice Simmons ruled that the payment of the Con-
federation Life polic.v to the daughter, as the sole surviving
preferred beneficiary, was quite in accordance with the law,
but gave it as his opinion that the will failed in manner to
control the disposition of the Grand Orange Lodge policy in
the result that the proceeds of the policy should be divided
between the four surviving children in equal shares, and in
the event that any of these are not 21 years of age the
monies are to be paid to the official guardian for their benefit
and use.
LESS TIME LOST IN AUGUST
Loss of time on account of industrial disputes was con-
siderably less during August than during July, or August,
1919. During the month there occurred twenty-three strikes
involving 4.812 workers and resulting in the loss of 79,482
working days. In July there were 49 strikes involving 6,734
workers and 80^221 working days. In August, 1919, there
were 4G strikes affecting 24,511 workers, and causing a time
loss of .■?(;5,062 days. Eight strikes were terminated during
.August, leaving fifteen strikes, affecting only 744 workmen,
unsettled at the end of the month.
Industrial employment throughout Canada showed a
slightly downward tendency during the month. This was
partly due to the movement of unskilled labor from in-
dustrial centres to the harvest fields. Employment was well
maintained in the food group of industries, the flour mills
being already active with the new crop, and busy conditions
continued to prevail in the pulp and paper manufacturing
group.
The metals and machinery industries were hampered to
some extent by lack of coal and steel and the shoe and
clothing industries were slack. The number of workers en-
gaged in railway operation remained unchanged, but activity
in railway construction was affected by the call of the harvest
fields. Coal mining operations were less active than usual,
more particularly in Nova Scotia.
Graham, Sanson and Company, Toronto, investment
bankers, announce the opening of an office at 37 James St.
S., Hamilton, Ont., in charge of J. L. Corwin.
September 24, 1920
THE MONETARY TIMES
31
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I REPRESENTATIVE LEGAL FIRMS |
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BRANDON
J. p. Kilgo
ur. K.C.
R H. McQjee
G. H. Foster
KILGOUR, FOSTER &
McQueen
Barritteri
Solicitors, Etc.,
Brandon, Man.
Solicitors for the Bank of
Royal Bank of Canada Har
and Loan Society- North
Assurance Company.
Montreal The
nilton Provident
American Life
LETHBRIDGE, Alta.
Conybeare, Church
& Davidson
Barr
istera, Solic
itors. Etc.
Solicitors
and Loan
for Bank of .Mo
Co of Canada.
Trust Co.. Sc
ntreal. The Trust
British Canadian
, *c.
C. K. P. Cc
nybeare. K.C, H
R. R. Davidson
W. Church. M.A.
LL.B
Lethbr
dge -
Alta.
PRINCE ALBERT
COLIN E. BAKER, B.A.
S jlicitor for the City of I'rino- Alhcrt
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal Bldg.
CALGARY - - ALTA.
W.P.W.Lent Alex. B.Mackay, M.A. LL.B.
H. D. Mann. M.A. LL.B.
LENT, MACKAY & MANN
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305 Grain Exchange BldR . Calgary. Alberta
Cable Addreit." Lento." Western UnionCode
Solicitors for The Standard Bank of Canada.
The Northern Trusts Co. Associated Mort-
saite Investor*^. Ac. . ^
Hon. Sir James Loughecd. K.C. K.C.M.G..
R. B Bennett. K.C, J. C Brokoviki. K.C
A. M. Sinclair. K.C. I). L. Redman, H. E.
Porster. P. D. McAlpine. O. H. E. Might. L.
.M. Roberts. rCable Address '■Loughnetf')
LOUGHEED. BENNETT & CO.
Barristers. Solicitors, Etc.
Qarence Block. 123 Eighth Av™ue We.l
CALGARY. ALBERTA, CANADA
J. A. Wright. LL.B. C. A. Wright, B.CL.
WRIGHT &WRIGHT
Barristers. Solicitors, {Notaries. Etc.
Suite lO-lS Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. A.C. Rutherford, K.C.LL.U.
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S. H. McCu.iiK Cecil Rutherford
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& GRANT
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514-18 McLeod Bldg. Edmonton, Albert*
JOHNSTONE & RITCHIE
Barristers, Solicitors, Notaries
LETHBRIDGE - Alberta
REGINA
MEDICINE HAT
1,, F. H. LosG.
LL.B.
J. \V. SUEIOHT, HA
LONG
&
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B
arri»<er», etc.
MEDICINE
HAT
and BROOKS, Alta.
MOOSE JAW
Grayson, Emerson & McTaggart
Barrister*. Etc.
Solicitors-l!.irk of Montreal
CinaJian B;ink of Comm r.e
Moose Jaw - Saskatchewan'
NEW WESTMINSTER
JOHN W. DIXIE
Barrister and Solicitor
405 Westminster Trust Building
NEW WESTMINSTER, B.C.
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
CjIIcJ to Ontario U:ir IBM) New York Bar \M<2
ELLISON. ELLISON & FRASER
ll>r> Bri>iirl««y, New lorU
ELLISON. GOLDSMITH* ALLEN
i:,t Ml-. I lotlli M.. Nm ^iirk
Gordon, Gordon, Keown
and Collins
Barrittert, Solicitors, t&c.
Aldon Building, REGINA, Sask.
Solicitors for Imperial Bank of Canada
SASKATOON
C. L. L)i.i(!i , H A H .M w AK
...o 1
DURIE & WAKELING |
KurrliKTi. unit Sollrllorn
Solicitors for the Bank of Hamilton.
Great West Permanent Loan Co.
.Monarch Life Assurance Co.
The
The
t'anxia Kiilldlns Sankslonn, f^
ia<la
.Ma;or J.M.:Aui!hc
LOCKE & McAUGHEY
Barriaters, Solicitor*, Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
vv J. Uow-er K C
D S, W.'iUliridcc A H
U L Keid
n.HiRlas J.G G
K.C 1
bsoo
BOWSER, REID,
DOUGLAS
WALLBRIDGE
& GIBSON
Barristers. Sc
licitors. Etc
Solicitors for Bank
Bnti«h North A
if Mnntrciil (Ha
nk of
mcrica Branch)
Yorkihir. Baildini. S25 So
nmiirSl.. V>n»uTcr
.B.C.
VICTORIA
A E
(K.C
.Member
tia. Albt
DUNLOI'
for Alberta)
of Nova Sen.
rt.i and Hrit.
unibi.i H.ir^
K. H. M. I-OOT
.Member of .Manitoba
and British Columbia
H;irs
DUNLOP
&
FOOT
Notn
Vic
Barristers. Sol
ries nnd Com
6l26i:t .Snywnr,!
orin. Bnli.h Colun
icitors
missioners
Bldu.
bin, Cnnitdi.
The Monetary Times"
will be sent you for four monlha on
our TRIAL SUBSCRIPTION plan lor
$ 1 .OO
id a dollar bill and yo
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MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE - REALTY
4.'i2 Pender Street, W., Vancouver, B.C.
Dr. J. W. MAHAN J. A. A'H STMAN
PrcJident ManaRinR Director
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
New F^ulp Enterprise to Exploit Labrador Timber— Another Paper Mill For Quebec— Spanish
River to Increase Newsprint Output— Successful Fur Season in the Far North— Alberta
Wool to Be Graded in Toronto— Aerial Transportation Company to Operate in Canada
'TSriTll tile |>;i.ssinf;: of tach week comes the announcement
^^ (if some new development in the pulp and paper field.
.So rapid has been the propress of this industry during the
past year or more, that some investment houses have con-
fined themselves almost entirely to the financing of new
developments of this kind. Trade figures also reflect the ex-
tent of its growth. Practically all provinces have the nat-
ural resources for the advancement of such an industry, but
some are handicapped in regard to transportation.
Some provinces are oflfering special inducements to en-
courage capitalists to develop the pulp and paper industry
more rapidly. For instance, in British Columbia, the min-
ister of lands announces that in order to encourage the
establishment of more pulp and paper mills in the province,
the government may cut in half the timber license fees on
areas better suited to pulp and paper than lumbering. "Any
companies, whether British, Canadian or American which
have a proposition to develop pulp and paper enterprises in
New Brunswick will receive every encouragement from the
government," says Premier Foster of that province.
Possibilities for the pulp and paper industry in the west
are good, but those provinces have not yet been exploited to
any groat extent, owing to transportation difTiculties. Pulp
resources in northeastern Manitoba will constitute a large
source of future supply, according to the inspector of Do-
minion forest reserves, who recently made a survey. He
reports that a good quality of spruce is found which would
make excellent pulp, but there is no outlet at the present
lime for the finished product.
The principal announcement this week is of a new enter-
prise to develop Labrador timber. A new company has been
organized, known as the Southern Labrador Pulp and Paper
Co., in which American capital has been enlisted with the
idea of installing a 400-ton pulp mill, with four saw mill
units of 50,000 ft. per day capacity, to exploit the Labrador
timber reserve. The scheme provides for the location of the
pulp mill on the .Alexis River, with a power developed from
the falls of the Gilbert River. James Munro, president of
the Canadian Cordage Co., is a member of the new company.
Lake St. John I'lilp Operations
A company under the name of the Lake St. John Pulp
and Paper Co., Ltd., was recently incorporated, with head
offlce at Montreal, Que., and a capital of $4,000,000. A mill
is to be located at the south of the Mctabetchouan River on
the main line of the Canadian Northern Railway, bordering
on Lake St. John. The company has its own water powers
on this river, where some 22,000 h.p. can easily be developed,
and also has contracted for additional power with the Mili-
tary Electric Co., of St. Jerome, Que., which will be furnished
at once if required, while the company is developing its own
power.
The capacity of the mill will be 50 tons of ground wood
pulp per day nt flic commencement of operations, which will
be within the next two or three month.s. By the fall of 1!»21
it is expected that the capacity will be doubled. There is
abundance of spruce and other woods within cn.sy distance
of the mill, and contracts for two years' supply have already
been placed.
The company's timber and pulpwood lands con.oist of
174% square miles on the Mctabetchouan River and other
small stream.* near Laikc St. John, Que. An option is also
hold on ten .square miles of timber near St. Andre. Que.,
lordcring un a small river running into the Metnbetchouan.
Largo quantities of spruce pulpwood can be had from the
farmers and settlors around Lake St. John at reasonable
irices, and contracts are now being entered into wth these
larmsrs to supply wood for a number of years to come.
They are anxious to do this, so as to get a mill built on Lake
St. John, and the company will be enabled to leave its own
limit untouched, if desired, for years to come.
Spanish River to Increase Output
Negotiations are now being conducted by the Spanish
River Pulp and Paper Co. to further increase the news-
print output of the company, in order to cope with the rapidly
expanding demand for paper of this class on outside mar-
kets. At the present time the three plants of the Spanish
River organization, situated at Espanola, Sault Ste. Marie
and Sturgeon Falls, Ontario, are turning out a daily average
of some 075 tons, which, with installation of new machinery
now *in process of completion, will be increased to 725 tons
by the end of the current calendar year. So insistent has
been the increased demand for newsprint that the directors
of the company have decided to further augment production,
and tenders for new paper-making machinery have already
been called for calculated to increase the output of paper
to 1,000 tons aaily. Builders of the necessary machinery are
already figuring on the specifications, and definite orders
for the new equipment v.'ill probably be placed in the near
future.
In addition to the extensions at the three manufacturing
plants of the Spanish River enterprise, it is proposed to
further increase the easily-available water-power develop-
ments, the cost of which is estimated at a conservative figure.
Another Large Fur Pack
About $1,. "00,000 of raw furs have passed through Ed-
monton, .\lta., from the far north for market to date this
season. Recently about a million dollars' worth was shipped
through by the Hudson's Bay and Northern Trading Com-
panies. Another lot left the city last week, completing the
major part of the 1920 catch received and shipped through
Edmonton. This last consignment was the final instalment
of the Lamson and Hubbard pack and was sent to New York
for sale to manufacturers and jobbers in that market with-
out waiting for the winter sales.
The total pack of the Lamson and Hubbard firm this
year is reported at the local office of the company, which is
the head office for Canada, to be of a market value of about
S5.'?,'>,000. A portion of the pack has already been sold, and
the balance now going fonvard will finish out the year's total.
J. H. Bryan, the Edmonton manager of the company, re-
ports the same conditions that other traders have done. With
a good fur cntch and high prices, the Indians and Eskimos
all the way from McMurray to Fort McPherson have been
more than well-to-do and there has been considerable cash
buying. Lower prices will prevail this coming season, how-
ever, and because of the somewhat uncertain conditions in
the outside fur market, there will be less cash trading and
more of the old-time bartering. The company's boats, in-
cluding the new "Oistributor," were all in service during the
season, .says Mr. Bryan.
Alberta Wool Plentiful
Shipment of the seventh carload of wool by the Alberta
Provincial Sheep Breeders' Association last week brings the
tctal for the year IStL'O to date up to 148,931 pounds. Ship-
ments of wool have been of all sizes, and have come from all
over northern Alberta and from some points of British Col-
umbia, and were consigned to the association for sale.
The Canadian Co-operative Wool Growers, Ltd., Tor-
onto, has taken all this wool and graded it, this being the
September 24, 1920
THE MONETARY TIMES
The Imperial
Guarantee and Accident
Insurance Company
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident Insurance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - - - S.'CMI.OOO.OO
Authorized Capital - - $1,000,00 1. 00
Subscribed Capital - Sl.OOO.OfKJ.OO
Government Deposits 8111,000.0(1
LONDON
Head Office for <
GUAR A|N TEE
ACCIDENT COY.. L
:anada - Toronl
ANO FIRE INSURANCE
THE DOMINION OF CANADA
GUARANTEE & ACCIDENT INS. CO.
BurRlury Insiiranci- Automobile Ins,
The Oldest .ind Stron«esi Canidian A
TORONTO MONTREAL WINNIPEG
:ident Insura
CALGARY
CANADIAN STRONG PROGRESSIVE
vm^: m9,ms»B^&sj¥\^m'^
FIRE INSURANCE
AT TARIFF RATES
Merchants Casualty Co.
The most proKi
perviston of tne
nbracing the ent
Head Office: Winnipeg, Man.
iny in Canada. Operating unj.
id Provincial Insurance Departr
SALESMEN NOTE!
I the most liberal pr
and health pol
f Sl.OO per month and up.
Cover.s over a.500 different diseases.
Pays for Life if disabled through Accident
Illness.
Pifty per cent, extra if confined to hospital
Pays for Accidental Death. Quarant
neon Pees fori ' '
Sur
Heneficiary and childr
Good Openings for Live Agent*
Kastern Head Oflice, Hoyil Hank BIdR. .Toronto
Home Ottice Electric Kaihvay Chambers.
Winnipeg, Man.
Palatine Insurance Company
LIMITED
OF LONDON ENGLAND
Capital Fully Paid $1,000,000
Fire Premiums, 1919 3,957,650
Total Funds - 6,826,795
In addition to the above there 's the further Guarantee of the Commercial
Union Assurance Compiny. Limited, whose funds exceed S/09.000.000
Head Office : — Canadian Branch
COMMERCIAL UNION BUILDING, MONTREAI
W. S. JopLiliG. Manager
roronfo Office— 60 KING STREET WEST
Jones & Proctor Bros.. Limitfu. Ant-nis
Automobile- 1 920-Season |
Policies to cover ANY or ALL motoring risks 5
ATTRACTIVE AGENCY CONTRACTS |
British Empire Fire Underwriters
82-88 King Street East, Toronto
Great North Insurance Co.
Head Office. I.O.O.F. BLOCK. CALGARY. ALBERTA
THE COMPANY WITH A RECORD
'iFl-ILIilia
It and .Manager ... W. J. WALKBK. Eig.
President ... ... .1. K. Mel .\MS. Hnq
■ President. Hon. ALEX. C. RUTHHKIORD. K.C.
President ... Hon. P. K. LESSAKD. M. L.A.
J.T. NORTH. B»q.
AUDITORS
Edwards. .Morgan & Co CaMary
DIRBCTORS
Hon. Alex. C.Ruthcr- Edward J. Frtam.
lord. KC. B.A.. Esq
IL.D.. B c L. J. K. .Mclnnlt.
Hon. P. E. Lnsard. W. J Walker. Bk).
n.L.A. Geo. H. Rosa, ll.c
P. A. Walker. .w.i.A. ll.b
G
E
N
E R A L
ACCIDENT
FIRE
AND LIFE
ASSURANCE CORPORATION
LIMITED
OF PERTH
SCOTLAND
iHLHO HO
l,..n.4di«r AJ>.-1
roron'
i\ LAND
»o. V Director
, A«e..l». B,
L, NtcLKA
iHM.~ II
Man.ikcr lor
^ . L 1 M M H 1
< 4LL
FARMERS'
FIRE & HAIL INSURANCE COMPANY
FIRE. HAIL AND AUTOMOBILE INSURANCE
H»<i Office, CALGARY. SiiltiUhewin Office. REGINA
\1 p. JOHNSTON, Manai:'nK DircLL.r
34
T 11 E MONETARY TIMES
first year since 1915— the date of the first co-operative wool
sale "in Edmonton— when the wool had not been graded
locally. To date, over 3,000,000 lb. have been shipped by the
four western provinces to the Toronto association for grading
and sale.
Sales are proving very satisfactory, in view of the pre-
sent market conditions, over 2,000,000 lb. having been sold
at prices ranging from 24% cents to 60 cents, depending on
trade and condition. Of this amount, over 700,000 pounds
have been sold to Canadian manufacturers.
New Steamship Arrangement
Announcement of a new joint steamship arrangement
on the Pacific has been made by the Canadian National Rail-
ways. This joint arrangement will provide, it is felt by the
management of Canadian National Railways, an excellent
medium for the expansion of Canadian trade in the far east.
The oflicial statement follows: —
"A very important arrangement has been concluded be-
tween Messrs. A. Holt and Co., Liverpool, and Canadian
Government Merchant Marine, Ltd., and the Canadian Na-
tional Railways, under which a joint steamship service is
established between Vancouver and the Orient, each steam-
ship interests having a like number of steamers for joint
service.
"Under the arrangement made the Canadian Government
Merchant Marine, Ltd., and the Canadian National Railways
will be represented in the Orient by Messrs. Butterfield and
Swire, the piesont agents for the Holt interests, thus secur-
ing the advantage of a very old and strongly established
organization. On the other hand, the interests of Holts will
secure the support of the Canadian National Railways in
the development for the benefit of the steamers in the joint
ser\'ice."
Miscellaneous Trade Notes
Tilbury, Ont., ratepayers have endorsed a by-law to
guarantee "the bonds of the Tilbury Auto Truck Body Co. for
$20,000 and give the company a fixed assessment of $10,000
yearly. The company agrees to erect a factory to cost not
less than $40,000 when fully equipped with machinery and
to eniplov an average of fifty persons.
Representatives of the Service Truck Company have
closed an option on a portion of the Frank Estate. London,
Ont. The site is located near the London and Port SUinley
Railway and adjoining Thomson Avenue. It is likely that
the company will start building operations shortly. The
factory will employ over 700 men when completed.
As a result of negotiations between Frank A. Dudley,
president of the I'nited Hotels Company of America, and a
large group of transport and industrial interests in Montreal,
that city is now assured of a l.OOO-roomed hotel. It is to be
lonstructcil bv the Mount Royal Hotel Company, Ltd., of
Montreal, with a total capital of $10,000,000, and is to be
built on the site of the old high school, now a military bar-
racks, which occupies the entire block bounded by Peel,
Burnside and MeUalfc Streets, just above St. Catherine
Street. , ,
The United Drug Co. of Toronto have announced the
purchase of the Boot's Pure Drug Co. of Great Britain. The
Boofs Co. arc manufacturers and operate a chain of 027
.-;.irs in England and Scotland. As a result of this new
., list ion to the United Drug Co.'a organi/ntion, a .low f'^U.-
{wum corporation to be known as Liggctt's Intern .liv.n.il,
Ltd., ha» been formed, in which are consolidated the Boot's
Co, the United Drug Co.'s Canadian concern, the Umitl
Drug Co.'s retail stores and the Louis K. Liggett Co. The
purpose of the new organization, according to the general
manager. J. W. McCoubrey, is to provide a better vehicle for
foreign expansion.
Plans have been completed to form an Aerial Transpor-
tation Co., to operate in the United States and Canada, by a
combination of English, Canadian and United States business
men. The new company is capitalized at $10,000,000 and will
oomnience its operations with twenty machines. The type
of machines to bo used is the Handley Page bombing ma-
rlrnes. with two or four eng'nos. 7.'^0 to 1.."'00 horse-nower.
and with a carrying capacity of from 16 to 24 passengers,
including baggage. The machines will be able to make non-
stop flights of 420 miles, but may increase this distance
to 600 miles, this increase depending on load and wind
velocity.
Reports from Sault Ste. Marie, Ont., are to the effect
that the Algoma Steel Corporation is now operating at full
capacity, and has sufficient orders booked to last to the end
of the year. More orders could be taken to carry the plant
into next year, but owing to uncertainties of costs the officials
of the company do not seem anxious to make contracts for
1921.
NEW INCORPORATIONS
Community Loan and Investments Company of Canada,
Winnipeg, .Alan., $4.500.000— Langlow, Ltd.,
Cobourg, Ont., $500,000
The following is a list of companies recently incorporated
under Dominion and provincial laws, with the head offlc? and
the authorized capital: —
Creston, B.C.— Staples Fruit Co., Ltd., $50,000.
Stewart. B.C.— Sourdough's Club, Ltd., $10,000.
Outlook, Sask.— Lewis F. Button, Ltd., $250,000.
Weyburn, Sask.— Central Exporters, Ltd., $20,000.
Tho'rold. Ont.— Beaver Varnish Co., Ltd., $200,000.
Point Grey, B.C.— Richmond Garage, Ltd., $20,000.
Kenaston, Sask.— Kena.ston Hall Co., Ltd., S'20,000.
Niasara Falls, Ont.— Thermodboard, Ltd., $250,000.
London, Ont.— Canada Pharmacal Co., Ltd., $50,000.
Moose Jaw. Sask.— Montreal Wine Co., Ltd., $5,400.
Victoriaville, Que.— Victoria Clothing, Ltd., $290,000.
Glen Ewen. Sask.— MacDonald Liquor, Ltd., $20,000.
Prince Rupert. B.C.— Maguire and Co., Ltd., $25,000.
New Westminster. B.C.— Past Time Club, Ltd., $7,500.
Maryfield. Sask.— Maryfield Liquor Co., Ltd., $20,000.
Sherbrooke. Que. — Wholesale Lumber Co., Ltd., $10,500.
Bruno. Sask.— Bruno Farmers Milling Co., Ltd., $25,000.
Prince George, B.C.— Chinese Railway Club. Ltd., $2,000.
Riverhurst. Sask. — Riverhurst Power and Light Co., Ltd.,
$10,000.
Yorkton. Sask. — Trans-Canada Transport Co., Ltd.,
$50,000.
St. Johns, Que. — Dominion Sanitary Pottery Co., Ltd.,
$100,000.
Minnednsa, Man. — Minnedosa Farmers' Elevator Co.,
Ltd., $5,000.
Toronto, Ont. — Globe Automatic Sprinkling Co. of Can-
ada, Ltd., $100,000.
Regina. Sa.sk.— Moy nan Motor Co., Ltd., $100,000; .\rthur
Rose, Ltd., $19,000.
Cap de la Madeleine, Que. — La Co-operative de Cap-tie-
la-Madeleine, $20,000.
Quebec, Que. — La Corporation Immobiliere, $5,000; Gos-
selin Shoe Co.. Ltd.. $49,800.
Riviere-aux-Rats, Que. — La Compagnie d' Automobiles de
Saint Maurice, Ltd., $10,000.
Bienfait, Sask. — Bicnfait Export Liquor Co., Ltd., $20,-
000; Globe Wine Co., Ltd., $20,000.
Cobourg, Ont.— Langlow. Ltd., $500,000; Robert Hicks
Coal and Towing Co., Ltd., $25,000.
Saskatoon. Sask.— Cosmopolitan Club Co., Ltd., $20,000;
White Poplar Lumber Co.. Ltd., $20,000.
Vancouver, B.C. — Wilson Coal and Mining Co., Ltd.,
$25,000; Sterling Glove Co., Ltd., $15,000; Yale Liquor Co.
of Canada, Ltd., $25,000.
Winnipeg. Man. — ,1. Kerr Brown, Ltd., $20,000; Com-
munity Loan and Investment Co., of Canada, $4,500,000;
Peerless Films. Ltd., $30,000; Gillespie Terminal Grain Co.,
Ltd.. S500.000.
Montreal. Que.— Montreal Financial Corporation, Ltd.,
$50,000; Red Seal Storage Batteries, Ltd., $100,000; Roch
Gum and Fly Paper. Ltd., $10,000; Northwestern Oil Co.,
Ltd.. $250,000.
Septtniber 24, 1920
THE MONETARY TIMES
36
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS .... 24,600,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These arc wonderful dtiys for life insurance salesmen,
particularly North American Life men. Our repre.<:enta-
tivcs are placing unprecedented amounts of new business.
All 1919 records are being smashed.
■■ Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm o( all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
.Address E. J. Harvey. Supervisor of Agencies
North American Life Assurance Company
•SOLID .\S THE CO.NTLNK.NT ■
HOME OFFICE - TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assurances, New and Revived - - - $1,211,447.00
Premiums on same - . - - 4."{,890.00
.Assurances in Force ... - 3,458,939.00
Total Premium Income - - - 109,586.03
Policy Reserves - . - - - 211,497.00
Admitted Assets . - - . ■ 296,430.62
-Average Policy . - - - - 2, 237, .SO
Collected in cash per 81,000 insurance in force 31 75
For particulars of a good agency apply to
ADAM REID, Managing Director - Winnipeg.
1870 OUR GOLDEN JUBILEE 1920
Co-Operative - Scientific - Successful
■•How JiJ the .\lutu.ll LifeofCanada succeed inattainirfi its present
impregnable position in Ihe financial worUi?' Il may be replied thai the
promoters of the Company did not orRanizc it as a commercial under-
taking, but that it might serve as a public benefactor giving 'the largest
amount of lienuine life insurance for the least possible outlay ' L'nscl.
fish devotion tothesucccss of theenterpriscsupplicd the place of capital.
Although strictly co-operative or mutual, yet the Company has been
built up on a scieniific basis as an old line legal reserve life insurance
compiny. The .Mutual Life of Canada is a bencficei t idea worktd out
on scientific lincs-that is the secret of its popularity. The Mutual being
essentially a company of policyho ders. conduc ed by policyholders in the
interests of policyholders, ra'urally hrcamc a great success.
BE A MUTUALISTl
The Mutual Life Assurance Co. of Canada
Waterloo
Crun>n. .Ml'.,
Ontario
rles Ruhy, General .Man.lgcr
LIFE INSURANCE SERVICE
'PHK ultimate success of a Life Insurance Company depends largely upon
•"• what its polics holders think of the service they receive. The Continen-
tal Life has long since passed 'his test, and earned a high reputation tor paying
claims promptly. I'niO will likely prove the best year in the Company s history.
Write for booklet. "Onr Htft Ailvf rlisers." For Managers positions iri On
tario, apply with references, stating exoerience. etc.. to 8. 8. WEA*EK.
Eaulcrn Auprrlnlrnileni, iil Head Oltlrr
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
THE LONDONTlpriN'sURANCE CO.
Head OKice .- I-ONDON, CANADA
Profit Rasulls in thii Company 70 belter than Eslimalei.
POLICIES OOOn AS GOLD.
The Foundation of Many a Fortune
Has been a carefully chosen Policy for Life Insurance.
Life Insurance is the one investment where a young man
has a decicJed advantage over his elders. The earlier
it is taken the leas it costs.
Choose Life Insurance with the utmost care. There are
no Policies so inexpensive and profitable as those of
The Great West Life.
Advice and full information, with personal rates, will be
mailed to any interested enquirer.
THE GREAT- WEST LIFE ASSURANCE COMPANY
DtlT ■ I- ■
HEAD OFFICE WIIMNIPEG
The Western Empire
Life Assurance Company
Head Oiiice : 701 Someriet Building;, Wionipeg, Mao.
SASKATOON
BD.MONTON
\ ANCOLVKK
w
Ic in the central
from a General
E have 450 good businesses for s
portion of Alberta. Everythin
Store to a small Confectionery.
If you want a business in Alberta you want u»
WHYTE & CO., LIMITED
Susinex BroherM
Pnntaees BuildinR - Edmonfon. Alt
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
I.NDUSTRIAL .SF-CLR1TIF..S
300 Nanton Building, Winnipeg
THE MONETARY TIMES
Volun-.e 65.
News of Municipal Finance
Edmonton's Finances Must Be Attended to in Order to Avoid Crisis, Says Local
Citizen — Seventy-Four Per Cent. o( Toronto's l!t2() Taxes Collected — Windsor's
Sinking Fund In (Jood Order-Calvary and Lethbridge Retiring Debentures Out of
Sinking Fund Gloucester Township Wishes to Undertake Municipal Hanking Scheme
Township of Gloucester, Ont. — Providing there is noth-
ing in the municipal act to the contrary, the township may
undertake to operate a co-operative bankinx system. The
idea is to have deposits made as in a repular bank and allow
intei'eit upon the amount on deposit. Expert advice is being
secured to ascertain if the municipality has the authority
to establish such a bank.
Ilaipilton, Ont. — Figures given out by Assessment
Commiisioner MacLeod, show the assessment to be $127,-
642,0GO, an increase of $31,449,240 over last year. This
does not include Homeside, recently annexed, which has
.•in assessment of S2.509,9S0. The tax rate, it is expected,
will be dropped next year to 30 mills, at which rate the
revenue would be increased by $550,000.
Fort William. Ont. — According to the latest statement
issued by the city, the debenture debt is $G.229,.'i63.G7, made
up as follows: Street railway, $1,317,000; waterworks.
$1,428,549.87; electric light, $301,753.05; telephone, $390,000;
general, $1,909,060.75; school, $883,000. Of the above total
there is no part of the principal or interest in arrears, and
a sinking fund of $2,443,440.60 has been provided.
Lauzon, ({ue. — .\ccording to the new assessment loU,
the taxable value of property in the municipality is equal
to $1,654,625, and the total non-taxable property $6,403,200.
Under the non-taxable, the following properties are included :
Federal governmmt, $4,244,000; provincial government,
$4,000; various companies. $112,200; religious institutions.
$504,000; exempted from taxation, $1,502,000; municipal
properties, $33,000.
Lethbridge. .\!ta. — The city has purchased back from a
Toronto dealer $50,000 4'.-; per cent, of its own debentures
maturing June 1, 1921, at a price to yield 7 per cent. By
this deal the city will profit to the extent of about $900.
The city had $23,000 available in its sinking fund and $10,-
000 on account of treasury bills C and D, and the balance
of the money was obtained from unexpended debenture funds.
after allowing for sufficient in unexpended debenture funds
to take care of any work at present contemplated.
Calgary. .Vila. — The city is following the example of
Toronto and buying back its own bonds, with funds avail-
able from ita .sinking fund. Recently City Treasurer Mercer
purchased 10,000 pounds sterling of Calgary bonds of 1930
and 19.32 maturities, on a basis to yield 7 ?i per cent. The
city is also considering the purchase of another 4.000 pounds
sterling of 1932 maturity on the same basis. After taking
these two nmounts into consideration there is still a con-
siderable sum available in the sinking fund for reinvest-
ment.
Windsor, Ont. — That the sinking fund of the city is cor-
rectly set forth is the .-itatement made by the special auditors,
after further investigation. These auditors recently made
the sfntemenf that there was a shortage of about $12,97.")
in the city's sinking fund, but following action by F. .1.
Holton. city auditor, have withilrawn that statement.
In explanation of its report the special auditors claim
that they submitted a tentative finding based upon activities
up to tliat time, but that upon finishing the work it was
found that the sinkinc fund asset? of the city as set forth
in the books are correct.
Toronto. Ont. — Commenting on the city's financial
icr, and the manner in which financial statement* are
■«d. the Toronto Bureau of Municipal Research in a
Inilletin said : —
'"It is doubtful whethtr any other Canadian city has,
in four years, made greater advances in financial administra-
tion than has Toronto. However, there still remains much
to be done. For example, the departmental estimates are
still unstandardized so that it is impossible to tell, from the
city's budget, total proposed expenditures for each depart-
ment and departmental function, analyzed according to ob-
jects of expenditure, or things bought, such as personal ser-
vices (salaries and wages), contractual services, heat, light
and power, supplies other than light, heat and power, up-
keep of structures and equipment.
"Standardization would enable the ordihai-y, garden
variety of citizen to make some very vital compariscns which
are now impossible. For example, the bureau's analysis of
the budget shows that while the assessment has increased
14 ];er cent, and the total expenditure 80 per cent, since 1915,
the debt charges have increased 52 per cent, and salaries
and wages 196 per cent. Are these not illuminating facts?
These and many others will be readily available, when a
standard classification of accounts is adopted for the city."
Finance Commissioner Geo. H. Ross reports that to
date, t:)xes have been collected to the amount of $15,641,964,
or 73.63 per cent., of the 1920 taxes, representing an in-
crease over last year of $1,009,083. The total amount of
taxes due to the city this year is $21,242,951, as compared
with $19,462,297 last year.
Edmonton, Alfa. — At a recent meeting of citizens, Jos. |
.Adair delivered an address on "The City and Its Prob- ■
lems." These he declared were moral, sanitary and financial.
With regard to the first two he had very little to say, being
of the opinion that Edmonton had very little to fear from
that end.
"The great problem of Edmonton," he said, "of which
all other problems were mere phases, was a problem of dol-
lars and cents. It was the problem of how a community of ,
60,000 people could honorably discharge burdens created for
a population of 150,000 or 200,000 people. To run Edmonton
for 1920 required the vast sum of $4,350,000 — a sum greater
by about $700,000 to that ever demanded before. This in-
crease had been made by school board and city council in
spite of the fact that tlie grciitest collection made for a cur-
rent year's expense since the war was 68V2 per cent, or less
than 70 cents for every dollar required.
"Elections in Edmonton had been i-un on purely class
anl personal lines. Every diversion conceivable from the
real issue had been raised. Sometimes it was whether a
man was an international trades unionist or not; sometimes
whether he belonged to the same lodge as the voter; whether
he was a member of that organization or this. At no time
had the real issue been given the proper prominence, and
that issue was that Edmonton had a debt of a general, local
improvement, utility, school board and temporary character
that cxci-cded $30,000,000. exclusive of sinking fund provided;
that it was necessary to raise $4,000,000 to pay all charges
of the city as presently administered; that for 60,000 people
to mcit such charges involved a per capita rate of $70; that
Edmonton had too few direct taxpayers to bear such a rate;
and that something must immediately be done to meet a com-
ing financial crisis."
COBALT OKK SHIPMENTS
The following arc the shipments of ore. in pounds, from
Cobalt Station for the week ended September 17th:—
McKinley-Darragh. 84.874; Mining Corporation, 81,373;
Nipissing Mine Co.. fil0,23.^>. Total. 776,482. The total since
January 1st is 1S.S09.763 pounds, or 9,404.8 tons.
September 24, 1920
THE MONETARY TIMES
C.P.R. BUILDING
TORONTO
nOUSSLR W>OD v°C>MRV4r
INVC«TMLMT •AMKtR4
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
STOCKS AND BONDS
Canadian, British and American Securities
Bought and Sold on atl Principal Exchanges
Private irire connections with Netr York and Toronto
OSLER, HAMMOND & NANTON
WINNIPEG
Messrs. Harris, Forbes & Company
Incorporated, announce the removal of their
Toronto office to larger quarters. Koom»
704-70.1 Canadian Pacific Railway Building;.
F. S. RATLIFF & CO.
FARM LANDS— FARM LOANS
STOCKS AND BONDS
Medicine Hat
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
«>»t<Tii Mnnlrlpal. School an<l Sa-halrlir » nn Kural Trir.
pbone «o. ilfb»ulare» »pcrlnllir€l In.
CorresponJcncc invilcJ
GRAINGER BUILDING SASKATOON
c.
H.
BURGESS &
Government and
Municipal Bonds
CO.
14
King
Street East - - Toronto
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank Bldg., Edmonton, Alta.
Province of
Alberta
TEN YEAR 6; GOLD BONDS |
Doled AuguM 16. 1920. Mat
uring Augu.l 16, 1930
Principal and Intercut rayahle in Cana
<la and United Statci.
PRICE: 98
16
YIELDING 6
V-
J. F. STEWART
& CO.
106 BAY STREET
TORONTO
r.>ptiOncs Ad.-;jiJc
1171'
THE MONETARY TIMES
Volume 65.
Government and Municipal Bond Market
ri()\inre<)(" Saskatchewan Disposes of $.},()00.000 Securities at a Good Price— Bonds
Will Be Sold Here — Edmonton Sells Two Millions of Notes to Portland
Investment House — Winnipeg is Offering $1,500,000 Hydro Bonds Locally
CONTRARY to geiKTiil t-xpectations, the province of Sas- Chatham. N.B.— Offers are being asked for $38,000 6 per
katehewan bonds purchased this week will not be dis- cent, serial school refunding debentures, maturing $1,000 for
posed of in the United States. When the province called for 38 years. Interest is payable semi-annually on March 1 and
tenders, alternative offers were asked for, and it was gener- September 1. The securities are issued under a special act
ally anticipated that the 10-year securities, payable in both of legislature.
Canada and the United States, would be sold, and that ac- .Vssiniboia It.M., .>Ian.— Tenders will be received until Oct.
cordingly would be disposed of across the line, or at least a 5, 1920, for the purchase of $277,92.5 6 per cent. 20-year in-
large part. This did not prove to be the case, however. stalment debentures, the proceeds of which are to be used
The price received for the 20-year bonds, payable in for water mains and sewers. (For further particulars see
Canada only, which was on a basis of slightly less than 6>/i advertisement elsewhere in this issue).
per cent., is considered a good one, and it is evident that the Temiscaming, Que. — The municipality of the second
provincial treasurer, notwithstanding the fact that a higher division of the county of Temiscaming will receive until
bid on the 10-ycar basis was rejected, closed a highly satis- October 4, 1920, sealed tenders for $24,500 6 per cent, de-
factory deal. Although the province will lose slightly at bcntures, which are dated May 1, 1920, are redeemable in
present, it will profit in the long run, taking into consider- Canada on May 1, 1945, at the Bank of Hochelaga, Amos,
ation the payment of interest and principal in New York, Que., and are in denominations of $500. A. Grenier, Amos,
with Canadian money at a discount there. Que.
Bidding was very keen, particularly from the .'American Shcrbrookc, Que. — Tenders will be received until October
end. Had these bonds been offered across the line, they 4, 1920, for the purchase of the following debentures: $150,-
would have no doubt found a ready market. 000 5 per cent., maturing August 1, 1925; $242,500 5 per
cent., maturing June 1, 1925. Interest is payable semi-
Local Selling Gaining Momentum annually, and principal and interest are payable in the pro-
Still more municipalities are trying the "over-the- vince of Quebec. E. C. Gatien, secretary-treasurer,
counter" method of selling debentures. Previously only small .\mos. Que. — Tenders will be received until October 4,
blocks have been disposed of in this manner, but now the city 1920, for the purchase of $55,000 6 per cent, instalment de-
of Winnipeg is offering to local citizens $1,500,000 6 per bentures, maturing from .August 1, 1921, to .August 1, 1940.
cent., 30-year hydro-electric bonds at 9(5.63, to yield the in- Debentures will be issued in denominations of $100 and $500,
vestor 6Vi per cent. This is a large issue, and its absorption dated August 1, 1920, and are payable at Quebec, Montreal
should prove interesting. <"" Amos at the Banque Nationale. Proceeds of the issue
Cnmpbellford, Ont., has $7,000 G per cent. 30-year school will be used for consolidating the floating debt, improving
debentures for .sale and expects to dispose of them locally. t'le fire protection and constructing sewers and sidewalks.
Debentures to the amount of $25,000, under the War C. .A. Lafrance, secretary-treasurer.
Memorial Health Centre by-law, will be put on the local ■ jj^^j gales
market bv Saanich, B.C. The securities bear interest at the o i * u m, •' ,
rate of .^'i per cent., mature in 10 years, and are in de- „ , l^^^''^'^''\T;.':^V\l I^"""'''"" ^""^ '"''' *° ^^'°°'*' ^""''^'
nominations of $100. fn CanadronK .^f r« ' ^ ""*' '\'"''' 'r'"' "^^""^
in Canada only, at 94.68, which is on about a 6.47 per cent.
Coming Offerings ''''^'^- ^''*® ^^'^''^ ^^^'^'^ on 10-year bonds, payable in both
., , , 1 Canada and the United States, and 20-year bonds, pavable
The following is a list of debentures offered for sale, {„ Canada only, and, although one of the bids under the 10-
particulars of which are given in this or previous issues:— year term was higher, the province considered it advisable
Tenders to accept the offer of Wood, Gundy and Co. under the 20-year
Borrower. Amount. Rate 9r. Maturity. close. term. Bidding was keen, as will be seen from the following
Saugeen Tp.. Ont. . . 8,000 6 10-instal. Sept. 25 figures:— '
Chicoutimi. Que. ..$110,000 5>^ various Sept. 27 10-year term. 20-year erm
Ottawa. Ont 2,300,232 6 various Sept. 28 r^^ \\W /"^'f *■ '"
Eastvie.. Ont^ 10.122 6 20-years Sept. 30 ,,„„,, ,„,„^. ^„, ,„ '.^^Tai''- ""'t.ir''-
S:^,i^.^?:;ian: .oZ I 30-insta,. Sc!: \ ^^ ^^^^^ "°""""" "^^'^'^^O S31 94 631
Glenwood. Man. .. 2,5.000 Sli 30-instal. Oct. 4 Harris. " Forbes and ' Co.; " National ''
Temiscaming. Que. J I. ..00 6 2»-years Oc . 4 ^ity Co.. and Drake, Ballard
Sherbronke. Que. . 392,.500 5 S-years Oc . 4 „„,, ^ ^^ Minneapolis 95.52
Amos. Que »...000 6 20-in»tnl. Oct. 4 s^^^,^^ National Bank and Blvthe
Chatham, N.B. ... 3..<.000 6 38-yr. scr. no date set Witter and Co., San Francisco ' 94 61
York Tp., Ont 18.5,280.53 6 lO-instal. Oct. 4 United Financial CoiToration, Ltd'
AssiniboinR.M.. Man. 277.925 6 20-in8tal. Oct. ,5 Carstens and Earles, Seattle'
SaiiRcen Township. On!.— Tenders will be received until nnd Girvin and Miller, Sati
September 25. 1920, for the purchase of $8,000 6 per cent. Francisco '. 94 28s
10-instalment debentures. F. W. Elliot. Port Elgin. Ont \v. A. Mackenzie and Co. and R. .V
York Township. Onl.— Tenders will be rr. ■ Daly and Co 94.21 91.03
October 4, 1920, for the purchase of $185,280.:. Tyrus. Peirce and Co.. San Fran-
10-instalnient debentures. The proceeds of the cisco, E. H. Rollins and Sons,
used for local improvements, water mains and pavements. Boston, and Bond and Goodwin]
Eastvicw. Ont. — Tenders will be received unHl Sop»«>m- New York 93.32
her 30. 1920, for the purchase of $10,122 '"■ A. .J.nrvis and Co 92.32 . . ..
debentures, dated September 15. 1920. 1
year'". All other information may be •' 'For $1,500,000 :ind ;iri option on the balance at th(
secretary-treasurer of the town. same price.
September 24, 1920
THE MONETARY TIMES
THE CHOICE
OF THE
SHREWD INVESTOR
The experienced purchaser
selects Victory Loan Bonds
as the most desirable invest-
ment in which his funds can
be placed.
The security is unquestioned,
interest is prompt and sure,
and is payable at any branch
of any chartered bank in
Canada.
Mail \fouT order or ivrite for parliculars.
Wood, Gundy & Company
Canadian Pacific Railway Building
Montreal „ ^ New York
Saskatoon lorontO London, Eng.
In Great
Demand
In this month's Inveslmenl llemi we mentioned
that vre would send a copy of the Canadian
Pulp and Paper Review to any business man
or investor who inquired (or it.
The result is a strikingly active demand for it,
indicating a wide interest in Canadian pulp and
paper securities.
We are glad of this, because the more investors
who read the Keview, the greater will be the
appreciation of the industry's basic strength
and national importance.
W hile the edition lasts, we will send out copies
tree to those who write enclosing this adver-
tisement .
Royal Securities
^ '^CORPORATION "
L. I M 1 X E D
.MONTl'EAL
rORONTO HALIFAX ST. JOHN. N.B.
WINNIPEG VANCOUVER NEW YORK
LONDON. En».
M^i^-^-i^a.'^ii-iinr'Jtit-Jc^js^^ss.
I
W L. .McKinn
nd the purchase of
VICTORY LOAN
at the following prices: —
MATIKITV PRICE
1922 98 and Interest yielding 6.38".,
1927 . . 97 " " 6.00",,
1937 . 98 • •■ 5.68%
1923 ... 9.S 6.14"x.
1933 9H^ ■ 5.88"i
1924 .97" 6.27';„
1934 93 •■ 6.24?u
Orders may be telephoned or telegraphed at our expense.
W. L. McKINNON & CO.
McKinnon Building - TORONTO
SHORT TERM
INVESTMENTS
Yielding 6'A% to 7%
We offer a choice selection of high-
grade Covernmcnt and Municipal Bonds
maturing in : —
1920
1921
1922
1923
1924
1925
Particulars on request
W. A. MACKENZIE & CO.
Cowr„mcM/ onJ Munu,t„l !i;,l'
42 King St. West
TORONTO -:- CANADA g
THE MONETARY TIMES
Volume 65.
In addition to the above bids two companies offered
to talve $1,500,000 of the 10-year and $1,500,000 of the 20-
year maturities. The offers under this plan wei-e: —
A. E. Ames and Co. and Dominion Securities
Corporation 95.86
Wood, Gundy and Co 95.57
Wells-Dickey Company, of Minneapolis, bid 96.82 for
the 10-year issue, but the offer was submitted too late for
consideration.
Sarnia, Ont. — The Dominion Securities Corporation, To-
ronto, have been awarded $128,000 6 per cent. 20-year instal-
ment hydro-electric bonds at 93.493, which is on about a 6%
per cent, basis. Tenders received were as follows: —
Dominion Securities Corporation 93.493
Wood, Gundy and Company . . 93.13
A. E. .^mes and Company .... 92.68
R. C. Matthews and Company 91.60
W. A. Mackenzie and Company 91.11
(harlotlenhurf^h Township, Ont. — A. E. Ames and Com-
pany, who, on September 3rd, purchased $35,000 5',i2 per
cent. 20-instalment debentures, on September 16th purchased
an additional $60,000 under the same temis.
Alberta. — Wells-Dickey Company, of Minneapolis, have
purchased $750,000 0 per cent. 5-year bonds of the Univer-
isty of .Alberta. The sale was made by private tender at a
price of 99.25 and accrued interest. It is the intention of
the university board, which issued the bonds and controlled
the sale, to use the proceeds for the erection of the new
medical building now under way. The Minneapolis invest-
ment house which boujrht the bonds has been doing a mort-
Cage business in the Canadian west for some time past, but
this is the first time it has entered the .Alberta bond field.
Edmonton. .Mta. — Morris Brothers, of Portland, Ore.,
have purchased, throuph W. Ross .Alger and Company, .$2,-
075,000 0 per ■cent, short-term notes of the city at 97.29 and
interest. The offer, which was submitted by W. Ross .Mgcr
and Company, reads as follows: —
"Relative to the $2,075,000 notes maturing January 1st,
1921, which you wish to refund by a new issue covering same,
we, on behalf of Messrs. Morris Brothers, Incorporated, of
Portland. Oregon, beg to submit for your consideration the
following proposition for the above amount of 6 per cent,
notes, ilated September 1st, 1920, and maturing as follows:
$S25,000, two years after date; $750,000, three years after
(late: $500,000, four years after date.
"Both principal and interest to be payable in the United
States gold coin or its equivalent at Edmonton, Toronto or
Montreal, Canada, or New York City, America, said bonds
to be delivered in Portland, Oregon, accompanied by a legal
c pinion satisfactory to Messrs. Morris Brothers.
"We will pay 07.20 and interest. This offer is made with
the basis of exchange at 12 per cent, on the understanding
that should tlic rate br hiirlur or lower tlian this said lliruvo
lilK'M Mt\|(|l'\l,ir^ HI NS.-^IMIidl \
DKBENTrUKS FOR SALE
Sealed tenders marked, "Tenders for Debentures," will
be receiveil by the undersigned up to 12 o'clock noon on
Tuesday, the 5th day of October, A.D. 1920, for the i)un ha.sc
of ti per cent. Twenty-year Pebentures amounting to S277,'.''J.'i.
These Debentures are issued under By-laws Nos. 1 HM
to 1467 and 1469 to 1474. and arc for the purpose of laying
Water Mains and constructing Sewers in the thickly-settled
portions of the Municipality.
The Debentures arc repayable in equal annual instal-
ments both of principal and interest.
For further particulars apply to the undcrsigneil.
The highest or any tender not necessarily accepted.
By Order of thp Council.
FRANK NESS.
Secretary -Treasurer,
Rural Municipality of .Assiniboia.
Kirkficld Park P.O., Man., Sept. 18th. 238
tliat you would be allowed the profit or take the loss accord-
ingly. It is also to be understood that the city agrees to sell
no other issues of Edmonton bonds to other parties before
the first of January next without consent of Mori-is Brothers."
The finance committee recommended the deal, following
which the city council passed a by-law authorizing the sale
under the above terms.
Prince George, B.C. — The National Bond Corporation of
Vancouver, B.C.. purchased $35,000 6 per cent, bonds on
.'5i ; r, >i,Ik ]■ ]•-. :;:i ! ].:i< .-(ild them to United States investors.
DKBKiNTITRES FOR SALE
.S2.300,232.13
CITY OF OTTAWA, ONTARIO
DEBENTURES FOR SALE
Sealed tenders addressed to the "Chairman of the Board
of Control," and marked "Tenders for Debentures," will be re-
ceived by the City of Ottawa up to 3 p.m., standard time, on
Tuesday, the twenty-eighth day of September, 1920, for |
the purchase of Debentures of the following amounts and
terms : —
$ 85,307.31 10 years
357,562.68 15 years
448.362.14 20 years
1,409,000.00 30 years
$2,300,232.13
.A.1I Debentures bear interest at the rate of 69i, and are!
issued on the instalment plan. That is to say each issue is
repaid in such annua) amounts that the aggregate amounts
paid on principal and interest each year are equal. Each
Debenture is, however, for a definite amount payable at the
end of some year with interest coupons attached payable
semi-annually. Interest is payable 1st January and 1st
July. '
The Debentures are an obligation of the City at large,'
are issued in coupon form, with provision for registration
of principal, bear date 1st July. 1920, and are in denomina-
tions of $1,000.00, $500.00, $100.00, and odd amounts.
The City will make these Bonds payable either in Canada
alone or both in the United States and Canada, as may be
decided.
Debentures will be paid at the branches of the Bank
of Nova Scotia at Ottawa. Toronto and Montreal, and, if
payable in the United States, at the National Bank of Com-
merce. New York.
Tenders will be received as follows: (1) Bonds pay-
able as to principal and interest in Canada; (2) Bonds pay-
able both in Canada and the United States.
All tenders must be on the official form.
Accrued interest from the 1st July, 1920, must be paid
in addition to the price tendered.
Tenders specifying for Debentures other than thos<
herein described, or containing conditions varying from th<
above, will not he considered.
Delivery of the Debentures will be. made as soon as th(
Debentures arc printed and signed, upon payment of th<
purchase money.
A certified cheque payable to the City Treasurer foi
the sum of $10,000.00 must accompany the tender.
The highest or any tender not necessarily accepted.
Full particulars, together with further conditions an<
official forms of tender, can be obtained on application t.
the City Treasurer, City Hall, Ottawa, Ont.
HAROLD FISHER,
Mayor. 22;
September 24, 1920
THE MONETARY TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7^%
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B.
HALIFAX, N.S.
Greater Winnipeg Water
DISTRICT
6^ BONDS DUE 1940
Price 97.17 r„",te»t Yielding 6}%
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
UNION TRUST BUILDING - WINNIPEG
f
SUPERFINE
LINEN RECaRD
VULK li.ltcrhc.id n
* throuRh the mail!
av pass
ills, be han.
died hy a cozen clerlis. be filed,
and ict.ac the crucial moment,
carry into a Hrcsidenl s office
the suKSestion of your Com-
pany's dignity .-ind standirR— if
it be of Superfine l-incn Record.
Awarded the Cold Medal.
Antwerp ISS,-;: the Gold Medal.
Llii^.iKo. lKil.1: and theGrand I rix. Paris. IJiCO.
The Roiland Paper Co., Limited, Montreal
High Gradr Popir .V/a/.vrj ,inc, I Hfl2 ^^
Milli at Si. Jerome. P.Q.. and Mont Roiland. P.Q. /X
Manitoba Finance Corporation Ltd.
Investment Brokers, Financial Agents, Etc.
Winnipeg, Man.
Head Orticu
410-11 Electric RIy. Chambers
Phone Garry 3KM
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
I Insurance Effected in all its branches
1 Farm Lands for Sale in Western Canada
I Fiscal Agent for Manitoba. Alberta Flour Mills. Limited
NIBLOCK & TULL
, Limited
STOCK, BOiND and GRAIN
BROKERS
(Direci Private Wire
)
Grain Elxchange
Calgary, Alta.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
ichcs— SASKATOO.N ANO CALOARY.
adian ManuAers
VHSTMRNT COHI'ORATION OP CANADA, LtD.
London Otiicc: 4 Great Wi
Chester St.. B.C.
r.
Vancouver District Property
Expert Estate Agents and Mana^rrrs
Property BoukHi and Sold, Valued. Rented an.l
Rtporlcd on. Correspondence invited.
WAGHORN GWYNN Co., Ltd. v.nc.«v.r
Northern Securities, Limited
KSTAltl.lSHBU l!»(16
GENERAL FINANCIAL BROKER
Confidrnlial Ailvicc on Briliih Columbia Invcilmtnlt
Member of MnrtKiee and Trust Companies Association of BritiKh Columbia
S2S Pender Street W. VANCOUVER. B.C.
H. OKOmiK HAN'SHLO. J. P.. Manaser
MACAULAY & NICOLLS
INSURANCE OF ALL CLASSES
ESTATES MANAGED
746 Hastings Street - VANCOUVER. B.C.
C. H. MACALLAY
J. P. .MCOLLS No
P. M. LIDDELL & COMPANY
Investment Banker i. Fiscal Agents
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
THE
MONETARY TIMES
Volume 65.
Corporation Securities Market
Trading. Heavv on Canadian Kxchanj,^es Notwithstanding Tii-ht Money-Papers Were
/Jovrnt Hut Reaction Set In at the Close-Allan Theatres ^>ff*^""^- ^^^ ^^^"f"
Anoh Pulp and Paper issue - Wabasso Common Stock to be Readjusted
CONSTRUCTIVE, rather than adverse, was the effect of
the explosion on the New York market. Attacks by
hears were not carried out, traders feeling that such an ac-
tion would be contributing to whatever unsettlement niiRht
result. For the greater part of the week stacks moved up-
ward but at the close reaction set in, chiefly in industrials.
The passing of the Central leather dividend, reduction in
Ford car prices and reports of cancellations of steel orders
by automobile manufacturers, were the principal factors in
tliis re:>ction. "All these combine to emphasize the read-
ju.stment through which business is passing," state A. A.
Housman and Co. in their market letter.
After a week of activity and buoyancy, Canadian stocks
tended to become weaker, and at the close on September 22,
all but a few issues sought lower levels. Interest was chiefly
centred on papers, but was not entirely confined to that
section. The most interesting situation in the market was
the heavy trading in face of tight money. It is quite cer-
tain that banks are not yet ready to assist the market to
any appreciable extent, but there is no doubt that there were
jilenty of funds to finance operations. Several theories as
to this source of supply were advanced, but a satisfactory
solution to the problem was not found.
A decline in the price of Dominion Steel here caused
considerable comment, and especially in view of the fact
that British Empire Steel was lower in New York. A di-
rector of Dominion Steel, however, stated that there was no
special significance attached to this movement, and that the
depression was really a matter of neglect, as there was no
reason for the change.
Allen Thiatres. l.ld.
Housser, Wood and Co., Toronto, and Edward Brown
and Co., Winnipeg, are offering $2,500,000 8 per cent, pre-
ferred cumulative .shares of Allen Theatres, Ltd., at par
($100). with a bonus of half share of no par value common
stock. Common stock bonus will be adjusted to even amount
by purchase or sale of fractional share at the rate of ?40 per
.'.hare. Application for this new .stock may also be made at
nny branch of the Merchants Bank or the Canadian Bank of
Commerce. Preferred shares are preferred both as to assets
and dividends and are redeemable on three months' notice
at $110 and accrued dividend at the option of the company.
Allen Theatre.), Ltd., has been formed to acquire the
entire assets of Jule and J. J. Allen, controlling one of the
largest chains of motion picture theatres in the world, oper-
ated for the most part in Canada, with extensions in the
United States and England. In return for their total pro-
perties and goodwill in the business, the Aliens have accepted
Mock in the new company, ani will continue in the manage-
ment and control. The policy of building new theatres by
Iccal financing, whereby the majority of shares in local com-
l)anies are retained by the Aliens, will be continued, thereby
continually adding to the equities owned by the holding
company without impairment 3f capital.
.JLSsets acquired by Allen Theatres, Ltd., consist of owner-
ship or control and goodwill of all the theatres and film ex-
changes which, after giving effect to the present financing,
amount to over $7,500,000, or over three times the amount
of the preferred stock to be issued or outstanding.
Lake St. John Paper Stock
Offering is being made of $1,000,000 8 per cent, cumula-
tive non-participating preferred stock of the Lake St. John
Pulp and Paper, Ltd., at par, with a bonus of two shares
of common stock for every three preferred shares purchased.
The Lake St. John Co. was recently incorporated with a
capital of $4,000,000. of which one-half is preferred and the
other common, and all shares are of a par value of $100.
The balance of the stock will be issued on the basis of one
common share with every three preferred. After dividends ,
have been paid for two years on the prefei-red, those shares
will automatically become common stock, so as to participate
in the increased dividends which will be paid on the common.
Particulars of the company's operations, etc., are given
elsewhere in this issue.
Capital Increases and Readjustments
The Purity Flour Mills, Ltd., incorporated under thei
laws of Canada, has been authorized to increase its capital
stock from the sum of $100,000 to $500,000 by the issue of
4,000 new shares of $100 each.
Authorization has been given to the Boston Cattle Co.,
Ltd., which is registered under a Dominion charter, to in-
crease its capitaliz-ation from 10,000 common shares of no
par value to 13,000 shares of no par value, and from 3,600
cumulative preference shares of the par value of $100 each
to 5.100 cumulative preference shares of the par value of
?100 each, provided, however, that the company shall carry
en its business with a capital of $575,000.
In accordance with the Companies Act of Saskatchewan,
the Quaker Oats Co. has been authorized to increase its
capital of $30,000,000. divided into 300,000 shares of $100
each, to $50,000,000, divided into 500,000. shares of $100.
The Wabas.so Cotton Co., Ltd., has been authorized un-
der supplementary letters patent issued at Ottawa, to con-
vert the 7.500 common shares of its authorized capital stock
into 15,000 shares of no nominal or par value, and also amend-
ing the supplementary letters patent issued to the company
on June 12, 1912. by converting the 10,000 common shares ol
the par value of $100 each thedeby created into 20,000 share.'
of no nominal or par value, provided that the amount of
capital with which the company will carry on business shall
be $1,7.')0,000.
UNLISTED SECURITIES
•hcd to The
, Jr.. It Co.. Tor
Anic
At«. P«c. Oram... com.
preC.
i Holdcn F«U . 7'«
Tire, com
llcldinit Paul pr«l
niatk L;il<c com
prcl
British Am«r. A««ur«nc«
Can. Machinery ... com.
...prsi
Can. Oil «<""
Cjn \V<!«tinllhou««
CinW.
r.r
r
Cuban Can Sugar
l>avi«i< William...
Dom.Pnun.ft St
13 n 1 I5.W ll>om. IV
..: ; ..'3. Ir ■
Pom. Iron* Slci-1.'
rV, prcf 90 a< .V) M.i
1 M
l«p
70
7
7.4U
4.?,'!
."i.;.i
.1 .VI
.1.M)
78
M
9i
98.. SO
1 87
1 sn
.S3
! S3
1 8"
I 7.'i
1 78. .SO
1 infi
' ll.S
Sterling Coal com.
Toronto Paper 6's
Toronto Power. S's ( 1924)
Tru-^t &Guar
United CiRar Stores com
.pfd.
Western Assurance
Whalen Pulp com
pref
September 24, 1920
THE MONETARY TIMES
43
We Offer
SCHOOL BONDS
Province of Alberta
Maturing 10 and 15 Yean I
I to yield
I 7 tol\%
We Speciall\) Recommend these Dondi as S
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto BIdg. Royal Bank Chacnbera
EDMONTON CALGARY
DEALERS I.N
Government, Municipal
and Corporation Bonds
•ifii'uience Solicit eii
A. H. Martens & Company
Mirmbcrs Toronto Stock Exchange •
KOYAL BANK BUILDING, TORONTO
61 Broadway,
New York, N.Y.
Harris Trust BIdg.
Chicago. III.
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Members oi Winnipeg Real Estate Exchange. Winnipeg Stock Exchange
The Bond House of British Columbia
U E ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings also any British
Columbia Government and Municipal issues.
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C.
Victoria, B.C.
HELP •
^ *4STOP THIS FIRE WASTE
'^\ \
ONTARIO
■Vs^
.;,.i*-i;.
FIRE PREVENTION/
LEAGUE ':^= ^
CLE^N:*OP
wrIo piRt HAmLsopW FIRE PR EVE NTJONj
OCTOBEM
%
^.<,
OffTARIO
OCPT,,' PdOvlNCiAlTBEASUREB
TORONTO
' $IjOOO.OCX>
burnt monthly in ontario,
Every Fire Hazard about the place should be removed
The bijh cost of firei accelerates the high coil o{ livint.
Fire Prevention it inetptniive.
KEEP OFF the Fir* Department . BLACK LIST.
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
M«»>TltKAL— M<i-K l;iilli-<l .<i«>|il. -.'UihI.
' KlRurcR supplied by Buwnett & Co.)
Klorku
Abitibi PAP., .(niwi
pfd.
Ames Holdcn pfd.
Asbestos Corp
pfd.
Atlantic SuKar
• ■ ...pfd.
Bell Telephone
Br:r/.iliunT.L.& Power
B.C. Kish
Brompton Pulp & P. ■
•iinnJa Cement
...pfd.
Can. Con
Canadian Cottons
• ...pfd.
Canadian Car
• ...pfd.
CP.R
Canadian Gen. Elec...
Can. Steamship
• ■• pfd.
■' '■ Vot. Trust
Con.. Mining & Smcl....
Dct. Kys
Dom. Canners
l>om. Coal pfd.
Dominion DridRe
Dominion Glass
...pfd.
Dom. Iron pfd.
Dom.Strcl Corp
..pfd.
Dominion Textile
..pfd.
Oould .MfK j
Hilkrest
Howard S
Sales! Open I High
8001 81 I 841
206 133 I
2U2 100
30.S{ 6S I
207 76i I
76j
8) 79
290 87) 89 i 87 8.S)
I M 64 ' 69 63 dH
29 90 I 90 I 86 8<i
1S| 771 I 771 77 J 77j
20.101 S7 57 S4« .1.<!
I30: 66 , 66 64i Mt
295 IX l3Si I 135 KU
pfd. I
Kaminstlqt
Lake of the
Lnurentide
ill C"
M.icJc
.\I..^I...V
Mont. (.'ills. Ltd
.pfd.
Montreal Power
Montreal Tiam
Telegraph. .
Deb
National Breweries....
Ogilvic Flour Milh
5 100
2Si 60
75! I.S8
I50l 103
25 92J
21.5), 155
2 102
2877 118
40 .sa
933 80)
92) 92)
Ont Steel I'rml
P.
pfd.
S 115
6600 67
I !.'<«() 64
.VI 255
42 101
185; 74
255 2.55 ' 255
Mr,
Prov Piipep
Quebec Hy. L. H.&P
Riordnn Pulp « P.. .
pfd
St. Lawrence Fl. .Mills
•■..pfd.
Shnwinigan \V.«P ..
Shcrwin. Williams, pfd.
Spanish River
" Oiv. Vou
" pfd
St. Maurice
Steel Co. of Canada...
pfd
Toronto Hy Co
Wabass,. Cofn
Wayagamalli P. A P
Winnipeg Ky
Windsor Hotel
Woods M(B. Co..
Rnnhs
Commerce..
Hochelag^
401
:W5
365
37l
117
117
I 710
28
29 !
! 718
2119
214) 1
1 230
92
92
35|
91
94
■'"'3041
ios'
108 '
*1
93
93
1 """
118
ViSi
8Vi6 125 '
2375' 115 '
.520 68)
"»o!"47"
10 128
872: I42j
Cedarn Kapidi Ml
CityMont Dec fis.iwji
20
70)
92
100
4:i
I7:H
-Wl
IM
611
l;<5
1 '-
.,
-ij;
24
152 ,
7Si
100
101)
800
iini
i:«t I 123 1.10
I42i 143
70J ' 70}'
175 • irti 175
l$2| 152 \»i
HOSTUKAt.—CunUniied-
' Sales Open High Low Close
Dominion Canners ■
Dom. Cottons . . . .
Dom. Textile A..
B..
Dom. Iron 3000
Lake of Woods |
.Montreal Power ■ .
Montreal Fr. deb i .
Ogilvie Flour I .
Porto Rico 2000 75 75
Price Bros 500 85
Quebec Hy.L.H.S P.. . 3800 60
Hionlon Pulp ft Paper. I ;
Sherwin-Williams.... | l-'-i-
Spanish River 2500 96i I 963
Steel Co. of Canada...
Wabavso Cotton 1 ...
Wayngnmacli P. &P..., 9200 81 83
Windsor Hotel I
96] ! 963
'si"! si "
T4>K4»TO-Werk Enileil 8rpl. I!«iul.
Sales Open High Low < Close
ic Sugar
Holdcn pfd.
...pfd.
Am Cyan..
Barcelona .
Bell Telephone ...
Brazilian Traction.
B.C. Fish
Burt. F. N
Can. Bread
Canada Cement
...p
Can. Gen. Elec
. P
Canada Steamship.
P
Canadian Pacific R.
430 140)
51 69i
IS 65
1883 37}
30 50
48 102
335, 24
5 1 86
75 1 62i
65 90)
175 lOO
10 101
75 63J
215 78
149 135)
144 140) 140)
Con. Gas
Dome
Oom. Tel
Dululh
Lake of Woods . - . .
Loco .•
MacUay Companies. .
161
NS.Car...
Maple Leaf
arch ...
pfd.
!pifd.
.pfd.
175; 68*
281 64
75| 3)
lOl 23
5 152
30 97
I 75
Nipi.-
Penm.ins pfd.
Port Rico pfd.
I'rov. Paper
Uurbec K.L.H. A P
Salesbook
pfd.
Spanish River
. pfd.
Sawyer-.Massey
■' •■ . pfd.
Smelters
Steel Company
pfd.
Shredded Wheat
Steel Corp . .
Toronto Ry , . .
Tuckctts
Twin City com.
Trethcway
Winnipeg
Itunlik
.50 115
25 28
45 34
14 80
185. 119
175 125
.54. 17
49' .53
701 25
170 68)
Mt 92
10 IW)
405: 57
.58 46
201 37i 37i
'sbr 31) 'sij
13:1) 1 133} KBi
44 17.5*
6 193)
62! 177)
'^0 190
I 175
IS ISS \SX
193) 193)
177 177
109) 189*
Tot. Gen Tr
TOKOXTO— Co.i/i;
War Loanf»
Sales Open! HiKh Lom
Dom. Can.W.Loan. 1925 I.5SO0 W
1931 209001 9IS
1937i 35400 922
Victory Loan 1922 ....
1923
1927 ...I
WIXXII'M;— M<M'h rnil<-«l .Sfpl. isili.
I Sales Open High' Low
tory Loan 1922 43750 98
•• 1924 900; 97
■■ 1925
■ 1927 9000, 97
'" 1937 I 2S00l
'■ 1931.
1933..
War Loan 1937
Can. National Fire Co.
NEW YOKK— Weekended Sept. IMIb.
i Sales Open High Low Close
VoiidN
Dom. of Can. 5%
5)%
5%
I
1921 .580001.
1921 35000.
1926 24000!.
1929 630001.
1931 46000.
.VctP York Curb — 1
British Empire j
7% pfd.'
Canada Copper.
97J
LOXUO.X, KiiK.— Week ended Sept. .trd.
Vov'l. A' .Mnn.
Alberta 4% Deb
•■ 4j%
Canada. .3)%
3""
" . . 3!",, 1930 50
. ^"o 1940-60
" ....4','„
...4)% 1920-25
Calgar>-5%
4j% deb
Edmonton 4)% deb. . .
Sbds
Nfld.34%bds
.Manitoba 4 deb
.Montreal 4i% Keg
4"o cons, deb
Moose Jaw .5'\, deb .
Nova Scotia 4»% cons.
N.Vancouver ,5% deb..
Quebec 4*"..
" 4i."„ Reg
Saskatchewan 4% 1923
Sask. 5fVdeb. 1924-34.
Saskatoon 4j9b deb
S.Vancouver .5% cons.
Vancouver 4% cs. '50-2.
Victoria 3}'„ 1923
S}% 1924-34 . .
4%
C.No
4%
Rallwnys
.Pac.4%gr.deb.50
can. Nor. 4% deb. I93»
■■ 4%deb. 1934..
" i\ deb. 1930.
Can. Pac
■■ 4% deb.
" 4% pfd.
G.T.P. Br. 4% 1939
O.T.P.3%h«ls
G.T. P. 4%19S5
G T. P 4% deb.
Or Trunk 4% guar.
Or. Trunk5% 1st. pfd..
Or. Trunk S% 2nd pfd
Or- Trunk 4% cons. .
Ont S Quebec 5% deb
P. Gl.East.4)%dcb -42
Ind.. Flu., Kir.
Can.Car6',,
■■ -7%
Can. Cement 7% pfd.
6%
C.W. Lumber 5% debs-
Car Bk. nf Commerce
Bank of .Montreal
September 24. 1920
THE MONETARY TIME?
^•" '""' S.J,000,000
Governnu-nt of the
X rovince of Saskatchewan
Twenty-year 6% Gold Bunds
Dated October 1st, 1920 Due October 1st, 1940
Interest payable 1st October and 1st April.
Principal and Interest payable at the I nion Hank of Canada,
Repina. Toronto or Montreal.
Denominations: $.1,000 and §.500.
These Bonds are a direct and primary oblipatfon of the Province of
Saskatchewan, and are payable from its general revenue.
Legal Opinion: Malone, Malone & Long.
Financial Statement
Approximate AsspsseH Value of all Properly within ProWnce $1,500,000,000
Totfll Funded Debt linrluding present issue) 37. 916.101
Les.s — Sinking Fund. Telephone System Debentures, Grain
Elevator Debentures, Municipal Loans, etc 17.2frt,168
Net Debenture Debt 20.742.2.36
Railway Guarantees 32.270.072
Less — Bonds in connection with Railways now owned and
operated by Dominion Government 28..S82.012
Net Railway Guarantees . . .'{.688. 060
Annual Dominion Government Subsidy . . 1.680.077
Provincial Assets ". 106. .111.094
Area: 251.700 square miles.
Population (1911 census) 102,132. Population present estimate 744.000.
Saskatchewan is best known as a ttrain growing Province, it having
produced during the year 1019, 97, 9.3."}.000 bushels of wheat, and I IT,.'? 16.000
bushels of oats. The estimate for 1920 places these figures at 136,880.000
bushels of wheat and ! 7.3, 00:5,000 bushels of oats, this being the greatest
production of any Province in ( anada.
The finances of the Province are in excellent condition, the net deben-
ture debt being less than ?27 per capita, and the lowest of any Province
in Western Canada.
Price: 9(>.f>2 and Interi-sl
Yitldinii ().;$()%
Orders may be telephoned or lelepruphed at our expense, and delivery made to
purchaser's local bank Ireo of expense to him.
Interim cerlilii-.iti's will be issued peiidint delivery of deiinilive bunds.
Wood, Gundy & Company
Moulreal
Saskatoon
(...ii.i'lian I'Hiilir Kiiilwav liiiildiiiM
Tc.roiito
Nr« ^,„k
London, Lng.
THE
0 N E T A R Y TIMES
Volume 65.
Corporation Finance
Ik'll Ti'lcphone Case Presented at Ottawa Canada IJread Has Good Year— Net Profits of
Interprovinciul Brick Company Increased— Encouraging Outlook for Canadian Locomotive
Canada I-'oiindrirs and I'oruinKs Co. — A circular was is-
sued by the president on September 21, in regard to the sale
of the Delancy Forge and Iron Co., the company's BulTalo
subsidiary, reading as follows: —
"The directors have no hesitation in recommending
ratific;.t!on of tlie by-law authoiizinK sale of the stock of
Delaney Forge and Iron Co., which has been held by your
company .since 1917. The investment has been a profitable
one for your company, but in the opinion of the directors,
the time has now arrived when the funds represented by this
inv<' tnient can be more advantageously eni))loyed in develop-
ing the company's Canadian enterprises. The price received
for the Delancy stock is a favorable one, and will show a
good advance on the original cost."
Canada Bread Co. — Figures of operations during the
year ended June 30, in20, indicate that the company en-
joyed a successful year. PJresident Mark Bredin in his re-
port points out that last year was a banner one in regard
to the volume of business.
Manufacturing profits amounted to $29,1,881, which is
an increase of $117,280 over the item shown as manufactur-
ing profit and other income in 1919. Interest from invest-
ments is sit down at $1G,2;?7 compared with .?19,944 a year
ago. Balance July 1, 1919, was $10.3,419, as against a net
balance, after p;iyn-ent of business profits war ta.\ for
1915-16-17, of $113,706 on July 1. 191S. Charges against
these items for the period include depreciation on plant of
$50,000; depreciation on war bonds, $10,214; profit tax 1918.
?13>'28; leaving a balance carried forward as at June 30,
1920, of $172,295, compared with balance on June 30, 1919.
of $103,419.
Other principal items compare as follows: —
1920. 1919.
Preferred dividends $ 87.500 $ 87,500
Depreciation on plants 50,000
Depreciation on war bonds ..... 10,214
Bond purchase 12,500
Depreciation and bond purchase . . 50,000
Bond interest 67,199 67.989
Ingredients and supplies 498,097 131,250
Total assets 5,973,727 5,534.418
Intrrprovinoinl Brick Co. of Canada, Ltd. — At the annu:il
meeting of the company in Toronto last week, the financial
statement for the ycir ended June 30 last, was i)restnie<'
to shareholders. Net sales during the year amounted to
$179,486 against $93,462 in 1919. Net profits were $36,972
as against $11,169. Net earnings in the year were at the
rate of 24 per cent, on $150,000 common stock before proviil-
ing for special write off, and after this was tflken into con-
sideration were equal to 16 per cent, earned. The common
stork was raised to $200,000 through an issue of $50,000 at
the end of the fiscal year. In all $39,584 in dividends was
paid, which sum includes $29,581 accumulated dividends
from September .30, 1914, to December 31, 1918. This pay-
ment tended to reduce profit and loss balance which stood at
$13,654 at the year end against $20,269 in the previous year.
The b!\lance sheet ."hows the company to be in stronirer
condition financially, the following being the principal com-
parisons:—
I'''" 1919.
Total assM- - :~ j '1 $ 290.221
Cash ' -T 1,983
Inventories .... i 25.721
Property, etc . ' 275.711
Investments ..ii.niul 2.."nn
Accounts payable ... 12.133 l;i;;i
Tax reserve 5.149 l.lnii
Canadian l.oroniotive Co„ Ltd. — The annual meeting of
shnreholders of the company was held at Kingston, Ont., on
.Si])tenil-er 16, when a by-law was pas.sed, and the following
hoard of directors elected: A. Jarvis, Robert Ilobson, War-
ren Y. Saper, John L. Whiting, James Carruthers, M. J.
llaney and F. G. Wallace. '■
At a subsequent meeting of the board of directors, the
executive officers for the coming year were appointed: F. G.
Wallace, president; John L. Whiting, vice-president; A.!
•larvis, chairman of the board; J. H. Birkett, treasurer. Wm.
Ilarty, Jr., and Wm. Casey were elected to the board — Mr. '
Casey as one of the vice-presidents and Mr. Harty as
secretary.
The company, at the present time, is working to full
capacity, with sufficient orders on hand to run it for several
n^onths, and as the Canadian railroads will require all the
motive power they can procure for several years to come,
the future outlook for the company is most encouraging.
tiuebec Railway, Light, Heat and Power Co., Ltd —
Shareholders are now in receipt of the detailed report of the
company's operations during the year ended June 30, 1920.
The rei)ort, which has been covered largely in these columns
previously, shows that gross earnings increased nearly $300,-
000 during the year, but owing to high operating expenses
n.'l e.irnin^s were slightly reduced. The balance at the
credit of the surplus account was $582,705, as compared
with §682,464 at the end of the previous year.
The balance sheet, which has been given in these
columns previously, shows the company to be in a stronger
financial position. Total assets are now $24,736,033, whilel
last year the figure was $24,555,029. Cash on hand and in
the bank is re luced. but bills and accounts receivable are
high'.T. Inventories also show an increase, while bills and
accounts payable show a reduction.
Besides containing figures of the company's financial
standing, the report, which is in pamphlet form, is pro-
fusely illustrated with interesting views of the company's
property, and comprehensive charts of operations.
Bell Telephone Company. — The hearing of the company's
application for increased rates was commenced in Ottawa on
September 21 before the Dominion Board of Railway Com-
missioners. Glyn Osier, K.C., in opening the case for the
company, declared the reason for the increase in rates was
the heavy advance in the cost of labor and material. He
stated that the company is not earning any dividends, noi
earning interest on its bonds, and in addition the earnings
are not sufficient to provide for depreciation of the plant.
C. F. Sise, vice-president and general manager of the
company, was the principal witness, and he submittec
evidence showing that the service of the company was below
par, and that in order to bring the service up to the right
standard, new capital is required. In order to obtain this
new capital investors must be assured of a reasonable re
turn, and this could not be under present circumstances, be
cause of insufficient earnings. It was stated that no investor
will take the risk of not getting dividends or not havinf
their interest pai<l. In the meantime the company is getting
this out of the surplus. Mr. Sise declared that the earning:
of the rompanv has decHne.l from 5.6 in 1915 to 3.8 in 1919
A further statement was handed in showing the result o
one vear's operation based on actual results for the month
of Mav. June and July, 1920. which showed a net operatim
loss of S5S1.953. The revenue was $16,601,835, and expense
$17,183,789.
At the conclusion of the hearing at Ottawa, sitting
will be conducted in Toronto and Montreal. The company'
case will be thoroughly investigated first, and then othe
evidence, either for or against the increased rates, will b
heard by the board at a later date.
September 24, 1920
THE MONETARY TIMES
DIVIDENDS AND NOTICES
THE CANADIAN CROCKER-WHEELER CO., LIMITED
DIVIDEND NOTICE
The Directoi-s of The Canadian Crocker-Wheeler Com-
pany, Limited, have declared a One and Three Quarters per
cent (1%9<;) dividend on the preferred stock of the Company
for the three months ending September 30th, 1920, to share-
holders of record September 20th, 1920. Also a dividend of
One and Three Quarters per cent (1%%) on the common
stock of the Company for the three months ending September
30th, 1920, to shareholders of record September 20th, 1920.
The Stock Books will be closed from the 20th to the
30th of September, both days inclusive.
Checks will be mailed to shareholders on September
30th. 1920.
By Order of the Board.
H. A. BURSON,
Secretary.
St. Catharines, September 2nd, 1920. 223
Dividend Notice
NOTICE is hereby given that a uuarlerly dividend
of iwo aiui one-hall fier. cent. (■Ji%) for three
months cndinB September 30th. 1920 (beini! at the
rate of Icn per cent, per annum), has been declared
upon the Capital Stock of this Institution, and the
same will be payable nt the offices of the Company.
Toronto, on and after I-riday. the 1st day of October.
The Transfer Books will be closed from the 16th to
the 30th of September, both days inclusive.
By Order of the Board.
G. A. .MORROW,
ManaKinR Director.
CENTRAIj
CATNADA
LPAM AMD SAVITSGS
COM PAIS Y
King & Victoria Sts. Toronto^
NOVA SCOTIA STEEL & COAL CO., LTD.
DIVIDEND NOTICE
A dividend of Two per Cent. (2'/r ) on the Preferred
Stock and One and One-quarter per Cent. (lU'/O on the
Ordinary Stock of the Company has been declared payable
on the 15th of October, 1920, to shareholders of record at
the close of business on September :iOth, 1920.
By Order of the Board.
THOMAS GREEN,
Cashier.
New Glasgow, Nova Scotia,
September 18th, 1920. -■'''
ALLEN MANUFACTURING COMPANY, Ll.MITED
SALE BY TENDER
For the purpose of the administration of the estate of
the late A. W. .-Mien, of the City of Toronto, Manufacturer,
the undersigned, his Executors and Trustees hereby offer
for sale by tender twenty-five hundred shares of capital stock
of the Allen Manufacturing Company, Limited, the par value
of which is $2.50,000.00.
The assets of the Company comprise premises situated
on the Southeast Corner of Simcoe and Pearl Streets. Toronto,
having a frontage on Simcoe Street of about ninety-four feet
by a depth of about two hundred and forty-six feel on I'earl
Street, on which is erected a four-story and basement build-
ing, used for offices and light manufacturing purposes, con-
taining about one hundred thousand square feet; also the
plant, machinery, stock in trade and good-will of The Swiss
Laundry, owned and carried on by this Company.
All tenders must be in writing, and must be delivered to
the Toronto General Trusts Corporation, 83 Bay Street,
Toronto, on or before the 11th day of October, 1920. The
highest or any tender will not necessarily be accepted.
Further particulars may be had from the undersigned.
THE TORONTO GENERAL TRUSTS
CORPORATION,
MISS SARA ALLEN, Trustees.
Toronto, September 17th, 1920. 235
DIVIDEND NOTICE
Notice is hereby given that Dividends have been declared
by Provincial I'aper Mills Limited as follows: —
Regular Quarterly Dividend, l%'< on Preferred Stock.
Regular Quarterly Dividend, I'/j'f on Common Stock.
Special Dividend, 19'r on Common Stock.
All payable on October 1st to Shareholders of record at
close of business, September l.Tth, 1920.
(Signed) S.- F. DUNCAN,
227 Secretary.
DOMINION TEXTILE COMPANY. LIMITED
NOTICE OF DIVIDEND
A dividend of one and three-quarter per cent (1%''<-) on
the Preferred Stock of the Dominion Textile Company,
Limited, has been declared for the quarter ending .JOth
September, 1920, payable October 15th, to shareholders of
record September 30th.
By order of the Board.
JAS. H. WEBB,
Secretary-Treasurer.
Montreal, 8th September, 1920. 224
DOMINION TEXTILE COMPANY. I.I.MHEU
NOTICE OF DIVIDEND
A dividend of two and one-half per cent. (2'>j'.r) on the
Common Stock of the Dominion Textile Company, Limited,
has been declared for the quarter ending 30th September,
1920. payable October 1st, to shareholders of record Septem-
ber 15th! 1920.
By order of the Board.
JAS. H. WEBB,
Secretary-Treasurer.
Montreal, 8th September, 1920. 225
THE MONETARY TIMES
Volume 65".
U E C E N I F IRES
liusiness Section of Hrorkvillc Damaged, Loss .$200,000 —
Einht .Military Huts at BarriefieUl Destroyed.
Loss $100,000
Allanbiirs, Ont.— September 17— Barn of Elias Etrerter,
tofjether with the crop, was destroyed by fire. The loss is
$19,000.
Barriefield, Ont.— September 18— Eiprht military huts
were destroyed by fire. The loss is said to be about $100,000,
partly covered by insurance.
Beaverton. Ont. — September 15 — Foundry of Smith
Brothers damaRwl by fire. The loss is estimated at $1,000,
covered by insurance,
Brockville, Ont.— September 21 — The business section,
near the corner of Kinfr and John Streets, was damaped by
fire. The loss is estimated at $200,000.
Chester, N.S.— September 18— Plant of the Hawboldt
Gas Enpine Co. was damaged by fire. The Sanford tannery
and two barns were also destroyed. The loss to the gas enjrine
company will amount to $3.'>,000.
Halifax, N.S.— September 14— Fire started in Halifax
P'urnishinp Company's store, 82 Gottinpren Street, doinp dam-
ape to the extent of $2.5.000, and then spread south to the
Crown Cafe and the produce store of W. J. Mont, their losses
beinp estimated at $.5,000.
Hillhurst, (^ue. — September 17 — Bams of J. Lee Ale.x-
ander at Maplehurst Farm were destroyed by fire. The fire
was caused by liphtninp. The loss is estimated at $30,000,
partly covered by insurance.
Liverpool. N.S.— September 17 — Plant of the Southern
Salvage Co. was damaged by fire. The loss is estimated at
$20,000.
Milford. Ont.— September 14 — St. Phillip's Anglican
Churrli damaged ijy fire. The fire was caused by lightning.
Ottawa. Ont. — The main building of the Producers Dairy,
Ltd.. corner of Kent and Cooper Streets, was <lamaged by
fire. The loss is estimated at $.5,000.
Starbuck, Man. — September 12 — Barns on the farm of
Mrs. Dernier, five miles south of the town, were destroyed
by fire.
Stratford. Ont. — Sepember 1.5 — Born of Messrs. Michael
and John Goerling, a few miles north of Stratford, was struck
by lightning and destroyed.
Windsor. Ont. — September 1.5 — Plant of the Canadian
Roofing Co.. McDougall Street, was damaged by fire.
Winnipeg, Man. — September 17 — Owl Metal Co., 2145
Gallagher Avenue, was damaged by fire. The loss is esti-
mated at $12,000, with $0,200 insurance carried in the Cana-
dian Securities .^ssur.nnce and Newark Fire Insurance Co.
.\DDITION.\L INKOKMATION CONCERNING FIRES
North Vancouver, B.C. — August 26 — Fish and chip r
taurant at 54 Lonsdale Avenue was damaged by fire. S'-
eral other buildings were slightly damaged. The total da^
age was $4,935. with insurance of $7,000. The cause vs
from a short circuit in the electric range.
DIVIDEND NOTICES
CANADA CEMENT COMPANY, LIMITED,
ORDINARY SHAREHOLDERS
DIVIDEND No. 18.
Notice is hereby given that a dividend of IVz^o for 15
three months ending September 30th, 1920, being at the r;?
of (j'r per annum on the paid-up Ordinary Stock of t-;
Company has been declared, and that the same will be p;i
on the ieth day of October next to Ordinary Shareholdi^
of record at the close of business September 30th, 1920.
H. L. DOBLE,
Secretary
Montreal, September 18th, 1920. i-
CANADIAN CAR & FOUNDRY COMPANY, LIMITll
Notice is hereby given that a dividend of one and thri-
quarters per cent. (1%%) on the Paid-Up Preference St(t
of the Company, for the quarter ending September 30,
1920, has been declared payable on the 9th day of Octob,
1920, to Shareholders of record at the close of business i
the 25th day of September, 1920.
By order of the Board.
A. C. BOURNE,
Secretarj-
Montreal, Aug. 6th, 1920. •'
NIPISSING MINES COMPANY, LIMITED
Head Office, Toronto, Can., August 27th, 1920.
The Board of Directors has to-day declared a Regur
Quarterly Dividend of Five Per Cent., and Five Per C< •
extra, payable October 20th, 1920, to shareholders of reo i
September oOth. 1920. Transfer books close September 3(i.
1920, and reopen October 18th, 1920.
215 P. C. PFEIFFER, Treasure?
Brigden, Ont. — August 30 — Frame building and contents
of newspaper printing plant belonging to N. J. Brownlee was
damaged by fire. The fire is believed to have been caused
by cro.ss-circuit in H.vdro wiring in implement building. The
loss is $1,950, with insumncc of $800 in the Western Insur-
ance <'o.
Gatinrnu Point, (iuc. — September 5 — The business sec-
tion of this town was damaged by fire. A thcnt re, warehouse,
restaurant and blacksmith shop were completely destroyed;
a poolroom and a barber shop were badly damaged. The
cause of the fire i.i not known. The tot;il 1.'?= on building.-"
and contents was $2ri,.100, with insur.'Ui
Guelph, Ont. — September 1 — C. ' and sta-
tionery store was damaged by fire. Ti is $15,000.
\^ith insurance of $12,750.
Manitoba. — Th" fire cbi*'rf> import for Jnly. 1920. shows
1 ' ■ ' ■ ' ■" ' ' a loss of
s re caused
I' ine caused
five fires. There were three fatalities caused by fires during
the month.
Condensed Advertisements
■ Positions Wanted.
per
per insertion. .411 conden
style. Condensed advcnis
cti-irdcd for them, are pay .1
- _ all other condensed advertisements
charge for any condensed advertisement. fi.V
verlisemcnts must conform to usual
i. on account of the very low rate>
dvance: ."^0 per cent extra if charKed
CONFIDENTIAL APPLICATIONS invited for Brab
Manager at Winnipeg for English fire tariff company. M t
hove extensive Western connection. Territory, Manitci.
Saskatchewan and Alberta. Apply Box 335, Mominry T'v
Toronto.
GOOD OPENING for a competent man to take cha
(chiefly Fire) with an old-esl
Brokerage Office. Apply in
first in.=;tance. giving experience, salary expected and re
enccs. to Box 337, .'./.n.^rMrv Times.
GOOD OPENING for a competent man to take cha ^
of Insurance Department (chiefly Fire) with an old-est'-
lishe.i Western Insurance Brokerage Office. Apply in "^
The Monetary limes
. Printing Company
■ of Canada. Lin-h/i!
^'Tbe Canadian Engineer"
Tnde Review and Insurance Chronicle '
of (TanaDa
Established 16c<7
Old as Confederation
JAS. J. SALMOND
Pri-sident and General Manager
A. E. JENNMNGS
Assistant General Maxiager
JOSEPH BLACK
Secretary
■*'. A. McKAc.
Editor
I
I
Movement of Canadian Grain Crops
Increased Proportion of 1919 Crop was Shipped Througli Canada —
Most of Wheat is Milled in Canada, and East (iets Greater Part
of This Business — Shipments of Wheat. Oats and Barley Crops
AT least 250,000,000 bushels of wheat, and possibly 300,-
000,000, or more than in the record year 1915, are now
being har\-ested in the Canadian west. A small part of it
is already moving this way, and by the end of the present
month the movement will be well under way. The carrying
of the grain crop from west to east is one of the big problems
in Canadian industry, a problem which is accentuated by the
fact that a large proportion of the carriers must go back
empty, and the grain must therefore bear the expense of a
two-way trip.
The bulk of the grain crop comes down the great lakes,
-ome of it is milled in eastern Canada, and some goes over-
seas by various routes. Last year an increased proportion
went through Canadian channels, according to a report of
the Dominion Bureau of Statistics on the Grain Trade of
Canada. This report gives very thorough statistics of grain
production and transportation, many of the figures having
been compiled by the Board of Grain Commissioners. The
/rain movement is illustrated in the accompanying drawings.
The expedient has been adopted of showing a pool for the
western inspection division and another pool for the eastern
inspection division, and showing the principal streams into
and out of each of these pools for the year, also the move-
ments through the chief grain centres of the country.
.Mostly Milled in Canada
The western pool, of course, is fed chiefly by the crop
in the western division. This was computed for the crop
year under discussion to be 165,354,324 bushels. There also
was on hand at the beginning of the year, in accordance
with the closest calculations available, some 543,498 bushels.
The only other stream entering this pool is the small amount
of 390,834 bushels, of which 338,081 bushels entered from
Australia via Vancouver, B.C.; the balance of 2,813 bushels
were imported from United States. 321,760 bushels of this
amount were reshipped to Great Britain and other countries;
92,811 bushels of Canadian wheat were also exported over
seas while 7,752 bushels were exported direct by rail to
THE MONETARY T I x\I E S
Volume 65.
United States. This makes a total flow into this pool dur-
ing the year of 166,288,656 bushels. Of this, 126,472,2.38
bushels were used commercially, that is, shipped out of the
division or milled within the division. Of this, 30,000,000
bushels were ground in the west. The balance sheet of wheat
in statement No. 39, shows the destination of the quantity
shipped out of this pool, and the map shows the movements
east distinguishing between what went to the terminals at
Fort William and Port .Arthur and what was shipped all rail
to the cast. In addition to this amount disposed of com-
mercially, it is estimated that 31,17.5,861 bushels were used
for seed and that 2,944,515 bushels were held over in store
to the next crop year.
253,607 bushels are shown as going straight through to
the east by rail, cither destined to the eastern division or
to the eastern part of the United States. It has been im-
possible, at this stage of the flow, to distinguish between
what was reshippcd from the eastern pool and what was
shipped through eastern Canada to United States; conse-
quently, this has all been showTi as going into the eastern
pool, and the shipments by rail through the eastern division
into the United States have all been shown as shipments
out of the eastern pool. The largest shipment out the west
went by way of the terminals. Fort William and Port .\rthur.
97,476,240 bushels passed into the public and private terminal
elevators at Fort William and Port Arthur during the crop
year.
No attempt has been made to show the quantities on
hand at these terminals beginning with the end of the crop
year ar. distinguished from the quantity on hand in the
bushels of Canadian wheat were shipped eastward by watej
from Duluth. Of these total lake shipments, 55,063,87!
bushels entered the bay port elevators and, owing to ths bal
port elevators being more thoroughly cleared of their sup^
plies at the beginning of the year than at the end, 54,828,23
bushels were for\varded thence by rail. 9,946,811 bushel
from the lake stream were received at Goderich and for
warded thence by rail; 20,246,806 bushels were taken fror
this lake stream at Port Colborne, of which 11,186,54
bushels were shown as forwarded by rail into the easter
pool. However, to be exact, a large part of this was mille
in the city of Port Colborne. It being impossible to sho\
the amount milled at each centre, this has been shown a;
going into the eastern pool, and the figures are shown i
one total. Of this wheat received at Port Colborne, 9,809,75,
bushels were forwarded down through Lake Ontario, th
large pai-t of which was received at the Kingston elevatoi
being forwarded thence again to Montreal.
Some 988,286 bushels were shipped from Fort Williar
and Port Arthur to Duluth-Superior, 623,669 bushels went t
Canadian ports from these aforesaid ports. Of the move
ment down the lakes to United States ports, some 2 797,03
bushels were received at Buffalo, Detroit received 121,67
bushels, Duluth-Superior 988,286 bushels. Port Huron 58,00
bushels. The smaller streams have not been shown on th
map.
The Eastern Crop
The eastern pool received during the year not only th
crop that was estimated at 23.721,026 bushels, but also th
shipments from the west, amounting in all to 91,777,41
division a.-! a whole, on the map. Consequently, the streams
shown as shipments from the tcrminnls do not exactly
agree in amount to the quantity shown as received at these
terminals. 5.077.110 bushels were shippeil eastward from
these cities by rail and, being joined to the rail shipments
from the far west, make the total rail shipments east of 5.-
330.717 bushels. The water shipments from the terminals
arc known to n high degree of exactness, and amounted for
this year to 90.431.782 bushels. In addition to this 623,669
bushels. The route by which the various parts of this strea
cntei-ed have already been sketched, excepting that in add
tion it is necessarj- to explain the ofl'shoot from the ma
railway stream of 22,008,127 bushels in Montreal. Th
amount, plus the 9,809,758 bushels shipped down the S
Lawrence by water, was received in the public elevatoi
situated in the city of Montreal. This, being such a larg
stream, has been shown separately before it enters the mai
eastern pool. In addition to the crops and the receipts fro
October 1, 1920
THE MONETARY TIMES
the west, the map shows 1,775,120 bushels as received into
the pool for the year from the quantity on hand at the end
of the previous year. There also was a small importation
from the United States into this division, amounting to 27,-
110 bushels.
The movements out of this year's eastern pool included
2,049,974 bushels carried over in store into the following
year, 2,321,478 bushels used for seed in the division, 49,000,-
000 milled, 24,259,739 bushels shipped out for export from
Welland Canal has increased so the large boats can come
down as far as Kingston, larger movements via these ports
may be looked for in the future.
Movemeirt of Oats Crop
The oats crop in the western division was computed for
the crop year under discussion to be 224,004,758 bushels.
There also was on hand at the beginning of the year, in
accordance with the closest calculations available, some 7,679,-
MOVEMENT OF
CANADIAN
OATS CROP
isia ot&
the St. Lawrence ports, 2,284,53S shipped out by way of
Halifax, and 8,747,114 shipped out by way of St. John. The
'leductions from the Customs reports show that 19,037,331
bushels were shipped out via the United States to other
countries. In addition there was a small amount of 184.109
liushels cleared for United States consumption, making the
total shipments by rail from the east into the United States
19,221,440 bushels.
Two main streams are shown as going into the United
.'States. Of these 2,797,037 bushels went by way of Buffalo
and 1,167,959 bushels via other United States lake ports, and
19,037,331 bushels moved by rail from the eastern pool, while
184,109 bushels were cleared for consumption in the United
States from the shipments from the east, and 3,964,996
bushels from the shipments to lake ports, including Duluth.
Thus 19,102,080 bushels were cleared for export to other
countries via the United States from the eastern pool. No
attempt has been made to show by what ports this wheat
moved out of the United States, the map indicating merely
that it went via United States .Atlantic ports. So far as our
export is concerned, it is correct to conclude that this was
exported into other countries by way of United States ports.
Movement Through United States
This very light movement of 19,102,080 bushels of wheat
through United States ports as compared with some 35,392,-
931 bushels via Canadian ports including Vancouver speaks
volumes for the future of the Canadian channel of export
trade. No doubt the threatened United States embargo in
Canadian wheat has something to do with this large move-
ment via Canadian ports. However, when the depth of
214 bushels. The only other stream entering this pool is the
small amount of 11.100 bushels entering from the United
States. This makes a total flow into this pool during the
year of 231,695,072 bushels. Of this, only 17.070.147 bushels
were used commercially, that is, shipped out of the division
or milled within the division. Of this, 4,000,000 bushels are
estimated to have been ground in the west. The balance
sheet of oats in statement No. 39 shows the destination of
the quantity shipped out of this pool and the map shows the
movements east distinguishing between what went to the
terminals at Fort William and Port .Arthur and what was
shipped all rail to the east. In addition to this amount dis-
posed of commercially, it is estimated that 23,899,110 bushels
were used for seed and that 6,719,742 bushels were held over
in store to the next crop year.
Seven hundred and twenty-six thousand five hundred and
sixty bushels are shown as going straight through to the
east by rail, cither destined to the eastern division or to the
east of the United States. It has been impossible, at this
stage of the flow, to lii.stinguish between what was reshipped
from the eastern pool and what was shipped through eastern
Canada to United States, consequently, this has all been
shown as going into the eastern pool, and the shipments by
rail through the ea.stern division into the United States have
all been shown as shipments out of the eastern pool. The
largest shipment out of the west went by way of the
terminals. Fort William and Port .Arthur. 12.863,928 bushels
are reported to have passed into the public and private
terminal elevators at Fort William and Port Arthur during
the crop year. No attempt has been made to show the
quantities on hand at these terminals beginning with the end
THE MONETARY TIMES
Volume 65.
of the crop year as ilistinKuisheiJ from the quantity on hand
in the division as a whole, on the map. Consequently, the
streams shown as shi|)ments from the terminals do not
exactly ajrree in amount to the quantity shown as received
at these terminals. .5,8711,684 bushels were shipped eastward
from these cities by rail and, beintj joined to the rail ship-
ments from the far west, make the total rail shipments
east of 6,600,241 bushels. The water shipments from the
terminals are known to a hiph dejrree of exactness and
iimounU'd for this year to 6,.'JS2,90(i bushels. In addition to
this. 2!IK,000 bushels were shipped eastward by water from
Duluth of Canadian oats. Of these total lake shipments 1,-
80."), 771 bushels entered the bay port elevators and, owinp to
the bay port elevators beinR more thorouRhly cleared of their
supplies at the bepinninK of the year than at the end, 1,741,-
786 bushels were forwarded thence by rail. 2,005,357 bushels
from the lake stream were received at Godcrich and for-
warded thence by mil. .3.52,935 bushels were taken from
this port stream at Port Colborne. Of the oats received at
Port Colborne, 1,223,512 bushels were forwarded down
throuRh Lake Ontario, part of which was received at the
Kingston elevator and forwarded thence again to Montreal.
.•V small amount of oats moved down the lakes to I'nited
States ports, Buffalo being the only port to receive anything,
viz.. 1.406,419.
KAIl.KOAD EARNINGS
The following are the approximate gross earnings of
Canada's transcontinental railways for the first three weeks
in September: —
Canadian I'acilic Railway.
1920. 1919. Inc. or dec.
Sept. 7 ?3.991.000 ?3,599.000 +$ 392,000
Sept. 14 4.258,000 3,763,000 -f 495,000
Sept. 21 4,605.000 3,893.000 -f 712,000
Canadian National Railway.
Sept. 7 $1,998,001 $1,759,169 + $ 208,842
Sept. 14 2,372,906 2.069,675 + 303,231
.-^.pf. 21 2.293.007 2.085.089 + 207.818
(irand Trunk Railway.
.^ipt. 7 $2,473,270 $1,949,914 + $ 523,356
>'.pi 14 2,680.720 2.178.855 -1- 601,865
.'-.pi. 21 2.lsr;.ino 2,162.619 + 320.841
( I RRENT I.OAN.-N \M» KKI'OSITS INCREASE EVENLY
Advance bank ftgure.i for August, 1920. show that cur-
Ktit loans advanced npproxim.itoly $8,000,000. while notice
dcpofiit.H increased by the same llgure. Demand deposits
mcita.xed by less than $1,000,000. The following are the
principal figures: —
Changes from
Vu.'ut. !'.i20. July, 1920.
Reserve fund - I " 1 ^ '.lUiO -f$ 154.695
Note circulation ' :.S64 — 4,160,369
I'rniand deposit." l .707 -f 946,682
N"ti>r dcposit.^i ; .723 -I- 8.471.290
Tnlai deposit.<i in (.nnaiia. ... l.i'irj.(Hi;t.4.'J0 -»- 29,417,972
iicpo.^ifs outiiicle Canada 356,570.176 + 8.561.631
I iMTont coin 79^54331 — 1.105.679
I '•>minion notes 1<<8,424.553 — 2.883,397
ILposits rentml gold reserve. 103.162.53.1 + 3.312.533
Call loans in Canadn . 113.598.923 — 1.761,971
Call lo.ins ouUide ' 193.888.245 — 9.156.964
Current loans in Canada 1.38.'i.470.153 + 8,193,300
Current loans outside 200.945.241 -f 10.031,189
Total liabilities 2.778.229.984 — 484..>47
Total assets 3.071.179327 -I- 4..'il8.396
A detailed review of the statement will be given in these
columns next week.
Will. 1U:( O.MMKM) GOVERNMENT FIRE INSURANCE
Revelstoke, B.C.. Has Kar-Reaching I'roposal — American
Company .May Insure Standing Timber— Seizure
of .Motor Cars I
(Special to The Moiicliiry Times.)
Vancouver, B.C., Sept. 24th, 1920.
THE municipality of Revelstoke is to recommend to the ;
convention of municipalities, to be held at Nelson on the |
6th, 7th and 8th of October, that the British Columbia gov-
ernment take over the fire insurance of the province, and ^
the statement is made in connection with the recommenda- '.
lion that it will save the ratepayers of British Columbia
approximatelv §2,000,000 a year after allowing the provincial \
government a yearly surplus of $1 .000,000. It is safe to say
that this recommendation will be very strongly opposed, not ,
only by insurance companies, but by ratepayers, and that,
even if it should carry, the British Columbia government
would hesitate to assume such a tremendous financial risk
under present monetary conditions in the province.
.May In-sure Against Forest Fires
.An .American company who wish their name withheld ,
for the present are considering the question of embarking
in the timber insurance business in British Columbia. Only
those limits near the centres of population will be insured. ,
A great deal of standing timber was destroyed by fire in
British Columbia during the last dry spell, and it cost the
government nearly $200,000 to fight these fires.
Veterans' Insurance Scheme
The government life insurance scheme for returned ,
soldiers is proving attractive on the coast. Since the few ,
days forms have been available, 600 applications for insur-
ance have been forwarded to Ottawa. The pension board
ofTice is handling the applications and dispensing informa-
tion. No word has been received as to what department will
collect premiums and dispense funds after death.
Seizure Risk
In New Westminster an automobile has been confiscated
because it carried liquor contrary to the Prohibition Act.
This is the first case on record in British Columbia where a
car has been seized for this reason on the public streets,
although many have been confiscated for booze running on
the border. ;
In fact, so common did it become that the insurance ,
companies were asked to make a rate for seized cars similar
to the rate made by American companies, for the reason
that these cars were sometimes stolen and converted into
liquor carriers, and the owner was then in no way to blame,
and at other times the owner was only guilty of carrying
enough liquor for his own immediate use.
On inquiry from the insurance department of the Do-
minion government, however, it was ascertained that this
form of insurance would not be recognized by the govern-
ment as legitimate and the rate was never struck.
ROM) DEALERS BUY EXCHANGE SE.VTS
Within the past two weeks, .five Toronto bond hou.ses
have purchased seats on the stock exchange. Only four of
the names of the purchasers are known definitely, and they
are: Wood. Gundy and Co., W. A. Mackenzie and Co., R.
A. Daly and Co.. and Turner. Spragge and Co. The name
of the fifth company has been rumoured as R. C. Matthews
.nnd Co.. but that company has not confirmed that fact yet.
When these companies are elected, they will be represented
on the exchange as follows: W. E. Wilder for Wood. Gundy
and Co.. A. G. Mackenzie for W. A. Mackenzie and Co.. R.
A. Paly for R. A. Daly and Co.. and A. C. Turner for Turner.
Spragge and Co.
October 1, 1920
THE MONETARY TIME?
Trade Review and Insurance Chronicle
of Canada
Address: Corner Church and Court Streets, Toronto. Ontario.
Telephone: Main 7404, Branch Exchange connecting all departmenta.
Cable Addreas: "Montimes, Toronto."
Winnipeg Office: 1206 McArthur Building. Telephone Main S409.
G. W. Goodall, Western Manager.
SUBSCRIPTION RATES
One Year Six Months Three Months Single Copy
$3.00 $1.75 $1.00 10 Cents
ADVERTISING RATES UPON REQUEST.
The Monetary Times was established in 1867, the year of Confedera-
tion. It absorbed in 1869 The Intercolonial Journal of Commerce, of
Montreal : in 1870 The Trade Review, of Montreal ; and the Toronto
Journal of Commerce.
The Monetary Times does not necessarily endorse the statements and
opinions of its correspondents, nor does it hold itself responsible therefor.
The Monetary Times incites information from its readers to aid in ex-
cluding from it3 columns fraudulent and objectionable advertisements. AD
information will be treated confidentially
SUBSCRIBERS PLEASE NOTE:
When changing your mailing instructions, be sure to state fully both
your old and your new address.
All mailed papers are sent direct to Friday evening trains. Any »ab-
icriber who receives his paper late will confer a favor by complaining to
"tiie circulation department.
PRINCIPAL CONTENTS
Editorial: page
The Cost of Fire Insurance 9
The Threatened Miners' Strike 10
Rentals and Realty Values 10
The Growth of Clerical Machinery 10
Speci.\l Articles:
Movement of Canadian Grain Crop 5
Depreciation in Currency Recognized 14
Protectionist Sentiment Not Lacking in the West 18
The Cost of Fire Insurance 22
Financing of Irrigation Schemes 24
Cost of Banking Operations in Canada 26
Workmen's Compensation in British Columbia . . 28
Dominion Iron and Steel Action 30
Weekly Dep.\rtments:
News of Industrial Development in Canada 32
News of Municipal Finance 36
Government and Municipal Bond Market 38
Corporation Securities Market 42
The Stock Markets 44
Corporation Finance 46
THE COST OF FIRE INSURANCE
LAST year the fire insuranca companies paid to policy-
holders in Canada slightly over 41 per cent, of the
total premiums collected. Since 1869 the ratio paid back has
averaged a little over 58 per cent. These figures lead from
time to time to an inquiry as to where the remainder of the
premiums go. Only a fev.- days ago the Regina Post, wiiich
is ahvay.- a rc'dy champion of the cause of the west T,'ainst
the corporations of the east, published figures showing that
the loss ratio in the west has been lower than in the east
during the past four years. In a contribution to this week's
issue of Tlie Monetary Times, "Layman," writing from many
years of experienc;; in fire insurance in the maritime pro-
vinces, takes the view that the margin between premiums
and loss payments is too large.
There are unquestionably many ways in which five insur-
ance business does not operate in the public interest. What
business is there, in fact, however useful it may be, which
do's not c'ash in ,-ome instances with the public welfare.
It is freely admitted that the payment of agents by means
of a CDmmis?ion on premiums encourages over-insurance,
and the writing of risks which are not good risks. Public
investigations into the causes of fires reveal only too often
the complicity of an a<icnt, innocent as such complicity may
be, in a conspiracy to defraud the fire insurance companies.
Our correspondent does not suggest a remedy, however. In
his general purview of the fire insurance business, moreover,
he overlooks the fact that any kind of insurance, supposing
all dishor.estv removed, is one in which the careful and
the fortunate, bv prolonging their life and by guarding their
health and propertv. pay for the mistakes and the misfor-
tunes of the rest. This is a part of the contract which is
fundamental.
The case is not one against the fire insurance com-
panies, but rather against the circumstances under which
fire insurance is transacted. If there is any "profiteering" in
the fire insurance business, certainly the shareholders have
not seen the result. Canadian companies operating under
Dominion license paid their shareholders in 1919 only
$723,886 upon a paid up capital of $12,937,307, or consid-
erably less than '6 per cent. This is a return below the cur-
rent rate of interest in the money market to-day, but is
partly compensated for by the fact that as a result of an
especially favorable year substantial additions to surplus
were made. 1919 was, in fact, one of the best in the his-
tory of Canadian fire insurance, the loss ratio of 41.67 per
cent, being the lowest in fifty years, with the single exception
of 1902, when it was 39.26. A ratio exceeding 60 per cent,
and even 70 per cent, -.vas common until about 1908, and the
average of .58.19 for the whole fifty-one years since 1869
has been the result of lower figures since 1908. It is to the
wide margin between, comprising the expenses of doing busi-
ness, that attention must be directed. A considerable part
of this goes to the agents, the rest to office expenses, cost
of inspections, taxes, etc.
It is the duty of fire insurance companies, working in
co-operation with the governments, to endeavor to narrow
this margin, and pass the benefit on to the public by lowei--
ing rates. Some effective work is already being done by the
government- in rcducin" the fire losses themselves, and it
is important to remember that the cost of this work is born
by the companies, and that they have taken an active part in
it. A reduction in overhead expenses may be brought about
by amalgamations, but the amount to be saved in this way
cannot be large. Tlie work of inspection and classification
of risks is essential, and it must be born in mind that this
work also helps to remove fire hazards. Serious attention
should be given to the method of securing business through
agents, with a view to eliminating over-insurance. These
and other aspects of the business should have the careful at-
tention of the conference of provincial superintendents, at
wh'ch the fire insurances companies will be represented,
which is to be held in Winnipeg next week.
r II E M O N E T A R V T 1 M K S
Volume 65.
THi; mUEATENEU MINEKS- STKIKE
THE world, like Premier Drury of Ontario, is becoming
u.-i-d to crises. Perhaps they are the feeble echoes of
the gieut war, perhaps they are interludes provided to satisfy
ii public mind tuned up to the K'ipantic discords which not so
lonK :«o reached us from Europe. This week it is the coal
niinero of Great Britain who occupy the stage. The fact
that the issue is in the Unitt-d Kinfrdom, and a local one at
that, liiis led this continent to n-jrard it with >.xpcrienced
complacency. The mother country has handled such dillicul-
ties with success, and without cvpreisly committing herself
to any new principle of economic life. There is no formula
for intiustrinl crises, nor does the League of Nations' docu-
ment provided a remidiiil principle.
It has become apparent, nevertheless, that the public
w 11 come out on top. The coiil miners wanted an increase
in wagts coupled with a reduction in price, a combination
which is in violation of economic law. The British Kovcrn-
ivent has ceased to subsidize industry, and will scarcely re-
new this policy by bonufinp coal production. The workers
in : n inJustry have no n;ore right to absolute control th?.n
have thv capitalists. .■VU essential industries which have
outgrown the competitive stage must be open.ted by the
public or under its control. Even in Italy, which is >o close
to the seat of Bolshevist' movement, the attempt to segre-
gat; thi.' country into iti economic units has faile<l. Tho
British coal miners, finding that the public was behind the
govirnment in its operation, agreed t3 suspend their threat-
ened strike on September 24th.
The coal owntr.s it is known, are anxious to have nn
agreement with the miners, and there is so much ditrcniue
between the recent output of coal and the amount mined in
normal times that it is considered there should be little
difliculty in agreeing on a scale that will enable the miners
to get the increase tliey desire. Suspension of the strike is
recognized as being a great victory for the government. The
miners have been forced to drop both of their deman'ls. lirat,
to have the right to control the profits and prices of the in-
dustry; secondly, to obtain a rise on the ground of the high
cost of livin-r, and they have been induced to accept the
government'? contention that output could be considerably
increa.'ied if the miners and mine owners would co-operate
with each other. The miners gave way because they realized
that oli.sfinai-y would jeopardize their own organization.
The char ;t-.tement of the government's position and the
nithl s= annl'sis of the miners' contentions by Sir Robert
Home and Lloyd ttcorge at a series of interviews, published
in all the newspapers, created a division in the ranks of the
miners themselves.
KENTAI.S .\M> UEAI.TY VAI.IES
HiUSKS are still scarce, an I renUils continue to go up;
«.. at least we are told by Xh- ■ mvI they are
in a jo^ition to know. But a» we I 'e pn.-.i few
y. nr^ Im.l a shortage of capita!, nf ' -aleriiil" yf
nl! kinils, why nheiuld wo not ■''
win. li are a product of all I
1,,, „,. .1. f-, t I.,:. J.- it inn
■ ■«, with the rvsull tliat ne*^ i.u-l.i-
nld houses were not rtplnced. and
>ont rise is an effect of readjustment. Government housing
s.hemes have failed to supply the shortage. The value of .«uch
property must continue to he determined by the cost of re-
placement, for this is the cost at which new properties must
be placed upon the market, and investments in property
must yield a return comparable uilh that obtainable in other
fields."
THE GROWTH OF THE CLERICAL MACHINE
FOR many years mechanical production has been carried |
on as a process in which the individual workman plays '
an insignificant part; he is a part of the machine which is!
essential because inventive genius has not been able entirely
to eliminate the human element, an element which mustj
judge and direct. With the grcwtli of large corporations
during Ihc past few years the same tendency in the clerical,
end of production is more and more making itself felt. Here,
too, a great machine has been created. In this machine ih<-
human factor is still essential, but the part which the in-
dividual plays is less conspicuous, because the method of i
working the machine is obvious from the design of the
machine itself. |
The construction of the modern office grows constantly
more like the constJ-uction of the factory. Work has beer. •
standardized. Long rows of desks of uniform design and
equipment now occupy the offices of our large commercial
and financial institutions. With the increasing division of
labor each operation becomes more simple. The field in
which each member of the staff operates is narrower. As:
in the case of mechanical production, however, the growth
of the' machine has meant that the comprehensive plan |
which somewhere underlies the whole is a new pi-oduct of!
modern economic life. Detailed operations may be simplified,
but the vision of the organization as a whole must remain.
Communism in Itily has been given up, because pay,
day no longer brought any pay. 1
* * * « •
The price riductions which come from increased produc-i
tion are the best, for the producer is comnensated by the
fact that he has more to sell.
The banks still continue to open numerous branches ini
Canada. Confidence in the future expansion of the Oominion:
is not affected by temporary depression.
Better flour at a lower price is now being tuiii<u ..ui u\
the Canadian mills. This country's record for superior
irrn'n and grain product? should be pteserved.
* s • » «
W. F. O'Connor. K.C., formerly a member of the Beard
of Commerce, has refused to pay the income tax levied by
the city of Ottawa. Still another way of fighting the hiirb
cost of living, no doubt.
Foreipn government loans floated in the United Stiites
have been upon .-n K per cent, basis. What is even more sur-
prising than this, however, is the fact that they should be
so anxious to borrow on these terms.
i;uir« lit ItiU.-i i>i
This is a nuv
» • vaUu
cost of bii
le until such time
nit- of ImiMuu-.
rcntal« in
The pr«
Irish sympathizers arc planning to boycott the city of
Toronti bccaus- the mayor refused permission to hold a
Sinn Fein meetinir. No doubt the Irish .sympathizers are
prepared to go out of the market entirely.
If Sir Roborft Falconer keeps up his plea for more'
for (he staff of Toronto University the public willi
as tired of the complaints of the "salariet" as it
• • . Ix" of the complHint.s of the proletariat.
October 1, 1920
THE MONETARY Tir^IES
Bank of Hamilton
HEAD OFFICE -
Established
HAMILTON
1872
Capital Aathorized
Paid Up Capital -
Reserve Fund
$5,000,000.00
4.791,280.00
4,595,640.00
Directors
SIR JOHN. HENDRIE. K.C.M.G. C.V.O.. President
CYRUS A. BIRGE. Vice-Presi.lent
C. C. DALTON ROBT. HOBSON W. K. PHIN
I. riTBLADO. K.C. J. TURXBULl. W. A. WOOD
Branches
At Montreal, and throughout the Provinces of
Ontario, Manitoba, Saskatchewan, Alberta and
British Columbia.
Savings Departtrient at all Offices.
Deposits of $1 and upwards received.
.Advances made for Manufacturing; and Farming
purposes.
Collections effected in all parts of Canada promptly
and cheaply.
Correspondence solicited
J. P. BKLL
General Manatfer
TRADE EXPANSION
The fundamental principle
of this Bank is — to foster the
growth and development of
Canada's enterprises and
resources.
Advances will be made to
aid in the expansion of
legitimate undertakings.
Consult our Manager as to
your present and future plans
IMPERJAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland, Dublin, and Branchas.
A;,ents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
Fifty-five Years of
Banking Service
Time has demonstrated the sound-
ness of the policies on which the
first Board of Directors founded
this Bank fifty-five years ago —
October, 1865 — and which have
continued throughout its existence.
Union Bank of Canada
THE
Bank of N
ova Scotia
Established 1832
Capital
$9,700,000
Reserve
- $18,000,000
Total Assets
$230,000,000
GENERAL OFFICE
TORONTO. ONT.
H. A. Richardson,
General Manager
Branches at all the
principal centres
throughout Canada
and in Newfound-
land, Cuba. Porfo
Rico, Dominican
Republic, Jamaica,
and in the United
States at
BOSTON CHICAGO NEW ^ORK
London, Eng., Branch:
55. OLD BROAD
STREET. E.C.2
THE MONETARY T I JI E S
Volume 65.
PERSONAL NOTES
R. F. Hayward. manaiier of the Western Power Com-
pany of Cuniidii, Vancouver, has resigned his position with
that comi'any ta Ijecome nianaRer of the Santiago Light,
Tramway and Power Company, which is owned by the Pear-
son interests of England.
Bryce B. Hunter has been appointed additional repre-
sentative of Ih." North British and Mercantile Insurance
Company, at Toronto. Mr. Hunter will take into associa-
tion, from the first of January next, J. D. Rowell, who has
represented the company for many years as inspector for
Ontario.
M. B. Mackenzik has been appointed manager of the
Royal Trust Company, Montreal, to succeed A. E. Holt, who
has retired owing
to ill-health. Mr.
Mackenzie's bank-
ing career dates
back as far as
1S84, when he was
in the .service of
the Canadian Bank
of Commerce at
Hrantford, Ont. In
US7 he joined the
Bank of British
.North America,
;md saw service
with that institu-
tion at Brantford,
St. John, N.B., and
Montreal. A f t c r
.-•erving in various
other capacities for
some years, M r.
.Mackenzie was ap-
pointed superinten-
■ I !• n t of central
(•ranches at Win-
nipeg, Man., i n
' r.'OT. In lJ)Ot» he
War. (i|.|.M.iii. ■■ »:.i.. 1.11 in. .h. IK- I iii iin- iiiiiik, which position
he held until the institution was absorbed by the Bank of
Montreal, when he wn.n appointed one of the assistant man-
agers of the latter bank.
F. W. MoLSON, prominent in Montreal financial circles,
has been elected to the directorate of the Montreal Trust
Company. Mr. Molson is a member of the directorates of
many important institutions, including the Molsons Bunk, the
Bell Telephone Company, the National Trust Company,
Montreal Cottons, the Montreal City and Districts Savings
Bank, and the Canada Paper Company.
h. J. Kkkk. who for the past twcnty-onc years has been
in the service of the Commercial I'nion Assurance Company,
Limited, in England, during which period ho has had con-
^dernble field anri ofTire experience, has been appoint<.-d
n.'sistant manager for Canada, and has now cntcrc<l upon
his new duties with office nt Montreal.
Sib CiEoRrk BirRY has officially scvennl his connection
as president and managing director of the Whnlcn Pulp and
Paper Company. Vancouver, B.C. It is expected that the
new president and managing director will be elected in the
near future at a meeting of the board to be held either in
New York or in eastern Canada.
J. C. Ci. Arm^tace and H. A. H. BAKm. for a number
of years connected with the Equitable Life Assurance
Society, have been appoin'cd Winnipeg branch managers for
the Sun Life Assuranc::^ Company. Mr. .\rn)ytflgc bar been
(rrneral agent of the Eauitable Life in Winnipetr for the
part fifteen years, while Mr. Baker stsirtcd in the insurance
1 usiness in 1907, ;.nd for the past si.\ years has been with
the Equitable.
M. Snow has been appointed manager and secretary of
the Northwest Grain Dealers' Association, of Winnipeg, in
place of F. O. Fowler, who has resigned. Mr. Snow came to
Canada from Scotland in the year 1680, and during- his forty
years' residence there he has seen the west grow from in-
credibly small beginnings to its present high state of de-
velopment.
J. Wilson, manager of the Union Bank of Canada for
London, England, is at present in Canada on a tour of in-
spection with other directors. Before leaving for England
he will make several calls in the United States. When in
Winnipeg last week, regarding the British conditions, Mr.
Wilson said: "In general the situation is healthy but quiet."
He pointed out that in order to prevent the holding of food-
stuffs in warehouses the banks were ordered by the govern-
ment not to advance money on the value of these food-
stuffs, with the result that dealers were forced to sell their
products as scon as they received them, and in this way
they could not wait for higher prices.
TWEED HEADS NEW LIFE COMPANY '•
Waterloo, Ont., wrill be the headquarters of the Ontario".
Equitable Life and Accident Insurance Company, which has'
just been organized under provincial charter, with an
authorized capital
of $2,000,000. Life,
accident and health
insurance will be
written. In select-
ing the name, re-
gard was had for
the fact that the
Equitable Life In-
surance Company
had just with-
drawn from this
country. Many of
the E q u i t :i b 1 -'
agents will be on
the field force I'f
the new compan;.
The gener:i!
manager of t h .
Ontario Equitably
Life and Accident
Insurance C o ni
pany will be S. C.
Tweefl, who retires
from the position
of superintendent
of agencies of tlu
Mutual Life of
Canada, his re-
signation taking effect to-day (Oct. 1). Mr. Tweed has ha<
a life-long experience in the insurance field. He started a:
a stenographer with the Metropolitan Life in one of iti
Canadian offices. He served also for a number of years witi
the Equitable, and later took the supcrintendency of thi
Mutual, in which position he has met with mark.-i -;ii.-. ..=.;
OBITUARIES
Geo. a. Farrili,. who for many years had been treas
urer of the township of Arthur, Ont., died at his home a
Kenilworth on September 2Sth.
Thomas Kirbv. who has been retired from business fo
some time, died in Montreal on September 23rd. Mr,
Kirby was a well-known banker, being at one time manage
of the Merchants Bank of Canada at Ottawa
S. C. Tweed
October 1, l!
T II E .M () N E T A K V 1 1 M K S
^imnuBuiouiiuuiuimDiuiuuiiuuuQiiiiiKUi iUQunmmiiuiiiiiiiBi
I The Sterling Bank \
I OF CANADA |
SmiMirunummnuinwiiniimiimiiimDinnnniiniiniiininuvuimiimninDniuiiiiiiiiuinnnnnimiuniiiiinmiiniiinii
The personal service policy of ihe Sterling Bank has
grown from a realization of the fact that our own ex-
pansion is closely related to that o( our clients. Ac-
cordingly, the efforts of every officer of the Bank are
directed toward one end —the growth of our clients*
business.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament- Established IS'25
Capital Subscribed /5, 000, 000 §25,000.000
Paid up 1,100,000 5,500,000
Uncalled 3.900.000 19.500,000
Reserve Fund 1 .000.000 5.000,000
Head Office - EDINBURGH
WILLIA.M CARNEGIE, General Manager. GEORGE A. HU.STER. Sec.
LONDON OFFICE— 37 NICHOLAS LANE, LOMBARD ST.. EC. 4
T. C. RIDDELL. DUGALD S.MITH.
.Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, are
retired on terms which will be furnished on application.
THE STANDARD BANK OF CANADA
Quarterly Dividend Notice No. 120.
A dividend at the rate of Three and One Half per
cent. (3,'2) for the three months ending 31st October,
1920. has been declared payable on the 1st of Novem-
ber. 1920. to Shareholders of record as at the 21st of
October, 1920.
By Order of the Board.
C. H. EASSON,
General Manager.
Toronto, September 22nd, 1920.
IncorporEx+<*d
Branches
Throughout
Canada
THE MOLSONS BANK
IBOth DIVIDEND
The Shareholders of The Molsons Bank are hereby notified that
a Dividend of Three Per Cent, (being at the rate of twelve per
cent, per annum) upon the capital stock has been declared for the
current quarter, and that the same will be payable at the ofTice of
the Bank in Montreal and at the Branches on and after the first day
of October next to Shareholders of record on 15th September, 1920.
Bv Order of the Board.
EDWARD C. PRATT.
Montreal. 2-lth AuKUst. 1020. General Mana*-er.
THE
Exchange Rate
1— What Controls It?
FIFTY-SIX years ago, after the
Civil War, the United States
dollar was quoted in Toronto at
forty cents. To-day that dollar
is quoted here at one hundred
and ten cents, or more, while the
Canadian dollar has an exchange
value of only about ninety cents
in the United States.
On every side the questions
are asked, "What is the mean-
ing of 'Exchange '? " " Why is
our money at a discount ? " and
"When will the Canadian dollar
again be worth its face value?"
Many false impressions are
held as to the cause of these
fluctuations.
In the following series of
advertisements, which will be
published in this paper each
week, we shall try to make clear
the factors controlling the rise
and fall in value of the dollar
THE CANADIAN BANK
OF COMMERCE
Capitnl Paid Up $15,000,000.
Reserve Fund - $15,000,000.
7 hii series, ahcn complcleJ. mill he pub-
tiaheJ in pamphlet form. If Jiou Jciire a
COpV. """'''• '" "'" Hr.l.! Office. Tnfr.nln.
THE MONETARY TIMES
DKI'KK* I \ri(»N IN ( I KKKMIKS HECOGMZEI)
Nt» Kulini; of C ustoms Dtparlmtnt N«» IJeing Enforced—
Still I nccrtainl) Alioiil Diterminini; I urrinl Kalt-
(Special to llu- Moiicliiry Tinus.)
Ottawa, Sept. 30, 1920.
PROVISION for valuing European currencies at current
rates rather than at par of exchange is contained in an
order of the customs department, signed by R. R. larrow,
commissioner of customs. This order is dated July 22, 1020.
but was distributed just a few days ago. It relates to
section .")9 of the Customs Act. Sterling invoices are still to
be valued at par, according to this order, but it is under-
stood that the current rate is shortly to be applied to imports
from the United Kingdom uls». The order .-eads:—
Currency of Exporting Country
"(1) When the value of any currency has been pro-
ihiimed by the Governor-in-Council, subject to the provisions
of Paragraph 2 hereof, collectors of customs are to compute
the value for duty according to the rate so ordered and pro-
claimed from time to time. The fair market value of the
goods when sold for home consumption in the principal
markets of the countries of export, as of the date of export,
should always be shown in terms of the standard coins of
the currency of the country oC export, whether this standard
be gold or silver, and regardless of whether transactions in
specie actually take place or not. If payments of specie
have been suspended and the business of the country of
export is earned on in paper currency, the home market
value of the goods exported may be shown in terms of the
paper currency, provided the value of the paper currency in
relation to the standard coins be also shown. The governing
value of the goods for duty purposes is the home market
value in the terms of the standard currency of the country
of export.
Compare with C^anadian Dollar
•■(2) Whenever (a) the value of the currency has not
I. ten proclaimed, or whenever, (b) though proclaimed, there
is no fixed standard value (and it is to be noted that where
a currency is based on silver or on any other standard than
gold there can be no fixed value in relation to the currency
of Canada), there shall be attached to the invoice of the
goods imported the certificate of some Consul resident in
such i>la.e or country showing the true value of the currency
111 \^l.i.li such invoice is made out at the lime when and in
till' phue or country where such certificate is given as com-
pared with the standard dollar of Canada.
"CU Whonovor from .■>ny cause the value of any such
, |.l) 2 above, headings (a) or
, re shall be attached to the
P ■•.<• certificate of some consul
resident in sucii place oi louiilry. showing the extent of such
depreciation, and in such cases wherever the value of the
depri'c i:ited currency is dependent upon the rate of exchange
oM 1, on. Ion, it shall he optional with the importer, with the
consent of the collector, to comr"'" '*!'' value for duly at
the rate of exchange certified i through which
the same is drawn, as current nd place when
anil whence the goods were exp. : ; i la.
"(11 E • Section 9 of the Currency Act. 1910. it is pro-
vided that the British sovereign rhall paw current and be
legal tender in Canada for four dollars eighty-six and two-
thirds of a cent of the currency of Canaaa."
Stamps for Luxury Tax
I'.-Uortinn of the sales and luxury fnrrii hv nionns of
1. 1 of by the pn-scnt nu -'ur-
r 1. The necessary ■■ "re
,„ .ml the stamps manufaci.. ,t-
f 'itini' machine for cancelling the stamps will be furnished
fi.0 to the dealers. La.it month S6.000.000 revenue >va»
.l« rived from the luxury tax. but this is not regarded as the
probable maximum.
In some cases investigation has shown that the law is
not being complied with through ingnorance of its provisions.
In others there have been deliberate evasion, and prosecv-
tions in several score of cases are being initiated. The full
penalty will be asked to the end that the effect be salutary.
Inland Revenue officers, by visiting stores and making pur-
chases, have detected many cases of evasion. A staff of
thirty expert auditors, distributed over the different Inland
Revenue divisions, has just been appointed to check up and
see that the Treasury is getting the revenue it is ontitk-d to.
Appeals .\gainst Railway Decisicu'
Ten appeals have been entered to the uuvl-i niiiria
against the award of the Railway Commission in the railway
rates case. The hearing before the Cabinet commenced
yesterday. The grounds upon which variation of the judg-
ment is sought are essentially the same, and one appeal for
all is really sufficient. It is anticipated that the cases will
be consolidated so that the proceedinfrs may be abbreviated
as far as is possible. The most vigorous objections come
from the west, though various organizations in the east are
also protesting. The government has power to .reverse or
vary the finding of the commission, but it has never been
done. The fact that Hon. J. D. Reid, Minister of Railways,
has already pronounced judgment by justifying the award,
and the further fact that the tariffs are now in operation,
inspire considerable doubt as to whether anything will be
done till the new rates have had a try-out.
Huge American Capital Here
That .American capital is coming into Canada at the
rate of two hundred millions a year is an opinion entertained
in official circles in the light of information secured. The
money is not being applied to industry alone, though much
of it goes there, but as well to Canadian securities, general,
provincial, municipal and railway. The fact that ninety
dollars of United States money is the equivalent of one hun-
dred of Canadian is a big factor in inducing the influx of
investment.
According to a statement submitted to a recent gather-
ing here, out of some $275,000,000 invested in the Canadian
pulp and paper industry, now in process of great expansion,
30 per cent., or thereabouts, is .American. Efforts are being
made to induce British capital to become interested in this
industry, but the great obstacle is not the unwilling attitude
of the British investor, but the adversity of existing ex-
change conditions. .\ recent financial statement issued in
New York placed at $524,000,000 the amount of Canadian
loans in the United States in a variety of securities. This
was exclusive of what is invested in Canadian war bonds.
INTER-I'ROVINCIAI. INSURANCE CONFERENCE
At the conference of provincial superintendents of In-
surance, to be held in Winnipeg next week, the following
addresses will be given: — "The Work of the National Con-
ference of Commissioners of Insurance (U.S.)," by a
commissioner; "Regulation by License of Insurance Agents,
Brokers and Adjusters." by V. Evan Gray; "Legislation
Governing Solvency of Fraternal Societies," by Dr. F.
Sanderson: "Hail Insurance." by W. M. Seller; "Uniform
Statutory Conditions for Accident and Sickness Policies,"
by A. E. Fisher: "Model Fire Policy Act." by Charles Heath;
"Farmers" Mutual Fire Insurance," by A. F. Kempton; "Re-
ciprocnl or Inler-insurance Exchanges," by Charles M.
Howell; "Standard Conditions for Automobile Insurance
Policies." by .John B. Laidlaw; "Taxation of Insurance Com-
panies," by C. C. Ferguson; "Uniform Beneficiary Law for
Life Contracts," by H. J. Sims; "Unlicensed Insurance," by
A. E. FLMier; "Uniform Forms for Insurance Company
Returns." by F. L. Monck. There will also be a discussion
on "Government Deposits of Provincial Insurance Companies
for Inter-provincial Business." ■*
October 1, 1920
THE MONETARY TIMES
1&
Bank of New Zealand
ESTABLISHED IN 186 1
Baokers to the New Zealand Gov
lent
CAPITAL
Paid-Up Capital ($13,284,026) and Resene Fund
($12,166,250) $25,450,276
Undivided Profiti 713.039
Agsregate Asselj al 31«t Marcb. 1920 257.500.944
Head Office:
WELLINGTON
NE^V ZEALAND
H. BUCKLETON
General Manager
THE BANK OF NEW ZEALAND has Branches at
Auckland. Wellington. ChristchL rch, Uunedin. and 203 other
places in New Zealand; also at .Melbourne and Sydney
(Australia), Suva and Levulta (Fiji), Apia (Sainja). and
London.
The Bank has facilities for transacting every description
of Banking Musiness. It invites ihe establishment of Wool
and other Produce Credits, either in sterling or dollars, wiih
any of its Australasian Branches.
LONDON OFFICE: 1 Queen Victoria Street, Mansion House, B.C. ,4
CHIEF CANADIAN AGENTS .
Canadian Bank of Commerce Bank oi Montreal
rHoMEBANKc'CANADA'
Government Bonds and Savings Stamps
There is a page in the Home Bank's Thrift Account
Book for entering the date of purchase, amount, and
interest dates on Government Bone's, War Stamps, and
Savings Certificates. The form is very concise and will
preserve all the details for ready reference. Ask for a
copy of the Thrift Book. Distributed free at all Branches.
Branches and Connections Throughout Canada
Head Office and Eleven Branches in Toronto s
THE
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
head ofl-lce. weyburn. saskatchewan
Branches in Saskatchewan at
Weyburn, Yellow Grass, McTaggart, Halbrite, Midale,
GriflSn, Colgate, Paiiginaii, Radville, Assiiiiboia, Benson,
Verwood, Readlyn, Tribune, Kxpanse, Mossbank, Vantage,
Goodwater. Darniody, Stoughlon. Osage, Creeluian and
Lew van.
A GKNl'KAI. KANKIXG BUSINESS TRANSACTED
H. O. POWELL. General .Manager
TH€ MCRCMANTS BANK
Head Office: Montreal. OF CANADA
Established 1864.
Capital Paid-up, $8,400,000 Reserve Fund and Undivided Profits, $8,660,774
Total Deposits (31sl July, 1920) - Over $163,000,000
Total Assets (31st July, 1920) - Over $200,000,000
Board of Directors :
SIR H. MONTAGU ALLAN
Vice-President
Thomas Long
Sir Frederick Orr Lewis, Bart.
Hon. C. C. Bailantyne
K. Howard Wilson
Farouhar Robertson
Geo. I-. Cains
Alfred B. Evans
Thomas Ahearn
Lt.-Col. J. R. MOODIE
General Manager • - D. C. Macarow
Supt. of Branches and Chief Inspector: T. E. Mkkrett
General •Supervisor - - - W. A, Meldrum
A. J. DAWES
Hon. Lorne C. Webster
E. W. Kneei.and
(ioRDON M. McGregor
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice.
395 Branches in Canada, extending from the Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookall, Agenis
London, England, Office, 53 Cornhill : J. B.Donnelly, D.S.O., Manager.
Bankers in Great Britain : The London Joint City & Midland Bank, Limited, The Royal Bank of Scotland
,e T H E M 0 N E T A R Y T I il E S
HANK HKANC li NOTKS CANADIAN BUSINESS FAILURES
Volume 65. '
Kivf New Branches Announced This Week — Twenty-six in
Month of AuKust— Many New Buildings Planned
The followinK is a list of branches of Canadian banks
which have been opened recently: —
Echo Bay, Ont Canadian Bank of Commerce
Toronto, College and Oover-
i.Qurt Bank of Toronto.
Porenlee, Alta Imperial Bank of Canada.
Toronto, Queen and Close Sts.Royal Bank of Canada.
Canora, Sask Dominion Bank of Canada.
The Mikado, Sask., office of the Bank of Montreal,
formerly a sub-agency to Verigin. will be established as a
branch of the bank, giving daily service.
The Canadian Bank of Commerce has purchased the
property at the .south-east intersection of Norfolk and Kept
Streets, Simcoe, Ont.
The erection of a new Bank of Nova Scotia Building at
the corner of Pitt and Charlotte Streets, Sydney, N.S., has
been authorized. The building is to cost $58,000.
Walter G. Lynch, late manager of the Canadian Bank
(if Commerce at Medicine Hat, .■Mta., has been transferred to
Windsor, Ont., succeeding A. E. Taylor, who leaves for
Toronto to become assistant general supervisor.
G. H. Stevens, manager of the Royal Bank of Canada,
at New Westminster, B.C., has been promoted to the position
of assistant manager of the head office of the bank at Mont-
real.
Twenty-Six Branches in .Vugust
Twenty-six branches were opened and three closed dur-
ing the month of August. The following new branches have
not already been mentioned in The Mntirtary TiineH: — St.
Snveur, Que., Montreal; Montreal, Place Viger. Royal; Hali-
fax, Royal; Bay Bulls, Newfoundland. Royal; Patricia, .-Mta.,
Royal; Stroud, Ont., Standard; Glencairn, Ont., Toronto;
Iloneywood, Ont., Toronto.
The following three branches were closed: — Fort William,
Imperial; Lenore, Man., Nova Scotia; Alcomdale, Alta.,
L'nion.
The branches opened were distributed among the fol-
lowing banks: — Royal, '.•; Toronto, l; Sterling. J; Montreal,
.".; Commerce, 2; Hamilton, Home. Imperial and Standard,
'. rnch.
New Buildings i'hinnrd
Royal Bank of Can.ida has let a contract for erection of
II building at Bridgewater. N.S., costing $20,000.
General contract for erection of branch bank for Royal
Bank of Canada at Erskine. Alta.. has been let.
Erection of bninch bank at Monnvillo. .Mta.. is con-
templated by Royal Bank of Canada.
General contract for erection of a $2r)0.000 bank for
Merchnnt.i Bank of Canada at Reginn, Sask.. has been let.
Bank of Hamilton has let contract for erection of bonk
at Tuxford. Sask. Estimated cost. JKi.OOO.
A. D. Lcitch, Bssistnnt manager at the main branch of
thp ftnndnrri BnnV at Vancouver, B.C., has been app<^intcd
„ )n branch of the bank at Regina. Mr.
I , \ J. C. Hutchi.oon. who has been account-
r branch.
I,. Varley has been appointed .acting manager of the
l!:ink of Montreal, at Gir\-in. Sask.; E. S. Shannon appointed
mnnagor of the Bank of Montreal at Kimberley. B.C.: and
.'\. H. Barker appointed acting manager of the Bank of
Montreal at Terrace. B.C.
C. H. St. John, manager of th? Standard Bank at Ix)-
mond, Alta., has been appointed manager of the south side
branch at Lethbridge, succeeding G. F. Bletcher. who has
been manager of the branch at Lethbridj*.
The number of failures in the Dominion as reported by
K. G. Dun and Co. during the week ended September 24,
1920, in provinces, as compared with those of previous weeks,
and corresponding weeks of last year, are as follows:—
Date.
c
O
3
c
a
03
<
0^
1
05
Sept. 24 . .
.. 2
3
1
0
2
4
0
1
0
13
22
Sept. 17 ..
.. 5
8
2
0
2
2
0
b
0
24
Sept. 10 ..
.. 5
8
0
1
0
0
0
0
0
14
5J1
Sept. .3 . .
. . 2
12
0
0
1
0
1
b
0
21
lb
EXCHANGE QUOTATIONS
Glazebrook and Cronyn, exchange and bond brokers.
Toronto, report local exchange rates as follows: —
Buyers. Sellers. Counter.
N.Y. funds 10 23-32 pm 10 25-32 pm
Mont, funds par. par. % to %
.Sterling-—
Demand $3.8450 $3.8550
Cable transfers .. 3.8550 3.8650
New York quotations of exchange on European countries,
as supplied by the National City Co., Ltd., Toronto, as at
September 30, 1920, follow: London, cable, 347V4; cheque,
:M(>VI;; Paris, cable, G.C6; cheque, 6.65; Italy, cable, 4.19;
cheque, 4.18; Belgium, cheque, 7.04; Swiss, cheque, 16.05:
Spain, cheque. 14.67; Holland, cheque, 31.25; Denmark,
cheque, 14.10; Norway, cheque. 14.35; Sweden, cheque, 19.95;
Berlin, cheque, 1.60; Greece, cheque, 10.40; Finland, cheque,
3.00; Roumania, cheque, 2.00.
WEEKLY BANK CLEARINGS
The following are the bank
September 30th, compared with
year: —
clearings for the week ended
the corresponding week last
Week ended Week ended
Sept. 30. '20. Oct. 2, '19. Changes.
Montreal $123,907,264 $1,39,182,392 — $15,275,128
Toronto 94.490.264 88.644,385 + 5,845,879
Winnipeg 7.-).;i3,">,61 1 r.9,96.i,080 + 15,970,531
Vancouver . 17,002,296 13,296,878 -f 3,705,418
Ottawa 17.473,921 13,829,781 -1- 3,644,140
Hamilton 7.372,675 6,483,938 + 888,737
Quebec 6.134,106 5,391,071 + 743,035
Edmonton 4,829,666 4,815,051 + 14,615
Halifax 4,708.581 4,623,741 + 84,840
London 3.170,784 3,326,791 — 156,007
Rppina 4.047.304 5,138,598 — 1,091.294
St. John 3,009,030 2,789,100 + 219,930
Victoria 2,706,857 2,427,374 -f 278,483
Saskatoon 2,.304,816 2,202,250 -f 102,566
Moose Jaw 2,024,663 2,033,748 — 9,085
Brantford 1.402,305 1,292.448 • 109,8.57
Brandon 742,939 974.908 — 231,969
Kort William . 835,115 999,466 — 144,351
Lethbridge 1.016.677 913,062 -r 103,615
Medicine Hat .... 626,124 552,939 + 73.185
New Westminster. 705,064 650,348 -I- 54,716
Pctcrboro' 967,586 890,105 + 77,481
Sherhrooke 1,326.415 919,329 -|- 407,086
•^'*rt'«"er 1,098,534 867,437 -f 231,097
Windsor 3,014.717 2,514,099 + 500,618
Pnnce Albert ... 375.127 446,234 — 71,107
Totals $371,247,441 $365,170,553 -f $16,076,888
Moncton 767,911
October 1, 1920
THE MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(i:STABLISHBD 1S17)
PAID UP CAPITAL -■■*- ---..-$ 23,828,500.00
RESERVE FUND .... C^^4 16,375,000.00
RESERVE LIABILITY OF PROPRIETORS ■ ^|^|^jA f ...... 2382850000
AGGREG.\T£ ASSETS 31st MARCH, 1920 ^^^tftji*--*^'^*^ $377,721,211.00
Sir JOHN RUSSELL FREN'CH, K. BE.. General Manager
351 BRANCHES and AGENCIES in the Australian States, New Zealand Fiii. Papua (New Guinea), and London. The Bank transacts even' description
of .Australian Banking Business. Wool and other Produce Credits .irranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET. B.C., 2.
AiiRNTs: BASK OV .MONTREAL. ROYAL BANK OF CANADA
BUSINESS FOUNDED 1 79S
INCORPORATED IN CANADA 1897
AMERICAN Bank Note Company
ENGRAVERS AND PRINTERS
BANKNOTES, BON DS, MUNICIPAL DEBENTU RES, STOCK
CERTIFICATES, CHEQUES AND OTHER MONETARY DOCUMENTS
Special Safeguards At<ainst Counter{eitinf< Work Acceptable <
Head Office : OTTAWA 224 Wellington St.
BRAXCHKS
i all Stock Exchanges
George Edwakds, F.C.A. Arthur H. Edwards, F.C.A.
H. Percival Edwards W. Pomekoy Morgan A. G. Edwards
T. J. Macnamara
J. C Mc.N'ab
W. H, Thompson
Chas. E. White
0. N. Edwards
\ L. Stevens
Thos. p. Geggie
C. Pekcv Roberts
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORO.N'TO ..
CALGARY ..
VANCOUVER
WINNIPEG.
MONTREAL
CORRESPONDENTS
HALIFAX. N.S.
LONDON, ENG.
CANADIAN MORTGAGE BUILDING
HERALD BUILDING
LONDON BUILDING
ELECTRIC R.MI.WAY CHAMBERS
McGILL BUILDING
ST. JOHN, N.B.
COBALT, ONT.
NEW YORK, U.S A
A Newspaper Devoted to
Municipal Bonds
"THERE is published in New York Ciiy a daily
* and weekly newspaper which has for over
twenty-five years been devoted to municipal
bonds. Bankers, bond dealers, investors and
public officials con.sider it an authority in its
field. Municipalities consider it the logical
medium in which to announce bond offering's.
Write for free specimen copies
THE BOND BUYER
67 Pearl Street
New York, N.Y.
THE
TOROiSTOGEAERALTRUSTS
CORPORATIOiS
Established in 1882, was the first trust company
in Canada. It is absolutely free from affiliation
with other financial concerns — a trust company
confining itself to the business of executor,
trustee or agent and eliminating from its trans-
actions everything of a speculative character.
The total value of estates, etc.. under its admin-
istration now exceeds One Hundred Million
Dollars, one half of which has accumulated dur-
ing the last seven years. All investments made
by this Corporation are restricted to "Trustee
Securities " as authorized by law. The Toronto
General Trusts Corporation solicits the appoint-
ment of Executor and Trustee 'of your Will,
offering these advantages combined with years
of experience in estate management.
A. D. LANGMUIR
Gen. ManaKt r
W, G. WATSON
AsBt. Gen. Manager
Head Office : Cor. BAY AND MELINDA STS.
TORONTO
Branches: Ottawa WInnfpeg Sjslcilocn Vai: ouv
THE MONETARY TIMES
Volume 65.
Protectionist Sentiment Not Lacking in West
K>idi"nce in Hrilish (. olumbia Favours Tariff — Lumber and Fruit
Associations Oppose Open Dooi ^Iniled Farmers Not Free Traders at
Coast— \ ancouver Island Believes Tariff Essential to its Prosperity
JUDGING by cvulcnc" givi'n during the past ten days
before the Tariff Commission in British Columbia, that
province is not at nil in sympathy with tariff reduction. The
commission sat in Victoria on September 22nd and 23rd,
in Vancouver on the 21th and 25th, and in Vernon on the
27th. September 3oth and October 1st are to be spent in
Nelson, the Jth and 5th in Calgary, and the 6th and 7th in
Edmonton. The strongest free trade arguments will, it is
expecte<l, be presented in the two last-mentioned cities, and
in Saskatchewan and Manitoba in the foflowing week.
Victoria a Centre of Industry
Vancouver Island, as represented at Victoria, is strongly
in favor of the present Uiriff. Its reasons are the present
prosperity of the island, the industries of which represent
a capital investment of $500,000,000, with annual produc-
tion of $200,000,000, an annual payroll of $25,000,000, and
21,000 employees. Competition from the Orient was one of
the main grounds for objecting to any tariff reduction.
E. S. Woodward, representing the local Trades and
Labor Council, was practically the only opponent. He urged
the removal of the tariff and the substitution of a land tax.
The speaker said any tariff bore heaviest on those least
able to bear it. He said a family man with twelve children
was penalized. He had to pay twelve times as much toward
the tariff ns the man with one child. Woodward, however,
cxplaineil that his views were not those of the Trailea and
Labor Council. He was speaking ns an inilividual. Queries
discloseij the fact that labor unions in Vancouver Island
support this protective tariff principle.
A. C. Flumerfelt appeared ns a citizen purely, he said.
He thought It his patriotic duty to testify in favor of the
protective tariff principle. Through a quarter of a century
he had watched the development of the industries on the
const. A constant struggle with the ever-present menace of
Yankee competition, and the cheap labor products of the
Orient. He had no interest in protection otlur than as a
citizen. He had no factory products to protect, but he knew
free trade or a mere revenue tariff spelled disaster to all,
ninnufncturcr and labor alike. He could not understaml how
farmers nf the prairies could justify their free trade heresies.
Protcctel industries, ho asserted, supply freight to ki'cp
trnnsporUition routes busy when farm products nre not being
shipped. If it were not so, the cost of freight on farm pro-
duct* would be prohibitive. A farm of .'120 acres, he said,
supplied annual transportation revenue in freight and pas-
senger rates of $750 in Canada. He added that farmers'
cattle bring a better price in the Cnnailian west than the
western Yankee <^ranger receives.
J. C. Pindrny, for the paint nnri oil industries, sub-
mitted figures showing that these products sold cheaper in
Cnnnila thnn similnr products of Yankee factories snld hnre
or in the UniU-d States. W. F. H. Thonn
be dangeroui for Canada to have free ti
leciprocal with the United States, and e\<
believe Canadian c.ipitnl would invest in f.ii.lDru.^ ;o jno-
niot" its exports into the I'nited States since the invest-
ment In that direction mifhi »•■ .i.-.tr.w..,i >t «in i.. ti,..
United State* Rovcmmt i '
Protcelion (or Limihrr I rgcd
The lumber industry presented a strong case for proter-
tion in Vpncouver on SrptomhiT 24. J. '^'■'" '
Viosirleiit nf (do Priti^h Coliiniliin Lumber ;
f.Tctunis' .■\e..«oi:i,'iti<in. .-KlnntttHl that the <■
industrj'i having water transportation, could riMnp'.'.L :n !!ic
markets of the world more or le«s on even terms, bit he
clainle^^ that protection was absolutely essential on thi,
ground that only 30 per cent, of the standing timber couU
be sold in foreign markets because the demand hitherto ha:
been chiefly for what i.s known as "merchantable timber,',
capable of being worked over by foi-eign mills for the needs
of their respective markets. If the foreign demand were tc
increase beyond the 30 per cent, of the present productior
it could not be met unless the domestic demand also in-
creased to take up the 70 per cent, surplus unsalable at pre-
sent in foreign markets. Of that surplus 55 per cent, was
common lumber not considered good enough for the foreign
market. It was not feasible to send the finished kiln-dried
product to Australia or other markets, because in the holds
of ships it would absorb moisture and break up. To run the
business economically there must be a market for all grades
produced.
The advisability of meeting the .Australian government
more than halfway in securing a preferential tariff arrange-
ment by which their products would have an advantage over
foreign goods was strongly advised. Twenty-six thousand
of the 101,000 wage-earners included in the British Columbia
Workmen's Compensation .A.ct gain their livelihood directly
from tlie wood manufacturing industries of British Columbia,
earning more than $31,000,000, or more than a quarter of
the whole. Of this amount $1,200,000 goes to workers in box
factories, sash and door factories, planing mills and wood,
workin'pr industries. The balance was divided as follows in
191!) among the workers: Logging, $12,635,910; sawmilling,
$9,764,419; shingle mills, $2,522,730; logging railways,
$1,722,630. and paper mills, $3,163,335. This total would be
increased 10 per cent, if clerical staff, travellers and others
were included. Of the nine hundred billion feet of standing
timber in Canada Mr. McCormack estimated 40 per cent, to
be in British Columbia. Of the four and a half, billion feet'
sawmill cut last year, 36 per cent, was produced by British:
Columbia.
Seventy per cent, of the product entering into ordinary
construction was not protected. With this advantage
United States mills had sent into the four western provinces
an amount increasing from one hundred and fourteen mil-
lion feet in 1910 to three hundred million feet in 1912. In
answer to Sir Henry Drayton he admitted that last year thi*
had dwindled down to twenty-seven million feet, but he
feared that what happened in the three years mentioned
might occur again if a period of depression took place in
the United States markets.
Farmers Suggest Permanent Board
The United Farmers of British Columbia appeared be-
fore the commission, their views being in substance as fol-
lows : —
(1) That free trade and protection offer an intermin-
able rase for counsel on both sides. (2) That it is impossible
for anyone who takes the trouble to study both sides to
niake out a good c.is- for either. (3) That the injection of
the tariff into the political field is a lamentable but ap-
parently nece-=sary evil, owing to the facility it offers for
raising revenue, and its appeal to self-interest. (4) That
It IS the abuse of the privileges accorded by either which,
^^"V "tL" *° """"-^ °*'^'''" '^'■'"<^'Pl«s. causes most controversy.
(■•) That m all countries which have a large surplus of
food products for export the producer or farmer is naturally
■ free trader in all his surplus products. (6) That in
'osr countries that import a large quantity of food pro-
!>ict=. most nf which can hr produced in the importing coun-
try, the farmer is naturally a protectionist. (7) That, in
consequence, no comparison between such countries as Great
October 1, 1920
THE MONETARY TIMES
^^erungTrusts Corporation
Experience and Judgment
are necessary to the efficient management of any
estate.
Our broad experience in these matters assures
estates or trusts placed in our care efficient atten-
tion and mature judgment, resulting to the profit
of such clients.
Q3]l_H^D0fF^^
Remem
ber Your Family
nd sa(eguat
d them from misunderstandings by
'
ommat.nga
s Executor and Trustee of your Estate
THE
CANADA
PERMANENT
TRUST COMPANY
Paid
-up Capitn
TORONTO STREET
$1
000,000
DIRECTORS:
TORONTO
W. G. Gooderham
Col- A. B. Gooderham
F. Gordon Os'er
E. R.C. Cla
R. S Hudson
J. H. G. Hanarty
GeorBe H. Smith
kson Gcorse W
John Massey
John Campbell. S.S C.
William Mulock
.Allan. K.CM.P.
Manag
r. Ontario Branch: A
E. Hcssin
A. J. Pattison Jr. & Co.
.Members
Toronto Stock Exchange Montreal Stock Exchange
Specialists Unlisted Securities
IDS BAY STREET - - TORONTO
WESTMINSTER TRUST COMPANY
The- OlJt-m Provincial Trust Company in B.C.
Head Otfice - NEW >VESTMINSTER. B.C.
GENERAL FINiiNCIAL AGENTS
AdmimtitraUn. Rtctivtn. Extnton. Litmidaton. Axsigmtts. TrajlMi
E. A. KI UDELL. M.inaRcr
H. H. CAMPKIN
Insurance, Loans, Bonds, Debentures and Real Estate
Agent for Canadian Pacitic Railway Co. Lands. Canada North
West Land Co. Lands. Hudson's Bay Company's Lands.
REGINA, SASK.
The Security Trust Company, Limited
Head Office - - Calgary, Alberta
Liquidator, Trustee, Receiver, Stock and Bond Brokers,
Administrator, Executor. General Financial Agents.
W. H. CONNACHER Pres .ind Managing Director
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
Canadian Financiers
Trust Company
Head Office
Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for iiivtslment in all classes of Securities
Business Agent for the R. C. Archdiocese of Vancouver.
Fiscal Agent for B. C Municipalities.
Inquiries Invited
Df-ral tliiniiEcr LI<'Ul.-<ol. ti. II. UWilRELL
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
INDUSTRIAL SECURITIES
300 Nanton Building, Winnipeg
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acts as Executor, Adminiilralor, Trustee, Guardian, Liquidator
A»i{nce, ao<l in any olber fiduciary capacity.
Official Administrator for tlie Norlbern Judicial
District and the Dauphin Judicial District in
Manitoba, and Official .Assignee for the Western
Judicial District in Manitoba and the Swift
Current ludici.il Districl in Saskatrliew.iii.
Branch Office • Swift Current, Saskatchewan
JuH.N" K I.ITTI.H. Managing Director
THE MONETARY TIMES
Britain and Canada on the general principle is possible
or profitable. (8) That whatever changes are made in the
tariff affect the revenue of the country, and that any reduc-
tion in the revenue must be made up from other sources.
The United Farmers are in sympathy with and fully
endorsi- tho resolution as passed by the Fruit Growers'
Executive on August 17, which is as follows: —
"That it is the opinion of this executive that, as a pro-
tection against the resumption of dumping of foreign fruits
on the C»na<lian market at less than cost of production,
which we consider as certain to recur, the retention of a
sufficient duty on fruit be suggested at the coming hearing
before the Tariff Commission, and that Messrs. Laidman and
Winslow he requested to represent the fruit-growers be-
fore the commission.
"That among the fruit-growers, the Okanagan producers
depeml almost entirely on apples as the major portion of
their revenue.
"Recognizing the foregoing facts, and taking into ac-
count the tariff already imposed upon certain agricultural
products, also recognizing that the tariff affects the whole
country, and is a matter of continual controversy and pre-
judice to the detriment of the people as a whole;
"Als^o that it is Inconsistent to demand protection in the
particular commodity in which a community or association
is interested in producing, and free trade in machinery, etc..
necessary to such pro<luction;
"Therefore, the United Farmers of British Columbia
recommend that a Tariff Board be appointed similar to the
Railway Board, and that the farmers be represented thereon.
"With a view to meeting any possible retluction in
revenue which may arise from the revision of the Uiriff, the
United Farmers of British Columbia further recommend
that the Tariff Commission consider the possibility of raising
revenue from the protected manufacturing industries by im-
posing on such industries a pro rata tax on their net pro-
fits, ciiual to the amount of protection afforded, as the United
Farmers of British Columbia consider that in granting pro-
tection to any industries tho people of Canaila 'ipso facto'
become partners in that industry."
Fruit Growers Want rrotection
The attitude of the British Columbia Fruit Growers'
.Association was outlined at Vernon by R. M. Winslow.
formerly provincial horticulturist, and W. F. Laidman, a
fruit grower. The growers want the western Canada market
mnintJilned as their special preserve in order that with the
constant encouragement of a large market at stable prices
the rapidly developing industry may not 1k> discouragi-d as
It would t«> if the lower grade apples of Oregon and Wash-
ington could be sold In years of over-production at below-
cost, as happened from I'.tlO to 1'.I14, because over-produc-
tion in the northwestern states demoralized their market.^,
and brought about bankruptcy conditions.
United States apples, stone fruits and berries were
(lumped on the Canadian market, and the prairies, not
educated to see the difference, would not pay more for No. 1
British Columbia apples than the "C" grade of Wa.«hlngton
growers. Tho British Columbia acreage' and production
wen' rwlured at a time when their logical market was
expanding. When tho Dominion government raised the duty
on apples early in 1910 from IH 1 3 ccnU to 30 cents a box,
pro<lui'tion brifan to mount; since then the huge acreaie in
the northwestern states ha<l been reduced to less than one-
third, the farmers turning mainly to the irrowing of alfalfa,
dairying and mixed farming.
DOMINION GOVERNMENT SAVINGS BANKS
Deposits in the Dominion Government Savings Banks
for the month of August, 1920, amounted to 5145,393, as
against $182,G22 in the previous month. Withdrawals were
5198,885, being some 53,000 lower than in July. The fol-
lowing are the figures: —
llaniloba :—
Winnipeg
aritiih Columbia —
Victoria
Prince Bdveard liiand : —
Chariot tetown
V«tt» Brunswick:—
Newcastle
Transfer
St. John
Nova Scolia
BarrinAton
Ouysboro'
Halifax
Kentville
Lunenburg
Port Hood
Transfer
Shcrbrooke . ..
Totals
Deposits
for
Aug. 1920
21.796.3'/
21,464.00
1.110.141.39
1,793.295.42
65.710.46 4.269.I06.S8
300.00* 70,340.84
1. 019.00 78,913.29
23..176.8SI 2,319.835 10
4.i85.00 247,173.76
1.078.00 404.947.26
975.00 67.342.1
I45J93.66 10.8C6,593 63
Withdraw-
aU for
Aug. 1920
16.651.52
39.030.43
Balance on
Aug. 31,
1920
9 cts.
434,180.04
l,093,48S.87
1.754.264.99
88,440.99 4,180,665.99
102.69 70.238.15
MSM' 78,568.29
35,»4.S.U 2,283,891.96
3.480.^4 243.6932^
2.530.37J 402,416.89
1.043 81 66,'i98.30
198,885.93 10,607,707.70
POST OFFICE SAVINGS BANKS
Withdrawals from the Post Office Savings Banks in
June, 1920, amounted to 51,034,304, being nearly 5500,000 in
excess of deposits, and accordingly the balance at the credit
of the depositors was reduced. The following are the. figures,
as given out by the Department of Finance, Ottawa: —
/Kmllius Jarvis and Co., investment bankers and stock
brokers, Toronto, has been organized into n private company,
to be known as ^milius Jarvis and Co.. Ltd.. incoiTiorntc<l
under the Ontario statutes. The officers of the new corpora-
tion, comprised of men who have been associated with the
former firm for some time, are as follows: — President,
/■Kmilius Jarvis; vice-president, j^milius Jarvis,. Jr.; general
manager. H. G. Pepall: secretary-treasurer. D. F. M. Sykes.
COB.VLT ORE SHIPMENTS
The following are the shipments of ore, in pounds, from
Cobalt Station for the week ended September 24th:—
O'Brien Mine. 64.000; La Rose Mine, 82,594; Mining Cor-
Sr^oro" Z{ Canada, 192.930; Nipissing Mine, 325,734. Total,
655^58. The total since Januarj- 1st is 19,475,021 pounds, or
9,737.5 tons.
October 1, 1920
THE MONETARY TIMES
The Dolleu* You Spend Now
is worth but 50c. The dollar saved now will be worth IPOc. Today
is the time to save.
The way to save is to open an account with the
UNION TRUST COMPANY
No formality or red tape. Interest at 4% is added reRuIarly to your
account, and cheques may be drawn against it.
Our location is convenient ijivc car lines t^uss
our corner', and our service will please yai.
Union Trust Company, Limited
HENRY F. GOODERHAM. PrMid..nt
TORONTO - - Cor. Richmond and Victoria Sts.
WINNIPEG. MAN. LONDON. ENGLAND
i% on Savings — Withdrawable by Cheque 46
The impartiality of the acts of a TRUST COMPANY .ind its freedom
from improper influences are some of the adv.intat;^- offered in
The Management of Estates
We will gladly discuss this matter with you.
CAPITAL, ISSUED AND SUBSCRIBKD . .Si. 171, 700.00
PAID-UP CAPITAL AND RESERVE 1,172,000.00
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE: WINXIPKG, CAN.
BRANCHES :
THE BANKERS
TRVST GOMB\NY
Head Offices: MONTREAL
Authorized Capital
$1,000,000
President -
SIR H. MONTAGU ALLAN. C.V.O.
A. J. DAWES
JAMES ELMSLY
C. D. CORNELL
Vice-PrcsiJenIs -
D. C. MACAROW
General Manager
Secrelar))
Sir H. Montagu Allan,
T. Ahcarn X.V.O.
C. L. Cains
A. 1, Dawes
A. B. Evans
David N. C. Hogg
J. M. Kilbourn
Directors:
I. D. G. Kippen
W. B. Leitch
Sir F. Oir Lewis. Bar
Thos. Long
D. C. Macarow
W. A. Meldrum
F. E. Meredith. K.C.
T. E. Mertcit
Lt.-Col. J. R. Moodie
Farquhar Robertson
Hon. Lome C.Web.te
F. Howard Wilson
Edwin H. Wilson
John Wilson
Offices now open in Montreal, Winnipeg,
Calgary, St. John, N.B.. Halifax, Retina,
Vancouver, Victoria and Toronto.
Premises in Merchants Bank Building in each city
Burning the
Nation's Wealth!
Every hour of the day and
night THE TORCH OF
CARELESSNESS brings
destruction to somebody's
property in Ontario.
The Work of Fire Preven-
tion should appeal to every
Banker, Merchant, and
Manufacturer who wishes to
preserve the continuity and
non-interference of his busi-
ness.
The average fire loss for the
last three years in Ontario is
over One Million Dollars a
Month. AS A CONTRI-
BUTOR to the payment of
this enormous sum, have
you tried to STOP IT?
Special effort should be
made during FIRE PRE-
VENTION WEEK, October
9, to remove all Fire Haz-
ards and take every possible
precaution to Prevent Fire.
CLEAN UP
accumulations of waste material,
rubbish, boxes, and conditions
that create disorder.
The high cost of fires accelerates
the high cost of living.
Fire Prevention is inexpensive.
Ontario Fire Prevention League, Inc.
IN AIIM.I \II<.)N \MII1
THE ONTARIO FIRE MARSHAL'S OFFICE
TORONTO
THE MONETARY TIMES
Volume 65.
lUK ( OSI Ol I IKK INSnCANCE
Soint- Dffects in the fiuNiness Which are InequitabU' to llu-
Honest Insurer — Method of I'ayinK \i,'i-nl-. Inrn-M-rs
Itiskx
By "Layman"
IN' Canada, in 1919, the fire insurance premiums paid by
the insured were $39,914,398. In the same year the in-
sured received $16,(542,172 in payments for losses. They paid
$23,272,226 in premiums more than they received in return.
But that was the result in a year more than ordinarily favor-
able to the companies. Let us take a wider view, coverinK
fifty years.
In the years 18G9 to 1919, inclusive, the total of pre-
miums paid to the fire insurance companies by the insured
was the larec sum of $322,069,24.5, and the total payments
to the insured for fire losses were $190,034, 77r>. The total
excess of premiums over payments for losses was $132,634,-
470, makinpr an average of $2,Gr>2,G89 per annum.
In the forty-one years, 1878-1918, inclusive. 58..">G per
rent, of the fire premiums were paid for losses. Let the
above-stated facts sci^'e for my text, and also for a reason
why so many honest persons whose property is insured are
inquiring into the cost of fire insurance. They want to know-
just what they are payinj: for, and why. They realize that
their money Koes to pay for very many losses caused by
criminal insured persons and for many more losses caused
by more or less criminal carelessness.
My own experience and observation in city and country,
residinpr for terms of years each in .St. John, Ottawa, Monc-
ton and Charlottetown, greatly impressed upon me the
gravity of the moral risk in fire insurance and the tremen-
dous importance of carefulness and watchfulness in pre-
ventinK fires in the home, the store and the factory. Once
in ray younger years, while livinR in a prosperous farming
section of New Brunswick, where I knew almost everj-body,
I took on an agency for a sound fire insurance company, and
(luring three years secured a goodly number of risks, in one
small community of some thirty or forty fanners, all of
approximately equal possessions and very thrifty and careful,
I met a "prospect." He listened to my story of the great
dangers from fire and lightning and then asked me a few-
questions. Did I think that he and his neighbors ought to
insure their farm buildings, paying an average of about $10
each yearly? Yes. It followed that they ought to have been
insured long ago — from the beginning, in fact. Well, yes.
All these farms were settled over eighty years ago. Would
I kindly figure up just what they woulil have paid had all
been insured? Somewhat reluctantly I made the calculation.
"A big sum to pay," he .said, and added, "I am an old man
now, but speaking from what I personally know and what I
learned from my father, there has not been a house or a bam
burned in this settlement in eighty venral" Such was the
fact.
Honesty Was Nni Rewarded
1 gave up my fire insurance agency. The general agent
wrote me, and later came to see me, urging me to continue.
"Wliy," said he, "you have made a record. In all your risks
we have not had a loss in three years." I told him w-hy that
was: I insured only careful an<l honest people, eliminating
the nii>r!il risk. How great are the risks from carelessness
and dishdiiesty in fire insurance we shall never know, but
they are enormous. Of course, no company willingly pays
such losses, but there is often the strongest ground for sus-
picion, coupled with the greatest diffirulty in obtaining proof
of the secret crime.
My grandfather, my father, myself, or any one of my
grandfather's numerous tribe, so far nf I have been able to
learn, never lost a building by fire, although I have carried
fire insurance for fifty years past. Many of them, like my-
self, have long been (wying for fire insurance. The courteous
reader will, I trust, pardon these pemonnl and sopmingly
egotistical references, but they 'to
show why many persons have lat,
under the present system, the li- ; oci-
ally in cases where their properties are isolated, do not get
value for the money they pay in premiums. 1 am fully satis-
lied that they do not get half their money back, although
something should be allowed for the greater sense of security
they enjoy.
From the standpoint of the insured, the business of fire
insurance as now carried on is needlessly expensive. The
competition of scores of companies and the eagerness to
secure new business leads to the insuring and continuance
of many risks that should not be written. The payment of
agents and solicitors by commission on the business secured
ought to be abolished. This applies to both fire and life in-
surance. While the great majority of such agents and em-
ployees ma^- be admitted to be honest, there are too many
exceptions where, under temptation, one agent or company
will take a very doubtful risk refused by another, or where
a soliciting agent acts in collusion with a dishonest applicant
in order to pocket a commission. For the losses incurred in
the manifold transactions of this sort honest insured persons
have to pay to the tune of millions of dollars.
There has been a tremendous propaganda carried on by
scores of insurance companies and by an army of their agents
in personal canvass, by the dissemination of advertising lit-
erature in leaflets and through the serial press to induce
everybody to insure their property and their lives, with the
result that at the close of the year 1919 property was covered
against loss from fire to the amount of $4,523,514,841 and
human lives in Canada w-ere insured to the extent of $2,187,-
833,396. The propaganda to w-hich I refer which has pro-
duced such astounding results has been from the first almost
entirely one-sided, simply because most of the insurance
journals decline to publish anything unfavorable in regard
to the subject that is written from the viewpoint of the in-
sured. Most of the leading daily newspapers are in the same
box, as, I presume, because the insurance companies are very
liberal advertisers and patrons.
Surely the time has come to terminate such narrowness
and let both sides be heard. I believe that fair public dis-
cussion, pro and con, by both insurers and insured would be
found to be healthful and profitable to all concerned, and
that it is the one thing most required to bring about much-
needed reforms. I write this letter, fully cognizant of my
own inability to do justice to the subject, and in the hope
that among the millions of insured persons some others much
better informed and more capable may follow it up.
MOTOR IMON INSURANCE COMPANY
A very good year was experienced in 1919 by the Motor
L'nion Insurance Co. .-Vt the annual meeting held in London.
Eng., on July 14, the chairman, C. H. Dodd. pointed out that
in this, the first post-war year, premiums had risen from
£134.847 in 1918 to £423,346 in 1919. That was a large
increase, he said, but the account w-as in a very satisfactory
condition, and from it they had been able to transfer £31,414
tr the credit of the profit and loss. The personal accident
.ind employers' liability accounts showed figures that were
generally satisfactory. With regard to the general insur-
ance account, which represented, chiefly, the motor insur-
ances in which the company specialised, and w-hich had been
the backbone of the business since its commencement, that
account followed the course which had been fully expected.
Premiums have risen from £227,878 for 1918 to £468,833 for
1919. That very large increase was due to the fact that
motoring had become general again directly the armistice
was signed, but. unfortunately, though not unexpectedly,
instead of a profit to transfer to the profit and loss account
there was a loss of £49,178. That loss had been fully anti-
cipated by the directors, because it was quite obvioiis that
pre-war premiums were absolutely inadequate to meet the
additional cost of repairs and the general additional ex-
penses of post-war conditions. Since the 1st January the
premiums had been raised by 20 per cent., and in April thev
were raised by a further 30 per cent., and on this latter
basis It was hoped that the accounts, next year, would show
a fair and reasonable profit on that business.
October 1, 1920
THE MONETARY TIMES
INVEST YOUR SAVINGS
in a 51^% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital $2,412,578.81
Reserves 964,459J9
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Reglna, Calgary,
EdmontOD, Vancouver, N'ictoria ; Edinburgh,
Scotland,
Dollar by Dollar
is the way some people save, and many succeed in building
up substantial accounts. It is well worth the effort to save,
even in a small way. as it is a well-known fact that saving
money increases one's productiveness.
Your savings will be safe with this old-established institu-
tion, and you will receive interest thereon at
THREE AND ONE-HALF
per cent, per annum, paid twice each year.
Canada Permanent Mortgage Corporation
TORONTO STREET
Established 185S
TORONTO
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
.Masonic Temple Building. London. Canada
Interest .it 4 per cent, payable half-yearly 011 Debentures
T. H. PtJRDOM. K.C.. President NATHANIEL MILLS. Hananer
The Hamilton Provident & Loan Society
Head Office, King Street. Hamilton. Ont.
Capital Faid-ap, (1,200,000. Reserve Fnad and Siirplui
Fruflts, tl.280,670.69. ToUl Assets, $4,764,819.21.
TRUSTEES AND EXECUTORS are authorized by Law to invest
Trust Funds in the DEBE>rrURES and SAVINGS DEPARTMENT
of this Society.
GEORGE HOPE. President D. M. CAMERON. Trcuurcr.
^"^ Ontario Loan
& Debenture Co.
LONDON Incorporated 1870 Canada
CAPITAL AND Undivided Profits .. $3,9()n,000
511
SHORT TERM (3 TO 5 YEARS)
DEBENTURES
YIELD INVESTORS
5^1
JOHN McCLARV. Presiilent
A. M. S.MAKT. Manager
r^VER 200 Corporations,
^^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Quarterly Dividend
Notice is hereby Riven that :i Dividend of Two and onc-iiu.irter per
cent., being at the rate of Nine per c«nt. per annum, upon the paid-up
Capital Stock of this Company, has been declared for the current
Quarter, and that the same will be payable on and after l«t Orlobcr.
I'J'iO. to shareholders of record on the books of the Company at the
close of business on 15th inst Uy Order of the Board.
Toronto, 2nd September. \mO WALTER GILLBSPIB. Manager.
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
Particulars on application.
The Canada Standard Loan Company
S20 Mclntyre Block, Winnipeg
ACCOUNT BOOKS
LOOSK I.EAF LEDOERS
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Streets
TORONTO
IRON MINE
FOR SALE
- in lli'-
COUNTY OF RENFREW
Near Perth
r». report of oss
etc.. apply
For full p.irliruli
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAY and MELINDA STS.
TORONTO
THE MONETARY TIMES
Volume 65.
THK ri.\A.\( IN(; Ol lUUK.MKlN SCHEMES
AlbiTla Government has Pursued Safe Course in Refusing
I'rorincial Ciuurantee — Lands are Privately Owned,
and Owners Would Benefit
By Angi's Lyell
IRRIGATION is becoming quite a live issue in Alberta,
especially in the southern part of the province. This
i>< due to the essential need of irripation in several large
districts and the difTiculty of financing rural projects with-
out government guarantee. Damage is often caused by
violent windstorms, in addition to lack of moisture, and in
some parts there is now a new slogan: "irrigate or emi-
grate."
At the last session of the legislature, measures were
passed which would enable the residents of the dry districts
to form local irrigation boards to plan irrigation schemes.
One such scheme — the Lethbridge Northern District — was
authorized, and the legislature agreed to help the venture
by providing a sum equal to two years' interest on the
bonds sold. This was done to help finance the project during
the period of construction. But the management now find
that it will be difTicult, if not impossible, to dispose of the
debentures except at a heavy discount; and Premier
Stewart adheres to his decision that the province cannot
guarantee the issue. Hence, the agitation which is makini;
the question of irrigation a more or less live issue.
Private Irrigation Works
That there is nce<l for irrigation in several <listrict.>;
cannot be questioned. Crop failures for three years in
succession, due to lack of moisture, are ample proof. And
that irrigation is feasible in certain areas has been proven.
Over 6l)0,0;)0 acres are being irrigated by the Canadian
Pacific Railway Company between Calgary and Medicine
Mat. while north-east of Ix-thbridge the Canada Land and
Irrigation Company has works in course of construction
which will irrigate about 200,000 acres. Then there are
several small projects having a total area of about 150,000
acres. If the schemes cont^-niplated materialize, there should
."oon lie an irrigable are.i of over 1,500,000 acres in southern
Alberta, a." estimated by George G. .\nderson, an irrigation
enirinet'r, in an address given recently at the fourteenth
nniiuni convention of the Western Canada Irrigation As-
sociation held in Lethbridge.
Concerns such as the Canadian Pacific Railway Com-
pany and the Canada Land and Irrigation Company, own-
in" Iriret- trn'-tv (if }:'Ti-\ nni\ bnvintr rapitnl nvniliblo, rnr\
iicre. Siii'ii develuiinielil i.-* it piulilable cnlvipii^i-. ll i?
part of the business of these companies.
Finnnrine in Sctlled Ilinlricta
I- differtnt in tlie case of settled district."!, where
ll'ere are a number of small landowners. The need of irriga-
tion thr-re •« t-'^fntr-r, htit the problem f? hnw i-:i'i iry srhemc
■n of the All. H the
"f private inics
^nrious ili.^l: ords.
'he legiiiliilurc tells the farmers to hand themselves together.
plan their own irrli?ntion work*, onH do their own financing,
■■' - i-f to certain ' . . ' ,rif,p
nif ruction )■ '.eth-
Xorlhern I ■ pro-
'I'cil'.d along these hiu-5. .iiui i., su.'U .iliiioal ;ii k:.,iwli .lirun-
'lefeat in ability to market it." debentures to adv.Tnt:ii:'
That there should be a demand on »'" I.-- ■,,, t>i
truarantre the bonds is but natural. But i^ i vnrt
far wronp in r<-fu«ine »o Ho •o? If tho lof"^ itoes
■ ■ ' ' ike-
In
. and
the area where irrigation may be claimed is vast. The whole
project might, and likely would, be beyond the resources of
the province.
Land Owners Will Benefit
It is all very well to tell us that had there been irriga-
tion in the Lethbridge Northern District last year, the yield
would have e.xceeded seven million dollars, as compared to
practically nothing, and that the value of the land would
have increased from about thirty to one hundred and fifty
dollars an acre. Who would have benefitted most by this?
Why, the owners of the land — the farmers themselves. If
title to the land was vested in the province, then the legis-
lature might fairly and profitably embark on approved
irrigation schemes, because the people as a whole would
benefit thereby. But with private ownership in land the
case is entirely diflFerent; and, I think, Premier Stewart is
quite right in the stand he has taken. It would just be as
equitable for a man to open a law office and to expend what
capiUil he had while waiting for a practice and then, when
he found he could not develop a paying clientele, for him to
make a demand on the legislature for compensation, as for
the farmers in certain districts to demand the province to
guarantee their irrigation bonds. If there is responsibility
for the settling of the land, it rests on the Dominion govern-
ment. Experts at the time advised against settlement in cer-
tain dry areas.
The important thing at present is to test the Leth-
bridge Northern District project. If this can be developed
successfully, it will be much easier to handle others. Capital
is required. How best can this be obtained? Much attention
was given at the recent convention in Lethbridge of the
Western Canada Irrigation .Association, to the feasibility
of irrigation in certain areas, to soil drifting and its pre-
vention, to the history and pro.vrress of irrigation in the
province, and to the estimate cost of, and results to be
obtained from the Lethbridga Northern District scheme;
but on the matter of financing it was pretty much a case of
holding up one's hands unless the provincial or Dominion
government came to the rescue. I think it would have been
useful to have had one or two financial experts, practical
men and not university lecturers, give their views on how
such undertakings could best be financed without govern-
ment aid. We are not yet mere communal children.
GOVERNMENT CURRENCY
Dominion notes outstanding at August 31, 1920, amount-
ed to $292,08C.02C, as compared with $20n,541,399 at the end
of the previous month. Gold held for the redemption of
these notes totalled S9.^, 18:5,753. as compared with $95,510,-
.'18:', at the end of .luly. The complete statement of all gov-
ernment currency, as at the end of .'August last, follows: —
27.74S K
1. 274.490 «7
IS.rW.ilS 50
St.OSI 00
s.ons,.')io 00
S.WHI 00
iTM.aao 00
) BiT.OOO 00
79.00l> 00
1.4«7.000 00
.•II.S.R4.1.000 00
Js.iUO.OOO 00
^I.ouu
t.voon
$292,086,025 92
3 11.293 SO
fi.OGII 00
4.219 75
2.1R0 00
840 00
fM 00
2.500 00
Ikild held \ii<. 3l!>t. 1920. bv the M
Gold r«!wr\x to b« held on Savini:
10 PC on 940.449.909. 19 under T
Gold held (or radcmi
Dominion Nnt«< out
itif*. urder F.n.i
tion of Dominii
^tandtns acain?.
r.T .\ct. 1914
n Notes « 95.183.753 ?9
deposits o( approved secur-
J13S.437.I25 00
October 1, 1920
THE MONETARY TIMES
25
The Cost of Smoking
Do you know that the cost of your
two or thi-ee cigars— say a quarter a
day — will maintain about $4,000 of
life assurance for a man between 25
and 30?
You can afford to smoke, sure ! But you
can also afford an Imperial Life Policy to
provide for your wife and little ones should
death call you suddenly. For particulars
WTite to
THE IMPERIAL LIFE
Assurance Company of Canada
HEAD OFFICE - TORONTO
ESTABUSHED 1879
Alloway & Champion
Bankers emd Brokers
Member, ot Winnipeg Stock Exditnge
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchanges
TheD
ommion
Bank
ESTABLISHED 1871
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
Lake St. John Pulp & Paper
Company, Limited
(Incorporated under the Comp«nic«' Act of the Dom. of C«n.
Authorized Capital, $4,000,000
20,000 Share, of 8 Cumulative Non-participating Preferred
Stock 20,000 Shares Common Stock.
A Wonderful Opportunity
for Investors —
Canada's great timber reserves and
wonderful water powers, and the
continued growth of our Pulp and
Paper Industry.
The Lake St. John Pulp & Paper Company, Limited,
hat vast pulpwood area* in the heart of a thickly
populated country, cloie to railways and water route*,
unlimited water power* of it* own and great pulp-
wood tract* of land to draw from for many year* to
come.
The Lake St. John Pulp Syndicate, having under-
written *ome of the atock of the Company, they are
now offering it to investor*. It i* one of the be*t and
mo*t attractive offering* made for many year*.
Write or 'phone for particulars to the
Lake St. John Pulp Syndicate
Room 8-157 St. Jame.s St.. MONTREAL
THE MONETARY TIMES
Cost of Banking Operations in Canada
Like the Merchant. Bank .Must Have Stock in Trade-
Outstanding Checks, Which is a Loan to Public. Off-
sets Circulation — Other Elements in Banking Costs
By A. B. BARKER
A RECENT article on rural credit associations in Manitoba,
ill the Grain Growern' Guide, stated, very temper-
ately, the farmers' arguments for lower than market rates
on loans to them through these associations. These are,
shortly, that the loans are safe, and that the margin be-
tween the :i per cent, paid by the banks for deposits, and the
rate of 6 per cent, on loans asked by the farmers, should be
sufficient to give a fair profit. The banks' side of the matter
was ignored entirely, and no credit was given them for the
great services rendered through the network of branches, all
over the western provinces, and the fact that many of these
branches do not return a profit over expenses, for the first
couple of years. The desire for lower rates is natural, but
in pressing for the reduction, it is only fair to look at the
other side of the argument.
Most of the misunderstanding comes from a lack of
appreciation of the functions of a bank. True, a bank
charter gives privileges, but it can hardly be denied that
these privileges arc fully earned, through the services
rendered to the community.
A Loan Without Interest
In reality, a bank is a merchant in credit. It does not
manufacture it, except to the extent of its circulation up to
the amount of its paid up capital, and this, of course, is a
loan from the public to the banks, the only direct expense
being the cost of the notes. It is not generally understood,
however, that the banks provide a standing loan to the
public, through the cheques on other banks, held by them
over night. In December, the notes in circulation were,
roughly, $232,000,000. Against this the deposit in the gold
reserve was $125,000,000, leaving $117,000,000. which may
be considered free circulation. Against this liability a re-
serve must be carried of about 25 per cent., so that the
actual free circulation is about $9.").000,000. On the same
date the amount of cheques on other banks, according to
the government return, was $145,000,000. This is as much
a loan by the banks, as the circulation is a loan by the
I'vublic, and is more than an offset to the circulation.
As a merchant, the bank buys credit from its depositors,
and sells it to its borrowers. Like other merchants, it must
carry on its shelves stock in trade, and while this stock is
on the shelves it returns no profit, but it must be held in
order to do business. In the case of the bonk this stock in
trade is called the ca.th reser\'e. In some countries, notably
the United .''tatc.'f, this cash reserve must equal 12 to 18 per
cent, of the deposit.s, according to the locality, by law. This
i.s the minimum, and when it gvts down to this figure the
Vankers jrct nervous. In Cnn.nda no legal reserve is re-
quired, but on adequate amount of cash must be held never-
theless. In the Docenibor return, .itready referred to. thi'
current liabilities of the Canadian banks amounted to: —
Due to Dominion government
Due to provincial government .
Duo to public on demand
Due to public after notice
Due to public nbmnd
Due to banks in Great Britain
Due to hanks clsewhci>
Bills payable
M .000,000
The deposits payable on notice are, in practice, payable
on demand, so that all these liabilities may be considered
jiayable on demand.
Quick Assets Over Fifty Per Cent.
The total assets of the banks were $2,967,000,000, but,
the immediately available assets, the stock in trade, were as
follows: —
Specie $ 80,000,000
Dominion notes 172,900,000
Circulation redemption fund .... 5,900,000
Gold reserve 125,800,000
Notes, other banks 36,100,000
Cheques, other banks 145,500,000
Balance due other banks 6,500,000
Balance due banks in Great Britain 18,300,000
Balance due elsewhere . . . ". 60,800,000
Dominion government securities. $149,800,000
Municipal 225,200,000
Victory bonds 55,000,000
Call loans, Canada 125,900,000
Call loans elsewhere 172,200,000
$ 651,800,000
$2,638,900,000
758,100,000
$1,409,900,000
Of this total of quick assets $651,800,000, or 25 per
cent, of the demand liabilities, is in cash, practically, and
yields no return. $758,100,000, or 29 per cent, of the de-
mand liabilities, is in securities, or in loans on call, which
as a rule do not yield the same return, as if invested in busi-
ness paper with a longer currency. The necessity of keeping
this stock on the shelves, as it were, materially cuts down
the percentage of deposits which a bank may safely use in
loans, so that in estimating the returns obtainable by a bank
from the deposits, full allowance must be made for this cash
reser^-e.
Turn-Over Must Be Quick
The analogy between the bank and the merchant may be
carried farther. If a merchant is to do business success-
fully, it is essential that he keep his stock moving. The
quicker his turnover the greater his profit, and the larger
number of customer.s he can serve. If he sells to slow-paying
customers his turnover is reduced to that extent, and he
cannot serve as many customers, for the reason that he will
be unable to purch.ise goods. The bank is in exactly the
sjime position. It must have a quick turnover in order to
take care of its liabilities, and provide for its customers' re-
quirements. If its resources become tied up in long-winded
loans its customers suffer, and to the extent of its tie-ups
its business is curtailed. These may be absolutely safe, but,
by los-nr ttirir fl^iiiity the bank's turnover decreases, and
•f ' advances the bank must refuse new
1"' f fre.sh supplies of credit. It must
•<'''i ■■■ such shape that any demands for re-
paj-ment of its deposits will be met on demand.
Tt> rf-ri.;f»cring applications for loans, therefore, some-
*'^'' safety is essential, and in fixing the rates
f"^ ""lust ta'<e into account, whether the repay-
mi- ■ - is to he at a near or distant date.
Corporations lending on more fixed forms of security
are not affected in the same way. Their obligations are
October 1, 1920
THE MONETARY TIMES
27
DIVIDEND NOTICES
DOMINION TEXTILE COMPANY. LIMITED
NOTICE OF DIVIDEND
A dividend of one and three-quarter per cent (1%%) on
the Preferred Stock of the Dominion Textile Company,
Limited, has been declared for the quarter ending 30th
September, 1920, payable October loth, to shareholders of
record September 30th.
By order of the Board.
JAS. H. WEBB,
Secretary-Treasurer.
Montreal, 8th September, 1920. 224
NOVA SCOTIA STEEL & COAL CO., LTD.
DIVIDEND NOTICE
A dividend of Two per Cent. (2%) on the Preferred
Stock and One and One-quarter per Cent. (1%%) on the
Ordinarj' Stock of the Company has been declared payable
on the loth of October, 1920, to shareholders of record at
the close of business on September 30th, 1920.
By Order of the Board.
THOMAS GREEN,
Cashier.
New Glasgow, Nova Scotia,
September 18th, 1920. 237
PENMANS, LIMITED
DIVIDEND NOTICE
Notice is hereby given that the following dividends
have been declared this day for the quarter ending October
31st, 1920. One and one-half per cent. (IVs'/O on the Pre-
ferred Stock, payable on the 1st day of November, to share-
holders of record of the 21st day of October, 1920, and Two
per cent. (2%) on the Common Stock, payable on the 15th
day of November, to shareholders of record of the 5th day
of November, 1920.
By Order of the Board.
C. B. ROBINSON,
Montreal, Que., September 20th, 1920.
Secretary-Treasurer.
242
THE STEEL COMPANY OF CANADA. LIMITED
ORDINARY DIVIDEND No. 15
Notice is hereby given that a dividend of one and three-
quarters per cent, on the issued and fully paid Ordinary
Shares of the Company has been declared for the quarter
ending September 30th, 1920.
PREFERENCE DIVIDEND No. 37
Notice is also given that a divdend of one and three-
quarters per cent, on the issued and fully paid Preference
Shares of the Company has been declared for the quarter
ending September 30th, 1920.
The above dividends are payable November 1st, 1920,
to shareholders of record at close of business, October 11th,
1920.
By Order of the Board.
H. H. CHAMP,
Treasurer.
Hamilton, Ontario, September 16th, 1920. 241
MARCUS LOEWS THEATRES, LIMITED
Notice is hereby given that a Dividend of 1%% on the
Preference Stock, and a Dividend of 57c on the Common
Stock has been declared for the quarter ending the 30th day
of September, 1920.
The above Dividends are payable on the 15th day of
October, to Shareholders of record on the 30th day of Sep-
tember, 1920.
By Order of the Board.
SAMUEL D. FOWLER,
Toronto, 29th September, 1920.
Secretary.
Condensed Advertisements
" Positions Wanted." 3c per word : u)i other condensed :
5c. per word. .Minimum charge for any condensed adv
style. Condensed adverti:
charged for them, are paya
nents, on account of the
in advance; 50 per cent, e:
form to usual
ery low rates
;ra if charged.
STRONG BRITISH COMPANY invites applications for
hail insurance general agency for Alberta. Apply, stating
full particulars of experience, etc., in hail business to Box
347, Monetary Times, Winnipeg, Man.
A STRONG Canadian Fire Insurance Company about to
enter the Province of Quebec is open to receive applications
for an Agency for Montreal City. Apply Box 341, Monetary
Times, Toronto.
GOOD OPENING for a competent man to take charge
of Insurance Department (chiefly Fire) with an old-estab-
lished Western Insurance Brokerage Office. .A.pply in the
first instance, giving experience, salary expected and refer-
ences, to Box 337, Monetary Times.
ACCOUNTANT.— Man thirty-five years of age. Thor-
oughly familiar with Costs, Credits, and Financial Work.
For past five years in charge of Accounting Department
large Western Corporation. Open for engagement October
1st. Box 345, Monetary Times, Toronto.
FOR SALE.— INTEREST IN SUCCESSFUL MANU-
FACTURING CONCERN.— Gentleman owning shares in
well-organized and fully-established company manufacturing
an article for which there is a steadily-growing demand
would like to hear from those interested. .Article in question
has proved an undoubted commercial success. The demand
of the automobile trade alone is verj' considerable, while in
other fields there is a steady and constant call for it. Adver-
tiser is willing to sell his holdings at a sacrifice. This pre-
sents a genuine opportunity for anyone who has about
$20,000 to invest in a going concern. Fullest information will
gladly be given. Company in question will stand the strictest
investigation. Address Box 339, Monetary Times, Toronto.
To The Insurance Company
Confemplalint; entering
Western Canada in 1921
FOR
Automobile and Hail Insurance
We are open for General Agency Contract.
Res-dent in Western Canada for 13 years.
Thorough knowledge of Provincial conditions.
Wide and successful experience.
Apply. Box 343 Monetary Times Office, Toronto.
THE MONETARY TIMES
Volume 65.
strictly on time, with definite dates of maturity, and their
loans are made accordingly. When these companies accept
deposits, the funds so obtained are not suitable for mortgage
loans, but are used chiefly in loans on bonds, and securities,
which can be quickly realized on in case of need.
WOKKMENS COMPENSATION IN BRITISH COLUMBIA
Board I'aid Back S95.21 For Each $100 ColUcted—
Surplus 18 Now $1,233,111
IN its report covering operationsi in 1919, the British
Columbia Workmen's Compensation Board says: —
"Os'er 500 new names were added to the list of em-
ployers during 1919. A marked increase in the industrial
activity of the province is shown by the fact that, although
the rates and a.ssessments were less than in either of the
preceding years, the amount collected by the board was 18
per cent, greater than during the second year. The amount
paid on account of claims was also proportionately greater.
"Notwithstanding the increased volume of business, the
percentage of expense charged to employers was only 4.781
per cent, of the amount collected from them, being slightly
less than the ratio of e.xpense during either of the previous
years. Of every $100 collected from the employer, $95.21
goes directly to the workmen or their dependents without
any expense whatever to them. This is only possible by
reason of the act providing for the administration of the
accident fund by a boiird appointeii for that purpose and
to the exclusion of all intermediaries who might otherwise
desire to make a profit out of the misery and distress of
injured workmen.
"It was again not necessary to charge the full basic
rate of assessment in any of the classes, and in no class was
a higher rate charged during the past year than one-half of
the basic rate.
"In a considerable number of classes it was found sufli-
cicnt to collect the basic rate on only one-quarter of each
employer's payroll. Among the industries from which this
low rate was collected may be mentioned all work of muni-
cipalities, machine shops, foundries and iron working gen-
erally, shipbuilding, all work of general construction, fish-
ing and canning, and the manufacture of explosives.
Compensation to Government Employees
"By reason of legislation passed in 1918 provision was
made for the payment of compensation to men injured in
the various departments of Dominion government work.
Throe classes were created during 1919, as follows: Class
17— RcUil deliveries. Class IS— The Great Northern Rail-
way Co. and its subsidiary companies were transferred
from Class 8 and now constitute this class. Class 19 — Do-
minion government employceji.
"The effect of cla.is division is that all industries in
that particular rl;is- .-irry only the losses that occur in that
class. If the • re<luccd in number and severity
in a class, lh< • icolly a lessoning on the drain on
the funds in ; , ular clu-ss. The fewer accidents
there are in a clasa the lower the coit to the employers
therein.
"After thrve years' i ■ f the act the rrsorves
amount to $1,2.'1.1,1 1 1 .1 1 . t indud.s an itrm of
?ir.,000 per year (now .i . $jr..O()ni which has
been set aside n.i a catastroplu- n-.-i ive to protect against n
possible catastrophe that may occur and which may not l>i'
nftributabli- to or be a proper charge against any .tinglo
class of inrjustry.
"Th.- nn-nnnt nf tVir wlinio rr<:rrrr may he cTTrrtrd to
;:• .>ns
■st-
11 ■ ■ ;iil-
nhle for purchase. The funds of the reserve have to date
been invtf«ted at a rate to yield an average of 6.85 per cent.
"It is estimated that during the year 110,000 workmen
were covered, with a payroll of $130,000,000.
Condition of Funds
"The condition of the several class funds as at December
31st, 1919, covering the three years of operation in which the
act has been in force, shows that there are altogether 19
classes contributing to the various funds. The total amount
received from employers for the three years was $3,393,723,
of which there was paid back to the various class funds
$11,431. The amount paid out was $1,740,919, and the
reserve, being the present value of pensions, amounted to
$1,481,989, leaving a credit balance to the various class
funds of $160,283.
"Of these classes the lumbering and logging industries
contributed the most, receiving $949,273, paying out $612,082,
and placing to reserve $377,623. Building and construction,
including shipbuilding, came second. $479,692 was received
from employers, $250,518 was paid out and $141,954 was
placed to reserve. Coal mining is in third place, with
$468,431 received from employers, $205,482 paid out in.
claims and $274,519 placed to reserve for pensions account.
"The operations for the year ending December 31st,
1919, show that, for the 19 classes of industry under which
the Workmen's Compensation is grouped, balance as at the
end of the previous year was $206,716. The amount received
from employers for 1919 was $1,356,643. The compensation
paid out was $769,012. The amount transferred to reserve
account was $634,065, leaving a balance to the various class
funds of $160,283. The lumber industry still lead the list
with $139,557 received from employers, paying out in com-
pensation $277,945 and transferring to reserve $204,230.
Building and construction, including shipbuilding, continued
in second place with $213,434 received from employers, pay-
ing out $126,093 for compensation and transferring to reserve
account $<12,8,'?8. The Canadian Pacific Railway and Con-
solidated Mining and Smelting Co. group surplanted the coal
mining group for third place with $142,553 received from
employers, $50,797 paid out in compensation and $140,633
transferred to reserve account."
Receipts and Expenditures
A summary of the financial statement is as follows: —
Receipts: —
Cash on hand, Jan. 1 $ 230,574
Collections in 1919 1,690,300
Total $ 1,920,874
Disbursements : —
Current compensation $ 689,924
Refunds 8,381
Reserve (pensions and payments) .... 240,774
Reserve (value of pensions) 461,294
Expense 70,705
Balance to credit 160,685
Total $ 1 .920.874
GRANBY TOWN JUDGMENT
In BSving judgment on August 24th in favor of the
Esquimau and Nanaimo Railway Co. of Vancouver Island
in a settlors' righU suit, entitled Esquimalt and Nanaimo
Railway vs. Wilson and Mackenzie, Justice Gregor>- finds
that the Granby Mining Co. loses its title to the property on
which it built the town of Cassidy a few years ago. The
Granby r,-. h.^.s an investment there of close to $1,500,000.
Tl ' •; carried finally to the Privy Council in Lon-
^'^' ''y Co. is carrying on mining operations at
Ca is a prosperous and growing mining centre.
Work will continue, it is understood, until the disposal of the
case by the Pri\-y Council.
October 1, 1920 T H E M 0 N E T A R Y T I M E S 29
JiiiiiiitiiiiiniiiiiiiiiiiiiiiiiMiiiiiiiiiiiiiiiiiiiuiiiiiiiiiiiiiiiMiiiiiiiiiiiiiiiiiiiiiiiiMiiiiiiiiiiiiiiiiiiiiuniiiMiiiniiiiiiiiiiiiiiiiiiiiiii
I CHARTERED ACCOUNTANTS |
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Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OFFICES AT
Edmonton - ■ Alberta
Toronto • - Ont.
CHARLES D. CORBOULD
Chartered Accountant anJ Auditor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipes
Correspondents at Toronto, London. Enfi..
Vancouver
HARBINSON & ALLEN
Chartered Accountatth
408 Manning Chambers
TORONTO
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Specialist on Taxation Problems
Bank of Toronto Chambers
LONDON - ONTAFtIO
Crehan^ Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
W. A. Henderson & Co.
Chartered Accountants
508-509 Electric Railway Chambers
Winnipeg, Man.
ROBERTSON ROBINSON, ARMSTRONG & Co.
CHARTERED ACCOUNTANTS
AUDITS
FACTORY COSTS
INCOME TAX 24 King Street West - TORONTO
AND AT:-
HAMILTON
WINNIPEG
CLEVELAND
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 Confederation Life Building
Winnipeg
SERVICE
Thorne, Mulholland, Howson & McPherson
CHARTERED ACCOUNTANTS
.Vo^°B'id«. TORONTO
Hubert Reade & Company
Chartered Accountants
Auditors, Etc.
407-408 MONTREAL TRUST BUILDING
WINNIPEG
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Main 7014
LUMSDEN BUILDING - TORONTO, CANADA
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRlGpS & CO.
Ch.irtctiil Accmitilnttts. AuJilors.
Trustees. Liittitiiatom
Winnipeg, Toronto, Saskatoon, Moose Jaw,
Montreal, New York, London, Eng.
CLARKSON, GORDON & DILWORTH
Chartered Accountants, rrustccs.
Receivers, Liquidators
Merchants Bank BIdg., 15 Wellington Street West Toroni
O.T. Clarks
tistahlislK-d ISUI R. J. Dilwoi
F. C.S. TURNER & CO.
Chartered Accountants
TRUST & LOAN BUILDING, WINNIPEG
Your card here would ensure tl being seen hy the principal
financial and commercial interests in Canada.
Ask about special rates for this page.
RUTHERFORD WILLIAMSON & CO.
Chartered Aceountitnls. Trustees and
Liquidators
86 AnELAini: Stiiebt IJast, TOKONTO
604 .McOiLL BuiLDlNO. .MONTRRAL
Cable Address-" WILLCO,"
Represented at Halifax. St. John. Winnipeg.
Vancouver.
THE MONETARY TIMES
Volume 65.
DOMINION IKON AM) STEEL ACTION
KAILKOAU KATES IN NEWFOUNDLAND
Si\ly-(i\f Diillurs \tvT Ton Set hy (iovernnu-nt for Slt-i-l
Kails not Considered Sullicient by Conipiinj
TIIKKK million dollars is involved in the claim of the
Dominion Iron and Steel Co. against the Dominion
tjovernment, now being considered by the Exchequer Court.
The ca.se began before this court on September 7, and this
week evidence is being taken in Sydney. The action is taken
in connection with steel railways which the company had
contracted to manufacture for the government.
The point at issue was the price the company should be
paid for 116,000 tons of rails rolled and delivered subsequent
to April, 1918, by the steel company, the rails being fur-
nished in connection with an order in council passed by the
government under the authority of the War Measures .Act.
enjoining the company to supply at least one hundred thou-
and of tons of order that railways might be put in a position
to operate to full capacity during the period of the war.
The cause of difference as to value of the rails, it developed
at the hearing, was that the government contract was issued
the Dominion Iron and Steel Co. had in hand large orders
from the Imperial Munitions Board for shell steel and the
manufacture of this had to be practically discontinued with
the result that 99,000 tons were not delivered. On behalf
of the company it was stated that for this steel the company
would have received about eighty dollars per ton. but cost
of production would have exceeded the cost of making rails
by from 'i to ."> dollars per ton. The company suggested in
view of these facts that it should receive 7.') dollars rer ton
for the rails. The war trade board took the view that $6.'>
would be a proper price, when it was offered by Hon. J. D.
Reiil, Minister of Railways, and in accordance with the terms
of the original order in council reference was made to the
exchequer court. The amount actually in dispute therefor
is $10 per ton on 116,000 tons at $1,160,000. Of nearly eight
million claimed by the company for the rails, some $5,000,-
000 has already been paid by the government.
The foregoing facts were brought out in the course of
the examination of controller Cameron, of the Dominion Iron
and Steel Co., by Mr. Wallace Nesbitt, K.C., chief counsel
for the company. In reply to a question by the court, Mr.
Nesbitt stated that it was the desire of the company to be
placed in as a good a position as it would have been had it
been permitted to proceed with the contracts with the Im-
perial Munitions Boanl and other contracts of the same kind
which would have been undertaken. Letters were produced
to show that the Imperial Munitions Roard were anxious to
have its contracts completed and to place others, and that it
had been suggested that an upward revision of prices would
be made for additional orders.
jnxJMKNT ACAIN.ST UO^ \l. UVNK
A judgment of great importance to out.side comiuinie^
licensed to do business in Rritith Columbia \va.'< rendered by
Ju.xtice Murphy on September 14. in the rn.se of the Royal
Bank v.s. the National Fire Insuriincc Co. Cnder n judg-
I'lcnt ngain.st n man named Stew:irf, n shareholder in the
defendant company, the sherilT in behalf of the hnnk .seized
Stewart's stock. The company i« not registered and has no
.share register in British Columbia. The bank wa.s .suing the
rompony to compel registration of the shares in the bankV
name to make cfTective the .seizure.
The action is di.smi.ssed, his lordship holding that ai^ the
process in question could legally he carried out without the
knowledge of the shareholdo'. pvprv ot«>r> in thp yr>^rf"i must
be carried out with the u-' aw.
His lordship found that H jop
nnd on that .iccount en\r ■'
The Newfoundland Railway Commission has made its
first recommendations in the reconstructive program of
the operation of the railway, which includes the following: —
Instructions to conductors to refuse to accept passes
from anyone in future; M.P.'s, members of legislative
council, judges, magistrates, merchants, ex-M.P.'s, and
clergymen, all without distinction, will have to pay railroad
travelling fares, and in the future, it is proposed to construct
a coastal terminus for the south coast traffic at Argentina.
The terminus will also be used as a winter shipping port for
the .\nglo-Newfoundland Development Co., and Alexander
Bay Pulp Co. The company will ship 2,000 carloads of
paper from December to May that hitherto has been stored
each winter at Grand Falls, thus tying up a large amount of
money as well as causing congestion at Grand Falls, and the
railroad commission will increase the railroad earnings to
$l.'i0.000 by this arrangement, and thus aid in making the
road self-supporting.
The work of building the three miles of railroad will
start immediately, and the terminal pier or breast-work will
be ready for shipping by January.
The railroad commission has recommended an increase
in passenger and freight rates and it is probable an increase
of one cent per mile will be added to first-class railway fares.
Six locomotives of the most modern type have been ordered
by the commission and are due in this country in January.
Material for fifty flat and fifty box cars is being provided,
and the whole lot will be ready by next spring.
INSIRANCE IN MANITOBA
The superintendent of insurance for the province of
Manitoba has issued his report covering the business trans-
action of the year 1919. A summary of the premiums and
losses under the various classes of business in the province
follows: —
Registered Companies.
Premiums. Losses.
Automobile $ 294,001 ? 118,955
Burglary 14,209 7,433
Employers' Liability 402,043 152,298
Fire :!.483,496 951,847
Guarantee 175,007 64,474
Hail ,305,820 85,413
Live Stock 39,222 35,975
I'ifc 14,396,334 1,607,692
>Jn>ine 34,260 6,592
Piute Glass 39,046 22,155
Sickness and Accident . . 339,436 147,784
Steam Boiler 30,933 2^328
Tornado 2,287 5,237
Unclassified 129,556 2,641
Totals $19,685,660 $3,210,832
Licensed (Domestic) Companies.
Accident, Sickness, Auto
and Guarantee $ 39,943 $ 10,300
F""c 362,696 221,307
"."'• 147,593 42,500
'•''^"' 127,421 14,708
Plate Glass 2,739 1,856
Total- 5 680,394 $ 290,674
Regi-^tcred Companies . . $19,685,660 $3,210,832
Grand Total $20,366,055 $3,501,506
October 1, 1920
THE MONETARY TIMES
i!lllllinillinUIIIIIIIIIIMIIMIIIIIIIUIIIIIIIUIIMIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIMIIIIIIIIMIIIIIIIIIIIIIIIIIIIIIIIIIIIIMIIIIUIH
j REPRESENTATIVE LEGAL FIRMS \
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BRANDON
J. p. Kilgour. K.C.
G. H. Foste
H. McQue
KILGOUR, FOSTER & McQUEEN
BtrrUtari, Solicitori, Etc., Brandon, Man.
Solicitors for the Bank of Montreal. The
Roya) Bank of Canada Hamilton Provident
an<S Loan Society- North American Life
tasurance Company.
LETHBRIDGE, Alta.
Conybeare, Church & Davidson
Barristers, Solicitors, Etc.
Solicitors for Bank of Montreal. The Trust
and Loan Co of Canada. British Canadian
Trust Co.. 4c., *c.
C. F. P. Conybeare. K.C., H W. Church. M.A
R. R. Davidson. LL.B.
Lethbridse - • Alta.
PRINCE ALBERT
COLIN E. BAKER, B.A.
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal Bldg.
CALGARY - - ALTA.
W. p. W.Lent Alex. B..Mackay, .MA. .LL.B.
H. D. .Mann. MA.. LL.B.
LENT, MACKAY & MANN
BarrUtcrs, .Solicitors. .Votaries, etc
30S Grain Exchange BldR . Calgary. Alberta
Cable Addrets.'Lenjo." Western UnionCode
Solicitors for The Standard Bank of Canada.
The Northern Trusts Co. Associated Mort-
aaae Invesrnrs. ftc.
Hon. Sir James Lougheed, K.C. K.C.M.G.,
R. B. Bennett. K.C, J. C Brokovski. K.C
A. M. Sinclair. K.C. D. L. Redman. H. E.
Korater. P. D. McAlpine. O. H, E. Might. L.
M. Roberts. 'Cable Address "Loughnett")
LOUGHEED. BENNETT & CO.
Barristers. Solicitors, Etc,
Qarence Block. 122 Eighth Av«iue West
CALGARY. ALBERTA. CANADA
WRIGHT &WRIGHT
Barristers, Solicitors, Sotaries, Etc.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. AC. Rutherford. K.C.LL.D.
FC. Jamieson, K C. Chas. H. Grant
S. H. .McCuaiR Cecil Rutherford
RUTHERFORD. JAMIESON
& GRANT
Barristers, Solicitors, Etc.
S14-18 McLeod Bldg. Edmonton, Alberta
JOHNSTONE & RITCHIE
Barristers, Solicitors, Notaries
LETHBRIDGE - Alberta
REGINA
MEDICINE HAT
G. F. H. Long. LL B. J. W. SLEIGHT, B.A.
LONG & SLEIGHT
Barristers, etc.
MEDICINE HAT and BROOKS, Alta.
MOOSE JAW
Grayson, Emerson & McTaggart
Barristers, Etc.
Solicitors— Bark of .Montreal
Canadian Bank of Commerce
Moose Jaw - Saskatchewan
NEW WESTMINSTER
loHN W. DIXIE
Barrister and Solicitor
405 Weitminster Trust Building
NEW WESTMINSTER. B.C.
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
Called toOntario B.ir ll«U. New York Bar IK-f^
ELLISON. ELLISON & ERASER
|C,.', Ilr<>n<i"«r. ><■" InrL
ELLISON, GOLDSMITH & ALLEN
■.•.-,1 We«l lOllh ^•l.. >•■" lork
Gordon, Gordon, Keown
and Collins
Barristers, Solicitors, <fec.
Aldon Building, REGINA, Sask.
Solicitors for Imperial Bank of Canada
SASKATOON
DURIE & WAKELING
Kurrlilcrn and .>>ollcUor»
Solicitors for the Bank of Hamilton. The
Great West Permanent Loan Co. The
.Monarch Life Assurance Co.
ranailn Kiilldlns Saakaloon, Canada
Chas. G.Locke. Major J. McAughcy.O.B.B.
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
BOWSER, REID, WALLBRIDGE
DOUGLAS & GIBSON
Barristers, Solicitors, Etc.
Yorkibire Boildioc. 52S Serno
■ca Branch)
r St., VaDCODT
VICTORIA
A B
DC .SLOP
F
. H..M.KOOT 1
(K.C
'or Alberta)
Men
bcr of .Manitoba
Mt.nhcr
of Nov.i Sen.
and British Columbia |
tia. Albc
rt.. and Brit.
H^.rs
i^h Ci)
umbi.i U.ir..
DUNLOP
&
FOOT
Barristers
Sol
icitors
Nota
ries and Com
missioners
612.«13 Sny
w»rt
Bldu.
Vic
ori.. Brili.h C
olum
bin. Conadn
J. A. THOMPSON & CO.
Government and Municipal Securities
^Veateru si>ini'.i..»i ,i..i.....i m.H su^knlrlirviaii Kiiriil Trle-
lunlrlpal. .Srhool and >a-kat<-lie«aii
pbonr to. debonlure.4 speelollied l«
CORRKSPONDKNCE INVITED
Union Bank Building
WINNIPEG
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
Dr. J. W. .MAHA.V J A. WHSTMAN
President .Managing Director
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
CalRary Flour Mills Now Kunnin« at Full Capacity as Wheat is Coming In— Laurentide
Timber Supply Has Been (Jreatly Increased— Ontario Government Will Not Grant Original
Proposals of Backus Interests— Unique Industrial Development Scheme by Iwin Cities
A'CORDIN'G to udviccs from Calgary, Alta., several of
the larger flour mills there are now running at full
capacity. The wheat has just begun to come into the mills
and for the next few months they will be kept running at full
blast. This applies to most of the milling concerns in the
city, while the majority of the mills in the country towns
of the province have already been operating for some days.
One large mill in the south country, the Macleod Flouring
Mill, is still idle, but only because the company is waiting
for machinery repairs before starting the fall work. Wheat
is coming in in great quantities, and as soon as the mechan-
ical shortages are made up fall operations will be resumed.
The mills this year are turning out a better grade of flour
than they have done for several seasons, although the price
is decidedly less owing to the decreased price of wheat.
Although flour has gone down approximately 70 to 80 cents
per bushel, this decrease would have been considerably more
had the old "government standard" of the past few years
been maintained. Owing to the removal of certain govern-
ment restrictions, however, the grade of flour turned out has
been raised, with the result that the price is very little difl'er-
ent to that which has prevailed in the past. Wheat, which
has been coming in very slowly for the past week or so, is
now being delivered at the mills in large quantities, and it
is expected that a sufficient supply will be obtained to keep
all the mills in the province busy until Christmas at least.
It is reported that shorts are at a premium just now,
and that there is practically a famine in that kind of feed.
Shorts are the second by-product of the milling industry, the
first being the bran that is rendered by the ordinary flour
milling process. Owing to the great scarcity of feed during
the past winter, and the light grain crop that was renpe<l in
the province, all the available supplies of shorts were
• ■.iL'.rlv bought up. Mild at the present time it is said to be
II :.t rally impossible to obtain them, even at the price of
>' Mr ton. a ri'conl figure in the West.
I.niiri'nddt' Prospects Kxcellent
At the annual meeting of the I.aurentide Co.. Ltd., in
Montreal Inst week, some interesting information regarding
the development of the company was given out by Geo.
rhahonn, .Ir., the president. The two new paper-making ma-
chines, upon which construction work was begun some
months ago. Mr. Chahoon stated, are now reaching the stage
of complete installation, and it was anticipated that both
would be in operation by the turn of the year. The output
of newsprint would be increased by l.'iO tons daily, or approx-
imately ''0.000 tons per annum, he said, which additional
supply was to be taken by The New York Times under n
five-yenr-contrncl, favorable to the company.
I> ' - • ■ •
venr
ii.nds.
meet the <leiitands uf tiie «nlir|.i .>v for lln iii. ni.M.i ...(..i-
city of the next ton or twelve vnirs, without touchini: the
old limits. The policy r' ,- fresh lini;* '
had been pursuetl for so' • . go that a'
time Ijjurentidc has a c\- of woo<l a\ .
it had some ten or fifteen .vcav.s a^o.
In reply to n question by one of the shareholders of the
company, the president stated that the company's water
powers on the St. Maurice River had been more than
linubled in potentiality, while the reforrstiit-..ii i ..y,
.idopted some years ago was developing
lines. I.iiurontide. he said, was the first ;
sfii.'v '■.-.o -, .n,- ti,.. replenishing "* ;■
gone further in this respect than any similar industrial on
the continent.
Hon. E. C. Drury, premier of Ontario, announced on
Sept. 24 that the provincial government would not grant
the original proposals of the Backus interests, of Minnea-
polis, to obtain extensive pulp and power concessions in the \
Lake of the Woods District. These proposals were endorsed
by the town of Kenora, Ont., which would greatly benefit by .
the operations of the Backus people in that district. Albert
C. Troy, oflSce manager of the St. George Pulp and Paper Co.,
of St. George, N.B., stated on Sept. 2'> that the negotiations
had been completed and the transfer of the control of the
company had been made to the New York World newspaper.
Me said that the plant would be continued in operation as ;
usual, but that there was a possibility of a change in the ,
management in the near future. I
The Matane Lumber and Development Railway has sold ;
all its assets, real and personal, to an American company, ,
the Hammermill Paper Co., of Erie, Pa. The deal, which in- ',
volves several millions of dollars, includes the acquisition of
timber lands, mill site, river improvements, etc., lying on the i
rivers Matane and Cap Chat, Quebec province, on the south
shore of the St. Lawrence, comprising an area of 133,000
acres. The company will commence its fall and winter oper-
ations on the new property immediately. |
■ I
Improve Dominion Collieries
Extensions and improvements to the properties of the
Dominion Coal Co. Ltd., of Glace Bay, N.S., involving the
expenditure of approximately $6,000,000, have been author-
ized by the directors, and work has already commenced. I
Some $2,000,000 will be expended on new machinery and ,
equipment at all the collieries in Nova Scotia, while $600,- \
000 has been voted for expenditure on renewing and replac-
ing existing machinery. In addition, large amounts will be
spent in sinking new shafts and extending the old ones.
The expenditure of $12.5.000 on electric safety lamps for all
the mines has also been authorized.
Rexillon's Fur Shipment
.\nother half-million dollars has been added to the 1920
fur pack shipped out of Edmonton, .\lta., representing the
season's operations of the Revillon Freres Company. The
entire output from that company's territory in the Peace
River country and British Columbia has now been received,
re-packed and graded, and shipped to New York, where the
pelts from the north will be made up in Revillons' own
manufactory.
The year's catch is reported by J. Keith, the Edmonton
man.iger of the firm, as fully up to the average in quality.
Rats were if) the majority, with mink, marten, and ermine
plentiful, hut for nn-! lynx scarce. Revillons are now oper-
'■ ' the farthest north being jt Fort
^ s'h Cdlumbia posts also report to j
' ;: ;,' station for both provinces. Next |
■■ inter's oiwralions by this firm, as by others working out \
f Edmonton, will likely he on the basis of less cash buying
and more b.iv >,. of the uncertain conditions
obtaining in ,1c, another result of which
will be lower trappers.
Ford Cnmp.iny Not Building
W. R. < of the Ford Motor Co. of
.inada. Ltii -ry Tiuu-s that the company
.1 nn nlnr- ,,f gny fjranch plants in the
October 1, 1920
THE MONETARY TIMES
33
The Imperial
Guarantee and Accident
Insurance Company
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident Insurance, Sickness
losurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital
Authorized Capital
Subscribed Capital
Government Deposits
$200,000.00
SI. 000,000.00
51,000,000.00
Slll.OOO.fXl
LONDON
GUARANTEE AND
ACCIDENT COY.. Limited
Head Office for Canada - Toronto
Employers' Liability. Elevator. Contract. Personal Accident. Fidelity
Guarantee, Internal Revenue. Sickness. Court Bonds.
Teams and Automobile.
AND FIRE INSURANCE
IT PAYS TO INSURE YOUR AUTOMOBILE
WilH
The
Canadian
Surety
Company
M.
iximum Service.
Minimum Cost.
CANADIAN STRONG PROGRESSIVE
FIRE INSURANCE
AT TARIFF RATES
A. E. Ha«. Vice-President
J. O. Melik. Sec -Trcas
Good Openi
HcHB Office
10th Floor, Electric Railway Chamberi
88 for Live Asents
Commercial Union Assurance Co.
Limited, of London, England
Capital Fully Subscribed S 14.750,000
Capital Paid Up 7,375.000
Total Annual Income Exceeds 75.000,000
Total Funds Exceed 209,000.000
llrnd OlDrr ('jinadlan Branch :
COMMERCIAL UNION BUILDING - MONTREAL
W. S. JOFLING. .Mana&ct
Toronto Office - 49 Wellington Street Ea»t
GBO. R. HARGRAFT. General Agent for Toronto and County of York
Automobile-- 1 920"Season
■ Policies to cover ANY or ALL motoring risks i
ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
82-88 King Street East. Toronto
HOME PURCHASE BOND
PURCHASE A FARM OR HOME BY EASY MONTHLY OR YEARLY
INSTALMENTS-WE ASSIST YOU -ENQUIRE-
>^< >Hxii[:^^:i^™ii^vy Sri
TOOLE, PEET & CO., Umited
INSURANCE AND REAL ESTATE
MORTGAGE LOANS ESTATES MANAGED
Cable Address, Topeco Western Un. and A. BC. Slh Edition
CALGARY, CANADA
THE EMPLOYERS'
LIABILITY ASSURANCE CORPORATION
OF LONDON, ENG. limited
ISSUES
Personal Accident Sickness
Employers' Liability Automobile
Workmen's Compensation Fidelity Guarantee
and Fire Insurance Policies
C. W. I. WOODLAND
General Manager for Can.idii .iiid Newfoundland
Lewis Buildins. JOHN JENKINS. Temple Bldg
MONTRE.\i, Fire Manager TORONTO
THE MONETARY TIMES
Dominion at the present time, in spite of the rumors to the
contrary.
The Excelsior Electric Dairy Machinery Co., of Toronto,
has been in communication with the Quebec Board of Trade
in regard to inducements for the establishment of a new
plant in that city. The company has decided to leave Toronto
and would require a lot of land of about 2.''),000 square feet.
As a result of the heavy grain crops throughout the
district, a new elevator with a capacity of 100,000 bushels is
being erected at Coaldale, Alta. This will be one of the
largest elevators in the prairie provinces.
The New Westminster, B.C., Board of Trade, after con-
siderable discussion in regular meeting recently, finally de-
cided to join the Associated Board of Trades. The general
opinion prevailing was that it would be good business to be
linked up with the larger organization for matters coming
within the scope of the association, and also to associate
actively with the Eraser Valley boards of trade.
The St. Thomas, Ont., Board of Trade, with the approval
of the city council, is about to dose a satisfactory arrange-
ment with a large .American company to locate a branch
factory in St. Thomas. The company is asking for compara-
tively reasonable concessions, the board states, and for these,
if conceded, a big staff of expert mechanics will be employed.
I
Two Industries for Hamilton
C. \V. Kirkpatrick, industrial commissioner. Hamilton,
Ont., has announced that arrangements have been completed
for the opening of two more industries in the city in the fac-
tory building at SO Murray Street West. Canadian Meltskin
Company, Ltd., and the Don-o-Lac Company of Canada. Ltd.,
will occupy this space jointly, the latter in the manufacture
of shellacs, enamels and paints, while the former company
is engaged in the manufacture of power-plant products and
boiler-room supplies. The head offices of both companies are
in Rochester, N.Y.
There is a big demand in Italy for Canadian agricultural
machinery, according to the Canadian Trade Commissioner
for Italy, who was at Ottawa recently. A recent estimate of
Italian requirements made by the ministry of agriculture
includes 30,000 ploughs, 20,000 seeders, 9,000 mowers and
L.SOO threshers.
Twin Cities' Dovelopmcnt Scheme
.•\ municipal industrial development scheme that is
rather unique, in that two cities are a party to develop one
area for industrial purposes, is th-it now ncaring completion
by the cities of Port Arthur and Fort William, the Canadian
cities at the head of Lake Superior. P'or many years these
localities have been expanding in opposite directions, leaving
a very line area of about five hundred acres undeveloped
between the two cities. Two rivers, which require very little
attention to (it them for terminals, flow through the property.
In addition there are 4,000 feet of lake frontage developed
and protected by breakwater as part of the national govern-
ment's $20,000,000 expenditure in making a notional harbor.
This privately owned area is within the boundary of Port
.Arthur, and the general s«-heme provides for joint purchase
by the two citie.i. both to share equally in the cost of develop-
ment and in the revenue.
Development plan* provide for a combinotion of navi-
gation and rnilwnv forminals with industrial property, the
whole are.n ' ilral tone, belonging to neither rity
and to lie by a hiirl>or commission who \vi'
sublet the i.rements of incoming industrirs .
long leases on llie hasis of actual land values with per
revaluations. The part of the scheme thot is so un
to be almost without precedent is that these twi-> ■■''.-
heretofore have been building up other port
tending costly utility ser\-ices. will unite to pin
in a location that will permit labor to be drawn fi
(fifteen minutes' street car ride to any portion of . ■
and must ■■•^-^■' ''^ '••^"'" ""• ■ " •' closer together I.
trnlising t' 'l and civic growth and
decrease n' ■ >'by.
NEW INCOKI'OKATIONS ]
Three Kivers Pulp and Paper Co., Ltd.. $4.400.000— Gillespie I
(Irain Co.. Ltd.. jil.jOO.OOO— North Country Exploration [
and Mining Co., Ltd., SLOOO.OOO
The following is a list of companies recently incorporated •
under Dominion and provincial laws, with the head office and
the authorized capital: — |
Ottawa. Ont.— F. H. Plant, Ltd., $50,000.
L.mdon. Ont.— Kingsmill's, Ltd., $250,000.
Ottawa. Ont.— H. G. Langford, Ltd., $50,000. ;
Amherst, N.S.— Traders of Canada, Ltd.. $100,000.
Sydenham. Ont.— Sydenham Dairy Co., Ltd., $5,000. ,
Kockwood. Ont.— Guarantee Batteries, Ltd.. $300,000. '
Meaford. Ont.— Doran Oil and Gas Co., Ltd., $100,000.
Niagara Falls, Ont.— EUicott Mining Co., Ltd., $250,000. :
Courtenay. B.C.— G. A. Fletcher Music Co., Ltd., $10,000.
Stratford. Ont. — McLagan Phonograph Corporation, Ltd., ;
$300,000.
Parkhill, Ont.— West Williams Oil and Gas Co., Ltd.,
$40,000.
Sherbrooke, Que. — General Business and Loan Co., ;
$75,000. I
Montmagny. (Jue. — Specialties Medicales Francaises, i
Ltd., $20,000. :
New Westminster, B.C.— Gregg, Ralston, Hockley, Ltd.,,
$24,000.
Vernon, B.C. — Okanagan Farmers' Milling Co., Ltd.,
$50,000.
St. Catharines. Ont. — Niagara District Grapegrowers,
$500,000.
St. Paschal. Que. — La Cie. de Lainage de Saint Paschal,
Ltd., $49,000. I
Owen Sound, Ont. — Owen Sound Golf and Country Club, l
Ltd.. $100,000.
Hamilton. Ont.— Davis Bros., Ltd., $200,000; Hamilton
Soaps, Ltd., $100,000.
Calgary. Alta.— Frank Hill Cattle Co., Ltd.. $1.50.000;
Stevens-Bardacke Grain Co., Ltd., $25,000.
Vancouver, B.C.— Federal Finance Co., Ltd., $100,000;!
Moose Group Mining Co., Ltd.. $100,000; C. J. Keller, Ltd.,'
$10,000.
Edmonton, Alta. — Polar Snow Manufacturing Co., Ltd.,
$:!0,000; Standard Clothing Co., Ltd.. $25,000: Federal Im-
porting Co., Ltd., $20,000; Art Music Co.. Ltd., $10,000;
Beaver Lake Ranching Co., Ltd.. $100,000; Etter and Mc-
Dougall Lumber Co., Ltd.. 520,000; .\nthony Lumber Co.,
Ltd., $30,000; Gillespie Grain Co., Ltd.. $1,500,000. i
Toronto, Ont.— Challenger Gold Mining- Co., Ltd.. $110,-'
000; Automatic Timers, Ltd., $40,000; Northern Pulpwoods
and Transport Co.. Ltd., $500,000; Westman and Baker. Ltd.,
$100,000; C. A. Extract Co.. Ltd., $50,000; Resistol Chemical
Corporation. Ltd., SIOO.OOO; Canadian Casey Cobalt Co., Led.,
$215,000; Dominion Electric Supply Co., Ltd., $40,000.
Montreal. Que.— Morcncy. Ltd., $50,000; Laboratories
Poulenac Freres du Canada, Ltd., $200.0t)0; North Country
Exploration and Mining Co., Ltd., $1,000,000; Wesse:; Pro-
perties. Ltd., $500,000; Magnolia Metal Co. of Canada, Ltd.,
$100,000; Rowat. Ciisson. Ltd., $.'.0,000; Gulf of St. Lawrence
Shipping Co.. Ltd., $500,000; Caplin Waist and Dress Co..
Ltd.. $.50,000; Pyko .Motor and Yacht Co.. Ltd.. $200,000;
Three Rivers Pulp and Paper Co., Ltd., §4.400,000: Hodgson,
■ ' '■' ■'■ Vrank .1. McKe^man, Ltd.. $20,000;
$2,500; Investments and Transac-
I ": Lazure and Lefebvre, Ltd., $19,-
■ iicraks Naturelles de LEpiphanie, Ltd., $20,-
• Construction Co., Ltd., $20,000; Libraire Pepin,
- from the C.P.R. totalling
r Supreme Court at Calgary,
^ ' ., executor.s of the estate, of;
the late Dr. t bombers, of Calgary, who was killed in the
wreck at North Bay last winter.
October 1, 1920
THE MONETARY TIMES
36
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS .... 24,600,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful days for life insurance salesmen,
particularly North American Life men. Our representa-
tives arc placing unprecedented amounts of new business.
All 1919 records are being smashed.
" Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey. Supervisor of Agencies.
North American Life Assurance Company
•■SOLID .\.S THH CONTIXKNT ■
HOME OFFICE TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG, MAN.
Assurances, New and Revived - - - S1.21 1.4i7.00
Premiums on same .... 43,890.00
Assurances in Force ... . 3,458,939.00
Total Premium lucouie - - - - 109,586.03
Policy Reserves - . - - . 211,497.00
Admitted Assets . . - . . 296,430.62
Average Policy - - - - . 2,237.50
Collected in cash per 81.000 insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director Winnipeg.
1870 OUR GOLDEN JUBILEE 1 920
Co-Operative - Scientific - Successful
"How did the .Mutual Lifeof Canada succeed inattainirs its present
imprcRnable position in ihe financial worlj? ' II may be replied thai the
promoters of the Company did not organize it as a commercial under-
takinft, but that it might serve as a public benefactor givmK ''the largest
.amount of Kenuine life insurance for the least possible outlay " Unsel-
fish devotion tothe success of thecnterprisc supplied the place of capital.
Although strictly co-operative or mutual, yet the Company has been
built up on a scientific basis as an old line legal reserve life insurance
compiny. The .Mutual Life of Canada is a bencficer.t idea worked out
on scientific lines — that is the secret of its popularity. The Mutual being
essentially a company of policyho ders. conduced by policyholders m the
interests of policyholders, "a'urally became a great success.
BE A MUTUALISTt
The Mutual Life Assurance Co. of Canada
Waterloo
Cronyn. .Ml'.,
Ontario
Kuhy. General Manager
LIFE INSURANCE SERVICE
'PHti ultimate success t>f a Life insurance Company depends largely upon
what Its policyholders think of the service they receive. The Continen
•al Life has long since passed this test, and earned a high reputation for paying
.laims promptly. I9:;o will likely prove the best year in the Company s histori-.
Write for booklet, •'••nr Best AllVf rtlsers." For Manager's positions in On
tario. apply wr.h references, stilting tvoerience. etc.. to S. S. WE.tVEB.
Eulern Kaprrlnieixlrnt, ai Head OtIIrr
THE CONTINENTAL LIFE INSURANCE CO.
Head Office TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
ISSLBU O.VLV BV
THE LONDON LIFE INSURANCE CO.
Head Office ... LONDON, CANADA
Profit Results in tbit Company 70 , better tban Estimates.
POLICIES "GOOD AS GOLD."
An Anchor of Security
is found in Life Itisuiance. It means safely of principal
— certainty of return — the surest of all investments.
These are generalities. Come down to personal appli-
cation by seeing what Life Insurance can do for yoo.
Obtain rates, and dependable advice. Do so now,
while the subject is in mind.
You will find the Great-West Policies well worth inves-
gation. The rates are low — the profits high.
Full particulars for the askinK. and there will be no
undue solicitation to insure. Stale afiC.
THE GREAT-WEST LIFE ASSURANCE COMPANY
DEI'T I- •
HEAD OFFICE WINNIPEG
The Western Empire
Life Assurance Company
Head Office: 701 Somerset Building, Winnipeg, Man.
Branch Offices
SASKATOON CALGARY BD.MONTON
VANCOtVEK
w
E have 450 good businesses for sale in the central
portion of Alberta. Everything from a General
Store to a small Confectionery.
If you want a business in Alberta you want us.
WHYTE & CO., LIMITED
111 Pantages Building
Edmontor
CROWN LIFE
Vl rE have a policy to suit every insurance need — up-
' ' lo-dal;, tihcral in its provisions. Participutinft
Policyholders in the Crown l^ife are cnlitleiJ to 95 ,. of
all profits earned hy the Company in addition to the
guarantees contained in their Policies.
Tkt Crvtcn lift ij a I9cj Company Jo '"JMrr tn or to rfprtuni
Crown Life Insurance Co., Toronto
q:
:q
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Many Alberta Municipalities will Moid Tax Sales This Fall— NiaKara Falls Balance Sheet Shows City's
Finances are in Healthy Condilion — Keuina's I tility Deficits Now Heinj; Seriously Considered —
Edmonton's Tax Collections Ahead of Last Year— C alKary Conducting Campaign to Collect Tax Arrears
(Juebec, Que.— That the city may apply to the legislature Edmonton, Alta.— A comparative summary of tax col-
at its next session for power to municipalize fire insurance lections for the period ending August 31st, 1920 and 1919,
has been intimated by Aid. P. Bertrand, chairman of the fire has been prepared by Comptroller Mitchell. The following
coniniittee. figures give the results and show that there is a consider-
Stratford. Ont.— According to the city assessors figures able balance in favor of this year:—
for 11)21, land valuation in the municipality is placed at 1920. Arrears. Current.
$3.S01,660, an increase of $375,510 over the previous year. General $657,753 $2,047,174
The value of buildings is placed at $9,967,640, an advance of Business 20,152 104,678
$1,761,835. Income - 15,848 126,983
.Manitoba. — Following a meeting of reeves and council-
lors with J. H. Evans, deputy minister of agriculture for the Total $693,754 $2,278,836
province, it was stated that municipalities in the burned Grand total. 1!»20 $2,972,590
areas will share with the provincial government half of the 1919 .Arrears. Current,
expendture arising from the bush fires this year. General . .^582,586 $1,085,221
Calgary, .Vita. — City Assessor Wallace is conducting a Business . 15,697 55,067
campaign to bring in all back taxes possible before the tax Income . . 30,305 77,575
sale. Up to the present his etforls have met with good re-
suits, and, judging from the amounts received, he states that Total $628,590 $1,217,863
the total before the tax sale should reach about $100,000. Grand total, 1919 $1,846,453
Toronto, Ont. — .\ccording to the monthly statement of
the finance commissioner to the city council, the city has lost Niagara Falls, Ont.— .\t the end of December, 1919, the
$226,'.) 15 on account of repayment of loans and interest balance sheet of the municipality showed excess assets over
coupons in New York this year. The largest amount was in liabilities of $755,185. The debenture debt of the city was
the repayment of a short-tern\ loan of $1,500,000, and an- $909,961, which is approximately $79.10 per capita, while
other, S.'iOCOOO. consisting principally of interest coupons. loans fi-om the bank stood at $308,748, making the total in-
Thero are still about $2,000,000 maturing obligations this debtedncss at the end of the year $1,218,709. Property and
year. Commissioner Koss says there is no hope of offsetting permanent assets totalled $1,6.")5,612, while permanent im-
the loss experienced on New York maturities in the repay- provements were put down as $234,756. Current assets, in-
ment of those maturing in Britain. eluding uncollected general taxes of $63,524 for 1919 and
West Vancouver. B.C.— A statement of receipts and ex- ot'i^'" uncollected taxes and interest, amounted to $83,526.
pcnditures for the eight months cnde.l August 31st last The statement of receipts and expenditures shows total
shows that tax arrears, dating back as far as 1917, have tax collections as $307,600. Other items under receipts were:
been collected to the extent of $18,959, while the interest on Debentures issued and sold. $67,862: bank loans for constnic-
■ these arrears totalled $1,851. Current taxes of $69.31S. or *">" account. $234,200; bank loans for current account, $308.-
70 per cent, of the total lew, were collected. Of these re- "^85. Under disbursements the principal items were: Gen-
ceipts the sum of $70,000 was used for repavment of bank eral management. $185,836; schools, $104,731; repayment of
loans, $8,495 for sinking fund account and the balance for ^oans and debentures, $449,246.
other purposes. The cash in bank at August 31st amounted .\lberta.— There are seventeen towns and cities which
to $2.416. will have to sell property for the accumulation of several
Keglna, Saak. — The combined deficits of the street rail- years' arrears of taxes, and millions of dollars' worth of pro-
way and electric light departments at the end of August last perty. that is, based on assessment and not actual valuations,
reached a sum of $94,552, ns revealed in the city auditor's wll fall into the hands of these municipalities. These cities
report. Of this amount, the street railway is responsible for and towns are: Calgary, Edmonton, Lethbridge. Medicine
$tO,HH2 and the electric light department $53,670. Hat. Red Deer, Bassano, Edson, St. Paul de Metis, Grouard,
After allowing credits for surplus made by the water- Pence River. Grand Prairie, Wetaskiwin, Coronation. Youngs-
works department and property sales to the street railway town, Macleod and Taber.
department, n net deficit of the combined utilities of $79,213 The problem confronting all these towns and cities is
still remains, ns compared with a net deficit of $64,202 at what to do with the property after they get it for taxes, and
the end of July, an increase of loss in one month of $15,012. what they will do to provide funds to take the place of the
.Aid. Burton, at a recent meeting of the city council. assesseii valuations represented by these properties on which
referred to the financial position of the utilities as serious, they have hitherto been basing their levies and mill rates,
and the situation is now under special consideration. The obvious solution, of course, is to place the lands which
Winnipeg, Man. — 11. C. Thompson, city treasurer, in a come into possession of the municipalities in their sinking
letter to the civic finance committee last week. pointe<l out funds as an asset and hold them until they appreciate some-
that capital ocpmrlitiirra tntnllin- »).n'.'3.nno wrn- :n -sicht what to the value at which they originally were assessed,
made up ns t ••■r- The tax sales, however, do not embrace cities and towns
works extent ;"•. only. Villages and municipal districts also are affected
000; nur.ies' 1 . . . , .. .- vc- through the sales of school lands for taxes and of lands on
trie. $1,500,000: school board tli<Jii». $760.0O«); Maryland which the wild lands taxes have not been paid. The town,
Street briH(T.\ $300,000: r,r««n»er Winnipeg Water District, village .ind muni.-M^n! Hi<>tricts which will have to hold these
$750,000 debentures issued and sold. sales under th. ":" "• A^t number some thirty, among
B>"-'n^^ "" J*"" important avely. Innisfail. Claresliolm and
"In money market is in a very Lacombe. Th. will be put on by the Depart-
unsettlc.l .ui.ami.a, 1 ui.ul.l impress upon your committee menl of Municipal .Affairs will be held in November, most
the neces.oity of avoiding any capital expenditure that can of them for the first half of the month. Calgary is planning
possibly >'■■ I-1-—1' --.1 M>- T'-.."<i-.." .V )"= .......,Mini- its tax sale for some time in late October, and Edmonton
cation. will hold its tax sale on November 9th.
October 1, 1920
THE MONETARY TIMES
C.P.R. BUILDING
TORONTO
4MVe«TMCNT BAMKCRS
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
OSLER, HAMMOND & NANTON
WINNIPEG
Stock Brokers and Financial Agents
Insurance Mortgage Loans
Real Estate
CANADIAN
GOVERNMENT, PROVINCIAL,
MINKIPAL & (ORPORATION
BONDS FOR INVESTMENT
Harris, Forbes & Company
INCORPORATED
C. p. R. Building
TORONTO
21 St. John Street
MONTREAL
T. S. G. Pepler & Co,
announce
the removal of their offices from
1505 Royal Bank Building. To-
ronto, to larger premises at 106
Bay Street, Toronto, on Sept-
ember 30th, 1920.
C. H. BURGESS & CO.
Government and
Municipal Bonds
14 King Street East
Toronto
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
October Funds
YIELD 6% to 7%
Send For our List
J. F. STEWART & CO.
106 BAY STREET - - TORONTO
T.-trrhonis AJflaidc 7I< 71 =
THE MONETARY TIMES
Volume 65.
Government and Municipal Bond Market
Ottawa \ i-ntuns on Kxthanuo and Sells St-cmities I'ayahle in the I nited States on a 6.30
Per tent. l{a.sis, which is a Little Better than Saskatchewan Government— Ontario is
Cominj,' on the Market with Three .Millions of Notes— Local Selling Still Continues in Favor
TlIK principal event in the bond market this week was the so, that a western municipality would not be able to do much
sale of $2,300,000 6 per cent, instalment bonds to the better. Farmers are now reported to be buying Alberta
I'nitcd Financial Corporation. Ltd., at a price which cost the "baby" bonds more briskly as the result of the good harvest,
city about GMO per cent. Unlike the province of Saskatche- and this, of course, will also be a point in favor of Winnipeg's
wan, the city decided to take a chance on the exchange and campaign,
sell securities payable in America, and consequently received
a little better price. The bonds, which are payable in both Coming Offerings
Canada and the United States, will be disposed of across the ^^^^ following is a list of debentures offered for sale,
'■"'•"•, ,,,.,,. ,. , ,, , . particulars of which are given in this or previous issues:—
Included in the issues which are coming on the market „ ,
within the ne.xt week or so is that of Ontario. The province . ■,• ^ •■. i
K offering ?:!,000,000 »i per cent, three-year bonds, the pro- Borrower. Amount. Rate',. Maturity. close.
ceedfl of which are to be used to retire some treasury notes Glenwood, Man $ 2.>.000 ^\2 30-instal. Oct. 4
(luring the next two months. It is understood that the pro- Temiscammg, Que. . 24,.';00 6 2o-years Oct. 4
vince has some $."^,000,000 maturing obligations to meet this Sherbrooke, Que. . . 392,500 5 5-years Oct. 4,
fall, $2,000,000 on N'-ovember l.->th and *3,000,000 on Deceni- Amos, Que 55,000 6 20-insta!. Oct. 4
ber 1st. so that it is probable that there will be some addi- Chatham, N.B. ... 38,000 6 38-yr. ser. no date set j
tional financing, although nothing has yet been said of this. York Tp., Ont 185,280.53 6 10-inrtal. Oct. 4 ,
AssiniboiaR.M., Man. 277,925 6 20-instal. Oct. 5'
Home Fimincing Continues in Favor East Angus, Que. . . .50,000 6 20-instal. Oct. 5^
Ste. .Anne de Chicou-
That home financing is gaining favor is evident by the time. Que 2.i,000 5'i; 10-years Oct. 11
number of municipalities which are now selling tbeir bonds Ontario 3,000,000 .6 3-years Oct. 1.
locally. Ontario municipalities are the ones chiefly ejigaged Kentville, N.S 30,300 6 Oct. 18;
in this method of financing, and up to the present their efforts
have been attended with a certain amount of succes.s Owen ^^.^^^ ^^^^ ,,^ Chicoutimi. Que.-Sealcd tenders arei
Soun.l hn.s just announced that it has complete y disposed ^ ^^^^^,, ,,^. j,^^ ^.j„ ^^^.^ ^^^^^^^^ ^^^ ^^ I
of Its issue of $SH,000 G'-j per cent, debentures to local in- , , ir,- nnn -i. . ,n i u J n
, , ■ ,, , , 1 1 i> 1. 1 purchase of ?2.i.000 o'i per cent. 10-vear debentures. P.,
vcstors, and that more could have been sold. Hamilton also „ ,. ^.„,,„, „. ,,„„„„'„
., . .1 , /. ».■,.. ^^n ... II Gauthier, !-ccrct..rv-treasurer.
announces that the sale of $244,000 debentures is going well. „ «„„,.., Vi..« t„„^..,o v,„; „.i.-,j „„.;i n,. ■
if.L .1. •• , r .!.■ 1.7 I .u ■. 11 u n u . b,asi -Angus. (Jue. — Tenders are being asked until Oc-
i-nnnan'" 7'"", I ' ' •'' '" ' tober 5th, 1!.20. for the purchase of $50,000 6 per cent. 20-
$..00^00 to local purchasers. instalment .lebentures, interest payable half-yearlv. com-
Two Ontario townships expect to dispose of their secun- .. , ,.., ,„.,„ , , o- ■ ..
..,.,,.,','., "^ ., ^., . mcncing November l;>th, 1920. J. .\. Girard, secretary-
ties to the inhabitants of the community. Gloucester .
■ • «■ • ....^ ,^.... • I • . treasurer. '
IS one, and is now offering $.j0,863 in various denominations. .. , .,, »t o t" i n u • j ..-i /^ * u •
... , , . ., ., J rr n C-. I . 1 • . Kentville, .N.S. — Tenders will be received until Octoberi
Stamford is the other, and T. R. Stokes, township treasurer, j^.^^ jg.,,, ^^^ ^^^ purchase of the following 6 per cent, re-'
announces that the following debentures are now available f^^^.j,,., ,,ebentures: $2.-,.000 for waterworks, $2,500 for
to the investing public of Niagara Falls and Stamford at g^,,„„|^ j, ,^(,0 for exhibition grounds, $2..;00 for fire depart-
!»H: $18,22., 6 per cent. 20-ycars, proceeds to bo used for „,p„t ,5^,^ ,.><lvertisement elsewhere in this issue.) '
sidewalks, and S3.710 fi per cent. 20.years, the proceeds of .Mimico. Ont.— The town will issue debentures amounting'
which are to be used for sewers and water mains. t^ $45,000 to pay off the town's share of the cost of the Ham-
There is a limit to such financing, however. I'p to the ilton Highway
present nearly all of the issues have not been ver>" large, " Debenture Notes
and have been made by the muniripnlitics to tide them over
until the market becomes more normal. It is improbable that Whitby, Ont— The town will borrow $12,000 for sewer
.fuch .'i method will he mninlainod, that is, to any great ex- construction. ,
lent, iilthouirh those municipalities which have been particu- Newmarket. On!.— .A by-law to devote $20,000 for addi-'
hirly siin-.Msful will no doubt try again. tional eciuipnunt for the waterworks has been passed. I
.\l tlie time it was suggested that Toronto sell debcn- Tilbury. Ont.— Ratepayers have endorsed a by-law to
tures to local citizens to finance the purchase of the street guarantee the bonds of the Tilbury Auto Truck Co., to the
iiiilwiiy. one ImnH leolor -tiited thnt only ritxmt n half or amount of $20,000.
this Chllliwnck, B.C. — A money by-law authorizing the bori
ance rowing of $75,000 f ( r school building is before the rate-
• sted payer? for consideration.
if .. w»...Urii > il\ , . can _ SI. John, N.B.— Bonil issues to the amount of $3,275 foi
lit in n reasnnnbh 'H it improvcnirnts to the city whar\es and other improvement!
.7. I . •■• rnuld dispct-v .■! i ..n> .,i least have been approved by the common council.
two >■< lire. Napanco. Ont. — Ratepayers will vote on a by-law in th(
!• Winniprr will di»pr"r of its whole near future for the purchase of water works owned by th»
1 and Napanee Water Works Co., at a price of $70,000.
his Dominion. N.S.— Ratepayers have given their approva
need of the horrovvinc of the following amounts: $25,000 for schoo
left purposes. $10,000 for fire protection, $5,000 for repairs t<
tory sidewalks.
thnt Fort William. Ont.— On October l.Sth. 1920, i-atepayen;
I in will be asked to vote on a by-law authorizing the issue oi
that debentures to the amount of $12,500 for road purposes ir'
L of .Vlhtrtii has only been able '-j a.siise of connection with the Fort William Pulp and Paper Co.'s new
■ ii ,: -i.i.iioo out of $1,000,000 in the past two months or paper plant
October 1, 1920
THE MONETARY TIMES
6.30%
for Twenty Years
Twenty years of freedom from investment
care is offered to purchasers of Province
of Saskatchewan 6".. Gold Bonds.
During this period, an interest return of
6.30 ^ is assured, while to collect this inter-
est, coupons need only be clipped and
cashed once every six months.
Saskatchewan ranks as one of Canada's
VN'ealthiest Provinces. The value of her
wheat and oat crop alone this year is esti-
mated at approximately $400,000,000.
We offer, in $500 and $1,000 denominations.
Province of Saskatchewan 6",. Gold Bonds
at 96.62 and interest, yielding 6.30\,.
Wood, Gundy & Company
Montreal
Saskatoon
Canadian I'acific Railway Building
Toronto
New York
London, Eng.
In Trust For
Canadian
Investors
Our business exists by reason of the confi-
dence of Canadian investors.
This confidence has been built up, over a
period of years, by our having brought to-
gether basic Canadian industries seeking
capital and Canadian, British and American
investors willing to provide it.
That we have been successful in so doing is
indicated by the list of more than forty great
Canadian industries, whose securities we have
placed with investors.
A postal will add your name to our mailinv:
Royal Securities
^ '^CORPORATION
L. I
TORONTO
WINNIPEG
M J T E O
.NfONTl'H.-VL
H.VLIFAX ST. JOHN. N B.
VANCOUVER NEW YORK
LONDON. Ene.
i
W L. .McKinn
Dean H. I'Ltt
end the purchase of
VICTORY LOAN
1927
1937
1923
I93;t
1924
1934
at the fallowipR prices :—
PRICE
98 and Interest yieUiinj; 6.38 „
97 ■• ■' ■■ 6.00"o
9S ■ ■ 5.68%
as • 6.14%
m^ ■■ ■ 5.88%
97" • ■■ 6.27%
93 ■■ •• ■• 6.24%
Orders m.iy be telephoned or lclegr.Tphcd at our expense.
W. L. McKINNON & CO.
McKinnon Building - TORONTO
-^llIIIDIIIjililllMinillllllH
Re-invest your
OCTOBER
Interest and Dividends
In High-Grade Government and
Municipal Bonds
Securjiy
Due
Province of Onlatio 6
19.30
4
1957
(Guaranteeing Hvdro
Klcc. r Cotii.)
Prov. of .Mberla .S
1922
" SaskaUiiewan 6
1940
" \ew Uiiiiiswick 5 J
1929
City of WinnipeK 4
192S
fi
1940
" " Vancouver 4
1944
•• Hr.dilford 4 J
19.30
" Ni.ivjara 1-alls .S
1922
Particulars on request
W. A. MACKENZIE & CO.
Cov,,nnic«l ,in.l Municipal Bo,
.;.-.
42 King St. West
TORONTO -:- CANADA
i
THE MONETARY TIMES
Volume 65.
Alberta. — A rather unique deal was put through recently
when the Hong Kong and Shanghai Banking Corporation,
of China, acting for a client, sent a draft to the provincial
government for $300, in return for which it wants .Alberta
savings certificates for a like amount. This is the first time
that savings certificates of the province have crossed the
province.
Winnipeg. Man. — E.xpenditure of more than $1,000,000
in hydro-electric developments in rural Manitoba may bo
undertaken under the government hydro-electric policy in
1921 if the legislature next session authorizes continuation
of this policy to the extent of applications already received.
Announcement to this effect has been made by J. M. Leamy,
Provincial Power Commissioner.
Three Kivers, Que. — Tenders are being receive<l until
October llth, 1920, for the purchase of $700,000 6 per cent.
10-year debentures. Iptercst is payable semi-annually, and
both interest and principal are payable in Canada only at
the Bank of Hochelaga at Three Rivers, Montreal or Quebec.
Kvery tender must be accompanied by a certified cheque
e'|ual to one per cent, of the total amount of the issue. De-
bentures are dated November 2nd, 1920. A. N'obert, treasurer.
Windsor, Ont.— The $37fi,.'i48 .SVi: and 6 per cent, deben-
tures, maturing in 10 and 20 instalments, which were pur-
chased by A. E. Ames and Company in July at 9."i.G31, have
been turned back upon the city because one of the issues had
not been passed upon by the people, and was not, therefore,
acceptable to the Ontario Municipal and Railway Board.
These debentures, together with $125,000, issued under the
municipal housing scheme, will again be placed upon the
market.
Toronto, Ont. — The city council has given third and final
reading to a by-law authorizing the expenditure of $1,2.'30,000
for the extension of Teraulay Street. In addition, four other
debenture by-laws have been passed by the council as fol-
lows: $1.0.'iS,000 for public school buildings and sites: $804,-
000 for the Toronto Mousing Commission, in lieu of another
by-law for $1,019,000; $1 .".5.000 for the purpose of enlarging
high schools; $776,000 for public school enlargements and to
make up a shortage in previous issues.
Es.sex Border I'tilities. Ont. — A. E. Ames and Co. have
purchased from the commission $117,615 6 per cent. 28-in-
stalmcnt debentures. When the commission called for tenders
a short time ago three offers were received, and the highest,
which was from Wood, Gundy and Co., was accepted. Owing
to some legal ditTerence, however. Wood, (lundy and Co. could
not take the bon<ls and private arrangements were then made
with .\. E. .\mes anil Co., who are now offering the bonds
on about a 7 per cent, basis.
SaHkatchowan. — The following is a list of <li;benturcs
reported sold from .August 21st to September lOlh, 1920: —
Schools— Cupar, $'27,000, Ardath, $36,500; Harris, Read
and Co. Pcveril. $1,250; Nay and James. Clunie, $1,200.
.Morton. $2,000. Onward. $1,000; C. M. Gripton. Niagara, tint.
Ode.Rsa. $7,000; Heginn P.S. Sinking Fund. Moorinnd. $1,000;
Alex. Murray. Bcthune. Wcslcrlund. $5,000, South Valley.
$5,000. Galloway. $4,000, Summer. $4,000. Corn Valley, Water-
man-Waterbury Manufacturing Co. Coolidge. $4,000; C. N.
Bcedy. Birch Hills. Ellsridghill. $6,500; H. J. Birkett and
Co.. Toronto. Ont.
Telephones.— Whifewoo.l. $10,000, Carlton, $15,000, Gar-
nock. $6,000. H»rri,«. $2,200, Bri^'btholnio. $21,000. Good Luck.
$3K,000. Viiwn. $2,000, Sturgis. S23.500. Wolverton. $19,500.
1 ..!i!'l>iink, $4,000; W. 1,. McKinnon and Co. Alpha. $4.S00.
li. •...re Zorn. $12,400. Arran. $53,000; Grayson Northern.
;• '" Ml, Lnrkhill. $8,200; Harris. Read and Co. St. Leonards,
-. Strathcona, $9,200; R. O. Berwick and Co. Odessa.
; Pirt and Pirl. Greenfield. $14,425. Verigin. $30.2.'.0;
U I. Gundy and Co. South Bclhunc. $1,000; J. H. Peel.
Kcudlyn, $10,200; C. V. Williams.
Saskatchewan. — The following i« a lirt of authorizations
granted by the Local Government Board from September
mh to 17th. 1920:—
Schools.— Bellcau. $2,300 lO-ycars 8 per cent- instal-
ment; Anderson, $600 4-years 8 per cent, instalment; Frolich,
$3,000 10-ycars 8 per cent, annuity; Quill Lake, $16,000 8 per
cent. 20-years annuity; Robert, $3,000 8 per cent. 15-years
annuity; Oakshela, $4,000 8 per cent. lO-years instalment;
N'okomis, $12,000 8 per cent. 15-years annuity.
Rural Telephones. — 15-yeavs, 8 per cent, annuity: Bert-
dale, $6,300; Earl Grey Sylvan, $12,000; Heavylands, $400; I
Pilger, $21,300; Stenen, $27,900; Baljennie, $7,500; Dunleath,!
$7,300; Hony, $1,700. j
Villages.— Loreburn, $2,600 8 per cent. 10-years instal-
ment, for village well; Summerbury, $2,500 8 per cent. 10- 1
years instalment, for rink. '
Bond Sales j
Trenton, Ont. — Wood, Gundy and Company have pur-i
chased $12,000 6'-i per cent. 20-instalment bonds at a pricel
which is on a basis of about 6^4 per cent. '
Edmonton. .\lta. — City Treasurer Barnhouse advises 7/ii-|
Moihliiry Timrs that the city recently sold to W. Ross Alger^
and Co. $124,000 6 per cent. 2-year notes, w-hich are secured)
against hypothecated long-term debentures. |
Saskatchewan. — The following is a list of sales reported;
by the Local Government Board from September llth to 17th,
1920:— I
School Districts.— Cresswell, $600; C. M. Gripton, St.;
Catharines, Ont. Coppice Hill, $3,600; A. B. Smith, Mooso-I
min. Memorial, $4,600, Victory Hill, $4,000, Thatch Creek.S
$5,600; Waterman- Waterbury Manufacturing Co., Regina.i
Peach View, $6,050, West Luseland, $4,500; Nay and James,,
Regina. Lac Vert, $900; local purchasers. Arbor Hill, $600;
C. H. Inkster, Bressaylor.
Rural Telephones.— Silver Lake, $6,200, LeRoss. $19,400;
W. L. McKinnon and Co., Regina. Zorra MacNutt, $1,900;'
R. 0. Benvick, Regina. Luton, $950, Dubuc Northern, $2,600;
N. Norman. Iron Springs, $9,200; Quill City, $7,700; T. WJ
Brown, Saskatoon. |
Town of Whitewood. $3,000; local purchasers.
Municipality of Chester, $9,500; International Loan Co.,1
of Winnipeg, at par. '
Ottawa. Ont.— The city this week awarded $2,300,232
6 per cent, instalment debentures, maturing from 10 to 3C
years, to the United Financjal Corporation. Ltd.. and syndi-j
cate. at a price of 97.29. or at a cost to the city of about 6.3c!
per cent, for its money. Tenders received on the issue wert'
as follows: —
Payable in
Canada and Payable in
United States. Canada only.
The I'nited Financial Corporation,
Ltd., Guaranty Trust Co. of New '
York. E. H. Rollins and Sons,
Boston. Ncsbilt, Thomson and
Co., Ltd 97.29
A. E. Ames and Co. and Dominion
Securities Corporation, Ltd 96.39 94.34
Wood. Gundy and Co 96.64 94.59
Harris. Forbes and Co.. Boston *86.50
National City Co., Ltd., Hanson
Bros., R. C. Matthews and Co.,
Harris, Forbes and Co., Inc.,
/Emilius Jarvis and Co., Ltd.,
The Home Bank of Canada 93.67
W. A. Mackenzie and Co. and R. A.
Daly and Co 94.17 92.07
Miller and Co. and Brandon, Gordon
and Waddell 10-years •85.07
15-years 81.67
20-years 81.62
30-years 79.25
•New York funds.
Wood, Gundy and Company, Toronto, are securing
Manitoba charter, with a capital of $250,000, and are open
injt a branch office in Winnipeg.
October 1, 1920
THE MONETARY T I .M E S
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7i%
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B. HALIFAX, N.S.
Greater Winnipeg Water
DISTRICT
6% BONDS DUE 1940
Price 97.17 r„"ere., Yielding 6i%
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
UNION TRUST BUILDING
WINNIPEG
An Investment of the high-
est grade, bearing 5K^
(free of Federal Income Tax)
and yielding over 5.90'^
for over thirteen years —
1933 Victory Bonds
Price on application
Bond Departmenl
The Canada Trust Co^^pany
Toronto, Ont.
Manitoba Finance Corporation Ltd.
Investment Brokers, Financial Agents, Etc.
Winnipeg, Man.
Head Orr.c.
410-11 Electric RIy. Chambers
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
f i»ca/ Agent for Manitoba. Alberta Flour Mills, Limited
NIBLOCK & TULL, Limited
STOCK. BOND and GRAIN BROKERS
(Direct Private Wirel
Grain Elxchange
Calgary, Alta.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
aranches-SASKATOO.N AND CALOARY.
Canadian Managers
iNVBSTaKNT CORl'ORATIOR OP CANADA, LtD.
London Office: 4 Great Winchester St.. B.C.
X
Vancouver District Property
Expert Estate Agents and ManaRcrs
Property Bought and Sold, Valued. Rented and
Reported on. Correspondence invited.
Vancouver
WAGHORN GWYNN Co., Ltd.
Northern Securities, Limited
t-STAHI.ISHHU II*
GENERAL FINANCIAL BROKER
Confidtnlial Advice on Brilith Columbia InvctmentM
vtcmbcr of vl<irtx>i:e and Trust Companies Association of British Columhia
529 Pender Street W. VANCOUVER. B.C.
H GROKGB HANSI.LI) .I.P.. Mnniisc-
MACAULAY & NICOLLS
INSURANCE OF ALL CLASSES
ESTATES MANAGED
746 Hastings Street - VANCOUVER, B.C.
C. H. .MAC-ALLAY
,J. V. .MCOLLS, Notify H
P. M. LIDDELL & COMPANY
Investment Banlfers. Fiscal Agents
Insurance Brolfcrs
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
THE MONETARY TIMES
Volume 65.
Corporation Securities Market
Canadian Stock Markets Weak- Larud) Inlluenced In Wall Street and 1 ailing' Prices in the
United States— Merger Stocks Strenuthen I pon the Announcement that ^tock of the Con-
solidation Has Been Underwritten in England-Four New Listings in Montreal and Toronto
Listed
PUICK i-jiluctions by some manufucturcrs in the United
Slates were responsible for a very weak slock market
in New York, durinj? the week ended September 2!i. at least
as far as the industrial section of the exchanRe was con-
cerned. General business adjustment is now in progress
ihrouKhout the country and further cuts in prices of com-
modities are certain. This will mean, for the time at least,
reduced earnings, and consequently lower profits, although
il is probable that cuts in prices will result in an increased
volume of trading. Runs on Boston savings were considered
purely local in their significance, and did not affect the
slock' market to any extent. It was stated by the oflicials
that the position of a few trust companies in Boston is not
typical of the general banking situation in the country.
Canadian stocks were largely influenced by Wall Street,
and the market, both in Montreal and Toronto, was weak.
Peclincs in papers were especially notable. A feature of
the market in both cities, was the .strength in the "merger"
issues. For .some time. Dominion Steel and Canada Steam-
ships particularly had shown a weakening tendency. This,
of course, brought out several rumours, which were far from
favorably influencing those issues. Upon the olTicial an-
lu.uiuinient that the stock of the British Kmpire Steel
r<irii(iratiiin had been underwritten in London, and that
■at i factory progress was being made, however, all issues
romiccled with the consolidation, particularly the two men-
tioned, displayed remarkable activity and strength. Gains
in this section niso helped to improve the general senti-
iMcnt.
The banking section was weak, while prices of bonds
also fell away. In Toronto Rio Janeiro was down (i points.
British Empire Steel Shares
According to cable advices received by Sir Henry
Pellntt, a director of the llominion Steel Corporation at
Toronto, from Col. Grant Morden, now in England, stated
til of .?jr>,000,000 8 per cent, preferred stock
,,; Kmpire Steel Corponition, which had been
oil. !:iin, had been underwritten by important
Biili.-ii ^lt•l.'l interests. It was further stated that the trans-
fers of the Eerurities in connection with the merger will
take place as of November 1. It was explained by Sir Henry
that for the present the money raised through the sale of
the stock mentioned would bf '■<•(' in KnirlnnH. »nd arrange-
ments had been made with ■ in Can-
ada to advance money r ' of tl>"^
industry on the security I'i '■ was ex-
pected that this arrangement would last until p<»rhap9
some lime next year, when the position of exchange might
justify the remittance of the funds to Canada.
New Share
A block of $700,000 common stocK ui ii,l- Lake ui
the Woods Milling Co., Ltd., was listed on the Toronto Stock
Exchange this week and called for the first time. This
stock was issued as a result of a decision of directors, for
allotment to shareholders on the basis of one share of new
stock for every four already held of old stock and was in
the form of a special dividend.
As a result of the readjustment of the capitalization
of the Wabasso Cotton Co., particulars of which were given
in these columns last week, :i5,000 shaies of no nominal or
par value, will be called on the Montreal Stock Exchange
imniedi.-itely. Holders of the old stock have received two
new .shares of no par value lor each former share of $100
each.
Common and prc.'eired stock of the Abitibi Power and
Pi.ier Co., Ltd., was called on the Toronto Stock Exchange
for the iirst time this week. These securities have been
dealt in (renuently in the unlisteJ department, and it has
bei ' -eii wi.sh of the officials of the exchange
for liHt the more active, at least, of the un-
li^tr :ld be transferred to the listed section. The
Abitil.i Co. has $1,000,000 preferred .stock outstanding and
J.'.0,000 shares of no par value under the plan adopted at
the annual meeting in April last.
An issue of .>1,000,000 additional Canadian General
Electric common stock, which was authorized by the direc-
tors in December last, was listed on the Toronto Exchange
this week. The paid-up common stock of the Canadian
General is now $8,000,000. and the preferred $2,000,000.
New Stock Issues
Mauson Motors, Ltd., Toronto, Ont., are ofTerinji .■- pvi
cent., cumulative preferred stock (par value of $10), at par.
with a bonus of ."0 per cent, of common stock (par value
also ilO). The authorized capital of the company is $1,-
500,000.
The Prudential Bond and Security Co., Toronto, are
offering common shai-es of the Lion Tiie and Rubber Co.,
I.,td. (j-ar value $101. at par. with a bonus of 30 per cent.
The King lieach Co.. Mission City. B.C., which was
incorporated in .Alay. li'iri, and has successfully carried on
business since that date, recently went into voluntary liqui-
dation recently, and was re-incorporated for the purpose
of reorganization, under the name of the King Beach Mfg.
Co., with an authorized capital of $.S00.O0O. The stock of
the olil company was largely held by English investors
under the name of the Anglo-British Columbia Packing Co.,
Ltd.. of London. Eng., and some other local people. Under
the new organization there will be no offering of stock to
the public, and whatever is issued will be ab.sorbed privately.
UNLISTHD ShCDRlTIHS
J. Padtson. Jr.. A Co
!•••«)'
Hu.
Slcrlmii Mank
Ill-
stcrlinsCojl
. - com.
1.^
Torontn Paper.
.... B's
S.i
Toronto Powcr.
S's (ISiO
8a..<io
Truet A Guar..
67
C'nitcd Cigar Sic
res com.
....
■ .p(d
1.70
'HI Western Assura
ncc..
in
WhalcnPulp. .
- . . com
I ivs ■• ■■ ..
prrf
October 1, 1920
THE MONETARY TIMES
We Offer
SCHOOL BONDS
Province of Alberta
I Maturing 10 and 15 Years
to yield I
7 to 7 '+ % j
IVe Specially Recommend these Bonds as Sound Investments
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto Bldg. Royal Bank Chambers
EDMONTON CALGARY
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Members of Winnipeg Real Estate Elxchange, Winnipeg Stock Elxchange
BENEFIT BY
EXCHANGE
We have a limited amount of
1st Mortgage Gold Bonds
w.lh Pnnr.pal and Im.TCSl payahl,- .„
New York Funds
Guaranteed by one of Canada's Largest
Manufacturing Concerns.
Price to Yield 7;^%
H'rilc. phone or call for particulars.
Thornton Davidson & Co
Umited
CuvcrnmcnI. Municipol jnJ Olh^r
Investment Securities
Head Office: Transportation Bldg., MONTREAL
132 St. Peter Street 63 Sparks Street
QUEBEC OTTAWA
DEALERS IN
Government, Municipal
and Corporation Bonds
Correspondence Solicited
A. H. Martens & Company
■.Members Tjronto Stock Exchange
ROYAL BA.NK BLTLDING, TORONTO
61 Broadway,
New York N.Y.
Harris Trust Bldg.
Chicago, III.
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
Private Wum to WIN.MPEG. CHICAGO. TORONTO.
MONTRliAL AND NEW YORK
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offering.s also any British
Columbia Government and Municipal issues.
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vaincouver, B.C.
Victoria, B.C.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OUR COUNSEL AND AD\ K I
Willoughby Sumner Limited
Ej«ibli>hed 19001
Membcrt of the Winnipeg Cr.in Elzchange
Private aire to ll'innipeg. Toronto. Montreal, Chicago
and i\en> Yor^
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
»10MU»:»I— Mrrk limli-il .»<|il. ■-•IMh.
<Ki«urcH supplied by Buhsett A Co.)
Hlock«
Sales Open : High Low ; CI
Ahilibi PAH .-.(new) SSSO
■■ pfd. .
Ames Holdcn pfd.
Atbcuto* Corp
pfd. I
AlUntic Sugar |
....pfd.
Ikll Tolcnhonc ]
l)r.i/ili..n T L.&Powcrl
llr.iri.|'t..n I'ulp * P. .
CaniiJii Cement
•• ...pfd.
Cjn- Con.
Canadian Cottons
...pfd.
CanadiunCur
....pfd.
CP.R
Canadian Gen. Blec...
Can. Steamship
■• •• pfd.
■' " Vot. Trust
Con. MininK & Smcl..
Oet. Ry»
Dom. Canners
....pfd.
Dominion BridKC
Dominion Glass
...pfd.
Dom. Iron pfd.
Dom. Steel Corp
..pfd.
Dominion Textile
..pfd.
Goodwins Ltd pfd.
HlllcresI
Howard Smith
pfd.
Illinois.
Lake of the Woods..
..pfd.
Laurcniidc
Macdonnid Co
Mont. Cots. Ltd
...pid.
Montreal Power
Montreal Tram
Telegraph.
Deb.
National Brewciiis... .
Oitilvie Flour .Mills .
.pfd.
Ont. Steel Prod
....pfd.
Penmnns
St
81) I 82
n
l(Mi Mil
87
MM «
.VSO Ul
.taoi 13S
•iSl 101
IB 75
S SO
'S7"l 49
63i i Hit
28 XOt
SO IS
249) 182
i9i.^ iisi
I to 32
7! aoi
is28 80i
S 11.'!
00| 67
«a, eci
Pr.iv Purer
Quebec l() L. H.*P..
Hiordnn I'ulpA P
pfd.
St. Lawrence Fl. Mills,
••..pfd
Scotll pfd
Showlnignn W. « P ...
Sherwm Williams, pfd
Spanish Kiver
" Div.Vou
..pfd
St. Maurice
Steel Co of Canada...
• •• pfd
pId ,
58; 101
■/TO 75
lot 731
45i 17/
30l 365
120 117
895 28)
346 214
25 gai
115) I 112 114
32 1 311 I 31)
80i I 80i 80}
115 IIS I 115
67 66) I 66]
lOll ' 101
75 70
73J Ztl
82
99
•am
106
2
94
6384
I23t
10
9
4883
l2Si
145
145
I-/00
■io
68
70
tw mi
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!7l I74t
Il8t I 118
14.1)
100
176) 175) 175)
Hands
Asbestos Corp.
Bell Telephone C"
C«n Ccnienl
Cnn. Coll. .ns
Ce.lars Rapi.ls M<
Can Hubbrr
City Mont 1
Dom. Can
Victory Bonds. I?."
wi
lli>\IUL.lL-Cuii<irti<.:<i.
Itiinil>
L>om. Cottons .
Dom. Textile A
Sales
Open
High
Low
Close
Dom. Iron
6000
80)
80)
80)
80)
Montreal Power
2000
B3i
83)
83)
83)
n)
87)'
I'ort,. Kico
Price Bros
Quebec Hy. L. H.*P.
Kiorilon Pulp A Paper.
Sherwin-Williams.
Spanish River
Steel Co. of Canada..
Waba^so Cotton
WayBitamnck P. * P. . .
'JOOO
87)
87)
3100
61
61
60
60
.. ......
.::::;
3000
i3400
95
"m"
re"
95
iij'
95
"sij
TOKO.VrO-Wrrk Cndrd Mrpl. ISIb.
Marks
1
Sales; Open
High
Low
Close
Atlantic Sugar .
315 141
141
I32t
132)
Abitibi
160 77)
781
76]
76]
.pId.
1
liarcclonn
10 4)
4)
*i
4)
Mcll Telephone .
23 103
104
102)
102
Brazilian Tr.lction. . .
IS8l' 36)
37
35
35
Burt. K. S
30 98
9S)
98
98
Cnn. Bread
i3l< 25
25)
■Hi
24
■ pfd.
10 86
86
86
86
Canada Cement .
!pf<L
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October 1, 1920
THE MONETARY TIMES
INSURANCE LEGISLATION AT COAST FORECASTED
Attorney General Farris Addresses Vancouver Insurance
Men — Recognizes \alue and Promises Hearing
(Special to The Monetary Tiiiiei.)
Vancouver, Sept. 24, 1920.
TR2 Hon. J. W. De B. Farris, attorney general of British
Columbia, spoke upon the question of life insurance
legislation before the Life Underwriters' Association of
Vancouver at their get-together luncheon to-day. He opened
his address with the suggestion that the legislators who
were obliged to live in Victoria did not get the "Life
Current" to the same extent that they would if they were
stationed in the commercial metropolis of Vancouver, and
in this connection he spoke of the psychological influence
brought to bear upon him by the insurance men who adopted
the plan of inviting him to come to Vancouver and investi-
gate the insurance situation for himself, that he might be
prepared in the event of possible future legislative measures
being introduced by the insurance fraternity. He thought
theirs was a better plan than that which, say, the lawyers
would likely adopt, who w-ere in the habit of compiling a
great mass of facts and figures and coming with them to
Victoria for the purpose of placing them befoi'e his Depart-
ment, to be considered by them first-handed without any
previous investigation on their part.
New Legislation
He had been advertised to speak on "Future Legisla-
tion." No politician would care to do that. He could only
express his personal views. However, he could go into de-
tails more or less on the legislation the government had
passed. They had found by the investigation in the Insur-
ance Department that insurance was being placed on the
lives of infants at law — that is, persons under 21 years of age —
which was not legal in this province. It was, however, in
other provinces. It was decided to pass legislation granting
legal sanction to contracts already in force for this form of
insurance, and to make it legal hereafter to insure persons
from 16 to 21, or for such persons to insure their own lives,
the premiums not being limited in amount.
So far as children were concerned, legislation was
passed making it legal for parents to insure the lives of
children from 1 to 2 years of age, limiting the amount of
insurance to $32.00, and so on up by a sliding scale until
16 years of age was reached. For instance, the maximum
amount of insurance for children of 9 to 10 years of age was
S260. Before this legislation was passed, insurance com-
panies had placed no restrictions on the amount. Away back
in 1774 insurance was looked upon as so much gambling,
and while in subsequent years a man was allowed to insure
his own life, he was not legally permitted to insure another
man's life. A father could not insure a child, a husband a
wife, or a wife a husband. These ideas, however, in this
enlightened age are not universally accepted as sound, al-
though in this province, so far as beneficiaries were con-
cerned, if a father placed insurance on his life for the benefit
of his family group — his wife and children— he could not
change his beneficiaries in the policy of his own accord, nor
could the insurance policy be used for liquidating business
obligations, although he could change the amount of benefit
to be received by the different beneficiaries after his death.
These beneficiary laws again vary in each province,
and although they had in this province the machinery and
the desire to conform to the laws of other provinces, they
could only legislate for themselves. They had, in fact, fallen
in line with the suggestion that there be an annual central
convention of lawyers from all the provinces whose duty
it would be to look into laws which are dissimilar in the
various provinces and submit drafts of new laws on various
subjects which shall be uniform in all the provinces.
Legislation has been passed empowering British Columbia to
appoint commissioners to this convention, and Mr. J. N. Ellis,
Mr. Courtenay and Mr Pineo were the government's choice.
In fact, Jlr. Courtenay and Mr Ellis were now in Ottawa
upon this very service.
"A word to the wise was sufficient" that central confer-
ence is the place to submit suggestions for Life Insurance
Legislation. Any suggestion made to him by the Insurance
men would be carefully considered by his department, and if
it was thought advisable, would be placed before this Central
Conference, whose sole object was to labor for the general
good of the Province as a whole so far as her laws were
concerned.
Licensing Insurance Agents
The primary object of all legislation was to do the
greatest good for the greatest number. This must be con-
sidered in taking up the question of licensing agents. "Of
course," the attorney general remarked jocularly, "we know
that all you wish is to pay us a big fat fee so that we may
have another source of revenue, and of course the govern-
ment is out to touch everybody as heavily and as frequently
as possible." But there was another side of the question,
he said, in continuing — Was it to be for the common good?
They had this same question up with different associations.
The real estate men came to them with an act all dva'vn
up to suit themselves. They submitted it to him, to the
premier, and it afterwards was up in caucus, and it then
came before the House and was turned down cold. This
suggested legislation required :he government to submit
every applicant who wished to sell real estate to an exam-
ination as to his competency, and there were so many ques-
tions that an applicant would be obliged to answer correctly
and on his honor, that one wag suggested that one of the
questions be: 'Are you a member of a regularly consti-
tuted Liberal Association?' However, as the real estate
men seriously wished to have agents licensed, the govern-
ment passed a law requiring every man who sold real estate
to secure a license from the government, the price of the
license being $10.00, but that is not all. The government
appointed commissioners in different centres in the province
whose duty it was to investigate any charge of fraud or
misrepresentation, and if the representations of the commis-
sioner are such as to warrant it on investigation, the govern-
ment suspends or cancels the license of the erring real estate
agent.
Now, the life insurance agents may be assured if they
wish to be licensed and protected in other ways, if their
wishe- were reasonable and for the common good; then let
them come to Victoria and meet them around the table. He
would not promise them anything. He could not do that,
but he could give them his personal views. He believed that
if they required an applicant who desired to become an in-
surance agent to pass a stiff examination before a govern-
ment board, it would place them in a false and invidious
position, but on the other hand .some simple examinations, so
far as life insurance is concerned, might be arranged. The
applicant should know the nature of the business in which
he is to engage and to understand the kind of insurance he
is offering his prospect.
F. S. RATLIFF & CO.
FARM LANDS-FARM LOANS
STOCKS AND BONDS
Medicine Hat Alberta
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Wr.liTii Milillrliml. "rlniol ami •.ii.l.m. In- vi nn Kiinil T^lr-
ph >iir « i>. .IrlKOIiiri-. .p<rlnlll.il In.
Corrciponjcncc invited
GRAINGER BUILDING ■ SASKATOON
THE MONETARY TIMES
Corporation Finance
Bell Telephone Case Concluded Temporarily— Canadian Pacific Net Earnings Again Lower
in August— Gross Increased Seventeen Per Cent., but Operating Expenses Advanced More
Than Double That Kate— Montreal Tramways Kevenue No! Suflicient to Meet Requirements
Canada Foundrii-s and KorRinKs Co. — At a meeting of
the .shareholders of the company in Brockville, Ont., on Sep-
tembei- L'S, approval was given to the directors' decision to
.sell the Buffalo subsidiary of the company, the Delaney Iron
and Force Co., Inc. Provision is made for the bargain to be
linally completed and the transfers made within the next
si.xty days.
Canada Bread Company. — .At the annual meeting of the
company in Toronto on September 28, D. O. Ellis, of Tor-
onto, and A. A. Kyley, of Winnipeg, were added to the board
of directors, and H. C. Tomlin and George Weston retired.
President Mark Bredin was in the chair. No action was
taken regurding dividend on the common stock, the share-
holders Leing informed that the company's financial effort
would be concentrated in the near future, on the construc-
tion of a fine new plant costing ?;!00,000 on its Danforth
Aveinie property. It was considered that the position of
the company had shown good progress, business now being
carried on in Hamilton, as well as Montreal, Winnipeg, and
Toronto. Last year was the best in the company's history,
and an even better one in volume was expected this year.
M.irk Bredin was re-elected president, and W. T. Bredin was
chosen vice-president.
Canadian Pacific Railway. — The monthly earnings state-
ment of the ctmipany i.ssued this week showed that gross
earnings during the month of .August increased by upward
of 17 per cent., but working expenses advanced by over :i7
per cent, in the period, leaving the net figure lower by
?l,577.3.'5r) than in August of last year, a decline of over
41 per cent. .As in the previous month's statement, the ex-
penses include provision for the estimated increase under
the new wage award.
The ratio of working expenses to gross earning.^ in
August was upward of 88 per cent., as compared with ap-
proximately 71") per cent, during the corresponding period in
19l!». The gross figures for the month constitute a record
in the history of the road, as do the e\pr>n-r = .
for the month follow:- < i^'s, $17,-
'■''■•■ lits, $L',200.8i:!; net dec ;.i5.
•nngs for eight months, :f; ... . net pro-
fit.s, ,sl".,-l,s,i.sr); net decrease, .<;:i,712,8lio.
Port .Arthur Shipbuilding Co.. Ltd. — For the year ended
.Iiiiic :;((. \>>20, net earnings of the company amounted to
> :'il.j|... as against $517..')(i:i in the previous year. The re-
poit iiuluatc.M a slackening of operations, following thi busy
period in shipbuilding during the war.
The Port Arthur Company was con.nidercd as one of the
• orpin :it ions to enter the British Kmpire Steel Corporation
when till- merger w.i,< first proposed early in the summer,
1 nr %v., :iftervvard? withdrawn from il, ni,..),..,,,.
profits for the year wi .,.d with
Ccnernl nnd adminisi nowed a
■'I.IS.'t, as :. 1 Other in-
''"'' "mpared n The sum of
*^'"' I for anion ,i:,nt additions,
bond inliio...i and ini.scellaneous chaiges, iis against J2:U,-
764 Inst year. The assets of the company ore slightly re-
duced at $."i.!»,'«2,IC.2, as against ?r>.l.-,4,i»02.
Marconi WircleM Telegraph Co. of Canada. Ltd.— Par-
ticulars of the amiiation of the company with the Conadion
General Electric Co. have now been announced. Piroctors
of the new organization are as follows: Hon. Sir Frederic
Xicliolls. president. Senator G. Marconi. A. E. Dyment nnd
Rotit. niikrnlike, virr-prosidcnts. and the following dirwtors:
Sir Wdliani Mackenzie, Godfrey C. Isaacs. G. M. Bosu-orth,
C. Greenshields. K.C.. and A. H. Morse, manairing director.
Plans involved in the reorganization call for the in-
crease in the authorized capital of the company to provide
additional working capital, and the acquisition of valuable
wireless patents controlled by the Canadian General Electric
Co. Among the patents involved are the Alexanderson alter-
nator, the manufacture of the Fleming valve and the Alex-
anderson multiple aerial.
A merger was effected in the United States some months
ago between the .American Jlarconi Co. and the wireless in-
terests of the General Electric Co. of America, the merger
interests being incorporated under the name Radio Corpoia-
tion of America. As a result, the Radio Corporation at once
became the sta-ongest of eight of its constituents, financially
and otherwise, since it gained control of essential wireless
patents
The various Marconi interests in the British Empiie
elsewhere Ihan in Canada became entitled to the use of all
the wiieless patents owned and controlled by the General
Electric Co. of .America. Canada was not included in this
operation because of the fact that the Canadian equipments
of the wireless patents of the General Electric Co. of America
were owned in Canada by the Canadian General Electric Co.,
Ltd., which is not under control of the American organiza-
tion.
The merging of the Marconi Co. and Canadian General
Electric will naturally overcome this serious difficulty.
Bell Telephone Company. — The hearing of the com-
pany's application for increased rales which commenced in
CHlawa on September Ll, lielore the Dominion Board of
Railway Commissioners, was concluded on September 23.
Glyn Osier, counsel for the company, in closing the case
stated that he might have to call one or two more witnesses
when the next hearing took place, but, generally speaking,
the company had finished.
1 luring the hearing several witnesses had appeared for
the company, including C. F. Si.se, vice-president and general
manager, and I. W. Killam. of the Royal Securities Cor-
poration. The basis of the company's argument was that
the corporation is hugely capitalized, b-jt is not making
money on its investment, and in addition is not making pro-
vision for depreciation and reserve. Figures were sub-
mitted to back this contention. The increase in rates sought
is conserv-ntively estimated to bring in revenue of 84,500,000,
enabling the company to pay .^n 8 per cent, dividend, and
make other necessary provisions.
At the conclusion of the hearing, H. G. Atwater, rate
ingincer for the .Amciican Telegraph and Telephone Com-
pany, with offices in New York, was called as a witness to
testify to the method adopted at arriving at the proposed
new rates. In answer to questions by F. B. Proctor, counsel
for the city of Ottawa, Mr. Atwater said that he could not
tell definitely whether the adoption of the "measured"
system for bu.siness telephones would restrict users of tele-
1 hones very greatly. He did not think it would in any way
cripple busjners. It was suggested by counsel opposing the
application that an expert should be brought from the
United Stjifes, where the "measured" system is used, to ex-
plain its operation to the board. It was important to know
how it worked. D'Arcy Scott, counsel for the Ottawa Board
of Trade, remarked that it might result in deterioration of
the .service, which should be taken into consideration when
fixing rate.s. Mr. Atwater explained that in counting mes-
hages no charge was made if the line asked for was busy.
It was only through messages that counted.
No definite decision was made regarding the date when
the hearing would be resumed, but it will probably take place
October 1, 1920
THE .MONETARY TIMES
in Toronto at the beginning of November. Following that
there will be hearings in Hamilton and Montreal, and then
finally at Ottawa.
Montreal Tramways Company. — According to the ninth
annual statement of the company, which was submitted to
shareholders this week, gross earnings of the company for
the first twelve-monthly period under the new contract with
the Tramways Commission amounted to §10,782,470, com-
lared with $11,572,210 in the interval between February 10,
1918, and June 30, 1919. Gross revenue for the year
amounted to §2,375,579, which with the deduction of interest
charges on bonds and debenture.^, together with other ex-
penses, aggregating §1,923,071, left net income at 8452,508.
During the year three quarterly dividends were distributed
among shareholders, involving 8290,550, bringing the surplus
for the twelve months to .$161,958. This, added to the bal-
ance carried forward from the previous period, brought
total surplus to 81,201,775. Out of the latter amount were
paid three deferred quai-tei-ly dividend instalments, amount-
ing to 8255,600 and a donation of §5,000 to the widow of
the late 1). S. Robertson, one of the officers of the company.
Total surplus was thus reduced to 8941,175, at which level
it stood as at the end of June last.
The directors point out that from the coming into force
of the contract with the Tramways Commission under which
the system is now operated — February 10, 1918, to June 30,
1920 — the revenue has not been sufficient to meet require-
ments by §1,728,811, of which §1,192,694 is payable to the
city of Montreal when receivsd, and §223,546 which should
be placed to the credit of contingent reserve fund. These are
only payable after all prior charges. These amounts have
not been brought into the statement of assets and liabilities.
Under the terms of the contract the company has to provide
froni its own funds a guarantee fund amounting to §500,000
in amounts of not less than §100,000 per year. §200,000 is
now on deposit with a trust company under this provision.
Principal items of the balance sheet compare as fol-
lows:—
■ 1920. 1919.
Accounts payable §1,069,461 § 1,115,.361
-Accrued interest 239,242 243,605
Suspense account 643,126 571,387
Property, etc 42,097,159 • 41,848,395
.Accounts receivable . • . 491,250 595,289
Cash .529,334 252,515
Investments . • 276,.587
Reserve account 600,000
Total assets 44,769,193 44,678,404
Total liabilities 43,828,018 43,638,587
Debentures for Sale
RUR.\L MUNICIPALITY OF ASSINIBOIA
DEBENTURES FOR SALE
Sealed tenders marked, "Tenders for Debentures," will
be received by the undersigned up to 12 o'clock noon on
Tuesday, the 5th day of October, A.D. 1920, for the purchase
of 6 per cent. Twenty-year Debentures amounting to !5277,925.
These Debentures are issued under By-laws Nos. 1464
to 1467 and 1469 to 1474, and are for the purpose of laying
Water Mains and constructing Sewers in the thickly-settled
portions of the Municipality.
The Debentures are repayable in equal annual instal-
ments both of principal and interest.
For further particulars apply to the undersigned.
The highest or any tender not necessarily accepted.
By Order of the Council.
FR-A.NK NESS,
Secretary-Treasurer,
Rural Municipality of .A.ssiniboia.
Kirkfield Park P.O., Man., Sept. 18th. 238
DEBENTURES. TOWN OK KENTVILLE
Sealed tenders addressed lo the undersigned and
marked "Tenders for Debentures" will be received up to
noon on October 18, 1920, for the purchase of the following
debentures: —
$25,000.00 to pay Water Works Debentures matur-
ing January 1, 1921, in denominations of $500.00
each, and dated January 1, 1921:
§2,500.00 to pay School Debentures maturing
January 1, 1921, in denominations of $500.00 aach,
and dated January 1, 1921:
$1,300.00 to pay Exhibition Ground Debentures
which matured on November 1, 1919, in denomina-
tions of §100.00 each, and dated November 1. 1920:
$2,300.00 for the purchase of a Chemical Engine
for the Fire Department, in denominations of
$100.00 each, and dated November 1, 1920.
All of tlie above debentures will bear interest at six
per cent, per annum, payable half-yearly, and s: id deben-
tures are to be issued under the .-Authority of an .A.ct of the
Legislature of the Province of Nova Scotia passed at the
last session.
The highest or any tender not necessarily accepted.
Dated at Kcntville, Kings County, N.S., this 27th day of
September, A.D., 1920. 246
J. C.\RROLL,
Town Clerk.
$3,000,000
I'KOVINCE OF ONTARIO
3- Year. 6 Per Cent., Gold Bonds
Sealed Tenders endorsed "Tenders for Provijice of
Ontario Bonds" addressed to the undersigned, will be re-
ceived for the purchase of $3,000,000 (Three Million Dollars)
three year, gold bonds of the above Province, dated 1st
October, 1920, due 1st October, 1923, bearing interest at the
rate of six per centum per annum, payable half yearly on
the 1st Octobir and 1st April. Principal and interest pay-
able in gold coin at the office of the Treasurer of Ontario.
Toronto, or at the Bank cf .Montreal, .Montreal, Canada, or
at the .\goncy of the Bank of Montreal in the city of New
York, U.S.A., at the option of the holder.
Bonds to be in denominations of $1,000 each with
coupons attached and may be registered as to principal only.
PMyment for bonds, and delivery thereof, to be made at
the office of the Treasurer of Ontario at the Parliament
Buildings, Toronto, on or before the 11th October. 1920, less
the amount of the deposit. Interim debentures will be sup-
plied on paynent of the money, to be exchanged for the
definitive bonds on completion by the cngrtivers.
Tenders to be addressed to the Hon. P. Smith, Treas-
urer of Ontnrio. Parliament Buildings, Toronto, and deliv-
ered tiot later than 12 o'clock noon on Thursday, the 7th
day of October, 1920.
Tenders must be for the whole amount offered and must
be rccon-panied by marked cheque for $30,000 to be applie.l
in the care of the suc-essful tenderer in payment for bonds.
The highest or any bid rtot necessarily accepted.
P. SMITH,
Treasurer of Ontario.
Toronto, September 30, 1920. , 245
48
THE MONETARY TIMES
Volume 65
|{ K (• K N T I' IKES
Kuh.inN' I.unilier Mill. ( harlo Station, N.H., §500.000— (Jalla
lluildini;. llrock\ilU\ SI.'i.OOO— Doiin Twines. Ltd..
Uiiun. $30,000
lU'lmont. Onl. — September 25 — Icehouse, owned by Harry
Copelanil. was destroyed. Tlie loss is $4,000, and the lire is
thought to be due from spontaneous combustion.
Hillings' Rridee, Ont. — September 25 — Barn of E. Sa-
bourin was destroyed; several nearby buildings were also
destroyed. The loss is $S,000.
Krandon, Man. — September 19 — Home of Mike Shaddock,
'.> Twenty-first Street North, was destroyed. The buildinf;
was of frame, and the loss is estimated at $800, with $400
insurance.
Brockville, Ont. — September 21 — Galla Building, on Kinp
Street, was damaj^ed by fire, also several adjoining buildings.
The fire was caused by sp6ntaneous combustion. The loss is
estimated at $45,000.
t'aljjary, Alta. — September 23 — Annette Ladies' Wear
Store, corner of Citv Hall, was damaged to the extent of
$5,000.
Charlo Station, N.H. — September 24 — Richards' lumber
mill, operated by the Continental Lumber Co., was destroyed.
The loss, which is $500,000, was partly covered by insurance.
Chapleau, Ont. — September 17 — Chapleau fire hall dam-
aged by fire. The cause of the fire is unknown, but the loss
is covered by insurance.
Cheltenham, Ont. — September 19 — Elevator and granary
damaged by fire. The fire is believed to have been caused
by a spark from a passing train.
Church Point, N.S. — September 20 — Presbytery in con-
nection with St. Ann's College was destroyed, entailing a
loss of over $20,000, of which there is insurance of $C,000.
Doon, Ont. — September 22 — Warehouse of the Doon
Twines, Ltd.. was destroyed. The loss is estimated at $.'i0,000.
Kallowfield, Ont. — September 27 — Barns of Hugh Lytle
were destroyed by fire, and the barn owned by William
Tierney was also destroyed. The fire was caused by lightning.
The total loss was $'20,000.
Hamilton, Ont. — Sc))tember 17 — Residence of A. E. Vol-
lick, 41>S Bay Street, was damaged by fire. The fire was
rnused by a defective oil stove. The loss is estimated at
$1,000.
September 19— Art and Gift Store, 7.59 King Street
East, was damaged by fire. The loss is $1,500. Fire is be-
lieved'to have been caused by spontaneous combustion.
Havelock, Ont. — September 23 — Thompson Block, occu-
pied by (i. R. McGregor, was ilnmagcd by fire. The loss is
$12,000, partly covered by insurance.
Herbert, .Sank. — September 21 — Plant of Saskatchewan
Co-operative Elevator Co. was ilcstroyed by fire.
InKernoll. Onl. — September 2ft — .\pple evaporating plant
of O. E. Robinson ami Co., Victoria Street, was ilamagcd by
fire. The loss is estimated at $5,000.
King-ilon, Ont. — September 22 — Warehouse of Mc-
Gownn's cigar factory, corner of Rideau and North .Street,
wjis iliiniiiL't'"! by fire.
KilohiniT. Ont. — September 28 — Born and adjoining
liMiMinirs of .\llen Brubacher, on the Bridgciwrt and Lex-
ington Roail, were destroyed by fire, the fire being caused
by a spark from an engine. The damage is estimated at
$r,.ooo.
London. Ont. — September 19 — Factory of Everybody's
Overall Co.. 3B9-SOR TnHwl Street, was damaged by fire. "The
loss is estiir. ' "00.
Snrdis, I ' ler IH— Kilns of the British Col-
umbia Hop I 'toyed by fire. The loss is covered
by insurance.
Stratford, Ont. — September 28— Stables of Duggan and
(;ray were d:i ' • ■ ' >f <2,500.
Tofield, \ ' ■ -re belonginfr to Jack
Forbes whs • • '.000.
Toronto, Onl. Siiitiinli.r 'J> Building, occupied by A,
Gagnon at .50 King Street East, was damaged by fire.
Watford. Ont. — September 18— Residence of T. Dodds,
Erie Street, was damaged by fire. The fire is believed to have
been caused by a spark from the stove.
Winnipeg. .Man. — September 25 — Buildings of D. Libman,
thirteen miles north of Winnipeg, on the Selkirk Road, were
destroyed by tire. The total loss is $34,885. The fire is be- j
lieved to have been caused by incendiarism. [
ADDITIONAI. IMOR.MATION CONCERNING FIRES
Blaine Lake, Sask. — August 25 — Garage and adjoining
<iwelling of Larsen Brothers was damaged by fire. The loss
was $9,000, with insurance of $2,200 in the London and Lan-
cashire, and Mount Royal.
Chilliwack, B.C.— August 18— T. P. Knight, fire chief of
Chilliwack, B.C., has sent the following statement regarding
the fire in that town on August 18th. The fire started in a
small room behind a tobacco store belonging to Mr. Green. —
Total loss. Insurance.
Mr. Green, building
Mrs. Harrison, building
Mrs. J. Ward, building
Chilliwack Shoe Store, contents
Mrs. J. Ward, building
Chilliwack PZlectric, contents . . .
Barret Banford, building
H. Huston, contents
Heiitey and Yates, building. . .
Mrs. Rorrison, plate glass
B. A. Irwin, plate glass
H. J. Barber, plate glass
F. Leary, signs on glass
$ 5,700
$ 5,700
2.000
4,800
4,000
17,150
16,500
700
7,426
2,000
1,500
1,000
700
700
SOO
400
120
120
140
378
378
42
42
$41,451
?30,835
L»mdon, Ont. — September 8 — C.P.R. warehouse destroyed
by fire. The fire was caused by spontaneous combustion. The
total loss to buildings and contents is $70,000 and the insur-
ance is not yet known.
Montreal. Que. — September 9 — Fire occurred on the pre-
mises of the .\llen Glove Manufacturing Co., 333 Frontenac
Street. Insurance as follows: Fidelity Phenix, $12,500; Home,
$11,000; North America, $10,000; Employers, $10,000; Globe
Indemnity, $7,000; National, of Hartford, $5,000; Canadian,
$5,000; Rochester, $.-.,000: Girard. $5,000; Scottish Union,
$5,000; Car and General, $5,000; Yorkshire, $5,000; Great
American, $5,000; Fire Insurance Co. of Canada, $5,000; Gen- 1
tury, $7,500; Royal Exchange. $5,500; Northern, $3,500;
.■Etna, $3,500; Liverpool and London and Globe, $3,000; New
York Underwriters, $3,000; General, of Perth, $3,000; Provi-
dence-Washington, $3,000; Hartford, $3,000; Globe and Rut-
gers. $2,500; Equitable, $2,.500; Caledonian, $2,.500; General
Accident, $2,500; Westchester, $2,500; Niagara, $2,500; Glen
Falls. $2,.">00; National Union, $2,500; Norwich Union, $2,500;
British Crown. $2,500; Union of Canton, $2,500; British Do-
minions, $5,000; British General. $2,000; Imperial, $2,000;
Can.ada Securities, $1,500. Total, $168,000. Loss, $150,000.
On use and occupancy: Palatine, $2,500: Quebec, $2,,500; Lon-
don and Ijincashire. $2,500; Union of Canton, $2,500; Girard,
$2,500; British Empire. $2,500; Globe and Rutgers, $2,500;
Hartford. $2,500; Queensland, $2,500; London Guarantee,
$2,500. Total, $25,000.
Simcoe. Ont.— August 2.5— Building of Wni. Jacques and
Son was damaged bv fire. The fire was caused by spon
tancous combustion. The total loss was $20,000, with insur
ance of $S,000 in the following companies: Alliance, Fidelity
Phenix, Phnnix, .t:tna. Union Casualty, Niagara, Londor
and Lancashire, and Dominion.
Timmins. Ont.— September 18— Sawmill and three dwell
ings were damaged by fire. The loss was $20,000, ■with insur
nnrc of $8,000.
Tweed. Ont.— September 2— Residence of Guss Thompsoi
destroyed by fire. The loss is $600, with insurance of $525 U
Monarch Insurance Co.
The Monetary Times
Printing Company
irOl Canada, Limited
!:i-. ( ••adian Engineer"
Tnde Review and Insurance Chronicle
of (TanaDa
Established 186";
Old as Confederation
JAS. J. SALMOND
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A. E. JENNINGS
Assistant General Mainger
JOSEPH BLACK
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W. A. :McKAGl h
Editor
Solvency of Fraternal Benefit Associations
Review of Legislation Affectinjj Fraternals— Canadian Provinces Have Heen Neg-
ligent, but Dominion now has Good Law — Deficiency in Funds Must be Faced by
Old Members, and New Members Must be Protected by Segregation of Funds
By FRANK SANDERSON, M.A., LL.D.
Consultinj; Actuary, Ontario Department of Insurance
THE vital importance of fraternal benefit societies to the
home, to the community and to the state has for many
years been generally recognized. The state sustains an im-
portant relation to these benefit-granting societies and that
relation naturally expresses itself in legislation.
The question of legislation in reference to fraternal
orders is both difficult and delicate. In dealing with this sub-
ject, much strong feeling has been engendered in years gone
by in Great Britain, the United States and Canada. The
problem is still with us and will not down until properly
settled. Recent and prospective legislation in the United
States and Canada touching the financial position of these
societies is demanding attention o.n every side. The present
magnitude and extent of the operation of fraternal societies
in America is seen by these striking facts: —
Annual benefits paid (1919) $ 1.50,000,000
Number of members 10,000,000
Amount of insurance $10,000,000,000
A New Method of Approach
It has been my privilege in recent years to devote some
time in viewing the situation as to fraternal benefit so-
cieties from the inside as well as the outside. I have come
into the closest contact with many officials and insured mem-
i'Crs in their chief legislative meetings when questions as to
the solvency and readjustment of rates and benefits were
'Jnder discussion. I have endeavored to study the human
'lements as well as the actuarial and financial factors that
tnter into the solution of the questions that are still live
issues both for the societies themselves and for government
officials.
May I, therefore, begin by stating a conviction arrived
•it by close touch with the main issues involved that the
time has arrived when a better method of approach than has
too often prevailed must be applied to the problem of bring-
ng all such societies to a sound position. I'ntil a compara-
tively recent time the method of approach in all spheres of
investigation was largely the deductive and dogmatic method.
That method is now largely set aside by the educated
n.odern mind. The last quarter of the lOth century and the
"pening years of this century have made it evident that the
true way to approach the study of any subject, whether it
i>e science, economics or religion, is the historical method.
We have now come to realize that we can never understand
an>-thing until we find out how it came to be. "The history
of a thing is the thing." To trace the growth of an insti-
tution is the only possible way to get at its meaning. So
*An address before the conference of provincial super-
intendents of insuratico, Winnipeg, October 5, 1920.
the historical approach is characteristic of all intelligent in-
tellectual effort to-day. It traces effects to their causes,
reconciles divergences and softens our asperities. Instead
of fighting our opponent, we explain how he came to be.
Thus tolerance and comprehension take the place of dog-
matic argument, invective and denunciation.
Approached from the historical point of view, we enter
upon the investigation of fraternal insurance and its problems
with a comprehensive and sympathetic appreciation of how
things came to be as they are. From an historical review
of what has been done in different parts of the world to im-
prove by legislation and otherwise the financial position of
these societies, we are in a better position and attitude of
mind to point the way for the better protection of both their
present and prospective members.
Evolution of Fraternals
The late Sir George Hardy, ex-president of the Institute
of Actuaries, has truly pointed out that friendly societies
"were originally purely social in character, subsequently
charitable and mutually protective, and only in recent times
financial."
Here, then, we have in a sentence the genesis and evolu-
tion of friendly societies, or, as they are generally called in
America — fraternal societies. Thus by seeing historically
how the emphasis changes from the purely social, first to
the charitable, then to the mutually protective and then
to the financially developed insurance character, we are in a
better position to apply appropriate methods and legal en-
actments to remedy any existing short-comings in this in-
stitution which has its roots so deeply imbedded in the
human family.
The foregoing states briefly and simply a broad
general principle — a method of approach, an attitude of
mind but ever.vthing turns on a right approach. My sub-
ject now requires me to narrow the application of this
principle to the question of "Legislation as to the Solvency
of Fraternal Societies." In the application of the historical
method one naturally asks what steps have been takeri in
the past to correct by legislation, defects in friendly society
finance. From a comprehensive view of past successes and
failures in this direction and from an enlightened under-
standing of present-day requirements, wo will the more
surely blaze out the safe legislative path for the days to
come! I must ask. therefore, that instead of the microscope
we use the telescope and take a rapid historical survey of
legislation in Great Britain. United States and Canada,
looking towards an improvement of the financial condition
of these societies. I am convinced that such a survey will
satisfv both fraternalist and legislator that on this 'ide of
THE MONETARY TIMES
Volume 65.
the water, and on this side of the boundary line the sins of
statutory omission will produce a chastened sense of humility
and a true repentance which should lead to "acts" of
riphteou?nf.«!> "writ lartre on the statutes of provincial lejri?-
laturo
Provincial I.eKislation
PijMi til till' year IHK!, no provision for rejruiar valua-
tions of the insurance certificates of fraternal societies exist-
ed in the laws of any province of Canada, nor in the Do-
minion Insurance Act. This was not due to the oversight or
shortcominK of the superintendents of insurance, but to the
fact that for years outside influences at work rendered it im-
possible for either insurance departments or members of
parliament and leprislature to carry out desirable legislation
and needed reforms. It was not until the laws of nature and
arithmetic, together with the Rcneral trend of public opinion
both inside and outside fraternal ranks, had made such
legislation possible of enactment that we find the first re-
quirement for the valuation of the certificates of
fraternal societies placed on the statutes of any province of
("anaiia. The adoption in the United States of the Mobile
Bill and the New York Conference Bill created the atmos-
phere and the occasion for the passing by the Ontario legis-
lature of amendments to the Ontario Insurance Act embody-
ing several of the valuation and other requirements of the
I'nited States Acts just mentioned.
The new Ontario Act passed in 1916 did not, fortunately,
include the ineffective section of the New York Conference
Bill known as section 23 (B) previously referred to. On
the other hand, it did not provide for annual actuarial valua-
tion reports to the insurance department as required by both
the Mobile Bill and the New York Conference Bill, but only
for a valuation every three years. Nor did it provide for
any improvement in the degree of solvency of a society from
tricnnium to triennium, no matter what the degree of
actuarial insolvency, but was content with the condition of
"not getting worse." It provided that if at any triennial
valuation subsequent to 1917 the society had gone backward
as to the .lolvency. then a restoration is supposed to be made
up to the 1917 degree of solvency within two years, or there-
after the rates for new members are to be those known as
the Hunter rates, and these contributions kept apart from
funds of the society; and further, if ..it next triennial
• in no improvement be .shown, then the new members
I Imposed to be placed in a separate class and their certifi-
cates valued as an independent society in respect of contribu-
tions and funds.
. Other provisions were incorporated, but the above are
the vital parts of the 1916 Ontario amendments as to
solvency.
Provisions Rendered Ineffective
Unfortunately by some strange action or suggestion, nn
innocent-looking sub-section was added at the end absolutely
nullify itig the foregoing provisions as to a society maintain-
ing its degree of solvency by the proviso that unless the
governing body of the society at its annual meeting voted
il-felf within the application of these new legal provisions, the
'' '■ I'lovision? should not apply or have any effect. To the
■ .'f the officers and executive of the Canadian Fraternal
■> • i. 'it ion be it said that they ma<le more than one effort
to have this rcnmrknble clause eliminated, but unfortunately
without success.
No society having since voted itself within the operation
of these special solvency clauses, they are therefore now
actually "dead wood" in the Ontario law. It should he re-
*Mr. Sanderson hero reviewed Icfrislation- in Great
Britain, where compulsory actuarial valuation and publicity
of the actuarial balance sheets are required, and have
helped to bring the leading British Friondlv Societies to n
high degree of solvency. ■' ' ' ■' • State;", the
New York Conference i: n>)out 40
states, provides that a ■• to a worse
condition and may acrunuiia'.c fund* to improve its condition,
but this does not assure solvency.
corded that at the last session of the legislature the present
superintendent of insurance recommended the elimination of
the objectionable clause, but owing to certain representa-
tions it was allowed to stand until the next revision of all
the provisions as to valuation and solvency. When we re-
member that in Great Britain compulsory actuarial valua-
tions for friendly societies have now been required for about
half a century, and various other allied returns for a much
longer period, it cannot be admitted that our legislators in
Canada have been guilty of breaking the speed limit in
legislation touching the solvency of fraternal societies. The
fact is adequate, and effective legislation on this vital ques-
tion is long overdue on provincial statute books, and the
Ontario law of 1916 is sadly in need of being replaced by a
more worthy substitute. '
Deficit is Big Handicap
The hopelessness of a large society, say 50 per cent.i
solvent, with a deficiency say, of $10,000,000, ever overcoming
this deficiency by any mere makeshift methods and without
honestly facing a readjustment of rates or reduction of bene-
fits is manifest by the annual loss from interest alone — a loss,
of 5 per cent, of $500,000 per annum on the deficiency. The^
increase in liability due to increase on age works muchj
faster in such a case than any increase in assets from yearj
to year. i
There is still a field for the worthy friendly society, but!
the faithful and intelligent fraternal leader must have his'
hands upheld by sane and effective legislation which will
make it easier for the sound and solvent society to succeed
and more difficult for the unsound and unrepentant society:
to trade upon the credulity of the public. May our pro-
vincial superintendents be endowed with a high sense ofi
official duty and a fine sense of appreciation of the needs ofl
the fraternal society.
Dominion Legislation
Until the year 1919 no provisions appeared in the Do-
minion Insurance .\ct as to actuarial valuation and solvency
requirements for fraternal societies, notwithstanding urgentj
representations of the insurance department on the subject'
An interesting history of the rise and departure of the non-l
fraternal "assessment associations" could be told, but I must
turn at once to the recent Dominion legislation of 1919 wher
the old "Assessment Life Insurance" portion of the act was;
at last wiped off the statutes of Canadp., and a more worthj^
portion known as "Part II. A Fraternal Benefit Insurance''
took its place. This is the most advanced and worthy piec<l
of legislation dealing with fraternal societies that has yet ap',
pearcd on this side of the .\tlantic. even tliough it bean
eviilences of compromise to meet awkward circumstances. 14
is a straightfor\vard and honest attempt to deal with a per
plexing subject in a way that reasonably satisfies publi(
needs, and at the same time carries the judgment and taci'
approval of the most reliable fraternal leaders. It avoid!
the marked weaknesses and the "put-off-till-to-morrow'
policy so manifest in the .American Mobile Bill and New Yorl
Conference Bill, which, it now appears, already need amend
ing.
Touching the Dominion Act let me quote the opinion o
an outstjinding leader of American fraternalists, himself thi
head of a large .■Vmerican society doing business in Canada
which has not yet attained to full actuarial solvency. Ad
dressing the Canadian Fraternal Association a few month
ago, this prominent and honored fraternalist, Mr. D. P
Markay. of Detroit, ex-president of the National Fraterna
Congress, said; —
"The provisions of the (Dominion) Act referred to ar
not only timely and wholesome, but in our judgment shouli
be earneptly welcomed by all fraternal benefit societies doini
business in Canada. It is to be regretted that such actio.,
was not taken twenty years ago or more, not only in Canad;
but in the United States as well." " ■
Mr. Markey is frank enough and honest enough to pu
his finger on the cause of the present necessity when h
October 8, 1920
THE MONETARY TIMES
added: "We have no one to blame for our troubles in con-
nection with readjustment of rates but ourselves. We were
-b.ortsighted, perhaps cowardly in handling the situation. I
.ink we are all satisfied now the laws of mortality are in-
exorable, and that any institution which attempts to defy
tliem is only sowing the wind and will read the whirl-
wind."
The Dominion enactment has this broad, general char-
acteristic. It appi-oaches the solution from a knowledge of
the history and genius of the friendly society. It avoids the
rigidity of old-line statutory valuation requirements — it is
flexible in operation without being vague and loose in con-
(.ption. It leaves a lai-ge degree of responsibility for the
; iciety's financial position to the society's actuary, who
.ust, however, be qualified.
For provincial requirements this law would, of course,
..ave to be adapted to local requirements, and possibly pro-
vision made for embaiTassing circumstances that are not pro-
vided for in 1925 w-hen all societies licensed under the Do-
minion Act are expected to have been brought to 100 per
ent. solvency.
There is one practical consideration that should commend
Itself to provincial legislators and superintendents of in-
surance. This is that the main principles and requirements
of the Dominion Act have been the subject of much inter-
hange of view between the Dominion officials and fraternal
ilicials. The debatable ground has been gone over and a
workable legislative program agreed upon. This is saying
a great deal. As evidence, I have already quoted the head
of a leading foreign society. I add an extract from the
,nnual report a year ago of the counsellor of the Canadian
! raternal .A^ssociation: —
"An agreement was arrived at as a compromise between
the views of the committee (of the societies) and those of
the superintendent. Representatives of the societies inter-
ested in the bill attended before the banking and commerce
committee, when all of this amending bill was adopted by
said committee without opposition." (The counsellor refers
to one minor excepted point which, it is understood, was
afterwards ai-ranged.)
.Another practical consideration is the fact that several
societies which are under provincial jurisdiction have in
recent years made readjustments which are claimed to be
adequate. They would, therefore, not probably be affected.
Others would, it is believed, welcome the advantages which
a 100 per cent, solvent condition would open up to them.
With the depressing effects of actuarial insolvency out of
the way, a new era would open for friendly societies.
What Dominion Act Requires
What then are the broad principles and requirements of
the recent Dominion Act? The following is a digest and
analysis of the principal provisions of the Dominion Act.
especially those dealing with solvency: —
1. Fraternal societies not required to comply with the
^ame actuarial test, nor to make the same amount of de-
I'osit as regular insurance companies.
2. A large degree of responsibility and liberty is left
to the society's own selected but qualified actuary.
?.. A government deposit of $10,000 is required.
4. Before receiving Dominion license a fraternal society
shall file, among other statements, an actuarial valuation by
a qualified actuary appointed by the society, who shall certify
as to the solvency of the society.
5. A foreign" fraternal society hitherto transacting busi-
ness in Canada, and at present unable to furnish an actuary's
certificate of 100 per cent, solvency, may, if its premium
rates for new members be considered adequate, and it is
otherwise eligible, receive a provisional license annually
until 1st March, 1925, after which the society must comply
with section (4) above (i.e., be 100 per cent, solvent), m
order to renew its license. .
6. A provisionally incorporated fraternal society desir-
ing a Dominion license and unable to furnish an actuary s
certificate of 100 per cent, solvency on an officially approved
basis may, subject to the other provisions of the act, obtain
a licenseeither by depositing with the government adequate
reserves on new certificates after date of license, or, by plac-
ing new members on adequate rates, and in a separate class,
with their funds held exclusively for such class. Such license
may be renewed annually until 1st March, 1925, after which
the society may compb' with section (4) above (i.e., be 100
per cent, solvent), in order to renew license.
7. Special provision is made for dealing with a society
falling below 100 per cent, solvency. On request (preceded
by full investigation), the society must make good the ascer-
tained deficiency within four years, otherwise its license may
be withdrawn.
8. Every licensed society shall annually mail to each
certificate holder in Canada a copy of the valuation balance
sheet on the basis used in the filed annual statement and an
explanation of the facts concerning the society's condition
thereby disclosed. (The basis of valuing mortuary benefits
is the" National Fraternal Congress Table and interest at
4 per cent, subject to certain permissible variations.)
9. Copies of policy forms must be filed with the super-
intendent and shall contain certain standard provisions.
What of the Future?
In the evolution of the fraternal societies to their
present position the duty of the legislature may be summed
up in these broad but sane official words of an important
Roval Commission: —
" "The stabilitv of these useful bodies ought to be legis-
latively assured, "and the only method of securing and main-
taining that stability known to the science of insurance is
to forbid the making of contracts below the actual cost. W ith
regard to their present members, it is not equitable that
members hereafter joining and paying rates just equal to
actual cost should have their rates affected and their protec-
tion imperilled by the needs of those whose provision (rates)
mav prove inadequate."
This statement recognizes the two sides of the problem
requiring legislative solution— the adequate and inadequate
rated members. The majority of Canadian fraternal societies
being provinciallv incorporated and under provincial laws,
the provinces are now face to face with the imperative
obligation to improve the law and not to fall behind the
Dominion and the United States in the effort to protect the
public and give permanent stability to those societies, which
can fill manv useful functions if assured of their future.
Adequate rates and proper reserves are an absolute es-
sential to stability. There is no excuse for a society not
adopting adequate ratts for new members at this late hour.
The view of fraternal leaders may be stated in two sentences
addressed to fraternal members: —
"It is a crime to issue certificates upon inadequate
rates." (Executive Com. Report. Nat. Frat. Congress.)
"I declare that any person who issues a certificate on
inadequate rates is committing a deliberate fraud. Ignor-
ance is no excuse to-day." (The President of an American
Fraternal Society.)
Thus adequate rates for new members is a first step.
Segregation of Funds
Another step is then necessary. The most reliable frat-
ernal iudgment has recently declared that "the laws should
distinctly provide for the segregation of funds accumuhitcd
by the payment of those paying adequate rati-s." (F>xec.
Com. report, N.F.C.)
The crux of the fraternal problem is of course the
readjustment of rates or benefits upon the present inade-
quate-rate membership, as to which I might say much from
actual experience. The New York Conference Bill, now gen-
erally enacted in the United States, and the Ontario law.
both "fail to properly protect the new adequate-rate member.
These laws leave th? solution of the inadequate-rate class
to a slow dving pace that jeopardizes the future of a society
that will not take effective action. This keeps the whole
question of fraternal insurance in uncertainty. So much
is this realized both by Insurance Commissioners and the
T 11
E MONETARY TIMES
Volume 65.
most intilliKont an.l far-sighted fraternal leaders in tiie
United States that a new bill has, after consultation, been
drafted this year, and has been approved by the Insurance
Commissioners and by the Executive Committee of the Na-
tional Fiatcrnal Conprress. The main purpose- of the bill is
to require: —
( 1 ) Adequate rates for new nienibers.
(2) Adequate Reserv'es for new members.
(3) Separation and scRregation of reserves for new
members.
The Dominian Act of last year largely anticipates this
proposed American legislation, and moreover, it makes pro-
vision for bringing the whole society to a solvent position
within a reasonable time. This Dominion la.v (9-10 Geo.
V. chap. 57) met with the tacit approval of Canadian fra-
tt-rnal leaders when being finally passed.
Suggestions for I'rovincial Legislation
I do not think it prudent to set out at present detailed
provisions for provincial enactment. That can only be done
after mutual conference and careful discussion of local situ;i-
tions. But it may be possible to indicate in outline some
things that recent legislation and actual experience have
made essential for consideration in any effective legislation.
I mention the following: —
1. An annual certified valuation of certificates upon
an approved basis.
2. Preparation of a valuation balance sheet, and pro-
vision for bringing same to notice of each member. Separate
valuation balance sheets where there is segregation of
reserve as a means of education.
3. .■Vdequate rates for new members, and maintenance
of proper reserves therefore, where inadequate rates not
readjusted.
4. Separation and segregation of funds of adequate-
rate members, where inadequate-rate members not read-
justed.
5. Provision for complete readjustment of inadequate-
rate members within a reasonable period, with suitable ac-
tion where the society docs not carry out same in the time
specified. Also provision for elimination of a future de-
ficiency.
6. Reasonable liberty and responsibility to be left to
the society's own selected actuarial adviser, who must be
qualified.
I refrain from further comment, and in conclusion 1
submit again that, in any new endeavor, mutual confidences
and deference must go hand-in-hand with the adoption of
.sound insurance principles. The heart and the head must
work together. I thus come back to where I began — a new
and belter metho<l of approach.
I have purpo.iely avoi<le(l actuarial technicalities and
figures, but I trust the foregoing illustration of the historical
method of approaching the subject may be of some assis-
tance to tho.He who may have anything to do in the future
in legislation a.i to ."olvency of fraternal societies.
.A new uniform provincial law on this subject is one
of the needs' of the day, and a real service to the public and
to the future wellbeing of the .sociolies would be rendered
by the passage of such a law in province."! having societies
under their jurisdiction.
SIN LI IK JOl.NS .VSStKl.VTION
At n meeting of the Association of Life Insurance Presi-
dents, held on Friday, October tst, the Sun Life .Assurance
Company of Canada, of Montreal, was unanimously elcctol
to membership in the a.«isociation, bringing the total of mem-
bers up to forty-five companies. Of these, thirty-seven arc
domiciled in the Unitctl States and eight in Canada. The
Sun Life was organized in 186fi, an'' ■ ■■■? business in
May, 1871. Its president and mir ;or is T. B.
Macaulay. Its admitted assets as ' ' r 31st, 1919,
were ?10.'i.711,4t>8. and its insurance in force on that date
amounted to $41.").8"3."87.
R
KAII.W AY QLESnON GOES BACK TO BOARD
Government Will Not Alter Decision — Inland Revenue
Expands Kapidly— Two .Millions Sent to Germany |
(Special to The Monetary Times.)
Ottawa, Oct. 7th, 1920.
\1LW.AY rates as fixed by the recent judgment of the,
Board of Railway Commissioners are to stand, at least
as far as the government is concerned. The decision to refer
the appeal back to the board was reached by the Cabinet on
October .5th. .\n official statement will be made later, but;
it is learned that the outstanding decision is against dis-,,
allowance, coupled with a number of suggestions to the Rail-|
way Commission to institute further inquiries into various
phases of the question, notably the discrimination which, in
his judgment, the chief commissioner affirms to exist as be-
tween the cast and west, to the disadvantage of the latter.
Following a conference of representatives of the pro^
\-incial goveniments, held in September, the government has
resumed control of fuel through the system of provincial
controllers previously used. This move was recommended
also by the Board of Railway Commissioners.
The Department of the Secretary of State has despatche^
two million dollars of Canadian money to the clearing house
overseas to be paid to Gennan merchants and individuals
in payment of debts owed by Canadians prior to the wai
and secured from them by the department. In the meantime
the department is encountering certain difficulties with the
clearing house, which difiiculties an official will be despatched
overseas to clear up. One difficulty lies in the fact that
Great Britain desires that all communications to the clearing
house be addressed through the colonial office. The depart-
ment objects to this. A further difficulty arises from the facv
that Canadian claims are being computed in pounds and not
in dollars.
Property of alien enemies in Canada held by the depart
ment, amounting to a very substantial sum, is to be handec
back to them soon. Some of it was in cash, some in jewellery
etc, and, so far as possible, it will be handed back in the forn
in which it was seized. Moneys in the bank to the credit o';
the interned does not draw interest, however.
Increase in Inland Revenue
There was a net increase of $7,218,367 in the inlan(
revenue returns for the month of September, according ti
the statement for the month issued from the office of th
deputy minister of the department. The total inland revenu
collected for the month was $11,921,287, a gross increase o
S7,4rir).4Sl over the revenue for the corresponding month o
1919. The chief increase came from war tax, which brough
in $8.709,41fi, an increase of $7,455,298 over the war ta:
returns for the month of September, 1919. A coniparativ
statement of the returns from the months of Septenibei
1919 and 1920, follows:—
Excise, 1919, $3,389,892; 1920, $3,180,216; decreast
$209,675. Kxcise seizures, 1919, $19,568; 1920, $17,965; de
crease, $1,.';92. War tax, 1919, $1,254,117; 1920, $8,709,416
increase, $7,455,298. War tax fines, 1919, $2,650; 1920, $1
185; decrease, $1,465. Methylated spirits, 1919, $36,141; 192(
$12,009; decrease, $24,132. Law stamps, 1919, $559; 192(
$311; decrease, $248. Totals, 1919, $4,702,919; 1920, $11
921,287.
Customs returns for the month of September, 192(
showed a total of $15,530,899 collected, an increase of $697
658 over the corresponding month of last year.
A continuous freight and passenger service to Icelan
from Montreal during the open season and Halifax in th
winter will be soon in effect if .\rni Eggertson, real estat
and financial broker of Winnipeg, is successful in the missio
he has undertaken for the government of Iceland, from whic
country he has just returned. To encourage trade betwee
the two countries Mr. Eggertson has been commissioned b
the Icelandic government to effect a loan either with ti
Dominion government or the banks.
October 8, 1920
THE MONETARY TIMES
MonttatQ Sim£s
Trade Review and Insurance Chronicle
of Canada
Address: Corner Church and Court Streets, Toronto. Ontario. Canada.
Telephone: Main 7404, Branch Exchange connectinfr all departments.
Cable Address: "Montimes, Toronto."
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tion. It absorbed in 1869 The Intercolonial Journal of Commerce, of
.Montreal : in 1870 The Trade Review, of Montreal ; and the Toronto
Journal of Commerce.
The Monetary Times does not necessarily endorse the statements and
opinions of its correspondents, nor does it hold itself responsible therefor.
The Monetary Times invites information from its readers to aid in ex-
•■luding from its columns fraudulent and objectionable advertisements. All
:nformation will be treated confidentially.
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I'UINCIPAL CONTENTS
EDITOIU.XL: PAGE
Unemployment and Public Work? 9
Conditions of Amei-ican Industry 9
The Secrets of the Great 10
Railroad Situation Still Tangled 10
Special .Articles:
Solvency of Fraternal Benefit Societies 5
Suggests Stricter Licensing of Agents 14
Legislation Respecting Life Insurance Beneficiaries 18
Halifax Explosion Case Settled 34
Monthly Departments:
September Bond Sales 14
August Bank Statement 22
September Fire Losses 30
Montreal and Quebec Savings Institutions .... 30
Weekly Depart.ments :
News of Industrial Development in Canada 36
News of Municipal Finance 40
Government and Municipal Bond Market 42
Corporation Securities Market 46
The Stock Markets 48
Corporation Finance 50
Recent Fires 52
UNEMPLOYMENT AND PUBLK WOKKS
UNEMPLOYMENT has failed to provide the rawon
d'etre for extensive public works planned when the war
ceased. In fact, the prolonging of the period of rising prices
and labor scarcity has made it seem advisable for govern-
ments and municipalities to reduce tTieir construction work
to a minimum. This policy is unquestionably sound, and
where not followed out dangerously heavy capital charges
:ire being incurred.
But while the post-war reaction has not yet come, there
are signs that it is at hand. Quite apart from the war and
its reactions, however, regular business crises always pro-
duce unemplojTTient. These crises are found to occur at inter-
vals of from seven to sixteen years. The last one in Eng-
land, the United States and in Canada was in 1914. A
crisis follows a period of expansion, and is characterized
by a fall in prices, lack of new enterprises, and unemploy-
ment. As the business growth of the past few years has been
ibnormally great, it may reasonably be expected that the
••xt depression will be correspondingly severe.
What can and should the government do to mitigate
such a condition? Apart altogether from its function in
controlling industry as a whole, the state — and this means
the provinces and municipalities as well as the Dominion —
is itself an employer of labor. In fact, in Canada it is the
largest employer of labor. The possibility and advisability
of the state so planning its public works as to keep out of
the market for labor and materials in times of expansion,
and coming into the market at times of depression, were
discussed by W. C. Clark, professor of political economy at
Queen's University, in an address on the "Regular Ration
of National Demand for Labor by Government Employment,"
read at the meeting of the American Association of Public
F:mployment Offices held in Ottawa two weeks ago. Professor
Clark took the view that the state could perform an effec-
tive service by so doing.
But such a question must be considered from the na-
tional point of view rather than from that of labor alone.
Labor would probably benefit by such action, for the large
works undertaken at the time of depression would sustain
employment and wages, more than offsetting the adverse
effect of the removal of the state from the market when
business was good. But under this system public works
would be carried on when private industry, the judgment of
which may be taken as being generally right, considers new-
works inadvisable. The most acute stage of the crisis is
when prices are still high, but unwillingness to risk the
future so great that further expansion ceases and the volume
of business contracts; in other words, when the momentum
of the rising prices movement carries it beyond the period
during which its causes are in play. This would be the
logical time for the state to take action. When prices have
reached the bottom, on the other hand, and even before they
have reached the bottom, private business again plans new
work, and its demand relieves the unemployment and lack
of markets which was so acute when prices were higher.
Recent tendencies have been in the direction of government
industry adopting the methods whicli have proved success-
ful in private industry. The adoption of the above-mentioned
policy would be a move in the opposite direction, for it re-
gards public works as a means of adjusting labor supply
and demand, rather than something carried on for the wel-
fare of the country as a whole. Should not public policy
be to operate state industry for the welfare of the public
rather than of a section of the community?
<<)M)n"I(»N Ol" ,\MKKi( AN INDISTKV
"DUSIXES.S in the United State.-; is helow normal, accoid-
•'-' ing to an inventory of conditions just prepared by the
Liberty National Bunk of New York. The information was
secured from representative concerns in diversified lines.
Forty-two per cent, of those inter>'iewed report the volume
of their sales as being above normal. Cancellations, in-
ventories, accounts receivable and transportation difficulties
are, generally speaking, excessive. Collections, coal supply
and efficienc.v of labor are, on the other hand, lower than
usual. It is the feeling of the majority that a normal situa-
tion exists as to accounts payable, availability of materials,
THE M 0 N E T A R Y T I M E S
Volume 65.
and labor supply. It is also a notable fact that 05 p€r cfnt.
of those interviewed ai'e of the opinion that merchandise
price.-; will he lower. The following is a digest of the re-
plies received :—
Production. — 30 per cent, report production above nor-
mal; 22 per cent, report production as normal; 4S per cent,
report production below normal.
Sales. — 42 per cent, say that sales are above normal;
2rt per cent, say that sales are normal; 33 per cent, say that
sales are below normal.
Cancellations. — 52 per cent, report cancellations above
normal; .'i.'i per cent, report them as normal; 15 per cent,
report less cancellations than usual.
Unfilled orders. — 36 per cent, say that unfilled orders
are above normal; 47 per cent, report them as normal; 17
per cent, report unfilled orders below normal.
Inventories. — OS per cent, report inventories in excess
of normal figures; 20 per cent, report them as normal; 12
per cent, report inventories below normal.
Availability of materials. — 17 per cent, describe condi-
tions as above normal; 55 per cent, report them as normal;
28 per cent, report availability of materials below normal;
100 per cent, complain of a shortage of coal.
Labor. — 0 per cent, report a present surplus of labor;
53 per cent, report the availability of labor as normal;
38 per cent, report a shortsigc of labor in their particular
industry; 100 per cent, maintain that efficiency of labor is
below normal.
Merchandise prices. — 23 per cent, believe that prices
will be liigher; 65 per cent, that prices will be lower; 12 per
cent, that present prices will continue.
Accounts payable. — 19 per cent, say situation is above
normal; 62 per cent, say situation is normal; IS) per cent,
state that they are below normal in this item.
.\ccounts receivable. — 48 per cent, report amount above
normal; 40 per cent, report amount normal; 12 per cent,
report amount below normal.
Collections. — 18 per cent, say collections arc running on a
normal basis; 52 per cent, state that collections arc slow,
and in a few instances it is reported that notes are being
given by houses which heretofore discounted their bills.
Transportation. — 92 per cent, of those interviewed com-
plain of diHlculties experienced, only 8 per cent, reporting
normal conditions prevailing; 94 per cent, express the
opinion, based upon their experience, that transportation
conditions are growing better.
"Sixth. Go at your work. You may not find yourself
the fir.st year. Don't hesitate to change from distasteful
work, but don't change because difliculties come up or trouble
arises. Give the best that is in you. Let nothing stand in
the way of your going on."
THK SKCUETS OF THE GREAT
TIIKUK is a way to the top, so we are told. Charles M.
Schwab, the American steel magnate, has defined the
Merits of success as follows: —
"First. Unimpeachable integrity. This is the very
foundation. With this as a starting point the rest will be
relatively easy.
"Second. Loyalty. As a rule 1 find that the university
ir.in are loynl. Be loyal to the people with whom you are
ii'isoi-iiited. Give credit always where oreilit is due. and re-
mi niher always that it will attract credit to you to give
rieilit to someone else. Make your employer believe that you
iire with him always, that you arc proud to be with his de-
partment in his company.
"Third. A liberal education in the finer things of
life, of art. of literature, wil' contribute towanl a success
in life. Man needs imagination, and these are the source*
for it.
"Fourth. Make friends. Enemies don't pay. You will
ho surprised at the pleasantness that will surround you
when you have made friends instead of enemies. Whatever
your mi.«fortunes in life, boys, ju»f Inugh
"Fifth. Concentr.Tte. Le:.' itrnte and think
upon the problem in vour mii liave reached a
conclusion. Don't be afraid i>f Don't blame a
man if he makes them; hut it i:< the fool that make.< the
san-e one twice.
KAII.UOAI) srriATlOX STILL TANGLED
THE Canadian railroads are still on the mat. The ad-
vocates of railroad bankruptcy have again lined up i
their case in an appeal to the government, over the head
of the Board of Railway Commissioners. Curiously enough, i
the opponents of higher rates are themselves the greatest
users of the toads, and if their arguments are sufficiently j
insistent they may succeed in getting bad service at the '
old rates. Can they not be satisfied to pa'ss the increased i
costs on to the shoulders of the consumer? I
There seems to be doubt as to whether it is the surplus
of the Canadian Pacific or the deficit of the Canadian Na-
tional that is causing the difficulty. That a private corpora-
tion should make profits is one of the crying evils of the
present day; that a public industry should even make ends I
meet is a ."^lap in the face of its owners. Are not these es- '
sential industries to be operated in the public interest rather :
than for profit, and what limit is there to the bargain on \
which the public interest will insist? Surely the question of
railroad rates is a technical one which the board is com-
petent to decide? Leave the tariff, which is too big to be
handled by any commission, for the decision of the political .
parties and their supporters at the polls.
Restriction of rents will scarcely be a solution of the
housing problem.
A miss is as good as a mile, but remember that you
are not always missed, says the Safety League.
Chapleau's fire hall has been damaged by fire. Even
fire halls must seek the protection of insurance.
President Hanna persists in appealing to the public to
support "our railway." It does not yet seem to be clear
whether the Canadian National is to be operated as a|
private road, securing business on the basis of service!
rendered, or as a government department.
* » * « *
Protesting against rent increases is nou uie iavome
pastime of the demagogue. Have the Toronto clergymen who
have complained against high rents estimated to what ex-
tent they are due to the great areas occupied ta.\ free by
the sectarian institutions which they represent?
Short-term bonds, such as Victory Loan due 1922 ami
1924. now are obtainable to yield well over 6 per cent, while
bonds running for a term of 20 years or over oflTer an ex-
ceptumal opportunity for appreciation in market value.
These two classes of securities are the most attractive on
the market to-dav.
"The shortest argument for protection in Canada m .
be illustrated in the rotation of the seasons," savs the How<
Bnnk Mnvthlii. wiiich then proceeds to show tha't now, since
our lumber industry cannot any longer absorb our surplus
winter labor, we have built factories to provide employmenl
for thos" who are no; required to "do the chores" on tht^
fanr. Dois the M.mtlili, really think this is why we have
protection, or n it trying to show the prodigal city work
man the way lack to the land?
October 8, 1920
THE MONETARY TIJIES
11
N
DEPARTMENT OF CUSTOMS AND INLAND REVENUE
NOTICE
To Manufacturers, Wholesalers
and Retailers
OTICE is hereby given to all con ;erned thai
Returns, accompanied by remittance of Luxury
and Excise Taxes, must be made as follows to the
local Collector of Inland Revenue, from whom any
information desired may be obtained.
Returns of Luxury Tax must be made on the first and
fifteenth day of each month.
Returns of Jewellers' Tax. Manufacturers' Tax. and
Sales Tax must be made not later than the last day of
the month following the month covered by the return.
Returns for Taxes in Arrears must be made forthwith,
otherwise the penalty provided by law^will be enforced.
By Order of the
DEPARTMENT OF CUSTOMS AND INLAND REVENUE
GEO. E. DUNBAR.
Collector of Inland Revenue.
TORONTO
CURRENT ACCOUNTS
Efficiency is hard to obtain and
highly paid for. Merchants and
Manufacturers will find this
Bank equipped and prepared to
give all Current Accounts the
efficient care and careful con-
sideration they demand.
Open a Current Account with
this Bank. Your interests will
be faithfully looked after by
experienced men.
IMPERIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land The Commercial Bank of Scotland,
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
A;,ents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
Fifty-five Years of
Banking Service
Time has demonstrated the sound-
ness of the policies on which the
first Board of Directors founded
this Bank fifty-five years ago —
October, 1865 — and which have
continued throughout Hs existence.
Union Bank of Canada
THE
Bank of Nova Scotia
Established 1832
Capital
Reserve
Total Assets
$9,700,000
$18,000,000
$230,000,000
GENERAL OFFICE : TORONTO. ONT.
H. A. Richardson, General Manager
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic, Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
55. OLD BROAD STREET. E.C.2
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
Arthur B. Bi'CKWORTh was ri'cenlly appointed general
manaKer of the Pacific Great Eastern Railway, succeeding
George E. Mac-
donald. For the
past two and one-
half years he has
been manager of
the Spokane and
British Columbia
Railway. Born in
Birmingham, Eng-
land, Mr. Buck-
worth came to
Canada with his
parents at the age
of twelve years and
spent his early life
in the city of
Hamilton, leaving
for the Kootenay
ilistrict in British
Columbia when
nineteen years of
age. After spcnil-
ing two wars in
Rossland, B.C., Mr.
Buekworth resided
aC Ymir, B.C., a
small mining town,
for the succecdin-; fifteen years. Going to Vancouver twelve
years aco as representative for E. R. C. Clarkson Company,
liquidators, of Toronto, Mr. Buekworth has remained as their
Vancouver repiesentative since that time and during the
last two years has officiated as manager of the Spokane
and British Columbia Railway.
C. G. K. Not'RSE has been ap
Rowley, as manager of the main
pointed to succeed C. VV.
branch of the Canadian
Bank of Commerce
at Winnipeg, Man..
Mr. Rowley having
been appointed one
of the superintend-
ents for the central
west. The banking
career of Mr.
Nourae incbides
scr\'ice with the
Bank of Commerce
at Goderich, (Int..
and Dawson, V.T.,
in minor capacities.
From IHitO to I'.tOl
he was manager of
the bank's branch
Sksgwny, Alaska,
and from there he
w e n t to White
Horse, V.T., as
manager, which
position he held un-
til 101.1. when he
was appointed to
manage the Prince
.•\ I b e r t . S a » k . ,
braiuli. In r.lO.'i be became head of the bank's branch nt
I.ethbridge and eight years later was appointed nianagiT of
the Calgary branch, which position he held until his pre-
sent appointment,
Wai.tkr T.. Foster. 9ccretar>- of the British Columbia
Fire Underwriters' Association. Vancouver, B.C., for the past
five years, has resigned owing to ill-health.
John O. Hastings, member of the Montreal stock
brokerage house of Ryan, Grier and Hastings, has been
elected a member of the Montreal Stock E.xchange.
D. M. Roberts, who has been with the Toronto invest-
ment hou.se of MacKay and MacKay for some time, has been
appointed manager of that company. Previous to becoming
associated with MacKay and MacKay, Mr. Roberts was with
the Toronto office of the United Financial Corporation,
Limited.
Fred W. Field, British government trade commissioner
in the province of Ontario, left Toronto on October 7th for
England, to confer with the Department of Overseas Trade
in London and manufactui'ei's and merchants throughout
the British Lsles. Mr. Field will be away for about three
months or more.
Douglas S. McMaster, representative of the stock
brokerage house of C. Meredith and Company, Montreal, on
the local exchange, is joining O'Brien and Williams, another
Montreal stock brokerage house, and will be the floor mem-
ber for that company. D. E. Crutchlow, another partner
of the Meredith company, will be the new representative of
that house.
William E. Wilder, who will represent Wood,
Gundy and Company, on the Toronto Stock Exchange,
has been connected
with that firm
since leaving Tor-
onto University in
1911. Last year he
was made a mem-
ber of the firm.
He is well known
among the bond
dealers and i n -
vestors of Toronto
and of the Do-
minion as a whole
because of the
widespread connec-
tions of his com-
pany and also
through his active
participation in the
war loan cam-
paigns. In these
campaigns he ser-
ved on the special
subscription com-
mittees which made
such creditable re-
cord s . Wood,
Gundy and Company now have offices in Toronto, Montreal,
New York, London, and Saskatoon, and recently w^ere ii.-
corporatcd in Manitoba, with a view to opening a branch
in Winnipeg.
OBITUARIES
.\. C. McMlCKEN, assistant receiver-general of the fin-
ance department of the federal government at Winnipeg,
and manager of the Dominion Government Savings Bank,
died on October 1st. n victim of heart disease.
L. K. Cameron, for many years King's Printer for the
province of Ont-irio, and who resigned that position six
years ago owing to ill-health, died at Santa Monica, Cal. on
October 1st. at the age of 07 years. Some 38 years ago Mr.
Cameron foundeil the "Northwest Farmer," at Winnipeg.
J. H. Halpenny, of Westboro, Ont., an agent of the
Dominion Life Assurance Company, is dead as the result of
an accident when the automobile in which he was riding
was struck by a New York Central train near Theresa, N.Y.,
opposite Brockvillc. C. E. Robertson, superintendent of
agencies for the Dominion Life, who was with Mr. Halpenny,
was injured.
October 8, 1920
THE MONETARY TIMES
The Sterling Bank
OF CANADA
collection returns, taster service throughoy
Banking transactions, closer co-operation and gf
satisfaction in all dealings with the Bank.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament. Established 18*25
Capital Subscribed..'. /5, 000. 000 525.000,000
Paid up 1,100.000 .S,. ^00,000
Uncalled 3,900,000 19,500,00(1
Reserve Fund 1 ,000,000 5,000,000
Head Office - EDINBURGH
WILLIA.M CARNEGIE, General Manager. GEOKGK A. HUNTER. Sec.
LOXDO.N- OFFICE— 37 NICHOLAS LANE. LOMBARD ST.. EC. 4
T. C. RIDDELL. DUGALD S.MITH.
.Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, .ire
retired on terms which will be furnished on application.
Commonwealtb 36a rf^ of Buetralia
All classes of GENERAL AND SAVINGS BANK business are trans
acted in :ill the principal cities and towns of Australia. Rabaul am
London.
Banking and exchange business of every description transacted wilhii
the Commonwealth, United Kingdom. Canada. V S.A. and Abroad.
JAS. KELL.
Deputy Governor 1920
DENISON MIIXF.R.
The Dominion Bank
ESTABLISHED IS7I
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
THE
Exchange Rate
II.— What Controls It?
THIS series, published each week, is in-
tended to remove misunderstandings
as to the cause of fluctuation in the
exchange value of our dollar in other coun-
tries.
When the demand for any commodity
is greater than the supply, the price of that
article is sure to rise.
A foreign dollar is a commodity in
Canada, that is something to be bought or
sold and not current money, and similarly
the Canadian dollar is a commodity in a
foreign country and not cun-ent money
there.
Their value (or rather their price in
the local current money) is therefore gov-
erned by the law of supply and demand.
The reason foreign dollars are com-
modities is that they are not "legal tender"
outside their own country.
You would not like a debt to you to be
paid in German marks or French francs
because of the difficulty you might have in
converting them into your own currency.
At border points in the United States, our
immediate neighbors, where exchanging the
two currencies is a simple matter, Canadian
money is now generally accepted, but else-
where in that country it is taken reluc-
tantly.
To protect their peoples all Govern-
ments provide that creditors may refuse
payment of amounts due them unless
made in certain specified currencies and
the currencies so authorized are called
"legal tender."
The banker who receives "foreign dol-
lars" cannot therefore pay them out over
the counter so they are not money to him,
but only securities, until he can exchange
them for currency of his own country'.
Next week in No. III. of this series we
will explain the method of making this
exchange.
THE CANADIAN BANK
OF COMMERCE
Capital Paid Up $15,000,000.
Reserve Fund - $15,000,000.
This leriei, uhen comptcUj, uill he pub-
luheJ in pamphlet form. If ^ou Jaire a
copy. BTile (o our Head Office, Toronto.
THE MONETARY TIMES
SUGGESTS STKK TEIJ LI( KNSING Ol' AtiKNTS
I'ru\iiu'iiil Insuranov SupfrintendfntH Discuss .Mt-thods <il
l)i)in)i IJu.sini'ss — .Manitoba's Hank Has Uaist-d
({uartiT Milliun
(Special to The Mmiilory Times.)
Winnipeg, October 7, 1920.
THK third conference of the provincial superintendents of
insurance was held in Winnipej; from October 4 to 7, with
a representative jruthcriny of insurance men of all branches
and from all parts of Canada in attendance. At the organi-
/<ation meeting held Monday the following officers were
elected: — President, Arthur E. Kisher, Saskatchewan; vice-
president, Charles Heath, Manitoba; secretary-treasurer, V.
Evan Gray, Ontario.
A splendid address on the regulation of insurance agents,
brokers and adjusters was given at the opening session
by Mr. \'. Evan Gray, superintendent of insurance for On-
tario. The speaker said that he was an ardent defender of
the agency system, but not in the form in which it was ad-
ministered in Canada to-day, but in the form in which it might
be and woulii be administere<l when more fully developed.
Suggested remedies by the speaker included the appoint-
ment of a commission to en()uire into and determine the
proper and reasonable rates of commission to be allowed to
agents on fire insurance. Mr. Gray also proposed a control
and limiting of the persons who may act as insurance agents
by an improved licensing system. Insurance adjusters should
be licensed in a similar manner, he said.
Speaking upon fraternal societies, Dr. F. Sanderson, |
actuary of the Ontario Department, declared that there was i
the greatest need for a readjustment of the insurance rates
ottered by these societies. In addition to securing adequate [
rates there should also be adequate reserves, and all so- '
cieties placed upon a solvent basis. A new uniform law was
needed in all provinces having fraternal societies under their
jurisdiction. -
A splendid paper on hail insurance by W. M. Seller,
deputy superintendent of insurance for Alberta, was read
Tuesday afternoon. On Wednesday a valuable paper on the
•'Model Fire Policy Act" was read by Chas. Heath, superin-
tendent of insurance for Manitoba, and one on "Reciprocal
Insurance Exchanges," by Chas. M. Howell, of Kansas City,
created a good deal of discussion.
Business .Marking Time
Ideal weather conditions prevail in the west and thrash-
ing is rapidly being completed. The ground also is in good
shape for plowing, and good progress is being made. Busi-
ness, as a rule, is somewhat quiet, due in part to the fact
that farmers in all parts of the country were extremely busy.
The outlook for fall business is excellent, and wholesale houses
are sending forward large shipment.
The provincial savings organization has to date trans-
ferred to the government for the use of rural credit societies
over a quarter of a million dollars, having bought treasury
bills of the government for this amount. The fact that the
organization after forty days' operation has a quarter of a
million which it is able to transfer to the government gives
promise of future success.
SKI'TEMHKK HOKUOWINGS I{KI)1'CP:D IN VOl.lME
Todil of I'rovinciiil llond SaU>i Small — No Uailway or
Industrial I'ldlationx — Amount of New Municipal
Financing Increased
SEPTEMBF:R was a iiuiet month in the bond market, the
total of new financing being $9,389,176 as compared with
$16,804,644 in August and $1,404,038 in September a year
ago. The low total in September, 1919, was due, of course,
to the Victory loan, bond selling organizations devoting them-
selves almost entirely to that undertaking.
No corporation or railroad issues were floated last month,
and the volume of provincial financing was very small as
compared with previous months. The total of municipal bend
sales was greater, being $5,639,176, compared with $3,404,644
in .August and $744,038 in September, 1919, and was made
up chiefly of two large issues, namely, Edmonton and Ottawa.
Other issues were fewer in number than previously.
A summary of all bond sales last month, with compari-
sons, follows: —
Sept., 1920.
Provincial $3,750,000
Municipal 5,639,176
Corporation
Aug., 1920. Sept.. 1919.
$10,000,000 $ 750,000
3,404,644 744,038
3,400,000
),389,176 $16,804,644 $1,494,038
i-i[ii\ i\< I •
111 M< II' (I I I II '
I .... > ii.>r.l«r t'lilltic
!>>,.„ s.nmJ .
in ir!..:I,i,I...ri;l. Tri-
Varioun
'JO years
instalments
tn*talmcnl»
inM.ilmcnti
.r..|.,lnicnl!i
United Financial Corp.. Ltii.. a ,
Dominion Securities Coi
A. E. Ames & Co.
L.4icalty
A. E. Ames gc Co.
Wood. Gundy & Co.
A. E. Amc-i & Co
Wood, Gund) & Co.
C. H. RurgessACo.
Wood, tiundy « Co.
»S.4»3
i6o!6o
'iiiis'
7%bas.
90.31
98.07
8|%b's
VartouK
74 yean
2 ycant
Morris Hros.. Portland
Koss AIRer « Co.. <t Morri? Bros.
Ross AlKcr & Co.
Various
.itional Loan Co
Locally
Rrlll<h «f>lli
October 8, 1920
THE MONETARY TIMES
THE
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
head office. wevburn, saskatchewan
Branches in Saskatchewan at
Weyburn, Yellow Grass, Mc'faggart, Ilalbrite, Midalc.
GriflRn, Colgate, Patigiiian, Radville, Assiiiiboia, Benson,
Verwood, Readlyn, Tribune, Expanse, Mossbank, Vantage.
Goodwater. Darmody, Stoughton, Osage, Creelman and
Lewvan.
A GENERAL BANKING BUSINESS TRANSACTKIi
H. O. POWELL, General M.inaf!er
HomeBankofCanadai
REPORTS ON INVESTMENTS
.Any information regarding slocks or bonds or
other form of security may be readily and freely
obtained at this Office. We are in close com-
munication with the Bond Department of our Head
Office, and they will be pleased to give our in-
c|uiries on your behalf their prompt attention.
Branches and Connections Throughout Canada
Head Office and Eleven Branches in Toronto t i
LLOYDS BANK LIMITED,
HEAD OFFICE:
71, LOMBARD ST., LONDON, E.G. 3.
CAPITAL SUBSCRIBED
CAPITAL PAID UP
RESERVE FUND
DEPOSITS, &c.
ADVANCES, &c.
$353,396,900
70,679,330
49,833,410
1,621,541,195
821,977,505
THIS BANK HAS ABOUT 1,500 OFFICES IN ENGLAND & WALES.
Colonial and Foreign Department : H, CORNHILL. LONDO.M. E.G. 3. London Agency of the IMPERIAL £ANK OF CANADA.
The Agency of Foreign and Colonial Banks ia un-'ertaken.
Affiliated Pan'cs: THE NATIONAL BANK OF SCOTLAND LTD. THE LONDON & RIVER PLATE BANK LTD.
^\uxiliary: LLOYDS AND NATIONAL PROVINCIAL FOREIGN BANK 1. MITED.
TH€ M€RCHANT5 BANK
Head Ofrice : MontreaL OF CANADA,
Established 1864.
Capital Paid-up, $8,400,000 Reserve Fund and Undivided Profits, $8,660,774
Total Deposits (31st July, 1920) - Over $163,000,000
Total Assets (31st July, 1920> - Over $200,000,000
Board of Directors :
Thomas Long
Sib 1 . OrrOkr-Lewis, Bakt.
Hon. C. C. Bailantyne
SIR H. MONTAGU ALLAN
K. Howard Wilson
Farouhar Robertson
Geo. L. Cains
General Manager
Supt. of Branches and Chief Inspector
(iencr.il Supciv.sn, -
Vice-Presideni
Al.KKEIi B. liVANS
Thomas Ahearn
Lt.-Col. J. R. MOODIK
D. C. Macarow
; T. E. Merkett
\V. A Mkliiki-M
A. J. DAWES
Hon. Lornk C. Webster
E. W. Kneeland
(Jordon M. McGregor
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice.
'69S Branches in Canada, extendicg from the Atlantic to the Pacific
New York Agency: 63 and 65 Wall Street: W. M. Ramsay and C. J. Crookall, Agents
London, England, Office, 53 Cornhill: J. B.Donnelly, D.S.O., Manager.
Bankers in Great Britain : The London Joint City & Midland Bank, Limited, The Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
r.ANK I5UA.M II .NOTES
Seven New Branches .Vnnounccd Thi.s Week, and Om- lo be
Closed — A. C. .Mills Lesnes Bank of Nova Scotia
The following is a list of branches of Canadian banks
which have been opened recently: —
Toronto (Uufferin & St. Clair) Koyal Bank of Canada
Ottawa (Bank St. & Second
Xve.) Royal Bank of Canada
Churchbridge, Sask Bank of Toronto
White Hock, B.C Royal Bunk of Canada
Brussels, Belgium Banque Nationale
Marseilles, France Banque Nationale
Montreal, Que. (1509 Ontario
St. E.) Merchants Bank of Canada
A branch of the Bank of Montreal at Paspebiac, Que.,
will be closed on or about the loth inst.
A. C. Mills, manager of tne Bank of Nova Scotia, at
Glace Bay, N.S., has resigned his position, and is leaving
to take over the management of a large trust company at
Halifax.
J. J. Grozelle, former accountant at the Home Bank,
London, Ont., has been promoted to manager of the Sarnia
branch. Lawrence Nolan will succeed Mr. Grozelle as ac-
countant at London.
Leslie H. Reilly, who has been manager of the Mer-
chants Bank at Leduc, Alta., has been promoted to the man-
ager.ship of the Namayo Ave. branch at Edmonton, Alta.
John Mc.Arthur, who has been transferred from Morrin, .\lta.,
is succeeding Mr. Reilly.
The Bank of Nova Scotia is erecting a new building at
the corner of Queen and McCaul Streets, Toronto.
EXCHANGE QUOTATIONS
Glazebrook and Cronyn, exchange and bond brokers,
Toronto, report local exchange ratos as follows: —
Sellers.
;• l-:i2 pm
54 pm
Counter.
% to
$3.82
3.83
Buyers.
N.Y. funds 815-lt>pm
Mont, funds Pnr.
Sterlings
Demand $3.81
Cable transfers . . . 3.82
New York quotations of .7xchange on European coun-
tries, as .supplied by the National City Co., Ltd., Toronto, as
at October 7, l'.»20, follow: London, cable, 350';4; cheque,
:;4!)'!4; Paris, cable, 6.70; cheque, ().C9; It^ily. cable, 3.90;
cheque, .t.89; Belgium, cheque, 7.0(); Swiss, cheque, 16.05;
Spain, cheque, 14.68; Holland, cheque, 31.05; Denmark,
cheque, 14.04; Norway, cheque. 14.02; Sweden, cheque, 20.00;
Berlin, cheque. 1.62; Greece, cheque, 10.25; Finland, cheiiue.
2.80; Roumania, cheque, 1.97.
DOMINION BUSINESS KAIUKKS
The number of failures in the Dominion, as reported by
R. G. Dun and Co. during the week ended October 1, 1920.
in provinces, n.'* compared with those of previous weeks and
corresiKinding weeks of Inst year, arc as follows: —
Date.
O
3
<y
c
a
3
<
a
n
'A
n
5
o
H
Oct. 1 ..
.1
4
0
1
.t
4
0
2
0
17
Sept. 24 . .
. . 2
3
1
0
2
4
0
1
0
13
Sept. 17 . .
. . 5
8
2
0
2
2
0
6
0
24
Sept. 10 . .
. . 5
8
0
1
0
U
0
0
0
14
MONTHLY BANK CLEARINGS
The following are the Bank Clearings for the month of
September, compared with the same month last year:—
Sept., 1920. Sept., 1919. Changes.
Montreal §556,543,834 .? 498,925,811 +$57,618,023
Toronto 414,156,433 358,890,250 + 55,266,183
Winnipeg 245,983,823 218,769,121 + 27,214,702'
Vancouver 77,437,078 59,519,-366 + 17,917,712
Ottawa 35,473,726 42,194,407 — 6,720,681
Calgary 36,447,175 30,522,676 + 5,924,499
Hamilton 31,836,176 26,588,243 + 5,247,933
Quebec . ... .30,648,095 25,182,030 + 5,466,065
Edmonton 22,715,293 21,543,119 + 1,172,174
Halifax 22,421,025 10,811,960 + 2,609,065
London 14,676,204 lo,488,312 + 1,187392
Regina 18,316,105 19,891,838 — 1,575,733
St. John 13,253,567 13,189,520 + 64,047
Victoria 11,727,457 10,544,780 + 1,182,677
Saskatoon 9,632,660 9,092,260 + 540,400
Moose Jaw 7,723,012 8,070,.554 — 347,542
Erantford 6,574,696 4,955,276 + 1,619,420
Brandon 3,182,754 3,337,860 — 155,106
Fort William . . . 3,805,695 3,880,159 — . 74,464
Lethbridge 3,927,345 3,451,406 + 475,939
Medicine Hst 2,465,692 1,957,501 + 508,191
New Westminster 3,077,724 2,501,600 -J- 576,124
Peterboro 4,235,936 3,509,196 + 726,740
Sherbrooke 5,524,034 4,112,790 -f 1,411,244
Kitchener 4,720,901 3,974,507 + 746,394
Windsor 15,371,371 9,736,140 + 5,635,231
Prince Albert . . . 1,668,781 1,903,146 — 236,366
Totals ...$1,603,544,592 $1,419,543,828 -f $184,000,764
Moncton 3,513,528
The Federal Finance Corporation, Ltd.. Toronto, have
tpened an office at 22 Sun Life Building, Hamilton, Ont.
WEEKLY BANK CLEARINGS
The following are the Bank Clearings for the week
ended October 7, 1920, compared with the corresponding week
last year: —
Week ended Wesk ended
Oct. 7, '20. Oct. 9, '19. Changes.
Montreal $172,599,412 $143,282,538 +$ 29,316,874
Toronto 117,132,001 91,147,107 + 25,984,894
Winnipeg 102,512,194 64,606,018 -t- 37,906,176
Vancouver 17,730,307 14,738,459 -f 2,991,848
Ottawa 16,640,249 9,366,195 + 7,274,054
Calgary 11,419,901 9,441,345 + 1,978,556
Hamilton 9,151,017 7,123,221 + 2,027,796
Quehec 7,549,145 6,262,845 + 1,286,300
Edmonton 5,976,663 5,277,259 + 699,404
"alifax 4,890,567 5,593,244 — 702,677
London 4,383,086 3,579,423 + 803,663
Rpgina 6,054,319 5,690,068 + 364,251
.^t. John 3,183,354 3,445,954 — 262,600
Saskatoon 2,811,662 2,502,418 + 309,244
Moose Jaw 2,.">20,986 2,219,224 + 301,762
Brantford 1,784,861 1,627,319 + 157,542
Brandon 1,032,928 1,064,510 — 31,582
Fort William . . . 1,153,933 1,169,944 — 16,011
L<thbridgc 1,.306,518 770,982 + 535,536
.Medicme Hat . . . 794,764 701,920 + 92,844
New Westminster 807,578 678,623 + 128,955
Peterboro 1,494,544 1,031,718 + 462,826
Sherbrooke 1.304,238 1,0.39,676 + 264,562
•^•If'^ener 1.29.3,977 1,185,231 + 108,746
^^'"''sor 3,854.349 2,431,654 + 1,422,695
Totals $499,382,553 $385,976,895 +$113,405,658
Moncton 854,783
October 8, 1920
THE MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(1^S■[■ABLISHRD ISI")
^®^.
PAID VI' CAPITAL -
RESERVE FUND - . - .
RESERVE LIABILITY OF PROPRIETORS
AGGREGATE ASSETS 31st MARCH. 1920
Sir JOHN RL'SSELL FKENCH, KB. E., General Manager
351 BRAN'CHES and AGENCIES in the Australian States. New Zealand Fiji. Papua (New Guinea) . and London. The Bank tr
o( Australian BankinK Bu
HEAD OFFICE: GEORGE STREET, SYDNEY.
- § 23,828,500.00
16,375,000.00
23,828,500.00
$ 64,032,000.00
- $377,721,211.00
sacts every description
Wool and other Produce Credits arranged.
LONDON OFFICE: 29 THREADNEEDLE STREET. E.C., 2.
HANK Ol- MONTREAL. ROYAL BANK OF CANAI5A
C. S. GUNN & COMPANY
REAL ESTATE, INSURANCE, RENTAL AGENTS
805 Union Trust Building
WINNIPEG, MAN.
Members of Winnipeg Real Estate Exchange, Winnipeg Stock Exchange
GEORGE Edwards, F.C.A. Arthur H. Ildwards, F.C.A.
H. Percival Edwards W. Pomeroy Morgan A. G. Edwards
T. J. Macnamara
J. C McNab
\V. H. Thomi'Sos
Chas. E. White
0. N. Edwards
\. L. Steve.ss
Thos. p. Geggie
C. Percy Roberts
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORONTO ..
CALGARY ..
VANCOL'VER
WINNIPEG ..
MONTREAL
CORRESPONDENTS
HALIFAX. N.S
LONDON. ENG
CANADIAN MORTGAGE BUILDING
HERALD BUILDING
LONDON BUILDING
ELECTRIC RAILWAY CHAMBERS
McGILL BUILDING
ST. JOHN, N.B.
COBALT, ONT.
NEW YORK, U.S.A
ESTABLISHED la/O
Alloway & Champion
Bankers and Brokers
Members of Winnipeg Stock EichnnR
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchange.
A Weekly Meeting
THE Direclors of this Corporation
are men well-known in the
commercial, financial and professional
life of Canada. They meet weekly
to transact business, when estates in
the course of administration receive
the benefit of their counsel and ex-
perience on all matters of importance.
All investments of trust funds are
made by the authority of the Direc-
tors, thus protecting estates, small as
well as large, against the uncertain-
ties of individual judgment.
THE
TOROiSTOGEyHERALTRUSTS
CORPORATIOiS
Head Office:
l'.r..n:hea
Cor. BAY AND MELINDA STS.
TORONTO
*M Winnipeg Saskatoon Vancouver
18
THE
MONETARY TIMES
Volume 65.
Legislation Respecting Life Insurance Beneficiaries
EnRlish Common Law has lUen Alttred by Legislation in Canada—
Statiiti's DilVcr in Vari.ius I'rovinifs. However— Comparison of Law as
Keuards Heneliciaries, Division ol Insurance, and Children's Insurance
Hy H. .]. SIMS. L.L.B.
Sims. Bray & iMcIntosh. Head Oflice Solicitors of the Mutual Life Assurance Co. of Canada. Waterloo. Ont.
i
Insurance Act deals in a most comprehensive way with the;
whole matter of insurance. Quebec, too, has very complete
laws on the subject. The Saskatchewan Insurance Act is,
practically a counterpart of the Ontario Act. The maritime
provinces have used the Ontario Act as a basis for their in-j
surance laws. Much of the legislation in Manitoba, British'
Columbia and Alberta is similar to that of Ontario and.
Quebec.
Although there is considerable variation in the statutory
enactments of the different provinces concerning life insur-
ance, still the salient features of the various provincial acts
are similar. This is particularly true in respect to the bene-
fits conferred on wives and children. At the same time iti
is to be regretted that there are not uniform insurance laws'
throughout the various provinces. If there were, it would;
avoid much confusion, considerable inconvenience and more'
or less litigation.
It is my purpose now to point out some of the many
differences in the various provincial statutes relating to
beneficiaries. Before doing so it would be advisable to men-'
tion that the law of that province in which the assured re-
sides when the insurance is effected and presumably where;
the policy is delivered to him, governs the construction of,
the contract, and some of the courts have also held that this
rule applies as well to the rights and status of the benefi-
ciaries, no matter to what province or country they may
afterwards remove and notwithstanding any term or con-
dition in the policy to the effect that the law of the province
where the head oflice of the company is situate shall govern.'
The only possible exception is British Columbia.
F()l{ a proper understanding of the various provincial
enactments in respect to beneficiaries, it would be well
for a moment to consider the status of beneficiaries at com-
mon law.
In the absence of any legislation the common law rule
is that a policy and the money to become due under it be-
long, the moment it is issued, to the person named in it as
the bcncficinr>-, and there is no power in the person procur-
ing the insurance, by any act of his, to transfer to any
other per.son the interest of the beneficiary named in the
policy. The interest of the beneficiary is a vested one, sub-
ject to be defeated in the event of the moneys never be-
coming payable within the terms of the contract. In the
absence of any contrary arrangement between the company
and the assured, an irrevocable trust is created.
Agreements in United States
In order to defeat the common law doctrine the in-
variable practice in the United States is for the insurance
company, when effecting the contract, to permit the assured
to change the beneficiary at any time, and most all policies
issued in the United States contain provisions to that effect.
It is simply a matter of agreement between the company and
the assured. So far as I am aware, there is no legislation
in any of the various states of the union dealing with this
particular branch of the subject and to the best of my know-
ledge there is none in England.
In Canada, on the other hand, the vested right doctrine
..' <-..nimon law has been greatly altered, if not altogether
■il, by virtue of legislative enactments permitting the
I to change the beneficiary, subject, however, to cer-
-strictions which will be dealt with later on. It has,
re, not been the practice for Canadian companies to
n change of beneficiary clause in their policies,
ill passing it may be stated that it has been conceded
I hat the rights and status of beneficiaries are matters with-
in the purview of the provincial legislatures.
Advanced lA'gislntinn
It can snfcly be said that Canada has insurance legis-
lation much in advance of most of the older countries and
principally in respect to beneficiaries. Many years ago in
i'liper and Lower Canada the principle was adopted of free-
ing iii.4urancc moneys payable to wives and children from
the claims of creditor."". In fact, Canada was the first country
Ml tlir Briti.sh empire to enact such Icgi.tlntion. The prin-
iiplc has since been extended in favor of certain other benc-
liriarics and is now an integral pari of the insurance acts of
nil tho provinces. Insurance moneys arc by statutory enact-
I with a trust, and
' hnrncterislics of
of modern Icgis-
ics, have largely
rlnncc of life in-
■ a nation, of the
o life companies,
..omcnt of life in-
1.' baneful influences
countr>' frequent 1:
lins added to it '
. m.-ii(. Till' I'.il'
I. I,. I
.11.
immense investni-
and of the furth.'
■.iirance will best
of thriftlossncss.
The province,* of Ontnrio and Quebec have been the
pioneers "in insurance legislation in CanAda, The • •ntnrio
*.\n address before the conference of provincial insur-
ance superintendents, Winnipeg, October 4-7, 1920.
Preferred Beneficiaries
.Mlow me to point out in the first place that the pre-
ferred class of beneficiaries differs in some of the provinces.
In Ontario, Saskatchewan, Alberta, Nova Scotia and Prince
Edward Island the class consists of the husband, wife, child-
ren, grandchildren and mother of the assured. In Quebec,
in the case of a man, it consists of his wife, his children
and his wife's children. In the case of a woman it consists
of her children. In Manitoba the class is the husband, wife,
children and step-children. In British Columbia the husband,
wife and children are only preferred beneficiaries, while in
New Brunswick, the class consists of husband, wife, children,
grandchildren, mother, father, brothers and sisters of the
assured.
In all the provinces, e.xcept Quebec, insurance moneys
payable to preferred beneficiaries are not attachable by the
creditors of the assured as well after as befoi-e payment by
the company. In Quebec they arc only exempt while in the
hands of the company. In that province they are also
exempt while in the hands of the company from the claims
of the beneficiary's creditors, but not after payment. In
Manitoba such moneys are not liable to seizure by the credi-
tor!, of the bcneficiarj- whether paid over by the company or
not. There is no similar provision in the Insurance Acts
of any of the other provinces.
Division .Vmong Beneficiaries
Where the benefits are payable to wife and children,
without any apportionment, the law in Manitoba is that the'
wife takes one-third and the children two-thirds. In Quebetf
the wife takes half and the children the other half. In all
October 8, 1920
THE MONETARY TIMES
SterungTrusts Corporation
DOCTORS AND DENTISTS
Let us look after your financial affairs for you. We keep a
separate set of books, look after your investmenis. act as
vour Secretary and financial adviser's, all at a small cost.
President
\y. H.VVAHDROPE. K.C.
Vice-President, Managing Director,
A. VV. BRIGGS. K.C CHAS. UAUCKHAM
1120
Canada Permanent Trust Company
H.-.id Office :
Canada Permanent Building, Toronto
Capital Paid Up - ONE MILLION DOLLARS
DIRECTORS:
W. G. Goodcrham. President.
R. S. Hudson. Vice-President and John Hassey.
Joint Gcner:il .Manager Joint General Manager
Geo. H. Smith, Sec'y-Treas. Col A. E. Goodcrham
J. H. G. Hagarty w illiam Mulock-
F. Gordon Osier John Camphell. S.S.C.
George W. Allan. K C. .MP. H. R. C. Clarl^on
Ontario Branch :
Canada Permanent Building, Toronto Street, Toronto
.Manager : A. K. HESSIN
A. J. Pattison Jr. & Co.
.Members
Toronto Stock Exchange Montreal Stock Exchange
Specialists Unlisted Securities
106 BAY STREET - TORONTO
WESTMINSTER TRUST COMPANY
,1 Pr
in H .
H
d Office - NEW WESTMINSTER. B.C.
GENERAL FINANCIAL AGENTS
AdmtmUtrattn. Ktcelvtri, Extculon, l.ltaUiilon. Aiittntta. TrmiUtt
E. A. RIDDHLL. Manager
H. H. CAMPKIN
Insurance, Loans, Bonds, Debentures and Real Estate
Agent for Canadian PaciKc Kail way Co. Lands. CanoJa \urth
West Land Co. Lands, Hudson's Hay Company's Lands.
REGINA, SASK.
The Security Trust
Head Office
Liquidator, Trustee, Receiver
Administrator, Executor.
W. M. CO.N'NACHER
Company,
Calgary,
Stock and Bond
General Financii
Pies, and Ma
Limited
Alberta
Brokers,
1 Agents.
laging Direclor
Saskatchewan General Trusts
Corporation, Limited
Head Oftice : Regioa, Sask.
Executor
Administrator
Assignee
Special attention given Mortgage Investments, Collections,
Management of Properties for Absentees and
all other agency business.
B0.1KU OF DIKECTOK.S:
W. T. MOLLARD, President G. H. BARR. K.C, Vice-President
A. L. Gordon. K.C. J. A M. Patrick, KC.
W. H. Duncan J.A. .McBridc
William Wilson
, MURPHY, General Manager
Official Administrator for the Judicial District of Weyburn
H. B. Sampson K.C.
David Low, M.D.
Chas. Willoughby
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for investment in all classes of Securities
Business Agent for the R. C Archdiocese of V.tncouver.
Fiscal Agent for B. C. Municipalities.
Inqairies Invited
<;ciieral .Maiinerr l.lrul.-t
II. DOKKKLL
Providing for Education
In tiuies of piospL-rily make ccrl.iin lli.it tlic- cducalioii
of your children will be provided for in case of a reversal of
fortune. By placing a trust fund with us for investment,
an income can be provided to begin at any time and he
administered under any conditions you see fil to incorporate
in the agreement. Write us for particulars.
Chartered Trust and Executor Company
46 KING STREET WEST, TORONTO
HON. W. A. CHARLTON. .M.P.. W. S. .MOfl^EN, K C.
President. Vice-Pres. and Estates Manager
JOHN J. GIBSO.S". .Managing Director.
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Ac(> t< Executor, Adminiilralor, Trustee, Guardian, Liquidator
Aiii(nee, and in any other fiduciary capacity.
Official Administrator for the Northern Judicial
District and the Dauphin Judicial District in
Manitoba, and Official Assignee for the Western
Judicial District in Manitoba and the Svi-ift
Current Judicial District in Saskatchewan.
Branch Office - - Swift Current, Saskatchewan
JilUX R I.rrri.l';. Managing Director
20
THE MONETARY TIMES
of the olhtr provinces the wife and children all shuie equally
— i.e., per capita.
In the following instance there is even a greater varia-
tion It is the case of the benefit being solely for a wife
who is not designated by name. In the event of her death,
there being no further appointment by the assured, the In-
surance Acts of Quebec, Manitoba and British Columbia pro-
vide that the moneys revert to the assured's estate. In
Alberta the moneys go in equal shares to the second wife
and children, if there are any. Children of a deceased child
take the parent's share. If there are no such beneficiaries
the money.s revert to the assured's estate. In Ontario, Sas-
katchewan and the maritime provinces the second wife is
entitled to the benefits. If there is no second wife living
when the claim is payable, there is a reversion in favor of
the assured's estate.
If the wife being a sole beneficiary is designated by
name and she predeceases the assured, there being no further
appointment, the statute law of Ontario, Saskatchewan and
Alberta provides that the moneys are payable to the second
wife and children in equal shares, the children of a deceased
child taking by representation. In Quebec, Manitoba and
British Columbia the moneys revert to the assured's estate.
In New Brunswick and Prince P:dward Island the children of
the assured are entitled, while in Nova Scotia only the infant
children take.
Then, again, in British Columbia and the maritime pro-
vinces children of a deceased child do not take the parent's
sharo. In other words, the word "children" does not include
grandchildren in these provinces. In all the other provinces
grandchildren are included.
Children's Insurance
The laws respecting children's insurance are not uniform.
There is legislation in five of the provinces permitting in-
fant insurance to a limited extent. The legislatures of these
provinces no doubt recognized the well-known dangers aris-
ing from the unrestricted insurance of children. There is no
legislation in Manitoba or the maritime provinces on the
subject.
In Ontario and Saskatchewan a minor over fifteen years
of age has an insurable interest in his own life and can take
out a policy in favor of himself or for the benefit of a pre-
ferred beneficini-y or of a father, brother or sister. In Al-
berta there is similar legislation and the class m whose
favor the insurance can be placed is extended so :is It. in-
clude a grandparent. In British Columbia the age limit is
sixteen years and there is no restriction as to the beneficiary.
In the other provinces there is no legislation enabling infants
of any age to insure their lives. If, however, policies are
taken out by minors on their own lives in Quebec, Manitoba
or the maritime provinces, or even by children under fifteen
years of age in Ontario. .Saskatchewim and Alberta, and
under sixteen in British Columbia, such policies arc not ab-
solutely void. They are only voidable at the insUncc of the
infant. In all cases they are binding on the company. It
i», accordingly, quite apparent how very unsaii.sfactory the
low is on this particular subject.
In the payment of insurance moneys to which infants
nrc entitled, there is an utter lack of uniformity in the various
pnninocs. In Ontario if there is no trustee appointed by
the assured to receive the moneys, payment must be made
into court. In Quebec, in such a ca.ie. payment may l>c ni.idc
to the testamentary executor of the assured. If the assuriMl
dies intestate a tutor may be appointed who can give an
effectual di.icharge on behalf of the infant. In Manitoba, if
there is no trustee, the money can be paid to the executor.
If there i.« no executor, payment c.-.r, l.r mndc to 'hr guardian
of the infant. In Alberta in thr ■ <■. »hare.'^
of infants may be paid to a • inted as
trustee by the court. In certain .^ 'f the in-
fant miiv be appointed guardian and receive the money. In
British Columbia and the maritime provinces the money.-*
can be paid to the assured'* executors, or to a guardian
or trustee appointed by the court.
Changing Beneficiary
The law in the different provinces dealing with the
method of changing beneficiaries is not the same. In On-
tario, Saskatchewan and Alberta it has been held that if it
appears from the words used by the assured in the declara-
tion that he desires to change the beneficiary, effect must
be given to it accordingly. Words of a general character
are sufficient as long as the intent of the assured is reason-
ably plain. The Ontario courts have gone so far as to hold
that a document signed in the form of a will by the assured,
though not executed in accordance with the Wills Act, and,
consequently, invalid as a testamentary document, is effect-
ual as a declaration to vary the benefits of an insurance
contract. In Quebec the change must be effected by a dec-
laration in writing endorsed upon or referring and attached
"to the policy. In the other provinces the declaration to be
effective, miist refer to the policy by number or otherwise.
It is worthy of remark that in British Columbia there
is no legislation" enabling an assured to revoke a benefit con-
ferred on an ordinary beneficiary without the latter's con-
sent. It does seem rather anomalous that while the assured
may deprive his wife of the benefit of a policy by giving it
to his child, he cannot take it from a stranger unless the
right to change the beneficiary is reserved in the policy.
Law Should be More Uniform
I think I have cited enough instances to show that in
many respects life insurance legislation in respect to bene-
ficiaries differs widely in the various provinces of the Do-
minion. There are many more. To my mind there is no
good reason why such differences should exist. The common
law of England prevails in all of the provinces, with the ex-
ception of Quebec and even in that province most of the life
insurance legislation is similar to that in existence in the rest
of the Dominion. Generally speaking, economic and social
conditions ai-e the same in Nova Scotia as they are in British
Columbia. Furthermore, most of the life companies have
agencies in all of the provinces and have policyholders from
the Atlantic to the Pacific. Why, then, should there not be
uniform legislation throughout the whole of the Dominion '.'
Everyone must admit that it would be highly desirable.
In my humble opinion, it should not be difficult to attain
this object. The same broad underlying principles are found
in all of the provincial insurance acts. It is true they differ
widely in some respects, but not to such an extent that it
would be impossible for all of the provinces to get on com-
mon ground. The differences are mostly in details, but it
is just these details that cause so much confusion, not only
to the companies, but to the insuring public as well. A
strong effort is being made to have a model fire insurance
policy adopted by statute in the various provinces. An
equally strong effort should be made to co-ordinate life in-
surance legislation.
Laws Should be Codified
For one thing, life insurance has become such a great
factor in the business world of to-day that the laws relating
to the subject should be codified. This course has been per-
sucd to a considerable extent in Quebec as well as in
Ontario and Saskatchewan. In Alberta and the maritime
provinces the law has only been partly codified. On the
other hand, the legislation in Manitoba and British Columbia
is quite meagre.
.Another thing, too. It would seem advisable that all in-
surance legislation should be gathered together in one act.
Ontario and Saskatchewan are the only provinces which have
adopted this system. To find the insurance laws of Quebec
you have to search through the Civil Code as well as various
parts of the Consolidated Statutes. Each of the other pro-
vinces has at Ic.Tst two or three separate acts dealing with
insurance. How simple and handy it would be to have the
whole provincial law relating to insurance under one cover.
The law should be readily available to every one.
It is to be regi-etted that more care is not taken in the
drafting of legislation. In many cases bills are submitted in
October 8, 1920
THE MONETARY TIMES
21
YOUR REAL ESTATE
Whenever you feel the need of advice or co-operalioi
about any real estate matter remember that our Kcal E^
late Department is at your service.
We maintain a thoroughly equipped Real Estait? D
partment. in charge of a qualified officer who i
long and successful experience in handling re,;
matters of all kinds.
WcwiUti
; the nppftrtunUtj of lih
Union Trust Company, Limited
HENRY F. GOODERHAM. Pr«id<.nt
TORONTO - - Cor. Richmond and Victoria Sts
WINNIPEG. MAN. LONDON. ENGLAND
4% on Saving — Withdrau:ahle by Cheque
M
Be sure your WILL is made, naming a Strong
TRUST COMPANY as your
EXECUTOR
Ask for Booklet: "The Corporate Executor."
CAPITAL, ISSUED AND SUliSCRIBKD
PAID-CP CAPITAL AND RESERVE
?1, 171, 700.00
1,172,000.00
The Imperial Canadian Trust Co.
Execntor, Administrator, Assignee, Trustee, Etc.
HEAD OFIICi:: WINNIPEG, CAN.
BRANCHES :
Have Your Lawyer
Draw Your Will
Because of some slight defect in the
Will many an estate has been distri-
buted in a way the will-maker never
intended.
To ensure the distribution you want
for your property you should have
your lawyer draw your Will.
A Trust Compart]) should be \)nur execu-
tor. Write for our bool(lels.
National Trust Company
L'mitcd
Capital, $2,000,000 Reserve, $2,000,000
18-22 KING STREET EAST - - TORONTO
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
A Business in Itself
Managing an estate is no task (or a layman.
Problems such as investigations of securities, in-
vestments of trust funds, sale of property, care
of real estate and accurate accounting require
specialized ability.
Nineteen years" experience fin estates work
qualify The Canada Trust Company as • 1 he
Executor for your Estete."
The Cvnada Ji^ust Company
London. Toronto. Windsor, Chatham, St. Thomas. Onlari
Winnipeg. Man., Regina, Sask.. Edmonton. Alta.
THE BANKERS
TRVST GOMB\NY
Head Offices: MONTREAL
Authorized Capital $1,000,000
I'rciiJenI ■
SIR H. MONTAGU ALLAN C.V.O.
Vicc-Preiidenii -
A. J. DAWES D. C. MACAROW
JAMES ELMSLY General Manager
C. D CORNELL - - Secretary,
Directors:
Sir H. Montagu Allan. J. M.K.lb
T. Al>e.rn IC.V.O. ). D^G. K
C. L. Caini
A. J. Dowei
A. B. Evant
David N. C. HoKg
Sir F. Orr U«
Tlio.. Long
D. C. Macro-
W, A. Mcldru
T. E. Mcrrf II
Lt..Col. J. R. Moodir
Faiquhar Robctt.on
Hon.LorncC.WebUcr
F. Howard Wilwn
Edwin H. WiUon
John Wilion
Offices now open in Montreal, Winnipeg.
Calgary, St. John, N.B., Halifax, Regina,
Vancouver, Victoria and Toronto.
Premises in Merchants Bank Building in each city
THE MONETARY TIMES
Volume 65.
the dying hours of a session and are hurried through before
they have been given proper consideration. After they are
proclaimed a part of the law of the land, it is found that
they are inetTective or unjust. They are subsequently amend-
ed or repealed. The result is that our statutes are cluttered
with useless legislation.
Model Bill Suggented
In condu.sion, I would suggest that a model bill be
drawn up covering life insurance law and including that very
imjiortant phase of the .'subject, the rights and status of
beneficiaries. I do not contend that the provisions in the
Ontario Insurance Act are perfect. They can be improvr
on in some respects. The meaning of some of the sections
is not altogether clear. The language can often be simpli-
fied. On the other hand, most of the Quebec law is admir-
ably clear and concise. It has been very largely codified in
that province and the work has been carefully and intelli-
gently done.
There is this to be said in favor of the statutory life
insurance law of Ontario and Quebec, that it can readily be
used as a frame work for a model act, for the reason that
most of the other provinces have incorporated into their
acts the main features of the law of the two older provinces.
Where the legislation is scant, such as in Manitoba ana
British Columbia, the enactment of such a bill should be
warmly welcomed.
The busine.ss of life insurance in Canada has assumed
such vast proportions and the insuring public is so vitally
concerned, that some concerted action should be taken along
the lines above indicated. I understand that the revision
of some of the provincial insurance acts are now under con-
templation. I accordingly think that the present time is
most opportune to bring about a co-ordination of the life
insurance laws of Canada.
I desire to congratulate the superintendents on their
confei-ence and to express the hope that by reason of their
joint deliberations a greater uniformity in all laws respecting
insurance will result.
August Bank Statement Reflects Credit Restriction
Call Loan.s in Canada and Abroad Reduced
intrs Deposits— .Municipal Loans Stand at High
Dominion (Jovernnient Kapidl> Isinji up its Credit
August. l!)I!t.
Ui|i.!sii> on demand S 58I,:J00,855
Diposils afdr notice 1,196,632.9.31
Current Inans in Canada .... 1.011.785,424
Current loans elsewhere 146,964,315
Loans to niuniripniities 57,536,867
Call loans in Canada 95,899,8.36
Call loans elsewhere 174,176,578
Circulation 223,454,556
Increase in Current Loans Parallel to that in Sav-
Figure — Provincial Borrowings Decrease —
Holdings of Gold and Dominion Notes Lower
Year's
Month's
July, 1920.
August, 1920.
inc. or dec.
inc. or dec.
8639.415,025
S 640,.361.707
+ 9.6
+ .15
1.253,170,443
1.261,647.732
- 5.4
+ .7
1.377.276.853
1,385,470.163
H- 36.9
+ .6
190.914.052
200,945,241
+ 37.0
+ 5.0
78,792,822
79.912,041
-f 38.6
+ 1.3
115,360.894
113.598.923
-f 18.1
— 1.7
203.045.209
19.3.888.245
- 10.9
— 4.9
240.833.686
237.697.647
+ 6.3
— 1.3
Above are given the principal changes in the August
bank statement, reflecting the business and financial position
of the Dominion during that month. Restriction of credits
is clearly seen, while increases in deposits were not very
significant. Savings deposits increased about .7 per cent,
for the month, as compared with .8 per cent, previously. The
following table shows the trend of the deposit accounts dur-
ing the past thirteen months: —
Deposits payable
Deposits payable
on demand.
after notice.
1919— August
*584 ,300,856
?1, 196.632,931
September
650,743,015
1,227,437,715
October
705,280,241
1,262,746,984
November
728,657,589
1.137.858,277
. . . 703,329,292
1,1.18,080,691
1920 — Januarv
. 621.408,024
1.163.297,037
February
620,n<;9,555
1,187,027,.307
March
fi.">7.4 12,028
1,197.719,570
.'Vpril
t'":!,''l'^.-i'o
1 ,209.573.990
May , .
.:;-, ■,■:.::•■_:■.)
1,229,073,515
June
'■:■:'.<'.: :. •-:;
1,243,700,977
July . .
039.415.025
1.2.53.170,443
August
640.361.707
1,261,647,732
The course of deposits during the past alx years ia
-liown in the following fnblf
Total.
J'>.602,800
■•^7 1.2:.0.09 1,963
;.S21 1,392.587,080
^r,:. 1 .".■■.'i r,is.:i82
.439
August.
On demand.
1915
?1'^4.n?2,1-i
1916
1917
1918
1919
5p4,300,?»6f.
1920 .
640,361.707
Current Loans Increased
Current loans in Canada increased b.v about .6 per cent.,
or slightly less than the advance in savings deposits. The
increase for the year is large, however, being nearly 37 per
cent., as compared with about 5',i per cent., in notice de-
posits. It is a notable fact that current loans are in excess
of savings deposits by about $124,000,000, while a year ago
the position was vice versa. A reduction of about $2,000,-
000, or nearly 2 per cent., is shown in call loans in Canada.
The following table shows the trend of the Canadian loan
accounts since .August, 1919: —
Current in Call in
Loans. Canada. Canada.
1919— .August "1,011,785,424 $95,899,836
September 1,058,572,202 96.912,703
October 1,104,940,160 100,.549,390
November 1,189,408,423 121,754,469
December 1.207,109,046 12.^.888.760
1920 — January ... . 1,226.962,963 132,015,334
February 1.257,015,902 127,251,919
March 1,322,267,030 128,233,310
April 1 ,347,238,230 125,644,859
May 1,349,079,981 119,114,493
June 1,36.5,151,083 115.272,587
July 1,377,276,853 115,360,894
August 1,385,470,153 113,598,923
Call Loans .\broad
A further reduction of call loans, particularly in New
York, indicates the restriction which banks are placing upon
funds for stock market purposes, and the usage of the money
for more urgent purposes in the country. These accounts
will probably show further decreases in the September and
subsequent statements, after the commencement of the an-
October 8, 1920
THE MONETARY TIMES
INVEST YOUR SAVINGS
j in a ^y,% DEBENTURE of
^ The Great West Permanent
5 i /) Loan Company
SECURITY
INTEREST ^**'^""P Capital $2,412,578.81
Reserves 964,45939
..r.,^.n.. I Assets 7,086,695.54
RFTURN I
I HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Retina, Calgary,
Edtnooton, ^'ancouver, X'ictoria ; Edinburgh,
Scotland.
Dollar by Dollar
is the way some people ».iv.:. and iiiunv succeed in building
up substantial accounts. It is well worth the effort to save,
even in a small way. as it is a well-known fact tha: saving
money increases one's productiveness.
Your savings will be safe with this old-established institu-
tion, and you will receive interest thereon at
per cent, per an
THREE AND ONE-HALF
;. paid twice each year.
Canada Permanent Mortgage Corporation
TORONTO STREET
Established 1S55
TORONTO
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
.Masonic Temple Building, London Canada
Interest at 4 per cent, payable half-yearly on Debeniures
T. H. PURDO.V, K.C., President NATHANIEL .MILLS. .Manager
London and Canadian Loan and Agency Co., Limited
Established 1873 .■.! VO>«;l; .ST., TOKO.NTO
Paid-up Capital. $1,250,000 Rest. SMO.OOO Total Assets, $5,085,872
llebentnreH issued, one hundred dollars and upwards, one to five years-
Best current rates. Interest payable half-yearly. These Debentures are an
Authorized Trustee Investment. Mortgase Loans made in Ontario. Mani-
toba and Saskatchewan.
WILLIAM WEDD, Secretary V. H. WADSWORTH. Manager
^""^ Ontario Loan
& Debenture Co.
LONDON Incorporated 1870
CAPITAL AND Unda'IDED Profits
Canada
$3,900,000
5-;i
SHORT TERM (3 TO 5 YEARS)
DEBENTURES
YIELD INVESTORS
511
JOHN .McCLARV, Prcshdenl
A. M. S.MAKT, Manager
/^VER 200 Corporations,
^^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Office, No. 13 Toronto Street
Capital Account. .•!i;«»..'5.-.U.OO Rc-erve Fund. SBIO.IMM) 0(1
Total Assets. S.'t.-MO.rM.-iC
President. WELLINCTON KRA.VCIS. Esq.. K.C.
Vice-President. HERBERT I.ANGLOIS. Esq.
Debentures issued to pay!;".,, a Lcsal Investment for Trust Funds.
Deposits received at 4'.. mterest. withdrawable by cheque.
Loans made on improved Real Estate on favorabletcrrns.
WALTER GILLESPIE. Manager
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
Particulars on application.
The Canada Standard Loan Company
520 Mclntyrt Block, Winnipeg
ACCOUNT BOOKS
I^OOSE I.KAF LEDGKKS
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Streets
TORONTO
IRON MINE
FOR SALE
COUNTY OF RENFREW
Near Perth
For full p.arliculars, report of assay, etc.. apply
THE TORONTO GENERAL TRUSTS
CORPORATION
COR. BAY and MELINDA STS. TORONTO
THE MONETARY TIMES
Volume 65.
Chartered Banks' Statement for August, 1920
I.IAHILH Its
NAMB OP HANK
Deposits bi
Depositsbyj the public,
the public. payable
payable lafternotic*
on demand
Canada | fixed day
n Canada
Bank of Montreal.. 28.075,000
Bank of Nova Scotia. 15.000.000
Bank of Toronto 10.000.000
The MolsonB Bank | 5.000.000
Banque N'ittionalc i 5.00().000
Merchants Dank of Canada I 15.000.000
Banque I'rovincialc du Canada.. . S.OOO.IJOO
Union Bank of Canada 15.000,000
Canadian Hank of Commerce ... 25.000.000
Royal Bank of Canada M.OOO.OOO
Dominion Bank 10.000.000
Bank of Hamilton i .5.000.000
Standard Hank of Canada 5.000.000
Banque d'HochclaRa ' 10.000.000
Imperial Hank of Canada 10.000.000
Home Bank of Canada S.OOO.OOO
SterlinR Bank of Canada 3.000,000
Weyburn Security Bank 1.000.000
Deposit
elsewhe
than '■
in Cana
I 197.075.000 127.901.400
LIABILITIES- Continued
mother DcpositH
inks in made by
anail.i. and balan-
vurcil. ceil due to
cludmR otherbanks;
ill> rc' in Canada {
«
2.0«(3,(I04
1.(107.337
»2»li4l
46A.I23
ln..'Mi7
i.56L'!6S
1,
I r>
I.340.IIB I
I.5;l3
l(if.,f.7.1
Due to
' banks and
banking |
where than!
I in Canada
or the U.K.
Liabilities
i not
included
Balances
due to the
Imperial
Govern-
ment
Kold and
subsidiary
coin held
Notes held
durinfi the
the month
39.7(10
?fll.70l
3<H.Xi9 I
.W..Ti«
* • *
3.531.561 I 3,337,838 lO.OIK.^O!!
.3.240,104 1 RMl.tHi
1.2113.920 i (i,5!l.!l31
351.660 •-•12.7.14
23.681 i .'49..50O
633.837 i 2.I«2,9JI
1M,.^I1 I
3.131. 7,'8
J37.n.<l 1I.||>S.4<I6
*7».0;s 11.324.041
• I *
1.415,400 ,
fi.'.'.55
ISI..5,W
.Ms.ass
3.518
IL'.'UK
I64..<ri«
104,176 ... .
4SJ.724
.5.59.;«l . . . .
t
491. .529.336
209.372,186
8,i,.589.339
79.879,906
K6.26:<.726
179.713.510
35.343.301
148.8:19.924
423.79«.7tV2
.547.S27.63li
1 2;'.062.6'J5
77,I6«.3ii.S
<3..5»K.I.5-
I0.468 .599
1 I0,6«9.6I0
2:1.941.013
24.026,993
3.122.963
at any tir!
during tl
month
«
S
»
?
S.34.6IO
24.923.993
42.820,407
42,014.''
1.148.961
1I,964,!>S4
12,228,464
22.482,;
328.717
975,275
'1 ]M.^l'\
.'<.:i7s.'
.105.449
58:l.30l
8'.'5.095
342.900
999,6112
4.005.652
1.66.5.874
1,041 670
iii.s'.i.'.7.;a
lii,.riJ.'
790.,597
20.837.000
31.386 000
S0..54S.-
774.084
I4.Z59,IK2
22.2i2.:i03
4 1. .50.5,:
G44.718
2,108.000
•J .^TS.lKKI
10,.501.'
104.676
905,291
h,S39.'
441.274
1.7.52,914
^ ■ ■ 1 :(.^
ti.(.91.
243.01 «l
468.849
■1 1 SI
7 173.'
103.752
1.7 14. 873
.s rj". *77
14.l90.i'
403.486
176,440
i.i":t.ioo
2.'2S8.'t
.575.4:7
130,361
771,693
24 .939
14,504
115,042
318 >
86.332.046
172.509.."
nual crop movement. Call loans elsewhere than in Cunadn,
since .lanunr.v. 1017, arc shown in the followinK table: —
5 5 $ S
1917, 1918. 1919. 1920.
l.'i.5.747.47r) i:U.r,87.0(36 140.819.fi5f. 170.20r.,80,'-i
1(50.2.39.494 156.98.1,r,81 lS4,4C.it,882
167,296.701 160.116.44:1 20.-,202,i:!a
'"■•■'- •■' ''" ■ ■ '•• 20C.,2_",i,4."il
. 213.964,182
219,JM,4:fl
1 20r.,04.">.209
- 193.88S.245
Jnniiary
. 155.747.47
Fcbruary
. 162.344.55
March
. 161,616,7.T
April
. l.V '-■■■'•
May .
. 10
.June
. 1.-:'
July
, 1.'-!
.-VuKUSt
. IT'-.
Sci>tpmber
. h'
Ortolicr
, r.
November
. l:'.:v
Peccmbcr
, l.•^4.4^;^.4^>
::i^.i61
It is interesting to note tn<'
accounts durinir recent yean: —
nir-'c of the principal loan
Current loans Current loans Call loans Call loar
August. in Canada, elsewhere. in Canada, elsewhei
1915 ..? 7.58,342,735 S 44,968,445 $ 71,855,.565 $120,607,fr
1916 .. 7.S9,!l.'?S,513 66,5.56,371 86.351,216 171,380.51
1917 , 8:i6,.|2<.),fi70 87.082.849 71,204,351 178,610.(>
191S ., 920,775.269 101,551„546 73,509,571 160,544,i3
1919 ..1.011.785.424 146,964,315 95,899,836 174,176,iS
1920 ,. 1.385.470.1.53 200,945.241 113..598.923 193,888,15
.Service in I'ublic Financi-
Loans to provincial governments decreased by moic tli-
$2,ri00,000. while advances to municipalities increased y
sliphtly over $1,000,000. The increase in the latter accout,
however, was less pronounced than previously. At the <d
of .^ujrust, municipal loans stood at ?79,912,041, as compad
with $57,536,227 in the same month a year ago an incre e
of more than 38 '2 per cent., notwithstanding the substankl
amount of permanent financinjr which has been done. 1
Holdines of Dominion government, provincial, Canadn
municipal and other securities were reduced. The bala;e
October 8, 1920
THE MONETARY TIMES
Chartered Banks' Statement for August, 1920
ASSETS
NAME OF BANK
Dominion Notes
Cheques
other
Dep'sits
I made
with
andbal
due
from
oth«r
' banks
Due
from
[bks. and
bankini
Ji3=5l
Bank of Montreal
Bank of Nova Scotia
Bank of Toronto
The Molsons Bank.
Banque Nat-onale
Alerchants Bank of Canada..
Banque Provinciale du Canada
Union Bank of Canada
Canadian Bank of Commerce
Koyal Bank of Canada
Dominion Bank
Bank of Hamilton
Standard Bank of Canada
Banque d'Hochelaga
Imperial Bank of Canada
Home Bank of Canada
Sterling Bank of Canada
Weyburn Security Bank
• i • ' • i
.706.2381 1.171, 174. ai.877.4I3
.782.r.r21 3.227.370 12.(109,4!«
fJi.iVi 97J,312
586.8721 586.872
347.543 1 .397 34S.945
.tt54,.i26 17,022 4.071..419
148,614 148.614
.0;i7,97l 26,241 1. 064.213
.542,638 5,721,253 14,263.892
.976.554 8.290,706 14,267.26*J
,124.756 607 2.125 364
926,015 926,015
.768.187: ; I.76S.187
479.710 I 479,710
,694,753 I 1. 694.7,53,
201.395 I 201.395
131.487 131.487;
15.3581 I 15,358!
. . . 61 ,499,656 18,435,770 79,954,831 168,398, 12S
11,577
5.S4I
39.806,474 '
12,529,218
8,754,728
5,S;!3,122
3,S25,6.S1
4.426.478
360.198
ll.r25.485
24,922.441
21.168,873
8.829,783
3,6S2,liS5
6,144,686
2.170,488
12.098.929
1 .600.370
1,030,981
114.563
.C!<)9'
• t I
.038.1661 19,200.000
12.500.00C
3,500.000
2.000,000
3.800.000
5.500,000
254.8D4
235.000
100,000
4.^0.000
114,559
355,000'
908.245
860.000
31'5 000
225.000
175.00(1
200.000,
375994'
108.000,
65.C00
22.196
1 .2.%.000
I5.50G.OI«;
22 OUO-OCKl
4.500,000
1,510.000
2.600.000
2.300.000
7.002.533
3,826,826 20.555.201
3,i64,10S 9,226.326
826.420 4,981. U36
;78.273 4,049.027 1 17,613
.1>60 2.1!6,610 I 3.275
1.423.391 7.!I3,1S9 9.SII
.i«7.739 2.I29.K20 2,993,825
905.445' 3.913 978 1-23,810
3,285,650 13.455 242 1,000
2:t.714. 126 26.460.316 \ 8,544
1,2.57,068 4,137.899 1 3.132
67,^.032 3.132,403 | 77S.239
601,280 2,816.0<'7
1.638,686 2,685,658 ' 307.401
1.455,3.57 4.298,632
324,114! 782,460 i 117,276
326.454 669,470, I 8,119
25.7601 8,876 .... | 248,977
26,427 168.424,553 16,277,393 103.162,533 45,968,689 I12.S72.I50
ASSETS— Continued
Domin'n
Govern-
ment
and
Pro-
vincial
Govern-
ment
securi-
ties
bonds
(not ex- j
ceeding I
30days)l
Call and
short
loans
else-
(not ex-
ceeding
30 days)
Other
current
loans and disco'nts
discounts , else-
in where
Canada than
: Canada
Pro-
vincial
Govern-
ments
Loans to
cities,
towns,
cipalitiesj
and
school I
districts!
Over-
due
debts
Real
Mort-
estate
gages
other
on real
than
estate
bank
sold
pre-
by the ^
mises
bank
credit
as per
contra
the fore
going
heads
4 5.:'
244
5 5.494.722
6 8.211.7,^4
3' 2.684i.8l"
b 4,544.137
» 13! 10 721
0 i?.(r.i,'i,:t74
1 4.M6.Mi7
■< 2,3«0,.*i.S^
S 4.496,372
4 2.323,608
i 6,146.6.33
I 1,362.091
71 9.196,954
• I 177,140
t I
17.206.424
22,243,86.1
7.692.492!
o.949,.3.12
1" S7J ' il
7.ISS.fi4n
4.769.149
1I.,7(,4.7.S9
1.550.3.57'
3.170,815
266,089!
t
3.952.487
2.769.699;
716.368
723,.552
944.394
3.774,105
1.935,761
2,.iO".742
760.445
139.272
410.562
1.373.662
387,812
s I
1. 886.8001
5.437,bl0|
2,638,469
7..547.237|
4.957.453
8.602,981 1
10,131,9061
5.578,477:
19,468.641;
14.492,412
10.451. 177
7.3?8,043
3.423,851
4.916,648
4,152.674
Il7.0l89$7!20l.e47,0lli44,778,724 113598923 193,888,245 1,385,470,153 200945241
91,078.169
20 I86.7T2
1.000.000
3.155.765
23.025.480!
46,921.668
2,539.470
217.257,486 14
95.248.899 14.i
55,133.158 ..
50.329.351 ..
37,051.039 ..
122.775.215! I.
11.910.061 ..
87.412.8.56 5.
2I2.8.W.0K2|42.
I83.797.798ll21
73.:i04,274i 1
,50.732,813
56.909.797
42.665.802
62.281,335
14.285.988
9,279.133
2.2*5.066
t
434.663
004,119
627,031
7.50.782
,766.167
ass.724
2.0SO,I40'23.293,OI3
; 4.537,625
! 2,010. ^24
1,155.941
; l.3;«l,467
I 4.359.712
I l.06.1.2()2
4.864.534: 7.407,194
4,2I5,883|II.487,I341
II7.,^6,> B.K.3:t,02ol
729,751 ;
909.604 3.022.8,5*
2.173.026
IS7.I)00
5.033.941
4,701.585
247.743
367,814
149.728
•
607,699
367.%4
477,19:1
120.610
27.041
387.736
87.792
19S.7S0
868.295
361,077
176.897
1.58.222
'229.730
476.211
.566.5;>fi
1.17.662:
7.681
80.328
*
34.6OO!
133,293
i I
42,842
187.5-28
71.927
3.52.036
618.SS;l
7..S0O'
245.;U1
484,0-25
993.866
.5.4.53
4.52,183
4,915
436.392
519,179
6;l.345
702,1-25
16,758
140.1-22
190 882
52,934
19.057
200,077
70.7.50
22fl.l:l3i
4-26.096:
IOO.IO4I
12,618 18,354
79.912.041 5.337.504i4,43S.256.2,727.S4S S8.S54.076 42.754.911
t
5.,5OO.0Of
5..532.S39
3.616.0%
2,-86,376
1,618.763
2,909,511
3-22.6O8
971.917
6.799.341
9,054.546
5.808.780]
2,802.7321
1.525.I7II
2.714.497
4.971,662:
983,340]
433.344
202.153
10.016.4981
550,6121
6.19,931 1
212,T34|
2.i6-i.92i;
3 131.7:18
11.169.496
II 324.041
2.194,111
486.-23I
.589. ,598
57,740
192.880
t •
85.4'.'4| 544.147.716
190,1431 239,720.612
1 99.211.481
,589.1-22,317
136,985,814
S7.iill,39l
3.032.682 3,071.179.827
Of the deposit in Central Gold Reserves $11,502,533 is in gold coin; the balance jaio Dominion Notes.
J. C. SAUNDERS. DH>uty aininUr 0/ Pirutnee.
at the credit of the Dominion government decreased by about
?17,000,000, while the amount due to provincial governments
was also lower.
Cash Holdings Lower
Holdings of gold, subsidiary coin and Dominion notes,
which have been steadily declining during the past few
months, were still further reduced, the following figures
showing the decrease for the month under review: —
Gold and sub-coin in Canada — $1,081,231
Gold and sub-coin elsewhere — 24,451
Total — $1,105,682
Dominion notes in Canada — $2,852,552
Dominion notes elsewhere — .30,844
Total — $2.883,.396
Balances due from banks and banking correspondents
outside of Canada increased, while balances due to banks
abroad also advanced.
Capitalization Changes
Increases in reserve and subscribed and paid-up capital
during the month were as follows: —
Capital Capital
Banks. subscribed. paid up.
Merchants $216,800 $145,4.50
Royal 330,300 254,920
Hamilton 51,500 54,470
Provinciale 16,546
Union 90
Sterling 1
Total change
$598,600
$471,477
Reserve.
$127,460
27.235
$154,695
THE MONETARY TIMES
Volume 65.
The Spanish River Pulp & Paper Mills,
LIMITED
At the Annual Meeting of the Shareholders of The
Spanish River Pulp & Paper Mills, Limited, held at Toronto
on September 30th, 1920, the following Directors were re-
elected:—
Geo. H. Mead. P. B. Wilson. Thomas Gib.son. C. E. Read.
T. Watson Sime. G. R. Gray. T. H. Watson.
At a subsequent meeting "f the Board the following
officers were re-elected: —
President <lco. H. Mead.
Vice-President P. B. Wilson.
Vice-President Thomas Gibson.
Secretary J. G. Gibson.
Treasurer A. H. Chitty.
Manager of Operations C. H. L. Jones.
Woods Manager G. R. Gray.
President Mend submitted the following report and bal-
ance sheet, and the same was unanimously adopted: —
Toronto, Ontario, August 27th, 1920.
To the Shareholders of The Spanish River Pulp & Paper
Mills, Limited: —
Your Directors submit the following report of the opera-
tions of The Spanish River Pulp & Paper Mills, Limited, in-
cluding the Lake .Superior Paper Company, Limited, for the
year ending June :!Oth, 1920:--
SUMMARY OF INCOME ACCOUNT
Net Earnings for the Year ?3,915,051
Less Reser\-ed for Depreciation 594,620
$3,320,431
Less Interest on Funded Debts and Other Loans 768,362
Net Surplus for the Year
Less Appropriation for Contingencies and Govern-
ment Taxes
Balance of the Consolidated Profit and Lo.^s
count as at 30th June, 1919
Appropriated as FoIIowh:
Accumulated Preferred Oividi-nds - to
30th June, 1920, met by issue of
Preferred Stock $2,871,493
Bond Sinking Fund Reserve 638,000
lycaving to be Carried For^var.
$2,552,069
350,000
$2,202,069
2,368,222
$4,570,291
$1,060.798
The reduced balance carried forward this year as com-
pared with last year is due principally to the distribution of
accumulated dividends to preferred stockholders, as indicated
above.
After due notice and in accordance with the authority
taken when they were issued in 1914, the Company called for
payment on 1st February, 1920, the talons and promissory
notes issued in respect of the deferred two years' bond and
note interest, and also called for payment on the 1st March,
1920, the "A" Debentures i.ssued at the same time. The
above indebtedness has now been paid out of the funds raised
by the snlo of $.'i,.')00.000 (out of a total authorized issue of
$5,000,000) fen-year serial mortgage lien <''''■ notes, which
were issued in September, 1919. Tlic Company was fortimate
in raising these funds in the United States at very reason-
able rates, and the expenses in connection with the issue
have been largely met by the favorable exchange rates ruling
on American Funds.
Under the agreement entered into in 1914, covering the
Bond and Note Interest, it was required that the whole of the
deferred interest should be p.iid before n dividend could be
decl.nrcd on the Company's Capital Stock. The payment of
such oblig.ntions has rendered it possible for tin- i •nu^uy to
satisfy thi' dividends on the Preferred .*=• itcd
to :!Otli .Imic l;»-'0, by the issue of $2.ST1 red
Stock, representing the amount of such <\- the
proportion (lOTr) thereof payoble to the Bondlioldera. The
relative stock certificates have now been issued.
The production of all plants of the Company continued
satisfactorily throughout the year, and with normal water
supply and the completion of the two new paper-making units
at Espanola, the Net Earnings for the year show a fair
increase over the previous year. It is expected that the
total output will be considerably greater during the ensuing
year, as the Espanola extensions were only recently com-
pleted and all plants have now been advanced to a high state ;
of efficiency.
At the last Annual Meeting, Mr. T. H. Watson, of Tor-
onto, was elected by the stockholders a Director of the Com-
pany in place of Mr. J. G. Gibson, resigned. Mr. Watson
is well versed in the affairs of the Company, and the Board
feels that his counsel will be of great assistance.
Your Directors, at the conclusion of a successful year,
desire to record their great appreciation of the good service
and efficient work rendered by the Officers, Staff and Em-
ployees of all Departments, without which the above results
could not have been obtained.
By order of the Board.
GEO. S. MEAD, President.
The Spanish River Pulp & Paper Mills, Limited
Lake Superior Paper Company, Limited
CONSOLIDATED BALANCE SHEET as at 30th June, 1920.
Assets.
PROPERTY account-
As at 1st July, 1919 $24,133,557.96
Net additions for Year 2,402,899.17
CURRENT ASSETS—
Pulpwood $ 3,465,647.70
Woods Equipment and Stores,
and Mill Stores 1,973,267.98
Mill Products 1,029,240.74
Accounts Receivable, less Doubt-
ful Debts 2,953,031.70
Victory Bonds 184,150.00
Companies' Bonds purchased
and held 577,705.00
Cash in Banks and on hand . . . 530,881.63
$26,536,457.13
10,713,924.75
Insurance Premiums and Payments in Advance 98,008.38
Total Assets $37,348,390.26
Liabilities.
CAPITAL STOCK—
.Authorized:
Common $10,000,000.00
Preferred 7^0 Cumulative Par-
ticipating 10,000,000.00
$20,000,000.00
Issued:
Common $ 8,000,000.00
Preferred 7'"r Cumulative Par-
ticipating 8,571,493.41
$16,571,493.41
FIRST MORTGAGE e'-'r Bonds—
.\uthorized and Issued $ 9,000.000.00
Less: Redeemed to Date 488,833.26
8,511,166.74
6'~'r Serial Mortgage Lien Notes — (Authorized
$5,000,000.00 1 3,500,000.0(
CURRENT LIABILITIES—
Loan from Banks $ 1,000,000.00
•Vccounts and Bills Payable . . . 2,835,477.90
.\ccrued Interest on Bonds and
Serial Notes 267,378.64
4,102,856.5^
Miscellaneous and Contingent Reserves 1,037,261.1(
Depreciation Reserves 1,926,813.5^
Bond Sinking Fund Resene 638,000.0(
October 8, 1920
THE MONETARY TIMES
27
PROFIT AND LOSS ACCOUNT—
Consolidated Credit as at 30th
June, 1919 $ 2,368,222.72
Add Net Profit for the Year . . 2,202,069.52
8 4,570,292.24
Less Preferred
Stock Dividend,
representing ac-
cumulated Divi-
dend on 7% Pre-
ferred Stock from
1st July, 1913, to
date, and share
thereof (10^^),
payable to Bond-
holders $2,871,493.41
Transferred to Bond
Sinking Fund Re-
serve 638,000.00
3,509,493.41
Contingent Liabili- ? 1.060,798.83
ties $ 60,937.00
Total LiabUities TT 837,348,390.26
Dkbenttjres for Sale
We have audited the books and accounts of The Spanish
River Pulp & Paper Mills, Limited, and of its subsidiary, the
Lake Superior Paper Companj', Limited, for the year ending
30th June, 1920, and certify that the above Consolidated
Balance Sheet is properly drawn up and shows a true and
correct view of the state of the combined Companies' affairs
and the results of the operations for the year as shown by
the books, and according to the best of our knowledge and
the explanations given us.
All our requirements as Auditors have been complied
with.
PRICE, WATERHOUSE & CO.,
27th August, 1920. Chartered Accountants.
250
DEBENTURES, TOWN OF KENTVILLE
Sealed tenders addressed to the undersigned and
marked "Tenders for Debentures" will be received up to
noon on October 18, 1920, for the purchase of the following
debentures: —
$25,000.00 to pay Water Works Debentures matur-
ing January- 1, 1921, in denominations of $500.00
each, and dated January 1, 1921:
$2,500.00 to pay School Debentures maturing
January 1, 1921, in denominations of $500.00 each,
and dated January 1, 1921:
$1,300.00 to pay Exhibition Ground Debentures
which matured on November 1, 1919, in denomina-
tions of §100.00 each, and dated November 1, 1920:
$2,300.00 for the purchase of a Chemical Epgine
for the Fire Department, in denominations of
$100.00 each, and dated November 1, 1920.
These debentures redeemable in 25 years.
All of the above debentures will bear interest at six
per cent, per annum, payable half-yearly, and said deben-
tures are to be issued under the Authority of an Act of the
Legislature of the Province of Nova Scotia passed at the
last session.
The highest or any tender not necessarily accepted.
Dated at Kentv'ille, Kings County, N.S., this 27th day of
September, A.D., 1920. 246
J. CARROLL,
Town Clerk.
MOVEMENT OF WHOLESALE PRICES
"Wholesale prices continue to decline," says the Bank
of Commerce Letter for September, "but in Canada, the
Wholesale Prices.
1914 1915 1916 1917 1918 1919 1920
1914 1916 1916 1917 1918 1919 1920 1914 1915 1916 1917 1918 1919 1920
100
CAN
\
ADA
>
^
^
1
1
1
AUST
I
RALI
A
J
^^-
■^
_-/
,,,:;,
i
UNITED
STATES
^^
-^ ^ 1
- 100
600
UNITED KINGDOM
y
200
_.
^
.f
100
1 i
Ifrance
'
^^
1
^
1914 1915 1916 1917 191S 1919 J92«
The base line lor 1001 represents the index number of
nts the index number of wholcpalf pnccs lur mc yc»r iiria m Km^i\ wun^ijr ii«iii,..<j.
bers for the period Januar>- 1914 to June 192D are plotted u perccntMrea of thia baac.
Canada: Department of Labour. Australia; Bureau of Censu. and Statiatica, United SUtoa: Bradstreel. United Kingdo
Economiat. France : Statistique Generate. IUly:Bacchi.
changes recorded are slight. Food prices remain firm, and those
for manufactured necessities, such as clothing, while slightly
lower, are not expected to recede to any great extent. In-
creasing labor, transportation and other costs largely offset the
decrease in the price
of wool, hides and
other raw materials.
At present, indus-
try is more settled
than has been
the case for some
time, and the labor
supply has improv-
ed. These are con-
ditions which con-
duce materially to
efficiency, but as yet
the volume of pro-
duction is not such
as to cause much
change in the pre-
sent scale of prices.
Changes to conform
with the general
movement towards
credit deflation are
desirable, but preci-
pitate declines
would create busi-
ness dislocation."
The accom-
panying graphs in-
d i c a t e wholesale
price movements in
various parts of the
world during the
last seven years.
100
1914 1915 1916 1917 1918 1919 1920 1914 191S 1916 1317 1918 1919 1920
THE MONETARY TIMES Volume 65.
£'B!!Biin«™MiiinMi:nnHiEia!!'irci' s':
THE
NORTH BRITISH AND
MERCANTILE INSURANCE
COMPANY
Established 1809 Entered Canada 1862
Total Assets Exceed $140,000,000
Canadian Investments Exceed $5,000,000
Investments West of the Great Lakes
Exceed $1,000,000
North Western Branch
909-911 Paris Building, WINNIPEG
C. A. Richardson, Branch Manager
I HEAD OFFICE |
i 84 St. Francois Xavier Street, MONTREAL, P.Q. |
I I
I Randall Davidson, Manager I
October 8, 1920 T H E M 0 N E T A R Y T I M E S 29
jHMIIllMlilliillliMiiiro™^ ri: :; ': : ~r ■ ,,,■:- ;i ■ "''i.n'inBSiiiiiniBiiaHiiiiiiniiU:.
THE
OCCIDENTAL FIRE INSURANCE
COMPANY
Under the control of the North British and Mercantile Insurance Company
HEAD OFFICE
909-911 Paris Building, WINNIPEG
President, Randall Davidson Vice-President & Secretary, C. A. Richardson
DIRECTORS
S. E. Richards W. A. T. Sweatman Robt. Campbell
Dec. 31st, 1914 Dec. 31st, 1919
Capital Subscribed - - $500,000.00 $500,000.00
Paid Up - - $174,762.70 $174,762.70
Surplus on Policy-Holders
Account - - ■ $250,856.35 $423,803.07
TOTAL ASSETS - - $359,025.09 $705,199.67
All Investments are in Canadian Securities
FULL DEPOSIT WITH DOMINION GOVERNMENT
'!!iliiiiiii)iniiliiitiiiiliiiii;i«a:i! '^fJ^iiTS'''.:'^*."!.' ' . ::uUP^'!'77jim'TT..5jiic: ■
THE MONETARY TIMES
Volume 65.
SEPTEMftKU IIKK T.OSS UNUSUALLY HEAVY
LarKi' Number of Fires with Heavy Losses — Year's Total
Will Probably Exceed Figure for 1919
SEVERAL fires causing damage of $100,000 and over
brought the fire loss in Canada in September to the ex-
ceptionally high figure of $2,480,485, compared with $1,857,-
800 for August and $1,940,272 for September, 1919. The loss
for the first nine months of 1920 is $18,747,398, and for the
corresponding period in 1919 it was $17,757,093. The Sep-
tember loss, as estimated by The )f.vi,-ijry Tinus, was made
up as follows: —
Fires exceeding $10,000
$1,897,885
Small fires reported . .
82,600
■C* i- i
of unreported
fires
500.000
$2,480,485
The Monetary Times' record of the past four years shows
the following
monthly losses: —
Month.
1917.
1918.
1919.
1920.
January ....
$ 1,918,660 $
2,688,556 $ 3,915,290 $ 2,637,850
February
2.009.953
2,243,762
1.091.834
1,895,575
March
. 2,050,650
1,682,286
2.154.095
1,793,200
April
1,317,714
3.240,187
1.080,070
3,229,500
May
1,163,110
3,570,014
1,785,130
2,001,819
June
1,184.627
3,080,982
3,337,530
1,424,319
July
1.101,734
3,369,684
1,118,377
1,426,850
Augu.st ....
1,230,183
3,110,445
1,374.495
1,857,800
September . .
1,301,700
917.286
1.940.272
2,480,485
October ....
704,605
5.119,145
1.023.288
November . . .
959,049
1.059,580
2.339.870
December . . .
5,144,100
1,733,917
2.047.496
Totals ...$20,086,085 $31,815,844 $23,207,647 $18,747,398
List of Large Fires
The following are the September fires causing damage
of $10,000 or over: —
Belleville, Ont., Sept. 1, residence, $12,000.
Capilano, B.C.. Sept. 4, sawlogs. $50,000.
Gatineau Point, Que., Sept. 5, business section, $30,000.
Guclph, Ont.. Sept. 1. store. $10,000.
New We.stminster. B.C., Sept 2, plant, $70,000.
Ottawa, Ont., Sept .'>. rink and dairy, $150,000.
Vancouver. B.C.. Sept. 2. Tunstall Block. $30,000.
Cloverdale. B.C.. Sept. 4, shingle mill. $40,000.
Limoilou. Que., Sept. 7, church, $20,000.
Montreal, Que.. Sept. 9. plant. $200,000.
Powell River. B.C.. Sept. 9. sawmill, $115,000.
Timmins. Ont.. Sept. 11. planing mill. $10,000.
Toronto. Sept. 10. plant. $15,000.
Winnipeg. Man.. .Sept. 11. Forrester Block. $13,000.
Allanburg. Ont.. Sept. 17. barn. $19,000.
Barriefield. Ont.. Sept. 18. military huts. $100,000.
Brockville, Ont.. Sept. 21, business section, $200,000.
Che.xtcr. N.S., Sept. IH. plant. $.'!r..000.
Halifax, N.S.. Sept. 14. store. $25,000.
Hillhurst. Que., Sept. 17. barns. $30,000.
Liverpool. N.S.. Sept. 17, plant, $20,000.
Winnipeg. Man., Sept. 17, building, $12,000.
Brockville. Ont.. Sept. 21, building. $45,000.
Charlo Station. N.B.. Sept. 24. lumber mill. $500,000.
Church Point, N.S.. Sept. 20, building. $20,000.
Doon. Ont., Sept. 22. warehouse, $30,000.
Fallowfleld. Ont.. Sept. 27. barns. $20,000.
Havelock. Ont.. Sept. 23. Thompson Block, $12,000.
London. Ont.. Sept. 19, factory. $20,000.
Winnipeg. Man.. Sept. 25, buildings, $34,885.
Analysis of Cause*
Among the causes reported were: Sparks 3. oil lamp 1.
electric storms T,. defective wiring 1. incendiarism 3, hot
ashes 2. spontaneous combustion 5.
The following structures were destroyed or damaged:
Plants 12. barns 19, huts 8, business sections 6, stores 5,
churches 3. buildings 5, hotel 1. mills 3, residences 7, ware-
houses 2. garages 3, icehouse 1, fire hall 1, elevator 1, rmk 1.
Comparison of Deaths
The record of deaths from fire has been as follows:—
Month. 1913
January 14
February 21
March 22
April 11
May 33
June 18
July 9
August 29
September ... 27
October 15
November .... 24
December .... 13
1914. 1915. 1916
26 3 10
11
23
14
5
1917. 1918. 1919. 1920.
21 28 13 22
18
27
22
12
8
3
9
9
14
19
23
23
6
14
2 6
13 268
14 30
27 6
7
12
11
39
12
94
19
20
15
12
9
19
12
21
23
21
15
87
34
7
10
9
6
7
13
11
3
26
26
9
27
15
28
11
24
23
16
14
19
30
35
8
13
15
15
14
13
Totals
,..236 1-0 142 531 207 241 225 165
Deaths from Fires
Brantford, Ont.. Sept. 17. clothing caught fire 1
Calgary, Alta., Sept. 12, clothing caught fire 1
Mount Forest, Ont., Sept. 17. bedding caught fire 1
Montreal. Que.. Sept. 14, burnt in shed 1
Hamilton. Ont.. Sept. 19, playing with matches 1
Cobalt, Ont., Sept. 21, explosion 1
St Catharines, Ont., Sept. 28. burnt in building 2
Canora. Sask., Sept. 23, in burning house 1
Regina, Sask., Sept. 26, burnt in hay stack 2
St. Stephen, N.B., Sept. 23, playing with matches 1
Osage, Sask., Sept. 13, explosion 1
13
.MONTREAL AND QUEBEC SAVINGS INSTITUTIONS
From the figures given below, it will be seen that the
position of the Montreal City and District Savings Bank
and the Caisse d'Economie de Notre Dame, of Quebec, was
not materially changed in August, 1920. Savings deposits
increased, while the Dominion government reduced its de-
posits with those institutions. Holdings of Dominion, pro-
vincial and public securities were increased and Canadian
municipal securities decreased. Cash in hand and on deposit
with chartered banks was greater in amount. Loans on
securities, as in the case of other banks, were lower. The
principal figures, with comparisons, are as follows: —
Montreal City and District Savings Bank
August, 1920. July, 1920.
Dominion gov. demand deposits . . $ 285,043 $ 335,043
Notice deposits 43,554,974 43,043,074
Total liabilities 44,241,990 43,850,230
Government and other securities .. 12,087,034 11,865,077
Cash in hand and on deposit 7,103,422 6,831,303
Canadian municipal securities .... 15,157,414 15,191,511
Loans on bank stocks 789,693 796,057
Loans on other securities 9,307,661 9,395,848
Total assets . 47,323,665 46,962,161
Caisse d'Economie df, Notre Dame
.\ugust, 1920. July, 1920.
Dominion government demand dep. $ 43.628 $ 68.628
Notice deposits 10.729.619 10.292.696
Total liabilities 11,148,894 11,142,675
Government and other public securities 1,679,093 1,679,093
C.a8h in hand and on deposit 1,302,238 1,287,284
Canadian municipal securities .... 4,078.615 4.104,615
Loans on bank stocks 312.866 310,385
Loans on other securities 3,183,529 3,182,692
Total assoU 13.045.404 13.039,184
October 8, 1920
THE MONETARY TIMES
DIVIDENDS AND NOTICES
THE CONSUMERS' GAS COMPANY
OF TORONTO
Notice of Annual Meeting
The Annual General Meeting of the Shareholders of the
Consumers' Gas Company of Toronto, to receive the report
of the Directors, and for the election of the Directors for the
ensuing year, -will be held in the Company's Boardroom, 17
Toronto Street, Monday, the 25th day of October, 1920, at
12 o'clock, noon,
ARTHUR HEWITT,
General Manager. 249
THE MERCHANTS BANK OF CANADA
QUARTERLY DIVIDEND
A Dividend of Three Per Cent, for the Current Quarter,
being at the rate of Twelve Per Cent, per annum upon the
Paid-up Capital Stock of the Bank, was declared payable on
1st November next to Shareholders of record on the evening
of 15th October, stock not fully paid up on 31st July to par-
ticipate in the dividend on the amounts paid up on that date
and upon later payments from the date thereof.
By Order of the Board.
D. C. MACAROW,
General Manager.
Montreal, 30th September, 1920. 247
PENMANS, LIMITED
DIVIDEND NOTICE
Notice is hereby given that the following dividends
have been declared this day for the quarter ending October
31st, 1920. One and one-half per cent. (1%%) on the Pre-
ferred Stock, payable on the 1st day of November, to share-
holders of record of the 21st day of October, 1920, and Two
per cent. (2%) on the Common Stock, payable on the 15th
day of November, to shareholders of record of the 5th day
of November, 1920.
By Order of the Board.
C. B. ROBINSON,
Secretary-Treasurer.
Montreal, Que., September 20th, 1920. -12
DOMINION TEXTILE COMPANY, LIMITED
NOTICE OF DIVIDEND
A dividend of two and one-half per cent. (2%Tc) on the
Common Stock of the Dominion Textile Company, Limited,
has been declared for the quarter ending 30th September,
1920, payable October 1st, to shareholders of record Septem-
ber 15th, 1920.
By order of the Board.
JAS. H. WEBB,
Secretary-Treasurer.
Montreal. 8th September, 1920. 225
DOMINION TEXTILE COMPANY. LIMITED
NOTICE OF DIVIDEND
A dividend of one and three-quarter per cent (1%%) on
the Preferred Stock of the Dominion Textile Company,
Limited, has been declared for the quarter ending 30th
September, 1920, payable October 15th, to shareholders of
record September 30th.
By order of the Board.
JAS. H. WEBB,
Secretary-Treasurer.
Montreal, 8th September, 1920. 224
THE CI.HTON COMPANY, LIMITED
DIVIDEND No. 1
Notice is hereby given that a dividend of 5 per cent, has
been declared on the common capital stock, payable October
7th, 1920, to shareholders of record at the close of business,
September 30th, 1920.
By Order of the Board.
W. K. FRASER,
248 Secretary.
Condensed Advertisements
" Position? Wanted," ;lc per word ■ all other ciindenscd advertisements
5c. per word. Minimum charge for any condensed advertisement, 65c
per insertion. All condensed advertisements must conform to usual
style. Condensed ad
charged for them, are
int .of the
.SO per cent, c:
STRONG BRITISH COMPANY invites applications for
hail insurance general agency for Alberta. Apply, stating
full particulars of experience, etc., in hail business to Box
347, Monetary Times, Winnipeg, Man.
ACCOUNTANT.— Man thirty-five years of age. Thor-
oughly familiar with Costs, Credits, and Financial Work.
For past five years in charge of Accounting Department
large Western Corporation. Open for engagement October
1st. Box 345, Monetary Times, "Toronto.
INDORSEMENT CLERK wanted for Toronto fire insur-
ance agency office. Address Box 349, Monetary Times, Toronto.
To The Insurance Company
Contemplating entering
Western Canada in 1921
loK
Automobile and Hail Insurance
We are open for General Agency Contract.
Resident in Western Canada (or 13 years.
Thorough knowledge of Provincial condition*.
Wide and successful experience.
Apply, Box 343 Monetary Timet Office, Toronto.
THE MONETARY TIMES
Volume 65.
Your Railways and the
Cost of Living
BKIOKK thf Privy Council at Ottawa protost against the
N»w Kailway Rates has been made on the ground that
the giving of the New Itates would raise the cost of
living by a percentage many times higher than the percent-
age actually charged by the Canadian Railways.
It was pointed out that the numerous middlemen who
act as the distributors of goods would each add his percentage
of profit to the freight rate, .so that although the railways
might receive say only 10 cents additional freight charge on
a shipment, the public would be forced, by the distributing
middlemen, to pay many times that ammint.
The managements of the \:iri..iis Canadian Railways de-
sire, through this their association, to draw the attention of
newspaper readers to the highly significant fact that the
recent increase in I'nited States Railway Rates — an increase
similar to the increase in Canada — Itat actually been followed
by a decrease in the coal of living in that coantry.
Furthermore,
A great Canadian manufacturer rt^cently made public —
without any solicitation and without the previous knowledge
of the Railway manngements — figures which proved that the
retail selling price of a yard of plain white cloth in Winni-
peg, after being hauled from Montreal to Toronto and Tor-
onto to \\ innipeg. would be increast-d only one-half a cent.
even after the wholeialer had added 20"^ profit to the new
freight rate and the retailer another SO''r.
He showed that these dislriluilors. wlielber rightly or
WTonitly. added l.'i rents to bis mill-price of H". cmts per yard.
Yet the railways carried the raw rnlton for this yard of
gofxls from Texas to Montreal, and the finished g<M>ds from
the mill to Toronto and Toronto to Winnipeg for one-and-
one-half cents.
One-and-one-half cents as against fifteen cents.
We venture to believe that whatever the explanation or
the justification may be, the same serious additions to cost
by the distributing trades will be found in telation to almost
every article of common household use.
This is not to attack distributors. They may them-
selves be victims of a bad system or of an overcrowded
trade. But it is to point out that if they add whatever per-
centages they, as a trade, find convenient on top of the
freight rates the Railways cannot help either themselves or
the public. The oppressive results of these practices should
not be charged against the Railway managements, nor cited
as reasons for holding freight rates down — merely because
railway rates can be held down — while other prices soar as
the various trades find nece.ssarv.
RAILAN'AY charges always must be a serious item in de-
termining cost of production, but the management of
your Railways urge upon your attention this fact:
that antiquated, overloaded and wasteful systems of distribut-
ing goods are much more properly a subject for public
anxiety.
Canada cannot prosper without prosperous
railways. Canadian railways cannot prosper
unless Concda prospers.
In all sincerity let us suggest that the people of Canada
beware of those who would restrict and even strangle the
railways, simply because control exists there — and is not MO
convenient in other departments of commercial activity.
The Railway Association of Canada
263 St. James Street, Montreal, P.Q.
251
October 8, 1920 T H E M O N E T A R Y T I M E S 33
JlltitllllllllllllllllllllllllMIMIIIIIIIIIUIIIMIIIIIIIIIIIIIIIIIllllllllllllllllllllllllllllliltlllllilllilliillilliiiiiiiiiiiiliUIIIIIIIIIIIIIIIIIIIIII
I CHARTERED ACCOUNTANTS |
HlllllllllUIIMIIIIIIIUUIMIIIIIIIIflUIIIIMIIIIItllllllUIIIIIIIIIIMIIIIIIMIIIIIIIIIIIIMIUIIIIIIIIIIIIIIIIIIinillllllllMIMHIIMIIIIIIIIMIIIIIIIIIIIIIIIIIIIIIII^
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
()(-l-ICi;S AT
Edmonton - Alberta
Toronto Ont.
CHARLES D. CORBOULD
Chartered Acconnlant and Auditor
ONTARIO AND MANITOBA
648 Somerset Block. >Vinnipe8
Correspondc
list.iblished 1SS2
W. A. Henderson & Co.
tharlered Arrountanls
508-509 Electric RaUway Chambert
Winnipeg, Man.
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Specialist on Taiiation Problems
Bank of Toronto Chambers
LONDON - ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 Confederation Life Building
Winnipeg
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:
HAMILTON
WINNIPEG
CLEVELAND
Hubert Reade & Company
Chartered Accountants
Auditors, Etc.
407 408 MONTREAL TRUST BUILDING
WINNIPEG
SERVICE
Thorne, Mulholland, Howson & McPherson
CHARTERED ACCOUNTANTS
TORONTO
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRIGGS & CO.
Winnipeg, Toronto, Saskatoon, Moose Jaw,
Montreal, New York, London, Eng.
GEO.
0. MERSON & COMPANY
CHARTERED
ACCOUNTANTS
Tclepho
ie Main 7014
LUMSDEN
BUILDING
TORONTO, CANADA
F. C.S. TURNER & CO.
chartered Accountants
TRUST & LOAN BUILDING, WINNIPEG
CLARKSON, GORDON & DILWORTH
Chartered Accoun tantn. Fruatccs.
Receivers. Liquidator*
Merchants Bank Bldg.. IS Wellington Street West ToronI
D t> n r-\'i-\-c^n G. T. Clarkti
5- ?,• Vi .^:.'?;^.,„.,„„ Kstabiishcd mt R. ,,. nihvo,
F. S. RATLIFF & CO.
FARM LANDS-FARM LOANS
STOCKS AND BONDS
Medicine Hat Alberta
R. Williamson. C.A.. J. D. Wallace. C.A.
A J Walltcr, C A. H. A. Shiach & A.
RUTHERFORD WILLIAMSON & CO.
Ch.irlcrcl Accniiut.mls. Trmlccs ,inn
Uatiiri.ilors
R6 Adrhidi: Stbi.et Uabt, TOKONTO
804 McUlLl. ULitlilNo. .MO.STRKAL
Cable Address-" WII.LCO."
Represented at Halifax. Si. Inhn. Winnipeg.
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Wrslrril Miliilrlpal. ".rlii.i.l ali<l »n.l.nlcli.n .in ItiirnI Trie.
Iilioiir « ". ilclicnliirrs »pcrl.ill/c <i In.
CorrcsponJcnce invilcd
GRAINGER BUILDING
SASKATOON
THE MONETARY TIMES
HALIIAX K.\I'I.(JS1()N (ASK IINAM.V SKt 1 I.KL)
Neither ^■t■MSel Kosponsiblo for UamaK'fS. Says I'rivy Council
in DecidinK Case on Which Opinions of Supremo
Court Judges Were Divided
TlIK privy council of Great Britain has dismissed the ap-
peals made by both parties from the decision of the
Supreme Court of Canada in the case of the Into v. tlie
Mont Blanc. These were the two ships which collided in
Halifax harbor on December 6, 1917. The Supreme Court's
judtirment of the case was announced on May 19, 1919. The
owners of the "Mont Blanc" claimed $2,000,000 as damages
and the owners of the "Imo" counterclaimed for a similar
amount. In reporting the case, the "Law Times" says: —
Mr. Justice l)ry.sdale, assisted by nautical assessors,
tried the case at Halifax. The trial occupied Ki days. The
judge pronounced the "Mont Blanc" solely to blame. The
owners appealed to the Supreme Court of Canada, and the
appeal was heard by the five judges, two of whom found
the "Mont Blanc" wholly to blame, two found the "Imo"
.solely at fault, and the fifth judge was of opinion that
both were equally responsible. In the result the Supreme
Court allowed the appeal and held both ships equally liable.
From that decision both sides appealed.
How Collision Occurred
At the time of the disaster the "Imo," belonging to the
port of Christiania, was going in ballast to sea on a voyage
to New York under a charter made between her owners and
the Belgian Relief Commission. The "Mont Blanc" was the
property of La Compagnie Generale Transatlantique, and
was going from New York to Halifax with a full cargo of
picric acid, T.N.T., benzol and guncotton, bclongiiig to the
French government. Each was in charge of a qualified pilot.
The collision took place in about mid-channel while the
"Imo" was steering down channel from the Narrows to sea,
and the "Mont Blanc" was going up channel, intending to
pass through the Narrows. There was. it was admitted, no
wind and very little tide, and for all practical purpo.»es there
was sufTicient visibility.
The "Imo" alleged against the "Mont Blanc" that she
was travelling at excessive speed, and that she starboarded
her helm and attempted to cross the bows of the "Imo"; that
she waited to reverse engines until the instant of or only
a few seconds before the collision; that she crossed to the
Halifax side of the channel instead of keeping to the star-
board side of mid -channel, and that she did not give the
proper whistle signals or navigate in accordance with the
whistle signals. Stress was nlso laid on the fact that she
had no interpreter on the bridge through whom the Canadian
pilot coulil give orders to the French oflicers.
The "Mont Blanc" submitted that the negligent naviga-
tion of the "Imo" was the sole cause of the collision. It was
nllcged that, while the "Mont Blanc" was keeping to her
right side of the channel and giving appropriate signals, the
"Imo" adhered to her wrong side, thus putting the "Mont
Blanc" into a position of difTiculty when it was neccsiiary
to take immediate action. The putting of her helm hard
a-»tarboard was. it was submitted, the best course to have
adoptetl to avoid u disaster.
Negligence on Both Sides
Lord .\tkinson, whose judgment was read by the Lord
Justice Clerk, went in great detail into the cases and the
evidence on both sides, and, in mnrliisinn. ^nid: Their lord-
ships have, upon the whoh , . , ., conclu-
sions: First, that the "Mont Men she
passed the "Highflyer" till i in the
agony of the collision, never left lui i>«ii wutir, though she
may no doubt before she was actually struck have forged
ahead so as to cross the middle line of the chonnol. Second,
as she steamed up through her own waters her speed was
not immoderate. Third, the "Imo." in order to inflict the
injury to the "Mont Blanc" which it is proved she did inflict,
must have struck that ship with more force and nt a higher
rate of speed than her witnesses admit. Fourth, the "Mont
Blanc" must at the time of the collision have had little, if
any, way on her, else the stern of the "Imo" would have been
twisted to some extent, which it was not. Fifth, the inclina-
tion of their lordships' opinion is that the "Imo" could, when
she first reversed her engines, have crossed into and re-
mained in her own water, as she was bound to do, but
never did.
It is not necessary, however, absolutely to decide the
last point, because, in the case of both ships, it is clear that
their navigators allowed them to approach within 400 feet
of each other on practically opposite courses, thus incun-ing
risk of collision, and, indeed, practically bringing about the
collision, instead of reversing their engines and going astern,
as our assessors advise us they, as a matter of good seaman-
ship, could and should have done, long before the ships came
so close together. This actually led to the collision. The
mantcuvre of the "Mont Blanc" in the agony of the collision
may not have been the best manoeuvre to adopt, and yet be
in the circumstances excusable. But their lordships are
clearly of opinion that both ships are to blame for their
reciprocal neglect to have reversed and gone astern earlier
than they did. They are, therefore, of opinion that the appeal
and cross-appeal both fail, that the judgment appealed from
should be affimicd, and there will be no order as to the costs
of the appeal and cross-appeal.
SUIT OVER REAL ESTATE DEAL
.\ suit to recover $198,000 was begun in Winnipeg on
September 24 by the Albyn Trust Co., who cite the King's
Park Co. as defendants. This action arises out of a reai
estate deal of years gone by in which the subdivision known
as King's Park was the vended property. This property lies
between the Agricultural College and St, Norbert and Pem-
bina Highway and the Red River. The plaintiffs are suing
on a mortgage, and the defence set up is that as the plaintiffs
have failed to make payment on a prior mortgage the de-
fendants are not liable until this obligation is discharged.
.\ counter-claim has also been filed by the defendants for
damages for breach of contract in connection with the mort-
gage sued upon. Argument was to be resumed this week.
VKTORY BOND CONTROL EXTENDED
\i a meeting of members of the Montreal Stock Ex-
change this week it was agreed to extend further the time
ill which Victory bonds may not be dealt in on the floor of
the institution from October 1 to December 31 next. .\s
generally anticipated, the wishes of the Minister of Finance
in this connection were met. It is understood, however, that
the resolution adopted expresses the view that the latest
extension should be the last one, the majority of the mem-
bers favoring open dealings in the securites. No action will
be required on the part of members of the Toronto Stock
Exchange, as the agreement with the local exchange does
not expire until the end of the present year.
Notice is given by the Department of Finance that on
account of the intoi-cst payncnt? due first November the
tr.insfer books of the I'llS an 1 1919 Victory loans will be
closed from the .30th September to the 31st October, inclusive.
Bonds which are received at the department for transfer
aftor tlie ."^Oth September will not be transferred until after
the opening of the transfer books on the 1st November.
That the city of Queliec may apply to the legislature at
its next session for power to municipalize fire insurance
was intimated on September In by Aid. P. Bertrand, chair-
man of the fire committee.
October 8, 1920
THE MONETARY TIMES
36
i<llllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllllll llllllllllllllllllllllllllllllllllllllllllllllllllllllltllllllllllllllllllU
I REPRESENTATIVE LEGAL FIRMS f
^riiiiiiiiiiiiiiiiMiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiuiiiiiiiiiitiiiiiiiMiiiiiiiiiiniiiiiiiiiiiMiiiiiiiiMiiiiiiiiiMiiniiiuiiiniiiiiiiiiMiiiiiiiiiiiiiiMiiMiM
BRANDON
J. p. Kilgour. K.C.
R. H. McQuee
G. H. Foster
KILGOUR, FOSTER &
McQueen
Barrittcrt, Solicitors, Etc.,
Brandon, Man.
Solicitors for the Bank of
RoyRl Bank of Canada- Han
and Loan Society. North
Assurance Company-
Montreal The
nilton Provident
American Life
LETHBRIDGE, Alta.
Conybeare, Giurch & Davidson
Barristers. Solicitors, Etc.
Solicitors for Bank of Montreal. The Trust
and Loan Co of Canada. British Canadian
Trust Co.. 4c.. &c.
C. F. P Conybeare. K.C, H W. Church, H.A.
H. R. Davidson. LL.B
Lethbridge - • Alta.
PRINCE ALBERT
COLIN E. BAKER, B.A.
Solicitor for the City of Prince Albert
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal Bldg.
CALGARY - - ALTA.
W. P.W.Lent Alex. B..Mackay, MA. LL.B.
H. D. .Mann, .M. A., LL.B.
LENT, MACKAY & MANN
Barrlal«r8, tioUelKirs. .Votaries, Ktc.
305 Grain Exchange BldR . CalEary. Alberta
Cable Addreta . 'Lenjo.' ' Western Union Code
Solicitors for The Standard Bank of Canada.
The Northern Trusts Co. Associated .Mort-
; Inv
. &c.
Hon. Sir James Lougheed. K.C. K.C.M.G..
R. B. Bennett. K.C, J. C. Brokovski. K.C,
A. M. Sinclair. K.C. D. L. Redman, H. E.
Forster. P. D. .McAlpine. O. H. E. Might. L.
M. Roberts. ("Cable Address ■■Loughnetf)
LOUGHEED. BENNETT & CO.
Barristers. Solicitors. Etc.
Clarence Block. 122 EigHth Avenue West
CALGARY. ALBERTA. CANADA
WRIGHT & WRIGHT
Barristers, Solicitors, Notaries, htc.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. AC. Rutherford. K.C.LL.D.
P. C. Jamieson, K.C. Chas. H. Orant
S. H. McCuaig Cecil Rutherford
RUTHERFORD. JAMIESON
& GRANT
Barristers, Solicitors, Etc.
514-18 McLeod Bldg. Edmonton, Alberta
JOHNSTONE & RITCHIE
Barristers, Solicitors, Notaries
LETHBRIDGE Alberta
REGINA
MEDICINE HAT
C. F. H. Lovo.
LL.B.
J. W. Sl.Elr.HT. U.A.
LONG
&
SLEIGHT
B
arristers, etc.
MEDICINE
HAT I
nd BROOKS, Alia.
MOOSE JAW
Grayson, Emerson & McTaggart
Barristers. Etc.
Solicitors— Bank of .Montreal
Canadian Bank of Commerce
Moose Jaw - Saskatchewan
NEW WESTMINSTER
JOHN W. DIXIE
liarrislcr and Solicitor
405 Westminster Trust Building
NEW WESTMINSTER, B C.
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
Called to Ontario Bar I8HU. New York Bar ItUfi
ELLISON. ELLISON & FRASER
111.', Itrciumny. Ne" »»rl.
ELLISON. GOLDSMITH & ALLEN
■'.•,1 »»riH llUlh Kt.. *cw lorU
WE BUY ^VE SELL
Chauvin, Allsopp & Company, Limited
FARM LANDS
And other sood property. ICDMONTON DISTRICT.
VALUATORS
Ground Floor, McLeod Building - Edmonton. Attn.
Gordon, Gordon, Keown
and Collins
Barristers, Solicitors, &c.
Aldon Building, REGINA, Sask.
Solicitors for Imrcrial Bank of Canada
SASKATOON
C- I-- Diuii:. H A, B, .M Wakrlino
DURIE & WAKELING
ItarrliilerH and i^olirllorn
Solicitors for the Bank of Hamilton. The
Great West Permanent Loan Co. The
.Monarch Life Assurance Co.
€ana<la Itiillilinc Snskaloon, Cnnada
Chis G Locko MajorJ.McAuchey.O.B.B.
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
BOWSER, REID. WALLBRIDGE
DOUGLAS & GIBSON
Barristers. Solicitors. Etc.
Solicitors for Bank of Montreal (Bank of
British North America Branch)
Yorkihirc BoilJinc. S2S Sermoor St., ViacoaTcr, B.C.
VICTORIA
A 1
DLM.l
ir
1
li M FOOT 1
U<.l.
(or Allier
la)
■Men
hci of .M.mitoba
.M.mbc
of .Sovi.
SCO.
and British Columbia |
tia. Alberta and
Urit-
Bars
ish Cn
umbia B
ars
DUNLOP
&
FOOT
Bnrrin
tcm
.So
icitorn
Noti
nd Com
mi«»ioncrB
612 li
3 S«
wnr.
Bldt.
Vi
lor^n. Br
li.h Colum
bin. Cnn«dn
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
Dr. J. \V. MAHA.N J A. WKSTMAN
President ManaKinR Director
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
|{:ickus Interests Reach AKreement with Ontario Government— Publicly
Owned Taper Plant Beinn Considered by "Farmer" Cabinet— Sockeye Sal-
mon Pack will be Greater Next Year Potato Flour Industry Inaugerated
in the West— Vancouver Island Suitable for Textile iMauufacturing
AFTKR weeks of negotiation, an agreement has been
iiarlu'il between the Ontario jrovernnunt and a
syndicate represented by E. W. Backus, of Minneapolis,
Minn., regarding pulpwood limits and water power in the
Lake of the Woods district. The Backus interests asked for
the English River limits, but in order to get this concession
they must enter into public competition. According to the
agreement the first step necessary for the Backus interests
is to erect a mill at Kenora and develop the Lake of the
Woods limits which they now hold. The onlychange in the
oM agreement concerning these limits is a clause where the
government doubles the fees on pulpwood, and brings them
up to the present standard. The government also grants
a lease to the Backus people of the water power at White
Dog Rapids on the Winnipeg River, subject to such "rentals,
reservations and conditions." as the minister of lands and
forests may deem in the public interest. Mr. Backus, who is
the owner of the Norman dam at the outlet of the Lake of
the Woods, which is an essential work for the regulation of
the level of the Lake of the Woods, consents, as a further
term of the agreement, to submit to such regulations as to
this dam as may be imposed by the minister of lands and
forests.
The government has made a stipulation with Mr.
Backus that any portion of the newsprint product must be
available for sale to Canadian publishers at the instruction
of the government. The amount is left open, but it is said
that the government could order 100 per cent, to Canadian
publishers under the agreement.
Although nothing <lefiniti' has been stated, a plan for
operating a pulp and paper mill as a provincial enterprise
is lii-ing seriously consideretl by the t)ntario government).
Acrording to the plan under consideration, the mill would
be established in the Nipigon district at some point to which
power could be transmitted from the new Hydro-Electric
power development plant at Nipigon Falls. The establish-
ment of a publicly owned and operated plant, such as this,
is considered by no means improbable.
Announcement has been made by the government of
Ontario that the limits west of Hele township are to be
ciinrelled. These limits are tho.se over which the Provincial
Paper Mills, LUl., Port Arthur, has been cutting for the
past few years. The company's cutting permit has expired
anil the limits are now up for sale. It is the intention of the
yov.rnment. wherever possible, to cancel any timber limit olT
wliicl) the tenderers have cut the amount originally con-
liniplated. .-io as to do away with excess profiteering in the
olit.i;ning of more wood than the amount to which the ten-
derer is entitled.
Sockeye Salmon Park Large
The sockeye pack on the Frascr River. British Columbi.-j,
this year will be the large-t in four years, according to in-
formation r. reive I from that section. The sorkeye salmon
rilMiM t.. 111. ii- spawning grounds in cycles of four years.
.ml it lias bi < n note<l by Kovornmcnt obscr\'ers that a big
year wjis generally followed by n lean one. and the succe«'d-
ing ytnrs showed gradually increasing returns. This is
the third year of " ' ' •- to Frnser River
authorities, and, . licrc should be o
larger run of yock.
Governnunt rti-oi!^ foi .■ in-
crease in the provincial (ish the
preceding June and with (' , ^ ,1 of
a year ago. Fish to the value of $4l6,hii2 were
caught Inst month in the waters contiguous to Van-
couver Island, and of this salmon contributed $397,452, be]
ing 36,132 cwts. June's figures were $267,102, and July, a
year ago, §342,020. In the !■ raser liiver and in the remain-
der of the first fishing district, including Howe Sound and
Burrard Inlet, the catch aggregated $294,131, and in June!
the toUil was $171,284, while in July, 1919, the catch ap-j
proximated $202,456.
G. L. Dodds, formerly reeve of Arthur, Man., is plan-j
ning a series of potato flour mills for Manitoba and othe?
western provinces. Mr. Dodds is a farmer, and is wel'
known in his district as a practical agriculturist and farn;
scientist, and expresses confidence in the outlook for tho
success of the new industry. He stated that not only is th«
potato flour itself an economical and popular commerciai
product, but there are by-products, such as starch anc
alcohol. Even the residue makes good stock food. j
Mr. Dodds says he is now well on the way towards th«
establishment of the first unit in his series of mills. It wil
be built at Melita, which is in the centre of a district know)
to have a soil particularly adapted to the production 03
mealy varieties of potatoes — those which make good potati;
flour. Asked as to the kind of potato which would be raisei
for the manufacture of potato flour, Mr. Dodds instanceii
the "Bovee." This potato is described as being pink in skin
white as the flesh, anil markedly dry and mealy. It is sai<
to ripen early, yield abundantly, and, while it does not at
tain to any phenomenal size, is perfect in shape and of finr
quality.
Vancouver for Textile Manufacturing
Vancouver Island, British Columbia, according to som^
of the big textile manufacturers of Great Britain who hf.vi
bei n there during the past few years, is an ideal place foi
the manufacture of textiles. Mr. Thompson, of the Islam
Development League, sees other reasons than the climate
for advancing the idea. The establishment of the Trans
Pacific .service of the Canadian Mercantile Marine will giv
service from the Pacific Coast of Canada to British-Indiii
pons; and with the C.P.R. freight service that is to b*
extende<l to the same part of the empire, Indian cottoi
could be set down on Vancouver Island, manufactured an'
marketed to points in the prairies and even as far east a
Ontario, under comlitions that should be more favorabl
than can be found in the use of American cotton.
This last has to be imported into eastern Canada fo
treatment at the Canadian cotton manufacturing centres fo
distribution to the west, an<l it can le seen that the freight
age by wator and manufacture at the west coast could no
only eliminate the heavier cost of freightage by rail, bu
would also do something by way of encouraging trade withii
the nation and be another development on a preferentia
trade basis which should be universal throughout the empire
Ontario Manufacturing
Ratepayers of Wingham have approved of a by-la^
granting a loan of $10,000 and a fixed assessment of $10,00
for seven years, to the William Gunn Co., of Saginaw, Mich
which is to operate a phonograph factor\' in that munici
pality.
A by-law granting a fixed assessment of $10,000 pc
annum ta the Quinte General Manufacturing Co., of Deser
onto, has been approveil by the ratepayers.
Possibilities of the location in Fort William of a larg
a8.«embling plant by the Four Drive Tractor Co., of Bi)
Rapids. Mich., was announced by D. L. Bole, of the Bol
Grain Co., last week. The manager of the company wa
October 8, 1920
THE MONETARY TIMES
The Imperial
Guarantee and Accident
Insurance Company
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident Insurance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - - - 3200,000.00
Authorized Capital - - $1,000,000.00
Subscribed Capital - SI. 000,000.00
Government Deposits $111,000.00
ACCIDENT COY.. Limited
Head Office for Canada - Toronto
nployers' Liability. Elevator. Contract. Personal .\ccijtnt. Fidelity
Ouaraotee. Internal Revenue. Sickness. Court Bonds.
Teams and Automobile.
AND FIRE INSURANCE
THE DOMINION OF CANADA
GUARANTEE & ACCIDENT INS. CO.
Accident Insurance i
Burglary Insurance ,
The Oldes! and Stroni;
TORONTO MONTREAL
omobile Insurar
Canadian Accic
WINNIPEG
;nt Insura:
CALGARY
CANADIAN STRONG PROGRESSIVE
fS>m^ WjS;y.9^#i?;EiS<a¥J?«Pr?
FIRE INSURANCE
AT TARIFF RATES
Merchants Casualty Co,
Head Office : Winnipeg, Man.
Ida. Operating under the
most progressive company in (
sion of trie Dominion and Provi
:ing the entire Dominion of Can
SALESMEN NOTE !
is the most liberal protection of
ndup.
ver i.SOO difTerent diseases.
■ Life if disabled through Accide
and health policy
of Jl.dOper month a
Covers I
Pays fo
Illness-
Fifty per cent, extra if confined to hospital.
Pays for Accidental Death. Quarantine, Sur-
geon Fees for minor injuries, also for death of
Beneficiary and children of the Insured.
Good Openings for Lice Agentt
Eastern Head Office. Koyal Bank BIdg.. Toronto
Home Oftice Electric Railway Chambers.
Winnipeg, Man.
Palatine Insurance Company
UIIVIITED
OF LO.XDOX. ENGLAND
Capital Fully Paid $1,000,000
Fire Premiums, 1919 3,957,650
Total Funds - 6,826,795
In addition to the above there is the further Guarantee of the Commercial
Union Assurance Compiny. Limited, whose funds exceed ?i09.000.000
Head Office : — Canadian Branch
COMMERCIAL UNION BUILDING, MONTREAl
\V. S. JoPLiHG. Manager
T-oronfo Office— bO KING STREET WEST
JoNi^s & Proctoh Bros.. Limitrh. .A^icnts
Automobile- 1 92Q-Season a
Policies to cover ANY or ALL motoring risks §
ATTRACTIVE AGENCY CONTRACTS |
British Empire Fire Underwriters ^|
82-88 King Sir.-t i :,st Turonto
Great North Insurance Co.
Head Office. l.O.O-F. Bl-OCK CAI OARY. Al-BKRTA
THE COMPANY WITH A RECORD
OFPICBRS
It and Manager ... W. J. WALKBK. Eiq.
President ... ■• J- K. Mcl.VMS. Esq.
-President, Hon. ALEX. C. RUTHERFORD. K.C.
President ... Hob. P. E. LESSAKD. .M. L.A.
... J. T. NORTH. Esq.
AUDITORS
Edwards. Morgan & Co - CaWary
DIRECTORS
Hon. Alex. C.Ruther- Edward J. FrtMn.
ford. KC. B.A.. Esq
LLP.. BC.L. J.K. .Mclnnis.
Hon. P. E. Lessard. W.J Walker. Esq.
H.L.A. Oeo. H. Ro»«. K.o
P. A. Walker, b.l.a. ll.b.
G E
N
E R
A L
ACCIDENT
FIRE
AND LIFE
ASSURANCE CORPORATION
PBLBG HOWLANU,
Canadian Adviiory Director
Toronto Agents, B.
LIMITED, OF PERTH
THOS. H
Manailcr for
L. McLBAN, LIMITED
SCOTLAND
HALL.
Canada
FARMERS'
FIRE & HAIL INSURANCE COMPANY
FIRE. HAIL AND AUTOMOBILE INSURy\NCE
Head Offic CALGARY. S.ikitch.w.n Offi««, REGINA
.M P. JOHNSTON. Managing Director
38
THE MONETARY TIMES
Volume 65-
iccently iii luv ciiy in conference with Mr. BoK-, with the
result "that the Bole company has secured the distributing
rights for the company for the whole of Canada. If there
is sumcient demand in Canada for the tractor built by the
company, the assembling plant will be erected in Fort Wil-
liam, as machine parU can be shipped from Big Rapids and
assembled in Fort William considerably cheaper than the
complit* machine can be put on the Canadian market.
The Bo;rart Carlough Corporation of Patcrson, N.J.,
manufacturers of steel sash and allied products, have de-
cided to open « Canadian branch at London, and have secured
temporary quarters at the corner of Bathurst and Adelaide
Streets. They will employ about 150 hands at the start.
The principle of engaging a paid publicity agent to
set before the people of Ontario and Quebec tlie advantages
of Timiskaming was adopted at the annual meeting of the
Timiskaming and Northern Ontario Associated Boards of
Trade at Timmins, Ont., last week. The question of ways
and means was loft to a committee, which will report at the
next meeting of the board at Cobalt early in the new year.
Because of the unfavorable conditions of the market,
the Electrical Steel and Metals Co., Welland, has ceased
operations. This is the second large industry to close down
within two weeks, the other being the British American
Shipbuilding Co.
Extension of the present factory of the Steel Co. of
Canada, Hamilton, to facilitate the manufacture of wire and
wire products, will be underUiken.
Canadian Edison Phonographs, Ltd., have concluded the
purchase of a large factory building at St. Thomas, now
occupied by Lawson Jones, Ltd., lithographers, and the St.
Thomas Cabinets, Ltd., manufacturers of cabinets. The new
corporation, which is the Canadian branch of the Edison
Co., of Orange, N.J., will engage in manufacturing phono-
graph cabinets and the assembling of cabinets and phono-
gr.'iph mechanism for the Canadian trade, and eventually
for the export trade for all parts of the British Empire.
The new corporation has purchased the entire equipment
of the St. Thomas Cabinets, Lt*l., and much more machinery
will be installed in the plant in the near future, and it is
hoped that cver.vthing will be in shape to turn out the
lirst Canadian made Edison phonograph by .June 1, 1921.
Wool Shipment llea\y
Three hundred thousand pounds of wool have so far
been .<ihippod from AlberUi to the Co-operative Wool
tlrowers" Association in Toronto for disposal, and there are
still two carlot.'i to ship, according to a statement from K.
L. Richardson, of Calgary. This is a record, as last year
the total output was only 260,000 pounds. For some time,
states Mr. Richard.son, tliere was no market for wool, but
it i.H now quoted at anywhere from 2oc. to 60c. per pound.
Mr. Richnrdron is of the opinion that if any avcrnpe be-
tween the.ie two prices is securetl by the Co-operative As-
^oiii'tion in Toronto for this growth of Albcrtn wool, it will
bi' mo.st .Hjitis factory. The association this year has handled
about 2,000.000 pounds of wool from all parts of Canada.
From all the mines of the Dominion Coal Co., the total
output wai 2fi»,73n tons, as against 2r.0.7:ir. tons for the
previous period, and 212,C2S in the same month a year ago.
As a result of the n<port of the investigation committee
«ont to Chicngo by the British Columbin government to in
lie the succpsji of electrical blast furnaces, the estjib-
t of the iron and slcol industry in the province is
• .1 shortly. An electric .«crap mill will ho established
to handle the large quantity of scrap iron and stool now sent
every month to Se.tttio mills. The committee will also urge
the encouragement of the rubhcr and paper bag induslrio.".
It was brought out that 82 per cent of the world's rubber
comes from the British Empire nnd »hnt the rnw material
can be landed cheaper nt the T' ' " " .■ province
than nt Chicago or Akron. TV- paper bag
manufacturers of Chicago usii ■ entirely.
A now plant is being built by the Mh^juoIih Metal Co. of
Canada, Ltd.. at 37 Shannon St . Montreal. Que. The com-
pany was recently incorporator! ■■ •' ' -f $100,000.
m;w incokpok.vtions i
Mammoth Mining Corporation, Ltd., $5.000.000— Ruggles '
.Motor Truck Co., Ltd., $3,000.000— Canadian Flashlight, ]
Ltd.. $2,000,000- Fulton Motors, Ltd.. $2,000,000
THE following is a list of companies recently incorporated I
under Dominion and provincial laws, with the head office |
and the authorized capital: — |
Piapot. Sask.— Mercer Levis, Ltd., $10,000.
lYrl William. Ont.— Hardy's, Ltd., $40,000.
.Moose .law. Sask.— Slater & York, Ltd., $50,500.
Prince George. B.C.— Station Club, Ltd., $2,000.
Regina, Sask.— Western Fruit Co., Ltd., $10,000.
Belleville. Ont.— National Castings, Ltd., $r)0,000.
Niagara Falls. Ont.— Niagara Hats, Ltd., $500,000. ,
Lucerne. B.C.— Lucerne Railway Club, Ltd., $2,000.
Vorkton, Sask.— United Supply Co., Ltd., $250,000.
Alliston. Ont.— Alliston Gold Mines. Ltd., $1,000,000.
Victoria. B.C.— West Coast Power Co., Ltd., $10,000.
Humboldt. Sask.— Arlington Hotel Co., Ltd., $10,000.
Monleilh. Ont.— Hawk Lake Lumber Co., Ltd., $40,000.
Warwick. Que.— Warwick Woollen Mills, Ltd., $195,000.
(Jranby. Que.— United Maple Products, Ltd., $1,000,000. {
Prince Rupert. B.C. — Prince Rupert Logging Co., Ltd.,
$10,000. '
Kelowna. B.C. — Kelowna Poultry Association, Ltd.,
$20,000.
Waterloo, Ont. — Waterloo Glove Manufacturing Co.,
Ltd.. $100,000.
Napiorville, Que. — La Compagnie d'Eclairage de Napier- :
viiie. Ltd.. ?;i;t,ooo.
Brantford, Ont. — Brantford Machine Tool Co., Ltd., i
$50,000: .\brasives. Ltd., $000,000. j
Hamilton, Ont.— Valley Oil & Gas Co., Ltd., $100,000;
Carr Pattern and Tool Co.. Ltd., $40,000.
London, Ont.— National Inks, Ltd., $40,000; Steel Sashes,
Ltd., $40,000; Ruggles Motor Truck Co., Ltd., $3,000,000.
(iuebec. Que.— Prinza. Ltd., $10,000; Adolphe Hunt, Ltd.,
$200,000; Quebec Marine Works, Ltd., $25,000; Clarke Trad-
ing Co., Ltd., $1,000,000.
Winnipeg. .Man. — Mammoth Mining Corporation, Ltd.,
$5,000,000; Murphy Door Bed Co., of W'estern Canada, Ltd.,
$.'-0,000: Reesor and Clark Grain Co., Ltd., $50,000; Pm-
dential Investments, Ltd.. $50,000; Quality Cakes, Ltd., $100,-
000; Ross Motor Co., Ltd., $50,000: Western Truck Body Co.,
Ltd., $50,000; Nungester Hot Water Electric Incubator Co.
of Canada, Ltd., $50,000.
Vancouver, B.C. — Motion Pictures Advertising Co., Ltd.,
$50,000; B.C. Telephone Employees' Building .•Association,
Ltd., $10,000; .A.ttorney Mines, Ltd., $100,000; Galbraith and
Earle. Ltd., $50,000; Rose Hat Shop, Ltd., $10,000; Bergmans,
Ltd.. $15,000; Lull Bay Log and Pulpwood Co., Ltd., $1,50,000;
Over\vaitea (New Westminsterl, Ltd.. $10,000; Canadian
Flashlight. Ltd.. $2,000,000.
Montreal, Que.— Purity Ice Cream Co., Ltd., $100,000;
Dominion Dairy Co., Ltd., $49,500; La Societe d'Administra-
tion. $299,000; Atlantic Realties. Ltd., $190,000; Le Pays.
Ltd.. $20,000; Triplex Motion Picture Machine Co., $100,000;
Glovers. Tanning and Knitting. Ltd., $100,000; Continental
Guaranty Corporation of Canada. Ltd., $800,000; Beriault
Co., Ltd.. $67,600; Meal Investments, Ltd.. $100,000; Ramsay
Kelly Co.. Ltd.. $.'.0,000: Haupt Co.. Ltd., $50,000.
Toronto, Ont.— Canadian Timber Co., Ltd.. $1,000,000;
Paramount Peterboro Theatres, Ltd., $4,000; BelleajTe
Hospital. Ltd., $40,000; Plummer Machine Co., Ltd.. $100,000;
Dundas Plate Glass Co.. Ltd.. $200,000; A. Ramsay and Son
Co.. of Ontario, Ltd.. $100,000; North American Feldspar,
Ltd.. $60,000: Wintlyenr and Donaldson. Ltd.. $50,000; Cluett,
Penboily and Co.. of Canada. Ltd.. $750,000; Exide Batteries
of Canada. Ltd.. $600,000; Ault and Wilbur Co. of Canada,
Lt<l.. $.500,000; Fulton Motors, Ltd., $2,000,000; Norwesco of
Canada, Ltd., $50,000.
October 8, 1920
THE MONETARY TIMES
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS .... 24,600,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful days for life insurance salesmen,
particularly North American Life men. Our representa-
tives arc placing unprecedented amounts of new business.
All 1919 records are being smashed.
*■ Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey. Supervisor of Agencies.
North American Life Assurance Company
•■SOLID AS THE C0NTINI-:NT ■
HOME OFFICE TORONTO. ONT
important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assurances, New and Revived - - 81,211,447.00
Premiums on same .... 43,890.00
Assurances iu Force - • - 3,458,939.00
Total Premium Income - - - 109,586.03
Policy Reserves - ^ - 211,497.00
Admitted Assets 296,430.62
Average Policy - - . - . 2,237,50
Collected in cash per SI, 000 insurance in force 31.75
For particulais o( a good agency apply to
ADAM REID, Managing Director Winnipeg.
1870 OUR GOLDEN JUBILEE 1920
One Hundred Per Cent. Increase in Five Years
The Mutual Life of Canada is cclebratins its jubilee year by '
' hundctd million dollar mark, having doubled the
unding'
oxu,, uuoH. ■(>.,,», >i«l>l>b WUU,'I..U lll\^ .lllluUnt of
,.^0-....^^.,... ,i,.^w oince the year 1915. This 100% increase in (he years
IS without doubt due to the unsullied record for fair, liberal and equitable
dealing with its policyholders, and in the second place to the increasing
popularity of the mutual principle in life insurance. The mutual is
becoming generally recognized as the most economical, the most demo-
cratic and the most equitable system of life insurance. The greatest !>"■'
most powerfii life insurance organizations in the world i
the Mutual of Canada, organized on that basis, is m<
success. The assets o( the .Mutual are a sou
amounting at present to approximately ?<0.000.000.
contract and providing a substantial surplus
BE A MUTUALISTI
The Mutual Life Assurance Co. of Canada
Waterloo Ontario
nulual.
of sat-sfacti'
aranteeing cvi
LIFE INSURANCE SERVICE
'PHK ultimate success of a Life Insurance Company depends largely upon
what its policyholders think of the service they receive. The Continen-
tal Life has long since passed this test, and earned a high reputation for paying
claims promptly. 19:i0 will likely prove the best year in the Company s history.
Write for booklet. "Our Best AdvertLsers." For Manager's positions in On
t.'irio. apply wi:n r^tV,enc.-s. stating esnerience. etc., to 8. S. WE.IVEK.
Cnntern .«nperliili'ililriit, al Head Otllet'
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
ISSUED ONLY HV
THE LONDON LIFE INSURANCE CO.
Head Office ... l.O.NDON, CANADA
Profit Results in this Company VO": better tban Eslimalei.
POLICIES 'OOOD AS OOLD."
An Anchor of Security
IS found in Life Insurance. 1( means safety of principal
— certainly of return — the surest of all investments.
These arc generalities. Come down to personal appli-
cation by secins what Life Insurance can do for you.
Obtain rates, and dependable advice. Do so now,
while the subject is in mind.
You will find the Great-West Policies well worth invcs-
gation. The rates are low — the profits high.
Full particulars for the asking, and there will be no
undue solicitation to insure. Statr .if^e.
THE GREAT- WEST LIFE ASSURANCE COMPANY
HEAD OFFICE
WINNIPEG
The Western Empire
Life Assurance Company
Head Ofiice : 701 Somerset Building, Winnipeg, Man.
SASKATOON
Offices
EDMONTO.V
\ ANCOt \F.K
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hi: AD ori-ici: -
KXCELSIOR LIFE BUILDING
TORONTO
CANADA
THE MONETARY TIMES
News of Municipal Finance
Financial Condition of Saskatch wan Municipalities Does not Constitute any Cause
for Anxiety on I'art of IJond Holders. States Hon. Ceorjie Langley— Growth of
Montreal's iJebt— Ontario Municipalities Show Substantial Increases in Assessment
'■piIAT there is nothinfr to be alarmed over in connection
A with the financial condition of certain towns in Saskat-
chewan, is the statement of Hon. George Langley, provincial
minister of municipal affairs. This remark was made fol-
lowing publicity in the press of eastern Canada, regarding
the affairs of Battleford, Canora and Humboldt. This
minister stated that he does not consider that the financial
condition of either of these municipalities constitutes any
cau.se for anxiety on the part of the bondholders.
"It is inevitable in a developing province that centres
of population should be affected by the location of the rail-
way lines," said Mr. Langley. "This has been particularly
the case in connection with the town of Battleford. The
establishment of North Battleford as a separate municipality
on the opposite side of the Saskatchewan River has resulted
not only in arresting the growth of the old town but has
withdrawn a large amount of the patronage upon which the
old town formerly depended. The bondholder, like other in-
vestors, has to hazard result? under circumstances like these,
which are more or less inevitable."
The financial condition of the town of Humboldt has
been seriously affected by the fact that although a railway
town, the railway itself has not been taxable. "Should the
Dominion government, as holder of the majority of the stock
of the Canadian Northern Railway, waive its right to im-
munity from taxation," said Mr. Langley, "the town would
in a very short time be financially on easy street."
The town of Canora is and will in all probability con-
tinue to be the centre of a prosperous farming district, ac-
cording to Mr. Langley, so that no difficulty should be ex-
perienced by the Local Government Board in making an
arrangement that will eventually give the holders of its bonds
full protection and ensure a settlement that will not entail
any loss upon them.
"The statement in the press that the bondholders of the
towns mentioned are reported to have shown considerable
reluctance to place themselves in the hands of the Local
Government Board and thereby sign away their rights with-
out having any intimation in advance of what the Local Gov-
emmont Board will do, surprises me not a little," continued
Mr. Ijinglcy, "as the board's action has always been taken
as much in the interest of the bondholders as in that of the
ni.unicipalitie-s themselves. The Local Government Board has
nt all times shown itself ready to allow bondholders to ex-
erci.sc their legal rights if thev thought it in their interest
to do so. As the towns mentioned form n very small except-
tion to the good standing of the municipalities in Saskat-
chewan, I think that the general condition is one that merits
congratulations rather than otherwise."
At a meeting of bondholders of the town of Melville,
Sask., it vrstt decided to recommond that the affairs of the
tou ! 'ill the hands of tli' ' ' '' • •rnment Board
of , .\ oonimimicati rom the secre-
tai;. il Government Bo:i' ' g the informa-
tion thai llie officials at Melville aic coiiluient that they will
Ik? able to pay up nil arrears before the end of I'.i'JO, and a
full report by auditors will be pi ■ ■ i "> 'b.- hnndu of the
bondholders in the course of ibo
Woodstock, Ont— To(;il cmi i now amounts
to sr..:!(>Jt,558. an inc .11,. over I'.Uii.
Barric, Ont- — Tb- roll of the town shows a
total valuation of $4.4..,. .. li is an increase of ?120,-
276 over last year.
Winnipeg. Man. — Total tn\ collections during Septem-
ber amounted to S;2.J< -ng the grand total to date,
since May 1. up to $■'■, •
Toronto. Ont. — T'-'i. . , from thi i-uu milway for
September, amounted to $46,56t>, an iiv '-16 over
the previous month, and §7,9.57 over the same month a year
ago.
Sandwich, Ont.— The town's population has increased
from 3,643 to 4,153 during the past year, according to figures
prepared by the town assiessors. Property valuation is
placed at $7,716,835, and taxable property, aft.er exemp-
tions, at $6,159,025.
Brantford, Ont. — According to a recent statement made
public, assessment figures of the city are as follows: Total
taxable assessment, $25,17!i,505; total exempt assessment,
$4,68(!.900; grand total of general assessment, $29,865,30.5;
total increase in taxable property, $3,493,185; total increase
in business, $321,705; total increase in income, $401,140;
total increase in taxable assessment, $4,216,030.
Vancouver, B.C. — Comptroller Pilkington, at a recent
meeting of the civic finance committee, urged economy in
the various departments of the city during the remainder
of the year. A net operating deficit of about $61,000 faces
the city, unless certain mea.sures are taken, according to the
comptroller. The city is at present making arrangements to
engage a tax expert to report and recommend on the best
sources from which to obtain more revenue. Civic tax re-
ceipts to date this year, according to figures compiled up to
he end of September, amount to about $5,000,000.
St. John, N.B. — .At a recent meeting of the city council
Mayor Scholfield reported that the city's bank overdraft au
June 30th last was $402,441, of which amount $74,770 was
arrears in taxes.
The city's proportion of tax arrears for the four years
from 1916 to 1919 is as follows: 1916, $9,389, worthless;
1917, S14„529, 5 per cent, collectible; 1918, $24,186, 12 per
cent, collectible; 1919, $12,578.40, 40 per cent, collectible.
There are ninety-two taxpayers in arrears to the amount of
$50 or over. One-half of this number are paying on account.
.Montreal, Que. — According to civic statistics published
recently in the city, fully a third of the annual income has
to be set aside for interest charges. Six and a quarter mil-
lions are consumed in interest, while three quarters of a
million must be deducted from revenue for the sinking fund.
As the total revenue is twenty-one millions, there must be
taken from it seven millions for interest charges and the
sinking fund. The city has two "permanent loans, one
amounting to half a million and bearing the rate of 7 per
cent., and the other seven millions, but bearing the interest
rate of 3 per cent." Thf se two permanent loans were floated
many years ago, when the city particularly needed money.
From time to time efforts have been made to arrange so the
loans would be taken up, but the holders showed no ardent
desire to comply with the request.
Figures are given showing that the bonded debt goes
back to 1848. In that year, by act of parliament, the city
was authorized to issue bonds to the amount of $200,000 to
purcha.se waterworks. A number of other loans quickly fol-
lowed for sewers, additions to the waterworks, etc., until in
1867 the total debt amounted to five millions. In 1868 the
first issue of bonds became due. Nine years later the debt
was close upon ten millions. In 1888 it was eleven and three-
quarter millions, and ten years later again, in 1898, it had
gone up to twenty-seven and a half millions. In 1906 it
was a shade over thirty-one millions. From there it in-
creased as follows: 1910. $19,102,727; 1911, ,$63,352,900; 1912,
*68,3.'>9.860; 1913, $83,736,805; 1914. $97,017,420; 1915, $98,-
720,74.5; 1916, $100,000,000; 1917, $102,000,000; 1918, $121,-
■276,622: 1919, $122,000,000. The principal cause of the marked
increase in 1918, over 1917, was the enforced annexation of
Mai«onneuve.
October 8, 1920
THE MONETARY TIMES
y7iiin/c/)9^/
C.P.R. BUILDING
TORONTO
nOUSSERVViOODV'G>MP/WY
IMVC«TMCNT ■ANHCRS
CANADIAN GOVERNMENT
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106 BAY STREET • • TORONTO
THE MONETARY TIMES
Volume 65.
Government and Municipal Bond Market
British Columbia Sells Securities at a Premium — Issue Disposed of Across the
Line— Saskatchewan Will Conduit a Campaign to Sell Farm Loan Debentures
Localb — Three and a Hall .Millions Wanted— Windsor May Test the Local Market
TilKRE is no visible broadening tendency in the bond
market just yet, and bond dealers are of the opinion
that no great change will take place this year. After the
strain of the crop movement and the credit situation has
been relieved, a better demand is expected, while prices will
no doubt .stiffen, but until Victory bonds are placed on the
open market, which it is hoped will be at the end of the
year, and prices are allowed to find their own level, it is
recogTiized that there will be no marked improvement.
The market in the United States is in a very satisfac-
tory condition. Demand is good, and prices, particularly of
Liberty bonds, have had a marked advance. There is also a
good demand for Canadian bonds in that market, as evidenced
by the absorption of all of the British Columbia issue
and practically all of the Ottawa bonds. The same sjTidicate
which purchased the $1,000,000 of British Columbia's, are
now offering to place double that amount of the same bonds
on the same terms, which should be a good indication of the
situation.
British Columbia May Borrow More
According to an announcement made in Vancouver re-
cently, British Columbia has not yet finished borrowing this
year. The province has under consideration a loan of about
$5,000,000 for roads, this loan to be provided for out of
increased motor fees. Should conditions warrant, a similar
amount will be borrowed within the next three months. In
addition, it is understood that the government has been
sounding local bond houses with a view to having them sub-
scribe to a loan to provide funds wherewith the $3,000,000
University of British Columbia project at Point Grey may
be inaugurated under the provisions passed at the last ses-
sion of the legislature.
Windsor, Ont., is now considering the advisability of
selling somewhat over $400,000 debentures locally. It will
be remembered that the city had some $376,548 debentures
recently returned, owing to a legal difference. These securi-
ties, together with s-ome housing bonds, are now ready for
the market. Whether local or not it has not yet been decided.
Gloucester Township bonds, which are being offered
locally are selling well, according to reports. City Treas-
urer Huber, of Kitchener, Ont., also advises Tlir Monetary
Tinus that about $80,000 of total of $152,.S00 debentures
have been disposed of over the local counter.
City Treasurer Davis, of Hamilton, also advises that
since May 1 last approximately $42.'),000 debentures have
been ."old to inhabitants of the community at a •> per cent,
rate.
Saitkatchcwan to Sell Locally
Saskatchewan has derided to conduct a campaign be-
tween October 2<> and December 7 for the sale of $3,500,000
farm loan debentures within the province. According to
Hon. C. A. Dunning, provincial treasurer, the campaign will
be conducted on n miniature Victory loan scale. The execu-
tive of the Saskatchewan Pre.is .Association will take chargr'
of the publicity side of the campaign, and the municipal
officials throughout the province will have charge of thi'
organization work and will arrange for canvassing com-
mittees. Mr. Dunning, speaking of the new plan, said in
part: —
"The Sa.<<katchcwan Farm Ix>ans Board has loaned over
$5,250,000 since the first loan was made on September 10th,
1!)17. In a new province like otir? t!io Inrk of capital has
always proved a heavy ti:. "ds of our best
farmers. The need of »■ never greater
than it is at present wl' ir farmers an?
■ banging over from straight itiHin growing to mixed farm-
ing. At the same time, financial conditions throughout the
entire world have never been more unsettled.
"There is no way by which the government can secure
sufficient funds at a reasonable rate of interest to meet
the heavy demand from farmers in all parts of the province,
except by guaranteeing to the home investor a safe and-
profitable investment, and borrowing from the people of
Saskatchewan who have money the funds to loan farmers
who desire to borrow on first mortgage, on longer terms
and at a lower rate of interest than they can secure money
from other sources. I feel quite confident that we can secure
from our own citizens the money which is so urgently re-
quired for establishing our farming industry on a -per-
manently profitable basis.
"In creating the Farm loans Board our principal ob-
ject was to reduce the cost of money to the farmer, not to
do all the farm loan business. It was never the policy of
the government and it is not the policy at the present time
to attempt to take over the farm loan business, but rather
to exert an influence on the cost of money to the farmer and
to affect the terms and conditions upon which he secures
mortgage loans, just as the Saskatchewan Co-operative
Elevator Co. influences the grain business in Saskatchewan.
There is every indication that our hopes are being realized,
as there is ample e\'idence that we are affecting the farm
loan business in the province to a very great extent.
"Saskatchewan farm loan debentures are an obligation
of the whole province of Saskatchewan and therefore pro-
vide an absolutely secure as well as a patriotic investment
for our citizens. As these bonds are redeemable at par at
any time by giving the provincial treasurer three months'
notice in writing, the bonds can never depreciate in value
and are always worth 100 cents in the dollar. The interest
yield of five per cent, per annum, payable semi-annually,
gives a satisfactory return to the investor while providing
the farmers of our province with capital at a reasonable
rate of interest.
"Up to the present time, although there has been no
active campaign put on to dispose of these bonds, a total of
$2,0S2,000 worth of the debentures has been sold. We had
just entered upon a campaign for the sale of these bonds
in the fall of 1017, but at the request of the finance minister
of Canada we laid our campaign aside so as not to interfere
with the Victory loan campaign."
Bond dealers are rather doubtful as to the outcome of
such a campaign, especially in view of the fact that
Saskatchewan bonds are now selling to yield 6.30 per cent.
There will be a number of purchasers, no doubt, who will be
attracted by the 00-day retirement privilege, and a number
more who will yield to the "call of patriotism." but wise
investors will demand more than a 5 per cent yield To sell
the entire $.3,.500.000 within the period desired is consid-
ered almost an impossibility, at least just now.
Coming OfTerings
The following is a list of debentures offered for sale,
particulars of which are given in this or previous issues:—
„ Tenders
Borrower. Amount. Rate %. Maturity. close,
ate. Anne de Chicou-
TKJr"p,*'"''' „ • « 25.000 5',4 10-years Oct. 11
Three Rivers, Que. . 700,000 6 10-years Oct. 11
Kcnt>-,lle, N.S. .. ,10..300 6 25-years Oct. 18
Kenlville. N.S -The $30,.300 6 per cent, debentures of
the town, for which tenders are being called, are redeemable
in tw-enty.five years The latter remark was omitted from
the advertisement which was published in The Monclarv Times
last week.
October 8, 1920
THE MONETARY TIMES
"Times are Changed"
This quotation is derived from an old
Latin proverb, and applies to the in-
vestment situation to-day.
For many years it was necessary to
sacrifice security to receive a high
interest return, or vice versa. To-day,
by purchasing 1934 Victory Bonds, "it
is possible to , obtain both. "
At 961/^ and interest, the 1933 ma-
turity assures the purchaser of a
tax-free interest return of ,").879'c for
thirteen years.
Mail your order or wTite for par-
ticulars.
Wood, Gundy & Company
Toronto
Montreal
Winnipeg
Canadian Pacific Railway Building
Saskatoon
New York
London, Eng.
Toronto
Financing
National Industry
The economic life of Canada de-
pends upon coal, iron, steel, lumber,
pulp, agriculture and other basic
industries.
Financing the signally successful
enterprises of these industries has
won for us the confidence not only
of Industrial (Canada, but of the
thousands of Canadian investors
who have profited by their wise
purchases of these basic industrial
securities.
We make periudically most attractive invest-
ment offerings; so send your name to be added
to our maitinft list.
Royal Securities
^ CORPORATION
LIMITED
MONTKEAL
HALIFA.X ST. JOHN. N.B.
VANCOUVER NEW YORK
LONDON. Enii.
TORONTO
WINNIPEG
^^Siig^^^^^
W. L. McKinnon
Dean H. I'cttc
We recommend the purchase of
VICTORY LOAN
at the t'jIUnvir.i; rracs —
.MATLRITV PRIC1-;
1922 98 and Interest yielding 6.38"o
1927 97 •■ " ■• 6.00%
1937 . 98 ■ •■ 5.68%
1923 ... 98 ' •• • 6.14%
1933 96 J ' •■ • 5.88%
1924 .. 97 ■• ■ ■ 6.27%
1934 93 •■ '■ •• 6.24Vo
Orders may be telephoned or telegraphed at our expense.
W. L. McKINNON & CO.
McKinnon Building - TORONTO
iniiiiimiiiMiiiiMMiiiMiiMMniMiiiifMiMwiiMirniiiniiim
\Y7E have at all times a select
list of high-grade Govern-
ment and Municipal Bonds suitable
for the investment of :
Personal Funds
Estates
Trustees
Insurance Companies
Merchants' or Manufacturers'
Surplus Funds
American Funds on deposit
in Canada
Wc can solve your invcsimenl prohlems
ComuU US
W. A. MACKENZIE & CO.
Covcrnmeni m,.l .\funichJ Bo,ul,
42 King St. West
TORONTO -:- CANADA
THE MONETARY TIMES
Volume 65.
Debenture Notes
N :i |);i nee, Onl. — A liy-law has been passed authorizing
the purchase of the local waterworks.
Windham, Ont. — Ratepayers have passed a by-law frrant-
inp a loan of $10,000 to the William Gunn and Co., who are
locating; a factory there.
Cochrane, Ont. — Ratepayers have voted to purchase the
local power plant and telephone exchange.
Wardsville, Ont. — A by-law authorizing the raising of
$8,000 for hyilro purposes has been passed by ratepayers.
St. Mary's, Ont. — A money by-law authorizing the raising
of $10,000 for various local improvements has been defeated.
I'eterboro. Ont.— The city, which has $100,000 deben-
tures for sale, recently received a local offer for them at the
rate of 9G.10. It was decided to hold the issue over, however,
until a more favorable bid was received.
St. John, -N.B. — .'\t a meeting of the council last week it
was announced that a motion would be submitted within the
next month calling for the raising of $G54,9SS by way of
(■) per cent, renewable bonds.
Essex Border Utilities, Ont. — On October 23rd rate-
payers of the border municipalities, including Windsor,
Walker\'ille, Sandwich, Ford, Sandwich East and Sandwich
West, will vote on a by-law authorizing the expenditure of
$250,000 for a park project.
llond Sales
Township of Saugeen, Ont.— .An issue of $8,000 6 per
cent. 10-instalment debentures, for which tenders were called,
have been sold locally at par.
Lincoln County, Ont. — A. Jarvis and Company have pur-
chased $50,000 G per cent. 10-instalmcnt debentures at 96.50,
which is on a basis of about 6.75 per cent.
Gananoque, Ont. — A. E. Ames and Company have pur-
chased $.'}:},000 bonds of the town and are offering them on
a 6',B per cent, basis. The securities mature at different
dates up to 1950.
Belleville, Ont. — The city has sold two blocks of 6 per
cent, debentures to A. Jarvis and Company aa follows: $38,-
000, maturing in 30 years, at 92.75; $3,000, maturing in 20
years, at 03.58. At these prices the city paid about 6.55 for
its money.
Bexley Township. Ont. — Debentures to the amount of
$7,000, bearing interest at the rate of 7 per cent, and ma-
turing in 15 instalments, have been purchased privately by
J. E. McKngue, merchant, Bexley P.O. Two other offers were
received from bond dealers as follows: Brent, Xoxon and
Company, who asked for an option at 9S, and W. L. Mc-
Kinnon and Company, who asked for an option at 99.25.
Sasknichenan. — The following is a list of sales reported
by the Local Government Board from September 18th to
25th, 1920: —
School.i. — Lawrence, $2,500; K. Bligh, Clair. Lacombo,
$3,:!00, Stonon, $16,000, Lampman. $15,000, Eskdale, $I.3IH1;
Walerman-Watcrbury Manufacturing Co. Khedive. $2,000;
D. Handwork. Ogema. Marchwell, fiOO; K. J. Loo. Devil's
Lake. $1,500; Waterman-Wnterbury. Kastsidc, $3,500; T. R.
Whnley, Alsnsk. Beaver, $5,000; J. Flock. Yorkton.
Rural Telephones.— Pnrkside. $15,000, Lnndshut, $3,000,
Hope I.odge, $19,600; W. L. McKinnon and Company,
Villages.— Bulyea. $800 and $400; Heward, $800. All
sold locally.
York Township, Ont. — A. E. Ames and Compiiny have
pun-hased $215.2H0 t' per cent. 10 and 20-inRtHlmenf ilcben-
tures at 95.78, which is «n ii><.>"i ■> '■• ><■■ ••m'<i« The following
bids were received: —
A. E. Ames and Co. . . 95.78
Wood, Gundy and Co 95.3.^
I'niteil Financial Coriwration, Ltd 95.075
A. Jarvis and Co., C. H. B>irv—«n i.n.l Co.,
and N. A. MacDonald an! . 94.86
R. C. M.itthews and Co. . . . . 94.808
Home Bank of Canada (for $:(u.(k>u oniyt... 94.201
Sherbrooke, Que. — Three money by-laws were pas.sed by
ratepayer.'! on October 4, as follows: .'>212,000 for sewers;
.■r:l01,(;00 for payment of loan to Banque Nationale; water
:.nd electric, $110,000.
Sherbrooke, Que. — Versailles, Vidricaire and Boulais,
Montreal, have purchased at a price of 91.71 $392,000 5 per
cent. 5-year bonds. It was agreed by the purchasers, how-
ever, to let the aldermen of the city have $42,500 of the
bonds at the price of 91.71, so in reality Versailles, Vidri-
caire and Boulais only bough*. $350,000. Tenders received
were as follows: —
Versailles, Vidricaire and boulais 91.71
A. E. Ames and Company and Hanson Bros. 91.26
Rene-T. Lederc 91-23
Credit-Canadien, Inc 90.76
At the price received for the bonds the city paid about
7 per cent, for its money.
British Columbia. — The province has sold another $1,000,-
000 bonds for Pacific Great Eastern Railway work. The
securities, which bear interest at the rate of 6 per cent., and
mature in five years, were purchased by a syndicate of
American investment houses at a price of 100.73, which is
on a basis of 5.83 per cent. Bidding was keen as will be
seen from the following list: —
Carstens and Earles, Seattle; Girvin and Miller,
Francisco; Lumberman's Trust Co.; Price and
Co.; and Ferris and Hargrove, Spokane (ac-
cepted) 100.73
A. E. Ames and Co 100.34
Wells-Dickey Co., Minneapolis 100.22
Dominion Securities Corporation 100.17
BIythe, Witter and Co., San Francisco, and the
Seattle National Bank 100.13
Wood, Gundy and Co 99.89
Miller and Co., Brandon, Gordon and Weddell 99.647
Stephens and Co., Portland 99.07
Brake, Ballard and Co., Minneapolis Trust Co. ... 99.02
Freeman Bank of Italy and Ladd and Tilton 98.85
Cyrus Peirce and Co., San Francisco, E. H. Rollins
and Sons, Boston, and Bond and Goodwin, New
York 98.67
W. .A. Mackenzie and Co., and R. A. Daly and Co. 98.54
Jarvis and Co., First National Co., Halsey, Stuart
and Co , 98.36
National Bond Co., Vancouver 98.31
Canada Bond Corp 97.68
Faulas and Co., Vancouver 96.50
Ontario. — The highest bid received by the province for
its $3,000,000 (i per cent, bonds was 103.567, which is on a
basis of about 4.70 per cent. (Canadian funds). The bonds
were not awarded when tenders were opened, as the provin-
cial trca.surer wa.s ab.scnt. Ultimately, however, in view of
the fact that the bonds will be sold in the United States, the
cost will be much greater. There is also a condition in the
lid which will have to be approved by the province. Should
the trea.>!urer decline to accept this condition, he will receive
II much lower price. The following bids were received: —
A. Jar\'is and Co.. Halsey, Stuart and Co. (Chicago)
and the First National Bank (Detroit) 103.567
(This tender is contingent upon the province cover-
ing $1,000,000 exchange at 8'« per cent.)
Dominion Securitic;^ Corp 102.74
Wood, Gundy and Ci. and A. E. Ames and Co 102.697
Wells-Dickey Co. (Minneapolis), Carson and Earles
(Seattle) and Girvin and Miller (San Francisco) 102.64
United Financial Corp., Ltd. 102.61
Housser, Wood and Co.. Miller .ind Co. (New York)
and Branoon. Gordon and Waddell (New York)
for $l,.iOn.(KX) .-ind option on balance 101.57
National City Co 101.319
Canada Bond Corp., A. B. Leach and Co.. Inc. (New
York> and Rutter and Co. (New York) 100.89
C. H. Burge»s and Co mii 12
October 8, 1920
THE MONETARY TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7i%
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B.
HALIFAX, N.S.
Western Municipal & School
g % Debentures
^ TO YIELD ' 2
71%
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
CORRESPONDENCE
INVITED
UNION TRUST BUILDING
WINNIPEG
SUPERFINE
LINEN RECORD
VOLR letterhead
* "-ouch the — ■
ay ra>
clerks
cflice
Com-
If
died hy a doze .
and yet. at thecrucialm
carry into a Hrci^ident'
the sufifiestion of you
rany's dignity and standirg .
it be of Superfine Linen Record
Awarded the Told Medal
Antwerp I8tl5: the Gold Medal
Chit.iKo. 1893: and the Grand Prix, Paris. 1900.
The Rolland Paper Co., Limited, Montreal
High Qrai^ Paper Mal;,r, sine, I&82
Mill, ,t Si. ■
P.Q.. and Moot RolU
P.Q.
Manitoba Finance Corporation Ltd.
In\eatment Brokers, Financial Agents, Etc.
Head Oftice :
410-11 Electric Rly. Chambers - Winnipeg, Man.
Phone Garry 38.S4
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba. Alberta Flour Mills, Limited
NIBLOCK & TULL, Limited
STOCK. BOND and GRAIN BROKERS
(Direct Private Wire)
Grain Elxchange
Calgary, Alta.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Branches— SASKATOON AND CALGARY
Canadian ManaRers
Ikv&stbent Corporatior op Canada, Ltd.
London Office; 4 Great Wi
Vancouver District Property
Expert Estate Agents and Managers
Property Bought and Sold, Valued. Rented and
Reported on. Correspondence invited.
WAGHORN GWYNN Co., Ltd. v.ncoov..
?^
Northern Securities, Limited
KSTAIiLISHEl) !'.««
GENERAL FINANCIAL BROKER
Confidential Advice on Brilith Columbia Invctlmtnti
Member of MnrtBage and Trust Companies Association of BritiKh Columbia
529 Pender Street W. VANCOUVER. B.C.
B. GKORGE HA.VSL'LD. J. P.. .Manaucr
MACAULAY & NICOLLS
INSURANCE OF ALL CLASSES
ESTATES MANAGED
746 Hastings Street - VANCOUVER, B.C.
C. H. .MACAULAY J. P. NICOLLS. .Votary Public.
P. M. LIDDELL & COMPANY
Investment Banl(crs. Fiical Agents
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
THE MONETARY TIMES
Volume 65.
Corporation Securities Market
Grand Trunk Railway Borrows Twentv-I' ive Millions in New York— Whole Issue Subscribed Within
One Hour -Massey-Harris Company Also Sells Securities in the I'nited States— Two (3ther Cana-
dian Corporations Making Loans— Trend of Stock Prices Irregular— Some Issues Retrieve Losses
AN iriet'ular stock market was in evidence at the close of
the New York c-xchange on October IJ. Industrial is-
sues, which had previously shown a slrengtheninK tendency,
developed a reactionary movement, while railroad stocks
were lower. ' Strength in some issues, however, prevented
any serious development. While business is in the course of
readjustment, it is only natural for the stock market to be
irregular, such as it has been for the past lew weeks. The
decrease of 2 per cent, in the reserve ratio of the New York
Re.serve Bank last week is an indication of conditions pre-
vailing. The decrease is accounted for by the needs and
demands of interior banks and by October I settlements.
Interior centres, as is quite natural at this time of the year,
are drawing heavily on New York and other reserve centres
for credits in connection with the crop financing. In addi-
tion, manufacturing centres are taxed to meet the needs of
borrowers whose inventories are affected by the current price
adjustments.
Canadian markets did not altogether follow Wall Street,
although the reactionary movement was prominent at times.
At the close, however, some (rood recoveries were made by
many issues which had lost during the week, indicating their
independence of New York. Temporarily, papers have ceased
to be the market favorites, and consequently have been
forced to lower levels. Spanish River was especially weak
in that section. Merger issues, which gave such a remark-
able exhibit of strength last week, failed to maintain that
position, .\tlantic Sugar was prominent among those stocks
which retrieved their losses.
Money continues to be the principal factor, and until the
situation changes, it is recognized that the stock markets
will continue their irregular course.
Grand Trunk Borrows in New York
OfTering of ?2.'),000,000 7 per cent. 20-year sinking fund
gold bonds of the Grand Trunk Railway was made this week
in New York, by a syndicate of American investment houses,
at par, and within one hour the whole issue was taken up.
This is the largest piece of financing made by a Canadian
corporation in the United Stntes since June last, when the
Canadian .National Railways floated a loan of $15,000,000
there. Canadian railway borrowings to date this year total
more than $70,000,000, and all of the securities have been
oisposed of across the line.
The bonds, which will be dated October 1, 1920, and will
mature t)ctober 1, li»40, will be the direct obligation of the
Gnmd Trunk Rjiilway, which now is pjirt of the Canadian
National Railways System, and will be guaranteed as to prin-
cipal, interest and sinking fund by the Pominion government.
An annual sinking fun<l of J.'.OIi.OOO is to be provided to pur-
chase bonds offered in the open market at prices up to par
and interest.
The syndicate offering the issue is headed by Wm. A.
Read and Co., and is comprised of the Guaranty Trust Co.,
the National City Co., the Bankers' Trust Co., Lee, Higgin-
son and Co., and Blair and Co., all of New York, and the
ContinenUil and Commercial Trust and Savings Bank of
Chicago.
Massey-Harris Offering
Another piece of financing of considerable importance
is also being completed in New York. Wm. A. Read and
Co. announce the offering of $4,000,000 8 per cent, sinking
fund gold debenture bonds, dated October 1.^, 1920, and mat-
uring October 15, 1930, of the Massey-Harris Co., at par
and interest. The bonds are a joint obligation of the Massey-
Harris Co., Ltd., Canada, and the Massey-Harris Harvester
Co. Inc., of the United States.
The business carried on by the Massey-Harris Co., Ltd.,
was established in 1847 and the company is now the largest
manufacturer of agtricultural implements in the British
empire. The company operates throughout Canada, and has
large business in Great Britain, Australia and other parts
of the British empire, and in Europe, South America
and Africa. The business of the Massey-Harris Harvester
Co., the United States subsidiary, was established in 1850.
It is understood that the whole amount raised by the
sale of the bond issue will be required for extension of the
American subsidiary at Batavia, N.Y.
Ottawa Power Bonds
One of the largest recent pieces of Canadian public
utility financing, and one that is believed to be the fore-
runner of important hydro-electric development in and about
the city of Ottawa, is the purchase by Royal Securities Cor-
poration and Harris, Forbes and Co., for issue in the United
States, of $1,200,000 first mortgage and collateral trust bonds
of the Ottawa Light. Heat and Power Co.
There are upwards of 1,000,000 h.p. of water power
available in the Ottawa district, and it is understood that
the proceeds of the new issue will be largely utilized to
acquire additional developed water power, the purchase of
which i.« rendered necessary by the rapid growth of the Ot-
tawa Light. Heat and Power Co. It will be recalled that the
last public financing effected by the company was the issue in
March, 1919, by Royal Securities Corporation of $850,000
of Ottawa Gas Co. refunding mortgage bonds.
The new bonds will be almost wholly distributed in the
United States, principal and interest being payable in New
(Cnniimtrti on pnni- J,9)
UNLISTED ShCURlTlHS
British Amcr. A»surancc
Can. Machinery com.
. .pref. '
Can. Oil torn. m
Can. WcstinilhQUH I ISO
Can WoolltnK ..com.. SS
Co. I ' ■• !" " nraf.i «0
C. M •> 91
c- .c,..: 7J
'«
w
■w
rtsa
1' !10
•o
«t
M.M
.'7
» '
US
*i
:i«
iii ,
.Stcxican .Not. l*owrr..ft
Murr -K. .n, pr««
.National Lift | l«P
North.Am»r. Ihilp.
North Star Oil com
prcf-
^r-.i steel "■^i'rV
7S
Ask 1
79
17$
206
as
l»2 !
!»
61
9
VI
70
IW
...
6. IS
4.50
.
4.50
S.«
3 W
IS
W
9.<
!<S
89
ai
Kl
.^
74
85
77
KVKndiHti
ImK llank
linRCaal. .
■"...
com.
>ntn I'apcr
into Power
-1 * Guar.
5-5
. . .6-s
(1924)
cdCiRar Stores
tern Assurance
com.
.pfd.
October 8, 1920
THE MONETARY TIMES
We Offer
SCHOOL BONDS
Province of Alberta
I Maturing 10 and 15 Yean,
to ukid I
7 to 7%% j
We Specially Recommend these Bonds as Sound Inveslmenti
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto Bldg. Royal Bank Chambers
EDMONTON CALGARY
DEALERS IN
Government, Municipal
and Corporation Bonds
Correspondenct Solicited
A. H. Martens 8c Company
'Members Toronto Stock Bxchangei
ROYAL BANK BUILDING, TORONTO
61 Broadway,
New York, N.Y.
Harris Trust Bldg.,
Chicago, III.
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS-
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Memb<;r8 of Winnipeg Real Estate Exchange, Winnipeg Stock Exchange
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings also any British
Columbia Guvernment and Municipal issues.
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C.
Victoria, B.C.
Rubber Holds Premier Place
IMjLSTKIAL enterprises basej on commiiiiities .ire kntwn js tl.i:
safest and most protitable investmerts— among the commodities of
modern times. Rubber holds a premier place.
The Rubber Co of Canada, Limited, has absorbed the Panther Rubber
Co. Limited, if Sherbrouke. Que.
Production is now rapioly increasinfi. the estimated output for the cur-
rent year endinti December tist, 1920. being over JfOO.OCO. with profits of
at least *15n.000
You can participate in these profits by investing in the Rubber Co. of
Canada, Limited.
s per cent. Cumulative and Participating Preferred. Stock carries a
•iS rcr cent bonus in Common.
Look inio il. Ask ui.
R. M. HEFFERMAN & CO., Limited
l.\yESTME.\T BROKERS
HEAD OFFICE : 204 Jackson Building, OTTAWA
n PHONE: 6096 QUEEN ;,, t i,,|s
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
I'mvATB WiHm TO WINNIPKO. CHICAGO. fOKONTO.
MONTREAL AND NEW YORK
A Newspaper Devoted to
Municipal Bonds
■yHERE is published in New York City a daily
^ and weekly new,spaper which has for over
twenty-five years been devoted to muin'cipal
bonds. Bankers, bond dealers, investors and
public officials consider it an authority in its
field. Municipalities consider it the logical
medium in which to announce bond ofFerinf^s.
Write for free specimen copies
THE BOND BUYER
67 Pearl Street
New York, N.Y.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OKFER OLR COUNSEL AND ADVIfK
Willoughby Sumner Limited
Eluabliahed I900l
Mrmbei. of .he Winnipeg Gr.in Elch.nge
Private aire to Winniiicg. Toronto. Montreal. Chicago
and tX'eai Yoric
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
fl»Mltl:ll.->«<'<'l. i:!!!!!'!! iUl. bill
iFiKurcs kiirplicd by Uuiivktt & Co.)
Hliirku
' Sales
Open
iHiijh
Low
Clos
Abitibi P.* P.... (new)
•flIS
78
79}
77
78
• Pfd
Ames Holdcn pM
' 71fl
S9(
S9t
S3
S3
93
93
97
pfd
1 N7
lOli
104
101)
103
Atlunlic SuKar
sun
1321
132 J
113}
120
...pfd
•-'
123
123
123
123
nell Telephone
121:
100
101
100
101
Brazilian T.L.* Power
.W42
3St
38t
35i
:«
Bromptan Pulp & P. . .
8IISI
77
80
76jl
77J
S9
574
58
57?
SK
...pfd.
64
90
90
90
90
Can.Cun
IS
75
75
75
75
Canadian Cottons
SO
89
90
89
»U
• ...pfd.
25
79
79
78
79
20
42
42
414
42
•• ....pfd.
SS
89
»U
89
914
CP.R
Canadian Gen. Elcc...
■m
9Hj
99
«8
9H'
882
85
65
8,34
r,5
• ■■ pfd.
3.'2 K
75i
75
7.^'
" ■• Vot. Trust
200 St
64
84
81
Con.,MininK«Smcl....
301 2l4
25
244
2i
Oct. Kys
395 103
103
103
mi
Dom. C;inner«
sol 47
47
45
45
Dominion Bridge
4*' 87
87
Sfii
8fi(
Dom. Coal pfd.
10] 79
79
79
79
3S7| 66il
Hdi
85
85
...pfd.
M 87
87»
86J
874
Dom. Iron pfd.
Dom. Steel Corp
iisn 57
571
51
S54
pfd.
90 87
67
67
67
390 V.M
131
128
128
..pfd.
10 98t
98J
9Si
98)
Howard Smith
iw iei
165
164
165
. ...pfd.
Lake of the Woods..
Rl
IS8
158
ise
15S
..pfd.
1441
'i-ft
113
noi
lis
Macdonald Co
l»
32
91
32
Mont. Cots. Ltd
1
pfd.
Montreal Power.
74- '-"
M
''
M
Telcdraph. ..
Tram Deb. ..
2900 I-.7
H7
87
hi
National Breweries....
2091!' M
ett
63
63i
URilvIe PInur .Mills. ...
1
.pfd.
40. lOt
101
101
ioi
Ont. Steel Prod
425 70
70
68
KK
....pfd.
is iao
38 79
130
79
iso
7»S
pfd.
784
■a no
420' 28g
no
281
iin
274
no
.Quebec IJy. L. H.&P..
2X
RIordnn Pulp A P
1572 206
217
202
211
pfd.
'
St. L..« fence PI. Mills.
Si 90
90
!»
9(1
Shnwinit.in SV.AP ...
483 106
lOAi
I(l5i
IU6i
5 80
80
(to
80
Sp.inish Uivcr
44aS Il7i
121
H2|
113
■■ Div.Vou.
... .'
pfd.
33421 124
124
1184
117
St. Maurice . . .
.W \M
ISO
;.w
I.V)
Steel Co. of Canada...
789| «Si
67
85
pfd.
lOi 92
Toronto Hy. Co
407 44
48
44
48
Twin City
10 40
40
25 70
70
70
Wayailamack P.AP..
135 140
140
1384
WindMir Hy
Woods .Mfil. Co
S3| 7Si
m
7»J
..pfd
m' n
82
82
K2
WIn.lsor Motel
•IC -A
70
70
70
Winnlpcd Ky
34
Bmihs
175
175
175
.10 l.V.
I.5S
124 173!
1731
I8N
IW
» I7;J
I77J
1771
1771
.« IR9
IW
1H7
ll«7
Nova Scot...
II 245
245
i45
24.*
Royal
Union
i: 201
auo
"i 145
145
■ 45
145
•anil*
1
1100! 77
V
"
Bell Telephone Co
1000
uo;
•m
»j
iwj
Can. Cement
Can. Cottons .
Cedars Rsptds MVt..
Can. Huhher
City MonI I>.
Dom. Can. \\
tloMKKAL-
Salcs Open, High Low Close
Dom. Cottons
Dom. Coal
Dom. Textile A
B...
Lake of Woods ....
.Montreal Power. .
Montreal Fr. deb...
U.S. Steel
Odilvic FInur
Penmans
Price llroH
Quebec Hy.L. H.4P..
Kior.lun Pulp & Paper
She rwm- Williams.
Spanish River
Steel Co. of Canada..
Waba-so Cotton
Waynrtnmnck P. & P. .
Windsor Hotel
1200
3O00
1 1100
1 1000
7000
67001
80i
'eo'l 'so"
lOltllMO Meik lllileil Or
Hlocks
Atlantic Sugar
Abitibi 1
AnK-6 Holdcn pfd.j
Hareelonn
Bell Telephone
Brazilian Traction. ...
Burt. K. N
pfd.l
Can. Bread |
Canada Cement i
■■ ...pfd.!
Can. Gen. Blec.
. .pfd.i.
Canada Steamship —
pfd..
Canncrs
pfd.;
Canadian Pacific R...
17751 44
30 101
l»42 354
25 4Si 4$i
Diiluth
Lake of Woods . .
Uko pfd
.Mackay Companies
NS.Car....
.Maple Leaf
N.S. Car...l
10 149 149
Nipissing '
N.Scotia
Pac. Burt .
Pro»-. Paper I
Port Rico pfd.l
Quebec R.L.H. ftp '.
Roijera '
'■ pfd.
Salcsbook pfd.
Spanish River
. pfd.,
Sh. Wheal
Smelters
Steel Company
..pfd.
Steel Corp I
Toronto Ry.
Trelhcway
Twm City com.
704
64]
974 97 974
118 I 118 112 112)
1181
l:«J
VM 174
17 IW
77: 177
Royal..
Standard
Toronto. .
Vninn..
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IK74 : 1874 1874
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War Loans
I SalcslOpen High Low
Dom.Can.W.Loan.lvaS IR300
1931 20600
1937 J7100'
Victory Loan 1922
I92J
1927
1933
1937
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Sales
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Victory Loan 1922
116500
98
•98
98
98
■• 1923
" 1924
100
97
97
97
97
•• 1937
9800
98
98
M*
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■• 1933
27000
964
964
964
964
•• 1934
2S4S0
93
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2500
9-li
92t
91
91
" 1331
Lnion Bank...
Can. National Fire L<
KEW Y4iKK— Weeh ended <>rl. inA.
I Salesi Open High Low
. S'V. 1921! 35000 .... 98)
S4% 1921 1120001 99
1926 190C0' 90J
54% 19291 2SO00| 93
5%
1931 41000 91
Scic York Curb —
British Empire
To pfd.
Canada Copper.
4li
20
i
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LO^'DO.V. Kug.— Wfch ended Sept. mh.
tiov'l. A Mnn.
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3%
34"» 1930 SO
.4% 1940.60
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.1% 1888
.Montreal 4)% Reg
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N.Vancouvcr 44'V
Ottawa 4% debs
Quebec 4"„ bds. 18.SS..
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RcKina 44",. deb
Sailiatchewan 4% 1923
Sask. .<i'\.deb. 192434
4'",, 19(1.81
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Toronto 4i% deb
Victoria 4j'S, cons. 1962
34'V. 1921-6..
4%.
5('V> 1924-34..
C.\or.Pac.4"„Rr.deb..V)
Can Nor. 4'V dch. IXf9
' 4% deb. 1934.
" 4"l. deb. 19.10.
Can. Pac
" 4'i. dch
■ .4% pfd.
(". T.P. Br. 4"., Hd 1930
OT.P. 3%bds
O.T. P. 4% 1955
O T P 4% deb.
("•r. Trunk 4% guar.
Gr. Trunk5% 1st. pfd..
Or Trunk 5% 2nd pfd
r.t Trunk 4% cons
<>m * Quebec .?% deb
.1 44 V, deb. -42
III.. Fin., Eir.
r8-„
71t
Can. Cement 7% pfd..
e't.pfd..
C.W. Lumber .S% debs.
Bk. nf Commerce
Bank of Montreal | 47}
October 8, 1920
THE MONETARY TIMES
CO-OPERATION SECURITIES MARKET
(Continued from page 1,6)
York funds. The issue is in line with a distinct revival of
public interest in securities of public utility enterprises.
Provincial Paper Bond.s
The Provincial Paper Mills, Ltd., have been authorized
to issue $3,000,000 bonds, but only $1,000,000 will be sold at
present. The bonds to be disposed of now bear interest at
G per cent., are dated May 1, 1920, mature in twenty years,
and are payable both in Canada and the United States. 1.
H. Weldon, president of the company, makes the following
comment: —
"This course was taken because of the substantial profit
which the company would receive in selling bonds in Ameri-
L-an funds and converting the proceed.s into Canadian funds.
The above amount is offered to shareholders in the company
for subscription on or before November 1, 1920, at par in
-American funds. For the convenience of all Canadian share-
holders, the price to them is fixed at $1,100 in Canadian funds
for each $1,000 bond, payment in full to be made on or before
November 1, 1920. Each bond will be accompanied by a
stock purchase warrant, which will enable the holder thereof
to purchase eight shares of stock upon the terms and con-
ditions therein named."
The stock purchase warrant entitles the holder to buy
eight common shares of the par value of .$100 each before
November 1, 1925, at the following prices: $125 per shai-e
up to November 1, 1921; $140 between that date and No-
vember 1, 1923; and $150 if purchased between the latter
date and November 1, 1925.
Capitalization Increases
R. J. Whitla and Co., Ltd., incorporated under the laws
of Saskatchewan with a capital- of $2,000,000, have been
authorized to increase their capital stock to $4,000,000.
The N. Bawlf Grain Co., Ltd., has been authorized by
the Saskatchewan government to increase its capitalization
from $1,000,000 to $2,000,000, by the issue of 10,000 shares
of $100 each.
Stock of the Magnolia Metal Co. of Canada, Ltd., will
be absorbed privately. The company was recently incor-
porated with a capital of $100,000 and head office at Mont-
real, Que.
Burdick Bros., Ltd., investment bankers, Vancouver
and Victoria, B.C., are offering $300,000 8 per cent, first
mortgage gold bonds of the Paramount Victoria Theatres,
Ltd., in denominations of $100, $500 and $1,000, at par and
interest, with a bonus of 50 per cent., common stock. The
bonds are secured by building, property and other assets
to the total value of the issue, and are redeemable at the
option of the company at 105 and accrued interest. Redemp-
tion of the bonds at maturity is provided for by sinking fund,
to be commenced in January, 1923.
The Pyke Yacht Motor Co., Ltd., recently incorporated
with a capital of $200,000, and with head office in Mont-
real, are selling stock privately to customers and motor boat
owners throughout Cana(hi. .Mready half of the issue has
been subscribed for.
The Robert McDonald, Ltd., diamond merchants, etc.,
lecently incorporated at Vancouver with a capital of $100,-
000, will make no public offering of stock. All shares are
being absorbed privately. Such is the case of the Giant Motor
Truck Co., Ltd., also incorporated at Vancouver recently
with a capital of $100,000.
Option for Western Power Stock
A recent issue of the "Wall Street Journal" contains
the following announcement: —
"A committee composed of M. H. Coggeshall and Bay-
ard Dominick has addressed a letter to the stockholders
of the Western Power Co. of Canada, Ltd., advising them
that interests ai-e seeking an option on the preferred and
common stocks of the company. Option price is stated to
be $70 a ^hare for the preferred and $35.10 for the common
stock, payable in Canadian currency.
"The committee advises shareholders that at the re-
quest of seveial large holders of stock it has entered into-
agreement with the Chartered Trust & Executor Co. of Tor-
onto, whereby the latter is given an option until Novemb-^'-
1, 1920, on all stock which may be deposited. Shareholders
wishing to take adavntage of the option agreement are asked
to deposit their stock with the Canadian Bank of Commerce.
Upon deposit of at least h(^:21"i of the common and 51.99%
of the preferred the option will be exercised.
"The letter states that inability of the company to do
new financing on favorable terms which is necessary to
provide funds for additions and extensions, makes the entry
of new interests into the affairs of the company desirable."
Supplementary letters have been issued to the Canadian
Fairbanks-Morse Co., Ltd., subdividing the 1(1,000 shares of
the common stock of the company now of the par value of
$100 each, into 80,000 common shares of no nominal or par
value, and also increasing the capital stock of the company
by the addition of 45,000 common shares of no nominal or
par value, making the common ^tock of the company 125,000
shares of no nominal or par value, provided, however, that
the company shall carry on its business with a capital stock
of $2,125,000.
The new stock of the Burlington Steel Co., Ltd., of which
particulars were given in these columns last week, will not
be available to the public. The Imperial Varni.^h and Color
Co., Ltd., Toronto, also makj a similar announcement.
A stock selling campaign will be put on in October by
the Alberta Flour Mills, Ltd., according to an announcement
made by J. A. Burgess, financial agent of the company. The
company hopes to dispose of $1,500,000 of stock to provide
the funds necessary for the large new mill at Calgary.
The
ESSEX W UNION |
INSURANCE COMPANY. LIMITED
FOR REINSURANCES
Head Office:
9 & 10, GEORGE YARD, LOMBARD ST.. LONDON, E.C.3
Telegrams: ■■Esumnco. Leid. London. ■■ Telephone Avksu k ;'■■>
WE ANNOUNCE—
tlir opcni.iK "f n BRANCH OFFICE i.i th<- CITY
OF HAMILTON, ONTARIO, at SUITE 22. SUN
LIFE BUILDING, for tl.c better nccommodnlion
of our client, in thnt city and in the Ningnra
Pcnintuln generally.
Manager, - - - D. S. SECORD
Federal Finance Corporation
LIMITED
1605 Royal Bank Building, Toronto w.!
THE MONETARY TIMES
Volume '■
Corporation Finance
Luke ol the Woods Milling Prolits lx)wer, but Position is Strengthened— Spanish River
Common Placed on Seven Per Ctnl. Dividend Basis-Ford Motor of Canada Earns
Sixty-Seven Per Cent, on Capital— Lower Tonnage but Higher Profits for Hollinger
I'ortu Kito liuilways Co., Ltd. — The following is a com-
jiniative statement of earnings of the company for the
month of August, 1920: —
191'j. 1920. Increase.
Gross $ 95,8G1 $119,232 $ 23,370
Net 41,335 48,668 7,333
For eight months:
Gross 750,:i27 906,257 153,929
Net 285,424 350,285 64,860
Ottawa Electric Kailway. — The Board of Control of the
city of Ottawa has recommended to the city council that a
plebiscite be held in January next, at which property holders
will vote whether or not to acquire the railway at a price
to be fixed by arbitration. If the recommendation is ap-
proved the board will obtain a valuation of the properly and
assets of the lailway before the vote is taken. Finally, if
the ratepayers approve, the city will go to the legislature for
power to borrow the necessary amount of money to be in-
volved in the undertaking.
Ford Motor Co. of Canada. — George M. McGregor, vice-
president and general manager of the company, reports that
net profits for the year were $4,696,243, after deduction of
$968,590 in business profits, taxes and all other expenses.
Dividends paid amounted to f 1,750,000, leaving surplus on
July 31 last at $8,21(;,305, us compared with ?5,270,061 at
July 31, 1919. The showing is made on a production of 55,616
cars, exclusive of tractors, and compared with 39,112 manu-
factured the previous year, and 75,000 to be produced the
current fiscal year.
The profits earned were equivalent to 67 per cent, on the
out.standing capital stock of $7,000,000.
Laurcntide Co., Ltd. — .\t the annual meeting of the com-
pany in Montreal Inst week, replying to a shareholder, who
referred to the item of $2,812,859 in bank loans, contained
in the statement submitted, Geo. Chahoon, president, said
that the extensions, acquisition of new limits and the retir-
ing of the company's entire bond issue outstanding at the
lieginning of the year were all factors reflected in the posi-
tion referred to. .\s to whether such loans would be liqui-
dated out of earnings, he stated that, as had been the case
in previous Lnurentido statements, the item would probably
"melt away" within a rensonabU- time.
Itnrrcliina Traction. I.i>;hl and I'ower Co. — The increase
in the !icl earnings of the company in August was the second
lowest monthly increase registered this year, owing to the
continuance of the labor trouble in Barcelona, Spain. A
record of gross and net earnings since the beginning of the
fiscal year, together with the increase of net over Inst year,
follows:
Gross. Net. Net inc.
(pesetas) (pesetas) (pesetas)
March 2.533.815 1,695,141 754.489
April 2,676.148 1,767.913 782.874
May 2,647,592 1,767,311 628.785
June 2.623.998 1.618.187 488,939
July 2.542.202 1..570.414 461.773
August 2.715.020 1.716.904 46.3.831
Spanish River Pulp and I'apcr Co. — M the annual meet-
ing of the company on September 30 Inst, the common jttock
was placed on a 7 per cent, dividend basis by the declara-
tion of a quarterly rate of 1% per cent., payable to share-
holders at record September .30. on Octol>cr 16. The meet-
ing was of a routine character, about 90 per cent, of the
outstanding common and preferred stock being represented,
mostly by proxy. The former directors were re-elected and
subsequently the following officers were elected: President,
G. H. Mead; vice-presidents, P. B. Wilson and Thos. Gibson;
secretary, J. G. Gibson; and treasurer, A. H. Chitty. Follow-
ing the "meeting President Mead, discussing the possibilities
of supply catching up on demand, said that none could tell
when that would take place, or what further falling off in
general business was likely. If anything like the norma)
demand continued, it would be some time before the demand
for paper products was equalled by the supply. The com-
pany's entire output is now being marketed at one price.
Replying to a vote of thanks. President Mead said: "The
company has been conservatively dealt with at all times and
rather with the thought in mind of permanency than of any
temporary value which might accrue to the benefit of the
security holders, and we hope we have built firmly enough
to make the company a lasting property."
Lake of the Woods Milling Co. — Total profits earned by
the company, according to the financial statement for the
year ended August 31, 1920, which was made public to-day,
amounted to $7.32,232, compared with $756,616 a year ago,
and $857,914 in the 1917-18 period. After the payment of
the bond interest and dividend disbursements among pre-
ferred shareholders, which showed no variation from the
previous year, there remained a balance applicable to the
junior securities of the company, before the writing oflf of
the usual $100,000 from property and goodwill accounts, of
$573,232, against $597,616 a year ago, and $698,914 in the
preceding period. Allowing for the increase in the common
stock capitalization effected during the year, the year's results
were equivalent to approximately 23.4 per cent, on the shares,
compared to 28.5 per cent, last year, and 33.3 per cent in
1918. After all deductions, which included payments to com-
mon shareholders of $294,000 unchanged from the previous
year, there remained a surplus of $179,232 to carry into the
accounts of the current year, bringing the balance remaining
at the credit of profit and loss account up to $1,161,647.
While profits were lower, the balance sheet of the com-
pany showed a decided strengthening in the position of the
company. As will be seen from the following figures, the
working capital was greatly increased: —
1920. 1919. 1918.
$4,659,629 $3,530,385 $2,618,645
1.177,540 1,293,530 921,9.38
3,481.089 2,236,855 1,696,707
Other principal changes in the balance sheet, are as
follows: —
1920. 1919.
Plant, etc $3,130,658 $3,145,558'
Less depreciation 50,000 50,000
Current assets . . .
Current liabilities
Working capital
$3,080,558
Goodwill 400,000
Equipment 75,979
Wheat, flour, etc 1,052,567
Total assets 8,139,187
$3,095,558
450,000
84.665
1.062,687
7..375.944
Hollinger Consolidated Gold Mines. Ltd.— Notwithstand-
ing fewer employees and lower tonnage per day. the com-
pany has made a higher inofit so far this year, according to
an interim report just issued. The improved position is
stated to l)c due to the payment in New York funds for gold
sold to the Ottawa mint, the premium being higher this year
than in 1919. The interim statement covers the period from
October 8, 1920
THE M O X E T A R Y TIMES
Norwich Union
FIRE INSURANCE
SOCIETY LIMITED
(Founded Py7)
Norwich, England
Fire Insurance
Accident and Sickness
Employers' Liability
Plate Glass
Automobile Insurance
Head Office for Canada:
NORWICH UNION BUILDING
12-14 Wellington St. E., Toronto
Lake St. John Pulp & Paper
Company, Limited
Incorporated under ihc Comp.nies' Act of the Dom. of C.n.
Authorized Capital, $4,000,000
20,000 Shares of 8 Cumulative Non-parlicipating PreferreJ
Stock 20,000 Sharei Common Stock.
A Wonderful Opportunity
for Investors
Canada's great timber reserves and
wonderful water powers, and the
continued growth of our Pulp and
Paper Industry.
The Lake St. John Pulp & Paper Company. Limited,
ha» vast pulpwood areas in the heart of a thickly
populated country, close to railways and water routes,
unlimited water powers of its own and great pulp-
wood tracts of land to draw from for many years to
come.
The Lake St. John Pulp Syndicate, having under-
written some of the stock of the Company, they are
now offering it to investors. It is one of the best and
most attractive offerings made for many years.
Write or 'phcne for particulars to the
Lake St. John Pulp Syndicate
Room 8 - 157 St. James St., MONTREAL
Phone M.Tin 6,301
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
•Januai.N i uj .September 8, and the figures are as follows,
with comparisons: —
1920. 1919.
Total income ?4,866,o97 $4,839,845
Total expenditure, including
maintenance 2,285,22.3 2,431.636
Net profit .$2,581,374 . ?2,408,209
Expenditure for plant 116,34fi 242,149
Dividends paid to October 6 l,47i;,000 1,230,000
Average number of men employed —
.Mine 6G6 832
Mill 138 145
General 266 286
Total 1.070 1.263
Average tons per day —
Broken 2,037 2,159
Milled 1,838 1,902
-Approximate number of shareholders, 2,600.
POST-OFFICE SAVINCS H.VNK
Deposits in the post-office savings bank during July,
1920. were $614,814, as compared with $561,829 in previous
month. The position of the bank was further improved by
a reduction of about ?170,000 in withdrawals. The following
are the July figures as published by the Finance Depart-
ment:—
I)l!it)»lTS in the Post Office S.TV-
inns Bank during month 614 SU.82
Trassi'ERH from Dominion Gov-
ernment Savings Bank durirg
month:— |
PniNCII'AL I ,
Iktkhhst accrued j
from 1st April to I i
dale of transfer
DrpoRlTB transferred from the
PostOfticc SavingsBinkof ihc
United Kingdrm lo the Post
Office Saviniis Bank of Canada 14.957.90
,.... MHST ac.;rucd nn dcposilom'
accounts and made prioctpal.
■II.* \|..r..|. taffn |-..f itn-ita. I
31st .March IS>20.
Intknest allowed to Dcpositorsi
on accounts closed duringj
month-. i
BAiJtscR at ihcrredit
of IHpositors* ac-
count* on 3l»t
'29.7M,42I.40
THE MONETARY TIMES
K E C E N T 1" IKES
lUisini-ss Seclion of UrumhclU'r Destroyed, Loss $50,000 —
Itusimss Section ol drassey Lake Destroyed, Loss of
SO.'i.OOO— Nanlon Court Apartments, Toronto, $50,000
Kahiclava, Ont. — October 2 — Large frame barn of Daniel
.Stewart was destroyed by fire. The loss is $8,500, partly
covered by Insurance.
Harrie. Ont.— October 4 — Stables of Dr. Alfred Morren,
Collier Street, were destroyed, together with the contents.
The loss is $5,000.
Darmoody, Sask. — September 27 — Johnson's general
store and Brown Brothers' hardware store were destroyed
by (ire. The loss is $10,000, with $6,700 insurance.
Drumhellcr, Alia. — October 2 — A serious fire broke out,
destroying the Drumheller Cafe, Fossko's grocery store,
Skiner and Waites' bowling alley, the Drumheller Club, and
partially 'lestroying Vickers' garage. The loss is $50,000.
{Jrassey Lake, .Vita. — October 1 — Business section was
damaged by fire. The loss is estimated at $65,000, partly
covereii by insurance.
Hamilton, Ont. — September 30 — Thompson's drug store,
C72 Barton Street East, was damaged bv fire. The loss is
!<:i,ooo.
Havelock, Ont. — September 29 — Grocery and bakeshop
of G. R. McGregor were destroyed. The loss is $12,000, partly
cos'ered by insurance.
Kenora, Ont. — September 29 — Grocery store of Martin
and I'oirtier was damaged. Loss is $10,000.
Kitchener, Ont. — October -1 — Barn on the farm of Philip
Weber, on the road between St. Jacob's and Elmira, was
totally destroyed by fire. The loss is $6,000, partly covered
by insurance.
Mcaford, Ont. — October 2 — Apple evaporator, owned and
operated by Reid and Gower, was damaged by fire. The loss
is estimated at $H,000, partly covered by insurance.
(Juebec, (Jue. — October 1 — Linioilou Convent, on Eighth
.Avenue, was <lamage<i by fire. The fire is believed to have
been caused by a spark from a nearby mill.
Seeley's Bay, Ont. — September 29— Barn of C. Blackman
was struck by lightning and destroyed. The loss is heavy,
and partly covered with an insurance of $1,500.
Shcrbrooke, (Jue. — October 2 — Three large bams and
the storage houses on Alderman William Brault's farm on
the Brompton Road were destroyed, causing a loss of $:t0,000,
with insurance of $1>,000.
Toronto, Ont. — October 1— N'onton Court Apartments.
Uosedale, were damaged by fire. The loss is $50,000.
Wat.Hon, Sask. — September 25 — Green and Ketchen
garage diiiiiaged by lire. The loss is $20,000.
Ynrkcr, Ont.— September 27— Barn of Alfred Galbraith
was damaged by fire. The fire was caused by lightning, and
the insurance was $700.
.vnmiHiNM. IMORM.VTION CONCERNING KIKES
llr.iviTton, Ont. — September 15— Cupola and core-room
of .Sn>ith Brothers was damaged by fire. The fire was caused
from the oven. The total loss was $950, with insurance of
$2,000 in the Gore District.
Milford. Ont. — September 6 — St, Philip's Anglican
Church was damaged by fire. The fire was caused by light-
ning. The loss is $3,500, with $1,250 insurance in the London
Mutual.
M',><ii.,l<n. — During i^" ■<-■■■'»>' ■■<■ ImI>- ii^.-rn have been
i I ted, with ,v have been
■••>. Tb'To ^' r^iT" d.ini-
the
,-: 15.
comiiusliuii ^i, vxplosiuhs 4, and tvporled un-
Ontario.— During the month of August there were 592
fires, with losses of $157,592. Lightning caused 139 fires.
There were 101 farm barns destroyed.
Toronto, Ont. — Fire department records for the month
of September show that that were 149 alarms. Estimated I
total damage, $39,527; loss to contents, $24,910. There were |
thirteen fires caused from dumps and grass and twelve fromj
children playing with matches.
Vancouver, B.C.— September 2 — Three suites, owned by
T. A. Linesley. The loss was $3,800, with insurance of $100,-
000 in the following companies: Union Assurance, Canada
Accident, Car and General, Palatine, New York Underwriters, j
Providence, California. London Underwriters, Niagara, Mer-|
cantilc. National Union and Hartford. ' I
Vancouver, B.C. — September 'j — The fire chief of Van-!
couver has sent the following information regarding the fire|
in the Empire Building on September 5th: —
"The value of the building is given as $70,000, with in-
surance to the amount of $56,000 carried on same in the
following companies: Norwich Union, Agricultural, Vulcan,
Fidelity-Phenix and Continental. The loss is estimated at
around $1,500 to $2,000 (building only). Damage to contents!
is set at $130 (no insurance carried covering same). The,
total value of contents is given as $72,050, with insurance]
en same to the amount of $45,600. ' t
"The cause of the fire is undoubtedly 'incendiary,' thej
fire having been started in some old paper in the hallway j
(corner), second floor, north side of the building. I would
add that a number of fires, all of incendiary origin, occurred
within a few days only of the above, and all about the same
hour, as follows: Fairfield Block, September 1st, 9.58 p.m.;'
loss about $9,500. Tunstall Block, September 2nd, 12.42 a.m.;
loss about $15,000. 609 Pender Street West, September 2nd,|
2.14 a.m. (rooming house); loss about $65. Park Roomsj
(rooming house), September 2nd, 4.30 a.m.; loss estimated
at $250. Moore printing establishment, 319 Pender Street
West, September 3rd, 11.52 p.m.; estimated loss, $250.
.-■pol,UllR>UU»
known 22.
OMARIO FIKK PREVENTION LEAGUK
The annual meeting of the Ontario Fire Prevention
League was held in Toronto on October 5th. The following
officers for 1920-21 were elected: Honorary president, Hon.
E. C. Drury; president, .\rthur Hewitt; first vice-president,
J. M. Watt, London; second vice-pi-esident, G. C. Martin.j
Hamilton; secretary-treasurer, George F. Lewis, Toronto. j
Prohibition of wooden shingle roofs on dwellings not
situated more than 50 feet from adjacent structures was
advocated by J. B. I^jiidlaw, manager of the Norwich Union
Fire Insurance Society, in an address before the meeting.,
After brief discussion of his resolution to seek legislationi
along these lines the convention endorsed his views.
In his report as secretary-treasurer, George Lewis said
that during the first eight months of 1920 there were 626
fires in Ontjirio, with losses of $7,361,380, and insurance,,
$5,309,214. For the first eight months of 1919 the figures
were: Fires. 6,351; total losses. $7,:i.52,501; and in 1918, fires,
7,484, loss, $10,079,491. Fire losses in the United States and
Canada, he said, were ten times those of European countries.
Two acts which it is proposed to have introduced at the
next session of the Ontario legislatuie were discussed. One
deals with lightning rods and their installation. The othei
is to regulate the location, construction and operation of 'dry-
cleaning establishments using g.Tsoline.
Fire Marshal E. P. Hcaton, of Ontario, in a short ad-
dress, estimated that SO per cent, of the fires in the province
are preventable. Other speakers were Franklin H. Went-
worth, secretary of the National Fire Protection Association,
Boston; John B. Laidlaw, manager of the Norwich Unior
Fire Insurance Society. Toronto; W. H. Shapley, president
of the Dominion Fire Protection Association; and Arthui
Hewctt, president of the League.
f'' PcPLISHKlj liMRv Fi;ii;av
•The Monetary Times
Printing Company
of Canada, Lirr.it-.d
'The Canadian Engineer""
Trade Review and Insurance Chronicle
of (TanaDa
Established 1867
Old as Confederation
JAS. J. SAL.MOND
Prpsideot and General Manager'
A. E. JENNINGS
AS8l8t&nt General Manager
JOSEPH BLACK
Secretary
A. McKAGUE
Editor
Debt Repayment by Equal Annual Instalments
Instalment Debentures Make Sinking Fund Unnecessary — Advantages to Municipality INlore
Than Compensate for Any Difference in Price Obtained — Mathematical Difficulties Sometimes
Prevent Use of This Form — A Simple Method of Calculating Amount of Instalments
By J. G. Sullivan,
Consulting Engineer, Winnipeg, Man.
WITH the exception of cases where very long term bonds
are issued on securities that have more or less un-
changeable value and where it is contemplated that new bonds
will be issued to take care of the old ones when they fall due,
two general methods of financing are usually followed. First,
the individual usually gives a mortgage on some security,
under an agreement that he will pay a certain amount of the
liability each year with interest at the agreed rate and make
final settlement at the end of the term of the mortgage; the
.second method followed by municipalities, cities and small
corporations is to sell bonds bearing an agreed rate of in-
terest payable annually, the amount of the bond becoming
due at the end of a limited number of years, usually varying
between 1.5 and 30. The municipality, city or corporation
prepare themselves to meet the obligation by creating a
linking fund, that is, levying an amount of tax or setting
iside an amount out of the business as the case may be,
which, put out at interest (usually at a rate considerably
lower than the rate of interest they are compelled to pay
on the bond), so that at the end of the given period the fund
thus created will be sufficient to meet the obligation.
The writer believes, that a third method — namely, of
liquidating the debt by equal annual payments, would in gen-
eral be more satisfactory and better adapted to rural muni-
lipalities and small business concerns, who, in a great many
cases, do not have the facilities or the knowledge to properly
handle a sinking fund. This latter method would have the
advantage that the taxpayer or small business man would
not in general be penalized on account of the different rate
of interest they would have to pay and what they would re-
five on a sinking fund, and the writer believes further that
-uch bonds would in general command about as high a price
as the bond requiring a single payment at the end of the
term of the life of bond, for the reason that the liability
would be constantly decreasing, therefore the security of the
londholder would always be getting safer and it would be
inly carrying out a principle that is usually insisted on by
trust and mortgage companies when making loans to indi-
viduals.
Calculating Amount of Payments
In discussing this matter with the officials of a rural
municipality, the writer was told by the officials that they
would like to issue such debentures, but they did not know-
how to figure out the amount of the annual payments. This
may be the reason why this form of debenture is not more
popular. The problem, however, is not a very difficult one,
lur the reason that the percentage of the debt to be paid
uch year is equal to the amount of $1 for the given number
of years, at the agreed rate of interest compounded, divided
by the amount of .?1 per year for the given number of years,
at the agreed rate of interest compounded, that is, if we
let "R" equal the rate of interest and "N" the number of
annual payments, then "P" the percentage of the debt to be
paid each year, will equal
/'= (i+r<r-i
R
this can be reduced to
R
I' =1
(1)
(2)
1
(\+RV
The terms of the numerator and the denominator of equa-
sion (1) can be taken from compound interest tables and
dividing the numerator by the denominator, "P" can be
found to a value extending to the fifth or si.xth decimal place.
The converse of this problem is not such an easy one. That
is, if you had given a number of equal annual payments to
liquidate a debt of a given sum, you could find the value of
"P" by dividing an annual payment by the total sum but
having given "P," it is not so easy to find out the value of
"R," that is, the rate of interest that you are actually paying.
Illustration of Method
To facilitate and explain this matter in general the
writer has prepared a chart, which gives in the table the
percentage of the total debt to be paid each year in 10, 15,
20, 25 and 30 annual payments, at rates of interest varying
in even percentages from 2 per cent, to 10 per cent. By
plotting this table as shown in the chart, we have a means
of determining "R." Having given "P," and the number of
equal annual payments, it is very easy to determine within
a very small fraction, the rate of interest that is being paid.
For instance, if yoU are paying $1,600 per year to liqui-
date a debt of .'?20,o6o, the percentage paid each year would
be 8 per cent, of the total debt. If the agreement called for
15 equal annual payments, you would be paying interest, ap-
proximately, at the rate of 2.1 per cent. If it was 20 equal
annual payments, you would be paying interest at the rate
of 4.94 per cent., 25 equal annual payments, interest would
be ().23 per cent., and if it was 30 equal annual payments the
interest would be <1.04 per cent.
Take another example. Suppose a municipality sells a
20-ycar 5 per cent, bond at par and arrange to take care of
the debt by a sinking fund estimated on a basis of 3 per
cent, compound interest. For every dollar sold the tax-
payer will have to pay each year for 20-ycars, 5 cents as
interest and 3.72 cents to sinking fund, or a total of 8.72
cents, which is the equivalent of paying about 6 per cent,
for money, while if equal payment method was used, only
8.03 cents per dollar would have to be collected. On a
l,r,.:i^ .,f ill.. •,l„,%-.. M,-iiiiiiii 1,111^ ihi- miHiicinalitv could afford
THE MONETARY TIMES
Volume 65.
to sell such bonds at 92.1, a difference that the writer does
not believe any bond broker would make in a tender for the
two kinds of bond at same rate of interest.
Some cities will point with pride to their surplus on
account of the rate of interest they have been able to get
for the past few years being greater than the calculated rate
when determining the levy for sinking fund, but this fact
does not alter general conditions that usually the rate you|
receive is less than the interest you have to pay. The mosti
important reason why rural municipalities should adopt the
equal payment plan is their lack of facilities and knowledge
to properly handle a sinking fund
Diagram for CorDpufing Rmount of Ojuaf (Jnnual Pcr/ment5 to Liquidate oDebf-
„ rrifh Various number of Payments and of Various Dates of Interest
pTa 1 1 1 1 '. r^ \ \ ! : : . . \yjjjix\ i-4 .^zn
ffX
41 51
Qote of Interest (Q)
October 15, I'.rH)
THE MONETARY TIMES
EUKOPEAN EMIGRANTS LOOKING TO CANADA
Transportation Holds Back Flow. However — Fuel Control
Resumed — Government Revenue Grows
(Special to The Monclary Ti)ihs.)
Ottawa, October 14, 1920.
SHORTAGE of ship accommodation and a discouraging
attitude on the part of the Canadian immigration offi-
cials overseas are to some extent restricting emigration to
this country from the United Kingdom, says Hon. J. A.
Calder, who recently returned from an official trip abroad.
The agents overseas, are, he said, taking every precaution
to see that no more people came to Canada than can be
absorbed. They advise persons not likely to find employment
within a reasonable time of their arrival in Canada, to defer
their departure from England. Shipping agents, too, in view
of the penalties to which they are liable for bi-inging un-
suitable persons to the Dominion, are careful to scrutinize
applicants for passages. In consequence, Mr. Calder asserts
that Canada is securing a better and more suitable class of
new citizens than ever before.
The shipping situation, however, prevents any immediate
increase in the volume of immigration. Mr. Calder inter-
viewed officials of the North Atlantic shipping conference,
and was informed that accommodation on vessels coming to
Canada was booked for about a year. In so far as the out-
look for immigration in the future is concerned, it will depend
a good deal upon economic conditions in Great Britain. For
instance, Mr. Calder states that there is at present almost
as great a shortage of domestic servants in England as in
Canada. Women who were trained for domestic service
found employment in industry during the war. They are
only gradually leaving that field and returning to domestic
service. The minister of immigration, however, found in
Great Britain a feeling that a fairly serious unemployment
situation might develop there in the near future. Such a
condition would tend to drive people to seek homes and live-
lihoods in other countries. It has been variously estimated,
moreover, Mr. Calder points out, that Great Britain has a
surplus population over pre-war days of fiom ()00,000 to
1,200,000. Before the war 2.50,000 people left Britain every
year. At the same time, having regard to the shipping situ-
ation, Mr. Calder was inclined to the view that immigration
would not reach really large numbers for probably a year,
or until the spring of 1922.
Revenue is Buoyant
A large increase in revenue is shown by the September
.statement issued by the finance department. During the
seven months of the fiscal year ending on September :!0, in-
land revenue collections totalled $29,451,813. In the corre-
-ponding months of last year, inland revenue collections were
only $7,005,238. During the same periods also, income tax
receipts showed a similarly heavy increase. During the
seven months of this year they were $6,585,418; during the
seven months of last year they were $l,i;73,()28. Revenue
from business profits tax shows a slight incline. For the
two seven-month periods, it was: 1919, $15,884,293; 1920,
815,189,479.
Total ordinary revenue during the month of September
was $37,170,789, as compared with $26,698,840, the total
ordinary revenue in September, 1919. During the seven-
month periods, ending September 30, total ordinary revenue
was: 1919, $159,085,559; 1920, $219,905,911. Total ordinary
expenditure was: September, 1919, $25,143,277; September,
1920, $16,940,075; seven-month period, 1919, $122,722,617;
seven months of 1920, $152,624,397.
Capital expenditure in September of last year was $66,-
405,631, as compared with $6,881,577 last month. The reduc-
tion has been almost entirely due to lessened war expendi-
ture. Public debt increased by $22,032,728 last month. The
total net debt, no credit being taken for non-active assets,
now stands at $2,276,516,163.
The tax collection system is growing stronger daily.
More income tax returns are received this year, and audits
are in some cases made to verify the returns. The same
system of checking up is to be followed by the Customs and
Inland Revenue Departments in regard to the new luxury
taxes. The corps of auditors recently appointed in co-opera-
tion with special inland revenue officers is taking steps to
see that the taxes are collected by the merchant where the
article is taxable and that subsequently the public treasury
receives what is due it.
Fuel Control Again in Force
Fuel control has been resumed, under a plan similar to
that used in 1918. The policy set forth dealing with the
provincial organization and licensing of dealers is that the
government of each of the provinces of Canada may appoint
a provincial fuel administrator or board of administrators.
It may also create such central provincial organization as it
may deem necessary. Any expense so incurred shall be borne
by each province. The duties of the fuel administrators,
subject to the orders of the board, is to supervise the dis-
tribution of all coal and other fuel imported into or made
available within such province; to develop the demand for
and supply of wood and other coal substitutes to the greatest
possible extent, also to promote within the province the
greatest development of any coal areas available. To issue
orders to dealers, consumers and others within the province
regarding the distribution and use of coal, and to license
brokers and others desirous of engaging in the business of
selling coal, are other powers conferred by the board.
Municipally, the board deals with the situation in a
manner similar to that drawn up for the provincial adminis-
trators. The duties of the municipal fuel commissioner are
chiefly to co-ordinate the work of delivering coal during any
period of fuel, scarcity within such municipality, and to in-
stitute, when necessary, a system of controlling retail coal
deliveries through orders on dealers within the municipality
issued by the fuel commissioner.
Calculation of Customs
The meaning of the new customs order providing for
the collection of duties at the current rate of exchange has
not yet been cleared up. The following statement was issued
by the department on October 7: —
"Notwithstanding the instructions issued from time to
time by the Department of Customs and Inland Revenue on
the question of values for duty of currency of invoice, there
still appears to exist in the minds of some importers a doubt
as to just in what manner a British exporter to Canada, or
an exporter in any foreign country where the paper currency
has become of lower value than the standard gold currency,
will be able to arrive at the relationship existing in the
country of export between the paper and the standard gold
currency.
"It is quite expected this relationship would be reflected
by the rate of exchange between that country and Canada
existing in such country at date of shipment."
The importance of Canadian manufacturers realizing the
great industrial development now taking place in India is
emphasized in a special report on trade with India, which has
been prepared by P. V. Scharsmidt for the L»cpartment of
Trade and Commerce, after visiting all the big trade centres
there. The report notes that the Indian government has
adopted an energetic policy to increase industrialism and that
the .-^pending power of the four hundred million people who
inhabit India and Ceylon is rapidly increasing. The commis-
sioner states that in discussing trade matters with various
commercial bodies and firms in India he was assured of an
earnest desire on the part of the importers to confine their
orders to the empire. He expresses the view that Canadian
manufacturers should take advantage of this favorable atti-
tude and urges the need of direct steamship connection be-
tween Canada and India.
THE MONETARY TIMES
Volume 65.
WOKKMKNS (OMI'ENSATION H<t\l{l»S Ol (AN ADA
Annual Mei-lini; Held Last Week in TiirontK — K. S. II. Winn
Klectcd President
TWENTY questions relatinp to workmen's compensation
law and administration in Canada were on the propram
for consideration at the annual meetinK of the .Association
of Workmen's Compensation Boards of Canada, held in Tor-
onto, October 4 to 6, 1920. Several other points were also
hroutrht up in the discussions, which were of an informal
nature.
The following officers were elected for the 'ensuing
year: President, E. S. H. Winn, chairman of the British
Columbia Board ; vice-president, John A. Sinclair, chairman
of the New Brunswick Board; member of the executive,
F. W. Armstrong, vice-chairman of the Nova Scotia Board;
secretary-treasurer, F. P. Archibald, chief accountant of
British Columbia Board.
Those in attendance at the convention were: —
Alberta. — J. A. Kinney, commissioner; Dr. A. Forin,
medical officer. British Columbia. — E. S. H. Winn, chair-
man; Dr. G. A. B. Hall, medical referee; F. P. Archibald,
chief accountant. Manitoba. — H. G. Wilson, chairman; N.
Fletcher, secretary; Dr. A. J. Fraser, medical officer. New
Brunswick. — John A. Sinclair, chairman; Dr. G. G. Corbet,
mediciil officer. Nova Scotia. — F. W. Armstrong, vice-chair-
man; Dr. M. D. Morri.son, medical officer.
Suhjecis Discussed
The main points discussed by the delegates were as
follows: —
(1) Permanent partial disability rating schedules, and
uniformity therein. (2) Handling of medical aid. first aid,
and ambulance matters; schedules of medical, hospital and
nursing fees, and question of uniformity therein. (.3) Pro-
viding artificial limbs and appliances. (1) Rehabilitation
of injured workmen. (.'>) Relation of Workmen's Compensa-
tion Boards to accident prevention. ((>) Merit rating. (7)
Attitude of boards as to legislation; extension of act to all
workmen; covering occupational diseases. (!<) Relation of
sub-contractor and principal. (9) Filing system and num-
bering; (10) Minimum premiums. (11) Expense ratios-
methods of computing. (12) Expenses — method of figuring
Dominion government share. (1.3) Dominion tax on com-
pensation cheques. (14) Standardization of actuarial prin-
ciples and tables ond industry and accident classifications.
(15) Co-operation among Canadian boards in administra-
tive work. (16) Rulings and decision.s of speciol interest —
e.g., accidents and asscssment.s in other provinces; depend-
ants in, or dependants or workmen removing to, other pro-
vinces or foreign countries; hernia and strained back cases;
accidents to artificial teeth; average earnings of miners;
innocent victims of others' misconduct or horseplay; pranks
or misconduct of minors. (17) Methods of determination
of controversies. (18) Securing prompt returns and
particulars from employers. (19) Disposal of returned or
uncashed cheques. (20) Board's preference for assessments
where employer is insolvent.
( KOP.^ NF.AKLY A FAILIRE IN BRANDON DISTRICT
.\verage Yield Eight to Ten Bushels — Business Keeps Fairly
(;„od — Loaning Conditions (Juiet and Repayments are Slow
(Staff Correspondence.)
Brandon, Man., October 13, 1920.
ALL threshing is practically completed in the Brandon
distiict and the actual result is not as good as was
expected. This district scarcely ever had a crop failure, but
this year it is even below normal, and will not average more
than eight and ten bushels per acre. In the southern part of
the province, where the crop has been very poor for a number
of years, this year it is fairly good. Weather at present is
ideal and everywhere the farmers are busy plowing. With
a large amount of breaking and fall plowing done, and with
large acreage under summer fallow, there should be a con-
siderable increase in acreage in Manitoba next year.
Business generally in Brandon is good. There has been
very little new building done, but wholesale and retail trade
is brisk, and collections reported improving. The Imperial
Oil Co. are to establish a large iilant at Brandon, involving
an investment of a quarter of a million dollars and the main-
taining of a staff of about sixty. Nation and Shewan, one
of the large retail stores, are extending their premises on
Rosser Ave., which will give them, when completed, one of
the finest stores in Manitoba.
City Taxes in Good Condition
Brandon civic aflFairs are quite satisfactory. The water-
works system, which has shown a loss in recent years, is
being thoroughly investigated and will be remedied. W. M.
Scott, consulting engineer of Winnipeg, has recommended
certain changes, and J. M. Begg has been appointed city
engineer. Brandon holds an annual tax sale, and City Clerk
Harry Brown reports the tax outlook much improved, a
healthy sign being the way city property is being redeemed.
The loan situation in the Brandon district is fair, with not
« great demand for moHey. One company, who have two and
a quarter million loaned in Manitoba and Saskatchewan, re-
ports money somewhat slow in starting to come in this fall.
COBALT ORE SHIPMENTS
The following are the shipments of oi-e, in pounds, from
Cobalt Station for the week ended October 1st: —
Nipissing Jline, 86,914; O'Brien Mine, 80,000; Temis-
koming Mining Co., 64.968; Mining Corp. of Canada.
21.5,.522; total, 447,404.
The following are the shipments of ore. in pounds, from
Cobalt Station for the week ended October 9th: —
McKinley Darragh. S.-,,.i;i2; Temiskaming Mine, 84,737;
Dom. Re<rn Co.. .ss.OOO; Mining Corporation of Canada,
233.487; Nipissing Mining Co., 240.660; Coniagas Mine,
131,549; total 864.025. The total since January 1st is
20,786.450 pounds, or 10,393.2 tons.
ONTARIO E(iIIT\HLI-. TO WRITE NdN-l'ARTK If \TING
'f ■' ^'V Tni:,-.<, S. C. Tweed, miinagcr
"^ the I' 1 ife and Accident Insurance Co..
the new: ;.,ny with n capital of $2,000,000.
states that it i» hia intention to write non-participatin(r life
in.xiirnnce only, becausn ho lip|ipvo« thoro i« n n>al demand
for that class of in-
The company cm 'ico bu.«i-
ncs.s on January 1 i ~ub.<icrip-
tions for over $100.<i' ind with
two exccption.i only. isurance
agents and life insum.Hi .,mhi.;iti> ..iiiri:ii.-. i rv- stock is
being sold at a premium with $20 per share paid.
BOND FOR MrNKTPAI. TREASURERS
The question of .idopting a schedule bond covering all
secretary-treasurer? of municipalities in Saskatchewan will
be submitted to the legislature at its approaching session.
Considerable difficulty has been experienced in the past by
some municipalities which have attempted to realize on the
fidelity bonds of their secrelary-treasurers, and the Depart-
ment of Municipal .\tTairs has decided to recommend legisla-
tion pro>Hding for the bunding of all such officials by the
department itself. It is not the department's intention to
recommend a "blanket bonil," which would cover the office
and not the official, but a schedule bond.
October 15, 1920
THE MONETARY TIMES
Trad* Review and Insurance Chronicle
of Canada
Address: Comer Church and Court Streets, Toronto, Ontario, Canada.
Telephone: Main 7404, Branch Exchange connecting all departments.
Cable Address: "Montime3, Toronto."
Winnipeg Office: 1206 McArthur Building. Telephone Main 3409.
G. W. Goodall, Western Manager.
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The Monetary Times was established in 1867, the year of Confedera-
tion. It absorbed in 1869 The Intercolonial Journal of Commerce, of
Montreal : in 1870 The Trade Review, of Montreal ; and the Toronto
Journal of Commerce.
The Monetary Times does not necessarily endorse the statements and
opinions of its correspondents, nor does it hold itself responsible therefor.
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cluding from its columns fraudulent and objectionable advertisements. All
information wiJl be treated confidentially.
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PRINCIPAL CONTENTS
Editorial: page
The Fruits of Confederation 9
A Top-Heavy Continent . . : 9
The Making" of a Will 10
The Public Will be Amused 10
Special Articles:
Debt Repayment by .Annual Instalnifiiis 5
European ImmiRrants Lookin}!; to Canada 7
Practice in Automobile Insurance 14
Maritime Board of Trade Meeting 18
Alberta Associated Boards of Trade 18
Fire and Accident Prevention Measures 20
Preferred Stock Issues Thirty-seven Millions 24
Tariff Opinions of the West are Conflicting 26
Board's Jurisdiction Over Express Service 30
A Case on Employers' Liability 30
Monthly Departments:
Wholesale Price Movements in August 22
Trade of Canada by Countries .22
Weekly Departments:
News of Industrial Development in Canada 32
News of Municipal Finance 36
Government and Municipal Bond Market 38
Corporation Securities Market 42
Tlie Stock Markets 44
Corporation Finance . ^ . . .' 46
Recent Fires 48
THE FRUITS OF CONFEDERATION
THE fathers of confederation were optimists. They hoped
to erect a Dominion which would some day be more
than a federation. They were prevented from forming a
complete union by geographical, racial and economic difficul-
ties which made it impossible to give the field of govern-
ment to the central power. It was this seeming defect that
has saved the day for the Dominion; the constitutional com-
promise has made possible the multitude of compromises that
have enabled Canadians to enjoy the benefit of a single
administration on questions of national import. There is no
reason why the people which have the same tarifl", the same
post office, the same army and navy should also have the
same schools or the same civil law. The measure of national
unity is the number of subjects on which a working agree-
ment can be reached.
At this year's meeting of the Maritime Board of Trade,
reported elsewhere in The Monetary Times, H. J. Logan
outlined how the growth of the central and western pro-
vinces had resulted in the neglect of the east. It is a
difl[icult thing for parliament to be nationally minded, when
the people themselves are not. If the fathers of con-
federation could have foreseen the Canadian provinces
linked together by triple bands of steel they would have
supposed their hope achieved. Could they see the disintegrat-
ing forces which are continually at work they would realize
how far that is from being the case. The Dominion is not
by any means in danger of disruption. National sentiment
is strong, and there is unanimity on most national questions.
But there are several which illustrate the <langer of any
further attempt to gather the reigns of power into the
hands of the federal government. It is bad enough to have
a fiscal, a tariff and a railway problem, without advanc-
ing into fields in which success would be still more difficult.
There is a movement on foot which professes Canadian
unity as its object. It is not a new movement, nor, is it
an organized one. It is rather a viewpoint which is intoler-
ant of differences of opinion and af the rights of minorities
Why should not the public domain, originally the property of
the separate colonies, still be administered by the provinces?
What excuse have the promoters of national education for
their propaganda, when the present system means a safer
development and a broader culture? It is better that in-
dustrial, insurance and loan companies operating under pro-
vincial charter should continue to play an important part in
the world of business than that they should become, like the
national banks, another avenue for attack on the central
government which stands for maintenance of law and. order.
Nationality is safe only insofar as it springs from national
sentiment, which cannot be ingrained from above.
A TOP-HEAVY CONTINEM
SINCE the United States, and later Canada, passed the
early stages of development the tendency of popula-
tion has been to drift from country to city. A new country
prospers by the utilization of natural resources which are
rich and easily accessible. The marketing of these resources
in the form of raw material is so profitable that nearly all
the population is engaged in it. The United States grew
grain and other crops, cut its timber and opened up its
mines, and Canada has done the same. It was the settle-
ment of upper Canada by the United Empire Loyalists in
the early nineteenth century, and the settlement of the west
in the early twentieth century, which made this a great
country. Manufacturing could very well be left to the coun-
tries best suited to it.
Soon there comes a time, however, when the richest re-
ac urce-. are already acquired, and a suri'lus population is
created which looks to manufactures and trade for its liv-
ing. This population expressed its political will in Canada
in the 70's through the national policy of protection. As a
result of this policy a tariff wall was erecte<l about Canada
to keep out goods from abroad and enable goods manu-
factured at higher cost in Canada to be sold here. Life in
the towns and cities became more attractive and population
drifted towards them. This movement has been accentuated
by the revolution which has taken place in agriculture, for
by the use of new machinery the productive power of the
10
THE MONETARY TIMES
Volume 65.
individual has been multiplied. Canada has been transformeJ
from a nation of farmers to one in which the urban popali-
tion seemingly holds the balance of power. From IJOl to
1911 the rural population grew from 3,349,.51C to ."i.S'iS.GTS,
an increase of 576,163; during the same period the urban
population increased by 1,259,165, from 2,021,799 to
3,280.964.
The 1921 census will, it is agreed, show a similar tend-
ency. .-K more definite indication is given in the 1920 census
of the United States, which country has been under the same
innuences as Canada during the past decade. The report of
the United States Census Bureau, just published, shows the
population of continental United Stales as 105,083.108, "an
increase of 14.9 per cent, since T910. The trend of popula-
tion in the decade has been from the farm to the city, and
that while there was in the period a very slight increase in
the total number of farms in the United States, there were
unujually large decreases in tenanted farms in big agiicul-
tural st.ites of the west and middle west. From the stand-
point of its bearing on the high co-t of living, the report
of the c.nsus contains significant facts, among them the
following: —
Trend of population from the farm to the city, iigures
bowing that .'v^Hl 6,209, or 51.9 per cent, of the total popula-
tion now living in incorporated towns and cities, a loss of
5.6 per cent, since 1910 in the proportion of population liv-
ing in rural United States. Big decreases in the number of
tenanted farms in such States as Illinois, Ohio, Indiana,
Iowa. Pennsvlvania, Michigan, Missouri, Kansas, New York,
West Virginia and other-;. While the total numbir of farms
in the United States increased since 1910 from 6,361,502 to
6,459.998. or 1.5 per cent., the increase was ncirligible com-
pared with :in increase of 10.9 per cent, in the previous ten
vcars' period.
In some of the best agricultural states there were actual
decree se^ in tenanted farms as follows: Indiana, farms in
1920—205,124; decrease since 1910—10,361. Michigan. 196,-
647; decrease, 10,313. Pensylvania, 202,2.'ii'>; .leirease,
17.896.
IHK I'llJl.lC WILL BE .VMISKI)
IF almost ten million dollars of new capital will do it, the
jMople of Canada will be well supplied with movies.
This IS the total of new stock issues of theatre enterprises
ir .iMitUn and placed on the market since .lanuary 1.
' aside an is.sue of $25,000,000 of stock of the British
.Steel Corporation, the total of stock issues en record
i.ln for the first nine months of the year is ?61,992,-
that the financing of picture theatres accounts for
. of the total. The larger issues of this class have
tj..ii the following: —
Paramount Oshawn Theatres. Ltd. (prcf.cum. 7- c )| 125.000
Allen Kin- ton Theatre. Ltd. (pref. cum. 8',f ) . . 175,000
.Ml. II (. ■.!(:;. rv Theatre, Ltd. (pref. cum. 7"f ) . . . 260.000
\l!, . V , . n. r Theatre. Ltd. (pref. mm. S'V ) . . 300,000
■ atre. Ltd. (pref 350.000
Ltd. ("kg. M., o. ' 400,000
1 aires, Ltd. (cum 500.000
• rs Canndinn Corp. (pref. cum. ^.. ) 4,000,000
Kitchener Theatres, Ltd. (cum. pref.
175.000
peg Theatres. Ltd. (pi' ' 325.000
-. I.t.l. (pref. cum. s- . 2.r<on.000
'.000
Mian
smaller jlrucUiieS wliiili i ha
the movinvr picture industry.
.,• ' vi:one a revolution, ■■• '
y-'. , the individuril. ^
in- :,ts new entcrpTises.
the
=> of
has
re-
rc-
lircd
or erected at the inflated values now prevailing. Estimates
of profits are based on the returns experienced when the
business is at its zenith. In almost every case the stock,
itself made as attractive as possible by being cumulative |
and bearing a high rate of interest, has been sold with a
substantial bonus of common. What e<iuity the common stock
represents is very dcubtful at the present time, and both
common and preferred are highly speculative securities.
These theatres may of course become virtually public utilities.
On the other hand, they may pass out of favoi- as quickly as ,
they gained it. The sale of the stock has been widespread [
and there are no doubt by this time many thousands of j
holders in Canada. A slump in the business would be a
tragedy comparable only to those which the concerns them- I
selves reproduce.
THE MAKING OF A WILL
MAKING a will is a sensitive subject — one which the
average solicitor is loath to broach to his client. Never-
theless it is important that the will be made, and made pro-
perly. "Deceive not thy physician, confessor nor lawyer" —
thus goes the old proverb which reminds us that if we desire
to receive the treatment necessary for our physical and
spiritual wcUbeing, or to know our true legal position in
any matter from these advisers, we must hide nothing.
In the October Executor and Trustee, the Toronto General
Trusts Corporation points out that there is a- corresponding
duty on the part of the lawyer to bring before his client the
obligation he owes to his family, and to society in general,
in the making of his will. "Most lawyers," says the article,
"are rclucUint to raise this question, and perhaps the reason
for tieir reluctance is not very far to seek; the making of
a will being the final act of a person s life, as far as dis-
posing of his property is concerned, and being in most cases
purely a family affair, they feel that it would be better form
for the client to introduce the subject. When a client has
given him an opening, he can feel free to advise on the
terms and conditions which should be incorporated in this
document, and to discuss generally the terms of the same."
When the matter is more fully considered, however, and
in view of the unfortunate experiences of many people, a
lawyer need not be over-sensitive about introducing this sub-
ject to his client. It is a duty which everyone who possesses
property, in fairness to his successors, ought to discharge.
No one knows better than the lawyer, unless it be the trust
company, something of the results of intestacy with the
inequitable distribulicn of property in many instances, family
disputes as to who shall administer the estate, the difficulty
of finding the security required by the courts, etc. Nor
should the client be left to his own resources in the mak-
ing of his will. .\s the obi proverb has it, "He who is his
own lawyer has a fool for his client." Much litigation is
chusihI by testators making their own wills and putting into
them a lot of unint4>lligible stuff which no one can under-
stand. Many humorous articles could be written on home-
made wills. In many cases the unconscious humor of the
toFtator has placed his dependents in a most unfortunate
position, and in order to protect his clients from these mis-
fortunes, it is surely the duty and the privilege of every
lawyer to make clear the necessity of having a will made.
Of course it takes tact and good sense to approach this ques-
tion, but these are qualities which are developed in the
practice of the law.
New Brunswick's election, held on October 9th. resulted
as follows: Lil-dah. 24; Conservatives. 13; United
Farmers, 9; Labor. 1. This is the fourth provincial govern-
ment to be weakene.l nt a general election held since the
close of the war. .nnd obviously the New Brunswick govei-n-
ment will require (ho support of one of the smaller groups.
October 15, 1920
THE MONETARY TIMES
Bank of Hamilton
HEAD OFFICE
HAMILTON
Established 1872
Capital Authorized
Capital Paid Up September 30th, 1920) -
Reserve Fund (September 30th, 1920) -
$5,000,000.00
4,860,770.00
4,630,385.00
Director*
SIR JOHN HENDRIE, K.C.M.G., C.V.O., President
CYRUS A. BIRGR, Vice-President
C. C. DALTON ROBT. HOBSON W. E. PHIX
I. PITBLADO, K C. J. TURNBULl. W. A. WOOD
Branches
At Montreal, and throughout the Provinces of
Ontario, Manitoba, Saskatchewan, Alberta and
British Columbia.
Savings Department it all Offices.
Deposits of $1 and upwards received.
Advances made for Manufacturini^ and Farming
purposes.
Collections effected in all parts of Canada promptly
and cheaply.
Correspondence solicited
J. P. BELL
General Manager
Business Accounts
The complete banking facilities
provided at all our branches enable
this Bank to give Business Ac-
counts the care and attention they
need and deserve.
The Merchant and the Manufac-
turer will find the services rendered
by this Bank of the greatest assist-
ance in conducting their business.
IMPERIAL BANK
OF CANADA
202 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited, Edinburgh, and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
Fifty-five Years of
Banking Service
Time has demonstrated the sound-
ness of the policies on which the
first Board of Directors founded
this Bank fifty-five years ago —
October, 1865 — and which have
continued throughout its existence.
Union Bank of Canada
THE
Bank of Nova Scotia
Established
1832
Capital
.
$9,700,000
Reserve
■ $18,000,000
Total Assets
$230,000,000
GENERAL OFFICE : TORONTO, ONT.
H. .A. Richardson, General Manager
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic, Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
55, OLD BROAD STREET, E.C,2
THE MONETARY TIMES
Volume 65.
John A. Fraser. truasurer of the Dominion Securities
•■• — I..., ...I . member of the board
of irovemors of the
Investment Bank-
ers' Association of
America, at their
19 2 0 convention
held in Boston,
October 4 to 6. Mr.
Kraser was born in
Toronto and has
been with the Do-
minion Securities
Corporation all his
business life. For
the past fifteen
years he has held
the office of treas-
urer. He is chair-
man of the com-
m i 1 1 e e on pro-
vincial IcRislation
of the Canadian
Bond Dealers' As-
sociation. Seven
Canadian firms, A.
K. Ames and Com-
pany, Canada Bond
Corporation, Do-
minion Securities Corporation, R. A. Daly and Company,
and Wood. Gundy -md Company, of Toronto, and Aldred and
Comj)any, and the Royal Securities Corporation of Montreal,
are now members of the Investment Bankers' Association.
Most of them wore represented at the Boston convention.
T. W. Mc(;arrv. formerly provincial treasurer of On-
tjirio. under the IIi'.usl administration, recently joine<l the
stock brokerace house of
A. E. Osier and Company,
Toronto, as vice-president
and manapinp director.
Mr. McGarry was born in
the Township of Drum-
mond, Ont., in Autru.-^t,
1871. He was educated
at the Almonte CollefriaU?
In.ititutt- and Ospoode
Hall. In 1S92 he was
called to the Ontario Bar
anil in l'J07 was created
a K.C. For some time he
was solicitor for the
town of Renfrew. Ont.
Hi- wns an un.sucressful
■ to the Ontario
II- in ISM, but
^^ • , Mis. 1011 nnd 191J.
Mr. Mclinrry is ii director of the Whnlcn Pulp and Paper
Mills. Ltd., nnd was elected president last Monday. He suc-
cee<ls Sir Georee Bury, who was manaKiniz director as well
as president.
L. C. Evans. I.onrlon an i ir.-int<"e and
Accident Company of Canada, iipointmont
of assistant manager to Mr. .M .. _ ; and secre-
tary, as from the Ist instant.
H. H. Fi<RNESi<. mannRvr and director of Johnston and
Karie. Ltd., of Bradford, Enitland, one of the Inrirejst firms
of spinners and merchants of worsted yama in the British
Isles, who has been in Canada some time, has sailed for
home.
Sir Lomer Gouin, K.C, .M.G., has been elected to the
directorate of the Cockshutt Plow Company, Limited. Sir
Lomer is joining the board at the request of large British
and French shareholders.
H. R. TtDHOPE, a partner of A. E. Ames and Company, 1
Toronto, investment bankers, has been posted for member-
ship on the Montreal Stock Exchange, his company having
purchased a seat on that institution some time ago.
C. H. Easson, general manager of the Standard Bank
of Canada, is at present touring the west, inspecting
branches of the institution there, in company with Robert!
Gray, of Chatham, Ont., one of the directors of the bank. I
Dr. a. B. MacCallu.m, who has been head of the ad- ,
visory council on industiial research for Canada, since that
body was organized three or four years ago. has resigned,
and goes to McGill University to the chair of biochemistry.
Sir Thomas White, K.C, has been elected to the direct- 1
orate of the Canada Life .Assurance Company. The company i
feels that Sir Thomas will bring invaluable counsel to the
management of its affairs, and that the board is much \
strengthened by the appointment. I
Major John Barnett has been appointed chairman of j
the Soldiers' Set- '
tlcment Board for
Canada, in succes-
sion to W. J. Black.
Major Barnett
served overseas
and after return-
ing to Canada, in
June, 1918, he be-
came assistant
judge advocate
general of the 1,'Uh
district a t Cal-
gary. In March,
1919, he joined the
staff of the
"Soldier's Settle-
ment Board as
superintendent of
the Calgary ofTicc,
later becoming pro-
vincial solicitor of
the board for Al-
berts, and in Oct-
ober last he was
appointed general
counsel of t h e
hoard for the we;
Calgary.
tern provinces with headquarters at
OBITUARIES
E. G. HENDERiiON, president and general manager of the
Canadian Salt Company, Windsor, Ont.. died at Montreal
on October 1.3th, at the age of 6,3 years, following an attack
of pneumonia, which was preceded by other ailments.
J. M. CorRTNEV, who was at one time deputy minister
of finance and secretary of the finance board of Canada,
died at Ottawa on October 8th. Mr. Courtney was born in
Penzance, England, in 1838, and held the position of deputy
minister of finance from 1878 to 1906, when he retired.
Thomas Long die<l in Toronto on October l.Sth, at the
ape of 84 years. He was also one of the founders of the
Northern Navigation and Collin^rwood Shipbuilding Com-
lanies. He wa.'s M.P.P. for North Simcoe, 187.5-1883. Re-
moving to Toronto 3.") years .igo, he was a dii-ector in the
Toronto General Tni.st,'; Corporation, Consumers' Gas Com-
pany, Merchants Bank of Canada. E.xcelsior Life Insurance
Company. East and West Land Company and London nnd
Canadian Loan and .Agency Company.
October 15, 1920
THE MONETARY TIMES
18
Bffluiuminimimfliiiiiinitimiiiimiiii
THE Sterling Bank
OF CANADA
SiiiniiuiLniiiiiiimiimiininruiiiniiiuuiLiiiiimiiiimmiiiiiniiiffluiiiiiimjimi
The obtaining of a difficult piece of inft
collection of a greater average number ul dratts anj
notes, and the furnishing of a full and adequate
reason with the few returned — are but two features
of our Personal Service policy. Let us tell you the
rest.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament- Estaolisiied ISiS
Capital Subscribed /5,000,000 $25,000,000
Paid up 1,100,000 5.500.000
Uncalled 3,900.000 19.500,000
Reserve Fund 1 ,000,000 5.000,00(1
Head Office - EDINBURGH
WILLIA.M CARNEGIE, General Manager. GEORGK A. HUNTER. Sec.
LONDON OFFICE— 37 NICHOLAS LANE, LOMBARD ST.. E.C.4
T. C. RIDDELL. DUGALD SMITH.
.Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, are
retired on terms which will be furnished on application.
THE STANDARD BANK OF CANADA
Quarterly Dividend Notice No. 120.
A dividend at the rate of Three and One Half per
cent. (B'z) for the three months ending 31st October,
1920, has been declared payable on the Ist of Novem-
ber. 1920. to Shareholders of record as at the 21st ol
October, 1920-
By Order of the Board.
C. H. EASSON,
General Manager.
Toronto, September 22nd. 1920.
The Dominion Bank
ESTABLISHED IS7I
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in ail departments ot Banl^ing.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
THE
Exchange Rate
III.— What Controls It?
IN No. II. of this series we ex-
plained why foreign dollars in a
banker's hands are merely an evi-
dence of indebtedness, a commodity
to be bought or sold.
In order to make use of the credit these
represent, he must first exchange them
for the currency of his own country and
this he does by sending them to a bank
in the country in which they were
issued. This means not only the labor
of counting and sealing the parcel, but
the cost of postage and the premium
for insuring it against loss on the way.
The Bank to which he sends it must
either remit payment for the foreign dol-
lars in gold (the intrinsic value of pure
gold being equal in all countries), paying
express charges and insurance on the
parcel, or if the bank has a credit bal-
ance in the country from which the
foreign dollars came, it may give a
cheque against that balance to the
sending banker.
It was to avoid this cumbersome, risky
and unsatisfactory way of settling inter-
national debts by the transfer of gold
that the system of Bills of Exchange
was brought into use, and we will try to
explain that system next week.
THE CANADIAN BANK
OF COMMERCE
Capital Paid Up - $15,000,000.
Re.erve Fund - $15,000,000.
Thi> jcrpcj. ahen comp/cic/. n-ill he ptih-
lishcJ in pamphlet form. If \/au desire a
copv. n'rilc U, ourHeu.l Offlte. Tof.mln.
THE MONETARY TIMES
Volume 65.
I'RACTICE IN AUTOMOBILE INSURANCE*
♦;ro»lli of Business Has Curried it into Hands of Fire C«m-
panies — Form of I'olicy Has Changi-d
By John B. Laidlaw
I'reitident, Canadian Automobile Underwriters' Association
THE insurance of automobiles is necessarily of very recent
oritfin, and was at lirst written as resards the hazards of
(ire, ininsportation -vnd theft by marine insurance companies,
while the insurance cf the owners' liability for damages for
injuries to other persons arising out of the use of the auto-
mobile was undertaken by casualty companies. The hazards
of property damage, that is, damage to the property of
others injured by the automobile, and collision insurance to
reimburse the owner for damages to his own car by col-
lision wore covered by both the marine companies and the
casualty companies. In a short time fire insurance companies
commenced to write automobile insurance as to fire, trans-
portation, theft and also property damage and collision.
The business having been first undertaken by marine
companies, the form of policy and its conditions were natur-
ally along the line of a marine policy, and the practice of
issuing a valued policy also followed marine custom. Gradu-
ally, and as automobiles became used everywhere, the fire
companies, with their extensive system of agencies, wrote an
ever-increasing proportion of the business as compared to
the marine companies with their agencies only in the more
important cities, and following upon that, the form of policy
has gradually changed until the form now generally used in
Canada ar.d the United States has become more like the
regular fire policy than a marine policy. The form now used
generally in Canada was prepared by a conference of the
companies writing automobile insurance, and it has recently
been approved with some few amendments by the insurance
commissioners in the United States, but we understand has
not yet been adopted by any state.
Standard Policy and Condititms
A form of policy and conditions has been prepared by
tlie president of your association, which the underwriters
will be glad to discuss with you. It deals with insurance
against fire, transportation and theft, and it should be made
clear that property damage and collision can also be covered
by endorsements added thereto.
The insurance of liability to the public is now \vritten
in Canada by a number of companies under contracts of
which hardly two are alike in wording, although all alike or
practically so in effect. No effort to prepare a uniform con-
tract or uniform conditions for this class of insurance has so
far as we can learn been made in the United States or Great
Britain, and we are unable to suggest any uniform form to
you at this meeting. If you think such should be prepared
we suggest you appoint a committee to consider the matter
with whom we can confer, and report to your next annual
meeting.
Two ClasKeR Differ Greatly
The nature of the two main classes of automobile in-
■•: <-. that is, fire, transportation and theft on the one hand,
'■ility on the other, arc so rndicnlly different, that
iTcrent conditicns would seem to be required for each.
Tlitrc is also the further consiileration that by the insur-
ance laws, a number of companies writing the one are pre-
vented from writing tlie other, and on that ground, too,
separate conditionn and policy forms arc required.
It is perhaps carryinpr mnU to NVwcnatlc to i^uote sta-
tistics to insurance ■ • • . -he out of
I'lace to point out ' 'i». which
inrlude some collis: ■ ims. have
increased from $a41.9-H in JIUC to Jl,o24^7a id 1919. while
the liability premiums, which also include some collision and
property damage premiums, have fncreased from $567,559 in
1916 to $1,901,704 in 1919. We believe that only a small
proportion of automobiles are insured against fire, and even
less abainst liability. So that there will probably be a
steady development of the business.
He is surely a reckless individual who in these days of
crowded traffic and careless pedestrians will operate an
automobile without protection against his liability to the
public, no matter how careful or experienced he may be. I
have not attempted to deal in detail with the proposed con-
ditions in these opening remarks, and would suggest either
their reference to a committee or their consideration, clause
by clause, in open meeting.
BRITISH INDUSTRIES FAIR, 1921
The three Fairs, although held in different towns (Lon-
don, Glasgow and Birmingham), are, in reality, only sections
of one Fair, and together constitute the greatest Trade Fair
in the world.
The London Fair is directly organised by the Imperial
Department of Overseas Trade on behalf of the British
Board of Trade, while the Fairs in Birmingham and Glasgow
are organised by the municipalities of the respective cities
under the auspices and with the support of the British
Board of Trade. An important point in the organisation of
the three Fairs is that they are held practically concurrently,
and that each Fair represents a specified group of industries.
No industry is permitted to exhibit at two Fairs, and con-
sequently the buyer knows that at whichever Fair he may
be visiting he will find the whole range of exhibitors in any
particular trade or trades. Further, by careful arrangement
of the dates of the sections, it is made easy for him to visit
all three should he wish to do so, for while the London and
Birmingham Fairs run concurrently from the 21st February
to the 4th March, the Glasgow exhibit opens a week later
on the 28th February.
*An address before the conference of provincial insnr-
.Tncc superintendents, Winnipeg, October 4-7, 1920.
TORONTO REAL ESTATE BOARD
A Real Estate Board for the city of Toronto was or-
ganized at a meeting of real estate men in that city on
October 4th. A boai'd of nine directors was elected. It is the
intention to operate along the same lines as the Real Estate
Boards in the .\merican cities, more particularly Detroit,
where the brokers have advanced their profession to keep
pace with the very rapid growth of that city in recent years.
Practically every city of 50,000 population or more in the
United States have a Real Estate Board, which are all affili-
ated with the National .'Association of Real Estate Boards,
at the annual meeting of which all the prominent real estate
brokers in the United States are gathered together, and in
the interchange of ideas a great deal of good is accomplished
for the community at large.
The chief purposes for which the board was formed was
to raise the standard of ethics and efficiency in the real estate
business; to protect the interests of all owners of property
in the city and environs, as well as the interests of real
estate brokers; to bring the real estate men together and
promote sociability, so that they shall act in harmony with
each other rather than independently as in the past, and to
take effective and organized action when necessary to combat
unfair legislation and measures detrimental to the interests
of the citizens in general and the real estate interests in
particular.
Hamilton real estate dealers are also planning to follow
the example of the Toronto realty men, and will form a real
estate board. Tlu-y sny this board would afford protection
to tlie property-owner, in addition to raising the standard
of efficiency among the dealers. Any person who had a griev-
ance against a dealer .-ould obtain redress from an arbitra-
tion committee of the board.
October 15, 1920
THE MONETARY TIMES
IS
Bank of New Zealand
ESTABLISHED IN 1861
Bankers to the New Zealand Government
CAPITAL
P>id-Up Capital ($13,284,026) and Rnerrt Food
($12,166,250) $25,450,276
UDdirided Profit) 713 039
Ajgregate Atjels at 31«t March, 1920 257,500,944
<:^\
Head Office:
WELLINGTON
NEW ZEALAND
H. BtCKLETON
General Manager
THE BANK OF NEW ZEALAND has Branches at
Auckland. Wellington. Christchurch. Uunedin. and 203 other
places in New Zealand; also at Melbourne and Sydney
(Australia). Suva and Levuka (Fiji), Apia (Samoa), and
London.
The Bank has facilities for transacting everj' description
of Banking Business. It invites the establishment of Wool
and other Produce Credits, either in sterling or dollars, with
any of its Australasian Branches.
LONDON OFFICE: 1 Qaeen Victoria Street, Mansion House, E.C. 4
CHIEF CANADIAN AGENTS .
Canadian Bank of Commerce Bank of Montreal
fHomeBankofCanada
PAY WITH MONEY ORDERS
When you have to send money through the
mails buy a money order and you will then feel
secure that you have provided against any
chance of loss or misunderstanding. With the
money order you get a voucher that is as good
a receipt as your returned cheque would be
Branches and Connections ThrouBhout Canada
Head Office and Eleven Branches in Toronto s •
THE
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
head office. weyburn. saskatchewan
Kranxhes in Saskatchewan at
Weyburn, Yellow Grass, McTaggart, Halbrite, MitJale,
Griffin. Colgate. Panginan. Radville, Assiniboia, Benson,
Verwood, Readlyn, Tribune. Expanse, Mossbank, Vantage!
Goodwater, Dannody, Stoughton. Osage, Creelman and
Lew van. '
A GENERAL BANKING BUSINESS TRANSACTED
H. O. POWELL. General .Manager
TH€ M€RCHANT5 BANK
Head Ofrice : Montreal. OF CANADA
Established 1864.
Capital Paid-up, $8,400,000 Reserve Fund and Undivided Profits. $8,660,774
Total Deposits (31st July, 1920) - Over $163,000,000
Total Assets (3l5t July, 1920) - Over $200,000,000
Board of Director* :
SIR H. MONTAGi; ALLAN V
Thomas Long
Sir I'. OrrOrk- Lewis, Bart.
Hon. C. C. Ballantyne
F. Howard Wh.son
Farouhar Robertson
Geo. L. Cains
Alfred B. Evans •
Thomas Ahf.arn
Lt.-Col. J. R. MOODIE
A. I. DAWES
Hon. Lorne C. Webster
E. W. Knkei.and
Gordon M. McGkfgor
General Manager - - D. C. Macarow
Supt. of Branches and Chief Inspector: T. E. Merkitt
General Supervisor - • - W. A. Meldrl'M
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sounci advice.
395 Brandies in Canada, extending from the Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookali, Agenls
London, England, Office, 53 Cornhill : J. B. Donnelly, D.S.O., Manager.
Bankers io Great Britain : The London Joint City & Midland Bank, Limited, The Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
liANK ItKANCH NOTES
The Bank of Nova Scotia has opened a branch at San
I'l'dro lie Marcoris, Dominican Republic.
W. C. Sinclair, who has been assistant manaper of the
Prince William Street branch of the Bank of Nova Scotia
at St. John, N.B., has been appointed manager of the branch
at Amherst, N.S.
~The jMerchants Bank announces the opening of a branch
at Alert Bay, B.C. The new branch will be under the charge
of A. N. McMillan from the Vancouver office. The Merchants
Bank of Canada is now represented in British Columbia by
fourteen branches and agencies.
CANADIAN lUSINESS FAILLUES
The number of failures in the Dominion, as reported by
R. G. Dun and Co. during the week ended October 8, 1920.
in provinces, as compared with those of previous weeks and
corresponding weeks of last year, are as follows: —
Date.
c
a
5
J£
d
w
n
H
3
o
31
O
cy
S
<
Ui
n
Z
/S
a,
H
Oct. 8 ..
. . 5
10
2
0
2
2
0
0
0
21
10
Oct. 1 . .
. :!
4
0
1
3
4
0
2
0
17
11
Sept. 24 . .
9
3
1
0
2
4
0
1
0
13
22
Sept. 17 . .
. . 5
8
2
0
2
2
0
5
0
24
Bradstrcet's, for the week ended October 7th, 1920, re-
port the number of failures in the Dominion as 17, compared
with 12 in the previous week, 11 in 1919. 24 in 1918, 14 in
1917 and 36 in 1916.
UAIl.UOVD K\UMN(;S
The following are the approximate gross earnings of
Canada's transcontinental railways for the first week in
October:—
Canadian Pacific Railway.
1920. 1919. Inc. ordec.
October 7th »B,356,000 |3,965,000 + $1,391,000
Canadian National Railway.
October 7th $2.C.'->7,913 $2,140,414 + $ 517,499
Grand Trunk Railway.
October 7th $2,737,818 $2,115,530 + $ 622,288
KX( HANC.E QUOTATIONS
Glazebrook and Cronyn, exchange and bond brokers,
Toronto, report local exchange rates as follows: —
Buyers. Sellers. Counter.
N.Y. funds lO-^V pm lO^*". pm
Mont, funds Par. Par. H to >4
Sterling — •
Demand $3.85 ?3.S.-.
Cable transfers ... 3.85
Bank of England rate. 7 per cent.
New York quotations of exchange on European coun-
tries, as supplied by the National City Co.. Ltd.. Toronto, as
at OctoIxT 14. 1920. follow: I.ondon. cable. 349\; cheque,
348^; Paris, cable. 6.58: cheque, 6.57; Italy, cable. 3.95;
cheque. 3.94; Belgium, cheque. <">.92; Swiss, cheque. l."i.96;
Spain, cheque, 14.44: Holland, cheque. .30.80: Denmark,
cheque, 14.00: Norway, cheque. 13.80; Sweden, cheque, 19.70;
Berlin, cheque. 1.57; Greece, cheque, 10.00; Finland, cheque.
2.85; Roumania. cheque, 1.80..
RAILROAD EARNINGS
The following are the approximate gross earnings of
Canada's transcontinental railways for the month of Sep-
tember:—
Canadian Pacific Railway.
1920. 1919. Inc. ordec.
Sept. 7 $3,991,000 $3,599,000 + $ .392,000
Sept. 14 4,258,000 3,763,000 + 495,000
Sept. 21 4,605,000 3,893,000 + 712,000
Sept. 30 6,849,000 5,963,000 + 886,000
Total $19,703,000 $17,218,000 +$2,485,000
Canadian National Railway.
Sept. 7 $1,998,001 $1,759,169 + $ 208,842
Sept. 14 2,372,906 2,069,675 + 303,231
Sept. 21 2,293,007 2,085,089 + 207,818
Sept. 30 3,291,757 2,890,196 + 401,561
Total $9,955,671 $8,804,129 + $1,121,442
Grand Trunk Railway.
Sept. 7 $2,473,270 $1,949,914 + $ 523,356
Sept. 14 2,680,720 2,178,855 + 501,865
Sept. 21 2,483,460 2,162,619 + 320,841
Sept. 30 3,384,566 2,979,143 + 405,423
Totfll $11,022,016 $9,270,.531 +$1,751,485
WT:EKLY BANK CLEARINGS
The following
are the Bank Clearings for the week ended
October 14, compared with the corresponding
week last
year: —
Week ended
Week ended
Oct. 14, '20.
Oct. 16, '19.
Changes.
.Montieiil
>n:u,633,fi06
$115,787,760
+$
15,845,846
Toronto
1 ll,:J82,i)20
74,502,421
+
36,880,199
Winnipeg-
!i8,782,474
.59,913,349
+
38,869,125
Vancouver . . .
10,654,255
12,388,553
+
4,265,702
Ottawa
8,517,711
8,749,630
—
231,918
Calgary
10,822,810
8,589,528
+
2,233,282
Hamilton
7,375.497
5,540,439
+ •
1,835,058
Quebec
7,123.460
5,593,117
+
1,530,343
Edmonton . .
5,721,269
5,527,488
+
193,781
Halifax
4,750,648
5,023,474
—
272,826
London
3,772,101
2,862,996
+
909,105
Regina
5,600,193
5,428,423
+
171,770
St. John
3,038,252
2,526,382
+
511,870
Victoria
3,065,004
2,478,029
+
!)86,975
Saskatoon
2,478,103
2,254,922
+
223,181
Moose Jaw
2,223,334
1,887,002
—
336,332
Brantford
1,425,245
1,170,812
-j-
254,433
Brandon
906,098
lort William
933,997
878,465
+
55,532
Lethbridge
1,162,953
710,403
+
452,550
Medicine Hat
436,626
552,784
116,168
New Westminste
r 764,655
543,641
+
221,014
Peterboro
1,034,064
756,252
+
277,812
Sherbrooke
1,379,397
992,501
+
386,896
Kitchener ...
98,623
1,001,216
902,593
Windsor ... .
4.505,117
2,249,189
+
2,255,928
Prince Albert .
503,629
439,811
+
63,818
Totals $435,185,643 $328,348,587 +$107,837,056
Moncton 879,717
X.comte de Roumefort, inspector-general of the Credit
foncier Franco-Canadien. of Paris, and Armand Chevalier,
of Montreal, assistant general secretary, have been through
the west m connection with the company's business, giving
.pec.al attention to the affairs of the Canadian Mortgage
Association, which was purchased early this year
October 15, 1920
THE MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(PSTABLISHBD ISI7I
PAID UP CAPITAL - -ilfc * 23,828,500.00
RESERVE FUND .... C ^^4 16,375.000.00
RESERVE LIABILITY OF PROPRIETORS - .^X(!^^^ I 23,828.500.00
$ 64.032,000.00
AGGREG.\TE ASSETS 31st MARCH. 1920 *^<<JJS>- $377,721,211.00
Sir JOH.M RUSSELL FKENCH. KB. E. General Manager
351 BRANCHES and AGENCIES in the Australian States. New Zealand, Piii. Papua (New Guinea), and London- The Bank transacts every description
of Australian Banking Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET, E.C, 2.
AiiKNTs: HANK Ol" .MONTREAL. ROYAL RANK OF CANADA
BUSINESS FOUNDED 1795
INCORPORATED IN CANADA 1897
American Bank Note Company
ENGRAVERS AND PRINTERS
BANKNOTES, BON DS. MU N ICIPAL DEBENTU RES, STOCK
CERTIFICATES, CHEQUES AND OTHER MONETARY DOCUMENTS
Special Safeguards Against Counterfeiting Work Acceptable
Head Office : OTTAWA 224 Wellington St.
BRAXCIIKS
aill Stock Exchanges
WINNIPEG
Inion Bank BIdg.
George Edwards, F.C.A. Arthur H. Edwards, K.C.A.
H. Pekcival Edwards W. Pomerov Morgan A. G. Edwards
Chas. E. White T. J. Macnamara Thos. P. Geogie
O. N. Edwards J. C Mc.Xab C. Percy Roberts
A. L. Stevens W. H. Thompson
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORONTO ..
CALGARY . .
VANCOUVER
WINNIPEfi .
MONTREAL
CORRESPONDENTS
HALIFAX, N.S.
LONDON. ENG
CANADIAN MORTGAGE BUILDING
HERALD BUILDING
LONDON BUILDING
ELECTRIC RAILWAY CHAMBERS
McGILL BUILDING
ST. JOHN, N.B.
COBALT, ONT.
NEW YORK, USA
ESTABLISHED l«7
Alloway & Champion
Bankers and Brokers
Memberi of Winnipeg Slock Exchange
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg. Montreal. Toronlo and New York Exchanges
A Weekly Meeting
THE Directors of this Corporation
are men well-known in the
commercial, finaricial and professional
life of Canada. They meet weekly
to transact business, when estates in
the course of administration receive
the benefit of their counsel and ex-
perience on all matters of importance.
All investments of trust funds are
made by the authority of the Direc-
tors, thus protecting estates, small as
well as large, against the uncertain-
ties of individual judgment.
THE
TOROiSTOGEAERALTRUSTS
CORPORATIOiS
Head Office : Cor. BAY AND MELINDA STS.
TORONTO
Branches ; Ottaw.T Winnipeg Saskatoon Vancouver
THE MONETARY TIMES
Volume 65.
MAIUTIMK HOAHl) OK TRADE MEKTING
^\^■.•itt■rn Provinces Havr Expinsive Railways, for Which all
Canada Must I'ay. Says President — New
Secretary Appointed
PARLIAMENT often forgets that there is in this country
an east as well as a west and a centre, said H. J. Logan,
K.C., president of the Maritime Board of Trade, at its 22nd
annual meeting held in Amherst, N.S., September 29 and 30.
The liream of a united Canada has not come true, he con-
tinued, and one thing which had not been foreseen was the
growth of the western provinces to their present extent.
Mr. Logan said in part: —
"As it was considered wise to make the canals of On-
tario free, it was also thought right in carrying out the terms
of Confederation and in cementing the different provinces
together that the rates and charges of the Intercolonial
Railway should be such as would encourage inlerprovincial
trade. Up until a few years ago the old Intercolonial, under
maritime province management, did a great work in build-
ing up trade between east and west. Then came a change.
Railroads, costing in the last twenty years over a billion dol-
lars, have been constructed, particularly for the benefit of
western Canada. These roads were not paying, in fact, were
rapidly becoming bankrupt. A merger was made between
these roads and the old Intercolonial, and in order to pay
for the long, lean section, the promises of Confederation
have been forgotten and the rates on the Intercolonial Rail-
way, which carries 85 per cent, of the passengers, and 50
per cent, of the freight of the whole Canadian system, have
been increased to such an extent that trade between the
maritime provinces and the upper provinces is liable to be
paralyzed.
"We have been able to ship a large part of the product
of maritime manufactories to markets outside of these pro-
vinces. I am told to-day by manufacturers that if the
present freight rates arc maintained, we must depend almost
entirely upon the markets in the maritime provinces, and as
wo are not large consumers of a number of the manufactured
products in the maritime provinces, the future of these manu-
factories is nothing less than aUumiiig.
Eniitcrn Provinces Neglected
"A united demand of the west has caused the govern-
ment to construct a very expensive railway to the north.
It is estimated that the total cost of this railway and the
equipping of a great national port on the Hudson Bay will
f.ist this country not less than fifty millions of dollars, in
>pit<' of the fact that this port can only be open to naviga-
tion about two months in the year, and yet we do not seem
to be able, in the miirilimc provinces, to secure the nation-
alization of our great winter ports and the equipment thereof
to handle traffic which comes to our shores.
"I submit what we require in the maritime provinces is
I. ■. !>;irty politir.'< and more iniiiitime politics. I know we
^•■■fi to the accusation of being grouchers, but as eternal
' f is the price of liberty, so must the building up of a
.1110 policy be the means of securing the amelioration of
w loin: conditons and the securing of nutionni justice to these
liiiMincs. We are divided into three cnmps. Personally, 1
believe in maritime union, but if that cannot be secured, let
us at lea.it be unitetl upon mnttcr.>i which are of vital im-
portance to our welfare. The Maritime Board of Trade is
the only institution in existence which can sficnk for all
maritime interests. It is therefore imperative that instead
of demobilir.ing we should secure new recruits in every city
i<nd town in these provinces anl m»i-ch forward."
The board went on record in fnvnr nf n united office
tor the maritime provinces in Ixind^i the rule of
the road; the reiluction of harvest • the west;
tlu .'itandardizine '^ ''" > -n mw-pauj.! : the P.EJ.
by.; and closer ri ' h the Wc»t indies.
The followinc oloctod for the coming year:
rresidont. H. J. lot. in. K.< : \-icc-prcsidont, J. LeRoy Hol-
man, Summerside; second vice-president, i^apl. J. E. Marstersj
Monclon; secretary-treasurer pro tern., H. R. Thompson, Ami
herst. Council: Wallace L. Higgins, Charlottetown; R. ii\
Emerson, St. John; A. N. McLellan, Sydney; C. C. Avardj
Sackvillo; George E. Graham, Kentville; J. B. Snowball, Chat]
ham; .John Kirk, Yarmouth; A. H. Whitman, Halifax.
Robert .\rmstrong, secretary of the St. John Board ol
Trade, was appointed secretary of the Maritime Boards, suc-
ceeding T. Williams, of Amherst. Mr. Williams resigned
because of ill-health.
ALBERTA ASSOCIATED BOARDS OF TRADE
Provincial Organization Formed in .\lberta — J. A. Valiquette,
President, Outlines Work for New Body I
AT a meeting of representatives of boards of trade inl
.\lberta, held in Edmonton, September 29-30, the
"Alberta Associated Boards of Trade and Chambers of Com-
merce" was organized. J. A. Valiquette, Calgary, is presi-
dent, and the vice-presidents are J. E. Brown, Edmonton,
G. R. Marnock, Lethbridge, and Wm. Cousins, Medicine Hat.
.•Vn executive was elected as follows: R. B. Welliver, Red
Deer; F. P. Layton, Camrose, and Angus Campbell, Grande
Prairie. J. H. Hanna, secretary of the Edmonton Board,'
will act as secretary of the Associated Boards for the time ,
being.
It was decided to appoint representatives from the'
associated boards of trade in Alberta to meet representatives
of a similar association in Saskatchewan with a view to
securing the ser\'ices and advice of an expert upon freight
matters requiring adjustment within the two provinces.
Will Take Action
Speaking of the new organization Mr. Valiquette said:i
"There was a spontaneous movement on the part of all the
delegates from every board of trade seeking the development
of commerce in Alberta and the furtherance of all interests
contributary to its development, but the idea in the formation
of the .Associated Boards of Trade goes further than this. It
seeks for the development of opportunities in the province,
and it aims at a united effort so that the problems of interest
to one locality may, through this new organization, receive'
the support of all boards of trade.
"The work of this organization is not for the purpose
of passing resolutions only, but rather for pushing these reso-
lutions to a practical conclusion when they are of such a
nature to warrant consideration on the part of those who are
in authority to deal with the questions they entail. These
resolutions must be of such nature that practical work can
follow, and also such that they may be intelligently dealt
with.
"In proof of this a resolution bearing on the cattle
embargo which was presented to the convention at Edmon-
ton did not get through, but was, instead, held up to gather
further information so that the organization may be in a
position to make an honest effort to remedy the state of
affairs now existing.
"Another resolution which did not get through was that
of the development of power in the province. It was the
opinion that there was not suflicient information at hand on
this subject to deal with it intelligently, and the Associated
Boards of Trade wish to be in a position to handle all such
questions advisably and intelligently before they are taken in
hand."
The association went on record in favor of: .Asking the
Dominion government to order the railways to provide more
cars for grain shipments and development of water power
by the provincial government.
Wood. Gundy and Co. have secured an office in the Lind-
say Building. Winnipeg. Man., and will shortly operate an
extensive western husinesi under the management of A. H.
Williamson.
October 15, 1920
THE MONETARY TIMES
^erlingTrusts Corporation!
Professional Men
and Manufacturers will (ind it profitable to
et us manage their personal Estates for
them. Our experience and financial adwce
is free. We open and keep a complete set
of books, make income tax returns, look
after investments. &c.
Wrile lo-da)).
Y^
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EVERY MAN RECOGNIZES
the- duty hf owts to liis wife and othL-r iiieiiibers of his
family to sec that each one of them is provided for after
his decease as well as before, but in many instances omits
to make such arrangements as will ensure his and their
affairs beiny properly managed after his demise. The
appointment of this Company as Executor and Trustee
under your Will, will safeguard and relieve them of duties
which might prove onerous to them. luterviews and
correspondence invited.
THE CANADA PERMANENT TRUST COMPANY
aid-up Capital
$ 1 .OOO.OOO
.M.mascr. Ont.ii
TORONTO STREET
TORONTO
:h: A. E. Hessin
A. J. Pattison Jr. & Co.
Specialists Unlisted Securities
lOe BAY STREET
TORONTO
WESTMINSTER TRUST COMPANY
Ihc Oldest Provintiul Trust Company in U.C.
Head Office - NEW WESTMINSTER, B.C.
GENERAL FIN-^iNCIAL AGENTS
4Jmlmiitraltn. Rmlvtn. ExtnUn, LlQuldalan. Aultntt, Tmt—i
\> A. KIDDELL, ManpKcr
H. H. CAMPKIN
Insurance, Loans, Bonds, Debentures and Real Estate
Agent for Canadian Pacific Railway Co. Lands.Canoda .\orth
West Land Co. Lands. Hudson's Bay Company's Lands.
REGINA, SASK.
The Security Trust Company, Limited
Head Office - - Calgary, Alberta
Liquidator, Trustee, Receiver, Stock and Bond Brokers,
Administrator, Executor. General Financial Agents.
W. M. CONNACHEH Prcs and Managing Director
DEPARTMENT OF CUSTOMS AND INLAND
(REVENUE
EXCISE TAX LICENSES
Retailers, Jewellers, Manufacturers and
Sales Tax Licenses as required under the
Amendment to the Special War Revenue Act,
1915, are ready for issue, and application forms
may be had from the undersigned.
Firms not in possession of Licenses on the
1 5th November, 1920, ■will be subject to penalty
as provided in the Act.
PENALTY
For neglect or refusal to take out a license shall
be a sum not exceeding;
ONE THOUSAND DOLLARS
G. E. DUNBAR,
Collector of Inland Revenue at Toronto
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for iiivL-.stiiieiit in all classes of Securities
lUisiiiess Agent for the R. C. Arcbdiocese of Vancouver.
Fiscal Agent for 15. C. Municipalities.
Inquiries Incited
<;rnrrnl «iiiiiiK.r Lliut.-Cnl. «. II. DOKRELI.
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acts as Executor, Adminislrator, Trustee, Guardian, Liquidator
Assi(nee, and in any other fidaciarjr capacity.
Official Adminislrator for the Northern Judicial
District and the Dauphin Judicial District in
Manitoba, and OITicial .'\ssiKUcc for the Western
Judicial District in Manitoba and the Swift
Current Judicial District in Saskatchew.'\ii.
Branch Offic*- Swift Current, Satkatchewan
JOHN R LITTLE. Managing Director
THE MONETARY TIMES
Volume 65.
FIKK AM) ACCIUENT PREVENTION MEASl RES
Eire I'rcvcnlion Day Now Observed in Nearly Every rrovince
— Ontario Safety League Holds "Safety Week"
C ATURDAV, Oct. 9, was obser\'ed as fire prevention day
'^^ in Canada, and tlio present week, ending October 16, has
hcf-n proclaimed a "Safety Week" by the Ontario Safety
League. A proclamation issued by tlie governor-general in
connection with the observance of fire prevention day recites
that during the past decade in Canada more than 2,600 per-
sons have lost their lives, and property valued at approxi-
mately $200,000,000 has been destroyed by fire, and that the
annual loss from this source continues practically unabated.
Many millions of dollars' worth of standing limber are also
destroyed annually, and new growth is injured. This loss is
absolute. Seventy-five per cent, of the fires are preventable,
and care should be taken to prevent them. The following
measures were suggested: —
"1. All dwellings and their surroundings be carefully in-
spected by their occupants and all conditions likely to cause
or promote the spread of fires removed.
"2. All public buildings, stores, warehouses and factories
be inspected and cleared of rubbish in order to reduce fire haz-
urd.s and maintain health and safety.
"•'!. All hotels, theatres, asylums, hospitals and other insti-
tutional buildings be inspected and provision made for all
changes necessary to protect the occupants from danger in
the event of fire.
"■I. Fire drills be held for the children in all schools, for
the inmates of all institutions and for the employees in all
largo stores and factories in order tliat a greater degree of
safety may be ensured by actjuainting the occupants with the
best and most expeditious mode of exit in time of danger.
".'). Special instruction on the subject of fire prevention he
given by the teachers and by municipal officials in the schools
and that such appropriate literature as may be made avail-
able bo distributed to the pupils.
"6. Boy Scout leaders give instructions to the troops under
their control as to the best means of co-operating with munic-
ipal fire department.s in the prevention and extinguishment of
fires, and especially as to the desirability of qualifying for
the Fireman's badge.
"7. Operators of lumber camps, settlers, campers, hunters,
and others who may 'from time to time enter our national
parks and forest areas, acquaint themselves with all laws,
regulations and precautionary rules devised and established
for the safeguarding of the woods against fire.
"8. All legislation and regulations enacted or issued by
Dominion, provincial or municipal authorities dealing with fire
previ'ntion be given publicity by the municipal officials and
that by public meetings or otherwise as may to them seem
most fit, they endeavor to impress upon the citizens the na-
tional importance of .safeguarding life and property from loss
by fire."
Ontario, as usual, made a vigorous cfTort to improve condi-
tions, and a largo amount of literature was distributed, and
nrran^^eml■nts made, through the Ontario Fire Prevention
I.eagui', for removal of fire hazards. Nearly every other
iiicix iM. . made a similar effort.
Prevention Week in Mnnilnbn
iMuniloba obser\'ed the whole week, commencing October I.
as fire prevention week, and suggested the following pro-
gram:— Appointment of a fire prevention committee in each
city, town and municipality, to take clmrge of the work; proc-
lamation by mayors of cities and towns, and reeve of each
municipality, and setting forth n general clean-up day; ."bow-
ing of suitable fire prevention phrases in moving picture tb'--
atres; self-inspection of every home and fnmi to prevent fir";
inspection of business premises by owners and occupants with
the view of removing and properly disposinir of imeless inflnni-
mnble nil>bish and \vn.<<te, and immediat" ' ' ' ' ••
correction of fire hazard.s; brief talks 1'
ployees on fire prevention: fire drill in >. . .i
other establishments; reading of govemoi^gcncral'.- proclama-
tion in schools and colleges; brief lessons on fire prevention
in schools; enrolling of boy scouts as fire preventionists; fire
department inspection; fire prevention by fire insurance in-
terests; special inspection of livery barns and stables by Win-
nipeg Humane Society; fire prevention committees to be made
pei-manent for fire prevention work.
Model By-Law in Quebec
Outlining the work in the Province of Quebec, P. J. Jobin,
pro\nncial fire commissioner, says: "This office has forwarded
the Governor-General's proclamation to all the city, town, vil-
lage and parish municipalities. Leading articles for news-
papers were written and published. So much for the 9th of
October. During the other 361 days of the year we are busily
recommending to the aforementioned municipalities the adop-
tion and enforcement of fire prevention by-laws. We are also
helping where necessary with advice and financial assistance
to those municipalities that require efficient and satisfactory
fire protection appliances." The province has drafted and
distributed model fire prevention by-laws in French and Eng-
lish.
The Alberta fire commissioner's office distributed read-
ing notices to the principal papers of the province. Copies
of the governor-general's proclamation were also forwarded,
as posters, to the secretary-treasurers of towns, with a re-
quest for their co-operation in arranging to assemble the
school children and invite someone, such as the fire chief,
to give a talk on fire prevention-day and its causes. This
year a very extensive campaign is being conducted through
the medium of the schools, moving picture theatres, press
and private mailing lists of large companies, to place before
the public some truths in regard to methods of fire pre-
vention.
THE GOLD SITUATION
Discussing the currency problem in Canada, the August
issue of the Sterling Bank "Teller" says: —
"The road to sound currency is the straight and narrow
path of strict observance of contracts. As a nation, we must
make good on our pledges. It would, of course, be compara-
tively simple to announce a return to redemption in gold on
demand, but under present conditions difficulty would arise
in maintaining such redemption. If exportation of gold
were free, shipments in payment of our cash obligations
abroad would quickly deplete this country's stocks of the
yellow metal. On the other hand, it is questionable in how
far any effective restraint could be maintained on the ex-
portation of gold, if gold were available within this country
m exchange for Dominion notes. Hoarding probably would
have to be expected; smuggling of gold out of the "country
could not well be avoided. Moreover, there would be no
value m restoring demand redemption of our currency in
gold unless the recipients were allowed to use such gold
freely m mtcmational commerce. The situation would be
.serious if exportation of gold were permitted freely and if
the yellow metal were obtainable on demand in redemption
of our paper currency. Indeed, our entire gold holdings
would be gone m a year's time.
"In necember. hvA. Canada's visible gold stock— i.e..
f ,^,!7Jhj'"'"''"""'^ and the banks, amounted to
about S1.J2.000.000. At the end of 1919, it was higher bv
?50,000.000. With a population of less than ten milUonJ
Zrt""X ''n • "^r" •'" '^"*- °f ^he population of the
wor d. the Donnnion holds approximately 2 per cent, of the
world s gold. Moreover, gold mining in this country would
augment our holdings of the precious metal bv $1.5,000.000
annually ,f the leak resulting from the unfavorable condi-
t.on of our international cash account could be stopped. We
pay our obligations abro.-id with other goods
nnH„7Hr ^^"' ^^'''^''IV'' '^^ «" "rder our trade relations that
th.t in Inr f - ' "^ ^"'f '"" ""' ^^'^^ P'«« ^"^ ^o make sure
that in our foreign relations we do not have aggregate cash
obligations exceeding current cash receipts." ^^^ '^ *""'"
October 15, 1920
THE MONETARY TIMES
21
A LIVING TRUST
A Living Trust Agreement with the- UNION TRUST
COMPANY is appropriale to the elderly whose declin-
ing energies should be free from the burdens of properly
management, and also to the active person who wishes
TO develop and build up his business without losing val-
uable time over routine details.
t Qualification the effciencu and economu of
Successful men endorse i
Living Trust Agreements,
Ask Jo
rfolde,
Union Trust Company, Limited
HENRY F. GOODERHAM. Prcidcni
TORONTO - - Cor. Richmond and Virtf^.. -
WINNIPEG. MAN. LONDON. ENGI \
i% on Savings — Withdrawable by Cheque
When selecting a Trust Company as an Executor
choose one whose fixed policy is to give
FINANCIAL ASSISTANCE
To Estates being ai. ministered by it.
CAPITAL. ISSUED AND SUBSCRIBED . .Si. 171. 700.00
PAID-UP CAPITAL AND RESERVE 1.172,00000
The Imperial Canadian Trust Co.
Ezecntor, Administrator, Assignee, Trustee, Etc.
HEAD OFl-ICE: WIXNIPEC, CAN.
1
THEB7\NKERS
TRVST OOMBWlf
Head Offices: MONTREAL
Authorized Capital
$1,000,000
PresiJcnl -
SIR H. MONTAGU ALLAN C.V.O.
A. J. DAWES
JAMES ELMSLY
C. D. CORNELL
l/ice-PresiJcnIs -
D. C. MACAROW
General Manager
Secretary
Directors:
Sir H. Montagu Alton. J. M. Kilbo
T. Ahearn [C.V.O. I. D. G. Kippcn
G.L. Cains
A. l Dawc.
A. B. Evans
David N. C. HoKg
W. B. Uiich
Sir F. Orr Lewis,
Thos. Long
D. C. Macarow
W. A. Meldium
T. E. Meriett
Li.-Col. J. R. Moodic
Farquhar Robertson
Hon.LorneC.WcbsIcr
F. Howard WiUon
Edwin H. Wilson
]ohn Wilson
Offices now open in Montreal, Winnipeg,
Calgary, St. John, N.B., Halifax, Regina,
Vancouver, Victoria and Toronto.
Premises in Merchants Bank Building in each city
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
A Newspaper Devoted to
Municipal Bonds
THERli is puhlisheil in New ^■ork City a daily
and weekly newspaper which has for over
twenty-five years been devoted to municipal
bonds. Bankers, bond dealers, investors and
public officials consider it an authority in its
field. Municipalities, consider it the logical
medium in which to announce bond ofTerintjs.
Write for free specimen eopif
THE BOND BUYER
67 Pearl Street
New York, N.Y.
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
The Standard Agencies, Limited
Head Office CAI.GAK'i , AI.HEKTA
Money to Loan on Improved Farm Lands and City Properlica
in Western Canada. A. J. SCOTT. Men. Man.i(!cr
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
The Trustee Company of Winnipeg Ltd.
322 MAIN STREET
M. J- A. M OB LA (-.ICLAIS. Man.iBing Director.
Sci- us for investments in allocated <ir guaranteed loans at attractive
rates of interest. ,,,.-, . «. „ i
Our Attcncy Department is very active. While out of town, li.i>^
your afr.iir» in our chartic.
THE MONETARY TIMES
Volume 65.
TRADE FIGURES SHOW NO NEW DEVELOPMENT
WHOLESALE PRICES CONTINUED DOWNWARD
Imports Still Continue to Inorease, While Exports are Re-
duced—Business with France Falling Away — Exchange
and Customs Regulatiuns Responsihie
1^0 departure from previous tendencies is shown in the
trade statement for the twelve months ended August,
1920, issued by the Dominion Bureau of Statistics. The report
is liable to prove misleading, that is, as far as this year's
trade is concerned. During July and .\uj»ust, according to
figures issued by the Department of Customs, there was a
slight improvement in the trade situation. This is not dis-
cernible in the table below, however, inasmuch as the im-
provement in the months mentioned was not great enough
to affect the yearly total to a noticeable extent.
It will be noticed that our foreign trade continues along
favorable lines, with the exception of France. Hon. Dr. P.
Roy, Canadian High Commissioner to France, while in Ottawa
recently, explained this. He stated that France was in need
of many products from the Dominion, but the exchange
situation and unfavorable customs regulations prevent that
country bu.\Hng large amounts of materials here just now.
Regarding our trade within the empire, it is apparent
that there is room for some adjustment, particularly in the
case of the United Kingdom and the East and West Indies.
Imports from the United States are nearly double exports
to that country, indicating that drastic measures will have
to be taken if the exchange rate is to be restored to par in
the near future.
Months endinR August
i 1919"
8r.f,267.8»4
I.W.477.44S
Twelve
1 „ '9'*
laPORTI FOB CONSUHITION g
Dutiable Goods I 518,484,137
Free Goods | 386.373,813
Total imports (mdae.) ' 902.K57.9.'iO
Duty collected ~~iss,SWJ62
Exports 1
C»n»<ii<'n l.334.9r.t.S42
for^iS" 41.190(66.1
Total export* Iindse.) : 1,376,163.007
iMi'oirrs DV CouN-miHS i
Un.lcd KinrtJom 70.906.189 76,690.Z»
u^. 1 r . 1 J. 1 '.^.sai.aao ' 4.,'S9!i.aj4
llrlt.'^hliVI I;.4^1,0HI H.H47.iVl
1.301.428.368
850,743.841
445.4a8..«23
1.296 IS2,364
\(r
China
Ciih..
Greece
Italy
Japan
Nclhi',1.1
I'nil. ;
Olh.
Hr.t.ih Snulh ,\(ri
llrilish Wc>.I InJic
lions Konu
.<,.'iO«.777
738.!114 ,
i.rji.^Ts
Index Number Reduced from 316.8 to 330.2— Decline Due
Chiefly to Lower Levels in Potatoes and Other
Fruits and Vegetables
IN August, 1920, the prices movement was marked by a
steep decline in potatoes, and there were also a number
of decreases in other lines, particularly in grain, live stock,
fish, textiles, hides and leather. Tliere were increases in dairy
products, iron goods, and in coal and petroleum products. In
building materials some lines of lumber were lower, and
there were large decreases in linseed oil, turpentine and putty
and shellac.
The index number of wholesale prices fell to 330.2 for
the month as compared with 346.8 for July, 349.3 for June,
356.6 for May, 301.1 for August, 1919, and 136.3 for August,
1914. The decrease was due chiefly to the decline in potatoes,
but there were lower levels in other fruits and vegetables,
and also in the lines mentioned above.
The following table, compiled by the Department of
Labor, shows index numbers of wholesale prices by groups
and commodities for August, 1920, as compared with pre-
vious periods: —
(mjPAUT.ME.VT OF LABOUR
FIGURESl
Fodde
AND Fodders:
, Ontario
Western
All
> Meats:
Cattle and beef
Ho«s and hoft products..
Sheep and mutton
Poultry.
All
V Products..
All.
V. Other Foods :
(aI Fruits and veget
Fresh fruits, native.
Fresh fruits, foreign
lined fruits
Fresh vegetables . . .
Canned vegetables. .
All.
(b) Miscellaneous groceries
BrcadstuRFs
Tea. coffee, etc
Sugar. etc
Condiments
All
. TlXTILES ;
Woollens
Cottons
Sdks
Jutes
Flax products
Oilcloths
All
Hinfs.LKATHKB. Hoots A\n«
Miiles and l:,llow
Leather .'.;
Hiiots .lid Shoes
VI II. MirtALs avd iBPljiBBirrt:
Iron and steel
Other metals
Implements
IX. Fen. AND Li(
Fuel .
Lighting
Miscellaneous materials
Paints oil, and glass ..
' furnishings.
XIII. Mis^-rujkNBOt's-
Raw Furs
Limmrsand tobacco
All commndiHcK .
Index Numbers
400 n
35H.4
319 li
476.6
366 2
305.5
3,S3 2 i
390 5
IS6 9
487.(1 I
V83.1
378.8
378.9
225.8
288.3
241.4
618.1
!!16.3
352.9
33C.8
222 7
4S5.6
!31.1
325.9
337.3
408.lt
200.9
5!4.1
.SiO 8
312. 6
282 8 ;
282.9
318 0
i.W 8
251 4
4.'il 3
S'>l 9
161 I
2Slt S.*! 2
312.0
•""Ii.6
292.2
224.6
255.1
2S0.8
40-.6
2 1.'
318.0
267.7
487.4
397.2
451.3
501.9
161.1
2-12.2
389.2
915.9
315.1
215. b
415.6
343.3
3ii2 U
274 0
333 1
360 0
431 4
270 7
520 5
388 3
29.! U
219 9
88 6
191 3
262 0
3839
830.6
251.6
274 0
221 2
276 9
232 4
257 9
377 5
334 6
179 7
»49 K
458 0
2;2 3
.162 I
20' 0
203 9
210 7
214 2
231 I I
241 U I
23o 3 ;
:<9< 2
16) 4
253 8
325 4
1031 n
I'.Sfi 5
216 6
131 6
162.8
151.6
168.1
161.3
231.9
178.&
168.8
216.8
199.9
140.5
153.0
158.4
151.8
146.4
141.0
93.6
255.2
119.8
101.6
I3S 7
202.9
161.4
155.7
171. 3
100.5
124.7
106.6
)82.1
169.8
140.1
138.8
1166
133.9
72.4
125.3
128.8
111.4
PrclimmaiT Rgures. 'Seven commrvtiii... „« .u . ,
One line „( r^. " °f "^^ market, fruits, vegetables, etc
une line ol spelter was dropped in ISIS.
October 15, 1920
THE MONETARY TIMES
23
INVEST YOUR SAVINGS
in a 5>4% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital $2,412,578.81
Reserves 964,459 J9
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Calgary,
Edrooaton, V'aacouver, Victoria ; Edinburgh,
Scotland.
Dollar by Dollar
is the way some people save, and many succeed in building
up substantial accounts. It is well worth the effort to save,
even in a small way. as it is a well-known fact iha. laving
money increases one's productiveness.
Your savings will be safe with this old-established institu-
tion, and you will receive interest thereon at
THREE AND ONE -HALF
per cent, per annum, paid twice each year.
Canada Permanent Mortgage Corporation
TORONTO STREET - TORONTO
Established 1855
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
.Masonic Temple Building. London. Canada
Interest at 4 per cent, payable half-yearly on Debentures
T. H. PURDOH. K.C.. President NATHANIEL MILLS. Manager
The Hamilton Provident & Loan Society
Head Office. King Street. Hamilton. Ont.
Capitol Paid-up. $1,200,000. Reserve Fund and Surplus
Profits, $1,280,570.59. Total AsscU, $4,764,339.21.
TRUSTEES AND E.XECLTOKS are authorized by Law to invest Trust
Punds m the DEBENTURES and SAVINGS DEPART.MENT of this
Society.
GEORGE HOPE President 13. .M. CA.MERON. Treasurer
^"^ Ontario Loan
& Debenture Co.
LONDON Incorporated 1870 Canada
CAPITAL AND UNorviDED PRt*iTS .. $3,91X1,000
SHORT TERM (3 TO .5 YEARS)
DEBENTURES
YIELD im'ESTORS
5^
5^1
JOHN McCLARY. President
A M. S.MART. Manager
/^VER 200 Corporations,
^-^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG. Mao.
THE TORONTO MORTGAGE COMPANY
Office. No."il3 Foronto'Streest
Capital Account. »:H.T,:M.m Reserve Fund. l!»i7«..)O.I UO
Total Assets. ».t.i49.l,Vl.l!«
President. WELLINGTON FRANCIS. Esq.. K.C.
Vice-President. HERBERT LANGLOIS. Esq.
Debentures issued to pay .V.j. a LcKal Investment for Trust Funds.
Deposits received at 4".. interest, withdrawable by cheque.
Loans made on improved Real Estate on favorable terms.
WALTER GILLESPIE. Manager
Six per cent. Debentures
Intcrc'it payable half yearly at par at any hank in Canada
Particulars on application
The Canada Standard Loan Company
520 Mclntyre Block, Winnipeg
ACCOUNT BOOKS
Loose leaf Ledgers
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Streets
TORONTO
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Wr.lrrn Wiinlrlpnl. >rhi>f.l nnil ?.i«.Liilrli.-» nn Itiirnl Trie.
pliani' «'o. 4if'brDlarr« ■p<Tlnll«e<l In.
CorrcjponJcnce rnvilc./
GRAINGER BUILDING SASKATOON
F. S. RATLIFF & CO.
FARM LANDS-FARM LOANS
STOCKS AND BONDS
Medicine Hat Alberta
THE MONETARY TIMES
Volume 65.
I'REFERKEU STOt K ISSUES APPROXIMATE THIRTY-
SEVEN MILLIONS
rnderwritini; of HritiNh Empire Steel Shares Responsible for
Lartri' FiKiire — Total to Date This Year Nearly
Seventy-seven Millions
WITHIN the past three months new offerings of pre-
ferred stock were not as numerous as in the early part
of thf year. Thei-e were some important changes in the cap-
ital of .several Canadian corporations, however, which are in-
teresting to review.
The Canadian General Electric Co. issued $1,000,000 addi-
tional common stock, bringing the total capitalization of that
company to $8,000,000 common, paid up, and $2,000,000 pre-
ferred.
.A special dividend of 25 per cent., available to shareholders
in the form of new stock at the rate of one new share for
each four held, was declared by the Lake of the Woods Milling
Company. As a result of this 7,000 shares of a par value jf
$100 are now listed on the Toronto Stock Exchange.
Shareholders of the Wabasso Cotton Company converted
17,500 shares of $100 par value into .35,000 shai-es of no par
value, holders of the old shares receiving two for one.
Under the new Riordon merger plans, shareholders of the
Kipawa Co., Ltd., expanded their holdings of stock into new
Riordon Co., Ltd., common shares, the basis of exchange be-
ing 1 '; shares of new for one of old.
The bond issue of the St. Maurice Paper Co. was converted |
into common stock, bringing the common capitalization up to 1
$7,899,900. This amount is the sole outstanding liability to
shareholders of the company.
The Dryden Pulp and Paper Co., Ltd., whose bonds are held
by English interests, sold 100,000 shares of common stock (no
par value) in Canada, at a price of $35 per share.
Capitalization of the Brompton Pulp and Paper Co. was in- j
creased from 70,000 shares of a par value of SlOO each, to;
210,000 shares of no par value. Shareholders received two
new .shares for one of old. and the remaining 70,000 is kept
in the treasury.
L'p to the present time this year a large number of new!> '
incorporated companies have been issuing stock, while many!
other companies have increased their capital. 7"/if Mone-
tary Times has been unable to make an estimate of the :
new stock issued, owing to the fact that the shares of the
majority of these organizations have been absorbed privately.
The following table gives the details of preferred stock of-
ferings which have been placed on the public market during
the last three months. Total offerings of this nature to date
this year approximate $77,000,000. It will be noticed that in
most cases inducements were offered in the way of substan- ;
tial common stock bonuses. The shares of the British Empire
Steel Corporation were placed privately in Great Britain,
chiefly with large steel concerns there, by Col. Grant Mor-
den, one of the chief executives of the rnrisnlidatinn: —
Heaver Motor Truck Corp., Hamilton, (cum. rctirabic pfd,)
Vulomohilc Club of C;mad.i, Ltd.. (cum. pfd.)
Rubber Co of Canada (cum. part, pfd ), .
Lake St John Pulp Sc i'.tper. Ltd., (cum. pfd. non-part.).
Allen Theatres Ltd.. (pfd. cum )
Winnipeu Electric Railway Co. (cum. pfd.)
Three Kiveri Pulp* Paper Co.. Ltd., (cum, pfd. part I
Itntisti Kmpirc Stc«l Corp. (cum, pfd, participatin,.
Amount Div, %
•
'iSO.OOO
(,00.000
600 000
1.000.000
•2.500,000
3,000.000
4,I«)IMW<I
llNllERn-RITeRS
Uffering I rv.o,..>K
Pniri.- COMMO.S
PRlCb 1 g.j„^„
.Mor^nn-Dean. Harris* Mulveney
Provincial Bond Co.
R, .M. HcfTcrnan & Co.
Direct to Public
Housser. Wood \ Co. and others
Neshitt, Thomson S- Co.
Guaranty Investment Corp.. Ltd,
Privately
1 *
100 1 so
98 1 40
too 25
100 66§
100 50
100 One share
PIBLK ATIONS RECEIVED
Concordance of the Companies Act. — By Leslie G. Bell,
of the Montreal Bar. Carswell Co., Ltd., Toronto. 181 pp.;
with index; $,">. This hook rovers the Dominion Companies
Act, the Business Profits War Tax Act, the Income War Tax
Act. and provincial legislation applicable to Dominion com-
panies. The increasing number of incorporations and the
growth and importance of legislation governing such bodies
make it a very u.scful work. The "Office Consolidation of •
the Companies Act," which comprises 88 pages of the book,
is a thorough index to all subjects dealt with by the act.
Canndinn Customs and Excise Tariffs. — Compiled by
M, P. McCioldrick, of His Mi lonis, Montreoi.
Published by ("has. S. J, Phillip holas St,. Mont-
real. ."104 pp.; $2..')0, This haii r the tariff on all
classes of good.s alphabetically arritiiKed, and includes the
Revenue Act of 1'.I20. It also shows the articles subject to
luxury tax and those exempt from sales tax, and the stamp
tax legislation. Other features are n list of warehousing
ports, outports. etc.. in the Dominion; the trade conventions
with Belgium, Netherlands. Japan. Italy and Hriti.sh West
Indies; extracts from the Custom.'^ Act. specimen forms of
customs, documents, forcii'" ■■'•■••i'. i ■- with their
Canadian equivalents; Ijil 'im.s value
of foi-eign currencies: m.- ;,nd francs
into Canadion moii' utmi futie tanlT and list of
))rincinal customs 1 ado.
Daylight on Ih. M ,.<i<l Banli- '■- ■• R,
C. Owens. Western Veteran Pub ton,
,Mta. 47 pp.; $0.2.^, The author ol . ve*
that wealth is produced by labor alone, 'l; i.-. .u ;i:..u|,:nizcd
fundnmeptal fact of political economy that labor produces
all wealth," he says. He accordingly deplores the accumu-
lation of wealth through interest, and urges radical changes
in the money and banking system. His chief proposals are:
That the government issue sufficient legal tender money for
all needs, thereby abolishing credit and interest, and that
banking be conducted by the government at cost; that a tax
on land values be imposed; that the tariff be abolished; that
natural resources be the property of the people; that public
utilities be operated at cost; that six hours be a legal day's
work; that each person over 55 years of age receive a pen-
sion; and that an income tax of from 50 per cent, to 100 per
cent, be levied on all incomes from $2,000 to $1,000,000,
until the public debt is paid.
Canndinn Bankruptcy Reports. — General interest in the
application of the Bankruptcy Act has led to the commence-
ment of a special publication, to deal carefully and e.xhaus-
tively with the development of the law under the act. The
series is known as the Canadian Bankruptcy Reports, Anno-
tated, published by Burroughs and Co., Ltd., of Calgary,
Alta., and handled in eastern Canada by their eastern office.
Burroughs and Co, (Eastern), Ltd., Witness Building, Mont-
real. Que. The first part has appeared and contains a com-
plete text of the act with an especially prepared index and
concisely but exhaustively annotated. There are also several
decisions of the courts of both England and Canada of value
in interpreting various sections of the act. The text of the
act as obtained from the government gives the original
draughting of the act and in separate form amendments. As
published in the Canadian Bankruptcy Reports, Annotated.
the amendment.s arc incorporated with the original act, and
It is not necessary to look in two places or to take the orig-
inal act with the amending act.
The subscription price is $10 per volume, covering a
period of twelve months.
October 15, 1920
X E T A R Y TIMES
DIVIOENO NOTICES
THE CONSUMERS' GAS COMPANY
OF TORONTO
Notice of Annual Meeting
The Annual General Meeting- of the Shareholders of the
Consumers' Gas Company of Toronto, to receive the report
of the Directors, and for the election of the Directors for the
ensuing year, will be held in the Companj-'s Boardroom, 17
Toronto Street, Monday, the 25th day of October, 1920, at
12 o'clock, noon.
ARTHUR HEWITT,
General Manager. 249
THE MERCHANTS BANK OF CANADA
QUARTERLY DIVIDEND
A Dividend of Three Per Cent, for the Current Quarter,
being at the rate of Twelve Per Cent, per annum upon the
Paid-up Capital Stock of the Bank, was declared payable on
1st November next to Shareholders of record on the evening
of 15th October, stock not fully paid up on 31st July to par-
ticipate in the dividend on the amounts paid up on that date
and upon later payments from the date thereof.
By Order of the Board.
D. C. MACAROW,
General Manager.
Montreal, 30th September, 1920.. 247
Dkbkntijres for Sale
DEBENTURES, TOWN OF KENTVILLE
Sealed tenders addressed to the undersigned and
marked "Tenders for Debentures" will be received up to
noon on October 25, 1920, for the purchase of the following
debentures: —
$25,000.00 to pay Water Works Debentures matur-
ing January 1, 1921, in denominations of $500.00
each, and dated November 1, 1920.
$2,500.00 to pay School Debentures maturing
January 1, 1921, in denominations of $500.00 each,
and dated November 1, 1920.
$1,300.00 to pay Exhibition Ground Debentures
which matured on November 1, 1919, in denomina-
tions of $100.00 each, and dated November 1, 1920:
$2,300.00 for the purchase of a Chemical Engine
for the Fire Department, in denominations of
$100.00 each, and dated November 1, 1920.
All of the above debentures will bear interest at six
per cent, per annum, payable half-yearly, and said deben-
tures are to be issued under the Authority of an Act of the
Legislature of the Province of Nova Scotia passed at the
last session.
These debentures redeemable in 25 years.
The highest or any tender not necessarily accepted.
Dated at Kentville, Kings County, N.S., this 8th day^of
October, A.D., 1920.
J. CARROLL,
Town Clerk.
LAKE OF THE WOODS
MILLING COMPANY
STATEMENT
VARIOUS ACTIVITIES INDICATED
Many people have been watching with interest for the
statements of the milling companies covering the period
during which they labored under Government restrictions,
and the statement issued by the Lake of the Woods Milling
Co. to their Shareholders is of interest to all.
Despite the hindrance of the regulations, the statement
is highly satisfactory, although the profits have been made
not so much by milling operations as by the Company's
various activities in other fields.
The total profits for the year were $732,232. against
$756,616 of a year ago. The net earnings were equal to 23.4
per cent, on the increased stock, against 28.5 per cent, on
last year's lower capitalization. The slight decrease is due
to the war-time regulation which made it necessary for the
Lake of the Woods Milling Co. to depart from their standard
of excellence for their brands and to make use of certain
substitutes designated by the Government.
The balance sheet indicated a strong fiscal position. The
Company's net working capital at the end of the year
amounted to $3,481,089, compared with $2,236,855.
The statement shows the total revenue for the year to
be derived from the following: —
Milling profits (after deduction of operating ex-
penses and proN-iding reserv'es for doubtful
accounts, war taxes, etc.) $410,521.49
Profits from sources other than milling proper
(including dividend from Sunset Manufac-
turing Co., Limited, the subsidiary company) 321,711.36
$732,232.85
This amount has been apportioned as follows: —
Interest on Company's Bonds S 51,000.00
Dividend of 7<;'r on Preferred Shares 105.000.00
Dividend of 12' i on Common Stock 204,000.00
Written ofT on Property and Good-will Accounts 100.000.00
Carried to Surplus .Account 179,232.85
$732,232.85
254
T HE MONETARY T I M E S
Volume 65.
Tariff Opinions of The West Are Conflicting
Farmers Still Want Suhstantial Rtductions. Hut Are Not Free Traders— Local Manufac-
turers Voice Protectionist Sontinunl— Alberta Coal Dealers Want Protection— Saskatchewan
Grain Growers Advocate Direct Rather Than Indirect Assistance to Industry
DURING the past two weeks the Tariflf Commission has
held sessions in several western cities, as follows:
September 30, Nelson, B.C.; October 1, Trail. B.C.; October
■1 aiui 5, Calgary; October 6 and 7, Edmonton; October 8,
Saskatoon; October 11 and 12, Edmonton; October 13, Bran-
don; and October 14, Winnipeg. To-day the Commission is
in Fort William and Port Arthur, and next week will be
ppent in Ontario.
At Nelson, evidence was niven by the Associated Boards
of Trade of Eastern British Columbia, the Nelson Board of
Trade, the Central Farmers' Institute for West Kootenay,
and other orRanizations and individuals. The boards of trade
desired reduction or removal of the duties on those classes
of mininp and milling machinery and on those tools and sup-
plies used in connection with the mining industry that are
not manufactured in Canada. It is pointed out that many
of these types of machinery, indispensable in the mining
industry, are not represented in home manufactures and
have to be imported.
The Mountain Lumber Manufacturers' Association, re-
presenting 450 miles with 10,000 employees, urged that lack
of some protection on lumber is a far more serious thing
for interior mills than for those on the coast, which benefit
by having other markets and a larger proportion of high-
grade product.
The Central Farmers' Institute for West Kootenay asked
for detention of the duties on fruit for protection of the
British Columbia growers against dumping of United States
fruit in Canada. In regard to the tariff generally, the
principle of protection was favored where necessary for en-
couragement of young industries, provided that undue bur-
dens are not laid on other industries that have to import
machinery or raw material, or on the consumer at large.
Trotcction on Mining Products
At Trail, J. J. Warren, general manager of the Canadian
Consoli latcd Mining and Smelting Co., asked that they should
be given protection on zinc sheets and copper rods now free
of duty, and on pig lead, on which the protection is insuffici-
ent against Spanish. German and Belgian lead now coming
to Canada after some further manufacture in Great Britain
under the British preference. The removal of the 7'/4 per
cent, war tax on copper rods and fluorspar affected them, as
they had banked on its continuance to the extent of a quarter
of a million dollars' investment in a fluorspar plant and a
similar amount in a rod mill, and also $250,000 on the copper
refinery. On fluorspar they want a duty of $1.50 a ton,
the same as United States duty against the Canadian pro-
duct. A partial embargo in r.inc sheets, except from Great
Britain and the United States, was also asked, as well as a
bounty on all foreign business, to enable them to supply the
British market. lie asked that a duty of 1% cents on cop-
per wire and rods, the suime as on ingot copper, should be
levied, as the greatest part of Canadian consumption wb.h in
this way. Mr. Warren said the increase in freight rates had
increased the difficulty of competing with New York and St.
Louis plants. The handicap of one-third of n cent now exist-
ing had already increased to one-half cent a pound.
A bu.iiness man of the rity nml workers from the plant
also spoke, emphasizing the importance of the industry to
southern British Columbia, as well ns to the 2.500 men cm-
ployed and the mines served by it. They supported Mr.
Warren's propo.oals. As to lead Mr. Warren want* a con-
ference with all lead factorj- heads before making a sug-
gestion, but he wants the duty at least even with United
States duties of two cents a pound.
In Calgary, James Weir, member for Nanton. in the
i)rovincia1 house, stated that white the fanners do not look
for free trade, they want a revision to lighten the burden on
farm implements. He told the commissioners that Alberta
farn:er.< were willing to see the tariff revised to allow a
measure of protection being granted eastern manufacturers
and that never in his wide experience with them had he
heard them ask for absolute free trade.
Views of Coal Operators
Coal operators in the province wish the present moderate
tariff maintained on imports of coal, according to a state-
ment presented on behalf of the mine operators by W. F.
McNeill. This tariff, it was stated, was necessary to ensure
the expansion of Alberta mines and to assure a domer-tic
market for the products. The coal market in the province
at the present time, he said, is now on a profitable basis.
Jesse E. Gouge, Drumheller, mine operator, presented a
minority report from the Mine Operators' Association, in
which he claimed that protection is not essential to the min-
ing industry and that the document presented by Mr. McNeill
was inspired by a friendly feeling toward the Manufacturers'
Association on the part of mine operators. He declared the
tariff could be called a protection as it now stands.
W. F. McNeill, on behalf of Alberta coal operators, op-
posed .any reduction of the tariff on imported coal. The
present duty on bituminous coal for railroad and industrial
use was held essential by the operators because of the fol-
lowing reasons: It has enabled the development of Alberta
mines; reduction of duty would allow imported coal to re-
place Alberta coal in Manitoba markets; curtailing of this
market would lead to heavy increases in prices; reduction
would retard development of Alberta mines; the installation
of modern machinery would be stopped by the loss of the
market; hope of competing with the imported coal in the
northwest of Ontario would be impossible following a reduc-
tion in tariff; an assured emergency supply of coal for
western Canada would be lost by the retarding of mine de-
velopment in .Alberta; other industries would be adversely
affected; Alberta as a province would lose revenue; further
investment would be curtailed following a reduction.
In a lengthy document, Mr. McNeill outlined the develop-
ment of the .•Mberta coal field. There are now, he said, 276
coal mines in operation in Alberta, employing 12,207 men,
with an invested capital of more than $37,000,000. Colliery
workers and their dependents in Alberta number 50,000. The
value of products in 1918 from the mines was more than
$420,500,000, and whole communities depended on their con-
tinuance. The mines are capable of producing 12,000,000
tons with the present equipment.
Competition from United States
Manitoba was shown to be a heavy customer of the Al-
berta mines, having imported during the first seven months
of the calendar year nearly three hundred thousand tons.
This coal, he said, had to compete with the western states'
products. With assured markets, Mr. McNeill told the com-
mission, an.l the continuation of the tariff, Alberta mines
would be able to displace the two million tons of United
States coal which still enters the Manitoba market. In con-
clusion. Mr. McNeill told the commissioners that the opera-
tion of Alberta mines has not been profitable, owing to the
limited market ;,nd mining conditions. He asked on behalf
of the operators a continuance of the present moderate pro-
tection m order thnt present markets may be opened and in-
ducements to further df v.Iopment furnished
Jesse CKiuge. Pnin-.bMler, coal operator, presented a
minonty report, ..n.) obioctci to Mr. McNeill's statement.
The presentation of the document, he said, was as a result
of the friendly feeling of the coal dealers towards the Manu-
October 15, 1920 THE -MONETARY TIMES
Subscription Lists will close on or before October 25lh
New Issue *R^ OOO OOO MONTREAU October tsth. 1920
Abitibi Power and Paper
Company Limited
General Mortgage Sinking Fund Gold Bonds
Dated January 2nd. 1920 Due January 2nd. 1940 Dcnominationj, : $1,000 and $500
Interest ($30 every six months on each Sl.OOO of Bonds) payable on January 2nd and July 2nd.
Principal and interest payable at par of exchange at Montreal. Toronto, New York, or London, England.
CAPITALIZATION
Authorized. Outstanding.
250,000 shares 250.000 sliarcs
J1,000,000 $1,000,000
_ .._ 4,107,500
_ 5,000,000 4,000,000
SECURITY FOR BONDS
Bonds are secured by a specific mortgage on all the Company's present and future fixed assets and a floating charge upon all other
assets subject only to $4,107,500 ol First Mortgage Bonds redeemable serially 1921-1934.
From $29Z0OO to $325,000 of First Mortgage Bonds mature each year. 1921 to 1934 inclusive. These annual reductions in amount of First
Mortgage Bonds outstanding, coupled with heavy Sinking Fund of 3% per annum on General Mortgage Bond issue, rapidly increases the
equity behind General Mortgage Bonds.
At current market prices on Montreal Stock Exchange. Preferred and Common Shares have a market value of approximately $20,000,000,
ranking junior to these Bonds.
Complete, prospectus, topics of which will be maiUii on rcijucst, contains a l-tl<-r from the I'resiJcnt of the Cumpany. jrom which we
summarize as follows : —
1. Abitibi Power and Paper Company, Limited, is one of the largest Canadian producers of newsprint paper. It operates at Iroguois
Falls in the District of Temiskaming. Ontario, a modern newsprint paper mill designed for an ultimate annual capacity of 145.000 tons.
2. Present Annual Output is as follows: Tons.
News Sulphite Pulp (surplus) _ _ _ 20.000
Groundwood Pulp (surplus) - 35.000
Production by May. 192L will oe increased to 145.000 tons newsprint paper annually.
3. Timber Areas — over LOOO.OOO acres pulpwood lands, estimated to contain over 5.000.000 cords of spruce pulpwood. Total supply of
about 15.000,000 cords of pulpwood is available from the Abitibi district.
4. Water Powers— 53,000 horse power, of which 25,000 horse power is developed and in operation and 28.000 horse power now being
developed.
5. Plant and Property Valuation— $2tOOO,000, exclusive of timber holdings, as against $8,107,500 of Bonds, Including this issue.
6. Net Liquid Assets (working capital) after deducting all current liabilities, but without including proceeds of this Issue, as at
December 31st, 1919, were $1,594,986.
7. Net Earnings available for interest depreciation, etc., for year ended December 31st, 1919, were s2.125.717— over four times amount
required to pay interest on all Bonds outstanding.
Estimated Net Earnings for current year available for interest, depreciation, etc., $2,500,040, against annual Bond Interest of $4SE,450
(reduced annually by serial maturities).
The larger portion of this ixsue haiinr; bnn sold in Canada and the Vnilcd Stales, wc offrr the unsold balance at the price of —
89.44 and Interest, Yielding 7%
Payable: 20 , of ihr par valur on application.
40 of Ihr par valur on November ISth. 1920
Balance. December ISlh. 1920.
Interest will be allowed on payments at the rate of 6% per annum. Payments may be anticipated In whole or In part at any time. Accrued
Interest will be adjusted upon final payment.
ROYAL SECURITIES CORPORATION
LIMITED
Head Office: 164 St. James Street, Montreal
TORONTO HALIFAX ST. JOHN, N.B.
S8 King St. West Royal Bank BuildinR 54. Prince William St.
WINNIPEG VANCOUVER NEW YORK LONDON, ENG.
Electric Ry. Chambers Pacific Buildina 165 Broadway 7 Grncechurch St., E.G. 3
^j APPLICATION FORM
ItOV.M. SECURITIES CORPOKATIO.N, LI.MITEH
Address Monlrcnl. Toronto. Ililirm, .St. John. Winnipeg or Vancouver Olllcc.
Qir.. . i/wo hnrfiiv innlv for $ t)" *»'"" Abitibi Power and Paper Company, Limited, 6% General Mortgaec Sinking
Fund (Sold Bonds? due 1910. and at're'e to pny for aame, or any loss amount Uint may bo allotted to nic/us. In accordance with the term;, of
your Prospectus dated October ISth, 1920,
Cheque to the order of Royal Securities Corpora- NA.»E (In fulll _.^_.™___-.
tlon. Limited, for the amount pay.ible on appl - *"■■ »"• "•• »"»•'
cation (»100 for each $500 par value applied for), AnORESS (In full)
should accompany this form.
THE MONETARY TIMES
Volume 65.
facturers' Association. He objected to the statement as a
protective measure. It was, he continued, a purely revenue-
raisini? tariff and not desigrned to protect the coal operators.
There is, he said, no need for a protective tariff.
R. A. Pringle, K.C., representing certain textile in-
dustries, filed figures to refute statements made by L. M.
Gates, at the Monday session, to the effect that during the
war the prices of textiles in Canada were not, as claimed,
lower than the prices of imported material.
In Edmonton, reduction of the tariff to give the farmers
opportunities to buy in the open market was requested by
Hon. Duncan Marshall, provincial minister of agriculture.
"Alberta farmers have to compete in the open market for
the sale of their goods. All that they ask is that they have
the privilege of buying implements of production in the same
manner. The reduction of the tariff burden will enable
them to prosper," he said. "The increase of exports will
bring revenue to the Dominion treasury and the best means
of securing this increase will be to remove the tariff on farm
implements." He concluded by asking that the tariff be put
on a purely revenue basis, and the elements of protection
deducted.
Western Farmers* Views
Local farmers gave evidence of conditions in the Ed-
monton farming district. Harry Bell, from Namayo, a
vettran farmer, thought that the tariff on farm implements
could be fairly cut in half, and so relieve the farmers of
some of the burden.
Rice Shepherd, for fifteen years an official of the United
Farmers of Alberta Association, charged that Canadian
manufacturers took advantage of the tariff to raise prices,
that farm implements of Canadian manufacture are of a
cheap grade and the price maintained to meet that of
American production with the tariff added. "I can prove
this, too," he said, but failed to produce any up-to-date
figures when requested by Sir Henry Drayton. He sugg2sted
that a land tax be levied by the Dominion government to
replace the protective tariff.
\V. T. Lucas told the commission that agriculture is a
basic indu.try, that the risk is great and returns are not
proportional. Many Alberta farmers had failed in the last
three years, he said.
Philip Baker, of Ponoka district, said that farm children
were leaving the farms when they reached a thinking age be-
cause of the poor returns from agriculture.
In Saskatoon, manufacturers endorsed the stand taken
by the Canadian Manufacturers' Association and asked the
retention of the protective tariff. Representative farmers
nppcarcd under the auspices of the Joint Council of Agricul-
ture and urfed the reduction of the tariff on farm imple-
ments and necessities of life.
Grain (irovters' l{eriimmt'nd:ilii>ns
Rcrommendations advocating the alteration of the pre-
sent tariff sy.stem were made by the Saskatchewan (Irain
Growers' Association as follows: (1) The placing of all
foodstuffs on the free list and the removing of the import
duty from lumber, cement, gasoline and kerosene, agricul-
tural implements, farm machinery, vehicles and fertiliiors.
(2) A general reduction of the import tariff with a view-
to making all industries self-supporting and competent to
produce at world values. (3) Tariff artificial assistance, if
to be continued, that it be by open and direct methods, mak-
ing its cost fully evident. (4) That as rapidly as feasible
direct methods of taxation l>c sub.stitutcd for indirect. (.■>)
That above all the neefl for national revenue should not be
allowed to bo exploited for private gain.
.1. R. Musselman. central sooretviry of the association,
presented the statement. It began by assuring the commis-
sion of the loyalty of the Saskatchewan farmers to Canada
and to what they believe to be in the true national interest.
Their requests for a change in the tariff are not actuated,
it continued, by a desire to further their vocational class
interests at the cost of others, hut for what they believe will
be fairer to all legitimate industries in Canada. "Every
threat to the i^ntlon's fundamental democratic institutions
have come from the industi-ial centres and not from the
farm. We are not wreckers," it was stated.
The association further informed the commission that it
believed that an informed agricultural population fully con-
scious of its responsibility of citizenship, and persuaded that
it is suffering no legalized injustice from other classes, offers
the only permanent foundation for the Canadian nation and
that any abnormally rapid development of the manufactur-
ing industry under protection affords no such basis. Grain-
raising was stated as the chief industry of the province and
the major source of her buying power and prosperity of the
province depends on its development. After declaring that
the association is not antagonistic to the manufacturers,
the statement continued : "We believe that it is economically
unsound and unfair to raise national revenue by a method
which affords the opportunity to enhance private profits and
that to make the need for raising national revenue the ex-
cuse for subsidizing industries is wasteful and immoral."
AGRICILTI R.\L INSURANCE CO.'S INVESTMENTS
Over $52,000 has "been invested in Saskatchewan pro-
vincial and local securities by the Agricultural Insurance
Company since it was organized in April last, according to
a statement of J. H. Mitchell, secretary of the company. The
division of its investments at the present time is as follows:
Saskatchewan Farm Loan debentures, $20,000; Brooklyn
S.D. debentures, $13,500; Thatch Creek S.D. debentures, $.■),-
000; South Cupar R.T. Company debentures, $5,450; Donwell-
Canora R.T. Company debentures, $5,000; Elmdale R.T. Com-
pany debentures, $3,300.
"The Agricultural Insurance Company is composed ei!-
tirely of Saskatchewan fanner shareholders," said Mr. Mit-
chell, "and the purpose is to provide a means for the farmers
of this province to do their own business with their own
money. It handles both fire and hail insurance, and this
season did a very good hail business. We find that the
farmers are just as ready to place their insurance with us
as with companies capitalized at $1,000,000 or more. They
appreciate the fact that they have got to control things
financial in this province as well as things otherwise. The
company already has over 1,000 shareholders. Although not
yet a year old, it has shown that it fills a need in the economy
of Saskatchewan, and that the financing of Saskatchewan
with Saskatchewan money is not entirely an impossible
thing."
MOTOR UNION INSURANCE COMI'ANY, LIMITED
In the comments in our issue of 1st October on the
operations of the Motor Union Insurance Company for 1919,
we quoted the chairman. Chas. H. Dodd, as stating that
the premium income had risen from £134.847 in 1918 to
£423,346. Unfortunately, we omitted to make it clear that
these were merely the figures of the fire department. The
premium income in all <lepHrtments amounted to no less than
$7,49.'). 2." !>. and in addition there was the sum of $453,754
derived from interest on investments, etc. The amount re-
maining at credit of profit and loss was $741,772. The total
assets at the end of 1919 amounted to $11,947,358, which
amount has since been increased by the issue of the balance
of the ordinary shares (100.000) at a premium of $24.30 per
share, making an addition of $486,000 to the capital account
and another $2.4.'50,000 to the general reserve. All depart-
ments shewed a very gratifying increase in premium income
with the exception of the marine department, in which the
business done dropped off somewhat owing to the cessation
of w.ir risk lines; but even with this there was a profit in
the marine depart?n.'nt of over $257,580, so that the results
were highly satisfactory.
The general results of the year's working and the ex-
cellent financial position of the company speak for the
acumen and energy of the management.
October 15, 1920 THE. MONETARY TIMES 29
gniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiuiiiiiiiiiiiiuiiniMHiiiiiiiiiiiiiiiiiiiiiiiiiiMiiiiiiiiiiiniiiiiiiiiiiiiiiuiiiniiiiiiiiuiiiiuiiiiiMniiiM
I CHARTERED ACCOUNTANTS |
nillllllllllllllMMIIIIIIMIMMMIIilllllMltlllinillllllllllinilllllMIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIMIMIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIr
Baldwin,
Dow & B
Dwman
CHARTERED
ACCOUNTANTS
OKKICES AT
EdmODton
Alberta
Toronto
Ont.
CHARLES D. CORBOULD
Chartered AcconntaDt ai^d Auditor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipefc
Correspondents atToronto. London, EnK..
HARBINSON & ALLEN
Chartered AcconrU^nH
408 Manning Chambers
TORONTO
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Specialist on Taxation Problems
Bank of Toronto Chambers
LONDON - ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
Established l.'iSJ
W. A. Henderson & Co.
Chartered \rcountanle
508-509 Electric Railway Chambers
Winnipeg, Man.
\V. A. Henderson. C. A.
Cnhk- Aiiilrese ■'Ormlif
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:-
HAMILTON
WINNIPEG
CLEVELAND
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 ConfederatioD Life Building
Winnipeg
SERVICE
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CHARTERED ACCOUNTANTS
Hamilton Bldg-
TORONTO
Hubert Reade & Company
Chartered AccouDtaots
Auditors, Etc.
407 408 MONTREAL TRUST BUILDING
WINNIPEG
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Main 7014
LUMSDEN BUILDING TORONTO, CANADA
RONALD, GRIGGS & CO.
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Winnipeg Toronto, Saskatoon, Moose Jaw,
Montreal. New York, London, Eng.
CLARKSON, GORDON & DILWORTH
Chartered Accounlt
Receivers, Lia
Merchants Bank Bldg., 15 Welli
dators
Ston Street NVest
Kst.ilih-.h,-.l l,sfi4
F. C.S. TURNER & CO.
Chartered Accountants
TRUST & LOAN BUILDING, WINNIPEG
Your card here would ensure it heiug ieen by the principal
financial and commercial iiileresls in Canada.
Ask about special rales for this page.
K. Williamson. C.A.. J. U. Wallace. C.A.
A J Walker. C A. H. A. Shiich C.A.
RUTHERFORD WILLIAMSON & CO.
Lh.irlcrcd Acco«ti(,m(<. Truslea. una
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86 A(.H>.»iL.ii Strlei East TORO.VTO
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30
THE
MONETARY TIMES
Volume 65.
BOAUUS JIKISDICTION OVER EXPRESS SERVICE
Controls Tolls, Contracts and Amount of Liability— New
Railway Act Also Gives it Power to State What
Goods are to be Carried by Express
RATES charged by express companies in Canada are sub-
ject to the control of the Board of Railway Commis-
sioners for Canada, but outside of this the jurisdiction of the
Board over express matters is more limited than is its con-
trol over the railways. This is emphasized in an informal
ruling of the board, dated March 24. Referring to the new
Railway Act, the ruling says:—
"The powers of the board in regard to express business
are set out in sections 360-366, inclusive. The juris-
diction is concerned with tolls. The group of sections 360-
303 is concerned with the formalities as to preparation, filing,
etc., of UrifTs. Section 365 requires that contracts, con-
ditions, etc., limiting the liability of the express companies
are to be approved by the board. Sub-section 2 (b) of the
same section provides that the board may prescribe the terms
and conditions under which 'goods may be collected, received,
cared for or handled.' This is a power in regard to the lia-
bility, not in regard to requiring the establishment of facili-
ties. See in this connection 'Canadian and Dominion Express
Cos. vs. Commercial Acetylene Co.,' 9 Can. Ry. Cas., 172,
at p. 174. The only other section in the group referred to,
section 366, is concerned with returns by companies charg-
ing express tolls.
"Section 364 gives the board power to define carriage by
express. This was formerly section 352 of the Railway Act,
and it was decided in 'Canadian and Dominion Express Cos.
vs. Commercial Acetylene Co.' (May 20, 1909), 9 Can. Ry.
Cas., 172, that express companies were at liberty to exer-
cise their own discretion in refusing to carry by express any
particular commodity.
Company May Not Discriminate
"Section 364 of the present act differs from section 352
of the former act by the addition of the words 'and may
order that all such goods as the board may think proper shall
be carried by express.' The effect of this is to remove the
discretion which the express companies formerly had. The
express company may not discriminate between goods as
to carriage, but thi.s does not give power to direct the instal-
lation of fncilitiss at stations. It may further be noted that
in the group of sections already referred to there is no sec-
tion which gives the board power to direct that facilities
shall be afforded.
"Subject to the change in section 364 as above referred
to, the group of sections covering express business are, with
minor exceptions as to amendments, the same as in the
first express judgment given. In that judgment, the follow-
ing position W.1S laid down: —
" 'No applications have ever been made to the board to
require railway companies in Canada to furnish either an
express service or any facilities connected with such n ser-
vice. An applications have been made against the express
companies. It i.s apparent that as the act now stands, orders
for improved f.icilitios for handling the express trafflc can
only he made against the railway company. By improved
facilities is meant car service, shelter.i and the like; and if
express rompnnipo do not provide for these mntters with the
railway • ' ' .s they operate, and remove
nil pro|H lu'n it will be the duty of
the boai i ' '"' railway companies h» to
these malli-i.-., aiui c»niiilaiiit..s from the public must be made
against them.'
Cannot Control Service Direct
•'.\t a later date, the board had before it an applica-
tion of the village of Cumberland, Ont., for the reinstate-
ment of the express service which had for some time been
rendered by the Canadian Northern and then taken out. In
reply the board stated on July 14, 1911 (Board's file
4214.175):—
"'Dear Sir,— Referring to the above matter, I am di-
rected to inform you that the jurisdiction of the board in tlie
matter of express service is much more limited than it is in
the matter of freight and passenger rates; that under the
act the board has no jurisdiction to compel the Canadian
Northern Express Co. to reinstall the express service which
the board has been advised is withdrawn between Hawkes-
bury and Ottawa. I am further directed to state that if the
freight department of the railway refuses to give proper
facilities for the handling of traffic, complaint as to this
should be put in form and submitted to the board, when the
matter will be taken up with the railway company.'
"In dealing with an application of the town of Sudbury
for a direction that the Dominion Express Co. should estab-
lish an up-town office to receive and deliver express parcels
(Board's file 4214.141), it was pointed out that a direction,
if any, as to the installation of an up-town express office
must be a direction to the railway, not to the express com-
pany.
Tolls, Contracts and Limiting Liability
"In summary form, the board's jurisdiction is as to tolls
and contracts, etc., limiting liability, with the additional
power, conferred by section 364 amended as already noted,
of saying what may be carried by express. The board is
given no power to direct an express company cjiia express
company to install facilities or to arrange that specific ser-
vices shall be given at specific stations. It follows from this
that so far as jurisdiction is concerned, the board has no
power to direct an express company to reinstate at a station
or stations express facilities which it has removed, nor has
the board power, as a matter of jurisdiction, in the first
instance to direct the installation of facilities at a station
or stations.
"Its jurisdiction over telegraph, telephone and express
companies is essentially a rate jurisdiction, and much more
limited than in the case of railways."
A CASE ON EMPLOYERS' LIABILITY
A case before the Superior Court of Quebec province a
few days ago called for a ruling which may uphold a distinc-
tion between a policy of insurance "against liability" and one
"against loss from liability." L. Omer Frwiette met with an
accident in which he suffered injuries whilst in the employ of
the John MacDougal Caledonian Ironworks, now in liquida-
tion, and judgment was rendered in his favor for ?5,000. Tlie
money was not paid, and F'redette issued an attachment after
judgment in the hands of the Employers' Liability Assurance
Corporation, Limited, with the object of obtaining payment of
the ?5.000 under a policy insuring the John MacDougall Cale-
donian Ironworks against loss from liability for accidents i>
its workmen.
The insui"ance corporation, as garnishee, whilst admitting
that at the time of Fredcttc's injury he was one of the work-
men included in the schedule and cover of the policy, declared
it owed nothing, and based this contention on the terms of
condition (f) of its policy, which specified that: "No action
shall lie against the corporation to recover for any loss under
this policy unless it shall be brought by the assured for loss
actually sustained and paid in money by the assured in satis-
faction of the judgment after trial of the issue."
- At the time of tbo seizure by garnishment, the John Mac-
Dougall Cali'donian Ironworks, it was said, had paid nothing,
and tbo policy or bond of indemnity being the law between the
parties — making pa>^llcnt "in money" by the ironworks com-
pany a condition precedent to any right of recovery against
the insurance corporation — therefore nothing could be held
to be owing to the ironworks company by the insurance cor-
poration. The question as submitted to the court is one
purely of law: ■VNTicrc the insurance is one against loss from
liability, can a third party obtain the benefit of the policy
by garnishment proceedings, or othenvise?
October 15, 1920
THE MONETARY TIMES
:: niiiiiiMiiiiiiiiiiriiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiMiiiiiiiiMiiiiiiiiiiiiiniiiiniiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiu
I REPRESENTATIVE LEGAL FIRMS \
?niiintiiiiiiniiiiniiiiiniiiiiiiiiiiiiiiiiiiiiuiiiiiiiiiiiiiiiiinMiiiniiitiiiiiiiiiiiiiiiiiiiiiiiiiiMiiiiiiiiMiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiniiiiiiiiiiiii^
BRANDON
KILGOUR, FOSTER & McQUEEN
B*rriitert, Solicitors, Etc., Brandon, Man.
Solicitors for the Bank of Montreal The
Royal Bank of Canada- Hamilton Provident
2nd Loan Society- North American Life
Assurance Company.
LETHBRIDGE, Alta.
Conybeare, Church & Davidson
Barristers. Solicitors, Etc.
Solicitors for IJanU of .Montreal. The Trust
and Loan Co of Canada. British Canadian
Trust Co.. Sec, ftc-
C. F. P. Conybcirc. K.C., H W. Church. M.A-
R- R. Davidson. LL.B-
Lethbridse • - • Alta.
PRINCE ALBERT
COLIN E. BAKER, B.A.
Solicitor for the City of Prince Albert
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal BIdg.
CALGARY - - ALTA.
W. p. W.Lent Alex- B..Mackay, .M.A-.LLB-
H. D. Mann, .M.A.,LL.B-
LENT, MACKAY & MANN
BarrUters, i^oUcltors. Notarleii, Etc.
305 Grain Exchange Bldg . Calgary. Alberta
Cable Addreas."Lenjo." Western VnionCode
Solicitors for The Standard Bank of Canada.
Tht Northern Trusts Co.. Associated .Mort-
gaae Investors- &c- __^_
Hon. Sir James Loughecd. K.C. K.C-M.G..
R. B- Bennett. K.C, J- C- Brokovski. K.C
A. M. Sinclair. K.C. D. L. Redman, H. E-
Fortter. P- D. .McAlpine. O. H- E- Might. L.
H. Roberts. ("Cable Address "Loughnett")
LOUGHEED. BENNETT & CO.
Barrister*. Solicitors, Etc,
CUrence Block, 122 Eighth Avenue West
CALGARY. ALBERTA. CANADA
WRIGHT & WRIGHT
Barriiten, Solicilon, .Xotaries, F.tc.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. AC. Rutherford. K.C..LL.D.
PC- Jamieson, K C. Chas H. Grant
S.H..McCuaig Cecil Rutherford
RUTHERFORD, JAMIESON
& GRANT
Barritters, Solicitors, Etc.
S14-18 McLeod Bldg. Edmonton, Alberta
JOHNSTONE & RITCHIE
Barristers, Solicitors, Notaries
LETHBRIDGE - Alberta
REGINA
MEDICINE HAT
G. F. H- Long.
LL-B.
J- \V. Sleight- U-A.
LONG
&
SLEIGHT
Barristert, etc.
MEDICINE
HAT
and BROOKS, Alta.
MOOSE JAW
Grayson, Emerson & McTaggart
Barristers, Etc.
Solicitors-Bank of Montrcil
Canadian Bank of Comnwrce
Moose Jaw - Saskatchewan
NEW WESTMINSTER
JOHN W. DIXIE
Barrister and Solicitor
405 Westminster Trust Building
NEW WESTMINSTER. B.C.
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
C-illtd toOnt.irioBar IHMO. New York Bar XWi
ELLISON. ELLISON & FRASER
Hi.-. ltro.ui..ny. %r« lort
ELLISON. GOLDSMITH A ALLEN
•-.•-•,1 Wrnl lUllll *l., >>vr Vork
Gordon, Gordon, Keown
and Collins
Barristers, Solicitors, &c.
Aldon Building, REGINA, Sask.
Solicitors for Imperial Bank of Canada
SASKATOON
Chas O. Locke. Major J. McAughey.O.B.B.
LOCKE & McAUGHEY
Barrister!, Solicitors, Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
VV. J. Bowser, K C R- L Reid. K.C.
I). S \V.tllhri.li;e AH. Douglas JO Gibson
BOWSER, REID, WALLBRIDGE
DOUGLAS & GIBSON
Barristers. Solicitors, Etc.
Sohcitom for Bank of Montreal (Bank of
BritKh North Ameno Branch)
Yorliibire Buildioi. 52S Sermotir St.. VtBcoiiTer, B.C.
VICTORIA
J. A. THOMPSON & CO,
Government and Municipal Securities
Weatern .nuulr4pal, Si-liool anil >a»katclievian Iturul Irlr-
plione «'o. €lel><-iitiire» specJnIlMd Id.
CORRESPO.NDK.NCE I.WITKU
Union Bank Building • WINNIPEG
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE - REALTY
432 Pender Street, VV., Vancouver, B.C.
Dr. J. \V. .MAHA.V J A WHST.MAN
President .Managing Director
DURIE & WAKELING
ltarrl>l«nt and i^ollrllont
Solicitors for the Bank of Hamilton. The
Great West Permanent Loan Co. The
.Monarch Life Assurance Co.
4'anailii KulUllnE 8aiiknloan, Canada
A K DUNLOI' H
(K-C for Alberl;i) Men
Mcnihir of Nova Sen- and
tin. Alhcrl.i and Hrit.
ish Colombia B.irs
DUNLOP &
Bnrristers. Sol
Notaries and Com
61Z-6i:< Snywnrd
Viclorin. Britiah Colum
. H . M l-OOT
her of M.inilob..
iritivh Columbia
H.,r>
FOOT
icitors
missioncrs
BIdu.
bii.. Cani>dn
32
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
President of Dominion Steel Not Enthusiastic Over Outlook— Two Large Pulp and Paper
Projects for Quebec Province— International Company Expanding Here— Ontario Companies
Purchase Alberta Coal Mines — British Motor Manufacturers to Open in Toronto
TN AN interview at Sydney, N.S., recently, Roy M. Wolvin,
■■• president of the Dominion Stool Corporation, did not ap-
pear to be very optimistic over the export trade prospects of
Canadian steel, and particularly in regard to his owti com-
pany. He pointed out that most of the corporation's steel
products during the past year had been marketed in Great
Britain, where until quite recently no serious competition w-is
encountered. Of late, however, the very remarkable progres.;
in reconstruction made by Belgium is manifesting itself, and
that country is keenly competing in the markets of Great
Britain 'or many lines of steel products. As a result of this
competition the demand for Sydney steol products has do-
ereased, and prices have very materially softened.
A vital factor in this connection, he said, was the cost of
production in several countries, and ho was ([uite apprehen-
sive that any advance in costs here would result in excluding
Sydney steel from the British market, instancing as one of
the reasons for his apprehension the fact that for several
weeks pa.<;t no sales of steel products have been made. Mr.
Wolvin also made the remark that any increase in the cost
of coal production would very seriously affect the steel indus-
try, observing in that connection that one dollar a ton increase
in coal cost would mean four dollars increase in the cost per
ton of the finished steel product.
.Mr. Wolvin did not explain to what extent the coal situa-
tion had- affected the steel industry, but intimated that it has
been and will continue to be a serious problem. Alex. John-
ston, another official of the company, who was accompanying
iMr. Wohan, stated that "a threc-ti-,ousand-ton deficit in the
coal output for the year has affected the production of the
company."
I'ulp and Paper
That the pulp and paper industry of British Columbia is
soon to be augmented by additional plants is the statement
given in a San Francisco paper recently. A New York com-
pany, it is stated, will build a mill at Kitimat Arm, some
miles north of I'rince Rupert, and a Japanese firm has ac-
quired a tract of timber on Loui.se Island, in the Queen Char-
lotte group, with the intention of erecting a plant as soon as
the financial situation in Japan clears up. A pulp and paper
mill is also being erected in Alaska. The following plants
are in operation at the present time: Towell River I'ulp and
Paper Co., Powell River, B.C.; Whalen Pulp and Paper Co.,
with plants at Quatsino and Swan.son Bay; Pacific Milis^
Ocean Falls; Beaver Cove Pulp and Sawmills, Beaver Cove.
The .lapanese market has in the past been handled chiefly
by the Or.an Falls plant, the largest on the coast. The
Powell River Company also does a large e.\port trade, but in
the main with the antipodes. The latter firm, which is said
to be the oldest established in British Columbia, also deals ex-
tensively in the home market, supplying newsprint needs from
the const to .Saskatoon, and south along the coost as far as
San Diego.
That the mill of the Western Canada Pulp and Paper
Co. at Port Mellon, B.C.. would bo turning out 40 tons of
pulp per day by the end of the yeor is the statement of T. F.
I'aterson of the Canada Lumber and Timber Company. Ltd.
"llie people of thi' pmvinen havn liftle idea of the important
•'■ ' ■ " ■■, -'.^ddi-
I ■.•.I by the
I- iias passed
tluM::Kii .u ■.■...f.v. :..i:.,i,.. ., sufficient
barkint' to mak.- the plair . ry is now-
being m.^tall-.i • ■■ ' ■ j ,.,.„, ... tons to 40
tons per day :u, and this will moan the otiliza-
tion of 80 CO I , • r day."
According to i >:atement from Quebec city. pl.ins are
rapidly nciring completion for the definite launching of -i
large pulp and paper project, which will concentrate largely
upon the region surrounding the Saguenay River, and that th('
two principal figures in the enterprise are Lord Bumham anc
Lord Dcsborough, the former having left for England, aftei
attending the Imperial Press Conference here as chairman
while the latter is still in Canada, with headquarters at Que-;
bee. Both of these gentlemen have large newspaper interests
in England. ,
As outlined, the plans of these interests include the con'
struction of a railway from Hudson Bay to the Seven Islands
passing by Lake Mistassini, Lake St. John and Chicoutimi, cC
enter Quebec by the Montmorency Valley, which will shorter
the route from Chicoutimi to Quebec by one hundred miles
The group will also establish pulp and paper mills at Seven
Islands and at all places where there are important watei
powers along the line of the railway. i
It is stated that the port of Seven Islands will be deveK
oped and devoted solely to the export of pulp and paper tci
Europe, where the need for the material is increasingly great
Definite announcement of the full details of the project art
said to bo ready and will be given out in a short time. Worli
will be commenced in the near future. It is understood that
no subsidies will be asked by the enterprise. :
Three Rivers Organization j
Elsewhere in this issue is an announcement of the offering
of the securities of the Three Rivers Pulp and Paper Co., Ltd.
a recently-formed organization. The company's propertj
comprises 787 square miles situated on the rivers St. John
Magpie, Chambers, Salmon, and other tributary streams anc
lakes in the province of Quebec. It is estimated that foui
million cords of black spruce and balsam pulpwood are con-
tained in these limits.
A mill is to be erected at Three Rivers, with an initial
capacity of 100 tons of pulpwood per day. A suitable site has
been secured, with good rail and water shipping facilities, and
an ample area for further extensions of the plant for the
manufacture of paper and other pulp products if deemed ad-
visable. It is planned to have the mill in operation in No-
vember, 1921.
International Paper Expanding Here
P. T. Dodge, president of the International Paper Co.,
while inspecting the plant of the Riordon Co., Ltd., at Kipawa,.
Ont., in company wiih other pulp and paper manufacturers,
intimated that his company would shortly undertake the con-
struction of another mill in Canada, although he did not give
any <ietails of the undertaking. The International company
is now building a pulp and paper plant at Three Rivers. Que.,
and Mr. Dodge stated that in sixty days it will be turning out
pulp. The paper mill will not be ready to operate for some
months yet. It is designed to turn out 200 tons of newsprint
a day.
Work of constructing the plant of the Kaministiquia
Pulp and Paper Co. at Port Arthur, Ont., is progressing at a
satisfactory pace, and it is expected to be ready for operation
by November 1. The wood-room is almost ready, and the con-
struction of the mill building is proceeding smoothly with the
installation of machinery keeping pace.
The Pigeon River Lumber Co., supported by Port Arthur
officials, are endeavoring to induce the Ontario government to
^spose of timber limits, close to the city, to them; providing
they can secure the timber, they are prepared to erect a large
pulpmill.
Purchase Alberta Coal Mines
.Shareholders of the Mclntyre-Porcupine Mines, Ltd., and
the Timiskaniing Mining Co., nvo Ontario companies, have
October 15, 1920
THE MONETARY TIMES
33
The Imperial
Guarantee and Accident
Insurance Compcuiy
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident Insurance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - - - SiOO.OOO.OO
Authorized Capital - • - $1,000,00000
Subscribed Capita! - ■ - $1.000,00<J.OO
Government Deposits - - 3111,000.00
Lf\ J^ r\ r^ J^ GUARANTEE AND
^^ A^ '--' ^^ •l^ ACCIDENT COY.. Limited
Head Office for Canada - Toronto
Employers' Liability. EK-valor. Contract. Personal Accident. Fidelity
Guarantee. Internal Revenue. Sickness. Court Bonds.
Teams and Automobile.
AND FIRE INSURANCE
IT PAYS TO INSURE YOUR AUTOMOBILE
UITH
The Canadian Surety Company
Ma
ximum oervice.
Minimum Cost.
CANADIAN STRONG PROGRESSIVE
v_ ^jffiew%y9J«jses<3Vi?«»r?
FIRE INSURANCE
AT TARIFF RATES
Capital Subtcribed
fSOO.OOO
BurgUry
A. E. Ha«. Vict-PretidenI
J O. .Mklin. Sec.-Treas.
Good Oper
Automobile
iBtoraDce
Fire and
Tbeft
Litbililr
Property
Damaje
Collision
, Boiler
I Explosion
Hone Office
lOtb Floor, Electric Railway Chambcri
gs for Live Agents
mm
cWLKiKrPjE(i;MAMTOfiA.
Commercial Union Assurance Co.
Limited, of London. England
Capital Fully Subscribed S H. 750.000
Capital Paid Up 7,375.000
Total Annual Income Exceeds T.'J.OOO.OOO
Total Funds Exceed 209.000.0011
Hrail OIBrr CanadlBn Branrh :
COMMERCIAL UNION BUILDING - MONTREAL
W. S. JOPLING. .Manaoer
Toronto Office - 49 Wellington Street East
GEO. R. HARGRAPT. General ARent for Toronto and County of Vorlc
i Automobile— 1 920— Season
■ Policies to cover ANY or ALL motoring risks
^ ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
82-88 King Street East, Toronto
TOOLE, PEET & CO., Umited
INSURANCE AND REAL ESTATE
MORTGAGE LOANS ESTATES MANAGED
Cable Addresa.Topeco. Western Un. and A.BC.Stf) Edition
CALGARY, CANADA
THE EMPLOYERS'
LIABILITY ASSURANCE CORPORATION
OF LONDON, ENG. limited
ISSUES
Personal Accident Sickness
Employers' Liability Automobile
Workmen's Compensation Fidelity Guarantee
and Fire Insurance Policies
C. W. I. WOODLAND
(iencr.il Mon.iKcr for Caii.icia .ui^l Ncwfouii'lland
Lewis BuildiiiR. JOHN JlvNKLVS. Temple BldR-
Mt)NTRE.\L Fire Manager TORONTO
34
THE MONETARY TIMES
Volume 65.
given their approval of the plans of the directors of the two
corporations to purchase the Blue Diamond Coal Mines, and
secure an option on Canadian Coalfields, two properties locat-
ed about two hundred miles from Edmonton, Alta.
Details of the coal deal, as explained by President Bickell,
showed that the purchase was originally planned by the direc-
tors of TimiskaniinK, but it appeared too large an undertak-
ing, and the board of Mclntyre were agreeable to sharing the
venture on a fifty-fifty basis. The purchase price of the blue
Diamond is $450,000, and $150,000 is being paid for the option
on the Canadian Coalfields. The balance of $1,000,000 to be
paid for the latter property is to come out of earnings within
the next fifteen year.s. Eminent engineers, including H. ,T.
Lewis of Pittsburg, have recommended the purchase of the
coal properties.
"The Blue Diamond is estimated to contain 6,000,000 tons
of good marketable coal, with the possibility of that being very
largely increased," said Mr. Bickell. "Coalfields is estimated
to contain 18,000,000 tons. Figuring on the tonnage basis, the
investment is vei-y small per ton. Our engineers estimate
profit from the Blue Diamond of upward of ;?500,000 a year
with the production we have in view."
Manufacture Woollens in Calgary
Investigation is now taking place in regard to the estao-
lishment of a woollen goods manufacturing concern in Cal-
gary, Alta.
Plans are being made for the establishment of a tannery
on a site near McKay Creek, North Vancouver, B.C., by the
Canadian Electro Leather .Industries, at a cost of approxi-
mately $;50,000.
According to W. .1. Thorold, of London, Eng., who was a
visitor in Toronto this week, it is the intention of Leyland
Motors, Ltd., of London, to start an assembling plant in Tor-
onto, which will eventually develop into a plant for the manu-
facture of the complete car.
The Dominion Envelope and Carton Co., of Toronto, Ont.,
has purcha.sed from the Harbour Commission seven acres near
the Eastern Gap, and will build a one-storey manufactory on
that property next spring. The company has at present two
five-storey structures on Duchess street, but these do not meet
the needs of the company's business.
Two tons of skins, a portion of the season's fur catch,
have arrived at Victoria, B.C., from the Arctic posts of the
Hudson's Bay Company at Herschcll and Bailey Islands.
Eour trading posts on Hudson's Bay have been established
by the Lamson & Hubbard Canadian Company, Ltd., of Mont-
real.
EMPLOY.MENT ( ONDITIONS IN CANADA
The Employment Service ot the Department of Labor
reports that returns from the Dominion and Provincial offices
of the Employment Service of Cnnada for week ending Sep-
tember nth, 1920. show n decrease in placements a.s com-
pared with the returns for the preceding week. The offices
reported that they had made 9,412 references to regular po.«t-
tions, and that 8,f>2.'l placements were effected. This is a
decrease of 1,076 when compared with the returns for the
previous week, when 9,.'i99 placements were reportiil. On the
other hand, an iiicrense of .16."< is shown when compared with
the returns for the corresponding week of Inst year, when
8,160 placements were reported. In addition. 1,651 casual
jobs were supplied as compared with 1,795 during the week
ended September 4th.
During the wrck 9. "■•79 applicants were registered, of
whom 8,67."? were '■ were women. This represents
a decrease of l.i ition when compared with the
returns for the pi' ■'<■. when 11,004 applicants were
registered. The number of vacancies notified by employers
to the Service during the week totalled 15,126, of which
14,000 were for men and 1,126 were for women. When com-
pared with the 1.1.314 vacancies of the preceding week, this
is an increase of 1.812. Of the placements in regular employ-
ment, 7,879 were of men and 644 were of women.
NEW INCORPORATIONS
Buckling Development Co.. Ltd., $2,500,000 — Alpine Silve
Mines, Ltd., .S2, 000,000 — Burroughs Machines, Ltd,,
§1,000,000 — Don Valley Brick Works, Ltd.,
.'51,000,000
THE following is a list of companies recently incorporatec
under Dominion and provincial laws, wnth the head office,
and the authorized capital: —
Didsburv, Alta.— Didsbury Rinks, Ltd., $2,500.
Victoria. B.C.— Lowox Steel Co., Ltd., $500,00(».
Sarnia, Ont.— Canadian Observer, Ltd., §100,000.
RedclifT, Alta.— Slope Trading Co., Ltd., .$20,000.
Tees, Alta.— Tees Farmers' Elevator, Ltd., $20,000.
Guelph, Ont.— Johnson Realty Co., Ltd., $200,000.
St. Norbert. Man.— Le Claire Stores, Ltd., $20,000.
Bathurst, N.B.— Bathurst Ginger Ale, Ltd., $24,000.
Hamilton, Ont.— Regal investments, Ltd., $100,000.
Stratford, Ont.— Kilroy Columbus Co., Ltd., $40,000.
Sudbury, Ont.— Sudbury Cemetery Co., Ltd., $100,000.
Three Rivers, Que.— G. Garceau & Fils, Ltd., $40,000.
Windsor, Ont.— Burroughs Machines, Ltd., $1,000,000.
St. Catharines, Ont.— Lincoln Basket Co., Ltd., $40,000. ,
Hillsburg, Ont.— Hillsburg Co-operative, Ltd.. $40,000. i
Sault Ste. ."Marie, Ont.— Patterson Bros., Ltd., $250,000.
Harrow, Ont.— Oxley Beach Hotel Co., Ltd., $150,000.
Wclland, Ont. ^Joseph Stokes Rubber Co., Ltd., $100,000
Niagara Falls, Ont.— Alpine Silver Mines, Ltd., $2,000,000
Tichbome, Ont. — Tichbome Rural Telephone Co., Ltd.
$2,000.
Stayner, Ont. — Sta>Tier Farmers' Co-operative Co., Ltd.'
$10,000.
Timmins, Ont. — Fogg Timber and Contracting Co., Ltd.|
$40,000. I
C-oaldale, Alta. — Coaldale Co-operat:ve Elevator Co., Ltd.
$100,000.
New Westminster, B.C. — Bucklin Development Co., Ltd.
$2,500,000.
Peace River, Alta.— Peace River Exhibition Association
Ltd., $20,000.
Lethbridge. Alta. — Lethbridge National System of Bak'
ing, Ltd., $20,000.
Kitchener, Ont.— Twin Citv Signs, Ltd., $40,000; Rumpe
Felt Co., Ltd., $300,000.
Calgary, .\lta. — Working Men's Exchange Co.. Ltd.
$10,000; Harlech Coal Co., Ltd., $330,000.
Montreal, Que. — New Era Piano Co., Ltd., $45,000; Swal
low Candy Products, Ltd., $45,000.
Treasure Islands, N.B. — Treasure Islands Sea Fishing
Shooting and Sporting Club. Ltd., $10,000.
St. John. N.B. — St. John Garage and Supply Co., Ltd.
$9,000; Jones Electric Supply Co.. Ltd., $5,000.
Edmonton, Alta.— Central .\lberta Exporters, Ltd., $20,
000; Western Coals, Ltd., $50,000; Canadian Brokerage Co.
Ltd., $20,000.
Winnipeg, Man.— Burd Ring Sales Co., Ltd., $30,000; Can
adian Candy and Biscuit Co., Ltd., $750,000; Dawson '"■■'*''
ard.son Publications, Ltd.. .?! 25,000; Greenwood Lawn Bowling
Ltd., $10,000.
Vancouver, B.C.— Italian Canadian Club, Ltd., $10,000
Vancouver Trading Co., Ltd., $20,000; Barbain-Gauthier's
Ltd., $25,000; Fort Rupert Development Co., Ltd., $100,000
Trans-Pacific Sales Agency, Ltd., $25,000.
Toronto, Ont.— Associated Producers, Ltd., $10,000; In
dustrial Panning Coi-p., Ltd., $20,000; .Alexandra Garage, Ltd.
$50,000; Ontario Newspaper Coi-p., Ltd., $300,000; Don Valle;
Brick Works, Ltd.. $1,000,000; James Crow Co.. Ltd.. $40,000
.\emilius Janis i- Co., Ltd., $500,000; Ross Electric AppH
ances. Ltd., $40,000; F. G. Hayward Co., Ltd., $300,000; Gen
eral Bond Corporations, Ltd., $40,000; General Securitiei
Corp., Ltd., $100,000; Precision Tool Works, Ltd., $40,000
Motor Sundries Corp., Ltd., $600,000; Jacobs & Goodman
Ltd., $40,000; Gelber Bros., Ltd.. $500,000; Alfred W. Smith
Son & Ridout, Ltd., $50,000; Rotenbcrg Investments, Ltd.
$250,000.
October 15, r.i20
THE MONETARY TIMES
36
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS .... 24,600,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful days for life insurance salesmen,
particularly North American Life men. Our representa-
tives are placing unprecedented amounts of new business.
All 1919 records are being smashed.
" Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
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Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
.Address E. J. Harvey. Supervisor of Agencies.
North AmericaD Life Assurance Company
••SOLID .\S THK C0.NTINI-;NT '
HOME OFFICE - TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assuranffes, New aud Revived - - 81,211,417,00
Premiums on same .... 4,S.890.00
Assurances in Force - . - - 3,458,939.00
Total Premium Income - - - 109,586.03
Policy Reserves - - - - - 211,497.00
Admitted Assets 296,430.62
Average Policy . . - . . 2,237,50
Collected in cash per 81,000 insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director - - Winnipeg.
1870 OUR GOLDEN JUBILEE 1920
One Hundred Per Cent. Increase in Five Years
The Mutual Lite of Canada is celebratins us ;ubilce year by " roundins •
the two hundred million dollar mark, havins doubled the amount of
assurances in force since the year 1915. This 100% increase in tivc years
is without doubt dueto the unsullied record forfair. liberal and equitable
dealing with its policyholders, ard in the second place to the increasing
popularity of the mutual principle in life insurance. The mutual is
becoming Seneraily recognized as the moit economical, the most demo-
cratic and themost equitable system of life insurance. The greatest and
most powerful life insurance organizations in the world arc mutual, and
the Mutual of Canada, organized on that basis, is meeting with a similar
success. The assets of the Mutual are a source of satisfaction,
amounting at present to approximately S<0,(100,000, guaranteeing every
contract and providing a subst3ntlal surplus.
BE A MUTUALISTt
The Mutual Life Assurance Co. of Canada
Waterloo Ontario
LIFE INSURANCE SERVICE
THK ultimate success of a Life Insurance Company depends largely upon
■•■ what Its policyholders think of the service they receive. The Continen-
tal Life has long since passed this test, and earned a high reputation for paying
claims promptly. 1920 will likely prove the best year in the Company's history.
Write for booklet. "Our Best AdTf rtlsem." I'or Manager's positions in On-
tario, apply with references, stating exoerience. etc.. to -S. .*. WF.-tVEB.
Easlrrn .*>nperlni('ii<lrnt, at llpad »lll<r
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
ISSUED O.NLV liY
THE LONDON LIFE INSURANCE CO.
Head Office ... LONDON, CANADA
Profit Results in this Company 70°, belter than Eslimale..
POLICIES "GOOD AS GOLD.';
An Anchor of Security
is found in Life Insurance. It means safety of principal
- certainty of return — the surest of all investments.
These are generalities. Come down to personal appli-
cation by seeing what Life Insurance can do for you.
Obtain rates, and dependable advice. Do so now,
while the subject is in mind.
You will find the Great-West Policies well worth inves-
gation. The rates are low the profits high.
Full particulars for the asking, and there will be no
undue solicitfilion to insure St.ilr nyc.
THE GREAT-WEST LIFE ASSURANCE COMPANY
HEAD OFFICE
WINNIPEG
The Western Empire
Life Assurance Company
Head Office: 701 Somerset Building, Winnipeg, Man.
SASKATOON
Bran
CALGARY
Offices
EDMONTON
VANCOCVER
w
E have 450 good businesses for sale in the central
portion of Alberta. Everything from a General
Store to a small Confectionery.
If you want a business in Alberta you want us.
WHYTE & CO., LIMITED
Edmonton, Alberta
Brakt:
111 Pantages Building
CROWN LIFE
WE have a policy to suit every insurance need — up-
to-<Jatc, liberal in its provisions. Pnrlicipalinfi
Policyholders in the thrown Life arc entitled to 95% of
all profits earned by the Company in addition to the
fjuarantccs contained in their Policies.
Tit Cn*!m Lift it a tttd Ctmpanj It <niirr> <• or Ic nPnttnl
Crown Life Insurance Co., Toronto jl
q:
THE MONETARY TIMES
News of Municipal Finance
Moose Jaw Net Debt is Lower and Sinking Fund Shows Surplus— Large Increases in Assessed
Valuation of Ontario Municipalities— Adjustment of Affairs of Alberta Delinquents Will Soon
be Completed lU'Kina Increases Light and Power Rates in Order to Meet Utilities Deficit
FINAL recommendations in respect to several of the Al-
berta towns whose affairs were investigated last spring
by the Municipal Finances Commission are now being drawn
up for the approval of the governor-in-council. Toficld, Mac-
leod, Hassano and Rcdcliffc arc the towns thus pending the
completion of the necessary documents, in all of which cases
a basis of adjustment has been agreed upon.
A report on Athabasca is also being prepared by the com-
mission and will shortly be ready. Nothing has yet been done
in legard to the northern town's financial difficulties, and the
recommendations soon to be made will comprise the only .solu-
tion thus far suggested. In the cases of Macleod and Ked-
clilTo the commission's recommendations have already been
acted upon to the extent of setting new tax rates. Macleod
has levied a rate of 66 mills and RcdcIifTe 55. Wainwright
and Wetaskiwin have entirely completed their new financial
policies, which are now in force. Tofield is practically com-
pleted, but still awaits the execution of the documents.
H. M. E. Evans, as a member of the commission, took up
with the solicitors of the bondholders' association, when in the
East recently, a number of details in connection with the i-ec-
ommendations, which are now smoothly on the way to a good
finish.
.Vssessmont Vnliialions Increased
Owing to the great increase in the value of buildings and
property, several Canadian municipalities have found it neces-
sary to increase their assessment valuations. I'roviding these
cities and towns do not undertake exceedingly heavy expendi-
tures, there should be some reductions in the 1921 tax rates.
The following figures of assessment valuations in Ontario
municipalities have been made public so far, and may be con-
sidered fairly representative of the province and the Dominion
as a whole:
1921 Assessm't Inc. over 1920
Toronto $70.3,351,351 $61,897,195
Ottawa 131,415.700 11,000,000
•Hamilton 127,642,060 31,449,240
Hrantford 25,178.505 4,216,030
.St. Catharines 18,625,000 2,500,000
.Sault Ste. Marie 16,000,000 1,000.000
.Stratford- - 12,829.300 2,137.346
Woodstock - 6,369,558 931.113
Hurrie 4.415,794 120,275
Cobourg 2,533,258 172.731
The above figurcsi of course, are subject to some revision,
and there wjU probably be reductions in all of the al>ove
cases. It is not expected, however, that the increa.ses will be
ufTectfd to any great extent.
•Not including Homcsidc. recently annexed, which has
an assessment of $2,509,980.
Brampton, Ont.— The town council ha« .itruck a tax rate
of 42 mills, an increase of 8 mills over last year.
C^igflry. .\Ua.~Up to September .30, this year. J3.164,000
has been collected in t.ixes. as compared with $.3,209,000 for
the whole of 1919.
Cobourg, Ont. — Total asscMmcnt of the town, according
to figures just prepared by the assessors, is $2,633,258. an in-
crease of $172,731 over Injit yenr,
Snult ,S|e. Marie, iim .locording
to F. F.. Crawford. - lias just
completed the figun-.- . . ... .. . '^, an in-
cre.ise of al>out $l,00tl,0l»0.
I.ethhridgc. AUa. — Tax collections up to the end of Sep-
tember amounted to $355,793. or 62.73 of the taxes due. In
the same period last year the sum of $301,406 was received,
representing 62.35 of taxes due.
Vancouver. B.C. — The city council is under the impres-
sion that Vancouver is not getting all the revenue it should,
and so they have voted to procure a tax expert, at a cost of
not more than $2,000, to suggest the ways and means of en-
larging their funds.
Edmonton. -\lta. — After suffering deficits in the early
part of 1920, the waterivorks department, at the end of
August, showed a surplus of about $2,000. The electric,
which had also been operating at a loss, came through
August with a small surplus of $200.
Ottawa. Ont. — Assessment of Ottawa for taxes to be col-
lected in 1921 totals $131,415,700, as compared with $120,463,-
606 last year, an increase of nearly $11,000,000. The figures
are as follows:
1921 1920 Increase
Real property $108,533,292 $100,495,360 $8,037,932
Business 11,418.982 10.381.276 1,037,706
Income 11.46.S.426 9..i8(i,970 1,876,456
Ottawa, Ont. — On October 1, a deputation of represen-
tatives from the western suburbs approached the city council
for .the purpose of discussing annexation. The various re-
presentatives explained that they came, not as supplicants,
but proposing partnership with the city, a partnership which
they could qualify for. There were 1,500 acres of land, 6,000
people and an a.ssessment of nearly $4,000,000, wishing to
join Ottawa, and there was not debt for the city to assume,
but rather an asset.
"We are not bankrupt," said Geo. Spencer, spokesman
for the deputation. "We are not coming here because we
are in debt, but we think that our area should be of con-
siderable importance to the city. We offer you a territory
which will be a valuable addition to Ottawa and in which
you are vitally interested — for one thing, in the matter of
good roads." After considerable discussion, it was decided to
leave the matter over until the council could investigate the
matter thoroughly.
Kegina, Sask. — A permanent scale of electric light and
powei- rates with an additional advance of 20 per cent., is be-
ing enforced. The city was compelled to increase the rates
owing to the advancing loss in these two departments. If
the deficit is wiped out by the end of the year, the rates will
be lowered again.
The total amount due the city from cyclone loan borrow-
ers at the beginning of October was $277,076, representing
45 loans outstanding.
SI. Catharines, Ont. — ^James W. Young, assessment com-
missioner, points out that the total assessment of the city is
$18,625,000, an increase of $2,500,000 over last year. "Real
estate has been very active and prices have gone sky-high.''
he says. "Wo find there are 4.432 dwellings in St. Catharine?,
of which over 2.400 are occupied by the owners, hence 55 per
cent, of the dwellings of St. Catharines are owned by the oc-
cupants. During the past thirty years St. Catharines' assess-
ment ha.-* increased by $13,395,385. and the population bv
10.166."
South Vancouver. B.C.— Commissioner Gillespie is mak-
ing an effort to relieve the municip.ility of tax sale property
of which there is u clear title. "The tax office is not equipped
with the proper machinery to handle sales of property."
said the commissioner, "and it will, therefore, be necessary
either to sell the land outright to real estate firms or to open
a real estate oflice as a department of the municipal hall. I
am determined to rid South '""ancouver of this burden of un-
profitable tax sale property, ' continued Mr. Gillespie, "and
October 15, 1920
THE MONETARY TIMES
87
C.P.R. BUILDING
TORONTO
noussERWbODv°G>MRwr
INVCITMENT BANKERS
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
INSURANCE
FIRE, AUTOMOBILE, ACCIDENT, LIABILITY, Etc.
Business transacted in all its branches
OSLER, HAMMOND & NANTON
WINNIPEG
We are interested at all times in pur-
chasing large or small amounts of hish-
Krade Provincial, City, County. Town.
Township, and VillaKe Debentures.
Harris, Forbes & Company
INCORPORATED
C. p. R. Building 21 St. John Street
TORONTO MONTREAL
We offer the
8 ' Cumulative Sinking Fund Preferred Shares
DOMINION CHOCOLATE COMPANY, UMITED
The Preference Stock is redeemabk- at #1111 per share and accum
dividends, through a Sinking Fund commencing in 192-^.
Price: $100 per Share
Carrying a bonus of 30% in Common Stock.
Prospecius n»i7/ be scni upon request.
T. S. G. PEPLER & CO.
IN^ESTMEXT BROKERS
106 BAY STREET, TORONTO
C. H. BURGESS & CO.
Government and
Municipal Bonds
14 King Street East
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
INDUSTRIAL SECURITIES
300 Nanton Building, Winnipeg
October Funds
YIELD 6% to 7%
Send for our List
J. F. STEWART & CO.
106 BAY STREET - - TORONTO
Telephones: Adelaide 714-715
38
THE MONETARY TIMES
Volume 65.
to clean up the whole situation. About $2,000,000 worth of
property has reverted to the municipality, which comprises
some 10,000 lots, and the yearly loss in taxes is approximately
$83,000."
That the municipality would be clear of debt in two
years was the statement made by Commissioner Gillespie
last week before the board of trade. Taxes were coming in
well, he said, the principal delinquents being non-residents.
At the present time the municipality owes the provincial
government about $1,500,000.
Moose Jaw, .Sask. — .Some interesting statistics of the city's
finances for many years back arc given in the annual report
for the yoar ended December 31, 1919. A comparison of the
net debt with the assessed valuation gives the following re-
sults:
Assessed 'c of Increase
Net Val. Net Debt Debt Valuat'n
33.6 107.0
i'jlj. 43,664,498 3,648,609 56.4 111.9
I'.m:; 51,997.286 4,579,535 25.5 19.1
l'.)ll 43,142,260 5,144,574 12.3 »17.0
191.'. - 35,086.424 5,,395,156 4.8 '18.7
1916 . :il,871.492 5,297.466 '1.8 '9.2
1917 --- 26,344,334 5,234,890 •1.2 '17.3
191H .__ 24,4.59,930 5,067,146 '3.5 '7.7
I!)l'.> 21,395,773 5,092,567 0.7 'M.S
From the above table it will be seen that the
valuation has been decreasing at a much more rapid rate
than net debt.
'l"he gross bonded debt at December 31 last was $5,957,250,
while sinking fund investments, etc., totalled §864,683, or
about $43,000 above requirements.
The balance sheet shows a surplus of $2,344,912, made up
of "capital, including local improvements — deferred assess-
ments pei: contra," $1,946,749, and revenue, available as a
reserve for possible uncollected taxes, $398,163. Current lia-
bilities at the end of the year totalled $896,924, as compared
with $781,485 at the end of the pre\-ious period.
Tax collections have been improving, the percentage of
current taxes paid to levy last year being 70.76, compared
with 65.98 in the previous year and 60.20 in 1913.
The revenue account shows excess revenue over expendi-
ture of $18,436. Electric light and power department showed
1 deficit of $13,876, while the waterworks department also lost
$13,257.
Tax rates show big increases. In 1905 the rate for puo-
lic school supporters was 13 mills, while in 1919 the rate was
34.70 mills. The rate for separate school supporters -■ ''"^2
was 11.20, while last year it was 47.45. The declining assessed
valuation was a large influence in these increases.
•Decrease.
Government and Municipal Bond Market
Ontario IJitnds Sold in the Inited .States Three Kiver.s liorrows on Six and a Half Per
Cent. Masis French Securities to be Offered Here — Voting on Irrigation Loan to Take
Place .Next Week— Nearly Five and a Half Millions lo he Involved in the Undertaking
SKVKK.Vl, niuiiicipal bond issues were made during the
past week at slightly better rates than previously. Three
Rivers sold on a basis of a little less than (i',i per cent, and
East Angus, Que., on a basis of about 6.60 per cent., com-
pared with Sherbrookc, which just recently paid approxi-
mately 7 per cent, for its loan.
Western municipalities arc not faring so well, however.
Assiniboia, Man., has just turned down bids which were con-
sidered too low. What rate was offered was not nmde public
by the treasurer, but it is understood to have been near 8 per
cent. Western municipalities, such as Assiniboia, cannot
expect to borrow at a much lower rate than '\i per cent,
just now, according to western brokers. Medicine Hat just
recently paid 7.70 per cent, for its money.
The ilefnult of jtonie municipalities has left an impres-
sion which causes investors to look on nearly all western
nuiniriiml issues with some misgiving, and consequently
borrowing rates are higher than tlu-y woiild have been ordi-
narily. The delinquents arc gettii ii ir feet again,
it is Inir. hut nevertholcss an n • been created
which will be hard to remove, iir s impaired, to
.some extent, the credit of western iiiuiucip«lities as a whole.
Voling on Irrigation ItondK
On October 21fit voting will take place at various parts
oft' ' .' • i M- 'strict on Iho ia«uinK of 86.400.000
7 ires for work on the Lcthbridgc
The ikbi'. pal and
interest, in Cai cd may
be payable in t, "St only
will be paid, but commenr i year annual
principal ropBvmfnt!i will 1
The ' -f $101.-
O.'i.'S. but i of the
thirty y. 16. In-
terest chwiti'o, ni luursv, aru rc»iucc.i each year as the
principal is paid up.
French Securities Offered Here
Canadian investors are asked to subscribe to the new
French national loan, which will be made here between the
dates of October 20 and November 30. The securities are in
the form of perpetual "rentes," or stock, which cannot be
converted until January, 1931. They are free from all
present and future French taxes, and bear interest at the
rate of 6 per cent. Proceeds of the loan will be accumulated
here on behalf of the French Government, and will be applied
to any purchases made in this country.
The price of the issue is: 100 francs (at par) per 100
francs of nominal capital, cash on subscription, benefit of in-
terest payments to start from December 16, 1920. Interest
will be paid semi-annually on June IG and December 16 of
each year. The first coupon becomes due on June 16, 1921.
Provisional certificates with five coupons will be delivered
immediately upon subscription. These provisional certifi-
cates will be exchanged for permanent certificates through
the French Consulate-General. Subscription price is tc be
paid in Canadian money at the average rate of exchange of
the previous day.
Coming Offerings
The following is a list of debentures offered for sale,
particulars of which have been given in this or previous
issues: —
Tenders
BorrowTr. Amount. Rate 'sr . Maturity. close.
Kentville. N.S $ 30,300 6 25-years Oct. 25
W'oodworth R.M.,
Man 100,000 5>i 30-vears Oct. 26
Thorold. Ont 20,000 6 10-%ears Oct. 30
Niagara Falls. Ont. S.'I.OOO 6 20-instal. Oct. 18
Brockville, Ont. .. 3T,.^00 6 10-instal. Oct. 29
Brockvillo. Ont.— The town is asking for tenders until
October 29, 1920. on $.^7,500 6 per cent. 10-instalment de-
bentures. C. A. McLean, treasurer.
October 15, 1920
THE MONETARY TIMES
39
6.30%
Until October 1st, 1940
Markets may come and markets may
go, but purchasers of Province of Sas-
katchewan eOf Gold Bonds to-day at
96.62 and interest are assured of 6.30%
for twenty years.
These bonds afford an excellent oppor-
tunity to dispense with the necessity
for frequent reinvestment. They also
guard against any changes in the
money market that may occur in years
to come.
Mail your order or write for par-
ticulars.
Wood, Gundy & Company
Toronto
Montreal
Winnipeg
Canadian Pacific Railway Building
Toronto
Saskatoon
New York
London, Eng.
Financing
National Industry
The economic life of C>anada de-
pends upon coal, iron, steel, lumber,
pulp, ajiriculture and other basic
industries.
Financing the signally successful
enterprises of these industries has
won for us the confidence not onh'
of Industrial Canada, but of the
thousands of Canadian investors
who have profited by their wise
purchases of these basic industrial
securities.
We make periudically most attractive invest
ment offerings; so send your name (o be added
to our mailing list.
Royal Securities
^ 'corporation
MIXED
MONTKEAL
HALIFAX ST. JOHN, N.B.
VANCOUVER NEW YORK
LONDON. Eng.
TORONTO
WINNll'EG
W. L. .McKinnon
Dean H. Pettcs
We recommend the purchase of
VICTORY LOAN
at the folio
vips price
s.—
MATURITY
PKICE
1922 ...
98 and
Interest
yieldii
g 6.38%
1927 . . .
97 •■
6.00%
1937 ..
98 "
5.68%
1923 ...
98 '•
6.14%
1933 ...
96J "
5.88%
1924 ...
97 ■'
6.27%
19.il ...
. 93 ■•
6.24%
Orders may he telephoned or tcleRraphed at our expense.
W. L. McKINNON & CO.
IVIcKinnon Building - - ■ TORONTO
iiiiiaimiiiii«iiiiiiiiiiiiiiiiiiMiiM
ijiiiimiiiiniMniiiiiiniiniBiiiniiii
Long Term Bonds
for Business Men
Yielding from 6.25'^ to 7.25%
These bonds are the obligations of
old-established Cities and Munici-
palities which have always paid
their debts promptly.
Full information on request.
Government, Municipal
AND
Corporation Bonds
R. A. Daly & Co.
BANK OF TORONTO BUILDING
rov.nsTci
W. A. MACKENZIE & CO.
C'.vcnn„rr,l jn.! Municwot Bon.l>
42 King St. West
TORONTO -:- CANADA
THE MONETARY TIMES
\olumt 65.
I'owaHsan, Onl. — Tenders will be received until Novem-
lier 1, litiO, for the purchase of $8,000 6>/4 per cent. 20-instal-
ment debentures. L. G. Phillips, clerk.
Niagara Falls, Ont. — Tenders will be received until
October IS, 1920, for the purchase of $33,000 6 per cent. 20-
instalnient debentures. W. J. McMurray, treasurer.
Woodworth R.M., Man. — Tenders will be received until
Saturday night, October 16, 1920, for the purchase of $100,000
5"j per cent. 30-year debentures. W. V. Stevenson, Hard-
ing, Man.
Thorold, Onl. — Tenders will be received until October 30,
1920, for the purchase of $15,000 6 per cent. 10-year de-
bentures for fire purposes, and ?5,000 6 per cent. 10-year de-
bentures for public park. D. J. C. Munroe, treasurer.
Kentville, N.S. — The town has extended the date for
which tenders are to be received for $30,300 6 per cent. 25-
years' debentures, until October 25, 1920. Tlie securities will
be dated November 1, 1920, instead of January 1, 1921, as
originally stated. (See advertisement elsewhere in this
issue.)
Debenture Notes
Assiniboia R.M., Man. — .\11 tenders which were received
for the $277,925 (! per cent. 20-instalment debentures were
rejected. The money was to have been used for water mains
and sewers, but the municipality will probably have to wait
until the spring until it can proceed with these improve-
ments.
Windsor, Ont. — The council has under consideration the
issue of $571,.500 for school purposes. .A vote was taken on
the matter October 12, but no definite conclusion was I'eached.
(Juebec, (Jue. — The Roman Catholic School Commission
will apply to the legislature at the next session for authoriza-
tion to borrow $1,000,000, of which $300,000 is required to re-
deem a loan which will mature on March 1, 1921, and the
remainder will be expended to provide new schools.
Sa.skatchewan. — The following is a list of authorizations
granted by the Local Government Board, from September 27
to October 2, 1920:—
Schools. — 10-years 8 per cent, annuity: Kelowna, $4,300;
Pleasant Grove, $1,100; Tribune. $6,.500; Flaxconibe, $1,300;
Touchwood, $3,900. 10-years 8 per cent, instalment:
Kochmsteadt, $700; Halicz, $1,500. 15-years 8 per cent, an-
nuity: Weed Creek, $4,000; Rotnum. $4,400. IS-years 8 per
cent, instalment: Iris, 0,041; Versailles, $5,941.
Rural Telephones. — 15-years 8 per cent, annuity: Long
Creek, $3,700; Vimy Ridge, $6,100; Yeomnns. $700; New
North Aberdeen, $2,700; Yarbo, $4,350; TuUis, $3,000;
Beaver. $13,800; Dunblane. $900: Spruce Home. $31,900;
Donwell-Canora. $31,800; Stoney C^oulee, $3,000; Sunderland.
$l.<i00; St. Brieux. $21,000.
Rural Municipalities.— Star City. $12,000 lO-ycars 8 per
cent, instalments for roads; Lake View, $4,830 20-year8 8
per cent. insUtlment, for contribution to Wadena Union
Hospital.
Village. — Buchanan, $2,600 lO-ycars 8 per cent, instal-
ment, for municipal odlce.
.Saskiitfhcwan. — The following i» a list of authorizations
granted by the Local Government Board from September
18th to 2.5th. 1920:—
Schools. — 15-yeor8 8 per cent, annuity: Foam Lake, $19,-
000; Englefold. $5,000; Midhurst. $5,000. 5.y«>nr<« 8 per cent,
annuity; Silberfeld. $800; West Otthon. • ' • ;irs S per
cent, instalment: Roadside. $4,000; Hai 'ii. Enton,
$13,800. S per cent. 20-yenrs annuity; .' ^')0 8 per
cent. 7-in9talnients; Slratton. $500. 8 per vent, .'j-mslalments;
Kyleniorc. $5,500. 8 per cent. I5-in»tolmentg.
Village of Pelly. $2,000. 8 per cent. 7-in8talment8.
Rural Telephones. — 15-ycnrs s per cent, annuity: Kod-
dieston. <T=;0: Mnr'mnrtrr. ??.00n: Flornl. ?' '^OO; Lome
Corner. - H. $7,000;
Hope I . Banner.
$1,800; ! a.i.JSOO;
Harder, $1.2lii>
Bond Sales
Guelph, Ont.— The city's $16,000 6 per cent. 20-y3ar
bridge debentures have all been disposed to local investors
at par.
Lachine, (iue. — Versailles, Vidricaire and Boulais have
purchased $140,000 6 per cent, serial bonds of the city, and
.«175,000 6 per cent. 10-year bonds of the Catholic School
Board.
Medicine Hat, Alta. — A. Jarvis and Co. have purchased
from the city $50,000 6 per cent. 10-year bonds at a price of
88.25, which means that the city pays about 7.70 for its
money.
Ontario. — A. Jarvis and Co., and syndicate, the highest
bidders on the $3,000,000 6 per cent. 3-year bonds of the
province, as announced in these columns last week, have been
awarded that issue. The securities are being sold to Am-
erican investors to yield 7 per cent.
East Angus, Que. — The town has sold $50,000 6 per
cent. 20-instalment debentures to the Canadian Bond Cor-
poration, Montreal, Que., at 95.25, which means the town
paid about 6.60 for its money. Tenders received were: —
Canadian Bond Corporation 95.25
A. E. Ames and Co 93.33
Credit Canadien, Inc 92.06
Versailles, Vidricaire and Boulais 91.00
Waterloo, Ont. — The United Financial Corporation, Ltd.,
have been awarded $95,000 6 per cent. 20-instalment de-
bentures at 94.33, which is on about a 6.72 per cent, basis.
Other bids were: —
Wood, Gundy and Co 93.67
Harris, Forbes and Co 93.487
A. E. Ames and Co 93.33
C. H. Burgess and Co 93.37
R. C. Matthews and Co 93.06
Dominion Securities Corporation ' 92.599
Three Rivers. Que. — Beaubien and Co., have purchased
$700,000 6 per cent. 10-year debentures at a price of 96.80,
which is on a basis of slightly less than 6>^ per cent.
Tenders received were as follows: —
Beaubien and Co 96.80
BeausolicI and Co., Rene T. Leclerc, Versailles,
Vidricaire and Boulais, Municipal Deben-
ture Corporation, and Credit Canadien,
Inc 95.86
Provincial Securities Co. (for $200,000 only). 94.85
A. E. .Ames and Co.. Dominion Securities Cor-
poration, and Hanson Bros 93.69
United Financial Corporation. Ltd 93.579
Manitoba.- The province has just disposed of $1,250,000
debentures, according to a wire from Hon. Edward Brown,
provincial treasurer, to Thr Monetary Tituex. This amoui.t
is made up of two issues, one of $750,000 for telephone and
hydro extensions, which bears interest at the rate of 6 per
cent., and matures in five years, and the other of $500,000
for farm loans, which bears interest at the rate of 5 per
cent., and matures in three years.
The price received by the province for the first issue
was 93.78 (American funds). Tlie successful bid. which
was made by the Minnesota Trust and Loan Co., and Wells-
Dickey Co.. at the rate of exchange on the day which it was
submitted, works out .it 104.15 in Canadian funds, or an
interest cost to the province of 5.05 per cent. The farm
loan debentures were disposed of to Wood. Gundy & Co. at par
and accrued interest. Tenders receive*! for the telephone
ond hydro bonds were as follows (in American funds):—
Minnesota Trust and Loan Co., and Wells-
Dickey Co 93.78
.v. E. Ames and Co 93.233
Wood. Gundy and Co 93 10
Halsey. Stuart and Co.. and First National Co. 92.959
W. A. Mackenzie .Tnd Co., and R. A. Daly
and Co ' 92 78
Harris. Forbes and Co 9l!84
October 15, 1920.
THE MONETARY TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7i%
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B.
HALIFAX, N.S.
Western Municipal^ & School
6% °^f,^™^ 71%
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
CORRESPONDENCE
INVITED
UNION TRUST BUILDING
WINNIPEG
Manitoba Finance Corporation Ltd.
Investment Brokers, Financial Agents, Etc.
Winnipeg, Man.
Head OIHcc
410-11 Electric RIy. Chambers
Phone Oarry 3884
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba. Alberta Flour Mills, Limited
NIBLOCK & TULL
, Limited
STOCK. BOND and GRAIN
BROKERS
(Direct Private Wire
1
Grain Elxchange
Calgary, Alta.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Ur^nchcs-SASKATUON AND CALOARY.
Canadiitn ManailerR
Invkstmrnt Cori'OKAtion op Canada, Ltd.
London Office: 4 Or««t Winchester St.. HC.
Vancouver District Property
Expert Estate Agents and MnnaKi-rs
Property Bought and Sold, Valued. Rented and
Reported on. Correspondence invited.
WAGHORN GWYNN Co., Ltd. v.ncouv«
X
Northern Securities, Limited
F-:STAI1MSHHI) I'KMi
GENEKAI- FINANCIAL BROKKR
Confidtinlial Advicr on BrilUh Columbia Inmlmrnl.
McmbiTof MorlRBKC and Trust Companies Association of Hnti.,h Cciliimbm
SZe Pender Street W. VANCOUVER. B.C.
B. OEORCB HAN'Sl'LD. J. P.. .ManaRcr
MACAULAY & NICOLLS
INSURANCE or ALL CLASSES
ESTATES MA.\ACED
746 Hastings Street - VANCOUVER. B.C.
C. H MAC.ALL.AY
J P, .MCOLLS, Not.iry Hul-I
P. M. LIDDELL & COMPANY
Investment Banl(ers. Fiscal Agents
Insurance Brolccrs
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
THE .MONETARY TIMES
Corporation Securities Market
Canadian Stocks Continue Irregular Trend-Abilibi Bonds Now Offered to the Public—
Another Pulp and Paper Stock Offering— Readjustment of Capital of Price Brothers
Will Take Place Shortly — Ford Motor Company
Listed on Toronto Exchange
CANADIAN stock markets, for the week ended October 13,
mnnifested no departure from previous exhibits and
security prices continued their irregular trend. The chief
influence was from Wall St., where stocks moved with un-
certainty.
The two most interesting issues were Atlantic Sugar
and C.P.H. The former, which was influenced by the con-
templated adjustments in the sugar refining industry and a
full in prices, showed a great weakening tendency, dropping
as low as IV.i. Upon the announcement by the Board of Com-
merce of the protection to the sugar industry, however, there
was a rally, which left that stock several points higher.
Strength in New York funds gave an apparently increased
value to C.P.R. here, and traders across the line were quick
to take advantage of the fact, with a resulting boost in the
price.
The rest of the market was uninteresting. Papers were
weak, with the exception of Price Bros., which issue re-
sponded favorably to the announcement of the plans for
capital readjustment. Steel stocks were lower, while rails
and utilities were firm, with a tendency to become stronger.
Bank issues were notably strong in a weak market.
With the stock market in an unsettled condition, the
public is inclined to turn its attention to more stable in-
vestments, and a reflection of this movement is seen in the
bond section. Issues, which for some time past have been
almost stagnant, became active, but there were no notable
l)rice fluctuations.
Abitibi Bonds on the Market
.■\n ofl'ering of .'?l,000,000 6 per cent, general mortgage
sinking fund gold bonds, dated January 2, 1920, and due
January 2, 1940, of the Abitibi Power and Paper Co., Ltd.,
is now being made by the Royal Securities Corporation at a
price of 89.44 and interest, yielding 7 per cent.
This issue was purchased by the Koyal Securities Co.
last June, but this is the first public oflTering. Details will be
found advertised elsewhere in this issue.
Throe Rivers Paper Stock OfTering
OtTering is now being made of $4,000,000 8 per cent
cumulative participating preferred shares of the Three
Rivers Pulp and Paper Co., Ltd., by the Guaranty Investment
Corp., Ltd., which was formed to handle the securities of the
organi7.ation.
Directors of the Three Rivers Co. include the following:
N. A. Timmins, president, HoUinger Gold Mines; D. A. Dun-
lap, vice-president of the Ilollinger Gold Mines: D. Brcnkey,
president, John Breakry. Ltd.: C. Rreakey, vice-president,
John Breakey, Ltd.; R. J. Whyte, former general manager,
Frost and Wood Co., Ltd.; J. W. Smith, director Smith and
McLaurin, Ltd., paper mills; W. L. McDougald, director,
Dominion Steel -Corporation; W. P. Kearney, Dominion Chain
Co., Ltd.
The above directors have subscribed for about $2,000,000
of the preferred shares, and shareholders of HoUinger Gold
Mines, Ltd., will get second preference to subscribe. The
balance will then be offered to the public at par, with a bonus
of one share of common. There are 80,000 shares of common
stock (no par value).
Price Bros.' Capital Readjustment
Shareholders of Price Bros, and Co., Ltd., were in re-
ceipt of a circular this week calling a meeting for October
25 next, to approve of the turning over of the present com-
pany's assets and business to a new company of the same
name, and thereby effecting a capital readjustment. Ac-
cording to the circular the business will be turned over to the
new organization on November 1, the new company assuming
the assets and liabilities of the old company, including the
bonded debt $.5,172,098 at 5 per cent., as of November 1, the
present Price Bros, company receiving in consideration there-
fore 426,710 shares of a par value of $100 each in the new
company.
The pi-esent outstanding common capitalization of the
company is 85,342 shares. This would indicate that share-
holders in the present company would be given stock in the
company in lieu of their holdings turned in, in ratio of five
new shares for each one share now held. The new com-
pany will have a capital outstanding, therefore, of $42,671,-
000 as compared with §8,534,000, the present capital out-
standing.
The board of directors of the company has already ap-
proved the plan and it now remains for shareholders to ratify
the deal and they will be afforded this opportunity at a
special general meeting which has been called for October
25 next, at the head office at Quebec at 3 p.m.
Western Power Securities
A meeting of bondholders of the Western Power Co. of
Canada has been called by the president for November 1, to
approve of a resolution to amend the trust deed securing the
bonds whereby in return for the British Columbia Electric
Railway Co. guaranteeing payment of principal and interest
of the bonds, the bondholders will waive certain possible de-
faults in the company's covenants to maintain certain muni-
cipal franchises.
(Cn)itit,u,d on potjc J,5)
IINLISTHD SKCURITIES
Aiiuv Hi.M.,1 1-.
lldJmil l\,iil.
lIUcl. I.J1.C
Br«nt(arJ Hnotir
Briliah Amcr. A;
Can. Mathincr>-
Quolmtona furnfabMl to The
KinH Edw.Holcl <
Manufacturers Lite.
Maft««y.HarHft
MallacamiP.A P. ..com.
.Mc
ican N,i
r..S'
Murr-K 7% pref
National Life ISO
North-Amer Pulp
North StarOil.. . com
..pref.
Snva Sc.itia Steel «%dch
ilnl Pulp 6>
r = i;c Hcr>ey pnf.j
l*.>ntaacK Theatre?. com.
Peoples Loan A Savings.
Rtordon com. (newstk.)
pref. '
! Bid
Ask
1
.19
73
79
175
SOS i
96
104
S5
9
B2
69
ISO
1 6
*
3«0
70
78
1 m
98. .W
Robert Simpson.696 pref.
Steele Kadiation 6'8
Stcrlinu Bank
riKCoal com.
to Paper 6's
Toronto Power. S's (1924>
Tru«vl & Guar
ted CiKar Stores com
.pfd.
Western Assurance
Western Canada Pulp ..,
Whalen Pulp com
" pref
October 15, 1920
THE MONETARY TIMES
We Offer
SCHOOL BONDS
Province of Alberta
Mo
luri
7
10 a
to l/it
io 7
nJ /5 V\.,.r.
w
IVe Spcciatl\i Recommend [he:
:n:l Inveilmenh
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto Bldg. Royal Bank Chambers
EDMONTON CALGARY
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Members of Winnipeg Real Estate Exchange. Winnipeg Stoclt Eichange
BUY
VICTORY
BONDS
NOW
They are the Best Buy on the
Market at Prevailing Prices
Write, phone or call for parliculars
Thornton Davidson & Co.
Uniited
Covcrnnicnl, MunicipcA jnJ Other
Inveslmenl Securities
Head Office: TransportaKon Bldf., MONTREAL
132 St. Peter Street 63 Sparks Street
QUEBEC OTTAWA
The Safest Investment
SOUND, active, industrial enterprises catering to big pub-
lic demand which benefit by national growth— make
the best and safest investments for money. We can i>dvise
you of many investments which pay good dividends and
have great future possibilities.
Chiefly among which is the issue of the Rubber Co. of
Canada.
Enjoy the prosperity of the rubber industry.
Lei us sent! V" particulars.
R. M. HEFFERNAN & CO., Limited
LWESTMEXT BROKERS
HEAD OFFICE : 234 Jackson Building, OTTAWA
.M T mis
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM UNDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
PmvATi; WiHKS TO WIN'.MPKC. CHrCAOO. rOROMO.
.MONTREAL AND NEW VORK
The Bond House of British Columbia
WE ARE IN THE .MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings also any British
Columbia Government and Municipal issues.
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C.
Victoria, B.C.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OLR COUNSEL AND ADVICE
Willoughby Sumner Limited
i:.i.ii,ii.i,cd I'nioi
Membeti nf ll,e Winniprg Groin Excl.ong-
Private aire to IVinnipcg, 7"oron(o, Montreal, Chicago
and ,\ea Yorl;
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
MOMItl.iL"MtiK i;inl<<l IKI. Mill.
(F|fturcK HupplivJ by BukNBTT & Co.)
8loch>
Abitibi PAP
■ Pfd.l
/Ames Holden pfd.j
AsbcBtoR Corp i
Pfd.
/Atlantic Sugiir
f Hell Telephone
UraziliunTX.* Power
U.C. Kish
Hrompton I'ulp * P..
^ Canada Cement
^ ...pfd.
Can. Con
Canadian Cottons
CanadiunCar
• ...pfd.
/CP.R
Canadian Oen. Elec...
Can. Loco
Can. Steamship
■• •• pfj.
" " Vol. Trust
Con.Minint; ft Smcl... -
Dct. Rys
, Uom. Ca
Sales Open I High Low Close
490
.■»
ISI
I4S
%
ISO
89
10
42
la
90!
i
NO
90
99
5
US
Cil
Dominion Bridilc
Dom. Coal ...pfd
Dominion t«la»s
•■ ...pfd
Dom. Iron pfd.
Dom. Steel Corp
..pfd.
Dominion Textile
• pfd.
Goodwins Ltd
" pfd.
Howard Smith
pfd.
Hillcrest
Lake of the Woods. .
..pfd.
Laurcntide
Macdonald Co
.Mackay
Mont. Cots. Ltd
...pid.
.Montreal Power
Montreal Tram
TcleBraph...
Tram Deb
Nalionnl Hrewerie*.. .
r OiSiUie Plciur .Mills pfd.
Ottawa L.H.*P
Ont. Steel Prod
....pfd.
/ Penmans
pfd.
Price Hros
Prnv. Paper
Qucbc- Uy. L. H.4P..
Kiordan Pulp A P
pfd.
St LawrenceFI. Mills I
Shn«ini«an W.ftP ...i
/ Spanish River
• DIv.Vou.
•■ pfd.
St. Maurice I
. Steel Co of Canada. . ,
' pfd
Toronto fly Co
rTucketl
Twin Illy
Wab.i'.-.' C.t n
Asbestos Cor
Bell Telcphoi
Can. Car
Can.Ccmenl
Cedars Rap"
Can. Kubiv
City Wont I
Vicloo- Bonds. !».•
2130 162
437! 103
is! S8
176 140
lOl 100
I45S 113
20si 32
3S; 6»i
10 98
98) 9(S)
BSi
8a» 67 71
1802 64 ! 64
100 101 I 101
65 130 ! m I 130 130
50 III
887' 28i
1253: 210
385 I 360 ,370
1136' 117
25l I.W
SIO; 67
.MB l.l'i
i:iu luu
tl<l>TBf:AI.-C>
Dom. Cottons . . .
Dom.Canncrs
Dom. Textile A.
B.
Lake of Woods ..
.Montreal Power
.Montreal Kr. deb..
.National Brcwerii
Flour
Sales Open HiRh I Low | Close
41X10 96t 96A 96i j
lOOU 89i 891 I S9) 1
4U<I<I W !Wj y?
: Br
Pi
Pi
Quebec Ry.L.H.iP..
Scoti.i
Sherwin-Williams...
Spanish River
Steel Co. of Can.'ida.
Wabasso Cotton
WaynRamnck P. A P.
Windsor Hotel
7500
7000
1 1100
!«J 93J 93»
6li
1000
1000
naou
79 I 79
8li I »\\
TOItOM'«»-nri.k Culled Ocl. I3lh.
Mock*
Atlantic Sugar
Abitihi
Barcelona
Ucll Telephone . .. .
Brazilian Traction.
Burt. F. .\
1
SaleslOpen
Higll
Low'
4.'>9 124
124
113
165 ni
771
75
2IOi 5
s
4e
.S8 101
'§2f
101
1778 3«J
35» ,
311 99
99,
98 1
Can. Bread
Canada Cement .
Can. Gen. Elec.
pfd.'
30 99 ' 991 99
Canada Steamship . . .i 75 633
pfd.l 274 76
Can. Salt | 20' 93
Canners.. .
pfd.
Canadian Pacific R — '
City Dairy pfd.l
Dome
Con. C«s
Crown Reserve '
Duluth
La Rose
Lake of Woods
Loco
490 13^
14 85
IOI12.OO
20| 125
.Mackay Companies
'^- ...pfd.
448
70
70
69^
346
t>4
64i
6:<i
.Maple Leaf
I3X
141
146
141
•• •• pfd.
44
96
96
95
.Monarch pfd.
10
85
85
K5
N.S.Car
245
B
61
6
OKilvie pfd
5
101?
101]
lOIJ
Pac. Butt
25
:»i
;«>»
•m\
pfd.
10
78
78
78
Pniv. Paper.
10
lilt
111)
III)
25
50
39
26»
39
26»
Port Hope San
26)
IJueKi. R.L.H. »P
20
28
28
28
KoKers
14
.-aj
.53}
.WJ
Salesh,.,.U pfd.
40
77J
78
77(1
Sau icr.Massey
10
17
17
17
Spanish River. . . .
215
114
114
108
pfd.
;ii
ll«;
1161
114
Sh. Wheat
IS
ITJ
\m
132
Steel Corp
too
.Wi
.56
.«
Steel Company
pfd.l
• Pfdii
5 Ii6j
222! 67)
62 92i
78
17
lost
llSli
KT2)
S5i
6«t 66)
65i I 65)
1951 l»4{ I<I4)
l<« 189 190 189
.T7 I6<l 169 166)
laHia ami Tr«sl
«»' 87
I caon' 6S
I «0P[ 72)
1631
163
tin
no
u.s
145
141
141
15S
1.V5
\n
132 1
Ui
8S«!
84
K4 1
87
87 '
^
72 ;
TOHOSTO— Continued
War LoauK
' SaleslOpen I High Low {Close
Dom. Can.W.Loan. 1925 434O0 92)
I9:fr 358001 89)
HIST ;i|i6(HI 91
Victory Loan 192'2
192.1
1927
WIKNIPEe— Week ende4l Oct. SMk.
Victory Loan 1922..
■■ 1923..
■ 1924..
■ 1927..
•• 1937..
" 1933..
•• 1934.
War Loan 1925
Western Grocers.. pfd.
North Star Oil
Northern Mtg
.NEW ¥OKK— Week ended Orl. Mh.
Slacks Sales Open High ' Low
I
nonds \
Dom. of Cm. 5% 1921 53000
5)% 1921 520O0
.5% 1926 32000
5)% I929. 73000
5% 1931' 67000
Canada Copper.
rk Curb-
ipire
7% pfd.!
129) I IZSi
40
39
!»i
LOMPOM. Eng.— Week ended Sept. Wth.
Gov'l. A Man.
C.inada...S)%
3^
" ... 3)% 193050
.... 4% 1940.60.
...44"._. bds. .
Calgary 44"i, deb
Bdmonton 5% hds. 23-.W
Sales Open High Low
Hamilto
)hds
deb
Nfld.ai-^.bds
.Manitoba 4% deb
.Montreal *i%, Reg
4% cons. deb.
Ontario *%
Ottawa 4% debs .
Perth 4% deb
Quebec 4% bds. 1888
3%
4'\,I934
4i'\>Rcg
Reijina 4)"„ Jeb
Saskatchewan i% 1923
Sask. 5; V, deb. 1924.34.
Saskatoon .S% deb
.SV. <
Vancouver 4i',> cons. .
S. \'ancouver 5%
Toronto 4)'\, deb.
cons. 1962 .
4%..
C.No
Railways
.Pac.4%«r.deb.S0;
Can. Nor. 4% deb. I9S9,
■ ■■ 4%deh. 1934..
4'V deb. 1930.
Can. P.1C I
" 4'\, deb.
" 4% pfd.
O.T.P. Br. 4% hd 1939.
G.T.P..T\,hdB
O.T. P. 4% 19.55 '
G T. P. 4% deb.'
Gr. Trunk . . 4% guar.
Gr. Trunk5%Ist. pfd..
Or. Trunk 5% 2nd pfd
Or Trunk 4% cons. .
Ont. & Quebec 5% deb.
P Ot East.4j%deb.'42
Ind.. Fin., Kir,
74)
Can
rtW,
.Cement 7% pfd...
6% pfd...
C. W. Lumber 5% debs.
CalBary PowvrS96bd..
Toronto Pow. 4 j% c.db.
741
^
891
78
73)
92<
92)
74)
74?
«?
62
75
73
71
«»»
78
77
76
76)
79
79
68
68
80}
80)
«2
61)
73
73
74)
74)
67
67
no)
109)
79
79
73
72
68)
65)
67
67
71)
701
86
66
71
71
73
671
St
51
82
82)
98
98i
171
169
64
83)
60)
59
84
82)
63
62
67
66!
46
48)
56
.55
42
40
30
29
58
56
76)
76
80
80
108
106
116
IIS
113
113
76
76)
60
58
67j
67J
62
62
Clou
641
61)
October 15, 1920
THE MONETARY TIMES
CORPORATION SECURITIES MARKET
FIRE INSURANCE METHODS CRITICIZED
(Contimted from page 42)
It was announced recently that the majority shareholders
of the Western Power Co. of Canada had given an option
till November 1 to representatives of the British Columbia
Electric Railway Co. on the Western Power Co. of Canada's
preferred and common shares at $70 per share for the pre-
ferred and $35.10 for the common shares, SI per share being
paid for the option privilege. This option on the shares of
the Western Power Co. of Canada, will, of course, be exer-
cised if the proposed amendments and guarantees with re-
gard to the bonds are carried into effect at the meeting
called for November 1.
New Stock Listings
The stock of the Ford Motor Co. of Canada has been
listed on the Toronto Stock Exchange. The outstanding
stock is $7,000,000, and up to the present the market has
been e.xclusively in Detroit.
Application to list the new shares of the Dryden Pulp
and Paper Co. on the Montreal Stock Exchange will shortly
be made, it is understood. The definitive securities are now
in the process of distribution, and it is expected that this will
be completed in the near future, and then the listing will
take place. There are 100,000 common shares outstanding.
Other Capitalization Changes
Niagara Hats, Ltd., was recently incorporated with a
apital of $500,000 to absorb the Mayhew Hats, Ltd., and the
Niagara Panama and Straw Hat Co., Ltd. .\11 of the stock,
' ith the exception of an issue of $100,000 preference shares,
will be absorbed privately, and the preference issue will not
be offered to the public just yet.
Davis Bros., Ltd., Hamilton, who were recently incor-
rated with a capital of $200,000, announce that preference
lock may be issued at a later date to the public to take
are of increasing business.
Alberta Dairy Supplies, Ltd., have been authorized to
increase the capital stock from S.50,000 to 8300,000, by the
creation of 20,000 new shares of a par value of $10, and 5,000
new preferred shares of a par value of $10.
The Warren Bituminous Paving Co. of Ontario, Ltd.,
Toronto, Ont., has been authorized to increase the capital
-tock from $200,000 to $400,000, by the creation of 2,000
"mmon shares of a par value of $100.
Hunter Rose Co., Ltd., Toronto, under supplementary
■ Iters patent issued by the province of Ontario, have been
ithorized to. increase the capital stock from $50,000 to
; 00,000, by the creation of 500 shares of stock of $100 each.
The $25,000,000 Grand Trunk Railway loan made last
week in New York is for the purpose of retiring maturing
indebtedness.
Western Homes Extending Operations
Western Homes, Ltd., Winnipeg, Man., have been author-
ed to increase the capital stock from $1,000,000 to $5,000,7
'100. The company received in the first place a charter for
only half a million dollars. At that time the idea of the
shareholders was to do a good deal in the way of building.
Later, the mortgage company idea became more prominent,
■ nd it was seen that it was desirable to increase the capital
ery greatly. An increase was made at that time to one
nuliion dollars. In the course of ten months the additional
half million dollars of stock was subscribed, and the applica-
tion is now made to increase further to $5,000,000.
With reference to the future of the company the direc-
tors state that this will depend to some extent on conditions.
.\ mortgage business will, of course, be carried on, and build-
ing will be done as conditions warrant. This year a few
houses are being built, and the company is thus keeping in
1 lose touch with building conditions.
Fire losses and how they may be reduced was the sub-
ject of an address by J. Grove Smith, Dominion Fire Com-
missioner, before a meeting of the Montreal Fire Insurance
Brokers' -Association on October 7, presided over by R, J.
Wickham. After quoting figures showing the enormous
annual loss in Canada through fire, Mr. Smith referred to
the three main ways of dealing with the problem. People
had been preached to for years in regard to precautions to
be taken to prevent fires, and not with much result, and
there was need of sterner measures to deal with the adult
population. Education should be directed towards the child-
ren in the schools, and this had been done, but the plan had
not been successful because the children had been taught in
the negative manner, told they must not do this or that.
This year, however, the pamphlets to be distributed next week
to 30,000 schools in Canada will contain positive teaching
for the children, something more suited to meet the psycho-
logy of the child mind. In this way a million and three-
quarters of children will be reached.
A second means of improvement was in the insurance
business itself. He believed that the theory of paying agents
for their work according to the profits they brought their
companies should be accepted, and he, for one, believed that
it was possible to put that principle into practice. This
would work out better than a flat rate on the amount of
business obtained, the agents being paid, as it were, a pre-
mium for reducing fire hazard. He believed in this system
of contingent commission for agents, and recommended it
to the study of companies.
Another point for insurance companies which the speaker
stressed, was the doing away with agents who make of in-
surance a side line, and keeping the work to men who are
qualified and give the work all their time and interest. Mr.
Smith said he would like to see legislation along this line,
but first believed it would be better for the companies them-
selves to take the necessary action. He would like to see
the insurance companies have the moral force to refuse
business from any agents but those legitimately in the
business. Mr. Smith referred to the fire marshal laws, which
all provinces, except New Brunswick, have on their statute
books. In Quebec the law was not so effective as it could
be made, and he suggested that the insurance men here ap-
proach the legislature towards securing amendments to make
the Quebec law more in line with those of Ontario and Sas-
katchewan. The speaker said he did not believe much in
enquiries after fires. No new information was obtained by
these post-mortems. The companies knew all the facts,
but the trouble was that there i? not sufficient authority to
rectify matters previous to fire.--.
Condensed Advertisements
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5c. per word. Minimum chari;c for any condensed advertisement. (>Sc
per insertion. All condensed advertisements must conform to usual
style. Condensed advertisements, on account of the very low rateB
charfjed for them, arc payable in advance; .SO per cent, extra if charged
ACCOUNTANT.— Man thirty-five years of age. Thor-
oughly familiar with Costs, Credits, and Financial Work.
For past five years in charge of Accounting Department
large Western Corporation, Open for engagement October
Ist, Box 345, Moiiclary Times, Toronto.
CHIEF CLERK required by fire insurance company.
Must have good knowledge of underwriting, office routine
correspondence. Apply, stating age. qualifications, salary, to
Box 351, Moiu-(nry Tinus, Toronto.
GENERAL M.4NAGER and organizer of successful
mortgage company with over $5,000,000 invested in Western
Canada seeks opening, owing to amalgamation. Wide ex-
perience and excellent business connections. If necessary,
can invest some capital. Apply Box 353, Mmu-Uiry Times,
Toronto.
THE MONETARY TIMES
Volume 65.
Corporation Finance
Showing of St. Lawrence Flour Mills Companv Similar in Character to Recent Exhibits of Companies
Operating in the Same Line of Industry— Alyoma Steel Operations Continue Along Favorable
Lines— Whalen Pulp Company Will Rush Operations Vigorously Under New Executive Head
Uemcrara Electric Co., Ltd. — Earnings of the company
for August, 1920, were as follows: —
Gross. Net.
Railroad ?10,610.12 $1,273.71
Light and power 9,351.10 3,569.29
Miscellaneous 398.05
$5,241.05
Trinidad Electric Co., Ltd. — The following is the earn-
ings statement of the company for August, 1920: —
Gross. Net.
Railroad $18,190.74 $ 6,003.73
Light and power 14,630.78 2,707.68
Ice and refrigeration .... 8,888.65 4,093.54
Miscellaneous 1.20
$12,806.15
Whalen I'lilp and Paper Mills. Lid.— T. W. McGarry,
K.C., formerly provincial treasurer for Ontario, was elected
to succeed Sir Geo. Bury as president, at a meeting in Tor-
onto this week. The following executive was also ap-
pointed:— Hon. T. W. McGarry, Toronto; I. W. Killani,
Montreal; Alexander Smith, Chicago; James Whalen, Port
Arthur; IM. .1. Haney and W. G. Ross, Toronto, and M. R.
Higgins, San Francisco.
The executive have under consideration several names
for the position of general manager, but it was stated that
that appointment will not be finally made until President
McGarry. makes his recommendations, after visiting Van-
couver, for which place he leaves in the immediate future.
In the meantime, it is intended to push operations vigorously,
and to name a competent general manager at an early date.
Sir George Bury was managing director as well as president,
but it is apparent that under the new arrangement the two
positions will be divided.
Algoma Steel Corporation. — ,^t the annual meeting of
the company ;it Camden, N.J., last week, only routine busi-
ness was transacted and the old board of directors was re-
elected. Since the last annual report was submitted, the com-
pany, which is a subsidiary of the Lake Superior Corporation,
and which operates at Sault Ste. Marie, Ont.,' has been oper-
ating very f:ivorably, and according to statements made at
the annual meeting, expects to continue so for some time.
Production for the three months ended September 30 last, as
compared with the same period in 1919, was as follows: —
1920. 1919.
Coke $142,593 $65,998
Pig iron 1 16,362 50,149
Steel ingots 92,300 55,456
Rails 52,640 33,033
Structural ateel 4,107
IS" merchant mill products.. 9,068 6,805
12" merchant mill products.. 6,046 1,842
St. Lnwronce Flour Mills Co.— A statement of the com-
pany's finances for the year ended August 31 Inst reveals n
showing somewhat similar to that of the Lake of the Woods
Company, that is, in regard to earnings. The results of the
year's operations amounted to $215,077, ns compared with
$245,,"i!tl a year ago ami 2(^S,7.'i7 in the preceding twelve
months. .'Vfler the payment of bond interest and dividends
on the preferred stock standing, there remained available for
application to the junior securities of the company the sum
of $161,432, ns against $191,109 in the previous statement, and
$214,098 in 1918. The 1920 showing was. therefore,
equivalent to 13.5 per cent, on the common shares, as com-
pared with approximately 16 per cent, last year, and about
18 per cent, in 1918.
Out of the surplus available for distribution among the
holders of the common stock there was paid during the year
the usual 6 per cent, dividends and bonuses amounting to
4 per cent., taking $120,000. This, together with fixed
charges and preferred dividend payments, plus excess profits
tax, accounted for $202,078 of the year's profits of $215,077.
During the year a special bonus of 10 per cent, was distribut-
ed among the common shareholders, this being taken out of
a new general reserve created for the purpose, amounting to
$182,566. No corresponding item appears in the company's
accounts for previous years, and, with definite information
on the subject lacking, the amount presumably was taken
out of the 1919 "sundry credits" total shown in the balance
sheet for the 1920 period at some 170,000 less than a year
ago.
With the balance carried forward from the previous
statement and after allowing for all additions and deduc-
tions, there remained a surplus of $397,829 to carry forward
into the current year, as against $322,263 last year and $251,-
154 in 1918.
The balance sheet discloses that the net change in the
margin between current liabilities and current assets effected
during the year was slight, although the position in this re-
spect showed considerable improvement over 1918. Accounts
receivable at $132,291, compared with $166,606 last year, but
inventories of grain, flour and other milling essentials at
$396,306 are higher by almost $300,000, with investments up
$50,000 at $362,100. Cash on hand was reduced from $151.-
119 to $176 in the twelve months. The increase in mill in-
ventories, however, was more than offset by an item of
$309,339, representing advances from the company's bankers.
Real estate buildings and machinerj-, $601,977, is higher,
while special accounts, property, good-will, etc., are carried
at the unchanged figure of $1,200,000 sundry credits, as pre-
viously mentioned, show a decline of in excess of $173,000 to
$70,000. Elsewhere the two years' figures show no out-
standing changes.
lU UAL CREDITS IN .M.BERTA
Kolations between the banks and the rural credit so-
cieties in .Mberta was the subject of a conference held at
the beginning of this month between Hon. C. R. Mitchell,
treasurer of the province, and representatives of the western
section of the Canadian Bankers' .Association. The question
of improving the relations between co-operative rural credit
societies in Alberta, of which there are now ten in operation,
and the banks with which they do business was discussed
with the bank officials, one of the special points talked about
being the rate to be charged for money and the measure of
guarantee to be given by the province and the municipalities.
Objection having previously been taken by the banks
that the amount of the guarantee is not large enough to give
them what they consider sufficient security in case of any
special consideration in regard to rates, the possibility of
some readjustment on this point was discussed, and a sub-
committee of the bankers' association was appointed to look
into the matter and to consult with the provincial treasurer.
Mr. Mitchell says that if the province and the banks con-
clude satisfactory arrangements, legislation necessary to
make them effective, thereby overcoming certain difficulties
now involved in the working of the rural credits scheme, will
be introduced at the next session of the legislature.
October 15, 1920
THE MONETARY TIMES
Head Office :
LONDON
England
Branches at
Paris
Amsterdam
Madrid
Antwerp
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Christiania
Malta
Gibraltar
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(Jamaica)
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(Jrenada
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Etc.
A If arid Hidf
Reputation for
Service,
Security and
Satisfaction.
INSURANCE COMPANY LIMITED
FINANCIAL RESULTS
for Year Ending 24th December, 1919
(Converted at 466.66)
PREMIUM INCOME
$7,495,259
ASSETS
British and French Government Securities $ 2,369,972.60
Other Securities 4,473.711.52
Cash 1,313,029.14
■Freehold and Leasehold Premises 688,251.86
Sums due from other Insurance Companies and Sundry Debtoi-s... 3,102,392.49
LIABILITIES
Paid-up Capital
RESERVES:
General Reserve Fund * 486,666.67
Trading Accunt Balance 5,764,494.33
Investment and Income Tax Reserve Fund 1,012,443.37
Other Reserves 1,155,189.47
Unappropriated Profit 101,752.3'J
$11.947.357.61
$ 1,336,109.2-
^.■■\iO..<ilK
Sums due to other Insurance Companies and Sundrj' Creditors 2,090,702.11
$11.947,357.61
HRITE. PHONIi OR CALL
Porcan^adir- 59 Yoiige Strcct, Toronto Main 53
5f)'J
TORONTO p T TV/r T U A 1>J T XD «•"•"•"'*»
AGENTS: *--• *-" iVA^i-'l-'.rVl ^ » X^ 1 L/. (or Prwcciion
?4 AnRI.AinK STRI-FT HAST
STRFNGTH ^Sec financial position as above.
SI'K\ICF-; — Based on world-wide experience.
S.ATISF.ACTION — Secured by excellent policies at attractive rates.
257
THE MONETARY TIMES
Volume 65.
RECENT FIUES
Dickie's Liimbir Mill at Stew iacke, N.S., Ul 50.000— Two
Lturns in Ayr were Destroyed with a loss of 520,000, and
Two Itarns in .Mount I'ore.st were Destroyed.
.SulTerint; a Loss of $1.5,000
.\yr, Ont. — October S) — Barns of J. J. Brown in South
Dumfries were damaged by fire. The fire was caused by a
.spnrk from the threshinp engine. The loss is estimated at
$20,000.
Kloomfield, Ont. — October 13 — PearsoU's garage and
Gibson's bnrn were damaged by fire. The loss is $,">,000.
FJridgeburg, Ont. — October 13 — The Bridgeburg Railroad
Y.M.C.A. was damaged by fire. The loss is partly covered
by insurance.
Uridgcwater, N.S. — October 6 — Bam owned by Mr. Heck-
man was damaged by fire, the fire spreading to the Union
Church, which was badly damaged.
Colonsuy, Sask. — October 3 — Colonsay Hotel was de-
stroyed by fire. The loss is estimated at $12,000 and is cov-
ered by insurance.
Elcan, Alta. — October .'i — The tipple of the Rock Springs
Coal and Brick Company's mine was damaged by fire. The
loss is estimated at $12,000, and the fire is believed to have
been caused by spontaneous combustion.
Kredericlon, N.H. — October 7 — Bam owned by James
Kelly, on Saunders Street, was damaged by fire. The loss
is estimated at $.500, and the fire is believed to have been
caused by incendiarism.
Mount Koresl, Ont. — October 6 — Two large bams on the
farm of .lohn X. Brown, Owen Sound Road, were entirely
destroyed by fire. The loss is estimated at $1,5,000, with
insurance of $.5,000.
Orangeville, Ont. — October 10 — The carding mill of
Irving Stephenson was destroyed by fire.
Oxbow. Sask. — October .5 — Oil tanks of the Farmers'
Elevator and Trading Co. were destroyed. The loss is esti-
mated at $8,000.
St. Thomas. Ont.— October 11 — Barn of Daniel Coughlin
was damaged by fire. The fire was caused by an electric
storm. The loss is estimated nt $0,000.
Stcwiacke, N..S. — October 11 — Dickie's lumber mill was
damaged by fire. The total estimated loss is $150,000 with
insurance of $30,000.
Toronto, Ont. — October 7 — Factory of James Brown,
41.5-1.57 King Street West, was damaged by fire.
October 10 — A shoddy mill at 610 Eastern Avenue was
damaged by lire. The fire was caused by children playing
with matches. The total loss is $2,300.
Trenton, N.S. — October 7 — "Riggers' " shack nt the plant
of the Nova Scotia Steel and Coal Co. was damaged by fire.
ADDI IKlN \l. IMMIOIMION ((>N(KUMN(; IIUKS
Allanhurg. Ont. — September 17 — Bam belonging to Elias
Egerter w.n.i damaged to the extent of $1C,000, with insurance
of $.1.-I00 in the Doniinion.
F!rnrkvi!le, Ont. — .September 20 — Business section and
'"• damaged by fire. The fire was cau.'ed by de-
'.:. The total loss on buildings and contents was
J $2ri,.TO0 in.surancc in the following companies:
Dominion. British Colonial and London. R. H. Smart, G. F.
Stnyiier. W. and .T. .''heriHan and Mico Hnrri«on were the
owners of the bui' '
Cloverdnlr. I! i ;. belonging
to Smith anri U\f i The total
lo.ss was $5,700, V ■ ;n tin following com-
p,i?ii''s: Rochester -cticut. Fidelity- Phcnix,
Insurance Co. of
Hamilton. Oni ■ nco of E. A. Vol-
lick. 41S Bay Sti The fire is sup-
posed to have been i;i\is<',l hy itiil ii«ii playing with matches.
The total loss is $1,150, with insurance of $1,.5.50.
September 19— Art and Gift Store, belonging to Fare-!
well and Guest, was damaged by fire, the fire being causedl
by spontaneous combustion. The total loss is $4,214, with
insurance of $14,000.
(Juebec, (Jue. — August 3 — The damage resulting from
the fire in the garage of P. T. Legare, Ltd., was $1,633, not
$10,000. as previously stated in these columns.
Stratford, Ont.— September 1.5— Barn belonging to Gir-
ling Brothers was destroyed by lightning. The total loss wasi
$4,200, with insurance of $2,050 in the Downie Mutual.
Watford. Ont.— September 25— Rasidence of Thos. Dodds
was damaged by fire. The loss was $87, with insurance of.
$2,500 on the buildings in the Phoenix and Queen Insurance
Company.
VANCOUVER TO INSURE ALL ITS EMPLOYEES
Legislative Authority Necessary, However — Fire Agents to
Have Provincial Association — State Insurance
Proposal Sidetracked
(Special to 1 lu- Moiiclary Times.)
Vancouver, B.C., October 9, 1920. I
THE city council of Vancouver have been of late giving'
special attention to civic insurance.. After putting a'
blanket accident and sickness policy on the police force, they
duplicated the policy for the fire brigade. This caused a
certain amount of jealousy among other city employees who
were not so favored, with the result that the city council will:
now insure, under a similar policy, the city hall stafT and
outside workers. Over a thousand men will be covered by,
thi.s form of insurance. The civic worker's health is insured!
for $100 a month and his life for $500, the taxpayer paying
the premiums. The city is said to have taken this course
on account of the large sums of money expended through
sympathy for sick employees and those who had met with
accidents. The whole of this blanket insurance scheme, how-
ever, will have to receive legislative sanction.
The city council are said to be dissatisfied with the exist-
ing method of handling the insurance on public buildings.
Mayor Gale claims to have had visits from insurance ex-
perts, informing him of the great imprpvement that could
be made. .\s a result, a special committee has been ap-
pointed to attempt a revision of the system. It is said that
a few insurance firms were getting all the business, and
there seemed to be a great deal of heart-burning and bitter-
ness caused by the alleged unfair treatment of firms who
could not get a "look in" on civic insurance. City Comp-
troller Pilkington has been instructed by the council to ar-
range a schedule providing for a fair distribution of the
business to all local companies, while the committee appointed
to look into the whole question of insurance are to have the
insurance experts mentioned by Mayor Gale before them to
hear their proposal of their alleged technical experts by
which the municipality, they say, will get the best classifi-
cations and results on all property insured.
A movement is on foot to form a British Columbia fire
insurance agents' association, with associations in each of
the larger towns, and the central executive in Vancouver, the
idea lieing to have all agents governed by the same set of
by-laws and constitution. .\t present there are agents' as-
sociations in \'ancouver. Victoria, New Westminster, Nel-
son and Kamloops. The ditTercnt towns are now being visited
for the purpose of ascertaining the wishes of the agents in
regai-d to the proposition.
The resolution offered by Revelstoke to the Municipal
A.Ksonation convention at Nelson, that the government be
asked to take over five insurance business of the province,
was not .seriously considered by the convention which has
just closed Its labors. A resolution was passed, however,
that the fire insurance rates in B.C. were excessive, and
suggesting that the insurance department in B.C. make in-
quiries into the p.eseiit rates charged.
KPuEl-liHKC; KvF-RV F.; -. V
The Monetary Times
i;. Printing Company
of Canada, Limited
!The Canadian tnenicer'
Trade Review and Insurance Chronicle
of (TanaDa
Old as Confederation
JAS. J. SALMOND
PTraldent and General Manager
A. E. JENNINGS
Asalsunt General Manager
•JOSEPH BLACK
Secretary
W. A. McKAGUE
Editor
Regulation of Agents, Brokers and Adjusters
Agency System is More Suitable for Canada Than the Branch Office System of the
United Kinsdom Would Be— Several Defects, However, in the System Itself— Some
Abuses in Its Practice— Proposed Legislation and Regulations for Control by License
By V. EVAN GRAY
Superintendent of Insurance for Ontario
IF any part of insurance business could be simply and
easily explained in operation, one would naturally expect
the relation of the agent to the company and to the public to
be that part; and if supervision and regulation of any part
of the insurance business were easy, surely the regulation
of the agent should rest on principles easily explicable.
I must, therefore, express in advance my opinion that
the interrelation of agent, company and public is one of
he most intricate problems to which I have ever given con-
ideration, and the principles and application of govern-
lental supervision are most difficult to explain. To others
iian insurance men I find it almost impossible to make clear
:ie final incidence of any factor of influence applied at any
; oint of this triangle. Therefore I. offer the conclusions indi-
cted in this paper with a good deal of hesitation and re-
erve. I submit them rather as an argument for analysis
;'ian as the final dictum of authority.
In the preparation of this paper I have not found it pos-
sible to deal with the relation of the agent to the company
;ii the various classes of insurance, including life, fire, and
the various forms of casualty and guarantee insurance. It
was apparent that to attempt to do so will lead to con-
fusion and prevent the logical development of conclusions.
1 have undertaken, therefore, to consider only the fire agent
in detail, and there will be much of what I say that is not
.iplicable in any degree or only in a modified form to the
ase of the life insurance agent or of the agent for a
' usualty or guarantee company. I will ask you, therefore, in
the application of the principles to which I refer to consider
only the fire insurance agent.
The Branch Office System
The agencv system of representation of insurance com-
panies occupies a" very different status in Canada and the
rnited States than it does in Great Britain. In each case
"lis is due to the natural development of the business. In
Kngland it was formerly the rule that every contract of in-
surance required to be erected under the seal and signed by
the hand of the chief executive officers of the company. The
company was not bound and the risk was not covered until
the application for insurance had been received and passed
on bv the head office of the company and the contract duly
.-xecuted and delivered. The agent of the company, there-
fore, was a mere solicitor of business and held no authorit>
to bind his company. A later development was that con-
tracts were signed and executed in advance and placed in the
liands of the clerks at the counters of the insuranc_e com-
pany's offices, and it became a particular matter for ad-
*An address before the conference of provincial insur-
ance superintendents, Winnipeg, October, 4-7. 1920.
vertisement and recommendation of an insurance company
that it was able to issue a policy of insurance "while you
wait."
The next step was the institution of branch offices of
the companies in large centres of population, and the delega-
tion of similar authority to these branch offices to issue
policies which bound the company without the necessity of
reference to head office. The position of the agent of the
company, however, remained the same— that of a mere
solicitor of business. The general system in vogue in Great
Britain may, therefore, be characterized as the branch office
system, as "distinct from the agency system, as we find it in
Canada. These branch offices provide in every part of the
L'nited Kingdom reasonably accessible service stations for
insurance.
There are, of course, large firms of insurance brokers in
Kngland which do npt represent any individual company.
The business of these brokers is confined almost exclusively
to large lines of insurance, and they do not endeavor to
secure the ordinary risk.
Rebating is Not Prevented
The amount of the commission which is paid to an agent
in Great Britain is effectively regulated by the rules of the
associated tariff companies. 1.5',; is the standard rate of
commission on ordinary risks, and the rate is less on large
lines.
Any person, whatever, may be appointed an agent and
receive the commission on insurance brought to the com-
pany's office. The rule of the tariff companies is that all
agents must be appointed by minute of the board of direc-
tors of the companies, but this has become a mere formality,
and I am informed that the practice is to submit at each
meeting of the board a long list of agents for authorizatioiT.
which in the ordinary case are not even read, but are in-
serted formally in the minutes of the board. By this practice
any person who can bring a risk to the office of the com-
pany is -permitted to collect the commission on that risk,
whether he is an ordinary agent, a clerk or officer in the
employ of the assured, or the assured himself.
There is no anti-rebate law which effectively prevents
the pavment of commission to the assured, or to some-
one on" his behalf. The result is, that the rate of premium
in respect of a risk, may be said to be the rate net to the
company, and that rate is. in fact, available either to the
assured or his agent on application. The assured whose in-
surance is placed through the agent or broker pays the in-
surance company's net rate plus the broker's commission.
The broker's commission, therefore, represents in effect a
bargain between himself and the assured, and not between
the company and the broker.
THE MONETARY TIiMES
Volume 65.
I am not prepared to express an opinion as to the value
or relative cost of the system thus established. My informa-
tion is, however, that the rate of commission to accents is so
effectively controlled by the reRulations of the tariff com-
panies that this element in the expense of insurance business
has not proved to be a burden upon the insuring public.
I have stated the practice in England with such particu-
larity because the Enii^lish example is so often quoted in
this country as an artrument for jfivintr further rein to com-
petition and as a precedent for absence of governmental
supervision or regulation in any manner of the insurance
airi'nt'.« business.
Xnency System on This Continent
In Canada and the United States there has been a very
different course of development. Here the agent acts as
intermediary between the company and the assured in nearly
every contract. The general agent, and in some cases the
ordinary agent, is given large powers to bind the company.
He is supplied with blank policy forms or interim receipts
\>hich he is authorized to issue to the assured, thereby bind-
ing the company upon the risk, and the company protects its
own interest by reserving the right of cancellation of the
policy provided for in statutory conditions.
The amount of business received by a company, either
at its head office or branch offices, directly from the assured,
in respect of which no commission is paid, is very small.
There is no flat rate available to the assured, either directly
or indirectly, by the allowance of the commission to some
other person on his behalf. The gross rate of premium is
protected by strict anti-rebating laws of the Dominion.
The rate of commission to be paid becomes a matter of
bargaining between the company and the agent, to which the
assured is not a party. Even when a broker purports to act
for the assured as distinguished from the company, the com-
pany determines his rate of commission and pays his fee.
Services of the Agent
It is of great importance to distinguish the duties of
the agent and the services which he renders to the com-
pany and to the public under the agency system in vogue in
Canada and the Inited States, from the services which I
have mentioned as his responsibility in Great Britain.
In Canada the extent and quality of this service varies
according to the limits of his authority and his equipment
to perform the work. He may be merely a solicitor of in-
surance comparable to the English agent who establishes
contact between an agency firm and the prospective insurer.
If so, the remainder of the services of the agent is rendered
by a second, or even a second and third agent. But if you
collate the efforts of all agents who intervene in a single
transaction, whether it be one, two or more, the total service
rendered might be described as follows: — (a) Soliciting the
risk; (b) inspecting the risk; (c) determining and supervis-
ing the covering required; (d) rx 'r rating fixed by
the company or the board of in .md negotiating
for n better rate; (e) signing .u c the interim re-
ceipt; (f) collecting the premium and remitting the same,
less his commission: (g) recording the issue and the expiry;
(h) inspecting the risk during its currency; (i) securing
renewal.
Misrnnreptinn Krgardlng .XRcnln
Of course there are some classes of risk in which some
of these functions need not be performeH. The insurance of
a dwelling house, for example, does n ■• ' 'y require
either the inspection of the risk or n- -otintions
in regard tn t'r r.Tfe of premium. In ties, how-
ever, t! ■ . fair presentation of t!it aK'cnt's duties
nnd r>~ My experience is that the general
public ). ... iption of the nature of those »er\-icos. the
average business man believes that the sum of an inguranrc
agent's business is the soliciting of the risk.
It is this conception which is responsible for the widely-
held opinion that the agent's scrs-ices might with advantage
be dispensed with and the assured allowed to deal direct '
with the company. They do not realize, and sometimes can- '
not be persuaded that the other duties may be the more im- •
portant part of the agent's services, and the part which re-
(luires the greater skill and the greater expenditure of time
and money to render.
It is most difficult to convince the public that if this
work is not done by the agent, the company must establish
a service to perform it or prejudice the interests of the
public or the assured by its omission. For this conception
the agents themselves are largely responsible. The opinion
itself is greatly fortified by the existence of certain un- '
fortunatfe conditions in the insurance agency business, to
which I shall refer a little later.
Comparison of Systems
The comparison of the British and the American systems
reveals, then, two alternative methods of conducting the in- ;
surancc business; in each case the system represents the
natural and free development of the business in its long
history. I am not able to pass upon the relative virtues of
the systems for Great Britain; and I am not an advocate, ■
therefore, for a reformation of their system, but I do not ,
hesitate to state that for Canada there can be no doubt that i
the agency principle of company representation is the more ;
efficient and economical. My reasons for this statement are ,
as follows: —
I regard the agency system in principle as a method of
piece-work payment for a necessary and valuable service, and
therefore fair in principle.
We have an immense country to serve. Its population
is widely scattered and in many districts is very sparse when
compared with the distribution of population in Great |
Britain. The number of branch offices which would require i
to be established to give reasonable service to the public on
the English system is far too great to furnish any possible
economy.
The establishment of branch offices and an efficient
service organization is a most expensive proceeding, and
for a new company entering a field without a ready-made
connection it is almost impracticable. The adoption of that .
system, therefore, would most unduly restrict competition in
the insurance business.
Service could not be extended to these small centres of
population which the casual agent now serves so efficiently
and economically. There would necessarily be a wasteful
duplication in the establishment of more than one branch
office on behalf of the several companies which require
representation where a single agent who might serve all
companies will meet the present requirements.
Finally, the very fact that the system is as it is sug-
gests to me that the agency system best serves the require-
ments of the business. It should be the policy of all super-
vision and regulation to avoid all forcing of business of any
kind into unnatural channels. The free and unimpeded pro-
gress and development of a business best serves the interests
of all.
Branch Offices Might be Increased
I cannot, however, leave that conclusion without one
qualifying suggestion. 1 believe that in large centres of
population, such as the cities of Toronto. Montreal and Win-
nipeg, branch offices might well be developed by these com-
panies whose business warrants it as a usefulregulator. if
you will, of the agency business. I confidently believe that
if a program of regulation, such as I shall suggest a little
Inter, were adopted, it would make the establishment of such
offices much easier.
It must not. however, be expected, or indeed permitted
to such branch offices to accept business free of any charge
for the service rcnrlered. It would be manifestly unfair to
permit the service rendered by the branch office! in lieu of
the service of the atrcnt. to become a charge upon the whole
premium income of the company, instead of upon the
particular part of that income collected by the branch office.
October 22, 1920
THE MONETARY TIMES
I am, therefoi'e, an ardent defender of the agency
system — not, please note, in the form in which it is ad-
ministered in Canada to-day — but in the form in which it
may be and will be administered when the requirements of
efficiency and economy bring it to its best development.
Some Weaknesses of Agency System
Let me now point out some of the inherent anomalies and
weaknesses of the present agency system: —
1. There is at present a great confusion in the relative
'■esponsibilities and duties of an insurance agent and an in-
■n ranee broker. Every agent wishes to be the sole and ex-
lUsive agent of his company. Every agent also wishes to
hold himself out as a broker representing the interests of
the assured and interested in securing for him the best pos-
sible treatment. This is particularly so in the case of the
non-resident company, represented by a general agent. The
general agent is authorized to represent and bind his com-
pany, but considers it his duty at all times to secure for the
assured the lowest possible rate of premium, and in any
dispute which arises between the company and the assured,
he expects the privilege of presenting the case for the
assured in its strongest possible light.
^Method of Remuneration
2. The very form of remuneration paid has added
to this confusion. To quote from a paper WTitten by the
Honorable John S. Patterson, Texas State Commissioner of
Insurance and Banking, speaking of agents' commissions,
he says: — "Most vital of all is the method adopted by the
company in compensating the agent. If you are faithful you
are penalized; if you are unfaithful you are rewarded; I
assert there is not one act you can do for the protection of
your company which does not diminish your compensation,
if you refuse to accept a hazardous risk, you get nothing;
if you seek to eliminate the moral hazard by reducing the in-
surance, you reduce your commission. If you aid your com-
pany in resisting a fraudulent claim, you lose your customer.
If you over-insure, you get your share of the profit. If you
refuse or cancel a hazardous risk, you lose the business and
the commission to your less scrupulous competitor. Under
these conditions, what chance has the faithful agent when in
competition with an unfaithful one?"
I think it is agreed that the very form of remuneration
paid has put a premium on inefficiency and been a tempta-
tion to prostitute the business.
3. The fact that the assured is not a party to the com-
mission bargain enables the competition of companies for
the services of an agent to force up the rate of commission
at the expense of the assured and without permitting the
assured an opportunity to protect himself.
4. The fact that business is largely controlled by the
agent through his personal connection rather than by the
company has, under the stress of competition, required the
surrender of the control of the policy of the company to the
agents themselves.
Abuses in Agency Practice
These peculiar features of the insurance agency system
have rendered it particularly open to abuse by unfaithful
agents and by the natural operation of unlimited competi-
tion. Let me proceed now with a statement of some of the
abuses of the agency system which are not necessarily in-
herent in the system but have become concomitants of it.
I must say in the beginning that the conditions I ani
going to describe exist only in certain localities. I must, of
course, limit mv statements to Ontario, whose conditions I
know at first-hand, and I will hear from you whether or
not vou find similar situations in your provinces.
In Ontario, outside the city of Toronto, conditions are
not unsatisfactory. The service rendered by the agents is
good, and the expense is not unreasonable. Being compara-
tively isolated, the company delegates to the agent consider-
able authority so that the service he renders is very real.
There is a fixed rate of commission payable by the tariff com-
panies by agreement on the various classes of risk. The
chief danger is revealed by the complaint of the local agent
that all the big business of his district is handled through some
Toronto or Montreal office. I am informed on reliable
authority that 40% or more of the business written in Tor-
onto is written on property situated outside of Toronto. The
public is vitally concerned in this circumstance, because,
the rates of agency commission being unlimited in Toronto,
the business which, if written by local agents, would have
cost only 15 or 20'"r . according to the tariff, may cost 20, 25
or 30';'r by passing through the hands of Toronto or Montreal
brokers. When you calculate the amount of that expense in
the aggregate you will find it a very considerable sum.
It is the free or open cities that bedevil the agency
system. Halifax, St. John, Toronto, Winnipeg, Vancouver
and Victoria are still free cities. Montreal, and I believe a
number of your western cities, are free cities for general or
special agents. I assume that the same reason is responsible
for the other cities being open, as in the case of Toronto,
namely, the absolute impossibility of securing any agree-
ment among the companies. Even in cases where agree-
ments have been made, a way out has been found by some
ingenious companies through the creation of underwriters'
agencies which are mere fictions for the evasion of trouble-
some obligations.
I know of a very recent example in which this insurgency
among the companies displayed itself. A very old English
company that had been in Toronto for about ten years em-
ployed an aggressive agent. He circularized every barrister
and solicitor in Toronto, asking them to send him all the
business they could control, and offering to pay them SO-Tc
commission. When he was remonstrated with his excuse
was that all the usual and legitimate channels for securing
business had been taken by older established agencies, and
he had to get business somehow.
How Costs Pile Up
You know of other methods by which commission costs
are pyramided. New companies are constantly seeking an
entrance to the Canadian business. They prospect the city
for a suitable man to act as general agent. If difficulty is
encountered in securing a connection with one of the large
firms at a reasonable rate they seek out the branch manager
of a well-established company. The transaction is too
familiar to you all to need description. The man who was
receiving 20 per cent, on an insurance connection of .'540,000
premium income now receives 25 or 27 Vb per cent, on the
same from the new company or his old company advances
his rate? to hold the agent. In either case the cost of in-
surance to the insuring public is increased and the service
rendered remains the same.
Consider another peculiar development of this situation.
Let us suppose that John Smith is a general agent for
three companies A.. B. and C, from whom ho is entitled to
a rate of commission of 25 per cent. He is also an ordinary
agent for three companies D., E.. F., from whom he is entitled
to receive 15 per cent. But George Brown next door is
general agent for D.. E., F. and receives 25 per cent, on
their business and ordinary agent for A., B.. C. John
Smith receives a line of insurance of $100,000 to place.
Naturally he places as much as possible of his lino with the
companies A., B. and C. from whom he gets the high rate
of commission. But they can only take $60,000. One w-ould
ordinarily expect him to place the balance with D., E.. F. at
15 per cent. But no; he calls up BrowTi and says, Have you
$40,000 of insurance for exchange? If it isn't immediately
available Brown promises to return it at as early a date as
possible, so the free exchange is made and the S40.000 is
placed with D.. E. and F. by Brown in.-^U-ad of Sm.tn and
Brown collected 25 per cent. In return Smith gets $10,000
of another line from Brown which he places with A., B. and
C and also gets his 25 per cent. By this ingenious arrange-
ment both Brown and Smith have profited to the extent of
THE MONETARY T I .M E S
Volume 65.
10 per cent, of the premium and the companies have paid
the commission at the maximum rate.
This is not an imaginary ease. It is the reg^iiar practice.
Hy this means all business reaches the companies at the maxi-
jiium rate of commission, and any special increase in rate of
<'umniission to one ajjent means an increase on the whole
ijusiness of the company, becauiie all their business immedi-
ately comes in through that door.
.■\s in the former instance in the linal result th6 public
pays.
Too .Many Agents in Business
Then there is a somewhat different circumstance which
is particularly acute in our local situation. In addition to
producing excessive rates of commission the system has at-
tracted too many agents. Thise two go hand in hand and I
am of opinion that the remedy of the excessive commissions
would speedily correct the other fault.
At present, however, the business is loaded with a great
weight of illegal and unearntHi commissions. In addition
to the general or special agent and the soliciting agent there
are many others who render no useful service for the com-
mission they receive. Some are merely feeders whose ser-
vice consists not in urging or soliciting insurance, not in
keeping records or inspecting and supervising risks and cov-
ering, but merely in directing business to a particular com-
pany that would otherwise have gone to another company
just' as good. Son-.e are merely beneficiaries of favor to
whom the payment of a commission is made a condition
of obtaining the business. Some are merely straw men set
up for the purpose of collecting an illegal and forbidden
commission.
Let me give you a few examples to show exactly the
kind of transaction I have in mind. A certain manufactur-
ing concern in Toronto employs a clerk whom they call
their insurance manager. He has charge of the placing of
the whole line of insurance on a very large plant. His em-
ployer pays him a salary of $,'J,000 per annum. He applied
for and obtained a certificate of authority as an insurance
agent. He noticed his broker that as an insurance agent
he would expect to receive the regular rate of commission.
His broker said, "Have you a license?" "Oh, yes, indeed —
an Ontario govcniment license." "Well, then," said the
broker, "I suppose we shall have to allow you the usual
rate." The broker knew very well that if he refused he
would lose the account and some less scrupulous competitor
would accept the proffered ti-rms. So the pseudo-agent col-
lected his commissions and returned them to his employer
who made a handsome saving on his insurance premium
account.
Now, Who paid that rebate? Not the company. They
would have had to pay the same rate of commission anyway,
not the agent, for to him half a loaf was better than lio
bread. It was the insuriny; public who do not get rebates
who p.-iiil that reb;'ti' in a resulting higher premium rate.
Kmployees .Secure CnmmiRMnmt
The secretary of a whole.iale house in Toronto has in
hi.s busy life had timn to nttrnd fn n fi>w <imnll lines of in-
furnncc ' ' ' ' il agents.
(^f coui Mcss and
wh.nf r. through
'' ' I .» Mr;. .- . 1 by way
<■' a license ' artmcnt;
^^' ,-. AS of this 8w„ ^.•illc of his
secretary or noi, 1 cannot .'ay.
There is a fru-t comp.iny in Ontnrln wlilcTi has ostab-
lishrd what pill,. (lit- to >. .in their
) 11-111, •-■= I rll.l. ;n,.M- 1 t ,, ,vas n
li'iia ti.lr A-'-nry /i.Mni: :i - .. but my
.•onohisiiMi «a. tlnit t!i tri-iiu--s h,i- .lojt ox-
i-lu'^lM'y til.' pi. .cm- c.f n-uranr.. f,.' wt.irh it
w.-is tni.itor a!- ' •' ' ■ . • ' ml
HLTIU. T ,1111 . pt
a ,oiiK..:^i..n !"■ for
party number our and that the Liuiiinal Cod., j.ru. ;.!;_■. a
pennlty for the receipt of ><ocrpt cormiissions. Yet thi« trust
company i.s prepared to deftnd its right to fire insurance
commissions.
It is a common practice for life insurance companies
in our province to take a license as an insurance agent on
behalf of an officer or clerk in the mortgage department and
collect insurance commiisions on insurance placed in con-
nection with its mortgage loans. Like everything else in
life insurance it is all for the benefit of the poor policy-
holders and their widows and orphans. What right a life
insurance company has in the fire insurance agency busi-
ness I never could understand. I never saw any such
authority in a charter of incorporation. It scarcely befits
the dignity of our life companies to grasp at this trifle.
.\nd then there is the solicitor. Well, I leave it to your
individual experience as to the value of his services as an
insurance agent. Of course most of the risks he brings in
are residences and perhaps, all told, it does not amount to
a gieat deal.
But all of these unnecee.-sary commissions add to the cost
of insurance to the public and are a factor in the fixing of
the prevailing insurance rates which all agree are exces-
sively high.
Ten Thousand Agents in Ontario
I can indicate the extent of the practice in Ontario by
telling you that last year more than ten thousand licenfes
were isiued to insurance agents in the province and I have
good reason to believe that more than 15 per cent, of this
number were not bona fide insurance men holding themselves
out in good faith as insurance agents.
The Hon. Mr. Justice Masten in his report as Insur-
ance Commissioner, printed in 1919, records the following
conclusion: "The result is that owing to the competition
between the companies, and the control which agents ha 76
over the business, the expense of insurance is increased to
the public, without any chance of its being lowered by com-
petition or other ordinary mefns, and the public, who have
to pay in the end, are unable to lower the expense in any
way unless by legislation. The companies themselves are
powerless to completely deal with the difficulty."
Mr. Justice Masten records that during the year 1917,
out of $100 of premium collected by the agent for insurance
companies, approximately §33 was absorbed in expenses.
Of this $33, $18.60 was paid in agents' commission?, but he
adds that he is of opinion that at the present time the ex-
pense is higher than 33 per cent, and in the city of Toronto
the evidence indicates that it may run as high as 45 per cent.
Provinces Should Regulate
It is on the basis of the foregoing that I formed my
thesis that it is the duty of the provincial insurance depart-
ment in the interests of the public to assume the duty and
responsibility of regulation of insurance agents and insur-
ance commissitntrs; not to turn the conduct of the busi-
nes." info unnatural channel.';, but to permit the agency sys-
tem to function normally and oiriciintly; not for the pro-
tection of a privileged and closed class of licensed agents, but
for the -reneral advantage of the insuring public by way of
lower insurance costs; not for the purpose of imposing a
tax upon the insurance business, but for the removal of exist-
ing evils ilready mentioned and the inprovement of the ser-
vice rendered by the insurance agent.
But in most of the provinces we have already a regula-
tion of insurance agents by licensing system. The question
IS, Does It regulate? I will answer for Ontario: It does not.
In Ontario the practice has been, as stated in Judge Masten's
report, to issue to every applicant on payment of a $3 fea
a Rtner.il license constituting the recipient a general agent
for nil classes of insurance. No examination scrutiny or
inquiry of or regarding the applicant's fitness bar* been
had heretofore. All that was required was that the ap-
plicant «hould represent a licensed company, should be a
resident of Ontario an i -hould pav the fee "of S3. I have
after careful investisat-nn concluded that the existing
license system has been a bnne rather than a blessing to the
(C>vtl>iuc(t 0)1 pngr IJ,)
October 22, 1920
THE M 0 N E T A l; \' TIMES
Trade Review and Insurance Chronicle
of Canada
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Telephone: Main 7404, Branch Exchange connecting all departments.
Cable Address: "Montimes. Toronto."
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PKI.NCIPAL CONTE.NTS
EDITORIAL:
Bank Capital in Relation to Deposits
Government Assistance in Foreign Traua
Selectin.'; a Paper Security
Some Suf.'gestions on Demurrage
Special Articles:
Regulations of Agents, Brokers and -Adjusters .... 6
Union of British Columbia Municipalities 1>
Exchan,;? Within the Empire 20
Tariff Commission Now in Protectionist Centres . . 2G
Effect of Incorporation on Contract 30
Monthly Departments :
Government Currency ...
August Building Permits
Trade of Canada for September
22
22
21
Weekly Departments:
News of Industrial Development in Canada 32
News of Municipal Finance 36
Government and Municipal Bond Market 38
Corporation Securities Market 42
The Stock Markets 44
Corporation Finance . . 46
Recent Fires 48
BA.NK CAPITAL IN RELATION TO UEPOSIT.S
GREAT expansion in banking business during the past few-
years has not been accompanied by a coiTesponding
increase in the paid-up capital or in the capital funds, which
include reserves and undivided profits as well. These funds
are the margin of security provided by the shareholders, and
are in Canada supplemented by the double liability provision.
Banking business is, therefore, now being conducted on a
relatively smaller margin of shareholders' assets, a greater
volume of business being swung by each dollar of capital
funds. In .\ugust, 1914, the paid-up capital and surplus of
the Canadian banks totalled about $226,000,000, and the de-
posits were $1,094,000,000, the ratio of the former to the
latter being 20.S per cent. The bank statement for August
last shows the combined capital and surplus to be %2r>r,,-
705,000, and the deposits were $2,2.58,000,000, a ratio of only
n.4 per cent. These deposits do not include the balances
owing to the Dominion and provincial governments. When
these are considered as deposits the ratio is reduced to 10. o
per cent.
The provision of an ample margin of security in the
form of capital funds is essential to sound banking. Se'-eral
of the banks have during the past two years recognized the
necessity for catching up to the changed conditions by issuing
new stock. .As the above figures show, however, there is
still a need for more capital in the bankir.g business, an 1
the financial returns are such as to make new issues attrac-
tive and easily marketed. It must be kept in mind, however,
that the present level of deposits will probably not be main-
tained, and to attempt to bring the ratio of capital funds
to deposits up to the old figure is not necessaiT-
The decline in this ratio is, of course, not peculiar to
Canada, but has been experienced in all countries, the great
increase in the volume of money and credits in circulation
swelling bank deposits to inflated levels. A study of this
question in the United States by E. W. Kemmcrer, professor
of economics and finance in Princeton University, and pub-
lished by the Bankers' Statistics Corporation, New York,
shows that the ratio of capital funds to hank deposits in-
creased during lilt- lll^t tell years of the national banking
system in that country until it reached its maximum of 106
per cent, in 1874. From 1877 to 1881 it dropped from 101
per cent, to 61 per cent. From 1881 to 1895 the ratio fluc-
tuated, with a slight downward tendency, reaching 56 per
cent, in the latter year. Then came another pronounced drop
in the ratio, this time from 58 per cent, in 1896 to 36 per
cent, in 1899. In 191,"? it had reached 34 per cent., and the
war practically cut the figure in half, the ratio in November,
1919, being 18 per cent.
Just how far the downward movement of prices and the
contraction of business now being experienced, coupled with
a deflation of money and credit, will reduce bank deposits
cannot now be estimated. It is certainly not expected that
they will come down to the level of 1914, however, .and should
that extraordinary phtnomenon take place, the fact still re-
mains that Canada is a rapidly-growing country, and the
increase in population is bound to increase the volume of
banking business frrin year to year. The security market
is not at the present time in a favorable condition for new
issues, but just as soon as interest rates relax there is ample
grounds for the issue of new bank stock.
(iOVKRN.MKNT ASSLSTANCE IN FOREIGN TRADE
C.ANADIAN government policy in extending foreign trade
has been marked by indecision. In establishing too
many organizations the government has gone too far, while
in the provision of effective help they have fallen short.
The War Trade Board at Ottawa, the Canadian Trade Mission
in London and the Canadian Trade Commission in Washing-
ton are three examples of the creation of bodies to do work
which could better be carried on by the exi.sting organization
of the Department of Trade and Commerce. Some real
assistance to prospective exporters can be given by the state.
On the other hand, there must be no building up of a bureau-
cratic organization for the direction and control of com-
merce. Germany'.s organization of this kind produced re-
sults. Similar results may be obtained by other countries
if they pursue the salne methods, and there is a danger that
THE MONETARY TIMES
Volume 65.
Great Britain, after deffcating Germany in the field, may
replace the German system by a British one.
In a report on "Great Britain's Plans to Extend P'oreipn
Trade," P. Harvey Middleton, assistant manager of the For-
eign Trade Bureau of the Guaranty Trust Co., describe.s the
network of association.s, combinations, monopolies, banks
and governmental departments so ingeniously constructed
for the capture of trade in every part of the world, civilized
and savage. The British business man is to-day determined
to recapture the trade won from him in pre-war days by the
CJerman.';. Great Britain to-day has enormous resources to
draw upon. Mesopotamia is certain to become one of the
great granaries of the world as a result of the irrigation
system planned by British interests. The absorption of Ger-
man East Africa will enable the British railroad builder to
realize his dream of a line from the Cape to Cairo. German
Southwest Africa and other German colonies will yield rich
returns to the British miner and agriculturist. The new
treaty with Persia — freijuently described as the greatest
diplomatic stroke since the acquisition of the Suez Canal
shares by Disraeli — will give the British government a con-
troling interest in the Persian oilfields which may well be
one of the big factors in paying off the British war debt.
.■V typical example of the method by which the British
plan to recapture their overseas trade is the organization
known as the British Trade Corporation, incorporated in
liilT. with an authorized capital of ilO.OOO.OOO, of which
i'2,000,0()0 is fully paid up. One of its subsidiaries is the
Trade Indemnity Co., which insures foreign credits. Since
its incorporation this company has facilitated the export of
goods of many milions of pounds value. Although it was
anticipated that it would be beneficial chiefly to the small
merchant, its policies have been freely availed of by some of
the largest British manufacturers. In conjunction with the
London and Westminster, Lloyd's and the National Provincial
Banks, the British Trade Corporation formed the South
Russia Banking Agency. The British Trade Corporation
also has an investment in the Portuguese Trade Corporation,
which was specially started to compete with German inter-
ests. Another subsidiary is the .-Vnglo-Brazilian Commercial
and Agency Co., which has opened branch houses in Brazil,
particularly at places where German influence in the past
was strongest. Although they had experienced difficulty in
getting delivery of goods ordered by manufacturers, .satis-
factory progress ia now being made.
SKI.Kl IIN(. \ I'AI'KK Sl.t IKUV
OKI)KK.'> for newsprint have been placed in (.ierniatiy by
United States paper men. While, as the Wall Strd
Jourtuil points out, it is scarcely possible for Germany to
become n large exporter of this product, yet it is well to
remember that the immense exports of newsprint made by
Cana<la to the LInitcd Slates have been built up under war
conditions. Other countries^ especially Norway, are in a
position to export wood proHu'-t''. nnd, with ocean transport
made safe and shipping rav lown, these countries
must again be met in com his continent. In the
possession of unexcelled f<M rs, and in proximity
to the largest markets, Canada has an undoubted advantage,
which will always give the securities of a company with
ample resources, suitably placed, a. high value. There is a
danger, however, lest future earning power be measured by
the exceptional ronlitiniT; r.f the pn^t few yrnrr> The bril-
liant reconls '•' 'Id-cstab-
lished nn<l wi- ~ are, as
might well ha' iig num-
ber of new pronioluins. The pruniuters of «on>e of these
companies, lacking both n pmpcr appreciation of the essen-
tial of a sound pulp .' ■ ' ' "' ' -per sense
of their responsibili' r public
participation the b<>r "ssessing
few. if any, of the cKir.ciits f-iiuisitc to sustain''! success.
As an inducement to part with their money, investors are
reminded of the large profits realized by early buyers of the
securities of some of the now highly successful Canadian
pulp and paper companies; but little or nothing is said
about the factors which were necessary to produce success,
and which, in not a few cases, are conspicuously lacking.
In Investment Items for October the Royal Securities
Corporation, which has financed several pulp and paper en-
terprises in Canada, specifies four main factors essential
to success in this industry. The first is an adequate and
accessible pulpwood supply. The second is the combination
in close proximity with it of an easily developed water power
of a sufficient capacity to operate the mill construction neces-
sary for the conversion of the wood. It is well for the in-
vestor to remember that timber areas which are possessed
of this combination, and which at the same time have easy
access to the markets for their products, are becoming ex-
tremely scarce and of corresponding high value. In the third
place, there must be constructed efficient mills with up-to-
date equipment, involving in most cases the eventual invest-
ment of many millions of dollars. The fourth, and not the
least, essential is the technical staff of experts necessary for
the efficient prosecution of the numerous and high scientific
processes involved in pulp and paper production. To be suc-
cessful, the man-ufacturing organization in its entirety must
be operated by a competent staff of experts, which can de-
velop efficiency only through years of experience. The organi-
zation of such a staff for an entirely new company is about
as difficult as the securing of a wood supply sufficient both
in quality and quantity.
SOME SUGGESTIONS ON DEMURRAGE
/^VFJR 71,000 days of demurrage were charged on freight
^-^ cars in Canada during the month of June this year.
This means 71.000 car-days wasted over and above .the
usual three days free time allowance for loading, unloading
and clearing the customs. The sum paid by shippers for this
demurrage was 918(i,7i»l — or say $2,000,000 a year! There
are in Canada about 200,000 freight cars available for 30
days per month, or, in railway parlance, 6,000,000 car-days.
Approximately 71,000 of these are accounted for by the
above-mentioned delays, or say 1.1 ',v of the month's freight
carrying capacity of the Canadian railways. While these
delays do not occur simultaneously, the effect in the end is
as expensive as would be the total cessation of freight load-
ing in Canada for a period of. say, four days each year.
Conversely, if such delays did not occur (and most of them
need not occur), the railways would be in a position to move
theoretically about l,:t00,000 additional tons during the year.
In a bulletin issued a few days ago the Railway Associa-
tion recommends shippers to watch their demurrage bills, ses
that they are trimmed to the lowest point, and, if possible,
release cars even a whole day before the margin of free time
has expired. It is suggested that the chief executive's
shrewdest assistant, not the head shipper, should scrutinize
the demurrage bills regularly.
SaskaU'hewan is to sell its farm loan debentures on the
^ ictory loan plan. It might be just as well if the Victory
loan parallel were not carried too far, however.
J *: * » O
The Universal Securities Corporation, Ltd.. is a new
company now doimr bu.-iness in Canada. No, this is not
one of the American int<>rnational corporations organized
to promote foreign business; its head office is in Outlook,
Sask.. and it has n branch at Glenside in the same province.
A conference of nunilcrs of the Chamber of Commerce
.ind of the Independent L.nbor party in Hamilton. Ont. urged
that houses costing from $2..V.0 to S3.000 be erected. Neither
of these bodies volunt.orrd to undertake the work— that is
left to the ingenuity of the city council.
October 22, 1920
THE MONETARY TIMES
DEPARTMENT OF CUSTOMS AND INLAND
REVENUE
EXCISE TAX LICENSES
Retailers, Jewellers, Manufacturers and
Sales Tax Licenses as required under the
Amendment to the Special War Revenue Act,
1915, are ready for issue, and application forms
may be had from the undersigned.
Firms not in possession of Licenses on the
1 3th November, 1920, vrill be subject to penalty
as provided in the Act.
PENALTY
For neglect or refusal to take out a license shall
be a sum not exceeding
ONE THOUSAND DOLLARS
G. E. DUNBAR,
Collector of Inland Revenue at Toronto
EXPORT TRADE
The extensive foreign con-
nections of this Bank enable
us to place at the disposal
of our customers the best
existing world-wide banking
facilities.
Our local Manager is in a
position to give you both
assistance and advice.
IMPERIAL BANK
OF CANADA
212 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Edinburgh, and Branches. Ireland — Bank of
Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
Fifty-five Years of
Banking Service
Time has demonstrated the sound-
ness of the poHcies on which the
first Board of Directors founded
this Bank fifty-five years ago —
October, 1865 — and which have
continued throughout its existence.
Union Bank of Canada
THE
Bank of Nova Scotia
EstabI
shed
1832
Capital
.
.
$9,700,000
Reserve
$18,000,000
Total Assets
$230,000,000
GENERAL OFFICE : TORONTO, ONT.
H. A. Richardson, General Manager
Branches at all the principal centres
throughout Canada and in Newfound-
land. Cuba, Porto Rico, Dominican
Republic, Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
55. OLD BROAD STREET. E.C.2
THE M 0 N E T A i: Y TIMES
V'olume 65.
PERSONAL NOTES
R. M. PE'RSON has been appointed deputy provincial
uoasurer of Manitoba, to succeed the late W. J. Ptolemy.
W. P. Morse, who has been with the Globe Printing
Company, Toronto, since June, 1881, and for some time ;)ast
in the capncity of treasurer, has resigned.
T. H. PuRDOM. K.C., a prominent barrister, of London,
Ont., and president of the Northern Life Assurance Com-
pany, has returned from Winnipeg, where he was recently
in conference with officers of the company.
E. V. Babthe has been appointed manaper of the Tor-
onto branch of the Prudential Trust Company, of Montreal.
Mr. Barthe has been with the Bank of Toronto for the past
fourteen years, latterly as inspector.
H. F. GfRNEV, recently appointed assistant British trade
commissioner for Ont-irio, has arrived from Britiiin and has
taken charj;:e of the office in Toronto in the absence ot F. W.
Field, who hi:s left on an offiri il v's!t to the United Kingdom.
Col. a. E. Goodeeham, who for several years has been
a menibir of the directorate of the Confederation Life As-
sociation. Toronto,
has been appointed
vice-president o f
the company. Col
Gooderham is viv-e-
p resident and man-
airing director of
Gooderham and
Worts. di.stillers,
Toronto. He is
also associated
with the foUowinc
institutions: Dir-
ector. Bank of Tor-
onto; director.
Canada Pernunicnt
Mcrt^raKe Corpora-
tion; piesident, Do-
M'inion of Canada
(iuarantee and Ac-
i-iilent Company;
director, Clifton
Hotel Co., Ltd.;
director. General
nistillinir Com-
pany, Limited. B.
B. Cronyn, vice-
president and man-
nvrinu' dnrctoi- ol" W. K, Hrwlv * ompany, Limited, whole-
jale dry Kood.*--. Toronto, has been elected to the directorate
of the Confeder.'il'on Life. .Mr. Cronyn i» j'lso a director
of the Union B: nk of Canada.
D. E. Cbi'TCHLOW. of the Montreal stock brokerntre
hou.'e of C. Mcr^'ililh and Company, has been elected a nieni-
hi r of the Moiitn 1 Stock Exchange. Mr. Crutrlilow succeeds
Douttliis S. McM.Miter who is now tloor representative of
O'Brien and Williams.
H. S. MrRRAY, who for the past cijfht years has beeo
inspector of Xorlhern Sa.«kat<hewan branches of the Royal
Bank of Canada, with office in the western supervisor's di--
partment .it Winnipeir. ha.s been transferred to the New
York branch of that institution, where he will assume an
important position in the supervisor's dep-trtnunt.
Charles Ri'BV, irencral manauer of the Mutual Life
.Vssurance Company of Canada, who has just retifrnwl from
a tour of the western provinces and a careful survey of
business conditions on behalf of his company, reports gen-
eral evidences of both thrift and prosperity. Exlravaeancc
l,.Ts he^n checked, and splendid crops are seen in nearly
I very section of the prairie province*.
uoii (,1 ui^uition that
eat on the Toronto
W. P. KiBKP.ATRiCK, who was recently appointed manager'
of tlie Edmonton, Alta., branch of the Canadian Bank of |
Commerce, has resigned his position to go into business on
his own account a; general financial agent at Saskatoon,
Sask. Mr. Kirkpatrick was manager of the Canadian Bank
of Comnterce for fourteen years previous to last fall, when I
he went to Havana to open a branch of the bank there. '
Alexander G. JIacKenzie who has been elected to repre- ,
sent W. A. MacKenzie and Company on the Toronto Stock
Exchange, has
been connected
with that firm for
the past ten years.
Mr. MacKenzie
was born at Petro-
lia, Ontario, about
3.5 years ago and
has spent most of
his business career
with the present
firm. Mr. Mac-
Kenzie became a
partner some six
year? ago and is
considered one of
the most capable
of the younger
men in financial
circles. The firm
have developed an
extsnsive business
in high class in-
vestment securi-
ties, both in Cana-
ada and the United
States, their business liavin;; uiuwn lu
it was considered necessary to have a
Stock Exchange in order to further provide efficient service
for their many clients.
K. A. Darker, who for eighteen years has been branch ,
nrnager of the Canada Life Assurance Company for '.
Southern Alberta, witn office at Calgary, has decided to .■
retire from that position. H. D. Ferguson, who has been
for fifteen years a resident of Calgary, and who for the
pn=t three years has been inspector of the company for
Southern AJberta, will succeed Mr. Darker. Mr. Darker
will remain in the city as consulting manager.
W. .1. Cli'fk. of Toronto, has been appointed a director i
of the Kin'x Edward Construction Company. Mr. Cluff is ,
closely as:V)ciated wish the United Hotels Company of
America and of the new Mount Royal Hotel Company. He
is also presidei.t of the Gait Brass Company, a director
of the Port Hope Sanitary Company, and a member of the
firm of Cluff Bros., Toronto, large handlers of plumbers'
tupplie?,
M. J. A. M. De la Giulais, a director of the Trustee
Comp.iny of Winnipeg, Limited, has just returned from a
trip to Europe, where he has been touring for the past few
months. Mr. De la Giglais, in an interview with The Mone-
tai-ji Tiinrs. stated that things were far better than he ex-
pecte'd. He does not think that the crop in western Europe,
especially England, is as bi>r as it is represented to be.
There is bound to be a large loss on account of the wet
weather during the harvest. "There is absolutely no doubt,"
he continued, "as far as Belgium and France are concerned,
the feeling is better than it has been for the last eighteen
months. The stopping of the Russian armies in Poland had
tin immediate efl'tct on the stock exchange business."
OBITUARY.
C. E. Warwick, secretary-treasurer of the firm of War-
wick Bros, and Rutter. wholesale stationers. Toronto, died
nt his home at 42S Walmer Road, this week, after an ill-
ness of about two years.
October 22, 1920
THE MONETARY TIMES
The Sterling Bank
OF CANADA
The full story of Sterling Bank Service cannot be
told in one advertisement. We will be glad to meet
any man who is interested in his office or ours.
. Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorcorated by Koyal Charter and Act of Parliament. EsTABl.rsHED 1825
Capital Subscribed /5. 000, 000 S25.OO0.O00
Paid up 1.100,000 5.500.000
Uncalled 3.900.000 19.500.000
Reserve Fund 1 ,000.000 5,000,000
Head Office - EDINBURGH
VVILLIA.M CARNhOIE. General .Manager. GK0KG1-: A. HUNTER. Sec.
LONDON OFFICE— 37 NICHOLAS LANE. LOMBARD ST., E.C.<
T- C. RIDDELL. DUGALD S.MITH.
.Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, are
retired on terms which will be furnished on application.
Commouwcaltb Barf? of tliietralia
Ail classes of GENERAL AND SAVINGS BANK husin
acted in all the principal cities and towns of Australii
London.
,|.-\S KKU-.
Deputy Go
cry de
Canad
DKNISON MII.I.KR,
LONDON JOINT CITY & MIDLAND
BANK LIMITED
The Right Hon. R. IrlcKENNA
[*)
Subscribed Capita.1
. Paid-up Capital
' R»»«rvtt Fund •
Daposlta i./-^» J»ii. f»»»
iAD OFnCE, 5. fHRtADNEEDlX STMJTT. LONDON. tC I.
OVtSUAS IU.<IC1I
. £38,096,363
10,640,112
I 0,S40, 1 1 2
- 367,667,322
THE
Exchange Rate
IV.— What Controls It?
IX No. II. of this series, we explained
why the foreign dollar is a commodity
and not money, and in No. III. the in-
convenience of settling international debts
in gold, which led to the system of Bills of
Exchange described below.
Sales of exported goods are usually
settled for by the vendor drawing a draft
on the purchaser for the sum due, which
draft the vendor deposits in his bank.
His banker forwards the draft (in such
a transa<?tion called a Bill of Exchange) to
the nearest money market, probably, in
the case of an American, to New York,
Chicago or San Francisco, and in the case
of a Canadian to Toronto or Montreal. To
do this it is not necessary for him to insure
his letter or even to register it, for if the
bill were lost, he could get a duplicate.
For instance, if the vendor lives in the
United States, he will offer the Bill of Ex-
change for sale, say, in New York, as Can-
adian funds, because the draft is payable
in Canada.
There may be several persons in the
market who want to buy Canadian money
to pay for goods bought from us. If there
are many such persons and only a few
drafts on Canada are being offered, the
bidding is keen and the price obtainable
for the draft goes up.
If, however, there are few bidders and
many drafts, the holders of the drafts may
be willing to lower the price they ask in
order to obtain their money at once.
This brings us to the influence of the
balance of trade on the rate of exchange.
We will deal with this aspect of the sub-
ject next week in No. V. of the series.
THE CANADIAN BANK
OF COMMERCE
Capital Paid Up - $15,000,000.
Reserve Fund - $15,000,000.
Thii jericj, tvhcn comtUlcil. will he puh-
litheJ in pomphlcl form. If you rfoirc o
copv. vrile lo our HcaJ Oilier. Tcrtnin
THE MONETARY TIMES
Volume 65.
KKGLLATION OF AfiKNTS. BKOKEKS AM) ADJl STCMiS
(Continiud from page 8)
insurance business because it has provided a warrant under
which an unqualified and improper person might demand and
collect, from the company and the public an unearned toll
on the insurance business.
Suggested Methods
The means of regulation of the insurance agency system
tor the purposes we have in mind are two: First, the
control of the rates of agents' commissions; second, limit-
ing the class of persons who may act as insurance agents.
These two are, as I have already suggested, closely re-
lated. 1 believe that the two go hand in hand. I cannot
devise a program for either which does not require the other
as its complement.
The first is, however, the more difficult. I must say
that the definite suggestions I have to make are not the
product of my own imagination. They embody the conclu-
sions reached after earnest study and the discussion of the
matter with a number of well-informed insurance men.
Neither should you attempt to fix responsibility for the sug-
gestions on any person in particular, for the ideas are a
synthesis of the suggestions of several.
The regulation of insurance agents' commissions is not
new. Some 15 years ago New York state undertook to limit
by statute the amount of life insurance commissions, and that
regulation i.s effective to this date. It was the result of the
recommendations of the State Committee of Investigation
of the life insurance companies. If I properly understand
the history of that time, the statutory limitation of expense
was the reni.-dy — or one of the remedies — adopted to curb a
condition of wild competition for business, a condition which
had many points of similarity with conditions in the fire
insurance business of to-day. You will find the provision
to which I refer in the famous section 97 of the New York
law under a general heading of "Limitation of Expenses."
The provision has exercisei a very salutory influence on the
life insurance agency business. We need not, therefore, hold
up our hands in holy hcrror at the very idea of governmental
regulation of commissions.
(■(imniission of Iniiniry
Now let me put my suggestions very briefly: —
Provincial legislation should be enacted to provide^ —
(1) For the appointment of a commission to enquire
into and di-tcrmine the proper an<l reasonable maximum
rates of commission to be allowed to agents on fire insur-
ance written. The rates fixed would be graded according
to the class of business written. If the commission thought
it wise and found it practicable they might also be differ-
entiated on n scale proportional to the total premium paid
by the a8sure<l on his whole covering, the a»sure<l to warrant
the amount of his covering.
(2) The rnle.i so fixed should be effective for a cer-
tain minimum period to be fixed by the commission, such
minimum not to exceed five years.
(,T) The rates fixed should apply to all companies do-
ing business in the province and evenly over all sections of
the province .
(4) The rate fixed should be the same for general
special or local agent.
(5) Agents should In* paid cither by salnrj- or com-
mission. Thi> payment of salary to a comminsion agent to be
prohibited. All salaries should be required to be definitely
fixed by a binding agi-cement, the amount to be determined
in advance.
A variation of this last provision has been suggested.
I do not favor it, but I add it for consideration. If n non-
resident company requires the swrvires of a supervisor of
agents in th- province thty might t'e permitted to p.Tv tci one
man only who might be a commission agent a salary for
actual bona fide services rendered and which should be fair
and reasonable in the circumstances. I do not favor this
suggestion because it is unnecessary and might open the
door to evasion. Any company would of course be at liberty
to employ as many purely salaried supervisors as it re-
quired, and a salary seems the proper form of remuneration
for a supervisor.
On the second subject I propose a control and limiting
of the persons who may act as insurance agents by an im-
proved licensing system to eliminate the illegal and unearned
commissions that are at present a charge upon the business.
It is repeatedly urged that if the right to collect a
commission is refused to many persons who now receive it i
the result will be merely to concentrate in the hands of a ;
smaller and privileged class the earnings that are now dis-
tributed over a larger field. I do not think this is sound. ,
There are two alternative channels into which these
prohibited commissions would turn under such regulations
as I propose — either to the companies directly or to the earn-
ings of established agencies. If the first of these is the re-
sult I have no doubt that there will be a quick readjustment
of the premium rate which will translate the benefit to the
insuring public under the pressure of competition among the
companies' tariff and non-tariff. If the second is the result
and the earnings of the licensed agents are substantially in-
creased, I am sure that is a factor which the proposed com-
mission would take cognizance of, and the advantage would '
be secured to the public in reduced rates of commission. In ;
either case, therefore, the advantage will be reflected in i
cheaper insurance rates to the public.
.More I'ower for .Superintendents
Some further legislation would be necessary to ■
strengthen the hands of the administering officers of the
present licensing system. But in general I believe that the |
chief requirement is a stricter administration of the authority I
of the department in the matter of the issue of licenses to
insurance agents, and the judicious exercise of a wide dis-
cretion in that connection.
Superintendents must, for the present at least, under-
take the responsibility of saying who should and who should
not be in the insurance agents' business. The decision should
be made on this test: Is the applicant a bona fide insurance '
agent, holding himself out as such, who will render in ar. ■'
efficient and economical manner a real and valuable service
to tlie insuring public? I do not suggest that it should be
made difficult for any person to enter the insurance business
who has an honest intention of rendering sen-ice in exchange
for his earnings. Quite the contrary should be the case.
Competition should be invited and welcomed but the hangers-
on, the grafters and the rebaters must in the public interest
be eliminated from the business.
To make this program effective I suggest the following
means: —
First — the adoption of a form of application and in-
vestigation of the circumstances of every applicant for a
license which will enable an intelligent judgment to be
formed.
Second — careful scrutiny of this information and re-
fusal of licenses to improper persons.
Third— the securing of lists of agents from all com-
panies and agencies and the occasional checking of com-
mission records of the companies and agencies to ensure
compliance with the law.
Fourth— the careful investigation of complaints of
illegal practice.
Fifth— the enforcement of penalties prescribed by law.
Reforms in Ontario
The Ontario department has alre;idy made an important
move along these lines. First, we obtained from the com-
panies a complete list of their agents in the province. We
discovered about 2,.^00 agents nominally authorized who had
no license. These arc being rapidly brought into the fold.
Then we revised our form of application for certificate
in co-operat=on with the companies and the agents, and I
have considerable plensure in submitting to vou samples
October 22, 1920
THE MONETARY TIMES
16
THE-
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
hhai5 okkicb. \vey1!ur.\. saskatchewan
Branches in Saskatchewan at
Weyburn, Yellow Grass, McTaggart, Halbrite, Midalt,
Griffin, Colgate. Panguian, Radville, Assiniboia. Benson,
Verwood, Readlyn, Tribune, Expanse, Mossbank, Vantage,
Goodwater, Darmody. Stoughlon, Osage, Creelman antl
Lewvau.
A GENERAL BANKING BUSINESS TRANSACTEH
H. O. POWELL. General MnnaRcr
-HomeBankofCanadm
COLLECT THROUGH YOUR BANK
Somclimcs you may have collections to
make in a nearby city or town, or elsewhere
in Ccinada.or in the United States. We
have the facilities both at home and abroad
for giving an unusually prompt service in
making collections for our customers.
Branches and Connections Throughout Canadi
Head Office and Eleven Branches in Toronto s
LLOYDS BANK LIMITED,
HEAD OFFICE:
71, LOMBARD ST., LONDON, E.G. 3.
CAPITAL SUBSCRIBED
CAPITAL PAID UP
RESERVE FUND
DEPOSITS, &c.
ADVANCES, &c.
(v.'i- iri.i
$353,390,900
70,679,380
49,886,410
1,621,541,195
821,977,505
THIS BANK HAS ABOUT 1,500 OFFICES IN ENGLAND & WALES.
Colonial and Foreign Department : 17, CORNHILL, LONDON. E.C. 3. London Agency of the IMPERIAL BANK OF CANADA.
The Agency of Foreign and Colonial Banks is undertaken.
AfKliated Banks: THE NATIONAL BANK OF SCOTLAND LTD. THE LONDON & RIVER PLATE BANK LTD.
Auxiliary: LLOYDS AND NATIONAL PROVINCIAL FOREIGN BANK LIMITED.
TH€ MCRCHANTS BANK
Head Office : Montreal. OF CANADA Established 1 864.
Capital Paid-up, $8,400,000 Rc>er%e Fund and Undivided Profits, $8,660,774
Total Deposits (3UI July, 1920) - Over $163,000,000
Total Assets (31st July, 1920) - Over $200,000,000
Board of Directors :
SIR H. MONTAGU ALLAN Vice-President
A. J DAWES
Thomas Long
Sir v. GrrObk-Lewis, Bakt.
Hon. C. C. BAtLANTYNE
F. Howard Wilson
Farouhar Roblktson
Geo. L. Cains
Alfred B. Evans
Thomas Ahearn
Lt.-Col. J. R. MOODIK
Hon. Lorne C. Webster
E. W. Knkeland
( IciKlM.-i \t Mrr,HK.:oi(
General Manager • D. C. Macarow
Supt. of Branches and Chief Inspector : T, E. Merkett
General Supervisor - - - W. A. Meldru.m
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
greasiveness, promptness and sound advice.
39S Branches in Canada, utendinf; from the Atkotic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookall, Agenli
London, England, Office, 53 Cornhill : J. B.Donnelly, D.S.O.. Manager.
Bankers in Great Britain : The London Joint City & Midland Bank, Limited, The Royal Bank of Scotland
THE MONETARY TIMES
of the form now in use. We are findinK them very satisfac-
tory and effective in disclosing tlie real bona fides of the ap-
plicant. I will also show you some of the other forms we
use in the same connection.
Suggested Powers for Control
Some letjislation would, ae I have said, be necessary
in every province to reinforce and support the program 1
have in mind. "1 have undertaken to draft some proposals
which I think might serve the purpose and I hope to have
the opportunity of discussing them with the superintendents.
I do not, however, think it prudent to make them the sub-
ject in detail of this discussion, but I will mention their
general content: —
(1) The vesting in the superintendent of wide dis-
cretionary powers, subject always to an appeal of a judge
in court.
(2) The prohibition of payment of commission to un-
licensed persons.
(3) The division of the licenses into classes which will
distinguish life insurance from other classes; a fire and
casualty cla.?s to include all classes but life and a casualty
class to include all classe.s but life and fire.
(4) The imposition of a hi;her fee for a fire and
casualty license.
(5) The extention of the grounds upon which an agent's
license may be revoked or cancelled.
(6) The limitin- of a corporation or partnership
license to duly qualified persons named in the licence.
I have left myself very little time for comment on the
subjtcts of brok'.'rs and adjuster.-. I shall try to indicate
the line of treatment of these subjects very briefly.
I have already referred to the confusion in responsibility
and duty between the agent and the broker. This is due to
the fact that our licensing system has failed to distinguish
them and our sUitutes have required the broker to use an
agent of some insurance company. 1 think the situation
could be greatly clarified by distinguishing the two classes
and holding the agent strictly accountiible to his company
and the company respon.--ible for the acts of its agent within
the limits of his authority. The company could then deal
with the broker as a broker on behalf of the assured, and
some embar.issing anomalies could be removed. Although a
different form of certificat*' or license would issue, the gen-
eral legislation, regulations and fees for the two classes would
he veVy similar. This i-s provided for in the provisions I
have drnfte 1.
Insurance adjusters should be licensed in a manner
similar to agents and brokers. There is a good deal of
abuse of insurance adjusting in Ontario. Some points which
need to be provided for are these: —
1. An insurance agent should be prohibited from ac-
cepting a fee from the assured for settlement of a loss in
which his own company i< an interested party.
2. The payment of insurance adjusters by commission
on the amount of the settlement obtained should be pro-
hibited.
.3. The occasional adjuster who assists the assured in
rural districts or the smaller towns and who nets in perhaps
only an occasional small loss should be exempted from the
licensing requirement.
I auk your careful consideration of these sUsRC8',ions.
They are not put forward like dummies for n class in
bayonet instruction. They .ire soberly ailvancod as ■« pos-
sible remedy for present evils of tlic insurance agrncy sys-
tem, having chiefly in mind the socurinir of cheaper fire in-
surance ratr's to the whole invurinv piihlir. I nm anxious
fenly criticised.
istniclivc. look-
with which v.c
are confronts! and not « drto mjjalion of nny possible
remedy.
that they should be clos-
but I aNo hope that the •
ing toward a real soluti'
HANK IJKANCH NOTES
Harry S. Ritchie, manager of the Bank of Nova Scotia
in Charlottetown, P.E.I., has been transferred to the Har-
rington St. branch in Halifax, N.S.
The following is a list of branches of Canadian banks
which have been opened recently: —
Barrie, Ont Sterling Bank of Canada
Toronto (Spadina & Harbord) Royal Bank of Canada
Vancouver, B.C. (Victoria Rd.) Canadian Bank of Commerce
The Merchants Bank of Canada are planning to erect a
new building on St. James St., Montreal.
The Standard Bank are building a new branch at Coal-
hurst, Alta.
A new building is being erected by the Canadian Bank
of Commerce on Charlotte St., Sydney, N.S.
An extension is being made to the Canadian Bank of
Commerce at Fort and Government Streets, Victoria, B.C.
CANADIAN BUSINESS FAILURES
The number of failures in the Dominion, as reported by
R. G. Dun and Co. during the week ended October 15, 1920,
in provinces, as compared with those of previous weeks and
corresponding weeks of last year, are as follows: —
Date.
c
^
s
^
o
w
«
H
^
s
C
O"
s
<
w
«
2
:z
Oh
E-
rt
Oct. l.i ..
2
10
2
0
2
0
0
3
0
19
7
Oct. 8 ..
. . 5
10
2
0
2
2
0
0
0
21
10
Oct. 1 ..
.. 3
4
0
1
3
4
0
9
0
17
11
Sept. 21 . .
2
3
1
0
2
4
0
1
0
13
22
T. S. G. Pepler and Co., bond dealers. Toronto, have
moved from the Roynl Bank Building to new offices nl 106
Bay St.
WEKKI.V BANK CLEARINGS
The following are the Bank Clearings for the week ended
October 21, 1920, compared with the corresponding weel;
last year: —
Week ended Week ended
Oct. 21, '20. Oct. 23, '19. Changes.
Montreal .$133,310,418 .$102,521,726 — $29,211,308
Toronto 98,230,003 97,938,486 + 291,517
Winnipeg 86,412,879 74.144,717 + 12,268,162
Vancouver 12,271,199 16,549,589 — 4,278.390
Ottawa 8,765,384 8,874,971 — 109,587
Calgary 9,886,728 10,928,191 — 1,041,463
Hamilton 7,079.430 7,447,070 — 367,640
Quebec 5,534.497 6,527,855 — 993,358
Edmonton 4.924,643 6,018,912 — 1,094,269
Halifax 4,074.285 6,232,390 — 1,158,105
London 3,567,711 3,360,973 + 206,738
Rcgina 4,985,578 6.512,135 — 1,526,557
St. John 2,960,265 3,544,503 — 584,238
Saskatoon 2.502,194 2,837,428 — 335,234
Moose Jaw . . 2,339,104 2,442,971 — 103,867
Brant ford 1.349,986 1,385,429 — 35,443
Brandon 974.749 1,066.347 — 91,598
Fort William . . 987.760 1,153,681 — 165,921
Lothbridge 1,092,757 1,023,318 + 69,439
Medicine Hat . . . 762,263 780,084 — 17,821
New Westminster 454.409 676,073 — 221,664
Peterboro 909,639 932,353 22,714
Sherbrookc 1,2.58,183 936.761 -f 32ll422
Kitchener 1.028,900 1,091,6,=;9 — 62,759
Windsor 3.987.019 3,232,192 + 754,827
Prince Albert . 401,959 482,869 — 80,910
Totals ?400.051,942 $427,642,683 — $27,590,741
Moncton 681,698
October 22, 1920
THE MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(ESTABLISHED 1SI7)
PAID UP CAPITAL - - J*U * 23.828.500.00
RESERVE FUND .... C ^k|\ .... 16,375,000.00
RESERVE LIABILITY OF PROPRIETORS .^M-^Jfitfc A. I .... 2382850000
^ -*■'"' $ 64,032,000.00
AGGREGATE ASSETS 31st MARCH, 1920 • -"VJS^" $377,721,211.00
Sir JOHN RUSSELL FKHNCH. K.B.E., General Manager
351 BRANCHES and.4GRNCIRS in the Australian States. New Zealand. Fiji. Papua (New Guinea), and London. The Bank triinsact's every description
of Australian Banking Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET. SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET. E.C.. 2.
Agents: BANK OF MONTREAL. ROYAL BANK OF CANADA
C. S. GUNN & COMPANY
REAL ESTATE, INSURANCE, RENTAL AGENTS
805 Union Trust Building
WINNIPEG, MAN.
Members of Winnipeg Real Estate Exchange, Winnipeg Stock Exchange
The Dominion Bank
ESTABLISHED 1871
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
ESTABUSHED 1879
AUoway & Champion
Bankers and Broker*
Member! of Winnipeg Stock Exch.nu.-
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchange.
A Weekly Meeting
THE Directors of this Corporation
are men well-known in the
commercial, financial and professional
life of Canada. They meet weekly
to transact business, when estates in
the course of administration receive
the benefit of their counsel and ex-
perience on all matters of importance.
All investments of trust funds are
made by the authority of the Direc-
tors, thus protecting estates, small as
well as large, against the uncertain-
ties of individual judgment.
THE
TOROiSTOGEAERALTRUSTS
CORPORATIOiS
I l^ad Office : Cor. BAY AND MliLlNDA STS.
TORONTO
Branches: Oltnwa ^'innipeg Saskatoon Vancouver
THE MONETARY TIMES
LMON Ol- lilMTlSH ( OIA MlilA MINK ll'Mll IKS
I'tkv rrovincf to KstabliMh Hydro Cum mission and Operate
Technical Schools and Hospitals — Oppose Tax
Exemption of Government Property
TllK 17th annual convention of the Union of British
Columbia Municipalities was held in Nelson, B.C.,
October 6-8, 1920. The president, J. Loutet, of North Van-
couver, in his openin.;: ad<lre6S enumerated as amonp the
problems pressint; for solution the matter of the provincial
Kovernmeiit's proposed local government board. Quotinj? the
attorney-fteneral's intimation that "the government could
not forcRO its right to select the board, which it would be
responsible for creating." President Loutet suggested that
the governmen: permit the union to select two out of the
three members, and that a deputation present the matter
to the governmtnt. .\bolition of the immunity of the crown
from taxation in incorporated areas was urged as an ideal
to 1 e striven for, and in this connection the case was cited
of the Soldier Settlement Board declining to pay taxes for
lands that had come into its hands by soldier settlers allow-
ing them to lapse.
President Loutet stated that the problem of increased
revenue for municipalities was so far from a satisfactory
Eolutibn as ever, and he endorsed the proposal for a con-
ference with the federal and provincial governments on the
question. The present duplication of taxes and the encroach-
ment of governments on munipical revenues ought to be done
away with, he said. In connection with the Hospitals Act,
the president represented it as a danger to the small munici-
palitie.---, particularly those maintaining hospitals of their
own, which found they also had to pay for patients going
to the larger hospitals. He also said new legislation would
be required to prevent unnecessary difficulties over assess-
ments.
The union voted down various propossils for further
government'il investigations into the high cost of living.
Among othors of iU acts, expressed through resolutions, it
urgcil the provincial government to take over all high
schocis and technical schools, and also to take over and
operate the hospitals; dissented from both Dominion and
provincial governments holding their lands within munici-
palities free from taxation; asked for a conference of feiliral
and provincial, civic and municipal officials, to co-ordinate the
income l.'>xes and to correct overlapping; recommended that
the municipalities le given control over clubs, the same as
over hotels; authorized the appointment of a committee to
study the whole question of municipal taxation; asked the
provincial government to inquire into fire insurance rates;
a.sked the Dominion government to let land once held by
soldiers and ab:in<loned remain under taxation; and approved
the extension of consolidated arrears privileges to returned
men who arrived too late to take .'idvantagc of the act.
Want l'ro>ini-ial n>dni (iinimission
The provincial government was asked to constitute a
hydro-electric commis.xion. In supporting the propo.^al .Mayor
Acres, of Grand Forks, stated that when the Granby pro-
perty was operating, Gr.ind Fork>< purchased its power at
iV4 cents per kilowatt hour, but now it was chargt-d 3 cents,
on the ground that the power company had to keep up ex-
ten.«ivc maintenance on a large system. The company could
go as far as it liked, and make new rntos any time it liked,
he said, without being requiri-d to justify them.
The executive was instructeil to appoint a committee
to watch the proceedings of the Vancouver tax inquiry, to
be conducted by Dr. Brittain, of Toronto, under the bureau
of municipal research.
It was also decided that the connection of F. A.
McDiarmid with the union .'hould bo defined in the constitu-
tion as that of a "p.irlinment.iry niT'^nt" rather than
"solicitor." Efl'orts are i " toria and
South Vancouver into t! ition was
adopted, abolishing the •■. which in
the past has assisted the executive in the capacity of a re-
ference body.
Provincial Board not Favored
By a vote of .53 to 14, the Union of British Columbia
municipalities refused to express approval of the proposed
local government board. With the change of one vote, the
s:.me division went on a proposal to enlarge the powers of
the inspcctoi of municipalities, this being defeated by 54 to
13.
The convention opposed the exemption of church pro-
pel ty from taxation; endorsed the government's superannua-
tion scheme for firemen and policemen, and asked its exten-
sion to other municipal servants; asktd the exemption of
motor fire apparatus from provincial license, the elimina-
tion of the spe2d limit when answering fire calls, and the
i-elief of drivers in such cases from personal responsibility for
accidents; and asked power to construct roads through
soldier settlements now enjoying the immunity of Crown
lands.
Election of Officers
Port Alberni was selected as the meeting place next
year. The annual election resulted in the choice of the fol-
lowing officers for the ensuing year: President, J. Loutet,
North Vancouvser, re-elected; vice-president. Aid, C. F.
JIcHardy, Nelson; secretary-treasurer, A. W. Gray, New
Westminster, re-elected; executive committee, A. Lockley,
Esquimau; T. W. Vanes, North Vancouver; L. E. Marmont,
Coquitlam; J. J. Johnston, New Westminster; E. J. Cham-
bers, Penticton; J. R. Colley, Kamloops; W. Bews, Revel-
stoke. Instructions were given to the executive to re-engage
Mr. McDiarmid as "parliamentary agent" if he were avail-
able.
The Municipal Oilicers' Association of British Columbia,
with 26 municipalities represented at its first annual meet-
ing, elected the following oflicers: President, J. 0. Farmer,
North Vancouver district, re-elected; vice-president, B. C.
Bracewcll, Penticton : secretary-treasurer, R. F. Archibald,
North Vancouver city. Executive, O. W. Ross, Oak Bay; R.
F. Blandy, Port Alberni; C. W. Webb, Chilliwack district;
Wm. T. Riley, South Vancouver; H. S. Cowper, Saanich.
GUARANTY TRUST BOND DEPARTMENT
The business heretofore conducted by the bond depart-
ment of the Guaranty Trust Co. of New York has been taken
over by the Guaranty Co. of New York. This change has
been effected because the growth of the trust company's
business in securities has made necessary a type of organ-
ization that will be free to give the fullest possible service
through the medium of its own branch offices throughout the
country. This change is one of corporate organization only,
and in management and policy the new company will be the
same as its predecessor, the bond department of the Guar-
anty Trust Co.
ASSOCI.\TION OF LIFE INSURANCE PRESIDENTS
"Seventy-five Years of .\mcrican Life Insurance: A His-
tory and Prophecy of the Nation's Growth," will be the theme
of the fourteenth annual convention of the .Association of
Life Insurance Presidents, to be held in New York on De-
coml)cr 9th and 1 0th. Original statistics are now being con-
tributed by the companies as a basis for showing definitely
the present ramifications and extent of life insurance's rela-
tionship to policyholders and to the nation as a whole. It is
expected the two days" discussions will develop enlarged and
additional fields of ser*-ice through the projection of this data
upon the rapidly-growing background of the business.
The National Convention of Insurance Commissioners
will meet in New York the same week as the life presidents,
the dates of the ccmmissioners' sessions being December 6th,
7th and 8th. The .Association of Life Insurance Counsel will
also meet that week in New York, its dates being December
7th and 8th.
OLtober 22, 1920
THE MONETARY TIMES
Sterung Trusts Corporatioh
T
HE Officers of this Corporation are exptrts in the
ation of estates, the management of pro-
id the investment of funds.
: you con-
President
W. H.WARDROPE. K.C.
Vice-President, Managing Director.
A. W. BRIGGS. K C CHAS. BALCKHA.S1
1122
^^^.^^^^^^^.^^^^_^^^^ ^^
The Management of Your Real Estate
citliL-i small ur l.ii^i;. is uiic of the uiauy capacitic!! iu which
we can be of service to you. Why not relieve yourself of
the trouble of collectiii.s; rents, the making of repairs, secur-
ing new tenants, payment of taxes, insurance premiums,
interest on mortgages and other troublesome details by
appointing as your agent
THE CANADA PERMANENT TRUST COMPANY
Paid-up Capitn
Sl.OOO.OOO
W. 0 Gooderham
Col. A. E. Goocerhan
F. Gordon Os'cr
E.R. C. Cla
1 TORONTO STREET
TORONTO
DIRECTORS'
K. S Hudson John Masscy
1 J. H G. Hasarty John Campbell S.S C
Georue H. Smith William Mulock
rkson Gcorse W.Allan. K.C, M. P.
.ManaRer, Ontario Branch : A. E. He
A. J. Pattison Jr. & Co.
Members
Toronto Stock Exchange .Montreal Stcck E.NChangc
Specialists Unlisted Securities
lOS BAY STREET
TORONTO
WESTMINSTER TRUST COMPANY
The Oldest Hrovincial Trust Company in B.C.
Head Office - NEW WESTMINSTER, B.C.
GENERAL F^N^NCIAL AGENTS
Admlmhiraltn. Ktalvm. EttemUn. LltulJalon, Auttmni. Trmtlmt
V. A, KIDIIELL. M:in;ii;cr
H. H. CAMPKIN
Insurance, Loans, Bonds, Debentures and Real Estate
Agent forCanadian Pacific Railway Co. Lands, Canada North
West Land Co. Lands. Hudson-s Bay Comranys Land!..
REGINA, SASK.
The Security Trust
Head Office
Company, Limited
Calgary, Alberta
Liquidator, Trustee, Receiver, Stock and Bond Brokers,
Administrator, Executor. General Financial Agents.
W. M. CONSACHER Pres. and .ManaRinR Directo
Saskatchewan General Trusts
Corporation, Limited
Head Office: Regina, Sask.
Executor Administrator Assignee Trustee
Special attention given Mortgage Investments, Collections,
Management of Properties for Absentees and
all otber agency business.
BOAKD OF DIKeCTOBH:
W. T. MOLLARD. President G. H. BARR, K.C
H. B. Sampson K.C. A. L. Gordon. K.C
-Prciiden
J. A. M. Patrick, K.C.
J. A. .Mc Bride
W. H. Dun
Chas. WiUouRhby William Wilson
E. B. .MURPHV. General Manager
Official Administrator for the Judicial District of Wcyburn
(Trustee under Bankruptcy Act)
Canadian Financiers
Trust Company
Head Office
Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for iiivcstinciit in all classes of Securities.
Business Agent for the R. C. Archdiocese of Vancouver.
Fiscal Agent for H C. Municipalities.
Inquiries Incited
tieaeral .Hanacrr Llrul.-Col. «;. H. DOKKKLL
Providing for Education
In times of prosperity make certain that the educutioii
of your children will be provided for in case of a reversal of
fortune. By placing a trust fund with us for investment,
an income can be provided to begin at any time and be
administered under any conditions you see fit to incorporate
in the agreement. Write us for particulars
Chartered Trust and Executor Company
46 KING STREET WEST, TORONTO
HON. W. A. CHARLTO.N. .MP..
President.
JOHN J. GIBSON. Managing Director
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acli at Eiecutor, Adninislralor, Trnitee, Guirdian, Liquidator
Aiti(Bte, anit in any other fidaciary capacity.
Official Administrator for the Northern Judicial
District and the Dauphin Judicial District in
Manitoba, and Official Assignee for the Western
Judicial District in Manitoba and the Swift
Current Judicial District in Saskatchew.m.
Branch Office
Swift Current, Saskatchewan
JOH.N R LITTLE, Managing Director
THE MONETARY TIMES
Volume 65.
EXCHANGE WITHIN THE EMPIRE
SuKK»?st'«n t" Centralize Finance Not Likely to Produce Any
Kcsult — Trade Cannot be Forced in This Way
By a. B. Barker
ONE of the interesting suprgestions at the recent con-
ference of the Chambers of Commerce of the Empire
was that of a London, England, banker, N. W. Darling, in
connection with his plan to stabilize exchange by a con-
certed movement within the Empire. His suggestions in-
cluded an increase of the capital stock of the Bank of Eng-
land from £15,000,000 to £20,000.000, the new capital to
be provided bv the colonies in varying proportions. The
weak point in his exchange proposals, however, was promptly
pointttl out by Sir Edmund Walker, who stated, that so far
as Canada was concerned the geographical position of the
country made us financially dependent on New York in the
matter of foreign exchange.
The inherent defect of Mr. Darling's scheme, however,
was not mentioned, and that is that such action on the
part of the colonies would be in direct opposition to their
declared policv of managing their own financial affairs. As
minority shareholders, their task' would simply be to pro-
vide the money, and have it managed for them by those
over whom they would have no adequate control. What real
influence has the minority in tuny business, except of course
the right to criticize, usually without effect? This feature
would remain, even if the act of 1S44, under which the
Bank of England is now working, were adequate, and we
have Bagehofs word that the act referred to is so badly
conceived that in time of stress it is workable only because
it is suspended.
Centralization N<it a Success
The main point of Mr. Darling's plan is to centralize
the financial authority in London. This plan in politics
proved a lamentable failure, and when applied to business
has never bein a marked success — in Canada, at any rate— as
the controlling authorities were too far away to realize
local conditions, and would not delegate sufficient powers to
any local body to act freely.
Such a plan might be worked in the case of a country
not so highly developetl industrially— China, for example— as
in this case London supplies all the capital; but for coun-
tries like Canada, niid the other self-governing colonies,
the less the outside authority is in evidence the less the
chance of friction. London's pre-eminent financial position
was gained by service, and in proportion as she is able to
continue to render service her position is secure. It must,
however, rest on that foundation, and not on defined
authority.
Finance Must Result From Trade
Canada will gladly co-operate in any movement to
stabilize exchange. She must, if her foreign trade with
Groat Britain is to continue as in the past, but it must
Ix- because the trade connection is niutunlly profitable,
not because she is forced to do so by reason of a long-ttrm
contract, interpreted by a body the interests of the majority
of which might conflict with hers.
These discussion.', however, serve the useful purpose of
defining the objective arrived at. In the movement to.vards
that objective, however. Canada's right to decide on the
plan of action must he uncontrolled by any organization
outside her boundaries.
In commenting on the share of their contingent in the
late war. a prominent Australian is reported to have said
that in the next war in which the Empire is engageil
Australia would come in as an ally of Great Britain, not ng
a colony, and this is a fair illu.stration of the term? on which
any co-operation of Canada in this movement can be enlisted.
It is possible to restrict trade in commodities by im-
port and export duties, but experience has shown the utter
futility of trying to restrict the international movement of
money when there is a profit in prospect.
TORONTO LIFE UNDERWRITERS' ASSOCIATION
A meeting of the Toronto Life Underwriters' Associa-
tion was held on October 7th, the feature being an address
on "Income Insurance" by E. J. L'Esperance, manager of
the Imperial Life Assurance Company in Montreal. A sug-
gestion made by 0. B. Shortly, president, that an educational
conference be lield in November was unanimously approved,
and plans are being made accordingly.
"Unless you are prepared to see that the widow receives
an income from her life insurance, or unless there are good
reasons why other forms of insurance should be sold, you
should sell the prospect income insurance," said Mr. L'Esper-
ance. Only by so doing, he pointed out, can the agent render
the utmost service to the policyholder. Thfe speaker also
dealt with other sales points, urging that life insurance was
such a desirable commodity that it had only to be shown in
order to be sold, provided that the prospect needed insur-
ance and was in a position to buy it.
COMMUNITY LOAN AND INVESTMENT CO.
"Intensive colonization of a practical nature" will be the
principal activity of the Community Loan and Investment
Co. which was recently incorporated in Winnipeg, with a
capital of $3,000,000 7 per cent, preferred stock and |1,500,-
000 non-par stock. The president is Geo. W. Prout, who
played an important part in the inauguration of the Mani-
toba Rural Credits scheme. In a statement to The Monetary
Times Mr. Prout expressed the opinion that "intelligent and
well-directed financial assistance is necessary to successful
colonization. He continues: —
"The company is empowered to establish local boards
of directors which will look over new business, advise with
borrowers and give them, as well as our central board, prac-
tical advice. Our local board members will all be share-
holders of the company. The company intends to get away
from the well-beaten path of the mortgage company, in that
it intends to do busine.ss with the beginner as well as the man
now on the land who is under-functioning, so to speak. Its
customers will be got through three channels: (1) The local
boards; (2) British agencies; (.3) United States channels.
"Its loans to farmers will be on the amortization system
at twenty years. It will in most cases purchase the land out-
right and sell outright to the settler at a reasonable profit,
taking a small cash payment down. It will through its local
board maintain a very close relation to the borrower, help
him whenever help is needed, advise him when such is re-
quired. It will market his produce, if he so desires, and take
care of his purchases, if he so wills it, at a minimum of cosv.
It will in each case make a survey through its local board
of a settler's needs and in conjunction with it assist the
settler to function at full capacity. Presently we expect 100
such local boards consisting of ten directors each to be es-
tablished in Manitoba.
"After making some progress here it is our intention to
roach out to Ontario and the maritime provinces and dupli-
cate our work there. We wish to be able to settle an incomer
in any province in the Dominion.
"The powers of the company are wide. It includes the
issuing of bonds. We hope to be able to impress capital that
we have got the real solution of the colonization problem
and to interest it in the purchase of the company's securities.
Already we have advice of over tivo hundred reliable farm-
ers, now on the land, who need our assistance. We are now
investigating these farmers through our local organizations.
"While the company's work will savor of the helping
hand, yet no loans will be taken on where the borrower's
character and capacity is not proved. The preferred stock
is placed at par and pays 7 per cent. The non-par stock is
given with the preferred stock by way of bonus, and each
shareholder comes in on the same basis."
October 22, 1920
THE MONETARY TIMES
The Dollar You Spend Now
is worth but 50c. Tne dollar savcj now will he worth lOHc. To J;i
is the time to save.
The way tc save is to open an account with the
UNION TRUST COMPANY, LIMITED
No formality or red tape. Interest at 4% is added regularly to vol
account, and cheques may be drawn against it.
Union Trust Company, Limited
HENRY F. GOODERHAM. President
TORONTO - - Cor. Richmond and Victoria Sis.
WINNIPEG. MAN. LONDON. ENGLAND
i?o on Savinss — Withdrau-abte by Cheque 16
The most important document a person of large or small
means is called on to prepare is his
LAST WILL AND TESTAMENT
Ii means the happiness and welfare of those most dear.
Ask for Booklet : " Make Your Will."
CAPITAL, ISSUED AND SUBSCRIBED . .?1. 171. 700.00
PAID-UP CAPITAL AND RESERVE 1,172,000 00
The Imperial Canadian Trust Co.
ExecDtor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE: WIXNIPFG, CAN.
BRANCHES :
Have You Made
Your Will?
A will ensures that at your death your
property will be distributed as you
wish ; and that this distribution will
be made by some one of your own
choice.
If you appoint this Company as execu-
tor, your family's interests will be
guarded by a responsible organisation
not subject to inexperience, absence,
illness, death and the other disadvan-
tages which beset a private individ-
ual's executorship.
National Trust Company
Limited
Capital, $2,000,000 Reserve, $2,000,000
18-22 KING STREET EAST - - TORONTO
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
A Day of Specialization
in all walks ol life men are specializing. Can an
inexperienced individual, who probably will not
administer more than one estate in his lifetime, give
to your estate the attention and care you would like
it lo have ?
By naming The Canada Trust Company " The
Executor for Your Estate " you make provisions for
competent, economical, specialized service.
The Canada Trust Co^^vpany
London. Toronto, Windsor, Chatham. St. Thomas, Ontaric
Winnipeg, Man.. Regina, Sask., Edmonton. Alta.
THE BANKERS
TRVST 0OMB\NY
Head Offices: MONTREAL
Authorized Capital
$1,000,000
PretiJent -
SIR H. MONTAGU ALLAN C.V.O.
yice-PrcaiJcnIi -
A. J. DAWES D. C. MACAROW
JAMES ELMSLY - Genera/ Manager
C. D. CORNELL - - 5ccre(arv
Directors:
Sir H. MonUgu AlUn. J. M. Kilb.
T. Ahe.rn C.V.O. I. D. G. Kippen
G. L. Cm. W. B " "
A. J. DAWer
A. B. Ev.n.
David N. C. Hogg
UilcJi
Sir F. Orr Lewii. Ba
Thoi. Long
D. C. M.c.row
W. A. MrlJrum
T. E. Mcrrcii
U-Col. J. R. Moodic
Farquliar Robertson
Hon.LorncC.Wcbiler
F. Howard Wilron
Edwin H. Wilaon
John Wilaon
Offices now open in Montreal, Winnipeg.
Calgary. St. John. N.B.. Halifax. Regina,
Vancouver. Victoria and Toronto.
Preniises in Merchants Bank Building in each city
THE MONETARY TIMES
Volume 65.
lU II.DINC rKK.MITS Afi.VlN DFXLIM-: IN Al (ilST
GOVKRNMKNT CURRENCY
Uecrc-asf Morr Pronounced Than Previously — Only Provinces
lo Show Increases Were Prince Edward Island
and Quebec
BUILDING permits issues in fifty-six cities showed a de-
cline during August, 1920, falling from $i:i,025,5(;0 in
July to .'5y,4:iy,807, or a decrease of not quite 28 per cent.
Prince Edward Lsland and Quebec were the only provinces
to register increases in this comparison, while of the reduc-
tions reported in the remaining provinces that of $1,22{!,768
in .\lbcrta was the most pronounced.
.As compared with the figures for the corresponding
nuinth in U»li<, there was a decrease of $2,476,2.'?8, or nearly
21 per cent, in the building permits issued, the value for
August, 1!I19, having been SI 1,910,04.5. In this comparison,
British Columbia alone reported an increase, declines being
registered in the remaining provinces.
DEPARTMENT
OP LAUOUK
FIGURES
Nova Scotia
•Halifax
New Glasgow.
'.Sydney
.:::}•
lonlreal.
Uisonneuve.
lucbcc
hawiniilan Palls
hcrbrooke
Kivers
Thrc
)tl.i
()M
imd .
•Cclcrhnrouilh
•|»orl Arthur .
•SirJtforJ ..
•St. Catharine*
••;t. Thomas..
S.i
AANITOnA
•Brandon
St Hnnlf.ic
•Wrnnircit
•Moo«
•«C||M
• ;jsk
ALnitRT
»«dn
llaar
TI6.K33
S3U,l7a
4.HaO
201.(180
» I «
3.5001 S.OOO
3.SU0 G.OtXI
^M.HM 601, 4«
.1IW.370 I 480,67.^
Nil. 3.000
45.625 117.750
?IW.70S WI.KOOl 4W1.750
170.0(10 15.000 I3.0O0
11^.605 2.W.60II I 4'^0.7.iO
ICO. 100 ti.iOU .57,000
1.4I4.4SO
l,ia5,78S
78.270
4,500
21.600
54 .7110
l4!).6-i5
5.280, 1 K7
4.000
41,705
2!I.3U0
15.900
.IS 400
4'^.47U
498.0-^5
5l.2a5
1SI.9IS
188.195
23.914
44.625
488,9«l
15.000
2,(!40
84.45.^
57.795
127.450
8636
72.150
81.400
2.640.004
22.115
514,210
38.702
1.207.230
I ..542 705 1
HOD.IM
l.<<IMO
«-.».7.W I
1.768.5:16
1.3:<6.350
ISII.RJI
1,000
123.500
47.800
104 255
4.535,239
10.3(10
78.3.50
49.650
e9.:i00
24.0IUI
1BI.."««
4l4.»!«5
22.:OI
47,(r25
236.0)0
24.750
30,000
284.157
41,000
9.875
38 6.19
31.040
I.VI.M96
101.095
104.451
45.900
2.216.116
32.7a5
272.125 '
xi.05:i j
610.025!
58.700 I
85,275 I
496 aw '
84 1. 39 V
:«i.87«
6)7.220 I
I57.;loo j
IWI Hi.
100.200
6.s.*lt
2,056.985
1.. 541. 245
162.245
34.500
51.700
84,870
I8i.425
6,009.835
,Nil.
61.890
14.550
29.875
8<).9O0
11.950
.506.065
45..'i08
38.930
867,420
49.870
336.885
168 490
2.300
9.875
411.572
12.150
57.905
8,290
70,746
79,4.«)
1.844.30:1
39.806
241.815
9.290
862.-320
7.400
144.020
710.900
1.010.570
1 10 t»S
.■Ijl«6.\5
.W1.2S0
232,440
121. .<ao
94,5,V<
1^thb.„u.
».8<»
9.KJ5
Medic, no lUt.
6,.\«l
British Coi.umria
7*1171
6(5.720
Nan.-iimo
•" ^■'l
2.1.50
•M«w Wcslminc;. '
20.ft5T
1»oinl (Iri-v
347,570
Pr.ncc KuKrt
43.XW
South Vancouv c
35.<«5
•Vancouver .
173,345
•victoria
22.483
Total-.56 cities.
"
11.*16.0«$
•Total -35 citiei
•>7
9..577.SIM
Circulation of Dominion notes increased in September,
1!»20, according to the statement of circulation and specie
issued by the Department of Finance, the total amount of
government currency in circulation being .?:j0o,00.5,376, as com-
pared with .<;292,08(;,02.5 in the previous month. The increase
in the i.ssue of notes was accompanied by a similar advance
in gold reserve. The following statement gives the details: —
27,743 25 .
1.272.835 67 '
(.301.7.53 00
1.667.5.58 .50
37.971 00
; 522.215 00
3.800 00
gl.OOO <
S.500 Legal Tender Notes for Banks
81,000 " " ■' '
$5,000 ■• ■■ ■■ -•"
$50,000 " "
n.-
714,500 00
,790.000 00
79.000 00
1,013.000 00
207.(135,000 00
47.600.000 00
$303,065,376 42
« 11.293 SO
6.060 00
4.219 75
2,180 00
840 00
6.S0 00
2,500 00
»27,743 25
? 99.228.744 20
4.022,842 83
Gold held for redemption of Bominion Notes « 95,205,901 37 '
Dominion Notes outstanding against deposits of approved secur-
ities, under Finance Act. 1914 ?149.6.'0,l'-'5 00
• 10..
»20..
»S0..
>.500
Gold held Sept. 30th. 1920. by the Minister of Financ.
Gold reserve to be held on Savings Banks Deposits—
10 p.c. on $40.2'28,4'28,30 under The Savings Banks
DdMIMON GOVERNMENT SAVINGS BANKS
Deposits in the Dominion Government Savings Banks
during September, 1920, were again lower, being $1,^7,521,
as compared with $14."),39.'? for August, and $182, 1522 for July.
Withdrawals, however, were only $183,253, as compared with
$198,88.T for the previous month. The following are the
figures, as submitted by the finance department: —
BANK
Pe posits
for
Sept. 1920
Total
Deposits
Withdraw- Balance on
als for Sept. 30,
Sept. 1920 1920,
.lliiiii'fotni ,—
Winnipsg
liritish Cottimbia : —
Victoria ,-.
I'rinct Kdu-anl Lilatul:—
9 CIS
2.369.00
20,005.00
$ cts
436,549.04
1.113,494.87
9 cts, t cts.
9.745.35 426,803.69
27,057.05 1,088.437.82
27.199.94 1.749,7.11.05
rvtSlK.la 4.176.-.W S)
1
4S2.1S] 69,876.00
r>04.06 76.084.23
3S,848,'20 2.272,463,38
5.814.16' 240.884 06
9.213,81 394.519,08
.Wtr Briiii»tric* —
Newcastle (
Transfer \
5<>.'«lil,S.'i> 4.240.,566,87
120.00 70,3.58.15
120.00 78,688.»
27.419,62 2,311,311 !«
•Vovii Scolia .—
Barrington
Guyshoro"
Halifax
LuncnbiirR
l.ilB.OO
403,732.89
Transfer (
Sherhrot»ke.
Totals
600.00
137,521.50
"66,898.30
10,745,229 20
4'72'22"""6iB,VM.M
I83.253.Z7 10,561.975.(3
The catch of sea fish of all kinds for the month of August
on both the Atlantic and Pacific coasts amounted to 1,00.5,884
cwts., as compared with l,14.'i,290 cwts. for the same month
last year. The tof.il value of the August catch was $3,647,-
137, against $4.G0i;,l43 last year.
October 22, 1920
THE MONETARY TIMES
23
INTEREST
RETURN
INVEST YOUR SAVINGS
in a 5y2% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital $2,412,578.81
Reserves 964,459 J9
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Calgary,
EdmODton, Vancouver, Victoria ; Edinburgh,
Scotland.
Dollar by Dollar
is the way some people save, and many succeed in building
up substantial accounts. It is well worth the effort to save,
even in a small way, as it is a well-known fact iha. saving
money increases one's productiveness.
Your savings will be safe with this old-established institu-
tion, and you will receive interest thereon at
THREE AND ONE -HALF
per cent, per annum, paid twice each year.
Canada Permanent Mortgage Corporation
TORONTO STREET
Established 1855
TORONTO
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
.Masonic Temple Building. London. Canada
Interest at 4 per cent, payable half-yearly on Debentuies
T. H. PURDOM. K.C., President NATHANIEL MILLS, Manager
London and Canadian Loan and Agency Co., Limited
EsTAliLJSiiEu 1873 jl l».N«iK .ST., TOUONTO
Paid-up Capital, $1,250,000 Rest. $950,000 Total Assets. $5,085,872
DebenlnreM issued, one hundre.l dollars and upwards, one to five years-
Best current rates. Interest payab e half-yearly. These Debentures arc an
Authorized Trustee Investment. Mortgage Loans made in Ontario, Mani-
toba and Saskatchewan.
WILLIAM WEDI). Secrct.iry V. B. WADSWORTH, Manager
^"^ Ontario Loan
& Debenture Co.
LONDON Incorporated 1870
CAPITAL AND UNDrviDBD Profits
Canada
$,'?,iti>i),000
SHORT TERM (3 TO 5 YEARS)
DEBENTURES
YIELD INVESTORS
5-;i
JOHN McCLARV. President
A. M. SMART. Manager
/^VER 200 Corporations,
^^ Societies, Trustees and
Individuals have found our
Debentuies an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG. Mao.
THE TORONTO MORTGAGE COMPANY
Office, No. 13 Toronto Street
Capital Account. I!*:i«.."..-.t).0O Reserve Fund. ^GTtt.lMMt.OO
Total Assets. Wl.ilS.lM.aS
President. WELLINGTON FRANCIS. Esq.. K.C.
Vice-President. HERBERT LANGLOIS. Esq.
Debentures issued to pay 5 \,. a Legal Investment for Trust Funds.
Deposits received at 4"., interest, withdrawable by cheque.
Loans made on improved Real K«tate on favorahle terms.
WALTER GILLESPIE. Manager
Six per cent. Debentures
Interest payable half yearly at par nt any bank in Canada
The Canada Standard Loan Company
520 Mclntyre Block, Winnipeg
ACCOUNT BOOKS
LOOSK I.EAF f.EOGKRS
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Streets
TORONTO
T.K
. McCallum
& Company
GOV
ERNMENT AND MUNICIPAL SECURITIES |
Wr.trni
liiiilrliiiil, SrIinnI anil ^
naknlrhennn ItiirnI Trie.
pliunr <■>. lirlirnlurrH
■ prrlnlltDl In.
Corrc^ponJcncc
invilrJ
GRAINGER BUILDING
SASKATOON
F. S. RATLIFF & CO.
FARM LANDS-FARM LOANS
STOCKS AND BONDS
Medicine Hat Alberta
THE MONETARY TIMES
Volume 65.
Imports Show Further Falling Away in September
\ alue of Exports is Also Considerably Lower — Principal
Decline was in Agricultural and VeKCtable Product —
Wood Sand Paper Sent out of the Country Also Reduced
A FURTHER fallintr away in imports is shown in the
•'*■ September trade statement of the Department of
Customs, the figures beinp $115,121,588, as compared with
$124,318,014 in August. The trade showing, however, was
less favorable than in August, inasmuch as the decline in
imports was accompanied by a great decline in exports from
$112,278,064 to $94,389,685.
For the six months of the fiscal year, merchandise en-
tered for consumption totalled $713,012,191, while domestic
merchandise exported amounted to $548,780,172, making an
unfavorable balance for the first half of the year of $164,-
232,019, as compared with a favorable balance last year of
$127,682,685.
The value of agricultural and vegetable piuuuels im-
ported during September was lower than in .August, while i
fibres and textiles also showed a decline. There were slight j
increases in wood and paper, etc., chemicals and chemical |
products and miscellaneous products, but all other classes of I
imports showed decreases.
Under exports the principal decline was in agricultural ,
and vegetable products, the figure being $20,606,790, com-
pared with $28,065,382 in August. There was a slight in-
crease in chemical products, and miscellaneous products were
considerably higher, but all other classes showed reductions,
including wood, paper, and wood products, etc.
The following table gives the details: —
IMI-Oltl- l:\TF.KKn FOK HOME t'0>.<>l'MPTIO.\
Merchandise entcrrd (or coo«»
McrchfanJi^tc. domc«tic. cxn'T
Aurlcultural and vegetable products, mainly foods
Axricullural and vcKctable products, other than foods
Animals and animal products .
Fibres, textiles and textile products
Chemicals and chemical products
Iron and steel, and manufactures thereof
Ores, metals and metal manufactures, other than iron and «fecl.
N()n.mft.i!!ic minerals and products
WwkJ. \v(mhI products, paper and manufactures
Miscellaneous
Tot«l
Duty collected. .
.Month of
3i:ptemher
Six
months enc
ing September
19
•>
Dutiable
9
iy20
1!
Free
19
Dutiable
1920
Free
8
Free
Dutiable
Free
Dutiable
S
«
S
i
S 1 *
2,867,853
10,260.7,M
3,268,819
10.0.59.877
17.289,815
54.289.637
25.0-20.968 ' 78.694.754
2.700,.'>ll
l,807,61U
4,009,.146
2,723,442
16,8l9,39:t
8.729,8Ui
23.-235.702 20.672.646
S.8«<;.7'J4
;I.I96,SI8
2,160.9.V)
2,798.711
14.217,214
28,009.865
17.901.400 ; 19.108.542
i.19».T14
1 1 .696,8:17
.■i,6,i2,6,84
16.,T,52,96I
•25.791 ,.598
.50,096.324
51.137.513 114.576.502
9I\ .St\4
l..w;t.;(iii
l,96;f,5l4
1,982,246
4.521,441
7.4:(1,08«
1U.10S.077 ; 11.518.914
2,8U.;<7I
12,940.707
4.821,422
19,966,-2S1
l7.8-25.20«
71.204,2ti9
■26.108.664 114,i4'2.7-7
1.646.677
2„'i71,5»4
1,748,847
3,632.3M
8.403,108
13,781,372
9.6411. .^59 21.9-2S.454
ti. 800,03-2
,'i.46<.7<2
7.486.090
13.K29.0ti3
29,107,805
29,79,5,-231
40.9:)<l.6«5 56,895.714
, l.7U.4<M
2.214,896
2.517.731
3,203,631
9,o;«,8i5
10.618.132
13,1 l.i. 370 16.941.817
iJS3.913
3.234.902
3,609.955
3,.5,T3.i!2:i
77,882.030
13,719,177
16.074.1 12
■20,66,i,17S -20,610,035
30,SS3.663
.y.922.349
37.239.5.58
lii6,730.S66'
28.5.029.844
■237,922,036 475,090,155
I4.907.WJ
,<W«K.
SI 154 IK?
inS-R-W K21I
ABricullural and vesetable products, mainly (cods l9,-240,942
AKncullural and vegetable products, other than food- 3,«17.16«
Anii".il .n.l jm„..il |.n.,li,,t.. 27.57,5.921
'■'' •■• 2.331.756
y I 2.706,296
J; .rcof 6.46NII<>5
V" 'OS, other than iron and steel 4.lli;i'i
Non m.l .11,. m,n.r,,U an, I ,-r,.,l„cts .
Wood, wood products, paper and manufaclu,.
Miscellaneous
Ti't'l 104.994 406
Domc>,lic
Foreign
8
$
189.233.242
3,l64,i52
14.128.973
1, -245,539
148.145.116
3,737,999
12.717.433
2.366.669
1 1 ,049,077
2,286.579
39,9-24.488
4.919,494
■22.809.693
1.8I1.&5I
1 1.8-27.847
■248.67!)
94. ,570.3,52
170,016
3S.036,(f74
3,494,079
.579,443.095
23,444,957
Domestic ; Foreign
148,96-2,556
1-2.772 655
97.6.55.'279
IU.845.913
1 1 .OiM.! 24
40,881.043
24.519. 1:i6
22.6:«..l23
l.5-,4 17,401
21,W1,'242
962.495
162,461
720.390
1.369.876
K59.663
6.-235.464
431.4IS
410.350
-202,569
I.S3I.4S6
13.086.139
Rr<-Arm'LATi»!«
Month of September
Six months ending September
S5..W6.ni2
I'^l. ''4.4I*',
1I5,121„58S
94„■W9.^R5
451.760.410
,579,443.095
713.01-2.191
.548,780.172
- i.'i T09 ;
-209 .< 11,2-3
2,014 0,V(
1,031,20-2.505
23.444 957
1.-261.79-2.363
13.086.139
iM,e2s.iin '
211,525.3.12
1.054,648.462
1,274.878.502
October 22, 1920
THE MONETARY TIMES
DIVIDEND NOTICES
Dkkentijre^s for Sale
THE CONSUMERS' GAS COMPANY
OF TORONTO
Notice of Annual Meeting
The Annual General Meeting of the Shareholders of the
Consumers' Gas Company of Toronto, to receive the report
of the Directors, and for the election of the Directors for the
ensuing year, will be held in the Company's Boardroom, 17
Toronto Street, Monday, the 25th day of October, 1920, at
12 o'clock, noon.
ARTHUR HEWITT,
General M:ir: ^ '."'
THE MERCHANTS BANK OF CANADA
QUARTERLY DIVIDEND
A Dividend of Three Per Cent, for the Current Quarter,
being at the rate of Twelve Per Cent, per annum upon the
Paid-up Capital Stock of the Bank, was declared payable oh
1st November next to Shareholders of record on the evening
of 15th October, stock not fully paid up on 31st July to par-
ticipate in the dividend on the amounts paid up on that date
and upon later payments from the date thereof.
By Order of the Board.
D. C. MACAROW,
General Manager.
Montreal, 30th September, 1920. . 247
THE CANADIAN BANK OF COMMERCE
DIVIDEND No. 135
Notice is hereby given that a dividend of Three per
cent, upon the capital stock of this Bank, being at the rate
of twelve per cent, per annum, has been declared for the
quarter ending 30th November next, together with a bonus
of one per cent., and that the same will be payable at the
Bank and its Branches on and after Wednesday, 1st Decem-
ber, 1920. The Transfer Books of the Bank will be closed
from the 16th November to 30th November next, both days
inclusive.
By Order of the Board,
Toronto, 15th October, 1920.
JOHN AIRD,
General Manager.
260
DIVIDEND NOTICE
MURRAY-KAY COMPANY. LIMITED
Notice is hereby given that a Dividend of one and three-
quarters per cent, for the three months ending October 31st,
1920 (being at the rate of seven per cent, per annum), has
been declared on the Preference Shares of this Company,
and will be payable on November 1st, 1920, to Shareholders
of record at the close of business on October 20th, 1920.
The Transfer Books of the Company will be closed from
October 21st to 30th, 1920 (both days inclusive).
By order of the Board.
FRANK
Toronto, October 19th, 1920.
MUNDY.
Secretary.
DEBENTURES, TOWN OF KENTVILLE
Sealed tenders addressed to the undersigned and
marked "Tenders for Debentures" will be received up to
noon on October 25, 1920, for the purchase of the following
debentures: —
$25,000.00 to pay Water Works Debentures matur-
ing January 1, 1921, in denominations of $500.00
each, and dated November 1, 1920.
$2,500.00 to pay School Debentures maturing
January 1, 1921, in denominations of $500.00 each,
and dated November 1, 1920.
$1,300.00 to pay Exhibition Ground Debentures
which matured on November 1, 1919, in denomina-
tions of $100.00 each, and dated November 1, 1920:
$2,300.00 for the purchase of a Chemical Engine
for the Fire Department, in denominations of
$100.00 each, and dated November 1, 1920.
All of the above debentures will bear interest at six
per cent, per annum, payable half-yearly, and said deben-
tures are to be issued under the Authority of an Act of the
Legislature of the Province of Nova Scotia passed at the
last session.
These debentures redeemable in 25 years.
The highest or any tender not necessarily accepted.
Dated at Kentville, Kings County, N.S., this 8th day of
October, A.D., 1920. 254
J. C.A.RROLL,
Tovm Clerk.
Condensed Advertisements
-Positinn^ \\;.nu>i
5c. per word. .Mm
per insertion. All condcns)
style. Condensed .idvenise
charged for them, .ire p.iypbl
ord all other co
harKe for any conde
ery low rates
;ra if charged.
ACCOUNTANT.— Man thirty-five years of age. Thor-
oughly familiar with Costs, Credits, and Financial Work.
For past five years in charge of Accounting Department
large Western Corporation. Open f-- — cut October
1st. Box 345, Monetary Times, Toroi ■
WANTED. — .'V strong British Company for Hail In-
surance in Western Canada, either General Agency or man-
agement. Several years' experience with one of the most
successful companies now operating. My experience in both
management and field work together with several years' con-
nection will assure good income. All correspondence con-
fidential. .Apply Box 3.')5, \fo<h-l,iry Tim,-.'!. Toronto.
THE DEBENTURE COMPANY
OK CANAO/V. LIMITKD
AUTHORIZED CAPITAL, $500,000
Head Office - - Regina, Saskatchewan
Municiiwl, School .ind Telephone iJebcnlurcs Bought and Sold
258
Griffith R. Hughes, a British Columbia chartered account-
ant, is charged with embezzling a large sum from David
Spencer, Ltd., of which he was confidential adviser for several
years.
THE MONETARY TIMES
Volume 65.
Tariff Commission Now in Protectionist Centres
Remainder of Hearings Will be in East— Summary of Evidence in Regina,
Brandon. Winnipeg, Fort William. Port Arthur and Sault Ste. Marie— Strong
TarrilT Reduction Sentiment in Middle Wesi— Iron and Steel Bounty Urged
NOW that the tariff commission has reached the central
provinces, the weight of the evidence received will be
on the side of protection. During the past ten days the
sessions have been as follows: October 11 and 12, Regina;
October 13, Brandon; October 14, Winnipeg; October 15,
Fort William and Port Arthur; October 18, Sault Ste.
.Marie; October 21, Windsor. The itinerarj- for the coming
week has not at the time of writing been announced.
The evidence in Regina was colored by local politics,
as the federal tariff has played an important part in recent
provincial elections. Hon. W. F. A. Turgeon, attorney-gen-
eral, and Hon. George Langley, Minister of Municipal .af-
fairs, denounctxl the policy of protection, and advocated the
adoption of the farmers' platform. Hon. Mr. Turgeon is the
most prominent member of the Martin government. Twice
has the Saskatchewan legislature adopted unanimously what
is practically a free trade resolution. In 1911, after the
reciprocity pact was announced, the two parties joined hands
in its endorsiition, and also demanding that the freedom of
trade be further extended. Again last session the Tory
remnant in the legislature supported a government resolu-
tion of endorsation of the farmers' free trade policy.
Hon. M. Turgeon quoted these as evidence of the un-
animous demand in Saskatchewan for fiscal reform. After
the report of the Hou.se of Commons cost of living com-
mission on the textile trade was published, and a further
investigation ordered by the court of commerce, the Saskat-
chewan government appointed .1. F. Frame, K.C., to review
the evidence. Mr. Turgeon quoted from the interim report
of the ill-starred court of commerce to substantiate his con-
tention that the duty enhanced the price. This report was
made just previous to the resignations of Jlessrs. O'Connor
and Murdock, and it states that the abnormal profits were
due in a considerable degree to the high protection given the
textile trade. Hon. Mr. Turgeon wished to know when the
inquiry would he continued and completed. Sir Henry Dray-
ton .>!aid until the authority of the court of commerce was
eataldi.slu'd by the privy council it would not continue that
inquiry, but that the tariff commission would do so, and
he would arrange for a special session at which the Saskat-
chewan government could be represented.
In Brandon, representatives of the farmers urged that
the tariff was n burden on the farm. Farmers of Manitoba
are demanding a reduction of the tariff rates on farm neces-
sities, J. L. Brown, president of the United Farmers of Mani-
toba, told the commission. Mrs. J. H. Wood, of Oakville,
Man., president of the I'nited Farm Women of Manitoba, in
a statement read, outlined the privations suffered by the farm
women. In a survey made recently she said that the 18 farm
homes visited are existing on necessities, without luxuries in
any shnpe or form.
Evidenrr Reviewed in Wlnnipen
In Winnipeg the farmers and manufacturers summarized
their arguments already presentee). Both Norman Lambert,
secretnrv' "f the Tanndinn rnnncil of ARTienUiirp, and Mr.
Bristol, ■ .....,., , ^ . Canadian
Mnnuf: ilions of
the an: ners an<1
low-tariff u.in un the one side .u.d by ii.«iuif;uturers and
protectionists on the other. The case of Mr. Norman Lam-
bert before the countr>' was strengthened by the appearance
of Premier Norris to fell the commission how the Manitoba
l.rtri'lnt'iro bnd pnssrd nnnnimouslv. nn two different occa-
M •• - ■• .,,j reduc-
per cent.
'•n to the
^loUier (ouiiliy <.>( all tunlT concessions given other coun-
tries, and the gradual reduction of the duties against her
until they disappeared in five years, or as quickly as pos-
sible; unrestricted reciprocal trade in natural pi-oducts with
the United States along the lines of the 1911 reciprocity
agreement; the placing on the free list of all foodstuffs and
agricultural implements; the obliging of all protected cor-
porations to publish annually a statement of their turnovers
and earnings, and a public hearing before a special parlia-
mentary committee of every claim for tariff protection.
To bolster Mr. Bristol's case came also T. R. Deacon,
president of the Manitoba Bridge and Iron Works, who said
he would "quit while the going was good" if protection were
taken off his products, and F. A. Gemmel, mayor of Selkirk,
who wanted industries in his municipality, especially one
insulation company, which might give a partial market to
western wheat straw. Edward Parnell, chairman of the
prairie branch of the Canadian Manufacturers' Association,
also rendered aid with a long and exhaustive consideration
of the income tax collections in various countries to show
that in Canada all direct taxes on income in the aggregate
were obtaining as much as they reasonably could.
Iron and Steel Bounty
At Fort William, the boards of trade of this city and
of Port Arthur urged a bounty on all Canadian iron ores
mined and marketed. The Port Arthur Board of Trade said
that at least 50 cents a ton would be necessary to secure this
desirable result; the representative of the various owners
of iron mines wanted seventy-five cents, and the Fort Wil-
liam Board of Trade representatives say that anything less
than one dollar a ton would be of little use in inducing pro-
prietors of iron mines to work their properties. All agreed
that the bounty should be paid to the producer of the iron
ores, and not to the smelters, pointing to the failure of
former attempts to get the iron mining industry on its feet
by such moans. At present the iron industries of Canada
import annually two and a half million tons of raw ore from
the United States, or 96 per cent, of the iron ore utilized
in the Dominion to-day. Production of the iron ore in the
United States is cheaper than in Canaia because all the
ores being utilized there are what is known as "merchant-
able" ores, while the low-grade iron ores of Canada need
"beneficiation." A duty on the imported raw material is
inadvisable because it would work a hardship on the smelters,
which use several grades for mixing purposes to get the
best results and which would, therefore, have occasionally
to get American ores in any case.
Sir Henry Drayton was evidently not convinced of the
advisability of giving at present tlie bounties asked for.
Canadian industries can get cheap supplies ' of the
American ores, and in view of the fact that former iron
bounty schemes had failed to establish the industry, be ques-
tioned every witness closely as to the cost of production in
Canada, lentrth of freight haul and the values of the ores
in the principal fields.
How Steel City Has Grown
Ir Sault Ste. !\Iari<- the iron and steel industry was
the principal subject discussed. A memorandum presented
by the local Bo:.rd of Trade by ,1. Hussev was largely a
repetition of that presented by the Port .Arthur Board of
Trado in flat it fmpba.'ized the advisability, from a national
and local standpoint, of developing the Canadian low-grade
ores by moans of bounties. It differed mainlv. however,
in that the Sault Sto. Marie experts feel, as the Fort Wil-
liam represent.itive did, that 50 cents a ton is not enough,
and that anything l?s^ than $1 ■ ' ,,„tv would be of
no use.
October 22, 1920
THE MONETARY TIMES
iiiiiiniiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiii
illllllllllllllllllliilllllllllllinii;:
The Ogilvie Flour Mills
Company Limited
Balance Statement, 31st August, 1920
ASSETS.
Cash
Accounts and Bills Receivable, after making provision for bad and doubtful
debts
Stocks on hand of Wheat, Flour, Oatmeal, Coarse Grains, Bags and Barrels
Dominion of Canada War Loans and other investments
TOTAL ACTIVE ASSETS
Investment for Pension Fund
Real Estate, Water Powers and Mill Plants in Montreal, Fort William, Win-
nipeg and Medicine Hat; Elevators in Manitoba, Saskatchewan and Al-
berta; Property in St. John, N.B., and Ottawa; Stable Plant and Office
Equipment.
Goodwill, Trade Marks, Patent Rights, etc
LIABILITIES.
Accounts Payable (including provision for Dominion Government Taxes to
date) •
Provision for Bond Interest and Dividends to date
TOTAL CURRENT LIABILITIES
Officers' Pension Fund
First Mortgage Bonds
Capital Stock— Preferred ?2,000,000.00
do. Common 2,500,000.00
Rest Account 2,500,000.00
Contingent Account 2,500,000.00
PROFIT AND LOSS ACCOUNT—
Amount at credit .31st August, 1919 ?1,244,516.64
Profits for the year from all sources, including Investment In-
come; and after payment of Bond Interest $959,065.90
LESS— Dividends 690,000.00
269,065.90
$1,513,582.54
$ 1,508,505.44
1,345,268.95
435,101.23
6,552,978.26
$ 9,841,853.88
430,049.40
5,798,891.70
1.00
.?1 6.070,796.10
$ 1,877,990.79
395,250.00
$ 2,273,240.79
433,972.77
2,350,000.00
11,013,582.54
$16,070,796.10
Approved on behalf of the Board:
C. R. HOSMER,
H. S. HOLT,
Directors.
To the Shareholders:
We have audited the books of the Ogilvie Flour Mills Company, Limited, at Montreal, Fort William,
Winnipeg and Medicine Hat, for the year ending 31st August, 1920, and have obtained all the infor-
mation and explanations we have re(]uired; and wc certify that, in our opinion, the above Balance Sheet
is properly drawn up so as to exhibit a true and correct view of the state of the Company's affairs
according to the best of our information and the explanations given to us and as shown by the books
of the Company. CREAK, GUSHING & HODGSON,
Chartered Accountants.
' 261
awumiimiiiiiiiiii
THE MONETARY TIMES
Volume 65.
W. C. Franz, president of the Algoma Steel Corpora-
tion, when appealed to, advanced the opinion that consider-
able development would take place with such a bounty paiil
to the miners. There is another interesting possibility which
has been advanced as an article of faith by steel men in
Port Arthur, Fort William and Sault Ste. Marie, to which
Mr. Franz also gave his adherence, and that is that further
prospecting of the iron ranges in Canada would bring to
light other deposits of merchantable free-milling iron ore
that can go to the blast furnaces directly without previous
treatment. He did not believe that the Helen Mine, now
worked out so far as the merctiantable ores were concerne<l,
was the only deposit in this region. The great steel plant
here had been started on that reasonable expectation.
Mr. Franz gave comparative statistics of population
and value of property in Sault Ste. Marie over a period of
twenty years, to show how the steel business had developed
it from a few thousands in population, with a total valua-
tion of property under $1,000,000, to a city of 21,000, with a
valuation exceeding $23,000,000. The plant rolled the first
rail rolled in Canada in 1902, the plant being built in 1901.
It now employed 8,600 men. It was a large contributor to
the customs revenue, as much of its machinery and raw
product could not be obtained in Canada.
OIL STRIKE AT FORT NOR.MAN
The following statement regarding the recent discover^'
of oil at Fort Norman, on the Mackenzie River, was made
on October 18th by C. 0. Stillman, president of the Imperial
Oil Co., Ltd.: "With reference to our well on the Mackenzie
River, the drilling machinery was moved in in 1919 and
erected in the fall. The drilling crew remained in camp there
all winter for the purpose of beginning work early in the
spring, and drilling operations have proceeded all this season.
On the 25th of August, at a depth of 78H feet, oil was en-
countered which flowed out of the 6-inch pipe for thirty
minutes, when the well was capped and shut in. Any esti-
mate as to the amount of oil this well would produce is only
a guess, as there was no tankage available and an accurate
test could not be made.
"We consider this an important strike, and, scientifically,
of much value. From a commercial point of view, however,
it is not of immediate value, as it will probably be years
before it can be made available in quantities for the use of
the Canadian market on account of its remoteness from any
refinery outlet. This well is situatc<l -Ht miles below Fort
Norman, 900 miles from the nearest calling point of a river
boat, 1,200 miles from the nearest railroad and L.'iOO miles
north of Edmonton, the nearest city, via the present route.
The only means of access to the location at the present time
is down the northern rivers, which will only float boats of
four to five-foot draught, and several rapids necessitate the
unloading and transporting of the cargoes overland and re-
loading on barges again. This precludes bringing oil up the
river in any quantities until more adequate transportation
facilities are provided.
"The modern scientific method of transporting oil from
remote oilfields to the nearest railroad points is by pipe-line.
It would be necessary to demonstrate by actual drilling and
production that there wn» a suflicionl quantity of oil to justify
the la>-ing of a pipe-line, which, in itself, would probably
cost fifty million dollars. There is another important clement
which mitigates very much against the commercializing of
any oil found in this territory; that is, the extreme cold,
which makes the rivers navigable for only three or four
months of the year. The extreme cold in this Arctic region
would also mitigate very largely against the handling of this
oil in the winter time. With these facts in mind, it must
be realizeil that to render the oil from this .\rctic region
connncri-ially accessible would prove very costly, and the
prohlom will require great study before any means can be
devise<l of getting the oil out to compete with crudes from
other centres of production."
NEW MONTREAL FINANCIAL HOUSE
Eastern Canada Securities, Ltd., is the name of a new
firm organized in Montreal to carry on business as real
estate and business brokers, specializing in pulp and paper
lands. C. F. Graham is president and J. Churchill secretary-
treasurer. A "Financial and Investment Review" is being
published, the first number, for September, being a special
pulp edition.
INSTITUTE OF COMPANY SECRETARIES
At the first open meeting of the Canadian branch of
the Chartered Institute of Secretaries of Joint Stock Com-
panies and other Public Bodies, held in Montreal on October
11, an address on "The Aims and Objects of the Chartered
Institute of Secretaries" was delivered by Mr. William Wat-
kins, J. P., F.C.I.S., of London, England, past president of the
institute. Mr. Watkins was introduced to the audience by
Mr. William Maclnnes, A.C.I.I., A.C.I.S., chairman of the
newly formed Montreal branch, who stated that Sir Arthur
Currie had been pleased to accept the presidency of the
branch and that Dr. J. A. Nicholson, B.A., registrar of Mc-
Gill, and Mr. Watkins, the lecturer, had been elected vice-
presidents.
Mr. Watkins, after giving an account of the inception
and progress of the institute in England and its branches in
the British Isles, said that the great increase in the number
of joint stock enterprises in recent years necessitated the
training of secretaries to undertake professional secretarial
duties in connection with these companies. When the insti-
tute was started in Great Britain men were found in secre-
tarial positions who were not qualified in company law, etc.,
to render eflicient service to the directors and shareholders
whose interests they were there to guard. In Great Britain
one found to-day that no self-respecting company was with-
out a member of the Institute of Secretaries as its secretary
and a chartered accountant as its auditor. The public now
demanded that the affairs of companies in which its money
was invested must be in the hands of trained professional
men. Mr. Watkins instanced the work of the institute in
England in promoting uniformity in the transfer of shares
in joint stock companies. He explained that some years
ago each secretary had his own ideas in this regard, and
that stockbrokers and others were much perplexed in com-
plying with each individual secretary's requirements, but by
the compilation and issue of a standard text-book entitled
"Secretarial Practice," published by the institute, uniformity
had been attained, and that this text-book had since become
the standard authority on the subject. The speaker pointed
out that with the co-operation of prominent secretaries in
Canada the work of the institute would be beneficial to the
public at large, and that within a few years the institute
would become established as a useful body of expert opinion
as had the parent organization in Britain, many of whose
members had been called upon from time to time to give ex-
pert evidence before Royal Commissions in matters aflFect-
ing secretarial practice. Mr. Watkins expressed his satis-
faction that Sir Arthur Currie had seen fit to accept the
presidency of the Canadian branch, remarking that his great
service to his country and the Empire had won the admira-
tion of all members of the institute in Britain.
At the conclusion of Mr. Watkins' address the meeting
was thrown open for discussion, and Mr. Maclnnes. the
chairman, explained in answer to questions that it was the
intention of the local council to form a students' society, as
the institute had provision for registered students, and also
to arrange with existing educational authorities for courses
to be held to enable students to study for the professional
ex.iminations of the institute, which will be held from time
to time at McGill University. Enquiry forms would be issued
to all those who desired to ascertain their eligibility for
membership.
October 22, 1920 THE MONETARY TIMES 29
JiiiiiiiiiiiiiiiiiiiiiiiiiiMUMiiniiiiiiMiiiiiiiiiiiniiiiitiiiiiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiitiiiiiiiiniiiiiiiiiiiiiuMiiMiiiniiiiiiiiiiiiiiinniiii^
I CHARTERED ACCOUNTANTS \
^iiiiiiiMiiiiiMiiinniiniiiiiiiiiiiMniiMiiiiiiiiiiiMniiiiinniniiiiiiiiiiiiiiiHiMiMiiiiuiiiiMniiuiiniiiiniiiiiiiMiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiir
Baldwin,
Dow &
Bowman
CHARTERED
ACCOUNTANTS
OFKICKS AT
Edmonton
.
Alberta
Toronto
Ont.
CHARLES D. CORBOULD
Chartered Accoantant and Auditor
ONTARIO AND MANITOBA
648 Somerset Block. Winnipeg
Correspondents at Toronto. London. EnR,.
Vancouver
l-Istablished 18
W. A. Henderson & Co.
Chartered Accountants
508-509 Electric Railway Cbamberi
Wionipeg, Man.
i "Ormlir" We
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Specialist on Taxation Problems
Bank of Toronto Chambers
LONDON - ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 ConiederatioD Life Building
Winnipeg
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:-
HAMILTON
WINNIPEG
CLEVELAND
Hubert Reade & Company
Chartered Accountants
Auditors, Etc.
407-408 MONTREAL TRUST BUILDING
WINNIPEG
SERVICE
Thome, Mulholland, Howson & McPherson
CHARTERED ACCOUNTANT?
3420
TORONTO
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRIGGS k CO.
Cli.irltrcJ Accountants. AuJtIors.
Trustees. LiauiJators
Winnipef, Toronto, Saskatoon, Moose Jaw,
Montreal, New York, London, En(.
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Tclcphont- Main 7014
LUMSDEN BUILDING - TORONTO, CANADA
F. C.S. TURNER & CO.
Ch.irtcred Accountant.
TRUST & LOAN BUILDING. WINNIPEG
CLARKSON, GORDON & DILWORTH
Merchants Bank BIdg.. IS Weliinaton Street We.t
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
RUTHERFORD WILLIAMSON k CO.
(./i.ir/crcd /(ccoi<«r.ni(.«. Truiltetand
Li^uiitut'trs
86 AoBLillDB Stkkbt East TOHONTO
604 McOiLL Buiiurso. .MONTKEAL
Cable Addre»s-'\Vll,l.CO."
Keprcscnlcd at ll«Iif.ix. St. ,hihn. Winmtw*.
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
THE MONETARY TIMES
Volume 65.
EFI E(T OK I.NCOUI'OKATION ON CONTKACT
Whfn I'arty Kni-w I'arlnorship was to be Incorporated,
(iinlrart Cannot be Enforced Unless Ratified by
Company
WHERE an agent enters into a contract with one of the
members of a partnership for the sale of poods on a
commisston basis with full knowledRe of the fact that
the partnership is shortly to be incorporated as a limited
company, and continues under the contract after the forma-
tion of the company without the contract being ratified by
the company, the members of the partnership are only liable
for commissions earned before such company is incorporated.
This is the substance of the Alberta Supreme Court's recent
judgment in the case of Power v. Edmonton Lumber Ex-
change.
The facts of the ca.se were that the defendants Cavan-
augh and Nierengarten carried on business in partnership
as lumber merchants under the name of the Edmonton
Lumber Exchange, from the 22nd to the 2(!th of August,
1919, on which latter date one Shore was admitted as a memr
ber. The partnership agreement which was entered into when
Shore came in recites that the original members, Cavanaugh
and Nierengarten were at its date taking out letters of
incorporation and intended to carry on the business as a
limited company as soon as the same could be incorporated,
and it expressly limited the term of the partnership until
the incorporation could be effected. On September (>, 1919,
while this partnership was still subsisting, and before the
company was incorporated, Cavanaugh entered into an agree-
ment with Power in the name of the partnership under
which Power undertook the sale of coal, lumber and other
products in Manitoba and Saskatchewan on a commission
basis. He earned commissions under this agreement in
re.spect of which a balance of ?68.i..i5 remained owing to
him. He alleged that it was the partnership that owes him
this money, and he, therefore, sued it and its two original
M.embers for the same.
.\greament Hound Partners
Justice Walsh in his judgment says:
"The larger ((uestion is whether or not any personal
liability is imposed upon the defendants under it. The
agreement shows upon its face that the plaintiff was to
operate on behalf of the company that was then in process
of incorporation, and which was to have the same name as
that of the partnership with the addition of the word
'Limited.' It is in the. form of a letter signed in the partner-
ship name per Cavanaugh, and addressed to the plaintilT,
which begins as follows: 'Pursuant to our conversation and
verbal agreement . . . you will operate on behalf of the Ed-
monton Lumber Exchange, Limited, in the City of Winnipeg,
etc. The only thing in the document that seems to impart
any personal liability on the part of the firm is that in which
it 8ny«, 'We agree to pay you .">0c. per thousand feel on all
lumber sold . . .;' but this is counteracted by the con-
cluding sentence, which says, 'in connection with the other
commodities such as .shingles, posts, etc., that your commis-
sion on same will be one half of the net profit received on
same by the company.' "
"It is said for the plaintiff that the defendants could
not, by their contract, bind n non-existent company, and the
company could not. upon coming into existence, adopt the
contract thus made for it. and the defendants therefore made
themselves personally liable for the plaintiff's commission
for which he could not in law hold the company."
Implied Contract at Leant
"In such case as this, the plaintiff, if pressing his
claim against the company for commissions earned after
its incorporation, would not be bound to prove an express
contract on the part of the company to pay for the same.
The mere fact of the seri-ices being performed by him and
accepted by it would raise on implied contract on its part
to pay him what those services were worth, so that if the
contract now sued upon had never been entereo into, I
should say that simply by the rendering and acceptance of
his services he could have held the company liable on a
quantum meruit, and in all probability the basis of compen-
sation fixed by the contract would have been accepted in
determining what those services were worth."
"If, in this case, the plaintiff's right to recover from the
company depended solely upon the contract made with him
by the defendants, there would be a great deal of force in
the contention that, as that contract never was and could
not be made legally binding upon the company, liability
for the plaintiff's claim must rest upon these defendants.
But when the company's liability in no sense depended upon
this contract, I cannot see how this principle can be invoked
against these defendants. For the commissions earned be-
fore the incorporation, I think the defendants are liable,
but they are more than paid for by the $50 payment made
by them. For the commissions earned after the incorpora-
tion, I am unable to hold them liable."
PROBATE OF VERBAL WILL
For the first time in the province of Quebec, and pos-
sibly for the first time in Canada, the Superior Court on
October 14 sanctioned the probate of a verbal will. Mr.
Justice Surveyor, however, by written order thereon, stated
that it was not to stand as a precedent. The petitioner was
George Hamilton, who asked the court to grant proof of the
last will and testament of his son, 2nd Lieut. Douglass Regi-
nald Hamilton, as contained in the following words uttered by
the young soldier on the eve of his departure for the war in
November, 1917: "If I am killed or die on active sei-vice, I
leave everything to you, father." He was killed on January
23, 1918.
OWNERSHIP OF PROPERTY BURNED
The .Alliance -Assurance Company is appealing in the
Quebec Court of .Appeal from a lower court judgment con-
demning it to pay $7,.50O on a policy of fire insurance to
James F. Mcl.ear. The policy was issued in respect to a
building belonging to .McLean at Cowansville, Que. The
property was destroyed by fir- and appellants ask for re-
versal of the judgment on the ground that it was in error in
holding that respondent was owner of the insured buildinj.'
It was urged that, as the building was under construction at
the time of the fire, it remained the property of the contrac-
tor until completion. To find that respondrnt had an inrur-
nble interest in the building would be, it was argued, in viola-
tion of aiticle 2571 of the Civil Code and statutory rendition
19a ijf the policy.
U\NK NOTE.S REDEEMED AT DISCOUNT
A. (',. Hudson, accountant, of Toronto, is suing the Roval
Hank for ?.'<,121. In November last the plaintiff made two
deposits amounting to S:U.4(iO. and made up in part of Royal
Hank bills, with the defendants in Toronto, and later was
notifiod by the bank that they were debiting his accounts with
J3.121. exchange on Royal Bank bills he had deposited. The
bills, he alleges, were stamped "Trinidad," and as a result of
being charged up with the exchange he avers that he had to
make a further deposit of S3.12.5 to meet obligations he had
incurred. He sues for the amount of the exchange debited to
his account. The defcn<lants aver that the bills were stamped
"Payable at Port of Spain, Trinidad," where thev have a
branch, and where they would have been accepted at par. At
the time the plaintiff made his deposit in Toronto the ex-
change was against Trinidad, but by an error the bills were
taken at par. Later they claim the plaintiff agreed to pay
the exchange. Hudson alleg.s that on other occasions the
bank had accepted similar bills from him at par. and bv ^o
doing had waived any rights to claim exchange.
October 22, 1920
THE MONETARY TIMES
iSIIIIIIIIIlllllllMMIIIIIIIIIIIIIMIMIIIIMIinillllinMIIMIIMIIIItlllllllHIIIIinillllllllllllllllllllllMIIIIIUIIIIIIIIIIIIIIIIIIMIIIIIIIIMIIIIIIIIIIIU
I REPRESENTATIVE LEGAL FIRMS |
7iiiiiiiiiiii>iiiMiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiitiiiiiiiiiiiiiiiiiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiniiuiiiiiiiiiiiiiiiiiniiniiiiiiiiii
BRANDON
KILCOUR, FOSTER & McQUEEN
Barriitcrt, Solicitors, Etc., Brandon, Man.
Solicitors for the Bank of Montreal The
Royal Bank of Canada- Hamilton Provident
and Loan Society. North American Life
Assurance Company.
LETHBRIDGE, Alta.
Conybeare, Church & Davidson
Barristers, Solicitors, Etc.
Solic tors for Bank of .Montreal. The Trust
and Loan Co of Canada. British Canadian
Trustee.. &c.. »c.
C. F. P. Conybeare. K.C.. H W. Church. M.A.
R. R. D.avid50n. LL B
Leihbridse - - Alta.
PRINCE ALBERT
COLIN E. BAKER, B.A.
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal BIdg.
CALGARY - - ALTA.
W.P. W.Lent Alex. B..Mackay, .M.A.LL.B.
H. D. Mann. M.A.LL.B.
LENT, MACKAY & MANN
BarrUlers, .■^ollcllora. Notarleit. Etc.
MS Grain Hxchange Bldg . Calgary. Alberta
Cable AddrtBB, 'Ltnjo." Western UnionCode
Solicitors for The Standard Bank of Canada.
The Northern Trusts Co. Associated Mort-
gage Investors, frc-
Hon. Sir James Lougheed, K.C. K.C.M.G..
R. B. Bennett. K.C, J. C. Brokoviki. K.C
A. M. Sinclair. K.C. D. L. Redman, H. E.
Porster, H. D. McAlpine. O. H. E. Might. L.
.«. Roberts. 'Cable Address 'Loughnett ■)
LOUGHEED. BENNETT & CO.
Barristers, Solicitors, Etc,
Qarence Block. 122 Eighth Avenue West
CALGARY. ALBERTA. CANADA
J. A. Wright. LL.B. C. A. Wright. B.C.L.
WRIGHT &WRIGHT
Barriiten, Soliciton, Sotariei, f Ic.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. A. C Rutherford. K C.
P. C Jamieson. KC. Chas
S. H. -McCu.iiR Cecil Ruth
LL.U.
H. Grant
rforJ
RUTHERFORD. JAMIESON
& GRANT
Barrittert, Solicitors,
Etc.
514-18 McLeod Bldf. Edmont
on. Alberta
JOHNSTONE & RITCHIE
Barristers, Sulicitori, Notaries
LETHBRIDGE Alberta
MEDICINE HAT
t',. I-. H. LoM..
LL B
J. W. Sl-EIOHT. H A,
LONG
&
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B
arriKera, etc |
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HAT
■nd BROOKS, Alia.
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Grayson, Emerson & McTaggart
Barristers, Etc.
Moose Jaw - Saskatchewan
NEW WESTMINSTER
JOHN W. DIXIE
liarrister and Solicitor
405 Weslminster Trust Building
NEW WESTMINSTER, B.C.
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
C.illcd to Ontario U.ir imu. .Sew York Bar IKKJ
ELLISON. ELLISON a^ FRASER
II,.-, itroHlltiK), New lurk
ELLISON, GOLDSMITH* ALLEN
■>-,l »»r.| lUtlh "I.. >e« l.irU
The Monetary Times
will be sent you for four months on
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REGINA
A. L Gordon. K C
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Gordon, Gordon, Keown
and Collins
BarritteTM, Snlicitort, &c.
Aldon Building, REGINA, Sask.
Solicitors for Imperial Bank of Canada
SASKATOON
C L Ut Kii . H A H M W,vKKLlNa
DURIE & WAKELING
Barrljler-. aud .>*ollrllor«
Solicitors for the Bank of Hamilton. The
Great West Permanent Loan Co. The
Monarch Life Assurance Co.
Csnaila Balldinx Sanhaloon, Canada
.Major J.McAughey.O.H.
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
W. J. Bowser. K C H L. Held. K.C
D. S.Wallbridde A. H. Douglas J G Gibson
BOWSER, REID, WALLBRIDGE
DOUGLAS & GIBSON
Barristers, Solicitors, Etc.
Solictors (or Bank of M-ntreal (H.ink ol
British .North America Branch)
Yorksliirc Boililiot. S2S Sermoor Si.. VincoiiTer. B.C.
VICTORIA
A H
(K.C
Member
lia. AIhe
isl, C..I
UC\LOI' K H. .M. lOOT
for Alberta) Member of Manitoba
of Nova SCO and ftriti-^h ColuniUa
rl.i and Bnt. Hus
umbi:i H.ir'.
DUNLOP &
FOOT
Nota
Vie
Barristers. Sol
ries and Com
B12-«i:i Snvwnrd
ori«. Br^li.h Coliim
icilors
missioners
Bide.
hin. Cnnnd™
WK SliLl.
Chauvin,Allsopp & Company, Limited
FARM LANDS
And other good property. EDMONTON DISTRICT.
VALUATORS
Ground Floor, McLeod Building - Edmonton. Alta.
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
Port Arthur Shipbuilding Company to Manufacture Pulp and Paper Machinery— Norwegians Investi-
gatin;,' Krilish Columbia Timber Resources— Capital may be Forthcoming from that Country for Invest-
ment on the Coast— Holland Co-Operative Society Canvassing Canadian Market for Flour and FoodstuflFs
T>ECAUSE of the great growth of the pulp and paper in-
■L* dustry at the head of the great lakes, the Port Arthur
Shipbuilding Co. -will undertake the manufacture of pulp and
paper machinery. All classes of grinders, wet-machines,
chippers, digestors and heavy paper-making machines will be
manufactured. The following statement was made in Port
Arthur, Ont., by P. G. Chace, vice-president of the company,
in regard to the new policy: —
"In view of the pulp and paper business making such
favorable progress at the head of the lakes, and with the
resources in the way of wood behind this production, we be-
lieve that the time is now opportune to enter into the manu-
facture of pulp and paper-making machinery. In arriving
at this decision, we have been prompted and guided by some
of the most successful leaders in the pulp and paper industry,
and through their assistance we were able to secure the
services of probably the best known and ablest engineers and
desigTiers in North America.
"The acreage, floor space in our shops and facilities in
the way of equipment, as contained in our plant, are most
favorable for the manufacture of the heavy and complicated
types of machinery and equipment necessary for the success-
ful manufacture of pulp and paper. In addition to our pre-
sent foundry facilities, which include the casting of iron and
brass, we have now under consideration and hope soon to
start the installation of an electric steel furnace of ample
capacity to not only supply our own needs, but the require-
ments of the surrounding country as well. With the oppor-
tunity at hand, and the amount of business already assured
us, our organization will be increased six hundred to a thous-
and men within a year's time. The type of labor required
for this work is of the highest skilled class.
"A similar instance of just such a condition as ours is
recalled by reference to one of the largest shipbuilding com-
panies on the Atlantic coast, located in the United States,
who, a number of years ago. decided to enter into the manu-
facture of pulp and paper machinery as a side issue to their
enormous shipbuilding program, and this company to-day is
probably the best known and largest manufacturer of high-
grade paper machinery in the world. The organization re-
quired on that work has doubled that required for the ship-
building industry in their plant within a few short years.
"Uur shipbuilding program, we are very glad to report,
has received a new impetus through the just recently secur-
ing of another new contract similar to the last type which
was started on account as a stock proposition, but which was
Bold recently to a well-known operator. While the price at
which thi.x boat was sold is low, the work will ser\e to keep
our men employed. With the contracU now under way—
namely, the S.ftOO-tone two deck inlf water type vcs.scl for
the Department of Marine an! ' ' which will be ready
for launching within a few and the .t.OOO-ton
single deck lake and ocean tyi keel of which will
be laid shortly, we are assured of t.l««dy work for fully an-
other year. In addition, certain negotiations now under way
have reached a favorable stage on new contracts, and wc
hope to be able to announce the signing of same in the near
future."
Ixioking for Britioh Columhin Timber
H. T. Bull, a N'onveginn. prominent in the lumber in-
dustry of his native land, while in Victoria recently, made
the statement that Europe is looking to British (olumbia
to supply its timber needs, especially for big timber, and
that owing to the prevailing scarcity of the latter class of
lumber over there and the high prices now prevailing he-
c.Tiiso of the tremendous demand necessitated by the war.
there will be ample capital available for developing the vir-
gin timber resources of British Columbia.
Europe is hungry for lumber, Mr. Bull stated. The Nor-
wegian supply of big stuff is either exhausted, or what is
left is held by certain interests, so that lumbermen there
have to look elsewhere for their supply. Russia at present
is quite out of the question as a source of supply, and even
were the present political conditions there settled, most of
the forest areas are not accessible. Chile, Mr. Bull said,
is making a strong bid to interest European lumber interests
in her lumber resources, the chief of which are in Southern
Chile, but the timber there is not equal to that grown in
British Columbia.
If the plans of Mr. Bull and his associates prove pro-
ductive of results there will be extensive development work
carried on, and, undoubtedly, he stated, more Norwegian
capital will be forthcoming. In view of the prevailing high
prices in Europe — prices that will, he believes, be maintained
for some years to come — it is possible to manufacture here
and ship to Europe on a profitable basis.
Fort William By-Law Ratified
An agreement between the Fort William Pulp and Paper
Co. and the city of Fort William, Ont., has been ratified by
ratepayers. In addition, two other by-laws, one for extend-
ing the street railway to the mill site and the other for build-
ing a road, have also been ratified. Particulars of the com-
pany's operations were given in these columns some time
ago. The company expects to have its plant in operation
by January, 1922.
By acquiring further timber limits in the Ottawa Valley,
the Riordon Co., Ltd., has rounded out its holdings in that
region. The limits purchased cover 1,100 square miles, and
are situated tributary to the Quinze River, Northern Quebec,
adjacent to the limits already owned by the company.
Purchase of the property, which was formerly ONvned by
M. J. O'Brien, includes a valuable undeveloped water power
on the Quinze River, capable of development to over 100.000
horse-power.
Holland Interested in Canada
Representing the Netherlands Co-operative Society, G.
A. J. Mirrer, director of that organization, is at present
visitmg the principal centres of this continent, including
Montreal, Toronto, Chicago. Minneapolis, Kansas and others.
Mr. Mirrer's present visit has been undertaken with a view
of canvassmg the markets of Canada and the United States
as a prospective purchaser of flour and foodstuffs in America,
for distribution through their co-operative stores to the mem-
bers of the co-operative organization, who embrace with the
Rotterdam group, with which Mr. Mirrer is more directly
associated, about five hundred societies distributed through-
out the little kingdom, with sales approximating sixteen
million guilders, or approximately seven million dollars a
year.
While Mr. Mirrer is not inclined to confine his hopes of
being able to do business in Canada, within specific limita-
tions, owing to the discouragements discernible in the pre-
>-Blent rates of exchange, and the debatable range of prices
which the war has given rise to in the essential commodities
of life, he intimate.1. while in Montreal recentlv. that he
was not unsanguino of being able to do some business here
as a re.sult of his investigations in the country. His main
Idea IS to endeavor to establish direct business relations with
the markets on this side of the water, to facilitate the work
of their co-operative organization in the purchase of wheat
and flour and other foodstuff supplies.
October 22, 1920
THE MONETARY TIMES
33
British Northwestern Fire
Insurance Company
Head Office
TORONTO
J. H. Riddel. E. C. G. Johnson.
Managing Director. Secretary
F. K. Foster.
Winnipeg. General Agent for Western Provinces.
The policies of this Company are guaranteed by Eagle,
Star and British Dominions Insurance Company, Limited, ot
London, England.
ASSETS' EXCEED S93.000.000
Applications for ascncia arc cor.iiallv invilc.l.
LONDON
GUARANTEE AND
ACCIDENT COY.. Limited
Head Office for Canada - Toronto
nployers' Liability. Elevator. Contract, Personal Accident. Fidelity
Guarantee. Internal Revenue. Sickness. Court Bonds.
Teams and A.itomobile.
AND FIRE INSURANCE
The
Western
Mutual Fire
Insurance Co.
Head Office
Didsb
ury. Alberta
Presidetit
-H. B. ATKINS,
M.L.A.
PARKER n. REED.
LARGEST ALBERTA
M.J nag
ng Director
FIRE MUTUAL
CANADIAN STRONG PROGRESSIVE
/V iv<jff:E:iN,sy:i?iifJ?;ee««!!e*!flW
FIRE INSURANCE
AT TARIFF RATES
Merchants Casualty Co,
Head Office : Winnipeg, Man.
The most progressive company in Canad::
pcrvision of tnc Dominion and Provincial
nbracing the entire Dominion o( Canada.
Ope
nsu
SALESMEN_NOTE !
' lOur accident and health policy is the most liberal protection offered
for a premium of $1. no per month and up.
Covers over 2,.S0O different diseases.
Pays for Life if disabled through Accident or
Illness.
Fifty per cent, extra if confined to hospitr 1.
Pays for Accidental Death. Quarantine. Sur-
geon Fees for nvinor injuries, also for death of
Beneficiary and children of the Insured.
Good Opening* for Live Agent*
Eastern Head Office, Royal Bank BIdg.. Toronto
Home Office Electric Railway Chambers,
Winnipeg. Man.
Palatine Insurance Company
LIMITED
OF LO.\DO.\ EXCLAMJ
Capital Fully Paid $1,000,000
Fire Premiums, 1919 3,957,650
Total Funds - 6,826,795
ere 'S the further Gu;
ny. Limited, whose
Head Office ; — Canadian Branch
COMMERCIAL UNION BUILDING, MONTREAI
W. S. JoPLiNo. .Manager
foronfo Office—^O KING STREET WEST
JONBS & Proctor Bros., Limitbd, Agents
Automobile— 1 92Q"Season
Policies to cover ANY or ALL motoring risks
ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
82-88 Kin? Street East, Toronto
DOUBLE INDEMNITY BOND
TWICE AS MUCH LIFE ASSURAN' f
IF DEATH RESULTS FROM ■'
im S\MK i'kKMIUM
FARMERS'
FIRE & HAIL INSURANCE COMPANY
FIRE, HAIL AND AUTOMOBILE INSURANCE
Head Office, CALGARY. Saskatchewan Office, REGINA
.M. P. JOHNSTON'. Managing Director
Great North Insurance Co.
Head Office. I.O.O.K. BLOCK CAI.C.AKY. ALBERTA
THE COMPANY WITH A RECORD
OFFlCliUS
President and Manager ... W. J. WALKBR. Big.
lat Vice-President
2nd Vice-President. Ho
3rd Vice-President
ary
K. MclNNIS. Esq.
. ALBX. C. RUTHERFORD. K.C.
Hon. P. B. LBSSARD. M.L.A.
J. T. NORTH. Esq.
AVDITORS
Edwards. Moman A Co.
DIRBCTORS
Hon. Alex. C.Ruttie
ford. K.C-. a. A
Hon. P. E. Ltssard.
Edward J. FreMTl.
F.«q.
J. K. .Mclnnis.
W. J. Walker. Esq.
Geo. H. Roas. k.o.
THE MONETARY TIMES
Volume 65.
As indicatiriK the extent to which the co-operative move-
ment has developed in Holland, Mr. Mirrer said that they
had over :iOO co-operative bakeries located all over the
country, and that the society was engaKed in the operation
of factories for the manufacture of wooden shoes, clothinK,
soap and other articles. The clothing factory was established
this year for the especial purpose of combatting the ex-
orbitant prices engendered by the war, and was operating
with every augury of success.
Donu'stic Canadian Kcindccr
The plan to increase Canada's food supplies by the
domestication of reindeer and musk ox in the Far North,
which was first broached to a gathering of parliamentarians
by Vilhyalmur Stefansson, the session before last, promises
soon to be given a trial. Hon. Arthur Meighen, who was
minister of the interior at the time, brought about the ap-
pointment of a commission to inquire into the feasibility of
the explorer's proposal, and it made a favorable report. Dr.
J. G. Rutherford, of the Rjiilway Board, was the chairman
of the commission, and Stefansson and J. B. Harkin, of the
Dominion Parks Branch, were its other members.
That the plan has now reached the stage where its com-
mercial feasibility is about to be given a test is indicated
by the incorporation of the Hudson's Bay Reindeer Company,
Ltd., with headquarters at Winnipeg, and a capitalization of
$•200,000. The company proposes to ac(iuire domestic or wild
reindeer, musk ox and herbivorous animals of all kinds, and
to transplant them to grazing areas in the north, for which
a lease has already been secured.
Demand for Farm Implements
A spirited demand for farm implements in Europe has
caused the Massey-Harris Co., Ltd., Toronto, to engage about
."iOO additional men during the past few weeks, and the com-
pany is working hard on these orders from overseas. The
company has just completed the purchase of five more acres
of land adjoining the Weston plant.
Through the efforts of the Chamber of Commerce the
Canadian Fulton Motors Company will locate a plant at St.
<atharincs. Onl. The Marathon Company's factory has been
purchased and will be enlarged to suit the requirements of
the motor company. About 1,000 persons will be employed,
it is stated, and the company will build its own motor bodies
there.
The Compton Co.. of Providence, R.L, has notilied the
town of Cowansville, Que., that it is definitely decided that
f.hey will locate a branch of their manufacturing firm in this
town. An agreement has been reached whereby they agree
to locate an<l establish a plant on a plot of ground of some
twelve acres.
Langslow, Ltd., of Cobourg, Ont.. recently incorporated,
and associated with the Langslow Fowler Co., of Rochester,
N.Y., expect to have their plant in operation by December
or .January next. School and household furniture will bo
manufactured, and the factory, power plant and drying kilns
to be utilized in the carrying on of the new industr>- are
nearly completed and are in the process of equipment. The
initial capital investment in the plant and equipment is
$17R,000. to be further supplemented next spring. The com-
pany anticipates doing a I^ominion-wide tr.ide, and will, as
soon as it is physically able, underUke to secure export
business.
(DIJAI.I OKI. .'^HII'MKNTS
The following are the .shipments of ore, in pounds, from
Cobalt Station for the week ended October Ifith:—
Kerr Uke Mine. fiLHT; McKinley Dnrrngh, lOO.ftTfi;
Hudson Bay. t>.'?,74fi; Mining Corporation of Canada, 3ftl.04'2:
Nipi.^sing Mine Co.. 307.307; total. 024.208. The total since
.lanuary 1st is 21,710.658. or 10.8n5.3 tons.
NEW INCORPORATIONS
Copt land Flour Mills. Ltd.. $2.000,000— Union Mining and
Milling Co.. Ltd.. ?1.000.000— "Nobility Chocolates" Co.,
Ltd.. .$1.000.000— Dyrob Steel (Con.solidated),
Ltd.. SI. 000,000
THE following is a list of companies recently incorporated
under Dominion and provincial laws, with the head office
and the authorized capital: —
Ottawa. Ont.— Best Boxes, Ltd., $250,000.
Thurso, Que.— J. and G. Black, Ltd., $75,000.
Hilliir. B.C.- Wells Lumber Co., Ltd., $60,000.
<;u*lph, Ont.— Mercantile Brokers, Ltd., $100,000.
Brantford, Ont.— .Johnson Bros. Co., Ltd., $.500,000.
Delora. Ont.— Delora Chemical Co., Ltd., $500,000.
Prince Rupert. B.C.— R. H. Company, Ltd., $10,000.
Victoria. B.C.— J. W. Potter Mill Co., Ltd., $20,000.
Niagara Falls, Ont.— Kinzinger-Bruce, Ltd., $250,000.
Roberviil. Que.— Levesque and Gienard, Ltd., $20,000.
Midland. Ont.— Copeland Flour Mills, Ltd., $2,000,000.
South >linto, N.B.— Welton & Henderson, Ltd., $75,000.
Lwndar. Man.— The Consolidated Farmers, Ltd., $100,000.
Diirviil. (iue.— Strathmore Country Club. Inc., $15,000.
St. Jerome, Que.— Canadian Whiting Co., Ltd., $200,000.
Bothwell, Ont.— Hamilton-Bothwell Oil Co., Ltd., $300,-
ooo.
Kelowna, B.C. — Chapman's Motor Transfer, Ltd., $20,-
000.
Escott Centre. Ont.— Escott Centre Cheese Co., Ltd.,
$5,000.
New Westminster, B.C. — Westminster Cartage Co., Ltd.,
$25,000.
Grand Forks. B.C. — Union Mining and Milling Co., Ltd.,
$1,000,000.
Quebec, Que. — The Canadian and Foreign Securities
Corp., Ltd.. $99,000.
Windsor. Ont.— Burrowite Explosives, Ltd., $80,000;
Windsor Shoe Polish. Ltd.. $40,000.
St. Thomas. Ont.— "Nobility Chocolates" Co., Ltd.,
$1,000,000; Canadian Edison Phonographs. Ltd.. $500,000.
Winnipeg. Man. — Upton's. Ltd., $25,000; Dominion
Furniture Co.. Ltd.. $20,000; Car Owners' Supply, Ltd., $20.-
000; Surgical Supply and X-Ray Co., $50,000; Great West
Investments, Ltd.. $100,000; Metropolitan Land Co.. Ltd.,
$50,000; P. N. Gray and Co., Ltd., $100,000; Hudson's Bay
Reindeer Co., Ltd., $200,000.
Vancouver, B.C. — The Standard Furniture Co., Ltd.,
$150,000; Banner Logging Co., Ltd., $25,000; Vancouver
Supply Co.. Ltd.. $15,000; Wood Pulp By-Products, Ltd.,
$100,000; Clinton Oil and .Mining Co., Ltd., $100,000; .Abbott
Bowling Club. Ltd.. $10,000; Franklin Garage, Ltd., $10,000;
Veterans' Recreation Club, Ltd., $10,000.
Toronto. Ont.— All-British Signal Co., Ltd., £80.000;
Hertel-Harshman Co., Ltd., $150,000; Smoot Service Corp.,
Ltd., $2:i0,000; Dyrob Steel (Consolidated), Ltd., $1,000,000;
R. T. Scott Co.. Ltd.. $100,000; A. L. McCredie. Ltd.. $.?00,-
000; .Stollery-Tensdall, Ltd., $100,000; Kates. Ltd.. $40,000;
Athol Gardens. Ltd.. $200,000; Langley Park, Ltd., $100,000;
Canadian Pigments and Chemicals, Ltd., $150,000; McDonald
Remedies. Ltd., $40,000.
Montreal. Que.— Montreal Children's Hospital. $100,000;
Wilbros. Ltd.. $49,000; Farm Exchange, Ltd., $20,000; Bel-Air
Display Stand and Trunk, Ltd.. $20,000; St. Denis Building,
Ltd.. $1,000,000; Fe.leral Tobacco Co.. Ltd.. $20,000; Gay
Stores. Ltd.. $200,000; Ira Sesscnwein. Ltd., $30,000; S. Hird
and Co., Ltd., $250,000; Overseas Export Co., of Canada,
Ltd., $100,000; Dunwin Motors, Ltd., $100,000; Automotive
Engineering Co., Ltd., $500,000; Canadian Salines, Ltd.,
$100,000.
.1. C. Macintosh and Co.. maritime investment brokers,
who formerly occupied temporary offices at 207 Hollis St.,
Halifax. N.S., have moved to their new building at 171 to 173
Hollis St.
October 22, 1920
THE MONETARY TIMES
36
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $112,000,000.00
ASSETS .... 24,600,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful days lor life insurance salesmen,
particularly North Americarj Life men. Our repreaeota-
lives are placing unprecedented amounts u( new business.
All 1919 records are being smashed.
■' Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
.Address E. J. Harvey. Supervisor of Agencies.
North American Life Assurance Company
• SOLID .A.S THE CONTINKNT
HOME OFFICE - TORONTO, ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE WINNIPEG, MAN.
Assurances, New and Revived - - - $1,211,447.00
Premiums on same . . - - 4.^,890.00
-Assurances in Force - - - 3.458.939.00
Total Premium Income - 109.586.03
Policv Reserves - • • 211.497.00
Admi'tted -Assets - - 296.430.62
Average Policy . - - - - 2.237.50
Collected in cash per 81,000 insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director Winnipeg.
1870 OUR GOLDEN JUBILEE 1920
One Hundred Per Cent. Increase in Five Years
The .Mutual Life of Canad.> is celebrating its jubikc year by " rounding •'
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MAHAN-WESTMAN, LIMITED
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Dr. J. W. .MAHA.S J.A. WBSTMAN
President Managing Director
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Humboldt's Financial Positidn to he Investigated -South Vancouver in Satisfactorj'
Condition. Aocordinji to Commissioner (;illesj)ie— Kitchener and Kingston Assessment
Increased— Victoria Fox Sale not up to Expectations, Although Better than Last Year
A F'L'BLIC enquiry will be held at Humboldt, Sask., on
■^*- October 28th by the Local Government Board as to the
financial condition of the town. The bondholders, who are scat-
tered through different parts of Canada and the United States,
recently held a meetinK in Toronto and decided to send repre-
sentatives to the enquiry. The petition of the bondholders
states that the town has failed to retire its debentures, or
debenture coupons, which became due and were presented for
payment, and failed to make payment of outstanding amounts
for capital expenditure. A statement on the town's financial
affairs, as at December 31st last, shows debentures out-
standintr of ?442,585, and debenture interest unpaid $52,597.
In addition, there were bills payable to the bank amounting
to $50,168. As against these immediate liabilities of slightly
over $100,000. the town had available in cash on hand and
in the bank $28,693.
.■According to Hon. George Langley, minister of muni-
cipal affairs for Saskatchewan, the financial condition of the
town has been seriously affected by the fact that, although
a railway town, the railway itself has not been taxable.
Should the Dominion government, as holder of the majority
of the stock of the Canadian Northern Railway, waive its
right to immunity from taxation, the town would in a very
short time be on easy street.
It is said that the town is in a position to meet its obli-
gations in full and still continue satisfactorily. This fact
remains to be seen at the enquiry.
.Montreal, Que. — A large increase in salaries for the
public works department is shown in the 1921 budget. For
1920 the figure was $1,379,59;?, while for 1921 the figure is
$1,937,567.
Kitchener, Ont. — Assessment valuation for 1921 is placed
at nearly $18,000,000 by the city assessor, as compared with
$14,807,202 last year. It is also pointed out that the assess-
ment valuation in 1910 was $6,780,334.
King.«ton, Ont. — The value of assessable property in the
city, according to City Assessor .Moore, is $15,999,782 for
1921, an increase of $1,914,627 over last year, or 13 per cent.
The property exempted totals $6,005,030, or $126,580 more
than last year.
Ilnmillon, Ont. — According to Geo. H. Gooderham. chair-
man of the Toronto and Hamilton Highway Commission,
Toronto, Hamilton and Etobicoke arc the only municipalities
which have paid their share of the cost of the highway.
There is still a substantial amount of unpaid apportionments,
and, n» the commission is in need of the money, action will
lie taken immediately to secure payment.
Ontario.— Writs for $36,103 against the town of Mimico,
$21,189 against the Port Credit Corporation, and $79,264
against Toronto To\vn8hip have been issued by th: Toronto
and Hamilton Highway Commission. The amounts are the
shares of the co.st of building the highway, alleged to be due
from the three municipnlities.
Victnrin. H.C — At the ronrlusion nf the city's tax sale
Instweekthef ■ $81,302.
One hundred . f by the
city out of a]', . ' 'y going
at the straight upset price without cump<.-tilive buhling. The
average price paid per lot was more than $460.
At the tax sale in May and June of last year the total
revenue was $41,268, one hundred and forty-eight parrels
being sold. .-Mthough this year's sale was more successful
than last year's, civic officials were expecting better r(>sult«
than there were.
nrantrord. Ont.— According to a statement of the Brant-
ford Municipal Railway Commission, frross receipts of the
strcet railway amounted to $120,419 and gross expenditures I
$98,307, leaving a gross gain of .?28,112. After deducting '
therefrom interest on bonds and debentures, and making pro-
vision for sinking fund, the net gain for the eight months '■
was $2,584. From the net gain are deducted $1,666 for depre-
ciation and $800 for injuries and damages, leaving a small i
surplus of S117. The depreciation is for pavement, and not
on rolling stock. The rate of operating expense has gone up
from 73.32 per cent, in 1919 to 79 per cent, this year.
Hamilton, Ont. — When the war broke out the city inaugu- I
rated a soldier insurance scheme, insuring the lives of all the
soldiers of the city who went to the war. For some time
risks were held by two large American insurance companies,
but the cost of maintaining this scheme was found to be a
serious di-ain on the city as enlistment grew with the progress ;
of the war, and as a final result a civic insurance fund was '
created, under the management of the soldiers' benefit fund ;
commission. The duties of this commission are nearing con- .
elusion, and the total cost of the scheme to the city has
amounted to approximately $700,000.
Sault Ste. Marie, Ont. — Assessment in the city, accord-
ing to F. E. Crawford, assessment commissioner, w-ho has just
completed the figures for 1921, amounts to $16,000,000, an in-
crease of $1,000,000. Mr. Crawford said: "For a number of :
years the building assessment in this city has been very low, |
and it was the policy of the assessors to assess the land for
full value and the buildings for about 50 per cent, of their
value.
"A general increase of 20 per cent., approximately, has
been made on the assessment of all buildings in the city. This
was necessary, as the total assessment on buildings appeared i
too low in the government statements as compared with other '
cities and was affecting to some extent the city's credit in ?
the selling of debentures, etc. The net result of this higher
rate will mean an increase of about $1,000,000, and if the
city's expenditures for 1921 are about the same as 1920, there
should be a corresponding decrease in the tax rate; that is,
the tax rate for the ensuing year should r,ot be over 35 or 36
mills."
Verdun. Que.— .^n increase in taxation from $1.45 per
$100 of assessment to $1.67, which is provided in the 1921
budget, has been rejected by the council. Some of the mem-
bers think it too high, while others consider it too low. There
is n special realty tax. providing for old annual deficits, of
54 >i cents, so that the rate would be $2.21i6.
The estimates of receipts for the year are $555,535, to
provide for an estimated expenditure of $534,620. The re-
ceipts are mostly made up of realty taxes, general and
special, on a valuation of $15,000,000 of property, and $65,000
of water taxes and $45,000 for electric light charges. The
summary of expenses submitted shows that $231,500 and
$32,432 ts required by the finance department, and the various
other <lep.irtments require the balance, works, police and
fire, waterworks, $52,500, practically equal to estimated re-
ceipts, and $62,100 for the electric light plant, or about $17,-
000 more than the estimated receipts.
For the year just closing there will be a small deficit,
a satisfactonj- state of things, explained Mayor Leclair. when
contrasted with the large deficits of the past few years, and
due to the fact that the council last year had had "the moral
courage to impose the special taxes. Interest on the bonds
alone will cost $168,580, and because most of them are pay-
able m New -iork there is an additional $11,420 wanted for
exchange charges.
South Vancouver. B.C.-A letter from F. J. Gillespie,
commissioner, to The M^.t^tary Times reveals very satisfac-
October 22, 1920
THE MONETARY TIMES
C.P.R. BUILDING
TORONTO
flOUSSER VVOOD /• ° G)M PANY
INVUTMCMT BAMKCKS
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
STOCKS AND BONDS
Canadian. British and American Securities
Bought and Sold on all Principal Exchanges
Private wire connections with New York and Toronto.
OSLER, HAMMOND & NANTON
WINNIPEG
We are interested at all time.s in pur-
chasing large or small amounts of high-
grade Provincial, City. County, Town.
Township, and Village Debentures.
Harris, Forbes & Company
INCORPORATia)
C. p. R. Building 21 SL John Street
MONTREAL
TORONTO
V+'e offer the
8 Cumulative Sinking Fund Preferred Shares
DOMINION CHOCOLATE COMPANY, LiMITED
Price: $100 per Share
Carrying a bonus of 30& in Common Stock.
Prospeclui allt be sent upon rcQual.
T. S. G. PEPLER & CO
INVESTMEST BROKERS
106 BAY STREET. :-: TORONTO
C. H. BURGESS & CO.
Government and
Municipal Bonds
14 King Street East
Toronto
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
INDUSTRIAL SECURITItS
300 Nanton Building, Winnipeg
BONDS
CANADIAN
GOVERNMENT
MUNICIPAL
J. F. STEWART & CO.
10« BAY STREET
TORONTO - - CANADA
38
THE MONETARY TIMES
Volume 65.
tory financial conditions in tho municipality. Mr. Gillespie
says: —
"The total receipts from our tax sale, including redemp-
tion.s and sale of lots from the time we began to advertise
until we dosed, amounted to $170,000. Since the tax sale of
191!), some 790 lots, amounting to $110,000, have been re-
ileemed. This is an encouraging feature, and goes to show
that the people are anxious to retain their property.
"The total amount of current taxes paid up to the end
of September amounts to approximately $666,000, or 75 per
cent. The amount received on account of arrears, including
the tax sale, was $27-1,000, or a total for the year to date,
that is, to the end of September, of $910,000. Collections on
all accounts to the end of September amounted to $1,10:1,878,
as against $677. l.")! for the same time in 19I.H. In 1919 there
was a tremendous amount paid in on account of aiTears and
not so much current taxes as this year, but the total for that
year was $1,106,007 (for nine months).
"On the whole, things are very encouraging in South
Vancouver, and no money for the running of the municipality
has been borrowed for eighteen months, and a few days since
I paid $67,370 on our indebtedness to the bank, which in-
debtedness was created in 1918 and the beginning of 1919
for the purpose of consolidating the floating debts of the
municipality. I also bought £10,000 sterling debentures»
issued by the municipality in 1911 and payable in fifty
years. I secured those on a discount of 7% per cent.,
so that the indebtedness of the municipality has been
reduced during the past couple of months by approximately.
$117,000."
Government and Municipal Bond Market
Ontario Treasury Bills Placed — Halton County Gets Good Price— American
Bond Market is Strong— Winnipeg Will Borrow Half Million for Housing—
Alberta Savings Certificates Outstanding Over Two and a Quarter Millions
THE sale of $3,000,000 of province of Ontario six-months
treasury notes to >Emilius Jarvis and. Co. and the
Home Bank, reported below, was the chief feature of the
bond market this week. Halton county sold an issue of
debentures at a price on a basis of about 0.53 per cent.,
which is considered good. Earlier in the month Lincoln
county paid about 0.75 per cent, for its money. The price
received by Niagara Falls, which was on a basis of about
6.77 per cent., indicated no change in previous market ten-
dencies this month for Ontario municipals of that kind.
The American bond market continues to be strong and
active. Liberty bonds advanced slightly, while the general
list of government and municipal bonds showed a gain.
Coming OrroringK
The following is a list of debentures offered for sale,
particulars of which have been given in this or previous
issues: —
Tenders
Borrower. .\mount. Rnte*;!'. Maturity. close.
Kane S.D., Man. ... 22,000 O'i 20-instal. Oct. 23
British Columbia . . 1,000,000 6 3-years Oct. 25
Kcntvillc. N.S $ 30,300 6 25-ycars Oct. 25
Brockville, Ont. . . 37,500 6 10-instal. Oct. 29
Thorold. Ont 20.000 6 10-years Oct. 30
Powassan, Ont 8,000 C>'/4 20-instBl. Nov. 1
Wntford, Ont .'>2,000 r,i^ .30-instal. Nov. 1
Coroiui S.I).. Man. — Tend'-rs will be received until Oc-
tober 2Sth, 1920. for the purchase of $2,500 7 per cent. 20-
instnlnu-nt debentures. J. M. Dybeck, secretary-treasurer,
Pine Ridge, Man.
Kane S.D.. Man. — Tenders will be rereivH until Oc-
tober 23rtl. 1920. for tho purchase of ? per cent,
debentures; $1,000 of principal and n 'do each
year until 1919 and $3,000 and intcresi ; . Id. L. C.
Wilkin, secretary-treasurer, Knnc.
Watford. Ont. — Tenders will be received until 2.30 p.m.
on November 1st. 1920. for the purchase of $52,000 5^ per
cent. 30-insfalment dehenfures. the proceeds of which issue
will be used for installing a water works system. W. S.
Fuller, village clerk.
Hritixh Columbia. — The province is oskinK for tenders
until noon. October 25lh. 1920. for the purchase of $1,000,000
6 per cent. 3-yenr bonds, payoble in New York and Canada.
Tlic proceeds of the loan will be u»e<l to provide funds for
loans to returned soldiers under the Industrial Act.
Debenture Notes
Westfield S.D.. Man. — On November 17th voting will take
place on the borrowing of $4,000 by way of debenture issue.
Kemptville. Ont. — A by-law will shortly be submitted tcb
voters, authorizing the raising of $25,000 for the building of
a new hydro distribution system.
Winnipeg, Man. — The city council will borrow $500,000
from the provincial government for the housing scheme.
Approximately 6H per cent, interest will have to be paid
by the city for the loan, while prospective builders will have
to pay the city 7 per cent, when borrowing from the city.
Windsor, Ont. — Favoring the increase in capital expendi-
ture account to allow extensions of the street railway system
in Windsor and adjacent municipalities, the Ontario Power
Commission will ask authority to sell another block of de-
bentures. When the necessary action has been taken by the
government the municipalities may then submit the plan to
the people.
Ottawa, Ont. — The city is now considering the purchase
of the Ottawa Electric Railway. According to the company,
a valuation of $5,200,000 has been placed on the system, but
the city will investigate the correctness of this report. If it
is possible to make a thorough investigation before Jan-
uarj- 1st. a by-law will in all probability hi submitted to the
ratepayers for the borrowing of the necessary money to take
over the system.
Drunihellcr. .Vila. — The town is protesting against the
action of the Provincial Board of Public Utilities Commission
in deferring approval of the debentures issue which the town
wished to make. The amount of the issue asked for was
$75,000 with which a new pumping plant and an extension
to the sewerage system were to be installed. The board de-
clined to approve the proposed loan, and now the town
authorities come back with a statement that the fire pro-
tection and sewerage are absolutely necessary, and that the
town can quite well atford them, since its assessment stands
at $000,000. with only $20,000 of indebtedness. It is claimed
that the serious losses in the recent fire were the result of
not having sufficient pressure in the water mains, and that
this could have been provided if the desired improvements
in the service had not been held up by the board.
London. Ont.— Money for payment on houses already
constructed by the London Housing Commission and for
further work will in future be raised by the city through
usual civic security market instead of borrowing from the
provincial or Dominion governments The commission is now
poses up to $600,000. The commission has already spent
asking the city to issue $200,000 of debentures, which will
brmi: the total appropriation of the city for housirig pur-
$400,000 of sums borrowed from the province, but in future
the province will merely stand as a guarantor of the bonds
and not the actual financier of housing appropriations. It is
October 22, 1920
THE MONETARY TIMES
6.30%
Until October 1st, 1940
Markets may come and markets may
go, but purchasers of Province of Sas-
katchewan 6% Gold Bonds to-day at
96.62 and interest are assured of 6.30';'c
for twenty years.
These bonds afford an excellent oppor-
tunity to dispense with the necessity
for frequent reinvestment. They also
guard against any changes in the
money market that may occur in years
to come.
Mail your order or \\'rite for par-
ticulars.
Wood, Gundy & Company
Toronto
Montrea
Winnipe
Canadian Pacific Railway Building
Toronto
Saskatoon
New York
London, Eng.
The Canadian Pii/p
and Paper Review
contains a most impressive and in-
terestinji survey of the industry as
well as a complete financial descrip-
tion of the various companies
engaged in it.
Every investor in Canadian Pulp and Paper
Securities should read it
White our supply lasts, we will send copies
free to those who enclose this advertisement;
hut you had hetter write for one promptly,
for inquiries are coming in very fast.
Royal Securities
^ CORPORATION
LIMITED
.VtONTI'EAL
TORONTO nxl.lKW ST. JOH N. iN.B.
WINNIP[-:0 VANCOUVER NEW YORK
LONDO.N. Ens.
W. L. McKinnon
Dean H. Pettes
commend the purchase of
VICTORY LOAN
MATURITY
1922 ..
1927 . .
1937 ..
1923 ..
1933 . .
1924 . .
1934 . .
PRICE
98 and Interest yielding 6
97
98
98
96J
97
93
38",,
00"i
.68%
.14%
.88%
.27%
.24%
Orders may be telcuhoned or IglcBr.iphud .it our expense.
W. L. McKINNON & CO.
McKinnon Building - TORONTO
Long Term Bonds
for Business Men
Yielding from G.ZS'?;^ to 7.25%
These bonds are the obligations of
old-established Cities and Munici-
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their debts promptly.
Full information on request.
W. A. MACKENZIE & CO.
CDlTMimrrW an. I Munu,pat Bondi
42 King St. West
TORONTO -:- CANADA
THE MONETARY TIMES
Volume 65.
also intcrestine to note, as pointed out by City Clerk Baker,
that the debtnturts to be issued by the city will bear interest
at C or more per cent., while the money secured under the
191'.) regulations drew interest at the rate of 5'- per cent.
Another $100,000 of work is predicted for 1921, brinfrini; the
city's investment in housing work to the $1,000,000 mark.
Saskatchewan. — The following is a list of authorizations
granted by the Local Government Board from October 2nd
to !)th, llli'O:—
Schools.— Perdue, $l,.'i00 8 per cent. 20-years annuity.
l.")-years 8 per cent, annuity: Hsuiatyn, ?4,.')00; Crainland,
.?r),800. 10-years 8 per cent, annuity: Rhyl, $4,000; Bay Island,
.'54,.'iOO; Churchill, $1,200. 10-years 8 per cent, instalment:
Columbia, $:},000: Gibson Creek, $2,000.
Rural Telephones. — 1.5-years 8 per cent, annuity: Vis-
count, $11,.')00; Eddy, $1,200; Arabella, $26,400; Winton Park,
$1,200; S.W. JtooEomin, $24,.')00; Montrose, $16,000; Adanac,
$;{,000; Martin, $l.:i00; Aldenbury, $2,4.''>0; North Springside,
$8,.">00; Willowmoor, $1,500.
Village.— Borden, $2,000 8 per cent. 10-years instalment,
for electric light.
The following villages will also borrow: Hubbard, $740
for street grading and $260 for sidewalks, 8 per cent. 10-
, instalments; Imperial, $2,000 for streets, 8 per cent. 10-
instalments; Kellield, $2,.')00 for various works, 8 per cent.
10-instalments; Howard, $800 for rink, 8 per cent. 10-instal-
ments; Canwood, $2,500 for street grading and sidewalks,
8 per cent. 10-instaIments; Meota, $3,000 for well-drilling,
8 per cent. 10-insUilments; Mossbank, $2,000 for fire pro-
tection, 8 per cent. 10-instalmcnts; Quinton, $2,000 for well-
drilling, 8 per cent. 10-instalments.
Fertile Valley R.M., $r>,0."0 for municipal office and
vault ill the village of Conquest, 7 per cent. 10-instalments.
Bond Sales
Hamilton Township, Ont.— The township has sold $7,:?00
10-year school debentures. It is stated that these are the
first securities ever issued by the municipality.
Halton County, Ont,— C. H. Burgess and Co. have pur-
chased $35,000 6 per cent. 20-instalment debentures at a
price of 05.26, which is on a basis of about 6.53 per cent.
.\lberla. — The province is asking for tenders for a bond
issue of $1,000,000 ten-year 6 per cent., bids to bo received
up to November 1st. The money is required for telephone
construction. The bonds will be payable in New York and
Canada.
Winnipeg. Man.- .About $75,000 of the hydro-electric
bonds liavc been disposed of to date. A canvass of the city
and district is being arranged, and then it is expected that
'.here will be better results. A better demand from the rural
districts is expected in the future.
Alberta.— The amount of the province's saving certifi-
cates sold and outstanding at .September 30th, in20. ac-
conling to a statement by the ilcputy provincial treasurer to
//.,• Moi\ctnry Tinirs, was $2,240,580. Total sales of the 6 per
cent, domestic issue of bonds are now about $400,000.
County of Renfrew. Ont, — Tenders will bo received until
November 12, I'.'JO. for the purchase of $150,000 6 per cent.
20-instalment debentures, the proceeds of which will be ii-xed
foV good roads in the county. .Securities are dated September
27, 1P20, and are payable commencing September 26, 1021. —
R. J. Ronoy, county clerk, Pembroke, Ont.
Pcnticton, U.r.--The demand for the municipality's J35,-
000 G per cent, water debentures has not boon ns successful
as was expected. B. C. Braccwcll. municipal clerk, in a letter
to //i< Mo'ul^iry IKucs, states that further cfTorta for dis-
posing of the debentures are being withheld until crop re-
turns are in sight, when it is expected there will bo a better
demand. The initial offering was made at 90. to yield 6.85
per cent.
Ontario Some lemp,orary finnnc'"- « ■- .".inged by
the province this week when the Hon 'i. provin-
sial treasurer, privately disposed of - |>er cent.
tioasury bills, maturing in six months, tci (Kmilnis .lars-is and
1 o., Ltd., and the Homo Bank of Canada. These treasury
bills are payable in Toronto and- Montreal, are in denomina-
tions of $5,000 and $10,000, and are being offered at par.
This latest loan brings the total borrowings of the pro-
vince up to $33,800,000 so far this year, or approximately 63
per cent, of the total provincial borrowings for the whole
of 1019, or about 34 per cent, of the total provincial borrow-
ings this year.
Niagara Kails, Ont. — Wood, Gundy and Co. have pur-
chased $33,000 6 per cent. 20-instalment debentures at a price
of 93.91, which is on a basis of about 6.77 per cent. Tenders
received were as follows: —
Wood, Gundy and Co 93.91
A. E. Ames and Co 93.39
C. H. Burgess and Co 93.36
R. C. Matthews and Co 93.30
A. .Jarvis and Co 93.07
Saskatchewan. — The following is a list of debentures re-
ported sold from September 27 to October 2, 1920: —
School Districts.— Sunny Brae, $1,000 8 per cent. 10-
years, W. M. Patterson, Preeceville; Murphy Creek, $5,300
8 per cent. 10-years, Waterman-Waterbury Mfg.; Salvador,
$2,500 8 per cent. 10-years, H. J. Birkett and Co.; Nicklet,
$3,500 8 per cent. 10-years, Monarch Life Assurance Co.;
Younghill, $500 8 per cent. 5-years, J. R. Parken, Bulyea.
Rural Telephones. — 15-years annuity, 8 per cent.: $4,400,
R. O. Berwick and Co., Regina; Earl Grey, $12,000, W. L.
McKinnon and Co.; South Marj-field, $12,000, various pur-
chasers; Lenora Lake, $8,150, Monarch Life; Echo, $6,200,
R. O. Berwick and Co.; Kent, $600, town of Davidson, Sask.,
sinking fund.
Village. — Summerbury, $2,500 6 per cent. 10-years,
James Crozer, Summerbury.
In addition to the above, H. J. Birkett and Co., report
that they have purchased the following debentures: — $25,-
000 8 per cent. 20-instalments. of Semans S.D.; $6,500 7 per
cent. 10-instalments, of Elldridge Hill S.D.; $3,500 8 per
cent. lO-instalments, of East Bend S.D.
BOND DEALERS NOW STOCK EXCHANGE MEMBERS
Four Toronto bond houses, which recently purchased
seats on the local stock exchange, are now represented on
that institution as a result of elections held this week.
W. E. Wilder will be floor member for Wood, Gundy and
Co.. R. A. Daly for R. A. Daly and Co., A. G. Mackenzie for
W. .A. Mackenzie and Co., and A. C. Turner for Turner,
Spragge and Co.
Charles B. Cronyn, of the stock brokerage house of C. B.
Cronyn and Co., Jordan Street, Toronto, who has held a seat
for some time on the local exchange, has also been elected
a member.
EXCHANGE QUOTATIONS
Glazcbrook and Cronyn, exchange and bond brokers,
Toronto, report local exchange rates as follows: —
Buyers. Sellers. Counter.
N.Y. funds 10 7-16 pm lO'i pm
Mont, funds Par. Par. % to U
Sterling —
Demand $3.80 $3.81
Cable transfers . . . 3.81 3.82
Bank of England rate, 7 per cent.
New York quotations of exchange on European coun-
tries, as supplied by the National City Co., Ltd., Toronto,
as at October 21, 1020. follow: London, cable, 345%; cheque,
344\; Paris, cable, 6.51; cheque, 6.50; Italy, cable, 3.80;
cheque, 3.79; Belgium, cheque, 6.86; Swiss, cheque, 15.85;
Spain, cheque. 14.22; Holland, cheque. 30.80; Denmark,
cheque, 14.00; Norway, cheque. 13.70; Sweden, cheque, 19.70;
Berlin, cheque, 1.44; Greece, cheque, 9.95; Finland, cheque,
2.55; Roumania, cheque, 1.78; Poland, cheque, .40.
October 22, 1920
THE MONETARY TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7 Wo
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B. HALIFAX, N.S.
Western Municipal; & School
6% D^«,™!"?Es 7!%
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
CORRESPONDENCE
INVITED
UNION TRUST BUILDING
WINNIPEG
SUPERFINE
LINEN RECORD
may pass
lils, be han-
dled hyadn^tcn clerlts. be tiled,
and yet.al theci ucial momont.
carry into .t l-residcnls ctlicc
the suSgestion cpf yrur Com-
pany's dienity and -.tandirg— if
ii be of Superfine I inen Record
Awarded tfie Cold Medal.
Antwerp ISW: the Gold. Mtdal,
Chicago. IKM; and theflrand Prix. I':.ris IWln.
The Rolland Paper Co., Limited, Montreal
High (;,o,<r PopT .\fal:.,; , int. I,S82 -y^
Milli •> Si. Jerome. P.Q.. and Mont RoiUnd. P.Q. , X
It
Manitoba Finance Corporation Ltd.
Inyeslment Brokers, Financial Agents, Etc.
WiDDipeg, MaD.
Head Otticc
410-11 Electric RIy. Chambers
Phone Oarry 3S.V1
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all. its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba. Alberta Flour Mills, Limited
NIBLOCK & TULL, Limited
STOCK. BOND and GRAIN BROKERS
(Direci Private Wire!
Grain Exchange
Calgary, Alta.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Branches— SASKATOON A.ND CALOARY.
Canadian Managers
iNVBSTMHNT CUHI-QRATION OP CANADA, LTO.
London Office: 4 Or
at Winchester St.. K.C.
X
Vancouver District Property
Expert Estate Agents and Manat;'i»
Property Bought and Sold, Valued, Rented and
Reported on. Correspondence mvitcd.
WAGHORN GWYNN Co., Ltd. v.nco«v.r
Northern Securities, Limited
liSTAHMSHKI) !'««
G E N i: K A L FINANCIAL B K O K Ii K
Confidrnlial AJcicc on BrilUh Columbia InrrMlmmnli
.Member of .Mortgage and Trust Companies Association of British Columbia
S2S Pender Street W. VANCOUVER, B.C.
U. GEOROB HA.VSULD. J. P., Manager
MACAULAY & NICOLLS
INSURANCE OF ALL CLASSES
ESTATES MASACED
746 Hastings Street - VANCOUVER, B.C.
C. H MACALLAY
.1. 1', MCOLLS, .Not.iry I'lillil
P.
M. LIDDELL & COMPANY
Invcilmcnl Bankers. Fiscal Agents
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER,
B.C.
THE MONETARY TIMES
Volume 65.
Corporation Securities Market
Canadian Stock PricL-s Continue to Movi- Irregularly— Paper Issues Bearish Howard Smith to Issue
New Common to Shareholders on JJasis of One to Three OlTering of London Hotel Bonds Being Made
WHILE there was slightly more activity on the New York
stock market during the week ended October 20, and
prices tended to become a little stronger, the irregularity of
the past few weeks was still in evidence. Deflation in the
United States still continues in an orderly manner, and while
this movement is in progress it i.s only natural that the
stock market should remain unsettled. It is pointed out by
a prominent New York stock broker that the credit situa-
tion is far from being in a position to stand speculative
activities in the stock. While call money is compai-atively
easy, ruling around 6 and 7 per cent., this must not be taken
to indicate that the tight money period is over, as it is a
surface condition only and one which could be upset by any
substantial expansion in stock trading.
Canadian stocks also moved irregularly, with prices
chiefly downward, and at the close, on October 20, very few
issues were above the level set at the beginning of the week.
Closing prices, however, in a large number of cases, were not
the lowest for the week. I nterest v.-as centred chiefly on Atlantic
Sugar, in view of the prevailing conditions in the sugar
industry, and the weakness of that issue had an unsettling
influence on the market. The bullish sentiment in regard
to papers seems to have disappeared, and the movement of
those issues was very much in line with the general trend
of the market. A report from New York that pulp and
paper prices there had declined, was reflected in the prices
of securities here. Importations of newsprint from Sweden
and Germany to the United Stales are said to be arriving
in substantial volume, with the prices of the ^ European
market under those for domestic or Canadian grades. The
probability of paper exports from Sweden or Germany as-
suming considerable proportions for a long time to come,
however, is regarded in .Montreal as decidedly remote. With
the shortage of coal so acute in both countries, and with
present disturbances in that line likely to further enhance
the already greatly increased price, European competition
is not .tjiken as a serious factor in the situation.
Ford Motor stock, which was recently listed on the Tor-
onto exchange, gave a remarkable exhibition of strength,
rising as high as 380.
l.,ondon Hotel Bonds
Brent, Noxon and Co., Toronto, are offering $('>00,000
first mortgage 7 per cent., sinking fund gold bonds, of the
Benson-Hinos London Hotel Co.. Ltd., London, Ont., at par
and accrued interest. These bonds arc dated October 1, 1020,
and are redeemable *120.000 at the rate of $:?0,000 a vear,
from October 1. l!V2t>, to October 1, 10:^0. inclusive, and the
balance of $180,000 on Oiti>b."r 1. 1040. They arc cnllaldo
at the company's option upon nine weeks' notice, at any '.ime
on or after October 1. 1025, at par and accrued interest, an
in denominations of ?2.'iO. $.")00 and $1,000. and may be re-
gistered as to principal. Interest is payable half-yearly at
the Bank of Montreal, London, Ont.
The capitalization of the Benson-Hines London Hotel Co.,
Ltd., is as follows: Common stock, $500,000; first mortgage
7 per cent., sinking fund gold bonds, due 1940 (present
issue), $600,000; second niortgage 7 per cent., gold bonds,
due 1940, $400,000. The issue of first mortgage bonds is
secured by a deed of trust and mortgage, constituting a
first closed mortgage on the lands and buildings, which, it is
estimated, will cost one million dollars.
Howard Smith New Common
Directors of the Howard Smith Paper Mills, Ltd., at a
meeting held in Montreal, on October 19, approved of the
issue of $1,000,000 new common stock. It is planned to
issue shares to shareholders at par, carrying rights on the
basis of one to three.
The present capitalization of the company is $2,500,000
of paid-up common and $1,500,000 of paid-up preferred. The
preferred is an 8 per cent., cumulative issue, ranking up to
10 per cent., equally with the common stock, after 8 per
cent., on the common stock is paid. In addition there are
$800,000 6 per cent, 15-year first mortgage sinking fund
gold bonds outstanding.
Directors have also approved statements which will be
is-'ued to shareholders outlining the progress of the busi-
nosp. A nine months' balance sheet and profit and loss ac-
count is being prepared and will show earnings in the nine
months to September 30 at around $1,200,000, as compared
with $430,000 in the full twelve months last year, when
earnings of the common stock then outstanding were about
35 per cent.
The following companies, operating under Dominion
charters, have been authorized to increase their capitaliza-
tion:—
London Hosiery Mills, Ltd., London, Ont., from $60,000
to $160,000. by the issue of 2,000 shares of $100 each.
Becker Co. of America, Ltd., Halifax, N.S., manufac-
turers of wood pulp, from $100,000 to $650,000, by the issue
of 5,500 shares of $100 each.
Montreal Lumber Co., Ltd., from $100,000 to $250,000,
by the issue of 1.500 shares of $100 each.
Dominion Flax. Ltd., from $50,000 to $100,000, by the
issue of 500 shares of $100 each.
Frontier Lumber Co.. Lt<l., from $50,000 to $100,000,
by the issue of 500 shares of $100 each.
Ditchburn Pleasure Boats. Ltd., incorporated under the
laws of Ontario, with head office at Gravenhurst, has been
authorized to change its name to the Drt^-hburn Boats, Ltd.,
and to increase its cipital stock from $100,000 to $150,000.
by the creation of .".00 new preference shares of $100 each.
UNLISTED SHCIIRITIES
Alta. Pac. Oretn
Amts Holdcn Pell
Tire
rtbck Lake .
Can. Oil
Can. \Vc?tinshou!»e.
Can WivMlen^i
com
fint.
SI
com.
(W •
c."r.
<<1
T!l
prff
■•■
Quouiioi
Bid'
•hKl to The Mo
n. Jr.. «• Co.. Toronin
Kinn Bdwrard Hotel.com.l
..rs.
•■ - 'n-turersLir...
nil'.* p.. com.
I- Trust
Nor. Power.. 5*s
K.iv .7% pref.
, Ufc
Amer. Pulp ; «
N..rlh .SlarOil com. 4
...pref.' a.*
Nova Scotia Steel 6% dehi 70
Onl. Pulp 6"!i'
Page Hcner pre(.
Pantmo Tbeairee.com.
« I
Ask <
Bid
A9k
.W
1 Riordon . com. (new stk.)
49
SS
1 prcf. "
82
84.50
R. Simpson. 6% pref. xd.
70
75
StcrlinR Hank
112.50
102
StcrhngCoal com.
20
Toronto Paper 6's
K
89.50
Toronto Power. S's (192A)
83.50
87
Truet &■ Guar
67
72.50
(W.SO
t nitcd CiRar Stores pref.
1.70
2
W cstcrn Assurance
10
12. SO
Western Crocers . ..pref.
69
72
Whalen Pulp com.
32.50
98.50
pref.
68
October 22, 1920
THE MONETARY TIMES
We Offer
SCHOOL BONDS
Province of Alberta
Maturing 10 and 15 Ye
to yield
7 to 7 '4%
Wf Speciall]) Recommend these Bonds as Sound Invcslmenls
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto BIdg. Royal Bank Chambers
EDMONTON CALGARY
A Newspaper Devoted to
Municipal Bonds
HTHERK is piihlished in New York Cily a daily
and weekly newspaper which has for over
twenty-five years been devoted to municipal
bonds. Bankers, bond dealers, investors and
public officials consider it an authority in its
field. Municipalities consider it the logical
medium in which to announce bond offerings.
Write for free specimen copieM
THE BOND BUYER
67 Pearl Street New York, N.Y.
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Members of Winnipeg Real Estate Exchange. Winnipeg Stock Exchange
George Edwards, F.C.A. Arthur H. Edwards, F.C.A.
H. Percival Edwards W. Pomeroy Morgan A. G. Edwards
Chas. E. White T. J. Macnamara Thos. P. Geggie
O. N, Edwards J. C McNab C. Percy Roberts
A. L. Stkvens W. H. TnnMr>.ON
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TOKO.NTO ..
CALGARY ..
VANCOUVER
WINNIPEG ..
MONIREAL
CORRESPONDENTS
HALIFAX. N.S.
LONDON. ENG.
CANADIAN MORTG.AGE BUILX>ING
HERALD BUILDING
LONDON BUILDING
ELECTRIC RAILWAY CHAMBERS
McGlLL BUILDING
ST. JOHN, N.B.
COBALT, ONT.
NEW YORK, U.S.A
The Safest Investment
SOUND, active, industrial enterprises catering to big pub-
lic demand which benefit by national growth— make
the best and safest investments for money. We can sdvise
you of manv investments which pay good dividends and
have great future possibilities.
Chiefly among which is the issue of the Rubber Co. of
Canada.
Enioy the prosperity of the rubber industry.
Let us send you particulars.
R. M. HEFFERNAN & CO., Limited
/A K£S r.V/£.\ T BROKERS
HEAD OFFICE : 204 Jackson Building, OTTAWA
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
l'Miv.nn WiNBs lo Wl.V.MPr.G. CHICAGO. fOROMO.
MO.VTRKAL A.\0 NEWVORK
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense, any offerings also any British
Columbia Government and Municipal issues.
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C.
Victoria, B.C.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFEEK OLK COUNSEL AND ADVICE
Willoughby Sumner Limited
K.l<il.|..hr,l r*iOi
MciuLci. -jI the Winnipeg Grain Eichansc
Private aire to IVinnipcg. Toronto, Montreal, Chicafo
and iVcni Yorif
THE MONETARY TIMES
Volume 65
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
HUM ICItl- Mirk ■.iHli'il i>ii. .■mil.
'l-iutircs Mipplicd by HLBMm * Co.)
Nliirk> I
Abitibi PAP I
• pfd.i
Amcft Holdcn pfd.!
AsbestoM Corp
pW.
Atl.intic Sugar ;
HoMTclcphoni: |
UrasiliunT.L.* Power!
HC. Pi-h
Hrompton Pulp & P. ..'
CannJii Cement
•• . .pfd.
Can. Con
Canadian Cottons. pfd.
Ciin.tdianCar
■ ....pfd.
Salea Open | High ; Low i Clou
103 103) m
10370; IIM ' lltl) 84
Mi 103) 103 ' 102
1230 3f: 35l 35
•iS is: <53 j.W
Canadi.in Gen. Elec...l
Can. Loco
Can. Steamship. 1
• •■ pfd.l
" " Vot. Trusti.
Cnn. MtninR & Smcl — )
Dct. Ry»
Dor
89 I 90
'98( I 99'
iinu)n BridKe ■
l),.m, C.il pfd. .
Doir.ini.m Class
•■ . pfd.'
Dom. I'on pfd.
Dom. Steel Corp
..pfd.'
Dominion Textile 1
..pfd.;
Goodwins L»d 1
• pfd.,
Howard Smith |
• . ...pfd.
Hlllcrest I
Lake of the Woods..
..pfd.
Laurentidc
Macdonald Co
Mackay.. I
Mont. Cottons
91
2iR
85
■ 64"
85
"m"
40
86J
86i
II20{ is
85
425; BSi
651
ra
i:<fll
130
16
98
98 1
20
7.1
75
915
161
161
US
100
too
10
SS
.W
s
149
149
so
100
100
JMXM
110
no 1
100
30)
91 ;
pid.
Telegraph.
Tram Deb.
National Hrewerics.. . .
Ogllvic Hlour Mills pfd.
Otlaw;i L H.AP
Ont. Steel Prod
pfd.
PiTTi.irn
2000 70
4601 63
I 101
73i
iSl I 23{
96 98
81] 8,S
Dom. Can
Victory ttonds. 1^.
107)
1ll>.\ I UI..IL-Cuii<ini<c>l.
' Sales Open , High Low Close
Dom. Cottons
Dom. Iron
Dom. Textile A
B
Lake of Woods
.Montreal Power
.Montreal Fr deb
Naliiinal Brcwcr.es..
OkiK-k- Plour
Penmans
Price Hri.».
<J,iehc>. Ky.L. H.*P..
Sc.ti.i
ShiTwin.Williams...
Spanish River
Steel Cu. of Canada.
Waba-so Cotton
Wayngamnck P. & P.
Windsor Hotel
TOROKTO-Wrrk EndMl Orl. liOlb.
Slorks
Sales, Open High Low Close
Atlantic Sugar 2526 120 120
Abitihi 310 75 1 75
AincsH.ilden pfd. 15 55); 55)
Uarcelt.na I.V 4i ! 4t
Bell Telephone 2 103 ,103
Brazilian Traction. .. 1000 35) , 352
B.C. Fish :« 4S3 4.'i5
Burt. F. N 29 98 I 98
" pfd. 25 98 SS
Can. Bread 100 24 24
Canada Cement 25 60 60
Can. Gen. Elec 166 97 98)
. pfd. 1; 97 97
Canada Steamship .. . 110 633 633
pfd. 1281 76j I 76)
Canners 25 46 I 46
pfd. 40 81) ! 81)
Canadian PaciNc K 213 140 ; 141
Con Gas 38-130 130
Cn.wn Reserve I J
Dom Tel | SO sn
D.llilth .: .^ .«!
Fo.d Mol.ir
Loco.
MatkayComnan,.
.Maple Uaf lu U:; 14.:
• pfd. 20 94i I 94i
Monarch. pfd. ; '
\ S t:.r 25' 5 ' S
pfd.
25 30i i 3n| I 30)
pfd.
pfd.
pfd.
100 24)
sen] 108'
75; iiu 112*
355 54) Si)
6!.l
64)
1051 9 an , 9.50 9.40
112)
S£
641
^ I9< 191 ; 192 I9J
U 177 177 176) I76J
■rnKOyT»— Continued
Wnr Loan.s
Dom. Can.W.Loan. 1925
1931
1937
Victory Loan 1922 ....
I92J ....
Sales
7600
27300
14900
Open
92)
90i
91 J
High
92
9ft
92
Low
924
89
91
Close
92j
901
92*
1937
1
WIK.\IPE«— Week eiuletl Or4. ICIh.
Sales
Open
High
Low
Close
Victory Loan 1922
16000
98
96
96
98
■■ 1923
... .
'■ 19J4
:<8ono
97
97
97
97
■ 1927
300
9:
97
97
97
•• 1337
4500
98
96
98
"1^
" 1933
24200
96*
96*
■■ 1934
17800
93
93
War Loanl9;s
Western Grocers.. pfd.
Standard Trusts
36
112
112
W.C.F..M.CO
7
115
lis
KEW VUKK— Week ended Orl. liiUi.
Storks I Sales Open High
Canadian Pacific 27G00 I28J ' 127) I
Nova Scotia S.« Coal. 100 40 1 41
Bonds < ' !
Dom. of Can. 5"., 1921 88000 9SB
" '■ ■• 5j"u 1921 17000 ' 98) !
.V\, 1926 14000 ; 91) I
S)% 1929,31000, i 93}
5% 193r 27000 91
.Veto York Curb— I I I
British Empire 350' : 20 '
7% pfd.: lOOi 39 !
Canada Copper. .^
LODOX. Kng.— Week ende<l Oel,
«ov"l. si Mnn. Sales Open High Low Clou
Canada .3)%
... »"o....
" .... 3)"„ 1930 501.
•• .... 4% 1940-60.1
...4)'V. bds
Calgary 4i\. dob..
•■ .V'odeks...
Edmonton .V',. hds. 23~.^t
Hamilton 4 ,U!.
\fld.3j' I
4',- KtK
Ontario 4^0
t>ttawa4j%debs
Ouebec 4",. bds l8(iS..
4)%deb
" • 4"., 1934
" 4C\, Reg
Regina 4j"„ deb
Saskatchewan 4% 192:1
Sask.4'\,
Sask
74^
St. Cath.i
Vancoux »
S.Nancoi
0|H-«
dch
72)
■nllwiifs I
Nor.Pac.4\,gr.deb.S0' 67i
in. Nor. 4"„dch. 1939 5*
" 4% deb. 1934 82^
" 4Vdeb. 1930 94
<"■ Pac I 170;
■ 4% deb. ' 631
" 4% pfd.' ; S9i
T.P.Br. 4% I'd 1939. I
GT.P.3'\,bds I
P. 4'\, I9.« I I
G T P. . 4'S, deb. ....
Trunk 4'\>gaar
Trunk5\> 1st. pfd-. I
TrunkS^,2nd pfd. i
t.T Trunk 4% cons. . . I
Ont. A Quebec 5% deb .... I
P Gl East.4)-\,deb.'42 1
Ind.. rin., Kir. I
Can. Car6^, ' |
7% ■ I
Cin. Cement T% pfd . 1
C. W. Lumber 5% debs.
79]
82)
94
l-Oj
75)
ra
.S»i
60)
85
8.sf
6'M
6-'l
65)
65)
46)
47
55
56
41
41
29
30
56
57
76
77
80
80)
07
1071
113)
13)
13
1131
60)
61
23
123
46i
47
42
42i
n
October 22, 1920
THE MONETARY TIMES
EDUCATION'S VALUE TO INSURANCE MEN
J. B. McKcchnie Emphasizes Importance at Toronto Insur-
ance Institute Meeting — Employees Have Not
Responded to Efforts
IN his inaugural address as president of the Toronto In-
surance Institute, at the opening meeting held on
October 21, J. B. McKechnie, general manager of the Manu-
icturers' Lite, dwelt on the educational work of the in-
•itute, and expressed his regret that their plans in this
rtction had failed in the past. Mr. McKechnie returned a
Av weeks ago from a trip across the Pacific to Ha>vaii,
.ionolulu, Japan, China, Straits Settlements and other coun-
tries, where his company is doing business and where it
plans to extend its work. There is a good field in the east,
he pointed out, as the British and American companies are
t very active, and the standing of the local companies is,
.cnerally speaking, not high. The Insurance Institute has
arranged its regular program for the year, the addresses
covering lile, fire and casualty insurance. In addition to
Mr. McKechnie's address, C. H. Mitchell, Dean of the
Faculty of Applied Science of Toronto University, also spoke
at the meeting.
Mr. McKechnie pointed out that the Institute had low
'iiipleted twenty-one years of work, during all of which
Ljiular meetings had been held, and one of the primary ob-
jects, the diffusion of insurance knowledge, had thus been
attained. Dealing with the training and education of em-
nloyees, he said: —
"The business of insurance is a peculiar one. The mer-
:iant receives from his customer a sum of money for which
he gives an article worth approximitely what is paid for it.
The bond dealer delivers to his client a bond which is sup-
posed to be worth approximately what it is sold for, and
the value of which on the average will not vary much from
its original price. You deposit money with a bank and in
••cturn receive its guarantee to repay tnis amount, increased
jssibly with interest. An insurance company, however, will
•ceive say $100, for which it may undertake to pay $10,000
ri the happening of a certain event.
Technical Knowledge Necessary
"It is this divergence between what the company receives
aid what it becomes liable to pay to the assured that not
only makes the business of insurance so interesting, but
which also requires wise judgment and technical knowledge,
'f the companies are to be soundly administered.
"Then again, more and more do we hear of certain
:idertakings being referred to as 'public service corpora-
jns.' Whether the various branches of insurance come
inder this heading or not, most of us like to feel that our
• mpanies will be administered in such a manner that our
I'llicyholders will be given their insurance protection in
he most efficient manner possible and at the lowest cost
■ mpatible with safety and a widespread diffusion of ths
inefits of insurance. To do this our companies must have
tlicient organizations, both in the field and in the head office,
lid this is impossible unless the individuals in these organi-
itions have a sound theoretical as well as practical know-
ledge of their business.
"I do not wish to be understood as thinking that tech-
nical education is everj'thing in the insurance business. There
I are outstanding examples, not only in insurance, but in other
I branches of human activity, where men, thoroughly trained
theoretically, have lacked the judgment and practical busi-
•Kss capacity for success. Again, there are men in the field
iganizations of our companies, who, without much theo-
retical knowledge of the business, have made pood because
hey possessed the quality of salesmanship. These excep-
ons, to mv mind, however, prove vei-j- little. The former
• ave failed in spite of their knowledge, and tlu- latter have
uoceeded in spite of their lack of knowledge. I believe that
iiie companies more and more recognize that a theoretical
knowledge of the business is an asset to any man, whether
he be employed in the head office, the branch office or the
field."
FINANCIAL CElNTUES OF SASKATCHEWAN
Kegina and .Moose Jaw Have Growing Business in the South —
Crops Not Up to Early Estimates and Business is Duller
(Statf Correspondence.)
Moose Jaw, Sask., October 20, 1920.
BUSINESS conditions in Regina this fall are fairly good.
This capital city of the greatest wheat-growing pro-
vince in Canada is year by year assuming greater import-
ance as a commercial and financial centre. Many of the im-
portant houses of eastern and western Canada have large
branch warehouses in Regina, and the mail order business of
the R. Simpson and Co. and the T. Eaton Co., located
there, have assumed large proportions.
Many of the important life insurance companies, trust
companies, also loan and mortgage companies, have their
headquarters for Saskatchewan in Regina, such as the Can-
ada Life, who have a very modern, up-to-date office building
there, the Huron and Erie Mortgage Corporation, and a num-
ber of others who have larger or smaller branch offices. In
addition, Regina is the head office of the Saskatchewan Life
Insurance Co., the Saskatchewan General Trust Co.. and the
Saskatchewan Mortgage and Trust Corporation, as well as
several other financial institutions. A new bank is in course
of organization at Regina, to be known as the Great West
Bank of Canada, so that as a financial centre Regina is
making headway.
The final result of this year's crop around Regina is
only fair, and not as good as was first anticipated. In well-
informed circles, instead of a one-hundred-and-forty-million-
bushel crop in Saskatchewan, it will not go much over one
hundred million bushels. Collections are rather slow at
this date with loan and moi-tgage companies, but should
show a big improvement in the next few weeks. There is a
good demand for money, and the companies, including the
Saskatchewan Farm Loan Board, are putting out consider-
able amounts in new loans.
In the Moose Jaw district the crops have been rather
better than in some other parts of Saskatchewan. A fine
open fall is being experienced, and thrashing is generally
completed. Moose Jaw is making progress and is an import-
ant milling and distributing centre. It has one of the best
agricultural areas around it of any point in the west. The
C.P.R. are building a modern, up-to-date depot at Moose
Jaw which, when completed, will give splendid facilities to
this growing and important railway centre. Many of the
leading bankers and other prominent financial men of Can-
ada have made trips through the west this fall, and in dis-
cussing the outlook with other western business men they
express the hope that what these men have seen and heard
will be the means of their gaining a larger conception of the
financial needs of western Canada, and the need for develop-
ing our wonderful natural resources. It is confidently ex-
pected that there will be a large influx of immigration into
the west during the coming year.
i)imi)i:no xjtick
CANADA CEMENT COMPANY. LIMITED
Pi<KFEI{ENCE SHAKEHOLDEKS
imiltEND No. 13.
Notice is hereby iriver. that a dividend of l%'"r for the
three months ending September I^Oth, 1920, being at the rate
of T'r per annum on the paid-up Prefei'encc Stock of this
Company, has been declared, and that the same will be paid
on the 16th day of November next to Preference Shareholder?
of record at the close of business October 31st, 1920.
H. L. DOBLE, Secretary.
M„ntrr-.-il. October 19th. 1920. 2r,4
THE MONETARY TIMES
Volume 65.
Corporation Finance
Otfilvie F'lour Mills' Profits Lower— Position is Stronger. However —
Cockshutt Plow Company Has Favorable Year — Lower Earnings
lor Russell Motor Company as a Result of Readjustment
London Street Railway.— The city council of London has
passed a resolution that the Ontario Railway Municipal Board
be requested to discontinue payments on the company's bond
redem|)tioM on the Kround that it is not an operating expense.
Supjrestions were made that bond redemption should be
defaulted in the interests of increased wapes for the men
or for the purpose of improving the service for the benefit
of car riders, but neither of these proposals were attached
to the request as it will ro to the Railway Board.
Otrilvie Flour .Mills Co., Ltd.— Net profits of the company,
in line with other milling companies, were lower in the year
ended August .'il, liJL'O, being .$9.59,06.5, as compared with $1,-
(i:i2,'Ali in 1919, and .?1.9.55,414 in 1918. After allowing for
preferred dividends of §140,000, unchanged, and common divi-
dends of ?550,000, compared with ?G75,000 in 1919, there
remained a balance of !?2(i9,0(;.5, which, added to the balance
brought fonvard from 1919, left n surplus of $1,.51.3,582.
The surplus in the previous year was $2,148,108, but as
?90;i,.592 was carried to contingent account, the balance car-
ried forward was 81,244,516.
The balance sheet shows an improvement in the working
capital, the figures for the past three years being as follows:—
1920. 1919. 1918.
Assets $9,841,853 $10,345,042 $10,618,364
Liabilities 2,273,240 2,966,036 3,953,865
Working capital $7,568,613 $ 7,379,006 $ 6,664.499
Other principal changes are: —
Inventories
Investments
Pension fund
Accounts payable
1920. 1919. 1918.
.<; 435,101 $ 638,269 $ 1,462,916
6,552,978 5,780,568 6,575,149
4;!0,019 253,501 173,252
1,877,990 2,445,786 3,433,613
Accrued charges 395,250 520,250 520,250
Pension fund 433,972 350.687 253,644
Contingent account 2,500,000 2,.500,000 1,596,407
Miscussing the results of the year's operations in a brief
address to the shareholders, W. A. Black, vice-president and
managing director of the company, stated that the milling
business during the period covered by the statement had been
far from satisfactory. The control of wheat and its pro-
ducts had been vested in the Wheat Board and during a con-
siderable portion of the year the prices fixed by that body
had resulted in a positive loss to the mills. Fortunately,
he stated, the interests of the Ogjlvie company were not
contined to flour mills alone and satisfactory profits in other
branches of the enterprise's activities had been made. Mr.
Black stated that while wheat control had ceased in Canada
it was still In force in the Old Country, but he cxpre.ssed the
hope that with the advent of spring the restrictions will
cease there also and permit of the resumption of normal con-
ditions between the millers and their oversea customers.
Cork.shult Plow Co., Lid. — .\ favorable year's operations
arc shown in the report of the company for the year ended
.June 30. 1920, net profits increasing to $660,921 from $571,-
fi86 in 1919. Dividends amounting to 7V4 per cent, on pre-
ferred shares were paid, as ag.iinst 4 per cent, in the previous
period. Fjirnings on proforrod were at the rate of 10.23 per
cent., as compared with S.H4 in 1919. President H. Cock-
shutt. in his report, announces that there has been a large
and well-sustained demand for the company's product dur-
ing the year, and an even greater volume of business could
have been done if the company had been in a position to
accept nil the orders offered to it.
"This was prevented," says Mr. Cockshutt, "not only by
the difficulty in obtaining labor and material, particularly the
latter, but by the insufficiency of the company's plant to
meet a greater demand upon its capacity. In order to deal
with the situation the directors decided that considerable
additions should be made to the plant at Brantford, and the
buildings are now well advanced. The continued growth of
our business, combined with the very high prices now pre-
vailing for the principal raw materials used by the company,
will require a greater amount of money than has been needed
in the past for the purpose of carrying the necessary raw
materials and gt)ods manufactured and in process. The same
situation exists in the company's subsidiary and allied com-
panies.
"The subsidiary companies, Adams Waggon Co. and
Brantford Carriage Co., have had a very successful year,
working to capacity, and showing substantial betterment.
The Adams Waggon Co. has not been able to cope with the
business offered it, and, consequently, has been forced to con-
sider increased facilities. This company was offered the
Petrolea Waggon Company's plant at Petrolea, fully equipped
with modern machinery, and it has secured it under lease,
with an option to buy. This plant is now operating, and as
soon as a full supply of material can be secured will be
worked to its capacity.
"While the balance sheet shows a substantial reduction
in loans as at June ."0, the company has, since that date,
increased its indebtedness, and may require to borrow still
further in order to meet the increased cost of doing business,
both for itself and for its subsidiaries. The banking position
in Canada, as elsewhere, tends to restriction rather than to
expansion of credits, and the company must, therefore, con-
sider that it may have to provide out of its own resources
a part of the increased funds required. It has, in addition,
to provide from current revenue for the capital expenditure
on extensions of its own plant. The directors believe, there-
fore, that earnings should be retained to such an extent as
is necessary to enable the company's plant to be operated to
full capacity, and advantages taken of the present oppor-
tunities for increasing business."
Principal changes in the balance sheet are shown as
follows: —
1920.
Inventory $2,388,377
Accounts receivable 4,888,598
Accounts payable 766,472
Victory bonds 95,000
Balance forward 575,434
Current assets 7,451,461
Current liabilities 962,558
Working capital 6.488i903
Loans 124,924
1919.
$2,844,446
4,603,841
598,650
399,377
4.671,324
1,271,655
3,399,669
594,767
Russell Motor Car Co.. Ltd.— Net profits of the company
for the year ended .July 31, 1920, amounted to $339,453, as
compared with $4.57,878 in the previous year. This indicates
eaniings of 28.2 per cent, on preferred stock, as compared
with 38 per cent, last year and 31.8 per cent, on common
stock, as compared with 46.06.
The decline in profits is due to the readjustment which
the company has been undergoing. During the year final
adjustments were made by the company in respect to their
munition contracts. Operations of the company are now
represented by it« stock holdings in the following companies:
Russell Motor Car Co.. Inc., Buffalo, N.Y., Willvs-Overland.
Ltd., Toronto, Canada Cycle and Motor Co., Ltd.. Weston.
October 22, 1920
THE MONETARY TIMES
$600,000
THE BENSON-HINES
LONDON HOTEL COMPANY, LIMITED
LONDON, ONTARIO
FIRST MORTGAGE 7% Sinking Fund Gold Bonds, dated 1st October, 1920. Redeemable
$420,000 at the rate of $30,000 a year, from the Ist October 1926, to the 1st
October, 1939, inclusive, and the balance of $180,000 on the 1st October, 1940
Callable at the Company's option, upon nine weeks" notice, at any time on or after Ist October.
1925, at par and acciued interest.
Interest payable half yearly on the Ist days of April and October.
Principal and interest payable at the Bank of Montreal, London, Ont.
The Bonds will be in denominations of $250, $500 and $1,000 each, and maybe registered as to principal.
TRUSTEES, REGISTRARS AND REDEMPTION.
TRANSFER AGENTS. The First Mo.lgaKc provides for the liquidation of the
XL ! ■ J \t; . T .... r„„„ = „,. I ;rT,:i,.^ half-yearly interest by means of monthly payments to the
IheLonaonand Western 1 rusts Company, L-imilea. • ^ ' , <.■ ... - , '^ f ., , ,
. Trustees. In addition, provision is made similarly tor a
London. Ontario. sinking fund of $2,500 per month, beginning. Ist October.
1925. to meet the yearly payments of $30,000, for redeeming
r' A PIT A I 17 ATION principal during the years 1926-39. and also from Ist Janu-
V.,ArilMLlZ./\IlWi^. ^^y ig22_ ,o |„ October, 1925. of a further payment of
Common Stock 5 500.000 $1,000 per month, to form a reserve fund for redemption
First Mortgage 7% Sinking Fund Gold Bonds. purposes. This reserve fund is to be used by the Trustees.
due 19,40 600.000 as far as possible, in redeeming bonds by purchase at less
c J •« . to, c- 1 • c. A r„\A Rnr,r4. than par and accrued interest. This plan enables a constant
°d"ue ^940 ^^^ " . . . . 400.000 check being ma ntained on both the hotel management and
SUBSCRIPTIONS.
OtCUKl 1 I . Subscriptions will be subject to our approval, and must
This issue of First Mortgage Bonds is secured by a Deed be made on the approved form, all cheques to be made pay-
, T J m . .-. ,:„„ > <;„, ^\r..^A rr,nr>o>i7>- able lo the London & Western Trusts Co.. Limited. The
of Trust and Mortgage, constituting a first closed mo gage ^.^^^^ .^ reserved lo accept all or any portion of anv sub-
on the lands and buildings, which, it is estimated, will cost j^ription. and if only a portion is accepted, the deposit will
one million dollars be applied on the succeeding payments. .As the bonds carry
interest from Ist October, 1920, interest will accrue at the
EARNINGS. rate of 7% from that Hate, and interest at the like rate will
1 tiAnnr^ be charged on deferred payments
The annual net earnings are estimated at $140,000.
being over three limes the interest on the first mortgage . PC K\ ITY
issue, twice the interest on the first and second mortgage LCO ALI I I.
issues, or sufficient to pay interest on first and second mort- All legal details have been passed jpon by Malonc.
gage issues and 14=, on the Common Stock. Malonc & Long. Toronto, and Ivey. Elliott \ Ivey. London.
TERMS
Price- — Par and accrued interest. Payable 20 on application
40 ; 1st December. 1920. and 40 , 2nd of Match. 1921.
The statemets contained in this circular are not guaranteed, but are based on information we believe
to be reliable.
BRENT, NOXON & CO.
Investment Bankers
Ti^ r-> c ■ „„ RMo I nnrlon Dominion Bank Building, Toronto.
213 Dominion bavings tSldg., Loncion.
2G.5
and the Machine and StainpiiiK Co., Ltd. (now to be known
n3 the Ru.ssell Gear and Machine Co., Ltd., Toronto.
The Ru.ssell Motor Car Co., Inc., Buffalo, has completed
and adjusted its contracts with the United States, with the
exception of one contract for anti-aircraft punmounts for
the Navy iJepartmcnt. "The assets of this company," says
the report, "are mainly represented by the ownership of
.'<l,;iOO,000 of Canadian Victory bonds." The Canada Cycle
and Motor Co., Ltd., closed a successful year's business on
I>ecember HI last, and on September 1 of this year paid a
dividend of 7 per cent, on its capital stock. "The business
durinsr this current year promises to be the largest ex-
perienced in the bicycle trade in many years." The Russell
Gear and Machine Co., formerly known as the Machine and
Stamping Co., Ltd., has taken over the machine equipment
of the Russell Motor Car Co., Ltd., with a view to carrying
on a general machine business. The capital stock was in-
creased to .'51,000,000, all of which, except qualifying shares,
is held by the Russell Motor Car Co. This subsidiary makes
motor car parts, bicycle chains, spark plugs and gramophone
motors.
In regard to the Willys-Overland, Ltd., the report makes
the following comment: —
"This company has completed the conversion of its plant
from airplane engine work to automobile work, and during
the first- six months of the calendar year enjoyed an active
demand for its product. Since .July 1st it, in common with
other motor companies, has experienced a contraction of
sales, and its operations are being carried on at the present
lime on a reduced basis. It is expected, however, that there
will be a renewed demand after the first of the year, when
loturns from the crops have had time to get into general
circulation. Willys-Overland. Ltd., is manufacturing the
Overland light four car, which has made a reputation for
economy in gasoline consumption and easy riding qualities."
The balance sheet for the year shows the following
principal changes: —
1920. I!tl9.
Accounts receivable $ 47,601 $ 14l>,(;43
Investments in other companies ... 5,113.003 4,218,810
(':inadian war bonds .. .S5G,079
.Australian war bonds . 21,700
Tol«i assets .'),2:i0,409 .5,:) 11, 5.54
Bankers' advances .500,000 184.220
.Accounts payable 416,025 1,073,717
Uividends declared and unpaid 35,000 77,000
Plant, investments and insurance re-
se^^•cs 1,018,814 846,401
Dividend payments during the year were unchanged,
being SK4.000 on preferred and $56,000 on common.
Cnrriagc KartorieM, Ltd.— A deficit of $36,845 is shown
In the report for the year ended July 31. 1020, as compared
with a loss of $88,026 for the same period last year. Gross
profits for the year were $302,635, to which is added the sum
of $32,860 under the item "sundry revenue," giving a total of
$335,406. .Against this is charged $157,4.88 under the heading
"administrative and selling expense," which brings the earn-
ings ilown to $178,007. Further charges of $214,852 arc set
against this sum. which results in the net loss carried to
current surplus of $36,845. The amount of $214,852 charged
against the earnings, after the dodncfion of operatin;: ex-
penses, is made up of the foi: .1 interest,
JL'S.CHJ; l,.,nk interest .Mnd rh. debts re-
.•iorve. SI7.162, and reserve for >. . 1.
Total assets amount to $3.80(».o64, compared with $4.1. ".3,-
070 last year. Of this $004,060 rnm«>» undrr thp hpnd of i,,.
\rntories, which is somewhat : ' " li,.«t
yeiir's vopnrt. which stood at ^ , .,(.),
■ IS'* I.\il.;iil\ to the town < •hich
n this regard fiuiii Im?i year, when the
"|1. Bank loans and overdraft arc $600.-
.. .....,i,-i ,, ....4;;5 a year ago, which displays a decline
"f over $100,000 in borrowintt.
THE MONETARY TIMES
RECENT I' IRES
Volume 65.
Canadian Cereal .Mills, 8500.000 — lUisiness Section oli
Wadena. Sask.. .S300,C00— Pigeon River Lumber Mills, |
8100.000— Flax at Befle Ftiver, Ont., §50,000 |
Belle River. Ont.— October 19— Fifty thousand dollar'
worth of flax was destroyed by fire. ;
Brockville. Ont. — October 15 — Barns of Peter Dowdalj
township of Drummond, were destroyed by fire. The loss \
$4,000, with $850 insurance. ' |
Downsview, Ont. — October 19 — Fire, believed to hav|
been caused by an overheated bearing in a thresher, di
$15,000 damage to the barn of T. Russell's pure-bred stoc,
farm.
Fort Coulonge. Que. — October 13 — Coulonge House bote
two Roman Catholic schools, a garage, a general store an'
eight residences were damaged by fire.
Hamilton. Ont. — October 18 — Manufacturing premise,
of the E(iuator Manufacturing Co. on York Street were dam
aged by fire. The loss is estimated at 510,000.
Hampton. Ont. — October 13 — Residence of Mrs. S. Hay
ward and the dwelling of Manford Roberts were damages
by fire. The fire is supposed to have started by childrei
playing with matches. The total loss is estimated at $7,000
Ottawa, Ont.— October 17 — Flour and feed shop of J. W;
Morgan, Lisgar Street, was damaged by fire. The loss ii
estimated at $5,000.
Port .Arthur, Ont. — October 17 — The planing and finish
ing mill of the Pigeon River Lumber Company was destroyec
by fire. The loss is estimated at $100,000.
Tillsonburg. Ont. — October 14 — Oatmeal plant of tht
Canadian Cereal Mills was desti-oyed by fire. The loss, whicl
will amount to $500,000, was partly covered by insurance. |
Aancouver. B.C. — October 12 — Plant of the National
Biscuit Co. at 1706 First Avenue West was damaged by fire
The loss is estimated at $4,000.
Victoria, B.C. — October 10 — Retail premises of O'Con'
nell and Co. was damaged by fire. The loss is $20,000.
Wadena, Sask.— October 19— Business section of this
town was destroyed by fire. Tho loss is estimated at $300,000'
Windsor, Ont. — October 13 — Universal Garage was dam-'
aged by fire. The cause of the fire is not known.
Woodstock. Ont.— October 16 — Barn belonging to Ber
Dickson, Holbrook, was damaged to the extent of $7,000.
ADDITIONAl. INFORMATION CONCERNING FIRES
London. Ont. — September 19 — Overall plant of Every-
body's Overall Co. was damaged, the fire being caused by
spontaneous combustion. The loss is $7,500. with insurance
of $6,000 in the Merchants. Gore District and Provincial Fire
Insurance Companies.
Ingersoll, Onl — September 18— The apple evaporator of
O. E. Robinson and Co. was damaged by fire with a loss of
$6,000. There was $3,000 insurance in the following com-
panies: Norwich Union, Nationale Fire, and London Accident
and Guarantee.
Manitoba — The fire chief states during the month of
August there were 170 fires, with a loss of $163,378. There
were .32 farm buildings destroyed and 37 fires occurred in
priv.nte dwellings. The careless use of matches is responsible
for 17 fires, and 14 fires were occasioned by careless smokers.
Shrrbrnoke. Que.— October 2— Barns, stables and sheds
of Ed. Clement and .J. H. Bous.iuin were destroyed by fire.
The cause of the fire is unknown. The total loss on buildings
and contents was $29,500. with S9.500 insurance in the Sher-
bi-ooke and Stanstcad Mutual Insurance Co.
>ancouvcr. H.C.— The fire chief's report for the month
of September shows that there were 52 fires. The total loss
was $3S..507. of which $37,197 was covered by insurance. The
following shows the cause of fires: Bush fires 6. carelessness-
cigarettes-matchcs 1. children playing with matches 1. chim-'
ney fires 9, defective stove 1. electrical origin 6, incendiar-
ism 6, sparks 2, spontaneous combustion 1.
•The Monetary Times
Printing Company
of Canada. LimitcJ
'The Canadian Engineer
Trade Review and insurance Chronicle
of (TatiaDa
Established 186"
Old as Confederation
ll
.IAS. J. SALMOND |
Prfsldent and General Managerjj
A. r.. JENNINGS I
ABBletaut General Manager j
JOSEPH BLACK '
Secretary ]
I
W. A. McKA(.
Editor
Is Our Foreign Trade Increasing?
Trade Link With United States Has Strengthened Since 1914, While Empire Connection Has
Weakened — Growth of Canadian Exports Has Exceeded Increase in Prices — Latest Figures
Show Falling Off in Exports to Europe, but Increase in Canadian Purchases There
By STATISTICIAN
IS the foreign trade of Canada increasing? The trade re-
turns give a very satisfactory answer; they indicate
general progress^ showing that, in commerce, Canada is
well represented on the seven seas. The term "foreign
trade," it may be observed, includes trade done with the
British Empire generally, as well as with foreign states
proper.
The best way of sizing up the situation is to compare
the trade figures for the fiscal year 1913-14, which ended
four months before the outbreak of war, with those for
the year ending March 31 last, these being representative
of the old and new conditions in the commercial life of
the Dominion. Incidentally, they best illustrate the new com-
mercial spirit in Canada; the old, which was content pretty
much with the home market and a fairly good outlet in
the United Kingdom; the new, which while holding the
market at home as securely as ever, recognizes that its
real trade field is the world.
Great Increase in Exports
The story as told in a nutshell by the returns for trade
years ending March 31 is as follows: —
1913-14
Total exports $ 455,437,224
Imports 618,457,144
Total foreign trade $1,073,894,368
Total foreign trade per capita $ 143.00
1919-20
Total exports $1,286,658,709
Imports 1.064,516,169
Total foreign trade $2,351,174,778
Total foreign trade per capita .... $ 273.00
It is to be noted that in 1919-20 the total exports were
not only 182 per cent, greater than they were in 1913-14;
but were valued at $113,000,000 more than the total im-
ports and exports during the latter year. Allowance should,
of course, he made for the rise in prices; but increase in
the value of exports to the extent of 182 per cent, far
exceeds the rise in prices.
Trade By Countries
Comparing the returns by important group.s the trade
during the foregoing two years was made up as follows: —
1919-20
$ 126,269,274
Imports 1913-14
From United Kingdom $ 132,070.362
From other portions of British
Empire 22,456,440
From United States 395.565,328
From other countries 68,365,014
47.901,537
801.702.720
88,642.638
Total exports 1913-14 1919-20
To United Kingdom $ 222,322,292 $ 495,961,867
To other portions of British
Empire 23,709,829 73,653,809
To United States 176,948,299 510,128,368
To other countries 32,456.804 206,914,665
Trade Has Broadened
Evidence of the expanding nature of our foreign trade
is to be seen in the fact tliat trade is conducted with a larger
number of countries and on a much larger scale generally
than in 1913-14. An increase in exports and imports merely
with the United Kingdom and the United States would not
of itself denote advance as a world trader. Indeed, it might
be an evidence of greater dependence upon these countries
than in the pre-war days. The broader the base of the
country's trade and the larger the number of other states
it trades with, the more substantial is its foreign com-
merce likely to be; and in this respect Canada has made
positive progress.
Take exports. In 1913-14 Canada was dependent on the
United Kingdom for a market for nearly one-half of her
exports; to be definite, that country took 49 per cent, of
them. John Bull and Uncle Sam between them took 88 per
cent, of all that Canada sold abroad. Thi.s was -a rather
unhealthy condition, for it made the countrj' too dependent
on these two markets. But last year the United Kingdom
took but 38.6 per cent, and a ready demand was found for a
trade which, in point of value, was twice as large as that
in 1913-14. Countries, other than the United Kingdom and
the United States, which took a little over 12.3 per cent, of
Canada's exports in 1913-14. took 22 per cent, last year. For
every dollar's worth that we sold to these other countries
in 1913-14, now we sell six. This is a decided gain; it
means not only a much more diversified demand, but better
trading conditions generally.
Imports from United States
In the matter of imports not as satisfactory progress
can be reported, the Dominion being more dependent than
ever on one .■source of supply, the United States. In 1913-14,
63.9 per cent, of all the imports came from that country;
but in 1919-20, the percentage had risen to 75.3 per cent.
This gain has been made at the expense of other countries.
For example, in 1913-14, no less than 21.3 per cent, of the
imports were drawn from the United Kingdom; last year
the percentage was but 11.9. In 1913-14, countries other
than the United Kingdom and the United States sent us
14.S per cent, of the total imports; last year they sent but
12.8 per cent.
Of our commercial neighbors the United States has
gained most from the increased external trade of Canada
THE M 0 N E T A R Y T I M E S
Volume 65.
duriti},' till- last six years. In rJl.i-I-l, 53.2 of our total
trade was with the republic; in 191'J-20 the percentag*
was .55.4. In 1913-14, one-third of our total trade was with
the United Kingdom; last year the percentage had dropped
to 26.5. Our trade with all other countries was but 13.7
ptr ri.nt. in 1913-M; last year it was 18.1.
Decline in Empire Trade
The percentage of Canada's trade with the British em-
pire generally is not as large as it was before the war. In
1913-14 it was equal to 37 per cent.; in 1919-20 it was but
32 per cent. While the percentage of trade with the mother
countrj' has fallen, that with the other portions of the em-
pire ha.s risen. In this interchange of commodities between
the various British possessions Canada has gained heavily
and while la.';t year the value of imports into this country
from the empire generally was only $18,000,000 more than
in 1913-1.1, the value of exports to these possessions rose
from $25.1.000,000 to $568,000,000. Trade with the East In-
dies IS growing; l.ut that with Australia and New Zealand
has, during the last year, fallen off, this being doubtless
due partly to the circumstance that the United Kingdom
IS now again supplying that market with some commodities
that Canada temporarily sui)plied during the war. Nearer
home, gains are reported notably with Newfoundland, the
total volume of tra.le with the old colony having trebled in
value within seven years, while gains have been made in
trade with< the West Indies and British possessions in
Central and .South .America.
rreferential 'larinTs
It is rather ditlicult to estimate the value to Canada
during the last seven years of the several preferential trade
arrangements between it and other portions of the Empire.
Not until later will it be known what effect the preference
granU'd by the United Kingdom to certain products from
British dominions has had on Canadian exports. Nor can
It be said positively that the trade agreement with certain
of the British Wen Indies and British Guiana has imparted
a strong impetu.t to reciproctfl trade. It is true that be-
tween 1913, the year the agreement became effective, and
.>larch 31st last, the total trade between Canada and these
possessions had increased two and one-half times, from
$13,381,961 to $33,924,982. But, on the other hand, the total
trade with all other islands in the West Indies increased
over five times. During this period exports to these British
possessions increased three and one-half times, from $4 552 -
66S to $11,007,994 while those to all other islands in the
group increased over four limes, or from $2,276,843 to
$9,207,961, Imports from these British positessions increased
two and one-half times, from $8,829,000 to $19,808,000;
while those from all other islands in the West In<lies in-
creased six times, or from $4,859,162 to $28,437 197. How-
ever the |)referential arrangement un<ioul)te.lly has arrested
the serious decline in trade between Canada and these
British possessions, which had set in. Assurcdlv the British
preference has benefitted the British exporter in the
Canadian market.
Kurope a Big Buyer
Europe, including the United Kingdom, is Canada's best
group customer, having purchased last year, commodities
to the value of $673, 540,289, as compared with «24K,r,77 483
in 1913-14. The total trade with V ' ' ,.ut
double what it was in the latter \, ,.r
standing at $1.52.'^7i>.ooo. t-rinfr nlinn't Ih,,
gr.inting of l.i, ..j,,
undouhU'dly k. ,,{
year th:iii tl . ,,^,,
^''"P '•■ " ■'. where woulil the export trade of holli
*'"> I'l" and the United States be to-day were
'* ""' '• "-■■ 1 redifs they have granted?
Trade With Orient
At limes complaint is heard that trade with the Orient
is not incrpnsing more rapidly. It is undoubt«<lly true that
<"nnnda has not made the most of her opportunities in that
quarter; but probably few realize the importance of the gain
that has been made during the last six years. As far as
percentages go, the total trade with Asia shows a larger
increase than with any other continent, being now three
and one-half times as large as it was in 1913-14. The im-
ports have grown from $5,138,901 to $26,598,860 and the
exports from $12,901,980 to $37,906,825. Japan is at pre-
sent Canada's best customer, having taken $7,889,000 of
commodities last year; but China is rapidly overtaking her.
Since 1914, the value of exports to the latter country has
increased 1 4 fold ; to Japan it has increased five fold.
British India now buys goods to twelve times the value she
did in 1913-14; while in the case of the Straits Settlements
the increase has been seven fold. The whole of Asia bought
$26,598,860 worth last year, as compared with $5,138,901 in
191.3-14; while it exported to Canada commodities to the
value of $37,900,000, as compared with $12,901,980. This
increase has come without a dollar of government credits.
Nor lias this trade had the benefit of extensive Canadian
banking connections, as has been the case in certain other
foreign countries. Had it not been for the collapse of the
Kolchak government, the resumption of commercial relations
with Siberia would have added millions to the total of sales,
for Canada was assured of her share.
South America
Since 1914, the value of Canada's exports to all South
American countries has increased nearly five times, which is
proof that the Canadian exporter is pushing sales in that
quarter. During the last few years he has had the benefit
of a rapidly growing and far-reaching Canadian banking
connection which, beginning in the West Indies, rims the
Carribean Sea, and reaches far down the east coast of the
southern continent. In 1913-14 the value of the total trade
with these countries was $14,053,658; in 1919-20 it was
$33,680,628. In the former year the exports were $3,854,125;
last year they were $14,600,604; while the value of the im-
ports went from $10,199,533 to $19,080 024. The heaviest
buyer is the Argentine, followed by British Guiana and
Brazil, the others being far behind. Peru exported last year
to this country products to the value of $5,072,408, or one-
third more than any other South American state, but bought
only $274,185 worth. The .Argentine is the second largest
exporter to this country, followed by Brazil. While
Canadian banking connections make the way of the trader
in these parts easier, the language and lack of knowledge
of conditions are handicaps. It is also probable that these
countries have been used to larger credits than most
Canadian firms feel warranted in extending.
.\iislralia. .New Zealand and .\frica
Trade with Oceania has more than doubled in value
since 1913-14, but, save in the case of New Zealand, UK-
gain is not now being generally held. The value of the
total trade seven years ago was $11,165 565; last year it was
$25,219,579. The value of New Zealand's purchases was
four times what they were then; those of .Australia showing
a gain of two and one-half times. Imports from New Zea-
land also show a gain of $192,000 during the interval. The
recent decline in exports to Australia will doubtless be ac-
centuated l.y the new Australian tariff, which contains quite
an element of protection.
The value of the total trade with Africa is over two
and one-half times what it was in 1913-14, the figures being
$11,690,839 and $4,726,621. It is a good example of the
growth of exports, these having gone from $4,072,152 to
$10.6.34, .561. British .South Africa took 75 per cent, of these,
or $R.fi51.000 worth, last year, and British West Africa,
$1,069,000. The latter is a fast growing trade, the value
of the imports from this country six years ago having been
only $^9,000. The passing of vast areas on this continent
from Gormnn control should create a fine opportunity for
'<' "f British South and West Africa, the
lioiiirht only $1,000,000 worth from the Do-
Cni
wl.
niu
tincnt was 4956.278
The value of the imports from the «on-
October 29, 1920
THE MONETARY TIMES
Mexican Trade
Unsettled political conditions in Mexico have kept down
trade with that country, still it has doubled during the in-
terval under consideration, having gone from $1,522,473 to
$3,063,666. The value of the imports is over six times that
of the exports, being $2,648 915, as compared with $414,751.
The reason is obvious for until settled conditions are estab-
lished firms have no desire to take chances on payment for
gfoods. Trade with Central American countries has increased
from $509,413 to $1,320,324, the value of imports having
more than quadrupled.
Developments This Year
Since the beginning of the present calender year there
has been a marked decline in exports to Europe, especially
to the United Kingdom. On the other hand, imports from
Europe, especially the United Kingdom, have increased very
rapidly. Imports from the Unite<i States have continued
to grow, as have exports thereto, the latter, however, at a
much slower rate than the former. The following compara-
tive figures show the situation as disclosed by the trade re-
turns for the first four months of the present fiscal year,
that is to the end of July, as compared with those for the
same months in 1919.
First, as to total exports: Those to the United Kingdom
during this period were valued at $96,263,533, an increase
of $69,933,000 over the same period in 1919; to the British
Empire outside the United Kingdom $25,851,636, an in-
crease of .?S.81 0,000; total British Empire, $122,116,169, a
decrease of $78,744,243; to the United States $105,410,768,
an increase of $28,650,000; to foreign countries outside the
United States, $64,008,235, an increase of $25,214,000.
Imports from the United Kingdom, $89,738,308, an in-
crease of $66,925,900; from the British Empire, outside of
the United Kingdom, $21,595,800, an increase of $7,985,584;
total British Empire. $111,.334,100; an increase of $74,911,-
550; from the United States, $308,522,000, an increase of
$125,218,436; from foreign countries outside the United
States, $54,056,200, an increase of $39,S.S5.50n.
Board of Commerce Activities Are Postponed
Members Resign and Stall Disbanded— Board Remains in Existence. How-
ever, Awaiting Privy Council Decision — Wheat and Sugar Control
Worry Government — Loans to Soldier Settlers increase — License
System to be Adopted for Collection of Luxury and Sales Taxes
(Special to The Monetary Times.)
Ottawa, October 28, 1920.
AFTER a short but spectacular career the Board of Com-
merce has now passed out of all, except nominal, exist-
ence. Last Friday the premier announced that the three
members had tendered their resignations and that no ap-
pointments would be made to the positions. Premier
Meighen's statement does not occasion much surprise in the
capital, as it was felt here that the resignations of the mem-
bers of the board were certain to be handed in, following the
cabinet's reversal of the board's order with regard to the
maximum price of 21 cents per pound for sugar. The three
commissioners who have now resigned are Captain William
White, who was formerly secretary of the board, and who
was appointed a commissioner on the resignations of the orig-
inal commissioners; F. A. Acland, deputy minister of labor;
and Major G. A. Dillon, purchasing agent for the department
of justice. The formal announcement of Captain White's
appointment as chief commissioner of the board of commerce
is gazetted in the "Canada Gazette."
The appointment of the three members was stated to be
a temporary measure, following the resignations of Judge
H. A. Robson, of Winnipeg, the first chairman; W. F. O'Con-
nor, K.C., and James Murdock, Labor representative of the
board. Mr. Murdock's letter of resignation, written to
Premier Borden, was the subject of much discussion just
prirw t.i the ending of the last session of parliament.
Await Privy Council Decision
The right of the board to issue orders, placing certain
restraints on export of Canadian products, was challenged
in connection with the export of pulp and paper. In regard
to this the prime minister's statement says: "The jurisdic-
tion of the board will shortly come before the judicial com-
mittee of the privy council for final determination. The Do-
minion government has been pressing to have this case heard
with the least possible delay, but as the provinces have a
right to be heard, it has not yet been possible to have the
exact date of the hearing decided on. When a decision is
given as to the extent of the federal authority in relation
to the Board of Commerce Act, it will be for the government
to consider what shonlil then hp done."
In the meantime there are several important matters
pending before the board, matters which must now be shelved
indefinitely — and probably never again dealt with. There
is first and foremost the question of an alleged combine on
the part of the Dominion and Canadian Canners. The board
has not yet decided whether this alleged combine is illegal
under the Act. A hearing to establish its status was set for
August. Difficulty in securin.ar a chartered accountant is
alleged as the reason for delay in prosecuting this inquiry.
Now the hearing must be postponed. Then there is the
inquiry into the te.xtile industries, an interim report on which
was made. The final report may never be forthcoming.
Soldier Settlement Activities
Nearly $1,500,000 represents the increase in the amount
of loans to soldier settlers made by the Soldier Settlement
Board in the month of September. The total of loans ap-
proved to October 2 was $78,285,752, and the number of
settlers' loans 19,.526. Loans were for the following pur-
poses: To purchase land, $42,631,090; to remove encum-
brances, $2,169,4(>(i; for permanent improvements, $8,991,015;
for stock and equipment, $24,.594,175. The number qualified
by the board for the privileges of the act is 41,101, out of
applications numbering 56,974. The number of grants of
free Dominion lands to soldier settlers is 7,987. The total
area represented by these soldier grants exceeds 1,900,000
acres.
The settlers who have received loans are distributed
among the provinces as follows: Prince Edward Island, 291;
Nova Scotia, 392; New Brunswick, 491; Quebec, 454; Ontario,
1,374; Manitoba, 3,233; Saskatchewan, 4,765; Alberta, .5,625;
British Columbia, 2,991.
Want Higher Ocean Freight Rate
Confirmation of the report from St. John. N.B., that the
Royal Mail Steam Packet Line, which gives a service be-
tween Canadian ports and the West Indies, is applying to
the government for increased freight rates because it is
losing money, has been secured from Sir George Foster,
minister of trade and commerce. Sir George said: —
"The fact that the Canadian government merchant
marine has placed vessels on the different routes connecting
with the West Indies, which to some extent interfe'-s with
THE MONETARY TIMES
Volume 65.
the rreight earryinjfs of the R.M.S.P.C, especially on the
north-bound passage during the slackness of the sugar
season, and the fact that the freight rates of this company
have been controlled by the goveniment, and the company
has not been free, therefore, to take advantage of the greatly
increased rates during the war and since, and also owing to
the great increase in the price of coal, as well as ship com-
modities, the company has made application for an increase
in freight rates, which is now being considered by the depart-
ment of trade and commerce, as also by the St. John and
Halifax boards of trade."
Thirty-five cargo vessels already have been completed
and are Hying the ensign of the Canadian government mer-
chant marine in the seven seas. The shipbuilding programme
of the government contemplates the construction of si.xty-
three vessels in all, with an aggregate tonnage of 376,725,
and at a total cost of $72,:!.32,940. The completed vessels
are now being operated in conjunction with the Canadian
National Railways.
Arrangements now are being made with the liquidator
of the Dominion Shipbuilding Co., of Toronto, for the com-
pletion of the two .(..iOO-ton ships which that corporation
had under contract; about three-quarters of the work had
I'een completed when the firm went into liquidation. The
department of marine will either undertake to complete the
work itself or have it done through the liquidator.
Canadian Trade Commission Done
Another government body to go out of existence at the
end of the present week is the Canadian Trade Commi.ssion,
of which F. H. Wilkie is head. The commission, which had
offices both in Canada and Great Britain, has been gradually
restricting its activities ever since the retirement from the
overseas end of Lloyd Harris and since war-time licensing of
exports and imports went out of fashion.
\Nill Kxpliiin Luxury and .Sales Taxes
In view of tlie uncertainty among business men regard-
mg the collection of the new Dominion taxes, G. W. Taylor,
assistant deputy minisster of customs and inland revenue, has
gone to the maritime provinces to explain them. He will
visit Quebec and Montreal on his return. Hon. R. W. Wig-
niore, the minister of the department, had intended making
this trip himself, but was prevented from doing so bv pres-
sure of business; he may a little later visit the western cities,
accompanied by R. R. Farrow, deputy minister, and by Mr
Taylor.
A statement issued on Tuesday by Sir Henry I)ni>-ton,
minister of finance, shows income tax returns bv occupation;!
XV iniit, on incomes of I!»18. The figures are as follows:—
No. of rr of
Occu- Ux- whole Amount
pation. payers, amount, assessed.
Agriculturalists . »;,4<I.T 6.5 $ 402,970 2.2
^«f»l I, cm 1.7 350.,37r. IS
Mcdicnl 3,012 3.0 283.373 l.G
Engineers 986 1.0 136.138 8
.Ml others -
''!""'' <;.0 378.044 2.1
•■j"' ••.0 1,124,722 6.2
•^"'1'' .■>' 7.4 5.606.759 31.0
Mechnnu- dS 231.057 1.3
Merchants 1(1.2 2,223 651 12 3
Manufactiirrrs ;■ i 1.0 LSSsisSS S.6
•^" "Others 4.7J I 4.7 1,.387.404 7.7
Corporations ■ <i . j.o 4,385,598 24.3
Totals ,0.0 J18.0654>77 100.0
Wheat and .'^ugar Control
Control of wheat and sugar, two commodities which
have suffered heavy price declines during the past few
weeks are now under daily discussion in government circles.
Strong pressure has been brought to bear from the west to
have the government guarantee a wheat price, but it is
feared that a heavy loss might be incurred if such a guar-
antee were to be made. The marketing of wheat and the
price obtained is of such great importance to this country
that the question is being considered from every angle, how-
ever.
During the past few days, however, the wheat question
has been eclipsed by public interest in sugar. On October
13 the Board of Commerce issued an order fixing the retail
price of granulated sugar at not more than 21 cents per
podnd, plus freight, and prohibited impoils of refined sugar.
This order virtually maintained the price in the face of a
falling market and was met with loud protests. After a
hearing of the case on October 20 the government suspended
the order.
Marine Fisheries
Canada, Newfoundland and the United States are to
appoint three members each on an international comifiittee
on marine fishery investigations under an agreement reached
at an informal conference held last month in Ottawa. The
conference resulted from the correspondence extending oyer
a number of months between representatives of the three
countries on the marine fisheries of the Atlantic and Pacific
coasts. The international committee, in the view of the con-
ference, should determine what measure of international co-
operation is desirable in the study of fisheries, what general
investigations should be undertaken, consider definite prob-
lems that may be awaiting study, submit recommendations to
their respective governments, and co-ordinate and co-relate
the results of the work. The conference also recommended
that the international committee establish contact with the
permanent international council for the exploration of the
sea.
Merchants Require Licenses
Under the revised system of collecting the luxury taxes
in Canada, which comes into effect on November 1, every
merchant will be under license. The plans for inaugurating
the new system are well advanced and the special stamps
will be available for all merchants by the last day of this
month. The method to be followed, it is explained, will give
the Inland Revenue Department a complete check on all
transactions, and the collection by means of stamps will make
the operation of the act much more simple.
Every merchant is to be supplied with a special machine
for cancelling the stamps by perforation, and merchants will
be charged a nominal license fee of $2. They will not, how-
ever, be required to pay anything for the perforating machine.
Supplies of the stamps will be available at all banks and also
at the various local customs offices, so that it %vill not be
necessary for merchants to stock up for long periods in
advance.
While the statement has not been made officially that
such action is contemplated, it is pointed out that in the case
of merchants who persist in ignoring or evading the law
regarding the collection of luxury tax on goods sold by them,
it will be within the power of the department under the
new regulations to refuse to renew the licenses of such
merchants, and they would thus be unable to continue in
business.
Ruling on Coal
The Board of Commerce, in a judgment on complainte
that unduly high prices have been charged by the coal dealers
of Guclph for domestic sizes of anthracite coal, finds that the
consumers of Guelph on the whole have been more than fairly
treated by their dealers, and during the present crisis they
are doing all that possibly can be done to secure sufficient
tonnage to meet all wants at the best possible prices. "The
position," says the board, "is unenviable for the reason
that they are finding it almost impossible to get coal at f.ny
price, and if they pay the outrageous figures asked, thty
are looked upon as profiteers. There is profiteering in most
of the coal received, but not by the local dealers. Where z< is
profiteering is done is quite plain when it is noted that j-e-
miums of from one to seven dollars per ton are demanded
and received across the line." In two instances, however, the
board orders cuts and refunds.
October 29, 1920
THE .MONETARY TIMES
Trade Review and Insurance Chronicle
of Canada
AddrMs: Comer Church and Court Streets, Toronto, Ontario, Canada.
Telephone : Main 7404, Branch Exchange connecting all departments.
Cable Address: "Jlontimes. Toronto."
Winnipeg Office: '.206 Mc.\rthur Building. Telephone Main 3409.
G. W. Goodall, Western Manager.
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The Monetary Times does not necessarily endorse the statements and
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PRINCIPAL CONTENTS
EDITORLU. : PAGE
The Embargo an Ineffective Remedy 9
.\n Epidemic of Lottery Bonds 9
United States War Risk Insurance ■ 10
The College Man in Industry 10
Special Articles:
Is Our Foreign Trade Increasing? 5
Board of Commerce .Activities Are Postponed .... 7
Apprehension Regarding Municipal Finance .... 14
Valuation for Customs Purposes 14
Financial Outlook in .Alberta 18
-■Vccident and Sickness Insurance 20
Success and Popularity in Banking 28
Precedence of Mortgage and Execution 30
Loan Companies Experience Good Demand 47
Monthly Departments:
Insurance Licenses Issued 22
Do:iiinion Finance in September 24
Weekly Departments:
News of Industrial Development in Canada 32
News of Municipal Finance 36
Government and Municipal Bond Market 38
Corporation Securities Market 42
The Stock Market 44
Corporation Finance 46
Recent Fires 48
THE E.MB.\RGO AN INEFFECTIVE REMEDY
AGAINST a world-wide depression of the security market
the Canadian government has opposed a voluntary em-
bargo upon the importation of securities. Having borrowed
immense sums abroad in the past, we now attempt to stem
the return wave by retaining all accumulating capital here.
Profit has proved a more effective factor than patriotism,
however, and the request of the finance minister, made last
February, has not been lived up to. The members of the
Bond Dealers' Association, of the Montreal and Toronto
Stock E.xchanges, of the Canadian Bankers' Association and
of the Dominion Mortgage and Investments Association have
on the whole observed it, but there are numerous other
channels through which Canadian securities held abroad
have found their way back to this country.
What are the special circumstances which have caused
this extraordinary action on the part of the government?
Apart from the general purpose of maintaining the security
market in Canada, tne government had in mind especially the
price of Victory bonds. Now, Sir Hen.-y Drayton, finance
minister, urges that the embargo should be retained until
the movement of the wheat crop is financed. The price of
Victory bonds was not maintained, and just to what degree
the embargo will enable the banks to finance grain ship-
ments cannot be estimated. Meanwhile the business of im-
porting securities goes on actively — outside the circle of
membership in the above-mentionjd association. What sup-
port the restrictions do accord to the security market makes
the business all the more easy and profitable. If the finance
minister wished to help the small brokers to work up a busi-
ness, he chose an effective method of doing so. Sir Henry
intimates that they may be blacklisted, and that the volun-
tary restrictions may take the form of law at the next ses-
sion. As for a blacklist, he must see that it would be an
excellent advertisement for the dealers in cheap .securities,
and the minister is a keen enough financier to see that legis-
lation forbidding the repurchase of securities would im-
mensely damage the reputation of this country in the finan-
cial centres of the world.
Financial opinion is almost in accord that the govern-
ment has made a serious mistake. It is one thing to con-
form to the i-equest, and another to agree to the principle.
Canada cannot shut herself off from the rest of the world
at this time of financial stress by such a futile embargo,
and any stricter on-3 would be injurious if not intolerable.
The financial situation is too intricate to be remedied by
a partial measure of this kind. The embargo has failed
in its effect and is injurious in its working.
.\N EPIDE.MIC OF LOTTERY BONDS
IN times of financial stress it is a common thing for govern
ments and municipalities to resort to bond issues re-
deemable by annual drawings, with special prizes for those
who are lucky enough to hold one of the first bonds to be
drawn. Several issues of this kind have been made recently,
and some of them are being widely offered on this side, where
the rate of exchange affords a special inducement for their
purchase.
The plan has been used for large French issues, and it
is used also in connection with a small sale of twenty-five
year eight per cent, sinking fund gold bonds of the City of
Christiania, Norway. Christiania will provide about $200,000
a year and will buy on the open market any bonds which
are offered up to $110. If any of this money is left at the
end of five years, it will be used to buy bonds at $110, those
bought to be selected by lot. During the next five years
Christiania will supply about $200,000 a year, and bonds
will be bought at $110 and interest, the bond bought being
selected by lot. In the next fifteen years bonds will be
redeemed in this way at $107'^. Christiania will, of course,
supply each year enough additional money to provide for the
premium. Several Swiss cities are looking for money in
New York. The city of Zurich bonds for $6,000,000 twenty-
five year eight per cent, bonds are being offered this week,
and Berne and Geneva are both negotiating with New York
bankers. Two Dutch bankers and the government of Hol-
land are also in the New York market at the present time.
THE MONETARY TIMES
Volume 65.
LMTEl) STATES WAK KISK INSLKANC K
STATE iiiaurance is knocking at the door of Canada and
the Canadian provinces. A few regard it as op-
1 ortunity. Insurance men themselves are skeptical, and
where a public opinion has been expressed they have taken
a .st:.nd in opposition. Apart from workmen's compensation
acts administered by moat of the provinces, and two or three
special classes of insurance written by the Dominion gov-
ernment, state insurance hais not been tried in Canada. In
other countries, however, including some of the British
colonies, it has a strong foothold, and the United States gov-
ernment has just carried on the greatest operation ever
attempted in the insurance field. This was the insurance
en the troops engaged in the ijieat war.
A summary of the activities of the United States Bureau
of War Risk Insurance up to August 31, 1920, has just been
published, and though the figures do not show the success
of the operations, they at least in.licato its e.xtent. The
principal figures are as follows: —
1. The Marine and Seamen's Insurance Divi-
sion has done a total business of $2,300,074,385
With premiums collictod amounting to 47,585,072
On 33,:;a5 policies, resulting in paid claims of 29,830,746
And a surplus over expenses and refunds of
approximately 17,500,000
2. The Allotment and Allowance Division has
approved 2,098,149 claims for allotment
and allowance involving payments
Kor allotments amounting to $ 290,019,861
For allowance amounting to 267,961,875
With a total expenditure of 557,981,737
.\riil payments for the month of August, 1920
alone, to the amount of
.Allotments 766,657
.Allowances 1,010,695
3. The Insurance Division wrote, during the
war and to date, 4,640,049 War Risk Term
Insurance policies covering insurance to
the amount of $40,331,640,000
The gross premium remittances from all
sources approximating 346,987,730
130,017 claims for War Risk Term Insurance
allowed on account of death arc repre-
sented by insurance to the amount of .. 1,154,911,719
While 3,385 claims for War Risk Term Insur-
ance allowed on account of permanent and
total disability involve insurance to the
amount of 29,577,540
During the month of August, 1920 alone, the
total disbursements on War Risk Term
Insurance claims amounted to 7,320,607
THE ((II. LEGE MAN IN INDUSTRY
UNIVERSITY training aimed at a busmess career is a
new feature of Canadian education. It is only during
the past Itn or fifteon years that our universities have
framed courses with this object in view. Isolated cases were
of course to be found in which n more liberal education con-
tributed to succets in commerce, but the result* firhipv.-l by
such grailuates were in the main due to thi- ' of
qualities other than the knowlcdgi- of lany: ■ in-
and law. Now almost all our colleges li in
economic.^ and finance; the result* justify the isS.iliii.^hii cnt;
of such courses, and evidence on a larger scale is found
across the bonier, where advanced business training has
promoted the graduates to Icndinii: positions in economic
and financial affairs.
niisincnx Melhodn for October quotes some opinions from
busine.-is leaders who have had university education. The
come later on. S. B. Chadsey, manager of the Massey^
Harris works at Brantford, Ont., says:—
"When I first started in business it seemed to me that
my university course was a positive disadvantage. I found
that I was placed in the category of theorists, and that work-
men of long experience were suspicious and inclined to re-
sent a little the presence of anyone who had college train-
ing. This prejudice is bound to exist and can only be over-
come by the steady reliable work of the graduate himself.
In many businesses the handicap extends somewhat beyond
the relationship with the workmen. It extends also to the
management in those concerns where the management has
been drawn from uneducated men. There is less of the feel-
ing abroad to-day than there was when I began, partly be-
cause of the advertising that the whole question of educa-
tion has been receiving and partly because of the advent
of more progressive men in the management of many con-
cerns."
Geo. C. Mackenzie, president and general manager of
the Electric Steel and Metals Company, Ltd., Welland, Ont.,
is a graduate of Queen's University. He states that his
university training has most assuredly been of value to him
in business because it has given him an opportunity of know-
ing and making friends of many educated men; it broadened
his viewpoint of life and taught him the value of reading
and of making an effort to understand and appreciate the
opinions of other men. He advises Canadian manufacturers
to send their sons to the university, whether they intend
ultimately to go into business or to enter a professional
career. As to the most suitable studies, he would consider
history, political economy and also a modern business course
such as has been recently included in the curriculum of some
Canadian universities. These are, of course, the foundations
only of the superstructure which must be built to meet the
future requirements of the student.
The towns and cities of Canada have for the past forty
years imposed a tariff upon an unwilling country. The
rural districts are now securing retribution by carrying
prohibition in the face of city opposition.
*****
A recent convention of the National Association of Pur-
chasing Agents, held in Chicago, had to be protected by
police because the policy of buying nothing except essentials
was discussed. The price reduction movement is evidently
as unpopular as price increases.
Ontario's fish should be sold to reg-dlate living costs
rather than at the market price, says J. Jenkins, manager
of the London civic market. It is complaints such as this
which make the success of the government in business so
diflicult.
■>»»«»
J. P. Bell, general manager of the Bank of Hamilton,
quotes the increase in savinjrs bank deposits as evidence of
Canadian thrift. Sir Henry Drayton says we are too ex-
travagant, and need to save more and spend less. The gov-
ernment's "produce and save" campaign has fallen flat,
but there is no doubt whatever that the past four years'
extravagance has been unprecedented in this country.
*****
Canadian business with Brazil should as far as possible
be divert<,'d from the New Y'ork route to the direct route,
"to the benefit of Canadian shipping and merchants." Now
that a government merchant marine has been established to
assist this countr>'s foreign trade, is it to be the .int.- of
bus nes.» to extend assistance to the merchant marim ■?
• » » ♦ «
D. B. Hanna'.« action in p'oclaiming that any employee
of the Canadian National Railways who runs for political
office will be instantly dismissed, suggests that the manage-
ment has not yet been taken out of politics; and labor's
presujiiptjon that it has the right to criticize the policy of
.-<^v. r r,. 1 indi':ates the same view.
October 29, 1920
THE MONETARY TIMES
Bank of New Zealand
ESTABLISHED IN 186 1
Bankers to the New Zealand Government
CAPITAL
PiM-Up C>piul (SI3,2S4,(I2S) ud Rexne Food
($12,166,250) $25,450,276
UodividcJ Profiu 713.039
Aftntale Aurts al 3lil lUrcb. 1920 257.500.944
Head Office:
WELLINGTON
NEW ZEALAND
H. BUCKLETON
General Manager
THE BANK OF NEW ZEALAND has Branches at
Auckland. Wellincton. Christchurch. Uunedin. and 203 other
places in New Zealand: also at Melbourne and Sydney
(Australia), Suva and Levuka (Fiji), Apia (Samoa), and
London.
The Bank has facilities for transacting every description
of Banking Business. It invites the establishment of Wool
and other Produce Credits, either in sterling or dollars, with
any of its Australasian Branches.
LONDON OFFICE: 1 Qneen Victoria Street, MaoMon Hoote, E.G. 4
CHIEF CANADIAN AGENTS .
Canadian Bank of Commerce Bank of Montreal
Real Banking Service
All branches of this Bank are in
a position to give the most com-
prehensive Banking service.
Government and Municipal
Securities are dealt in. Foreign
Exchange bought and sold.
Money Orders and Letters of
Credit issued. Collections made
on all points in Canada or
overseas.
IMPEKIAL BANK
OF CANADA
212 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited. Edinburgh and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
Fifty-five Years of
Banking Service
Time has demonstrated the sound-
ness of the policies on which the
first Board of Directors founded
this Bank fifty-five years ago —
October, 1865 — and which have
continued throughout its existence.
Union Bank of Canada
THE
Bank of Nova Scotia
Established 1832
Capital
Reserve
Total Assets
$9,700,000
$18,000,000
$230,000,000
GENERAL OFFICE : TORONTO, ONT.
H. A. Richardson, General Manafjer
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic. Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
55. OLD BROAD STREET. E.C.2
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
L. Columan, president and niunafririfr director of the
Nortii American Life Assurance Company, has been elected
to the directorate of
the Consumers' Gas
Company, Toronto. W.
.Mulock, a member of
the legal firm of
Mulock, Milliken, Clark
and Redman, Toronto,
has also been elected
to the directorate of
the Gas company. The
Consumers' Gas Com-
pany, in its financial
statement shown in de-
tail elsewhere in this
issue, has been able to
report better results
for the year just
closed, due to the in-
leases in rates which
were pranted. Ar-
rangements are also
being made to intro-
iluce new capital into
the business in order
to keep pace with the
growing needs of
the city of Toronto.
Operating expenses
have risen rapidly
during the past two
years, snd last year earnings were not suflicient to meet
dividend requirements. This year there was a surplus
after paying dividends.
R. A. Dalv. of R.
stnirnl li;iiiki IP. who
Daly and Company, Toronto in-
iiiiiip.iMy reccntl!,! purchased a
seat on the Tor-
0 n t o Stock Ex-
change, has been
elected to ropre-
s e n t his house
on the floor of the
exchange. Mr. Daly
was born at Napa-
nee, Ont., and was
educated at Xapa-
nee Collegiate and
the Toronto Uni-
versity. In 190C
he grnduntod from
the latter institu-
tion us a B..-\., and
enteroil the service
of the Crown Bank.
For one year he
»p?-vod with that in-
' ■ ' ■ ind then
lie Bank
Soclin.
1 - to 1!>U
itionj in
I..;..;,:., .wid New
York, and in 1911
was appointol in charge of the bank's investment depart-
ment at the head offlce, Toronto. He inau(rurat«d his present
business in August, 1916.
M. r • ■ :■ ■: - - \-.
surancc i
manager ' ,
life and AcviJciU Aai>us\ii>Ct.' Cumpuiiy, \Valci'lo4>.
Hon. Hsu Un Yuen, president of the North China
Banking Corporation, arrived in Victoria, B.C., recently on
his way to New York, to negotiate for the balance of a
$20,000,000 loan against tobacco and wine revenue between
the government of China and the Pacific Development Com-
pany, which was arranged last year. Only $5,000,000 has
been advanced up to the present and the Chinese government
is anxious to receive the rest.
Major E. L. McColl has been appointed Canadian trade
commissioner to Brazil. Trade between Canada and Brazil
goes largely through the United States, and it is the object
of Major McCoIl to get that trade carried out direct. "Se%'-
eral millions' worth of business goes via New York an-
nually," he said, "and it is my object to adjust this so that
Canadian shipping and merchants may get the benefit."
H. G. FOBMAN, hitherto assistant treasurer of the Cana-
dian Northern Railway, Toronto, has been appointed treas-
urer of that system. His jurisdiction will also include the
Grand Trunk Pacific. As a result of Mr. Forman's ap-
pointment, the
following
changes will take
place: F. J.
Fuller is ap-
pointed assistant
treasurer in
charge of local
treasurers and
paymasters. His
office will be at
Toronto. T. J.
Macabe is to be
assistant treas-
urer with super-
vision over tht
registrar a n <l
transfer depart-
ments, with office
at Toronto. Mr.
Macabe -was
formerly regis-
trar and transfer
officer. C. 1 1
Hickie is a p -
pointed assistant
treasurer in
charge of Grand
Trunk Pacific Railway and Canadian Government Merchant
Marine Limited, general accounts, with office at Toronto. D.
R. Gunn succeeds T. J. Macabe as registrar and transfer
officer with office at Toronto. T. H. Best is made assistant
to the trea.-jurer at Toronto in charge of general accounts,
etc. S. J. Potter remains local treasurer at Toronto.
OBITUARIES
C. W. Anderson, one of the oldest residents of Oakvdle,
Out., died there on October 22, in his eighty-third year. For
many years he was a member of the town council and also
rcpre.scnted the municipality on the county council. With
his son, Mr. Anderson conducted a private bank m the town,
with a branch at Palnicrston, but fifteen years ago the busi-
nes.s was sold.
F. H. Whitton, general manager of the Steel Com-
pany of Canada, dietl at Hamilton, Ont., on October 24, after
a serious operation. Mr. Whitton was born in Northamp-
tonshire, England. 61 years ago and spent his early youth
m that country. He attended college at Cambridge, biit when
18 years of age came to Canada and entered the employ of
the Grand Trunk Railway at Montreal. He later removed to
the United States, but returned to Canada to assume the
management of the Ontario Tack Company, which position
he held till 1907. When the Steel Company of Canada was
formed Mr. Whitton was appointed assistant general man-
ager and in 1916 became general manager.
October 29, 1920
THE MONETARY TIMES
U
The Sterling Bank
OF CANADA
SmiiiJuunuDiif
mnnitiininioniiiuiiiS
Sterling Bank Service means that every transaction
to which this Bank is a party, receives the stimulat-
ing influence of personal effort.
Head OHice
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Koyal Charter and Act of Parliament. EsTAULieiiKD 1825
Capital Subscribed ,. /5, 000, 000 825,000,000
Paid up 1,100,000 5,500,000
Uncalled 3,900,000 19,500,000
Reserve Fund 1,000,000 5,000,000
Head Office - EDINBURGH
WILLIA.M CARNKOIE, Gener:<l .Manager. GEOKGH A. HUNTER. Stc.
LONDON OFFICE— 37 NICHOLAS LANE, LOMBARD ST.. E.C.J
T. C. RIDDELL. DUGALD SMITH.
.Manager Assistant Manager
Tlie agency of Colonial and ForeiBn Banks is undertaken, and tlie Accep-
tances of Customers residing in the Colonics domiciled in London, are
retired on terms which will be furnished on application.
THE STANDARD BANK OF CANADA
Quarterly Dividend Notice No. 120.
A dividend at the rate of Three and One Half per
cent. (3'z) for the three months ending 3l8t October,
1920, has been declared payable on the Ist of Novem-
ber. 1920. to Shareholders of record as at the 2lsl of
October. 1920.
By Order of the Board.
C. H. EASSON,
General Manager.
Toronto, September 22nd, 1920.
The Dominion Bank
ESTABLISHED IS7I
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efflcient service in all departments ot Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
THE
Exchange Rate
v.— What Controls It?
THE previous numbers of this series ex-
plained that the foreign dollar is not
money but a commodity, and that the
inconvenience of settling international debts
in gold has led to the use of Bills of Ex-
change. We now come to the effect of the
Trade Balance on the exchange value of
the dollar.
If we bought from the United States
goods to exactly the same value as those
we sold to them, broadly speaking, there
would be no exchange problem between us,
since the amount of Bills of Exchange
offered for sale in each country would just
cover the requirements of those wanting to
pay debts in the other.
At present, however, we are buying
fi-om the United States far more than they
are from us. In consequence many Bills
of Exchange, representing Canadian dol-
lars, are being offered in the money mar-
kets of the United States by American
vendors and few bids are being made for
them. The holders, to dispose of them,
lower the price until they become a tempt-
ing bargain. The Canadian dollars are
therefore at a discount in the United
States.
On the other hand, only comparatively
few United States dollar Bills of Exchange,
created by the sale of Canadian goods, are
being offered in Canada and there are
many bidders who want to buy them to
pay their debts in the United States. In
consequence the competition is keen, the
price rises and United States dollars are at
a premium here.
We will deal next week in No. VI. with
the effect on the exchange rate of one
result of war financing, namely ths Infla-
tion of the Currency.
THE CANADIAN BANK
OF COMMERCE
Capital Paid Up - $15,000,000.
Reserve Fund - $15,000,000.
Thii jcricj, m/icn complcUj, ailt be puh-
li^heJ in pamphUl form. If jjou deairc u
copy, mri/c (o our Head Office, Toronto.
HE MONETARY TIMES
Volume 65
AIM'KEHENSION KEGARDIXG MlNKIl-AI, 11. NANCES
Tax Kates are lUiih and Will be Hifher, with .Much Pro-
perty KeNertint; to Cities— I'riiKress of Irritjation—
UusinesH Generally Quiet
(Staff Correnpondcncc.J
Calgarj-, October 28th. 1920.
FALL conditions in Alberta seem to be satisfactory— rather
quiet just now for this season of the year, but a verj-
open fall is being experienced, and farmers are busy on their
land, getting ready for ne.xt year. There is a tendency also
to hold wheat shipments on account of the price being lowci-
than anticipated. In Medicine Hat business was fairly brisk,
with manufacturing plants going at full capacity in several
instances. With cheap fuel, and no sign whatever of it
diminishing. Medicine Hat should make considerable progress
in the next few years. At present the board of trade are put-
ting on an active membership compaipn, the aim being to
enroll four hundred member.-?.
Irrigated Lands Sell at High Prices
The need of irrigation is felt more each year around
Medicine Hat. Large tracts of irrigated land are available,
and it is steadily being taken up at prices ranging around
$75 an acre. Mayor Brown, of Medicine Hat, is doing a great
service to western Canada in connection with the Western
Canada Colonization Association, which he has fathered, and
is now pushing so successfully in eastern Canada. The great
need of the West is undoubtedly the bringing in of a desir-
able class of settlers and the proper looking after them when
they do come.
" The outlook this fall in Calgan,- is good— somewhat quiet
just now, but no one is feeling at all pe.ssimistic. Alberta.
as a whole, has a much better crop than last year, although
not as good as was expected. Wholesale business is fairly
good, but collections are rather slow at present. Alberta
seems to have the best crop yield of the three provinces this
year. Some threshing still remains to be done, but with the
!,r..m Ml i.pfn weather it will all be completed soon.
Dilliculties in Municipal I'inance
11. 1 convention of the Union of Alberta Municipalities
opens on .November 9th in Ix;thbridge. Some apprehension
is felt as to the financial outlook for many of the western
cities. The mill rate is high at present, 40 and over in some
cases, but it will undoubtedly be higher next year. In Cal-
garj', ju.st la.st week, some four million dollars' worth of pro-
perty reverted to the city, some of it central inside property
that owners did not seem to think worth while redeeming.
In Lethbridge and district the feeling is good. The outlook
for irrigation is greatly improved ami the Lethbridge North-
ern project will now be rapidly pushe<l forward. Irrigation
is the salvation of Southern Alberta, and much credit is due
to irrigation associations and to those who have preached
the gospel, in season and out, for the Inst ten years. Their
labors are, year by year, bearing more fruit.
The absence this fall of a Victoo' Loan campaign in the
West seems to leave a vacancy. This may account for the
rather quiet period at present being experienced. With ideal
fall weather and great preparation being made for next
year, the outlook in the West is encouraging.
( I. K TO BUILD NEW LINK
A contract has bwn signed between the Canadian Tncific
Railway Co. and the government of the province of Qnrhcr
for the building of 54 miles of railway line in I i
ing ri'gion. which will open to transportati' •
most fertile sections of the province. The
signed by M-'s.ors. Beatty. president of the C.I'.K. ; viumt
Hall, vice-president, and A. D. MacTicr. second vice presi-
dent, while Hon. Antonin Galipeault signed for the Provincial
government.
VALUATION FOR CUSTOMS PURPOSES
Ruling of Department Was Belated and Instructions Were
Obscure — United States Still Favored by
Valuation at Par
By a. B. Babkee
UP to a very short time ago the Canadian customs' valua-
tion of invoices in foreign cun-ency was made at pai
and the duty charged on this amount, regardless of the rate
of exchange. The result was that, while the duty charged
on invoices from the United States was based on an under-
valuation, that on imports from Great Britain and other
European countries was based on an absurd overvaluation.
With a duty, say, of 40 per cent, on an article from the
United States when American funds were at a premium of
15 per cent., the effect of this method was to cut the rate
of duty to 34 per cent. On an article imported from France,
whose currency is now worth less than one-third its former
value, the effect of a 40 per cent, duty, based on the par of
exchange, would be to make the rate of duty actually charged
something like 120 per cent. Of course, this rate was not
paid, as, by buying the article from an American importer,
this weird ruling of the Canadian customs could be gotten
around.
In thus buying from the American importer the Cana-
dian paid the duty on the American wholesale price, though,
as the goods would be purchased out of bond, he would pay
for them at the actual European pl:ice, plus, of course, a
profit to the American importer, who is not in business for
his health. The department insisted on thus penalizing the
imports from Great Britain in favor of the American dealer,
regardless of the fact that the members of the government
were urging Canadians to buy as far as possible in Great
Britain and curtail purchases in the United States in order
to correct the rate of exchange. The ostensible reason for
this ruling was that the low rate of exchange on European
funds would permit "dumping," but prices have advanced in
Europe in proportion as the value of their currency has
depreciated.
Now Based on Current Rate
Recently the Customs authorities realized the absurdity
of their course and made a new ruling. The language, how-
ever, in which it was drawn was so obscure that some four
circulars within a month were necessary to explain its mean-
ing. The basis of valuation now is the value of the foreign
currency in its relation to gold, and for customs purposes
the value of this currency is considered to be the rate of
exchange on Canada in the country of origin at the date of
shipment. The new ruling, however, still discriminates in
favor of shipments from the United States, for, as the cur-
rency of that country is on a parity with gold. American
invoices are valued at jiar for duty purposes in Canada. If
they were treated like the others the value would be based
on the present value of Canadian funds in New York. There
may be good reasons for this favored treatment, but the
practice hardly coi-responds to the preaching of those in
authority, who urge increased trade with Europe.
The action of the department in taking the rate of ex-
change in the county- of origin, instead of the rate current
in Canada, is also a matter of surprise to the ordinary
mortal, as the simplest method would be to accept the Cana-
dian rate of exchange on the foreign markets as the basis
of calculation.
Bearing on Foreign Trad.'
The whole question has a distinct bearing on our foreign
trade, as, if we are to export our surplus, we must accept
goods in exchange for those we ship. We have done so in
the past, hut not directly. We sold to Europe, and with the
proceeds purchased goods in the United States, so that in
reality we exchanged goods for goods. This being the case,
the part of wisdom would appear to be to get as much goods
in exchange for ours as possible. This has nothing whatever
to do with the relative merits of protection or free trade.
It is purely a matter of getting our money's worth.
October 29, 1920
THE MONETARY TIMES
16
A Newspaper Devoted to
Municipal Bonds
'T^HERE is published in New \'ork Cily a daily
and weekly newspaper which has for over
twenty-five years been devoted to municipal
bonds. Bankers, bond dealers, investors and
public officials consider it an authority in its
field. Municipalities consider it the logical
medium in which to announce bond offering's.
Wrife for free specimen copies
THE BOND BUYER
67 Pearl Street New York, N.Y.
fHomeBankofCanadai
SAFETY DEPOSIT BOXES FOR RENT
For a small annual rental -about one cent
a day you may rent a Safely Deposit Box
in our fire and burglar proof vaults. Abso-
lute security for Bonds, business papers
and valuables. Private access to the boxes
any time during banking hours.
Branches and Connections Throushout Canada
Head Office and Eleven Branches in Toronto s '
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
THE-
Weyburn Security Bank
Chartered by Act of the DominioD Parliament
head offich. wkylil'kn. saskatchewan
Branches in Saskatchewan at
Weybuni, Yellow Grass, McTaggart. Halbrite. Midale,
GriflSii, Colgate, PaiiKUian. Radville, Assiniboia. Benson,
Verwood, Readlyn, Tribune. Expanse. Mossbank, Vantage.
Goodwater, Darmody. Stoughton. Osage, Creelman and
Lew van.
A GKNKRAL BANKING BUSINES.S TRANSACTED
H O POWl-LL. General .Manager
TH€ MCRCMANTS BANK
Head Office : Montreal. OF CANADA.
Established 1864.
Capital Paid-up, $8,400,000 Reserve Fund and Undivided Prolits, $8,660,774
Total Deposits (30lh Sept., 1920) - Over $167,000,000
Total Atsett (30tb Sept., 1920) - Over $205,000,000
Sir I'. OrrOe«- Lewis, Bart.
Hon. C. C. Ballantvne
F. Howard Wilson
Board of Directors :
SIR H. MONTAGU ALLAN Vice-President
Farquhar Robertson
Geo. L. Cains
Alfred B. Evans
Thomas Ahf.arn
Lt.-Col. J. R. MOODIK
Hon. Lorne C. Webster
General Manager . ■ D. C. Macarow
Supt. of Branches and Chief Inspector : T. E. Merkctt
(jeneral Supervisor - - - W. A. .MeldrL'M
A. J DAWES
E. W. Kneeland
(iORDON M. McGkKCOR
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice.
399 Branches in Canada, extending from the Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookall, Agents
London, England, Office, 53 Cornhill : J. B.Donnelly, D.S.O., Manager.
Bankers id Great Britain : The London Joint City & Midland Bank, Limited, The RoyaJ Bank of Scotland
THE MONETARY TIMES
HANK UKANCU NOTES
During the month of September there were twelve
branches of Canadian banks opened. The following
have not already been mentioned in The Monetary 'I inus:
Boischatcd, Ange Gardien, Que., Nationale; Lisle, Ont., Mer-
chants; Moose Jaw, Sask., Merchants; Notre Uame des Boise,
Que., Nationale; West Edmonton, Alta., Hochelaga; Wester-
ham, Sask., Standard.
Out of five branches closed in Seplcmber two have not
yet been mentioned in The Monetary Times: Caistorville, Ont.,
Union; Port Carling, Ont., Nova Scotia.
The branches opened were distributed among the banks
as follows: Nationale, 2; Dominion, 1; Commerce, 1; Mer-
chants, 2; Royal, 2; Nova Scotia, 1; Toronto, 1; Hochelaga,
1; Standard, 1.
The Royal Bank of Canada announce the opening of a
branch at Hay Lakes, Alta.
R. J. Williams has been appointed acting manager of
the Bank of Montreal, at Regina, Sask.
James Cameron, who has been manager of the Canadian
Bank of Commerce at Swift Current, has been appointed
manager of the branch at Moose Jaw. Mr. Cameron is suc-
ceeding Arthur Maybee, who has been appointed manager
of the main branch at Calgary.
CANADL^N BUSLXESS FAILURES
The number of failures in the Dominion, as reported by
R. G. Dun and Co., during the week ended October 22, 1920,
in provinces, as compared with those of previous weeks and
corresponding weeks of last year, are as follows:—
EXCHANGE QUOTATIONS
Glazebrook and Cronyn, exchange and bond brokers,
Toronto, report local exchange rates as follows: —
Buyers. Sellers. Counter.
N.Y. funds 10 9-16 pm 10 11-16 pm
Mont, funds 10c. dis. Par. % to Vi
Sterling —
Demand $.'?.83.'>0 $.3.8450
Cable transfers . . . 3.8450 3.8550
Bank of England rate, 7 per cent.
New York quotations of exchange on European coun-
tries, as supplied by the National City Co., Ltd., Toronto, as
at October 28, 1920, follow: London, cable, 347; cheque,
346Vi; Paris, cable, 6.35; cheque, 6.34; Italy, cable, 3.74;
cheque, 3.73; Belgium, cheque, 6.73; Swiss, cheque, 15.75;
Spain, cheque, 13.82; Holland, cheque, 30.46; Denmark,
cheque, 13.70; Nor%vay, cheque, 13.60; Sweden, cheque, 19.44.
(JKAIN M<t\K\IKNT SWELLS CUUKKNT LOANS
An increase of more than $32,000,000 in current loans
in Canada, largolyas a result of the western crop movement,
is shown in the SeptembiT bank statement. Savings de-
posits increaseil by about $8,500,000. while demand deposits
increased by nearly ?37.000.000. The following are the ad-
vance figures: —
Changes from
Sept., 1920. Aug., 1920.
Reserve fund > 130.325.640 + $ 142.980
Note circulation 231.094.885 + 3.721.021
Demand deposits 677.286.905 4- 3r..92r,.19S
Notice deposits 1,270.194.097 + 8.5.V-!74
Total depo.sits in Canada .... 1.947.481.002 + 45.477.572
Deposits outside Canada ... 355.238.992 — 1.331,184
Current coin 81,0:'.V.' :• ' -\<|5
Dominion notes 173... '"'.'
Deposits, central gold maoi-^o 109.01 J. "00
Call loans in Cannd.i 114.669.611 .'-HS
Call loans outside . . 186,962,960 .JS5
Current loans in Canada ■ • ■ -- ■ cOS
Current loans outside ... ''•'
Total liabilities .'32
Total assets :;.140.OU,:69 i (.is.j.;j.942
A detailed review will be given in these columns next
week.
Date.
4J
3
s
Ir.
d
w
ca
W
1^
a
o
<y
S
<
OT
pa
^
'A
(^
H
Oct. 22 . .
1
8
1
:i
2
1
1
2
0
19
Oct. 15 . .
?.
10
2
0
2
0
0
3
0
19
7
Oct. 8 . .
5
10
0
0
2
2
0
0
0
21
10
Oct. 1 ..
.. 3
4
0
1
3
4
0
2
0
17
11
RAILROAD EARNINGS
The following are the approximate gross earnings of
Canada's transcontinental railways for the first three weeks
in October: —
Canadian Pacific Railway.
1920. 1919. Inc. or dec.
October 7 $5,356,000 ?3,965,000 + $1,391,000
October 14 5,689,000 4,029,000 + 1,660,000
October 21 5,983,000 4,241,000 + 1,742,000
Canadian National Railway.
October 7 §2,657,913 $2,140,414 + ? 517,499
October 14 2,901,802 2,012,883 + 888,919
October 21 2,917,348 2,167,313 + • 750,035
Grand Trunk Railway.
October 7 §2,737.818 $2,115,530 + f 622,288
October 14 2,557,273 2,148,124 + 409,149
October 21 2,666,086 2.101,885 + 564,201
WEEKLY BANK CLEARINGS
The following are the Bank Clearings for the week
ended October 28, compared with the corresponding week last
year: —
Week ended Week ended
Oct. 28, '20. Oct. 30, '19. Changes.
Montreal $132,674,083 $134,179,180 — $ 1,505,097
Toronto 108,985,304 92,906,762 + 16,078,542
Winnipeg 94,572,053 68,758,319 -|- 25,813,7.34
Vancouver 21,104,740 15,521,230 + 5,583,510
Ottawa 8,707,504 8.046,645 -|- 660,859
Calgary 11,495,887 10,503,563 -|- 992,324
Hamilton 8,174,155 6,136,462 + 2,037,693
Quebec 7,141,644 5,485,024 -|- 1,656,620
Edmonton 5,318,032 4,985,578 + 332,454
Halifax 4,720,636 4,581,093 -|- 139,543
London 3,557,332 3,108,514 + 448318
Regina 5,483,341 6,117,952 — 634,611
St. John 3,439,0.30 2,891,999 + 547,031
Victoria 4,097,990 2,260,568 -f 1,837,422
Saskatoon 2,845,613 2,445,644 -f 399,969
Moo-sc Jaw 2,620,320 1,989,817 -f 630,503
Brantford 1,486,787 1,220,848 + 265,939
Brandon 937,118 1,056,422 — 119,304
Fort William 1,031,707
Medicine Hat . . . 759,796 593,237 + 166,569
New Westminster 821,197 623,.360 + 197,837
Pctcrboro 1,025,111 870,593 -f- 154,518
Sherbrooke 1.120,245 769,774 -|- 3,50,471
Kitchener 1,630,156 1,018,472 -f 611,684
Windsor 3,375,919 2,307,432 -I- 1,068,487
Prince Albert . . . 440,654 463,631 — 22,977
Totals ?4.36.534,647 $378,842,119 -f $57,692,528
Moncton 790,906
October 29, 1920
THE MONETARY TIMES
It
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(ESTABLISHRU IS17)
PAID UP CAPITAL - ^|-. ....-.$ 23,828,500.00
RESERVE FUND - - - . C ^^^ 16,375,000.00
RESERVE LIABILITY OF PROPRIETORS ^■l^^^^'mf - '- 23 828 500 00
U^^^^U^I^kL $ 64,032,000.00
AGGREGATE ASSETS 31st MARCH. 1920 - ^^<t«j£>-J"^^ $377,721,211.00
Sir JOHN RUSSELL FRENCH. K.B.K.. General .Manager
351 BRA.N'CHBS and AGENCIES in the Australian States. New Zealand. Fiji, Papua (New Guinea), and London. The Bank transacts every description
of Australian Bunking; Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET, E.C., 2.
A.^Hvrs: H4M< OF .MONTRICAL. KOYAL BANK OF CANADA
BUSINESS FOUNDED 1795
INCORPORATED IN CANADA 1897
L
American Bank Note Company
ENGRAVERS AND PRINTERS
BANK NOTES, BON DS. MUN ICIPAL DEBENTU RES, STOCK
CERTIFICATES, CHEQUES AND OTHER MONETARY DOCUMENTS
Special Sate;iuards Again&t Countertciting Work Acceptable
Head Office : OTTAWA 224 Wellington St.
BRANCHES
I all Stock Exchanges
George Edwards, F.C.A. Arthur H. Edwakus, 1".C..-\.
H. PxxcivAL Edwards
Chas. E. White
O. N. Edwards
A, L. STKVE.Ki.S
W. Pomeroy Morgan
T. J. Macnamara
J. C McNab
W. H. Thomi'son
A. G. Edwards
Thos. p. Geggie
C. Percy Roberts
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORO.NTO ..
CALGARY
VANCOUVKR
WINNIPK'i .
MONTREAL
CORRESPONDENTS
HALIFAX. N.S.
LONDON, ENG.
CANADIAN MORTG.AGE BUILDING
HERALD BUILDING
LONDON BUILDING
ELECTRIC RAILWAY CHAMBERS
McGILL BUILDING
ST. JOHN, N.B.
COBALT, ONT.
NEW YORK. U.S.A
ESTABUSHED l«7Q
Alloway & Champion
Bankers and Brokers
Mwnberi of Winnipeg Stork Eich.nK'
362 Main Street
Winnipeg
Storks and Bonds bouKht
and sold on commission
Winnipeg, Montreal, Toronto and New York Exchanges
Are You a Trustee ?
If" SO, you may be interested to learn that
this Corporation alsoacts as agent for per-
sonal Trustees, taking charge of the
administration of estates for them and
performs such duties as keeping estate
funds fully employed in high-class invest-
ments, collection of revenue, cutting cou-
pons, management of real estate, rendering
statements and remitting balances to bene-
ficiaries at regular intervals, keeping securi-
ties in Safety Deposit Vaults, etc. Many
Trustees find this the most satisfactory way
for them to administer an estate — by turn-
ing it over to us as their agent and at the
same time retaining the responsibility im-
posed on them under the Will.
Write or call for our rates on this class
of business.
THE
TOROTSTOGEySERMTRUSTS
Corporation
Head Office
Branches : Ottawa
TORONTO
\^innipcg Saskatoon Vancouver
HE MONETARY TIMES
Volume 65.
THK II.NA.NHAL OUTLOOK IN ALUERTA
(;(ii.d Crop is I'owerful InHuence, Bui Credit is Tight
and Taxes are High
By Angus Lyell
FINANCIAL conditions in Alberta in t'enerul are dependent
on the produce of the field. The province is essentially
an agricultural one, although it has vast mining resources,
particularly coal and probably oil. During the summer
months, business is generally dull, pending the outcome of
of the harvest. Should the crop prove a failure, then a more
or loss hard winter in the cities would follow. Climatic con-
ditions, over which man has but little control, are the govern-
ing, and unknown, factor in crop production, on which the
financial prosperity of the province depends.
A long, hard winter, extending from the sixth day of
October to the third day of May; stringent financial con-
ditions, due to three crop failures in succession; shortage of
feed, causing heavy loss of live stock; spring operations
fully four weeks behind the average; these factors did not
cause a bright outlook at the beginning of the season, but
still there was optimism, which has been fully justified. The
crop on an acreage basis is the best on the prairie.
Estimated Wheat Yield
Returns as yet arc not complete; but the latest esti-
mate of the Dominion Bureau of Statistics is that .A.lberta
will have a wheat crop of 82,972,000 bushels, compared with
40,:?05,000 bushels for Manitoba and 136,880,000 for Sas-
katchewan. This is a very excellent result, considering the
fact that, owing to the lateness of the season, oats had to
be sown in certain districts instead of wheat.
The area under cultivation in wheat this year has been
estimated at about .•{,500,000 acres, which is considerably in
excess of that of 1915, which was a record year for pro-
duction, when there were 2,138,031 acres in wheat, 1.827,071
acres in oats, and 301,009 acres in barley. More land was
brought under cultivation during the years of the war, with
the result that to-day, while the average yield per acre for
wheat is much less than in 1915. the total production may
be 23.000,000 bushels more. Perhaps wheat may average
only from eighteen to twenty bushels per acre, as against
31. i2 bushels in 1915.
Values Will Re High
The price, unless there is a sharp and unforeseen break,
should considerably exceed that of 1915, when the average
price of wheat was eighty cents; of oats, thirty-one cents;
and of barley, forty-four cents; the total value of the yield
being— wheat, $58,325,600; oats, $25,532,900; and barley, $1,-
340,400. If wheat averages $2.60 a bushel, the return will
he nearly four times that of 1915, while the revenue from
oats and barley should be at least double.
The cost of putting in and taking off the crop has been
heavy, due not only to the high rate of wages prevailing for
farm help, but the outlay for seed. The obligation of the
province for seed grain loans, according to the estimate of
the minister of agriculture submitted at the last session of
the legislature, was approximately four million dollars. This
represents advances to those who have had crop failures,
and tells, in part, the story of the hardships of the last
three years. Such loans are. of course, a lien on the land
and its produce, and will now have to be paid. It has been
estimated that should the price of wheat fall below $1.60 a
bushel, there will be an actual loss in farming operations.
It is well to keep this in mind when considering the bumper
crop.
Financing the Crop
The Wheat Board has ceased its operations and there is.
consequently a good deal of speculation on the financing and
marketing of the crop. The amount required to move the crop
will be large, and the Canadian Council of Agriculture think
that the government should have continued in control fo
another year. The farmers' companies are hardly stronr
enough financially to meet the situation; local bankers caj
operate but within specified limitations; and perhaps, afte
all, the government may have to lend its assistance.
The crop, on the whole, is good all over the province
but especially so in the dry belt in the south and in the Peaci
River district in the north. True, there are spots where thi
yield is but scanty, as in the neighborhood of Macleod am
Medicine Hat. Round Lacombe, again, where there is usually
ample moisture, there was too little this year, with the re
suit that the crop there is not up to the average. Generallj
speaking, however, the yield is good.
Railways Are Doing Better
The moving of a heavy crop is usually a serious problen:
for the railways. In the districts fed by the Canadiar
Northern there was cause for much complaint in the olo
days, but since the government obtained control of the line
the service has been substantially improved. In the Peace
River district, there will be much better transportation
facilities this winter; the Canadian Pacific Railway Company
is doing its best to put the Edmonton, Dunvegan and British
Columbia line in working condition.
Business in the cities has been dull for months, pend-
ing as usual the outcome of the harvest. But while there
are ah'eady signs of increased activity, it may be com-
paratively late in the year before there is much substantial
improvement. At present there is but little money in circu-
lation, and credit has been, and still is, restricted . Where
there ai'e specific contracts for future delivery, farmers can
obtain advances against these. In other cases, borrowing is
not easy. Then there are the existing debts to be liquidated.
In view of the hardships of the past three years, it is hardly
likely that the net balance will be squandered in luxuries,'
although in former years where there were good harvests
spending has usually been free.
Prices as elsewhere maintain a high level. But the de-
mand for some commodities has been limited. Certain
articles of clothing may be mentioned. The good crop, how-
ever, may tend to stimulate trading and, in that way, help to
maintain a high level in prices.
In most of the towns and cities there has been a sub-
stantial increase in taxation during the year. The rate in
Calgary jumped from 36.5 to 44.75 mills; in Edmonton, from
35.3 to 45 mills; in Lethbridge, from 38.87 to 42 mills; and
in Red Deer, from 30 to 40 mills. And it is difficult to see
how further increases can be avoided. The area of most of
the cities is far too large, because of foolish speculation in
land in the boom days, and the tendency now is towards con-
traction, through the reconversion of some of the sub-
divisions into farm lands. Tax sales, which are now com-
pulsory, are burdening the cities with vacant lots, and the
problem is what use can be made of these. At present, they
are unsaleable.
Coal Market Restricted
While the coal output will likely exceed that of last
year, development remains slow. The big problem is the
opening of a wider market. The barrier is the high cost of
transportation. Economic and industrial pressure may be-
fore long solve the question of a market in the east. The
mines, both at Drumheller and Lethbridge, are capable of
big development. Even those now operating, if worked all
the year, could produce over ten million tons annually. And
last year Canada imported 17,308,837 tons of coal, valued at
$61,160,799. as against exports of 2,070,050 tons, valued at
$12,438,885.
But, on the whole. ,\lberta has had a prosperous year.
And there is still much scope for agricultural and industrial
development in the province. Probably less than one-fourth
of the occupied area is under cultivation, while mining is
but in its infancy. The proceeds of the crop this year, how-
ever, will be used l.irgcly in paying existing debts. It is
next year's harvest, if there is a bounteous one, that will
P'v.i the impetus to development.
October 29, 1920
THE MONETARY TIMES
IB
The Dollar You Spend Now
th bjt
ThcdoU.ir
low wili be u.Tth lOiic. Today
IS the time to save.
The way to save is to open an account with the
UNION TRUST COMPANY, LIMITED
No formality or red tape. Interest at 4% is added regularly to your
account, and cheques may be dr
Our location is com-
I aga n&t
ml Ifivi <
»/><i«
Union Trust Company, Limited
HENRY F. GOODERHAM. Pre.ident '
TORONTO - - Cor. Richmond and Victoria St».
WINNIPEG. MAN. LONDON. ENGLAND
i% on Savings— Withdrau'able by Cheque 46
A Trustee
with the facilities sucli as lho^.f posM»c.i by this Couipauy,
is one which is in an eminently satisfactory position to
(leal to the best advantage with all business which may
come before it. With Hranch OfTices from the Atlantic to
the Pacific, our customers' affairs, no matter in what Pro-
vince, receive that direct attention which cannot but be
conducive to their interests. We shall be plad to be of
service to you.
THE CANADA PERMANENT TRUST COMPANY
Paid-up Capital
Sl.OOO.OOO
Manager
TORONTO STREET
TORONTO
Ontario Branch: A. E. He
The imparii.\lity of the acts of a TRUST COMPANY and Its freedom
from improper influences are some of the adv. intakes offered m
The Management of Estates
We will gladly discuss this matter with you.
CAPITAL, ISSUED AND SUBSCRIBED . .Si. 171. 700.00
PAID-UP CAPITAL AND RESERVE..
1,172,000.00
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE: WINNIPEG, CAN.
BRANCHBS :
WESTMINSTER TRUST COMPANY
The Oiliest Provincial Trust Company in B C.
Head Office - NEW WESTMINSTER. B.C.
GENERAL FINANCIAL AGENTS
AdmiuittraUn, /ttctivtn. Encmlon. Llimidattn, Auit»**». Tnntsti
H. A. KIDDELL. Maniifier
The Security
Trust
Company,
Limited
Head Office
-
Calgary,
Alberta
Liquidator, Truitee
, Receiver
Stock and Bone
Brokers,
Adminislrator, Executor.
General Fininci
.1 Agents.
W. H. CONNACHER
Prcs. and Ma
naRing Director
THE BANKERS
TRVST GOMB^NY
Head Offices: MONTREAL
Authorized Capital
$1,000,000
PreiiJcnl -
SIR H. MONTAGU ALLAN. C.V.O.
A. J. DAWES
JAMES ELMSLY
C. D. CORNELL
Vicc-Prcsidenis -
D. C. MACAROW
General Stonagcr
Sccrclory
Directors:
Sir H. Montagu All.n. i. M. Kilbou
T. Ahearn [C.V.O. " "■
C. L. Cin.
A. 1. D.we.
A. B. Evan.
David N. C. Hogg
W
Uitch
F. Of.
D, C. Macarow
W. A. Meldrum
T. E. Mrrrett
U-Col. J. R. Moodie
Farquhar Robertaon
Hon.LorneC.Wekilet
F. Howard WilMn
Edwin H. WiUon
John Wilaon
Offices now open in Montreal. Winnipeg,
Calgary, St. John, N.B., Halifax, Retina.
Vancouver, Victoria and Toronto.
emises in Merchants Bank Building in each city
Canadian Financiers
Trust Company
Head Office
Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
.Aj^'eiUs for investment in all classes of Securitii—
iiusiness Agent for the R. C. Arclnlioccse of Vancouver.
Fiscal Agent for B. C. Municipalities.
fnquirieM Invittd
nrrnl tliinnKrr ■ l.lfnl.-< nl. <.. II. ItoUKlXI
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acli ai Eiecutor. Admlniilralor, Truitte, Guardian, Liquidator
A»i|nce, aod in anjr other fiduciary capacity.
Official .^ll^linistrHtor for llic Northern Judicial
District and tlic Dauphin Judicial District in
Manitoba, and Official Assignee for the Western
Judicial District in Manitoba and the Swift
Currcnl Iildicial District in S.iskatcliew.m.
Branch Office - - Swift Current, Saakatchcwan
JOHN R LITTLE. Managing iJirectnr
20
HE MONETARY TIMES
Volume 65.
ACCIDENT AND SICKNESS INSl'KANCE*
Uniform Conditions Drawn L'p and Approved at Uecint Con-
ferences— Ready for Legislative Conwideration
By a. E. Fisher
Super intendoit of Insurance for Saskatchewan
THE subject of uniform statutory conditions for contracts
of accident and sickness has been assigned to me. This
question was very fully dealt with at the conference held
in Winnipeg on December 4th to Gth, 1917. As there are
quite a number of superintendents who were not then mem-
bers of the association, may I briefly outline for your in-
formation the steps leading up to the standardization at the
date referred to?
In 1917 the superintendent of insurance at Ottawa, in
collaboration with representatives of the Casualty Managers'
Association, prepared for enactment a set of statutory condi-
tions which should form part of every contract of accident
and sickness insurance in force in Canada. Copies of this
draft were sent to each superintendent of insurance for sug-
gestions and criticism, based on the requirements of the in-
surance laws of the particular province. Protests were im-
mediately lodged with the superintendent at Ottawa; in the
first place, on the grounds of jurisdiction, and the second
place, because they did not affect companies of provincial
organization and license which might be underwriting this
class of business.
Difficulty Over Jurisdiction
There is no doubt but that Mr. Finlayson was sacrificing
jurisdiction in the commendable effort for uniformity. I
personally had the pleasure of calling on him relative to this
standardization and thoroughly discussed with him the whole
question. Subsequently, section 134 of the Insurance Act of
Canada was enacted, which states "that every such policy
shall contain in substance the terms and conditions herein-
after specified." Subsection 4 of section 134 states that:
".\ny of the foregoing terms or provisions which are incon-
sistent with terms oi provisions required to be contained in
the policy by the law of the province in which the policy is
issued shall not, to the extent to which they are so incon-
sistent, be required to be contained in the policy."
Uncertainty as to Provisions
This bill does not attempt to compel the companies to
insert these provisions of the policy in the exact words of the
law, as is the case in fire insurance and hail insurance in the
western provinces. Sub.section 4 undoubtedly creates an am-
biguity in the minds of the insured as he does not know
whether or not the provisions printed on the policy are con-
sistent with the laws of the province in which he resides
and in which the policy was issued.
On account of this uncertainty created and the know-
ledge of the provincial powers, it was decided to hold a con-
ference of superintendents in Winnipeg in 1917, mainly for
the purpose of standardizing accident and sickness contracts.
A set of statutor>- conditions was drafted after a thorough
discussion of the subject, and we were ably assisted in this
work by Mr. Emo, of the Globe Indemnity, Mr. Willans. of
the Imperial Guarantee. Mr. Kodden, Mr. Paterson, Mr. Wal-
ker and several other managers well qualified to discuss the
.subject. A meeting was held in the city of Uegina in 1'.»1S.
at which the superintendents of Ontario, Manitoba, Saskat-
chewan and Alberta were present. Mr. Willans was repre-
senting the casualty companies on this occasion. The Win-
nipeg draft was revised and copies sent to the various insur-
ance departments. 1 have with me here to-day a supply of
statutory conditions as drafted in Regina in 1918 and it
Mmplv remains for us to once more review these and pre-
pare them for presenUtion to our provincial legislatures in
the form of a conference bill.
•An address before the conference of provincial insur-
ance superintendents. Winnipeg, October 4—7, 19J0.
PUBLICATIONS RECEIVED
Currency Exchange Tables.— By G. B. Snell, Bank of
Montreal, Montreal. 43 pp.; $7.50.
A book entitled "Currency Exchange Tables, by G. B.
Snell of the head office staff of the Bank of Montreal, is-
sued 'some months ago, has been welcomed by the busmess
houses of Canada as a timely aid for calculating the ex-
change on New York funds. The table gives the exchange on
all amounts from $100 to ?10,000, at all rates from 1/64 to 1
per cent., advancing by six-ty-fourths and from 1 3/32 to 10
per cent., advancing by five thirty-seconds. The exchange
on larger or smaller amounts can be arrived at by simply
moving the decimal point to the right or left as required.
The second edition, just issued, contains in addition a
table showing the comparison between the premium on United
States funds in Canada and the discount on Canadian funds
in the United States. Since the rates have reached their
present high point, to the ordinary person it has often been
a source of wonder that the discount quoted in New York
is a point or two below the rate of premium quoted in Canada.
This new table shows exactly what the difference amounts
to at all rates from 1 16 to 24 per cent., advancing by six-
teenths. For instance, by consulting the table, we see that
when the rate of premium in Canada is 12 1/16 per cent.,
the equivalent discount in New York would be 10.76, or ap-
proximately 10% per cent. The explanation is that if the
rate in Canada was 12 1/16 and one wished to convert $100
of Canadian money into funds, payable in the United States,
the bank would not, as one would at first glance suppose,
deduct $12.06, and issue a draft for $87.94, but would deduct
10% per cent., or $10.75, and issue a draft for $89.25. If
$12.06 were deducted the rate of premium would be consid-
erably more than 12 1/16 per cent., as $10.75 is exactly
12 1/16 per cent, of $89.25.
On the other hand, a customer of a bank in the United
States asking for a rate for a $100 draft, payable in Canada,
would be given the quotation 10.75 discount, as the draft
would cost him $89.25. That is, for $89.25 in American money
he would receive $100 in Canadian funds — an amount 12 1/16
per cent, greater than the sum he would be requii'ed to pay.
To return to the condition in Canada the layman must
not become confused by this explanation and expect to go
to his bank for a $100 draft, payable in the United States,
and pay only $10.75 premium. For a $100 draft on the United
States he would have to pay a premium of $12.06, that, is,
12 1/16 per cent, of $100. The difference is that in one
case he is given $100 in United States funds, and in the other
case he is given the amount of United States funds that
$100 Canadian money will buy.
Bankers will no doubt find the addition to "Currency
Exchange Tables" of great value, as it will be especially
useful when they are called on to remit to United States
correspondents, in New York funds, the proceeds of Canadian
item.s sent to them for collection. The tables will also be of
equal value to all commercial houses that have dealings with
firms in the United States. The price of the book is $7.50,
and can be obtained from G. B. Snell, c/o Bank of Montreal,
Montreal, Canada.
McllKUY BUSINESS TAKEN OVER
The business of F. B. McCurdy and Co., members of the
Montreal Stock Exchange, according to an announcement
from Montreal, has been purchased by a new firm under the
name of Johnston and Ward. The change has been brought
about largely through the appointment of F. B. McCurdy to
the government post of minister of public works, and his
consequent retirement from active business. The new firm
which has taken over the business wll remove the executive
offices from Halifax to Montreal.
The new firm of Johnston and Ward is headed by Capt.
Stanley Johnston, M.C.. and has associated with him R. H.
Mctzlcr. Alfred Bowser, and K. R. Schofield.
October 29, 1920
THE MONETARY TIMES
21
DIVIDENDS AND NOTICES
BANK OF MONTREAL
THE MERCHANTS BANK OF CANADA
Notice is herebj' given that a Dividend of Three Per
Cent, upon the paid-up Capital Stock of this Institution has
been declared for the current quarter, payable on and after
Wednesdaj-, the First Day of December next, to shareholders
of record of 31st October, 1920. .-Vlso a Bonus of Two Per
Cent, for the year ending 31st October, 1920.
By order of the Board.
FREDERICK WILLIAMS-TAYLOR,
General Manager.
Montreal, 19th October, 1920. 262
THE ROYAL BANK OF CANADA
DIVIDEND No. 133.
Notice is hereby given that a Dividend of Three Per
Cent, (being at the rate of twelve per cent, per annum) upon
the paid-up capital stock of this bank has been declared for
the current quarter, and will be payable at the bank and its
liranches on and after Wednesday, the first day of Decem-
ber next, to shareholders of record at the close of business
on the 15th day of November.
By order of the Board.
C. E. NEILL,
General Manager.
Montreal, Que., October 18th, 1920. 263
QUARTERLY DIVIDEND
A Dividend of Three Per Cent, for the Current Quarter,
being at the rate of Twelve Per Cent, per annum upon the
Paid-up Capital Stock of the Bank, was declared payable on
1st November next to Shareholders of record on the evening
of 15th October, stock not fully paid up on 31st July to par-
ticipate in the dividend on the amounts paid up on that date
and upon later pajTnents from the date thereof.
By Order of the Board.
D. C. MACAROW,
General Manager.
Montreal, 30th September, 1920. 247
THE RIORDON PULP AND PAPER COMPANY. LIMITED
COMMON STOCK DIVIDEND No. 19
Notice is hereby given that a quartei-ly dividend of 2'-j9<>
has been declared on the Common Stock of the Company
for the quarter ending September 30th, 1920, payable No-
vember 15th, 1920, to shareholders of record at the close of
business on November 8th, 1920.
By Order of the Board.
F. B. WHITTET,
Secretai-y-Treasurer.
Montreal, October 21, 1920. " 269
THE ROYAL B.VNK OF CANADA
BONUS
Notice is hereby given that a bonus of two per cent,
upon the paid-up capital stock of the bank has been declared,
and will be payable at the bank and its branches on and
after Wednesday, the 15th day of December next, to share-
holders of record at the close of business on the 30th day of
November next.
Shares not fully paid on the 30th day of November next
will participate in the bonus rateably to the amounts paid
thereon.
By Order of the Board.
C. E. NEILL,
General Manager.
Montreal. Que.. October 26, 1920. 270
THE CANADIAN BANK OF COMMERCE
DIVIDEND No. 135
Condensed Advertisements
" Positions Wanted." 3c per word : all other condensed advertisements
5c. per word. Minimum charKc for any condensed advertisement, 65c
per insertion. All condensed advertisements must conform to usual
style. Condensed advertisements, on account of the very low rates
charRed for them, are payable in advance ; .SO per cent, extra if charged.
GENERAL MANAGER and organizer of successful
mortgage company with over $5,000,000 invested in Western
Canada seeks opening, owing to amalgamation. Wide ex-
perience and excellent business connections. If necessary,
can invest some capital. Apply Box 353, Monetary Times,
Toronto.
II H MACnONALD.
T J. RANAr.HA.V.
THE UNITED ASSURANCE COMPANY
Fire, Hail and Automobile Insurance
Br.nch Orf.cr -MOOSE JAW. S..t. He.d Ofdcc— CALGARY. Alherla
Notice is hereby given that a dividend of Three per
cent, upon the capital stock of this Bank, being at the rate
of twelve per cent, per annum, has been declared for the
quarter ending 30th November next, together with a bonus
of one per cent., and that the same will be payable at the
Bank and its Branches on and after Wednesday, 1st Decem-
ber, 1920. The Transfer Books of the Bank will be closed
from the 16th November to 30th November next, both days
inclusive.
Bv Order of the Board,
JOHN AIRD,
General Manager.
Toronto, 15th October, 1920.
260
DOMINION TRUST PAYMENT
J. G. Gwynn, liquidator of the Dominion Trust Co., has
received an order from Justice Murphy authorizing him to
pay a dividend of ten cents on the dollar upon those claims
of unsecured creditors which have so far been allowed, and
set aside claims of unsecured creditors not yet allowed, but
to be adjudicated upon in the near future. Secured creditors
have already been paid more than $2,1,000,000. and the
amount of claims as adjudicated upon and allowed upon
which the dividend will now be paid is $2,3.58,774; the un-
secured claims still to be adjudicated upon total $467,748,
and will likely be reduced.
22
THE MONETARY TIMES
Volume 65.
Numerous Insurance Licenses Issued Last Month
Mostly I'roNincial KiKislrations— Another American Company Author-
ized to Write Fire Business in Canada— Agents Register Under New
Regulations in Ontario— British Columbia a Popular Insurance Field
the new act, the individual partners or employees of insur-
ance firms must each have a license in order to issue policies.
A separate license is required for each kind of insurance.
Under these new regulations more than 1,200 licenses were
issued to agents already operating in the province.
The provincial government has given notice that the
following companies have been authorized to write insur-
ance in the province, the class of business being indicated.
Licenses issued expire on April 30, 1921, and may be re-
newed : —
Hartford Accident and Indemnity Co., to transact ac-
cident, automobile, burglary, guarantee, livestock, plate
glass and sickness insurance. National Benefit Assurance,
Ltd. (London, Eng.), to transact fire, accident and sick-
ness insurance. Girard Fire and Marine Insurance Co., to
trasact fire and tornado insurance. Sterling Fire Insurance
Co., of Indiana, U.S.A., to transact fire and tornado insur-
ance. Northwestern Mutual Fire Association, to transact
fire, fidelity and surety insurance (covering automobile em-
bezzlement only) and motor vehicle insurance, except against
the hazard of injury to persons. Canada Security Assurance
Co., to transact fire, hail and automobile insurance.
AN'OTHKR American insurance company was authorized
to write fire insurance in Canada during September,
namely, the National Liberty Insurance Co. of America.
License was issued by the Dominion superintendent of in-
surance, Ottawa, for that purpose. The chief agency of the
company is to be situated in the city of Ottawa, and E. H.
Ilornboatel has been appointed chief ag«nt.
The following companies, which are already operating
under a Dominion license, have been authorized to extend
their scope: —
Globe Indemnity Company of Canada, to transact inland
transportation insurance; the Northern Assurance Company,
Limited, to transact burglary insurance; London and Lanca-
shire Guarantee and Accident Company of Canada, to
transact the business of burglary insurance and insurance
against loss or damage occasioned by larceny, theft, or
stealing from the person by violence, threat, hold-up or
otherwise.
As was announced in these columns previously, the T.
Eaton Life Insurance Co. has received a Dominion license to
transact life insurance in Canada. The company will as-
.sume the liability under the group life insurance which has
been in force on the lives of employees of The T. Eaton Co.,
Ltd., since the bcginninir of the year and under which the
company ha.s paid to date over fifty thousand dollars to the
lepral representatives of deceased employees. Facilities will
also be offered whereby employees may obtain regular life
insurance on standard plans subject to medical examina-
tion.
The company is under the management of P. S. McLean,
formerly of the actuari.il staff of the North American Life
Assurance Co. Mr. McLean is an honor graduate of Tor-
onto University in mathematics and is an associate of the
Actuarial Society of America and of the British Institute of
Actuaries.
The Canada Sccflrity Assurance Co., incorporated by
act of tlie leirislaturc of the province of Alberta, has rc-
in.'un'<l all its outstanding policies of insurance in the
Canada Security Assurance Co. incorporated by act of the
parliament of Canado. and the latter company has assumed
the payment of the outstanding claims and liabilities of
every description of the former company, and the provincial
company will apply on December 27, 1920, to the minister
of finance for the release of the securities deposited under
the provisions of the Insurance Act, 1917. All liabilities of
the Canada Security As.iurance Co. are guaranteed by the
Norwich Union Fire Insurance Society of Norwich, Eng.
W. O. n. Dodds. chief agent of the Mutual Life In-
surance Co. of New York in Canada, states thai the action
of the Equitable Life Assurance Society in terminating ita
new bu'iin"!!! activities in Conndn has proniptc<l some en-
■ 1'; rnin? his company's intentions. He wishes
t d or concerned to know that the Mutual Life
h of New York look upon their Canadian agency
ori;.ii.i.-..ition and business n» an important factor in their
nfT.Tirs. and they have no plans under ronsider.it ion or in
contemplation that will in any way upset or disturb them.
On the contrary, they believe thot the new business possibili-
ties for them in Canada have not yet been fully dcrvclopcd,
and they expect to take their part in the growth and pros-
perity of C-anada.
New Ontario Rrgulalionn
f5n Oetohor 1 tho new provincial net regulating Ontario
ir ' ' !o effect. Only reg\ilarly authorized
1 insurance, and the new act pro-
1 - for a breach of the law. Hereto-
fore .1 nunibir of lawyers have l)cen doing insurance busi-
ness as a side issue to t>'?ir law practice. According to
British Columbia Licenses
That British Columbia is a popular insurance field is
evident from the number of companies which have extended '
their scope to include that province within the past few
months. The following licenses have been issued since the
middle of September to companies which had not previously
been writing business in British Columbia: —
Hartford Accident and Indemnity Co., to transact ac-
cident, automobile, burglary, guarantee, livestock, plate
glass and sickness insurance. Chief agent, H. R. Budd,
Vancouver.
London Mutual Fire Insurance Co. of Canada, to trans-
act automobile insurance. Chief agent, C. G. Hobson, Van-
couver.
Traders and General Insurance Association, to trans-
act the business of fire Insurance. Chief agent, C. D. J.
Christie. Vancouver.
Lumbermen's Mutual Casualty Co., to transact the busi-
ness of automobile insurance. J. H. Constantine, Vancouver,
attorney for the company.
Sterling Fire Insurance Co., of Indiana, U.S.A., to
transact fire and tornado insurance. H. R. Budd, Vancouver,
attorney for the company.
The Marine Insurance Co., Ltd., which has been %vrit-
ing marine and inland marine insurance in the province,
has been authorized to transact automobile insurance as well.
The National Benefit Assurance Co., Ltd., has also been
authorized to write accident and sickness insurance in ad-
dition to marine insurance, for which it is already licensed.
Other Provincial Registrations
The Manitoba department of insurance has issued certi-
flcate.'i of registration to the following companies: —
Sterling Fire Insurance Co. of Indiana, U.S.A., for fire
and tornada insurance.
Hartford .\ccid|>nt and Indemnity Co. of Hartford,
Conu., to transact accident, automobile, burglary, guarantee,
livestock, plate glass and sickness insurance.
Canadian Hardware and Implement Underwriters to
transact the business of fire insurance.
Minnesota Implement Mutual Fire Insurance Co., of
Owatonna, Minn., to transact fire insurance.
Hardware Dealers' Mutual Fire Insurance Co., of
Stevens Point. Wisconsin, to transact fire insurance.
October 29, 1920
THE MONETARY TIMES
23
en
INTEREST
RETURN
INVEST YOUR SAVINGS
in a S%% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital $2,412,578.81
Reserves 964,459.39
.Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Calgary,
EdmontOD, Vancouver, Victoria ; Edinburgh,
Scotland.
Dollar by Dollar
is the way some people save, and many succeed in building
up substantial accounts. It is well worth the effort to save,
even in a small way, as it is a well-known fact tha. saving
money increases one's productiveness.
Youi savings will be safe with this old-established institu-
tion, and you will receive interest thereon at
THREE AND ONE-HALF
per cent, per annum, paid twice each year.
Canada Permanent Mortgage Corporation
TORONTO STREET
Established 1S55
TORONTO
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
Masonic Temple Building. London Canada
Interest at 4 per cent, payable half-yearly on Debentures
T. H. PURDOM. K.C.. President NATHANIEL MILLS. Manager
The Hamilton Provident & Loan Society
Head Office. King Street, Hamilton. Ont.
Capital Paid-up, $1,200,000. Reserve Fund and Surplus
Profits, $1,280,570.59. Total Assets, $4,764,339.21.
TRUSTEES AND EXECL'TOKS are authorized by Law to invest Trust
Funds in the DEBE.\TURES and SAVINGS DEPARTMt.NT of this
Society.
GE0R01-; HOPE. President D. M. CAMERON. Treasurer
^"^ Ontario Loan
& Debenture Co.
LONDON Incorporated 1870
CAPITAL AND UNorviDED Profits
Canada
$3,9iK:i,000
5-;i
SHORT TERM (3 TO 5 YEARS)
DEBENTURES
YIELD INVESTORS
5-;i
JOHN McCLARY. President
A. M. SMART. Manager
r^VER 200 Corporations,
^^ Societies, Trustees and
Itidividuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Office.lNo. lasToronto Street
C ipital Account. .>!t;i»..1.-.O.00 Reserve Fund. 86:o.00«.0(>
Total Assets. 8:i.-.;i9.I.'>4.36
President, WELLINGTON KRANCIS. Esq.. K.C.
Vice-President. HERBERT LANGLOIS. Esq.
Debentures issued to nay !■".. a Lcual Investment for Trust Funds.
Deposits received at 4 ...interest, withdrawable by cheque.
Loans made on improved Real Rst.Tte on favorable t.'rms.
WALTER GILLESPIE. Manager
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
I'aniculars on application.
The Canada Standard Loan Company
520 Mclntyrt Block, Winnipeg
ACCOUNT BOOKS
Loose Leaf Ledgers
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Streets
TORONTO
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Wrstvrii fliiiilrlpiil. School nnil SB»UaC<-ln-w nn Kiirnl Telr.
Iilionr «'o. drlirnlnrcn «prrlnlllr<l In.
invifcV
SASKATOON
CorrcjponJcnc
GRAINGER BUILDING
F. S. RATLIFF & CO.
FARM LANDS-FARM LOANS
STOCKS AND BONDS
Medicine Hat Alberta
THE MONETARY TIMES
Volume 65.
Retail Hardware Mutual Fire Insurance Co., of Min-
ncapoli.s, Minn., to tran.sact fire insurance.
Grain Insurance and Guarantee Co., of Winnipej;, Man.,
to transact fire and Kuarantee insurance.
National Benefit Assurance Co., Ltd., of London, Eng.,
to transact the business of fire, accident, and sickness in-
surance.
Certificates of registration have been issued by the
Alberta Insurance Department as follows: Pacific Marine
Insurance Co., to transact fire, inland transportation and
automobile insurance.
Hartford Accident and Indemnity Co. of Hartford,
Conn., lo carry on sickness, accident, burglary, guarantee,
livestock, auto, and plate glass insurance.
Grain Insurance and Guarantee Co., of Winnipeg, Man.,
to transact fire and guarantee insurance.
License < have been issued by the department of insur-
ance of the province of Quebec, as follows: —
Canada Security .\ssurance Co., to transact hail, fire
and automobile insurance. Chief agent is P. W. Tasker,
Lake of the Woods Bldg., Montreal.
Sterling Fire Insurance Co. of Indiana, U.S.A.. to
transact fire and tornado insurance. Chief agent for the
province is H. A. Fromings, Montreal.
Traders and General Insurance Association, Lt<i., to
transact fire insurance. Chief agent is W. J. Clenry, Lewis
Bldg., Montreal.
The Globe Indemnity Company of Canada, pre\nously
authorized to transact throughout the province of Quebec the
business of accident insurance, sickness insurance, burglary
insurance, automobile insurance, guarantee insurance, fire
insurance and forgery insurance, has been permitted to in-
clude inland transportation insurance.
The London and Lancashire Fire Insurance Co., duly
regristercd to transact fire, automobile and explosion insur-
ance, has changed its name to the London and Lancashire
Insurance Co.
.Vpplicalion will be made by the .Agricultural Insurance
Co., Ltd., to the Saskatchewan legislature at the next ses-
sion for an act increasing the capital to $1,000,000 and giv-
ing the directors power to increase the capital stock further
with the sanction of the shareholders, and also giving the
company power to effect policies of insurance on the health
of any person and on growing crops and for such further
and other powers and privileges as the shareholders and
directors may seem advisable.
Inlrodure Merchant- Marine Here
It is the intention of the Employers' Liability Assurance
Co., Ltd., to introiluce the Merchants Marine Insurance Co.,
Ltd., of London, Eng.,ono of their subsidiaries, for the trans-
action of fire business in Canada in the near future. The
Merchants is now in its fiftieth year, having been founded
in 1871, and has an nnnu.il premium income of $2,000,000
and total assets of about $7,000,000.
C. J. .Metcalfe, hitherto superintendent for the Prudential
over Toronto Number 1 district, has been transferred to the
suporintendency of Windsor, Ont. Geo. Macl'herson has
bwn transferred from Pittsburgh, Pa., to Toronto Number 1.
C. H. Smith, late Inspector with the Canadian Fire
Undenvriter,"' Association, has associated himself with M.
Pnvison ns general fire insurance brokers. Mr. Smith was
inspector with the C.F.U.A. for some four years.
DOMINION REVENUE LOWER IN SEPTEMBER
Expenditures Also Substantially Reduced— Surplus of Re-
ceipts Over Disbursements Greater Than in
Previous Month
NOTWITHSTANDING the fact that ordinary revenue was
lower by more than SI ,000,000 in September, as compared
with the previous month, the Dominion revenue and expen-
diture account last month made a better showing than in
August, inasmuch as disbursements were reduced by nearly
$14,000,000.
A further increase of $22,032,728 is shown in the net
debt, as cdnipared with an increase of $19,980,518 in August.
While these increases may seem large, it is encouraging to
note the substantial reduction, as compared with last year.
The following are the details, as submitted by the finance
department: —
PUBLIC DEBT
Liabilities
Funded Debt—
Payable in Canada
do in London
do in New Vork
Temporary Loans
Bank Circulation Redemption Fund
Dominion Notes
Savings IIanks—
Post Office SavinRS Banks
Dominion Government Savings Banks
Trust Funds
Province Accounts
.Miscellaneous and Banking Accounts —
Total Gross Debt.
Sinking Funds
1919 1920
Other lnv'tm'ts..iS346.Sl 1.850 23 8456.028.339 82
Less Non-active. I 2I9,439.UI 13 3ILI13.6073Z
127.372.709 10 m.9l4.732S0
'rovincc Accounts
,tisc.& Ukg. Accts.: 963.2SB.831 82
Less Non-active. I <8.7%.6!i2 77
j 9U.490.I79 05
Total Active Assets
S89.689.7S7 51
13.=i.,S73.On0 OO
.'•87.949.632 19
5.959.08.'! IS
296.44L653.<i4
I3S.873.000 00
98.577.333 33
6.3n.S22 76
290,717.890 17
3080.39L478 25 3036.817.085 88
r27,372.709 10 | 144.914.732 SO
2.296.327 90 2,296,827 90
914.490.179 05' 689.689.757 51
IOt.2.8;S.S9l 81 759.800.922 41
70.509.207 81* 22.032.72S 79
Krv. AND Exi-. ON Ace. I .Month of i Total to 30th '! Month I'f Total to30th
OP CoKSOLlDATED Fn. Sept.. 1919 I Sept.. 1919 1^ Sept.. I^.'u Sept . 1920
S cts.
I3.23S,030 62|
3..523.845 07
1.600.000 001
3.422.916 iSi
7.5,375.447 76 ,
20.166.411 70
9.400.000 00 <
20.679.318 SS
7.065.238 92(1
15,884.293 02'!
I,673.T2«.55'|
494.619 62 I
8..'«4K..'i0l 38,;
Total 26.696.840 101 IS9,0RS,SS930
.Fund
Int on Puhlic DeSl
Annculture
PcoMon*
Puh \Vk'
l>OM C)f)i
Dom Lands « P.irk
SnlJicrs Ld >;. ttl.r
All. 'the. I
1 3.973.907 .y
3.I9S.377 Wi
1 .900.0011 flu
3.983..531 52
8..565.9.V1 68
2,514.477 89
—103.770 95:
3.069 47]
3.135,243 41'
8.813.775 6!
9.250.408 08
0.300.000 00
1,994,107 18
9.45l.8r00
5.189.479 04
6,585.418 77
554.130 46
7.-.66.779 32
37,170.789 601 219.905,91146
i«is;t,inf. ;i2.(
14.1. ■.!7; 7» \Ti.;
,608 88]
131 79|
.167 13'
675 66 1
,5-7 44
146 OS,
,630 6-;
,M7s i1
.soil 6;)
617 .57
1.371 18
I..542 43
1.810 67
5 915 65
I.4J7 :w
1 lp-5 .56
SS.STi
2.174,
II.S95,
.1.(195
R..T20
1 ,795,
7.829,
16.292,
42.648
1.52.824
9.50 IS
754 54
133 70
.582 97
.576 83
,665 51
,167 24
,075 75
,490 45
,397 l4
l'UI\> ( ol \< II HEARING (AN\1>I\N CASE
Among the cn.«rs now before the Privy Council of Great
Pritflin, on opponl from colonial rourt*, in that tn decide
Sevtral parlici> arc joined m tins :sjuc. mclu.;.n^ the
torneys-genernl of the Dominion and of Ontario.
62.25,1.034 « 18.1.740.224 79;, 2.661.225 07 7.086,25128
4.152.596 82 18.1
•-(■ 4a5.63I 74! 202..
The above stale
pa«9«d through the Books of the Fit
month.
4 220.352 75 10 9C9.826 18
October 29, 11120
THE MONETARY TIMES
THE ROYAL BANK
OF CANADA
Tot?.l Assets
$590,000,000
c aVTh a B. 1
Domestic and Foreicn Bankinc Facilitifs for \our
Home and Overseas Trade.
OKANAGAN LOAN AND INVESTMENT TRUST
At the annual meeting of the Okanagan Loan and Invest-
ment Trust Company at Kelowna, B.C., on September 9th,
the financial statement of the company was presented to
shareholders, showing total assets of $040,67.5, chjefly made
up as follows: Cash on hand and in bank, $G.'>27; Victor>'
bonds, $32,589; loans, secured by first mortgage, $384,. 02;
trust funds invested in Victory bonds, $30,412. Liabilities
to the public, including trust accounts, deposit accounts,
bank, guaranteed mortgage certificates, with accrued in-
terest, totalled $115,049. Contingent reser\-e for losses is
stated as being $23,769, while reserve is $95,000. Net profits
for the year were $36,972, divided as follows: $27.25o, being
7 per cent, dividends; added to reserve, $9,000; balance car-
ried forward, $717.
.\n appended statement to the report shows how the
company has grown since it was formed in May, 1909. At
the end of the first year's operations paid-up capital was
$135,060, reserve $6,000, and dividend payment 6 per cent.
In 1915 paid-up capital was $390,560, reserve $63,000. and
dividend 2 per cent. The last annual statement shows capital
paid up $390,580, reserve $95,000. and dividend 7 per cent.
DEFICIT ON MANITOBA TELEPHONES
.A. deficit of $200,000 in the operation of the Manitoba
Government telephone system for 1920 has been announced
by Premier T. C. Norris, who stated that increased rates will
be neeesBar>-. The deficit is due mainly to increased wages
and operating expense.
r II E M O N E T A R Y TIMES
Volume 65.
SEVENTY-SECOND ANNUAL REPORT OF THE
CONSUMERS' GAS COMPANY OF TORONTO
YEAR ENDING SEPTEMBER 30th, 1920
THE Directors have pleasure in presenting the Seventy-
Second Annual Report and Financial Statements.
It is trratifyinK to report a substantial increase (10.28'^i )
in the quantity of gas sold during the year, us compared with
that sold in the previous year, and an increase of 5,7(50 in the
total number of customers supplied.
The following table shows the progress of the Company,
by decades, during the past fifty years:—
Uaji
No. of
ropulaliiin
Cofu'n
Pop.
Mil.-«
Yrar
Ouliiiit
Mplrrn
of Dixnrt
JKT Cnpil
11 per
M.lu.Ft.
in use
Saiiplicd
lu. Ft.
Mour
Main
1870 . .
. . 45.548
1.403
56.000
531
40
43
1880 ..
.. 140.383
3,906
75.110
1,378
19
98
18JM) ..
. . .-.07,555
13.242
160.141
2.408
12
192
1900 . .
. . S:!S,215
26,982
225.000
3,326
8
251
1910 . .
. .2.f.2 1.247
65,349
400.000
6,019
6
424
1920 . .
..5.127,827
122,793
575,000
8,546
4.6
601
It will be notc<l that, notwithstanding strong electrical
competition encountered during the past ten years, the out-
put of gas during that period has nearly doubled. The num-
ber of customers has also increased about ninety per cent.,
although in the same period the population served by the
Company has increased only forty-four per cent.
There has also been, during the past ten years, a large
increase in the number of purposes for wliich gas is used.
The Profit and Loss Account, after the payment of the
usual dividend, shows a surplus of $129,708.93, which amount
has been placed to the Credit of the Reserve Fund. Com-
pared with the magnitude of the figures involved, this
surplus appears a small one, and especially so when bearing
in mind the adverse balances of several years, during the war
period, which must be gradually recovered.
The year's operations were affected by marked increases
in the prices of all commodities necessary for the manu-
facture and distribution of gas. During the past three
months prices have advanced at a greater rate than in any
similar period in the Company's history. Both Coal and das
Oil have advanced to prices undreamed of in the past, and
the Company is paying for these materials at the present
time from two to threo-nnd-a-half times the prices paid
in 1915.
The cost to the Company of exchange on remittances to
the I'nited States during the year was $117,357.17.
Taxe.i for the year amounted to $240,231.73. an increase
of $.-i0.46S.67 over the prece<ling year.
There is no indication of any immediate reduction of
these high costs. The Company will therefore have to meet
a greater burden during the coming year.
This fact has made it necessary for the Directors to
raise the price of gas to the consumers 15 cents per 1.000
cubic feet, making the net price $1.25 per 1.000 cubic feet.
Thr utmost endeavor has at all times been made by the
!■ ■ keep the price of gas to the consumers as low
:ind advances have been made only after it had
I illy evident that such advances were imperative.
AlOii'iiirli the high rates )iaid for labor have added
largelv to the Company's operating expenses, this item would
have been Kimh mcvi' srri.ui« had it not been for the wise
policy of h.T rnvided an effective system of
practical hi' "t.
It has 1" itry out during the year many
repairs n.nd ini|>i<i\i iv,i>iits (<• the plant in order to maintain
the usual high standard of efficient operation.
To meet the increasing demand for gas. it has become
necessary to make additions to the manufacturing plant.
The new equipment, which is now under construction, con-
sists of two Oil Gas Sets, having n capacity of 4,000,000
cubic feel of gns r>er day.
Two iipn- liforovs hnvo hof'n added to_ the Company's
• ' '' - - '— -i-p purpose of providing accom-
i^hops. which are to ho fmns-
The Company's premises on
\,i.-:i.i.- s'rii-t will i>r r.-miiit and incorporated with the
Head Office building on Toronto Street. This new structur*
will provide a commodious Sales Room for gas appliances
besides supplying much-needed additional accommodation foi
the Head Office Clerical Staff.
The Directors regret having to record the death, on thi
9th instant, of Mr. Thomas Long, a member of the Board foi
more than twenty-three years.
Mr. Long was deeply interested in the affairs of th(;
Company, and the services which he rendered as a raembei
of the Board were much appreciated by his Co-Directors.
Sir Edmund Osier, a Director of the Company since th<
year 1901, and who now wishes to be relieved from some o:
his many interests, has expressed his intention to retin
from the Board.
Sir Edmund Osier has at all times rendered valuabli
ser\-ice to the Company, and the Directors regret ver;; mucl
his retirement.
The following statement for the past, as compared witi
the preceding year, shows: —
Meters. Gas Sales.
Year ended 30th September, 1920. . 122,793 $5,030,145.6;
Year ended .30th September, 1919. . 117,033 $4,018,259.5'.
Increase 5,760 $l,011,8S6.i;
.All of which is respectfully submitted.
A. W. AUSTIN. President.
STATEMENT SHOWING PROFIT
Realized by the Consumers' Gas Company of Toronto
From ()cl(d)cr 1st. 1919. to September .t'oth, 1920.
DR.
September 30th, 1920.
To Coal, Bituminous $1,376,088.5
Anthracite, and Coke 734,778.9
" Gas Oil 628,895.4
" Oxide 14,045.3
" Steam 331.944.1
" Wages — Manufacturing 284,017.2
" Miscellaneous Wages and General Expense
at Works 411,599.7
" Street Department Expense 17,391.3
" Meter Settings 70,668.8
" Government Fees Inspection of Gas and
Meters 20,039.4
" Meter Department Expenses 42,919.6
" Reading Meters and Delivering Bills .... 41,711.2
" Customers .\ccounting 58,703.6
" Collection Salaries 56,538.0
" Sundr>' Collection and Accounting Expense 33,830.8
" Administration Salaries and Expense 32,787.6
" Directors 15,000.0
" Auditors 2,400.0
" General Salaries and Expense 173,772.4
" Taxes, including Workmen's Compensation
Tax 240,231.7
" Insurance Premiums 26.408.9
" Advertising 8.973.8
" Arc Lamp and Reflex Expense 6l!500.9
Cost of Merchandise sold, and Piping Works
for Customers 322.215.0
" Merchandise Storage and Selling Expense. 82.003.9
" Commercial Department Expenses 98.154.7
" Balance Carried Down 1,240,274.4
$6.426.896.2
September 30th, 1920.
To Interest y 60.,592.7
" Dividends 536,070.0
" Plant and Buildings Renewal Fund 513,902.8
" Resene Fund 129.708.9
$1,240,274.4
(Continued on page g;
October 29, 1920
THE MONETARY T I ME S
Annual Report of the Consumers' Gas Company of Toronto (Continued)
CR.
September 30th, 1920.
By Gas Sales $5,030,145.65
" Residuals Produced 889,982.30
" Merchandise Sold, Piping and Burner
Rentals , . 472,201.67
" Miscellaneous Revenue 34,566.60
$6,426,896.22
September 30th, 1920.
By Balance Brought Down $1,240,274.47
$1,240,274.47
A. W. AUSTIN, ARTHUR HEWITT,
President. General Manager.
Examined and found correct.
W. E. SAMPSON,
EDMOND GUNN, F.C.A.,
Auditors.
Toronto, 20th October, 1920.
BALANCE SHEET
of the Consumers' (ias Company of Toronto,
September 30th, 1920.
LIABILITIES.
September 30th, 1920.
Capital Stock:
Issued under Act of 1887 $2,000,000.00
1904 3,360,700.00
$5,360,700.00
Reserve Fund:
Amount at Credit Oct. 1st, 1919.. $ 278,791.67
Discount on Sterling Exchange.. 97,604.21
Transferred from Profit and Loss,
September 30th, 1920 129,708.93
Premium on Stock, Act 1904
$ 506.104.81
2,840,877.28
Plant and Buildings Renewal
Fund, Amount at Credit
Oct. 1st. 1919 $1,769,577.45
Less Repairs and Renewals 592,390.02
$1,177,187.43
$3,346,982.09
Transferred from Profit and Loss,
September 30th, 1920 .
513,902.84
$1,691
134
9."
Reserved for Dividend No. 282
Liabilities Accrued, Not Due
Special Bank Advance 1,346
Sundry Accounts Payable 318
,090.27
,017.50
,226.56
,538.05
,710.51
$12,293,264.98
ASSETS.
September 30th, 1920.
Real Estate, Plant and Equipment $10,775,954.47
Other Investments ??l'Sr«no
Materials and Supplies rr;-^?f«
Cash in Bank and Offices l^l'ttloa
Accounts Receivable i ccZqr
Accounts Receivable, Accrued, not due 1,657.9b
$12,293.264.98
A. W. AUSTIN,
President.
ARTHUR HEWITT,
General Manager.
We beg to report the completion of the audit of the
books and vouchers of the Consumers' Gas Company of Tor-
onto for the year ending 30th September, 1920, and certify
to their cotrectness.
(Signed) W. E. SAMPSON.
EDMOND GUNN, F.C.A.,
Auditors.
PRESIDENT'S ADDRESS
THIS is the seventy-second anniversary of the Consumers'
Gas Company. It is still "going strong," and is much in
evidence. The statement and report for the year 1920 is
now submitted for your consideration, and I trust will meet
with your approval. You will notice in the last ten years
the output of gas has nearly doubled, and is now over five
billion cubic feet per annum, or an average of over fourteen
million cubic feet per day. We estimate that we are supply-
ing a population of 575,000, which, of course, means the city
and subui'bs.
The time is approaching when extensions must be made
to rapidly growing districts, and many mains that are too
small to supply the thickly settled localities they serve must
be replaced by larger ones. It will be necessary also to plan
for a new unit for the production of gas, which will probably
take two or three years to complete. The cost of such ex-
tension will require to be provided for by the issue of further
Capital Stock. The unissued shares of the present authorized
Capital Stock of the Company amount to $639,000 par value.
This stock when oflfered should prove attractive, as there
has never been any interruption to the payment of dividends,
which are payable quarterly. The dividends is a first charge
on the income of the Company, and there is no preferred
stock nor any bond issue. The usefulness of gas is assured,
and the Company will, no doubt, live up to its reputation in
giving the public an efficient service at a low price.
During the first nine months of the Company's financial
year we had the benefit of favorable contracts for oil and
coal made previously, but in making new contracts, under
which we have been i-eceiving coal and oil for the past three
months, the prices were increased enormously. We hope,
however, that these high prices will not long continue, and
that the price of gas can again be reduced to the consumer.
Taxes continue to increase, and the Company is one of the
largest contributors to the City funds. .Another item of im-
portance, and unprecedented in the history of this Company,
is the premium we must pay on remittances for coal, freight,
etc., payable in United States funds.
During the year Mr. W. H. Pearson, our former General
Manager, passed to his reward. He was with the Company
for fifty-five years, retiring some years ago. Mr. Pearson
worked and lived to see this Company the largest gas com-
pany in Canada. He performed his duties honestly, faith-
fully and intelligently, with unusual devotion to the welfare
of this institution and the community at large. I am glad
we were able to obtain the portrait of him, which now graces
a wall of this room. It will always remind us of his clean,
untarnished record, and honorable, useful life.
The death of Mr. Thos. Long, who for twenty-three
years was one of our directors, is deeply regretted by all of
us. He was one of our largest shareholders, and had im-
plicit faith in the future growth and prosperity of the Com-
pany.
We also regret that Sir Edmund B. Osier desires to re-
sign his position on our Board, feeling unable to give the
Company's affairs the attention he would like. We shall
miss his good advice and his successful business experience
and ability.
There are now two vacancies on the board, and to fill
these vacancies the names of two shareholders largely in-
terested in the Company will be submitted to you.
We have again to record our appreciation of the faithful
services rendered by the Company's officials and employees.
Toronto, 20th October, 1920.
THE following gentlemen were elected Directors for the
ensuing vear: A. W. Austin, Esq.: A. H. Campbell, Esq.;
Wellington Francis. Esq., K.C.; F. LeM. Grasett, Esq., M.D.;
John Hoskin. Esq.. K.C., LL.D., D.C.L.; H. Langlois, Esq.; L.
Goldman. Esq.; Lieut.-Col. J. F. Michie; W. Mulock, Jun.,
Esq.
At a meeting held subsequently Mr. A. W. Austin and
Mr. Wellington Francis, K.C., were unanimously re-elected
President and Vice-President, respectively.
T 11 K MONETARY TIMES
Volume 65.
SICCESS ANU i'OI'LLAKlTY IN |{ANK1N(.
I'opular" Banker Stldom Successful— How to KvlUHe a Loan
- HankiiiK System Sets High Standard for Managers
WK have no reason to feel ashamed of the banking
profession and the opportunity it affords for ser-
vice," said Frank Pike, manairer of the Merchants Bank.
Edmonton, before a meeting' of the Alberta manaRers of the
bank recently. He continued: "The banks are performini;
a jrreat task in the world to-day— just as necessary and just
as important as that of any other business or profession.
What i.-i our task, what arc our duties, and what is the ob-
ject of our existence'.' We are the great custodian of the na-
tion's! money. To our safe-kecpinp is entrusted the proceeds
of all toil an.l labor, the saving's of the people, with the
full knowledKc that we will hold inviolate the trust imposed
upon us of invcslintr public funds, not only safely, but in
such a manner that they will be available when required.
Our first duty undoubtedly is to our depositors. It is also
our duty to endeavor, to the best of our ability, to keep the
wheels of commerce runnintr smoothly and to assist the legiti-
mate development of the productive resources of our coun-
try.
"Our business or profession is one requiring tact, judg-
ment and resourcefulness. It requires exceptional ability to
be able to balance the scales fairly between depositing and
borrowing customers. We recognize our duty to both, but
it takes many years of study and experience to know just
where to draw "the line, p'ortunalely, we have in our chief
executive the men who have the necessary courage, experi-
ence and ability to safely guide our banking institutions,
which are the mainstay and bulwark of the business of the
country.
Hold CuKtonier!*' Uespert
"To be a successful banker re(|uires much more firmness
and courage than the man on the street usually attributes
to his banker. One of our former general managers has
made the statement that the 'poi)ular banker is seldom, if
ever, i: . uccessful one." What he meant, no doubt, was that
the manager who seeks cheap popularity through the avenue
of his institution cannot be successful. It is easy enough
to make good fellows of ourselves at the bank's expense,
but on the other hand, a manager cannot be a success unless
he holils the respect of his customers, and he cannot possibly
hold their respect unless he is natural, sincere and genuine,
because nothing that is not genuine and sincere can suc-
ceed. Therefore the first ideal of service which I would
mention would be to be always sincere, frank and above-
board to customers.
"The average man very quickly sees through camouflage
and deceit, and a banker who has not the courage of his
convictions and who will not talk plainly ami sincerely with
his customers does not deserve their respect. Borrowers,
no matter what their proposals, or the size of the loans ap-
plied for, are entitled to a courteous, considerate hearing,
nnd therv is no reason why customers should be antagoni7.ed
on account of the refusal of the loan, if intelligeni explana-
tions are made. It is not suflinent merely to say that money
is tight and therefore the loan cannot Ik> grnnteil, but the
rensoii why money ia tifht sh )uld alfo be explained, an I the
average cu.nlomer is sufficiently intelligent to quickly grasp
the situation. We can do n great deal more than wo are
doing to educate the pi>ople to a proper realization of the
functions of a bank an I how necessary and how important it
is that bank funds be kept absolutely liquid, nnd not lied
up in speculative business ventvires. or long-term investment.'.
Banks Set nn l'.\.i(nple
"There is just one other point I would like to emphasize,
and that is the importance of being absolutely scrupulous
in our dealings with customers.
"The Canadian banks must set an example of the
strictest commercial and moral integrity, down to the
smnllest detail. Above all things, we must value our word
;.n.i our pion-.ise if we are to win the goodwnll, respect and
confidence of the public. There must never be tne slightest
(mention of our honor and integrity, nor the slightest sug-
gestion of trickery or sharp practice. Our word must be
as good as our bond. The general managers of the banks
have set very high ideals regarding these matters, and their
instructions are that these ideals be lived up to on all )c-
casions. I like to think that Canadian commercial integrity,
based on British traditions, is the highest in the world, and
as bankers we can do great service to our country by setting
the example of always holding the standard high and by
expecting and looking for the same high ideals from our cus-
tomers."
COBALT ORE SHIPMENTS
The following are the shipments of ore, in pounds, from
Cobalt Station for the week ended October 22nd: —
Temiskaming Mine, 87,979; La Rose, 87,315; Mining
Corporation of Canada, 283,230; Nipissing Mine, 194,815;
total, 653,339. The total since January 1st is 22,363,997
pounds or 11,181.9 tons.
MANITOBA HAIL INSURANCE
The Manitoba District Hail Insurance Act, passed at
last session of the legislature, will be proclaimed Novem-
ber 1st. .-Ml rural municipalities in Manitoba will be required
to submit the question to their ratepayers at the December
elections, giving the voters the right to say whether or not
the municipality shall form part of Manitoba hail insurance
district. The Act becomes operative, providing thirty-five
or more municipal districts vote affirmatively.
U.S. FIDELITY AND GUARANTEE CO.
Canadian agents representing the United States Fidelity
and Guarantee Co. met in convention on October 25 in Tor-
onto, and listened to educational addresses delivered by re-
presentative officials of the company from Baltimore. The
chief speaker was J. R. Bland, of Baltimore, president of the
company. Mr. Bland said the company, which makes a busi-
ness of insuring the honesty of citizens, divides the people
of the world into three classes — those honest, innately, those
honest because of policy, and plain crooks. "We used to
wake up in the morning," he said, "and find that the com-
pany had lost a quarter or a half-million during the night.
Then wc were in our swaddling clothes; it used to make our
hair stand on end. Now we merely regard it as a casual
happening, and go on as if nothing had happened."
In the evening Mr. Bland was the principal speaker at
a dinner tendered the agents of the company from all over
Ontario. Mr. Bland stated that the fact that the company
had $'2,000,000 invested in Canadian securities was sufficient
guarantee of the confidence it had in the stability and sound-
ness of such securities, nnd the future development of Cana-
dian business. He also called attention to the fact that Col.
.\. E. Kirkpotrick. who has been manager of the company
in Toronto since its inception in Canada twenty years ago,
had been instrumental to a very large extent in producing
the large volume of Canadian business which the company
now enjoys. Other speakers were Col. A. E. Kirkpatrick, J.
Frank Supplee. resident secretary of the company in New
York City: .1. W. Hartley, superintendent Casualty Depart-
ment. Baltimore; Howard Bland, vice-president and secre-
tary if the company, Baltimore; Charles G. White, superin-
tendent of agent*. Baltimore; Sidney Hall, superintendent
of Contract Department. Baltimore, and L. R. Sollenberger,
superintendent of Judicial Department, Baltimore.
Presidi nt Bland announced that the company will cele-
nrate its silver anniversity next year, its assets since its
inception having increased from $250,000 to $30,000,000.
October 29, 1920 THEMONETARYTIMES 29
^iiiiiiiniiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiuiiiiiiitiMiMiiiiiiiiMiiiiniMiiiiiiitiiiiiiiiiiiiiiiiiiiiiriiiiiiiiniiiiiiniMiiiiiiiiiiiiMiiiiiiiiiiiiMiniiu
I CHARTERED ACCOUNTANTS \
niiiiiiiiMiiiitiiiinMnMiiMiMMiMiiiiiiiiiMiMiiriiniiiiiiniiiiiiiiiiiuiniiiiniiiiiniiiiiniiiiuiiiiniiiiiiiiiiMiiiniiiniiiiiiitiiniiiinniiiiiiiitiiiiiR
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OFFICES AT
Edmonton . Alberta
Toronto Ont.
CHARLES D. CORBOULD
Chartered Accountant and Auditor
ONTARIO AND MANITOBA
648 Somerset Block. WInnipes
Cor
HARBINSON & ALLEN
CharlcrcJ Accounljnis
408 Manning Chambers
TORONTO
ALEXANDER G.
CALDER
CHARTERED ACCOUNTANT
Specialist on Taxatioi
1 Problems
Bank of Toronto Chambers |
LONDON
ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
l-.st.,hiisheJ IS'-
W. A. Henderson & Co.
Chartered Accountants
S08-S09 Electric Railway Chambers
Winnipeg, Man.
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:-
HAMILTON
WINNIPEG
CLEVELAND
D.
A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805
c
oniederation Life
Winnipeg
Building
SERVICE
Thorne, Mulholland, Howson & McPherson
CHARTERED ACCOUNTANTS
Specialists on Factory Costs and Pkodlction
£,!?;?« 3420 Ham^f.^!^°B'.d«. TORONTO
Hubert Reade
& Company
Chartered Ac
Auditors
counlan
Etc.
»
407 408 MONTREAL TRUST
WINNIPEG
BUILDING
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Main 7014
LUMSDEN BUILDING - - TORONTO, CANADA
RONALD, GRIGGS & CO.
RONALD. MERRETT, GRIGGS & CO.
Ch.irlcrcl Acciiinlanlf. AuilUors.
Trustees. Uiiuulalors
Winnipeg, Toronto, Saskatoon, Moose Jaw,
Montreal, New York, London, Eng.
CLARKSON, GORDON & DILWORTH
Chartered Accountant*. Truatce*.
Receivers. Liquidators
Merchants Bank BIdg., IS Wellinston Street West ToronI
F. C.S. TURNER & CO.
Chartered Accountant*
TRUST & LOAN BUILDING. WINNIPEG
Your
card
here would ensure
1 heme
see
nh>
the prii
ic
pal
financial
and
commercia
1 interests
in
Canada.
Ask
abou
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thi
s pa
ff.
H wniiams.in, C.A.. .1 I) Wallace. C. A.
.\ ,T \V;ilker.C A. H A.Shi.ich CA.
RUTHERFORD WILLIAMSON & CO.
Charlercd Accounl,inis. Trustees and
Liquidators
(« AnpLAinr. Street East, TORONTO
60< McCilLl. BuiLDlKO. MONTREAL
Cable Address-" WILLCO."
Represented at Halifax. St. John. Winnipeg.
30
THE MONETARY TIMES
IMJECEDENCE OF MORTGAGE AND EXE( ITION
AlbtTlii Suprcnu- ( ourt Decides (Jucstion of I'riority— SysUm
Uifferfnt from Ontario
IN a recent case before the Supreme Court of Alberta it
WHS held that und'-T the Land Titles Act an execution
and a mortgage are alike in that each is a statutory charge
upon land. Each charge takes its priority according to
registration and binds to the extent of its statutory authority,
and a mortgagee of a mortgage registered prior to an execu-
tion Is protected in regard to advances made after registra-
tion of the execution if he has no actual notice of such
execution.
Facts of the Ca.se
The facts of the case as stated by Harvey, C.J., are: —
"On October 9, 1913, the defendant, Gordon, gave to his
co-defendant. Alliance Trust Co.. a mortgage on certain
property in F"ort McMurray for $30,000. The mortgage was
registered on October 10, and on October 28 a cheque for
$25,000, the full amount that was to be advanced, was sent
by the trust company to one Bennett, who held a power of
attorney from Gordon. On the following day he endorsed
the cheque as attorney, and deposited it In the bank. There
were numerous executions registered against the land prior
to the mortgage, which apparently was paid out of this
money. On October 29, the day on which Bennett deposited
the cheque, plaintiffs' solicitors wrote a letter to him advis-
ing him that they had, on behalf of the plaintilTs, signed
judgment against Gordon, and requesting payment out of
the moneys being advanced if he were acting for the mort-
gage company, and if not, the agent for the mortgage com-
pany requesting information as to who was. Mi-. Bennett
apparently referred them to Hyndman, Milner and Mathcson,
for on November 3 thiy write them, enclosing a statement
of the amount required to satisfy the executions in their
hands, which they say is at the request of Mr. Bennett. It
appears from the records of the Land Titles office that an
execution for the last judgment had been registered on Oct-
ober 25. Messrs. Hyndman and Co., on November 4, write
asking further particular.s, and intimating that there may
not be sufficient money to pay all the amounts chargeable
against the defendant.
"It does not appear what happened after that until a
letter from plaintiffs' solicitor to the trust company direct,
on February 14, 1914, notifying them of the execution and
claiming priority to the mortgage, though registered after
it. This letter was acknowledg^^l, and then there is silence,
as far as the material before me shows, until June, 1918,
when an action was begun for a declaration that the execu-
tion has priority over the mortgage though registered sub-
sequently."
Time of RegiHtratiim Uules
The following contain the decisions of their l.oni^iiii's ; —
"Section 23 provides that registered instruments 'shall
be entitled tn prinrity the one over the other according to the
time of !■ .U(\ not according to the date of cxi-cu-
lioi- . . ■ i» registered every instrument shall l>e-
come opei.: iiiig to the tenor and intent thereof, and
shall thereupon creat*-, transfer, surrender, charge or dis-
charge, as the ease may he, the land or the estate or int<-rest
"''■'"' > - .V "nimenl.' And section 41 also pro-
^i'' "f any instrument the estate or
i"'' ill paw, or, as the case m."y be,
the liiii.l fliall became liable as security in manner and sub-
ject to the covenants, conditions and contingencies »ct forth
and --Mecitied. etc.
Mortgage Was I'.ITectne lirst
"There seems no doubt from these sections that the
n-ortgnge became effective upon ita registration, which was
prior to the registration of the execution, but effective for
what purpose and to what extent? The sections say it shall
oporat*" 'according to its tenor' or to make the land 'liable as
a security." and the question at once arises, security for
what?
"A transfer on registration operates at once to put an
end to the interest of the transferor, but a mortgage is en-
tirely different, and it affects the beneficial interest of the
mortgagor in the land to a smaller or greater extent accord-
ing to the circumstances. It seems perfectly clear that if
no money were ever advanced while the title would be
clouded by the registration of the mortgage, the beneficial
interest of the mortgagor would not be affected. It is surely
a security only for the amount of the indebtedness of the
mortgagor. Whatever the inchoate right or contingent in-
terest of the mortgagee may be before the moneys are ad-
vanced, I cannot see how the mortgage can be held to charge
the land with the payments of, or make it se-.urity for any
moneys until such moneys are advanced, and if they are
advanced, the land remains charged with, and security for
only so much as remains from time to time, unpaid. I am
by no means satisfied, that though registered prior to an
execution, a mortgage will be entitled for all purposes and
to the full extent to priority over the execution.
"Now it is apparent that between the Ontario system
and ours two important differences exist. In the first place,
under our system the legal estate is not vested in the mort-
gagee, and in the second, registration is not merely notice
but in itself creates interests. I think it may safely be taken
without argument as plain that an execution creditoi-'s rights
are not superior to those of a mortgagee who makes an im-
mediate advance upon the security of the mortgage, and that
the right of a mortgagee in advancing the first principal
moneys of a mortgage cannot be less than those of one mak-
ing later and further advances under the terms of the mort-
gage.
"I think, therefore, that the writ filed on October 27
attached only upon such interests in land of the debtor as
were covered by a legal estate or interest, but of course that
it caught up all equitable interests up to the extent of the
legal interest, though no further.
"Under our Land Titles Act an execution and a mort-
gag:e are alike in this, that each is a statutory charge upon
land. Each charge takes its priority according to registra-
tion, and binds to the extent of its statutory authority.
"The party liable to pay may safely continue payments
to the other unless he has actual notice that the other has
no longer a right to the money, and subsequent registration
merely is not equivalent to actual notice.
"In the present case it cannot be held that express
notice was given the mortgage company before payment
over."
(I. AIM lOU FIRP DAMAGE SETTLED
The action brought some time ago by the Attorney-
General of Canada, on behalf of His Majesty the King,
against Arthur G. Peuchen and the McLaren Lumber Co.,
of Blainiiore, Alta., has been amicably settled out of court
between the parties. There was a large sum of money in-
volved in the action, but the officials of the forestry branch
in Calgary decline to say what amount was paid in settle-
ment by the defendant company. The action was for dam-
age* for timber destroyed on Crown lands, following the
disastrous fire, which burned over a considerable area of
the McLaren Lumber Company's limits, as well as Crown
lands. In July. 1917. and also claimed compensation for ex-
penses incurred in fighting the fire. It was expected that
the action would be tried at the special sittings of the Ex-
chequer Court of Canada, held in Calgary a few days ago.
The plaintiff, on the recommendation of the forestry
hmreh of the Drpnrtnient of the Interior, being the depart-
•1 the enforcement of this claim, has
full settlement of the claim for dam-
ng, however, a sum considerably less
tl'.aii tilt ailual amount sued for, and the defendants" have
also paid the plaintiff's taxable costs. Had the action pro-
ceeded on its wn- • - ' ho courts, it is quite likely that
the litigation w. n prolonged on account of the
number of inter. -. both of law and fact, which
were involved, but the settlement arrived at now disposes
of the matter without furth(?r litigation or delay.
October 29, 1920
THE MONETARY TIMES
31
iiiiiiiniiiiiiniiiiiiiMiiiiMiiiiiiiiiiMiiiiiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiuiiiiiiiiiiiiiMiiiiiMiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiuiiiiiiiiiniiiiiiM
I REPRESENTATIVE LEGAL FIRMS |
TriiiiiiiiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiaiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiniitiiiiitiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiMiiiiM
BRANDON
J. p. Kilgour, K.C.
G. H. Foster
H. McQueen
KILGOUR, FOSTER & McQUEEN
Barrittert, Solicitors, Etc., Brandon, Man.
Solicitors for the Bank of Montreal, The
Royal Bank of Canada. Hamilton Provident
and Loan Society. North American Life
Assurance Company.
LETHBRIDGE, Alta.
Conybeare, Church & Davidson
Barristers, Solicitors, Etc.
Solicitors for Bank of .Montrc.il. The Trust
and Loan Co of Canada. British Canadian
Trust Co.. &c., *c.
C. F. P. Conybeare. K.C., H W. Church, M.A.
R. R. Davidson. LL.B.
Lethbridse - - • Alta.
PRINCE ALBERT
COLIN E. BAKER, B.A.
Solicitor for the City of Prince Alhcrt
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal Bldg.
CALGARY - - ALTA.
W.P. W.Lent Alex. B.Mackay, M.A. .LL.B.
H. D. Mann. .M. A., LL.B.
LENT, MACKAY & MANN
Barrlttcrs, Sollellors. >°otarlei«, t^lt.
305 Grain Eatchanee BldR . Calgary. Alberta
Cable Addreia,' Lenjo." Western UnionCode
Solicitors for The Standard Bank of Canada.
The Northern Trusts Co. Associated Mort-
gafle Investors. &c.
Hon. Sir James Lougheed. K.C. K.C.M.G..
R. B. Bennett. K.C, J. C. Brokovbki. K.C.
A. M. Sinclair. K.C. 1). L. Redman, H. E.
Forster. P. O. McAlpine. O. H. E. Might. L.
M. Roberts. CCable Address "Loughnett")
LOUGHEED, BENNETT & CO.
Barristers. Solicitors, Etc.
Qarence Block, 122 EiRhth Avenue West
CALGARY. ALBERTA. CANADA
J. A. Wrioht. LL.B. C. A. Wriohi, B.C.L.
WRIGHT & WRIGHT
Barrislen, Soliciton. Notaries, file.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. A.C. Rutherford. K.C.LL.U.
P. C. Jamieson. K C. Chai H. Grant
S. H. McCu.iig Cecil Rutherford
RUTHERFORD, JAMIESON
& GRANT
BarritteT*, Solicitors, Etc.
514-18 McLeod Bld«. Edmonton, Alberta
JOHNSTONE & RITCHIE
Barristers, Solicitors, Notaries
LETHBRIDGE • Alberta
REGINA
MEDICINE HAT
G. F. H. Long. LL.B. J. VV. Sleight. B.A.
LONG & SLEIGHT
Barrister!, etc
MEDICINE HAT and BROOKS, Alia.
MOOSE JAW
William Gr
ayson. K.C T.J.Emerson
Lester McTaBgart
Grayson
, Emerson & McTaggart
Barristers. Etc.
Solicitor
s— Hark of .Montreal
Canadian Bank of Commerce
Moose
Jaw - Saskatchewan
NEW WESTMINSTER
JOHN W. DIXIE
Barrister and Solicitor
405 Westminster Trust Building
NEW WESTMINSTER. B.C.
NEW YORK
NEW YORK
WILLIAIVl BRUCE ELLISON
Called to Ontario Bar IIWU. New York Bar ISii
ELLISON, ELLISON & FRASER
lur, llroB<l"Bj'. \p»v Vork
ELLISON, GOLDSMITH* ALLEN
■.'.-.l «<«l limll Ht., >iM l.irl.
J. A. THOMPSON & CO,
Government and Municipal Securities
Tflr.
Wetlern Municipal. .School nn<l SiiKkBtcli<-»iin I
lilionr 4 o. (lebrnliirrH npecJallzed In.
CORKF-SPONDKNCB INVITED
Union Bank Building - WINNIPEG
A. L Gordon. K C
H. E. Keown
Gordon, Gordon, Keown
and Collins
Barristers, Solicitors, &c.
Aldon Building, REGINA, Sask.
Solicitors for Imperial Bank of Canada
SASKATOON
C. L. DuRii:. B A B. M Wakrliho
DURIE & WAKELING
llarrliiUTii and SollcUorK
Solicitors for the Bank of Hamilton. The
Great West Permanent Loan Co. The
Monarch Life Assurance Co.
Canatin RullilInK 8aHkntnon, Canaila
Chas. G.Locke. Major J. McAuRhey.O.B.B.
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
W. J. Bowser. K C l< L. Reid. K.C.
1) S WallbridKe A.H.UcHiglas JO Gibson
BOWSER, REID, WALLBRIDGE
DOUGLAS & GIBSON
Barristers, Solicitors, Etc.
Solicitors for Bank of .Montreal (Bank of
British North America Branch)
Yorkfbire Buildinir. 525 Seymoar Si.. V>ncou»er. B.C.
VICTORIA
A K DU.M-OI"
(K.C for Alberta)
Member of Nova Sco.
tia. Alberta and Brit-
ish Columbia D.irs
DUNLOP
Barristers,
Notaries and C
612-61.1 Sn>
Viclorio. Bnti«h C
li. H. M. FOOT
Member of Manitoba
and British ColiimWa
Bars
& FOOT
Solicitors
"lun
Bldu.
!,,„. Conndn |
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
32
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
IVaser Companies Will Greatly Extend Operations- Big Scheme for Development of Cana-
dian H(.rder is I nder Consideration-Hritish Match Manulacturinn Concern Will Form
Canadian Subsidiary-One Million and Half in Fox Furs Shipped from Prince Edvvard Island
SLN'CE the Fraser Companies, Ltd., was incorporated in
iyi7, it has become one of the jcreatest pulp, paper and
lumber manufacturinR orjtanizations in Eastern Canada.
The company owns 210 square miles of freehold timber lands
located mostly in the eastern part of Quebec and the pro-
vince of New Brunswick, and in addition holds leasehold
cutting riphts on StOO square miles of privately owned land.
The company's pulpwood lands and limits are situated tri-
butary to Temiscouata Lake, near the boundary of Quebec
and New Brunswick. The pulp mill at Edmundston, N.B.,
is approximately twenty niiles from the borders of the Temis-
couata limits. In addition, ten siiw mills arc located through-
out the territory mentioned.
A progressive policy has been pursued by the enter-
prise during its few years of operation, and the announce-
ment that the transfer of the New Brunswick Railway Com-
pany's extensive timber limits, amounting to approximately
1,000,000 acres, to the Fraser interests, is now in the course
of completion, indicates that such a' policy is not being
neglected.
The option which the Eraser interests obtained on the
New Brunswick Railway Company's lands last June ex-
pired this month and has been renewed, some difficulties
which for a time threatened to put an end to negotiations
having been overcome. Full details of the negotiations are
not yet known, but it is understood that a new organization
will be formed to absorb the pulp, paper and lumber enter-
prises presently in operation, and that the Eraser interests
will figure prominently in the transaction. It is also under-
stood that there will be an issue of stock to take care of
the deal.
Border Industrial I'lans
Plans to develop western Ontario as an imiuMiKu nnui-
are in the process of consummation. Particulars of the
scheme have not been definitely announced, but according
to advices from Windsor, the Canadian Pacific Railway, the
Pennsylvania Railroad, the Canadian Steel Corporation, Ltd.,
and the Essex Terminal Railway have enlfrc<l jointly into
a scheme involving the expenditure of $200,000,000.
The plans under which the various interests are linked
provides for entrance into Canada of the Pennsylvania Rail-
road by means of the International bridge to be erected over
th« Detroit! River — ashort cut for that country through
southwest<'rn Ontario from Detroit to Buffalo — where it is
to link up with the Michigan Central Railway for trans-
portation of products of the Canadian Steel Corporation.
C^inndian subsidiary of the United Stales Steel Corjiorati )n,
and for establinhnient of a network of rails all over ;he
border di.«trict by the "Big Four."
The $200,000,000 to bo spent on the project includes
$76,000,000, the estimatc<l cost of the steel plant and the
extensive town site of Ojibway; $28,000,000 on the intorn.*-
tional bridge across the river, ""fork for which has already
been partially markcte<l b;. ■\ Detroit and New
York; and the halanco for ;.erty and constnio-
ing lines, freight yards, a .'■ 1 on station in Wind-
sor, and other facilities.
In addition to the vast expenditures undertaken bv t.ie
United States Sterl Corporation of Gary, Ind., in the -ob-
struction of it.i huge Canadian subsidiary plant at Ojibw.iy.
it has recently nrmntrH fi' *hf pnyment of ^?o| .I'J'i Ifi
to the Essex f. • "f
that road to Ai t
from the Snnd > -
an important factor in the undeit.ikink;. With au A
entrance in the vicinity of West Grand Boulevard. I
it will strike the Canadian side near Assumption i
Sandwich, at a height of 100 feet from the irround. It will
then continue on an easy grade for some 1,600 to 2,000 feet
until level is again reached, in the vicinity of Erie and Well-
ington streets. Windsor.
Large strides have been made toward the completion of
the big steel plant at Ojibway. The Canal or slip, running
in off the Detroit River has been completed, while the docks
are being rushed toward completion. Some $2,000,000 has
been spent on the slip and dock alone.
Match Manufacturing Company Here
Negotiations are under way for the establishment in
Canada of a branch of Maguire, Paterson and Palmer, Ltd.,
the large British match and box manufacturing organiza-
tion. Timber limits of the Bronson estate at Chelsea on
the Gatineau River, some miles north of Ottawa, have been
purchased by this enterprise, and a Canadian subsidiary is
now in the process of formation. The exact location of the
plant is still undecided, but a good shipping point is one of
the most important considerations.
It is understood that the board of the new Canadian
company is not ytt completed, and it is probable that other
well-know^n financiers may be added to those already ap-
pointed. George Cahoon, Jr.. president of the Laurentide
Co.. Ltd.. and Sir Lomer Gouin, are the only known repre-
sentatives up to the present. Financing of the new sub-
sidiary will be undertaken by the parent organization, ac-
cording to advices.
Other Pulp and Timber Gleanings
Tim'oer limits aggregating over 200 square miles have
been put up for tender by the Ontario government. The
limits are scattered throughout the north country, running
from small bits of one or two square miles to limits of 72
square miles. There are two of the latter size, one in the
Townships of Kimbcrley and Cairo in Timiskaming, and
another in Thunder Bay, in the district west of the Town-
ships of Hole and Sterling. There is one limit of 30V6 square
miles in the Townships of Ryan and Palmer, Algoma. and
one of 15 square miles in the north half of McFadden Town-
ship, Timiskaming. The balance arc small limits, for most
part adjoining limits of operating companies. In the past
fhe.«e would have been dispo.»ed of without tender, but under
the new policy of the Department of Lands and Forests they
must be tendered upon in the usual way.
A circular issued by Clarke Brothers, Ltd., now build-
ing a pulp mill at Bear River, N.S.. for which a bond issue
was sold .v)me months ago, announces that delays have oc-
curred in the construction pn)>;ra;ii, that the buildings are
now nenring completion and the machinery is being rushed
forward and set up as fast as it arrives.
"As Tar as our iniln ni:ll is concerned," says the circular,
"the delays hove :il to the company, for during
this period the p- : tage in krnft pulp has become
more accentual*': ' ■ 'ome to us more forcibly
the wisdom of in. .f our mill. The original
mill wns nt the !,:,. The extension we
■■>re r, ■ f ."iO tons per day.
Allli' .■ cipacity of our
"""• ' . ' our indebtedness
by $2fHi.OOO. making our tot,, $1.2.50.000, which
will more than complete th. .md improvements
and provide working capital a;^ ? rciuireii to carry on under
Xhtf intended program. The additional finances have been
.Trrnrrrrr! "
iistn,' is expected to re-
'■nr, owing to conditions
- operators are planning
smaller cuts than usual for the coming winter, and it is be-
October 29, 1920
THE MONETARY TIMES
33
The Imperial
Guarantee and Accident
Insureuice Compeuiy
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident Insurance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - - - 5200,000.00
Authorized Capital - - $1,000,000.00
Subscribed Capital - - - $1,000,000.00
Government Deposits - $111,000.00
LONDON
Head Office for
Kmployers" Liabilit
GUARANTEE AND
ACCIDENT COY.. Limited
Canada • Toronto
Klevator, Contract, Fcr
Guarantee. Internal Kevcnue. Sickness. Cour
Teams anJ Automubile.
AND FIRE INSURANCE
IT PAYS TO INSURE YOUR AUTOMOBILE
WITH
The Canadian Surety Company
Maximum Service.
A/i'r
Cost.
CANADIAN STRONG PROGRESSIVE
FIRE INSURANCE
AT TARIFF RATES
General Capital Subtcribed
$500,000 Aotomobile
Insurance
Plate
Glaif
Burglary
A. E. Hah. Vict-Prcsidcni
HoMB Officb
lOtb Floor, Electric Railway Chambert
Good Openinies fc
Commercial Union Assurance Co.
LiRiited, of London, England
Capital Fully Subscribed 8 14.750,(M)0
Capital Paid Up 7,375.000
Total Annual Income E.vceeds 75,000,000
Total Funds Exceed SOO.OOO.OOO
Head OfOre Canadian Branrli :
COMMERCIAL UNION BUILDING - MONTREAL
HALBEKTJ KERR Assist.ikt Was* .er. \V. S. JOPLING. .Manaokr
Toronto Office - 49 Wellington Street Eait
GEO. R. HARORAPT. General Agent for Toronto and County of Vork
I Automobile— 1 920— ScEison
s .
1 Policies to cover ANY or ALL motoring risks
I ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
82-88 King Street East, Toronto
HOME PURCHASE BOND
PURCHASE A FARM OR HOME BY EASY MONTHLY OR YEARLY
INSTALMENTS -WE ASSIST YOU -ENQUIRE
xii- N( )UTHAV I :STKUN I.IF15
11..M1I .,1.I.K1'. Ill II.III.X. — ==l>ONAf.ll ST. \VIN.NII»KC;
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank Bldg., Edmonton, Alta.
THE EMPLOYERS'
LIABILITY ASSURANCE CORPORATION
OF LONDON, ENG. LIIVIITED
ISSUES
Personal .-Xccident Sickness
Employers' Liability Automobile
Workmen's Compensation Fidelity Guarantee
and Fire Insurance Policies
C. W. I. WOODLAND
General Man.^KC for Canada and Newfoundland
Lewis Ruildinn.
MONTRK.M.
JOHN JENKINS.
Fire Manager
Temple Bldg.
TORONTO
34
THE MONETARY TIMES
Volume 65.
lieved that the total lumber cut of the province will be
smaller than It has been for several years. In almost every
part of the province sawn lumber is piled hiuh, awaiting
shipment. Considerable quantities of this material were pur-
chased for the British government while the war was on,
including the purchase in advance of lumber to be cut later.
The existence of these stocks has had a depressing effect
on the British market, and the exchange conditions have
acted as a further barrier to shipments. The increased rail
freights and the difficulty experienced in securing cars has
had the effect of limiting exports to the United States
markets. Some of the largest operators of saw mills have
not sold their output for the last two years, and others
still have this year's cut on their hands.
The Riordon Co., Lttl., recently purchased from .M. J.
O'Brien, Ltd., 1,125 square miles of timber limits on the
Upper Ottawa Valley. The purchase also included the un-
developed water power formerly held by O'Brien on the
Quinze River. I'ulpwood from the limits will go to the
Riordon mill at Kipawa, while the pine logs will go to the
company's sawmills at Ottawa.
Fox Industry I'rolitable
More than a million dollars worth of silver fox pelts
have been exported from Prince Edward Island during the
past season. During the same period half a million dollars'
worth of breeding stock has been shipped to various paru- of
the globe.
Winnipeg's first venture into the hemp industry,
launched this spring by the Western Fibre Co., will result
in a successful first year, according to reports. There were
626 acres of hemp sown by the different farmers of the dis-
trict, and the probable yield is around 300,000 pounds. With
the price at 20 cents per pound, the company will realize
$30,000. Seed cost the company about $8,500 and ni.ichinery
a little over $20,000, so that with a moderate expense for
reaping, the first year's operations will show a small profit.
Work has commenced on the new Markham flour mills,
which are being erected opposite the Grand Trunk Railway
station. The mills when completed will be the large.st in
York County. They will be operated by Hydro power and
will have a capacity of one hundred barrels of flour a day.
It is expected that the mills will be operating before
Christmas.
.Nickel Plant .Nut fur Canada
It is announced that the International Nickel Co. will
commence the erection of a new $3,000,000 plant at Hunting-
ton, W.V., about November 1 next. The plant is for rolling
Monel metal into sheet form from the ingots. Hitherto this
work h,i» had to l>e done by other mills, but the company has
now decided to establish its own plant for the purpose. .Ac-
cording to an officer of the company in Toronto, this plant
is logiciilly one to be erected in the Unite<l States, as there
\!> III) sale for that product hero. Apparently the proposeil
erection of this plant was in the minds of those who started
the report some weeks ago that a new and important exten-
sion was to be erected by the International at Copper Cliff,
Ont., where its mining and smelting works arc carried on.
It is stated, however, that there is no extension of the Cana-
dion works under consideration at the present time.
The Canadi.Tn Locomotive Co. has ri-ceivinl an order for
four locomotives for the Timiskaming and Northern Ont,irio
Railway Co. It is stated that this order will make about
twenty-eight engines yet to be completed. At the present
time the men in the work-it are busy on ton locomotives which
are being built for the Grand Trunv.
September output of the i-olli<rics of the province of
British Columbia totalled 2.'?r,..">(5fi long tons, according to tv-
turns made by the provincial department of mines. Of
this total. Vancouver Island's output was 150.A07 ton«.
Tl>. -lew
plant -.r ' >c\-
ober 1^ ■ nn»
on July 1. lull), lack of tiMW.'.portaliun fa<il,livs picventcd
doing so until the present year.
NEW INCORPORATIONS
.Maguire, Patterson & Palmer (Canada). Ltd., $5,000,000—
San Kranci-sco & .Mc.Murray Oil Refining Co., Ltd.,
$3.000.000— Wi.ser's Distillery, Ltd., $3,000,000
Dominion charters have been granted to the following
companies, with head oflice and authorized capital as indi-
cated:—
Appleford Milk Products, Ltd., St. Thomas, $1,000,000;
Omnium Oil, Ltd., Toronto, $250,000; Mexicana Oil, Ltd.,
Toronto, $250,000; A. Macdonald and Co., Ltd., Winnipeg,
$1,000,000; Wiser's Distillery, Ltd., Montreal, $3,000,000; Fine
Hat Co., Ltd., Montreal, $20,000; La Salle Lead Products,
Ltd., Windsor, $40,000; Le Syndicat General des Medicins des
Eaux Minerales Naturelles du Canada, Limitee, Montreal,
$150,000; Mountain Street Garage, Ltd., Montreal, $250,000;
Ozonated Corp., Ltd., Montreal, $300,000; Dominion Furni-
ture, Ltd., Ste. Therese, Que., $500,000; Maguire, Patterson
and Palmer (Canada), Ltd., Montreal, $5,000,000; Canadian
Electrical Corp., Ltd., Montreal, $1,000,000; Fraser, Brace, Ltd.,
Montreal, $550,000; Can. Superheater Corp., Ltd., Montreal,
$200,000; Canada Barrels and Kegs, Ltd., Waterloo, $500,000;
Kraft MacLaren Cheese Co., Ltd., Montreal, $1,000,000; Tray-
more Cafeteria, Ltd., Toronto, $300,000; Code Felt and Knit-
ting Co., Ltd., Perth, Ont., $500,000; Sherbrooke Record Co.,
Ltd., Sherbrooke, Que., $250,000; Canadian Coaster, Ltd.,
Toronto, $40,000; T. M. Fox and Sons, Ltd., Montreal, S1.50,-
000; Rotary Brick-Machine Co. of Canada, Ltd., Montreal,
$100,000; Miller Lithographic Co., Ltd., Toronto, $91,000;
San Francisco and McMurray Oil Refining Co., Ltd., Edmon-
ton, $3,000,000.
Provincial Charters
Provincial charters announced during the past week
have been as follows: —
British Columbia. — Phoenix Contracting Co., Ltd., Van-
couver, $25,000; Spicer's .A.sbestos, Ltd., Vancouver, $50,000;
Publishers, Ltd., Vancouver, $10,000; Lasqueti Mining Co.,
Ltd., Vancouver, $250,000; .\ltamont Lumber Co., Ltd., De-
muth, $20,000; Northern Liquor Co., Ltd., Prince Rupert,
$30,000; White Rock Athletic Club, Ltd., White Rock, $5,000;
Union Jack Club, Ltd., Vancouver, $5,000; Keithley Creek
Gold Mining Co., Ltd., Vancouver, $500,000; Knox Hotel Co.,
Ltd., Prince Rupert, $50,000.
.Manitoba. — A. Adams Supply Co., Ltd., Winnipeg, $20,-
000; Porcupine Boot, Ltd., Winnipeg, $75,000; Schilling, Ltd.,
Winnipeg. $20,000; Western Fuel and Produce, Ltd., Winni-
peg, $50,000; .Miami Skating Rink Co., Ltd., Miami, $8,000.
Ontario. — Canadian Educational Films, Ltd., Toronto,
$.50,000; Gravenhurst Masonic Temple Co., Ltd., Gravenhurst,
$10,000; Nitro Electric Co., Ltd., Toronto, $40,000; Hold-Mar
Vncu\mi Piston, Ltd., Toronto, $100,000; S. R. Weaver, Ltd.,
Hamilton. $100,000; Nonds' Comers' Telephone Co., Ltd.,
Woodstock, $420; Union Exploration Co., Ltd., Chatham, $1,-
000,000; .Adanac Products, Ltd., Toronto, $300,000; Laurel
Hosiery Co., Ltd., Paris, $,50,000; Canadian Hoffman Machin-
ery Co., Ltd., Toronto, $40,000; I>oon Lake Hunting Club,
Ltd., BmntfoH. $40,000; Allen Feed Water Purifier Co., Ltd.,
Toi "': St. Thomas Box Co.. Ltd., St. Thomas,
$1" ^' Oil and Gas. Ltd., Chatham, $1,000,000;
Th.. . and Veiling Co.. Ltd., Toronto, $50,000; Wel-
Innd Tribune and Telegraph. Ltd., Welland, $125,000; C. H.
Epps Manufacturing Co.. Ltd.. Goderich, $40,000; Robshaw
Mn: ' ■ Co.. Ltd., Punda.s. $40,000; Women's Wear
Sb ronto, $100,000; Brantwood Place, Ltd., Ot-
tn^' Haugh Lumber Co., Ltd., Wind.sor, $40,000;
ChampUii) I'umt Telephone Co.. Ltd., Orillia, $640; Hotel
Arlington Co., Ltd.. Toronto. $100,000; International Steam-
ship Ticket Agency. Ltd.. Toronto, $.50,000.
Quebec.— Toflfield Tire Protector Co. of Canada, Mont-
real. $12.5.000; Mnrnwir VnH. T fd.. Macamic, $20,000; Mars
Social Club. Ii . .il. $20,000; Canada Cabi-
nettp Heels. I/ mI; .Anglo-American Motors
Co.. Ltd.. Moiv tc Printing Co., Montreal,
M5.000; the People » Bakery, Ltd., Laprairie, $10,000; Pape-
terie du Saguenay. Ltd., Chicoutimi. $500,000.
October 29, 1920
THE MONETARY TIMES
36
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $133,000,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful days for life insurance salesmen,
particularly North American Life men. Our representa-
tives are placing unprecedented amounts of new business.
All I9I9 records are being smashed.
'* Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey. Supervisor of Agencies.
North American Life Assurance Company
"SOLID .^S THE CONTINENT'
HOME OFFICE TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assurances, New and Revived - - - $1,211,447.00
Premiums on same . . - . 43.890.00
Assurances in Force - - . . 3, 458. 939.00
Total Premium Income ... - 109,586.03
Policy Reserves - - - - - 211,497.00
Admitted Assets - - - - - 296,430.62
Average Policy ----- 2,237.50
Collected in cash per $1,000 in.surance in force 31 7.S
For particulars of a good agency apply to
ADAM REID, Managing Director Winnipeg.
1870 OUR GOLDEN JUBILEE 1920
One Hundred Per Cent. Increase in Five Years
The Mutual Life of Canada is celebrating its jubilee year by " roundinR "
the two hundi**d million dollar mark, having doubled the amount of
assurances m force since the year I91S, This 100% increase in five years
is without doubt dueto (he unsullied record forfair. liberal and equitable
dealinfl with its policyholders, a» d In the second place to the increasing
popularity of the mutual principle in life insurance. The mutual is
becoming generally recognized ah the most economical, the most demo-
cratic and the most ec|ui table system of life insurance. The greatest and
most powei-fu life insurance organizations in the world are mutual, and
the Mutual of Canada, organized on that basis, is meeting with a similar
success. The assets of the Mutual are a source of sat-sfaction.
amounting at present to aprroximately S40.000.O0o. guaranteeing every
contract and providing a substantial surplus.
BE A MUTUALIST!
The Mutual Life Assurance Co. of Canada
Waterloo Ontario
LIFE INSURANCE SERVICE
'PHK ultimate success of a Uife Insurance Company depends largely i
•*■ what Its policyholders think of the service they receive. The Conti
tal Life has long since passed this test, and earned a high reputation for paying
claims promptly. 19:;o will likely prove the best year in the Company's history
Write for booklet, ""mr Best AdvcrtlBeri.." For Manager's positions in On
t.irio, apply with references, stating cxoerience. etc.. to ». X. WEATEK
Ea»lrrn .Suprrlfilrn<lenl. nl Head Olllrr
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
ISSUED ONLY 1!Y
THE LONDON LIFE INSURANCE CO.
Head Office ... LONDON, CANADA
Profit Results in ibit Company 70^, better tban Eitimatei.
POLICIES "GOOn AS GOLD."
In This Year of Abundant Harvest
do not overlook Life Insurance — the surest promise that
future years will be abundant too !
Nothing is lacking to make Great- West Policyholders
well satisfied with their contracts. Low premiums, high
profits, liberal conditions — every advantage of modern
protection.
In short---Policie8 of unequalled value, as an unequalled
demand clearly prove*.
THE GREAT-WEST LIFE ASSURANCE COMPANY
DEl'T. 'F "
HEAD OFFICE - - - ■yviNNIPECJ
The Western Empire
Life Assurance Company
Head Office: 701 Somerset Building, Winnipeg, Man.
SASKATOON
Oppicks
EDMONTON
VANCOl VER
MAHAN-WESTMAN, LIMITED
SL'CCUDSOKA TO T. MURKOITM. LINITRl)
FINANCE - INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
Dr. J. W. .MAHAN J. A. \VK ST.MAN
President .\lan.i«m« Director
WE have 450 good businesses for sale in the central
portion of Alberta. Everything from a General
Store to a small Confectionery.
If you want a business in Alberta you want us.
^VHYTE & CO., LIMITED
Business Brokers
111 Pantages Building - Edmonton. Alberta
TOOLE, PEET & CO., Umited
INSURANCE AND REAL ESTATE
MORTGAGE LOANS ESTATES MANAGED
Cable Address. Toreco Western Un ;ind A.UC.Sth Edition
CALGARY, CANADA
THE MONETARY TIMES
News of Municipal Finance
W inniptu Nit Di-bi-nturi' Debt is .Moro I'han Six Millions— Assiniboia Accounts Not
in Cood Order— (ialt Assessment Has Increased .SI, 71 7.790— Calgary to Abandon
Costly HorrowinK Practice— Regina Proposes to Reduce Itilities Deficit by One Half
Itrandun, Man. — Approximately $650,000 has been col- law permits the owners to redeem their holdings within two
lectcU in taxes this year, or 50 per cent, of the total levy. years on the conditions specified in the city charter, very
Saanich, B.C.— Up to October 1.3th, 1920, $180,504 had few people take advantage of this provision of the law, and
been taken in bv the municipal treasury in current taxes, that probably not more than 10 per cent, do so within the
or 88.77 of the total lew. In addition, arrears had been stated period. Last year the city bought in numerous vacant
collected to the amount of $32,'.i.36, or 66.41 per cent, of the lands for the protection of the city's interests, and as most
amount on the books at Januarv 1st, 1920. of these lots are still held by the corporation, it has now
KeKina. Sask.-Tliere was a deficit on utilities of $115,. become the owner of over 400 lots.
000 at the end of September. According to Commissioner ^^ '^ "IT.T^ , ^ ^'^^ f , l^'^l^}"^^ f°'
Thornton, this ^vill be cut in half bv the end of the year. two years, but that if there is a second sale in that time the
providcl .onditions are favorable. A new unit at the power- «5'^'"^' ""f^/till retains his right to buy them back on
house will reduce the loss of this department from $66,000 ^^e payment of expenses and taxes and the sale price plus
to $20,000. it is expected. 1» f '; ""*. The city though increasing its ownership of
., . ^ ... land, IS protected, as the lots are said to be worth at least
\\e.st kildnnan, .Man.-Ratepayers are demanding an ^^^ ^^^^^ ^^^^ ^„j j,,j,t_ therefore, the city is not the loser,
explanation of the increase of 42 per cent, in the school board ^ ^ ^^ regards the interest on money expended,
levy and 7 per cent, in the municipal commissioners levy. ^ statement bv the Administration Commission shows
The tax rate this year has been set at 29 mills, and tax- ^^^^ ^^^ ^^^^ ^^ ^i^;. administration for 1921 will be $2,582,-
payers are protesting against this. The municipal council jg^^ ^^ compared with $2,099,911 for 1920.
has explained that there will be an additional expenditure ,,,. . ,, _ , , ^ , , , , .*
of $72,000 for the school board's programme. A meeting will ..^^'"""Pf*^- Man—Gross debenture debt of the city, ac-
he called soon to discuss the problem. 'i"''''""^ '° I'^u^^'i.^oor^o'J it' ". ^f ''.^S-'f. while the net
„ , „ . . .... , debenture debt IS $6,221,228. The following figures show how
{.alt, Ont.-An inci-oase m the city s assessment of the net debt is arrived at:-
$1, ill. (00 IS shown in the report of Assessor Welland. which tin r-no r-r
has just b.-..,, mndp public. The following are the new figures '^'■°^!, "f°^ • ?39,i28,(65
and the :■ ■ r la.st year:- „ Deduct--
Lan : increase, $608,085. Buildings. $6,761,- Revenue-producing and other special
670; im I n. Total, $10.715,3.55; increase, $1,310,- „ '^^^^^ f follows:—
735. Total ta.x..W. property. $8,719,795; increase. $1,095,530. Ratepayers share of local improve-
School rates, $460,9.50; decrease. $40,795. Exemptions, $1,- „. '"'"'ts • • $ll,4o3.219
995,.5fi0; increase. $215,205. Business. $1,146,975; increase. High-pressure special assessments.. 1.284.632
$136,101. Income. $691,470; increase. $270,954. Total assess- ^"'''"^ school board 3.500.000
ment, $12.5,53.800; increase. $1,717,790. ^ "'" ^;'"->'s *y«''="^ 7,100.732
,, , ... » . ». u . Hydro-electric system 7.402,000
Colicary, Alta. — A practice of temporary borrowings out ^_____
of current revenue to carry on odd jobs around the city is »„- „„. ._„
to be stopped. The mayor recently tohl the finance com- ^.^j^, ^j^^j^p j^^,, $li;033;i38
m.ttee that this practice, which has been going on for years. j^^^ ^.^^^.^^ j^^^ ^^ ^^^^.^ ^ ^^j^,^ 8,356 185
IS resulting in an accumulating nver-expcnditure each year ^_^^^^
which is not provided for in the levy for that particular year. « 9 ctr o>;q tio cat cqa
even if all the taxes were collected, which they are not. As * <:,o/t),»&d jidj.w^&ae
i'ution"- "' ""* ''"" '""'"""'''■ '""'""' ''"■ ^"""''■'"'^ "*°- Net general debt $ 6,221,228
"That temporar^■ financing the future out of current , Outstanding debentures and stock will mature as fol-
revenuo he .lisrontinued unless the source for repayment is ^ows. according to the report: $363,836 in 1920, $236,716 in
set forth at the time of the borrowing, and then only if it '^fj. «261.804 in 1922. $300,007 in 1923. $170,561 in 1924,
is to bo repai.l during the current year, unless the expen- ?in.860 m 192o. S6.,09.3:',6 in 102G, $324,342 in 1928, $25,000
riilure mav be capitalized and made redeemable in a period '" '"'" ' "" " ' ""'^- $1-1.-1M in 1921. $216,-200 in 1932,
not to exceed five years." H: '''■• *" ^'''■'■*- SS2G.809 in 1935. $1,137.-
Viclnrin. n.r.--.^uthorir.ation was given to the city '" ,.Mn irVon^flr^r '^\'f -^fol'o^'Jf ?"
--.-<;"" ' »"- ^- ^'r^'^f^ "] ^^^^ -r,^'-- ,;; 1045 So'oir ;o4 V2: S fiLs"
cilv » Pominion government registered Iwnds to bearer bonds „„ , »t, „„« . ,„., ' *""■""*'■ '" '"»°'
,'. ... ... .1 ■»■ o 1 ■ _ --. ana (n^.i'Uv in I9f».i.
with a view to investment in other securities. By .«o doing \_.;..;i„;. \i«« ». ,• , .
.,...,,. ,, ■ . . M I ..' AiwiniboiB, .Man. — At a meeting of ratepavers last week
the citv wi gam a reasonable sum in interest. AM ,Sar- ., ,^,„. „„„„;„,„.,„i., , ,.„i, „ 1 . .... ', ' i, .' ,
gent, chnirmnn of the finance committee, who rc-omm.nded ''*"'' """"'"'""■•'>• '■""olvod to petition the Manitoba gov-
the scheme, staled that it is proposed to change the cly's ^" " 7,^'."' "^"""■'sioner to investigate and
.holdintr- nf U.25 bonds to I oai'.. bearing W per cent, more " the mvinu-.pa .ty. The .iction was the
int. . • ■ .ir. or »17..%00. spread over ^^''\ , .. "^ '^": ^'":':'»' >«^Port issued by W. A.
f .^ ■ I,, ninture The 1011 Henderson un.'. i. o.. ii.unicipal auditors, which drew attention
1..',;' .,it this would only interest '" V''' ^"^' *''"* the municipal accounts are away behind in
indn>au:a hui.U,.., a., ti. > ,t , ...uM not have to'pny. Ho ^f " ' ' ' '" " ^"-•' ° ^""^ of confusion th.it an
said that bond dealers usualU :„k.d for bearer In-nds in open ^^" palitys position cannot be pre-
market transactions, and it was. therefore. desirBble to get ^l ' ^'^i J''^ l"""^"' cotidition of
this clns.. and .lispose of the registered variety. // lead to confusion if not to
.... 1 ... . . . .1 '^ ^*'"'* of knowledge of the
MonlrcnI. JJue.-AccordiniT tn ,1rtn,1, e:vrn n,,- v the ;,nnnces. as the staff seems to
city hall last week, the cit ■( Ui" ■ m the accounting work"
unbuilt properties, on whul o -ho was present at the meeting, asked
for two ye.irs, by the purcl , ro for...,..,.,,. • .-.dgmenl until the auditors' report was
vacant lots. The city authonties announce that, while the passed by the council and published. He drew attention to
October 29, 1920
THE MONETARY TIMES
C.P.R. BUILDING
TORONTO
|10USSLRWOOD^°G>MPANr
INVE4TMCNT BANKCRS
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
>- ■■
OSLER, HAMMOND & NANTON
WINNIPEG
Stock Brokers and Financial Agents
Insurance Mortgage Loans
Real Estate
► — ■■ - a
CANADIAN
GOVERNMENT, PROVINCIAL,
MUNICIPAL & CORPORATION
BONDS FOR INVESTMENT
Harris, Forbes & Company
INCORPORATED
C. p. R. Building 21 St. John Street
TORONTO MONTREAL
V^E consider this an opport
invest funds in conser\
une time
to
native, sa
fe.
high-yielding securities.
Write or telephone us for
particu-
lars of such investments
which
v^e can offer to yield an
interest
return of from 8 ■ to 10 .
T. S. G. PEPLER &
CO.
Investment Brokers
106 BAY STREET
TORONTO ] 1
1
c.
14
H.
King
BURGESS & CO.
Government and
Municipal Bonds
Street East - - Toronto
1
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
INDUSTRIAL SFXURITIES
300 Nanton Building, Winnipeg
CITY OF HAMILTON
GOLD 4% BONDS
Maturing 1930 Interest Half \early
/Vice- /o Weld 6.40%
J. F. STEWART & CO.
106 BAY STREET
TORONTO - CANADA
THE MONETARY TIMES
Volume 65.
till' Miiu-jMiMii :ii iMf .-|ii. lal report that no irregularities had
been fiiscovered. He ncimitted ihat the bookkeeping of the
municipality was not up to date, but claimed that it was
nevertheless correct. Councillor Stockdale endorsed the
reeve's statement, and warned the ratepayers against hasty
and ill-advised action, which might be greatly to the preju-
dice of the municipnlity, he said.
W. I). Bayley, M.L..\., gave a comprehensive review of
the whole situation. He said the statement in the special
auditors' report that no irregularities had been found was
true enough, but the accounts of the municipality were in
such shape that in-egularities could exist without being dis-
covered. He strongly urged the appointment of a special
commissioner. The meeting was thoroughly in accord with
this view. Several ratepayers drew attention to the fact that
there was no time to lose, as division of the municipality was
close at hand, and it was necessary that matters be cleared
up so that the new councils would have a fair start, and that
an equitable distribution of assets and liabilities be arrived
at. During the discusson it was pointed out that as far back
as 1917 the municipal commissioner had drawn attention to j
the slackness of .\ssiniboia's accounting system.
Government and Municipal Bond Market
IJritish Columbia Makes .Vnother Loan at a HIkIi Price— Lethbridge District
Farmers Favor Bondin); of Land for Purpose of ConstructinK: Irrigation System —
Saskatchewan Ollicials Pu.sh New Domestic Loan— Alberta in Market for a Million
BKITISH Columbia's issue featured the government and
municipal bond market this week. The price received
by the province was a good one, being on a basis of about
•1.80 per cent., but this was only made possible by the ex-
change rale existing between this country and the United
States, as the bonds will be disposed of across the line.
During the past year Canadian provinces have borrowed
more than $100,000,000, of which the greater part was se-
cured from United States investors. If exchange goes back
to par within a short time, the provinces may consider them-
selves extremely fortunate. In the meantime, however, they
should not be entirely sjitisfied with the prices they have re-
ceived for their securities.
If the United States had not been available as a market
for Canadian securities, where would the provinces have ob-
tained their money? This is a rather difficult question to
answer, but the experiences of -some dealers who have en-
deavored to place large amounts of securities in Canada,
would seem to indicate that only a very small portion of one
hundred millions would have been obtainable here.
For the first time in the history of Canada, farmers
have bonded their land for the purpose of constructing an
irrigation system. On October 21, by nn overwhelming ma-
jority, residents of the Lethbridge Northern District voted
in favor of bonding their land for on amount of $5,400,000.
The result of voting was '202 for and 16 against. The securi-
ties to be issued will bear interest at the rate of «'• per cent.,
and will mature over a period of thirty years.
More Domcslir I^ans
I''ri'(lericton, N.B.. iti now offering to citizens over the
counter and through its bankers the Bank of Nova Scotia,
$166,000 bonds, which are exempt from city taxes. The bonds
are for voriou.H maturities, being redeemoblc each year from
December, 1!»22, to December, I'.'MI, nrr offcreil at prices to
yield 6 per cent., and are in drii 'il.
The rural municipality of -.vhich re-
cently failed to receive a fn\ ' rom bond
ilealers for its securities, is now teatini; Uie local market
with an offorinir nf Sr.O.OOO 6 por cont. serial debentures,
- -' ■ i( nnj
'wo
iven
mntarii
$100. '.'■
or thn '
out. That a waa
however, can be f
present Usue is bviii>; •■■
cent, basis.
Milton, Ont.. will -rV.
debenture". I
another i.'ssii'
si-hool |>iirpi>..
bo trc
:.iund Ihc ^ I'or c»;iit. mark,
!rd from the fact that the
...I to purcha*crs on n 7>,, per
Inrnl rttiTpn<: J-J'.OOO hiph irhool
led
■ngh
,----. - . 'I'ly
itcd ^n the .-;inir manner.
Ait.i ".v.v.nl iitt.mpt.1, Windsor, Out,, ha* failed to
place an issue of $:177,648 6 per cent, instalment dcl)cntures.
Tenders were asked until October 22 last for these securi-
ties, but the highest bid of 93.11, which was on about a 6.90
per cent, basis, was considered unsatisfactory. The city I
formerly considered the advisability of selling these deben-
tures locally, but has apparently abandoned the idea. It is
doubtful whether the issue would have met with a very good
reception locally, especially in view of the unfavorable ad-
vertising which it has received.
Another Ontario municipality, which has been success-
ful in underwriting its own debentures, is E.xeter. Accord-
ing to a report from London, the village has disposed of $50,-
000 o!" per cent, debentures locally. In view of the size of
the village, this is considered a good piece of business.
Enthusiastic Over Saskatchewan Loan
If optimism and fine spirit can sell anything, Saskat-
chewan is going to market at least a large part of the $3,-
500,000 5 per cent, fai-m loan debentures, as the officials in
connection with the proposed loan are not lacking in this
respect. Doubt as to the success of the undertaking has
been frequently expressed, while the officials themselves are
aware that the task is not a small one. There is a good
spirit of co-operation, however, and, in spite of the hard-
ships of reduced prices for grain and unfavorable conditions
in some parts of the proN-ince, satisfactory results are ex-
pected.
Coming Offerings
The following is a list of debentures offered for sale,
particulars of which have been given in this or previous
issues:—
Tenders
Borrower. Amount. Rate %. Maturity. close.
Thorold. Ont $ 20,000 6 10-years Oct. aO
Glace Bay, X.S 190,000 6 Various Oct. 30
Moosomin, So.';k., R.
Telephones 24.500 8 15-instal. Oct. 30
Teck Tp.. Ont 10,000 6 10-instal. Oct 30
PowBssan, Ont s,000 6% 20-instal. Nov. 1
Watford, Ont 52,000 5% 30-instel. Nov. 1
Alberta 1,000,000 6 10-years Nov. 1
Ford City, Ont .50.000 6^: 20-instal. Nov. 2
Oshowo. Ont 78,743 6 15-insUl. Nov. 8
Aldcnburg, Sosk., R.
Telephones 2,500 8 15-instal. Nov. 10
Amo.«, Que 55,000 6 20-instal. Nov. 11
Temiskaming, Que. . 24,500 6 Optional Nov. 11
Renfrew County, Ont. 150,000 6 20-insUl. Nov. 12
Yellow Grass, Sask. . 12.000 7 10-instal. Nov. 12
Yellow Grass. Sask.— The town is asking for tenders
until Xoveml>er 15. 1920. for $12,000 7 per cent. 10-instal-
mcnt debentures.— H. J. Wilken, secretary-treasurer.
October 29, 1920
THE iM 0 N E T A R Y T I JI E S
6.30%
Until October 1st, 1940
Markets may come and markets may
go, but purchasers of Province of Sas-
katchewan 6% Gold Bonds to-day at
96.62 and interest are assured of 6.30%
for twenty years.
These bonds afford an excellent oppor-
tunity to dispense with the necessity
for frequent reinvestment. They also
guard against any changes in the
money market that may occur in years
to come.
Mail your order or write for par-
ticulars.
Wood, Gundy & Company
Canadian Pacific Railway Building
Toronto
Montreal
Winnipeg
Toronto
Saskatoon
New York
London, Eng.
The World is Our Market
to huy and sell in.
Seven stratef<lcally-pliiced offices., (rom Hali-
fax and New York to Vancouver, plus Cor
respondents in I ondon, Paris. Cliica)<o, San
Francisco, the British West Indies and Cuba,
enable us to market securities with certainty
and speed.
Orders to buy or sell Bonds in amounts of
$100 aid upwards are welcome.
We have thousands of moderate Investors
amoD^ our clients.
But transactions involving lar^e amounts are
negotiated as promptly and economically as
smaller orders.
If you wish to keep posted on business and
financial conditions, write and ask us to place
your name on the mailing list for Inreslment
Items. No obligation. No char(;e.
Royai Securities
^ ^CORPORATION
LIMITED
MONTCEAL
TORONTO HALIFAX ST. JOHN. N.B.
WINNIPEG VANCOUVER NEW YORK
LONDON, En«.
JB^^k^l.Ut.kv^-^-ita*^^^^^^^^'^^^^^
W. L. McKinnon
Dean H. Pettes
\\
'e recommend the pur
chase of
VICTORY
LOAN
at the followirB rric
es:-
MATURITY
PRICK
1922 ....
98 and Interest yieldin
g 6.38;,,
1927 .. .
97 ■■
6.00%
1937
98 •■
.S.68%>
1923 ...
98 •■
6.14%
1933
96 J •■
5.88''.,
1924
97 ••
6.27%
1934
93 "
6.24'V,
Orders may be
telephoned or lclcgr.T
phed at ol
r expense.
W. L.
McKINNON &
CO.
McKinnon Building
-
TORONTO
llllllllllllIlllilllllllilUUMII
Victory Loan —
A Comparison
In 1914 Dominion of Canada 3/2 ,
Bonds, due in 1934, were selling at
93, yielding approximately 4%.
To-day you can buy Dominion of
Canada S-V',, Bonds, due in 1934, at
93. yielding 6.25%.
In 1934 both Bonds will be re-
deemed at 100 CENTS ON THE
DOLLAR.
A S.V'o Bond, due in 1934. selling
to-day to yield 4 would cost I 1 5.96.
Buy 1934 Victory Loan Bonds Now
W. A. MACKENZIE & CO.
Government an.l Municwat B.^n.l,
42 King St. West
TORONTO CANADA
40
THE MONETARY TIMES
Volume 65.
Township i.l Tick, Onl.— Tenders will be received until
October .30, 1920, for the purchase of ?10,000 G per cent. 10-
in.stalnient debentures. The money will be used for schools.
Ford City, Ont. — Tenders will be received until Novem-
ber •-', 1920, for the purchase of $50,000 CM; per cent. 20-in-
stalment housing debentures, guaranteed by the province.
Oshawa, Ont.— Tenders will be received until November
8, 1920, for the purchase of $78,74:1.88 G per cent. 15-instal-
ment debentures, the proceeds of which issue will be used for
local improvements.
Glace Bay, N.S.— Tenders close at 4 p.m., October 30,
1920, for the purchase of the following 0 per cent, deben-
tures: $175,000 for schools, maturing in thirty years, in de-
nominations of $1,000 and interest payable semi-annually at
Glace Bay; $15,000 for pavement repairs, in denominations
of ?500, and maturing $1,000 each year, with interest as
above.— N. F. McNeil, town clerk.
Amos, Que.— The village is asking for tenders up till
November 11, 1920, for the purchase of $55,000 6 per cent.
20-instalment debentures, the proceeds of which issue will
be used for fire protection, sewers, sidewalks and to con-
solidate the floating debt. Securities are in denominations
of $100 and $500, and are redeemable at the Banque Na-
tionale at Quebec, Montreal or Amos.— C. A. Lafrance.
Temiskaming, Que.— The municipality of the second
division of the county of Tomiskaming will receive tenders
until November 11, 1920, for the purchase of $24,500 6 per
cent, debentures, the proceeds of which will be used for a
circuit and magistrate's court. The securities are redeem-
able in 25 years, but if necessary the maturity will be re-
duced to 10 or 5 years, with sinking fund at a rate based on
the term of the "the loan. Tenders should stipulate this.—
J. Grenier, secretary-treasurer.
Saskatchewan Telephones.— Tenders will be received until
October 30, 1920, for the purcha.se of $24,500 telephone de-
bentures of the South-Wcst Moosomin Rural Telephone Co.,
Ltd. Securities are repayable in fifteen equal annual instal-
ments, and bear interest at 8 per cent.— W. C. Bruce, Mooso-
min.
Offers will be received by A. E. Crosby, Expanse, until
November 10, 1920. for the purchase of $2,500 8 per cent,
debentures of the Aldenburg Rural Telephone Co., Ltd., ma-
turing in 15 equal annual instalments.
Debenture Notes
Iroquois Falls. Onl.— Debentures to the amount of $45,-
000 will be i.ssued by the Separate School Board of the town.
Windsor. Ont.— .•V by-law to raise money for the pur-
chase of parks in the border cities, has been rejected by
ratepayers.
St. Vilnl K.M., Man.— On December 3, 1920. ratepayers
will be asked to vote on the issue of $30,000 debentures for
school purposes.
Edmonton. Alia.— The $2,000,000 of securities recently
purcha.sed by Morris Bros., of Portland, will be personally
delivered by the city treasurer and the finance commis.sioner.
an.l will also be signed at the point of delivery, in order to
make the bonds non-ncgotinble until actually delivered.
Mayor Clarke also states that more than $500 will be wived
by Ihi.-s method of delivery.
Sydney. N.S.— Uist May eight money by-lnws were sub-
mitted to ratepayers, calling for the is.iue of delwntures to
the amount of $297,000. One of the by-lnws. amounting to
$10,000. was defeated, and, according to the legislation
granted, the defeat of one item defeated the whole object of
proceedings. The city is in need of money, but cannot bor-
row until the statute is amended at the next House of A.«-
senibly and another vote has been taken.
Bond Sales
Camphcllton. N.B.— The Eastern Securities Co.. Ltd.. rc-
•' purchased $17,000 5i<, per cent, debentures, due
r. 1939. and are oflTering them In denominations of
It 88.14 and interest.
Manitoba Schools.— J. A. Thompson and Co., Winnipeg,
report the purchase of the following school debentures: Glen-
cairn Con. S.D., $14,000; Melba S.D., $5,000; Hoffnungsort
S.D., $5,000; Moray S.D., $2,000. In each case the bonds bear
8 per cent, and are payable at the end of 20 years.
Greater Winnipeg Water District. Man.— .^n offer by
A. E. Ames and Company of 90.093 for the $800,000 6 per
cent. 20-year bonds, payable in Canada only, has been ac-
cepted by the administration board. At this rate the district
pays more for the 10-year bonds, payable in Canada and
United States, than 6.90 per cent, for its money.
Bids for the 10-year bonds, payable in Canada and United
States, were: Wood, Gundy and Co. and Dominion Securities
Corporation, 97.77; Dominion Loan and Security Co. and
Wells-Dickey Co., 97.63; .\. E. .\mcs and Co., 97.093; First
National Co., Detroit, Minnesota Loan and Trust Co., A.
Jarvis and Co., Edward Brown and Co. and Canadian and
General Securities, Ltd., 94.978; W. A. Mackenzie and Co.
and R. .\. Daly and Co., 94.77; R. C. Matthews and Co., N. A.
Macdonald anil Co. and Carstens and Earles, 91.90.
For the 20-year bonds, payable in Canada only, the bids
were: A. E. Ames and Co., 90.093; Wood, Gundy and Co.,
89.63 ; A. Janis and Co. and Canadian General Securities,
Ltd., 87.33; W^. A. Mackenzie and Co. and R. A. Daly and ;
Co., 88.35.
British Columbia. — A sjTidicate, composed of Carstens :
and Earles, of Seattle, the Royal Financial Corporation, of '
Vancouver, the British-American Bond Corporation, and Gil-
lespie, Hart and Todd, of Victoria, has purchased the $1.-
000,000 three-year 6 per cent, bonds" of the province at
103.351, Canadian funds, or on a basis of about 4.80 per
cent. Other tenders received were: —
Blyth, Witter and Co 103.25 ,
Wells-Dickey Co. and the Minnesota Trust Co., of |
Minneapolis 103.306
A. E. Ames and Co., and Halsey, Stuart and Co. . . 102.57
R. C. Matthews and Co., Toronto, Paine, Webber and
Co., and A. B. Leach and Co., of Chicago 102.29
Wood, Gundy and Co 101.24
Saskatchewan. — The following is a list of debentures '
reported sold by the Local Government Board from October
2nd to 9th. 1920:—
Schools.— Tisdalc. $16,000, Rhyl, $4,000, St. Albert, $4,-
000; Watemian-Waterbury Manufacturing Co. Sunny Ridge,
$3,000; W. B. Perkins, Milestone.
Rural Telephones.- Lone Corner, $3,300; R. E. Robb,
Qu'.\ppelle. Heavylands, $400; town of Biggar sinking fund.
South Cupar, $5,450; .\gricultural Insurance Co. Spy Hill,
$1,700; R. Benvick, Ltd. Tramping Lake, $8,000; Wood,
Gundy and Co. Big Quill, $9,2.50; J. Holiski, Wynyard.
Elfros. $30,500; R. O. Berwick and Co. Donwell Canora,
$31,800. Tullis, $3,000; W. L. McKinnon and Co.
Village. — Imperial, $2,000; .T. R. Wallace, Imperial.
Town. — Maple Creek, $8,200; local purchasers.
lUADK PKKFERKNCE WITH WEST INDIES
The Chamber of Commerce of .lamaica, B.W.I., has dis-
tributed to Canadian boards of trade copies of eleven reso-
lutions relating to tra'de with Canada. The resolutions ex-
plain the principles involved in granting a preference on all
goods produced or manufactured in the colony, exported from
there into Canada, and all goods being the natural and manu-
factured products of Canada imported into .lamaica. They
express the desire that trading with the Dominion by
.lamaica be more expanded and intimate, but regret that the
arrangements for full preference on sugar under the Dutch
standard in color is aimed to shut out from the Canadian
market the better grades of sugar produced in Jamaica in
the interest of the Canadian refiners.
The name of Thornton, Davidson and Co., Ltd., Mont-
real, dealers in bonds and other investment securities, has
been changed to M. S. Wheelright and Co., Ltd.
October 29, 1920
THE MONETARY TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7i%
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B.
HALIFAX, N.S.
Western Municipal & School
Debentures
TO YIELD
6%
7i'
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
CORRESPONDENCE
INVITED
UNION TRUST BUILDING
WINNIPEG
Manitoba Finance Corporation Ltd.
Inyeatment Brokers^ Financial Agents, Etc.
Winnipeg, Man.
HeaJ Office
410-11 Electric Rly. Chambers
Phone Garry 38SI
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba. Alberta Flour Mills, Limited
X
Vancouver District Property
Expert F.state Ayenis unci MaruiKers
Property Bought and Sold, Valued. Rented and
Reported on. Correspondence invited.
WAGHORN GWYNN Co., Ltd. v.nco«v.r
MACAULAY & NICOLLS
INSURANCE OF ALL CLASSES
ESTATES MANAGED
746 Hastings Street ■ VANCOUVER, B.C.
C. H. MACAtLAY
J P. NICOLLS Not,
□l
niiiiJiiiiiiiiiiiMii;
Brompton
As a supplement to the
current number of the
Greenshields Monthly
Review and Invest-
ment Suggestions, we
have published an
analytical article on
Brompton Pulp &
Paper Co. Limited.
This article brings to-
gether detailed in-
formation on the
capitalization and pro-
duction of the Bromp-
ton company and its
American subsidiaries.
If you are interested in
Brompton, or in the
pulp and paper indus-
try in general, you
should have a copy
for your fyles.
We shall be glad to mail
you one on request.
Greenshields & Co.
Investment Bankers
14 King Street East, Toronto
Montreal Ottawa
XZT
THE MONETARY TIMES
Corporation Securities Market
Canadian Stocks Continue Irregular Trend— Money is the ConirollinK Factor—
Tradinn Greatly Reduced— Shareholders of Price Brothers Ratify Reorganization
Proposals— Forms of Subscription to New Howard Smith Common are Lenient
FOR many weeks past, the trend of stock prices both here
and in New York, has been distinctly IrreK-ular. while
trading has been frreatly reduced. Last week's operations
indicated no departure from this condition, but the more
pronounced inegular downward movement hinted that the
worst is not yet over. Money is the controlling factor, and
as no relief is yet in sight the stock markets must continue
to yield to its influence.
In the New York market speculation is distinctly
limited by the money situation, which shows little chanKc,
harvest and commercial needs continuing to absorb practi-
cally all of the available credits. Strength of bonds and the
demand for investment securities seem to indicate that sur-
plus funds are being used for investment purposes rather
than speculative.
Very few issues on the Canadian exchanges maintained
the price levels set at the opening, while in a great many
cases the closing price was the low for the week. The pres-
sure on papers was heavy, while the "merger" stocks also
suffered considerably. In Toronto Canadian General Electric,
Steamships, pfd., and Spanish River, pfd., were slightly
stronger, while Mackay also registered a gain. The report
of the Consumers (ias Co. was evidently favorably inter-
preted, as that issue was somewhat higher. The banking
.vcction was notably firm.
The volume of trading from day to day, commencing
OctolxT 21, is shown in the following figures: —
Mont
real
Toronto
Listed shares
Bonds
Listed shares
Bonds
1 miisclMV
1 4,364
*
43,400
2.814
$ 44,500
Friilnv
fs.ico
l.'J.GOO
2.842
59,300
Satunlnv
G.473
5,800
1.942
17.100
Moniljiv . . .
4.130
17,<>00
1,043
42.300
'I'uesdav
4,915
25.200
1.208
5.400
Wciliiesday
11,349
14.710
1,298
8,300
Totals
.59,400 $122,610
11,147 $176,900
Capitnli/ntiiin Inrrensrs
Supplementary letters patent have bei-n i^mhu i<. the
Dougall Varnish Co., of Montreal. Que., authorizing it to
increa.ic its capital from $250,000 to $500,000 by the issue
of 1.500 common shares of $100 each and 1.000 preferred
shnre.n nf $100 each.
J. T. Wing and Co.. Ltd., of Windsor. Ont., incorporated
under the laws of Ontario, have been authorized to increase
the capital stock from $40,000 to $500,000 by the creation of
4.tlOO --harci of $100 each.
Cluelt. Peabody and Co.. of Canada. Ltd.. Montreal,
maniifarturcr.s of arrow shirt.^. collars, undersuits and hand-
kcrrliief.i, have puritias«><l the business of Willinm*. Greene
and Rome Co., manufacturers of similar wear, Kitchener,
Ont., and as a result have increased their capitalization.
New stock is being absorbed by the company.
Patterson Bros., diamond merchants, Sault Ste. Marie,
Ont., recently incorporated, will have a paid-up capital of
$150,000. All the stock will be absorbed privately.
The i.s3Ue of $1,200,000 8 per cent., first mortgage and
collateral trust gold bonds of the Ottawa, Light, Heat and
Power Co., particulars of which were given in these columns
two weeks ago, has been underwritten entirely by the Royal
Securities Corp., and Harris, Forbes and Co., Incorporated.
Permission has been granted the New Brunswick Tele-
phone Co. by the New Brunsijick Public Utilities Commis-
sion to increase its capital stock by $400,000. This amount
is to reimburse the company for money borrowed for plant
extension.
Price Brothers' Reorganization
Shareholders of Price Brothers, Ltd., have ratified the
recommendations of the board of directors with regard to
reorganization. The proposals are to transfer the present
extensive business and holdings of the company to a new
concern with the same name in consideration of 426,710
shares of the new enterprise's common .= tock, and the as-
sumption by the new concern of bonded debt and other
obligations. Holders of the present Price Bros.' stock will
receive five share.*; of the new security for each one of old.
New shares will be of $100 par value.
Sir William Price has made the following statement re-
garding various statements which have been circulating
and which have been creating wrong impressions: —
"In order to set at rest various rumors, let me state
that Price Bros, and Co. have not now,' and never have had,
any intention of amalgamation with any other company."
Terms of Howard Smith Shares
Particulars of the terms of subscription to the new
$1,000,000 issue of common stock of the Howard Smith Paper
Mills. Ltd., which was announced in these columns last week,
have been given out as follows: —
The new stock is available to shareholders of record at
the close of business on November 5 next. Ten per cent
on subscription or before November 15; 15 per cent, on or
before December 15; 15 per cent, on or before January 15,
1921; !."• per cent, on or before Kebruan.- 15. 1921; 15 per
cent, on or before March 15, 1921; 15 per cent, on or be-
fore April IB, 1921, and 15 per cent, on or before Mav 15.
1921.
Right to subscribe expires at 3 p.m. November 15 next.
Warrants must at the same time be surrendered to the com-
pany. Shares may be paid in full on December 15 or any
(Covliniifd 07I pnffr i? }
UNLISTED SHCURlTIhS
com.
Wc«!crn Grocers ..prcf .
«.2S WhalcnPulp corn!
*" " prtf..
October 29, 1920
THE MONETARY TIMES
43
We Offer
SCHOOL BONDS
Province of Alberta
Maturing 10 and 15 Yean
7 toT'ifo
We Specially Recommend iheie Bonds as Sound Inveslmenis
W. Ross Alger & Company
INN'ESTMENT BANKERS
Bank of Toronto Bldg. Royal Bank Chambers
EDMONTON CALGARY
A. J. Pattison Jr. & Co.
Members
Toronto Stock KxchjnBc Montreal Stock Exchange
Specialists Unlisted Securities
lOe BAY STREET
TORONTO
H. H. CAMPKIN
Insurance, Loans, Bonds, Debentures and Real Estate
Agent for Canadian Pacilic Hallway Co. Lands.CanaJa Ncrth
'Vest LanJ Co. Land'i, Hudson'^ Hay ComranVs L:,r.ds.
REGINA, SASK.
NIBLOCK & TULL, Limited
STOCK, BOND and GRAIN BROKERS
(Direct Private VVirei
Grain Elxchange
Calgary, Alta.
Northern Securities, Limited
KSTAIU.ISHED IW'6
GENERAL FINANCIAL BROKER
Confidential Advice on Briliih Columbia InceMtmentM
Member of Mortgage and Trust Companies Association of British Columbia
529 Pender Street ^V. VANCOUVER. B.C.
B. GEORGE HANSLLI). J. P., Manager
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Branches— SASKATOON AND CALGARV.
Canadian Managers
Investsen't Corporation op Canada, Ltd.
London Office: 4 Great Winchester St.. B.C.
P.
M. LIDDELL & COMPANY
Investment Ban!,;crs. Fiscal Agents
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
The Safest Investment
COUND. active, industrial enterprises cater
O lie ciemand whicii benefit by national
the best and safest investments for money,
you of many investments which pay good
have great future possibilities.
ina to biR pub-
growth-make
We can advise
dividends and
Chiefly among which is the issue of the
Canada.
Rubber Co. o(
Enjoy the prosperity of the rubber industry.
Lcl us send Mou particulars.
R. M. HEFFEJINAN & CO.
I.\VESTMEi\T BROKERS
HEAD OFFICE : 204 Jack.on Building
Limited
, OTTAWA
.M T 11115
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM UNDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
PRIVATS WiRBS TO Wl.WIPEG. CHICAGO. TORONTO,
MONTREAL AND NEW YORK
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings also any British
Columbia Government and Municipal Issues.
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C.
Victoria, B.C.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFI-"ER OUR COUNSEL AND ADVICE
Willoughby Sumner Limited
b«»l)li.hrd l<>00'
Member! of the Winnipeg Grain Exchange
Private aire to ll'innipcu. Toronto. Montreal. Chicafo
on.i .\ctt. )-,,r^
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
ti<t\iKi:Aiy— MiM'k i.iiiioi D.I. .':iii
fFi(jurc« supplied by Hc'hsktt A Co.)
Sales' Open Hich ' Low ' Close
Abitibi PA I'...
AmcB Holdcn.. .
Aftbenton Corp.
Atl.intii: SiiK.ir
IU-11 Icl.Tluini-
llr.i/.ili.in TLA l'-
HC. l--l>h
Uronipton Pulp A 1'.
CunnJii Cement .
. .p(d.
Can. Con i
Can.-idinn Cottons. pfd.
Canadian Cur
■ ....pfd.l
CP.R
Canadian Gen. Hl> .
Can. Loco
Can. Steamship
•■ •■ ViJt. 1
Con..MininK A Sm.
Oct. Ry»
Oom. Canncr«. .
Dominion Bridile .
IJom. Coal pfd.'
Uominiim Gluos {
•• . prd.,
Dom. Iron pfd.
Dom. Steel Corp
..pfd.
Dominion Textile I
•• ..pfd.i
Ooo<lwins Ltd 1.
■• Pfd.1
Howard Smith
•• pfd.
Hlllcrest
Illinoik Traction ..pfd-
Lake of the Woods
71!
i:i'i* i:w( iMi\
4 14!) , 14!)
Laur
eal Power. . .
ealTram
TcletJraph
lUli lOli
Natl
jnni Hrc
\1
lU
omi
<c Fliiiir
rid
Olta
wa L. H
A
'.
Ont
Steel I'rod
pfd
Penman* . .
Prov Pnrer
«uclxc 1(> I. I
lliordnn I'ulpA
St l...\vrcn,
ShAuinicin
Spaniith Rt\
I- 1
Dom Cai
Victory Bond*. 1"
>l < > > TUK.JLV— Continued-
Dom. Cottoni
Don). Iron . ■ -
Dom. Tc'^rilc
jSalcsjOpen High Low CI
a.; I KiJ uoj
Wrrk EBded Orl. «]lh.
Atlantic Sugar .
7-'n
!««
Abitibi
~T 1
Barcelona .
UellTeUpli..ne
Hra/ihan Tr.iclio
■^1
Burt. I-. N
1 1
■■■^•s
Can. Bread
l.r,
21:
.pfd.
!,
Ml
C. Car * K
.pfd.
10
89
Canada Cement .
■i
59
Can. Gen. Elec.
liUI
9t(
pfd.
26
!)tt
Canada Steapii>h
p....
pfd.
IM
95
81
75
Canncr.«
135
4S
City Dairy
10
SO
.pfd.
4
M
Canadian Paciflc R
c.i
1 in
Con r.as
Crown Rivene
Det.oil fmled
Dom Tel
Domv
Duluth .
I'Ord Molor
La Rose
!■
Loco
5
>.'
.Mackay Compani
•». .
SJS
694
pfd.
■jae,
.Maple Le:a ...
pfd.
'"'
110
Mon.irch.
NS, Car
pfd
N.p.-.,nK
Port Riio
pfd.
Sales Open HiRh Ixiw ! Close
TA
4i
(J.irh. , 1( I, H. A I
Smrll.r..
Spaniih RIvir.
pfd.
Sinn Chem.
pM.
SUelCoip
Sled C.mpany
Toronto Kv
Trelhew .%
Txcn Ci!-
Limh anil Tr
7SJ ' 74
107 1(15
TOKWiTO— Continued
M'nr lx>aii« Sales
Open
High
Low
92J
Close
Dom.Can.W.Loan.lSiS 31700
1931 37100
1937 1I1R700
Victory Loan 1922
1923
1927
193:<
1937
923
89J
92*
93
921
90
93t
" ■■ ,
■. 1
MIN'NIPEti-Wpek en4le4l Oct. 33nl.
1
Sales
Open
High! Low
Close
Victory Loan 1922 19000
•• 1923 300
98
98
98
98
98
98
98
98
" 1927 1500
■• 1937.. s^SIl
'■ 193:f.
•• 1934
War Loan 1937 .
Ct. West Life . .
Home Investments a:^
97
98
103
97
98
96i
93
9-2i
200
105
97
964
93
928
200
103
97
200
105
North Star Oil .. pfd., 50
375
37S
375
37S
.NEW ¥ORK— Week failrA Orl. «3nl.
Canadian Pacific
Canada Southern
Nova Scotia S. & Coal
Ciranby Consolidated .
! Sales Open High {Low
33800 1263 I27i I24i
500 4dj '401
I 5001 30 I 30
. 5% I92MI7000 .... 9^
Si% 1921 15000 1 99
5% 1926' 11000 1 92
5i% 1929 2520001 95}
5% 1931 37000, 1 9li
LONDOV, Kdk.— We<-k enilcd Oel. 81k.
Vov'l. A .Mnn, j Sales
Open
High
Low
Close
Canada .3j'\
«i4
11
62
GO
63
61
70
64t
6li
70)
•• .... 3% '
63J
61i
•■ ..3J% 1930 501
" ... 4% 1940.60.'
72
Ti
J: .. hJs
901
90j
90
90
91 «
S«i
9«i
3
90
91
90j
90
5!»i
61
59i
61
90
90
90
90
76
76
76
76
.Mnntitnl •
691
70*
68
68i
75
75
75
75
625
63
62
62
Nova Sc. !
73
73*
73
73
BI
%\
61
61
*
90
90
90
4'. \:iM
7S
76
7S
75
■■ 4i'VReg
76
761
76
76
KeKma 5'V. .
74
n
74
74
Snskalchc\s jn 4^\,
77
73
77
77
734
73
73
91
91
91
91
69
69
69
69
6.Si
68
68
68
Toronto 4
701
70
701
70
S3
83
63
83
*
fi7S
67
679
67
Winniptt .
9:1}
76
93
76
f4
9S
76
74
74
i7
74
C Nor P:o .
73
75
73
75
*'n'. t ,'. '■
49}
S2J
494
.«»
51)
.«
51
51
■ 4'\,deb. 1930
93
93
93
93
173
I80i
173
I80»
■ <-
«?
631
64
...4".
60.
59t
fni
OT.P. Br. 4'\, bd
^^
OT.P..r\,bds.
65
65
O.T. P. 4%1»SS
H4t
«2
62
<"• T. P 4% deb
461
46i
57)
Or. Trunk . 4% guar
.W
56
tir.Trunk.^T, 1st. pfd.., ....
40)
41
40i
41
r.r Tnink.Vl.Zndpfd
Or Trunk 4'„ cons. .
29
57
29
57
29
57
%
Ont A Quebec S-V, deb
74)
76
74
74
!• <.t.Ea..t 4f;.deb.'42
iDil.. Fin., Kir.
81
82
80]
81
Can. Car 6;,
107 J
los;
106i
II. 3i
106}
ini
in}
Can Cement 7% pfd
113
hi;)
113
lici
C. W . Lumber 5% debs.
eii
63i
I23I
41
K\V
Can. Gen. Elcc
124
41
124
41
l2St
41
Can.Bk. of Commerce
October 29, 1920
THE MONETARY TIMES
XEW CAPITAL FOR TORONTO GENERAL TRUSTS
The $500,000 of unissued capital of the Toronto General
Trusts Corporation is to be offered to the shareholders at
$175 per share. This is the remaining $500,000 of the
$1,000,000 addition to capital authorized at the meeting: on
May 7 last. Payment is to be made in five instalments of
835 each on December 10, March 1, May 1, July 1 and
September 1. The offer is open to subscribers on the books
of the corporation at the close of business on NQvember 20,
in the ratio of one share to every three shares of capital
held.
A circular issued on October 28th, to shareholders,
says: —
"As the corporation is not permitted to allot fractions
of shares, the shareholders may, if they so desire, purchase
a sufficient number of shares in the open market before the
20th day of November next to bring their respective hold-
ings up to three shares or a multiple thereof. The share-
holders may, however, if they prefer, purchase or sell
through their brokers rights to fractions after the 20th day
of Xovember, 1920, and a form of assignment for that pur-
pose is enclosed herewith, and on presentation of the neces-
sary number of fractional assignments to constitute a whole
share with subscription for such share an allotment of a
whole share will be made.
"Enclosed you will find a subscription form on which
please fill in the number of shares you desire to take, sign
(having your signature duly witnessed) and return together
■with a remittance for the first instalment of $35 per share
payable on the 10th day of December, 1920.
"Shareholders who do not subscribe for their proportion
of the new stock on or before the 10th day of December
next forfeit their rights thereto; and all shares not sub-
scribed for and the first instalment of capital and premium
paid thereon within such period shall be deemed to have
been declined and shall be dealt with by the directors in
uch manner and on such terms as they may prescribe.
"Shareholders may pay one or more instalments in ad-
vance and all pajmients will be entitled to interest repre-
senting dividend on the capital stock (not premium) at the
rate of 12 per cent, per annum from the date of such pay-
ment made on and after the 10th day of December, 1920.
Receipts will be issued for each payment, and stock certifi-
cates will be issued immediately after the next ensuing
dividend day following the payment of the stock in full."
THREE BANKS DECLARE BONUSES TO
SHAREHOLDERS
During the present month the three largest banks of
Canada have declared special bonuses to shareholders. The
dividend rates and the amount of the bonuses are as follows: —
Dividend
rate '<. Bonus %.
Bank of Montreal 12 2
Bank of Commerce 12 1
Royal Bank 12 2
The Bank of Montreal bonus was announced after the
regular directors' meeting on October 19, when the usual
quarterly dividend of 3 per cent, was declared. That of the
Bank of Commerce was also announced last week, and is
payable December 1 to shareholders of record November 15.
The Royal Bank bonus, announced on Tuesday, is payable
on December 15 to shareholders of record of November 30.
The market prices of these stocks have responded only
slightly, as the following comparison of highest prices for
;he weeks ending on the respective dates indicates: —
Oct. 6. Oct. 13. Oct. 20. Oct. 27.
Montreal 189 188 190 194
Commerce 175 175 17514 1''7
Royal .204 200 198% 200
PROVINCE OF QUEBEC
MUNICIPALITY OF THE ViLL.\GE OF AMOS. COUNTY
OF TEMISCA.MING
Public notice is hereby given that the municipality of
the \illage of Amos will receive until Thursday, the Eleventh
day of the month of November, 1920, at 5 o'clock p.m., at the
office of the undersigned, sealed tenders endorsed "Tenders
for debentures" amounting to 855,000 issued under the By-
law No. 34, to consolidate the floating debt, improve the fire
protection and construct certain sidewalks and sewers.
These bonds or debentures amounting to 855,000 in de-
nominations of $100 and $500 will be dated the first August,
1920, redeemable in Canada by series of annual instalments
at the offices of the Banque Nationale at Quebec, Montreal,
or at Amos, the interest at the rate of G^i per annum, to be
payable semi-annually at the said offices of the Banque Na-
tionale the first February and Augu.st.
The series of annual instalments shall be payable as
follows: —
1st August, 1921 . .
1922 ..
1923 ..
1924 . ,
1925 ..
1926 ..
1927 .,
1928 ..
1929 .
1930 .,
$1,200 1st August, 1931 ... $2,400
1,300 " " 1932 ... 2,600
1,400 " " 1933 ... 2,800
1,500 " " 1934 ... 3,000
1,600 " " 1935 ... 3,200
1,700 " " 1936 ... 3,400
1,800 " " 1937 . . . 4,000
1,900 " " 1938 ... 5,000
2,000 " " 1939 ... 5,500
2 200 " " 1940 ... 6,500
Tenders will be received for these debentures redeemable
in twenty years, by series as above given or for a shorter
term issue redeemable in ten or five years with sinking fund
at a rate based on the term of the loan.
The tenders must be accompanied by an accepted cheque
equal to one per cent, of the amount of the total issue. The
cheques of the tenderers whose tenders are not accepted,
shall be returned to them without delay; that of the tenderer
whose offer is accepted, shall be returned to him after the
execution of his contract. -
The lowest or any tender not necessarily accepted.
Every tender must specify whether the price offered
does or does not include the accrued interest on the deben-
tures at the time of delivery.
The tenders will be considered at a public sitting of the
council which shall be held on the eleventh November, 1920,
at 7 o'clock p.m. at the customary place, or at adjournment
of said sitting.
Given at Amos, this 19th October, 1920.
C.-A. LAFRANCE,
Secretary -Treasurer.
271
TOWN OF COCHRANE. ONTARIO
TENDERS FOR DEBENTURES
Sealed Tenders will be received by the undersigned up to
and including November 16th, 1920. for the purchase of
$32,000 G'r 20-year InsUilment Bonds of the Municipality of
theTown of Cochrane, issued for the purpose of purchasing
Local Telephone System. Interest and Principal at Coch-
rane, Ontario. Issue has received assent of Electors.
W. L. WARRELL, Treasurer,
Municipality of Cochrane.
274
THE MONETARY TIMES
Corporation Finance
Consumers (.as Has Small Surplus-Heavy Operating Expenses a Great Setback-
Detroit Railway \Vithh<.idin« Dixidends to Serve the Public-Mexican Power Bond-
holders Assured of a Better Future for the Company-Brompton Dividend Increased
Saskatchewan Co-operative Elevator Co., Ltd.-Three "The increased demand for extension of the companj-'s
1 II 1 • u» 1 ; .11- 1I110 „i svstcm and e-eneral facilities continues, and our bankers nave
hundred and eiRht elevators were operated during 1919 and sjsitm aiiu j,ciiciai iaumi. co , „j„^f:„„ ^c
21.81 1.5.^G bushels of grain were hanclkni. according to the advised that before orin connection with the adop on of ,
annual report of the Co-operation and MarkeU Commissioner any permanent financial plan the company s properties be
of the Provincial Department of Agriculture. segregated-the city lines from the suburban ones If this
The company made a profit of $193,599, declared a divi- Plan, which is under consideration shall, upon full invest^
dend of 8 per cent to its shareholders and transferred $36,446 Ration and consideration, be deemed wise, it ^^ould imolve
to the reserve a reorganization to some extent, and also the adoption of a ;
■ comprehensive programme with reference to the financial
nrompton Pulp and Paper Co.— Declaration of a quar- ^^^^^ ^^ ^^^ country, both for the near and distant future,
terly dividend of $1.75 per share, payable November 8th next .j,^^ company " continued Mr. Ferguson, "proposes to
to shareholders of record of October Slst, as against a pre- efficiently serve the people within the territory occupied by
vious ratc^of $1.50, indicates an increase in disbursements .^^ ^^^^^^^ depending on it for senice, having full regard to
from 6 to ( per cent. . , ,, the future increase in population. If a plan of reorganiza-
An official statement, given out after the meeting of the ^^^^ ^^^ ^^^ permanent financing be finally approved by the
board, said that the directors wished the shareholders to board of directors of the road, it will, of course, be submitted 1
know that the increased disbursements to be made next ^^ ^^^ stockholders for their consideration."
month were due altogether to the excellent earnings of the „ ^ . ■ ^ »,.-.n-/iD • u_
....JO.. . -J- ..u o . 1 Consumers Gas Co. — .\ surplus of $129, <08 is shown in
company s United States subsidiaries, the Groveton and , «."ii="i»«^'» uao ».u. .->. =u.h " v . . j o „
Claromont enterprises "'"^ annual report of the company for the year ended Sep-
tember 30th last, as compared with an adverse balance of
Mexican Light and Power Co., Ltd.— A letter to bond- $127,064 in 1919. Gross income for the year amounted to
holders of the company and security holders of the Mexican $6,426,896, compared with $5,506,215 in 1919. This good
Klcctric Light Co.. the Pachuca Light and Power Co. and the showing, however, was offset to a large extent by an increase
Mexico Tramways Co.. signed by T. Porter, assuring that -^ operating expenses from $4,540,298 to $5,186,622.
action for the protection of such holders will be taken. The ,„ j^jg ^^^^^^ ^^ shareholders, A. W. Austin, president, |
letter outlines the political troubles m Mexico during the points out that during the year there was an increase of 10.28
past year, and points out that the companies are recovering p„ ^.^nt, j,, the quantity of gas sold and an increase of 5,760
from the effect of these disturbances. i„ the total number of customers supplied. He observes that,
As to the position of the companies, some improvement notwithstanding strong electrical competition encountered
has been made in operating efficiency of the tramways since jy^j^p t,,e p^^t ten vears, the output of gas during that
the company was returned to its owners by the government. p^ioj ^as nearlv doubled. The number of customers has also
The hydraulic plants of the Light and Power Company are increased 90 per cent., although in the same period the popu-
overtaxed, and steps are being taken to install a new unit ]„tion served by the companv has increased onlv 44 per cent,
at the Necaxa power-house. Matters outstanding between jhere has also been a large increase in the number of pur-
thc companies an.l the government of Mexico are being dis- pog^s for which gas has been used.
cussed with a view to settlement. For instance, no indemnity i„ regard to the profit and loss account, Mr. Austin
was paid by the goNx-rnment for occupying the tramways ,,r„,vs attention to the fact that the sui-plus of $129,708 has
for over four years. The tramways is also seeking the right been placed to reserve. He also states that, compared %vith
to increase fares to meet the general rise of wages and mn- the magnitude of the figures involved, this surplus appears
erinls. f bartered accountants arc working on the accounts „ s,,,^,, „„^^ ,.,„,, especiallv so when bearing in mind the
to establish the exact financial position of each company. „^,.„se balances of the past several years during the war
It IS stated that during the past summer President E. K. p^iod, which must be gradually recovered. The vear's opera-
Pencock and M. Malcolm Hubbard visited Canada and Mexico. ,(„„, ^.^r^ affected bv marked increases in the prices of all
«eei.iK the principal iticn connected with the government of commodities necessary for the manufacture and distribution
the In.ter country. At that tin.e Hucrtn was provisional of p„s. During the past three months, it is pointed oat,
president, and ho. as well as General Obregon. who later prices have advanced at a greater rate than in any similar
bo, amo pro..i,lont, gave omphalic assurances of ever>- possible p„i„,i in the company's historv. Both coal and gas oil have
protection to foreign cnpiul. advanced to prices undreamed of, and the company is paying
Detroit I'nilrd Itailway. — After returning to Montreal f<"" those materials at the present time from two to three
from a visit to Now York, where the directors have been in and a half times the prices paid in 1915.
.•lessinn for sovcrni days, A. .1. Ferguson, vice-president of The general financial position of the company was not
the rond. niaile the following statement: — materially changed. Total assets at the end of the year were
"The general situation of the company is that, by reason $12.293,'Jfi4. as against $11,944,208 at the end of the previous
of withholding increased dividends, reprenenting a fair return year. Tho following figures show the principal changes: —
on the value of ifn property if hn* rmplnyoH in nerving tho 1920. 1919.
public, it hn> • ■ • • lary. 1902. B.ilanco brought down $ 1,240,274 $ 965,917
the compnn.\ ' of lK)nd!i, Interest 60.592 57,536
-locured by n for uniirr- Dividemls 536,070 535,999
lying bonds ami to unci iii|uiiiiiu ills from liinc to time witli Plant and buildings renewal 513.902 499,445
reference to the extension and development of its lines. It Transferre<i to reserve 129 708
"■'^ ■ ■■nsidorod at the time that the provision made by this Reser\-e fund 3 346 9S2 3 119 668
ilOO mortgage would provide for necc»»flr>- extensions Capital stock 5,3r;0.700 5.360,700
•orriPTi'o •ndffiTiitoly. hut the increase in poiMitntinn Real estate, plant, etc lo!775!954 10^444,795
Cash in hank and offices 141,497 141,530
.Accounts receivable 516,557 456,415
.Accounts payable 318,710 233,044
i\ii«u»lexl. the inorti(MKe Imving now been ilotetl *o\iial Special bank advance 1.346.538 1,268,288
yp»" Materials and supplies 655,950 693,494
October 29, 1920
THE MONETARY T 1 M E S
LOAN COMPANIES EXPERIENCE GOOD DEMAND
Activity in Mortgage Field Greatest in Years — Prosperity
in Saskatchewan Has Exceptions
(Staff Correspondence.)
Regina, Sask., October 23, 1920.
FARM prosperity is resulting in an active demand for
mortgage loans, according to H. W. Givins, manager of
the Huron and Erie Mortgage Corporation in this city, and
president of the Land Mortgage Companies' Association of
Saskatchewan. In an interview with Tlie Monetary Times Mr.
Givins said: —
"At this time of the year, late October, the farmer in
Saskatchewan reviews the work of the year, and he knows
fairly well whether his farming operations have been profit-
able or otherwise.
"The prosperity of western farmers has received much
generous advertising — in exchanges of views, at tariff in-
quiries and elsewhere — but less is heard of the men who find
the balance on the wrong side of the ledger, and compara-
tively little is heard of the earlier years of struggle of the
successful farmer, when only an untiring energy and a de-
termined tenacity, mixed with characteristic western
optimism, have enabled him to carry on and lay the founda-
tion for his present satisfactory financial position.
Some Farmers Suffer Loss
"In not a few districts the 1920 balance sheet of many
western farmers shows a heavy loss, and those of others a
quite inadequate return for the labor of the year. When one
considers the extensive and wide-spread areas throughout
which our grain-farming operations are carried on, the vary-
ing weather conditions and the different qualities of soils,
it is not to. be expected that all crops will be uniformly
bountiful, or that there shall be no crop failures at all.
"The areas where crops this year are poor are not large,
;nd it is encouraging to note that many districts where I'e-
turns in 1919 and 1918 were much below the average have
this year produced good crops, which will enable the farmers
•here to substantially reduce their liabilities.
"Looking at the province as a whole and consideiing our
• stimated total grain production for this year, there is, I
think, justification for a general feeling of satisfaction. In
Saskatchewan and in all western Canada financial and busi-
ness conditions are bound to show, as a result of increased
i-oduetion, very substantial improvement and increased
; ability.
Increase in Crop Production
"Recently published estimates indicate that, as compared
ith the year 1919, the province of Saskatchewan will show
a increase in production of the various grains of 47,000,000
ishels of wheat; 60,000,000 bushels of oats; 4,000,000
ishels of barley and rye, and over 4,000,000 bushels of
' IX. Alberta shows increases in production of wheat, oats,
■arley and rye, represented by very similar figures, and
.Manitoba, while showing little or no increase in wheat pro-
duction, shows an increase of approximately 6,.500,000 bushels
in the coarser grains. The products from the farms of
western Canada, therefore, should very materially strengthen
•lie financial and commercial position of Canada, as a whole,
nth at home and abroad.
"In Saskatchewan within the past year, sales of farm
lands — both improved and unimproved — have been quite
numerous, and prices have in many districts advanced con-
siderably. Many successful farmers from the western States
re purchasing farms in Saskatchewan, and where the land
- still in its virgin state they are proceeding to bring it
ruler cultivation without delay. As a result, there are large
leas of newly broken land in many districts, and this, added
:■ the additional acreage being brought under cultivation in
the ordinary development of improved farms, gives promise
of further progress and substantially increased production
next year.
Loan Conditions Healthy
"The business of mortgage companies in Saskatchewan
can be said to be in a very healthy condition, and the out-
look is generally regarded with satisfaction. From the pro-
ceeds of their 1920 crops borrowers will be substantially re-
ducing their mortgage loans, improving their buildings and
bringing more land under cultivation, and as a result the
securities held by mortgage companies will be strengthened
and increased in value.
"At the present time the demand for mortgage loans is
very active indeed. It might be said that not for many
years have mortgage companies been able to secure such a
large volume of exceptionally attractive investments. While,
owing to the stringent financial conditions of the past few
months and the resulting shortage of funds, some companies
have been obliged to curtail their loaning operations, the sub-
stantial repayments on existing investments, which will, no
doubt, be available in the very near futui-e, should provide
funds to take care of a very large volume of new business.
"Further development and more substantial improve-
ments, the bringing of new land under cultivation and the
increase in the value of our farm lands all tend to widen
the field for investment and create a greater demand for the
funds which moi-tgage companies provide for just such pur-
poses. These conditions also give some indication of steady
substantial progress in the upbuilding and development of
Saskatchewan."
CORPORATION SECURITIES MARKET
(Continued from page i2)
subsequent payment date, while all shares paid for on De-
cember 15 will rank for dividend of record January 10, and
so on over the other payment dates. Interest at the rate
of S per cent, per annum will be allowed on all instalments
paid on the due dates, such interest to run from date of
payment of each instalment and to be payable on the next
following dividend date. Warrants will be issued upon clos-
ing of transfer books on November 5 next. Certificates of
common capital stock will be issued on and after May 1.5,
1921.
New Stock Offerings
The Sterling Securities, Ltd., and the Standard Bond
Corporation, Ltd., Halifax, N.S., are offering $250,000 8 per
cent., preferred stock of the J. W. Gumming Manufacturing
Co., Ltd., at par with a bonus of 20 per cent, common. The
J. W. Gumming Co. is a manufacturer of coal mining tools,
equipment, drop forgings, crankshafts and connecting rods
for farm tractors and gasoline engines, etc.
Motor-Sundries Corporation, Ltd., recently incorporateil
to take over the business of Motor-Sundries, Ltd., Toronto,
is offering 1,500 shares of common stock of a par value of
$100, to take care of increasing business and to provide suf-
ficient capital to purchase or erect a manufacturing plant
to fulfill orders now offered. A large proportion of the new
company's stock is held by shareholders in thi' old <iimu:iny.
Traders Finance Corporation, Ltd.
Traders Finance Coiporaiion, Ltd., is the nauie of a
row company recently formed in Winnipeg to finance ilealcrs
in automobiles by purchasing their notes secured by their
stock in trade. No public ofi'ering of preferred shares has
been made yet, but advance subscriptions from the company's
associates will probably amount to about $100,000 for the
time iieing. "We have a lurge connection with the grain
trade," said W. W. Evans, nnnager, to 7'/ic Mointary Timi-n,
"and these gentlemen are usim:: their funds at the present
time to the last available dollar in the conduct of their own
busii.fss, and we do not intend to place the proposition be-
fore them systematically until the first of the new year,
when the peak load of the grain business has passed. By
that time wo anticipate t;iat, general conditions being normal,
at least $250,000 additional stock will be taken up in Win-
THE JIONETARY TIMES
Volume 65.
KKCKNT FIKES
HiiMincss St'cliims of ihi- Towns of M:iri;ar«'t. Man., and Ste.
Stanislas. (Jiif., Wi-ro Daniajrt'fl — \>'i*stfrn Canada I'lour
Mill at Krandon and the (Jobe Waterprouf C'lothinK
Co. at .Montreal AIho Suffer LoHtses
.Vrnprior, Ont. — October 24 — The lumber piles of S. K.
Ruild anil Co. were destroyed by fire. The loss is Sl'i.OOO,
with $8,000 insurance.
.\urora, Ont. — October 23 — Residence of Harry Hawkes.
in Whitochurch township, was destroyed by fire.
.\ylmer. Ont.— October 21— Fire did $20,000 damage
when a fire occurred in the outbuildinirs on the farm of
Thomas Ritchie, on the .\ylmer Road.
linrons. Alta. — October 20 — Shoe shop of Charles
Knowles was damaged by fire. The loss is $1,500, with no
insurance.
Kelleville, Ont. — October 22 — The power-house of the
Hydro-Klcctric Power Commission of Ontario, situated nl
Healy Falls, was damaged by fire. The origin of the fire was
caused by the explosion of lightning-arrester tanks.
Howmanville, Ont. — October 24 — William M. Horsey,
police magistrate, sustained a loss of $4,000 by the burning
of his farm buildings.
Brandon, .Man. — October 21 — Spontaneous combustion
caused a fire at the oatmeal plant of the Western Canada
flour mill, doing $15,000 damage.
CobaK, Ont.— October 2:1— The shaft-house at the La
Rose Mine was destroyed by fire.
Dana. ."snsk. — October 22 — Homo of Nicholas Stucenski
was destroyed hy fire. There were three fatalities.
Hampton, N.U. — The fires reported in last week's issue
at Hampton. Ont., should have been Hampton. N.B.
Justice, .Man.— October 18— Ogilvie Klevator, containing
20.000 bushels of grain, was destroyed by fire.
Margaret, Man.— Octolier 24 — Main portion of the village
was wiped out by fire. The fire, which is believed to be of
incendiary origin, destroyed eight buildings; an estimated
loss of $.'),'<,000.
Montreal. Que. — October 23— Damage estimated at $20,-
000 was done by fire of unknown cause in the premises of the
Globe Waterproof Clothing Co., 356 Notre Hanie Street West.
October 25— Fogarly Garage, Ltd., 47 Murray Street,
was <lamaged by fire. The cause of the fire is thought to
have been a backfire in an automobile.
Morse. Sask.— October 21 — Residence of .Mr. Rouchat
was destroyed by fire. Two fatalities.
Mount Forest, Ont. -October 21— A linrn on the farm
of Mr. Walls, on the second concession of Egremont, near
Mount Forest, was destroyed by fire.
Mulvihill. Man.— October !!•— Home of Mons I^rson was
damaged hy fire. The fire was caused by lightning. The loss
is partly covereil by insurance.
North Hntlry. Que.— October 22— Residence and two
bnms hol.>r,«...,. tr, Mfrf." SininrH were destroyed by fire.
TJie 1. „e.
"" V house occupied by
^^'ni. '•! 1, was damaged by fire.
The fill «ii.- !.iiiii»-.i itoiii (I uuuii ytovc.
Port Hope. Onl.— Octotwr 22 — Several builrfinirs on the
farm of Frank Ander.ion. Runkor Hill. "■ ' * ' ' fire.
The loss is a very heavy one and ha^ ince.
Quebrc. tjtir O, • V.-r "■• Si\ .,ged
when a fire i>out
three miles • ,(100.
St. John : the
rear of Sin . destroyed the aUbles and
three horse i
St. ■ •
one 1
and :i
from a .'.lUi;;-. v uuu.
SImcoe, Ont. o of
burning leaves, n ; "mon
Street, was destroyed.
October 25— Dwelling of Herbert Barber, Main Street,
was damaged by fire, which is believed to have started from
the kitchen stove. The loss is estimated at $3,000, with
.$1,800 insurance.
Thornhill, Ont.— October 22— Barn containing season's
crops on the farm of John Moriai-ity was destroyed by fire.
Toronto, Ont.— October 22— Walnut Dairy, 90 Annette
Street, was damaged by fire. The loss is estimated at $5,000.
Premises at 140 Quebec Avenue were damaged by fire. The
loss is $1,300. Three hundred dollars' damage was done to
the office of Joseph Oliver's lumber yard, foot of Spadina
Avenue. The cause of the fii'e is unknown. The building at
80 Nelson Street was damaged to the extent of $800.
October 23 — Fire of unknown cause did $4,000 damage
to the three-story brick dwelling at the corner of Forest Hill
and Spadina Road. The house was not occupied, and is owned
bv the Peterman estate.
Wolfe Island. Ont.— October 26 — Residence of Fred
Watts was destroyed by fire. One fatality.
ADIdllONAI. 1NF0RM.4TI0N CONCERNING FIRES
Rridgeburg. Ont.— October 13— The Railroad Y.M.C.A.
was damaged by fire. The cause of the fire is unknown. The
loss is $11,000, with insurance of $13,000 in the G.T.R. Co.
and the Atlas Insurance Co.
Conquerall Bank. N.S. — October 6 — Union Church was
daniatred to the extent of $5,000 and a bam owned by Mr.
Heckman suffered a loss of $500. There was no insurance
on either.
Manitoba. — The fire commissioner's statement for the
month of August shows that there were 170 fires with a less
of $163,378. The following were the class of structure de-
stroyed or damaged by fire during the month: Dwellings 37,
farm buildings 32. automobiles 13, hotels 3, stores 2, gar-
ages 2, laundries 2. Rubbish heaps caused 28 fires, elec-
tricity 12, lightning 26, matches 17, explosions 6, smoking
14, sparks 5, and spontaneous combustion 4.
Ontario. — The following is a summary of the Ontario
fire marshal's report for September: —
Corresponding
1920. months of 1919.
Number of fires 791 720
Aggregate loss $901,714 $931,918
Insurance loss 637,953 621,826
Loss not covered by insurance. . 263,761 310,093
Loss for nine months of 1920, comp&red with the corre-
sponding period of 1910: —
1920. 1919.
Number of fires 7,052 7,251
Aggregate loss $8,263,094 $8,284,419
Insumnce lo? s 5,947,167 5,439,784
Loss not covered by insurance. 2,315,927 2,844,635
The chief fires of the months were at Ottawa— Day's
rink and dwellings. $109,324; Smith's lumber mill at Cal-
lender. $r,1.970. and stores at Brockville, $29,318.
The chief cause of fire during the month was lightning,
which was responsible for 175 fires, aggregating $171,365.
Tlie chief classes from which the September fires came
were: —
No. Loss.
Farm barns i62 $299,222
Dwellings 399 178,723
Mercantile stores 75 110,175
Manufacturing plants 39 129,062
The fatalities and injuries of the month are: Killed, two
iiion and two women; injured, one man and four women.
' tnl. nine.
Winnipeg, Man.— September 17— Building of the Owl
Metal Co., Ltd.. was damaged by fire. The fire was caused
from a blow-out of electrical switch, which ignited gas. The
total loss is $18,000, with insurance of $9,200 in the Canada
Security Assurance Co. and the Newark Fire Insurance Co.
PfPl-lSHKD EVKRV FiaDAV
The Monetary Times
Printing Company
of Canada. Lin-.ited
Hie Canadian Engineer"
Trade Review and InsOrance Chronicle
of (TanaDa
F.Mablished 1867
Old as Confederation
JAS. J. SALMOND
Frrsideiit and General Manager
A. E. JENNINGS
Assistant General Manager
JOSEPH BLACK
Secretary
, W. A. McKAGl r
Editor
Savings Deposits Establish New High Record
September Bank Statement Shows an Increase of More Than Eight
Millions in That Account— Demand for Credit for Crop Moving Pur-
poses Swells Current Loans— Demand Deposits Also Show a Substantial
Increase — Call Loans in Canada Higher but Those Abroad are Reduced
September.
1919.
Deposits on demand S 650,743,015
Deposits after notice 1,227,437,715
Current loans in Canada 1,058,572,202
Current loans elsewhere 151.814,511
Loans to municipalities 57,033,309
Call loans in Canada 96,912,709
Call loans elsewhere 169,532,489
Circulation 229,532,356
August,
September,
Year's
Month's
1920.
1920.
inc. or dec.
inc. or dec
.? 640,361,707
§ 677,286,905
+ 4.1
+5.8
1,261,647,732
1,270,194,097
+35.0
+ .71
1,385,470,163
1,417,520,756
+ 33.9
+ 2.3
200.945.241
202,590.184
+ 33.7
+ 1.0
79.912.041
78,103,364
+37.0
-1.3
113.598,923
114,669,611
+ 18.7
+ .9
193,888,245
186,962,960
+ 10.0
-3.6
237.697,647
242,988,866
+ 5.7
+ 2.1
TJUSIXESS conditions as they stand now are to some ex-
■■-' tent reflected in the above figures, which represent the
principal changes in the September bank statement. The
substantial increase in current loans is largely the result
of the demand for credit for crop moving purposes. An in-
crease in savings deposits of about .7 per cent, brings that
account up to more than $7,000,000 above the previous record,
which was set in October, 1919. The trend in demand and
notice deposits during the past thirteen months is shown
in the following table: —
Deposits payable Deposits payable
on demand. after notice.
1919— September .. $6.50,743,015 $1,227,437,715
October 705,280,241 1,262,746,984
November 728,657,589 1,137,858,277
December 703,329,292 1,138,086,691
1920— January 621,408,024 1,163,297,037
Februarv . ." 620,069,555 1,187,027,307
March " 657,412,028 1,197,719,570
April 652,918,760 1,209,573,990
May 645,957,229 1,229,073,515
June 659,622,583 1,243,700,977
July 639,415,025 1,253,170,443
August 640,361,707 1,261,647,732
September 677,286,905 1,270,194,097
The following figures also illustrate the actions of these
•vo accounts in September for the past six years: —
Sept. On demand. After notice. Total.
1915 $359,315,280 $ 693,339,851 $1,052,655,131
1916 454,148,049 816,374,171 1,270,522,220
1917 451,749,532 966,393,541 1,417,143,073
1918 588,940,119 1,037,498,920 1,626,439.039
1919 650,743,015 1,227,437,715 1,878,180,730
1920 677,286,905 1,270,194,097 1,947,481,002
Call Loans Higher
Further restrintion of credit for stock market purposes
in Canada is not apparent, as there is an increase of more
than $1,000,000 in call loans for the month, although it will
be noted from the following figures that such loans are
smaller in volume than they were at the beginning of this
year: —
Current in Call in
Loans. Canada. Canada.
1919— September ....$1,058,572,202 $96,912,709
October 1,104,940,160 100,549,390
November 1,189,408,423 121,754,469
December 1,207,109,046 125,888,760
1920— January 1,226,962,963 132,015,334
February 1,257,015,902 127,251,919
March 1,322,267,030 128,233,310
April 1,347,238,230 125,644,859
May 1,349,079,981 119,114,493
June 1,365,151,083 115,272,587
July 1,377,276,853 115,360,894
August 1,385,470,153 113,598,923
September 1,417,520.756 114,669,611
Call Loans Abroad Reduced
Another sub.stantial reduction in call loans abroad indi-
cates that the banks are further restricting credits for stock
market purposes in New York, and using the money to ad-
vantage in Canada. It has been suggested that in times of
tight money, such as at the present, that the greater part of
these loans be called and the money used for better purposes
in this country. This, however, would not be possible, or at
least practicable, as the loans represent part of the cash
reserve of the banks, and if the money was brought back,
the greater part of the funds would have to be kept in the
vaults here, so that the public would not benefit, and in addi-
tion the banks would lose.
Call loans abroad since January, 1917, are .shown in the
following table: —
1917.
1918.
1919.
1920.
January
February
15'5,747,4"6 132,687,066 140,819,656 170,206,805
162,344,556 160,239,494 155,983,681 184,469,882
(Contimied on page 6)-
THE MONETARY TIMES
Volume 65.
Chartered Banks' Statement for September, 1920
LIAHII.IIIES
CAPITAL STOCK
NAME OP BANK
Bunk of Montreal
: Hank of Nova Scotia
I Hank of Toronto
I The Molnons Bank
i Banquc Nulionale
; Mcrchuntn Hiink of Canada
' lUnquc rrovincialc du Canada.
I t'nion Hunk of Cnn;ida
' Cjn:idiun Hank of Commerce . . .
I Hoyal Hjnk of Cunada
Amount
of rest or
reserve
Capital fund
Paid Up
Ha
I Rank of H
Standard Hank of Canada
Banqur d'Hochclaria
Imperial Hank of Canada
Home Bank of Canada...
{SterlmR Bank of Canada .
Weyhurn Security Bank.
, .. I advances
c.rculation,,^^ credits.
I pay-lists.
Balances Deposits by
due to the public.
Provincial ' payable
Govern. I on demand
ments in Canada
Deposits b>'
the public
payable
after notice
Loana
from other Depoiits
banka in made by
Canada. and balan
HCCurcd, ecu due to
includind otherhanki
hilln re.
Jxcnunted
i. 499. 1 14
MZOli
',09,17;
13,01*
tm.xa
I.704.TJ8
1,719
l,;in..T74
sna.T'i'i
^\\IM,.s l)i:r'(l.SlT,S KSTAIll.l.Nll M.W IIK.K KK( (»1U>
(CoiUinued from ftagr S)
1020.
,44.1 20.'>.20J,n.1
fiM 20f'..22'.'.451
325 21.1,3(?4,182
045 21'.i.214.4.'!l
• ' •'i:i,04,',.201<
'.T.HKS.24.%
■''>.!'';2,VMW>
1!>17,
Mnrrh
. lfil.(;ifi.7,T,-.
.Vpril
]y.\]-r.yr.;
Mny
June
July .
AuKUst
. l7fi.r.io.fi2.i
1 r.o.r. ;
Scplomhor
If^t? ISO.OOl
1 '.■>.'■
OrtoSrr
N'ovrnilicr
I>cccnibcr
*80
.161
It is intcrestin^r to not* the trend rif the nnnripal lonns
iiccouRts in September of recent yeaft
Current loans Current loans Call loans Call loans
Sept. in Canada. elsewhere. in Canada, elsewhere.
1315 .,.? 771,08(i.757 S 49,147,977 $ 71,578,886 $135,108,412
1!>1C> .. 752,54.1,756 69,949,215 88,145,851 173,877,586
1917 . . 855,:!06,953 87.265,325 72,421 187
1918 .. 942,802,018 109,850,161 74,137,860
1919 .. 1,0.58,.572,202 151,814,511 96,912,709
1920 .. l,417„i20,-56 202,.590,184 114,669,611
166,480,004
159,680,810
169,532,489
186,962,960
Current Loans and Savings Deposit.s
It is the contention of some that current loans in Canada
."hould he within .savinfrs deposits, because previous to No-
vember, 1919. such was the condition. In September a year
','fL" ■"•'■^''"c.'- ifoposits were in excess of current loans by
.Nl.Onon.non, while the last bank statement reveals a reversal
or that position. This is sipnificant in one sense, but it does
no neces.sanly mean that the banks are approaching for-
bidden pronnd. In a rapidly jrrowinp country it is only natural
that the business demands will increase more rapidly than
'nvinirs deposits. Of course, the change has come sooner
Xovember 5, 1920
THE MONETARY TIMES
Chartered Banks' Statement for September, 1920
ASSETS
NAME OF BANK
Current Gold and Sub-
sidiary Coin
Dominion Notes
Notes
of
other
banks
■^- o- Depsits
.xS = I made
-° * O with
-ay wicn I
u >>.£ andbal.
■5='Z. due
° eJ *- from
S'^S, ottKcr
,^ == banks
Due
from
banks
and
banking
corres-
pond'ts
in the
United
King.
Due
from
bks. and
banking
corres-
pond'ns
else-
t
Bank of Montreal [1:3.802.129
Bank of Nova Scotia 8.795.062
Bank of Toronto 987.140
The Molsons Bank i 595.689
Banque -Vat'onale 340.786
Merchants Bank of Canada ..' 4.036.228
Banque Provinciale du Canada I 130.133
Union Bank of Canada 1.032.177
Canadian Bank of Commerce i 8.671.890
Koyal Bank of Canada I 5.983.86J
Dominion Bank. 2 141,523
Bank of Hamilton 937.946
Standard Bank of Canada. . . 1.776.827
Banque d' Hochelaga [ 475.5961
Imperial Bank of Canada.... 1.727.293
Home Bank of Canada IS1.5S1
Sterling Bank of Canada i 132.3.5S
Weybum Security Bank 15,819
» t I
2.029.726!25,83I.S5S
3.296.459 12.09i. 521
9S7.I4U
595.689
1.464 342.251
4,869 4.W1,09S
130,133
30.607 1 .062.784
5,365.112 14.037.002
8.545.227 14. ,529.091
169 2.141 692
937.946
1.776.827
, 475,596
j 1.727.293
ISI.SSl
132.358
15.819
t
36.725.722
10.567.592
8,456.157
6.I%.U5I
3.813.001
7.013,607
389.521
14,609,965
23,609.429
23.859.654
10.419.851
3.792.091
6.833.350
2.972.675
10.994.008
2.3S6.399
999.625
112.271
. . . 61 ,764.041 19.273.632 81.037,676 I73.750.9S9
1,149
6,593
4.324
36,728,724 II
10,574,076
8,456.157
6,196.051
3.813.001
7,013.607
389.521
14.611.114
23,616.023 .
23.863.978 I
10.419.851
; 3.792.091 '
, 6.833.350
I 2.972,675
, 10.994.008 '
I 2.386.399
i'99.62S
112.271
•
,038.166'
489.1,52
254.834
235.000
lOO.OOO
450.000,
114.559
365.000
906.245
860.000
305.000
225.000
175.00(1
200.000
375.994
lOS.OflO!
65.C00
22.1961
$
19.200.000
12.50O.0OC
3.-500.000
2.000.000
4.200.000
6.500.000
3.500.000
15.5O0.0OC
23 500.000
4.500.000
1.5IO.0O0
2.600.000
3.0O0.0OO
7.002.533'
t I
3.ii23.239
3 192.958
B30.210'
455.907,
758.375'
1.272.354
540.325
1.027.641
3.391.882
•i(.893.586
1. 144.001
651.539
683.5,50,
1.419.596
1. 791. 308
356.629
227.497;
35.S08
25,625.049 .
9,086.708 .
5.070.486 .
5.392.098:.
2,600,994 .
11.795,629 .
2.461 .936
7.193.746 .
19.6S4.948 .
28.731.590 .
9.094.562 .
3.988.1281.
3.799..524 .
3.809.164
5.169.687 .
1.434..540 .
1,703.951,.
28.591
31,402
8,989
15,459
2.721.472
1 18.842
2.007
706,
787.039'
462.416
117.4^8
7,243
608.709;
•
3,789.4%
300.006
58.507
144.8C9
329,059
270.862:
221,3601
2,348,270,
439,428;
2,694 .5I0<
164 809
4,733
2l8,.'i98
61,282:
631.877'
136,263:
108.345
2I.SSI 173.772.522 6.29I.I46 I09.012.5?3i45,996,105:146S7l,334 . .
.6,330,466; 11,922,274 61,553,748
•
10.702,239
2.8:<6.350
1. 450.953
2.044,045
1,105,577
1 .758.248
246,256
2.248.644
8.792.793
;!3.4S4.660
1. 737.281
690.628
961.229
734,453
1.843.110
560.757
203.i>()4
152.941
ASSETS— Continued
Oomin'n
i.lsii
ment
"«£^ a
and
Pro-
tiM
vincial
— 2-2 Si i
Qovern-
u%t
ment
E = 0»:.
fecuri-
ties
Ss^i
,
t '
other
bonds,
deben-
tures
and
stocks
bonds
(not ex-
ceeding
3nday«:»
Canad:
(not ex
ceedini
30 days
Other
c
,
current
>-o
Loans to!
Other
loans
Og
Loans
cities, 1
current
and
to
towns.
oans and
discounts
«o
Pro-
muni-
iscounts
else-
vmci;l
cipalities
in
where
5 «<
Govern-
and
Canada
than
91 C
ments
school
kE
districts!
■^
Bank
Liabili-
Real
.Mort-
premises
ties of
Other
assets
gages
not
than
included
estate
sold
cost, less
letters
under
amounts
of
the fore-
pre-
(if any)
credit
written
off
as per
contra
heads
than it would ordinarily have done, steadily rising prices
having necessitated the use of an increasing amount of
credit to handle the stocks of goods.
Provided the banks can supply this increasing demand
for credit, without impairing their reserve, there is nothing
prohibiting them from doing so. Last September demand
liabilities, including demand and savings deposits, amounted
to $2,539,747,648, and against this was held 28.98 per cent.,
I in immediately available assets, while this September de-
] mand liabilities amount to .?2,789,677,352, against which is
held 29.51 per cent, in immediately available assets. It will
be seen, therefore, that the banks have more than main-
tained their liquid position in the face of heavily increased
demands for credit.
A further comparison shows that holdings of Dominion
government, provincial, municipal and other securities by the
banks have decreased more than 5207,288,29(1 during the
year. This would seem to indicate that these securities have
been exchanged for short-term paper. Assuming that the
integrity of the Canadian bankers is without question, and
that their bill files are in good order, the position of the
Canadian banks is much better than it was a year ago, and,
in addition, the needs of commerce and industry have been
supplied.
Gold and Dominion Notes
Other changes in the statement call for little comment.
Loans to municipalities were reduced by about 1..3 per cent.,
while advances to provinces were increased by about ?800,-
000. Dominion government demand deposits also increased
by about $3,000,000.
(Contimted on page 8)
THE MONETARY TIMES
Volume 65.
SAVINGS Old'OSITS KSTABLISII NKW lIKill JCKtOKD
(Continued from page 7)
Gold and Dominion notes, which had previously shown
steady reductions, advanced nearly $G,500,000. The changes
for the month are as follows: —
Gold and sub-coin in Canada + $ •264,!i8"'
Gold and suh-coin elsewhere + 817,862
Total
Dominion notes in Canud.i
Dominion notes elsewhere
• $1,082,847
-r 6,352,844
— 4,876
Total + $5,347,968
Capital and Reserve
Increases in subscribed and paid-up capital and in re-
serve were as follows: —
Capital Capital
Banks. subscribed, paid up. Reser\'e.
Merchants $ 38.500 $ 64.930
Royal 205.000 216,470 $108,235
Hamilton 38,600 69,490 34,745
Provinciale 7,570
Union 60
Home 106
Wevburn 45.899
ToUil-
$282,100
:.in.t.:V
SI 42.980
IlKmSil (OI.lMltlAS l'U()\ INCI Al. "N KTOUY" LOAN
A\nr-'linu- Mitlind to he Itilized to Raise $5,000,000 for
I'rcivincial I'urposes — State of Trade at the Coast
(Staff Correspondence.)
Vancouver, B.C.. November 3, 1920.
VANCOUVER has made considerable headway durinfr nine-
teen twenty. Its population has increased from 165.-
00(1 in September, nineteen nineteen, to 203,000 in Septem-
ber, nineteen twenty. Bank clearinRS in the .same months
are increased by nearly eiithfeen million dollars. Buildinp
fipures are up nearly one hundred i>er cent, over lust year, and
generally there is « much better feeling in the metropolis of
the I'ai-ific Coast. .lust at present thinK* are quiet in Van-
couver, but this is more or less jreneral all over Canada, and
compared with Seattle Vancouver is fairly brisk.
The mining imlustry in British Columbia is undoubtedly
lie for biK development as, in fact, ore all the wonderful
Miitural resources of the province. Just nt present the short-
airc iif skilleil miners which exists and the unsettled state
of lulmr, partly caused by the rivalries of the various labor
oriffinizations. i» havinR a deterrent effect for the time beinK
on mining enterprises; however, the Gronby. Britannia and
Alice Arm mines are operalinjr riirht alonfC-
■'■'.' Okanaean fruit crop is neither as larite or as valu-
last year, but at the same time it is by no means a
In the Kraser Valley a I.irrc nmniint nf nericultur;il
luuilui ts have been destroyed »' fall rains.
The outlook for the lumber K. thoutrh
the increase of frelirhf rates li.:. , factory for
the traile, and production is not as larire as rouWl be \«-ished.
Orders are pilinir 'ip pl^f'tfo'ly AprieuUtiml production in
the I'nitfd .v'; ■ ' year, will
exercise an Mptinii, as
the demand f' « rloniand
cannot be held back foi ".d a pood
movement may soon be ' the vital
nee»l for lumber, the shon«i: uiimiuki. im.i .Miildint; ma-
terials. •
Tourist business in the coast cities is year by year
assuming larger proportions in Vancouver, and is one of the
citv's largest industries. Last winter, from reliable informa-
tion a daily average of three thousand prairie farmers were
in Vancouver and from statistics gathered would spend
more money than the combined payroll of the largest ship-
building plant where hundreds of men are employed.
It is reported from Victoria that British Columbia is to
float a five-million dollar domestic loan, the first domestic
loan ever rrised in the province. The proceeds of the loan
will be used for good roads and buildings and extensions of
the University of British Columbia at Point Grey. The
selling campaign will start about the end of the year. It
will be carried on by British Columbia bond houses and men,
and will be similar in many ways to the Victory loan cam-
paigns, in denominations of $100 and up.
TARIFF COMMISSION GONE TO EAST
Charlottetown Yesterday and Sydney To-morrow— Increase
in Inland Revenue for October — Higher Mail
Charges Arranged
(Special to The Monetary Times.)
Ottawa, November 4, 1920.
NOW that the west has been fully heard from, and On-
tario has had some opportunity to express its views,
the tariff commission has gone to the maritime provinces to
hear evidence there. To-day it sits in Charlottetown, where
the eastern sessions commence. On Saturday, November 6,
there will be a meeting at Sydney, N.S.; Monday will be
devoted to Halifax, Tuesday to St. John, and Wednesday to
Moncton. There will be four meetings in Quebec, the first
at Quebec city on Thursday, November 11, the second at Sher-
brooke on Friday, the third at Three Rivers on Saturday,
and the Montreal meetings beginning on Monday, November
15. After that there will be a few days in Ottawa, when
the itinerary for Ontario will be arranged. It is expected
that the Ontario trip will consume two weeks, Toronto alone
accounting for three or four days, the time allotted being
based largely on the experience in Montreal.
Inland Revenue Increased
.Vn increase of ?S,066,7T5 in the inland revenue returns
for the month of October, as compared with the returns for
October, 1919, is shown in the monthly statement of the
Department of Inland Revenue. The total for the month
just closed was $12,811,242 as against $4,774,466 for October,
1919. Chief figures in the summai-y issued by the depart-
ment were: Kxcise, October, 1919, $3,608,264, against $3,-
230.731 for October, 1920; excise seizures, October, 1919, $19,-
97,><. against $14,174 last month; wai- tax, October. 1919, $1,-
100,027. against $9,57,''.,298 in the month just closed. The
revenue from methylate.l spirits in October. 1919, was $41,-
SS,".. ns against $20,374 last month. The increase in war tax
revenue over the corresponding month of last year was $8,-
I7."..27I. and the net increase for the month of October $8,-
06G,77>"i.
On .-iccount of higher rates for ocean and rail carriage
"f ni.iils. the International Postal Union Convention, which
i? now proceeding at :\Iadrid, will increase "mail transit
rates" to correspond. Senator Blondin. Postmaster-General,
who has just returned, explains that each country carries
mail going from one foreign country to another via its mail
services at its own cost, but an account is kept of what is
carried, and an adjustment is made at rates decided on by
the ...nvontion. The new rates will be as high as 50 cents
.T (ul.io font for letters and post cards, and less for other
cl.TPsi-s of mail. It was decided at the convention that the
only feasible sland.avd of monetary value in making reim-
biir oniont." for postal services between nations was the gold
stanlavd.
November 5, 1920
THE .MONETARY TIMES
Trade Review and Insurance Chronicle
of Canada
Addreiu: Corner Church and Court Streets, Toronto, Ontario. Canada.
Telephone: Main 7404, Branch Exchange connecting aU departmenta.
Cable Address : "Montimes. Toronto."
Winnipeg Office: 1206 McArthur Building. Telephone Main $409.
G. W. Goodall, Western Manager.
One Year
$3.00
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PRINCIPAL CONTENTS
Editorial : page
Where Has the Money Gone ? 9
Markets for Canadian Securities 9
A Time for Scrutinizing Costs 10
Canada Should Not Stand Alone 10
Special Articles:
Crop .Acreage is Reduced in 1920 14
Fire Insurance and the Fishing Industry 18
Too Much Money for Winnipeg Council 22
Investments in Public Ownership in Canada 26
Validity of Condition in Trust Deed 34
Judgment Against Fire Companies 34
Canadian Mining Institute Meeting 38
"Hedging" Grain Facilitates Marketing 49
Monthly Departments :
September Bank Statement 5
Trade of Canada in September 24
Montreal and Quebec Savings Institutions 24
Weekly Departments:
Insurance Licenses Issued 28
Nqws of Industrial Development 36
News of Municipal Finance 40
Government and Municipal Bond Market 42
Corporation Securities Market 46
The Stock Markets 48
Corporation Finance 50
Recent Fires 52
WHERE HAS THE .MONEY GONE?
<<1T^HERE will the money ' go?" asks a prominent
*' Canadian bond house, referring to the estimated
return of $1,250,000,000 from the grain crops of this coun-
try during the present year. Some of these and other funds
will no doubt be invested in bonds, but the record of bank
deposits during the past year suggests that there is a wide
loop-hole through which an immense sum has disappeared.
Where did this money go? is an equally pertinent question
at the present time, and one which is causing the financial
community some concern.
Savings deposits in the chartered banks at the end of
September were ?1,270,194,097, compared with $1,227,437,-
715 at the end of September, 1919. Deposits on demand
were $27,000,000 greater. While these figures seem healthy
enough they indicate an unsound position when viewed along
with the course of loans. Current loans in Canada increased
from $1,058,572,502 to $1,417,520,756 during the same period,
while call loans in Canada increased from $96,912,909 to
$114,669,611. Current loans outside of Canada grew from
$151,814,511 to $202,590,184, and call loans from $169,532,-
489 to $186,962,960. This is a total increase of $445,000,-
000 in loans, while the total increase in deposits in Canada
was only $70,000,000. That this growth is different from
usual is evident from the following comparison over the past
five years, the figures being as at September 30 in every
case: —
Current
Deposits in Canada loans in Canada
1915 $1,052,655,131 $ 771,086,757
\'.nr, 1,270,522,220 752,545,756
1917 1,417,143,073 855,306,953
1918 1,626,439,039 942,802,018
1919 1,878,180,730 1,058,572.202
1920 1,947,481,002 1,417,520,756
This comparison shows the following annual excesses
of Canadian deposits over current loans in Canada: 1915,
$281,568,354; 1916, $517,976,464; 1917, $561.836.0SS0; 1918,
$683,637,021; 1919, $819,608,.528; 1920. $.529,960,246.
The heavy commitments required to move the 1920 crop
are in part responsible for the high level of current loans
at the end of September, and are reflected in the increase
in demand deposits. The disappearance of several hundreds
of millions of dollars during the past year must, however,
be due to some other influences as well. Merchants are un-
questionably carrying very heavy stocks, in spite of their
strenuous efforts, both in the wholesale and retail branches,
to reduce them during the past few months. Such a situa-
tion is commonly found at the close of a period of activity
and rising prices, and the number of firms which pay the
supreme penalt yfor their over-optimism is already show-
ing an increase, as the comparison of failures regula.iy
shown in The Moiiclary Times indicates not only the mer-
chants, but also the manufacturers have accumulated large
stocks of goods which cannot now be unloaded. Another
loophole has been the speculative fever which has resulted
in the sinking of millions of dollars in existing and new
enterprises, such stocks being purchased near the end of a
period of rising prices. An immense sum has also gone out
of this country to repurchase sterling issues of Canadian
bonds, these investments, though made in the face of the
finance minister's request to the contrary, at least have
the merit of being sound and of reducing the amount of
interest which must in future be sent abroad annuallv.
■M.VRKETS FOR C.VN.VDIAN SECURITIES
THE ability of the United States to maintain her leading
position as a creditor nation will have to be determined
in the next few years. That position was attained not by
the achievements of that country, but rather by the default
of others. Britain, France and Germany could not loan
abroad when they had difficulty in meeting their own war-
time requirements. They are recoveiing, however, and will
probably recover still more in the next couple of years, and
the time may be near at hand when European capital will
seek investment in this and other fields abroad. The factor
of exchange, so long as sterling, francs and marks remain
at a discount, will retard this movement, just as it has
attracted American capital by reason of the depreciation of
T U E MONETARY TIMES
Volume 65.
the Canailiiin liollar in New York. This is one of the tem-
porary factors, however, and may aoon be removed or re-
duced.
The relative position attained by the United States,
Great Britain and other leading nations concerns Canadii
as a debtor country. We have borrowed from them all and
will continue to borrow wherever the money is available. A
prominent American tinancii-r, John J. Arnold, vice-presi-
dent of the Bankers' Unioa for Koreijrn Commerc and
tfeneral manaRer of the H. V. (Jreene Co., of Boston, .Mass.,
in an address in Montreal on October 27, expressed the
view that the United States could not lonp retain its pre-
sent outstandinjr position. He referred to the fact that pre-
vious to the war Britain, France and Germany had been
creditor nations, while the Uni'cd States had been a debtor
nation. The situation had chanKed as regards the '.var, but
because of the manner in which the United States has be-
come the creditor nation and the other countries the debtor
nations, he believed that the United States was cccupy'.np a
most unenviable position. Historians would not ask how
this had come about, but what the United SUitcs was Koinp
to do in the matter. He pointed out that Britain, France
and Germany had acquired their creditor-nation positions be-
cause of their contributions towards constructive effort to
the outside world. Britain had aided in building up the
United States, Germany in buildinp; up Latin South Anicrica
and the Orient, and France in buildinf; up Russia, but
the United States had turned from a debtor nation to a
cre<litor nation merely because cf the war and not by aidintr
others.
is at hand when those manufacturers who have been neglect-
ing systematic methods of cost finding will be well advised
to bestow some attention upon it. The expenses of installa-
tion should be regarded as a secondary matter when the
lienelits to be derived are considered.
IIMi; FOK SCIUTIMZING COSTS
UNTIL (|uite recently almost any kind of goods or services
could be sold as fast as they were produced. Price
was a secondary consideration and little attention was there-
fore paid to economy in pro<luction. During the past few
months the situation has changed, one industry after
another exp<'riencing a slackening in trade. Business, it
seems, is never normal. It is either good or bad, and fol-
lowing a prolonged period of unusual expansion, anything
other than distinct quietness cannot be expected for some
time to come.
The business which would retain a fftir measure of
activity must now scrutinize its costs with the utmost care.
Too brisk conditions do not make for edicienry. and num-
erous weaknc'si'S have crept into methods of production and
marketing. While a reduction in profits and wages cannot
altogether be prevented in the face of falling prices, yet
so far as the situation can In- met by improvements in busi-
ness methods such improvement* are eminently desirable.
Indications of where such economics can bo enforced may be
found through the cost accounting systems established in
so many firms iluring the past twenty years. Nevertheless
the number of Cnnadinn industrial concerns availing theni-
selven of the advantages of nn adequate cost accounting
system is surprisingly Mnall. All mnnufncturcrs have sc.me
method peculiar to their own business of getting at their
costs, but the only system that can bo thoroughly relied
upon to do what it is intended to do in that regard is to
have the cost finding plan linke<l up with the general ac-
counting. Then only it is possible to know exactly the
origin of profit* and of losses. This may involve a system
of perpeftial inventor>' which, if properly kept, will prove
of grrat value to any businrM.
Cost accounting serves to show whore a profit is made
by a firm and where n loss is sustained. It shows the cost
of the production of nn article and it is from the informa-
tion thus obtained that the sr'i f the article is
arriveil at. Material, labor an.l >pen»e» are the
three big items in cost arrouii' • most romnion
fault with many fimis is a lack of apprrt lation of material.
The practice of salvaging waste material is being put into
forre more and more as manufacturer* begin to realize its
vaIdo. Losses entaile<) arc usually duo to waste. The time
C.\N.M;A SHOULD NOT STAND ALONE
SHOULD a government which doubted the necessity and
which acknowledged its inability to control commodity
prices put into force regulations aimed at controlling the
price of securities? This is the question which the Dominion
government has answered in the affirmative. But in the
sphere of finance, as well as commerce, this function has
been found to be beyond the bounds of practicability. The
money market is wider than the market for any commodity,
and the machinery for trading is more complicated. In
enlisting the co-operation of the members of the Bond
Dealers' Association and of the stock exchanges, the finance
minister secured control of a large part of the trading
fraternity, but the independent operations of a minority has
rendered ineffective the whole program. At meetings held
last week in Toronto and Montreal, addressed by Sir Henry
Drayton, dealers unanimously pledged their support to his
embargo, but were equally in accord in their denunciation
of the outside brokers who are still importing securities,
and who have regularly been able to undersell the members
of the stock exchanges and of the Bond Dealers' Association.
The embargo is a weak effort to change a big situation.
The finance minister is anxious that it should be continued
until the wheat crop is well in motion, which would be, per-
haps, the end of the year. The importation of securities has
not been the cause of the pressure in current loans, how-
ever, nor will the embargo swell bank deposits to any great
degree. What the embargo does do, so far as it is effective, is
to maintain a price for securities in Canada which is not war-
ranted by world-wide investment conditions. Investors should
not be called upon to pay an artificially high price for securi-
ties, while the Canadian market is shut off from those holders
of our bonds and stocks in Europe who bought with all faith
in the fairness of the government of Canada. At the end
of a period of great prosperity, with the best harvest in our
history, is our distress so great that we need thus sacrifice
or- reptuation abroad?
2!);{.3ti 1,000 bushels of wheat and 543,0.58,000 bushels of
oaUs. compared with 193.2()0,400 and 394,387,000 bushels
respectively last year, are another sign of lower prices.
• » * * »
The proposed elimination of sinecures rather than the
German name of the firm is probably the reason for the
unpopuhinty at OtUwa of the report of GriflTenhagen and
Co.. Chicago, on the reorganization of the civil service.
If Canada is such a strong and resourceful country as
she 1.S reputed to be, and there is no doubt that her material
and human resources place her in an exceptionally favor-
able position, why is it necessary for the finance minister
to appeal to patriotism to relieve the financial situation?
The sentimental appeal of war-time cm scarcely have weight
in times of peace: investment is strictly a business transac-
tion, and should be treated as such by the government.
The danger of becoming public "futilities," which has
been so narrowly escaped by public service corporations on
his continent, recalls the story of the mule's christening. A
larty ohserying a mule owned by a colored boy asked: "What
do you call your mule?"
"I calls him 'Utility'."
■^How did you come to give him such a peculiar name?"
I se been .studyin' de animal and readin' de papers.
Dat mule gets mo blame an' abuse dan anything else in de
city, an goes ahead doin' his level best just de same."
November 5, 1920
THE MONETARY TIMES
I The Sterling Bank J
I OF CANADA |
iimiiiiiiiiimiiwtniiiiiiinmniiiiiiimiiiminijmiimDmiiniiiimumimuJiuuuiiiininiuiuuunuimmmninunitiMinua^^
To give an outstanding Service — an unusual Service
that will not only aid our clients in the expansion of
their business but will promote a healthy growth in
our own institution as well — is the driving force
behind our Personal Service policy.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of I'arliament- Establisheu I8'J5
Capital Subscribed ^^5, 000.000 $25,000,000
Paid up 1,100,000 5,500,000
Uncalled 3,900,000 19,500,000
Reseire Fund 1 ,000,000 5,000,000
Head Office - EDINBURGH
WILLIAM CARNEGIE, General Manager. GEORGE A. HUNTER, Sec.
LONDON OFFICE— 37 NICHOLAS LANE. LOMBARD ST., E.C.4
T. C. RIDDELL, DUGALD SMITH.
.Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertalien. and the Accep-
tances of Customers residing in the Colonies domiciled in London, are
retired on terms which will be furnished on application.
TRADE EXPANSION
The fundamental principle
of this Bank is — to foster the
growth and development of
Canada's enterprises and
resources.
Advances w^ill be made to
aid in the expansion of
legitimate undertakings.
Consult our Manager as to
your present and future plans
IMPERIAL BANK
OF CANADA
212 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land - The Commercial Bank of Scotland,
Limited, Edinburgh and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
A
Considerate
Service
rOR 55 years our aim has been the
development of a service of indi-
viduality— a service not only efficient but
interested.
We take pride in acquiring lasting busi-
ness relations, and this is reflected in the
courtesy and promptness with which our
customers' requirements are met.
UNION BANK
OF CANADA
THE
Bank of Nova Scotia
Established 1832
Capital
Reserve
Total Assets
$9,700,000
$18,000,000
$230,000,000
GENERAL OFFICE : lORONTO, ONT.
H. A. Richardson, General Manager
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic, Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
55. 01,D BROAD STREET. E.C.2
12
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
Ernest I'. Fkkdekicks, seiretary of the Belleville, Ont.,
Chamber of Commerce, has resigTJed.
Sir Thomas Tait has been appointed to succeed the
late E. G. Henderson as president of the Canadian Salt
Company, Wind-
sor, Ont. Sir
Thomas, who was
previously vice-
president of the
company, is known
chiefly for his con-
nection with rail-
way enterprises
throughout the
British Empire.
He received his
education at the
Montreal h i p h
school and later at
McGill University.
He entered the
railway service in
1880, and filled
various positions
with the Canadian
Pacific Railway
and the Grand
Trunk Railway.
Later he became
assistant general
nianafter of all
lines, followinj'
which he was numatrer of eastern lines and afterwards
mannjrer of transportation of nil lines. From 1903-10 he
was chairman of the Victorian Australia State Railways.
N. B. Allen, of the stock brokerage house of A. E.
Osier and Company, Toronto, has been elected a menber of
of the Toronto Stock Exchange.
C. \, Matiikws h:\< hi'cii .ippnintcd. assistant trea-^urer
of the province of
Ontario, succiedinjc
C. H. Sproulc who
is retiring under
the new provincial
.""uperannuation
scheme. As assist-
trensurer Mr. Mat-
hews will bo the
permanent head of
a department hand-
ling about $20,-
000.000 of revenue
per annum, and
also borrowing
largo sums for
hydro-«|pctric and
other provincial
purposes. .Mr.
Mathews has bwn
in the departnunt
for fifU-en ye.irii,
bnvin? served a.i
tiiry to t 1. 1-
iircr nearly nil
MIS time. In
the latter position
hi- IS .«ucceeded by G. J. L. .lones. who has been in the as-
fistant treasurer's ofiicc for four'
H. J. Kgrr, who has been he Co-it-
r.icrcial Union .\ssurance Comp:i' M-nty one
years, has been promoted to the position of afr&iblant man-
ager for Canada.
H. Gordon Kurd, formerly assistant actuary of the
Great-West Life Assurance Company, has been appointed
assistant actuary of the Fidelity Mutual Life of Philadelphia.
J. F. Mackay has resigned as secretary-treasurer of
Willys-Overland, Limited, Toronto, to become vice-presi-
dent and general manager of the John Morrow Screw and
Nut Company, of Ingersoll, Ont.
Ralph Gilchrist, of Detroit and Alpena, has been
elected to the directorate of the Dominion Sugar Company,
Chatham, Ont., to succeed the late H. B. Smith of Bay City.
Mr. Gilchrist is interested in many industrial concerns in
Canada and the United States.
R. H. M. Temple, general solicitor of the Canadian Na-
tional Railways at Winnipeg, Man., and jjeneral claims agent
of western lines, has had his jurisdiction extended to include
the Grand Trunk Pacific Railway.
C. G. Cowan, who for a few years past has been con-
nected with the foreign department of the American Bank
Note Company in New York, has returned to Ottawa where
he will be permanently located as general manager of the
company for Canada, working with J. A. Machado, who is
vice-president and executive oflScer of the business.
A. C. Turner, partner in the investment house of
Turner, Spragge anci Company, Toronto, which company
recently purchased
a seat on the Tor-
onto Stock Ex-
change, has been
elected to repre-
sent his house on
the floor of the ex-
change. Mr. Turner
left the Toronto
University in 1908,
took a position
with A. E. Ames
and Company, was
later with A. Jar-
vis and Company,
and following that
was manager of
the bond depart-
ment of Bongard,
Ryerson and Com-
pany. In 191.5 lie
went overseas and
w a s granted a
commission in Lon-
don, Eng.. in the
Royal Naval Vol-
unteer Reser\'es.
When he returned to Canada after the armistice he formed
a partnership under the name of Turner, Spragge and Com-
pany.
Gordon Brown, who h:\? been in the auditor's depart-
ment of the province of Ontario for some years, has been
appointed to succeed James Clancy, former provincial
auditor, who has been superannuated.
M. H. McLeod. who has been vice-president in charge
of the department of operation, maintenance and construc-
tion department of llie Canadian National Railways, under
recent changes -announood. has become vice-presidoiit of eon-
."^trucfion. while S. J. Ilungorford has been appointed vice-
president in charge of operation and maintenance. Mr.
.McLeod will have control of the locating and construction
of lines and Mr. Ilungerford will control the general opera-
tion and maintenance.
OBITUARY
ALnidN!^!: De.'^.iardins. founder of the system of co-
cprrativo nanks kn.nvii ;,. th.- "Caisses Populaires," and for
irany years a mcmlKr of the Hansard reporting staff of
the H..us<- (.f ( ommon.s dic-d a few days ago in Levis, Que.,
at the age r,f fis years ^
November 5, 1920
THE MONETARY TIMES
Leave to Your Family
Your Property, Not
Your Problems
Make a Will. We act as Executors.
Write or call for our booklets.
National Trust Company
Limited
Capital, $2,000,000 Reserve, $2,000,000
18-22 KI.NG STREET EAST - - TORONTO
iBr i-'<7W«^ ^ 1912
Common wealth IBavli of Buetialia
All classes of GENERAL AND SAVINGS BANK business are trans-
acted in all the principal cities and towns of Australia. Rabaul and
London.
Banking and exchange business of every description transacted within
the Commonwealth. United Kingdom. Canada. U S.A. and Abroad.
JAS. KELL.
Duputy Governor 1920
DENISON MILLER,
fnoorporatdd
Branches
CaLntxda
THE MOLSONS BANK
Capital and Reserve - S9.000.000
OVKK Kid Bkaschls
Canada needs Exports because Exports mean prosperity
The Miilsons Bank is prepared to advise and
assist exporters in their financial problems.
Efflcknl Scnia In Canada and ahroad
Head Office - MONTREAL. CANADA
H. C- I'H^TT. CiT.crn Vmnriccr.
THE
Exchange Rate
VI.— What Controls It?
WE have already dealt with the prin-
cipal Trade factors governing the
Exchange Rate, and we now come to the
influence of the Inflation of the Currency.
Before the great war, it was universally
accepted that a paper currency should have
behind it a very substantial gold (or silver)
reserve. The purpose of this reserve was
to admit of the redemption of paper cur-
rency on demand.
One method of war financing adopted
by the belligerents was to increase their
note issues without a corresponding in-
crease in the reserves of gold. Redemption
in full of the paper currency, therefore,
became impossible. To retain the gold
reserves then existing, these Governments
refused, until the return of settled con-
ditions, to redeem in gold any notes which
they issued.
Canada made less use of this method
than most of the belligerent countries, but
the percentage of notes issued against the
amount of the gold reserve held has risen
considerably.
In the United States, the proportion of
notes issued to reserve held did not rise to
the same extent, and the comparison is one
of the factors in the world valuation of our
respective currencies.
Next week in article No. VII. we will
deal with a second war measure which has
had an important effect on the Exchanpt'
Rate, namely, the Restriction on the Ex-
port of Gold.
THE CANADIAN BANK
OF COMMERCE
Capital Paid Up - $15,000,000.
Reserve Fund - $15,000,000.
7/iM serici, when tomulcleJ. will he pub-
liahtj in pamphlet form. If Jjou Jenre a
copv. BTilc (o our Head Oilier. Torunlo.
THE
MONETARY TIMES
(KOI' ACREAGE IS KEDLCEl) IN 1920
Yield in Suhslanlially Increas.d. Howtvtr— Ki-cord Harvest
of Oats— ({ualily of Cereals Much Better— Condition
of Koot and Fodder Crops Improved
AUKl IMT1\ K statement of the areas sown to the prin-
cipal Held crops in Canada for the year 1920, as com-
pared with 1919, topether with a second or provisional esti-
mate of total yields, has been prepared by the Dominion
Bureau of Statistics. The statement shows that the acrcajre
was reduced, but notwithstanding the yield was t'ft'atly in-
creased. The quality of cereals and roots was also substan-
tially improved.
The areas are estimated on the basis of returns collected
last June from individual farmers throughout Canada under
arrangements made between the Dominion and provincial
governments for the joint collection of the annual agricul-
tural statistics of Canada. These have been in force since
1917 for four provinces and since 1918 for all the provinces.
The provisional estimate of total yields is based upon the
areas so established and upon returns of the average yields
per acre as reported by crop correspondents at the end of
September.
Areas of Field Crops
The total areas estimated to be sown to the principal
field crops for 1920 arc in acres as follows, the comparative
figures for 1919 being given within brackets: Wheat, 18,232,-
:t7-l (19.12.5,96S); oats, 1. '".,8.19,928 ( 14,9r,2,114) ; barley, 2,551,-
919 (2,645,.509); rye, 649,654 (753,081); peas, 186,348 (230,-
351); beans, 72,163 (83.577); buckwheat, 378,476 (444,732);
llax, 1,428,164 (1,093,115); mixed grains, 811,634 (901,612);
corn for husking, 290,316 (264,607); potatoes, 784,544 (818,-
767)- turnips, etc., 290.286 (317,296); hay and clover, 10,-
379.292 (10.595.383); alfalfa, 238,556 (226.869); fodder com,
588,977 (511,769). For oats the area returned for 1920 is
the highest on record.
Yield iif Principal Cereals
Acconhng to ihc reports of crop correspondents at the
end of September, the average yields in bushels per acre of
the principal cereals, as compared with the averages for 1919
in brackets, are as follows: Wheat. 16 ( 10) ; oats. 34 U (26' , ) ;
barley. 25V, (21'4); rye, IS^i (13'-); peas, 19!Vi (14\);
beans, 20 (16'-); buckwheat, 26'i (23'2); flax. 7'= (5);
mixed grains. 38% (31); corn for husking. 47>4 (64). The
provisional estimate of the total yields of these crops, in
bushels, is as follows: Wheat, 293.361,000 (193.260,400);
oats. .'•.43.0.''.8.000 (394,387,000); barley, 65..559.000 (.i6.389.-
400)- rye, 12.190,000 < 10.iJ07.400); peas, 3.702.800 (3,406,-
300); beans, 1,436.800 (1,388.600); buckwheat. 9.966.500 (10.-
5.50 800)- flax, 10,756.000 (5,472,800); mixed gniins, 31,427.-
000 (27,851,700); com for husking, 13.696,000 (16,940,500).
The yield of oats for 1920 is the highest on record.
Prairie Yield
The following is the second or provisional estimate, in
bushels, of the grain yields in the three pmirio provinces,
the corresponding totals for 1920 being given within brackets:
Wheat. 263.915.000 (165.544,300); )nts. .323.270,000 (2;U..580.-
000); barley, 42,78!i.OOO (36.682.400); rye. 9.040,000 (7,262,-
400)' and flaxsec<l, 10,307.000 (.5.2.32, 300). By provinces, the
estimated vields are: Manitoba- Wheat, 37,879,000 (40.975.-
300)- oats. .56.219.000 ( 57.r.08.000) ; barley. 18,040.000 (17,-
UO.VoO); rve. 2,415.000 ( 4.089. tnf> ' : fliix^-l. l.ir.5.000 (520.-
300). ."askatchewnn— Wheat. i.rtOOr.onts.
148.098.000 (112.157.000); bai ' 1,000); rye.
2802.000 (2.000.000); flaxseed. . . .■ '^t .Mherta
—Wheat 87,696.000 (34,675.000); onU, 118.963,000 (65,725,-
000): barley. 13.460.000 (10.562.000); rje. .3.823.000 (1.173.-
000): flaxseed. 8.56.000 (222,000).
The quality of the cereal crops at harkest time, as com-
pared with a standnnl of 100. which represents the average
weight per measured bushel for the teti yt»n, 1910-19 i»
reported as follows, the corresponding percentages for 1919
being given within brackets: Fall wheat, 102 (96); spring
wheat, 96 (91); all wheat, 98 (92); oats, 101 (90); barley,
99 (89)- rye 98 (92); peas, 100 (91); beans, 99 (95); buck-
wheat, 97 (96); mixed grains, 102 (94); flaxseed, 97 (93);
corn for husking, 101 (94).
The condition of root and fodder crops at the end of
September, expressed in percentage of the decennial average,
was as follows: Potatoes, 101 (95); turnips, etc., 98 (91);
sugar beets, 100 (85); fodder com, 102 (95) ; alfalfa, 99 (91).
The figures within brackets are those of September 30th,
1919.
MERITS OF PUBLIC UTILITIES
A small booklet issued by Nesbitt, Thomson and Co.,
Montreal, entitled, "The Indispensable Serv'ants of Our Com-
munity Life," presents the case of public utilities securities
for the consideration of Canadian investors. While admitting
the serious position to which these companies had fallen a
year ago by reason of limited earnings and mounting costs,
the booklet claims several advantages for the companies
to-day as follows: —
"1. Operating costs following the general price decline
have begun to recede.
"2. . Rates for service rendered have in most cases been
increased by popular vote, or by the decision of public utility
commissions.
•'3. During the past few months the net earnings of
most companies have shown an increase.
"4. A great many Canadian companies generate their
power from water and are not seriously affected by coal
costs." t 1
TWO INDUSTRIES ARE DULL
In its November letter the Royal Bank of Canada sum-
marizes business conditions as follows: —
"A period of readjustment such as that wliich most in-
dustries are now facing is always one of peculiar difficulty..'
A fortunate characteristic of the Canadian market is its
tendency to move more deliberately than that of the
United States, thereby giving Canadian industries more time
and opportunity to prepare themselves for altered condi-
tions. Basically, Canada's commercial position is a sound
one and general business is far from being bad. Whole-
sale and retail trade conditions are less favorable than they
were at this date last year, but the money actually realized
or expected from large crops is having a beneficial effect A
marked disposition has been noted on the part of purchasers
in both the wholesale and retail trades to hold back in
expectation of lower prices. Future orders are affected more
than purchases for immediate delivery. The latter are good,
especially in the west. This is a logical development of the
general uncertainty as to next year's price level. Taking
Canada as a whole, the industries in which special dullness
is reported are clothing and boots and shoes. Hardware
is the only trade in which increased prices are reported.
"The labor situation throughout the Dominion appears,
for the most part, to bo very much improved. Reports show
that l.nbor is more etVicient and that the men are more anxi-
ous to hold their positions than they have been at any time
since armistice. Some unemployment is anticipated on the
Pacific Coast when the laborers return from the prairie
provinces after the harvesting.
"It is reported from all over Canada that the building
operations that have been undertaken are absolutely inade-
quate. The housing situation is poor; there is the greatest
sc-ircity and rents are high. Shipping on the lake and
river boats has been quiet during the summer, but consid-
erable improvement has taken place recently on account
of the movement of grain .snd consequent demand for cargo
space. Several eastern Canadian shipbuilding plants, called
into existence by the needs of the war, are now idle."
November 5, 1920
THE MONETARY TIMES
16
THE
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
head office. weyburn. saskatchewan
Branches in Saskatchewan at
Weyburn, Yellow Grass, McTaggart, Halbrite, Midale,
Griffin, Colgate, Paugman, Radville, Assiniboia, Benson,
Verwood, Readlyn. Tribune. Kxpanse. Mossbank, Vantage!
Goodwater, Darmody, Stoughton, Osage, Creelman ami
Lewvan.
A GENERAL BANKING BUSINESS TRANSACTED
H. O, POWELL, General .Manaeer
fHomeBankofCanadai
INDUSTRIAL PROMOTION
Loans advanced at current rales upon any
of the forms of security rcconized as ade-
quate in banking practice. Prospects for
the extension or development of industry
invited fcr consideration.
Branches and Connections Throughout Canadi
Head Office and Eleven Branches in Toronto s
LLOYDS BANK LIMITED,
HEAD OFFICE:
71, LOMBARD ST., LONDON, E.G. 3.
ij5==i;i.i
CAPITAL SUBSCRIBED
- S353,396,900
CAPITAL PAID UP
70,679,380
RESERVE FUND
49,886,410
DEPOSITS, &c. ...
- 1,621,541,195
ADVANCES, &c. - . .
821,977,505
THIS BANK HAS ABOUT 1,500 OFFICES IN ENGLAND & WALES.
Colonial and Foreign Department: 17, CORNHILL, LONDON, E.G. 3. London Agency of the IMPERIAL BANK OF CANADA.
The Agency of Foreign and Colonial Banks is undertaken.
Affiliated PanVs ; THE NATIONAL BANK OF SCOTLAND LTD. THE LONDON & RIVER PLATE BANK LTD.
Auxiliary: LLOYDS AND NATIONAL PROVINCIAL FOREIGN RANK LIMITED.
TH€ M€RCHANTS BANK
Head Ofrice : Montreal. OF CANADA
Capital Paid-up, $8,400,000 Re>er^ e Fund and Undivided Profit:
Total Deposits (30lh Sept., 1920) - Over $167,000,000
Total Assets (30th Sept., I9Z0> - Over $205,000,000
Established 1864.
$8,660,774
Board of Director* ;
Sir K Orr Our- Lewis, Bakt.
Hon. C. C. Bailantyne
F. Howard Wilson
SIR H. MONTAGU AU,AN
Farouhar 'Robertson
Geo. L. Cains
Alfred B. ICvans
Vice-President
Thomas Ahfarn
Lt.-Col. J. R. MooDiF.
Hon. Lorne C. Webster
A. J DAWES
E. W. K^
Gordon
General Manager - D. C. Macarow
Supt. of Branches and Chief Inspector: T. E. Merkitt
General Supervisor - - - W. A. Meldrum
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses w^ho bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice.
399 Branches in Canada, extending from the Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookall, Agems
London, England, Cilice, 53 Cornhill : J. B. Donnelly, D.S.O., Manager.
Banker* in Great Britain : The London Joint City & Midland Bank, LiuMted, Tbe Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
HANK l{|£AN(ll NUTKS
MONTHLV BANK CLEARINGS
The following IS :i li.st of branches ol (.uiia(ii;in r^;^nks
which have been opened recently: —
Paris, France Banque Nationale
Kinf;ston, Jamaica Canadian Bank of Commerce
Toronto (Cherry & Villiers
Streets) Bunk of Montreal
Dauphin, Man Dominion Bunk of Canada
Aux Cayes, Haiti Royal Bunk of Canada
Permission has been given the Imperial Bank to build
a $10,000 branch bank on the south-west comer of Queen
St. and Carlaw Ave., Toronto.
L. C .\rmstrong has been appointed manager of the
I'ortatte Ave. and Carlton St. branch, Winnipeg, of the Bank
of Hamilton.
A. A. Rollit, former manager of the Home Bank at
Surnio, ha.s sent in his resignation to assume duties with a
financial corporation in Chicago.
EXCHANGE (ROTATIONS
Glazcbrook and Cron>ii, exchange and bond brokers,
Toronto, report local exchange rates as follows: —
Sellers.
10% pm
Par.
Counter.
% to 14
Buyers.
N.V. funds 10 5-l() pm
Mont, funds Par.
Sterling —
Demand 13.7825 $3.7925
Cable transfers . . . 3.7925 3.8025
Rate in New York for sterling demand, $3.43 to $3.43'^.
Bank of England rate, 7 per cent.
New York quotations of exchange on European coun-
tries, as supplied by the National City Co., Ltd., Toronto, as
at November 4, 1920, follow: London, cable, 343'^; checiue,
3421s; Paris, cable, (i.Ki; cheque, (i.lS; Italy, cable, 3.(51;
cheque, 3.riO; Belgium, che(|uc, 3.5(i; Swiss, cheque, 15.G0;
Spain, cheque, 13.70; Holland, cheque, 33.30. ,
MOLSONS BANKS I'ROFITS SLIGHTLY LOWER
Although earning.s for the year endid September 30th,
1920. were larger than for the previous year, the profits of
the .Molsons Bank, in the onnual statement just made public,
nrc nhown to bo slightly leas. The showing as to profits,
conaidiTcil before the usual deductions for government faxes,
pension fund and other allowances, is equivolent to 20..'i per
cent, on the outstanding capital stork of the company, against
■pproximntely the same figure last year, 17.H per cent, in
1918, and 15.4 per cent, in 1917. After all deductions wore
mnde there remnineil n balance at the credit of profit and
loss account of $.118,092. against $275,435 in 1919, the show-
ing in this respect being influenced by the fact that no addi-
tion was ninile to the rcserNo account of the bank this year,
compared with $200,000 a year ago .ind $100,000 in the IHIS
periml. The reticr^r of the institution stands ot $5,000,000,
with the outstanding capital stock oblientinnun million lower.
Hie bnlanco sheet portion of
the position as at September 30tt
outstanding changes. Total asset
$1..I00.000 at $9:i.2 10.9.1 J. the (uV
by a sharp decline in the .imoun;
ripal securities held, which were '
over $11,000,000. This chongctl p.'
partially accounte<l for (n nn in' -
in current loans. CnV,
under review were i
$7,618,187 a year ago i
last amounted to $66,744.^US coiv.,
year, on increase of $3,224,913. th.'
class contributing all of the -•■"■
the same as a year ago.
lit. disclosing
a number of
line of jMinie
: accompanied
nt and niuni-
:'ggrcgote by
' r, is at least
.•» jtN.ono.ooo
■<>:. iast
savings
- about
The following are the Bank Clearings for the month of
October, compared with the same month last year: —
Oct., 1920. Oct., 1919. Changes.
Montreal $619,293,513$ 630,794,792 -? 11,501,279
Toronto 474,916,435 403,638,337 + 71,278,098
Winnipeg 414,840,605 300,069,261 + 114,771,344
Vancouver 72,563,504 66,791,366 -f 5,772,138
Ottawa 45,231,603 40,818,526 + 4,413,077
Calgary 47,454,614 43,889,651 + 3,564,963
Hamilton 34,241,010 30.094,098 + 4,146,912
Quebec 30,351,356 26,803,429 + 3,547,927
Edmonton 24,057,805 24,454,704 — 396,899
Halifax 19,808,840 22,534,817 - 2,725,977
London 16,201,449 14,607,557 + 1,593,892
Kegina 23,904,262 26,801,665 - 2,897,403
St. John 13,520,854 13,908,805 — 387,951
Saskatoon 11,608,900 11,294,553 + 314,347
Jloose Jaw 10,428,515 9,451,541 -j- 976,974
Brantford 6,420,122 1,144,190 + 5,275,932
Brandon 4,225,687 4,525,113 — 299,426
Fort William . . . 4.437,543 4,800,392 ■- 362,849
I.tthbridge 5,410.618 3,781,253 -f 1,629,365
Medicine Hat 3,337,120 2,844,583 + 492,537
New Westminster 3,049,225 2,992,833 + 56.392
Peterboro 4,736.793 4,098,155 + 638,638
Sherbrooke 5,476,598 4,246,050 -|- 1,230,548
Kitchener 4,644.363 4,793,387 — 149,024
Windsor 16,478,472 11,371,667 + 5,106,805
Prince Albert . . . 2,025,551 2,102,238 — 76,687
Totals ...§1,918.665,397 $1,712,652,963 +$206,012,394
Moncton 3,395,827
WEEKLY BANK CLEARINGS
The following
ended November 4,
last year: —
are the Bank Clearings for the week
compared with the corresponding week
Montreal
Toronto
Winnipeg
Vancouver
Ottawa
Calgary
Hamilton
Quebec
Kdmonton
Halifax
Ijondon
Kegina
St. John
\ ictoria
.Saskatoon
Moose Jaw
Brantford
Brandon
I'oit William ....
I..<'thbridpe
Medicine Hat . .
New Wci-t minster
Peterboro
Sherbrooke
Kitchener
Wind.sor
Prince Albert . . .
Totals .
Monct'Mi
Week ended
Nov. 4, "20.
$152,359,594
122.520,645
99,525,026
18.060,.389
12.312,183
12,217,248
8,713,534
6,607,490
8,1.58,034
5,333,118
4.340.453
6.474.001
3.276.079
2.745,262
3..535.570
2.763,238
1.608,533
1.265,549
1.282.605
1. 4.16.872
S6:].664
808.322
1,106,633
1.277..1l:j
1 .225.3,50
".203,416
536.590
Week ended
Nov. 6, '19.
Changes.
$131,143,978
4-
$21,215,616
95,603,530
+
26,917,115
75.198,532
+
24,326,494
15.438,256
+
2,622.133
14,161,229
—
1,849,046
11,239,607
+
977,641
8,197,183
+
516,351
6,182,882 -f 1,975,152
3,961,040
+
379,413
7,234,690
-
760,689
2.721,226
+
24,036
2,733,975
+
801,595
2,480,942
+
" 282,296
1.348,218
+
260,315
1.325,927
—
60,378
1,372,712
-
90,107
722,115
+
141.549
748,351
-(-
5SI.971
1.142,831
_
36,198
1,093,961
+
183,552
1.222.157
+
3,193
2,536,165
+
667,251
15.366.772 5387,809,507 + $78,567,265
8'''4.831
November
THE MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(ESTABLISHRD ISIT)
PAID UP CAPITAL - - - ^-- $ 23,828,500.00
RESERVE FUND - . - - C^teA 16,375.000.00
RESERVE LIABILITY OF PROPRIETORS ,.^^<Ji5>(E<^ t 23 828 500.00
l|«^i.^_^. 5 64,032,000.00
AGGREG.ATE ASSETS 31st MARCH. 1920 —'*9js>^ $377,721,211.00
Sir JOHN RfSSELL FRENCH. K.B.E., General Manager
351 BRANCHES and .\GENC1ES in the Australian States. New Zealand Fiji. Papua (New Guinea), and London. The Bank transacts every description
of Australian Banking Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET. E.C, 2.
AoKSTs: BAVK OF MONTREAL. ROVAL BANK OF CANADA
C. S. GUNN & COMPANY
REAL ESTATE, INSURANCE, RENTAL AGENTS
805 Union Trust Building
WINNIPEG, MAN.
Members of Winnipeg Real Estate Exchange, Winnipeg Stock Exchange
George Edwards, l-.C.A. .■\rthur H. Edwakus, F.C.A.
H. Percival Edwards W. Pomeroy Morgan A. G. Edwards
Chas. E. White T. J. Macnamara
O. N. Edwards J. C McN'ab
A L. Stevens W. H. Thompson
Thos. p. Geggie
C. Percy Roberts
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORONTO ..
CALGARY . .
VANCOUVER
WINNIPEG ..
MONTREAL
CORRESPONDENTS
HALIFAX, N.S
LONDON, ENG.
CANADIAN MORTGAGE BUILDING
HERALD BUILDING
LONDO.N BUILDING
ELECTRIC RAILWAY CHAMBERS
McGILL BUILDING
ST. JOHN, N.B.
COBALT, ONT
NEW YORK, U.S. A
ESTABUSHED 1870
Alloway & Champion
Bankers and Brokers
Members of Winnipeg Stock Exchange
362 Main Street
Winnipeg
Slocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchanges
Are You a Trustee?
IF so, you may be interested to learn that
this Corporation also acts as agent for per-
sonal Trustees, taking charge of the
administration of estates for them and
performs such duties as keeping estate
funds fully employed in high-class invest-
ments, collection of revenue, cutting cou-
pons, management of real estate, rendering
statements and remitting balances to bene-
ficiaries at regular intervals, keeping securi-
ties in Safety Deposit Vaults, etc. Many
Trustees find this the most satisfactory way
for them to administer an estate — by turn-
ing it over to us as their agent and at the
same lime retaining the responsibility im-
posed on them under the Will.
Write or call for our rates on this class
of business.
THE
TorotstoGeaermTrusts
CORPORATIOiS
Head Office
Branches: Ottawa
TORONTO
Winnipeg Saskatoon Vancouver
THE MONETARY TIMES
Volume 65.
I IKK INSURANCE AND THE FISHING INDISTRV
KxplanaUon of Policies and Their Clauses as Anfecting This
Class of I'roperty— The Special Hazards and
the Best Kind of I'roteclion
By a. Z. De Long,
Terminal Agcncieii, Ltd., Vancouver
IS writing this paper on fire insurance as pertaining to
the tishinp industry, it is not my inUntion to >,'ive you
a technical treatise on this subject, nor to delve toe deeply
into the policy contract, nor the history of the business,
because in order to do so I would have to have much more
time than is at my disposal, but rather to touch on a few
general subjects that I believe are oft^n overlooked by the
public in general, and by those interested in the fishing in-
dustry in particular.
The first item I am going to call your attention to is
the contract contained in the policy itself. A great many
business men— and especially the smaller insurers— do not
realize that a fire insurance policy is a legal contract enter-
ed into by an insurance company and the owner whose pro-
perty is insured. In this contract the company agrees to
reimburse the assured for certain losses on the payment of
a certain premium, provided the assured lives up to certain
warranties and conditions as laid down in the policy. How
many men receive their policy from their fire insurance
broker or agent, look at the ouUside of it, see the amount
for which the policy is written and the premium attached
thereto, throw the policy into the safe with other policies,
send the agent a cheque for the premium (if he docs not
forget it), and never looks on the inside of the policy to
see how or in what manner he is covered, and therefore
does not realize that in case of loss this scrap of paper may
stand between him and the poorhouse.
All policies contain certain statutory conditions which
are fixed by law, but in addition to this, other conditions are
added to make the policy applicable to the particular risk to
be covered. These are attached to the regular policy and
are called "forms" or "wordings," and may give to the as-
sured certain broader policy conditions and privileges umlcr
hi.H contract which he might not otherwise have. It is most
important that these forms covering on the same risk should
read alike and be absolutely concurrent, as otherwise, in case
of loss, a serious difficulty might arise in making the ap-
portionment of the loss as between the various companies
interested. So — scrutinize the form and watch your policy
conditions, see that they are concurrent and that your in-
terests are fully protected, be careful to always live up to
your part of the contract, so that in case of loss there will
ho no question as to whether or not you arc perfectly
covered. In connection with the forms which I have just
mentioned, your atUnfion is called to the fact that these are
drawn by various agents and brokers in a great many differ-
ent ways, but by these forms is indicated the way in which
your insurance actually covers, and arc of great importance.
Blanket and Specific Covering
There are various ways of covering property, but two
to which I wish to call your partim' - •• ■ '-^n— what is
known as "Blanket Covcriny" and • overs spe-
cifically on the ditTer.nt items. For ' may have
two or three buildings which adjoin. Tii. >•• l.uildings can
be written, under tari(T regulations, as one risk, hut a great
many times you wnll finil that the agent has written the-ie
buildings as separate risks, naming « specific amount on
each one. It i« to voir ndvanUfrr. however, to have this
insurance ■■ ... - .- blnnketing
the insuraTi '^u do this,
in case of <•«" »" ^f
applied to one building. «hiU if the insuian;.. covers speci-
*An address before •'-
Convention in Vancouvc
ficallv you can only collect for the one building up to the ,
amount of the actual insurance placed on that building. The ,
same remarks apply to stock. Always have your policy
cover as much of vour risk under one item as is permissible
and eliminate specific insurance as much as possible. This
is to your advantage.
We now come to the question of carrying blanket in-
surance on buildings that are not attached. In this case
it is necessary for the assured either to write his insurance ;
with co-insurance or with the distribution clause. A great
many assurcds carry co-insurance on their property, with-
out knowintr what co-insurance means. Briefly, the co-m- ;
surance clause is as follows: In consideration of the re-
duced rate, or the special form under which the policy is
written, it is stipulated and made a condition of the contract '
that the insurance company shall be liable for no greater
proportion of any loss than the amount insured under the
policy bears to a determined percentage of the actual cash
value of the property described in the policy. In other words,
in as much as the company is writing your policy at a lower
rate, or granting you certain concessions in the way of form,
you agree with the company to carry insurance up to such
percentage of the value of the property as is mentioned in
the policy— which is generally either 80 per cent, or 90 per
cent. Failing to do this, you agree to become a co-insurer for
the difference between what you do carry and what you
should have carried.
Co-insurance Clause
For example, you have property worth $10,00(]f and
agree to insure for 80 per cent, of that value — you there-
fore should carry 58,000. You do carry $8,000 of insurance
and you have a loss of $4,000. The company in that case
woulil pay the total amount of the loss because you have |
lived up to your agreement with the company and have car-
ried 80 per cent, of that value. On the other hand, you have
$10,000 worth of value; you should carry $8,000 of insur-
ance; you do actually cari->- only $6,000. We will assume
that you have a loss of $4,000. In that case the companies
will pay 6 8 of that $4,000, and you have to stand 2/8 of
that loss yourself. The reason why the insurance companies
have such a clause is because they can afford to insure cer- .
tain classes of property at a lower rate and with better policy
conditions, if the assured will agree to carry enough in-
surance to make it improbable that the companies will be
calltvl upon to pay the face value of the policies, or total
loss to them, when only a portion of the property is de-
stroyed.
Assuming that the rates are the same with and without
co-insurance, and that two men each own buildings side by
side, we will assume that the buildings are worth $50,000 a
piece ami the insurance company issues a policy for $10,000
on each building. Supposing that the first man carries a
total of $40,000 insurance on his building and the second
man carries but $10,000. .\ fire occurs and damages each of
these buildings to the extent of $10,000. Both men are paid
in full, hut in the one case the company who carried $10,000
on the building which is insured for $40,000 only contributes
$2,500 towards the payment of this loss, while in the other
ease — where they have the full $10,000 and that is all that
is carried, they have to pay the face value of the policy.
Had this company issued a policy for $40,000 on the first
building, they would then have paid the whole $10,000 loss,
hut they would only have paid a quarter of the face value
of their policy, while they would have received a premium
on $40,000. So the companies feel that the man who car-
ries more insurance is entitled to a low-er rate than the man
who carries a smaller amount of insurance, in as much as
the chances are much less that the insurance will all be
paid out. This plan of insurance is becoming generally
adopted on certain classes of risk, and while co-insurance
is not allowable on dwellings, farm property and some
cla!>?es, still on mercantiles it is becoming quite general. It
is a question that is largely misunderstood by the insurers
and it is one that you should go carefully into before allow-
ing it to be made a part of your policy.
November 5, 1920
THE MONETARY TIMES
To Secure the Greatest Income
from your renting property and to secure it with greatest regularity
and least worry and inconvenience, place the property in the charge
of th^ Union Tiiist Company. We will attend to all details for
you and render a complete statement each month.
The cost of this service is ucrii small. If you arc
iiiUrcsled ux will ic glad to itll you more about it.
Union Trust Company, Limited
HENRY F. COODERHAM. President
TORONTO - - Cor. Richmond and Victoria Sts.
WINNIPEG. MAN. LONDON. ENGLAND
i°K> on Savings — Withdrawable by Cheque 31
That Transitory Stage
ot your all.iiio, when, uu your ilciuisc, your bubiucs^, your
securities, your personal elTects, are passed on to others, is
one which requires experienced management in order thai
there may not be any financial loss to those who are left be-
hind and also that they be not subjected to troublesome
details at a time when they are mentally depressed throujih
their bereavement. The required manaKement may be
secured by your nominating in your Will as your Executor
THE CANADA PERMANENT TRUST COMPANY
Paid-up Capital
Sl.OOO.OOO
Manager
Ontario Branch
TORONTO STREET
TORONTO
A. E. Hessin
Be sure your WILL is made, naming a Strong
TRUST CO.VIPANYas your
EXECUTOR
Ask lor Booklet: "The Corporate Executor."
CAPITAL, ISSUED AND SUBSCRIBED
PAID-UP CAPITAL AND RESERVE....
$1,171,700.00
. 1,172,000 00
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE: WIXXII'RG, CAN.
BRANCHES :
WESTMINSTER TRUST COMPANY
Tht Oldest Provincial Trust Company in B.C.
Head Otfice NEW WESTMINSTER. B.C.
GENERAL FINANCIAL AGENTS
Admlmistrattn. Rtctivtrs. Es«cutars, Lltuidators, AisitrnMS, TrmslMs
K. A RimjELL. . Manager
The Security Trust Company, Limited
Head Offi
Calgary, Alberta
Liquidator, Trustee, Receiver, Stock and Bond Brokers,
Administrator, Executor. General Financial Agents.
W. M. CONNACHER Prts. and Managing Dirccto
The Dominion Bank
ESTABLISHED IS? I
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Aj;ciit.< for invcstnieiu in all classes of Securities.
Business Agent for the R. C. Archdiocese of Vancouver.
Fiscal Agent for B. C. Municipalities.
Inqairies Incited
Urnrral ManiiK<T Ll<'ul.-lul. <;. II. UWKKDLL
A Day of Specialization
In all walks of life mer
inexperienced individual.
e specializing. Can an
ho probably will not
administer more than one estate in his lifetime, give
to your estate the attention and care you would like
it to have ?
By naming The Canada Trust Company •'The
E.tecutor for Your Estate" you make provisions for
competent, economical, specialized service.
The Canada Trust Q^^vpanv
London, Toronto, Windsor. Chatham, St. Thomas.lOntario.
Winnipeg, Man.. Regina, Sask., Edmonton. Alta.l
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acts ai Executor, Administrator, Trustee, Guardian, Liquidator
Assi|D«e, and in any olkcr fiduciarjr capacity.
Official Ailuiinislralor for the Northern Judicial
District and the Dauphin Judicial District in
Manitoba, and OfTicial Assignee for the Western
Judicial District in Manitoba and the Swift
Current Judicial District in Saskatcliew.-»n.
Branch Office - - Swift Current, Satlcatchewan
JOHN R MTTLE. Managing Director
T U i: MONETARY TIMES
Volume 65.
Another clause which is of special interest to ow-ners of
cold storage plants is that clause known as the "Consequen-
tial DamaKC Clause" or "Cold Storage Clause." By con-
sequential damage is meant damage which is caused by the
interruption of the cold storage machinery by fire, which
allows the temperature in the cold storage plant to rise and
dumiige the goods stored therein. This might happen even
though no fire, smoke or water came in contact with the
goods, or anywhere near the cold storage plant in (juestion.
It should be specifically stated on all policies covering goods
in storage, whether or not it is the intent of that policy
to cover consequential damage, and while under the ordinary
policy the companies would undoubtedly deny liability for
consequential damage- — even though there was no clause on
the policy — still, this would probably result in hard feeling
between the assured and the company in case of a loss, with
tin- claim denied. It is therefore important where conse-
quential damage insurance is desired, that two sets of policies
should be written, so as to prevent complications arising
out of non-concurrence or the question of contribution. The
companies assuming the fire risk should accept any loss due
to consequential damage, and those companies who are writ-
ing the consequential damage should have a special form of
policy covering this particular portion of the risk.
Special Hazards
In speaking of hazards generally found in connection
with canneries, that of gasoline particularly comes lo our
notice. In many canneries gasoline is stored in close proxi-
mity to the main plant. This constitutes a severe hazard,
with the added possibility of making insurance policies void.
Mostly the gasoline fishing boats and tenders procure
their fuel supply from the cannery out of which they operate,
which necessitates lar^e quantities being on storage. As
those who are in the habit of daily handling this liquid
rarely consider its hazard, where feasible, a separaU- wharf
for tile storing and handling of all oils should be erected, or
..ther proper precautions taken for the handling of the same.
A point to bear in mind is that metal drums are not sufficient
protection anil that empty containers should be more care-
fully handled than full ones, because the danger from these
IS greater.
Care should be taken, also, in the handling of lacquer.
Not more than one day's supply should be kept in the can-
nery building, and in no case should it be used or handled
uh.n any lire or open light is burning in the vicinity.
I'recaiitions to be Taken
The following precautions and suggestions arc brought
|i;irtirularly to your attention: —
All electrical equipment should be properly installed
and inspected periodically; motjil drip pans should be pro-
vided for all bearings; steam pipes should be at least two
mrhi"! from woodwork and around main steam lines covered
•1 :,slH'»tos slag and wrapped; lump or lantern room for
Siiiin: :ind storing lamps or lanterns should hv in a separate
building; no smoking should bi- allowed in buildings, and
sign.' to this etfect should be freely posted. If sanitary cans
are not usi'd, soldering equipment should be so arranged that
any hninrd from the same would be eliminated. Woodwork
in and around all soldering machines and furnaces should
I.. t.r..tccfcH by metal at least two feet on all side.i of fire
! . and brought up at the back to mei-t the brickwork.
\11 i"'^ should have water pans under nrd snmc kept filled
witli water when not in use. Ben he covered
with tin or other metal ami should t least six
inches at the back of the bench. >\< ■ 'rom solder-
ing machines or pot,» should extend lo not le-*s than three
feet above the apex of the roof and properly prt)tcct«i whore
passing through or near woodwork.
The blacksmith's forgr should be set out from the wall
or other woodwork nvA fT.H-ir prntrrtM -with mMnl and metal
hood provided. C: I not have
their tanks nttncl' unc under
the wharf or can:. buried not
less than fo-ir feet under (rround and not williin five feet
of any building. The engine should not be used below the
grade" or first floor of the building, and the gasoline should
be forced directly from the tank to the engine by pump.
The engine room should be well ventilated at both the floor
and ceiling. The plant at all times should be kept clean and
a daily inspection of same during the packing season should
be instituted for that purpose. All fire fighting apparatus
should be given the best of care and always ready for
instant use should fire occur.
Canneries having smoke-house in connection therewith
shonld have proper arrangements for taking care of this
hazard. If possible, the smoke-house should be of fire re-
sisting construction, and communications, if any, to main
building should be protected with standard fire doors. The
sill in openings on firing floor should be at least twelve'
inches in height and a drain should be provided to carry
oil drippings away from the plant. Steam jet should be pro-
vided for fire protection.
Arrangement of boilers is an importance item. They .
should be properly set and encas«d in brick. It is prefer-
able to locate boiler house more than twenty-five feet from
the main buildings. Metal stack should be at least twelve
inches clear from all woodwork and wood floor not nearer
than six feet from, boiler front. Web or net tarring .vats,
especially if fire heat is used, introduce a distinct hazard.
This should never bo attempted in or near the main build-
ings, nor should freshly tarred or oiled nets be stored in
cannery or within one hundred feet thereof. The oiling of
nets is a serious hazard and great care should be taken in
this regard.
Fire Protection
The question of fire protection is one that enters largely
into the matter of your rate. In tannery plants the water;
supplies would depend largely upon the size of the plant
and the surrounding conditions. There sliould be a good
gravity or pump supply. If gravity supply, to be of suffici-
ent capacity to insure the maintenance of the required num-
ber of fire streams, with fifty pounds flowing pressure at
the nozzle, for a period of at least two hours. If pump sup-
ply, the pump should be of not less than 500 gallons per
minute, one of the Underwriters Standard, and should be
equipped with automatic regulator, lift to be not more than
twelve feet, steam pressure to be not less than flfty pounds,
to be maintained for the pump at all times during the oper-
ating season. This pump should be located in a detached
pump house. If the pump house is of combustible construc-
tion, it should be located at least forty feet from the main
buildings. The distribution main should be not less than
six inches in diameter. Hydrants should be two way, 2%
inch, located not less than forty feet or more than one hun-
dred feet from any building, and sufficient in number so that
it would not be necessary to string more than one hundred
feet of hose to reach any part of a building. Fifty feet or
more of two inch hose, with one inch nozzle, should be at-
tached to each hydrant. These hydrants and hose should be
protected with good substantial hose houses, and should
cont^Tin wrenches, spamers and whatever tools are neces-
sary for prompt action in case of need. Regular inspection
nnd tests of those hydrants and hose should be made at
least once every two weeks. These hydrants should also
be protected in a cold climate against freezing.
Inside Protection
When it comes to the inside system, supply mains
should not be less than four inches in diameter. Standpipes
should not W less than 2»i inches. All valves should be two
inch and should carry fifty feet of number one two inch linen
hose, with one inch smooth nozzle attached to each valve.
The Underwriters Standard for a cannerv is one inside
standpipc for every 5.000 feet of floor area. All of this
equipment must be of first grade, in order to pass the Under-
writers Standard Also, in case the standpipe is not
prartical. one 2% gallon fire extinguisher for each 2,500
squ.ire feet or fr.ictio-i thereof of floor area, and one cask
or barrel with two fire pails attached thereto, for every
November 5, 1920
THE MONETARY TIMES
That Boy of Yours
What's to become of the lad in case
you should die suddenly? Will he,
at fourteen or earlier, be forced out
into the world to earn a living ?
Or will you make sure that he gets
a proper start in life ? You can do it,
whether you live or die, by means
of an Imperial Endowment policy.
Write for our free booklet which
tells all about it.
= Address :
THE IMPERIAL LIFE
Assurance Company of Canada
HEAD OFFICE
Saskatchewan General Trusts
Corporation, Limited
Head Oltice : Regine, Sask.
Executor Administrator Atsignee Trustee
Special attention given Mortgage Investments, Collections,
Management of Properties for Absentees and
all other agency business.
BOAKU OF ItlKEtTOBti :
W. T. MOLL4RD, President G. H. BAKR. K.C., Vice-President
H.E.Sampson K.C. A. L. Gordon. K.C. J A M. Patrick. K.C.
David Low, M.D. W. H. Duncan J. A. McBridc
Chas.Willoughby William Wilson
E. E. .MURPHY. General Manager
Official Administrator for the Judicial District of Weyburn
(Trustee under Bankruptcy Act)
Providing for Education
In times of prosperity make certain that tlie education
of your children will be provided for in case of a reversal of
fortune. By placing a trust fund with us for investment,
an income can be provided to begin at any time and be
adminiistered under any conditions you see fit to incorporate
in the agreement Write us ff>r particulars.
Chartered Trust and Executor Company
46 KING STREET WEST, TORONTO
HON'. W. A. CHARLTON. .MP.,
President.
JOH.N J. GIBSON. Managing Dirccto
THE BANKERS
TRVST GOME^NY
Head Offices: MONTREAL
Authorized Capital $1,000,000
PreiiJcnl -
SIR H. MONTAGU ALLAN, CV.O.
(^ice-frc3iJcn(j -
A. J. DAWES D. C. MACAROW
JAMES ELMSLY General Manager
C. D. CORNELL -
Directors:
Sir H. Montagu Allan. J. M. Kilbourn
T. Ahcarn CV.O. I. D. G. IGpprn
G. L. Cmn. W, 8. Leitch
A. J. Dnweii Sir F. Orr Orr-Lewii
A. B. Ev.n. D. C. Mac.row IBa;
David N. C. HoBK W. A. Mcldrum
T. E. Merrell
Secrela'\/
Li.-Col. J. R. Moodie
Farquhar Robertson
Hon.LorneCWcb.te
F. Howard Wii.on
Edwin H. WiUon
John WiUon
Offices now open in Montreal, Winnipeg,
Calgary, St. John, N.B., Halifax, Regina,
Vancouver, Victoria and Toronto.
Premitet in Merchants Bank Building in each city
22
THE MONETARY TIMES
Volume 65.
2,500 square feet or fraction thereof, on each floor. The
underwriters ask that these casks be painted red so as to
he made very conspicuou.s. The capacity should be at least
40 fTJiUons, and in a cold climate forty pounds of common
salt should be dissolved in each cask. Two fire pails should
be hunt,' with eaih cask. It is better to have round bottomed
pails so thoy will not be used for ordinnn,- purposes and
thus be out of place in an enierpency. These pails also
should be painted red and marked with the word "fire," so
as to insure their use for fire purposes only. They should
be placed so that they will be constantly in siRht and should
never be covered with stock or rubbish. They are best
located near exits and stairways. In the case of the extin-
guishers, regular inspections should be made and the ex-
tinguishers should be recharged at least every six months.
Suitable tags should bo attached to these extinguishers
bearing the date of the last inspection, and when they
were recharged. All fire protection equipment should be put
in charge of the foreman or engineer, who should be held
responsible for their condition.
As stated at the beginning of this paper, the question
of fire insurance in conni-ction with your particular indus-
try is a big one, and I have only touched on some of the
more important items in a very brief way. There are many
other things which could be discussed at length and which
would l)e of interest to you. It is my belief that it is good
policy for any insurer to appoint a firm of competent
brokers or agents to look after their insurance for them.
By so doing, this agent will receive enough remuneration so
that he can afford to devote the proper time and attention
to your insurance matters, which they deserve. He can act
as your insurance adviser ami keep your policies in order
for you, while if you scatter your insurance around to a
dozen different agents or brokers, no one of them is going
to take the interest in your risk which they should take,
with the result that your interests are not looked after to
your be.-it advantage.
TOO Mr( H I'OWKU KOK WINNIPEG COUNCIL
City Council Can Borrow I'lilimiled .\mount Without
Ueforenre to Italepayers. According to Legislation
Passed at Last .Session
MK.VKY may be borrowed to an unlimited amount for
Hydro-Electric purposes by the city council of Winni-
peg, points out a prominent Winnipeg barrister, who has
followed this subject closely, in n romnninication to The
Miwtnrii TimCK. This is the effect of legislation passed at
the lO'JO section of the Manitoba legislature. He says: —
"Cniler the provisions of the Winnipeg charter from the
time of its first enactment by-laws for the crvalioo of debts
must be submitted to the votes of the ratepayers. Exceptions
arc niado in the case of debts payable within the municipal
year and fur ordinary expenditure, otherwise the assent of
three fifths "f the voters is required. By-lnws for expendi-
tures in connection with the hydro-electric system were also
required to be submitted to the rntcpnycrs before any con-
templated extensions were proceeded with. But in the la.^t
session of the legislature this last-named provision was in
effeot repealed and the following s\ibstituted: —
cipal and interest shall be payable in such instalments and
at such times and places as the council shall fix by its by-
laws It shall not be necessary to submit any such by-laws
to a vote of the electors or for the approval of the public
utility commissioner, and upon the council finally passing
same and issuing such debentures, they shall be a valid and
binding charge upon the city, and, as against ordinary city
indebtedness, shall be a preferential charge, mortgage, hypo-
thec or pledge on and against the lands, plant and property
and appertaining to the city hydro-electric system.
" 'The funds belonging to the depreciation reserve of the
hydro-electric system of the city may be used in purchasing
any debentures issued as herein pro\aded. covering additions,
extensions, enlargements or repairs to the hydro-electric
system as aforesaid, which debentures may be purchased as
an investment for such depreciation reserve at such prices
as may be decided upon by resolution of council.'
"So far as the public is concerned no adequate notice
was given of the application for this amendment and with a
lot of other miscellaneous amendments it was passed by the
legislature without discussion.
No Control by Ratepayers
"The amendment is of the most serious character. Under
it by-laws creating an indebtedness of unlimited millions can
be legally passed by the city council without reference to the
ratepayers. Any rate of interest that may 'suit the money
market' can be fixed. The authority of the public utilities
commissioner is dispensed with. The amount to the credit
of the 'depreciation reserve' can be used to pay the deben-
tures issued and such debentures when purchased become an
'investment' for such 'depreciation reserve' at such prices as
may be decided upon by resolution of the council. If this
'depreciation reserve' exists in the form of a special fund,
this legislature authorizes the perversion of a trust from the
purposes for which it was created. If, however, it exists
merely as a matter of city bookkeeping, the amendment ap-
parently authorizes the city council to purchase the deben-
tures out of the amount owed by the city to the 'depreciation
reserve.'
"The legislation is, to say the least, extraordinary. Al-
ready the city council has authorized an additional expendi-
ture of 91,700.000 on its hydro-electric system. The ordin-
ary statutory provisions safeguarding the ratepayers by re-
quiring their assent are ignored. It creates a situation that
may prove dangerous, especially when it is remembered that
perhaps one-half of the present members of the council re-
present socialistic views and interests. The amendment it-
self should surely have been submitted to the ratepayers
before being presented to the legislature. It seems singular
that the advocates of public ownership of public utilities
should be unwilling to allow the public even to express an
opinion on the assumption of further heavy financial obliga-
tions in connection with them, when it is the public that is
responsible for those liabilities, and in the end must pay
them. It would be a matter of interest to learn the inner
histxiry of this enactment, the existence of which is generally
unknown and the serious possibilities of which have not been
presented to the ratepayers for their consideration."
Kcrcnt Amrndmcnl
" 'For the purpose of pro'
tensionn. enlargements and rep.
system, buildings, plant, mach.
duits, overhead lines, scrv'iccs
co.it of purchasing sites and n( i
tion, coii.^truction and eq'i
by-laws pn.ised from tini'
tionnl debt, or debts by '
bentures for the aforesaid pui ikji
itions, cx-
■"O-rlcrtric
Imes. con-
^, including the
illntion, oxrnvn-
by-lnw or
• an addi-
city'? de-
The |iniK'ipa1 sum of
!»uch debentures shall be made payable not more than fifty
years from the date of the respective ijisucs thereof, and
"^hall bear interest to suit the money market, which prin-
(;OVKKNMKM .silll'.>< WILL CARRY PASSENGERS
The Canadian Covcrnment Merchant Marine, Limited,
will enter the passenger business, it was announced at the
company's offices in Montreal recently. The passenger
steamers will begin running in .January next to the Bahamas,
.Tamaira and British Honduras from St. John, N.B. Each of
the government vessels will have accommodation for thirty
passengers, the remainder of the space being reserved for
cargo. The vessels nllottc.l to this new venture are the
"Canadian Forester" ;ind the "Canadian Fisher," now nearing
completion at Tlircc Rivers, and are to be ready to sail before
the ice closes river traffic.
November 5, 1920
THE MONETARY TIMES
6i7o
INTEREST
RETURN
INVEST YOUR SAVINGS
in a 5^^ DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital $2,412,578.81
Reserves.'. 964,459J9
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Calgary,
EdmontOD, Vancouver, Victoria; Edinburgh,
Scotland.
Dollar by Dollar
is the way some people save, and many succeed in building
up substantial accounts. It is well worth the effort to save,
even in a small way, as it is a well-known fact tha. saving
money increases one's productiveness.
Youi savings will be safe with this old-established institu-
tion, and you will receive interest thereon at
THREE AND ONE-HALF
per cent, per
im. paid twice each year
Canada Permanent Mortgage Corporation
TORONTO STREET
Established 1855
TORONTO
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
.Masonic Temple Building. London. Canada
Interest at 4 per cent, parable half-yearly on Debentures
T. H. PURDO.M. K.C.. President NATHAN'IEL MILLS. Manager
London and Canadian Loan and Agency Co., Limited
Established 1873 31 «<»><;(: ST., TOKO>TO
Paid-up Capital. $1,230,000 Rest. ?H,iO.OO0 Total Assets. ?5,085. 87:!
ItebenlDreii issued, one hundre.i dollars and upwards, one to five years-
Best current rates. Interest payable half-yearly. These
Authorized Trustee Investment. .Vlortgage Loans
toba and Saskatchewan.
WILLIAM WEDD. Secretary V. U. WADSWORTH. Manager
^"^ Ontario Loan
& Debenture Co.
LONDON LscoKPORATED 1870
CAPITAL AND Undivided Profits
Canada
$3,9(Ki,0O0
5
1 0/ SHORT TERM (3 TO .5 YEARS)
- / DEBENTURES
2/0
YIELD INVESTORS
5^2
JOHN iMcCLARY. Preside
A. M. SMAKT. Manager
r^\"ER 200 Corporations,
^^ Societies, Tru.stees and
Individuals have found our
Debentuies an attractive
investment. Terms oik- ;>
five years.
The Empire
Loan Company
WINNIPEG. Man.
THE TORONTO MORTGAGE COMPANY
Office. No. 13 Toronto Street
Capital Account. S:il..'..-.O.0O - '- 8 Reserve Fund. StiJO.OWI.OO
Total Assets. SS.-MS.I.M.'-'e
President. WELLINGTON FBA.NCIS. Esq.. K.C.
Vice-President. HERBERT LANGLOIS. Esq.
Debentures issued to pay 5",,. a Legal Investment for Trust Funds.
Deposits received at 4",, interest, withdrawable by cheque.
Loans made on improved Re.-i! Esr;ite on frxvorahle terms.
WALTER GILLESPIE. Martager
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
Particulars on application.
The Canada Standard Loan Company
S20 Mclntyre Block, Winnipeg
ACCOUNT BOOKS
Loose leaf Ledgers
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS umited
SiiTicoe and Pearl Streets
TORONTO
T. K. McCallum & Company
w>»t
GOVERNMENT AND MUNICIPAL SECURITIES
Municipal. -rlMml nn.l ^n.k«lrh.«an Kiirnl Tele.
phonr «'•>. lirbenliirei. »perliillie<l In.
Correspondence invilcd
GRAINGER BUILDING - SASKATOON
F. S. RATLIFF & CO.
FARM LANDS-FARM LOANS
STOCKS AND BONDS
Medicine Hat ....
Alberta
THE MONETARY TIMES
Volume 65.
IS4,(I69.499 ' IS8.43S.!I70 | 2ll.426.'ill7
I,3S8.«I9.SS0 I.2I0.54I.387 ' l.»g.9l9.17S
42.761.192 1 S8.SII.2tU :i6.8U7.793
CAN.VDAS TKADE SHOW.S NO IMI'KOVE.MEM
Latest Figures Reflect Same Movement Which Has Been
in I'rojjreKH Uuring the I'asl Year
C.ANAD.'V'S trade statement for the year ended September
MOth, 1920, as prepared by the Dominion Bureau of
Statistics, calls for very little comment, inasmuch as the
(i(;ures reflect the continuance of the same movement which
has been in progress during the past nine months. "Canada's
adverse trade balance" has become a hackneyed phrase, and
the latest figures seem to indicate that it may continue so
for some time. It seems that our relations with the United
States, the United Kingdom and other British colonies need
the most attention. With the exception of France, our
foreign trade continues along favorable lines.
Twelve Month* cndint Srptembcr
1918 I 1919 I ' 7920
iBPOim FOR CoKtUaPTION t t (
dutiable Goodli SH,232..'4a SS0.S22.S.« 873,703.,'!22
FrecOood* i 384.819.338 I 335.617.397 | 452.0fi4.4l8
Total importl (mdM.) ' 898.SSI.884l 886,139.9.% { 1.325 767,940
Duly collected
Expoim
Canadian .
Foreign
ToUl export* (mdM.) | 1,401.180,772 l,269.0S2.67l | I.245.ri6.%8
lapORTS DV COUNTIIIBS '. \
United Kiniidom 70,596.810 79.136,740 217.228.700
Aultralia ^.767.07^ 4.217,670 | !.e96„5S9
Uritiah P.ant lndi» 1R,775,((7:1 12.9a5,893 19.607.185
llritmh Guiana 5.411.468 8.039.HT1 | 6.935.417
Bntmh South Africa 9»!.I4n 1.09-J.:«1I .VSil.856
British Wot Indiei 1 7,6.19.737 IU.42.M(93 16.8;R«.43<I
Honii Konil ■J..«II.T70 l,ull.7li:i 4.828,244
Newf.iunJland ' "l "■" ' 2.4,'i6.324 ' 2.764.H!16
New Zealand . r ».,.• 5.:163.US2 ; 4.419.4Ti
Other Hrili.h Kmr.. ;.,,,:i 74:l..V4 1.400.045
Aritentinc Kerubh M.-. v<i 1.845.486 i.HK.Oa
BclViun, 7 t-,: 3H.512 3,343.847
Braail 7;i.s:4 1.478.45J 2.633.520
China 1,-67.70.! 1 ir.'J.rr.' 1.926.474
Cuha I,7<i0,r<il 7,5lJ.s:tO 35.173.794
Pranct i ll».5i:( « Ni!i,8S7 19.840.785
Or«cc . I!' ■il" >« "4 ' 9.52.500
Italy ii.w,:w;i 4!i.'i.wj 1.748.3*5
Japan .i 4i«i.oi:i i2..sii>i.4;ui I5.236.:i38
NcthcrlamK liS9.912 971. 34S , 3.462.646
Initcd Stales 7.T9.4S9.848 I 780.366.3J5, 9I9.3B7.989
Other Foreign Countrtea I8.86I.I78 28.651.110 41.991.030
lixi-oHiK liv CouxTBiaa I
■C.in.id on l'--. .• ..nK I I
Lnitcl Kinndom '"' 5l'1.20i<.;8l 375.461.000
AustrjI.a r.'.5IO.;Vi2 14.895.288
llriti.h Hast InJ.r ^ 5.443.797 6,I59.»3
Hrii,0, Cuiana JkUiT-'J 3.420.079
llnt.^h S<MilhA(r.. , ., . :< l3..'OI.489
llr,i,.)i West InJ.r., 12.848.920
Hont l<..n« I.897.-258
NcwI. .1. 11,11 ind 18.6.0.224
Nrw/.ralir.l 1 • "' ' ■■• ' O.rrS.SW
n.hrr'lu.i.vh l-„,,. ,. .i .' ,,,,,, 5.03,5.834
6.460 712
40..«4.69a
3.13)1.780
7.4:<a.8e4
7.221.814
43.941.390
.1S.«2.9e8
34.338.1,57
7 918 8,W
5.887.W4
512.845.7.59
,«0.928.«9}
ruhiu
Ikimuii
BraiM
China
Cuba
Fran..-
Other Foreign Countrien
JM.0t4
ItlMIISlI- \MM!I( \N I IN \N( K ( (Htl'dlJ MION
The Briti»h-.-\incri.an Fin.-v m hd8 been in-
corporated with n rBpit4>l of != id olTlro ii^ To-
ronto and n branch in New Yoii>. ; ■■• U lUinm Wiseman,
a banker of lx>ndon, England, a» pre»idcnt. The new com-
pany will deal in Canadian, AmrrTrnn nn 1 Morirnn securities.
Sir William Wijeman, Iho pmi ny, ».•»» a
British ofTicer in the war, was utish Em-
bassy at Washington after the i Ivisrr for
the British government on AnuTicaii olTairs «t the Teacc
Conference in Paris. Associated with Sir William in his
Can-tdian undertakings are F. B. Robins. Toronto, real c»Utc
broker, and George A. Touche and Co., ch«rtcT«i accountant*.
MONTREAL AND QUEBEC SAVINGS INSTITUTIONS
Changes in the position of the Montreal City and Dis-
trict Savings Bank and the Caisse d'Economie Notre Dame
de Quebec were not very significant in September. The
former institution increased its savings deposits slightly,
while deposits in the latter were somewhat reduced. It is
noteworthy of mention that both banks have substantially
increased their loans on securities, while cash holdings are
considerably lower. Holdings of municipal securities have
also been reduced. The following figures show the principal
changes in the September statement: —
Montreal City and District Savings Bank
Sept., 1920. Sept., 1919. Aug., 1920.
Dom. gov. demand dep. $ 260,043 $ 93,.599 $ 285,043
Notice deposits 43,889,372 40,029,501 43,554,974
Total liabilities 44,579,1544 40,936,361 44,241,990
Gov. and other sec 12,221,099 9,488,050 12,087,034
Cash 6,785,748 7,988,019 7,103,422
Can. municipal sec. . . . 15,136,253 15,476,170 15,157,414
Loans on bank stocks.. 781,537 817,050 789,693
Loans on other sec. . . 9,610,628 6,954,024 9,307,661
Total assets 47,425,548 43,784,520 47,323,665
Caisse d'Economie de Notre Dame
Sept., 1920. Sept., 1919. Aug., 1920.
Dom. gov. demand dep. ? 33,628 ? 43,628
Notice deposits 10,324,364 $10,580,974 10,729,619
Total liabilities ...... 11,237,745 11,196,597 11,148,894
Gov. and other sec. . . . 1,679,093 1,638,209 1,679,093
Cash 1,326,916 1,819,455 1,302,238
Can. municipal sec. . . . 4,074,780 4,091,670 4,078,615
Loans on bank stocks . . 313,631 250,185 312,866
Loans on other sec. . . 3,203,326 2,968,635 3,183,529
Total assets 13,134,255 13,006,798 18,045,404
STAMtAIM) lilXlANCE ASSETS SHARES DISTRIBUTED
Share certificates in the Standard Reliance .\ssets, Ltd.,
were delivered this week to the shareholders of the Standard
Reliance Mortgage Corporation. A year ago last August the
Standard Reliance -Assets was formed to take over the assets
of the Standard Reliance. The meeting of creditors, at which
tlip decision to form this company was reached, authorized
tm oflicial referee and the liquidator to appoint directors.
'Ms they did after consultation with representatives of the
principal bodies of creditors, and in most cases pursuant to
resolutions passed by those bodies. The directors were as
follows: G. T. Clarkson, president; J. A. Walker, K.C., Chat-
ham, vice-president; A. S. Maynard, Chatham; T. W. Ralph,
North .-Xugusta; T. Hall, .\yr, and S. C. Meyers, Elmira.
In an interview a few days ago, G. T. Clarkson, the
liquidator of the corixiration, said that the new shares had
not been distributed earlier because of the fact that there
was delay in receiving the 7,500 claims and securities, ad-
justing the claims, passing them before the court, completing
the records and writing and issuing the certificates. Some
6,000 of these are going out to creditors. Sevej-al parcels of
down-town real estate in Toronto have been sold, but not
the most important. The .Vrcade property still hangs fire.
All offers received have been dealt with.
The investigation as to the past history of the Standard
Reliance has been largely but not fully completed. What
its cost will be cannot be estimated until it has been com-
pleted, and it will then be passed by the court. It will be
completed, the liquidator assured the creditors, as and when
it is in the interests of the company to do so. The advan-
tages of the investigation, in the way of securing further
assets, have been, tlie liquidator says, considerable. "Yes,"
he said, "the advantages received up to this point have been
very substantial, C>ut?idc the necessity of making such an
investigation, in any event, it will pay for itself many times
over."
November 5, 1920 THE JIONETARY TIMES
Western Canada Flour Mills Company
LIMITED
Balance Sheet, 31st August, 1920
ASSETS
CAPITAL ASSETS:
Real Estate, Buildings, Macliinery and Equipment $2,465,701.64
Share and other Investments 814,288.74
Patents, Trade Marks and Goodwill 1-00
$3,279,991.38
CURRENT ASSETS:
Accounts and Bills Receivable $■ 291,547.78
Inventory of Stock in Trade, Bags, Barrels and Supplies 1,302,907.79
Canada Victory Loan Bonds (at market valus) 469,650.00
Cash on Hand and in Bank 79.009.46
Deferred Cliarges 100,256.0o
$2,243,371.08
$5,523,362.46
LIABILITIES '
CAPITAL:
Authorized 50,000 Shares of $100 each $5,000,000.00
Issued 25,000 " " $100 " $2,500,000.00
Less due by Employees 14,546.53
$2,485,453.47
FIRST MORTGAGE 6% BONDS, Due 1st March, 1928:
£225,000 @ $4.86% $1,095,000.00
Less Sinking Fund 358,020.88
$ 736,979.12
FIRST AND REFUNDING 6% BONDS,
Due 1st September, 1931 $ 776,000.00
Less Sinking Fund 217,500.00
$ 558,500.00
$1,295,479.12
CURRENT LIABILITIES:
Bond Interest ? 38,874.00
Dividends Accrued, Payable 15th September, 1920 100,000.00
Accounts and Bills Payable, including estimated amount for War Tax 1,055,219.99
»i 194 093 99
PROFIT AND LOSS ACCOUNT:
Balance 1st September, 1919 $ 712,865.75
Victory Bond Dividend, 29th November, 1919 250,000.00
^ $ 462,865.75
Profit for fiscal year ending 31st August, 1920, after making provision for Re-
serves ....' $ 414,723.93
$ 877,589.68
Bond Interest to 31st August, 1920 i $ 79,253.80
Dividends to 31st August, 1920 250,000.00
$ 329,253.80
Balance 31st .^Vugust. 1920 $ 548,335.88
INDIRECT LIABILITIES:
Customers' Paper under Discount $1,635,617.98
$5,.523,362.I6
We have examined the hooka and accounts of the Western Canada Flour Mill.. Company. I-imit^^d. for the y.-.-.r ''"'i.nit 31.t
AuKust, 1920. and in accordance with Section 134. (2) of the Ontario Companies' Act, wo c.rt.fy that all our rcu remento M
Auditors have been complie<I with, and report that, in our opinion, the above n«lance Sheet .. »"»">' K",'"'/'";,."°v"f"„i^„tfnn And
true and correct view of the state of the Company's alTalrs at SIst August. 1920. accordinK to the best of our information and
the explanations Kiven to us. and as shown by the books of the Company. , j . . „„„
Inventories have been certified as to quantities by the Company's officials at the various points and have been valued on a con-
servative basis, and after makinc provision for abnormal market conditions.
Provision has been made in respect to Doubtful Accounts and Bill. Keccivable. ^^^^^^ ^ TOVCUE & COMPANY.
14th October. 1920. Chartered^^ Accountants.
26
THE MONETARY TIMES
Volume 65.
Investments in Public Ownership in Canada'
Citizens of This Country Have One Billion Invested— Dominion Enterprises Total
.S(i70,000,()00. Railways Being Chief Item— Provinces in Telephone. Railway and Hydro-
Electric Schemes TotallinR :> 124,000,000— Cities and Towns Have Important Services
CANADIAN citizens have an investment of approximately
?1, 000,000,000 in publicly owned and operated enter-
prises— railways, tclcffraph lines, telephones, grain elevators,
water works, light and power plants, etc. This investment
has been made through the various governments — Dominion,
provincial and municipal. While the latest and most accurate
figures procurable have been used in this compilation, in
many cases they apply to periods from six months to one
year previous to date. In that time investments in public
service enterprises have increased considerably. This figure,
therefore, may be taken as a conservative estimate.
Canadian citizens have adopted a large and courageous
programme of public ownership. No citizen can dodge his or
her share of the responsibility for its success or failure. The
best friend of the country and public ownership is he who
acknowledges his responsibility, insists on competent admin-
istration of all publicly owned enterprises, bears clearly in
mind the dangers which lie in their path and refuses to be
silenced by charges of disloyalty raised by interested parties.
Politics, as that much-absued word is commonly understood,
is exceedingly inhospitable to independence of thought,
speech or action. Politics, in this sense — national, provin-
cial or city hall — must be kept entirely divorced from the
operation of citizen-owned public service enterprises. The
knowledge and practice of politics in its noble sense — i.e., the
science and art of government, cannot be too widely disse-
minated and cannot be other than advantageous to all cor-
porate undertakings.
Too Much Left to Taxpayer
Underlying the administration of any and all business
enterprises are certain sound business principles. These
principles hold, irrespective of the ownership. When citizens,
in their governmental capacities, go into commercial business
they operate under the same immutable laws of administra-
tive efficiency. If they ignore them, the results are certain
and inescapable, but, inasmuch as governments are not per-
sons, but governing corporative collections of persons, they
can pass the loss on to the citizens through their taxing
power. But this only prolongs the day of reckoning. There
are limits even to the taxing power. That limit is, on one
side, the paying ability of the citizens and, on the other, the
degree of ease with which citizena can transfer their interests
to other communities where the burdens of taxation are not
so heavy.
The best safeguard of public ownership is a frank recog-
nition of the fact that a government possesses no magic
wnnd which ran reverse administrative principles or change
deficits into surpluses by a gesture. There are certain well-
defined monopolies which, in the nature of things, must be
operated by the civic or other government. There arc certain
other undertnking.t partaking of the nature of a monopoly
which should he operated by the public if the public can effect
the proper mahrinery for their administr.ttion. There are
others which may be operated l>y the public to its own ad-
vantage if the public nre sufficiently wide a^«-nke, disinter-
ested and pertinacious to compel the observance of ."ound
principles of administration.
The Dominion (iorernment
Canadian citizens, through their Pominion government,
have an invc.itmcnt of approximately Jfi70.000.000 in such
enterprises as railways, steamship lines, grain elevators and
telegraph lines. The greatest portion of this amount, of
course, is in steam railways.
•From a bulletin issued by the Citiuns' Research Insti-
tute of Canada.
Although the Dominion government began its ownership
ol railways as a condition of confederation, with the build-
ing of the Intercolonial Railway, which was completed in
1876, it is only within the past two or three years, with the
taking over of the Grand Trunk Pacific and the Canadian
Northern railways, that this enterprise has reached enormous
proportions. The Grand Trunk Railway, which is also being
acquired, will greatly add to the total amount invested, as
estimated above. While the federal government has been
more or less forced into its present expansion along this
line, it would seem that, with the carrying out of the present
enlargement, sufficient scope will be secured to give the policy
of public ownership of railways a thorough test.
The Merchant Marine
The mercantile fleet, which is being built with the idea
of developing Canadian export trade, is operated by a com-
lony under the charter name of the "Canadian Government
Merchant Marine," the directors of which company are mem-
bers of the board of directors of the Canadian National Rail-
ways. The investment in this enterprise is now $58,179,563.
The steamship operations are more or less necessary in order
to "round out" the railway operations.
The telegraph lines owned by the Dominion government
were not established for the purpose of entering into corn-
petition with privately owned lines, but were built in con-
nection with the railways, or to supply places not already
served, or to give communication to remote settlements and
out-of-the-way districts. The investment in telegraph lines
now amounts to $2,629,000.
The deficit on operation for the fiscal year ending March,
1919, was $508,375 for these telegraph lines, on a total ex-
penditure of $739,707. It might be noted, however, that
signal service messages, meteorological service messages and
fisheries bulletins are carried free on these lines.
The Canadian Grain Act, 1912, gave the Dominion gov-
ernment power to erect and operate terminal grain elevators,
and five of such elevators are now in operation at: Port
Arthur, Ont.; Saskatoon, Sask.; Moose Jaw, Sask.; Calgary,
-Alta.; and Vancouver, B.C.
.■Although the postal service is a public service enterprise
of the highest type, it has not been included in the total of
;f670,000,000 previously mentioned. Its service is so basic
and its use so universal that it might well be considered one
of the "ordinary" departments of the government. However,
it differs from them inasmuch as its operating expenses are
raised by direct fees for services rendered instead of by
taxes. While this service would seem, at present, to be oper-
ated at a profit, it must be taken into consideration that in
operation expenses, as they are now made up, no allowance
is made, as would necessarily be the case in private business,
for interest on investment in buildings used for postal service
purposes or for depreciation of same, etc.
The Provincial Governments
The investment of the citizens in public service enter-
prises, through their provincial governments, totals about
J124,000,000. made >ip as follows:—
Amount Total investment
Province. Nature. invested. for province.
British Columbia None None
Alberta Telephones $11,394,589 $11,394,589
Saskatchewan . . Telephones 7,857,385 7,857,385
Manitoba Telephones 11,047,473
Elevators 1,195,385 12,242,858
November 5, 1920 THE MONETARY TIMES
Alberta Flour Mills, Limited
CAPITAL STOCK
Balance of Issue $1,400,000
CALGARY. October 25. 1920.
ALBERTA FLOUR MILLS, LLMITED, has been Incorporated and organized to own and operate
flour mills and grain elevators and to deal in grain and grain products, and have under construction
at Calgary a flour mill that will have a capacity of between 7,000 and 8,000 barrels of flour per
day. The construction is reinforced concrete throughout and the mill when completed will be the
most up-to-date and best equipped in Canada.
The thoughtful investor realizes that conditions in the industrial world are very unsettled and
that the enterprises with the greatest element of safety are those dealing in a necessity of life.
Alberta Flour Mills, Limited, is a ground floor proposition. The stock is all Common Stock and
every holder of stock has paid the full par value thereof. The stock is $100 per share, fully paid
and none assessable. There is no Bonus Stock and no Promotion Stock.
The annual statements of the big milling companies and the listed value of their stocks prove
most conclusively that there is a good profit in milling wheat and there is no place on the American
Continent more advantageously situated to manufacture and distribute flour and feed than Calgary.
The directors of the Company are leaders in Western Canada and their many years of e-.iperience
in Western Canadian development have put them in a position to know the magnitude and class
of industry that can be successfully conducted.
ALBERTA FLOUR MILLS, LIMITED
Head Office: - • 508 New Burns Building. CALGARY, Canada
I ALBERTA FLOUR MILLS, LIMITED
I APPLICATION FOR SHARES
I Make all payment* to the order of Alberta Flour Mills, Limited
I To the Directors of
I ALBERTA FLOUR MILLS. LIMITED, Calgary, Alberta.
I Gentlemen: — / hereby make application for Shares of the Capital Stock
i of Alberta Flour Mills, Limited, and herewith enclose the sum of Dollars
I ($ ), being the first instaimtnt of 50 per cent, of tlie par value thereof. I request
I you to allot to me the said shares upon the terms of the company's prospectus and agree to accept the same,
I or any less number that may he allotted to me, and agree to pay the balance of the par value of the shares
i allotted in pursuance thereof as follojvs: 50 per cent, in 90 days after allotment.
I / hereby authorize you to register me as the holder of the said shares.
I ALBERTA FLOUR MILLS, LLMITED, Signature '.
I SOS Xen- Bumn Building,
I Calgary. Name in full
I Per Address
i Date Occupation
I 27.T
^iniiimiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiHiiiiiiiiiiiiiiiiiiiiiiiiiiiiiinmtiiiiB^^ ;
THE MONETARY T I .M E S
Volume 65.
Province.
Ontario . . .
Amount Total investment
Nature. invested. for province.
Hydro-electric
development ?62,000,000
liailways 22,334,918 $84,334,918
Quebec None
Nova Scotia .... None
New Brun.swick . Railways
P. E. Island None
None
None
8,193,855 8,193,855
None
In New Brunswick and Ontario — as in the case of the
Dominion government — a considerable amount has been in-
vested in railways. These were usually undertaken by the
provinces to serve certain districts not reached either by
Dominion or privately owned lines. On this account such
lines are infrequently paying propositions, but may neverthe-
less be justifiable.
Ontario's hydro-electric enterprise, which is, in effect, a
joint provincial and municipal undertaking, is an outstanding
example of public ownership. However, while the amount,
:{62,000,000, has been listed in this bulletin as a provincial
investment, it is not one in the same sense as "railways,"
because in time the municipalities will have redeemed all the
outstanding bonds and the investment will then be totally
municipal.
The three middle western provinces operate telephone
systems which are, from their very nature, monopolies, and,
therefore, afford the best chance for successful public owner-
ship and operation.
The Municipal Govcmment.s
estmenl of Canadian citizens in public scr\'ice
through their municipal governments, is ap-
$215,000,000, made up as follows:—
Water- Electric light Street
works. and power.f railways. Sundry.
$ l<;,5r,3,0!>0 ? 2,511,033 $ 88,935 $ 1.949,481
8.400,000» 4,855,346 5,894,000 1.900,000
5,829,678 3,468.000 9,000
8.597,550 450,000 12,000
3G,000.000t 8,000,000 2,670,000
4,479,157 4,8('.0,000
505,431 1,340,000
781,123
The inv
enterprises,
proximately
Munici-
palities in
B. C
Alta
Sask
Man
Ont
Que
N. B
N. S
P.E.I
7.600.000*
9,900,000*
38.000,000'
30,000,000
4,300,000*
5,400,000*
345,000'
Total $120,608,090 $63,559,318 $17,900,935 $12,740,481
•Estimate made from bonded indebtedness of municipali-
ties for such enterprises.
tThcse figures supplied by courtesy of the Dominion
Bureau of .Statistics, Ottawa.
JProvincial plant investment is not included.
From this table it will be seen that the largest amount
invested by municipalities in public service enterprises, ?r.'0,-
000,000, is for waterworks. Very few Canadian municipali-
ties are now supplied with water by private corporations.
If waterworks arc to be conducted on a thoroughly
businesslike basis-i.e., service at cost, it is essential that
thoy be operated without a deficit. At the present time, this
is not the case in a great many municipolitics. Interest
charges and depreciation should be taken into account. This
is now sometimes impo.isible, as many municipalities make
nci attempt to keep l>orrowings on this account separate from
the general debt.
Electric light and power also has
of $63,500,000. Of this amount. how<
Ontario, and includes the invesli"-'!'
cipalities in the hydro-electric v
svipplying light and power is n r--
nient in Canadian public < ■■
ownership and operation, r
.'-.tandard of citizenship \vh
administration.
vestment
") i.« for
us muni-
I he function of
roront develop.
' !o piiMic
hat high
1 to gf>od
The investment of municipalities in street railways has
had its main development in the western provinces. Here
over-extension of lines has proven to be rather a handicap
to economical operation. Considering the direct relation of
transportation to the development of the community, muni-
cipal ownership of street railways, properly conducted, is an
important factor in the progress of many communities.
Under "Sundry" have been grouped such undertakings
as: Irrigation schemes, gas plants, wharves, abattoirs, tele-
phones, etc.
TWO NEW INSURANCE LICENSES ISSUED
One for Fire in Ontario and One for Burglary in Quebec —
Dale and Co. Will Represent Beaver Fire
TWO new insurance licenses have been announced during
the past week in Canada. Both are provincial, and are
extensions of business on the part of companies already
doing business in this country.
Authorization has been granted to the National Liberty
Insurance Company to transact fire insurance in the province
of Ontario. The license issued expires on April 30th, 1920.
The Hartford Live Stock Insurance Company has also been
authorized to transact live stock insurance in the province.
The London and Lancashire Guarantee and Accident
Company, which is already licensed to transact in the pro-
vince of Quebec the business of guarantee, accident, sick-
ness, plate glass, automobile and fire insurance, has been
authorized to write burglary insurance and insurance against
loss or damage occasioned by larceny, theft or stealing from
the person by violence, threat or otherwise, in addition to
the above classes.
Application will be made at the session of the legislative
assembly of Saskatchewan, commencing on the 4th day of
November, 1920, for an Act to incorporate Midwest Fidelity
and Guarantee Company, Limited, with power to undertake
the business of a guarantee company in all its branches, to
insure against loss arising for non-fulfilment of contract,
breach of trust and defalcation, and generally with all powers
appertaining to such business.
Agency Appointments
Dale and Company, well-known insurance agents in
Montreal, Que., have been appointed to represent the Beaver
Fire Insurance Company, of Winnipeg, in Montreal. The
Beaver Fire Insurance Company was formed some years ago,
largely to write preferred business only through its mort-
gage connections in the west, but latterly has decided to
extend its business in the east. The company was formed
some six years ago, and its officers include the following:
W. J. Christie, president, a Winnipeg capitalist; G. W. Allan,
K.C.. vice-president, a director of the Canadian Bank of
Commerce; J. Gait, director, president of the Union Bank of
l^anada, and F. M. Morse, a well-known Winnipeg merchant.
Harry C. Leavens, formerly special agent of the
Travelers Insurance Company, has been appointed assistant
manager of the Toronto branch office in charge of liability
and indemnity lines with jurisdiction over the province of
Ontario. Mr. Leavens is a graduate of the Hartford Insur-
ance Institute, and has also taken underwriting and agency
coursies in the Travelers' Home Office Training School. He
nssunies his new position with a wide experience in produc-
tion and agency manag-nicnt.
A new investment house under the name of Rothwell
and Co., has opened an office in the Winch Building, Van-
couver. B.C.. and will deal in stocks, bonds and insurance.
The manager, G. S. Rothwell. has, since his return from
overseas, been in charge of the local stock department of
Burd.ck Brothers. Ltd. Mr. Rothwell retains his seat on the
\ancouver Stork Ex, hang.-. The company will shortly move
mto peniKwient oiliccs at ;;:;8 Granville St., Vancouver.
November 5, 1920
THE MONETARY TIMES
29
KINGSTON
J AM AI CA
A branch of this Bank has been
opened in the above City under
the management of
Mr. Crawford Gordon
Those having business relations
vs^ith Jamaica or other West Indian
Islands are invited to avail them-
selves of the facilities offered by
this Bank.
^^■^'tJ^^.
^^
THE CANADIAN BANK '
OF COMMERCE ^--^V-v
iplNfip ^le^r-: 'a';i>^4>;:^ >^«^i.-|--'- s^-p^^
=N^^::^Wlit^ ^ ^>^^vrn.n..,^r^^.
.^„ '^:
■ ■ -V-.M": i - :.
30
THE MONETARY TIMES
Volume 65.
DEBENTURES. FOR SALE
TOWN OF COCHRANK, ONTAKK)
TENDERS FOR DEBENTURES
Scaled Tenders will be received by the undersigned up to
and including November IGth, 11)20. for the purchase of
$3> 000 d"-', 20-year Instalment Bonds of the Municipality of
tho'To%vn'of Cochrane, issued for the purpose of purchasinp:
Local Telephone System. Interest and Principal at Coch-
rane Ontario. Issue has received asrent of Electors.
W. L. WARRELL, Treasurer.
Municipality of Cochrane.
21i
CITY OF TORONTO
$2,853,000 SERIAL HONUS
Scaled tenders, endorsed, "Tender for City of Toronto
Bonds," addressed to Thomas L. Church, Esq., K.C., Mayor
and Chairman of the Board of Control, will be received by
the undersigned until 12 o'clock noon, We.inesdny, 10th No-
vember, 1920, for the purchase of 12,853,000 bonds, issued
for various purposes, under several by-laws, and due li>21-
1950 (approximate average maturity of the whole. l-,3
years). , . , , , ,
Full dcUiils as to the purposes for which the bonds are
issued and amounts mnturinn unnuully, together with finan-
cial statement of the City, will be furnished on applK-ation.
The IcRalitv of the issue has been approved by Mr
J. B. Clarke, K.C. Toronto, and his favorable opinion will
be enjrraved on each bond.
The bonds are an oblittalion of the City at large, arc
issue<l in coupon form, with provision for registration of
principal, bear dates October 1st and November Ist, IJ^O.
and are of the denomination of $1,000.
They are payable, both as to principal and interest, in
Toronto, and carry- interest at the rate of 6'", per annum,
payable half-yearly.
Engraved bonds will be ready for delivery on or about
November 22n.l. r.'20. Delivery and payment, with accrued
interest, are to be made at the office of the undersigned.
Tenders will be received for the l>onds issued under any
number, or all. of the By-laws, but not for a part of those
issued under any one By-law.
A rertilled cheque, payable to the undersigne*!, for i r
of the par value of the bonds tendered must accompany the
'" Tenders specifying for bonds other than those herein
deiicribo.1. or containing conditions vorying .'rom the above,
will not be considered.
The right is rMcr>cd to reject any or all proposals.
GEO. H. ROSS.
CommiMioncr of Finance.
Treasury 1 >rpnrtTnent,
City Hall. Toronto. C«n«d«, November lit. 1920.
i MU.N liA.NK lil.ll.AKLS IIOM^
\nother bank to declare n U'nw to .harcholder* is the
Union Bank of Canada, which ) > an ext« 2 per
cent This, with the regular . '<•»"> "' 2S per
rent . will make a distribution f »' 12 per rent .
or the bfsl in the hisloo' of the bank. Recent figures on the
dvdonds bv the Union are as follow. l^O* »»»»<»• ' «>"
cint.: 1910, 7'4: 1911 to 1912. 8: 1913 to 1917. 8. plus 1;
1918. 9; 1919, 10.
$3,000,000.00
PROVINCE OF ONTARIO
7-YEAR 6 PER CENT. GOLD BONDS
Sealed tenders endorse<l, "Tenders for Province of On-
tario Bonds," addressed to the undersigned, will be received
for the purchase of $5,000,000 (Five Million Dollars) seven-
year gold bonds of the above Province, dated 15th November,
1920, due 15th November, 1927, bearing interest at the rate
of six per centum per annum, payable half-yearly on the
15th November and 15th May. Principal and interest pay-
able in gold coin at the office of the Treasurer of Ontario,
Toronto, or at the Bank of Montreal, Montreal, Canada, or
at the agency of the Bank of Montreal in the City of New
Y'ork, U.S.A., at the option of the holder.
Bonds to be in denominations of $1,000 each, with
coupons attached, and may be registered as to principal
only.
Payment for 'Winds, and delivery thereof, to be made
at the office of the Treasurer of Ontario at the Parliament
Buildings, Toronto, on or before the 19th November, 1920,
less the amount of the deposit. Interim debentures will be
supplied on payment of the money, to be exchanged for the
definitive bonds on completion by the engravers.
Tenders to be addressed to the Honorable P. Smith.
Treasurer of Ontario, Parliament Buildings, Toronto, and
delivered not later than 12 o'clock noon on Monday, the 15th
day of November, 1920.
Tenders must be for the whole amount offered, and must
be accompanied by marked cheque for $50,000, to be applied,
in the case of the successful tenderer, in payment for bonds.
The highest or any bid not necessarily accepted.
Toronto, November "rd, 1920.
P. SMITH,
Treasurer of Ontario.
(.KOUP INSURANCE
The British Columbia Refining Company, with head office
in Vancouver, has taken out a group policy with the Sun
Life .Assurance Company which amounts to approximately
half a million dollars. Under the terms of the contract the
officials and heads of departments are assured for a flat
amount of $.1,000 each and all other employees for an initial
amount of $1,000, increasing by $100 for each year of con-
tinuous service up to the maximum of $2,500, and credit is
given for past scr\-ice. the company paying the entire
premium.
Comptroller Mitchell, of Edmonton, Alta., is endeavoring
to get all municipal employees covered by a group policy.
Toronto teachers are considering the adoption of a sys-
tem of group insurance whereby the entire staff of over
2,000 teachers will be able to secure life insurance without
medical examination. It is proposed that the fees be de-
ducted from the salaries of the teachers and paid out in one
single premium.
-tiniilius Jarvis & Co., Ltd., Toronto, have prepared a
security register which is available for their clients. It con-
tains bond interest tables and other information, and pages
niled for entering duta on purchases and sales, etc.
November 5, 1920
THE MONETARY TIMES
One of Four Millions
$
One
Child
(A Photograph Direct from the \Var-binckr;i Area)
Iper Month Preserves the Life of
Millions ol war orphans in Central Europe are growing
up undernourished and stunted. Thousands of them
are dying of typhus, tuberculosis and small-pox.
There is almost a complete lack of the nourishing foods
growing children need, of clothing, of doctors, nurses and medical supplies. The
condition of the children is pitiable in the extreme. Upon this coming gener-
ation depends largely whether these nations will be healthy and right-minded or
a hot-bed of anarchy and degeneracy — a menace to the world.
It has been found by experience that the cost of caring for a waif child is
approximately three dollars per month; that of the supplies that are required
by imports about one dollar is needed; and therefore the dollar that we
provide, together with the local support of local governments, local munici-
palities, local charities and local services practically preserves the life of
one child.
The British E?fipire War Relief Fund will be adminislered in Europe
by the British Red Cross in co-operation with the League of Red Cross
Societies. Send your contribution care of:
The Canadian Red Cross
C cheque
Enclosed find ■ money order tor )
(. cash
as my contribution to the Canadian Red Cross Society for European Relief.
Name
Address
Please send your contribution to the local Red Cross Branch or to The Canadian Red Cross. 410
Sherboume Street. Toronto.
278
32
THE MONETARY TIMES
Volume 65.
BANK OF MONTREAL
Notice is hereby given that a Dividend of Three Per
Cent upon the paid-up Capital Stock of this Institution has
been declared for the current quarter, payable on and after
Wednesday, the First Day of December next, to shareholders
of record of 31st October, 1920. Also a Bonus of Two Per
Cent, for the year ending ;!lst October, 1920.
By order of the Board.
FREDERICK WILLIAMS-TAYLOR,
General Manager.
Montreal, 19th October, 1920. 262
THE ROYAL BANK OF CANADA
DIVIDEND No. 133.
Notice is hereby given that a Dividend of Three Per
Cent, (being at the rate of twelve per cent, per annum) upon
the paid-up capital stock of this bank has been declared for
the current quarter, and will be payable at the bank and its
branches on and after Wednesday, the first day of Decem-
ber next, to shareholders of record at the close of business
on the 15lh day of November.
By order of the Board.
C. E. NEILL,
General Manager.
Montreal, Que., October 15th, 1920. 263
THE ROYAL BANK OF CANADA
BONUS
Notice is hereby given that a bonus of two per cent,
■opon the paid-up capital stock of the bank has been declared,
and will be payable at the bank anii its branches on and
after Wednesday, the l.'.th day of December next, to share-
holders of record at the close of business on the 30th day of
November next.
Shares not fully paid on the 30th day of November next
will participate in the bonus rateably to the amounts paid
«li..r..(>n
By Order of the Board
C. E. NEILL,
General Manager.
Montreal, Que, October 26, 1920. 270
llir. ( \N \1)LVN HANK UI (OMMlKiE
DIVIDEND No. 1.1".
Notice is hereby given that s dividend of Three per
€cnt. upon the capital stock of this Bank, being at the rate
of twelve per cent, per annum, has been declared for the
quarter ending 30th November next, together with a bonus
of one per rent., and that the same will be payable at the
Bank and its Branches on and after Wednesday, 1st Decem-
ber. 1920. The Transfer Books of the Bank will be closed
from the 16th November to 30th November next, both days
inclusive.
By Order of the Board,
THE RIORDON PULP AND PAPER COMPANY, LIMITED
COM.MON STOCK DIVIDEND No. 19
Notice is hereby given that a quarterly dividend of 2*^%
has been declared "on the Common Stock of the Company
for the quarter ending September 30th, 1920, payable No-
vember 15th, 1920, to shareholders of record at the close of
business on November 8th, 1920.
By Order of the Board.
F. B. WHITTET,
Montreal, October 21, 1920.
Secretarj'-Treasurer.
269
BANK OF HAMILTON
DIVIDEND NOTICE
Notice is hereby given that a Dividend of Three per
cent. (Twelve per cent, per annum) on the paid-up Capital
of the Bank for the quarter ending 30th November has this
day been declared, and that the same will be payable at the
Bank and its branches on 1st December next to shareholders
of record at close of business, November 20th.
By Order of the Board.
J. P. BELL, General Manager.
Hamilton, 25th October, 1920. 272
Condensed Advertisements
" Positions Wanted," .V per wortl : all other condensed advertisements
5c. per word. Minimum charge for any condensed advertisement. 65c
per insertion. All condensed adverEisemcnts must conform to usual
style. Condensed advertisements, on account of the very low rates
charfied for them, are paynhlc in advance; 50 per cent, extra if charged^
llUK INSPECTOR WANTED FOR ALBERTA. — A
well-established General Agency in Winnipeg, with good
connections, requires an experienced Inspector for Alberta,
with headquartei's at Calgary. Knowledge of territory is
desirable, but not essential, .\pply, stating fully qualifica-
tions, previous experience, salary required, and whether mar-
ried or single. Applications treated confidentially. Box
No. 357, Mpii.-Uvy Times, Toronto.
WANTED
Gent'ral agency or management of strong insur-
ance company for hail insurance in Western Canada.
Managed hail insurance companies since 1909 and
personally introduced one of most successful of
Canadian companies into hail insurance field in 1913.
Best results obtained. Low loss ratio record and
best of unsolicited recommendations from manage-
ment and directors. Know personally majority of
hail agents in Western Canada.
E. W. MIDDLETON INSURANCE AGENCIES,
II J Bank of Nova Scotia Buildings,
Winnipt-p. Manitoba. 273
JOHN AIRD.
General Manager.
Toronto. 16th October. 1920.
Allan. Killam and McKay, bond dealers, Winnipeg, have
issued a circular comparing the return on taxable and tax-
free bonds for a schedule of incomes.
November 5, 1920
THE MONETARY TIMES
JiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiMiiiiiiiiiiiiiiiMiinniMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiMiiiiiiiiniiiiiMiiiiiiiiiiiiiiiiiiiiiiiiuiii^
I CHARTERED ACCOUNTANTS |
^iiiiiiiiiiinMiiiiiiiMiiMnnnMiiiiiiiiiiiiiiiiniiiiiiiiiiiMnnniiiiiiiniiiiiiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiHiiiiiiiiiiiir
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OFFICES AT
Edmonton - - Alberta
Toronto • Ont.
CHARLES D. CORBOULD
Ckartered Accoontant and Auditor
ONTARIO AND MANITOBA
649 Somerset Block. VVinnipes
Correspondents at Toronto. London. Eng..
W. A. Henderson & Co.
Chartered Accountants
508-S09 Electric Railway Ckambcrs
Winnipeg, Man.
W. A. Henderson. C.A. J. J. Cordner. C.A.
•■Ormli.
>Co<)e
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Specialist on Taxation Problems
Bank of Toronto Chambers
LONDON - - ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 Confederation Life Building
Winnipeg
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:-
HAMILTON
WINNIPEG
CLEVELAND
Hubert Reade
& Company
Chartered Accountants
Auditors, Etc.
407 408 MONTREAL TRUST BUILDING
WINNIPEG
SERVICE
Thorne, Mulholland, Howson & McPherson
CHARTERED ACCOUNTANTS
ON Factory Costs
Kt» Production
T,^ftonBid«. TORONTO
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRIGGS & CO.
Ch<irtt,,;l Accouiitants. Audtlors.
Trustets.Ltguldators
Winnipeg, Toronto, Saskatoon, Moose Jaw,
Montreal, New York, London, Eng.
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Main 7014
LUMSDEN BUILDING - TORONTO. CANADA
F. C.S. TURNER & CO.
Chartered Accounlnnta
TRUST 4 LOAN BUILDING, WINNIPEG
CLARKSON, GORDON & DILWORTH
Chartered Accountants. Trustees.
Receivers. Liquidators
Merchant. Bank Bldg.. IS Wellington Street West Toron
G.T. Cljrk5
E. R. C Clarkson Establi-ihcd LIB* R. ,1. oilwoi
H. D- Lockhart Gordon
A. J. Pattison Jr. & Co.
Toronto Stock Exchanee '"^ %Tontreal Stock ExchanBc
Specialists Unlisted Securities
106 BAY STREET - TORONTO
1< W.Uiam-on.C.A., J U Wallace. C^A.
\ ,1 Walker, C.A. H A. Shr.ch C.A.
RUTHERFORD WILLIAMSON & CO.
Chartered AccounUmts. TruiUes ana
LUluid.itors
86 Ani-.LAinK Stbeet East. TORONTO
604 McO.LL Bu.tniNO. MONTREAL
Cable Address-'WILLCO."
Represented at Halifax. St. John. Winnipeg.
"The Monetary Times'
will be sent vou tor (our months on
our TRIAL SUBSCRIPTION plan for
Just send a dollai
$ l.OO
bill and yoi
lame and address.
THE MONETARY TIMES
Volume 65.
VALIDITY OF CONUITION IN TKL'ST DEED
Clause I'ruviding for Delay in Institutin); Action Held to be
KITective by British Columbia Courts
IN a recent case the British Columbia Court of Appeal
doci.led that a condition in a trust dwd postponinR the
right to enforce was valid, or, more fully, that a condition
in a trust deed postponinij the debenture-holder's right to
enforce his security until such time as the trustees fail after
notice to take steps to protect the interests of the deben-
ture-holders, is a valid condition, and an action cannot be
maintained in the absence of such notice.
The plaintiff sued upon a bond, one of a series issued
by the defendant company secuied by a trust deed by way of
mortgape. The individual defendant guaranteed payment of
the bond. The conditions precedent to the plaintiff's right
to recover his claim againut the defendant company were
performed with one exception. This condition is imposed in
the following manntr: The bond refers the holder to the
trust deed "for a particular description of the terms and
conditions thereof on which said bonds are issued and
secured," thus incorporating with the bond the conditions of
the trust deeil. so far as the above words are cffeitive for
that purpose.
Must Give Notice of Action
Article 21 of the trust deed declares that no bondholder
shall have the right to institute any proceedings for fore-
closure of the trust deed, or for the execution of the trusts
thereof, or for the appointment of a receiver, or for any
other remedy under the trust deed, or for the lien created
thereby, or otherwise, witiiout first giving notice to the
trustee. The article conUiins also another provision, partly
a repetition of the above, reciting that it is agreed that no
bondholder shall institute proc'eidinjs for foreclosure or for
the appointment of a receiver, or for the collection of any
of the moneys evidenced by such bonds other than upon
the terms and conditions and in the manner herein specified.
Macdonald, C.J. A., says in part: "The language seems
to me to Ik- sufllcient to debar a right of .u-tion by the bond-
holder otherwise than in conformity with the con<litions set
forth in the bond, namely, the giving nctice to the trustee."
"As regards the guarantor, I think his liability to the
plaintiff arose when default was made in paymen.; of the
bond and that, as to him, there is no obstacle in the plain-
tiff's way such as stands in his way in respect of the de-
fendant company. The juilgment r.gainst him should, there-
fore, ni)t be ilistiirlH'd. Kut as regards the defendant com-
pany, the appeal shmilrl be allowed."
DOMINUtN n:iOI ANKNT DIRECTOK.S MUST PAY
The sum of $;!0,000, with interest from 1902. was ordered
to be returned to G. T. Clarkson, ns liquidator of the Dominion
I'ormancnt Loan Onipany, by former directors of the com-
pany, in a juilgment given by .Justice Lennox October 9th.
The former din rtors from whom the mon'-y is to !«> obtained
ar<' K. r. Davic*. J. S. Deacon. .John Dunn, Hon. Thomas
( rawfoid. and W. .1 Jl. Galbraith ami Mary H. E. Lytic, exec-
utors of the estate of Rov. William Galbraith. The monev
was n-ceived as the .secret consideration of the .nale of th-
provinrial company to thi- Dominion Permanent, and Justice
I ' ng judgment, gavr ■: ' ■ -an that the far'.s
)i.i "nresentc<l to th^ iieral when th"
.■-a I'd. and that thi' ution was false
nn'l fraudulent.
JUDGMENT AGAINST FIRE COMPANIES
On October 11 the Superior Court of Quebec province
maintained Joseph Sauriol in his claims for fire insurance
under two policies— one held with the Liverpool, London and
Globe Insurance Co., Ltd., on which ?2,850 was adjudged to
be due, and the second with the Globe and Rutgers Fire In-
surance Co. of the City of New York, on which the court
awarded $2,250, being in each instance for loss suffered
through a fire which destroyed plaintiff's hotel and effects
on St. Heloise Street, St. Hyacinthe, on March 13, 1918.
Plaintiff declared that his total loss through the fire ex-
ceeded 114,000.
The cases were united for hearing, and the companies
contested the plaintiff's claims on the alleged ground that
he had misrepresented the value of his property, and in
this way prevented the companies from a proper appreciation
of their risk.
It was urged by the defence that the hotel and effects
were insured in the first instance in a third company for
$6,000, and that subsequently this amount was reduced to
$4,000. Taking this fact into consideration, when plaintiff
I'.pplied for additional insurance the Liverpool, London and
Globe Co. made it a condition of acceptance of the applica-
tion that there should be an expert valuation. Plaintiff
agree to this, and submitted that such valuation was made,
with results found to be satisfactory. The additional policies
were issued and he insisted that his present claims ought
to be met.
Justice Guerin said the evidence did not justify the con-
clusion of the defendants that the plaintiff had at any time
made false representations in order to obtain additional in-
surance. At most, the promise that he made was that an
inventory should take place of his household effects, and a
valuation obtained of the buildings which were to be insurfld
under the two polices. "But," added the judge, "neither of
these two companies thought it necessary to wait until this
was done before issuing the policies, and the promise was
for something which was to be done some time subsequent
to the date of the issue of the policies. But such promise
has not been pleaded for the defence."
In the light of the proof, the court condemned defendants
to pay the amounts claimed in each instance — $2,850 and
$2,250. with interest as from October 22, 1918, and the
costs.
OLD SUIT IS SETTLED
The end of litigation which has been taken into various
courts of British Columbia during the last ten years and the
material of which has formed the issue of several actions
at law. has just been reached in the Supreme Court of the
province, when R. T. Elliott, K.C., obtained judgment in the
suit brought against him by Ephraim E. Hodgson to recover
fa.'i.OOO. The. suit came to a sudden termination after Mr.
Elliott had been cross-examined by W. J. Taylor. K.C., counsel
for the plaintiff. Mr. Taylor rose and informed the court
that the i)laintiff was willing that judgment with costs should
be given for the defendant.
The plaintiff's claim was made by way of an action for
garnishee of the sum of $25,000. being the amount of claim
by plaintiff against Mr. Geo. B. French, which amount plain-
tiff alleged was owing by Mr. Elliott to Mr. French. The
sum in question was i)art of $100,000 which Mr. Elliott tes-
tified he had paid in 1910 to agents of Mr. French in full
acquittal of all claims against him by Mr. French in respect
of the commission paid to Mr. Elliott for the negotiation of
the sale of the Dunsmuir coal properties to Messrs. Mac-
kenzie and Mann in the same rear.
A writ for $150,000, alleged to be due under f;uarantces
undertaken on behalf of the IV-ti.'n.i W.tvtimi r.^.. has been
issued by the Hank of Toronto .i' .irbank. of
Petrolia. Ont.. and Mary Edna i 'ara. »al.
The bank claims the Petrolia W..„ . ,.;lf).2^.^. ^f
which $160,902 is stated to bo an overdraft of May 1, 1920.
The Canada Trust Co. is opening an office in Victoria,
B.C.. the local manager being Oscar Bass, solicitor. Besides
the head ofTire in London. Ont.. and branch at Toronto, the
company already has branches at Winnipeg, Regina and
Calgary.
November 5, 1920
THE MONETARY TIMES
iiiiiiiiiiiniiiiiiiMiiuiniiiiniiiiiiiiiiiiiiiiiMiniiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiinniiiiiMiiiiiiiiinniiiiiiiiiiiiiiiiiiiiiiitiniiiiiiiiiiiiiiiinuiiiM
I REPRESENTATIVE LEGAL FIRMS |
TiiiiiiiiiiiiiiiiiiiiiinitiiMiiiMiiniininiiiiiiiiRiiiiiiiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiininiiiiiiiiininiiiiiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiniiiiiiiiiin
BRANDON
J. p. Kilgour. K.C G. H. Foster
R. H. McQ^jeen
KILGOUR, FOSTER & McQUEEN
B>rritt«r>, Solicitors, Etc., BrandoD, Man.
Solicitor for the Bank of Montreal The
Royal Bank of Canada Hamilton Provident
and Loan Society- North
Assurance Company.
LETHBRIDGE, Alta.
Conybeare, Church & Davidson
Barristers, Solicitors. Etc.
Solicitors for Bank of Montreal. The Trust
and Loan Co of Canada. British Canadian
Trust Co.. 4c., 4c.
C. F. P. Conybeare. K.C.. H W. Church, M.A.
R. R. Davidson. LL.B.
Lethbridse - - ■ Alta.
PRINCE ALBERT
COLIN E. BAKER, B.A.
Solictor for the City of Prince .Albert
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal BIdg.
CALGARY - - ALTA.
W. P.W.Lent Alex. B..Mackay, MA. LL.B.
H. D. .Mann. M.A., LL.B
LENT. MACKAY & MANN
BarrUters, SoUellors. .Notarleis, tie.
305 Grain Exchange BldR . Calgary. Alberta
Cable Addreit.'Ltnjo." Western UniottCode
Solicitors for The Standard Bank of Canada.
The Northern Trusts Co. Associated Mort-
aage Investors. Ac. ^
Hon. Sir James Lougheed. K.C, K.C.M.G.,
R. B. Bennett. K.C. J. C Brokovski. K.C
A. .M. Sinclair. K.C. D. L. Redman, H. E.
Forster, P. D. .McAlpine. O. H. E. Might. L.
M. Roberts. CC.ible .Address "Loughnett")
LOUGHEED. BENNETT & CO.
Barristers. Solicitors, Etc.
ClM-ence Block. 122 Eighth Avemue West
CALGARY. ALBERTA. CANADA
WRIGHT & WRIGHT
Barristers, Solicitors, Sotaries, F.tc.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. AC. Rutherford, K.C.LL.D.
F. C Jamieson, K C Chas. H. Grant
S. H. .McCuiiiR Cecil Rutherford
RUTHERFORD, JAMIESON
& GRANT
Barristers, Solicitors, Etc.
514-18 McLeod BIdg. Edmonton, Alberta
JOHNSTONE & RITCHIE
Barristert, Sulicitors, Notarlei
LETHBRIDGE - Alberta
REGINA
MEDICINE HAT
G. F. H. LOKG.
LL.B.
J. \V. Slbigkt. B.A.
LONG
&
SLEIGHT
B
arristers, etc.
MEDICINE
HAT
and BROOKS, Alta.
MOOSE JAW
Grayson, Emerson & McTaggart
Barristers. Etc.
Moose Jaw - Saskatchewan
NEW WESTMINSTER
JOHN W. DIXIE
Barrister and Solicitor
405 Westminster Trust Building
NEW WESTMINSTER. B.C.
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
Cjllcd to Ontario Bar ISWP. New Vork Bar IRSl'
ELLISON. ELLISON & ERASER
Hi.-, ltron<l"nr. \r» liirU
ELLISON,GOLDSMITH& ALLEN
•i,-.I «>«! lOllh SI.. >r» lurk
Chauvin,Allsopp & Company, Limited
FARM LANDS
And other good property, EDMONTON DISTRICT.
VALUATORS
Ground Floor. McLeod BuiidinR - Edmonton. Alta.
A. L. Gordon. K <
H, E. Keown
Gordon, Gordon, Keown
and Collins
Barristers, Solicitors, &c.
Aiaon Building REGINA, Sask.
Solicitors for Impenal Bank of Canada
SASKATOON
C. I. OLHll
. B A
B M WAKt
.HO 1
DURIE & WAKELING |
Itai
rl»ler»
and SollcUum
Solicitors for the Bank of Hamilton.
Great West Permanent Loan Co.
Monarch Life Assurance Co.
The
The
f'ansila Ku
lldInK
Haitknioon, Cnr
ad A
Cha'i G Locke. .M.ijor J. .McAuRhcy.O.B.B.
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Bailding
SASKATOON - CANADA
VANCOUVER
D S.\V.illbrtdiie A H. Dnuelas J. G Gibson
BOWSER, REID, WALLBRIDGE
DOUGLAS & GIBSON
Barristers, Solicitors. Etc.
Sulicitors for Hink of M.intrcjl (R.inkof
BntKh North America Branch)
Yorkifairr Boildint. SZSStrmoorSt.. VaacoaTtr. B.C.
VICTORIA
A B
ULNLOl'
E
H. .M. I-OOT 1
(K.C.
or Alberta)
Menihcr of .Manitoba 1
McmhiT
of Nova Sc
and lintish Columbia |
tia. Alhc
rln .T'd Brit-
Hirs
ish C"
imh'.i n.irs
DUNLOP
&
FOOT
Barristers
Sol
citors
Notn
rics and Com
miasionera
612-613 Sn>
wnrd
BIdu.
Vic
orin, British Colum
bin, Cnnodn
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
THE MONETARY TIMES
News of Industrial Development in Canada
Some Manufaclurers art- Feelinn Trade Depression— Reduction of
Staffs is Necessitated-Textiie Mills in the East are EnRaging
English Workers— Dominion Foundries is Extending Hamilton Plant
Cl'RTAILMKNT of production and reduction of staffs is
now bcinK undertaken by several Canadian industries
located on the Canadian border. In a large number of cases
the organizations affected are branches of American firms.
The Ford .Motor Company of Canada has announced a cut
in working hours to four days a week, commencing No-
vember 1st, and continuing for an indefinite period. Gordon
M. McGregor, general manager of the company, explained
that the business depression which is affecting all parts of
the country is responsible. He declared the company pre-
ferred to keep the entire staff employed on a part-time basis
rather than lay off a percentage of the men. Already 10 per
cent, of the normal stuff has been laid off. The industrial
outlook, according to Mr. MacGregor, is anj-thing but en-
couraging. He does not expect a return to normal before
the end of February or March next.
Twenty per cent, of the men of the Kelsey Motor Wheel
Company have been laid off. M. G. Campbell, manager of
the company, said: "We are not quite certain of our next
course. We can work full time with the present staff and
close down towards the end of next month, or we can work
three or four days a week and continue throughout the
month. The third alternative is to secure more men, rush
through the remaining orders and then close down com-
pletely. Personally, I favor working three or four days a
week."
Forty per cent, of the staff of the Dominion Forge and
Stamping Co. have been laid off. Only one shift is now in
operation. Scant likelihood of an industrial rally is the view
of Pearson Wells, secretary-treasurer of the company. The
Tru8se<i Steel Company reports feeling the effects of sharp
depression. Immediate action has not yet been decided upon.
Textile Industry Also Depressed
In a review of the situation in his industry, H. B. Pea-
body, general manager of Peabody's, Ltd., Walkcr^■ille, Ont.,
stjited:—
"For some time the manufacturing of overalls in our
factory has been completely discontinued, and it is impos-
sible to prophesy when operations will t>e resumed. Our cotton
mill, however, is running on one-half capacity basis, and will
continue to do so for some time to come, providing circum-
stances at present prevailing rvmain as now. The only cause
that I can attribute to the general depression conditions now
prevalent is the fuel that the public, influenccil by articles
in newspnpiTs, have bi-en extremely wary in purchasing
goods, particularly the merchants engaged in selling these
goods, both wholesaler and retailer.
"It is absolutely impossible to make further rctluctions
in the price of ovemlls. Canadian Cottons, Ltd., have estab-
lished a price on denim and cotton material used in the
manuf.^cture of overalls at forty -four cents per yard. This
price will remain in effect until June, 1921, in order to com-
pete with prices established by American manufacturers on
these materials. The price set in Canada is extremely low.
and equals the ntininniin of any other country. We cannot
possibly manufacture again until the purchasing public
realizes the serious condition now prevailing, and also rcalir.cs
that further reductions in our prices arc impossible at the
present time,
"Growers of cotton in the I'liil^'rl Sfjitcs arc refusing to
sell their proflucts at the prescT- ••, and are hold-
ing out for at least a ten-cent in^ ind. This, when
the new crop is placed on the ni..i.v- ■. .can that greater
cost will be placed on the manufacturer."
While some sections of the textile industry are feeling
the effect of the trade depression, which has greatly affected
that industry in E-'eland and the I'nited States, it is evident
that in Eastern Canada, at least, some cotton manufacturers
are running at full capacity. Some of the mills, including
the Gibson mills of Canadian Cottons, Ltd., at Marysville,
N.B., are engaging operatives who have been thrown out of
work by trade depression in Lancashire, England.
A party of eighty Lancashire operatives, the majority
of the skilled workers from the mills in the Manchester dis-
trict, arrived in Quebec last week to take positions in the
Verdun mills of the Dominion Textile Co., Ltd., Montreal.
The party consisted of thirty men and fifty women. In all,
there were 400 operatives in Manchester ready to sail for
Canada, but as housing conditions in Hochelaga, Valleylield,
Magog and elsewhere are congested it was not considered
desirable to engage all at this time.
There has been a scarcity of operatives in the cotton
mills of Quebec province, Marysville and Milltown, N.B.,
during the summer, but with the closing of the farming
season and the general dullness in New England and Lanca-
shire textile centres, there will be less difficulty in keeping
the Canadian mills fully supplied with help during the
winter. The movement from Lancashire to Canada, although
limited, is the first of the kind in textile circles since before
the war. Another large party is expected to arrive from
Lancashire this fall.
Dominion Steel Foundries Extending
Building operations on an extension to the premises
of the Dominion P'oundries and Steel, Ltd., Hamilton, Ont.,
have been commenced. The extension will cost $1,. 500,000, and
will be completed, it is expected, by next summer. The out-
put will be increased from 5,000 to l.'i.OOO tons of steel
per day.
The Whitman and Barnes plant, one of the oldest and
largest industrial concerns at St. Catharines, Ont., has beer,
taken over by J. H. Williams and Co., the largest drop forge
corporation on the continent, with plants at Buffalo and
Brooklyn. The United States plants will serve the United
States market and the St. Catharines plant the Canadian
and export trade.
Before the end of the year the three selling offices of
-Armour and Company in Montreal will be closed. The big
Chicago meat packing firm is getting out of the Canadian
market entirely.
Copeland Flour Mills, Ltd., recently incorporated with
an authorized capital of ?2,000,000, with head office at Mid-
land. Ont., are erecting a large flour mill.
The tannery of the .John Palmer Company factory at
Fre<lericton. N.B.. has been closed temporarily, but the man-
agement said recently that it would be reopened in December,
if not before. Charles K. Palmer, the managing director of
the company, which manufactures oil-tanned footwear, said
the shutting down of the tannery- was because of general
business conditions and adoption of a policy being quite gen-
erally adopted in the trade "to go along quietly for the next
month or so."
Gasoline Plant for Toronto
Announcement has been made that British and Cana-
dian interests have secured an option on the patented pro-
cess for the manufacture of a special type of gasoline dis-
covered by Dr. .loseph Wilson Trotter, of Birmingham, Ala-
bama, and that within the next month they would establish
m Toronto the Toronto refining and Manufacturing Company
and n subsidiary concern, the Mona Oil Companv. with a
combined capitalization of five million dollars. A number of
local financial men are interested in the new undei-taking,
among them being Mr. H. M. Alexander, who has been ap-
pointed secretary-treasurer of the company. The location of
November 5, 1920
THE MONETARY TIMES
The Imperial
Guarantee and Accident
Insurance Company
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident Insurance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - - - S-200,000.06
Authorized Capital - - S1.00O,0O<>.00
Subscribed Capital - ■ SI. 000,000.00
Government Deposits $111,000.00
LONDON
GUARANTEE AND
ACCIDENT COY.. Limited
Head Office for Canada - Toronto
Hmpioycrs' Liability. El
. Contract. Personal Accident. Fideliti-
c. Internal Revenue. Sickness. Court Bonds.
Tcims anJ Automobile.
AND FIRE INSURANCE
The Western
Mutual Fire
Insurance Co.
Head Office - Didsb
Liry, Alberta
Preside,,
l-H. B. ATKINS
M.L.A.
PARKER R. REED.
LARGEST ALBERTA
Managing Director
FIKE MLTUAL
CANADIAN STRONG PROGRESSIVE
FIRE INSURANCE
AT TARIFF RATES
Merchants Casualty Co,
Head Office : ^'innipeg, Man.
most progressive cc
sion of the Dominio
ling the entire Uomii
npany in Canada,
and Provincial In
ion of Canada.
1 offered
SALESMEN_NOTE !
and health policy is the most libera
of $1.00 per month and up.
Covers c
Pays fo
Illness.
Fifty per cent extra if conBned to hospital.
Pays for Accidental Death. Quarantine. Sur-
geon Fees for minor injuries, also for deatL of
Beneficiary and children of the Insured.
Good Openingt for Live Agent*
E.istern Head Office. Royal Bank BldR. Toronto
Home Office Electric Railway Chambers.
Winnipeg. .Man.
Palatine Insurance Company
LIMITED
OF LONDON ENGLAND
Capital Fully Paid $1,000,000
Fire Premiums, 1919 3,957,650
Total Funds - 6,826,795
In addition toth; above there ^s the further Guarantee nf the Commercial
Union Assurance Compiny. Limited, whose funds exceed 5209.000.000
Head Office : — Canadian Branch
COMMERCIAL UNION BUILDING, iMONTREAl
W. S. JoPLiNc. Manager
Toronlo Office— 60 KING STREET WEST
Jones & Proctor Bros-. Limited, Agents
I Automobile-- 1 920"Season
I Policies to cover ANY or ALL motoring risks
i
I ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters
82-88 King Street East, Toronto
DOUBLE INDEMNITY BOND
nVlCE AS MUCH LIFE ASSURANCE FOR THE SAME PREMIUM
IF DEATH RESULTS FROM ANY ACCIDENT. ENQUIRE
NOUTH>XJ5STERN I.IFK
FARMERS'
FIRE & HAIL INSURANCE COMPANY
FIRE, HAIL AND AUTOMOBILE INSURANCE
Head Office, CALGARY. Siskitcbewtn Office, REGINA
M. P. JOH.VSTON Managing Director
Great North Insurance Co.
Head Office. I.O.O.F. BLOCK CAI.r.ARY, ALBERTA
THE COMPANY WITH A RECORD
OFFICKHS
I and .Manager ... W. J. WALKHR. Esq.
President ... ... J. K MclNMS. Esq.
President. Hon. ALBX. C. RUTHHRFORD. K C.
President ... Hon. P. E. LESSARD. M. L.A.
... J. T. NORTH. Esq.
AUDITORS
Iwards. Morgui A Co. ... ._ C«4«ar7
DIRBCTORS
w.Alex.C. Ruther- Edward J. FrcMn,
'ord. K.C-. a. A.. Esq-
LL.D.. B.c.L. J. K.Mclnnis.
in. P. E. Lnsard. W. J Walker. Esq.
■ L.A Geo. H. Ross. R.c
38
the plant has not been
has been secured on a
Road, with the necessa
will he in Toronto.
Matruire, Paterson
real, the subsidiarj' of
sent erecting a match
decision, however, has
of our proposed match
THE MONETARY TIMES
Volume 65.
definitely decided upon, but an option
hundred-acre lot on the Lake Shore
,ry railway facilities. The head offices
and Palmer (Canada), Ltd., Mont-
the large British company, is at pre-
splint factory at Pembroke, Ont. No
yet been arrived at as to the location
factory.
NEW INCORPORATIONS
Pacific-Atlantic Construction Co., Ltd., $.-|.000.000— MorlgaKe
UiKcounts and 1 inance, Ltd., $2,000,000— Canadian
Lihbej-()«ens Sheet Glass Co., Ltd., $L680.000
DOMINION charter.s have been granted to the following
companies, \vith head office and authorized capital as
indicated: —
Commercial Investigators, Ltd., Montreal, ?.50,000;
United Shoe Repair Shops, Ltd., Montreal, ?50,000; Atlas
Footwear, Ltd., Montreal, $10,000; Canadian Feature and
Production Co., Ltd., Winnipeg, $1,000,000; Bee Starch Co.,
Ltd., Montreal, $100,000; Canadian Har%ester, Ltd., Toronto,
$40,000; Canadian Skirmisher, Ltd., Toronto, $40,000; Cana-
dian Rover, Ltd., Toronto, $40,000; Pacific-Atlantic Construc-
tion Co., Ltd., Vancouver, $.5,000,000; Davics Studios, Ltd.,
Montreal, $49,000; Live Fish Co., Ltd., Quebec, $50,000; Cos-
mos Cotton Co., Ltd., Yarmouth, N.S., $fi00.000; Copeland
Hotel Co., Ltd., Pembroke, $100,000; Sheffield Engineering
Supplies, Ltd., Montreal, $50,000; Canadian Highlander, Ltd.,
Toronto, $40,000; Canadian Libbey-Owens Sheet Glass Co.,
Ltd., Toronto, $1,(;80,000; Canadian Queen Manufacturing
Co., Ltd., Vancouver, $100,000; Canadian Challenger, Ltd.,
Toronto. .<40,000; Canadian Logger, Ltd., Toronto, §40,000.
Provincial Charters
Provincial charters announced during the past week have
been as follows: —
Saskatchewan.— C. P. McCallum, Ltd., Regina, $10,000;
Mcunster Motor Co.. Ltd., Muenster. $10,000; Statts, Ltd.,
Regina, $20,000; Armsstrong and Beck, Ltd., Moo.se Jaw, $10,-
000; War Surplus Importing Co., Ltd., Saskatoon, $24,480.
Manitoba. — Howard Manufacturing Co., Ltd., Brandon,
$300,000; Campbell Grocen,-, Ltd., Winnipeg, $10,000; Ukra-
nia, Ltd., Gardenton, $20,000; I^ko .Mhapapuskow Minerals,
Ltd., The Pas, $1,000,000; Superior Elevator Co., Ltd., Win-
nipeg, $100,000; Joseph Trincr Co. of Canada, Ltd., Winnipeg,
$10,000.
Uriti.sh Columbia. — Ovcrwaitea (Nanoimo), Ltd., Van-
couver, $10,000; Island Wood Co., Ltd., Victoria, $10,000;
Kcldel System, Ltd., Vancouver, $20,000; Sydney Pout, Ltd.,
Vancouver, $10,000; Ramsay and Adams Foundry Co.. Ltd.,
Victoria, $20,000; Bell-Irving Crecry and Co., Ltd., Van-
couver, $250,000; Van-Fern Oil Co.. Ltd., Vancouver, $50,000.
Alberta.— Rendnll, Ltd., Edmonton, $20,000; South Al-
berta Exporters, Ltd., Calgary, $20,000; Taylor Grain Co.,
Ltd., Edmonton, $20,000; Wilson's Grocery, Ltd., Edmonton,
$10,000; Lothbridge Export Liquor Co.. Ltd.. Lcthbridge, $20.-
000; Jack Pine Lumber Co., Ltd.. Cftlgnry. $20,000; Local
Securities. Ltd., VcgrcviUe. $100,000; Lines Electric Co., Ltd.,
Drumhellcr, $20,000.
Ontario. — Perth Curling and Bowling Club, Ltd., Perth.
$25,000; Mortimer and Richmond. Ltd., Hamilton. $100,000;
Ross and Millar, Ltd.. Hamilton. $50,000; Mortgage Discount
and Finance. Ltd., Toronto. $2,000,000; Manitoulin Oil Co..
Ltd.. Toronto. $1,000,000; (;rcig-Morris, Ltd., Toronto. $40.-
000; Pulvennan Tirometer Co. of Canada, I-td.. Toronto,
$.•^00,000; Silica Granite PhhIucIs Co.. Ltd.. Hamilton, $200.-
tXiO; Se* and Smith Motors. Ltd.. Tor ■ «'i..>ooo; Fairy
Toys. Ltd.. Toronto. $40,000.
CANADIAN MINING INSTITUTE MEETING
Western Developments Feature This Year's Convention at
Winnipeg— What Oil Find Means to Alberta
THE 1920 meeting of the Canadian Mining Institute was
held in Winnipeg, October 25-27. Development of min-
ing in western Canada, especially as regards coal and iron,
featured the discussions. T. C. Norris, premier, welcomed
the delegates, and 0. E. S. Whiteside, manager of the Inter-
national Coal and Coke Co., of Coleman, Alta., presided.
Among the speakers, the program included: Prof. J. A. Allen,
.\Iberta University, on "Minerals of .\lberta"; Prof. J. S.
Delur>% Manitoba University, on "Rice Lake Mining Pros-
pects''; Prof. R. C. Wallace, on "The Flin Flon and Other ;
Mineral Deposits in Northern Manitoba"; F. E. Gray, editor,
Canadian Mining Journal, on "Western Coal Development
and Marketing"; T. R. Deacon, on "Uses and Development
of Pulvarized Coal"; George Bancroft, president, The Pas
Board of Trade, on "The Mandy Copper Mine"; J. P. Gordon,
of The Pas, on "Copper Lake Mineral Field"; J. Knobel,
Prince .A.lbert, on "Founding a Western Iron and Steel In-
dustry."
President's Address
Mr. Whiteside, in the course of his presidential address, |
said that in 1898, when the Canadian Mining Institute came ,
into being, it was quite certain that its founders would have
scoffed at the idea of Manitoba ever being a field in which
it might exercise its functions to useful effect. Mr. WTiite-
side said it was only within the last few years that Manitoba
had been regarded as anything more than a wheat-growing
area of the Dominion, the region whose wheat had made
Canada famous the world over. But, as if to prove her im-
partiality and to insure that every province of Canada should j
be possessed of mineral wealth, however richly endowed it :
might be with other natural resources, nature had establish-
ed within the borders of Manitoba an area which already had
been proved to contain mineral deposits of great value. He
said Manitoba had the beginning of what, he hoped, would
become an important and floarishing mining industry. Faith
in the future of that industry had justified the mining men '■
in Winnipeg in founding a branch of the Canadian Institute
of Mining and Metallurgy, which had become one of the most
active of all the organizations of the institute, he asserted.
Mr. Whiteside explained that one of the functions of the
institute is service through co-operation. The institute, with
associations of a like nature, exerts u. far-reaching and
eminently beneficial influence in the community in general by
reason of the spirit it animates, he said. The institute, he
asserted, should offer its services to the government. This
it had not failed to do in the past, but the opportunities
now were greater in this respect than ever before.
The necessity for more accurate information on Canada's
mineral resources was emphasized by Dr. Allen. He de-
clared that accurate information was required with refer-
ence to Alberta, because that province was on the verge of
what might be the greatest oil boom excitement that had
ever occurred on the .\nierican continent. The prospects
were most promising. Dr. .Allen said, for the occurrence of
a large producing oil field in the far north, and that already
many oil-seekers were preparing to strike north as soon as
the ice was thick enough for travelling. The great problem
in the immediate future to be solved was that of transporta-
tion.
F. E.-Gray called attention to the gap of 2,000 miles
which unfortunately intervened between the eastern coal
fields of Canada and the lignites of Saskatchewan. The gap
could bo bridged, he said, by the extension of deep water-
ways from the cast up to Ontario, and by the adoption by
the railways of a comprehensive plan for carrying coal from
the west. While the consumption of bituminous coal in
Canada was 29.000.000 tons annually, only 14,400.000 tons
were produced in Canada, but this could be raised to 20.700,000
tons from existing mines alone. The supplies in the east
were limited, hut those in the west were immense, and it was
there that the solution of the coal problem lay.
November 5, 1920
THE MONETARY TIMES
39
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $133,000,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful days lor life insurance salesmen,
particularly North American Life men. Our representa-
tives are placing unprecedented amounts uf new business.
All 1919 records are being smashed.
" Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey. Supervisor of .A^jencies.
North American Life Assurance Company
"SOLID AS THE CONTIN l-.NT '
HOME OFFICE TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assurances. New and Revived
Premiums on same
Assurances in Force
Total Premium Income -
Policy Reserves
Admitted Assets
Average Policy
SI, 211, 447. 00
43,890.00
3,458,939.00
109,586.03
211,497.00
•296,430 62
2,237,50
Collected in cash per 81,000 insurance in force
For particulars of a good agency apply to
ADAM REID, Managing Director Wir
31.75
1870 OUR GOLDEN JUBILEE 1920
One Hundred Per Cent. Increase in Five Years
The Mutual Life of Canada is celebrating its jubilee year by " roundlntt "
the two hundrtd million dollar mark, having doubled the amount of
assurances in force since the year 1915. This 100% increase in five years
is without doubt due to the unsullied record for fair, liberal and equitable
dealing with its policyholders, ard in the second place to the increasing
popularity of the mutual principle in life insurance. The mutual is
becoming generally recognized as the most economical, the most demo-
cratic and the most equitable system of life insurarce. The greatest and
most powerful life insurance organizations in the world are mutual, and
the Mutual of Canada, organized on that basis, is meeting with a similar
success. The assets of the ,Mutual are a source of safsfaction.
amounting at present to approximately 840.(100.000, guaranteeing evei y
contract and providing a substantial surplus.
BE A MUTUALISTI
The Mutual Life Assurance Co. of Canada
Waterloo
Ontaric
LIFE INSURANCE SERVICE
TUB ultimate success of a Life Insurance Company depends largely upon
•*■ what its policyholders think of the service they receive. The Continen-
tal Life has long since passed this test, and earned a high reputation for paying
claims promptly. 1920 will likely prove the best year in the Company's history.
Write for booklet. "Our Best .4llTf rllseri.." For Managcrspositions in On-
tario, apply wiih references, stating experience, etc., to 8. 8. WEAVEB.
Bastern snprrlnienileni, at llen<l onire
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
THE londonTife Insurance co.
Head Office ... LONDON, CANADA
Profit Results in this Company 70% belter than Estimalei.
POLICIES "GOOD AS GOLD."
((
Big Business
)?
The Great-\X'esl Life Assurance Company is
writing very considerable " Big Business '" —
large personal policies — corporate protection
— firm insurance.
Such business is only placed after the strictest
investigation and is, in itself, a strong
endorsement.
THE GREAT-WEST LIFE ASSURANCE COMPANY
HEAD OFFICE
WINNIPEG
The Western Empire
Life Assurance Company
Head Office: 701 Somerset Building, Winnipeg, Man.
SASKATOON
EDMONTO.\
\ ANCOt \ HK
MAHAN-WESTMAN, LIMITED
SUCCESSORS ro T. MrMKnini, limithu
FINANCE - INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
Dr. J. W. .MAHA.M JA WHST.MAN
President .Man.iKinu Director
"^
rE have 450 good bu
portion ol Alberta
Store to a small C
sinesses for sale in
Everything from
onfectionery.
he central
a General
f you want a business in Alberta you wa
nt us.
WHYTE &
CO., LIMITED
111
Busin
Pantages Buildii
.,5 Broker,
ig - Edmonton.
Alberta
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
HE MONETARY TIMES
Volume 65.
News of Municipal Finance
Alberta and British Columbia Municipalities Seeking New Sources of Revenue-
Montreal Tax Collections I'roceedinu Satisfactorily— Redemption of Calgary Tax
Sale Property Produced Poor Results— Athabasca Wants to Realize on Arrears
SOME western municipalities, notably in Alberta and
Uritish Columbia, are endeavoring to obtain permission
from their respective provincial governments to increase
their revenue. At the Union of Alberta Municipalities' con-
vention, which is to be held next week, a special committee
will submit a resolution, asking the province to permit cities
and towns to collect considerable of the taxes paid to the
government to be placed to their own account. The resolution
will ask that the municipalities be allowed 50 per cent, of the
automobile licenses collected, 50 per cent, of the police court
fines which the government collects, and that they be granted
the right to collect a 5 per cent, increment tax in addition
to the 5 per cent, collected by the government at the present
time.
Victoria. B.C., which has repeatedly brought before the
provincial government the question of new sources of revenue
for the city, but without success, will again demand that the
government take some action in this matter. It is not the
council's intention to exactly increase the civic revenue, but
to relieve the present taxpayers, who are feeling the strain,
by drawing on other sources. Alderman Sargent, chairman
of the finance committee, has made the following comment
in regard to tho situation: —
"Some people have criticized us for our tax sale policy.
1 think it has been the best we could devise under the condi-
tions we have had to accept, but, apart from its other merits,
I believe that the tax sale we have just concluded will be of
value in convincing the government that the municipalities
cannot any longer be neglected. This tax sole, which resulted
in the city having to take over some 600 lots, which will not
be revenue-producing until they are sold, has been a demon-
stration that there has got to be a big revision in the tax
system. It has conclusively proved that taxation of land has
been overdone, that the property-holders are overburdened,
and that the onus of maintaining the financial obligations of
the city rests unfairly on the shoulders of one section of the
population, namely, those who pay the taxes on land and im-
provements. Long ago we reached the parting of the ways
when the government would have been justified in making
it possible for the municipalities to extend their scope of
taxiilinn and draw upon new sources of income. I feel that
we iiic now close to the point when there simply must be
II revmion. and 1 am hoping that this tax sale will make as
strong an impression on members of the government as it
has on myself and other members of the council."
Vancouver will shortly be engaged in finding out just
where they can draw more revenue from, and how much they
can draw. It is understood that a committee of fifteen has
been formed, and will be assisteil in their efforts by Dr. H.
Mrittain. of tl\e Bureau of Municipal Research, Toronto.
Should these municipalities be able to convince the gov-
ernments of their rights, they will be in a position to greatly
strengthen themselves, and will also be able to rtnluce their
debt and improve their credit standing in the money markets.
The pnniruial governments, it is hoped, will do all in their
power ti> liolp them achieve this end.
Kdmonton. .\H«.- City utility deportments show a net
loss of $12'J,K95 for the nine months ended September 30th.
City ofllcials realize the seriousness of the situation ond are
now considering an adjustment.
V;ii. I-'' — The city will i ^ ' '-rnoo of its
own 1 -•. which carr>- 7 rest. To
make ' , some unexpendo'S mces now
in the Viank .ti,.: drawing only 4 per cent, interest will be used.
Brockville. Ont. — .According to the report of the as-
sessors, the city's assessment for 1921 reaches a total of
$7.07,>5.TO.=>, an increase of t461.04.'i over this year. The in-
crease is largely in land improvements and $75,000 income
assessments.
Athabasca, Alta. — The municipality has applied for
action by the commission in regard to twenty subdivisions .
on which there are arrears of taxes amounting now to some
?70.000. .-^ full investijjation into the standing of each of
the subdivisions will be made by Mr. Martin, commissioner. '
He will then give decisons either in the direction of reducing
the tax arrears or cancelling the subdi\asions, the effect of ■
the former action being that the municipality will be able in
many cases to realize on the delinquent property by putting
it up for tax sale.
Calgary, Alta. — The city is in a rather unfortunate posi-
tion regarding pi'operty redemptions. Less than $150,000
out of approximately $1,500,000 had been received by the
city treasurer's department on property redemptions up till
October 22nd, the last day set by law for the redemption of
property included in the tax sale lists.
This means that property upon which nearly a million •
and a half of taxes is due will go under the hammer at the
tax sale on December 4th, or has already passed into the
hands of the city by virtue of failure to pay tax sale dues.
It means that four million dollars' worth of property is likely
to come into possession of the city, some of which is very
valuable vacant property in the heart of the city, property
which, in the boom days, would have sold for anywhere from
$500 to $2,000 a foot. The policy of the commissioners is to ;
retain valuable property until something like value can be
received for it, but the problem of meeting the loss in revenue
from taxes on this property will be one to be faced by the
incoming council, though some effort has been made by this
year's finance committee to make provisions for new revenues
as far as possible.
Montreal, Que. — Assistant Treasurer Collins has given
out some interesting figures regarding tax collections. O'l :
the 1919 arrears the amount collected was $2,397,838; on the
1918 arrears, the amount collected was $1,577,584. There is
a big falling off for the collection of the 1917 arrears, the
sum being $33,724; on the 1916 arrears the amount collected
was $7,530, and on the 1915 arrears the collections amounted
to $2,027.
Despite the heavy collections on the 1918 arrears, there
was still due on October 20th last, for the year in question,
the sum of $469,625. In October, 1919. the" amount due for
the property taxes of 1917 was $303,878. The amounts out-
standing for 1918 are composed largely of contested asseas-
ments, and also the taxes due on properties sold by the sheriff
at the recent sales, for which returns have not yet been made.
At the present time the collections on the 1920 tax rolls
continue to come in well, and these collections of the realty
tax will continue, as in past years, to be paid in at the city
hall in fairly large amounts. On October 20th, 1920, the
amount outstanding in the realty lax for 1919 was $2,357,171,
and on October 'iOtli. 1919. the amount due on the same tax
was $2,603,274 on the 1918 accounts, by which it may be seen
that the collection of this revenue is more satisfactory than
it was a year ago.
COBALT ORE SHIPMENTS
^ The following are the shipments of ore, in pounds, from
tobalt Station for the week ended October 29th-—
Dominion Reduction Co., 65,000; Temiskaming Mining
(«., 106.80,; Coniagjis Mine, 60.619; O'Brien Mine, 64,033;
nVT/ ,^"'ri"^'"" °^ Canada, 66,938; McKinley-Darragh,
QQ-rS; tI ''"'^' ""'*'"*'= Nipissing Mine, 279,680. Total,
;r ^.;„ ^''^"' ''"'"' -January 1st is 23,261,620 pounds,
or 11,6.!0.8 tons.
November 5, 1920
THE MONETARY TIMES
C.P.R. BUILDING
TORONTO
nOUSSLRWOODv°G)MPANr
INVUTMCNT BANHER*
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
REAL ESTATE
Farm Lands City Properties
Building Management Rentals
OSLER, HAMMOND & NANTON
WINNIPEG
"What the Reduction in the Cost
of Livins Means to the Bond Market'
We have prepared a concise pamphlet which
discusses this subject. We shall be glad
to send copies to investors upon request.
Harris, Forbes & Company
INCORPORATED
C. p. R. Building 21 St. John Street
TORONTO MONTREAL
\¥/E consider this an opportune time to
invest funds in conservative, safe,
high-yielding securities.
Write or telephone us for particu-
lars of such investments which
we can offer to yield an interest
return of from 8 to 10 .
T. S. G. PEPLER & CO.
Investment Brokers
106 BAY STREET TORONTO
— - _ -
Province of Ontario
Guaranteed Coupon Bonds
of the City of Kitchener
to yield ,,, . .„, 1
WrxU or Phone for
6.40% Descriptive Circular
C. H. BURGESS & CO.
Government 14 King St. East Tel
Municipal Bonds Toronto Ma
ephone
n7140
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
INDUSTRIAL SECURITIES
300 Nanton Building, Winnipeg
TRUSTEE INVESTMENTS
Yield 6%-7%
Correspondence Invited
J. F. STEWART & CO.
106 BAY STREET - TORONTO
TclephoncB: Adelaide 714 71S
THE MONETARY TIMES
Volume 65.
Government and Municipal Bond Market
Alberta Issue Goes to Inited States Investors British Columbia to Float
Domestic Loan at the End of the Year— Ontario Asking for Another Loan —
Lethbridjre Irrigation l^nds Will Soon be on the Market — Some British
Columbia Districts Will Also Approach Provincial Government for Aid in Irrigation
ANOTHER Canadian bond issue has gone to United States
investors in the sale of $1,000,000 6 per cent. 10-year
securities across the line by Harris, Forbes and Company,
Incorporated, and the National City Company. The bonds
were offered in New York at 02%, which is on a basis of
sliKhtly under 7 per cent.
British Columbia is going to float a $.5,000,000 domestic
loan at the end of the year, according to advices from Vic-
toria. The proceeds will be used for roads and for building
extensions to the British Columbia University. This is the
first loan of its kind to be made by the province, and it seems
is rather a large one to commence with. To borrow such a
large amount now would hardly be possible, but times may
change materially before the end of the year. It is under-
stood that the provincial treasurer has been sounding bond
dealers in the province and those most closely in touch with
the market, and the fact that the loan is to be made at the
end of the year would seem to indicate that the Canadian
bond market will be in a fairly good condition to receive
large offerings.
Winnipeg's local loan is going as well as can be expected.
Up to the present time ul>out $102,000 of the securities have
been disposed of at 96.6:t. At the present time Greater Win-
nipeg Water District bonds are being offered at 92.87 and
interest, yielding 6.65 per cent., by A. E. Ames and Company.
Irrigation Bonds
As sbon as the provincial treasurer of Alberta has given
his approval the $."),100,000 7 per cent. 30-year Lethbridge
Northern irrigation bonds will bo offered for sale. The
securities will be offeri-d to investors in both Canada an<l the
United States, it is understood, but it is expected that the
greater number will find their way across the line.
This new irrigation scheme has established o precedent
which may become very effective. At a meeting of the .Asso-
ciated Boards of South-cast British Columbia at Fernie, B.C.,
recently, the (|uestion of bonding land for irrigation purposes
was brought up. It was urged that the provincial govern-
ment 1)0 asked to lend its aid to irrigation projects which
would bring into cultivation the large areas now lying waste
in the Kootenay valley. Other similar proposals were olso
presented. It was maintained that the advantages to the
province would justify it in extending credit where private
capital could not In- secured.
Coming OITcrinRg
The following is a list of debentures offered for sale,
particulnri of which have been given in this or previous
issues:—
Tenders
Borrower. .\mount. Kate*:;. Maturity. close.
Oshown, Ont $ 78.74.3 6 l.l-instal. Nov. 8
Rapid City, Man. . . . 2,000 7 10-insta1. Nov. 8
.Mdcnburg, Sask., R.
Telephones 2,500 8 16-insUl. Nov. 10
Amherst. N.S 40,000 6 SO-yonrs Nov. 10
Moose Jaw, Snsk. . . . 100,000 fi S-yoars Nov. 10
Novn Scotia 2,000.000 6 Optionol Nov. 10
Parry Sound, Ont 93,745 6 15 A .30-in»t. Nov. 10
Toronto. Ont 2.853.000 6 Serials Nov. 10
Amos. Que 56.000 6 20-instal. Nov. II
Tcmi.okaming. Que. . 24.500 6 Optional Nov. 11
Renfrew County. Ont. 150.000 6 20-instal. Nov. 12
Langenburg. Sask. .. 9.500 8 l.'i-years
Ontario 5.000.000 6 7-year» Nov. IB
Yellow Grass. S«ak.. 12.000 7 10-instal. Nov. 15
Langenburg. Sask. — The Hohenlohe Rural Telephone Co.,
Ltd., is offering for sale $9,500 8 per cent. 15-year deben-
tures. H. Fieselei-, Langenburg.
Rapid City, Man. — The town is asking for tenders until
November 8th, 1920, for the purchase of $2,000 7 per cent.
10-instalment debentures. C. G. Murray, secretary-treasurer.
Parry Sound, Ont. — Tenders are being called until No-
vember 10th, 1920, for the purchase of $75,000 6 per cent.
30-instalment debentures and $18,744.65 6 per cent. 15-instal-
ment debentures.
.Moo.se Jaw, Sask. — Tenders are being asked until No-
vember 10th, 1920, for the purchase of $100,000 6 per cent.
3-year bonds. Securities will be made payable in Canada only,
or in both Canada and the United States at the option of
the purchaser.
Toronto, Ont. — Sealed tenders will be received until noon,
November 10th, 1920, for the purchase of $2,853,000 6 per
cent, serial bonds, due 1921-1950 (approximate average ma-
turity of the whole, IIV^ years). (See advertisement else-
whei-e in this issue.)
Ontario. — The province has not yet finished borrowing
for this year. Tenders are now being asked until November
15th, 1920, for $5,000,000 6 per cent. 7-year gold bonds,
dated November 15th, 1920, and due November 15th, 1927.
Securities are payable both in Canada and the United States.
(See advertisement elsewhere in this issui?.)
.\mherst. N.S.^Tenders will be received until November
10th, 1920, for the purchase of $40,000 6 per cent. 30-year
bonds. The securities are dated November 1st, 1920.
are in denominations of $500, and the proceeds of the issue
will be used for hospital extension. R. D. Crawford, town
clerk and treasurer.
Nova Scotia. — The province is asking for bids on $2,-
000,000 G per cent, bonds until November 10th, 1920. Alter-
native offers must be submitted as follows: On 20-year
securities payable in Canada only; on 10-year securities pay-
able in Canada and United States; on 5-year securities pay-
able in Canada and United States.
Debenture Notes
Stratford, Ont.— .•Vn amount of $50,000 will be borrowed
for current expenditures.
Paris. Ont. — The council has authorized the issue of
$1 1 000 ilebentures for sidewalk purposes.
Port Colborne. Ont. — Ratepayers have carried a by-law
to purchase a park at the cost of $20,000.
York County, Ont..— The county council, which had
authorized a boml issue of $20,000 to carry on the work of
establishing a municipal home, has authorized an additional
amount for the same purpose.
Watford. Ont. — .■Ml fenders were rejected which were re-
ceived for the $.V2.000 5'*. per cent. 30-instalment debentures.
F.tnhicoke Township. Ont.— A by-law has been passed by
the council, authorizing the issue of $26,000 debentures for
school purposes in I.slington.
C.lnce Bay. N.S.— On November 10 ratepayers will be
asked to vote on a $6,000 money by-law, authorizing the
purchase of new water meters.
Winnipeg. Man.— The municipal council has passed a by-
law authori/.mg the borrowing of $30,000 for school purposes
in the school district of Woodlawn.
Calgary .Alta.— At the coming civic elections a bv-law
nuthorizmg the borrowing of $265,000 to adjust the finknees
of the street railway, will be submitted. During the year
and up to December 20. 1920. there will have been expended
the sum of $256,309 on capital account, and it is estimated
November 5, 1920
THE MONETARY TIMES
6.30%
Until October 1st, 1940
Markets may come and markets may
go, but purchasers of Province of Sas-
katchewan 6% Gold Bonds to-day at
96.62 and interest are assured of 6.30%
for twenty years.
These bonds afford an excellent oppor-
tunity to dispense with the necessitj'
for frequent reinvestment. They also
guard against any changes in the
money market that may occur in years
to come.
Mail your order or write for par-
ticulars.
Wood, Gundy & Company
Toronto
Montreal
Winnipeg
Canadian Pacific Railway Building
Toronto
Saskatoon
New York
London, Eng.
■^.^».^-w!^-«.-^-p.«A^^*»
►5
ww-WAKM-m^FS>mwmi
The Romance of Statistics
Statistics ? " Dry as dust," you may say.
So they arc — unless you can grasp and inter-
pret them.
We have a Statistical Department run hymen
who do grasp and who can interpret Statistics,
on :
bomeitic and Foreign Trade,
Government and Municipal Bonds
Hubiic Vlility and Industrial Corporations,
All kinds of Securities.
If you want information upon which to base
your judgment regarding investments, write
to us for it.
This is part of our free service to Investors.
Our profit on the transaction is that it creates
goodwill for us, and wins friends and clients.
If you are not already receiving it, wc would
like to place your name on our mailing list
for Investment Items.
W rite and ask us to do so.
Royal Securities
^ 'corporation
U I ^ « -r E D
MUNTKHAL
TORONTO HALIFAX ST. JOHN. N.B.
WINNIPEG VANCOUVER NEW YORK
LONDON. Eng.
}k^M.'A>2^'A.liJ.'A.'lJAPJrz:?£:^Jtf^^.'^^Jrii^J^^^-^i^^'^l»l^»^
W- L. .McKI.SNON
DliAN H I'ETTES
We recommend the purchase of
VICTORY BONDS
at the following prices —
MATURITY
PRICE YIELD BASIS
1922 .
98 and interest 6.38',,
1927 .
97 and interest 6 00' „
1937 .
98 and interest .S.68'V,
1923
98 and interest 6.24%
1933 .
96i and interest 5.89%
1924 .
97 and interest BSe-Jo
1934 .
93 and interest 6.26%
Orders may \
e telephoned or telegraphed at our expense.
W. L
McKINNON & CO.
McKinnon Bu
Iding - TORONTO
We beg to announce that we have been
elected to membership in the
TORONTO STOCK EXCHANGE
and are prepared to execute orders on the
Toronto. Montreal and New York
Stock Exchanges.
R. A. Daly a. Co
Long Term Bonds
for Business Men
Yielding! from 6.25. to 1.2S%
These bonds are the obhgations
of oid established Cities and
Municipalities which have always
paid their debts promptly.
Full information on request
W. A. MACKENZIE & CO.
Coyfcrnmcnt and Municipal BonJt
42 King St. West
TORONTO -:- CANADA
THE MONETARY TIMES
Volume 65.
that there will be a loss on the sale of debentures to the
amount of $8,091, making: a total of $205,000 to be made up.
Freeman Town-ship, Ont.— Tenders will be received until
November 27, 11)20, for the purchase of $10,000 7 per cent.
20-instulment school debentures. E. J. Barnes, township
clerk.
Saskatchewan.— The following is a list of authorizations
granted by the Local Governments Board from October 9 to
23, 1920:—
Schools— lO-ycars not exceeding 8 per cent, annuity:
Churchill, $1,865; Mulberry. $4,300; Sleaford, $7,000. Find-
later, $7,000 8 per cent., 20-years' annuity. Fair%vell Creek,
$3,000 8 per cent. 15-years' annuity.
"" Rural Telephones— 15-years 8 per cent, annuity: Arling-
ton, $1,050; Glenford, $3,800; Heron. $600; Hohenlohe, $9,500;
Mikado, $10,000; Manna, $4,100; Bulyea, $550; Wilmot, $4,300;
Sylburn, $10,000; Turtleford, $42,000.
Village— Dofoe, $3,200 8 per cent. 10-instalmcnt. for im-
provrmcnt.
Bond Sales
.Manitoba.— It is understood that the N*w York Life
Insurance Company has completed arrangements to take
$300,000 of the province's bonds, which mature in 1923.
Courtney, B.C. — Pemberton & Son recently purchased
$30,000 7 per cent. 20-year coupon gold bonds, and are now
offering them in denominations of $1,000 at 88.29, to yield
8.20 per cent.
Kentville, N.S.— Mahon Bond Corp., Ltd., has purchased
$31,100 6 per cent. 25-year debentures at a price which is on
a basis of about 6.47 per cent. H. M. Bradford and Co. bid
91.36; the Ea.stern Securities Co., Ltd.. bid 93.37, while the
Home Bank of Canada offered $26,963.70. The securities are
now being retailed at 97 and interest, yielding 6'i per cent.
Thorold, Ont.— R. C. Matthews and Co. have been
awarded $20,000 6 per cent. 10-year debentures at a price of
94.60. At this rate the municipality pays about 6% per cent.
for its money. Harris, Forbes and Co., Inc., bid 94.37; Can-
adian Debentures Corp., 94.36; W. A. Mackenzie and Co.,
94.36; A. E. Ames and Co.. 94.13; and C. H. Burgess and Co.,
93.31.
Kitchener. Ont.— C. H. Burgess and Co. have purchased
$l:tr),000 6 per cent. 20-instalmcnt debentures at a price of
95.27. which is on about a 6.60 per cent, basis. The bonds
are guaranteed by the province, and the proceeds of the
issue will be used for housing purpuscs. Other tenders re-
ceived were: —
N. A. MncDonald Co . • 95.249
Harris, Forbes and Co.. Inc 95.177
Dominion Securities Corp 94.491
A. E. Ames and Co 94.39
Wood. Ciindy and Co 94.19
Brorkvillr. Onl.— The town hns awarded its $37,500 6
per cent. 10-yr:ir issue of debentures to A. E. Ames and Co.,
at 06.09, which is on about a 6.53 per cent, basis. Bidding
for the issue was very keen, ns will be seen from the follow-
ing list: —
v A. E. Ames and Co 96.09
Harris. Forbes and Co., Inc. '.'.'i."!
United Financial I'orp.. Ltd, ;i."i.673
A. Jarvis .nnd Co. . . . '.''1.48
(\-innilinn Debentures ('...i •'."..442
Wood, Gundy and Co. ■'.'•.31
X .A. MacDonnld Co '"•.249
Dominion Securities Corp. ''."•.136
W. .\. Mackenzie and '" '">11
C. H. Burgess and Co. '1.91
R. C. Matthew.o and C" '1.60
.Mberta.— Bidding for the $1,000,000 6 per cent lO-yenr
'.All. Is I'f the province was very keen, ns will be seen from
f tenders given below. Harris. Forbes and Co., Inc.,
and the National City Company, jointly, were awarded the
bonds at 100.523, which is on a basis of about 5.90 per cent.
Harris Forbes and Co., Inc., and National
City Co 100.528
Wood, Gundy and Co 99-97
Dominion Securities Corp., and Wm. A. Read
and Co 99.18
W'ells-Dickey Co., and Halsey, Stuart and Co. 99.80
Blythe, Witter and Co 99.21
A. E. Ames and Co 98.593
Canada Bond Corp., Rutter and Co., A. B.
Leach and Co., and Paine, Webber and Co. 98.51
British-.^merican Bond Corp., Seattle National
Bank, Carstens and Earles, and Girvin
and Miller 98.455
Housser, Wood and Co., and Associates 98.45 .
Rene T. Leclerc , 98.13
W. Ross Alger and Co., and Morris Bros. . . . 97.81
Edward Brown and Co., and the Minnesota
Loan and Trust Co 97.74
W. A. Mackenzie and Co., R. A. Daly and Co.,
and Drake, Ballard and Co 97.71
A. Jarvis and Co., Nesbitt, Thompson and Co.,
First National Co., of Detroit, and the
Canadian General Security Co 97.36
W. L. Ross 97.21
Morrow and Jellett, Security Trust Co., and
Providence Savings Co 97.14
C. H. Burgess and Co. and the Canadian De-
bentures Corp 96.72
Ferris and Hardgrove 96.50
Ford City. Ont. — The Dominion Securities Corp. has
been awarded $50,000 6V2 per cent. 20-instalment housing de-
bentures at 99.082. A bid was submitted by W. A. Mac-
kenzie and Co. for 99.11, but was received too late, o\ving
to delayed delivery, for which the Mackenzie company was
not responsible. In addition to these, A. E. Ames and Co.
bid 98.79, and Wood, Gundy and Co., 98.58.
Saskatchewan. — The following is a list of debentures
reported sold from October 9th to 23rd, 1920: —
School Districts. — Ranger, $4,000 10-years 8 per cent.,
Perryville, $4,500 15-years 8 per cent., Patten, $4,400 15-
years 8 per cent., Llanvair, $4,000 10-years 8 per cent.,
Thule, $3,800 10-years 8 per cent., Ringleton Firs, $4,000 15-
years 8 per cent.; Waterman-Waterbury, Regina. Eskbank,
$7,500 20-years 8 per cent.; "Various," Eskbank. Fruitvale,
$25,000 20-ycars 8 per cent.; Saskatchewan Life Insurance
Co. Young, $16,000 20-years 8 per cent.; Jas. Priel, Saska-
toon. Khedive. $2,000 20-years 8 per cent.; Niklos Reilter.
Barker, $5,000 20-years 8 per cent.; locally. Scarpe, $900
10-years 7 per cent.; Miss JI. Sanderson, Prince Albert.
Alameda. $5,500 20-years 8 per cent.; J. R. Trompour.
Towns.— Davidson, $9,700 15-years eVs per cent.; locally.
Moosomin. $4,500 10-years 7 per cent.; locally. Maple Creek.
$1,000 10-years T'a per cent.; sold locally.
Rural Telephones.— .Arabella. $26,400 15-years, 8 per
cent., Fillmore. $3,500 15-years 8 per cent.; W. L. McKinnon
and Co.. Regina. Baljennie. $7,500 15-years 8 per cent.; J. T.
Rose. Regina. Beaver, $11,900 15-years 8 per cent.; Pirt and
Pirt, Regina. Castleton-Pennock, $6,400 15-years 8 per cent.;
R. O. Berwick and Co., Regina. Dunblane! $900 15-years 8
per cent.; W. D. Craig, Regina. Big Ami, $1,700 15-years
8 per cent.; W. B. Perkins, Milestone. Bangor., $4,700 15-
years H p.r cent.; Wood, Gundy and Co., Saskatoon. Wes-
tasto Hill. $7,000 15-years 8 per cent.; T. W. Brown.
Villngo.— Holdfast, $1,000 5-y ears 8 per cent.; A. Duesing,
Kau Claire. Wis.
N. A. Macdonald and Co., Ltd., investment bankers, affi-
liated with N". A. Macdonald and Co., Inc.. of Buffalo, Lock-
port, Rorhefter and Hartford. U.S.A.. have opened a third
Canadian office at .".".-nT King St. W., Toronto, under the man-
agement of Robert R. Rngi-rs. who for several years has
been connected with A. .):ir\is and Co., Toronto.
November 5, 1920
THE MONETARY TIMES
45
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7 Wo
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B.
HALIFAX, N.S.
Western Municipal & School
6% '^^fo^™^^^ 71%
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
CORRESPONDENCE
INVITED
UNION TRUST BUILDING
WINNIPEG
Manitoba Finance Corporation Ltd.
Investment Brokers, Financial Agents, Etc.
Head Oftice :
410-11 Electric Rly. Chambers - Winnipeg, Man.
Phone Garry 3884
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba, Alberta Floar Mills, Limited
Vancouver District Property
Expert Estate Agents and Managers
Property Bought and Sold, Valued. Rented and
Reported on. Correspondence invited.
WAGHORN GWYNN Co., Ltd. Vancouver
X
MACAULAY & NICOLLS
INSURANCE OF ALL CLASSES
ESTATES MANAGED
746 Hastings Street - VANCOUVER, B.C.
C. H. MACAl'LAV J P. .MCOLLS. Not.iry Hiil'lic
f ■ ■■■
■ I 13
Number 6
A Service for Investors
As the sixth in a series
of articles on leading
Canadian companies,
the current number of
our Monthly Review
contains an analysis of
the position of Bromp-
ton Pulp and Paper
Co. Limited.
Previous articles in this
series reviewed com-
panies such as Spanish
River, Dominion Tex-
tile and Asbestos.
Investors have found
them invaluable be-
cause they contain in-
formation not readily
available elsewhere.
It will be a pleasure to send
you a copy of this review on
Brompton and to piaceyour
name on our mailing list, so
that you may receive sim-
ilar articles in the future.
Greenshields & Co.
Investment Bankers
14 King Street East, Toronto
Montreal Ottawa
46
THE MONETARY TIMES
Volume 65.
Corporation Securities Market
stocks Continue to Move with I ncertaintv l5oth in Canada and New York-New Brunswick Telephone
Securities Offered - Alberta Flour .Mills Issuing Common - Several Other Companies Will Offer Stock
Al.rilUUGH u number of issues retrieved their losses
which had been sustained during the early part of the
week, the appearance of the Canadian stock markets at the
close on November 3 had not grreatly improved over ex-
hibits of previous weeks. Papers were the weakest issues
both ill .Montreal and Toronto, but according to several
authorities on that industry there is nothing in the situa-
tion to warrant or account for such declines. The market
for pulp and paper stocks in Canada has been greatly in-
fluenced by the weakness in such stocks across the line of
late, and reports of imports of paper from Europe has led
to a great deal of nervousness. A fair display of strength
was made by several of those issues connected with the
British Empire Steel Corporation.
Bank stocks in both Toronto and Montreal were consid-
erably firm, but in some issues there was a tendency to-
wards weakness. Union Bank did not favorably respond to
the announcement of the two per cent, bonus, but in view of
the general market for bank stocks now, a large s'ain
could not be expected.
The situation in New York was not materially changed.
Those who were expecting the stock market there to respond
to the election results were somewhat disappointjd. As one
broker pointed out, any advance in prices as a result of the
Republican sweep must be bas^d principally on sentiment.
The credit situation has not been changed by the election,
!<nd as the market is dependent on credit it would not be
reasonable to expect any great change in stock price.-s. The
feder.il reserve board's review of business finds that read-
justment is proceeding quietly and in an orderly manner
and alst> sees an approach to business stability. As a whole
the hoard's conclusions are reaj-suring, both for general
business and speculation.
Liquidation Only Temporary
Liquidation of Canadian stocks which was in evidence
.nt the beginning of the week was only of short duration.
The following figures illustrate this fiict: —
Montreal Toronto
listed stocks bonds listed stocks bonds
Thursday 22.Mi $ 31,'.)00 1,994 $ tJ.f.OO
Friday" IKCl'i 22,700 1.207 13,200
Saturday . ifiHr, ll,r,12 r.22 Ifi.lOO
Mondiiv 4.'208 IM.oOO r,74 U.tiOO
Tucwhiy . . . . 3,221 3G,.'')00 1,840 77,100
Wednesday 8,103 16.200 983 24.800
Total- .... 54,443 J131.412 7.320 $140,400
The fiv'ures for the pre\ious w-'ck were: Montrt-al.
listed stocks. .-.9.400; bonds, J122,r.IO: Toronto, listed storks.
11.147; bonds. $17i;.!>no.
New Brunswick Telephone Stock Offered
It was announced in these columns last week that the;
New Brunswick Telephone Co. had been authorized to in-
crease its capital stock by $400,000, the money to be used
for the reimbursement of the company for money borrowedi
for plant extension.
The new shares, which are of $10 par value, are being,
offered at 110 and accrued dividends, to yield 7.27 per cent.,
by the Eastern Securities Co., Ltd., and J. M. Robinson
and Sons.
The present capital stock of the company, including the
present issue, is 82,099,470, and bonds outstanding total
$41,000. There is no authority to issue any more bonds.
"Bhe present plant value is placed at $2,551,245, and the
estimated replacement value is $5,150,000. A review of tht
company's business shows that in 1909 revenue was $228,919,
while this year it is placed at $723,234. :
Alberta Flour Mills
An offering of common stock of the Alberta Flour Mills
Ltd., is now being made at $100 per share, fully paid and
non-assessable. There is no bonus or promotion stock.
The company was organized to organize, own and oper-
ate flour mills and grain elevators and to deal in grain anc
grain products. Further particulars of such operations anc
the new stock, will be found in an advertisement elsewhercj
in this issue. i
Capital Changes
Marshall-Wells Co., Ltd., incorporated under the lawi
of the province of Manitoba, will shortly ask authorizatioi
to increase the capital stock from $1,000,000 to $2,000,000
by the creation of 10,000 new shares of a par value of $10(
each. ]
The Purity Ice Cream Co., recently incorporated ii;
Montreal with a capital of $100,000, will offer preferre<
stock direct to the public. The buildings and offices of th'
company are those formerly occupied hy the Duncan Mill
Co., 218 Mountain Street.
The Copeland Flour Mills, Ltd., recently incorporatei
with an authorized capital of $2,000,000, and head office a,
INIidland. Ont.. is arranging to sell part of the stock to th,
public. ^
At a special meeting of the bondholders of the Wester
Power Co. of Canada, held in Montreal on November 1, th
resolution calling for the waiving of certain provisions i
the trust deed in exchange for guarantee of principal an
interest on the bonds by the British Columbia Electric Rail
way Co., was passed unanimously by a substantial majorit
of the $5,000,000 bonds outstanding. It is ui.derstood whe
all details arc disposed of that the bondholders will h
I Continued on page 51)
UNLISTED SECURITIES
• ntd lo The Mo
C^n M."I,..i<r 1 •»
Ciin. Oil ..com.
Bid
70
rt
com
M '
«i .to 1
*■
**
. (
I Bid I Ask
Kini Bdwanl Hotel. 1
Marvoni WirclcH
Maiiscy Ham»
Matla«;imiP.&P. com.
Mcn:.intilr Tru.t
Mexican Nnt. Power. ..<'s
Morrow Scr«»., . f^i
Murray.K.iy.ribpnf.xJ
National Lilc
North. Amcr. Pulp
Nova Sootia Sl«lfi%dch
Ont. Pulr 6's
Pa(te Hcr*.cv prcf.
Rionkm com.lncwstli.)
Peoples Loan & Savings.
I R. Simpson. 6% prcf. xd.
.South. Can. Power. com.
Stcrlins Hank.
.SterlinuCoal com.
I Toronto Paper.. 6's
Toronto Power. S's (19^4)
Trust .*t Guar
t'nitedCisarStorespref.
Western Assurance
Western Grocers. . ..prcf.
WhalcnPulp com.
Bid
Ask
84
74
77
27
30
I0«
20
84
89
83
87
67
72
1.60
2
10
I2.S0
68
7I.M,
30.50'
November 5, 1920
THE MONETARY TIMES
47
We Offer
SCHOOL BONDS
Province of Alberta
I Maturing 10 and 15 Years
to ulcld I
7to7'4 7e I
W^f Specially RecommenJ these Bonds as Sound Investments
W. Ross Alger & Company
INVESTMENT BANKERS
Royal Bank Chambers
CALGARY
Bank of Toronto Bldg
EDMONTON
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM UNDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
Private Wirbs to WINNIPEG. CHICAGO, rORONTO,
MONTREAL AND NEW YORK
The Safest Investment
SOUND, active, industrial enterprises catering to big pub-
lic demand which benefit by national growth — make
the best and safest investments for money. We can advise
you of many investments which pay good dividends and
have great future possibilities.
Chiefly among which is t^he issue of the Rubber Co. of
Canada.
Enjoy the prosperity of the rubber industry.
Let us send you particulars.
R. M. HEFFERNAN & CO., Limited
IM'ESTMEXT BROKERS
HEAD OFFICE : 204 Jackson Building, OTTAWA
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings also any British
Columbia Government and Municipal issues.
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C.
Victoria, B.C.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OUR COUNSEL AND ADVICE
Willoughby Sumner Limited
E>lnbil,hcd IS>IJOi
Menibcn of the Winnlprg Cr.in Eichnngc
Private mire to Winnipeg. Toronto, Montreal, Chicago
and .\en, Yorl,
NIBLOCK & TULL, Limited
STOCK, BOND and GRAIN BROKERS
(Direct Private Wire)
Grain Elxchange
Calgary, Alia.
P.
M. LIDDELL & COMPANY
Investment lianlfcrs. Fiscal Agents
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Branches— SASKATOON AND CALGARY.
TioN OP Canada, Ltd. „ „ ^
London Office: < Great Winchester St.. B.C.
Northern Securities, Limited
KSTAHLISHBO I',«I6
GENERAL FINANCIAL BROKER
Confidtntiat Advice on Brilith Columbia Invcttmtnit
Memhcr of MortuaRe and Trust Companies Association of British Columbia
529 Pender Street W. VANCOUVER. B.C.
H. r,l-OF<(-,H HAVStLll. J.P . .Mar.iscr
48
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
MOMItl.tl— Mn k l.ii
iH'iKurcK siipplii'd by Ml.
ilial Nut. :i|-tl
HNKTT * Co.)
Hlork*
Abltibi P.AP
•• pfd.
Ames Holdcn pfd,
AHbcHtos Corp
prj.
Atlanlic Sudar
Ucll Telephone
Ura/.ilianT.L.* Power
DC. Ki»h
Brompliin I'ulp * I'
Can.iJa Cement
■■ . .ptd.
Can. Con
Canadian Cottontt
..pfd.
Canadian Car
...pfd.
Canadian Gen. Klec
Can. Loco
Can. Steamship
•• •■ pfd.
" " Vot. Truat
Con. Mining ft Smcl.. . .
Del. Ry»
I>om, Canners
.pfd.
Dominion Bridge
' Salca Open High Low Close
■ia\> iu:<
13!IOl X
76JH! Tirt
6' Mi I m| g4i
Don
C.l.i
Hillcrest
Illmois Traction pfd.'
Lahc of the Woods.
IS: 7«
Mia', t'A
so lOli 101) lUU
Pfd.l
1141 133
70' nsi
.^128, 101
Munt
Montreal Power. . ..
Montreal Ttam
Tram Deb
Telegraph.
National Breweries..
Ogitvia Ptour Mills
.pl
ntiavi.i I. H /. r
."w: 7»
19 9«
M7U no
;.;::; ;• ,^;
•ii
in.s
IJi
lu*i
1. M ,'. 1'
7111
■IS
»
•n
.,. .\ r
1..W
201
ail
l!l<)
■ pi J.
«
W
tio
UO
St. l.-.iMr,-ri
cel'L.MilU
pfd.
\V.*P
«Z1
HS
HS
Hlu.».r>ia.ir
iii.«
1114
Bpani'.li Id
61 IH
'JB4
'K*
•11 ;
pfd.
fsm
lOJ
■ DIv.Vou.
S». Mniiricf
--
THj i 7«|
CityMon' ■.
Dom C.*r
Vietonr Bonds. I"
' " I"
loni
21.Mn 66] 66] I 65 (v<
5860' sij '" ffl'
120 102 in-J
no\TBEXL-Conlinued-
Bondn
Sales
Open
%
83
76
High
96
83
76
Low
96
83
76
Close
96
Dom. Coal
. 1000
.| 3000
76
'
Lake of Woods
Montreal Power
.\attnnal Breweries..
iooo
2000
m"
i)li
"93'
9H
"93"
■9li
93
Alt
Price Bros
Ouebec Ky.L.H.&P.
.':' iwii
.in'
fill
go"
60'
Scotia
ShiTw.n- Williams...
Spanish River
Steel Co. of Canada.
Wabasso Cotton
Wayngamack P. A P.
Windsor Hotel
iltoMO-Wrek Endvd Nov. 3rtl.
Sales Open I High 1 Low
Bell Telephone ...
Brazilian Traction.
Burl. K. N.
Canada Cement .
.. p
Can. Gen. Elec. . . .
. -P
Canada Steamship.
P
Canners
Canadian Pacific R.
Con. Gas
Duliith ...'.'..'.'.'.".
l--ord .Motor
Lake of Woods
La Rose
Loco.
.pfd.j
Ip'fd.
Mackay Companies.
■ I
Maple Leaf
Nipis»inK
1116; I0i\
I0.W 34j
12: 9S|
20' 96i
t$ 43i
71 20
2; 86
71' .V7l
25 901
I39g
1(11) 138
78 94
21 69)
Petr
rum
l'...v I'aper
CliulHc K.L.H. «P...
Ulordon
Hollers pfc
Salcsho<ili
,pf.
Sawycr.Ma*sey.. .pU
Smellers
Spanish River
pf,
Stan. Chem pfi
Steel Corp
Sleel Company
Totnnlo Hy.
Twin City
Winnipeg
pfd.'
.com.
LMm Had Trust
n.Tr
S.S
9.t»
10
20.00 12
1
105
115
25
i »'
85 ,
S
« 1
1...."
74
32' 20
inso 98
MIKI 100
23<l 49i
2K.t 62
•iSI 90
4.S| 183 I IKtJ , . .
•29, 199J ia.1t iwi)
401 176 ' 176 176
■r] 18* ] 1116 I 185
3l IW I 171 172
2 jm
4 18?
net 142)
^
20
95i I
1113«
100 I
.«•
49i '
B4
61 ;
■«
90 i
IJ
4ii
TOKOyVO— Continued
War Loans
Sales
8100
32900
S4900
.....
Open
High
92i
90
94i
Low
92
Close
Dom. Can. W.Loan. 1925
1931
1937
Victory Loan 1922 ...
1923 ....
1927 ....
1933 ....
1937 ....
92i
89|
93i
92
90
94i
'«riX!«IPE«-Vreek ended Oct. 30lh.
Victory Loan 1922..
•■ 1923..
" 1924..
" 1927..
•■ 1937..
'■ 1933..
" 1934.
War Loan 1931 . . . .
1925 . . . .
Home I
Trader
Sales
Open
High
Low
I09SO
98
98
98
1400
98
98
98
700
97
97
97
6350
97
97
97
SOfl
98
98
98
7100
96*
96*
961
18840(1
93
93
93
IOOO
90
90
90
100
»U
918
91i!
6
105
105
105
27
81
gi
81
1421
I42i
142i
\K\f YUltK— Week ended Oct. .tOlh.
Sales] Open - High
32900' 1253 : 126i
Canadian Pacific
Can.ida Southcri
.\ova Scotia S. & Coal. ; 1200 41
Granby Consolidated. I 300| 29
292 28
98i
Bonds I I
of Can. 5% 1921 1 14000 ..
■• 5J% 1921 1 540001..
" .1% 19'i6l 640001 1 9|J j 90|
" 5i% 19'29 K7000| I 94 I 93
■• 5% 1931 75000] I 91 90l
LWMUOK, Kng.— Week endeil Oct. I5lh.
Vov'l. A Nun.
3%.
3i% 1930 SO
•• .... 4% 1940.60
•• ...4j"„bds....
Calgary 4j",. deb
ii%debs... -
Ed monton i% bds. 23.531
Nfld.34'.v. bds
.Montreal 4)% Reg
:f\, deb
4% 1932
4% Reg. '48-50;
Scotia 4% cons.. 1
«uehc
4% bds. 1888. .
4)'\) Reg
iVn 4% deb. \9.'3 .
S3'X,...
S. Vancouver 4% cons
Vancouver 4'\^ cnns . . .
Toronto 4i% deb
Vicl
3t% 1921-6.
C.No
5>cons
ipe|!44'\,c's. 43-63
4% cons
Rnllnnyii
.Pac.4".,gr.dcb.50
" Ont.4% deb.
Can. Nor. 4% deb. 1939
" 4'U, deb. 1930.
Can. Pac
" 4% deb.
" t% pfd.
G.T.P. Ur. 4"„ l>d. 1939.
O.T.P.n^bds
G.T. P. 4% 19i;S
G T P 4'\, deb.
Gr. Trunk 4% guar.
Gr. Trunks"., 1st. pfd..
Gr Trunks'... 2nd pfd..'
Gr Trunk 4',, cons
Onl..^ OuebecS'Xdeb.
PGt. East 4j'\,deb, -421
• nd.. Fin., Ktr. {
Can. Carfi's
■■ •• 7%
Can. Cement 7% pfd...
I" W. Lumber S% debs.
ILinl, of Montreal.... I
v. .*n Rk. of Commerce. ;
High
Low
77
77
6li
lit
638
61
61i
71
711
901
90
81
79
92
76
90+
89
64
61
69
68
47i
47
76
75
6.3*
^S^
73J
73
%
?JJ
76
76
1-23
I21|
73*
72?
92
92
53
S3
57
57
67
73J
^
71
7U
83
83
67
67
93
928
74
75
73i
68
67}
67
49
49]
' .SO
501
1 96
94
' 180
17g«
1 6a
63
60
59
85
6Sl
65
csi
63
46
45i
571
.wi
41
40
30
28
58
.57
76*
83}
^
104}
103i
112
112
113
I13t
63
63
47
JSI
40
S6i
1031
November 5, 1920
THE MONETARY TIMES
49
''Hedging" Grain Facilitates Marketing
Sal^ of Wheat Futures by Farmer and Again by Elevator Companv
Enables Farmer to Realize on Crop at Once— Millers Buy in Advance,
Protecting Themselves on Flour Contracts— Speculator, who Alone
Risks Uncertainty of Market, Balances Supply and Demand
By C. BIRKETT,
Secretary, Tort W illiam and Port Arthur Grain Kxi-hanse
GRAIN exchang-es and their methods of doing business
are little understood by the average business man not
in the grain business. They should be. Grain is our basic
industry and affects every business institution in Canada,
both large and small. Close to one billion dollars will be
brought into circulation by the sale of agricultural pro-
ducts grown in western Canada this year.
The important matter of hedging grain (you might
know it by the name of futures or options) is a mystery
to many and little understood. Ignorance makes the busi-
ness man unappreciative; in fact, the reverse is often the
case. You hear men on the street refer to gi-ain ex-
changes as gambling holes and dens of thieves, and yet
the business of .-these men would materially suffer if the
grain exchanges and the machinery of the grain trade were
withdrawn from the market.
Hedging Avoids Speculation
Curiously enough, while hedging is sometimes designated
speculation by the uninformed, it is primarly used to avoid
speculation. This is the fundamental reason for the hedging
market. Banks lend money to any person, firm or corpora-
tion in the grain business only on the understanding that
all purchases or sales of grain or flour are properly hedged.
This is the bank's insurance against violent price fluctua-
tions, and make more safe the credit granted.
First of all let us clearly understand the word hedging
and its relation to futures and options. Hedging grain in
simple language means matching a purchase with a sale or
vice versa. A person who owns grain sells it on the. ex-
change for future delivery, specifying some particular month.
That is where the term "futures" is injected and the only
"option" in the transaction is that the seller of the grain
for future delivery has the option of delivering the grain
on any day during the specific month; either the first day
' r the last day.
Speculator Balances Market
There are two main classes who take advantage of the
hedging market. These are (a) sellers — farn:ei-s, country
elevators, etc., and (b) buyers — millers and exporters.
It stands to reason that the trade of these two large
bodies cannot always balance daily. There are not always
sufficient buyers, neither are there always sufficient sellers.
The result is the injection of a third party — the professional
speculator who provides the balance wheel for the whole.
To make hedging operations more intelligent to the
readers who are not in the grain business, we will give
concrete examples.
Sells at Once to Avoid Ui.sk
Jones owns 50 country elevators and in each one he
has a competent manager buying grain from the farmers.
Probably during a busy day in October .'50,000 bushels of
grain will be purchased in these elevators. Mr. Jones now
owns the grain but he will not be able to sell it until it
has been graded in Winnipeg and weighed at Fort William.
He doesn't know when cars will be obtainable to ship the
grain out, neither does he know whether the price will be
maintained or whether it will fluctuate up or down. He,
therefore, orders his manager to sell .50,000 bushels for
December delivery, feeling sure the grain will have gone
forward by that time. He knows what he paid for the grain;
he knows what he sold it for, and what is the best of all,
he knows what he has made on the transaction.
Best System for Farmer
It will be seen at a glance that the privilege of hedging
grain permits the grain dealer to pay the producer the
best possible market price. A little thought on the
part of the reader will substantiate this. If hedging was
not permitted or no facilities were provided, the country
elevator operator would have to protect himself against de-
lays in transportation by taking from the current cash
price a sufficient margin to recoup him against any fluctua-
tions that might arise in price. In this case the farmer
would receive less for his produce and the country elevator
operator would in time undoubtedly be a business failure.
With the hedging facilities provided, and with such a won-
derful system of telegraphs and telephones, the farmer is
enabled to secure for his grain the highest market price
on the basis of Fort William, less, of course, freight charges,
etc.
Miller Buys for Future Delivery
The question might now be asked — "To whom does the
country elevator operator sell his wheat for future de-
livery?" The answer is to the miller, exporter or speculator.
The miller might have sold a large quantity of flour on
contract for future delivery, he wants to make sure that he
can secure the wheat at a price low enough to give him a
profit, so he goes into the hedging market and buys wheat
for future delivery. He then knows what the wheat is going
to cost him when delivered. If he is a good miller he knows
exactly what it is going to cost to grind the wheat into flour,
and he knows what he can sell the flour for at some future
date. The same procedure takes place when the exporter has
an order from overseas. If he was not able to buy grain for
future delivery the export business of grain in Canada
would irop to a minimum. Transportation and finances
would be seriously tied up and our whole marketing system
would suffer.
Speculative Element
The third class who operate in a hedging market are
the speculators. The work of *^hesc speculators is misunder-
stood and no doubt the public opinion in regard to futures
is based or the work of this class of trader.
As stated herein before it stands to reason that the mil-
lers and exporters do not want from day to day all the
hedging trades that are available. They only go into the
market as the demand for the products mille<l or handled
by them warrant. It will, therefore, be seen that there
must be, of necessity, a third party who is always willing
to step into the breach to take the trades as they come into
the market from day to day. If the third party did not
exist the constant market would not be pi-esent. The work
of the speculator serves a useful purpose in this way: that
is, by their willingness from day to day to either buy or sell
at any time. They utilize the market facilities and permit
the owners of country elevators to buy grain on any day of
the week from the producers. The economic value of the
hedgnng market would be seriously impaired if the country
elevators could not make rapid trades from day to day.
The speculator is the man who permits this to be done.
It requires a separate article to give the reader full
information about the theory, benefits and evils of specula-
tion. It is an economic subject of vital importance.
(Contimved on page 51)
THE MONETARY TIMES
Volume 65.
Corporation Finance
Western Canada Flour Mills Prolit Lower — Lack of Export Business the Principal Factor Canadian
Pacific Net Earnin>,'s Improved in September Ottawa Li^ht and Heat Company Takes Over Ottawa
Power — Barcelona and Bra/.ilian I'raction Companies Made Better Showing in September
Brazilian Traction, LiRht and I'dwiT Company .— Net the corresponding months a year ago, while operating ex-
carninfTS of the company ajfain showed a favorable increase penses in September showed an increase of 19.9 per cent., as
in September, as compared with last year, the figure being compared with 37 per cent, in August. The gross for the
1,208,000 milreis, or the second highest increase this year, month at $20,009,287 is the largest for September in the his-
the highest being in August. For the first nine months tory of the road, and a record is created also in expenses
gross earnings amounted to 96,605,000 milreis, as against »:i,- for" the month which amount to $16,100,632. Net earnings
559,000 for the same period last year, while net earnings for at $3,908,654 show a decrease from a year ago of $183,264,
the nine months amounted to 51,544,000 milreis, an increase while showing an improvement over the August figures,
of 7,911,000 for the year. where the net showed a decrease of $1,577,354.
Barcelona Traction, Light and I'ower Co.— A very favor- Although down from the net earnings of September,
able showing was made in net earnings of the comp"any for ^^^^' ^^^ showing under review exceeds that made in 1918
Sejitcmber, tlie figure being 1,945,823 pesetas, an increase of ^""^ ■'^^"' ^"^ *^"* '*^'°^'' *''^'^ ""^''^ '" ""^' ^^^^ ^^'^^ *° ^^^^'
793,844 pesetas over the same month last year. Aggregate including the so-called poor years immediately preceding and
net from March 1, was 12,126,693 pesetas, an increase of 4,- following the year of the war, although in those years the
364,538 compared with the same period a' year ago. ' gross for September amounted to only slightly above $10,-
At the present time the labor situation in Barcelona, 000,000, or one-half the earnings shown for the month
Spain, is far from promising, but it does not appear as' recently passed. Gross earnings for September also create
though the company has been greatly atfectcd. At the end ^ record for any month this year up to that? time.
of October, workers in the electric light plant threatened Gross earnings for the nine months amount to $146,-
strike in sympathy with the metal workers, but whether 000,000, which is $20,000,000 above that for the preceding
they have done so yet it is not definitely known. If thev do ^^*"'' '*"'' ^"^'^ ^^^" double the gross earnings in 1915. Yet
so, however, it will no doubt be reflected in subsequent state- '" ^^^" ^-^^ "** profits of the railroad for the nine months
mcnts of the company's earnings. amounted to more than $24,000,000, while for the period
,, . under review they amounted to barelv more than $19,000,000.
carnage lactones, Ltd.— At the annual meeting of the In fact, net earnings are the smallest in the recent history
company in Toronto last week, the old directors were re- of the road. In 1915 net profits were equal to more than
eloi-ted with the e.vception of VV. F. Brock, whose place was one-third the total earnings; in 1920 net was equal to less
taken by F. J. Neale, of Toronto. President J. B. Tudhope, than one-eighth,
who was in the chair, announced that the company's bonds, We.stern Canada Flour Mills Co M,f Prnf?t. .f tKo
pt; asn' borfi[eT'::Tt';"S .£:eaT r'\ c"'-''- '^-'^^ •='^""'""-- ^^^^^^^^^'^^^^^^i^^Z^^rZ
an.ount to more than $30 OoSovrh^T ^""'"T; ""'' •'^"^"''' ^^^°' ^"^°""*^'^ *° ^^'^''^^~^' ^' compared with $437.-
debtedne s o he compaiv It wa, „Un n . ^''"'';'* ..'"■ ^^^ ■'" '^' '""""■""^ '''^'' ^ •'"''^^^^ «* ^23,263. This show-
the com .anyV itabrntier had be^n reducerbv .^"30 000 T "• " "r, J'"; """'"''' ^/''''^^ "' ^^^^^^"'^^ •'P^'««"« •"
^:iz {reHo— th^^-r H^-» ^-^- ^^ ^ut i^Srt;;^ot;^o5:^^Lf:s
..ccy .uld be .nade as to conditi^: • : t^^^i'^ ^ ^S^' wS^^ ^^^^.^1 f^-Il^l^-y-- -;
Ullnwa Light, Heal and Power Co.— Announcement has •^''■- *^*'">' P°'"ts out. there is now permitted the resumption
l.ocn given of the purchase by the company of Ottawa Power ""^ bu.s.noss with foreign connections as prevailed before the
«o including the hydraulic power plant, power house situ- "'"■• ^''o^-'dtHi the mills are operated to capacitv, he states,
nicd on Victoria Island, and also six water lots at the '"*' current year's results should be satisfactory"
rhnudiere. Recently a iK.nd issue of $1,200,000 was ma.ie bv Dividend payments were the same at $250 000 while bond
tnc compnny, and at the time it was announced that the 'nterest is shown as $79,253. as compared with $83 555 in the
ZZ^l T> . "'"' '° "^''"''"'' '«''J'''°'"»> developed water Previous year. A special Victory bond dividend which was
powir. ihe above-mentioned deal was undoubtedlv the distributed to shareholders to the amount of $250 000 in
reason for the new financing, although nothing was said October. 1918. was repeated in November 1919 The balance
' ^^^ ""'"'• """'.•;;' .f"'-"-'"-'' ^^"s SS4S.;135, as against $712,865 last vear.
London Street Rallway.-After a personal in^n-Cion of 523.362 asTompaTe;i\vi;h'^V635r3."'r%-°"!.""' ^"':^ *'•"
ho receipt., of the railway for October. Commissioner E. B slightlv stronger rLf nil '' ^^\ 'l''""^ P"""'"" '"
Ingram of the Ontario Railway and Municipal Board, inakfs this point - ^"""'""^ •"''""P^' "^fures illustrate
the following statement : —
"I am of the opinion that the board r«„ pay to the men Cun-ent assets .... $0 ^^f^TI J9 l^n^i
surplus earnings that accuniub- ■ ■ the month of Current liabilities ...' i' 1194 093 ?'im62J
S^-ptcmber. The increase will K. „,pn „„ i),^ 5^,, 1.194,093 1,101,626
inst. .And this appears to he ;.., the employees r„.,.iV'^'"'''*'"^ ""' "'"''"^ '"" 'accounts shows the following
ns far as I can ascertain. " " results.—
In regard to the re<lemption of bonds, Mr. Ingram states a . , ,^.„ ^^20. 1919.
that the board has definitely made up its mind to redeem Amounts and bills receivable $ 291.547 $ 598.326
the bonds as a mortgage provides and as has been done for imcntory 1.302.907 935.779
five years before the board took over the road. C »h""'^ 469.650 250,000
Canadian Pacific Railway Co.-An improvement is shown D^fcn-ed charges Jn'p^fi ^ll'f^A
in the September earnings .-tatemonl. which has just been Bond interest 000^, If'ri,
issued. Gross oarnings show an increase of 14.2 per cent.. Dividends .accrued ,on non inn nnn
as compared with an increase of 17 per cent, in August over Accounts ,->nd bills payable.' l,!?.?;^ JSS
November 5, 1920
THE MONETARY TIMES
Farmers' Telephone Company. — The company, which
operates in Carleton County, N.B., is making application to
the provincial Public Utilities Commission for increased
rates. The company asks for an increase in residential
rates from $14 to $20, and on store and office telephones
from $18 to $30. The company's revenue in 1919 was $9,000,
which amount did not cover e.xpenses.
Toronto and Niagara Power Company. — The company
has advised its power users of another increase in rates. The
average cost of current under the new rates is 2.6 cents per k.w.h.
This average compares with 2.2 cents in 1918 and 1.6 cents
in 1917. The reason for the increase is given as increased
labor charges, cost of materials, taxes, etc.
"HEDGING" GRAIN FACILITATES MARKETING
(Continued from page i9)
It might also be stated that the public, farmers, pro-
fessional men, etc., also deal in "futures." Grain exchanges,
however, do not approve of the public participating, be-
cause in so far as this class is concerned it is nearing the
gambling stage. They do not understand market conditions,
etc., and as a general rule have a blind faith in soma ;r.-
formation they have received from a so-called friend. Tl.e
public should not participate in the "futures" market. The
grain trade of western Canada has reached the point new
where reputable firms will not handle accounts of this nature;
they never do any good, but more often than not breed
distrust.
The produceri himself sometimes takes advantage of
the hedging market, and he has a perfect right to do so.
We will say, for instance, that a farmer has 5,000 bushels
of wheat, and thereby ties up his entire liquid capital. Some
farmers, who understand the hedging process, sell their
wheat when it is thrashed instead of holding it, and then
turn round and buy wheat on the May option. This means
they have only possibly 25'>'r of the-ir capital invested in the
option and 75% of capital is available from the sale of
wheat. If the market advances the farmer will make money
just the same as if ho had held his own wheat. If the price
goes down he will lose just the same as if he held his wheat.
The one advantage he has, however, is that the grain has
been marketed and he has had the use of at least T.t'V of
the value thereof, and the other 2.59'- is held by the broker
as a margin on the May wheat.
Less Capital Necessary
To the student it is quite apparent that the privilege
of hedging prevents a monopoly and also reduces to a mini-
mum the marketing cost. It will be seen that if hedging
was not permitted large financial concerns would only be
able to co-operate They would be the only concerns that
would have sufficient funds to carry large quantities of grain.
The small companies would not be able to do this, because
so much money would be needed to carry grain.
If any one has studied the marketing system of the
grain trade and investigated the cost thereof, it is quite
apparent that the margin the producer pays for the market-
ing of his grain is very nominal. I very much doubt whether
there is any other commodity in the world that is handled on
j so close a margin as grain. The grain trade of western
Canada is satisfied with a small profit on account of the
I huge volume and on account of hedging facilities that are
provided for them. Banks have always been able to finance
the movement of the western crop, but even a bank would
1 not lend money to a person, fii-m or corporation for the
' purchase of grain at country points, if hedging facilities
I we're not available. Hedging is the bank's insurance.
Manitoba's potato crop this year will be :!,700,000 bushels,
the Manitoba Agricultural Department announced on Octo-
ber 8, after the conclusion of an estimate based on reports
from all sections of the province. This is short by more
than 1,.500,000 bushels of an average yield.
CANADIAN
^PACIFIC/
^^m
Bureau of
Canadian
Information
'ME Canadian Pa-
cific Railway,
through its Bureau
of Canadian Infor-
mation, will furnish
you with the latest reliable information on
every phase of industrial and agricultural
development in Canada. !n the Reference Li-
braries maintained at Chicago, New York and
Montreal are complete data on natural resources,
climate, labor, transportation, business openings,
etc., in Canada. Additional data is constantly
being added.
No charge or obligation attaches to this service.
Business organizations are invited to make use
of if.
Canadian Pacific Railway
Department of Colonization and DevelopmeDt
165 E. Ontario St.
Chicago
335 Windsor Station
Montreal
1270 Broadway
New York
CORPORATION SECrRITIES MARKET
(Continued from page UG)
notified wlicn and where the bonus will formally receive the
guarantee, which, it is felt, should materially enhance their
value.
The Oak Tire and Rubber Co., Ltd., is offering through
a local brokerage houFC $250,000 8 per cent, participating
preference stock at $100 per share, and carrying with it a
common stock bonus. The proceeds of this issue will provide
for extension to the company's present factory sufficient
to practically double their present production.
I'ayment of .\bitihi Debentures
As a result of arbitration, the decision has been made
that the $1,000,000 Abitibi Power and Paper Co. 7 per cent,
convertible debentures redeemed by the company at 110 and
interest on April 1st last, are payable in New York funds.
In accordance with the decision, it is understood that
the Montreal Trust Co. forwarded cheques on November 3rd
to all debenture holders registered as of April 1st, 1920,
for the amount of the premium on New York funds, as at
that date, together with interest from April 1st to November
3rd, the date of payment. .At the time the Abitibi Co. re-
deemed the debentures there was a divergence of legal
opinion as to whether the company should redeem them,
paying for them 110 and accrued interest in Canadian funds,
or the same amount in United States funds, which were
then at a premium. Royal Securities Corporation, the
original underwriters of the issue, negotiated an arrargc-
ment on brhalf of their clients with the Abitibi Company
whereby the log;il point involved was submitted for arbitra-
tion to Eugene Lafleur. K.C., of Montreal. A decision has
now been given with the results indicated.
HE MONETARY TIMES
Volume 65.
KK( KNT riHKS
Koval Ciinmliiiti Mminlrd I'oliri' KiiildinKH nt Hrandon.
S-J00.O0l»— I'lanini; Mill iil Wliilhy. S20.000— Two Hara-
at Swift Current. $17,500
Hrandon. Man.— October 29 — Fire which started early
1, liioniini: lia.i inused the loss of forty-two horses be-
1 - ! •/ to tin- Royal Canadian Mounted Police and dt-stroyed
ih. .rii^inal winter fair buildings with a loss of $200,000.
lirorkulle. OnL— October 28 — Ceneral store at Shanly,
(Jrcnville lounty, belontrinir to John Gilmour, was destroyed
by fire. .Mice chewinir matches in the store is thoupht to
have l>een the origin of the fire.
Chatham. Ont.— November I — The Imperial Oil Com-
puny's pump-house was destroyed by fire. The loss is $1,000.
East St. John. N.B.— November 1— The brick ImildinK
attached to the Boys' Industrial Home was damaged by fire.
Kredericton. N.H.— November 2— The frame buildinp on
XJueen Street, which was first used by the House of Assembly
of New Brunswick, was destroyed by fire.
Gai;etown. N.B.— October 29 — Fire of an unknown origin
completely destroyed two barns and their contents belonginf:
to William Cirnham at Lawfield. The loss, which amounted
to $2,000, was not covered by insurance.
Janelvllle. Ont.— October 29— The house of Fred McGill
was burned to the ground causing a loss of $4,000.
McConnell, (Jue.— The buildings belonging to Alfred
•Simard, known as the Carlton Turner Place, were destroyed
by tire. The lo.^s is only partially covered by insurance.
>lontrral. ()ue. — November 1 — Several dwellings, from
91-100 Notre Dame Street East, were damaged by fire. The
loss was partly covered by insurance.
Newcastle, Ont — October 31 — The large barn and stable
in Hnpi- township, the property of Wm. Payne, of Clarke
i|i. wii.t ilcstroyed by fire.
\.« liamhurg, Ont.— November 3 — G.T.R. station de-
■; by fire.
I'orl Hope. Ont. — November i — Large barn and ice-
house, the property of Mrs. Montizjimbert, of Toronto, and
situated just off the main street, was destroyed by fire.
There is insurance of $600.
.Squomish. B.C.— October 27— The Gibson and Merrick
sawmill was destroyed by fire. The plant was fully insun'd.
\P>-CBTISCMENT
eilK Un\ VI, HANK (H' C AN \l»\
Tonilers will lie receive<l by the undersignetl for the whole
or any portion of approximately four thousjiml (4,0001 shares
of $ too each of the new stock of The Royal Bank of Canada
K^iii'd nn the ^Ist May, 1920, pursuant to u resolution passed
l>y till' Board of Directors on that date.
Thr sliiirrs comprise the unaccepted allotments and the
frnctii>ii» wlr..h. under the provisions of the Bank Act, were
not ollottcd.
The stock will rank for dividend from date of payment.
Interim rocpiptA will ho iuutwt. whi'-h may be exchange*! for
' • ' . 1st March. 1921.
! share offered and be
f 'T ton per cent, of the
» 1 ■:■ Iii 'ii-sv » Ul,^J«■r i» iicceptcd, the balance will be
r ■ it Ic on allotment
The bank does not bind itself to accept the highest or
.^ny tender.
Ti-nArrt will be rpceived up to 3 p.m. on Monday, Novem-
I must be marked "Tender for Stock." and ad-
Genernl Manneer. The Royal Bank of Can-ida.
By ordvr of the Board. xsi
C. E. KEILL.
Montreal. November 1. 19S0. General Mana^r.
Swift Current, Sask.— October 26— Two barns on the i
farm of Wm. Hoir were completely destroyed by fire, causing I
a loss of $17,000, with insurance of $8,800. The fire was
cau.sed from spontaneous combustion.
Toronto, Ont.— November 1— Oil tank factoi-y of S. P. |
Bowser, 66 Fraser Avenue, was damaged to an extent of ,
$1,000. A fuse blowing out ignited one of the tanks. A fire
broke out on the third floor of a building at 124 King Street ^
West. The loss is estimated at ?1,100. i
Upper Dorchester. N.B.— October 26— The sawmill and |
blacksmith shop of James Anderson and Son was totally i
destroyed. The loss is estimated at $15,000, partially covered I
by insurance. I
Whitby. Ont— October 30— Fire did damage to the >
amount of $20,000 to the planing mill owned by the Whitby I
Brick and CUiv Products Co. '
Winnifrcd, Alta.— October 26— The home of Fred Brown j
was destroyed t)y fire. One of the children playing with '
matches started the fire.
ADDITIONAL INFORMATION CONCERNING FIRES
Bowmanville. Ont— October 24 — Barns, stables and con-
tents belonging to W. M. Horsey were destroyed by fire.
The fire was believed to be caused by incendiarism. The loss,
which is $7,000, was not covered by insurance.
Port .Arthur, Ont.— October 17 — The planing mill of the
Pigeon River Lumber Co., Ltd., was damaged by fire. The
total loss on contents and building is $30,000.
Slewiacke, N.S. — October 10 — Large sawmill, valued at
$55,000, and lumber in yard valued at $115,000, belonging
to Rufus E. Dickie, was destroyed by fire. The fire started
over the boiler-house. The sawmill was insured to the amount
of $30,000 in the following companies: North British Mer-
cantile. Home Underwriters' Agency and National Fire In-
surance Co. of Hartford. There was no insurance on the
lumber, but the greater part of it belonged to the British
government.
ONTARIO FIUE INSURANCE AGENTS' ASSOCIATION
A constitution and by-laws for the Ontario Fire Insur-
ance Agents' .-Association were adopted at a meeting held
in Toronto on October 27th. Plans for the association had
already been discussed at a preliminary meeting held on
September Sth, summoned by the Toronto Insurance Confer-
ence, when a temporary organization was brought into being
and a committee to draft constitution and by-laws appointed.
About one hundred agents attended the meeting on Wed-
nesday last. It was decided that the operations of the asso-
ciation should be confined to the province of Ontario. The
objects of the association are, as defined, to assist in the
regulation of fire insurance in the interests of the public, the
insurance companies and the agents; to aid in the observance
of Dominion and provincial statutes relating to fire insur-
ance, and to promote the interests of the members in every
proper manner. .\ny individual, finn or corporation in On-
tario holding a fire agent's certificate is eligible for mem-
bership.
The following officers were elected: President, John S.
Dowling, Brnntfortl; vice-presidents, E. Bonin, Port Arthur;
Thomas H. Cook, Sarnia; .A.W.Bell, Midland; Cecil Bethune,
Ottnwa. Council— C. T. Kirhy. Ottawa; J. J. Mason, Bow-
manville; J. B. Jennings, Penctang; J. T. Truman and Hugh
Murray, Hamilton: J. K. Kcrnahan, St. Catharines; George
Menzies, Owen Sound; James Basingthwaighte, Sault Ste.
Marie; V. Jackson, London; W. E. Rispin, Chatham; R. M.
Morton. Windsor: H. Hoe, St. Thomas; R. Thomas Orr,
Stratford; John .Sutli(rlan<l. Guclph; H. Weddell, Peterboro';
L. C. Yeomans. IVllcviUc; J. S. R. McCann, Kingston; Lewis
O'Brien. Fort Willi.im: W. George Clark, Orillia; Charles C.
Hall and Joseph Murphy. Toronto; J. H. Bennett, Barrie;
William Martin, jun.. North Bay; A. H. Seibert, Kitchener;
L. S. Mackio. Pembroke. Secretary-treasurer, J. H. King,
8 Colbomc Street, Toronto.
The Monetary Times
Printing Company
of Canada. Limited
'The Canadian Engineer'
Trade Review and Insurance Chronicle
of (TanaDa
Established IS^";
Old as Confederation
JAS. J. SALMON D
President and General Manager
A. E. JENNINGS
A£6!staat Gsncral Hanag-er
JOSEPH BLAC:;
Secretary
W. A. McKAGlH
Editor
Necessity and Opportunity for Canadian Exports
Small as Well as Lar^e Manufacturers Can Increase Business by Looking Abroad— Private
and National Advantages— Domestic Markets Are Contracting— Assistance Provided by
Government — Steamships Sail From Montreal and Vancouver to Many Foreign Ports.
By COL, C. R. HILL,
Managing Director, Hill and Co., Ltd., Toronto
(This is the first of a series of articles on Practical Exporting, to be published in The Monetary Times.)
EVERY newspaper and industrial magazine of to-day con-
tains some reference to exports; every financial paper
quotes current exchange in its relation to exports and shows
that a Canadian dollar is only worth ninety cents in the
United States; the Navy League,
the big banks, the Department of
Trade and Commerce all urge the
Canadian manufacturer to export.
The first article in this series
deals with the advisability and
necessity of exporting as well as
with the opportunities for the big
and small manufacturer. How-
ever, it is useless telling a man
to talk Chinese until he has
learned the language, and the
subsequent articles are designed
to give practical information on
exporting from the period of seek-
ing foreign markets to that of
making actual shipments.
6.
Necessity for Export
It is both a national and in-
dividual duty for big and small
Canadian manufacturers to com-
mence or expand export sales.
Firstly, from the national
aspect, it is apparent to anyone
who studies international finance
that the more money which is
owing to Canada for products sold
abroad, the more actual value is
placed on our own currency in the
foreign financial exchanges. Sec-
ondly, from the national standpoint,
comes the value of advertising
which goes with every Canadian-
iriade article used thousands of
miles from home. No one will deny that the finest and
greatest advertisement Canada has had in its history was
that caused by the fighting ability, initiative and personal
good character shown by our men in France and Belgium.
I he praises of Canada resounded around the world from 1915
> 1918. Foreign buyers who never thought of Canada be-
fore the war have since studied our producing possibilities
and are eager to prove that their kindly sentiment is not a
temporary thing. No one can better commercialize and
make permanent that sentiment than the Canadian manu-
Subjects of Discussion in this
Series of Eight Articles on
Foreign Trade.
Necessity and Opportunity for Cana-
dian Exports.
(a) Necessity for Export.
(b) The Field for Exports.
facturer by proving that the quality of Canadian products
is as sterling as the character of our fighting men. Thirdly,
from the national standpoint, is the bald, plain fact that
commercial reasons are at the back of all wars and will best
be avoided by binding nations to-
gether with strong mutual com-
mercial interests.
Recent Activity Was Abnormal
Dealing with the question of
exports from the standpoint of the
manufacturer's domestic problems
is a little more difficult. Gener-
ally speaking, the manufacturers
realize that the buying in 1919
and early in 1920 represented ab-
normal conditions; construction
had been stopped for so long that
a rush came on, which was only
retarded by high prices. Stocks of
a.11 essentials and non-essentials
had become depleted under war
conditions and required replenish-
ing; money was released from
war purposes. All these things
caused enormous domestic orders
and prevented the manufacturer
from cither seeing the necessity
or possibility of filling foreign
orders. In the meantime, many
plants have been extended and
more machinery installed on the
expectation of a furtherance of
heavy domestic business, which
will really become less until con-
ditions become more normal.
The obvious remedy is to seek
foreign markets to keep these
plants working to full capacity
prices. Furthermore, the seeking
be delayed, as the development
is a lengthy process. This can
when one realizes that a letter
How to get into the Export Field.
(a) Sending representatives abroad.
(b) Direct correspondence through Gov-
ernment Trade Organization.
(c) Advertising in Export publications.
(d) Through medium of Export Com-
mission houses.
Home Organization for Export Sales.
Foreign Organization for Export Sales,
(a) Foreign Branches,
(h) Exclusive agencies,
(c) Independent customers.
Making up prices for foreign markets.
Financing of Exports.
Freight forwarding and shipping docu-
ments.
Miscellaneous Problems.
and at profitable
process should not
of foreign markets
best be appreciated
posted to Cape Town or Calcutta to-day cannot pro-
duce a reply for nearly three months. Therefore, to
get into a foreign and distant market is a matter
of patience as well as study, and temporary domestic
problems should not be an excuse for delaying an export
campaign.
THE MONETARY TIMES
Volume 65.
To the very big manufacturer the foreign market has
been tried with more or less effort and in various ways.
However, the very smallest manufacturer has a foreign mar-
ket if he will only try it out. It might be noted that an
Ontario manufacturer of golf shafts with a very small plant
of lathes, and who does nothing more than make a plain
smooth shaft, sells virtually his entire output in England;
nevertheless, he submitted his product to South Africa three
months ago and received a substantial order by return mail.
A Toronto manufacturer of plain wooden rulers cannot catch
up with his export orders.
Therefore, these series of articles should be read and
re-read by the small plant owner, as well as the executives
of more pretentious establishments.
The Field for Export
This is a broad and indefinite subject on which reams
of paper might be printed and suflicicnt population and trade
statistics to make one dizzy. There is no one in Canada com-
petent to .say what is or Is not saleable in a distant country,
unlcs.s he has been there or studied the possibilities from
reliable information originating In that country. For in-
stance, to consider India as a field only suitable for articles
required in hot countries is a fallacy. It is hot on the central
plains but not on the northern hills. To estimate whether
n Canadian manufactured article will sell in Italy is impos-
sible until one knows whether the Italians like it, whether
the delivered price meets domestic or foreign competition,
and whether the Italian government will allow it to enter the
country.
The best way to know what export field each article
may expect is to try it out in as many trading countries as
it is possible to get into. The various channels by which
this may be accomplished will be dealt with in the article
which follows this in the next issue of The Monetary Times.
Shipping Facilities
In any event, trade follows steamer routes, iand it may
be taken for granted that Canadian products of many
varieties have found a market in the countries where the
ocean liners call after leaving on their regular trips from
Canadian Atlantic and Pacific ports. November sailings from
Canada include the following: From Montreal to Liverpool,
London, Glasgow, Dublin, .-Antwerp, Rotterdam, Hamburg,
Havre, Trinidad, Melbourne, Auckland, Buenos Aires, Rio
Janeiro. Santiago, Calcutta and Singapore; from Vancouver
to the British Isles and the Orient.
In addition to the above sailings there are regular lines
out of New York going to numerous additional ports, estab-
lished to take care of United States exports and which are
just as available for Canadian exports passing through the
States in bond.
To further appreciate the field for Canadian exports, one
must know that the Department of Trade and Commerce at
Ottawa has studied the possibilities in almost every country,
resulting in the establishment of Canadian trade commis-
sioners in many lands. Extensions to this service are under
contemplation and in the meantime, where there is no direct
commissioner, the British trade commissioners' service is
always willing to do its share in introducing Canadian
products.
In the next issue dealing with the problem "How to Get
Into the Export Field," particulars of this Canadian and
British trade commissioners' service will be given.
MAY i'KO.SI'E(T FORESTS FOR Oil,
.\rH Ki'gulntlons of Dominion (iovernment — National Debt
Still Further Reduced in October
(Special to Tlir Monetary Times.)
OtUwn, November 11th, 1920.
OECENT dcvelopmentfl in oil prospecting in the west have
•'•*' mnde necessary some new regulations. An ordor-in-
council just passed set.s forth that requests have been made
to til.' Interior Department that the petroleum and natural
giis r. ■^.'ullltion». applicable to Dominion lands, .should be cx-
tiiidf.l lo the fore.Ht reserves, in order thot an opportunity
ni.iy I., irivrn tn test the lands with n view to tliscovory,
.■mil ri pre.'jrntntions have been made that, from surface in-
ilication.s. these londs may contain a commercial supply of
oil. It would, therefore, appear to be advisable in the public
intiTi'St. -i.Tys the order, that person.s desiring to do .so be
piriiiittr.l to prospect for oil and natural gas in at least a
portion of these re.ser%'e», since the discovery of these pro-
liurts would be c.f great public benefit, and would also materi-
ally cnh.ince thi- value of portions of the reserves retained
by the Crown. The new regulations cnnu- in force on Decem-
ber 6 next,
.'Vnofher order-in-councll providi»« thnt, for n period of
Ave years after the dnt<> \\\ " ■ of the
Interior decides that oil in I been
discowrcd on Crown lands :. ns gov-
erning these lan<ls, the royally to U iu!Uit«.l !>y '.l.c Crown
shall not exceed 5 per cent, of the output of well or sale of
the products of the location, nor be less than 2'-i per cent.,
and for the following five years it shall not be more thon 10
per cent . nor less thnn 5 per cent. Thoreaftor it shall 1h>
10 per cent.
Mrii!>urr<> for rrospcclors' Safety
The rush of prospectors to th' - -*' M^p gov-
ernment to revive the old gnih st-T' Yukon
d.-iys. as the situation threotcns • It is
prop,.?-.! to take steps that those wlio ^o m \\:\\ not become
.1 ,l.:ni;. upon the Royal Canadian Mounted Police. In con-
sequence, only those in good physical shape to stand the
rigors of an Arctic winter and have enough "grub" to keep
them, will be permitted to go. The northwest company that
made the discovery has applied for leases, which will proba-
bly be granted, but under stringent regulations.
Another oil strike is reported at Czar, near Wainwright,
.■Mberta. When the Petroleum and Gas Act was applied to
the forest reserves, it was provided that half the profits
should go to the Crown, and a similar provision is likely to
be made now. The limit leased to any one person is 1,920
acres. The Shell Oil Co. development, which did not
materialize, undertook to split the profits with the govern-
ment.
National Debt Reduced
Expanding revenues last month brought a reduction in
the net Canadian national debt of $2,634,356. At the end of
.September the net debt (no credit being taken for non-
active assets) stood at $2,276,516,163. During October it
was reduced to $2,273,8S1,S06, at which figure it now stands.
The bounding revenue, coupled with a heavy fall in capital
expenditure duo to the practical closing up of war accounts,
is regarded with keen satisfaction. During the seven months
of the fiscal year ending October 31 ordinary revenue was
ns follows: 1920, $256,576,967; 1919, $186,408,795, an in-
crease in revenue of $70,168,172. Total revenues collected in
October alone were $36,671,056, compared with $27,323,334,
or nn increase of over nine million dollars.
The new taxes imposed on sales and luxuries last ses-
.sion arc apparently the money-getters. They are included in
Finance Department returns under the head of inland rev-
enue, and inland revenue last month was nine times what it
was in October. 1919. the figures being: October, 1919,
$I.04.';,70R; October. 1920. $9,534,178. Income tax collections
during the month wire $712,093. in comparison with $272,691
in October, 1919, also a heavy increase. Business profits tax
shows a decline of $208,000. Both customs and excise also
show slight reductions. Ordinary expenditure during the last
two seven months' pcrio<ls of 1920 and 1919 wa-s: 1920.
$180,390,913; 1919, $159,049,406; increase, $21,341,507.
CapitAl expenditure during the seven months was $21,804,572
in 1920, as compared with $230,164,048 in 1919.
November 12, 1920
THE MONETARY TIMES
Western Farmers Hit by Drop in Wheat
But They Are Not the Only Ones Caught by Falling Prices— Producers
Must Lose by Movement Which Benefits Consumer— Two Dollar Wheat
Would Net Farmer Just 81.70— Farming Profits May be Small This Year
By ANGUS LYELL
FARMERS all over the west will be hard hit if there is
any further material drop in the price of wheat. The
cost of putting in and taking off the crop has been abnorm-
ally high, and if less than two dollars a bushel is realized,
the margin of profit, in a good many cases, will be very
small. The government has rejected the appeal of the Can-
adian Council of Agriculture for the re-introduction of a
wheat board, similar to that employed last year, on the
ground that the concerted control of the foreign markets
which then existed is no longer operative. The government
will interfere only if a situation develops similar to that
which existed last year.
What gain the average farmer will make with wheat
selling round two dollars a bushel can at best be but esti-
mated. An important factor — in fact, the controlling factor —
is the yield per acre, which varies considerably. In some
districts, it may be heavy enough to provide for a reasonable
gain even if the price dropped to a dollar and a half a bushel,
while in others, it may be so scanty that two and a half
dollars might be required to avoid a loss.
It is often hard to determine just what is the actual
gain or loss on farming operations. Proper records of operat-
ing expenditures may not have been kept. Allowance may
not have been made for capital outlays, or for depreciation
on the equipment used or other factor of production. One
farmer who gave evidence the other day before the Tariff
Commission at Edmonton stated that he expected a return of
$3,68.5 from a five-hundred-acre farm. But he admitted that
he was not including his own labor and that of his adult son
in the operating charges. Very likely he was also omitting
other proper charges against his revenue, such as interest on
his capital investment — in land, buildings, machinery, work-
horses, and so on — and depreciation on his wasting assets.
A marked drop in the price of wheat would likely eliminate
this man's gain.
Costs Were High This Year
The year has been a hard one on the farmers in the
west. Owing to the poor crop last year, there was in several
districts not only a shortage of seed but insufficient feed.
This led, in many cases, either to a loss in disposing of live
stock or a heavy outlay for maintenance. The cost of seed
was high. In Alberta, for example, seed oats cost from
$1.2.5 to $1.75 a bushel, and wheat from $2.50 to $."?. Many
farmers had to purchase their seed. Then labor for spring
operations cost about one hundred dollars a month, exclusive
of board, and, in some cases, men had to be engaged for the
whole season so as to ensure the harvesting of the crop.
Day wages in the fall soared to eight and ten dollars a day.
On an average, about two and a half bushels of wheat
is required per acre for seed. At three dollars a bushel, the
cost per acre for seed would be $7.50. Then let us put the
average cost of labor per acre at $11, which, I think, is not
excessive for all operations — plowing, discing, harvesting,
thrashing. Estimate the interest on the capital invested in
land, buildings, work-horses, and equipment at $6.50 an acre,
and we have total charges of $25 an acre.
Net Return from Two Dollar Wheat
The average yield of wheat in Alberta this year will
be about twenty bushels to the acre, which is better than the
yield in Saskatchewan. Now, twenty bushels at two dollars
each gives a return of $40. But wheat selling at $2 would
net the producer only about $1.70 at the elevator, or $.34 an
acre, which, according to our estimate, would give a gain of
$9 an acre. The return from a five-hundred-acre field, which
is much larger than the average under cultivation, would be
but $4,500. But were the market price to fall to $1.60 a
bushel, it is obvious that the margin of profit might be en-
tirely eliminated. In pre-war days, when wheat sold at ninety
cents a bushel, the cost of operation was very much less.
Wise Action in Removing Control
It is unfortunate from the viewpoint of the farmers that
there has been a marked drop in the price of wheat, because
of the heavy cost of production. But I think the government
acted wisely in abolishing price control, and I cannot see that
it would be in the best interests of the people as a whole
were any measures now taken — if any could be taken — to
bolster up a falling market, even though the agents of those
European nations which most need our wheat may be help-
ing to manipulate prices.
Market con<litions last year were very different from
those which now exist. European buyers were short of
capital, and the buying and selling devolved on the nations
interested. Both the United States and Canada, as export-
ing countries, had to finance the European powers that pur-
chased their wheat, either by granting loans or credits. For
that reason, it was necessary to fix prices and to practically
eliminate a free trading market.
This year there is no such restraint. There is no con-
certed purchasing by the European nations. The European
nations are receiving no aid from Canada or the United
States to help them in financing their imports. There is an
open market.
We all know very well that the high level of prices of
commodities cannot be maintained. We know that, when a
sharp break comes, some — producers, manufacturers, jobbers,
speculators, and others — are bound to suffer loss. ,It will be
unfortunate if our farmers are "nipped," but a general de-
cline in the cost of food will be a blessing to millions. Once
there is a marked reduction in the cost of the necessaries
of life, there will be a general break in the cost of every-
thing. We will be well on the road to normal conditions.
World Market Must Rule
European buyers cannot well be criticized for purchasing
in the cheapest market. France has an excellent crop, per-
haps more than ample for her needs. Britain, too, has a
good crop, although it is considerably short of her require-
ments. To-day, both the Canadian and the United States
dollar are at a premium in the London market. You can (at
the date of writing) buy the pound sterling in Canada at
$3.85 — a discount of about twenty-two per cent. This means
that if the market price of our wheat is two dollars a bushel,
the British purchaser has to pay an extra forty-five cents
for it. The premium on the United States dollar is higher.
While present exchange conditions continue, overseas buyers
.will undoubtedly delay their orders as long as possible and
then reduce them to a minimum.
But the good harvest this year will be a blessing to the
average man. While the tendency in the west is for the
producers to hold their wheat in expectation of an increase
in the market price, the wheat cannot be carried in storage
for ever. It will be forced on the market by sheer necessity.
There is little money at present in circulation, business is far
from active, and merchants are beginning to insist on settle-
ment of their accounts. Very soon a condition will be
reached where it is imperative to sell. And while a loss to
the farmers is to be regretted, more so than a loss to the
sugar refiners who endeavored to bolster up prices, a general
reduction of prices will be of untold good to the community.
THE MONETARY TIMES
Volume 65.
ItKITlSH nM.l MKI \ WOl 1.1) ItOUHOW MOKE
Ciiniplnin that Eawtt-m Institutions Fail Them and They
Must Go South for Capital
(Staff Correspondence.)
Vancouver, Xov. 11, 1920.
THE future of Vancouver will be built up around its ship-
pinK and export trade, and, while just at present export
trade is somewhat (luiet from Pacific Coast ports, the outlook
for the future is undoubtedly bright. Vancouver has a won-
derful harbor, and has immense possibilities before it. The
natural resources of the province of British Columbia arc
possibly Krcater than any other province in the Dominion,
and much capital will be needed to develop them.
There is a more or less marked feeling of bitterness
nmont: representative men in Vancouver i-t the financial in-
stitutions of eastern Canada and our big financial men for
their lack of foresight in not giving greater assistance or
taking advantage of the great opportunities there are for
the development of British Columbia resources. They claim
that .American interests are much keener in seeing the need
and taking advantage of it, and that many of the important
developments have American capital behind them, particu-
larly in mining, pulp industry and numbers of others.
More Capital Needed
Surely the great heritage that Canadians have in the
province of British Columbia should be attractive enough to
Canadian and British capital, so that in the immediate future
the necessary money for turning these great resources into
wealth would be made available.
In Point Grey municipality considerable growth has
taken place this year. More than six hundred houses have
been built, and there is urgent need for increased water
supply to take care of the population. To further show the
growth and importance of Vancouver, the C.P.R. contemplates
making extensive enlargements and alterations to the mag-
nificent Hotel Vancouver, at present one of the largest and
tu.est ,if the C r.R. hotels.
British Columbia Electric's Position
s i.s increasing steadily at the
I'.. ompiled by the public utility
i:()T . ■ .■ consumers than there were a
yeur ttgu. The Urili.sh Columbia Electric Railway Company
has made some two thousand new lighting connections in
the t.-ist year, and there were many homes built outaide the
I't'iitiiir area. A recent compilation places the population of
r.ie.iii r Vancouver at 203,000.
Ill the last few months the increase in street car trafHc
in and around Vancouver has been, rt>ughly, 500.000 a month.
In meeting this increase the British Columbia Electric Rail-
way Company is in an anomalous position. In the first place,
tile eovernmenl of the province at ita last session put
thnniirh an Act, changing the rule of the road from left to
richt. The cost of this change would be mainly connected
with rhanging the tracks and rolling stock of the street rail-
way companies, and it is estimated that the change would
cost alx>ut a million dollar*. The British Columbia Eleclinc
Railway Company in the meantime cannot order any more
ridlint: stock until this change is put under way, but no one
in the province has decided who is to pay for making th?
change, ond Uiere the matter rests. In the meantime the
traffic continues to grow.
I'UliUni' Jurladirtion Not Yet Sctllcd
Another condition is connected with the fares charged
in Vnni-oover. Tlie r . ' * ■ - " ;nder the
juri.«<liotinn of the I' ilthoiigh
ttie roi)imi«."ion has t. ne Court
nf I ;ir;a,|."j for hearing u. 'i of its
iiiri^ i ti.in. At the last Mouse an
Ao» \va.< passed, returning: - Electric
Roilw.Ty Company to prorr ion at the end of one
year, which expin's in Jul;. . means that the com-
pany will return to the original fares as fixed in the dozen
or more franchises with cities and municipahtes. As the
companv now collects six and seven-cent fares, authorized
first by" the late Provincial Public Utilities Commission and
then ratified by the Dominion Railway Commission, the pos-
sibility of a return to a five-cent fare is serious. In the
meantime the company is receiving requests for extensions
and better service, but, owing to the uncertain condition of
its fares, it replies that nothing can be done in the direction
of further investment until its fares are definitely fixed.
Industrially, Vancouver is forging ahead rapidly. Since
January, 1916, 296 new power consumers have located in the
city, with a connected horse-power of 15,529. In the same
time 8,186 new lighting customers connected with the British
Columbia Electric lines. Similar increases are recorded by
the British Columbia Telephone Company.
"EQUITABLE" NOT AN INSURANCE TRADE MARK
Department Holds American Company Has No Proprietary
Interest in Title— Ontario Equitable Life and .\ccident
Will be Name of New Company
THE word "equitable" is of such common use in the names
of insurance companies that no one company can claim
its exclusive use. This is the substance of a ruling of the
Ontario Insurance Department in connection with the appli-
cation for incorporation of the Ontario Equitable Life and
Accident. Superintendent Gray says: —
"It was urged that the word 'equitable' was so asso-
ciated in Canada with the business of the Equitable Life [
Assurance Society of the United States as to have become
the property of that company in connection with life insur-
ance in a manner similar to a trade name in a commercial
enterprise. I have come to the conclusion that the Equitable
Life Assurance Society of the United States has no proprie-
tary interest in the word 'equitable.' It was, in the first
instance, copied by this company from the Equitable Life
Assurance Society of England, which had already acquired f
a world-wide reputation. The word 'equitable' is part of i
the name of another English company, known as the 'British
Equitable Assurance Company,' and also that of another
company, calletl the 'Scottish Equitable Life Assurance So-
ciety,' and of at least two other companies incorporated in
the L'nited States. Furthermore, the cases establish that the :
word is not of a quality which contains the essentials neces-
sary to constitute a trade mark or trade name. (See Stan-
dard Ideal vs. Standard Sanitary 1911 Appeal Cases, p. 78.)
.\im to Prevent Confusion
".'\side from the above considerations, the real question
upon which the decision of the department must be based
is whether the name 'Ontario Equitable Life and Accident
Insurance Company,' proposed to be given to the new com-
pany, is liable to be confused with the name, 'Tlie Equitable
Life .\ssurance Society of the United States.' My conclusion
is that no confusion will result from the fair use of both
names.
"If any attempt is made by representatives of the new
company to pass off the policies of the new company as being
the policies of the other company, there are proper and ade-
quote legal remedies for such an offence.
"In order that the misuse of the name, innocent or other-
wise, may be guarded against, the applicants will be asked
to provide on undertaking or agreement in form satisfactory
to the department to the effect that in any abbreviation of
the name of the company for ordinary purposes the word
'Ontario' will be retained to distinguish the name from that
of any other company whose name includes the word 'equi-
table.'
"In coming to this conclusion and adopting this sugges-
tion I have had regard to what has been the practice of in-
surance departments in other jurisdictions, particularly in
Canada and Great Britain, in similar circumstances."
November 12, 1920
THE MONETARY TIMES
ilUinelarj tttmes
Trade Review and Insurance Chronicle
of Canada
Addresa: Comer Church and Court Streets, Toronto, Ontario. Canada.
Telephone: Main 7404, Branch Exchange connecting aU department!.
Cable Address: "Slontimes, Toronto."
Winnipec Office: 1206 McArthur BuildinE. Telephone Main M09.
G. W. Goodall, Western Manager.
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The Monetary Times was established in 1867, the year of Confedera-
tion. It absorbed in 1869 The Intercolonial Journal of Commerce, of
Hontreal : in 1870 The Trade Review, of Montreal ; and the Toronto
Joarnal of Commerce.
The Monetary Times does not necessarily endorse the statements and
opinions of its correspondents, nor does it hold itself responsible therefor.
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PRINCIPAL CONTENTS
Editorial: page
Selling Canadian Goods Abroad 9
Factors in Price Reduction 9
A New Proposal on the Housing Problem 10
Insurance Training Required 10
Special Articles:
Necessity and Opportunity for Canadian Exports . . 5
May Prospect Forests for Oil 6
Western Farmers Hit by Drop in Wheai 7
"Equitable" Not an Insurance Trade Mark 8
Interim Report on Ontario Timber Probe 14
^larine Insurance, Policies and Claims 18
Will a Gold Boom Help? 28
Finances of British Columbia Municipalities 30
Large Reserves H.ave Helped Banks 32
Bond Issue Was Legally Authorized 34
Maritime Provinces Support Protective Tariff .... 46
Monthly De^partments :
September Bond Sales 22
September Fire Losses 9A
Weekly Departments:
News of Industrial Development in Canada 36
Insurance Licenses Issued 38
News of Municipal Finance 40
Government and Municipal Bond Market 42
Corporation Securities Market 46
The Stock Markets 48
Corporation Finance 50
Receat Fires 52
SELLING CANADIAN GOODS ABROAD
SOONER or later this country must build up a substantial
surplus of exports over imports, and maintain that sur-
plus for an extended period. This will not make Canada
rich, but will merely enable it to pay the interest on the im-
mense sums which have been borrowed abroad. A large part
of our exports will no doubt for a long time to come consist
of raw materials, the product of our farms, forests, mines
and fisheries. But in adopting protection with its consequent
high costs we have imposed a handicap on these industries,
which must be offset by the export of products of our manu-
facturing industries whose existence and success is made
possible by the tariff.
Canada has not in the past been able to build up a per-
manent surplus of exports. The favorable balances of the
fiscal years ended March 31, 1916, 1917, 1918, and 1919 were
the result of war conditions. The only favorable balances
on record before these years were in 1880 and in the four
years 1895 to 1898. In every case the surplus ha.s quickly
disappeared when the special conditions causing it were re-
moved. The war-time surpluses were due to the unusually
large exports to the United Kingdom, France and other
allied countries. In the twelve months ended September 30,
1920, our exports to Great Britain were only $375,461,000,
compared to $549,209,181 in the preceding twelve months,
and to $712,670,404 in the twelve months ended March 31,
1918. The exports to France were, for these three years,
$43,941,390, $73,688,731, and $131,460,692 respectively.
These reductions reduced our total exports from $1,358,419,-
580 in 1918 to $1,210,541,387 in 1919, and to $1,208,919,175
in 1920, being made up in part by increases in exports to
other countries.
This is the national aspect of our foreign trade problem.
It has also a practical significance to Canadian manufac-
turers, who build up a large war-time business abroad under
the stimulus of a world-wide scarcity of goods, and who must
now build up an efficient export organization if their scale
of operations is to be maintaind under the more keenly-
competitive conditions which will prevail in the next few
years. Foreign business is a new field for most Canadian
manufacturers, and it is one in which success is to be
achieved only after years of preparatory work. A compre-
hensive sur\-ey of the situation is made in the series of
articles, the first of which is published in this issue of The
Monetary Times, by Col. C. R. Hill, who has made a close
study of the question and whose firm has already been of
service to many Canadian manufacturers since it was or-
ganized last year.
The suggestions made in these articles are practical,
dealing with export organization at home and abroad,
agencies, sales campaigns, financing, shipments and pack-
ing, and the numerous details which must be considered in
foreign business. While Canada is not dependent on foreign
business to the same extent as are countries like the United
Kingdom, whose prosperity has been built up in this way,
yet Canadian manufacturers will benefit to the extent that
they can advance our products to the manuactured stage,
rather than have them exported merelv as raw materials.
F.VCTORS IN PRICE REDUCTION
BUSINESS men are no longer deceiving themselves as to
the trend of business on this continent. Quietness has
been rather more in evidence across the border than in this
country, for there prosperity had reached its maximum
and New York exchange was at a premium in almost every
other country. It was expected therefore that the United
States would be the first to feel the change, and this ex-
pectation has been realized. The industrial and commercial
situation in Canada, it is pointed out by the Canadian Bank
of Commerce in its November Commercial Letter, is in-
fluenced to so great an extent by the movements of com-
modity markets in the United States, particularly those of
domestic raw products, that the continued fall on the part
of cotton and wool, combined with a determined effort on
the part of growers to hold their stocks for higher prices,
cannot fail to have an unsteadying effect on Canadian manu-
factures.
T 11 E MONETARY TIMES
The prospect of a further decline in commodity prices
continues to favor tonservative buying. Other factors in
dcU-rminintr thin attitude are the publicity piven to the
Tariff Commission's investigations, the gradual elimination
of govornment control from the marketing of important
manufacturoil and domestic products, and the feverish move-
ments of foreign exchange. On the other hand there are
some reassuring factors. Immigration continues to increase,
the greater number coming from British territory.. Mean-
while United SUtes farmers continue to take up holdings in
western Canada, where land values arc firm with a decidedly
upward tendency, as is also the case in eastern Canada.
'The marketing of the cereal crops during the early
part of October was delayed somewhat by declining prices
and a shortage of railway cars. Holders of live stock who
were favored with good fodder crops deferred shipments
pending an Improvement in market conditions, but in spite
of this an average number of cattle found its way to the
markets. Terminal and country elevators are congested with
grain, the holders anticipating an advance in prices. Under
such conditions the current obligations of farmers and coun-
try store-keepers have not been liquidated as promptly as
expected. This situation creates a strain upon the avail-
able supply of credit. In certain extensive areas in the west,
there has been an accumulation of farmers' obligations for
seed grain, current liabilities, and mortgage arrears caused
by a series of bad harvests. Fortunately the threshing re-
turns in most of these districts indicate satisfactory crops
this season.
INSURANCE TRAINING REQUIRED
A NEW I'ROI'OSAL ON THE HOUSING PUOBI.K.M
THE housing .shortage is now a thing of the past. I'lopeily
rentals ami values have advanced to such a degree that
there need no longer be a gap between demand and supply; in
fact, It may be necessary to restrict house rents and thereby
control the value of Improved property, which ia the net
rental capitallzeil.
Such nt least is the viewpoint suggested by a bill which
has just been drafted by the Ontario government for sub-
mission at the next session of the legislature. The bill aims
at setting up courts for the regulation of house rents. But
the record of building by no means confirms this viewpoint.
Costs of construction are still so high as to prevent builders
from placing houses on the market nt the pr(>sent time. Even
the pri«scnt level of rentals is not sulTlciently high to make
R^jch an investment profitable, and there is also to be con-
sidered the possibility of rents coming down in the period
of dullness and contraction upon which we appear to be
entering. House rentji must bo determined on the basis of
present ron.^t ruction costji; that such rent* may afford too
largo or too small a return on all property is unavoidable,
just B» n change in Commodity or security prices affects
the values of those held by previous purchasers.
A New York court has just held an act providing for
the control of r< nts to 1m< unconstitutional on the grounds
that it ilisrriminates betwj-en the owners of old and new
property. While our Canadian constitution is not so specific
in its definition of the rights of the individual ns is that
of the United States, the spirit of British law rniuires
that there be no restriction of property rights so long as
competition prevails. .Xpart from the fundament.-illy
monopolistic character of land values, improved properties
nrr still bought and sold in the open market, there being
no controlling group on either side. If there are still in-
sufficient houses in our industrial centres, the level of rents
anil vnlues must be made sufficient' ' ' ■ . liable them to
be built at a margin of profit. '1 ■ nt and many
municipalities tried to solve thr v nt having re-
gard to this consideration, .ir VImost evcrj-
city in C^inada is now disr .if rents, but
such a measure as the pm, . ..; cannot bring
any remedy to the situation
SE\'ENTY QUI of one hundred and sixty-eight universities
in the United States now have courses in insurance or
are about to start such courses. Practically no attention
has been given to insurance by Canadian universities, and as
systematic training of employees is a difficult thing for an
individual company to carry on there is a good opportunity
for co-operative effort on the part of the companies. The
Insurance Institute of Toronto has offered courses in in-
surance for the past twenty years, but employees have made
little response. Many years ago there was a similar institute
in Montreal, but it passed out of existence; last year, how-
ever, the Fire Insuiance Society of Montreal commenced an
active educational program.
There are many organizations of this kind in the United
States. At the twelfth annual conference of the Insurance
Institute of America in New York recently, President
Frederick Richardson reported a substantial development of
interest in the ins titute movement. Not only has there
been a large increase in the number of students attending
classes and sitting for the examinations, but a much more
general recognition of the functions performed by the or-
ganization has been secured, he said. The necessary financial
assistance to carry on the work planned in previous con-
ferences is now assured, and the institute will go ahead with
its program, which includes the following: (1) A permanent
office for the institute, with a paid secretary, whose duty
it will be to direct the various activities under the presi-
dent; (2) incorporation of the institute; (3) the preparation
of a revised casualty course and life and marine courses;
(4) the preparation of suitable text books that may be used
both for class work and for tuition by correspondence. A
decision will soon be made as to whether the institute will
seek to obtain a federal or a state charter, and if the latter.
In what state to incorporate.
The strength of the public ownership movement on this
continent is proven by its ability to survive such revelations
of graft as are now being made in connection with the United
States Emergency Fleet Corporation.
■.■ i J f t
The Dominion government has instructed its various de-
partments to conserve paper and twine. To the casual visitor
to government offices the superfluity of labor is the most
glaring example of extravagance.
A returned soldiers' organization now urges another
• bonus" of $8,000,000 on account of loss of exchange on pay
received overseas. The ingenuity of war veterans in finding
new "claims" on the government could be better applied in
productive channels.
♦ • • • •
A Montreal despatch dated Novembe.- 10 states that
the Canadian bank., will not finance the importation of
securities, while another Montreal despatch of the same date
refers to an offering of city of Paris bonds through several
Montreal institutions which arc members of the Bankers-
Association or of the Bond Dealers' Association. The Paris
bonds are for the purchase of goods in Canada, but Is not
money released ,n Can.,ia to the credit of Briiishors also
.•»\ailable for the purchase of Canadian goods?
tins VZ\'"l °." ''"'''■: "? ^^^ °'"''^'" °f the day. but such
of whLb b. IZ"'-" f^u"'"^^- Lunching recently at a club
of the wni^l if t,'" '"'""" '^ "^""'''"' ^ broker enquired
of the waiter f there was any rule against tips.
No sir replied the expectant waiter.
sell it at on^.''"' " ^""" '''^" ""^ Consolidated Oil stock.
November 12, 1920
THE MONETARY TIINIES
11
Bank of Hamilton
HEAD OFFICE - HAMILTON
Established 1872
Capital Authorized
Capital Paid Up October 30th, 1920)
Reserve Fund (October 30th, 1920)
$5,000,000.00
4,889,770.00
4,644,885.00
DirectoTM
SIR JOHN HENDRIE, K.C.M.G., C.V.O.. President
CYRUS A. BIRGE. Vice-President
C. C. DALTON ROBT. HOBSON W. E. PHIN
I. PITBLADO, K.C. J. TURNBULI. W. A. WOOD
Branches
At Montreal, and throughout the Provinces of
Ontario, Manitoba, Saskatchewan, Alberta and
British Columbia.
Savings Department at all Offices.
Deposits of $1 and upwards receiTcd.
Advances made for Manufacturing and Farming
purposes.
Collections effected in all parts of Canada promptly
and cheaply.
Correspondence solicited
J. P. BELL
General Manager
CURRENT ACCOUNTS
Efficiency is hard to obtain and
highly paid for. Merchants and
Manufacturers will find this
Bank equipped and prepared to
give all Current Accounts the
efficient care and careful con-
sideration they demand.
Open a Current Account with
this Bank. Your interests will
be faithfully looked after by
experenced men.
IMPERIAL BANK
OF CANADA
212 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land— The Commercial Bank of Scotland,
Limited, Edinburgh and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Afjents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
Industry
of the Soil
'T^HE resources of this Bank are an
essential element in the Dominion's
fundamental industry — exploitation of
the soil.
For 55 years we have been promoting the
interests of agriculturists.
To-day, our co-operation is being utilized
from coast to coast in an endeavor to
increase the output of the fields.
UNION BANK
OF CANADA
THE
Bank of Nova Scotia
Established 1832
Capital
Reserve
Total Assets
$9,700,000
$18,000,000
$230,000,000
GENERAL OFFICE : TORONTO, ONT.
H. A Richardson, General Manager
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic, Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
55. OLD BROAD STREET. E.C.2
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
Thomas Costello, who for some years has been textile
adviser and Dominion appraiser of customs, has resigned his
position to take over the management of the Toronto branch
of the Capital Trubt Corporation oi Ottawa.
M. P. Lancstaff, the assistant general manager and
actuary of the newly formed Ontario Equitable Life and Ac-
cident Insurance Com-
pany, of Waterloo,
Ont., has been actuary
of the Dominion Life
Assurance Company,
Waterloo, since 1910.
Previous to that he
was connected with
the Imperial Life and
the Continental Life,
becoming assistant
actuary of the latter,
lie is a Fe!low of the
Institute of Actuaries
of Great Britain and
an aijsociate of the
.Vctuarial Society of
.America. As a re-
sult of the organiza-
tion efforts of S. C.
Tweed, the general
manager, and of Mr.
Lanirstaff, the first
issue of *.">00,000 of
capital stocia has al-
ready been fully sub-
scribed. This Wiis accomplishnl between October 1st and
October 29lh, and probably establishes n record in life in-
surance organiznlion in Canada.
J. H. C. Lawrence, a well known figure in Winnipeg
financial circles, was recently appointed manager of the
Winnipeg branch
of the Canada Per-
manent Trust
Company, to suc-
ceed G. F. R.
Harris. The Can-
n d a Permanent
Trust is an off-
shoot of the Can-
a d a Permanent
Mortgage Corpora-
tion whose head-
quarters ore at
Toronto, and the
formation of the
trust company was
undertaken to
work hand-in-hand
with the parent
company, doing
gvneral trust com-
pany bu9ines.<i. Mr.
Lawrence has been
with the company
since 1896 in vari-
ous capacities both
in the cast and the
Canada Permanent
G. F. R. Harris.
i president of the
itiun to 8Ucco<>d the Inte
of the pioneer land and
atchcwan, and has its
The vice-presidents are Sir Geo. E.
wcs-t. Me IS W
Mortgage Conij
D. J Met'.
Eastern and Wei>t«-i n
Thomas Long. The c
co!'-- - • -Tnizjili
'i' ' '>nto.
OBITUARY
A. J. Macdonell, manager of the Kingston, Ont, branch
of the Bank of Montreal, died on November 5, following a
brief illness. Mr. Macdcnell entered the Ontario Bank at
Lindsay in 1877, and was promoted to Port Hope, Montreal
and Cornwall, and became manager at Emerson, Man., in
1881. The next year he was appointed superintendent of the
North-West Territory. In 1884 he was appointed assistant
manager at Winnipeg, and subsequently became manager at
Mount Forest, Port Perr>-, Guelph, Port Arthur and Sud-
bury, Ont., fro.-n which place he went to Kingston.
.S.VLE OF P.VCIFIC COAST FIRE INSURANCE CO.
The sale has just been consummated of the Pacific Coast
Fire Insurance Co., with head office in Vancouver, B.C., to
the Century Insurance Co., Ltd., of Edinburgh, Scotland.
The Century acquire the controlling interest in the company,
paying $120 per share for fully paid shares, directors and
shareholders receiving the same price for their stock.
With the control of the Pacific Coast Fire passing to
that of the Century, no change in the name of tlie company
will be made and the head
ofiice will continue to re-
main in Vancouver, B.C.
T. W. Greer, who has
been solely responsible for
putting through this im-
portant deal, has been
manager of the Pacific
Coast Fire for the past
twelve years, two years as
branch manager in Tor-
onto and ten years as
managing director in
Vancouver, is to remain
under contract with the
organization, and he will
also continue to act as
manager for the Century
Insurance Co., Ltd. of
Edinburgh, Scotland, and
the Vulcan Fire Insur-
ance Co. of Oakland, California, which position he has held
jointly with the Pacific Coast Fire during the past five years.
The premium income written by the office this year will
amount to approximately $800,00o" in premiums, all three
companies operating the Canadian field from Quebec west
to British Columbia.
The Pacific Coast and Century net loss ratios for the
first ten months of this year are in the neighborhood of 35
per cent., whereas the Vulcan have a net loss ratio in Canada
this year for the first ten montlis of well under 20 per cent.
UOYAL TRUST COMPANY MEETING
A year of satisfactory progress and continued growth
in the business of the Royal Trust Company was reported at
the annual meeting of the shareholders on November 9th,
presided over by Sir Vincent Meredith, Bart. The old board
of directors and executive of the company were re-elected
at the meeting, with Sir Vincent Meredith, Bart., president,
and Huntley R. Drummond, vice-president.
Robert Watson.
Becau.oe they consider that the amendments to the cor-
pomtion taxation act, passed at the la.st session of the
Manitoba legislature, are discriminatory legislation, brokers,
manufacturers, agents and commission merchants organized
in the Winnipeg board of trade will contest its validity in
the appeal court, according to a decision reached on Octo-
November 12, 1920
THE MONETARY TIMES
13
THE Sterling Bank
OF CANADA
Through personal contact with the client we obtain
an intellegent understanding of his business which
proves of value in assisting him in the expansion
of that business.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament. Established 1825
Capital Subscribed ;^5.000.000 825.000,000
Paid up 1,100,000 5,500.000
Uncalled 3,900,000 19,500,000
Reserve Fund 1 ,000,000 5,000,000
Head Office - EDINBURGH
WILLIA.M CARNKGIE. General Manager. GEOKGK A. HUNTER. Sec.
LONDON OFFICE— 37 NICHOLAS LANE. LOMBARD ST., B.C. 4
T. C. RIDDELL. DUGALD SMITH.
Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, are
retired on terms which will be furnished on application.
The Standard Bank
of Canada
Established 1873 152 Branches
Capital (Authorized by Act of Parliament) $5,000,000.00
Capital Paid-up :l.,500.000.00
Reserve Fund and Undivided Profits 4,7^7,326.90
DIRECTORS
Wellikoton Francis. K.C. Hubert Lasolois.
President Vice-President.
W. F. Allen, F. W. Cowan. T. U. Greening. H. Langlois,
James Hardy. F.C.A.. Thos. H. Wood.
Head Office. 15 King St. West TORONTO. Ont.
C. H. EASSON. General Manager.
J. S. LOUDON. Assistant General Manager.
SAVINGS BANK DEPARTMENT AT ALL BRANCHES
The Dominion Bank
EST ABU SJ I ED 1871
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
THE
Exchange Rate
VII.— What Controls It?
WE have shown in former issues of
this series that currencies, outside
their own countries, are commodi-
ties, not money; the advantage of Bills of
Exchange over gold for making settlements
and the effect of .the Trade Balance on the
Exchange Rate. In our last article, we ex-
plained the influence of the Inflation of the
Currency. We will now deal with the eflfect
of the second of the War Finance measures,
the Restriction of the Export of Gold.
Before the War, except during the
greatest financial crises, paper currencies
of the chief countries could be redeemed in
gold on demand, and the gold could be sent
to another country.
The fact that this was possible had
great controlling influence on fluctuations
in exchange, for when the premium on a
Bill of Exchange on any country rose above
the cost of shipping and insuring the gold,
settlements weie made by such shipments.
Gold reserves, if depleted by shipments to
countries where our paper money was at a
discount, usually were restored by the pur-
chase of gold in countries where our paper
money was at a premium. The range of the
rise and fall in exchange was thus kept
within comparatively narrow limits.
When war broke out, however, all the
belligerents prohibited the export of gold in
order to retain as large reserves as possible
for their future financing.
The principal controlling factor in the
exchange market was therefore withdi-awn,
and the price of Bills of Exchange depended
chiefly on whether the amount off'ered ex-
ceeded, or was less than the demand.
In our next issue, a week from to-day,
we shall touch upon some other influences
on the exchange value of the dollar which,
to keep the problem in its simplest form,
have so far been omitted.
THE CANADIAN BANK
OF COMMERCE
Capital Paid Up - $15,000,000.
Reserve Fund - $15,000,000.
Thii icrici. n>Acn complclcJ. Jxill he pub-
Vtihcii in pamphlet form. If you desire a
copy, "■'■''e lo our HeaJ Offiee, Toronto.
THE MONETARY TIMES
Volume 65.
INTKKI.M IJKIMIKT (JN OMAUIO IIMHKU I'HOliE
tommissioners Ki-comnu-ndi-d That Legal Action l>e Taken
to Secure Amounts Due Government
ACTING upon recommendations conUincd in a second in-
terim report by Justices Riddell and Latchford, the
Ontario government will at once Ukc action in the courts
to recover from the Shevlin-Clarke Lumber Co., of which
J. A. Mathieu, Conscn-ativc member for Rainy River, is
general manager, a sum running into millions, due to the
province on lumber for which no return was made. This is
the second interim report to be issued by the commission
which hn.s been enquiring into the timber licensing operations
of the province.
Recommend Legal Action
The commissioners, in advising the government that pro-
ceedings should be taken, express themselves strongly re-
garding the way the company has-dealt with the government.
"Krom the facts before us, in great measure from the books
and records of the company and from their servants, we
think the Shevlin-Clarke Company has defrauded the pro-
vince of large sums of money," says the report. "In our
opinion, such proceedings should be taken by the Attorney-
General for the punishment of those who have committed
forgtry and perjury as the evidence submitted herewith may
justify. We also recommend that proceedings be taken to
recover from the Shevlin-Clarke, Limited, of Fort Frances,
the .sums of money unlawfully withheld from the province,
and for the cancellation of the license for berths 45 and 49
in tho Quctico Forest Resene."
The two berths referred to were given to the company
under license by Hon. G. Howard Ferguson on August 30,
1919, without notice to the public and without competition
as required by the regulations of the department then in
force. The commissioners, in commenting upon Mr.
Ferguson's assumption that he had a right as minister to
'lonl with such matters regardless of that regulation, point
it there is no provision in the statutes or regulations
•,r an exception to the clear provisions set up in the
„ . iii>n."», and assert that the issue of the license by Mr.
Ferguson was a violation of the law of the province.
Proper ReturnH Not Made
The greater part of the interim report is devoted to
: ■ ni; liow it was possible for the Shevlin-Clarke Company
t ' millions of feet of lumber for which they made no re-
•ir; t.i the Crown. It emphasizes the extent to which the
province was dependent upon the honesty of the cullers, and
then goes on to show how the cullers api>ointcd by the gov-
iTiuiient were appointed. The commissioners do not com-
ment upon the contradiction in the statements of Mr.
.M.'itliieu and Hon. Mr. Ferguson. The former maintained that
he hail the patronage for the district, 'while Mr. Ferguson
declared that no member had the patronage in his depart-
ment— Mr. Mnthieu or anyone else but they i>oint out that
the culleni at the company's operations might well believe
that their appointment depended upon Mr. Mathieu'a good
will. They draw attention to the fact that some of the
cullers appointed by the government to measure the lumber
cut by the company were for a part of the year in the em-
ploy of the company, and one wa« in receipt of money from
the company all the year around.
The report explains the system of keeping reconls. the
pr<ivision calling for an oath n» to the correctness of the
recortls ot the end of the season. These checks, say the com-
missioners, should have been sufficient to ensure a reasonably
accurate return of the timber cut. "But," soys the report.
"thi- returns made to the government by cullers and by the
cnmp.Tny's ser\-Bnls on behalf of the comp.^ny cont-iin a
gre.1t m.iss of perjury and forgery. In many cases affidavits
were made in blank, in many coses alleged affidavits were
not sworn to. and in mony cases the signatures to the
affidavits were deliberate forgeries. Some of these docu-
ments were prepared and completed in the company's offices."
In the nine years from 1911 to 1919 inclusive the mills
of the company produced 649,946,017 feet of lumber, but the
government received returns for, and was paid on only 294,-
181,714, so that the company had 355,764,303 feet more lum-
ber'than appeared in the return to the government.
GRAIN SITUATION TO DATE
The Northwest Grain Dealers' Association estimates this
year's crop production in the prairie provinces as follows: —
Manitoba
Bushels Total
Acres. per acre. bushels.
Wheat 2,687,000 15.1 40,573,700
Oats 1,887,000 33.6 63,403,000
Barley 865,000 22.3 19,289,500
Rye 268,000 15.7 4,207,600
Flax 62,000 6.8 421,600
Saskatchewan
Wheat 9,440,000 13.3 125,552,000
Oats 5,126,000 29.8 152,775,000
Barley 480,000 20.4 9,792,000
Rye " 202,000 14.8 2,989,600
Fiax 1,032,000 5.8 5,985,600
Alberta
Wheat 3,644,000 17.6 64,134,400
Oats 2,906,000 25.2 102,291,000
Barley 418,000 26. 10,868,000
Rye 88,000 18.6 1,636,000
Flax 84,000 6.5 .546,000
Aggregate
Wheat 15,771,000 14.6 230,260,000
Oats 9,919,000 32.1 318,449,000
Barley 1,763,000 22.6 39,949,500
Rye 558,000 15.8 8,834,000
Flax 1,178,000 5.9 6,943,000
A summary of the grain situation as at October 30 is
made by the association as follows: —
Wheat Situation
Oct. 30, '20. Nov. 15, '19.
Bushels. Bushels.
Wheat inspected to date 59,250,000 60,329,000
In store at country points 28,500,000 24,500,000
In transit, not inspected 12,000,000 4,500,000
.Mlowed for seed and country mills 37,000,000 36,000,000
136,750,000
Balance in farmers' hands to market, 93,510,000 bushels;
amount yet to bo inspected. i:?4,010,000 bushels.
In store,
country points.
Bushels. Bushels.
Outs inspected to date 8,929,000 5,160,000
Bnrley ' 2,901,000 1,720,000
'^><' 1,022,000 625,000
'■"'•■'^ 772,000 .500,000
The Kent Building, ore of Toronto's large office build-
ings, has just been purchased by the Childs Co., Ltd., which
has for some years past occupied the ground floor as a
re.'taurant, for $1,000,000.
November 12. 1920
THE MONETARY TIMES
15
Bank of New Zealand
ESTABLISHED IN 1861
Bankers to the New Zealnr.^ r-„,.
Zealand Government
CAPITAL
''''luluZt (S'3.Z84.026) and R..,„, F„„,
u.di,id«ip„f„. :.:::;:::;::. ..::.: s2M5o.276
Aggregate A„et. .131.1 Marcll. 1920 .........'.'. \ 257,500944
Head Office:
WELLINGTON
NEW ZEALAND
H. BUCKLETON
General Manager
A Jt*^^^.)^^ ^'^ ^^'•^' ZEALAND has Branches at
(iustra?a) ^vf' ""h"",- "'?" ?', .^'^'bourne and Sydney
London ''"^'' ^'"'"'' *"'=' (Samoa)! and
nf plllt "^^H *'^'' f^<:iliV" f°'' fansacting every description
andmherPmdu^fr ,h',""'' ^" '*" «=»»aWi»hment of \Voo"
anv^f I, i i^ , Credits, either m sterling or dollars, with
any ot Its Australasian Branches.
LONDON OFFICE: 1 Qu.eo Victoria Street, Mansion Hou.e, E.C. 4
CHIEF CANADIAN AGENTS .
Canadian Bank of Commerce Bank of Montreal
HomeBank«fCanadai
THREE PROFITS IN SAVING
There are three sources of profit in a Savines
Account. In the first place you securely have
the money yot. s^ve ; then you have the in-
terest paid on your savings; and finally, as the
habit of saving grows, the person keeping the
Savings Account developes an instinct for
business.
Branches and Connections Throughout Canada
Head Office and Eleven Branches in Toronto = .
THE-
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
HEAD OFFICE. WEYBUR.V. SASKATCHEWAN
Branches in Sa.skatchewan at
Griffin. Colgate, Panginan. Radville. Assiniboia Benson
Verwood. Readlyn. Tribune, Expanse, Mossbank Va^Uage'
Lewv^n ■ ^""^"'^y- Stoughton. Osage, Creelman and
A GRNKRAI. BANKING BUSINESS TRANSACTED
"■ O. POWELL, General Manager
TH€ MCRCHANTS BANK
Head Office: Montreal. OF CANADA Established 1 864.
Capital P.id-np, $8 400,000 Re.erve Fund and Undivided Profits, $8,660,774
Total Deposits (30th Sept., 1920) - Over $167,000 000
Total Asset. (30th Sept., 1920) - Over $205,000,000
President
Sir F. OrrOr«- Lewis, Bart.
Hon. C. C. Ballantyne
F. Howard Wilson
Board of Direetort :
SIR H. MONTAGU ALLAN Vice-President
Farouhar Robertson
Geo. L. Cains
Alfred B. Evan.s
Thomas .Ahearn
Lt.-Col. J. R. MooDiE
Hon. Lorne C. Webster
A. J DAWES
E. W. Knkeland
lioRDON M. McGregor
General Manager . ■ D. C. Macarow
Supt. of Branches and Chief Inspector : T. E. Merkktt
General Supervisor - . . w. A Meldrum
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice.
399 Branches in Canada, extending from th« Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookali. Agenls
London, England, Office, 53 Cornhili: J. B.Donnelly, D.S.O., Manager
Banker! io Greal Britain : The London Joint City & Midland Bank, Limited, The Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
UKITAIN TO KKl'AY $150,000,000
In 1010 tlu'Ciinaaian bunks loaned the British government
$100,000,000 for the purchase of munitions, and a similar
amount in 1917 for the purchase of wheat. These loans
are now being repaid. For the first six months, conimencinK
November 1, the monthly payments will be ii;5,000,000 each,
and for the next year ?10,000,000 per month, thus wiping out
the debt by May, 1922.
The.se loans were originally advanced on a three-years'
basis, and at a moderate rate of interest. Renewals have
been made from time to time, and repayment commenced at
the beginning of this year. Krom January 1, 1920, till May
1, monthly payments of 10 millions each were made by Great
Britain, thus leaving the present balance of 150 millions to
dispose of.
Great Britain still owes Canada about 180 millions, in
addition, which represents the credit balance due the Cana-
dian government on the various advances made mutually
by the two governments to each other to cover their respec-
tive war expenditures in the two countries. No arrangements
for the liquidation of this debt are known to have been made
as yet. The repayment of the other debt of 150 millions to
Canadian banks, will, however, materially assist the credit
position of the Dominion, and bankers express much satis-
faction that the account is being thus disposed of.
EXCHANGE QUOTATIONS
Glazebrook and Cronyn, exchange and bond brokers,
Toronto, report local exchange rates as follows: —
Counter.
% to Vi
Buyers.
12% pm
Tar.
Sellers,
in pm
54 pra
N.Y. funds
Mont, funds
Sterling —
Demand $3.82 $3.83
Cable transfers 3.83 3.84
Bank of England rate, 7 per cent.
New York quotations of exchange on European countries,
as supplied by the National City Co., Ltd., Toronto, at No-
vember 11, 11120, follow: London, cable, 337Tit; cheque, 337'/i;
Pari.s, cable, 5.79; cheque, 5.78; Italy, cable, 3.44; cheque,
3.43; Belgium, cheque, 6.12; Swiss, cheque, 15.30.
RAILROAD KMtMNCS
The following are the approximate gross earnings of
Canada's tran.scontinental railways for the month of Octo-
Iter: —
Can.-idi.in Pacific Railway.
1920. 1919. Inc. or dec.
October 7 $5,356,000 $:?,9f.5,000 +$1,391,000
October 14 5,(>89,000 4.029,000 + l,Ci'>0,000
October 21 5,983,000 4.241,000 )- 1,742,000
October 31 7.579.000 6.878,000 + 1,701,000
Total $24.r.07.000 $ls».l 1:1,000 -I- $6,494,000
Canadian Nalionml lUtlway.
October 7 $2,667,913 $2,140,414 + $ 617,499
October 14 2.901302 2.012.883 + 888.919
October 21 2.917.348 2,167,313 + 7B0.035
October 31 3,874.104 3,221.718 + 6B2..386
Total $12,361,167 $9,642,328 +$2308339
(;rnnd Trunk Railway.
October 7 IS $2,115,630 + I 622,288
October 14 -73 2,148,124 + 409.149
October 21 2.<'""<;.086 2,101,886 + 5R4,201
October 31 3,706,621 3,176,006 + 6.30.616
BANK BRANCH NOTES
Four New Branches Announced This Week— Royal Bank
Branch at Woodbridge Robbed
The following is a list of branches of Canadian banks
which have been opened recently: —
Wedgeport, N.S Royal Bank of Canada
Toronto City Hall Branch . . . Dominion Bank
Lower Wood Harbour, N.S. . . Royal Bank of Canada
St. Thomas, Ont Royal Bank of Canada
T. V. B. Bingay, manager of the branch of the Bank of
Montreal at Yarmouth, N.S., has been granted leave of ab-
sence from about the 1st of December.
D. McCallum, formerly manager of the Bank of Nova
Scotia at Portage la Prairie, has been appointed manager
of the branch at Fort William.
Harry J. Sterling has returned to Winnipeg and entered
the service of the Bank of Hamilton as manager of the
Princess St. branch, succeeding Geo. McCombie, who was
recently made assistant manager at Vancouver, B.C. Mr.
Sterling first associated himself with the Bank of Hamilton
at Simcoe, Ont., twenty years ago, and has occupied positions
of accountant at the Winnipeg main office and manager of
the Fort William branch.
The branch of the Royal Bank in Woodbridge, Ont., was
robbed of §15,000 in notes on the night of November 2. Some
weeks ago an attempt had been made by robbers to enter the
bank, but neighbors gave an alarm and the robbers escaped.
This time the vault was broken open. James Fleming, who
had just left the bank that evening to go on a vacation,
prior to taking up a new appointment as manager of the
Royal's branch at Bolton, Ont., was arrested the following
day in Toronto. He was released at once, however, and has
now entered an action for $50,000 damages against the bank,
alleging malicious prosecution, trespass and false imprison-
ment.
Total
$11,666,798 $9,640,644
jj.i'ji;
WEEKLY BANK CLEARINGS
The following are the Bank Clearings for the week ended
November 11, 1920, compared with the corresponding week
last year: —
Week ended Week ended
Nov. 11, '20. Nov. 13, '19. Changes.
Montreal $164,392,544 $131,452,622 -f $32,939,922
Toronto 107,551,105 100,925,696 + 6,625,409
Winnipeg 110,806,325 68,139,541 + 42,666,784
Vancouver 17,148,162 13,627,783 + 3,520,379
Ottawa 15,214,940 15,105,121 + 109,819
Calgary 12,199,332 10,698,932 + 1,600,400
Hamilton 7,820,896 7,387,131 + 433,765
Quebec 8,726,996 6,435,379 + 2,291,617
Edmonton 6.240,396 6,277,693 — 37,297
Halifax 5,393,.397 4,641,349 -|- 752,248
London 4,032,250 3,488,070 + 544,180
RcRina 6,619,164 2,650,000 + 3,969,164
St. John 3,697,700 2,139,865 + 1,557,835
Victoria 2,842,441 2,542,020 + 300,421
Saskatoon 3,020,613 2,196,975 + 823,638
Moose Jaw 2,628,163 2,560,392 + 67,771
Brantford 1,523,734 1,474,248 + 49,486
Brandon 1,174,138 1,126,343 + '47,795
Fort William . 1,152,464 1,043,886 + 108,578
I-cthbridgc 1,314,759 839,521 + 475,238
Medicine Hat ... 793,365 581,509 + 211,856
New Westminster 749,542 552,495 + 197,047
Peterboro 951,751 1,213,958 — 262,207
Sherbrooke 1,533.939 1,147,7.34 + 386,205
Kitchener 1,255,754 1,672,575 - 416,821
Windsor 3,657,931 2,560,392 + 1,097,639
Pnnce Albert . . . 485,640 583,478 - 97,838
Totals $492,927,641 $393,064,708 -f $99,862,933
Moncton 1.006,578
November 12, 1920
THE MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(ESTABLISHED 1S17) «„„„,„^„„„„
PAID UP CAPITAL - rfffa * 23.828,500.00
RESERVE FUND - - .' . t^m^\ ...... 16,375,000.00
RESERVE LIABILITY OF PROPRIETORS .^AvWScf^ f 23 828 500.00
^(^1..^. ^ 64,032,000.00
AGGREGATE ASSETS 31st MARCH, 1920 ^'««S5- $377,721,211.00
Sir JOHN RUSSELL FRENCH. K.B.E.. General Manager
3S1 BRANCHES and AGENCIES in the Australian States. New Zealand. Fiji. Papua (New Guinea), and London. The Bank transacts every description
of Australian BankinR Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET, E.Cn 2.
Agfnts: hank OF .MONTREAL. ROYAL BANK OF CANADA
BUSINESS FOUNDED 1795
INCORPORATED IN CANADA 1897
AMERICAN BANK NOTE COMPANY
ENGRAVERS AND PRINTERS
BANKNOTES, BON DS, MUNICIPAL DEBENTURES, STOCK
CERTIFICATES, CHEQUES AND OTHER MONETARY DOCUMENTS
Special Sateguards Asiai
st Counterfeiting Work Acceptable
Head Of floe: OTTAWA 224 Wellington St.
BRANCHES
iill Stock Exchanges
WINNIPEG
Union Bank Bldg.
George Edwards, F.C.A. Akthuk H. Edwakus, F.C.A.
H. Percival Edwards
Chas. E. White
O. N. Edwards
A. L. Stevens
W. PoMERoy Morgan A. G. Edwards
T. J. Macnamara
J. C Mc.Xab
W, H. Thompson
Thos. p. Gegoie
C. Percy Roberts
EDWARDS, MORGAN & CO.
CHARTERED ACCOUNTANTS
OFFICES
TORO.N'TG ..
CALGARY . .
VANCOUVER
WINNIPEG ..
MONTREAI,
CORRESPONDENTS
HALIFAX. N.S.
LONDON, ENG.
CA.NAUIAN MORTGAGE BUILDING
HERALD BUILDING
LONDON BUILDING
ELECTRIC RAILWAY CHAMBERS
McGILL BUILDING
ST. JOHN, N.
COBALT, ONT.
NEW YORK, U.S.A
ESTABLISHED 1879
Alloway & Champion
Bankers and Brokers
Member! of Winnipeg Stock Ejchnng
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchanges
Are You a Trustee?
IF so, you may be interested to learn that
this Corporation also acts as agent for per-
sonal Trustees, taking charge of the
administration of estates for them and
performs such duties as keeping estate
funds fully employed in high-class invest
ments, collection of revenue, cutting cou-
pons, management of real estate, rendering
statements and remitting balances to bene-
ficiaries at regular intervals, keeping securi-
ties in Safety Deposit Vaults, etc. Many
Trustees find this the most satisfactoiy way
for them to administer an estate — by turn-
ing it over to us as their agent and at the
same lime retaining the responsibility im-
posed on them under the Will.
Write or call for our rates on this class
of business.
THE
ToROiSTOGEiSERALTRUSTS
Corporation
Head Office
Brancheo: Ottawa Winnipeg
TORONTO
Saskatoon Vancouver
THE MONETARY TIMES
Volume 65.
Marine Insurance, Policies and Claims
The Bill of Lading and the Insurance Policy are the Important Documents-
Four Main Clauses ol Marine Insurance — Differences Between Marine
and Fire Insurance Policies — " General Average" and its Significance
MARINE insurance practice in Canada was the subject
of a comprehensive address given by B. G. D. Phillips,
Vancouver manager of Dale and Co., before the Board of
Trade of that city recently. Mr. Phillips' address, as sum-
marized by the British Cohtmbia Financial Times, was as
follows: —
"The two most important documents in connection with
a shipment of goods are the bill of lading and the insurance
policy, the former giving the title to the goods and the latter
protecting the assured in case of damage by sea perils.
"The general idea that one gets upon reading a bill of
lading is that, whilst the shipowner agrees to carry ;,'oods
from one point to the other and makes conditions with regard
to the payment of the freight, he takes care to provide, so
far as it is possible to do so, that he shall not be held liable
for any damage which may occur to the goods in transit.
He is entitled to do this by reason of the fact that he is what
is known as a contract can'ier, and in this connection the
difference between a common carrier and contract carrier
may be noticed.
"Common" and "Contract" Carriers
"When a railway is to be built an Act of Parliament is
passed authorizing it, and concessions of land are obtained
in order that the line may be constructed. When it is com-
pleted it practically becomes a public utility, and the con-
ditions under which it transports goods are laid down by the
Railway Commission. The railway bill of lading starts out
with the words that the carrier shall be liable for all loss
or damage which may happen to the goods, with the excep-
tion of damage caused by the "act of God," "riots," "strikes,"
and one or two other causes.
"The steamship company, on the other hand, is usually
a private concern financed by private capital, and does not
obtain any concessions such as the railway company. They
are, therefore, in the position of making their own contracts
with regard to the carriage of goods, and these are only
modified by law in certain instances. In the United States
we have the Harter Act, a similar act in Australia and the
Water Carriage of Goods Act in Canada, the intention of
all three acts being the same, viz., to provide that the ship-
owner cannot contract himself out of liability for his own
negligence.
What a Marine Policy Covers
"The insurance policy covers goods against perils of the
sea, and a mistake is often made by those who are insuring
cargo in taking it for granted that the mere fact of insuring
means that the underwriters are responsible for all damage
which may happen to the goods in transit. Such, however,
is very far from being the case. Just as there are different
kinds of accident and sickness policies, the cost of which
\ary according to the risks covered, so there are different
kinds of insurance policies of which the same remarks are
true.
"The question is often asked underwriters by those
wishing to insure cargo whether it is not possible for them
to so insure tho goods that they may call upon under-
writers to pay any loss on arrival, no matter how it is caused.
The answer to this is that it is possible to do so. but the
assured usually finds that the cost of such insurance is move
than he is prepared to pay. Moreover, as a rule, the regular
insurance companies are more or less averse to giving insur-
ance of this kind, and it usually has to be obtained at Lloyds.
"Before dealing with the different clauses of marine in-
surance, two points may be noticed in which marine insur-
ance differs from fire insurance.) -
"If you have a shipment of goods for which you have
paid, say, .$1,000, and you figure that on arrival here they
will be worth, say, $1,500, you are perfectly entitled to insure
them for that amount. Suppose the market drops, and as
a matter of fact they would only be worth $750 on arrival,
and for the sake of argument say the ship and cargo are
totally lost by fire a day before they arrive at destination,
the assured is entitled to recover the full face value of the
policy, which in this particular instance would show a profit
of $750. If these goods had been insured under a lire policy
all that the assured could recover would be the cost of re-
placing them, or, say, $750.
"If you insure your house under a fire policy for $5,000
and you have a loss of, say, $2,000, the policy is automati-
cally decreased by that amount, and in order to reinstate
it you have to pay an additional premium, but if you insure
a ship for that amount, you may have, during the year, three
or four losses of $2,000 and end up with a total loss, for
all of which underwriters would be liable» nor would they
receive any further premium than the amount paid them
when the policy was originally taken out.
Classe.s of Marine Insurance
"Marine insurance on cargo may be divided into four
classes: —
"First, against the risk of total loss. This is the form
generally used in connection with insurance on cargo by
scows, and the reason that underwriters are unwilling to
give fuller cover is that the risk of part of a cargo washing
overboard is very considerable, and the premium they want
to cover this loss is probably more than the owner of the
cargo would be willing to pay. There are, of course, cases
in which this risk is covered, but the premium is naturally
increased in proportion.
"Secondly, what is known as an 'F.P.A.' policy, which
is the most common form of marine insurance, and appar-
ently the least understood. There are two forms of 'F.P.A.'
clause. First, the English, which reads: 'Free from par-
ticular average unless the vessel or craft be stranded, sunk,
burnt, on fire or in collision — the collision to be of such a
nature as may reasonably be supposed to have led to the
damages claimed for.' The American form reads: 'Free
from particular average unless caused by the vessel being
stranded, sunk or burnt.'
"A concrete example will best show the meaning of and
difference between these two clauses, and by way of paren-
thesis it may be said that 'particular average' simply means
a partial loss or damage accidently caused to any particular
interests as opposed to 'general avei-age,' which signifies an
expense or sacrifice voluntarily incurred for the benefit of
all interests at risk on board a vessel.
"If you have a shipment of goods insured under an
English 'F.P.A.' clause and the shipment arri\^s damaged
by heavy weather, but the vessel was not stranded, sunk,
burnt or in collision, or, in insurance language, the 'F.P.A.'
warranty has not been broken, you have no claim on your
underwriters. If, iiowevsr, one ofthe above contingencies
has occurred, even though it is not responsible for the dam-
age, the 'F.P..^.' warranty is open and underwriters have to
make good the loss. Under the American clause the loss, in
order to be recoverable, has to be the direct result of the
vessel being stranded, sunk, burnt or in collision, so that it
will readily be seen that an assured should' always take care
to have the English clause in his policies.
"The third form of insurance is known as 'with aver-
age' insurance — sometimes called 'all risks.' The latter
November 12, 1920
THE MONETARY TIMES
DO YOU KNOW
that you can place your property
relieving yourself of the trouble an
your income?
We make a specialty of serving under
"LIVING TRUST AGREEMENTS"
and our experience and special facilities for handling all matters in
connection with property assure you of the maximum income. It is
not what you pay us. but what we pay you that counts.
Come in to-day and see us regarding a " Living
Trust Agreenietif." or write for our booklet-
Union Trust Company, Limited
HENRY F. GOODERHAM. President
TORONTO - - Cor. Richmond and Victoria Sts. ,
WINNIPEG. MAN. LONDON. ENGLAND
i% on Savings — Withdrawable by Cheque 71
Do Not Put Off Until To-morrow
that definite arrangement for the distribution of your Estate
by an Executor or Trustee having the requisite responsi-
bility and experience to ensure your wishes being satisfactor-
ily carried out. Appoint to-day as your Executor and Trustee
THE CANADA PERMANENT TRUST COMPANY
Paid-up Capital
s 1,000.000
W. G Gooderham
Col. A. E. Gooderham
F. Gordon Osier
E. R.C. Clarkso
Manager. Onta
DIRECTORS
R, S Hudson
J. H.G. Hagarty
George H. Smith
TORONTO STREET
TORONTO
John Massey
John Campbell S.S C
William Mulock
George W. Allan, K.C., M.P.
I Branch: A. E. He
When selecting a Trust Company as an Executor
choose one whose fixed policy is to give
FINANCIAL ASSISTANCE
To Estates being administered by it.
CAPITAL, ISSUED AND SUBSCRIBED ..§1,171,700.00
PAID-UP CAPITAL AND RESERVE 1,172,000 00
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Irnstee, Etc.
HEAD OFFICE : WINNIPEG, CAN.
BRANCHES. :
WESTMINSTER TRUST COMPANY
The Oldest Provincial Trust Company in B.C.
Head Office - NE^V ^VESTMINSTER. B.C.
GENERAL FINANCIAL AGENTS
Admlnlstrattin. Ktceivtn, Eaculen. UduUaton, Assltnett. Trmstut
E. A RIDDELL. .Manager
The Security Trust
Head Office
,1CTS
Liquidator, Trustee, Receiver
Administrator, Executor.
W. M. CO.VNACHER
Company, Limited
Calgary, Alberta
Stock and Bond Brokers,
General Financial Agents.
Pres. and .Managing Director
THE BANKERS'
mVST 0OMB\NY
Head Offices: MONTREAL
Authorized Capital $1,000,000
Prssident -
SIR H. MONTAGU ALLAN. C.V.O,
yke-Pre$iJenls -
D. C. MACAROW
A. J. DAWES
JAMES ELMSLY
C. D. CORNELL
Ceneral Manager
5ccre/arp
Sir H. Montagu Allan.
T. AKeam [C.V.O.
C, L Cains
A. J. Dawes
A. B. Evans
David N. C. Hogg
Directors:
J. M. Kilbourn
J. D. G. Kippen
W. B. Leitch
SirF. OrrCrr-Lew
Lt.-Col. J. R. Moodie
Farquhar Robertson
Hon. LomeC. Webster
F.Howard Wilson
Edwin H. Wilson
John Wilson
Offices now open in Montreal, Winnipeg,
Calgary, St. John, N.B., Halifax, Regina,
Vancouver, Victoria and Toronto.
Premises in Merchants Bank Building in each city
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for investment in all classes of Securities.
Business Agent for the R. C. Archdiocese of Vancouver.
Fiscal .\gent for B C. Municipalities.
Inqniries Invited
Cieneral .llaiiagrr Llrat.-t'ol. G. II. DOBBELL
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acts as Executor, Administrator, Trustee, Guardian, Liquidator
Assignee, and In any other fiduciary capacity.
Official .'Administrator for the Northern Judicial
District and the Dauphin Judicial District in
Manitoba, and Official Assignee for the Western
Judicial District in Manitoba and the Swift
Current Judicial District in Saskatchewan.
Branch Office - - Swift Current, Saskatchewan
JOHN R LITTLE, -Managing Director
20
THE MONETARY TIMES
Volume 65.
term, however, is misleading, as it does not mean what it
says. A 'with average' policy includes all the conditions of
an 'F.P.A.' policy, but in addition it provides that if the
goods receive damage which amounts, as a rule, to 3 per
cent, of their value, the assured can recover, even though
the warranty has not been broken. There are many Icinds
of 'average' clauses drawn up in connection with various
classes of goods which time did not permit the speaker to
touch on.
"The last form of insurance is an 'all risks' policy, and
by this term the speaker means a policy which covers all
and every risk of whatsoever nature. As stated above, it is
difficult to obtain this form of insurance, and the rate runs
anywhere from four to ten times the amount charged for
•T.P.A.' insurance.
Settlement of Claims
"Now as to the settlement of claims, which, after all, is
the point in which the assured is most interested. First of
all, that where goods arrive damaged at their port of desti-
nation, the consignee is not entitled to abandon them merely
because they are damaged, but must take delivery of them,
pay the charges in the ordinary way and prove his loss. If
the underwriter decides to compromise the claim or to pay
a total loss and take over the goods himself, he is entitled to
liave these goods handed to him free from all charges for
freight antl duty, the reason being in most instances that
he does not insure the freight and duty. It is settled law that
the basis of adjustment of losses in connection with cargo
is the sound market value at destination, and in this con-
nection he gave tv.'o instances to show how this works out.
"Supposing, for example, that a consignee is importing
a shipment of goods, the invoice price of which is $1,000 —
he probably insures for $1,100, covering his profit of 10 per
cent. The goods, on arrival at destination, with the addition
of freight and duty, are probably worth, say, $1,500. Now
if they arrive damaged, the first thing to be asoertiiined is
what their wholesale value in damaged condition actually is.
Supposing that the consignee feels that he can dispose of
the goods for, say, $1,200, or, in other words, that there is
a damage of 20 per cent., and this basis is agreed to by
underwriters, he recovers from underwriters 20 per cent, of
the insured value, or $220. If, on the other hand, no agree-
ment can be reached as to the actual percentage of damage,
the only method of arriving at the amount of the loss is by
selling the goods at auction, and, assuming that they realize
$750 gross, or, in other words, that there is a 50 per cent,
loss on the sound value, the consignee can recover 50 per
cent, of the insured value, or $550.
How Losses are Adjusted
"Now, in the first instance, it will be seen that the loss
on the sound value is $300 and the consignee recovers only
.'>220, and in the second instance the consignee's loss is $750
and he only recovers $550. This difference is a frequent cause
of dissatisfaction and complaint on the part of consignees,
as they feel that they are not receiving justice from under-
writers. As a matter of fact, this is not the case.
"The value of any shipment of goods at destination is
really made up of four component parts: (1) Invoice value
and shipping charges. (2) Duty. (3) Freight payable at
destination. (4) I^ofit.
"Now in the cases above mentioned, and this is the basis
on which goods are usually insured, the consignee covers his
invoice value and his profit, but does not insui'e the duty and
the freight payable at destination. Now, if one had a 50 per
cent loss, it affects all the component parts that go to make
up the value of the goods, and, to take the last case quoted
as an example, what the consignin; recovers from his under-
writers is 50 per cent, of the invoice value and 50 per cent.
of the profit, both of which are insured, but he does not
recover 50 per cent, of the duty and freight, which amount
to $200, for the reason that ho has not insured them. It,
therefore, follows that if a consignee wishes to completely
cover himself in case of loss he must, in addition to insuring
the invoice value and the profit, cover also the duty and the
freight payable at destination against 'particular average'
only. He does not need to insure these against 'total loss'
or 'general average,' because, in the event of the goods not
an-iving, there will be no duty or freight to pay.
Meaning of "General Average"
"Tlie term 'general average' above is a form of loss
which is covered by all marine policies unless specially ex-
cluded. Countless books have been written on the subject of
'general average,' but the following simple example will give
a general idea of what it means. If a ship and cargo go
ashore, it is reasonable to expect that unless something is
done to float the ship both the vessel and cargo will eventually
becfeme a 'total loss.' In order to avoid this tugs are sent out.
Possibly part of the cargo is discharged, and eventually by
this means the vessel is floated. The benefit thus gained is
not confined to any one interest, but is common to all parties
who have anything at risk on the boat, and the expenses
incurred are divided over the various items at risk in pro-
portion to their respective values at destination. This is, of
course, only the briefest outline, as 'general average' is a
very complicated subject."
PRICES DECLINED IN OCTOBER
A decline of 4.8 per cent, in wholesale prices during Oc-
tober is recorded by a new index number whicli has been
constructed by Professor H. Michell, of McMaster Univer-
sity, Toronto. It is based on forty commodities, twenty food-
stuffs and twenty manufacturers' goods. The figure was
242.1 for the month of October, a decline of 4.8 per cent,
over the previous figure of 254.5 for the month of September,
and a decline of 18.1 per cent, over the peak of 298.3, reached
in May of this year. In foodstuffs declines were registered
in flom-, beef, bacon, butter, cheese, sugar, rice, canned to-
matoes and oatmeal, while fresh eggs advanced. In manu-
facturers' commodities declines were registered in rubber,
wool, cotton, hides, silver, lead, copper, tin, the remaining
commodities staying unchanged.
It is noticeable that the decline from August to Sep-
tember was one of 7.8 per cent., while that from September
to October was only one of 4.8 per cent. This is to be ac-
counted for on the ground that, while the declines were
actually more in number, they were less violent, showing a
more general but equal recession. Every indication points
to a steady and general decline in all lines for some time at
least, but there seems to be no danger of a serious break in
the markets, says Professor Michell. The index number is
based on the last quotation of each month in the Toronto
markets, the base, 100, indicating the average price of the
commodities for the years 1900 to 1909.
LONG SERVICE WITH LONDON AND LANCASHIRE
Eight officials of the London and Lancashire Fire In-
surance Company, who were recently assembled in Chicago,
averaged over thirty years of ser\'ice with the company, the
aggregate being 243 years. The occasion was a dinner given
by Manager Charles E. Dox, of the western department, in,
honor of General Manager F. W. Pascoe Rutter, who is now
on his way around the world, visiting the principal branches
of the company.
Mr. Rutter himself heads the list with a credit of 47
years' service; Alfred Wright, manager at Toronto and chief
agent for Canada, 38 years; A. G. Mcllwaine, Jr., United
States manager, 34 years; A. W^ Blake, branch manager at
Winnipeg, 32 years; A. R. Hancock, manager at Atlanta, 27
years; Carl Clausen, superintendent of age.its of the western
department, 24 years; Alfred Brame, superintendent of
agents of the south-western states, 21 years, and Charles E.
Dox, manager at Chicago of the western department, 20
years.
November 12, 1920
THE MONETARY TIMES
INTEREST
RETURN
INVEST YOUR SAVINGS
in a 5%% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-irp Capital $2,412,578.81
Reserves 964,459.39
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Calgary,
EdmontOD, Vancouver, Victoria; Edinburgh,
Scotland.
SPECIAL SAVINGS ACCOUNTS
Perhaps you are thinking of opening a special account of some kind
and are a little uncertain as to how to go about it. If so, consult us and
we will gladly help you to solve your problem.
Our complete facilities and experience of over sixty-five years in dealing
with all classes of deposit accounts enable us to offer a service that will
meet your requirements no matter what they may be. We take special
care to see that Joint Accounts and Trust Accounts of all descriptions
are properly opened.
Treasurers of Church funds and funds of Fraternal Societies and vari-
ous other organizations find this is a most convenient depository.
Full checking privileges allowed and interest at
THREE AND ONE-HALF
per cent per annum paid and compounded half-yearly.
Canada Permanent Mortgage Corporation
TORONTO STREET - - TORONTO
Assets Over Thirty-lHree Millions
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
Masonic Temple Building, London. Canada
Interest at 4 per cent, payable half-yearly on Debentures
T. H. PURDOM.K.C. President NATHANIEL MILLS. Manager
The Hamilton Provident & Loan Society
Head Office. King Street. Hamilton, Ont.
Capital Paid-up, $1,200,000. Reserve Fund and Surplus
Profits, $1,280,570.59. Total Assets, $4,764,339.21.
TRUSTEES AND EXECUTORS are authorized by Law to invest Trust
Funds in the DEBENTURES and SAVINGS DEPART.MhNT of this
Society.
GEORGE HOPE. President D. M. CAMERON. Treasurer
™^ Ontario Loan
& Debenture Co.
LONDON Incorporated 1870
CAPITAL AND Undivided Profits
Canada
$3,900,000
su
SHORT TERM (3 TO 5 YEARS)
DEBENTURES
YIELD INVESTORS
5^1
JOHN .McCLARY. Preside
A. M. S.MART, Manager
/^\'ER 200 Corporations,
^^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Office. No. 13 Toronto Street
Capital Account. !S;J4.5.>0.00 Reserve Fund, SSTO.OOd.OO
Total Assets. S;{.','49,1.^4.5iG
President. WELLINGTON FRANCIS. Esq.. K C.
Vice-President. HERBERT LANGLOIS. Esq.
Debentures issued to pay 5%. a Legal Investment for Trust Funds.
Deposits received at 4% interest, withdrawable by cheque.
Loans made on improved Real Estate on favorable terms.
>VALTER GILLESPIE. Manager
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
Particulars on application.
The Canada Standard Loan Company
520 Mclntyrs Block, Winnipeg
ACCOUNT BOOKS
Loose Leaf Ledoers
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Sitncoe and Pearl Streets
TORONTO
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Western Miliilcipiil. Selicol aii.i *a»lial.lu-» an Itnral Tele-
phi>ne to. iltbenlnres spcriallzeil In.
Correspondence invited
GRAINGER BUILDING - SASKATOON
F. S. RATLIFF & CO.
FARM LANDS— FARM LOANS
STOCKS AND BONDS
Medicine Hat Alberta
THE MONETARY TIMES
Volume 65.
HOND SALES OVER FORTY MILLION'S
October Total Which is Second Highest on Record This
Year was Swelled by Grand Trunk Issue— Bulk of
New Financing Done Across the Line
SALES of Canadian bonds during October reached the
large sum of !i;4:{,880.000. This figure compares with
$9,389,17(; in September and $48,101,575 for March of this
year, which month holds the record for new financing for
1920. In October a year ago there were practically no sales,
the Victory loan campaign claiming the attention of all bond
selling organizations.
The large volume of new bond issues last month does
not indicate any strength or activity of the Canadian market,
but rather reflects the power of the American market to ab-
sorb our securities, inasmuch as $39,450,000 of the total was
placed across the line. All of the provincial bonds, the Grand
Trunk Railway securities and the two largest corporation
issues were sold to United States investors.
While the total of municipal sales was smaller than in
the previous month, there was more activity in that section
of the market, at least as far as Canada is concerned. In
September, the total was chiefly made up of two large issues,
(Continued on page Si)
Purchaser
Carstens & Earles. Royal Financial Corporation,
British American Bond Corporation and
Gillespie, Hart & Todd
Carstens & Earles, and Syndicate
Wood, Gundy & Company
Minnesota Trust & Loan Co.. and Wells-Dickey Co.
A. Jarvis & Co.. and the Home Bank of Canada, private
A. Jarvis & Company, Halsey, Stuart & Company,
and the First National Company
Locally
Privately
A. E. Ames & Company, private
Locally
Wood. Gundy & Company
C. H. Burgess & Company
A. E. Ames & Company
A. Ja
A. Jar
i&Co
npany
> & Company
Locally
lited Financial Corporation, Lin
C. H Burgess & Company
A. E. Ames & Company
Canadian Bond Corporation, Montreal
Versailles, Vidricairc & Boulais
Versailles. Vidricaire & Boulais
Versailles. Vidricaire ^; Boulais
Bcaubien & Company
Eastern Securities Company, Limited
Mahon Bond Corporation
J. A- Thompson & Company
Strang & Snowden
A. H. Ames S Company
Various
Saskatoon Sinking Fund
Locally
Locally
Locally
Locally
Locally
.\. Ducsing. Eau Claire
100.73
100.00
104.15
100.00
93.91
9.S.26
96 09
92.75
93.58
96.50
94.33
95.27
95.78
W. A. Read & Company, and Syndicate
S.OO I Burdick Bros. Ltd. Offered with bonus of 50% com.
7.00 Brent. No.\on & Company
Royal Securities Corporation and Harris, Forbes'iS:
Company, Incorporated
Wrti. .A. Read i"^- Company
November 12, 1920
THE MONETARY TIMES
DIVIDENDS AND NOTICES
BANK OF MONTREAL
Notice is hereby given that a Dividend of Three Per
Cent, upon the paid-up Capital Stock of this Institution has
been declared for the current quarter, p&yable on and after
Wednesday, the First Day of December next, to shareholders
of record of 31st October, 1920. Also a Bonus of Two Per
Cent, for the year ending 31st October, 1920.
By order of the Board.
FREDERICK WILLIAMS-TAYLOR,
General Manager.
Montreal, 19th October, 1920. 262
LAKE OF THE WOODS MILLING COMPANY, LIMITED
DIVIDEND NOTICES
Notice is hereby given that a Dividend of 1% per cent,
on the Preferred Stock of Lake of the Woods Milling Com-
pany, Limited, for the three months ending November 30th,
1920, has been declared, payable on Wednesday, December
1st, 1920, to shareholders of record at the close of business
on Saturday, November 20th, 1920.
By Order of the Board.
R. NEILSON,
Assistant Secretary.
THE ROYAL BANK OF CANADA
DIVIDEND No. 133.
Notice is hereby given that a Dividend of Three Per
Cent, (being at the rate of twelve per cent, per annum) upon
the paid-up capital stock of this bank has been declared for
the current quarter, and will be payable at the bank and its
branches on and after Wednesday, the first day of Decem-
ber next, to shareholders of record at the close of business
on the 15th day of November.
By order of the Board.
C. E. NEILL,
General Manager.
Montreal, Que., October 15th, 1920. 263
THE ROYAL BANK OF CANADA
BONUS
Notice is hereby given that a bonus of two per cent.
upon the paid-up capital stock of the bank has been declared,
and will be payable at the bank and its branches on and
after Wednesday, the 15th day of December next, to share-
holders of record at the close of business on the 30th day of
November next.
Shares not fully paid on the 30th day of November next
will participate in the bonus rateably to the amounts paid
thereon.
By Order of the Board.
C. E. NEILL,
General Manager.
Montreal, Que., October 26, 1920. 270
THE CANADIAN BANK OF COMMERCE
DIVIDEND No. 135
Notice is hereby given that a dividend of Three per
cent, upon the capital stock of this Bank, being at the rate
of twelve per cent, per annum, has been declared for the
quarter ending 30th November next, together with a bonus
of one per cent., and that the same will be payable at the
Bank and its Branches on and after Wednesday, 1st Decem-
ber, 1920. The Transfer Books of the Bank will be closed
from the 16th November to 30th November next, both days
inclusive.
By Order of the Board,
Toronto, 15th October, 1920.
JOHN AIRD,
General Manager.
Notice is hereby given that a Dividend of 3 per cent, on
the Common Stock of Lake of the Woods Milling Company.
Limited, for the three months ending November 30th, 1920,
has been declared, payable on Wednesday, December 1st,
1920, to Shareholders of record at the close of business on
Saturday, November 20th, 1920.
Bv Order of the Board.
281
R. NEILSON,
Assistant Secretary.
UNION BANK OF CANADA
DIVIDEND No. 135
Notice is hereby given that a dividend at the rate of
107« per annum upon the Paid-up Capital Stock of the Union
Bank of Canada has been declared for the current quarter,
and that the same will be payable at its Banking House in
the City of Winnipeg, and also its branches, on and after
the First day of December, 1920, to shareholders of record
at the close of business on the 15th day of November next.
The Ti-ansfer Books will be closed from the 16th to the
30th day of November, both days inclusive.
By Order of the Board.
H. B. SHAW,
General Manager.
Winnipeg, October 22nd, 1920.
Notice is also given that a bonus of 2'r has been de-
clared on the Paid-up Capital Stock, payable to shareholders
with the dividend referred to above.
By Order of the Board.
H. B. SHAW,
General Manager.
Winnipeg, October 30th, 1920. 284
CANADIAN PACIFIC RAILWAY COMPANY
DIVIDEND NOTICE
At a meeting of the Board of Directors, held to-day, a
dividend of two and onc-lialf per cent, on the Common Stock
for the quarter ended 30th September last, being at the rate
of seven per cent, per annum from revenue and three per
cent, per annum from Special Income Account, was declared
payable on 31st December next to Shareholders of record at
3 p.m. on 1st December next.
By Order of the Board.
ERNEST ALEXANDER,
Secretary.
260
Montreal, Sth November, 1920.
288
THE MONETARY TIMES
Volume 65.
I50ND SALES OVER FORTY MILLIONS
(Continued from page Ji>)
namely, Ottawa $2,800,000 and Edmonton $2,075,000, both of
which went to the United States.
Prices were not materially changed for municipals, very
lew issues being made at better than 6% per cent. The pro-
vinces apparently made some good bargains as a result of
the exchange situation between this country and the United
States, but, as has been pointed out in these columns before,
their satisfaction may be short-lived.
A summary of last month's bonds sales, with compari-
sons, follows: —
• Oct., 1920. Sept., 1920. Mar., 1920.
Provincial $ 9,250,000 $3,750,000 $14,850,000
Municipal 3,530,467 5,639,176 8,367,299
Railroad 25,000,000 24,000,000
Corporation 6,100,000 884,276
$48,880,467 $9,389,176 $48,101,575
THIS YE.VR'S FIRE LOSS ALREADY HIGH
October Figure Brings Ten Months' Total to $21,215,299, or
Just $2,500,000 Short of Last Year's Total
Fire losses in Canada in October, as estimated by The
Monetary Times, were as follows: —
Fires exceeding $10,000 $1,856,000
Small fires reported 111,901
Estimate of unreported fires 500,000
$2,467,901
Several conflagrations took place during the month. The
plant of the Canadian Cereal Mills in Tillsonburg was the
heaviest loss, while fires in Wadena, Sask., St. Stanislas, Que.,
Brandon, Man., Stewiacke, N.S., and Port Arthur, Ont.,
caused losses of $100,000 or over.
The Monetary Times' record for the past four years shows
the following monthly losses: —
Month. 1917. 1918. 1919. 1920.
January .... $ 1,918,660 $ 2,688,556 $ 3,915,290 $ 2,637,850
February . . 2,009,953 2,243,762 1,091,834 1,895,575
March 2,050,650 1,682,286 2,154,095 1,793,200
April 1,317,714 3,240,187 1,080,070 3,229,500
May 1,163,110 3,.570,014 1,785,130 2,001,819
June 1,184,627 3,080,982 3,337,530 1,424,319
July 1,101,734 3,369,684 1,118,377 1,426,850
August .... 1,230,183 3,110,445 1,374,495 1,857,800
September .. 1,301,700 917,286 1,940,272 2,480,485
October .... 704,605 5,119,145 1,023,288 2,467,901
November . , . 959,049 1,059,580 2,339,870
December . . . 5,144,100 1,733,917 2,047,496
Totals . . $20,086,085 $31,815,844 $23,207,647 $21,215,299
List of Large Fires
The following are the October fires causing damage of
$10,000 or over:—
Grassey Lake, Alta., Oct. 1, business section, $65,000.
Toronto, Ont., Oct. 1, apartments, $50,000.
Drumheller, Alta., Oct. 2, business section, $50,000.
Sherbrooke, Que., Oct. 2, barns, $.30,000.
Colon.say, Sask., Oct. 3, hotel, $12,000.
Elcan, Alta., Oct. 5, plant, $12,000.
Mount Forest, Ont., Oct. 6, barns, $15,000.
Ayr, Ont., Oct. 9, barns, $20,000.
Victoria, B.C., Oct. 10. plant, $20,000.
Stewiacke, N.S., Oct. 11. lumber mill, $150,000.
Tillsonburg, Ont., Oct. 14, plant, $500,000.
Ste. Stanislas de Kostka, Que., Oct. 15, business section,
$200,000.
Port Arthur, Ont., Oct. 17, mill, $100,000.
Hamilton, Ont., Oct. 18, plant, $10,000.
Belle River, Ont., Oct. 19, flax, $50,000.
Downsview, Ont., Oct. 19, barns, $15,000.
Wadena, Sask., Oct. 19, business section, $300,000.
Brandon, Man., Oct. 21, plant, $15,000.
Quebec, Que., Oct. 22, residences, $10,000.
Montreal, Que.. Oct. 23, offices, $20,000.
Arnprior, Ont, Oct. 24, lumber piles, $15,000.
Aylmer, Ont., Oct. 24, farm buildings, $20,000.
Margaret, Man., Oct. 24, main portion of village, $35,000.
Swift Current, Sask., Oct. 26, barns, $17,000.
Upper Dorchester, N.B., Oct. 26, sawmill, $15,000.
Brandon, Man., Oct. 29, police buildings, $200,000.
Whitby, Ont., Oct. 30, planing mill, $20,000.
Analysis of Causes
Among the causes reported were: Sparks, 2; lightning,
4; spontaneous combustion, 2; incendiarism, 2; matches, 4;
explosion, 1; stoves, 2; defective chimney, 1.
The following structures were destroyed or damaged:
Barns, 27; business sections, 4; garages, 3; buildings, 11;
residences, 26; stores, 4; hotels, 2; mills, 7; apartment, 1;
convent, 1 ; apple evaporator, 1.
Deaths From Fires
Peterboro, Ont., Oct. 4, burnt in building 1
Belleville, Ont., Oct. 8, playing with matches 1
Kitchener, Ont., Oct. 11, burnt in building 1
Kitchener, Ont., Oct. 14, struck by lightning 1
Quebec, Que., Oct. 20, clothing caught fire 1
Morse, Sask., Oct. 21, burnt in building 2
Dana, Sask., Oct. 26, burnt in building 3
Wolfe Island, Ont., Oct. 26, burnt in building 1
Toronto, Ont., Oct. 28, clothing caught fire 1
North Sydney, N.S., Oct. 30, clothing caught fire 1
13
Comparison of Deaths
The record of deaths from fire has been as follows: —
Month. 1913. 1914. 1915. 1916. 1917. 1918. 1919. 1920.
January 14 26 3 10 21 28 13 22
February 21 18 11 23 19 87 26 30
March 22 27 23 23 20 34 9 35
April 11 22 14 6 15 7 27 8
May 33 8 5 14 12 10 15 13
June 18 12 2 6 9 9 28 15
July 9 8 13 268 19 6 11 15
August 29 3 14 30 12 7 24 14
September ... 27 9 27 6 21 13 23 13
October 15 9 7 .39 23 11 16 13
November 24 14 12 12 21 3 14
December ... 13 19 11 94 15 26 19
Totals
236 175 142 531 207 241 225 178
THORNTON-DAVIDSON CREDITORS MEET
Creditors of the stock brokerage firm of Thornton,
Davidson and Company met in Montreal on October 22nd
and formally appointed five inspectors to represent them in
respect to their claims against the suspended house. A num-
ber of the creditors, it was stated, had riot yet filed their
claims, and tliese were given until November 12th either io
do so or to forfeit tlicir rights in this respect. The- senti-
ment expressed at the meeting was optimistic of an ultimate
satisfactory settlement. The five inspectors appointed by the
creditors are: M. S. Wheelwright, H. J. Murphy, L. J.
Lehuray, A. J. Carpenter and H. J. Allison.
November 12, 1920
THE MONETARY. TIMES
25
DEBENTURES FOR SALE
$3,000,000.00
PROVINCE OF ONTARIO
7- YEAR 6 PER CENT. GOLD BONDS
Sealed tenders endorsed "Tenders for Province of On-
tario Bonds," addressed to the undersigned, vsfill be received
for the purchase of $5,000,000 (Five Million Dollars) seven-
year gold bonds of the above Province, dated 15th November,
1920, due 15th November, 1927, bearing interest at the rate
of six per centum per annum, payable half-yearly on the
15th November and 15th May. Principal and interest pay-
able in gold coin at the office of the Treasurer of Ontario,
Toronto, or at the Bank of Montreal, Montreal, Canada, or
at the agency of the Bank of Montreal in the City of New
York, U.S.A., at the option of the holder.
Bonds to be in denominations of $1,000 each, with
coupons attached, and may be registered as to principal
only.
Payment for bonds, and delivery thereof, to be made
at the office of the Treasurer of Ontario at the Parliament
Buildings, Toronto, on or before the 19th November, 1920,
less the amount of. the deposit. Interim debentures will be
supplied on payment of the money, to be exchanged for the
definitive bonds on completion by the engravers.
Tenders to be addressed to the Honorable P. Smith,
Treasurer of Ontario, Parliament Buildings, Toronto, and
delivered not later than 12 o'clock noon on Monday, the 15th
day of November, 1920.
Tenders must be for the whole amount offered, and must
be accompanied by marked cheque for $50,000, to be applied,
in the case of the successful tenderer, in payment for bonds.
The highest or any bid not necessarily accepted.
P. SMITH, "
Treasurer of Ontario.
Toronto, November 3rd, 1920. 280
TOWN OP COCHRANE, ONTARIO
TENDERS FOR DEBENTURES
Sealed Tenders vrill be received by the undersigned up to
and including November 16th, 1920, for the purchase of
$32,000 6% 20-year Instalment Bonds of the Municipality of
the To-WTi oi Cochrane, issued for the purpose of purchasing
Local Telephone System. Interest and Principal at Coch-
rane, Ontario. Issue has received ascent of Electors.
W. L. WARRELL, Treasurer,
Municipality of Cochrane.
274
ROMAN CATHOLIC SEPARATE SCHOOL BOARD
The Roman Catholic Separate School Board for Sault
Ste. Marie, Ontario, offers for sale $85,000 in six per cent,
debentures, interest half-yeai'ly. Tenders will be received up
to November 30th. Particulars furnished on application.
V. McNAMARA,
Secretary-Treasurer.
287 Box 536, Sault Ste. Marie, Ontario.
DEBENTURES FOR SALE
TOWN OF PEMBROKE
Tenders will be received by the undersigned, marked
"Tenders for Debentures" on the outside, up to 3 p.m., Wed-
nesday, November 24th, 1920, for the following: —
$33,000.00 General Debentures, ten-year, instalment, with
interest at six (6) per cent. Principal and interest payable
the First day of December in each year at the Bank of Nova
Scotia, Pembroke.
$14,000.00 Public School Debentures, thirty-year, instal-
ment, with interest at six (6) per cent. Principal and in-
terest payable on the 30th day of October in each year at
the Bank of Nova Scotia, Pembroke.
The highest or any tender not necessarily accepted.
S. L. BIGGS,
286 Clerk-Treasurer.
THE ROYAL BANK OF CANADA
Tenders will be received by the undersigned for the whole
or any portion of approximately four thousand (4,000) shares
of $100 each of the new stock of The Royal Bank of Canada
issued on the 31st May, 1920, pursuant to a resolution passed
by the Board of Directors on that date.
The shares comprise the unaccepted allotments and the
fractions which, under the provisions of the Bank Act, were
not allotted.
The stock vdll rank for dividend from date of payment.
Interim receipts will be issued, which may be exchanged for
regular stock certificates on and after 1st March, 1921.
Tenders must state the price per share offered and be
accompanied by a certified cheque for ten per cent, of the
amount. In case a tender is accepted, the balance will be
payable on allotment.
The bank does not bind itself to accept the highest or
any tender.
Tenders will be received up to 3 p.m. on Monday, Novem-
ber 15th, and must be marked "Tender for Stock," and ad-
dressed "The General Manager, The Royal Bank of Canada,
Montreal."
Bv order of the Board. 282
Montreal, November 1. 1920.
C. E. NEILL,
General Jlanager.
PLACING INSURANCE OUTSIDE PROVINCE
At a regular meeting of the Vancouver Fire Insurance
Agents' Association held recently, comments were made on
the fact that some of the banks and manufacturing concerns
placed their insurance outside the province. It was mentioned
that some of the manufacturing concerns advertised "Buy
B.C. made goods," and they insured these same goods in
eastern Canada and United States.
Complaint was also made of the alleged unfairness of
some of the bigger insurance companies operating as board
companies in eastern Canada, and cutting rates in B.C. by
operating non-board. Expressions of regret were made that
there was apparently no redress in this connection.
The Vancouver Fire Insurance Agents' Association
(which is composed entirely of agents of board companies)
decided after a lengthy discussion "not to traffic directly or
indirectly with non-board companies."
26
THE MONETARY TIMES
Volume 65.
The Molsons Bank
Proceedings at the Sixty-fifth Annual General Meeting of
The Molsons Bank, Held at their Banking House
in Montreal, Tuesday, November 2nd 1920.
The Sixty-fifth Annual General Meeting of the Share-
holders of The Molsons Bank was held in the Board Room
of their Banking House, 200 St. James Street, Montreal,
Tuesday, November 2nd, 1920, at 3 o'clock.
The President, Mr. Wm. Molson Macphorson, took the
chair, and there were present the Vice-President, Mr. S. H.
Ewing, Messrs. F. W. Molson, Wni. M. Birks, J. W. Ross, J.
M. Mclntvre, Walter Molson, C. E. Spragge, Alfred Pidding-
ton, W. B. Blackadcr, Arthur Browning, H. J. Tellier, S. W.
Ewing, P. E. Bilkey, R. S. White, and others.
The President, having called the meeting to order, re-
quested Mr. H. A. Harries to act as Secretary, and after
that gentleman had read the advertisement calling the meet-
ing, and said that notice of the meeting had been mailed to
each Shareholder in accordance with the requirements of The
Bank Act, the Pi-esident named Messrs. C. E. Spragge and
Alfred Piddington to act as Scrutineers.
The minutes of the last Annual Meeting were taken as
read and atlopted.
The President then called upon the General Manager, Mr.
Edward C. Pratt, to road the Annual Report, as follows: —
THE ANNUAL REPORT
Montreal, 2nd November, 1920.
To the Shareholders of The Molsons Bank:
Gentlemen, — The Directors have the pleasure to submit
the Balance Sheet for the year ending 30th September, 1920,
and to report that the net profits after making provision for
bad and doubtful debts and for the rebate of discount on
Current Loans, is $822,718.23, which, with the amount brought
forward from last year, $275,435.66, in all $1,098,153.89, has
been appropriated as follows: —
Dividends $480,000.00
Contribution to Officers' Pension Fund 25,061.23
Chanty Fund 5,000.00
To provide for Dominion Government Taxes 70,000.00
Leaving at credit of Profit and Loss Account,
30th September, 1920 518,092.66
$1,098,153.89
As usual all the branches of the Bank have been care-
fully inspected during the year, and we have pleasure in tes-
tifying to the zeal and efficiency of our staff.
During the year 12 Branches and Sub-Agencies were
opened in the following places: —
Arrowhead
BRITISH COLUMBIA
(Sub-Agency to Revelstoke)
ONTARIO
Coatsworth
Hairow
Morpeth
McGregor
Ridgcway
Yonge and Bloor Streets, Toronto
( Sub-Agency to Ridgetown)
QUEBEC
Amqui
Hochelaga (Montreal)
St. Roch (Quebec)
St. Sauveur (Quebec)
Wellington St., Verdun (Sub- Agency to Cote St. Paul,
Montreal)
The Auditors. Messrs. Lemuel Gushing and Charles A.
Hodgson, whose report is appended to our Balance Sheet,
offer themselves for re-election. Mr. George Croak, the
senior member of the firm, we regret to report, has passed
away since our last meeting.
WM. MOLSON MACPHERSON,
President.
GENERAL STATEMENT
of the Affairs of The Molson's Bank on the
30th September, 1920,
LIABILITIES
Capital Stock paid in $4,000,000.00
Reserve Fund 5,000,000.00
Profit and Loss Account 518,092.66
$9,518,092.66
160th Dividend for M, year at
12';'o per annum $ 120,000.00
Dividends unpaid 3,956.50
Notes of the Bank in circulation 5,909,563.00
Balance due to Dominion Govern-
ment 7,272,141.26
Deposits not bearing interest 11,707,237.71
Deposits bearing interest, includ-
ing interest accrued to date
of statement 55,037,581.79
Balances due to other Banks in
Canada 557,855.39
Balances due to Banks and Bank-
ing Correspondents in the
United Kingdom and Foreign
Countries 2,079,559.33
Acceptances under Letters of
Credit 269,666.62
Liabilities not included in the
foregoing 735.299.78
83,692,861.38
S93,210,954.04
ASSETS
Current Coin $ 595,689.03
Dominion Notes 6,196,051.75
$ 6,791,740.78
Deposit in the Central Gold Re-
serves •_ 2,000,000.00
Deposit with the Dominion Gov-
ernment to secure Note Cir-
culation 235.000.00
Notes of other Banks 455,907.85
Cheques on other Banks 5,392,098.92
Balances due by other Banks in
Canada 31,402.30
Balances due by Banks and Bank-
ing Correspondents elsewhere
than in Canada 2,024,276.79
Dominion and Provincial Govern-
ment Securities, not exceed-
ing market value 5,277.709.51
Canadian Municipal Securities,
and Bi'itish, Foreign and Col-
onial Public Securities, other
than Canadian 7,060,992.91
Railway and other Bonds, Deben-
tures and Stocks, not exceed-
ing market value 699,612.07
Call and short (not exceeding
thirty days) loans in Canada
on Bonds, Debentures and
Stocks 7,839,278.64
Other current Loans and Dis-
counts in Canada (loss rebate
of interest) $51,636,475.88
Liabilities of Customers under
Letters of Credit as per
contra 269,666.62
Real Estate other than Bank
Premises 97,837.58
Overdue Debts, estimated loss
provided for 22.249.41
Bank Premises, at not more than
cost, less amounts written off 2,850,000.00
-"^lortgages on Real Estate sold by
the Bank 24,338.67
Other Assets not included in the
foi-egoing 502,366.11
$37,808,019.77
55,402,934.27
$93,210,954.04
November 12, 1920
THE MONETARY TIMES
PROFIT AND LOSS ACCOUNT
Statement of the result of the business of the Bank for the
year ending 30th September, 1920
Balance at credit of Profit and Loss Account,
30th September, 1919 $ 275,435.66
Net profits for the year after deducting expenses
of management, resei-\-ation for interest ac-
crued on deposits, exchange, and provision
for bad and doubtful debts 822,718.23
§1,098,153^89
This has been appropriated as follows: —
157th Di%-idend at rate of 12 per cent § 120.000.00
158th Dividend at rate of 12 per cent 120,000.00
159th Di^^dend at rate of 12 per cent 120,000.00
160th Dividend at rate of 12 per cent 120,000.00
Contribution to Officers' Pension Fund 25,061.23
Charity Fund 5,000.00
To provide for Dominion Government Taxes 70,000.00
S 580,061.23
Leaving at credit of Profit and Loss Account,
30th September, 1920 518,092.66
$1,098,153.89
WM. MOLSON MACPHERSON, EDWARD C. PRATT,
President. General Manager.
AUDITORS' REPORT TO SHAREHOLDERS
We have checked and verified the Cash. Investments and
Securities of The Molsons Bank at the Chief Office in Mont-
real on 30th September last, and also at another time as
required by the Bank Act, and v.e have at different times
during the year checked and verified the Cash and Securities
held at other important Branches of the Bank.
We have compared the Certified Returns from all the
Branches with the entries in the Books at the Chief Office of
the Bank as at 30th September, 1920, and find that they agree
therewith; and all the transactions which have come under our
notice have been, in our opinion, within the powers of the
Bank.
We have obtained all the information and explanations
we have required, and we certify that in our opinion the above
Statement is so drawn up as to exhibit a true and correct
view of the Bank's affairs at the close of business on 30th
September, 1920, according to the best of our infonnation and
the explanations given to us, and as shown by the books of
the Bank.
LEMUEL GUSHING ) Auditors
CHAS. A. HODGSON 5 A"°"^°rs-
Chartered Accountants.
Montreal, 19th October, 1920.
The General Manager, Mr. Edward C. Pratt, gave a few
words of explanation with regard to the Annual Statement,
during which he said: —
The most striking change this year is th^large decrease
in Dominion and Municipal securities, over §11,000,000, and on
the other side the decrease of over $5,000,000 in the amount
owing to the Dominion Government. Last year's figures were
exceptionally large, owing to the Government requirements
just prior to the issue of the last Victory Loan and the reduc-
tion is mainly due to the paying off of Dominion and British
Government loans. We may look for a further reduction in
the same items in the coming year.
, The great demand for commercial loans in Canada is re-
fiecfted in the increase of $7,800,000 in our loans and discounts.
Onr deposits show reasonable growth, a little over 83,000,000.
There is an increase in Bank Premises of $325,000. This
covers expenditure that we found it absolutely necessary to
make either in buying, building or impro\'ing our properties.
We can assure you that the Bank now is very well equipped
at practically all its offices.
With a total of assets and liabilities of about the same
amount as last year,, we have returned practically the same
profits, although the expense of conducting the business has
largely increased.
The memorial to our officers who fell and who served in
the war, referred to at our last meeting, has just been erected
in our Montreal Office, and you are in\'ited to inspect it as
you pass out.
THE PRESIDENT'S ADDRESS
The President, Mr. Wm. Molson Macpherson, then deliv-
ered his annual address, as follows: —
The Sixty-fifth Annual Statement of the Bank which has
just been submitted to you, showing profits slightly in excess
of those of last year will, I am sure, be satisfactory to the
Shareholders.
In a few days we shall be celebrating the second anni-
versary of the signing of the Armistice. We can now see that
at that time we were too hopeful as to the period it would
take to restore normal conditions, and were mistaken in think-
ing the readjustment necessarj^ after the disorganization
caused by the conflict would be completed before this. We
in Canada, of course, suffered very little destruction in pro-
perty, and in consequence seem to be regaining more system-
atic and stable conditions with less disturbance thaii most
countries.
The deposits of the Canadian public in the chartered
banks of Canada show an increase for the year of $70,000,000,
but the bank loans in Canada have increas'ed by $360,000,000.
This justifies the banks in their present policy in restricting
loans. You are doubtless aware that for the past four or five
years the Canadian banks have supplied their customers with
the necessary funds to conduct their business with little, if
any, increase in discount rates, and our customers at the pre-
sent time are discounting their bills at lower rates than can
be obtained in Great Britain or the United States. We are
sure that the Canadian public must value the steady money
market they have enjoyed all through these troublesome times.
The period of falling prices has begun and pro\'ided the
drop is gradual and not violent, our people should be able to
meet the changing conditions without difficulty. Most of our
manufacturing and trading firms have prospered so well
during the past few years that they are in a good financial
condition to meet a period of readjustment without embar-
rassment.
MTiile the farmer may have to be content with a smaller
price for his produce this year, the very bountiful crops all
over the country should give him as great a return in money
as last year. The extraordinary advance in the markets of
the world in the price of pulp and paper is altogether to the
advantage of Canada.
Exchange on New York still runs heav-ily against Canada
and exchange on London greatly against Great Britain. As
England has been in the past the largest market for our ex-
ports, the fall in the value of the pound sterling as represented
in Canadian dollars has made it more difficult to sell in Eng-
land! The balance of trade, which a year ago was running in
our favor, has now turned against Canada, the year en£ng
30th September showing §80,000,000 excess imports over ex-
ports as against $383,000,000 excess exports over imports last
year. Until there is a better balance between imports and
exports exchange rates will be abnoi-mal.
Canada needs more population, most of which must come
through immigration. This should be carefully selected and
no better means of getting a good class of immigrants can be
found than the recommendation of those who know the coun-
try and advise their friends and acquaintances to move here.
In this connection the visits of the British Press Congress and
of the Chambers of Commerce of the Empire should be most
helpful. Our visitors during the year included leaders of in^
dustry, commerce and letters in Great Britain, India, Australia
and the other colonies, many of whom visited points all over
Canada. All the speakers expressed their pleasure at the
wonderful development seen throughout the country and we
feel sure on returning home will speak well of its prospects.
The Government very wisely has increased taxation until
it is apparently now sufficient to meet the national outlay
v\-ithout necessitating the issue of new loans. This should
make the present War and Victory Bonds, which we have been
recommending to you for some years in our annual address,
very desirable investments, and we advise their purchase at
the present attractive prices, which we do not think are likely
to last very long.
The President then invited discussion, but nothing being
said, he moved the adoption of the Annual Report, which was
seconded by the Vice-President, Mr. S. H. Ewing, and unani-
mously adopted.
It was then moved by Mr. Alfred Piddington, seconded
by Mr. Charles E. Spragge, and resolved, that Messrs. Lemuel
Gushing and Charles A. Hodgson be continued in their office as
Auditors of the Bank for another year. This was unanimously
adopted.
It was moved by Mr. W. B. Blackader, and seconded by
Mr. Arthur Browning, and resolved, that the Secretary be
28
THE MONETARY TIMES
Volume 65.
instructed to cast one ballot for the re-election of the Direc-
tors, which was unanimously carried.
Messrs. Charles E. Spragge and Alfred Piddington then
presented the report of the Scrutineers, as follows: —
Montreal, 2nd November, 1920.
To the General Manager, The Molsons Bank:
Sir: — We have the honour to report that at the ,4nnual
Meeting of the Shareholders of The Molsons Bank, held this
day, the following gentlemen were re-elected to the Board of
Directors: Wm. M. Birks, W. A. Black, S. H. Ewing, Wm. Mol-
son Macpherson, F. W. Molson, J. M. Mclntyre, John W. Ross.
A vote of thanks of the Shareholders to the President,
Vice-President, Directors, General Manager, and officers of the
Bank, was then moved by Mr. S. W. Ewing, seconded by Mr.
Walter Molson, and unanimously adopted.
The President, Mr. Wm. Molson Macpherson, in returning
thanks on behalf of himself and the Directors, referred in com-
plimentary terms to the work of the General Manager and
his staff. " He remarked that on the shoulders of bank officers
generally had fallen and must fall a good deal of the work
to be done in the period of reconstruction. He stated that it
gave satisfaction to the Board of Directors to know that the
Bank had for a great many years taken its full share in the
development of the country and that it is in a strong position
to continue to do so.
The General iManager, Mr. Edward C. Pratt, thanked the
Shareholders for their e.xpression of confidence and mentioned
that the officers of the Bank were grateful for the increased
remuneration granted to them by the Board of Directors dur-
ing the past three years. In reply to this, Mr. Arthur Brown-
ing said the Shareholders were pleased to learn that the staff
had been liberally dealt with. He hoped that the Board of
Directors would bear in mind the desire of the Shareholders to
see a bonus paid to them whenever the profits of the Bank
would warrant it.
The meeting then terminated.
At a subsequent meeting of the Directors Mr. William
Molson Macpherson was re-elected President and Mr. S. H.
Ewing Vice-President, for the ensuing year.
283
Will. A GOLD BOO.M HELP?
Gold Supply Affects Prices, But Would Not Adjust Supply
and Demand for Commodities
By a. B. Barker
FIGURING on the era of unemployment believed by many
to bo at hand, some of the London and New York
papers are predicting a gold boom. They think that as work
grows scarce there will be a movement of men to the mining
camps for work, which will result in an increased output of
gold, and with increased activity in mining, there would be
always the possibility of new discoveries. This it is hoped
will provide a broader basis for the present paper currency,
and so help deflation.
In the past, however, any material increase in the pro-
duction of gold has had the effect of raising the prices of
commodities. Gold is a commodity as well as a measure of
value, and as a commodity is subject to the natural law of
trade; as the supply increases its exchange value decreases,
when measured in terms of commodities in general. For
monetary purposes gold is used in the shape of coins, which,
by law, contain a certain specified weight of the metal of a
certain fineness, according to the denomination of the coin.
The value of the coin consists in the certified weight of
metal contained therein. Prices are measured in these coins,
and when the value of gold, measured in commodities, de-
creases, it takes more of these coins to exchange for these
commodities, or, as it is usually expressed, prices rise. There
is no reason to believe that the result would be any different
now than in the past, and a big gold production would merely
increase the prices of food and clothing; in fact, of any com-
modity dealt in. The relative values of the different com-
modities, compared with each other, would not change on
this account, but their price measured in gold would in-
crease.
Goods, Not Gold, Wanted
What is wanted is not more gold, but more goods to re-
place those destroyed in the war, and until this is accom-
plished deflation will be retarded.
Before the war our surplus of foodstuffs and raw
materials went to Europe, and we received goods in exchange,
not directly, but the proceeds none the loss were received by
us in goods. Trade in modern times is rarely direct. Ours
was to Europe chiefly and from the United States. What
Europe owed us on trade balance, and also for the proceeds
of loans to the Dominion and provincial governments, muni-
cipalities, and corporations, we spent in the United States
for goods. Wc shipped the goods to Great Britain and
transferred to the United States the debt in our favor owing
by Great Britain. By this transfer the debt owing to the
United States for goods shipped to Canada was cancelled.
Money was not used and the settlement was arranged by the
transfer of credits, the real transaction, however, so far as
we were concerned, was an exchange of goods for goods.
t
International Settlement
During the war we shipped large quantities of supplies
of all kinds. Part of this was paid for as before, that is, we
used the proceeds to purchase goods in the United States,
and part was sold on ci-edit, and is eventually to be paid for
in goods, shipped up direct or sold to some country, and the
credit made available to us so that we can pay it to some
other country for goods. All our borrowings abroad would
under normal conditions have been eventually paid for by
the shipment of goods, and by the transfer of much of the
evidences of these debts in the shape of Canadian securities
of various kinds, during and since the war, this movement
was accelerated. ^The difficulty now is that tl.e countries to
whom we sent our surplus in former years are unable to
ship goods in ex.-hange, and the problem is how to supply
our old customers and wait until they are in a position to
produce what we want in exchange. International finance
has complicated the matter to some extent, but in the final
analysis the problem is as stated, and on the successful
solution depends chiefly the question of the\deflation of cur-
rency and the prosperity of the country and the people.
TAX ARREARS IN ALBERTA
Alberta's treasury is being swelled this fall by the re-
ceipts of tax arrears following the application of the tax
arrears act which requires payment of all taxes in the pro-
vince up to the end of last year, failing which the lands or
properties will be sold for taxes. Hon. C. R. Mitchell, pro-
vincial treasurer, has announced that the effect of the ad-
vertising all land in arrears for sale during the next two
months has been payment of such arrears in a growing
volume. .-Mthou.gh considerable sub-divided properties out-
side cities and towns arc apparently to be allowed to go to
the auction block for arrears, Mr. Mitchell says nearly all
outstanding accounts against farm lands are being paid to
avoid the sale, and the total collection of the province in this
manner is already large. The provincial treasurer refers
to the fact that many of these arrears have been standing
for several years, and the deficits which have had to be met
by the government in annual accounting were the result
of the non-payment of taxes due. This year the situation
promises to be greatly improved both as regards payments of
current taxes and the collection of arrears. '
Preliminary work on the development of the .Bridge
River power site near Lillooet, B.C., is being carried on. The
development will entail an expenditure of $30,000,000; the
head will be 1,600 feet and 400,000 horse-power will be avail-
able.
November 12, 1920
THE MONETARY TIMES
29
KINGSTON
JAMAICA
A branch of this Bank has been
opened in the above City under
the management of
Mr. Crawford Gordon
Those having business relations
vv^ith Jamaica or other West Indian
Islands are invited to avail them-
selves of the facilities offered by
this Bank.
THE CANADIAN BANK
OF COMMERCE
279
THE MONETARY TIMES
Volume 65.
Finances of British Columbia Municipalities
Reduction in Tax Arrears a Favorable Feature— Revenue and Expenditure Account
Shows Surplus asjCompared with Deficits of Previous Years— Sinking Funds Need
Adjusting — Shortage has Grown to Large Figurej— In Utilities Electric Light
Makes Satisfactory Showing, but Waterworks and Sundries Have Fallen Behind
STATISTICS of the finances of British Columbia munici-
palities for the year ended December 31, 1919, have just
been issued by Robert Baird, inspector. In commenting on
the report Mr. Baird malces the following remarks: —
"The report is of particular interest in view of the fact
that in the year 1919 the first serious effort was made to
clear up the large amount of arrears of taxes outstanding,
much of which was on account of the extent of the accumu-
lation rapidly becoming uncollectable. The amending act of
1919 re-enacted in whole the taxation and tax-collection pro-
visions of the "Municipal Act," and provided for a compul-
sory annual tax sale and also for the obtaining of a tax sale
title without delay and at very little cost. The full result
of this policy will not be seen from the figures of the first
year of which we have complete record; the arrears of taxes
show a decrease, the decrease bning from $14,631,216 at the
■end of 1918, to $12,094,121 at the end of 1919. The figures
submitted also show that the moneys actually received ex-
ceed the expenditures by $1,119,670. For a number of years
previous the expenditures had steadily exceeded the receipts,
in the year 1918 the excess being $1,884,475.
"Sinking funds still show an alarming shoi'tage, being
$5,289,012, as compared with $5,206,093 at the end of the pre-
vious year, but from an examination of the comparative
statement shown under the heading of sinking funds, it will
be seen that in a very large number of the municipalities
there has been a satisfactory recovery."
Tax Arrears
As Mr. Baird has pointed out, the item of tax arrears
is the most important consideration. It is interesting, there-
fore, to note the development of that account since 1914: —
Cities. Districts. Totals.
1914 $ 3,879,775 $2,114,454 $ 5,994,230
1915 6,845,741 2,520,634 9,366,375
1916 8,964,834 2,890,942 11,855,777
1917 10,042,651 3,037,476 13,680,127
1918 11,551,567 3,079,648 14,631,216
1919 9,096,200 2,097,920 12,094,121
Sinking Funds
Having apparently satisfactorily disposed of the tax
arrears problem, some move should be taken to adjust the
sinking fund shortage situation. The only cities to show
surpluses in this regard, for the year ended December 31,
1919, were: Albcrni, Cranbrook, Fernie, North Vancouver,
Port Alberni, Prince Rupert and Trail. The districts were:
Coquitlam, Delta, Esquimau, North Covv'ichan, Oak Bay,
Point Grey and Spallumcheen. That these surpluses were
small in comparison with the shortages will be seen from
the following figures, which show the conditions of the sink-
ing funds of cities and districts combined, as compared With
the previous year: —
1919. 1918.
Cash $ 2,009,108 $ 1,924,907
Invested 11,844,740 9,580,337
Total 13,853,849 11,505,244
Sinking fund required 18,958,720 16,669,546
Short 5,289,012 5,206,093
Surplus 184,140 41,791
In his report for 1918, Inspector Baird remarked of the
poor sinking fund investments, particularly in regard to
mortgages, and spoke of these as doubtful assets. A com-
parison of the distribution of the investments shows that the
account mentioned has not improved; but a substantial in-
crease in holdings of Dominion of Canada bonds is a favor-
able feature: —
Dominion of Canada war bonds . . .
Mortgage
Debentures of the municipalities . .
1919.
$7,007,512
278,704
4,558,523
1918.
$4,977,209
273,320
4,329,807
Total debenture debt of the cities at the end of 1919
was $72,581,126, while the total debt was $79,800,504, as com-
pared with $73,164,612 and $82,388,002 at the end of the
previous year. Total debt of the districts amounted to $24,-
496,152, and the debenture debt $22,160,488, as compared
with $23,912,450 and $21,855,497. On the whole there was
some improvement.
Assessments and Exemptions
Assessments increased substantially for the year under
review, but exemptions showed reductions. The following
figures give a comparison of the details: —
Total cities and districts. 1919. 1918.
Value of taxable land $363,508,519 $366,004,371
Value of taxable improvements . 194,430,709 181,358,225
Total taxable property 557,939,288 547,362,596
Exemptions 37,072,096 39,495,172
Population 374,740 374,980
Area in acres 945,008 945,208
Public Utilities
As details of the operations of utilities in 1918 are not
available, a comparison with that year is not possible. As
compared with 1917, 1919 figures do not appear very satis-
factory. The electric light account showed good improve-
ment, but waterworks and sundries fell behind considerably.
The following are the figures for 1919: —
Electric light. Total revenue. Profit. Loss.
Cities $ 410,163 $ 50,421 $ 22,032
Districts 26,118 3,959
Waterworks.
Cities 1,038,674 104,858 128,213
Districts 252,384 1,822 219,791
"■"Sundries.
All municipalities 582,896 25,061 50,946
For 1917 the figures, in the same order as above, are: —
Electric light. Total revenue. Profit. Loss.
Cities $ 316,586 $ 26,653 $ 21,933
Districts 22,392 1,772 357
Waterworks.
Cities 978,696 112,908 129,403
Districts . 206,486 5^8 220,692
*Sundries.
All municipalities 345,577 3,090 64,169
♦Including water, light, telephones, irrigation and street
railway.
Receipts and Expenditures
As pointed out by Inspector Baird in his resume, a fav-
orable shewing was made in receipts and expenditures, the
former amounting to $18,815,692 and the latter $17,696,022, a
surplus of $1,119,670. In previous years the situation had
not been so favorable.
November 12, 1920
THE MONETARY TIMES
THE ROYAL BANK
OF CANADA
Capital and Reserves
$38,000,000
Total Resources
$586,000,000
A> \
COLLECTIONS
thr.oughout the West Indies, Central and South America
handled promptly and at favorable rates.
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
A Newspaper Devoted to
Municipal Bonds.
T^HERE is published in New \dri< City a daily
and weekly newspaper which has for over
twenty-five years been devoted to municipal
bonds. Bankers, bond dealers, investors and
public officials consider it an authority in its
field. Municipalities consider it the logical
medium in which to announce bond offerings.
Write for free specimen copies
THE BOND BUYER
67 Pearl Street New York, N.Y.
32
THE MONETARY TIMES
Volume 65.
COLONIAL LOAN PREFERENCE STOCK REDEMPTION
UNION INSURANCE SOCIETY OF CANTON
The redemption of one-half the outstanding preference
shares of the Colonial Investment and Loan Co., which was
approved at a special meeting of shareholders held on
September 14, has been postponed from October 1 to Novem-
ber 30; this has been necessary owing to the fact that suffici-
ent members of the Treasury Board have not been present
at Ottawa to hold a meeting to bring into force the amend-
ment to the company's act of incorporation passed at the
last session of parliament. A new meeting of the share-
holders is accordingly called for November 19 to approve of
a new by-law.
EMPLOYMENT CONDITIONS NOT SO SATISFACTORY
The Employment Service of the Department of Labor
reports that returns from the Dominion and. Provincial
Ofliees of the Employment Service of Canada for the week
ended October 16 show a decrease in placements when com-
pared with the returns for the previous v/eek. The offices
reported that they had made 8,754 references to regular
positions, and that 7,534 placements were effected. This is
a decrease of 437 as compared with the returns for the
previous week when 7,971 placements were I'eported, and an
increase of 1,095 when compared with the corresponding
week of last year. In addition 1,721 casual jobs were sup-
plied during the week as compared with 1,717 during the
week ended October 9.
During the week 9,454 applicants were registered, of
whom 8,277 were men and 1,177 were women. This repre-
sents a decrease of 311 in registration when compared w-ith
9,765 applications reported during the preceding week. The
number of vacancies notified by employers to the service
during the week totalled 8,686, of which 7,566 were for men
and 1,789 were women. When compared with the 9,890
vacancies of the preceding week this is a decrease of 1,204.
Of the placements in regular employment, 6,821 were of men
and 713 were of women.
LARGE RESERVES HAVE HELPED BANKS
One of the principal reasons for the success of our
Canadian chartered banks is the result of the foresight of
the bank managers in the days when most of our large in-
stitutions were established. They realized that permanency
could be achieved only by putting aside ample reserves so
that bad years could be faced without disaster. This meant
that in days when money yielded large returns, when even
mortgages yielded 10 per cent, or more, shareholders had to
be satisfied with 6 to 8 per cent, while reserves wei-e
being built up out of the undivided profits.
The Molsons Bank, whose 65th annual meeting of share-
holders has just been held, and which has had an eminently
successful year, is a pood instance of tliis. From 1856 to
1888 dividends ranged from 5 per cent, to 8 per cent., and
thence to 1900 exceeded 8 per cent, only nine times when
1 per cent, bonus had been paid. The reserve fund had by
then grown to $2,050,000 while the capital was $2,466,040.
Since then the reserve has grown to $5,000,000, while the
capital is only $4,000,000, and now shareholders arc receiv-
ing the reward due to their sacrifices and are drawing 12
per cent,, equal to less than 6 per cent, on their combined
capital and reinvested savings. The banking capital now
available for business purposes in Canada's banks — and
which is so badly needed too — has been provided to the ex-
tent of almost 50 per cent, by the undivided profits of share-
holders without which our banks v/ould not have been able
to maint,Hin their low rates on discounts (lower at present
than those in Great Britain and in the United States). The
Car.adian public thu? are benefitting now from the wise fore-
thought of the founders of Canada's banking systen..
Results of the operations of the Union Insurance Society
of Canton, Limited, during the year 1919 were highly satis-
factory, as evidenced by the annual report for that year.
The working account shows the net premium income as
£1,609,640, compared with £1,533,573 for the previous year.
The 1918 working account, which, after deduction of interim
dividend and bonus, showed a balance of £691,062. This was
distributed as follows: Final dividend, £78,800; bonus divi-
dend to shareholders, £98,500; addition to reinsurance fund,
£150,000; addition to building reserve fund, £30,000; addition
to equalization of dividend fund, £50,000; carried forward
to underwriting suspense account to close the account for
1918, £283,762.
J. A. Plummer, chairman, in his report to shareholders
at the annual meeting, spoke of the growth of the company.
He quoted the 1913 premium income as £450,000, as against
last year's figure of £1,609,640. A comparison of the balance
sheet is further evidence of the growing strength of the
company. Total assets at December 31st, 1919, were £6,200,-
010, as against £4,835,084 at the end of the previous year.
This advance is due largely to the company's increased hold-
ings of investment securities.
Under the management of Chas. R. Drayton the Cana-
dian business made unusual progress. Net cash received for
fire premiums amounted to $401,962, as against $289,329 for
the previous year. Other classes of business, which include
automobile, hail and inland transportation, also showed
largely increased development. Net cash received for all
classes of business last year totalled $439,076, while in 1918
the figure was $302,202."
ACTUARIAL SOCIETY SEMI-ANNUAL MEETING
The fall meeting of the Actuarial Society of America
was held in Richmond, Va., October 28th and 29th. A. B.
Wood, who was recently elected a member of the executive,
was one of the speakers, .\bout one hundred members at-
tended. Wm. A. Hutcheson, vice-president and actuary of
the Mutual Life, in his presidential address, reviewed the
"Evolution of Life Insurance." In a paper on "Actual Deaths
in the Mutual Life Insurance Company of New York, Com-
pared with the Expected by Three Standards," Mr. Hutcheson
also gave the experience of the Mutual Life for the policies
issued in the United States and Canada in the years 1907
to 1917, inclusive, cai-ried up to the policy anniversai-ies in
1918. These policies were all annual dividend policies. The
mortality was compared with the mortality as shown by the
Medico-Actuarial Table, and also with that of the American
Men Table, with the result that the actual mortality was
78.7 per cent, of the expected by the Medico-Actuarial Table
and 84.6 per cent, of the expected by the American Men
Table, these figures being by amounts. By policies the per-
centages were somewhat less. Attention was called to the
fact that, since the experience ended with the anniversaries
of the policies in 1918, it covers little war experience and
none of the influenza period, except in those cases where the
experience extended into the last few months oi 1918.
The bulk of the business was written between ages 20
and 50. The experience covered over $1,300,000,000 of insur-
ance issued. The exposures were over $5,000,000,000 for one
year. Attention was called to the fact that if the experience
were di\nded into the first five years and sixth to eleventh
years, each would show almost exactly the same percentage
of the expected mortality by the American Men Table as
the total, the variation being only one-tenth of one per cent.;
also, that if the first year were separated from the others,
the ratio of the actual to the expected mortality for that year
would differ only by one per cent, of that of the total ex-
perience.
The paper was completed by a series of tables giving in
detail the results of the experience.
November 12, 1920
THE MONETARY TIMES
33
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I CHARTERED ACCOUNTANTS j
niiiiiiiiiiiiiimiiiniiiMiiiiiiiiiiiiMiiMiiiiniMiiitiiiiiiiinniiiniiMiiiiMiiiiiiiiiiiiiiiiiiiiiiuiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii^
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OFFICES AT
Edmonton - • Alberta
Toronto - • Ont.
CHARLES D. CORBOULD
Chartered AccoDotant and Auditor
ONTARIO AND MANITOBA
649 Somerset Block. ^Vinnipeg
Correspondents at Toronto. London. Eng..
Vancouver
HARBINSON & ALLEN
Chartered Accounlanis
408 Manning Chambers
TORONTO
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Specialist on Taxation Problems
Bank of Toronto Chambers
LONDON - ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
Established 18
W. A. Henderson & Co.
Chartered Accountants
508-509 Electric Railway Chambers
Winnipeg, Man.
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:-
HAMILTON
WINNIPEC
CLEVELAND
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 ConfederatioB Life Building
Winnipeg
SERVICE
Thome,
Mulholland,
Howson
&
McPherson
CHARTERED
ACCOUNTANTS
Specialists on Facto
F.Y Costs and Pr
3DUCT10.S 1
Phor
Main
'« 3420
Ban
Hamilto
t of
n Bid
g. TORONTO
Hubert Reade & Company
Chartered Accountants
Auditors, Etc.
407 408 MONTREAL TRUST BUILDING
WINNIPEG
GEO. O. MERSON & COMPANY
CHARTERED
Telepho
LUMSDEN BUILDING
ACCOUNTANTS
le Main 7014
TORONTO, CANADA
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRIGGS & CO.
Chartered Accountants. Auditors.
Trustees. Ltaujdators
Winnipeg, Toronto, Saskatoon, Moose Jaw,
Montreal, New York, London, Eng.
CLARKSON, GORDON & DILWORTH
Chartered Accountants, Trustees,
Receivers. Liauidators
Merchants Bank Bldg.. 15 Wellington Street West ToronI
G.T Clarks
Established IS64 r j. Dihvor
F. C.S. TURNER & CO.
Chartered Accountants
TRUST & LOAN BUILDING, WINNIPEG
Your card here would ensure it being seen by the principal
financial and commercial interests in Canada.
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R. Williamson. C.A.. J. D. \Va
lace
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ach
RUTHERFORD
WILLIAMSON
&
CO
Chartered Acco<inta,it->. Trustees and
Liquidators
gfi Adelaide Street East, TORONTO
60J .McOlLL Building, .MONTREAL
Cable Address-' WILLCO."
Represented at Halifa.'C. St. John. Winnipeg.
THE MONETARY TIMES
Volume 65.
BOND ISSUE WAS LEGALLY AUTHORIZED
Holder of First Mortgage Bonds Must Comply with Decision
of Other Bondholders, if He Wishes to Retain
His Security
ACTION taken by a bondholder of the Canada Stove and
Foundry Company, attacking the validity of an issue
of bonds made by tho company in 1918, failed in the Superior
Court of Quebec province, according to a judgment handed
out recently. The plaintiff, Peter Z. Bonneville, had
purchased somel of the company's first mortgage bonds
issued in 1916. In 1918 a reorganization of the company
became necessary, tnd a meeting of the bondholders was
held at which a resolution was passed authorizing the com-
pany to create $7.50,000 of six per cent, prior lien bonds, and
$1,000,000 of si.x per cent, second mortgage income bonds,
the latter bonds being e.-cchangeable for the original first
mortgage bonds of the company.
Holder Refused to Exchange
Tho plaintifl" refused to exchange his bonds, and in
October, 1918, took the present action, asking that the pro-
ceedings at the bondholders' meeting be declared illegal, and
that the prior lien bond issue be annulled. On December
3rd, 1919, a winding-up order was granted against the com-
pany, and Paul L. Turgeon, liquidator, was subsequently
authorized to contest the action.
The judgment holds that the rights of holders of
original first mortgage bonds were confined to receiving
from the ti-ustee in exchange for their bonds an equal
amount par value of second mortgage income bonds, and
that, under the terms of the trust deed creating the original
first mortgage bonds, the plaintiff had no right to institute
the present action. It is also declared that the company
was not insolvent at the date upon which the new bond issue
was created, and that the bondholders had power to authorize
tho creation of such prior lien bonds. The plaintiff's action
was accordingly dismissed with costs.
CANADA NATIONAL FIRE CASE
An interesting insurance case has just been decided
before the Court, the Canada National Fire Insurance Co.,
of Winnipeg, having sued Albert Wesley Woodard for $13,-
727 damages. It appears that Mr. Woodard was at one time
branch manager for the Canada National in Vancouver.
Owing to dissatisfaction on his part, he left the company,
but was reappointed, according to his sworn statement as a
recording agent, but to secur e this appointment he was
obliged to sign an agreement — one clause of which was that
if he left the company he would not solicit business from,
or interfere with, the clients of the insurance company. In
January, 1919, he did leave the service, and it was contended
that he did canvass the policyholders of the Canada National,
and it (the company) is alleged to have lost, during the year,
in this way, over $5,000 in premiums. Mr. Woodard claimed
that the action of the company, subsequent to his signing
the agreement, warranted him in believing that the said
agreement was of no effect.
Mr. Woodard further referred to conversations with the
officials of the company in regard to this matter, but the
Court did not allow these conversations to go in as evidence.
Justice Macdonald gave judgment to the effect that the
written agreement signed by Mr. Woodard was legally bind-
ing ui)on him, and he allowed the injunction to restrain Mr.
Woodard from interfering in the company's business in the
manner indicated, and awarded the company damages.
SHOULD TRUSTEE MAKE INCOME RETURN?
Whether a trust company can be required by the city
assessment department to make a return, showing income
payable to beneficiaries, was discussed in the Toronto Court
of Revision on November 2nd. George Hearst, on behalf of
the department, said: —
"The position is that the department have found that
large estates have not been assessed on their prospective
income. It is our purpose to assess beneficiaries who reside
in the municipality. We send these beneficiaries income
schedules, and they come back, saying, 'We have no income.'
We are told to go to the trust companies, who are the trus-
tees, for the information. Mr. Watso)i, of the Toronto Gen-
eral Trusts, says to us: 'If you get a letter from the bene-
ficiaries, we will give you the information.' Now, we contend
the Act says these corporations should give the department
the information. We have come to the court, and you have
said the department should get the information. The Appel-
late Court says the estate is subject to assessment in the
municipality where the testator died. All we want is that
the corporations should assist us. Every corporation has to
file a statement of the dividends, and we contend we are
entitled to know whether such dividends are assessable
against the corporation or any beneficiary in the munici-
pality."
Another point emphasized by the department was that
where the income goes to capital instead of being distributed
it should be assessed.
Canadian Debentures Corporation, Ltd., have removed
their offices from 8 King St. W., Toronto, to .S6 King St. E.
W. R. Fleming is manager.
CASE ON ALBERTA SOLDIERS' RELIEF ACT
The Alberta Chancery Court has just held that a mort-
gagor cannot stay foreclosure proceedings by the transfer
of his interest to a soldier. William J. Corkrum, in March,
1915, commenced an action against Donald Hope for the re-
covery of money due under a mortgage. Since that time,
the action has been pending before the court. In the mean-
time the plaintiff died, and the defendant's son enlisted. In
October, 1919, Percy C. Hope, the son, claimed to have an
interest in the property, and the court stayed the action
under the Soldiers' Relief Act, although Percy Hope was not
a party to the action.
In June, 1920, Percy was added as a defendant. The
plaintiff appealed from three orders of the court, and Justice
Scott has now given judgment allowing the appeal with
costs, and setting aside the orders appealed from. The judge
held that Percy C. Hope was not a necessary party to the
action, and was not entitled to be made a party defendant,
merely for the purpose of obtaining a stay of proceedings
under the Soldiers' Relief Act.
"To hold, for instance, that after proceeding-s had been
taken under a mortgage the mortgagor may fraudulently or
othenvise transfer his equity of redemption to a soldier, and
that the latter as such would thereupon be entitled to stay
the proceedings would open a wide door for fraud, as it
would provide an effectual means of obtaining a stay of pro-
ceedings in every mortgage action.
"In my view, the nature of the possession referred to in
the act is actual possession, which is something more than
the constructive possession which one tenant in common may
be entitled to claim by reason of the actual possession of the
property by another tenant in common.
"I entertain a strong suspicion that the application to
make Percy C. Hope a party to the action was made entire-
ly in the interest of his father, Donald Hope, and solely for
the purpose of enabling him to stay the proceedings in the
action and thus enable him to retain possession of the
property.
"It was under his instructions that the' application was
made, his son having left for South America (where he
now resides), some months before it was made. It is true
that the father claims to be acting under power of attorney
from the son, given in March, 1918, but it appears that he
resided in Calgary after his discharge for about a year,
during which he does not appear to have sought to be made
a party."
November 12, 1920
THE MONETARY TIMES
iiiMiniiiiiiiiiiiiiiiiiiMiiiiiiiiuiiiiiiiiiiniiiiiiiiiiiiiiiiiinMiiiiiiiiiiMiiiMiiiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiu
I REPRESENTATIVE LEGAL FIRMS f
fiiiiiiiiiiiiiiiiMiiiiiiiiiiiiuiiiiiiiiiiiiiiiiiiiiiiDiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiin
BRANDON
J. F. Kilgour. K.C. G. H- Foster
R. H. McQueen
KILGOUR, FOSTER & McQUEEN
Barriiteri, Solicitort, Etc., Brandon, Man.
Solicitors for the Bank of Montreal. The
Royal Bank of Canada. Hamilton Provident
and Loan Society- North American Life
Assurance Company.
LETHBRIDGE, Alta.
Conybeare, Church & Davidson
Barristers. Solicitors, Etc.
Solicitors for Bank of Montreal. The Trust
and Loan Co of Canada, British Canadian
Trust Co., &C..4C.
C. F. P. Conybeare, K.C, H W. Church, M.A.
R. R. Davidson. LL.B.
Lethbridge - - Alta,
PRINCE ALBERT
COLIN E. BAKER, B.A.
Solicitor for the City of Prince Albert
IMPERIAL BANK BUILDING
PRINCE ALBERT, SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal Bldg.
CALGARY - - ALTA.
Hon. Sir James Lougheed, K.C, K.C.M.G..
R. B. Bennett. K-C, J. C Brokoviki. K.C
A. M. Sinclair. K.C. D. L. Redman, H. E.
Forster, P. D. McAlpine. O. H. E. Might. L.
M. Roberts. fCable Address "Loughnett")
LOUGHEED. BENNETT & CO.
Barristers, Solicitors. Etc.
Clarence Block. 122 Eighth Avenue West
CALGARY. ALBERTA. CANADA
W. P. W.Lent Alex. B.Mackay, M.A. .LL.B.
H. D. Mann. M. A., LL.B.
LENT, MACKAY & MANN
Barrtsterg, Solicitors. Notaries, Etc.
303 Grain Exchange BIdg , Calgary, Alberta
Cable Address, ' Lenjo." Western UnionCode
Solicitors for The Standard Bank of Canada.
The Northern Trusts Co.. Associated Mort-
aaee investors. &c.
J. A. Wrioht. LL.B.
WRIGHT & WRIGHT
Barristers, Solicitors, Notaries, Etc.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. A.C. Rutherford. K.C..LL.D.
P. C Jamieson. K C. Chas. H. Grant
S. H. McCuaig Cecil Rutherford
RUTHERFORD, JAMIESON
& GRANT
BarriateTB, Solicitors, Etc.
514-18 McLeod BIdg. Edmonton, Alberta
JOHNSTONE & RITCHIE
Barristers, Solicitors, Notaries
LETHBRIDGE - Alberta
REGINA
MEDICINE HAT
G. F. H. Long. LL.B. J. W. Sleight, B.A.
LONG & SLEIGHT
Barristers, etc.
MEDICINE HAT and BROOKS, Alta.
MOOSE JAW
William Grayson. K.C T. J. Emerson
Lester McTaggart
Grayson, Emerson & McTaggart
Barristers, Etc.
Solicitors— Bank of Montreal
Canadian Bank of Commerce
Moose Jaw - Saskatchewan
NEW WESTMINSTER
JOHN W. DIXIE
Barrister and Solicitor
405 Westminster Trust Building
NEW WESTMINSTER, B.C.
NEW YORK
NEW YORK
WILLIAM BRUCE ELLISON
Called to Ontario Bar I88U, New York Bar 18S2
ELLISON. ELLISON & FRASER
I(;.5 Itroad n .ly , .\e» Vork
ELLISON. GOLDSMITH & ALLEN
■«l West l»4th St., Sew York
A L Gordon. K C.
H. E. Keown
Gordon, Gordon, Keown
and Collins
Barristers, Solicitors, &c.
Aldon Building, REGINA, Sask.
Solicitors for Imperial Bank of Canada
SASKATOON
C. L. DuRlE. B A. B. M. Wakelino
DURIE & WAKELING
Barristers and Solicitors
Solicitors for the Bank of Hamilton. The
Great West Permanent Loan Co. The
Monarch Life Assurance Co.
Canada Building Saskatoon, Canada
Chas. G. Locke. Major J. McAughey.O.B.B.
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Bailding
SASKATOON - CANADA
VANCOUVER
BOWSER, REID, WALLBRIDGE
DOUGLAS & GIBSON
Barristers, Solicitors, Etc.
Solicitors for Bank of .Montreal (Bank of
British North America Branch)
Yorkshire Bnildiag, 52S Sermour St., Vancoaver, B.C.
VICTORIA
A. E. DUNLOH
(K.C. for Alberta)
Member of Nova Sco-
tia, Alberta and Brit-
ish Columbia Bars
H. H 1\1. FOOT
Member of Manitoba
and British Columbia
Bars
DUNLOP
&
FOOT
Barristers. Sol
Notaries and Com
612-613 Sayward
Victoria, British Colum
missioners
BIdg.
^ia, Canada
J. A. THOMPSON & CO.
Government and Municipal Securities
Western Mnnldpal, School and Saskatchewan Rural Tele-
phone €o. debentures specialized In.
CORRESPONDENCE INVITED
Union Bank Building - WINNIPEG
A. J. Pattison Jr. & Co.
Me
Toi
to Stock ExchanBe .Montreal Stock Exchange
Specialists Unlisted Securities
BAY STREET - • TORONTO
36
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
Power Shortage in Ontario not yet Relieved, but Negotiations are Under Way —
Armour Company Leaving Canada — Flour Mill Established at Charlottetown —
Steel Industry not Affected by Depression, Says Authority — Dominion Shipbuilding
Plant to be Operated — Prince Rupert Drydock Company Suspends Operations
"NEGOTIATIONS between the Ontario government and
■^^ the Electrical Development Co. for the relief of the
power shortage, which is crippling Ontario industries, are
still pending. A proposition was submitted by the com-
pany last week, but was rejected by the government. The
proposition contained the following conditions: —
"If the government will take or cause to be taken such
action that during the period of generation of power in
excess of 125,000 h.p. (peak load) under our proposition
(a) we will be put in the same position as if the Act of
1920 had not been enacted, and (b) the existing injunction
order will be suspended on proper terms, and (c) wo will be
put in the same position as if the Act of 1917, and the order-
in-council of June 27, 1918, had not been passed, and (d)
we will not be subject to any claim based upon alleged
exceeding of our license under our contract with the Park
Commission :
"(1) We will, from time to time, as demand requires,
generate power in excess of 125,000 h.p. (peak load), up to
the capacity to which we are advised our plant can, from
time to time, be safely and properly operated. (We esti-
mate this to mean, at the present time, with all units in
commission, a possible commercial output of 15,000 h.p. in
excess of 125,000 h.p. (peak load).
"(2) We will supply such power generated in excess
of 125,000 h.p. (peak load), from time to time, at market
or current contract prices, on usual conditions, to any cus-
tomers who apply and are prepared to pay for it, and can
take it, under operating conditions which we are advised
are safe and proper, from oiSr distribution system or con-
nections with it, provided by the customers.
Premier Drury, in his reply to these conditions, said the
specific value of this power has been set by a commission of
judges at $9 per horse-power. Understanding from the com-
pany, however, that its case was not represented before that
commission, he offered to reappoint it to decide again on a
fair price. The premier also took objection to the manner
of distribution. lie suggested that the company deliver in
the same mcnner as it did the 13,500 horse-power which it
delivered to the hydro up to October 15.
From the standpoint of the hydi'o engineers, the chief
drawback to the offer is its stipulation that the relief be
given by the company taking over a number of big hydro
power contracts. The hydro commission makes the same
sugge.stion as Premier Drury in this .•e^ard.
.\rniour Company Closing
On November 8 announcement was made from Chicago
of the closing of the Canadian business of Armour and Co.,
the large packing company, including the plant at Hamilton,
Ont., and selling agencies at St. John, N.B., Sydney. X.S.,
Hamilton, Ont., Montreal, Quc.» and Toronto. A state-
ment given out at Hamilton last week by J. W. Duvall, gen-
eral manager there, explains the situation: —
"With the export market practically gone and vnth
hogs at prohibitive figures, the closing of the Hamilton
plant of .\rmour and Co. has been made imperative. We
hope to be able to resume operations when conditions be-
come favorable for conducting the plant on a basis which
makes earnings possible.
"While the lack of an export market and the high price
of hogs are the immediate causes for cessation of operations,
there is another underlying handicap to the success of pack-
ing operations at Hamilton. Due to the small margins on
which we operate, large rolumcs are essential in our busi-
ness, and the production of hogs in the Hamilton tcrritor>'
has not been sufficient to enable volume operation. We
have always felt and we still believe that this territory can
produce good hogs in abundance, but it is not being done
now. Our plant has been operated for a long time on a
basis far short of its capacity, and this has greatly increased
the overhead expense which each animal necessarily has to
bear. That made it impossible for us to compete with plants
more favored as to volume. It is the part of good business,
therefore, to close the plant.
"Cessation of operations is being brought about
gradually as stocks are cleared out. We look forward to
the time when we can resume operations here and be more
than ever a factor in the industrial life of Canada."
Charlottetown Flour Mill
A new flour mill has been established, at Charlottetown,
Prince Edward Island, and is now working at full capacity.
This mill has a capak;ity of 150 barrels of flour per day and
will be able not only to take care of all the wheat growTi in
the province but will import largely from the western pro-
vinces, thus manufacturing at home a large proportion of
the wheat now imported, and giving employment to Island
labor. It is the intention to produce two brands of flour,
namely. Gold Bond and Garden City. The former will be
milled from No. 1 western wheat and wall be a high grade
patent; the later will be a blend of Island and western
wheat, both bi'ands having a distinct flavor.
The promoters of this new industrial undertaking are:
B. D. Howatt, president; Isaac Carter, vice-president; H. M.
Davison, C. H. Chandler, and B. W. LePage, secretary-
treasurer.
Iron and Steel
A quarterly report by the Lake Superior Corporation
contains satisfactory statements of production and of rail-
way conditions. The output of coke, pig iron and steel in-
gots for the three months ending September 30 reveals a
large increase over the figures for the corresponding quarter
a year ago. The shipments of iron and steel are also much
higher, being 142,246 tons, compared with 48,229. Unfilled
orders on September 30, including pig iron and steel, for
delivery in the last quarter of 1920, were 200,000 tons. "A
satisfactory tonnage is offering for delivery in the first
quarter of 1921," says the report. "The output of Lake
Superior coal and of limestone shows an increase, while that
of Cannclton coal is lower. The coal companies operations
have been curtailed on account of car shortage."
The plate mill of the Dominion Iron and Steel Co., at
Sydney, N.S., last month surpassed all former records in out-
put, turning out 4,900 tons. The previous record was slightly
over 4,500 tons. Whether the plate mill will be kept in
operation all winter or not depends on orders from the
Canadian government. ..
The rail mill at the steel plant, which closed some weeks
ago for lack of orders to keep it in operation, is to resume
work at once on the manufacture of a small order of billets.
The order which the company has received will keep the mill
in operation for about two weeks. Future operations depend
on whether or not further orders are received.
Accoixling to authoritative reports, the Dominion Bridge
Co., and its subsidiary the Dominion Engineering Co., are
operating to capacity in every department, and orders now
on the books are suflicient to ensure continuation of these
conditions for many months to come. The principal draw-
back experienced by the company is no longer the difficulty
of obtaining orders, but the difficulty of obtaining supplies
of sheets and bars and various iron and i^teel products re-
November 12, 1920
THE MONETARY TIMES
IF you are not younger than 22 years
* or not older than 41 years and in good
health, send for particulars of our famous
Money-Back Policy
Please state date of birth.
The Travellers Life
Assurance Company of Canada
MONTREAL, QUE.
Hon. GEORGE P. GRAHAM. President.
LONDON
GUARANTEE AND
ACCIDENT COY.. Limited
Head Office for Canada - Toronto
nployers" Liability. Elevator, Contract. Personal Accident. Fidelity
Guarantee, Internal Revenue. Sickness. Court Bonds.
Teams and Automobile.
AND FIRE INSURANCE
IT PAYS TO INSURE YOUR AUTOMOBILE
WITH
The Canadian Surety Company
Ma
Servi
Mi:
Cost.
CANADIAN STRONG PROGRESSIVE
FIRE INSURANCE
AT TARIFF RATES
General
Fire
Insurance
Accident
Health
Fidelity
Bonds
Plate
Glass
Burglary
A. E. Hah.
J O. Melin
Capital Subscribed ■ $500,000
Aotomobile
Insurance
Fire and
Theft
Liability
Property
Damage
Collision
BoUer
Explosion
ray Chambers
H^P
-
/ice-President
Sec -Treas.
Good Openi
Home Office
lOth Floor, Electric Railv
ngs for Live Agents
Commercial Union Assurance Co.
Limited, of London, England
Capital Fully Subscribed $ H,7.S0.OUO
Capital Paid Up 7,375,000
Total Annual Income Exceeds "5,000,000
Total Funds Exceed 209.000,000
llPiiil Ofllre Canadian Braucb :
COMMERCIAL UNION BUILDING - MONTREAL
H ALBERT J. KERR, Assistakt .Manager. \V, S. JOPLING, Manager
Toronto Office - 49 Wellington Street East
GEO. R. HARGRAFT. General Agent for Toronto and County of York
innniifiiiiiniiiiiiiiiiiiimiiiiiiiHniiiiiiiiiiiiiiii
I Automobile- 1 920-Season
§ Policies to cover ANY or ALL motoring risks
I ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters |
82-88 King Street East, Toronto ■
DOUBLE INDEMNITY BOND
TWICE AS MUCH LIFE ASSURANCE FOR THE SAME PREMIUM
IF DEATH RESULTS FROM ANY ACCIDENT.-ENQUIRE-
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
THE EMPLOYERS'
LIABILITY ASSURANCE CORPORATION
OF LONDON, ENG. LIMITED
ISSUES
Personal Accident Sickness
Employers' Liability Automobile
Workmen's Compensation Fidelity Guarantee
and Fire Insurance Policies
C. W. I. WOODLAND
General Manager for Canada and Newfoundland
Lewis Building,
MONTREAL
JOHN JENKINvS,
Fire Manager
Temple Bldg.
TORONTO
38
THE MONETARY TIMES
Volume 65.
quisite for tho manufacture of the orders taken by the com-
pany. Lack of transportation facilities is appaiently re-
sponsible for some of this shortage. In this connection it is
interesting to note that Canadian iron and steel mills are
too busy to supply all the requirements of the company, so
that supplies have to be imported in part from outside. In
the matter of labor, the situation is improving somewhat,
but the supply is still on the short side.
The fact that Canadian steel mills ai-e very busy is
further emphasized in a statement by S. J. Waddie, presi-
dent of the Canadian Drawn Steel Co., Hamilton, that his
company has sufficient orders on hand to insure uninter-
napted operations for a long time to come. It is his opinion
that the steel industry will not likely be affected to any-
thing like the same degree as other lines of industry might
be. "We could get much more work to do if we could only
get the raw material," he said.
Shipbuilding Plant Resumes
It is understood that the plant of the insolvent Do-
minion Shipbuilding Co. will be utilized by the Henry Hope
Co., of Peterboro, Ont, to complete some contracts for the
Dominion government. When the Dominion Shipbuilding Co.
went into liquidation last August there were on hand two
unfinished government boats. The Henry Hope Co. will
finish these, and in the original shipyards, of course.
While this plant is to be opened, announcement is re-
ceived to the effect that the Prince Rupert Drydock and En-
gineering Co. has suspended operations. The company was
constructing under the government progTam two vessels of
the 8,100-ton type so that the Dominion's shipbuilding pro-
gram will receive a temporary setback. The government,
however, is fully protected from loss by guarantee bpnds.
Inability to meet its debt is given as the reason for the
suspension of the shipbuilding company.
FOUR INSURANCE LICENSES ISSUED LAST WEEK
All Were Provincial, And Three -Authorized Extension of
Scope — Insurance Agency Changes Its Name
AUTHORIZATION has been granted to the Beaver Fire
Insurance Co. to transact in the province of Quebec
the business of fire insurance. R. J. Dale, Coristine Bldg.,
Montreal, is the chief agent for the province.
In addition to this, two companies, already licensed to
transact business in the province of Quebec, have had
their scope extended. The Northern Assurance Co. may
now write burglary insurance, in addition to numerous other
classes, while the National Benefit Assurance Co., Ltd., has
been authorized to transact accident and sickness insurance,
in addition to fire business which ic already writes.
The London and Lancashire Guarantee and Accident Co.
of Canada, has been licensed to write burglary insurance
and insurance against loss or damage occasioned by larcenv,
theft, or stealing fi-om the person by violence, threat, holdup,
or otherwisej in British Columbia, in addition to other
classes of business which it is already transacting in the
province.
Carson and Williams, Bros., Ltd., prominent Canadian
insurance agents, have changed their name to Carson, Wil-
liams and Willcox, Ltd., to give more prominence to the posi-
tion in the company of W. J. Willcox. Mr. Willcox has
been in actuality a member of the company for the past
nine years, being located at Winnipeg, and having charge
of the Winnipeg, Regina and Calgary offices.
Cramer and Co., Ltd.. insurance investment and estate
agents, have removed their offices from the Canada Life
Bldg. to 530 Seymour St., Vancouver, B.C. The growth of
their business necessitated larger and more conveniently
located premises. Tiie company represents the Imperial
Guarantee and Accid:'nt Insurance Co. of Canada, the Cen-
tury Insurance Co. of Edinburgh, Scotland, and the Equit-
able Fire and Marine Insurance Co. of Providence, R.I.
NEW INCORPORATIONS
Kilgour Bros.. Ltd., Toronto, $2,500,000 — International
Screencraft Co.. Ltd., Sault Ste. Marie, Sl,500,000—
Ormes Steamship Co., Ltd., Montreal, $1,000,000
Dominion charters have been granted to the following
companies, with head office and authorized capital as indi-
cated:—
Humid-Air Co., Ltd., London, Ont., $60,000; Canusa Ex-
port Co., Ltd., Montreal, $20,000; Canadian Freighter, Ltd.,
Toronto, $40,000; Canadian Sapper, Ltd., Toronto, $40,000;
Canadian Transporter, Ltd., Toronto, $40,000; National Fibre
Products, Ltd., Ottawa, $500,000; Ormes Steamship Co., Ltd.,
Montreal, $1,000,000; Tecumseh Baseball and Athletic Asso-
ciation, Ltd., London, $100,000; Tupman Thurlow Co., Ltd.,
Toronto, $25,000; George B. Meadows, Ltd., Toronto, $250,-
000; Samuel Hart & Co., Ltd., Montreal, $500,000; the Live
Fish Co., Ltd., Quebec, $100,000; Aird & Son, Ltd., Montreal,
$300,000; Landry Pulpwood Co., Ltd., Quebec, $100,000;
Foreign Investment Corporation, Ltd., Toronto, $100,000;
Toronto Fuel Export Co., Ltd., $24,000; Jas. Carruthers and
Co., Ltd., Montreal, $1,000,000; Kilgour Bros., Ltd., Toronto,
$2,500,000; Smith's Falls Construction Co., Ltd., Smith's
Falls, Ont., $50,000; Talbot Shoe Co., Ltd., St. Thomas, $175,-
000; Central Saskatchewan Flour Mills, Ltd., Duck Lake,
Sask., $60,000.
Provincial Charters
Provincial charters announced during the past week have
been as follows: — -
Alberta. — Ladywear, Ltd., Edmonton, $50,000; Hose and
Brooks, Ltd., Calgary, $50,000; Morinville Fair Association,
Morinville, $20,000; Scott Fruit Co. of Calgary, Ltd., Calgary,
$20,000; Helfgott-Caplan, Ltd., Craigmyle, $20,000; Dominion
Furniture Co., Ltd., Edmonton, $25,000.
British Columbia. — Kaien Island Club, Ltd., Prince
Rupert, $10,000; Litchfields, Ltd., Victoria, $15,000; Industrial
Supply and Service, Ltd., Vancouver, $10,000; Crawford
Battery Co., Ltd., Vancouver, $25,000; Laminated Materials
Co., Ltd., New Westminster, $400,000; S. O. Supply Co., Ltd.,
Fairview, $10,000; Smelts-Prickett, Ltd., Vancouver, $10,000;
Land Limes, Ltd., .-Armstrong, $25,000; Lincoln Mining
Syndicate, Ltd., New- Westminster, $10,000; R. S. Taxi Co.,
Ltd., Victoria, $50,000; Canadian Basic Minerals, Ltd., Van-
couver, $50,000.
Manitoba. — Currie Manufacturing and Lumber, Ltd.,
Brandon, $100,000; Rogers Hide and Fur Co., Ltd., Winnipeg,
$200,000; Canadian Theatre Supply Co., Ltd., Winnipeg, $20,-
000; D. R. Reid Contracting Co., Ltd.. Winnipeg, $40,000;
United Technical Schools, Ltd., Winnipeg, $50,000; United
Farmers of Manitoba Political Executive, Ltd., Winnipeg,
$5,000; Standard Machine Co., Ltd., Winnipeg, $20,000; Wood,
Gundy and Co., Ltd., Winnipeg, $250,000.
New Brunswick.— The Northern Light, Ltd., Bathurst,
$24,000.
Ontario. — Palter Cap Co., Ltd., Toronto, $100,000; Shaw
Bread Co.. Ltd., Ottawa, $75,000; Canada Heaters, Ltd.,
Toronto, $100,000; British Talc and Mineral, Ltd., Toronto,
$200,000; International Screencraft Co., Ltd.. Sault Ste. Marie,
$1,500,000; Toronto Ladies' Outfitters, Ltd., Toronto, $40,000;
•Canadian Pattern and Castings Co., Ltd., Walkerville, $25,-
000; Sukes Bread, Ltd., Hamilton, $50,000; Deer Park Golf
and Country Club. Ltd., Grimsby East, .$50,000; Farmers'
.\uto .Accessories, Ltd., Toronto, $250,000; Mack Storage
Battery Co., of Canada, Ltd., Toronto, $100,000; Cataract
Co-operative Co., Ltd., Fenelon Falls, $25,000; T. Bro\vn,
Ltd., Stratford, $40,000.
Quebec.— Canada Drug Co., Ltd., Quebec, $20,000; John
P. Callaghan Corp., Ltd., Montreal, $10,000; Garage St.
Valier, Ltd., Quebec, $49,000; P. Guerin. Ltd., Montreal, $20,-
000; Levis Tool Factory, Ltd., Levis, $49,000; Canadian
Securities Corp.. Ltd., Montreal. $100,000; J. E. Massicotte
Co., Ltd., Chicoutimi, $99,000; Club Liberal de la division
Laurier, Montreal, $20,000.
November 12, 1920
THE MONETARY TIMES
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $133,000,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful days for life insurance salesmen,
particularly North American Life men. Our representa-
tives are placing unprecedented amounts of new business.
All 1919 records are being smashed.
" Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey. Supervisor of Agencies.
North American Life Assurance Company
"SOLID AS THE CONTINENT"
HOME OFFICE TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assurances, New and Revived - - - 81,211,447.00
Premiums on same .... 43,890.00
.Assurances in Force ... . 3,458,939.00
Total Premium Income - - - - 109,586.03
Policy Reserves ... - - 211,497.00
Admitted Assets ..... 296.430.62
Average Policy - - - - . 2,237,50
Collected in cash per 81,000 insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director - - Winnipeg.
1870 OUR GOLDEN JUBILEE 1920
Two Hundred Million Dollars
This year the .\!utu.il Life Assurance Company of Canada colebrates its
golden jubdee by reaching the two hundred million dollar mark. This
point in the expansion of The Mutual Life has been reached more quick-
ly than any of its most ardent friends would have believed possible five
years a«o. But the reason is not "far to seek." During the Great War
and the fatal epidemic which followed in its train The Mutual Life paid
out in relief of the families berea»-ed no less than two million, three
hundred thousand dollars in addition to ordinary claims. The bene,
fitsof life insurance were thus so clearly demonstrated that an immense
demand resulted and the business of TheMutual has developed as much
during the last five years as during the preceding forty.five years. The
Canadian people suddenly realized the absolute necessity for life insur-
ance and naturally turned to a company well-known, well-established
and financially impregnable.
The Mutual Life Assurance Co. of Canada
Waterloo
Ontario
UFE INSURANCE SERVICE
T^HK ultimate success uf a Life Insurance Company depends largely upon
what Its policyholders think of the service they receive. The Continen-
tal Life haslong since passed this test, and earned a high reputation for paying
claims promptly. 1920 will likely prove the best year in the Company s history.
Write for booklet. '"Wiir Best AdTertlsers." For Manager's positions in On-
tario, apply with references, stating e.xoerience, etc.. to S. S. WEAVEB.
Eastern Snperlntenrtonf, at Head Oltlce
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO, ONTARIO
ENDOWMENTS AT LIFE RATES
ISSUFD ONLY BY
THE LONDON LIFE INSURANCE CO.
Head Office ... LONDON, CANADA
Profit Results in this Company 70% better than Estimates.
POLICIES "GOOD AS GOLD."
After the Harvest
protect tfie gains of another abundant year by the safe-
guard of Life Insurance.
.A Life Policy gives PERMANENCE to prosperity. It
guarantees the welfare of dependent ones.
Life Insurance is not expensive. A littie money and
good health are the requisites. You may have the
money next year— but the good health may have gone
So arrange your protection now — and arrange it in the
Company issuing Policies that cost least and return the
highest Pro*its.
THE GREAT- WEST LIFE ASSURANCE COMPANY
DEPT. ■ !•■■
HEAD OFFICE - WINNIPEG
The Western Empire
Life Assurance Company
Head Office : 701 Somerset BniidiDg, Winnipeg, Man.
SASKATOON
Bran
CALGARY
Offices
EDMONTON
VANCOUVER
MAHAN-WESTMAN, LIMITED
FINANCE - INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
Dr. J. W. .MAHAN J, A. WBSTMAN
President Managing Director
^
7Eh=
f PO
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rtion of Alberta. Everything from
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he central
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H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Calgary's Position Criticized by Civic Commissioner— Australian Tax Collection System Suggested
for Victoria — Negligent Bookkeeping in Eastview [ Causes Vexing Situation — Toronto
Finance Commissioner Sounds xNote of Warning Regarding City's Capital Obligations
Letlibridge, Alta. — From January 1 to the end of October,
1920, collections of current taxes amounted to $375,268, or
66.16 of the total levy. Last year the figure was $315,248,
or 65.43 of the total levy.
Hamilton, Ont. — A good showing is revealed in the re-
port of W. A. Kerr, collector of taxes. The report shows that
the estimated tax collection for 1920 was $3,424,159, and the
amount actually collected to the end of October was $3,283,-
636. The collection for Homeside amounted to $71,706.
Winnipeg, Man. — According to figures made public in
the city last week, Winnipeg ratepayers contributed $15,378,-
943 to "the school board from 1895 to 1920, or 19 per cent, of
the $79,006,949 taxes raised in the same period. The school
outlay increased from $94,000 in 1895 to $2,175,700 this year.
The population increased in these years from 34,954 to 192,-
571, the property exemptions from $4,424,330 to $40,971,930,
the land assessment from $11,730,250 to $144,332,700, and
the assessment on buildings from $7,030,700 to $92,637,710.
General taxes increased from $521,603 to $7,637,935, in-
cluding special assessments. In these totals the taxes for
municipal purposes increased from $292,839 to $3,977,594
and the business taxes from $60,869 to $431,915. Patriotic
levies aggregating $1,265,500 were paid from 1916 to 1919,
inclusive.
Toronto, Ont.— Finance Commissioner Ross has sounded
a note of warning regarding the city's capital obligations.
Mr. Ross says that although the city has been able to dis-
pose of bonds approximating $2,250,000 this year, there still
remains the large sum of $13,367,117 to be marketed. He
points out that after the latter amount has been issued, the
city's borrowing margin will be reduced to $5,500,000. The
only relief in sight lies in the fact that next year bonds of
$4,780,000 will mature and be paid off.
He further calls attention to the fact that the city is
committed to immense obligation in the near future, in con-
nection with the acquisition of the Toronto Railway system
and the necessary extension and changes that must follow in
order to provide an adequate transportation system for the
entire city. In addition, $8,568,861 is required in connection
with the hydro radial enterprises already authorized. Other
contingent liabilities, the amount of which cannot be esti-
mated at present, are in connection with the waterfront
viaduct and the city's share of the harbor improvements.
"In view of these things," says Mr. Ross, "it would seem
imperative that no further capital commitments be con-
sidered until such time as the amount of the present commit-
Tnents is materially reduced."
Eastview, Ont. — -An audit of the town's books has just
been completed. This audit was taken following the dis-
missal last July of A. Guilbault, tax collector, who, it was
alleged, had been negligent in his duties, and short in his
funds. . The auditors' report shows the town to be solvent,
there being a surplus of assets over liabilities of $2,637. The
net debenture debt amounts to $160,239, less cash in sink-
ing fund of $7,591. The shortage of the tax collector as at
July 20 last was $259, less $250, deposited after that date.
Apparently, negligent bookkeeping has been the cause of
all this trouble. There had been a number of unauthorized
cheques issued by the tax collector, that is to say, without
the accounts having first been passed by the council, aggre-
gating close to $.50,000. The report states that the tax col-
lector's rolls had not been balanced from year to year. If
they had been the deficiency would have been discovered.
In addition, there is apparently something lax with regard
to the collection of taxes, as the audit shows that the total
amount available for tax collections on the assessment for
1919 was $43,989, and of this there was an amount of $34,-
751 not collected.
There is no suggestion in the report that there has been
anything savoring of dishonesty in the financial administra-
tion of the town, but it is made plain that there has been
much negligence, particularly with regard to bookkeeping,
which has resulted in the affairs of the town being in a very
muddled condition.
Victoria, B.C. — As in the case of many other western
cities, the municipality is confronted with the reverted land
problem. W. G. Cameron, reverted land commissioner, has
stated that he has been unable to get much further than the
outside fringe of the situation, and that he has been unable
to devise any policy to recommend for the disposal of the
land that has been accumulated to the credit of the city as
the result of tax sales.
"As we look back, it is easy to see where we made mis-
takes," said Mr. Cameron, "but it is a very different matter
to set things i-ight. It is now patent to everyone who has
looked into conditions that the city embarked upon too much
local improvement work simultaneously, and did so without
keeping sufficiently close attention to the relation between
estimates and actual cost. The other big mistake was the
postponement of tax sales and the lack of effoi-t to induce
prompt payment of taxes. Then, of course, the city was
handicapped to some extent by the Moratorium Act, War
Relief Act and similar measures which delayed payments. In
the case of local improvement work, instead of the individuals
being responsible for payments, it was the corporation that
had to bear the load."
Mr. Cameron said that application of the Australian
system along modified lines might help to solve the problem,
but he doubted whether it could be introduced at this time
without creating a lot of trouble and giving rise to legal
complications. In Australia property owners are expected
to meet their tax payments pi'omptly, and if they fail to do
so, the matter is at once taken to court and judgment given
against the ownei', if the debt to the municipality can be
clearly established and the owner is solvent. There is prac-
tically no such thing as a tax sale, because the taxpayers
toe the mark all the time and naturally follow the tendency
of not speculating or buying more than actual requirements
unless they are sufficiently well fixed financially to carry the
load for an indefinite period. The municipal authorities in
Australia do not concern themselves so much with the pro-
perty as with the individual. The taxpayer, knowing the con-
sequences of getting into debt with the city, pays promptly
and makes it his business to keep out of the courts. If he
defaults in his taxes it is no matter of his own choice wh'ether
he lets the property go. The municipality doesn't bother
about his property. It takes his money.
Calgary, Alta. — In the course of an address before the
Dominion Labor party in Calgary last week on the problem
of municipal taxation, the past and present "system of the
city was the subject of severe criticism by Commissioner
Saniis. "The difference between what the city of Calgary
is paying annually, and what it should pay if the term of de-
bentures was what it should be, is $200,000," declared the
commissioner. He went on to say that the extension of the
term of several classes of debentures and the borrowing of
money against the land that has come into the possession of
the city would go far to the solution of the problem.
"We owe $1,500,000 to a bonding house in New York,
which is the first charge against our unpaid taxes," continued
Mr. Samis. "We owe the sinking fund $2,500,000, the fund
having been short-changed as a result of our being unable
to collect taxes after the boom. We have land assessed at
November 12, 1920
THE MONETARY TIMES
C.P.R. BUILDING
TORONTO
nOUSSERWOOD^o^MPANY
INVeSTMENT BANKERS
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
INSURANCE
Promptly effected in all its Branches
FIRE, AUTOMOBILE, ACCIDENT, LIABILITY, Etc
Intelligent Advisory Service
OSLER, HAMMOND & NANTON
WINNIPEG
"What the Reduction in the Cost
of Living Means to the Bond Market"
We have prepared a concise pamphlet which
discusses this subject. We shall be glad
to send copies to investors upon request.
Harris, Forbes & Company
INCORPOEATED
C. P. R. Building 21 St. John Street
TORONTO MONTREAL
\1^E consider this an opportune time to
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Write or telephone us for
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T. S. G. PEPLER &
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106 BAY STREET
TORONTO
c.
H.
BURGESS & CO.
Government and
Municipal Bonds
14
King Street East
Toronto
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
INDUSTRIAL SECURITIES
300 Nanton Building, Winnipeg
TOOLE, PEET & CO., Umited
INSURANCE AND REAL ESTATE
MORTGAGE LOANS ESTATES MANAGED
Cable Address. Topeco Western Un. and A.BCSth Edition
CALGARY, CANADA
THE UNITED ASSURANCE COMPANY
Fire, Hail and Automobile Insurance
BraachOffice-IWOOSE JAW,Sa»k. Head Office — CALGARY, Alberta
THE MONETARY TIMES
Volume 65.
$5,000,000 from previous sales, and expect to get another $1,-
000,000 from the next, making a totel of $6,000,000. There
is no reason why we should not bond that land. We
don't have to pay out much more than $100,000 a year."
With regard to the suggestion of some members of the
council to shorten the term of debentures to five years, Mr.
Samis said: "They would ruin the city. With our present
population of 7.3,000 and the development we may expect in
ten years' bonding of the land, it would be well worth while."
He cited the Center Street bridge on which $G,000 a year is
paid to sinking fund on thirty-year debentures, as an ex-
ample of a too short term. Engineers stated that the bridge
would last one hundred years. He would not suggest so
long a term, but would point out that the sinking fund on a
hundred years' debentures would be only $500. Waterworks
debentures, not for thirty years, would be for sixty years.
In connection with the city's present indebtedness on un-
profitable extensions of utilities, the commissioner stated
that this is due to influential persons, who during Calgary's
early development, wanted to get into the gambling game
in real estate. "It was most unfortunate that more of these
absurd schemes had not been turned dovim. Street railway
extensions for the benefit of the owners of subdivisions were
the primary trouble, because wherever the street railway
goes eventually the other utilities have to be put."
The matter with the city, said the speaker, is that it was
laid out by the C.P.R., and that a great deal of railway land
was exempt from taxation. If it had not been for this,
and for the stringing out of the utilities which resulted, the
bonded indebtedness of $4,000,000 on the waterworks would
have been $1,000,000 less. Interest and sinking fund has now
to be paid on that unnecessary capitalization.
Government and Municipal Bond Market
Nova Scotia and Toronto Received Good Prices for Their Securi-
ties—Former Issue Will be Sold Across the Line— Ontario Coming
on the Market Next Week— Windsor Bonds Are Disposed Of
THERE was a great deal of activity in the government
and municipal bond market during the past week. Two
large issues, namely, the city of Toronto and the province of
Nova Scotia, were taken up, and in addition many other
municipal sales were made.
The price received by the city of Toronto, which was on
a basis of about 6.55 per cent., was considered a good one,
and Finance Commissioner Ross was entirely satisfied, tak-
ing into consideration the condition of the market.
Nova Scotia received a good price for its securities, the
basis being about 5.63 per cent. This is a much better rate
than the province received previously this year, and ap-
parently indicates that the market in the United States for
our bonds has improved, as all the issues but one were dis-
posed of by the province across the line.
Coming Offerings
Borrower. Amount. Rate
Langenburg, Sask. . .$ 9,500
Ontario 5,000,000
Yellow Grass, Sask..
York Township, Ont. .
Etobicoke Twp., Ont.
Pembroke, Ont
Freeman Twp., Ont..
Sault Ste. Marie, Ont,
S.S. B
12,000
8,765.10
25,000
47,000
10,000
85,000
Maturity.
15-years
7-years
10-instal.
5-instal.
30-instal.
Tenders
close.
Nov. 15
Nov. 15
Nov. 15
Nov. 15
10 & 30-inst. Nov. 24
20-instal. Nov. 27
Nov. ,}0
York Township, Ont. — Offers are being asked until No-
vember 15, 1920, for $8,765.10 6 per cent. 5-instalnient de-
bentures.
Etobicoke Township, Ont. — Tenders will be received until
November 15, 1920, 10 o'clock, for $25,000 6\i- per cent., 30-
instalment debentures.. .
Pembroke, Ont. — The town is asking for bids until No-
vember 24, 1920, for the purchase of $33,000 6 per cent. 10-
instalment debentures, and $14,000 6 per cent. 30-instalment
debentures. (See advertisement on page 25 of this issue.)
Sault Ste. Marie, Ont. — The Separate School Board is
asking for tenders on $85,000 6 per cent, debentures until
November 30, 1920. (See advertisement on page 25 of this
issue.)
Debenture Notes
Brantford, OnU — The Brantford Scale Company is asking
the city to guarantee its bonds to the extent of $80,000.
Mimico, Ont. — The council has given first reading to a
by-law to issue debentures to the amount of $23,000 for
school purposes.
Windsor, Ont. — Providing the city council approves, rate-
payers will be asked to vote on a by-law in January next,
authorizing the borrowing of $175,000 for a new police
station.
Cochrane, Alta. — The Board of Public Utilities Commis-
sioners has given its approval of the issue of $4,000 de-
bentures for electric light and sidewalk purposes.
Paris, Ont. — Early in December, ratepayers will be asked
to approve of guaranteeing the bonds of the Macfarlane
Engineering Company to the extent of $40,000.
St. Thomas, Ont. — Members of the city council, the board
of trade and the trades and labor council have endorsed a
proposition to raise $200,000 for water purposes. Rate-
payers will be asked to give their approval.
Lethhridge, ,\lta. — Prospectus for the Lethbridge North-
ern Irrigation project is now being prepared by an expert
of an eastern bond house, and is expected to be ready within
a week. Then tender forms will be distributed to bond houses
in the United States and Canada.
Calgary, Alta. — The city is considering the issue of
$600,000 bonds for the installation of a gas pipe line. Should
the council approve such action, ratepayers will be asked to
vote on the matter at the December elections, following
which the Public Utilities Commission must give its approval.
Wind.sor, Ont — The city council will be requested by the
finance committee at its next meeting to authorize the pre-
paration of a by-law for submission to the ratepayers at the
municipal elections in January respecting the plan of Essex
Utilities Commission to take over Windsor and Walkerville
waterworks for a joint system to serve all the border munici-
palities. The project, it is estimated, will involve an ultimate
expenditure of approximately $1,800,000.
Saskatchewan. — The following is a list of authorizations
granted by the Local Government Board from October 23 to
30, 1920: Proswita S.D., $1,500 8 per cent. 10-instalments.
Rural Telephones — 8 per cent. 15-years annuity: Whitewood
St. Hubert, $15,450; .-Vtwater, $2,100; Tipperai-y, $1,600.
Bond Sales
Moosomin. Sask.— The to^vn has sold $5,338.72 7 per
cent 20-year debentures to local citizens at par. The money
will be used for cement sidewalks.
Niagara Falls, Ont— W. A. Mackenzie and Company
have been awarded $153,955 5 per cent. 10 and 20-instalment
debentures at a price of 90.03, which is on about a 6.60 per
cent, basis.
Sarnia, Ont — The Dominion Securities Corporation have
purchased an issue of $164,981.87 5ti. and 6 per cent, deben-
November 12, 1920
THE MONETARY TIMES
"Some Victory Bond
Questions
and
Answers^^
Write for a copy.
It will interest you.
This is the title
of one of the
articles contain-
ed in our new
pamphlet on the
Victory Bond
situation. It also
contains an
article telling
"Which Victory
Bond You Should
Select."
Wood, Gundy & Company
Canadian Pacific Railway Building
Toronto
Montreal
Winnipeg
Toronto
Saskatoon
New York
London, Eng.
WMPJIJM>^»4MI'A<I^<^»
^Sb
mi^sE^^m
KVE5THENT- SERVICE
We Finance
Basic Industries
— Canadian industries founded upon the develop-
ment of natural resources to supply an ever-
present and growing demand.
For the investor, this policy ensures sterling se-
curity, high interest return and the possibility of
substantial profit; for Canada, it ensures the high-
est degree of productivity from her natural
resources.
As examples, we instance the following companies,
the securities of which we have underwritten:
Nova Scotia Steel Fraser Companies
Canada Cement Abitibi Power & Paper
Steel of Canada Riordon Company, Limited
Price Bros. & Co. Brompton Pulp & Paper
If you invest occasionally, it would be worth your
while to read Investment Ittms. Write, and we
will add your name to our mailing list.
Royal Securities
^ CORPORATION
I- I M I -r E D
MONTREAL
TORONTO HALIFAX ST. JOHN. N.B.
WINNIPEG VANCOUVER NEW YORK
LONDON, Eng.
tii:ti:i^i,i^B-^.^^£t&^
W. L. McKINNON
DEAN H. PETTES
We recommend the purchase
of
VICTORY BONDS
at the following prices : —
MATURITY PRICE
YIELD BASIS
1922 98 and interest
6.38%
1927 97 and interest
6.00%
1937 . . 98 and interest
5,68%
1923 ... 98 and interest
6.24%
1933 96* and interest
5.89%
1924 ... 97 and interest
6.36%
1934 93 and interest
6.26%
Orders may be telephoned or telegraphed
at our expense.
W. L. McKINNON
& CO.
McKinnon Building
TORONTO
Buying Bonds
By Mail
Buying bonds by mail from a reputable, well-
known financial house is so safe and simple
that those inexperienced in such matters can
do so with the utmost confidence.
Try it.
we wil
bonds
Write, stating your requirements ;
send you particulars of various
Yielding from 6.25% to 7.25%
which we have purchased after careful in-
vestigation and which we offer with our
unqualified recommendation.
W. A. MACKENZIE & CO.
CoMcrnmenl and Municipal Dondi
42 King St. West
TORONTO -:- CANADA
SiiiiiiiiiiiiiiiiiiiiiiiiiiyiiiiiiiiiiiiiiiiiiiiiiiiiiyiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiMiiii
THE MONETARY TIMES
Volume 65.
tures of various maturities. The proceeds of the issue will
be used for soldiers' civic gratuity and other purposes.
Montreal, Que.— A block of $500,000 6 per cent. 10-year
school bonds has been purchased by Versailles, Vidricaire
and Boulais.
Nova Scotia. — The tender of the Dominion Securities
Corporation of 102.02 for the $2,000,000 6 per cent. 10-year
bonds, payable in Canada and New York, has been accepted.
At this rate the province pays about 5.63 for its money.
The following is a list of tenders received: —
6 years, 10 years, 10 years, 20 years,
U.S. U.S. Can. Can.
Dominion Securities Corp., and
Wm. A. Read and Co 101.04 102.02
Dominion Securities Corp., and
W. F. Mahon and Co 96.17 91.16
•Wood. Gundy and Co., Na-
tional City Co.. and E. H.
Rollins and Co 103.235 101.135
•Wood. Gundy and Co., A. E.
Ames and Co., Eastern Se-
curities Co., J. C. Macintosh
and Co., J. M. Robinson and
Sons, and National City Co 93.18 91.90
J. C. Macintosh and Co.. on be-
half of Halsey. Stuart and
Co., and A. E. Ames and Co. 102.99 100.395
Canada Bond Corp., A. B.
Leach and Co.. Paine, Web-
ber and Co., Hornblower
and Weeks. Wells-Dickey
Co., First Wisconsin Trust
Co., Carstens and Earles and
Ruttcr and Co 102.67 100.46
Harris, Forbes and Co., Inc 101.871
Canadian Debentures Corp.,
and C. H. BurRcss and Co 101.97
United Financial Corp., Ltd.,
and Bank of Montreal 100.33
A. Jarvis and Co.. BlodKet and
Co., and First National Co 100.21
R. A. Daly and Co., Lee, Hifr-
Rinson and Co., Merrill,
Oidham and Co., Eastbrook
and Co., White, Weld and
Co 99.677 ...
R. C. Matthews and Co.,
Kassal, Kinnlcut and Co..
Bankers' Trust Co., Wm. R.
Compton and Co., Detroit
Trus-t Co., F. S. Mosely and
Co 9».262
•These two syndicates also bid for half of each maturity. In the case
of the 5 and 10-year bonds payable in New York the offer was 102.435. In
the case of the 10 and 20-yenr bonds payable in Canada the price was 92.50.
Windsor, Ont. — W. A. Mackenzie and R. A. Daly and
Company have purchased $377,547 5'^ and 6 per cent, bonds,
which mature from 1921 and 1960, inclusive. The proceeds
of the issue will be used for various purposes. It is under-
stood that there wore several bids for the securities, although
no prices have been announced.
Oshawa, Ont. — A. E. Ames and Company have been
awarded $78,743.88 6 per cent. 15-instalment debentures at
94.199, which is on about a 6.94 per cent, basis. Tenders
received were as follows: —
A. E. Ames and Co., 94.199; Wood, Gundy and Co., 93.90; Dominion
Securities Corp., !13.588 ; United Financial Corp., Ltd., 93.56 ; jEmilius
Jarvis and Co.. 93.63 ; N. A. McDonald and Co.. 92.76.
Toronto, Ont. — The city's $2,853,000 6 per cent, bonds
have been sold to a syndicate of Toronto dealers at 94.317,
which is on a basis of about 6.55 per cent. The securities are
for various maturities, but the average is 17% years. Four
tenders were received as follows: —
Dominion Securities Corporation, R. A. Daly and
Company, W. A. Mackenzie and Company,
Han-is, Forbes and Company, Inc., and the Na-
tional City Co., Ltd 94.317
*A. E. Ames arfd Company and Wood, Gundy and
Company 93.239
A. Jarvis and Company 93.21
United Financial Corporation, Ltd., and R. C. Mat-
thews and Company 90.60
■•In addition to this bid an offer was made for $1,834,000
at 93.239 and an option on the balance at 94.450.
Smith's Falls, Ont. — Tenders will be received until No-
vember 22, 1920, for the purchase of $9,200 6^ per cent.
20-instalment debentures, the proceeds of which will be used
for hydro-electric purposes. J. A. Lewis, town clerk.
MUNICIPALITIES FEELING SHORTAGE OF CAPITAL
Defaults Have Seriously Affected Their Ability to Borrow—
Settlement in Case of Humboldt
(Special to The Monetary Times.)
Saskatoon, Sask., Nov. 8, 1920.
QUITE recently some developments have been taking place
in the municipal situation in Saskatchewan which are
of more than ordinary importance. The outstanding one is,
of course, the enquiry into the affairs of Humboldt by the
Local Government Board. It may be worth noting here that
the business of this body is steadily growing, and is of a
varied character.
By the outsider it is looked upon as the responsible
supervisor of capital expenditure in mu;iicipalities. Every
new school, electric light plant or skating rink or other public
undertaking, the carrjnng out of which by a municipal or
school authority involves going to outside markets for
capital, must first have the consent of this body. The import-
ance of this prerogative of the board is certainly not appre-
ciated by the public generally in Saskatchewan, nor that of
any other proWnce of the Dominion, except those units of
the general public who have been approached by the bond
salesman with a view to becoming a holder of Saskatchewan
municipal or school bonds. Of course the bond dealers ap-
preciate the importance of the board, and they represent to
prospective buyers of Saskatchewan municipal, school and
telephone debentures that the money they represent is ex-
pended under the board's supervision. The Act creating the
board charges it to do so.
To buyers of bonds it is, therefore, represented, and
properly so, that Saskatchewan bonds are safe purchases,
because the affairs of the borrowing bodies are kept vrithin
the limits of safety by the board. And when it is possible to
make this statement the market for the said bonds should
be appreciably widened. For some reason, however, this
obviously sane policy, under which the capital expenditures
of municipal and school authorities are carefully supervised,
has not resulted in the creation of a ready market for Sas-
katchewan city and town school and municipal debentures.
Poor Sale for Bonds Now
That so little demand exists for these debentures is one
of the serious developments in local affairs here. Within the
past few days a town school districts' officers deplored the
fact that, even on a basis of 10 per cent., they could not get
an offer for their bonds. Saskatoon itself, a city that has
put its financial affairs into such order as to compare favor-
ably with any other city of the province, has its own diffi-
culties in marketing securities, although its desires in the
way of bonowing received from the Local Government Board
severe checks. The volume of rural school debentures that
would go to market if there was one big enough is very large.
It is presumed, however, that the Local Government Board
has fixed the limit of 8 per cent, to the borrowers as th«?
maximum. Buyers, however, are not rushing to buy these
securities on even that basis, and in consequence tlie volume
available is difficult to measure.
Many school districts are being organized, and the aggre-
gate of their needs must be very large. But the spout through
which these bonds get to the public is under the careful con-
trol of the Local Government Board. The same applies to
telephones. Rural exchanges are growing in number, and
they are as valuable in bringing the people into touch with
each other, and thereby obliterating that strangeness which
makes nation-building more difficult, as are the public schools.
But 8 per cent, is not now attractive to the buyers of school
and telephone bonds. Nor does any rate of interest prove
attractive in the case of Saskatchewan municipal and school
bonds. Naturally, the question is being asked why these
things should be.
To this question the public are beginning to look for an
answer from the Local Government Board. Why is it that
(Continued on paf/e 51)
November 12, 1920
THE MONETARY TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7*%
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B.
HALIFAX, N.S.
Reasonable
NEW JERSEY INSURANCE CO.
BALTICA INSURANCE CO.
PENINSULAR FIRE INSURANCE CO.
OTCEEFFE & LYNCH, of Canada. Limited,
MARINE MANAGERS
43 Victoria Street TORONTO
Western Municipal & School
g % Debentures
^ ^ TO YIELD ' 2
7^%
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
CORRESPONDENCE
INVITED
UNION TRUST BUILDING
WINNIPEG
"Security First
EXCELSIOR
INSURANCE LI pE COMPANY
A Strong Canadian Company
One lliiiifli-cil mill Thirl.r-One
Oollms of A)^<«ols for every
Eliiiidreil Uollars of
Lialilllly.
"--'zl. — .1 1 "I;"'~i
J in' ^"3^ jgll'j;,, HEAD OFFICB-
^^fif^^Kf^ flM^-' EXCELSIOR LIFE BUILDING
■"(^^B^^'^=^===-=JlJi»:!--r^'*^^ Adelaide and Toronto Streets
■*! TORONTO - CANADA
Manitoba Finance Corporation Ltd.
Investment Brokers, Financial Agents, Etc.
Winnipeg, Man.
Head Office
410-11 Electric Rly. Chambers
Phone Garry 3884
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba. Alberta Flour Mills, Limited
CROWN LIFE
VITE have a policy to suit every insurance need— up-
' ' to-date, liberal in its provisions. Participating
Policyholders in the Crown Life are entitled to 95% of
all profits earned by the Company in addition to the
guarantees contained in their Policies.
T/u Crown Life is a sood Company to insure in or to represent
Crown Life Insurance Co., Toronto
Agents wanted in unrepresented districts
III
Vancouver District Property
Expert Estate Agents and Managers
Property Bought and Sold, Valued. Rented and
Reported on. Correspondence invited.
WAGHORN GWYNN Co., Ltd. Vancouver
X
Queensland Insurance Co. Limited
of Sydney. N.S.W.
Capital Paid Up $1,750,000 Assets $4,015,811
Aients Wanted in UnntrtumUj Districts '.
MAN,VnERS FOR CANADA :
Montreal Agencies Limited - • Montreal
MACAULAY & NICOLLS
INSURANCE OF ALL CLASSES
ESTATES MANAGED
746 Hastings Street - VANCOUVER, B.C.
C. H. MACAULAY J. P. NICOLLS. Notary Public.
THE MONETARY TIMES
Volume 65.
Corporation Securities Market
stock Prices Break on Canadian Exchanges— Atlantic Sugar and Papers Suffer Heavy
Losses — Some Slight Rallies at the Close — Wayagamack Shareholders Plan
Capital Reorganization— Winnipeg Electric Railway to Increase Authorized Capital
THE break in stock prices on the Canadian exchanges this
week did not come altogether as a surprise, although
such drastic changes were not expected. Ever since last
August stocks have pursued an uneven downward trend, and
business and other financial developments during the past
month added to this movement. The largest losses last week
were sustained by Atlantic Sugar and the paper issues.
Towards the close of November 10, however, the markets
showed an improved tone. Many stocks advanced a few
points, but none entirely retrieved their losses. Several in-
fluences combined to alter the situation, which had become
to look very gloomy. The support of the markets by Can-
adian bankers was, no, doubt, one of these. Then a recovery
in Wall Street helped to improve the sentiment. A smart
advance in the price of Canadian wheat on news of British
buying and the recovery of sterling in New York were also
other important developments.
Just what the outlook of the markets is, nobody has been
bold enough to predict. It is certain, however, that their
condition is such as to necessitate careful moving on the part
of speculators for some time to come. Business adjustment
has by no means been completed yet, and until it has, there
can be no definite movement in stock prices.
Liquidation which accompanied the decline last week was
heavy, as will be seen from the following figures: —
Montreal.
Listed
stocks. Bonds.
Thursday 14,616 $ 9,100
Friday 19,971 19,200
Saturday 7,759 21,600
Monday 24,672 22,700
Tuesday 34,571 19,400
Wednesday 24,883 79,000
Toronto.
Listed
stocks.
Bonds.
1,142
$ 9,500
1,804
8,600
841
4,700
2,757
16,500
2,646
36,500
1,976
87,800
126,472 $171,000
11,166 $163,600
The figures for the previous week were: Montreal, listed
stocks, 54.443; bonds, $131,412; Toronto, listed stocks, 7,320;
bonds, $146,400.
The Frontenac Moulding and Glass Co., Ltd., Kingston,
Ont., incorporated under the laws of the Dominion with a
capital of $250,000, has been authorized to increase this
capital to $325,000, by the creation of 750 new shares of
$100 each.
Harvey Knitting Co., Ltd., Woodstock, Ont., incorpor-
ated under the laws of the province of Ontario, is decreasing
its capital from $1,500,000 to $1,280,500, by the cancellation
of 1,861 shares of preferred stock and 334 shares of common
stock, all of a par value of $100.
Winnipeg Electric Railway
A special general meeting of the Winnipeg Electric Rail-
way Company is called for December 4 for the purpose of
ratifying and approving a by-law of the directors increas-
ing the common capital stock of the company to $11,000,000
from the present authorized amount of $10,000,000.
Shareholders will also be asked to ratify and approve
a by-law amending the by-law authorizing the issue of $3,-
000,000 7 per cent, cumulative preferred stock by making
provision for giving voting powers to the holders of such
prefen-ed stock, and by providing that no further issue of
preferred stock in excess of $3,000,000 shall be authorized
unless the authority is obtained of the holders of such pre-
ferred stock, and by providing that no further issue of pre-
ferred stock in excess of $3,000,000 shall be authorized
unless the authority is obtained of the holders of two-thirds
in amount of the preferred stock issued and outstanding.
The $3,000,000 7 per cent, preferred stock mentioned
was purchased some time ago and is now being underwritten
by Nesbitt, Thomson and Company.
Wayagamack Reorganization Plans
A circular has been sent to shareholders calling a meet-
ing for December 9, to ratify proposals which have been
made by directors in regard to capital reorganization. The
circular reads in part as follows:- —
"Your directors after serious consideration have come
to the conclusion that the capital of your company should be
reorganized by the conversion of the present outstanding
50,000 common shares of the par value of $100 each into
100,000 common shares without nominal or par value, each
shareholder to receive two shares of such new capital stock
without nominal or par value for each one share then held
by them.
"Your directors are further of opinion that the
authorized capital stock of the company should be increased
by an additional 150,000 common shares without nominal or
par value, of which 50,000 of such shares should be issued
at an early date and offered ratably to the then shareholders
of the company on favorable terms to provide for the cost oi
new extension recently made and new machinery recently
purchased, and also to provide additional working capital
for the company's requirements. The remaining 100,000
common shares without nominal or par value will only be
Issued when it may become necessary or advisable in the
company's interests."
UNLISTED SECURITIES
lotation
sfurms
led to The .Monetary Tir
tWceU ended
nes by A. J. Pat
Nov. lOlh. 1920.
tison, Jr.. «i Co.. Toronto
Bid
Ask
88
85.50
84
'«'
62
14
....
■J»
31
67 '
112
.52
81
64.50
Bid
Ask
Bid
Ask
Bid
Ask
Abitihi Gen. Mtt!.6's(194U)
94
R.'t
....
....
1(1
74.50
75
'es'
ioe'
45
74
Coll'nKwoodShipb'dg.li's
Crown Life Insurance.. .
Cuban Can.SuRar. com.
• " prcf.
Davies William 6-s
Pom. lron&Stecl5-sl939
Dom. Power com.
90
70
96
65
28
88
94
85
89'
90
20
62.. 50
101
72
42
31.50
91
9i'
20
87
76
88.50
..
89
9S
Home Bank
98
73
4.50
175
2
94
94
9
84
61
160
70
94
88
37
....
102
115
79
5.75
11.50
205
2.75
100
67
■78"
97
«'
84
K, Simpson. 6% pref. xd.
South. Can. Power.com.
pref.
74.50
'73'
105
20
83
67
1.60
10
68
78
29
Ames Holden Felt 7's
KinR Edward Hotel.. 7's.
Locw's Buffalo com.
Ottawa com.
Manufacturers Life
Marconi Wireless
Massey Harris .xd
Mercantile Trust
Mexican Nor. Power..5's
Mnrrow Screw 6's
Murray-Kay. 7% pref.xd.
National Life
iii
Ashdown H.li-d. J. H.Ss
HeldinnPaul com.
Brondhm-H'dcrs'n com.
Sterling Coal com.
Toronto Power. S"s (1924)
ot'
72
United Cigar Stores pref.
Western Assurance
Western Grocers . ..pref.
VVhalenPulp pref.
Can. Consolid. I-clt..pfd.
Con. Crocker Wheeler pf.
C;m. Furniture prcf.
Clin. Machinery .. com.
DunlopTire....7% .prcf.
6's.
12.50
71.50
59
Bastern Theatres., .com.
Famous Players. 8% pfd.
Fro itcnac Breweries. . . .
Goodyear Tire., pref.xd.
O'rd'n.lronside&FarcS's
C.unns. Ltd prcf.
HarrisAhattoir 6's
Can. Oil com.
Nova Scotia Steel 6% deb
Ont. Pulp 6's
Page Herscy pref.
Riordon. .com.(newstk.)
Peoples Loan & Savings.
Can. Woollens com.
prcf
Cockshutt Plow 7%iircf.
November 12, 1920
THE MONETARY TIMES
We Offer
SCHOOL BONDS
Province of Alberta
Maturing 10 and 15 Years
to yield I
7 to 7 'A ^ I
We Specially Recommend these Bonds as Sound Investments
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto BIdg.
EDMONTON
Royal Bank Chambers
CALGARY
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
Private Wires to WINNIPEG, CHICAGO. TORONTO.
MONTREAL AND NEW YORK
The Safest Investment
SOUND, active, industrial enterprises catering to big pub-
lic demand which benefit by national growth — make
the best and safest investments for money. We can *»dvise
you of many investments which pay good dividends and
have great future possibilities.
Chiefly among w^hich is the issue of the Rubber Co. of
Canada.
Enjoy the prosperity of the rubber industry.
Let us send you particulars.
R. M. HEFFERNAN & CO., Limited
LWESTMEM BROKERS
HEAD OFFICE : 204 Jackson BuilBing, OTTAWA
IH .M T. 11113
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Members of Winnipeg Real Estate Exchange. Winnipeg Stock Exchange
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings also any British
Columbia Government and Municipal issues.
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C.
Victoria, B.C.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OUR COUNSEL AND ADVICE
Willoughby Sumner Limited
Established 1900/
Members of the Winnipeg Grain Exchange
Private aire to Winnipeg, Toronto, Montreal, Chicago
and \ea Yorl(
NIBLOCK & TULL, Limited
STOCK, BOND and GRAIN BROKERS
(Direct Private Wirel
Grain Elxchange
Calgary, Alta.
P. M. LIDDELL & COMPANY
Investmcnl Bankers. Fiscal Agents
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Branches— SASKATOON AND CALGARY.
Canadian Managers
Northern Securities, Limited
HSTABLISHED lnl)6
GENERAL FINANCIAL BROKER
Confidential Advice on British Columbia Inveatmentt
Member of HortRage and Trust Companies Association of British Columbia
529 Pender Street W. VANCOUVER. B.C.
B. GEORGE HANSULD. J. P.. Manager
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
MOM'ItliAL— Wfck Uiideil >ov. lOlli.
(Figures supplied by Burnett & Co.)
Abitibi P.AP
■• pfd
Ames Holden pfd.
Asbestos Corp
pfd.
Atlantic Sugar
Bell Telephone
Br.izilian T.L.& Power
B.C. Fish
Brompton Pulp & P..
Canada Cement
...pfd.
Can- Con
Canadian Cottons
" " ..pfd.
Canadian Car
• ...pfd.
Canadian Gen. Elec...
Carriage Factories . . .
Can. Steamship.
•• •• pfd.
" " Vot. Trust
Con. Mining & Smel.. ■ ■
,Det. Rys
Oom. Canners
pfd.
Dominion Bridge
Dominion Glass
•■ ...pfd.
iDom. Iron pfd.
(Dom. Steel Corp
..pfd.
•Dominion Textile
(Howard Smith
•■ ..Rights
Illinois Traction ..pfd.
Lake of the Woods..
..pfd.
Laurentidc
Lyall Cons
Kaministiquia
Macdonald Co
Maple Leaf
Mont. Cottons
...pid.
Montreal Power
Montreal Tram
Tram Deb...
Telegraph...
"National Breweries —
•Ogilvie Flour Mills
" ■■ .pfd
Price Bros
■Quebec Ry. L. H.&P..
•Riordnn Pulp * P
pfd.
■St. Lawrence Fl. Mills.
..pfd.
Scotia
Shawinigan W.&P ...
Shcrwin-Williams.pfd.
Spanish River
" pfd,
" Div.Vou,
St. Maurice
Steel Co. of Canada...
• •■ •■ pfd
Toronto Ry. Co
WabassoCol'n
Wayngamack P.& P.
Winnipeg Ry
Windsor Hotel
Woods Mfg. Co
Kniika
Commerce
Hochctaga
Merchants
Molsons
Montreal..
Nova Scotia
Nationalc
Royal
Union
Open High Low Close
573 ! 603
103i
BoimIn
Asbestos Corp
Bell Telephone Co..
Can. Cement
Cedars Rapids Mf g
Can. Rubber
Can.S.S. deb
City Mont. Dec. 6's.l9'«
■■ MayC's. 1923
•■ Sept.fi-s. 1923
Dom. Can.\V.Loan.l9i5
1931
1937
Victory Bonds. 1922
1927
19,17
1923
6flOfl
.%900
4S800
22600
34i
1883
9li
MOSTREAX— Con«t«»<ed.
Dom. Cottons . .
Dom. Coal
Dom. Iron
Dom. Textile A..
Lake of Woods
Montreal Power
National Breweries...
Ogilvie Flour
Penmans
:e Bros
bee Ky.L. H.&P..
Scotia
rwin-Wiliiams —
nish River
Steel Co. of Canada..
Wabasso Cotton
Wayagamack P. & P. .
idsor Hotel
Sales Open High Low Close
HlOOl S9i 60
TOBOSiTO— Week Ended Nov. lUtb.
Stocks
Atlantic Sugar
Abitibi
Barcelona
Bell Telephone
Brazilian Traction.
Burt. F. N
Sales Open High Low Close
Canada Cement
...p
Can. Gen. Elec
...P
Canada Steamship.
P
Canners.. p
Canadian Pacific R.
Con. Gas
Dome
Ford Motor
Lake of Woods
Loco
Mackay Companies.
...I
Maple Leaf
Monarch
N.S.Car
•• ■• pfd.
Nipissing
Penmans
Prov. Paper
Quebec R.L.H. &P
Riordon
Rogers pfd.
Salcsbook
pfd.
Sawyer-Massey pfd.
Smelters ,
Spanish River
..pfd.
Stnn.Chem pfd
Steel Corp
Steel Company
...pfd
Toronto Ry
Tucketts
pfd.
Twin City com
Winnipeg
Banks
Commerce
Dominion
Hamilton
Imperial
Merchants
Molsons . ,
Montreal
Nova Scotia. . .
Royal
Standard
Toronto
Union
I.onn nnil TrnHt
Can. Perm
Lon. S Can
Real Estate
Toronto C.en.Tr. ...
Rights
Tor. .Mtg
Bon«lH
Can. Bread
Hlcc- Dev
Penmans
Rio. Jan. T.. L. &P...
Sao Paulo
5it
TOKONTO— Continued
War Loans
3m.Can.W.Loan,192S
1931
1937
ctory Loan 1922 . . . .
1923 ....
1927 ....
1933 ....
1937 ....
31100
74600
50400
92i
90i
WINNIPFAi— Week ended Mov. 6th.
Victory Loan 1922..
■' 1923..
" 1924..
1927..
•■ 1937
" 1933
■■ 1934....
War Loan 1931
■• 1937
" 1925
Can. National Fire Ins
on Bank
Sale
16S050
80500
16350
8000
22700
68590
74'iSO
18600
1000
SO
Open High i Low Close
NEW TOKK— Week ended Nov. fith.
Salesj Open High Low Close
Canadian Pacific.
Canada Southern
Nova Scotia S. & Coal. lOOOj
Granby Consolidated
49780' I24f
. S% 1921
5j% 1921
5% 1926
5h% 1929
5% 1931
82500
47000
46000
SI 000
27000
905
LONDON, Eug.— Week ended Oct. JinA.
tiov'l. A Miin.
Open High Low Close
Canada. . .3i%
■• .... 3%
'• .... 3}% 193050
.... 4% 1940-60.
" ....4l%bds....
Calgary 4i% deb
Edmonton 5% bds. 23^53
Nfld.3i%bds
Montreal 4j% Reg...
4% 1932
Nova Scotia 4i% con!
Port Arthur 5% deb..
Quebec »%
3i% Reg....
4% bds. 1888
•• 4j%Reg
Sask'ew'n 4% deb. 1923
53%.... I
Saskatoon 4j%cons--.
S. Vancouver 5% cons.
Vancouver 4% cons.-..
45% cons. ..
Toronto 4% deb. 1944-8.
Victoria 3J% 1921-6 . . .
4^61926.25...
si cons
Winnipeg 44?oC's- 43-63
4% cons I
Kjillway.1
C.Nor.Pac.4%gr.dcb-50|
" " Onl.4% deb.
Can. Nor- 4% deb. I939i
" 4% deb. 1930.
Can. Pac
■• 4% deb.
'■ 4% pfd.
G.T-P- Br. 4% bd 1939.
G.T.P.3%bds
G.T. P.4%I95S
G.T. P 4% deb.
Gr. Trunk 4% guar.
Gr. Trunk, ?% 1st. pfd.
Gr.Trunk5%2ndpfd..
Gr. Trunk 4% cons
Ont. & Quebec 5% deb.'
P. Gt. East.J*%deb.'42
Ind,. Fin., EIr.
Can
rT\,.
t 6% bds. . . I
7% pfd..
C. W. Lumber 5% debs.
Bank of Montreal
Can.Bkof Commerce.'
65i
771
70}
403
673
November 12, 1920
THE MONETARY TIMES
Maritime Provinces Support Protective Tariff
Farmers Present Arguments for Tariff Reduction at Most of Hear-
ings, However— Statement by Thomas Cantley on Coal and Steel
Industries— Sessions in Charlottetown, Halifax, St. John and Moncton
HEARINGS of the tariff commission were renewed in
Charlottetown, P.E.I., on November 4. On November
6 and 8 the commission was in Halifax, on November 9 in
St. John, and on November 10 in Moncton. From the latter
city it left for Quebec province.
Prince Edward Island is chiefly agricultural, in fact,
it was pointed out that only 2 per cent, of the population are
engaged in manufacturing. The evidence was therefore fav-
orable to lower duties. The case for the farmers was pre-
sented by Hon. Walter M. Lea, commissioner of agriculture;
M. H. MacGregor, J. A. Dewar, M.P.P., of New Perth, pre-
sident of the United Farmers of the Province, and Edgar G.
Godding, of Murray Harbor, president of the Central Far-
mers' Institute. Mr. Dewar submitted a written memorial.
The others gave verbal testimony.
Agriculture received the most attention from the com-
mission, the chairman asking many questions, and there was
an interesting discussion between the commissioner of agri-
culture and himself. Mr. Lea declared that it was possible
to increase the annual earning power of the island farms,
which he estimated at thirty million dollars, to double that
amount by more intensive cultivation and the use of more
fertilizers. Mr. Lea said that as mixed farming prevails on
the island a great variety of agricultural implements were
required. The duty on these should be reduced, in order to
increase production. As the island has very few manufac-
turers, there is no opportunity of encouraging home indus-
tries, as goods have to be purchased elsewhere. The manu-
facturers of Canada largely get the benefit of the present
tariff, not the government.
Senator MacLean presented a memorial from seven
starch manufacturers. The memorial said that the mills had
a capacity of ten thousand tons, that they are not operating
now because the farmers will not supply potatoes at the price
offered — 60 cents per hundred pounds — and that the starch in-
dustry on the island was in danger of being wiped out owing
to cheap Japanese starch being dumped into Canada at a
price below the cost of potatoes here. The prohibition of
Japanese starch, it was urged, might be considered by the
commission.
Coal and Steel Industries
"A specific duty of §1 per ton on all coal would so stimu-
late production and distribution as to make Canada within
10 years independent of all outside sources, and add enor-
mously to the wealth of the Dominion," said Col. Thomas
Cantley, chairman of the Nova Scotia Steel and Coal Co.,
addressing the commission in Sydney on November 6. "The
effect would be widespread, giving a long column of long
haul business to the Canadian National and other Canadian
railways, while the annual food requirements of the mining
population, say §35,000,000, would all go to the farmers of
Canada. Clothing and all the other necessaries of life required
by these miners, assorted labor and families would be sup-
plied by Canadian manufacturers. The adverse trade bal-
ance with the United States would be materially reduced,
with all the advantages accruing to Canada from such a
condition. If the Nova Scotia coal companies granted the
increased wages recommended by the Royal Commission, the
cost of coal would be increased $1.50 a ton."
Dealing with the steel industry. Col. Cantley said : "Nova
Scotia blast furnaces and associated steel plants are wholly
dependent upon Wabana, Newfoundland, ore, a considerable
portion of which is won from submarine areas at a point
one and a half or two miles from the surface hoisting plants.
This ore, freighted by sea to North Sydney and Sydney, is
subject to an export tax levied by the Newfoundland govern-
ment. The ore averages about 50 per cent, metallic iron
and is used wholly in the blast furnaces of the Scotia and
Dominion companies without the admixture of other ores^
the product being pig iron, conveyed in a fluid state to basic
open-hearth furnaces for conversion into steel ingots.
In conclusion. Col. Cantley appealed for "a revised tariff
which would provide, by way of increased duties and the total
abolition of the free list steel items, a substantial amount
of protection to the coal, iron and steel industry of Nova
Scotia, which has contributed so largely to the development
and wealth of Canada, with but a very small return to share-
holders."
Varied Views in Halifax
Groups of representatives of the manufacturers, the fish-
ing interests, the fanners, and the retail and wholesale mer-
chants presented stated cases to the commissioners in Hali-
fax. Nova Scotian farmers, represented by D. L. Taggart,
president of the United Farmers of the Province, expressed
themselves as being in favor of a substantial reduction in
tariff on articles necessary to agricultui'ists. Mr. Taggart
attributed the "languishing" of the agricultural industry
and the depopulation of farms in part indirectly to a pro-
tective tariff which favored certain industries, enabling them
to offer better wages and shorter hours than did the farms.
W. D. Piercey read the manufacturers' brief, which
opened with the direct assertion that "the manufacturers (of
Halifax and other parts of Nova Scotia), as a class, believe
it to be in their interests, in the interests of the working
men, of the consumers and the nation as a whole that a
policy of protection, such as has been enforced since 1879,
should continue to be the policy followed by the government
of Canada."
A. H. Brittain, of Montreal, vice-president and general
manager of the Maritime Fish Corporation, urged the case
of the fishing interests. "The best interests of the Canadian
consumers, as well as those of the fishermen, will be served
by the continuance of the present duty on fresh fish. It will
enable us to develop plans for marketing so as to make fresh
fish available at reasonable prices to practically all commu-
nities in Canada," reads an extract from Mr. Brittain's brief.
New Brunswick Hearings
In St. John, on Tuesday, representatives of several New
Brunswick industries, including the fisheries, presented pleas
for the maintenance of the present tariff, urging that in
many cases large capital investments would be wiped out by
the influx of United States surplus goods placed on the mar-
kets of Canada at lower-than-cost prices to drive Canadian
industries to the wall. It was held that this could be done in
many cases despite the Canadian dumping laws. Represen-
tatives of the farmers were also heard. These put foi-ward
the tariff planks in the United Farmers' party platform,
urging the reduction or elimination of duties on implements
of cultivation and necessaries of life.
W. S. Fisher, on behalf of the manufacturers of New
Brunswick, presented a statement in favor of continuation of
a policy of adequate protection in Canada. It opened with
the assertion that, to provide a home market for the agri-
cultural products of the province, which, being the products
of mixed farming, were not so readily exportable as the
grains of the west, it was necessary there should be industrial
expansion in the province. So, too, it was set forth that the
natural resources here furnished scope for activity for many
citizens, but to secure the capital for development had al-
ways been difficult and would be more so if there was a like-
lihood of a departure from the policy of adequate protection-
THE MONETARY TIMES
Volume 65.
Corporation Finance
Bell Telephone Hearing is Resumed— Company's Application For Increased Rates Meet With
Much Opposition— Kerr Lake Production is Lower— Reserves of Ore at Cobalt Property Becoming
Exhausted— Increased Gas Rates for Quebec Railway and Light Company is Recommended
Quebec Railway, Lisht, Heat and I'ower Co. — The civic
finance committee of Quebec has recommended to the city
council that the company be authorized to increase the gas
rate from $1.25 per thousand cubic feet to $1.75, the increase
to date from November 11, and under certain conditions.
Cock.shutt Plough Co. — One change was made in the
oflicers of the company in Brantford on November 10th at
the annual meeting, E. A. Mott being added. The directors
are: Col. H. Cockshutt, George Wedlake, G. K. Wedlake, Sir
Augustus Nanton, E. A. Mott, Sir Lomer Gouin, H. W.
Hutchinson, James Adams, F. Pei-ry. The statements pre-
sented were reported as very satisafctory to the shareholders.
Kerr Lake Mines, Ltd. — Due to the gradual exhaustion
of the reserves of both high-grade and low-grade ore at the
Cobalt property, the amount of silver produced during the
year ended August .'Jl, 1920, was considerably less than dur-
ing the previous year, and the cost of production was
higher. The mine is now producing each month a relatively
small amount of silver, and no definite estimate can be made
as to how long, this will continue. During the year under
review gross production amounted to 956,049.92 ounces of
silver, 42,654 pounds of cobalt and 34 pounds of mercury.
These figures also include 88,598 ounces of silver on hand at
August 31, according to inventory. Last year the result was
1,482,649.40 ounces of silver, 90,586.42 pounds of cobalt, and
137.5 pounds of mercury. Inventory showed 154,682 ounces
of silver on hand.
The income account shows the balance transferred to the
balance sheet as $916,089, as compared with $22,152 last
year. The account shows no dividend payments, however,
while last year payments totalled $600,000. Dividends re-
ceived from the Kerr Lake Mining Co. are stated as $1,000,-
000, as compared with $653,000 a year ago. Total assets of
the company amounted to $3,377,641, while at .August 31,
1919, the figure was $3,039,.591.
Bell Telephone Company of Canada, Ltd. — From Septem-
ber 21 to 23 last, the company presented its case for increased
rates before the Dominion Board of Railway Commissioners
at Ottawa. Now the board is hearing the other side of the
story. The first hearing against the company's application
was held at Hamilton on November 4. It was the chief com-
plaint that the company had not supplied sufficient data.
One of the chief witnesses was J. B. Williams, of the
Hamilton Chamber of Commerce. The board was reminded
by Mr. Williams that the company in applying for an in-
crease was ignoring a previous order of the board that no
permanent increase should be made until normal conditions
were restored. Mr. Williams read a lengthy statement in
which he showed that the Chamber of Commerce had met
with repeated failure in trying to get information from the
company as to its cost of operation in Hamilton, cost of
maintenance in Hamilton, number of local business calls and
residential calls. Other information the chamber felt the
company should give concerned the actual expense of oper-
ation, actual revenue under present rates, estimated revenue
under proposed i-ates applying to a representative private
branch exchange, having, say, ten trunk lines, necessity for
the increase in wages granted on May 1, 1920. what increase
was granted ? why was a larger increase granted in Hamilton
than elsewhere, actual cost of installing a telephone ready for
service, and lastly, on the present Hamilton business, what
does the company estimate its revenue would be under the
proposed rates?
On virtually only one point did the company commit
itself, and that concerned its estimated increase of $130,000
in revenue in Hamilton were the new rates to become
effective. As against this estimate, however, Eric Bower,
assistant city treasurer, gave it as his opinion that the rates
on which the company had based its increase would really
produce a revenue of $370,000 per annum, instead of $130,000.
The second hearing against the application for increased
rates was held in Toronto on November 5, and at this the
company's proposition met with decided opposition. On the
whole, the majority of the representatives stated that if the
commissioners reach the conclusion that the Telephone Com-
pany was entitled to receive any more money it should be
fixed on the basis of a flat rate. On the other hand, the
spokesmen representing the various ratepayers' associations
contended that, in view of the apparent general decline of the
prices of various commodities, the company should not be
be permitted to increase the rates. The evidence which the
traffic departments of the Toronto Board of Trade and the
Canadian Manufacturers' Association has been gathering was
not submitted, counsel stating that it would be ready for sub-
mission at the final hearing of the investigation at Ottawa
in a few weeks hence. H. W. Shapley appeared for the
Bankers' .\ssociation, and was granted permission to file at
a later date a tabulated statement of the proposed rates as
it affected the banks.
Mayor Church, speaking as chief magistrate of the city,
emphasized the fact that all prices had reached their utmost
peak, and are now receding, adding that the time was oppor-
tune when the people should be furnished with better service
and decreased rates, instead of having to contest an applica-
tion for higher rates. In his opinion the whole matter was
merely one of accounting. The mayor then suggested that
the Bell Telephone Company should be asked to supply '
answers to the following questions: Cost of operation and
maintenance in Toronto; number of business and residential
calls in Toronto; actual cost of operation; actual revenue
under present rates; estimated revenue under proposed rates;
applying to a representative branch exchange having ten
lines; necessity for the increase of wages granted May 1, 1920;
what increase was granted; why a larger increase given in
Toronto than in other points of the system; book value of
Bell plant in Toronto; actual cost of installation of a tele-
phone ready for service; on the present Toronto basis, what
does the telephone company estimate the revenue would be
under proposed rates?
The session in Montreal on November 10th was of short
duration. It was announced that the date of the final ses-
sions at Ottawa for the discussion of the whole matter, on
which their eventual order will be based, would not be fixed
until it was known when the reports of the experts engaged'
by the Union of Municipalities, who are opposing the com-
pany's application, would be ready. Those reports, the board
was informed, could not be ready for at least six weeks.
Another matter of almost equal importance was settled
at the session, namely, when Chairman S. J. McLean an-
nounced that there would be no retroactive measures, but
that any increases, if granted, would date from the issuing
of the order of the board, but would have no retroactive
effect. This led to a request by counsel for the Bell Telephone
Company that proceedings should be hastened, since they
claimed that under present rates the company was losing
$200,000 a month.
COBALT ORE SHIPMENTS
The following are the shipments of ore, in pounds, from
Cobalt Station for the week ended November 5th: —
McKinley-Darragh, 86,321; Bailey Mine, 87,116; La Rose
Mine, 109,972; Nipissing Mine, 325,766. Total, 609,075. The
total since January 1st is 23,870,695 pounds, or 11,935.3 tons.
November 12, 1920
THE MONETARY TIMES
51
MUNICIPALITIES FEELING SHORTAGE OF CAPITAL
(Continued from page UU)
the rural schools must wait, and lonely settlers' children
must go without elementary education — or must be content
with the promise of it — at a time when the government is
finding money to lend to individual farmers at 6 ¥2 per cent.,
and when farmers are at the same time making vigorous
demands on private lenders to get money at 8 per cent. In
too many cases the farmers make no bones about offering more
than 8 per cent. These facts are but a few of many that
might be enumerated that are creating a questioning attitude
of the public mind.
While in this humor the citizen is prone to lend his ear and
attention to such incidents as the enquiry at Humboldt, con-
ducted by the Local Government Board. That town's debt
is about half a million, and it is now some years since it paid
interest and principal coupons maturing. Its water and elec-
trc light plants are sources of loss, and the capital expendi-
ture on them was authorized by the Local Government Board.
This was not fully admitted when the point was raised by
the representatives of the bondholders at the investigation,
but there is no gainsaying the fact that the major portion
of the capital in the utilities in question was expended and
obtained under the board's direction. What course it will
now take after an investigation, made on the initiative of
the bondholders, is the subject of conjecture.
Humboldt in Bad Position
The position at Humboldt is a serious one. The tax rate
is 67 mills, and even at that there is a bare surplus, not
nearly equal to ordinary as well as uncontrollable expendi-
ture in the form of interest and principal payments. Annual
deficits on utilities are increasing as a result of declining
plant efficiency, and water is being pumped at great cost,
which the citizens decline to use except for flushing and fire
purposes. The problem presented is a difficult one, but on
its solution very much depends, not only to Humboldt, but
to the whole of Saskatchewan's municipalities. If the bond-
holilers of that town are to bear the loss, it is feared that
the present awkward situation in the market for municipal
securities will be accentuated, and the board, looked upon
as the guardian of municipal credit by the bond buyers, will
find itself bereft of its chief value as a factor in reducing
the cost of capital so much needed for local development
purposes. Humboldt is the first occasion, so it is generally
believed here, on which the board has had to deal with trouble
arising from expenditures authorized by it. Whatever action
it- takes will, therefore, establish an important precedent.
Its chairman, the Hon. G. W. Bell, is regarded here as being
resourceful and capable, and doubtless will evolve some plan
by which the Humboldt citizens may get back to solvency,
speaking of them as a municipal corporation. In their private
affairs there is obviously a state of health, if the travellers'
reports may be relied upon. There is some basis of hope in
this condition.
If Humboldt was the only Saskatchewan town in trouble
the problem before the Local Government Board would not
be so difficult. But there are others, and what is done in
respect of one may become the precedent by which the settle-
ment of other town troubles will be guided. On the result
of enquiries now under way the restoration of municipal
credit will depend. It is this aspect of the question that is
not very well understood. The Local Government Board is
now in the very important position of being the arbiter of
the situation. It is in its power to reconstruct muncipal
credit or to let it drift without a rudder, and thus create a
condition that may for some generations leave on the muni-
cipal and school districts the burden of interest rates higher
than would be the case if the bondhilders' confidence could
be restored.
WAYAGAMACK pulp and PAPER COMPANY,
LIMITED
NOTICE
Notice is hereby given that a Special General Meeting
of the Shai'eholders of Wayagamack Pulp and Paper Com-
pany, Limited, will be held at the Company's office in the
City of Three Rivers on Thursday, the 9th day of December
next, at the hour of one o'clock in the afternoon, for the
following purposes, namely: —
(a) To consider, and, if deemed advisable, to pass a
resolution authorizing the Directors of the Company to apply
to the Secretary of State of Canada for Supplementary
Letters Patent amending and varying the provisions of the
Letters Patent incorpoi-ating the Company relative to its
capital stock by converting the present outstanding capital
stock of the Company, namely, 50,000 Common shares of the
par value of $100 each into 100,000 Common shares without
nominal or par value;
(b) To consider, and, if deemed advisable, to pass a
resolution ratifying and confirming the following By-law
enacted by the Directors of the Company: —
"By-Law No. 21"
"A By-law to increase the capital stock of the Company.
"Whereas it has been decided to make application to
the Secretary of State of Canada for Supplementary Letters
Patent convei-ting the present outstanding Common capital
stock of the Company, namely, 50,000 shares of the par value
of $100 each into 100,000 Common shares without nominal
or par value;
"And whereas, for the due carrying out of the objects
of the Company it has been deemed requisite to increase the
Common capital stock of the Company when converted as
aforesaid by an additional 150,000 Common shares without
nominal or par value, thereby making the total authorized
capital stock of the Company 250,000 Common shares without
nominal or par value;
"Now, therefore, be it, and it is hereby enacted as By-
law No. 21 of the By-laws of Wayagamack Pulp and Paper
Company, Limited: —
"That the Common capital stock of the Company, when
converted from 50,000 shares of the par value of $100 each
into 100,000 Common shares without nominal or par value,
be then increased from 100,000 Common shares without
nominal or par value to 250,000 Common shares without
nominal or par value."
(c) To consider, and, if deemed advisable, to pass a reso-
lution ratifying and confirming By-law No. 22 enacted by
the Directors of the Company changing the head office of the
Company from the City of Montreal to the City of Three
Rivers.
By Order of the Board.
E. L. WILSON,
Secretary.
Three Rivers, Que., 28th October, 1920.
The Provincial Savings and Trust Co., of Winnipeg, is
applying to the Manitoba government for permission to
adopt the name "Netherlands Trust Co. of Canada."
To Industrial and
Manufacturing Institutions
Should you require more capital for develop-
ment cr expansion, and are a going concern
financially sound, the advertiser offers to
procure for you anything from $100,000 to
$I,(J00.0L0, according to your requirements.'
Preference will be given institutions with a
large list of shareholders. Investigate.
Strictly confidential. Best references. Apply
289 P.O. BOX 6S. OTTAWA, CANADA
52
THE MONETARY TIMES
Volume 65.
RECENT FIRES
Black Donald Mine Co. at Calahogie, Ont., $30,000— Icehouse
in Montreal Destroyed, $20,000— Barn at Carberry,
Man., Suffered Loss of S10,000
Bridgeport, N.S. — November 6 — Barn owned by Archie
McLennan was destroyed by fire.
Calabogie, Ont. — November 10 — The large warehouse and
packing-room belonging to the Black Donald Mine Co. was
destroyed by fire. The loss is about ,$30,000, partly covered
by insurance.
Carberry, Man. — November 1 — The large bai-n on the
farm of John Graham was destroyed by fire. The loss is esti-
mated at $10,000, partly covered by insurance.
Glace Bay, N.S. — November 1 — A tenement building on
"Victoria Street, owned by Duncan Morrison, was considerably
■damaged by fire. The loss is $2,000, partly covered by insur-
ance. A building, owned by Rod Morrison, was damaged by
Jfire. The loss is placed at $;?,000.
Kaladar, Ont. — November :i — Residence of James Young
was destroyed by fire. One fatality.
Kitchener, Ont. — November 5 — A small frame building
on Joseph Street, occupied by Fred Walters, was destroyed
by fire.
Montreal, Que. — November 5 — Icehouse, belonging to
Joseph Malo, between Grant Lane and Joachim Lane, off
Dufresne Street, was destroyed by fire. The loss is estimated
at $20,000.
November 8— G.N.W. Telegraph Chamber, G St. Sacra-
ment Street, was damaged by fire.
Mount Vernon, Ont. — November 4 — The barns of Jack
McKenzie were totally destroyed by fire, following a spark
from a threshing engine. The loss is partly covered by in-
surance.
Oakwood, Ont. — November 9 — Pedwell's lumber yard and
the residence of Mr. Pedwell were destroyed by fire. The
total loss is $50,000, with insurance of $20,000.
Quebec, Que. — November 5 — Damage estimated at $2,000
was caused by fire to a two-story brick building owned by
Mr. Drolet at the corner of St. Valier and St. Germain
Streets. The fire is believed to have been caused by a cigar-
ette butt.
St. Anne de Beaupre, Que. — November 9 — Barn, owned
by Augustin Pare, was destroyed by fire. One fatality.
Smithville, Ont. — November 4 — Residence of William
Jennings, a farmer residing in Caistor township, was de-
stroyed by fire. Three fatalities.
Toronto, Ont. — November 5 — Fire of unknown origin at
the rear of 8 and 10 Hanson Street destroyed the garage
belonging to Kilncr and Barber. The loss is $3,000.
ADDITION.VL INFORM.VTION CONCERNING FIRES
Cobalt, Ont. — October 23 — Shaft-house and head-frame
of the La Rose Mines was damaged by fire. The loss was
$3,000, and there was insurance in the following companies:
Norwich Union Fire, Guardian Assurance Co., Liverpool and
London and Globe.
Doon, Ont. — September 22 — Warehouse and contents of
the Doon Twines, Lt<i., and the Floradale flax mills were
destroyed by fire. The loss is $30,000, with insurance in the
following companies: British General, Caledonian, Springfield,
Sun, Union of Canton, Union Assurance Society, British
Crown, Century, Delaware Underwriters, General, Giiardian,
Home, New York Underwriters, Northern, Phenix of Paris,
Queen, Rochester Underwriters, Yorkshire.
The total on the building of Doon Twines was $4,000 on
schedule. On the stock there was $3,000 on schedule and
the following specific amounts placed with the first six of
the companies mentioned above, respectively: $1,500, $2,000,
$2,500, $4,000, $3,000, $2,500, a total of $15,500. There was
also $1,500 on the stock of the flax mill, making a total of
$24,000 in all.
FIRE INSURANCE AGENTS TO HOLD MEETING
Proposals of Provincial Superintendents Arouse Interest at
Coast — Organizations in British Columbia
Developing Rapidly
(Special to The Monetary Times.)
Vancouver, November 6, 1920.
THE report of the conference of provincial insurance
superintendents which appeared in The Monetary
Times has been read with wide interest by the insurance
men in this province, and has been the chief topic for com-
ment at all insurance meetings of late, and as a consequence,
deferred action in the direction of seeking protection for
insurance agents has been stimulated.
The report referred to was partly, at least, responsible
for the Fire Insurance Agents Association's decision to hold
a conference of all insurance agents in the province, probably
in January, for the purpose of discussing questions of gen-
eral interest to British Columbia Fire Insurance Agents.
The agenda will be a long one, and one of the principal ques-
tions will be the advisability of asking the provincial legis-
lature, on behalf of the fire insurance agents of this province
for special legislation in their interests.
Must Regard Agents' Interests
As Geo. L. Schetky, president of the Vancouver Fire
Insurance Agents' Association expressed it in his address
to the members at their regular monthly meeting, "It is the
duty of the government to protect the interests of the as-
sured, the company and the agents, and the association
should strive to see that, while the first two were protected,
the interests of the third party in the transaction was not
neglected."
Mr. Schetky, who might be said to be the father of the
conference movement, desired to have the same set of by-
laws and constitution for all insurance agents' associations
in the province. There are now associations in Vancouver,
Victoria, New Westminster, Kamloops and Nelson. It is de-
sired that all other important centres in the province will
also fall in line, that the fire agents of the province may
speak when the time comes as one organization.
In Vancouver the association is very strong, there beinp:
107 volunteer members out of 109 first and second agents
in the city. (The city agents are to be eliminated.) In
Victoria and New Westminster the proportion of association
to non-association membeis is almost as marked.
The agents of companies who are not members of the
board, that is, the British Columbia Fire Underwriters' As-
sociation, are, of course, not eligible, and at present no in-
tercourse is held with them in insurance transactions.
Whether this rule will be eliminated, time alone will show;
in any event, as before stated, it is altogether likely that in
a few months at least, the same rules and regulations for
fire agents representing board companies will prevail
throughout the province.
Automobile LTnderwritcrs' Association
J. B. Laidlaw, president of the Canadian Automobile
Underwriters' Association was in Vancouver this week and
took occasion to visit the officers and many of the members
of the British Columbia Automobile Underwriters' Associa-
tion. A number of companies have recently joined this as-
sociation, and it now has 63 on its mailing list.
In British Columbia the rates have been fixed so low as
to give little encouragement to non-board companies. On
the other hand the only hazard which appears to be becom-
ing more hazardous is theft as the city increases in size, the
curse of "joy-riding" falls more and more heavily upon it.
The police, however, have promised to do all in their power
to check the evil while the police magisti-ates of late have been
handing out some pretty stiff sentences to venturesome youths
and booze runners who are proven guilty of borrowing other
people's machines without the owners' consent.
h-r;:- liM)-.tj K\t.RV Fl.-UMV
The- Monetary Times
Printing Company
..'f Canada, Limited
I'llLllsiitr-. 3ls.1 i>l
'• The Canadian Engineer"
fftictarj ffiitnes
Trade Review and Insurance Chronicle
of Canada
Established ISfi";
Old as Confederation
JAS. J. SALMOND
President and General Manager
A. E. JENNINGS
ABBistant General Manager
JOSEPH BLACK
Secretary
W. A. McKAGUE
Editor
Commodity Prices and Security Values
Price Declines Which Have Brought Bear Market in Stocks Have Improved Tone
of Bond Market — Heavy Losses Registered By Speculative Securities on Canadian
Exchanges — Bond Prices Are Firm in Canada and Show Advances in New York
VITHICH way is the market going? was the question of
' ' foremost interest in brokerage circles during the past
summer. The developments of Ihe past few weeks have re-
moved the feeling of uncertainty. Stock prices are going
down, keeping pace with the fall in
commodity prices, which must mean
slow business and smaller pro-
fits. Bonds, on the other hand, which
carry a fixed interest return are show-
ing a tendency to strengthen as specu-
lative issues lose favour and possi-
bilities of market appreciation in
stocks disappear.
Commodity prices have been
falling steadily since last June, with-
out a doubt, while the past two or
three weeks have witnessed a more
pronounced downward movement, but
as far as Canada is concerned, an up-
turn in the bond mai-ket has not yet
become greatly apparent. In this re-
gard, however, it must be remembered
that there has been practically no
market here for any securities but
municipals, so that to trace a definite
movement is rather difficult. In the
jiast few months practically all pro-
vincial bonds went to United States
investors, while railroad and corpora-
tion securities were largely disposed
of across the line. The control of the
Victory bond market also eliminated
another valuable index of conditions.
Figures prepared by The Monetary
Times, however, throw some light on
the situation.
The movement of Dominion of Canada War Loan
prices on the Canadian stock exchanges since July last, is
shown in the following statement: —
July,
High. High. Low.
Dominion of Canada 1925.. 96 92% 91%
Dominion of Canada 1931.. 93 90% 89%
Dominion of Canada 1937.. 97 94% 94
Municipal Prices Not Strengthened
Municipal prices show no particular strengthening
tendency, as indicated by the rates of Ontario transactions,
figures of which are as follows: —
June — _,
Counties. Amount.
Renfrew $100,000
Renfrew 150,000
Carleton 190,000
August —
Counties. Amount.
Carleton $150,000
Prescott & Russell . . 200,000
Interest
Rate -;
c basis.
6
6.70
51/2
6.70
Bond and Commodity Prices
October —
Halton
Lincoln
35,000
50,000
Last Week,
November —
Renfrew 150,000
6
Interest
Rate %
basis.
5V2
5
0.47
6
6.38
Other Municipalities (Straight Term).
June —
Sault Ste. Marie 150,000 6
Port Arthur 173,000 6
Peterborough 500,000 6
September —
Sarnia 128,000 6
October —
Brockville 37,500 6
Belleville 3,000 6
Belleville 38,000 6
6.53
6.75
6.65
6.70
6.90
6.30
6.60
THE MONETARY TIMES
Interest
Amount. Rate 'A basis.
November —
Thorold $ 20,000 6 6.75
(Instalments)
August —
Oshawa 220,000 6 6.70
Toronto Tp 74,676 6 6.55
September —
Toronto Tp 37,000 6 6.75
Milton 48,000. 6 6.9.T
October —
Kitchener ... 135,000 6 6.60
Waterloo 95,000 6 6.72
Niagara Falls ...... 33,000 6 6.77
York Tp 215,280 6 6.85
November —
Oshawa 78,743 6 6.94
Niagara Falls 153,955 5 6.60
Parry Sound 75,000 6 7.70
Parrv Sound 18,774 6 7.55
York.Tp 8,765 6 6.80
Etobicoke Tp 25,000 6'i 6.60
Prices of utility and industrial bonds as quoted on the
Canadian exchanges since July last, do not reflect any upward
movement in that section of the market. There were some
fluctuations, both up and down, but none were of any con-
sequence. The following figures show the trend: —
July, Last Week,
High. High. Low.
Asbestos 78 75 (5
Bell Telephone 90% 91 91
Canada Cement 92 91 Vs 91%
Cedar Rapids 84 87 86%
Dominion Cotton 97% 96 96
Dominion Textile ■ 95
Quebec Railway 631/2 60 58
July, Last Week,
High. High. Low.
Rio Janeiro 73 73 62
Spanish River 97V2 ■■ --^
Steel of Canada ■• •■ Jj ^^
Wayaganiaek 84 80 79/2
While there has been very little change in the Canadian
bond market up to the present, it is confidently expected that
the upward trend of prices is close at hand, but there can be
no big movement until all restrictions are removed, and the
market is allowed to follow its own course.
In contrast to the Canadian bond market is the Ameri-
can market. Since last summer there has been a sharp up-
The Trend of Bond Prices (Average of 40 Listed Issues)
ward movement in prices of all securities. In comparing
the Canadian and American markets, however, three points
must be taken into consideration: The American market is
broader than here; the market has not in any way been re-
stricted, but has been allowed to follow its owi course; and
business readjustment has been more abrupt. The accom-
THE TREND OF STOCK PRICES
The black line shows the rinsing average price of fifty stocks, half industrials and half railroads. The black area shows
for each week the hiithcst and lowest daily average price of the twenty-five industrials and the
white area the corresponding figures for twenty-five rails.
November 19, 1920
THE MONETARY TlilES
panying chart, prepared by A. B. Leach and Co., New York,
gives a comprehensive review of the movement of commodity
and security prices in the United States during the past few
years.
A more detailed movement of bond prices during the
past year is given in the accompanying chart, showing the
average of forty listed issues, and which was prepared by
the New York AHtnilint.
Stock Prices Suffer
It is the economic law that stock prices move downward
with commodity prices. It is not necessary to make any
explanations here, as this subject has been discussed widely
ever since business readjustment set in. It is evident, how-
ever, that both the United States and Canada agree on this
point. The large losses sustained by some Canadian stock
issues during the past two weeks, followed a steady decline,
whidh had been in progress since July last. The break was
inevitable, and it is the opinion in some quarters that the
market has not yet reached the bottom. The following figures
illustrate the movement of prices: —
The situation in Wall Street is outlined in the chart on
page 6, which was compiled by the New York Amialist.
July, Last Week,
Papers — High. High. Low.
.A.bitibi 93 62% 57%
Brompton 74% 65 60%
Laurentide 125 95 90%
Price Bros 360 310 300
Riordon 226 180 150
Riordon (preferred) 92 87 87
Shawinigan 112% 104 101%
Spanish River 124% 89y8 80%
Spanish River (preferred) 135 93 85
Wayagamack 134V4 115 102
Utilities —
Toronto Railway 42 41 39%
Winnipeg Electric 31 34 33
Quebec Railway 36 23 21
Brazilian 45 36% , 35
Detroit United 107 104% 101
Banks —
Montreal 202% 190 189
Merchants 186 167% 166
Commerce 185 187 185
Royal 210% 203% 198
Nova Scotia 261 255 2.53%
Union 153% 141 141
■ Miscellaneous —
Atlantic Sugar 164 42% IG
Canada S.S 78% 52 46
Canada S.S. (preferred) 83 73 69
Dominion Steel 68Ts 49% 47
Dominion Steel (preferred) 78 64 63
Lake of Woods 225 149 125
Lake of Woods (preferred) ..... 102%
National Brew 70 56i4 53
Steel of Canada 76 62 59
Steel of Canada (preferred) ... 95% 90 88%
Can. Pac. Rlv 140% 137% 132
.Maple Leaf 155 133 133
NICKEL PRODUCTION DECREASED
A reduction of 25 per cent, is announced in the monthly
production of the Inteinational Nickel Co., or from 4,000 to
3,000 tons of nickel matte per month. About three hundred
men are affected, but none of the regular force of employees
of the company will be let out. One furnace is to be closed
down. An impaired nickel market caused by general de-
pression of business in the United States is given as the cause
of the cut. The reduction in operations brings production
to about a pre-war basis of 1912 and 1913. The highest
peak reached in war years was 6,600 tons of matte a month.
LOCAL SELLING PL.\NNED AT COAST
Five 5Iillion Provincial Loan, and Perhaps One of Vancouver
and Victoria, to be Offered
(Statf Correspondence.)
Vancouver, November 18th, 1920.
AMIDST ideal weather the capital city of British Columbia
is daily receiving a large influx of tourists and winter
residents from the prairies and other places. British
Columbia is m the thick of an election campaign, and cabinet
ministers in Victoria from premier down were not to be
found around the government buildings, but were out cam-
paigning in their various constituencies. December first
being the deciding day.
The Monetary Times was fortunate in finding Hon.
John Hart, provincial ti'casurer, in his office, and had a
brief interview with him. Outside the domestic loan of five
million dollars which he proposes to float in British Columbia
about the end of the year through the Bond Dealers' Associa-
tion, there was not much of special interest from a financial
point of view. The city of Victoria is contemplating the
idea of a domestic loan in the near future and has called
in members of the British Columbia Bond Dealers' Associa-
tion to discuss the matter. With these propositions before
them, and the probability that Vancouver will adopt a
similar plan to raise two million dollars, the British Col-
umbia bond dealers will undoubtedly have an active period
in the next two or three months.
A Vigorous Campaign
Regarding the government loan in conversation with A.
C. Flumerfelt, the president of the British Columbia Bond
Dealers, he stated that they had plans all completed to put
on a quick, sharp campaign bringing the full forces of the
bond dealers to bear on this issue, and that these plans
would be carried out in the event of the present government
being sustained. No doubt, similar plans in regard to Vic-
toria and Vancouver city loans would be adopted, the idea
being to give the investors of the province, who made such a
splendid showing in the last two Victory loan campaigns,
an opportunity to invest in their own securities, to be used
in the development of their own communities. Business in
Victoria is on a substantial basis and among its residents
are many men of means.
NUMBER OF AUTOMOBILES IN CANADA
In a recent report to the Department of Commerce,
Washington, United States Consul Felix S. S. Johnson, at
Kingston, Ont., states that automobile registrations in
Canada in 1919 aggregated 341,396— practically five times
the number in 1914. Prince EJward Island made the largest
proportionate growth in registrations (3,019 per cent.),
whereas Ontario showed the greatest actual increase
(113,080 more registrations), as between these two years.
The returns by provinces for the past six years were: —
Number of Motor Vehicles Registered
Provinces 1914
Prince Edward
1915
1916 1917 1918 1919
Island ... 31
34
50
303
639
967
Nova Scotia . 1,324
1,841
3,012
5,350
8,100
10,290
N e w Bruns-
wick 1.328
1,900
2,965
5,251
6,434
8,306
Quebec 7,413
10,112
15,335
21.213
26,897
33,547.
Ontario 31,724
42,346
.54,375
83.308
114,376
144,804
JIanitoba . . . 7,359
9,225
12,765
17, .507
24.012
30,118
Saskatchewan. 8,020
10,225
15,900
32,505
50,531
56,855
Alberta 4,728
5,832
9,516
20,624
29,300
34,000
British C o 1 -
unibia . . . 7,628
8,360
9,457
11,645
15,370
22,420
Yukon Terri-
tory 43
69
89
93
87
89
Totals
.69,598 89,944 123,464 197,799 275.'746 341,396
THE MONETARY TIMES
TOO -MUCH laSINESS GOES ABKOAI)
Contention of Deputy Minister of Trade and Commerce in
Annual Report — Income Tax Penalties —
Unlicensed Insurance
(Special to The Monetary Times.)
Ottawa, November 18, 1920.
/CANADIAN firms who have passed business inquiries on to
^ firms in the United States are critically handled in the
annual report of F. C. T. O'Hara, Deputy Minister of Trade
and Commerce, made public on Tuesday. Mr. O'Hara makes
a strong plea for building up Canada's foreign trade through
Canadian channels. "The only skeleton in Canada's foreign
trade closet," he says, "is the dependence of Canadian firms
upon foreign intermediate commission houses and foreign
channels. Every possible effoi-t should be made to ship Can-
adian goods through Canadian channels from Canadian sea-
ports to foreign markets to which the goods are destined.
The great increase of Canada's merchant marine will go a
long way in assisting this object. Canadian export trade
should be independent. It would assist in building up Can-
adian seaports and direct overseas connections.
Imports are Heavy
"Canada imports every day goods made under foreign
flags from Canadian raw material. > The Canadian purchaser
pays the wages and the profits of the foreign manufacture,
also the transportation costs of both raw material and finished
goods. In resources and variety of raw materials, in sites
and power for factories, in transpoitation and situation with
regard to the world's markets, Canada is unrivalled."
Mr. O'Hara then takes up the point of Canadian firms
passing on business to firms outside Canada. "Not in-
frequently," Mr. O'Hara says, "cases are brought to the at-
tention of the department of Canadian firms, before whom
the department has plated information as to purchases desired
abroad, who have referred such inquiries to firms in the
United States. In such cases the department has removed
the names of such firms from its lists of Canadian export
firms so that no further information will be furnished them."
Complaints have also reached the department from foreign
buyers that upon their placing an order with certain Can-
adian manufacturers to purchase goods manufactured by
them they have been referred to agencies in the United
States informed that such United States agencies handle all
their foreign business. In some cases foreign purchasers
have thereupon refused to place an order.
Heavier Income Tax Penalties
A hundred and fifty thousand Canadians, perhaps more,
will pay the Federal income tax this year, and it is expected
to bring in at least thirty-five million dollars. A closer sys-
tem of checking up and the imposition of penalties are pro-
ducing results, but a point empliasized is that ne.xt year the
penalties will be almost staggering. It will be a very ex-
pensive thing to make a return that proves to be false. Next
year, when returns are made in respect of 1920 income, the
new provision of the act will be operative. For example, a
person who makes a return showing an income to three
thousand where really it was ten thousand will be liable to
pay the government the whole seven thousand deficiency plus
the t.Tx on the ten thousand, besides, he or she will be prose-
cuted for the act of making a false return. Experience has
demonstrated the need of heavy penalties, and they are
lieing made stiffer each year.
Overseas Tradt Oflire lo be Closed
It is expected that during the visit of Sir George Foster,
Minister of Trade and Commerce, to London, there will be a
decision as to the closing of the overseas office of the Can-
adian Trade Commission. There is stated to be at present
some overlapping in the work conducted by W. C. Noxoii, who
is conducting that office, and that carried on by Harrison
Watson, Canadian Trade Commissioner. A change in the
method of handling overseas trade matters in London has
been predicted for some time, and the minister is expected
to work out an arrangement to this effect while he is over-
seas.
Unlicensed Life Insurance
A warning to physicians against making examinations
for unlicensed life insurance companies is contained hi a
circular issued on November 16 by the Insurance Departit!lht.
It reads: —
"It has been brought to the attention of the department
that life insurance business is being solicited in Canada
through the mails by life insurance companies with head
offices in the United States, but unlicensed in Canada.
"In the case of at least one of these companies it is stated
that the practice of the company is to advise prospects in
Canada of the names of physicians whose examinations will
be accepted by the company, and to send the prospect a
cheque to cover the medical fee for examination by one of
these physicians. When the examination has been made the
medical repoi't is forwarded by the physician to the company.
"The Insurance Act and the provisions of the Criminal
Code respecting insurance provide that no foreign company
shall inspect any risk or otherwise carry on any business of
insurance in Canada without a license under the act. It is
also provided that every person who, in Canada, inspects any
risk or otherwise transacts any business of insurance except
on behalf of a company licensed in Canada is liable for a
first offence to a penalty of not more than $50 nor less than
S20, and for a second or subsequent offence to a penalty of
not more than $100 nor less than $.50. In default of payment
imprisonment for terms varying from one month to six
months is provided for.
"The department is of the opinion that physicians in Can-
ada making examinations under the conditions above men-
tioned are violating the statutes referred to and rendering
themselves liable to the prescribed penalties.
"The public is also warned that insurance placed in un-
licensed companies is not protected by assets of these com-
panies in Canada. There is, therefore, no security in Canada
which can be attached in the event of such a company failing
to meet its obligations under its policies."
BANKERS- ASSOCIATION .\NNUAL MEETING
The annual meeting of the Canadian Bankers' Associa-
tion was held in Toronto on November 11th. A wide range
of subjects was discussed, covering the important develop-
ments of the past year. C. A. Bogert, who was last year
elected president, is now the senior general manager among
Canadian bankers, having occupied his present position since
1906. The officers for the coming year, who were all re-
elected, arc as follows: Honorary presidents. Sir Edmund
Walker, Sir George Burn, Sir H. V." Meredith, E. L. Pease;
president, C. A. Bogert; vice-presidents, Sir Frederick Wil-
liams-Taylor, Sir John Aird, H. A. Richardson, C. E. Neill.
Executive council — Thomas F. How, E. C. Pratt, N. Lavoie,
D. C. Macarow, Tancrede Bienvenu, H. B. Shaw, J. P. Bell,
C. H. Easson, Beaudry Leman, W. Moffat, J. Cooper Mason,
A. H. Walker, H. O. Powell. Secretary-treasurer, Henry T.
Ross.
Harris, Read and Co., bond dealers, Regina, Sask., have
opened a branch office at 432 Pender St., Vancouver, B.C.
S. W. Han-is, who has been in the bond business in western
Canada for a number of years, will manage the new office.
The Canadian Pacific Lumber Company's properties at
Port Moody, Alberni and tho Kootenay, B.C., and other
places, comprising mill sites, freehold properties, leasehold
and water records, timber limits and timber licenses were
sold on October 11 for the sum of $780,000. The buyer was
Eric Hamber of the London and Canadian Investment Co.
November 19, 1920
THE MONETARY TIMES
Trade Revsew and Insurance Chronicle
of danaba
Address: Comer Church and Coort Streets, Toronto. Ontario, Canada.
Telephone: Main 7404, Branch Ilxchange connecting all departments
Cable Address: "Montimes, Toronto."
Winnipes Office: 1206 McArthnr Building. Telephone Main 8409.
G. W. Goodall, Western Manager.
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The Monetary Times was established in 1867, the year of Confedera-
tion. It absorbed in 1869 The Intercolonial Journal of Commerce, of
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Journal . of Commerce.
The Monetary Times does not necessarily endorse the statements and
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The Monetary Times invites information from its readers to aid in ez-
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PRINCIPAL CONTENTS
Editorial: p^g^
The Response of Bank Shareholders 9
Hands Across the Sea g
Business Again Means Salesmanship lO
Chain Stores A Speculation .... 10
Special Articles:
Commodity Prices and Security Values 5
Plan Domestic Issues at the Coast 7
Quebec Supports Tariff for Its Manufacturers 14
How the Manufacturer Can Get Into the Export Field 18
Union of Alberta Municifialities 20
Jurisdiction on Income Taxes ■ 26
Monthly Departments:
Building Permits Decline in September . . ■ 24
Dominion Finances in October 24
Weekly Departments:
News of Industrial Development in Canada 28
News of Municipal Finance 32
Government and Municipal Bond Market 34
Corporation Securities Market 38
The Stock Market ■ 40
Corporation Finance 42
Recent Fires - 44
THE RESPONSE OF BANK SHAREHOLDERS
H.ANDS ACROSS THE SEA
IF more capital is to be attracted to the banking busi-
ness, the new stock must be offered to the shareholders
on at least as attractive terms as those offered by the new
issues already made this year. As none of these were sub-
scribed in full, the conclusion is that the prices were if
anj^;hing too high. Nevertheless there was a substantial
margin between the selling prices and the market prices of
the different stocks, as the following figures regarding re-
cent issues show: —
Ratio of new Market
Bank stock to old Price price
Hamilton 1 to 4 $150 $190
Roval 1 to 5 150 221
Montreal 1 to 10 150 208
Merchants 1 to 4 150 189
Provinciale 1 to 2 120
New stock which was issued by the Bank of Hamilton
this year to the amount of .$1,000,000, and which was offered
to shareholders at 150 per share on a basis of one to four,
has been almost entirely allotted. The remainder is being
offered at the regular market price, but no tenders are being
called as the quantity is so limited.
The Royal Bank of Canada called for tenders until
November 15. 1920, for approximately 4,000 shares of stock,
which represents the unaccepted allotments and the frac-
tional shares of the 83,400,000 issue made this year, which,
under the terms of the Bank Act, could not be allotted.
Tenders closed on October 25 for unallotted and frac-
tional shares of the $2,000,000 issue of stock made by the
Bank of Montreal this year. The number of shares offered
approximated 5,800.
The Merchants Bank is not yet in a position to make a
statement regarding its issue, as the shareholders living
abroad are being given an opportunity to subscribe.
These facts refute the criticism that a melon was cut for
the bank shareholders. The present scarcity of capital is
not the fault of the banks, but is a condition which they
must face if they would secure new capital.
BORN within the British Empire, Canada has drawn her
life from the home land and from the colonies to the
south which early declai-ed their independence of the mother
country. Her population is made up chiefly of those who
have come across the sea or who have been born under the
-American flag. In finance and industry she has likewise
drawn on both countries. Economic conditions necessarily
modelled the industries of this country after those to the
south, but for financial assistance we have depended chiefly
on Great Britain. Our financial relations have been peculi-
arly fortunate, for with the two greatest money markets
of the world open to us we have been able to resort to the
one which was in the best position to lend. Prior to the war
this was always Great Britain, but since 1914 most of our
borrowings have been across the line. As a field for the
pi'ofitable investment of capital, both these countries have
never found Canada's doors closed.
The position of Canada as a link between Great Britain
and the United States was emphasized at a meeting of the
Canadian Club in New York on November 12. Arthur
Knowlson, the president. Sir Auckland Geddes, British Am-
bassador in Washington, Dr. James W. Robertson, chairman
of the Canadian Red Cross Committee, and Dr. Henry Van
Dyke, formerly United States Ambassador to Holland, dealt
with different aspects of this happy relation.
"To secure the peace and the spirit which are essential,"
said Sir Auckland Geddes, "I firmly and truly believe that
there must be, as the very foundation of our effort, close
co-operation between all the English-speaking nations, and,
indeed, between all the nations which draw their idea of
government from that old mother of freedom — England. It
is a good thing for the world that one of the great Dominions
which constitute the British Empire is here in North America
side by side and cheek by cheek with the United States.
Canada and the United States, with their long-drawn com-
mon frontier which for a hundred years and more has
known no act of international hostility, can understand and
sympathize with one another as they face in succession
THE MONETARY TIMES
common problems and common difficulties, and Canada as
one of the great partners in the British commonwealth of
nations can also understand and sympathize with Britain
and Australia, New Zealand, South Africa, India and their
smaller partners as they face common problems and difficul-
ties.
"Canada now has, by force of circumstances, a peculiar
duty and a peculiar privilege thrust upon her — to be the
intcrpi-eter of America to the Britons and of the Britons to
America. Geographically free from the turmoil of Europe,
but sharer from their beginning to their end in Europe's
struggles, it was Canada tliat pointed the way to trans-
Atlantic co-operation in war and peace. Her great deeds,
her great achievements predestine her to be a leader in
securing cordiality between her partners and her neighbor.
She can do what no other can. Beyond misunderstanding or
possibility of successful misrepresentations, she can speak
to America and to Britain and her partners about the world.
Hers is the responsibility and hers, if she succeeds in
establishing a world friendship of the English-speakers,
will be the glory. We know she will succeed. Nations, like
men, can be judged by their records, and is a nation like
Canada going to fail?"
(HAIN STORES A SPECULATION
PIGGLY WIGGLY STORES, INC., have notified the
Chicago Stock Exchange that dividends are suspended
on its class A stock, which is entitled to $4 per annum
cumulative, on account of violent fluctuations in prices, rapid
expansion of business, and desirability of building up a
strong cash reserve. This is one of many of the chain store
enterprises which have sprung up in the United States
during the past few years. The phenomenal success of Wool-
worth's, Childs', the United Cigar Stores and other corpora-
tions which were early in the field of specialized retailing
on a large scale was followed by riot of chain store financing,
based on the successes of predecessors rather than on the
intrinsic merits of the new concerns. While the chain store
business continues to grow along with general expansion, ex-
perience shows that here as in other lines the large scale
enterprise has its limitations. Individuality has its value as
well as h;tandardization, and there is a large section of the
buying public which is willing to pay specially for it.
Canadian investors should be careful of stock flotations
of this kind. One organization, the L. R. Steele Corporation,
has been actively canvassing the public on this side for the
sale of its stock. Some of the employees have had success-
ful experience in the chain store business, but as it is not
yet a going concern the stock of the company is highly
speculative. The achievements of the past arc no guarantee
of .success in the future, much less when the achievements
are Iho'e of other concerns. Satisfactory information is not
given ;is to the investments so far made or as to the records
of the two or three stores already in operation. Thus far
the main achievement of the L. R. Steele Corporation is the
building up of an immense organization, the L. R. Steele
Service Corporation, for the sale of its stock. Several years
of .successful operation are necessary before such a com-
pany is justified in paying dividends.
BUSINESS AGAIN MEANS SALESMANSHll'
SELLING goods and services was almost forgotten in the
pcr'od of .'carcity which prevailed until recently. Busi-
ness cim no longer he secured so easily, however. This was
emphasized by C. S. Hobcn, manager in Montreal for the
Ford !^Iotor Co., at a meeting of the Travelers' Club, of the
Travelers' Insurance Co. of Hartford, recently. Mr. Hoben
pointed out that the insurance salesman could benefit by
experience in other lines, and recommended systematic sales
campaigns. In conclusion he said: —
"I believe we are on the eve of returning to the condi-
tions existing before the war, at least we are on the return
to a better condition to that existing for some few years
just passed. In my opinion we are face to face with the time
when we should all take a personal inventory. Let us see
how many of the actually good bets we have overlooked in
our mad rush to keep pace with the terrifice speed of the
last five years. Let us find out if we have overlooked a pos-
sible sale to a friend or prospect merely because we saw a
"liver" one, at least who appeared easier and a quicker sale.
Let us find out if our personal service to our customer to
our house, and lastly to ourselves, has been all it should
have been. Let us ascertain by rehearsal the abilities we
once possessed to create desire by arousing interest.
"Let us forget the line of least resistance where we
have practised it, the path of easy travel, and instead let
the great fraternity of salesmanship, the largest and greatest
profession on earth, be actually the first to take oflf its coat,
roll up its sleeves and commence to make the wheels of in-
dustry groan with the amount of our endeavors. We are all
alike in our respective part, and where we have shared the
joys of gi-eat success let us now, when the world is at the
threshold of a new era, share our due portion of the burden,
for I assure you we of the selling forces in this world have
a mighty and important mission to perfonn which s'nould
begin to-day."
An "Ernest Hydro" has been discovered among the
residents of Iroquois Falls, Ont. There must have been at
least one Ernest among the Hydro family to have built it
up to its present proportions.
Cuba now has a moratorium, effective until December 1,
and some of the local banks are in difficulty. Under this
moratorium the depositor cannot withdraw more than 10
per cent, of his deposit. The fact that the branches of
Canadian banks did not take advantage of the moratorium
until some days after the local banks will add greatly to
their prestige in the south, and is a further proof of the
strength of a system which permits banking to be conducted
on a widely extended scale.
A survey of present prices of raw products, compared
with the high prices ruling during the recent period of
extravagance and inflation, shows the following results: —
Wlieat $2.2.5 against $3.05
Sugar 7-8c. against 23 cents
Cotton 22%c. against 42 cants
Copper 15c. against '35.74 cents
Hides 22c. against 53 cents
Rubber 25c. against 95 cents
*****
"Under public ownership," says general manager H. H.
Couzens of the Toronto Street Railway Commission, "the
object is sei-vice. Three elements are to be considered. There
is the taxpayer, who, if anything goes wrong, will have to
put his hand into his pocket, the patrons of the road, and
those who operate it. No road under public ownership should
be run for one section, but operated for the good of all."
The logical sequence of Jlr. Couzens' remarks is that pati'ons
r.nd employees, as well as owners, should be represented in
control and management.
Result of Paper Shortage
Waiter: "Your bill amounts to 4s. 7 '/id."
Parson: "How do you make that out? It only comes
to 4s Gd."
Waiter: "You've had two muttort chops at Is. 6d.
erch. two threepenny cigars, and one shilling's worth of vege-
table? and "
Parson: "That's all I have had."
Waiter: ".\nd three halfpence for the paper to write
the bill on."
November 19, 1920
THE MONETARY TIMES
facorporat^d
Branches
^0 \ Throu^hou-'-
THE MOLSONS BANK
Capital and Reserve - $9,000,000
OVER 130 BRANCHES
Business Efficiency
Business men look for a quick,
efficient and reliable service.
The Molsons Bank will satisfy
the requirements of the most
exacting.
EDWARD C. PRATT. General Manager
Business Accounts
The complete banking facilities
provided at all our branches enable
this Bank to give Business Ac-
counts the care and attention they
need and deserve.
The Merchant and the Manufac-
turer will find the services rendered
by this Bank of the greatest assist-
ance in conducting their business.
IMPEKIAL BANK
OF CANADA
212 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited, Edinburgh and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
The Bond
Between
Bank and
Farm
OTIMLLATION of agricultural pursuits
is essential to the welfare of the
Dominion. This Bank plays its part as
a national institution by lending every
effort and its vast resources to support
agricultural activity to the utmost.
Those interested in any enter-
prise of the soil are invited to
confer with our branch managers.
UNION BANK
OF CANADA
THE
Bank of Nova Scotia
Established 1832
Capital
Reserve
Total Assets
$9,700,000
$18,000,000
$230,000,000
GENERAL OFFICE : TORONTO, ONT.
H. A. Richardson, General Manager
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic, Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
55. OLD BROAD STREET. E.C.2
12
HE MONETARY TIMES
Volume 65.
PERSONAL NOTES
Sir H. Montagu Allan, president of the Mt'ichants
Bank of Canada, was elected to the directorate of the
Guarantee Company of North America at a meetincr in
Montreal last week.
LORNE C. Webster, a director of- the Nova Scotia Steel
and Coal Company, and vice-president of the Quebec Rail-
way, Lijrht, Heat and Power Company, has returned to
Montreal after spending some time in Japan.
H. R. TUDHOPE, a member of the investment house of
A. E. Ames and Company, Toronto and Montreal, has been
elected a member of the Montreal Stock Exchange. The seat
taken over by Mr. Tudhope was formerly held by Thornton,
Davidson and Company.
Theo. Feilden, editor-in-chief of the "Empire Mail," a
note<l British publication, is just completing an extensive
tour of Canada in connection with his work as director-gen-
eral of the Imperial Trade Propaganda Association, and
in preparation for the launching of a special Canadian num-
ber of his publication.
M. F. Christie has been elected to the directorate of
the Great-West Life Assurance Company to succeed the late
P. C. Mclntyre. Mr. Christie is well-known in Winnipeg,
having been a resident of that city since 1882. He is man-,
aging director of the G. F. Stephens' Paint Company, and
director of the Winnipeg General Hospital. He was formerly
president of the Winnipeg Board of Trade, and is a past
president of the Canadian Manufacturers Association.
Kenneth J. Dunstan, western division manager of the
Bell Telephone Company of Canada, has been made a vice-
president of the
company. It is of-
ficially announced
that the appoint-
ment is a I'ecogni-
tion of the neces-
sity of having in
Toronto a repre-
sentative of the
executive who will
give attention to
matters of policy
and be free from
operating duties.
He is succeeded
as division man-
ager by A. T.
Smith, who is at
present division
superintendent.
Mr. Dunstan has
given his full
business career to
the Bell Tele-
phone Company
and is very wide-
ly known. He is
a past president
of the Board of Trade, and is an afficer of the Red Cross
Society and a prominent member of the Masonic order.
F. G. B. Allan has been appointed general manager of
the Pressed Metals Company of Canada, Limited, and Anieri-
c-n Bushings Corporation, succeeding J. W. Leighton. Mr.
Leighton is now chief engineer and supervisor of works, and
will devote the major portion of his time to the develop-
ment of the companies' patented bushings and tube pro-
cesses. Mr. Allan, who is a Toronto man, is the son of the
Inte Hon. G. W. Allan.
Thomas Bradshaw, formerly finance commissioner for
the city of Toronto, and for the past few months financial
adviser to the Massey-Harris Company, Limited, Toronto,
has been appointed general manager of the company, succeed-
ing Thomas Findley, previously president and general man-
ager who has resia-ned from the latter position. Mr. Brad-
shaw will be assisted by C. L. Wisner as assistant general
manager in charge of sales, and by Geo. Valentine as as-
sistant general manager in charge of manufacturing.
R. M. Pearson was recently appointed to succeed the
late W. J. Ptolemy, as deputy provincial treasurer of
Manitoba. Previous
to his appointment
Mr. Pearson was
not in any way
connected with the
treasury depart-
ment or the govern-
ment of the pro-
vince. He is a bar-
rister by profes-
sion, of five years
standing, and just
before he took over
his new office he
was practicing law
in Winnipeg with
the legal firm of
Hudson, Ormond,
Spice and Syming-
ton. He served
overseas, being for
a time warrant oi^-
ficer in the second
battalion of Cana-
dian i n f a n t r \'
Manitoba's financi i
operations h a v e
been greatly enlarged during the past few years. In 1916
its expenditure was $6,147,780, in 1917 $6,860,355, in 1918
.'i;7.307,727, and in 1919 $S,544,790. Its debt is about $44,-
000,000. The enlarged operations are due in part to the
operation of farm loans and rural credits.
EIGHTEEN CENTS MORE FOR 1919 WHEAT
Realizing that producers are anxious to know, as early
as -possible, the full value of their participation certificates,
the Canadian Wheat Board has made a careful audit of its
accounts up to a recent date. The result indicates that it
can pay on the final dividend 18 cents, making a total of 48
cents. This will make the prices, basis No. 1 Northern in
store Fort William, $2.63, or an average price throughout the
year at points of shipment in Manitoba, Saskatchewan and
Alberta, of $2.50 per bushel.
The board has already distributed, on the interim divi-
dend, about $38,000,000, and payment of the balance of ap-
proximately $28,000,000 will, it is hoped, be commenced about
the middle of November and completed before the end of the
year. Over $60,000,000 of the foregoing will be distributed
among the producers in the three prairie provinces, the bal-
ance in eastern Canada and British Columbia. The interim
payment was 30 cents per bushel, but at the time interim
payments were commenced it was announced that the par-
ticipation certificates would be worth at least around 40 cents.
Though no official announcement has been made of
amounts handled, the amount being paid on participation
certificates would indicate that it was about $130,000,000.
Capt. G. S. Rothwell, formerly manager of the stock
department of Burdick Brothers, Ltd., Vancouver, B.C., has
severed his connection with that company and has opened
offices at 338 Granville St., in the same city, where he will
conduct a brokerage, bond and insurance business under the
name of Rothwell and Co.
November 19, 1920
THE MONETARY TIMES
mDDmmuDiuiuDBuujiUDniiiiitii i^
THE Sterling Bank
OF CANADA
^iiiinuiumimiiiiimiiiimimnmiBBimimimDB
nniiniiiinuimiiaiiiiiQjcnimii&nnnimiiiiinimiDtinniiuuimiirr:
Every-officer of the Sterling Bank is personally ready
to assist you in solving your financial problems. And
as material from which to draw, he has the exper-
ience gained through close contact with many of
our clients, both in their business and personal
financial affairs.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Licntted
Incorporated by Royal Charter and Act of Parliament. Established 1825
Capital Subscribed ;£5, 000,000 825,000.000
Paid up 1,100,000 5,500.000
Uncalled 3,900.000 19,500,000
Reserve Fund 1,000,000 5,000,000
Head Office - EDINBURGH
WILLIAM CARNEGIE. General Manager. GEORGE A. HUNTER. Sec.
LONDON OFFICE— 37 NICHOLAS LANE, LOMBARD ST., E.C.-i
T. C. RIDDELL. DUGALD SMITH.
.Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing m the Colonies domiciled m London, are
retired on terms which will be furnished on application.
Common wealth "Bamh of Hustralia
All classes of GENERAL AND SAVINGS BANK business are trans-
acted in all the principal cities and .towns of Australia, Rabaul and
London.
JAS. KELL,
Deputy Go
DENISOX MILLER,
The Dominion Bank
ESTABLISHED 1871
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
THE
Exchange Rate
VIII.— What Controls It?
W
E have attempted to show in this
series the principal causes of varia-
tions in exchange rates.
In order to reduce the problem to its
simplest form, we have not mentioned sev-
eral factors which, in spite of adverse tratle
balances, had considerable influence in
maintaining the value of our dollar abroad
during pre-w-ar days.
One of these was the great volume of
Canadian securities (such as bonds of the
Dominion and Provincial Governments,
Municipalities and Companies), sold an-
nually in other countries. The proceeds of
these sales created balances to our credit
abroad just as though we had exported an
equal value of merchandise. At the pre-
sent time our sales of securities abroad
amount to far less than formerly owing to
the "tightness" of money and the high
interest rates demanded.
Another factor of importance, the in-
fluence of which it is difficult to estimate,
is the amount of foreign money brought
into Canada by immigrants and tourists.
An adverse Exchange Rate, especially
one so great as ours with the United States,
taxes heavily all users of imported goods.
The gi-eater the excess in the value of im-
ports over exports, the higher the Exchange
Rate is likely to become.
Those who import luxuries because
they can aff'ord to pay the additional tax,
therefore, help to maintain the rate or even
to raise it still further. Thus the price of
imported necessities is increased to all, in-
cluding many consumers who can ill afford
the extra burden.
In our final article we shall summarize
the methods by which the exchange rate
may be brought back to normal.
THE CANADIAN BANK
OF COMMERCE
Capital Paid Up - $15,000,000.
Reserve Fund - $15,000,000.
This icries, when completed, aill be puh-
liihed in pamphlcl form. If ^ou desire a
cop}^, nffite to our Head Office, Toronto,
THE MONETARY TIMES
Volume 65,
Quebec Supports Tariff for its Manufactures
Four Chief Cities Favour Protection, and Even Farmers Believe
in BuildinK up Home Market— Sessions at St. John and Moncton,
N.B.. and at Quebec. Sherbrooke. Three Rivers and Montreal
OCCUPYING the second position among tlie Canadian pro-
vinces, from the standpoint of manufacturinK, and the
leading position in some Imes, Quebec province has submitted
to the Tariff Commission evidence which is, on the whole,
favorable to protection. A good deal of evidence has been
collected since the commission left Moncton on November 10.
On November 11 it sat in Quebec, on November 12 in Sher-
brooke, on November 1:5 in Tliree Rivers, and on Novem-
ber 15 in Montreal. . , i i
The remaining sessions of the commission are scheduled
as follows: November 25, Kingston; November 26, Hamilton;
November 29, London; November 30, Windsor; December 1,
Toronto. A special meeting will later be held in Ottawa.
The statement presented in St. John on November 9 by
W S. Fisher referred to the "tremendous geographical
handicap" in seeking to weld in Canada a small body of
people into a national unit, under one central government,
stretching over so vast a territory with great natural bai--
riers. It was said that the barriers "running north and south
have the tendencv to make trade and interest flow in the same
direction— namely, across the national border, to intermingle
with the large bodies of people immediately^ adjoining our
little groups scattered across the continent."
Interdependence in exchange of commodities was set out
as a vital interest in the matter of a common national ideal.
It was also asserted that unless something was done to
remedy the serious condition created by recent freight ad-
vances, in the way of substantial reductions in the long-haul
rates, any protection that the tariff would otherwise afford
would in many instances be absolutely wiped out as against
manufacturers in such large centres as Chicago, St. Paul,
Minneapolis, Spokane, Portland, Seattle, etc., "who can ship
to points all along our territory at almost a negligible freight
rate."
Reference to alteration in tariffs in Europe in order to
retain more of their home markets for their own industries
and to the declared probability of a higher tariff wall in the
United States with the Republicans in power was made, and
it was stated in conclusion that "with the likelihood of our
greatest competitors acting in this manner it would surely
be folly for Canada to grant less protection to her industries
than will enable them to expand, pay fair wages to their
workmen, and to enable them to retain the major portion of
our home market."
J. W. Walker, mayor of Marysville, a cotton factory em-
ployee, said the reduction of the tariff would practically wipe
out the town. He also said 180 families occupied homes
owned by the company, paying $6 a month, as compared with
Slli paid in Fredericton just across the river,
W. S. Poole, vice-president of the United Farmers of
New Brunswick, and president of the United Farmers' Co-
operative Co, of St. Stephen, read the tariff plank in the
farmers' platform. He said it was reported that the Marys-
ville cotton concern was making as high as :n5 per cent,
profit during the past year. He thought the duty on wearing
apparel, farm machinery, etc., should be reduced. Revenue
could be raised to replace the duties lost, he said, by direct
ta.xation on unimproved values, graduated income tax. and
other means as outlined in the farmers' platform.
Mnnclon Dependent on Tariff
Great hardship might be inflicted on the workmen of
this city were the tariff to be changed, J. L. Macd.mald,
.speaking on behalf of Moncton manufacturers, argued before
the Tariff Commission, when it met in that city on Widnes-
<lay, Mr. Macdonald said most of the workmen in Moncton
factories owned their own homes, in which were invested
their entire savings, and unlike those in larger cities, who
rented theirs. If changes were made in the tariff these men
might be thrown out of work and their plight would be a
serious one. He added: —
"In the province of New Brunswick we have potential
power in our waterfalls in hundreds of thousands of horse-
power waiting to be harnessed, and right alongside rich min-
eral deposits. Capital in enormous amounts is required to
develop these, and will not be forthcoming if the people con-
trolling it are in any doubt as to the continuation of the
policy of adequate protection. The United States, with a
population of over twelve times that of Canada, finds it
necessary to maintain a tariff very much higher than ever,
and under the Republican party recently elected increases to
it are certain to be made. The finest product of Canada is
the sober, industrious and highly-endowed Canadian people.
That Canada, and especially so these maritime provinces,
does not provide enough remunerative employment for its
own people, and that thousands are yearly obliged to cross
the line in search of opportunity denied them at home, is
a national tragedy and one that must never be lost sight of
by our legislators."
Quebec Strongly Protectionist
Enquiries by United States firms desirous of establishing
manufacturing plants in Quebec were advanced as evidence
of the advantage of protection by O. H. Cote, industrial com-
missioner of the Board of Trade, before the commission in
Quebec. Mr. Cote said the American firms interesting them-
selves in Quebec were connected with the following interests:
Asbestos, glass, motor cars, storage batteries, silk, knitting
and tractors, etc.
Mayor Samson, citing official statistics, showed the tre-
mendous development of Quebec under protection within the
last twenty years and the immense increase in the amount
of capital invested in Quebec industries. There were, he said,
besides the 72,500 people directly dependent upon the develop-
ment and continuance of the industries in Quebec, merchants,
professional men and others also dependent indirectly upon
those industries. .Anything that would curtail the demand
for products manufactured in Quebec city would have a
serious effect upon all classes in the community, said the
mayor. The mayor favored, as Sir Lomer Gouin stated at
the annual convention of the shoe manufacturers in this city
some time ago, "a tariff that would keep industries going,
labor men working for good wages, and the most deserving
of all Quebec citizens, the good farmers — content and pros-
perous."
J. H. Fortier spoke at some length of the exodus from
Quebec to the United States in the past, when there were
no industries to attract the surplus of the rural populations.
It was only through the adoption by the government of a
national protective tariff, said Mr. Fortier, that such exodus
was stopped.
Sherbrooke a Manufacturing Centre
The city, local manufacturers and the Board of Trade
were represented at the session in Sherbrooke. In the ab-
sense of the mayor, who is not in the city, pro-Mayor Tet-
rault presented the brief on behalf of the city, in which it
is pointed out that Sherbrooke owes its phenomenal growth
in the past few years to the number of manufacturers located
here. This is the means of supplying a great part of the
population with employment and generally improving con-
(iitions. The markets owe their success in turn to the for-
tunate working conditions that prevail. It is pointed out that
the customs tariff is responsible for much of this industrial
(Continued on page il)
November 19, 1920
THE MONETARY TIMES
15
THE
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
head office. weyburn. saskatchewan
Branches in Saskatchewan at
Weyburn. Yellow Grass, McTaggart. Halbrite, Midale,
Griffin, Colgate, Panginan, Radville, Assiniboia, Benson,
Verwood, Readlyn, Tribune, Expanse, Mossbank, Vantage,
Goodwater, Darmody, Stoughton, Osage, Creelman and
Le wvan .
A GENERAL BANKING BUSINESS TRANSACTED
H. O. POWELL. General .Manager
4IomeBankofCanadai
SMALL ACCOUNTS WELCOMED
Every chartered bank welcomes the
deposit of a single dollar as it records
the spread of the practice of thrift and
introduces the bank to a customer
whose account will surely increase.
Branches and Connections Throughout Canada
Head Office and Eleven Branches in Toronto c 7
LLOYDS BANK LIMITED,
HEAD OFFICE:
71, LOMBARD ST., LONDON, E.C. 3.
CAPITAL SUBSCRIBED
CAPITAL PAID UP
RESERVE FUND
DEPOSITS, &c.
ADVANCES, &c. - -
- $353,396,900
70,679,380
49,886,410
- 1,621,541,195
821,977,505
THIS BANK HAS ABOUT 1,500 OFFICES IN ENGLAND & WALES.
Colonial and Foreign Department: 17, CORNHILL, LONDON, E.C. 3. London Agency of the IMPERIAL BANK OF CANADA.
The Agency of Foreign and Colonial Banks is undertaken.
Affiliated Ean'ts : THE NATIONAL BANK OF SCOTLAND LTD. THE LONDON & RIVER PLATE BANK. LTD.
Auxiliary : LLOYDS AND NATIONAL PROVINCIAL FOREIGN BANK LIMITED.
TH€ M€RCHANT5 BANK
Head Ofrice : Montreal. OF CANADA.
Established 1864.
Capital Paid-up, $8,400,000 Reserve Fond and Undivided Profits, $8,660,774
Total Deposits (30th Sept., 1920) - Over $167,000,000
Total Assets (30th Sept., 1920) - Over $205,000,000
Board of Directors ;
Sir F. OrfOrr-Lewis, Baft.
Hon. C C. B.^vllantyne
F. Howard Wilson
SIR H. MONTAGU ALLAN
Farquhar Robertson
Geo. L. Cains
Alfred B. Evans
General Manager
Supi. of Branches and Chief Inspector
General Supervisor -
Vice-President
Thomas Ahearn
Lt.-Col. J. R. MOODIE
Hon. Lorne C. Webster
D. C. Macarow
: T. E. Merrett
W. A. Meldrum
A. J. DAWES
E. W. Kneeland
Gordon M. McGregor
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses w^ho bank exclus-
ively -with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice.
399 Branches in Canada, extending from the Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookall, Agems
London, England, Office, 53 Cornhill : J. B.Donnelly, D.S.O., Manager
Bankers in Great Britain : The London Joint City & Midland Bank, Limited, The Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
BANK BRANCH NOTES
The following is a list of branches of Canadian banks
which have been opened recently: —
Winnipeg (Portage A v. and
Kennedy St.) Dominion Bank
Hamilton (Main & Sherman) Royal Bank of Canada
West Summerland, B.C Dominion Bank
Castries (St. Lucia) Royal Bank of Canada
Twonty-.six branches were opened and seven closed dur-
ing the month of October. The following new brandies have
not already been mentioned in '['he Monetary Times: Chai'le-
magne, Que., Provineiale; Chartierville, Que., Provinciale;
Contrecoeur, Que., Ilochelaga; Glen Sandfield, Ont., Hoche-
laga; Lakefield, Ont., Sterling; Lamaline, Nfld., Nova Scotia;
Manitoba Agricultural College, Man., Royal; Monteith, Ont.,
Imperial; Montreal, St. Catherine and Wolfe Streets, Mol-
sons; Kawdon, Que., Hochelaga; St. Antoine de Padoue, Que.,
Provinciale; St. Camille de Wolfe, Que., Provinciale; St.
Gabriel de Rimouski, Que., Hochelaga; St. George Est.
Beauce, Que., Hochelaga; Thistletown, Ont., Nova Scotia;
Toronto, Cherry and Villiers Sts., Montreal.
The following Vtranches were closed: Gilroy, Sask.,
Union; Giassey Lake, Alta., Union; Hilda^ Alta., Standard;
Loyalist, Alta., Union; Riviere de Madeleine, Que., Nationale;
Rustice, P.E.L, Royal.
The branches opened were distributed among the follow-
ing banks: Royal, 4; Merchants, 1; Sterling, 2; Provinciale,
;■>; Hochelaga, S; Dominion, 1; Commerce, 2; Nova Scotia, 2;
Imperial. 2: Molsons. 1; Montreal, 1.
New Building or the Ca- i i \k of Commkrce
IN MONClu.N, .\.1J.
RAILROAD EARNINGS
The following is the approximate gross earnings of
Canada's transcontinental railways for the first week in
November: —
Canadian Pacific Railway.
Iit20. 1919. Inc. or dec.
$.'>,723,000 $;i,821,000 + $1,902,000
November
November
November
Canadian National Railways.
$2,770,758 $1,987,622 + $ 783,136
Grand Trunk Railway.
$2,385,604 $1,931,520 + $ 454,084
CANADIAN BUSINESS FAILURES
The number of failures in the Dominion, as reported by
R. G. Dun and Co., during the week ended November 12, 1920,
in provinces, as compared with those of previous weeks and
corresponding weeks of last year, are as follows: —
Date.
^
0)
d
a
-a
d
M
m
a
OJ
a>
O
&
S
<
OT
PQ
2;
2:
cu
Eh
Nov. 12 . .
. .12
14
0
0
4
o
0
15
0
48
14
Nov. 5 . .
. . 9
6
1
0
0
2
1
0
0
19
11
Oct. 29 .
. . 7
14
0
4
1
2
0
1
0
29
18
Oct. 22 . .
. . 1
8
1
3
2
1
1
2
0
19
Bradstreet's report business failures in Canada for the
month of October as follows, with comparisons: —
No. Assets. Liabilities.
October, 1920 84 .$692,694 $1,361,680
October, 1919 59 263,084 763,684
The same tendency as exhibited in previous reports, re-
veals itself in the above statement — namely, that the total
of liabilities has not increased in proportion to the increase
in the number of failures. This, it is pointed out, would
seem to indicate an increase in strain among the smaller
class of traders, due to refusal of buyers to come into the
market freely.
WE.EKLY BANK CLEARINGS
The following are the bank clearings for the week ended
November 18, compared with the corresponding week last
year: —
Week ending Week ending
Nov. 18, '20. Nov. 20, '19. Changes.
Montreal $157,124,938 $166,627,836 -$9,502,898
Toronto 110,895,763 109,660,177 + ' 1,235,586
Winnipeg 96,203,163 69,156,557 + 27,046,606
Vancouver 17,602,569 18,484,736 - 882,167
Ottawa 12,186,239 16,879,925 — 4,693,686
Calgary 11,206,321 11,004,418 -|- . 201,903
Hamilton 8,073,043 8,220,975 — 147,932
Quebec 8,466,194 8,070,978 -|- 395,216
Kdmonton 6,316,655 6,361,807 — 45,152
Halifax 5,896,862 5,847,988 -1- 48,874
London 3,902,707 4,806,436 - 903,729
Itegina 5,710,176 6,182,474 — 472,298
St. .John 3,329,628 4,168,048 — 838,420
Victoria . 2,748,086 4,142,005 — 1.393,919
Saskatoon 2.816,637 2,972,502 - 155,865
Moose Jaw
Brantford 1,407,865 1,731,383 - 323,518
Brandon 1,063,234 1,058,336 -1- 4,898
Fort William 1,166,987 1,237,439 - 70,452
Lethbriilge 1,278,625 859,2,56 + 419,369
Medicine Hat .... 7.55,500
New Westminster. . 734,579 836,210 — 101,631
Peterboro 1,028,141 964,054 + 64,087
Sherbrooke 1,237,123 1,202,596 -t- 34,527
Kitchener 1,238,136 1,418.829 - 180,693
Windsor 3,6.50,191 3,092,815 + 557,376
Prince Albert . . . 518,564 698,710 - 180,146
Total $465,802,466 $455,686,490 +$10,115,976
Moncton 844,971
Glazebrook and Cronyn, exchange and bond brokers,
Toronto, report local exchange rates as follows:—
Buyers.
N.V. funds 1214 pm
Mont, funds 5c. dis.
Sellers.
12 3-16 pni
Par.
Counter.
Sterling —
Demand
Cable transfers . ,
Rate in New Yor'i for sterling demand, $3.46y4.
Bank of England rate, 7 per cent.
% to %
$3.8750
3.8850
$3.8850
3.8950
November 19, 1920
THE :\I O N E T A R y TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(ESTABLISHED 1817)
PAID UP CAPITAL - ^|^ " ' 23,828,500.00
RESERVE FUND .... C^^4 --.... 16,375,000.00
RESERVE LIABILITY OF PROPRIETORS ■ J||i^S[|k( ...... 23,828,500.00
^^^t^^^^^^y ' ^ 64,032,000.00
AGGREG.^TE ASSETS 31st MARCH, 1920 ^^^Ota^.-**^-^ $377,721,211.00
Sir JOHN RUSSELL FRENCH. K.B.E., General Manager
351 BRANCHES and AGENCIES in the Australian States. New Zealand. Fiji, Papua (New Guinea) . and London. The Bank transacts everi- descriotion
of Australian Banking Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET, E.C, 2.
Agrnts: BA\K of .MONTREAL. ROYAL BANK OF CANADA
c.
s.
GUNN
&
COMPANY
REAL
ESTATE, INSURANCE,
RENTAL AGENTS
805 Union
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WINNIPEG, MAN.
Members of Winnipeg Real Estate Exchang
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THE MONETARY TIMES
Volume 65.
How the Manufacturer Can Get Into Export Field
First Step is Appointment of Export Manager, Who Should Study Field Carefully-
Personal Visits to Foreign Markets — Assistance of Government Trade Commissioners-
Advertising in Export Trade Publications— Arrangements With Export Commission Houses
By COL. C. R. HILL,
Managing Director, Hill and Co., Ltd., Toronto
(Thia is the iiccoiid of a series of articles on. Practical Exportiny, tlie first of which, ivas published in
77ic Monetary Times of November i-', Hl.'n.)
THERE arc advantages and disadvantages in any one sys-
tem of developing export business and what might
appeal to the heads of one business would not suit another
manufacturer for reasons of finance, unsuitability of staff,
policy in sales, or class of goods manufactured. The object
of this article is therefore to suggest various ways and
means from which e.xecutives may make a decision on policy
whether the manufacturing firm is old and wealthy or a new
"one-man" concern.
Obviously, the first step for any manufacturer is to ap-
point an export manager. At the initial stages of a decision
to form an export department, the first consideration will be
expense and the second the calibre of available personnel. As
pointed out in the first article of this series, the development
of export markets is not a rapid process and the first year's
efforts will not likely prove profitable if a heavy expense
is undertaken to provide an export staff before actual orders
demand it. However, a bright man of initiative, with execu-
tive and organization possibilities, should be definitely as-
signed the responsibilities of export manager and be given
time and opportunity to study his duties. The selection will,
of course, be dependent on the size of the fiim, the eventual
possibilities of export sales of a particular line, and the in-
dividual characteristics of the existing staff. In the case of
a very small partnership, one of the partners might take on the
work, while in a bigger oflice organization, the sales manager
or his chief assistant might be selected. For some months at
least, the export manager could devote only part time to his
export duties, but if the firm's policy is a whole-hearted one
and they can afford to do so, the export manager should be
given ample time to study his subject and work out his plans.
Subsequently, he will be kept busy in looking after actual
orders.
Assuming that the export manager has been selected,
we now proceed to review the various means at his disposal
for developing his foreign markets, leaving the question of
his technical education to subsequent articles in this series.
Through Personal Visits to Foreign Markets
Dealing first with firms that are sufficiently wealthy to
justify an initial travelling expense item of $10,000, the ideal
way to investigate possibilities of sales abroad is to send a
highly competent man (presumaby the export manager) on
a trip around the world. The language difficulty is not insur.-
mour-.table although a working knowledge of French at least
would prove very useful as an alternative to English. Of
course, it is safer to stay with a language one knows ac-
curately than attempt to make statements and promises in
a foreign tongue and subsequently find that ridiculous mis-
understandings have arisen. So far as Canadian travellers
are concerned, they will always find that the offices and
advice of the Canadian or British trade commissioners are at
their disposal in practically al! centres they wish to visit,
and local qualified interpreters are not expensive.
By a visit "on the ground," the Canadian export manager
can accurately check up the competition in his line lioth as
regards quality and price. He should, of course, have full
supplies and literature with him and be armed with .sufficient
authority to make up delivered prices, set discounts, make
contracts for agencies and deliveries, promise to meet local-
requirements in design, packing, etc.
Should Help the General Agent
The time required in each country is problematical, but,
assuming that the initial investigation into sales possibilities
is satisfactory, it will prove worth while to spend several
weeks. The most important work from an organization
standpoint is the .settlement of policy on the merits of a sal-
aried branch office staff and warehouse versus the appoint-
ment of a general agent or territorial representation. If
agencies are decided on, it is not sufficient to make an ap-
pointment, sign a contract and move on. The Canadian re-
presentative who understands the peculiar merits of his
goods should spend time in company with the agent getting
acquainted with his customers and helping him to make sales,
assisting in the preparation and possibly payment of initial
advertising, etc. Having thus firmly established his com-
pany's business in one country, he can report full details to
his headquarters and proceed with his journey.
This system of personal visits to foreign counti'ies is the
most ideal way, when the expense can be afforded, if only
for the future benefits of established friendship between ex-
port manager and foreign agent, but above all, the export
manager has .broadened his mind, gathered the viewpoints of
others in his line of business, picked up valuable suggestions
and increased his value to his firm by at least 100 per cent.
And yet there is nothing perfect in an initial visit. The
appointed agent may become less enthusiastic with the de-
parture of his Canadian visitor and sales results may be ex-
tremely disappointing. Again, with all the energy and good
intentions in the world, conditions may arise after the Cana-
dian's departure which temporarily prevent sales. New com-
petition may appear, exchange may upset prices, a general
buying depression may come over the market; any or all of a
dozen things may render the expense of the personal visit a
more or less financial loss. So much for the advantages and
disadvantages of foreign visiting.
Medium of Government Trade Commissioners
If any Canadian manufacturer will write to the Com-
mercial Intelligence Branch, Department of Trade and Com-
merce, Ottawa, he will receive free the "Weekly Bulletin,"
and be placed on the mailing list for future issues. Besides
publishing reports on the possibilities for Canadian exports
in various countries, and trade inquiries for specific articles
from foi-eign buyers, the bulletin furnishes the names and
addresses of the Canadian trade commissioners and Cana-
dian commei-cial agents comprising our own staffs in the
Argentine, Australia, Brazil. British West Indies, China, •
Cuba, France, Holland, Belgium, Italy, Japan, New Zealand,
South .•\frica and the United Kingdom. In addition is pub-
lished the addresses of British consulates whose offices have
been instructed by the British Foreign Office to answer in-
quiries from and give information to Canadians who wish to
consult them in reference to trade matters.
Tile duties of the Canadian trade commissioners are
many, but their principal one is well defined — i.e., to do their
utmost to promote the export of Canadian products and
manufactured articles. It may therefore be taken for
granted by every Canadian manufacturer that he has a strong
and capable friend in every country where our own commis-
-sioners operate, and, shall we say, a sympathetic acquaint-,
ance in the British consulates which are world spread.
November 19, 1920
THE MONETARY TIMES
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JOHN k LITTLE. Managing Director
THE MONETARY TIMES
Volume 65.
Commissioner Cannot Make Sales
To make the best use of the Canadian trade commis-
sioners, our manufacturers should write, all of them send-
ing samples, price lists, catalogues, particulars of packing,
weights, measurements, etc., stating fully by letter just
what policy they would like to adopt. At the same time, they
should asic for all the suggestions the commissioner can
offer as to the best methods of getting into the particular
market under review. On request, the commissioner will use
his best judgment to find a suitable general agent or ter-
ritorial agents. This will be done of course without pre-
judice and the commissioner is not liable for the subsequent
success or failure of the agent in making sales or for his
financial responsibility. Furthermore, the commissioner
cannot be expected to actually go to buyers and make sales
although that will probably be the result of his original
efforts to develop a connection for the manufacturer.
By watching the Weekly Bulletin it will be noticed that
the Canadian trade commissioners pay visits to Canada
from time to time and, while here, are indefatigable in their
efforts to personally meet as many manufacturers as pos-
sible and tell them of conditions in their land while learning
the manufacturer's point of view here.
By the trade commissioner service, the government has
done its share in providing a practical channel by which
the Canadian manufacturer may seek foreign markets. How-
ever, as previously pointed out, the commissioners are not
sales agents and only provide an important step on the way
towards getting into the export field.
Through Advertising
Several Canadian manufacturers are firm believers in
the merits of introducing their lines abroad by advertising
in export and foreign publications referring buyers to the
export manager at the company's head office. No one doubts
the merits of well placed and strongly worded advertise-
ments. It is not the purpose of this article to suggest the
names of suitable publications. Newly appointed export
managers Qan best find out by consulting the advertising
managers of the bigger exporting manufacturers or by tak-
ing the confidential advice of Ihe trade commissioners.
The merits of this plan of seeking foreign fields is that
it brings the buyer directly in touch with the export manager.
The demerits are that it is a costly experiment and some-
what cold blooded inasmuch as it eliminates the personal
equation and the benefits of salesmen's visits. However,
such advertising in conjunction with the personal efforts
of foreign branches or agents is excellent.
Through Export Commission Houses
Most merchandising problems are met as they come up.
In the days of Queen Elizabeth, the English manufacturer
sought foreign markets for his goods through the medium
of trading and commission house? which owned or chartered
ships. This system proved satisfactory and the export com-
mission houses extended their branches and foreign connec-
tions to provide the maximum trade channel required by the
manufacturer. As time went on the foreign sales and the
work of ocean carriage became separated and has continued
so.
In the United States, export commission houses are very
numerous. The head offices are found principally in New
York but their branches and connections extend around the
globe. In Canada, the principle is newer as our real export
work is in its infancy. Nevertheless the medium is a well
established one even here and offers the Canadian manu-
facturer yet another channel for seeking foreign markets.
It is probable that no two export commission houses
operate on the same basis— certainly not on the same per-
centage of remuneration for all commodities. But they are
all ready to push the export sales of a nianufactuier at a
minimum of expense to the latter and it may be assumed
that the foreign branches and associate offices will do their
best to find local markets in their respective countries for
any Canadian commodity which can be submitted to them in
good shape. These foreign offices are familiar with the com-
petition or will soon find it out by trial. It may be argued
that one house cannot sell leather goods, foodstuffs and
pianos to advantage but the big commission and trading
companies have proved that they have done so for many
years by the simple expedient of operating different depart-
ments.
The benefit to the maaufacturer in utilizing the services
of an export commission house is that he concentrates his
efforts with one Canadian office and ceases to wori'y over the
technicalities of foreign trade and embarrassments of
foreign language. Their branch houses and foreign as-
sociates become his agents— as long as they "make good."
The demerits of this system is that there is no way of
closely checking up the export commission house agents to
see if they are making a maximum effort, but this is diffi-
cult with any agents abroad, even those appointed by the
personal visits of the export manager.
UNION OF ALBERTA MUNICIPALITIES
Assessment and Taxation Discussed by President Marshall —
Mayor Hardie, of Lethbridge, Favors Western Union
THE 16th annual convention of the Union of Alberta Muni-
cipalities was held in Lethbridge, Alta., November 9-
11. The president. Mayor Marshall, of Calgary, laid em-
phasis on two points. Of the two, an appeal for greater
latitude in taxation matters, or in the now famous remark
of Mayor Hardie, "More Home Rule for Cities," was the
more important. The second was that a travelling secretary
be appointed to visit the various municipalities, give any
assistance necessary, and keep the organization alive gen-
erally.
There was nothing more important in the mind of Mayor
Mar-shall than the question of assessment and taxation. The
municipalities were about to come into possession of a vast
amount of property by reason of the operation of the Tax
Recovery Act, and he hoped that this point would be con-
sidered at some length by the convention. A broadening of
the powers of taxation was necessary, said the president.
The municipalities at present were more or less hemmed in
by provincial legislation, and in their efforts to remedy this
they had been none too successful in getting the sympathetic
ear of the government, who were likewise confronted by the
problem of financing.
A. J. H. Donahue, of Edmonton, president of the Alberta
Association of Municipal Districts, urged that a committee
be appointed to deal with problems of a common interest
such as public health, taxation, etc. Their municipalities
had "fallen heir to miles and miles of subdivisions" which
they wanted to see thrown back to acreage. In this problem
they asked for co-operation from the Union of Alberta Muni-
cipalities in meeting this important question.
More Freedom for Cities
Mayor Hardie read a paper on "City Home Rule," which
strongly urged broader powers for the cities. "We must
have a wider range of taxation," he said. In his paper Mayor
Hardie pointed out that the annual levy for the budget in all
the cities of Alberta is becoming a very serious and heavy
burden on the ratepayers, because of the fact that the live
tax roll is gradually narrowing down to a smaller number
each year by reason of vacant lots falling to the city, and
from year to year, unless some fillip of increase in population
which will build homes, the reduction of the live tax roll will
be accelerated because more vacant lots will come to the
city due to the increased rate caused by the lormer delin-
quencies or relinquishment of vacant lots. To meet this
grave state of affairs now hanging over the heads of every
city in the province, Mayor Hardie believed the government
should immediately grant the cities the right of home rule
November 19, 1920
THE MONETARY TIMES
21
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THE MONETARY TIMES
Volume 65.
in civic matters, enabling them to levy taxes as the councils
of the various municipalities may see fit.
That, though he felt there was the need, perhaps, of a
uniform city charter in Alberta, he was opposed to the crea-
tion of independent cities cut off entirely from a government
check, was the opinion of Hon. C. R. Mitchell, in an address.
He told the convention, however, that so long as he occupied
the responsible position of minister of municipal affairs, the
cities and towns would receive an attentive and sympathetic
hearing. Mr. Mitchell referied first to the question of in-
creased powers for the cities. He did not believe they ought
to be given the right to impose taxes at will and to please
their fancy, and there must be some uniformity, he said,
for it is not .sound business to allow cities to become abso-
lutely independent and cut off from all government restric-
tion.
If the province controlled her natui-al resources and re-
ceived the money accruing from them, then they would be
in a better position to discuss the retention by the cities of
certain channels of taxation which are now controlled by
the province. The natural resources belonged to the pro-
vinces of the west and the government would welcome any
support that the municipalities might render in praying the
federal government to transfer them. "Alberta, notwith-
standing the fact that she does not control her resources,
does more for her municipalities than any other province in
Canada, except Saskatchewan," averred the minister. The
stumbling blocks to the bringing into force of a satisfactory
standardized city charter, as he viewed the situation, were
two in number, fir.st, the different methods of government,
and second, the dilferent forms of taxation.
Rental Tax Discussed
Medicine Hat's rental tax, though strongly criticized by
most of the delegates, was upheld by Mayor Brown and City
Assessor Simpson. The latter summarized its merits as
follows : —
(1) Its equitability, for the reason that householders
are taxed in proportion to their ability to pay. For example,
a person who can afford to rent a house at $30 per month,
pays a tax of $5 per month, while the working man living
in a house at $15 per month pays $1.50 a month.
(2) It is imposed on all occupants of houses, owners
and tenants alike.
(•■?) It includes a certain class of people which does
not pay direct taxes any other way excepting indirectly
through the landlord.
(4) It is inexpensively and easily collected, there is
practically no loss, and a substantial amount is received
monthly into the coffers of the city. It was shown in the
paper that the revenue derived from this source averaged
about $4,G00 a month, and that to the end of October of this
year 87 per cent, of the levy made to that date has been
collected.
Commissioner Sann's, of Calgary, spoke on "Treatment
of Vacant Land Taken in by Cities and Municipalities," and
maintained that the financing of cities, particularly new
eastern cities, is very largely a question of geography. By
means of a diagram he showed that public works and public
utilities had been scattered over altogether too miich of Cal-
gary's 40 square miles, that they cost $700,000 per square
mile to construct and $70,000 per square mile to operate and
maintain. Therefore, he argued, no more square miles should
be financed than the actual requirements of population de-
manded. He said that the city should refuse to sell the lands
on the outer areas but rather should handle them on per-
petual lease. The cities could thus control their own town
planning and development, instead of being controlled by
private speculators.
Commissioner Meech, of Lethbridge, spoke of "Some
Factors in the Origin and Life and Growth of Towns and
Cities and Their Effect on Values." He said in part.: "As
taxation is one of the items that property has to carry,
economical government is an asset. And over expenditures,
with its attendant annual charge and upkeep, affect property
values. The result of expenditures of this kind, particularly
during periods of depression, results in owners giving up
their properties at tax sales and leaving their burden to be
borne by those w-ho still retain ownership. The remedies for
such conditions would appear to lie in widening the basis of
taxation to offer a relief in the matter of taxation on real
estate or insufficient growth in population to take care of the
debt."
Resolutions Passed
A resolution was passed asking the government to con-
sider the question of municipal taxation. The resolution
read : —
"That this convention instruct the president-elect of the
Union of Alberta Municipalities for 1921 to appoint a special
committee of five with instructions to lay before the govern-
ment of the province of Alberta the importance of some new
act governing the municipalities of the larger size (cities
in general), and that this committee impress upon the
government the gravity of conditions which we as a con-
vention see confronting such municipalities, and that in our
opinion the government would be well-advised and we re-
quest our committee to request that a commission be
authorized and appointed by the government at the next
session of the legislature to study and recommend what
policy shall be pursued and what acts or amendments to
existing acts shall be introduced to deal with this whole
subject, the idea of the commission to gather such infoi'ma-
tion from such sources as the legislature or the government
would consider advisable."
Other resolutions were: —
That there be increased grants to hospitals and training
schools for nurses.
That the city council petition the provincial government
to assume full responsibility of financing the hospitals in the
province by placing a mill rate levy against all of the assess-
able land in the province, both city and countr>% and that
such hospitals be made free to all its residents. Patients
from other provinces to be accepted only upon such provinces
undertaking to bear the full cost of caring for such patients.
That the present school grant from the pro\'incial gov-
ernment is totally inadequate, and that it be doubled.
That the provincial government be petitioned to the
effect that each city and town be allowed 50 per cent, of the
revenue at present derived from licenses from automobiles.
That 50 per cent, of the police court fines now paid to
the government be retained by the municipalities.
That legislation be introduced to make compulsory for
a tax certificate to be filed with the registrar in order to
secure a registration of a transfer.
Endorsing the various irrigation pi-ojects in the province.
Endorsing the suggestion that the four western pro-
vinces of Canada organize a Western Canada Union of Muni-
cipalities, and the incoming executive be authorized to initiate
negotiations with the Unions of Municipalities of Manitoba,
Saskatchewan and British Columbia, and take the necessarj-
steps that will tend to bring about such an affiliation.
.Vsking for an investigation of other systems of taxa-
tion and sources of revenue.
Officers Elected
Calgary was selected as the meeting place next year.
The election of officers resulted as follows: —
Hon. president, Mayor Marshall, Calgary; president,
Commissioner M. Freeman, Lethbridge; first vice-president,
Dr. Chrystal, M.I)., Carstairs; second vice-president. Mayor
J. W. Clarke, Edmonton; secretary-treasurer, J. D. Saunders,
Camrose (re-elected).
Legislative committee, Com. Freeman, ' Sec. Saunders,
Mayor Hardie (Lethbridge), Alderman Abbott (Edmonton),
Secretary Carnegie (Bassano).
Executive committee. Com. Freeman, Secretary Saunders,
Aid. Adams (Calgary), Aid. Rice Shepard (Edmonton). Sec-
retary Wm. Robertson (Nanton), Secretary Fulton (Halkirk),
Secretary Dunn (Beverley), Secretary Brown (Macleod), and
Coun. Campbell (Viking).
November 19, 1920
THE MONETARY T I :\I E S
23
INTEREST
RETURN
INVEST YOUR SAVINGS
in a 55^% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital $2,412,578.81
Reserves 964,459.39
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Celgary,
Edmonton, Vancouver, Victoria ; Edinlmrgh,
Scotland.
SPECIAL SAVINGS ACCOUNTS
Perhaps you are thinking of opening a special account of some kind
and are a little uncertain as to how to go about it. If so, consult us and
we will gladly help you to solve your problem.
Our complete facilities and experience of over sixty-five years in dealiiig
with all classes of deposit accounts enable us to offer a service that will
meet your requirements no matter what they may be. We take special
care to see that Joint Accounts and Trust Accounts of all descriptions
are properly opened.
Treasurers of Church funds and funds of Fraternal Societies and vari-
ous other organizations find this is a most convenient depository.
Full checking privileges allowed and interest at
THREE AND ONE-HALF
per cent per annum paid and compounded half-yearly.
Canada Permanent Mortgage Corporation
TORONTO STREET
TORONTO
Assets Over Thirty-three Millior
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
Masonic Temple Building, London. Canada
Interest at 4 per cent, payable half-}»early on Debentures
T. H PURDOM.K.C, President NATHANIEL MILLS. Manager
London and Canadian Loan and Agency Co., Limited
Established 1873 51 VO.VOE ST.. TOKOXTO
Paid-up Capital, Sl.230.000 Rest. $950,000 Total Assets, ?5,08S,872
nebeiitures issued, one hundreJ dollars and upwards, one to five years-
Best current rates. Interest payable half-yearly. These Debentures are an
Authorized Trustee Investment. Mortgage Loans made in Ontario, Mani-
toba and Saskatchewan.
WILLIAM WEDD, Secretary V. B. WADSWORTH. Manager
THE
Ontario Loan
& Debenture Co.
LONDON Incorporated 1870
CAPITAL AND Undivided Profits
Canada
$3,900,000
5^1
SHORT TERM (3 TO 5 YEARS)
DEBENTURES
YIELD INVESTORS
5^1
JOHN MoCLARY. President
A. M. SMART. Manager
(^VER 200 Corporations,
^^^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Office. No. 13 Toronto Street
Capital Account. .Wii.S.W.OO Reserve Fund. $670,000.00
Total Assets. S3.«49,IM.S6
President, WhLLINGTON FRANCIS. Esq., KG.
VicePresident, HERBERT LANGLOIS. Esq.
Debentures issued to pay 5%. a Legal Investment for Trust Funds.
Deposits received at 4% interest, withdrawable by cheque.
Loans made on improved Real Estate on favorable terms.
WALTER GILLESPIE. Manager
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
Particulars on application.
The Canada Standard Loan Company
520 Mclntyre Block, Winnipeg
ACCOUrST BOOKS
Loose leaf Ledgers
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS umited
Simcoe and Pearl Streets
TORONTO
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
WMtcrn MunlclpnI. School and Sa«h!it<-lirwaii Itiirul Tele.
plKtiie to. ilrlH-nlnrrH siirciallzod In.
Correspondence invilctl
GRAINGER BUILDING - - SASKATOON
F. S. RATLIFF & CO.
FARM LANDS— FARM LOANS
STOCKS AND BONDS
Medicine Hat Alberta
24
THE MONETARY TIMES
Volume 65.
BUILDLNG PERMITS AGAIN DECLINE IN SEPTEMBER
As Compared with a Year Ago, Total Shows Big Falling
Off — Ontario Registered the Largest Decrease
DOMINION DEBT REDUCED TWO MILLIONS
October Financial Statement Indicates Healthy Condition-
Revenues Continue to Expand
BUILDING pemiits issued in fifty-six cities showed a de-
cline during September as compared with the preceding
month, the total value of building permits falling from
$9,439,807 in August to $8,921,374 in September, a decrease
of $518,433, or i>S> per cent. Prince Edward Island, Nova
Scotia, Quebec, Alberta and British Columbia registered
increases in this comparison, while in New Brunswick, On-
tario, Manitoba and Saskatchewan there were reductions,
that of $639,635 in the last-named being the most pronounced.
As compared with the figures for the con-esponding
month in 1919, there was a decrease of $4,382,458. or almost
33 per cent, in the permits issued, the value for September,
1919, having been $13,303,832. The following arc the details
as prepared by the Department of Labor: —
A DECREASE of more than $2,500,000 in the net debt of
the Dominion in October, as compared with an increase
of $22,000,000 in September and $43,238,000 in October a
year ago, would seem to indicate that the country's finances
are in a healthy condition. Revenue continues to expand
largely, although the October total was about $500,000 below
the previous month. Ordinary revenue also showed an in-
crease of more than $10,000,000 for the month, but, as com-
pared with a year ago, a decline of a similar amount is
recorded. Expenditure on capital account is being rapidly
reduced.
The following are fehe details as submitted by the
Finance Department: —
DKPARTMENT
OP LABOUR
PIGUKES
Nova Scotia
•Halifax
New Glasgow.
*Sydney
lew Brunswick..
Frcdericton . . . .
*.VIoncton ....
•St. John
QUBBBC
•Montreal \
Maisonneuve... / '
•Quebec
.ShawiniBan Falls.
•Sherbrooke
•Three Rivers
* Westmount
Belleville
•Brantford
Chatham
'Fort William.
Gait
•Guclph.
lilton
•Kingston
•Kitchener
•London
Niagara Palls..
Oshawa
•Ottawa
Owen Sound . ..
•Peterborough..
•Port Arthur
•Stratford
•St. Catharines.
•St. Thomas
Sar
ult Ste. .Marie..
• Toronto
Wclland
•Windsor
Woodstock
Saskatchewan .
•Moose Jaw —
•Regina
•Saskatoon
Alsbrta
•Calgary
•Edmonton
Lcthbrldgc....
.Medicine Hat.
Britii
Nar
•N.
CoLunaiA..
laimo.
AVest
nstcr.
Point r.rcy
Prince Rupert.. .
South \'Hncouvcr. .
Vancouver
Victoria
Total— 5G cities.
•Total— X"; cities
3.500
3.500
425.995 1 199.450
380,370 I gO.OSO
11.300
45.625 108.070
293.800 172 415
15,000 12,80(1
256.600 50.915
22,200 108,700
PUBLIC DEBT
1.768,536
1.336,350
150,631
1,000
123„500
47.800
109,255
4,5,15,239
10,300
78,305
49.630
69,300
24.080
161.388
414.995
22,331
47,025
236,040
24,7,50
30,000
284,157
41,000
9,875
38,659
31.040
156,896
101,095
104,454
45,900
2,2I«.1I6
32,705
272,125
33,053
640.025
58,700
85,275
496,050
84I,39S
36,875
647,220
157,300
180.146
100.200
6)1,711
5.885
5.3.50
751.171
29.594
13,550
238,270
34,535
100.169
308,227
26,826
2.404.3S0
1 ,3.50,740
174,290
12,800
688.60(1
.';n.7S0
119,200
4,305,09.^
6..5O0
50,275
27.790
10.025
63,850
35,585
328,400
6,970
71,925
273.175
:142.40U
.i2,400
312.255
Nil
20,685
21,396
42,705
,58.656
27.735
,55.180
58.925
2,180.000
19,600
373,530
65.131
201,760
32,160
141.100
28„S0(I
878,685
802,690
4,475
71,520
138,540
2.'),500
1 13,040
2,089.276
1 .050.976
282.565
14.,50O
240,000
103,710
8,2,S8,772
14.800
2,S7.665
54.515
2:i,2.i0
23.846
116.460
1,461,035
43,745
.192.702
149,210
201,497
223.S0O
488.665
6,500
11.805
1,028,500
122,808
253,886
42,715
62„566
:i.S5,5!)0
2.390.242
14,2.'iO
444,965
13,795
675,690
26.615
24,625
624,450
595.970
78.600
224.875
i92.4a5
139,815
83. ,'00
29.025
26.840
778.7.W
!9.2iyi .
19,700
242,345 .
7.030
56,800
379,266
.54,3.50
l.SO
14.0(XI
ISS.S.VS
.54.770
18,865
203,677
!>«,767
m439,807| 8.921,374j 13,30.3.8,12
8,525.337' 7,943 18:1 11,99.'!,B83
Liabilities
Funded Debt —
Payable in Canada
do in London
do in New York
Temporary Loans .
Bank Circulation Redemption Fund
Dominion Notes
Savings Banks—
Post Office Savings Banks
Dominion Government Savings Banks
Trust Funds
Province Accounts
Miscellaneous and Banking Accounts . -.
Total Gross Debt.
Investments—
Sinking Funds
1919 1920
$348,880,691,56 j^476,854,108 51
225,298,969 03 312,536,264 96
123,581,722 53 164,317,843 55
Province Accounts
Misc. S Bkg. Accts
Less Non-active
847,989,706 32
: Assets
.581.894,682 82
1507,744,852 98
336,001 ,469 72
135,873,000 00
6.57,188,731 63
5,959,083 15
295.489,844 42
35,282,913 44
11,415,957 25
12,187,906 31
11,920,481 20
45,294.034 28
3054,358,274 38
2062.919.864 22
336.001,469 72
135,873,000 00
98.576,333 33
6.311.522 76
298,436.999 67
30,269.218 89
9.79S.768 37
13.3,57.438 27
11.920,481 20
42,043,765 17
3045,508,861 60
123,581,722 53 164.317,843 55
2.296,327 90 I 2,296,327 90
847,989,706 32 1 581,894,682 82
993,552,570 20
771,627.054 98
Rev. and Exp. on Acc.
OP Consolidated Fn.
Month of
Oct.. 1919
Total to 31st
Oct., 1919
Month of
Oct.. 1920
Total to3Ist
Oct., 1920
Revenue —
S cts.
14.1:17,283 17
3.609.100 48
1,600.000 00
2,937,719 33
1,045.708 17
1,90.1.682 19
272,691 03
92.948 68
1.724.101 59
5 cts,
89,512,731 13
23,775,512 18
11.000.000 00
23,617,037 68
8.110.947 19
17,787,975 21
1.946,419,58
.587.568 30
10.070,602 97
S cts.
14,011,645 14
3,1,53,435 43
1 ,800,000 00
4,624,212 57
9.,534,178 31
1,700,241 36
712,093 34
20,830 83
1.114.419 32
8 cts
112,825,420 75
Post Office
Pbc. Wks..Rys.&Cs.
War Tax Revenue-
Inland Revenue. ...
Business Profit Tax
Income Tax
Other War Tax Rev.
All Other Revenue.
12,100.00000
26,618,319 75
38,985,991 31
16,889,720 40
7.297,51211
574,961 29
18,881,198 64
Total
27,:V23,23^ 64
186,408,794 24
36.671,056 30
256,576,967 76
EXPENI.ITURE—
Int,on Public Debt..
.5,728,597 68
50,467,206 56
4,703,265 31
403,425 27
4,091,265 88
K91,89'2 89
I,:i78.135 05
495,079 57
2.977,707 03
2.653 835 43
10.371.909 71
1 27.766,516 14
63,276.215 46
2,.578,179B1
15.986,399 58
3.787.475 86
9,698,71 1 88L
2,290,745 08
10,806,874 27
18,94,1.911 18
.53.(I2(1.-I00 16
Pensions
Pub. Wks. Con. Fund
Post Office
Dom. Lands & Parks
Soldiers Ld.Scttlm't
■ Civil Re-Estab.
AllotherExpenditurc
2,063,708 68 10.723,075 81
8:t5,|6S70 3,690.844 36
1.277.4(;4 05 9.662.041 49
363,684 21 1 1,694.830 29
5,182,048 641 18,645,679 31
5,!),59,882 77i 14.176,862 00
14.945,751821 47,623,2.52 51
Total
:t6,326.7g8 94! 159.049.406 51
180,390,913 28
Expenditure on Cap-
ital Account. Etc,
721,266 55
3,087,228 62
War
22,345,484 63
5,579,096 28
206.085,707 42
24.034.279 .55
44,061 91
Public Works, includ'g
Railways and Canals
13,997,054 SO
Total
27,924,580 91
230,164.048 88
3.808.495 17
21,80i,572 63
The
passed through
month.
ibove statement represents only the receipts and payments which have
trough the Books of the Finance Department up to the last day of the
November 19, 1920 THEMONETARYTIMES 25
^IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIMIIIIIIIIIIIIIIIIItlllllllllllllllllllllllllllllllllllllllllMIIIIIIIIIIIIIIIIIIIMIIIIIIIIM
I CHARTERED ACCOUNTANTS \
nillllllllllllllMIIIMIIIIIIIIIIIIIIIIMIIIIIMMMIIIIIIIIIIIItlMIIIIIIIIIIIIIIIMIIIMIIIIIIIIIIIIIIMUIIIIIIMMMIirilllllllllllllllMIIMIIIIMnillllllllllllMIIIIlR
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OFFICES AT
Edmonton - - Alberta
Toronto - ■ Ont.
CHARLES D. CORBOULD
Chartered Accoantant and Auditor
ONTARIO AND MANITOBA
649 Somerset Block. ^Vinnipeg
Correspondents at Toronto, London, Eng.,
Va:
Established 1882
W. A. Henderson & Co.
Chartered Accountants
508-509 Electric Railway Chambers
Winnipeg, Man.
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Specialist on Taxation Problems
Bank of Toronto Chambers
LONDON - ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 ConfederatioB Life Building
Winnipeg
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:-
HAMILTON
WINNIPEG
CLEVELAND
Hubert Reade & Company
Chartered Acconntants
Auditors, Etc.
407-408 MONTREAL TRUST BUILDING
WINNIPEG
SERVICE
Thorne, Mulholland, Howson & McPherson
CHARTERED ACCOUNTANTS
Factorv Costs
ND Prodcction
«^ft^^°B'idg. TORONTO
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRIGGS & CO.
Cluirtered Accountatits. Auditors.
Trustees. LjQiitdators
Winnipeg, Toronto, Saskatoon, Moose Jaw,
Montreal, New York, London, Eng.
GEO.
0. MERSON & COMPANY
CHARTERED
ACCOUNTANTS
Telepho
le Main 7014
LUMSDEN BUILDING
TORONTO, CANADA
F.CS.TURNER&CO.
Chartered Accountants
TRUST & LOAN BUILDING, WINNIPEG
CLARKSON, GORDON & DILWORTH
Chartered Accountants. Trustees,
Receivers. Liquidators
Merchants Bank Bide.. 15 Wellington StreetlWest ToronI
E. R. C Clarkson „ , .,. ,„i,o<;, G. T. Clarks
H. D. Lockhart Gordon Established Ihbl r. j. Q.iwor
R Williamson. C,A
J^ J. WalUer. C A.
RUTHERFORD WILLIAMSON
D. Wallace. C.A.
A. ShiachC.A.
& CO.
Chartered Accoiinttmts. Trustees and
Liquidators
86 Adelaide Street East, TORONTO
604 McGlLL Building, .MONTREAL
Cable Address-"' WILLCO."
Represented at Halifax, St. John. Winnipeg,
P.
M. LIDDELL & COMPANY
Investment Bankers. Fiscal Agents
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
Northern Securities, Limited
ESTABLISHHI) 19(16
GENERAL FINANCIAL BROKER
Confidential Advice on British Columbia Invettmentj
Member of Mortgage and Trust Companies Association of British Columbia
529 Pender Street W. VANCOUVER, B.C.
B. GEORGE HANSULD. J. P.. Manager
THE
MONETARY TIMES
JIUISUICTION ON INCOME TAX CASES
Countv JudKo Holds that Local Magistrate Has No Power to
Fine for False Returns— Act Specifies Exchequer Court
T N the Carleton County Court at Ottawa on November 14,
1 Judge Gunn decided that no justice of the peace or
mafi'istrate has jurisdiction to try cases where false Do-
minion income tax returns are alleged. The case was an
appeal brought by Dr. Gordon Booth against a conviction
registered against him last October in the police court,
whereby he was found guilty of having made false income
tax returns to the Dominion Income Tax Department for
the years 1917, 1918 and 1919, and was condemned to pay
$3,000.
Penalties are Heavy
The judgment concludes as follows: "I am opposed to
the conviction made in support of this conviction that
the War Income Tax Act imposing, as it does,
the making of returns extending in number to
hundreds of thousands, makes it lawful for the minister of
finance of any authorized ollicial of that department to lay
a complaint against any or all of those returns contain-
ing a false statement of the income of any taxpayer and
subjects him to the judgment of any magistrate or justice
of the peace to determine his liability for $10,000 or six
months' imprisonment, or both, in such a decision, until I
hear it clearly stated so in that act, and as it stands, par-
liament having given expressly all jurisdiction to the Ex-
chequer Court, I do Yiot appreciate the attempt here made
to institute proceedings before a provincial authority of in-
ferior jurisdiction, as it means and leads to far-reaching
convictions not reasonably within the consideration.
"There have been so many annual amendments to the
income act that any returns made in 1917 and 1918, no mat-
ter how correct then, could be false now as 'income' was by
these amendments given an extended meaning, and the de-
fendant might well say truthfully that the returns of 1917
and 1918 are not correct— but false— and still be guiltless
of the penalty. In any case I am clearly of the opinion J;hat
th« injection of the words 'on summai-y conviction' in sub-
section 2 of section 9 does not clearly and expressly confer
jurisdiction on any magistrate or justice of the peace to
convict any person of any penalty laid by the Income War
Tax Act.
"In any event, if I am in error in holding that the
deputy police magistrate had no jurisdiction to hear and
determine the information and complaint. I am, as judge of
the fact and law, of opinion that the information and con-
viction contains no ground for complaint against the Income
War Tax Act."
WUIT .\(;.\INST oriAWA SEPAK.\TK SCHOOLS
Acting on behalf of the Bank of Nova Scotia, Chas. S.
Smith, manager of the Wellington Street branch in Ottawa,
has made an application to the courts for leave to issue a
writ of execution of a judgment obtained in the Supreme
Court of Ontario on October '24th, 1018, by the Bank of
Ottawa, whereby it was entitled to recover from the board
of trustees of the Separate School of Ottawa the sum of
$77,800. The Bank of Nova Scotia seeks to recover the
amount of the judgment, together with costs, and the interest
which has accrued since the date of its promulgation, pointing
out that its right to do so is vested in the agreement reached
on April :iOth, 1919, whereby the Bank of Ottawa sold and
transferred all its assets to the Bank of Nova Scotia.
The judgment obtained by the Bank of Ottawa in 1918
followed the dismissal of the appeal taken to the Privy
Council by the Separate School Board against an adverse
judgment rendered by the school, whereby the School Board
was debarred from recovering from the Quebec Bank. Bank
of Ottawa and the ex-meifibers of the Government School
Commission a sum aggregating $170,000, consisting of the
sinking fund of the schools, amounting to $42,000, sii.'.ed by
the Bank of Ottawa; $80,000 held by the Quebec Bank, and
moneys spent by the School Commission.
SUIT FOR $400,000 AGAINST BANKS
George A. Carpenter, of Wolfeboro, N.H., in a bill filed
in a Boston court against the Merchants National Bank and
the Beacon Trust Company, seeks to have the banks re-
strained from demanding payment on two notes for $200,000
each, or from disposing of the mortgage given to secure
them or the mortgage notes. An order of notice, returnable
November 11th, was issued. Carpenter's contentions follow:—
On April 7th, 1914, he borrowed $400,000 of the banks
on their own order, giving a note payable in seven years,
with interest at 4V2 per cent. Each bank loaned half the
amount. He gave a note, secured by a mortgage on real
estate at Washington and Winter Streets. Both note and
mortgage were given to Arthur B. Nash, of Weymouth, an
employee of the Beacon Trust Company, as nominee of both
banks. When the loan was made he also made out two notes
for $200,000 each, he alleges, one to each bank, but without
consideration, and merely as accommodation and for the
convenience of the banks to enable the latter to participate
equally in the security.
It was agreed, he alleges, that the notes were not to be
regarded as independent obligations, but merely as evidence
of the share of each bank in the loan. The notes to the banks
were made payable October 7th, 1914, and were renewed from
time to time, and since 1916 have taken the form of demand
notes. Plaintiff alleges he has paid $150,000 on the principal
debt and interest, and is able to meet the balance. He says
that because he refused to pay a higher rate of interest than
that stipulated in the note for $400,000, the banks, acting
in concert, have wrongfully demanded payment on each
$200,000 note, and suit has been threatened.
SUPREME COURT NOW HEARING APPEALS
The Supreme Court of Canada is now sitting on several
important cases on appeal from provincial courts. On Oc-
tober 14th judgment was reserved in the British Columbia
appeal of the Corporation of the District of Surrey vs. Caine.
The next ease heard was the Standard Bank vs. McCrossan,
another case from the Court of Appeal of British Columbia.
The action was one brought by the bank upon a guarantee
in the usual bank form agreed to by the defendant to an
amount of $.5,000. McCrossan stated that he signed the guar-
antee subject to the condition that it could not be used unless
and until certain other notes had firsit been paid, which had
not taken place. Judgment by the British Columbia Court
of Appeal was in McCIrossan's favor and the bank is now
appealing.
BIG STEEL SUIT NOW BEFORE COURT
Three million dollars is at stake in a case just brought
before the Exchequer Court in Ottawa. Because Hon. J. D.
Reid, Minister of Railways, directed the Dominion Iron and
Steel Co. to divert its organization from the making of shell
steel to the manufacture of steel rails, the company demands
that under the compensatory clause of the War Measui'e Act
it shall have made good to it the additional profits it would
have made on shell steel but for Dr. Reid's order. The
order-in-council through which Dr. Reid made his order ef-
fective stated that the minister would himself set the price
later after finding out the cost of production. The price
s^et later was $65 a ton, and the dispute is whether the
ordcr-in-council or the compensatory clause of the War
Measure Act governs.
COB.\LT ORE SHIPMENTS
The following are the shipments of ore, in pounds, from
Cobalt Station for the week ended November 12th: —
Nipissing Mine, 67,238; Beaver Mine, 60,000; McKinley-
DaiTagh, 85,690; Coniagas, 168,977. Total, 382,011. The total
since January 1st is 24,252,706 pounds, or 12,126.3 tons.
November 19, 1920
THE MONETARY TIMES
'illlMIIIIIIIIIMMnillllllllinilllllMtlllllllllllllllllllllllllllllllllllllllllllllllllMMMMnillllllllllMlllllllllllllllllllllllllllllllllllllllllllllllllin
I REPRESENTATIVE LEGAL FIRMS l
?iiiiiiiiiiiiiiiiiiiiniiiiiiiiiMiiiiiiiiiiniiiiiiiiiaiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiu
BRANDON
J. p. Kilgour, K.C.
G. H- Foste
H. McQue
KILGOUR, FOSTER & McQUEEN
Barriitert, Solicitors, Etc., Brandon, Man.
Solicitors for the Bank of Montreal The
Royal Bank of Canada Hamiltoo Provident
and Loan Society- North American Life
Assurance Company-
LETHBRIDGE, Alta.
Conybeare, Giurch & Davidson
Barristers. Solicitors. Etc.
Solicitors for Bank of Montreal, The Trust
and Loan Co of Canada. British Canadian
Trustee-. &c., »c.
C- F. P- Conybeare. K.C H W. Church. M.A.
R- R- Davidson. LL.B.
Lethbridge - - Alta.
PRINCE ALBERT
COLIN E. BAKER, B.A.
Solicitor for the City of Prince Albert
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal Bldg.
CALGARY - . - ALTA.
W. P.W.Lent Alex. B .\Iackay, .MA.. LL.B.
H. D. Mann. .MA, LL.B.
LENT, MACKAY & MANN
Barrigt«r8, fiollcltors. Xotarles, £!«.
305 Grain Exchange BldR . Calgary, Alberta
Cable Address, '^Lenjo," Western UnionCode
Solicitors for The Standard Bank of Ciinada,
The Northern Trusts Co. Associated Mort-
caee Investors- Ac.
Hon. Sir James Lougheed. K.C. K.C.M.G..
R. B- Bennett, K.C. J- C- Brokovski, K.C
A. M. Sinclair, K.C. D, L. Redman. H. E.
Forster. P. D, .McAlpine. O. H. E. .Might. L.
M, Roberts. ''Cable Address '"Loughnett")
LOUGHEED, BENNETT & CO.
Barristers. Solicitors. Etc,
Clarence Block, 122 Elighth Avenue West
CALGARY. ALBERTA. CANADA
C, A. Wright, B.C.L.
WRIGHT &WRIGHT
Barristers, Solicitors, :\'otaries. Etc.
Stiite lO-lS Alberta Block
CALXSARY, ALBERTA
EDMONTON
Hon. A.C. Rutherford. K.C-.LL-D.
F. C Jamieson. K C- Chas H. Grant
S. H. McCuaig Cecil Rutherford
RUTHERFORD, JAMIESON
& GRANT
Barristers, Solicitors, Etc.
514-18 McLeod Bldf. Edmonton, Alberta
JOHNSTONE & RITCHIE
Barristers, Solicitors, Notaries
LETHBRIDGE - Alberta
REGINA
MEDICINE HAT
G- F. H. Loso. LL.B. J. \V. Sleight, B.A
LONG & SLEIGHT
Barristers, etc.
MEDICINE HAT and BROOKS, Alta.
MOOSE JAW
William Grayson. K-C T. J- Emerson
Lester .McTaggart
Grayson, Emerson & McTaggart
Barristers. Etc.
Moose Jaw - Saskatchewan
NEW WESTMINSTER
JOHN W. DIXIE
Barrister and Solicitor
405 Westminster Trust Building
NEW WESTMINSTER, B.C.
NEW YORK
NEAV YORK
WILLIAM BRUCE ELLISON
Called toOntario Bar 188U. New York Bar 1R82
EU-LISON. ELLISON & ERASER
mr, itroadnay. New Vork
ELLISON. GOLDSMITH & ALLEN
•J.il We«t KMth SI.. Xew Vork
A- L Gordon. K C
H. E. Keown
Gordon, Gordon, Keown
and Collins
Barristers, Solicitors, &c.
Aldon Building, REGINA, Sask.
Solicitors for Imperial Bank of Canada
SASKATOON
DURIE Sf WAKELING
Barristers and Sollrltors
Solicitors for the Bank of Hamilton. The
Great West Permanent Loan Co- The
Monarch Life Assurance Co-
Canaila Ballding SaNkatoon, Canada
Chas- G.Locke. Major J. Mc.^ughey.O.B.B.
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Building
SASKATOON • CANADA
VANCOUVER
iV. J. Bowser K C 1! L Rei.i K.C.
D. S- Wallhridee A- H. Douglas J G Gibson
BOWSER, REID, WALLBRIDGE
DOUGLAS & GIBSON
Barristers, Solicitors, Etc.
Solicitors for Bank of -Montreal (Bank of
British North America Branch)
Yorkibire Bailding, 525 SeymonrSt;. Vanconver, B.C.
VICTORIA
A. E. DU.NLOF E. H M- FOOT
(K.C. for Alberta) .Member of Manitoba
Member of Sova Sco- and British Columbia
tia. Alberta and Brit- Bars
ish Columbia Bars
DUNLOP & FOOT
Barristers. Solicitors
Notaries and CommiBsioners
612-613 Sayward Bldg.
Victoria. British Columbia, Canada
NIBLOCK & TULL, Limited
STOCK, BOND and GRAIN BROKERS
(Direct Private Wirel
Grain Elxchange
Calgary, Alta.
A. J. Pattison Jr. & Co.
.Members
Toronto Stock Exchange .Montreal Stock Exchange
Specialists Unlisted Securities
106 BAY STREET - • TORONTO
28
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
Textile Industry is not Depressed, State Authorities— Business is Brisk and the Out-
look is Bright— Woollen Mill to be Established in Alberta Next Spring— Some New
Developments in the Pulp and Paper Field— Plate Glass Manufactory for Hamilton
IN contrast to the situation in the bnited States, the textile
industry in Canada is in a highly satisfactory condition
and the outlook is equally bright, according to two authori-
ties, in an inters'iew in Montreal recently. Reports have
been current in some quarters, particularly in stock market
circles, to the effect that the cotton companies have for some
time past been receiving large cancellations of orders and
have been discharging many employees from the mills as the
result of the lack of demand for their products. These
rumors are emphatically denied. One of the officials re-
marked : —
"We are neither getting nor accepting cancellations and
all our mills are working to capacity. Several of them, in
fact, have been put on night shifts in order to catch up
with the business already booked, which is of sufficient
magnitude to keep us busy at top production for months
to come. Our travellers have just started out for the usual
spring business and, although it is yet too early to gauge
the demand for textile products for 1921 delivery, the out-
look is entirely satisfactory. Our new schedules went into
effect November 1 and are moderately under existing ones
and we are confident that the new prices will be well received
by the trade generally.
"As to discharging help in large numbers, there is ab-
solutely no truth in this. We have been able, however, to
cull out some of our inefficient workers, engaged during the
war period, when we were unable to pick and choose in this
respect, but these have been replaced by experienced hands.
Only recently, in fact, we brought out some eighty skilled
operators from the English cotton districts in order to
facilitate greater production at our mills and in the effort
to lower costs. There has been no reduction in the wages
paid our workers and there is no present indication that one
■will bo put into effect."
A statement made recently in The Monetary Times is
borne out by this remark. Depression of the textile indus-
try in Britain and New England is causing workers to look
for employment in this country, and some manufacturers
are only too willing to take them on, because of their high
qualifications.
Woollen Mill for Alberta
A syndicate of Scottish woollen manufacturers intends
installing an up-to-date woollen mill either in Calgary or
Edmonton in the spring of 1921, according to an announce-
ment made by John A. Collins, of Edmonton, last week.
Mr. Collins stated that he had just closed a deal whereby
the British syndicate have purchased the full equipment anil
machinery of the woollen mill at Midnapore. This mill at
Midnnpore has not been in operation for the last seven years.
The location of the now mills has not yet been <lefinitely
decided, but it will be installed in either Calgary or Ed-
monton. It will mean an investment of a considerable sum
of money, the exact amount Mr. Collins was not ready to
make public. At the present time there are no woollen
mills west of the great lakes.
Pulp and I'apcr
Several interesting announcements concerning the pulp
and paper industry in Canada have been made during the
past week. According to a dispatch from Cornwall. Ont., a
strong .American company operating at Buffalo, N.Y., Skow-
hegan. Mich., and Pennyan, N.Y., under the name of the
Niagara Wall Board Co., is establishing a branch of their
business in Cornwall. A new Canadian company, the name
of which will be the Cornwall Pulp and Paper Co.. is being
incorporated and the mill premises of Ross and Co. have
been leased with an option to purchase. E. E. Emigh, of
Richmond, Va., will be in charge at Cornwall, and is already
on the gi'ound. Arrangements are under way for water
supply from the canal through the Department of Railways,
and the street railway company have been asked to put in
a siding. The company manufactures groundwood and turns
out heavy paper specialties such as wall board, beaver board,
etc. The plans of the new enterprise contemplate continuous
operation with a staff of about thirty and an annual wage
roll of about fifty thousand dollars. As soon as the build-
ings can be put in shape and necessary equipment installed,
manufacturing operations will commence.
The Ontario govermnent has made an agreement with
the Spruce Falls Pulp and Paper Co., Kapuskasing, Ont,
whereby, in return for the power privileges of the falls,
the government will keep 900 acres of the land and will
build near Kapuskasing a model town, to be named Spruce
Falls, for the employees of the company. The government
will issue debentures for houses up" to $400,000 as under
the Housing Act.
A. C. Mclntyre, president of Clarke Bros., Ltd., Bear
River, N.S., has announced that his company has concluded
the purchase of the large building at Glenn Falls, N.S.,
formerly used by the Foi'd Motor Co., of Canada, and owned
by Hon. William Pugsley, Lieutenant-Governor of New
Brunswick. The building, which is one of the most modern
structures of its kind in Canada, with railway connection, is
to be used by the new owners for the manufacture of fibre
.''hipping cases. The pulp will be brought from the large
plant of the Clarke Bros. Paper Mills, Ltd., at
Bear River, across the Bay of Fundy, landed at this
port and tiiken to the Glenn Falls plant by motor ti-uck, and
there manufactured into paper board and boxes. The
machinery will be installed by January, and the manufac-
turing will be well under way by the 1st of May. Then 20
men and girls will be employed. In addition to this in-
dustry, the company is to build a paper mill at the Glenn
Falls site, for the manufacture of heavier grades of paper,
and this mill, the construction of which will be started in the
spring, will employ one hundred more hands.
The Northern Foundry & Machine Co.'s plant, Sault Ste.
Marie, Ont., is again busy on the manufacture of pulp mill
machinery. During the war they turned out shrapnel and
high explosive shells, and when the armistice was signed,
they helped to replace some of the shipping that was de-
stroyed by the enemy. Now that the shipping trade has
.•iomewhat subsided, they are making rapid strides on pulp
mill machinerj'. Before the war the chief activity was on
machines for mills in the vicinity, but now their sphere of
activity has been extended greatly.
Hamilton Plate Glass Manufactory
Negotiations have been completed for the establishment
of the plant of the Canadian Libby-Owen Sheet Glass Co.,
Ltd., at Hamilton, Ont. The new company is capitalized at
$1,600,000, and when the plant is completed between 200 and
300 skilled workers will be employed. The company will
manufacture plate glass by a process known as the Libbey-
Owcn. It is stated that there are only two other plants of
this kind in the world— the parent company in Charleston.
West Virginia, and a plant that has recently been opened in
Japan. The directors expect that if the Canadian market is
properly developed they will be enable to double their plant
within a short time. John W. Hobbs, of Toronto, will be the
managing director.
The Sarnia. Ont., flax mill employees have started a
new schedule of hours, working three hours' overtime each
day. This has been found necessary owing to the receipt
of a large order which will keep the plant busy until next
November 19, 1920
THE MONETARY TIMES
29
The Imperial
Guarantee and Accident
Insureunce Compeuiy
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident Insurance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - - - $200,000.06
Authorized Capital - - $1,000,00000
Subscribed Capital - - - $1,000,000 00
Government Deposits - - $111,000.00
LONDON
GUARANTEE AND
ACCIDENT COY., Limited
Head Office for Canada - Toronto
nployers' Liability, Elevator, Contract. Personal Accident. Fidelil
Guarantee. Internal Revenue. Sickness. Court Bonds,
Teams and Automobile.
AND FIRE INSURANCE
The Western Mutual Fire Insurance Co.
Head Office - Didsbury, Alberta
Presidtnt—H. B. ATKINS, M.L.A.
PARKER R. REED.
Managing Director
LARGEST ALBERTA
FIRE MUTUAL
CANADIAN STRONG PROGRESSIVE
?«jsis wj^yiB^ffjggt^wieffifiT?
FIRE INSURANCE
AT TARIFF RATES
British Northwestern Fire
Insurance Company
Head Office
TORONTO
J. H. Riddel, E. C. G. Johnson.
Managing Director. Secretary.
F. K. Foster.
Winnipeg. General Agent for Western Provinces.
The policies of this Company are guaranteed by Eagle,
Star and British Dominions Insurance Company, Limited, o{
London, England.
ASSETS EXCEED $93,000,000
Applications for agencies arc coril iall)/ invited.
Palatine Insurance Company
LIMITED
OF LONDON. ENGLAND
Capital Fully Paid - $1,000,000
Fire Premiums, 1919 3,957,650
Total Funds - 6,826,795
Head Office : — Canadian Branch
COMMERCIAL UNION BUILDING, MONTREAL
W. S. JOPLINC, Manager
Toronfo Office— 60 KING STREET WEST
Jones & Proctor Bros., Limited, Agents
DiiiiiiMiiiieiiiiniiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiia
Automobile— 1 920"Season
Policies to cover ANY or ALL motoring risks
ATTRACTIVE AGENCY CONTRACTS
I British Empire Fire Underwriters I
I ■
I 82-88 King Street East, Toronto |
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[
m
DOUBLE INDEMNITY BOND
TWICE AS MUCH LIFE ASSURANCE FOR THE SAME PREMIUM
IF DEATH RESULTS FROM ANY ACCIDENT.-ENQUIRE -
Hy; N( >UTH\\ KHTERN LIFK
THE DOMINION OF CANADA
GUARANTEE & ACCIDENT INS. CO.
Accident Insurance Sickness Insurance PUte Glass Insurance
Burglary Insurance Automobile Insurance Guarantee Bonds
The Oldest and Strongest Canadian Accident Insurance Company
TORONTO MONTREAL WINNIPEG CALGARY VANCOUVER
Merchants Casualty Co,
Head Office : Winnipeg, Man.
.^„.., ... Canada. Operating under the
and Provincial Insurance Departments,
on of Canada.
The most progressive company
supervision of tne Domin
Embracing the entire Don
SALESMEN NOTE!
Our accident and health policy is the most liberal protection offered
for a premium of $1.00 per month and up.
Covers over 2.500 different diseases.
Pays for Life if (Jisabled through Accident or
Illness.
Fifty percent extra if confined to hospital.
Pays for Accidental Death. Quarantine. Sur-
geon Fees for minor injuries, also for death of
Beneficiary and children of the Insured.
Good Openings for Live Agent*
Eastern Head Office. Koyal Bank Bldg.. Toronto
Home Office Electric Railway Chambers,
Winnipeg. Man.
30
THE MONETARY TIMES
Volume 65.
spring. Durinjr the past summer a staif of 50 has been em-
ployed, and now that the flax-pulling has been completed, 34
workers will be given steady employment on the big contract
which has just been received.
The Canadian Whiting Co., Ltd., which was recently
incorporated at St. Jerome, Que., with a capital of $200,000.
has its plant at Laurel, Que., on the Canadian National
Railway line. Installation of machinery will be completed
by about January 15, 1921, and in the meantime the com-
pany is filling orders with raw material until such time as
it can refine the material.
Advices from Philadelphia state that the head oflice of
the Pennsylvania Railway in that city has issued an official
denial of a report that plans have been partly consummated
for a gigantic transportation and industrial development
scheme in Canada by tlie railway in conjunction with a num-
ber of large Canadian corporations. The project was said
to incfude the construction of a new international bridge
over the Detroit River by which the United States railway
would enter Canada.
Looking for Belting Plant
P. B. Mcllroy, president and general manager of the
Mcllroy Belting and Hose Co., of Hammond, Indiana, makers
of Rubborite canvas belting, visited the Border Cities, On-
tario, last week, in search of a Canadian branch factory. He
has not yet arrived at any definite conclusion.
Kelly and Driver intend to erect a moulding factory
at Kingston, Ont. The city is asked to provide a site and
grant exemption from taxation for ten years.
The Macfarlane Engineering Co.. which is at present
operating at Paris, Ont., has aske<l the municipality to
guarantee its bonds to the extent of $40,000. Ratepayers
will be asked to vote on the proposition in December.
See and Smith, Toronto, makers of Ford automobile
bodies, will erect a building suitable for the expansion of
their business.
La Papetorie du Saguenay, Ltd., recently incorporated
with a capital of $500,000 and head office at Quebec. Que.,
announce that a mill will shortly be constructed.
NEW INCORPORATIONS
British-.Vmerican Finance Corporation, Ltd., $1,500,000 —
Brantford Computing Scales, Ltd., $1,000.000 — Forged
Steel Specialties Co., Ltd., $500,000
Dominion charters have been granted to the following
companies, with head office and authorized capital as indi-
cated:—
Cremerie de I'Economie, Ltd., Montreal. $100,000; Non-
Explosive Corp. of Canada, Ltd., Toronto, $150,000; Forged
Steel Specialties Co., Ltd., Montreal, $500,000; Central
Finance, Ltd., Toronto, $500,000; Forged Steel Products Co.,
Ltd., Montreal, $500,000; Moto Meter Co. of Canada, Ltd.,
Hamilton, $25,000; G. Walter Green Co.. Ltd., Peterboro',
$200,000; Banking Sei-vice Corp., Ltd., Toronto, $100,000;
United Retail Stores Candy Co., Ltd., Toronto, $1,000; Do-
minion Foreign Exchange Co., Ltd., Montreal, $100,000;
Davenoglc. Ltd., Montreal, $500,000; British-.\merican
Finance Corp., Ltd., Toronto, $1,500,000; Brantford Com-
puting Scales, Ltd., Brantford, $1,000,000; Flexible Shaft Co.,
Ltd., Toronto, $40,000; Canadian Piston Ring Co.. Ltd., Mont-
real, $75,000; Robert \V. Rowe, Ltd.. Montreal, $:«),000.
Provincial Charters
Provincial charters announced during the past week have
been as follows: —
British Columbia.— I^akelse Hot Springs, Ltd.. Prince
Rupert, $200,000: Iling Mee Co.. Ltd., Vancouver, $10,000;
R. S. Taxi Co.. Ltd., Victoria. $50,000; Canadian Basic Min-
erals, Ltd., Vancouver, $50,000; C. H. C. Payne and Co., Ltd.,
Victoria, $10,000; Prince Rupert Packers, Ltd., Prince Ruperti
$50,000; Canadian Mower Improvement Co., Ltd., Vancouver!
$50,000; Provincial Piling Co., Ltd., Victoria, $20,000.
Ontario. — Langley, Harris and Co., Ltd., Toronto, $200,-
000; Kingston Hotel Co., Ltd., Kingston, $300,000; Phi Kappa
Pi Buildings, Ltd., Toronto, $40,000; Kingston Agencies,
Ltd., Kingston, $50,000; Automobile Used Parts Co., Ltd.,
Toronto, $40,000; the Hanover Amusement Club, Ltd., Han-
over, $40,000; Penn-Canada Fire Brick Co., Ltd., Toronto,
$40,000; Phi Delta Phi, Ltd., Toronto, $40,000.
New Brunswick. — St. John Transportation, Ltd., St.
John, $10,000.
ZENITH CO.MPANIES' STOCK OFFERING
Stock in the Zenith Companies, Inc., of Minneapolis, is
being offered in Canada by the James J. Craig Co., the under-
writers, who have offices in Winnipeg and Toronto. The
Zenith Companies, Inc., is a holding company, authorized by
its charter to own and operate through stock ownership a
number of insurance companies, so as to eliminate as far as
possible the item of overhead expense and reduce the cost of
the operations to a minimum.
At the present time the Zenith Companies owns the
Merchants Life and Casualty Company, of Minneapolis, Min-
nesota, with a premium income of over $250,000 a year; the
Merchants Casualty Company, of Winnipeg, Canada, which
has a premium income of $500,000 a year; the Union Fire
and Casualty Company, of Winnipeg, which has a premium
income of about $300,000 a year.
The Merchants Casualty and the Union Fire and Casualty
are operating all over the Dominion of Canada, and the
Merchants Life and Casualty, of Minneapolis, is operating
at the present time in seventeen central western states. It
is the purpose of the board of directors of the Zenith Com-
panies, Inc., according to a statement made by James J. Craig
to 'I'hc Monctciry Times, to develop the Canadian business of
the company very substantially, and the system which they
intend pursuing is to increase the capital of the Union Fire
and Casualty so that it will be able to take on the large lines
of insurance which have been going to foreign companies
operating in the Dominion of Canada.
S. D. Works, the president, was formerly insurance com-
missioner of the State of Minnesota, and has been identified
with large insurance activities a great many years. A. E.
Ham, of Winnipeg, Manitoba, was formerly the insurance
commissioner of the province of Manitoba.
The agreement of the Zenith Companies is that any
moneys raised in Canada will be used for the development
of the Canadian end of the Zenith Companies' business, but
no money will be taken out of Canada, but that all will be
used for the purpose for which it was raised.
A financial statement of the company as at May 10th,
1920, shows assets totalling $1,321,252, made up of: Cash,
$15,468;' bills receivable, $298,783; Merchants Casualty stock,
$350,000; Union Casualty stock, $300,000; Merchants Life
and Casualty stock $350,000; real estate, $2,000; and stocks
at market value, $5,000. Liabilities are: Unpaid balance.
Merchants Casualty Co., $169,028; bills payable, $26,746;
accounts payable, $2,983; capital stock (issued), $461,400;
capital stock (subscribed but not issued), $214,200; surplus,
$447,794.
The shares are offered at $100 per $50 share, which
accounts for the fact that a large surplus is shown after
underwriting expenses have been paid.
SUIT OVER MURRAY-KAY STOCK
J. Samuel Cooke is plaintiff in an actiofi entered in
Toronto against W. T. Bradshaw, W. Parkyn Murray and
John B. Kay to compel specific performance of an alleged
agreement of December 8th, 1910, for the purchase, in cer-
tain events which have subsequently happened, fifty shares
of Murray-Kay Co. for $5,000. The plaintiff claims this sum,
with interest from 11th May, 1916.
November 19, 1920
THE MONETARY TIMES
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $133,000,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful days for life insurance salesmen,
particularly North American Life men. Our representa-
tives are placing unprecedented amounts of new business.
AH 1919 records are being smashed.
■■ Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey. Supervisor of Agencies,
North American Life Assurance Company
■■SOLID AS THE CONTINENT"
HOME OFFICE ' TORONTO. ONT.
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE WINNIPEG. MAN.
Assurances, New and Revived - - - $1,211,447.00
Premiums on same .... 43,890.00
Assurances in Force ... - 3,458,939.00
Total Premium Income - - - 109,586.03
Policy Reserves - . . . - 211,497.00
Admitted Assets '296,430.62
Average Policy - - . . . 2,237,50
Collected in cash per |1,000 insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director - Winnipeg.
1870 OUR GOLDEN JUBILEE 1920
Two Hundred Million Dollsurs
This year the Mutual Life Assurance Company of Canada colebrates its
golden jubilee by reaching the two hundred million dollar mark. This
point in the expansion of The Mutual Life has been reached more quick-
ly than any of its most ardent friends would have believed possible five
yea'rs aKO. But the reason is not "far to seek." During the Great War
and the fat.«l epidemic which followed in its train The Mutual Life paid
out in relief of the families bereaved no .ess than two million, three
hundred thousand dollars in addition to ordinary claims. The bene-
fits of life msurance were thus so clearly demonstrated that an immense
demand resulted and the business of The Mutual has developed as much
during the last five years as during the preceding forty-five years. The
Canadian people suddenly realized the absolute necessity for life insur-
ance and naturally turned to a company well-known, well-established
and financially impregnable.
The Mutual Life Assurance Co. of Canada
Waterloo
Ontario
LIFE INSURANCE SERVICE
Life Insurance Company depends largely upon
hink of the service they receive. The Continen-
tal Life has long since passed this test, and earned a "high reputation for paying
claims promptly. 1920 will likely prove the best year in the Company s history.
Write for booklet. "Our Best Advertisers.*' For Manager's rositions in On-
tario, apply with references, stating exoerience. etc., to S. S. WEAVER.
Eai4teru .^inperlntendeiit, at Head Oftiee
THE CONTINENTAL LIFE INSURANCE CO.
Head Offict
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
ISSUED ONLY BY
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.Ask for information. Write for details of the Profits the
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THE GREAT- WEST LIF^ ASSURANCE COMPANY
DEPT. ■■F"
HEAD OFFICE - - WINNIPEG
The Western Empire
Life Assurance Company
Head Office: 701 Somerset Building, Winnipeg, Man.
SASK.ATOON
Offices
EDMONTON
VANCOUVER
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE - REALTY
432 Pender Street, 'W., Vancouver, B.C.
Dr. J. W. .MAHAN J.A. WESTMAN
President .ManaginR Director
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Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
32
THE MONETARY TIMES
News of Municipal Finance
Vancouver is Experiencing Taxation Troubles— Some Suggestions are Advanced— Latchford
is Recovering After Being Nearly Extinct — Winnipeg Hydro-Electric Surplus Much
Greater — Calgary's Revenue Explained By Percentages — Guelph Assessment Increased
Peterboro', Ont. — Fares on the Peterboro' Street Rail-
way on December 1st will be raised to seven cents, or four
tickets for 25 cents, following the decision of the Board of
Railway Commissioners to that effect. A deficit of $20,799
for the railway at the end of August, 1920, is reported.
Edmonton, Alta. — Fully 60 per cent, of this year's cur-
rent taxes have been collected in the last ten months, says
City Comptroller D. Mitchell in his quarterly report to the
city council. Including collections for October, the city has
taken in approximately $3,?,65,924, of which $2,559,129 were
1920 taxes. On a proportionate basis, expenditures have been
kept well within the estimates, says the comptroller.
Guelph, Ont. — The assessment figures for 1920, as com-
piled by Assessment Commissioner Hastings, show that the
total assessment is $13,330,675, an increase of $961,860 over
last year. The advance is general all over the city, and Mr.
Hastings states that, even with this increase, he has not
raised the assessment in pi-oportion to the prices at which
real estate is being sold. There has also been an increase
in the population of 890, bringing the total population of the
city up to 17,922. Including College Heights, the population
is considerably over 19,000.
Calgary, Alta. — A number of charts have been prepared
by W. C. Wood, city comptroller, showing the distribution
of civic revenue in 1920, with comparisons. Under the head-
ing of "Where It Comei- From," the following percentages
are shown: General revenue — General taxes, 48.94, 1919,
47.329; business tax, 3.07, 1919, 2.92; sundry revenue, 4.57,
1919, 5.99; provincial war tax, .80, 1919, .99; special levy,
uncollectable taxes, .84, 1919, 1.02. Utilities— Electric light
and power, 13.12, 1919, 11.85; market and weighing scales,
.24, 1919, .20; paving, 1,29, 1919, 1.89; street railway, 14.12,
1919, 13.02; waterworks, 6.55, 1919, 7.201. Local improve-
ment taxes— Property lax, 6.46, 1919, 7.58. Total, $6,656,995.
Under the heading of "Where It Goes," it is shown that
money expended on utdities increased 1.135 per cent., while
above, receipts show an increase of about 1.159 per cent. The
surplus on general government is estimated at .02 per cent.,
as against .002 last year.
Winnipeg, ^lan.- -The city's Hydro-Electric system sur-
plus increased 318 psr cent, during the year ended Sep-
tember 30th, according to the official statement of the city
light and power dejiartment, issued recently. The surplus
was $213,077 as compared with $67,411 at the corresponding
date in 1919. September receipts aggregated $111,510, as
against expenses of $122,700, leaving a deficit for the month
of $11,196. Department officials forecast that books for Oc-
tober will record a large surplus now that more demands
are made on current as nights become longer.
Assets of the fystem are $14,185,635. Of this amount,
property and plant are valued at $9,710,794; sinking fund
investments, $913,0!.'6; treasury securities, $1,474,000; invest-
ment of depreciation reserve, $401,007; cash in bank, $1,238,-
863; accrued interest on investments, $10,352; accounts re-
ceivable, stores, onsumers' wiring and installation and
sundry current assets, $433,813. Prepaid insurance is $3,617.
Among the capital liabilities are city of Winnipeg consoli-
dated stock, $6,91'1.000, and city of Winnipeg debentures,
$1,999,000. The depreciation reserve is placed at $1,536,259,
investments with sinking fund trustees, $913,085, and annual
levies accrued, $113,965.
Latchford, Ont. — After being almost extinct for some
time, Latchford, a northern Ontario town, is on the way to
recovery. In the early days of the T. and N.O., and when
Elk Lake, Gowganda and Matachcwan were attracting con-
siderable attention, Latchford also drew attention. It was
at the junction of the T. and N.O. Railway and the Jlontreal
River. It was here that all the freight for up the river was
transferred from the trains and placed on the boats. This
brought prosperity to Latchford, and it grew quite rapidly.
The T. and N.O. hit it a fatal blow, however. It acceded to
the demand for the extension of the railway into Elk Lake.
When the town went under it had a bonded indebtedness
of about $7,000. Tliis was not met. It seemed that the only
chance was to seize the town. After the town went under,
however, the schools were kept going, but even this at last
succumbed, and the result was that some fifty odd children
had no facilities for education. Dr. J. B. McDougall, the
assistant chief inspector of schools, was informed of the
situation, and he first took the matter up at Toronto. There
was no precedent in history to go by, so he paid a visit to
Latchford. He insisted that the school be opened, promising
that the cost would be looked after in some way. Then he
secured the attention of some of the interested men in the
town, and finally he was able to prevail on them to resurrect
the municipal machinery. This they have just done. A new
mayor, Hugh McNeil, has been named, with Messrs. Michael
and Cameron, chairman and secretary of the School Board.
The town's indebtedness will be taken up, and the bond-
holders may be assured that soon steps will be taken to meet
the interest, and it is likely that the new council will start
a sinking fund for the redemption of the bonds.
Vancouver, B.C. — Like other cities in British Columbia,
Vancouver is experiencing considerable trouble regarding
taxation matters. In a recent editorial the Vancouver Sun
speaks of the situation as becoming serious and suggests
some methods of revision. The editorial says in part: —
"The monetary situation of the city cannot, as yet, be
fairly described as serious, but it will begin to verge in that
direction unless something is done pretty soon. The problems
involved cannot be permanently solved by persistently pre-
tending that they do not exist. The trouble began several
years ago, and had its root in the regrettable policy of post-
poning tax sales, with the ine\itable outcome that municipal
finance became subordinate to municipal politics, and enor-
mous arrears were allowed to accunftilate. The difficulty was
accentuated by the removal of the taxation from improve-
ments and the placing of it altogether on land— a method
whose inherent weakness became evident as soon as land
values began to decline.
"Vancouver has acted on the principle that 'the art of
taxation consists in plucking the goose so as to get the maxi-
mum amount of feathers with the least possible squawking.'
This plan worked all right until the property-owners banded
themselves together for mutual protection. Now it will not
work any longer. But the question of how the city got into
its present fix is entirely secondary to the question of how
it is going to get out. For this purpose, has anything yet
been proposed fairer than the business tax? This might be
based upon the assessed capital value of the real estate
occupied, as in Ontario. If this is not considered satisfactory,
try the Winnipeg plan of basing it on the assessed annual
rental value of the premises. Either plan, or a combination
thereof, will have the fundamental virtue that it will raise
the money needed.
"In taxation matters, Vancouver is at a disadvantage,
in that an exceptionally large proportion of those whose
incomes are earned within the city reside beyond its limits.
The suburban municipalities are in reality residential quar-
ters of Greater Vancouver, but are beyond the tax jurisdic-
tion of the city council. Unless there is an amalgamation,
this difficulty will tend to become more accentuated with lapse
of time. The suburbs will grow and the city become more
and more a business section."
November 19, 1920
THE MONETARY TIMES
.^^l^an/cj/^s/
C.P.R. BUILDING
TORONTO
nOUSSERWOOI>'^°C>MPANY
INVESTMENT BANKERS
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
STOCKS AND BONDS
Canadian. British and American Securities
Bought and Sold on all Principal Exchanges
Prioate wire connections with New York ond Toronto.
OSLER, HAMMOND & NANTON
WINNIPEG
NEW ISSUE
CITY OF TORONTO
6-; BONDS
Maturing 1921-1950
TO YIELD 6.35%-6.50%
Harris, Forbes & Company
INCORPORATED
C. p. R. Building 21 St. John Street
TORONTO MONTREAL
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Members of Winnipeg Real Estate Exchange. Winnipeg Stock Elxchange
C. H. BURGESS & CO.
Government and
Municipal Bonds
14 King Street East
Toronto
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
INDUSTRIAL SECURITIES
300 Nanton Building, Winnipeg
The Safest Investment
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R. M. HEFFERNAN & CO.
INVESTMENT BROKERS
HEAD OFFICE : 204 Jackson Building
Limited
OTTAWA
1!)
M-T. 1I1I5
THE MONETARY TIMES
Volume 65.
Government and Municipal Bond Market
Ontario Makes Another Five Million Dollar Loan— Securities Go to the United
States— Moose Jaw Sells Bonds for Disposal Across the Line, but Has to Pay
More than Seven Per Cent, for Its Money— Several other Municipal Issues
THERE was again considerable activity in the government
and municipal bond market during the past week, but
it cannot be said that there was any great strengthening in
prices. Parry Sound paid a pretty stiff figure for its money,
but that was only to be expected, in view of the location
of the town.
The principal event of the week was the sale of $.5,000,-
000 Ontario securities. These bonds are now being offered
in the United States to yield 6.80 per cent.- Finance Com-
missioner Ross, of Toronto, in commenting on this sale in
comparison with the deal which was negotiated by the city
last week, speaks of the gambling by the province on ex-
change. The province, however, had no other alternative.
All the provinces which have made loans in the United States
this year have been gambling on exchange, but as there has
been practically no market here for their securities except at
rates which were altogether out of the question, they were
justified in taking such a course, provided, however, that
they can show that their borrowings were absolutely neces-
sary.
Moose Jaw sold $100,000 for disposal in the United
States, but even at that the city had to pay more than 7 per
cent, for its money. It is understood that an offer was made
for bonds payable in Canada, but was considered too high.
Coming Offerings
The following is a list of debentures offered for sale,
particulars of which are given in this or previous issues: —
Tenders
Borrower. Amount. Rate %. Maturity. close.
Smith's Falls, Ont. . . if i),200 6'/^ 20-instal. Nov. 22
Pembroke, Ont 47,000 6 10 & 30-inst. Nov. 24
Freeman Twp., Ont.. 10,000 7 20-instal. Nov. 27
Sault Ste. Marie, Ont.,
S.S. B 85,000 6 Nov. 30
Nottawasaga Tp., Ont. — Tenders will be received until
November 25, 1920, for the purchase of $14,500 G per cent,
school debentures, payable .January 1, 1921-40, at Bank of
Toronto, Stayner, Ont. The securities are guaranteed by
the township of Nottawasaga, County of Simcoe. A. Camp-
bell, R.R. No. 1, Smithdale. Ont.
Debenture Notes
Amherst, N.S. — All tenders have been i-ejected on the
$40,000 0 per cent. 30-instalment debentures.
Milton, Ont. — Town Clerk Hemstreet has been instructed
to prepare a by-law for the issue of $8,000 debentures for
cement sidewalks.
Glace Bay, N.S. — Ratepayers have authorized the issue
of $0,000 debentures, the proceeds of which will be used to
purchase electric meters.
Calgary, Alta. — \ recommendation of the finance com-
mittee to borrow $2()5,000 to capitalize over expenditures,
largely on capital account, has been passed by the couTicil.
Edmonton, .Vita. — Five money by-laws totalling $1,025,-
000, which are to be submitted to ratepayers at the Decem-
ber elections, have been approved by the council.
Toronto, Ont. — The council has agreed to issue deben-
tures to the amount of $150,000, without the vote of the
people, for the proposed "pure food building" for the Cana-
dian National Exhibition.
London. Ont. — .\t the .January elections, citizens will be
asked to vote on five debenture by-laws as follows: City's
railway to the lake, $257,000; Springbank improvement;
motor bus reserve fund; grants to ehildrens' hospital and
home for incurables.
Winnipeg, Man. — The school board has authorized the
sale of $800,000 worth of bonds to cover expenses which have
been incurred in construction work during the past year.
The bonds to be sold consist of a portion of the $1,500,000
issue voted by the ratepayers last May.
Kapuskasing, Ont. — In connection with the Spruce Falls
Pulp and Paper Co., a new town is to be built in the vicinity,
under the name of Spruce Falls, and electricity will be sup-
plied by the paper company from its power plant, and the
Ontario government will issue $400,000 housing debentures
to take care of the construction of dwellings.
Saskatoon, Sask. — City Treasurer Oliver advises The
l/oHf/drv Times that the Local Government Board has given
its consent to sell to the sinking fund $52,200 City of Sas-
katoon 20-year 6V. per cent., debentures at a price of 93.64.
The debentures will mature on July 1, 1940. The sale will
not be made to the sinking fund until the debenture account
is in need of the proceeds.
Nova Scotia..^The list of bids on the province's bond
issue which was wired to Tlic Monetary Times, and which was
published in these columns last week, stated the offer of the
Canadian Debentures Corporation and C. H. Burgess and
Co. as being 101.97 for the 10-year securities payable in the
United States. Confirmation of the list by mail shows that,
this bid should have been 101.07.
London, Ont. — Improvements involving a total expendi-
ture of $1,117,000 will be inaugurated by the city next year,
providing the legislature gives its assent and the ratepayers
are agreeable. Some of the issues are being sent direct to
the legislature via the London bill, and others will be voted
on in the municipal elections. No consideration is yet made
for the board of education, which will ask for approximately
$750,000.
Ottawa. Ont. — The necessary permission has been given
the city solicitor by the board of control to advertise imme-
diately, notice of the application by the city to raise funds
to purchase the Ottawa Electric Railway. Application is
also being made to the provincial government for authority
to raise money for construction of new mains and sewers
amounting to $100,000, installation of meters $40,000, and in-
stallation of fire hydrants $20,000.
Alberta. — The next irrigation project to come before the
provincial legislature will probably be the South Macleod
district. According to George Skelding, M.L.A., for Macleod,
about l(i0,000 acres will be involved in this project, and the
construction cost of the scheme will be far less than the
Lethbridge Northern. The South Macleod lands will be
bonded at about $20 an acre, while the assessment on the
Lethbridge Northern averages approximately $50 an acre.
In the Lethbridge Northern the water requires to be drawn
from the south side by means of a huge viaduct, turned
across the river to the north, after which the main canal
for a few miles will be an expensive undertaking, the pre-
liminary costs in the first stages of the contract amounting
to over one million dollars.
Edmonton, Alta. — The city has been receiving inquiries for
its securities, but as no bonds are to be placed on the market
until after January 1, the finance committee recommended
that all offers be rejected. A bond house on the coast has
offered 83.09 for $1,475,000 of 5% per cent, bonds, due Octo-
ber 1, 1929. If the interest rate was changed to 6 per cent.,
86.49 was offered. If the city favored selling these bonds in
the form of three-year 6 per cent, notes, for $1,250,000, the
firm offered 98.25 and interest. For $37,782 and $19,257 of
November 19, 1920
THE MONETARY TIMES
Victory Bonds
and the Average Man
Freedom from cate and convenient in-
terest collection are the principal
factors that should govern the choice
of investment by the average man.
No other security possseses these qual-
ities in a greater degree than Victory
Bonds, while the interest return, vi^hich
ranges from 5.67% to 6.55%, is the
highest that has ever been obtainable
from securities of the Dominion.
Write for our pamphlet entitled "Some
Victory Bond Questions and Answers."
It will interest you. '
Wood, Gundy & Company
Toronto
Montreal
Winnipeg
Canadian Pacific Railway Building
Toronto
Saskatoon
New York
London, Eng.
Bonds Will Advance
One reason is the passing of ex-
treme speculation in commodities
and stocks and the tendency of
conservative investors to strengthen
their Bond holdings.
Another is the fact that the next long swing
in money rates will be down, and, con-
versely, the next long swing in l^ond values
will be up.
For safety and profit, buy Bonds and
fixed interest securities now.
Write and
purchases.
ecommend attractive
Royal Securities
^ ^CORPORATION
U I
TORONTO
WINNIPEG
M I T E D
MONTREAL
HALIFAX ST. JOHN, N.B.
VANCOUVER NEW YORK
LONDON. Eng.
i
^m i.iA i^i^,^ v^ ;^jpi^.iamjtea!AmyAy^Yi'^^rill3
W. L. .McKINNON
DEAN H PETTES
W
'e recommend the purchase
of
VICTORY BONDS
at the following prices; —
MATURITY
PRICE
YIELD BASIS
1922 ..
98 and interest
6.38%
1927 ..
97 and interest
6.00",',
1937 ..
98 and interest
5.68%
1923 ..
98 and interest
6.24%
1933 . .
96i and interest
5.89%
1924 . .
97 and interest
6.36%
1934
93 and interest
6.26%
Orders may be
telephoned or telegraphed
at our expense.
W. L.
McKINNON
& CO.
McKinnon Buildine
TORONTO
niinnnHiiDiiiiHiiiiiiiiiniiiiiiniioi^^
Buying Bonds
By Mail
Buying bonds by mail from a reputable,
well-known financial house is so safe and
simple that those inexperienced in such mat-
ters can do so with the utmost confidence.
Try it. Write, stating your requirements ;
we will send you particulars of various
bonds.
Yielding from 6.25% to 7.25%
which we have purchased after careful in-
vestigation and which we offer with our
unqualified recommendation.
W. A. MACKENZIE & CO.
Covcrnmeni auJ Mumcioal Bonds
42 King St. West
TORONTO -:- CANADA
!lilUIIIIIIIIIIIilllllllllllinillUIHIIIIIIIIIIIIIIIillMIIIIIIIMIIIIIIIMIIiniUUIIIIIIIlIllim
36
THE MONETARY TIMES
Volume 65.
5 per cent, city bonds due on July 1, 1927, the company would
give 84.01 and interest; and a price of 90.06 if the interest
rate was 6 per cent. On $71,919 5 per cent, bonds, due in
1925, the company offered 89.17 with 93.62 at an interest i-ate
of 6 per cent. An offer of 98.25 was made on .$1,499,080 of
unsold and unhypothecated debentures, providing that the
city issued three-year 6 per cent, notes against them.
Saskatchewan. — The following is a list of authorizations
granted by the Local Government Board from November 1
to 10, 1920:—
Schools^Honey Bank, $1,500 8 per cent. 10-instalments;
'Westlea, $4,200 8 per cent. 10-years annuity; Idlewilde, $5,-
000 8 per cent. 10-years annuity.
Town of Alameda, $6,500 8 per cent. 10-years, for curl-
ing rink.
Village of J'illmore, $3,000 8 per cent. 10-instalment, for
curling I'ink.
Saskatchewan. — The following is a list of debentures re-
ported sold from November 1 to 10, 1920: —
Schools — Kylemore, $5,500 8 per cent. 15-instalments,
and Three Hills, $4,300 8 per cent. 10-instalments, to Water-
man-VVaterbury Co.; Reinfold, $1,500 8 per cent. 10-instal-
ments, Royal Loan and Savings Co., Brantford, Ont. Yel-
low Creek, $5,000 8 per cent. 10-instalments Hill Holl, $4,000
8 per cent. 10-instalments, Honora, $3,300 8 per cent. 10-
instalments, St. Florence, $4,800 8 per cent. 10-instalments,
all to the Waterman- Waterbury Co.
Village of Bulyea, $600 8 per cent. 10-year, D. S. Mc-
Elroy, Bulyea.
Chester R.M., $0,500 8 per cent. 10-years, International
Loan Co., Winnipeg.
Bond Sales
Lachine, Que. — -Versailles, Vidricaire and Boulais have
purchased $175,000 6 per cent. 10-year school bonds.
Hanover, Ont.— The town has sold through a local broker,
A. Hamel, about $45,000 6 per cent, debentures, which mature
from 1 to 20 years.
York Tp., Ont.— A small issue of $8,765 6 per cent. 5-
instalment debentures has been purchased by A. Jarvis and
Co., at 97.80, which is on about a 6.80 per cent, basis. Other
offers were: A. E. Ames and Co., 96.9()6; R. C. Matthews
and Co., 96.50; Canadian Debentures Corporation, 9().09.
Fredericton, N.B.— The sale of the city's $166,000 deben-
tures to local citizens is meeting with a good response, ac-
cording to G. R. Perkins, clerk and treasurer, in a letter to
TItc Monetary Tinics. Up to the end of October, within a few
days of the initial offering, $20,000 had been disposed of.
Eastview, Ont.— -Turner, Spragge and Co., have pur-
chased $11,218 6 per cent. 20-instalment debentures and
$13,835 7 per cent. 20-year straight-term debentures.
Moose Jaw, Sask. — Wood, Gundy and Co. have purchased
$100,000 6 per cent. 10-year bonds at a price of 92.25, at
which rate the city pays more than 7 per cent, for its money.
The securititcs are payable in both Canada and the United
States. It is understood that anotHer offer was received for
the bonds payable in Canada only, but this was rejected.
Saskatchewan. — The following is a list of debentures
reported sold from October 23rd to 30th, 1920:—
Rural Telephones.— Beaver Hills, $23,500 15-years 8 per
cent., Willowmoor, $1,500 15-years 8 per cent.; W. L. Mc-
Kinnon, Rcgina. Seaforth, $4,250 15-years 8 per cent.; Wood,
Gundy and Co., Saskatoon. Stoney Coulee, $3,000 15-years
IM per cent.; H. Huttle, Springside.
School Districts. — St. Jerome, $3,800 10-years 8 per cent.,
Southdean, $2,500 10-years 8 per cent.; Waterman-Water-
bury Co., Regina. Elrose, $5,500 10-years 8 per cent.; Mon-
arcli Life Insurance Co., Winnipeg, Man. Prairie Lawn,
$1,000 10-years 8 per cent.; Walter Martin. Weyburn. Pun-
nicliy, $2,000 10-years 8 per cent.; Atkinson Hall, Wynot.
Minitonas, Man. — J. A. Thompson and Company have
purchased $50,000 6 per cent. 30-year debentures. The securi-
ties are for good roads purposes and are guaranteed by the
province. The interest cost to the municipality was slightly
over 7 per cent.
Etobicoke Tp., Ont. — Brent, Noxon and Co. have been
awarded $25,000 6% per cent. 30-instalment debentures at a
price of 98.93, which is on a 6.60 per cent, basis. Tenders
received wei'e as follows: —
Brent, Noxon and Co $24,733
A. E. Ames and Co 24,720
United Financial Corp., Ltd 24,695
Wood, Gundy and Co 24,657
C. H. Burgess and Co 24,642
Macneill, Graham and Co 24,511
Parry Sound, Ont. — N. A. Macdonald and Co. have pur-
chased $75,000 6 per cent. 30-instalment debentures at 84.67,
which is on about a 7.70 per cent, basis, and $18,745 6 per
cent. 15-instalment debentures at 90.68, which is on about a
7.55 per cent, basis. A. E. Ames and Co. bid 85.15 on both
issues. In addition, Wood, Gundy and Co. asked for an op-
tion on the whole amount at 89, while C. H. Burgess and
Co. asked for option on the 30-instalraent issue at 86.
Renfrew^ County, Ont. — The county has sold to Wood,
Gundy and Co. $150,000 6 per cent. 20-instalment debentures
at a price of 94.87, which is on a basis of about 6.65 per cent.
Bids received were as follows: —
Wood, Gundy and Co 94.87
C. H. Burgess and Co 94.71
Canadian Debentures Corp 94.21
R. A. Daly & Co., and W. A. Mackenzie & Co. 93.56
R. C. Matthews and Co 93.52
A. E. Ames and Co 93.493
United Financial Corp., Ltd. . . 93.33
Turner, Spragge and Co . . 93.33
J. F. Stewart and Co 93.257
N. A. Macdonald and Co 92.07
Ontario. — A syndicate composed of Wood, Gundy and Co.,
A. E. Ames and Co., R. C. Matthews and Co., and the Illinois
Trust and Savings Co., purchased, this week $5,000,000 6 per
cent. 7-year bonds, which are payable in the United States
and Canada, at a price of 104.533, which is on about a 5.22
per cent, basis. Six tenders were received as follows: —
Wood, Gundy & Co., A. E. Ames & Co., R. C. Mat-
thews & Co., and the Illinois Trust & Savings
Bank 104.533
Canada Bond Corp., A. B. Leach & Co., Hornblower
& Weeks, Redmond & Co., Paine, Webber &
Co., Carstens & Earles, and Wells-Dickey Co. . . 104.22
A. Jarvis & Co., Halsey, Stuart & Co., and the First
National Co 103.17
W. A. Mackenzie & Co., Continental Trust & Sav-
ings Co., First Trust & Savings Bank, Blythe,
Witter & Co., and Wm. R. Compton & Co 103.14
Harris, Forbes & Co., and the National City Co. . . 102.367
Dominion Securities Corp., and Wm. A. Read & Co. 101.417
Manitoba. — The province has disposed of $750,000 6 per
cent. 10-year debentures te Wells-Dickey Co., and the Min-
nesota Loan and Trust Co. at a price of 102.72, which is on
about a 5.65 per cent, basis. "Taking into account the period
of the loan, the successful bid seems to be a trifle more ad-
vantageous than any sale that has been recently reported
and would indicate steady improvement in market conditions
in the United States for this class of security," said Hon.
Edward Brown, provincial treasurer to The Monetary Times.
The following tenders were received by the province: —
Wells-Dickey Co. and the Minnesota Loan & Trust
Co 102.72
Baird & Botterell, representing the National City Co. 102.48
Harris, Forbes & Co., Incorp 102.43
Canadian & General Securities Co., representing
Halsey, Stuart & Co , 101.31
Wood, Gundy & Co 101.125-
W. A. Mackenzie & Co. and R. A. Daly & Co 100.73
J. A. Thomson & Co., for A. E. Ames & Co 99.595
The proceeds of the above issue will be used for tele-
phone extension.
November 19, 1920
THE MONETARY TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7 Wo
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B.
HALIFAX, N.S.
Prompt
Setllement
of claims
NEW JERSEY INSURANCE CO.
BALTICA INSURANCE CO.
PENINSULAR FIRE INSURANCE CO.
O'KEEFFE & LYNCH, OF Canada. Limited,
MARINE MANAGERS
43 Victoria Street TORONTO
Western Municipal & School
g % Debentures
^ TO YIELD
71'
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
CORRESPONDENCE
INVITED
UNION TRUST BUILDING
WINNIPEG
Manitoba Finance Corporation Ltd.
Investment Brokers, Financial Agents, Etc.
Head Office
410-11 Electric RIy. Chambers
Winnipeg, Man.
Phone Garry 3884
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba, Alberta Flour Mills, Limited
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
Wires to WlN.N'iPEG, CHICAGO, TORONTO,
MONTREAL AND NEW YORK
The Standard Agencies, Limited
Head Office - CALGARY, ALBERTA
Money to Loan on Improved Farm Lands and City Properties
in Western Canada. .^. j. scoTT. Gen. Manacer
The Trustee Company of Winnipeg Ltd.
322 MAIN STREET
M. J. A. M. DE LA GICLAIS, Managing Uirector.
See us for investments in allocated or guaranteed loans at attractivt
rates of interest.
Our Agency Department
your affairs in our char.iic.
While out of town, leai
Vancouver District Property
Expert Estate Agents and Managers
Property Bought and Sold, Valued, Rented and
Reported on. Correspondence invited.
WAGHORN GWYNN Co., Ltd. Vancouver
X
Queensland Insurance Co. Limited
of Sydney, N.S.W.
Capital Paid Up $1,750,000 Assets $4,015,811
A unit Wanfd in UmrtHrtunUd DIstricU
Montreal Agencies Limited
Montreal
MACAULAY & NICOLLS
INSURANCE OF ALL CLASSES
ESTATES MANAGED
746 Hastings Street - VANCOUVER, B.C.
C. H. .MACAULAY J. P. NICOLLS. .Votary Fublic.
nilRDPU HE
lUIIHIIIill III I
MEAD OFFICE - WINNIPEG.
38
THE MONETARY TIMES
Volume 65.
Corporation Securities Market
Another Exhibition of Declining Values on the Canadian Exchanges— Selling
Movement is Less Pronounced, However — Dominion Power Bonds Offered in
the United States — United Grain Growers to Increase Capital by Three Millions
THE past week witnessed another exhibition of declining-
values on the Canadian stock exchanges, in which At-
lantic Sugar and the papers were the features. The prices
movement was not altogther downward, however, there being
rallies in several issues, which tended to bring about a better
feeling, although at no time was the sentiment really bullish.
Whatever hopefulness or confidence was brought about by
these i-allies, however, was destroyed when, towards the close
on November 17th, sharp reaction set in, and recoveries made
by some issues, particularly in Montreal, were wiped out and
substituted by further losses. This reaction was largely due
to a break in Wall Street, indicating that the Canadian
markets are not operating altogether independent of New
York.
The selling movement which was in evidence last week
was less pronounced, and by November 17th trading had
become greatly reduced. The following figures illustrate
this:—
Montreal. Toronto.
Listed stocks. Bonds. Listed stocks. Bonds.
Thursday 16,314 $ 47,600 1,844 $ 42,700
Friday 18,844 32,200 ■ 3,246 30,100
Saturday 12,847 2,800 2,086 11,000
Monday 15,339 20,300 2,918 30,900
Tuesday 8,452 35,600 7,339 8,500
Wednesday 9,974 34,400 1,773 20,200
Totals 81,770 $172,900 19,206 $143,400
The figures for the previous week were: Montreal, listed
stocks, 126,472; bonds, $171,000; Toronto, listed stocks, 11,166;
bonds, $163,600.
Dominiiin i'nwer Bonds
Harris, Forbes and Company, Incorporated, are offering
in the United States $600,000 5 per cent, gold bonds, due,
serially, from April 1st, 1921, to April 1st, 1932, of the
Dominion Power and Transmission Co., Ltd., Hamilton, Ont.
The securities are offered at prices according to the various
maturities to yield 8, 8's and 8Vi per cent.
H. P. Briggs, Ontario representative of Harris, Forbes
and Company, points out that in September, 1899, the Harris
organization first brought out $750,000 Hamilton Electric
Light and Cataract Power Company first mortgage sinking
fund 5 per cent, bonds, due October 1st, 1929, and that this
issue promptly sold at 104 and interest to yield 4% per cent.
A comparison with the present interest yield shows how the
price of capital has changed during the past twenty years.
An offering of $50,000 8 per cent, cumulative preferred
stock of the .Atlantic Milling Company. Ltd., is being made
by H. M. Bradford, Halifax, N.S., at par, with a bonus of
25 per cent, common stock. Shares are in denominations of
$10 each. The capital of the company, including the present
issue, is as follows: Preferred stock, $94,000; common stock,
$41,500. There is no bonded indebtedness.
Capitalization Increases
The following companies, which are incorporated under
Dominion charters, have been authorized to increase their
capitalization to the amounts stated by the issue of new
shares of $100 par value: —
Former capital
stock. Increased to
Barrett Co., Ltd., Toronto, Ont.... $500,000 $3,000,000
Howland and W^altz Co., Ltd 100,000 500,000
Galena-Signal Oil Co. of Canada.. 500,000 . 1,000,000
The Marshay Lumber Company, Ltd., which operates
under an Ontario charter, has been authorized to increase its
capital from $50,000 to $1,000,000 by the creation of 9,500
new shares of $100 each.
A by-law to increase the capitalization of the United
Grain Growers, Ltd., from twelve to fifteen million dollars
is one of the important matters to be introduced at the
annual convention of that organization, which is being held
in Calgary, November 25th and 26th.
Capitalization Changes
Scythes and Company, Ltd., Toronto, Ont., have been
authorized to increase their capital stock from $250,000 to
$1,000,000 by the creation of 7,500 new shares of $100 each,
and to convert the present 1,750 common shares into
preference shares.
Supplementary letters patent have been issued to Ken-
worthy Bros., of Canada, Ltd., converting the business from
a private to a public company, and authorizing an increase of
capital to 2,000 common shares without nominal or par
value, and 1,500 preference shares of $100 par value..
The protracted negotiations between the Saskatchewan
and the Dominion governments for the refund to the pro-
vince of money advanced by it to meet the interest falling
due on the provincially guaranteed bonds of the Grand
Trunk Pacific Railway lines have been completed, a cheque
for $862,252 being turned over by the Dominion government
to Hon. C. .\, Dunning, provincial treasurer.
UNLISTED SECURITIES
Quotations (ur
& Co., Toront
Bid
Ask
I Bid
Ask
Bid
Ask
Bid
Ask
Coll nKwoodShipb'dR.b'8
Crown Life Insurance...
King Edward Hotel. .7's.
Loew's RufTalo com.
79
5.7S
South. Can. Power.com.
28
76
Ana. Pac. Orain... com.
163
70
4.50
73
— rrcf.
81
85. W
Cuban Can SuRar. com.
LS
20
■' Ottawa com.
9.50
II. .50
105
112
American Sales Book.S's
»3
Davies William fi's
9S SO
101
.Manufacturers Life
175
205
SterlingCoal com.
20
2S
Ashdnwn HarJ. J. H-.-i's
Pom. Iron SStccISs 1939
IW
72
.MattagatT'a Pulp... pfd.
75
83
87
Uranlford RMoHnd
90
Oom. Power com.
•12
Massey. Harris xd
94
100
67
72
.Mercantile Trust
Mexican Nor. Power.. 5's
95
9
United Cigar Stores pref.
1.60
10
Hums. P. 1st Mtsc. 65 .
»7
102
DunlopTire prcf.
89
92
12
12.50
Can. Consoliil. l-ell. pfd.
70
6's.
94
.Morrow Screw 6's
84
88. SO
68
71.50
Ciin. Crocker Wheeler pf.
7S
Ba^crn Car 6's
8.?
91
.Murray-Kay. 7% pref.xd.
62
68
VVhalenPulp pref
SH
28
85
National Life
160
21
82
31
70
6S.S0
Coodyear Tire., pref.xd.
Ordn. Ironsides RareS's
C.unns. Ltd prcf.
811
88
87
89
Nova Scotia Steel 6% deb
Ont. Pulp 6's
Page Herscy prcf.
70
94
88
78
97
Can. .MortnaKe
Can. Oil com.
Can. Wcstinuhousc
112
Harris Abattoir 6's
90
95
Peoples Loan & Savings.
Riordon com. (new stk.)
pfd.
R. Simpson. 6%pref. xd.
3^7.'!
76
75.50
84
36.54)
79
78
72
SO
fi2
lis
90
Cocltshutt Plow 7%nref.
International Mill'R.pfd.
November 19, 1920
THE MONETARY TIMES
39
We Offer
SCHOOL BONDS
Province of Alberta
Maturing 10 and 15 Year
to yield
7 to 7'i %
We Specially RecommenJ these Bonds as Sound Investments
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto BIdg. Royal Bank Chambers
EDMONTON CALGARY
To Industrial and
Manufacturing Institutions
Should you require more capital for develop-
ment cr expansion, and are a going concern
financially sound, the advertiser offers to
procure for you anything from $100,000 to
$1,000,0C0, according to your requirements.
Preference will be given institutions with a
large list of shareholders. Investigate.
Strictly confidential. Best references. Apply
2K9 P.O. BOX 65, OTTAWA. CANADA
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings also any British
Columbia Government and Municipal issues
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C.
Victoria, B.C.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OUR COUNSEL AND ADVICE
Willoughby Sumner Limited
Established IWO'
Members of the Winnipeg Grain Exchange
Private aire to Winnipeg, Toronto. Montreal, Chicago
and .\ea York
■ ■■■■■lllBlBfl«lBl-T
Earnings
Past and Present
It sometimes happens
that large current earn-
ings give a misleading
idea as to the value
of a Company's secur-
ities. The Investor
seeking information as
to how earnings have
averaged over a per-
iod of years on the
stock he is consider-
ing, will find this, to-
gether with other
valuable facts, in our
Analysis of Canadian
stocks.
This invaluable collection
of data enables the Investor
to size up accurately the
comparative position of
the leading Canadian
issues.
A copy will be mailed free
on application.
Greenshields & Co.
Inveslment Bankers
14 King Street East, Toronto
Montreal Ottawa
j \
40
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
.tlMXTUKAL— Wvrk Kiuled >'ov. I'th.
iFipures supplied by Burnett &■ Co.)
SlorfcH
Abitibi P.KtP
Asbestos Corp
pfd.
Atlantic Sugar
Bell Telephone
Brazilian T.L.& Power
B.C. Pish
Brompton Pulp & P. ..
Canada Cement
•• ...pfd.
Can. Con
Canadian Cottons
" ..pfd.
CanadianCar ■
■• ....pfd.
Canadian Gen. Elec...
Carriage Factories . . .
Can. Steamship
■• •• pfd.
" " Vot. Trust
Con. Minings Smel....
Det. Rys
Dom. Canners
pfd.
Dominion BridKc
Dom. Coal pfd.
Dominion Glass
•■ ..pfd.
Dom. Steel Corp
..pfd.
Dominion Textile
•• ...pfd.
Howard Smith
•■ pfd.
•■ ..Rights
Illinois Traction ..pfd.
Lake of the Woods. .
..pfd.
Laurentide
LyallCons
Kaministiquia
Macdonald Co
Maple Leaf
Mont. Cottons
...pfd.
.Montreal Loan
Montreal Power
Montreal Tram
Tram Deb...
Telegraph...
National Breweries —
Ogilvie Plour .Mills ....
.pfd
Ottawa L. H.&P
Ont.Sleel Prod
Penmans ..
pfd
Price Bros
Prov. Paper
Quebec Ry.L. H.&P.
Riordan Pulp& P
pfd
St. Lawrence Fl. Mills
..pfd.
ShawiniganW.&P...
Sherwin-Williams.pfd.
Spanish River
■• pfd.
■■ Div.Vou,
St. Maurice
Steel Co. of Canada...
• ■• pfd.
Toronto Ry. Co
TucUett
pfd.
Wabasso Cofn
Wayagamaclt P. & P
Winnipeg Ry
KniikH
Commerce
Hochclagn
Merchants. ...
Molsons
Montreal
Nova Scotia.. .
Nationnic
Royal
Union
Sales Open High I Low Close
BiiimIh
Asbestos Corp
Bell Telephone Co...
Can. Car
Can. Cement
Cedars Rapids Mfg..
Can. Rubber
City Mont. Dec. 6-s. 1922
•• May6's.l923'
■■ Scpt.Ss.lilMl
Dom, Can. W. Loan. ISM
19.11
1937
Victory Bonds. 1922 ...
1927 ...
19,17...
1923...
IS33....
1000
5200
USOO
lD2i
914
.sooo
9500
aseoo
37700
90i
9J 9J
89] I 90)
IMONTKEAL-ConitHiieii.
Dom. Textile A
•■ B
Lake of Woods
.Montreal Power
National Breweries.,,
Ogilvie Flour
Penmans
Price Bros ', ,
Quebec Ry,L, H.&P.,
Sherwin-Williams,..
Spanish River
Steel Co. of Canada.
Waba'iso Cotton
Wayagamack P. &P.
Windsor Hotel
Sales Open i High Low Close
I COO 84
5000 93
5000 921
79i
TOKONTO— Week Ended Kov. ITtli.
.'^tiick.H
Atlantic Sugar
AmesHolden pfd.
Abitibi
Barcelona
Bell Telephone
Brazilian Traction. ...
Burt. F. N
pfd.
B.C. Fish
Can. Bread
Canada Cement
Can, Gen, Elec
.,,pfd,
Canada Steamship —
pfd.
Canners pfd.
Can. Salt
Canadian Pacific R
City Dairy
•• . pfd.
Con, Gas
Crows N'est
Dome
Loco
.Mackay Companies
• ...pfd.
.Maple Leaf
■• •• pfd.
Monarch
N.S. Car
■ ■■ pfd.
.\ipissing.
Pac. Burt
Prov. Paper
Quebec R.L.H. &P
Riordon
Salesbook
pfd.
Sawyer. .Massey pfd.
Sh. Wheat
Sales Open High
elte
Spanish River.
Steel Corp
Toronto Ry.
Trethewey..
Tucketts . .
ilto
Domii
Hai
Merchants
Molsons. .
Montreal . .
Nova Scotii
Royal
Standard.
Toronto.. . .
Union
l4>nii mid TriiKl
Pro
Lon. .<■ C:
Can. Land
Toronto Gen. Tr.Right!
Tor.Mtg
Iloiidi*
Can. Bread
Canners , , ,
Rio, Jan, T.. L. &P....
Sao Paulo
Steel Co
3J
I32i
87?
TftKOtlTO— Continued
Mar Loans
3m,Can,W,Loan.l92S
1931
' 1937
ctory Loan 1922
1923
1927
1933
1937
17700
23400
83700
Open
92J
90i
High
92i
90j
94i
WINNIPEe— Week ended Kov. I.tth.
" 1924
" 1927
•■ 1937
" 1933
■• 1934....
1931
1937
1925
Home Inv.S Sav. Ass ti
Great West Life
W.C. F, M
Loan
Sales
Open
High
Low
51200
98
98
98
3800
93
98
98
2S0C
97
97
97
17650
97
97
97
7200
98
98
98
217O0
%l
96J
9SS
65500
93
93
93
1000
89*
89i
894
11100
94 i
94+
94l
3000
92.!
924
921
2
104
104
104
20
200
200
200
10
1.50
150
150
NEW YORK— Week ended Jioy. ISIIi.
Canadian Pacific
Canada Southern
Nova Scotia S.&Coal.
Granby Consolidated . .
5J% 1921
5% 1926
Si% 1929
5% 1931
Sales
Open
High
124i
Low
58000
124
1155
6200
1300
38
241
38
26
36
201
68000
89000
21000
71000
24000
99
98
91
93
91
9SS
988
90i
91
3000
22
20
Close
116i
38
371
201
LOKItON, Eng.— Week ende<l Ocl, «»lli.
liov't. <t Ilnn.
Alberta 4% 1922
4i%dtb
Canada. . .34%
•• .... 3%
" .... 3*% 1930 50
" .... 4% 1940-60.
Calgary 4J% debs
5% debs
Edmonton 5% bds. 23-,53
Nfld. 3.*% bds
Montreal 4j% Reg
4% 1932
Nova Scotia 4*% cons.
Port Arthur 44% deb...
Quebec 4% deb. 1923...
4% deb. 19.58..
4%bds. IS88..
•• 4*% Reg
SaskcWn 4% deb. 1923
53%....
Saskatoon 44% cons...
S. Vancouver 5% cons-
Vancouver 4% cons....
44% cons. ..
Toronto 4% deb. 1944-8.
Victoria 3i% 1921-6 . . .
4%.
C.No
44% 1920-25 .
54 cons.
peg44%c"s. 43-63
4% cons
KallnnjrN
.Pac.4%gr.deb.S0
" Onl. 4% deb
Can. Nor. 4% deb. 1939
'■ " 4% deb, 1930.
Can. Pac
•• 4% deb.
" 4% pfd.
G.T.P. Br. 4% bd 1939.
G.T.P.3%bds
G.T. P. 4%19SS
G.T. P 4% deb.
Or. Trunk... 4% guar.
Or. TrunkS% 1st. pfd..
Gr. Trunk .5% 2nd pfd..
Gr. Trunk 4% cons
Ont. & Quebec 5% deb.
P.Gt. East.44%deb.'42
Ind.. Fin., EIr.
Can. Car 7%. .. ....
Can, Cement 6% bds...
7% pfd..
C.W. Lumber 5% debs.
Bank of .Montreal
Can, Bk- of Commerce.
Sales Open High Low Close
67}
79i
1084
64
64}
57
65}
29}
November 19, 1920
THE MONETARY TIMES
QUEBEC SUPPORTS TARIFF FOR ITS MANUFACTURES
(Continued from page lU)
growth and prosperity, and it is stated that any difference
in the fiscal policy would mean injury to the manufactures
situated here.
The Board of Trade presented a resolution adopted at
a recent meeting which voiced the same opinion, emphasizing
the fact that a large number of United States concerns were
situated here because of the existing tariff regulations, and
stating- that the continuance of adequate protection was con-
sidered to be in the best interests of the city.
In addition to these, a number of other briefs were pre-
sented by industrial and commercial establishments couched
in similar terms.
Good Representation at Three Rivers
The evidence in Three Rivers was also strongly pro-
tectionist, though the farmers were also i-epresented. The
local Board of Trade, represented by Mr. Burrill, its presi-
dent, registered in favor of a protective tariff as the best
means to protect Canadian industries. Mr. Eugene Trem-
blay, in the name of the employees of the Wabasso Cotton
Company, of Three Rivers, said that any reduction of the
tariff would be prejudicial to the company, and, consequently,
prejudicial to the employees. He favors the maintenance of
the present tariff law.
The directors of the Shawinigan Cotton Company said
that the textile industry had no actual protection on account
of the depreciation of the pound sterling, and they ask for
a more severe tariff. "Any interference with the present
tariff would not only seriously jeopardize the success of the
company, but would at once stop any further developments,"
said William G. Aird, manager. The company up to the
present has not paid any dividends, Mr. Aird added. It has
on its payroll about 450 employees, and is paying annually
$500,000 in wages. The mill supplies coarse cotton yarns to
the knitters throughout the country. According to the cus-
toms tai-iff there is a duty of 17^2 per cent, as against Great
Britain and 25 per cent, as against the United States. At
the present time, owing to the depreciated value of the pound
sterling, there is practically no protection as against the
English manufacturer. The company is arranging for the
doubling of its plant. When the latter is fully completed
it will give employment to approximately 1,000 persons and
will pay annually $1,000,000 in wages. Manager Aird sub-
mitted that no recommendation be made tending toward a
reduction of the tariff in connection with this industry.
Maurice Garceau, a farmer residing in the neighborhood
of Three Rivers, said that the Three Rivers industries, on
account of the great number of men in their employ, affoi-d
the best market to the dairy trade, and any extension of the
local industries made possible by a protective tariff would
serve best the interests of the farmers' community. Conse-
quently, he favors the maintenance of the present tariff.
Mr. Eugene Tremblay, one of the employees of the Wa-
basso Cotton Company, said that the employees of this com-
pany are mostly owners of their homes in this city, and that
they are satisfied with what they have. He added that most
of the employees of the Wabasso would be in a serious
situation if the company was forced to close its doors on
account of a reduction of tariff, because they were not com-
petent to follow another trade. In the name of his co-workers
he protested against any reduction of tariff that would
jeopardize the interests of the Wabasso company and their
own future.
Montreal's Shoe Manufacturing
T. H. Rieder, president of the Ames, Holden, McCready
Co., Montreal, said that the profits made during the last three
years "either have been or will be dissipated during the
present year." Under examination he said that his com-
pany had made a profit of five per cent, on its turnover, and
had paid eight per cent, on its preferred stock, which repre-
sented the invested stock. The common stock represented
goodwill and no dividend had ever been paid on it. He did
not give any figures as to the amounts put in reserve. He
emphasized the contentions made by Mr. Palmer as to the
inability of Canadians to compete on even terms with the
United States manufacturers by describing the Endicott
works in New York, which he had recently gone over. There
was a separate factory devoted to each type of boot and shoe
required, and in that way a volume and a saving in over-
head costs could be attained which were impossible in the
smaller factories of Canada.
In a long memorandum placed before the commission by
Mr. Palmer for the whole trade it was stated that in 1918
there were in Canada 161 establishments manufacturing 14,-
087,268 pairs of leather boots and shoes, valued at $46,387,-
665, paying wages of $9,599,967 to the thousands of em-
ployees, and having a total capital investment of $33,274,753.
He claimed that the industry, which had been in a languish-
ing condition prior to 1905, revived when the tariff on fine
shoes was raised from 25 to 30 per cent, in the 1906-07 re-
vision. The progress had been steady, and to-day Canadian
manufacturers were producing footwear equal to the best
that could be imported, with the exception of certain ultra-
fine luxury shoes. Domestic competition was keen, and along
with tanners and other industries depending upon it for a
market, 25,000 persons were employed. Every Canadian
soldier in the late war wore Canadian-made boots.
In the Montreal district alone there were 53 factories
producing 46 per cent, of all the leather footwear made in
the Dominion. Ontario, with the same number of factories,
made 31 per cent., and Quebec City and vicinity, with 32
factories, made 18 per cent., while 16 factories in the
maritime provinces and elsewhere made 5 per cent.
The session in Montreal on Monday dealt chiefly with
the boot and shoe industry. The manufacturers urged that
the present tariff be maintained, as otherwise American
goods would flood the Canadian market.
Score Luxury Tax
Loud complaint was launched against the luxury taxes
instituted at the last session of parliament. All those who
spoke claimed that these taxes were responsible for a con-
siderable share of the present unemployment, but the public
simply refused to buy shoes on which they would pay the
taxes, and in consequence the country was overstocked with
a class of shoes for which there had previously been a
large demand.
The Textile Industry
On Tuesday the te.xtile industry was discussed at length,
.(. F. Frame, K.C., appearing to represent Manitoba and
Saskatchewan. He requested that information which had
been compiled through questionnaires by the Board of Com-
merce be made public, and this Sir Henry Drayton promised
to have done.
Long statements were made by Sir Charles Gordon on
behalf of the Dominion Textiles Co., and by A. O. Dawson,
of Canadian Cottons, Ltd., giving a variety of information
with regard to the cotton business, but the Regina lawyer
indicated that he had not yet got the information which will
convince himself or his principals that a case has been made
out.
A. H. Clement, president of the United Farmers of
Quebec, presented a document in French setting forth that
"to-day the farmer population of the province was less than
in 1881." He attributed this to migration to the towns and
cities. The memorandum further set forth that there was
a migration from this province of thousands of farmers to
Vermont, Maine and New Hampshire, all being farmers
anxious to get better conditions, a better market, and cheaper
agricultural implements and other supplies. To prevent this
the United Farmers proposed an abolition of duties on agri-
cultural implements and other machines farmers had to use.
The price of agricultural implements had almost doubled
within five years. The suggestion was made that a direct
tax be placed on undeveloped natural resources and lands
held for speculation, a further income tax based on degrees
of wealth, increase in succession duties and a tax on the
profits of industrial corporations.
THE MONETARY TIMES
Corporation Finance
Port Arthur Shipbuilding Company Hopes to Build Up Better Business by Entering Other
Classes of Manufacture— Dominion Park Company of Montreal Has Good Year -London Street
Railway Employees May Strike— Surplus is Too Small to Pay Increased Wage Demand
Demerara Electric Co., Ltd.— September earriinss of the
company were as follows: —
Gross. Net.
Railroad $10,817 $1,453
Light and power 10,828 4,770
Miscellaneous 683
$G,906
Trinidad Electric Co.. Ltd. — Earnings of the company
for September were as follows: —
Gross. Net.
Railroad $19,334 $ 5,788
Light and power 15,291 3,638
Ice and refrigeration 8,485 3,649
Miscellaneous 4
$13,079
London Street Railway. — Employees have received from
the Ontario Railway Board a report oh the financial results
of operation for the month of October. It showed that, after
paying the guaranteed maximum wage of 48 cents an hour,
and after meeting bond redemption and other chai-ges which
the board deems inescapable, a surplus of only $17.36 remains
for division among the members of the union. The bonus,
reckoned in cents per hour, is down to decimal fractions and
the men's demand for 52 cents is not met. Employees will
not recede from their demand for 52 cents, and unless some
arrangements are made within the next few days a strike
will no doubt ensue.
Nipissing Mining Company. — According to the regular
monthly report by Hugh Park, manager, the company, during
the month of October, mined ore of an estimated value of
$184,578 and shipped bullion and residue from Nipissing and
custom ores of an estimated net value of $316,475. The price
of silver is figured at 82 cents, a decline of nine cents per
ounce from the September statement.
The following is a summary of production for October:
Washing plant, $70,270; low-grade mill, $114,308. Total,
$184,578. These figures compare with a total of $225,100
during the preceding month. The decline was due to power
shortage, a condition which was only temporary.
Winnipeg Street Railway Company. — As announced in
these columns last week, a special meeting of shareholders is
called for December 4th to authorize an increase in the com-
mon capital and to deal with details in connection with the
issue of $3,000,000 7 per cent, cumulative preferred stock.
With regard to the preference stock it is announced that the
new money will be used, when received, to pay outstanding
indebtedness of the company. What this is, is indicated by
the figures in the annual statement of the company at the
close of last year, when the following items appeared: Notes
at banks, .$2,560,000; accounts payable, $563,501; due to the
city, $146,395; taxes to city and province, $530.71li; other
liabilities, $210,385; bond interest, due .January 1st, $125,000.
The outstanding common stock, debenture stock and
bonds of the company at the close of last year, wei'e set
forth as follows: Conniion stock, $9,000,000; debenture stock,
$4,380,000; bonded debt, etc., $5,750,000. It was also shown
that the company had outstanding gold notes of $750,000,
due on January 15th next, which are not a part of the cur-
rent obligation, for which provision must be made in the
issue of the new preference shares.
I'ort .Arthur Shipbuilding Company. — Further particulars
of the company's operations for the year ended June 30th,
1920, have come to hand, and, as the company was one of
those companies originally included in the British Empire
Stee' r'"<"poration. but was finally excluded, it is interesting
to indulge in more detail. The company experienced a re-
duction in gross earnings from $517,563 to $301,214, due to
a decrease in volume of business. The falling off in work
has been in ships for new construction, business from dry-
dock and repair work being very satisfactoi-y, showing an
increase of SO per cent, over last year. A falling off in the
building of ships has been general, affecting all the ship-
yards in Canada. The chief causes have been the interna-
tional exchange situation, which has operated against Cana-
dian yards securing contracts from European countries re-
quiring tonnage and the cessation of building by the Cana-
dian government.
Of ships, construction of which was commenced last
year, the company completed and delivered four freight
steamships of 3,400 dead weight tons each and launched two
freight steamships of approximately 4,500 dead weight tons
each, which were completed and delivered, one in September
and one in October. All of these ships are for the Canadian
government merchant marine fleet. New ship construction
commenced this period consists of one freight steamship of
approximately 4,000 dead weight tons for the Canadian gov-
ernment and one freight steamship of about 3,000 dead weight
tons.
The report also says: "In view of the present situation
in regai-d to ship construction, your directors have deemed
it advisable to authorize the company to enter upon other
Work than shipbuilding to which your plant is adaptable.
Work has already been commenced upon a contract for
twenty compressed-air mine shovels for one company, and
negotiations with other companies requiring this class of
machine have advanced to a point where other conti-acts seem
assured. The undertaking of other suitable work, including
the manufacture of pulp machinery and digesters, is also
contemplated. If nothing unforeseen arises to interfere with
plans at present under consideration, which appear, as far
as investigation has gone, to be entirely feasible, develop-
ments along these lines may, within a short time, i-esult in
an amount of business equal to, if not gi-eater, than the
falling oft" in new construction, and this at very small addi-
tional capital expenditure." In regard to the manufacture of
pulp and paper machinery, the company's policy was out-
lined in these columns a few weeks ago.
During the year the company redeemed $126,500 par
value of preferred stock and retired $60,000 par value of
mortgage bonds. Capital expendliui-es made this year have
been for ordinary additions and betterments only, including
the installation of some improved machinery, and amounted
to $94,846. A recent appraisal of the company's permanent
assets, book value of which is $2,091,522, shows the present
net cash value to be $3,250,000.
.•\ comparison of the balance sheet discloses some inter-
esting changes: —
1920. 1919.
Total assets $5,982,162 $6,154,902
Cash, accounts receivable and mer-
chandise inventory 1,088,960 930,963
Constnaction work in progress .... 1,974,027 1,952,698
Land, buildings, etc 2,091,522 2,203,618
Victory bonds 235,131
Total liabilities 5,001,741 5,360,847
Surplus 980,421 794,055
Acceptances, accounts payable and
accrued 166,274 316,107
.Advances on construction contracts 1,801,910 1,921,025
Bonded debt 450,000 510,000
Preferred stock 665,200 791.700
Dominion Park Company, Ltd. — Gross earnings of the
company for the year ended October 31st, 1920, amounted
November 19, 1920
THE MONETARY TIMES
43
BANK OF MONTREAL
Notice is hereby given that a Dividend of Three Per
Cent, upon the paid-up Capital Stock of this Institution has
been declared for the current quarter, payable on and after
Wednesday, the First Day of December next, to shareholders
of record of 31st October, 1920. Also a Bonus of Two Per
Cent, for the year ending 31st October, 1920.
By order of the Board.
FREDERICK WILLIAMS-TAYLOR,
General Manager.
Montreal, 19th October, 1920. 262
THE CANADIAN BANK OF COMMERCE
DIVIDEND No. 135
Notice is hereby given that a dividend of Three per
cent, upon the capital stock of this Bank, being at the rate
of twelve per cent, per annum, has been declared for the
quarter ending 30th November next, together with a bonus
of one per cent., and that the same will be payable at the
Bank and its Branches on and after Wednesday, 1st Decem-
ber, 1920. The Transfer Books of the Bank will be closed
from the 16th November to 30th November next, both days
inclusive.
By Order of the Board,
Toronto, 15th October, 1920.
JOHN AIRD,
General Manager.
260
THE OGILVIE FLOUR MILLS COMPANY. LIMITED
DIVIDEND NOTICE
Notice is hereby given that a quarterly dividend of one
and three-quarters per cent, has been declared on the Pre-
ferred Stock of the Ogilvie Flour Mills Company, Limited,
payable Wednesday, the first day of December, 1920, to Share-
holders of record at the close of business Monday, the twenty-
second day of November, 1920.
By Order of the Board.
G. A. MORRIS,
Secretary-Treasurer.
Montreal, November 11, 1920. 290
DIVIDEND NOTICE
CANADIAN GENERAL ELECTRIC CO.. LIMITED
COMMON STOCK DIVIDEND NO. 86
Notice is hereby given that a Quarterly Dividend of two
per cent, for the three months ending the thirty-first day of
December, 1920, being at the rate of eight per cent, per
annum, has been declared on the Common Stock of the Com-
pany.
The above Dividend is payable on and after the first day
of January, 1921, to Shareholders of record at the close of
business on the fifteenth day of December, 1920.
By Order of the Board.
W. H. NESBITT,
Secretarv.
Toronto, November 15, 1920.
291
Dkbenttjres for Sale
DEBENTURES FOR SALE
TOWN OF PEMBROKE
Tenders will be received by the undersigned, marked
"Tenders for Debentures" on the outside, up to 3 p.m., Wed-
nesday, November 24th, 1920, for the following: —
$33,000.00 General Debentures, ten-year, instalment, with
interest at six (6) per cent. Principal and interest payable
the First day of December in each year at the Bank of Nova
Scotia, Pembroke.
$14,000.00 Public School Debentures, thirty-year, instal-
ment, with interest at six (6) per cent. Principal and in-
terest payable on the 30th day of October in each year at
the Bank of Nova Scotia, Pembroke.
The highest or any tender not necessarily accepted.
286
S. L. BIGGS,
Clerk-Treasurer.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Branches— SASKATOON AND CALGARY.
Canadian Managers
INVESTHENT CORPORATION OP CanAD,
London Office
to $341,054, an increase of $42,624 over the previous period.
Operating costs during the season, however, were in excess
of those of last year, the 1920 total of $294,786 exceeding
that of 1919 by upwards of $57,000. After all deductions,
including bond interest and provision for income tax, there
remained a balance of $37,900 to add to surplus account,
which, after the payment of the usual 6 per cent, dividend,
was increased to $210,083, as at October 31st last, compared
with $196,064 at the end of the former twelve-monthly period.
The balance sheet portion of the statement shows that
the company's financial position has been strengthened in
order to provide for the retiring at maturity at the end of
the current year the $74,000 bonds presently outstanding.
During the period covered by the report under review some
$7,000 of these were retired, reducing the amount outstanding
to the figure already noted. "This," says the president,
J. Herbert Redpath, referring to the retiring of the balance.
"will do away with all fixed charges for the future and leave
the company's proptrty entirely in the hands of the share-
holders."
In making provision for this development, government
war loan bonds held by the company were reduced from
$67,015 a year ago to $20,140 at the end of October, this
reduction being accompanied by an increase of nearly $36,000
in cash assets.
Watt and Watt, members of the Montreal and Toronto
Stock Exchanges, have moved their Toronto office to 6 and
8 Jordan St.
The Ontario government has received a cheque from the
International Nickel Co. for $504,000. It is for this year's
taxes and arrears of 1918 and 1919, about which there was
a dispute, the courts deciding in favor of the province.
THE MONETARY TIMES
Volume 65.
RECENT FIRES
Adams Bros., Winnipeg, Had a Loss of .S400.000 — Robinson
Ice Cieam Co., Hamilton, and St. Anne's Parish Hall,
(Juebec, Were Heavy Losses
Rancroft, Ont. — November 16 — The town hall was de-
stroyed by fire. The loss is covered by insurance.
Belleville, Ont. — November 16 — Fire, which started in
the Palace Theatre on Front Street, damaged several ad-
joining buildings. The loss is estimated at $25,000.
Bridgcburg, Ont. — November 16 — Store of Peter Grueff,
located at the shipyai'ds, was desti'oyed by fire. The loss is
estimated at $9,000.
Fairbank, Ont. — November 9 — The lumber yard of Ash-
forth Pedwell was destroyed, resulting in a loss of $50,000,
covered by insurance to the extent of $oO,000.
Gladstone, Man. — November 23 — A theatre and a photo-
graphic studio were damaged by fire. The loss is $10,000.
Hamilton, Ont. — November 13 — Sparks from machinery
did $150,000 damage to the two-story brick plant of the
Robinson Ice Cream Co. on McNab Street North. Insurance
of $50,000 was carried.
Kincardine, Ont. — November 12 — The evaporator at the
corner of Huron Terrace and Harbor Street, later spreading
to the Royal Hotel. The total loss is $20,000.
Montreal, Que. — November 10 — The one-story frame
building of Cohen Bros., bottle exchange, 109 St. Timothee
Street, was partially destroyed by fire.
Ottawa, Ont. — November 1.5 — St. Anne's Parish Hall was
totally destroyed by fire. The loss is estimated at $150,000,
and is partly covered by insurance.
Quyon, Que. — November 15 — Boland store on Main
Street was destroyed by fire. The fire is believed to have
been due to an overheated stovepipe. The loss is estimated
at $6,000.
Richmond, Ont. — November 11 — Chopping mill, owned
by Clayton and Godbey, was damaged to the extent of $8,000.
St. .lohns, Nfld. — November 15 — The store occupied by
Simon Levitz, on Water Street, was destroyed by fire. The
contents were valued at $.38,000, and the insurance of $18,000
was in the following companies: Hartford, National and
Acadia.
St. Lambert, Que. — November 10 — St. Lambert police
and fire station were destroyed by fire, which is thought to
be incendiary. The damage is estimated at $20,000.
Sudbury, Ont. — November 9 — About $15,000 damage was
done by fire which totally destroyed Bai'gnesi's butcher shop
arid the private residence of Paul Gravelle on Regent Street.
The loss is partially covered by insurance.
Toronto, Ont. — November 15 — Barns of Miss Cochrane,
York township, containing the season's crop and twenty-four
head of cattle and three horses, were destroyed by fire.
Warsaw, Ont. — November 17 — A frame house, belonging
to Mrs. ."Andrew Lerush, of Lakeside, was destroyed by fire.
Winnipeg, Man. — November 10 — The leather goods ware-
house of .Adams Bros, on Market Street, was damaged to
the extent of $400,000. The loss is entirely covered by
insurance.
November 13 — Fire is reported to have done $15,000
damage to the .Anthes Foundry, Saskatchewan .\venue. An
overheated pipe in the dipping-room of the plant is believed
to have been the cause.
ADDITIONAL INFORMATION CONCERNING FIRES
Brandon, Man. — October 29 — The winter fair buildings,
occupied by the Canadian Mounted Police, suffered a loss of
$80,000. with insurance of $97,500. The cause of the fire is
not known.
Hamilton, Ont. — October 18 — A building occupied by the
Hamilton Lamp Co., 144 York Street, was damaged by fire.
The damage to the building was $4,210 and $2,244 to the
contents. The insurance of $8,500 on building was in the
following companies: Commercial Union, Atlas, North British
and Mercantile. The insurance on contents was $15,000 in
the Atlas, Scottish Union, Acadia, Fidelity, Phoenix, British
Colonial and London Guarantee. The cause of the fire is
unknown. The damage to the H. O. Co., York Street, is
$2,000, with insurance on stock and machinery in the following
companies: Economical, $2,500; Gore, $1,500; Commercial
Union, $3,500; Perth, $1,500; Merchants, $1,500; Atlas, $4,000;
St. Paul, $1,500; Fidelity-Phenix, $2,000; Acadia, $1,000;
St. Lawrence, $1,000; North British Mercantile, $5,000; Com-
mei-cial Union, $4,000; Globe Indemnity, $1,000; Commercial
Union, $1,250; British America, $2,450; Gore, $1,000; St.
Paul, $1,000; London Guarantee, $2,500. Total, $38,200.
The McClary Manufacturing Co. had $61,000 of insur-
ance on building and stock in the Fidelity Underwriters.
Manitoba. — During the month of September there were
124 fires reported. The loss from these fires was $133,849,
with insurance of 436,417. The following were the class of
structure damaged: Dwellings 33, farm buildings 42, apart-
ment buildings 4, hotels 3, stores 2, and garage 1. The
causes were: Lightning 26, smoking 16, chimneys 12,
matches 10, bush fires 9, spontaneous combustion 3.
Quebec, Que. — November 5 — The building at the corner
of St. Valier and St. Germain Street suffered a loss of $1,200,
with insurance of $3,500. The cause of the fire is unknown.
Tillsonburg, Ont. — October 13 — The oatmeal mill and
elevator of the Canadian Cereal and Flour Mills. Co., Ltd.,
was destroyed by fire. The loss is $120,000 with insurance
on building- as follows: —
Queen, $8,291; Strathcona, $2,500; Norwich Union,
$1,645; Millers and Manufacturing, $20,500; Hand-in-Hand,
$20,500; Wellington, $5,000; Commercial Union, $5,000;
Mercantile, $15,000; Continental, $5,000; Noi-wicn Union,
$5,000; Ocean, $13,895; Norv.ich Union, $5,000; London
Mutual, $8,000; London Guarantee, $5,000; London Lloyds,
$65,000; Continental, $4,000; L. L. and Globe, $15,000;
Guardian, $10,000; Royal, $8,921; Emplovers Liability,
$8,865; St. Lawrence Underwriters, $2,959; Royal, $9,883;
London Assurance, $7,116. Total, $251,449.
The stock was insured in the following companies: —
Guardian, $10,000; Imperial Underwriters, $10,000;
Globe Rutgers, $5,003; Occidental, $2,500; Monarch, $5,000;
Strathcona. $2,500; London Guarantee, $5,000; Nationale,
$2,000; Mount Royal, $8,000; N. B. and Mercantile, $10,000;
London Assurance, $5,000; Mjunt Royal, $7,500; Hand-in-
Hand, $15,000; Nationale, $2,000; Commercial Union,
$17,500; L. L. and Globe, $15,000; N. B. and Mercantile,
$5,000; Pacific Coast, $2,500; Century, $2,500; Hand-in-Hand,
$5,000; Royal, $10,000; Employers Liability, $2,500; Con-
tinental, $5,000; Royal, $10,000; Royal, $7,500; Hudson Bay,
$10,000; London Guarantee, $5,000; North Empire, $10,000;
British Colonial, $10,000; Strathcona, $5,000; North Em-
pire, $5,000; Guardian, $5,000; Occidental, $5,000; Queens-
land, $15,000; Monarch, .$2,500; Globe Rutgers, $10,000; L.
L. and Globe, $5,000; London Assurance. $5,000; Guardi:m,
$15,000; North America, $19,000; Globe Ratgcrs, $5,000.
Total, $303,500.
Toronto, Ont.— November 1 — Building and contents be-
longing to S. F. Bowser Co., Ltd., was destroyed by fire.
The fire was caused by short-circuit extension drop-light.
The loss is $3,000, with insurance in the following companies
on the building and contents: London and Lancashire, $20,-
000; Norwich, $20,000; Western, $20,000; ^tna, $20,000;
Home, $20,000; British American, $20,000; Employers, $20,-
000; Sun. $40,000; Hartford, $20,000; Boston Manufacturers
Mutual, $70,000; .\rkwright, $60,000; Paper Mill, $10,000;
Worcester Manufacturers. $20,000; Fall River Manufacturers,
$20,000; Fireman's. $20,000. Total, $400,000.
Vancouver. B.C.— The chief of the fire department of
Vancouver states that during the month of October there
were 66 alarms. The total loss was $18,600, of which amount
$17,655 was covered by insurance. The following shows the
cause of fires: Bush fires 2, chimney fires 20, defective
chimneys 2, electrical origin 4, incendiary 1, spontaneous
combustion 1.
>'rM.i.,nKr, Kvts\ Fkioav
The Monetary Times
Printing Company
i)f Canada, Limited
'The Canadian Enaineer"
Trade Review and Insurance Chronicie
of Canada
Established 186"
Old as Confederation
JAS. J. SALMOND
President and General Manager
A. E. JENNINGS
Assistant General Manager
JOSEPH BLACK
Secretary
W. A. McKAGUE
Editor
Supporting Foreign Agents of Manufacturers
Provisional Contract With Agent Should Give Sufficient Time to Show
Results — Some Considerations in Framing a Long-Term Contract — Quota-
tions Should be Cost, Insurance and Freight— Longer Term of Settlement
Required— Foreign Business Too Often Sacrificed to Fill Domestic Orders
By COL. C. R. HILL
Managing Director, Hill and Co., Ltd., Toronto
(This is the third of a series of articles on Practical Exporting, the first of ivhieh ukis published in
The Monetai-y Tiines of November 12, 1920)
I
ASSUMING that the Canadian manufacturer has definitely
decided to give a foreign agent an opportunity to re-
present him in the agent's local territory, there are many
things to be considered by him before he can feel that he
has offered his products in that tei-ritory on a satisfactory
basis.
Contracts
From the manufacturer's standpoint, the question of
making and signing an agency contract is of no less import-
ance than to the agent himself. In the first place, any con-
tract should be on a term basis to give the agent the pro-
tection he i-equires, but the first contract should be a pro-
visional one, terminable in a given time if sales results are
not forthcoming. It is suggested that a minimum of six
months and a maximum of twelve should be the time limit
for the original provisional contract. Such time limit should
be from the date the agent is actually in possession of
samples, prices, catalogues, discounts and all the data neces-
sary for him to commence a sales campaign. Otherwise, a
considerable part of the time limit may be consumed in get-
ting the "munitions of war" on the ground.
In considering the time limit, thought should be given
to the sales season in the agent's country. For instance, if
samples of straw hats arrive late in the spring the agent
cannot be expected to book orders until buying commences
for the second following summer.
The justification for a long-term exclusive contract is
obsiously governed by sales made dm-ing the short-term
provisional contract. Just what such sales might be can only
be decided upon by the manufacturer when he studies the
agent's reports, the competition and the population of the
country. Furthermore, the first six to twelve months' work
on the part of the agent is largely of the missionarj' type,
and even a few trial orders in that period will correspond
very favorably with big orders three years later.
Provision for Long-Term Contract
Assuming that the manufacturer approves of a certain
agent, the long-term contract should embody various clauses
for the agent's protection, a few of whicjj are suggested: —
(a) One clause should state the term of the contract,
preferably irrevocable for three years, except by mutual
consent, with the additional provision that it be automatically
continued for two-year periods, provided that annual sales
for a specified amount result. Such a clause justifies the
agent in organizing his territory, employing sales staff,
advertising, etc.
(b) Another clause should state that all enquiries from
the agent's territory will be referred to him, and that he
will be protected on commissions on all sales made to his
territory, regardless of any orders that may be received
direct from buyers.
(c) Another clause should specify to what extent the
manufacturer is prepared to supply free samples and litera-
ture to the agent or his customers, and how much the manu-
facturer will contribute towards advertising expenses.
(d) Another clause which the agent should be entitled
to is payment of part-commissions on bona fide orders from
Al buyers, but which for several reasons (not the fault of
the agent or of the manufacturer's factory troubles) cannot
be filled. From the manufacturer's standpoint, this is un-
doubtedly a penalty clause, but as long as he leaves the im-
pression with the agent that he can fill orders, the agent
continues to spend time and money to obtain them, and is
entitled to at least part of his remuneration.
The Export Manager's Work
No manufacturer of small articles would think of send-
ing out salesmen who wei'e not equipped with samples, price
lists and order forms. If he has catalogues, these ai-e also
provided to customers, but the same equipment for an On-
tario salesman will not do for the South African agent, and
it is the duty of the export manager to prepare the literature
for his foreign agents in such a way as to meet the require-
ments at Cape Town, Havre, Calcutta or Yokohama, as the
case may be.
Probably the most Impoi-tant thing required by a foreign
agent is pi-ices made up, c.i.f. at his nearest ocean port. It
will be readily appreciated that a factory price at an inland
Canadian town means nothing at all to a buyer in Paris,
France. The agent naturally studies the subject of ocean
rates, bnt knows nothing of Canadian railway rates, and,
at the best, can only give very approximate quotations to his
prospective customers, with the result that he wastes his
time. The Parisian buyer immediately tells him that his
English, American and other competitors quote delivered
prices at French ports, and until he is prepared to do the
same he need not call. The points to be considered in making
up delivered prices at foreign ports will be taken up in a
later article of this series, with ample illustrations.
Longer Term for Settlement
The next point with regard to prices is the question of
terms of settlement. Just as the manufacturer quotes a dis-
THE MONETARY TIMES
Volume 65.
count for 30 days and higher for 10 days' payment on
domestic sales, so he must consider longer term settlements
to get into foreign markets in competition with his English
and American brethren. In nearly all distant markets the
buying terms are anywhere from 60 days to 120 days after
sight, but the general rule is 90 days. Therefore, the export
price list should take into consideration "loss of interest."
This is easily adjusted by adding 2 per cent, to the prices
which would otherwise be figured for a domestic basis. The
manufacturer is, of course, not out his cash for 90 days on
his export business, as he always draws immediately against
his customer, with documents attached, and requests his
bank to discount the draft.
The next thing the manufacturer should consider is the
generous provision to the agent of samples and literature.
It is only an aggravation to an agent 4,000 miles from the
factory to receive inadequate supplies. It is perhaps better
not to send one large consignment to him and wait six
months before submitting another. The transportation risks
are such that continual small lots are more likely to fill the
requirements.
Another thing that helps the agent financially and
morally is to have the manufacturer advertise at the latter's
expense and, of course, include the agent's name and address
in the advertising. As a matter of policy it will always
be preferable to leave the advertising policy in the hands of
the agent for his own territory and simply specify the ex-
tent of expense which the manufacturer is prepared to meet.
Foreign Orders Must Have Equal Treatment
The last and not least important duty of the manufac-
turer is to promptly and satisfactorily fill the foreign orders
as the agent sends them in. The natural tendency of a manu-
facturer is to give preference to his domestic orders and to
neglect overseas orders when Canadian business is brisk
enough to take care of his output. It is easy enough to find
good excuses for this practice, but it is a very short-sighted
policy. First, because domestic business has its ups and
downs, and during the "downs" the export business helps to
keep a plant in full operation. Second, because foreign
buyers will not consent to play second fiddle and be given
their supplies erratically. Third, because the foreign agent
has a claim on the manufacturer for active support in build-
ing up the trade in his territory. Great Britain is "great"
because the manufacturers there set aside a proportion of
their output for export business and for centuries have stuck
to that policy.
It has been stated that the manufacturer should fill ex-
port orders "satisfactorily" as well as promptly. This
means, —
(a) .Accurate preparation of export documents;
(b) Packing and marking;
(c) Shipping according to order.
Care Regarding Details
The export manager will learn some details as to the
preparation of export documents in a later article, while the
importance of packing and marking will also receive special
attention in detail. In this article we will, therefore, only
mention the importance of shipping "according to order." It
is not pleasant to criticize one's neighbors or business rivals.
However, our American neighbors will not object to one's
drawing attention to the very severe criticism published
occasionally in the States by Americans who have returned
from abroad on the subject of American manufacturers filling
export orders on a very liberal interpretation to suit them-
selves. For instance, an order for brown serge may have a
blue serge of the same weight and texture substituted in
good faith, but blue may be an unsaleable color in the
country receiving it. Again, an order from Peru mav specify
that packages must not exceed 100 lbs. The manufacturer
may consider this an unnecessary waste of labor and ma-
terial, but the buyer probably has his ultimate market in the
mountains accessible only by mule loads. Therefore, a manu-
facturer must trust the buyer to know what he wants and
how he wants it. and fill his orders in that spirit.
Codes
There are many excellent codes published, but none of
them help abbreviations in ordering specific articles by cable
when the products are constantly changing as in textiles, or
are almost infinite in their variety as in hardware. It is
going to help the foreign agent considerably, therefore, if
the export manager will provide each article and each variety
of such article with a private code word of five letters when
he originally offers it on the export market. There is not
much work in this, nor does it require any great strain on
the imagination. Words with three vowels and two conson-
ants are best. For instance, in submitting a line of four
different kinds of overalls, each with four sizes, sixteen code
words are wanted and can start B.ACED, CIDOF, DUFAG,
and so on, using the vowels and consonants in rotating order.
The merit of using five letters is, of course, to meet the cable
charges which allow ten letters to one word. Besides
economy, such words work in well with the five latter codes
such as Bentley's and the new Western Union.
FRATERNAL SOCIETIES' ONTARIO BUSINESS
DECREASED
Assets in Ontario Crew Almost $2,000,000 in 1919, However
— Comparison of Two Years' Business
'T' HE amount of friendly societies' business in Ontario at
-■• the end of 1919 was $137,677,643, compared with
.$139,369,363 at the end of 1918. In comparison with the
figures as at December 31, 1918, the report of the Ontario
Registrar of Friendly Societies for 1919 which has just bee:i
issued, shows the following: —
Dec. 31,1918 Dec. 31, 1919
Total membership in Ontario 230,023 172,111
Amt. of ins. in force in Ont. $ 139,369,363 $ 137,677,643
No. of cert, in force anywhere 861,278 862,182
Amt. ins. in force anywhere $1,021,.501,203 $1,016,014,619
No. claims matured in Ontario 2,748 2,286
Amt. ins. benefits paid in Ont. $ 2,589,567 $ 2,518,536
Amt. disability benefits paid
in Ont. including pensions
and gratuties .$ 169,778 $ 151,919
Assets in Ontario $ 18,481,738 $ 20,236,236
Liabilities in Ontario $ 545,936 $ 399,553
Total assets anywhere $ 58,270,140 $ 59,958,458
Total liabilities anywhere ... $ 4,955,440 $ 3,191,901
The totals of sick and funeral benefits, compared with
last year, are as follows: —
Dec. 31,1918 Dec. 31, 1919
Number of members 173,625 183,596
Deaths during year 4,097 3,087
Amount paid for funeral benefits . $ 204,773 $ 184,206
Number of members sick 34,992 32,126
Number of weeks sickness 171,974 166,789
Amount paid for sick benefits $ 705,835 $ 698,334
Amount paid for medical attendance $ 93,540 $ 103,624
.\mount paid for special relief $ 44,334 $ 36,265
Assets $3,979,788 $4,300,787
Liabilities $ 120,904 $ 103,600
In presenting his report Superintendent Gray says: —
"Before the war friendly societies were in a transition
stage, both in regard to membership and financial status.
.An uncertainty in the public mind as to the permanency of
the basis on which the insurance structure of the societies
rested res^ulted in an annual decrease in the number of new
members secured. .Then the war and the influenza epidemics
added disturbing influences. Some of the societies have met
the situation by a readjustment of their rates, which placed
the insurance fund on a basis actuarially sound, and these
are now on the clear road to a development which will
render a larger and better service than ever before. Others,
however, have failed to meet the demands of their situation,
and for them the future is still uncertain.
November 26, 1920
THE MONETARY TIMES
"It should be said that the executive officers of the
societies, almost without exception, have realized for some
years the necessity of a readjustment of their insurance
structure and the fact that postponement of the process
merely added to existing difficulties. But in those instances
where readjustments were defeated the general and controll-
ing membership, having in mind the apparent present
prosperity of their orders, have been willing to gamble on
the present assets outlasting their individual need for pro-
tection, and they refuse to see the liabilities of the order
mounting to the point of danger to all. Putting the case
bluntly, the organized selfishness of the general membership
has been willing to sacrifice the future of the order and
the protection of new members to serve its own immediate
purposes. This force has overpowered the leadership which
the executives endeavored to give.
"This situation made necessary the intervention of the
legislature for the protection of new and prospective mem-
bers and of the public generally.
Ontario Law Rendered Inepfective
"In 1916 an amendment to the Ontario Insurance Act
prescribed a compulsory valuation of outstanding insurance
certificates of all societies as of the 31st December, 1917,
to be followed by a series of triennial valuations of the in-
surance certificates. Provision was made for action by the
department if any society failed to maintain its financial
position from valuation to valuation. These amendments ai'e
contained in chapter 36 of the statutes of 1916.
"Unfortunately, the addition of section 78 (i) has
rendered entirely ineffective whatever virtue was contained
in the preceding sections providing for action by the de-
partment by making their application contingent on the
voluntary adoption of these provisions by the society before
a fixed date. No society adopted the prescription of the
legislative physician. The second of these valuations, made
as of 31st December, 1920, will be due on or before the 30th
.June, 1921, and as th? law now stands the department will
be powerless to take any action, whatever condition may be
disclosed by the valuations.
"In order that this situation may be met both in the
interests of the societies and of the public, and in order
that friendly societies generally may regain a large
measure of public confidence and prospective members be
properly safeguarded in insuring therein, it is desirable that
the Insurance Act be further amended, first, to make pro-
vision for more effective valuations and reports of financial
status than at present exist; and second, to prescribe re-
gulations by which all registered friendly societies will at-
tain full actuarial solvency within a reasonable time. The
leaders of friendly societies generally recognize the necessity
of this course of action, and, it is believed, will co-operate
in securing it.
Separation of Insurance Funds
"Attention of the societies and of the public requires to be
drawn to a condition which now exists in some societies
reporting to this department. Where it has proved impos-
sible to effect immediate readjustments of rates to an ap-
proved actuarial basis some societies have adopted new
rates applicable to new members joining after a fixed date
and to old members voluntarily transferring to the new-
class. These rates are represented to the new members to
be 'adequate rates.' In some cases, iiowever, it has not been
made clear either in the constitution or practice of the
society whether the funds received from the new members
are to be preserved for the absolute protection of the new
members or not. In some cases new members may be misled
into believinj that by the differentiation in rates their posi-
tion is being made secure as against the claims of old or
other members, when, in fact, they are only contributing
to a general insurance fund which possibly may not meet
all the claims which will accrue against it under a continua-
tion of the same policy. All societies which charge differ-
ent rates to different classes of members must examine their
rules and practice to make certain that the protection af-
forded to different classes is in accord with their representa-
tions to, and the understanding of, new and prospective
members.
Foreign Friendly Societies
"In 1919, an act was passed by parliament in amend-
ment to the Dominion Insurance Act, which made special
provision for fraternal societies and their attaining actuarial
solvency. In tips connection the legislation will be a valu-
able precedent for Ontario. An incident, however, of this
act, which had a far-reaching effect, was that fraternal
r.\BLE l.-UFE l.NSURANCE OR BENEFITS IN THE NATURE THEREOF.
Choseo Friends GranJ" Council. Canatlin
Order
Ciril Service Mutual Beuetit Society
Commercial TraTellers' .\iisociatioD
Federated Association of Letter Carriers ,
Foresters, Canadian Order of. Hieh Conn
Foresters. Catholic'Order of
[lamJltOD Firemen's Benefit Fund
Hamilton Police Benegt Fond
Home Circles. Canadian Order of
Knithts of Malta.. Chapter General of
Canada". ».... ."..>
Kniehtl gt Pytbias ;
London I'olice Benefit Fund
The Maccabees
.Mutual Masonic Compact
Oddfellows. Canadian Order. Graml Lod^e.
Oddfellows Relief .Association... »
Ontario Commercial Travellers' Association
Oranee Orand Lodee of B.itish Americ
Royal Arcanum. Supreme Council
Royal Templars of Temperance
Sons of England. Supi-eme Lodge
Sons of Scotland
St. Joseph Union of Canada
Toronto Police Benefit Fund
Toronto Firemen's Benefit Fund
United Workmen, .\ncient Ortler of...
Totals
4.000
20.762
:1.583
21.418.356 SO ,
(a)l45.000 00
5.858.71.^ 00 I
338.350 00 I
39 ..307,760 00
8;797.000 OC
8.783,000 00
19.700 00 i
l.aSS.SSO 67 j
11.668.750 (10
I.35i.670 00
2.1)81.000 00
2,48.?.711 CO
2.853.500 00
2,421.643 01
2.707.844 00
4.195,425 00 !
2.805
:;o.99e
3.102
t.Mi
134,373
3.5*1
3.795
1.058
21 .603
J52.343.547 03
20.300 00
2.157.770 67
25.35I.7I>0 00
1.353,670 00
4.257.000 00
•221,978.058 01
8.886.500 00
2.963.581 40
3.037.594 00
16.973.875 00
S62.182 1.016.014,619 30
3fl2.037 83
3.100 00
91.201 67
8.250 00
559.961 83
l'J6.415 93
450 CO
121.190 ii
150.666 42
500 00
31,665 37'
253.664 83
23,940 00
.57.707 57
86.0.35 31
71.336 41
H7.900 00
CS.016 05
71.683 61
4,250 OO
7.600 00
316.533 34
200 00
i'.iii'ai'
1.153 45
3.518.5.36 43
17.961 SS
.1.516.837 01
10.559 11
l!.«36.930 16
"iiJiiii'M
144.440 30
S35.S50 21
15.333 76
78 ,-981 65
96.505 88
41.420 34
.36 91
280.910 54
1.970.0.37 53
424.8.^0 54
157,401 47
66.985 17
565.539 00
511.646 88
756.085 90
1.786.715 34
8.54.543 62
425.279 85
1.428.005 32
1.330.513 51
17.961 86
1.516.837 01
10.559 II
7.034.373 40
6.636.362 72
60.324 54
4.000 00
'iioii'j?'
2<i.:«3 33
5.908 17
18.133 00
10.798 13
■23 ..^48 97
17.^0 00
3.300 00
19 00 ■». 236.236 40 399.553 38 59.958.458 30 3.I91.fJH 63
835.2.50 21
15.333 76
78.981 65
96.503 88
23.543.392 44
36 91 i
285,990 54 I
1.975.037 53 !
424.850 54 ;
157.461 47 \
7.575.869 31 1
570.539 00 [
511.646 88 •
756.055 90 I
1.796.715 34
8B4.54S 62
455.278 85
1.428.0O5 32
1.908 17
1.074 20
1.798 13
..348 97
■.750 00
1.296 63
.866 73
(b) Oratoittesand Pen
THE MONETARY TIMES
(&)
societies were made subject to the general provisions of
the Dominion act affecting 'companies.' This includes, among
others, section 11, which provides that: —
"11. It shall not be lawful for
(a) Any Canadian company; or
Any alien, whether a naturalized person or a
foreign company within Canada, to solicit or
accept any risk or to insure or deliver any re-
ceipt or policy of insurance, etc unless
under a license from the minister granted pur-
suant to the provisions of this Act.
"The effect of this has been to require foreign friendly
societies formerly licensed by Ontario to secure a license
from the Dominion Department of Insurance, whether th^ir
operations were to be carried on throughout the Dominion
or in Ontario only. In pursuance of this provision, the
Maccabees, the Knights of Pythias, and the Royal Arcanum
have surrendered their Ontario licenses and, having obtained
a license at Ottawa, are now registered in Ontario as
Dominion licensees."
SASKATCHEWAN'S DEBT THIRTY-EIGHT MILLIONS
SASKATCHEWAN'S debt at the end of April was $38,-
000,000, leaving a surplus of $37,614,037 of assets over
liabilities, according to the public accounts for the year
ended April 30, 1920. This debt includes treasury bills and
farm loan debentures outstanding. It does not include the
contingent liabilities, chiefly railway guarantees, amounting
to $32,955,355.
The statement of revenue and expenditure for the year
is as follows: —
Revenue
Balance brouuht forward from 1918-19
Dominion subsidy
School lands (revenue other than principal
moneys )
Treasury ._
Repayment of loan to supplementary r<»venue fund
Interest on sinking funds and investments
Premium and discount
Attorney-Keneral
Provincial secretary
Ini
Public works
Highways
Education
AKricuIture
Municipal
Rural telephones
Legislation
King's printer
Public health
Neglected and dependent children
Local government board
King's printer's advance
Warehouse
?1,753.075
901,764
3.476,723
62,005
26,366
19.680
1,311.647
1,410,391
62,855
175,767
14.436
34,376
78.234
19.298
109
1.280
26,299
17.841
8,113
Expenditure
Public Debt-
Interest
Sinking funds
Charges on issue of si^curities and temporary
loans
Premiums, discount and exchange
Civil government
Legislation
Atti>rney-general
Provincial secretary
Insurance •.
Public works
Ptlblic improvements ,
Education
Agriculture
Public health
Negbctcd and dependent children
Municipal
Rural telephones
Miscellaneous
Administration of the Saskatchewan Farm
Loans Act
King's printer's advance
Warehouse
Loan to supplementary revenue fund
66.474
48.610
484,597
163,543
1,011,965
60.084
12.502
900.365
747.697
1.433,089
326.823
473,362
116.916
34,144
14.072
630,321
179.108
S00.192
212.622
62.006
AUTOMOBILE UNDERWRITERS MEET IN OTTAWA
Motor Union May Join Association— Statistics of Canadian
Municipalities — Double Income Tax Assessments
Explained
(Staff Correspondence.)
Ottawa, Nov. 25, 1920.
THE annual meeting of the Canadian Automobile Under-
writers' Association is being held here to-day, tlie
executive council having held a meeting yesterday. John 3.
Laidlaw, president, is in the chair. Frederick Williams, man-
ager for Canada of the Motor Union Insurance Co., Ltd.,
which company is not a member of the Automobile Under-
wTiters' Association, was present and outlined a plan for
regulating this business in Canada. There wss, he said,
in an intei-vicw with The Monetaiij Times, a likelihood of
his company linking up with the association if a common
ground could be obtained.
Municipal Statistics Prepared
The Dominion Bureau of Statistics has completed some
figures for the fifty-three cities of Canada having a popu-
lation of 10,000 or over for the year 1919, showing area,
population, debt, assets, revenue, expenditure, and the extent
of the waterworks, police and fire protection systems. These
figures are to be published shortly in pamphlet form. J. R.
^Iunro, head of the financial division of the Bureau, said, in
an interview with The Monetary Times, that a more condensed
summary of this kind may be issued annually in future if
it was tliought to be of sufficient value.
Soldier Settlers Repaying Loans
More than one million dollars has been received in re-
payments of loans made by the Soldier Settlement Board,
according to interim reports from branch offices of the board
throughout the Dominion, and the expectations that this
figure will be considerably exceeded. It is announced that
war veterans placed on farm land in Ontario under the Sol-
dier Settlement Board have made payments of principal and
interest due November 1 amounting to $220,772. The amount
due on that date was $222,675. Seventy per cent, of the 1,148
soldier-farmers, whose payments were due, promptly met
their obligations, amounting to $125,045, and the balance was
made up by eighty-five settlers, who paid off their entire
loans, or a considerable poi-tion of them, in advance. These
figures are as of November 14.
Income Assessment
Officials of the Dominion Taxation Oflfice have issued an
explanation of how it happened that some people apparently
were called upon to pay two income tax assessments. Delay
in the making of assessments for two separate years made
the paying of the tax, in some cases, come closely together.
The explanation issued is as follows: —
"The first assessments for Dominion Income Tax for
the year 1918 were made in November, 1919. The making
of assessments for 1918 continued through December, 1919,
and the early months of 1920, some assessments being paid
in April, 1920. In many cases investigation to obtain income
returns of persons who should have filed retui'ns in March,
1919, occasioned delay in getting the assessments issued.
Assessments for the year 1919 are now being made, and some
persons who paid the 1918 tax in April, 1920, may be requii'ed
to pay 1919 now. Returns for the year 1920 are required to
be made on or before April 30, 1921, and with the return 25
per cent, of the tax due thereon."
Canadian pulp and paper exports during October reached
a total value of $16,706,005, compared with $11,863,578 for the
corresponding month last year, a gain of $4,842,427. The
countries of destination were: Paper — United Kingdom,
$408,482; United States, $6,167,488; other countries, $1,552,-
284. Pulp— United Kingdom, $583,343; United States, $7,-
447,528; other countries, $546,880.
November 26, 1920
THE MONETARY TIMES
Trade Review and Insurance Chronicle
of Canada
Address: Comtr Church and Court Streets, Toronto, Ontario, Canada.
Telephone: Main 7404, Branch Exchange connectins all departments.
Cable Address: "Montimes. Toronto."
Winnipeg Office: 1206 McArthur Building. Telephone Main SMS.
G. W. Goodall. Western Manager.
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The Monetary Times was established in 1867, the year of Confederm-
tion. It absorbed in 1869 The Intercolonial Journal of Commerce, of
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Journal of Commerce.
The Monetary Times does not necessarily endorse the statements and
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PRINCIPAL CONTENTS
Editorial: page
The Campaign in the West 9
The Life Companies' Experience 9
Assessment Exemption Still Increasino- lo
The Falling Price of Wheat 10
Special Articles:
Supporting Foreign Agents of Manufacturers .... 5
Fraternal Societies Business Decreased 6
Saskatchewan Debt? 8
Automobile Underwriters Meet in Ottawa '8
Association of Life Agency Officers 18
Some Suggestions to Fire Agents 18
Canada a Fortunate Nation 20
Interpretation of a Clause in a Mortgage 26
Wheat Stocks Rising Rapidly 44
Monthly Departments:
Trade Statement 22
Government Currency . . 24
Weekly Departments:
News of Industrial Development in Canr.da 26
Insurance Notes 30
News of Municipal Finance 32
Government and Municipal Bond Market . 34
Corporation Securities Market 38
The Stock Markets 40
Corporation Finance .... . . 42
Recent Fires 41
THE CAMPAIGN IN THE WEST
JUDGING by the movements of our national party leaders,
the political centre of gravity of Canada is now in the
west. Moreover, the main issue seems to be the tariff, which
not so long- ago was to be taken out of politics. The fact
that the tariff is the main issue is pi'obably the explanation
of the attention which is being received by the west, for
it is felt that the attitude of the latter will to an im-
portant degree determine public opinion on this national
issue. If the west I'emains firm in its belief in free trade or
a lower tariff, some reductions can scarcely be avoided.
On the other hand, if it can be won over to the premier's
cause of "moderate" protection, a high tariff may be ex-
pected for many years to come.
Premier Meighen returned to Ottawa on November 21
after a rapid and successful campaign in the west. In
thirty days he addressed thirty meetings attended by 7.5,000
electors, covering five provinces and traversing 8,000 miles.
The I'esponse to his appeal was greater than had been ex-
pected. Hon. MacKenzie King, leader of the Liberal party,
preceded the premier, and Hon. T. A. Crerar, leader of
the Progressive party, has also been speaking at various
points in the west. Mr. Crerar's views are well known, how-
ever, embodying as they do the main planks for which the
"West stands, and while he always receives an enthusiastic
reception, there was more interest evinced in the premier'.s
meetings. The Liberal leader's attitude is not so clearly
understood, and he has always to combat the prejudice due
to the failure of the Liberal government returned in 1896
to bring about a substantial tariff reduction at that time.
Larger audiences turned out to hear the premier in Win-
nipeg, Calgary, Moose Jaw and other places than had
attended the meetings of the Liberal leader.
The government has unquestionably gained strength as
a result of the premier's tour. The loss of a seat at a
by-election in Ontario is offset by their success at a by-
election in British Columbia. The relative positions of the
parties Is still a matter of uncertainty, however, which is
increased by the fundamental changes which are taking
place in the industries of the country at the present time.
The fall in prices and the accompanying depression in busi-
ness may in fact save the government from a difficult situa-
tion on the tariff issue, for this situation would be ac-
centuated by any reduction in the customs duties. A move-
ment for lower tarilf and a consequent reduction in the prices
of imported goods was bound to meet with some favor in a
time of activity and rising prices. Now, however, the diffi-
culty is to maintain business in the face of falling prices,
and the question of employment has supplanted the cost of
living in respect of political possibilities. When parliament
meets about January 20, however, the tariff v/iil no doubt
be one of the leading subjects for discussion, although it is
not expected that there will be a large program of other
financial legislation.
THE LIFE CO.MPAMES' EXPERIENCE
T IPE insurance companies are writing more new business
■L^ this year than ever before. One leading agency wrote
more business in the first two weeks of November than in
any two weeks previously. This is an encouraging sign,
in the face of uncertain employment and wages. Never-
theless it must be noted that the rate of increase has fallen
off. There are a few companies, in fact, which will have
difficulty in writing more business this year than in 1919.
Last year's growth was of course exceptional. The gross
new business is.sued and paid for in cash in Canada amounted
to $524,.543,629, as compared with $313,251,556 in 1918. The
net death claims incurred amounted to $16,927,345, of which
$785,331 or 4.G4 per cent, was due to war and $2,995,228 or
17.69 per cent, to the influenza epidemic in the early part of
the year. The death rate among insured lives during 1919
is computed at 8.3 per thousand, rather lower than the 8.6
of 1914. During the last six years, 1918 had the highest
death rate — 14.1 per thousand.
The income of the Canadian life companies in 1919 was
, $88,631,182 and their disbursements $60,947,459. Out of
every $100 income there was expended in disbursements in
respect of assurance and annuity contracts, $43.41; in gen-
THE MONETARY TIMES
Volume 65.
eral expenses, $22.67; in taxes, $1.24; in dividends to sluire-
holders, 63 cents; otherwise, 82 cents, leaving $31.23 to be
carried to reserve.
Net amount of risks in force increased during the year
from $1,394,823,308 to $1,712,062,023, and the reserves have
increased from $291,035,397 in 1918 to $321,027,592 in 1919.
THE FALLING PRICE OF WHEAT
EFFORTS of the oruanized farmers to maintain the price
of wheat at a high level are foredoomed to failure. It
is not Iil<cly that any one commodity, and least of all one
for which there is such a wide market as there is for wheat,
can be manipulated by the producers in this way. Only a
fraction of the farmers on this continent are organized, and
even if these could agree to hold up the supply, there would
be some who would by force of financial circumstances be
obliged to realize on their product. It is probable that the
farmers of Canada, who have so strongly urged that na-
tural forces be permitted to fix the price of all classes of
goods in this country, will quickly realize the fulilitj'' of
any attempt of this kind.
The farmers were among the first to benefit by the
rising price movement. There is nothing unusual, therefore,
in the fact that the prices of farm produce have been among
the first to fall. The rapidity of the downward movement
has, however, been somewhat startling. Prices of a few
classes of farm produce during the past few months reached
their 1914 level. This means that the income of the farmer
is greatly reduced, while he must still pay the high prices
for the manufactured goods he buys. These in return will
come down, but in the meantime the farmer is in the posi-
tion in which the city worker found himself during the past
few years, when the price of goods was going up much more
quickly than were his earnings. The high level of income
and prosperity established in the country through w-ar condi-
tions was only a temporary condition, but it is likely that
many farmers thought it represented a real forward move-
ment on the part of the rural section.
It will be a long time yet ere average prices reach the
1914 level. Until recently it was a common remark that
they could never do so, but the rapidity of the fall during
the past few months has removed this confidence in higher
prices as a permanent condition. It is probable that the
spectacular movements in some lines will be followed by
similar changes in other lines, constituting a fairly steady
decline in average prices.
ASSESSMENT EXEMPTIONS STILL INCREASING
ONE of the main causes of municipalities' financial diffi-
culties is the freedom with which exemption from as-
sessment has been granted to industrial, religious and educa-
tional institutions. While all cities have a substantial ex-
emption list, Montreal is the most conspicuous example
because of the great amount of property owned by religious
corporatipns in that city. Assessments which have just been
completed for that city show a gross total of $889,544,067,
from which the immense sum of $225,190,483 is to be de-
ducted for exemptions, leaving a net assessment of $664,-
353,584. The amount exempted is greater than the previous
year by $676,612.
There ai-e, of course, always arguments which can be
presented for exemption of properties such as the above.
The plea of public service is one which can readily be ad-
vanced. But the public service of the industry, the school
or the church does not compare with the public service of
the taxpayer, who must meet the shortcomings of institu-
tions which are not self-supporting because they do not pay
their share of the cost of running a city. Municipal finance
would be sounder and municipal taxation would be more
equitable if there were no exemptions of private property
whatever the purpose to which it is applied. There are
none of these institutions which are not private in the sense
that they serve a special class, which consequently benefits
by the amount of taxes from which the property is ex-
empted. The patrons of a municipal waterworks, electric
light or street railway service have just as good a
claim to the free use of these works as have the owners of
property to the free use of the numerous facilities for which
no fee is exacted from the consumer.
CENTRAL RAILW.W METHODS CRITICIZED
Deliberate tampering with books, and juggling of ac-
counts, was found by Dr. Charles Morse, registrar of the
Exchequer Court, in his examination of the affairs of the
Central Railway Company of Canada. Claims filed against
the defendant company amounted to something like $3,000,-
000, while the moneys paid into court were $93,170 by the Do-
minion government as the purchase price of rails belonging
to the defendant railway comjiany and used during the war,
and a further amount of $21,250 from the sale of the steamer
"Empress," which operates on the Ottawa River, and the
property known as the Queen's Wharf property in Ottawa.
The chief claim against the company was made by
Charles N. Armstrong, of Montreal, president of the com-
pany, who asked $109,947 as remuneration for services
rendered and expenses incurred on behalf of the company
from 1911 to 1917.
The report of the registrar is a denunciation of the
methods employed in the administration of this company.
Armstrong, says the report, received monies on behalf of the
company and seems to have helped himself to them. A
debit entry of $229,999 was changed in the company's books
to a credit entry for the same amount. Concerning this, the
registrar says: "I doubt if the deliberate tampering with
the books of the company by Blagg (accountant for the
Ottawa River Navigation Co.) at the instance and in the
interests of .Armstrong has any parallel in the history of cor-
porations in Canada. Annstrong's claim for priority is re-
fii.5,.,1 MS mIso is the claim of Senator Domville for $20,000.
NEW COAL COMPANY IS ACTIVE
Welton-Henderson, Ltd., the new coal corporation which
was recently formed to carry on mining operations at Minto,
N.B., are preparing to materially increase their output. The
company are now- operating two shifts, and will soon have
a third under way. Their present output is about 50 tons
daily, and by early in the new year it is expected to have
the quantity increased to between 125 and 150 tons daily,
and to make further increases later on. Miners' houses are
being built and the development generally pushed along.
Contracts which the company have with the Fraser Com-
panies, Ltd., take their entire output. At their Edmundston
pulp plant the Frasers are now using upwards of 150 tons
of coal daily, it is said, and the quantity will be further
increased when the extensions of the plant there are com-
pleted early in 1921. At a meeting held recently officers of
the new corporation were elected as follows: President,
Harvey Welton. Minto; vice-president, Archibald Fraser,
Frcdericton; general manager and secretary-treasurer, John
Henderson, Minto. Mr. Henderson, the general manager, was
formerly manager of the Minto Coal Company, and it was
largely due to his efforts that that company became the
leading producers of coal in the Minto area.
The British American Bond Corporation, Limited, due
to growing business, has moved to quarters recently vacated
by the Whalen Pulp and Paper Co., on the top floor of the
Merchants Bank Bldg., corner of Pender and Granville
Sts., Vancouver, B.C.
Xovember 26, 1920
THE MONETARY TIMES
Bank of Hamilton
HEAD OFFICE
HAMILTON
Established 1872
Capital Authorized
Capital Paid Up October 30th. 1920)
Reserve Fund (October 30th, 1920)
- $5,000,000.00
- 4,889,770.00
- 4,644,885.00
Director*
SIR JOHN HENDRIE. K.C.M.G.. C.V.O., President
CYRUS A. BIRGE. Vice-President
C. C. DALTON ROBT. HOBSON W. E. PHIN
I. PITBLADO. K.C J. TURNBULl. W. A. WOOD
Branches
At Montreal, and throughout the Provinces of
Ontario, Manitoba, Saskatchewan, .41berta and
British Columbia.
Savings Department at all Offices.
Deposits of $1 and upwards received.
Advances made for Manufacturing and Farming
purposes.
Collections effected in all parts of Canada promptly
and cheaply.
Correspondence solicited
J. P. BELL
General Manager
EXPORT TRADE
The extensive foreign con-
nections of this Bank enable
us to place at the disposal
of our customers the best
existing world-w^ide banking
facilities.
Our local Manager is in a
position to give you both
assistance and advice.
IMPERJAL BANK
OF CANADA
212 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited, Edinburgh and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
International
Trade
""PHE success of
international
relationships is
primarily dependent upon com-
merce betw^een nations.
Our Foreign Trade Department is
equipped to render a complete,
world-vv^ide service. We invite you
to utilize our facilities.
Foreign Exchange Departments — with pri-
vate wire service — at London, Eng., New
York, Montreal, Toronto, and Vancouver.
UNION BANK
OF CANADA
THE
Bank of Nova Scotia
Established 1832
Capital
Reserve
Total Assets
$9,700,000
$18,000,000
$230,000,000
GENERAL OFFICE : TORONTO, ONT.
H. A. Richardson. General Manager
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic, Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
55. OLD BROAD STREET. E.C.2
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
J. W. NORCROSS, president of the Canada Steamship
Lines, Limited, has returned to Montreal, after spending
several months in Britain and on the continent. "General
conditions there are still very disturbing," states Mr. Nor-
cross, "the return to a more normal state being retarded
by an unrest in labor circles."
John O'Grady, of the Great- West Life Assurance Com-
pany, has been elected vice-president of the Winnipeg Life
Underwriters' Association, and will naturally succeed to the
presidency next year. Mr. O'Grady has been for several
years treasurer of the association. H. M. M. Meiklejohn,
inspector for the Sovereign Life Assurance Company, has
been electei! treasurer, in succession to Mr. O'Gi^ady.
Ale.x. McDonald, of Winnipeg, has been appointed
freight rate export to the Saskatchewan government. He
will co-operate with the boards of trade in the province to
prepare from time to time cases in relation to any dis-
crimination which may exist in freight rates. He will also
investigate the equalization of rates east and west, and other
transportation matters, in the interest of Saskatchewan
shippers of the general public.
John F. Mackay, who recently resigned as secretary-
treasurer of the Willys-Overland, Limited, Toi'onto. has be-
come vice-president and general manager of the John Mor-
row Screw and
Nut Company, In-
gersoli, Ont., and
vice-president o f
the Ingersoll File
Company, Limited.
Mr. Mackay takes
up his residence
in Ingersoll about
December 1. Pre-
vious to becoming
identified with the
W illy s-Ovei land
Company, he was
for fifteen years
business manager
and treasurer of
the Toronto Globe,
his previous news-
paper training in
^^^ i^—t^-^^tx^fxjm Western OnUirio
B^^Jto- I H^ and Montreal hav-
|r M ^ V ing fitted him for
W' ^^. ' Aj^p' ^^^ success he at-
t ^^^ jfBK> . i| tained there and
■» ^^ J^» ' ^ subsequently i n
the industrial un-
dertakings with which he has been identified. Mr. Mackay
has been a member of the Conservation Commispion of
Canada since its organization by the government of Sir
Wilfrid Laiirier in 1909.
Francis Gordon Osler, of Osier and Hammond, Tor-
onto, son of Sir Edmund Osier, president of the Dominion
Bank, has been appointed to succeed his father on the
directorate of the Steel Company of Canada. Mr. Osier is
also vice-president of the Canada Saskatchewan Land Com-
pany; director, Canada Permanent Mortgage Corporation;
director, Canadian General Electric Company, and a director
of the Manufacturers Life Assurance Company.
John B. Noble, of the Terminal Agencies, Limited,
Vancouver, B.C., has been appointed secretary of the British
Columbia Fire Underwriters' Association, in succession to
Walter \,. Foster, who rcsigne<l some time ago on account of
ill-health. Mr. Noble was at one time connected with the
Toronto Board of Underwriters and then subsequently was
moved to the Winnipeg board, following which for several
years he was secretary of the Vancouver Island Fire Under-
writers' Association.
Russell D. Bell, of the Montreal investment house of
Greenshields and Company, has returned to Canada after
spending several weeks overseas. Mr. Bell stated that the
conditions in Britain were rather unsatisfactory. "The coun-
try," he said, "is going through much the same economic pro-
cess as is working on this side of the Atlantic. The per-
iod of deflation, while not yet as advanced as in either
Canada or the United States, is well under way. The bank-
ing institutions have been tightening up and are pressing
their clients to reduce their boi-rowings through the reduc-
ton of inventories and in other eff'ective ways. So far, the
retailer has been little affected by this policy of the lend-
ing institutions, although manufacturers and wholesalers
have been hit hard in many instances."
D. J. McDougald was i-ecently elected president of the
Eastern and Western Land Corporation to succeed the late
Thomas Long.
Mr. McDougald,
who was previ-
ously a director
of the corpora-
tion, is head of
the financial
house of D. J.
McDougald and
Co., Toronto. He
is also a direc-
tor of the Trust
and Guarantee
Co., Ltd., and
president of the
Pine Lake Lum-
ber Co., Ltd.
Mr. McDougald
is well-known in
Ontario financial
circles, having
taken an active
part in 1918 and
1919 Victory
Loans. The
Eastern and
Western Land
Corporation i s
one of the pioneer land and colonization organizations of
Saskatchewan, and has its head office at Toronto.
OBITUARIES
A. S. Goodeve, a member of the Dominion Board of
Railway Commissioners, died in Toi'onto on November 22.
Peter H. Sims, vice-president of the Dominion Life
Assurance Company, and at one time secretary of the Brit-
ish-America Fire Insurance Company, died of pneumonia at
the residence of his son. Kitchener, Ont., on November 21.
Mr. Sims wa's born 76 years ago in the township of Welles-
ley, county of Waterloo, Ont. He was the son of Rev. Jas.
Sims, Baptist minister, and first superintendent of educa-
tion in Waterloo county. In his early days Mr. Sims taught
school, after which he entered the Waterloo Mutual Fire
Insurance Company. With others in 1875 he founded the
Mercantile Fire Insurance Company, becoming its manager,
which position he held for 17 years. In 1892 he went to
Toronto to become the secretary of the British-America Fire
Insurance Company, which position he held until 1912, when
he retired. With others he founded the Dominion Life As-
surance Company, of Waterloo, becoming vice-president,
which position he held until his death. He was the last of
a small group of insurance men of Waterloo who were the
founders of the life and fire companies of that town.
November 26, 1920
THE MONETARY TIMES
13
gllllllllllllllllUIIIIIIIIIIIIIIIIIIIIIIIIIUUIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIllIUIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII^
I The Sterling Bank I
j OF CANADA |
liiiiiiniiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiioiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii^
If you feel the need of sound, constructive, finan-
cial advice — based on an accurate and personal
knowledge of your business operations — ask us to
explain what '"Personal Banking Service" has
accomplished, and what it will mean to you.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament. Estabushed 1825
Capital Subscribed /5, 000,000 $25,000,000
Paidup 1,100,000 5,500,000
Uncalled 3,900,000 19,500,000
Resei-ve Fund 1 ,000.000 5,000,000
Head Office • EDINBURGH
WILLIAM CARNEGIE, General Manager. GEORGE A. HUNTER. Sec.
LONDON OFFICE— 37 NICHOLAS LANE, LOMBARD ST., E.C.4
T- C. RIDDELL. DUGALD SMITH.
Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, are
retired on terms which will be furnished on application.
The Standard Bank
of Canada
Established 1873 152 Branches
Capital (Authorized by Act of Parliament) $5,000,000.00
Capital Paid-up 3.500.000.00
Reserve Fund and Undivided Profits 4,727,326.90
DIRECTORS
Wellington Francis. K.C. Hubert Lanolois,
President Vice-President.
W. F. Allen, F. W. Cowan, T. B. Greening. H. Langlois.
James Hardy. F.C.A., Thos. H. Wood.
Head Office. 15 King St. West TORONTO, Ont.
C. H. EASSON, General Manager.
J. S. LOUDON, Assistant General Manager.
SAVINGS BANK DEPARTMENT AT ALL BRANCHES
LONDON JOINT CITY & MIDLAND
BANK LIMITED
The Right Hon, R. McKENNA
S B MURRAV. Esq. f HYDE, Eaq . E, W WOOLtEY. Esg,
Subscribed Capital
I Paid-up Capital
Reserve Fund •
[_ Deposits IJunt 30ih, f920)
HEAD OFnCE; 5.
0VEJISEA5 UUNCH :
AlUabc Offku: V
. £38,096,363
10,840,112
10,840,112
. 367.667,322
NREADNEEDLE STREET. LONDON. ^C. :
i k 6i. OLD BROAD STREET. LONDON. E.C Z
THE
Exchange Rate
IX.— What Controls It?
IN the previous number.s of this series we
have endeavoured to explain the various
factors bearing on the exchange value
abroad of our dollar. We will now sum-
marize the methods by which this value may
be restoi'ed.
By increasing Canadian production we
can supply our domestic requirements and
enlarge our surplus for export. This, if
accompanied by a drastic decrease in our
imports, especially of luxuries, will go far
to adjust our trade balance.
As exchange becomes favorable to us,
gold will flow in more freely, the reserves
against paper currency will regain their
former sound basis and the restrictions on
the expoi-t of gold will be removed. The
great stabilizing factor in exchange fluc-
tuations will therefore be restored.
There are two further matters of equally
great importance; the first, that so far as
possible we cease to purchase luxuries, even
those of domestic manufacture, and divert
the sums thus saved to productive enter-
prises, either by direct investment or by de-
positing the money in the bank; the second,
that we must all strive to work at our
greatest capacity, not shirking, but taking
pride in achieving a full output, whether
we are doing manual or mental work.
The personal advantages of accumulating
savings are so obvious that they need not
be repeated here.
If this series has achieved its object, the
national importance of industry and thrift
to ensure the prosperity of Canada and to
re-establish the value of the Canadian dollar
throughout the world will be clear to you.
Will you do your share?
THE CANADIAN BANK
OF COMMERCE
Capital Paid Up - $15,000,000.
Reserve Fund - $15,000,000.
Thii ierifs, abcii completed, will he pub-
lished in pamphlet form. If ^ou denre a
copy, n>ri/c to our Head Office, Toronto.
HE MONETARY TIMES
Volume 65.
ONK HLNDKKl) AM) THREE YEARS OF SERVICE
Canada's Oldcsl I inancial Institution t'loses Another Suc-
cessful Year— A Statement to Inspire Business Confidence
AT a time when the business community of Canada needs
the most confidence, the annual report of the Banlc of
Montreal comes as a decided encouragement. During its
one hundred and three years of operation, the Dominion's
oldest financial institution, due to the excellent appraisement
of banking and commcrco by its executive, has been enabled
to meet all conditions. It has displayed its ability to meet
extraordinary requirements arising from the war, and is
now using that same ability to take care of the readjustment.
As early as December, 1916, Sir Frederick Williams-
Taylor, general manager of the bank, was advising the pre-
paration for peace and the inevitable readjustment, indicat-
ing the wonderful foresight which is common among our
banking executives and which has proved so valuable in
the past. The concluding remarks of Sir Frederick in his
annual address for that year still stand out prominently,
and are applicable to present conditions. He said: "Our
fururo actions in national development should be considered
now. The importance of the problems of the situation must
be impressed upon those who are living in what may be
termed the paradise of the unwise. Sane optimism and self-
confidence are admirable qualities and should be the order of
the day. There is a point where optimism lotcs its value
and the danger of over-confidence begins. That is the point
to avoid." In this statement businessmen should find a very
valuable motto.
Present Position Compared
A comparison of this year's figures with 1919 is not
sufficient to give the true light of the situation, but the show-
ing of the principal accounts of the bank when the war was
at its height makes more plain the transposition of condi-
tions. The figures are as follows: —
Oct 31. 1920. Oct. SI. 1019. Oct. 31, 1917.
Caoital stock ? 22.000,000 $ 20,000,000 $ 1(1,000,000
jleJ„ve 22,000,000 20,000,000 16,000.000
Due to Dominion Kovernment 17,657,119 13,638,962
Deposits not bearinK interest 111,739.215 129,946,641 71,114,641
Deposits bearing interest ... 322.578,613 312,655,964 246.041.786
Due to banks in Canada .... 2.863.393 2,110.833 4,147,482
Due to banks abroad 4,381.644 4.122.490 496,621
Acceptances under letters of
credit ■ . • 7.836.994 4.896,505 3,335,499
Gold and sub. coin 26,187,389 24,742,654 20.592.891
Dominion not"9 48,199,032 49.866,161 30,760.233
Deposits in Kold reserve 21,200,000 26,200,000 14, .500,000
Due from banks abroad 16,202.366 13.856.808 16.62fl.089
Call loan^ in Canadii 1,944,383 2,683,910
Call loans abroad 96.017.883 78.265,625 100.610,214
Dominion and proviniiiil gov-
ernment securities 14.863,964 63,984,265 28,573,322
Railway and other bonds... 4,642.070 8,617,836 12,571.625
Canadian municipal and other
securities 36,749,430 47,041,359 33.455,254
Notes of other banks 3.367.678 2.744,163 1,494.676
Cheques on other banks 22.872.419 21.189,104 17.111.090
Current loans in Canada.... 223.495.472 164,182,681 97,607.404
Current loans elsewhere 17,619.858 16.903.424 10.046.811
Loans to municipalities 14.785.68C 16.092.718 11.415.383
Pank premises 5.600,000 5,500,000 4,000,000
Note circulation 42.367,810 43.922.844 29,308.086
Total assets 560,150.812 645.304.809 403,980,236
From the above figures, it will be seen that the outstand-
ing feature is tlie great increase in current loans. This is
an illustration of how the bank has been able to take care ,
of the unusually large proportion of the increased recjuire-
ments of the merchants and manufacturers of tlic country.
At the same time there has been a striking rcniuction
in the accounts which reflect the special business which the
bank undertook during the war period on behalf of the Im-
perial and Dominion governments. As a result, the holdings
of Dominion and provincial government securities have been
reduced to $14,863,954, compared with $63,984,255, at the
end of the previous year. Canadian municipal securities
and British, foreign and colonial securities have also sub-
stantially declined. Presumably, the bank has liquidated
such holdings in order to use the money more advantageously
in this country.
Profits Greatly Increased
Turning to the shareholder's side of the statement,
shows equally favorable results, as the following figures
will illustrate: —
1920. 1919. 1917.
Profit) $4,033,996 $3,314,227 $2,477,969
.Stock premium 1.000.000 3,600.000
$6,033,995 $6,814,227 $2,477,969
]-revi„us balance , 1.812,864 1,901.613 1.414,423
Total $6,846,850 $8,715,840 $3,892,392
Dividends 2,960,000 2.372,250 1,920,000
-lo rest 2.000,000 4,000,000
•War tax 210,000 190,986 160,000
Patriotic 39,750 47.500
Bank premises 425.000 300,000 100,000
ToUl deductions $5,595,000 $6,902,986 $2,227,600
Balance forward 1,251,850 1,812.864 1,664.892 _
Total $6,846,850 $8,715,840 $3,892,392
CANADA PERMANENT DEBENTURES SOLD
The Canada Permanent Mortgage Corporation had de-
bentures of £234,000 due this week in London. Nine-tenths
of this amount was replaced at 6 per cent, through Edin-
burgh agents, which is the same rate as offered by the city
of Edinburgh. The debentures bear a nominal interest rate
of 6 per cent.
UNDERWRITERS LABORATORIES OF CANADA
The Underwriters Laboratories of Canada has been in-
corporated in Montreal, and is understood to be a branch of
the Chicago Laboratories. The purpose of the organization
is "to establish and maintain laboratories and an inspection
service for the examination and testing of appliances and
devices, and to enter into contracts with the owners and
manufacturers of such appliances and devices respecting the
recommendation thereof to insurance organizations and
others."
BONDS FOR LUXURY TAX COLLECTION
Under an Act to amend the Special War Revenue Act,
1915, the excise tax regulations require, in connection with
the collection of the luxury tax from manufacturers, that
the manufacturers of certain enumerated articles shall "fur-
nish the collector of inland revenue with one of the following
forms of security in a sum represented by the manufacturers'
tax on the estimated maximum production of such article
manufactured during any one month of the fiscal year which
the Ixind or other security is intended to cover: —
1. The bond of an approved guarantee company.
2. The guarantee of a chartered Canadian bank, signed
by the general manager and approved by the department.
3. War loan bonds.
And such bonds shall be conditioned for the payment of
the manufacturer's tax on such articles manufactured; the
payment of all penalties incun-ed; and generally shall bind
the manufacturers to a faithful and complete observance of
the regulations which are or may be established under the
authority of the Act."
Obviously, the security required is one that guarantees
a financial obligation and a faithful adherence to the regu-
lations of the department. W'riting to The Moiiclary Times on
this point, Henry E. Kawlings, president of the Guarantee
Company of North America, suggests the action of the de-
partment in making it optional for the manufacturer to
obtain from a bank an undertaking, which, to my mind, in
many instances, the bank would be unwilling to "-.vlioitdnly"
accord, and which, under the interpretation of the Insurance
Act, is clearly an undertaking restricted to companies trans-
acting guarantee insurance.
November 26, 1920
THE MONETARY TIMES
Bank of New Zealand
ESTABLISHED IN 186 1
Bankers to the New Zealand Government
CAPITAL
Paid-Up Capital ($13,284,026) and Re
($12,166,250)
Undivided Profit.
Aggregate Assets at 3l8t Marcb, 1920 ....
$ 25,450.276
713,039
257,500,944
Head Office:
WELLINGTON
NEW ZEALAND
H. BUCKLETON
General Manager
THE BANK OF NEW ZEALAND has Branches at
Auckland, Wellington. Christchurch, Uunedin.and 203 other
places in New Zealand; also at Melbourne and Sydney
(Australia), Suva and Levuka (Fiji), Apia (Samoa), and
London.
The Bank has facilities for transacting every description
of Banking Business. It invites the establishment of Wool
and other Produce Credits, either in sterling or dollars, with
any of its .Australasian Branches.
LONDON OFFICE: 1 Queen Victoria Street, Mansion House, B.C. 4
CHIEF CANADIAN AGENTS .
Canadian Bank of Commerce Bank of Montreal
MeBankofCanadm
SAVE THE SMALL CHANGE
A little saved each day will, without stint,
amount to a dollar at the end of the
week, and a dollar should mean a deposit
in the savings account.
Branches and Connections Throughout Canada
Head Office and Eleven Branches in Toronto g 8
THE
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
head office. weyburn, saskatchewan
Br.\nches in Saskatchewan at
Weyburn, Yellow Grass, McTaggart, Halbrite. Midale
Griffin, Colgate, Pangmau, Radville, Assiniboia, Benson,
Verwood. Readlyu, Tribune, Expanse, Mossbank. Vantage,
Goodwater. Darmody, Stoughton, Osage, Creelman and
Lew van.
A GENERAL BANKING BUSINESS TRANSACTED
H. O. POWELL. General Manager
TH€ M€RCHANT5 BANK
Head Office : Montreal. OF CANADA.
Established 1364.
Capital Paid-up, $8,400,000 Reserve Fund and Undivided Profits, $8,660,774
Total Deposits (30th October, 1920) - Over $170,000,000
Total Assets (30th October, 1920) - Over $209,000,000
Board of Directors :
Sir F. OrrOrkLewis, Bart.
Hon. C. C. BAtLANTYNE
F. Howard Wilson
SIR H. MONTAGU ALLAN
Farouhar Robertson
Geo. L. Cains
Alfred B. Evans
General Manager
Supt. of Brancties and Chief Inspector :
General Supervisor -
Vice-President
Thomas Ahearn
Lt. -Col. J. R. Moodie
Hon. Lorne C. Webster
D. C. Macarow
E. Merrett
. A. Meldrum
A. J. DAWES
E. W. Kneeland
Gordon M. McGri(;or
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice.
399 Branches in Canada, extending from the Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookall, Agems
London, England, Office, 53 Cornhill : J. B.Donnelly, D.S.O., Manager
Bankers in Great Britain : The London Joint City & Midland Bank, Limited, The Royal Bank of Scotland
16
THE MONETARY TIMES
Volume 65.
BANK BRANCH NOTES
The following is a list of branches of Canadian banks
which have been opened recently: —
Armdale, N.S Bank of Nova Scotia
Toronto (Dupont & Clinton
Streets) Bank of Nova Scotia
New Toronto, Ont Dominion Bank of Canada
Staff changes are announced by the Bank of Montreal
as follows: E. R. T. Huestis, manager at Paspebiac, Que.,
appointed manager at Grand Falls, N.B.; J.' J. Irwon ap-
pointed acting manager at New Denver, B.C.; E. E. L. Dewd-
ney, manager at New Denver, B.C., appointed manager at
Rossland, B.C.; A. H. Trueman, manager at Grand Falls,
N.B., appointed manager at Shediac, N.B.; G. Lawson ap-
pointed manager at Yarmouth, N.S.
Extensive enlargements both of personnel and premises
are now under way at the branch of the Canadian Bank of
Commerce, at Calgary, Alta. As soon as the alterations,
which are now being made, are completed, this bank will
occupy the entire three floors of the building in which it is
now situated at the southwest corner of Eighth Ave. and
Centre St. This change has been brought about by the split-
ting of the western superintendency into two divisions.
RAILROAD EARNINGS
The following is the approximate gross earnings of
Canada's transcontinental railways for the first two weeks
in November: —
Canadian Pacific Railway.
1920. 1919. Inc. or de"c.
November 7 $5,723,000 $3,821,000 + $1,902,000
■November 14 5,677,000 4,083,000 + 1,594,000
Canadian National Railways.
November 7 $2,770,758 $1,987,622 -t- $ 783,136
November 14 2,880,563 2,000,035 + 880,528
Grand Trunk Railway.
November 7 .$2,385,604 $1,931,520 + $ 454,084
November 14 2,523,463 2,003,287 + 520,176
CANADIAN BUSINESS FAILURES
The number of failures in the Dominion, as reported by
R. G. Dun and Co., during the week ended November 19, 1920,
in provinces, as compared with those of previous weeks and
corresponding weeks of last year, are as follows: —
Date.
c
O
3
<y
c
a
<
m
a
OT
w
'A
n
25
a
1
Nov. 19 . .
. . 5
7
0
3
3
4
0
1
0
23
21
Nov. 12 . .
..12
14
0
0
4
3
0
15
0
48
14
Nov. 5 . .
.. 9
6
1
0
0
2
1
0
0
19
11
Oct. 29 ..
.. 7
14
0
4
1
2
0
1
0
29
18
EXCHAN(;E QUOTATIONS
Glazebrook and Cronyn, exchange and bond brokers,
Toronto, report local exchange rates as follows: —
Buyers. Sellers. Counter.
N.Y. funds 13% pm 13 15-16 pm
Mont, funds Par. Par. % to V*
Sterling —
Demand $3.9650 $3.9750
Cable transfers 3.9750 3.9850
Rates in New York, sterling demand, $3.48%.
MERCHANTS BANK MAKES GOOD SHOWING
The half-yearly statement of the Merchants Bank of
Canada, covering the period ending October 31, 1920, reflects
a healthy grovrth in that institution. Capital and reserve
have been substantially increased to meet the advance in
business, while the loans and deposits accounts reflect how
great that increase in business has been. The principal
figures, with comparisons, are as follows: —
1920. 1919.
Capital $ 9,955,970 $ 8,341,535
Reserve 8,400,000 7,000,000
Undivided profits 260,774 574,043
Circulation 17,707,977 15,827,373
Deposits 170,634,061 166,006,015
Letters of credit 2,491,664 757,606
Gold, Dominion notes and credit
balances 30,630,351 25,642,136
Central gold reserves 7,500,000 8,000,000
Government and municipal se-
curities 21,114,908 36,240,352
Other securities 3,837,377 3,870,611
Call loans in Canada 8,254,586 6,843,017
Call loans abroad 4,179,236 3,418,846
Current loans 120,515,463 102,346,564
Current loans abroad 1,340,428 329,334
Loans to municipalities 4,635,381 3,578,382
Bank premises 3,192,734 5,663,251
Real estate 602,748 911,291
Mortgages 705,567 528,177
Circulation deposit 450,000 377,000
Total assets $209,450,448 $198,506,572
WEEKLY BANK CLEARINGS
The following
ended November 2a
last vear: —
are the Bank Clearings for the week
, compared with the corresponding week
Week ended
Nov. 27, '19.
$140,688,057
93,148,987
64,810,262
13,375,017
Changes.
$ 3,619,696
28,750,855
25,662,677
3,459,638
Week ended
Nov. 25, '20.
Montreal $137,068,361
Toronto 121,899,842
Winnipeg 90,472,939
Vancouver 16,834,655
Ottawa 14,282,693
Calgary 10,283,692
Hamilton 6,994,265
Quebec 7,875,656
Edmonton 5,455,275
Halifax 4,194,884
London 3,471,559
Regina 5,501,266
St. John 3,075,714
Victoria 2,618,292
Saskatoon 2,647,999
Moose Jaw 2,335,479
Brantford 1,275,001
Brandon 925,156
Fort William 1,148,886
Lethbridge 1,045,322
Medicine Hat . . . 728,555
New Westminster 578,152
Peterboro 999,069
Sherbrooke 1,324,424
Kitchener 1,308,789
Windsor 3,540,578
Prince Albert . . . 483,386
Totals $434,287,196
Moncton 803,597
Toronto faces capital expenditures of about $24,000,000
from the works department alone during the coming year,
according to a report of Works Commissioner Harris. "
10,111,482
+
172,210
6,702,200
+
292,065
5,911,160
+
1,964,496
5,919,713
—
464,438
4,666,919
—
472,035
3,510,867
—
39,308
5,276,136
-1-
225,130
3,190,883
—
115,169
2,393,789
-1-
224,503
2,587,106
-t-
60,893
2,151,943
+
183,536
1,020,385
+
254,616
1,061,190
—
136,034
969,394
+
179,492
683,194
+
362,128
538,049
+
190,506
591,849
—
13,697
. 989,193
-1-
9,876
1,038,768
-1-
285,656
1,010,712
+
297,077
2,498,014
+
1,042,564
684,278
+
200,892
$375,529,547
$58,757,649
Xovember 26, 1920
THE MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(ESTABLISHED 1817)
PAID UP CAPITAL - - - ^-^ - $ 23,828,500.00
RESERVE FUND - - - - t^^A ' ' - 16,375,000.00
RESERVE LIABILITY OF PROPRIETORS - ^<tftt^!^^^1^( . . . .' . 23 828 500 00
^ -*-^— ' $ 64,032,000.00
AGGREG.^TE ASSETS 31st MARCH, 1920 - -"iajS^ $377,721,211.00
Sir JOHN RUSSELL FRENCH. K.B.E.. General Manager
35! BRANCHES and AGENCIES in the Australian States. New Zealand. Fiji. Papua (New Guinea), and London. The Bank transacts every description
of Australian Banking Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET, E.C., 2.
Agents: BANK OF -MONTREAL. ROYAL BANK OF CANADA
BUSINESS FOUNDED 1795
INCORPORATED IN CANADA 1897
AMERICAN Bank Note Company
ENGRAVERS AND PRINTERS
BANKNOTES, BON DS, MUNICIPAL DEBENTURES, STOCK
CERTIFICATES, CHEQUES AND OTHER MONETARY DOCUMENTS
Special Safeguards Against Counterfeiting Work Acceptable on all Stock Exchanges
Head Office : OTTAWA 224 "WeUington St.
BRAXCHES
Gborge Edw
H Percival Edwa
A. Geoffrey Edwa
T. J. Mac.va.mara
K. A. Mapp
. F.C.A.
W. PosiE
Arthur H. Edwards, F.C.A.
Morgan W. Herbert Tho.mpsgn
EDWARDS. MORGAN & CO.
CHARTERED
OFFICES
ACCOUNTANTS
TORON'TO . .
CALGARY . .
VANCOUVER
WINNIPEG ..
MONTREAL
CORRESPONDENTS
HALIFAX, N.S. ST. lOHN, N.B.
LONDON, ENG. PARIS, FRANCE.
CANADIAN MORTGAGE BUILDING
HERALD BUILDING
LONDON BUILDING
ELECTRIC RAILWAY CHA.MBERS
McGILL BUILDING
COBALT, ONT
NEW YORK, U.S.A
ESTABLISHED 1879
AUoway & Champion
Bankers and Brokers
Members of Winnipeg Stock Eichanse
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchange!
Are You a Trustee?
IF so, you may be interested to learn that
this Corporation also acts as agent for per-
sonal Trustees, taking charge of the
administration of estates for them and
performs such duties as keeping estate
funds fully employed in high-class invest-
ments, collection of revenue, cutting cou-
pons, management of real estate, rendering
statements and remitting balances to bene-
ficiaries at regular intervals, keeping securi-
ties in Safety Deposit Vaults, etc. Many
Trustees find this the most satisfactory way
for them to administer an estate — by turn-
ing it over to us as their agent and at the
same time retaining the responsibility im-
posed on them under the Will.
Write or call for our rates on this class
of business.
THE
ToroatoGeaeralTrusts
Corporation
Head Office
Branches : Ottawa
TORONTO
Winnipeg Saskatoon Vancouver
THE MONETARY TIMES
Volume 65.
ASSOCIATION OF LIFE AGENCY OFFICERS
General Manager of Great West Life Speaks on Relations
of Agency Manager to Head Office and Agents
AMONG the speakers at the fourth annual meeting of the
Association of Life Agency Officers, held in Chicago,
November 10 and 11, were C. C. Ferguson, general manager
of the Great West Life Assurance Company, Winnipeg, and
James C. Tory, general manager of agencies, Sun Life In-
surance Company, Montreal. Mr. Ferguson's subject was
"Branch Managers, General Agents and Agents," while Mr.
Tory discussed "To What Extent Should The Home Office
Serve the Branch Office in the Selection of the Local Agent?"
Branch Manager Must Be Loyal
Mr. Ferguson said in part: —
"The manager's first duty is that of loyalty. He stands
for his company in his particular territory and he must cor-
rectly interpret and express his company's ideals. I say that
he must do so. If he does not approve of those ideals, he
must step out. He must be willing and competent to co-
operate, to work in harness. If he is a man of originality and
initiative, he will frequently see opportunities for improving
methods and conditions of work, but he must be patient in
having his suggestions adopted. The world moves slowly and
he should remember that the head office officials should have
greater opportunities of seeing all sides of a question than he
has. However, no live executive will discourage suggestions
or recommendations.
"The branch manager's main responsibility is of course
to produce business. His territory is usually too large for him
adequately to fulfill that responsibility himself and so I will
assume that he is expected under his company's system to de-
vote the major portion of his time in creation and develop-
ment of an organization. To be successful in this, there is
obviously required an unusual degree of personality, tact,
industry and enthusiasm. A nervous, never-satisfied energy
is needed to urge the men on from one accomplishment to
another. Above all he must have a capacity for leadership
and a personality to attract and enthuse others.
"The branch manager's sense of duty towards his agents
must not blind him to his responsibility towards his company.
There is a great temptation for the manager to constitute
himself as the advocate of the agents, with the idea of ob-
taining for them all the benefits and remuneration he can
squeeze from the head office. I will gladly admit that it is
his duty to do everything in his power to see that due re-
muneration is paid for services given, but I think it is also
hi« duty to protect the company's funds against improper
demands where i-cal service is not rendered.
Sympathetic Towards Agents
"Towards the agents the branch manager's attitude
should above all be sympathetic. He should know, the fre-
quent discouragements under which they work. I believe the
successful life agent is almost always temperamental. He
is enthused by success and depressed by failure. On the one
hand, he needs a kind restraint to keep him from extravagance
in money or deed, on the other hand a sort of friendly
sympathy and advicd from one who knows the lessons of
philosophy will often revive his courage and teach him to
regard his present misfortunes as but the doorstonc to fu-
ture accomplishments.
"Obviously the new agent without previous experience
in the business needs careful handling. There arc some with
natural aptitude who succeed from the start but for the most
part they require sympathetic assistance. To this end the
more experienced agents can co-operate most effectually with
the branch manager, and this important aid to organization
should never be neglected."
Directors of the Royal Bank of Canada have voted a
Christmas bonus of 20 per cent, to each member of the entire
staff of the bank and its branches.
SOME SUGGESTIONS TO FIRE INSURANCE AGENTS
Notice of Loss Must be Sent to Company Promptly—
How Adjustment is Made
JAMES MITCHELL, manager of the city department of
the Kern Agencies, Ltd., Moose Jaw, Sask., gives some
pointers to agents regarding settling losses, in the October
Kermd. "The average agent," he says, "in the course of a
year does not have many fire losses to handle and in con-
sequence is perhaps a little dubious as to how to proceed m
case the fire fiend visits one of his policyholders.
"I would here venture the opinion that not many agents
have thoroughly studied or even read, word for word, the con-
ditions printed on every policy issued and I believe it would
be a very great help to the agent if he would thoroughly post
himself "on all the conditions found in the Saskatchewan
Statutory Conditions. These conditions carry a wealth of in-
formation for the agent and will be found invaluable when
canvassing some prospect. It is up to the agent to explain
to the prospect just what he can and cannot do if he wants
to receive payment from an insurance company in case of
loss. I would particularly call attention to Section 20 of the
Statutory Conditions, subsections (a), (b), (c), (d), and also
Sections 21, 22, 23 and 24.
"I will now give you a few pointed facts that should be
followed when a loss occurs.
Notify Companies
"Notify every company interested at once, giving policy
number, name of assured, the day and hour when the loss
occurred and its cause as nearly as can be determined. If
there is a total destruction of the property tell the company,
if only a pai-tial loss, tell the company, together with an
estimate. I have known of adjusters being sent out on ex-
pensive trips vi'here the expenses were greatly in excess of
the claim and simply because the company did not have suffi-
cient information to properly judge the amount of the loss.
"If the loss is small you may get immediate instructions
to repair the damage which will save time, trouble and loss
of business to the client. The client will appreciate this
service and it might be the means of helping you to land
some difficult prospect.
Securing .Adjustment
"Have the assured separate as far as possible the dam-
aged! from the undamaged property and exhibit for the
examination of the adjuster all that remains of the damaged
property. The damaged goods may have a market value and
should therefore be put in the best possible condition, saved
from further damage. If the insurance is in excess of the
loss the expenses are a charge against the company. If the
insurance is less than the loss your client is saving money.
Save the property in any event. This is only doing what
is right and is only carrying out the conditions, which the
assured has agreed to do in accepting the policy.
"Having given <iue attention to the salvage, make a de-
tailed statement of the loss, classifying each article under
the items of the insurance policy. The statement that "the
loss is greater than the insurance" may be true, but it will
not be accepted by the adjuster, he must have facts and
figures. Where possible have books of account, stock sheets
and invoices ready for the inspection of the adjuster.
"Do not let your client have the mistaken impression
that any reputable insurance company sends out an ad-
juster to cut down a legitimate claim below the actual loss,
and that ho (the client) must make a fictitious and exorbit-
ant claim in order to get a just settlement. This unfortunate
mistake has put more claimants under Suspicion of having
"fold out to the insurance company," caused more dis-
agreements and so called "hold ups" than any other one
thing.
"An honest claim, carefully made and presented in good
faith, will be met by the reputable insurance company in the
most liberal spirit possible."
November 26, 1920
THE MONETARY TIMES
19
You Should Make a New Will— if
you have married ; your family has increased :
members of your family have married— or died :
your own circumstances have materially changed. (Some men make
a new will every year.)
In any case, your estate and heirs should have the exact know-
ledge, business organization, experience, financial responsibilities
andpermanency of the UNION TRUST COMPANY, which is sureto
attend whenever your estate aFFairs need attention.
Get our literature
Union Trust Company, Limited
HENRY F. GOODERHAM. President
TORONTO - - Cor. Richmond and Victoria Sts.
WINNIPEG, MAN. LONDON. ENGLAND
i% on Savings — Withdrawable by Cheque 67
A Custodian of Your Securities
final
ally r
.ible and i
ill I
,-ou of the details
of collecting and depositing interest coupons, dividends, mort-
gage interest, rents, or other moneys, is something worth while
having.- Our charge for such service is moderate. and ensures to
clients prompt attention and advice of moneys collected and
disbursed for them.
THE CANADA PERMANENT TRUST COMPANY
Paid-up Capital
Sl.OOO.OOO
W. G. Gooderham
Col. .A. B. Gooderham
F. Gordon Osier
E. R.C. Clarkson
Manager, Ont
TORONTO STREET
TORONTO
DIRECTORS
R. S Hudson John .Massey
J. H. G. Hagarty John Campbell, S.S.C.
George H. Smith William IHulock
George W. Allan. K.C., M.P.
Branch: .A. E. Hessin
The impartiality of the acts of a TRUST COMPANY and its freedom
from improper influences are some of the advantages offered in
The Management of Estates
We will gladly discuss this matter witli you,
CAPITAL, ISSUED AND SUBSCRIBED . .Si. 171. 700.00
PAID-UP CAPITAL AND RESERVE 1.172.000.00
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE: WINNIPEG. CAN.
WESTMINSTER TRUST COMPANY
The Oldest Provincial Trust Company in B.C.
Head Otfice - NEW WESTMINSTER. B.C.
GENERAL FINANCIAL AGENTS
AJmiuhlratm, Rictimn, Exinton, Liguldalorj, Aisitnett, Tntms
E. A. RIDDELL. Manager
The Security Trust Company, Limited
Head Office - - Calgary, Alberta
Liqnidator, Trustee, Receiver, Stock and Bond Brokers,
Administrator, Executor. General Financial Agents,
W. M. CO.WACHER . Pres. and Managin'g Director
Corporate Trusts
It is a common occurrence to
have stock offered for trans-
fer not in conformity with
law or unaccompanied by
proper authority. This fre-
quently occurs in the case of
stock belonging to estates of
deceased persons. Our
knowledge of the funda-
mental principles of trans-
fer prevents errors that might
be costly.
THE BANKERS
TRVSTGOMB\NY
Head Offices: MONTREAL
Authorized Capital $1,000,000
Offices : MERCHANTS BANK BUILDING
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for investiueut in all classes of Securities.
Business Agent for the R. C. Archdiocese of Vancouver.
Fiscal Agent for B. C. Municipalities.
Inquiries Invited
General Mauager - lleut.-Col. C. H. DORRELL
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acts as Executor, Administrator, Trustee, Guardian, Liquidator
Assignee, and in any otlier fiduciary capacity.
Official Administrator for the Northern Judicial
District and the Dauphin Judicial District in
Manitoba, and Official Assignee for the Western
Judicial District in Manitoba and the Swift
Current Judicial District in Saskatchewan.
Branch Office - - Swift Current, Saskatchewan
JOHN R l.ITTLK. -Managing Director
THE MONETARY TIMES
Volume 65.
CANADA A FORTUNATE NATION
But Must Follow Sound British Financial Policy— Thf
International Financial Conference
*' A S a result of my observations of the conference and my
A- knowkulge of Canadian affairs, I am convinced that
Canada is the most fortunate land on the face of the earth."
Such was the remark of J. H. Gundy, of Wood, (iundy and
Co., in an address on the "International Financial Conference
at Brussels," before the Canadian Club in Toronto on No-
vember 22. "We have lots to do, there are tremendous re-
sources to develop, and we must prepare for a tremendous
population, but we must follow the sound British financial
policy. It is not so much cheap money that we want as
sound money and enough sound money. It is better for the
man who wants to borrow money to get it at 8 per cent,
rather than be told that the rate is 6 per cent., but that there
isn't any available. In the western provinces there isn't
enough money to assist the farmers to develop their land
and purchase the necessary implements. The money is leak-
ing out of Canada because it is dearer in other countries. Let
us pay for it and keep it. Let us have high rates rather
than low ones and keep the money in the country."
Belligerent Currencies Increased
After outlining the purpose of the conference and other
details, Mr. Gundy went on to say: "As a result it was
shown that the internal debt of the belligerent countries of
Europe is 155 billion, whereas before the war it was only
seventeen billions. The external debt is 11 billions to the
United States and eight billions to Great Britain. Of the 11
billions 4% is owed by England and three by France, which
in French currency represents nine billion. Annual expendi-
tures have increased from 500 per cent, to 1,500 per cent., and
this represents from one-fifth to two-fifths of the total in
come of all the people of these countries. France lias the
highest percentage while Great Britain is the only one able
to collect enough money to meet expenditures. Every other
countrj' is going behind tremendously every year.
"Since the war the currencies of the different countries
have correspondingly increased; Great Britain from 214
billion to 536 billion^ or 256 per cent.; France from 10 to 38
billions; Belgium from VA to 4% billions; and Germany
from six billion marks to fifty billion. The condition in Ger-
many now is that if a man owed $100 at the outbreak of war
he could nay it off for $4 in gold now. The conditions in the
neutral countries and the new states is similar, and some of
these states have no national currency and others have six
national currencies. Thus confusion and blockade of trade
exists on account of the financial conditions. The neutrals
had a flood of gold during the war, owing to increased trade,
but now they are facing tremendous deficits. It will be a
very difficult matter for Switzerland and Spain to raise suf-
ficient money to meet their indebtedness.
Borrowing Must Stop
"The measures adopted to meet conditions were not new
or remarkable. Vice-president Brand, of the United States,
who had studied the question very thoroughly, stated that
the only thing to be done was to cut to the bone all expendi-
tures, cut out all extravagant administration, dismiss officials,
cut out military expenditures — it was shown that out of
every ?5 expended ?1 was for military purposes— the gov-
ernments must abandon all unproductive expenditures — some
were using money in reducing the cost of brea<l, coal and
public services, such as railways, but it was proven that by
doing this the governments were increasing the expenditure
and not helping the working man— and the governments were
also advised to reduce and postpone productive expenditures.
The position in Europe is that there are many productive
things that would be desirable, but they must be postponed
until a more favorable season. There must also be increased
taxation. .Ml the countries represented at the conference
unanimously endorsed these suggestions and went back to put
them in force.
"Another question before the conference was that of
currency and exchange, the inflation of cun-ency and the
fluctuation of exchange. The inflation was caused by the
war when every country found it necessary to issue more
currency and get away from the gold basis to meet the ex-
penses of the war. They kept on after the war to meet the
deficits of the governments. This made trade unstable and
in cases impossible. Inflation must stop and loans and
credits must stop except for the most vital and necessary
cases. Borrowing by governments and municipalities must
cease and every possible effort made to increase the wealth
of the countries by greater production, harder work, longer
hours and greater taxation. We must try to collect and
accumulate some of the wealth destroyed during the war."
Government Control Rejected
Mr. Gundy then outlined various other discussions which
had taken place and continued: —
"It was also decided that government control of in-
dustries and finance is basically wrong and the suggestions
that an international bank, an international loan and an inter-
national currency be established were thrown into the
waste-basket as it was thought they would lead to inflation,
too much credit and currency at a time when it is necessary
to deflate.
"England has got back her foreign trade and is now on
a firm basis. She is paying her way and retiring her debt
substantially, far above any other European country. France
is improving very rapidly. Her exports in 1913 wer 79 per
cent, of her imports, and in 1918 the percentage had dropped
to 22 per cent. Since then it has rapidly increased until in
September last it was 81 per cent, above the basis that it
was before the war. The losses that France encountered in
Russia are to be regretted, but I have great respect for the
courage, energy and patience of the French people, and I
expect that France will soon occupy a proud position in
Europe."
As regards to Germany Mr. Gundy said: "The machinery
of trade is demoralized and we are justified in feeling that
it will be a long time before Germany can come back."
BRITISH CANADIAN TRUST, LIMITED
A successful year was experienced by the British Cana-
dian Trust. T,td., as indicated by the annual report for the
year ended .-August 31, 1920. Net revenue amounted to £15,-
695, and the dividend was increased from 6 to 7 per cent.
The balance carried forv\-ard was £5,648, as compared with
£3,015 last year. The net revenue includes an exceptional
profit on exchange of £5,007 on revenue remittances received
in ordinary course from Canada and the United States. In
addition, a substantial balance of profit has been credited
direct to the contingent fund, which now amounts to £20,000,
arising from exchange on capital remittances to Britain and
from certain realizations of investments carried out during
the year. The present amount at the credit of the contingent
fund approximately meets the depreciation that has arisen
on the company's investment, in common with those of
similar companies, following th^ adverse conditions of the
past few years of financial stringency and disturbance.
The total capital of the company amounts to £250,000.
.\ssets total £509,352, of which investments represent
£497.199.
There has been approximately $3,000,000 spent on the
roads of Nova Scotia this year. The organization which
handled this was brought to a very effective state during
the season. Next year, with such organization, with more
money, more experience and more equipment, there should
be even a greater amount of work done, according to the road
engineers.
November 26, 1920
THE MONETARY TIMES
BANK OF MONTREAL
Head Office: MONTREAL.
Established Over 100 Years.
Capital Paid Up - $22,000,000 Rest - $22,000,000
Total Assets - $560,150,812
Condensed Statement of Annual Report October 30, 1920
LIABILITIES
Capital Stock (all paid up) $22,000,000
Rest 22,000,000
Balance of Profits carried forward 1,251,850
Unclaimed dividends and quar-
terly dividend and 2% Bonus
payable 1st December, 1920.. 1,109,822
Notes of the Bank in Circulation 42,367,310
Deposits 437,181,222
Balances due to other Banks in
Canada and foreign countries
and other liabilities 6,245,687
Balance due to Dominion Gov-
ernment 17,657,120
Bills payable 2,500,807
Acceptances under letters of cre-
dit as per contra 7,836,994
ASSETS
Specie and Government demand
notes $73,386,422
Deposit with Dominion Govern-
ment for security of note cir-
culation 1,038,167
Deposit in central gold reserves 21,200,000
Notes of and cheques on other
Banks 26,239,997
Due by bankers elsewhere than
in Canada 15,202.366
Call and short loans 96,962,266
Bonds, Debentures and Stocks . . 56, 155,456
Current loans and discounts and
other assets 256,629,143
Bank premises 5,500,000
Liabilities of customers under
letters of credit (per contra). . 7,836,995
$560,150,812
\^erified by Auditor's Report of this date.
$560,150,812
Complete Banking Facilities for the Development of Canadian
Industry, Trade and Commerce.
Branches in all cities and towns throughout Canada and Newfoundland and Offices
in principalcentres of United States, England, France. In the West Indies,
British Guiana and West Africa — The Colonial Bank (in which an
interest is owned by the Bank of Montreal.)
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
A Newspaper Devoted to
Municipal Bonds
'T'HERE is published in New Yorl< City a daily
and weekly newspaper which has for over
twenty-five years been devoted to municipal
bonds. Bankers, bond dealers, investors and
public officials consider it an authority in its
field. Municipalities consider it the logical
medium in which to aniioimce bond offerings.
Wrile for free specimen copies
THE BOND BUYER
67 Pearl Street
New York, N.Y.
THE MONETARY TIMES
Volume 65.
Canada's Trade Position is Reversed
October Statement Shows a Favorable Balance of Twenty-Five Millions —
Result of Excellent Harvest Makes Its Appearance — Large Increase
in Exports of Agricultural Products Responsible for Healthy Showing
FOR the first time in many months a favorable trade bal-
ance is shown in the monthly statement. For the month
of October, according to the figures of the Department of
Customs, exports totalled $129,348,220, an increase of about
$25,000,000 over the previous month, while imports were
$105,770,037, a decrease of about $9,500,000 as compared with
September.
An increase of about $37,000,000 in exports of agri-
cultural and vegetable products was responsible for this
healthy showing. As was predicted, Canada's excellent
harvest this year would largely reduce the adverse trade
balance, which has been growing steadily since the crop
movement of 1919. Last month's report is the first sign of
the turning of the tide, and subsequent statements should
show still greater improvements.
Turning to other sections of the statement, there were
declines in exports of wood, wood products and paper, while
the value of animals and animal products sent out of the
country was also lower. Under imports, the principal de-
creases for the month were in agricultural and vegetable
products and fibres and textiles. As compared vdth
October, 1919, the statement presents a very satisfactory
appearance.
Details are as follows: —
IMPORTS ENTERED FOR HOME
OONSIJIHPTIOK
Month of October
Seven months ending October ■
I9I9
1920
1919
1920
Free
Dutiable
Free
Dutiable
Free Dutiable
Free
Dutiable
Agricultural and vegetable products, mainly foods
Agricultural and vesetablc products, other than foods
Animals and animal products
S
2,652.081
4,019.984
4.I6.S.666
5,066.717
1.119,093
2.717.472
2,358.936
5.606,596
1.660.452
2.939,.S83
s
11,772,437
2,055,109
3,357,839
12,584.189
1,832,294
13,124,882
3.033.690
6.217,607
2,303,62;!
3,322.227
$
1,878,010
2,885,168
1,957.191
4,383,150
1.601,198
3,981,764
1.289.255
8.773.681
2.4,S4,444
3,193,715
S
7,452.321
3,226.809
3.088.3S7
13.850,814
2,026.838
18.779.418
4.025,932
14.137,017
3,346,444
.%438.511
S
19,941,896
20.839.377
18.382,880
30.8,58,315
5.640,534
20.542.672
10.762.044
34.714.401
10.696,267
16.658,760
s
66,062,074
10,784,937
31,367,704
67,680,513
9.263.368
84.329,151
16,815,062
36,012,838
12,921,755
19.396,339
$
26,898.978
26,120,870
19,858,591
55,520,663
11.707.227
30.090.428
10.929,814
49.764.286
15.569.814
23.856.893
S
86.147,075
23.899,455
22.196.899
128,427.316
13,547,800
132,922.195
25,954 ..386
Iron and steel, and manufactures thereof
Ores, metals and metal manufactures, other than iron and steel
20,288,261
24,048.546
Miscellaneous
Total
32,306,580
59.603.897
32,397,576
73.372.461
189,037,146
354.633.741
270.317.564
548.464.664
Duty collected
16.062.327
14,872.440
98,016.495
120,732.261
al and vcRetahIc products, mainly foods
.il and vcKetabIc products, other than foods
nd animal products
>;tiles and textile products
. and chemical products
itci-l and manufactures thereof '...,.''...'.''
ills and metal manufactures, other than iron and steei.
lie minerals and products,
od products, paper and manufactures
Month of October
Seven months
ending Octo
bei-
1919
1920 1 1919
1920
Domestic
Foreign
Domestic Foreign
Domestic
Foreign
Domestic
Foreign
*
24,922,155
3,772,799
29,379,269
3,609,763
2,333,:W0
6.649.524
5,076,897
2.89.5,229
23.965.062
6.842.766
S
347.632
46.912
488.054
191.822
152.202
1.911,395
112.477
30,931
32.907
328,289
57.468,358
2,622„126
18,267.7.59
684..525
1,865,856
6.732.494
4,623.169
3,704.931
29,874.174
3.504.62S
77,577
38,535
2i)3,2Bl
290,507
35.619
610.718
58.628
104.145
36.436
253.354
$
214.155,397
17.901.772
177.524.385
16.327,196
13.382,427
46..574.012
27,8SS,.590
14.723.076
11S.S35.414
41.879,640
S
3,511,884
1 ,292,451
4.226,0.53
2,.5.58,491
2,438,781
6.830.889
1.924.12S
279.610
202.923
3.Si2..368
S
206.430.914
15,394.981
1 15.923.038
11. .530.438
12.965.780
47.613.537
26.142,305
26,3;t9,9.54
187,321,575
25,465,870
$
1,040,072
200,996
1,013,651
1,660,!I83
695,282
6,846,182
490.043
514.495
239,005
2,184.810
109.446.814
3.642.621
129.348.220
1.798.780 ' 688.889,909
27.087.578
678,128,392
14,884.919
ltE4'AriTI ■.ATiOX
.Merchandise entered for consumption . . .
Merchandise, domestic, exported
Total
Merchandise, foreign, exported
Grand total. Canadian trade.
Month of October
I»I9
Seven months ending October
1,259.648,374 1,511.795,539
November 26, 1920
THE MONETARY TIMES
23
5^7o
INTEREST
RETURN
INVEST YOUR SAVINGS
in a 5^% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital $2,412,578.81
Resetres 964,459.39
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Calgary,
Edmonton, Vancouver, Victoria ; Edinburgh,
Scotland.
CANADA PERMANENT
MORTGAGE CORPORATION
QUARTERLY DIVIDEND
Notice is hereby given that a Dividend of TWO and
ONE-HALF PER CENT, for the current quarter being at
the rate of .j-^j^ pg.j^ ^-^^j pg-j^ ANNUM
on the paid-up Capital Stock of the Corporation, has been
declared, and that the sanne will be payable
MONDAY, THE THIRD DAY OF JANUARY
next, to Shareholders of record at the close of business on
the Fifteenth day of December.
By order of the Board.
GEO. H SMITH. Assistant General Manager.
Toronto. November 24th. 1920.
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
Masonic Temple Building, London. Canada
Interest at 4 per cent, payable half-yearly on Debentures
T. H. PURDO.M. K.C.. President NATHANIEL MILLS. Manager
The Hamilton Provident & Loan Society
Head Office. King Street. Hamilton, Ont.
Capital Paid-up, $1,200,000. Reserve Fund and Surplus
Profits, $1,280,570.59. Total Assets, $4,764,339.21.
TRUSTEES AND EXECUTORS are authorized by Law to invest Trust
Funds in the DEBE.STURES and SAVI.VGS DEPARTMENT of this
Society.
GEORGE HOPE. President D. M. CAMERON. Treasurer
Ontario Loan
& Debenture Co.
LONDON INCORPORATBD 1870 Canada
CAPITAL AND Undivided Profits .. $3,9(X),000
lORT TERM (3 TO 5 YEARS)
DEBENTURES
YIELD INVESTORS
51 0/ SHC
2/0
5^2
JOHN McCLARY. President
A. M. S.MART. Manager
p\\'ER 200 Corporations,
^^^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Office, No. 13 Toronto Street
Capital Account. SCiJ.SSO.OO Reserve Fund. $0TO.OO(».00
Total Assets. 8,'!.a49,I.>4.26
President. WELLINGTO.N FRANCIS. Esq., K.C.
Vice-President. HERBERT LANGLOIS. Esq.
Debentures issued to pay 5%. a Legal Investment for Trust Funds.
Deposits received at 4% interest, withdrawable by cheque.
Loans made on improved Real R'ltate on frtvc-able terms.
WALTER GILLESPIE. Manager
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
Particulars on application.
The Canada Standard Loan Company
520 Mclntyre Block, Winnipeg
ACCOUNT BOOKS
Loose Leaf Ledgers
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Streets
TORONTO
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Western Municipal, .sriiool anil .saiiliaK-liewan Knral Tele-
phone < o. del)enlure» speriallzeil In.
Correspond dice invited
GRAINGER BUILDING - - SASKATOON
F. S. RATLIFF & CO.
FARM LANDS-FARM LOANS
STOCKS AND BONDS
Medicine Hat Alberta
24
THE MONETARY TIMES
Volume 65.
PUBLICATIONS RECEIVED
Hydro-Electric Development in Ontario. — By E. B.
Biggar. The Biggar Press, Ltd., Toronto. 202 pages, with
index.
This book carries the sub-title, "A History of Water-
Power Administration under the Hydro -Electric Power Com-
mission of Ontario." It deals with the geographical, en-
gineering and economic aspects of what is now the greatest
power system in the world. Mr. Biggar is well known in
Canada as author of "The Canadian Railway Problem" and
as a former editor of The Canadian Engweer.
Labor's Crisis. — By Sigmund Mendelsohn. Macmillan
Company of Canada. 171 pages; $1.6.5.
The question of labor reform is taken up by this em-
ployer from the employer's point of view. He analyzes
labor's propositions to remedy the existing unrest, argues
that the labor scarcity is not entirely due to decrease in the
number of laborers, and suggests many effects of the unrest
itself on production and labor. It is a thoughtful study by
a keen, open-minded employer, contributing to one of the
most important discussions of the day.
Speculation and the Chicago Board of Trade. — By James
E. Boyle, Ph.D., Extension Professor of Rural Economy, Col-
lege of Agriculture, Cornell University. Macmillan Company
of Canada, Ltd. 277 pages, with index; $2.75.
Mr. Boyle describes the work of the Chicago Board of
Trade in relation to the marketing of the grain crop. The
book, as he points out in his introduction, is really a report
on the Chicago Board of Trade. His chapter headings are:
Fundamental Economic Functions of a Market; Chicago as
a Grain Market; the Chicago Board of Trade Viewed as a
Piece of Marketing Machinerj-, Structure and Organization;
Operation and Functions, Sixty Years of Activity; the
Chicago Board of Trade and the Problem of Speculation.
Bank Credit.— By Chester A. Phillips, Ph.D., Professor
of Economics in Dartmouth College and Professor of Banking
and Finance in the Amos Tuck Scliool of Administration and
Finance. Macmillan Company of Canada, Ltd. 374 pages,
with index; $4.50.
This is a book for banker and merchant, explaining com-
mercial credit and giving a detailed analysis of meicantile
credit, the interpretation of credit statements and the evalua-
tion of different items. From the bank's point of view, such
an exposition is of great importance; it gives a basis for
judgment as to the value of mercantile paper that is offered
to it. From the merchant's point of view it is equally valu-
able, enabling him to understand what principles the bank
applies in analyzing his statement.
Some Aspects of Banking Theory. — By \V. H. Steiner,
B.S., A.M., assistant director, Division of Analysis and Re-
search, Federal Reserve Board of the United States. Pub-
lished by W. D. Grey, New York. 158 pages; paper-bound,
$1.30; cioth-bound, $1.75.
As an advanced study of some banking problems, it is
an excellent contribution to the literature on the subject. The
chapter titles of the book are as follows: The Evolution
of Banking; Banking in the Present Economic Order; Com-
mercial Banking; Some Further Aspects of Commercial
Banking; Investment Banking; Operation of the Banking
System.
RAILWAY TO FLIN FLON
Authority to proceed immediately with a survey for a
railroad into the Flin Flon mine district, north of The Pas,
was given to the Canadian National Railway by Premier
T. C. Norris, minister of railways for Manitoba, following
a meeting of the 'provincial cabinet on November 2. The
survey will include an estimated cost of constructing a rail-
way which will be submitted to the legislature at the next
session. The survey will be completed in three months.
GOVERNMENT CURRENCY
Circulation of Dominion notes increased $17,000,000 in
October, in accord wnth the heavy demand for currency,
which is usual at this time of the year, and which results
from the crop movement. Holdings of gold, however, were
not increased; in fact, there was a slight decrease of about
$20,000. Dominion notes outstanding against deposits of
approved securities are shown as $166,715,125, as compared
with $149,620,125 previously, indicating that the new cur-
rency is backed by approved securities. Details of the Oc-
tober specie statement are as follows: —
Provincial. .
Fractional.
81
g4.
85
850
8100
8500
81.000
8500 Legal Tender Notes for Banks.
$1,000
85,000 " ■■ " .
S50.000
81...
«2...
$S....
810 ..
820..
850..
8500
Reserves.
Gold held Oi.t. 30th, 1920. by the Minister of Finance
Gold reserve to be held on Savings Banks Deposits—
10 p.c. on 840,067.987.26 under The Savings Banks Act..
Gold held for redemption of Dominion Notes 8 95,222,381 21
Dominion Notes outstanding against deposits of approved secur-
ities, under Finance Act, 1914 8166.71.5,125 00
.$ 27.743 25
1,269,611 17
18,238,817 5ff
14,553,023 .50
37,915 OU
6,247,505 OO
3.800 00
2.712.500 00
5,041.000 00
77.000 00
974,000 00
225,580,000 00
45,250,000 OO
8320,012,915 42
8 11,293 50
6,060 00
4,219 75
2,180 00
840 00
650 00
2,500 00
827,743 25
8 99.229,179 93
4.006,798 72
DOMINION GOVERNMENT SAVINGS BANKS
Withdrawals from the Dominion Government savings
banks in October exceeded deposits by about $25,000. The
showing for the month, however, was better than in Sep-
tember, inasmuch as deposits increased $18,000, while with-
drawals were reduced $3,000, The following are the Sep-
tember details: —
Manitoba : —
Winnipeg
British Columbia :—
Victoria
Prince Edward Island : —
Charlottctown
\cw Briiiiswich: —
Newcastle (
Transfer \
St. John
\ova Scntia : —
Barrington
Guysboro*
Halifax
Kcntville
Lunenburg
Port Hood t
Transfer 1
Shcrbrookc
Totals
19,089.64
32„302.00
323.00
130.00
31,410.56
2,S03.00
3,560,00
.551.00
155.350,53
1,105,52746
1,782.033.05
70,199,00
78,214.23
2,303 873 94
243,687.06
398,079,08
66,977
10,717,326 46
Withdraw-
als for
Oct., 1920
24,655.52
35,227,72
.565.11
100,00
31,809.70
1,848.66
10.217.42
708 06
180,441.02
Balance o
Oct. 30,
1920
1,080,871,94
1.746.805.33
69,630.89
78.114.23
i,272,064.24
241.838.40
387,861.66
66.269,02
10,5:)6,885.44
The Dominion Bank has declared a bonus of 1 per cent.,
which will be paid in addition to the regular dividend of
3 per cent, on January 3 to shareholders of record of De-
cember 20.
November 26, 1920
THE MONETARY TIMES
25
Jiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiimiiiiiiiiiiiiiiiiiiiiiiiiiiiiiu
I CHARTERED ACCOUNTANTS \
niiiiiiiiiiiiiiiiiiiiHiiuMiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiMiiiiiiiiiiiiiiiiiiiiiMiiMiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiiniiiiiiiMiiiiiMMiiiii^
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OFFICES AT
Edmonton - - Alberta
Toronto Ont.
CHARLES D. CORBOULD
Chartered Accoantant and Auditor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipeg
HARBINSON & ALLEN
CharlereJ Accounlanis
408 Manning Cheimbers
TORONTO
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Specialist on Taxation Problems
Bank of Toronto Chambers
LONDON ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
Established ISSJ
W. A. Henderson & Co.
Chartered Accountants
508-509 Electric Railway Chambers
Winnipeg, Man.
W. A. Henderson. C.A. J.J. Cordnfr. C.A.
C-sble Address "Ormlie" Western Uninr Code
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:-
HAMILTON
WINNIPEG
CLEVELAND
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 Confederation Life Building
Winnipeg
SERVICE
Thorne, Mulholland, Howson & McPherson
S^a-?^- 3420
CHARTERED ACCOUNTANTS
Specialists on Factory Costs and Production
Bank of
Hamilton BIdg.
TORONTO
Hubert Reade & Company
Chartered Accountants
Auditors, Etc.
407 408 MONTREAL TRUST BUILDING
WINNIPEG
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Main 7014
LUMSDEN BUILDING - - TORONTO, CANADA
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRIGGS & CO.
Ciuirterc! Accuuntatils. Au.ltlurs.
Trustees. LtQiiidatois
Winnipeg, Toronto, Saskatoon, Moose Jaw,
Montreal, New York, London, Eng.
CLARKSON, GORDON & DILWORTH
Chartered Accountants. Trustees.
Receivers. Liquidators
15 Wellington Street West ToronI
Merchants Bank BIdg
Establishcal IKe4
G. T. Clarkson
F. C.S. TURNER & CO.
Chartered Accountants
TRUST & LOAN BUILDING, WINNIPEG
Your card her,' would ensure it being seen hy the principal
financial and commercial interests in Canada.
Ask about special rates for this page.
RUTHERFORD WILLIAMSON & CO.
Chartered Accounttints, Trustees and
Liquidators
88 ^DBLAEDE STREET EaST, TORONTO
B04 .McGiLL BuiLniNG. MONTREAL
Cable Address-" WILLCO."
Represented at Halifax. St. John. Winnipeg,
Van
THE MONETARY TIMES
Volume 65.
INTERPRETATION OF CLAUSE IN A MORTGAGE
Manitoba Court of Appeal is Divided on Clause for
Acceleration of Payment of Principal
IN a reference before the Manitoba Court of Appeal in
August last, in Re Crossen Metal Works, Ltd., the court
was equally divided over the interpretation and application
of a clause in a mortgage, which clause following a proper
attornment clause was as follows: "And further that if 1
shall make default in payment of any part of the said prin-
cipal or interest at any day or time hereinbefore limited for
the payment thereof it shall and may be lawful for them and
I do hereby grant full power and license to the moi-tgagee to
enter, seize and distrain upon the said lands or any part
thereof and by distress warrant to recover by way of rent
reserved as in the case of a demise of the said lands as much
of said principal and interest as shall from time to time be
or remain in arrear and unpaid, together with all costs,
charges and expenses attending such levy or distress as in
like case of distress for rent."
Facts of the Case.
The facts of the case as stated by the Court were: "The
Winnipeg Steel Granary and Culvert Co., Ltd. (incorpor-
ated under the Manitoba Companies Act), on March 1, 1919,
mortgaged its premises situated in St. Boniface, Man., to
William J. Crossen, to secure a loan of $50,000, payable on
January 11, 1924, with interest at G'^'c per annum, payable
yearly on January 11. In April, 1919, the name of the com-
pany was changed by an order-in-council to "Crossen Metal
Works, Ltd." On January 11, 1920, an instalment of interest
to the amount of ?3,000 fell due and was not paid. On March
6, the mortgagee gave notice to the mortgagor that, because
of default in payment of the interest, he declared the whole
amount of principal due under the acceleration provision in
the mortgage. Payment not being made the mortgagee dis-
trained under the clauses in the mortgage for $53,000, and
his bailiff took an inventory of the goods and chattels.
A petition was filed to wind up the company under the
Dominion Winding Up Act, and a winding up order was
made. On April 27, 1920, the plaintiff turned over the goods
distrained to the liquidator in compliance with an order made
by the Master of the Court, which order provided that such
delivery should be without prejudice to the rights, powers,
etc., of the mortgagee. A case was stated upon an agreed
statement of facts to ascertain the rights of the mortgagee.
The Master made an order upholding the right of the
mortgagee to distrain for the full amount of the principal
and interest secured by the mortgage. On appeal Gait, J. .con-
fined the mortgagee's power of distress to the intei-est in
arrears. From this last order the appeal was brought."
Judgment of Court
In substance, Chief Justice Perdue and Justice Cameron
held that this clause was merely a device to obtain for the
mortgagee further security, and assuming the legality of
such a provision it should be very strictly construed, and that
it did not refer to principal, the time for payment of which
had been accelerated by the act of the mortgagee under an
acceleration clause in the mortgage. That the mortgagee
by his own act in accelerating the payment of principal could
not create a new right of distress, and the mortgagee's right
to distress was limited to the interest in arrear, and also
that the clause came within the provisions of the Bills of
Sale and Chattel Mortgage .\ct.
Justices Fullerton and Dennistoun held that the clause
should be given full effect, and that the mortgagee had a col-
lateral license to distrain for arrears of interest and prin-
cipal apart entirely from the existence of any tenancy, and
that the clause did not fall within sec. 7 of the Bills of Ex-
change and Chattel Mortgage Act.
BAUER COMPANY RETAINS TRADE MARKS
Judgment was given by Justice Audette in the Ex-
chequer Court of Canada on November 6 in the case of the
Bauer Chemical Company v. the San^itogen Company of
Canada and William W. Barry, the finding being in favor
of the Bauer Chemical Company. The case was the first that
has been tried since the enactment of the law involving the
rights to trade marks covering the sale of German products
sold in Canada, and it confirms the claims of the plaintiffs,
an American company, to rights sold to them by the Ameri-
can Trade Custodian.
In England the Official Controller seized the business
of the branch established by the Berlin finn of Bauer and
Company, voided their trade marks, and forfeited and sold
their business. In the United States, after entering the war,
the American branch of this Berlin firm, incorporated into
a company, was also forfeited and sold to the plaintiffs in
the case just concluded. The judgment points out that,
although the Canadian government passed a number of
orders-in-couneil under the War Measures Act respecting
trading with the enemy, no enactment can be found depriving
the plaintiffs in this case of the ownership of the trade
marks in dispute.
WHEN IS A POLICY CANCELLED?
The Globe Indemnity Co. was held liable for $1,000
under an accident insurance policy on the life of G. W.
Stewart, of Smith's Falls, Ont., by the Quebec Superior
Court on November 13. The question was as to whether the
policy had been cancelled. On May 5, 1919, Stewart had
written to the Montreal office asking that the policy be can-
celled; a copy of the letter was sent to their Toronto agent,
who wrote to Stewart saying he would see him about it in
about ten days. On May 27 Stewart was killed. Justice
Surveyor said in giving judgment against the company: —
"This was the first intimation given to Stewart that his
letter of May 5 had been received; but it did not cancel the
policy; on the contrary, it left him under the impression that
such cancellation could not take place unless he surrendered
his policy to the company. It called for a renewal of his re-
quest to cancel. It did not enclose the unearned premium,
which defendant knew it would receive in due course from
the Canadian Pacific Railway Co., Stev/art's employer. It
indicated reluctance on defendant's part to let the cancellation
take place. The natural result of such a letter would be to
induce Stewart to reconsider his decision; and as a matter
of fact he did not return the policy for cancellation, and
plaintiff's statement, made under oath at the trial, that her
husband had decided, on the strength of such letter, not to
press his request for cancellation, is amply corroborated.
Such being the case, Stewart did not attempt to insure him-
self elsewhere, relying for indemnity upon the policy already
issued to him.
"Moreover, the defendant company did not outwardly
treat the policy as cancelled until after Stewart's death,
namely, on May 27, 1919. As to the interpretation of pro-
vision 10 of the policy, the Court considers that in cases of
doubt it must be interpreted in favor of the insured (Des-
janlins vs. The Great West Life Insurance Co., 23 R.L., N.S.,
398)."
Justice Surveyor also pointed out that provision 10 stated
that the policy-holder might at any time cancel the policy
and be entitled to receive "on cancellation" the premium
paid, less the usual short rate charged for the period the
poli'cy had been in force. These words indicated, the Judge
said, that cancellation did not actually take place until the
company accepted it by refunding the unearned premium,
whidi it did not attempt to do until after Stewart's death.
"The fact of withholding an official acknowledgment of
Stewart's notice of cancellation until after the company re-
ceived his premium from his employer," His Lordship added,
"shows the defendant's intention not to treat the policy as
cancelled until then."
November 26, 1920
THE MONETARY TIMES
27
^iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiitiiiiiiiiiiiiiii iiiMiiiiMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiimiiiiiiiiiiii&
I REPRESENTATIVE LEGAL FIRMS f
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305 Grain Exchange BldR . Calgary. Alberta
Cable Address^" Lenjo," Western UnionCode
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WRIGHT & WRIGHT
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JOHN W. DIXIE
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e.«o 1
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and i^ollcltors
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Great West Perr
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jnceCo.
The
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gashatoon, Canada 1
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VICTORIA
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(Direct Private Wire)
Grain Exchange
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106 BAY STREET - - TORONTO
THE MONETARY TIMES
Volume 65
News of Industrial Development in Canada
Large Steel Industry to be Established at the Coast— Capitalized at Fifteen
Millions— To be Backed Chiefly by British Money— No Market for Canadian
Steel Plates in Britain, Says Agent of Marine Department— Large Fraser
Companies' Deal Still Pending — Wabasso Textile Mills to be Enlarged
CRYSTALLIZING the efforts of years, the Coast Range
Steel, Ltd., has been incorporated with a capitalization
of $15,000,000, to establish an iron and steel industry in
British Columbia. This is the first definite course to be taken
by any company, although iron and steel prospects have been
discussed in British Columbia for almost a score of years.
Henry J. Landahl may be said to be the principal, but he has
had active associates in Fred. T. Conadon, J. D. Kearns, John
Steta and Major Montagu Moore, in whose names the com-
pany is incorporated. Mr. Landahl has worked on the scheme
for years since coming out of the Klondike, where he had
met Mr. Conadon, and he was able to bring about a ma-
terialization of his efforts when the British Columbia govern-
ment at its last session decided to give $3 a ton bounty on
pig iron.
British capital has been interested and it is proposed to
spend $50,000,000 to carry out present plans. C. T. Williams
and Francis Perry, mining engineers of London, Eng., have
been in Vancouver for some weeks to determine the adequacy
of raw material, but their report will not be available for two
or three months. It may be said that there is no doubt of the
existence of plenty of certain grades of ore to warrant the
incorporation of the company and the taking of preliminary
steps in the establishment of the industry. The proposition
has been placed before prominent Vancouver citizens at dif-
ferent times, and those familiar vrith its possibilities have
accorded it support. Messrs. Landahl and Conadon visited
London about three months ago, and the examination by
British engineers is the result of that visit.
The matter has been discussed with the provincial gov-
ernment, which has signed an agreement to pay the bounty,
as specified in its legislation, and which will accord the pro-
ject every support. No particularly large local financial in-
terests are connected with the scheme, the principal backing
being British capital, which, if the report of the engineers is
favorable, will be unlimited, it is said. As yet there is no
talk of proposed location of this industry. If established it
will doubtless be on the mainland, as many other industries
closely follow steel, and while coal and other raw materials
are to be found on Vancouver Island, transportation and
other advantages are in favor of the mainland. Credit is due
those interested in having brought the project so far ahead.
With the completion of satisfactory investigations they
hope to start actual construction within six months. — R. B.
Bennett, Vancouver. (Special to The Monetary Times.)
No Steel Market in Britain
Cable advices from G. H. Flood, purchasing and contract
agent of the Marine Department of the Canadian govern-
ment, who is in England looking into the market for Canadian
steel plates, indicate that Canada will be able to dispose of
but few of these plates in the Mother Country. The govern-
ment entered into a contract with the Dominion Iron and
Steel Co to take a portion of the product of the Sydney plant
and dispose of it. Consequently, the government is now try-
ing to dispose of a portion of the 1921 output of the Do-
minion Iron and Steel Co.'s plant, but Mr. Flood states that
German and Belgian competition in the steel markets of
Great Britain is now an appreciable factor, and that Canada
will meet with strong competition.
For some time past it has been said that the lack of
orders was threatening the operations of steel plants in
Canada. This is confirmed in the fact that four hundred
steel workers are being laid off at the Sydney Mines, N.S.,
plant of the Nova Scotia Steel and Coal Co. It is stated that
the restoration of normal conditions will depend entirely upon
the success of the company in placing future orders for steel
products.
Dominion Steel Closes Plant
When 125 railroad employees of the Dominion Steel Cor-
poration served an ultimatum on the management on Novem-
ber 22, demanding a settlement of their wage differences be-
fore five o'clock the company replied by closing down the
various mills at noon and ordering the banking of the blast
furnaces. For the past two years the railroaders employed
within the steel plant have been contending for the scale
awarded all other railroaders in Canada following the Mc-
.A.doo award in the United States.
The company has succeeded in getting men other than
those employed on the railways to take over and run these
locomotives, and so has found a means of combatting a
situation which otherwise would close the plant entirely,
throw 4,000 men out of work, and at the same time wreak
destruction amounting to many thousands of dollars in the
furnaces which, if not properly banked and allowed to cool
down slowly, would crack, fall in and become useless.
Pulp and Paper
Additions now being made to the plant of the Abitibi
Power and Paper Co. at Iroquois Falls. Ont., and which will
be completed early in the coming summer, are calculated to
almost double the capacity of the plant. The Abitibi's big
scheme of expansion entails the installation of additional
hydro-electric generating equipment, and which will bring the
total electric energy up to approximately 19,000 h.p.
A transaction involving the purchase of the New Bruns-
wick Railway Co.'s timber lands for approximately $11,000,-
000, which was to have been completed by the Fraser Com-
panies, Ltd., recently, has not yet been closed. Archibald
F'raser has said that the consumation of the deal had been
postponed and added that no big deals are being put through
just now. For continuing the option whi(;h they have on the
New Brunswick Railway Co.'s lands the Fraser interests have
been paying $25,000 a month for some time now.
Enlarge Wabasso Plant
Plans have been made by the Wabasso Cottons Co. for the
enlargement of its mills at Three Rivers, Que. Work of ex-
tending the plant will be begun shortly and a number of
looms will be increased from 7,500 to 10,000, an increase of
33 per cent.
.A. further proposal alludes to an addition for the future,
including additional spinning mills, which will double the
capacity of the mills as they stand next year. The second
addition, however, would not be undertaken until the situ-
ation is more clearly defined. The statement is made that
the company has steadily refused large orders; and it was in
order to meet this situation that the management long since
ordered the new machinery which is to be in operation be-
fore the middle of next year.
This is another indication that the textile industry in
Canada has not yet boon greatly affected by the business de.
prossion.
London'.s Industrial Prospects
About $2,000,000 worth of industrial and commercial
building is assured for London, Ont., next year. Part of
this work is to be commenced this fall, but the greater pro-
portion vn]\ be carried out next year. The buildings for
which plans are already completed or are being made include
November 26, 1920
THE MONETARY TIMES
29
The Imperial
Guarantee and Accident
Insurance Compeuiy
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident Insurance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - - - $200,000.00
Authorized Capital - - - $1,000,000.00
Subscribed Capital - - - $1,000,000.00
Government Deposits $111,000.00
LONDON
GUARANTEE AND
ACCIDENT COY., Limited
Head Office for Canada - Toronto
nployers' Liability. Elevator, Contract. Pers
Guarantee. Internal Revenue, Sicknes
Teams and Automobile.
AND FIRE INSURANCE
IT PAYS TO INSURE YOUR AUTOMOBILE
WITH
The Canadian Surety Company
Maximum Service.
Minimum Cost.
CANADIAN STRONG PROGRESSIVE
?m€ mma^jmi^^mims^fst
FIRE INSURANCE
AT TARIFF RATES
General Capital Subscribed
$500,000 Automobile
Insurance
Sec.-Treas. 10th Floor, Electric Railway Chamber!
Good Openings for Live Agents
Commercial Union Assurance Co.
Limited, of London, England
Capital Fully Subscribed $ 14,750,000
Capital Paid Up 7,375,000
Total .Annual Income Exceeds 75,000,000
Total Funds Exceed 209,000,000
Hra<l OfDce Canadian Branch :
COMMERCIAL UNION BUILDING - MONTREAL
H ALBERT J. KERR, Assistant Manager. W. S. JOPLING. Manager
Toronto Office - 49 Wellington Street East
GEO. R. HARGRAFT, General Agent for Toronto and County of York
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I Automobile— 1 920"Season |
1 Policies to cover ANY or ALL motoring risks |
I ATTRACTIVE AGENCY CONTRACTS I
I British Empire Fire Underwriters |
I 82-88 King Street East, Toronto |
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p. M. LIDDELL & COMPANY
Investment Bankers. Fiscal Agents
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
THE EMPLOYERS'
LIABILITY ASSURANCE CORPORATION
OF LONDON, ENG. limited
ISSUES
Personal Accident Sickness
Employers' Liability Automobile
Workmen's Compensation Fidelity Guarantee
and Fire Insurance Policies
C. W. I. W^OODLAND
General Manager for Canada and Newfoundland
Lewis Building,
MONTRE.^L
JOHN JENKINS,
Fire Manager
Temple Bldg.
TORONTO
THE MONETARY TIMES
Volume 65.
the new million-dollar hotel, the Ruggles Truck Co., the
Service Truck Co., the Rawley Drug Co., Beatty Bros.' new-
factory, and the Simmons Bed Co. factory, which it is planned
to erect on Adelaide Street. The contracts for some of this
construction have been let for some time. In other instances
the plans are being completed that tenders may be called
shortly. Thus the work which has not yet been started will
be hastened early next spring.
Three companies, the names of which have not yet been
announced, are looking over western Ontario with a view of
locating branch factories. It is understood that one of the
firms manufacture hardware, tools, etc., and the other two,
automobile accessories.
A company under the name of the Tropical Food and
Chemical Co., which will manufacture various products from
cocoanuts, has been incorporated with a capital of $1,000,-
000, and will locate its plant at Kitchener, Ont.
Elcaya Co., of New York, manufacturers of toilet
articles, will shortly open a branch factory at .\ylmer, Ont.
For the past two years the company has been operating a
branch at Montreal, Que.
Miscellaneous Notes of Industry
Paulin and Chambers, of Winnipeg, one of the largest
biscuit manufacturers in Western Canada, has decided to
locate in Regina, Sask. The company is taking over the
warehouse of the Prairie Biscuit Co. on Fifth Ave.
On account of the big slump in the shoe trade, the
Milton Shoe factory, Milton, Ont., has been forced to close
down for a while.
The "Canadian Harvester," product of the Port Arthur
Shipbuilding Co., was launched on November 20.
The plant of the Denby Motor Truck Co., Chatham, Ont.,
has passed into the hands of J. T. Wood and Son, Brussels,
Ont., who will move their knitting factory to Chatham.
NEW INCORPOR.\TIONS .
Interlocking Cord Tire and Belt Co., Ltd.. .S1,.")00,000— Pen-
dennis Cold Mining and Reduction Co.. Ltd.. SLOOO.OOO—
Ottawa Nukol Co.. Ltd.. .SLOOO.OOO— Burkell's.
Ltd.. SLOOO.OOO
Dominion charters have been granted to the following
companies, with head office and authorized capital as indi-
cated : —
Belanger, Freres and Cie., LUl., Hull, $100,000; Fur
Traders, Ltd., Ottawa, $2.'5,000; S. Rosenthal, Ltd.. Montreal,
$40,000; Perkins Ladd Electric, Ltd., Montreal, $75,000;
Manufacturers Trading and Holding Co., Ltd., Toronto,
$2.50.000; St. Lambert Manufacturing Co.. Ltd.. Montreal,
$100,000; Lammers and Masse, Ltd., Montreal, .$200,000; Bay-
mac Tire and Rubber Co., Ltd., Grimsby, $1.50.000; .MatUuva
Investment Co., Ltd., Montreal, $250,000; Jones Motor Sales,
Ltd., Ottawa, $40,000; Engineering Sales and Service Co.,
Ltd., Montreal. $50,000.
Provincial Charters
Provincial charters announced during the past week
have been as follows: —
British Columbia. — Kilpatrick Moryson Motor Co., Ltd.,
Victoria. $.'?0.000; Van Norman Lumber Co., Ltd., Victoria,
$10,000; North Island Logging Co., Ltd., $200,000; Mara
Estate. Ltd., Victoria. $10,000.
Manitoba.— Rosedalc Pharmacy. Ltd.. Winnipeg, $20.-
000; Pickles. Ltd., St. Boniface, $15,000; Continental Cigar
Stores. Ltd., Winnipeg, $500,000; Pendennis Gold Mining and
Reduction Co.. Ltd.. Winnipeg. $1,000,000; Bulloch-Townsley
Land Co.. Ltd., Winnipeg. $250,000; Van Allen Flax Pro-
ducts, Ltd.. Winnipeg. $.30,000.
New Brunswick. — Commercial Press, Ltd., Chatham.
$0,900; Semi-Ready St. John. Ltd., St. John, $20,000.
Ontario.— Mutual Totalizer Co., Ltd., Toronto, $100,000;
Modern Implements, Ltd., Walkerville, $100,000; Ottawa
Nukol Co., Ltd., Ottawa, $1,000,000; Jobson Industrial Films,
Ltd., Toronto, $100,000; Inventors Syndicate, Ltd., Toronto,
$300,000; Geo. Shepard Printing Co., Ltd., Toronto, $40,000;
W. G. Craig Co., of Toronto, Ltd., Toronto, $500,000; Walt-
ham Grinding Wheel Co. of Canada, Ltd., Brantford, $200,-
000; Sarnia Cement Products, Ltd., Point Edward, $100,000;
I. Johnson and Son, Ltd., Toronto, $60,000; All-Weld Co.,
Ltd., Toronto, $40,000; R. B. Bond, Ltd., Toronto, $40,000;
Brechin Milling Co., Ltd., Brechin, $40,000; Hardware Pro-
ducts, Ltd.. Toronto, $40,000; Hamilton Storage Batteries,
Ltd., Hamilton, $.30,000; Interlocking Cord Tire and Belt Co.,
Ltd., Toronto, $1,500,000; Bates and Dodds, Ltd., Toronto,
$150,000; Burkells, Ltd., Toronto, $1,000,000; Canadian Elgin
Watch Co., Ltd., Toronto, $250,000; Cornwall Pulp and Paper
Co., Ltd., Toronto, $200,000; Highland-Kirkland Mines, Ltd.,
New Liskeard, $100,000; Home Needs, Ltd., Toronto, $100,-
000; Kitchener Oil Co., Ltd., Kitchener, $40,000; J. M. Rob-
ertson Knitting Co., Ltd., Toronto, $40,000; Life Protection
Association of Canada, Ltd., Toronto, $400,000.
Quebec— Cremerie ^tna, Ltd., Montreal, $49,000; H.
Massicotte and Freres, Ltd., Cap de la Madeleine, $20,000;
W. Levesque, Ltd., Bagotville, $20,000; Sovereign Lime
Works, Ltd., Montreal, $20,000; Pioneer Children's Wear
Manufacturing Co., Ltd., Montreal, $20,000.
Saskatchewan. — Theatrical Club, of Moose Jaw, Ltd.,
Moose Jaw, $10,000; Monarch Investment Co., Ltd., Regina,
$100,000; Saskatoon Grain Co., Ltd., Saskatoon, $100,000;
Keystone Oil Co. (Peace River), Ltd., Saskatoon, $200,000;
Sodium Sulphate Co. of Saskatchewan, Ltd., Regina, $500,000.
t. INSURANCE NOTES
Certificate of registration has been granted to the T.
Eaton Life Assurance Co., permitting the writing of life
insurance in the province of Manitoba.
Jos. Cornell, who for the past five years has been super-
intendent of the British-American Assurance Co., with office
at Winnipeg, Man., has accepted an appointment with the
Canada National Fire Insurance Co. as superintendent for
British Columbia, with headquarters at Vancouver.
Bell-Irving. Creery and Co., Ltd., Vancouver, B.C., in-
surance and financial brokers, have taken over the business
formerly carried on by H. Bell-Irving and Co., Ltd.
The Agricultural Insurance Company, organized last
spring by Saskatchewan farmers, and owned and operated
entirely by them, is making rapid progi-ess, and its experience
up to the present has been most gratifying. The company
has already over one thousand farmer shareholders, its pur-
pose being to provide a means by which farmers of Sas-
katchewan can do their own business with their own money.
A private bill, incorporating the Midwest Fidelity and
Guarantee Co., Ltd., with head office at Regina, was read a
second time in the Saskatchewan legislature last week. Th^
petitioners for the bill are Qrville F. Seeker, Edmund Simon
and John Lorn McDougall. The capital stock mentioned in
the bill is $500,000, divided into 5,000 shares of $100 each.
The purpose of the company is to carry on the business of
life insurance in Saskatchewan.
The Northwestern Mutual Fire Association, of Seattle,
Wash., has been granted a registration certificate, authorizing
it to write business of fire insurance in Manitoba.
The L'nitcd States Fidelity and Guaranty Company has
been licensed to transact in British Columbia the business of
robbery insurance in addition to guarantee, accident, sick-
ness, burglary, plate glass and steam boiler insurance, for
which it has already been licensed.
Two companies have been registered for the transaction
of life insurance in the province of Ontario, namely, the
T. Eaton Life Assurance Company and the Knights of
Pythias. The latter-mentioned organization, which is a fra-
ternal benefit society, has also been registered to transact
sickness insurance.
November 2(3, 1920
THE JIONETARY TIMES
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $133,000,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful days for life insurance salesmen,
particularly North American Life men. Our representa-
tives are placing unprecedented amounts of new business.
All 1919 records are being smashed.
** Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey. Supervisor of Agencies.
North American Life Assurance Company
"SOLID AS THE CONTINENT"
HOME OFFICE ' TORONTO. ONT.
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG, MAN.
Assurances, New and Revived - - - 11,211,447.00
Premiums on same ... - 4.3,890.00
Assurances in Force ... . 3,458,939.00
Total Premium Income - - . . 109,586.03
Policy Reserves - . - - . 211,497.00
Admitted Assets - . - - - - 296,430,62
AveraKe Policy 2,237.50
Collected in cash per 81,000 insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director - - Winnipeg.
1870 OUR COLDEN JUBILEE 1920
Two Hundred iMillion Dollars
This year the Mutual Life Assurance Company of Canada celebrates its
golden jubilee by reaching the two hundred million dollar mark. This
point in the expansion of The Mutual Life has been reached more quick-
ly than any of its most ardent friends would have believed possible five
years aKO. But the reason is rot "far to seek." During the Great War
and the fatal epidemic which followed in its train The Mutual Life paid
out in relief of the families bereaved no ess than two million, three
hundred thousand dollars in addition to ordinary claims. The bene-
fits of life insurance were thus so clearly dt monstrattd that an immense
demand r esulted and the business of The Mutual has de\ e'oped as much
during the last five years as during the preceding forty-five years. The
Canadian people suddenly realized the absolute necessity for life insur-
ance and naturally turned to a company well-known, well-established
and financially impregnable.
The Mutual Life Assurance Co. of Canada
Waterloo
Ontario
LIFE INSURANCE SERVICE
Dmpany depends largely upon
they receive. The Continen-
tal Life has long since passed this test, and earned a high reputation for paying
claims prompily. 1920 will likely prove the best year in the Company s history.
Write for booklet. ••«iir Be.tt Advfrtlseri.." For Manager's positions in On-
tario, apply with references, stating' exoericnce. etc., to S. S. WEAVER,
Eastern 'iiiperliilrnileiit, at Head Ottlrp
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
ISSL'EU ONLY BY
THE LONDON LIFE INSURANCE CO.
Head Office ... LONDON, CANADA
Profit Results in this Company 70% better than Estimates.
POLICIES "GOOD .48 GOLD."
THE POPULAR VERDICT
It is sometimes advisable to " follow the crowd" — to accept
the popular verdict.
In respect to Life Insurance, for example, it is clear that
very strong reasons must have influenced the numerous
persons whose applications for protection have, for thirteen
successive years, given the Creat-West Life the largest
Canadian Business of all the Canadian Companies.
Low rates — high profits — liberal policy conditions — have
been the reasons.
Ask for information, and for pamphlet showing Profits the
Great- West Life policyholders are receiving.
THE GREAT-WEST LIFE ASSURANCE COMPANY
DEPT. "F "
HEAD OFFICE - - WINNIPEG
The Western Empire
Life Assurance Company
Head Office : 701 Somerset Building, Winnipeg, Man.
SASKATOON
Bran
CALGARY
EDMONTON
VANCOUVER
MAHAN-WESTMAN, LIMITED
FINANCE - INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
Dr. J. W. MAHAN J. A. WEST.MAN
President Managing Director
\)^
TE have 450 good businesses for sa
/ portion of Alberta. Everything
Store to a small Confectionery
from
he ce
a Ger
ntral
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If you want a busines
3 in Alberta yo
u wa
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WHYTE &
CO., LIMITED
111
Busin
Fantages Buildii
ess Brokers
ig - Edmor
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Alb
erta
H. M. E. Evans &Company; Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
32
THE iM O N E T A R Y TIMES
Volume 65.
News of Municipal Finance
Assessment Commissioner Forman of Toronto Takes Strong Stand Against Any Move Towards Single
Tax— Motion to Exempt Buildings Improvements and Business Assessment is Rejected— Provincial
Relief for British Columbia Municipalities, as Solution of Taxation Problem, is Receiving Much Attention
A REPORT has been issued by James C. Forman, Toronto
assessment commissioner, regarding the proposed ex-
emption of buildings and improvements, business assessment
and income, in which he takes a strong stand against any
movement towards single tax. While the statements of Mr.
Forman were meant chiefly for local interest, their signifi-
cance is much broader, inasmuch as they touch on a topic
which has been the subject of much controversy during the
past few years, and which has been the cause of the un-
enviable financial position of so many western municipalities.
Mr. Forman introduces his report with the following re-
marks:—
"Under Chapter 64, 10-11 George V., 1920, the council
of a city, with the assent of the qualified ratepayers, as
required by the Municipal Act, may pass a by-law exempting
from taxation for all purposes, including school, not less than
10 per cent., or more than 2.5 per cent, annually of the as-
sessed value of buildings and improvements, business as.5i!ss-
ment and income, which, after a period of four years, with an
annual exemption of 25 per cent., would result in the aboli-
tion of these classes of assessment. The proposition is
fraught with danger to the future development of Toronto,
by reason of lack of revenue from just bases for taxation
purposes. The result of the by-law, if carried in its entirety,
will make land the only basis of taxation. Its final result
will be to have an extraordinarily high tax rate and an ever
increasing one. It is recognized by leading authorities on
taxation that the real basis of taxation in urban municipali-
ties is 'ability to pay.' Without this principle, many millions
of dollars of wealth escape just taxation. Taxation on land
only has already proven, after many years of trial, to be a
failure in the cities of western Canada."
To back up these statements Mr. Forman has explained
to some length the position of a number of western cities.
In Alberta he cites Edmonton and Calgary. Both of these
municipalities are now experiencing considerable trouble with
regard to their tax arrears. Tax sales, which are held an-
nually, and which are supposed to help the situation, are
proving more or less a failure, and large blocks of land are
becoming the property of the city, with consequent loss of
revenue. In British Columbia, Vancouver and Victoria are
given as examples. Both cities are now seriously considering
new revenue sources. Alderman Sargent, chairman of the
finance committee of Victoria, in commenting on the recent
tax sale held by the city, makes the remark that "it has con-
clusively proved that taxation of land has been overdone."
Mr. Sargent's opinion was covered fully in a recent issue of
The Moiicliiry Times. Regina, Moose Jaw and Saskatoon are
also exemplified.
Land Assessment and Tax Rates
The report gives figures showing how the land assess-
ment has decreased since 1914, and how the tax rate has
risen. The following summary illustrates the instability of
relying on revenue from taxation on land only: —
Land assessment. Tax rate (mills).
1914. 1919. 1914. 1919.
Edmonton $191,283,970 $62,471,850 17.5 35.3
Calgary 119,842,255 57,039,421 20.75 35.25
Regina 62^636,535 31,124,650 13.00 36.50
Moose Jaw .... 35,234,596 14,887,533 17.50 34.70
Saskatoon .... 54,461,3.50 25,651,015 17.55 35.00
Mr. Forman then illustrates Winnipeg. He says: "Win-
nipeg, with its population of over 200,000, has not deviated,
since 1910, from its assessment of buildings and improve-
ments at 66% per cent, of their value, notwithstanding the
wonderfully rapid growth in its buildings and improvements,
the assessment rolls showing in 1910, $48,934,150, and in
1914, $81,708,450, or over $32,700,000 increase, and this on
a two-thirds valuation of such buildings and improvements
in a period of four years."
In conclusion the report remarks: "I think it is fair to
say that the expenses of the municipality will increase yearly,
and it is likewise fair to say that the increase in land assess-
ment cannot be sufficient to take care of the increasing cost
of civic government. Were land the only basis of taxation,
the tax rate would be more than doubled, and as municipal
expenses increase, the rate must still further increase. Why
should buildings and improvements be entirely exempt?
Their very presence accounts for a large proportion of the
tax rate, such as the cost of police protection, fire protection,
schools, parks, free libraries, street cleaning, lighting, etc.,
all of which are necessary needs to the civic life.
Motion Rejected
The motion to exempt 25 per cent, of the assessed value
of buildings, income and business, which was put forth by
Aid. Honeyford, was rejected by the city council, following
a lengthy debate, in which the above report received consid-
eration. But Aid. Plewman's resolution to apply a graded
exemption on dwellings assessed for not more than $4,000
will be voted on at the January elections. This latter pro-
position is the same as that which was carried by a large
majority last January, but could not be applied because the
question was not in the language of a clause of the assess-
ment act.
Aid. Plewman, in opposing the single tax scheme of his
colleague, said the burden of taxation fell heavily on the
poorer classes. Under the plan proposed by himself a real
benefit would be given the smaller taxpayers, as their taxes
would be actually reduced, while those of the wealthy would
be increased proportionally. He quoted statistics in support
of this contention. The Dominion Bank at the corner of
King and Yonge Streets, which now paid $60,611.25 in taxes
on the land and building, would only pay an extra $820.75
per annum under the Honeyford scheme, while under his own
scheme the bank would have to pay $3,434.63 more.. On the
business assessment the bank would effect a saving of $2,588
per annum under the Honeyford plan, but under the altern-
ative plan it would have to contribute another $1,103.27 per
annum.
Montreal, Que. — According to figures prepared by P.
Collins, assistant city treasurer, out of the total i-evenue
from realty taxes for the current year, amounting to $15,-
000,000, the sum of $7,968,736 had "been collected up to No-
vember 1. Mr. Collins further anticipated the collection of
another $1,250,000 on this account by January 1 next, making
a total approximately of $9,250,000. Referring to the $7,-
908,736 collected up to the beginning of the current month,
Mr. Collins remarked that it is about equal to the amount
collected last year during the corresponding period. "The
average daily collections on the realty tax," said Mr. Collins,
"are now about $40,000, and we expect to collect from No-
vember to January 1 another $1,2.50,000 in realty taxes. This
will equal the amount collected last year, which was fairly
satisfactory. Interest at 6 per cent, has been charged on
these accounts since October 1, and on December 1 the rate
will be increased to 7 per cent."
The statement was made by the assistant city treasurer
that the amount collected in interest, on taxes and arrears
paid since January 1, is $274,926. Mr. Collins said: "We
November 26, 1920
THE MONETARY TIMES
C.P.R. BUILDING
TORONTO
n0USSERW00D>^°G>MPANY
«NVe*TMENT BANKERS
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
• •
OSLER, HAMMOND & NANTON
WINNIPEG
Stock Brokers and Financial Agents
Insurance Mortgage Loans
Real Estate
• = =-. : •
NEW ISSUE
CITY OF TORONTO
6 BONDS
Maturing 1921-1950
TO YIELD 6.35%-6.50%
Harris, Forbes & Company
INCORPOSATBD
C. P. R. Building 21 St. John Street
TORONTO MONTREAL
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Members of Winnipeg Real Estate Exchange. Winnipeg Stock Exchange
c.
H.
BURGESS & CO.
Government and
Municipal Bonds
14
King Street East - - Toronto
1
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
INDUSTRIAL SECURITIES
300 Nanton Building, Winnipeg
The Safest Investment
SOUND, active, Industrial enterprises catering to big pub-
lic demand which benefit by national growth — make
the best and safest investments for money. We can «dvise
you of many investments which pay good dividends and
have great future possibilities.
Chiefly among which is the issue of the Rubber Co. of
Canada.
Enjoy the prosperity of the rubber industry.
Lei us sent! you particulars.
R. M. HEFFERNAN & CO., Limited
/A[£5r.\/£,\T BROKERS
HEAD OFFICE : 204 Jackson Building, OTTAWA
'■' M.T. 1015
34
THE MONETARY TIMES
Volume 65.
have collected on the 19iy arrears of taxes since January
to November, 1920, $2,416,927. In the same period we have
also collected on the 1918 arrears of taxes $1,582,427."
As regards these water and business taxes from August
1 to November 1, for the current year, the city had collected
$2,596,000, which amount included the collections during the
rush days preceding September 1, when the corporation
allowed the usual discounts. Collections on these latter
taxes are now at the rate of $10,000 a day, and of the total
amount collectible, $3,500,000, he expected there would be
less than 7 per cent, of the amount remaining unpaid on
January 1.
Victoria, B.C. — The principal topic in British Columbia
at the present, with regard to municipal finance, is that of
taxation. The press is devoting considerable space to the
situation, and some very reasonable suggestions have been
put forth. One point that has been discussed more than
others is that of provincial relief. This subject has been
used extensively as an argument by candidates for the pro-
vincial legislature, but apart from that it should be considered
as a possible solution of a serious problem. The "Victoria
Colonist," in a recent editorial, outlines the situation in a
very interesting manner: —
"Property of a total assessed value of $4,670,645 is now
held by Victoria as a result of the last two tax sales. Be-
tween now and October of 1921, it is possible that some of
this property will be redeemed by its former owners, but,
on account of the heavy taxes involved, the propects are not
bright of the city being relieved of any percentage worth
while of this incum'brance. The land that can be assessed
in this city for the 1921 taxes has thus decreased in value by
upwards of $4,500,000. This means that if this decrease were
the only consideration involved, the tax rate for the coming
year would have to be increased by nearly four mills in order
to provide a revenue equal to that produced during 1920.
There are, however, other considerations, including the cir-
cumstances which led to the tax rate being kept at a reduced
figure last spring in the hope that during the present year
the provincial government would come to the relief of munici-
palities. This hope has failed to materialize.
"Victoria's sinking funds now have a shortage of some-
where in the neighborhood of $2,000,000. So far as there
is any knowledge, these funds are in a worse position to-day
than they wei-e twelve months ago, and it would seem that
the moneys derived through payments of arrears of taxes
on the instalment plan, and those accruing through tax sales,
have not been devoted, as they should have been, to reducing
the deficiencies in sinking funds. During 1921 an effort will
have to be made to begin to make good the shortage. That
is one reason why, in addition to securing revenue for ad-
ministration purposes and to meet the interest on bonded
indebtedness, further revenue will be required to build up the
fund necessary to meet liabilities when they fall due. This
will mean there must be an increase in the tax rate, over
and above that which is inevitable because of so much land
becoming non-assessable.
"No municipal problem looms larger than that of taxa-
tion at this time. It is a matter which closely affects Vic-
toria's credit, and the only possible readjustment of the situ-
ation lies in provincial aid. We have pointed out before that
the immediate plan to be favored should be a per capita
grant to municipalities. Subsequently, there should be a
thorough investigation into the possibilities of a redistribu-
tion of taxation, as between municipalities and the province.
It is desirable to get down to a basis where the governments
of each will be able to bear their financial burdens, and, in-
deed, the welfare of the entire province is bound up in a
solution being found."
Government and Municipal Bond Market
Very Little Activity During Past Week— Saskatchewan Domestic
Loan Has Not Been Very Successful — Alberta's Local Selling Pro-
gressing Slowly — Alberta School Debentures Are on the Market
THE activity which has been pi-evalent in the government
and municipal bond market during the past two months
appears to have somewhat subsided, and very little is slated
for the future.
Saskatchewan's farm loan debentures campaign has just
about been brought to a conclusion, but very little has been
heard of the result. According to bond dealers here, how-
ever, the issue has not met with a very good reception. There
is very little surplus money in the west just now, owing to
the fact that many farmers have still large stocks of their
products on hand, and those that have sold out have done
so at prices very much lower than was formerly expected.
Then again, as one bond dealer points out, if the farmer
wishes to borrow money he has to pay 6, 7, and perhaps 8
per cent., so that it is not likely that he is going to lend very
much of his surplus funds at 5 per cent.
Alberta's domestic loan is progressing slowly, subscrip-
tions now nearing the $500,000 mark. It is understood that
a new advertising campaign is to be put on shortly to dis-
pose of the other half million.
Victoria, B.C., last week discussed with local bond dealers
the advisability of making a loan to meet the initial payment
on the Johnson Street Bridge and the bank overdraft. Both
these accounts will have to be met shortly, but it is under-
stood that bond dealers do not favor a bond issue.
The Irrigation Loan
It is now more than a month ago that farmers passed
favorably on issuing $5,400,000 debentures for the Leth-
bridge Northern irrigation district, but the securities have
not yet been placed on the market. According to Secretary
Dunning, enquiries have been received from Vancouver, Win-
nipeg and Toronto concerning the issue, but it is understood
that no offers have yet been made.
It is the opinion that it will be some time before the
bonds are placed, as the market for that kind of security is
not very receptive just now, either here or in the United
States.
Coming Offerings
The following is a list of debentures offered for sale,
particulars of which have been given in this or previous
issues: —
Tenders
Borrower. Amount. Rate %. Maturity. close.
Freeman Twp., Ont. $ 10,000 7 20-instal. Nov. 27
Oakville, Ont 110.000 6% 20-years Nov. 29
Hamilton, Ont 260,227.16 5 Various Nov. 29
Sault Ste. Marie, Ont,
S.S. B 85,000 6 Nov. 30
Oakville, Ont. — Tenders will be received until November
29, 1920, for the purchase of the following 6'i per cent. 20-
year debentures: $45,000 for waterworks, $35,000 for public
school, $16,000 for highway, $15,000 for fire hall. P. A. Bath,
town clerk.
Hamilton, Ont. — Tenders will be received until November
29. 1920, for .the purchase of thfe following debentures: $66,-
275.68 5 per cent., 9-instalments; $48,487.87 5 per cent.,
19-instalnients; $145,463.61 5 per cent., 19-instalments. Total,
November 26, 1920
THE MONETARY TIMES
Victory Bonds
and the Average Man
Freedom from care and convenient in-
terest collection are the principal
factors that should govern the choice
of investment by the average man.
No other security possseses these qual-
ities in a greater degree than Victory
Bonds, while the interest return, which
ranges from 5.67% to 6.55%, is the
highest that has ever been obtainable
from securities of the Dominion.
Write for our pamphlet entitled "Some
Victory Bond Questions and .Answers.
It will interest you.
Wood, Gundy & Company
Canadian Pacific Railway Building
Toronto _ Saskatoon
New Yorit
Montreal
Winnipeg
Toronto
London, Eng.
BJS^^^^g^Bi^^Sg
7n
m^EE^El^SEEBi
KVESTMENT- SERVICE
Bonds are
Cheap To-day
because 7% and 8 interest rates o i
gilt-edged Bonds will not continue.
The next long swing in interest rates
will be down. Lower rates for
money will most certainly advance
the prices of existing Bonds and
fixed-income securities.
The large income-returns of to-day will then
be a thing of the past.
This, therefore, is the time to buy.
Write for our list of Government, Municipal
and Corporation gilt-edged Bonds.
Royal Securities
^ ^CORPORATION
I- I >* I T E D
MONTREAL
TORONTO HALIFAX ST. JOHN, N.B.
WINNIPEG VANCOUVER NEW YORK
LONDON. Eng.
'•/^•S'^^r-vr^sr^^r^^^^y 5/^Ns'y^w^'^s/>e'^«'^'%AS^»-^^»'^S>^-»-^sAS^
\
W.L.McKINNON DEAN H. PETTES
We recommend the purchase of
VICTORY BONDS
at the following prices: —
MATURITY PRICE YIELD BASIS
1922 98 and interest 6.38°,
1927 . . .
97 and interest 6.00%
1937 . . .
98 and interest 5,68%
1923 ...
98 and interest 6.24%
1933 . . .
96J and interest 5.89%
1924 . . .
97 and interest 6.36%
1934 . . .
93 and interest 6.26%,
Orders may be telephoned or telegraphed at our expense.
W. L. McKINNON & CO.
McKinnon Building TORONTO
iiiniiiiiiioiiiiMiiiiiiiiiiiiiiiDiiDim
niiiiiiiiiiii
Buying Bonds
By Mail
Buying bonds by mail from a reputable,
well-known financial house is so safe and
simple that those inexperienced in such mat-
ters can do so with the utmost confidence.
Try it. Write, stating your requirements ;
we will send you particulars of various
bonds.
Yielding from 6.25% to 7.25%
which we have purchased after careful in-
vestigation and which we offer with our
unqualified recommendation.
W. A. MACKENZIE & CO.
Covcrnmcni and Municipal Bonds
42 King St. West
TORONTO -:- CANADA
THE MONETARY TIMES
Volume 65.
$260,277.16. The securities are dated March 1, 1920. The
original issues were for 10 and 20-instalments, but one in-
stalment of each has already been sold.
Alberta. — School debentures to the value of about $200,-
000 are in the mai-ket, the Department of Education being
prepared to offer that amount of local school district securi-
ties to private buyers. Though the outside bond market is
at present in an unsatisfactory condition, a considerable
activity is reported in the way of individual sales to small
investors, and it is from this quarter that the department
expects the chief demand for further debenture issues. The
bonds are selling at par at 8 per cent.
Debenture Notes
Koseisle, Man. — Ratepayers have given their approval
of borrowing $20,000 for school purposes.
Daly R.M., Man. — On December 22 next voting will take
place on a by-law to raise $1-'11,338 by way of debenture issue
for good roads.
East Kildonan, Man. — On December 4 ratepayers will
be asked to vote on a by-law, authorizing the issue of $15,000
debentures for a fire hall.
Hamilton, Ont. — The city engineer has asked the city
council to submit a by-law to ratepayers, authorizing the
raising of $-100,000 for a new reservoir.
Montreal, Que. — Commissioner Marcil has given notice
of a motion to borrow $10,000,000 in anticipation of the
revenue to be realized from all sources in 1921.
Hamilton, Ont. — A by-law asking the ratepayers to vote
$5,762,990 for civic gas plant will be prepared for submis-
sion in January. The Board of Control has decided to issue
30-year debentures bearing interest at the rate of 6 per cent,
if the by-law is passed.
Edmonton, Alta. — Formal approval has been given to
the following proposed expenditures, and on December 13
ratepayers will be asked to give their sanction: $10,000,
paving; $20,000, incinerator; $600,000, telephone extensions;
$375,000, power plant; $20,000, addition to market building.
Bond Sales
Smith's Falls, Ont. — Harris, Forbes and Co., Inc., have
purchased $9,200 6V2 per cent. 20-instalment debentures at a
price of 98.37.
Shawinigan Falls, Que. — An issue of $211,500 5% per
cent. 5-year debentures has been sold to the Municipal De-
bentures Corporation. Versailles, Vidricaire and Boulais and
Credit Canadien, Inc., at a price of 95.
CANADIA> NORTHERN RAILWAY BORROWS IN
NEW YORK
Purchase of $25,000,000 20-year 7 per cent, bonds of
the Canadian Northern Railway, guaranteed unconditionally
as to principal and interest by the Canadian government, is
announced by William A. Reid and Co. The bonds are dated
December 1, 1920, maturing December 1, 1940, and are being
offered at par.
Associated with William A. Reid and Co. in the public
offering are the National City Co., the Guaranty Trust
Co., Lee, Higginson and Co., the Bankers' Trust
Co., and Blair and Co., Inc., all of New York, and
the Continental Trust and Savings Bank of Chicago. The
present transaction constitutes the second large piece of
Canadian railroad financing conducted in the New York
market this fall, an issue of $25,000,000 Grand Trunk Rail-
way 20-year 7's having been offered early in October and
over-subscribed in a few hours.
ANOTHER ONTARIO LOAN?
Several reports were in circulation this week regarding
another loan by the province of Ontario. It is understood
that some bond dealers were in conference at the parliament
buildings regarding this matter, but as yet nothing definite
has been given out. The province has a great deal of new
financing to do in the future, so that it is reasonable to ex-
pect a new bond issue at any time.
LOAN COMPANIES MUST PREPARE STATEMENTS
The Ontario Department of Insurance has drafted a
form in which loan companies must publish their annual
statements. A letter sent out by Mr. V. Evan Gray, regis-
trar of loan corporations, contains a copy of the form and
instructions.
A copy of the company's annual statement on the pre-
scribed form must be sent to every shareholder and deben-
ture holder resident in Canada, and every depositor of the
corporation whose deposits exceed $100. The form has been
drafted by a joint committee from the companies and from
the department.
BOND HOUSE OPENS SEATTLE BRANCH
Arrangements have been concluded by the British-
American Bond Corporation, Ltd., Vancouver and Victoria,
B.C., for the opening of a branch at Seattle, U.S.A., in the
L. C. Smith Building, to take care of the company's Wash-
ington business. The increasing demand for high-grade
Canadian provincial and municipal securities has necessitated
the opening of an office so that the company may keep its
American clientele advised as to the possibilities of invest-
ments in the securities handled.
For the present the Seattle office will be under the super-
vision of Mr. A. C. Flumerfelt and Mr. J. H. Tailing, who
will be working in conjunction with the firm's American
correspondents, the Seattle National Bank.
The final hearing of the express rates case, sittings upon
which have been held throughout the country by the Dominion
R;\ilway Commission, will take place in Ottawa on Wednes-
day, December 1.
BANKERS' TUTORIAL CLASSES
Last winter's session of tutorial classes, held under the
auspices of the Toronto Bankers' Educational Association, met
with such pronounced success that the 1920-21 session just
opened has been looked forward to with enthusiasm. The new
session, which opened the week beginning October 11, con-
sists of two terms of ten weeks each, the autumn session
occupying the period from October 11 to December 18, and
the spring session beginning January 31 and ending April
16. These classes are open to all officers of Toronto banks
who support the association, and those who wish to devote
some of their spare time to study have the option of select-
ing one of four courses.
The first item of the provisioi^al syllabus covering this
winter's study is "Canadian History and Government," the
tutor for this course being W. Stewart Wallace. Mr. Wal-
lace's method will be to retrace the history of constitutional
government from the present to the past, as he believes this
order of study will be more beneficial to bank officers than
the conventional treatment which proceeds according to
chronology. "International Trade" is the subject of the sec-
ond course, with U. E. Manning as tutor. The development
of trade will be traced from mediaeval times and the main
theories and problems of modern international trade con-
sidered. Under the tutorship of Harold Foster, the third
course is on "Company and Commercial Law," under two
headings (a) Mercantile Law and (b) Municipal Law. A
fourth course, on "Economic Geography and Commercial De-
velopment," has also been arranged for under the direction
of C. N. Cochrance, the tutorial secretary.
November 26, 1920
THE MONETARY TIMES
37
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7i%
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B.
HALIFAX, N.S.
Prompt
Settlement
of claims
NEW JERSEY INSURANCE CO.
BALTICA INSURANCE CO.
PENINSULAR FIRE INSURANCE CO.
OTvEEFFE & LYNCH, OF Canada. Limited.
MARINE MANAGERS
43 Victoria Street TORONTO
Western Municipal & School
Debentures
TO YIELD
6%
71%
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
CORRESPONDENCE
INVITED
UNION TRUST BUILDING
WINNIPEG
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM UNDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
Private Wires to WINNIPEG, CHICAGO, TORO.NTO,
MONTREAL AND NEW YORK
Manitoba Finance Corporation Ltd.
Investment Brokers, Financial Agents, Etc.
Head Office ;
410-11 Electric RIy. Chambers - Winnipeg, Man.
Phone Garry 3S8-1
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba. Alberta Flour Mills, Limited
H. B. MACDONALD.
Managing Dii
T. J. RANAGHAN,
Sccy.-Trea
THE UNITED ASSURANCE COMPANY
Fire, Hail and Automobile Insurance
Branch Office -MOOSE JAW.Sa.k. Head Office— CALGARY, Alberta
Economical Mutual Fire Ins. Co.
HEAD OFFICE ... KITCHENER. ONTARIO
CASH AND MUTUAL SYSTEMS
Total Assets, $97-i,600 Amount of Risk, $28,641,000
Government Deposit, $50,000
JOHN PBNNBLU GEO. G. H. LANG, W. H. SCHMALZ,
Hgr. -Secretary
President
Vice-President
Vancouver District Property
Expert Estate Agents and Managers
Property Bought and Sold, Valued. Rented and
Reported on. Correspondence invited.
WAGHORN GWYNN Co., Ltd. Vancouver
X
Queensland Insurance Co. Limited
of Sydney, N.S.W.
Capital Paid Up $1,750,000 Assets $4,015,811
Afnii Wanltd im UmrttnuntMd DittrUti
Montreal Agencies Limited
Montreal
MACAULAY & NICOLLS
INSURANCE OF ALL CLASSES
ESTATES MANAGED
746 Hastings Street - VANCOUVER, B.C.
C. H. .VIACAULAV J. P. NICOLLS, Notary Puhlic
! hMilJ ■
yniiiiiipu iicE
\Jm
1 SECURITy AND SERVICE !■
i/i>ui:niniiiii'l
X.j5^
"y HEAD OFFICE -WINNIPEC. 1
THE MONETARY TIMES
Volume 65.
COKroKAIION SKCLKITIES MARKET
SliKhtly Better Appearance Presented by Canadian Stocks —
Trading Again Diminislied — Saraguay Preferred
Shares Redeemed
A SLIGHTLY better appearance was presented by Canadian
stocl<s during the week ended November 24, but there
was no indication that liquidation has entirely spent itself,
or that prices are on the upgrade. The market is still some-
what uncertain and traders are in a waiting attitude.
Canadian commodity values have depreciated rapidly, but
the drop has not been nearly so severe as in the United
States, so that a further decline here would make itself
felt in the stock market.
Then again, the money situation is still unrelieved. In
the United States last week there was an appearance of
easier nionoy. the call rate ruling chiefly at 0 per cent, and
going as low as .■) per cent., while the federal reserve bank
statement showed a substantial advance in gold reserve.
There has been no such indication here, however.
Trading has again been reduced to very small pro-
portions, as illustrated by the following figures: —
Montreal Toronto
Listed stocks bonds Listed stocks bonds
Thursday 8,.'i93 $21,100 1,736 $10,600
Friday 8,349 16,800 1,341 16,300
Saturday 7,488 4,500 1,.585 4,600
-Monday 5,195 40.800 045 7,900
Tuesday 6,799 21,400 2,012 13,400
Wednesday 4,998 11,700 1,329 13,100
Totals
41,222 $116,300
8,648 $65,900
The figures for the previous week were: Montreal, listed
stocks, 81,770; bonds, $172,900; Toronto, listed stocks, 19,206;
bonds, $143,400.
I
Firm Unlisted Market
A. ,]. Pattison, Jr., and Co., members of Toronto and
Montreal Stock Exchanges, in commenting on the market for
the past week, called attention to the fact that while the
markets of Montreal, Toronto and New York were steadily
declining, the unlisted stocks, with but few exceptions, held
firm. There appea'^s to be a growing desire on the part of
the holders of theatre shares to dispose of their stock in a
gradually receding market. A strong demand developed for
bonds of the better industrial class. Offerings which have
been on the market for weeks and which were thought to
be high in price, have been absorbed.
Saraguay Preferred Shares Redeemed
The Montreal Public Service Corporation has redeemed
at i)ar all the outstanding preferred shares issued in 1911
by the Saraguay Electric and Water Co., and at the same
time has paid off the accumulated dividends on the 6 per
cent, preferred stock up to November, 1920. The total pay-
ment amounted to over $237,000, and thus the Montreal
Public Service Corporation is relieved of a substantial in-
debtedness.
This corporation, which was founded in 1908, is a
consolidation of the Saraguay Electric and Water Co., the
Dominion Light, Heat and Power Co., and the St. Paul
Electric Light and Power Co. It owns the distribution sys-
tem of the Canadian Light and Power Co., and operates,
under lease, the plant and distribution system of the Central
Heat. Light and Power Co.
In 1912, when the general consolidation above referred
to, took place, the company was serving about 5,000 cus-
tomers, while at present the company is now serving nearly
14,000 customers. The company has a contract with the
Montreal Ti-amways Co. for a period of 50 years dating
from November 2nd, 1915, to furnish electric power to the
Tramways Co., and under this contract the company is now
furnishing a total of over 10,000 h.p. to six different sub-
stations on the Island of Montreal. The company also fur-
nishes the street lighting in several wards.
Dividends and Bonuses
Excellent earnings of the Dominion Glass Co., for many
months past, have enabled the directors to increase the
dividend on common shares from 4 to 6 per cent.
A bonus of 5 per cent., has been declared by the Woods
Manufacturing Co. This has been a usual event ever since
December, 1918.
The Imperial Oil, Ltd., has declared an extra dividend of
$1.50 per share, to be paid in Victory bonds, as well as the
regular quarterly dividend of 75 cents. The bonus will be paid
out of the 1934 Dominion of Canada Victory bond issue
(fractions to be adjusted in cash) on December 18 to share-
holder's of record December 15. The regular dividend of 75
cents per share will be payable on November 30 to share-
holders of record November 23. The par value of Imperial
shares is now $25, and the total disbursements to share-
holders this year would, therefore, be $4.50, or equivalent
to 18 per cent.
Following the meeting of the directors of the Quebec
Railway, Light, Heat and Power Co., at Montreal on No-
vember 23, announcement was definitely made that the bond
interest for the second time this year will be paid on the
due date — in this instance December 1 — instead of delaying
payment as formerly.
Shareholders of Sherwin-Williams Co., of Canada, Ltd.,
have been advised that the common stock of the com-
pany has for the first time since its issue been placed
on a dividend basis. The initial disbursement of IM per
cent, for the quarter ended November 30 will be made on
December 31 next to shareholders of record of December 15.
This announcmont was made following the issue of an ex-
cellent annual statement, fig-ures of which are shown else-
where in this issue.
The Imperial Bank of Canada announces the organiza-
tion of a new business, publicity and service department,
with J. McNeil, who has been inspector for several years,
in charge as manager. This department aims to improve
the service for the bank's customers, and among other
things will issue a monthly letter on the business outlook, etc.
. & Co., Toronto
November 26, 1920
THE MONETARY TIMES
39
We Offer
SCHOOL BONDS
Province of Alberta
I Maturing 10 and 15 Years
to i/ietd I
7 lo 7'i % I
We Speciall]) Recommend these Bonds as Sound Investments
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto BIdg.
EDMONTON
Royal Bank Chambers
CALGARY
To Industrial and
Manufacturing Institutions
Should you require more capital for develop-
ment cr expansion, and are a going concern
financially sound, the advertiser offers to
procure for you anything from $100,000 to
$1,000,000, according to your requirements.
Preference will be given institutions with a
large list of shareholders. Investigate.
Strictly confidential. Best references. Apply
289 P.O. BOX 65, OTTAWA. CANADA
Our Service to Investors
ADVICE
T TNWISE investments can oftentimes he
*— ^ avoided hy seeking the advice and judg
ment of those expert in gauging the trend of
finaocial affairs.
There is no difficulty in securing such advice
from us- advice that is hased on the matured ex-
perience of men who have devoted years to the
study of every phase of investment finance.
In all cases where financial advice is sought we
can place at your disposal the service of an or-
ganization competent to guide you with wisdom
and forethought.
Every reasonable precaution is taken to ensure
our clients against diminishment of values, by
frequent analysis of conditions governing individ-
ual investments.
MAY WE ADMSE VOL?
M. S. WHEELWRIGHT & CO.
Canadian Investment Securities Limited
TRANSPORTATION BLDG.,
132 St. Peter St. MONTREAL 63 Sparks St.
QUEBEC OTTAWA
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings also any British
Columbia Government and Municipal issues
BRITISH AMERICAN BOND
CORPORATION LIMITED
Veuicouver, B.C. Victoria, B.C.
B"""— — .— — — — fi
The Dominion Bank
ESTABLISHED 1871
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Banking.
Sterling Drafts bought and sold.
Travellprs' Cheques and Letters of Credit issued.
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OUR COUNSEL AND ADVICE
Willoughby Sumner Limited
Established 1900'
Members of the Winnipeg Grain Exchange
Private Tcire to Winnipeg, Toronto, Montreal, Chicago
and Aero Yorl(
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Branches— SASKATOON AND CALGARY.
Canadian Managers
iRVGSTflENT CORPORATION OP Canada. Ltd.
London Office: 4 Oreat Winchester St., B.C.
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
MOMItK-il— Week Ivlllioil Nov. ',>4lll.
< Figures supplied by Burnett & Co.)
.StuckK
Abitibi P.*:P
pfd.
Asbestos Corp
pfd.
AmLS-Holdcn pfd.
Atlantic Sugar
Bill Telephone
Brazilian T.L.& Power
B.C. Fish
Brompton Pulp Jk P. . .
Canada Cement
•• ...pfd.
Can. Con
Canadian Cottons
" ..pfd.
Canadian Car
" ....pfd.
Canadian Gen. Elec...
Carriage Factories . . .
Can. Steamship
■• ■■ pfd.
•' •' Vot. Trust
Con. Minings Smel....
Det. Rys
I>om. Canners
Dominion Bridge
..pfd
Don
Sales Open High ' Low Close
Glass.
Dom. Steel Corp.
Dominion Textile
Howard Smith..
.pfd,
•■ ..Rights
Illinois Traction ..pfd
Lake of the Woods. .
..pfd
Laurentide
Lyall Cons
Macdonald Co
Mont. Cottons
...pfd
Montreal Loan
Montreal Power ■
Montreal Tram
Tram Deb..
" -Telegraph..
National Breweries —
Ogilvic Flour Mills. ...
.pfd
Ottawa L. H.&P
Ont. Steel Prod
Penmans
pfd.
Porto Rico
Prov. Paper
'■ pfd.
Quebec Ry.L. H.&P..
Riordan Pulp & P
pfd.
St. Lawrence Fl. Mills.
..pfd.
ShawiniganW.&P ...
Sherwin-Williams.pfd.
Spanish River
"... .'.pfd.
'• Div.Vou.
St. Maurice
Steel Co. of Canada...
■ '• ■• pfd.
Toronto Ry. Co
TucUett pfd. I
WabassoCot'n
Wayagamack P. & P
Winnipeg Ry
Woods Mfg. Co
ItniikH
Commerce
Hochclagn
Merchants
Molsons
Montreal
Novn Scotia
Nationale
Royal
Union
5i3
79
8500 65
II 111!
•-'880' 53
365 i 199
45i 100
25
63g
58
% 96
■20
140
BoimIk
Asbestos Corp 1 1000
Bell Telephone Co '.
Can. Car lOOO
Can. Cement | llSflO
Cedars Rapids .Mfg.. .. I 1 1000
Can. Rubber I .
CityMont.nec.6's.l9'£2| 6fl0| lOO
" Mayfi's. 192.-) SOOUJ I0.1J
" Sept.B's. I923
Dom. Can.W. Loan, I9M1 6100
I93|I 19100
19371 43000
VictoryBonds. 1922 ... .
1927
1937
1923
1933
253 I 2X1
i9'ij i92i
138 140
76 i 76
HOSTtiBAIj-ConHnued-
Sales Open I High Low Close
Dom. Textile A.
B.
Lake of Woods
Montreal Power
National Breweries..
Ogilvie Flour
Penmans
Pi
Quebec Ky.L.H.&P..
Riode Janiero
Sherwin-Williams...
Spanish River i ,
Steel Co. of Canada...
VVaba..so Cotton '. i ...... I
Wayagamack P. &P... 2200; 80
Windsor Hotel , 4000' 81
TOUONTO-Week Ended Nov. «4tli.
Abitibi
Barcelona
Bell Telephone
Brazilian Traction. ...
Burt. F. N pfd.
B.C. Fish
Can. Bread.
Canada Cement
...pfd.
Can. Gen. Elec
...pfd.
Canada Steamship
pfd.
Canners pfd.
Canadian Pacific R
Con. Gas
Crows Nest
Dome
Dom. Tel
Loco pfd,
.Vlackay Companies
'■ ...pfd.
Maple Leaf
■' " pfd,
N.S. Car
" " pfd.
N.S. Steel
Ogilvie pfd,
Pac. Burt
Porto Rico
Prov. Paper pfd.
Quebec R.L.H. & P
Rogers pfd,
Salesbook
pfd,
Sawyer-Massey.. . . pfd.
Sh. Wheat
Smelters
Spanish River
...pfd.
Steel Corp
Steel Company
....pfd.
Toronto Ry
Trethewey
Tucketts
pfd.
Twin City
Winnipeg
UniikH
Commerce
Dominion..
Hamilton
Imperial
Merchants
Molsons
itrcal
a Scotia
Royal
Standard
Toronto
Union
. Land
Toronto Gen. Tr. Rights
Tor. .Mtg
llondH
Can. Bread
Canners
Rio. Jan. T., L. & P....
S.10 Paulo
Sawyer. iMassey
Steel Co
Sales Open High Low
5*
5§
10(1*
lOOi
3,5i
35ij
97
97
39*
405
194
20
i3
I32i
2000
3500
2800
1000
1000
1100
84}
TOKOiVTO— Con<i«ned
War loans
Dom. Can.W. Loan. 1925
1931
1937
Victory Loan 1922
" , 1923
1927
1933
1937
Sales Open High Low Close
WI.liNIPEG-Week ended
Nov.
i»th.
Sales
221200
700
4850
16000
47200
34700
21850
' ioo
Open
98
98
97
97
98
%)
93
■■944'
High
Low
Close
Victory Loan 1922
" 1923
" 1924
■■ 1927
•■ 1937
'■ 1933
■■ 1934
War Loan 1931
" 1937
98
98
97
97
98
965
93
■94l'
98
98
97
■■ 97
98
96i
93
"kii'
98
98
97
97
9S
964
93
■94}'
Home Inv.&Sav. Assn.
60
166 ■
100
•166
100
Northern Mtg
is
80
80
80
80
NEW YORK— Week ended Nov. 20tb.
.Slocks
Sales
Open
lies
High
119i
Low
Close
Canadian Pacific
44000
114
116
Nova Scotia S. & Coal.
Granby Consolidated ,
Bonds
Dom. of Can. 5% I92I
5*% 1921
5% 1926
5*% 1929
7000
1200
38000
64000
23000
36000
37
22
40i
224
98?
98
91
91
91
35i
19i
98J
98*
90i
91
90|
36
20
98i
98*
91*
91
90i
New York C«r6—
Canada Copper.
LONDON, Ung.— Week ended Nov. «th.
Gov't. A Itlnn.
Alberta 4% 1922
■• 44%
Canada, . .34%
" .... 34% 1930 SO
'■ .... 4% 194060.
Calgary 4i% debs .
5% debs..
Edmonton 5% bds.23.S3
Nfld.,3*%bds
Montreal 48% Reg
4% 1932
Nova Scotia 4*% cons
Port Arthur 5% deb...
Quebec 4% deb. 1923..
3%
4% bds. 1888.
■■ 44% Reg
Sask'ew'n 4% deb. 1923 .
53%..
Vancouver 4% cons.
4% bds...
Toronto 4% deb. 1944-8.
44% deb. 1948.
Victoria 3i% 1921-6 . . .
44% 1920-25 . .
;; 44%cons
54% cons.
Winnipeg 44%c"s. 43.6
4% cons....
Kallntiyit
.Pac.4%gr.deb.50
" Ont. 4% deb.
Nor. 4% deb. 1939 .
" 4?t deb. 1930.
Pac
" 4% deb.
" 4% pfd. I
G.T.P. Br. 4% bd 1939.
G.T.P.3%bds I
G.T.P.4%19SS i.
G.T. P 4%deb.|
Trunk... 4% guar. ,
Trunk5% 1st. pfd..
Trunk. 5% 2nd pfd. .
Trunk 4% cons .
;. & Quebec 5% deb.
P.Gt.East.45%deb.'42.
nd.. Fin., Etc.
Can. Car 7%
■ " 6% bds
Can. Cement 6% bds. . .
C.W. Lumber .5% debs. .
Bank of Montreal... , ;.
Can. Bkof Commerce.!.
Sales Open High Low
115*
7l|
73J
774
614
774
614
C.No
934
77
67i
534
514
■"I
57I
404
1255
ml
664
»»]
934
77
67i
79J
754
1243
163
71}
6Si
524
504
lOOi
1814
November 26, 1920
L H'E JIONETARY TIMES
OLD MOLYBDENUM CASE SETTLED
The case of Stewart ct al vs. the Molybdenum Mining and
Reduction Co., Ltd., involving the ownership of the conundrum
claim on the company's property, has just been settled by the
British Columbia Supreme Court, by dismissing the action.
Chief Justice Hunter says in his judgment: —
"In this case I have had the advantage of a complete
and careful argument by both the learned counsel engaged,
and it was my intention to go fully into the points raised, but
circumstances have combined to prevent my doing so, and I
must, therefore, content myself with merely stating my con-
clusions.
"I think that the plaintiff Hayes had no right of action
against the company. As to the other plaintiff, I am of the
opinion that the Conundrum claim lapsed on June 13, 1915,
and was not revived by the Exemption Act, 1915. The Con-
undrum ground was re-located and recorded by Kiel and his
associates, who conveyed to the company, but the plaintiff
rests his action mainly on the agreement of .A^ugust 19, 1915,
by which the co-owners of the Conundrum and Hayes, the
owner of the Blackwell, agreed to sell those claims for $35,-
000 to Riel.
"It is said that the company is bound by its terms on
the ground that it had notice of it, but it was not a party to
it nor did it have express notice of it, and I find that neither
the Stilwells nor the company ever recognized anything more
than a moral obligation to pay to the purchase price if it
came out of the ground. Moreover, it appears to me that the
action of Riel, in locating and dealing with the new claims,
was acquiesced in by the plaintiff, and this view is strongly
corroborated by the giving of the subsequent agreement to
Riel pending the litigation. At any rate, the plaintiff stood
by while large sums of money were expended on the ground
without notifying either the Stilwells or the company that he
had any claim against them or it, and the principle applies
that if a man is silent when in fairness he ought to speak he
must remain silent when in fairness he ought not to speak."
Dkbenttjres for Sale
TENDERS FOR TULPWOOD AND TIMBER LIMIT
Tenders will be received by the undersigned up to and
including the 18th day of December, 1920, for the right to
cut forest products on an area in the English River Water
Shed.
Tenderers shall state the amount of lump sum cash
bonus they are prepared to pay, which sum shall be in addi-
tion to the rates of Crown Dues fixed by Order in Council
dated 27th day of March, 1920.
Parties making tender will be required to deposit a
marked cheque payable to the treasurer of the Province of
Ontaiio for the entire amount of the lump sum bonus speci-
fied above, which lump sum shall be forfeited to the Crown
if the successful tenderer does not enter into an agreement
as provided in conditions of sale.
The highest or any tender not necessarily accepted.
General terms and conditions of sale may be had by
applying to the undersigned.
BENIAH BOWMAN,
Minister of Lands and Forests.
Toronto, September 24th, 1920.
N.B. — No unauthorized publication of this notice will be
paid for. 292
Condensed Advertisements
"Positions Wanted." 3c per word : all other condensed advertisements
5c. per word. Minimum charge for any condensed advertisement, 65c
per insertion. All condensed advertisements must conform to usual
style. Condensed advertisements, on account of the very low rates
charged for them, are payable in advance ; SO per cent extra if charged
WANTED. — A General Agency for good board fire in-
surance company for the Province of Alberta. Have large
premium income now on our books which we control, and
splendid country organization well established. Apply Box
359, Monetary Times, Toronto.
INSURANCE OFFICE, with efficient agency organiza-
tion in Aiberta, Saskatchewan and British Columbia, would
like to secure general agency for complete casualty lines,
including automobile, accident, and also hail insurance in
these provinces. Address Box 361, Monetary Times, Toronto.
FIRE UNDERWRITER for company operating in Sas-
katchewan. One with home office experience preferred. Ex-
cellent opportunity for young progressive man. State salary,
references and experience. Box 363, Monetary Times, Toronto.
Northern Securities, Limited
ESTABLISHKIJ 19116
GENERAL FINANCIAL BROKER
Confidential Advice on British Columbia Investments
Member of Mortgage and Trust Companies Association of British Columbia
S29 Pender Street W. VANCOUVER. B.C.
B. GEORGE HANSL'LD. J. P.. Manager
TOOLE, PEET & CO., Limited
INSURANCE AND REAL ESTATE
MORTGAGE LOANS ESTATES MANAGED
Cable Address. Topeco. Western Un. and A.B.C.. 5th Edition
CALGARY, CANADA
J. A. THOMPSON & CO.
Government and Municipal Securities
Western .Mnnlrlpal, .Srbool and .Saskatrbenan Kural Trlr-
phone i'o, debentures specialized In.
CORRESPO.S'DENCE I.NVITED
Union Bank Building - WINNIPEG
-RICE & FIELDING, INC.-
FOREIGN FREIGHT FORWARDERS, CUSTOMS
BROKERS AND DRAWBACK AGENTS
81 VICTORIA ST.,
TORONTO
MS CORISTIKE Bloc.
.MONTREAL
CODES
Western Union
A BC. 5th & 6th Bditioi
OTHER OFHCES
11 Broadway,
.\EW YORK
oticited in connection with either Export or Import bu
THE MONETARY TIMES
Volume 65.
Corporation Finance
Sherwin-Williams Had Fine Year— Atlantic Sugar Shareholders to Vote on New Financing
Plans— Holt Renfrew Sales Increase— Satisfactory Improvement in Winnipeg Railway Earnings
Quebec Railway. Lisht, Heat and Power Co. — The finance
committee of the oily of Quebec has passed favorably on the
application of the company to increase its gas rates from
?1.25 per thousand cubic feet to $1.75.
Holt, Renfrew and Co., Ltd — Total sales during the nine
months ended October 31, 1920, amounted to $2,506,768, an
increase of $211,950, or, approximately 9 per cent, over those
for the corresponding period last year. The greatest increase
was reported in Montreal, where business grew by some 22
per cent. The outlook for the balance of the company's fiscal
year, which ends on January 31 ne.\t, is stated to be en-
tirely satisfactory, the demand for Christmas goods already
being in evidence and well up to that of last year.
Winnipeg Electric Railway Co. — A very satisfactory im-
provement is shown in the earnings' statement of the com-
pany for the nine months ended September, 1920. The figures
are as follows: —
1920. 1919. Increase.
Gross earnings $3,796,337 $2,912,851 30.33%
Operating expenses . . . 2,852,966 2,386,534 19.5 %
Net earnings $ 943,371 $ 526,317 79.2 %
The company received new fares and gas rates which
only took effect on September 1, so that the above figures do
not reflect the improvement which will take place owing to
these advances.
In these columns last week figures of the company's
bonded indebtedness were quoted. The fact that the $750,000
gold notes outstanding were part of the total bonded debt
of $5,750,000 was not distinguished, while it was also omitted
that $289,000 of 5 per cent, first mortgage bonds are held
by sinking fund trustees.
Atlantic Sugar Refineries, Ltd. — Following a meeting of
the directors of the company in Montreal on November 24,
it was announced that a special meeting of shareholders
would take place on December 4. At this meeting the posi-
tion of the company would, so far as possible, be laid before
the stockholders, who would be a.sked to ratify several new
by-laws passed by the board, enabling the latter to proceed
with new financing plans necessary by reason of the de-
moralization which has existed for some time past in the
raw sugar market.
By-laws to be passed upon are: (a) To borrow money
on the credit of the company; (b) to limit or increase the
amount to be borrowed; (c) to issue the bonds, debentures,
debenture stocks, or other securities of the company for
sums not less than $100 each, and to pledge or sell the same
for such sums and at such prices as may be deemed expedient;
(d) to hypothecate, mortgage or pledge the real or personal
property of the company, or both, to secure such bonds, de-
bentures, debenture stocks, or other securities and any money
borrowed for the purpose of the company.
Another item is: "Also for the purpose of considering
and, if thought fit, of sanctioning and confirming by-law G
passed by the directors on the 24th day of November. 1920,
being a by-law to authorize the directors to exercise the
borrowing powers of the company and to grant securities."
Sherwin-Williams Co. of Canada, Ltd. — The annual re-
port for the twelve months ended August 31 last discloses
earnings of $1,281,338, compared with $990,919 a year ago,
and $1,162,951, the 1918 figures, which formerly constituted
the best year in the comi)any's career. After all deductions,
including depreciation, bond interest, dividends on preferred
stock and provision for government taxes, there remained
available for application on the $4,000,000 common .shares
outstanding an amount of $733,909, against $350,769 last
year and $586,584 in the preceding period. The 1920 show-
ing in this respect is equal to 18.3 per cent., compared with
8.7 per cent, in 1919 and 14.7 in 1918.
The net earnings of the year, together with the surplus
carried over from the 1919 period, brought the total surplus
up to $3,417,961, which, with the special reserve of $100,000
shown in the statement, is equal to, approximately, 88 per
cent, on the total common stock capitalization of the enter-
prise.
The balance sheet shows that current assets exceeded
liabilities of a similar classification by $3,401,379, compared
with $3,583,766 at the end of the 1919 period and $2,924,463
in 1918. The slight reduction in respect to the above was
due almost entirely to the cutting down of inventories,
which at $2,403,944 were lower by almost $540,000 than in
the 1919 showing. Other changes in the balance sheet in-
cludes the reduction by i-ather over $600,000 in property
assets, this reduction being due to the exclusion of those of
Lewis Berger and Sons, Ltd., now carried under the head-
ing of "Investments." The latter are given at $2,750,216, or
more than double the amounts show'n in the statement of
last year. Reserves and surplus now amount to the sum
of $4,269,451, a gain in the year of $723,421, and repre-
sent almost 50 per cent, of the entire funded debt and
capitalization.
15KITISH COLUMBIA BOARDS OF TRADE
The second meeting of the Associated Boards of Trade
of South-east British Columbia took place in Fernie on Oc-
tober 27th. This body is formed of the boards of trade of
the towns of P^ernie, Cranbrook, Creston, Windermere and
Golden, but, owing to unforeseen difficulties, the boards of
Creston and Golden were not represented at the meeting.
Several resolutions dealing with improvement of roads,
the extension of telephone connections and asking the gov-
ernment to lend financial aid to irrigation projects, which
would bring into cultivation the large areas now lying waste
in the Kootenay valley, were favorably disposed of. Speaking
upon the question of irrigation, R. Randolph Bruce sti'ongly
urge<l that united action should be taken, asking the pro-
vincial government to take up the proposed irrigation of
these lands, and gave the convention valuable infonnation
regarding the possibilities of the district resulting from the
installation of an adequate irrigation system. This would
require such an outlay of money as to put it beyond the reach
of private enterprise, but by lending its financial credit the
province would be in line to receive ample returns for such
aid, and the district would be brought within the producing
list of lands, and the increase in population and the produc-
tion of agricultural and dairy supplies would return many
times the value of the moneys expended.
Another resolution, coming from the Windermere board,
asked the provincial government to come to the aid of those
settlers who had been induced to settle upon the lands in the
Baynes Lake district by aiding in laying water from the
Elk River upon those lands where any failure that had been
experienced was because of the lack of sufficient water and
not from any climatic or soil difficulties.
The private company which had undertaken that enter-
prise was unable to finance so large a proposition, and in
consequence the district had been given a black eye, wholly
undeserved, which had been a detriment to the district in
general. This resolution, as well as that asking financial aid
from the province, was unanimously endorsed by the con-
vention.
Next year's meeting will be held in Cranbrook.
November 26, 1920
THE MONETARY TIMES
43
DIVIDEND NOTICES
BANK OF MONTREAL
UNION BANK OF CANADA
Notice is hereby given that a Dividend of Three Per
Cent, upon the paid-up Capital Stock of this Institution has
been declared for the current quarter, payable on and after
Wednesday, the First Day of December next, to shareholders
of record of 31st October, 1920. Also a Bonus of Two Per
Cent, for the year ending 31st October, 1920.
By order of the Board.
FREDERICK WILLIAMS-TAYLOR,
General Manager.
Montreal, 19th October, 1920. 262
DIVIDEND
IMPERIAL OIL, LIMITED
Notice is hereby given that a dividend payable in fifteen-
year 5Vz per cent. Gold Bonds of the Dominion of Canada,
1919-1934, at the rate per share of $1.50 at par of said Bonds
(fractions to be adjusted in cash), has been declared by the
Directors of Imperial Oil, Limited, and that same will be
payable in respect of shares specified in any Share Warrant
of the Company within three days after Coupon Serial
Number 6 of such Share Warrant has been presented and
delivered at The Royal Bank of Canada, Church Street
Branch, Toronto, Ontario, such presentation and delivery to
be made on or after the 16th day of December, 1920.
Payments to holders of shares of record and fully paid
up at the close of business on the 15th day of December,
1920 (and whose shares are represented by Share Certificates)
will be made on or after the ISth day of December, 1920.
The Books of the Company for the transfer of shares
will be closed from the close of business on the loth day of
December, 1920, to the close of business on the 18th day of
December, 1920.
BY ORDER OF THE BOARD. 295
DIVIDEND
IMPERIAL OIL, LIMITED
Notice is hereby given that a dividend of seventy-five
cents (75c.) per share in Canadian funds has been declared
by the Directors of Imperial Oil, Limited, and that the same
will be payable in respect of shares specified in any share
Warrant of the Company within three days after the Coupon
Serial Number Five of such share warrant has been presented
and delivered to The Royal Bank of Canada, Toronto, Ontario,
or at the office of Imperial Oil, Limited, Toronto, Ontario,
such presentation and delivery to be made on or after the
30th day of November, 1920.
Payment to Shareholders of record and fully paid up
at the close of business on the twenty-third day of November,
1920 (and whose shares are represented by Share Certificates)
will be made on or after the 30th day of November, 1920.
Shares subscribed for in accordance with the Company's
circular of January 12th, 1920, will rank for the above divi-
dend pro rata in the proportion which the amount paid up
on such shares from time to time bears to the full price at
which such shares were issued, viz., seventy-five dollars
(?75.00) per share, but no dividend will be actually paid by
the Company to subscribers until their shares shall ha%'e been
fully paid for and Share Certificates issued therefor.
The Books of the Company for the transfer of shares
will be closed from the close of business on the 23rd day of
November, 1920, to the close of business on the 30th day of
November, 1920.
BY ORDER OF THE BOARD. 294
DIVIDEND No. 135
Notice is hereby given that a dividend at the rate of
109c per annum upon the Paid-up Capital Stock of the Union
Bank of Canada has been declared for the current quarter,
and that the same will be payable at its Banking House in
the City of Winnipeg, and also its branches, on and after
the First day of December, 1920, to shareholders of record
at the close of business on the 15th day of November next.
The Transfer Books will be closed from the 16th to the
30th day of November.
By Order of the Board.
H. B. SHAW,
General Manager.
Winnipeg, October 22nd, 1920.
Notice is also given that a bonus of 2'^i has been de-
clared on the Paid-up Capital Stock, payable to shareholders
with the dividend referred to above.
By Order of the Board.
H. B. SHAW,
General Manager.
Winnipeg, October 30th, 1920. 284
.McINTYRE PORCUPINE MINES, LIMITED
(No Personal Liability)
DIVIDEND No. 12.
Notice is hereby given that a dividend of 5 per cent.
(5'/() on the issued Capital Stock of the Company will be
paid on the 1st day of January, 1921, to Shareholders of
record at the close of business on December 1st, 1920.
By Order of the Board.
M. P. VAN DER VOORT,
Secretary-Treasure)-.
Dated at Toronto, November 18th, 1920. 293
THE CANADA LANDED AND NATIONAL INVESTMENT
COMPANY, LIMITED
DIVIDEND No. 135
Notice is hereby given that a Dividend of Two and
One-half Per Cent, "(being at the rate of ten per cent, per
annum) on the amount paid up on the Capital Stock of this
Company has been declared for the quarter-year to the
thirty-first day of December, 1920, and that the same will
be payable at the office of the Company, 23 Toronto Street,
Toronto, on and after the third day of January, 1921, to
Shareholders of record at the close of business on the six-
teenth day of December, 1920.
By Order of the Board.
EDWARD SAUNDERS,
Managing Director.
Toronto, 24th November, 1920. 296
COBALT ORE SHIPMENTS
The following are the shipments of ore, in pounds, from
Cobalt Station for the week ended November 19th: —
O'Brien Mine, 64,890; Dominion Reduction Co., 83,000.
Total, 147,890. The total since January 1st is -24,400,596
pounds, or 12,200.2 tons.
44
THE MONETARY TIMES
R E C E x\ T FIRES
Retail Business Section of Quebec SuBfered a Loss of $500,000
— Steamer "Ballena" at Vancouver Destroyed, $175,000 —
Mechanics' Institute Building in Montreal
Destroyed, $100,000
Aylmer, Ont. — November 17 — A fire, causing a loss to
the extent of $4,000, occurred at the corner of Thomas and
Parker Streets, destroying two houses, tenanted by Peter
Rourgeau and John Thibault.
Brantford, Ont.- — November 22 — An explosion of un-
known origin completely gutted the L.E. and N. power sub-
station with a loss estimated at $75,000, covered by insur-
ance.
Bridgewater, N.S. — November 15 — Three dwellings,
owned by White Ford Turner, A. MacDonald and James Co.,
were destroyed by fire, which is believed to have been from
incendiary origin.
Canora, Sask. — November 20 — Fire, which was caused
by the upsetting of an oil lamp, did damage amounting to
$6,000 to the store of George Walsum, Water Street. The
loss is not covered by insurance. There was one fatality.
Fairville, N.B.— November 18 — Damage estimated at
$50,000 was (lone by a fire which destroyed the fire station,
and which included the jail and court hou.se, Orange Hall
and a number of houses.
Kenora, Ont. — November 21 — The Kenora municipal
offices and telephone exchange was damaged by fire. The
total loss is $14,000, covered by insurance.
Lambeth, Ont. — November 19 — A large barn and four
other buildings belonging to Norman Bogue, on the Talbot
Road, were destroyed by fire. The loss will exceed $10,000,
which is partly covered by insurance.
Liverpool. N.S.— November 2.'?— The plant of the Nova
Scotia Shipbuilding Co. was damaged by fire. The loss is
estimated at $5,000.
Montreal, Que.— November 22 — The Mechanics' Institute
building, situated near the corner of St. Catharine Street
and Atwater Avenue, was damaged by fire. The loss is esti-
mated at $100,000, with $5,000 insurance. The chocolate fac-
tory of Baines, Limited, at the corner of Moreau and For-
syth Street, was completely destroyed by fire. Fire, causing
about $30,000 damage, broke out in the basement of the
Jardin de Danso building at 263 Bleury Street. The fire is
believed to have been caused by the furnace.
New Toronto, Ont. — November 19 — The overheating of
a dry kiln is believed to have started the fire which damaged
the plant of the ElccLric Insulator and Varnish Co.
Quebec, ({ue. — November 21 — Fire losses aggregating
over $500,000 was caused by a fire which swept the retail
business section. The fire started in the dry goods firm of
Marceau and Co., 155 St. Joseph Street. Insurance is carried
on only a portion of the burned stock.
St. Lambert, Que.— November 20— The sash and blind
factory of C. F. Jloore, Ltd.. general contractors, and build-
ings on the waterfront were destroyed by fire. The loss is
estimated at $15,000.
Simcoe, Ont. — November 21 — The frame building at the
rear of Dr. McGilvery's residence was destroyed by fire.
Starbuck, Man.— November 15— Residence of Wilfred
Dechene was destroyed by fire.
Stewiacke, N.S.— November 17— The meat market be-
longing to Frank Taylor was damaged bv fire. The loss
is $500.
Toronto, Ont. — November 21 — Store, tenanted by E. C.
McKenzie, 199 Boon .-Vvenue, was damaged by fire. The loss
is estimated at $2,700, covered by insurance. A fire broke
out in the building at 443 King Street West, causing a loss
to the building of $1,000.
Vancouver, B.C.— November 13— The steamer "Ballena,"
of the Terminal Steam Navigation Co., was destroyed by fire.
The loss is estimated at $175,000. One fatality.
CANADA PRAISED BY BANKERS TRUST COMPANY
-Vfter Fifty Year.s, this Country Stands High as Regards
Water-Powers, Railways, Pig Iron Production and Trade
" rpHE Land of Achievement" is what the Bankers Trust
-I- Company, of New York, terms Canada in a study de-
voted to the resources, the trade, the financial and the physical
development of the Dominion, which has just been published
by the bank under the title, "The Dominion of Canada."
ITie book was prepared with the assistance of John MacKay,
of John MacKay and Co., accountants, Toronto.
"The characteristic of the Canadian people which most
impresses the observer," says the Bankers Trust Company,
"is that of determination and achievement. Vision and cour-
age were necessary to bring the Canada of 1867 and the
provinces of Nova Scotia and New Brunswick, with their
sparse, combined population of less than three million, into
a confederation. It took courage, in 1870, to bring into the
confederation the almost limitless territory stretching west-
ward to the Pacific and northward to Hudson Bay and the
Arctic Seas.
"It took courage to link together this empire, greater
in square miles than our own 'United States, by railroads
running into the untrodden wilderness. For nearly fifty
years the men of Canada were busy conquering the wilder-
ness and bringing into full flower a representative govern-
ment, admirably adapted to meet the problems of a great
democracy.
Able Business and Political Leaders
"Needless to say," continues the Bankers Trust Com-
pany's study, "such a record of achievement as is aflforded
by the history of Canada during the fifty odd years which
have elapsed since 'Dominion Day,' 1867, is net due to chance.
Canada has been fortunate during this period in having in
political life and in business a group of able, resourceful,
morally strong, patriotic men who were not alone capable in
action, but capable in leadership. They could not have
achieved if there had not been working with them a splendid
body of intelligent, determined and resourceful citizenry,
men and women of moi'al force and courage, such as a new
country alone seems to develop.
".\s an evidence of Canada's phenomenal development,
the latest available figures indicate that the Dominion, in
relation to nine other industrial countries, now stands first
in area, second in potential water-power, third in total rail-
way mileage, fifth in total exports, sixth in pig iron produc-
tion, total exports and foreign trade, and eighth in population.
"The friendship between the Canadian people and our-
selves is traditional. Canada interchanges more business with
us than with any other nation, not excepting the United
Kingdom. We have only one greater customer than Canada,
and that one is the United Kingdom. Canada has scarcely
begun to grow. Her friendship and her business will be
increasingly worth while. We have nothing to fear from her
efforts to develop her resources and her manufacturing enter-
prises. Such development will only increase her need for
greater quantities of goods from outside and her ability to
pay for them."
VANCOUVER ISLAND TIMBER LIMITS SOLD
Following their inspection of the timber limits owned
by the late Mr. Norgeau, on the west coast of Vancouver
Island, the Non,vegian interests, representatives of which
were recently in Victoria, have taken up the option they had
on the property and the purchase will be immediately con-
summated. The price paid is stated to be in the neighbor-
hood of $250,000. It is the intention of the new purchasers
to proceed with the erection of mills, etc., to the end that
shipments may shortly be made of the lumber to Nor^vay.
J. H. Hawthornthwaite, of Victoria, and W. White, of
Vancouver, trustees under the will of the late Mr. Norgeau,
negotiated the sale of the limits with the Norwegian interests.
y: ir^
'sHKD EVF.RV
Fi.'.VIAV
The
Monetary
Times
Pri
nting Company
of
Canada, Limited
FuMisher- ai-;.-
^f'The
Canadian E
"ginesr"
mtttarj ffiimes
Trade Review and Insurance Chronicie
of Canada
Established 186";
Old as Confederation
JAS. J. SALMOND
President and General Miuiager
A. E. JENNINGS
Assistant.General Manager
JOSEPH BLACK
Secretary
W. A. McKAGUE
Editor
October Bank Statement Shows Business Deflation
Current Loans Reduced by Twelve Millions — Call Loans Also
Lower — I'sual Reduction in Municipal Advances — Circulation
Substanially Increased — Small Advance in Savings Deposits
October.
1919.
Deposits on demand S 705.280,241
Deposits after notice 1,262.746,984
Current loans in Canada 1.104.940,160
Current loans elsewhere 160.713.386
Loans to municipalities 56.116.897
Call loans in Canada 100.549,390
Call loans elsewhere 158.194.085
Circulation 242,509,573
September.
October.
Year's
Month's
1920.
1920.
inc. or dec.
inc. or dec
S 677.286.905
$ 687.651,781
- 2.6
-1.3
1.270,194,097
1,271,275,751
^ 0.7
+ 0.08
1.417,520,756
1,405,401.227
+ 27.2
-0.8
202,590,184
193,749,657
+ 20.6
-0.4
78,103,-364
71,374,060
+ 26.8
-8.9
114.669.611
113,135,902
+ 13.0
-0.9
186,962.960
188,367,459
+48.9
+ 1.1
242.988.866
252,882,760
+ 4.2
+ 4.1
WHILE the October bank statement reveals some unusual
changes in some accounts, it does nothing more than
reflect the real business condition of the country. The
feature was a marked reduction in current loans, in com-
parison with substantial increases shown in the September
exhibit and in the statement of a year ago. The change,
although seemingly unnatural, is consistent with the position
of the commercial and industrial community. Many mer-
chants and manufacturers, in anticipation of lower prices,
are not buying goods, while others are so heavily overstocked
that they have reduced their purchases to a minimum.
Everybody appears to be selling out, and awaiting the ap-
proach of more certain conditions, before engaging in ex-
tensive buying. It is readily apparent that under such con-
ditions the natural tendency would be a reduction in loans,
as merchants will not require a gi-eat deal of money if they
are not bu>4ng. Another factor which must be taken into
consideration is that fai-mers are now in a position to pay
off their loans.
Call Loans
There was a slight decrease of .9 per cent, in call loans
in Canada, as compared with an increase of .9 per cent, in
September. Since the beginning of the year, the trend of
call loans has been regular, but chiefly downward. The
following table illustrates the course of both of the Canadian
loans accounts during the past thirteen months: —
Current in Call in
Loans. Canada. Canada.
1919— October §1,104,940,160 !?100,.549,390
November 1,189,408,423 121,754,469
December 1,207,109,046 125,888,760
1920— January 1,226,962,963 132,015,334
Februarv 1,257,015,902 127,251,919
March " 1,322,267,030 128,233,310
April 1,347,238,230 125,644,859
May 1,349,079,981 119,114,493
June 1,365,151,083 115,272,587
July 1,377,276,853 115,360,894
August 1,385,470,153 113,598,923
September 1,417,520,756 114,669,611
October 1,405.401,227 113,135,902
Call loans abroad increased during the month, but the
change was not very significant. The monthly movement
during recent years is seen in the following figures: —
1917.
1918.
1919.
1920.
January
. 155,747,476
132,687,066
140,819,656
170,206,805
February
. 162,344,556
160,239,494
155,983,681
184,469,882
March
. 161,616,735
167,296,701
160,116,443
205,202,133
April
. 159,1.56,054
179,818,531
155,533,666
206,229,451
May
. 168,692,675
172,259,879
157,176,325
213,964,182
June
. 159,309,133
170.034,476
167,236,045
219,214,431
July
. 151,875,676
167,112,836
178,098,434
203,045,209
August
. 176,610,625
160,544,990
174,176,578
193,888,245
September
. 166,480,004
159,680,810
169,532,489
186,962,960
October
. 151,018,747
157,040,858
158,194,085
188,367,459
November
. 139,832,552
171,035,732
169,626,880
December .
. 134,483,482
150,248,322
172,232,161
It is also interesting to note the trend of the loans ac-
counts in October of recent years: —
Current loans Current loans Call loans Call loans
Oct.
in Canada.
elsewhere.
in Canada.
elsewhere.
1915
.$ 780,785,754
S 49,612,985
S 74,.574,270
§120,681,624
1916
. 774,928,222
79,459,621
90,412,023
189,346,216
1917
. 883,986,860
93,821,865
71,653,719
1.51,018,747
1918
. 1,003,593,603
112,869,399
73,685,136
157,040,858
1919
. 1,104,940,160
160,713,386
100,549,390
1.58,194,085
1920
. 1,405,401,227
193,749,657
113,135,902
188,367,459
Savings Deposits
There appears to be a great deal of concern regarding
the saving qualities of the people. The October bank state-
ment shows an increase of a little more than $1,000,000 for
the month, which does not compare very favorably with pre-
vious showings. This may not indicate, however, that the
Canadian people are not as thrifty as they were, but perhaps
that they are saving more profitably. There are many ways
of saving, and many are waking up to the fact that they can
earn more than 3 per cent, on their surplus funds. One man
has remarked: "I do not see why I should lend my money to
the banks for them to invest and make handsome profits on,
when I can do that myself and increase my income corre-
spondingly." This undoubtedly reflects the trend of the
THE MONETARY TIMES
Volume 65.
Chartered Banks* Statement for October, 1920
LIABILITIES
NAME OF BANK
CAPITAL STOCK
Amount
of rest or
reserve
fund
i
Bank of Montreal , 28.075,000
Bank of Nova Scotia 15,000,000
Bank of Toronto 10.000,000
The Molsons Bank 5.000.000
Banquc Nationale , 5.000.000
Merchants Bank of Canada 15.000.000
Banque Provincialc du Canada...; 5.000.000
Union Bank of Canada 15.000.000
Canadian Bank of Commerce .... 2S.OOO.0(Xl
Royal Bank of Canada ' as.OOO.OOO
Dominion Bank 10.000.000
Bank of Hamilton I 5,000.000
Standard Bank of Canada ; 5.0O0.000
Banque d'Hochelaga i 10.000 000
Imperial Bank of Canada ' 10.000.000
Home Bank of Canada 5.000.000
StcrlinR Bank of Canada \ 3.000,000
Weyburn Security Bank 1 .000.000
22.000.000
9.700.000
5.000.000
4.000.000
2.000.000
I0.1!19.11I0
3.000.000
8 000.000
15.000.000
19.993.,500
6,000.000
4.9G5.200
3.500.000
4,000,000
7,000.000
2.000.000
1.266.600
655.700
$
22.000.000
9.700.006
5.00O.OO0
4.000.000
2.000.000
9.955.970
2.923.379
S.000.000
15.000.000
19 58B.890
6.000.000
4.889,770
3,.500,00fl
4.000.000
7i000.000
1.959.286
1.229.572
524.560
22.000.000
18.000.000
6.000.000
S.000.000
2.300.000
8.400.000
1.100.000
5.600.0O0
15.000.000
18.293.445
7.000.000
4.644,885
4,500,000
3.900.000
7,500.000
500,000
450,000
225,000
197.075.000 128.280.100 127.269.427 130,413,330
Bal. due
to Dom.
Gov. after
deducting
for credits,
pay-lists.
etc.
Balances ]Depositsby
the public,
payable
Govern- [on demand
ments I in Can
Deposits by
the public.
payable
after notict
42.3h7,310
22.498,107
9,154,453
6,474.323
6,604.550
17,707.977
3.24-).463
13,771.969
32.565.609
44,439.451
10.1.58.169
7.191,460
6.802.268
7 862,394
14.126.071
2.381.310
1.291. 153
519 670
s
17.657.119
3.280.404
1.725.102
6.055.259
8.404,007
11.728,769
2..531.902
7.090.560
37.138.407
25.770,814
9.512.659
6,297.812
7.752.408
4.731.178
2.789,505
3.345.24S
3.860.604
4.57.495
249.165.707 , 160.129.2.52
1.534.144
■ 687.731
89.846
134.9.58
422 485
3.405.089
228.928
3.415,694
7,146.110
2.188.370
296.284
438,063
259.307
101..i75
1 .445.798
2.8,58.21 1
279,426
10,879
141.387.818
37.845,166
29,311,824
16,933,940
7.274. .501
58.080,366
5.189.749
43.393.248
123.001.204
101,722,462
32,457.950
20. 177. .'56
18.867.737
10.688.295
29.008.452
5.460.403
5,288.188
1.562,922
208,299.j
107 776.4
45,94S.f
47.598.4
38.164,S
90.315,;
25.430C
. 68,325.4
171.261,2
181.30S,1
64.834.1
43,084,4
47,240 =
42,531.6
63.888.C
12,163,1
s
!,063,125
1.851.409
39,851
!,717,997
1.155.259
!,468,960
1,703.389
24.942,898 1687.651.781 1.271.275,751 339,955,233
LIABIHTIES-Continued
Loans i
from other Deposits
banks in , made by
Canada, and balan-
secured, ces due to
including iotherbanks
bills re- 1 in Canada
discounted.
Due to
banks and
banking
correspond-
ents in the
United
Kingdom
Due to
banks and
banking
correspond-
ents else-
where than
in Canada
or the U.K.
Bills
payable
Accept-
ances
under
letters of
credit
Liabilities
not
included
under
foregoing
heads
Balances
due to the
Imperial
Govern-
ment
Aggregate Average
amount of I amount of
loans to i current
Total directors. 1 gold and
Liabilities and firms subsidiary
of which coin held
they are '> during
partners | the month
Average
amount of
Dc minion
Notes held
during the
the month
Greatest
amount of
notes in
circulation
at anytime
during the
month
•
9 «
$
4.331.643
3.866.500
2,185,381
698.364
260.944
815,024
7..501
4,785.539
9.116.648
17,891,365
3,079.747
302,466
1,432,348
8
2.500,807
16.5.816
$
7.836,994
216.135
265.051
384,795
• «
9 »
513,798.962 835,622
209,268,657 1,128,367
88,950,689 348,280
79,799.913 247,990
68.103.656 1 892.879
190.833.703 ' 958,985
« s
25,448.438 37.685,426
11.957,339 12,580.977
979.495 7,509,481
584,116 4,443,.501
3.SS.700 4.015.400
3.985.564 7.946.133
115,661 311,951
1,020.367 12,874,812
8
42.904.399
22,826,290
9,208,200
6.623.123
2
2,055.982
231.836
957.927
4.303
12,747
12.170
1.457
468.620
,1
4
93,263
"'sod.wb'
938,615
l,'4bo,069
3.748.723
267,840
S
e
39.695
2,491,664
3,6:2.356
12,299,817
16.315.104
3.22.5.107
297.370
130,624
108,471
6.572
16.986
.583.876
17.915,737
3,399.897
13.771,969
7
8
979,593
1,258.632
2.659
899.858
539,620
2,833,644
1.791,135
507,506
6.934
264.688
9.233
22.124
146.738
155,8110,502 1.565.408
441.183,180 836,924
557.664,222 714,645
9
10
II
14,077.9,57
19,205,036
9.889.000
3.357.811
6,106,709
a,210,033
8,874.965
2,096.056
1.232,535
181,112
44,439.451
12
106.639
1,821.634
78.010,700 .507.698 ■■ 896,069'
84,609,803 \ 4.54,407 1 I.745.97S
67.467,135 i 187,050 460,566
113,.548.367 \ 101.302 1.691.099
27,922,911 413,248 163.900
23,423,107 323,856 137,857
18
26,948
141,885
14
1.1
882,532
469,646
316,468
1,193,653
192,222
i«
1,096,948
S02.964
26.939
1,287
3.052
18.256
17
13,100
I.41I.8I7
581,860
ID
15.377.031
1 ,«r«eio,cu! 1
86,211,873
173.008,938
252,882.760
.... I ...
thoughts of more than one person, and has been brought
about by the education received from our Victory loans.
This factor has not entered very largely into the situa-
tion as yet, but may be something which the banks may
have to contend with in the future. The banks, however,
have demonstrated their ability to meet the demands of the
commercial and industrial community, which have been very
much in excess of savings deposits during the past year,
and are ready to take care of any future condition. The
withdrawal of a few millions from the savings accounts would
not affect the general economic situation to any great ex-
tent, if the money was used to absorb some of th^ invest-
ment securities, which would otherwise go out of the country.
Demand deposits showed an increase of about $10,000.-
000 for the month, but that account is much lower than it
was a year ago. The following table shows the trend of the
demand and savings deposits since October, 1919: —
Deposits payable Deposits payable
on demand. after notice.
1919— October $705,280,241 .n,262,74fi.984
November 728,657,589 1,137,858,277
Deposits payable Deposits payable
on demand. after notice.
December $703,329,292 $1,138,086,691
1920-^anuary 621,408,024 1,163,297,037
February 620,069,555 1,187,027,307
March 657,412,028 1,197,719,570
April 652,918,760 1,209,573,990
May 645,957,229 1,229.073,515
June 6,59,622,583 1,243,700,977
July 639,415,025 1,2.53,170,443
August 640,361,707 1,261,647,732
September 677,286,905 1,270.194,097
October 687,651,781 1,271,275,751
A comparison of these figures during recent years also
shows some interesting changes: —
Oct. _^ On demand. After notice. Total.
1915 5,392,042,193 .$ 701,336,850 $1,093,379,043
1916 489,230,234 814,297,404 1,, 303,527,638
1917 495,0.58,449 985,780,850 1,480,849,299
1918 644,220,998 1,076,514,627 1,720,735,625
1919 70.5,280,241 1,262,746,984 1,968,027,225
1920 687,651,781 1,271,275,751 1,958,927,532
December 3. 1920
THE MONETARY TIMES
Chartered Banks' Statement for October, 1920
ASSETS
Dominion Notes
NAME OF BANK
I Canada where I '^°^*'
^ - o
Notes
Cheques
of
en
other
other
banks
banks
banks |bks. a
j and Ibankii
, banking corre
JOi
Bank of Montreal
Bank of Nova Scotia
Bank of Toronto
TheMolsons Bank
Banque Nat'Onale
Merchants Bank of Canada..
Banque Provinciale du Canada
Union Bank of Canada
Canadian Bank of Commerce
Royal Bank of Canada
Dominion Bank
Bank of Hamilton
Standard Bank of Canada
Banque d'Hochelaga
Imperial Bank of Canada
Home Bank of Canada
Sterling Bank of Canada
Weyburn Security Bank
S 8 «
23,859.322 1.328.067 2S.187.389l
8.778,333 3,183.892 11,962,225,
983,928 983,928
578,4711 ; 578,471
366,341 940 3G7.2S1
4.077.5S3 4,428, 4.082.014
129.063 12!),063
1.000.042 29.698 1029 741
8.777.203 5,741,255 14.518.459
5,928.977 7.852,623 l3,7S:.6ol
2.111.071 2,269 2,113,340
912,346, 912,345
1.763,128 1,763.128
462.549 I 462,.i49
1,695.684 I 1,695,684
106,4611 106.461
133,777 133.777'
16,019 16,019
t
48.197.287
14.704.615
8,123.652
3.478,001
3.768,641
11.693.470
367.243
10.578.403
23.622.901
18,359.160
10,117.604
4,295,915
6.542,130
3,371.419
8,422,004
1,949.406
1,059,934
244.186
....161 .680.300 18,143,172 79.823.4761 178,895.971
t
1,745
7,626
«
48,199,032 ,
14,712,241
8,123,652
3.478.O01
I 3,768.641 ,
I 11.693.470
367.243
' 10.578.403
I 23.629.748 ,
! 18.368.862 I
10.117.604 '
I 4.295.915 1
6.542.130 .
I 3.371,419
j 8.422.004
1.949,406
; 1,059,934
244.186
489.152
254.834
235.0001
lOO.OOOl
450.000
114.559'
365.000
90S.245
860.000'
305.000
225,000
175.000
200,000
378.830'
108.000
65.C00
22.196
21.200.000
12.500.00C
4.500.000
2.500.000
4.500.000
7.500.000
3.SOO.660
16.S00.0(K,
24 500.000
4.500.000
2.300.000
3.000.000
3.000.000
7.002,533
200.000
S 8 S « 8 8
3.367.578 22.872.419 6.247,724; 8.954,641
5,207 18810.128.747 72, 1.299.816:2,221.245
719.550 5.436.049 [ I 879,515
636.494 4.149.641; 20,437; 180.784 1,447.716
785.410 2.419.108 ' 309.951 1,005,189
1.647.848 10.219,852 6,212 1.153,830! 1.827,122
466,363 2.690.70! 2.840.154 72.571' 273.382
1.436.B29 7.967.293 128.653 3.224,352 1.540.380
3.441.257 19,798.628 16.233 1.16S.216M0.059,330
36.220.326 31.093.812 1.429 2.S73,145;28.3!7.176
1.303,441 7,269.%5 1,18S 146 101 1,555,094
831,389 3,779.048 581,183 128,405 965.242
531.267 3.731.902 ...... 592.001; 635,364
1,354,689,4,039.259; | 906,680 128,70t! 1,482.634
1,545.314 6,482.057 , 719.087 728.9:il' 2,178.226
428.74ll 1.272.624 117.631 72,7.58 704.093
225.524 I.095.67I 9,406 104.464 200.672
38.938 34.882 ; 533.732 ' 68.148
25.920 1178.921.891 6.293.982;il9.202.533;60,l87.946il44481,660 .
ASSETS — Continued
Oomin'n
Govern- 1
ment
and
Pro-
vincial
Govern-
me.nt
securi-
ties
: J b£ other
; -S tures
Egi
Call and Call and
(not ex-
ceeding
30 days)
Other
= 1
1 current
' loans
and
0 g
disco'nts
«o
else-
where
■S*-
than
si
J 1
I Loans to
cities.
. towns,
cipalities
and
school
districts
Over. other
debts bank
.,„,. premises
on 1
tha
Liabili-
ties of
cus-
tomers
5 5.499,
e 8.407,
7 2.739,
8 4.344,
9 12.697,
10 12.970,
11 4,828,
12 2.380,
13 4.405
14 2.323,
15 6.026,
H 4.060
17 9,189,
II
178
,954 36.749.430;
,012 22.607.351
,692 7.689.506
166 6.983.072
,646 7.150.9O4
,754 12,707.1.53
,436| 4 310 5021
,137 12.629.296,
90S 23.520.160
,964 22.423.016
,629 10.161.416
,935 6.530.472
,073 7.225.513
,218 4.769.149
779 10.949.705.
.491 1.577.834
.048, 3.171.526
.124> 291,089
4.542.070
2.872..5>!3
712.091
699.614
944.379
3.837.377
2.045.989
3.58!. 989
6.043,970
15.983.876
1.775.351
440.511
753.432
139.272
410.832
1.855.949
384.114
s
1. 944.383!
5.6S7.314
2.156.719
8.191.323
4.63S.29S
S'.254.SSfi
10.113.744
95.017.883
14.504,298
1.000,000;
4.179.236
3..5.59.199
22.345.556 23.853.837
14.152.953 4!.&52,064
9,313.031 3.394.442
7.122.036
3.375.709,
4.7S2.411
4.085.555 1,906,500
1,390.948
149,073;
221,074,508
97.811. 109,
59.292.982]
49.690.373,
37.593,782'
119.818.383;
12.762.739i
89.318.696
218.065.532
186.377.711
73,991, 067i
.50,960,552
56.485,729|
41.696.5.56
65.487.297,
14.806. 195j
8.356.963
1.811.053
8 !
17.684.444;
14.538.2031
4.683.058,.
40.205.690; ,
114.352983;
920,0631.
«5tfte cost, less
sold 3mounts
by the , (if any) ;
ha"'' ; written
off
credit
as per
contra
not
ncluded
under
the fore-
going
heads
1I9,010967|2014470»4{47,023,40I 113135902] 188,367,459; 1,405,40l.227h93749657
8
2,92(.'.963;i4.785,686
I 2,912,834
1,870.911
2.019.275
1.409.5S7
' 4.635,361
1.384,761
I 4.791.158 7,115.844
",322.973;i2,771,754
860.558 7,160,9281
756,587
2.558,670
2.207,371
3.914.950
4,893,644
398.902
413,019
163,9561
293,833
598,988,
30,053
195,507,
130.012
418,8071
144.873
98,806
21.976
3S0,S12
389.6051
602,748
129.184
7.500
182.7061
236,757
815.143
497,908
415.205;
803,260
412.365
• 5,4.38
198.483!
452,327
517.351
K48.287
344,927'
.589.685
504.514
183.053
63.272
7.645
769,756
14.9.53,
45.734
193.285
32.838
355.166
705.567
1,5.925
132,939;
188.839
42.734
19.2^5
189.025,
69.7.50
277.263
440.257
97.935
18,763
5.500.000
5,614,828
3,616.096
2.878,534
1,691,509
3.192.734
341.466
1.034.483
7.012.730
9.501.7601
5.880,108:
2.802.732:
1.580.997
2.751.584
5.062.257
992.667
468.997
202,313,
14,361.485 71.374.060i6.63-.619;4, 142,98712,825,245:60.125,795 47,635.099 3.122,907 3.155.601,568
s
<
7.836,994
53,353
216.13f
218,752.
265.a51
384,795
382.860
54.546
2.491.664
307.4731
291.9001
3 6T2.356
34,970:
12.299,817
1.54,731
16.315.104
30.063
3.225.107
60.032
405.269
301,466
141.885
34,064
175.600
110 532
192,222
6OS.O6O1
1.52,941
13,100
230.234
65.930
47,635,099
3.122,9071
560.715.404
239,699.922
103,152,392
89,948,083
72.963 891
209,450448
41,097"194
172,542,312
475.836,672
598.959.541
142.054.605
88.654,848
93,767.671
76.859,694
129,.5S1.970
30,563.701
25.278,175
4,475,045
Of the deposit in Central Gold Reserves 811,502,533 is in gold c
I Dominion Notes.
J. C. S.4UNDERS, Deputy Minister of Finance.
Advances to municipalities showed a substantial reduc-
tion, as is usual at this time of the year. Tax collections
have been very satisfactory, according to the latest reports,
and many municipalities have been enabled to pay off part
of their obligations. Loans to pro\-inces increased by a little
over $1,000,000, while the Dominion government increased
its credit balance by about 84,000.000.
The greatest amount of notes in circulation was some
$10,000,000 ahead of the previous month, while deposits in
the central gold reserves increased correspondingly.
Holdings of gold and subsidiary coin were reduced by
?1,214,201, but holdings of Dominion notes increased more
than five millions. The changes for the month were as
follows : —
Gold and sub-coin in Canada — •$ 83,741
Gold and sub-coin elsewhere — 1,130,460
Total change - 81,214,201
Dominion notes in Canada + 85,145,002
Dominion notes elsewhere + 4,369
Total change -f- 85,149,371
Capital and Reserves
A substantial addition was made to the paid-up capital
during the month, while slight increases are noted in sub-
scribed capital and reserve. Figures are as follows: —
Capital Capital
Banks. subscribed, paid up. Reserve.
Merchants 849,.500 S 77,750
Royal 6,200 146,380
Hamilton 40,900 29,000
Provinciale 89,239
Home 18
§73,190
14,500
Total
$96,600 8342,387 887,690
THE MONETARY T I xll E S
Volume 65.
SOLDIERS' INSUKANCE AI'l'LlCATIONS $3,282,000
875 Policies Were Issued up to November 15, of Which 182
Were to Non-Pensioners — Average Policy is for .S:{,600
(Special to The Monetary Times.)
Ottawa, December 2, 1920.
UP to December 1 there were 1,015 applications for insur-
ance under the Returned Soldiers' Insurance Act. The
total value of the insurance represented in these applica-
tions is $3,282,000, and the premiums received up to last
Saturday night totalled .$26,711. In compliance with the act,
all the applications have been received since September 1.
During September only 160 applications were received, all
the others coming in October and November.
Among the applicants are included every rank from
private to major-general, although privates form the ma-
jority of the policyholders to date. With so many tuberculous
soldiers in sanitariums and others throughout Canada suffer-
ing from one disability or another, it is a remarkable fact
that .so far the majority of applicants have been men suffer-
ing from no disability whatever. It is e.stimated that 60
per cent, of those taking policies to date are first-class risks.
This statement is made on the ground that three-fifths of
those taking insurance have not suffered any illness since
their discharge. Of the 1,175 in sanatariums suffering from
tuberculosis very few have taken advantage of this insur-
ance.
Of the 875 policies issued up to November 15th, 393
were to pensioners for $1,1.58,000 and 482 to non-pensioners
for $1,722,000. The liability to pensioners is somewhat re-
stricted although they are fully protected. ' If a pensioner
were to die of any other cause than his disability resulting
from the war his heirs would not get his pension, and in
that case the full amount of the insurance would go to them.
If, however, a pensioner does die of his disability, and the
pension going to his heirs is greater in capital value than
the insurance, the heirs will receive under the act the total
value of the premiums paid with compound interest at 4
per cent. If there is a pension the total capital value of
which is less than that of the insurance in foice, the amount
in excess will be paid.
Average Policy is High
Policies are issued for a minimum of $500 and for mul-
tiples thereof, not exceeding $5,000. That a large number
are taking full advantage of the insurance offered is evident,
when it is stated that an average unit of the policies held
would be $3,600. Practically all the officers and many pri-
vates take full advantage of the opportunities offered by the
act. The scale of premiums is below that offered by the
in.surance companies and slightly higher than that offered
to civil servants. The most popular forms of policies are
the "all life" and the "20-year pay life" policies.
Premiums are payable monthly, quarterly, half-yearly
or yearly. As no advantage is given for the longer period
payments, the great majority of the policyholders have
chosen the monthly payment plan. No woman has vet taken
advantage of the plan although the widow of a soldier who
died after his discharge or a widowed mother are entitled
to avail themselves of it. So far few soldiers who only
served in Canada have taken insurance under the act, the
name of the act, "The Returned Soldiers' Insurance Act,"
having piobably made them think mistakenly that they could
not qualify. No applications have been received from any
Frenchman, Italian or American who was resident in Canada
before the war and who served in one of the allied armies,
although such veterans, too, are eligible. Nurses are eligible^
and W.A.A.C's, but V..A..D's, not having been subject to
military discipline, would not "be eligible. Insurance men
have co-operated in the work, advising many men who could
not qualify for their companies of the federal plan.
Ontario has furnished the largest proportion of the
policyholders. Up to two weeks ago, the policyholders were
distributed among the provinces as follows: Prince Edward
Island, none; Nova Scotia, twenty risks for $61,000 insurance;
New Brunswick, sixteen risks for $63,000; Quebec, 103 risks
for $361,500; Ontario, 429 risks for $1,375,500; Manitoba, 84
risks for $254,000; Alberta, sixty risks for $196,000; Saskat-
chewan, 68 risks for $242,500; British Columbia, 94 risks for
$321,500; and the Yukon, one risk for $5,000. No claims
have been paid as yet.
Before the opening of parliament next month the govern-
ment will consider the adding of unemployment insurance
to the business it has already established in returned sol-
diers' insurance, and in civil service insurance. As consid-
erable unemployment is expected through the winter, the
minister of labor may urge that unemployment insurance,
operated as complementary to the federal system of labor
bureaus, would be practical politics.
MORE SHORT-TERM FINANCING FOR EDMONTON
Debentures to be Issued Against Consolidated Tax Areas —
Government Urged to Provide More Cars
(Staff Correspondence)
Edmonton, November 29, 1920.
INTERIM annual reports recently published show that the
city of Edmonton's position is being steadily improved.
There are one or two important features which should be
considered in connection with the present discussion regard-
ing the tax levy for the present year which is admittedly of
large proportions. The general tax levy was approximately
$3,500,000, made up of school and library requirements, $1,-
200,000 general debt, debenture charges of $850,000, the
balance of the levy being required for general municipal pur-
poses (inclusive of discount). In the levy an additional con-
tribution was provided towards the resei^ve against uncol-
lectible taxes of $150,000, thereby increasing the amount of
thi.= resei-\-e to nearly $1,000,000. The school requirements
increased by $300,000 over last year. With regard to the
important question as to the position of the sinking fund
it is understood that the sinking fund instalments for the
current year will be fully provided for as at December 31
when a sale of the balance of the short-term debentures
authorized against consolidated tax arrears has been effected.
The unsold balance of the issue amounts to $1,475,000, and
a portion of the proceeds will accordingly be applied in
liquidating the sinking fund payments due to the board, so
that the fund will be absolutely intact as at the end of the
year.
A shortage of cars has been to some extent holding up
the movement of grain here. At a convention held in Vegre-
ville on November 4 to discuss this matter, representatives
were present from the various agricultural and business
organizations along the line of the Canadian National Rail-
way, including the districts served by the towns of Lament,
Chipman, Mundare, Vegreville, Lavoy, Ranfurly, Innisfree,
Minburn and Mannville. The territories served by these
towns takes in an area running one hundred miles east and
west, and fifteen miles south and thirty-five miles north of
the Canadian National line.
A careful survey of the situation was made by the con-
vention, and it was estimated (conservatively) that at least
4,660 cars will be required to handle this season's crop. Up
to the time of the convention only 328 cars had been supplied,
representing the C.N.R. cars of 60,000 lbs. capacity, 360,000
bushels of wheat or 620,000 bushels of oats in "all these
towns combined. As a contrast to that, it may be pointed
out that at one point only, on the Canadian Pacific Railway
mimediately south of this district, 321 cars representing in
C.P.R. cars of 90.000 bushels capacity, 500,000 bushels of
wheat or 900.000 bushels of oats, have been shipped. At
this one point, which is only typical of those served by the
Canadian Pacific, the elevators, through being able to market
their gram promptly, have been paying three cents more
per bushel for the different grains, and at the same time are
obliged to pay one and one-half cent higher freight rate.
December 3, 1920
THE MONETARY TIMES
Trade Review and Insurance Chronicle
of Canada
Address: Comer Church and Court Streets, Toronto, Ontario, Canada.
Telephone; Main 7404, Branch Exchange connectisE aU departmentft.
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Winnipeg Office: 1206 McArthur Building. Telephone Main »40».
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PRINCIPAL CONTENTS
Editorial : page
The State of the Bond Market 9
.A Repetition of Economic Platitudes 9
The Danger of Too Rapid Deflation 10
A Secessional Movement in Canada 10
Special Articles:
Domestic Coal Output Has Been Steady 14
The Organization for Sales in Foreign Countries . . 18
Alberta Association of Municipal Districts 20
Public Opinion and Prices 22
Saskatchewan Municipalities Had Successful Year 22
Ontario .Associated Boards of Trade 26
New Organization for Northwest Ontario 28
Payment to Life Insurance Beneficiaries 30
Monthly Departments:
October Bank Statement 5
Trade of Canada 24
Montreal and Quebec Savings Institutions 24
Weekly Def.\rtments :
News of Industrial Development in Canada 32
Insurance Licenses Issued 34
News of Municipal Finance 36
Government and Municipal Bond Market 38
Corporation Securities Market 42
The Stock Markets ',[ 44
Corporation Finance 46
Recent Fires 43
THE STATE OF THE BOND MARKET
SINCE Victory bonds were released from control at the
opening of business on Monday they have suffered de-
clines of from one to four points. The action of the govern-
ment was however wise, and should be followed within a
few weeks by the repeal of the embargo on the importation
of securities which, while it has never been an important
factor in determining price levels, is nevertheless an element
of disturbance in the market.
The action of the government has been adroit as well
as wise. It was the safest solution of a difficult situation
which developed from the ill-advised course adopted early
in the year. For the market committee, which had hoped to
meet the situation by drastic price reductions' in .August,
found bonds again accumulating upon its hands. Another
cut of several points would have been necessary, and by
letting this reduction take place in the open market rather
than at the hands of a controlling committee the government
has, so to speak, washed its hands of responsibility for the
condition of the market.
The course of Victory bond prices during the past week
justifies the contention set fortH in these columns since
January last, that the control of prices was only in small
degree effective. The truth of this is illustrated by the small
losses experienced by the bonds, and in comparing the pre-
sent prices with those previously fixed it must be remembered
that the latter did not represent the true state of the market,
lior the condiion of supply and demand as reflected in the
committee's books. Insofar as the committee traded at
artificial prices it also acted unjustly towards the buyers of
the bonds. Many cases arose where large purchases were
made immediately before a cut in prices, the price being
practically forced upon the buyer by the market committee
operating at the instance of the finance minister. The opera-
tions of the committee were also unfair inasmuch as the
exact state of affairs was known only to the members, who
were themselves members of bond firms and could therefore
adjust their own businesses on the basis of this information
which was available to them, but not to other dealers nor
to buyers and sellers. The present position of war bonds
calls for some readjustment in the prices of other bonds.
These will scarcely correspond to the reductions which have
taken place in the price of Victories, however, as it was the
latter which were out of line with the market as a whole.
It is felt now, with good reason, that prices are at rock
bottom, and, barring exceptional events, the coming year
should bring a slow but steady appreciation in values. In the
face of this situation the action of some of the provinces in
floating new loans is rather unexpected and to say the least
extravagant. To borrow when conditions are favorable, and
to retract when rates are high is sound finance. To borrow
continually and to pay high as well as low rates is the
work of the insolvent. Though the Canadian provinces are
still able to meet their obligations some of them are now
piling up immense capital charges which will be burdensome
in later years.
A REPETITION OF ECONOMIC PLATITUDES
'T'HE conference on international finances held last month
-»• at Brussels, Belgium, accomplished little more than the
repetition of principles which have been preached but
which have not been carried out by the leading govern-
ments. The real problems were diplomatically referred to
special committees for careful consideration.
The task of this conference, it will be remembered, was
to obtain as complete a picture as possible of the economic
and financial situation of the world and by an interchange
of opinion and experience to assist each country to arrive
at the soundest policy possible for dealing with existing
difficulties. It was perhaps inevitable, although to many a
little disappointing, that no entirely new and acceptable sug-
gestions were made for arriving at definite action which
would help what are known as the distressed countries more
speedily to obtain financial stability.
There is in fact, in the report, a suggestion of apology
for the axiomatic character of some of the resolutions. The
conference emphasises that fact that industry must be so
THE MONETARY TIMES
Volume 65.
organiiied as to encourage the maximum production, as by
such production alone will those improved conditions of life
be obtained which it is the aim of every country to secure
for its peoples. Above all, to fill up the gap between the sup-
ply of and the demand for commodities, it is the duty of
every patriotic citizen to practise strict economy and to eon-
tribute his maximum effort to the common weal.
The conference strongly endorses the declaration of the
Supreme Council of March 8th last — that the states which
have been created or enlarged as the result of the war
should at once re-establish full and friendly co-operation and
arrange for the unrestricted interchange of commodities in
order that the essential unity of European economic life
may not be impaired by the erection of artificial economic
barriers. Each country should aim at the progressive re-
storation of that freedom of commerce which prevailed be-
fore the war, including the withdrawal of artificial restric-
tions on, and discriminations of price against, external trade.
A SECESSIONIST MOVEMENT IN CANADA
OTTAWA, Toronto — take notice! There are movements
on foot 1« break up confederation, and to cut off in-
dustrial and agricultural Ontario from the great outlet at
James Bay to the north. Why should Canada trouble itself
over the question of Irish self-determination, or federation
with Newfoundland and the West Indies, when there is at
home a real case of political oppression, misrule, and desire
for independence.
Vancouver Island would be loosed from the bonds of
confederation, to develop as a free trade colony, to become
a manufacturing and financial country like Great Britain.
Oscar C. Bass, of Victoria, outlines the secessionist move-
ment in the Island elsewhere in this issue, but he does not
specify the exact complaints against the Dominion or pro-
vincial governments, or the ways in which connection with
the rest of the Dominion has worked out to the disadvantage
of the Island.
Northern Ontario also aims to become an independent
province, a link between the manufacturing east and the
"productive" west, according to Frank H. Keefer, federal
member of parliament for Kenora. In describing the move-
ment at a meeting of the newly formed League of Munici-
palities in Fort William last week Mr. Keefer pointed out
that the population of the proposeil new province, which
would extend from Lake Superior to Hudson Bay and from
Manitoba to the White River, would be over 100,000, or more
than the population of Prince Edward Island, Manitoba,
British Columbia, Alberta or Saskatchewan when they com-
menced. The new province "Superior" would have ample
revenue from Crown lands, minerals, fisheries, timber, succes-
sion duties, license fees, fines, and the subsidy from the
Dominion.
As a means of impressing upon the respective govern-
ments their claims for more attention these secessionist
movements may be successful, but further than this their
supporters would scarcely be willing to go. The burden of
maintaining a provincial government is pressing heavily
upon the small provinces. In estimating expenditure upon a
district it is easy to overlook many items which are included
in overhead. For northern Ontario to become a province
or for Vancouver Island to become a Crown colony would
ret|ird raUer than speed their growth.
THE U.VNGEK OF TOO UAl'ID DEFLATION
PRICES are now coming down rapidly partly because the
public is convinced that they will continue to come down.
The effect of such a view is cumulative, for a decline in
price instead of increasing purchases only seems to frighten
buyers still further. There is a danger, therefore, that the
movement may proceed too rapidly.
Present conditions are described by the New Fir,<t Na-
tional Bank of Boston as follows: "The country is now
economizing, partly because it cannot afford to buy at cur-
rent prices, partly because increasing unemployment is
materially cutting down purchasing power; but mainly be-
cause the public senses that the drastic declines in raw
materials and wholesale prices must soon result in much
lower retail prices. The consumer in increasing degree is
restricting purchases, causing a marked slowing down in
retail trade. The retailer, still holding some high priced
merchandise, is naturally maintaining prices in an attempt
to avoid losses on such goods and to secure his usual holi-
day profits. Meanwhile wholesale houses are successfully
conducting bona fide reduction sale^ which in some instances
are being followed by similar sales on the part of retailers.
As a stimulent to sales this policy has been remarkably
successful and the movement is gathering momentum. The
liquidation in the retail market, finally deflating prices to
the consumer marks the last stage which must precede a
business revival. The situation is not confined to a single
country — it is world-wide."
There appears to be a wide difference of opinion as to
how long the present movement will continue. In some
quarters it is expected that the spring will find business re-
viving, after a dull winter accompanied by price reductions
which will place trading on a sounder basis. In suppoi't of
this view it is pointed out that there is still a shortage of
many kinds of goods, of houses, street railway a,nd other
public service equipment, and of power. On the other hand
it must be remembered that a shortage which is not accom-
panied by the ability to purchases does not help business.
People never have all they want, because their wants always
exceed their resources. Now that hours of labor are shorter
than ever before, and general "progress" has been made in
securing better conditions of labor, the output of the in-
dividual worker has been reduced and his purchasing power
can scarcely be as great as it was before the war.
The view that this is but the beginning of an extended
downward movement seems to be sounder. The coming win-
ter may be the most severe, witnessing the first big stride in
deflation. We hear much talk of the economic cycles which
culminated in 1907 and 1914, and the seven year period
ending in 1921 may bring a similar experience. In any case
this country should weather the crisis safely.
Practically no new industries are now coming to Can-
ada. The changed industrial conditions have reflected them-
selves quickly in investments of this kind, and some new
plants or extensions fully planned or under way have been
stopped.
One encouraging feature of our trade statement for
the past twelve months is the fact that exports to practically
all countries, except the United Kingdom and France, have
increased, showing that Canada is paving the way for a
broader market.
* » « « »
The British Columbia finance minister, in proposing to
oi'ganize a bank, overlooks the fact that such a bank cannot
loan in the province more than its deposits in the province.
The chartered banks, on the other hand, do this at times.
Vital Statistics
One of the census men called at the home of a working
man in New York, noted in his neighborhood as a great
reader and a wiseacre for statistics. He found the man
poring over an encyclopedia.
"How many children have you?" asked the census taker.
"I have just three — and that's all there will be, too,"
replied the man, looking up from his book of knowledge.
"All right, but why be so positive?"
"According to this book here," said the man with deadly
seriousness, "every fourth child born in the world is a China-
man!"
December
THE MONETARY TIMES
11
BANKING
SERVICE
Your banking require-
ments may be entrusted
to this Bank with every
confidence that careful
and efficient service will
be rendered. Our facili-
ties are entirely at your
disposal.
THE CANADIAN BANK
OF COMMERCE
Head Office - Toronto
Capital, $15,000,000 Reserve Fund, $15,000,000
Total Assets over $475,000,000 g^A
Real Banking Service
All branches of this Bank are in
a position to give the most com-
prehensive Banking service.
Government and Municipal
Securities are dealt in. Foreign
Exchange bought and sold.
Money Orders and Letters of
Credit issued. Collections made
on all points in Canada or
overseas.
IMPERIAL BANK
OF CANADA
212 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited, Edinburgh and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
Experienced
Banking
Service
A PERFECT commercial banking
service is only evolved by expe-
rience. A bank's value to its cus-
tomer increases proportionately
with the widening of its knowledge.
The Union Bank has been engaged
in commercial banking for more
than half a century, and has at-
tained a clear perception of its
duties to the banking public.
UNION BANK
OF CANADA
THE
Bank of Nova Scotia
Established 1832
Capital
$9,700,000
Reserve
$18,000,000
Total Assets
$230,000,000
GENERAL OFFICE
: TORONTO, ONT.
H. A. Richardson.
General Manager
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic, Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
55. OLD BROAD STREET, E.C.2
THE MONETARY TIMES
PERSONAL NOTES
W. R. ALLAN, of Winnipeg, has been elected vice-presi-
dent of the Union Banlc of Canada, in place of R. T. Riley,
of Winnipeg, who
has resigned. Mr.
Allan is the senior
member of AlUin,
Killam and Mc-
Kay, general brok-
erage and steam-
ship agents. He
was formerly a
director of the
Union Bank, and
is associated with
the Canadian
Mortgage Associa-
tion and the J. H.
Sherrard Manu-
facturing C o m -
|)any. He is also
lepresented on the
board of directors
of the Scottish
Investment and
Debenture Com-
pany, Dominion
Rubber System,
V m e s - H o 1 d e n -
.M c C r e a d y , and
Lake of the Woods
Milling Company. G. Montague Black, of Black and Arm-
strong, insurance and financial brokers, Winnipeg, has been
elected to fill the vacancy created on the boaixi of directors.
J. L. Noblh; has been appointed secretary of the British
Columbia Fire Underwriters' Association, and will be here-
after located in the office of the Association in Vancouver,
B.C. Mr. Noble's insurance career started with the British
A m e r i c a and
Western Assui'-
ance Company at
■head office. Sub-
sequently he join-
ed the Canadian
Fire Underwrit-
ers' Association
a t Toronto a s
inspector for the
province of On-
tario. From this
position he was
appointed to that
of chief in-
spector of the
Western Canada
Fire Undei-writ-
ors' -Association at
Winnipeg, and in
February, 1913, he
moved to Victoria
as secretary of the
Vancouver Island
Fire Underwrite
ei-s' Association.
Mr. Noble is an
honorary member
of the Fire Underwriters' .Associatio of the Pacific Coast,
with headquarters at San Francisco, and also a member of
the Pacific Northwest Special Agents' Association. He is
also a prominent member of the Blue Goose and a member
of the National Fire Protection Association, with head-
quarters at Boston, Mass., on two important committees of
which he serves as a member. Mr. Noble is secretary of the
British Columbia Fire Prevention League, and has devoted
a great deal of energy to organizing this association and
carry on its work looking to the reduction of the serious
economic waste of fire loss. Latterly he has associated him-
self with A. Z. DeLong, of Terminal Agencies, Ltd., and
has become vice-president of that company.
W. S. Fallis, managing-director of the Sherwin-Wil-
liams Company of Canada, Limited, has been elected vice-
president of that company.
J. O. Herity, editor and one of the proprietors of the
Belleville Ontario, a local newspaper, has been appointed
industrial commissioner of the city of Belleville, Ont., and
secretary of the chamber of commerce. He will relinquish
newspaper work immediately to take up his new positions.
Clayton R. Burt has been appointed general manager
of the Willys-Overland Company, Limited. He was formerly
for four years assistant general manager of the Russell
Motor Car Company, Limited, and for the past three years
has been general manager of the Russell Motor Car Com-
pany, of Buffalo.
William MacInnes has been appointed assistant man-
ager for Canada of the Motor Union Insurance Company,
Limited. Mr. MacInnes has had considerable experience in
both the fire and casualty branches. His early training was
with the Commei'cial Union Assurance Company in Scot-
land; from which office he went to the London and Lan-
cashire Life and General as fire and accident superintendent
at Glasgow. Since coming to Canada Mr. MacInnes has
travelled extensively thoughout the Canadian field for various
fire companies, and for the past two years has occupied the
position of accident superintendent at the Montreal office
of the Norwich Union. Early this year Mr. MacInnes was
selected by the English head office of the Norwich Union
to organize its casualty business in Cuba. Mr. MacInnes is
a chartered secretary and is chairman of the Canadian
branch of the Chartered Institute of Secretaries, and he is
also an associate of the Chartered Insurance Institute of
Great Britain.
OBITUARIES
James K. Allen, who for the past twenty-four years
has been manager of the Standard Bank of Canada at New-
castle, Ont, died in Toronto this week at the age of 85 years.
T. J. Moore, city manager and clerk, for Guelph, Ont,
lost his life last week when he was accidently shot while
hunting in the Northern Ontiuio woods. Geo. D. Hastings,
assessor and tax collector, has been appointed to succeed
Mr. Moore temporarily.
Malcolm V. MacInnes, chief Canadian government
agent in the United States, with offices at Detroit, died on
November 21, following an illness of five weeks. Born in
Nairn, Ont., in 1859, Mr. MacInnes entered the Dominion
government service .37 years ago. For several years he was
travelling immigration representative with headquarters in
Ottawa. Going to Detroit 25 years ago he instigated the
immigration of citizens in the United States to the Cana-
dian northwest. During the past year he arranged for the
immigration of 5,700 settlers to Canada.
ROYAL SECURITIES BUYS OFFICE BUILDING
.\ real estate transaction of some importance in the
financial district of Montreal is the purchase by Royal Se-
curities Corporation from the London and Scottish Assurance
Co.. Ltd., of the six-story office building at 164 St James
Street, corner of St. James and St. John Streets, now occu-
pied by the Corporation. The purchase has been rendered
necessary by expansion of the operations of the Corporation.
The connection of the Corporation with the building, of which
it is now owner, dates from 1910, the first two floors and part
of the third floor already being occupied by its staff.
December 3, 1920
THE MONETARY TIMES
13
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I THE Sterling Bank I
I OF CANADA |
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An aggressiveness which is strong enough to over-
come obstacles in its path and to persevere until
the Service desired is accomplished, is a potent
factor of Sterling Bank Service.
Head Office
KING AND BAY STREETS, TORONTO
^OeALT-,,
'«^^
Common wealth Ban I? of Biistralia
All classes of GENER.AL AND SAVI.VGS BANK busir
acted in all the principal cities and towns of Australii
London.
JAS. KELL,
Deputy Gov
DENISOX MILLER.
Gove
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament- Estabushed 1825
Capital Subscribed /5,000,000 §25,000,000
Paid up 1,100,000 5,500,000
Uncalled 3,900,000 19,500,000
Resen-e Fund 1,000,000 5.000,000
Head Office - EDINBURGH
WILLIA.M CARNEGIE, General Manager. GEORGE A. HUNTER. Sec.
LONDON OFFICE— 37 NICHOLAS LANE, LOMBARD ST., EC. 4
T. C. RIDDELL. DUGALD SMITH.
Manager Assistant Manner
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, are
retired on terms which will be furnished on application.
fncorpora+dd
. - 1855
Branches
Through ou^^
THE MOLSONS BANK
Capital and Reserve
S9.000.000
SMALL ACCOUNTS SOLICITED
We welcome the sniall account and by en-
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Head Office - MONTREAL, CANADA
EDWARD C. PR4TT. General Manager.
TheD
ominion
Bank
ESTABLISHED 1871
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments of Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
A Newspaper Devoted to
Municipal Bonds
INHERE is published in New York City a daily
*■ and weekly newspaper which has for over
twenty-five years been devoted to municipal
bonds. Bankers, bond dealers, investors and
public officials consider it an authority in its
field. Municipalities consider it the logical
medium in which to announce bond offerings.
Write for free specimen copies
THE BOND BUYER
67 Pearl Street New York, N.Y.
REAL ESTATE
If you are burdened with
the charge of property
belonging to an Estate,
you may free yourself from
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THE BANKERS^
TRVST CDMB^NY
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Authorized Capital $1,000,000
Offices : MERCHANTS BANK BUILDING
14
THE MONETARY TIMES
DOMESTIC COM. OUTPUT HAS BEEN STEADY
Imports from Uixited States Show Wide Fluctuations—
Present Outlook Not Serious
IN a review of present coal situation in Canada the No-
vember Commercial Letter of the Canadian Bank of
Commerce says: —
"Although a coal shortage undoubtedly exists in Canada,
there does not appear to be any serious cause for alarm.
The dislocation of industry and the labor unrest which fol-
lowed the armistice and exercised so great an influence upon
l)roduction in general throughout 1919 have gradually given
way to a more normal condition of affairs. This change is
reflected in the improved output of coal throughout the
Dominion during the present year, and the realization that,
for industrial purposes at least, Canada must make better
use of her own fuel resources, without too great a depend-
ence upon importations of coal from the United Slates. It
Canadian
Output
the tTnitcd States
is, in fact, more than likely that any exportable surplus of
coal in that country will be largely absorbed by European
demands arising through the stoppage of production in Great
Britain. During the eight months ending last August Great
Britain exported only 18,375,032 tons, as compared with
24,161,423 tons for the corresponding period in 1919 and
48,320,608 in 1913.
riuctuation in Imports
"The graph given above outlines the history of Canada's
coal supply during the last seven years. It will be noted
that the fluctuation in the volume imported from the United
States is more appreciable than that in the domestic output.
Coal imports, which were steadily declining from 1913 to
1915, rose in the following year, under the pressure of war
requirements, to the old level, and continued to rise until
the cessation of hostilities. In 1919 they fell to the levels
of 1913 and 191(), and, from the figures available, it is esti-
mated that the volume for the current year will be even less.
The bituminous coal exported from the United States to
Canada during the United States fiscal year ending 30th
June, 1920, amounted to 10,470,516 tons, as against 16,693,062
tons for the year ending 30th June, 1918, which was a period
of exceptional war activity. On the other hand, the exports
from that country to Italy rose from 201,220 tons in 1918
to 2,862,773 tons in 1920, while the Netherlands, Switzerland
and Sweden made their first appearance as purchasers of
American bituminous coal.
"In the case of our domestic production, the most serious
drop below normal occurred in 1919, but if the results for
the remaining nine months measure up to the standard set
by the first quarter of the year (the latest period for which
official figures have been issued covering the whole Do-
minion), this loss should be retrieved by the output for 1920.
There are many indications that this will occur. The daily
output from the collieries at Glace Bay rose from 9,500 tons
in August to 10,000 tons in September and 12,000 tons in
Octobel-. The mines of British Columbia produced 206,746
tons in August and 236,566 tons in September of this year.
In both Nova Scotia and British Columbia there have been
strikes and rumors of strikes, but even under these adverse
conditions production has kept well up to normal. The vast
supply of bituminous and sub-bituminous coal in Alberta is
now being used
much more generally
in all three prairie
provinces. Up to
31st August, 758,135
tons of Alberta coal
were received and
distributed in Sas-
katchewan, as com-
pared with 405,249
tons for the corre-
sponding period last
year. Although the
labor situation in
Alberta is still verj'
unsettled, the out-
put has actually in-
reased, assisted in
no small degree by
the improvement in
transportation facili-
ties. From the
Drumheller mines
2,733 cars were
shipped in Septem-
ber, 1920, as com-
pared with 2,182
in September, 1919,
and 1,723 in June
of the present year.
The output of Al-
berta for the six
months ending July,
1920, was 3,560,323
tons, or 1,431,350
tons more than that for the corresponding period in 1919.
The government lignite briquetting plant installed at Estevan
is not expected to be in operation before the end of Januar>%
1921. For this reason Saskatchewan lignite is not yet in a
position to compete with imported coal."
Estimates
April— Dec. 1920
SERVICE TO FORT McMURRAY
Premier Stewart, of Alberta, returned on November 24th
from a ten-day trip over the A. and G.W. Railway to Fort
McMurray. He says that about $100,000 has been spent by
the government in improvements to the waterways system
this fall. During the winter 300,000 ties will be got out for
repair woi-k, and by next fall he hopes to have a regular
service in operation to Fort McMurrav.
"The Old Fashioned Executor" is the litk- of a booklet
containing a series of advertisements by the National Trust
Company, pointing out many ways in which the administra-
tion of estates has been improved by modern trust company
methods.
December 3. 1920
THE MONETARY TIMES
15
THE
Weyburn Security Bank
Chartered by Act oi the Dominion Parliament
head office. weyburn. saskatchewan
Branches in Saskatchewan at
Weyburn, Yellow Grass, McTaggart, Halbrite, Midale
Griffin, Colgate, Pangman, Radville, Assiniboia. Benson,
Verwood, Readlyn, Tribune. Expanse, Mossbank, Vantage.
Goodwater, Darmody, Stoughton, Osage, Creelman and
Lewvan .
A GENERAL BANKING BUSINESS TRANSACTED
H. O POWELL. General Manager
fHomeBankofCanadai
BONDS AND FOREIGN EXCHANGE
Every Branch of the Home Bank is in ready
communication with the Bond and Foreign
Exchange Departments at the Head Office, and
any enquiries made through any branch will
receive prompt attention.
Branches and Connections Throughout Canada
Head Office and Eleven Branches in Toronto g-14
LLOYDS BANK LIMITED,
HEAD OFFICE:
71, LOMBARD ST., LONDON, E.G. 3.
($5 = ±;i.)
CAPITAL SUBSCRIBED
- $353,396,900
CAPITAL PAID UP
70,679,380
RESERVE FUND - -
49,886,410
DEPOSITS, &c.
- 1,621,541,195
ADVANCES, &c.
821,977,505
THIS BANK HAS ABOUT 1,500 OFFICES IN ENGLAND & WALES.
Colonial and Foreign Department: 17, CORNHILL, LONDON, E.G. 3. London Agency of the IMPERIAL BANK OF CANADA.
The Agency of Foreign and ColonizJ Banks is undertaken.
Affiliated Pan'<3 : THE NATIONAL BANK OF SCOTLAND LTD. THE LONDON & RIVER PLATE BANK LTD.
Auxiliary: LLOYDS AND NATIONAL PROVINCIAL FOREIGN BANK LIMITED.
TH€ MCRCHANTS BANK
Head Ofrice : Montreal. OF CANADA. Established 1 864.
Capital Paid-up, $8,400,000 Reserve Fund and Undivided Profits, $8,660,774
Total Deposits (30th October, 1920) - Over $170,000,000
Total Assets (30th October, 1920) - Over $209,000,000
Board of Directors :
Sir F. ORRORit- Lewis, Bart.
Hon. C. C. Ballantyne
F. Howard Wilson
SIR H. MONTAGU ALLAN
Farouhar Robertson
Geo. L. Cains
Alfred B. Evans
Vice-President
Thomas Ahearn
Lt.-Col. J. R. MOODIE
Hon. Lorne C. Webster
A. J. DAWES
E. W. Kneeland
Gordon M. McGregor
General Manager - - - D. C. Macarow
Supl. of Branches and Chief Inspector : T. E. Merrett
General Supervisor- - - - W. A. Meldrum
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice.
399 Branches in Canada, extending from the Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookall,. Agents
London, England, Office, 53 CornhiU: J. B.Donnelly, D.S.O., Manager
Bankers in Great Britain : The London Joint City & Midland Bank, Limited, The Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
'RICES DOWN IN NOVEMBER
BANK BRANCH NOTES
The index number of wholesale prices, constructed by
Professor Michell, of McMaster University, based on 40 com-
modities, 20 foodstuffs and 20 manufacturers' goods, stood at
2;{3.1 for the month of November, a decline of :',.9 per cent,
over the previous figure of 242.1 for the month of October,
and a decline of 21.8 per cent, over the peak of 298.0 reached
in May of this year. "Among the manufacturers' commo-
dities, the following declines were registered," says Prof.
Michell: "Rubber, wool, cotton, hides, iron, galvanized sheets,
silver, lead, copper, tin and oak. Leather, zinc, cement, paints,
pine and hard maple remain unchanged, while newsprint ad-
vanced fractionally. Among the foodstuffs, flour, beef, mut-
ton, pork, bacon, lard, sugar, rice and canned peas dropped,
while white fish, cheese, tea, coffee, beans, canned tomatoes,
oatmeal and tapioca remain unchanged. Butter, potatoes
and eggs advanced with the season, as was to be expected.
The deflation of prices proceeds with perfect regularity, and
with the exception of sugar and wheat, the markets show
no sign of breaking badly. There is every reason to expect
a steady decline through the winter, with perhaps a recovery
in the spring."
EXCHANGE QUOTATIONS
Glazebrook and Cronyn, exchange and bond brokers,
Toronto, report local exchange rates as follows: —
Buyers. Sellers. Counter.
N.Y. funds VA 27-:^2 13 29-32
Mont, funds Par. Par. % to %
Sterling —
Demand $3,962.5 .$3,972.'')
Cable transfers 3.97 3.98
Rate in New York, sterling demand, $3.48 '4 to $3.48 Vs.
Bank of l^ngland rate, 7 per cent.
New York quotations of exchange on European countries,
as supplied by the National City Co., Ltd., Toronto, as at
December 2, 1920, follow: London, cable, 349';i; cheque,
3481^; Paris, cable, 6.08; cheque, 6.07; Italy, cable, 3.68;
cheque, 3.67; Belgium, cheque, 6.44; Swiss, cheque, 15.67;
Spain, cheque, 13.10; Holland, cheque, 30.55; Denmark,
cheque, 13.87; Norway, cheque. 13.87; Sweden, cheque, 19.45;
Berlin, cheque, 1.45; Greece, cheque, 8.45; Finland, cheque,
2.05; Roumania, cheque, 1.50; Poland, cheque, .19.
TORONTO INSl'RAN(E INSTITITTE GROWS
At a meeting of the Insurance Institute of Toronto, held
on November 25, the president, .1. B. McKechnie. announced
that the member.ship had increased this year by 81, and now
totalled 578 — the largest membership in the history of the
institute. A. H. Rodgers announced that the educational
committee had arranged for a series of talks on building con-
struction and the mercantile schedule for the benefit of
students for the higher class of the fire insurance examina-
tion sections. These talks are to be given by J. C. White,
of the Canadian Fire Underwriters' Association, the first
being set down for Friday, .January 7th, at the C.F.U.A.
offices. Toronto.
The speaker of the evening was Hedley C. Wright, as-
sistant manager for Canada of the London Guarantee and
Accident Co., who gave an address on aviation insurance.
He discussed aviation as a commercial proposition, particu-
larly its prospects in Canada where the large and important
centres of industry are so far apart. He then went on to
deal with the underwriting problems which arise in the in-
surance of aircraft and airmen. He maintained that the
insurance companies will have a big part to play in the suc-
cessful development of eommercial aviation in this country,
as without insurance facilities men will not risk their capital,
pilots will not risk their limbs and lives, and merchants will
not risk their goods in schemes of transpoj-tation in the air.
The Royal Bank of Canada has opened a bi-anch at East
St. John, N.B.
On November 29th, the Bank of Nova Scotia took pos-
session of their new offices at 263 St. James St., Montreal.
H. C. Males, who has been in Port-of-Spain, Trinidad,
since last August in connection with the opening of a branch
of the Bank of Commerce, is at present in Canada on leave.
A. W. Laing, formerly of the general manager's department
of the head office of the Bank of Commerce, has been in
Trinidad and is now in Barbados for the purpose of estab-
lishing relations for the bank there.
J. V. Steele, who has been manager of the Canadian
Bank of Commerce at Milk River, Alta., for the past three
years, has been transferred to Champion, Alta. He is suc-
ceeded by H. W. Walker, of Naicam, Sask.
Gerald Lawson, who has been assistant manager of the
Bank of Montreal at Quebec, has been appointed manager
of the bank in Yarmouth, N.S., in succession to T. V. B.
Bingay.
The branch of the Merchants Bank in South London,
Ont., was robbed at 2.20 p.m. on December 1, when two ban-
dits walked in and, holding up Manager E. M. Dagg and
Assistant Accountant John Leckie, took $700 in cash from
the till. The men escaped in a motor-car.
John Stanley Bancroft, assistant manager of a branch
of the Merchants Bank in Vancouver, has been arrested on
a warrant issued by Manager A. C. Fraser, charging him
with the theft of $45,000 in Victory bonds, the property of
William Day, managing director of the W. H. Day Lumber
Co., and placed within the bank for safekeeping. Phil Ge-
vurtz, broker and president of the Gevurtz Lumber Co., was
also arrested and charged with having conspired with Ban-
croft in the theft. Another warrant sworn out by the bank
charged Gevurtz with obtaining money from the institution
by means of a false statement.
WEEKLY BANK CLEARINGS
The following are the bank clearings for the week
ended December 2. compared with the corresponding week
last year: —
Week ended. Week ended,
Dec. 2, '20 Dec. 4, '19 Changes
Montreal $145,674,628 $167,088,108 - $21,413,480
Toronto 115,160,952 104,723,893 + 10,437,059
Winnipeg 110,103,780 65,920,492 -|- 44,183,288
Vancouver 13,443,327 15,887,184 - 2,443,857
Ottawa 11,913,043 13,452,338 - 1,539,295
Calgary 10,258,345 8,662,344 -|- 1,596,001
Hamilton 6,921,530 7,886,156 - 964.626
Quebec 7,578,981 7,856,628 - 277,547
Edmonton 6,013,936
Halifax 4,793,643 5,955,363 - 1,161,720
London 3,502,044 4,678,175 - 1,176,131
Regina 5,394,645 5,241,216 + 153,429
St. John 2,951.343 3,355,255 - 403,912
Victoria 2,008,823 3,066,4.34 - 1,057,611
Saskatoon 2,648,552 2,684,460 — 35,908
Moose Jaw 2,367,173 2,567,978 — 200,805
Brantford 1,387,844 1,018,223 + 369,621
Brandon 967,842 1,074,018 — 106,176
Port William . . 1,066,225 1,060,355 + 5,870
Lethbridge 1,092,485 961,168 -|- 131,317
Medicine Hat . . 723,393 743,536 — 20,143
New Westminster 677,005 573,578 -I- 103,427
Peterboro 939,436 868,818 + 70,618
Shcrbrooke 1.224,108 985,433 + 238,675
Kitchener 998,2.59 1,203,725 — 205,466
Windsor 3.644.388 2,332,791 + 1,311,597
Prince Albert . . . 479.302
Total .$4.57.441,794 $429,847,569 + $27,594,225
Moncton $ 791,958
December 3. 1920
THE JIONETARY TIMES
17
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(ESTABLISHED 1817)
PAID UP CAPITAL - -i|K- ^ 23,828,500.00
RESERVE FUND .... C^^4 - 16,375.000.00
RESERVE LIABILITY OF PROPRIETORS - .^B^^^^QlZf^ f _ 23,828,500.00
AGGREGATE ASSETS 31st MARCH. 1920
SiriJOHN RUSSELL FREN'CH, K.B.E., General Manager
351 BRANCHES and AGENCIES in the Australian States. New Zealand. Fiji. Papua (!S/ew Guinea) . and London. The Bank t
of Australian Banking Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY
$ 64.032,000.00
$377,721,211.00
isacts every descriptu
LONDON OFFICE: 29 THEEADNEEDLE STREET, E.C^ 2.
BANK OF MONTREAL. ROYAL BANK OF CANADA
C. S. GUNN & COMPANY
REAL ESTATE, INSURANCE, RENTAL AGENTS
805 Union Trust Building
WINNIPEG, MAN.
Members of Winnipeg Real Estate Exchange, Winnipeg Stock Exchange
H Pbrcival Edwards
A. Geoffrey Edwards
T. J. Macnamara
K. A. Mapp
ARCS, F.C.A. Arthur H. Edwa
W. PosiEBOY Morgan VV. He
5. F.C.A.
ERT ThO-MPSON
Charles E. White
J. L. Atkinson-
John M. Edwards
EDWARDS, MORGAN & CO.
CHARTERED
OFFICES
ACCOUNTANTS
TORONTO ..
CALGARY . .
VANCOUVER
WINNIPEG..
MONTREAL
CORRESPONDENTS
HALIFAX, N.S. ST. JOHN, N.B.
LONDON, ENG. PARIS, FRANCE
CANADIAN MORTGAGE BUILDING
HERALD BUILDING
LONDON BUILDING
ELECTRIC RAILWAY CHAMBERS
McGILL BUILDING
COBALT, ONT
NEW YORK, U.S. A
ESTABUSHED 1879
AUoway & Champion
Bankers and Brokers
Membera of Winnipeg Stock Exchange
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchanges
THE
TOROiSTOGEySEKAlTRUSTS
Corporations
DIVIDEND No. 98
Notice is hereby given that a Dividend
of Three Per Cent, has been declared
upon the Paid-Up Capital Stock of this
Corporation for the quarter ending De-
cember 31st, 1920, being at the rate of
TWELVE PER CENT. PER ANNUM,
and that the same will be payable on and
after Monday, the 3rd day of January, 1 92 I .
The Transfer Books of the Corporation
will be closed from Wednesday, the 15th
day of December, until Friday the 3 1 st day
of December, 1920, both days inclusive.
By Order of the Board of Directors,
A. D. LANGMUIR
General Manager.
Toronto, November 23rd, 1920.
18
THE MONETARY TIMES
The Organization for Sales in Foreign Countries
Individual and Group Representation— The Question of Stafif—
Exclusive Agencies— How the General Agents Should be Paid-
Independent Sales Sometimes May be Worked Up to Large Total
By COL. C. R. HILL,
Managing Director, Hill and Co., Ltd., Toronto
{This is the fourth of a series of articles on Practical Exporting, the first of which was published in
The Monetary Times of November 12, 1920)
A PREVIOUS article in this series has dealt with various
initial means by which the manufacturer could get into
the foreign field with his products, ultimately boiling down
the result to a decision on branch offices, agencies, or in-
dividual customers obtained through advertising, etc.
1. Branch Offices
There are two distinct forms of foreign branch offices
which have been tried by Canadian manufacturers and
which have proved, successes in some cases and failures in
others. One is the branch office of the individual manu-
facturer and the other a branch office of a group of manu-
facturers of the same or allied products. There are also
possibilities of having one foreign office with salaried staff
representing a geographical group of manufacturers, for
instance, those of one Canadian city, but this would probably
develop more into a board of commerce representation rather
than a successful sales organization.
(a) The Individual Manufacturer's Office
Some years ago a member of a wealthy Canadian firm
went abroad with a bold policy of branch offices and salaried
staffs. To-day, that firm's factory premises would cover a
large farm and their annual output always runs from 50 to
(jO per cent, export business, and the balance domestic, al-
though their name is almost a household word in Canada.
This is, of course, the most outstanding case of the success
of foreign branch offices among the Canadian manufacturers,
but probably only because others have not yet made such a
bold bid for export trade and also because the majority
cannot afford to experiment.
The decision on the forming of a branch office in a cer-
tain country can only be made advantageously by a personal
visit to that country by a responsible head of a firm or their
export or sales manager, as suggested previously, but cer-
tainly, as a general rule, it may be taken for granted that
the initial introduction of goods should be through com-
petent agents. If a branch is subsequently desired, the
terms of the agents' contract must be met to mutual satis-
faction before the office can be opened. This is sometimes
done through a basis of compensation to the agent and occa-
sionally by the absorption of the agent in the capacity of
branch manager. The latter has a great deal to commend
itself as the agent knows his old cu.stomerfe and the trade
peculiarities of his own country. On the other hand, a branch
manager sent from the head office or factory in Canada has
probably got an accurate idea of factory conditions and an
intimate knowledge of head office policies, besides being filled
with the esprit de corps of his firm. However, if the agent
is a capable executive he can probably be brought over to
Canada for an intensive training with very satisfactory
results.
The question of the branch manager's staff is also im-
portant. In England, a complete Canadian staff would prove
satisfactory, but this is not the case in countries of a differ-
ent language. In India, for instance, no white man can suc-
cessfully approach the native buyers, and sales staffs in-
variably include native "brokers."
However, all foreign branch offices should have a man
trained by the manufacturer on the staff in a responsible
position.
(b) The Group Manufacturers' Office
To successfully operate a group sales office abroad the
most important thing is to have every member of the group
thoroughly understand the basis of operation and co-oper-
ation before a foreign manager is appointed or an office
opened. .Assuming that a group of apple packers undertook
to open an office in France, they must co-ordinate their
policy of export sales and arrange the distribution of orders
as well as expenses. Each must be prepared to fill his
orders as received by the group office. Furthermore, the
group office must be careful to see that each member of the
group is given every opportunity to get his fair proportion
of business or jealousies will soon break up the group. The
first benefit of group operation is, of course, economy in the
foreign office overhead. The greatest benefit, however, is
that the foreign manager represents such powerful prin-
cipals that he is able to undertake big contracts, arrange
exhibits, etc., and generally do things on a bigger scale and
more effectively than his competitors.
2. Exclusive Agencies
Next to the salaried branch offices, the favorite basis of
representation is by an exclusive agent. The selection of
that agent is always a difficult problem and opinions vary
considerably as to what kind of man or firm forms the best
representative. Most manufacturers desire a man who is
more or less of a specialist in their line. For instance, a
manufacturer of woollen piece goods prefers an agent who
has been "born and brought up" in textiles. However, such
a qualification is only part of the battle. Probably the most
important qualification is character and clientele. The agency
which has the entree to the big buyers will eventually pro-
duce bigger sales than a smaller concern which has more
technical knowledge of the goods, but lesser influence, for
the excellent reason that the actual buyers have their own.
opinion of samples and prices without being told their own
business by a salesman. Therefore, if the product is good
and prices meet competition, the principal duty of the agent
is to get a favorable hearing, and it is easier for a well-
established house to get this than for an unknown agent,,
regardless of the latter's technical knowledge. Of course,
a combination of character, popularity and experience is ideal.
The question of the agent's financial status is a minor
matter if he is acting as a broker only, and for most pur-
poses a manufacturer is better represented by a broker than,
by a jobber or trader. The latter system resolves itself into
the manufacturer having only one customer and, no matter
how many sales he makes to his agent, he could rest as-
sured that the agent's trading profit has killed a good deal
of the market which would have developed had the agent
been a broker and quoted the manufacturer's prices to all
the jobbing and wholesale houses he could get into.
With regard to the "exclusiveness" of an agent, it may
bo taken for granted that not one agent out of a hundred
will attempt to sell goods in a market where his buyers are
at all liable to receive the same samples and quotations
from a rival. He could not afford to advertise, as he would
be assisting his rivals by every penny he spent. Neither
would he send out a sales staff on such products, as they
would undoubtedly earn more by working on the products
for which they knew they were protected on all sales.
December 3, 1920
THE MONETARY TIMES
19
Will He Like It ?
Will your friend or relative whom you name as
your Executor like to be burdened with the responsi-
bilities involved ?
You will avoid all difficulty and protect your estate
by having your lawyer draw up your Will appointing
The Union Trust Company as your Executor.
Consultations Invite,!.
Union Trust Company, Limited
HENRY F. GOODERHAM. President
TORONTO - - Cor. Richmond and Victoria Sts.
WINNIPEG. MAN. LONDON. ENGLAND
i% on Savijigs — Withdrawable by Cheque 60
Trustees Desiring to be Relieved
of their duties as such are invited to confer with us and
ascertain the satisfactory manner in which their wishes
may be accomplished. In doing so you will not be incur-
ring any expense, and will probably be surprised at the
benefits to be derived.
THE CANADA PERMANENT TRUST COMPANY
TORONTO STREET
TORONTO
Paid-up Capita
$1,000,000
W. G. Gooderh.im
Col. A. E. Gooderhan
F. Gordon Oser
E.R.C. Cla
DIRECTORS
R. S Hudson
J. H G. Hagarty
George H Smith
George W. All
) Branch: A. E. He
John Massey
John Campbell. S.S.C.
William Mulock
K.C., M.F.
Be sure your WILL is made, naming a Strong
TRUST COMPANY as your
EXECUTOR
Ask for Booklet : "The Corporate Executor."
CAPITAL. ISSUED AND SUBSCRIBED ..§1,171,700.00
PAID-UP CAPITAL AND RESERVE 1,172,00000
The Imperial Canadian Trust Co.
Execator, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE: WINNIPEG, CAN.
BRARCHBS :
w
E have 450 good businesses for sale in the central
portion of Alberta. Everything from a General
Store to a small Confectionery
If you want a business in Alberta you want us.
WHYTE & CO., LIMITED
111 F>antagea Buildi
Edmonton, Alberta
The Security Trust Company, Limited
Head Office
Calgary, Alberta
Liquidator, Trustee, Receiver, Stock and Bond Brokers,
Administrator, Execator. General Financial Agents.
M. CO.NNACHER Pres. and ManaRing Director
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for investment in all classes of Securities.
Business Agent for the R. C. Archdiocese of Vancouver.
Fiscal Agent for B. C. Municipalities.
Inquiries Invited
General Manager ■ ■ Lleut.-Col. G. H. DORRELL
—RICE & FIELDING, INC.-
FOREIGN FREIGHT FORWARDERS, CUSTOMS
BROKERS AND DRAWBACK AGENTS
81 VICTORIA ST.,
TORONTO
CODES
Cable Address Western Union Telephone
Ricefield A B C, 5th iS. 6th Editions Adelaide 935
1 CORISTINE BldC,
MONTREAL
OTHER OFnCES
11 Bro»dwav,
NEW YORK
40 Central S
BOSTON
nith either Export or Import hu.
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acts as Executor, Administrator, Trustee, Guardian, Liquidator
Assignee, and in any other fiduciary capacity.
Official Administrator for the Northern Judicial
District and the Dauphin Judicial iJistrict in
Manitoba, and Official Assignee for the Western
Judicial District in Manitoba and the Swift
Current Judicial District in Saskatchewan.
Branch Office • - Swift Current, Saskatchewan
JOHN R LITTLE, Managing Director
20
THE MONETARY TIMES
Volume 65.
In connection with an exclusive agency, it is sometimes
well to allot sales for one country to a general agent on a
big discount and allow him a free hand to organize his
country into territorial sub-agencies on a basis of lesser dis-
count. For instance, a general agent for a machinery line
might be appointed at Cape Town to cover all of South
Africa. His own discount might be 25 per cent, on all ex-
ports to South Africa. Owing to the size of the country,
he should be free to appoint territorial agents at, say. Cape
Town, Johannesburg, Port Elizabeth, East London and Dur-
ban and offer them 20 per cent, discounts. They, in turn,
sell to all possible buyers in their respective districts with
or without discounts. At first sight, it would appear that
the general agent at Cape Town made his 5 per cent, on all
sales without subsequently earning it, but if his judgment
has been good the territorial agents will develop big sales
and satisfy the manufacturer. If the general agent's selec-
tion has been bad, he will know it before the manufacturer
and effect a remedy.
.3. Independent Customers
Reference has been made in the second article of this
series on getting into the export field through foreign ad-
vertising, resulting in independent customers.
There are certain lines required for re-manufacture,
such as leather, cotton and woollen piece goods, Portland
cement, etc., whore the retiulation of the manufacturer is
of great importance, and the brand or trade mark of very
little, to the "ultimate consumer." For instance, ten boot
and shoe manufacturers in Rome might buy sole leather from
the same Canadian manufacturer and be indifferent to the
idea of twenty more rivals buying the same leather. Five
contracting firms in Havana might all be using the same
brand of cement made by a Canadian cement manufacturer.
As long as it is standard Portland cement and the manu-
facturer's reputation is good, no exclusive agency is necessary.
Therefore, certain classes of manufacturers may secure
satisfactory results by doing without foreign branch ofTices
or exclusive agency contracts and confine their export efforts
to adverti-sing and subsequent mail order business. By so
doing they save salaries or commissions, but the manufac-
turer who wishes to do a big export business on goods which
go from his factory to the public must have something better
than silent salesmen.
ALHERTA ASSOCIATION OF MUNICIPAL DISTRICTS
Objection to Control Through Provincial Public Utilities
Board— Discuss Changes in Municipal Hail Insurance
THE 12th annual convention of the Alberta Association of
Municipal Districts was held in Calgary, November 22,
28 and 24. Mayor R. C. Marshall opened the convention, and
Robert Gardiner, of Excel, Alta., vice-president, responded.
VV. J. .lackman presented his report as secretary.
The .Alberta Public Utilities' Commission was strongly
criticized, and a resolution was carried unanimously to the
effect that the Utilities Commission or any other similar body
be not allowed to interfere in the matter of the reduction of
municipal taxes, or in the matter of municipal tax sales. The
question was brought up by the reading of a resolution sub-
mitted by Grosmont district: "That the municipal districts
shall have the authority to accept such compromise as they
think fit in the matter of subdivided lands that are now non-
productive, and that the proceeds shall be divided pro rata
between the taxing authorities after all expenses have been
deducted."'
The delegate from Shepard district cited the case of a
decision by the Utilities Commission, whereby he stated that
municipal and school taxes had been compromised on a
certain piece of property, but the provincial taxes allowed to
stand. He declai-ed that this was unjust, and added: ".Tudge
Carpenter's commission should be put out of business. We
know what we want in our individual districts and are better
able to adjudicate on matters appertaining to taxation and
compromise of taxes than is the commission."
Hon. C. R. Mitchell, minister of municipal affairs, stated
that an instance such as that recounted by the previous
speaker was as objectionable to him as to the municipalities
themselves, and that he was prepared to recommend legisla-
tion that would remove any form of discrimination in that re-
spect. A delegate asked the minister if there was any ap-
peal to the department from the findings of the utilities or
subdivided lands commission. "There is nothing provided in
the act," replied Mr. Mitchell, "but representations have
been received by the department, and I am always prepared
to hear them in future."
Aid. S. H. Adams, Calgary, addressed the convention as
a representative of the Alberta Union of Municipalities. He
pointed out the need for co-operation between the urban
centres and the rural municipal districts, and advanced the
suggestion that future conventions of these bodies should be
held in the same city and at the same time, in order that
better facilities for getting together on problems of mutual
interest might be afforded.
A. J. H. Donahue, of Foremost, was re-elected presi-
dent.
Hail Insurance Discussed
Following this convention, special representatives met
to consider amendments to the Provincial Hail Insurance Act
which had been suggested by the Hail Insurance Board. A
proposal for an amendment to the municipal hail insurance
act that would raise the awards payable in case of loss from
$10 to $20 an acre was defeated. It was stated by the chair-
man of the board, E. H. Malcolm, that if such a raise should
be put into effect by the legislature, it would necessitate re-
insurance by the board, and that in any case such a measure
would be sure to meet with marked opposition from all
quarters.
Several other amendments to the hail insurance act were
discussed, many of them having been brought before the
conference by the board. Robert Gardiner, of Excel, occu-
pied the chair, and introduced a number of amendments that
were carried unanimously. It was recommended that the act
be amended so that in the event of the owner of any land
upon which a crop is growing failing to make a proper crop
report in time, a repoi't made by the secretary of the
municipal district to the board as to the acreage upon which
a hail claim shall be paid, and on which taxes shall be levied,
shall be deemed the correct status for the present year. The
secretary must also notify the owner of the crop as to his
decision.
E. P. Malcolm gave a brief resume of the activities of
the hail board in Alberta, and the operation of the Insurance
Act during the past seven years. Assessments in that
period, he said, have amounted to approximately $4,000,000,
and out of that sum $3,154,447 has been returned to the
farmers in the way of awards for losses sustained. All
claims have been paid at 100 cents in the dollar. 92.1'5 per
cent, of the total assessments have been expended for awards
and surplus, while the expenses have amounted to only 7.85
per cent, of the total.
This year, Mr. Malcolm stated, the losses were less
than the average, the total amount of claims paid being $880,-
000, districts that have usually been considered fairly im-
mune suffered the greatest losses. It had been felt by the
board that this was a good year in which to build up a
surplus so that the rate had been again fixed at six per cent.
The surplus on this year's operations will amount to roughly
$300,000. Two thousand and forty-four claims were received
in 1920, and all were a<ijusted quickly. The average time
elapsing between the date of the storm and the date of adjust-
ment was nine days, and the time between adjustment and
payment of the claim was 14 days.
Mr. Malcolm stated that the board felt that they had
reason to feel proud of the fact that during the seven years
in which the act had been operating, over $4,000,000 had
been handled, and that not a scintilla of evidence of any
scandal, graft or maladministration had ever been known.
December 3, 1920
THE MONETARY TIMES
Saskatchewan General Trusts
Corporation, Limited
Head Office: Regina, Sask.
Executor Administrator Assignee Trustee
Special atteation given Mortgage Investments, Collections,
Management of Properties for Absentees and
all other agency business.
BOAKD OF DIKECTOKi«:
W. T. MOLLARD, President G. H. BARR. KC. Vice-President
H. E. Sampson K.C. A. L. Gordon, K.C. J. A M. Patrick. KC.
David Low, M.D. W. H. Duncan J. A. McBride
Chas. WiUoughby William Wilson
E. E. MURPHY. General Manager
Official Administrator for tfie Judicial District of Weyburn
(Trustee under Bankruptcy Act)
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JOHN J. GIBSON, Managing Directo
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THE MONETARY TIMES
Volume 65.
PUBLIC OPINION AND PRICES
Antagonism Has Not Brought Them Down — Deflation Has
Been One of the Real Factors
WIDESPREAD and emphatic as has been the popular
antagonism to high prices, this has not been the real
instrument in checking the rise and bringing about the grad-
ual reduction now under way. Such was the contention ad-
vanced by Dr. T. S. Boggs, Professor of Economics, in the
University of British Columbia, in an address in Vancouver,
recently. The speaker traced the upward trend of com-
modity prices from the beginning of the war until six or
eight months ago, and ascribed reasons for the recent evi-
dences of decline. In this way he sought to explain the
present uncertainty in the commercial world.
Three causes were assigned for the increase in prices
which began in 1914. These were the destruction of wealth,
the withdrawal from production for destructive purposes of
millions of workers, and the increase in the supply of paper
money and credit.
Statistical Evidence
Indicative of the inflation was that the thirty principal
nations of the world had in 1914 seven and a quarter billions
of paper money, while in 191!) this figure had grown to fifty
billions. The gold reserve against this paper was 70 per
■cent, in 1914 and only 12 per cent, in 1919. Leaving aside
Russia, the most extreme example of this inflation was
Austria, which in 1914 had less than .')00,000,000 of paper
currency and now had ten billion. The gold reserve had
shrunk from 55 per cent, to half of one per cent.
In the direction of issuing paper money, Canada, Great
Britain and the United States had sinned less than other
nations, but inflation had been obtained in these countries
by extension of bank credits. He drew attention to the fact
that this inflation had occurred at a time when production
of wealth was below normal, making the situation doubly
accentuated. "The peak of prices has passed," said Prof.
Boggs, "but some commodities will continue to rise. The
general tendency, however, will be downwards for some
time to come." The reasons for this, he said, were that pro-
duction was increasing rapidly and would soon be above
pre-war levels, and that the hostility of consumers was in-
creasing.
Have Gone on Strike
"Consumers have practically gone on strike," he said,
"but I think the importance of this factor can be over-esti-
mated. There has been such hostility from the first, mani-
fested in demands for commerce boards, food control, maxi-
mum prices, restrictive legislation and other measures which
have been attempted. In spite of these, however, the prices
continued upward. The check did not come until the real
controlling factor, deflation, was put into activity." This did
not occur until six or eight months ago and was now general
throughout all the three countries mentioned. Deflation was
the controlling factor, he said, and must be carried through.
It must be done intelligently and not too quickly, however,
if a panic was to be avoided. Crises had occurred in the past
with less reason than the world now had at its finger-tips.
Cuba and Japan had already experienced such crises, but
these could easily have been predicted because of the too
sudden restriction of credit.
Deflation took eight years after the Napoleonic war and
twelve years after the Civil War. Conditions to-day were on
a larger scale, but fundamentally similar. With the restric-
tion of credit and the consequent check on extravagance the
individual business man became nervous and apprehensive
and this spirit did not take long to spread throughout the
community. With a falling market merchants and manu-
facturers were naturally nervous even though their fears
were not always fulfilled. Such a period of depression must
be experienced, as the deflation was a vital necessity, he as-
serted, but if carried out sanely and conservatively would
not prove anything but beneficial in the long run.
SASKATCHEWAN MUNICIPALITIES HAD SUCCESS-
FUL YEAR
Bad Crops in 1919 Caused Decrease in Revenue, However —
Expenditure Cut Down and Tax Arrears Increased
A REPORT of the Saskatchewan Department of Municipal
Affairs for the year ended April 30, 1920, says in
part: —
"Despite unsatisfactory crop returns over a consider-
able portion of the province, owing to unfavorable climatic
conditions during the season of 1919, the municipalities of
Saskatchewan have completed another successful year. The
diminished returns received by the farmers in the western
section of the province are reflected in a curtailment of ex-
penditure on the part of the municipalities and an increase
in the amount of unpaid taxes. In the older portions of the
province, particularly in those sections where the crop re-
sults were up to the average, the financial standing of the
municipalities continues to be extremely satisfactory. In
seven rural municipalities, fifty-eight villages and five towns
more than 90 per cent, of the taxes were collected in the
year 1919; while in seventy-seven rural municipalities, one
hundred and forty-two villages and sixteen towns the col-
lections exceeded 75 per cent.
Higher Standard in Municipal Work
"The work of the municipalities is increasing both in
volume and importance from year to year. Each year large
sums of money are handled through the office of the secre-
tary-treasurer and it is very essential that competent men
be placed in charge of municipal offices and that the records
and accounts of the municipality be carefully and efficiently
audited. I am pleased to report that there is evidence of an
increased sense of responsibility on the part of councillors
in the matter of the appointment of their secretary-treas-
urers, and a fuller realization that qualified men can only
be obtained by the payment of adequate salaries. The num-
ber of changes in secretary-treasurers during the year con-
tinues, however, to be large. This may be due in some
measure to conditions resulting from the war. Too great
emphasis cannot be placed upon the matter of the selection
of the auditor for the municipality. The municipality is a
business institution and the greatest care should be taken
that only qualified auditors are chosen to audit its books and
accounts. I am pleased to note a growing disposition on the
part of the councils of the municipalities to employ the ser-
vices of chartered accountants. In the year 1919 one hun-
dred and fifty-three rural municipalities, ninety-three vil-
lages and thirty-eight towns were audited by chartered ac-
countants.
"In the average rural municipality the largest item of
municipal expenditure is that for roads and bridges. Dur-
ing the year 1919 the rural municipalities of the province
expended the sum of $2,535,320 in the construction and im-
provement of roads."
BEWARE OF Rl RGL.VRY "INSPECTORS"
A warning is issued by the president of the Burglary
Underwriters' Association of Canada regarding persons
claiming to be insui-ance inspectors. The notice states: —
"It has come to our knowledge that certain persons have
been calling at residences, claiming to represent burglary
insurance companies, and asking to inspect the premises,
making enquirj- particularly as to where jewellery, furs and
other valuables are located.
"The public are advised under no circumstances to allow
any person to inspect their property without first making
absolutely sure that they are properly authorized and seeing
their credentials, as it is thought that suspicious characters
may be using this means to gain advance knowledge of
premises they intend to burglarize."
December 3, 1920
THE MONETARY T I .M E S
INTEREST
RETURN
INVEST YOUR SAVINGS
in a 5K% DEBENTURE of
The Great West Permanent
Loan Company
SECLRITY
Paid-up Capital $2,412,578.81
Reserves 964,459.39
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Calgary,
Edmonton, Vancouver, Victoria ; Edinburgh,
I Scotland.
CANADA PERMANENT
MORTGAGE CORPORATION
QUARTERLY DIVIDEND
Notice is hereby given that a Dividend of TWO and
ONE-HALF PER CENT, for the current quarter being at
the rate of j^^ ^^^ ^^^^ ^^^ ANNUM
on the paid-up Capital Stock of the Corporation, has been
declared, and that the same v/ill be payable
MONDAY, THE THIRD DAY OF JANUARY
next, to Shareholders of record at the close of business on
the Fifteenth day of December.
By order of the Board,
CEO. H SMITH. Assistant General Manager.
Toronto, November 24th. 1920.
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
.Masonic Temple Building. London. Canada
Interest at 4 per cent, payable half-yearly on Debentures
T. H. PURDOM. K.C.. President NATHANIEL HILLS. Manager
London and Canadian Loan and Agency Co., Limited
Established IS73 31 VO.VbE ST., TORO.VTO
Paid-up Capital. 3l.250.000 Rest. $9oO.OOO Total Assets. ?5.083.S72
Debentares issued, one hundred dollars and upwards, one to five years-
Best current rates. Interest payable half-yearly. These Debentures are an
Authorized Trustee Investment. Mortgage Loans made in Ontario, Mani-
toba and Saskatchewan.
WILLIAM VVEDD. Secretarj- V. B. WADSWORTH. Manager
^""^ Ontario Loan
& Debenture Co.
LONDON I.N-CORPORATED 1870
CAPITAL AND Undivided Profits
Cftnada
$3,900,000
5^1
SHORT TERM (3 TO 5 YEARS)
DEBENTURES
YIELD IlSrVESTORS
551
JOH.V McCLARY. President
A. M. SMART, Manager
r^VER 200 Corporations,
^^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Office, No. 13 Toronto Street
Capital Account. .<>;24,3.30.00 Reserve Fund. SSTO.OOO.OO
Total Assets. S3.«49.IM,26
President. WhLLINOTON FRANCIS. Esq.. K.C.
Vice-President, HERBERT LA.S'GLOIS. Esq.
Debentures issued to pay 5%. a Legal Investment for Trust Funds.
Deposits received at 4% interest, withdrawable by cheque.
Loans made on improved Real K'state on favorable terms.
■WALTER GILLESPIE. Manager
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
Particulars on application.
The Canada Standard Loan Company
520 Mclntyre Block, Winnipeg
ACCOUNT BOOKS
Loose leaf Ledgers
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS umited
Simcoe and Pearl Streets
TORONTO
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Western Muiilrlpal. Sriiool and Sanbatcliewan Knral Tele.
phone in. <Iebpnllirr» ^pcrlnllreii In.
Correspondence invited
GRAINGER BUILDING - - SASKATOON
F. S. RATLIFF & CO.
FARM LANDS-FARM LOANS
STOCKS AND BONDS
Medicine Hat
24
THE MONETARY TIMES
CANADA'S TRADf: STATEMENT REFLECTS FEW
CHANGES
Exports to United States Show Slight Improvement— Over-
seas Demand for Our Farm Produce Not Yet Apparent
AN increase in exports to the United States is the only
marlc of improvement in the trade statement for the
twelve months ended October, 1920. The September report
showed exports to that country of $512,845,759, while the
latest exhibit shows the figure at $530,124,824. This im-
provement was due to the movement of grain, but up to the
end of October only a very small proportion of the crops had
left the country, so that subsequent statements should give a
much better standing. Small overseas demand for our farm
produce is further emphasized in the figures of export to
European countries, particularly in the case of the United
Kingdom.
Twelve Months ending October
OR Consumption
Total imports (mdse.) .
Duty collected
Exports
Total exports (mdse.)
Imports bv Countries
United Kingdom
Australia
British Kast Indies
British Guiana
British South Africa
British West Indies
H ong Kong
Newfoundland
New Zealand
Other British Empire
Argentine Rcpubll<:
Belgium
Brazil
China
Cuba
Prance
Greece
Italy
Japan
Netherlands
United States
Other Foreign Countries
Exports dy Countries
(Canadian Produce only.)
United Kingdom
Australia
British East Indies
British Guiana
British South Africa
British West Indies
Hong Kong
Newfoundland
New Zealand
Other British Empire
Argentine Republic
Belgium
1.371,386.423
Italy
Japan. ...
Netherlands
United States
Other Foreign Countr
69,654,87,')
3.967,701
17,292,461
S.507,911
784,592
8,163,475
2.334,571
3.123,041
6,034.807
1.831,137
1.088,323
7.759
783,960
1,795,163
1.699,647
3,986,907
19.150
653,360
13.093,926
675,460
736,102,436
17.496.789
693.895,712
11,150,641
2,470,580
2,275.881
8,911,861
8,370,319
594,415
11,109,432
4.783.336
^,341,660
2,137,266
1.145,661
3,885.370
2,825,024
4.321,161
115,231.069
7.475
6.440.901
9.113,776
1,172.499
424,179 972
9.607,219
902,359.438 1.339,639,454
81,.S73,I00
2,977,571
I2,116,2i)9
7.869.!)S8
1,012.277
10.109.048
1,1)49,9(10
2.305.469
5.2.53,878
801.225
2.2,58,649
47.105
1„597.478
1 .289,570
9,430,216
5,562,934
88.843
575,694
12.443.570
1.147,163
713,473.253
28.776.648
226,052.127
1.703,515
19.361,334
6,837,820
517,183
16.514.362
4,786.484
2.925,874
4.293.7.58
I .797.639
3.750,012
3.765.156
2.675.700
1.963,957
35,329.411
20.052,099
1.010,061
1.845.8.53
14,943,657
3.,564.084
923,938.186
42.011.182.
FIR AUCTION TO HE HELD
Tlio Canadian Fur Auction Sales Company, Ltd.. has
announced that mid-winter auction sales of furs will take
place in Montreal on .January 31st next and following days.
The warehouse of the company, it was stated, will be open
for the inspection of samples from January 27th onwards.
The fur market, it is said in trade circles, is in a much better
condition than for some time past, and it is expected that
the sale will attract an attendance of buyers oven more
numerous than that which characterized the initial successful
auction of the Canadian company.
I'OST-OFFICE SAVINGS BANKS
A slightly better showing was made by the post-office
savings banks for the month of August. Deposits were about
$300 lower than in July, but withdrawals were also re-
duced to the extent of about $134,000. The following are the
August details: —
Balance in hands of the Minister', S cts.
of Finance on 31st July. 1920... 29,795.421.40
EPOSITS in the Post Office Sav
ings Bank during month
Principal
Interest accrued
from 1st April to
date of transfer. . .
Deposits transferred from
Post Office Savings Bank of the
United Kingdom to the Post
Office Savings Bank of Canada
Interest accrued on depositors'
accounts and made principal
31st March 1920, Estimate .
Interest allowed to Depositors
on accounts closed during
month
4.926.951
30,427,416.24
Balance at the credit
of Depositors" ac
counts on 31st
Aug.. 1920
MONTREAL AND QUEBEC SAVINGS INSTITUTIONS
■•A decline in Dominion government demand deposits and
a small increase in savings deposits are the only outstanding
items in the monthly statements of the Montreal City and
District Savings Bank and the Caisse d'Economie de Notre
Dame de Quebec. The loans accounts, as a whole, were
almost stationary, while holdings of Canadian municipal
securities were considerably lower. The cash position of
both institutions was strengthened. Principal figures, with
comparisons, are as follows: —
Montreal City and District Savings Bank
Oct., 1920. Sept., 1920.
Dom. gov. dem. dep... $ 200,043 $ 260,043
Notice deposits 43,950,117 43,889,372
Total liabilities 44,612,689 44,579,544
Gov. and other sec. . . . 12,277,009 12,221,099
Cash 7,037,959 6,785,748
Can. municipal sec 15,074,560 15,316,253
Loans on bank stocks. 809,815 781,537
Loans on other sec. . . 9,576,381 9,610,628
Total assets 47,646,735 47,425,548
Caisse d'Economie de Notre Dame
Oct., 1920. Sept., 1920.
Dom. gov. dem. dep... $ 7,628 $ 33,628
Notice deposits 10,507,703 10,324,364
Total liabilities 11,540,494 11,237,745
Gov. and other sec. . . . 1,679,093 1,679,093
Cash 1,520,242 1,326,916
Can. municipal sec. . . . 4,070,941 4,074,780
Loans on bank stocks. 305,855 313,631
Loans on other sec. . . 3,213,922 3,203,326
Total assets 13,437,004 13,134,255
Oct., 1919.
$ 93,599
40,253,569
40,764,462
9,543,940
7,017,558
15,481,022
791,436
7,268,848
43,760,786
Oct., 1919.
$10,688,489
11,396,673
1,63S,209
1,869,093
4,087,966
273,385
3,070,713
13,206,874
The Fire Insurance Association of Montreal, which last
year held regular mcotinijrs, has ceased operations tempor-
arily and there will be no program of educational lectures
to be carried out.
December 3. 1920 THE MONETARY TIMES
The Merchants Bank of Canada
Complete Organization o£ 399 Branches across Canada at the
service of Canadian Trade and Industry and
the Canadian Farmer
Half- Yearly Statement
Statement to the Dominion Government (Condensed) as at October 30th, 1920,
with comparison with October 31st, 1919.
ASSETS 1920 1919
Gold Coin, Dom. Notes and Gr. Balances with Bank-
ing Correspondents $ 30,630,351.09 $ 25,642,136.33
Deposit in the Central Gold Reserve 7,500,000.00 8,000,000.00
Government and Municipal Securities 21,114,908.29 36,240,352.41
Railway and other Bonds, Debentures and Stocks 3,837,377.14 3,870,611.91
Call Loans in Canada 8,254,586.81 6,843,017.57
Call Loans elsewhere than in Canada 4,179,236.55 3,418,846.99
Loans and Discounts 120,515,463.60 102,346,564.37
Loans and Discounts elsewhere 1,340,428.69 329,334.27
Loans to Municipalities 4,635,381.80 3,578,382.16
Liabilities of Customers under Letters of Credit per
contra. 2,491,664.35 757,606.04
Bank Premises 3,192,734.42 5,663.251.73
Real Estate other than Bank Premises 602,748.47 911,291.19
Mortgages on Real Estate sold by the Bank 705,567.02 528,177.93
Deposit with Dominion Government for purposes of Cir-
culation Fund 450,000.00 377,000.00
$209,450.448.23 " $198.506.572.90
LIABILITIES
Capital Paid Up ; $ 9,955,970.00 $ 8,341.535.30
Reserve Fund 8,400,000.00 7,000,000.00
Undivided Profits '. 260,774.98 574,043.32
Notes in Circulation 17,707,977.00 15,827,373.00
Deposits 170,634,061.90 166,006,015.24
Acceptances under Letters of Credit • . • 2,491.664.35 757,606.04
$209,450,448.23 $198,506,572.90
Head Office - Montreal
In addition to its complete service across Canada, The Merchants Bank
of Canada is helping in the development of Export Trade, through its
offices in New York and London, England.
Banking Connections throughout the World
THE MONETARY TIMES
Volume 65.
ONTARIO ASSOCIATED BOARDS OF TRADE
Meeting at Belleville Discusses Power Question, and System
of Land Titles in Province
THE seventh annual meeting of the Ontario Associated
Boards of Trade and Chambers of Commerce was held
in Belleville, Ont., November 25 and 26. The president, Wm.
Taylor, of Owen Sound, occupied the chair. F. G. Morley,
of Toronto, secretary-treasurer, presented his report show-
ing that fifty-seven boards were affiliated with the associa-
tion, six new boards having been added since the last annual
meeting. Resolutions expressing gratitude to the board of
trade of Toronto relative to the hospitable manner it enter-
tained the delegates in the Ninth Congress of Commerce of
the British Empire, and commending the government for
giving encouragement to aviation, also endorsing the pro-
position for the extension of the Temiskaming and Northern
Ontario Railway to James Bay.
.\ resolution, moved by the Toronto board, was carried,
supporting the continuance of appeals from the Canadian
Courts to the Judicial Committee of the Privy Council.
Differences on Power Question
R. J. Graham, of Belleville, introduced a resolution urg-
ing the government to utilize all water powers, and en-
courage and aid in the development of every possible unit
of electrical energy at reasonable cost for manufacturing,
mining and domestic purposes, and to supply the lack of
fuel, and to render the province of Ontario less dependent
on the United States for its supply. While the resolution
was unanimously adopted by the meeting considerable dis-
cussion was precipitated before that was done. R. R. Hall,
M.L.A., in a somewhat lengthy speech, expressed the opinion
that the Hydro-Electric Commission had been remiss in its
duty, and had misapplied the funds of the people. W. B.
Burgoyne, ex-mayor of St. Catharines, strongly supported
the Ontario Hydro-Electric Power Commission, and claimed
that it had not failed in any way to supply the people of
Ontario with power-. As for hydro-electric radial railways,
it was the municipalities themselves that should be respon-
sible for the movement in favor of radials, Mr. Burgoyne
asserted.
Advocates Torrens System
A resolution was passed in favor of the adoption of the
Torrens system of land titles wherever possible, and it was
claimed that this system would make it easier for people
to buy land than the present method of establishing titles
to land.
On motion of J. K. Dunstan, vice-pi-esident of the Bell
Telephone Co., Toronto, a resolution was passed in favor, of
greater uniformity between the assessment and taxation
methods throughout the Dominion and urging that the
methods of assessment and taxation be standardized.
It was decided to hold the convention next year in
Brantford, Ont.
Oflicers were elected as follows: President, John Elliot,
Belleville; first vice-pres., Col. H. Brock, Toronto; second
vice-pres., G. C. Copley, Hamilton; third vice-pres., M. P.
Byrnes, Collingwood; sec.-treas., F. G. Morley, Toronto;
executive, G. C. Martin, Hamilton; Cecil Bethunc, Ottawa;
.\rthur Hewitt, Toronto; John Ferguson, North Bay; A. B.
Carscalen, Wallaceburg; Col. W. F. Cockshutt, Brantford;
E. A. Porter, St. Thomas; K. J. Dunstan. Toronto: J. G.
Hannigan, Guelph; J. G. Henry, Sudbury; J. A. Hussey,
Sault Ste. Marie; G. F. McKimni, Smith's Falls and J. A.
Mclnnes, Iroquois Falls.
The Mann Corporation, of Chicago, 111., a subsidiary of
the Deering Plough Company, has awarded contracts to the
Western Construction Company, of Vancouver, for the build-
ing of eight miles of logging railway in the Lillooet River
district. When the railway is completed it is estimated that
900,000,000 feet of commercial timber will be made accessible.
■ ■■■■■■■■■■■■■■■■■■-I
An Essential Factor
in Stock Investment
Correctjudgment as to the
true strength or w^eakness
of a preferred or common
stock depends largely upon
a proper analysis of the
facts disclosed by the
balance sheet of the Com-
pany issuing the security.
It is quite possible for any
Investor to obtain access to
the balance sheets of Can-
adian industrial concerns.
But to compile the facts
obtained from eighty or
more such documents is a
task w^hich the average
1 investor w^ould find most
difficult.
We have accomplished it
for him — and the result is
published in the latest
edition of our Analysis of
Canadian Stocks, show^ing
comparative figures that
are most interesting.
A copy sent free to'^you
on application.
Greenshields & Co.
Investment Bankers
14 King Street East, Toronto
Montreal Ottawa
^■■■■■■■■■■■■■■■■■f
December 3. 1920
THE JIONETARY TIMES
Penniless Old Men
You know many of them— men who in
their prime made plenty of money, but
who spent as freely as they earned. Old
age finds them in a sorry plight.
You can escape their bitter experience if you
will. A few dollars saved each year and in-
vested in an Imperial Endowment will provide
for your comfort in old age. Or it will take
care of your family should death call you early.
Write for a free copy of our very interesting
booklet entitled "Penniless Old Men." Address:
THE IMPERIAL LIFE
Assurance Company of Canada
HEAD OFFICE - TORONTO
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THE MONETARY TIMES
Volume 65.
NEW 0K(;AN1/ATI0N FOK northwest ONTARIO
Union of .Municipalitk's Formed at Meeting of Central
Canada Colonization and Highway Association
By C. BiKKETT, Fort William, Ont. ■
THE annual meeting of the Central Canada Colonization
and Highway Association was held in Fort William
on November 23 and 24. It was a history making confer-
ence as well as an unique one. Representatives were pre-
sent fi-om the four provincial electoral ridings of Fort Wil-
liam, Port Arthur, Rainy River and Kenora, an area which
is larger in extent than that of the province of Manitoba.
One hundred delegates were present from the different
public service organizations. There were representatives
from the city councils, boards of trade. Independent Labor
Party, U.F.O., Rotary Club, Kiwanis Club, Motor Club, muni-
cipal leagues and rural municipalities. It was an instructive
and a business conference. No time was lost in foolish
discussion. These delegates had met with one object: that
was to find ways and means of improving existing condi-
tions in this part of Ontario, and also to find ways and
means of bringing in new settlers.
Appearance is Deceptive
This part of Ontario is rich in minerals and timber.
Travellers passing through the country, sitting in the arm
chair of a Pullman observation car refer to the country as
a barren wilderness. If they could have only heard some of
the delegates explain the richness of the country, the won-
derful crops of clover, roots, etc., that were being raised,
how they would change their opinions. There are large
tracts of land in this immense country that are waiting the
hand of the settler. The soil is productive and farmers al-
ready settled here speak highly of climatic conditions.
Tme, it takes hard work to clear the land, but with
pulp wood ranging high in price as at present, a settler is
assured of a fairly substantial income while preparing the
land from the sale of this commodity. One delegate stated
that he had farmed in the north of England and other parts
of the empire, but he had yet to find better crops of roots,
or better variety, than those grown here and shown at the
different fall fairs.
Municipalities Union Formed
Two or three outstanding resolutions were unanimously
adopted. The first one of primary importance was the for-
mation of a union of municipalities in the four electoral dis-
tricts. A temporary organization was formed with Norman
M. Paterson, a Fort William business man, as president, the
mayors of Fort William, Port Arthur, Kenora and Fort Fran-
cis as the executive committee with the writer as temporary
secretary.
These gentlemen will immediately begin to organize a
strong union of all the organized and unorganized munici-
palities in this part of Ontario. They will correlate and
co-ordinate all existing efforts and present a united front
to the provincial and federal governments. The primary
and fundamental function of the union of municipalities will
be to bring in more settlers, which can only be done syste-
matically, after the building of colonization roads. The
new organization has the best wishes of every citizen in
northwest Ontario.
The .second resolution, which was unanimously accepted,
has reference to the appointment of colonization agents in
the four electoral districts, and the provincial government
will be asked to appoint these gentlemen. There was a
slight difference of opinion as to whether one colonization
agent would not be sufficient for the four districts, but the
resolution as passed called for the appointment of four offi-
cers, one for each riding. Whether one or four are appointed
there is sufficient work to keep them busy for the next
twenty years.
The piovincial government will be well advised to listen
to the pleadings of this resolution. It is the concensus of
opinion that nothing will do more good to open up our part;
of the province than the appointment of these colonization
agents.
Better Roads Wanted
The third resolution has reference to the building of
roads for agricultural purposes only. This part of Ontario
is undoubtedly lacking in this respect and previous govern-
ments have not had any definite programme in this regard.
It can be definitely said without any fear of successful con-
tradiction that the provincial government has over a period
of six or seven years received a million dollars more revenue
than expenditures from these four districts. This million
dollars should be immediately spent on the building of roads
and the bringing in of settlers.
These delegates did not and do not believe that the pro-
vincial government is being asked for anything that is not
fair and honest. Every dollar spent by the provincial gov-
ernment in the opening up of this immense territory will,
we think, be returned with interest in the course of a few
years.
There was only one rift in the lute. The Hon. Frank
H. Keefer, K.C., M.P., under secretary for external affairs,
Ottawa, was a guest of the convention and made a fighting
speech in favor of these four electoral districts seceding
from old Ontario. It was replete with information in the
way of statistics, and created a very favorable .impression on
the minds of his listeners. Being a guest, however, to the
convention, his speech was not discussed and no resolutions
were passed in this regard. Nevertheless, it can be truth-
fully said that there is a strong under-cui-rent prevailing in
this regard, and it depends to a marked extent on the treat-
ment of the provincial government to this part of Ontario,
as to whether this feeling grows or dies a natural death.
BELLEVILLE CONSIDERS MUNICIPAL INSURANCE
The question of municipal fire insurance was brought
to the attention of the Belleville, Ont., council by Messrs.
J. N. Pringle and W. C. Mikel, K.C. The idea is that muni-
cipal insurance could be made compulsoi-y and the premiums
collected with the taxes. In this city the real estate is valued
at between five and six million dollars and about five million
of personal property available for insurance. It is estimated
that between $25,000 and $50,000 a year could be made for
the city, and yet not add to the burden of the taxpayers.
The matter was referred to the executive committee of the
council for consideration.
BRITISH COLUMBIA REPORTS SURPLUS
British Columbia, for the last year, has had a surplus
of revenue over expenditures, according to the financial state-
ment made public on November 29 by Hon. John Hart, min-
ister of finance. The statement shows a total revenue for
the fiscal year ended March :n, 1920, of $13,861,605, and ex-
penditure for the same period of $13,511,123. This leaves
the province with a net surplus for the year of $350,470.
In announcing a financial policy for British Columbia,
Hon. John Hart, minister of finance, states that it is the
intention to establish a provincial bank, so the government
can assist dependents and keep the money of the people in
this province for the development of the country instead of
having it sent east by the banks of Canada through their
branch system and loaned out at high rates in Toronto,
Montreal and New York. Another feature of the policy is
the proposal to establish a capital reserve fund in which all
moneys from the sale of natural resources must be placed.
This capital fund would never be impaired, but loaned out
on interest for the development of British Columbia.
December 3, 1920 THEMONETARYTIMES 29
'JiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiMiimiiiiiiiiiiiiiiii^
I CHARTERED ACCOUNTANTS |
niiiiiiiiiiiiiiiiiiMiiiiiiiiiiMiiiiiiiiiiiiiiiiiiiiiiiiitiiiiiiiMMiiniiiiniiiiiiiiiiiiiiuiiiiiiiiiMiniiiiiiiiiiiiiiiiiiiiiiiiiiitiiiiiiiiiiMiiitiuiiiiiiii
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OFFICES AT
Edmonton • Alberta
Toronto - Oot.
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Specialist on Taxation Problems
Bank of Toronto Chambers
LONDON - ONTARIO
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
W. A. Bawden,
Walesl.
C.A. (P.C.A
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Engla
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nd and
BAWDEN
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&
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Charter
ed Accou
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CENTRAL BUILDING, VICTORIA
Branch at Nanaimo. B.C.
, B.C.
Telegraph
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c and Cable A
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ddress
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CHARLES D. CORBOULD
Chartered Accountant and Auditor
ONTARIO AND MANITOBA
649 Somerset Block. AVinnipeg
,Eng..
Established I88i
W. A. Henderson & Co.
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508-509 Electric Railway Chambers
Winnipeg, Man.
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
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AND AT:-
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Winnipeg
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Specialists on Factory Cost
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Bank of TORONTO
Hamilton Bldg. * '-'IVVJI'M 1 V^
Hubert Reade & Company
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Auditors, Etc.
407-408 MONTREAL TRUST BUILDING
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GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Main 7014
LUMSDEN BUILDING - - TORONTO, CANADA
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRIGGS & CO.
Winnipeg, Toronto, Saskatoon, Moose Jaw,
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CLARKSON, GORDON & DILWORTH
Chartered Accountants, Trustees.
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Merchants Bank Bldg.. IS Wellington Street West Toroni
0. T. Clarks
Established 1864 r. j. Dilwor
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Chartered Accountants
TRUST & LOAN BUILDING, WINNIPEG
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604 .McGiLL BulLDlNO, MONTREAL
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30
THE MONETARY TIMES
PAYMENT TO LIFE INSURANCE BENEFICIARIES
Alberta Law Held to Govirn Situs of Debt, but Ontario Law
to Govern Distribution to Beneficiaries
IN an application by executors for advice as to the dis-
tribution of life insurance policies the Alberta Supreme
Court held tliat section 43, chapters 8, 5, George V., 1915,
which provides that the money payable under any policy of
life insurance "shall ... be payable in the province" where
the assured is or dies domiciled therein, does not purport
to do more than declare where the debt is payable; it can-
not be construed as holding that the law of the province
governs in the construction of the contract when made in
another province.
The facts of the case are: The Confederation Life
Association on June 3, 1887, issued a policy for $1,000 on
the life of John J. Mellon in favor of himself, and on May
5, 1897, the insured executed a declaration in which he
appointed his wife, Amelia Mellon, and daughter, Amelia
Elizabeth Mellon, beneficiaries under said policy. His wife
predeceased him and the insurance company paid the pro-
ceeds of the policy to his daughter, surviving beneficiary.
Insured Became Insane
The Grand Orange Lodge of B.N. A. issued a policy
on the life of the said Mellon for $1,000 payable to himself
and the proceeds of such policy were paid into Court pur-
suant to an order of Justice Scott, and the insurer was re-
leased from any further liability in respect of same.
At the date of his death Mellon was a resident and
domiciled in the province of Alberta. On March 25, 1914,
Mellon became insane and died in a sanitarium in Guelph,
Ontario, on March 4, 1918.
The questions raised in the application are: (1) Does
the will make a valid disposition of the proceeds of said
policies or either of them. (2) Does the law of Alberta or
the law of Ontario govern in determining the disposition of
the proceeds of the said policies? (3) Does the law as it
was at (a) the execution of the contract of insurance or (b)
at the date of the will or (c) at the date when deceased be-
came insane or (d) at the date of his death, govern in
regard to the said distribution?
The Confederation Life policy provided that "In all
cases of claims under this policy the law of Ontario shall
govern."
In his judgment Justice Simmons says: —
"It will be convenient to arrive at a conclusion to ques-
tion (2) as it has an important bearing upon (1) and (3).
The law of Ontario in regard to the distribution of the pro-
ceeds of insurance policies was modified in 1897 and 1914
and that of .Alberta in 1915 and 1916. The Confederation
Life Association was incorporated by Acts of the Parliament
of Canada and was rcgistei'ed under the provisions of the
Alberta Insurance Act. Section 43 of the Alberta Act. 1915,
provides that 'the money payable under any policy of life
insurance already issued or that may hereafter be issued
by an insurance corporation that has already become or
may hereafter become registered under the provisions of this
Act . . . shall in all cases be payable in the province where
the assured is or dies domiciled therein notwithstanding
anything contained in any policy or the fact that the head
office of the insurance corporation is not within the province."
Law of Ontario .Vpplicable
"The operative words of the section 'shall be payable in
the province' do not purport to do more than declare the
situs of the debt shall be in the province and I think it is
reading into the section that which is not contained therein
to hold that the law of Alberta should apply in determin-
ing the construction of the contract especially when to do
so is to go to the root of the contract and so modify it as to
alter the declared intention of the parties when the contract
was entered into. To adopt the view that the laws of ,\1-
nerta would apply in the construction of a contract made in
another province by a company which is the creation of the
Parliament of Canada would raise very grave and far-
reaching conclusions on constitutional law which I do not
think necessary to be dealt with in my view, that the ap-
plication of the section under a liberal construction does
not involve any more than a declaration as to the place of
performance of the obligation arising out of the contract.
"The Confederation Life Association raises no objection
to payment of the moneys within the province.
"I conclude, therefore, that the provision in the con-
tract whereby the parties agreed that the law of Ontario
should govern in regard to the distribution of moneys under
the policy is applicable.
"It would appear that so far as the declaration in this
policy is concerned, the daughter as a surviving preferred
beneficiary was entitled to the entire proceeds of the policy.
"The policy in the Grand Orange Lodge of B.N.A. is
not available but it seems to be assumed by all the parties
to the reference that the contract was made in Ontario and
applying the principles above referred to the law of On-
tario would govern.
"In the result then the proceeds of the policy in the
Grand Orange Lodge of B.N.A. belong to the four sur-
viving children in equal shares and are to be paid out
accordingly.''
SUIT OVER SALE OF MINING SHARES
The Supreme Court of Canada last week heard the
appeal of W. E. Brown vs. J. S. Crawford, both financial
agents of Ottawa, against the decisions of the Ontario Court
of Appeal and of the trial judge, both of whom had dis-
missed Brown's action. Judgment of the Supreme Court was
reserved.
The action of Brown vs. Crawford arises from the sale
of 15,000 shares of fully paid-up stock in the Prince Rupert
Cobalt Silver Mines, subject, it was contended, to agreement,
for $1,500. The transaction took place on or about Sep-
tember 27, 1909. The stock was not delivered and has not
yet been issued.
Action was taken in the Supreme Court of Ontario for
the recovery of the $1,500 paid, with interest, or the specific
performance of the agreement. The defence of the action
was that the agreement stipulated the stock should be de-
livered when issued, and it is further contended by the de-
fence that it was subject to a pooling agreement. The case
came to trial before Judge Sutherland at the court house
on July 23, 1919, the trial judge dismissing the action. The
case was then taken to the Ontario Court of Appeals, and
this court upheld the decision of the trial judge in dismissing
the action with Justice Meredith dissenting.
Next an appeal was taken to the Supreme Court of Can-
ada. Among some of the points emphasized by Mr. Lemieux
was that if the sale had taken place subject to a pooling
agreement, that Crawford could not sell the shares in the
pool to Brown, and if he did, he had not delivered them, and
that Mr. Brown had received no considei'ation for his money
so far. Mr. Rupert Broadfoot maintained that the sale of
the shares had taken place, subject to an agreement, and
among its provisions was that Brown was only to receive
the shares when the stock was issued.
FIRE INSURANCE COMPANIES APPEAL
The case of the Miller-Morse Hardware Company against
the Dominion Fire Insurance Company, London Mutual and
Millers' National Fire Insurance Companies, which was held
in Saskatchewan last July, and in which judgment was given
for the plaintiff a few weeks ago, is being appealed by the
defendant companies. The question at issue arose out of four
fire insurance policies covering the stock and buildings of
Sam Stockhammcr, of Khedive, Sask., being sent to the com-
panies" agent at Khedive, but not handed over by him to the
insured. The policies were held at the trial to be in force,
although still in the possession of the agent.
December 3, 1920
THE MONETARY TIMES
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I REPRESENTATIVE LEGAL FIRMS \
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BRANDON
KILGOUR, FOSTER & McQUEEN
Barriitert, Solicitors, Etc., Brandon, Man.
Solicitors for the Bank of Montreal. The
Royal Bank of Canada. Hamilton Provident
and Loan Society. North American Life
Assurance Company.
LETHBRIDGE, Alta.
Conybeare, Church & Davidson
Barristers, Solicitors. Etc.
Solicitors for Bank of Montreal, The Trust
and Loan Co of Canada, British Canadian
Trust Co.. &c., Sc.
C. F. P. Conybeare, K.C., H W. Church, M.A.
R. R. Davidson, LL.B.
Lethbridge - - • Alta.
REGINA
A. L, Gordon, K.C. P. H. Gordon, B.C L.
H. E. Keown F. P. Collins
Gordon, Gordon, Keown
and Collins
Barristers, Solicitors, &c.
Aldon Building, REGINA, Sask.
Solicitors for Imperial Bank of Canada
CALGARY
Charles F. Adams, K.C.
Bank of Montreal BIdg.
CALGARY - - ALTA.
W.P. W.Lent Alex. B.Mackay, M.A, LL.B.
H. D. Mann, M. A., LL.B.
LENT, MACKAY & MANN
Barrlaterg, Solicitors. Notaries, Etc.
305 Grain Exchange Bldg , Calgary. Alberta
Cable Address," Lenjo." Western UnionCode
Solicitors for The Standard Bank of Canada,
The Northern Trusts Co.. Associated Mort-
gage Investors. &c.
Hon. Sir James Lougheed. K.C, K.C.M.G.,
R. B. Bennett, K.C. J. C Brokovski, K.C ,
A. M. Sinclair, K,C.. D, L. Redman, H. E.
Forster, H, D, McAlpine. O, H. E. Might. L.
M. Roberts. rCable Address "Loughnett")
LOUGHEED. BENNETT & CO.
Barristers. Solicitors. Etc.
Clarence Block, 122 Eighth Avenue West
CALGARY, ALBERTA, CANADA
J A. Wright, LL.B. C. A. Wright, BX.L.
WRIGHT & WRIGHT
Barristers, Solicitors, Notaries, Etc.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
EDMONTON
Hon. A. C. Rutherford, K.C.LL.D.
P. C Jamieson, K C. Chas H. Grant
S. H. McCuaig Cecil Rutherford
RUTHERFORD, JAMIESON
& GRANT
Barristers, Solicitors, Etc.
514-18 McLeod BIdg. Edmonton, Alberta
JOHNSTONE & RITCHIE
Barristers, Solicitors, Notaries
LETHBRIDGE - Alberta
MEDICINE HAT
G. F. H. Long,
LL.B.
J. W. Sleight, B.A.
LONG
&
SLEIGHT
Barristers, etc.
MEDICINE
HAT
>nd BROOKS, Alta.
MOOSE JAW
Grayson, Emerson & McTaggart
Barristers. Etc.
Moose Jaw - Saskatchewan
NEW WESTMINSTER
JOHN W. DIXIE
Barrister and Solicitor
405 Westminster Trust Building
NEW WESTMINSTER, B.C.
PRINCE ALBERT
COLIN E. BAKER, B.A.
Solicitor for the City of Prince Albert
IMPERIAL. BANK BUILDING
PRINCE ALBERT. SASK.
SASKATOON
C L. DURJE, B.A. B. M. Wakelino
DURIE & WAKELING
Barrister;* and Solicitors
Solicitors for the Bank of Hamilton. The
Great West Permanent Loan Co. The
Monarch Life Assurance Co.
Canada Building Saskatoon, Canada
Chas. G. Locke. Major J. McAughey.O.B.B.
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Building
SASKATOON - CANADA
VANCOUVER
BOWSER, REID, WALLBRIDGE
DOUGLAS & GIBSON
Barristers. Solicitors. Etc*
Solicitors for Bank of Montreal (Bank of
British North America Branch)
York.bire BaildinB, 525Se?mour St.. Vancoaver, B.C.
Your card here would
ensure it being seen by
the principal financial
and commercial interests
in Canada. .4sk about
special rates for ihispage.
NIBLOCK & TULL, Limited
STOCK, BOND and GRAIN BROKERS
(Direct Private Wire)
Grain Exchange
Calgary, Alta.
A. J. Pattison Jr. & Co.
Memhers
Toronto Stock Exchange Montreal Stock Exchange
Specialists Unlisted Securities
106 BAY STREET - - TORONTO
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
Maritime Steel I'lants Idle— Large Pulp Mill for British Columbia— Temporary
Relief for Ontario Power Shortage — Welland Secures Large Industry
THE strike situation at the Dominion Steel Corporation's
plant at Sydney, N.S., assumed a more serious aspect
this week. When the railroaders employed in the company's
yards ceased work last week, it was not thought that the con-
ditions arising from the strike would be very effective, but
these conclusions were premature.
In addition to closing down of the Steel Corporation's
plant the works of the Nova Scotia Steel and Coal Co. at
Sydney Mines are in a state of idleness. Men have been em-
ployed roofing four batteries at the coke ovens and the steel
plant in order to protect them from the weather. This is
taken as conclusive evidence that the plant will be closed
down for a prolonged period.
Both companies are more or less independent, as the
steel industry in this country at the present time is not
booming. Competition from other countries has greatly
affected the export market, and altogether the steel com-
panies here are experiencing lack of orders. There is still
sufficient work on hand, however, to employ a considei-able
number of men, but it is understood that business is not
pressing, and therefore officials can assume a firm attitude
regarding the employees' demands.
British Columbia Pulp Mill
Plans for the establishment of a large pulp and paper
plant in the vicinity of Prince George, British Columbia, have
been completed, a concern in which some of the best known
financiers of Eastern Canada are stated to be directly inter-
ested, and the first stop in the erection of the plant will prob-
ably be made, following a visit to this province, of a large
number of the principals in the venture in the very near
future.
The syndicate owns over 200 miles of timber limits in
Central British Columbia, in connection with which it recently
paid .$200,000 royalties, an<l the plant and equipment which it
plans to erect will involve an investment of over $6,000,000.
On its limits it has in view a cut of at least 30 years, it is
stated, and has applied for three separate water powers, one
at the Grand Canyon, on the Fraser River, one on the Willow
River, and one on the Nechako River. Their plans provide
for the development of one of all of these water powers.
The matter of location of the plant will be decided when
the party visits the scene of the company's operations, as
will the location for a sawmill and brickyards, to be utilized
in the construction of the plant. It is believed that these
plants will be located either at Prince George or very close
to it.
In this connection the following names are mentioned:
Lord Beaverbrook, Alexander Maclaren, president of the St.
Maurice Paper Co., of Quebec; Angus McLean, president of
the Bathurst Lumber Co., Bathurst, N.B.; Frank Jones,
president of the Canada Cement Co.; Senator Edwards, Mr.
Molson McPherson and Sir Chas. Gordon, of the Dominion
Textile Co.
Relief in Power Shortage
While in London this week. Sir Adam Bock announced
that the Ontario Power Commission had secured an additional
block of 10,000 horsepower. Sir Adam stated that the 10,000
extra horsepower is to come from the Niagara Power Co., of
Niagara Falls, N.Y., and that a reasonable rate had been
tentatively agreed upon for incorporation in a contract that
is to be signed at once.
"If the people continue to conserve and avoid waste of
power we shall now have a sufficient amount to supply the
demand," said Sir Adam. He added that the extra energy
will tide the commission over the winter, and that as the load
is lighter in the summer months the power famine should be
a thing of the past, as the Chippawa plant will be ready for
the fall. It is expected that troubles may occur at times
during the winter, but otherwise the commission is now in a
safe position.
Welland Secures Industry
Another industry has been secured by Welland, Ont., ac-
cording to an announcement by Geo. Day, industrial com-
missioner. The Cross Fertilizer Co., Ltd., has chosen a
fifteen-acre site, and will build a plant to cost $250,000.
Nothing can be done in the way of building this year, but it
is hoped that all the buildings will be put up and the ma-
chinery installed ready for operation by the fall of 1921.
Since 1909 the Cross Manufacturing Co. has been manu-
facturing fertilizer at Sydney, N.S., from basic slag, a by-
product of steel, which they get from the Dominion Iron and
Steel Co.
The Acetate Products, Ltd., has under way plans for the
establishment of a manufactory at New Westminster, B.C.
The products will be wood alcohol, acetate of lim.e and char-
coal. The company has taken over a plant across the river
from the city, and alder wood, the raw material, will be
secured from the abundant supply in the Fraser Valley.
The basket factory, owned and operated by Ralph
Dauphin in Ridgetown, Ont., for several years, has been sold
to the Canada Wood Products Co., of St. Thomas. The new
owners will continue to operate the plant in conjunction with
their other factory.
Massey-Harris Co., Ltd., have purchased a building at
Brandon, Man., which will be used as a distributing ware-
house. The sum of $140,000 was involved in the transaction.
The Emerson Phonograph Co., Inc., of New York, an in-
dustrial concern, which has now five factories scattered
throughout the United States, two in operation and three in
process of completion, has disposed of its exclusive Can-
adian rights to the Emerson Canadian Co., Ltd., a new cor-
poration, which is to become established in Brockville, Ont.,
for the manufacture of Emerson records, and ultimately
phonographs. The capitalization of the company, which is
endorsed by the Brockville Board of Trade, is $500,000.
NEW INCORPORATIONS
Coast Range Steel Co.. Ltd.— Mackenzie River Oil Co., Ltd. —
Bousquet CriM Mines, Ltd.— Toronto Oil Co., Ltd.—
Briti.sh-American Steamships, Ltd.
The following is a list of companies recently incorporated
under Dominion charter, with the head office and authorized
capital: —
Goo and Patrick, Ltd., Toronto, $50,000; Belleville City
Dairy, Ltd., Belleville, $10,000; Canada Copper Corporation,
Ltd., Toronto, $10,000,000; Ontario Silver Foxes, Ltd., Brant-
ford, $101,000; Canadian M. .7. Daly and Sons, Ltd., Toronto,
$50,000; Genereaux Motor Co., Ltd., Montreal, $200,000;
Diamond Brush Co., Ltd., Toronto, $500,000; Maple Leaf Soda
Fountain Co., Ltd., Montreal, $500,000; Mennen Co., Ltd.,
Jlontreal, $100,000; Canadian Safety Razor Co., Lt<l., To-
ronto, $50,000; Stevenson Bros., Ltd., Toronto, $50,000; Bel-
videre Properties, Ltd., Montreal, $250,000; Keno Hill, Ltd.,
Toronto, $1,000,000; United Oil Sales Co., Ltd., Niagara
Falls, $750,000; Office Equipment Co. of Canada, Ltd., Mont-
real, $100,000.
Provincial Charters
The following is a list of companies recently incorporated
under provincial charter: —
Alberta. — Great West Rubber and Footwear, Ltd., Leth-
bridge, $200,000; Jaeck-Allen Lumber Co., Ltd., Edmonton,
December 3, 1920
THE MONETARY TIMES
British Northwestern Fire
Insurance Company
Head Office TORONTO
Hon. Edward Brow.v. J. H. Riddel. E. C. G. Johnson.
President. Managing Director. Secretary.
F. K. Foster.
Winnipeg. General Agent for Western Provinces.
The policies of this Company are guaranteed by Eagle,
Star and British Dominions Insurance Company, Limited, ot
London, England.
ASSETS EXCEED $93,000,000
Applications for agencies art- coriliallx/ inviled.
LONDON
GUARANTEE AND
ACCIDENT COY., Limited
Head Office for Canada • Toronto
.ibility. Elevator. Contract,
itee. Internal Revenue. Sickness. Cout
Teams and Automobile.
AND FIRE INSURANCE
The Western Mutual Fire Insurauce Co.
Head Office - Didsbury, Alberta
President— H. B. ATKINS, M.L.A.
PARKER R. REED,
\]^naging Director
LARGEST ALBERTA
FIRE MUTUAL
CANADIAN STRONG PROGRESSIVE
^j?ig m^^^mMi^&smss^fit
FIRE INSURANCE
AT TARIFF RATES
Merchants Casualty Co.
H«ad Office : Winnipeg, Man.
Canada. Operating under the
The most progressive
supervision of the Domin
Embracing the entire Don
ipany in
and Pro
on of Ca
SALESMEN NOTE !
accident and health policy is the most liberal protection offered
of ?1. 00 per month and up.
Covers over ^J.SOO different diseases.
Pays for Life if disabled through Accident or
Fifty per cent e.xtra if confined to hospital.
Pays for Accidental Death. Quarantme, Sur-
geon Fees for minor injuries, also for death of
Beneficiary and children of the Insured.
Good Openings for Live Agent*
Eastern Head Office. Royal Bank Bldg., Toronto
Home Office Electric Railway Chambers,
Winnipeg. Man.
Palatine Insurance Company
LIMITED
OF LONDON. ENGLAND
Capital Fully Paid - $1,000,000
Fire Premiums, 1919 3,957,650
Total Funds - 6,826,795
; ther
pany. Lir
Head Office : — Canadian Branch
COMMERCIAL UNION BUILDING, MONTREAL
W. S. JoPLiNG. Manager
Toronlo Office— 60 KING STREET WEST
Jones & Proctor Bros., Li.aited, Agents
iniiiiffiiOMiiiiffliiiiiiiniiiiiiiHiiwiiin^
Automobile— 1 920"Season |
Policies to cover ANY or ALL motoring risks g
ATTRACTIVE AGENCY CONTRACTS I
I British Empire Fire Underwriters |
I 82-88 King Street East, Toronto |
MllllMmillMliMlllllllliMIMIilllMIMIIMlllMlMlMlllMm^^
DOUBLE INDEMNITY BOND
TWICE AS MUCH LIFE ASSURANCE FOR THE SAME PREMIUM
IF DEATH RESULTS FROM ANY ACCIDENT. -ENQUIRE -
N'ORTHAVESTERTS LIFE
^ ■ — ". WIN.NTPEC;
FARMERS'
FIRE & HAIL INSURANCE COMPANY
FIRE, HAIL AND AUTOMOBILE INSUR.ANCE
Head Office, CALGARY. Saskatchewan Office, REGINA
.\1. P. JOHNSTON, Managing Director
P. M. LIDDELL & COMPANY
Investment Bankers. Fiscal Agents
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
niiJinPH lie
'luiiniiiiii Lfi
HEAD OFFICE - WINNIPEG.
34
THE MONETARY TIMES
Volume" 65.
$18,000; North-West Mill and Feed Co., Ltd., Edmonton, $400,-
000; Salisbury Investments, Ltd., Daysland, $40,000; Peace-
Mackenzie Agencies, Ltd., Peace River, $50,000; Northland
Oils and Tar Sands, Ltd., Edmonton, $50,000; Sissons-Brown
Drug Co., Ltd., Edmonton, $20,000; J. L. Tipp and Sons, Ltd.,
Edmonton, $45,000; McCormick Coal Co., Ltd., Calgary, $20,-
000; Western Dairy, Ltd., Edmonton, $20,000; Diamond Lum-
ber Co., Ltd., Edmonton, $20,000; Beverly Coal and Gravel
Co., Ltd., Edmonton, $50,000; Goodridge, Ltd., Edmonton,
$40,000; Beaver Coal Co., Ltd., Castor, $30,000; Wetaskiwin
Free Press, Ltd., Wetaskiwin, $10,000.
British Columbia. — Kilpatrick Moryson Motor Co., Ltd.,
Victoria, $30,000; Van Norman Lumber Co., Ltd., Victoria,
$10,000; Mara Estate, Ltd., Victoria, $10,000; Coast Range
Steel, Ltd., Vancouver, $15,000,000; Vancouver Pole and Pile
Co., Ltd., Vancouver, $50,000; People's Bakery, Ltd., Van-
couver, $24,000; Rose, Cowan and Latta, Ltd., Vancouver,
$30,000; Ketchikan Club, Ltd., Prince Rupert, $10,000; Store
Street Syndicate, Ltd., Victoria. $15,000; Vancouver Island
Sawmills, Ltd., Vancouver, $100,000; British-Canadian Steam-
ships, Ltd., Vancouver, $1,000,000; Mutual Hotel Co., Ltd.,
Vancouver, $35,000; Standard Decorators, Ltd., Vancouver,
$10,000; Sales, Ltd., Vancouver, $10,000; Crescent Oil Hold-
ing Co., Ltd., Vancouver, $175,000; Maple Leaf Motor Truck
Co., Ltd., Vancouver, $20,000.
Manitoba. — Netherlands Investment Co. of Canada, Ltd.,
Winnipeg, $400,000; United Meat Stores, Ltd., Winnipeg,
$20,000; Dauphin Dairies, Ltd., Dauphin, $C0,000; P. A. C.
Mclntyre and Co., Winnipeg, $10,000; Independent Storage
and Warehouse Co., Ltd., Winnipeg, $20,000; Arnaud Trading
Co., Ltd., Arnaud, $30,000; Sinclair Hardware and Coal Co.,
Ltd., Sinclair, $20,000; Penn's, Ltd., Winnipeg, $60,000; Auto-
matic Waltzing Amusement Co., Ltd., Winnipeg, $50,000;
McKinnells, Ltd., Teulon, $20,000; Martin Carruthers and Co.,
Ltd., Winnipeg, $200,000.
New Brunswick. — Acadia Oil and Shale Co., Ltd., Col-
lege Bridge, $99,000; Royal Pharmacy, Ltd., Perth, $9,900.
Ontario.— Regent Rubber Co., Ltd., Toronto, $50,000;
Mackenzie River Oil, Ltd., Toronto, $5,000,000; Canada Tan-
ning Co., Ltd., Simcoe, $100,000; J. C. Barker and Co., Ltd.,
Toronto, $50,000; Milford Bay Hotel Co., Ltd., Toronto, $100,-
000; Uxbridge Arena Co., Ltd., Uxbridge, $10,000; O'Connell
Rathbum Telephone Co., Ltd., O'Connell, $7,000; Transpor-
tation Service, Ltd., Toronto, $40,000; Leaside Transporta-
tion Co., Ltd., Toronto, $50,000; Federal Coal Co., Ltd., To-
ronto, $40,000; Cobourg Bread Co., Ltd., Toronto, $40,000;
Frontier Record Publishing Co., Ltd., Windsor, $150,000;
Bowes' Milk Products, Ltd., Toronto, $500,000; Lion Woollen
and Silks Co., Ltd., $150,000; Filsy Musical Corporation, Ltd.,
Toronto, $40,000; Bousquet Gold Mines, Ltd., Toronto, $2,-
000,000; Canadian Engravers, Ltd., Toronto, $40,000 Detroit
River Construction Co., Ltd., Windsor, $40,000; Frank M.
Foster, Ltd., Windsor, $50,000; Dominion White Lime Co.,
Ltd., Windsor, $100,000; Pearl LaSage, Ltd., Toronto, $40,-
000; G. A. Hodgson Co., Ltd., Toronto, $100,000; Toronto Oil
Co., Ltd., Toronto, $1,000,000; Bethune and Hancock, Ltd.,
Hamilton, $40,000.
Quebec— Thompson Co., Ltd., Sherbrooke, $100,000.
GOLD CONSIGNMENT REFUSED
Gold to the amount of $806,418, consigned to the Cana-
dian Bank of Commerce in New York, has been refused by
the United States Assay OfTice because it was suspected of
being of Russian origin. The gold, which was in the hands
of the bank on November 11th, was for the account of cus-
tomers, the bank itself not being interested except as an
agent. The shipment came from Stockholm, Sweden.
C. B. Francis, one of the bank's agents at New York,
said that there was no evidence to show that the gold was
not of bona fide Swedish ownership, and that the shipment
had been ordered by con-espondcnts of high standing in
European financial circles. He thought that the embargo on
gold maintained by the Assay Office would be lifted as soon
as the Treasury Department had examined into the situation.
THREE DOMINION INSURANCE LICENSES ISSUED
Empire Casualty Company Seeking Incorporation — Several
Provincial Licenses Also Issued
THREE insurance licenses have been issued by the De-
partment of Insurance, Ottawa, two of which merely
authorize extension of scope. The Reliance Insurance Com-
pany of Canada has been authorized to transact in Canada
the business of fire insurance. Head office will be at Mont-
real, Que., and J. W. Tatley has been appointed chief agent.
Authorization has been given to the Yangtsze Insurance
Association, Ltd., to transact fire insurance throughout Can-
ada. The previous license which the company held restricted
its business to the province of British Columbia.
In addition to the classes for which it is already licensed
the National Union Fire Insurance Company, of Pittsburg,
Pa., may now write automobile insurance in the Dominion.
Provincial Licenses
The New Jersey Insurance Company has been licensed
to transact in British Columbia the business of marine in-
surance in addition to automobile insurance, for which it is
already registered.
The Retail Merchants Underwriters' Agency has been
registered to transact fire and automobile insurance in the
province of Manitoba.
Empire Casualty Company
Application will be made to the Ontario legislature by
the Empire Casualty Company of Canada for its incorpora-
tion. The objects for which incorporation is sought are to
carry on accident and sickness insurance, guarantee, loss or
damage to property from any accidental causes, including
boiler and other explosions, or by reason of theft, house-
breaking, burglary or hold-up, public liability, automobile,
inland transportation and marine and fire insurance, and also
such other classes of insurance business or contracts which
may, from time to time, be authorized by license, pursuant
to the provisions of any insurance act. 'The head office and
chief place of business is to be in Toronto, Ontario. The
capital is to be $1,000,000, divided into ten thousand shares
of $100 each. Smith, Rae and Greer, 4 Wellington Street
East, Toronto, are solicitors for the applicants.
Bell and Mitchell, Ltd., insurance brokers, of Regina,
Sask., have opened an office in Vancouver at 1325 Standard
Bank Building. Gordon Bell, a member of the firm, and
formerly of Saskatoon, will be manager of the new ofiice.
Opposes Group Insurance
By unanimous vote the Moose Jaw city council has
adopted recommendations on group insurance and will pro-
vide insurance for every civic employee. The schedule allows
$500 for single men, $1,000 for married men and $1,500 for
all heads of departments. The cost to the city is estimated
at $2,750 a year.
Although the vote was unanimous. Mayor S. A. Hamilton
has announced his determination to oppose the group insur-
ance plan for civic employees, and would ask leave to reopen
discussion on the matter. He advances as arguments against
the adoption of the scheme that young, unmarried people
should be in a position to provide for themselves, particularly
well-paid heads of departments, who are in a better position
to finance their insurance than many of the ratepayers, who
would be forced to contribute. If the civic employees are
to be insured, he declared, then the council should similarly
cover evei'y citizen.
The Postal Life Insurance Co., of New York, as well
as other similar companies, are known to be actively can-
vassing this country by .nail, although they are not licensed
to do business in Canada. The government has given waraing
regarding this kind of business, and the public will do well
to ignore any literature from such companies. There are
many reputable Canadian and other life insurance companies
with which to do business here, so that there is no necessity
for negotiating contracts through unreliable sources.
December
THE MONETARY TIMES
35
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $133,000,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are >vonderful days for life insurance salesmen,
particularly North American Life men. Our representa-
tives are placing unprecedented amounts of new business.
All 1919 records are being smashed.
" Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey. Supervisor of Agencies.
North American Life Assurance Company
"SOLID AS THE CONTINENT"
HOME OFFICE TORONTO. ONT.
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assurances, New and Revived - - - 81,211,447.00
Premiums on same ... - 4."!, 890. 00
Assurances in Force - - - - 3,458,939.00
Total Premium Income - - - - 109,586.03
Policy Reserves - . - , . 211,497.00
Admitted Assets 296,430.62
Average Policy 2,237,50
Collected in cash per 81,000 insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director Winnipeg.
1870 OUR GOLDEN JUBILEE 1S20
Two Hundred Million Dollars
This year the Mutual Life Assurance Company of Canada colebrates its
golden jubilee by reaching the two hundred million dollar mark. This
point in the expansion of The Mutual Life has been reached more quick-
ly than any of its most ardent friends would have believed possible five
years a^o. But the reason is rot "far to seek." During the Great War
and the fatal epidemic which followed in its train The Mutual Life paid
out in relief of the families bereaved no less than two millicn. thrte
hundred thousand dollars in addition to ordinary claims. The bene-
fits of life msurance were thus so clearly de monstrated that an immense
demand ■ esulted and the business of The Mutual has developed as much
during the last five years as during the preceding forty-five years. The
Canadian people suddenly realized the absolute necessity for life insur-
ance and naturally turned to a company well-known, well-established
and financially impregnable.
The Mutual Life Assurance Co. of Canada
Waterloo Ontario
LIFE INSURANCE SERVICE
a Life Insurance Company depends largely upon
think of the service they receive. The Continen-
tal Life has long since passed this test, and earned a high "reputation for paying
claims promptly. I9:,i0 wilt likely prove the be"^t year in the Company s history.
Write for booklet. **<mr Best Advf rllserh." For Manager's positions in On-
tario, apply with references, stating exoerience. etc.. to S. S. WEAVER,
Eastern Mnpfrlnleniteiit, at Head Office
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
ISSUED ONLY BY
THE LONDON LIFE INSURANCE CO.
Head Office ... LONDON, CANADA
Profit Results in this Company 70% better than Estimates.
POLICIES "GOOD AS GOLD."
THE INCREASING INTEREST
in Life Insurance and increasing knowledge of the subject
cause intending applicants to look more closely than ever
into the Essentials of profitable protection.
The strength and progressive record of The Great-West
Life, its investment success, its favorable Mortality and low
expense rates, the liberal policy provisions and measure of
Service to Policyholders — all reach the most vigorous stan-
dard of comparison.
.Ask for descriptive literature and rates, giving date of birth-
THE GREAT-WEST LIFE ASSURANCE COMPANY
DES^T. "F"
HEAD OFFICE - - - WINNIPEG
In requesting information asl( for a Deilf Callendar for 1921.
The Western Empire
Life Assurance Company
Head Office : 701 Somerset Building, Winnipeg, Man.
SASKATOON
EDMONTON
VANCOUVER
MAHAN-WESTMAN, LIMITED
SUCCESSORS TO T. MEREDITH, LIMITED
FINANCE - INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
Dr. J. VV. MAHAN J.A. WESTMAN
President .Managing Director
Established ISvSB
Queensland Insurance Co.
of Sydney, N.S.W.
Capital Paid Up $1,750,000 Asset
Aunlt WanUd in UnrttinuKfd Districtt
Managers FOR Canada:
Montreal Agencies Limited
Limited
s $4,015,811
Montreal
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank Bldg., Edmonton, Alta.
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Edmonton Issues Comprehensive Survey of Financial Affairs— Some Valuable Opinions on
Taxation- Saskatoon Saved on Exchange— Regina Presents Interim Statement— Montreal's
Taxable Property Has Increased Greatly in Value— Exemptions Also Slightly Advanced
Montreal, Que. — According to a statement given out by
the city treasurer the value of properties exempted from
taxation in Montreal has increased during the year from
.$224,513,871 to .$225,190,483, the increase amounting to $676,-
612. Further details of the property valuation in Montreal
for the current year as is set forth in the 1920 tax rolls are
to the effect that the total value of properties, including those
exempted from taxation, is $889,544,067, and that the net
value of taxable property is $664,353,584. In 1919 the total
value of property in Montreal vifas $855,978,406, the value of
exempted property was $224,513,871, and the net value of
taxable property was $627,114,570. These summaries indi-
cate that the 1920 assessment roll has increased the total
value of taxable property by $37,239,014.
Regina, Sask. — Some interesting facts are contained in
the city's interim statement for the ten months ended Octo-
ber 31 last. The gross bonded debt amounted to $11,075,323,
as compared with $10,893,857 at the end of 1919. This
bonded debt is now distributed as follows: General, $4,419,-
542; local improvements, $1,878,499; electric light, $1,693,823;
waterworks, $1,496,252; street railway, $1,587,205.
The revenue and expenditure account shows actual re-
ceipts of $767,740, as compared with the estimate of $760,-
393 for the ten months and $912,472 estimated for the whole
year. There is an actual deficit for the ten months of $111,-
102. The greatest weakness appears to be in the utilities
accounts. An actual deficit of $92,768 in all utilities is shown,
as compared with an estimated surplus of $23,403, and $28,-
084 estimated for the year. Electric light and power depart-
ments and the street railway .show the greatest shortages,
while the waterworks department had a small surplus.
While the utilities deficit is still large, there has been
a satisfactory improvement within the past two months.
At the end of September there was a shortage of $115,000,
but within a month, as will be seen from the above figures,
this had been j-educed to $92,768, and it is understood that
still further progress has been made. The loss on the elec-
tric light and power department had been reduced by about
$6,000 between September 30 and October 31, and according
to Commissioner Thornton there should be a further reduc-
tion of about $40,000 before the end of the year, as a result
of the installation of a new unit at the power house.
Saskatoon, Sask. — Commissioner Yorath has issued a
statement covering the ten months of the current year.
According to the figures submitted, the city has enjoyed a
satisfactory year. The gross debt of the city is $10,873,427,
including .school debts amounting to $2,024,920. The nH
general debt, after deducting the debt of the public utilities,
sinking fund, etc., is $4,755,285. The largest part of the
city's debt — I.e., $4,392,780, or 48.93 per cent., does not ma-
ture until 1961, although the city has the option of redeem-
ing same in the year 1941, and sinking fund is being levied
on the basis of redemption in this year. The city's sinking
fund of $1,863,643 is all invested in gilt-edged securities.
No investment has been made which does not yield interest
on due dates and which is not easily marketable at all times.
The profits on the sinking fund investments amount to
$61,449 at October 31, so that the sinking fund is being made
one of the best paying of the city's utilities. As a large pro-
portion of the city's stock and debentures were sold on the
London market, with interest payable in sterling, the city
has saved $37,548 due to the rate of exchange being as low
as 3.88 when interest payments had to be made.
The total tax levy of the city this year is $1,191,168,
of which $5:!4,318 represents school tax levies. The question
of .school taxes which are steadily on the increase is one of
the most serious problems with which the municipalities
have to deal and it is apparent if capital expenditures are
to be kept as low as possible in order to keep within reas-
onable limits the levy for sinking fund and interest, that a
very much cheaper form of school construction will have to
be adopted. The city general account will at the end of the
year show a surplus of approximately $10,000 over expen-
ditures, which is largely due to a very rigid supervision over
expenditures to see that they are kept within the appropria-
tions. The tax collections for the first ten months of the
year amount to $893,522, compared with $836,891 for the
same period last year.
The net deficit on the three public utilities — i.e., electric
light and power, street railway and watei-works — for the first
ten months of the current year is $6,171, but it is estimated
that at the end of the year this will be converted into a
surplus of $6,000. The electric light and power department
shows a profit of $39,801. The street railway a loss of $52,-
344, and the waterworks a profit of $10,180. So far as future
capital expenditures are concerned, the commissioner re-
commends that same be practically eliminated during the
year 1921, and that if school or hospital accommodation is
urgently required that some temporary provision be made.
Edmonton, Alta. — An interim report has been issued by
Comptroller Mitchell, covering ten months of the fiscal year.
The statement gives a comprehensive survey of the financial
affairs of the city, and also contains some valuable opinions
on the taxation question. ■ Owing to the exhaustive nature
of the report, it is not possible to cover it in full here, but
the principal parts are briefly outlined.
There was practically no addition to the permanent
funded debt of the city during the year. On the other hand
the sinking fund investment is increased by the earnings
accrued during the year and taking into account the re-
demptions made to date, the net debenture debt is at least
reduced, as at September 30, by $210,000 since December
31 last. Short-term loans aggregating $2,066,166.90, re-
tired, were provided for by the issue of other short-term
securities of the par value of $1,649,000 — net proceeds $1,-
506,570 which, together with the tax arrears accumulated
with the sinking fund board, amounting to $1,138,224, still
leaves $578,628 in their hands towards further redemption.
The gross funded debt of the city, made up of genera!
debentures, $11,507,639; local improvements (property share),
$3,971,441; public utilities, $9,894,241; total, $25,-373,321.
With the gross school debenture debt, the amount is $28,-
695,893. Less the sinking fund investment, the net debt of
the city and school board is $23,205,460.
The improved collection of both current taxes and ar-
rears over last year, as indicated in the half-yearly report,
has been fully maintained for the term of nine months, the
total collections (inclusive of arrears) as at September 30,
being $3,189,198, as against $1,999,581 for the same date of
last year.
During the month of October further collections have
increased the aggregate to approximately $3,365,924, of
which $2,559,129 represents current taxes and which, together
with discount allowances, will be equivalent to at least a
60 per cent, collection of the current year's levy for the ten
months. The expenditures for general administration (other-
wise termed controllable) for the nine months amounted to
$917,776, as compared with $611,147 for the same period in
1919, or $306,628, of ati increase for the period.
The total levy for the present year, inclusive of dis-
count, is $4,500,000 approximately, of which $3,500,000 is
provided by the general tax rate of 45 mills (public school)
and 41.76 (separate school) respectively, the balance of the
December 3, 1920
THE MONET A R Y TIMES
37
C.P.R. BUILDING
TORONTO
nOUSSERW>OD;^°G>MPANY
INVESTMENT BANKERS
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
REAL ESTATE
Farm Lands City Properties
Building Management Rentals
OSLER, HAMMOND & NANTON
WINNIPEG
I NEW ISSUE
CITY OF TORONTO
6 BONDS
Maturing 1921-1950
TO YIELD 6.35%-6.50%
Harris, Forbes & Company
mCORPORATKD
C. P. R. Building 21 St. John Street
TORONTO MONTREAL
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur BIdg., WINNIPEG, Canada
Members of Winnipeg Real Estate ELxchange. Winnipeg Stock Exchange
c.
H.
BURGESS & CO.
Government and
Municipal Bonds
14
King
Street East
Toronto
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
INDUSTRIAL SECURITIES
300 Nanton Building, Winnipeg
The Safest Investment
SOUND, active, industrial enterprises catering to big pub-
lic demand which benefit by national growth — make
the beat and safest investments for money. We can odvise
you of many investments which pay good dividends and
have great future possibilities.
Chiefly among which is the issue of the Rubber Co. of
Canada.
Enjoy the prosperity of the rubber industry.
Lei us send \jou particulars.
R. M. HEFFERNAN & CO., Limited
lA'yESTMEXT BROKERS
HEAD OFFICE : 204 Jackson Building, OTTAWA
1^ MT. lOIS
38
THE MONETARY TIMES
Volume 65.
levy being comprised of special frontage and supplementary
revenue taxes, such as business and income and provincial
revenue taxes.
In commenting on this the comptroller said: "By way
of illustrating the vagaries of our municipal assessment and
taxation system, it may be mentioned that on a comparison
of the present net assessment and tax levy with those of
1914, it is shown that applying the current year's assess-
ment figures to the general tax requirements of 1914 ($3,-
347,251), the mill rate would have been 42 mills in that year,
while the actual rate imposed was 16.75 on what must now
be regarded as an inflated assessment of $190,669,410. On
the other hand, applying the net assessment of 1914 to the
general tax requirements of the present year ($3,541,154),
the rate would bo only 18.57 mills — this, of course, without
taking into account the fact of business and income taxes
($430,000) this year, which were not in force in 1914. As
against this, however, it is necessary to remember that the
cost of labor and commodities in 1920 has been on a much
higher level than those obtaining in 1914.
"Our tax levy is admittedly high, but we must recollect
that for several years the city has been confronted, not with
a theory, but with a condition of affairs which is peculiar in
certain respects to this city, and the remedy for which must
be specially adapted to Edmonton's case. The problem is at
the same time largely that of other western cities, most of
which are similarly suffering from the effects of previous
years' over-expenditures and premature or unnatural de-
velopment. In the case of Edmonton itself, however, it is
no secret that the city's utilities have been designed and
installed, not for a population of 60,000 or 70,000, but for
one of more nearly 200,000 people, and this fact has to be
taken into account in adjudicating upon the city's financial
standing.
"In 1914 the civic census showed a population of 72,516.
In 1915 this was placed at 59,339; while in 1916 the federal
(interim census) gave the figures as 53,846. The civic
census for the present year just recently completed shows
61,045, but it may be mentioned that this census was taken
at a time of the year when a good many families were
absent from the city on holiday, including school children,
school teachers and others, so that the actual population of
the city would probably be more nearly 65,000.
"The funded debt of the city was incurred under con-
ditions when the population was over 70,000. That debt re-
mains, notwithstanding that the population in the meantime
has suffered a severe relapse, and even still we have a cer-
tain percentage of floating population whose permanency of
domicile is more or less determined by the opportunities of
employment and of trading. It is generally, and rightly
perhaps, assumed that very largely a solution to the prob-
lem lies in (1) a substantial accession to the city's popula-
tion; (2) an entirely broader basis of taxation than under
the present method, which bears almost wholly upon lands
and improvements.
"With regard to the outlook as to civic taxation in the
immediate future, it is, of course, already known that the
city will be deprived of the personal income tax as a source
of supplementary revenue at the end of the current year, so
that there will be a loss of approximately $175,000 on that
account. In order to counterbalance this shrinkage in
revenue, it would seem necessary to discontinue any further
direct levy towards the reserve for uncollectible taxes mean-
time."
Government and Municipal Bond Market
Victory Bonds Have Been Released from Control — Prices Fall on Open
Market — Three Municipalities Postpone Issues on Account of the Unsettled
Situation— Ontario Floating Six Million Dollar Loan Within the Province
VICTORY bonds have been released from control. Such
was the announcement which stirred up great interest
in bond circles this week, and turned a dull market into one
of activity. This move on the part of the government came
as a surprise, as it was confidently expected that no such
action would be taken until the end of the year. Sir Henry
Drayton, minister of finance, has made the following state-
ment in this regard: —
"The special market committee's work has been very
efficient. Many subscriptions were made in the national
interest and by persons whose circumstances did not permit
them to hold their bonds. The price of the bonds has not
bsen subject to violent fluctuations, but stabilization of price
has been effective. The committee has sold bonds which
have come upon the market and placed them in the hands
of permanent investors to the extent of $270,000,000. Stab-
ilization has now continued for more than a year since the
last loan, and full opportunity has therefore been given those
whose circumstances compel them to liquidate."
Many opinions were advanced as to the reason of the
government's action, but the most logical one was that by
R. A. Daly, secretary of the special market committee. Mr.
Daly stated: "The public had begun to anticipate decontrol,
which was generally thought to be slated for the end of the
year, by offering their bonds for disposal by the market com-
mittee at the present time. Such action was inspired by the
fear on the part of some holders that the bonds would fall in
price when control ceased, and the view that it would there-
fore be better to sell now than wait for the change. It was
thus necessary for the committee to give up their functions
rather sooner than expected, and without any preliminary
announcement."
The first day of open trading witnessed violent fluctua-
tions and losses in all issues. This was the natural event, as
the market committee had been supporting the prices. The
mai-ket has become much steadier, however, and within a
short time the real condition of affairs should be apparent.
The following figures give a comparison of this week's
prices, in comparison with those previously fixed: —
Jan.
1922 100V4
1927 101%
1937 104%
1923 100%
1933 102%
1924 100
1934 100
This week.*
Mar. Aug. High. Low.
100 98 97 95%
1001/2 97 98 94
102 98 95 93%
99% 98 95 94
100% 96% 94% 93
98% 97 95% 92
97 93 91% 89
*Toronto Exchange.
While the resumption of trading in Victories was wel-
comed by most bond dealers, it has had an unsettling in-
fluence on the general market. Several issues which were
due for sale this week, were postponed on this account, in-
cluding Hamilton $260,227, York Town.ship $166,000 and Oak-
ville $111,000.
The town of Renfrew, Ont., is calling for tenders up till
December 13, 1920, for the purchase of $53,401 6 per cent.
20 and 30 instalment debentures.
Point Edward, Ont., is offering $24,000 20-instalment
debentures for sale. Tenders for the issue will be received
until December 11, 1920.
December 3, 1920
THE MONETARY TIMES
Victory Bonds
and the Average Man
Freedom from care and convenient in-
terest collection are the principal
factors that should govern the choice
of investment by the average man.
No other security possseses these qual-
ities in a greater degree than Victory
Bonds, while the interest return, v^fhich
ranges from 5.67?o to 6.55%, is the
highest that has ever been obtainable
from securities of the Dominion.
Write for our pamphlet entitled "Some
Victory Bond Questions and Answers."
It will interest you.
Wood, Gundy & Company
Canadian Pacific Ra
Toronto
Montreal
Winnipeg
Toronto
vay Building
Saskatoon
New York
London, Eng.
mmmmmM.9
^asEBom
/ IHYESTWtHT- SERYICeX^
The Next
"Long Swing"
in interest rates will be down.
Because liquidation in commodities
and securities has already reached
the point where, once crop-moving
needs are past, there will be ample
money for investment in fixed-in-
terest securities.
Conversely, the next long swing in Bonds
and other fixed interest securities will be up.
Irrespective of speculative market fluctua-
tions, the time to buy sound fixed-interest
securities is »ow
Write for our recommendations. '
Royal Securities
^ ^CORPORATION
L, I >* I -r E D
MONTKEAL
TORONTO HALIFA.K ST. JOHN. N.B.
WINNIPEG VANCOUVER NEW YORK
LONDO.N. Eng.
^'^'"®'^y'^^'V'^^•^5''»'^^'^^!'^'NJ'^»'^B'^»'«'^B'\^^•r«^w•^®'<5^
W. L. McKINNON
DEA.\ H. PETTES
VICTORY BONDS
MATURITY
PRICE
YIELD BASIS
1922 ...
98
and interest
6.38°,,
1927 . . .
97
and interest
6 00",,
1937 . .
98
and interest
.5.68%
1923 ...
98
and interest
6.24",,
1933 . . .
96*
and interest
,T.89%
1924 . . .
97
and interest
6.36%
1934 . . .
93
and iriterest
6.26':'„
Orders may be telephoned or telegraphed ;it our expense.
W. L. McKINNON & CO.
McKinnon Building • - - TORONTO
iiiiiiiDiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiniDiniiiiiiiiiiiiiiiiiiiniiiiim^^
Buying Bonds
By Mail
Buying bonds by mail from a reputable,
well-known financial house is so safe and
simple that those inexperienced in such mat-
ters can do so with the utmost confidence.
Try it. Write, stating your requirements ;
we will send you particulars of various
bonds.
Yielding from 6.25% to 7.25%
which we have purchased after careful in-
vestigation and which we offer with our
unqualified recommendation.
W. A. MACKENZIE & CO.
Government and Municipal Bonds
42 King St. West
TORONTO -:- CANADA
llllDlllllllliillllllllilillllllllllllillliyilllllllllUWIIIIIIIffllMIIHllllMUIIIIII
THE MONETARY TIMES
Di'benturc Notes
WalUerville. Ont. — The town has rejected all tenders on
$300,000 (i per cent, fifteen instalment housing debentures.
Quebec, Que. — At the next session of the legislature the
city will ask power to borrow $900,000 for various purposes.
Beauscjpur, Man. — On December 21, the town's rate-
payers will be asked to vote on a by-law authorizing the
raising of $4,000 for electric light purposes.
Selkirk, Man. — Ratepayers of the town will be asked to
vote on December 21, on a by-law authorizing the issue of
$6,000 7 per cent, six-instalment debentures, the proceeds of
which will be used for school purposes.
Sarnia, Ont. — Two money by-laws will be submitted to
the ratepayers at the January elections, one providing for
the issue of $59,000 debentures to cover the cost of laying
new water mains, and the other is to raise $3.5,000 to be
used for the removal of the old waterworks.
Montreal. Que.— The city administration commission has
decided to authorize an issue of treasury bonds in favor of
the Bank of Montreal, to the amount of $500,000, dated from
November 29, 1920, payable on demand and bearing interest
at the rate of (i per cent., payable monthly. This loan is in
anticipation of the current year's revenue.
Winnipeg, Man. — The city council has authorized the
city treasurer to call for tenders on $800,000 6 per cent, bonds.
The securities will be payable in 10 years in Canada or the
United States, or in twenty years in Canada only, at the
option of the purchaser and the discretion of the treasurer.
Capreol, Ont. — W. H. Matthews, town clerk, advises The
Monclary Times that the municipality is arranging to put on
the market in the near future debentures of $32,000 to cover
the erection, furnishing and equipment of an addition of four
rooms to the present public school. It is just possible that
this debenture will be guaranteed by the provincial govern-
ment.
Vancouver, B.C. — In January next, ratepayers may be
asked to vote on money by-laws aggregating $3,606,000. This
amount is subject to final revision before going to the polls,
but at present is made up as follows: $1,000,000 for city
hall and auditorium; $1,000,000 for roads and pavements;
$1,246,000 for schools; $100,000 for roads; $100,000 for
streets; $100,000 for waterworks extensions; $85,000 for
municipal coal yard; $35,000 for Connaught Bridge.
Saskatchewan. — The following is a list of authoriza-
tions granted by the Local Government Board from Novem-
ber 10 to November 16, 1920. Debentures are to bear 8 per
cent, interest: Beaverside, $700 7-years annuity; Suiatyn,
$2,000 10-instalments; Big Meadow, $3,800 10-years annuity;
Bright, $2,500 10-instalments; Mons, $1,900 8-instalments;
Einggcnheim, $2,000 15-years annuity.
Eight per cent. 15-years annuity. Rural Telephones:
Amulet, $4,100; North Admiral, $11,800; Elstone, $5,.500;
Wyandotte, $17,200; Horse Lake, $7,300.
Rural Municipality of Ituna Bon Accord. $5,000 8 per
cent. 10-instalments for road machinery,
Edmonton. .\lta In a communication with 7/ii- Monetary
Times, Comptroller Mitchell states that the city has on hand
$1,499,080 5 per cent, long-term bonds, which were auth-
orized some time ago, but which are unsold and unhypothe-
cated. In addition the city has $1,475,000 5\-> per cent. 10-
yenr debentures unsold, and which are the balance of the
original issue of $3,000,000. of which $1,525,000 was sold
some time ago to the National Bond Corporation.
"With regard to the above unsold debentures," says the
comptroller, "there is no immediate object of the long-term
debentures being placed at the present time, but it is prob-
able that the $1,475,000 against consolidated tax arrears will
be disposed of about the beginning of the new year. This
would enable the administration, in addition to retiring other
short-term loans, to pay the sinking fund instalmrnts for
the current year, and thus consolidate same accordingly, it
being the intention that the sinking fund, which has been
fully maintained without intermission up to the present time,
should be paid as at December 31st as hitherto."
Bond Sales
Milton, Ont. — The town has sold $48,000 high-school de-
bentures to local citizens.
Township of Charlottenburg, Ont. — Wood, Gundy and
Co. have been awarded $30,000 .5% per cent. 30-instalment
debentures at a price of 88.53.
Saskatchewan. — The following is a list of debentures re-
ported sold from November 10 to 16, 1920: —
Schools.— Fanford, $3,500 10-years 8 per cent., Russfteld,
$4,500 15-years 8 per cent.; Waterman-Waterbury Mfg. Co.,
Regina. Belleville, $900 20-years 71/2 percent.; R. P. Smythe,
Kennedy. Rothbury, $1,000 10-years 8 per cent.; T. A. Mat-
tick, Qu'Appelle.
Village of Prelate, $1,500 10-years 8 per cent., to M.
Assuman, Prelate.
Pembroke, Ont. — Brent, Noxon and Co. have been
awarded $47,000 6 per cent. 10 and 30-instalment debentures
at a price of 93.895, at which rate the town pays about 6.80
for its money. Other tenders were: —
Canadian Debentures Corp 93.346
United Financial Corp., Ltd 92.53
T. S. G. Pepler and Co 92.312
A. E. Ames and Co 92.09
Wood, Gundy and Co 91.55
N. A. Macdonald and Co. offered 94.31 for the 10-year
lot, and 92.02 for the 30-year lot, while the Bank of Nova
Scotia submitted offers of 94.50 and 90, respectively, for the
two issues.
Ontario. — The province is offering in the home market,
through a large and strong group of bond dealers, $6,000,000
6 per cent. 15-year coupon gold bonds, at a price of 94.34 and
accrued interest, yielding 6.60 per cent. The money will cost
the province about 6.80 per cent. Ontario has disposed of
practically all of its bonds in the United States this year,
and in view of this, the outcome of the present scheme should
prove interesting.
It was formally intended to place the issue through a
syndicate of six or seven houses, but the size of the issue
and the present condition of the market made necessary the
elaboration of the original plans. The present underwriting
syndicate includes practically every bond house in the city
of Toronto, which means practically every house in the
province.
The securities are dated December 1, 1920, are due De-
cembei-, 1935, and are in denominations of $500 and $1,000.
They ai'e a first-class investment, and if there is sufficient
money in the province, the syndicate should have very little
difficulty in placing the issue.
Stamford Township. Ont. — The township has sold an
issue of $22,000 worth of local improvement bonds. They
w-erc sold at 98, and bear interest at the rate of 6 per cent.
The issue was split up in blocks of $500 and was sold to local
people.
CANADIAN BUSINESS FAILURES
The number of failures in the Dominion, as reported by
R. G. Dun and Co., during the week ended November 26, 1920,
in provinces, as compared with those of previous weeks and
corresponding weeks of last year, are as follows:—
Date. -^ai Siw'owfld^" 2
O C S < r/j ca '.^ 2; CU H -
Nov. 26 .... 8 14 0 0 2 0 0 1 0 25 19
Nov. 19 5 7 0 3 3 4 0 1 0 23 21
Nov. 12 12 14 0 0 4 3 0 15 0 48 14
Nov. 5 9 6 1 0 0 2 1 0 0 19 11
December 3, 1920
THE MONETARY TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7 Wo
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities CompaDy, Limited
ST. JOHN, N.B. HALIFAX, N.S.
Western Municipal & School
a % Debentures 71%
" /^ TO YIELD • 2 /^
THE BOND AND DEBENTURE CORPORATION
OF CANADAj^LIMITED
, ,-K,^,- UNION TRUST BUILDING
CORRESPONDENCE ,vMMK,ioc-r-
INVITED WINNIPEG
Manitoba Finance Corporation Ltd.
Investment Brokers, Financial Agents, Etc.
Wianipeg, Man.
Head Office :
410-11 Electric RIy. Chambers •
Phone Garry 3884
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba. Alberta Flour Mills, Limited
Vancouver District Property
Expert Estate Agents and Managers
Property Bought and Sold, Valued. Rented and
Reported on. Correspondence invited.
WAGHORN GWYNN Co., Ltd. Vancouver
X
MACAULAY & NICOLLS
INSURANCE OF ALL CLASSES
ESTATES MANAGED
746 Hastings Street - VANCOUVER, B.C.
C. H. .MACAULAY J. P. NICOLLS. .Votary Huhlic.
'for the good
of the community.
WE shall shortly offer
for sale, by public
tender, the un-
issued portion of the
present Capital Stock of
this Company.
The par value of the
shares is $50, and the
shares will be sold in
blocks of ten shares and
multiples thereof.
In this connection we are
publishing a series of
advertisements in the
Toronto daily papers deal-
ing with our relation
to citizens.
We invite interested par-
ties to write for a form
of tender; meantime we
suggest the reading of
the advertisements in the
daily press.
THE CONSUMERS' GAS COMPANY
OF TORONTO
THE MONETARY TIMES
Volume 65.
CORPORATION SECURITIES MARKET
Victory Bonds Dominate tlie Stock Exchanges — rulp and
Paper Issues Weak — Heavy Selling But Lack of
Absorption Power — Corporation Bonds Suffer
RELEASE of control of Victory bonds was the principal
factor in thi> stock markets this week. The weakness
which accompanied the initial appearance of Victories on
the exchanges had an unsettling effect, from which there
has been very slight recovery.
From the standpoint of weakness, sugar and the papers
were features in both Montreal and Toronto. The former
suffered a decline of five points for the week, closing at the
low figure. Definite assurance that the price of newsprint
paper was to be placed on a GV2 cent basis, and in the case
of Spanish River and Abitibi on a 7 cent one, was followed
by no responsive action m the part of the pulp and paper
group. Riordon, Wayaganiack and Spanish River firmed
somewhat, but all issues showed a loss for the week.
A favorable movement in Wall Street failed to stimulate
any such action here. The stock market appears to be in a
mood in which there is response only to bear news. Even
the firming of Victories could not bring about any change.
there is every reason to believe that the upward movement
will commence.
C.N.R. Quickly Subscribed
The $25,000,000 7 per cent. 20-year bonds of the Cana-
dian Northern Railway, particulars of which were given in
these columns last week, and which were offered in New
York by Wm. A. Read and Co., and associates, were quickly
taken up soon after subscription books were opened.
The securities are enhanced by the Dominion govern-
ment's guarantee, of course, but nevertheless the quick
absorption is a good indication of the condition of the market
in the United States for our bonds.
At the annual meeting of the United Grain Growers,
Ltd., at Calgary, Alta., on November 26, shareholders
authorized the directors to increase the capital stock from
.$12,000,000 to $15,000,000.
A new listing on the Toronto exchange this week was
that of the securities of the Ontario Steel Products Co., Ltd.
The securities listed were as follows: Common, $2,000,000;
preferred, $750,000; bonds, $600,000. The company's stock
has been sold occasionally in the unlisted section of the Tor-
onto exchange, and has been listed at Montreal for several
years.
Trading Greatly Increased
Trading on the exchanges was principally in Victory
loan issues, which accounts for large turnover of bonds. At
the same time, however, there was considerable activity in
stocks, but the lack of absorption power was demonstrated,
and under such conditions the market could make very little
headway. The following figures show the day-to-day trad-
ing for the week ended December 1: —
COBALT ORE SHIPMENTS
The following are the shipments of ore, in pounds, from
Cobalt Station for the week ended November 26: —
Bailey Silver Mine, 62,890; La Rose Mine, 87,289. Total,
150,179. The total since -January 1 is 24,550,775 pounds, or
12,275.5 tons.
Montreal,
T
ironto,
Listed stocks bonds
Listed stocks
bonds
Thursday
4,046
$ 29,800
1,120
$
7,300
I'"riday
5,683
53,300
1,744
30,500
Saturday
5,564
20,500
1,707
8,200
Mondav
.. 12,565
360,350
1,891
539,570
Tuesday
. . 10,002
555,000
1,909
526,400
Wednesday
. . 10,343
. . 48.20.S
443,100
$1,462,050
4,138
12.509
822,730
Totals
$1,934,700
The figures for the previous week were: Montreal,
listed stock. 41,222; bonds, $116,300; Toronto, listed stocks,
8.648; bonds. $65,900.
Weak Bond Market
The extent to which the industrial bond market suffered
as a result of the decline in Victories can best be seen from
the figures or. the next page. Weakness is in evidence, but
this should not last long. The American market has been
moving up for some time, in accordance with the economic
law of connnodity prices and security values. Restriction
and control has prevented the Canadian market from doing
so, but after the first effects of decontrol have passed off.
MUTUAL FINANCE CORPORATION
The first balance sheet of the Mutual Finance Corpora-
tion, Ltd., Windsor, Ont., has been issued, and shows the
organization to be well under way. The company, which was
organized in May, 1919, specializes in financing the instal-
ment sale of improved property, paying the builder in cash
and obtaining from him a deed of warranty. These deeds
are pledged with the Royal Trust Co., Montreal, and deben-
tures issued to the amount of 60 per cent, of their value.
The assets side of the statement shows cash on hand
and in bank, $57,401; land contracts and second mortgages
receivable, $533,569; first mortgages receivable, $2,271;
stock subscriptions unpaid, $251,960; sundry debtors, $5,680;
accrued interest receivable. $2,863; commission on sale of
stock, $99,208; incorporation and organization expenses,
$3,802.
On the liabilities side the principal accounts are: Paid-
up preferred stock, 18,938 shares, $189,380; paid-up common,
8,469 shares, $94,690; stock subscribed but not issued, $370,-
140; accounts payable, $8,140; dividends payable, $3,749;
mortgages payable on real estate covered in land contracts
receivable, $234,122; defen-ed profits on land contracts and
second mortgages, $49,437; surplus. $5,966.
UNLISTED SECURITIES
& Co.. Toronto
Abilihi Gen. .Mort.Ss.
Alta. Pcic. Grain. ...com.!
...pref.]
American S.ilcs Hook. 6'!
Arcnu Hnnds (Toronto).
Ashdnwn Hard. J. H-.S's
British Anicr. Assuranccj
Uurns. P 1st .MtRc. 6'!
Cun. Crocker Wheeler pf.i
Can. Furniture pref.'
Can. Machinery . . . i
Can. .MorlKaBc
Can. Oil <
Can. WcstinRhousc. .
Can. Woollens i
pref
Cockshutt Plow 7%orcf.
Bid
Ask
88.50
160
79
85. .SO
94
....
70
84
87
10
13.7.';
96
101. .W
73.. SO
20
27
W
30
Ti
79.75
04.50
70
63
B8..S0
100
no
40
47 SO
70
79
.S4
.59.. SO
Coll 'OK^vood Shi pb'dg.b's
n Life Insurance,
n Can.SuRar. com.
:s William Bs
Pom. Iron & Steel Ss 1939
Power com.
pref.
Dryden Pulp
DunlopTirc pref
Eastern Car 6's
Players. 8% pfd.
Goodyear Tire. . pref. .
G'rd'n.lronsideA FareBs
Ltd pref.
Abattoir 6's
Home Bank
Imperial Oil
Bid
Ask
89
73
15. SO
20
95
100. SO
rv5
70
41. .SO
87
92. SO
26
29
90
93
9.S
M.50
91
S.5
85
88
ti
Kini! Kdward Hotel. 7's.
Manufacturers Life
Mattagamn Pulp... pref.
...com.
•Massey- Harris
Mercantile Trust
Mexican Nor. Power. .5's
Morrow Screw 6's
.Murray-Kay. 7% pref...
National Life
Nova Scotia Stcel6%deb
Ont. Pulp 6's
Pafie H ersey pref.
Riordon com. (newstk.)
pfd.
R. Simoson pfd.
Shale Brick..
South. Can. Power. pref.
Bid
72.50
Ask
78.50
;f6.7S
81.. SO
77.50
Sterling Bank
Sterling Coal com.
Toronto Paper 6's.
Toronto Power. S's (1924)
Trust & Guar
United Cigar Stores com.
pref.
Western Assurance
Western Can Pulp.com.
Western (irocers. . ..pref.
WhalenPulp pref.
December 3, 1920
THE MONETARY TIMES
RIORDON COMPANY, LIMITED
FIRST CUMULATIVE PREFERENCE STOCK
DIVIDEND No. 2
Notice is hereby given that a quarterly dividend of 2','f,
being at the rate of SVf per annum, has been declared on
the First Cumulative Preference Stock of this Company for
the quarter ending December 31st, 1920, payable January 1st,
1921, to shareholders of record at the close of business,
December 20th, 1920.
By Order of the Board.
F. B. WHITTET, Secretary-Treasurer.
Montreal, December 1st, 1920. 307
THE RIORDON PULP AND PAPER COMPANY, LIMITED
PREFERRED STOCK DIVIDEND No. 34
Notice is hereby given that a dividend of 1%% (being
at the rate of 7% per annum) on the Preferred Stock of
this Company has been declared, payable December 31st,
1920, to shareholders of record at the close of business,
December 22nd, 1920.
By Order of the Board.
F. B. WHITTET, Secretary-Treasurer.
Montreal, December 1st, 1920. 305
RIORDON COMPANY, LIMITED
CUMULATIVE CONVERTIBLE PREFERENCE STOCK
DIVIDEND No. 2
Notice is hereby given that a quarterly dividend of 1 %';'<■,
being at the rate of 7'V per annum, has been declared on
the Cumulative Convertible Preference Stock of this Com-
pany for the quarter ending December 31st, 1920, payable
January 1st, 1921, to shareholders of record at the close of
business, December 20th, 1920.
By Order of the Board.
F. B. WHITTET, Secretary-Treasurer.
Montreal, December 1st, 1920. 306
LOAN CO.MPANY FORM APPROVED
A number of representatives of the loan and trust com-
panies of Ontario met Mr. V. Evan Gray, registrar of loan
corporations, at the Parliament Buildings on November 30
and agreed upon the new loan company balance sheet form,
which was drawn up last week.
One of the instructions accompanying the form is that
mortgages, under assets, must include only bona fida ad-
vances to borrowers on security of real estate. Mortgages
in respect of which legal proceedings have been taken for
collection of principal, or where a company is in possession
of the mortgaged property or any part of it, must be shown
as a separate item or in real estate. Principal must consist
only of actual advances made to borrower, and must not in-
clude any interest capitalized. Interest capitalized must be
shown under item "interest."
Condensed Advertisements
' Positions Wanted. ■• 3c per word : ;
5c. per word. Minimum charge for
per insertion. All condensed adve
style. Condensed advertisenr.ents.
charged for them, are payable in adv
ther condensed advertisements
! condensed advertisement, 65c
;ments must conform to usual
iccount of the very low rates
: : 50 per cent, extra if charged.
WANTED. — A General Agency for good board fire in-
surance company for the Province of Alberta. Have large
premium income now on our books which we control, and
splendid country organization well established. Apply Box
359, Monetary Times, Toronto.
INSURANCE OFFICE, with efficient agency organiza-
tion in Alberta, Saskatchewan and British Columbia, would
like to secure general agency for complete casualty lines,
including automobile, accident, and also hail insurance in
these provinces. Address Box 361, Monetary Times, Toronto.
FIRE UNDERWRITER for company operating in Sas-
katchewan. One with home office experience preferred. Ex-
cellent opportunity for young progressive man. State salary,
references and experience. Box 363, Monetary Times, Toronto.
EXECUTIVE. — Age 35. Twenty years' e.xperience.
Eight years in Railway Operating and Constraction Depart-
ments, twelve years in Accounting Department, past five
years as General .Auditor. Expert Accountant, thorough
knowledge of railway and construction materials, well in-
formed in financial matters, seeks engagement. Box 365,
Monetary Times, Toronto.
AUTOMOBILE UNDERWRITERS' ASSOCIATION
The following officers were elected at the annual meeting
of the Canadian Automobile Undemvriters' Association, held
in Ottawa on November 25 and 26: President, John Jenkyns,
Employers' Liability Assurance Corporation, Montreal; vice-
presidents, W. T. Perry, Ocean Guarantee and Accident,
Toronto, and E. F. Hussey, of Montreal. The other officers
will be appointed later.
On November 25, Mr. Goodwin, secretary of the Automo-
bile Underwriters' office in New York, addressed the con-
vention, touching on various phases of the business. Fred-
erick Williams, Canadian manager of the Motor Union,
which company is not a member of the association, also spoke
to the members, touching upon the necessity for a more
simple rating system, and the desirability of adopting a
uniform policy wording. Some of the companies apparently
are reluctant to abandon their special forms. This is a
matter which the insurance departments already have in
hand, and the compulsory adoption of a standard policy is
being considered.
Mr. Williams also commented on the undue tendency,
not only in automobile insurance but other branches of busi-
ness, to depend upon and wait for the views, experience and
recommendation.s of the American bureaus. While cordially
approving the principle of keeping in touch with affairs in
America, Great Britain and elsewhere, he urged for more
initiative and celerity in carrying on the Canadian business.
Reference was also made to the necessity of encouraging
larger limits of indemnity against the risk of claims by the
public. The tariff system in the past has not encouraged
the selling of adequate indemnities, but rather the contrary.
Various other points of interest were also touched upon.
Mr. Williams' views were that costs in general were too
high, and that anything which helped to reduce these costs
and secure better results would help the tariff companies to
meet and beat outside competition.
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
IIO.M'ICKAL— Week Kiidod Wer. list.
'KiKures supplied by Burnett & Co.)
iSlockH
Abitibi P. &P
pfd-
Asbestos Corp
pfd.
Amcs-Holden pfd.
Atlantic Sugar
Bell Telephone
Brazilian T.L. & Power
B. C. Pish
Brompton Pulp *: P. . .
Canada Cement .......
■• ...pfd.
Can. Con
Canadian Cottons
" , " pfd.
Canadian Car
•■ ...pfd.
Canadian Gen. Blec...
Carriage Factories . . .
Can. Steamship
•• ■• pfd.
" " Vot. Trust
Con. Mining & Smel....
Det. Rys
Dom. Canners
Dominion Bridge
Dom. Iron pfd.
Dominion Glass
•■ ..pfd.
Dom. Steel Corp
..pfd.,
Dominion Textile
" ...pfd.
Howard Smith !
■• pfd.j
•• ..Rights)
Illinois Traction ..pfd.j
Lake of the Woods.
..pfd,
Laurentide
Lyall Cons
Macdonald Co
Montreal Lojn
Montreal Power
Montreal Tram
Tram Deb...
Telegraph...'
National Breweries —
Ogilvic Flour Mills... I
.pfdl
Ottawa L.H.&P
Ont. Steel Prod
Penmans
pfd.
Porto Rico
Prov. Paper
'■ pfd,
Quebec Ry. L. H.&P..
Riordnn Pulp & P
pfd.
St. Lawrence Fl. Mills.
..pfd
Shawinigan W.&P...
Sherwin-Williams, pfd,
Spanish River
■• pfd,
•• Div.Vou
St. Maurice
Steel Co. of Canada...
■ " •■ pfd
Toronto Ry Co
WabassoCol'n
Wayagamacit P. & P..
Windsor Hotel
Windsor Ry
Winnipeg Ry
KniikH
Commerce
HochelBgn
Merchants
Molsons
Montreal
Nova Scotia
Nationale —
Royal
Union
Sales
4410
Open
58!
(il(
83
r.>i
93
1(
36
i-.Vih
27
HO
1014
iiw:
35
8.S
40
41^
C,2i
LSI
56
i;f7
90
lK.i
61
lO.'i
78
2(1
75
.ill
31
•■HI.S
78*
HI
93
H.i
8
7:).i
SO
317
714
III
46
lisse
20^
.iH
IU3
,S8
30
4.S0
74
123
70
■»s
61 s
7S
82i
I7:«
4M
sn
63
717
110
1
92
aw
114
12U
92
III
65
88
140
28
96
2120
93j
10
43
ISO
20
345
89
80
125
42U0| fUl I 6ii
97J
BOIIll!i
Asbestos Corp
Bell Telephone Co
Can. Car
Can. Cement
Cedars Rapids Mfg....
Can. Rubber
City Mont. Dec. 6's. 1922
■• Mayfi's. 1923
■■ Sept.6's.l923
Dom. Can.W. Loan. ISZSi
1931
19371
14000
1000
2000
2000
7200
139)
Victory Bonds
1921
I!I34.
1922.
1927.
ISKKIi
31900
27700
53aS0
241950
285100
27200
I70.S00
316850
I346S0
159}
451
94
9Si
89
93S
n
914
96«
S.S
96S
904
95
93}
944
93
93f
nOfiTRKAL-Coittinned-
Bonds
Dom. Cottons
Dom. Canners
Dom. Coal
Dom. Iron
Dom . Textile A
•■ B
Mont. St. Ry
Ogilvie Flour
Penmans
Price Bros ...
Quebec Ry.L. H.&P..
Riordon
Riode Janiero
Scotia
Sherwin-Williams...
Spanish River
Steel Co. of Canada..
Waba^so Cotton
Wayagamack P. & P. .
Sales Open High Low
7800
I20C0
3500
TOItONTO-Week Ended Doc. IM.
Sales Open High Low
Atlantic Sugar -
Abitibi.
Bell Telephone
Brazilian Traction. ...
Burt. F. .\
B.C. Fish
Can. Bread
Canada Cement
•• ...pfd.
Can. Car & F pfd.
Canners
pfd,
Canadian Pacific R....
Can. Gen. Elec
'■ ...pfd
Canada Steamship....
pfd.
City Dairy pfd.
Con. Gas
Coniagas
Dome
Oom. Tel
Duluth
La Rose
Mackay Companies
■• ...pfd.
Maple Leaf
•• " pfd.
N.S. Car
" " pfd.
Nipissing
Ogilvie pfd.
S. Pro
563
Por
. Ri.
Quebec R.L.H. & P
Riordon
Rogers pfd.
Salesbook
pfd.
Sawyer-Massey
Smelters
Spanish River
...pfd.
Stan. Chem pfd.
Steel Corp
Steel Company
...pfd.
Toronto Ry
Twin City
W.C. Flour
Winnipeg
ItnnkH
lilto
Imperial , ..
Merchants . .
Molsons
Montreal ....
Nova Scotia.
Royal
Standard
Toronto
Union
Lonn niid Truxl
Col. Inv
on .'ii Erie
Can. Land
Toronto Gen. Tr.Righls
Tor. MtR
ilonds
Can. Bread , .
Canners
Elec. Dcv
Rio. Jan. T.. L. & P....
Sao Paulo
Sawycr-.Massey
T»KO}ITO— Continued
War Loans
Sales
9300
Open
High
Low
Close
Dom. Can.W.Loan. 1925
Hii
918
91
91
1931
45200
90
90i
89.3
89l
1937
58500
945
H5
93I
94J
Victory Loan 1922 ....
210500
96J
97
95}
961
1933 ....
347350
944
95
94
94*
1927 ....
12900
94
98
94
96J
1937 ....
114700
94
95
93i
94J
1933 ....
76600
94lf
94ii
93
93i
1934
754420
92
91 S
89
9li
1924 ....
77600
H5J
951
92
941
WISfNIPEO— Week ended Xn
" 1924...
•■ 1927...
•■ 1937...
•■ 1933...
■■ 1934..
War Loan 1931
" 1937...
" 1925 ....
Can. National Fire.
Homelnv.&Sav.As
North Star Oil
Ba
Sales
Open
High
Low
Close
18000
98
98
98
98
8100
98
98
98
98
3250
97
97
97
97
1600
97
97
97
97
550
98
98
98
98
3200
96»
96}
96+
96*
53550
93
93
93
93
100
90
90
90
90
3300
94*
94*
94
94
15100
9li
92i
9U
92}
10
60
60
60
60
IS
100
100
100
100
50
350
350
350
350
5
140
140
140
140
NEW YORK— Week ended So\. 'iub.
Canadian Pacifi
Canada Southe
Nova Scotia S. &Coal.
Granby Consolidated .
5*% 1921
5% 1926
5*% 1929
5% 1931
Sales
Open
High
Low
17200
116}
118i
116}
2266
"igi
"iii'
"m
21000
76000
85000
49000
88000
'984
90j
914
9li
97
97
90
90}
90
Close
1I6J
LO.VnON, Eng.— Week ended Nov. 90tb.
4iiOT*t. A Mnn.
Alberta 4% 1922
■• 44%
British Columbia 3"J
Canada.,. 34%
■■ . . . . 34% 1930 50
'• .... 4% 1940-60
Calgary 44% debs
5% debs
Edmonton 5% bds.23-S3
Nfld.3*%bds
.Montreal 4S% Reg.
4% 1932..
Nova Scotia 4i% cc
Quebec 4% 1923....
3%.
C.No
4% bds. 1888..
44% Reg
Sask'eWn 4% deb 1923
5i%....
Vancouver 4% cons
4% bds
Toronto 4% deb. 1944-8.
44?o deb. 1948.
Victoria 34% 1921-6....
4^1920-25...
4% 1920-60 ...
•■ 54%cons. ....;
Winnipeg 4.J%c's. 43.63
4% cons
Uallna.VH
.Pac.4?„gr.deb.50
■ ■• Onl.3j%deb.'61
Can. Nor. 4% deb. I9;i9!
" 4% deb. 1930.
Can. Pac
■■ 4% deb.l
" 4% pfd.
G.T.P. Br. 4% bd 1939.
G.T.P.3%bds ..
G.T.P.4%I9S5 '
G.T. P 4% deb.
Or. Trunk... 4% guar.
Gr. TrunkS% 1st. pfd..
Gr. Trunk 5% 2nd pfd..
Gr. Trunk 4% cons
Ont. & Quebec 5% deb.
P.Gt.East.4j%deb.'42i
Ind.. Fin., Etc. |
Ca
■• 6% bds
Can. Cement 6% bds..
■■ 7% pfd...
Can. Cottons 5% bds..
Can. Bk. of Commerce.
lOSi
1784
67}
December 3. 1920 THEMONETARYTIMES 45
A Syndicate composed of the following firms: —
DOMINION SECURITIES CORPORATION, LTD. A. E. AMES & CO.
WOOD, GUNDY & CO. AEMILIUS JARVIS & COMPANY, LTD.
W. A. MACKENZIE & COMPANY THE NATIONAL CITY COMPANY
HARRIS, FORBES & COMPANY, INC. R. A. DALY & CO.
OSLER & HAMMOND R. C. MATTHEWS & CO. C. H. BURGESS B CO.
CANADA BOND CORP'N, LTD. CANADIAN DEBENTURES CORP'N, LTD.
C. R. CLAPP & CO. BRENT, NOXON & CO. HOUSSER, WOOD & CO.
MORROW & JELLETT UNITED FINANCIAL C0RP0R.4TI0N, LTD.
Offers, subject to prior sale —
New Issue
$6,000,000
Government of the
Province of Ontario
15 -Year 6% Coupon Gold Bonds
Dated 1st December, 1920 Due 1st December, 1935
Principal and half-yearly Interest (1st June and 1st December) payable in Gold
at the Office of the Treasurer of Ontario, Toronto, or at the Bank of Montreal,
Montreal or Winnipeg, at the holder's option.
Bonds may be registered as to Principal.
Denominations: $500 and $1,000.
Subject to Legal Opinion of Messrs. Malone, Malone & Long, Toronto.
These bonds and the interest thereon are a direct and primary obligation of
the Province of Ontario, and are a charge upon the Consolidated Revenue
Fund of the Province.
Price : 94.34 and accrued Interest
Yielding 6.60%
Interim certificates will be furnished pending delivery of definitive bonds.
"BUY, NOW, THE BONDS OF YOUR OWN PROVINCE."
46
THE MONETARY TIMES
Volume 65.
CORPORATION FINANCE
Canadian Pacific Railway Gross and Net Earnings Made
Record Showing in October — IJarcelona Traction
Results Not Quite So Favorable
Barcelona Traction, Light and Power Company. — While
net earnings in October increased satisfactoi-ily over the
figure of a year ago, the result did not mark up to previous
exhibits. Figures since the beginning of the company's fiscal
year illustrate this: —
Gross Net Net inc.
(Peset.). (Peset). (Peset).
March 2,533,815 ' 1,695,141 754,489
April 2,676,592 1,767,913 782,874
Mav 2,647,592 1,767,311 628,785
June 2,523,998 1,618,187 488,939
Julv 2,.542,202 1,570,414 451,773
August 2,715,020 1,716,904 463,834
September 2,910,418 1,945,823 793,844
October 2,795,106 1,831,392 520,795
Anglo-British Columbia Packing Company, Ltd. — At the
annual meeting of the company in London, England, recently
a good deal of criticism was voiced at the policy of the
British Ministry of Food, which had been eventually left
with 300,000 cases of pinks purchased by them at high prices,
which they could not dispose of. These stocks were carried
until last spring and summer, when they were thrown on the
market at very low prices, making it impracticable not only
for remaining stocks of pinks of the 1919 pack in other
hands to be sold at a reasonable price, but even to bring over
any of the 1920 pack at all until the market could recover.
The company's 1920 pack had amounted to over 255,000
cases, and could have been further increased if they had
cared to pack more second-grade fish, which, under the cir-
cumstances, was obviously inadvisable. Mar-ket conditions
had not improved since the end of the company's financial
year, and in the United States particularly buyers had been
very badly hit by the recent heavy decline in sugar and other
commodities.
In commentiHg on the reports for the period ended
June 30, 1920, the chairman stated that as the result of a
consistently conservative policy in the past, the company
was in strong financial position, and better able to carry on
through these difticult times than many of their weaker
competitors.
Canadian Pacific Railway Company. — Net earnings of
the company during October, 1920, showed an increase of
$2,353,040, as compared with the same month last year, and
$3,792,168, as compared with the September figure. This
fine result reflects a heavy increase in ti'aflic, due to the crop
movement, but an influential factor which must be considered
is the increased rates granted to the Canadian railways.
Gross and net earnings in October during the past ten
year.s shows the following conditions: —
October. Gross. Net.
1920 $24,800,632 $7,700,822
1919 18,296,652 5,347,781
1918 15,682,780 5,085,835
1917 . 14,733,774 5,054,701
1916 13,237,086 5,674,739
1915 14,443,214 6,579,434
1914 9,282,928 3,321,328
1913 14,480,206 5,602,8.58
1912 31,060,397 5,060.887
1911 11,207.991 4,681.104
The figures for the ten months reveal less satisfactoi-y
results. Of course, it could hardly be expected that the
result of one good month would be suflicient to offset the
detrimental results of the previous months. The ratio of
operating costs to gross earnings in the ten-monthly period
this year was 84.4 per cent., against some 80 per cent, in
1919. The ten months' gross and net figures since 1911 are
as follows: —
Ten months. Gross. Net.
1920 $172,238,035 $26,857,961
1919 142,536,626 28,401,051
1918 -. 126.763,755 28,292,903
1917 124,127,290 37,376,847
1916 113,900,875 39,891,110
1915 83,340.289 31,468,501
1914 94,965,464 29,944,471
1913 115,934,317 37,211,092
1912 109,697,419 37,305,286
1911 89,720,951 30,460,424
Brazilian Traction, Light and Power Company. — Despite
the fact that operating expenses were higher than in any
previous month this year, net earnings for October estab-
lished a n?w record. This was due to the fine showing made
by gross. The following figures give the monthly gross and
net for the ten months of the cun-ent year, together with
the increase of net over last year: —
Gross Net Net inc.
1920. (Milreis). (Milreis). (Milreis).
January 9,655,000 5.101.000 827,000
February 9,381.000 4,984,000 1,120,000
March ." 9,900,000 5,310,000 297,000
April 10,245,000 5,595,000 499,000
May 10,985,000 6,262,000 1,045,000
June 10,874.000 5,796,000 919,000
July 11,745,000 6,118,000 729,000
August 11,837,000 6,152,000 1,267,000
September 12,043,000 6,217,000 1,208,000
October 13,442,000 6,940,000 1,977,000
Famous Players Canadian Corporation. — Earnings in
excess of prospectus estimates, a strongly liquid position and
satisfactory progress with the corporation's proposed con-
struction program will be features of the first annual report.
The report will cover the twelve months ended August 28th,
1920, and, therefore, six months of the period since public
issue by Royal Securities Corporation of Famous Players
Corporation 8 per cent, first preferred shares.
It is understood that net profits will be considerably in
excess of prospective estimates at the time of issue of the
prefei-red shares. They will exceed $250,000. The fact that
the motion picture business is a non-inventory business, and
the holding by the corporation of a large cash resen'e for
use in its construction program, will be reflected in net cur-
rent assets at the end of the vear's operations of over
$2,500,000.
The corporation's progiam of a chain of large motion
picture theatres from coast to coast is well on the way to
realization. The present schedule calls for the opening of
seven new theatres in leading Canadian cities before June,
1921.
.\rcna (iardens. Ltd. — On November 9 the Toronto Gen-
eral Trust Corporation was notified by the company that it
intended to cease carrying on business, and did not intend
to resume it on account of its financial position. On the
request of Wm. Lyall. a bondholder to the extent of $19,900,
the Toronto General Trust Company named Chas. E. Robin
as receiver. On November 20 Justice Middleton confirmed
this appointment, naming him as receiver until a permanent
receiver is appointed at the trial.
It is stated by the Toronto General Trust Company that
in June, 1917, the bondholders temporarily waived the pay-
ment of interest on the bonds for four half-yearly periods,
commencing in September, 1917, and ending March, 1919.
In the event of a receiver being appointed, the interest on
these bonds for that period would become payable.
The present situation was described as one of "no pros-
perity, but wonderful prospects," by John Moody in an ad-
dress before the Toronto Board of Trade on December 1.
December 3. 1920
THE MONETARY I'IMES
DIVIDENDS AND NOTICES
International Petroleum
Company, Limited
NOTICE OF DIVIDEND No. 1
Notice is hereby given that a dividend of 25 cents United
States Currency per shai'e has been declared by the Directors
of the International Petroleum Company, Limited, and that
the same will be payable on or after the 3rd day of January,
1921, in respect of the shares specified in any Bearer Share
Warrants of the Company upon presentation and delivery
of coupons No. 1 attached to the said Bearer Share Warrants
at the following Banks: —
The Royal Bank of Canada, 60 Church Street, Toronto,
Canada.
The Farmers' Loan and Trust Co., 16-22 William Street,
New York, N.Y.
The Farmers' Loan and Trust Co., Limited, 26 Old Broad
Street, London, England, or
The Offices of the International Petroleum Co., Ltd., .56
Church Street, Toronto, Canada.
The payment to shareholders of record whose shares are
fully paid up at the close of business on the 31st day of
December, 1920, and whose shares are represented by Regis-
tered Certificates will be made by cheque, mailed from the
offices of the Company on the 31st day of December, 1920.
By Order of the Board.
J. R. CLARKE,
Secretary.
. .56 Church Street, Toronto, Canada.
1st December, 1920. 300
BARCELONA TRACTION, LIGHT AND POWER
COMPANY, LIMITED
(Incorporated Under the Laws of the Dominion of Canada)
5!, 9; FIRST .MORTGAGE 50-YEAR BONDS
Notice is hereby given that in accordance with the
reorganization scheme approved at the meeting of the holders
of the above bonds, held on the 19th December, 1918, I'/c
will be paid at the Canadian Bank of Commerce, 23 King
Street West, Toronto, on or after 1st December, 1920, in
full discharge of the half year's interest, due 1st December,
1920, against surrender of Coupon No. 18.
Coupons of the face value of £0:10:0 will accordingly
entitle holders to receive 97 cents in Toronto, and coupons
of the face value of £2: 10: 0 will entitle holders to receive
$4.86%.
Toronto, 30th November, 1920.
For BARCELONA TRACTION, LIGHT AND POWER
COMPANY, LTD.
R. H. MERRY,
304 Secretary.
BARCELONA TRACTION, LIGHT AND POWER
COMPANY, LIMITED
(Incorporated Under the Laws of the Dominion of Canada)
To the Holders of the 79f Prior Lien "A" Bonds:
Notice is hereby given that the Coupon Number 11 in
respect of the interest due and payable on the 1st December,
1920, on the T't Prior Lien "A" Bonds of the Company will
be paid on and after the 1st December, 1920, at the Bank
of Scotland, 30 Bishopsgate, London, England, and as their
Agents, at the Canadian Bank of Commerce, 23 King Street
West, Toronto, and at the Agency of the Canadian Bank of
Commerce, 16 Exchange Place, New York.
Dated this 30th day of November, 1920.
For BARCELONA TRACTION, LIGHT AND POWER
COMPANY, LTD.
R. H. MERRY,
303 Secretary.
The Royal Bank of Canada
ANNUAL MEETING
The Annual General Meeting of the Shareholders, of the
Bank will be held at the Head Office, 147 St. James Street,
in the City of Montreal, on Thursday, the 13th day of Jan-
uary, 1921, at 11 o'clock a.m.
C. E. NEILL,
General Manager.
Montreal, December 1, 1920. 297
THE STEEL COMPANY OF CANADA, LIMITED
ORDINARY DIVIDEND No. 16
Notice is hereby given that a dividend of one and three-
quarters per cent, on the issued and fully-paid Ordinary
Shares of the Company has been declared for the quarter
ending December 31st, 1920.
PREFERENCE DIVIDEND No. 38
Notice is also given that a dividend of one and three-
quarters per cent, on the issued and fully-paid Preference
Shares of the Company has been declared for the quarter
ending December 31st, 1920.
The above dividends are payable February 1st, 1921, to
shareholders of record at close of business, January 10th,
1921.
By Order of the Board.
H. H. CHAMP,
Treasurer.
Hamilton, Ontario, November 25, 1920. 301
CANADIAN CAR AND FOUNDRY COMPANY, LIMITED
Notice is hereby given that a dividend of one and three-
quarters per cent. (1 %';'() on the Paid-up Preference Stock
of the Company for the quarter ending December 31st, 1920,
has been declared, payable on the 10th day of January, 1921,
to Shareholders of record at the close of business on the
27th day of December, 1920.
By Order of the Board.
A. C. BOURNE,
Secretary.
Montreal, Nov. 30th, 1920. 302
48
THE MONETARY TIMES
Volume 65.
RECENT FIRES
Muskoka Free Hospital for Consumptives at Gravenhurst,
Ont., was Destroyed with Loss of $100,000— Garage
in Montreal Suffered Loss of $50,000
East Ansus, Que. — November 21 — House and barn of
Mr. Stevenson, on the Cookshire Road, was destroyed by fire.
There was no insurance.
Gravenhurst, Ont. — November 20 — Muskoka Free Hos-
pital for Consumptives was destroyed by fire. The fire
started in the diet kitchen. The loss is upwards of $100,000,
with insurance of $90,000.
Harrowsmith, Ont. — November 25 — Damage to the ex-
tent of $1,000 was done when a fire broke out in the Bank
of Nova Scotia.
Merritt, B.C. — November 22 — Fire broke out in the new
building recently opened by John McStay as a restaurant
and delicatessen store, completely destroying the interior.
One fatality.
Moncton, N.B. — November 23 — A fire broke out in the
Minto sample rooms on Robinson Street, doing $18,000
damage.
Montreal, (Jue. — November 24 — A garage at 5G3 Am-
herst Street, five autos were destroyed and seven others
practically ruined by water. The loss is $50,000.
November 2.5 — Damage which will probably amount to
about $6.5,000 was caused by a fire which broke out in the
premises occupied by the United Press Printing Co. on the
second floor at 2.'>-29 Notre Dame Street East.
Oshawa, Ont. — November 29- — Resideiice occupied by
Claud McQuaid was destroyed by fire. Defective wiring is
believed to have been the cause. The house was valued at
$7,000, partly covered by insurance.
Ottawa, Ont. — November 23 — Residence of George C.
Wright, 345 Waverley Street, was damaged by fire. The loss
is estimated at $900.
Parkhill, Ont. — November 27 — Residence of Robert
Whimp was destroyed by fire.
Perth, Ont. — November 22 — The frame building adjoin-
ing the Hotel Cecil was destroyed by fire.
Kimouski, Que. — November 28 — Garage owned by Mrs.
J. A. Theberge was destroyed, with eight cars. The loss is
$30,000.
Sydney, N.S. — November 12 — The department store of
J. F. Merchant and Sons on Charlotte Street was completely
gutted, damage estimated at over $100,000 being caused.
Toronto, Ont. — November 30 — A defective motor caused
$2,000 damage to the leather goods factoi-y of A. R. Clarke
and Co., 663 Eastern Avenue.
AnDiriONAI, INKOmiATION C0NCERN1N(; FIRES
Brantford. Ont.— November 22 — The Lake Erie and
Northern sub-power station on West Mill Street was de-
stroyed by fire. The fire was caused by an over-surge of
electricity on the wires, which ignited the oil in the trans-
formers and caused an explosion. The total loss is $58,500.
with $19,500 insurance.
Limoilou, Que. — September 7 — Roman Catholic pai'ish
house was damage<l by fire. The loss was $6,025, not $20,-
000, as previously reported in The Moih-l<iiy Times.
Ontario. — The fire marshal's report for the month of
October shows that during the month there were 760 fires,
with a loss of $1,005,952. Lightning was responsible for 102
fires. There were 99 barns destroyed, 415 dwellings, 65
stores and 56 manufacturing.
LIFE MAN.'VGER WANTED by large British company
contemplating transacting life insurance in Canada. State in
confidence all particulars, experience, salary expected, etc.,
Box 367, Moiitlary V'l'/iii-.t, Toronto.
CENTRALIZED CONTROL IN B.C. FIRE INSURANCE
Provincial Association Now Operating — Fire Danger on
Waterfront — Decision on Casualty Insurance
(Special to TJie Monetary Times.)
Vancouver, November 27, 1920.
THE British Columbia Fire Underwriters' Association as
reorganized has been operating but a few months, in-
sFead of two associations as foi'merly, one on the mainland
of British Columbia and the other on Vancoaver Island. The
wishes of the fire insurance companies were carried out by
centi-alizing the control and abolishing both associations,
reopening as a provincial body. The personnel of the ad-
ministration is as follows: R. S. Day, Victoria, general agent
of the Guardian Insurance Company, president; T. W. Greer,
general manager of the Pacific Coast Fire Insurance Com-
pany, vice-president; F. W. Rounsefell, A. W. Ross, Wm.
Thompson, F. W. Walker, C. R. Elderton, G. F. Rennie, all
of Vancouver; C. F. McHardy, Nelson; Senator A. E. Planta,
Nanaimo, and J. Forman, Victoria.
Fire Boat Again Urged
A serious fire on the waterfront, which was confined to
the entire destruction of one coast steamer and the partial
destruction of another, and which narrowly escaped being
a very serious conflagration, has for the hundredth time
raised the question of a suitable fire boat for Vancouver,
and the newspapers are again editorially warning the au-
thorities that their procrastination in this connection may
yet lead to grave i-esults.
A case of great interest to casualty insurance companies
has just been decided in the Supreme Court here. Mr. Han-
bury, a well-known lumberman, was driving Major Godwin
as a passenger in his automobile when the car was struck
by the British Columbia Electric train running between
Eburne and Vancouver. Mr. Hanbury was severely injured
and Major Godwin was killed. The widow of Major Godwin
sued Mr. Hanbury for damages. At the trial the jui'y, after
sitting until 11.30 at night, decided that Mrs. Godwin was
not entitled to damages from Mr. Hanbury.
Insurance Organization in Washington
B. L. Barry, field secretary of the Insurance Federation
of the State of Washington, delivered an address before the
insurance men of Vancouver at their monthly '"Get-together"
luncheon, held on November 23. He stated that there were
two organizations in Washington State which some thought
were running on parallel lines, namely, the Insurance Fed-
eration of Washington and the State of Washington Insur-
ance Agents' Association. As a matter of fact, their objects
arc entirely different. The Agents' Association was organized
to coi-rect vicious practices between agents and assist the
companies in every reasonable way to make the profession
a clean and honorable one, and operated in the best interests
to the public at large. The Insurance Federation was or-
ganized for political purposes only, although they, too, aimed
to act to the best intei'ests of the public.
The Vancouver Fire Insurance Agents' Association have
decided to hold a convention in Vancouver, to which fire
insurance a.gents throughout the province will be invited.
The date of the convention will be early in the coming year.
The agenda paper will cover a groat many questions of com-
mon interest, and the convention will no doubt result in a
provincial organization, with probably the same constitution
and by-laws for the dilTerent pi'ovincial insurance centres.
At a meeting of the British Columbia Automobile Un-
derwriters' Association, J. J. Banfield, of the Norwich Union
Fire Insurance Company, was elected president in place of
E. P. Withrow, resigned. It was also decided at this meeting
to reduce the public liability and property damage rate on
all commerical cars by 25 per cent. There are now sixty-
three companies in our organization.
-:d EvfRv FiciOAV
The Monetary Times
Printing Company
of Canada, Limited
"The Canadian Engineer"'
0n£tar5 ffiimcs
Review and Insurance Chronicie
of CCanatia
Established ISC'!
Old as Confederation
JAS. J. SALMOND
President ajid General Manager
A. E. JENNINGS
Assistant General Manager
JOSEPH BLACK
Secretary
W. A. McKAGUE
Editor
Rise and Progress of Canadian Life Insurance
First Company, Canada Life, was Started by Men Who Could Not Get Insurance
Here — Out of Thirty-Four Companies Started Under Dominion Laws, Twenty-
Four Remain — Growth of Life Companies, and How Their Assets are Distributed
By T. B. MACAULAY
President, Sun Life Assurance Company of Canada
PRIOR to 1847, life assurance was almost unknown in the
provinces of British America. The population was
small and scattered, and the policies in existence were almost
entirely British companies, chiefly the National Loan Fund.
In that year, however, the first Canadian life office was
founded, the Canada Life Assurance Co. At about the same
time a branch also was established of the Colonial Life of
Edinburgh, which had been established to operate in the
British Colonies in association with the Standard Life, with
which its business was afterwards amalgamated. These two
companies, one Canadian, one Scotch, had the field almost to
themselves, but the volume of their transactions was very
small. Gradually, however, new British competitors ap-
peared, and in 18(56 several American companies also estab-
lished themselves in the Dominion. The business of all com-
bined was, however, but small when measured by our present
standards. When in 1867 the Canadian provinces were fed-
erated and became the Dominion of Canada, the total of the
assurances in force was probably in the neighborhood of
$1.5,000,000, about one-fourth of the amount being in the
Canada Life, the remainder in British and American com-
panies.
First Canadian Company
The circumstances which led to the founding of the
Canada Life are of intei^est. Mr. Hugh C. Baker, of Hamil-
ton, Ont., a gentleman of considerable banking experience,
desii-ed to assure his life, and for that purpose applied to
one of the British offices. Being a rather sub-standard life,
there was a little hesitancy, and he was requested to go all
the way to New York for examination, no small undertaking
in those days, when railways were unknown and the only
means of transportation were stage coach and saddle. Mr.
Baker was a thoughtful, studious man, and he decided to
found a local company in his own town. He succeeded in
interesting a number of others, and thus in 1847 the Canada
Life Assurance Co., the pioneer office of the Dominion, came
into being. I may perhaps be pardoned for interjecting that
my honored father joined the staff of the Canada Life as its
accountant when it was eight years old, in 18.5.5. I have
often heard him speak of Mr. Baker, and always in terms of
admiration, and even of affection. He had a profound regard
for Mr. Baker's character, ability and devotion to the in-
terests of his company.
Those were the days when such men as he had to grope
in the dark to a large extent when faced with actuarial and
investment problems. Elaborate tables of policy values, with
the multitude of other helps which we now have, did not
exist. Mr. Baker had to do much of his o^vn calculating,
using chiefly, if I remember aright, the Carlisle 6 per cent.
*An address before the Association of Life Insurance
Presidents, New York, December 10, 1920.
tables for valuations. I have heard my father describe his
voluminous calculations in connection with premiums, re-
serves and bond values. Such work was congenial to him,
and the Canada Life was indeed fortunate in having such a
man as guide in its early years. In those days the public
knew almost nothing of the principles of life assurance, and
were indifferent to its advantages. In many cases there was
even keen opposition on the ground that it was an interfer-
ence with the workings of Divine providence. The company
had great difficulties to contend with, but Mr. Baker builded
even better than he knew, and the Canada Life as it stands
to-day is the monument to his enterprise and wisdom. Those
who were associated with him honored and cherished his
memory, and so should Canadians of a later generation.
Twenty-Five Year Interval
It was nearly a quarter of a century before any other
Canadian company entered the field. The federation of the
provinces, however-, stimulated greatly the national con-
sciousness and enterprise. In the late sixties several com-
panies were incorporated, and shortly afterwards began
business, the Ontario Mutual, now the Mutual Life of Can-
ada, in 1870, the Sun Life and the Confederation in 1871.
On the other hand, some of the American companies
withdrew as the result of the passage of legislation requir-
ing the deposit of securities for the benefit of Canadian
policyholders, among them the Mutual of New York and
the Connecticut Mutual. The Mutual Life protested that
it was impossible for it to comply with any legislation of
that character. It claimed that as a mutual company it
was prohibited from giving any section of its policyholders
a special lien on any portion of its assets. When we re-
member the dominating position occupied by the Mutual of
New York in the life assurance world of those days, it will
be realized that its withdrawal was felt to be a loss to the
insuring public of the Dominion. Incidentally the Sun Life
of Canada to a large extent owes its origin to this action
by the Mutual. Mr. M. H. Gault, M.P., chief representative
of the Mutual in eastern Canada, was one of the most
wealthy ami influential citizens of Montreal. He endeavored
to dissuade his company from withdrawing, but without
avail. He offered to personally put up the deposit required
by the government, but even this proposal was not ac-
cepted, and the company withdrew. Mr. Gault thereupon
secured an amendment to the charter of a now company
which he had already incorporated in 186.5, limiting it to
life and accident assurance, and changing the name to the
"Sun Mutual Life Insurance Co. of Montreal." You will
notice that the words are identical with the title of the
New York office, except that they are pi-efaced by the word
"Sun," and New York is replaced by "Montreal." The word
"Mutual" was actually a misnomer, for the company never
THE MONETARY TIMES
Volume 65.
was mutual. Why the great luminary was chosen as god-
father I never knew, and all who could throw any light on
the question have long since joined the* gi-eat majority..
Business operations were begun in 1871, and thus came into
existence the company now known as the Sun Life Assurance
Co. of Canada. When it was three years old, in 1874, Mr.
Robertson Macaulay was invited to take charge of its
destinies, and I hope I may be pardoned in saying that I,
his son, joined him three years later, in 1877.
The Mutual Life of Canada was founded by the late
Mr. Wni. Hendry, who has but recently passed away, leav-
ing a very fragrant memory. It began as an assessment
company, but Mr. Hendry early saw the weakness of that
system, and after consultation with Mr. Elizur Wright of
Boston, took steps to organize the company on standard
lines. It is good to know that he lived long enough to see
the company which he had created become one of the great
institutions of the Dominion.
The Confederation Life dates from the same year. I
understand that the name mentioned in the application for
the charter was the Dominion Life, but the members of
parliament of the new Dominion wore so afraid the public
might suppose there was some connection between the com-
pany and the government that they changed the name to
the Confederation Life. Its founder, Mr. J. K. Macdonald,
has been for just about half a century an outstanding figui'e
in Canadian life assurance, being now the last of the grand
old pioneers. He holds a unique and outstanding position
in several departments of Canadian life, and has been re-
peatedly honored by his fellow-countrymen, whose respect
and goodwill he enjoys to a very remarkable degree. Now
in his eighty-fourth year, his activity would put many a
young man to shame. Some years ago he retired from the
active management of his company, which passed to the
shoulders of his able and popular nephew, Brigadiei--General
W. C. Macdonald. The tragic death of this gentleman, how-
ever, not merely shocked and grieved us all, but compelled
Mr. Macdonald to resume the management. We are happy
to know that he is still the active president of the company,
paying partic^ular attention to the investment department.
With him are now associated his son and nephew. I under-
stand that policy No. 1 in the Confederation, taken out in
1871, forty-nine years ago, is on the life of Mr. Macdonald,
and is of course still in force. Long may our friend be
.spared to enjoy the honor and comfort which he has so
well earned.
Five Thousand Policies in Force
When these newly oi-ganized companies began to com-
pete for their share of business in 1871, the Canada Life had
in force slightly over five thousand policies, covering a little
more than eight million dollars of assurances. In those days,
however, these figures appeared very large. The company
had behind it twenty-four years of prosperous business life,
and its prestige was indeed great. Its assets of a million
and a quarter dollars were considered enormous for Canada,
and it had a record for large profits such as few companies
anywhere have been able to sustain. Canadians were, and
are, rightly proud of their pioneer company, which has now,
however, grown to a size and strength which would make
the men of 1871 gasp with astonishment.
Continuing the history of the Canada Life: On the death
of its founder, Mr. Baker, in 1859, the board of directors
.sent a deputation to the old country to select a successor
who would possess the advantage of training in the head
office of some British company. Their choice fell on Mr. A.
G. Ramsay, at that time connected with the Scottish Amicable
Life. I was privileged some time ago to read the interest-
ing correspondence which these representatives of the board
had with Mr. Ramsay, which led to his becoming manager
of the company, and ultimately, in 1875, its president. After
twenty-six years of arduous service, Mr. Ramsay retired in
.January, 1900, on a liberal and well-earned pension, which
he enjoyed for many years. He was succeeded by Senator
Geo. A. Cox, one of the most forceful and enterprising men
Canada has produced. He had been connected with the com-
pany for over thirty years before assuming the presidency.
He, in turn, was succeeded by his son, Mr. E. W. Cox, whose
cai-eer was cut short by death after but one year of office,
his successor being our friend, his brother, Mr. H. C. Cox.
president of the company at the present time.
Perhaps I may add that, to those who remember the
great part played by Mr. A. G. Ramsay in the development
of the company, it is very pleasing to know that the name
has not been allowed to drop out, for among those intimately
associated with Mr. Cox is Mr. Ramsay's grandson, another
A. G. Ramsay.
Numerous Other Companie:, Formed
The number of companies continued to increase. The
London Life began as a provincial company in 1874, taking
a Dominion license in 1885. The Noi-th American Life was
founded in 1884, by the late Mr. William McCabe, with whom
was associated Mr. Leopold Goldman, whom we are pleased
to have with us, and who has long been the head of his com-
pany. The Tempei-ance and General Life appeared in 1884,
aftei-wards amalgamating with the Manufacturers Life,
which began in 1887. These were followed in time by the
Dominion, the Excelsior, the Great West, the Northern, the
Imperial, and others.
As compared with the record at Confederation, of one
company, with assurances of about four and a half millions,
we have now twenty-four companies operating under Do-
minion license, with assurances in force at the present time
(1920) of approximately $1,650,000,000 within the Dominion,
and $2,000,000,000 if we include their foreign business.
A total of thirty-four Canadian companies have at
various times been licensed by the Dominion Insurance De-
partment, but in the course of years nine have reassured or
amalgamated, and one has liquidated. It is a matter of some
pride to Canadians that no person has ever lost a dollar
through the failure of any Canadian life office.
In addition several companies have been formed from
time to time under provincial charter, but those as a rule
have limited their activities to the confines of the particular
province in which they were formed, and their operations
have not been on a large scale.
Competition from United States
The Canadians, however, have by no means had the
field to themselves. Thirty to forty years ago the American
companies were exceedingly active, and made a great im-
pressive on the character of Canadian life assurance. With
the increasing competition from the Canadian companies, our
American friends after a while showed a tendency to some-
what neglect the field, but in more recent years some of
them, the industrial companies in particular, have been ex-
tremely active. Among these, in order of ordinary business
Life Assurance in Force in Canada— Ordinary and Industrial Combined
.■^t end Canadian
of companies.
18(;9 S 5,476,:5,58
1879 , .3.3,246,,54,'i
1889 125,125,(>92
1899 2.52,201,716
1909 615,415,437
1919 1,362,631,562
-Toof
American
'■■c of
British
'■r of
total.
companies.
total.
companies.
total.
15
9 13,885,249
39
$10,318,475
46
38
33,616,330
39
19,410,829
22
54
76,349,392
S3
30,488,618
13
62
113,943,209
28
38.025,948
9
66
217,956,351
28
46,985,192
6
62
758,297.691
35
(>6.90S,064
3
.Appi-oximate
population Assce.
Total. of Canada, per head.
35,680,082 3,386,000 $ 11
86,273,702 4,157,000 21
231,963,702 4,700,000 49
404,170,873 5,235,000 77
780,356,980 6,745,000 116
2,187,837.317 8,300,000
264
December 10, 1920
THE MONETARY TIMES
in force, come the Metropolitan, New York, Prudential,
Travelers, Aetna and Equitable. The Equitable is at present
withdrawing, but the other companies named show every
indication of being more energetic than ever.
Coming down to statistics, the earliest official figures
relating to the business appear in the first report of the
Dominion Superintendent of Insurance, published at the end
of the year 1875. The first year for which the business is
reported is 1869. The rapid development may be noted
from the table herewith, compiled from the reports of the
superintendent. For comparison I have added some details
regarding population.
Canadian Companies Go Abroad
The limitations imposed by the comparative smallness
of our population have been felt, and other parts of the
Empire and of the United States and Foreign fields have
proved atti-active. The Sun Life was the first Canadian
office to venture abroad, taking that step in 1879. For over
ten years It was alone in having outside branches, but it
was then followed by the Canada, North America, Manu-
facturers, Confederation, and others. Ten of our companies
are now doing business beyond the limits of the Dominion.
These outside agencies extend to many parts of the world.
With the exception of Australia and New Zealand there is
hardly a part of the British Empire in which one or more
of the Canadian companies is not operating, and the same
may be said of the West Indies and the Spanish-speaking
countries of South America. The partial withdrawal of the
American companies from foreign business as a result of
the Armstrong legislation has left the field more open to the
Canadian offices, which are gradually taking theii- place at
the international life assurance institutions of the world.
When speaking of foreign business, we do not include in
that category the branches within the United States. It
is not in our hearts to speak of our American friends, even
in business arrangements, as foreigners. We look on you
merely as our brothers who have set up business on your
own account, while we prefer to stay in pai'tnership with the
old firm. Such business independence, however, does not des-
troy the family relationship. Five Canadian companies have
such non-foreign branches in one or more of the American
states, the total American territory thus reached being ten
states and three dependencies.
The total business in force in Canadian companies out-
side of Canada is now (1920) approximately $350,000,000.
The industrial business in force amounts (1920) to
about $300,000,000, and is divided between the Metropolitan,
Prudential and London Life.
Life assurance exists for the pui-pose of relieving the
distress which would otherwise result from the removal of
the husband or father. All our activities, all our accumula-
tions, are for the purpose of enabling the companies more
extensively and more surely to perform this function. The
extent to which the social life of Canada has been thus
served may be seen by the following table: —
Payments to Policyholders in Canada By Companies
Operating Under Dominion License
Death Matured Other
Year. claims. endowments, payments. Total.
1869 . . S 315,018 (Incomplete— only figures available.)
1879 .. 818,698 S 120,044 $ .%4,736 $ 1,303,479
1889 .. 2.080,496 424,513 950,899 3,455,909
1899 .. 4,280,560 1,370.255 1,631,191 7,282,007
1909 .. 6,993,172 3,033,1.52 4,035,005 14,061,3.30
1919 .. 20,625,018 7,436,-582 14,350,6.59 42,412,260
Approximately $450,000,000 have already been thus dis-
tributed to policyholders and their representatives.
Philanthropy on a Business Basis
These figures are, however, a mere foretaste. I like
to remember that it is but a question of time when the
total sums assured by the companies will be paid out in
death claims or endowments. It is true, unhappily, that
some of the policies will lapse, but we can rejoice in the
fact that lapses form a continuously diminishing percentage
of the total, and in any case every policy thus cancelled is
at once replaced by several new ones. Viewing the matter
from a humanitarian standpoint, think what it will mean
to have, say, two bUlions of dollars distributed among the
population of Canada during possibly the next fifty years
to just the people who will need it, and at just the time when
they will need it. There is a danger that we may become so
absorbed in the commercial aspects of our calling that we
may at times forget its vast social importance. If there
is one business that can be said to approach the divine in
its character, that business is ours. I often speak of it as
philanthropy reduced to a business basis, and thus enabled
to be carried out on a scale compared with which all our
charitable efforts must of necessity be the veriest trifles.
We have the honor of being connected with the noblest busi-
ness on earth, which has already been a blessing to humanity
beyond power of measurement, but which in the future is
bound to be a factor of immeasureably greater magnitude
in the relief of human misei-j' and the uplifting of mankind.
On us falls the honor and responsibility of directing this
gi-eat movement. We must see that it is conducted safely,
energetically, and on a level in keeping with its character.
But this is a digression.
It is in times of unusual disti'ess resulting from some
great calamity that the benefits of life assurance are most
forcibly brought home to people. We have just passed
through one of the most trying periods that the world has
ever experienced, that of the war, and the subsequent in-
fluenza epidemic. These two great calamities, the second,
however, resulting directly from the first, have put life
assurance to a severe test.
War and Influenza Claims
The war claims which fell in under Canadian policies
totalled $20,353,638, and the influenza claims $12,695,902, a
total of $33,049,540, a large sum for Canada. All of these
claims may for practical purposes be regarded as extra-
ordinary losses, not contemplated in the original premiums,
but the companies have stood the strain in a way that has
surprised themselves. No more striking proof could have
been given of the soundness of the foundation on which the
business rests. The widespread distribution of the claims,
and the confidence thus created, have done more to popu-
larize life assurance than any amount of advertising pro-
paganda along the usual lines could have done.
The service i-endered by these institutions is, however,
by no means limited to the distribution of policy claims.
Our life companies have been a powerful factor in the de-
velopment of the country. The small savings of tens of
thousands have been gathered together in the form of ac-
cumulated reserves, and thus rendered available for mort-
gage loans and the purchase of government, municipal and
corporation debentures and stocks.
Distribution of Assets
The following table shows the total assets of the Cana-
dian companies at decennial dates, and the classified distri-
bution of their investments: —
Assets of Canadian Life Companies
Year. Mortgages. % Bonds. % Stocks. %
1879 $ 901,331 17 $ 2,516,025 48 $ 74,696 1
1889 8,945,126 46 3,807,526 20 897,789 5
1899 17,440,942 32 14,411,738 27 2,917,516 6
1909 45,339,423 29 60,801,240 38 9,971,652 6
1919 91,.325,101 24 179,510,373 47 24,979,354 6
Real Policy Other
Year. estate. 9^ loans. 9<- assets. %
1879 $ 229,476 4 $ .502,867 9 $ 1,811,167 21
1889 1,101,007 6 1,564,2.50 8 2,419,514 15
1899 4,523,069 8 5,425,091 10 9,036,850 17
1909 6,214,770 4 18,409,651 12 12,953,555 11
1919 16,791,000 4 44,611,927 11 19,259,135 8
THE MONETARY TIMES
Volume 65.
Year. Total assets. Total premiums.
1879 $ 5,303,219 $ 919,345
1889 18,735,212 4,459,595
1899 .53,755,206 9,250,569
1909 153,790,291 24,236,724
1919 376,476,890 66,953,436
This concentration of savings enabled the companies
to render unusual service to our government during the
course of the war. Their managements, one and all, loyally
devoted themselves to the task of supplying funds for the
prosecution of the great struggle in which we in common
with the rest of the Empire were involved. In the following
table I have included subscriptions by the Canadian com-
panies, and by the Canadian branches of American and
British companies which obtained their funds from their
Canadian policyholders.
SUBSCRIl'TIONS TO CaN/U)IAN Govern.ment Loans
First war loan $ 14,322,500
Second war loan 17,542.700
Third war loan 31,020,000
First Victory loan 51,967,400
Second Victory loan 49,390,550
Third Victory loan 70,871,000
$235,114,150
The larger subscriptions were not in all cases accepted
in full, but the amount actually allotted to the companies
and taken up by them totalled $182,538,350. The import-
ance of this action by our life assurance companies can hardly
be over-estimated. It was a handsome sum of money to
supply when our population is considered, but the indirect
value of the service was even greater. We must remember
that up to the beginning of the war there had never been
a Canadian government loan floated in the Dominion. Our
people prior to that time had always borrowed for their
LO.VN .4ND TRUST COMPANIES MIST KEI'ORT
Forms Now Prepared for Inspection by Dominion Depart-
ment of Insurance — Overlapping of Ta.xation to be
Discussed at Conference
(Special to The Monetary Times.)
Ottawa, December 9, 1920.
TN consequence of amendments passed at the last session of
J- Parliament to the Loan Companies' Act and the Trust
Companies' Act, forms are now being printed for the pur-
pose of sending out to all loan and trust companies in-
corporated under a Dominion charter so that they may
state on them all important facts with regard to the busi-
ness, finances and other affairs of the companies for the
year 1920. These forms will reach all these companies be-
fore New Year's Day, and they will be expected to forward
to the Superintendent of Insurance, not only full particulars
of the companies' business, but any special information
which the superintendent may require. All these returns
have to be in the office of the Superintendent of Insurance
before March 1st.
As a result of the two amendments passed last .session
inspectors will now visit the head offices of each loan com-
pany and each trust company at least once a year. The first
inspection visits will occur ;.«"ter the New Year, and in-
spectors will have every right to examine all books of each
company wth a Dominion charter, including minute books
of meetings of boards of dirt"ctors. It is understood that
special attention will be given in connection with this new
work of the Insurance Department to names on' various
boai-ds of directors in order to ascertain what ramifications,
if any, exist between directors of loan and trust companies
and directors of insurance or other companies.
An annual report must hereafter be made by tlie Sup-
erintendent of Insurance to the Minister of Finance with
requirements in Britain. Now they were thrown on their
own resources, and it was but natural that in some quarters
there should be timidity as to whether domestic loans could
be made a success. Even in some high financial quarters
pessimism was expressed, but when the subscriptions of
the life companies began to be made public, doubt vanished,
and was replaced by confidence and enthusiasm. The public
subscribed with a heartiness and goodwill which surprised
everybody. Canada came to know her own strength. The
government loans were a great success, and in bringing
about that success the life companies had been one of the
most important factors. Several of our companies were also
able, as a result of their external branches, to take worthy
proportions of some of the British and French loans.
In closing I should mention that in Canada we have
but one government department for the supervision and
regulation of assurance throughout the whole Dominion.
We thus have to deal with one central federal superintendent,
instead of with officials located in every province. We have
also one federal law, which regulates most of the details
of the business, the provinces having jurisdiction over only
local companies which have not secured a Dominion license,
and over certain of the agency and other operations of the
Dominion companies which are local in character. We do not
claim that our laws are perfect. What laws are? We do,
however, believe that we have one of the best Insurance Acts
to be found on the statute books of any country. The
Superintendents of our Insurance Department have more-
over not been appointed for political reasons. We have had
but three since the organization of the department in 1875,
and none of these gentlemen had ever taken any part in
active politics.
From the foregoing summary Canadians feel that they
are justified in looking with considerable' satisfaction on
what has been already accomplished in the Dominion in de-
veloping this noble business, and that they can look forward
to the future with the most absolute confidence.
regard to all trust companies and loan companies, but this
cannot now be expected before next May at the earliest.
When the superintendent believes that the assets of any com-
pany are insufficient to justify its continuance in business,
the minister can suspend or cancel the certificate of the
company, after giving it a reasonable time to present its
case. It may continue to transact business if the minister
issues a conditional certificate. Such conditional certificate
may provide that the company arrange to sell its assets and
transfer its liabilities to some other company. If, however,
no arrangement satisfactory to the minister has been made
for such sale and transfer, and if the company's condition
has not improved, it "shall be deemed ta be insolvent."
The announcement that premiers of the western pro-
vinces will come to Ottawa for a conference with the Do-
minion government with respect to that subject of almost
annual pilgrimage — the transfer to the provinces of the
natural resources still held by the Dominion in the Prairie
provinces — makes it probable that other matters of great
importance may also be discussed. There may be something
further with respect to the uniformity of labor laws through-
out the Dominion, and it is getting nearer to the domain of
practical politics each year that there shall be a conference
of the finance minister and his officials with provincial
treasurers and their taxation experts in order to map out
the area of revenue and prevent annoying and useless
duplication. It is understood that the finance minister is
himself of the opinion that such a conference is necessary,
and that the taxation powers of cities should themselves
come under scrutiny as well at such a conference, especially
with regard to civic income taxes. Whether such a confer-
ence would proceed further to consider proposals made re-
cently in westem Canada for a consolidation of the collec-
tion machinery for provincial, municipal and federal pur-
poses is doubtful.
December 10, 1920
THE MONETARY TIMES
nttatQ Stmes
Trade Review and Insurance Chronicle
of Canada
Address: Corner Church and Court Streets, Toronto, Ontario, Canada.
Telephone: Main 7404, Branch Exchange connecting all departments.
Cable Address: "Montimes, Toronto."
Winnipeg Office: 1206 McArthur Building. Telephone Main 3409.
G. W. Goodall, Western Manager.
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PRINCIPAL CONTENTS
Editorial : page
The Tariff Inquir>- and Politics 9
Banking in Canada and Abroad 9
Public Utility Rates and Costs 10
When the Councillor Appeals 10
Special Articles:
Rise and Progress of Canadian Life Insurance Com-
panies 5
Ontario Power Negotiations Successfully Concluded 14
Quotations an Important Factor in Foreign Trade. . 18
Insurance Department May Limit Agents' Com-
missions 26
Tariff Evidence in Ontario 28
Taxes Recoverable by Personal Action 30
Another Fire Company Will Do Business Here 34
Monthly Departments:
November Bond Sales 22
November Fire Losses 24
Weekly Departments:
News of Industrial Development in Canada 32
News of Jlunicipal Finance 36
Government and Municipal Bond Market 38
Corporation Securities Market 42
The Stock Markets 44
Corporation Finance ■. 46
Recent Fires 48
TH6 TARIFF INQUIRY
AND POLITICS
DECEMBER 6th brought the sessions of the Federal TariflP
Commission to a close, except for a special meeting
to be held in Ottawa for the presentation of some evidence
held over from ref;ular sittings. No interest is being evinced
as to what the commission will recommend, for the attitude
of the members and the policy of the government are already
well known. Premier Meighen has been preaching his policy
of "moderate" protection throughout the country, and Sir
Henry Drayton's remark in Toronto that what the commis-
sion wanted was evidence as to details rather than as to
■ general principles endorses the view that the present level
of protection will not be substantially altered. The govern-
ment has not wavered in its attitude, and now that a con-
traction in business favors an appeal for preference in the
home market and for support rather than pressure on
prices, grounds for a protectionist policy, from the stand-
point of popular support, will be all the stronger.
The tariff, in fact, is one of the few issues which are
so big that they cannot be taken out of politics. The fact
that a protective tariff favors city growth against that of
the country is well known and unquestioned. But is there
any scientific way of deciding whether city growth should
be favored? Certainly there is not, and, assuming that pro-
tection is agreed upon as to principle, there can be no theo-
retical method of determining the extent of such protection.
The general level of customs duties must be arrived at in
the political field, though the adjustment of detail, such as
the comparative duties on i-aw materials and on manufac-
tured goods, can be settled in a fairly scientific way.
There is, therefore, no prospect of a tariff reduction at
the hands of the pi-esent government, and if Sir John Willi-
son is right in saying that all parties became protectionist
when they came into power, then any change in government
will also be devoid of substantial change in duties. WTiile
free trade as a practical policy is out of the question for
the time being, and the present state of industry throws
the strong argument for preservation of the home market
on the side of the protectionists, yet it is not justifiable to
suppose that a farmers' government, or possibly a Liberal
government, might not bring about substantial reductions.
In any case, there is a growing movement in this direction,
which becomes stronger and sounder through political ex-
perience in the provinces, and which certainly will gain in
power if it sui-\ives the present critical period of depression.
There are sound arguments upon which the low tariff advo-
cates can always rely, such as the essentially primary char-
acter of Canadian industry, and there is also the effective
illustration of what was accomplished under free trade in
Great Britain.
BANKING IN CANADA AND ABROAD
THE end of November was marked in North Dakota by the
closing of another bank, the seventeenth which has been
compelled to acknowledge that its current funds were ex-
hausted. The financial situation in that state, as described
by those who have recently traversed it, is said to compare
closely with that which existed in 1907, when ordinary cur-
rency was unobtainable.
Almost all the banks in North Dakota, both state and
national, are said to be calling loans and refusing to part
with money. Many depositors, alai-med that they may be
unable to secure funds when they i-equire them, are antici-
pating this occasion and withdrawing money in advance, thus
rendering the position that much worse. New borrowers have
no chance to obtain funds in the state, and applications are
rejected every day. In Fargo and Grand Forks money is
reported just as tight as in outlying points.
The banking situation in Cuba is also critical. On No-
vember 29 President Menocal signed a decree extending the
existing moratorium from November 30 until December 31.
The moratorium will continue under the same conditions
which have prevailed since it was first ordered. Failure of
the Cuban Congress to convene and enact legislation neces-
sai-j' to relieve the existing financial situation in Cuba was
given by President Menocal as the reason for extending the
moratorium. Efforts by administration leaders to convene in
THE MONETARY TIMES
Volume 65.
Congress to consider financial measures have so far met with
failure. Liberal members persist in their determination to
absent themselves from sessions of the Lower House, and
the extension of the moratorium is looked upon as a further
opportunity given Congress to reach a solution of the diffi-
culties confi-onting business interests throughout the country.
Canada is fortunate in being able to turn the corner
without having the bank crises which have been experienced
in Japan, Cuba and North Dakota. In each case there were,
of course, special causes which contributed to the failure of
banks. In Japan it was the drop in silks, combined with a
quick contraction in business generally, which brought down
at least one bank which was closely allied with the silk
trade. The fall in the price of sugar tested the strength of
the Cuban institutions, and the fact that a moratorium was
required indicates that they were not able to handle the
situation. The strength of the banks of North Dakota has
been undermined by the government of the Non-Pai-tisan
League, a socialistic party, and the drop in wheat sent many
to the wall. The relative strength of Canadian banks is indi-
cated by the fact that they were among the last to take ad-
vantage of the Cuban moratorium, drawing heavily upon
their main resources to meet the situation. An extensive
scale of operations in varied industrial fields combine to give
the Canadian banks strength which is not enjoyed by the
local institutions, or one specially identified with a single
industry.
It would seem that patrons of street cars, and particu-
larly those interested in Labor circles, who paid five cents
a ride when the carmen were getting 19 cents an hour, should
have no difficulty at all in seeing a thoroughly logical rela-
tionship between the increase of fare to 6^4 cents and the
present wage scale for carmen of 60 cents an hour.
I'LBLIC UTILITY RATES AND COSTS
ARE shareholders to-day opposing the purchase of public
utilities by the cities of Canada? This question can
best be answered by another. How many public utility com-
panies are now making' a profit commensurate with the in-
vestment and with oui-rent rates of interest ? The answer
to the latter is that there are very few, and bondholders and
shareholders, as a general rule, welcome the opportunity to
exchange their unprofitable investmehts for municipal se-
curities yielding the high rates which must now be paid on
new borrowings. What the shareholders do urge, however,
and fairly so, is that prices fixed by arbitrators be in pro-
portion to present replacement costs, and that assets be not
depreciated through years of starvation.
The attempt is continually being made by public owner-
ship politicians to create the impression that the shareholders
are averse to selling out, and, since the corporation is opposed,
it must be good business for the citizens. An illustration
is found in the case of the Winnipeg Electric Railway. But
the facts show that on October 25, 1918, when the company
first applied to the city council for an increase in fares,
counsel for the Winnipeg Electric Railway Co. made the
following statement: "I feel certain that if the city council
should pass a resolution that they are in favor of taking over
the street railway utility now, under the terms of By-law 543.
they would get a hearty response from the shareholders,
whom, I am sure, would be quite willing to hand it over to
them." That statement was made in reply to a suggestion
that the company should cease operating the utility, but
there has been no further action taken. Neither has the offer
been withdrawn.
Those who to-day upbraid the company for giving citi-
zens a street railway service also demand that if the com-
pany is to continue operating the utility, then it should
revert to the old franchise fares. It is to be assumed that
those people who make such a demand are logical enough
to concede that the quality of serv^ice given, too, should be
governed by the old franchise provisions. If this were the
case, Winnipeg would have a street railway which extended
no further than the city limits; did not operate on Sundays;
did not run after midnight; served only the downtown sec-
tions; and charged double fares after 11 p.m. Furthermore, '
it would have street cars which were without safety devices;
heated only with a stove placed in centre of floor; without
double windows, front exits, etc., and would be paying its
motormen and conductors not sixty cents an hour, but nine-
teen cents an hour.
WHEN THE COUNCILLOR APPEALS
THIS is the season when municipal councillors pledge them-
_ selves to efficiency and economy, principles which appeal
to the elector in the abstract, but in which he is not inclined
to concur in actual practice. While the municipal council
has the tacit approval of the electors in the frenzy of expen-
ditui-e and borrowing which has taken place in Canada, it
is not correct to assume that the voter is fully conversant
with the financial record of the appealing councillors. His
political memory is short-lived, and he is inclined to vote
on the strength of promises rather than of past deeds. Now
that considerable unemployment is an important factor, this
will be all the more true of the coming elections. What
aspirant to political office would dare to pledge himself to
a policy of free spending and bon-owing when such a policy
can be carried out under the name of progress and public
service? The transition is easy, and requires only a gentle
suppression of the political conscience. "The devil was sick, —
the devil a monk would be; the devil was well, — the devil
a monk was he."
But the financial record of councillors would be better
impressed upon the elector if annual financial statements
were presented before rather than after elections. S. B.
Prest, of Souris, Man., suggests in a letter to Tlic Monetary
Times "that councillors should be elected a month or six
weeks after the end of the financial year in place of before
it as at present. An amendment to the Act along> these lines
would enable people to better size up the acts of the old
council before they are called upon to elect a new one, as
they could have the audited statements in their hands before
they went to poll their votes. Nobody ever hears of share-
holders of an incorporated company electing their directorate
before the annual statement was issued, and I can't, for the
life of me, see why municipal affairs should not be run along
the same lines, and I would be pleased to hear what objec-
tions there would be to the change suggested."
This is brought about to a large degi-ee, it should be
pointed out, by the practice of cities, such as Regina, Sas-
katoon and Edmonton, in preparing ten-months' statements,
which are available before the end of the year. A year's
record would be more conclusive, however, and it would be
both sound and practicable for elections to be held about
March first. Financial responsibility would then be definitely
fixed upon the members who appealed for re-election. This
is not the only consideration in municipal politics, but it is
one which is not sufficiently emphasized in the misrepresen-
tations of a political campaign.
The British Food Controller sees in the fall in the price
of wheat in America and Australia a sign of a real change
in the economic situation in Great Britain, says a cable
from London. The Food Controller is to be congratulated
for recognizing a real solution of the problem which he has
been up against. ,, , ,, *
The proposal for the French government to operate a
huge lottery yielding sixty billion francs a year in profits is
a blow to the credit of that great nation. It is a bad day
when the avarice of the small investor must be exploited
to save the finances of the state.
The Ontario farmer who said that "the price of wheat
had gone down, why should not the price of telephones fol-
low?" forgets that, though the price of telephones followed
the upward movement of wheat, there was a considerable
interval between.
December 10. 1920
THE MONETARY TIMES
Bank of Hamilton
HEAD OFFICE
HAMILTON
Established 1872
Capital Authorized
Capital Paid Up October 30th, 1920)
Reserve Fund (October 30lh, 1920)
$5,000,000.00
4,889,770.00
4,644,885.00
Directors
SIR JOHN HENDRIE, K.C.M.G., C.V.O., President
CYRUS A. BIRGE. Vice-President
C. C. DALTON ROBT. HOBSOX W. E. PHIN
I. PITBLADO. K.C. J. TURNBUU W. A. WOOD
Branches
At Montreal, and throughout the Provinces of
Ontario, Manitoba, Saskatchewan, Alberta and
British Columbia.
Savings Department at all Offices.
Deposits of $1 and upwards received.
Advances made for Manufacturing and Farming
purposes.
Collections effected in all parts of Canada promptly
and cheaply.
Correspondence solicited
J. P. BELL
General Manager
TRADE EXPANSION
The fundamental principle
of this Bank is — to foster the
growth and development of
Canada's enterprises and
resources.
Advances will be made to
aid in the expansion of
legitimate undertakings.
Consult our Manager as to
your present and future plans
IMPEKIAL BANK
OF CANADA
212 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited, Edinburgh and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
Helping
Humanity
DETWEEN the wheat on our prairies
and the daily bread of the people
of this country and of distant lands runs a
long chain of operations, each link of
which is strengthened by banking services.
For 55 years this Bank has been privi-
leged to furnish a substantial part of the
financial energy necessary in the growth,
transportation and marketing of Canada's
vast crops.
UNION BANK
OF CANADA
THE
Bank of Nova Scotia
Established 1832
Capital
Reserve
Total Assets
$9,700,000
$18,000,000
$230,000,000
GENERAL OFFICE . TORONTO, ONT.
H. A. R.chardson. General Manager
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic, Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
53. OLD BRO.AD STREET, E.C.2
THE MONETARY TIMES
LEADING FIGURES IN POWER DEAL
Terminating ten years of conflict and two years of
negotiation, Sir Adam Beck and Sir William Mackeiizie,
Ontario power leaders, have reached an agreement, whereby
all of the import-
ant electric gen-
erating plants in
the province, with
the exception of
the Dominion
Power and Trans-
mission Company,
Hamilton, wUl be
placed in the
hands of the
Hy d ro-E 1 ecbric
Power Commission,
providing that
Toronto ratepay-
ers ai'e agreeable.
Details of the ne-
gotiations are
given elsewhere in
this issue. Sir Adam
Beck, who was
chiefly responsible
in bringing about
the big deal, was
appointed commis-
sioner to investi-
gate development
SiK Adam Beck and distribution of
Chairman of the Hydro-Electric Power electric power
Commission of Ontario from Niagara
Falls in 1903, and
ever since he has been closely identified with the policy of
supplying cheap electric power to the people of Ontario.
In 1906 he introduced a power bill to the Ontario Legisla-
ture, creating a
commission under
the above name.
Through all these
years as chairman
of that body, he
has worked inces-
santly against
strong opposition.
S i r William
Mackenzie, w h o
heads the interests
selling out, has
been identified
with railway, pow-
er and public
utility projects in
Canada for twenty-
five years past.
In partnership
with Sir Donald
Mann he built the
Canadian Xorthern
Railway, sold to
the Dominion gov-
ernment in 1918.
The Toronto Rail-
way Company and
its subsidiaries was the chief public utility group with
which he is identified. In addition he is a director of
several financial institutions.
PERSONAL NOTES
Sir William Mackenzie
Former "Power King" of Ontario, Whu
Offers Holdings For Sale
N. F. HoxiE, formerly of Goldman and Company, in-
vestment brokers, Toronto, has joined the staff of H. J.
Dingman and Company, bond dealers, Toronto, as sales
manager.
W. C. MuiR has been appointed general manager of the
Canadian National Express Company, with headquarters at
Winnipeg. Mr. Muir was formerly general superintendent of
the company.
Thomas Bradshaw, general manager of Massey-Harris
Company, Toronto, and formerly finance commissioner for
the city of Toronto, has been elected to the directorate of
the Toronto General Trusts Coi-poration.
R. H. Metzler, for many years resident partner at Hali-
fax of the stock brokerage firm of F. B. McCurdy and Com-
pany, whose financial business was recently sold to Johnston
and Ward, members of the Montreal Stock Exchange, has
associated himself with the new firm as a partner, and will
take over the management of its Montreal office.
Lieut.-General Sir Arthur Currie, pi-incipal of McGill
University, and Sir Lomer Gouin, formerly prime minister
of the province of Quebec, were elected to the board of
dii-ectors of the Bank of Montreal at the annual meeting of
the institution, held in Montreal this week. This action
followed the approval of the shareholders of a change in the
bank's by-laws increasing the number of directors constitut-
ing the board to eighteen, instead of sixteen, and brings the
number of the present personnel up to seventeen. The other
directors were re-elected without change.
\t a meeting of the board of directors of the Merchants
Bank of Canada this week, a bonus of 10 per cent, to the
iMitire staff was voted.
BANK PRESIDENT LOOKS FOR EASIER CONDITIONS
Discussing falling prices and a remedy for them. Sir
Vincent Meredith, president of the Bank of Montreal, in an
address at the annual meeting of shareholders on Decem-
ber 6, said an international scheme was necessary for the
financing of foreign trade, owing to the dislocation of foreign
exchange. Pending the adoption of such a scheme. Sir Vin-
cent said Canada should act on its own initiative by estab-
lishing a corporation to foster foreign trade so as to keep
factories busy and give employment to labor. Sooner or
later, he declared, such a corporation must be launched,
adding: "If foreign trade can be revived it will solve many
of our difficulties."
Speaking of the burden imposed on the country by na-
tional railways operated at a heavy loss, he expressed the
opinion that the railways should be placed under corporation
control upon terms fair to the country. He also expressed
the opinion that no more ships should be built by the gov-
ernment, as world tonnage already exceeded requirements.
"The strain on credit," continued Sir Vincent, "appears
to be now reaching its peak. An easier tendency is the logical
outcome of deflation of prices. Manufactui-ers and whole-
salers are revising inventory values to meet the changed
conditions, and retailers must adopt the same policy to induce
the public to again freely enter the market. The pui'suance
of this course will tend to ameliorate the labor situation by
lessening unemployment and should prove a factor in ward-
ing off slackness of work, which acts and reacts to the detri-
ment of business. Employment is the sovereign remedy for
labor unrest. The commercial mortality of Canada has been
notably low for several years past, but it must be expected
that the process of deflation and slacker trade will somewhat
swell the failure list, a contingency for which prudent bank-
ers prepare. Some reduction of bank deposits may also be
apprehended. I believe, therefore, that this is a time to keep
close-hauled, to prepare against gusts without inviting gales,
and to recognize the existence of world-wide conditions pre-
saging a substantial readjustment of commodity prices be-
fore rock-bottom is reached."
December 10, 1920
THE MONETARY TIMES
13
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I THE Sterling Bank |
I OF CANADA |
fiiiiiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiKiiiiiiiiiiinniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiuiuiiiiiiiiiiniiiiiiiiiiiiiiiniiniiiiniiiiii
If you are interested in obtaining a faster and
more complete Collection Service ; a speeding up
of every Banking transaction ; sound, constructive
advice based on a personal knowledge of your
business and opportunities — let us become ac-
quainted— in your office or ours.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament. Establiskbd 1825
Capital Subscribed /S.OOO.OOO 825,000,000
Paid up 1,100,000 5,500,000
Uncalled 3,900,000 19,500,000
Reserve Fund 1 ,000,000 5,000,000
Head Office - EDINBURGH
WILLIAM CARNEGIE, General Manager. GEORGE A. HUNTER. Sec.
LONDON OFFICE— 37 NICHOLAS LANE, LOMBARD ST., E.C.4
T. C. RIDDELL. DUGALD SMITH.
Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, are
retired on terms which will be furnished on application.
Norwich Union
FIRE INSURANCE
SOCIETY LIMITED
(Founded 1797)
Norwich, England
Fire Insurance
Accident and Sickness
Employers' Liability
Plate Glass
Automobile Insurance
Head Office for Canada:
NORWICH UNION BUILDING
12-14 Wellington St. E., Toronto
The Standard Bank
of Canada
Established 1873 152 Branches
Canital (Authorized by Act of Parliament) $5,000,000.00
Capital Paid-up 3,500,000.00
Reserve Fund and Undivided Profits 4,7^7.326.90
DIRECTORS
Wellikgton Francis, K.C, Hubert Lan
President
W. F. Allen, F. W. Cowan,
James Hardy. F.C.A.,Thos. H. Wood.
Head Office, 15 King St. West TORONTO. Ont.
C. H. EASSON. General Manager.
J. S. LOUDON, Assistant General Manager.
SAVINGS BANK DEPARTMENT AT ALL BRANCHES
Vice-Preside
B. Greening, H. Langlf
TheD
ominion
ESTABLISHED 1871
Bank
Capital Paid-up
Reserve Fund
$6,000,000
7,000,000
Efficient service in all departments ot Banking.
Sterling Drafts bought and sold.
Travellers' Cheques and Letters of Credit issued.
Corporation Trusts
Fiscal Agent
As Fiscal Agent for Corporations
or Municipalities, this Company at-
tends to such matters as the Disburse-
ment of Dividends and Interest, the
payment of Bonds and Coupons, the
safe keeping and application of Sink-
ing Funds to their intended use.
THE BANKERS
TRVSr GOMB\NY
Head Offices: MONTREAL
Authorized Capital $1,000,000
Offices : MERCHANTS BANK BUILDING
THE MONETARY TIMES
Volume 65.
ONTARIO I'OVEK NEGOTIATIONS SUCCESSFULLY
CONCLUDED
Hydro Commission ami the City of Toronto Close Big Deal
With JIackcnzie Interests— Nearly Thirty-three Millions
Involved — Ratepayers Will Vote
BY the conclusion of negotiations between the Hydro-
Electric Power Commission of Ontario, the city of To-
)-onto and the Mackenzie interests the province of Ontario
comes into possession of a generating and distributing power
organization greater than any other in the world. The deal
has gone through, but is still subject to the approval of the
ratepayers of the city of Toronto. Very little opposition is
expected when the vote is taken in January, however. The
public-owned Hydro system has been in actual operation for
ten years, while the negotiations just concluded have been
in progress for over two years. In all, eighty-four companies
are now part of the system, all of which were secured by
negotiation. The added sources of power supply will, it is
expected, eliminate the constant danger of interruption in
service, and, with the addition of the energy to be generated
by the Chippawa development, ought to guarantee unbroken
service and ample power.
According to Sir .\dam Beck, chairman of the Hydro-
Electric Commission, thei-e will be no occasion for the se-
curing of any additional right-of-way for some thirty or forty
years. The only power system in Ontario which is not now
publicly owned and operated is that of the Dominion Power
and Transmission Company, of Hamilton.
Details of the Transaction
As summarized by R. J. Fleming, manager of the To-
ronto Railway Company, details of the transaction are as
follows: —
"The Toronto Railway (Jompany will sell to the Hydro-
Electric Power Commission of Ontario: —
"(a) All of the issued capital stock of the Toronto Power
Co., Limited, of par value of $3,000,000.
"(b) All of the issued capital stock of the Toronto and
York Radial Railway Co.
"(c) All of the issued capital stock of the Schomberg
and Aurora Railway Co., which three companies control the
property commonly known as the Toronto Power Co., Limited,
the Toronto-Niagara Power Co., the Electrical Development
Co. of Ontario. Limited, the Toronto Electric Light Co.,
Limited, and the Toronto and York Ridial Co., also the
Schomberg and Aurora Railway Co.
"The sale, if made, to take effect as from the first day
of December, 1920, as of which date all taxes, insurance and
other necessary adjustments are to be made.
"The consideration to be $32,734,000, payable to the To-
ronto Railway Company as follows: —
"(a) .Approximately $0,971,29,') in 6 per cent. 20-year
bonds of the corporation of the city of Toronto, dated De-
cember 1, 1920:—
"(b) Approximately $2,375,000 of 20-year 6 per cent,
bonds of the Commission, dated December 1, 1920, secured
by first mortgage on the properties of the Toronto and York
Railway Co. outside the city of Toronto, which bonds are to
be guaranteed by the province of Ontario as to principal and
interest, and issued under the terms of the Hydro Radial .Act.
"(c) Approximately $613,528 of 20-year 6 per cent, bonds
of the Hydro Commission, dated December 1, 1920. guar-
anteed as to principal and interest by the Province of Ontario.
"(d) The assumption by the Commission of the under-
lying bonds and the interest and sinking funds thereon of
the Toronto Power Co., Limited, as follows: —
"(1) First mortgage 5 per cent, bonds of the Electrical
Development Co. of Ontario, secui'cd by trust deed, dated
1st March, 1903, now outstanding in the hands of the public,
$4,335,000.
"(2) Four and a half per cent. 30-year debenture stock
or bonds of the Toronto Power Co., Limited, now outstanding,
amounting to $13,5.")8.917.
"(3) Five per cent, mortgage bonds, maturing 1st July,
]!)24 (secured on preferred stock) of Electrical Development
Co., Limited, $4,103,200.
"(4) Three-year 6 per cent, promissory notes of the
Toronto Electric Light Co., Limited, secured by the deposit
of $1,000,000 of first mortgage bonds of that company, on
which there is due for principal $840,000.
"(5) Outstanding shares of Electrical Development of
Ontario, Limited, $13,100.
"Total, $22,850,217, less sinking fund, aggregating ap-
proximately $75,040, $22,775,177."
Summed up, the figures are as follows: Total purchase
price, $32,734,000; obligations to be assumed, $22,775,177;
bonds to be delivered, $9,959,823.
The terms of the purchase, as indicated in the letters
exchanged, provide for no immediate cash payment on the
part of either the city of Toronto or the Hydro-Electric Power
Commission.
Toronto's Part
Toronto will purchase that portion of the Metropolitan
division of the Toronto and York Radial Co. within the city
limits for $585,000, which is considerably less than the por-
tion of $790,000 given to Mayor Church some time ago, which
included $40,000 indemnity to the county of York for the
services guaranteed by the company under its franchise.
The city will assume $840,000 G per cent, bonds of the
Toronto Electric Light Co., due $30,000 every three months
until 1922, when the balance matures, and will issue 20-year
6 per cent, bonds for the balance.
The total cost of the distribution system and the Metro-
politan division will be $7,811,295. To this must be added
$2,735,000 for the Scarboro' and Mimico divisions, the bal-
ance of the Metropolitan division of the Toronto and York
Radial Railway Co., which brings the total obligations of
Toronto to $l6,.546,295.
In respect of the acquisition of the Scarboro' and Mimico
divisions, the city of Toronto will deposit its bonds with the
Hydro-Electric Power Commission, and the commission will
issue its bonds, guaranteed by the province of Ontario. It
is provided in the agreement of purchase that any of the
municipalities thi'ough which either the Metropolitan, Scar-
boro' or Mimico divisions pass may have the option of be-
coming partners in the scheme, and may substitute their
securities for those of the city of Toronto.
Saving on Power
That the new system will be an economical one is evi-
dent. The price of power to the Toronto Railway Co. now
is $25 per h.p. for the block of 40,000 being received from
the Toronto Electric Light Co. The operating costs of the
Toronto Railway Co. are based on this figure. Officials of the
Transportation Commission estimate that power can be de-
livered to the railway for $9 less, which would mean a saving
of $360,000 per year to the city in respect of the operating
cost of the railway.
While the preliminary details have been completed, the
biggest part of the job has yet to be faced. This includes
the uniting of the several i-adials. The Hydro Commission
already has surveyoi-s at work, but no definite commence-
ment can be made until the ratepayers have given their
approval.
RAILROAD GETS HIGHER RATES
The Board of Railway Commissioners, in a judgment
handed down on December 1, approves the application of the
Windsor and Lake Shore Rapid Railway Co. asking that the
recent 40 per cent, increase in freight rates be applied to
that road. In granting the request the board points out
that for the year ending June 30, 1919, the road had a
deficit of approximately $15,000, while for the year ending
June 30, 1920, there was a net income, after paying interest
and taxes, of but slightly over $5,000. In neither of these
years was any dividend paid on the capital stock.
December 10, 1920
THE MONETARY TIMES
15
Bank of New Zealand
ESTABLISHED IN 1S61
Bankers to the New Zealand Government
CAPITAL
Paid-Up Capital ($13,284,026) and Reserve Food
($12,166,250) $25,450,276
Uodmded Profits 713.039
Aggregate Assets at 31sl Marcb, 1920 257.500,944
Head Office:
WELLINGTON
NEW ZEALAND
H. BUCKLETON
General Manager
THE BANK OF NEW ZEALAND has Branches at
Auckland. Weilington, Christchurch, uunedin. and 203 other
places in New Zealand; also at Melbourne and Sydney
(Australia), Suva and Levuka (Fiji). Apia (Samoa), and
The Bank has facilities for transacting every description
of Banking Business. It invites the establishment of Wool
and other Produce Credits, either in sterling or dollar s. wi. h
any of its .Australasian Branches.
LONDON OFFICE: 1 Qoeen Victoria Street, Mansion House, E.C. 4
CHIEF CANADIAN AGENTS .
Canadian Bank of Commerce Bank of Montreal
-HomeBanki^Canadai
PURPOSE OF BANKING
Every dollar depo::;ited with the Bank is a dollar
applied towards financing home industries or bus-
iness enterprise. It is at once thrift and expert
finance to maintain a ravings account.
Branches and Connections Throughout Canada
Head Office and Eleven Branches in Toronto s-io
THE-
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
head office, wevburn. saskatchewan
Branches in Saskatchewan at
Weyburn, Yellow Grass, McTaggart, Halbrite, llidale
Griffin, Colgate, Panginan, Radville, Assiniboia, Benson,
Venvood, Readlyn, Tribune, Expanse. Mossbank, Vantage,
Goodwater, Darmody, Stoughton, Osage, Creelman and
LewA'an .
A GENERAL BANKING BUSINES.S TRANSACTED
H. O POWELL. General Manager
TH€ M€RCHANTS BANK
Head Office : Montreal. OF CANADA.
Established 1 S64.
Capital Paid-up, $8,400,000 Reserve Fund and Undivided Profits, $8,660,774
Total Deposits (30th October, 1920) - Over $170,000,000
Total Assets (30th October, ISZO) - Over $209,000,000
Board of Directors :
.SIR H. MONTAGU ALLAN Vice-President
A. J. DAWES
Sir F. OrkOrk-Lewis, Baft.
Hon. C. C. Ballantyne
F. Howard Wilson
Farouhar Robertson
Geo. L. Cains
Alfred B. Evans
Thomas Ahearn
Lt.-Col. J. R. MOODIE
Hon. Lorne C. Webster
E. W. Kneeland
Gordon M. McGregor
General Manager - - - D. C. Macarow
Supt. of Branches and Chief Inspector : T. E. Merrett
General Supervisor - - - W. A. Meldrlm
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice.
399 Branches in Canada, extending from the Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookall, Agents
London, England, Office, 53 Cornhill : J. B. Donnelly, D.S.O., Manager
Bankers in GreaC Britain : The London Joint City & Midland Bank, Limited, The Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
BANK BRANCH NOTES
Three New Branches Announced This Week — Twenty-Seven
Opened and Seven Closed in November
The following is a list of branches of Canadian banks
which have been opened recently: —
Hamilton, Ont. (Lettridge and
Barton Streets) Royal Bank of Canada
Windsor, Ont Imperial Bank of Canada
Toronto (Bathurst and Queen
Streets) Royal Bank of Canada
The Dominion Bank is going to erect a new building on
the south side of King Street at Wentworth St., Hamilton.
The Canadian Bank of Commerce has purchased property
on the south side of Wellington St., Ottawa, for $40,000.
J. C. Scott, who has been in charge of the branch of the
Standard Bank at 337 Portage Ave., Winnipeg, is leaving for
Calgary, where he will be engaged in the department of the
supervisor as an inspector. He is succeeded by W. R. McKen-
zie, who comes from the head office in Toronto.
K. D. Johnson, who has been connected with the Molsons
Bank in Lethbridge for several years, is taking a two-
months' "vacation for recuperating his health, and then will
go to Revclstoke, B.C., as manager of the bank there, the
position being now temporarily filled there by A. C. Hogarth,
manager of the branch in East Vancouver. Mr. Johnson is
succeeded by J. F. Shaw, who has been manager of the branch
in Revelstoke.
James Fleming, formerly accountant in the Royal Bank's
branch at Woodbridge, Ont., who had been arrested in con-
nection with the robbery at that branch, but against whom
the charge was later withdrawn, has re-entered the service
of the bank in Toronto.
Branches Opened in November
During the month of November there were 25 branches
of Canadian banks opened. The following have not been
mentioned in The Monclary Tinu-s: Cairo, Ont., Royal; Cap
Rouge, Que., Hochelaga; Castries, St. Lucia, B.W.I., Royal;
Englchart, Ont., Imperial; Hamilton (Main and Sherman),
Royal; Homewood, Ont., Union; London, Ont. (Dund'as and
Wellington), Montreal; Mansfield, Ont., Union; Minesing,
Ont., Union; Montreal (Mt. Royal and Bordeaux Streets),
Molsons; North Wiltshire, P.E.I., Royal; Primate, Sask., Im-
perial; Ridgeville, Man., Hochelaga; St. Alexandre de Kam-
ouraska. Que., Hochelaga; St. Lazare, Man., Hochelaga;
Stoke Centre, Que., Hochelaga; West Summerland, B.C.,
Dominion; Winnipeg (Portage Ave. and Kennedy Streets),
Dominion.
The following seven branches were closed: Branchton,
Ont., Toronto; Cardale, Man., Union; Dalmeny, Sask., Royal;
Flinton, Ont., Royal; Graysville, Man., Union; Homewood,
Man., Union; Ingonish, N.S., Nova Scotia; Margaret, Man.,
Union; Round Hill, Alta., Royal; Sheerness, Alta., Toronto;
Sheffield, Ont., Merchants; Verschoyle, Ont., Imperial; West-
lock, Alta., Imperial; Winkler, Man., Union.
The branches opened were distributed among the banks
as follows: Nova Scotia, 2; Royal, 8; Hochelaga, .'>; Imperial.
2; Union, 3; Montreal, 1; Molsons, 1; Dominion, 3.
Union Bank Increases Facilities
Announcement has been made by H. B. Shaw, the geneial
manager of the Union Hank of Canada of the use which the
bank will make of the White and Manahan building, on Main
St., near William, Winnipeg, which has been acquired by the
institution. The proposal is that this new building will be
used primarily as a savings department. None of the or-
dinary commercial business of the bank will be done there.
In addition to the savings office, the new building will have
two other new and important departments. One of these will
be for the bond business and the other a department of farm
exchanges.
WEEKLY BANK CLEARINGS
The following
ended December 9,
week last year: —
Montreal
Toronto
Winnipeg
Vancouver
Ottawa
Calgary
Hamilton
Quebec
Edmonton
Halifax
London
Regina
St. John
Victoria
Saskatoon
Moose Jaw
Brantford
Brandon
Fort William
Lethbridge
Medicine Hat . . . .
New Westminster
Peterboro
Sherbrooke
Kitchener
Windsor
Prince Albert . . .
Totals
Moncton
are the Bank Clearings for the week
1920, compared with the corresponding
Week ended
Dec. 9, '20.
$136,972,026
108,930,543
106,626,003
20,209,820
12,570,145
10,339,849
7,289,368
7,439,815
6,463,420
5,044,717
3,745,751
5,336,541
3,288,059
3,046,755
2,656,470
2,601,396
1,662,992
1,042,958
1,244,664
1,047,457
728,916
935,239
1,052,771
1,176,954
1,441,651
3,550,337
613,729
Week ended
Dec. 11, '19.
$125,529,725
110,131,836
63,081,116
15,598,088
12,454,386
9,857,302
6,857,302
6,099,587
Changes.
+ $11,442,301
- 1,201,293
-I- 43,544,887
+ 4,611,232
+ 115,759
+ 482,547
+ 432,066
4- 1,340,228
5,480,300
4,347,859
2,444,075
2,497,027
2,028,068
2,102,640
1,058,664
1,000,312
749,185
589,256
529,508
878,647
1,018,442
1,407,646
580,553 -t-
435,583
602,108
602,680
159,443
573,828
439,648
15,706
244,852
298,272
139,660
405,731
174,124
158,512
34,005
33,176
$438,419,489 $376,321,524 + $62,097,965
697,017
MONTHLY BANK CLEARINGS
The following are the Bank Clearings for the month of
November, compared with the same month last year: —
Nov., 1920. Nov., 1919. Changes.
Montreal $652,846,705$ 615,325,528 -f$ 87,521,177
Toronto 494,365,696 414,730,544 + 79,635,152
Winnipeg 429,192,133 285,392,865 -f 148,799,268
Vancouver 75,231,031 65,623,728 + 9,607,303
Ottawa 57,308,079 60,671,751 — 3,363,672
Calgary 48,407,532 44,763,369 + 8,644,163
Hamilton 33,261,308 32,112,322 + 1,148,986
Quebec 34,276,795 29,495,934 -|- 4,780,861
Edmonton 27,798,216 25,512,473 + 2,285,743
Halifax 28,812,271 22,056,205 + 1,756,066
London 16,980,248 16,608,686 + 371,612
Regina 25,881,328 25,115,597 -|- 765,731
St. John 14,297,754 14,239,714 -|- 58,040
Victoria 11,718,439 12,145,250 — 426,811
Saskatoon 12,668,947 11,747,354 + 921,593
Moose Jaw 10,886,385 9,479,543 -|- 1,406,842
Brantford 6,651,144 6,194,872 -|- 456,272
Brandon 4,688,149 4,672,293 -|- 15,856
Fort William . . . 5,107,407 4,722,590 + 384,817
Lethbridge 5,347,988 3,377,806 + 1,970,182
Medicine Hat . . . 3,385,257 2,526,774 + 858,483
New Westminster 3,145,045 2,698,019 + 447,026
Peterboro 4,395,692 4,853,:399 + 42,293
Sherbrooke 5,668,853 4,602,796 + 1,065,557
Kitchener 5,395,160 5,431,364. — 36,204
Windsor 15,512,541 11,066,303 + 4,446,238
Prince Albert . . . 2,184,122 2,619,746 - 435,624
Totals $2,030,413,725 $1,737,296,775 -|- $293,126,950
Moncton 3,843,638
December 10. 1920
THE MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(ESTABLISHED ISI7
PAID UP CAPITAL - ,Mttm ' 23,828,500.00
RESERVE FUND .... t^^4 ---... 16.375,000.00
RESERVE LI.4.BILITY OF PROPRIETORS • ^|^^^|^( . 23 828 500 00
Vrj^^^^l^^O^ - $ 64,032,000.00
AGGREGATE ASSETS 31st MARCH, 1920 ^^^JtjjSJ.-**^-*^ . . . . . . $377,721,211.00
Sir JOH.V RUSSELL FRENCH, KB. E.. General -Manager
351 BRANCHES and AGENCIES in the Australian States, New Zealand Fiji, Papua (New Guinea), and London. The Bank transacts every description
of Australian Banking Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET, E.C, 2.
Agents: BANK OF .MO.NTREAL. ROYAL BANK OF CANADA
BUSINESS FOUNDED 1795
INCORPORATED IN CANADA 1897
American Bank Note Company
ENGRAVERS AND PRINTERS
BANKNOTES, BONDS. MUNICIPAL DEBENTURES, STOCK
CERTIFICATES, CHEQUES AND OTHER MONETARY DOCUMENTS
Special Safeguards Against Counterfeiting Work Acceptable on all Stock Exchanges
Head Office : OTTAWA 224 WeUlngton St.
BRAXCHES
U
WINNIPEG
nion Bank Bldg.
Gborge Edwards
H. Percival Edwards
A. Geoffrey EttWARDs
T. J. Macsa.maba
K. A. .Mapp
F.C.A.
W. PoH
Arthur
Morgan
. Edwards, F.C.A.
\V. Herbert Thompson
Charles E. White
J. L. Atkinson
■John .\1. Edwards
EDWARDS, MORGAN & CO.
CHARTERED
OFFICES
ACCOUNTANTS
TORONTO ..
CALGARY . .
VANCOUVER
WINNIPEG . .
MONTREAL
CORRESPONDENTS
HALIFAX, N,S. ST. JOHN, N.B.
LONDON, ENG. PARIS, FRANCE.
CANADIAN MORTG.AGE BUILDING
HERALD BUILDING
LO-NDON BUILDING
ELECTRIC RAILWAY CHAMBERS
McGILL BUILDING
COBALT, ONT
NEW YORK, U.S. A
ESTABLISHED 1879
Alloway & Champion
Bankers and Brokers
mbers of Winnipeg Stock Exchange
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on comniission.
Winnipeg, Montreal, Toronto and New York Exchanges
THE
TOROATOGEiSERAlTRUSTS
Corporations
DIVIDEND No. 98
Notice is hereby given that a Dividend
of Three Per Cent, has been declared
upon the Paid-Up Capital Stock of this
Corporation for the quarter ending De-
cember 31st, 1920, being at the rate of
TWELVE PER CENT. PER ANNUM,
and that the same will be payable on and
after Monday, the 3rd day of January, 1921.
The Transfer Books of the Corporation
will be closed from Wednesday, the 15th
day of December, until Friday the 31st day
of December, 1920, both days inclusive.
By Order of the Board of Directors,
A. D. LANGMUIR
General Manager.
Toronto, November 23rd, 1920.
T HE MONETARY TIMES
Quotations an Important Factor in Foreign Trade
DiHerent Methods Used, but iJuyer Usually Prefers That Which Shows Cost to Him—
How to Make Up Prices for Foreign Markets— Factory Costs, Rail and Ocean Freight,
Terminal Charges, Insurance, Loss of Interest and a Safety Margin Must all be Provided
By COL. C. R. HILL
Managing Director, Hill and Co., Ltd., Toronto
(This is the fifth of a series of articles on Practical Exporting, the first of which was published i>i
The Monetary Times of November 12, 1920)
THE Canadian manufacluicr, as he gets into the export
field, will find that there are a few standard terms
continually used by initials only when quotations ai-e re-
quested. The most common are given herein: —
C.F. or C. and F. (Cost and Freight) means that the
seller furnishes the goods and pays the freight — no other
expenses — to place of delivery as agreed. All risks while
goods are in transit are for account of the buyer.
C.I.F. (Cost, Insurance and Freight) means that the
seller furnishes the goods, pays the freight and insurance to
point of delivery — all other risks while goods are in transit
are for account of the buyer.
F.O.fi. Destination means that the seller pays all costs
and assumes all risks until the goods reach the place of
delivery as agreed.
F.O.B. Steamer means that the seller is to deliver the
goods aboard the steamer in proper shipping condition —
all subsequent risks and expenses are for account of the
buyer.
F.A.S. Steamer means that the seller is to deliver the
goods alongside steamer on lighter, or on the receiving pier
of the steamship company, in proper shipping condition — all
subsequent risks and expenses are for account of the buyer.
In making quotations for foreign mai'kets the closest
attention should be made to describing the conditions of the
price to avoid ambiguity. It is not sufiicient to say "F.O.B."
without specifying where the goods ai'e quoted as "free on
board." In many countries a quotation "F.O.B. Atlantic
Port" will be taken to mean "F.O.B. Steamer" whereas the
manufacturer may have made up his calculation by simply
adding the cost at factory to his rail charge to seaport
without taking terminal, dock, wharfage, handling or light-
erage charges into consideration.
C.I.F. Quotations Preferred
As previously pointed out, most foreign buyers want
prices quoted C.I.F. their ports and will not consider any
other basis. This is not so important on expensive goods of
light weight and bulk. For instance, textiles worth two dol-
lars a yard are not affected seriously by transportation
charges whereas on cement the transportation charges are
often more than the cost of the cement at plant. As the
goods must be prepaid in most insances and as the shipping
end is in a better position to estimate rail and ocean charges
than the buying end, the purchaser can only protect himself
by demanding a C.I.F. quotation. Therefore, the Canadian
manufacturer must study the problem of how to quote
C.I.F. to accommodate the foreign buyers, but also figure to
protect himself against losses.
The export manager in making up C.I.F. quotations has
several thintrs to lake into consideration before he arrives
at his total. These will be dealt with in rotation as follows:
(a) Cost at factory; (b) commissions and discounts; (c)
railway charges to seaboai'd; (d) terminal charges; (e)
ocean charges; (f) marine insurance; (g) loss of interest;
(h) safety margin.
It is customary for manufacturers to quote lower prices
for export than for local markets as the profits which they
demand in domestic customers must partly be use<l in ab-
sorption of carriage to foreign fields to meet competition.
This lesser profit, however, has its compensation m the fact
that export business nearly always results in immediate
cash through banking facilities.
To the factory cost must be added selling commissions
to foreign agents and provision made for discounts although
manufacturers should realize that export business means
generally payment of duty by the buyer on the invoice price,
regardless of discounts. Therefore, if an invoice for $1,000
specifies at 20 per cent, discount, the buyer pays duty in
many cases on $200 of paper value.
Railway and Terminal Charges
Having settled factory costs, it is a simple matter to
obtain rates from an inland point to the ports of Montreal
or Vancouver for instance. In making the enquiry the rail-
way should be asked to quote "for export, with tenninal
charges." Otherwise, a domestic rate will be quoted which
will invariably be higher than the rate for export. Con-
sideration should also be given as to whether to use the car-
load rate or less than carload. It is largely a matter of tin
product. Lumber orders would always be C.L. and textilf
orders L.C.L. Piano orders might be either and in such a
case it is well to take only the L.C.L. rate into consideration
in making up a C.I.F. quotation. If carload business ensues
the manufacturer is in pocket what he saves in prepajTiient
on the C.L. basis versus L.C.L.
So far as Canadian ports are concerned the question of
terminal charges is easily ascertained from the local rail-
way agent on his application to the foreign freight agent.
They are very reasonable for carload and less than car-
load business. Some foreign business, however, can only be
handled through ports such as New Yoi^k, owing to steam-
ship service not being available from Canadian ports. In the
case of New York carload business can be taken care of by
the "lighterage free" clause, but L.C.L. business will be very
expensive in cartage unless the shipper consignes his goods
to the railroad pier nearest that of the outgoing steamer.
Ocean Charges
Most steamship companies refuse to allow tariffs in the
hands of "the public" because of liability of misinterpreta-
tion, but also because their rates are subject to fluctuation
without notice, although these fluctuations in .normal times
are usually not sufficient to seriously upset C.I.F. prices.
The fact that they do fluctuate requires that C.I.F. quota-
tions on a narrow margin of profit be made "subject to con-
firmation." In any event the manufacturer can always ob-
tain a fairly standard quotation for ocean carriage to any
port by application, specifying not only class of goods and how
packed, but also gross and nett weights and outside measure-
ments of packages. The reason for weights and measurements
is that steamship companies usually work on an estimate of
forty cubic feet to a ton of 2,210 pounds as a basis for cal-
culation and make quotations of so many dollars per ton
"ship's option." On light and bulky articles they charge by
cubic feet and on compact heavy parcels they charge by
weight. On small consignments the steamship companies
usually charge a minimum of from $7..'i0 to $10.00 for each
shipment. If, therefore, a C.I.F. price has been calculated
on S22.40 per ton ocean charges and an order is received for
December 10, 1920
THE MONETARY TIMES
DO YOU KNOW
that you can place your property in our charge and. in addition to
relieving yourself of the trouble and worry of management, increase
your income?
We make a specialty of servir.g under
"LIVING TRUST AGREEMENTS"
and our experience and special facilities for handlinK all matters in
connection with property assure you of i he maximum income. It is
not what you pay us. but what we pay you that counts.
Cntne in to day and see us regarding a " Living
Trust Agreement." or wrile fur our booklet.
Union Trust Company, Limited
HENRY F. GOODERHAM. President
TORONTO - - Cor. Richmond and Victoria Sts.
WINNIPEG. MAN. LONDON, ENGLAND
i% on Savings — Withdrawable by Cheque 71
Do Not Procrastinate
But have your Will properly drawn and executed noxv.
DO NOT MAKE THE MISTAKE
of nominating one or more individuals as your Executor
and Trustee. Without fear of successful coutradiction as
to its advisability, we conscientiously recommend the
appointment of a Corporate Executor and Trustee in pre-
ference to individuals. We shall be pleased to confer with
you on the subject at any time you may find it convenient
to do so.
THE CANADA PERMANENT TRUST COMPANY
Paid-up Capital
Sl.OOO.OOO
TORONTO STREET
TORONTO
When selecting a Trust Company as an Executor
choose one whose fixed policy is to give
FINANCIAL ASSISTANCE
To Estates being administered by it.
CAPITAL, ISSUED AND SUBSCRIBED ..•$1,171,700.00
PAID-UP CAPITAL AND RESERVE 1,172,00000
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE: WINNIPEG, CAN.
w
/Eh
ave 450 gooc
bu
sinesses for sa
e in
he central
\a
/ P
Drtion of Alb
erta
Everytbing
from
a General
b
ore to a sma
11 C
onfectionery
Uyo.
1 want a bus
ness in Alberta you wa
nt us.
WHYTE
&
CO., LIMITED
B
jsin
'ss Brokers
111
Par
itages Bui
Idir
ig - Edncior
iton.
Alberta
The
Security
Trust
c
ompany,
Limited
He
ad Office
Calgary,
Alberta
Liquidator, Trustee
Receiver
Slock and Bond
Brokers,
Administrator, Executor.
General Financial Agents. |
W. M. C
NNACHER
Pres. and Ma
naging Director |
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for investment in all classes of Securities.
Business Agent for the R. C. Archdiocese of Vancouver.
Fiscal Agent for B. C. Municipalities.
Inquiries Invited
General Maiiiigrr . Lleut.-CnI. «. II. noUKELL
— RICE & FIELDING, INC.-
FOREIGN FREIGHT FORWARDERS, CUSTOMS
BROKERS AND DRAWBACK AGENTS
81 VICTORIA ST.,
TORONTO
OTHER OFHCES
308 CORISTINE BlDO.
MO.STREAL
Enquiries sollciltd In connection with either Export or Import 4u
Canadian Guaranty Trust Company
HEAD OFFICE, BRANDON, Man.
Acts as Executor, Administrator, Trustee, Guardian, Liquidator
Assignee, and in any oilier fiduciary capacity.
Official Administrator for the Northern Judicial
District and the Dauphin Judicial District in
Manitoba, and Olificial Assignee for the Western
Judicial District in Manitoba and the Swift
Current Judicial District in Saskatchewan.
Branch Office - - Swift Current, Saskatchewan
JOHN R LITTLE. Managing Director
20
THE MONETARY TIMES
Volume 65.
a shipment weighing less than 750 pounds or measuring
under 13 cubic feet, the ocean charges will prove more than
originally calculated.
Marine Insurance
Most of the big insurance agencies include marine in-
surance in their work and policies are easy to obtain. The
ordinary policy of marine insurance covers the risk only
when the goods are actually laden and terminates with dis-
charge- of the goods at port of destination. The shipper
can arrange to have his insurance to attach from the time
his goods are receipted for by the ship's agents and to
continue the risk after discharge at port of destination until
delivered to the consignee. The latter plan is the more satis-
factory and the small extra premium is a good investment.
Insurance must be taken out for 110 per cent, of the C.I.F.
value of the goods, i.e., the full face value of the draft on
buyers; otherwise the banks will not negotiate the draft as
they will not have full insurance protection. War risks are
still in effect, but are not always required.
Loss of Interest
The terms of sale indicate the beginning and ending of
responsibility for interest charges, but interest is a very
important item in export business, as foreig-n buyers in dis-
tant countries are accustome<l to making purchases on basis
of 60, 90 or 120 days sight, which means, for instance, that
a Cape Town buyer has 90 days in which to make payment
after he has accepted the draft and the date of his accept-
ance will probably be 30 days after the Canadian manu-
facturer signed the draft. After settlement has actually been
made another 30 days is required for return of the funds
to Canada, so that the manufacturer is theoretically wait-
ing 150 days for payment. For this time he is entitled to
charge interest and have such interest charges included in
his C.I.F. quotation if it is made on payment at "90 days
sight." The next article in this series will deal with the
financing of export business, but in the meantime it is pointed
out that an addition of 2 1/2 per cent, to an otherwise net
price will not upset foreign sales and the terms of payment
will go a long way towards inducing them.
The last item to consider in making up C.I.F. prices is
a safety margin of 1 per cent, to allow for all sorts of small
unforeseen contingencies tliat may arise such as extra pack-
ing expenses, heavy cartage charges at seaboard, warehouse
charges through boat delays, etc.
Exchange
The intricacies of exchange fluctuations are more a mat-
ter of worry for the importer than the exporter and it is
just as well for the Canadian manufacturer to confine his
quotations to dollars, except in odd instances. It will oc-
casionally happen that a manufacturer will be asked to
quote in the currency and weights of a foreigni country and
if he uses careful judgment he will be able to protect him-
self and possibly develop excellent business through this
accommodation. For instance, a I'equest may come from
France for a quotation C.I.F. Havre in francs per kilo-
gramme. The big point to protect against is the fall of the
franc. The manufacturer's bank will give him the daily
value of the franc for two months back and the ratio of
fall for the coming two weeks can be estimated fairly closely.
If conditions are such that the franc has been jumping up
and down rapidly, the business on a basis of payment in
French currency should be refused.
Another point regarding quotations is the question of
making them in Canadian versus United States dollars. .\s
a general rule, Canadian quotations to all British Empire
countries should be made in Canadian funds as the mere
suggestion of U.S.A. funds brings a suspicion to the buyer
that ho is dealing with a Canadian branch of an .\merican
house. Also, one of the biggest talking points for the foreign
agent of a Canadian house is the lower value of the Cana-
dian dollar. On the other hand, this argrunient is not so
applicable to countries such as Brazil and the Argentine
who are accustomed to New York exchange and are moi-e
interested in comparisons with U.S.A. quotations. Therefore,
it would be as well to reduce prices by about 10 per cent, and
quote in New York funds when quoting to countries outside
the British Empire.
Examples of C.I.F. Quotations
(a) Net price in Canadian funds on one automobile
boxed quoted C.I.F. Cape Town on payment "60 days sight"
when shipped in carload lots.
Cost boxed Toronto $ 820.00
Inland freight • 13.14
Terminal charges •'^2
Ocean freight 79.50
Marine insurance 12.56
Loss of interest 18.52
Safety margin 9.44
Total $ 953.88
(b) Net price in Nt.w York funds on one 6-h.p. engine
boxed quoted C.I.F. Bombay on payment "30 days sight."
Factory price list $ 264.00
Less trade discount $ 66.00
Less exchange 19.80
85.80
$ 178.20
Plus rail and terminals ■ ■ 2.00
Plus ocean freight 9.75
Plus insurance 2.66
Plus loss of interest 2.94
Plus safety margin 1.99
Total $ 197.54
In closing this article it is pointed out tliat export man-
agers can spend no time more profitably than in careful pre-
paration of export price lists and no other feature of their
work will so assist sales as C.I.F. quotations on long term
payments.
FISHING RIGHTS DECISION
The Privy Council gave judgment on November 30 in
the Dominion versus Quebec Attorney-General case concern-
ing the powers of the province to grant fishing rights in
tidal waters. The judgment is somewhat involved, but is
mainly favorable to the Federal contention that the control
of fisheries in tidal waters is vested in the Dominion.
F.\ILEI) WITH .<i25,000.000 LI.VBILITIES
.^t a meeting of the creditors of N. Brenner and Co.,
Toronto, steel, tin and zinc brokers, who made an assign-
ment dated on November 10, the statement was made that
the liabilities would reach between $24,000,000 and $25,000,-
000, while the assets will be about $167,000. The liabilities
include $5,000,000 in metal futures and $19,000,000 in foreign
exchange, which were bought as a speculation, but the col-
lapse of the market caused the assignment. It was stated
that if the futures and exchange were cleared out at the
present time something like $20,000,000 would be realized,
and if held for some time, until the market and exchange be-
comes better, there might be a profit instead of a loss.
The creditors are foreign firms with the exception of one
Canadian company, which is interested to the amount of .$40,-
000. Inspectors for the various creditors were appointed as
follows: Mr. Ochiltree, of the Shawmut Corporation,
Boston; Geo. Edwards, Toronto, to represent English
creditors; N. L. Martin, Toronto, to represent Canadian
creditors; Harry Edwards, for the New York steel interests,
and M. H. Housser, of Zimmerman, Forshay and Co., New
York, and the assignee was instructed to proceed with the
disposal of the assets and the metal futures and exchange.
December 10, 1920
THE MONETARY TIMES
21
INVEST YOUR SAVINGS
in a 5K% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital $2,412,578.81
Reserves 964,459.39
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES : Toronto, Regina, Calgary,
Edmonton, Vancouver, Victoria ; Edinlxirgb,
Scotland.
CANADA PERMANENT
MORTGAGE CORPORATION
QUARTERLY DIVIDEND
Notice is hereby given that a Dividend of TWO and
the current quarter being at
TEN PER CENT PER ANNUM
on the paid-up Capital Stock of the Corporation, has been
declared, and that the same will be payable
MONDAY, THE THIRD DAY OF JANUARY
ONE-HALF PER CENT, fo
the rate of
-,i bu
siness on
next, to Shareholders of record at the close
the Fifteenth day of December.
By order of the Board.
GEO. H SMITH. Assistant General Manager.
Toronto. November 24th. 1920.
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
.Masonic Temple Building. London. Canada
Interest at 4 per cent, payable half-yearly on Debentures
T. H. PURDOM. K.C. President . NATHANIEL MILLS. .Manage.
THE HAMILTON PROVIDENT AND LOAN CORPORATION
Dividend No. 99
Notice is hereby given that a Dividend of FOLK AND ONE HALF PER
CENT,, being at the rate of Nine Per Cent, per annum, has been declared for
the half year ending December 31st. 1920. upon the paid-up Capital Stock of
of this Corporation, and that the same will be payable at the Corporation's
Head Office. Hamilton, Ontario, on and after Monday, the Srd day of
January, 1921. The Transfer Books will be closed from the 15th to the 31st
of December, both days inclusive. By order of the Board.
Hamilton. December 1st. 1920 D. M. CAMERON, General .Manager.
The Ontario Loan & Debenture Company
DIVIDEND NO. 134.
Notice is hereby given that a Ql'ARTERLY DIVIDEND
of 2% per cent, for the three months ending 31st De-
cember, 1920 (BEING AT THE RATE OF NINE PER
CENT. PER ANNUM) TOGETHER WITH A BONCS OF
X OF ONE PER CENT has been declared on the paid-up
capital stock of this Company and will be payable at the
Company's OfBce, London, Ontario, on and after the Srd
January next to Shareholders of record of the 15th December.
By order of the Board.
A. M. SMART,
Manager.
I^ondon, Canada, 30th November, 1920.
r^VER 200 Corporations,
^'^ Societies, Trustees and'
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Quarterly Dividend
Notice is hereby given that a Dividend of Two and one-quaiter per
cent., bemg at the rate of Nine per cent, per annum, upon the paid-up
Capital Stock of this Company, has been declared for the current
Quarter, and that the same will be payable on and after 1st .lanuar.v
1941, to shareholders of record on the books of the Company at the
close of business on 15th inst By Order of the Board.
Toronto. 2nd December, 1920 WALTER GILLESPIE. Manager.
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
Particulars on application.
The Canada Standard Loan Company
S20 Mclntyre Block, Winnipeg
ACCOUNT BOOKS
Loose Leaf Ledgers
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Sitncoe and Pearl Streets
TORONTO
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Western .Municipal. Seliool iiutl .Sa«kiil<-lir»an Kiiral Tele-
phone to. ilebenlures speclnllwil In.
Correspondence invited
GRAINGER BUILDING - SASKATOON
F. S. RATLIFF & CO.
FARM LANDS— FARM LOANS
STOCKS AND BONDS
Medicine Hat Alberta
THE MONETARY TIMES
Volume 65.
November Bond Sales Were $39,788,527
Total Swelled by Canadian Northern Flotation— Thirty-Five Millions
Go to United States Dealers— Good Volume of Municipal Issues
CANADIAN borrowiiiKs again reached a substantial sum
in November, due largely to the Canadian Northern
Railway flotation. The total of all bond sales, according to
The Monelarv Times' record, was $39,788,.'527, as compared
with $43,880,467 in October and $12,043,521 in November of
1919. In connection with last year's figure, it must be remem-
bered Victory loan operations retarded other bond activities
during the first half of the month. Of last month's total,
$34,350,000 went to United States investors, illustrating still
further the ability of our southerly neighbors to absorb our
securities.
Pi-actically all of the municipal issues were taken up
by Canadians, including the city of Toronto bonds. Last
month was a good one for municipals, as far as volume was
concerned, but prices showed no improvement. March holds
the record this year with a total of $8,367,299, but a large
part of that amount went across the line.
The market situation was greatly disturbed at the end
of November by the release of control of Victory bonds, and
three important issues, including Hamilton, $260,227; York
Township, $166,000, and Oakville, $111,000, were held over.
A summary of last month's bond sales, with comparisons,
follows: —
Nov. 1920
Pi-ovincial $ 8,750,000
Municipal 5,238,527
Railroad 25,000,000
Corporation 800,000
$39,788,527
Oct. 1920
$ 9,250,000
3,530,467
25,000,000
6,100,000
Nov. 1919
$ 6,282,000
2,811,521
2,950,000
$43,880,467 $12,043,521
FISHING COMPANY ASSIGNS
The Canadian Fisheries and Storage Company, of Port
Stanley, Ont., has assigned to McLeod, Few and Co., of Ham-
ilton, for the benefit of its creditors. The condition of the
estate has not yet been ascertained by the trustees. H. A.
Shortt is secretary and manager of the company. The prm-
cipal shareholders reside in Toronto and in American cities.
Limited capital and poor business are the reasons given for
the assignment.
"The Exchange Rate, What Controls it?" is the title of
a pamphlet issued by the Canadian Bank of Commerce, con-
taining a series of advertisements regarding exchange.
FROVIM-KS
Nova Scotia.
Alberta
Manitoba ...
.ni \i<'iiMi,iTii:<i
Parry Sound
Parry Sound..
Pord City ....
Etobicoltc Township
Pembroke
CharlntlenburR Townshii
Thorold
liastview
Eastview
Smith's Falls
^'orI{ Township
•liicUco-
.MiMitrcal (Schonlsl.
ShawiniRan Kails.. ,
<'OKJ>Olt ATKtN
KAU.KO.iO
■2.0O0.O00
1,000,000
7.';o.ooo
Mniillolia
.•<iiskiit<JiiM
mil -
Moosomin
Prelate
Itulyea
53,100 I
lOO.OOO I
9.500 '
5.338
I..SOO
fiOO
Canadian Northc
7 years
.i.22
10 years
,S.(>3
10 years
5.90
10 years
.S,65
17i years
6.55
Various
Various
10&20instal.
6.60
20 instalments
8.65 ;
15 instalments
6.94
30 instalments
7.70
15 instalments
7.i;5
20 mstalments
•20 mstalments
30 instalments
6.60
lO&SOinstal.
6.80
, 30 instalments
7.02
' 10 years
6,75
20 years
20 instalments
j 20 instalments
1
S instalments
6.80
1 10 years
S years
6.70
10 years
30 years
7.00
Various
Var.
10 years
7.00
10 instalments
1 20 years
7.00
10 instalments
' 10 instalments
Offer-
ing int.
.
Basis
1 Serials
8&8i
20 years
7.00
Wood. Gundy & Company. A. E. Ames & Tompany, RC.
Matthews & Company and Illinois Trust S
Savings Company . „ ^
Dominion Securities Corporation and Wm. A. Read & Co.
Harris. Forbes & Company and the National City Company
Wells-Dickey Company and the Minnesota Loan & Trust Co.
Dominion Securities Corporation. R. A. Daly & Company,
W. A. Mackenzie & Company. Harris, Forbes & Co..
and the National City Company, Limited.
W. A. Mackenzie & Company and R. A. Daly & Company
Dominion Securities Corporation
W. A. Mackenzie & Company
Wood. Ckmdy & Company
A. H. Ames it Company
N. A. .Macdo.nald & Company
N. A. Macdonald & Company
Dominion Securities Corporation
Locally
Brent. Noxon & Company
Brent. Noxon & Company
Wood. Gundy & Company
R. C. Matthews & Company
Turner, SprasKe & Company
Turner. Spragge & Company
Harris. Forbes it Company
A. Jnrvis & Company
Versailles. Vidricaire & Boulai
Versailles, Vidricaire & Boulai
Versailles. Vidricaire & Boulai
J. A. Thompson ,'i Company
Various
Wood. Gundy & Company
International Loan Company
Locally
Locally
Locally
Will. A. Read \ Company and Associates
102.02
100.523
102.72
90.03
94.87
94.199
84.67
90.68
99.082
98.93
93.395
88.53
94.60
December 10, 1920
THE MONETARY T 1 .M E S
We Offer
SCHOOL BONDS
Province of Alberta
Maturing 10 and /5 Year
to yield
7 io7y^%
We Specially Recommend these Bonds as Sound Investments
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto BIdg. Royal Bank Chambers
EDMONTON CALGARY
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings also any British
Columbia Government and Municipal issues
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C. Victoria, B.C.
Our Service to Investors
FIRST INVESTMENTS
INDIVIDUALS contemplating a first invest-
ment, yet unde.-ided as to the best course
to pursue, should obtain our advice in safeguard-
ing the placing of their funds.
Such advice is given by financial men whose
matured judgment can be relied upon. It offers
a sure means of avoiding unvfise investments.
It is a form of protection that should be secured
especially by those unfamiliar with financial
affairs.
There are no formalities to be complied with.
It is merely a matter of writing, marking such
letters " Service to Investors." The Service
Department will attend promptly to requests
with consideration and courtesy. Address : —
M. S. WHEELWRIGHT & CO.
„ .. , £. ..■ Limited
Canadian Investment securities
TRANSPORTATION BLDG.,
132St.PeterSt. MONTREAL 6.^ Sparks St.
QUEBEC OTTAWA
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OUR COUNSEL AND ADVICE
Willoughby Sumner Limited
lEstablished 1900)
Members of the Winnipeg Grain Exchange
Private mire to Winnipeg, Toronto, Montreal, Chicago
and ,Ven> York
A Newspaper Devoted to
Municipal Bonds
THERE is published in New York City a daily
and weekly newspaper which has for over
twenty-five years been devoted to municipal
bonds. Bankers, bond dealers, investors and
public officials consider it an authority in its
field. Municipalities consider it the logical
medium in which to announce bond ofFering-s.
Write for free specimen copies
THE BOND BUYER
67 Pearl Street New York, N.Y.
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
Private Wires to WINNIPEG. CHICAGO, TORONTO,
MONTREAL AND NEW YORK
Northern Securities, Limited
ESTAHLISHKl) \'.<U6
GENERAL FINANCIAL BROKER
Confidential Advice on British Columbia Investments
Member of Morts .Re anil Trust Companies Association of British Columbia
S29 Pender Street W. VANCOUVER. B.C.
n. GEORGE HANSULO. J. P.- Manaficr
McARA BROS. & WALLACE
INVESTMENTS^ INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
THE MONETARY TIMES
Volume 65.
NOVEJIBEK FIRE LOSS IS HIGHER
Total for Eleven .Months Greater than for Whole of 1919—
Quebec and Winnipeg Suffered Heaviest
Losses in November
Fire losses in Canada in November are estimated by
The Monetary Times at $2,769,800, made up as follows: —
Fires exceeding $10,000 .$2,20,'),000
Small fires reported 64,800
Estimate of unreported fires 500,000
$2,769,800
Quebec, Winnipeg, Ottawa, Montreal, Vancouver and
Gravenhurst suffered the heaviest losses in the month.
The Monetary Times' record for the past four years shows
the following monthly losses: —
Month. 1917. 1918. 1919. 1920.
January .... $ 1,918,660 $ 2,688,556 $ 3,915,290 $ 2,637,850
February . . 2,009,953 2,243,762 1,091,834 1,895,575
March 2,050,650 1,682,286 2,154,095 1,793,200
April 1,317,714 3,240,187 1,080,070 3,229,500
May 1,163,110 3,570,014 1,785,130 2,001,819
June 1,184,627 3,080,982 3,3,37,530 1,424,319
July 1,101,734 3,369,684 1,118,377 1,426,850
August 1,230,183 3,110,445 1,374,495 1,857,800
September . . 1,301,700 917,286 1,940,272 2,480,485
October 704,605 5,119,145 1,023,288 2,407,901
November . . . 959,049 1,059,580 2,339,870 2,769,800
December . . . 5,144,100 1,733,917 2,047,496
Totals . . $20,086,085 $31,815,844 $23,207,647 $23,985,099
List of Large Fires
The following are the November fires causing damage
of $10,000 or over:—
Calabogie, Ont., Nov. 10, warehouse, $30,000.
Carberry, Man., Nov. 1, barn, $10,000.
Montreal, Que., Nov. 5, icehouse, $20,000.
Oakwood, Ont., Nov. 9, lumber yard, $50,000.
Belleville, Ont., Nov. 10, theatre, $25,000.
Gladstone, Man., Nov. 23, theatre, $10,000.
Hamilton, Ont., Nov. 13, plant, $50,000.
Kincardine, Ont., Nov. 12, $20,000.
Ottawa, Ont., Nov. 15, parish hall, $150,000.
St. John, Nfld., Nov. 15, store, $38,000.
St. Lambert, Que., fire station, $20,000.
Sudbury, Ont., Nov. 9, butcher shop, $15,000.
Winnipeg, Man., Nov. 10, warehouse, $400,000.
Winnipeg, Man., Nov. 13, foundry, $15,000.
Brantford, Ont., Nov. 22, power station, $75,000.
Fairville, N.B., Nov. 18, business section, $50,000.
Kcnora, Ont., Nov. 21, telephone exchange, $14,000.
Lambeth, Ont, Nov. 19, barn, $10,000.
Montreal, Que., Nov. 22, building, $100,000.
Montreal, Que., Nov. 22, building, $30,000.
Quebec, Que., Nov. 21, retail business section, $500,000.
St. Lambert, Que., Nov. 20, factory, $15,000.
Vancouver, B.C., Nov. 13, steamer, $175,000.
Gravenhurst, Ont., Nov. 30, hospital, $100,000.
Moncton, N.B., Nov. 23, sample rooms, $18,000.
Montreal. Que., Nov. 24, garage $50,000.
Montreal, Que., Nov. 25, building, $65,000.
Riniouski, Que., Nov. 28, garage, $30,000.
Sydney, N.S., Nov. 12, department store, $100,000.
Analysis of Causes
Among the causes reported were: Sparks 2, cigarette
butt 1, fuse 1, overheated stovepipe 2, explosion 1, incen-
diarism 1, oil lamp ], furnace l,dry kiln 1. defective wiring 1,
defective motor 1. spontaneous combustion 1, matches 1.
The following structures were destroyed or damaged:
Houses 18, barns 13, buildings 10, stores 8, factories 5, ware-
houses 5, garages 4, town halls 3, fire stations 2, plants 2,
icehouses 2, pump-house 1, station 1, tenement house 1, lumber
yards 2, theatres 2, evaporator 1, parish hall 1, mill 1, power
station 1, telephone exchange 1, steamer 1, business section 1,
hospital 1, bank 1, and restaurant 1.
Deaths from Fires
Kaladar, Ont., Nov. 3, burnt in building 1
St Anne de Beaupre, Que., Nov. 9, burnt in a barn 1
Smithville, Ont., Nov. 4, caught in burning building .... 3
Vancouver, B.C., Nov. 13, burnt on steamer 1
Merritt, B.C., Nov. 22, caught in burning store 1
Toronto, Ont., Nov. 12, clothing caught fire 1
Oakbank, Man., Nov. 7, burnt in building 1
Montreal, Que., Nov. 14, suffocated 1
Edmonton, Alta., Nov. 17, clothing ignited 1
St. Malo d'Auckland, Que., Nov. 16, burnt in dwelling. ... 4
Montreal, Que., Nov. 26, burnt in factory 1
Padoue, Que., Nov. 22, explosion of oil lamp 9
Big Pond, N.S., Nov. 11, burnt in dwelling 4
Three Rivers, Que., Nov. 24, burnt in dwelling 1
Hillsboro, N.B., Nov. 30, clothing caught fire 1
31
Comparison of Deaths
The record of deaths from fire has been as follows:- —
Month. 1913. 1914. 1915. 1916. 1917. 1918. 1919. 1920.
January 14 26 3 10 21 28 13 22
February 21 18 11 23 19 87 26 30
March 22 27 23 23 20 34 9 35
April 11 22 14 6 15 7 27 8
May . . : 33 8 5 14 12 10 15 13
June 18 12 2 6 9 9 28 15
July 9 8 13 268 19 6 11 15
August 29 3 14 30 12 7 24 14
September .27 9 27 6 21 13 23 13
October 15 9 7 39 23 11 16 13
November 24 14 12 12 21 3 14 31
December 13 19 11 94 15 26 19
Totals 236 175 142 531 207 241 225 209
HRIIiSll EMPIRE PRODUCTS IN LONDON
There has just been launched in London, England, an
enterprise which is, briefly, a co-partnership betvi'een colonial
manufacturers and producers in an organization for the sale
of their goods direct to the householders in the United King-
dom. An imposing pile of buildings is going up in the very
centre of London's eight million consumers whei-ein to house
this marketing organization. Colonial products are already
being distributed by this enterprise to many thousand British
homes. The name of the company is Public Service Stores,
Limited, Westminster Bridge Road, London, England.
FISH1N(; COMPANIES GO DOWN
The difficulties which have beset the fishing interests
forming the dominating industry of Newfoundland culmi-
nated on November 26th in the announcement of liquidation
of three large fishing firms on the south coast, with total
liabilities exceeding a million dollars. It was stated that the
assets were considerably in excess of the liabilities, but that
they consisted largely of fish products and other property
which it was impossible to turn into cash under present con-
ditions. The firms and their liabilities are the Moulton Com-
pany, Burgeo, $580,000; Inkpen Company, Burin, $350,000;
Lake Con.pany, Fortune Bay, $190,000.
It was announced on November 22nd that the govern-
ment was considering a proposition to guarantee purchases
of codfish in an effort to relieve the situation caused by the
large quantity of cured fish remaining unsold because of
prevailing low prices and lack of market in Mediterranean
ports, ordinarily the chief consumers of the product.
DecemlxT 10, 1920
THE MONETARY TIMES
DIVIDENDS AND NOTICES
International Petroleum
Company, Limited
NOTICE OF DIVIDEND No. 1
Notice is hereby given that a dividend of 25 cents United
States Currency per share has been declared by the Directors
of the International Petroleum Company, Limited, and that
the same will be payable on or after the 3rd day of January,
1921, in respect of the shares specified in any Bearer Share
Warrants of the Company upon presentation and delivery
of coupons No. 1 attached to the said Bearer Share Warrants
at the following Banks: —
The Royal Bank of Canada, 60 Church Street, Toronto,
Canada.
The Farmers' Loan and Trust Co., 16-22 William Street,
New York, N.Y.
The Farmers' Loan and Trust Co., Limited, 26 Old Broad
Street, London, England, or
The OflRces of the International Petroleum Co., Ltd., 56
Church Street, Toronto, Canada.
The payment to shareholders of record whose shares are
fully paid up at the close of business on the 31st day of
December, 1920, and whose shares are represented by Regis-
tered Certificates will be made by cheque, mailed from the
offices of the Company on the 31st day of December, 1920.
By Order of the Board.
J. R. CLARKE,
Secretary.
56 Church Street, Toronto, Canada.
1st December, 1920. "*00
DIVIDEND NOTICE
de-
Notice is hereby given that Dividends have been
ilaied by Provincial Paper .Mills, Limited, as follows: —
Regular Quarterly Dividend 1%% on Preferred Stock.
Regular Quarterly Dividend lVz% on Common Stock.
Special Dividend 1% on Common Stock.
All payable on January 1st, 1921, to Shareholders of
record at close of business December 15th, 1920.
(Signed) S. F. DUNCAN,
309 Secretary.
THE MONTREAL CITY & DISTRICT SAVINGS BANK
Notice is hereby given that a Dividend of Two dollars
and fifty cents per .share has been declared on the Capital
Stock, called and paid up, of this Bank, and will be payable
at its Head Office, in this City, on and after Monday, Janu-
ary third next, to shareholders of record, Wednesday, De-
cember fifteenth next at three o'clock p.m.
By order of the Board.
A. P. LESPERANCE,
General Manager.
November 29th, 1920. ■^1''
The Royal Bank of Canada
ANNUAL MEETING
The Annual General Meeting of the Shareholders of the
Bank will be held at the Head Office, 147 St. James Street,
in the City of Montreal, on Thursday, the 13th day of Jan-
uary, 1921, at 11 o'clock a.m.
C. E. NEILL,
General Manager.
Montreal, December 1, 1920. 297
KIORDON COMPANY, LIMITED
FIRST CUMULATIVE PREFERENCE STOCK
DIVIDEND No. 2
Notice is hereby given that a quarterly dividend of 2%,
being at the rate of 8'; per annum, has been declared on
the First Cumulative Preference Stock of this Company for
the quarter ending December 31st, 1920, payable January 1st,
1921, to shareholders of record at the close of business,
December 20th, 1920.
By Order of the Board.
F. B. WHITTET, Secretary-Treasurer.
Montreal, December 1st, 1920. 307
THE RIORDON PULP AND PAPER COMPANY, LIMITED
PREFERRED STOCK DIVIDEND No. 34
Notice is hereby given that a dividend of 1%% (being
at the rate of 79i per annum) on the Preferred Stock of
this Company has been declared, payable December 31st,
1920, to shareholders of record at the close of business,
December 22nd, 1920.
By Order of the Board.
F. B. WHITTET, Secretary-Treasurer.
Montreal, December 1st, 1920. 305
RIORDON COMPANY, LIMITED
CUMULATIVE CONVERTIBLE PREFERENCE STOCK
DIVIDEND No. 2
Notice is hereby given that a quarterly dividend of 1%%,
being at the rate of 79'r per annum, has been declared on
the Cumulative Convertible Preference Stock of this Com-
pany for the quarter ending December 31st, 1920, payable
January 1st, 1921, to shareholdei-s of record at the close of
business, December 20th, 1920.
By Order of the Board.
F. B. WHITTET, Secretary-Treasurer.
Montreal, December 1st, 1920. 306
THE MONETARY. TIMES
Volume 65.
INSUKA.NC K DEI'AKTMExNT MAY LIMIT AGENTS'
COMMISSIONS
Ontario SuptrinUndent Maintains Masten lU'comnundalii)ns
Not Carried Out, and Calls Conference for December 16
FAILURE of fire insurance companies to reduce agents'
commissions as recommended by Justice Masten in his
report of January, 1919, on fire insurance in Ontario, leaves it
to the province to enforce regulations of this kind, accord-
ing to Superintendent of Insurance Gray. Conditions, he
points out, have not been improved, and commissions paid
to agents in Toronto have increased until at present rates
as high as 30 per cent, of the premium are being paid to
local agents, and over-riding commissions on this rate are
paid to general agents or company managers. Mr. Gray
makes the following statement regarding commissions: —
"Fire insurance premiums paid in Ontario to registered
companies annually (approximately), $16,500,000.
"Expenses of management payable out of these pre-
miums, Canadian companies, 40.8 per cent.
"British companies in Canada, 34.95 per cent.
"United States companies in Canada, 33.87 per cent.
"Average (approximately), 38 per cent.
"Of the premium income received from Ontario $6,-
270,000 is spent by the companies in administration ex-
penses, including commissions. This is entirely exclusive of
tire losses paid and company profits. Of this amount over
.■54,000,000, or approximately 25 per cent, of the premiums
paid by the public, was paid out by the companies as com-
missions to the agents for securing business.
Masten's Views
"The Honorable Mr. Justice Masten in his report as
Insurance Commissioner made on 18th January, 1919, .said:
'That since commissions are in my opinion excessive, and
since it has so far proved mpossible for the insurance com-
panies themselves to effectually bring about an agreement
limiting them, I suggest that unless before action is tnken
on this report the companies do agree upon some alternative^
that the legislature consider an enactment limiting the
amount of fixed commissions which may be received or paid
for the taking in Ontario of any applications for insurance on
property or in respect to the placing out of Ontario of any
insurance on property in Ontario.'
Competition is Too Keen
"The warning to the companies contained in this report
was unheeded and the companies have taken no action in
the matter. In the meantime conditions have grown worse
instead of better. The rates of commissions paid to insur-
ance agents in Ontario have grown from 18.60 per cent, in
1917 to between 23 and 25 per cent, in 1919. This includes
both original and renewal business as the rate of commis-
sion on both is the same in fire insurance. The reason that
the insurance companies have been unable to deal with the
matter is very well stated in the report of Mr. Justice
Masten as follows: —
" 'The agent is the person who comes into direct con-
tact with the insurer or owner of propei-ty, and in that way
he controls the placing of the insurance and is able to place
it in whichever of the companies he chooses. The companies
compete for his favor and he sells the business to the com-
pany that pays the highest commission. . . . The result is
that owing to the competition between the companies and the
control which the agents have over the business, the ex-
pense of insurance is increased to the public without any
chance of its being lowered by competition or oi'dinary
means, and the public who have to pay in the end are un-
able to lower the expense in any way unless by legislation.
" 'The companies themselves are powerless to com-
pletely deal with the difficulty unless all the companies can
be induced to enter into a binding agreement limiting com-
missions, because if any strong companies stand out the i-e-
sult is that they get all the preferred business away from
those who had agi'eed to lower the commissions.'
A Fifteen Fer Cent. Limit
"After a long and careful study of the situation the
department has been forced to serve notice upon the com-
panies that it will recommend to the legislature that insur-
ance agents' commissions throughout the province be limited
to 15 per cent, of the premium payable.
"This will result in an immediate reduction in commis-
sions payable by the companies of approximately ?1,600,000.
Some part of this will require to be spent by the companies
by replacing- certain services which agents have heretofore
rendered in their more liberal commission rates, but of this
amount more than $1,000,000 will be actually saved to the
insuring public by secuinng from the companies lower insur-
ance premium rates.
Should Reduce Insurance Rates
"I am of opinion that the companies on the adoption of
the proposed limitation of commissions will be able to reduce
the rates of premiums on all dwellings, household furniture
and other three-year risks by at least 10 per cent, and all
other classes of risk by at least 5 per cent. This will absorb
practically the $1,000,000 which is estimated above as the
savings to the companies in commissions.
"At the present time in Ontario outside of Toronto com-
missions have been effectively limited by company rules to
graded terms of 25 per cent, on dwellings and household
furniture, 20 per cent, on mercantile risks and 15 per cent,
on all other classes. This is equivalent to an average rate
to the agent outside of Toronto of 18 per cent. The effect
upon the agent outside of Toronto, therefore, is an appar-
ent reduction of 3 per cent. Upon the agent in Toronto the
reduction will be considerably greater.
"The other branch of the department program, namely,
the limiting of the issue of licenses to bona fide agents, will
fully compensate legitimate insurance agents outside the
city of Toronto for the apparent reduction in commission
rates."
Conference to be Held
A draft of the proposed legislation will be ready for
submission at a conference of company heads to be held in
Toronto on December 16. The purposes of the department
are outlined by Mr. Gray as follows: "First, reduction of
insurance rates to the assured; second, reduction of cost of
acquisition of business to the companies; third, equal and
fair remuneration for equal service to agents in all parts
of Ontario; fourth, improved agency service to the public by
fompetent and trustworthy agents."
FIRST GENERAL MEETING OF ONTARIO EQUITABLE
On November 23 the Ontario Equitable Life and Acci-
dent Insurance Company held its first general meeting of
shareholders for the purpose of organization and election of
directors. The company has over three hundred shareholders
in the towns of Waterloo and Kitchener themselves, and a
large number of these were in attendance. It will be remem-
bered that the Ontario Equitable made a record in the selhng
of its capital stock, and the same vigorous management has
been evinced in the company's short business career. In the
space of one week over $300,000 of life insurance has been
placed.
The following shareholders were chosen for the board
of directors: A. Bauer, J. C. Breithaupt, Dr. J. W. Brian,
A. E. Hulet, A. R. Kaufman, Senator H. W. Laird, M. P.
LangstaflF, W. E. Long, E. C. Mitchell, Thos. Reid, A. E.
Silverwood, S. C. Tweed, Jas. Valentine, Dr. W. T. Wallace.
At the adjournment of the general meeting the board
of directors held its first session. S. C. Tweed, the managing
director, was appointed the president of the company; M. P-
LangstafT, A. I. A., F.A.S., was appointed assistant manager
and actuary, and .Moyes Bauer and Senator H. W. Laird,
\-ice-presidents.
December 10, 1920
THE MONETARY TIMES
Dkbenttjres for Sale
DOMINIOX TEXTILE COMPANY, LIMITED
NOTICE OF DIVIDEND
A dividend of two and one half per cent. (2'/2','i) on
the Common Stock of the Dominion Textile Company, Limited,
has been declared for the quarter ending 31st December,
1920, payable January 3rd, 1921, to shareholders of record
December 15th, 1920.
By Order of the Board.
JAS. H. WEBB,
Secretary-Treasurer.
Montreal, 6th December, 1920. 313
THE STANDARD TRUSTS COMPANY
DIVIDEND No. 33.
Notice is hereby given that a dividend at the rate of
9'/t> per annum on the paid-up capital stock of The Standard
Trusts Company has been declaimed for the half-year ending
December 31st, 1920, and that the same will be payable at
the Company's offices in Winnipeg on and after January
2nd, 1921.
By Order of the Board.
WILLIAM HARVEY,
31 Managing Director.
THE CANADIAN CROCKER- WHEELER CO., LIMITED
DIVIDEND NOTICE
The directors of The Canadian Crocker-Wheeler Com-
pany, Limited, have declared a One and Three Quarters per
cent. (l%''/c) dividend on the preferred stock of the Com-
pany for the three months ending December 31st, 1920, to
shareholders of record December 21st, 1920. Also a dividend
of One and Three Quarters per cent. (1%%) on the common
stock of the Company for the three months ending December
31st, to shareholders of record December 21st, 1920.
The Stock books will be closed from the 21st to the
31st of December, both days inclusive.
Checks will be mailed to shareholders on December 31st,
1920.
By order of the Boai'd.
H. A. BURSON,
Secretary.
St. Catharines, December 6th, 1920. 310
Condensed Advertisements
"Positions W
anted."
.ic per w
3rd: all
nth
er con
densi'd
Hdvi-.rt
5c. per word.
Minim
um charge for ar
V c
onden
sed ad
'ertisen
per insertion
All c(
>ndensed
adverti
ents
must c
anform
style. Conde
ised ad
vertiseme
nts. on
ac
:ount
of the
very 1(
charged for them, are
payable i
1 advan
:e:
50 per
cent.e
WANTED. — A General Agency for good board fire in-
surance company for the Province of Alberta. Have large
premium' income now on our books which we control, and
splendid country organization well established. Apply Box
359, Monetary Times, Toronto.
EXECUTIVE. — Age 35. Twenty years' experience.
Eight years in Railway Operating and Construction Depart-
ments, twelve years in Accountijag Department, past five
years as General Auditor. Expert Accountant, thorough
knowledge of railway and construction materials, well in-
formed in financial matters, seeks engagement. Box 365,
Monetary Times, Toronto.
TENDERS FOR PULPWOOD AND TIMBER LIMIT
Tenders will be received by the undersigned up to and
including the 18th day of December, 1920, for the right to
cut forest products on an area in the English River Water
Shed.
Tenderers shall state the amount of lump sum cash
bonus they are prepared to pay, which sum shall be in addi-
tion to the rates of Crown Dues fixed by Order in Council
dated 27th day of March, 1920.
Parties making tender will be required to deposit a
marked cheque payable to the treasurer of the Province of
Ontario for the entire amount of the lump sum bonus speci-
fied above, which lump sum shall be forfeited to the Crown
if the successful tenderer does not enter into an agreernent
as provided in conditions of sale.
The highest or any tender not necessarily accepted.
General terms and conditions of sale may be had by
applying to the undersigned.
BENIAH BOWMAN,
Minister of Lands and Forests.
Toronto, September 24th, 1920.
N.B. — No unauthorized publication of this notice will be
paid for. 292
■^.j.^
TENDERS FOR PULPWOOD AND PINE LIMIT
Tenders will be received by the undersigned up to and
including the 29th day of December, 1920, for the right to
cut pulpwood and pine timber on a certain area situated on
the North Shore of Lake Superior, and territory adjacent
thereto, in the district of Thunder Bay.
Tenderers shall state the amount per cord on pulpwood,
and per thousand feet board measure on pine, that they are
prepared to pay as a bonus in addition to dues of 80c. per
cord for spruce and 10c. per cord for other pulpwoods, and
$2.-50 per thousand feet board measure for pine, or such other
rates as may from time to time be fixed by the Lieutenant-
Governor-in-Council for the right to operate a pulp mill and
a paper mill on or near the area referred to.
The successful tenderer shall be required to erect a mill
or mills on or near the territory and to manufacture the
wood into pulp and paper in the Province of Ontario.
Parties making tender will be required to deposit with
their tender a marked cheque payable to the Honourable the
Treasurer of the Province of Ontario, for twenty-flve thous-
and dollars ($25,000), which amount will be forfeited in the
event of their not entering into agreement to carry out the
conditions, etc.
The highest or any tender not necessarily accepted.
General terms and conditions of sale, together with par-
ticulars and description of territory, may be had on applica-
tion to the undersigned.
BENIAH BOWMAN,
Minister of Lands and Forests.
Toronto, 1920.
N.B. — No unauthorized publication of this notice will be
paid for. 312
28
THE MONETARY TIMES
Volume 65.
lENDEUS FOR DEBENTURES
Sealed tenders, marked "Tender for Debentures," will
be received by the undersigned up to (i o'clock p.m. of Tues-
day, the 21st day of December, 1920, for the whole or part
of the Forty-Five Thousand Dollars of Debentures issued by
the Board of Trustees of the Roman Catholic Separate
School for the Town of Iroquois Falls.
These debentures shall be payable at the expiration of
Twenty years from the -".Oth of September, 1920. Interest
at the rate of (i'/f is payable yearly. Coupons covering in-
terest are attached to Debentures.
The payment of these debentures and interest is Guar-
anteed by the Province of Ontario.
The highest or any offer not necessarily accepted.
Information regarding debentures may be obtained
from the undersigned or from Fred. A. Day, Barrister, &c.,
Sun Life Building, Toronto.
A. PELLETIER,
Secretary, Board of Trustees of the Roman Catholic
Separate School for the Town of Iroquois Falls.
315
TARIFF EVIDENCE IN ONTARIO
Little Interest Shown in Hearings — Views are Mostly ''>"0-
tectionist — Farmers Admit Industrial Centres
are Good Market
FINAL sessions of the Federal Tariff Commission were
held in Ontario, .starting in Hamilton on November 20
and ending in Toronto on December 6. A special session will
be held in Ottawa for hearing some evidence held over.
In Hamilton on November 26 and 27, the jam manufac-
turing industry was represented by Senator E. D. Smith, of
Winona, and the Canadian Woollen Manufacturers' Associa-
tion by R. G. Thompson, of Caiieton Place. Others who
gave evidence were James A. Livingstone, a finiit grower, and
publisher of The Grimgby Independent, John Bridgman, vice-
president of the Niagara Peninsula Fruit Growers Associa-
tion, Hudson Ushei', manager of the Niagara Fi-uit Com-
pany, Queenston, W. E. Groves, president of the Canadian
Florists and Gardeners' Association, R. L. Smith of the G.
W. Robinson Co., and H. A. Pigott of the Pigott-Healy Con-
struction Co.
Senator Smith said that owing to the higher costs of
production here, free trade would wipe out the jam industry
and ruin the Niagara fruit-gi-owers. The refining of sugar
in Canada would be dealt a severe blow, and so would those
Canadian industries now engaged in making glass containers,
tin cans, etc. Not a few fruit-growers had made as much as
$1,000 per acre by selling small fruits to the jam factories,
as against $50 an acre from the growing of wheat in western
Canada, he said. At the present time English jam-makers
were laying down jam in Canada for eight cents a pound
less than it could be made for in this country. As a re-
sult several jam factories in Canada were likely soon to go
to the wall.
Some Farmers Favor Tariff
In London, on November 29, several farmers expressed
themselves as satisfied with protection, as the cities and towns
of western Ontario, undoubtedly, had a better market on
this account, and the value of their lands and produce was
enhanced accordingly. l^eonard (ied, secretary and sales
manager of the Tillsonburg Shoe Co., said his firm came
from Detroit to Tillsonburg owing to the protective tariff,
and added they would have to go out of business if any-
thing like free trade were introduced. H. A. Gilroy, a
f.irnier of Bruce ccJunty, stated that he was a grower of
sugar beets, and suggested that the industry in that com-
modity should be stimulated by a bonus. "If there is any-
thingneeds protection it is an infant industry like that in
connection with sugar beets," he asserted.
M. R. Seed of the Aylmer Pump & Scales Co., Ltd.,
declared that to compete with United States manufacturers
his firm and those making- similar lines have the protection
now enjoyed. He pointed out that the United States manu-
facturers had a market of 110,000,000 people, to say nothing
of a large export market. He declared that the larger mar-
ket enjoyed by the United States manufacturers allowed
them to'oDtam mactiinery which the Canadian manutac-
turer could not afford and which allowed of much cheaper
manufacture. He stated that one firm in Chicago with
specialized maehinei-y was able to make eight or ten opera-
tions on one pump which required the same number of in-
dividual operations in his own plant. Mr. Seed stated that
the greater pai't of their raw material was purchased in
Canada, and that even under present conditions prices be-
tween United States and Canadian firms were so close that
it was a job to compete with them.
Manufacturers' Views in Toronto
When the Toronto sessions commenced on December 1,
briefs were presented by the Ontario division and the Tor-
onto branch of the C.M.A. John R. Shaw, chairman of the
Ontario Division of the CM. A., pointed out that Ontario
manufactured 48 per cent, of the total goods made in Canada
and its population was one-third that of the Dominion. Its
manufacturing establishments number 15,337, with .$1,442,-
220,759 invested capital, employing 320,808 people and pay-
ing .$302,399,077 in wages, and produce $1,640,771,634 of
manufactured goods. The factories wei'e intimately connect-
ed with the commercial life of the community in which they
were situated. He pointed out that the province had no coal
and no developed iron, yet had been able to meet American
competition and retain its home market because of the Cana-
dian tariff's protection. Its natural resources and water
powers had been factors, but the protective tariff was the
greatest factor in its industrial success, because without it
there would have been neither opportunity nor necessity for
power development to carry on manufacture of its natural
products.
T. A. Hollinrake, chairman of the Toronto branch, pointed
out to the tariff commission that Toronto now produces 14
per cent, of the goods manufactured in Canada and 31 per
cent, of the manufactures of Ontario ; that there were, accord-
ing to the Dominion Bureau of Statistics estimates for 1918.
2,835 manufacturing establishments in the city with an in-
vestment of $392,945,178, employing 106,128 people and pay-
ing in wages $105,509,698; the raw materials used cost $266,-
580,781 and the value of goods produced was $506,429,283.
Assuming that each wage earner supported but one other
person, there were 200,000 people, 40 per cent, of the city's
population, dependent on its manufacturing plants.
Increased protection for gasoline was urged by oil re-
finers, represented by S. R. Parsons, while, on the other
hand, Chas. F. Steele, of Port Colborne, president of the
Natural Gas and Petroleum Association, wanted the duty
removed from equipment used in the manufacture of natural
gas. Manufactui'ers of and dealers in pianos, organs and
phonographs also appealed for consideration, not so much
in the way of increased protection as in the removal or re-
duction of the luxury tax.
E. C. Drury, premier of Ontario, appeared as an advo-
cate of tariff reduction. He had no objection, he said, to a
federal land tax as a substitute for tariff revenue. , He
claimed that Ontario's development had been one-sided, and
tliat manufacturers who sought to retain the existing tariff
or a higher one looked at the question from a very narrow
viewpoint. It was purely ^Ifish. The chief thing was to get
down the cost of Tving, and the present tariff was one of the
great stumbling-blocks to such an end.
The United Fanners of Ontario and the Fruit Growers
were also heard in favor of some reductions in duties.
December 10, 1920 THEMONETARYTIMES 29
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I CHARTERED ACCOUNTANTS |
^IIIIIIIIMIIIIUIIMIIIIillinilllllllMIIIIMIIIIIMIIIIIIUIIIIIIIIIIMIIIIIIIMIIIIIIIIIIIIIIIIIIIIIIIIIIIIinilllllMllllilllUMIIIIIIIIIIIIIIMIIIIIIIIIItllllllllMI^
Baldwin,
Dow
& Bo%yman
CHARTERED ACCOUNTANTS
OFFICES AT
Edmonton - - Alberta
Toronto • Ont.
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Chartered Accountant and Auditor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipeg
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W. A. Henderson & Co.
Chartered Accountants
508-509 Electric Railway Chambers
Winnipeg, Man.
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Wales).
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nd and
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&
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;d Accou
ntant
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, B.C.
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AND AT:-
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&
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Montreal, New York, London, Eng.
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Vancouver.
THE MONETARY TIMES
Volume 65.
TAXES RECOVERABLE BY I'ERSONAL ACTION
^Medicine Hat Allowed to Sue Against Personal as Well as
Real Property, in Case on Wording of City's Charter
IN an appeal by the city of Medicine Hat from a judgment
on a special case where the city sought personal judg-
ment for certain taxes alleged to be due to the city in re-
spect of certain real property situated therein, it was held
that sections (i and 7, title 'i2 of the city's charter, makes
taxes which are due it a debt recoverable in a personal ac-
tion by it and the omission to include the lots in a tax sale
which was held does not release the debtor from his liabilities.
Provisions of Statute
Justice Stuart in his judgment says: "It was contended
by the defendant that the act in question did not give any
right to the corporation to recover the taxes as a debt. The
material sections of the act contained in title 32 are as
follows: '6. The taxes due upon any land may be recovered
from any owner or tenant originally assessed therefor and
from any subsequent owner of the whole or any part thereof
-saving his recourse against any other person, and such taxes
shall be a special lien upon the land and shall be collectable
by action or distraint in priority to every claim, privilege,
lien or encumbrance of every person except the King; and
lien in its priority shall not be lost or impaired by any neg-
lect, omission or error of any officer of the city. 7. The
production of a copy of so much of the roll as relates to the
taxes payable by any person in the city certified as a true
copy by the secretary-treasurer shall be conclusive evidence
of the debt.'
"It is apparently well settled law that a tax is not a
debt unless expressly declared to be so by the statute im-
posing it. The simple question is whether by the words used
in the above sections, the court should hold that the statute
has declared the taxes to be a debt. The words are prac-
tically the same as those of section 305 of the Iowa Act, and
in the case of 'Castor v. Fenton,' the chief justice held that
under the latter section taxes could be recovered in a per-
sonal action as a debt.
Gives Right to Per.sonaI Action
"It is a settled canon of construction that a statute ought
to be so construed that if it can be prevented, no clause,
sentence or word .shall be superfluous, void or insignificant.
So in the present case if the contention of the defendants be
correct as to the meaning of section 6 of title 32 — viz., that
it merely creates a lien and give a right to collect the taxes
in an action to enforce the lien or by distress, then all the
words of the section down to 'thereof in the third line arc-
superfluous. They would in that case, add absolutely nothing
whatever to the meaning of the statute because everything
that the defendants admit is done by the section is done
fully and completely by the succeeding words.
"I cannot but conclude that the real meaning and eflfeet
of the statute is to make the taxes a debt recoverable by
personal judgment and I therefore think the appeal should
lie allowed with costs and I see nothing in the statute which
shows that the omission to include the lots in a tax sale
which was held would release the defendants from their
liability."
SHAREHOLDERS MUST PAY FOR SHARES
The Quebec Superior Court, in a iniling maintaining that
the obligation of a shareholder is to pay in full for his shares
in a joint stock company, has granted the petition of E. St.
Amour, in his quality of liquidator of the Conipagnic Indus-
trielle d'lmmeubles. Limitee, as directed against A. W. Rous-
seau, Jules Bcauchemin, Arthur Ecrement and Napoleon
Turcot, and placed them upon the list as contributors of this
company for $20,000 each. The company was incorporated
under the provisions of the Canada Companies Act by letters
patent issued on July IG, 1912, with an authorized capital
stock of ?2B0,OOO.
QUEBEC PROVINCE WINS LAND TITLE CASE
Cable advices state that the Privy Council has decided
in favor of Quebec's appeal against the Dominion's claim to
the ovmership of former Indian reserves. "The case arose
from small beginnings, when the Ottawa government sold
to Madame Beausoleil a piece of land which had been con-
tained in an Indian reserve abandoned by treaty between
the Indians and the government. On the other hand, the
Quebec government sold th,^ same piece of land to another
party. Each government contended it was the sole owner
of the land contained in Indian reserves in this province
after they had been abandoned as reserves by the Indians.
In Ontario the same question had been settled by the
Privy Council in favor of the province. In the Star-Chrome
case it was contended that the Ontario judgment did not
apply to Quebec province, as the reserves had been created
under diiferent laws from the Ontario reserves. That was
the whole contention. The Superior Court decided against
Quebec after a lengthy case and a long delibere. The Court
of King's Bench Division affirmed the judgment of the
Superior Court by a majority judgment. The Privy Council
has now reversed these decisions.
"This decision will have a very wide effect," says the
Quebec attorney-general. "In the past the Dominion govern-
ment has obtained abandonment of sevex'al Indian reserves
and then proceeded to sell the land. It is obvious that under
this decision these sales were made by a person who was
not the owner. Settlers and others who have bought these
lands will have to regularize t'.ieir position with the Quebec
government. There will, however, not be any attempt to
disturb them in their possession of the lands, and the amount
of money involved is so small that it will probably not be
considered desirable to apply for any refund of purchase
moneys from the federal government."
LAND PURCHASER HELD TO AGREEMENT
Two appeals, involving a total of nearly $250,000, have
been dismissed by the Supreme Court of Canada, the appel-
lant being H. P. Kennedy and the respondents J. H. Mellick
and the Inman estate. The appeals were taken from a de-
cision of the Appellate Division of the Supreme Court of
Alberta. At the sittings of this court last January, Chief
Justice Harvey and Justices Beck and Stuart upheld judg-
ments of Justices Ives and Hyndman, granting specific per-
formances of agreement of sale of lands by the executors
of the Inman estate and by J. H. Mellick to H. P. Kennedy.
The case dates back to the boom days of 1913, when
Kennedy purchased some 500 acres of land to the east of the
Edmonton stockyards, just outside the city limits. The Inman
estate comprised 320 acres, while 180 acres were purchased
from Mellick. VV'ith real estate booming and land going at
unheard-of figures, Kennedy paid $298,000 for the acreage.
Shortly after the sale was effected the bottom dropped out
of the boom and Kennedy did not complete his payments.*
Suit was brought by the respondents in the present case in
the Supreme Court to compel Kennedy to carry out the
agreement.
In the Inman case $14,000 has already been paid, while
$192,000 is the amount claimed. A total of $68,000 was paid
on the Mellick property and suit brought for the balance
of $24,000. In his defence the appellant asserted that the
Inman property was never at any time worth more than
$31,000, while the valuation of the Mellick property was
placed at $21,900. The court was asked to relieve him from
his contract by allowing him to forfeit a considerable part
of the amounts already paid without further liability on the
ground that in 1913 all parties were laboring under the gen-
eral infatuation incidental to the times, resulting in fictitious
values being placed on Edmonton property. The famous
South Sea bubble of 1720, when a great portion of the popu-
lation of England lost their heads and plunged deeply into
speculation, was referred to, and it was pointed out that at
that remote date in many instances English judges had seen
fit to grant relief.
December 10, 1920
THE MONETARY TIMES
JiiiiiiiinMiiiiiiiiiiiiiiiiniiiiiiHiiiiiiiiiiiiiiiiiiiiiiiiiiMiiiiiiiiiisiiiiiiMiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiuiiiiiiiiiiiiiiiii^
I REPRESENTATIVE LEGAL FIRMS f
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THE MONETARY TIMES
News of Industrial Development in Canada
Business Readjustment is Affecting Ontario Municipalities— Depression is not yet General,
However— Wettlaufer Company Proposes Extensions at Kingston— Amalgamation of Rolling
Mills and Electric Steel Smelters at Port Moody Will Result in Important Amalgamation
ONTARIO industries are beginning to experience the effects
of business readjustment. During the past week an-
nouncements have been made regarding the closing down of
several factories in the pi'ovince, and more may follow. The
Standard Chemical Co., of Sault Ste. Marie, has notified its
200 employees that on December 15 the plant will be closed
down on account of lack of orders. The company's activities
include the manufacture of charcoal, alcohol and acetate of
lime.
The four brick works at Milton have been closed, throw-
ing many men out of work. The town is at the present time
combatting unemployment, and the approach of the winter is
being regarded with alarm. Several men have been put to
work cleaning the streets, but the number out of jobs is still
large.
.At Thorold, the Beaver Board factory has received orders
from Buffalo to close down. This is one of the main indus-
tries of the town, and employs eight hundred men. No ex-
planation has been given as to the reason for the cessation
of operations, but as the plant has been running almost up to
capacity, it is thought that the closing down is merely a
move tow'ard the lowering of wages, and if so, will only be
temporary.
Activity in Some Municipalities
The depression is not yet general, however, judging from
the activity in some municipalities. At Smith's Falls, the
International Button Co. has completed the installation of
machinery in the Steele planing mill, and is now taking on
operators as fast as they can be trained.
The American Ironing Machine Co., of Chicago has
leased the plant of the Woodstock Worsted Knitting Co.,
with the option of purchasing at the end of twelve months,
and will commence operations shortly.
At Bridgeburg, the Tuttle-Bailey Manufacturing Co. is
preparing plans to enlarge its plant. The company, which is
engaged in the manufacture of registers and grills, is work-
ing its plant at full capacity. On December G, the Wood
Hydraulic Hoist Body Co., of Detroit, opened a new Canadian
branch factory at Windsor, Ont. The hoist manufacture
is one of the forms of motor truck dumping or unloading de-
vices now on the market.
Wettlaufer at Kingston
Before the board of trade, Kingston, Ont., recently,
Messrs. Watson and Wettlaufer, of the firm of Wettlaufer
Bros., manufacturers of concrete machinery, gave an ac-
count of their proposed extensions. The present plans call
for the centralizing of the oi'ganization and plant in order
to meet the demands for output, increase efficiency and re-
duce overhead expenses and cost. With regard to the mar-
kets, Mr. Wettlaufer stated that the company supplies a
great home demand and has entered into agreement with
the Canadian Fairbanks-Morse Co. to sell their machines in
Halifax, Winnipeg, Vancouver and Victoria, thus reducing
their field staff. They hold exclusive patent rights in the
United States, Canada and England.
Their business extends to England, France, New Zea-
land and Australia, and owing to seasonal changes that
affected home demand, there would never be any shutting
down of the plant, because after filling home demands the
foreign markets would absorb all surplus output. The com-
pany also has two offices in the United States, the Niagara
Concrete Machin-^ry Co., Buffalo, and Wettlaufer, of Detroit,
where their machinery was handled. If there w-as any over-
production here, it would be taken up there.
Under the scheme now proposed the reorganized com-
pany is increasing the capital and will require ?1 00,000 to
help erect the new plant in Kingston. This course is neces-
sary so that the present capital and reserve will not be im-
paired. Ari-angements are being made to solicit subscriptions
for this amount of stock among the citizens of Kingston.
Quebec Railway Opens New Resources
Announcement has been made of the extension of the
Quebec-Chibougamou Railway, to run along the northern por-
tion of Lake St. John, and to connect with the Canadian Na-
tional Railway and complete the railway link around the
whole lake.
This has a direct interest to the lumbering and pulp
industry in the province, as this railway will traverse what
is believed to be the best unleased virgin pulp forests. In
addition it will open a fresh supply of mineral resources.
The project, it is expected, will be commenced in the spring.
Rolling Mills for B.C.
The industrial department of the British Columbia gov-
ernment has approved a loan of $250,000 to finance the
amalgamation of the Port Moody rolling mills and electric
steel smelters, and the Port Moody rolling mill will start
operations again on an enlarged scale. The new company,
to be known as the British Columbia Steel Works, Ltd., wll
comprise an amalgamation of the Port Moody, Eburne and
Tudhope electrical plants under an organization headed by
Brig.-Gen. Victor W. Odium, assisted by ii-on and steel ex-
perts. Orders have been received in advance for a great
deal of the output of the plant which will give employment
to several hundred men, running in continuous night and
day shifts.
Each of the plants will continue to operate at present
location pending the concentration of all of them at Port
Moody where ample room for expansion has been secured.
The mills will handle scrap iron, which will be made into iron
rods, angle iron for ship work, flats and other varieties of
stock metal. The electric smelters will be used to handle
.■jcrap steel which hitherto has gone out of the province.
Under the electric system the scrap steel is converted back
to pig iron. Several light industries will locate in Port
Moody as a consequence of the organization of the steel
mills. One of these is a bolt, nut, spike and rivet company,
which has also been assisted by the provincial government
with a loan of ?45,000.
The Canadian Queen Manufacturing Co., Ltd., which
was incorporated some time ago, has leased a factory at
Vancouver, B.C., with the intention of purchasing next year.
The company has been formed for the purpose of manufac-
turing the brooders, incubators, poultry supplies and feeds,
known as the "Canadian Queen," and has already received
requests for more machines than it is able to handle this
season, without increasing the capacity of the present plant.
Wm. Power, who recently reorganized the firm of W.
M. and J. P. Sharpies and Co., and had it incorporated at
Ottawa, has likewise reorganized his other private interests,
and has had them incorporated by letters patent in the pro-
vince of Quebec under the name of the Power Lumber Co.,
Ltd., with a capital of $2,000,000. The new company plans
to purchase and operate certain mill properties, limited and
freehold lands, situated on the south shore of the St. Law-
rence River.
It likewise intends to purchase the River Ouellett Pulp
and Lumber Co., the Lafontaine Lumber Co., together with
certain mills situated at River Manis and Lapointe, in the
county of Kamouraska and St. Appollina. in the county of
Monteagny, also other lands and timber holdings in the
vicinity. Montreal, Ontario and Quebec capital is interested
in the company. The head office of the company will be at
St. Pacome. No stock will be issued for public subscription.
December 10, 1920
THE MONETARY TIMES
The Imperial
Guarantee and Accident
Insurance CompEuiy
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident Insurance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - - - $200,000.00
Authorized Capital - $1,000,000.00
Subscribed Capital - $1,000,000.00
Government Deposits $111,000.00
CANADIAN STRONG PROGRESSIVE
fj^»& W!%y.5js«isee««i?«fl«r?
FIRE INSURANCE
AT TARIFF RATES
Head Office foi
ACCIDENT COY.. Omited
Canada - Toronto
Employers' Liability. Elevator. Contract. Personal Accident. Fidelity
Guarantee. Internal Revenue. Sickness. Court Bonds,
Teams and Automobile.
AND FIRE INSURANCE
IT PAYS TO INSURE YOUR AUTOMOBILE
The Canadian Surety Company
M
aximum service.
Mimn
Cost.
IF you are not younger than 22 years
* or not older than 41 years and in good
health, send for particulars of our famous
Money-Back Policy
Please state date of birth.
The Travellers Life
Assurance Company of Canada
MONTREAL, QUE.
Hon. GEORGE P. GRAHAM, President.
Commercial Union Assurance Co.
Limited, of London. England
Capital Fully Subscribed $14,750,000
Capital Paid Up 7,375,000
Total Annual Income Exceeds 75,000.000
Total Funds Exceed 209.000,000
Head Office Canadian Braneb :
COMMERCIAL UNION BUILDING - MONTREAL
H ALBERT J. KERR, Assistakt Manager \V. S. JOPLI.N'G. .Manager
Toronto Office • 49 Wellington Street East
GEO. R. HARGRAFT. General Agent for Toronto and County of York
ilililllllll
Automobile— 1 920"Season |
Policies to cover ANY or ALL motoring risks S
ATTRACTIVE AGENCY CONTRACTS ■
British Empire Fire Underwriters
82-88 King Street East, Toronto
General
Fire
Capital Sabscrihed - $500,000
Automobile
Intnrance
..^-L>''^^:i.»;//.i-.
Fire and
Accideot
-- 1 -Ifc V:
Theft
Health
Fidelity
Bonds
I^^^M^
Liability
Properly
Damage
Plate
Gias.
"^^kS^^
Collision
Boiler
Barglar;
A. E. Hab.
"'•-iBlg^'^
Explosion
Vict-President Home Office
J. O. Helin
Sec.-Treas. 10th Floor, Electric Railway Chambers |
Good Openlnes for Live Agents
1
THE EMPLOYERS'
LIABILITY ASSURANCE CORPORATION
OF LONDON, ENG. LIMITED
ISSUES
Personal Accident Sicktiess
Employers' Liability Automobile
Workmen's Compensation Fidelity Guarantee
and Fire Insurance Policies
C. W. I. WOODLAND
General Man,iger for Canada and Newfoundland
Lewis Building.
MONTREAL
JOHN JENKINS,
Fire Manager
Tetnple Bldg.
TORONTO
34
THE MONETARY TIMES
Welland, Ont., has secured the Canadian branch of the
Fulton Motors, Ltd., of Farmingdale, Long Island. The
company has closed its option for the purchase of the lands,
building and plant of the Canadian .Automatic Transporta-
tion Co., on Ontario Rd. The capacity of this plant will be
from three to five tons per day.
NEW INCORPORATIONS
W. & J. Sharpies, Ltd.— Great Kirkland Gold Mines, Ltd.—
Soda Deposits, Ltd.— Primo Silver Cobalt .Mining
Co., Ltd.— F. S. Fearman Co., Ltd.
The following is a list of companies recently incorporated
tinder Dominion charter, with the head office and authorized
capital: —
Arthur S. Leitch Co., Ltd., Toronto, $100,000; Colonial
Marine Underwriters, Ltd., Montreal, $150,000; Murphy Pres-
sure Flushing Trap Co., Ltd., Hull, $50,000; Soda Deposits,
Ltd., Calgary, $1,000,000; K. A. Morrison Construction Co.,
Ltd., Quebec, $100,000; W. & J. Sharpies, Ltd., Quebec, $1,-
500,000; Maisonneuve Box and Lumber, Ltd., Montreal,
$49,500; Confederative Investment Corporation, Ltd., Mont-
real, $50,000; Educational Motion Pictures, Ltd., Toronto,
$500,000; Sterne of Canada, Ltd., Toronto, $10,000; Marine
Manufacturing Co., Ltd., Montreal, $50,000; M. B. Steine,
Ltd., Montreal, $150,000; National Stadium, Ltd., Toronto,
$500,000.
Provincial Charters
The followiLg is a list of companies recently incorporated
under pi'ovincial charter: —
British Columbia. — .\lberta Pacific Coals, Ltd., Van-
couver, $50,000; Standard Decorators, Ltd., Vancouver, $10,-
000; Sales, Ltd., Vancouver, $10,000; Rupert Shell Fish Co.,
Ltd., Dundas Island, $25,000; Royal Oak Club, Ltd., Royal
Oak, $.3,000; Jeffree and Johnson, Ltd., Vancouver, $25,000;
Interior Motors, Ltd., Penticton, $24,000.
New Brunswick. — Hazen Flemming Co., Ltd., Woodstock,
$24,000; Roy Co., Ltd., St. Leonard, $49,900; Saint John Mont-
real Development Co., Ltd., Fairville, .$99,000.
Ontario.— G. M. Gunn and Son, Ltd., London,, $20,000;
Great Kirkland Gold Mines, Ltd., Toronto, $1,500,000; Primo
Silver-Cobalt Mining Co., Ltd., Toronto, $1,000,000; St. Thomas
Lawn Bowling Club, Ltd., St. Thomas, $40,000; Canadian
Oakville Co., Ltd., Hamilton, $100,000; Grimsby Club Realty
Co., Ltd., Grimsby, $40,000; Shcpherdson, Ltd., New Liskeard,
$40,000; Dominion Cloak Co., Ltd., Toronto, $150,000; F. W.
Fearman Co., Ltd., Hamilton, $1,000,000; Canadian Rota-
Floor Garage Co., Ltd., Fort Frances, $100,000; Mutual Tele-
phone Co., Ltd., Orillia, $800; Coleman Lamp Co., Ltd., To-
ronto, $250,000; Adelaide Realty Co., Ltd., Toronto, $500,000;
Sarnia Oil and Gas Co., Ltd., Sarnia, $500,000; Port Hope
Knitting Co., Ltd., Port Hope, $40,000; Osier Realty Co., Ltd.,
Toronto, $150,000; Knit-Wear, Ltd., Toronto, $40,000; Lcikin,
Ltd., Ottawa, $40,000; Goodman and Rosenthal, Ltd., To-
ronto, $40,000; C. B. Devlin and Co., Ltd., Fort William,
$100,000; Gait Chemical Products, Ltd., Gait, $40,000; Cana-
dian China Products, Ltd., Toronto, $300,000; Ashgrovc Tele-
phone Co., Ltd., Georgeto\>'n, $500; T. S. Woollings and Co.,
Ltd., Englchart, $200,000; Toronto Timber and Cord Wood
Co., Ltd., Toronto, $40,000; Liberty Hall Co.. Ltd., Sudbury,
$40,000; Tavistock Cheese and Butter Co., Ltd., Tavistock.
$10,000; Indian Peninsula Molybdenum Co.. Ltd.. Toronto,
$1,000,000; Capital Cake Cone. Ltd.. St. Williams, $14,000.
Prince Edward Island. — Central Creameries, Ltd., Char-
lottctown, $24,000.
Saskatchewan. — Central Phai-macy, Ltd., Saskatoon. $15,-
000; Western Granite. Marble and Stone Co., Ltd.. Saskatoon.
$20,000; England's Jewellery Store, Ltd., Regina. $20,000;
Thomson. Jlillcr. Guy, Ltd., Moose Jaw, $50,000: Elrose Curl-
ing and Skating Club, Elrose, $2,000; Gauvin Patent Insulated
Wall, Ltd,. Saskatoon, $20,000; Ronald-Smith Cultivator Co.,
Ltd., Regina. $25,000; Buena Vista Park Development Co.,
Ltd.. Regina, $20,000.
ANOTHER FIRE COMPANY WILL DO BUSINESS HERE
Ca.vton Insurance Company Coming— Ontario Branch For
Liverpool and London and Globe
THE Liverpool and London and Globe Insurance Co., Ltd.,
with affiliated companies, the Liverpool-Manitoba Assur-
ance Co., and the Globe Indemnity Co. of Canada, will on the
first of January next open a branch in the Excelsior Life
Building, Toronto, to which all the agents in Ontario, west
of the line of the Kingston and Pembroke Railway, will re-
port their business. This branch will be in charge of J. D.
Simpson. The reason for this departure is to afford western
Ontario agents quicker service and generally to facilitate the
extensive operations of these three companies.
Carson, Williams and Willcox, Ltd., prominent Canadian
insurance agents, are bringing into Canada the Caxton In-
surance Co., Ltd., of London, Eng., for fire insurance. This
company has a paid-up capital of $1,000,000.
United Assurance Company
Very little has been heard of the United Assurance Co.
since it commenced business in 1916, but nevertheless the
company is making good progress in western Canada. The
head oflice is at Calgary, Alta., and there is also a branch at
Moose Jaw, Sask. Under its charter the company has power
to write fire, hail, automobile, accident, sickness and miscel-
laneous lines, but at present is only writing fire and hail
insurance.
The company has received a substantial and increasing
premium income each year, and according to T. J. Ranaghan,
secretary-treasurer, the amount for 1920 will reach $200,000.
The underwriting experience of the company has been success-
ful and a substantial reserve has been built up. Surplus
funds are mainly invested in Dominion Victory bonds. H. B.
Macdonald, of Calgary, is managing director.
Agency Appointments
Robert Hampson and Son, Montreal, chief agents for
Canada of the Insurance Co. of North Amei'ica, announce the
following appointments: — C. D. Forbes to be inspector at
Calgary for Alberta and western Saskatchewan, and H. C.
Mills to be inspector at Winnipeg for Manitoba and eastern
Saskatchewan.
George Lyman, the well-known insurance broker, Mont-
real, has recently been appointed general agent for the city
of Montreal of the Essex and Suffolk Equitable Insurance
Society, Ltd. Mr. Lyman has also received the appointment
as general agent for Montreal and district for the marine de-
partment of the Phenix Insurance Co. of Hartford.
John D. Rowell, inspector for Ontario of the North
British and Mercantile Insurance Co., has retired from that
position after 25 years' service with the company to become
associated with Bryce B. Hunter, insurance agent, Toronto.
To succeed Mr. Rowell the North British and Mercantile has
appointed William Cooke as Ontario inspector. Mr. Cooke
will also represent the Occidental Fire Insurance Co.
I,.\URENTII)E COMPANY ACQUIRES TIMBER LIMITS
The Laurentidc Company have purchased 404 square
miles of timber limits in Saguenay county, 145 miles below
Quebec City. This should round out considerably Lauren-
tide's timber holdings, and is in line with the policy of pro-
viding well for the future. The new holdings contain about
1,500,000 available cords of pulpwood, and this winter 10,000
cords will be cut. The pulpwood will be shipped first on
barges to St. Augustin, twenty miles from Quebec, then
shipped by National Transcontinental to the Black River, and
thencT by water down to the Laurentide mills.
The annual general meeting of the Bank of Toronto will
be held on Wednesday, January 12, at noon.
December 10, 1920
THE MONETARY T I .M E S
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $133,000,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful days for life insurance salesmen,
particularly North American Life men. Our representa-
tives are placing unprecedented amounts of new business.
All 1919 records are being smashed.
"Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey. Supervisor of Agencies.
North American Life Assurance Company
"SOLID AS THE CONTINENT"
HOME OFFICE TORONTOi ONT.
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG, MAN.
Assurances, New and Revived - - - SI. 21 1,447.00
Premiums on same .... 4.3,890.00
Assurances in Force - - - 3,45s]939.00
Total Premium Income - ■ 109,586.03
Policy Reserves - - - - - 211,497.00
Admitted Assets 296,430.62
Average Polic}- - - . . . 2,237,50
Collected in cash per SI, 000 insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director - - Winnipeg.
1S70 OUR GOLDEN JUBILEE 1920
Two Hundred Million Dollars
This year the .Mutual Life .Assurance Company of Canada celebrates its
golden jubilee by reaching the two hundred million dollar mark. This
point in the expanbion of The .Vlutual Life has been reached more quick-
ly than any of its most ardent friends would have believed possible five
years a«o. But the reason is not "far to seek." During the Great W ar
and the fatji ep demic which f.)IIo\vcd in its tram The .Mutual Life p-lid
out in relief of the families here: \cd no ess than two milhtn three
hundred thousand dollars in addition to ordinary claims. The bene-
fits of life insurance were thus so cha ly dt morstrated that an immtnse
demand • esulted and the busines- of The Mutual has d^ \ e'oped as much
during the last five years as during the preceding forty-five years The
Canadian people suddenly realized the absolute necessity for life insur-
ance and naturally turned to a company well-known, well established
and financially impregnable.
The Mutual Life Assurance Co. of Canada
Waterloo
Ontario
CO-OPERATIVE SERVICE
the
Life has built an <
Write for booklet
tario. apply will
easipru »iip-ri
pany and the Agents is the secret of our
representative is given the utmost assistance, but he
lents' m;erests. During the last 21 years The Continental
ble reputation for prompt payment of claims.
ur Krst AtlTertisers." For Manager's positions in On-
Ferences. stating e.xierience, etc, to S. S. WEATEK,
t Head Otllr
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO, ONTARIO
ENDOWMENTS AT UFE RATES
ISSUED ONLY BY
THE LONDON LIFE INSURANCE CO.
Head Office ... LONDON, CANADA
Profit Results in this Company 70°^ better than Estimates.
POLICIES 'GOOD AS GOLD."
THE TEST OF VALUE IS DEMAND
On this test the value of The Great-West Life Policies is
strikingly obvious.
For thirteen successive years popular opinion has given first
place to the Great-West policies. For thirteen successive
years The Great-West has written the largest Canadian
bSusiness of any Canadian Company.
During twenty-seven years there has been a steadily in-
creasing appreciation of the low premium rates, the high
proht returns and the liberal conditions that characterize the
rolicies of —
THE GREAT- WEST LIFE ASSURANCE COMPANY
DEPT. "F"
HEAD OFFICE - . . WINNIPEG
The Western Empire
Life Assurance Company
Head Office: 701 Somerset Bnilding, Winnipeg, Man.
SASKATOON
Branch Office',
CALGARY EDMONTON VANCOUVER
MAHAN-WESTMAN, LIMltED
FINANCE INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
J. A. WEST.MAN
.Man.iging Oirector
Dr. J. W. .\HHAN
President
Queensland Insurance Co. Limited
of Sydney. N.S.>V.
Capital Paid Up $1,750,000 Assets $4,015,811
Attmit Wanted im Unrtprtiinttd DUlricIs
Montreal Agencies Limited
Montreal
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank Bldg., Edmonton, Alta.
36
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
Some Taxation Views Expounded by Halifax City Solicitor— Burnaby Aims to Reduce Bonded
Indebtedness— Victoria's Revenue Exceeds Expectations — Dartmouth Exemptions Excessive
TAXATION is a topic which is never void of interest. Each
year finds our municipal councils combatting fresh prob-
blems, and suggestions on the subject are always welcome.
While addressing the "Progressive Club" at Halifax, N.S..
last week, F. H. Bell, K.C., city solicitor, expounded some
interesting views. There were two methods of taxation, he
explained, one the system used in Montreal, that of fixing
a certain rate of taxation and dividing it among the city
budget items — in other words, cutting the suit to fit the cloth;
the other, the method used in Halifax, that of making up the
city budget first and then fixing the taxation accordingly.
The land tax he described as the open end of taxes,
because it was made to take care of the balance left over
from the city budget. An agitation was due in Halifax this
winter — in fact, had already started — and the two points under
discussion were an objection to the form in which the busi-
ness tax is struck, and as to whether land and buildings
should be rated differently. As to the first, it was a question
as to whether the value of the business and premises a man
owns should be fixed, no matter how values change, or
whether it should fluctuate like other taxable property. In
Ontario there were differential rates for various classes of
business, distillers being rated highest, wholesalers next, and
so on. In regard to the second point, which was likely to
raise much controversy, while many were advocating con-
formity to the Ontario taxation system, there was evidence
to prove that the system was not so successful in western
provinces as at first thought, when land was booming and
no one objected to the minor sums involved in taxation. But
when the pinch had come and land valuations went down,
there were many protests.
Land Speculators Necessary
It was contended, Mr. Bell explained, that where land
had no value except as part of a city area, a building in an
out-of-the-way place shouldn't be taxed so high. Also it was
contended that men should be encouraged to build, and that
if the land tax was high it would force land into the market
and make speculators give up hanging on to land with
hope of it going up in price. As far as speculation was con-
cerned, he did not believe that much land in the city was
teing held for purely speculative purposes, for, as a matter
of fact, a man who could sell land at, say, $10,000, was, if
he kept it, losing the interest on that amount, plus the land
tax, and would have to plan on eventually getting an amount
that would cover those costs, which would be a doubtful pi'o-
position. Also, as a matter of fact, land speculators got more
blame than thoy deserved, inasmuch as that they were a
necessary element in the city, for nobody was going to buy
property in an old field. The speculator had to drain the land
and make it marketable at his own expense.
Another thing pointed out was that it was not altogether
to the advantage of the city to have land forced into the
market. People were inclined to think every time they saw
bare land that if it had houses on it it would add immensely
to the revenue of the city in taxes; but they overlooked the
expense the city would be put to to provide sewerage, light-
ing, pavement, streets and other things. Outlying city pro-
perties, he had found by experience, often didn't pay in as
much as the city spent upon them.
In conclusion, the city solicitor stated that Halifax had
thought it had a uniform taxation, not realizing that it was
taxing a good building on poor land at the same rate as a
poor building on good land, and that because there was no
variation in the rating of various classes of business, some
businesses were paying practically a full percentage of taxes,
while others wei-e paying as low as 2V4 per cent.
Dartmouth, N.S. — Exemptions on real and personal pro-
perty in Dartmouth totj\l over a million and a half dollars.
equal to 25 per cent, of the total assessment on which taxes
were collected last year. The total exemptions represent a
loss in revenue each year to Dartmouth of about $47,000, and
this is placing it at a low figure, because the assessment
does not anything like represent the true value of the ex-
empted property, either in real or personal. The exemptions
are on churches, educational buildings and government pro-
perty.
Victoria, B.C. — Up to November 2.5 the city's revenue
amounted to $957,547, as compared with an estimate for the
whole year of $964,145, according to the city comptroller's
statement. Collection of arrears of taxes are also well ahead
of expectations, being $402,509 up to November 25, as com-
pared with an estimate for the whole year of $300,000.
The statement of approbations and expenditure also
shows that in the majority of instances the city is still well
within the year's estimates. The city was unable to foresee
the fluctuations in exchange, and one of the results is shown
in the fact that the item of brokerage and exchange indicates
expenditure of $22,000 more than the estimate of $7,000 pro-
vided for in relation to the city's debt. The amount set aside
for general interest was $25,000, but the expense on this
account promises to be more than double this.
Burnaby, B.C. — A by-law has been introduced to the
council which, in effect, calls for the conservation of assets
and a general improvement of the credit of the municipality
by a reduction of the bonded indebtedness of the corporation.
Nothing in the Municipal Act provides for just this kind
of financing. There are plenty of clauses and sections regu-
lating the spending of money and how certain moneys shall
be raised, but nowhere is any provision made for the con-
servation of accounts under trust held by the successive
councils. Consequently, it will be necssary for the by-law
to become incorporated in a private bill, which must receive
the sanction of the government of British Columbia.
This by-law to be validated by the provincial government
is a corollary of the action taken by the council in 1919, when
a temporary debenture by-law was passed, borrowing a sum
of $400,000 and setting up as collateral certain arrears of
taxes amounting to the same figure. Up to the present,
approximately the entire $400,000 has been taken care of,
and in less than two years the account is wiped off the slate
by arrears of taxes paid and by the disposal of certain lands
which had reverted to the corporation for taxes. The balance
of the lands, which have become the property of the munici-
pality by w-ay of unpaid taxes, stand at a conservative esti-
mate of about $750,000. It is this three-quarters of a million
<lollars or more which the corporation now desires to con-
serve for the i-atepayers of the municipality.
The by-law, when validated by the government, will give
the council of Burnaby power to deposit the proceeds from
the sale of lands received to the credit of a trust fund to
meet the temporary debenture loan of $400,000, and any
moneys accumulating thereafter from the sale of the unsold
balance of bonds will go into this fund to purchase out-
standing bonds of the municipality when same can be secured
at reasonable prices. All bonds so purchased must be can-
celled and cannot be resold. Should any balance remain in
this fund after said bonds have been lifted off the market,
the by-law provides that all unexpended balances can, with
the sanction of the Lieutenant-Governor-in-Council, be utilized
on such permanent works as water works, roads and sewers.
The prime object of the by-law is to reduce the overhead
indebtedness of the municipality, as the fixed charges on
every levy made in Burnaby amount to about 50 per cent, of
the revenue. That is, when a levy of $400,000 in taxes is
n-.ade, the ratepayer can figure that only one-half of that
amount is going to maintenance and works in that munici-
pality, the balance being absorbed by interest and sinking
funds on previous loans.
December 10, 1920
THE MONETARY TIMES
C.P.R. BUILDING
TORONTO
nOUSSLRWOOD'^°G>MPANr
INVESTMENT BANKCRS
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
INSURANCE
Promptly effected in all its Branches
FIRE, AUTOMOBILE, ACCIDENT, LIABILITY, Etc.
Intelligent Advisory Service
OSLER, HAMMOND & NANTON
WINNIPEG
NEW ISSUE
PROVINCE OF
ONTARIO
6% COUPON
BONDS
Due Dec. 1, 1935, @
94..34 and int.
TO YIELD
6.60% j
Harris, Forbes & Company
IMCOaPORATKD
C P. R. Building
TORONTO
21 St. John Street
MONTREAL
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Members of Winnipeg Real ELstate Ejcchange. Winnipeg Stock Exchange
C. H. BURGESS & CO.
Government and
Municipal Bonds
14 King Street East
Toronto
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
INDUSTRIAL SECURITIES
300 Nanton Building, Winnipeg
The Safest Investment
SOUND, active, industrial enterprises catering to big pub-
lic demand whicn benefit by national growth — make
the best and safest investments for money. We can ndvise
you of many investments vv-hich pay good dividends and
have great future possibilities.
Chiefly among which is the issue of the Rubber Co. of
Canada.
Enjoy the prosperity of the rubber industry.
Lei us send vou particulars.
R. M. HEFFERNAN & CO., Limited
INVESTMENT BROKERS
HEAD OFFICE : 204 Jackson Building, OTTAWA
'9 M.T. lOI."!
38
THE MONETARY TIMES
Volume 65.
Government and Municipal Bond Market
Ontario Loan Increased to Fifteen Millions — Practically All of That Amount Has
Been Placed Here— Winnipeg Borrows in United States— Victory Loan Prices Stronger-
Irrigation Bonds to be Sold in January— Tenders Are to be Opened on the Seventh
ONTARIO has tested the Canadian .iiarket and has at-
tained surprising results. Within a week, $15,000,000
6 per cent. 15-year bonds were absorbed at a price on a basis
of 6.60 per cent., and mostl.v within the province. About a
month ago if you had asked a banker or a bond dealer
whether such an amount could be absorbed, and within such
a short time, he would have told you that such a thing was
impossible. But now, that amount seems small. One dealer
said that the only thing to regret was that no more bonds
could be obtained, at the present at least. Nevertheless,
municipailties seem afraid of the market, but dealers are
expecting a busy time at the beginning of the new year.
Winnipeg's bonds for disposal in Canada met with a
poor response, but the city was able to get a good price for
securities payable in the United States, paying 5.78 for its
money. Had the city wished to place these debentures here,
it would have had to pay about 7 per cent, for its money.
Victory bonds continue to be the chief attraction. The
past week has witnessed a large turnover, with prices be-
coming much stronger. The market has turned the corner,
undoubtedly, but it is hardly reasonable to expect an abund-
ance of new issues just yet in response to this strengthen-
ing. In a falling commodity market, it is not usual for
brisk buying to take place, therefore in a strengthening bond
market it is reasonable to expect a waiting attitude on the
part of the borrowers.
The following figui'es show the change in Victory bond
prices during the past week: —
Last week.
High. Low. High
1922 97 951/2
1927 ..:.....:... 98 94
1937 95 9314
1923 95 94
1933 94% 93
1924 95% 92
1934 91% 89
Coming Offerings
This week.
Low.
9G%
96%
94 ^i
94 U
93%
93'^
90%
97%
98
97%
96%
96%
941,2
931/4
St. Jeromc-de-Matane, Que. — The village is asking for
tenders until December 20, 1920, on $100,000 5 per cent. 5-
year debentures, dated November 1, 1920. J. E. Gagnon,
secretary-treasurer.
Sorel, Que. — Tenders will be received until December
17, 1920, for the purchase of $80,000 6 per cent. 10-year de-
bentures dated October 1, 1920 Interest payable semi-
annually. A. 0. Cartier, city clerk.
Iroquois Falls, Ont. (separate school board), is calling
for tenders until December 21, 1920, for $45,000 6 per cent.
20-ycar debentures, which are guaranteed by the province of
Ontario. Particulars of the issue will be found in an ad-
vertisement elsewhere in this issue.
Point Edward and Renfi-ew Town, Ont., are coming up
with small issues on December 11 and 13, respectively.
Particulars of these issues were given in these columns last
week.
Dome.stic Loans
.•Mberta school district debentures to the amount of $300,-
000 are being offered for sale by the Department of Educa-
tion. They have been authorized by the public utility com-
missioners, the proceeds to go for strictly educational pur-
poses, such as the erection of new school buildings and the
installation of additional school equipment. Local school
districts in all parts of the province are included in the list
of borrowers, and the debentures will be issued in blocks of
from $500 to $25,000. The securities will bear interest at 8
per cent., payable annually, and mature in ten and fifteen
years. They are protected by the assets of the respective
school districts, comprising from 8,000 to 20,000 acres of land
in each case. No time limit is set for the sale of the bonds,
which will be disposed of by the department or by recognized
bond dealers in whatever lots may be desired.
Victoria, B.C., will shortly undertake to sell locally a
large proportion of its recent issues of bonds, amounting
altogether to about $500,000. An effort will be made to
arouse the interest of the local bond-buying public in these
securities with a view to having as large a percentage as
possible held in Victoria. The bonds are now ready, and they
are offered to yield the purchaser 6I2 per cent.
Peterboro, Ont. — At a meeting of the city council this
week, the city treasurer was authorized to sell locally $47,548
local improvement debentures and Nashua Paper Co. de-
bentures on hand.
Milton. Ont. — The town council has passed a $34,000 de-
benture by-law in order to defray the, cost of an additional
room to the new high school. The securities will be sold
locally, as was the pi'evious issue of $48,000.
Irrigation Bonds in January
On January 7, 1921, tenders will be opened for $5,400,000
7 per cent. 30-year Lethbridge Northern Irrigation district
bonds. All details have been completed, and copies of the
prospectus have been forwarded to about fifty bond dealers
in both Canada and the United States. The opening of these
tenders should prove to be an interesting event, as this is
the first time that such securities have been issued in Canada.
These debentures to be issued are a direct obligation of
the Lethbridge Northern Irrigation District, which com-
prises 105,265 acres of irrigable land. They are a direct
charge on all land in the district, which is liable to taxation,
including buildings and improvements. There is no out-
standing debenture debt of the district.
While this is the first time that farmers have bonded
their land for irrigation in Canada, irrigation is not a new
venture. For many years large works have been in opera-
tion in .\lberta by the Canadian Pacific Railway, other large
corporations and a number of small private schemes. The
total area under irrigation in the province at the present time
is about 1,000,000 acres. The Canadian Pacific Railway has
invested $15,000,000 in irrigating its own lands, which have
an area in excess of 700,000 acres. Developed irrigated
farms sell readily at from $90 to $150 per acre.
Applying for Borrowing Power
Several municipalities in Ontario will apply for power to
borrow money, without the assent of ratepayers, at the next
session of the legislature, as follows: —
Municipality. Amount. Purpose.
Orillia $ 25,000 Floating debt of Orillia, Water,
Light and Power Commission.
Kincardine 20.000 Consolidating floating debt and
for roads.
Ottawa 275,000 Various local improvements.
Belleville 30,000 Bridge.
Peterboro 1,275,000 Re agreement between Nashua
Paper Co., Ltd.; electric,
waterworks, and filtration
plant.
London 517,.50O Electric, waterworks, London
Railway Commission.
London 413,000 Various local improvements.
December 10, 1920
THE MONETARY TIMES
Trustees and Guardians
are frequently in need of sugges-
tions as to suitable investment
for trust funds. Our long exper-
ience with Canadian Government
and Municipal Bonds permits us
to fulfill these requirements in a
singularly efficient manner.
ConsuJt us with your investment
problems.
Wood, Gundy & Company
Canadian Pacific Railway Building
Toronto
Montreal
Winnipeg
Toronto
Saskatoon
New York
London, Eng.
mMJUMWJf^^^&SM
Bonds will Advance
One reason is the passing of extreme
speculation in commodities and
stocks and the tendency of conserv-
ative investors to strengthen their
Bond holdings.
Another is the fact that the next long
swing in money rates will be down,
and, conversely, the next long swing
in Bond values will be up.
For safeiy and profit, buy Bonds and fixed-
interest securities now.
Write and we will recommend attractive
purchases.
Royal Securities
^ CORPORATION
LIMITED
MONTREAL
TORONTO HALIFAX ST. JOHN. N.B.
WINNIPEG VANCOUVER NEW YORK
LONDON. Eng.
W. L. McKINNON
DEA.\ H. PETTES
We Buy an
d Sell
VICTORY
BONDS
w. u
at Current
Prices
McKINNON & CO.
Covernmcnl and M
micipal Bonds
McKINNON
BUILDING
-.- TORONTO
Telephone Ade
aide 3870
flDffliimilllllMllllillllllillMlliniMilllMllll^
What is Behind Our
Service?
Twelve years of constant endeavor to please.
To help our clients to make money by pro-
viding for their investment funds such
securities as, in our judgment, provide the
maximum interest return consistent with
absolute safety of principal.
By continuously aiming to offer the highest
degree of service possible, we have built up
an organization trained and equipped to
render effective service to our clients.
/( i.s vours to command
W. A. MACKENZIE & CO.
CovcrnmenI anJ Municipal Bonds
42 King St. West
TORONTO -:- CANADA
illllllllUllliliililllillHIIillllllllllllllUlllilUiilllllllllilillDlimiilllOl^
THE MONETARY TIMES
Debenture Notes
St. Thomas, Ont. -The city council has decided to raise
$50,000 to lay new gas mains.
North WalsinRham, Ont. — At the January elections, rate-
payers will be asked to vote on a $5,000 debenture issue to
build a municipal hall at Langton.
Kemptville, Ont. — Ratepayers have passed a by-law
authorizing the raising of $25,000 to install new hydro dis-
tribution lines within the town limits.
Brantford, Ont. — Ratepayers will be asked to vote on the
following money by-laws: $185,000 for collegiate institute
additions; $125,000 for schools; $150,000 for waterworks.
Grand Forks, B.C.— The city has disposed of $55,000 re-
funding debentures. Of this amount $49,500 was taken up
by local citizens, while the balance was placed in Nelson,
B.C., by J. H. Lawrence, city auditor.
Halifax County, N.S.— Only two tenders were received
for the $15,000 G per cent. 26-year debentures, one being
from J. C. Mackintosh and Co., for 92.08, and the other from
W. F. Mahon and Co. at 91.41. Neither of these were con-
sidered satisfactory, so the debentures were not awarded.
Saskatchewan. — The following is a list of authorizations
granted by the Local Government Board from November 16
to 25, 1920:—
School Districts.— Pauline, $3,000 8 per cent. 10-years
annuity; Buffalo Head, $775 8 per cent. 5-instalments; Nauka,
$1,200 8 per cent. 10-years annuity; Selmond, $600 8 per cent.
10-instalments; Regina, $190,000 6Vi per cent. 30-years sink-
ing fund; Regina, $140,000 6V2 per cent. 30-years sinking
fund.
Bond Sales
Montreal, Que. — The announcement is made that the bal-
ance of the $5,000,000 province of Quebec 5-year 6 per cent,
issue maturing June 1, 1925, consisting of $750,000, has been
purchased by Beausoleil, Ltd., and is being offered to the
public at par, plus interest.
Saskatchewan.— The following is a list of debentures re-
ported sold from November 16 to 25, 1920: —
Schools.— Smithville, $5,000 7 per cent. 15-instalments, to
local purchaser; Brotherfield, $1,700 8 per cent. 10-instal-
ments, to Mutual Life Assurance Co.
Rural Telephones. — Cambridge, $450 8 per cent. 10-in-
stalments, to G. L. Mai-tin; New North Aberdeen, $2,700 8
per cent. 15-instalments, to T. N. McCallum, Saskatoon.
Rural Municipality of Estevan, $2,000 GVi per cent. 10-
years, to local purchaser.
Winnipeg, Man.— The city has sold $800,000 6 per cent.
10-year bonds, payable in Canada and the United States, to
Harris, Forbes & Co., Incorporated, at a price of 102.09.
Alternative tenders were asked for, and the bids were as
follows: —
10-years, 10-years, 20-years,
JLI.S. and Canada Canada
Canada. only. only.
Harris, Forbes and Co 102.089
Wood, Gundy and Co 101.13 90.67 87.38
Edward Brown and Co 99.97
Harris, Read and Co 98.54
A. E. Ames and Co., and Do-
minion Securities Corp...
A. Jarvis and Co., and Can-
adian Gen. Securities
Corporation
Rene T. Leclerc
C. H. Burgess and Co
W. .\. Mackenzie and Co...
Royal Securities Corp., Bank-
ers Trust Co., Detroit
Trust Co., Kisscll, Kin-
necut and Co
•97.75
91.49 88.888
93.00
88.12
87.18
WALKERVILLE AGAIN OFFERS BONDS
The town of Walkerville, Ont., is calling for tenders
until December -14, 1920, for the purchase of $300,000 6 per
cent. 15-instalment housing debentures, which are guaranteed
by the province, both as to principal and interest. Particulars
will be found advertised on page 43 of this issue.
EXCHANGE QUOTATIONS
Glazebrook and Cronyn, exchange and bond brokers,
Toronto, report local exchange rates as follows:^
Buyers. Sellers. Counter.
N.Y. funds 15% pm 15 15-16 pm
Mont, funds Par. Par. % to %
Sterling —
Demand $3.9750 $3.9850
Cable transfers 3.9850 3.9950
Bank of England rate, 7 per cent.
New York quotations of exchange on European countries,
as supplied by the National City Co., Ltd., Toronto, as at
December 9, 1920, follow: London, cable, 344%; cheque,
343%; Paris, cable, 5.90; cheque, 5.89; Italy, cable, 3.53;
cheque, 3.52; Belgium, cheque, 6.22; Swiss, cheque, 13.50;
Spain, cheque, 12.72; Holland, cheque, 30.45; Denmark,
cheque, 14.85; Norway, cheque, 14.75; Sweden, cheque, 19.25;
Berlin, cheque, 1.34; Greece, cheque, 7.95; Finland, cheque,
2.45; Roumania, cheque, 1.43; Poland, cheque, .18.
CANADIAN BUSINESS FAILURES
The number of failures in the Dominion, as reported by
R. G. Dun and Co. during the week ended December 3, 1920,
in provinces, as compared with those of previous weeks and
corresponding weeks of last year, are as follows: —
Date.
*3
c
0
c
03
<
0
a
0
H
at
Dec. 3 . .
. . 5
19
0
0
1
1
0
4
0
30
16
Nov. 26 . .
.. 8
14
0
0
2
0 ■
0
1
0
25
19
Nov. 19 . .
.. 5
7
0
3
3
4
0
1
0
23
21
Nov. 12 . .
..12
14
0
0
4
3
0
15
0
48
14
*85.00, New York funds, was offered as an alternative.
••American funds.
RAILROAD EARNINGS
The following are the approximate gross earnings of
Canada's transcontinental railways for the month of No-
vember:—
. Canadian Pacific Railway.
1920. 1919. Inc. or dec.
November 7 $5,723,000 $3,821,000 -|- $1,902,000
November 14 5,677,000 4,083,000 + 1,594,000
November 21 5,230,000 4,111,000 + 1,111,000
November 30 6,894,000 5,086,000 -i- 1,808,000
Total $23,524,000 $17,101,000 +$6,415,000
Canadian National Railways.
November 7 $2,770,758 $1,987,622 +$ 783,136
November 14 2,880,563 2,000,035 + 880,528
November 21 2,940,156 2,147,197 + 792,959
November 30 3,835,347 2,814,729 + 1,020,618
Total $12,426,824 $8,949,583 -F $3,477,241
Grand Trunk Railway.
November 7 $2,385,004 $1,931,520 + S 454,084
November 14 2,523,463 2,003,287 -|- 520,176
November 21 2,406,546 1,916,410 + 490,136
November 30 3,086,777 2,352,615 + 734,162
Total $10,400,390 $8,203,832 +$2,198,558
December 10, 1920
THE MONETARY. TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7i%
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B. HALIFAX, N.S.
Western Municipal & School
g % Debentures
^ TO YIELD ' 2
7m
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
CORRESPONDENCE
INVITED
UNION TRUST BUILDING
WINNIPEG
Fire Insurance Company. I.imited. of PARIS. FRANCE
Capital f illy subscribed 50% paid up $ 2.000 000 00
Pire and General Reserve Funds 8.270,000 00
Available Balance from Profit and Loss Account 55,891.00
Net premiums in 1919 8,648,669 00
Total Losses paid to 31st December 1919 114,500.000 00
Canadian Branch, 17 St. John Street, Montreal; Manager for Canada.
Maorkb Perrand. Toronto OfHces. J. H. Ewart. Chief Agent, 18 Welling-
ton St East: R B RicB & Sons. Toronto Agents, 66 Victoria St.
The
ESSEX
I INSURANCE^ COMPANY. LIMITED
■ FOR REINSURANCES
■
I Head Office:
■ 9 & 10, GEORGE YARO, LOMBARD ST., LONDON, E.C.3
•m Telegrams: "EsfNiNco. Led. LoMDON." Telephone : Avknue 7S6.S
Manitoba Finance Corporation Ltd.
Investment Brokers, Financial Agents, Etc.
Winnipeg, Man.
Head Office ;
410-11 Electric RIy. Chambers
Phone Garry 3884
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba, Alberta Flour Mills, Limited
" Security First
EXCELSIOR
INSURANCE L( pE COMPANY
A Strong Canadian Company
Our llundrcil nii<l Thlrl.r-One
Oollai'.s o» .tssels for every
Eliiiiilrril Dollnrs or
Llahillly.
HEAD OFFICE -
EXCELSIOR LIFE BUILDING
Adelaide and Toronto .Streets
TORONTO - CANADA
Vancouver District Property
Expert Estate Agents and Managers
Property Bought and Sold, Valued. Rented and
Reported on. Correspondence invited.
WAGHORN GWYNN Co., Ltd. Vancouver
X
MACAULAY & NICOLLS
INSURANCE OF ALL CLASSES
ESTATES MANAGED
746 Hastings Street ■ VANCOUVER, B.C.
C. H. MACAULAY J. P. NICOLLS. Notary I'uhlic.
42
THE MONETARY TIMES
Volume 65.
Corporation Securities Market
stock Prices Show Better Trend on Canadian Exchanges— Victory Bonds Chief Influence— New Issue
for Standard Bank— Dominion Foundries Preferre'd Offering— Consumers' Gas Cpmpany Will Sell Stock
A MUCH better tone in Victoiy bonds was the chief influ-
ence in bringing about an improved trend in stock
jjvices this week. At the close on December 8 the markets
presented a very satisfactory appearance, notwitlistanding
the weakness exhibited by Wall Street. Operations on the
New York exchange were largely professional, and conse-
quently the influence from that quarter was not very great.
In the United States sentiment is improving. Captains of
industry and bankers are undertaking constructive measures,
and confidence in the general financial situation is growing.
Call money is easiei-, although funds are not plentiful.
The money situation in Canada is apparently much
better. The quick disposal of fifteen millions of Ontario
bonds and the continued absorption of Victories on a large
scale would seem to indicate anything but a scarcity of funds.
Pulp and paper stocks were the strong features this
week in both Montreal and Toronto. The increase in prices
of paper when the general commodity market is moving
downward is perhaps unusual, but should prove very satis-
factory to shareholders in these concerns.
In the United States it is generally expected that when
the annual reports of the various companies begin to make
their appearance passing of dividends will be frequently an-
nounced. This may be the case in Canada, but the concerns
whose year ends with December :U should make reasonably
good showings, as business readjustment in Canada is several
months behind that of the southern republic.
The Consolidated Mining and Smelting Company has
decided to defer payment of the dividend for the 'last quarter
of the year, but the stock market had already discounte<l
this. From an operating standpoint, it is stated that the com-
pany has had a veiy successful yeai% but, on the other hand,
there has been such a severe drop in metal prices on the
woi-Id's markets, with no corresponding decline in the labor
scale or materials, fuel and transportation costs having in-
creased very subtsantially, that the directors considered it
prudent to adopt the above course. The stock continues to
show weakness on the exchanges.
Trading in both stocks and bonds continues in consider-
able volume. Victory loan issues are responsible for the large
turnover of securities, there being very little activity in the
other section of the bond market. Toronto, it will be seen,
is the chief market for Victories. Figures are as follows: —
Montreal. Toronto.
Listed stocks. Bonds. Listed stocks. Bonds.
Thursday 14,392 $ 427,600 2,476 $ 808,8.50
Friday ." 10,343 251,750 2,513 770,200
Saturday 7,603 292,700 2,255 302,850
Monday" 10,402 378,3.50 1,814 398,050
Tuesday 6,256 312,700 2,486 616,650
Wednesday . 7,324 321,850 2,758 565,100
Totals 56,320 $1,984,950 14,302 $3,461,700
The figures for the previous week were: Montreal, listed
stocks, 48,203; bonds, $1,462,050. Toronto, listed stocks, 12,-
509; bonds, $1,934,700.
New Issue for Standard Bank
The Standard Bank of Canada has decided to make an
issue of $500,000 new stock in the proportion of one share
of new to every seven shares of old stock presently held.
The stock will be distributed to shareholders of record Jan-
uary 8, 1921, at $175 per share. The shares have a par value
of $100 each. The authorized capital of the Standard Bank
is $5,000,000, and the amount subscribed and paid up at the
present time is $3,500,000. With the new stock bringing the
paid-up capital to $4,000,000, the outstanding stock will have
been quadrupled in the past fourteen years.
The offering price of these new shares is considerably
liigher than the prices of previous bank stock offerings, as
the following comparisons will show:-—
Ratio of new Market
Bank. Amount, stock to old. Price. price.
Hamilton $1,000,000 1 to 4 $150 $190
Royal 3,400,000 1 to 5 150 221
Montreal 2,000.000 1 to 10 150 ' 208
Merchants 2,100,000 1 to 4 150 189
Provinciale 1,000,000 1 to 2 120
Standard 500,000 1 to 7 175 212
New Stock Issues
Dominion Foundries and Steel, Limited, Hamilton, an-
nounce an offering of $800,000 7 per cent, cumulative pre-
feri-ed stock of their subsidiary, the .Adirondack Steel Foun-
dries Corporation, whose plant is located near Albany, N.Y.
The shares will be offered at par, $100, and with them will
be given a bonus of three shares of common stock of no par
value for each share of preferred. The stock is to be paid
for, 10 per cent, by December 11 and the balance within
thirty days.
President C. W. Sherman, in his letter to shareholders,
points out that the Dominion Foundries and Steel, Limited,
built the .Aidirondack Steel Foundries Corporation plant and
own all the issued stock of that corporation, less a small
amount sold. Production was started in August, and in the
month of October, the third operating month, profits on one-
fourth the rated tonnage were very satisfactory, according
to officials of the company.
The Consumei-s' Gas Company, Toi-onto, Ont., is now
offering for sale, by tender, the unissued portion of the pre-
sent capital stock. Par value of the shares is $50, and the
shares will be issued in blocks of ten and multiples. Public
offering will shortly be made.
The Northern Lumber Company, Ltd., of Saskatchewan,
has been authorized to increase its capital stock from $200,-
000 to $750,000.
UNLISTED SECURITIES
Quocattons fu
Abbey Snit i
Abitibi Gen. .Mort. 6's. . . i
Alia. Poc. Grain... com.
....prcf.
American S.ilcs Book.S's,
Ashdown Hard. J. H.Vs!
(British Amcr. Assurance
Hums. P. 1st MtRC. 6's..'
. Crocker Wheeler pf.^
. Fur
Can. Machinery .
.prcf.]
..iVs
72.. SO
64.. SO
Can. .Mortuage.
Can. Oil com. 63
Can. Wcstinghouse 101
Can. Woollens com.! 40
pref 70
Cockshutt Plow 7% oref . ' 5.1
8(1. .so
13. .SO
101.50
2s!so
Coll I
woodShipb'dR.B's
Crown Life Insurance...
Cuban Can. Sugar, com.
Davies William B's
Pom. lron*Steel5s1939
Dom. Power com.
pref.
Dryden Pulp
DunlopTire pref.
.6's.
Eastern Car
Famous Players. 8% pfd.
69.50 Goodyear Tire., prcf..
68 O'rd'n.lronsidc&FarcS's
no lOunns, Ltd prcf.
46 .SO I Harris Abattoir 6's
78 Home Bank
iS7..S0 'imperial Oil
104 I
King Edward Hotel.. 7's.
London Loan & Savings.
Manuf.icturers Life
Mattagama Pulp... pref.
" . . com.
MasseyHarris
.Mercantile Trust
Mexican Nor. Power..5's
Morrow Screw 6*s
National Life
N'ova Scotia Steel 6% deb
Ont. Pulp 6's
Page Hcrsey prcf.
Peoples LojnS Savings.
Riordon. com.(newstk.)
■' pfd.
R.Simpson pfd.
South. Can. Power, pref.
ison, Jr.. & Co.. Toronto
Bid
Ask /
Sterling Bank
109
IIS
Sterling Coal com.
19.50
23.50
Toronto P.npcr 6's.
84
90
Toronto Power. S's ( 19241
85
90
Trust & Guar
67
73
JnitcdCigarStorescom.
.40
pref.
1.70
i.98
Western Assurance-
9.75
12.50
Western Can Pulp.com.
30
32
Western Grocers. ...prcf.
65
70
.Vhalen Pulp com
25
pref.
60
December 10, 1920
THE MONETARY TIMES
43
CORPORATION FINANCE
Windsor Hotel Company Had Satisfactory Year — Western
Power Negotiations to be Completed on December 23 —
Imperial Tobacco Profits Increased
British Columbia Packers' Association. — The British
Columbia Fishing and Packing Co. will cease on December
31 to be a holding company of the stock of the British
Columbia Packers' Association, and will become an operating
company on January 1, 1921. This means merely the dis-
appearance of the holding company, and the retention of the
name of the British Columbia Packers' Association as the
operating concern. Directors and officers are the same for
both companies.
Imperial Tobacco Company of Canada. — For the year
ended September 30, 1920, the company reports net profits,
after charges and war taxes, of $3,386,150, equivalent after
preferred dividends to 5.5 cents a share (par ?5) earned on
the $27,002,500 common stock as compared with net profits
of $2,920,719, or 45 cents a share in the preceding year.
Income account for the past four years compares as fol-
lows:—
1920. 1919. 1918. 1917.
*Net profits ..$3,386,150 $2,920,719 $3,624,487 $2,455,224
Pfd. divs. ... 401,262 481,800 481,800 481,800
Ordy. divs. . . 1,620,150 1,620,150 1,620,150 1,620,150
Surplus ...$1,364,738 $ 818,769 $1,522,537 $ 353,274
*P. & L. surplus 4,224,674 3,129,960 2,581.216 1,328,704
*From which is paid final dividend on ordinary stock
for the current year.
Canada Gas and Electric Power Corporation. — The Public
Utilities Commission of Manitoba granted the company an
increase in rates at a recent hearing in Brandon, Man. The
former rates were: SV2 cents per k.w.h. for street railway
power, five cents per k.w.h. for street lighting, ten cents per
k.w.h. for domestic lighting and power, and $1.75 per 1,000
condensation for steam. The increase provides 12 cents per
k.w.h. rate for electric power, with a flat rate on a ten-hour
day basis of $6 per month. The electric lighting rate will
be 12 cents per k.w.h. with minimum rate of $1 per month.
The rate for the street railway will be five cents per k.w.h.,
and for street lighting six cents per hour. Steam heating
rates will be $2.80 per thousand for any amount of steam
up to 3,000 pounds per month, with a sliding downwards for
us.ers of greater quantities than this. A minimum charge
of $3 will be made.
There was a good deal of opposition from the city, but
the application was approved. The company submitted
figures showing a loss of $106,000 during the past three
years.
Windsor Hotel Co., Ltd., of Montreal.— Profits for the
twelve months ended October 31 last amounted to $172,733,
compared with $172,177 in 1919 period, and $68,282 in 1918.
After deducting bond interest for the year there remained
available for application on the $1,500,000 outstanding
capital stock of the enterprise the sum of $145,733, or equal
to 9.7 per cent., against approximately the same in 1919,
and 2.7 per cent, in the preceding statement. The showing
in respect to profits is rendered more satisfactory by reason
of the fact that $405,668 was written off for repairs and re-
newals before the net figures were arrived at. This allow-
ance compares with one of $189,477 a year ago, and $104,881
in 1918.
During the year there was paid to shareholders $120,000
in dividends and bonus, or at the rate of 6 and 2 per cent.,
respectively, against $90,000 in 1919, representing an annual
disbursement of 0 per cent., and $30,000, or 2 per cent, in
1918. After all deductions, the surplus profits of the year
amounted to $25,733, which with the addition of the balance
carried forward from the previous statement, brought total
surplus up to $548,133.
The balance sheet shows few outstanding changes. A
new item of "investments" appears at $215,207, while cash
holdings show a reduction of $155,000. The principal figures
are as follows: —
1920. 1919.
Buildings . $1,787,671 $1,834,715
Power plant 80,000 90,000
Furniture <. 405,000 427,500
Investments 215,207
Inventories 78,073 61,372
Cash 84,706 239,895
Total assets 2,888,016 2,893,531
Bonds 600,000 600,000
Stock 1,500,000 1,500,000
Accounts payable 111,560 144,981
TOWN OF WALKERVILLE
DEBENTURES FOR SALE
Sealed tenders addressed to the undersigned and marked
on the outside "Tenders for debentures" will be received up
to noon of Tuesday, December 14th, 1920, for the purchase
of the following debentures and accrued interest: —
$300,000, part of an issue of $400,000 for Housing pur-
poses issued under the Municipal Housing Act, 1920. The
whole issue is payable in fifteen equal annual instalments
of principal and interest, of which the amounts in the
schedule below will be sold. These debentures carry in-
terest at the rate of 6'r per annum. Both principal and
interest guaranteed by the Province of Ontario, and are
secured by a special rate over and above all other rates.
Schedule of amounts: —
1921 . . $ 1,185.10
1922 . . 12,216.21
1923 . . 13,309.18
1924 . . 14,467.74
1925 . . 15,695.80
1926 . . $16,997.55
1927 . . 18,377.40
1928 . . 19,840.04
1929 . . 21,390.45
1930 . . 23,033.88
1931 . . $24,775.91
1932 . . 26,622.46
1933 . . 28,579.81
1934 . . 30,654.60
1935 . . 32,853.87
Debentures will be delivered and must be settled for at
the office of the Town Treasurer, Walkerville, Ont.
All debentures are Coupon, Bearer issued in $1,000 and
odd amounts, and carry interest from 14th of December,
1920. Principal payable at the Canadian Bank of Commerce,'
Walkerville, on 14th of December in each year. Interest
payable semi-annually on the 14th June and December in
each year.
The highest or any tender not necessarily accepted.
For any further information address: —
Box 329, Walkerville, Ont.
A. E. COCK, Town Clerk.
3](^
P. M. LIDDELL & COMPANY
fnvestment Bankers. Fiscal Agents
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
Branches— SASKATOON AND CALGARY. VV IfNINlrttj
Canadian Managers
iNVBSTaBNT CORPORATION OP CANADA, LTD.
London Office: 4 Great Winchester St., E.G.
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
N4».^TKF.AL— M'cck Ended Dec. .Stii.
(Fsurcs supplied by Burnett & Co.)
.slorkH
Abitibi P. SP
pfd
Asbestos Corp
pfd
Amcs-Holden pfd
Atlantic Sugar
Bell Telcplione
Brazilian T.L.& Power
B.C. Pish
Brompton Pulp & P..
Canada Cement
■■ ...pfd.
Can. Con
Canadian Cottons
CanadianCar
•• ....pfd.
Can. Forfiings
Canadian Gen. Elec. . .
Carriage Factories ...
Can. Steamship .
. ■• ■• pfd.
" " Vot. Trust
Con. Mining & Smel...
Det Rys
Dom. Canners
Dominion Bridge
Dbm. Coal pfd
Dotn. Iron pfd.
Dominion Glass
Dom. Steel Corp.,
Dominion Textile
Howard Smith
•• pfd
" ..Rights
Illinois Traction ..pfd.
Inter. Coal
Lake of the Woods. .
..pfd,
Laurentide
Cyall Cons
Macdonald Co
Montreal Loan
Montreal Power
Montreal Tram
Tram Deb...
Telegraph. . .
National Breweries —
Ogilvie Flour Mills
.pfd
Ottawa L. H.&P
Ont. Steel Prod
Penmans
Porto Rico
Price Bros
Quebec Ry. L. H.&P..
Riordan Pulp & P
pfd.
St. Lawrence Fl. Mills.
..pfd.
Shawinigan W. & P ...
Sherwin-Williams, pfd.
Spanish River
■• pfd.
" Div.Vou.
St. Maurice
Steel Co. of Canada...
• '• •' pfd.
Tuckctts
pfd.
Toronto Ry. Co
WabassoCofn
Wayagamack P. & P
Windsor Hotel ......
Winnipeg Ry
KniikH
Commerce
Hochelaga
Imperial
Merchants
Molsons-
Montreal . . . .
Nova Scotia... .
Kationale
Royal
Union
Sales Open High I Low Close
32
1(100
Rnn<l!i
Asbestos Corp 2400
Bell Telephone Co....
Can.Car i
Can. Cement
Cedars Rapids Mfg.... 10200 HSi
City Mont. Dec. Bs, 1922 30OO
'■ MayB's, 192.1 SOflO
■' Sept.B's,l92,ll 'iSOu'. 98
Dom, Can.W. Loan, Hr2.'il B4R,'iO| 91 J
19»ll BIKIO 90
19.17; 46930 Hii
4Bi
I39i
ictory Bonds
1924,,,,
143700
94
I9!14.,.,
477(l,'!0
»l4
1922....
2.f74SO
9<i
1927 ..
30200
961
19^7,...
2l9a.'!a
9.S
1923...
1.10BS0
944
1933. . . .
ILrriW
94
Rii
139i
im 185?
I.W ' 159}
inOtiTREAli—Contintied.
Bonds
Dom. Cottons ..,
Dom. Canners. ..
Dom. Coal
Dom, Iron
Dom. Textile A..
Kaministiquia
Mont. St. Ry.
Ogilvie Flour.
Riordi)
Rio de Janiero
Sherwin-Williams...
Spanish River
Steel Co. of Canada.
Waba^so Cotton
Wayagamack P. &P.
Sales Open High Low Close
1000
1000
25000
200 794
10500 90
12000 93
1000 I 85
TOROiXTO-Week Ended Dec. 8th.
Atlantic Sugar,
Abitibi
.pfd
Barcelona
Bell Telephone
Hrazih.in Traction. ..
Burt. F. N
" pfd
B.C. Fish
Canada Cement
Can, Car & F...
Canners
pfd,
Canadian Pacific R
Can. Gen. Elec
. pfd,
Canada Steamship —
pfd.
City Dairy. pfd
Con. Gas
Coniagas
Dome
Maple Leaf
N.8. Car...!
.pfd,
.'pVii.
■ ptd.
Nipissing
Ogilvie pfd
Penman's pfd.
Porto Rico pfd
Porto Rico
Prov. Paper
Quebec R.L.H. & P
Hiordon
Rogers pfd
Salesbook .
Toronto Ry. ...
Tucketls
Twin City
Tretheway
Winnipeg Elec.
Banks
Commerce
Dominion ,
Hamilton
Imperial
Merchants
Molsons
Montreal
.\ova Scotia. . .
Royal
Standard
Toronto
Union
■.«nn nnd Trust
Can, Perm
Col, In
■Right!
ct Kric
Can. Lanil. ,
TorontoGen.l
Tor. Mtg
Bonds
Canners
Elec. Dev
Rio. Jan. T.. L. & P.
Sao Paulo
Sawyer-Massey ....... j
Sterling Coal lOflO
Sales Open High
I7S
3500
62i
I3.2,S
I4J
mi
97i
TOKONTO— Continued
War I;oan.s
Sales
Open
High
Low
Close
Dom. Can.W. Loan, 1925
16200
89*
92
893
9lf
.. ., .. ,gg,
22700
895
90
89
90
1937
9000
94
95
94
94
Victory Loan 1922 ....
3I12O0
9B.'
97S
9R
978
1923 ....
323950
94*
965
94
96|
1927 ....
41150
97
98
96
97i
97i
1937 ....
235900
94j
97i4
94
1933 ....
741500
931
96iJ
93
95
1934 .
ii«8r.iu
91
931
90j
92i
1924 ....
266850
94^
94*
934
94
M'I\NII>EC— Week ended Her. 4th.
Sales
Open
High
Low
Close
Victory Loan 1922
•■ 1923
■■ 1924
" 1925
80950
54100
7700
1100
7600
2%00
68800
85650
2200
400
96
97
943
91
94*
94
92i
91
89i
93ll
96^
97
94j
95J
94
92i
^
93*
" 1927
" 1937
" 1933
" 1934
War Loan 1931
" 1937
" 1925
96}
9SJ
94*
92
89*
93J
■76i
100
140
94j
94
92J
89i
88
935
96
95i
94*
911
88
933
Crescent Creamery, . .
Home Inv.&Sav. Assn.
Union Bank
39
40
7
76}
100
140
76J
100
140
76i
350
140
MEW ¥«»ltK-Week ended Dec.
4th.
Stocks
Sales
Open
High
1173
42
38i
20i
Low
1133
42
37
19
Close
Canadian Pacific
Canada Southern
Nova Scotia S.&Coal.
Granby Consolidated , -
19900
200
1800
900
116g
42
38
20i
I16i
42
37J
20
Bonds
Dom. of Can. 5% 1921
5j% 1921
5% 1926
Sh% 1929
5% 1931
113000
101000
45000
56000
81000
98J
98i
91*
9l|
9o!
891
89
982
98;
91
8ft
89}
New York Curb—
Canada Copper.
LO:«DON, Eng.— Week ended Not. 2Jtb.
tSov't. & Mnn.
Alberta 4% 1922
■• 44%
British Columbia 3%.
Canada,.. 34%
3%,
'■ .... 34% 1930 50
" .... 4% 1940-60
Calgary 44% debs
5% debs
Edmonton .5% bds. 23-53
Nfld.3*%bds
Montreal 4j% Reg...
3% deb
,5% deb
Nova Scotia 44% con
Ontario 44% Reg.:'4S-63
Quebec 3%
4% bds. 1888.,
Sask. 44% Reg
N. Vancouver 4j% deb
Vancouver 44% 1953. , ,
4i%deb.,.,
Toronto 3*%deb. 1929. .
4.i% deb. 1948,
Victoria 34% 1921-6...
54';;
Winnipeg 4*%c-s. 43-63
4% cons
Kallwnys
Can. Nor. 4% deb- 1939
" 4% deb. 1930,
" •• 5% deb
Can. Pac
'■ 4% deb
" 4% pfd,
G.T.P. Br. 4%bd 1939.
G.T.P,3%bds
G.T. P.4%I9SS I
G.T. P 4% deb.
Gr. Trunk, , , 4% guar.
Gr. Trunk 5% 1st. pfd..
Gr.Trunk5%2nd pfd..
Gr. Trunk 4% 3rd pfd..
Gr. Trunk 4% cons
Ont, & Quebec 5% deb.
P.Gt.E.ist.44%deb.'42
■ nd., Fin., Etc.
Can. Car 7%
" 6% bds
Can. Cement 6% bds. . .
Can. West Lumber 5
Can. Bk. of Commerce.
Bank of Montreal
High Low Close
714
7:'*
784
691
9.1
93
88i
,59}
109
.593
BS*
BK4
4.5}
45t
m
904
17.
72
77J
77J
6U
fl*
764
■m
December 10, 1920
THE MONETARY TIMES
Canadian Situation Reviewed at Bank of Montreal Meeting
"While there does not seem to be any cause for apprehension,
of caution." — (Sir Vincent Meredith.)
"Our faith in Canada to-day is stronger than ever before.
ness situation requiring more delicate handling." — (Sir
The annual meeting of the Bank of Montreal, held at
the Head Office of the Bank, afforded an exceptional oppor-
tunity of learning how the Dominion is passing through the
extraordinary conditions which now prevail. This year every
manufacturer and businessman in Canada is anxious to de-
termine just what the outlook is and it is probably on this
account that both Sir Vincent Meredith, the President, and
Sir Frederick Williams-Taylor, the General Manager, dwelt
more especially on different developments which had a par-
ticular bearing on the Canadian situation and stressed the
factors which bore on the general outlook for this country.
Outlook for Caadian Situation
Sir Vincent Meredith, in his review to the shareholders,
said, in part: —
"The year just closed has been a difficult one for bankers,
but the progress we have made and the results we are able to
show will, I feel sure, prove satisfactory to our shareholders.
"An overwhelming demand for credit has taxed resources
to the utmost. Following a period of excessive prices and de-
flated currencies characteristic of war times, the country is
now in the midst of the process of readjustment. It has been
difficult to make producers, merchants and others carrying
heavy stocks, who have grown accustomed to high prices, ac-
cept the inevitable by recognizing the fact that it is futile to
attempt to overcome natural laws and to realize that
economic conditions, which no artificial means can alter,
alone are the cause of price decline. The demand for inter-
vention through Government control is still insistent in some
quarters. Canada alone cannot control world-wide conditions
and it is idle to turn to the Government for relief from falling
prices. This applies to wheat as well as to other com-
modities. A lower price level must be reached before we
can reasonably look for a resumption of business activity on
a sound basis. To arrive at this stage inventories must be
reduced and deficiencies made good by drawing upon the
excess profits of previous years."
Money Rates.
"I see no reason to look for permanently lower interest
rates in the near future. Reaction in business and the
marketing of the crops may bring an easier tone temporarily,
but the magnitude of international indebtedness to be refund-
ed, together with the wastage of war, cannot be made good
immediately, and probably not for a somewhat indefinite time.
International Banking Corporation Needed.
The necessity for financing foreign trade has come very
closely home and pending an international working scheme,
r feel it would be well for Canada to move locally. I am still
of the opinion that a corporation to foster foreign trade so
as to keep our factories busy and give employment to labor
is desirable and sooner or later must be launched. If export
trade can be revived, it will solve many of our difficulties.
Government-Owned Railways and Ships.
Canada to-day has a very large National Railway Sys-
tem, which is being operated at a heavy loss, thereby increas-
ing the load on an already heavily tax-burdened country.
Sooner or later some means must be found to relieve this
situation. Some confidently believe that by proper public ad-
ministration of the lines, deficits can be cut down. My own
view is that the proper solution will be found if the Govern-
ment, at the earliest feasible time, divests itself of ownership
and operation of the roads and places them under corporate
control upon terms fair to the country and upon conditions
that will ensure the service for which the construction of the
lines was undertaken.
Resume.
"To sum up the situation in Canada at present, as I
view it, is that while there does not appear to be any cause
for apprehension, there is every reason for the exercise of the
utmost measure of caution. Canada cannot disassociate her-
self from world conditions, and world conditions are not satis-
factory. On this continent the two years supervening upon
the .Armistice have been marked by unexampled trade activity
and prosperity, a circumstance common to the conclusion of
all great wars, but the reaction has set in and may not yet
be in full play. Happily, Canada is well buttressed on many
sides, and the exercise of prudence and sagacit.v should enable
her to meet the shock of falling prices, restricted credits and
there is every reason for the exercise of the utmost measure
On the other hand, we have never faced a banking and busi-
Frederick Williams-Taylor.)
deflated currency, without serious impairment of her com-
mercial and financial vitality."
Sir Frederick Williams-Taylor, in his review of banking
developments of the year, and touching on the conditions
which confront Canadian banks to-day, said, in part: —
"As comparisons are constantly made between Canada
and the United States, owing to general similarity in con-
ditions, one anomaly attracts attention, viz.: that with credit
restriction as acute here as it is across the line, the price of
money is materially lower in the Dominion.
"This condition, in days of world-wide high interest rates,
has attracted much attention in other countries and is re-
garded as a tribute to Canada's good banking system. The
one disadvantage of this cheap money condition is that per-
sons on fixed incomes derived from investments face the
higher cost of living, including income tax, with little in-
crease in revenue. As everyone knows, the connection be-
tween the price of money and the yield on investments is of
the closest.
"With reference to current loans in Canada, your Direc-
tors have felt impelled for many months past, in the Bank's
and the country's best interests, to follow the policy found
essential in every other country-, and keep within bounds our
advances to merchants and manufacturers. This policy is in
accordance with the views of the Dominion Government and
has been followed, more or less closely, by all Canadian banks.
"Naturally enough, exception has been taken in certain
quarters to such restrictions, but, as a rule, our customers
have recognized the necessity of checking over-trading and
further e.xpansion in such times as we are now facing. There
has never been a period in our experience when requests for ad-
vances for puroses out of the ordinary have been so numerous.
"It is safe to say that had credit been granted freely and
banking resources become tied up, a serious condition would
have resulted in this country, .\lready the tide has turned
and many of our friends now frankly admit the danger of the
undue expansion so much in evidence a few months ago. We
are convinced that the business of Canada is in a safer and
sounder position to-day in consequence of a judicjous credit
restriction.
"There is a general sense of relief resulting from the
present evidence that the decline in the high cost of living
has commenced. From now onward we may confidently ex-
pect the trend of prices to be downward, and with lower
values the demands for bank credit should logically diminish.
It is relevant to add that by restrictive measures the banks
have contributed in no small measure to this improved con-
dition.
"It is noteworthy that the greatest expansion of the
Bank during the past few years has been in our own country.
This is revealed in our greatly increased loans and deposits in
Canada and in the number of branches opened during the
period: —
Loans in Canada. Deposits in Canada. Branches in Canada
1914 $12.3,147,000 $168,.5.57,000 173
1920 $240,725,000 $358,878,000 302
"I might say that in my opinion we have never faced a
banking and business situation requiring more delicate
handling. Since August, 1914, the world has travelled far
along the road to ruin. We may be thankful that the waste
and destruction ended before the point of utter exhaustion
was reache<l. Canada has escaped, but we are still a virile
people in a goodly land. There is no reason for dismay over
our national outlook, but there is every reason for sober
thought while we take stock of our resources and of our pros-
pects. We must bear in mind there is no royal road to the
stable conditions of former years, no magic by which we can
restore the wealth that has been lost or wipe out the debts
incurred. There is nothing for it but to travel slowly back the
way we came, repair the damage, retrench, and work out our
salvation."
Two New Directors.
The annual report was unanimously adopted, and thanks
were voted to the president, vice-president, general manager
and staff.
The shareholders gave approval to the motion by Lord
Shaughnessy to increase the number of directors from 16 to
18. All the retiring directors were re-elected and to the two
new positions on the Board Sir Lomer Gouin and General Sir
Arthur Currie were elected.
THE MONETARY TIMES Volume 65.
Diiiiii iniiiiiiiniiiiiiiiiMiiiiniiiiiiiinnii ■iiiiiiiiiiiiiiiiiiiiiiniiiiiiiiii ii iiiiiiiiiimi i iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiuiiiiiiiuiiiiiiH^ ii i iiiiiiiiiiiiiiiiiiiiiiiiiiiiiH
THE
NORTH BRITISH AND
MERCANTILE INSURANCE
COMPANY
Established 1809 Entered Canada 1862
Total Assets Exceed $140,000,000
Canadian Investments Exceed $5,000,000
Investments West of the Great Lakes
Exceed $1,000,000
HEAD OFFICE
84 St. Francois Xavier Street, MONTREAL, P.Q.
Randall Davidson, Manager
North Western Branch
909-911 Paris Building, WINNIPEG
C. A. Richardson, Branch Manager
' ^ ' ' " ')»'HI»milllllilllllllllllllllilllllllllllllillllllllllllllllllllllillllllffl
December 10, 1920 THE MONETARY TIMES
piiiiiiffliiiiiiiiiiiimiiiiiiiiiraiiiiiiiiiiiiiiiiiiiiiiiiiiiiiimiM^^
THE
OCCIDENTAL FIRE INSURANCE
COMPANY
Under the control of the North British and Mercantile Insurance Company
HEAD OFFICE
909-911 Paris Building, WINNIPEG
President, Randall Davidson Vice-President & Secretary, C. A. Richardson
DIRECTORS
S. E. Richards W. A. T. Sweatman Robt. Campbell
Dec. 31st, 1914 Dec. 31st, 1919
Capital Subscribed - - $500,000.00 $500,000.00
Paid Up - - $174,762.70 $174,762.70
Surplus on Policy-Holders
Account - - - $250,856.35 $423,803.07
TOTAL ASSETS - - $359,025.09 $705,199.67
All Investments are in Canadian Securities
FULL DEPOSIT WITH DOMINION GOVERNMENT
MHii iiiiiiiiiiiiiiiinii Ill iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiMiiiiiiiiiiiiiiiiMiiiiM iiiiiiiiiiiiiiu I iiiiuiiiiiiiiiiiii iin i iiiiiiiii iiii iii iiii i iiiiiiiwiii^^
THE MONETARY TIMES
RECENT FIRES
Trade Bakery. Ltd., Suffered a Loss of $100.000— College
Hall of Acadia University, .$80,000— Scottish
Co-operative Elevator, $7.'),000
Biggar, Sask. — December 2 — The Scottish Co-operative
elevator was destroyed by fire. The loss is estimated at
.$75,000.
Cornwall, Ont. — December 4 — The large barns of Finlay
McRae were destroyed by fire. The loss is $8,000, with insur-
ance of .?2,000.
Essex, Ont. — December 1 — Barn, owned by Herman Har-
rison, was destroyed by fire.
Gait, Ont. — December 6 — The residence of Mr. Reid, Nor-
folk Avenue, was damaged by fire. The fire was caused by
a defective chimney. The loss is covered by insurance.
Moncton, N.B. — December 5 — A small building, owned
and occupied by Moses L. Tracey as a grocery store, was
destroyed by fire. The loss is estimated at $1,000.
New Carlisle, Que. — December 6 — The residence of Hon.
John Hall Kelly, member of the Legislative Council of Que-
bec, was destroyed by fire. The loss is placed at $50,000 and
the insurance at $15,000.
Orillia, Ont. — December 4 — The buildings, plant and
equipment of the Electro Foundries, Ltd., was destroyed by
fire. The loss is estimated at $35,000. The plant was insured.
(iuebec. Que. — November 29 — The sawmill, owned by
J. H. Gignac, on Church Street, was damaged by fire to the
extent of $200.
December 3 — The American steamer "Chippewa," owned
by the Independent Steamship Co., of Cleveland, Ohio, was
damaged by fire.
St. John's, Nfld. — December 7 — One hundred thousand
dollars' damage was done by a fire in the Trade Bakery,
Limited. There is about $80,000 insurance.
Thamesville, Ont. — December 2 — A barn, owned by Ira
Orr, was destroyed by fire. The origin of the fire is a
niystei-y.
Vancouver, B.C. — December 8 — Three men lost their lives
when a fire broke out in the Parks rooming-house. The
building was valued at $80,000.
Wolfville, N.S. — December 1 — Acadia College Hall, one
of the central buildings of Acadia University, was destroyed
by fire. The building was valued at $80,000, with insurance
of $40,000.
Woodstock, Ont. — December 2 — .\ fire, caused by a spark
igniting the gas in the Standard Tube Company's plant, did
$2..'")00 damage.
ADDITIONAL INFORMATION CONCERNING FIRES
Belleville, Ont. — November 16 — A fire which occurred in
the Palace Theatre did damage to the amount of $11,(500
to the building and contents. There was insurance of $10,500.
Bridgewater, N.S.— On November 14 there were three
fires in this town. They are believed to have been of incen-
diary origin. The loss was as follows: —
0\viier. Value. Insurance. Damage.
Artemas Ramey $1..500 $1,000 $ 5
James Cook 2,500 500 75
Donald McDonald 100 .... 10
Calabogie, Ont. — November 5 — Warehouse, packing
house and ore shed of the Black Donald Trophite Co., Ltd.
The cause of the fire is unknown. The total loss was $41,057,
with in.surance on the building to the amount of $4,000, in
the following companies: — Century Insurance, Rochester
Underwriters (Great American Insurance Co.), Hudson Bay
Insurance, Northern Assurance, Pacific Coast, Globe Under-
writers I Globe and Rutgers), London Assurance, Western
Assurance. Sun Insurance, General Accident Fire and Life,
Canadian Fire, Exchange Underwriters (Royal Exchange),
Royal Insurance, Commercial Union, Insurance ' Company
State of Pennsylvania, Imperial Underwriters (Sun Insur-
ance Office), British Crown .\ssurance, and Liverpool, Lon-
don and Globe. The insurance on the stock was as follows: —
British Crown Assui-ance Corporation, Ltd., $5,000; Ex-
change Undei-writers (Royal Exchange), $5,000; Canadian
Fire Insurance Co., $1,250; Northwestern National, $1,500;
General Accident, Fire and Life, $1,000; stock, total, $13,750.
Carberry, Man. — October 19 — Barn of John Graham was
destroyed by fire. The loss is $6,450, with insurance of $12,-
750 in the Postage Mutual Fire Insurance Co.
Manitoba. — The fire commissioner's report for the month
of October shows that during the month there were 151 fires,
entailing a loss of $266,257. There were 44 dwellings de-
stroyed and 39 farm buildings. Careless smokers caused 12,
electric origin 8, stoves and furnaces 13, and 6 fires were
caused by incendiarism.
Rimouski, Que. — November 28 — A garage and eight cars
were destroyed by fire. The loss is $10,000, with insurance
of $2,000. A residence was also damaged to the extent of
$6,000, with. insurance of $3,200.
SASKATOON REORGANIZES BOARD OF TRADE
Business is Dull, Because Farmers are Holding Wheat and
Won't Buy — Collections are Poor
(Stafl' Correspondence.)
Saskatoon, December 4, 1920.
THE business outlook in Saskatoon and throughout central
Saskatchewan is quiet at the present time, in common
with other localities throughout the Dominion. There has
been a tendency all fall on the pai-t of the farmers to hold
their wheat, and many of them are now sorry that they did
not sell earlier, as the price has dropped considerably. Farm-
ers in this locality have had a difficult time, especially on
some of the branch lines, in getting cars in which to ship
their wheat. This is especially noticeable on the lines of
the Canadian National. Mercantile business cannot be taken
just now as a barometer of real conditions, as during this
period of price adjustment the merchants are the ones who
are suff"ering at the present time, and this is general all
over Canada.
All lines of business are struggling with collections, and
while some report fair success, it is a very hard and difficult
period for getting in money.
In the way of public buildings, Saskatoon has made con-
siderable progress during the present year. The new Pro-
vincial Normal School has been pushed rapidly, and this
building alone is costing $670,000. The new Science building
of the Saskatchewan University in Saskatoon is nearing com-
pletion at the estimated cost of $500,000. The Canadian Na-
tional Railways are erecting new shops in Saskatoon, also a
new Steel Bridge, and their expenditure at this point runs up
in the neighborhood of $800,000.
The Board of Ti'ade is being reorganized in Saskatoon by
the Canadian City Bureau of Toronto, and good success has
been attained, and the membership in all probability will
reach 700 before the campaign is concluded. Tne whole
board will organize along broader lines, and with an ade-
quate income of practically $12,000 the first year, this will
give Saskatoon a splendid chance to carry on progressive
work through its Board of Trade.
The Canadian Debentures Corporation, Ltd., incorpor-
ated under the laws of the Dominion of Canada, has been
authorized to increase its capital from $250,000 to $500,000.
One of the oldest seats on the Toronto Stock Exchange
was sold on December 4th, by F. J. Stewart for $12,.'')00, the
highest price paid for a seat on this exchange for a number
of years. The purchase was made by Stuart Playfair, acting
on behalf of some one whose name has not yet been dis-
closed. It is believed, however, that the seat will ultimately
pass to another bond house.
PfrLliHKD EVF.RV FkIDAY
JAS. J. SALMON D
l-\
J J^l al-^A^ a*.'^ ^^ ***4k (^3 A. Mi.^
President and Geueiul Manager
The Monetary Times
jtimttt irn u4n
Its
A. E. JENNINGS
Printing Company
of Canada, Limited
Trade Review and Insurance Chronicle
of Canada
Assistant General Manager
JOSEPH BLACK
Secretary
Publisher.. :!isO „f
•*'. A. McKAGUE
"The Canadian Engineer""
Established 1867 Old as Cor
federation
Editor
Saskatchewan Has Surplus, But Debt Increases
Provincial Treasurer in Budget Speech Proposes to Abolish Supplementary
Revenue Tax — Most of New Debt Is Revenue-Producing— Estimates Call for
Expenditure of $24,383,420, of Which $10,151,000 Is on Capital Account
SASKATCHEWAN'S revenue for the year ended April 30,
1920, exceeded the expenditure by $1,934,625, and after
deducting $133,529 for value of stocks on advances there
remained a net cash surplus of $1,801,095. Details of the
revenue and expenditure have already 'oeen given in The
Monetary Times. In his budget speech on December 6 the
Provincial Treasurer, Hon. C. R. Dunning stated that while
a surplus was preferable to a deficit, yet he did not believe
it was the business of a government to accumulate surpluses.
There were several reasons why it had accumulated, he said.
It would be remembered by the members of the House that
as early as July, 1919, it became apparent that a very large
area in the province would reap no crop, and that applica-
tions for relief began coming into the government. Con-
fronted with conditions like these in July, the government
anticipated that a very large outlay would be required to
meet the situation; and it made arrangements to cut down
its expenditures along every line.
How Surplus Had Accumulated
These efforts at curtailment had been fairly effective,
as the figures showed. At the last session the assembly
voted out of the consolidated fund the sum of $9,198,000
for the administration of the affairs of the province. The
government spent of that sum only $8,225,913. It still had
on hand $972,000. On top of this, a greater amount of
revenue had been received than the estimates had provided.
Again, said Mr. Dunning, while the government ex-
pended what was necessary for relief last year, these ex-
penditures were ultimately made not directly out of the re-
venues of the province. The ends which the government
sought were attained through guaranteeing bank credits.
The contingent liabilities resulting from such guarantees
amounted to around $2,000,000. The treasury was thus left
ahead at the end of the year.
The surplus would, however, be useful when in the next
succeeding year extraordinary unforeseen expenditures have
to be met. "A few days ago we were called upon to meet
one of these expenditures when we voted in the supplemen-
tary estimates the sum of $380,000 to cover the cost of the
anti-grasshopper campaign last summer." There was also,
said Mr. Dunning, an unpaid account on the free freight
policy adopted by the government last year, as a relief meas-
ure, of over $200,000.
Abolish Supplementary Revenue Tax
At the same time the government thought it was time,
said the pi'ovincial treasurer, to look around and see in what
way it might fui-ther assist the people of the province by
grants and by tlic reduction of taxes. The government had
determined to propose to the legislature that the Supple-
mentary Revenue Tax be abolished. Another reason for
abolishing the tax, said Mr. Dunning, was that the method
by which it was levied was no longer desirable. There was
no assessment of farm lands for municipal purposes in 1907.
The acreage method of taxation had since passed away,
however, with the single exception of the supplementary
revenue tax. Taxes are now levied in accordance with as-
sessments based on value of land. The supplementary rev-
enue tax presented the anomaly of a tax still levied at the
rate of one cent an acre wherever the land was or what-
ever its value might be.
Sources of Revenue
Turning to the question of the origin of the province's
revenues and the disposition made of them, Mr. Dunning
compared the receipts from the various sources for the fiscal
year 1918-19 with those for the fiscal year of 1919-20, as
follows: Out of the Dominion government, 32.3 per cent, of
the total revenues of the province in 1918-1919 or
$2,307,147, and in 1919-20, 31 per cent, or $2,654,839;
out of taxation: 34.7 per cent, or $2,479,709 in 1918-19,
and 41 per cent, or $3,513,199 in 1919-20; out of
licenses: 13.7 per cent, or $979,155 in 1918-19, and 10 per
cent, or $889,147 in 1919-20; out of fees: 12.8 per cent, or
$918,672 in 1918-19, and 12 per cent, or $1,062,531 in 1919-20.
The small balance of the revenue was obtained from repay-
ment of advances and loans, institutional revenue, fines,
forfeitures, and estreated bail, and miscellaneous.
The expenditures were distributed as follows: Adminis-
trative, 6 per cent, or $397,485 in 1918-19 and 5.5 per cent,
or $412,426 in 1919-20; legislative, 2.4 per cent, or $160,897
in 1918-19 and 2 per cent, or $169,047 in 1919-20; protec-
tive (police, courts, jails, land titles and miscellaneous),
19.2 per cent, or $1,268,213 in 1918-19 and 20 per cent, or
$1,518,289 in 1919-20; developmental (education, public
health, neglected children and promotion of agriculture and
commerce), 542.9 per cent, or $3,496,279 in 1918-19.
More for Education
Queries would undoubtedly be made, continued Mr.
Dunning, as to what would become of the school grants
formerly made out of the supplementary revenue fund. The
government intended to so increase the educational grants
that in 1921 they would aggregate for each and every in-
stitution more than would have been possible under the old
scheme.
The supplementary revenue tax was imposed in 1907 to
meet a condition then existent, when a considerable area of
the province was not organized into school districts and con-
sequently contributed nothing to the support of schools.
The tax amounted to a levy of one cent an acre on all land
outside the towns and cities and was designed to make these
lands contribute to education. The proceeds of the tax went
into the supplementary revenue trust fund and was divided
annually, as follows: SO per cent, to rural schools, 5 per
THE MONETARY TIMES
Volume 65.
cent, to the college of asriculture, 5 per cent, to the uni-
versity, and 10 per cent, to secondary education. This scheme
worked well I'or several years.
The primary reason for instituting the tax had' now
ceased to exist, however. While there were still some areas
not organized into school districts a glance at a map of the
school districts would reveal the fact that the motive for
the tax had very largely passed away, with further organiza-
tion of school districts. The revenue of school districts from
this fund in the earlier years of the tax was greater than
the amounts raised by them by taxation. The reason
for this was to be found in the fact that so
much of the province was outside the organized school
districts. The average annual receipts from the tax
since 1907 was $472,643. This had been distributed each
year according to the law. There were only 1,167 school
districts in the province during the first year of the tax
(1907-08) to participate in the receipts from it. To-day
there are 8,640 districts. As the districts grew in number it
became impossible for them to get the same sized grant out
of a fixed revenue.
Debt Shows Large Increase
The public debt of the province, when he delivered his
last budget speech, said Mr. Dunning, amounted to $34,946,-
404 gross, or $41.95 per capita. The corresponding debt
this year was $41,549,480, or $49.86 per capita. This gross
debt was made up of two diffei-ent items — a dead weight ex-
penditure and a debt incurred for the creation of revenue-
producing utilities. The dead weight debt would have to
be paid off from revenue derived from taxation. The other
debt would be liquidated by revenue from the earnings of the
utilities.
That portion of the gross debt which was revenue-pro-
ducing amounted to $20,808,801. The net debt of the pro-
vince consequently amounted to but $19,416,237, as compared
with $17,742,236 last year. The per capita net debt was
$21.30 in 1919 and $23.30 in 1920. These facts indicated, de-
clared Mr. Dunning, that the government was going very
slowly in regard to increasing the dead weight debt of the
province; while it was willing to move much faster in regard
to the revenue-producing debt. Considered either from the
point of view of gross or net debt, Saskatchewan had, said
Mr. Dunning, the lowest per capita debt among the pro-
vinces of western Canada.
Two Bond Issues Sold
The government had not taken advantage of all the
sums voted at the last session of the legislature, continued
the provincial treasurer; but it had made two bond issues.
The first of these was a 6 per cent, debenture issue for $1,-
000,000, due in 1924, and was sold on May 1, 1920, to a
syndicate headed by Messrs. A. E. Ames aiid Co., Toronto,
at 102.20. It cost the province 5.38. The second was a
6 per cent, debenture issue, due 1940, for $3,000,000. It
was sold on October 1 at 94.68, and cost the province 6.48.
The interest and principal are payable in Canada only.
While slightly better terms, on the face, could have been ob-
tained for the issue had payment been permitted in the
United States, the government decided, said Mr. Dunning,
that this inducement was not sufficiently great to overcome
the risks that would have had to be run in connection with
American exchange.
The fixed procedure of the government in connection
with all such loans was followed in the case of these issues.
Tenders were called for and opened in public. While oc-
casionally, a fluctuating money market offered opportunity to
secure snap bargains, this procedure had been found to be
the safest in the long run. It was the fairest to all, and gave
no opening for the entrance of suspicions or complaints.
The provincial treasurer said that he knew that the October
issue was a good sale, as it had taken the bond dealers who
purchased it considerable time to dispo.'se of it. showing that
they had paid more than would enable them to market it
readily. They even came back and tried to make terms with
him. The loan also compared very favorably with recent
Ontario ofl'erings — the latest Ontario offering to the public
was at a rate that would cost the province 6.60.
This was a cause for congratulation, that Saskatchewan
could get its money at a rate no greater than was demanded
of the wealthiest province in Canada. He would not claim
that the financial position of Saskatchewan was better than
that of Ontario, said Mr. Dunning, but he could say that
Saskatchewan had gotten away from a condition where it
has to take much less than Ontario.
Railway Guarantees
Alluding to the province's contingent liabilities, Mr.
Dunning stated that the total amount of the outstanding
liabilities resulting from the government's guaranteeing
Canadian Northern and Grand Trunk Pacific branch line
bonds was $28,582,011. While this amount had to be carried
as contingent liabilities, there was little likelihood of the
province ever being called upon to make it good. The pro-
vince was still responsible for and would have to meet the
interest on these bonds if the railway companies defaulted;
but the likelihood of the companies meeting the interest
instalments was greater now than it had been a few years
ago. The Dominion government now owned the lines, where-
as for some years the status of the lines was uncertain. He
did not think it would have been a calamity for the pro-
vince if the Canadian Northern and the Grand Trunk Paci-
fic had gone broke, said Mr. Dunning. The provincial gov-
ernment might have given better operation service than
would be given from Ottawa. There was no use discussing
these possibilities now. The province could not get the lines
unless the companies defaulted. Should they do so, the pro-
vince would have a right to the roads whose bonds it had
guaranteed.
The C.N.R. had never defaulted in the payment of its
bonds, said Mr. Dunning, but the G.T.P. did, with the result
that the province had to meet interest instalments amounting
to $810,000. After prolonged negotiations between the pro-
vincial and Dominion governments, this debt had been
liquidated, with the exception of a small amount of interest
on the money advanced by the province. There was always
the remote danger of default in the future, and for this rea-
son it was necessary to regard these guarantees as con-
tingent liabilities.
Other Contingent Liabilities
The province had other contingent liabilities connected
with assistance given to agriculture. There was a $2,000,000
line of ci-edit for the Saskatchewan Co-operative Elevator
Co., Ltd., which the government guaranteed. There was a
sum of $240,000 guaranteed on account of the Saskatchewan
Co-operative Creameries, Ltd. It had not been necessary
this year to guarantee any credit for the Municipal Hail In-
surance Association. So successful had been the association's
year that it was able not only to finance itself but also
invest a very considerable sum in farm loan debentures.
Other contingent liabilities were $217,000 for drainage
schemes; $244,000 on account of municipal seed grain ad-
vances; $150,000 for seed grain and relief in local improve-
ment districts; $630,000 on account of seed grain advances
by mortgagees, and $936,744 on account of relief extended
by municipalities. The total amount of the government's out-
standing guarantees for agricultural purposes was $4,419,564.
Relief Measures
The spirit shown by the municipal officials and by the
people who had received relief indicated, said Mr. Dunning,
that the liabilities incurred in connection with the relief
measures taken by the government would be made good.
The prospects were excellent. The total amount of the
securities taken by the Dominion government in the winter
of 1914-15 for relief and seed grain advances in this pro-
vince was $8,655,000, as follows: Seed grain, $5,578,000,
and relief, $3,077,000.
December 17, 1920
THE MONETARY TIMES
At the present time the Dominion government has col-
lected ?4,786,000 on the seed grain account and ?2,018,000
on the relief account. It has outstanding on the seed grain
account only $791,000 and on the relief account only $1,-
058,000. This means that it has collected nearly 86 per cent,
of what it advanced for seed grain and over 65 per cent, of
what it advanced for relief. When regard was had for what
the Dominion government had accomplished with its loose
and inefficient methods of collection, there was every reason
to believe that with the more efficient methods being adopted
by the municipalities the provincial government's outstand-
ing liabilities would be cleaned up.
Owing to the fact that the end of the Farm^ Loan
Board's financial year had not yet arrived, said Mr. Dun-
ning, it was impossible for him to submit to the assembly a
complete statement of its business for the year. He could
say, however, that the situation indicated in the last report
filed by the board continued during the year.
Estimates for 1921-22
Estimates for the fiscal year ending April 30, 1922.
presented in the house on December 6, call for a total ex-
penditure on all accounts of §24,383,420, as compared with
$20,961,034 last session. Of this amount, $11,670,920 is
chargeable to revenue account; $10,1.51,000 to capital ac-.
count; $2,100,000 to telephone revenue account, and $461,000
to the Agricultural Aids Act. The principal capital ex-
penditures are $3,276,000 for construction of public build-
ings, $850,000 for public improvements, $1,550,000 for tele-
phones, and $4,475,000 miscellaneous. The public debt will
require $2,446,874. The amount allotted for education is
$2,632,050, and for the administration of justice $1,450,441.
Operations of the Dominion Bankruptcy Act
318 Trustees Have Already Been Appointed— Ontario Has 88 and
Quebec Has 118 — Authority Extends Throughout Provinces— General
Operation Proving Satisfactory, but Some Changes Are Contemplated
(Special to The Monetary Times.)
Ottawa, December 16, 1920.
UNDER the Bankruptcy Act passed last year and amended
at the last session of parliament, the secretary of
state's department has now appointed 318 trustees to ad-
minister it in their respective provinces. They are mainly
chartered accountants, trust companies and associations of
business men formed for purposes which make them ideal
trustees for bankrupt properties. In a number of cases the
same company or the same association has qualified to act
as trustee in most of the nine provinces of Canada, but it is
entered separately as a new trustee each time, and has to
put up a new bond of fifteen thousand dollars for each pro-
vince in which it is appointed. In lieu of a bond they are
allowed to deposit Victory bonds, specie, cash or any ap-
proved bond, but in the great majority of cases they send
guarantee company bonds.
The 318 trustees already appointed are divided among
the nine provinces as follows: — Nova Scotia, seven, Halifax
having five; New Brunswick, four, St. John having three and
Moncton one; Prince Edward Island, two; Quebec, 118, Mont-
real having 83, Quebec 13, Sherbrooke 14, and the other
eighteen being scattered; Ontario, 88, Toronto having 48,
Ottawa nine, Hamilton six. Fort William two, and the re-
maining 23 being scattered through the province; Manitoba
18, Winnipeg getting them all, though branch offices of
eastern companies are represented, and doubtless branch
offices of Winnipeg companies look after outljnng districts;
Saskatoon, 23, Regina having four. Moose Jaw three, Saska-
toon five, and the remaining 11 being scattered; Albei-ta, 22,
Calgary having eight, Edmonton five, and nine elsewhere, in-
cluding five branches of Winnipeg companies; and British
Columbia, 36, Vancouver having 27, Victoria three, and the
rest of British Columbia having six, thus making a total for
all Canada of 318 to date.
Some Changes are Contemplated
The act has now functioned sufficiently long for the
business world to form its impressions of it. The action of
the Dominion government in delaying the proclamation of
its going into effect so that Canadians had until July 1st to
study its provisions proved wise as it enabled Chambers of
Commerce, mercantile associations, judges and bar associa-
tions to make various recommendations which led to a num-
ber of amendments being incorporated in the act during the
last session, with the object of making it more simple and
workable. Since then actual experience has led to a number
of other recommendations being made to smooth out the
working of the act, and before the commencement of the
next session of parliament in February next there will be a
conference between the secretary of state and interested peo-
ple with regard to new amendments which are desirable.
Your correspondent is informed that the changes to be
made have not yet been formulated, but that none of them
are serious or drastic in their character. A few "kinks'"
have to be smoothed out so that the public may get the full
benefit of the simplicity and uniformity created by having
federal courts instead of provincial courts now superseded,
so that a man in Nova Scotia may invoke the aid of a
bankruptcy court in British Columbia. One court and one
procedure throughout Canada is the ideal, but only experi-
ence can perfect the machinery, and one able parliamentarian
states his belief that it will be necessary to make amend-
ments for the next twenty years to this act according as
growing experience with it shows how it can be made more
effective.
Provinces are Administrative Districts
No bankruptcy districts have been named other than
the respective provinces in which trustees are named, and
each trustee can act throughout the province. Provision was
made in the act for dividing the country into smaller
bankruptcy districts, but for a time it was thought advisable
to keep the working of the act a little more elastic. When
circumstances show the need for it, smaller bankruptcy
districts will be outlined. Very little of the administrative
machinery of this act remains at Ottawa beyond the naming
of the trustees by the secretary of state, and the naming by
the minister of justice of the judges to preside on bankruptcy
matters. The officials, such as the registrars of the courts,
and others, ai-e appointed by the chief justice of the pro-
vince. .4.fter the act was passed, it was expected to stand
on its own legal legs with the courts and the officers whose
primary duty it is to look after the carrying out of its pro-
visions. When the trustees are all appointed it will need
very little administrative machinery at Ottawa. No sta-
tistics nor records of bankruptcy proceedings are kept here
except that a notice has to be printed in the "Canada Gazette"
of every failure by the trustee appointed in each case.
A Year Book for 1921, in the form of an office diary,
with pages 6 in. by 9 in., has been issued by the United
States Fidelity and Guaranty Co. Copies are being distri-
buted by the Canadian office, Excelsior Life Bldg., Toronto.
THE MONETARY TIMES
Volume 65.
TWO .MILLION LOANED UNDER RURAL CREDITS
Ex(«'n( of Manitoba Scheme — Winnipeg Bank Clearings
Reflect City's Growth — Business Now Dull
(Staff Correspondence.)
Winnipeg, December 16, 1S)20.
THE Christmas business in Winnipeg is warming up con-
siderably, but there are many sales on, and merchants
are endeavoring to get rid of Christmas stocks as fast as
possible. The weather has been very mild so far and not
at all good for Christmas trade. Bank clearings in Winnipeg
are keeping up well. In the month of October Winnipeg's
clearings amounted to $414,840,005, an increase over the same
month of a year ago of moVe than $114,000,000. The figures
in October, 1919, were $300,069,261. It is significant that
Winnipeg clearings for October this year were considerably
in excess of those of Toronto for October, 1919, and are only
$60,000,000 behind Toronto's bank clearings for last month.
A comparison of last year's figures and those of this
year is interesting. It shows that Winnipeg has transacted,
and is transacting, an enormous business, and that its busi-
ness is on a solid foundation. These figures give a certain
barometer to business in the metropolis of the west, and,
when it is taken into consideration that western Canada's
grain crop of this year is estimated at 664,000,482 bushels,
it would hardly seem reasonable to be a pessimist.
Loans made by the provincial government under the
Rural Credit Act this year have exceeded $2,039,000. Of this
amount, $400,000 was loaned for the breaking of virgin soil,
33,300 acres of unbroken prairie land being brought under
cultivation.
TWO .MILLION FROM ALBERTA LAND SALES
The total proceeds from the recent school land sales
throughout Alberta are now announced by the Department
of Education as $2,040,183. This represents an aggregate
of 115,608 acres of wild lands, which sold at from $7 to $70
an acre, with an average of $17.15. The entire proceeds of
the sales go to Ottawa, and will be administered as part of
the school trust fund, interest at five per cent, being credited
to the province for educational purposes. All the sales were
conducted by the Department of the Interioi-.
REPORT ON QUEBEC INSURANCE COMPANIES
Those Operating Under Provincial Charter Had Assets
of $6,149,419 on December 31. 1919
THE report of the Quebec Insurance Department for 1919,
just published, deals with the following companies: —
Nine stock companies, transacting fire insurance, life insur-
ance, accident and all casualty insurance, plate glass and
pension fund insurance; three mutual and stock companies
transacting fire insurance under both mutual and cash
system.s; two cash mutual companies transacting fire under
both mutual and cash systems; one mutual company trans-
acting pension fund insurance; one stock and mutual com-
pany from Ontario transacting fire insurance under the cash
system in the province of Quebec; six strictly mutual com-
panies transacting fire insurance under mutual system; four
ecclesiastical mutual companies transacting fire insurance
under the mutual system (without deposit notes), on Roman
Catholic churches, convents, seminaries, etc.; seven funeral
insurance companies transacting funeral insurance.
There is also included in the report seven statements of
marine companies that are not licensed by Ottawa for some
other classes of business. The report also contains state-
ments of twenty-one municipal mutuals and 125 parish
mutuals.
The nine stock companies transacting different classes
of business have total assets of $2,999,913, and total liabili-
ties of $925,145, exclusive of paid-up capital. Their receipts
amount to $1,200,938, and their disbursements, including
claims, amount to $740,561.
The total assets of all the provincial companies doing
fire insurance in the province amount to $6,149,419, and
liabilities, including paid-up capital, to $742,909.
An amount of $1,107,072 has been collected in the pro-
vince by the above companies for premiums in 1919, and
from other sources, $62,655. A total amount of $502,440 has
been paid in claims and $409,369 in general expenditure.
The insurance in force at the end of 1919 was $203,028,633
for the above companies.
EMPLOYMENT PLACEMENTS CONTINUE TO
DECREASE
FIRE UNDERWRITERS' SEMI-ANNUAL MEETING
The semi-annual meeting of the Canadian Fire Under-
wi'iters' Association was held in Ottawa, December 7 to 10,
the usual business being conducted. Lyman Root, manager
for Canada of the Sun Fire, , presided. A meeting of the
Western Canada Fire Underwriters' Association, of which W.
P. Fess, of Winnipeg, is president, was also held.
The Employment Service of the Department of Labor
reports that returns from the Dominion and Provincial
offices of the Employment Service of Canada for the week
ended November 13, 1920, show a decrease in placements
when compared with returns for the preceding week. The
offices reported that they had made 7,736 references to
regular positions and that 6,432 placements were effected.
This represents a decrease of 415 when compared with the
report for the preceding week, and a decrease of 903 when
compared with the coiTesponding week of last year. In addi-
tion, 1,450 casual jobs were supplied as compared with 1,593
reported during week ending November 6.
During the week 9,629 applicants were registered, of
whom 8,457 were men and 11,722 were women. This repre-
sents a decrease of 185 in i-egistration when compared with
report for the preceding week when 9,814 applications were
reported. During the week employers notified the Service
of 7,333 vacancies, of which 6,390 were for men and 943 for
women. When compared with the 7,845 vacancies reported
during the preceding week this is a decrease of 512. Of
the placements in regular employment 5,768 were of men
and 664 of women.
KITCHENER TO VOTE ON UTILITIES COMMISSION
A by-law will be submitted to the electors of Kitchener,
Ont., at the next municipal elections providing for the elec-
tion of a public utilities commission to operate the light
and power plants, the street railway, the waterworks, and
also to take over the work of the board of works, the parks
commission and the cemetery committee. It is proposed that
two of the commissioners be elected by the people every two
years, and two appointed by the city council, and that the
mayor be a fifth ex-officio.
The Dominion Steel Corporation has purchased a long-
term lease from Cox's Bank, Ltd., on premises in St. Martin's
Lane, Trafalgar Square, London, Eng. The property, which
has a frontage of 64 ft. and a depth of 140 ft., is most cen-
trally situated in the commercial district of the English me-
tropolis. The new ofllces will be used for the accommodation
of the London advisory board of the corporation anil the
European sales organization of the Canadian enterprise.
Decembei' 17. 1920
THE MONETARY TIMES
Trade Review and Insurance Chronicle
of Canada
Address: Corner Church and Court Streets, Toronto, Ontario, Canada.
Telephone: Main 7404, Branch Exchange connecting all departments.
Cable Address: "Montimes, Toronto."
Winnipes Office: 1206 McArthur Building. Telephone Main 3409.
G. W. Goodall, Western Manager.
One Year
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The Monetary Times was established in 1867, the year of Confedera-
tion. It absorbed in 1869 The Intercolonial Journal of Commerce, of
Montreal: in 1870 The Trade Review, of Montreal; and the Toronto
Journal of Commerce.
The Monetary Times does not necessarily endorse the statements and
opinions of its correspondents, nor does it hold itself responsible therefor.
The Monetary Times invites information from its readers to aid in ex-
cluding from its columns fraudulent and objectionable advertisements. All
information will be treated confidentially.
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PRINCIPAL CONTENTS
Editorial: page
The Financing of Foreign Trade 9
A Savings System for Industrial Workers 9
Insurance Organization in Canada 10
Tax Sales vs. Tax Suits 10
Special Articles:
Saskatchewan Has Sui-plus, but Debt Increased .... 5
Operations of the Dominion Bankruptcy Act 7
Vancouver Island Would be Free 14
Financing of Exports 18
Union of Manitoba Municipalities 20
Reciprocity Effects Would be Different 28
Action on Automobile Insurance Policy 30
Monthly Departments:
Wholesale Price Movement .- 22
Building Permits 22
Dominion Finances 24
Weekly Departments:
News of Industrial Development in Canada 32
News of Municipal Finance 36
Government and Municipal Bond Market 38
Corporation Securities Market 42
The Stock Markets 44
Corporation Finance 46
Recent Fires 48
THE FINANCING OF FOREIGN TRADE
LIMITATIONS to the ability of Canadian banks to extend
the long-term credits which are required to assist
manufacturers in e.Ktending foreign trade have been from
time to time referred to in this country, and have aroused
among bankers the question as to whether a foreign banking
institution would be practicable; while the banking law of
Canada is liberal, it aims at meeting domestic needs. Sir
Vincent Meredith, at the annual meeting of the Bank of
Montreal last week, said : "The necessity for financing
foreign trade has come very closely home, and, pending an
•international working scheme, I feel it would be well for
Canada to move locally. I am still of the opinion that a
corporation to foster foreign trade so as to keep our fac-
tories busy and give employment to labor is desirable, and
sooner or later must be launched. If export trade can be
revived, it will solve many of our difficulties."
Our experience in the granting of long-term credits for
foreign purchases has been practically limited to the credits
granted to Roumania, Greece, Italy, France and Belgium
to a total of $125,000,000. This was an affair between the
governments on both sides. The short period since the
arrangement was made shows, however, that even the credit
of the present European governments is none too safe; a re-
cent despatch from Ottawa stated that Roumania, instead
of meeting the interest payment now overdue, wished to
add the interest to the principal. The financing of foreign
trade is in fact a field of enterprise which is dangerous to
the unversed, and the present unsettled condition of in-
dustry makes it difficult to estimate the limit of safety with
buyers, even with governments themselves.
The subject is' therefore one to be approached with
caution. Canadian banks are straining their resources to
meet domestic requirements, and in the general stringency
of credit there is little room for the appropriating of capital
■for new enterprises. Such a foreign banking corporation
would require a large capital to start with, though the
building up of a sound business would be a slow process.
The operations of the business are complicated. As was
pointed out by A. T. Drummond, writing in Tke Monetary
Tivies of October 20, 1916, they comprise the establishing
of offices in the large exporting cities of Canada and in buy-
ing centres abroad, specializing in sterling and foreign ex-
change; handling both long and short-term paper; the issu-
ing of bonds and treasury votes; the acceptance of deposits
for the convenience of customers; and the flotation of loans.
A SAVINGS SYSTEM FOR INDUSTRIAL WORKERS
TO have a "little money in the bank" may now be the new
sensation to numerous persons, both native and
foreign-born, who work for salaries or wages. By these are
meant principally those who carry too much loose change
in their pockets, or who never think that they have enough
money to make a bank account worth w'hile, or who have
too much pride to make a small deposit; also that large class
of people who have been spending their earnings without
stopping to think of the needs of to-morrow, and that a dol-
lar saved to-day will be worth a dollar and a half or two
dollars in six months or a year from now.
The American Bankers Association, Savings Bank Divi-
sion, calls attention to the above facts and refers to a re-
cent report in which it summarizes the various plans now in
operation for assisting employees to pay themselves a divi-
dend on each pay day by systematically sending to the bank
some part (however small) of every payment of wages.
Employers and the representatives of employees can obtain
that report upon application to the association at its New
York office, or through any local bank.
The report outlines the scope of the present discussion
of industrial savings work and includes a concise statement
of the method of operating present systems which include
(a) a branch bank at the place of employment; (b) send-
ing a teller or agent of the bank to solicit accounts and
deposits; (c) deduction by the paymaster of deposits which
are forwarded to the bank, all other transactions being direct
THE MONETARY TIMES
Volume 65.
between the depositor and the bank; (d) the vending of
stamps or certificates which will be honored at the bank as
deposits or cash. Where desired, any systems may bo so
operated as to make the actual results known only to the
depositor and to his banker.
Sei-vice rather than profit is the motive back of this
new plan banking-, which has already been thoroughly tested.
While it results in bringing to the bank a few large deposits
of money which may have been hidden in the proverbial (but
inflammable) mattress, the most of the accounts are small
and are handled without profit under the usual savings bank
rules. The expense to the employer is moderate and is con-
tributed without expen.se to the employee.
TAX S.VLES vs. TAX SUITS
TAX arrears, in so far as the possibility of collection is
concerned, are in Canada limited to the value of the
property against which they are accumulated. This is the
effect of laws which prevent personal action being taken
for the collection of taxes. In the rapid flight of realty
values, chiefly in the west, municipalities raised asses.sments
and at the same time allowed taxes to accumulate to such a
degree that the slump found some properties worth no more
than the charges against them. As a solution of this diffi-
culty the Calgai-y finance committee suggests that munici-
palities be allowed to sue for taxes.
In Australia property owners are expected to meet their
tax payments promptly, and if they fail to do so the matter
is at once taken to court and judgment given against the
owner, if the debt to the municipality can be clearly es-
tablished and the owner is solvent. There is practically no
such thing as a tax sale, because the taxpayei-s toe the mark
all the time and naturally follow the tendency of not speculat-
ing or buying more than actual requirements unless they are
sufficiently well fixed financially to carry the load for an
indefinite period. This system is working well in Australia,
and apparently there is no reason why it could not be ap-
plied in some way or other here; it is pointed out, however,
by W. G. Cameron, reverted land commissioner for Victoi-ia,
that the introduction of the scheme here would create a lot
of trouble and would give rise to legal difficulties.
As a preventative of speculation such a law would no
doubt be eflfective; it would be equally effective in hampering
legitimate growth which is inseparably bound up with specul-
ation. Western cities and towns cannot redeem their laxity
by legislation, but only by a vigorous policy of tax collec-
tions, the wiping-off of arrears in many eases, and the pre-
vention of further accumulations. The possibilities of rais-
ing revenue from real property ire limited by the value of
such property. The most that even the single tax could do
would be to absorb the whole of the rent. The property
tax, as its name implies, entails no personal liability on the
part of the owner.
That this complicated organization is unnecessary, and
possibly a burden to the insurance business as a whole, is
a privia facie impression. There is some justification for it
in the complicated character of the business itself, and also
in the sectional character of the Dominion, the conditions
affecting the insurance business being quite different in the
east, in central Canada, the prairie provinces and the
coast. Even in the United Kingdom, where conditions are
more uniform, the variety of insurance organizations is
large.
In the insurance, as in other fields, there is, however,
too much of a tendency to adopt liolits bolus the practice
of the United States, assuming that, since geographic and
economic conditions are similar, it is good policy for the
younger country to follow in the footsteps of the elder. In
the international insurance field, howevei-. Great Britain
has easily taken the lead, and there is little ground for be-
lieving that the United States has pursued the soundest
line of development. The latter country, since the day when
a written constitution was drawn up embodying the ideals
of the new republic, has been a firm believer in the verbal
expression of abstract principles; and in the insurance as
in other business fields, wherever two or three find them-
selves engaged at similar work, they must needs gather to-
gether, form an association, have an annual meeting and
a banquet, regardless of the fact that most of their resolu-
tions and speeches never accomplish any result. There is
on the other hand something solid in the more clumsy British
method of plodding along in an unsystematic way, for the
Britisher hates to express himself in general terms, know-
ing well that practice can only approximate the principles
so expressed.
Objections registered against the operations of the
.41berta Public Utilities Commission at the municipal con-
ference held in Calgary last week may be a proof of good
work on the part of the Board.
The prediction of the Texas commissioner of agriculture
that prices of raw materials will move upward is about as
sound as the arguments advanced last spring by manufac-
turers and wholesale houses that next year's quotations could
not fail to be higher.
Public opinion did not start the downward movement of
prices, says Ur. T. S. Boggs, of the University of British
Columbia. This is undoubtedly true, but it must be admitted
that once the movement is started, public opinion, as ex-
pressed in refusal to buy, is doing much to accelerate it.
Belleville, Ont., is considering municipal fire insurance,
financed by the collection of premiums along with taxes.
Wliat provision is planned for disasters such as those which
wiped out large sections of Wadena, Sask., Brockville, Ont.,
and Carp, Out., during the past six months?
INSURANCE ORGANIZATION IN CANADA
NEW organizations formed during the past two or three
yean: have increased the number of associations of in-
.surance companies and insurance men in Canada to about 25.
This does not include local branches of large organizations
such as the Life Underwriters' Association and the Blue
Goose. Underwriting practice and rates, educational work,
and propaganda are the main lines of activity of these
organizations. They have been rapidly increasing in numlwr
during the past few years as a result of developments in
the casualty lines, and through the formation of agents' ;ui-
sociations in some of the provinces.
The finance minister has bori-owed $2.5,000,000 in New
York at 7 per cent, for Canadian Northern Railway pur-
poses, while Victory Loan .5*2 per cent, bonds are being
redeemed at par. Why were Canadian investors deprived
of the right of purchase in the open market, a pri\'ilege
which those in the United States enjoyed?
Super-efficiency
An American was with gushing enthusiasm describing
his new car to an English visitor. "It runs so smoothly," he
said, "you can't feel it. Not a bit of noise; you can't hear
it. Perfect ignition; you can't smell it. And speed, why it
simply whizzes; you can't see it."
"My word!" exclaimed the astonished Britisher. "How
do you know the bally thing is there?"
December 17, 1920
THE MONETARY T I :M E S
Travellers'
Cheques
Convenience, security and economy
are secured by the use of Travel-
lers' Cheques issued by this Bank.
They enable the bearer to identify
himself and are readily converted
into the current coin of any foreign
country.
THE CANADIAN BANK
OF COMMERCE
Head Office
Paid-np Capital
Reserve Fund
$15,000,000
$15,000,000
CURRENT ACCOUNTS
Efficiency is hard to obtain and
highly paid for. Merchants and
Manufacturers will find this
Bank equipped and prepared to
give all Current Accounts the
efficient care and careful con-
sideration they demand.
Open a Current Account with
this Bank. Your interests will
be faithfully looked after by
experenced men.
IMPEKIAL BANK
OF CANADA
212 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited, Edinburgh and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
A
Considerate
Service
U^OR 55 years our aim has been the
development of a service of indi-
viduality— a service not only efficient but
interested.
We take pride in acquiring lasting busi-
ness relations, and this is reflected in the
courtesy and promptness with which our
customers' requirements are met.
UNION BANK
OF CANADA
THE
Bank of Nova Scotia
Established 1832
Capital
Reserve
Total Assets
$9,700,000
$18,000,000
$230,000,000
GENERAL OFFICE : TORONTO, ONT.
H. A. Richardson, General Manager
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic, Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
55. OLD BROAD STREET. E.C.2
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
W. H. Fairchild has resigned as city engineer for Gait,
Ont, to take up the position of manager of the public utilities
commission.
J. J. Banfield, of the Norwich Union Insurance Society,
has been elected president of the British Columbia Auto-
mobile Underwriters' Association in place of E. P. Withrow,
who resigned.
J. C. Breithaupt, secretary of the Breithaupt Leather
Co., of Kitchener, Ont., and chairman of the Kitchener water
and light commission, has been elected vice-president of the
Ontario Equitable Life and Accident Insurance Company.
J. A. Martin, manager of the Dominion Tire Factory, also of
Kitchener, has also been elected to the directorate of the
Equitable.
R. C. Vaughan has been appointed vice-president, in charge
of purchases, supplies and stores, of the Canadian National
Railways and the Grand Trunk Pacific Railway, with office
at Toronto. His jurisdiction will also extend over the affiliated
and subsidiary
companies of the
railways. F. P.
Brady, general
manager of east-
em lines at
Montreal, is ap-
pointed assistant
to the executive
with office at
Toronto. W. A.
Kingsland, a s -
sistant general
manager of east-
ern lines at
Montreal, s u c -
cccds Mr. Brady
as general man-
ager of eastern
lines with office
at Montreal. L.
S. Brown, gen-
eral superintend-
ent of the mari-
time district at
Moncton, N.B.,
succeeds Mr.
Kingsland as as-
sistant general manager of eastern lines with office at Mont-
real. J. C. O'Donnell, superintendent at Winnipeg, succeeds
Mr. Brown as general superintendent of the maritime dis-
trict with office at Moncton, N.B. W. R. Devonish, superin-
tendent of the Moncton Division at Moncton, N.B., is ap-
pointed general superintendent of the Ontario district with
office at Toronto. A. C. Barker superintendent of telegraphs
at Moncton, N.B., succeeds Mr. Devcnish as superintendent
of the Moncton division with office at Moncton. W. N. Rip-
pcy, superintendent of car service at Moncton, N.B., is ap-
pointed superintendent of transportation, maritime district,
wth office at Moncton.
Davu) Nicholson Finnie, a prominent manufacturer of
Winnipeg, has been elected to the directorate of the Union
Bank of Canada. With Mr. Finnie's election, immediately
following the selection of W. R. Allan, of Winnipeg, as vice-
presi<lent nnd the election of G. M. Black, of Winnipeg, as a
director, the bank's mrcctorate is now complete. Mr. Finnie
is an Ontarian, a native of .Arnprior, Ont. He is a son of a
former general manager of the Bank of Ottawa, and himself
received his early business training in a banking institution.
John Galbraith Scott, K.C, Master of Titles, with of-
fices at Albert and Chestnut Streets, Toronto, has announced
his retirement from the office at the end of the year, and
also the completion of fifty full years in the Ontario Civil
Service. Mr. Scott has also announced that an order-in-
council has been passed by the Ontario government appoint-
ing George W. Holmes of this city to the position, the change
to take effect at the end of this month.
G. J. A. Reany, who has been manager of the Mutual
Life Assurance
Company in Ed-
m o n t o n , Alta.,
for some timi'.
has been appointed
to the position of
superintendent of
agencies for thf
company at Water
loo, succeediiii;
Sydney C. Tweed,
who has organized
the Ontario Equit-
able Life and Ac-
cident Insurance
Company. In 191 :!
Mr. Reany oi -
ganized the North-
ern Saskatchewan
branch of the
Mutual Life of
Saskatoon, and re-
mained there until
the spring of 1917,
when he went to
Edmonton in
charge of the
Mutual Life office there. He has also been an active worker
in the Life Underwriters' Association.
P. J. CooMBES, partner in the company of A. E. Ames
and Company, investment bankers, Toionto, has just returned
from a visit abroad. Mr. Coombes is of the opinion that all
countries will have to pay higher rates for money than
they have been paying. As to British sentiment on the
Canadian embargo against sending securities back to Can-
ada, Mr. Coombes said that those who have been active
in the business had doubtless found it irksome, but he
did not think it was an important factor in the London
market, and that when it was withdrawn it would probably be
regarded by British financiers as having been a necessary
part of the Canadian financial program.
OBITUARIES
W. D. WooDRi'FF, a prominent man in the paper industry
of this country, died at St. Catharines, Ont., this week. He
entered the employ of the Lincoln Paper Mills in 1881, and
practically devoted his entire business life to that one in-
dustry. For several years he had been the vice-president and
general manager of that company, which a quarter of a cen-
tury ago inaugurated the wage bonus system for employees.
R. C. Jennings, a financial man of extensive service in
the province of Ontario, died in Toronto recently. Mr.
Jennings was born on May 1, 1843, and received his ad-
vanced education in Upper Canada College. He began his
banking career with the now extinct Ontario Bank, in 1862,
but later transferred his services to the Canadian Bank of
Commerce, in connection with which he was manager succes-
sively in branches at Barrie, Paris and West Toronto, now
ward seven of the city of Toronto. He retired on a pension
in 1906, and devoted himself subsequently to private financial
work. During that time he served as auditor of the York
County Roads Commission, and also for the corporation of
Weston.
December 17, 1920
THE MONETARY TIMES
13
piBjiiiBiiniianainB»imuDuimDDiaiirmnngiiniiiiiiiimiiig[ifflnmiiiiiiitniiiiiiiin
I THE Sterling Bank I
I OF CANADA |
fiiiiiiiiiiiiimmniiiiiiiiniiiiiiiiiiiniiimiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiitniinmniiiniiinniniiiiiiiiiiiiiiiiiiiioiniiiiiiiiiiiii
Believing that the Banker is the logical financial
authority, we are ever ready to place our time and
experience at the disposal of Sterling Bank clients —
for discussions that will tend to the betterment and
expansion of their business.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament. Estabushed 1825
Capital Subscribed /5,000,000 $25,000,000
Paid up 1,100,000 5,500,000
Uncalled 3,900,000 19,500,000
Reserve Fund 1 ,000,000 5,000,000
Head Office - EDINBURGH
WILLIAM CARNEGIE, General Manager. GEORGE A. HUNTER. Sec.
LONDON OFFICE— 37 NICHOLAS LANE, LOMBARD ST., EC. 4
T. C. RIDDELL, DUGALD SMITH.
Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, are
retired on terms which will be furnished on application.
fncftrpora-tdd
- - i&5>
Branches
Throughovrt'
THE MOLSONS BANK
Capital and Reserve - $9,000,000
OVER 130 BRANCHES
Business Efficiency
Business men look for a quick,
efficient and reliable service.
The Molsons Bank w^ill satisfy
the requirements of the most
exacting,
EDWARD C. PRATT, General Manager
^■Mt-ALT^
Commonwealtb Bark of Bustralia
All classes of GENERAL AND SAVINGS BANK busir
acted in all the principal cities and towns of Australii
London.
JAS. KELL,
Deputy Governor 1920
nd Abroad.
DENISON MILLKR.
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
REAL ESTATE
Your rents must be collected when
due. Taxes must be checked up
and paid. Repairs need the attention
of someone experienced in caring for
property. Responsible tenants must
be secured.
These are services efficiently rendered
to our Clients by our Real Estate
Department.
THE BANKERS
TRVST GOMBWir
Head Offices: MONTREAL
Authorized Capital $1,000,000
Offices : MERCHANTS BANK BUILDING
THE MONETARY TIMES
Volume 65
VANCOUVEK ISLAND WOULD BE FREE
Claim Progress is Hampered by Dominion Kelations — Aim
at Development Similar to that of England
By Oscar C. Bass
Bufis and BidlockAVebster, Barristers, Victoria, B.C.
IT would appear like imagining the impossible to speak of
any part of Canada seceding from Confederation, but
such seems to be the fact.
Out on the Pacific Coast is that wonderful portion of
Canada known as Vancouver Island, a place famed for its
glorious climate, especially in the southern portion, its great
fertility, its immense natural resources and the general solid
wealth of its people. Yet on Vancouver Island there is a
strongly-growing dissatisfaction with Ottawa rule. The
feeling has been evident ever since Confederation, but within
the last ten or fifteen years it has grown in intensity, until
now there is a well-defined movement, backed by a good
proportion of public opinion, in the direction of separation
and a return to the status of a Crown colony, with free ports,
free trade, as in England, and the adoption of English laws
generally.
It is felt that, geographically, commercially and politi-
cally, while tlie continental, or mainland, portion of British
Columbia is a necessity to Confederation, yet Vancouver
Island made a fatal mistake by entering into it.
Election Promises the Only Benefits
When the advocates of the change mention the matter
to the average easterner, the latter is apt to ridicule the idea
at first. The thought of secession from Canada strikes him
as little short of political sacrilege, but the arguments put
forward in its favor are very strong. The people out there
complain, and with some show of reason, that they are
ignored by Ottawa except at election time, when softie pro-
mises are made, to be forgotten when the votes are counted.
Tliis, of course, is more or less the case in other parts of
Canada, but the Vancouver Islanders, who contribute heavily
in taxes and revenue in proportion to their population, con-
sider that they are not fairly treated under a political sys-
tem which, while they have to live under it, they do not
approve of. They state that their natural wealth is bound-
less; their ocean ports are open the year round; their terri-
tory is the gateway to the broad Pacific, opening out to
Russia, China, Japan, South America, Hawaiian Islands and
Australia; they are hampered by Canadian tariffs, Canadian
trade restrictions and Canadian laws; their demands for de-
velopment are swamped by the greater political influence
of other portions of Canada which are capable of enforcing
their demands, and that, as a part of Canada, they are pre-
vented from becoming the England of the Pacific, which, they
believe, they would be if free of Canadian rule.
From the year 1856, and continuing for a decade later,
Vancouver Island enjoyed representative institutions, but not
responsible government, British Columbia having a gov-
erning body, set in motion later. Vancouver Islandwrs, well
up in British Columbian history, will likewise recall that it
was from British Columbia that the appeal for union with
Vancouver Island came prior to Confederation.
Pays Tribute to Mainland
Particulai-ly, with regard to the latter fact, it is sug-
gested by the sponsors of the movement that the supporting
reasons in the minds of the applicants for union more than
half a century ago were prophetic of action that has fully
justified the move for including Vancouver Island as an in-
tegral part of British Columbia. But the local stand to-day
is based upon the belief that a time has come when Van-
couver Island should call a halt on the passive acquiescence
in a policy which permits the rest of the province to wax
fat in benefits at her expense.
With Victoria a free port and Vancouver Island free
to manage her own ship of state, it is claimed that she
would be in a position to develop her vast resources and to
raise her head to a position which was originally mapped
out for her, but which prospects she virtually passed on to
the mainland when she entered the union with British Col-
umbia, and later with Canada.
It should also be borne in mind that one of the advan-
tages of the consummation of the "separatist" movement
would be direct representation at Whitehall and direct asso-
ciation with an accredited representative with the Colonial
Office. Under present conditions the interests of Vancouver
Island and British Columbia, as a whole, can only be looked
after, through her agent-general, through the avenue of the
Canadian High Commissioner's office.
Would be Blow to Dominion
It would be wise on the part of statesmen at Ottawa
to take notice of this movement and ascertain if there is not
some ground for it. The statesmen of Downing Street in
olden times treated the complaints of the American col-
onists with a degree of studied contempt which led to dis-
astrous consequences. The loss of Vancouver Island to Can-
ada, territorially speaking, might not be so serious, but there
is on the Island a class of people who are sturdy (If easy-
going in appearance), intelligent, wealthy, and, when the
time arrives, are as likely to be as aggressive in their move-
ments as the American colonists of a century or more ago.
Politically, of cpurse, the blow to Canada would be serious,
as it would be tantamount to proving that Confederation had
been a failure.
On the whole, it would be well for Ottawa to take time
to look at the west in a spirit of more than the ordinary
interest evoked by the fact that Vancouver Island is merely
a spot on the Pacific, three thousand miles from the seat of
government.
The American colonies were only about that distance
from Downing Street, but Downing Street lost them on ac-
count of a long period of indifference to and contempt for
their requirements and representations. Vancouver Island
is too valuable a portion of Canada to let drift away.
STREET RAILWAY FARES
A statement issued by Nesbitt, Thompson and Co., Mont-
real, makes the claim that over 80 per cent, of the people of
the United States served by street railways are now pay-
ing higher fares. In Canada the highest street car fare is
seven cents, or four tickets for 25 cents, with the exception
of three municipal street car lines in Western Canada, which
are charging a 10-cent fare. In the United States the higher
fares are effective in the following number of cities: Six
cents, 134 cities; seven cents, 211; eight cents, 68; nine cents,
4; ten cents, 110.
ACiRICULTURAL INSURANCE CO.S FIRST YEAR
Reports of the first year's operations of the Agricultural
Insurance Co., Ltd., presented at the annual meeting held in
Regina on December 10, show that the company had a very
successful year's business. A cash dividend of eight per cent,
was declared on the paid-up capital of the company and
there is now $53,000 invested in securities within the pro-
vince.
The meeting was presided over by George M. Bell. This
is the first co-operative insurance company to be organized
in the world. Every shareholder must be a farmer. The
policy of the company is to invest all its money within the
province. Business during the past year was carried on in
both hail and fire insurance.
George M. Bell was re-elected president of the company
for the ensuing year with Hon. Charles A. Dunning as vice-
president. These two, with James Robinson, of the Co-opera-
tive Elevator Co., were appointed members of the executive.
J. H. Mitchell was appointed secretary-treasurer. Three
directors were elected for three years as follows: H. E.
Meilicke, of Saskatoon; W. J. Orchard, of Tregarva; and E.
J. Laxdale, of Dafoe.
December 17, 1920
THE MONETARY TIMES
THE
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
head office, weyburn. saskatchewan
Branches in Saskatchewan at
Weyburn, Yellow Grass, McTaggart, Halbrite, Midale
GriflBu, Colgate, Pangman, Radville, Assiniboia. Benson,
Verwood, Readlyn, Tribune, Expanse, Alossbank, Vantage,
Goodwater, Darmody. Stoughton, Osage, Creeltnan and
Lewvan .
A GENERAL BANKING BUSINESS TRANSACTED
H. O. POWELL, General Manager
rnOMEDANKoFbANAD
A]
BOND DEPARTMENT
Every Branch Office of the Home Bank is in ready
communication with the Bond Department at the
Head Office Information regarding Government
bonds or the more stable securities vi^illingly and
freely supplied upon request.
Branches and Connections Throughout Can
ada
Head Office and Eleven Branchet in Toronto
S-11
LLOYDS BANK LIMITED,
HEAD OFFICE:
71, LOMBARD ST., LONDON, E.G. 3.
($5 = ±;i.)
CAPITAL SUBSCRIBED
- $353,396,900
CAPITAL PAID UP
70,679,380
RESERVE FUND
49,886,410
DEPOSITS, &c. . -
- 1,621,541,195
ADVANCES, &c.
821,977,505
THIS BANK HAS ABOUT 1,500 OFFICES IN ENGLAND & WALES.
Colonial and Foi^ign Department : 17, CORNHILL. LONDON, E,C. 3. London Agency of the IMPERIAL BANK OF CANADA.
The Agency of Foreign and Colonial Banks is undertaken.
Affiliated Banks : THE NATIONAL BANK OF SCOTLAND LTD. THE LONDON & RIVER PLATE BANK LTD.
Auxiliary : LLOYDS AND NATIONAL PROVINCIAL FOREIGN BANK LIMITED.
TH€ M€RCHANT5 BANK
Head OfVice : Montreal. OF CANADA.
Establisbed 1864.
Capital Paid-up, $8,400,000 Reserve Fund and Undivided Pro6ts, $8,660,774
Total Deposits (30th October, 1920) - Over $170,000,000
Total Assets (30th October, 1920> - Over $209,000,000
Board of Director* :
Sir F. OnROiiit- Lewis, Bart.
Hon. C. C. Bai.lantvnk
F. Howard Wilson
SIR H. MONTAGU ALLAN
Farouhar Robertson
Geo. L. Cains
Alfreij B. Evans
Vice-President
Thomas Ahearn
Lt.-Col. J. R. MooniE
Hon. Lornb C. Webster
A. J DAWES
E. W. Knkeland
(Jordon M. McGregor
General Manager • • D. C. Macarow
Supt. of Brancties and Ctiief Inspector : T. E. Merrktt
General Supervisor - - - W. A Mf.ldrum
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
SO since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice.
399 Branches in Canada, extending from the Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookall, Agents
London, England, Office, 53 Cornhill : J. B.Donnelly, D.S.O., Manager
Bankers in GreaC Britain : The London Joint City & Midland Bank, Limited, The Royal Bank of Scotland
16
THE MONETARY TIMES
Volume 65.
BANK BRANCH NOTES
Five New Branches Announced This Week — Sterling !5ank
Has Opened Fifteen in Past Year
The following is a list of branches of Canadian banks
which have been opened i-ecently: —
Bridgetown, Barbados Canadian Bank of Commerce
Calle Callao, Buenos Aires . . . Koyal Bank of Canada
Halifax (Willow Tree) Bank of Montreal
Montreal (McGill St.) Bank of Hamilton
Cloverdale, B.C Royal Bank of Canada
The Molsons Bank has erected a new office building at
the northeast comer of Flora and Talbot Streets, St. Thomas,
Ont.
With the intention of erecting a bank and office building,
the Dominion Bank has purchased about 100 ft. of property
fronting on the south side of King St. at Wentworth St.,
Hamilton.
The Royal Bank of Canada has purchased the I.O.O.F.
block on Delta St., Ladner, B.C., and will remodel the interior.
Sterling Bank Appointments
The Sterling Bank announces the following: —
A. W. Dorland has been appointed acting manager at
Jordan Station, Ont.; H. Morden has been appointed acting
manager at Richmond Hill, Ont., and E. L. Brown, who was
temporarily in charge, has been transferred to Parkdale as
accountant. W. A. Hay has been appointed acting manager
of Stevensville, Ont., branch; C. O. Monroe, who was manager
at that point, has been transferred to Watford, Ont., as
manager; E. A. Hanley, who was for some time at head
office, has now been appointed acting manager at Auburn,
Ont., branch. S. \'. Steele, formerly teller at Fort Erie,
Ont., has been transferred to U.\bridge, Ont., branch in the
capacity of accountant; M. C. Buchanan, formerly teller at
Sudbury, has been promoted to the position of accountant
to replace L. G. Fox, who has been transferred to head office.
Philip Dumoulin, who has been manager of the Bank of
Montreal, at Kelowna, B.C., has been transferred to Kings-
ton, Ont.
Bank of Montreal Changes
The Bank of Montreal announces the following appoint-
ments: J. Brydges, acting manager at Abbotsford, B.C., ap-
pointed manager at that branch; R. N. Bell, acting manager
at Belmont, Man., appointed manager at that branch; R.
G. Ross, acting manager at Bloomfield, Ont., appointed man-
ager at that branch; F. J. Daniels, acting manager at Es-
quimau, B.C., appointed manager at that branch; E. M. E.
Parsons, acting manager at Ferryland, Nfld., appointed
manager at that branch; W. T. Sprague, acting manager
at Kingsville, Ont., appointed manager at that branch; F.
N. Smith, acting manager at Magog, Que., appointed man-
ager at that branch; L. F. Gibsone, acting manager at Papi-
neau Ave., Montreal, appointed manager at that branch;
H. M. Morrison, appointed acting manager at 21 St. Cath-
erine St: E., Montreal; C. J. E. L. Benedict, appointed man-
ager at Windsor St., Montreal; H. P. Emerson, acting man-
ager at St. George's, Nfld., appointed manager at that
branch; .1. C. D. Rochette, acting manager at St. Sauveur,
Que., appointed manager at that branch; G. E. Morin, acting
manager at Danforth and Carlaw Avenues, Toronto, ap-
pointed manager at that branch; C. Inglis, acting managci-
at Stock Yard.s, Toronto, appointed manager at that branch;
F. A. Macrae, acting manager at Granville and Nelson
Streets, Vancouver, appointed manager at that branch; E.
Stonham, acting manager at Douglas St., Victoria, appointed
manager at that branch.
Three charges against .1. S. Bancroft, assistant manager
of the Granville St., Vancouver, branch of the Merchants
Bank, involving alleged shortages of nearly $50,000, were
heard in police court on December 10. After hearing evi-
dence in three separate charges against Bancroft, Magis-
trate Shaw announced he would suspend formal committal.
The charges against Bancroft include the theft of $45,000 of
Victory bonds, falsifying the ledger of the bank to the extent
of $15,432, and conspiracy jointly with Phil. M. Gevurtz, of
the Gevurtz Lumber Co., making alleged entries for the
purpose of bolstering up the credit of Gevurtz and his com-
pany.
Since November, 1919, the Sterling Bank has opened the
followng fifteen branches, the managers being as indicated:
Barrie, W. A. Sawtell; Aurora, A. M. Kirkwood; Craighurst,
T. E. Brett; Golden Lake, R. C. Cameron; Lakefield, R. W.
Douglas; Lansing, W. A. Young (acting); Minesing, W. L.
Bishop; Newtonbrook, J. B. Thompson (acting); Norwood,
J. H. Hartle; Phelpston, W. E. C. Jones; Queensville, H. S.
Ivey; Richmond Hill, H. Morden; St. Williams, R.E. Nevison;
Varna, W. T. Maize (acting); Wilno, G. C. Garvin (acting).
EXCHANGE QUOTATIONS
Glazebrook and Cronyn, exchange and bond brokers,
Toronto, report local exchange rates as follows: —
Buyers.
17 pm
5c. dis.
Sellers.
17% pm
Par.
Counter.
N.Y. funds
Mont, funds 5c. dis. Par. Vs to V4
Sterling —
Demand .$4.0750 $4.0850
Cable transfers .... 4.0850 4.0950
Bank of England rate, 7 per cent.
New York quotations of exchange on European countries,
as supplied by the National City Co., Ltd., Toronto, as at
December 16, 1920, are as follows: London, cable, 349%;
cheque, 349; Paris, cable, 5.93; cheque, 5.92; Italy, cable, 3.50;
cheque, ;').49; Belgium, cheque, 6.21; Swiss, cheque, 15.35;
Spain, cheque, 13.05; Holland, cheque, 31 Si; Denmark, cheque,
15.10; Norway, cheque, 14.85; Sweden, cheque, 19.65; Berlin,
cheque, 1.35; Greece, cheque, 16.00; Finland, cheque, 7.45;
Roumania, cheque, 2.40; Poland, cheque, 1.32.
WEEKLY BANK CLEARINGS
The following are the bank clearings for
December 16, 1920, compared with the corri
last year: —
Week ended Week ended
Dec. 16, '20. Dec. 18, '19.
Montreal $132,994,899 $134,239,366
Toronto 126,258,318 112,749,437
Winnipeg 102,365,325 66,275,206
Vancouver 15,907,189 14,707,108
Ottawa 9,145,207 11,472,186
Calgary 9,153,637 8,659,600
Hamilton 7,226,709 7,391,834
Quebec 7,513,325 7,029,969
Edmonton 5,729,828 6,369,755
Halifax 4,731,517 5,230,592
London 3,251,142 3,793,167
Regina 5,032,131 4,525^50
St. John 3,220,338 3,437,561
Victoria 2,693,133 3,048,032
Saskatoon 2,385,035 2,261,575
Moose Jaw 2,034,286 1,778,669
Brantford 1,401,938 1,490,899
Brandon 953,276 1,027,328
Fort William . . 1,011,950 1,218,021
Lcthbridge 1,201,471 826,620
Medicine Hat . . . 661,881 655,169
New Westminster 641,828 537,053
Peterboro 1 ,085,745 899,427
Sherbrooke 1,423,066 1,390,009
Kitchener 1,1.52,699 1,159,917
Windsor 3,542,540 2,948,607
Prince Albert . . 577,519 558,627
Total $453,295,982 $405,681,184
Moncton $ 9L5,606
the week ended
•esponding week
Changes
—
$ 1,244,467
+
13,508,881
+
36,090,110
+
1,200,081
—
2,326,979
+
494,037
—
165,125
+
483,356
—
639,927
—
499,075
—
542,025
+
506,681
—
217,173
—
354,899
+
123,640
+
255,617
—
88,961
—
74,052
—
206,071
+
374,851
+
6,712
+
104,775
+
186,318
+
33,057
—
7,218
+
593,933
+
18,892
+
$47,614,794
December 17. 1920
THE MONETARY TIMES
17
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(ESTABLISHED I8I7,
PAID UP CAPITAL - . - ~aUm - - - ^ - - $ 23,828,500.00
RESERVE FUND - - C^l^4. .----- 16,375,000.00
RESERVE LIABILITY OF PROPRIETORS - .^<iSQl^(4 f . 1 . . . . 23.828,500.00
AGGREGATE ASSETS 31st MARCH, 1920
Sir JOHN RUSSELL, FRENCH, K.B.E.. General Manager
351 BRANCHES and AGENCIES in the Australian States. New Zealand. Fiji, Papua (New Guinea) , and London. The Bank tr
64.032,000.00
$377,721,211.00
very de
•ipti.
of Australian Banking Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THRE.VDNEEDLE STREET, E.C.2.
AORNTs: BAVK OF .MONTREAL. ROYAL BANK OF CANADA
c. s.
GUNN & COMPANY
REAL
ESTATE, INSURANCE, RENTAL AGENTS
805 Union Trust Building
WINNIPEG, MAN.
Members of
Winnipeg Real Estate' Exchange, Winnipeg Stock Exchange
George Edwards
H. Percival Edwards
A. Geoffrey Edwar[>s
T. J. Macnamara
K. A. Mapp
F.C.A. Arthur
VV. PoMEROY Morgan
Oswald N- Edwards
T. P. Geggie
W. A. LORIMER
W. Herbert Tho.v
Charles E. Whit
J. L. Atkinson
JoHV M. Edwards
EDWARDS, MORGAN & CO.
chartered
OFFICES
ACCOUNTANTS
TORONTO ..
CALGARY . .
VANCOUVER
WINNIPEG..
MONTREAL
CORRESPONDENTS
HALIFAX, N.S. ST. lOHN, N.B.
LONDON, ENG. PARIS, FRANCE.
CANADIAN MORTGAGE BUILDING
HERALD BUILDING
LONDON BUILDING
ELECTRIC RAILWAY CHAMBERS
McGILL BUILDING
COBALT, ONT
NEW YORK, U.S. A
ESTABUSHED 1879
Alloway & Champion
Bankers and Brokers
Members of Winnipeg Stock Eichange
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchanges
THE
ToroatoGeaeralTrusts
Corporations
DIVIDEND No. 98
Notice is hereby given that a Dividend
of Three Per Cent, has been declared
upon the Paid-Up Capital Stock of this
Corporation for the quarter ending De-
cember 3 1 St, 1920, being at the rate of
TWELVE PER CENT. PER ANNUM,
and that the same will be payable on and
after Monday, the 3rd day of January, 1921 .
The Transfer Books of the Corporation
will be closed from Wednesday, the 15th
day of December, until Friday the 3 1 st day
of December, 1920, both days inclusive.
By Order of the Board of Directors,
A. D. LANGMUIR
General Manager.
Toronto, November 23rd, 1920.
18
THE MONETARY TIMES
Volume 65.
Financing of Exports
Four Well Known Methods of Payment, But Attaching Draft to Shipping
Documents is Most Common— Trade and Bank Acceptances— How to Ascertain
Credit of a Customer, and How Protection is Possible in Doubtful Cases
By C. R. HILL,
Managing Director, Hill and Co., Ltd., Toronto
(This is the sixth of a series of articles on Practical Exporting, the first of ivhich was published in
The Monetary Times of November 12, 1920.)
SEVENTY-FIVE per cent, of the world's foreign commerce
is financed by means of either bank or trade acceptances.
In Great Britain and in many countries of continental Europe
practically every domestic and foreign commercial transac-
tion is financed by means of a time draft, known as a bill of
exchange. The draft is drawn by the seller of the mechandise
and presented to the buyer-, who, if he finds it satisfactory,
writes across its face the word "Accepted," signs his nam'e
and returns the draft to the seller. It then becomes a trade
acceptance — a sound, circulating medium of finance, which
commands a low rate of interest and which the seller, if he
desires, may discount at his bank. A trade acceptance is an
obligation of the buyer, endorsed by the seller, and the bank
discounting it is secured by two names instead of one, as
in the case of a promissory note.
A bank acceptance is a bill of exchange, of which the
acceptor is a bank or trust company, or a firm, person, com-
pany or corporation engaged in the business of granting
bankers' acceptance credits.
It has, therefore, come about that practically all export
business is financed through drafts attached to shipping
documents.
Four Methods of Payment
To speak broadly, there are four methods of paying for
goods purchased abroad: —
1. The purchaser remits with the order. This needs no
explanation — the manufacturer, at any rate, can see the ad-
vantages of that mode of procedure. But it can be readily
understood that, unless a dealer has a very large amount of
surplus cash, he cannot make remittances with his order for
goods which will not arrive until at least five months after-
wards, and a part of which, at any rate, may remain in his
store for a year.
2. The purchaser opens a bank credit in favor of the
manufacturer. Here also there are drawbacks, from the pur-
chaser's point of \\e\v. In the first place, he, like the manu-
facturer, needs all his local credit to keep his store fully
stocked. Apart from that, in addition to the interest charges
from the date the bank pays for the goods until he pays for
them, the bank charges a commission for opening the credit.
3. The manufacturer ships the goods on open account
and awaits remittance from the purchaser. Here all the
brunt of financing the business falls on the manufacturer,
and this method does not appeal to him any more than re-
mitting with the order appeals to the dealer in South America.
4. The manufacturer draws a draft on the purchaser.
This method is the most popular, liccause, by means of a
draft, neither purchaser nor manufacturer (provided they be
of good standing) need wait for his money, but by combining
their signatures they can jointly obtain the additional credit
that they are both in need of. The modus operandi is as fol-
lows:—
Drawing a Draft
The manufacturer draws a draft, payable to his own
order, on his customer, and attaches thereto the full set of
bills of lading, marine insurance policy, invoices and con-
sular invoices (where such are required), the insurance policy,
invoices and consular invoices being made out in duplicate.
The draft also should be drawn in duplicate, so that two com-
plete sets can be made up and despatched by diiferent
steamers, thus preventing possible loss in the mails. This
documentary draft, on being endorsed by the manufacturer,
who thereby guarantees its payment, can be sold or dis-
counted in Canadian banks at a rate of discount very little
higher, if at all, than the banks charge for discounting com-
mercial paper signed by firms doing business solely in this
country. The draft is probably drawn at ninety days' sight,
that is, payable in ninety days after it has been accepted by
the customer, who, by 'writing his signature and the date
across the face, agrees to pay it on those conditions, the
banker having agreed to deliver the shipping documents to
the customer against his acceptance of the draft. It is plain
now how the credit has been obtained. The foreign banker
is secured, pending the acceptance of the draft, by having
possession of the goods (represented by the bills of lading)
and the manufacturer's signature. When the draft is accepted
he received an additional signature in exchange for the
goods.
When a shipper is to draw on consignee for value, with
documents, he should consign the goods on both the bills of
lading and the consular invoices (when such are required) to
"order," and, having endorsed the full set of both documents
"in blank," they should be presented with his draft (arranged
in duplicate) and certificate of insurance to the banker
through whom collection is to be made.
The banker thi'ough whom a draft is to be collected
should always be instructed under what conditions the docu-
ments are to be surrendered — that is, whether they are to
be delivered upon "acceptance of draft" or only after "pay-
ment of draft." Unless instructed to the contrary, unpaid
or unaccepted drafts will not be "protested."
Canadian Banks Have Foreign Connections
Despite the lack of Canadian banks abroad, it is not so
difficult to arrange foreign credits as many manufacturers
suppose. The agencies of foreign banks in Canada are in a
position to collect money against consignments in most coun-
tries of the world. The endorsement of the bank with which
a Canadian manufacturer docs business will enable the latter
to obtain practically the same accommodation from these
foreign bank agencies as is granted to the manufacturers
in Europe. Until more Canadian banks are established abroad
it will be necessary to transact the business through their
foreign connections, and it would be to the advantage of the
Canadian manufacturer to become better acquainted with
the facilities that now exist.
The merits and methods of drawing on buyers with ship-
ping documents attached has been dealt with generally, but
the point of the credit justification is very important.
Care About Credit
.Assuming that a Canadian manufacturer has decided on
an export policy, he subsequently finds customers whose
standiTig in the commcrical and financial world is unknown
to him, and the question as to whether he will fill their
orders is largely a matter of certainty in settlement. Unless
each order is accompanied by an ii-revocable letter of credit,
carrying a banker's acceptance of his draft, he will be wise
to obtain credit reports before shipping. The proper inter-
pretation of common phrases used in credit reports on for-
December 17, 1920
THE MONETARY TIMES
Safety and Profit
are al
nportant considerations in the selection of a depository for
a business reserve.
a sinking fund.
a personal account.
The UNION TRUST COMPANY'S resources and its conservative
management establish the element of safety :
Its method of adding 4% interest regularly to the account, gives a
maximum return on the sums involved.
J^il accounts are subject to cheque
Union Trust Company, Limited
HENRY F. GOODERHAM. President
TORONTO - - Cor. Richmond and Victoria Sts.
WINNIPEG. MAN. LONDON. ENGLAND
i% on Savings — Withdrawable by Cheque i\
Remember Your Family
and safeguard them from misunderstandings by
nominating as Executor and Trustee of your Estate
THE CANADA PERMANENT TRUST COMPANY
Paid-uD Capital
Sl.OOO.OOO
TORONTO STREET
TORONTO
DIRECTORS
W. G- Gooderham R. S Hudson John .Massey
Col. A. E. Gooderham J. H. 0. Hagarty John Campbell. S.S.C.
F. Gordon Osier George H. Smith William Mulock
E. R. C. Clarkson George W. Allan. K.C., M. P. •
Manager, Ontario Branch : A. E. Hessin
The most important document a person of large or small
means is called on to prepare is his
LAST WILL AND TESTAMENT
It means the happiness and welfare of those most dear.
Ask for Booklet : " Make Your Will."
CAPITAL, ISSUED AND SUBSCRIBKD ..§1,171,700.00
PAID-UP CAPITAL AND RESERVE 1,172,000.00
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE : WINNIPEG, CAN.
-RICE & FIELDING, INC.-
FOREIGN FREIGHT FORWARDERS, CUSTOMS
BROKERS AND DRAWBACK AGENTS
81 VICTORIA ST.,
TORONTO
SOS CORISTIKE BlDC ,
.MONTREAL
CODES
Western Union
ABC, 5th S 6th Editions
OTHER OFnCES
11 Broadway.
.NEW YORK
40 Ce.ntral St..
BOSTON
olicitej In connection with either Export or Import hu.
EXPORT ORDERS
The Canadian Manufacturer to-daj^ does not doubt the necessity for
Export business. To take up the problem seriously, he needs: —
First — An Export Department.
Second — A Foreign Sales Organization.
Each have distinct functions.
We can provide him with either or both.
Particulars v^ill be furnished by letter or by a personal visit from one
of our representatives.
HILL & COMPANY (EXPORTS AND IMPORTS) LTD.
74 YONGE STREET ARCADE
TORONTO, CANADA
[Established in all the principal trading countries of the world).
20
THE MONETARY TIMES
eign individuals or finns is often a difficult matter for Cana-
dians who are just bep;inning to market their products
abroad. Correspondent bankers of Canadian financial insti-
tutions frequently sum up their opinion as to the financial
standing and moral responsibility of a firm in their territory
by a single sentence. Such brevity is somewhat disconcerting
at first, in view of the great amount of detail to which one
is accustomed in Canada.
In order to help exporters who have found themselves
in this predicament, there are given below various phrases
used by British banks and their branches throughout the
world, together with the significations usually attached to
each phrase in banking circles: —
"Al."— Highest class standing. Their drafts would dis-
count aj; the most favorable rates.
"Undoubted."— Not quite up to "At" standard, but un-
doubted for their engagements.
"Highly respectable— good for their engagements."—
Good class firms, who would not undertake business beyond
their means.
"Keep satisfactory account." — A term often used by
bankers, which leaves the amount of credit to be settled by
the inquirer. T'sually small firms of respectable repute.
Suit Method to Firm's Credit
Assuming that the manufacturer and his banker arc
aware that the buyer is rated in the highest class standing,
it would be an insult to the buyer to intimate that his signed
order would not be filled unless a letter of credit was estab-
lished to cover it. However, the wealthiest of buyers are
accustomed to purchasing on basis of trade acceptances and
having shippers protect themselves by consigning goods to
order, endorsed in blank, and bills of lading attached to
drafts. Such bills of exchange with high-class buyers are
as negotiable as if letters of credit had been established with
the order.
In the case of orders from new customers whose foreign
credit rating cannot be established to the satisfaction of the
manufacturer, it is advisable to request the establishment of
a letter of credit and ship in accordance with the terms of it.
Forms ol" Letters of Credit
Letters of credit are almost as unlimited in their variety
as there are banks to issue them. No set standard or general
form has yet been adopted, but they are divided into two
general classes, viz., Revocable and Irrevocable. In the first
dass the buyer has the opportunity of changing his mind
and cancelling the order, which might prove extremely em-
barrassing to the manufacturer and banker, particularly after
goods are shipped and draft discounted. In most cases the
Canadian banks will not negotiate a bill of exchange against
a revocable letter of credit, and are justified in their stand.
An ii-revocable letter of credit, whether established by cable
or mail, is a document which is issued by the buyer's bank,
and authorizes their branch in Canada (if they have one)
or a Canadian bank to accept the draft of a specified Cana-
dian firm on receipt of invoices and shipping documents cov-
ering a specified shipment, and stating that such authority
holds good until a specified date. With this authority in its
possession, the Canadian bank is in a position to have draft
made on it instead of the buyer, on receipt of which they
write their acceptance of it across the face, making a docu-
ment as negotiable as Bank of England notes. Such a system
of bankers' acceptances releases the manufacturer from fur-
ther liability in the matter.
There is no cleaner business in the world than shippinj:
against letters of credit, but a continual demand for them
will restrict Canadian export business very seriously, owin^
to the fact that .\merican, British and continental shippers
are willing to take a chance without them. As a result,
foreign buyers are not going to tie up their credits witli their
bankers when they do not have to.
There is another feature in financing export shipments
that should be mentioned. The principle of consigning goods
to order and endorsing the ocean bills of lading in blank has
the legal effect of making the possessor of the bills of lading
the potential owner of the goods. Therefore, the Canadian
bankers and foreign associate banks handling the draft hold
possession until the buyer "accepts" the draft. In cases where
the banks have actually provided the funds for purchase and
transportation, they often protect themselves by demanding
a letter of hypothecation from the shipper, which provides
authority for the bank to take all necessary steps to protect
the interests of shipper and bank, even to the extent of sale
at any price, in the event of draft not being accepted.
UNION OF MANITOBA MUNICIPALITIES
Hail Insurance and Local Assessments Discussed — John
Haddow, of Rosser, Elected President
TWO hundred and fifty delegates attended the annual meet-
ing of the Union of Manitoba Municipalities held in
Brandon, November 30, December 1 and 2. The president, J.
A Marion, of St. Boniface, recalled that it was in Brandon
that the union had originated 17 years ago. Among the
legislation which it had been influential in securing was the
following: Inclusion of machinery as part of good roads cost;
power to pass special by-laws and taxes for destruction of
grasshoppers and locusts; and amendments providing for
licensing of commercial travellers.
Robert Forke, secretary-treasurer, said the membership
was satisfactory, though there were still a few outside, and
the small number of i-esolutions presented indicated that the
municipal legislation was considered fair.
Hail Insurance
R. Hingley described the work of the Municipal Hail
Insurance Association, and C. Ivens, of Wallace, gave a
resume of the Hail Insurance Act that will be voted on by
Manitoba municipalities shortly. It is necessary, he
pointed out, that 35 municipalities vote in favor of the act
to make it operative.
The election of officers resulted as follows: President,
John Haddow, reeve of Rosser municipality; vice-president,
reeve of Couling of Oak Lake; secretary-treasurer, Robert
Forke. The executive is as follows: Lt.-Col. C. E. Ivens,
Reeve W. C. Wroth, R. D. Willis, D. D. McDonald, Aid. J
A. Marion, A. R. Henderson and J. Mitchell. Next year's
meeting will be in Portage la Prairie.
The resolutions passed at the convention asked chiefly
for legislative amendments, such as changes in the Assess-
ment Act, assessments not to be made in towns and villages
until March 1, for disposition of taxes on grain elevators
on government property, and for governmental, assistance
to charitable institutions.
E. A. Weir, administrator of the provincial savings
banks, addressed the convention, explaining the system em-
ployed in the institution and its purpose. Money deposited
is used, he said, to finance the rural credit societies through
the consolidated revenue fund, the farm loans association,
school districts and rural municipalities. "At the present
time we have not enough money to purchase municipal bonds,
but we will be prepared to buy up some school district de-
bentures," Mr. Weir said.
In the Winnipeg branches a checking system is used,
the whole transaction being similar to a regularly conducted
bank. .Agencies are or will be established in Brandon,
Dauphin, Necpawa, Portage la Prairie, Stonewall and Car-
man. Interest at 4 per cent, is allowed and the government
guarantees all deposits. They are endeavoring, he said, "to
conduct the institution as economically as possible for the
proxnnce." Mr. Weir believes that the farmers will support
the bank, which is necessary "if the institution is to be made
to go." At pi-esent they are "operating on a very narrow
margin. We want to make this office carry itself. We do
not want it subsidized by outside contributions, and we will
be prepared to pay a higher interest rate when we are fully
established," said the speaker.
December 17, 1920
THE MONETARY TIMES
21
INVEST YOUR SAVINGS
in a 5i^% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital $2,412,578.81
Reserves 964,459.39
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES : Toronto, Regina, Calgary,
Edmonton, Vancouver, Victoria ; Edinburgh,
Scotland.
CANADA PERMANENT
MORTGAGE CORPORATION
QUARTERLY DIVIDEND
Notice is hereby given that a Dividend of TWO and
ONE-HALF PER CENT, for the current quarter being at
the rate of j^^ pg.^^ ^g.j^.p ^^^ ANNUM
on the paid-up Capital Stock of the Corporation, has been
declared, and that the same will be payable
MONDAY, THE THIRD DAY OF JANUARY
next, to Shareholders of record at the close of business on
the Fifteenth day of December.
By order of the Board,
GEO. H SMITH. Assistant General Manager.
Toronto, November 24th. 1920.
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
.Masonic Temple Building. London. Canada
Interest at 4 per cent, payable half-yearly on Debentures
T. H. PURDO.M. KC. President NATHAN'IEL MILLS. .Manager
London and Canadian Loan and Agency Co., Limited
EsTABLisHEi 1 S":' 51 YOXtF. .ST.. TOKONTO
Paid-up Capital. .?l,250.0CiO Rest. S950.000 Total .4s5ets, S5.CS5 872
Debenture!) issued, one hundred dollars and upwards, one to five years.
Best current rates. Interest payable half-yearly. These Debentures are an
Authorized Trustee Investment. .Mortgage Loans made in Ontario, Mani-
toba and Saskatchewan.
WILLIA.M WEDD. Secretary V. B WADSWORTH. Manager
The Ontario Loan & Debenture Company
DIVIDEND NO. 134.
Notice is hereby given that a QU.ART.ERLY DIVIDEND
of 2% per cent, for the three months ending 31st De-
cember, 1920 (BF.ING AT THE RATE OF NINE PER
CENT. PER ANNUM) TOGETHER WITH .\ BONUS OF
% OF ONE PER CENT has been declared on the paid-up
capital stock of this Company and will be pajable at the
Companj-'s Office. London. Ontario, on and after the 3rd
January next to Shareholders of record of the l.Sth December.
By order of the Board.
A. M. SM.\RT,
Manager.
London Canada. 30th November, 1920
(^VER 200 Corporations,
^^^ Societies, Trustees and
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG. Man.
THE TORONTO MORTGAGE COMPANY
Quarterly Dividend
Notice is hereby given that a Dividend of Two and one-quarter per
cent., being at the rate of .Vine per cent, per annum, upon the paid-up
Capital Stock of this Company, has been declared for the current
Quarter. and that the same will be payable on and after Is! January
1921. to shareholders of record on the books of the Company at the
close of business on TSth inst By Order of the Board.
Toronto, 2nd December. 1920. WALTER GILLESPIE. .Manager.
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
Particulars on application.
The Canada Standard Loan Company
520 Mclntyre Block, Winnipeg
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for investment in all classes of Securities.
Business Agent for the R. C. Archdiocese of Vancouver.
Fiscal Agent for B. C. Municipalities.
Inquiries Incited
General Manaser Llenl.-Col. «. H. DKKBEll
Canadian Guaranty Trust Company
DIVIDEND NOTICE
Notice is hereby given that a dividend at the rate of
Six per cent, per annum on the paid-up capital of this Com-
pany has been declared for the year ending December 31st,
1920, and the same will be payable at the Head Office, 1031
Rosser Ave.. Brandon, Man., on and after January 3rd, 1921.
Transfer books will be closed from December 15th to
31st inclusive.
By order of the Beard.
JOHN R. LITTLE.
.Managing Director.
22
THE MONETARY TIMES
Volume 65.
WHOLESALK PRICES CONTINUE DOWNWARD
MOVEMENT
SeptenilxT Index Number Lower — Recoveries in Some
Articles
BUILDING PERMITS INCREASE IN OCTOBER
But Show Decrease as Compared With a Year Ago —
Montreal and Winnipeg Report Declines
THE movement of prices was again downward in September.
1920. Many of the important changes were seasonal and
due to large crops and better supplies on the market, but
the tendency to lower levels for raw materials and for some
manufactured goods was still evident. In some cases there
was a slight recovery in the prices of raw materials, indi-
cating that for such articles the usual fluctuations might
now be expected, rather than the steadily rising and falling
markets which had characterized the movement since 1914.
In wholesale prices the index number was lower at
326.6 for the month, as compared with 330.2 for August,
346.8 for July, 349.3 for June, 356.6 for May, 301..5 for Sep-
tember, 1919; 141.3 for September, 1914; 134.4 for September,
1913. The chief decreases wei-e in grains, foods, textiles,
hides, leather and lumber, with the chief increases in dairy
products and fruits.
The following table, as prepared by the Department of
Labor, gives the details: —
(DEPAUTME.NT OF LABOUR
oE.t:
Index
*Sept.
19la
FIGURES)
*Sept.
iy:;ij
*Aug.
1S)20
Sept.
11114
I. Grains and Foudehs :
Gniins. Ontario
6
^
5
15
. 6
6
3
17
9
K
■A
9
§5
3
4
«fi
3
§21
10
t
a
5
■a
8
i
3
2
i
2
■m
I
3
II
11
12
in
33
H
4
10
14
20
14
18
«
4
•i
4
16
16
1
6
7
17
362.9
32().(i
.S47.«
.348. 1
357.1
387.4
230.0
l!)6.ll
3«:i.4
311.1
m.i
2SS.3
.'49.5
lli.6
.'G1.4
■^.i9.7
2fiS.8
21fi.3
2ii7.6
309.9
213.9
402.0
'/:«!. 7
300. S
3.53.2
374.8
179.3
471.0
597.3
.308.7
337.4
205.9
2>(i.7
312. (>
2fil.4
■'82. 9
212.1
273.1
254.4
■102.2
•271.4
349.9
494.5
27.'i.3
437.3
383.6
411.3
513.0
IRi.l
286.2
387.8
245 4
8C8.2
307.8
811.4
401.2
400. n
:«».!
3ID «
372 4
371.3
380 8
253.2
476 B
366 2
31.15.0
217.7
288 3
241.3
133.3
237.2
251 7
.312 7
312.7
216 3
337.1
217.4
433.5
■226.5
'319.3
.^53. 2
390 5
186.9
487,0
507 3
.300.7
3S2.8
2.32.5
310 8
312 6
282 8
282 9
218 0
2.'i6 8
251.4
409.7
267.2
SS2.7
.M6.2
273 3
413.3
393.3
451.3
5il.9
161.1
873.2
3S:i.2
247.1
868. 2
315.1
215.8
404 1
3.10.2
3-;6.o
33S 4
267.0
318.4
351 9
3HH.1
• 2iS I
478 I
361 5
297 2
203 3
245 2
2.7.3
l.iS 0
208 6
260 1
■284.2
230.6
233 4
2T4 0
218.9
294 0
220.9
261.2
378,4
329 2
i<2.n
631 5
458,0
2r2 .S
369 6
5'f2.8
318 5
339 7
420.4
201.3
203 2
213 7
214 8
230 8
243 3
238 6
331.
222 9
42i9
313.7
417.8
391.2
181 4
2;3 8
3oO 3
222.9
III 8
286 8
211 7
151 6
.3'iiT
Western
181,4
All
11. Animals AND Mf.ats:
Hogs and hog products
i 183.1
151.8
216.8
. 200.1
147.1
All
111. DArHV Products
IV Pish :
Prepared fish
l.iS.l
168.1
15a. 7
All
V. Other Foods :
'a) Fruits and vegetables
Fresh fruits, foreign
Dried fruits
Fresh veiietablcs
89.2
138 6
161 9
All
(b) Miscellaneous groceries
150.0
136.U
All
VI.Tkxtiles:
Woollens
Cottons
Silks
Jutes
95! 1
239.4
Fla.\ products
Oilcloths
All
VI 1. Hides. Lkathbr. Boots and Shors:
Hides and tallow
Leather
202.9
1.55 0
Boots and Shoes
All
172.6
100.6
142.9
106.6
113.5
120.5
92.6
103.3
180.6
VIM. Mi:tals and Implcbents:
Iron and steel..
Other metals
Implements
All ;;■■"
I.X.PUEL AND LlOHTlNO-
Fuel
Lighting
All
X. Buii.niNO Materials:
Lumber..
Paints, oils and glass ..
140.6
i:t9.7
llR.fi
141.8
All .■..■:;::■■'
XL House Flbnishinos:
Furniture
Crockery and glassware
Kitchen furnishings
All ...
131.6
133.7
208 6
I3.S.3
109.1
112 8
XII. Drugs and Chtsiicals
XIII, Miscellaneous:
Raw Furs
Liquors and tobacco ',.['."
Sundries
All !;!'.'.'':■■;:
All commodities
S2r,7t
111 3
THE value of building permits issued in fifty-six cities
showed an increase during October as compared with
the preceding month, the total value of building permits
rising from $8,921,374 in September to $9,6(50,538 in Octo-
ber, an increase of $739,164 or 8.3 per cent. Nova Scotia,
New Brunswick, Ontario, Saskatchewan and Alberta regis-
tered increases in this comparison, that of $1,755,977 in Ont-
ario being the most pronounced. Of the reductions recorded
in the remaining provinces, that of $1,418,954 in Quebec
was the largest.
The following are the details as prepared by the Depart-
ment of Labor: —
DEPARTMENT
OF LABOUR
FIGURES
Jova Scotia
'Halifax
New Glasgow.
* Sydney
New Brunswick..
Frcdericton
•.Moncton ........
•St. John
Quebec
•Montreal \
Maisonneuve... / "
'Quebec
Shawinig.->n Falls.
*Sherbrooke
•Three Rivers
•Westmount
On
Belleville
•Brantford
Chatham
•Fort William..
Gait
'Guelph
•Hamilton
•Kingston
•Kitchener
•London
Niagara Falls.
Oshawa
•Ottawa
Owen Sound . .
•Peterborough.
•Port Arthur...
•Stratford
•St. Catharines
St. Thomas
Sarnia
Sault Ste. .Mar
• Toronto
Welland
'Windsor
Woodstock
Manitoba
•Brandon
St. Boniface..
'Winnipeg
Saskatchewan .
•Moose Jaw. . .
•Rcgina
'Saskatoon ...
Alberta .
•Calgary
•Edmonton....
Lcthbridgc. . . .
Medicine Hat.
British CoLunniA..
Nanaimo
•New Westminster
Point Grey
Prince Rupert..
South Vancouver.
•Vancouver
•Victoria
! off the market, fruits.-vegetable
nhcr varies from month to i
Total-56 cities..
•Total— 35 cities.
September
October,
October,
1920
1920
1919
s
s
i
1.200
1,200
10,000
Nil.
199,450
501.5.56
1,. 524.803
80,080
339,596
1,445,935
1 1 ,300
9'20
6,100
108,070
161.040
72.768
172,415
231.523
134,665
12,800
5.600
7,000
50.915
166,573
43,125
IU8.70O
59.350
84.540
2.404.380
985,426
2,598.609
1,250,740
725.526
1,519,992
174,290
112.335
518,747
12.800
25.000
5,500
688.600
23,600
71.500
58.750
54,700
292.605
119.200
44,265
190,265
4,305.093
6.061.070
4,739,658
6,.500
13,200
6,600
50.275
68.775
43,880
27.790
24.615
5,800
10.025
505,400
14.475
63,8.50
4.500
.57,2,55
35,585
28,870
83.642
328,400
325.400
251.485
6.970
18.920
3!, 085
71.9'2S
187.490
26.685
273,175
267,305
178.145
142.400
47,200
251,275
52,400
18,900
113.125
312,255
721.049
298.680
Nil
15.000
3.000
20.685
211,966
99.390
21,396
10,910
33,465
42.705
34.093
7.636
58.656
40.925
112,236
27.735
13,755
20,425
.55,180
68,205
79,889
58.925
124,325
39,950
2.180.000
2,844.372
2.490.936
19.600
12,.565
48.050
373.530
424,025
425.715
65.131
29,305
16.824
638,095
618,550
463.174
1.100
275.975
6.304
41.195
12,425
83.920
595,800
330.150
373,250
201,760
220,945
■262,220
32.160
99.100
69.700
141,100
68,050
151.2,50
28,500
53,795
41.270
211.425
498..S20
273.211
96,600
418.000
179,200
41,925
72,680
80.541
64.900
5,290
2.400
8.000
2.8.50
11,070
778.756
541.448
393.814
19,265
11,185
16.574
19,700
15,400
16,400
242.345
132,970
106,100
7.030
17,200
31, .540
56.800
69.490
22.855
.379.266
258.833
164,080
54,350
36,370
36,-265
8.921,374
9,660,538
10,390,454
7.943.163
9.018.593
9,475,627
December 17. 1920
THE MONETARY TIMES
23
Saskatchewan General Trusts
Corporation, Limited
Head Office: Regina, Sask.
Executor Administrator Assignee Trustee
Special attention given Mortgage Investments, Collections,
Management of Properties for Absentees and
all other agency business.
BOAKD OF DIRECTOBS:
W. T. MOLLARD, President G. H. BARR. KC. Vice-President
H.E. Sampson K.C. A. L. Gordon. K.C. J. A M. Patrick. K.C.
David Low, M.D. W. H. Duncan J. A. McBride
Chas. Willoughby William Wilson
E. E. MURPHY. General Manager
Official Administrator for the Judicial District of Weyburn
(Trustee under Bankruptcy Act)
Providing for Education
In times of prosperity make certain that the education
of your children will be provided for in case of a reversal of
fortune. By placing a trust fund with us for investment,
an income can be provided to begin at any time and be
administered under any conditions you see fit to incorporate
in the agreement. Write us for particulars.
Chartered Trust and Executor Company
46 KING STREET WEST, TORONTO
JOHX J. GIBSOfJ. .Managing Director.
National Trust Company
Limited
DIVIDEND NOTICE
Notice is hereby given that a Dividend for the
three months ending December 31st, 1920, at
the rate of
TWELVE PER CENT. PER ANNUM
has been declared on the paid-up Capital
Stock of the Company, and that same will be
payable on and after January 2nd, 1921.
The Transfer Books will be closed from the
21st to the 31st of December, both days
inclusive.
By order of the Board.
W E. RUNDLE,
General Manager.
Toronto, December 1st, 1920.
A Newspaper Devoted to
Municipal Bonds
'T'HERE is published in New York City a daily
* and weekly newspaper which has for over
twenty-five years been devoted to municipal
bonds. Bankers, bond dealers, investors and
public officials consider it an authority in its
field. Municipalities consider it the logical
medium in which to announce bond offerings.
Write for free specimen copies
THE BOND BUYER
67 Pearl Street New York, N.Y.
A Change Worth Considering
If your Will is already drawn — and if a relative has
been named as Executor we aslc you to consider a change
to the Canada Trust Company.
It will take but a few moments to make the change by
the addition of a codicil to the Will.
In future years your action will mean much to your
loved ones in experienced management and impartial divi-
sion of your possessions.
The C^xada Trust Cor'iFAXY
'■ The executor for your estate"
London St. Thomas Windsor Winnipeg 2
Regina Edmonton Toronto
w
E have 450 good businesses for sale in the central
portion of Alberta. Everything from a General
Store to a small Confectionery
If you want a business in Alberta you want us.
WHYTE & CO., LIMITED
111 Pantages Building - Edmc
MAHAN-WESTMAN, LIMITED
SUCCESSORS TO T. MERF.PITH. LIMITED
FINANCE INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
Dr. J. W. .MAHA.N' J. A. WEST.MA.N
President Manafiinft Director
The Security Trust Company, Limited
Head Office - - Calgary, Alberta
Liquidator. Trustee, Receiver, Stock and Bond Brokert,
Administrator, Executor. General Financial Agents.
W. M. cnWACHER Pres. and .Managing Director
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
THE MONETARY TIMES
DEKICir KOK DOMINION IN NOVEMBER
Expenditure Increased by Interest Payments on War Loan?
—A Surplus for Eight Months
NOTWITHSTANDING a handsome increase in revenue, the
Dominion government had a deficit in November. The
reason for this was the payment of interest on war loans,
which brought ordinary expenditure up to nearly $58,000,000
for the month, as compared with less than $28,000,000 for
the previous month. The showing for the eight months, how-
evei-, has a very healthy appearance, there being a surplus
of about $.')S.000,O0O. E.xpenditure on capital account is more
than $224,000,000 below the figure of last year. The net debt
increased nearly $2.5,000,000 last month, as against $40,000,-
000 last year and a decrease of $2,(334,8.56 in the previous
month.
PUBLIC DEBT
I.IABILITIKS
FUNDKO DkBT—
Payable in Canada
do in London
do in New York
Temporary Loans
Bank Circulation Redemption Fund
Dominion Notes
S-wiscs Banks—
Post Office Savings Banks
Dominion Oovernment Savings Banks
Trust Funds
Province Accounts
Miscellaneous and Banking Accounts —
Total Gr
; Debt .
Investkirnts —
Sinking Funds
1919 1920
Other Inv'tm'ts.. 8375.282.804 2;t $472,783,331 36
230.06.5.881 70 314,363,599 36
1784.770.207 65 , 2070.899.G68 9.
336.001.469 72
135.873.000 00
629.893.731 63
5.959,083 IS
314.347,974 42
33,316,914 16
11.61,5,251 59
12,478,993 70
11,920,481 20
46.144.160 41
336.001.469 72
135,873.000 00
89.843.000 00
6,311, .522 76
301,961.476 42
30,027.127 99
9.784.883 43
13,365.843 33
11,920.481 20
36.599,510 10
3322.321 ,267 63 3042,587.983 90
145.216.922.53 1.58.419,732 00
•incc Accounts.
19.684,813 35 24,236,500 71
145.216,922 53 158,419.732 00
1.054,672.842 51 .558.850.619 34 10.54.672.842 51 ,558.8,50,619 34
sets 1221,870,906 39, 743,803,179 95
24,902,997 33
Month of I Total to 30th
Nov.. 1919
Revenue —
Customs
Excise
Post Office
i»bc. Wks..Rys.&Cs.
War Tax Revenue-
Inland Revenue.
Business Profit Tax
Income Tax
Other War Tax Rev.
Other Revenue Accts
13.622.070 46
3.955.515 88
1.800,000 00
6,720.421 93
1,856,180 43
1,814,997.57
397..538 09
393.SS7 88
1.0.58.288 98
103,1,34.801 59
27.731.028 06
12.800.000 00
30.337,459 61
9.96:, 127 62,
19,602.972 78
2.343,957 67
981,2.56 18
11.128,891 95
Month of
Nov,. 1920
Total to 30th
Nov.. 1920
S cts.
S cts.
11. .5.50.642 47
3.668.928 04
2.000.000 00
4.974,9.53 48
124.376.063 22
iB.072.771 55
14.100,000 00
31,593,273 23
9.981.372 05
2,771,938 23
1.845,478 41
55S.340 24
2.165.660 98
48,%7,363 3fi
19.661.6.58 6;!
9.142.990,52
1.133,301 .53
21.(U6.S.59 62
39.517.313 90
296,094.281 G6
n Public Debt.
ulture
Agr
Pensions
Pub. VVks, Con. Fi
Post onice
Dom. Lands * Pa
Soldiers Ld. Settl
• Civil Re-Estab
Other Expend. Accts
Total
ks
Public Works, includ'g
Railways and Canals
Railway Subsidies
22.751.797 39
499.335 72!
2.972,399 85'
291.371 95
3.199.519 70
319.615 14
5.911,140 67
2.423.817 06
5.117.724 76
43.486.722 24
16.382.853 74
4,57,3,087 42
73,219,003 95
2,864,949 90
13,695,475 66
3,982.216 81'
12.861. .561 19
2.014.445 43i
24.556,819 981
16.600.679 06
5■>.740.^^76 77
202..536.12R75
34,964,102 22
494.837 07
4,704,077 42l
1,3,16.981 .57
2.736.326 27
427.888 57
9.119.842 47
4.163 786 47
l8.i29.R3Ji 13
57.9.57.995 25
98,240.317 68
3.073.016 88
20.690,477 00
■ 5.124,4,57 43
12.J,W,0:l8 IS
2.718,633 IW
1,687,031 80
23,129,697 65
71,2,50,239 29
238,348.909 53
222.468,561 15
251,119,990 03|
l.15«.023 95l 8.963..541 78
4.052,35104' 18.049.405 84
S.208,374 99 27.012.947 62
The gross debt of the Dominion of Canada at the end of
November was $3,042,587,983, compared with $3,045,508,861
at the end of October, according to the monthly statement
just issued by the finance department. The net debt was
$2,298,784,803, compared with $2,273,881,806, an increase of
$24,902,997. Last year the increase in the net debt during
November was $39,644,657.
The funded debt payable in Canada is shown as $2,070,899,-
068, as compared with $2,062,919,864 at the end of the previous
month. A comparison of last month's report with former
statements this year also shows slight differences.
In a statement to Tke Motietary Times the finance de-
partment gave the following details regarding this increase: —
Increase. Decrease.
5'/, debenture stock, 1919 $ 2,000.00
5'-'f debenture stock, 1922 $1 .017.000
War savings loan 556,351.20
Dominion of Canada savings certifi-
cates 30,349.25
War savings and thrift stamps 42,094.82
Victory loan, 1918 : ■ • 100,000.00
Victory loan, 1919 7,693,600
Net increase, $7,979,804.73.... $8,710,600 $730,795.27
The increase of $1,017,000 in 5 per cent, debenture stock
due 1922, is due to an issue of this stock on account of School
Lands Fund of the provinces of Alberta, Saskatchewan and
Manitoba.
The increase of $7,693,600 in Victory loan, 1919, is due
to an adjustment from Victory loan, 1919, suspense account
made during the month. At the close of the fiscal year all
subscriptions to this loan, which were not fully paid up, were
transferred to this suspense account. These included sev-
eral large special subscriptions on which most of the pay-
ments were completed on October 31.
Regarding the decreases, these are due to redemptions.
Prior to November, the funded debt payable in Canada had
shown monthly declines, which are accounted for in the re-
demption of three-year war savings certificates issued during
1917 and war savings and thrift stamps.
The revenue for the month was $39,517,313, and the ex-
penditure $57,957,995. Included in the latter was $34,964,102
of interest on public debt.
NOIM'HKKN LIFE REVISES FIELD METHODS
In connection with its field work, the Northern Life In-
surance Company announces that it has arranged a con-
tract for full-time a.gents that pays a lovv'er first commission
and three comparatively higher deferred commissions with
a renewal commission as well. In addition to this it has
adopted a pension scheme at the end of twenty years, and
has included a bonus scheme in conjunction with the pension.
The field organization has been changed so that there
will be twenty main offices, each one with a complete equip-
ment for the service of policyholders, being a duplicate
throughout of the head office records with regard to every
policy in the given area. These areas are under the charge
of capable and experienced men who have a successful history
behind them, and the whole authority for the development
of men, either as district managers or whole-time agents, and
the whole service to policyholders is in the hands of the
agency managers. All superintendents and inspectors
which are in the nature of a superstructure between the
field and direct head oflice contact have been eliminated.
Starting with January 1, this company will not have on its
books any contracts with men who are not holding our
regular standard full-time contract, arid it has adopted
methods that include a probational period of ninety days for
proving up and instructing part-time men who are desirous
of undertaking the life insurance business. From January
1 on it will charge a fee of $10 for a contract with the com-
pany and for the service and instruction.
December 17, 1920
THE .MONETARY TIMES
DIVIDENDS AND NOTICES
International Petroleum
Company, Limited
NOTICE OF DIVIDEND No. 1
Notice is hereby given that a dividend of 25 cents United
States Currency per share has been declared by the Directors
of the International Petroleum Company, Limited, and that
the same will be payable on or after the 3rd day of January,
1921, in respect of the shares specified in any Bearer Share
Warrants of the Company upon presentation and delivery
of coupons No. 1 attached to the said Bearer Share Warrants
at the following Banks: —
The Royal Bank of Canada, 60 Church Street, Toronto,
Canada.
The Farmers' Loan and Trust Co., 16-22 William Street,
New York, N.Y.
The Farmers' Loan and Trust Co., Limited, 26 Old Broad
Street, London, England, or
The OflBces of the International Petroleum Co., Ltd., 56
Church Street, Toronto, Canada.
The payment to shareholders of record whose shares are
fully paid up at the close of business on the 31st day of
December, 1920, and whose shares are represented by Regis-
tered Certificates will be made by cheque, mailed from the
offices of the Company on the 31st day of December, 1920.
By Order of the Board.
J. R. CLARKE,
Secretary.
56 Church Street, Toronto, Canada.
1st December, 1920. 300
DIVIDEND NOTICE
Notice is hereby given that Dividends have been de-
clared by Provincial Paper Mills, Limited, as follows: —
Regular Quarterly Dividend l%7c on Preferred Stock.
Regular Quarterly Dividend 1%% on Common Stock.
Special Dividend 1% on Common Stock.
All payable on January 1st, 1921, to Shareholders of
record at close of business December 15th, 1920.
(Signed) S. F. DUNCAN,
309 Secretary.
THE BANK OF TORONTO
ANNUAL MEETING
The Annual General Meeting of Shareholders of this
Bank will be held at the Banking House of the Institution,
corner of King and Bay Streets, Toronto, on Wednesday, the
twelfth day of January next, the chair to be taken at noon.
THOS. F. HOW,
, General Manager.
The Bank of Toronto,
Toronto, November 20th, 1920. 323
The Royal Bank of Canada
ANNUAL MEETING
The Annual General Meeting of the Shareholders of the
Bank will be held at the Head Office, 147 St. James Street,
in the City of Montreal, on Thursday, the 13th day of Jan-
uarj-, 1921, at 11 o'clock a.m.
C. E. NEILL,
General Manager.
Montreal, December 1, 1920. 297
Tenders for Capital Stock
OF
The Consumers^ Gas Co.
of Toronto
Sealed Tenders, addressed to The Consumers' Gas Com-
pany of Toronto, 19 Toi-onto Street, Toronto, Ont., and
marked "Tender for Capital Stock," will Be received by The
Consumers' Gas Company of Toronto until 12 o'clock noon
of the 5th day of January, 1921, for the purchase of twelve
thousand seven hundred and eighty-six (12,786) shares of
the unissued capital stock of the said Company (each share
having a par value of $50.00), subject to certain conditions
and terms of sale, the particulars of which, together with
the form of tender to be used, may be had on application at
the office of the Company at the above address.
Dated at Toronto, this 10th day of December, 1920.
By order of the Board of Directors.
ARTHUR HEWITT,
General Manager. 321
DOMINION TEXTILE COMPANY, LIMITED
NOTICE OF DIVIDEND
A dividend of two and one half per cent. (2^2 9c) on-
the Common Stock of the Dominion Textile Company, Limited,
has been declared for the quarter ending 31st December,
1920, payable January 3rd, 1921, to shareholders of record
December 15th, 1920.
By Order of the Board.
JAS. H. WEBB,
Secretary-Treasurer.
Montreal, 6th December, 1920. 313
26
THE MONETARY TIMES
niVII>ENI> NOTICKS
THK KKAI, ESTATE LOAN CO. OF CANADA, LIMITED
Dividend No. 68
Notice is hereby given tiiat a Dividend at tlie rate of
three and one-half per cent, for the half-year ending :Ust
inst. has been declared upon the Capital Stock of the Com-
pany, and that the same will be payable at the offices of the
Company in Toronto on and after Monday, 3rd January, 1921,
to Shareholders of record on December 18th.
By Order of the Board.
E. L. MORTON,
Manager.
Toronto. 9th December, 1920. 318
THE CANADIAN CROCKER- WHEELER CO., LIMITED
DIVIDEND NOTICE
The directors of The Canadian Crocker-Wheeler Com-
pany, Limited, have declared a One and Three Quarters per
cent. (1%9'r) dividend on the preferred stock of the Com-
pany for the three months ending December 31sl, 1920, to
shareholders of record December 21st, 1920. Also a dividend
of One and Three Quarters per cent. (1%%) on the common
stock of the Company for the three months ending December
31st, to shareholders of record December 21st, 1920.
The Stock books will be clcsed from the 21st to the
31st of December, both days inclusive.
Checks will be mailed to shareholders on December 31st,
1920.
By order of the Board.
H. A. BURSON,
Secretary.
St. Catharines, December Cth, 1920. 310
THE OGILVIE FLOUR MILLS COMPANY, LIMITED
DIVIDEND NOTICE
Notice is hereby given that a quarterly dividend of three
per cent, has been declared on the Common Stock of the
Ogilvie Flour Mills Company, Limited, payable Monday, the
third day of January, 1921, to Shareholders of record at the
close of business Wednesday, the twenty-second day of De-
cember, 1920.
By Order of the Board.
G. A. MORRIS,
Secretary-Treasurer.
Montreal, December 13th, 1920.
DOMINION CANNERS, LIMITED
DIVIDEND NOTICE
PREFERRED STOCK
Notice is hereby given that the quarterly Dividend of
one and three-quarters per cent, has been declared on the
Preferred Stock of the Company.
The above Dividend is payable on January 3rd next to
Shareholders of record at the close of business on December
18th next.
Bv Order of the Board.
W. R. DRYAN,
Secretary-Treasurer.
Hamilton, December 10th, 1920. 317
THE STANDARD TRUSTS COMPANY
DIVIDEND No. 33.
Notice is hereby given that a dividend at the rate of
9% per annum on the paid-up capital stock of The Standard
Trusts Company has been declared for the half-year ending
December 31st, 1920, and that the same will be payable at
the Company's offices in Winnipeg on and after January
2nd, 1921.
By Order of the Board.
WILLIAM HARVEY,
311 Managing Director.
CANADIAN CAR AND FOUNDRY COMPANY, LIMITED,
MONTREAL
DIVIDEND NOTICE
Notice is hereby given that a Dividend of Twenty-two
and Three-quarters per cent. (22%%) has been declared
upon the Preference Shares of this Company, in full of
arrears of Dividends accrued on such Shares, payable on De-
cember 31st, 1920, to Shareholders of record December 24th,
1920, in negotiable interest bearing Scrip, the principal
amount whereof shall be payable on the 24th day of Decem-
ber, 1927, with interest at the rate of six per cent. (6%) per
annum, payable half-yearly, on the 24th days of June and
December.
By Order of the Board.
A. C. BOURNE,
Secretary.
Montreal, December 1.5th. 1920. 328
DOMINION POWER AND TRANSMISSION CO., LIMITED
Notice is hereby given that Dividend No. 43, at the rate
of seven per cent. (T:'r) per annum on the Cumulative
Preference Stock of this Company has been declared for the
half-year ending December 31st, 1920, and that the same is
payaijle on January 15th, 1921, to Shareholders on record on
the 31st day of December, 1920.
The Transfer Books for the Preference Stock of the Com-
pany will be closed from the 2nd of January, 1921. to the
15th day of January, 1921, both dates inclusive.
By order of the Board of Directors.
WM. C. H.AWKINS,
Secret.iry.
Hamilton. Ont., December 11th, 1920. 319
Condensed Advertisements
" Positions Wanted." ;tc per word : .ill other condensed advertisements
5c. per word. Minimum charge for any condensed advertisement. 63c
per insertion. Ali condensed advertisements must conform to usual
style. Condensed advertisements, on account of the very low rates
charged for them, are payable in advance; .SO per cent, extra if charged.
EXECUTIVE. — Age 35. Twenty years' experience.
Eight years in Railway Operating and Construction Depart-
ments, twelve years in Accounting Department, past five
years as General Auditor. Expert Accountant, thorough
knowledge of railway and construction materials, well in-
formed in financial matters, seeks engagement. Box 366,
^fotlctary Times, Toronto.
December 17. 1920
THE .AI O N E T A R Y T 1 .M E S
27
Lubricants
r Manufacturing,
ning and Milling
CYLINDER OILS
Oil
ii Valve on
li Cyl
il Capitol Cyl
II Beaver Cy
il20tn Centl
ENGINE OILS
il Solar Res Oil
Il Atlantic Red Oil
II Junior Red Oil
Il Bayoni>e Engine Oil
II Renown Oil
11 Gat Engine Oil
Il Arlo Comprestor Oil
Continuous Economical Service
IMPERIAL Lubricants have honestly earned
their reputation for high uniform quality and
dependable service through years of use in
Canada's foremost industries.
Through perfect lubrication of all machinery
parts, Imperial Lubricants reduce friction and
increase power. Greater production, minimum
depreciation and real savings in fuel and oil result.
Plant operation is made more profitable by
the standardized use of Imperial Lubricants.
Each grade performs a definite lubrication function.
Ample supplies — all grades — are always con-
veniently available. Prominent manufacturers
use and recommend Imperial Lubricants.
Thirty Years of Satisfaction
We have used Imperial Lubricants continuously
for 30 years or more and have found them uniformly
satisfactory.
— Christie Brown Co. Limited.
Cuts Lubricating Costs 20%
We find your lubricants of high standard and
uniform quality. ]Ve have standardised on Imperial
Solar Red Oil for general use throughout our mills.
It has cut our lubricating costs approximately ^0%.
— Provincial Paper Mills Limited.
Imperial Lubrication Engineers will gladly
help you solve your particular lubrication prob-
lems. Write to" 56 Church St., Toronto,
IMPERIAL OIL LIMITED
Power -Heat -Li^ht-Lubrication .
Five Ganacli an Refineries Branches In All Cities
i 11 E .MONETARY TIMES
Volume 65.
Reciprocity's Effects Would Now be Different
Great Change in Canada-United States Trade Relations Alters Situation,
says United States Tariff Committee— Our Imports Now $126,000,000—
In 1911 They Were $33,500,000 — Political Factors Also Changed
RECENT tariff concessions made by Canada in favor of
the West Indies, and the movement for preferential
treatment for Imperial trade have revived the inquii-y in the
United States as to what further reciprocal agreement that
country can secure with Canada. The proposed revision of
the Canadian tariff is considered as making the present
time opportune, especially as some revisions in the United
States tariff are also expected shortly. Notice is also being
taken of the demands of the Liberal and Farmer-Labor
parties for a renewal of reciprocity with the United States.
Meanwhile, the United States' offer of reciprocity to Canada
still stands upon the statute books, although a bill for its
repeal passed the House of Representatives last year.
The United States Tariff Commission has just completed
a careful study of the effect on commerce that the measure
would have had if it had been accepted by Canada in Hfll.
At the same time the vast changes in trade which liavc
taken place since that year are pointed out.
The commission outlines at some length the political
situation in the United States and Canada at the time of
the passage of the act by congress and notes what appears
to be the present feeling towards reciprocity in the Dominion.
In the Uinted States reciprocity was in accord with a move-
ment against high duties which was felt in both parties.
The Republicans who were opposed to the tariff of 190S)
might have been expected to follow President Taft in his
support of the measure. These so-called "insurgents" came,
however, largely from agricultural constituencies, and be-
cause the chief duties removed were on agricultural pro-
duets, many of them voted against the bill as a discrimina-
tion against the farmer. Both the "insurgent" and the
"regular" Republicans showed a majority against the bill;
but sufficient Democratic votes were cast for it to effect its
passage. Reasons for the defeat of the measure in Canada,
in addition to the opposition of the interests directly affected,
were numerous. Among them were resentment arising from
the earlier attitude of the United States towards reciprocity,
the strength of the idea of imperial unity and the fear,
however ill-founded, that the agreement was prompted by
folitical motives, and would lead to an ever-growing ce-
pendence of Canada on the United States. Present Canadian
support of reciprocity comes from the Liberal party, which
was defeated on this issue in 1911, and the Farmer-Labor
party, which has shown political strength in the Dominion
during the past year.
Probable Effects of Reciprocity
The report contains an extended statistical study of
the effect which the agreement would had, if adopted ( 1 ) at
the time it was drawn up, and (2) at present. ... At the
first date the value of imports into the United States from
Canada which would have been put on the free list or re-
duced in duty was $43,000,000; of these in the opposite
direction, $;J3,590,000. The proportion of trade affected
would have been, however, very different for the two coun-
tries. Of imports into the United States from Canada, 4fi
per cent, would have been changed, % of these going on the
free list, the remaining sixth being reduced in duty; of im-
ports into Canada from the United States, 1.5 per cent, would
have been changed, % of these being made free, % re-
duced in duty. In the second comparison, trade figures for
1918 are used as indicative of the present situation. The
cl-.angeE. which the adoption of the treaty would make under
the rates now in force in each of the countries differ from
those just given, most niarkcdlv so in the case of imports
into the United States. For Canada, the rates taken are
those in force since May 19, 1920, not considering the excise
taxes laid by the Dominion parliament and enforceable from
that date, falling upon imported goods as well as those
made in the Dominion. In 1918 imports into the United
States from Canada which would have been affected
a)i,tunted to $31,000,000; those in the opposite direction, to
$126,000,000. The proportion of trade affected is not so
markedly different as before; of imports into the United
States fiom Canada, 7.2 per cent, would have been affected,
-r-ii of these being made free, the remaining twenty-fourth
reduced in duty; of imports into Canada from the United
States, 16 per cent, would be affected, ',4 of these going on
the free list, the remaining- % being reduced in duty. . . .
The United States, the commission concludes, would to-day
be granting less of a concession to Canada through the adop-
tion of the agreement now than at the time proposed, Canada
a somewhat greater one.
The reason for the differences pointed out between the
effect of the agreement to-day and when proposed have been
due, to a gi'eat extent, to the fact that the tariff of the United
States has undergone a thorough revision, while the same
tariff is in force in Canada as at the earlier date. Many
changes, it is true, have been made, but these are slight as
compared with the differences between the tariff acts of 1909
and 1913. A second cause for the difference lies in the large
increase in the value of the trade between the two countries
since the outbreak of the war in Europe, an increase largely
attributable to the rise in prices, although to some extent
due to an increase in the commodities exchanged by the two
countrie.s.
Articles Specially Affected
The articles which would be especially affected by the
present adoption of the proposed rates are flaxseed, oats,
hay and barley. The last of these is not of great importance.
The bulk of the imports of hay into the United States from
Canada go to the northeastern sections of the country, since
the transportation costs for such a bulky commodity are
high. As to oats, it may be noted that a portion of Canada's
production is of fine grade, suitable especially for the manu-
facture of rolled oats. Although she produces only Vs as
much as the United States, her annual exports are greater.
With the present duty of Go. per bushel, which is more than
the pre-war freights from Montreal to England, the bulk of
the exports go to Great Britain, except in years of crop
shortage in the United States. The removal of the duty, as
contemplated in the reciprocity agreement, would, the com-
mission concludes, result in increased imports and in increased
returns to the Canadian farmers, although not greatly affect-
ing general oat prices in the United States.
Flaxseed, which, from the point of view of the value of
the imports into the United States, is the most important
of those articles now dutiable to be made free by the recip-
rocity agreement, presents unique features. It is essentially
a frontier crop, the cultivation of which is now being ex-
tended rapidly in the prairie provinces of the Dominion. It
is not profitable when raised continuously on the same
ground, is not a "weed fighter," and for these and other
reasons is not a popular crop with the farmer. The present
United States duty is 20 cents per pound, equivalent to 6',i
per cent, ad valorem on the 1918 imports. With this duty,
one-half of the United States requirements are imported.
Canada's surplus has not been sufficient to meet the growing
American shortage, and .Argentina has become the chief
source of foreign supply. The most marked effect which
would result from the removal of the duty, the commission
concludes, would be an increase in the prices the Canadian
grower would receive for his flaxseed rather than a reduc-
tion in the American price.
December 17, 1920 THEMONETARYTIMES 29
I""""""" Illlllllllll I Illlllllliiiii iiiiiiiiiii mil iiiiiiiiiiiiiiiiiiiii iiiiiiiiiii lilllllllllllll!lllllllllllllli«i:
j CHARTERED ACCOUNTANTS \
'"""" ■■>»>iiiii IIIIIIIIIII iiiiimiiiiiiMiiii iiiiMiiiiiiii iiiiiiiiii iiiiiiiiiiiimiimiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii^
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OFFICES AT
Edmonton - . Alberta
Toronto . . Ont
CHARLES D. CORBOULD
Chartered Accountant and Auditor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipeg
.Eng .
Mowat, MacTavish & Co.
Chartered Accountants
David Mowat Donald MacTavish
712 Canada Building
SASKATOON. Sask.
W. A. Bawdbn,
Walesl.
C.A. (P.C.A
F H. Km
Engia
D.C.A.
nd and
BAWDEN
, KIDD
&
CO.
Chartered Accou
ntants 1
CENTRAL BUILDING, VICTORIA
Branch at Nanaimo, B.C.
, B.C.
Telegraph
•• NedM
c and Cable Address
ab," Victoria. B.C.
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 Confederation Life Building
Winnipeg
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Specialist on Taxation Problems
Banl< of Toronto Chambers
LONDON ONTARIO
Established 1882
W. A. Henderson & Co.
Chartered Accountants
508-509 Electric Railway Chambers
Winnipeg, Man.
J. J. Cordner. C.A.
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:-
HAMILTON
WINNIPEG
CLEVELAND
Hubert Reade & Company
Chartered Accountants
Auditors, Etc.
407 408 MONTREAL TRUST BUILDING
WINNIPEG
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRIGGS & CO.
Chartered AccuuntauH. Auditors.
Trustees. Liquidators
Winnipeg, Toronto, Saskatoon, Moose Jaw,
Montreal, New York, London, Eng.
SERVICE
Thorne, Mulholland, Howson & McPherson
CHARTERED ACCOUNTANTS
Specialists on Factoi.v Costs ami Production
Bank of
Hamilton Bidg.
TORONTO
F. C.S. TURNER & CO.
Chartered Accountants
TRUST & LOAN BUILDING, WINNIPEG
GEO. O. MERSON & COMPANY
CHARTERED
Telepho
LUMSDEN BUILDING
ACCOUNTANTS
>e Main 7014
TORONTO, CANADA
R. Williamson, C.A., J. D. Wallace. C.A.
A. J. Walker. CA. H. A. Shiach, C.A.
RUTHERFORD WILLIAMSON & CO.
Chiirtered Accountiints, Trustees and
Liqitidators
8fi AuKLAir.E Strket East, TORONTO
G04 McOiLL UUILUINO, MO.NTREAL
Cable Address-" WILLCO."
Represented at Halifax. St, John, Winnipeg,
CLARKSON,
Charte
R
Merchants Bank Bide-.
E. R C. Clarkson
H. D. Lockhart Gordon
GORDON & DILWORTH
red Accountatits. TrusteeB,
eceivers, LiQuidators
IS Wellington Street West Toronto
0. T Clarkson
Established 1864 r j uihvorlh
Your Card here tvoultl ensure it being
seen by the principal financial and
commercial interests in Canada
Ask about special rates for
thiL page.
30
THE MONETARY TIMES
Volume 65.
ACTION ON AUTOMOBILE INSURANCE POLICY
Insurance Company Not Liable Where Motor Car Fell Into
Water from Ferry at Wharf
IN an action upon a policy of automobile insurance issued
by the British F.mpire Undci-writers Agency, insuring
one Wampler against loss in respect of an automobile, Justice
Orde, of the Ontario Supreme Court, held that damage to
Wampler's car while being unloaded from a ferry boat,
caused by the boat backing away and allowing the car to
drop into the water, was not covered by the policy, the loss
not having been caused by the stranding, sinking or collision
or burning of the ferry boat.
The facts of the case and decision of his lordship are
as follows: "The action is brought to recover the loss sus-
tained by the plaintiff in respect of a motor car upon which
he was insured by the defendants. The car at the time of the
accident was in charge of a son-in-law of the plaintiff. He
and his wife were crossing with the car from the mainland
to Walpole Island upon a ferry which was operated by
means of a chain. When the ferry reached the island he was
told it was all right to go ahead, and he proceeded to drive
the car off the ferry on to the land. While he was doing so,
after the front wheels had reached the land, the ferry began
to move away, with the result that the car dropped into the
water.
"The car was manufactured by Dodge Brothers, of De-
troit, and after being raised from the water was taken to
Detroit to be repaired. The cost of raising the car and of
the repairs and new parts, together with duty and exchange,
came to $1,202. By the statement of claim the plaintiff claims
to recover ?1,13L"
What the Policy Covered
The material part of the endorsements of the policy is
as follows: —
"In consideration of $28.05 premium . . . it is hereby
understood and agreed that this policy is extended to cover
the insured to an amount not exceeding $1,700 on the body,
machinei-y and equipment while within the limits of the
Dominion of Canada and the United States, including while
in building, on road, on railroad- ear or other conveyance,
ferry or inland steamer, or coastwise steamer between ports
within said limits, subject to the conditions before mentioned
and as follows: —
"(A) Fire, arising from any cause whatsoever, and
lightning.
"(B) While being transported in any conveyance by land
or watei- — stranding, sinking, collision, burning or derail-
ment of such conveyance, including general average and sal-
vage charges for which the insured is legally liable.
"(C) Theft, robbery or pilferage, excepting . . ."
One of the defences is that the loss is not covered by the
policy, not having been caused by the stranding, or sinking,
or collision, or burning of the ferry boat from which the car
slipped into the water. I have given this question much
thought, and have come to the conclusion that this defence
must be sustained.
"Clauses (A), (B) and (C) are intended, in my judg-
ment, to define the three kinds of risk assumed by the in-
surers: (A) Covering fire, that is, fire destroying or dam-
aging the car itself, and lightning; (B) covering loss while
being transported in any conveyance by land or water; and
(C) covering 'theft,' 'robbery' and 'pilferage.' It must be
observed that in clauses (A) and (C) the nature of the risk
is definitely described by nouns, namely, 'fire,' 'lightning,'
'theft,' 'robbery' and 'pilferage.' Tlie corresponding words
in clause (B) are 'stranding,' 'sinking,' 'collision, 'burning'
and 'derailment.' And the risk which the policy assumes is
the stranding, sinking, collision, burning or derailment of
the conveyance containing the motor car while being trans-
ported by land or water. It is not the stranding, sinking, etc.,
of the motor car itself which is covered, but of the convey-
ance; and any damage to the motor car resulting from any
such accident to the conveyance would be covered by the
policy. The opening words of the clause are to be interpreted
solely as marking the occasion upon which any of the speci-
fied accidents to the conveyance will entitle the insured to
recover.
"For these reasons I am of the opinion that the peculiar
accident which in the present case caused damage to the
plaintiff's motor car was not contemplated by the terms of
the policy, and is not covered by it."
BANK OF TORONTO WINS CASE
In the Ontario Supreme Court the action of the Bank of
Toronto against Caleb Green, Margaret Green, Harold D.
McCormick and Taylor McVeity, arising out of a mortgage
and the payment of moneys on notes, has been decided against
Mr. and Mrs. Green. McCormick was the endorser of the
note, and Mr. McVeity occupies part of the premises in
question. The court ruled that Mr. and Mrs. Green were
primarily responsible as to the payment of money to the
bank. If they fail, Mr. McCormick as endorser of the note
would be next liable. The court also gave the applicants a
decision whereby they can on one month's notice cause Mr.
McVeity to vacate the premises in question.
ACTION REGARDING SUSPICIOUS FIRE
The action of Campbell Quinn, former garage owner,
of Perth, Ont., against the North British and Mercantile
Fire Insurance Co., arising out of the payment of a fire in-
surance policy for $1,500, came before the Supreme Court of
Ontario a few days ago. The testimony of witnesses showed
that the fire started from an unknown origin on the 8th of
July, 1919, eighteen days after insurance had been placed on
the pi'operty. Campbell Quinn estimated his loss at $3,500.
He said he had only seen the insurance agent once after the
fire and that he had not read the terms of his insurance
policy.
A Bowser gasoline tank and pump, a Delco lighting sys-
tem, four storage batteries and other garage equipment were
destroyed in the blaze, according to witness. In cross-exa-
mination Quinn said he had been in business three years
and had not insured his plant until about eighteen days
before the fire occurred. He had not, he told the court, the
"slightest idea" as to how the fire stai'ted. A. E. Fripp,
K.C., M.P., counsel for the insurance company, asked wit-
ness if he had not told his partner. Empey, that both of
them had their money sunk in the business and that as they
were not g-etting on very well they could put on insurance
and set fire to the place. Witness denied this. He also
denied that he had told a Mr. Daniels that he (witness)
could set the place on fire by some wires, gasoline and a
motor. He also denied he had ever told Daniels he had ever
done such a thing in Newark. Ralph Nephew, owner of the
building, said he had been in the garage on the night in
question and that everything he saw about the conduct of
the place had been the same as usual.
Charles H. Finn, the adjuster for the insurance com-
pany, told of having asked Quinn -to give him a complete re-
port as to losses and Quinn had not done so. Quinn in his
evidence said he had made such a report to the insurance
company.
Charles Empey, a partner of Quinn in the garage busi-
ness, was placed on the stand. He said that some time in
Febi-uary. 1919, Quinn had suggested to him that they get
their money out of the business. "I told him (Quinn) if
he could get a buyer to sell out. He said we could get the
business insured and burn it," said Empey. Witness said
that when this suggestion had been made to him he had
pointed out to Quinn the possibility of the fire spreading and
thought of the safety of the town. "He (Quinn) suggested
we could take the tools away, so he could start up somewhere
else," said witness. "I told him to leave me out of any-
thing like that," concluded Empey.
December 17, 1920
THE MONETARY TIMES
31
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I REPRESENTATIVE LEGAL FIRMS i
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BRANDON
J. F. Kilgour, K.C.
G. H. Foster
H. McQue
KILGOUR, FOSTER & McQUEEN
Barristeri, Solicitors, Etc., Brandon, Man.
Solicitors for the Bank of Montreal. The
Royal Bank of Canada Hamilton Provident
and Loan Society. North American Life
Assurance Company.
LETHBRIDGE, Alta.
Conybeare, Church & Davidson
Soil
Barristers. Solicitors. Etc.
citors for Bank of Montreal, The Trust
and Loan Co of Canada, British Canadiai
Trust Co., &c., &c.
C. F. P. Conybeare. K.C, H W. Church. M.A.
R. R. Davidson. LL.B.
Lethbridge - - Alta.
PRINCE ALBERT
COLIN E. BAKER, B.A.
S.ilicitor for the City of Prince Albert
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal Bldg.
CALGARY - - ALTA.
W.P. W.Lent Alex. B.Mackay, M. A., LL.B.
H. D. Mann. M.A., LL.B.
LENT, MACKAY & MANN
Barristers, i^ollcltors. Notaries, Etc.
305 Grain Exchange Bids . Calgary, Alberta
Cable Address, "Lenjo." Western Union Code
Solicitors tor The Standard Bank of Canada,
The Northern Trusts Co., Associated Mort-
eace Investors. Sic.
J. A. Wrioht. LL.B. C. A. Wright. B.C.L.
WRIGHT &WRIGHT
Barristers, Solicitors, Notaries, Etc.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
JOHNSTONE & RITCHIE
Barristers, Solicitors, Notaries
LETHBRIDGE - Alberta
MEDICINE HAT
G. F. H. Long.
LL.B.
J. W. Sleight, li.A.
LONG
&
SLEIGHT
Barristers, etc.
MEDICINE
HAT
>nd BROOKS, Alta.
MOOSE JAW
Grayson, Emerson & McTaggart
Barristers. Etc.
Moose Jaw - Saskatchewan
REGINA
Gordon, Gordon, Keown
and Collins
Barristers, Solicitors, &c.
Aldon Building, REGINA, Sask.
Srilicito.-s for Imnerial Bank of Cnnada
SASKATOON
C. L. DuRiE. B.A. B. M. Wakelino
DURIE & WAKELING
ISarrlster.s ami .Sullrltors
Solicitors for the Bank of Hamilton. The
Great West Permanent Loan Co. The
Monarch Life Assurance Co.
Canaila Kiilldlu;; Saskatoon, Canada
Chas. G.Locke. Major J. McAughey.O.B.E.
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Building
SASKATOON • CANADA
EDMONTON
Hon. A. C. Rutherford, K.C. LL.D.
F. C Jamieson, K C. Chas. H. Grant
S. H. McCuaig Cecil Rutherford
RUTHERFORD, JAMIESON
& GRANT
Barristers, Solicitors, Etc,
514-18 McLeod Bldg. Edmonton, Alberta
NEW WESTMINSTER
JOHN W. DIXIE
Barrister and Solicitor
405 Westminster Trust Building
NEW WESTMINSTER, B.C.
VANCOUVER
W. J. Bowser. K C. K L. Keid, K.I
D. S. Wallbridce A. H. Douglas J.GGibsc
BOWSER, REID, WALLBRIDGE
DOUGLAS & GIBSON
Barristers. Solicitors. Etc.
Solicitors for Bank uf .\lo:ltr>.-;il (Banki
British North America Branch)
York.hire Building. 525 Seymour Si.. Van.
B.C. I
WE SELL
Chauvin^Allsopp & Company, Limited
FARM LANDS
And other good property, EDMONTON DISTRICT.
VALUATORS
Ground Floor. McLeod Building - Edmonton. Alta.
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
NIBLOCK & TULL, Limited
STOCK, BOND and GRAIN BROKERS
(Direct Private Wire)
Grain Exchange
Calgary, Alta.
A. J. Pattison Jr. & Co.
Members
Toronto Stock Exchange Montreal Stock Exchange
Specialiats Unlisted Securities
106 BAY STREET - - TORONTO
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
Textile Business Slowing Up-New England Companies Reduce Wages
With Hope of Stabilizing Prices-Pulp Company Will Build at Arnprior
if Concessions are Granted-Dominion Shipbuilding Plant to be Operated
by Collingwood Company-American Concern to Establish at Woodstock
The Brompton Pulp and Paper Co. announces that it has
purchased extensive pulpwood limits in the Lake St. John
district, Quebec. The new limits have an area of 634 square
miles, or 405,760 acres. Prior to the most recent acquisition,
Brompton owned or controlled by lease, timber limits of
:U 1,768 acres in the St. Francis River district, so that its
holdings have been more than doubled with the addition of
the 405,760 acres and now total 717,528 acres.
WHETHER the Canadian textile industry will be affected
to such an extent as that of Britain and New Eng-
land, it is not possible to say, but indications are that the
market for our goods is becoming stagnant, and is likely to
remain so for some time. Several weeks ago two companies
announced that their plants were running at full capacity
and spoke of the outlook as being bright. It was also an-
nounced that workers from Lancashire and New England
were being engaged here, as further illustrating a plentiful
supply of orders. Evidently the situation has changed since
then. The announcement by the Canadian Cottons, Ltd., of
the reduced working hours at the Marysville, N.B. mill, and
at Cornwall, St. John and Hamilton, Ont., would seem to
indicate anything but an abundance of work. The plant of
the company at Milltown, N.B.. which manufactures finer
ginghams, will continue to operate at capacity, as there is
.sufficient business in that line to warrant such.
The slacking down of operations in this industry is
merely in accordance with the general situation. To expect
otherwise, when the textile business is practically at a stand-
still in other parts of the world, is unreasonable. In New
England, companies are being enforced to reduce the wages
of employees. The refusal of buyers to purchase goods on
a high basis of cost has led to the stagnation of the market,
as a result of which many mills have been obliged to close
down entirely. At a conference of textile manufacturers in
Boston recently, the hope was expressed that the wage reduc-
tion would permit the stabilization of prices, so that mer-
chants would feel secure in placing their orders for goods
and the mills may thus continue operations.
Pulp and I'aper
If ratepayers are favorable to granting McLachlin Bros.,
Ltd., a fi.xed assessment of .?150,000 for ten years, Arnprior,
Ont., will have the opportunity of growing in significance
as an industrial centre. The construction of a dam by Mc-
Lachlin Bros., Ltd., has long been discussed, more particularly
because the development of motive power means the develop-
ment of an industry that will utilixe the power. The pro-
position definitely decided upon now is the construction of ;i
dam across the Madawaska River, about 150 yards upstream
from the present mill bridge.
.\t the dam will be developed 2,000 h.p.; by conservation
this can be increased to 4,000 h.p. When this becomes in-
sufficient, the company can develop the Flat Rapids for an-
other 2,000 h.p., and by further conservation they can pro-
cure 2,000 h.p. more, so that the immediate objective is 2,000
h.p., with 8,000 h.p. in sight. There will be erected an electric
plant and the power will be transmitted to the point near the
mouth of the Madawaska, where is to be erected a pulp-
grinding mill. The first unit to be installed will have a
capacity of 30 tons of pulp per day and this will utilize most
of the 2,000 h.p. to be developed. It is hoped to steadily de-
velop the pulp industry until a mill of 120 tons per day
capacity will be operated.
McLachlin Bros., Ltd., have large areas of pulpwood, and
the proposed mill will not only require that camps be oper-
ated in the woods every winter, but the industry will pro-
vide employment to a large number of men all the year
round. The construction of a dam cannot be commenced
until the low water season, but plans and materials are now
being made ready and anticipating the pulp mill, McLachlin
Bros., Ltd., now have men in their limits taking out large
quantities of pulpwood.
Shipbuilding Plant to Open
The plant of the Dominion Shipbuilding Co., Toronto,
which has been idle since the company went into liquidation
some time ago, will resume operations for at least another
five or six months. Osier Wade, liquidator, has announced
that at a conference with the minister of marine and fisheries,
Hon. Mr. Ballantyne, arangements has been completed "for the
finishing of work upon the two Dominion government ships
in the yards. The work will be taken over by the Colling-
wood Shipbuilding Co., which will employ about a thousand
men. Places will be found for a large percentage of the
old staflf and wherever possible preference will be given to
returned men. The two vessels are of 4,000 tons each and
it is estimated that they will provide employment for a large
number of men on into the spring or early summer.
Iron Industry for Woodstock
The American Ironing Machine Co., of Chicago, 111.,
manufacturers of the "Simplex electric, gas and gasoline
ironers and equipment," have decided to locate their Cana-
dian factory at Woodstock, Ont. The negotiations for the
establishment of this industry wei-e initiated and carried
through by the indu-strial department of Heaton's Agency,
Toronto, with whom the city of Woodstock has had an agree-
ment for some time. By the agreement the American Iron-
ing Machine Co. take over on March 1, 1921, occupation of
the factory building now occupied by the Woodstock Worsted
Spinning Co., which they have leased for one year from that
date, with the option of purchase at any time prior to the
expiration of the lease. It is intended to start installing
machinery, etc., early in March and to commence manufac-
turing by April 1. Between forty and fifty hands will be
employed at the outset.
The Maritime Nail Co., of St. John, N.B., are curtailing
operations, and have laid off twenty men for an indefinite
period.
Discoveries of veins of high-grade gold and copper, run-
ning at least 4 per cent, in the same veins, have been reported
by W. J. Davey from the Beaver Lake district in the north
of Saskatchewan. A body of asbestos has also been dis-
covered, the fibre in some cases being 15 inches in length.
COBALT ORE SHIPMENTS
The following are the shipments of ore, in pounds, from
Cobalt Station for the week ended December 3rd: —
O'Brien Mine, 64,000; Temiskaming Mine, 109,624; total,
173,624.
The followir g are the shipments of ore, in pounds, from
Cobalt Station, for the week ended December 10th: —
H. F. Strong, 9,548; La Rose Mine, 86,793; Kerr Lake
Mine, 59,715; Dominion Redn., 63,000; total, 219,056. The
total since January 1st is 24,943,455 pounds or 12,471.7 tons.
December 17, 1920
THE MONETARY TIMES
The Imperial
Guarantee and Accident
Insureuice Compauiy
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident Insurance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - - - $-200,000.00
Authorized Capital - - - $1,000,00000
Subscribed Capital - - - $1,000,000 00
Government Deposits - - $111,000.00
Head Office foi
ACCIDENT COY., l^imited
Canada - Toronto
nployers' Liability. Elevator. Contract. Personal Accident, Fidelity
Guarantee. Internal Revenue, Sickness. Court Bonds.
Teams and Automobile.
AND FIRE INSURANCE
The Western Mutua
1 Fire
Insurance Co.
Head Office
Didsb
ury. Alberta
President— H. B. ATKINS
M.L.A.
PARKER R. REED.
LARGEST ALBERTA
^jananing Director
FIRE MUTUAL
CANADIAN STRONG PROGRESSIVE
^j?ii: wi%w.9J*jtBe<3ft«je!»sre'
FIRE INSURANCE
AT TARIFF RATES
Merchants Casualty Co,
Head Office : Winnipeg, Man.
The most progressive company in Canada. Operating under the
supervision of tne Dominion and Provincial Insurance Departments.
Embracing the entire Dominion of Canada.
SALESMEN NOTE !
Our accident and health policy is the most liberal protection offered
for a premium of $1.00 per month and up.
Covers over 2.500 different diseases.
Pays for Life if disabled through Accident or
Illness.
Fifty per cent extra if confined to hospital.
Pays for Accidental Death. Quarantine. Sur-
geon Fees for minor injuries, also for death of
Beneficiary and children of the Insured.
Good Openings for Live Agents
. Royal Bank Bldg., Toronto
Palatine Insurance Company
LIMITED
OF LO.XDON. E.\CLA.\D
Capital Fully Paid - $1,000,000
Fire Premiums, 1919 3,957,650
Total Funds - 6,826,795
In addition to the above there 's the further Guaranteeof the Commercial
Union Assurance Company, Limited, whose funds exceed §209.000,000
Head Office : — Canadian Branch
COMMERCIAL UNION BUILDING, MONTREAI
W. S. JOPLING. Manager
Toronto Office— 60 KING STREET WEST
Jokes & Proctor Bros.. Lisuted. Agents
Automobile— 1 920— Season
Policies to cover ANY or ALL motoring risks
ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters |
82-88 King Street East, Toronto I
THE DOMINION OF CANADA
GUARANTEE & ACCIDENT INS. CO.
Plate Glass Ins
Accident Insurance Sickness Insura
Burglary Insurance Automobile Insurance Gu:
The Oldest and Strongest Canadian Accident Insur:
TORONTO MONTREAL WINNIPEG CALGARY
itce Bonds
■ Comp.iny
VANCOUVER
FARMERS'
FIRE & HAIL INSURANCE COMPANY
FIRE, HAIL AND AUTOMOBILE 1NSUR.\NCE
Head Office, CALGARY. Saskatchewan Office, REGINA
M. P. JOH.N'STO.V, Managing Director
DOUBLE INDEMNITY BOND
TWICE AS MUCH LIFE ASSURANCE FOR THE SAME PREMIUM
IF DEATH RESULTS FROM ANY ACCtDENT.-ENQUIRE-
NC>UTH>VESTERN LIFE
■; OFF1CI-: lit ii.in.vG ===== ik>n.v«j> sr. >*nN>'IPK(;
34
THE MONETARY TIMES
NKW INCOKl'OKATIONS
Star Securities, Ltd., Hamilton, $1,000,000— Diamond Oil,
Ltd., Glencoe, $1,000,000— Dalley Securities, Ltd.,
Hamilton, $500,000
The following is a list of companies recently incorporated
under Dominion charter, with the head office and authorized
capital: —
Cook's Friend Baking Powder Co., Ltd., Montreal, $300,-
000; J. J. Briard, Ltd., Montreal, $.50,000; Footwear Findings
of Canada, Ltd., Cowansvillc, Que., $100,000; Canadian Grape
Products, Ltd., Hamilton, $200,000; Wood-Gorrie Motors, Ltd.,
Toronto, $50,000; T. B. Little Co., Ltd., Montreal, $200,000;
Eaves Brothers, Ltd., Montreal, $1.50,000; Mercure Knitting
Co., Ltd., Montreal, $100,000; Canadian Bonom Reversible
Steam Turbine Co., Ltd., Quebec, $100,000; Canada Fidelity
Corp., Ltd., Toronto, $120,000; Scobell Drug Co., Ltd., Mont-
real, $100,000; Guaranteed Pure Milk Co., Ltd., Montreal,
$225,000; Canadian Electrical Supply Co., Ltd., Montreal,
$100,000; Reece Machinery Co. of Canada, Ltd., Montreal,
$50,000.
Provincial Charters
The following is a list of companies recently incorporated
under provincial charter:- —
Alberta. — Morgan Syndicate, Ltd., Edmonton, $12,000;
Campbell's Bakery, Ltd., Edmonton, $100,000; Felger Live
Stock and Grain, Ltd., Lethbridge, $250,000; Patricia Phar-
macal Co., Ltd., Edmonton, $20,000; Capitol Drug Co., Ltd.,
Edmonton, $20,000; Delta Electric, Ltd., Calgary, $25,000;
Calgary Buffets, Ltd., Calgary, $10,000; Lte Wine Co., Ltd.,
Chauvin, $10,000; Munson Exhibition Association, Ltd., Mun-
son, $15,000; Athabasca Oil Sands Extraction Co., Ltd., Cal-
gary, $250,000; Fenn Mercantile, Ltd., Fenn, $20,000; Inter-
national Petroleum Co., Ltd., Edmonton, $250,000; Anderson
and Brown Co., Ltd., Edmonton, $20,000; Union Agencies,
Ltd., Edmonton, $20,000; Shiells Hardware, Ltd., Taber,
$30,000.
British Columbia.— Mill Cut Homes and Lumber, Ltd.,
Vancouver, $50,000; Associated Securities, Ltd., Victoria,
$25,000; Miner's Club, Ltd., Princeton, $5,000; Prince George
Curling Association, Ltd., Prince George, $10,000; Christie-
Rimmer Sales Co., Ltd., Vancouver, $10,000; Interior Cattle
Co., Ltd., Vancouver, $.'^0,000.
Manitoba. — Edwarc. Brown and Co., Ltd., Winnipeg,
$250,000; National Tent and Awning Co., Ltd., Winnipeg,
$200,000; Proctor's, Ltd., Winnipeg, $100,000; Federal Sales,
Ltd., Winnipeg, $20,000; Lome Hill Apiaries, Ltd., Winnipeg,
$50,000; Stadiuin Athletic Grounds Co., Ltd., Winnipeg, $30,-
000; Assiniboine Development Co., Ltd., Winnipeg, $20,000;
Winnipeg Ice Cream Cone Co., Ltd., Winnipeg, $50,000.
Ontario and Quebec
Ontario.— Lockwood Textile Co., Ltd., Brantford, $40,-
000; Star Securities, Ltd., Hamilton, $1,000,000; Carbonated
Products, Ltd., Toronto, $100,000; Hanvood Co-operative
Creamery Co., Ltd., Harwood, $8,000; Aubrey E. Ireland and
Co., Ltd., Toronto, $40,000; Dalley Securities, Ltd., Hamilton,
$500,000; United Fuel and Dock Co., Ltd., Toronto, $25,000;
Rco Sales Co., of Hamilton, Ltd., Hamilton, $40,000; Cana-
dian Automatic Carburetor Co., Ltd., Toronto, $500,000;
Mitchell and Greenhalgh Roxborough Mills, Ltd.. London,
$50,000; United Advertising .\gency, Ltd., Toronto, $10,000;
"Q" Valves, Ltd., Toronto, $40,000; Hagersville Quarries,
Ltd., St. Thomas, $100,000; Hodgins and Fergusson, Ltd.,
London. $100,000; Windsor Essex Rolling Stock, Ltd., To-
ronto, $40,000; Diamond Oil, Ltd., Glencoe, $1,000,000.
(luebec— Quebec Drug Co., Ltd., Quebec, $48,000; Pre-
mium Deposits Corporation, Montreal, $140,000; Maple Leaf
Asbestos Corporation, Montreal, $15,000; St. Maurice Valley
Pulpwood Co., Ltd., Three Rivers, $100,000; the Page Co.,
Ltd., Montreal. $20,000; Canadian Trade and FTnance Cor-
poration. Ltd., Quebec, $45,000; Residue Investment Co., Ltd.,
lyiontreal, $nt).000; the Montreal Paper, Ltd., Portneuf, $500,-
000; Montreal Wine Vault, Inc., Montreal, $40,000.
INSURANCE NOTES
The Halifax Fire Insurance Co. has been authorized to
transact throughout Canada the business of fire insurance.
At the next session of the Dominion legislature the Fi-
delity Co. of Canada will apply for power to conduct a gen-
eral business of insurance.
CANADIAN STEWART COMPANY CASE
On December 4 a petition in bankruptcy against the
Canadian Stewart Co. was set aside in the Ontario courts.
Col. R. Boyd Magee had issued a writ against the Canadian
Stewart Co., claiming $95,000 under a $100,000 contract for
services in connection with the Toronto Harbor Development
scheme. The writ also called for an injunction restraining
the Toronto Harbor Commission from issuing a cheque to the
Canadian Stewart Co. for $60,000.
In addition to the issuance of the writ the plaintiff se-
cured from the registrar in bankruptcy on petition an order
appointing a receiver, the purpose of the application being
to prevent any possible transfer of the assets of the Cana-
dian company to the American branch of the company. For
defendants Mr. A. C. McMaster, K.C., showed that the com-
pany had over §1,500,000 assets in Canada and had other
contracts to complete. Pending the argument of the injunc-
tion proceedings, Mr. Justice Kelly allowed the company to
continue their ordinary course of business.
INDEPENDENT TELEPHONE ASSOCIATION MEETING
"Public-owned telephones" was the slogan at the 15th
annual convention of the Canadian Independent Telephone
Association, which was held in Toronto, December 1 and 2.
The association favored the plan of government-owned trunk
lines, and of the municipality owning and operating the local
exchange. The telephone systems should be operated by and
for the people," declared Mayor Church, who welcomed the
delegates.
M. A. Gee, in his presidential address, referred to the
Bell Company's application for increased rates and said the
association had been asked to favor the application. "But,"
he said, "when the Independents remembered the number of
times that they were given encouragement to believe that a
franchise would be granted them in a city or town, and then
were thrown down after they had helped drive a better bar-
gain out of the Bell, they declined being used as a 'cat's-
paw' any longer." Ontario, he said, has a fairly good start
for a provincial telephone system, "if this is what is ahead
of us." He went on to say that "telephone and newspaper
men are operating at nearer pre-war prices than any other
class of business. We both deserve fair and generous treat-
ment."
Francis Dagger, telephone expert of the Ontario Rail-
way and Municipal Board, addressed the convention on the
subject of "The Telephone Systems and the Public." Mr.
Dagger expressed regret that the association had given the
public indication that it intended to follow the Bell in the
matter of increasing its rates and said the result of any
application to the board for increased rates would depend on
the efficiency of service given by the company applying.
The officers of the association elected for the year 1920-
21 are: Honorary president, Myron A. Gee; president, A.
MacLean; vice-president. Dr. F. Routley; secretary, A.
Hoover; treasurer, F. D. McKay; auditors, George Tait and
H. E. Robinson. The executive committee will be: Col. J-
R. Mayberry, J. M. Govenlock, S. Suddaby, G. W. Jones,
James McEwing, Anson Groh, J. R. Forbes, C. J. Johns, F.
E. Webster. George Tait, W. R. Wadsworth, Dr. W. Doan, P.
R. Craven, Dr. A. N. Hotson, L. G. Campbell, D. Campbell,
R. Burton, M. Rathwell, O. R. Forster, W. C. Moore, Mr.
Elliott, A. R. Chapman and F. S. Scott.
December 17, 1920
THE .MONETARY TIMES
35
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $133,000,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful days for life insurance salesmen,
particularly North American Life men. Our representa-
tives are placing unprecedented amounts of new business.
All 1919 records are being smashed.
" Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey, Supervisor of Agencies.
North American Life Assurance Company
"SOLID AS THE COXTIXENT "
HOME OFFICE
TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE WINNIPEG, MAN.
Assurances. New and Revived - - 51,211,447.00
Premiums on same - . . . 4.3,890.00
Assurances in Force - - - - 3,4,58,939.00
Total Premium Income - - - 109,586.03
Policy Reserves - - - - - 211,497.00
Admitted Assets ----- 296,430.62
Average Policy - - - - . 2.237.50
Collected in cash per 81,000 insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director - - Winnipeg.
Insuring the Motive Power
The object of Business Insurance is to insure the "brains" of an organ-
ization. Knowledge, combined with administrative ability, is invaluable.
Every business, larg-- or small, depends pr marily upon one or more
experienced leaders- The death of any one of them would result in a heavy
financial loss. Ther-e would be heavy going until the deceased official
wac replaced by ^^omeone of equal ability. The possession of a policy of
insurance payable to the firm in the event of the death of such a leader
is essential. Joint policies payable on the death of the first partner, or
(preferably) separate policies on the lives of the individual partners in
f jvor of the survivors are issued by The -Vlutua! Life of Canada. It will
be the object of the Company to adapt each Business Policy to the parti-
cular requirements of the insuring firm. Consult our representative.
He will be glad to advise you regarding business insurance-
The Mutual Life Assurance Co. of Canada
Waterloo
HUME CRO.SV.V. MP .
^Ontario
CH.ARLES RUBY
CO-OPERATIVE SERVICE
'T'O Policyhokers between ihe company and the Agents is the secret of our
success. Every representative is given the utmost assistance, but he
must .ook after out- chents' inierests. During the last 21 years The CootineDlal
Li/e has built an enviable reputation lor prompt payment of claims.
Write for booklet, "•►ar Best Advertisers." For Manager's positions in On-
tario, apply with references, stating experience, etc.. to S. S- WEAVJEK,
eastern snprrlnlenrlenf, at Head Ortiee
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
ISSUED ONLY BY
THE LONDON LIFE INSURANCE CO.
Head Office ... LONDON, CANAUA
Profit Results in this Compaoy 70',, better than Estimates.
POLICIES ■GOOD AS GOLD."
CONTINUITY
Life Insurance gives continuity to one's Life Plans.
Plans for the home— for the education of children - for
business development - may all be destroyed by death —
unless safe provision has been made beforehand for such
a contingency. For most men the only sure way to so pro-
vide is by means of Life Insurance.
The Great- West Life Policies are inexpensive, liberal, pro-
fitable. Their value is shov/n by the wide demand for them.
Ast^ for personal rates.
THE GREAT- WEST LIFE ASSURANCE COMPANY
DEPT. F ■
HEAD OFFICE - . WINNIPEG
The Western Empire
Life Assurance Company
Head Office: 701 Somerset Building, Winnipeg, Man.
SASKATOO.%"
VANCOUVER
Established I8J>6
Queensland Insurance Co. Limited
of Sydney. N.S.VV.
Cipital Paid Up $1,750,000 Assets $4,015,811
Attmti WamUd in Unrtpnunud Diilriclt
Montreal Agencies Limited
Montreal
ATLAS
Assurance Company Limited
Founded in :he Reign of George III
Subscribed Capital §11,000.000
Capital Paid Up 1.320,000
.Additional Funds 24.720.180
The company enjoys the highest reputation for prompt
and liberal settlement of claims and will be glad to receive
applications for .Agencies from gentlemen in a position
to introduce business.
Head Office for Canada— 260 St. James St., Montreal
THE MONETARY TIMES
NKWS OK MUNICIPAL FINANCE
Suing for Tax Arrears Discussed in West — Moose Jaw's
Interim Statement Shows Land Assessment Greatly
Reduced and Business Assessment I'roducinR Results
A PROPOSAL has been put forward by the finance com-
mittee of the city of Calgary, Alta., of suing citizens
who are in arrears of taxes. This pr(jaiosition is meeting
with strong opposition from many quarters. It is argued
that all governments generally are opposed to the idea of
suing their citizens for debts wherever it can be a>oided.
The Alberta government avoids suing farmers for the return
of seed grain loans when they are in arrears, and the sarne
thing is true of the federal government, with regard to oil
leases. Thousands of oil leases have been cancelled in the
Calgary district, with the accumulations of back rentals on
them, but the Dominion government does not sue for the
return of the rentals so long as it gets back the lea>e-.
It is also contended that a policy of bringing suit to
recover arrears of taxes would bear most heavily on the
small property owners. In thousands of cases, men of small
means acquired several lots during the real est.it.' boom
days and were unable to hold them. They let eveiything go
and concentrated on holding their homes. If Calgai-y now
proceeds to sue them for these arrears of taxes on lands, it
will work a great hardship on the small owner. The idea
that the city should sue for taxes in cases where it has al-
ready acquired the property by tax sale, is also regaided as
wrong. It is the opinion that the only effe;t it will have
will be to drive the people from the city.
Moose Jaw, Sask. — In accordance with the custom of
some western municipalities, the city has issued a financial
statement for the ten months ended October. Geo. I). Mac-
kie, commissioner, in introducing the report states: "The
city itself, speaking from a municipal standpoint, has had
an extremely busy yeai-. Although no schemes involving-
large capital outlays have been inaugurated, the work of
maintaining the various departments of municipal enterprise
has lieen greatly extended. During the period of the war,
expenditure in all the municipal departments were cut down
to the lowest figure and only work which was absolutely
essential to the smooth running of the various civic depart-
ments, was carried out. In the year 1919, owing to the fact
that the war had just closed and conditions were not yet
stable, no great increase in the necessary expenditures was
made, but with the beginning of 1920, it was felt that the
city could now undertake and carry out many needed repairs
to the vaiious public utilities and other works.
"With the large reduction in the valuation of land from
the peak year of 1913, when the assessment was approxi-
mately $44,000,000, to 1919 when this assessment was $14,-
887,000, the margin of borrowing power left to the city was
found to he very small indeed, and, as a consequence the
council decided, at the end of 1919, to revert from the system
(if taking business by way of business license, to placing the
business on the assessment by way of tax. This had the
effect of increasing the assessment by approximately $1,-
(iOO.OOO."
The report gives the following comparisons of assess-
ment:—
1913. 1919. 1920.
Land, 100% $44,037,931 $14,887,533 $14,874,425
Improvements, 45% 4,934,320 5,725,045 5,804,325
Business 2,883,993 509,697 2,102,385
Income 141,042 271,9fi3 195,075
Totals $51,997,28(> $21,394,238 $22,976,210
Another factor which induced the city to revert to the
business tax, was that a large amount of property which
had been sold for arrears of taxes would shortly revert to
the city, and as all lands belonging to the city are exempt
from taxation this will have the further effect of consider-
ably reducing the taxable assessment of the city.
The city is allowed to create a debt equal to 20 per
cent, of the taxable assessment, so that after deducting the
value of the property acquired by the city under the arrears
of taxes act, the limit of the city's debt is $4,521,242, where-
as in 1913, when the city's assessment was at its paak, the
debt could have reached a figure of nearly $10,400,000. The
gross debt as at October 31, was $6,133,325, from which can
be deducted the following in order to arrive at the borrowing
power of the city: Sinking fund, $930,406; secondary educa-
tion, $142,102; owners' share of local improvements, $779,-
883; leaving net of $4,280,932. From these figures it will be
seen that the city's borrowing power amounts to only $240,-
309. The sinking fund of $930,406, compares with $832,920
at the end of October, 1919.
Tax collections did not come up to a year ago, the per-
centage of current to levy being 50 per cent., as against 56
per cent, last year. Collection of ai'rears of taxes also show
a falling off, the figure being $111,411, as compared with
$127,.'i88 in 1919, $138,272 in 1918 and $192,110 in 1917. Tax
arrears at the end of October, 1920, amounted to !i695,846,
as compared with $595,783 in 1919, $521,385 in 1918 and
$376,946 in 1917. The reason for the large amount of tax
arrears is due to the fact that in the boom days of 1912-13,
the assessment of land in the city was placed at a very high
figure, and as a result, when the period of depression came in
1914-15, a very large proportion of the owners of these lands,
which were held almost exclusively for speculation purposes,
declined to pay the taxes on these lands, consequently, these
lands aie now in process of being acquired by the city under
the arrears of taxes act. At the same time the city has had
to go on assessing these lands for taxes year by year, know-
ing full well that the taxes on the land would not ba paid,
and this has naturally resulted in placing a much greater
burden on the improved property of the city. As these lands
are taken possession of by the city, the land must still fur-
ther deci'ease in amount, and the burden on the improved
portion of the city increase.
As an offset against these taxes which the city felt would
not be paid, a levy amounting to $50,000 a year was added
to the municipal taxes each year since 1915, and, as a result,
at the end of 1919, the city had a revenue surplus available
as a reserve for uncollectible taxes of $398,162, thus making
it possible for the citj' to wipe off its books at least 33 per
cent, of the taxes outstanding.
Bank loans on current account for 1920 amounted to
.$429,236, as compared with $274,849 in 1919, $241,000 in 1918
and $386,500 in 1917.
Woodstock, N.B. — At the town council meeting last week,
R. K. Armstrong, town manager, said that nearly all the
(le))artments would close the year with a surplus, and all
liills would be paid. The three town banks are disputing
their taxes, and if they paid before the end of December
there would be a substantial credit balance. He also antici-
pates that next year's assessment would be some $6,000
lower than the assessment made this year. Excepting the
banks, the taxes are approximately all collected. The re-
ceipts from sewers are more than last year, and the ^yater
tax is fairly well collected, and but few water services will
be turned off this year because of non-payment of bills.
OWEN SOUND BOARD OF TRADE
The Owen Sound, Ont., Board of Trade at its annual
meeting on December 2 elected the president, E. W. McQuay,
for a second term. W. T. Harris is vice-president, and the
following members compose the council: J. R. McLinden,
H. P'leming, J. A. Simpson, J. R. Cunningham, Geo. Menzies,
John Parker, J. E. Keenan, M. D. Lemon, J. H. Mclnnis, C.
H. Thompson and E. T. Macdonald. During the past year
eight new concerns have been added to Owen Sound's in-
dustrial family, and one of the new plants has already
doubled its initial capacity. The board will hold its annual
banquet in January, and an invitation is being sent Hon.
F. C. Biggs to attend. A membership campaign will be
carried on this month.
December 17, 1920
THE MONETARY TIMES
37
JPAY-ITIS^
C.P.R. BUILDING
TORONTO
INVeSTMCNT BANKERS
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
STOCKS AND BONDS
Canadian. British and American Securities
Bought and Sold on ail Principal Exchanges
Privaie wire connections With New York and Toronto.
OSLER, HAMMOND & NANTON
WINNIPEG
NEW ISSUE
CITY OF TORONTO
5i% BONDS
Maturing 1921-1930
TO YIELD 6.60%-6.70%
Harris, Forbes & Company
INCOHPOEATED
C. P. R. Building 21 St. John Street
TORONTO MONTREAL
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Members of Winnipeg Real Estate Ejichange. Winnipeg Slock Exchange
C. H. BURGESS & CO.
Government and
Municipal Bonds
14 King Street East
Toronto
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
INDUSTRIAL SECURITIES
300 Nanton Building, Winnipeg
Here's a Real Opportunity
Ask us about our new underwriting of a
7% Canadian Industrial Bond
with a bonus of Common Stock payable in
New York funds.
Tal(c advanlagc of the present /i/g/i exchange rate.
R. M. HEFFERNAN & CO., Limited
INVESTMEXT BROKERS
HEAD OFFICE : 204 Jackson Building, OTTAWA
THE MONETARY TIMES
Volume 65.
Government and Municipal Bond Market
Improved Trend of Victory Loans, but Three Issues are Slightly
Lower — Toronto Disposes of One Million of Securities —
Alberta Savings Certificates — Victoria Selling to Local Investors
WITH the approach of the Christmas holidays the muni-
cipal bond market has settled into a state of quietness
from which it is not expected to awaken until the new year.
The prices received by Walkerville and Renfrew this week
would seem to be anything but an encouragement to other
municipalities to come on the market just now.
There is good demand for the recent province of Ontario
bonds, and as a result these securities ai-e now selling to yield
6.40 per cent., as compared with the initial offering rate ol
6.60 per cent, and last week's rate of 6. .50 per cent. Toronto's
issue is also meeting with a good reception.
Victory bonds continue to absorb most of the interest
in the government securities market, but the activity was
not as great this week as previously, although prices strength-
ened somewhat. The following figures illustrate the trend of
prices:—
Control Last week. This week.
price. High. Low. High. Low.
1922 98 97% 96% 98 96%
1927 97 98 96% 971,4 95 Vi
1937 98 97% 94% 97% 96',2
1923 98 96% 94% 97 94Vi
1933 96>/i 96% 93% 95i/!; 94V2
1924 97 94V2 931/2 95',4 94
1934 93 93Vi 9078 94V2 91%
Alberta Savings Certificates
Since the inauguration of the system about four years
ago by the provincial treasurer, the savings certificate plan of
the Alberta government has attracted over $6,000,000 in small
investments from people in this and other countries. .Ac-
cording to Hon. C. R. Mitchell, provincial treasurer, ami
Deputy Minister Newson, the demand for these provincial
savings certificates has been growing at such a rate it is
difficult to keep abreast of the enquiries and applications.
People in the United States have been attracted by the plan
of investment by the thousands, many of these investors
having payments due in this country and ordering their
agents to turn the moneys into Alberta certificates, thus
avoiding the exchange rate tolls of the present time.
Mr. Newson says the deposits have been largely of $500
and $1,000 denomination in the totals, which comprise the six
million dollars' worth issued to date. Obviously, there has
not at any time been anything like $6,000,000 in these certifi-
cates outstanding at one time, the total covering the scope
of operation since the scheme was started. The rate of in-
terest paid is 5 per cent., compounded semi-annually for de-
posits from $5 upwards, payable at any time.
The new plan of the government is the offering of yearly
issues of 6 per cent, ten-year bonds in denominations of $100
and upward, it being the intention of the provincial treas-
urer's department to have these sold to general investors in
and outside the province. Probably about $1,000,000 worth
of these bonds will be offered the public annually.
Coming OlTerinRS
The following is a list of debentures offered for sale,
particulars of which are given in this or previous issues: —
Tenders'
Borrower. Amount. Rate ''/'c. Maturity. close.
St. .Jerome de Matane,
Que $ 100,000 5 5-years Dec. 20
Iroquois Falls, Ont... 45,000 6 20-years Dec. 21
Bienville, Que 25.000 6 10-yr. ser. Dec. 27
Kcnora, Ont 82,320.25 6 V<. & 7 Various Dec. 29
Verigin S.O., Sask. — The board of trustees is offering
$15,000 8 per cent. 20-instalment debentures. .1. Z. Walten,
Verigin, Sask.
Bienville, Que. — Tenders will be received until Decem-
ber 27, 1920. for the purchase of $25,000 6 per cent, deben-
tures, which are redeemable by series and mature in ten
years. J. Ruel, secretary.
Kenora. Ont. — Tenders will be received until Decem-
ber 29, 1920, for the purchase of the following debentures,
totalling $82,320.25: $10,000 7 per cent. 15-instalments, for
electric utility; $20,000 7 per cent. 20-year, for waterworks;
$13,564.87 61/2 per cent. 33-year, for consolidation of debt;
$6,000 7 per cent. 10-years, for electric; $25,000 7 per cent.
20-instalments, for public improvement; $7,755.38 7 per cent.
20-instalments, for local improvement. F. J. Hooper, clerk
and treasurer.
Debenture Notes
Avonmore, Ont. — By-law will be submitted January 3
to authorize the borrowing of $9,000 for Hydro-Electric plant.
Midland. Ont. — At the January elections ratepayers vnll
be asked to approve of a money by-law authorizing the
raising of $100,000 for a new town hall.
Ottawa. Ont. — City council has approved of the submis-
sion of debenture by-laws to the ratepayers in January for
$60,000 for a municipal quarry and $200,000 for a central
fire station.
Portage la Prairie, Man. — On December 21 ratepayers
will be asked to vote on a by-law authorizing the borrowing
of $14,000 for the purchase of additional fire-fighting equip-
ment.
St. Thomas, Ont. — A by-law providing for the raising
of $233,000 by way of debenture issue for the erection of a
concrete dam across Kettle Creek and for improvements to
the waterworks department will be submitted to ratepayers
on .January 3.
Middlesex County, Ont. — On the recommendation of the
finance committee the council has authorized the borrowing
of $80,000 in order that the engineer's department can meet
the expenses of the county road system until the government
grant is received.
Saskatchewan. — The following is a list of debentures
authorized by the Local Government Board from Novem-
ber 25 to December 1, 1920: —
Rural Telephones.. — 8 per cent. 15-years annuity : Breden-
bury. $5,500: Blucher, $3,500; Springside, $4,300; North
Hazenmore. $700; Shell River, $9,500; Gowan Brae, $1,100;
Northfield, $14,000; Bromhead South, $4,500; Twin Valley,
$3,.500.
Kuroki S.D., $1,000 8 per cent. lO-initalment.
British Columbia. — The inspector of municipalities has
issued the following certificates of authorization for bor-
rowing:—
Saanich District, $25,000, for war memorial, debentures
maturing March 1, 1930, with interest at 51/2 per cent.
.Armstrong, $10,000, for fire protection, maturing Sep-
tember 1, 1040. with interest at 6 per cent.
Summerland, $3,000, for school purposes, maturing No-
vember 1, 1930, with interest at 6 per cent.
Manitoba. — Good roads projects to cost approximately
$400,000 are to be voted on in eight rural municipalities in
Manitoba, December 21, according to announcements made
in the "Manitoba Gazette." The largest is that of Morris
district, which is asking authority to float debentures amount-
ing to $110,000, with interest at 6 per cent, for twenty years.
Other schemes include: Louise, $52,000 (i per cent. 30-
year debentures, for good roads; Ste. Rose, $61,900 6 per cent.
20-year debentures, for good roads; Ste. Rose du Lac, $23,000
December 17, 1920
THE MONETARY TIMES
39
Are Your Funds
Profitably Employed?
If your funds are not earning from
6.40% to 7.25% while suriounded by
the highest grade of security, we sug-
gest that you consider the wisdom of
placing them in Canadian Govern
ment and Municipal Bonds.
No other investment offers more
attractive features, -principal is safe,
— interest is prompt and sure, and
should necessity demand immediate
cash, these bonds will be found read-
ily marketable.
Write for a list of these bonds. It will
interest you.
Wood, Gundy & Company
Canadian Pacific Railway Building
Toronto Saskatoon
Montreal 1 oronto New York
Winnipeg London, Eng.
/ IKVESTMEKT- SERVICE \
^B/^ESEB
Fixed-Income
Securities
We can ofTer Government, Munici-
pal and Corporation Bonds and also
a few sound Preferred Stocks that
will gi\'e investors a fixed income
for short or long terms of years.
\'alues of these securities will move
up when interest rates move down,
as they eventually will.
The time to buy them is now. Write
for particulars.
Royal Securities
^ CORPORATION
I. I M I T E D
MONTREAL
TORONTO HALIFAX ST. JOHN. N.B.
WINNIPEG VANCOUVER NEW YORK
LONDON. Eng.
\V. L. McKINNON
DEAN H. PETTES
We Buy and Sell
VICTORY BONDS
at Current Prices
W. L. McKINNON & CO.
Covernmeni and Municipal Bonds
McKINNON BUILDING -:- TORONTO
Telephone Adelaide 3870
What is Behind Our
Service?
Twelve years of constant endeavor to please.
To help our clients to make money by pro-
viding for their investment funds such
securities as, in our judgment, provide the
maximum interest return consistent Vifith
absolute safety of principal.
By continuously aiming to offer the highest
degree of service possible, we have built up
an organization trained and equipped to
render effective service to our clients.
// is xwiirs to command
W. A. MACKENZIE & CO.
Covernmeni and Municipal Bonds
42 King St. West
TORONTO -:- CANADA
^.illlillllllllllllllllMllllllilllDIIIIMIIIIIIRIlllinilM^
m
40
THE MONETARY TIMES
Volume 65.
6 per cent. 20-year debentures, for good roads; Ochre River,
$68,784.80 6 per cent. 30-year debentures, for roads and
bridges; South Cypress, $15,000, for a bridge over the Souris
Kiver. Swan River (Consolidated School District of Alpine),
$6,000 7 per cent. 20-year debentures, to construct public
school and teachers' residence. Siglunes, $40,000 G per cent.
30-year debentures for roads and bridges.
Saskatchewan.— The following is a list of debentures
reported sold from November 25 to December 1, 1920:—
Schools.— Bergheim, $3,200 10-years 8 per cent.; H. L.
Martin Lumber Co. Langenburg, $1,500 10-years 8 per cent.;
W. G. Suechsschlaf, Langenburg. Bertdale, $2,000 15-years 8
per cent.; Andrew Dickson, Indian Head. Clarendon, $700
10-years 8 per cent., Constance, $800 8-years 8 per cent.;
town of Biggar sinking fund. Grandy, $6,000 20-years 8 per
cent; Waterman-Waterbury, Regina. Belleville, $2,000 20-
years.; S. Cummins, Kennedy. Knapton, $2,500 15-years 8
per cent.; local purchaser. Gowan Brae, $1,200 6-years 8 per
cent; J. R. Taylor, Kinistino.
Towns.— Yellcw Grass, $8,000 10-years 7 per cent.; R.
Wheeler and J. Haller, Yellow Grass. Strassbourg, $4,000
15-years 8 per cent.; W. E. Sayles, Brantford, Ont.
Bond Sales
Victoria, B.C.— The city is jiow selling to local citizens
$336,500 6V'2 per cent debentures, maturing from one to ten
years. The debentures are being sold in denominations as
low as $50 as an inducement to the small investor. The
prices will vary from 93.36 for ten-year bonds to 99.52 for
the one-year variety. The average issue price is 97.934.
Toronto, Ont— The city has disposed of $1,055,000 5V2
per cent, serial coupon bonds, dated July 1, 1920, and due
July 1, 1922 to 1930, inclusive, to a syndictae comprising the
Dominion Securities Corporation, Harris, Forbes and Com-
pany, Inc., the National City Company, Ltd., R. A. Daly and
Company and W. A. Mackenzie and Company. The sale was
made privately, and the syndicate was composed of the same
bond houses which handled the previous issue of the city.
The cost to the city is not known, but apparently it was a
little greater than previously. The securities are now being
sold to yield 6.60 and 6.70 per cent
Walkerville, Ont— A. E. Ames and Company have been
awarded $300,000 6 per cent. 15-instalment housing deben-
tures at a price of 94.094, which is on a basis of about 6.93
per cent. The following tenders were received: —
A. E. Ames :.nd Co 94.094
Wood, Gundy and Co 94.07
Dominion Securities Corporation and Housser,
Wood and Co 93.09
W. A. Mackenzie and Co., the National City
Co., Ltd., and Geo. Carruthers and Co.. . 93.22
R. C. Matthews and Co 92.78
Renfrew Town, Ont. — Wood, Gundy and Co. have pur-
chased $45,016 6 per cent. 20 and 30-instalment debentures
at a price of 91.13, which is on a basis of about 7.10 per
cent. The following tenders were received: —
Wood, Gundy and Co $41,023.00
R. C. Matthews and Co 40,865.00
W. L. McKinnon and Co 40,841.96
C. H. Burgess and Co 40,501.79
A. E. Ames and Co 40,.5.54.91
Turner, Spragge and Co 40,500.89
Brent, Noxon ami Co 3^,731.00
Dyment, Anderson and Co 39,627.58
La Ville de Chicoutlmi, Que.— The Municipal Debenture
Corporation has been awarded $100,000 SVs per cent. 10-year
debentures at a price of 91.75. Other offers were:—
Provincial Securities Co 91.65
Versailles, Vidricaire and Boulais 89.87
Rene T. Leclerc 89.05
Credit Canada, Ltd 88.56
St John, N.B.— The city has disposed of $230,000 6 per
cent, bonds. Of this amount $140,000 mature December 1,
1930, and $90,000 mature December 1, 1935. These securities
are now being offered by the Eastern Securities Co., Ltd., J.
M. Robinson and Sons and the Mahon Bond Corporation, Ltd.,
at a price of 97%, yielding about 6.35 per cent for the ten-
year bonds and 6.25 per cent, for the 15-year bonds. Denom-
inations of $500.
Saskatchewan.— The result of the province's issue of
farm loan debentures has just come to hand. Securities ma-
turing in 1927 have been disposed of to the extent of $1,-
596,700. It also transpires that farm loan debentures ma-
turing in 1950 are now being disposed of, and $378,700 has
already been sold. From what can be understood, the de-
bentures bear 5 per cent, interest, and have been disposed
within the province at par.
York Township, Ont- A. E. Ames and Co. have pur-
chased $129,610.77 6 per cent. 10-instalment debentures at a
price of 95.303, which means that the township paid slightly
more than 7 per cent, for its money. Tenders for the se-
curities were as follows: —
A. E. Ames and Co 95.303
A. Jarvis and Co 94.836
Wood, Gundy and Co 94.468
R. C. Matthews and Co 94.30
In addition the township sold $37,000 6 per cent. 20-
instalment debentures privately.
PROTEST SECURITIES EMBARGO
The British Columbia Bond Dealers' Association held
a meeting last week to consider the present embargo on the
importation of foreign-held Canadian securities. The pre-
sident, A. C. Flumerfelt, has been requested to advise the
minister of finance for Canada and the Canadian Bankers'
Association that the association as a body object to the
restrictions placed upon the conducting of their business and
recommend that they be removed, but that so long as the
minister of finance and the association request that the em-
bargo be observed that the association will to the limit of
their ability observe their wishes. The action of the asso-
ciation was taken after advice had come that the eastern
dealers were making a protest along similar lines.
CANADIAN BUSINESS FAILURES
The number of failures in the Dominion, as reported by
R. G. Dun and Co. during the week ended December 10, 1920,
in provinces, as compared with those of previous weeks and
corresponding weeks of last year, are as follows: —
Date.
O
3
c
<
2;
n
0!
"o
Dec. 10 . .
..12
17
0
1
2
2
1
7
0
42
16
Dec. 3 . .
.. 5
19
0
0
1
1
0
4
0
30
16
Nov. 26 . .
.. 8
14
0
0
9
0
0
1
0
25
19
Nov. 19 . .
. . 5
7
0
3
3
4
0
1
0
23
21
MANITOBA-KELLY AWARD CUT DOWN
The Manitoba Appeal Court on December 1 cut $615,213
from the award made to the provincial government by an
Arbitration Board against the firm of Thomas Kelly and Sons
for alleged faulty construction of caissons under the new
Manitoba Parliament Buildings. The case has been dragging
through the courts for the past five years. Practically half
the award made by the government was set aside by the
.\ppcal Court.
The judgment means a loss to the province of approxi-
mately $1,000,000. Interest on the sum for the past five
years amounted to over $300,000. The amount now owing
the government by Kelly is $588,139 with interest at 5 per
cent, since 1915. The province may take an appeal to the
Supreme Court of Canada.
December 17, 1920
THE MONETARY TIMES
Government, Municipal and
Corporation Bonds
To Yield
5.90% to 7Wo
We have a very complete list. Before investing
secure particulars of our offerings.
Eastern Securities Company, Limited
ST. JOHN, N.B.
HALIFAX, N.S.
We Offer
SCHOOL BONDS
Province of Alberta
Maturing 10 and 15 Yean
to yield I
I 7to7;4%
We Speciall\) Recommend these Bonds as Sound Investments
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto Bldg. e Royal Bank Chambers
EDMONTON CALGARY
Western Municipal & School
a % Debentures
^ TO YIELD
im>
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
CORRESPONDENCE
INVITED
UNION TRUST BUILDING
WINNIPEG
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings also any British
Columbia Government and Municipal issues
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C. Victoria, B.C.
Manitoba Finance Corporation Ltd.
Investment Brokers, Financial Agents, Etc.
Head Office :
410-11 Electric Rly. Chambers - Winnipeg, Man.
Phone Garry 3884
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba. Alberta Flour Mills, Limited
SASKATOON, SASKATCHEWAN
Stock, Bond and
Grain Brokers
WE OFFER OUR COUNSEL AND ADVICE
Willoughby Sumner Limited
Established 19001
Members o( the Winnipeg Grain Exchange
Private mire to Winnipeg, Toronto, Montreal, Chicago
and .\eu, Yorl(
X
Vancouver District Property
Expert Estate Agents and Managers
Property Bought and Sold, Valued. Reriled and
Reported on. Correspondence invited.
WAGHORN GWYNN Co., Ltd. v.nc.uver
MACAULAY & NICOLLS
INSURANCE OF ALL CLASSES
ESTATES MANAGED
746 Hastings Street - VANCOUVER, B.C.
C. H. MACAULAY J. P. NICOLLS, .Notary Public.
We Buy and Sell Bonds
GOVERNMENT - -
Yield up to 7 %
PROVINCIAL - -
" Ih/
MUNICIPAL
•' 8i%
INDUSTRIAL
"10 %
FOREIGN
Various
Koiii Jnveslmenl Orders wil
/ be appreci<,led
Gillespie, Hart & Todd, Ltd.
Head Office
711 FORT STREET,
VICTORIA, B.C.
Branch
414 PENDER STREET
VANCOUVER, B.C. '
THE JMONETARY TIMES
Volume 65.
Corporation Securities Market
Canadian Stocks Continue Same Irregular Movement of Past Weeks— Prices Chiefly
Lower— Good Demand for Investment Securities— Consumers' Gas Company Calling
for Tenders on Shares— Loew's Theatres to Consolidate- K. & S. Tire Bond Offering
IliREGULAR and dull, with the price movement chiefly
downwaid, the Canadian stocks continued the same
course which they have been pursuing for some weeks past.
There were some slight rallies this week, but these were not
significant. The industrial and commercial situation does
not yet warrant any improvement in stocks, and until it
does there will be no upward movement. Occasionally traders
have the opportunity of boosting certain issues, but reaction
invariably lollows. The market must continue its course
until the readjustment has been fully discounted, and in the
meantime speculators must e.xercise caution. Perhaps one
favorable feature of the market this week was its dullness.
The turnover as compared with previous weeks was small,
but this prevented any great fluctuations. There is a decided
lack of buying power at the present time, and the less sell-
ing the better the market will be able to stand up.
On the other hand there is said to be a good demand for
strictly investment securities, such as bank stocks and bonds.
With Victory bonds growing strong investors are turning
their attention to this side of the market, which should be
very helpful to prices.
The volume of day to day trading on both Toronto and
Montreal e.xchanges, for the week ended IJecember 15, is
shown in the following table: —
Mont
ea
1.
Toronto
Listed stocks
Bonds.
Listed stocks
Bonds.
Thursday
. . 4,543
!P
534,630
2,216
$
484,200
Friday
4,261
381,150
2,817
421,000
Saturday
1,135
332,400
1,292
290,450
Monday
7,596
251,800
2,539
251,500
Tuesday
. . . 8,027
274,100
1,299
594,900
Wednesday
5,345
. . 30,907
250,200
1,415
1 1 ,578
507,200
Totals
$1
,024,280
$2
,549,250
The figures for the previous week were: Montreal, listed
stocks, 56,320; bonds, $1,984,950; Toronto, listed stocks, 14,-
302; bonds, $3,461,700.
The Consumers' Gas Co., Toronto, is asking for tenders
until January 5, 1921, for the purchase of 12,786 shares of
unissued capital stock, each share having a par value of $50.
The practice of the company in the past has been to place its
stock either by auction, sale, by public tender or by allot-
ment at a n.xed premium. Owing to existing conditions the
last-mentioned plan is not feasible in this instance. At the
pre.sent time the stock is selling on the open market around
135, to yield about 7.35 per cent.
In 1917 $478,700 was allotted at 150. There has been
no stock issue since then. The highest price ever received
by the company for its shares was in 1919, when the average
price realized was 215.47.
Capitalization Changes
At a special meeting of the shareholders of the Waya-
gamack Pulp and Paper Co., Ltd., held at the head office at
Three Rivers, Que., last week, unanimous ratification was
given to the proposals authorizing an increase in the capital
stock of the company. By the proposals the capital stock
of the company will be converted from 50,000 common shares
of a par value of $100 into $100,000 common shares of no
par value. These will be offered to shareholders in the pro-
portion of two new shares to one of the old.
The Kaministiquia Power Co. has declared a stock divi-
dend of 13% per cent, in common stock, payable on December
23 to common shareholders of record December 17. As the
paid-up capital of the company in common stock amounts to
$2,198,018, the amount distributed would be equal to $296,732,
or little more than $5,000 short of the full authorized amount
of capital at $2,500,000. The company at present is paying
a dividend of 8 per cent., which was begun with the quarter
commencing with November 1, 1917.
Directors of the Canadian Car and Foundry Co., Ltd.,
at a meeting in Montreal this week, decided to liquidate the
22% per cent, dividend arrears on the cumulative preferred
stock of the enterprise through the issue of 6 per cent, ne-
gotiable script maturing in seven years. The distribution
will be made before the end of the cucrent year to share-
holders of record December 24 next.
The Currie Manufacturing and Lumber Co., Ltd., of
Brandon, Man., which was recently incorporated with a
capital of $100,000, is offering shares at $100 each. Already
fifty per cent, of the stock has been subscribed for and paid
up. The company is well situated as a wood working industry.
Lamontagne, Ltd., manufacturers of harness and trunks,
Montreal, Quebec, incorporated under the laws of the Do-
minion, has been authorized to increase its capital stock
from $400,000 to $2,000,000 by the issue of 16,000 new shares
of $100 each.
Loew's Theatres Merger
Subject to the approval of shareholders and bondholders,
the Canadian Loew's Theatres enterprises will combine under
one large organization of Loew's (Canada) Ltd., which will
have a capital of $20,000,000, comprised of $5,000,000 8 per
cent, preferred, and $15,000,000 common shares of a par
value of $10 each.
(Continued on page 45)
UNLISTED SECURITIES
shed to The Monetary Times by A. J. Pattison. Jr.. & Co.. Toronto
I Week ended Dec. 14th. 1920.)
Abitibi Gen. Mort. 6's...
Alta. Pac. Grain. ...com.
— pref.
American Sales Book.S's
Ashdown Hard. J. H.S's
Urand'm-Hcnderson.pfd.
British Amer. Assurance
Burns. P. 1st Mtdc. 6's..
Can. Crocticr Wheeler pf.
Can. Furniture pref.
Can. Machinery . . . com.
6's.
Can. Oil com.
Can. Westinithouse
Can. WooUens com.
pref.
Coakshutt Plow 7%preJ.
ColllnKwoodShipb'dK.fi's
Bid
Ask
iio'
88.50
78
8.5
S3
83.50
86.. W
88
93
9
13
95
101.50
74.50
20
26
23
30
73
80
62
70
101
109
45
78
S3
90
57
Continental Life
Crown Life Insurance...
Cuban Can. Sugar, com,
..pref,
Davies William B's
Pom. lron&Stcel5'sl939
Dom. Power com.
DunlopTire pref.
6's.
Eastern Car 6's
Famous Players. 8% pfd.
Goodyear Tire. . pref
G'rd'n.l ronside * Farc6's
Gunns, Ltd pref.
Harris Abattoir 6's
Home Bank
Imperial Oil
King Edward Hotel.. 7's.
London Loan & Savings.
Manufacturers Life
Mattagamn Pulp... pref.
Massey-Harris
Mercantile Trust
Mexican Nor. Power.. S's
Morrow Screw
National Life
North American Pulp
Nova Scotia Steel 6% deb
Ont. Pulp 6's
Page Hersey pref.
Peoples Lo3n& Savings.
Riordon . com. (new stk.)
pfd.
R.Simpson pfd.
South. Can. Power. pref.
South. Can. Power.com,
Sterling Bank
Sterling Coal com
Toronto Paper 6's,
Toronto Power. S's (1924)
Trust* Guar
United Cigar Stores com
pref.
Western Assurance
Western Can. Pulp.com
Western Grocers. . ..pref
WhalenPulp com
pref.
December 17, 1920
THE MONETARY TIMES
43
ACCOUNT BOOKS
LOOSE Leaf Ledgers
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Streets
TORONTO
F. S. RATLIFF & CO.
FARM LANDS— FARM LOANS
STOCKS AND BONDS
Medicine Hat ....
Alberta
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Western Mniilclpal. Srhool anil Sa«l4at4he»an Knral Tele.
phone Co. 4lfbeutare» specialized In.
Correspondence invited
GRAINGER BUILDING - - SASKATOON
WANTED
FIRE INSURANCE GENERAL AGENCY
FOR
Manitoba, Saskatchewan and Alberta
WITH
Strong Tariff Company
Offices in Winnipeg, Regina, Saskatoon and Ed-
monton. Men covering whole western field year
round. Good prospects for company entering
Western Canada. Ail enquiries treated confiden-
tially. Box 369. Monetary Times, Winnipeg.
Northern Securities, Limited
ESTaBLlSHHl) ISOfi
GENERAL FINANCIAL BROKER
Confidential Advice on British Columbia /nvestmenti
^lembcr of Vl.irtgage and Trust Companies Association of British Columbia
529 Pender Street W. VANCOUVER, B.C.
B. GEORGE HANSL'LD J. P.. Manacer
The Trustee Company of Winnipeg Ltd.
322 MAIN STREET
A. .\1. DE LA GICLAIS. .Vlanatmg Director.
See us for investments in allocated or guaranteed loans at i
rates of interest.
Our Agency Department is very actn
your affairs in our char^se.
While out of town, le
— for the good
of the communiiy.
72 Years
Strong
F
OR seventy-two years
we have paid divi-
dends to shareholders
without interruption.
And for seventy-two years
there has not been, at any
time, any general interrup-
tion in the supply of gas to
the citizens of Toronto.
These two facts we think
will have a distinctly fa-
vourable bearing upon the
public subscription for the
unissued portion of our pre-
sent Capital Stock. We are
now inviting tenders for
this stock in blocks of ten
shares or multiples thereof;
the par value of the shares
being $50.00 and the divi-
dend rate 1 0%. .
if interested, write for the
Conditions and Terms of
Sale, and a Form of
Tender.
THE CONSUMERS' GAS COMPANY
OF TORONTO
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
IIUM'iCCAL— Mick IviuK'd Urc. IStli
I PlBurcs supplied by Burnett & Co.)
Slocks
Abitibi P..S:P
pfd.
Asbestos Corp
pfd.
Amcs-Holdcn pfd.
Atlantic Sugar
Bei: Telephone
Brazilian T.L.& Power
■B.C. Fish
Brompton Pulp & P. . .
Canada Cement
■• ...pfd.
Can. Con
Canadian Cottons
.pfd.
Canadian Car
•• ....pfd.
Canadian Gen. Blec...
Carriage Factories . . .
Can. Loco pfd.
Can. Steamship
•■ pfd.
•' " Vot. Trust
<:on. .Mining* Smel...
Del Kys
Dom. Canncrs
Dominion Bridge
Dom. Coal pfd.
Doni. Iron
Dominion Glass
" ...pfd
Dom. Steel Corp
..pfd
.Dominion Textile
•■ ....pfd
■Howard Smith
• pfd,
.Illinois Traction ..pfd.
Lake of the Woods. .
Laurentide
■Lyall Cons
Macdonald Co
Montreal Loan
Montreal Power
Montreal Tram
Tram Deb...i
Telegraph. ..I
National Breweries I
Ogilvie Flour Mills....'
" .pfdi
Ottawa L. H.&P I
Ont. Steel Prod
Penmans I
Porto Rico
Prov. Paper pfd
Quebec Ry. L. H.SP..
iRiordan Pulp* P
pfd.
St. Lawrence Fl. Mills.
..pfd
Shawinigan W. & P ...
Sherwin-Williams. pfd
rSpanish River
•• pfd
'• Div.Vou
St. .Maurice
Steel Co. of Canada...
■ ■• ■■ pfd
Tucketts
Twin City
Toronto Ry. Co
WabassoCofn
Wayagamack P.&P.
Windsor Hotel
Winnipeg Ry
Itniiks
Commerce
Hochelaga
Sales! Open High Low Close
2M3, .?6i S7J
■iai.
.Merchants
Molsons
Montreal
Nova Scotia
Nationale 1
Royal
Union
Bniitlx j
Asbestos Corp
Hell Telephone Co
Cnn.Car
Can. Rubber
Cedars Rapids Mfg....
City Mont. Dec. fi's.I9'i2
■■ MayC-s. I9?.1
" Scpt.6's.l923
Dom. Can.W.Loan.l»-«
19:11
1937
Victory Bond«
.1924
1934.
1922.,
1927.,
19S7.
I92,"t.
1933.
.SOOOI
IfWOOl
fi400
29«)'
17(KI
2491X1
2IIUU
76100
lllS.'tO
37W.V)
4687M
412nO
339200
437 1. SO
13751.10
92} 93J
9S« asi
%J 97
9Si I 971
.MOXTUEAL-Coii/inKtrf.
Ronds
Dom. Cottons . .
Dom. Canners. . .
Dom. Coal
Dom. Iron
Dom. Textile A..
B..
Sales Open 1 High Low Close
40001 85
3000! 75
3500, 91 J
Kan
stiqu
Mont. St. Ry I I
Ogilvie Flour ' !
Penmans | 85 85
Price Bros , 1000 7,5?
QuebecRy.L. H.&P... 14900 Sli
Riordon
Scotia I 1000 77i
753
7S3 7S|
55J
She
i-Wi
ams
Spanish Rii
Steel Co. of Canada ... I 200
Wabasso Cotton I 1050O
Wayagamack P. &■ P. . . I 7400
^6|
TORONTO— Week Ended Dec. lath.
Slocks
Atlantic Sugar
Abitibi
Barcelona
Bell Telephone
Brazilian Traction. . .
Burt. F. N
•' pfd.
B.C. Fish
Can. Bread
Canada Cement
pfd.
pfd.
Canners pfd.|
Canadian Pacific R '
Can. Gen. Elcc
■• ...pfd.
ada Steamship. . . . ,
pfd.
City Dairy.,,.,
pfd.
Con. Gas
Crown Res j
Coniagas
Crows Nest 1
Dome !
Dom. Tel
Loco 1
•■ pfd.!
Mackay Companies.. .
" . pfd.
Maple Leaf
•• •• pfd. I
N.S. Car I
•■ ■• pfd.l
N. S. Steel
Nipissing j
Ogilvie pfd.]
Penman's pfd.'
Porto Rico pfd.
Prov. Paper
pfd.
Sales' Open High Low
1744' 24j
275 : 56i
175| 33
lo' 102i
iiosj 333
5 98
I02i 102 ! 102
Quebec R.L.H. & P
Riordon
Rogers pfd.
Salesbook
Smelters '
Spanish River
..pfd.
Steel Corp I
•• pfd.
Steel Company .
,,..pfd.
Tooke pfd I
Toronto Ry
Toronto Mtg
Tucketls
pfd
Twin City
Winnipeg Elcc
■tniiks
130
42
Imperial I
Merchants
Molsons
Montreal I
Nova Scotia 1
Royal !
Standard 1
Toronto.. ,
Union ,
Lonn mill Trust
Lan.Bnk I
Toronto ("■cn.Tr.RighrsI
Tor. Mtg '
KoniU
Canncrs ,
Can. Bread '
Rio. Jan. T.. L. & P.. .
42 IS8
103 198
116 IK8
10 ISS
6 159
194) 194i
23
141
27
141
2.59
,.,
.500
ss
lOlM
8:1
IKK)
62
K.'aK)
70
130i I l3Di
88 I 88
83i ; 83i
TOKOHTO— Continued
War Loan.s
Sales Open High Low Close
Dom. Can.W.Loan. 1925' 14800
1931 6900
1937 71800
Victory Loan 1922 |446500
1923
1927
1937
1933
1934
1924
132600
45700
283250
605000
6637S0
145B00
WIXXI PEG— Week ended Hec. Ilth.
Victory Loan 1922
•• 1923
" 1924
•■ 1925
" 1927
■' 1937
" 1933
■■ 1934
War Loan 1931
" 1937
" 1925
Home Inv.& Sav. Assn.
Uni(
Ba
West. Canada Fl. Mil
SaleslOpen High' Low
48300 97
39610, 95
8500 94
9650
9950
20950
76600
96}
NEW TOKK— Week ended Itec. Ilth.
Canadian Pacific
Canada Southern
Nova Scotia S. &Coal.
Granby Consolidated .
Boiid.s
Dom. of Can. 5% 1921
■' " ."• 5i% 1921
5% I9i6
Sh% 1929
5% 1931
Salesl Open | High , Low
21200 116b I 116} I 112*
42 40
1700 37* 373 35 J
900
89000
mooo
97000
131000
SSOOO
20
18
LOXIDON, Eiig.— Week ended Dec. 4th.
Uov't. A Mnii.
Canada
3i%
3%
'■ '..'.'. 3j% 193050
" .... 4% 1940-60,
" .... 4i% 1920-25
Calgary 4i% debs..
5% debs...
Edmonton 1932-52..
5%bds.2«3
Manitoba 4*%
Nfld.3}%bds
■■ 3% 1947
Montreal 4j% Reg
3% deb
4% con. deb..
Nova Scotia 3j% Reg..
Ontario 3*% Reg
Quebec 4*% debs
Sask.4%deb
S. Vancouver 4% cons
Vancouver 4j% 19,53...
4*% deb , . . .
Toronto 4*% deb. 1948. .
Victoria 3(% 1921-6...
" 3»% 1929-49...
4% cons
4j9o 1920-25 .. .
4% 1918-22 ...
•• 54% cons.
Winnipeg 4j%c's. 43-63
4% cons.
RnllwayH
Can. Nor. 4% deb. I939i
'■ 4% deb. 1930. i
" •■ 5% deb
Can. Pac
" 4% deb.
■■ 4% pfd.
G.T.P. Br. 4% bd 1939.
G.T.P.3%bds
G.T.P. 4% 1955
G.T. P 4% deb.
Gr. Trunk. .. 4% guar.
Or. Trunk. 5% 1st. pfd..
Or. Trunk 5% 2nd pfd..
Or. Trunk 4% 3rd pfd..
Gr. Trunk 4% cons
Ont. & Quebec 5% deb.:
P. Gt. East. 4i%deb. '42' 775
■ nd.. Fin., Etc. '
Can. Car 7%
" 6% bds I 105j
Can. Cement 6% bds 109
Can. West Lumber 5 »,
Bk.of Commerce.
Sale!
H:ink
M.i
Open
High
Low
73i
73i
73*
64
64
64
62i
624
62*
71 g
718
Hi
90
90
90
78:1
90:
78*
91i
91
911
66?
66*
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December 17, 1920
THE MONETARY TIMES
CORPORATION SECURITIES MARKET
(Continued from page U~)
There are now seven companies operating, and it is
understood that offers will be made to all but Hamilton,
which will continue to opei-ate independently. The others
are: Toronto, two theatres; Montreal, two theatres; London,
Ottawa and Windsor. The Toronto theatres are owned by one
company, but the two Montreal properties are owned sep-
arately, the newer one (Metropolitan) not yet being in oper-
ation.
The new company will acquire all the assets of the
theatrical enterprises mentioned, giving in exchange for the
7 per cent, preference stock of the individual theatres par
for par, 8 per cent, cumulative preference shares of the new
company. Payment for the common stock of the separate
theatres will be as follows: —
For each $100 par value of Marcus Loew's Theatres, Ltd.
(the Toronto theatres), 80 common shares of $10 par value
in new company. For each $100 par value common stock of
Loew's Montreal Theatres, Ltd., 25 shares of $10 each par,
in new company. For each $25 par value common stock of
Loew's Ottawa Theatres, Ltd., 5 common shares of $10 par
value, new company. For each $25 par value common stock
of Loew's Metropolitan (Montreal), Ltd., 3% common shares
of $10 par, new company. For each $10 par value common
stock of Loew's Windsor Theatres, Ltd., 1^/2 common shares
of $10 par, in new company.
K. & S. Tire Bonds
An offering of $.300,000 7 per cent, first mortgage 15-
year sinking fund bonds of the K. & S. Tire and Rubber
Goods, Ltd., is now being made by Richardson, Sheppard
and Thorburn, Ltd., Toronto, at par and accrued interest,
with a bonus of 50 per cent, common stock. A sinking fund
will be set aside each year, commencing November, 1923, of
5 per cent, of the amount of the bonds outstanding. The
securities are redeemable at 105 and interest and are sub-
ject to call on the same terms after November, 1923, or any
interest, after 30 days' notice.
The K. & S. Tire and Rubber Goods, Ltd., was incor-
porated under the Ontario Companies Act, in September,
1919, to take over the K. & S. Tire and Rubber Co., Ltd.,
which company is surrendering its charter. The efforts of
the company have been mainly extended in the manufacture
of druggists' rubber sundries, and it is the intention to make
the present plant more comprehensive so as to supply the
drug trade with their entire rubber equipments. Since its
inception in 1913, the growth of the company has been con-
siderable, sales increasing from $65,000 to $1,060,000 in 1920.
The Eastern Securities Company, Ltd., are offering $200,-
000 8 per cent, cumulative participating preferred shares of
the Lounsbury Company, Ltd., at par, $100 per share, and
accrued dividends. The Loundsbury Company was started
originally in 1891, and is one of the largest dealers in the
maritime provinces in farm machinery, furniture and auto-
mobiles, having offices at m.any of the principal points irt
New Brunsvrick. Proceeds of the new issue will be used to
finance the increased business, which is evident from the
volume of sales, which have increased from $178,700 in 1910
to $900,000, approximate for the first nine months of 1920.
L. E. Waterman Company, Ltd., incorporated under a
Dominion charter, has been authorized to increase the capital
stock from $100,000 to $500,000. New shares are to be of
$100, par value. Tlie company manufactures high-grade foun-
tain pens and ink at St. Lambert, Que.
Sugar Shareholders Approve Financing
No opposition whatever, and but little comment, char-
acterized the special meeting of shareholders of the Atlantic
Sugar Refineries, Ltd., held on December 4 in Montreal, to
pass upon the two by-laws enacted some time ago by the
directors of the enterprise in the effort to meet the difficulties
arising out of the recent demoralization of the sugar market.
In submitting the two by-laws to the meeting for approval,
D. Lome McGibbon, president, who ha<i just returned from
New York, stated that it was not considered advisable in the
interests of the company at the present junctui-e to make public
the extent or detailed nature of the new financing projected.
The public and the shareholders generally, he said, were
familiar with what had happened in the sugar industry, not
only in Canada, but in the United States and elsewhere as
well. What the future would be could not be forecast, but
the adoption of the two by-laws submitted was absolutely
necessary if the Atlantic Sugar Refineries Company was to
be financed successfully through the present crisis.
The two by-laws, already given in detail in these
columns, give the board of directors complete authority to
effect whatever financing they may deem necessary, and in
whatever form and terms may be decided upon.
The Standard Agencies, Limited
Head Office - CALGARY, ALBERTA
Money to Loan on Improved Farm Lands and City Properties
in Western Canada. A J. SCOTT. Gen. .Manager
P.
M. LIDDELL & COMPANY
Inveslmenl Bankers. Fiscal Agents
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
Private WrKES to WINNIPEG, CHICAGO. TORONTO.
MONTREAL AND NEW VORK
"The
Monetary T
imes"
w
11 be sent you for four months
jr TRIAL SUBSCRIPTION plan
$ l.OO
on
for
Just send a
dollar bill and your name
and address.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Branches— SASKATOON AND CALOARY.
Canadian Managers
BBNT Corporation op Canada, Ltd.
London Office: 4 Great Winchester St.. E-C.
THE MONETARY TIMES
Volume 65.
Corporation Finance
Sharp Drop in Profits of Canadian Car and Foundry Company Due to Unsettled Conditions Dur-
ing Early Part of the Year— Increased Earnings by Canada Iron Foundries — Financial State-
ment of Dominion Glass Company Reflects Prosperous Year— Halifax Shipyards Outlook Promising
Dominion Foundries and Steel, Ltd. — In connection with
the offering- of $800,000 7 per cent, cumulative preferred
stock of the Adirondack Steel Foundries Corp., of Albany,
N.Y., the following statement of the company's affairs has
been issued by the parent company as at November 30 last:
Cash and accounts receivable, $109,426; raw material and
work in proces.s, §72,2;W; fixed assets, $890,270; deferred
assets, $10,655; total assets, $1,082,592; accounts payable,
$75,581; bills payable, $175,000; deferred, $2,944; common
stock, 40,000 shares, no par value, carried on books at value
of $200,000; preferred stock, $610,000 ($10,000 sold during
interim); profit and loss (first four months' operations), $19,-
067. The $190,000 unissued Adirondack preferred is in-
cluded in the present offering. This amount, not shown in
the statement, will accrue to the Adirondack company and
the balance of sale $600,000 will accrue to the Dominion com-
pany.
British Columbia Electric Railway Co. — In a deal by way
of debenture guarantees representing between $7,000,000 and
$8,000,000, and stock purchase, the company is acquiring
control of the Western Canada Power Co. In New York
City on December 23 the Western Power directorate will re-
sign, to be i-eplaced by administrative officers of the British
Columbia Electric Railway Co., headed by George Kidd, gen-
eral manager. All arrangements for the transfer have been
completed. The option given representatives of British
Columbia Electric Railway Co. by the majority shareholders
of the Western Power Co. of Canada on Western Power of
Canada preferred at $70 per share and on Western Power
of Canada common at $35.10 per share has been exercised.
Payment for the shares deposited will be made on December
23 next.
The British Columbia Electric Co. has agreed to accept
up to May 15 next additional Western Power preferred and
common shai-es that may be deposited up to that time, at
the same price and on the same terms governing purchases
of stock already deposited. It is felt that the completed
arrangement which was carried through by Royal Securities
Corporation, places the securities of Western Power Co. of
Canada in a much stronger position than before.
Halifax Shipyards. Ltd. — The annual meeting of the com-
pany was held in Montreal a few days ago, when H. B.
Smith, president, reported a satisfactory year. The net
result of the year, as disclosed in the annual report, showed
a substantial surplus, with the outlook for the coming year
of a most promising nature.
President Smith, in his address to the shareholders pre-
sent, stated that the Canadian "Signaller," constructed for
the Canadian Government Mercantile Marine, a ship of 8,300
tons dead weight carrying capacity, had been constructed,
launched and delivered during the period covered in the re-
port. The vessel, he stated, had conformed to the highest
classification of Lloyd's, and a sister ship would leave the
ways at Halifax on December 18, when Sir Robert Borden
would act as sponsor of the new craft.
Two other ships, Mr. Smith said, of 10,500 tons capacity
each, were in course of construction at the shipyards of the
company, and it was anticipated that delivery of these would
be made by June of next year. In addition, the Halifax con-
cern has a large volume of repair work on hand. Mr. Smith
also reported that the company has in prospect orders for
the construction of five large oil tankers, the booking of
which is almost consummated. This work will be sufficient
to keep the Halifax yards, as well as those of the Davie Co.
at Levis and the Tidewater Co. at Three Rivers, busy during
the whole of the coming year.
Dominion Glass Co., Ltd. — The financial statement of
the company for the year ended September 30, 1920, reflects
prosperity. Profits for the 12 months amounted to $757,989,
an increase of $126,265, or slightly in excess of 20 per cent,
over those of the preceding fiscal period. After deducting
bond interest, preferred and common dividends, which ag-
gregated the same as in the previous statement, there re-
mained a balance from the year's operations of $235,989, com-
pared with $109,724 at the end of the previous period. The
amount available for application to the common shares is
shown in the statement at $405,989, representing earnings-
at the rate of 9.55 on the securities, against 6.58 per cent,
in 1919. Profit and loss balance carried foi"ward was $725,-
544, compared with $489,555 a year ago, although in the
latter period a reserve fund of $500,000 was established.
The working capital position is slightly below that of a
year ago. Sir Charles Gordon, president, points out in his
report that the showing is more noteworthy, in view of the
fact that extensive additions and improvements were effected
during the year. The figures compare as follows: —
1920. 1919.
Current assets $2,485,966 $2,048,166
Current liabilities 1,027,057 520,727
Working capital $1,458,909 $1,527;439
The balance sheet, as a whole, is a commendable one, as
the following comparisons will illustrate: —
1920. 1919.
Properties, etc $ 4,720,173 $ 4,292,208
Patents, goodwill, etc. . . . 4,600,920 4,600,000
Inventories 1,051,359 834,369
Accounts receivable 1,297,879 937,182
Cash 92,604 268,855
Investments 220,880 120,188
Total assets 12,066,350 11,092,079
Bonds' account 1,578,300 1,650,800
Accounts payable 584,389 207,399
Accrued charges 354,668 225,322
Depreciation reserve 907,549 674,388
Sinking fund 446,765 374,040
Canadian Car and Foundry Co., Ltd. — A sharp reduc-
tion in profits is shown in the statement of the company for
the year ended September 30, 1920. Subject to government
taxes, profits for the year under review were $539,397, as
against $1,887,634 in the previous period. The surplus
carried forward was also reduced, the figure being $6,243,603,
subject to government tax, as compared with $7,061,556 for
1919. The profits of the company were severely affected by
strikes in the plants of the company, and more particularly
by the congestion in the American steel mills, which followed
on the strikes in the United States. These developments
greatly retarded shipments from the various plants.
On the other hand, the report shows that the company
entered the new fiscal year with the greatest amount of
business on hand in its history, the value of unfilled orders
totalling $26,000,000, as compared with $8,500,000 at the end
of the previous year.
The general statement of assets and liabilities shows
some important changes. This is probably due to the large
amount of unfilled orders on the books of the company, which
are now being filled. These large orders are reflected more
particularly in the inventories of manufactured and partly
manufactured products, and these now stand at $14,788,960,
as against $7,394,225 a year ago. Accounts and bills re-
ceivable amount to $4,105,888, up from $2,326,184; temporary
December 17, 1920
THE MONETARY TIMES
Sterling Coal Co.
Limited
Notice to Bondholders
By a resolution passed by the Bondholders of the
Company at a meeting held on 19th February, 1915, it
was resolved to cancel the liability of the Company to
pay the interest on the bonds maturing 1st January and
1st July. 1915. and 1st January and 1st July, 1916. until
such time as the Directors of the Company should elect
to pay the same, with a proviso that the Directors should
not declare any dividend upon the capital stock before
such interest on such bonds should have been paid in
full, together with interest upon such interest at 6 per
cent, per annum, compounded yearly.
Coupon No. 10 having been paid on and after July
2nd, 1920. NOTICE IS HEREBY GIVEN that the second
of the Coupons mentioned in the above resolution,
namely, Coupon No. 11, due July 1st, 1915, will, on
presentation and surrender to the Company, be paid
AT THE COMPANY'S OFFICES, 95 BAY STREET,
TORONTO, on and after January 3rd 1921, with com-
pound interest thereon from 1st July, 191 5, to 1st January.
1921.
By order of the Board of Directors,
H. G. RATCLIFFE.
Secretary.
Toronto, December. 10. 1920.
NOTE. — In respect to each Coupon No. 1 1. bearing face
value of $3.00 the amount of $4. 13 will be paid ;
in respect of each Coupon No. 11. face value
$30.00. the amount of $41.30 will be paid.
Bureau of
Canadian
Information
'T^HE Canadian Pa-
cific Railway,
through its Bureau
of Canadian Infor-
mation, will furnish
you with the latest reliable information on
every phase of industrial and agricultural
development in Canada. In the Reference Li-
braries maintained at Chicago, New York and
Montreal are complete data on natural resources,
climate, labor, transportation, business openings,
etc., in Canada. Additional data is constantly
being added.
No charge or obligation attacfies to this service.
Business organizations are invited to make use
of it.
Canadian Pacific Railway
Department of Colonization and Development
165 E. Ontario St.
Chicago
335 Windsor Station
Montreal
1270 Broadwi
New York
Bank Directory of Canada
APPROVED BY
The Canadian Bankers' Association
It contains an Alphabetica Li^^t of places in Canada.
Every Bank, together with the aame of the Manager, is given.
Where there is no Bank, the i^ost convenient Banking Point is given with the
distance in miles.
It will be found invaluable to the Collection and Correspondence department of
every banking and commercial office.
The 230 pages are arranged for rapid reference. It is clearly printed and
well bound.
$5.00 PER ANNUM
ISSUED MONTHLY
Houston's Standard Publications
STOCK EXCHANGE BUILDING. 84 BAY STREET. TORONTO. ONT.
THE MONETARY TIMES
Volume 6.'i
investments, bonds and other securities at $1,339,620, com-
pared with $1,903,297, making the total of current assets
$20,720,183, against $12,438,623. The lai-ge inventories are
also reflected in the increase in current liabilities, an item of
bank and other loans appearing this year amounting to $5,-
250,000. Accounts and trade bills payable and pay-rolls of
$6,714,230, compared with $1,661,161.
Comparisons of the principal figures are as follow.s: —
1920. 1919.
Bonded debt .$ 5,028,146 $ 5,223,133
Canadian steel foundries 7,757,822 8,182,776
Current liabilities 12,219,602 2,074,647
Reserves 5,032,922 5,123,455
Properties 22,954,205 22,-373,964
Current assets 20,720,183 12,438,623
Deferred charges 154,561 104,848
Total assets 43,828,950 35,017,435
In his report to shareholders, W. W. Butler, president,
made the following comment: "As stated in the previous re-
port, the outlook at the commencement of the year was un-
certain, and the high cost of labor and materials caused the
1920 equipment program of the Canadian railroads to be
considerably delayed and eventually greatly curtailed. In
order, therefore, to keep the various plants operating during
the earlier months of the year, your directors undertook sub-
-stantial contracts for repairs to cars at a relatively low
margin. Retarded operations caused by delay in the receipt
of materials was especially responsible for the accumulation
of large inventories and for the increase in current liabilities.
This condition of affairs, however, is but temporary, and the
execution of the business remaining unfilled at the close of
the year will, it is considered, satisfactorily restore the liquid
capital of the company and materially strengthen its re-
sources."
Canada Iron Foundries, Ltd. — A very satisfactory year
was concluded by the company on September 30, 1920, both
as regards earnings and profits. Earnings for the twelve
months, before depreciation and other charges, amounted to
$603,562, an increase of $114,619 over the preceding period.
After making provision for depreciation, interest on deben-
tures, for the maintenance of non-operating plants and for
the proportion of expenditure on the company's plants
charged against revenue, there remained an amount of $183,-
611 available for dividend purposes, or equal to 4.7 per cent,
on the outstanding preferred stock of the enterprise which
during the year was placed on a 4 per cent, basis. When
all deductions were made and the balance carried over from
the pievious year added, there remained the sum of $194,855
at the credit of profit and loss account. Of this amount
$50,000 was transferred to reserve and the balance of $144,-
855 carried fonvard, as compared with $166,356 carried for-
ward last year.
The balance sheet shows reductions in investments and
cash, and in preferred and common stock. In regard to the
latter two, the president explains that readjustment.'^ in con-
nection with the winding-up of the accounts of the liquida-
tors of the Canada Iron Corporation caused such changes.
Inventories are very much higher. Comparisons are as fol-
lows:—
1920. 1919.
Real estate, buildings, etc. . . $4,911,553 $5,197,763
Inventories 1,090,634 736,122
Accounts receivable 1,100,614 840,442
Investments 636,340 683,859
<^"sh 85,543 129,993
Total assets 8,119,330 7,604,927
Preferred stock 3,877,800 3,965.800
Common stock 1,598,900 1,800,000
Debenture stock 809,298 793,298
Bank loans 402,365
Reserve fund 700,000 650,000
RECENT FIRES
College of Ste. Anne de la Pocatiere, Valued at $500,000,
was Destroyed by Fire — Several Stores in Quebec
Damaged with a Loss of $50,000
Beverly, Alta. — December 5 — The residence of W. A.
Traux was destroyed by fire. The fire started in the kitchen.
Ladysmith, B.C. — December 3 — The shingle mill of the
New Ladysmith Lumb?r Co. was damaged by fire. The loss
of property is $31,000, with insurance of $13,750.
London, Ont. — December 13 — Cigarette smoking did dam-
age to the extent of $2,000 to the Aged People's Home.
Moncton, N.B.^ — December 10 — The plumbing shop of
Wm. Watson, Main Street, was damaged by fire, as well as
the rear of the residence. The loss is $1,800, with $1,000
insurance.
Montreal, Que. — December 11 — Residence of J. A. May-
nard, 1474 Chabot Street, was damaged by fire. The fire was
of incendiary origin.
Quebec. Que. — December 9 — A fire broke out in the shoe
store of Louis Deschenes, 58 St. John Street, and damaged
the adjoining stores. The loss is estimated at $50,000.
December 15 — The College of Ste. Anne de la Pocatiere,
situated on the River St. Lawrence, about 70 miles from here,
was destroyed by fire. The college was valued at $500,000-
Tilbury, Ont.— December 9— The Tilbury flax mill, which
was owned and operated by the Ontario Flax Co., was dam-
aged by fire. The loss is estimated at $7,000.
Toronto, Ont. — December 10 — A fire broke out at 21
Prescott Avenue, occupied by the Ivy Storage Battery Co.,
causing $325 damage to building and contents. Residence of
Julius Weiner, 164 Brunswick Avenue, was damaged to the
extent of $2,000 when a fire broke out, caused by a defective
furnace.
Winnipeg, Man. — December 14 — A fire broke out in Main
Street, opposite the city hall. Four business places, including
the Manitoba and City Hotels, suffered loss.
Woodstock, Ont. — December 13 — A fire broke out in the
bindery department of the "Sentinel-Review," doing damage
to the extent of $10,000.
ADDITIONAL INFORMATION CONCERNING FIRES
Gravenhur.st, Ont. — November 30 — The Muskoka Free
Hospital for Consumptives, owned by National Sanitarium
Association, suflTered a total loss by a fire which was caused
by the wiring.
Orillia. Ont. — December 4 — Factory and part of the con-
tents of the Electro Foundries was destroyed by fire. The
loss is $22,500, with insurance of $30,000.
Ottawa, Ont. — November 23 — Residence of Ero. D.
Wright, K.C., was damaged by a fire which was caused by
matches. The less is estimated at $1,158.50 on contents and
$1,611 on building. There was insurance of $7,100 in the
Phcenix and Mercantile Insurance Companies.
Sydney, N.S. — November 22 — The building belonging to
J. F. Merchant and Sons was damaged by a fire which was
caused by electric irons. The loss on contents is $125,000 and .
$13,700 on the building.
A^ancouvcr, B.C. — The fire chief's report for the month
of November shows that during the month there were 82
alarms. The total loss sustained by fire for the month, ex-
clusive of the "Ballena" marine loss of November 13th, was
$14,208, of which $10,168 was covered by insurance. The
following shows the cause of fire: Backfiring autos 1, cigar-
ettes 2, jnatches 2, chimney fires 34, defective chimney 1,
defective fireplaces 1, electrical origin 5, smoking in bed 2,
sparks 3.
.\ vast reservoir, costing approximately $400,000, is to
be constructed immediately west of Melville, Sask., by dam-
ming Mud Creek. The reservoir has been decided on by
officials of the Canadian National Railways. This will give
Melville a permanent supply of water.
Ptf:;.lSHKD EVrRS- FlJiDAV
The -Monetary Times
Printing Company
of Canada. Limited
'The Canadian Engineer"
onetarg ffitntcs
Trade Review and Insurance Chronicle
of (TanaDa
Established 186"
Old as Confederation
JAS. J. SALMOND
President and General Majiager
A. E. JENNINGS
Assistant General Bianager
JOSEPH BLACK
S«oretari"
«'. A. McKAGlJE
Editor
War Time Expansion Was Largely a Delusion
Figures Which Seem to Indicate Growth More Often Really Show Reduction in
Business — Currency Inflation and Decreased Purchasing Power of Gold Are
Responsible — A Comparison of Some Trade. Banking, Insurance and Other Figures
IT was easy for business to expand during the war. Any-
one who could acquire a little property, whether it be a
factory, a house or a motor car, found his wealth increasing
of its own accord. Assets which were physically unchanged
could be written up in value at the end of each year, be-
cause the dollar, in tenris of which they were valued, was
going down. But the United States, and even the Canadian
dollar, are among the soundest units of currency in use to-
day. The gi'eater depreciation of the pound, of the franc,
the lire, the mark and the rouble have expanded nominal
wealth in European countries to amazing totals.
The public, which at first was dazzled by the apparent
buoyancy of personal and public finances during the war,
soon found that the apparent prosperity was visionary.
-Money was plentiful but iis purchasing power was daily
becoming less. Material goods to satisfy human wants were
becoming scarcer, and the real income of the average in-
dividual was decreasing. Nominal profits and wages, it is
true, increased, but few companies or wage-earners found
themselves making any real progress. Meanwhile investors,
salaried employees and others with a fixed money income,
found themselves slipping back at a disheartening rate. It
was easy to cite figures of national prosperity, but difficult
to convince the individual.
In Canada the purchasing power of the dollar is meas-
ured fairly well by the index number of wholesale prices,
compiled monthlj- by the department of labor. The number
for May, 1920, was 356.6, compared with 136.,3 for May, 1914.
This is an increase of 161 per cent, over the war and post-
war period. It represents the weighting which must be ap-
plied to the present Canadian dollar to find how many of
therii would buy what one dollar would in 1914; that is,
^1.61 of our present money will buy the same amount of a
1 epresentative group of commodities as would %\ in 1914.
When this decline in purchasing power is applied to some
of the figures commonly quoted as showing expansion, actual
decreases are found, for one dollar at present is the equival-
' nt of no more than thirty-eight cents in 1914.
A correct comparison, therefore, of monetary figures for
the year 1914 requires that this decline in the real value
of the dollar be taken into consideration. .As most of the
ligures used below are for the calendar years 1914 and 1919,
or for financial years ending early in 1915 and 1920, the
best index numbers to use as a basis will be those for Decem-
ber, 1914, and for Decemb^i-, 1919, coming at the end of the
respective years or during them. These numbers are re-
spectively 137.3 and 322.7, showing an increase of 135 per
cent.; in other words, the dollar in December, 1919, would
buy just about what 42.5 cents would buy in December, 1914.
Trade figures have expanded greatly during the past six
years. When the present figures are reduced in proportion
to the reduced purchasing power of the dollar, however, our
actual trade has contracted, as the following comparison of
figures for the fiscal vears ended March 31, shows:-—
1920
1914 1920 (weighted).
Imports ? 619,065,728 $1,064,516,169 % 453,000,0u0
Exports 455,437,224 1,286,658,709 547,000,000
Total 1,074,503,052 2,351,174,878 1,000,000,000
Exp. to U.K. 215,2.53,969 489,151,806 208,000,000
Imp. from U.K. 132,070,362 126,269,274 54,000,000
Exp. to U.S. 163,372,825 464,029,014 197,000,000
Imp. from U.S. 395,565,328 801,632,849 341,000,f>flO
The trade figures for the fiscal year ended March 31,
1914, have been used in this comparison, as those for- the
.vear ended March 31, 1915, were abnormally low. The index
number changed very little between December, 1913, and
December, 1914. The comparison shows that after the 1920
dollar has been reduced to its 1914 equivalent, exports, in-
cluding exports to the United States, have really increased.
Our total trade, and our imports, have all been reduced.
Banking Business has Contracted
A similar comparison of the more important banking
figures gives the following results: —
March, 1920
March, 1914. March, 1920. (weighted).
Circulation % 96,848,384 $ 231,220,770 % 98,000,000
Demand deposits . . . 345,590,642 657,412,028 280,000,000
Savings deposits . . 646,143,604 1,197,719,570 510,000,000
Deposits abroad . . . 114,523,736 318,277,881 135,000,000
Current loan in Can-
ada. 838,381,265 1,322,267,030 562,000,000
Current loans else-
where 53,279,411 183,642,658 78,000,000
Call loans in Canada 69,088,240 128,233,210 55,000,000
CkJI loans elsewhere 145,218,223 205,202,133 87,000,000
A similar comparison of bank net profits shows: —
1914
1914. 1919. (weighted).
Montreal $2,496,451 $3,314,227 $1,410,000
Commerce 2,668,233 3,074,892 1,308,000
Royal 1,886,142 3,423,264 1,456,000
It is evident, therefore, that of the above principal bank-
ing accounts, only deposits and current loans abroad have
grown to any extent, and there has been a slight increase in
circulation. As re.gards profits, the real value of these is
greatly reduced, and even more than as indicated above
because the 1919 profits include those of some banks absorbed
since 1914.
Insurance Also Reduced
Insurance is another branch of finance which has ex-
panded greatly. As has been pointed out already in these
columns, however, it is doubtful if it has kept pace with
the changed conditions. The comparison below would in-
dicate that it has not: —
THE MONETARY TIMES
Volume 65.
1910
1914. 1919. (weighted).
Fire premiums . $ 27,499,158 $ 39,914,398 $ 17,000,000
Fire losses paid 15,347,284 16,642,172 7,000,000
Fire insurance in
force 3,456,019,009 5,904,396,461 2,512,000,000
Life premiums . 53,835,737 94,574,689 40,000,000
Life payments . 28,207,981 53,006,830 23,000,000
Life insurance in
force 1,242,160,478 2,176,432,846 964,000,000
Similar comparisons might be applied to many other
figures. Bank clearings were $8,087,728,595 in 1914, and
$16,701,279,382 in 1919; but if the dollar in the latter year
be considered as the equivalent of 42.5 cents in the former,
it is found that clearings, instead of having increased as
might be inferred, have actually decreased in terms of com-
modities.
Some Profits Increased
The same qualifications may be applied to the net earn-
ings and profits of corporations, as the following illustrates: —
1919
1914. 1919. (weighted).
Bell Telephone $ 2,212,617 $ 2,153,324 $ 954,000
Canadian Cottons 573,877 1,563,103 665,000
Canada Cement 1,517,059 1,907,969 812,000
Canadian Car 394,958 2,424,751 1,032,000
Canadian Locomotive 334,114 848,683 361,000
Dominion Steel 3,571,058 5,532,529 2,354,000
Steel Company .539,811 2,897,075 1,233,000
Price Bros 594,010 2,055,782 913,000
Spanish River 31,579 1,296,921 552,000
Can. Cons. Rubber . . 479,181 2,397,577 1,019,000
Totals $10,248,264 $23,077,714 .$9,995,000
In the case of the assets of a few industrial companies
the figures work out as follows: —
1919
1914. 1919. (weighted).
Bell Telephone $ 40,852,099 $ 56,527,751 $ 24,500.000
Canadian Cottons 14,484,144 14,863,442 6,300.000
Canada.. Cement 35,447,514 35,143,610 14,900,000
Canadian Car 25,401,357 35,017,435 14,900.000
Canadian Locomotive 5,583,106 7,871,474 3,300,000
Dominion Steel 81,844,651 102,545,204 43,600,000
Steel Company 31,302,811 47,660,389 20.300,000
Price Bros 17,244,020 24,675,567 10,500,000
Spanish River 14,693,842 31,603,104 13,400,00()
Can. Cons. Rubber . . 14,128,095 28,172,519 12,000,000
Totals $280,981,639 $384,090,495 $163,700,000
As measured by commodities rather than by money, the
above calculations show that Canadian business as a whole
has contracted during the six years since the beginning of
the war. PIxports of Canadian produce are the only trade
figures which show a real growth. Bank deposits, although
in actual money they have increased enormously, have not
so great a purchasing power as they had in 1914; the
deposits and loans abroad show a real increase, however.
Both fire and life insurance have failed to keep up with
the general inflation. Bank clearings, representing the
volume of business transactions as a whole, indicate that
this volume has actually been reduced. Out of a representa-
tive list of ten industrial companies, none show an increase
in assets, but several show an increase in net profit.-;.
In some cases the actual position may be belter than
thesi- figures would indicate. Many industrial companies
have not written up their assets to their full market
value, fearing that this would make drastic reduc-
tions necessary in the future at a time when profits
were not good. The banks have pursued the same constrva-
tivc policy in the valuation of their premises. Even if the
figures are approximately correct, however, they show that
the Dominion is to be congratulated more for its self-de-
ception than for its progress; and that shareholders in
prominent industrial companies are now receiving less real
return from their investment than they did in 1914.
How do figures of the actual amounts of commodities
produced, exported or imported, where they are available,
bear out the above results? A comparison is as follows : —
1914. 1919.
Wheat production (bushels) . . 161,280,000 193,260,400
Oats production (bushels) 313,078,000 394,387,000
Barley production (bushels) . . . 36,201,000 56,389,400
Corn production (bushels) 13,924,000 16,940,500
Potatoes production (bushels) . . 85,672,000 125,574,900
Hay and clover (tons) 10,259,000 16,348,000
Number of horses 2,947,738 3,667,369
Number of milch cows 2,673,286 3,548,437
Number of other cattle 3,363,531 6,536,574
Number of sheep 2,058,045 3,421,958
Number of swine 3,434,261 4,040,070
Gold production (oz.) 773,178 767,167
Silver production (oz.) 28,449,821 15,675,134
Copper production (lb.) 75,735,960 74,124,653
Lead production (lb.) 36,337,765 43,895,888
Nickel production (lb.) 45,517,937 44,542,953
Pig iron production (tons) 783,164 38,457
Coal production (tons) 13,637,529 13,586,300
Cement production (bbl.) 7,172,480 4,991,340
Regarding the crop figures, it is important to remember
that 1914 was not a good year, while 1919 was a fairly .good
one, making the comparison more favorable to the latter.
The production of livestock and of some metals was stimul-
ated by the high prices resulting from the war. In several
cases, however, the actual quantities produced were less
in 1919 than in 1914.
A comparison of some exports, in quantities, is as fol-
lows:—
1914. 1919.
Wheat (bu.) 120,426,579 41,808,897
WheE^t flour (bbl.) 4,832,183 9,205,439
Oats (bu.) 34,996,664 17,879.783
Hay (tons) 191,515 492,208
Bacon (lb.) 23,859.754 120,622,092
Butter (lb.) 1,228,753 13,659,157
Cheese (lb.) 144,478,340 152,207,037
Silver (oz.) 36,758,276 19,758,478
Copper (lb.) 83,250,198 65,612,400
Nickel (lb.) 50,580,536 79,164,400
Coal (tons) 1,498,820 1,826,639
The steam railways carried 46,702,280 passengers and
101,393,989 tons of freight in 1914, compared with 78,371,716
passengers and 116,699,572 tons of freight in 1919. The
corresponding figures for electric roads were 614,709,819
passengers and 1,845,923 tons of freight in 1914, and 686,124,-
263 passengers and 2,474,892 tons in 1919.
.JUDGMENT ON DOMINION STEEL CASE
Judgment in the claim of the Dominion Iron and Steel
Corporation against the Dominion government for rolling
100,000 tons of steel rails ordered by the government during
the war was delivered by Sir W'alter Cavssels in the exchequer
court on December 16. The president, in his judgment, fixed
the price to be paijl at the rate of $65 a ton for No. 1 rails
and $63 for No. 2 rails. The claim of the company for in-
terest and profits lost through the fulfilment of the govern-
ment order was disallowed. Each side was ordered to pay
its own costs.
The prices arrived at were those which hf.d been esti-
mated by the minister of railways, and the judgment upholds
the opinion of the minister. The claim of the company was
for the price rails plus compensation for profits lost through
the necessary cancellation of contracts with the imperial
munitions board. The company's claim for interest on profits
lost was disE.llowed. The suit involved the sum of $1,116,000.
-.^MBi
December 24, 1920
THE MONETARY TIMES
Remove Luxury Tax to Stimulate Business
statement Issued by Government Maintains That Objects of Tax Have Been
Accomplished— Took Effect on December 20 — Sales Tax Remains in Force
(Special to The Monetary Times. >
Ottawa, December 23, 1920.
BY an order-in-council passed on December 18, the luxury
taxes imposed at the last session of parliament were
abolished, commencing December 20. The order W£'S passed
under authority of section 92 of the Consolidated Revenue
and Audit Act, which empowers the government to remit any
duty or toll. Exceptions are made in the case of spirituous
and alcoholic liquors, medicated wines, patent and proprietary
preparations containing alcohol, lime and fruit juices, fortified
spirits and strong w&ters, perfumery and toilet preparations,
playing cards and confectionery, on which the tax will still
be collected. The sales tax, collected from manufacturers,
wholesalers and importers, remains in force. An official
statement referring to the order says: —
Official Statement
"Many important industries are completely shut down,
while others have laid off their employees by the hundreds
£>nd thousands due to lack of orders, a condition brought
about largely by the idea generally held by the public that
this method of taxation was intended to be of a temporary
character and must sooner or later be abolished. Having
this idea in mind, the public had practically stopped buying,
with the result th&t factories in many important lines could
not operate and their organizations were seriously dislo-
cated. With the winter upon us these serious and extraor-
dinary conditions were accentuated, and it appeared clear to
the government that immediate action was necessary in the
interests alike of employees, ma^nufacturers and the general
public.
"Sir Henry Drayton, after an exhaustive study of the
problem, reached the undoubtedly sound conclusion that the
main and exceedingly necessary and useful purposes for
which these taxes were imposed namely, that of curtailing
extravagance, reducing prices and causing the people to
think f-nd reflect upon conditions and prices had been well
attained, and that it would be unwise in the public interest to
continue the taxes in face of the grave unemployment situ-
ation, and in view also of the fact that conditions and prices
are steadily becoming more normal. He feels that the sooner
business of all kinds can be stabilized a^nd steadied down to
normal the better it will be for everybody, and toward that
end he considers it to be his duty to take piompt and ex-
traordinary action, as in this case, to meet extraordinary
conditions.
Merchants in Difficulty
"He also had in mind the situation of merchants who,
in nif-ny cases, were unable to stand up under the double
burden of falling values of their stocks and luxury taxes.
In this connection there is no doubt the operation of the taxes
checked purchases by merchants of high-priced stocks and,
to that extent, was beneficial to them.
"The order was passed under authority of section 92 of
the Consolidated Revenue and Audit Act, which empowers
the govemor-in-council to remit any- duty or toll. The
Laurier government exercised this power on two occasions,
once in 1901, when they remitted the duty on seed wheat for
the farmers in the west, and again in 1911, when, to meet
a serious shortage of coal in the west, they remitted the
customs duty on all coal imported at all ports west of Sault
Ste. Marie. The same authority was also exercised by the
last government in remitting the duty on cattle and tra-ctors.
"The order providing remission of these excise taxes
means that the taxes will not be collected on sales and im-
portations made on and after Monday, December 20."
When Sir Henry Drayton, finance minister, brought
down his last budget, there was a certa-in curiosity as to
whether the Business Profits Tax would be included or not.
Special provision was made for its continuance for twelve
months, but Sir Henry Drayton said with reference to severe
criticism directed against this method of obtaining revenue:
"It may possibly be that with another year business will
be more normal and that no business profits tax should be
levied."
When the next budget is brought down there will be
tremendous interest in the announcement with regard to
this excess profits tax, and not alone because it was indi-
cated that this is a temporary tax, and that it might pos-
sibly be eliminated this year. That interest received grea^t
stimulus from the government's action last Saturday in
ordering the collection of luxury taxes to cease last Monday.
Luxury taxes were also introduced as temporary taxes, but
it is worthy of note that while the luxury taxes were intro-
duced with the avowed object not only of providing revenue,
but of checking extravagance and wasteful buying, and help-
ing to bring about deflation, the exemption of profits from
the operation of the Excess Profits Tax was increased from
7 to 10 per cent, of the paid-up capital, with the avowed
object of enabling firms "to set aside more of their profits
to reserves or plant extensions, and to put their business in a
better position to meet the deflation period, while a check
will still be held on abnormal profits."
The tax put on to help produce deflation has now been
teken off, in consideration of unemployment produced partly
as a result, and because it is claimed a certain deflation has
been produced. As further deflation is expected in many
lines, the quei-j- put insistently to the Finance Minister is
as to whether the conditional promise made last year of re-
moving the Excess Profits Tax if business became more
normal will be fulfilled this year. The government has ad-
mitted the force of most of the arguments made against the
Excess Profits Tax. claiming only that it is a rough-and-
ready method of getting revenu? at a time when it is greatly
needed from those who have had exceptional prosperity in
the country. They admit that it bears unjustly on some
companies and on some kinds of business as compared with
others; that n ethods of capitalization differ; that profits
required in different industries differ, and that it leads many
firms to spend far more in salaries, in extravagant purchases
and on their business than they would otherwise do.
Luxury Tax .Not Productive
The great difficulty is revenue, however. November's
luxury tax collections amounted to ?1,200.000, and the whole
amount collected to date is about five million dollars, and
would not exceed fourteen or fifteen million dollars in the
best of years. It is a more serious matter with the Excess
Profits Tax, which produced a revenue of $32,970,061 for the
fiscal year 1918-19 and ?44,14.5,]81 for 1919-20. Up to De-
cember 20 the amounts collected this year had fallen to
$23,129,45.5. and, with the 10 per cent, exemption coming
into play for the profits earned during this year, the collec-
tions in 1921 will not come anywhere near the high levels
hitherto attained, and it would be a long time before they
would do so. Yet thirty or forty million dollars from luxury
and excess profit taxes is a great deal of revenue to lose,
even when total collections approximate the six hundred mil-
lion dollars which the Dominion hopes to have received by
the end of the fiscal year. If collections from other sources
keep up, the Excess Profits Tax will go, however. The prob-
lem is to make up the loss. An eye has to be kept o»i the
United States in any income tax legislation, and the customs
THE MONETARY TIMES
Volume 65.
cannot be hoped to bring greater amounts when the govern-
ment is doing its best to get a favorable balance of trade to
help out the exchange situation. The sales tax will probably
be extended, if not to the retail trade, yet to more articles
handled by manufacturers, wholesalers and importers. The
idea of a federal land tax to be collected by municipalities
as a super-tax on their own tax bills or on accompanying
bills in return for a small percentage of receipts as com-
mission is growing in favor here, although officials are against
it as being difficult to collect. That taxation source will not
be tapped in 1921, however. Stamp taxes of all kin Is will
probably persist for some years, and excise taxss will have
to be the chief reliance for some years to come of finance
ministers faced with the need of getting an increased revenue.
GOOD I.WKST.MKNT SITU.\TI<)N IN \VINM1'E(;
City Receives Fair I'rice for its Bonds, and There is Steady
I-ocal Demand for Victories — Farmers Feel Low Prices
(Staff Correspondence.)
Winnipeg, December 23, 1920.
I^ONEY for investment seems fairly plentiful in Winni-
■L" peg, according to T. R. Billett, a member of the local
stock exchange. He states that business in connection with
thE't institution did not indicate that there was any great
scarcity of money in Winnipeg. On the contrary, there seems
to be no limit to the volume of funds which were brought to
light when attractive offerings were presented. Mr. Billett
stated that the situation with reference to Victory bonds
was very satisfactory and that there was ready absorption
for all Victories, with a demand for more. The extremely
high premium on United States funds made these secuiities
a.ttractive to United States investors. The latter were taking
bonds of short maturity, in the expectation that when these
were payable the rate of exchange would be much more
nearly normal.
The city of Winnipeg has just made a sale of $600,000
(> per cent, thirty-year debentures. The .sale was made to
A. E. Ames and Co. and the Dominion Securities Corporation,
the piice obtE.ined being 91.33. The sale compares favor-
ably with recent issues. The price received for these Winni-
peg bonds is higher than that received two weeks ago by
the province of Ontario for its fifteen million dollars' worth
of government bonds. Proceeds from this sale will be de-
voted to the city light and power department, regarding
which, in connection with the financial powers of the city
of Winnipeg, there was some criticism in The Monetary Times
last month from a Winnipeg barrister.
Collections are Slow
Collections in the west r.re reported rather dull for this
time of the year. Charles H. Gifford, who is in charge of
the rural credits department of the Manitoba government,
has stated that repayments in connection with loans were
not coming in any too good. Farmers are getting very poor
prices for their cereal products this year, also livestock has
dropi)ed to such a price that there is scarcely anything left
for the farmer. Prices, sa.id Mr. Gilford, for oats and barley
in districts where loans had been made, were very low, being
down in some cases under pre-war quotations. In districts
like these where farmers have been hard hit, it will be neces-
sary to exercise great care to secure the repayment of rural
credits outstanding in the next two or three months. Premier
Norris and members of the Manitoba government, who have
just returned from the ea*t, report that as a result of the
conference regarding natural resources of the three western
provinces, that some progress has been made towards settle-
ment, but that it would take .some time yet before anything
definite was done.
Christmas business has been quite brisk this week in
Winnipeg, as compared with last, caused to some extent by
the removal of the luxury tax. Sales a>re very prevalent and
goods are being sacrificed in many cases.
CANADIAN HANK OF COMMERCE PROGRESSES
The filty-third annual report of the Canadian Bank of
Commerce just issued further demonstrates the soundness
of the Canadian banking system. An appreciable increase in
its cash assets, a general development of business, and a net
pi-ofit for the year, or roughly a quarter of a million in excess
of last year, can be considered a satisfactory showing.
After paying a bonus of one per cent., in addition to the
regular payment of twelve per cent., on stock, the bank is
able to carry forward $1,783,979, or $3.56,244 more than last
year, a record which should be regarded with satisfaction
by the e.xecutive. In addition the bank has written off
$500,000 on bank premises, an amount double that of last
year, thus bearing this year a very heavy part of the cost
of increasing its business. There has also been set aside
$150,000 for the pension fund to provide for the increase in
the number of its officers.
The extent to which the bank is facilitating Canadian
manufacturing and agricultural interests is illustrated in
the good increase in current loans in Canada, while the
part it is playing in developing our foreign trade is shown
in the foreign loans account.
An increase in cash assets is a healthy indication. These
assets represented by specie and Dominion notes show an
advance of $4,519,215. Another factor, which is also indica-
tive of the general confidence in the institution, is the in-
crease in interest-bearing deposits. These amounted to
$285,065,493 at the end of November last, as against $241,-
916,674 at the end of the previous year. The decrease in
demand deposits is directly traceable to the cessation of war
financing by the Dominion government, as a year ago very
large sums were held by the banks as a result of the last
Victory loan campaign. There was a considerable drop in
holdings of Dominion and provincial government securities.
This also is no doubt due to the cessation of war financing
by the Dominion government. The following figures show
the trend of the principal accounts .*ince 1916: —
Net profits
Total assets ....
Quick assets ....
Liabilities to the
public
Capital
Rest account ....
Current loans in
Canada
Current loans else-
where
1920.
i 3,306,243
480,760,624
204,017,440
448,372,665
15,000,000
15,000.000
231.114,772
26,863,226
1919.
$ 3,074,892
479,644,205
219,911,724
447,762,467
15,000,000
15,000,000
213.189,170
24,938,269
1916.
? 2,439,415
288,427,579
129,341,420
258,598,176
15,000,000
13,500,000
133,738,131
16,504,418
On the whole, the position of the bank is strong, and
the latest statement is evidence of the careful and sound
management which has brought the institution up to its pre-
sent standing.
GREAT NORTH INSURANCE COMPANY
W. J. Walker, manager of the Great North Insurance
Co., which is operating under the laws of the province of
.Mberta. with head office at Calgary, has sent the results of
the company's business up to December 1, 1920. The com-
pany, wliich was incorporated in 1910, has total assets of
more than $270,000, according to the last annual statement,
and is carrying on a good business in the west, as the fol-
lowing figures for the eleven months of 1920 will indicate:—
Premiums.
Livestock $ 25,862.43
Hail 118.953.85
Fire 37,082.42
Total $181,898.70
Losses.
$10,700.00
25,546.27
25,555.55
$61,801.82
December 24, 1920
THE MONETARY TIMES
Trade Review and Insurance Chronicle
of Canada
Address: Corner Church and Court Streets. Toronto. Ontario. Canada.
Telephone: Main 7404, Branch Exchange connecting aU departmenta
Cable Address: "Montimes. Toronto."
Telephone Main 3409.
Winnipeg Office: 1206 McArthor BuUding.
G. W. Goodall. Western Manager.
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PRINCIPAL CONTENTS
Editorial: . p^gj.
Another "Regulation" Measure Gone 9
The Proposed United States Tariff 9
The Unemployment Farce 10
The Bank and Its Armament 10
Special Articles:
War Time E.xpansion Largely a Delusion 5
Remove Luxury Tax to Stimulate Business 7
Filling Orders from Customers Abroad 18
.Manitoba to Insure Civil Servants 24
Property Subject to Provincial Succession Duties .30
Merchants Marine to Do Business Here :ii
Monthly Departments:
Trade of Canada 22
Wholesale Prices in October 24
Weekly Departments:
News of Industrial Development in Canada 32
News of Municipal Finance 36
Government and Municipal Bond Market 38
Corporation Securities Market 42
The Stock Markets 44
Corporation Finance 4(5
Recent Fires 4^
ANOTHER -REGULATION" MEASURE GONE
THE PROPOSED UNITED STATES TARIFF
A WELCOME Christmas box to the country as a whole
was px'esented on Monday, when the finance department
announced that the luxury tax had been repealed. This tax
was a sound tax in many respects, as it was a direct tax,
paid by those best able to pay it. But the method of col-
lection was defective, and the cost in confusion and in actual
outlay on the part of merchants added gieatly to the one per
cent, cost of the finance department.
The tax was another of the "regulative" measures which
characterize the Drayton administration at Ottawa. Along
with control of commoaity prices and the security market,
it has not only failed to achieve its purpose, but has also
caused great inconvenience and dissension. True enough, the
government maintains that the tax had accomplished its
"exceedingly necessary and useful purposes ... of curtail-
ing extravagance, reducing prices, and causing the people
to think and reflect upon conditions and prices," but in so
doing it takes upon itself the credit for bringing about a
movement which is world-wide in scope, and which has gone
farther in the United Kingdom and across the border, where
there are no similar taxes, than in this country.
The repeal of the tax is nevertheless sound, in view of
present industrial conditions. Now that business is dull,
a government effort to restrict business, as represented by a
luxury tax, is very inadvisable. The removal of the tax
has already produced a noticeable improvement, though it
is a relatively small factor in the volume of business as a
whole. The actual amount of revenue raised by this tax,
along with that on sales and manufacturers, has been about
fifty millions, and the government is this much to the good.
It is important, however, that this lightening of taxation be
not taken as a precedent. The maintenance of adequate
revenue for many years to come is essential to sound na-
tional finance, for the debt charges and railway burden,
along with that on sales and manufactures, has been about
must be met annually.
"VrEW customs measures now before the United States
ll congress provide for import duties of thirty cents a
bushel on wheat, fifteen cents a bushel on corn, and duties
on other grains and on livestock of up to thirty per cent.
This "Emergency Tariff Bill" is one of the first measures of
congress under the Republican administration, and is being
watched closely here, not only because of its obvious effects
on this country but also as an indicator of policy. Any
measure which might give rise to a discussion of letaliatorj-
action on the part of Canada would be regrettable.
The removal of the extra 7 hi per cent, war duty this
year has operated to save about $100,000,000 to American
e.xporters to this countrj-, and in some quarters the sugges-
tion is made that it ought to be applied anew. A more likely
measure, or at least a supplementary one, would be to in-
crease the British preference, and thus direct to British chan-
nels much of the business that now goes to the States. It is
in Europe that the main hope lies of building up an export
trade, and facility of impoi'tations would tend to simulate
the compensating movement the other way. A sentimental
preference exists throughout the Empire by reason of the
common war effort, and an extended tariff preference might
be in the logical order of things.
It is hoped, of course, that the ominous legislation now
proposed will not pass at Washington, and there is little be-
lief that it will this session or before the Harding .Adminis-
tration is installed. A certain nervousness is nevertheless
displayed, and it is due to the injurious effect which an em-
bargo against Canada would produce, particularly under the
conditions that now prevail with Europe buying little wheat,
and the cattle embargo keeping out Canadian cattle. The
principle of reprisal is not at all favored, and it is hoped
that it will be avoided; but it is very possible, if the situa^
tion should become particularly aggravated. This certainly
will be the case if the new tariff proposals now under ad-
visement at Washington should go on the statute.
THE MONETARY TIMES
Volume 65.
THE UNEMl'LOYMENT FARCE
WHILE some of the leading industries of this country
are still experiencing a shortage in labor, notably the
pulp and paper and the mining industries, workers remain
crowded in the cities clamouring for employment, or failing
that— in some cases preferable to that— support from public
grants. The immediate cause of this condition is the de-
pression being experienced by some manufacturing indus-
tries, due to the falling off in demand. The province of
British Columbia and the city of Toronto have already
authorized grants to relieve distress, thus prolonging a
condition which is not good for the country as a whole.
If this development is but the first step in a movement
from the congested cities to the rural districts, and to the
north where our mining and lumbering industries are located,
it will be distinctly beneficial. If, on the other hand, it is
followed by an effort to force city growth, and by measures
which are burdensome to industries, which are prosperous,
without really helping the unemployed, it is to be deplored.
The artificial condition created by war-time growth must
soon be removed, and the fundamental industries of this
country, which are farming, mining, lumbering and fishing,
must be looked to for the solution. So long as there is hope
of public support, workers will remain in the cities and
demand assistance. What is needed is not charity, but work,
for which there is ample scope in Canada.
THE BANK AND ITS ARMAMENT
JUST recently a Chicago bank set up in its front wall
a revolving turret set with machine guns, so placed
that it commanded the main banking room, tellers' cages
and vault entrance on the inside and the street on the out-
side. Whether the battery has ever been turned loose has
not been reported, but the spectacle may at least have pre-
vented one of the daylight holdups which have been so fre-
quent of late.
What a contrast there is between the modern bank
with its electrically protected vaults, its automobile
burglar alarms and its minor defensive equipment,
and the older institution which placed its money in a drafty
vault and protected it with a rusty shotgun. Yet even in
those days the dazzle of wealth and the appeal of adventure
were sufficient to cast a ray of romance over the bank. A
writer in the Sterling Bank's Teller for December recalls
how it was that his decision to enter banking i-esulted from
a friendship with a bank junior, cultivated in the bank's
quarters, where he learned to smoke, but where, most im-
portant of all, he examined the system of defence. "To a
lad of my age at that time," he says, "it was wonderful to
be sitting in a room knowing that the wealth of the resi-
dents of that particular village was safely stowed away in a
big vault just one floor directly below. I admired my pal
for his courage in guarding that treasure every evening.
But my inquisitiveness led me to inquire what his pl..ns were
in the event of robbers or a safe blower. He showed me.
"It was a huge, heavy, rusty revolver. I couldn't hold
it straight in my grip. It drooped like a heavy laden apple
liough ; and when the trigger was pulled the creak of rusty
mechanism I swear would have scared any robber to death.
Not a bullet in the place — just this huge weight of metal
was all he had for protection.
"\ radiator opened in the floor above the vault built
purposely for protection afforded a wonderful opportunity
for revolver play. He could easily have dropped his weapon
on the robber's head. It would have killed him. Or he couiil
have pulled the trigger — once. The weird squeal of the
machine would have sent him yelling for help. What a
chnnce this lod had for catchimr robbers! What n wo^k ho
would be dointr if he could only help rid our land of bank
robbers. Immediately I saw a vision. I joined the staff of
the Sterling Bank — but unfortunately, or fortunately, I have
never yet put any lead into anything but an Eversharp
pencil."
"Shop early and pay a luxury tax," was not a popular
motto in this year's Christmas trade.
Five new licenses in one week is an indication that this
country is now a very promising insurance field.
The drop in average wholesale prices in October from
326.6 to 317.6 is an indication of further reductions in retail
prices.
The November trade statement, with a favorable balance
of $49,000,000, is one which sets a good example for the
next few months.
The record of Victory loan bonds in the open market
is a severe criticism of the policy of control enforced by the
finance minister up to November 29.
Vancouver has just had another report on its finances.
What the municipalities of the province need, however, is
fewer reports and more revenue.
-Xttention to the details of shipping and packing, as
outlined in an article on page 18 of this issue, will more
thnn repay, in new orders, the amount of money snent.
Tlie (kcision of the Supreme Court of Canada that a
province cnn levy a succession duty on property outside of
it is ;in iii'portant one to Ontar'o and Quebec, where there is
a growing population of resident investors.
The remarks of the Saskatchewan Department of Muni-
cipal Affairs to the effect that the municipalities of the
pro\ance have had a successful year is not borne out by the
record of municipal defaults.
In the pi'omotion of foreign trade the question of method
must be subordinate to that of the field. Wliether the goods
can best be sold direct or through an agent depends upon
the character of the market.
Any process which will make lignite a satisfactory fuel
will be of great value to Canada. The project would be re-
garded with more hope, however, if private capital were
developing it; government experience in industry in Canada
has not in the nast been sncppsKfnl
The contention of Tom Moore, pi-esident of the Do-
minion Trades and Labor Congress, that the present price
reductions have been engineered by combines in order that
wage reductions must be enforced is too flattering to the
"combines." It can scarcely be that they are responsible
for both the increase and the decrease in prices.
A Case on Compens.'^tion
A Belgian woman, who lost her husband in a railroad
accidtnt, received from the company $2,000 by way of com-
pensation. Shortlv afterwards she read of a traveller get-
ting twice as much for the loss of a leg. She went to the
company :ind protcted that the difference was unfair.
"Madam," said the oflScial, "the two awards are per-
fectly fair. Four thousand dollars won't provide the man
with a new leg, but for $2,000 you can easily get a new
husband."
December 24, 1920
THE MONETARY TIMES
Bank of Hamilton
HEAD OFFICE
HAMILTON
Established 1872
Capital Authorized
Capital Paid Up November 30th, 1920)
Reserve Fund (November 30th, 1920)
$5,000,000.00
4,946,360.00
4,673,180.00
Directors
SIR JOHN HENDRIE. K.C.M.G., C.V.O., President
CYRUS A. BIRGE, Vice-President
C. C. DALTON ROBT. HOBSON \V. E. PHIN
I. PITBLADO^K.C. J. TURNBULl. W. A. WOOD
Branches
At Montreal, and throughout the Provinces of
Ontario, Manitoba, Saskatchewan, .Alberta and
British Columbia.
Savings Department at all Offices.
Deposits of $1 and upwards received.
Advances made for Manufacturing and Farming
purposes.
Collections effected in all parts of Canada promptly
and cheaply.
Correspondence solicited
J. P. BELL
General Manager
Business Accounts
The complete banking facilities
provided at all our branches enable
this Bank to give Business Ac-
counts the care and attention they
need and deserve.
The Merchant and the Manufac-
turer will find the services rendered
by this Bank of the greatest assist-
ance in conducting their business.
IMPEKIAL BANK
OF CANADA
212 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited, Edinburgh and Branches. Ireland —
Bank of Ireland, Dublin, and Branchas.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
Industry
of the Soil
nrHE resources of this Bank are an
essential element in the Dominion's
fundamental industry — exploitation of
the soil.
For 55 years we have been promoting the
interests of agriculturists.
To-day, our co-operation is being utilized
from coast to coast in an endeavor to
increase the output of the fields.
UNION BANK
OF CANADA
THE
Bank of Nova Scotia
Established 1832
Capital
Reserve
Total Assets
$9,700,000
$18,000,000
$230,000,000
GENERAL OFFICE . TORONTO, ONT.
H. A. Richardson, General Manager
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic, Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
55, OLD BRO.AD STREET. E.C.2
THE MONETARY TIMES
Volume 65.
TKUSONAL NOTKS
W. S. Fali.is was recently appointtd vice-president of
the Slierwin-Williams Company of Canada, Limited, mark-
infj another step in his successful career. Previous to his
appointment he was managing director of the company. He
started with the company in 1889 as a traveller in western
Ontario; in 1 !)()() he was transferred to the maritime pro-
vinces and New-
foundland and two
years later he was
appointed special
representative to
the West Indies.
In 1903 he was
appointed special
European repre-
sentative witli
headquarters i n
London, England,
where he developed
extensive trade
throughout the
British Islands and
many European
countries. He re-
turned to Canada
in 190.5, and upon
the creation of a
district in western
Canada with head-
quarters in Winni-
peg, he became
sales manager. In
1912 upon the
formation of the Canadian company, he was ap-
pointed manager of the western district, which posi-
tion ho held until 1918, when he was elected man-
aging director with headquarters in Montreal. He is also a
past president of the Canadian Credit Men's Association.
Clayton R. Burt was recently appointed manager of
the Willys-Overland Company, Limited. Previous to' this
appointment he was assistant general manager of the Rus-
sell Motor Car Company, Limited, Toronto, and was also
associated w i t h
i t s subsidiary
companies. Mr.
Burt began his
business career as
an apprentice
with the firm of
Brown and
Sharpe Manufac-
turing Company.
Providence, R.I.,
builders of ac-
curate machine
tools. After hold-
ing several im-
portant positions
with that com-
pany for twelve
years, he went to
Europe in the in-
terests of the
firm. In Septem-
ber of 190.5, he
became general
superintendent of
factory and man-
ager of the small
tool department of the Barbor-Colman Company, Rockford.
111. During eight years with that company he designed ami
developed the Barber-Colman gear hobbling machine. In
1913 lie came to Canada and joined the Russell Motor Car
Company, and in 1914 was appointed assistant general man-
ager.
J. B. Leadley, who for a number of years has been
connected with the Bell Piano and Organ Company, Guelph,
Ont., has been appointed city clerk of Guelph, to succeed the
late Mr. Moore.
Geo. M. Duck has been officially appointed as manager
of the Canadian Salt Co., Windsor, Ont., to succeed the late
G. E. Henderson. For twenty years, Mr. Duck has served
the company in various capacities, and was closely associated
with Mr. Henderson in the management of the company.
Ernest Wood, who for years has been the provincial
superintendent in Ontario for the Ocean Accident and
Guarantee Corporation, Limited, is leaving after the close of
the year for California, where he will be associated for three
or four months with the Columbia Casualty Company of
New York a subsidary of the Ocean Accident.
OBITUARY.
LiEUT-CoL. H. G. Prior, lieutenant-governor of British
Columbia, died this week. He was appointed lieutenant-
governor of British Columbia December 9, 1919, succeeding
Sir Prank Barnard. Col. Prior was born in Yorkshire, Eng.,
in 1853, and came to British Columbia 20 years later. He
sat in the British Columbia legislature for two years, and in
January, 1886, was returned to the House of Commons by
acclamation, being re-elected in the general elections of 1890,
1896 and 1900. He was sworn in as a member of the privy
council and as controller of inland revenue in Sir Mackenzie
Bowell's ministry in December, 1895, and held the same port-
folio in Sir Charles Tapper's ministry until its resignation
in July of the following year.
BANK OF HOCHELAGA
The La Banque d'Hochelaga, one of the most important
French-Canadian chai-tered banking institutions, and whose
operations are carried on lai'gely in the province of Quebec,
has just issued its report for the year ended November 30,
1920. The statement shows a situation which is in keeping
with the progress usually reported by the bank each year.
Profits for the twelve months ended November 29 last
amounted to $649,739, compared with $611,105 in the 1919
fiscal period, an increase of $38,634, and represented net
earnings at the rate of 16.24 per cent, on the outstanding
capital stock of the institution and 8.22 per cent, on capital
and reserve combined.
After payment of dividends at the increased rate of 10
per cent, on the capital stock of the bank, against 9 per
cent, in the previous exhibit, and deducting all allowances,
including $100,000 to i-eserve account, bringing capital and
reserve up to $4,000,000 each, there remained a balance to
be carried over into the current year's accounts of $7,739,
bringing the total amount standing to the credit of profit
and loss account up to $83,804, against $76,064 at the con-
clusion of the previous tw-elve months.
The balance sheet section of the statement shows an
increase in savings, or notice, deposits of upwards of nine
millions, but those of the demand category declined by nearly
.$3,200,000, leaving the total $5,801,034, in "excess of the aggre-
gate contained in the previous statement, the decline in de-
mand deposits being duo to the withdrawal by the federal
government of the proceeds of the last Victory loan.
Principal accounts compare as follows: —
1920. 1919.
Total assets $75,693,920 $71,517,806
Quick assets 29.315.275 33,907,261
Liabilities to public 67,505.480 63.448,711
Current loans 40,503,753 32,030,872
Total deposits 56,276,330 50,475,296
December 24, 1920
THE MONETARY TIMES
punniMiraiioiMmiiimiiiiiiiiniimiMoumiimumDiiimiiiiinDniiiiimiinimiiimiiiiiiiiiiiiiiniiiiiiiigiiiiinuiiiiiiim^
I THE Sterling Bank I
I OF CANADA j
^iiiiiiiiiiiiiiiiiniiiniiiiiiiiiinimtiuiiniiiiiiimiiiiiiiiimintiiinniiiiiiiiiiiiiiiiiiinniiHniniiiinjiiiriJiniiiDmiuiiniiiiiiiiniiiiuimiS
Incorporating the "Personal Service" idea into our
Institution created an atmosphere of energy, help-
fulness and courtesy which has resulted directly in
a speedier, more intelligent handling of ail Banking
business.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Royal Charter and Act of Parliament- Established 182S
Capital Subscribed /5, 000. 000 $25,000,000
Paid up 1.100.000 5,500.000
Uncalled 3.900.000 19,500,000
Reserve Fund 1 .000,000 5.000,000
Head Office • EDINBURGH
WILLIAM CARNEGIE, General Manager. GEORGE A. HUNTER, Sec.
LONDON OFFICE— 37 NICHOLAS LANE. LOMBARD ST., E.C.4
T. C. RIDDELL, DUGALD S.MITH.
Manager Assistant .Manager
The agency of Colonial and Foreign Banks is undertaken, and theAccer
tances of Customers residing in the Colonies domiciled in London, are
retired on terras which will be furnished on application.
Corporation Trusts
Trustee of Bond Issues
As Trustees, The Bankers' Trust
Company exercises the greatest
care in seeing that Deeds of Trust
given to secure Issues of Bonds
contain all the safeguards neces-
sary for the protection both of the
Corporation and of the Investor.
THE BANKERS
TRVST OOMB^NY
Head Offices: MONTREAL
Authorized Capital - . . . . $1,000,000
Offices: MERCHANTS BANK BUILDING
Hartford Accident & Indemnity Co.
Hartford,
Conn.
R. M. BISSELL, President
NORMAN R. MORAY, Vice-Pres. and Gen. Mgr.
Total Assets exceed
Surplus to Policy-holders exceeds
$10,000,000
2,000,000
HEAD OFFICE FOR CANADA
24 WELLINGTON STREET EAST
PETER A. McCALLUM
B. W. BALLARD
TORONTO
General Agent
Asst. General Agent
Burglary, Casualty, Guarantee, Plate-Glass Insurance
Up-to-date Policies of all kinds may be secured from any reliable
insurance agent or broker
A. G. T. MacLEAN, Superintendent
Main 7126
THE MONETARY TIMES
Volume 65
ROYAL BANK ESTABLISHES A RECORU
WHILE the Royal Bank of Canada is not the oldest bank
in the Dominion, it has built up for itself during its
fifty-two years of operation a very creditable record. The
report for" the vear tndcd November 30, 1920, is a commend-
able one, and reflects credit upon Herbert S. Holt, president,
Edson L. Pease, managing director, C. E. NeiU, general
manager, and on the executive as a whole.
The policy of the Royal Bank has always been a pro-
gressive one, "and at the present time it has more than 709
branches in operation. The part it plays in our foreign
trade is well demonstrated in the fact that it has 77 branches
in the West Indies, 13 in South America, 2 in Central
America, 2 in Continental Europe, one in the United King-
dom and one in the United States. The extent of its foreign
business can be seen in the amount of loans abroad, which
totalled $102,674,210 at the end. of the year under review,
and in outside deposits which amounted to $164,106,090.
Both accounts showed substantial increases over the previous
year.
While the bank is paying considerable attention to the
foreign situation, the home field is not by any means being
neglected. There has been a large increase in the accom-
modation afforded to Canadian business, and as a result
current loans in Canada have advanced to $183,747,409, com-
pared with $143,259,518 last year.
The principal accounts of the bank as at November 30.
1920, with comparisons, bear out the above statements: —
1920. 1919- 1916-
Total assfts $694,670,013 $633,647,084 $253,261,427
LnSd assets 279.197,713 273,908,862 121.127,663
"ite noTbearing interest ... 123,329.308 134,088.987 59,365.3%
Deposits bearing interest 331.688.078 ^S-^S^iS^ fS'nSn'nnft
CaDital stock 20,134,010 17,000,000 12,000.000
Rese^e fund 20134.010 17.000,000 12,660.000
Dom and Pvov. Gov. securities. 12,808,172 46,323.698 1.029,374
Can mun. sec, and Brit. for.
and col public securities.. 21,400.126 33.400,642 14.012, 0.S'.l
Balances due by banks 37.044.311 18.118.«6 J:-^-^
Current loans in Canatla 183.747.409 143.259,518 !,b.9.!6.6.n
Current loans elsewhere than in „^^ ^^_
Canada • 102.674,210 90.210.271 37.928.027
Coin current '" 17.910.122 17,653.879 16.072.763
IJominion notes ";. 28.727.403 26,736.724 14.24i..ll0
United States Currency 27.181.668 „?'i^^^9S iVno^ion
Deposit in central gold reserves 23.600.000 24.500.000 6.600,000
Circulation 41.672,973 39.8.37.265 1S,17S.22S
Call loans in Canada 12,889,573 16.436.614 11.076.005
Call loans abroad 44,962.994 33.812.761 21.372.026
Notwrithstanding the heavy demand for loans, the bank
has maintained a strong liquid position, quick assets being
more than 50 per cent, of liabilities to the public. From a
banking standpoint nothing could be more satisfactory than
the strong liquid position shown, and especially the large
cash reserves which are being carried at a time when the
bank is handling the largest business in its history and
when the commercial and financial condition of the country
and the places in which the bank operates, is under severe
strain.-
The shareholders' side of the statement also reveals
a very favorable situation. During the year the capital of
the bank has been increased by over $3,000,000 by an issue
of new shares, which have been absorbed by the shareholders,
and an addition of $3,134,010 has been made to the reserve
fund, the capital and reserve now being each $20,134,010.
The profits for the year, after making full allowance
for all bad and doubtful debts and providing for every pos-
sible contingency that may arise, amounted to $4,253,649.
compared with $3,423,264 for the previous year. To a great
extent the larger profits undoubtedly reflect the greater
business handled, as well as the larger capital which was em-
ployed. The profits, added to the balance brought forward
from the previous year, made a total amount available for
distribution of $5,350,067. This amount was appropriated
as follows; Dividends, $2,153,159; bonus of 2 per cent, to
shareholders, $402,680; transferred to officers' pension fund,
$100,000; written off bank premises' account. $400,000; war
tax on bank note circulation. $180,295; transferred to re-
serve fund, $1,567,005. leaving a balance to be carried for-
ward of $546,928.
UNION BANK SHOWS STRONGER POSITION
A contraction in loans and a stronger position is shown
by the Union Bank of Canada in its annual report for the
year ended November 30, 1920. Quick assets show a ratio to
lia.bilities to the public of 54.4, as compared with 49.5 per
cent, last year. The cash position of the institution was also
improved, gold, subsidiary coin and Dominion notes, amount-
ing to $18,586,316, as against $14,678,725 last year.
Current loans in Canada show a reduction from $86,-
529,156 to $69,849,784, but a new account under the heading
of ''Demand loans in Canada secured by grain," shows a bal-
ance of $10,732,755. Call loa-ns in Canada increased by about
$2,000,000, while call loans abroad were reduced by nearly
$4,000,000. On the whole, the loans accounts are lower, in-
dicating deflation which is now taking place.
As an institution which operates largely in the west, the
Union Bank has made good progress in its fifty-six years of
operation. An illustration of the rapid strides made during
the past few years is seen in the following figures: —
1920. 1919. 1916.
Capital stock $ 8.000,000 $ 7,968,150 ? 5,000.000
Rest account 6,000,000 5,600.000 3.400.000
Note circulation 12,673.644 12.508,819 8,815,117
Deposits not bearinK interest 49,714,061 61.119,804 29,122,848
Deposits bearing interest 85.610.464 84.376.709 60,144.940
Gold, sub. coin and Dominion notes. 18.686,316 14.678,725 10.105,021
Canadian municipal and British
foreicn colonial securities 11.900,843 16.818,016 14,446,701
Dominion and provincial government
securities . . 8,790.636 13.048.913 2.100.647
Current loans in Canada 69.849,784 86,529.156 49.173,367
Current loans elsewhere 4,496,261 3,672,372 846,117
Demand loans in Canadian securi-
ties by grain 10.732.756
Call loans in Canada 5.418.177 3.439.410 7.616,488
Call loans elsewhere 3.119.133 7.966,864 8,484,897
Liability of customers under letters
of credit 3,460.511 7.186.940 512,281
Total assets 169.205.446 174,989,067 109,040,228
The profit and loss statement of the bank has not yet
been made public, it being the custom to issue such a report
at the annual meeting, which in this case, will be held in
Winnipeg on January 10, 1921. From all appearances, how-
ever, the shareholders have reason for satisfaction, as a
bonus of 2 per cent, was distributed in addition to the regular
dividend.
STREET RAILWAYS WANT SEVEN-CENT FARES
An application of the Port Arthur Street Railw?.-y and
the Fort William Street Railway for permission to increase
their fares from five t6 seven cents was heard by the Ontario
Railway Board on December 20. Both roads are municipally
owned. The receipts are divided between the two munici-
palities by the system of using alternate fares boxes for
every two runs.
IH K( H.\SE .STOCK EXCHANGE SEAT
J. F. Stewart and Co., bond dealers, Toronto, have pur-
chased a seat on the Toronto Stock Exchange at a price of
$12,500. The seat was formerly standing in the name of
Charles T. Stark, of John Stark and Co. This was an extra
seat in the possession of that company, the other being held
by E. B. Freeland. Application is being made by J. F.
Stewart ivnd Co. for membership on the exchange.
TO PAY GRAND TRUNK RAILWAY
The Interstate Commerce Commission of the United
States on December 17 authorized the Central Vermont Rail-
way Co. to issue $1,359,016 in 5 per cent, refunding mortgage
gold bonds to pay an indebtedness to the Grand Trunk Rail-
way Co. of Canada. The Vermont road applied for permis-
sion to issue $15,000,000 in bonds, but the commission found
that this E.mount, with S12,000.000 previously authorized,
would pay the road's principal indebtedness.
December 24, 1920
THE MONETARY TIMES
15
Bank of New Zealand
ESTABLISHED IN 1S61
Bankers to the New Zealand Government
CAPITAL
Paid-Up Capital ($13,528,811) and Reierve Faod
(S12. 166.250) S 25.695.061
Undirided Profiu 713.039
Aggrefale Auets at 3Iil Marcb, 1920 257.500.944
Head Office:
WELLINGTON
NEW ZEALAND
H. BUCKLETON
General Manager
TriE BANK OF NEW ZEALAND has Branches at
Auckland. Wellington. Lhristchurch, liunedin.and 20i other
places in New Zealand ; also at .Melbourne and Sydney
(Australia), Suva and Levuka (Fiji), Apia (Samoa), and
LonJon.
The Bank has facilities for transacting every description
of Banking Business. It invites the establishinent of Wool
and oih,;r Produce Credits, either in sterling or dollars, wii h
any of its Australasian Branches.
LONDON OFFICE: 1 Qaeen Victoria Street, Mansion House, E.C. 4
CHIEF CANADIAN AGENTS .
Canadian Bank of Commerce Bank of Montreal
HomeBankofCanada'
CHEQUES FOR TRAVELLERS
Travellers Cheques issued that will freely pass
as cash anywhere in Canada or the United
States. More convenient and safer to carry
about than ready money.
Branches and Connections Throughout Canada
Head Office and Eleven Branches in Toronto s-1'
THE
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
head offick. we'iblrn. s askatchew a.\
Branxhes in Saskatchewan at
Weyburn. Yellow Grass, McTaggart. Halbrite, Midale
GrifEn, Colgate. Pangmau, Radville, Assiniboia. Benson.
Verwood. Readlyn, Tribune, Kxpause, Mossbank, Vantage,
Goodwater. Darmody. Stoughton. Osage. Creelman and
Lew van.
A GENERAL BANKING BUSINESS TRAN.SACTED
H. O POWRLL. General .Manager
TH€ M€RCHANT5 BANK
Head Ofrice : Montreal. OF CANADA.
Est.ibllshpr) 1S54.
Capital Paid-up, $8,400,000 Reserve Fund and Undivided ProBts, $8,660,774
Total Deposits (30th October, 1920) - Over $170,000,000
Total Assets (30th October, 19201 - Over $209,000,000
Sir F. OfkOrr- Lewis. Bart
HoM. C C. Ballantyne
F. Howard Wilson
Board of Direetort
-SIR H. .MONTAGU ALLAN
Farouhar Robertson
Geo. L. Cains
Alfred B. Evans
Vice-President
Thomas Ahfarn
Lt -Col. J R. Moodie
Hon. Lorne C. Webster
A. J DAWES
E. W. Kneeland
Gordon M. McGrkgor
General Manager - - - D. C. Macarow
Supt. of Branches and Chief Inspector : T. E. Mkrrett
General Supervisor - - - W. A. Meldrum
AN ALLIANCE FOR LIFE
Many of the large Corporations and
Business Houses who bank exclus-
ively with this institution have done
so since their beginning.
Their banking connection is for life —
yet the only bonds that bind them to
this bank are the ties of service, pro-
gressiveness, promptness and sound advice
399 Branches in Canada, extending from the Atlantic to the Pacific
New York Agency: 63 and 65 Wall Street: W. M. Ramsay and C. J. Crookall, Agents
London, England, Office, 53 Cornhiil : J. B. Donnelly, D.S.O., Manager
Bankers in Great Britain : The London Joint City & Midland Bank. Limited, The Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
BANK BRANCH NOTES
T. T. Horner, i'ormerly of the Kentville branch of the
Royal Bank, has been appointed manager of the new branch
at Wedgeport, N.S.
The Royal Bank of Canada has opened a branch at Cox-
well and Small Streets, Toronto.
The Bank of Montreal has opened a branch at 2440 Park
Ave., Montreal, to be known as "2440 Park Avenue Branch."
After some months of preparation the new superinten-
dent's office for the Bank of Commerce at Calgary has been
opened for business under the direction of J. B. Corbett, for-
merly of Winnipeg. Very extensive changes were made in
the building in Calgary, the second and third floors now
being used for the geneial purposes of the bank.
CANADIAN BUSINESS FAILURES
The number of failures in the Dominion, as reported by
K. G. Dun and Co. during the week ended December 17, 1920,
in provinces, as compared with those of previous weeks and
corresponding weeks of last year, are as follows:—
Date. e5 sS a • ■ ^ ■ <^ <"
Dec. 17 .... 5 1" >' • ^' 1 " ^ 1! '; ;«
Dec. 10 ...12 17 0 1 2 2 1 7 0 42 6
5 19 0 0 1 1 0 4 0 30 16
. 8 14 0 0 2 0 0 1 0 25 19
Dec. 3
Nov. 26
EXCHANGE QUOTATIONS
Glazebrook and Cronyn, exchange and bond brokers,
Toronto, report local exchange rates as follows:—
Sellers.
18 pm
Par.
$4.1650
4.17.'')0
Counter.
Buyers.
X.Y. funds 1''% pm
.Mont, funds Par.
Sterling —
Demand $4.1550
Cable transfers 4.1650
Bank of England rate, 7 per cent.
New York quotations of exchange on European countries,
supplied by the National City Co., Ltd., as at December 28,
l!t20, follow: London, cable, :i.54; cheque, 35;P,4 ; Pans, cable,
.xi»5; cheque, 5.94; Italy, cable, 3.45; cheque, 3.44; Belgium,
cheque, 6.26; Swiss, cheque. 15.28; Spain, cheque, 12.95; Hol-
land, cheque, 31.40; Denmark, cheque, 15.30; Norwa-y, cheque,
15.30; Sweden, cheque. 19.80; Berlin, cheque, 1.39; Greece,
cheque, 17.00; Finland, cheque, 7..')0; Roumania. checpie, 2.80;
Poland, cheque, 1.18.
U.Ul.UO.M) KARNIN(;S
The following is the approximate gross earnii\gs
ada's transcontinental railways for the first two w
December: —
Canadian Pacific Railway
1920. 1919. I'll'
$5,215,000 $3,797,000 + $1
."). 179,000 3,935,000 + 1
Canadian National Railway
$2,678,306 $2,050,134 + $
2.550,249 1,898,694 +
<;rand Trunk Railway
December 7
December 14
December 7
December 14
December
$2,460,523
Dccemhcr 14 2.441,248
$1,845,848
1,832,822
+ $
of Can-
eeks in
. or dec.
418,000
244.000
628,172
651,i).55
614.675
608,426
BANK OF TORONTO'S GROWTH
At the close of the first year of operations of the Bank
of Toronto in 1857, the principal accounts of the institution
stood as follows: Capital and reserve funds, $439,148; de-
posits, $263,100; loans and investments, $1,103,078; assets,
$1,268,413. A comparison of these figures with the present
statement is a good illustration of how the bank has grown.
About thirty-two years ago the Bank of Toronto was repre-
sented in but eight cities and towns. To-day it has 163
branches scattered throughout the country.
The annual report for the twelve months ended Novem-
ber 30, 1920, compares favorably with a year ago, although
the reduction in holdings of securities has brought the total
assets down slightly. The cash position, however, has been
greatly improved, such assets amounting to $18,571,886, as
compared with $14,705,222 last year. Savings deposits show
a healthy increase, while current loans are also higher. Call
loans have been reduced by more than $1,000,000, but a new
account, call loans abroad is shown with a balance of $1,-
000,000.
As far as profits wei-e concerned, the bank had a good
year. The regular dividend of 12 per cent, was paid, taking
a sum of $600,000; resei-ve for taxes took $100,000; officers'
pension fund, $25,000; written off bank premises, $100,000.
A comparison of the principal figures with a year ago,
and with the figures for 1916, shows the following results: —
1920. 1919. 1916.
Total assets $103,819,889 $109,285,118 $73,114,.554
Cash assets 18,571,886 14,705,222 10,420,236
Total quick assets . . . 43,021,649 49,911,625 26,957,700
Liabilities to public. . . 91,833,535 97,491,135 61,606,.564
Current loans in (an .(Li 56,7,53,148 53,888,701 42,127,316
Dep. bearing interea. . 62,.542,753 53,614,588 41,175,722
WEEKLY BANK CLEARINGS
The following are the bank Clearings for the week ended
December 23rd, compared with the corresponding week last
year: —
Week ended Week ended
Dec. 23, '20. Dec. 25, '19. Changes.
Montreal $132,456,714 $136,311,509 - $ 3,854,795
Toronto 119,200,605 90,069,772 + 29,130,833
Winnipeg 76,914,777 46,217,028 + 30,697,749
Vancouver 16,777,284 13,253,099 + 3,524,185
Ottawa. 10,348,876 10,155,433 + 193,443
Calgary 9,122,834 8,091,550 + 1,031,284
Hamilton 7,357,839 5,788,653 + 1,569,186
Quebec 6,925,450 5,330,950 + 1,594,500
Edmonton 6,059,251
Halifax 4,335,899
London 3,412,198 2,961,971 + 450,227
Regina 4,987,381 4,214,022 + 773,359
St. John 3,235,239 2,491,754 + 743,485
Victoria 2,829,990 2,669,352 + 160,638
Saskatoon 2,372,940
Moose Jaw 2,184,514 1,665,947 + 518,567
Brantford 1,577,265 1,100,265 + 477,000
Brandon 917,938 717,465 -f 200,473
Fort William . . . 1,247,097 968,579 + 278,518
Lethbridge 971,084 656,674 + 314,410
Medicine Hat . . . 625,696 466,745 + 1.58,951
New Westminster 668,384 476,973 + 191,411
Peterboro 968,056 802,786 + 165,270
Sherbrooke 1,279,722 961,156 + 318,566
Kitchener 1,128,4,38 1,110,224 -f 18,214
Windsor 3,757,236 2,945,583 + 811,653
Prince Albert 411,951 449,418 — 37,467
Totals $409,306,568 $339,876,908 + $69,429,660
Moncton 920,205
December 24. 1920
THE MONETARY TIMES
BANK OF
AUSTRALIA and NEW ZEALAND
NEW SOUTH
(ESTABLISHED lSl7i
PAID UP CAPITAL - «■•«_ - - -
RESERVE FUND - - . . ^ ^^^
RESERVE LIABILITY OF PROPRIETORS
WALES
AGGREGATE ASSETS 31st MARCH, 1920
% 23.828,500.00
16,375,000.00
23,828,500.00
$ 64,032,000.00
351 BRANCHES and AGENCIES i
$377,721,211.00
Sir JOHN RUSSELL FRENCH. KB. E.. General Manager
1 the Australian States. New Zealand. Fiji. Papua (.New Guinea) . and London. The Bank transacts every description
of Australian Banking Business. VVo"ol and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET. SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET, E.C.2.
Agp.sts: bask of .MONTREAL. ROYAL BANK OF CANADA
BUSINESS FOUNDED 1795
INCORPORATED IN CANADA 1897
American Bank Note Company
ENGRAVERS AND PRINTERS
BANKNOTES, BONDS, MUNICIPAL DEBENTURES, STOCK
CERTIFICATES, CHEQUES AND OTHER MONETARY DOCUMENTS
Special Sateguards Against Counterfeiting Work Acceptable on all Stock Exchanges
Head Office : OTTAWA 224 Wellington St.
BRANCHES
George Edw
H Pebcival Edwj
A. Geoffrey Euwj
T. J. .Macnamara
K. A. .Mapp
IRDS. F.C.A.
IDS W. Po.flE
iDS Oswald N. E
T. P. Geggie
W. A. LORIM)
ARTHUR
Morgan
W. Herbert Ti
Charles E. \Vi
J. L. Atkinson
John .M. Edwai
EDWARDS, MORGAN & CO.
CHARTERED
OFFICES
ACCOUNTANTS
TORO.NTO ..
CALGARY ..
VANCOUVER
WINNIPEG ..
MONTREAL
CORRESPONDENTS
HALIFAX, N.S. ST. JOHN, N.B
LONDON, ENG. PARIS, FRANCE.
CANADIAN MORTGAGE BUILDING
HER.'\LD BUILDING
LONDON' BUILDING
ELECTRIC RAILW.AY CHAMBERS
McGILL BUILDING
COBALT, ONT
NEW YORK, USA
ESTABLISHED 1879
Alloway & Champion
Bankers and Brokers
Members ot Winnipeg Stock Eichange
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchange*
THE
Toro^toGeaeralTrusts
Corporation
DIVIDEND No. 98
Notice is hereby given that a Dividend
of Three Per Cent, has been declared
upon the Paid-Up Capital Stock of this
Corporation for the quarter ending De-
cember 3Ist, 1920, being at the rate of
TWELVE PER CENT. PER ANNUM.
and that the same will be payable on and
after Monday, the 3rd day of January, 1 92 1 .
The Transfer Books of the Corporation
will be closed from Wednesday, the I 3th
day of December, until Friday the 3 1 st day
of December, 1920, both days inclusive.
By Order of the Board of Directors,
A. D. LANGMUIR
General Manager.
Toronto, November 23rd, 1920.
THE MONETARY TIMES
Volume 65.
Filling Orders from Customers Abroad
Services of Freight Forwarding Firms Should be Utilized in Early Stages
of Exporting— Buyers' Instructions Should be Carefully Followed— Packing,
Marking and Numbering— Preparation of Shipping and Other Documents
By COL. C. R. HILL
Managing Dirt-tlor, Hill and Co., Ltd.
Toronto
{This is the sevetith of a series of articles on Practical Exporting, the first of which was puhVwihed in
The Monetary Times of November 12, J'JJO.)
THE technicalities of export shipping, including the pre-
paration of documents, are matters which are usually
left in the hands of freight forwarding firms. The lai-gest
ones maintain offices of their own at the principal seaports
of the world, and where they do not they have agencies or
connections. The following is but a partial list of the ser-
vices a forwarder may perform for his client: —
(a) Supplying information on ocean freight rates and
approximate sailings.
(b) Obtaining railroad shipping authorities.
(c) Looking after storage of freight after arrival at
the port.
(d)
(e)
(f)
(g)
(h)
(i)
(J)
Effecting; steamer bookings.
Clearing shipments through custom house.
Arranging deliveries to steamers.
Effecting insurance for the protection of the goods.
Securing bills of lading.
Effecting collection of drafts.
Prepare consular invoices and other documents.
At fii-st sight, it would appear that the commission pay-
able for this work would be high, but their fee on each ship-
ment only runs from $2 to $5, exclusive of disbursements,
and if there is a large but fluctuating amount to be done
each month the services of one company may be arranged
on a monthly retaining fee basis on a yearly contract.
Work May be Done by Exporter
This method is following the line of least resistance, and,
while it is strongly recommended at the initial stages of
export shipping, there is nothing mysterious in the proce-
dure. Export managers and their staffs should make them-
selves familiar with the requirements of each customer and
each country so that they may check the work of their
freight forwarders and eventually take on the entire re-
sponsibility themselves as their work develops.
It is impossible in an article of this length to go into all
the details of shipping routes, consular regulations, etc. One
encyclopaedia on this subject uses 1,500 pages in one vokime.
The purpose of this article is more to furnish Canadian
manufacturers with a summary of the essentials in prepara-
tion and forwarding of export traiTic, dealing with the more
mechanical work following the receipt of an order from
abroad.
Requirements in Filling Orders
The primary requirements in successfully filling an ex-
port order are: —
First — Careful packing and preparation for shipment in
accordance with details received with order.
Second — Correct execution of shipping documents.
Third — Use of best routes and rates.
It may be taken for granted that no other country in
the world has the same customs regulations as Canada nor
exactly the same mercantile conditions, with the iiossible
exception of the United States, with which this series of
ai'licler. docs not deal. Therefore, too much attention cannot
be paid to the pui'chaser's specifications or. the terms of a
letter of credit.
To save buyers paying customs penalties, specific docu-
ments must be prcpaa-ed with each shipment. Nothing should
be omitted because the purpose of certain specifications are
not understood. The data requested may be of the greatest
importance to consignees in foreign countries Also, errors
in shipping by specified routes may prove very discouraging
and expensive to purchasers, as the line they specify may
have greater facilities for delivery at their end, although
two or more lines may look equally good at the shipper's end.
While on this general subject, it is suggested to export
managers that they have their firm's name placed on the
mailing list for the monthly sailing sheet of one or more
of the freight forwarding houses. From this,- they will be
able to judge how much time they have to spare in getting a
shipment away on a particular boat. These lists include
sailings from both Canadian and U.S..\. ports. The We^^kly
Bulletin published by the Department of Trade and Com-
merce contains weekly lists of Canadian sailings.
GoTernment Licenses
In war time particularly the Canadian government re-
quires a license to export certain commodities to certain
countries. Up to quite recently this applied on flour and
wheat. At the time of writing there is an export embargo
on coal. Generally speaking, though, the Canadian govern-
ment is only too anxious to facilitate export of every com-
modity when such sales do not bring about domestic suffer-
ing.
Packing
On export shipments all goods which are liable to break-
age should always be boxed and strapped with band iron.
Crates and such like containers will often be accepted by
steamship lines, but usually at owner's risk, while the extra
expense of boxing and strapping will always be justified by
the customer's satisfaction and repeat orders. Protection
against water and dampness is of the greatest importance.
The hold of any ship is very damp, while, at the other end of
the journey, climatic conditions can only be guessed at. Any
light articles that are susceptible to moisture should be
packed in sealed eases and lined with wax paper. Machinery
should be covered with a heavy grease. Ordinary initiative
will dictate the best method to follow in individual cases.
Occasionally it will be noticed that two or more complete
cases arc required to be made up, each marked and addressed,
and all to be encased in one outer package. This may look
unnecessai-y, but probably means that the buyer wishes to
facilitate breaking bulk at some reconsigning point, thereby
saving expense and delay at his end. For instance, a buyer
in Cape Town may have a customer for one package at
Durban and reship by boat while another package goes by
rail to Kimberley. .A.s each sale to these customers may have
been of small bulk and his sale price a delivered one duty
paid, the Cape Town buyer finds it economical and convenient
to instruct shippers to place the individual consignments
in one outer case consigned to him at Cape Town.
Goods of One Class
Shippers are also warned to note any specifications from
buyers respecting packing one class of goods separate to
another. Some customs regulations demand payment of
duty on a case based on the highest tariff payable on the
December 24, 1920
THE MONETARY TIMES
You Should Make a New Will— if
members of yc
n circumstances
■ill ev«ry year.)
our family has increased-,
ly have marrietl — or died :
itenally changed. (Some
vhich is suri
(let our titeralure
Union Trust Company, Limited
HENRY F. GOODERHAM. President
TORONTO - - Cor. Richmond and Victoria Sts.
WINNIPEG. MAN. LONDON. ENGLAND
i% on Savings — Withdrau-able by Cheque 67
Canada Permanent Trust Company
1 lead Office :
Canada Permanent Building, Toronto
Capital Paid Up • ONE MILLION DOLLARS
DIRECTORS:
W. O. Gooderh
R. S. Hudson, Vice-President and
Joint General Manager
Geo. H. Smith. Sec'yTreas.
J. H.G. Hagarty
F. Gordon Osier
George W. Allan. K.C.. M.P.
Onti
no
1. President.
John Massey.
Joint General
Col. A. E. Gooderham
William Mulock
John Campbell. S.S.C.
E. R.C. Clarkson
ranch :
Canada Permanent Building, Toronto Street, Toronto
,\lan.i«er : A. E. HESSIN
The impartiality of the acts of a TRUST COMPANY and its freedom
from improper influences are some of the advantages offered in
The Management of Estates
We will gladly discuss this matter with you.
CAPITAL, ISSUED ANDSUBSCRIBED ..§1,171.700.00
PAID-TIP CAPITAL AND RESERVE.
1,172.000.00
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE: WINNIPEG, CAN.
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
Private Wires to WINNIPEG. CHICAGO, TORONTO.
MONTREAL AND NEW YORK
-RICE & FIELDING, INC.-
FOREIGN FREIGHT FORWARDERS, CUSTOMS
BROKERS AND DRAWBACK AGENTS
81 VICTORIA ST.,
TORONTO
Cable Addre;
Ricefield
a08 CORisTiKE Bldc.
MONTREAL
CODES
Western Union
ABC, 5th SBth Editions
OTHER OFFICES
II Broadway,
NEW YORK
40 Centrai. S-
BOSTON
Enquiries solkiled In connection with eilhei Export or Import iu
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
W
E have 450 good businesses for sale in the central
portion of Alberta. Everything from a General
Store to a small Confectionery
If you want a business in Alberta you want us.
WHYTE & CO., LIMITED
111 Pantages Building
Edmontor
The Security Trust Company, Limited
Head Office - - Calgary, Alberta
ACTS AS
Liquidator, Trustee, Receiver, Stock and Bond Brokers,
Administrator, Executor. General Financial Agents.
W. M. CONNACHER Pres. and .Man.igmB Director
A Newspaper Devoted to
Municipal Bonds
'T'HERE is published in Xew York Cily a daily
and weekly newspaper which has for over
twenty-five years been devoted to municipal
bonds. Bankers, bond dealers, investors and
public ofHcials consider it an authority in its
field. Municipalities consider it the logical
medium in which to announce bond offering's.
Write for free specimen copies
THE BOND BUYER
67 Pearl Street New York, N.Y.
20
THE MONETARY TIMES
Volume 66.
highest rated article in the case. Therefore, if a few silver
articles are included in a case containing a large number of
iron articles, the customer is liable to pay duty for silver on
the iron.
Marking and Numbering Packages
Each package must be plainly marked and numbered
with stencil or brush. Shipping tags are useless, as they are
worn off or torn off beforf a j(nirney could be completed.
The details of marking required differs with various coun-
tries, but it is safer to put on too much information than
too little. With each order the customer usually specifies
the marks required, but he does not go into any great detail,
as he takes it for granted that tlie manufacturer's shipping
department has had sufficient experience not to overlook
generalities.
A correctly m;M-ked package that would fill the require-
ments of any country would contain the following particulars
on at least two of its six surfaces: —
(a) Length in inches or millimetres.
(b) Height in inches or millimetres.
(c) Width in inches or millimetres. ,
(d) Cubic measurement result.
(e) Gross weight in pounds or kilogrammes.
(f ) Not weight in pounds or kilogrammes.
(g) Consignee's name and address or specified mark.
(h) Shipper's name and address.
(i) Number of shipment and consecutive number of
case when there are two or more cases to a shipment,
(j) Name of steamship line,
(k) "Made in Canada."
(1) Top versus bottom.
With reference to numbers, it is pointed out that the
consecutive numbers shown on packages must appear on all
bills of lading and other documents relating to the shipment.
They will subsequently be reproduced on the ship's cargo
records and form the principal means of identification when
loading and discharging.
Documents
The documents required in connection witli a shipment
to one country may not be the same in detail as to another,
and export managers who are doing their ov.'n freight for-
warding work will find out individual requirements by en-
quiry at the proper sources of information, viz., customs,
I'ailway, steamship, insurance and foreign consular offices
and at the bank where documents are to be presented for
negotiation of draft.
To commence with, arrangements must be made to con-
tract for space with the steamship company, whose boat is
to perform the required ocean transportation, and the ocean
charges can be settled. This contract is binding, and if ship-
ment cannot be made in time, the company should be notified
as early as possible to prevent the contracting shipper being
billed with dead weight. To exchange an inland railway
bill of lading for an ocean bill of lading, the former must
have the steamship company's permit number endorsed on
the railway receipt. In the case of combined rail and ocean
carriers like the Canadian Pacific, a through bill of lading
tan be arranged for at an inland point covering the trans-
portation to the foreign port. This "Received for Transporta-
tion" bill of lading differs somewhat in value from a "Ship-
ped on board" bill of lading, inasmuch as the latter is issued
at the port of sailing and indicates that the goods are ac-
tually on board. This difference is important in regotiating
a draft, as some letters of credit specify that they will not
accept a draft unless accompanied by an "On Board" fonu
of bill of lading. Ocean bills of lading should only be made
out direct to the consignee when goods have been paid for
in advance or when the manufacturer is not collecting by
draft with documents attached. Otherwise the goods should
always be shown as consigned to shipper's "Order" and en-
ilorsed in blank, i.e., the shipper simply endorses his name
on the back of all copies of the bill of lading — the result be-
ing that the possessors of the bills of lading are the owners
of the goods until surrendered to the receiving transporta-
tion agent. There are some countries which refuse to allow
shipment "To Order."
Insurance is Necessary
The next important documertt is an insurance certificate
which has been touched on previously and which v.'ill be dealt
with in greater detail in the next and last article. Suffice it
to say that no bank will negotiate or accept a draft covering
an export shipment unless it is protected by an insurance
certificate for marine contingencies. Insurance documents
should be endorsed in blank to allow for settlement of loss
being made to the potential owners.
Invoices accompanying export shipments are not the
common and simple forms used in domestic sales. A good
deal of certificated information must be shown thereon and
it would be well to obtain the blank forms sold by leading
stationers. These forms show on the face the information
that has to be filled in, and the certificates on the back can
be filled in and signed very easily. In addition to this form
information, some countries require special certificates en-
dorsed on the face of the invoice. For instance, the South
African Customs Regulations require a declaration on the
cost of packing and the cost of transport, certification that
prices are the open market value for home consumption, etc.
Consular invoices are required for all Central and
South American countries. The forms can be secured from
the respective resident consular offices in Canada. The con-
sular invoices are merely extracts of the invoice rendered
by shippers to buyers and are vised or certified to by the
consul of the country to which goods are destined. The
purpose is to guarantee the shipper's statements on contents
and values.
When a shipment is ready to leave the factory, an ex-
port entry form must be prepared covering details required
by the Canadian customs for statistics on exports. These
forms may be obtained from the customs offices. They must
be signed in triplicate and attached to the Inland Bill of
Lading or Through Bill of Lading as the case may be.
Subsequently one copy signed by the customs is returned to
shipper.
DOMINION GOVERNMENT SAVINGS BANKS
A much better showing was made by the Dominion gov-
ernment savings banks in November, 1920, deposits during
the month being $181,132, as compared with $155,350 in Octo-
ber. Withdrawals increased by slightly less than $1,000. The
details for last month are as follows: —
Mttnitoba ;—
Winnipeg.
Hrilish CoUiiiibia :—
Victoria
Pi-iiice Edward island: —
Churlottctown
Wk' Hrriiiswic/.:—
Newcastle
Transfer
St. Jolin
.V.it'fl Scotia —
Harrinston
Cuysboi-o'
Halifax
Kentvillc
Luncnhuri! ^
Port Hood
Transfer
Slierbroolie
Totals
for I „^"'».V
Nov.. 1920 deposits
S cts.' % cts.
2,445.00 423.141.06
22,734.90
29,756.4,S
I,IO3,(t06.S4
1. 776.561. 78
82.50 69,713.39
3.702.00 81.816,23
42,309.11 2,314,373 35
8.532.001 250.370.40
1.466.00 389,327.66
707.00
181,132.46
66,976.02
10,718,017 90
Withdraw- Balance on
als for Nov. 30,
Nov.. 1920 ' I9'20.
$ cts. I % cts.
9,345.13, 413,795.93
20,721.46
:»,27».58
1,082,885.98
1,743.287.20
58,995.65 4,IS3,135..'i2
Vi.
S.OSH.Sil 64.626,50
4 ,SJ2..';8 77,293.65
J,280,727.32
4,5HR.3i 245,772.08
9 076.001 380,251.66
1.875.43 65,10059
181.142.07 10.536,875.88
December 24, 1920
THE MONETARY TIMES
5n
INTEREST
RETURN
INVEST TOUR SAVINGS
in a 5K% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital $2,412,578.81
Reserves 964,459.39
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Calgary,
EdmontOD, Vancouver, Victoria ; Edinburgh,
Scotland.
CANADA PERMANENT
MORTGAGE CORPORATION
^QUARTERLY DIVIDEND
Notice is hereby given that a Dividend of TWO and
ONE-HALF PER CENT, for the current quarter being at
the rate of ^^^ pg.j^ CENT PER ANNUiVl
on the paid-up Capital Stock of the Corporation, has been
declared, and that the same v/ill be payable
MONDAY, THE THIRD DAY OF JANUARY
next, to Shareholders of record at^the close of business on
the Fifteenth day of December.
By order of the Board.
CEO. H SMITH. Assistant General Manager.
Toronto, November 24th. 1920.
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
.Masonic Temple Building. London. Canada
Interest at 4 per cent. pa}'able half-yearly on Debentures
T. H. PURDOM. K.C. President NATHANIEL MILLS. Manager
THE HAMILTON PROVIDENT AND LOAN CORPORATION
Dividend No. 99
Notice is hereby Biven that a Dividend of FOUR AND ONE HALF PER
CENT., being at the rate of Nine Per Cent, per .inniim. has been declared for
the half year ending December 31st. 1920. upon the paid-up Capital Stock of
of this Corporation, and that the same will be payable at the Corporation's
Head Office. Hamilton, Ontario, on and after Monday, the 3rd day of
January, 1921. The Transfer Hooks will be closed from the 15th to the 31st
of December, both days inclusive. By order of the Beard.
Hamilton. December 1st. 1920 D. M. CAMERON, General Manager.
The Ontario Loan & Debenture Company
DIVIDEND NO. 134.
Notice is hereby giyen that a QUARTERLY DIVIDEND
of 2X pef cent, for the three months ending 31st De-
cember, 1920 (BEING AT THE RATE OF NINE PER
CENT. PER ANNUM) TOGETHER WITH A BONUS OF
}4 OF ONE PER CENT has been declared on the paid-up
capital stock of this Company and will be payable at the
Company's Office, London, Ontario, on and after the 3rd
January next to Shareholders of record of the 1 5th December.
By order of the Board.
A. M. SMART,
Manager.
London. Canada, 30th November, 1920
A^VER 200 Corporations.
^^ Societies, Trustees and':
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THE TORONTO MORTGAGE COMPANY
Quarterly Dividend
Notice is hereby given that a Dividend of Two and one-quarter per
cent., bemg at the rate of Nme per cent, per annum, upon the paid-up
Capital Stock of this Company, has been declared tor the current
Quarter, and that the same will be payable on and after 1st .lanaar.v
1921. to shareholders of record on the books of the Company at the
close of business on 15th inst. By Order of the Board.
Toronto, 2nd December. 1920 WALTER GILLESPIE, Manager.
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada.
Particulars on application.
The Canada Standard Loan Company
520 Mclntyre Block, Winnipeg
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for investment in all classes of Securities.
Business Agent for the R. C. Archdiocese of Vancouver.
Fiscal Agent for B. C. Municipalities.
Inquiries Invited
tleneral Manager llcot.-tol. ti. II. D«»EKKli.
Canadian Guaranty Trust Company
DIVIDEND NOTICE
Notice is hereby given that a dividend at the rate of
Six per cent, per annum on the paid-up capital of this Com-
pany has been declared for the year ending December 31st.
1920, and the same will be payable at the Head Office, 1031
Rosser Ave.. Brandon. Man., on and after January 3rd, 1921.
Transfer books will be closed from December 15th to
31st inclusive.
By order of the Beard.
JOHN R. LITTLE.
Managing Director.
22
THE MONETARY TIMES
Volume 65.
Exports Grow While Imports Decrease
November Trade Statement Shows Favorable Balance of $49,000,000—
Export of Field Crops Showing Effects— Eight Months' Adverse Balance
Being Reduced— Falling Olf in Exports of Wood and Wood Products
THE trade statement issued by the Department of Cus-
toms for the month of November shows exports of
domestic merchandise amounted to $147,508,002, as against
$129,348,220 in October, an increase of more than $18,000,000.
The reason for this showing, of course, was the increase in
exports of agricultural and vegetable products, which
amounted to nearly $21,000,000 for the month. Since the
end of September the value of field crops which have been
sent out of the country has increased by $58,000,000.
Turning to other exports, shows a decline of about
$6,000,000 in woo<l, wood products and paper for the montli.
and an increase of about $1,000,000 in iron and steel. The
value of exports of animal and animal products has de-
clined considerably since a year ago. Imports on the whole
show a decline of more than $7,000,000, the principal de-
creases being in ores, metals and non-metallic minerals,
fibres and textiles and iron and steel.
Another feature of the report is that imports are only
$6,000,000 in excess of the figure of November a year ago,
while exports have increased about $28,000,000. Since April
1st there is an adverse balance of about $92,000,000, com-
pared with the unfavorable balance of more than $164,-
000,000 at the end of September last.
Details are as follows:- —
iMI-OICTS i:XTEKE» FOR HO.UE CO\.SDMPTIOX
Agricultural and vegetable products, mainly foods
Agricultural and vegetable products, other than foods
Animals and animal products
Fibres, textiles and textile products
Chemicals and chemical products
Iron and steel, and manufactures thereof
Ores, metals and metal manufactures, other than iron and steel.
Non. metallic minerals and products
Wood, wood products, paper and manufactures
Miscellaneous
Total
Duty collected
Month of November
2,.f 09.549
4,2.SS,47fi
4.-14J.4.W
0.797.022
1.329,022
t .937.4S3
1.388.466
5.347,241
1,367,792
2.373,849
31,680,359
12,124,V
2,181,';
4.097,C
I4,072.(
l,656.i
12,34J,(
3,250.«
5.456,S
2,427,<
3,425,S
2,414.052
2.567.423
1.184,988
4,871,718
1.348.311
4.011,236
1.188.002 t
8,651.6.56 ;
2.152.737
3.457.010
8,468.633
3,5,59.009
2.865,977
10.187,344
1,773.620
16,597.189
3.S89..581
12.609.903
3.597.550
3,267,058
Eight months ending N'ovember
22,351,445
2,5,124.853
22,827,339
37,6,55.337
6.969,556
22,480,165
12.150,510
40.061.642
12,064.059
19.032,609
66.815.864 I 220,717,515 41,5.671,65:
78.187.062
12.966,689
35,464,747
81.752,609
10.920.290
%.673.228
20.065,735
41.469.739
15.349.226
22,822.327
13,188.767 1)4,029,005
29.313,030
28,688.293
21.043.579
60,392,381
13.055.538
34.101,664
12,117.816
58.415.942
17.722,551
27.313.903
94,615,708
27.458,464
25,062.876
138.614.660
15,321.420
149,519.384
29,843.967
83.642,634
23.885.811
27.315.604
302.164.697 ' 615.280,528
Agricultural and vegetable products. ma,inly foods
Agricu tural and vegetable products, other than foods
Anmi.»Is and animal products
Fibres, te.xtilcs and textile products
Chemicals and chemical products
Iron and steel an<l manufactures thereof '.....
Ores, mct.-ils and metal manufactures, other than iron and steel.
Non-mctalic minerals and products
Wood, wood products, paper and nianufacturfrs
Miscellaneous "'
Total
Month of November
1
1919
i
1920
Domestic
Foreign
S
Domestic
9
Foreign
»
»
40,866,473
313,0*0
78.316,187
68,736
2,886,623
r45.722
2,470,013
10,615
35.295,6,32
749,2;!5
21,880.764
97.3:f8
1,931,987
397,905
1.165,083
lS4.32;i
1.8:10.070
316.452
1,694.356
115.702
6.3;t3.l78
1.327,5:i2
7.780.542
346.027
4.2.12.914
105.251
5.124.357
69.389
3..568.052
46,379
3,255.876
1 19.327
19.116.513
35.046
23,482,199
28.6.56
3,3.52.219
245,744
2,338.625
199.789
119,413,661
3.582,326
147,508,002
1,239,902
Bight months ending November
Domestic i Foreign
ki:4'ai>iti:l.4tiox
.Merchandise entered tor consumption . , ,
Merchandise, domestic, exported
Total
.Merchandise, foreign, exported
Grand total. Canadian tr.-lde.
Month of .November
; Eight months ending Nov.
1919
1920
$ S
1 S36.389.167 917.445.225
t 808.303,570 825,636,394
1.444,692,737 1.743.081,619
I 30,669.904 16,124,821
1 1,475,362,641 | 1,7.59.206,440
Decembev 24, 1920 THE MONETARY TIMES 23
illlllMillliyilllllllilMllllllMlilllllllllillilllllllllllllllllllllllllllllllllllliliiii II iiiiiiiiiiiiiiiiiwiiiiiii niiiiiiiiiiiiiiiiiiiiiiiiiiiiiininiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiii iiiiiiiiiiii iiiiiiiii iiiiiiiiiii mi iiiiiiiiiiiiiiiiiiiii iii iiiiiii iiii i iiiiiiiiiiiiiiiiiiiiiiiiililillill
UNION BANK OF CANADA
56th Annual Statement as at November 30th, 1920
LIABILITIES
Capital Stock if 8,000,000.00
Rest Account $ 6,000,000.00
Balance of Profit and Loss Account forward 149,296.47
$ 6,149,296.47
Unclaimed Dividends 17,838.68
Dividend No. 135 payable 1st December, 1920 200,000.00
Bonus to Shareholders payable 1st December, 1920 160,000.00
6,527,135.15
$ 14,527,135.15
Notes of Bank in Circulation $12,673,644.00
Deposits not bearing interest ' 49,714,051.67
Deposits bearing interest 85,610,464.14 ■
Balances due other Banks in Canada 627,615.47
Balances due Banks and Banking Correspondents elsewhere than in Canada... 2,601,010.53
151,226,785.81
Acceptances under Letters of Credit '■ 3,450,511.93
Liabilities not included in foregoing 1,012.50
~|169,205T44~5.39
ASSETS
Gold and Silver Coin $ 1,609,944.49
Dominion Government Notes 16,976,372.00
$ 18,586,316.49
Deposited with Minister of Finance for purposes of Circulation Fund 365,000.00
Deposit in Central Gold Reserves 5,000,000.00
Notes of other Banks 818,333.00
Cheques on other Banks . 9,180,179.97
Balances due by other Banks in Canada 158,830.90
Balances due by Banks and Banking Correspondents elsewhere than in Canada 4,551,868.87
Dominion and Provincial Government Securities not exceeding market value.. 8,790,636.23
Canadian Municipal Securities and British, Foreign and Colonial Public Securi-
ties other than Canadian 11,900,843.26
Railway and other Bonds, Debentures and Stocks not exceeding market value. . 3,581,988.10
Call and Short (not exceeding 30 days) Loans in Canada, on Bonds, Debentures
and Stocks 5,418.177.66
Call and Short (not exceeding 30 days) Loans elsewhere than in Canada 3,119,133.31
Demand Loans in Canada secured by Grain 10,732,755.47
$ 82,203,563,26
Loans to Governments and Municipalities 7,648,176.39
Other Current Loans and Discounts in Canada (less rebate of interest) 69,849,784.93
Other Current Loans and Discounts elsewhere than in Canada (less rebate of interest) .... 4,496,251.20
Real Estate other than Bank Premises 229,079.49
Mortgages on Real Estate sold by the Bank 135,499.4.3
Overdue Debts, estimated loss provided for 162,403.97
Bank Premises, at not more than cost, less amounts written off 985,969.61
Liabilities of customers under Letters of Credit, as per contra .- 3,450,511.93
Other Assets not included in the foregoing 44,205.18
$169,205,445.39
.JOHN GALT, President. H. B. SHAW. General Manager.
Report of the Auditors to the Shareholders of the Union Bank of Canada.
In accordance with the provisions of sub-sections 19 and 20 of Section US of the Bank Act, we report to the Shareholders a.s follows :—
We have audited the above Balance Sheet, with the Books and vouchers at Head Office, and with the certified returns from the Branches.
We have obtained all the information and explanations that we have reouired. and are of the opinion that the transactions of the
Bank which have come under our notice have been within the powers of the Bank.
In addition to our verification at the 30lh November, we have durinK the year checked the cash and verified the securities
representinK the investments of the Bank at its chief office and principal branches, and found them to be in aKreement with the
entries in the books of the Bank relatinK thereto. x i.-, -^ » j » • <■ »i, * » /• .t <r • <■ tu
In our opinion the Balance Sheet is properly drawn up so as to exhibit a true and correct view of the state of the affairs of the
Bank, according to the best of our information and the explanations Riven to us. and as shown by the books of the Bank.
T. HARRY WEBB, E. S. READ.
Auditors,
Winnipeg, 20th December, 1920. GEORGe" A^ror^H"^ & CO.
UNION BANK OF CANADA
■■ii II Ill mill iiiiiiiiiiH II II iiiiiii IIIIIIIIIIII iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiitiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii I I mill iiiiiiiiii iiiiiiiiiiiiiiiiiii !■ I mm miiioiiiiiiimiiiiiiiiiiiraiiiw
THE MONETARY TIMES
Volume 65.
WHOI.KSAI.K I'KICKS AGAIN I.OWKK IN OCTOBER
Index NunibiT i.s .{17.6, Compared with 32(i.« lor September-
Raw Materials Prominent Amont? Reductions
WHOLESALE prices continue to move downward. In
October, the index number was 317.6, as compai-ed with
:J2G.6 for September, 299.6 for October, 1919, and 138.7 for
October, 1914. The chief decreases appeared in the groups
of grains and fodder, animals and meats, miscellaneous
foods, building materials and chemicals. The group inde.x
numbers were lower than a year ago in grains and fodder,
fruits and vegetK'bles, woollens, cottons, silks, jutes, hides,
leather, boots, paints and oils and raw furs, but were higher
for the other groups.
The following figures, prepared by the Department of
Labor, illustrate the trend of prices between the months
mentioned: —
(DEPART.MENT OF LABOUR
FIGURES)
dE.t;
25
t>
1
3
15
d
6
3
2
17
9
6
■i
9
3
4
(i
:i
21
10
i
6
5
■io
S
i
3
■i
i
2
20
1
1
3
11
11
■ 12
10
33
H
1
10
u
20
14
18
«
1
2
1
16
16
1
6
7
17
•Oct.
li-21)
Index N
*Sept.
1920
UMBERS
♦Oct.
1919
Oct.
1. Grains and Fodders:
325 2
291.3
315 3
313 9
328. 2
3?". 8
2:9.2
49«.0
348.4
318.7
227.1
288.3
249.5
143.1
2.50.3
243.5
2:(9.3
186.6
;;11.2
2-3.1
20H.5
376.7
230.7
287.3
353.2
340 4
180 1
489.3
3U7 3
306.7
:«2.4
IHl.O
285.9
3(.1.S
255.8
286.1
202.0
273.2
251.6
403.2
2G9.S
349.2
480.5
273.8
4 15.3
.175.3
481. 3
512.11
161.)
281!. 5
390.2
218. G
863.2
303 7
215.7
100.3
317.6
362.9
32o.B
347. b
34S.1
3,57.4
387.4
239.0
496.0
363.4
3a. 1
217.7
288.3
249.5
112.6
261.4
259.7
265.8
216.3
2i7.6
309.9
21.H.9
402.0
130.7
267.4
353.2
371.8
179.3
471.0
597.3
306.7
3S7.4
205.9
2-6.7
312.6
264.4
282.9
212.4
273.4
254.4
402.2
271.4
319.9
494.5
27:t.3
137.3
38 .6
451.3
512.0
161.1
2815.7
:)?7.B
245.4
868.2
307.8
214.4
401.2
S2fi.fi
t, fruits
3311 6
344.2
283 8
Slh (i
342 8
359 5
214.2
327.7
324.2
314.7
211 1
242 7
221.6
158 4
21u 6
266 1
229,4
211 9
213.3
274 0
218 9
294 0
229.9
261 2
389 2
314 5
204 6
631 5
458 0
2:2,5
37! 8
562 0
318 5
339 7
lli S
204 4
197 0
2:t7.y
211 9
231 .6
24 S 3
237 0
310.9
223 1
4211 N
315.1
117.8
IM 9
16) 1
2.^2.
35a 8
221.7
1190 II
i92.2
210 7
169 V
Jim 11
vegetal
1K7,1
l.i7,ll
175 1
167,1
II. Animals AND Meats:
223.7
Hogs and hog products ■ .
171. S
118 3
185 0
187.6
162.6
l.iS.l
168.1
159.7
V. Other Foods:
(a) Fruits and vegetables
8J.1
Fresh fruits, foreign
81.1
126.9
141. 8
Canned vegetables
101.2
111 6
(b) Miscellaneous groceries
DreadstuFfs
117.9
121.8
120.1
Condiments
All
VI.Ti-xTil.BS :
130.4
133.5
147.3
129 7
Silks
DO 0
235.4
Flax products
119.8
101 6
All . .
131.2
VII. Hides. Leather, Boots AND Shoes:
201.4
Leather
165 7
158.3
All
173.0
VIII. Metals AND Ihplebents;
ion. 4
1-26 5
106.6
All
112.2
IX. Fuel AND Lighting:
Fuel
119 7
92 6
All
108.9
.\. Buii.niNO .Materials:
180 8
109,9
142 4
All
140.1
.\l. House Furnishinos:
Furniture
146.6
144.8
Tabic cutlery
Kitchen furnishings
All
78.4
123.4
131.9
136.4
XI 11. .Miscellaneous:
Raw Furs
13k, 6
107 S
133 9
Sundries
All
287t
138.7
•Preliniinaryfigurcs. M-our commoditic
line line of spelter was dropped in 1915.
3 off t
he mark
Ics. etc.
MANITOBA TO LNSURE CIVIL SERVANTS
Group Scheme is Now Being Worked out — Belgo Company
Makes Contract — Westmount Employees will Also Benefit
DURING the past few weeks several important announce-
ments in the group insurance field have been made.
The Belgo-Canadian Pulp and Paper Co. has concluded
negotiations with the Metropolitan Life Insurance Co. for
insuring its employees under the group plan. The amount
of insurance varies from $500 to $3,000, according to the
length of service. The insurance benefits do not in any way
interfere with the Quebec Accident Compensation Act, and
are over and in excess of any sums that are due to the de-
pendents under the provisions of this act. Should an em-
ployee leave the company, he has the privilege to continue tht
insurance at his own cost without any medical examination,
but subject to rates and conditions of the Metropolitan Life
Insurance Co.
A system of group insurance for the nurses has been
favored by the Hamilton Board of Hospital Governors, and
arrangements will be made to carry out such a plan early
next year. It is stated that when arrangements have been
completed each nurse in training would be insured for a
substantial amount, without cost to herself.
A resolution that group insurance be effected with the
Canada Life Assurance Co. to cover all Westmount, Que.,
city employees, with the exception of the principal officials,
was moved by Alderman Brown, seconded by Alderman Ruth-
erford, and carried unanimously at the meeting of the coun-
cil last week. The plan provides insurance of .$500 for each
employee of from 6 months to 1 year's service, $600 from 1
to 2 years, $700 from 2 to 3, $800 from 3 to 4, $900 from 4
to 5, $1,000 from 5 to 6, $1,100 from 6 to 7, $1,200 from 7 to
8, $1,300 from 8 to 9, $1,400 from 9 to 10, and $1,500 in the
case of each employee who has sers'ed 10 or more years.
This insurance is actually in effect at present, and the re-
solution passed merely added the official seal of approval.
For Manitoba Civil Servants
Definite assurance that the Manitoba government stands
committed to the policy of providing free group insurance
for all members of the civil service has been given by Hon.
J. W. .A.rmstrong, provincial secretary. "The general policy
is adopted," said the minister, "but final details of the scheme
have to be worked out. Data is being collected upon which
the government will call for tenders from insurance com-
panies desirous of handling this class of business. Already
a large number of concerns have expressed a wish that they
be afforded an opportunity in this regard."
Explaining the general terms of the insurance tenta-
tively accepted, Mr. Axford said employees of the govern-
ment would benefit to the extent of $500 a year as soon as
they had been three months in the service. The original
suggestion of $250 insurance on entering the service has
been discarded. After six months of service, the benefit
is increased to $750, and after one year, to $1,000. There-
after, policies will be augmented $250 a year until the maxi-
mum of $3,000 is reached in five years.
COBALT ORE SHIPMENTS
The following are the shipments of ore, in pounds, from
Cobalt Station for the week ended December 17th: —
• Bailey Mine, 76,277; Coniagas Mine, 141,397; total, 217,-
666. The total since Januai-y 1st is 25,161,121 pounds or
12,580.5 tons.
Copief; of The Monetary Times of June 4, June IS and
June 25, 1920, are wanted. Any subscriber sending these in
will have their own subscription extended one month.
Messrs. Rorie and Small announce that they have opened
a branch office in Prince Rupert, B.C., and that Mr. George
Rorie, C.A., will be the resident partner in charge of this
office for the time being.
December 24, 1920
THE MONETARY TIMES
25
The Royal Bank of Canada
GENERAL STATEMENT, 30th November, 1920
LIABILITIES
TO THE PUBLIC:
Deposits not bearing interest $123,329,308.42
Deposits bearing interest, including interest
accrued to date of statement 331,688,078.60
Notes of the Bank in Circulation
Balance due to Dominion Government ....
Balances due to other Banks in Canada .... $ ^
Balances due to Bank-s and Banking Corre-
spondents in the United Kingdom and
$455,017,
41,672,
19,972.
ASSETS
Current Coin j 17,910,122.50
Dominion Notes 28,727,403.00
United States Currency 27,181,668.00
Other Foreign Money 6,723,995.37
foreign countries
14.<iri9,003.0C
Bills Payable
Acceptances
nder Letters of Credit
14.965,
3,997,
17,228,
,387.02
,973.74
,801.38
810.47
678.28
647.2B
TO THE SHAREHOLDERS:
Capital Stock Paid up
Reserve Fund $ 20.134,010.00
Balance of Profits carried forward 346,928.20
Dividends Unclaimed :
Dividend No. 133 (at 12 per cent, per annum),
payable December 1st. 1920
Bonus of 2%. payable December 15th. 1920.'.
$552,855,298.1K
20,134,010.00
11.107.37
585,979.48
402,680.20
$ 80,543,188.87
Deposit in the Central Gold Reserves 23,500,000.00
Notes of other Banks 3,431,180.21
Cheques on other Banks 26,490,706.01
Balances due by other Banks in Canada.... 291.51
Balances due by Banks and Banking Corre-
spondents elsewhere than in Canada 37,044,019.59
Dominion and Provincial Government Securi-
ties, not exceeding market value 12,808,172.80
Canadian Municipal Securities and British,
Foreign and Colonial Public Securities
other than Canadian, not exceeding
market value 21,400,126.90
Railway and other Bonds, Debentures and
Stocks, not exceeding market value. . . . 16,117,459.49
Call Loans in Canada, on Bonds, Debentures
and Stocks 12,899,573.85
Call and Short (not exceeding thirty days)
Loans elsewhere than in Canada 44,962,994.23
Other Current Loans and Discounts in Can-
ada (less rebate of interest) $183,747,409.41
Other Current Loans and Discounts else-
where than in Canada (less rebate of
interest) 102,674.210.39
Overdue Debts (estimated loss provided, for) 420,381.04
Real Estate other than Bank Premises
Bank Premises, at not more than cost, less amounts
written off
Liabilities of Customers under Letters of Credit, as per
contra
Deposit with the Minister for the purposes of the Circula-
279,197.713.46
1,498,425.46
',228,647.29
Other A.ssets not included in the foregoing
$594,670,013.43
$594,670,013.43
CERTIFICATE
. NEILL,
General Manage:
H. S. HOLT. EDSON L. PEASE.
President. Managing Directo
AUDITORS
Report to the Shareholders of The Royal Bank of Canada:
That in our opinion the transactions of the Bank which have come under our notice have been within the powers of the Bank.
That we have checked the cash and verified the securities of Jhe Bank at the Chief Office at 30th November, 1920. as well as at
the books in regard thereto. We ali
notlier time,
during the
as required by Section 56 of the Bank .'Vet and that we found they agreed with the entries
year checked the cash and verified the securities at the principal branches.
"^J?*',,*^ ^^°'''^ Balance Sheet has been compared^ by^us with the books at the Chief Office and with the certified returns from the Branches.
»_,.. ^T,,i _„- 1 .... ^ - j^j^ ^j ^l^p Bank's affairs according to the best of our
opinion is properly drawn up
nformation and the explanations given to us and
That we have obtained all the information and
M<intreal. Canada, ISth December, 1920.
exhibit a true and correct view of th,
shown by the books of the Bank
xplanations required by us.
JAMES MARWICK, C.A.,
S. ROGER MITCHELL, C.A..
of Marwick, Mitchell and Co.
JA.MES G. ROSS, C.A., of P. S. Ross & Sons
PROFIT AND LOSS ACCOUNT
Balance of Profit and Loss Account, 29th November, 1919 j 1,096,418.74
Profits for the year, after deducting charges of management and all other expenses, accrued interest on deposits,
full provision for all bad and doubtful debts and rebate of interest on unmatured bills 4,253,649.24
APPROPRIATED AS FOLLOWS:
Dividends No.s. 130, 131. 182 and 133 at 12 per cent, per annum.
Bonus of 2 per cent, to Shareholders .».
Transferred to Officers' Pension Fund
Written oif Bank Premises .Account
War-Tax on Bank Note Circulation
Transferred to Reserve Fund
Balance of Profit and Loss carried forward
$ 5,350,067.98
$ 2,163,159.11
402,680.20
100,000.00
400,000.00
180,295.47
1,567,006.00
546,928.20
RESERVE FUND
Balance at Credit, 29th November, 1919 $17,000,000.00
Premium on New Capital Stock I,567!o06.00
Transferred from Profit and Loss Account 1,567.005.00
Balance at Credit, 30th November, 1920
H. S. HOLT.
President.
Montreal. 18th December, 1920.
$ 5,350,067.98
$20,134,010.00
EDSON L. PEASE,
Managing: Director
0. E. NEILL.
General Manager.
THE IMONETARY TIMES
Volume 65.
DIVIDENDS AND NOTICES
International Petroleum
Company, Limited
NOTICE OF DIVIDEND No. 1
Notice is hereby given that a dividend of 25 cents United
States Currency per share has been declared by the Directors
of the International Petroleum Company, Limited, and that
the same will be payable on or after the 3rd day of January,
1921, in respect of the shares specified in any Bearer Share
Warrants of the Company upon presentation and delivery
of coupons No. 1 attached to the said Bearer Share Warrants
at the following Banks: —
The Royal Bank of Canada, 60 Church Street, Toronto,
Canada.
The Farmers' Loan and Trust Co., 16-22 William Street,
New York, N.Y.
The Farmers' Loan and Trust Co., Limited, 26 Old Broad
Street, London, England, or
The Offices of the International Petroleum Co., Ltd., 56
Church Street, Toronto, Canada.
The payment to shareholders of record whose shares are
fully paid up at the close of business on the 31st day of
December, 1920, and whose shares are represented by Regis-
tered Certificates will be made by cheque, mailed from the
offices of the Company on the 31st day of December, 1920.
By Order of the Board.
J. R. CLARKE,
Secretary.
56 Church Street, Toronto, Canada.
1st December, 1920. 300
DIVIDEND NOTICE
Notice is hereby given that Dividends have been de-
clared by Provincial Paper Mills, Limited, as follows: —
Regular Quarterly Dividend l%'7c on Preferred Stock.
Regular Quarterly Dividend 1%% on Common Stock.
Special Dividend 1% on Common Stock.
All payable on January 1st, 1921, to Shareholders of
record at close of business December 15th, 1920.
(Signed) S. F. DUNCAN,
30 Secretary.
CANADIAN CAR AND FOUNDRY COMPANY, LIMITED
Notice is hereby given that a dividend of one and three-
quarters per cent. (1%%) <"» the Paid-up Preference Stock
of the Company for the quarter ending December 31st, 1920,
has been declared, payable on the 10th day of January, 1921.
to Shareholders of record at the close of business on the
27th day of December, 1920.
By Order of the Board.
A. C. BOURNE,
Secretary.
Montreal, Nov. 30th. 1920. 302
Tenders for Capital Stock
OF
The Consumers^ Gas Co.
of Toronto
Sealed Tenders, addressed to The Consumers' Gas Com-
pany of Toronto, 19 Toronto Street, Toronto, Ont., and
marked "Tender for Capital Stock," will be received by The
Consumers' Gas Company of Toronto until 12 o'clock noon
of the 5th day of January, 1921, for the purchase of twelve
thousand seven hundred and eighty-six (12,786) shares of
the unissued capital stock of the said Company (each share
having a par value of $50.00), subject to certain conditions
and terms of sale, the particulars of which, together with
the form of tender to be used, may be had on application at
the office of the Company at the above address.
Dated at Toronto, this 10th day of December, 1920.
By order of the Board of Directors.
ARTHUR HEWITT,
General Manager. 321
DOMINION TEXTILE COMPANY, LIMITED
NOTICE OF DIVIDEND
A dividend of tvi-o and one half per cent. (2'/^%) on
the Common Stock of the Dominion Textile Company, Limited,
has been declared for the quarter ending 31st December,
1920, payable January 3rd. 1921, to shareholders of record
December 15th, 1920.
By Order of the Board.
JAS. H. WEBB,
Secretary-Treasurer.
Montreal, 6th December, 1920. 313
THE LONDON AND CANADIAN LOAN AM) A(;ENTY,
COMPANY. LIMITED
DIVIDEND No. 119
Notice is hereby given that a Dividend of Two and
Ono-quarter Per Cent, for the quarter ending 31st De-
cember, 1920, upon the Paid-up Capital Stock of the Com-
pany (being at the rate of Nine Per Cent. Per Annum) has
this day been declared, and will be payable on and after the
Third day of January, 1921, to Shareholders of record at the
close of business on the 15th December, 1920.
By Order of the Board.
V. B. WADSWORTH,
Manager.
Toronto, NovenibiT HOtli, 1920. 337
December 24, 1920
THE MONETARY TIMES
THE REAL ESTATE LOAN CO. OF CANADA, LIMITED
Dividend No. 68
Notice is hereby given that a Dividend at the rate of
three and one-half per cent, for the half-year ending 31st
inst. has been declared upon the Capital Stock of the Com-
pany, and that the same will be payable at the offices of the
Company in Toronto on and after Monday, 3rd January, 1921,
to Shareholders of record on December 18th.
By Order of the Board.
E. L. MORTON,
Manager.
Toronto, 9th December, 1920. 318
THE CANADIAN CROCKER-WHEELER CO., LIMITED
DIVIDEND NOTICE
The directors of The Canadian Crocker- Wheeler Com-
pany, Limited, have declared a One and Three Quarters per
cent. (l?49i) dividend on the preferred stock of the Com-
pany for the three months ending December 31st, 1920, to
shareholders of record December 21st, 1920. Also a dividend
of One and Three Quarters per cent. {!%%) on the common
stock of the Company for the three months ending December
31st, to shareholders of record December 21st, 1920.
The Stock books will be closed from the 21st to the
31st of December, both days inclusive.
Checks will be mailed to shareholders on December 31st,
1920.
By order of the Board.
H. A. BURSON,
Secretary.
St. Catharines, December 6th, 1920. 310
THE SPANISH RIVER PULP AND PAPER MILLS,
LIMITED
NOTICE OF DIVIDEND ON COMMON STOCK
. A Dividend of one and three-quarters per cent. (1%%)
on the Common Stock of the Spanish River Pulp and Paper
Mills, Limited, has been declared for the quarter ending
December 31st, 1920, payable January 15th, 1921, to Share-
holders of record at close of business, December 31st, 1920.
Bv Order of the Board.
J. G. GIBSON,
SecretaiT^.
Toronto, December 17th, 1920. 338
PENMANS LIMITED
DIVIDEND NOTICE
Notice is hereby given that the following Dividends have
been declared this day for the quarter ending January 31st
1921:—
On the Preferred Stock, one and one-half per cent
(l'/2%), payable on the 1st day of February to Shareholders
of record of the 21st day of January, 1921.
On the Common Stock, two per cent. (2%), payable on
the loth day of February to Shareholders of record of the
nth day of FebruaiT, 1921.
By Order of the Board.
C. B. ROBINSON,
Secretary-Treasurer.
Montreal, Qui;., December 20, 1920. 33.5
THE SPANISH RIVER PULP AND PAPER MILLS.
LI.MITED
NOTICE OF DIVIDEND ON PREFERRED STOCK
A Dividend of one and three-quarters per cent. (1%%)
on the Preferred Stock of the Spanish River Pulp and Paper
Mills, Limited, has been declared for the quarter ending
December 31st, 1920, payable January 1.5th, 1921, to Share-
holders of record at close of business, December 31st, 1920.
Bv Order of the Board.
J. G. GIBSON,
Secretary.
Toronto, December 17th, 1920. 339
THE STANDARD TRUSTS COMPANY
DIVIDEND No. 33.
Notice is hereby given that a dividend at the rate of
9% per annum on the paid-up capital stock of The Standard
Trusts Company has been declared for the half-year ending
December 31st, 1920, and that the same will be payable at
the Company's offices in Winnipeg on and after January
2nd, 1921.
By Order of the Board.
WILLIAM HARVEY,
311 Managing Director.
28
THE MONETARY TIMES
Volume 65.
t)IVII>E>;i> NOTICED
MUTUAL FINANCE CORPORATION, LIMITED
NOTICE OF DIVIDEND No. 5
The i-egular quarterly dividend at the rate of 8% per
annum on the Preferred Stock of the Mutual Finance Cor-
poration, Limited, has been declared by the Board of Direc-
tors, payable on January 8th, 1921, to paid-up stockholders
of record December 28th, 1920.
A. F. HEALY,
President.
Windsor, December 15, 1920. 340
NIPISSING MINES COMPANY, LTD.
Head Office, Toronto, Can., December 10, 1920.
The Board of Directors has to-day declared a Regular
Quarterly Dividend of Five Per Cent., and Five Per Cent.
extra, payable January 20, 1921, to shareholders of record
December Ml, 1920. Transfer books close December 31, 1920,
and reopen January 18, 1921.
P. C. PFEIFFER,
:120 Treasurer.
Condensed Advertisements
■ PositM.ns VVaiitLil,"Hc per word : all other cnndensid ;ulvi'ri isi merits
5c. per word. Minimum charge for any condensed advertisement, ti5c
per insertion. All condensed advertisements must conform to usual
style. Condensed advertisements, on account of the very low rates
charged for them, are payable in advance: 50 per cent, extra if charged.
EXECUTIVE. — Age 35. Twenty years' experience.
Eight years in Railway Operating and Construction Depart-
ments, twelve years in Accounting Department, past five
years as General Auditor. Expert Accountant, thorough
knowledge of railway and construction materials, well in-
formed in financial matters, seeks engagement. Box 365,
\foiielary 'limes, Toronto.
YOUNG MARRIED MAN, with sixteen years' Fire In-
surance experience, would like to secure position either on
road or office. Alberta or British Columbia preferred. Box 369,
Monetary Times, Toronto.
WANTED. — An active young man to take a partnership
interest in an old and well-established financial and insur-
ance business in British Columbia. Would be expected to
take charge of office. Apply in the first instance to Jas. J.
Salmond, President, Monetary Times, 62 Church Street, To-
ronto. 339
EXPERIENCED FIRE MEN WANTED.— The Motor
Union Insurance Company, Limited, which is about to transact
general fire insurance business throughout Canada, invites
applications for an important position at Canadian Chief
Office. Fire underwriting, field and office experience essential.
Apply by letter, marked "Confidential," stating age, experi-
ence and salary, to Mm. Maclnnes, .\ssistant Manager for
Canada, 59 Yonge Street, Toronto. 330
A new city, whose name, Saguenay City, is already in-
corporated, is to be built, beginning next spring, near Keno-
gami Lake, St. John County, Quebec, by the Price Brothers
Lumber Co. This firm intends to establish a very large
pulp plant there. The contractors say they will need at least
4,000 men next spring.
LETHBRIDGE WILL HAVE CITY MANAGER
The citizens of Lethbridge on December 13 voted in
favor of a change in the form of government from the
straight Elective Commission of three to the City Manager
form with an elective unpaid commission to serve in an ad-
visory capacity. Lethbridge has had commission government
since 1914, and it has been much more satisfactory than
aldermanic government, but the citizens evidently think that
the city manager plan will work a still further improvement.
It will be a year at least before the change can be made.
BRITISH COLUMBIA ELECTRIC TARIFF
The Board of Railway Commissioners has approved the
supplementary tarifl' of the British Columbia Electric Rail-
way filed with the board. In an order signed by the chief
commissioner, Hon. Frank B. Carvell, the company's supple-
ment No. 1 to its tariff of maximum fares is approved. The
new tariff must be published for two consecutive weeks in
"The Canada Gazette." Approval is granted upon the re-
port and recommendation of the chief traffic officer of the
Railway Commission.
PORT ARTHUR BOARD OF TRADE
At the regular meeting of the Port Arthur, Ont., Board
of Trade, on December 14, the officers were elected for 1921,
as follows: J. L. Routly, president; W. G. Hurrell, vice-
president; F. B. Allen, chairman, municipal government com-
mittee; F. D. Roberts, chairman, finance committee; E. E.
Bonin, chairman, industrial committee; Wm. Scott, chair-
man, timber and wood committee; F. S. Wiley, chairman,
home industry committee; E. T. Ross, chairman, colonization
and good roads committee; W. R. Telfer, chairman, trans-
portation committee; Stuart Coulter, chairman, publicity
committee; C. Mollor, chairman, house and progi-am com-
mittee; J. N. Robb, chairman, grain committee; Col. Ray,
chairman, mining committee; A. H. Weever, chairman, mem-
bership committee; T. N. Andrew, chairman, social welfare
committee; L. J. Fallis, chairman, fisheries committee; A.
G. Pounsford, chairman, tourist committee; Dr. McComb,
chairman, luncheon and speakers committee; A. H. Knut-
son; Dr. Chas. Powell.
LARGE OIL COMPANY ACQUIRED
A large commercial transaction just consummated is the
purchase of the assets and business of the Winnipeg Oil
Co., Ltd., with its head office in Winnipeg and over lOO
branches and distributing stations throughout the prairie
provinces. The purchaser is the British American Oil Co.,
Ltd., of Toronto. The latter company's business has rapidly
expanded in eastern Canada dui-ing the 15 years of its
existence. By this deal the British American comes into the
western field with a business already well developed. The
western business, on the other hand, will have the benefit
of the British American's experience and refinery facilities,
as well as connections on this continent and abroad.
Before the war, when oil products from the Far East
were available, the British American sold, in addition to
their own lines, certain products of the Asiatic Petroleum
Co., controlled by the Shell Co. of London, for whom they
acted as agents in Canada. The active officers of the British
.American Oil Co., Ltd., are S. R. Parsons, president, a former
resident of Winnipeg, and A. L. Ellsworth, secretary-treas-
urer. The capital will be enlarged sufficiently to provide for
the purchase just made, as well as to include large areas of
prospective oil-producing territories in the Canadian north
west Should crude petroleum be found in commercial
quantities, refineries will later be established at convenient
points in western Canada.
December 24, 1920 THExMONETARYTIMES 29
^niiiMiiiiiiiiMiMMiiiiiitiiMiiiiiiiMMiiiuMiininiiiiiHiniiiiiniiiiiiniiMMiMiiMMiniiiiiiiiMiiiiinniiiiiiiruiMniMiiiMuiMMiniiiuiiHiiiiinniii:
I CHARTERED ACCOUNTANTS |
nlllllllllllllllMIIIIIIIIIIIIIIIMIIirMIIIIIMIIIIIIIMIIIIIIIUIIIIIIIIIMItlllMIIMIIIIIIIIIMIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII^
Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OFFICES AT
Edmonton - Alberta
Toronto - Ont.
CHARLES D. CORBOULD
Chartered Accountant and Auditor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipeg
Correspondents at Toronto. London. Eng..
Established ISSi
W. A. Henderson & Co.
Chartered Accountants
S08-S09 Electric Railway Chambers
Winnipeg, Man.
W. A. Henderson. C.A. J, J. Cordner. C.A.
C->hle Address •'Ormlie" Wester" Union Code
VV. A. Bawden,
Wales).
C.A. (P. C.A
1". H. Kid
Engla
D.C.A.
nd and
BAWDEN
, KIDD
&
CO.
Charter
ed Accou
ntant
s
CENTRAL BUILDING, VICTORIA
Branch at Nanaioo. B.C.
, B.C.
Telegraph
•■ Nedw
c and Cable Address
ab." Victoria. B.C.
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
Mowat, MacTavish & Co.
Chartered Accountants
David Mowat Donald MacTavish
712 Canada Building
SASKATOON. Sask.
ALEXANDER G. CALDER
CHARTERED ACCOUNTANT
Specialist on Taxation Problems
Bank of Toronto Chambers
LONDON ONTARIO
HARBINSON & ALLEN
CharlercJ Accouiil^nh
408 Manning Chambers
TORONTO
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 Confederation Life Building
Winnipeg
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:-
HAMILTON
WINNIPEG
CLEVELAND
Hubert Reade & Company
Chartered Accountants
Auditors, Etc.
407-408 MONTREAL TRUST BUILDING
WINNIPEG
SERVICE
Thorne, Mulholland, Howson & McPherson
CHARTERED ACCOUNTANTS
Production
Hamilton Bids.
TORONTO
RONALD,
GRIGGS & CO.
RONALD, MERRETT, GRIGGS & CO. |
Chartered A
TrusU
chiintatits. Ai<Jtlors.
es. Liquidators
Winnipeg, Toron
Montreal, Ne
to. Saskatoon, Moose Jaw,
w York, London, Eng.
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Main 7014
LUMSDEN BUILDING - - TORONTO, CANADA
F. C.S. TURNER & CO.
Chijrtered Accountants
TRUST & LOAN BUILDING, WINNIPEG
CLARKSON, GORDON & DILWORTH
Chartered Accountants, Trustees.
Receivers. Liquidators
Merchants Bank Bldg.. 15 Wellington Street West ToronI
G.T. Clarks
Kstablish.id 1SG4 R. J. Dihvor
K. Williamson. C./
A .1. \V:ill<er, C A.
RUTHERFORD WILLIAMSON & CO.
Ckartered Accountants, Trustees and
Liquidators
86 Adrlaide Street East, TORONTO
mi .McGiLL UuiLDlNC. MONTREAL
Cable Address-"\VILLCO."
Represented at Halifax. St. John. Winnipeg.
Vancouver,
30
THE MONETARY TIMES
Volume 65.
I'KOl'KRTY SUBJECT TO PROVINCIAL SUCCESSION
DUTIES
Supreme Court of Canada Holds Quebec Can Levy Tax on
Movable Property Outside Province Belonging to
Testator Domiciled in it
THE succession duty imposed by the Quebec Succession
Duty Act upon "all transmission within the province,
owing- to tiK- death of a person domiciled therein, of movable
property locally situate outside the province at the time of
such death" is direct taxation within the province and intra
vires the Quebec Legislature under sec. 92 (2) of the B.N.A.
Act. This is the substance of the Supremo Court of Canada's
decision in the case of Barthe vs. Alleyn-Sharples, on appeal
from the Court of King's Bench of Quebec, on February 3,
1920.
The facts of the case were : Amongst other assets, the
estate of the late John Sharpies, who died domiciled in the
province of Quebec, in July, 1913, comprised shares in vari-
ous companies (most of them foreign), whose head offices
were not in that province, of which the aggregate value was
$213,039.75. The defendant Margaret Alleyn-Sharples is the
universal legatee in ownership. The plaintiff Barthe, as
collector of provincial revenue, sues to recover succession
duties in respect of this property.
The article- in question, of the Quebec Succession Duty
-Act, reads: —
"1387 (b). All transmissions within the province, owing
to the death of a person domiciled therein, of movable prop-
erty locally situate outside the province at the time of such
death, shall be liable to the following taxes, calculated upon
the value of the property so transmitted, after deducting
debts and charges as hereinafter mentioned."
Decisions of Lower Courts
Davies, C.J., in his judgment says: —
"The Superior Court, acting upon and applying the
well-known i-iile mohilia seqimntur personam, gave judgment
for the plaintiff i'S-qiialUe for the amount of the duties levied
and payable under the statute. This judgment was reversed
on appeal by the Court of King's Bench in a majority judg-
ment of that Court which held that 'the powers of the
provincial legislature are not plenary but limited to "direct
taxation within the province;" (British North America Act,
sec. 92 (2) ; and that any attempt to levy a tax on property
locally situate outside the province is not taxation within
the province and is beyond the competence of the provincial
legislature; that the taxation of transmissions within the
province of property locally situate outside the province is
an attempt to do indirectly that which the legislature is
forbidden to do directly and is in effect taxation of property
within the province; and that the property and shares in
question in this case are locally situate and have a situs out-
side the province."
"I agree with that part of this judgment which declares
the powers of the provincial legislature not to be plenary but
to be limited to 'direct taxation within the province.' And
I further agree that the taxation of 'transmissions within
the province" of property locally situate outside it is an
attempt to do indirectly that which the legislature cannot
do directly, but I differ from the conclusion reached by tlie
Court that the property and shares in question in this case
are locally situate and have a situs outside of the province
and so beyond the jurisdiction of tlie province legislature in
levying succession duties. The judgment now in appeal
ignores the application of the rule making the domicile of
the deceased owner, in questions arising out of succession
and legacy duties, the test of the situs of the property and
shares in question and adopts that which allots the situ.*; to
the location of the head office of the respective companies
and so carries this intangible property outside of tlie pro-
vince of Quebec.
"I may say that owing to the grave and great im-
portance of the question I have deemed it right in this ap-
peal again to i-eread all these authorities with the result
that I am more firmly convinced than ever, that, in con-
struing the powers of 'direct taxation within the province'
granted to provincial legislatures by our Constitutional Act,
so far as the levying of succession and legacy duties are
concerned, the true rule is that which existed alike in Great
Britain as in the province of Quebec at the time such act
was passed, namely, that the domicile of the deceased owner
of the property, and not its actual location at his death,
determined which province could impose succession and
legacy duties upon it. That rule is not applicable in the
construction of statutes levying probate and estate duties
or other taxes, but is confined to succession and legacy
duties. The whole question was thoroughly thrashed out
and determined in the House of Lords in the appeal case
of Winans vs. Attorney-General where the rules respect-
ing- succession and legacy duties and estate and probate
duties are clearly laid down and the reasons for the applica-
tion of the mobilia rule to the two classes of duties, succes-
sion and legacy are given and for its non-application to
estate and probate duties. I was greatly tempted to embody
in these reasons of mine some extracts from the judgments
of the noble lords who decided that case. They were un-
animous in their reasons for the judgment they delivered in
determining that so far as succession and legacy duties were
concerned the domicile of the deceased owner, and not the
local situation of the property, must be taken as the con-
trolling factor."
OWNERSHIP OF CANNING PLANT
Court action involving the ownership' of the Garden
City Canning Co.'s canning factory in St. Catharines, Ont.,
was tried on December 9, and Justice Orde reserved judg-
ment. Thomas E. Flynn and his son, J. J. Flynn, both of
Buffalo, claim they own the business, and suit was brought
against them by John A., Joseph M., and Catherine Flynn,
brothers and sister of Thomas.
Some years ago, when the St. Catharines brothers found
business bad, they appealed to Thomas and he paid over
sums aggregating about $12,000, he stated in his 'evidence
and in return he was given a deed of the factory property.
The plaintiffs testified that the plant is worth fully $40,000,
being capable of turning out 75,000 cans a day, and that
they had merely given their brother the deed as security
for the money ho had loaned them. They said they were
ready to pay him back any time. Both the Buffalo Flynns
testified that the business had been theirs for some time,
and they had financed it, and they claimed it as their own.
CLAIMS BANK CAUSED HIM LOSS
A suit for $200,000 damages has been entered against
the Bank of Toronto by E. D. Barlow, Toronto. The ques-
tion whether a cheque for $200 was accepted by the bank
for deposit to the account of Barlow, or whether it was
rnerely taken for collection, is the point upon which the case
hinges. Barlow asserts that when he deposited the cheque
he explained to the bank that he was negotiating the pur-
chase of property in Waterbury, Conn. He says that on
October 15 he cashed the cheque for $200 with the Bank
of Nova Scotia. The Bank of Toronto refused to honor it.
He says he was afterwards detained by the police, forced to
disburse the $200, with the result that he lost the sale of
property upon which he expected to make a profit of $10,000.
The Bank of Toronto says the cheque Barlow left with
them was drawn in favor of a man named Shields on the
.American National Bank at Richmond, Va., and endorsed by
him to Barlow. The bank claims the cheque was left with
it for collection, and that it had refu.sed to honor any cheque
for Barlow for more than $50 till the collection had been
made. At the time Barlow's cheque was presented by the
Bank of Nova Scotia there were no funds to meet it. It
alleges this cheque was signed "E. W. Barlow," not in ac-
cordance with E. D. Barlow's specimen signature.
i
December 24, 1920
THE MONETARY TIMES
iLIIMIIlMlllllirilllllllllllllMIIIIUniMnillMIIIIUIIinillMMinMIIIIIIMIMIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIiriUIIIIIMIIIinilllllllMMIIIIIMIIIIIIIIIIIIII^
I REPRESENTATIVE LEGAL FIRMS |
niiiiiiiiniiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiuMii iiiiiiiniiiiiiiiiiiiiiiiiMiiiniiiiiiiiiniiiiiiiiiiiiiMiiiiiiiMiiiiiniiiMMiii in^
BRANDON
KILGOUR. FOSTER & McQUEEN
Barristers, Solicitors, Etc., Braodon, Man.
Solicitors for the Bank of Montreal, The
Royal Bank of Canada- Hamilton Provident
and Loan Society. North American Life
\ssurance Company-
LETHBRIDGE, Alta.
Conybeare, Church
&
Davidson
Barristers. Solic
tors. Etc.
Solicitors
and Loar
for Bank of Mo
Co of Canada.
Trust Co.. &c
ntreal, The Trust
British Canadian
C. F. P. Conybeare, K.C., H
R. R. Davidson.
Lethbridge
W. Church. IVl.A.
LL.B.
Alta.
PRINCE ALBERT
COLIN E. BAKER, B.A.
Solicitor for the City of Prince Albert
IMPERIAL BANK BUILDING
PRINCE ALBERT. SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal Bldg.
CALGARY - - ALTA.
W.P.W Lent Alex. B.Mackay. M. A., LL.B.
H. D. Mann. MA, LL.B.
LENT, MACKAY & MANN
BarrUters, SoUeltors, Notaries, Etc.
305 Grain Exchange Bids . Calgary, Alberta
Cable Address. 'Lenjo." Western UnionCode
Solicitors for The Standard Bank of Canada.
The Northern Trusts Co. Associated Mort-
gage Investors. &c. ^
J. A. Wright. LL.B. C. A. Wright. B.C.L.
WRIGHT &WRIGHT
Barristers, Solicitors, Notaries, Etc.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
JOHNSTONE & RITCHIE
Barristers, Solicitors, Notaries
LETHBRIDGE - Alberta
REGINA
MEDICINE HAT
G. F. H. Lovo. LL.B. J. W. Sleight. B.A.
LONG & SLEIGHT
Barristers, etc.
MEDICINE HAT and BROOKS, Alta.
MOOSE JAW
Grayson, Emerson & McTaggart
Barristers. Etc.
Solicitors— Bank of Montreal
Canadian Bank of Commerce
Moose Jaw - Saskatchewan
Gordon, Gordon, Keown
and Collins
Barristers, Solicitors, &c.
Aldon Building, REGINA, Sask.
Solicitors for Imperial Baak of Canada
SASKATOON
C. L DURIE, B.A. B. M. Wakelino
DURIE & WAKELING
KarrUter.s and Solicitors
Solicitors for the Bank of Hamilton. The
Great West Permanent Loan Co. The
Monarch Life Assurance Co.
Canada Building Saskatoon, Canada
Chas. G.Locke. Major J. McAughey.O.B.B.
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Building
SASKATOON - CANADA
EDMONTON
Hon. A. C. RutherfcM-d. K.C..LL.U.
F. C. Jamieson, K C. Chas. H. Grant
S.H. McCuaig Cecil Rutherford .
RUTHERFORD, JAMIESON
& GRANT
Barristers, Solicitors, Etc.
514-18 McLeod BIdg. Edmonton, Alberts
NEW WESTMINSTER
JOHN W. DIXIE
Barrister and Solicitor
405 Westminster Trust Building
NEW WESTMINSTER, B.C.
VANCOUVER
W. J. Bowser. K C- R L. Reid. K.C.
D. S.WallbridSe A H. Douglas J.G.Gibson
BOWSER. REID, WALLBRIDGE
DOUGLAS & GIBSON
Barristers, Solicitors, Etc.
Solicitors for Bank of .Montreal (Bank of
British North America Branch)
Yorkshire Building, 525 Seymoar St.. Vancouver. B.C.
J, A. THOMPSON & CO.
Government and Municipal Securities
Western Municipal. School a.nd Sa»k»«cliewan Kural Tclc-
pbonc Co. debentures .specialized In,
CORRESPONDENCE INVITED
Union Bank Building - WINNIPEG
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
NIBLOCK & TULL, Limited
STOCK, BOND and GRAIN BROKERS
(Direct Private Wire)
Grain Elxchange
Calgary, Alta.
A. J. Pattison Jr. & Co.
Members
Toronto Stock ExchanRe .Montreal Stock Exchange
Specialists Unli.ted Securities
IDS BAY STREET - - - TORONTO
32
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
I ignite Plant at Estevan to liecome a Valuable Industry - Motor Car
Company for Winnipeg-Pulp Mill and Power Plant Practically Assured for
Prince George-Steel Company of Canada Closes Part of Plant at Hamilton
POSSIBILITIES of a new Canadian industry, which may
be very helpful in relieving our coal problems, were
outlined by R. A. Ross, of Montreal, at a meeting of the
Federal Council of Scientific and Industrial Research, ol
which he is chairman, at Ottawa recently. He gave deta-ils
of what has been done and what is planned. For the past
two years he has investigated the possibilities of making the
large deposits of lignite coal in Saskatchewan of commer-
cial value, and has found that lignite promises to become,
through a briquetting process, a fuel equal to anthracite and
at half its cost.
The plant which has been established vA Estevan by the
government has already demonstrated that the deposits of
lignite in that district can be made of commercial value.
Lignite which is young coal, half-way between peat and the
ordinary bituminous variety, ha^s in its raw state about half
the fuel value of ordinary coal. Two tons of lignite, through
briquetting process, can be made equal to a ton of anthracite,
Mr. Ross declares. The water, which is about 33 per cent,
of the lignite, is driven off and the gas contained by the coal
is drawn out and used in the process. There remains a finely
ground powder which has the same heat value as the pow-
der of anthracite coal. A binder of tar, sulphite pitch or a
similar substance is used and the powder is compressed into
briquettes which, besides rendering the lignite valuable as a
fuel, decreases the bulk of the r&w product, making shipping
charges less. This scheme was initiated by the research
council, and it has been found that the same process can be
applied successfully to the coal dust ordinarily thrown away
in Canadian and American mines. It is expected thr..t when
the Dominion plant at Estevan further demonstrates the
feasibility of the scheme, groups of mines throughout Can-
ada will install similar but larger plants to make use of their
waste products, while the vast deposits of lignite in the
western provinces will become vsJuable to the nation.
"The buildings at E.stevan," said Mr. Ross, "are almost
complete. The machinery is all ordered and much of it is
on the ground. The plant will be in full operation by April
and will turn out 30,000 tons a year. This is a mere begin-
ning. The total requirements for relieving the coal situation
of the west would be several million tons. The west will
naturally be the first to benefit by this process. For some
years yet it will be cheaper for Ontario and Quebec to im-
port from the United States. The great distances over which
the coal has to be shipped in the west are largely responsible
for the very high prices there, and if the deposits of lignite
and the waste products of mines tan be made useful, the coal
difficulty will be relieved to a large extent.
Tulp Mill Practically .\ssured
Definite announcement that a new pulp and pamper mill,
together with a sawmill and a hydraulic power plant capable
of developing approximately 50,000 h.p., the whole represent-
ing an investment of $ii,000,000, would be established in the
vicinity of Prince George, B.C., was made to the members
of the board of trade of that city last week by Angus Mc-
Lean, president of the Bathurst Lumber Co., when speaking
on behalf of a new syndicate now being fonned, backed by
ample eastern capital.
It was announced by Mr. McLean that the plant would
cover about 200 aci'es and would employ at least 1,000 men
in the woods and at the plant when it was in full operation.
It was stated by members of the party that although they
had options r.'lready on about 200 square miles of pulp tim-
ber lands, they would seek shortly to secure control of about
three times this amount as it would be needed in order to
assure supply for the next five years at least to continue the
manufacture" of pulp and paper on the large scale planned.
This deal has been pending for some time, but the syn-
dicate of capitalists has visited several sites in Prince
George, and was impressed with all of them, and the loca-
tion of the new mill in the district is now practically assured.
Those chiefiy mterested in the enterprise, as announced
in The Monetary Times recently, include: Lord Beaverbrook,
Alexander Maciaren, president of the St. Maurice Paper Co.,
of Quebec; Angus McLean, president of the Bathurst Lum-
ber Co., B&thurst, N.B.; Frank Jones, president of the Canada
Cement Co.; Senator Edwards, Molson McPherson, of the
Molsons Bank, and Sir Chas. Gordon, of the Dominion Textile
Sawyer-Massey Reopened . . •
The plant of the Sawyer-Massey Co., Hamilton, Ont.,
which was closed down for a few days, has reopened. The
company took the men back on condition that they accept a^
20 per cent, reduction in wages. A few refused, but the
majority accepted.
Seven of the eleven open-hearth furnaces of the Steel
Co. of Canada at Hamilton, Ont., were closed down this week
temporarily. As a result the whole plant will be greatly
affected, e-s the open-hearth department is said to be the
basis factor.
A new industry is being added to Winnipeg, Man.,
through the incorporation of the Winnipeg Motor Car, Ltd.,
with a capitalization of $1,000,000. The company has ac-
quired properties which are being refitted for the purpose of
the manufacture of motor cars. Operations are expected
to commence in the near future.
The new industrial plants of Brockville, Ont., Machin-
ery and Foundries, Ltd.. is almost ready for operation. Gen-
eral foundry and machine shop products will be turned out,
and there will be special attention paid to the ma>nufacture
(if both power and hand pumps.
Trenton, Ont., electors at the municipal election will vote
upon a by-law to encourage an industry for the manufacture
of silver-plated ware and other metal goods by the Benedict
Manufix-turing Co., of Syi-acuse, by giving it a fixed assess-
ment of $2,000 on all municipal rates, excepting school and
local improvement, on the industry and extensions thereof
for ten years.
The Webster Dry Cleaning Co., Ltd., a company which
has been operating for some years at Port Elgin, N.B., has"
moved its plant to Moncton, N.B.
The Coleman Lamp Co., one of the largest manufacturers
and wholesalers of gasoline and kerosene table lamps and
lanterns in the United States, has established a branch fac-
tory and office in Toronto, Ont., to manufacture a^nd distribute
their products throughout the Dominion of Canada. The
company does a large export business throughout the world,
shipping six thousand of these lamps per month to Lon-
don. England, five thousand to China, and the same amount
to England, and hrA'e agencies in nearly every country of
the world.
Announcement has been made that the Northumberland
Paper and Electric Co., Ltd., and the Canada Boxboard Co.
have amalgamated under the name of the Cc^nadian Paper-
board Co., Ltd. The new company operates at Montreal,
Frankford and Campbellford.
The National Paper Products Co., with head office in
New York City and operating a paper mill and works at
Carthage, N.Y., will reopen its branch plant at Brockville,
Ont.
December 24. 1920
THE MONETARY TIMES
IF you are not younger than 22 years
* or not older than 41 years and in good
health, send for particulars of our famous
Money-Back Policy
Please state date of birth.
The Travellers Life
Assurance Company of Canada
MONTREAL, QUE.
Hon, GEORGE P. GRAHAM. PresiJent.
LONDON
Head Office for Canada
Employers'
GUARANTEE AND
ACCIDENT COY., Limited
Toronto
ator.Co
Personal AcciJent. Fidelil
e. Internal Revenue, Sickness. Court Bonds.
Teams and Automobile.
AND FIRE INSURANCE
IT PAYS TO INSURE YOUR AUTOMOBILE
\^ITH
The Canadian
Surety
Cdmpany
Maximum Service.
Minimum Cost.
CANADIAN STRONG PROGRESSIVE
f?»& Wi%y?^"jss:e<3A!j9«fl«r?
FIRE INSURANCE
AT TARIFF RATES
Plate
Glass
Barglarjr
A. E. Hab. Vice-President
J O. .Melin, Sec -Treas.
Good Open!
HonB Office
lOth Floor, Electric Railway Chambers
igs for Live Agents
Commercial Union Assurance Co.
Limited, of London. England
Capital Fully Subscribed S 14.750,000
Capital Paid Up 7,375,000
Total Annual Income Exceeds 75,000,000
Total Funds Exceed 209,000,000
Head Office Canadian Branch :
COMMERCIAL UNION BUILDING • MONTREAL
H ALBERT J. KERR Assistant Manaceh. W. S. JOPLI.NG. Manager
Toronto Office • 49 Wellington Street East
GEO. R. HARGRAFT. General Agent for Toronto and County of York
MMiiiiiifiiMiiiiiniiiiiiiiimiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiMiiiiiiBiiiiiiiiii^^
Automobile- 1 920~Season
p Policies to cover ANY or ALL motoring risks
I ATTRACTIVE AGENCY CONTRACTS
British Empire Fire Underwriters |
82-88 King Street East, Toronto |
CROWN LIFE
WE have a policy to suit every insurance need — up-
to-date, liberal in its provisions. Participating
Policyholders in th- Crown Life are entitled to ts' of
all profits earned by the Company in addition to the
guarantees contained in their Policies.
The Crown Life
od Company to !
Crown Life Insurance Co., Toronto
Atenls wanted in unrepresented dislricis
\B
nilRDPH HE
lUIIHIIbll Ul
HEAD OFFICE - WINNIPEG.
_ - - ,^^.■aK^B«*r,- ■- ■ : -,
DOUBLE INDEMNITY BOND
TWICE AS MUCH UFE ASSURANCE FOR THE SAME PREMIUM
IF DEATH RESULTS FROM ANY ACCIDENT.-ENQUIRE -
34
THE MONETARY TIMES
MERCHANT MARINE TO DO BUSINESS HERE
Employers' Liability Chief Agents of British Company —
United States Fidelity Has Scope Extended-
Three Provincial Licenses
TWO licenses liave been issued by the Dominion govern-
ment, announcement to this effect having been made
during the past week. The United States Fidelity and
Guaranty Co. has been authorized to transact in Canada the
business of forgery insurance, in addition to the classes for
which it is already licensed.
The Merchants Marine Insurance Co., Ltd., has been
authorized to transact here the business of fire and auto-
mobile insurance. C. W. I. Woodland, of the Employers'
Liability Assurance Co., Ltd., Montreal, Que., has been ap-
pointed chief agent. The Merchants Marine is an English
company, with a total annual premium income of about
$2,000,000 and assets of about $7,000,000.
In addition to these licenses, three provincial authoriza-
tions have been granted. In Quebec, the Northwestern
Mutual Insurance Association has been registered to trans-
act fire and automobile insurance. M. Lapointe, Montreal,
has been appointed chief agent.
In British Columbia the Union Fire and Casualty Co.
has been registered to transact health and accident and auto-
mobile insurance. Head office for the province is at Van-
couver, and Gordon Bell, 1332 Standard Bank Bldg., is at-
torney for the company. The National Fire Insurance Co.
of Hartford, has also been licensed to transact tornado, ex-
plosion, inland transportation, marine and automobile in-
surance. The head office for the company is at Victoria, and
H. T. Barnes is attorney.
New Incorporations
Three companies have been incorporated under the laws
of the province of Saskatchewan, legislation having been
enacted by the provincial government. The companies are:
The Midwest Fidelity and Guarantee Co., Ltd., to carry
on all classes of insurance business with the exception of
life; the Saskatchewan Guarantee and Fidelity Co., to carry
on fire and wind storm, inland transportation, inland
marine, accident, employers liability, steam boiler, sickness,
automobile, burglary, sprinkler, hail, livestock insurance; the
Agricultural Insurance Co., Ltd., to carry on fidelity and
guarantee insurance.
In Manitoba, the Farmers' Mutual Hail Insurance Co.
has been incorporated with a capital of $250,000.
The Strathcona Fire Insurance Co. will apply at the
next session of the Quebec legislature to empower the com-
pany to transact the business of general automabile accident,
riot, water reservoir, accident, aeroplane accident, general
marine, burglary and larceny, surety insurance, anel to act
as agents for any insurance companies and for otlicr pur-
poses.
Hardware and Implement L^nderwriters
The Retail Ilardw-are Mutual Fire Insurance Co., of
Minneapolis, the Minnesota Irapkment Mutual Fire Insur-
ance Co., of Owatonna, and the Hardware Dealers' Mutual
Fire Insurance Co., of Stevens Point, Wisconsin, which com-
panies I'ccently obtained licenses from the Dominion govern-
ment, after making the necessary deposit with the Receiver-
General of Canada of $50,000 each, are now ready to solicit
(ire business with the hardware and implement trade, on the
same scale as they have been doing in the United States.
These companies were organized a number of years ago
as a protest against excessive insurance rates charged by
stock companies. They have been successful in the United
States, for besides returning substantial dividends tlie thi'ee
companies have accumulated over $1,800,000 in net cash sur-
plus (assets over $3,800,000), and have insurance in force
of over $210,000,000. The licenses have been registered in
Manitoba. Saskatchewan and Alberta, and business can be
accepted immediately in these provinces. The companies re-
port that inside of thirty days it is expected business may
be accepted in Ontario. The compa^nies will operate under
the name of "The Canadian Hardware and Implement Under-
writers," with head office at 802 Confederation Life Building,
Winnipeg.
NEW INCORPORATIONS
Ed. Lacroix, Ltd., $1,000,000 — Ontario Western Petroleum,
Ltd. — Riverside-Silk Mills, Ltd. — Menjobagues
Lumber Co., Ltd.
The following is a list of companies recently incorporated
under Dominion charter-, with the head office and authorized
capital : —
keystone Transports, Ltd., Montrea-l, $5,000; Century
Roof, Ltd., Ottawa, $50,000; A. J. Reach Co. of Canada, Ltd.,
Toronto, $250,000; Ontario Silver Black Foxes, Ltd., Brant-
ford, $100,000; Story Lumber Co., Ltd., Ottawa, $50,000;
Canadian Perfect Wheels, Ltd., Listowel, $100,000; Geo. W.
Peck and Co., Ltd., Montreal, $100,000; A. G. Spalding and
Bros., of Ca.nada, Ltd., Toronto, $300,000; Wonder Securities,
Ltd., Montreal, $1B5,000; Boulanger, Bergevin and Co., Ltd.,
Lachine, $100,000.
Provincial Charters
The following is a list of companies recently incorpor-
ated under provincial charter: —
British Columbia. — Mission Public Service Co., Ltd.,
Vancouver, $150,000; Rupert Wine and Liquor Co., Ltd.,
Prince Rupert, $25,000; B.C. Bonded Attorney, Ltd., Van-
couver, $10,000; Rossland Velvet Mines, Ltd., Rossland, $300,-
000; Wilson &nd Jelliman, Ltd., Victoria, $10,000; Vanderhoof
Lumber Co., Ltd., Vancouver, $10,000; J. W. Campbell Co.,
Ltd., Vancouver, $25,000.
Manitoba. — Coliseum Theatre Co., Ltd., Winnipeg, $30,-
000; L'Association Fraternelle de Grande Clairiere, Ltd.,
Parish of Grande Clairiere, $4,000; Dauphin Theatres, Ltd.,
Dauphin, $200,000; Kerr's, Ltd., Brandon, $30,000; D. Cough-
lin and Co., Ltd., Winnipeg, $20,000; Matlock Community
Building Club, Ltd., Winnipeg, $10,000.
New Brunswick. — H&mpton Flour Mills, Ltd., Hampton,
$24,000; Albert Mercantile Co., Ltd., Albert, $9,950; G. A.
Stackhouse and Co., Ltd., St. John, $9,000; United Bakeries,
Ltd., Moncton, $24,000.
Ontario.— Candy Specialties, Ltd., Hamilton, $40,000;
Thompson Bros., Launderers, Ltd., Kingston, $40,000; Casey
Mountain Operating Syndicate, Ltd., Toronto, $100,000; Chas.
A. Branston, Ltd., Toronto, $100,000; E. S. Bryant Pattern
Works, Ltd., Windsor, $10,000; Ontario Western Petroleum,
Ltd., Windermere, $500,000; O'Neill Motor Sales Co., Ltd.,
Chatham, $150,000; National Show Car School, Ltd., Toronto,
$40,000; Beau Monde Tailoring Co., Ltd., Toronto, $50,000;
Routery Dresses, Ltd., Toronto, $40,000; Mack Furnace Co.,
Ltd., Chatham, $250,000; United Growers Packages, Ltd.,
Niagara-on-the-Lake, $75,000; Mead Co., Ltd., Toronto,
$100,000; Pine Point Park, Ltd., Oshawa, $33,500; Ye Paris
Printe Shoppe, Ltd., Paris, $40,000; Riverside Silk Mills,
Ltd., Gait, $500,000; Chwcoal Supply Co., Ltd., Toronto,
.$40,000; Canadian Dolls, Ltd., Grimsby, $50,000; Ontario
Fuels, Ltd., Toronto, $40,000; Braun and Bonnick, Ltd., Tor-
onto, $40,000.
(luebec. Que.— Ed. Lacroix, Ltd., St. George's Est, $1,-
000,000; Menjobagues Lumber Co., Ltd., Three Rivers, $500,-
000; Club des Charpentiers Menuisiers, Locale 134, Montreal,
$50,000; Le Club Social des Trois-Rivieres, Three Rivers,
$10,000; Queen Asbestos, Ltd., Montreal, $50,000; Laurentian
Iron Co., Ltd., Montrer,.], .$20,000; Montreal Motors Corp.,
Ltd., Montreal, $99,000; Bewick, Ltd., Montreal, $99,000.
Saskatchewan. — Bell Insurance Agency, Ltd., Sa-skatoon,
$20,000; North-West Farmers and Threshers, Ltd., Sceptre,
$5,000; Thompson and Co., Ltd., Shaunavon, $5,000; Shaun-
avon Motor Co., Ltd., Shaunavon, $20,000; Keewatin Club,
Prince Albert, $5,000.
ll
December 24, 1920
THE MONETARY TIMES
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $133,000,000.00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful days for life insurance salesmen,
particularly North American Life men. Our representa-
tives are placing unprecedented amounts of new business.
All 1919 records are being smashed.
" Solid as the Continent " policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey, Supervisor of Agencies.
North American Life Assurance Company
'■SOLID .A.S THE CONTINENT"
HOME OFFICE TORONTO. ONT
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assurances, New and Revived - - • Sl,21 1,447. 00
Premiums on same .... 43,890.00
Assurances in Force - - - - 3,458,939.00
Total Premium Income - - - - 109,586.03
Policy Reserves ... - . 211,497.00
Admitted Assets 296,430.62
Average Policy - - . - . 2,237,50
•Collected in cash per $1,000 insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director - - Winnipeg.
Insuring the Motive Pow^er
The object of Business Insurance is to insure the • brains" of an organ-
ization. Knowledge, combined with administrative ability, is invaluable.
Every business, large or small, depends primarily upon one or more
experienced leaders. The death of any oneof them would result in a heavy
financial loss. There would be heavy going until the deceased official
was replaced by someone of equal ability. The possession of a policy of
insurance payable to the firm in the event of the death of such a leader
is essential. Joint policies payable on the death of the first partner, or
(preferably) separate policies on the lives of the individual partners in
favor of the survivors are issued by The Mutual Life of Canada. It will
be theobject of the Company to adapt each Business Policy to the parti,
cular requirements of the insuring firm. Consult our representative.
Hv will be glad to advise you regarding business insurance.
The Mutual Life Assurance Co. of Canada
Waterloo
HU.ME CRONVN". .M.P..
Ontario
the secret of our
CO-OPERATIVE SERVICE
'T'O Poiicyholijers between
success. Every repres
must look after ou<- clients'
Life has built an enviable rep_ _. _ , ...
Write for booklet. 'Miur ^e^t .Advertiser*.*' For M
tario. apply with references, stating experi
Casterit j^apeBimeDdeiit, at Head Oltice
THE CONTINENTAL LIFE INSURANCE CO.
Company and the Agents i
itive is given the utmost assistance, but he
rests. During the last :£! years Tbe Contineotal
putation for prompt payment of claims.
Manaeer's positions in On-
.«. !i. WE.1VF.K.
Head Office
TORONTO. ONTARIO
ENDOWMENTS AT LIFE RATES
ISSUED ONLY BY
THE LONDON LIFE INSURANCE CO.
Head Office ... LONDON, CANADA
Profit Resalts in this Company 70; better than Estimates.
POLICIES "GOOD AS GOLD."
A Seasonable
Suggestion
In all your Christmas preparations-
element of forethought that thinks
MAS DAYS to come?
-is there the
of CHRIST-
Life insurance is forethought put in
to practice.
And the best in Life Insurance is
Policies of
ound in the
THE GREAT-WEST LIFE ASSURANCE COMPANY
DEPT. "F"
HEAD OFFICE - - . WINNIPEG
The Western Empire
Life Assurance Company
Head Office: 701 Somerset Building, Winnipeg, Man.
SASK.\TOON
Bran
CALGARY
VANCOLVKR
Queensland Insurance Co. Limited
of Sydney, N.S.W.
Capital Paid Up $1,750,000 Assets $4,015,811
Alimll Wanted in UnrrpnunUd Distrtcll
Montreal Agencies Limited
Montreal
THE EMPLOYERS'
LIABILITY ASSURANCE CORPORATION
OF LONDON, ENG
ISSLKS
Personal Accident
LIMITEO
Sickness
Kniployers' Liability Automobile
Workmen's Compensation Fidelity Guarantee
and Fire Insurance Policies
c. w.
WOODLAND
General Manager for Canada and Newfoundland
Lewis Building,
MONTRK.\L
JOHN JHXKINS,
Fire Manager
Temple Bldg.
TORONTO
THE MONETARY TIMES
Volume 65.
News of Municipal Finance
History of Calgary Light and Railway Departments Outlined— Net Surpluses Since Inception-
Street Railway Has Deficit This Year— Taxation Measures Recommended for Vancouver-
Toronto's Collections Eighty-Seven Per Cent, of Total Levy— Kitchener Tax Arrears Are Small
Kitchener. Ont. — Tax arrears are smaller than they have
been for years. The total outstanding: is $12,629. Last year
the amount was $22,000, and in 1918, $2.''),000. The total levy
is $563,570.
Kettina. Sask.— Judgment for $27,440, obtained in Ohio
(ourts by trustees of the Retina public schools against
Spitzer, Rorick and Company, bankei-s, of Toledo, will stand
as a result of the Supreme Court's refusal to review the case.
The action arose out of a breach of an alleged contract en-
tered into by the investment company to purchase from the
school board $500,000 in debenture bonds.
Hull, (inc.— The value of property in the city of Hull is
placed at $15,918,425, according to the sixth annual report
of the assessment department. The value af assessable pro-
perty is $11,269,035 and exempted property, $4,649,390. This
of the aESissment department. The value of assessable pro-
perty amounted to $9,641,127 and the exempted property,
$4,159,722. The report gives the area of the city as 4,000
acres and its population as 32,766, and the real estate per
capita is placed at $485.82. The population shows a gain of
2,180 in the year.
Swift Current, Sask.— A deficit of $148,430 in the citys
sinking fund is shown in the annual report of the city com-
missioners for the ten months ended October 30 last. The
deficit has incret:sed fi-oni year to year. In 1918 it was
$91,540, and in 1919, $119,297. The city commissioners re-
commend that the necessary measures be taken to reduce
this shortage. The city also has a bank loan amounting to
$269,142 outstaniling, an increase on this item of about
$18,000 over last year.
Toronto, Ont. — Finance Commissioner Ross, in his annual
report on taxes collected during the year, says: "The taxes
collectable in 1920 amounted to $21,242,951, an increase of
$1,780,654 over the levy for 1919, due to increased assess-
ment and rate. The total amount actually received was
$18,479,117, or 86.99 per cent, of the total due, as compared
with 86.10 per cent, in 1919, there being an increase of $1,-
722,699, or .89 per cent."
Although there were 3,828 parcels liable for sale, against
which taxes outstanding amounted to $334,374, there was
received prior to the date of sale no less than $281,492 in
respect to 3,462, and only 300 parcels, covering $31,691, were
actually sold for taxes. In thirty-five pai-cels the taxes
against which amounted to $7,973, the prices offered were
below the arrears outstanding, and were, therefore, acquired
by the city. No offers were made for twelve lots.
Victoria, B.C. — The city is putting into effect a scheme
which will net a little revenue from the property recently
acquired at the tax sale. Two of the houses that reverted
with land to the city at the 1919 sale will be repaired at a
cost approximating $700, and it is expected that tenants will
be found for them. The city also proposes to rent the twenty
or more houses that were bought in at this year's sale. They
will be repaired and put in a condition that will bear the
approval of the health department, and will then be offered
to tenants at prevailing rent prices.
The city budget for 1921 shows an increase fi-om $2,291,-
101 to $2,106,202. The principal increases are shown under
city debt, $5,52,903, as compared with $475,035 for 1920, and
education, $583,234, as compared with $488,626 for 1920.
Hamilton. Ont. — A movement is afoot for the establish-
ment of unified control of civic expenditures and the appoint-
ment of a commissioner of finance, who, it is contended, would
save the citizens annually huge sums of money. In a bulletin
just issued, the Citizens' Research Institute of Canada, which
has a local advisory committee, point out that the citizens
of Hamilton spend each year on cuiTcnt account more than
an average of $4,000,000, and borrow, on an average, $1,000, -
000 per year. "Such expenditures," reads the bulletin, "de-
mand unified control."
The duties of the suggested commissioner of finance are
stated to be, among others, the determining of the financial
capacity of the community, in order that the city may not
be committed in any year to greater undertakings than it
can properly finance; the compiling and submitting to the
Boai-d of Control and city council of the annual budget re-
commendations of the city, with recommendations and sup-
porting data; advising the Board of Control and city council
how best to fit the budget requirements to the financial capa-
city of the city.
Vancouver, B.C. — Dr. Horace L. Brittain, who was en-
gaged to advise the city on taxation measures, has issued
a lengthy report, outlining the situation. The main features
of the plan he recommends for Vancouver are: A real pro-
perty tax, as at present; a share in provincial income tax
on all personal incomes, at increased rates if necessary; a
business tax at a flat rate — at two flat rates, in fact, ac-
cording as to whether the business is incorporated or not.
He suggests a minimum income or service tax, applicable
to both sexes, this to be substituted for the present provincial
poll tax. and the proceeds to be made available to munici-
palities at least to the extent of 50 per cent, of the amount
raised within their limits. Half of the provincial taxes on
automobiles and theatres should also go to the cities, claims
the expert.
Primarily, the investigator declined to treat with Van-
couver taxation as a subject of i idividual character. Local
problems ar.' also provincial and national ones, and all are
so closely interwoven that they are treated jointly in the
report. He urges upon the authorities of this city their
opportunity to perform a great national service by initiating
a movement for co-operation in taxation among national,
provincial and civic interests.
Calgary, Alta. — Before the Board of Trade recently,
R. \. Brown, superintendent of the Calgary municipal rail-
way, outlined the development of the civic light and railway
departments since their inception. Speaking of the electric
light venture, Mr. Brown stated that the beginning was
made in the year 1905, when a by-law was passed to cover
the cost of the original equipment. This was for the sum
of $60,000, and since that date by-laws have been passed
and the equipment added to until to-day the total expended
amounts to .$2,896,967, less depreciation and sinking fund
reserve, making the total value at the end of December, 1919,
of $2,181,749. The underground system was then covered by
the speaker, showing its present value at $2,481,749. Mr.
Brown dealt at some length with this system and showed
its real value to the city. The total book value of the electric
light plant as to-day he placed at $2,481,794.
With respect to revenue derived by the city from this
system, Mr. Brown quoted figures to show the growth of
the jjlant. In the year of its inception the revenue was $23,-
166 and the surplus $6,648, while in 1920, for the first ten
months the revenue amounted to $582,592 and the surplus
$25,481. For the whole year he estimated the revenue would
amount to $850,000 and a surplus of $50,000 after paying
all charges. The net surplus for the fourteen years and ten
months of the life of the plant, according to official figures,
amount to $301,271. In 1905, when operations first began,
the charge for power was 14 cents per k.w. for light and 10
cents for power, while in 1919 the charges were 7 cents for
light and for powpr 1 to 2 cents, depending upon the amount
consumed. From a careful study of figures charged by pri-
vate concerns in different cities in the United States, he
estimated that Calgary, during the life of the plant, had
saved more than $4,500,000 by running and operating the
December 24, 1920
THE MONETARY TIMES
C.P.R. BUILDING
TORONTO
nOUSSERV^ODvoG^MPANy
INVCSTMENT BANKERS
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
OSLER, HAMMOND & NANTON
WINNIPEG
Stock Brokers and Financial Agents
Insurance Mortgage Loans
Real Estate
• •
NEW ISSUE
CITY OF TORONTO
51 o BONDS
Maturing 1921-1930
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TORONTO MONTREAL
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Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
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RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Members of Winnipeg Real Estate Exchange. Winnipeg Stock Eichange
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14 King Street East
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Stock and Bond Brokers
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HEAD OFFICE : 204 Jackson Building, OTTAWA
HE MONETARY TIMES
Volume 65.
plant themstlves. He held that in this respect the city had
used good judgment.
Mr. Brown then took up th-' question of the street rail-
way. This was started in th:' year 1909, when a by-law was
passed for $250,000, an 1 the tot:il rai^e 1 by by- a.vs since
that time bring.i the sum to $2,711,053 and the total expended
on capital of $2,707,71:5. The nee bojk value ot the plant on
October 31, 1920, is placed at $1,848,158. The system now
has 83 cars, one scenic car and fourteen snow sweepers;
single track and trolley line, 83 miles, together with repair
shops, barns and Bowness Park. Mr. Brown then went on
to show the revenue and expendi'ures of the street railway.
In the year 1909 the revetjue was $59,061, while in 1920, up
to October, the revenue amounted to $755,201, and the net
surplus up to that date $132,440.
He pointed out that the street railway department %\as
at present facinar a serious situation, as a certain part of
its etiuipment, having lived out its natural life, now requires
rebuilding. The city also has to face the matter of rep!acing
a new foundation under the tracks in that part of the city
where paved streets exist. While this was a serious situa-
tion and rather expensive, yet, he claimed, it was r.ot serious
enough to cause alarm.
The street railway finished November with a deficit of
$3,621 for the month. This makes the accumulated deficit
for the eleven months $31,875. In considering the probable
$30,000 deficit for 1920, however, there must be taken into
consideration the fact that an additional amount of more
than $16,000 for depreciation will have been laid aside this
year as compared with last, and a further accident damage
sum, amounting to more than $3,000, which accounts for
some $20,000 of the probable deficit. ^Vhile fares were raised,
the full increase has been in effect only about four months.
By mearjs of the tax sale which the city has conducted
there has been taken in through arrears of taxes paid up
and sales of tax arrears the sum of approximately $250,000.
In other words, the city has improved its tax an-ears position
by about a quarter of a million dollars through the instru-
mentality of the tax sale. This is a small amount, however,
when compared with the total arrears, which aggregate more
than $4,000,000.
Property owners, whose propei-ty was sold for taxes at
this sale, or which reverted to the city when it was not sold
to other individuals, will still have a year in which to redeem
it by paying 10 per cent, interest before it goes entirely into
the city's possession. The result, of course, will be that a
further larger sum of the arrears, plus the interest, will be
paid up before the last penalty date expires next year.
After all this is taken into consideration, however, the
city will still come into possession of an enormous quantity
of vacant property for the arrears of taxes. Unfortunately,
practically all of these arrears have been previously hypothe-
cated, that is, money bori'owed against them, which must be
repaid. While the land nominally comes into possession of
the city sinking fund, there is really a first lien against it
in the form of these bon-owings which must be paid off
before the city will own the land free of encumbrances.
Government and Municipal Bond Market
New Brunswick to Float Loan at End of Month — Winnipeg Disposes of
.$600,000 Securities — Victory Loan Issues Less Active and Slightly
Irregular — Ratepayers to Vote on Large Municipal Expenditures in January
WITH 1920 drawing to a conclusion, a good deal of specu-
lation as to the trend of the bond market in the new
year is being made. It is confidently predicted in many
quarters that there will be a favorable turn. An easing of
money is expected, due to a slowing up in industi-y, relieving
the demand on the banks, and the liquidation of loans by
borrowers, many of whom, it is thought, will liquidate their
inventories after the holidays, swallowing losses from this
source, and try to go into the spring with a clean slate. In
addition, it is bel eved that farmers will have just about
disposed of their crops, and the banks will be further re-
lieved from this end. Such factors will be favorable to the
investment situation.
As far as known, there is one more event in the govern-
ment and municipal bond market, viz., the flotation of a
$1,750,000 New Brunswick loan. There are a few municipal
issues, but these are not of very much account.
Bond dealers are still busy with Victories, but the ac-
tivity in this regard was not so great during the past week
as previously. The price movement also tendd to beci me
slightly lower and irregular. The following figures illustrate
the trend: —
mtrol.
Last
week.
This
week.
nee.
High.
Low.
High.
Low.
98
98
96%
97%
95 Vi
97
9 7 '4
95%
96%
95%
98
97%
96%
98%
97
98
97
94%
97%
96%
96%
95%
94%
95%
94%
97
95 H
94
95
94%
93
94%
91 T*
93%
92%
1922
1927
1937
1923
1933
1924
1934
.•\ number of issues were disposed of during the past
week, among which Winnipeg, Man., was the most impor-
tant. The city received a pretty good price for its securities,
and the bonds will be shortly olTei-ed in Canada. Oshawa
and Oakville both got good prices for their debentures. The
opinion was that both municipalities received a rate which
was above market. The list of bids in both cases, it will be
noticed, shows a considerable difference between the highest
tenderer and the others.
Money By-laws in January
Each January, which is the principal municipal election
month in the year, finds ratepayers confronted with numerous
money by-laws, calling for expenditures on local works.
January, 1921, will be no exception to the general rule, as
already large expenditures are slated to which electors must
give their approval. The following list, no doubt, will be
much larger before the end of the year. In addition, a number
of municipalities are applying to the legislatures for bor-
rowing power without the assent of ratepayers: —
Municipality.
Avonmore, Ont. . .
Midland, Ont. . . .
Ottawa, Ont
St. Thomas, Ont..
St. Thomas, Ont..
N. Walsingham,
Ont
Brantford, Ont. . .
Sarnia, Ont
Vancouver, B.C. . .
London, Ont
Hamilton, Ont
Hamilton, Ont
Mimico, Ont
Scarboro, Ont
Toronto, Ont
Amount. Purpose.
$ 9,000 Hydro-electric plant.
100,000 New town hall.
260,000 Fire station and quarry.
233,000 Concrete dam.
r.0,000 Gas mains.
5,000 Municipal hall.
460,000 Schools, collegiate and water.
94,000 Water mains and waterworks.
3,666,000 Roads, streets, schools and
water.
257,000 Street railway.
6,114,600 Municipal gas plant.
1,500,000 Hospitals, nurses' home, road.
14,000 Purchase of town park.
25,000 Township cemetery.
700,000 Athletic stadiums and motor
busses.
•m
December 24. 1920
THE M O N E T A R 1' TIME
Why Not Select a
Convenient Investment?
When you have money to invest, it is ad-
visable for you to place it in a security
where principal is safe, where interest is
promptly paid and easily collected, and
which you can readily convert into cash.
Then why not buy Canadian Government
or Municipal Bonds? These bonds offer
the hig-hest grade of security, are easily
marketable and the interest coupons, which
are attached to each bond, need only be
clipped off and deposited in your bank on
the due date.
At existing prices, these bonds
e.TOr to 7.259'..
Write for a list.
,ield from
Wood, Gundy & Company
Ca
Toronto
Montreal
Winnipeg
adian Pacific Railv
Toronto
Building
Saskatoon
New York
London, Eng.
SEB^a^^
' INYESTSEifTstRVlCE
Bonds will Advance
One reason is the passing of e.vtreme
speculation in commodities and
stocks and the tendency of conserv-
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Bond holdings.
Another is the fact that the next long
swing in money rates will be down,
and, conversely, the next long swing
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For safe y and profit, buy Bonds and fixed-
interest securities now.
Write and we vrill recommend attractive
purchases.
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■iniMiiiiMiinniiimiiiiiiiiiiiiiiiiiir,iiiiiiiiii|iiwi||||||i|t|ini7B
THE MONETARY TIMES
Volume 65.
Municipality. .A.mount.
Rithmond Hill,
Ont
Fort William, Ont.
Stamford T o w n-
ship, Ont
Windsor, Ont. . . .
9.5,000
200,000
Purpose.
Municipal water .system.
Schools.
100,000 Hospital tjTant.
22.'5,000 Police building and asphalt
plant.
Coming Offerings
The following is a list of debentures offered for sale,
particulars of which are given in this or previous issues: —
Tenders
Bon-ower. Amount. Rate %. Maturity. close.
Bienville, Que $ 25,000 6 10-yr. ser. Dec. 27
Kenora, Ont 82,320.25 6% & 7 Various Dec. 29
New Brunswick 1,750,000 6 15-years Dec. 30
Scarboro Tp., Ont.... 130,000 7 30-instal. Jan. 6
Decker S.D., Man. . . . 40,000 7 Jan. 7
Scarboro Township, Ont. — Tenders will be received
until January 6, 1921, for the purchase of $130,000 7 per cent.
30-instalment debentures. (See advertisement elsewhere in
this issue.)
Decker S.D., Man. — Tenders will be received until Jan-
uary 7, 1921, for the purchase of $40,000 7 per cent, deben-
tures, particulars of which will be found advertised else-
where in this issue.
New Brunswick. — The province is calling for tenders up
to December 30, 1920, for the purchase of $1,750,000 6 per
cent. 15-year debentures, dated January 1, 1921. Particulars
will be found in the advertisement elsewhere in this issue.
One million of this flotation will be expended by the province
in the development of the Musquash Falls power, near the
city of St. John. This power will be sold to the municipality
for distribution. A customer is, therefore, assured. Seven
hundred and fifty thousand is for the purpose of paying 60
per cent, of the cost of building permanent roads, now being
built in accordance with federal government specifications.
Good roads are good assets, and provision is made by statute
for the payment of interest and sinking fund in respect to
the issue.
Debenture Notes
Eastview, Ont. — The council has decided to offer $50,000
7 per cent, water main debentures.
Fort William, Ont.- — In January ratepayers will be asked
to give their approval of raising $200,000 for additional
school buildings.
Brockville, Ont. — The town council has authorized the
issue of debentures to cover the cost of paving work amount-
ing to $143,964.
Stamford Township, Ont. — A by-law will be submitted
to ratepayers, authorizing the raising of $100,000 for a gi-ant
to the Niagara Falls hospital.
Chatham, Ont. — T. E. Cottier, city treasurer, informs
The Monclary Tiiiit's that early in January the municipality
will offer $80,000 6 per cent. 15-year waterworks debentures
locally in January.
Quebec, Que. — The city will seek power from the pro-
vincial legislature to borrow $876,000, made up as follows:
Permanent works, $451,106; to cover exhibition deficit, $100,-
091; watei-works, $50,000; for reimbursement of contract
guarantees, $14,203; to cover rate of exchange on redemption
of loans, $260,000.
Saskatchewan. — The following is a list of authorizations
granted by the Local Government Board from December 1
to 4, 1920:—
Rural Telephones. — 8 per cent. 15-years, annuity: Dafoe
Copeland, $2,400; Reford, $1,450; Nascby, $3,000; Victor,
$1,000; East End, $12,500; Elbow, $11,900; Prairie Lea,
$5,000.
Scotsguard S.D., $2,800 8 per cent. 10-instalment.
Windsor, Ont. — Three money by-laws will be submitted
to the ratepayers at the January elections, viz.: $175,000 for
new quarters for the police department, $50,000 for purchase
of an asphalt plant, and to raise a portion of the $250,000
required to build a technical school for the Border Cities.
The amount of money which each municipality will contribute
will be determined upon an assessment basis. The provincial
government will add an equal amount to the sum raised by
the municipalities, which will bring the sum total to $500,000.
Sandwich, Ojibway, W'alkerville and Ford will vote upon
similar by-laws.
Montreal, Que. — The Catholic School Commission will
apply to the provincial legislature at its next session for
additional borrowing power of $700,000, for the purchase of
land and the construction of new schools.
Halifax, N.S. — Local brokers are now offering $525,000
6 per cent, bonds, due January 1, 1931, at 96.365 and interest,
to yield Ql's per cent., in denominations of $1,000. The city
altows a commission of 1% per cent, to all dealers .
Ford City, Ont. — Wood, Gundy and Company have pur-
chased $52,604.59 6V2 per cent. 15-instalment debentures at
a price of 96.69, at which price the municipality pays about
7.05 for its money.
Saskatchewan. — The following is a list of debentures
reported sold by the Local Government Board from December
1 to 4, 1920. Interest rate on all debentures is 8 per cent.: —
School Districts.— Tribune, $6,500 10-years, Touchwood
Hills, $3,900 10-years, Glen Eden, $4,500 15-years, Sand
Creek, $3,000 10-years; Waterman-Waterbury Manufacturing
Co., Regina. Jaroslaw, $1,750 7-years; Chas. Reusch, Yorkton.
Rural Telephones. — Long Creek, $250 15-;years; Regina
public school sinking fund. Pilger, $21,300 15-years, Greg-
lierd, $5,000; W. L. McKinnon and Co., Regina. Arlington,
$1,050 15-years; E. B. Seargant, Granfell. Kindred, $800
4-years; Dr. J. L. Miller, Chicago. Montmartre, $2,900 15-
years; J. Burnett, Regina.
Oshawa, Ont. — Wood, Gundy and Company have been
awai-ded $33,126 6 per cent. 20-years and $10,665 30-year
debentures at a price of 93.42, at which price the town pays
about 6.80 per cent, for its money. Tenders were as follows: —
Wood, Gundy and Co 93.42
C. H. Burgess and Co 91.95
A. E. Ames and Co 91.91
Dyment, Anderson and Co : 91.59
United Financial Corporation 91.37
A. Jarvis and Co 90.59
Oakville, Ont. — Wood, Gundy and Company have been
awarded $111,000 QV2 per cent. 20-instalment debentures at
a price of 98.27, which means that the town pays about 6.72
per cent, for its money. Tenders were received as follows: —
W'ood, Gundy and Co , 98.27
A. E. Ames and Co 98.14
Dyment, Anderson and Co 96.93
Turner, Spragge and Co 96.38
United Financial Corporation, Ltd 96.31
Brent, Noxon and Co 96.26
C. H. Burgess and Co 96.21
R. C. Matthews and Co 95.75
Harris, Forbes and Co., Inc 95.697
T. S. G. Pepler and Co 94.14
Winnipeg, Man. — A. E. Ames and Company and the
Dominion Securities Corporation have purchased $600,000
6 per cent. 30-year bonds at a price of 91.33, which means
that the city pays about 6.68 per cent, for its money as the
bonds ai-e payable in Canada. Tenders received were as
follows: —
.\. E. Ames and Co. and the Dominion Securi-
ties Corporation 91.33
The National City Co., W. A. Mackenzie and
Co., R. A. Daly and Co. and R. C. Mat-
thews and Co 91.27
Wood, Gundy and Co 90.87
.\. Jarvis and Co 90.45
C. H. Burgess and Co., N. A. Macdonald and
Co. and the Canadian Debentures Cor-
poration 90.33
Royal Securities Corporation 87.95
An option on another $400,000 has also been taken by
the purchasers.
December 24, 1920
THE MONETARY TIMES
City
of St.
John,
N.B.
Pr
Assessed \
Net Debt
Eastern
ST. JOHN
6% BONDS
Due 1st December, 1930
ice 97' J and Inten
Yielding about 6.35%
/aluation
est
$46,913,000
$61,926
Limited
[FAX, N.S.
Securities
, N.B.
Company,
HAL
Manitoba Finance Corporation Ltd.
Investment Brokers, Financial Agents, Etc.
Head Office :
410-11 Electric Rly. Chambers - Winnipeg, Man.
Phone Garry 3SS4
Stocks and Bonds bought and sold on commission
Mortgage Loans on Improved Farm Lands
Insurance Effected in all its branches
Farm Lands for Sale in Western Canada
Fiscal Agent for Manitoba. Alberta Flour Mills, Limited
Western Municipal & School
g % Debentures
^ ^ TO YIELD
71'
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
CORRESPONDENCE
INVITED
UNION TRUST BUILDING
WINNIPEG
X
Vancouver District Property
Expert Estate Agents and Managers
Property Bought and Sold, Valued. Renfed and
Reported on. Correspondence invited.
WAGHORN GWYNN Co., Ltd.
MACAULAY & NICOLLS
INSURANCE OF ALL CLASSES
ESTATES MANAGED
746 Hastings Street - VANCOUVER, B.C.
C. H. MACAULAY J. P. NICOLLS. Notary Fublii-.
Bank Directory of Canada
APPROVED BY
The Canadian Bankers' Association
It contains an Alphabetical List of places in Canada.
Every Bank, together with the name of the Manager, is given.
Where there is no Bank, the most convenient Banking Point is given with the
distance in miles.
It will be found invaluable to the Collection and Correspondence department ot
every banking and commercial office.
The 230 pages are arranged for rapid reference. It is clearly printed ana
well bound.
$5.00 PER ANNUM
ISSUED iVIONTHLY
Houston's Standard Publications
STOCK EXCHANGE BUILDING. 84 BAY STREET. TORONTO. ONI.
42
THE MONETARY TIMES
Corporation Securities Market
stock Values Again Undergo Considerable Impairment — Selling Pressure In-
creased—lliordon Bonds Offered in New York on 8.10 Per Cent. Basis— Mount
Royal Hotel New Financing— Barcelona Traction Securities Offered in London
r«ANADiAN stock values ag-ain underwent considerable The figures in tlie previous week were: Montreal listed
i-^ hnpairment this week. As far as known, there was no stocks. $30,907; bonds, $2,024,280; Toronto, listed stocks, 11,-
particular change in the general industrial and financial 578; bonds, $2,549,250.
situation, but the stock markets here have become sensitive „ j a „ «, i.
enough to yield to the most insignificant reports. Early in Riordon Bonds Sell Well
the week the report that the steel merger had been aban- Otfering was made this week in the United States of
doned, brought about declines in several issues, among which $(i,,500,000 8 per cent. 20-year first mortgage bonds of the
the Dominion Steel and Canada Steamships were the most Ri'ovdon Co., Ltd., by a syndicate composed of the Royal
notable. Securities Corp.; Harris, !• orbes and Co., Inc.; E. H. Rollins
The break which occurred on December 21, however, was ,^^j g^^^. paj.]^jj,soj^ a^d gu^r, and Coffin and Burr. The
more serious in its effect. Prices suffered heavy declines securities are selling at 99 to yield 8.10 per cent., and in
in nearlv all issues, and the only influence which can be ac- ^.^^^, ^^ ^^^ Christmas season the offering is meeting with a
counted for was the collapse in Wall Street. The New York ^^^_j reception.
market, like in Canada, is ready to discount any bearish ^^^^ ^^^^ financing rounds out the Riordon Company's
news, no matter how small, but fails to work m any other program, commenced earlier this year, with an issue of
direction. The theory that it was the money situation which ^ ^^^_ ^^^^ preference stock, made by the Royal Securities
was holding the stocks back last summer, was apparently Corporation. The proceeds from the sale of the bonds will
wrong, as money is becoming easy, but there is no reflection ^^^^^ ^^^ ^^^jp ,^^j p^^p^^, g^^gypj-igg ;„ ^ comfortable posi-
of this in present prices. Easy rates are essential to a con- ^.^^^ ^^.^^^ respect to working capital, the issue being made
structive market, but they have very little influence m a partially to reimburse the company for the expenditure of
movement such as at the present. approximately $14,000,000 on its Kipawa mill, which has
Following the break on the Montreal exchange on Tues- ^^^^^, ^^^^ completed and is operating under most profitable
day, it is understood that a meeting of some of the largest conditions
brokerage houses in the city met to consider plans for the
protection of stocks and the prevention, as far as possible. Mount Royal Hotel Company Bonds
of further impairment in values. The meeting was not under , 4.u * * -j 4.
official sanction of the Stock Exchange, and is probably pre- To meet the urgent demand on the part of resident ,
liminarv to others, and nothing was given out as to what transportation and other business interests of Montreal,
transpired. It is felt that stocks are already far below their commei-cial travellers and tourists, it is proposed to con-
intrinsic value in the majority of cases, and should not ^t^uct upon the most desirable site m the city a modern
further be made a target for bears. fire-proof hotel of I.O06 rooms. This hotel the Mount Royal,
will be operated as a link in the chain of twenty hotels m
Selling Resumed Canada and the United States which are managed by the
The dullness which kept the prices fairly steady last United Hotels Company of America,
week, was replaced by rash selling, and if was because of In connection with the construction of this ..hotel, a com-
this that values went so low. Securities were thrown on the pany has been formed under the name of the Mount Royal
market apparently without regard to price. The following Hotel Co., Ltd., with a capitalization as follows: 8 per cent,
are the figures of day-to-day trading at both Montreal and clebentures to be converted into 8 per cent, cumulative pre-
Toronto: furred stock, $4,000,000, authorized and issued; common stock
Montreal. Toronto. par value $100, $5,000,000 authorized and issued; 8 per cent.
Listed Listed preferred stock, $5,000,000 authorized, of which $4,000,000 is
stocks. Bonds. stocks. Bonds. to be used in payment of a like amount of debentures and
Thursday 8,206 $ 187,800 2,643 ,$ 615,960 $1,000,000 to remain in the treasury of the company. This
Friday 15,211 551,200 2,897 876,6.50 capital to be subject to a first mortgage or bond issue of $3,-
Saturday 8,648 223,800 2,309 239,650 000.000. to be' increased to $4,000,000 on completion of a 400-
Monday 14,624 170,150 2,583 293,300 room addition. It was found impossible to make a pre-
Tuesday 17,591 175,218 2,150 287,150 ferred issue at the outset with any guarantee of a dividend
Wednesday .... 24,743 362.850 3,072 441,850 payment, which can be done with debentures with interest
guaranteed, or practically so.
Totals 89,023 $1,671,018 15.654 $2.7.54.560 fConfhuicd on pai/r J,X)
UNLISTED SECURITIES
B.d
Ask
89
Bid
Ask
1 Bid
Ask
Bid
A.sk
Abitibi Gen Mort.B's..
Cuban Can. Sugar, com.
12
18. .50
.Marconi Wireless
1
2.50
Sterling Bank
109
115
A'ta Pac. Grain... com.
140
. . prcf.
58
.Massey. Harris
90
99
Sterling Coal com.
19
23. 50
" . . prcf.
75
83
Davies William B's
94
99
Hattagarra Pulp. ..prcf.
70
80
Toronto Paper 6's.
80
89
Amcnc.in S.iles Bnok.fi's
92
Pom. Irons Steel 5's 1939
l<4
fi9.S0
" ..com.
40
Toronto Power. 5's (19241
85
91
Bi-ldinK. Paul pfd.
80
Dom. Power com.
43
Mercantile Trust
91
Trust S Guar
65
72
Ilrand'mHcndi'rson.pftl.
8.1
9;<
DunlopTire pref.
88
92. 50
Mexican Nor. Power. .5's
8
12
United Cigar Stores com.
.40
Uritisih Amcr. Assuranrc
8
Vi.M
6's.
92
98
.Morrow Screw 6's
8<
88
1.70
Burns. P Ut MtBc. fi's..
9.^
lOl.SO
Eastern Car R's
8.S
91.. 50
Murray-Kay pfd.
70
9
11. .50
Can. Crocker Wheeler pf.
70
Pamous Players. 8% pfd.
82
National Life
160
Western Can. Pulp.com
25
30
Can. M."<chincry . . com.
■iO
29
Goodyear Tire., pref —
7fi
82
Norlh American Pulp. . .
4.2s
5.25
Western Grocers... .pref
65
70
6's.
7.1
80
OVd'n. Ironsides Farce's
87
93
Nova Scotia Steel 6% deb
70
77
WhalenPulp com
12.. 50
19
B2
7ft
C.unns. Ltd pref.
86
Ont. Pulp .6's
92.. 50
96
" pref
5(1
C.in. Wcstiniihoiisc
101
109
Harris Abattoir 6's
88
92. '25
Page Herscy.. prcf.
84
Can. Woollens com.
44
75
Home Bank
Imperial Oil
<)8
105
101. .50
112
Peoples Loans Savings.
Riordon . . com. (new stk.)
80
24
- . pref
Cockshutt Plo\v7"„nrcf.
,W
,S7
KinuKdward Hotel.. 7's.
72.. 50
77
pfd.
74
Coll nKwnodShipb'dfi.B's
90
London r.oan S SavmRs.
84
R. Simpson pfd.
74.50
77
Crown Life Insurance...
75
Manufacturers Life
170
20(1
South. Can. Power, pref.
68
73..50
December 24, 1920
THE MONETARY TIMES
43
We Offer
SCHOOL BONDS
Province of Alberta
Maturing 10 anj 15 Years
to yield I
) 7 lo7'4% I
We Specially Recommend these Bond;, as Sound Investments
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto Bldg.
EDMONTON
: Royal Bank Chambers
CALGARY
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings also any British
Columbia Government and Municipal issues
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C. Victoria, B.C.
Our Service to Investors
IDLE MONEY
TN these prosperous days the earning power of
■■■ money is great. Industrial and Municipal
expansion is calling for huge appropriations,
offering investors high returns on fully secured
capital.
Those whose savings are lying hy, stagnating at
merely nominal interest, have now an oppor-
tunity to place their funds "Idle Money"— to
great advantage, assured of considerable profits
practically without risk.
We have listed a number of these sound invest-
ments in which we strongly advise the placing
of "Idle Money." A letter marked " Service
to Investors " will put you in possession of facts
concerning these certain sources of income.
Address : —
M. S. WHEELWRIGHT & CO.
Canadian Investment Securities L'ni'ted
TRANSPORTATION BLDG.,
132St.PeterSt. MONTREAL 63 Sparks St.
QUEBEC OTTAWA
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
Dr. J. W. M\HAN J. A. v\ E sT.MA.V
President Managing Oirector
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank Bldg., Edmonton, Alta.
ACCOUNT ROOKS
Loose Leaf Ledgers
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Streets
TORONTO
Northern Securities, Limited
ESr BLISMHJ 1HII6
GENEIRAI. FINANCIAL BROKER
Confidential Advice on British Columbia Investments
Member of \lnrtg;igt and I rust Companies Association of British Columbia
S29 Pender Street W. VANCOUVER. B.C.
B. GROROP HANSULD J. P.. MannBer
F. S. RATLIFF & CO.
FARM LANDS-FARM LOANS
STOCKS AND BONDS
Medicine Hat Alhorfn
TOOLE, PEET & CO., Limited
INSURANCE AND REAL ESTATE
MORTGAGE LOANS ESTATES MANAGED
C» ble Address, Topeco. Western Un. and A.BC.Stli Edition
CALGARY, CANADA
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Western Miiiilclpiil. Selmol anil .sa»kiit4'heH an Kiiral Tele-
pltiiie «o. (IrheuiiireH H|ierlnllzed In.
Correspondence invited
GRAINGER BUILDING - - SASKATOON
THE MONETARY TIMES
Volume 65.
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
.IIO^ncEAL— Mrrk Kiitird Dec. 'j^iiil.
(Figures supplied by Burnett & Co.)
Slocks
AbitibiP./iP...
Asbestos Corp..
Amcs-Holdcn .'.
Sales Open ' High Low CI
.pfj.
Ipftl.
.'pfd.
Atlantic Sugar
Cell Telephone
Brazilian T.L.S Power
B.C. Fish
Brompton Pulp & P..
Can.ida Cement
...pfd.
Can. Con
Canadian Cottons
.pfd.
Canadian Car
•• ....pfd.
Canadian Gen. Elec. .
Carriage Factories ...
■Can. Steal
KIMO .iS* I 55*
III! SS* 8.SJ
134 1(12
.^B7I -Mi
92 j S)l
pfd.
Horn. Iron
tUoniinion Glass..
Oom. Steel Corp..
Dominion Textile.
ulds
pfd.
pfd
pfil.
Howard Smith
•• pfd.
Illinois Traction ..pfd.
liaministiqua
Lake of the Woods. .
Laurentide
Lyall Cons
Macdonald Co
Montreal Power
Montreal Tram
Tram Deb...
Telegraph...
"National Breweries —
•Ogilvie Flour .Mills
Bn
Prov. Paper pfd.
Quebec Uy. L. H.&P..
'Riordan Pulp*; P
pfd.
St. Lawrence Fl. Mills.)
pfd.;
Shaw intgan \V. & P ...
'-Sherwin-Williams, pfd.
Sipanish River
•• pfd.
•• Div.Vou.
St- .Maurice
Steel Co. of Canada -. i
• ■■ pfd.
Toronto Ry
TwinCity
Wabasso Cofn !
Wayagamack P. & P..;
Windsor Hotel
Winnipeg Ky
Itniiks
Commerce
HochelagR
Imperial
Merchants
Molsons
.Montreal
\ova Scotia... .
Nationalc
Koyal
Toronto
64* i
Un
llnlDlk
Asbestos Corp.
Hell Telephone
Co.
Can- Rubber
Cedars Rapids Mfg..
City Mcnt.Dec. lis. 1922
" Maylis. I!t2.1
•■ Sept.6s. 192.1
Oom. Can.W.Loan.1»2S
I9:tl
1937
Victory Bonds. 1924 . .
1934...
1922 ..
1927 ..
1937....
1923..-
1933....
Kill
237(10
riSIKlO
27fi(in
1 488.^7 (
2I<3S(1!I
4188113,
2.i.'>.'iO|
SI 351
2,59203
496«3S
88i 891
NONTREAL-Con/inKeiJ.
IEoikIs
Dom. Cottons . .
Dom. Canners- .
Dom- Coal
Dom. Iron
Dom- textile A- ,
B..
Salesl Open High Low Close
Mont- St. Ry.
.Mont. Power 90001
Ogilvie Flour j.
Penmans KKK)
Price Bros , 800
Quebec Ry- L- H.& P.- . I 19,500
Riordon
Scotia !
Sherwin-Williams- .. i 1000
Spanish River |
Steel Co- of Canada- . . <
Waba'SO Cotton
Wayagamack P. & P. . . 1900
T<lltONTO-Week Ended Iter. '>«iiil.
i^tocks
Atlantic Sugar
Abitibi
Barcelona
Bell Telephone
Brazilian Tr.action. . .
Burt. H. N
B.C. Fish
Can. Bre.ad I
Canada Cement
Can. Car & F pfd.)
Salesl Open High Low i Close
3551
2Ii
931 1 55
70i 3*
ISl 102
4444 32
34 S.(i
lOOl 38
278: 20*
290! 58i
25 i 83i
Canners
Canadian Pacific R.
Can- Gen. Elec. ...
■ P
Canada Steamship.
City Dairy..
Con. Gas
Coniagas . . .
Crows Nest..
Det. United.
50
Dom. Tel..
Duluth
Loco
Mackay Companii
Maple Leaf
N.S. Car...'
X. S. Steel
Nipissing
Ogilvie
Pac. Bui t. ..
.pfd.
.pfd.
^pfd.
Penman's pfd.
Porto R CO
'■ pfd-
Quebec R.L-H- & P
Riordon
Rogers pfd-
Kussell pfd.
hook ptd.
elte
pfd.
pfd.
Spanish River.
Steel Corp. .. .
Steel Company
...pfd.
Tooke pfd .
Toronto Ry
Twin C.ty...
WinnipigKlec-
Knnk)i
Commerce
Imper
Mcrch
.Molsoi
28
94j
34«
19 I 19
83* 83j 83J
Nova Scotia I
Royal '.
Standard
Toronto '.
Union '
l^inii iiiKl Trust
Col. Inv
Toronto Gen. Tr. RightsI
National Trust 1
llnnd» I
Cement
Rio. Jan. T.. L. & P.-..
Steel of Can
Sao Paulo
Sterling Coal
7 195
•2I '2-51}
71 1 193
•2,53 203
7 179
1000
90i
l.tllOU
^M
1011(1
91
.5.5(X1
70
1000
85
TOKnSTO—Conii
M'ar Loaus
Sales
Open
High
Low
Close
Dom-Can-W-Loan,192S
9700
90
92^
90*
92*
■■ 1931
26100
90
91
90
90*
1937
60300
94
94S
94
94 S
Victory Loan 1922 ....
643050
97
97*
95i
96+
1923 ....
366450
96}
97S
96i
96il
1927 ---.
19900
96
9BJ
954
9fif
1937 ...-
'292050
97i
98i
97
98i
1933 ....
401350
95J
95i
948
9,51
1934 ..
5472,50
Wli
93J
9'^+
92S
1924 .-..
230700
94'.
95
94 i
94«
WINNIPEG—Week pudrd Iti'c. I,sili.
■' 1924
•• 1925
" 1927
'• 1937
; ■; 1933
■ Loan 1931
" 1937
■' 1925
le Inv.& Sav- Assn
I Sales I Open i High I Low I Close
•rusts -
Bank.
79001
114001
210501
31600
^EW YUKR— Week ended Wee. I8t1i.
Canadian Pacific ! 26900
Canada Southern 600
Nova Scotia S. & Coal. I S'200
Oranby Consolidated..: 600
- 5% 1921 84000)
5*% 1921 88000 .
5% 1926I12000|-
5i% 19'i9ill8000l.
5% 1931' 9000!.
High!
Il3i '
Close
112
401
LU>UO\, Kng.— Week endeil Bee, lltli.
<>ov*t. •& Muu.
.35%
Canadi
■' .... 3*% 1930-50
' ...-4% 1940-60.
" ... 4J% 19'20-'2S
Calgary 4i% debs
5% debs
Edmonton 5% deb
.5%bds.23-S3
Manitoba 4% Reg
5'iS, bds. 1888
Nfld-3*%bdsl9l2
" 3j% bds
Montreal 4j% Reg
" 4% Reg. 48-50
4% con deb..
Nova Scotia 4*% cons.
Quebec 3%
•• 4%deb
Sask. 4%deb
S. Vancouver 4% cons
Vancouver 4% bds. . . .
Toronto 4ifodeb- 1948. .
34% 1929
Victoria 3«% 1921-6 ...
;■ 3*% 1929-49...
4% cons
4*% cons. 1962
4% 1918-22 ...
•• SJ%cons
Winnipeg 45%c's. 43*3
4% cons
Knllway»
Can. Nor. 4% deb. 1939
■• 4°.i deb. 1930.
" ■• .5% deb
Cai
" 4% deb.
" 4% pfd.
■ 5% bds.
G.T-P. Br-4% bd 1939.
G-T.P.3%bds
G-T-P-4%I95S
Gr. Trunk, . 4% guar-
Gr. Trunk-S";, 1st- pfd--
Gr.Trunk5%2nd pfd..
Gr- Trunk 4"<, 3rd pfd.-
Gr. Trunk 4% cons
Ont.& Quebec 5% deb.
P.Gt. East-4i%deb.'42
lud.. Fin., Kir.
Can- Car 7%
■• ■' 6% bds
Can. West Lumber 5 i
Can. Bk. of Commerce-
Bank of Montreal
Toronto Pow. 4*% deb. I
Open
High
Low
73J
73},
60|
61
61
71*
72
71*
90*
90
893
77i
80
m
83
83
82}
70i
70i
70j
89i
92
88-)
7Si
75i
93*
7,5*
93*
93*
62
62
62
595
67?
,591
,59i
68
674
64
64
64
76
76
76
72
72
72
61
61
61
91
91
91
1'22
122
1-22
54
,55.*
54
7'2j
72*
7'2*
714
71*
714
76i
77
764
82
82*
818
6H
6H
613
67
671
67
66
66
66
934
93J
93*
93J
93i
93i
77J
76j
78S
77i
764
764
,5.5+
55}
54S
84
8St
84
91
91*
91
163
167
163
66
66*
65*
6U
62
61
81
SI*
81
87
88i
87
62
65*
62
67*
68
67
58
59
57*
404
40*
40}
28
29
'28
12
12
llii
62
62
61
753
753
74*
771:
78
77-3
90
903
90,
1054
106*
105*
614
62i
61*
394
404
394
60}
604
60}
Hi
December 24, 1920
THE MONETARY TIMES
— ' — .1
CHRISTMAS 1920
The President, Directors
and Officers of
THE ROYAL BANK
OF CANADA
desire to offer to the Customers
and Friends of the Bank their Best
Wishes for a Happy Christmas
and a Prosperous New Year,
— ■" 1
SUPERFINE
LINEN RE coil
through ihe niailF. behan
died by a dozen clerks, be fileil
and yet.ac the crucial moment,
carry into a President's office
the suggestion of your Con -
pany's dignity and standing— if
it be of Superfine Linen Record.
Awarded the Hold Medal.
Antwerp ISS5; the Gold Medal.
Chicago. IK-l.-i: and the Grand Prix. Paris. 1900.
The Rolland Paper Co., Limited, Montreal
High QraJi: Paper Makers since 1882
MilU at St. Jerome. P.Q.. and Mont Rolland. P.Q.
LONDON JOINT CITY & MIDLAND
BANK LIMITED
The Right Hon. R. McKENNA
JRRAY Eb<, F HYDE. E&Q.. E W WOOLCEV Eso
Subscribed Capital
Paid-up Capital
Reserve Fund -
Deposits {Jur>» 30tr>, 1920}
. £38,096,363
1 0,840, 1 1 2
. 10,840.112
. 367,667,322
HEAD OFRCEt 5. THR&ADNEEDLE STREET. LONDON. ^C ;
OVOtSEAS BRAKCH tS 4 M. OLD BftOAD STiiE£7. LONDON. LC Z
The Standard Bank
of Canada
Established 187;! :52 Branches
Capital (Authorized by Act of Parliament) SS.OOO.OOO.OO
Capital Paid-up 3,500.000.00
Reserve Fund and Undivided Profits 4,727,326.90
DIRECTORS
W'ELLINGTOS Fra.vCIS, K.C HUBERT LaNGLOIS,
W. F. Alle
President
W, Cowan, T. B. Gr
Vice-Preside
ng. H- Langlc
James Hardy. F.C.A., Thos. H. Wood.
Head Office, l.'i King St. West TORONTO, Ont.
C. H. EASSON, General .Manager.
J. S. LOUDON. Assistant General .Manager.
SAVIVGS BANK DEPART.MENT AT ALL BRANCHES
P.
M. LIDDELL & COMPANY
Inveslmenl Bankers. Fiscal Agents
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
Elconomiced IVfutual Fire Ins. Co.
HEAD OFFICE .... KITCHENER, ONTARIO
CASH AND MUTUAL SYSTE.MS
Total Assets, $97.5,600 Amolnt of Risk, $28,641,000
Government Deposit, $50,000
w. h. schmalz,
Mgr 'Secretary
"The
M
onetary
T
imes"
r
11 be sent you for four mor
IT TRIAL SUBSCRIPTION p
iths
Ian
on
for
9 l.OO
Just send a
doll
ir bill and your na
me
and address.
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Branches— SASKATOON AND CALGARY.
Canadian Managers
THE MONETARY TIMES
Corporation Finance
Canadian Fur Auction Sales First Report— Famous Players Corpora-
tion Presents Initial Report— Increase in Consumers' Gas Prices
Justified, State Civic Officials— Grand Trunk Net Earnings Lower
Quebec Railway, Light, Heat and Power Co. — Earnings
ol' the company are makinfr an excellent showing. Those
for the first three-quarters of the present calendar yea-r,
by quarters, compare as follows: First quarter, .$165,900;
second quarter, $198,200; third quarter, $233,.500.
Whalen Pulp and Paper Mills, Ltd.— The Reliance Mill
and Trading Corporation, of New York, has been appointed
to take charge of the manufacturing end of the business.
John Ball, who is president of the Reliance company, was
formerly with Price Bros., Quebec, and the securing of his
services by the Whalen organization is regarded with satis-
faction.
Loew's Theatres. Ltd. — Two of the five Loew's theatre
companies operating in Canada held meetings on December
22 to consider the creation of a new company to be c&lled
Loew's (Canada), Ltd., with a capital of $5,000,000 8 per
cent, cumulative preference shares of $100 each, and $15,-
000,000 common shares of $10 each. These were Loew's Tor-
onto Theatres, which approved of the reorganization, and
Loew's Windsor Ther-tres, which, after a stormy meeting,
decided upon an adjournment until Tuesday, December 28th,
to give the shareholders an opportunity to more fully ac-
quaint themselves with the merits of the proposal put for-
ward by the directors.
Grand Trunk Railway. — Earnings for the first ten months
of 1920, according to revenue statements issued from Lon-
don, show an increase in gross receipts of £1,897,400 and of
expenses £2,511,200, leaving a decreivse in net earnings of
£613,800, compared with the same period in 1919. Net re-
ceipts for October showed a decrease of £63,000. The follow-
ing table shows the revenue statement month by month: —
Gross. Net. Decrease.
January £1,0;58,.500 *£167,100 £20,000
February 957,700 *102,500 38,800
March " 1,182,800 54,500 118,200
April 1,125,000 59,600 95,700
May 1,208,000 68,100 69,300
June 1,365,500 102,.500 t40,200
July 1,560,000 210,400 22,900
.August 1,.595,400 306,300 38,100
September 1,669,300 98,300 188,000
October 1,796,600 219,000 63,000
'■'Debtor. flncrease.
Consumers' Gas Co. — Finance Commissioner Ross and
City Auditor Scott, of Toronto, have reported to the city
council that the increa-se in the price of gas from $1.10 per
1,000 ft. to $1.25 was justified if the financial position of the
Consumers Gas Co. was to be unimpaired and the reserve
fund restored. Should the price of gas be kept at $1.10 the
depicted reserve fund, it is estimated, would be entirely ex-
hausted by 1921. It was not desirable, either from the com-
pany's standpoint or that of present and future consumers,
that this should come about. On the other hand, the com-
pi>ny could only rehabilitate the reserve fund out of any sur-
plus left after paying dividends on'the par value of the stock.
."Xnything left after that must be applied to reducing the
price of gas.
The officials say that the company must make provision
for an inn-eased expendituie of $942,869 in 1921. It will
have an overdraft in the reserve fund of $89,890. The in-
crease of 15 cents in price would give $597,457, a ba^lance of
.$507,567. The 5 per cent, allowed for plant renewal has not
been sufficient to pay for repairs and renewals. The reserve
fund in October, 1912. was $943,886. The company has
power to draw from this fund if the profits do not warrant
a 10 per cent, dividend. Due to this condition from 1913 to
1920 .$437,781 was withdrawn from the fund.
Canadian Fur Auction Sales Co., Ltd. — Shareholders of
the company held their first annual meeting in Montreal on
December 15, when the report and balance sheet covering the
initial year's activities was submitted. The result of the
twelve months' operations, .it was , explained, had been ad-
versely affected by the changes in the fur trade during the
period, but an early improvement was looked for and the
future of the company regarded with optimism. No action
was taken on the preferred dividend, the directors having,
come to the decision to a-wait a clarification of the situation
before announcing the usual quarterly payment of 1% per
cent.
There was a good representation of shareholders at the
meeting, during which was discussed the conditions prevail-
ing in the fur market. The opinion was expressed that furs
would continue in demand, and that, notwithstanding the fact
that vaJues had suffered considerably from a period of specu-
lation, prices would gradually be re-established. The fur
business, it was pointed out, was essentially a Canadian basic
one, and while, like other trade lines, has been subjected to
the recent depressing influences, was capable of being de-
veloped along highly prosperous lines in the near future.
The company held a successful auction sale in March of this
year, and will probably hold another in January.
Famous Players Canadian Corporation. — The first an-
m\al repoit of the compK-ny, which is now in the hands of
shareholders, is in accordance with the forecasts made re-
cently. The consolidated balance sheet covers operations for
the twelve months' period ended August 28, 1920, and shows
profits including surpluses of subsidiary companies as at
September 1, 1919, of $324,196, out of which were paid pre-
ferred dividends of $180,000, leaving $144,196 to be carried
forward to the credit of profit and loss. As is indicated in
the report, these earnings were derived almost entirely from
the opeiation of the sixteen theatres purchased by the cor-
poration out of the proceeds of its second preference share
issue. These earnings were therefore obtained practically
without benefit of earning-power resulting from the con-
struction and acquisition of new theatres, for the financing of
which public issue of the first preference shares was made,
and cannot therefore but be regarded as satisfactory.
Total assets are placed at $13,756,000. Current assets
total $2,786,154, including $981,684 call loans and cash, while
current liabilities totrf only $114,091, leaving net current
assets of $2,672,063, a strong showing, and one reflecting the
holding by the corporation of large sums in cash for expen-
diture on the completion of new theatre buildings now in
course of construction. It was felt that these theatres could
probably be completed at a less cost in 1921 than if they
had been rushed to completion in 1920; for the best auth-
orities are looking for some recline in building co'As next
year. The report places the number of the&tres now operat-
ing at twenty, with seating capacity of 19,500.
Referring to the corporation's extension program and to
its future earnings, Adolph Zukor, president, says in part: —
"Actual realization of the corporation's chain of motion
picture theatres from coast to coast is well within sight, and
such satisfactory results from the operation of the sixteen
nucleus theati-es now in operation, and with earnings from
the larger theatres under construction becoming available
with the commencement of the year 1921, it is expected that
the profits of your corporation for the ensuing year should be
satisfactory."
December 24, 1920
THE MONETARY TIMES
DEBENTURES FOR SALE
SALE
PROVINCE OF NEW BRUNSWICK DEBENTURES
$1,750,000 Fifteen-Year Six Per Cent.
Sealed Tenders endorsed "Tenders for Province of New
Brunswick Debentures," addressed to tlie undersigned, will
be received for the purchase of $1,750,000.00 (one million
seven hundred and fifty thousand Dolla-rs) fifteen-year De-
bentures of the above Province, to be dated January 1st, 1921,
bearing interest at the rate of six per centum per annum,
payable half-yearly on the 1st of January and 1st of July.
Principal and Interest payable in Gold at the office of the
Provincial Secretary-Treasurer, Fredericton, N.B., or at the
Bank of Montreal, in St. John, Montreal, or Toronto, or at
the Agency of the Bank of Montreal in the City of New
York, at the option of the Holder.
Debentures to be in the denomination of $1,000 with
coupons attached, and may be registered as to principtd only.
Debentures will be issued as follows:
1,000 Debentures numbered Jl to Jl.OOO, $1,000,000, for
Electric Power Development.
750 Debentures numbered Kl to K750, 750,000, for
Federally Aided Permanent Roads.
Total ; $1,750,000
Full payment for Debentures with accrued interest to
date of payment to be made at the Bank of Montreal, Fred-
ericton, on delivery of Interim Securities at said Brwik. In-
terim Securities to be exchanged for definite debentures on
completion, by the Purchaser of the Issue.
Tenderers are requested to submit two bids — one for De-
bentures payable in Canada and New York, and one for De-
bentures payable in Canada only.
Tenders to be delivered to the undersigned not later than
3 o'clock p.m. on 30th December, 1920. Tenders must be for
the whole amount offered, &nd must be accompanied by
marked cheque for $10,000, to be applied in the case of the
successful Tenderer in payment for the Debentuj-es.
All bids must be made in Fredericton Funds.
The Right is reserved to reject any or all Tenders.
Tenders containing conditions varying from above will not
be considered.
THE PROVINCIAL TREASURER,
Province of New Brunswick,
Box 540,
Fredericton, N.B., Fredericton, N.B.
15th December, 1920. 329
TOWNSHIP OF SCARBOROUGH
Tenders will be received by the undersigned up to and
including the Sixth day of January, one ihousand nine hun-
dred and twenty-one, for the purchase of One hundred and
thirty thousand Dollars ($130,000.00) Township of Scar-
borough debentures.
The debentures are issued for wat?'- works purposes,
and are payable at the Domin'on B.uik, Market Branch,
Toronto, in equal annual instalments of princ pal and interest
during thirty jears, commencing December 151h, 1921, and
bear interest at seven per cent, per annum (coupons), payable
yearly.
The By-laws and Debentures may b se^n at the Do-
minion Bank, Market Branch.
No tender necessarily accepted.
Address tenders to
330. J. H. RICHARDSON,
Township Treasurer,
December KUh, 1920. West Hill, Out.
TENDERS FOR PULPWOOD AND PINE LIMIT
Tenders will be received by the undersigned up to and
including the 29th day of December, 1920, for the right to
cut pulpwood and pine timber on a cei-tain area situated on
the North Shore of Lake Superior, and territory adjacent
thereto, in the district of Thunder Bay.
Tenderers shall state the amount per cord on pulpwood,
and per thousand feet board measure on pine, that they are
prepared to pay as a bonus in addition to dues of 80c. per
cord for spruce and 40c. per cord for other pulpwoods, and
$2.50 per thousand feet board measure for pine, or such other
rates as may from time to time Ije fixed by the Lieutenant-
Governor-in-Council for the right to operate a pulp mill and
a paper mill on or near the area referred to.
The successful tenderer shall be required to erect a mill
or mills on or near the territory and to manufacture the
wood into pulp and paper in the Province of Ontario.
Parties making tender will be required to deposit with
their tender a marked cheque payable to the Honourable the
Treasurer of the Province of Ontario, for twenty-five thous-
and dollars ($25,000), which amount will be forfeited in the
event of their not entering into agreement to carry out the
conditions, etc.
The highest or any tender not necessaz'ily accepted.
General terms and conditions of sale, together with par-
ticulars and description of territory, may be had on applica-
tion to the undersigned.
BENIAH BOWMAN,
Minister of Lands and Forests.
Toronto, 1920.
N.B. — No unauthorized publication of this notice will be
paid for. 312
CONSOLIDATED SCHOOL DISTRICT OF DECKER,
No. 320
DEBENTURES FOR SALE
Sealed tenders addressed to the undersigned will be re-
ceived up to G o'clock p.m. of Friday, January 7th, 1921,
for the purchase of the following debentures and intirest
accrued from the first of August, 1920: —
Nineteen debentures for $1,000.00 each, maturing, one
on the first day of February of every year from 1922 to 1 940,
inclusive.
One debenture for $21,000.00, maturing on the first day
of February, 1941.
These debentures, to a total of $40,000.00, aie coupon-
bearer, and carry interest at 7 ; psr annum frjm the first
day of August, 1920. The first coupo.i is payable February
1st, 1922, and the remainder annually on February 1st.
Principal and interest are payable at the Bank of Ham-
ilton, Decker, Manitoba. Debentures will be delivered and
must be settled for at the same place.
The highest or any tender not necessarily accepted.
For any further information, address
HERBERT THOMPSON,
Secretary-Treasurer,
331 Decker, Manitoba.
HE MONETARY TIMES
Volume 6f).
COKI'ORATION SECURITIES MARKET
(Continued from page U~)
i\. A. Mac-Donald and Co., Ltd., Montreal, Toronto and
Ottawa, are handlino; the financing of the company. At
present the $4,000,000 8 per cent., convertible debentures
ar.' teing offered at par an accrued interest, with a bonus
of 40 per cent., common stock. The debentures are in
denominations of $100, $500, $1,000 and $.5,000, are dated
December 1, 1920, with coupons' payable semi-annually
January and July 1, first coupons bearing interest for seven
months. All debentures are to be converted into 8 per cent.,
cumulative preferred stock (fully paid and non-assessable),
on July 1, 1923. The preferred stock is redeemable in whole
or in part at the option of the company at any time upon
payment of capital paid-up thereon jilus 10 per cent., and all
accrued and unpaid dividends.
Capitalization Changes
The following companies, which are operating under
Dominion charters, have been authorized to increase their
capital stock. In each case the new shares to be issued will
havt a par value of $100: —
Former
Company. capital stock. Increased to.
Georgian Bay Lumber Co., Ltd. . . $ 200,000 $1,500,000
Norris Grain Co., Ltd 150,000 500,000
J. H. Ashdown Hardware Co., Ltd. 2,000,000 8,000,000
-Sheet Metal Products Co. of Can-
ada, Ltd. Toronto, Ont 5,000,000 3,500,000
*Capital decreased.
In order that there should be no misunderstanding, E.
F. Fream, secretary of the United Grain Growers, Ltd.,
Calgary, Alta., has stated to I'hc Moiiclary rinics that the
•capital stock account of the organization has not been in-
creased from $12,000,000 tu $15,000,000, but that this refers
to the borrowing power of the company. The capital stock
authorize:! under the charter is $5,000,000, and of that
amount a little more than $3,000,000 has been subscribed.
It is not the intention of the company to make any public
offering of stock, altliough sales are being made direct to
farmers at all times.
The board of directors of the Asbestos Corporation of
Canada met in New York on December 18, and aeconling
:i> information received, decided to declare the usual dividends
f 6 per cent., on the common and 7 per cent, on the pre-
i! rred stock of the enterprise, together with a bonus of 2
I'tr cent, on each, all payable January 15 to shareholders of
■cord January 1.
W. A. Green and Co., London, Toronto, Hamilton ami
Windsor, are offering 7 per cent., preferred stock of the
Canadian Vitex Feed and Milling Co., Ltd., which company
has its head oflice and plant at Toronto. The capital of the
<ompany is $1,000,000. and the preferred stock is being
offered at par. with a bonus of common.
Rarcelona Traction Bonds
An off"erlng of £1.050,000 8 per cent, secured debentures
is being nir.de in London on behalf of the Barcelona Traction,
Light and Power Co.. Ltd., with head offices in Toronto. This
is part of an authorized issue of i'l, 100,000. and is being
offered at 94 per cent., redeemable within twenty years
President E. R. Peacock, in a letter to the Spanish Securities
Co., Ltd.. of London, which is handling the issue, states that
the £1,050,000 offering has been created for the purpose of
enabling the company to reduce its liability in respect of
£1.915,500 of its own prior lien "B" bonds, issued at par in
the year 1915 to French banks and other creditors of the
company in settlement of previous cash advances, an opera-
tion now rendered possible by the fall in the French franc.
Concerning the operations of the company, he said that
the earnings of the operating companies should be greatlv
increased in future by the sale of electricity from additional
hydro-electric works, which had recently come into opera-
tion, and also by the fact that existing power contracts,
shortly expiring, would be renewed on more favorable terms.
Hamilton Carhartt Cotton Mills, Ltd., operating under
an Ontario charter, has been authorized to increase its capital
stock from $100,000 to $500,000 by the creation of 4,000 new
shares, of which 2,000 shall be preference.
Shareholders of the Winnipeg Electric Railway Company
have authorized an issue of $3,000,000 7 per cent, preferred
shares and an increase the common capitalization.
A dividend of 1% per cent, on preferred, on account of
arrears for the quarter ending September 30, 1918, has been
declared by Wm. A. Rogers Company, together with the
dividend for the current quarter. This payment will leave,
the outstanding arrears on preferred at 8% per cent., and
it is expected that with each regular quarterly dividend there
will be a similar disbursement of back dividends.
W. M. Aitken and Company, whi;-h is operating under
the laws of the province of Quebec, has been authorized to
increase its capital from $1,000,000 to ^3,000,000.
RECENT FIRES
Aylmer, Ont. — December 20 — The buildings on the farm
of George N. Walsh, on the Aylmer Road, were destroyed
by fire. The loss is $8,000.
Bracebridge, Ont. — December 18 — The store on Main
Street, owned by J. H. Burton, was damaged by fire. The
loss on the stock is $3,000, partly covered by insurance.
Chatham, Ont. — December 16 — The barn on the Park
Avenue property of John Howe, just outside the city limits,
was destroyed by fire.
Cheltenham, Ont.— December 18 — A large barn belonging
to W. H. Henry was destroyed by fire caused by a spark
from a crushing engine. The loss is $6,000.
Craik, Sask.— December 22 — A six-roomed school was -
destroyed by fire, with a total loss of $30,000.
Hamilton, Ont. — December 17 — The rear of the Calvin
Presbyterian Church on James Street North, near McCaulay
Street, was damaged by fire. The loss is $1,000.
Jasper, .Mta December 1 — Twenty business houses and
ten residences were destroyed by fire. The loss is $250,000.
London, Ont. — December 22 — A lighted cigarette stub is
blamed for a fire which did $12,000 damage to the buildings
and stock of the London Union Rag and Metal Co., corner
of York and Adelaide Streets. The insurance is $7,000. The
residence of F. Cornwell, of 176 Egerton Street, was dam-
aged bv fire. The loss is $2,000.
DOMINION TEXTILE COMPANY, LIMITED
NOTICE OF DIVIDEND
A dividend of one and three-quarter per cent. (1%%)
on the Preferred Stock of the Dominion Textile Company,
Limited, has been declared for the quarter ending 31st De-
cember, 1920, payable January I5th. 1921. to shareholders of
record December 31st, 1920.
By Order of the Board.
J AS. H. WEBB,
Secretary-Treasurer.
Montreal. 6th December, 1920.
342
WANTED. — Special Agent and Inspector, Provinces
Manitoba and Saskatchewan. Headquarters, Regina. Repre-
sent three large American Companies. Good salary. Replies
will be treated confidentially. Box 371, Maiu-tary Times, To-
ronto.
PrruIsHKD EVFRV F|:U)AV
The Monetary Times
Printing Company
of Canada. Limited
"The Canadian Engineer'-
onctarj ffitmes
Trade Review and Insurance Chronicle
of CTanaDa
Established 1S6"
Old as Confederation
JAS. J. SALMOND
President and General Manager
A. E. JENNINGS
Assistant General Managfer
JOSEPH BLACK
Secretary
Vt'. A. McKAGUE
Editor
Current Loans Continue to Decrease
November Bank Statement Shows Large Reduction in This Account-
Savings Deposits Up Twenty Millions — Strong Cash Position and Heavy
Increase in Call Loans Abroad Reflect Easier Monev Conditions in Canada
November,
1919.
Deposits on demand S 728,657,58!*
Deposits after notice 1.137,858,277
Current loans in Canada 1,189,408,523
Current loans elsewhere 149,302,293
Loans to municipalities 52,703,363
Call loans in Canada 121.754,469
Call loans elsewhere 169,626,880
Circulation 248,073.385
October,
November,
Year's
Month's
1920.
1920.
inc. or dec.
inc. or dec
.$ 687,651,781
S 686.7.54,094
- 5.8
- 0.15
1,271,275,751
1.292.009,008
-13.6
- 1.7
1.405.401,227
1,357.97.3,118
-14.1
— 3.4
19.3.749.657
169.677,657
-13.4
—12.4
71,374,060
65,487,171
-25.0
— 8.4
113,135,902
108.471.340
—10.8
— 4.4
188,367,459
218.183,194
T-29.0
-16.0
252,882,760
253,576.534
- 4.0
+ 0.5
A substantial reduction in all the Canadian loans accounts
and a substantial inci-ease in savings deposits are the prin-
cipal characteristics of the November bank statement, which
has just made its appearance. That savings deposits should
advance .$^0,000,000 in one month in the face of industrial
depression and increasing unemployinent is perhaps remark-
able, but at any rate it should indicate that conditions are
not as bad as painted by some.
The change in demand deposits la^t month was not sig-
nificant. These deposits have been pursuing an irregular
course during the past year, and are now considerably below
a year ago. The Dominion government drew rather heavily
on its account during November, and as a result its credit
balance has been reduced by about $24,000,000. Foreign de-
posits increased by about §12,000,000, so that, on the whole,
the deposits accounts were but slightly ahead of the previous
month.
The trend of notice and demand deposits in Canada
during the past thirteen months is shown in the following
table: —
Deposits payable Deposits payable
on demand. after notice.
1919— November $728,657,580 $1,137,858,277
December 703,329,292 1,138,086,691
1920— .January 621,408,024 1,163,'297,037
February 620,069,555 1,187,027,307
March . (557,412,028 1,197,719,570
April . . i;52,918,760 1,209,573,990
Mav 645,957,229 1,229,073,515
Jmvj . . . 659,622,583 1,243,700,977
July . 6.39,415,025 1,25.3,170,443
.\ugust 640,-361,707 1,261,647,732
September i;77,286,905 1,270,194,097
October 687,651,781 1,271,275,751
November 686,754,094 1,292,009,008
During the past six years the movement has been as
follows: —
Nov. On demand. After notice. Total.
1915- .5406,735,171 S 714,219,286 $1,120,9.54,457
1916 459,277.454 836,593,269 1,295,870,723
1917 538,869,362 1,008,657,874 1,547,527,236
1918 666,366,359 939,329,271 1,605,695,630
1919 728,657,.589 1,137,858,277 1,866,515,866
1920 686,754,094 1,292.009,008 1,978,763.^02
With the e.xception of call loans abroad, all other loans
accounts showed substantial reductions. Current loans in
Canada decreased by more than .$45,000,000, current loans
abroad dropped by nearly $24,000,000, while call loans in
Canada declined by nearly $5,000,000. Municipal and pro-
vincial advances were also lower. The full extent of the
business deflation which is now taking place is not clearly
illustrated by these figures, however, as the curi-ent loans
account has been augmented by seasonal demands.
The coui-se of the current and call loans in Canada during
the past thirteen months is given in the following figures: —
Current in , Call in
Loans. Canada. Canada.
1919_Noveniber $1,189,408,423 $121,7.54,469
December 1,207,109,046 125,888,760
1920— January 1,226,962,963 132,015,.334
February 1,2.57,015,902 127,251,919
March 1,322,267,030 128,233,310
April 1,347,238,230 125,644,859
May 1,349,079,981 119,114,493
June 1,365,151,083 115,272,587
July ". . . 1,377,276,853 115,360,894
.-Vugust 1,385,470,1.53 113,.598,923
September 1,417,.520,7.56 114,669,611
October 1,405,401,227 113,135,902
November 1,357,973,118 108,471,340
The monthly movement of call loans abroad since Jan-
uary, 1917, is illustrated by the following figures: —
1917. 1918. 1919. 1920.
S $ $ $
January . . . 155,747,476 132,687,066 140,819,656 170.206,805
February . . 162,344,556 160,239,494 155,983,681 184,469,882
March .... 161,616,735 167,296,701 160.116,443 205,202,133
April 159,156,054 179,818,531 155,.533,666 206,229,451
Mav 168,692,675 172,259,879 157,176,325 213,964,182
June 159,309,133 170,034,476 167,236,045 219,214,431
July 151,875,676 167,112,836 178,098,434 203,045,209
.August . . . 176,610,625 160,544,990 174,176,578 193,888,245
September . 166,480,004 159,680,810 169,532,489 186,962,960
October . . . 151,018,747 157,040,858 158,194,085 188,367,459
November . 139,832,552 171,035,732 169,626,880 218.183,194
December .. 134.483,482 150,'248,322 172,232,161
THE MONETARY TIMES
Volnme 66.
Chartered Banks* Statement for November, 1920
LIABILITIES
NAME OF BANK
Bank of Montreal. .
Bank of Nova Scotia
Bank of Toronto
The Molsons Bank
Banquc Nationale
Merchants Bank of Canada
Banque Provinciale du Canada
Union Bank of Canada
Canadian Bank of Commerce ..
0|Royal Bank of Canada
Dominion Bank
Bank of Hamilton
Standard Bank of Canada
Banque d'Hochclaga
Imperial Bank of Canada
Home Bank of Canada...
SterlinK Bank of Canad:
Weyburn Security Bank
Notes
circulation
40.178,448
21,602,433
8,497,128
,S.i)30,923
5,994.235
IB.b7!.8.57
3.001.718
12.673,644
30.716.914
41.672.973
•).396.4i;4
6.643,816
S.892,453
7,166.864
13.377.513
2.167 900
I.240.9B0
513690
Bal. due
to Dom.
Gov. after
deducting
advances
for credits.
pay-lists.
etc.
Provincial
Govern-
ments
$
8.362.101
1.082.935
1.156.418
4.177,950
8.149.438
6.786,570
2.356.637
8.250.414
44.t7S.125
19.972,801
9.605.391
5.212.562
5.539.467
3.421.500
535.310
2.884,077
3.525.7.53
395.277
234.339.923 I 136.192.726
«
781.275
507.038
110.739
179,529
388 498
3.391 .698
240.948
3.076.164
3.920,791
2.521.955
189,117
599,502
438,081
80,304
802,143
1.011.215
281.901
13.182
Deposits by
the public.
payable
on demand
in Canada
Deposits by
the public
payable
afternoticc
9
126.997.970
39.542,998
31,613.392
18,469.871
7.320,964
54,380,815
5.021.599
44.274,927
130.242,370
103,597.463
28.911,033
20.032.863
19.614.280
12.929,429
30.758.646
6.119.224
5.605.472
1.320,778
2I6,427.(
109316,1
48.272.(
47,872.5
37.068,!
90.064. e
25.292,5
63.698,2
174,968,4
184,791.f
65.390.7
43,346,7
47,506.7
43,266..=
62.922.S
12.423.1
12.I33,S
1.245,1
Deposits
elsewhere
than
in Canada
18.534,080 686,754,094 1,292.009.008 351,780,924
10,024,778
39.968,767
164.106,090
l,g40,.575
LIABILITIES— Continued
Loans
from other Deposits
banks in made by
Canada, and balan-
secured. ces due to
including otherhanks
bills re- 1 in Canada
discounted..
Due to
banks and
banking
correspond-
ents in the
United
Kingdom
Due to
banks and
banking
correspond-
ents else-
where than
in Canada
or the U.K.
Bills
payable
Accept
ances
under
letters of
credit
Liabilities
not
included
under
foregoing
heads
Balances
due to the
Imperial
Govern-
ment
Total
Liabilities
Aggregate
amount of
loans to
directors.
and Brms
of which
they are
partners
Average
amount of
current
gold and
subsidiary
coin held
during
the month
Average
amount of
D( minion
Notes held
during the
the month
Greatest
amount of
notes in
circulation
at any time
during the
month
•
t
1.821,914
751,028
243.812
415.188
9.556
2,802,378
28
627,615
792,301
6,807
1,016.145
196,162
1 .836.689
1.226
1.106.034
19.015
360.805
«
67.092
30,276
24.3.3i
1.660.278
2.303.748
S
2.942,402
292.548
10,012,092
1,286.917
$
1.690.828
4.335
9
$ t
504,694,691 877.751
208.606.842 ! 1.183.601
91.828.874 330.869
78.052.000 i 233.962
66.079.031 400.486
S
«
3
?
25.835.401 37.746.140
11.997,745 1 15,281.204
999,705 1 10.162,240
578.187 1 4.257.567
.368.100 1 2.631.362
3.971.590 6.724.784
120.385 294,105
1.020434 10,274.178
!l
"'i&ft J -a '
5
78.116
5-27.333
7.501
1,807.282
8 019 S-iiK
.500.000
321.229
4,917
1,571,514
-oi.oo.
6,695.775
18.225.442
3.383.718
13.379.059
33.338.576
44.490.507
6
68.341
7.137
137.629
7
36.059.055
/vv,\rao
8
793,728
2,621,161
■ ■ ■ ■ ■„-,'.'„„'
9
448.976.645 1 1,020,558
.5.53.855,065 , 697,678
II
788.280 i 14,170,722
555.376 2.199.1.58
8.748 j 295.988
485.319 ,1 938.206
9,377 481,303
23,731 531.374
3.997.678
128.879
17.228.647 1 999.767
13.823.176
24.651.270
7.271.000
3.116.555
5.958.503
4.096,247
5,603.198
2.167,704
947,552
204,373
12
614.7.54
58.462
148,877
213,472
1UU,<OU
7.384.216
7,001.678
7.974.884
14.439.331
2 428,745
1,299,455
542,165
lij
473,920
83.783.601 422.593
1.743.446
460.S6S
1 .696.850
180.160
134.252
16.076
14
If
110.271.146
24,938,4.53
23,167,534
3.554,624
112,080
432,951
319,943
54,562
313,841
17
:::
It
zi.ra
35.220.324
38.783
12,006,703
S.475.760
9t796i509
48,763,093
4.70S.S75
2,835.578,788 | 9,567.858
87.406.448
179,094,982
253.576,534
Principal loans accounts, both in Canada and abroad,
show the following trend in recent years: —
Current loans Current loans Call loans Call loans
in Canada. elsewhere, in Canada, elsewhere.
...$ 777,lf)2,.563 $ .=i.'5,240,9.'55 S 83,203,787 §13.5,.5.30,562
... 813,791,947 76,087,370 89,39,1,370 183.2.'"i0,389
, . . 868,973,714 9,"),9,54,524
1,082,709,6.5.') 110,010,81,'5
Nov.
1915
1916
1917
1918
1919
1920
72,178,34.") 1.39,832„'-,52
8,5.07,5,06:; 171,035,732
1,189,408,.523 149,302.293 121,754,46!) 169,626,880
1,357,973,118 169,677,657 108.471„340 218,183,194
As a result of the bip falling off in loans, money has
apparently become easy. An increase in <all loans abroad
durinjr the month of about $30,000,000 is rather significant
in this connection. For the past four months this .^ccount
has shown a steady decline, and the fact that in one month
the increase should be almost equal to the decrease during
four months would seem to indicate a sudden relaxation in
the credit stringency.
The banks, no doubt, will be criticized for their policy
in sending such sums to New York in view of the effect that
it will have on exchange, but the proposition is purely a
business one, and, as in any other trade, the banks cannot
afford to have large amounts of idle stock. At the present,
the demand for funds in Canada is small, due to the quietness
in business; therefore the banks must employ their surplus
money as best they can. Canada is, indeed, fortunate in
having such a place as New York handy where such surplus
funds can be sent and instantly recalled if necessary. As
a result of this increase in call loans the banks' liquid posi-
tion has been greatly improved.
Another factor which contributed to this increase in ratio
was the good improvement in the cash position. The extent
to which cash assets increased can be seen from the following
figures, which show the changes for the month: —
Gold and sub-coin in Canada ,.. -f-$ 2,303,136
Gold and sub-coin elsewhere + 4,594,411
Total change + $ 6,897,547
Dominion notes in Canada .\ + $11,723,246
Dominion notes elsewhere 4,260
Total change ... + $11,718,986
M>^\
December 31, 1920
THE MONETARY TIMES
Chartered Banks' Statement for November, 1920
ASSETS
NAME OF BANK
Dominion Notes
I with
landbal.
I due
from
other
banks
in
Canada
banking'
corres-
pond'ts I
in the ;
Bank of Montreal
Bank of Nova Scotia
Bank of Toronto
The Molsons Bank
Banque Nat'onale
Merchants Bank of Canada ..
Banque Provinciale du Canada
Union Bank of Canada
Canadian Bank of Commerce
Koyai Bank of Canada
Don
Ba
Bank of Hamilton
Standard Bank of Canada.
Banque d'Hochelaga
perial Bank of Canada .
me Bank of Canada
!rling Bank of Canada..
Weyburn Security Bank. . .
I
23.816,3061
8.813.299
1.006.7611
590.965
369.5551
4.075,472
140 S7Sl
993,2431
8,867,384
7,998,2821
2.100.845
914.3981
1.759,233
486.242
1,707,4971
189,576;
136,994
16,8091
S 8
1,840,430 25,656.757
3,233,105 12.046.405
' l.W.6.761
590.965
940 370,495
9,035 4,UK4,.';0S
140.575
616.701 1.609,944
7,124,722 15,992 107
9,911.840 17,910,122
790 2,101,635
914.398
1.759.233
4S6.242,
1.707.497
189.576
136,994
16,809
. . . !63,983.436|22.737,583 86,721 ,023 190,619.217
«
38.029.833
14.069.730
13.065.125
3.986.141
1.907.458
6.2%.652
253.179
16.975.372
35.384.788
28 724.978
8.309.697
3.902.054
5,1H8,152
5,863,852
5,605,589
1,827,031
1,055,!29
163.457
»
7,928
7.385
38.037.761 I
14.077.116 1
13.065.125
3.986.141
1.907.458
6.296,652
253.179
16.976.372
35.388.710
28.727.403 I
S.30&.697
3.902,054 1
5,198,152 I
5,863,852
5,605,589 '<
1.827.031
1.055.129
163.457 I
.038.166
489.152i
254.834
235.000
100.000
4.^0 000
114.510!
365.000
908.245
860.000
3(^5 000!
225,000
175.00(1
200.000 1
378 830
108.000
fiS.COO'
22.196
19.200.000 3,
12.500.0OC 4,
4.-5011,000
2..500.000
4,500.000
7,500.000 1
5,000,000'
16.S0C.0IH: I 2
23 5'.0 OnO 37
4.000.000) 1
1,300 000
3.400.000
3.300 0001 1
7.0fl2.!i33' 1
200.0001
s
513,762
7!*8 910
751.616;
762.366:
T79,915i
4,50.758'
647,789
818,333
482.865
,336,843
278,887
761,927
531,675
108,875
,595,518
345,406'
243,632:
28.981 1
25 885,646
9,687,860i
6.026,5591
4,447,179,
2.547.3.50,
8,184,663;
2,350 432
9 ISO 179
25.846 697'
26,490,706
8,729,497
3,810,245
4.097,428
4,417.923'
6,732,827,
1.055.763
1.057.028
28,927
21.660 190.640.878 6.293,933 114.902,533 59,230.0581150576.909
31 1{
30.166'
3.0001
11.389
,3.218.1031
158,3301
100
291
940,
681,011
225,7751
603.2941
118,0)4
21,869'
590,9971
S-.;l
362.654
253.411
304,69
64,033
2,7.56,325
1,596,273
1,762,870
133 610
266,441
723,5.37
119.482
486.925
53.12';
115.231
«
6.247,156
3.323.457
789.990
1.297.240
1. 183.622
2,129,695
261.198
1.795.543
9.694.281
:«.2S!.149
1.452.817
736.395
1.059.534
835.646
2.1,54.781
717.084
191.290
53.366
.665.820 14.033.092 69,204,244
ASSETS— Continued
iSsg
Call and
Call and
Other
c
1
Bank
Liabili-
Govern-
short
short
current
Loans to
Real
.Mort-
premises
ties of
*w-a 5
and
loans in
o|
at not
cus-
and
Canada , else-
and
to ; towns.
more
tomers
not
Pro-
^"~— t^
loans and
»o
Pro- , muni-
on real
than
under
vincial
-Sa.S 2
debent- , than in
cipalities
sold
by the
bank
cost, less
letters
under
Oovcrn- 5t §^
ment £ £ o x
where
£ M
Govern-
and
amounts
the fore-
and
oc ^
ments
school
(if any)
credit
going
il
districts
written
as per
heads
ceeding
30 days)
Canada
o
contra
30 days!
f > *
t
t
S
S t
»
» 1 8
8 8
* 1 8
$
S
•
I
14.783.930 35.377.364
4,611. i:<s
2,148,160
108,815,054
213.149,295 18,240,293
3.299.721;13.023.16;
590.891 30.0S<
44,7181 5.500.000
10.012.092
94.694
239,295.762
104.053.324
88,437,918
71.076,999
198,876,675
40.447.794
169,2a5,445
180,760.624
394,670,013
1 36,6^5,808
87,917,542
92,904,197
75,693,920
126,4 6.060
27..591,3I2
V
13.647.012 23.408.874
2.652.8S1
5.683.531
16.052.395
94 696,502 14.972,304
1 2.744.041
18!.024 I24,60<
184,585 5,767,623
1.286,917
T
5.231,801 7.465.486
711.237 2.217.415] l.OOO.OOO
55,220.088
1 1.766.491
193,035
5.253.972 6.774.332
699.714; 7.744.4061
47.928.463;
, 1,900.402
196.850] 97,10(
32.738 2.926 068
5,415,249 7,139,646
899.:i8, 4.517.201;
37,7H1,3021
1.182.491
27.989 S52.0M
3,52.900 1.694.181
4.917
8,4a5,954 13,322.048
3.790.601; K.SSl.SSol 4,609,230
115,513,7291 1,561,588
4.325,1.55
l.'!34.1S:l| 625,584 700.583 3,625 863
2,694,529 4 076 662
2,347.8,52, 9,269.897
12,818.6601
1,367,806
127.423] 7,.^00 15.620 373,778
8.790.636 11,900,843
3.581,988 5.418,177 3.119,133
80,582,540 4 496,-2.51
1.296.864 6.351.312
162.4031 229,079 135,499 98S,%9
13,101,55620,737,620
6,059,204 21.434, 844; 34,274,934
213.094.465
•6,863,226
5.150.158
12.970.148
!47,916l 514.901 190,501 6,617,095
19
12,808.172 21,400,126
16.117,439 12,899,573 44,962,994
176,733,431
I02674.2I(
I07.40S
6.9O6.570
420,381 1 966,349 42.68ol 9,198,425
17.228.647
4.832.474 9.907.916
1.774.514 S.451.013' 4.049.454
71,1S2.20<
841.99:
S0.S,9O4
I76.490i 5,4'23, 19,22^1 5,948,944
2-334.915
12
13
2.314.'i44 6.371.083
435.620 6.920,221;
51,563.49!
549,971
2,5i)6.2S0
189,927: 4,55,626 185.429] 2,805.732
4.405.0731 7,067.128
753.432 3.29i.,363 300.000
56,044,2O<
1.968,704
348.724 ; 69.7.50l 1,629.959 58.462
40.503,7.5;
2.403,228
.56,934' 29P,348 167,6481 2.766,845i 148.877
6,173.884 10.744.863
415.081, .3,722.163
1.009.000
66.105.698
267.693
4,227,742
651.315 499.894 434.588, 5,114.529; 213.472
653.336
1.6.%.929 1.369,508
9,184,511 3.124,088
278,003; 2r3,589
121,250951,196671950
1.661 238; 1,384 06S
14.7.52.984
8.168.278
2.154.025
24.788
436 379
394,015
116,328
90..590, 63.-209 98.694 997.839]
7.645' 1 485.851] 11.020
213.327
66,218
156,800; 14,976 18,738
202.597
''
47,050,105
108471340
218.183.194
1.3S7.973.1I8
I69677C57
10.S71.8IS
6S.487.I71
4.%I,520
4,282,681
2.693.896
60.467.669
48.763.093
3,121.551
3,116,896,351
Of the deposit in Central Gold Reserves $9,502,533 i
n; the balance is in Dominion Notes,
J. C. SAUNDERS, Deputy Minister of Finance.
Capital and Reserves
Additions to capital and reserves last month were made
largely by the Royal Bank, as the follcwing figures vrill
shew: —
Capital Capital
Bank- subscribed- paid up. Reserve.
Royal $406,,500 $.547,120 $1,840,565
Hamilton 33,000 56,590 28,295
Merchants 29,712
Provinciale 10,760
Sterling 2
Hochelaga 100,000
Union 400,000
Totals $439,500 $644,184 $2,368,860
A decline in the account, "Canadian municipal and
British, foreign and colonial securities," of more than $5,-
000,000 was chiefly due to the repayment by the British gov-
ernment of the loans obtained from Canadian banks early
in the war for the purchase of wheat and munitions. These
loans -will be paid off at the rate of $5,000,000, and some-
times $10,000,000, a month, in the future, according to ar-
rangements recently made, so that the above-mentioned
account will show reductions accordingly.
The "greatest amount of circulation during the month"
was about $1,000,000 above the total in the month of October,
but the figure at the end of the month was only $234,339,923,
as compared with $249,165,707 at the end of the previous
month.
Deposits in Central Gold Reser\'es decreased from $119,-
202,533 at the end of October to $114,902,533 at the end of
November, in accordance with the change in circulation.
Five banks report a good year's business. 1921 -will,
however, be one which will put them to a more severe test.
THE MONETARY TIMES
Volume 65.
NATIONAL DKBT WILL BE REFUNDED
Time I"or Kc-paj ment Must Extend Far Beyond Maturities
of Bunds — Receipts and Expenditures Now on
(ircater Scale
(Special to Tlic Monetary Times.)
Ottawa, December ^^0, 1920.
FROM a financial standpoint the year 1920 has been a
critical year for the Dominion government, although it
is begrinning to turn the corner. For the first time since
1914 it had to renounce national borrowing as the mea^ns
of meeting extraordinary expenditures. It had to get some-
how enough revenue to meet current expenditures of admin-
istration, interest charges and- works undertaken on capital
account. For that purpose new taxes were levied, the so-
called luxury taxes which have now been abandoned, and the
sales tax collected from manufacturers, wholesalers and im-
poi-ters. This was breaking new ground for Canada, and the
government could not tell just how much money these taxes
would bring in. It was estimated that they would add about
$8.5,000,000 to the national revenue, but it is believed that
the budget address of Sir Henry Drayton at the session of
parliament, which is expected to commence during the week
of February 14-18 next, will show an increase of well over
$100,000,000 in revenue received. This is in spite of the
abandonment of the luxury taxes, the increased exemption
of profits from the Excess Profits Tax, &nd the decreased
receipts from sales, customs and other taxes as a result of
the declining prices for many articles.
However, against this increase he will also l)c obliged to
set increased expenditures on account of larger interest
charges than had to be paid last yeiM-, and a heavier drain
for pensions, soldiers' civil re-establishment and in general
expenses. Soldiers' Land Settlement expenditures, however,
will be about a million dollars less a month than they were
last year. Ordinary expenditures will probably be thirty
million dollars more than lE'St year.
War Expenses Over
The great difference in the situation, of course, is that
the Dominion no longer has to pay hundreds of millions of
dollars each year on account of the war. Aside from the
indirect expenditures resulting from the war, there will be
less than ten million dollars directly spent on the war in
1920. Anxious eyes, however, view the railway situation,
a* one that may possibly open up other avenues of increas-
ing the public debt. It is commonly expected here that the
Canadian National Railway deficit this year will not be far
from sixty million dollars. This will have to be made up by
the Dominion government either in the form of a loan, as it
has done in recent years, or by simply making up the deficit.
The last few months hi>ve shown better results than earlier
in the year as a result of the increased freight rates, but it
was taken from the company before they began to earn it
in order to pay the increased wages retroactive to May 1
last, allowed the men under the agreement by which they
would be given increases simil&r to those accorded under the
McAdoo award. The huge debt piled up on account of the
railways is not included in the three billion dollar gross debt
of the Dominion of Canada, as these are treated as debts
of the railways. Yet the Dominion government will now
have to foot the bill for all deficits and meet all principa-l
and interest payments which the companies cannot meet out
of receipts. There will be a demand at the coming session of
parliament for a statement as to the exact situation with
regard to all railways owned by the Dominion government,
including the Grand Trunk Railway, the whole cost of which
will not be known until the arbitration board makes its
award. Unless there is a quick betterment in the situation,
the Dominion will have to stop making annual loans to its
railways unless it provides the money out of tS'Xation in
addition to a sinking fund to write off the national debt.
Debt Will be Refunded
It is thoroughly understood here that the payment of the
national debt is a" refunding proposition. Finance depart-
ment officials have estimated that the national debt can be
extinguished in seventy-five yeM-s by the setting aside of
seven and a-half million dollars a year into a sinking fund
erxh year, and left to increase at compound interest, until
such times as payments become advisable. The present in-
terest payments are $141,000,000 a year. While the depaat-
ment has not decided on the seven and a-half million dollars
a year as a hard and fast policy, that amount is regarded
as £• minimum. Next year two amounts fall due, the Do-
minion having to pay in New York, or renew, a 5% per cent,
loan for $1.5,000,000, falling due on August 1, 1921, and a .5
per cent, loan of $25,000,000 falling due on October 1. The
experience of this year shows that these can be met if ex-
change conditions ma^ke payment advisable, or if gold sup-
plies are sufficient to permit a shipment. Otherwise these
also can be refunded.
The situation, however, is such that the Canadian people
can advance into 1921, knowing that though the load is
heavy, it is well within their strength, and that increasing
popuk'tion from decade to decade will make it progressively
lighter and lighter in its individual incidence.
NATIONAL CITY COMPANY'S CANADIAN BOARD
The National City Co. announces the appointment of a
purely Canadian advisory board. The personnel of thi's ad-
visory board, drawn in part from among five of the leading
bu'nking institutions in Canada, is as follows: Rt. Hon. Lord
Shaughnessy, K!C.V.O., Montreal, chairman of the board of
the Canadian Pacific Railway, and a director of the Bank
of Montreal, who will act as chairman of the advisory boa^rd:
Sir Lomer Gouin, K.C.M.G., former premier of Quebec pro-
vince, director of the Bank of Montreal and the Laurentide
Co., and president of the University of Montreal; Martial
Chevalier, the general manager of the Credit Foncier and
Chevalier de la- Legion d'Honneur; Lt.-Col. Herbert Molson.
C.M.G., M.C., Montreal, director of the Bank of Montreal and
the Royal Trust Co.; Sir John Aird, Toronto, vice-president
and general manager of the Canadian Bank of Commerce:
Edson L. Pease, managing director of the Royal Bank of
Canada; W. N. Tilley, K.C., counsel for the Dominion gov-
ernment in the Grand Trunk arbitration proceedings; Sir
Augustus Nanton, Winnipeg, senior member of the firm of
Osier, Hammond and Nanton, and president of the Winnipeg
Electric Railway Co.
As a Canadian organization the history of the National
City Co. began in December, 1918, when Norma-n L. C. Mather
joined the company in the capacity of manager for Canada.
The Montreal office was opened in January, 1919, and the
following month a branch office was opened in Toronto.
While the original purpose of the entry of the company
into the Canadian field included the distribution in Canada
of some of the more active securities of United States origin,
the embargo and exchange have combined to limit the ac-
tivities of the company to the purchase and distribution of
Canadian securities. It is to this field that the National
City Co.' will devote its energies, and endeavor to open the
way fdr the investment of United Sta-tes capital in. this
country and otherwise to promote the distribution of Cana-
dian securities through its other widespread connections.
SUBSCRIBERS, ATTENTION !
One of our customers is desirous of secui-ing copies og
rih- Mom-Uiry T'lims for June 4, June 11 and June 18, but'
owing to the scarcity of these issues, we are unable to supply
him. If any subscriber has any of these copies to spare, we
would appreciate receiving them without delay. Those oblig-.
ing will have their subscription extended one month.
December 31. 1920
THE MONETARY TIMES
Trade Review and Insurance Chronicle
of Canada
Address : Corner Church and Court Streets, Toronto. Ontario, Canada.
Telephone: Main 7404, Branch Exchange connecting all departments.
Cable Address: "Montimes, Toronto."
Winnipeg Office: 1206 McArthor Building. Telephone Main 3409.
G. W. Goodall, Western Manager.
One Year
$3.oe
SUBSCRIPTION RATES
Six Months Three Months
$1.75 $1.00
Single Cop;
10 Cents
ADVERTISING RATES UPON REQUEST.
The Monetary Times was established* in 1867, the year of Confedera-
tion. It absorbed in 1869 The Intercolonial Journal of Commerce, of
Montreal : in 1870 The Trade Review, of Montreal ; and the Toronto
Journal of Commerce.
The Monetary Times does not necessarily endorse the statements and
opinions of its correspondents, nor does it hold itself responsible therefor.
The Monetary Times invites information from its readers to aid in ex-
cluding from it^ columns fraudulent and objectionable advertisements. All
information will be treated confidentially.
SUBSCRIBERS PLEASE NOTE:
When changing your mailing instructions, be sure to state fully both
your old and your new address.
All mailed papers are sent direct to Friday evening trains. Any sub.
scriber who receives his paper late will confer a favor by complaining to
the circulation department.
PRINCIPAL CONTENTS
Editorial : page
The Industrial Situation and Outlook 9
What Government Costs 9
The Tariff and Finance ' 10
Keep Accounts for Income Tax 10
Special Articles:
Fisheries Production in Canada 14
Further Points in Promoting Foreign Trade IS
Old and Now Methods in Bank Advertising 26
When Trustee .-^cts for Infant Beneficiary 30
Monthly Depart.ments :
November Bank Statement -5
Government Currency 14
Montreal and Quebec Savings Institutions 22
Wholesale Prices in November 24
Trade of -Canada 24
Weekly Dep.^rtments:
News of Industrial Development in Canada .32
News of Municipal Finance 36
Government and Municipal Bond Market 38
Corporation Securities Market 42
The Stock Markets 44
Corporation Finance 45
Recent Fires 48
THE INDUSTRIAL SITUATION AND OUTLOOK
THE end of 1920 finds the world in an economic turmoil
more vexing than any hitherto experienced. The
momentum of business due to the speeding up during war
time carried industrial expansion to unsafe heights. Now the
pendulum has swung perhaps too far the other way, with
prices that still trend sharply downward, resulting in stagna-
tion of trade and industry, reduction of wages and output,
and an uncomfortable amount of unemployment. The extent
of the shrinkage in market values, as measured by one index
table, is nearly twenty-five per cent., compared with the high
figures of February. Naturally a decline so abrupt has
caused distress and loss, and the business world is anxious
and irritable. Cancellation of orders and repudiation of
contracts has become so general as to receive serious atten-
tion from business organizations and others, who point out
that a return of old-tashioned morality is necessary if the
integrity of busine.-s relations is to be maintained.
Some of the causes of deflation are readily apparent.
The tremendous ascent of prices placed a world-wide strain
upon credit, resulting in a 'climax which forced the liquida-
tion of commodities. Depreciation of foreign exchanges, mak-
ing it expensive for other nations to buy in America, slowed
down export trade, making it necessary for sellers of mer-
chandise to seek local markets. Consumers hesitated to buy
when prices were going down, hoping and expecting they
would go still lower. .A,dded to this condition, the unpre-
cedented decline in grain, livestock and other farm products
cut off a gi-eat part of the spending power in agricultural
areas, which resulted in a curtailment of trade, diminished
orders for goods, cessation of work at factories, and the lay-
ing off of thousands of workmen. The stream of commerce,
bearing merchandise smoothly and in orderly fashion to
points of consumption, jammed, backed up, and became a
lake.
How long this situation will continue can only be con-
jectured. Many observers believe the period of transition is
almost past, that a new trading level has been established
and the stream will soon move on again in a normal way
but with flow somewhat diminished. People must continue
to eat and wear clothes and go to the movies and write with
fountain pens and ride in flivvers, and the normal volume
of business required to satisfy their wants is very large.
Standards of living are not likely to be lowered except under
dire necessity. There is plenty of nearly everything, in-
cluding credit, to give all a reasonable share, and the country
is not going to the dogs. Maybe it will be necessary to
liuckle down to hard work, but that is salutary after the
rather easy conditions of the past few years.
WH.VT (;OVERN.MENT COSTS
C.\NADA, being far removed from the scene of the recent
world war, escaped direct property loss from it, and
being one of the less active participants, did not incur ex-
penditures in proportion to those incurred by the larger
belligerents. These factors, together with the industrial
activity which obtained here, prevented our war burden from
becoming too cumbersome. Nevertheless, a comparison pre-
pared by the League of Nations shows Canada to stand
fairly high as regards cost of government. This comparison,
as summarized in the Liberty National Bank of New York
Index, is as follows: —
(In Millions)
Estimated Percentage
Unit of Pre-war expenditure increase in
Nation. currency. expenditure. 1920. expenditure.
Germany Mark [3,520.9] [52,400] -1-1,488
France Franc [5,066.9] 48,995.4 4- 867
Italy Lira [2,765] 24,670 -t- 792
U.S.A S [735.1] [.5,032*] [-!- 684*]
United Kingdom £ [197.5] 1,184 -I- 500
Canada S [144.5] [.537] + 272
Japan Yen [573.6] 1,563.9 -t- 172
Note: Figures in brackets are not from governmental sources.
•Based on actual expenditure during first four months, current fiscal
THE MONETARY TIMES
The extent to which this increase is due to war debt is
shown by the following comparison: —
Percentage of
estimated 1920
expenditure
Uequired for required
Int and S.-F. of Int. and S.-F. for Int. and
Pre-War Debt, of Debt in 1020. S.-F. of Debt.
Germany 1239.4] [12,400] 23.6
France [1,287] 11,463 23.4
Italy [688] 5,346 21.7
U.S.A [26.9] 1,052 [20.9]
United Kingdom . . [32.7] 345 ^ 29.1
Canada [14.75]
Japan [142.6] 94.5 6.0
The position of France is due not only to the great rise
of prices in that country, but also in part to the fact that
fourteen billions of francs are included in the estimate of
expenditures for 1920 for restoration o£ war devastated
areas. There are other variables with respect to other coun-
tries, but on the whole the comparison is a reasonable one.
The following table shows the combined direct and in-
direct taxation per head in six of the priiicipal nations.
These figures, with the exception of the last column, are
also derived from publications by the League of Nations in
connection with the Brussels Financial Conference.
Ta.\ation Taxation
per head per head
in $ at in $ at
Unit of Taxation par of present
currency. per head. exchange. exchange.
Germany Mark 474.9 115.1 6.5
United Kingdom ... £ 22.2 107. 76.5
France Franc 416.8 80.4 24.5
USA $ 56.5 56.5 56.5
Italy Lira 94.8 19.3 3.3
Japan Yen 11.3 5.6 5.7
THE TARIFF AND FINANCE
FIN.'VNCIAL institutions have no cause to fear any tariff
reduction movement which may attain political power
in Canada. Apart from fixed investments already made,
capital can in fact stand aloof from the protectionist strife.
In the final analysis it makes no difference to the investor
whether his funds go towards the development of primary
industries or manufactures; what he does look for, however,
is a reasonably stable public policy, so that an industry may
not enjoy substantial protection in one year, and be sud-
denly faced with open competition the next year; and he is
also interested in maximum productivity, for the greater
the return from industry the grciater will be his interest or
profits.
Whether the expansion of the next few years is in the
country or in the city is not of gi-eat concern to insurance
companies. Life and most lines of casualty insurance are
written for individuals, while fire insurance is equally ad-
vantageous to the farmer and to the manufacturing and
trading company. During the past few years, in fact, bet-
ter results have been obtained from fire insurance in i-ural
communities than on city mercantile and manufacturing
risks, while a healthy rural development holds forth goo<l
prospects for a larger per capita average of life insurance
and a lower death ratio.
In banking also there is equal scope for expansion in
country and in city. Bank credits are liquid, and readily
move to wherever the demand for funds is the greatest and
the opportunities for profit the best. Even if some of the
l>anks may be closely tied up with manufacturing enterprises
which might be dealt a severe blow by tariff reduction, the
fact that their security is the stock in trade rather than the
fixed capital would protect them fi'om loss. Loan companies
look to the farms for a profitable investment field. Other
financial institution.":, such as trust companies and security
houses, are finding the farmers some of their best customers
at present.
While, therefore, those who are directly interested in
manufacturing- enterprises may well look with concern at
the rising power of the low tariff interests, there is no
identity of interest between capital as a whole, or financial
institutions, and manufacturing. The shrewd investor will
merely keep an eye to the future, knowing well the uncertain
basis upon which a large part of our manufacturing rests,
and the tremendous impetus which would be given to agri-
cultural development, and to the industries of the forests,
the mines and the fisheries, by a tariff reduction with its
resulting lower costs of operation.
KEEP ACCOUNTS FOR INCOME TAX
AS the new year approaches, the Royal Trust Company,
which has had great experience in the making of in-
come tax returns for its clients, issues a timely warning.
Many of the difficulties which taxpayers find themselves in,
as the company says, are due to defective bookkeeping. Now
the Income Tax Act expressly declares that "If a taxpayer
fails or refuses to keep adequate books or accounts for in-
come tax purposes, the minister of finance may require the
taxpayer to keep such records and accounts as he may pre-
scribe."
Don't wait for Sir Henry Drayton to "prescribe" for
you. Make up your own prescription, and take it. Now is
the time to begin, for the tax has to be calculated on the
income of every calendar year, opening on January 1.
Wholesale prices are now below their level of a year ago.
The post-war rise in prices, which was the most rapid if not
the most extended, will soon be entirely lost.
Contraction in business is already indicated by the No-
vember bank statement. Savings deposits, call loans out-
side of Canada and circulation are the only important ac-
counts to show incre&ses.
Falling prices are sure to bring a reduction in trade,
banking and other measures of business activity. It is not
the monetary value but the actual amount of commodity
trading which counts, however. As the article in last week's
issue shows, much of the supposed war-time growth was
merely a matter of figures, emphasizing the famous remark
that "there are three kinds of lies, namely, ordinary lies,
damned lies, and statistics."
Reductio ad Absurdum
The Scarbora', Ont., Public Utility Commission, in an..^
effort to relieve loc&l unemployment, has decided to lay
water mains by hand this winter, instead of by the quickeri
and more efllcient method of the ditching machine. This
brilliant solution may be effective locally, but let us hope
that it is not carried too far. It recalls the following story: —
With a clatter and a roar the steam shovel dug its re-
lentless claws into the b;;nk, picked up about a carload of
earth and dumped it into a waiting truck.
"That's just it," sneered a tired-looking man who was
standing by. "It makes me wild to see a piece of machinery
taking the bread out of honest men's mouths."
"Don't quite see how you make that out!" remarked the
foreman in charge of the ga^ng.
"Well, isn't that machine doing the work quicker than
100 men with picks and shovels could do it?"
"That's so," agreed the foreman. "And, according to-
that argument, wouldn't it be better still to employ 10.000
men with toothpicks and salt spoons?"
December 31, 1920
THE MONETARY TIMES
Valuable Documents
Bonds, insurance policies and
other valuable documents should
not be kept at home where they
are likely to be lost or mislaid.
The Safety Deposit Boxes of
this Bank provide at a moderate
cost an excellent means of keep-
ing valuable papers.
THE CANADIAN BANK
OF COMMERCE
Head Office
Paid-up Capital
Reserve Fund
$15,OQO,000
$15,000,000
EXPORT TRADE
The extensive foreign con-
nections of this Bank enable
us to place at the disposal
of our customers the best
existing world-wide banking
facilities.
Our local Manager is in a
position to give you both
assistance and advice.
IMPERIAL BANK
OF CANADA
212 BRANCHES IN CANADA
Agents in Great Britain : — England — Lloyds
Bank, Limited, London, and Branches. Scot-
land — The Commercial Bank of Scotland,
Limited, Edinburgh and Branches. Ireland —
Bank of Ireland, Dublin, and Branches.
Agents in France: — Credit Lyonnais, Lloyds and
National Provincial Foreign Bank, Limited.
The Bond
Between
Bank and
Farm
CTIMULATION of agricultural pursuits
is essential to the welfare of the
Dominion. This Bank plays its part as
a national institution by lending every
effort and its vast resources to support
agricultural activity to the utmost.
Those interested in any enter-
prise of the soil are invited to
confer with our branch managers.
UNION BANK
OF CANADA
THE
Bank of Nova Scotia
Established
1832
Capital
.
$9,700,000
Reserve
$18,000,000
Total Assets
$230,000,000
GENERAL OFFICE . TORONTO, ONT.
H. A. Richardson, General Manager
Branches at all the principal centres
throughout Canada and in Newfound-
land, Cuba, Porto Rico, Dominican
Republic, Jamaica, and in the United
States at
BOSTON CHICAGO NEW YORK
London, Eng., Branch:
55. OLD BROAD STREET. E.C,2
THE MONETARY TIMES
Volume 65.
PERSONAL NOTES
Sir William Mackknzie returned home from London.
England, on December 23.
A. H. Williamson, manag-er of the Winnipen- oflice of
Wood, Gundy and Company, investment bankers, has been
elected a member of the Winnipeg Stock E.xchange.
R, J. FOLLIS, of Carmangay, Alta., has been appointed
treasurer of the town of Bassano, Alta. Mr. FoUis was
president of the board of trade and justice of the peace at
Carmangay.
W. C. MuiR was recently appointed general manager of
the Canadian National Express Company, with headquarter.s
at Winnipeg. He
was formerly
general superin-
tendent of the
c o m p a n y . The
Canadian Nation-
al Express Com-
pany's business
has been adjusted
in accordance with
the reorganization
of the Canadian
National Railway,
and it will handle
business to all
lestinations on the
lines of the Na-
tional railways.
Mr. Muir has been
'in the service for
many years and
now becomes the
active head of this
important branch.
The connections of
the National Rail-
ways in the west
are exteiiiive, mid an immense volume of business is handled
annually.
J. B. Hall has been appointed manager of the Toronto
branch of the Manufacturers' Life Insurance Company. Mr.
Hall has been continuously in the city in business for
twenty-one years. He has been an energetic worker on be-
half of the Life Underwriters' Association of Canada, being
at present, chairman of the executive committee. With Mr.
Hall will be associated Walter B. Peace as inspector who
also is a well known life insurance man of the city.
OBITUARY
William J. Vale, for 29 years deputy superintendent oi
insurance companies and loan corporations for Ontario, and
registrar of lodges and societies, died this week at his home
in Toronto. He had been suffering from heart trouble for
some months past. Mr. Vale was born in Woolwich, Eng-
land, 71 years ago. He came to Canada as a boy, attended
school in Hamilton and later became associated with the
H<niiill())i Tiinrs. Twenty-nine years ago he moved to Tor-
onto and had lived in this city ever since.
The contract for the construction of the drydock at Es-
Muimnlt. B.C.. has been let. The firm of P. Lyall and Son,
Montreal and Vancouver, were the successful bidders on the
Miige work, the accented tender being approximately $4,M00,-
1100, about S'i.0nO,000 less than the government e.stimatc.
Hartland B. MacDougall
NEW MONTREAL BROKERAGE FIRM
Announcement has been made that Major Hartland B.
MacDougall and R. E. MacDougall have formed a partner-
ship to engage in the
brokerage business in
Montreal early in the
new year. The name
of the new company
has not yet been de-
cided upon.
Both men are well
known in financial and
stock circles of Mont-
real. Major Mac-
Dougall was born in
Montreal March, 1876.
He was with the Bank
of Montreal in 1894,
joined the stock brok-
erage house of C.
Meredith and Com-
pany in 1899, and has
been a partner since
1908. He was elected
a member of the Mont-
real Stock Exchange in
1906, was made gov-
ernor in 1909, and was
president in 1914. He
went to France in 191.5 as captain in the 42nd regiment, and
was recalled in January, 1918, to proceed to the United
States a s D.A.A.G.
to the British Mili-
tary Mission. R. E.
MacDougall is with
O'Brien and Williams,
stock brokers, and has
been connected with
the brokerage business
in Montreal for a num-
ber of years.
The organization
of this firm is another
indication of financial
activity in Monti-eal,
numerous changes of
this kind having- taken
place during the past
year. While bond trad-
ing in Toronto is
greater than in Mont-
real, the amount sold
on the two exchanges
during the week ended
December 22 being
.$2,7.54,500 and $1,67K-
018 i-espectively. The
leadership of Montreal
as a stock centre is shown by the fact that during^ the same
week 89,023 shares wei-e handled on the Montreal exchange,
compared with 15,654 in Toronto.
R. f:. MacDougall
HAD MONEY IN WINNIPEG
Hundreds of dollars in worthless money is believed to
have been passed in Winnipeg recently. Ten business firms
reported the receipt of altered money on December 20, and.
a steady How of complaints continued. The money was,
passed during the rush hours, and consisted of altered $1
United States currency bills. The alterations were made by
obliterating the one and pasting in the bill a 10 or 20 taken
from an inland revenue stamp.
December 31, 1920
THE MONETARY TIMES
13
smnnimmufliminiuiiiiaiimminoiHui
uiiimiiiiiHUTiiinnmiiiiiriiiiiiiiiiiiiiiii hiiii iiiimirnmnnntte
I The Sterling Bank |
I OF CANADA |
aiiiiiiiiiiiiiiiiiiiiiiiiiiiNiiiiiiiimiiiiiiiniiiniiiiiiiirifiiiitiiiiiiiiiiiiiiiiiiininimniinniDinMniiiiiniiiiiiiiiniiniiiniiiuiiiiiiiumiiiib^
Following its policy of personal Service, the
Sterling Bank will gladly render helpful advice
of a financial or investment nature, or obtain, if
possible, any information you require along
these lines which we do not possess.
Head Office
KING AND BAY STREETS, TORONTO
The National Bank of Scotland
Limited
Incorporated by Koyal Charter and Act of Parliament. Estabi.eshed 1825
Capital Subscribed /5, 000.000 «25,000,000
Paid up 1,100,000 5,500,000
Uncalled 3.900,000 19,500,000
Reserve Fund '. 1,000,000 5 000,000
Head Office - EDINBURGH
WILLIAM CARNEGIE, General Manager. GEORGE A. HUNTER, Sec.
LONDON OFFICE— 37 NICHOLAS LANE, LOMBARD ST., E.C.4
T. C. RIDDELL, DUGALD SMITH.
.Manager Assistant Manager
The agency of Colonial and Foreign Banks is undertaken, and the Accep-
tances of Customers residing in the Colonies domiciled in London, are
retired on terms which will be furnished on application.
Convenience
of Clients
Accurate accounting and
regular detailed statement
for Clients form an integ-
ral part of this Company's
methods.
THE BANKERS
mVST CDMB^NY
Head Offices: MONTREAL
Authorized Capital $1,000,000
Nine Branches throughout Canada
Premises in the Merchants Bank Building in each city
Commonwealtb Banf? of Hustralia
All classes of GENERAL AND SAVINGS BANK busin
acted in all the principal cities and towns of Australi:
London.
JAS. KELL.
Deputy Governo
DKXISOX MILLER.
Governor
THE
Weyburn Security Bank
Chartered by Act of the Dominion Parliament
head office. weyburn. saskatchewan
Branches in Sask.vtchevvan at
Weyburn. Yellow Grass, McTaggart, Halbrite, Midale
GrifEn, Colgate, Panguian, Radville, Assiiiiboia, Benson,
Verwood, Readlyn, Tribune, Expanse, Mossbank, Vantage,
Goodwater, Darmody,' Stoughton, Osage, Creelman and
Lewvan.
A GENHRAL BANKING BUSINESS TRANSACTED
H. O. HOWELL. General Manager
National Trust Company
Limited
DIVIDEND NOTICE
Notice is hereby given that a Dividend for the
three months eiiding December 31st. 1920, at
the rate of
TWELVE PER CENT. PER ANNUM
has been declared on the paid-up Capital
Stock of the Company, and that same will be
payable on and after January 2nd, 192L
The Transfer Books will be closed from the
21st to the 31st of December, both days
inclusive.
By order of the Board.
W E. F^UNDLE,
General Manager.
Toronto. December 1st, 1920.
THE MONETARY TIMES
Volume 65.
FISHEKIKS PRODUCTION IN CANADA
.decrease in 1!)1!) from $60,250,544 to $56,485,579— Salmon
Heads List in Respect to Value
THE total value of fish marketed fresh' and of fish pro-
ducts in Canada in 1919 was $56,485,579, compared
with $60,250,544 in 1918, according: to a statement of the
Dominion Bureau of Statistics. Sardines and herring showed
the largest decreases both in value marketed and quantity
caught. The catch of haddock, halibut and cod was greater
in 1919 than in 1918, while the value marketed was less.
Salmon, lobsters and mackerel showed increases both in
quantity caught and in value marketed. British Columbia
fisheries had a value of $25,.301,607, which is a decrease from
1918 of nearly two million dollars. Nova Scotia fisheries
were valued at $15,171,929, a slight increase over 1918.
Prince Edward Island, Ontario, Saskatchewan and Alberta
showed increases in value, while New Brunswick, Quebec,
Manitoba and Yukon showed decreases.
Canned Salmon Chief Product
Of the principal fish products, canned salmon is given at
1,.394,215 cases valued at $13,842,140 in 1919, a slight de-
crease both in quantity and value from 1918. Canned lobsters
were reported at 128,759 eases valued at $4,095,934 in 1919,
compared with 107.812 cases valued at $2,254,690 in 1918.
The quantity of canned sardines was 119,225 cases valued
at $593,811 in 1919, compared with 177,193 cases valued at
$1,227,988 in 1918. Increases in quantity and market value
are noted in dried cod and salted mackerel, and decreases
in green salted cod and pickled herring. Of fish niarketetl
for consumption fresh, the principal varieties in point of
value were halibut, 240,728 cwt, valued at $5,114,416; sal-
mon, 460,413 cwt, valued at $3,824,158; whitefish 196,953
cwt., valued at $1,845,854; lobsters, 85,340 cwt., valued at
$1,224,882. Other varieties which showed large quantities
marketed for consumption fresh were mackerel, herring, cod,
smelts trout and haddock.
The following table gives a brief summary of the
statistics of production for 1919 with comparative figures
for 1918.
Quantities Caught and Values Marketed of Chief
Commercial Fishes, 1918 and 1919
1918.
1919
1.
Quantity
Value
Quantity
Value
Kinds of fish.
caught.
marketed.
caught.
marketed.
Salmon, cwt.
1,531,773 $17,869,517 1,688,653 $17,889,913
Cod, cwt
2,206,666
10,083,562
2,606,770
9,986 837
Lobsters, cwt.
264,096
3,531,104
345,806
5,338,343
Halibut, cwt. . .
207,139
5,490,226
243,449
5,119,842
Herring, cwt. . .
1,973,669
4,719,561
1,573,986
3,346,580
Haddock, cwt. . .
554,366
2,796,171
564,574
2,048,746
Mackerel, cwt. .
196,781
1,937,211
229,877
2,035,849
Whitefish, cwt. .
205,044
1,927,863
197,403
1,849,741
Trout, cwt
86,608
808,770
68,670
862,906
Smelts, cwt. . . .
87,555
971,206
75,271
835,195
Sardines, bbls. .
295,770
2,320,513
214,.525
830,074
Hake, cusk, cwt.
245,051
844,565
244,749
645,570
Pickerel, cwt. . .
70,088
649.180
61,727
582,744
CANADA COPPER PL.\NT CLOSED
Canada Copper Corp. has shut down its new plant at
AUenby, B.C. This is due to low price of copper, which at
|iresent does not permit operation at satisfactory profit.
l>uring the six weeks that the mill has been in operation,
operating results have proved quite sa^ti.sfactory, considering
•he short time that the plant had to get tuned up. .'\t the
time of shutting the mill down, December 12, 1,200 tons of
ore were being treated a day. Average grade of ore was
2 per cent, copper, recovery 80 per cent., and grade of con-
centrates 29 per cent, copper.
GOVERNMENT CURRENCY
An increase of nearly $7,000,000 in the circulation of
Dominion notes and specie, is shown in the November state-
ment, which has just been issued by the federal government.
Gold held for the redemption of Dominion notes increased
from $95,222,381 at the end of October, to $96,021,001 at the
end of November. The increased circulation was issued
largely against approved securities, which increased from
$166,715,125 to $173,689,025. Details of the November state-
ment are as follows: —
Provincial S 27.743 25
Fractional 1.289.492 67
81 17.760,977 00
«■) ' 14,170.208 50
84 37.831 00
$S 6,016,540 00
850 3.800 00
SIOO
$500 • 2.7^8.000 00
81.000 4,713.00000
SSOO Legal Tender Notes for Banks 76.000 00
81,000 " " " 1,036,00000
8S.00O •■ ■■ ■• 229,780.000 00
$50,000 '■ '■ " 49,200.000 00
8326,839,592 42
Pron'Incial Notes.
81 $ 11,293 SO
gv 6.060 00
$5 4,219 75
810 2.180 00
820 840 00
850 650 00
8,S0O 2,500 00
»27,743 25
Reserves.
Gold held Nov. 30th. 1920. by the Minister of Finance 8100.002,203 09
Gold reserve to be held on Savings Banks Deposits —
10 p.c. on S39,S12.011.42 under The Savings Banks Act 3,981,201 14
Gold held for redemption of Dominion Notes « 96,021,001 95
Dominion Notes outstanding against deposits of approved secur-
ities, under Finance Act, 1914 8173,689,025 00
INSURANCE REGULATIONS IN BRITISH COLUMBIA
At a meeting of the Vancouver Island Life Underwriters'
Association, held on December 13, H. G. Garrett, provincial
superintendent of insurance, spoke briefly on "The Licensing
of Agents," and in opening his remarks he said that the
matter had been mooted in British Columbia, but that nothing
definite had as yet been done. His statements were not official,
he declared. As far as he knew, the government had no policy
in the matter.
Insurance, he pointed out, is not merely getting a living,
but it is beneficial. Life insurance always is regai'ded as a
public utility, and he declared that if companies are con-
trolled, there are arguments in favor of agents being con-
trolled also. There are laws in all the other provinces of the
Dominion of Canada, and similar ones in the United States.
Generally speaking, no agent is allowed to make a contract
unless ho is licensed, and he must be a resident of the pro-
vince or state in which he is working. Also, he must have
a written communication from his company. Mr. Garrett
said that there are various offences mentioned, as being in-
competent, untrustworthy or dishonest, and the agent is ex-
pected to state his experience and knowledge of life insur-
ance. It seemed to him that these laws were aiming at
agents who were untrustworthy, or dishonest, or transients.
All over Canada he said that pleasure had been expressed
over these regulations, but with regard to British Columbia,
the only law in force is the one that was passed this year,
licensing real estate agents.
He was of the conviction that if insurance men want
such laws passed, that they must show the real necessity for
them, and also that they are aware 'of the evils that exist.
Then they would have a means of dealing with them. If
passed, they should benefit, first, the public, then the agent,
and also should tend to elevate the general standard of public
business.
December 31, 1920
THE MONETARY TIMES
16
LONDON JOINT CITY & MIDLAND
BANK LIMITED
The Right Hon. R. McKENNA
Subscribed Capital
Paid-up Capital
Reserve Fund .
Deposits fjunssoifi. 1^20)
. £38,096,363
10,840,112
1 0.840,1 12
■ 367,667,322
HEAD OFnCCi
THREADNEEOLE STREET. LONDON. ^C I
■ ftS A W. OLD BROAD STBEET. LONDON. LC I
HomeBankofCanadai
LETTERS OF CREDIT ISSUED
Letters of Credit or Drafts issued to over 1.500 principal
points in the United Kingdom and the world-wide
British Ennpire and business centres of Europe and
Asia. The service is most complete and of unexcelled
efficiency.
Branches and Connections Throughout Canada
Head Office and Eleven Branches in Toronto it
LLOYDS BANK LIMITED,
HEAD OFFICE:
71, LOMBARD ST., LONDON, E.C. 3.
($5 = £1.)
CAPITAL SUBSCRIBED
- S353,396,900
CAPITAL PAID UP
70,679,380
RESERVE FUND - -
49,886,410
DEPOSITS, &c . -
- 1,621,541,195
ADVANCES, &c
821,977,505
THIS BANK HAS AliOJT 1,500 OFFICES IN ENGLAND & WALES.
Colonial and Foreign Department: 17, CO^NHILL, LONDO.V. E.G. 3. London Agency of the IMPERIAL BANK OF CANADA.
The Agency of Foreign and Colonial Banks is undertaken.
Affiliated EanVs : THE NATIONAL BANK OF SCOTLAND LTD. THE LONDON & RIVER PLATE BANK LTD.
Auxiliary: LLOYDS AND NATIONAL PROVINCIAL FOREIGN BANK LIMITED
TH€ MCRCHANTS BANK
Head Ofrice : Montreal. OF CANADA.
Established 1864.
Capital Paid-np, $8,400,000 Reserve Fund and Undivided Profits, $8,660,774
Total Deposits (SOth October, 1920) • Over $170,000,000
Total Assets (30tli October, 1920) - Over $209,000,000
Board of Directors ;
Sir F. OrrOrk- Lewis, Bart.
Hon. C. C. Ballantyne
F. Howard Wilson
SIR H. MONTAGU ALLAN
Farouhar Robertson
Geo. L. Cains
Alfred B. Evan.<;
Vice-President
Thomas Ahf.arn
Lt -Col. J. R. Moodie
Hon. Lorne C. Webster
A. J. DAWES
E. W. Kneeland
Gordon M. McGregor
General Manager - - D. C. Macarow
Supt. of Branches and Chief Inspector : T. E. Merrett
General Supervisor - - W. A. Meldritm
AN ALLIANCE FOR LIFE
Many of the large Corporations and Their banking connection is for life —
Business Houses w^ho bank exclus- yet the only bonds that bind them to
ively with this institution have done this bank are the ties of service, pro-
SO since their beginning. gressiveness, promptness and sound advice.
399 Branches in Canada, extending irom the Atlantic to the Pacific
New York Agency : 63 and 65 Wall Street : W. M. Ramsay and C. J. Crookall, Agenis
London, England, Office, 53 Cornhill: J. B. Donnelly, D.S.O., Manager
Bankers in Great Britain : The London Joint City & Midland Bank, Limited, The Royal Bank of Scotland
THE MONETARY TIMES
Volume 65.
HANK BRANCH NOTES
A. W. IlyiKlniaii, manager of the Royal Bank of Canada
at Chailottetown, has been appointed assistant supervisor
for the iMaritime provinces, with headquarters at Halifax.
N. W. Murray, who was the accountant in the office of the
Royal Bank in Saskatoon, has arrived in Winnipeg, and has
taken over a position in the office of the supervisor of western
l)ranches.
The new premises of the Kelvin St., Klmwood, branch
'if the Canadian Bank of Clommerce in Winnipeg:, has been
opened for business.
The Molsons Bank ha* moved from the premises in the
Kulton Block, Chestervillc, Ont., into the new offices in the
buildinR recently purchased from Mrs. Chester Casselman.
The Sterling Bank of Canada at Sombra, Ont., was com-
pletely demolished on Oecember 25 by an explosion of nat-
ural gas which had escaped into the building from a gas
main.
EXCHANGK QUOTATIONS
Glazebrook and Cronyn, exchange and bond brokers,
Toronto, report local exchange rates as follows :^ —
Sellers.
15% pm
Par.
Counter.
Vs to Vt
$4.07
4.08
Buyers.
N.Y. funds 15% pm
Mont, funds 54 dis.
Sterling —
Demand $4.06
Cable transfers .... 4.07
Bank of England rate, 7 per cent.
New York quotations of exchange on European countries,
ipplied by the National City Co., Ltd., as at December 30,
:;i20, follow: London, cable, 353'/^; cheque, 352%; Paris,
lable, 5.!)4; cheque, 5.93; Italy, cable, 3.47; cheque, 3.46;
Belgium, cheque, (i.22; Swiss, cheque, 15.20; Spain, cheque,
13.50; Holland, cheque, 31.35; Denmark, cheque, 15.65; Nor-
way, cheque, 15.65; Sweden, cheque, 19.85; Berlin, cheque,
1.37',2; Greece, cheque, 17.00; B'inland, cheque, 7.25; Rou-
mania, cheque, 3.05; Poland, cheque, 1.25.
KAIl.KOAD EARNINGS
The following are the approximate gross earnings of Can-
ada's transcontinental railways for the first three weeks in
December: —
Canadian Pacific Railway
1920. 1919. Inc. or dec.
December 7 $5,215,000 $3,797,000 + $1,418,000
December 14 5,179,000 3,935,000 + 1,244,000
December 21 4,484,000 3,715,000 + 769,000
Canadian National Railway
December 7 $2,678,306 $2,050,134 + $ 628,172
December 14 . 2,.">.")0.249 1,898,694 ~ 651,5.55
December 21 2,600,174 1,982,080 -t^ 618,094
(irand Trunk Railway
December 7 $2,460,523 $1,845,848 + $ 614,675
December 14 2,441,248 1,832,822 + 608,426
l>ecember 21 2,231,757 1,767,231 + 464..526
CANADIAN BUSINESS FAILURES
The number of failures in the Dominion, as reported by
R. G. Dun and Co. during the week ended December 24, 1920,
in provinces, as comp&red with those of previous weeks and
corresponding weeks of last year, are as follows: —
Date.
O
6
<
n
03
H
fc
a
o
Eh
Dec. 24 . .
..10
15
2
1
6
0
0
3
0
37
Dec. 17 ..
. . 5
17
0
1
3
1
0
5
0
32
20
Dec. 10 . .
..12
17
0
1
2
2
1
7
0
42
16
Dec. 3 . .
.. 5
19
0
0
1
1
0
4
0
30
16
INSURANCE COMMISSIONS TO BE LIMITED
At a conference of fire insurance company managers
with the Ontario superintendent on December 16 it was
agreed that agents' commissions should be limited along the
lines set forth in the superintendent's statement, recently
printed in these columns. According to the proposed legis-
lation submitted from July 17, 1921, agency charges of the
fire insurance companies respecting applications for insur-
ance received from or through the agency of any licensed
agent or broker from any calendar month shall not exceed
in value an amount equal to 15 per cent, of the total amount
of the premium pad or payable ly the assured in respect of
Euch assurance.
WEEKLY BANK CLEARINGS
The following are the Bank Clearings for the week ended
December 30. compai-ed with the corresponding week last
year: —
Week ended Week ended
Dec. 30, '20. Dec. 31, '19. Changes.
Montreal $107,648,577 $122,130,601 - $14,482,024
Toronto 82,769,146 84,211,630 — 1,442,434
Winnipeg 60,694,810 44,170,822 + 16,523,988
Vancouver 16,777,284 12,425,144 + 4,352,140
Ottawa 7,569,697 9,394,614 - 1,824,917
Calgary 7,217,951 7,370,206 — 152,255
Ha-milton 5,871,282 5,894,305 — 23,023
Quebec 6,569,346 5,117,255 -f 1,452,091
Edmonton 4,693,531 5,181,156 -|- 487,625
Halifax 3,.328,563 3,957,919 - 629,356
London 2,793,106 2,938,653 — 145,547
Regina 4,300,806 3,874,216 + 426,590
St. John 2,707,817 2,995,117 — 287,300
Victoria 2,029,499
Saskatoon 1,939,577 1,962,977 — 23,400
Moo.se Jaw 1,.573,836 1,654,965 - 81,129
Brantford 1,149,124 1,025,810 + 123,314
Fort William .... 952,996 873,500 + 79,496
Lethbridge 729,442 729,955 — 513
Medicine Hat 435,729
New Westminster .588,689 525,206 + 63,483
Peterl)oro 867,863 765,701 + 102,162
Sherbrooke 1,072,566 970,664 + 101,902
Kitchener 957,926 941,415 + 16,511
Windsor 3,082,866 1,933,747 + 1,149,119
Prince Albert . . . 388,.593 484,999 - 96,406
Totals $326,245,394 $321,530,577 -f $ 4,714,817
Moncton 797,285
(OHALT ORE SHIPMENTS
The following are the shipments of ore, in pounds, fidrn
' obalt Station for the week ended December 24:- —
La Rose Mine. 60,691; McKinley Darr., 168,530; O'Brien
Mine. 136..575; total. 365,896. The "total since January 1 is
'".''27.017 lb., or 12, 76:!. 5 tons.
For posing, without a.uthority, as a sub-agent of the
Merchants' Casualty Co., Kenneth Cole was given six months'
miprisonment in Timmins, Ont., on December 23. Cole wrote
up about 60 policies, and was short about $300. W. H. Wil-
liams, local agent of the company, charged with theft of
some funds of the company, was let go on suspended sen-
tence.
December 31, 1920
THE MONETARY TIMES
AUSTRALIA and NEW ZEALAND
BANK OF NEW SOUTH WALES
(ESTABLISHED 1817)
PAID UP CAPITAL - jMk. ' ' ' 23.828.500.00
RESERVE FUND .... C^SteA ' " " " " " 16,375,000.00
RESERVE LIABILITY OF PROPRIETORS . .^Au^^^^lm ( . . . '. - 23 828 500 00
i<>«._^ ^ 64.032,000.00
AGGREGATE ASSETS 31st MARCH, 1920 - -•'vus>>' $377,721,211.00
Sir JOHN RUSSELL FRENCH, K.B.E.. General Manager
331 BRANCHES and AGENCIES in the Australian States. New Zealand, Fiji, Papua (New Guinea), and London. The Bank transacts every description
of Australian Banking Business. Wool and other Produce Credits arranged.
HEAD OFFICE: GEORGE STREET, SYDNEY. LONDON OFFICE: 29 THREADNEEDLE STREET, E.C.2.
AcKTs: BWK OF MONTREAL. ROYAL BANK OF CANADA
C S. GUNN & COMPANY
REAL ESTATE, INSURANCE. RENTAL AGENTS
805 Union Trust Building
WINNIPEG, MAN.
Members of Winnipeg Real Estate Exchange, Winnipeg Stock Exchange
George Edwards, P.C.A.
H Percival Edwards W. Pomerov
A. Geopfrev Edwards - Oswald N. i
T. J. Macxa.mara T. p. Geggie
K. A. iMAPP W. A. LOBIM
. Edwards, F,C. A.
\V. Herbert Thompson
Charles E. White
J. L, Atkjnso.n
John .M. Edwards
EDWARDS, MORGAN & CO.
CHARTERED
OFFICES
ACCOUNTANTS
TORONTO ..
CALGARY . .
VANCOUVER
WINNIPEG ..
MONTREAL
CORRESPONDENTS
HALIFAX, N.S. ST. JOHN. N.B.
LONDON. ENG. ■ PARIS, FRANCE
CANADIAN MORTGAGE BUILDING
HERALD BUILDING
LONDON BUILDING
ELECTRIC RAILWAY CHAMBERS
McGILL BUILDING
COBALT, ONT
NEW YORK, USA
ESTABLISHED 1879
Alloway & Champion
Bankers and Brokers
Members ot Winnipeg Stock Exchang
362 Main Street
Winnipeg
Stocks and Bonds bought
and sold on commission.
Winnipeg, Montreal, Toronto and New York Exchanges
APPOINT
THE
Toronto General Trusts
Corporation
Your Executor and Trustee
Established in 1882, this is the
oldest trust company in Canada.
The experience of its officers
and staff in administering estates
and trusts of every description,
guarantees to estates coming
under its care the efficient and
economic administration to
which your estate is entitled.
THE
TOROiSTOGEAERAlTRUSTS
CORPORATIOiS
Total Assets Exceed
HEAD OFFICE
$101,000,000
TORONTO
, Winnipeg, Saskatoon, Va
THE MONETARY TIMES
Further Points in Promoting Foreign Trade
Marine Insurance is Essential— Classes of Marine Insurance, and the Indem-
nities they Provide Refund of Duties— Getting Over the Language Difficulty-
Thorough Familiarity with Foreign Business Comes Only from Experience
By Col. C. R. HILL,
Managing Director, Hill and Co., Ltd.. Toronto
{Tim is the last of « series of eight (irtu-les on Piactieul Exporting, the first of which xvas published in
The Moiietoru Times of November 12, liliO.)
THERE are a few points with regard to marine insurance
that should be studied by the exporting manufacturer
for his own protection, as one slip ma.y prove expensive.
The ordinary policy covers the risk only when the goods are
actually on board ship and terminates with discharge at port
of destination, but is limited to certain occurrences and does
not include damage from chafing or wear and tear. Excep-
tional risks and extended protection must be specified when
application for insurance is made. For instance, if it is
noted that the ship's bill of lading indicates that the goods
are stowed on deck and not under deck, special insurance pro-
tection must be made. General Average clauses should also
be checked over as they are not applicable on certain classes
of goods such as grain, unless paid for as extra protection.
General Average clauses are important, as the following
interpretations will indicate: —
Free of Particular Average under 5 per cent. — means
that no claim for partial loss or damage will be allowed by
the insurance company unless the actual loss or damage
amounts to 5 per cent, or more of the amount for which the
shipment has been insured, as set forth in the policy.
"Free of Particular Average" (English conditions) —
means that no claim for partial loss or damage will be
allowed by the insurance company uidess the vessel, craft or
lighter carrying the goods be burnt, stranded, sunk or in
collision.
"Free of Particular Average" (American conditions) —
means that no claim for partial loss or damage will be
allowed by the insurance company unless the loss or damage
is caused by the vessel, craft or lighter having been burnt,
stranded, sunk, or in collision.
General Average — a loss arising from a sacrifice or ex-
traordinary expense purposely made or incurred for the pre-
servation of the ship and contents from danger, and includ-
ing the cost of measures taken for the prevention of a
greater loss. A loss sustained for the benefit of all, to
equalize which all contribute.
Adjustment of Losses
Owners of insured merchandise are reimbursed by the
underwriters on presentation of general average adjustment
statement. Goods not insured are held until the general
average is satisfied or its owners give bonds for this satis-
faction. This means that the insurance company pays the
proportion of the expense charged against a shipment when
it has been insured, and that the legal owner of the ship-
ment must pay this proportion of the expense in case insur-
ance has not been effected. The assessments are made on
the appraised value of goods at the poi't of destination, not
on the insured value.
In practically all cases of general average, the payment
of deposits by the merchant can be avoided, if he is insured,
by having his insurance company furnish to the average
adju: ters a guarantee that all proper general average and
salvaeo clir.rges will be paid on completion of the adjustment.
When a manufacturer has commenced exporting to an
appreciable extent, he should take out an "open policy,"
which is a contract by which the insurance company under-
takes to protect all his export shipments from the time they
leave the factory in the interior until they have been de-
livered to consignees' warehouses. On this ai-rangement the
exporter reports particulars of each shipment as made and
pays all premiums monthly in accordance with the schedule
of rates attached to the policy. These policies are specially
written to cover the requirements of each shipper and class
of mechandise. When the open policy has been granted, the
insurance company furnishes the shipper with a number of
certificates which he uses and countersigns as needed, thus
always being in a position to turn in to his bankers attached
to a draft without delay.
War risk insurance is still often called for, but when a
letter of credit does not specify it, the shipper should not
attach such a certificate to his draft, as the bank may refuse
to negotiate or accept it on account of possible complaint
from the buyer. In self-protection, however, the shipper
might well take out war risk insurance and retain such
policy.
Drawback — Refund of Duties
Many Canadian products require imported ingredients to
complete their manufacture, and the duty paid on the im-
ports are refundable when the manufactured article is ex-
ported. It is plain that such a refund makes certain goods
more economical to expoi't than to sell on the domestic
market and helps the Canadian manufacturer to meet com-
petition in foreign markets. All Canadian manufacturers
should take advantage of this refund system, particulars of
which may be obtained on application to Ottawa.
.\11 countries in the Postal Union have very liberal
weight and bulk allowances for parcels, and shippers of small
weight or bulk articles should obtain copies of the regula-
tions in effec(; for countries in which they are interested.
Sometimes it will be found cheaper to make up one small
shipment into two or more parcels, acceptable to the postal
authorities, rather than one case by freight. This particu-
larly apidii's to samples or small trial shipments.
"Made in Canada"
Thei-e is one point which every country's custom officials
must satisfy themselves on every shipment, i.e., the country
of origin. Therefore, there cannot be too strong an effort
made to see that every outside packing-case containing
Canadian exports should have "Made in Canada" written
on it in large letters; every cardboax-d, paper or tin container
within the case should have "Made in Canada" printed boldly
on it. This is necessary with certain countries, particularly
India, where the Jlarks Act is very emphatic. But quite
apart from that — if a Canadian manufacturer is proud of
his goods and proud of his country, let him insist that all
his lithographed labels include the words "Made in Canada."
Let him lay do\vn the law to the tin can and glass bottle
manufacturers that "Made in Canada" shall appear on all
his containers. That brings real export orders. The whole-
saler in Cape Town who receives a case of Canadian jam
breaks up the case, but the tin can or glass bottle eventually
finds its way to the farmer's wife, who i-eads the "Made in
Canada" sign, and, because of it, orders more of that brand
from her village grocer. When a thing is necessary, patrio-
December 31. 1920
THE MONETARY TIMES
You Should Make a New Will— if
your
you have married : your family has increased ;
members of your family have married— or died ;
circumstances have materially changed. (Some
a new will every year.)
In any case, your estate and heirs should have the exact knovi-
ledge, busiiiesb organization, experience, financial responsibilitie
and permanency of the UNION TRL'ST COMPANY, which
attend wh. never your estate affairs need attention.
ke
to
Get 1
literatUTt
Union Trust Company, Limited
HENRY F. COODERHAM. President
TORONTO - - Cor. Richmond and Victoria Sts.
WINNIPEG. MAN. LONDON. ENGLAND
i% on Savinge^Withdrawahle by Cheque 67
EVERY MAN RECOGNIZES
the duty he owes to his wife and other members of his
family to see that each one of them is provided for after
his decease as well as before, but in many instances omits
to make such arrangements as will ensure his and their
affairs being properly managed after his demise. The
appointment of this Company as E.xecutor and Trustee
under your Will, will safeguard and relieve them of duties
which might prove onerous to them Interviews and
correspondence invited
THE CANADA PERMANENT TRUST COMPANY
Paid-up Capital
Sl.OOO.OOO
.Manager. Ont
TORONTO STREET
TORONTO
nch : A. E. Hessin
Be sure your WILL is made, naming a Strong
TRUST COMPANY as your
EXECUTOR
Ask for Booklet: "The Corporate Executor."
CAPITAL, ISSUED AND SUBSCRIBED ..§1,171,700.00
PAID-UP CAPITAL AND RESERVE 1,172,00000
The Imperial Canadian Trust Co.
Executor, Administrator, Assignee, Trustee, Etc.
HEAD OFFICE: WINNIPEG, CAN.
BRANCHES:
Saskatchewan General Trusts
Corporation, Limited
Head Office: Kegina, Sask.
Executor Administrator Assignee Trustee
Special attention given Mortgage Investments, Collections,
Management of Properties (or Absentees and
all other agency business.
B0.4KI> OF ItlBECTOBS:
W. T. MOLLARD. President G. H. BARR. K.C.. Vice-President
H.E.Sampson K.C. A. L. Gordon, K.C. J. A. M. Patrick. K.C.
David Low, M.D. W. H. Duncan J. A. McBride
Chas. Willoughby William Wilson
E. E. MUKPHV, General Manager
Official Administrator for tfie Judicial District of Weyburn
(Trustee under Bankruptcy Act)
— RICE & FIELDING, INC.—
FOREIGN FREIGHT FORWARDERS, CUSTOMS
BROKERS AND DRAWBACK AGENTS
81 VICTORIA ST.,
TORONTO
Telephone
Adelaide 935
:^8 CORISTINE BLDC,
MONTREAL
OTHER OFFICES
11 Broadwav,
NEW YORK
40 Central St..
BOSTON
Enquirks solkileJ In conneclion with ellher Export or Irrtporl bu
Providing for Education
In times of prosperity make certain that the education
of your children will be provided for in case of a reversal of
fortune. By placing a trust fund with us for investment,
an income can be provided to begin at any time and be
administered under any conditions you see fit to incorporate
in the agreement. Write us for particulars.
Chartered Trust and Executor Company
46 KING STREET WEST. TORONTO
W. S. .\IORDEN. KC,
Vicc-Pres. and Estates Manager
JOHN J. GIBSON, Managing Director.
WE have 450 good businesses for sale in the central
portion of Alberta. Everything from a General
Store to a small Confectionery
If you vi^ant a business in Alberta you want us.
WHYTE & CO., LIMITED
Business Brokers
111 Pantages Building - Edmonton, Alberta
The Security Trust
Head Office
Liquidator, Trustee, Receiver
Administrator, Executor.
W. H. CONNACHER
c
Sto
Ge
DHipany, Limited
Calgary, Alberta
ck and Bond Brokers,
neral Financial Agents.
Pres. and Managing Director
To Safeguard Your Heirs
Safeguarding your family while you are living
is an entirely different matter from safeguarding
them when they become your heirs.
Make your will now and secure on their behalf
experienced, economical administration, by nam-
ing as "The executor of your Estate '"
The Canada Trust Coap^vny
London St. Thomas Windsor ■ Winnipeg 3
Regina Edmonton Toronto
THE MONETARY TIMES
Volume 65.
otic and remunerative, there should be no argument, and
tne words "Made in Canada" are all three.
Foreign Correspondence
Nearly all Canadians are accustomed to cut down their
commercial correspondence to the limit of politeness, and
sometimes below it, for the sake of brevity. It is usual to
start with "Dear Sii-" or "Gentlemen" and plunge into the
subject, winding up abruptly with "Yours sincerely," or its
equivalent. Probably our American cousins are more abrupt
than we are, and our English brethren not much better, but
in corresponding with foreign firms, particularly if of Latin
tongues, it is good policy to meet their own excessive polite-
ness to some extent. A letter in French, Spanish or Italian
always sends "salutations" to the recipient, so that a reply
which expresses the writer's "great pleasure," "best wishes,"
etc., will have a much more favorable reception than one
which confines itself to strict essentials. Another point with
regard to foreign correspondence is the courtesy of writing
in the other man's native language. This is always appre-
ciated and leads to more cordial relations, although the cor-
rectness of the translation should be ensured, especially on
quotations and technical facts. It is customary in foreign
correspondence to write all letters with a carbon copy, which
is mailed one week or ten days later than the original, thus
insuring against loss in mails.
Accommodating Foreign Kequirements
It is always well to ask foreign customers or agents for
their suggestions and criticisms on a product. Otherwise,
politeness may prevent the receipt of valuable information.
For instance, a Brazilian buyer of patent medicines can best
suggest the terms on a label that will carry the greatest
conviction to native neurasthenics. Another product may fail
to atti-act through an unpopular color effect.
This last article of the series has been intended to clear
up various matters which could not be dealt With in the
logical sequence of pi-eceding articles. There are also many
other topics relating to export work which have been left
untouched because they are not of general application or are
only incidental to those already discussed.
In concluding this last article it is again pointed out
that the series has been written with the object of stimu-
lating a desire for export business and of helping to clear
away the fogs that surround the subject. It is quite appre-
ciated that a haze w'ill still exist in the mind of the manu-
facturer, so far as details are concerned, but they can only
be cleared away by commencing business. The greatest essen-
tial is patience, combined with active effoi-t and initiative in
meeting new conditions.
The rewards are rich, and more than compensate for the
initial delays, irritations, and even occasional losses, while
the final result will be that steady export sales will render
the manufacturer independent of worry over domestic
markets.
I'lHl.ICATIONS RECEIVED
The Farmers in Politics. — By William Irvine. McClelland
and Stev/art, Toronto. 253 pages; $2.
Although the author says in his preface that this book
is in part an economic history of the organized farmers, yet
he devotes practically the whole of it to a justification of
the political action of the farmers. Nevertheless he points
out that it is not an official pronouncement by, or on behalf
of, the farmers' movement, but rather "the earnest and
sincere effort of a student of current events to afford some
elucidation of prcssii^ questions of economics and politics in
Canada at the present time."
Mr. Irvine strongly criticizes the reformer who harps
on destruction, but points to some of the deficiencies in in-
dustry and politics. In fact he goes so far as to say that
"the economic thinking of recent years has amply demon-
strated that the whole aim of modern production is wrong."
Production, he maintains, should not be for profit. He is
especially hard on the "plutocrats" who, he alleges, run the
country; not only the state, but also such adjuncts as high
schools and universities, "exist for the wealthy. These places
of learning, although financed by taxes imposed on the poor,
are but additional privileges for the rich." How can Mr.
Irvine maintain that the financing of a school or university
by taxes, which relieve the student of the necessity for pay-
ing high fees, can shut the door to the poor?
Much space is devoted to arguments in favor of group
representation rather than the old party system, and in this
respect Mr. Irvine has the practice of European countries in
his support. The farmers' movement in politics he believes
to be sound, representing neither of the extremes for which
labor and capital respectively stand. "The United Farmers,"
he says, "have become the apostles 'of co-operation; they have
captured the imagination of the nation by combining true
radicalism with scientific moderation, and it is safe to say
that they are the most hopeful factor in Canadian national
life to-day."
Government Control of Sugar. — By Joshua Bernhardt.
Macmillan Co. of Canada, Toronto. 272 pp. with index; $3.
Sugar is one of the commodities, the price fluctuations
of which have been so wide as to puzzle students of economics
and as to draw forth from the public a demand for govern-
ment control. Up to a few months ago it was the high price
of sugar which caused trouble, now it is the low price, and
Canadian refiners have appealed to the government for
assistance. This book is therefore timely, and the informa-
tion given is thorough. The full title is "Government Con-
trol of the Sugar Industry in the United States, an Account
of the Work of the United States Food Administration and the
United States Sugar Equalization Board, Inc." The author
was sugar statistician in the United States Food Administra-
tion, and chief of the Statistical Department of the United
States Sugar Equalization Board, Inc. Dividing his book
into the War Period and the Reconstruction Period, he de-
scribes the mobilization of the sugar industry, the workings
of government control, the premature attempt at "de-
mobilization," and the final ceasing of control. He con-
cludes that "government control of the sugar industry and
trade in the war period and in the year of reconstruction
which followed is an interesting example of wholesome and
effective co-operation between business, the general public,
and a government organization, functioning in a period of
national stress and world upheaval. In order that the ex-
periences and information derived in the period of control
might not be lost to the general public, the directors of the
United States Sugar Equalization Board have authorized the
publication of this book."
Readings and Problems in Statistical Methods. — By
Horace Secrist, Ph.D. Macmillan Company of Canada, Tor-
onto. 427 pp. with index; $3.
Efforts to analyse economic development in a statistical
way are arousing increasing interest. At the same time the
collection of figures of no value, or which are presented in a
misleading way, are to be avoided. "The collection, use, and
interpretation of statistical data," says Mr. Secrist, "are
justified largely, if not solely, in the service which they have
for planning, whether it is related to questions of social
control, business policy, or statecraft." This book discusses
how statistics may intelligibly and usefully be presented.
The chapter headings are: Meaning and Application of
Statistics and Statistical Methods; Sources and Collection of
Statistical Data; Units of Measurement in Statistical
Studies; Illustrations of Methods in Collecting Statistical
Data; Classification-Tabular Presentation; Diagrammatic and
Graphic Presentation; Averages as Types; Principles of In-
dex Number Making and Using; Description and Summariza-
tion— Dispersion and Skewness; Comparison-Correlation.
The Law of Bankruptcy in Canada. — By J. A. C.
Cameron, K.C. Compiled for the National Trust Co., Ltd.
Published by Canada Law Book Co., Ltd., 84 Bay St.. Tor-
onto. In this book of 148 pages the author takes up the
December 31, 1920
THE MONETARY TIMES
21
INTEREST
RETURN
INVEST YOUR SAVINGS
in a 5K% DEBENTURE of
The Great West Permanent
Loan Company
SECURITY
Paid-up Capital $2,412,578.81
Reserves 964,459^9
Assets 7,086,695.54
HEAD OFFICE, WINNIPEG
BRANCHES: Toronto, Regina, Calgary,
Edmonton, Vancouver, Victoria ; Edinburgh,
Scotland.
SIXTY-FIVE YEARS
is a long time in the history of this young Canada of ours, yet during
ail that period we have been safeguarding and assisting in the increasing
of the saving*; of many thousands of Canadians. The steady progress
the Corporation has made bears testimony not only to the confidence
investors have in this old institution, but also to the unexcelled facilities
we extend to depositors-
Interest allowed at
THREE AND ONE -HALF
ptr cent, per annum, paid and compounded h-ilf-yearly.
The Corporation makes a special feature of Savings Accounts, and
welcomes the small depositor.
Canada Permanent Mortgage Corporation
14-1& TORONTO STREET
TORONTO
, Capital $6,000,000.00
Fund Uarned) 5,750,000.00
THE DOMINION SAVINGS
AND INVESTMENT SOCIETY
Masonic Temple Building. London Canada
Interest at 4 per cent, payable half-rearly on Debentures
T. H. PURDOM.K.C President SATHANIBL MILLS. Manager
The London and Canadian Loan and Agency Co., Ltd.
DIVIDE.VD No. lla
NOTICE is hereby given that a Dividend of Two and One Quarter Per Cent,
for the quarter ending 3Ist December. 1920. upon the Paid-up Capital
Stock of the Company, (being at the rate of Nine Per Cent, per Aanam) , has
this day been declared, and will be payable on and after the Third day of
January, 1921, to Shareholders of record at the close of business on ttie
15th December. 1920. By order of the Board,
Toronto. November 30th, 1920. V. B. WADSWORTH. Manager.
The Ontario Loan & Debenture Company
DIVIDEND NO. 134.
Notice is hereby given that a QUARTERLY DIVIDEND
of 2% per cent, for the three months ending 3Ist De-
cember, 1920 (BEING .^T THE RATE OF NINE PER
CENT PER ANNUM) TOGETHER WITH A BONUS OF
],{ OF ONE PER CENT has been declared on the paid-up
capital stock of this Company and will be payable at the
Company's Office, London, Ontario, on and after the 3rd
January next to Shareholders of record of the l.Sth December.
By order of the Board.
A. M. SMART,
Manager.
London. Canada. 30th November. 19"i0
(^VER 200 Corporations,
^"^ Societies, Trustees and''
Individuals have found our
Debentures an attractive
investment. Terms one to
five years.
The Empire
Loan Company
WINNIPEG, Man.
THEe TORONTO MORTGAGE COMPANY
Quarterly Dividend
Notice is hereby given that a Dividend of Two and one-quarter per
cent., being at the rate of Nine per cent, per annum, upon the paid-up
Capital Stock of this Company, has been declared for the current
Quarter, and that the same will be payable on and after 1st January
1921 to shareholders of record on the books of the Company at the
close of business on 15th inst By Order of the Board,
Toronto, 2nd December, 1920 WALTER GILLESPIE. .Manager.
Six per cent. Debentures
Interest payable half yearly at par at any bank in Canada,
Particulars on application.
The Canada Standard Loan Company
520 Mclntyre Block, Winnipeg
Canadian Financiers
Trust Company
Head Office - Vancouver, B.C.
TRUSTEE EXECUTOR ASSIGNEE
Agents for investment in all classes of Securities.
Business Agent for the R. C. Archdiocese of 'Vancouver.
Fiscal Agent for B. C. Municipalities.
Inqairiea Invited
General Manager ■ LIcat.-tol. «;. II. DORKELL
Canadian Guaranty Trust Company
r ^ DIVIDEND NOTICE
Notice is hereby given that a dividend at the rate of
Six per cent, per annum on the paid-up capital of this Com-
pany has been declared for the year ending December 31st.
1920, and the same will be payable at the Head Office, 1031
Rosser Ave., Brandon, Man., on and alter January 3rd, 1921.
Transfer books will be closed from December 15th to
31st inclusive.
By order of the Beard,
JOHN R. LITTLE,
Managing Director.
THE MONETARY TIMES
Volume 65.
Bankruptcy Act by sections, with notes on each section as
subdivided under the various headings. There is also a
thorough index to the Bankruptcy Act and general rules and
forms thereunder. The measure in question, which came into
force on the first day of July of the present year, is the
third Bankruptcy Act which the parliament of Canada has
passed. The first act was passed in 1869 and this was re-
pealed by the Insolvency Act of 1875, which, after being in
operation for about five years, was retired, chiefly on the
grounds that its administration was too expensive and
cumbersome. Since the repeal of the Act of 187.i, several
other bankruptcy measures were introduced into the House
of Commons, but they never reached the final reading, one,
at least, being promptly killed by the financial interests be-
cause it provided for the abolishment of preference to
creditors. Bankruptcy law has two objectives; one the ex-
peditious and economical distribution of the debtor's assets,
and, secondly, a release of the debtor from his creditors when
the debtor has not been guilty of any misconduct or fraud,
and has surrendered all his assets.
Life Insurance Contracts in Canada. — By H. J. Sims,
LL.B. Published under the auspices of the Mutual Life
Assurance Company of Canada. 121 pp., with index to
cases.
Many cases have arisen in the past fifty years, says the
company in a preface to this book, where inconvenience and
real hardship have occurred in dealing with beneficiaries
through lack of knowledge of laws affecting life insurance
contracts. "A great difficulty in the way of making such
knowledge more general has been the varying enactments
on the subject by the different provinces of the Dominion.
Recent years have shown a commendable tendency towards
uniformity of legislation in this respect, and it is to be hoped
this desirable movement will receive further impetus. With
the object of making available a working knowledge of the
laws of Canada bearing on life insurance contracts, especi-
ally for life insurance agents who are largely the advisers
of the insuring public in disposing of their life insurance
benefactions, this little work is sent on its mission of use."
Mr. Sims has been the company's solicitor for 24 years,
and in this book he reviews all Canadian legislation to date
and also has referred to the leading cases decided in the
courts. Thei-e are eleven chapters covering 'The Application,
Policy and, Completion of Contract," "The Premium,"
"Agents," "Beneficiaries," etc.
Digest of the Canada Grain Act. — By Charles Birkett,
secretary. Fort William-Port Arthur drain Exchange. 01 pp.,
with index; .'50c. This booklet, copies of which may be se-
cured from the author, will be of great use to all who pro-
duce, deal in or handle in any way the wheat crop of the
west. From liU2 to ]i)17, Mr. Birkett was secretary of the
Board of Grain Commissioners, when he had ample oppor-
tunity for studying the Canada Grain Act of 1912, and seeing
how its provisions worked out in practice. "Seventy-five per
•cent, of the complaints received by the board during the five
years," he points out, "might have been eliminated, if the
complainants had known the act and the i-ules and regula-
latioMs promulgated by the board. This, however, was not
the most serious matter. A large number of producers
suffered financial loss through dealing with traders who were
not licensed, or entering into contracts that were not pro-
vided for in the act. These losses totalled many thousands
of dollars, and the result was the amending of the Canada
Grain Act to provide for these different transactions under a
Primary Grain Dealer's bond."
NaturaT Resources of Nova Scotia.—Published for free
distribution by the Natural Resources Intelligence Branch.
Department of the Interior. Ottawa. This 70-page booklet
is the latest of a series dealing with various sections of the
Dominion, tlie booklets previously issued having dealt with
New Brunswick, the Peace River, New Manitoba, Saskatche-
wan, etc. The oin-ning paragraph of Nova Scotia dearly indi-
cates the object of the scries when it says: "The facts in this
booklet are .ompilod for tlie use of the homeseeker, mer-
chant, manufacturer, capitalist and visitor. They purpose to
be up-to-date, authoi'itative, concise." Each booklet forms
a basis of standai-d official information and is revised as each
edition is exhausted.
In the booklet now before us a welcome absence of ver-
biage allows space for valuable specific facts. Thus there
is a list of products i-eshipped from Halifax which could easily
be manufactured in Canada; a special section on West Indian
and British Guiana trade, details about oil-shales, coal, lime-
stone and iron, aeronautics, merchant marine, clays, salt, land
prices and wages — all subjects of present interest. Statistics
ai-e made palatable by an interesting style and suggestive
touches. Nova Scotia is crossing the threshold to great ac-
tivities, and the booklet will be a reminder that the chances in
Nova Scotia now seem as bright as is its summer beauty.
MONTREAL AND QUEBEC SAVINGS INSTITUTIONS
Another large reduction in Dominion govei-nment de-
mand deposits is the principal change in the statements of
the Montreal City and District Savings Bank and the Caisse
d'Economie de Quebec, for the month of November. This
account, in the case of the former institution, is now under
the $100,000 mark, as compared with nearly $.3,000,000 last
year, while in the latter, the account has been wiped out
altogether, from a balance last year of more than $500,000.
The large balances in November, 1919, were due to the Vic-
tory loan receipts, which the government placed on deposit
with all Canadian banks.
Other changes in the report M-e not very significant.
The Montreal bank considerably strengthened its cash posi-
tion, as a result of reduced loans and increased deposits.
The cash account of the Quebec institution was slightly
lower, while notice deposits also showed a decrease.
The following figures give a comparison of the piincipal
accounts: —
Montreal City and District Savings Bank
Nov., 1920. Oct., 1920. Nov.,' 1919.
Dom. gov. dem. dep. . : . $ 94,24.3 $ 200,043 $ 2,916,405
Other dem. deposits 44,739,517 43,950,117 38,880,396
Total liabilities 45,350,280 44,612,689 •-il,168,245
Gov. and other sec 12,254,009 12,277,009 10,634,647
Ca.sh '. 7,902,411 7,037,959 7,094,666
Can. municipal sec 1.3,091,333 15,074,560 15,381,179
Loans on bank stocks . . 775,623 809,815 791,436
Loans on other sec 9,463,117 9,576,381 8,031,883
Total assets 48,516,403 47,646,735 45,224,889
Caisse d'Economie de Quebec
Nov., 1920. Oct., 1920. Nov., 1919.
Dom. gov. dem. dep $ 7,628 $ 515,985
Other dem. deposits $10,478,404 10,507,703 10,119,820
Total liabilities 11,410,479 11,540,494 11,233,791
Gov. and other sec 1,679,093 1,679,093 1,697,209
Ca.sh 1,386,887 1,520,242 1,711,899
Can. municipal sec 4,070,489 4,070,941 4,087,534
Loans on bank stocks . . .301,230 305,855 272,123
Locns on other sec 3,224,999 3,213,922 2,984,875
Total assets 13,306,989 13,437,004 13,043,992
-Merchants and business men of Richmond Hill, Ont.,
have organized a "Board of Utility" to look after the busi-
ness interests of the village. The Board of Utility will cor-
respond to a board of trade, and will go after new business
and try and locate new industries in the district. The officers
elected were: President, J. A. Green; vice-president, Walter
Baldock; secretary, J. R. Harrington, and treasurer, D.
Morden.
December 31, 1920
THE MONETARY T I .M E S
CANADIAN CAR AND FOUNDRY
COMPANY, LIMITED
AND CANADIAN STEEL FOUNDRIES, LIMITED
AND OTHER ASSOCIATED COMPANIES
ELEVENTH ANNUAL REPORT
Year Ended September 30th, 1920
• BOARD OF DIRECTORS
W. F. Angis, Montreal
Hon. C. p. Beaubien, Senator, Montreal
H. W. Beauclerk, Montreal
W. W. Butler, Montreal
Hon. N. Clrry, Senator, Montreal
F. H. Clergue, Montreal
Lewis L. Clarke, New York
V. M. Drury, Montre.al
Andrew Fletcher, New York
A. Hicks Lawrence, New York
Wm. McMaster, Montreal
Hon. E. C. Smith, St. Albans, Vt.
W. H. Woodin. New Y^ork
M.4EK Workman. Montreal
CONSOLIDATED STATEMENT OF SURPLUS AND
PROFITS, SEPTEMBER 30, 1920
Combined Profits for the Fiscal Year ending
September 30, 1920 \ 81,515,712.45
Deduct:
Provision for Depreciation 516,800.00
Profits before charging Interest ....... ."§998,912^45
Deduct:
Interest on Bonds Outstanding. §47,7,025.39
Less: Interest on Investments,
Bank Balances, etc ' 17,510.26
459,515.13
Profits for the Fiscal Y'ear, subject to Govei'n-
ment Taxes % 539,397.32
Surplus September 30, 1919, after deduction of
Government Taxes to September 30, 1918;
adjustments in respect of the liquidation
Rhodes Curry Company, Limited, and
Standard Steel Company, Limited, and
further settlements of Russian Shell Con-
tract Claims 6.360,456.10
?6,899 ,853.42
Deduct:
Dividends Paid Preference Stock:
Current Fiscal Period ~"f S525,000.00
On .Account of .Arrears l?irr . 131,2.50.00
656,250.00
Surplus carried forward September 30, 1920,
subiect to Government Taxes, for the years
1919 and 1920 _S0_^43.603.42
CONSOLIDATED BAL.4NCE SHEET, SEPTEMBER 30. 1920
ASSETS
COST OF PROPERTIES:
Real Estate, Buildings, Ma-
chinei-y. Patents and Good-
will, as at September 30,
1919 $22,373,964.19
. iditions during Fiscal Year —
Net 580,240.99
822,9.54,205.18
CURRENT ASSETS:
Inventories of manufactured
and partly manufactured
product, materials and sup-
plies, at cost 8-14,788,960.92
.\ccounts and Bills Receivable
CLess Reserved 4,105,888.41
Temporary Investments— Bonds
and other Securities 1,339.620.77
Cash in Bank 485,713.71
20.720,183.81
DEFERRED CH.\RGES: ■__ 154^561.97
$43,828,950.96
LIABILITIES
CAPITAL STOCK:
Preference: Seven per cent, cumulative and participating:
Authorized and Issued — 75,000 Shares of
§100 each % 7,500,000.00
Ordinary :
.Authorized— 50,000 Shares of
•SlOO each §5,000,000.00
Issued— 49,750 Shares of §100
each 4,975,000.00
BONDED DEBT:
Canadian Car & Foundry Com-
pany, Limited:
First Mortgage Thirty Y'ear Six
Per Cent. Sinking Fund Gold
Bonds, due 1939 ( .-Xuthoi-ized
§7,500,000) §6,275,000.00
Less: Redeemed by
Sinking Fund.. 1,246,853.20
§5,028,146.80
Canadian .Steel Foundries.
Limited:
First Mortgage
Collateral Trust
Bonds Six Per
Cent., due 1936
(Authorized §5,--
000,000) §3.650,000.00
Less: Bonds held
in escrow by
Montreal Trust
Company to-
wards redemp-
tion of Jlontreal
Steel Woi-ks.
Limited, Bonds. 704,596.01
§2,945,403.99
Less : Retired by
Sinking Fund.. 820,228.00
§2,125,175.99
First Mortgage Six Per Cent.
Gold Bonds, due 1940, of
the Montreal Steel Works,
Limited 604,500.00
7,757,822.79
MORTGAGE on Craig Street Pro-
perty V 100,000.00
CURRENT LIABILITIES:
Bank and other Loans secured. .§5,250,000.00
.Accounts and Trade Bills Pay-
able and Payrolls 6,714,230.06
Interest Accrued 124,122.15
Dividend Pavable Oct. 9, 1920. . . 131,2.50.00
12,219,602.21
RESERVES:
Depreciation Reserves §4,078,054.67
Special Reserve Fund 500,000.00
Operating and Miscellaneous Re-
serves 454,867.87
% 5,032,922.54
Surplus, as per attached statement, subject to
Government Taxes 6,243,603.42
§43,828,950.96
Note— Acdimulatcd Arrears of Preference Share
Dividends 22''i per cent.
.Approved on behalf of the Board:
V. M. DRURY. Director.
MARK WORKMAN, Director.
L. A. PETO, Comptroller.
AUDITORS- REPORT TO THE SHAREHOLDERS:
We have examined the Books and .Accounts of the Can,->dian Car &
Foundry Companv. Limited, and its Subsidiary Companies, for the year
endin? September 30. 1920. and have obtained all the information and e.^-
planations which we required. The inventory at September 30. 1920. con-
sistinK principally of materials purchased for specific car orders, has been
prepared from the book records and has been valued at cost. And we
certify that, in our opinion, the above Balance Sheet at September 30.
1920. is prooerlv drawn up so as to exhibit a true and correct view of the
state of the combined affairs of the Canadian Car & Foundry Company.
Limited, and its Subsidiary Companies, according to the best of our in-
formation and the explanations Riven to us, and as shown by the Books
of the Companies.
PRICE. WATERHOUSE & CO .
Montre.ll. November 30. 1920. Auditors. 3«
THE MONETARY TIMES
Volume 65.
WHOLESALE PRICES STILL FALLING KAPIULY
Index Number for November Drops to 304.2 From 317.6 In
Previous Month — Increases In Some Commodities
WHOLESALE prices continue to fall, their being large
declines in many commodities. In November, the m-
dex number fell to n04.2, as compared with :n7.6 in October,
:;07.7 in November, 1919, 290.9 in November, 1918, 137.5 in
November, 1914, and 135.8 in November, 1913. This is a
continuation of the rapid downward movement which began
several months ago, and which seems to be gaining headway.
The chief declines la-st month were in grains and fodder,
fish, te.\tiles, hides, leather and boots and shoes, metals and
implements, building materials, and a steep decrease in raw
furs. At the same time there were increases in animals and
meats, dairy products, fruits and vegetables, groceries a^nd
fuel and lighting.
The following table, compiled by the Department of
Labor, shows index numbers of wholesale prices during No-
vember, 1920, as compared with previous periods: —
(DEPARTME.NT OF LABOUR
FIGURES)
.'Grains and Fodders;
Grains, Ontario
" Western
Fodder
All
I Meats :
Cattle and beef
Hogs and hog products..
Sheep and mutton
Poultry..
All
Products..
All
. Othtr Foods :
(a1 Fruits and vegetables
Fresh fruits, native
Fresh fruits, foreign
Dried fruits
Fresh vegetables
Canned vegetables
All
(b) iMiscellaneous groceries
Breadstuff s
Tea, coffee, etc
Sugar, etc.
Condiments
All
. Textiles :
Woollens
Cottons
Silks
DEx Numbers
265.9
252.1
305.4
275.3
3U8.3
31H.8
225.0
601.3
331.0
322.1
HiDHs, Lrathkr, Boots and Shoes
Hides and tallow
Leather
Ijoots and Shoes
. .Mktals and Implbiients:
Iron and steel
Other metals
Implements
..Fuel AND Lighting:
Fuel
Lighting
. Bun.DiNo Materials:
Lumber
Alisccllaneous material
Paints, oils and gla:
280.3
210.1
SHfl.O
J«2.3
2t)fi.0
?82.1
1!'».3
273.2
■JH.i
325 8
2i)J.3
315.3
313.9
328.2
377.8
229.2
496.0
348.4
318.7
21'. I
113.1
2o0.3
213 5
239.3
ISU.Ii
.'11.2
353.2
340 t
180.1
48;). 3
191.0
285.9
3(.I.!I
253.8
3t0.1 HI. 3
3()9.0 115.8
282 8 165.3
,32!!. 7 139.:)
322.3 I 202.1
3*5.4 177.4
211.2 137.3
363.2 186.5
315.6 ■ 180.1
310.3 I 172.9
211.1 I 143.6
252.3 I 16 J. 5
224 8 I 150.9
234 4 {
215 6
278 6
395 1
21 1 9
2B2fl 301 2 ' 317.6
rlict. fruit!
99.4
243.7
114.6
412.8 I 165.8
201 0 I 101 4
203.8 130 II
21;; 0 105.6
216.3 113.5
181. 1
113 I
142 0
404 9
16< 1
2S3 1
34 i 8
119(1 0 I 217 9
30O 1 t 134.6
210 4 111 2
172 6 151 6
CANADA'S TRADE HAS INCREASED $464,000,000
Past Twelve Months Have Witnessed Large Expansion in
Imports — Exports Have Also Grown
DURING the twelve months ended November, 1920, Can-
ada's trade increased by more than $464,000,000, ac-
cording to the latest statement issued by the Dominion
Bureau of Statistics. The ' large advance has been due
largely to the increase in imports, although exports a-re
somewhat higher than they were a year ago.
The increase in imports can be traced to the United
Kingdom and the United States. Purchases from the latter
country have grown to a figure closely approaching $1,-
000,000,000. The Dominion is also buying more he&vily from
the East and West Indies, Cuba, France and Japan.
Exports to the United States show a healthy increase,
but this good showing has been offset by a large decline in
sales to the Mother Country. Foreign trade has made big
strides, the principal increases being in Belgium, Netherlands,
Italy and China. France and Japan have been buying con-
siderably less here.
Details are as follows: —
Twelve Months -ending November
Imports for Consu
Dutiable Goods
Free Goods
Total imports (mdse.) .
Duty collected
Exports
Canadian
Foreign
Total exports (mdse.).
British East Indies
British Guiana
British South Africa
British West Indies
Hong Kong
Newfoundland
New Zealand
Other British Empire
Argentine Republic
Belgium
Brazil
China
Cuba
France -
Greece
Italy
Japan
Netherlands
United States
Other Foreign Countries
l-:xpoRTs nv Countries
(C:inadian Produce only.)
United Kingdom
British East Indies
British Guiana.. ..
British South Afric;
British West Indie:
Hong Kong
Newfoundland
New Zealand
Other British Empi
Argentine Republic
Belgium
Brazil
China
Cuba
France
1,300,761,035
Italy
Japan. ...
Netherlands
United States
Other Foreign Countries .
71,012.000
5,201,146
16,937,794
5.169,471
805,032 !
8,674.583 '
2,339,433 I
3,198,199 I
6,037,450
1,563.758
1.345,950
7,7.S9
979.268
1,863,447
2,021,730
3,791,380 i
19,150 I
662,846 :
13,109,108 (
621,904 1
734,853,194
17.997,311 I
629,536,280
11,263,020
2,260.649
2,096.976
9,546.303
8.001.402
910.178
I0,526.:<82
4.443.396
2,229.831
2,2I0,.S22
82.332
3,811.912
2,920..iC7
4.367.925
101,437,7.19
9.1.50
6.793,.i39
10,339,213
6U2„547
432,242.450
11,281,405
84,638,900
1 .788,993
12,443,957
8,391,737
1,200,793
10,391,620
1,091,870
2,153,564
4,8,59,188
1,086,556
2,219,385
2:i9.334
1,488.468
1,237,075
10,163,609
6.357,088
389,726
609,296
12,297,542
1,337,240
725,968,653
29.128,333
514,012,960
12,370,617
6,109,657
2,913,189
9,720.496
11,062,793
961,989
15,785,706
6.7.52,662
7,423,861
6.93.5,691
14.586,441
1,988,9.36
3,695,251
5.994,265
62,6.37,127
14.214,822
19,128,324
7,740.,599
3,193,628
443,416.125
28.020,326
229,925,844
I.6a4,439
19,209,535
5.806,262
308,712
15.859,921
4,795.i;6l
3,020,195
4,354,296
1 .505,085
3,724,754
4,084.890
2.607,747
2.004,J92
34,785,952
20,380,820
!)7O,90I
1,864,855
14.646,093
,3,713.701
927,564,711
42,753„S22
352,083,388
16,712,057
6,537,187
3,786.767
14,067,345
13.718,683
2,096,346
17,856.470
10,708.712
4.669,536
6.69S467
45,033.283
3,466.501
7,672,507
7,597,610
39,816,591
31, .535.196
45,339,591
7,499,023
16,275,064
545,283,365
58,461, 23;<
,307.7 ' 135 8
.•egcfablcs.ctc.
The Saskatoon Grain Co., Ltd., has taken over the stock,
bond and grain brokerage business of Willoughby-Sumner,
Ltd., and will conduct it in future, operating an exclusively
private wire between Winnipeg and Saskatoon. The Winni-
peg office will be under the direction of J. McDowell, form-
erly with Clark and Martin and lately of the old company,
and the Saskatoon office will be under the direction of J. H.
Gardiner, late of the Alberta-Pacific Grain Co.. Ltd.
4
December HI, 1920
THE MONETARY TIMES
DIVIDENDS AND NOTICES
CANADA CEMENT COMPANY, J^^^^^^ f^r Capital Stock
ORDINARY SHAREHOLUKRS
DIVIDEND No. 19
Notice is' hereby given that a dividend of 1 V2 '/< for the
three months ending December 31st, 1920, being ^t the rate
of 6% per annum on the paid-up Ordinary Stock of this
Company, has been declared, and that the same will be pai<l
on the 16th day of January next to Ordinary Shareholders
of record at the close of business, December 31st, 1920.
H. L. DOBLE, Secretary.
Montreal, December 23rd, 1920. 341
DOMINION TEXTILE COMPANY, LIMITED
NOTICE OF DIVIDEND
.\ dividend of one and three-quarter per cent. (l%'/c)
on the Preferred Stock of the Dominion Textile Company,
Limited, has been declared for the quarter ending 31st De-
cember, 1920, payable January 15th, 1921, to shareholders of
record December 31st, 1920.
By Order of the Board.
JAS. H. WEBB,
Secretary-Treasurer.
Montreal, 6th December, 1920. 342
THE SPANISH RIVER PULP AND PAPER MILLS,
LIMITED
NOTICE OF DIVIDEND ON COM.MON STOCK
A Dividend of one and three-quarters per cent. (l%'/6)
on the Common Stock of the Spanish River Pulp and Paper
Mills, Limited, has been declared for the quarter ending
December 31st, 1920, payable January ir,th, 1921, to Share-
holders of record at close of business, December 31st, 1920.
By Order of the Board.
J. G. GIBSON,
Secretary.
Toronto, December 17th, 1920. 338
OF
THE .SI'AMSH KI\KR PULP AND PAPER MILLS,
LLMITED
NOTICE OF DIMDEND ON PREFERRED STOCK
A Dividend of one and three-(iuarters per cent. (1%'y'!,)
on the Preferred Stock of the Spanish River Pulp and Paper
Mills, Limited, has been declared for the quarter ending
December 31st, 1920, payable January ITjth, 1921, to Share-
holders of record at close of business, December 31st, 1920.
By Order of the Board.
J. G. GIBSON,
Secretary.
Toronto, December 17th, 1920. 339
The Consumers^ Gas Co.
of Toronto
Sealed Tenders, addressed to The Consumers' Gas Com-
pany of Toronto, 19 Toronto Street, Toronto, Ont., and
marked "Tender for Capital Stock," will be received by The
Consumers' Gas Company of Toronto until 12 o'clock noon
of the .5th day of January, 1921, for the purchase of twelve
thousand seven hundred and eighty-six (12,786) shares of
the unissued capital stock of the said Company (each share
having a par value of $50.00), subject to certain conditions
and terms of sale, the particulars of which, together with -
the form of tender to be used, may be had on application at
the office of the Company at the above address.
Dated at Toronto, this 10th day of December, 1920.
By Order of the Board of Directors.
ARTHUR HEWITT,
General Manager.
Tenders may be for the purchase of ten shares or any
multiple of ten shares. Tenders may be for the purchase
of the one lot of six shares. 321
PENMANS LIMITED
DIVIDEND NOTICE
Notice is hereby given that the following Dividends have
been declared this day for the quarter ending Januarv 31st,
1921:—
On the Preferred Stock, one and one-half per cent.
(V/2%), payable on the 1st day of February to Shareholders
of record of the 21st day of January, 1921.
On the Common Stock, two per cent. (2%), payable on
the 15th day of February to Shareholders of record of the
5th day of February, 1921.
By Order of the Board.
C. B. ROBINSON,
Secretary-Treasurer.
Montreal, Que., December 20, 1920. 335
NOVA SC()IL\ STEEL AND COAL CO.Ml'ANY. LID.
DIVIDEND NOTICE
A dividend of two per cent. (2',r ) on the Preferred Stock
and one and one-quarter per cent. (114%) on the Ordinary
Stock of the Company has been declared, payable on the
1.5th January, 1921, to shareholders of record at the dose of
business on December 31st, 1920.
By Order of the Board.
THOMAS GREEN,
Cashier.
New Glasgow, Nova Scotia, December 20, 1920. 345
THE MONETARY TIMES
Old and New Methods in Bank Advertising
Keen Interest in I'ublicity Methods Shown by Change in Policy by Some PMnancial
Institutions — The I'urpose of Modern Advertising— Two Examples Compared—
How Far Can Commercial Methods be Adopted ? — The Preparation of Copy
Bv NORMAN S. RANKIN
AN interesting article on Canadian Bank Advertising, pub-
lished in a recent issue of The Monetary Times, by Mr.
W. F. Dorward, manager of one of the Royal Bank of
Canada's branches in New Brunswick, points out that Cana-
dian banks have been the last of la^rge Canadian institutions
to adopt modern advertising copy and methods, and while
there are nevertheless exceptions to this rule, as a whole
his statement is correct.
Advertisements of two centuries ago were more or less
limited to brief announcements of the sale of certain com-
modities at certain places. Their object was to bring con-
sumer and manufacturer together, and as such they evi-
dently served their purpose. Undoubtedly the demand in
those days for the manufactured output was greater than
the supply, but in any case, the idea that a- manufacturer
or business man should create a demand for his products
and thus increase his output and his profits had not cry-
stallized.
Spend Four Millions a Day
Selling on credit through travelling salesmen, marketing
by telegraph, foreign tra^de assistance from the banks and
general and special advertising campaigns have developed
only with the latter half of the past century, the first half of
which was almost wholly taken up with difficulties of produc-
tion and transportation. Availa^ble statistics tell us that
year in and year out United States advertisers in practically
all lines of trade are spending $1,500,000,000 a year, or over
$4,000,000 a day, and if this is a. fact, it is clear that the ob-
ject of their advertising is not only to sell their manufactured
products, but to increase the demand for them.
That advertising is creative is granted — there is no
room for argument. Increase in business means increase in
employment; increase in employees, increased demand for
homes, a-nd food and clothing; more homes built, more gro-
ceries required, more clothing demanded and so on down the
line, and as an afterthought, I might add, where does the
employer and the employee look for each other's aid ? Why,
in the advertising columns of the daily, weekly and monthly
press.
Details Swing Business
I know the case of a man who changed his business ac-
count beca-use, when he was overseas, the bank in which
his wife kept her savings were particularly obliging to her —
gave her personal service in .settling her insurance, rent and
other bills when they fell due; of another, in which a de-
positor switched his account because the blotting paper on
the public tables was invariably scarce, pen scratchy and
ink thick; a^nd of a third, because of the discourtesy of a
bank employee.
The finest kind of an advertisment for any public ser-
vice corporation is a satisfied customer, for he is a living,
transient, voluntary, enthusiastic advertiser. One of Can-
ada's lending chocolate manufacturers told me not long
ago that he had built up a large trade in a certain section
of the country through a satisfied, grateful customer. The
man had written the manufacturer that whilst eating one
of his chocolates he had broken a tooth on a piece of nut-
shell. The manufacturer accepting the truth of the state-
ment without quibble, wired the man to go to the best den-
tist he could find and send the bill to him for settlement. The
customer, appreciative and hubhling over with enthusiasm.
spread the news broadca^st with most gratifying results to
the manufacturer.
You may say, well, this is service and not advertising,
but are not they synonomous — one verbal and the other pub-
lished— and you will agi'ee, at any rate, that one leads to
the other? What I'm getting at in this roundabout wa-y is
advocation of service in advertising, not mention only of the
goods or product, their quality, etc., but the service offered
to the public by the bank, manufacturer or corporation. That
it is being done" to some extent is a fact, but it is equally a
fact that much advertising is being carried which omits all
reference to service.
A Difference in Method
The following advertisements of Canadian banks — picked
at random from the daily press — are indicative of ancient
and modem styles and furnish food for thought to progres-
sive bank executives. Judged by the ethics of advertising,
one is attractive, logical and well displayed; it interestingly
outlines its commodity, graciously offers its service and
appeals for mutual benefit through co-operation. The other
is a survivor of the advertising copy of the 18th century;
it limits itself to a brief statement of facts and lets it go
at that. „ It is not a business-getter; it is non-creative; if
it is read at all, it leaves the reader cold and unsympathetic.
PERSONAL BANKING SERVICE
to Professional Men
In your various professions — legal, dental,
medical, ministerial — you are accustomed to having
your clients consult you regarding their problems.
You realize that it is the proper thing for them to
do, for few outside of your profession have the know-
ledge and experience in it that you possess.
Yet do you follow the .same principle in your
affairs? In financial matters, for instance, do you
consult your banker — the logical financial authority —
as often as you might? No one is better fitted to
give .such counsel, both from position and experience,
as he.
Following the policy of PERSON.A^L SERVICE,
tlic Bank will gladly render helpful service
of a financial or investment nature, or obtain, if
possible, any information you require along these
lines which we do not already possess.
Any Bank manager will be glad to meet
you at any time, in your office or ours.
THE BLANK BANK
Established 1781
Capital Paid-up $0,000,000
Reserve Fund 0,000,000
Efficient Service in all departments of banking.
Drafts bought and sold. Letters of Credit and Tra-
vellers' Cheques issued.
December 31, 1920
THE MONETARY TIMES
Both banks are paying for space and doubtless, expect-
ing results. A bank advertisement is the bank speaking to
its customers or prospective customers. Its object is, through
sympathy, confidence, ability and service, to retain, induce
or create business. It is just as though the bank manager
was conversing with a client in the manager's office, and to
a great e.xtent, in accordance with the measure of the ele-
ments above mentioned in the bank manager's conversation —
to which should be added courtesy — will the bank be success-
ful in holding its customers and building up a larger
clientele. The copies are shown herewith; judge for yourself.
While it is true that the advertisements did not occupy
the same amount of space, or make equa^l expenditure, it does
not take any great advertising knowledge to decide which is
most likely to bring return for money invested. You may
think that it is not quite fair to compare two advertisements
of such diverse conditions, but both represent space paid for
IN THE DAYS OF THE STRONG BOX
In the 16th Century, gold and silver were al-
most the sole medium of commercial exchange. Un-
employed capital earned nothing. The merchant
kept his idle money in a strong box at home, or,
for greater security,, at the goldsmith's. It took
nearly three hundred years to develop deposit
banking, the cheque and clearing-house system, and
the many other facilities and services offered by
modern financial institutions.
MODERN DEPOSIT BANKING
Important as is the function of the modern
bank in making possible the transfer of money
through the use of credit instruments, it is only one
pha-se of the service which it offers to the public.
The wealth entrusted to the bank does not remain
idle like gold in coffers, but is constantly employed
as a basis of credit for the legitimate enterprises of
industry and commerce, and thus is in continuous
sei-vice of the community.
The Company invites deposits. It pays interest
on daily balances of checking accounts and on time
deposits. It extends credit, and makes loa'ns on col-
lateral. It seeks to employ its resources in the de-
velopment of industry along broad, consei-vative
lines to meet the needs of American business of to-
day and to-morrow.
and both advertisers are investing money unsentimentally.
Is it better to m&ke larger expenditure with every prospect
of results or smaller expenditure with negligible expecta-
tions? The question answers itself? And I'm not arguing
for larger rather than smaller space. That depends on funds
available and character of product advertised; there is no
doubt, however, that much money is injudiciously expended
through poorly written copy, which otherwise would in all
probability bring satisfactorj' returns.
Awakening of Interest
It is apparent, nevertheless, that Canadian banks are
awake to this fact, for their advertisements are more and
more laying stress on personal service and featuring for-
eign trade connections. In a competition and general ex-
hibit of financial advertising displayed at the last annual
convention of the Associated Advertising Clubs of the
World, advertising copy from banks in all sections of the
United States was submitted and analysed. Nine prizes
were offered, the competition being under the auspices of the
Financia^l Advertisers' Association, one of the largest "de-
partmentals" included in the Associated Advertising Clubs.
The premier award went to a New York trust company
who displayed five panels on which were attached samples
of the bank's publicity — advertising, booklets and pamphlets
expressing clearly details of &rt, topography, printing, illus-
trations, etc. Nowhere, it was declared, has bank publicity
gone further in excellence of topography,, copy and arrange-
ment. Part of the body matter of one of these winning ad-
vertisements is shown herewith. It is headed by a pen-and-ink
reproduction of a 16th century merchant sitting quill in ha^nd
in a candle-lighted cellar surrounded by brass-bound chests
and ancient, musty tomes.
It is, of course, purely a matter of opinion as to whether
the foregoing copy or the first Canadian bank advertise-
ment quoted has the strongest word va^lues, and indeed, a
fair comparison is difficult since one occupied but a 4 x 6-inch
space, and the other a space three times the size. It was,
however, the choice of the experienced advertising committee
of the Advertising Clubs of the World, and as such is quoted
for what it is worth.
Supplementing the Papers
Many Canadian b&nks now publish monthly magazines,
house organs or folders, which, in addition to matters of
current interest to members of the banks' staffs, contain
valuable articles of particular interest to the public in gen-
eral. Some of them go further and publi.sh handsome illus-
trated booklets which &re distributed broadcast.
Bank advertisements to be effective should be local,
suitable in character, language and taste to those to whom
the appeal is made. What appeals to the financial ma-n is
ineffective with the fanner; what interests the small shop-
keeper fails to attract the wholesaler and vice-versa. There
is material in modem banking for the production of excel-
lent advertising copy, known in the phraseology of the pro-
fession as "pull."
Advertising is a never-failing power when employed in-
telligently, whether it be by banks, manufacturers or de-
partmental stores. As much care and consideration should
be devoted by the banks to the wording and display of their
advertisements as they give to organization and operation.
Copy writing is an art attained by constant study and
practical e.xperience. To only such men should be given the
wi-iting of advertisements if Canadian banks wish to place
their advertisements on a par with manufacturers and com-
mercial organizations and institutions.
FIFTY YEARS OF FIRE INSURANCE
"The Past, Present and Future of Fire Insurance" was
the subject of an address given by G. D. Finlayson, Super-
intendent of Insurance for the Dominion of Canada, at a
meeting of the members of the Montr2al Fire Insurance
Brokers' Association on December 16. The period covered
by the address extended from 1869 until 1919. At the be-
ginning of this period there were only five Canadian-con-
trolled firms in operation out of nineteen insurance firms
which were in operation throughout the country. In 1919
there were thirty-nine Canadian-controlled firms out of a
total of 134 insurance firms carrying on business in the Do-
minion. In the time that has elapsed ma.iy of the companies
which existed in, the old days have disappeared. In the case
of many of these companies a small amount of capital would
have saved them, but their appeals seem to have been un-
heeded by capital.
The speaker also spoke of the duties of insurance agents,
and said that he was of the opinion that the time was coming
when agents would not be needed, and that all business out-
side of the cities would be carried on by the managers at
their head offices. He also suggested the formation of a Do-
minion Fire Insurance -Association that could meet once a
year to compare and discuss business in the past and their
arrangements for the future.
THE MONETARY TIMES
DIVIDEND NOTICES
International Petroleum
Company, Limited
NOTICE OF DIVIDEND No. 1
Notice is hereby given that a dividend of 25 cents United
States Currency per share has been declared by the Directors
of the International Petroleum Company, Limited, and that
the same will be payable on or after the 3rd day of January,
1921, in respect of the shares specified in any Bearer Share
Warrants of the Company upon presentation and delivery
of coupons No. 1 attached to the said Bearer Share Warrants
at the following Banks: —
The Royal Banl< of Canada, 60 Church Street, Toronto,
Canada.
The Farmers' Loan and Trust Co., 16-22 William Street,
New York, N.Y.
The Farmers' Loan and Trust Co., Limited, 26 Old Broad
Street, London, England, or
The Offices of the International Petroleum Co., Ltd., 56
Church Street, Toronto, Canada.
The payment to shareholders of record whose shares are
fully paid up at the close of business on the 31st day of
December, 1920, and whose shares are represented by Regis-
tered Certificates will be made by cheque, mailed from the
offices of the Company on the 31st day of December, 1920.
By Order of the Board.
J. R. CLARKE,
Secretarj'.
56 Church Street, Toronto, Canada.
1st December, 1920. 300
DIVIDEND NOTICE
Notice is hereby given that Dividends have been de-
clared by Provincial Paper Mills, Limited, as follows: —
Regular Quarterly Dividend 1%% on Preferred Stock.
Regular Quarterly Dividend 1%% on Common Stock.
Special Dividend 1% on Common Stock.
All payable on January 1st, 1921, to Shareholders of
record at close of business December 15th, 1920.
(Signed) S. F. DUNCAN,
:?09 Secretary.
CONSOLIDATED SCHOOL DISTRICT OF DECKER,
No. 320
DEBENTURES FOR SALE
Sealed tenders addressed to the undersigned will be re-
ceived up to 6 o'clock p.m. of Friday, January 7th, 1921,
for the purchase of the following debentures and interest
accrued from the first of August, 1920: —
Nineteen debentures for $1,000.00 each, maturing, one
on the first day of February of every year from 1922 to 1940,
inclusive.
One debenture for $21,000.00, maturing on the first day
of February, 1941.
These debentures, to a total of $40,000.00, are coupon-
btarcr. and carry interest at 7':'< per annum from the first
day of August, 1920. The first coupon is payable February
1st, 1922, and the remainder annually on February 1st.
Principal and interest are payable at the Bank of Ham-
ilton, Decker, Manitoba. Debentures will be delivered and
must be settled for at the same place.
The highest or any tender not necessarily accepted.
For any further information, address
HERBERT THOMPSON,
Secretary-Treasurer,
331 Decker, Manitoba.
Condensed Advertisements
" Positions Wanted." 3c per word : all other condensed advertisements
5c. per word. Minimum charge for any condensed advertisement. 65c
per insertion. All condensed advertisements must conform to usual
style. Condensed advertisements, on account of the very low rates
charged for them, are payable in advance ; 50 per cent, extra if charged.
YOUNG MARRIED MAN, with sixteen years' Fire In-
surance experience, would like to secure position either on
road or office. Alberta or British Columbia preferred. Box 369,
Monetary Times, Toronto.
WANTED. — Special Agent and Inspector, Provinces
Manitoba and Saskatchewan. Headquarters, Regina. Repre-
sent three large American Companies. Good salary. Replies
will be treated confidentially. Box 371, Monetary Times, To-
ronto.
A FAST-GROWING GENERAL AGENCY, with excel-
lent organization, requires additional representation in their
office for the Provinces of Alberta and Saskatchewan. Ex-
perienced underwriters of proven ability. We have three,
inspectors in this field. An exceptional opportunity for the^
company just entering this territory. Box 373, Moiictar,
Times, Toronto.
KEGINA LIFE UNDERWRITERS- ASSOCLVTION
.\ successful year was reported by J. H. Taylor, retiring
president of the Life Underwriters' Association, Regina,
which held its annual meeting on December 11. L. E. Yingst,
of the Sovereign Life Insurance Co., was elected president of
the association for the coming year. Other officers elected
were: Vice-president, M. B. Farr; secretary-treasurer, K. P.
Diiiistan; executive committee, C. A. Hughes, C. F. Dumfee,
W. Craise, C. Woodley and G. A. Robinson. Mr. Taylor an-
nounced that the first general meeting of the provincial asJ
sociation will be held in Saskatoon in March. The secretary^
treasurer's report showed fin&nces to be in a good condition'
&nd menibership on a firm basis.
The London and Scottish Assurance Corporation, Ltd.,
have sold their office building in Montreal and have pur-
chased another one at the corner of St. John and Hospital
Streets.
December 31, 1920 THEMONETARYTIMES 29
dlllllMIIIMIIIIIIIIIIIIIIIIIIMIIinnnillllllMIIMIIMIIIIIinilllllllUMIIIIIIIIUMMIIIUIIIIIIIIIIIIIMIItllUIMIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIMIIIIIIIIIIinill^
I CHARTERED ACCOUNTANTS |
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Baldwin, Dow & Bowman
CHARTERED ACCOUNTANTS
OFFICES AT
Edmonton - - Alberta
Toronto Ont.
CHARLES D. CORBOULD
Chartered Accountant and Auditor
ONTARIO AND MANITOBA
649 Somerset Block. Winnipeg
David Mowat Donald MacTavish
Mowat, MacTavish & Co.
Chartered Accountants
712 Canada BIdg., Saskatoon, Sask.
W. A. Bawden, C.A. (P.C.A
Engla
nd and
Wales).
F. H.KiD
D. C.A.
BAWDEN,
KIDD
&
CO.
Chartered
Accou
ntants 1
CENTRAL BUILDING, VICTORIA
, B.C.
Branch a
NaDaimo,
5.C.
Telegraphic a
nd Cable Address
■ Nedwab.
■ Victoria,
B.C.
1
Crehan, Mouat & Co.
Chartered Accountants
BOARD OF TRADE BUILDING
VANCOUVER, B.C.
D. A. Pender, Slasor & Co.
CHARTERED ACCOUNTANTS
805 Confederation Life Building
Winnipeg
ALEXANDER G.
CALDER
CHARTERED ACCOUNTANT |
Specialist on Taxatioi
I'Problems
Bank of Toronto Chambers |
LONDON
ONTARIO
Established 1882
W. A. Henderson & Co.
Chartered Accountants
508-509 Electric Railway Chambers
Winnipeg, Man.
W. A. Henderson. C.A. J. J. Cordner. C.A.
Hubert Reade & Company
Chartered Accountants
Auditors, Etc.
407-408 MONTREAL TRUST BUILDING
WINNIPEG
ROBERTSON ROBINSON, ARMSTRONG & Co.
AUDITS
FACTORY COSTS
INCOME TAX
CHARTERED ACCOUNTANTS
24 King Street West - TORONTO
AND AT:-
HAMILTON
WINNIPEG
CLEVELAND
RONALD, GRIGGS & CO.
RONALD, MERRETT, GRIGGS & CO.
CluirUreii Accnuntants. Auditors.
Trustees. Uatiulalors
Winnipeg, Toronto, Saskatoon, Moose Jaw,
Montreal, New York, London, Eng.
SERVICE
Thorne, Mulholland, Howson & McPherson
CHARTERED ACCOUNTANTS
Factory Costs
3420
Bank of TORONTO
Hamilton Bldg. * V^I^V^l^ 1 '-'
F. C.S. TURNER & CO.
Chartered Accountants
TRUST & LOAN BUILDING, WINNIPEG
GEO. O. MERSON & COMPANY
CHARTERED ACCOUNTANTS
Telephone Main 7014
LUMSDEN BUILDING - - TORONTO, CANADA
R. WUliamsnn. C.A.. J, D. Wallace, C.A.
A. J.W.ilker. C.A, H. A. ShiuchCA.
RUTHERFORD WILLIAMSON & CO.
Chartered Accountiints. Trustees and
Liquidators
Se Adelaide Street East, TORONTO
604 .McGlLL BUILUINO, .MONTREAL
Cable Address-" WILLCO."
Represented at Halifax. St. John. Winnipeg.
Vancouver
CLARKSON, GORDON & DILWORTH
Chartered Accountants. Trustees,
Receivers. Liquidators
Merchants Bank BIdg.. IS Wellington Street West ToronI
G. T. Clarks
Established 18ft( r j. Dihvor
Norman B. McLeod
Chartered Accountant
AUDITS INVE.STIG.ATIONS
COST ACCOUNTING
803 Kent BIdg. - TORONTO
Phone MAIN 3914
THE MONETARY TIMES
Volume 65.
WHEN TRUSTEE ACTS FOR INFANT BENEFICIARY
Alberta Supreme Court Holds Trust Company is Liable For
All Profits Made Less Remuneration
IN this application, in re Earner, it was held that a trust
company which has been appointed gu&rdian of the es-
tate of an infant by an order of the Court, without special
directions as to investment, is bound to keep the ward's funds
invested, and in case of failure to do so is liable for interest
thereon, and is not allowed to make a profit out of the ofiice,
but is bound to act in all things for the inf^-nt's benefit, sub-
ject to its right to a reasonable remuneration for its care
and supervision of the estate.
Mr. Justice Stuart, in statins the law applicable to the
case, says: —
"In 21 Cyc, p. 87, it is said: 'It is the duty of a guardian
to keep the Wivrd's funds invested and in the case of failure
to do so he may become liable for interest thereon.' And in
Simpson's Law of Infants, p. 289, it is said: 'From the doc-
trine that a guardian is a trustee it follows at once that he
can make no profit out of the ofiice, but is bound to act in all
things for the infant's benefit.'
Was Merely n (.uardian
"In this ease the guardian received the estate of the
infant into its hands under an order of the Court which gavj
no special or any direction as to investment. In those cir-
cumstances the guardian became subject to the general
duties of a gu&rdian of an infant's estate. A consequence
of the principle enunciated in the passages above quoted
seems clearly to bo that the guardian has no right to act in
the double capacity of guardian and as a person with whom
the money is invested. In other woi-ds, without special auth-
ority from the Court the gur/rdian has no right to invest the
infant's money with itself (being a company) and by the
use of the money so invested with itself to make a profit
thereon. The very fact that the company is known as a com-
pany whose business it is to receive money for investment
-seems to emphasize this view.
"Whatever the situation may have been, therefore, if the
guardian made no investment ;:'t all but simply kept the
money in its own hands, when it appears that it did invest
the money, it seems to be absolutely clear that it must ac
count for the interest actually received subject to its right
to a reasonable remuneration for its care and supervision of
the estate.
"The moneys of the infant were a-pparently mingled
with other trust funds and these were invested by the com-
pany in its own name. It should obviously be chargeable
with the interest which it in fact received on the mingled
funds so invested. Of course, a small proportion of this
general fund seems to have been retained, and it was no
doubt legitimate in the circumstances to retain uninvested
a small proportion of this infant's estate. What was the
proportion actually retained is of course difficult to deter
mine upon the evidence, but the best the Court can do is to
make such allowance for this as would seem to be fair to the
'ompany."
MERCHANTS BANK WINS SLIT
Judgment for the plaintiff in the case of the Merchants
Bank vs. R. McAuley has been given in the Manitoba Court
of King's Bench. The judgment was for the amount of the
claim, with interest at '> per cent., with the amount received
from a sale of the defendant's goods to be credited on the
note. The counter claim enttred by the defendant was dis-
missed.
The bank sued for the amount of their note, which was
••?").700. and the defendant in his defence alleged that the
bank had sacrified his goods and chattels at a certain sale,
and clainred daninc-es.
APPEAL ON SUCCESSION DUTIES
The Privy Council on November 30 granted leave to ap-
peal in the Royal Trust Co. versus the Finance Minister of
British Columbia case which involves questions relating to
the succession duties of the estate of the late Sir Wm. Van
Home.
SUIT AGAINST COBALT TOWN
The town of Cobalt which recently emerged from lengthy
litigation is again faced by a lawsuit. The municipality
which won a legal fight with the Temiskaming Telephone
Co., after the case had been fought over a number of years
and was carried to the Privy Council, is now named as one
of the defendants in an action for damages brought by St.
Joseph's College, North Cobalt. The latter is asking for
$150,000 in connection with damages alleged to have been
done to its property, due to the pollution of Mill Creek.
ACTION ARISES FROM EXCHANGE SITUATION
A legal dispute, said tQ be without precedent in Canada,
has arisen through the issuance of a writ against the Somer-
ville Paper Bo.x Co., Ltd., of London, Ont., by the American
Chicle Co. of New York for the sum of $50,000. It seems
that in 1010 the business and plant of the Somerville Paper
Box Co. was bought from the Sen-Sen Chiclet Co., which
latter firm was later absorbed by the American Chicle Co.
The sales arrangements involved a transaction whereby the
Somerville Co. assumed a mortgage for .$50,000 payable in
legal money of Canada, or in gold if demanded by the mort-
gagee. The present exchange conditions have prompted the
American Chicle Co., which holds the mortgage, to demand
payment in gold.
The American Chicle Co. has agreed to accept the amount
of the mortgage payable in .American funds, which w'ould
mean that the local firm would have to pay practically $57,-
000 in Canadian money at the present rate of exchange.
This, it deems, is contrary to the original agreement, and
accordingly it is contesting the .'\merican Chicle Company's
demand.
ONTARIO POWER CO. MUST PAY' TAXES
The Ontario Hydro-Electric Commission has again ap-
pealed its assessment in Niagara Falls and had it dismissed.
Many interesting points showing the relation of the hydro
with the Ontario Power Co. were brought out. It is said
that the hydro will carry the appeal tb a higher court. The
case came up on Uecember 9.
Judge Livingstone said: "This is a very serious issue,
and no matter what my decision is, it is not likely to be the
final decision. I am convinced that as matters stand the
assessment should not be disturbed. The Ontario Power
Co. is a legally incorporated company. It still exists. It
still owns and controls its own assets. True, the Hydro
Commission acquired all the shares in the company and can
get profits from the business.
"The directors are from the hydro office, but when they
act for the Ontario Power Co. they do not act as hydro offi-
cials. It is not contended that the Ontario Power Co. is
out of business, but, it is contended that the lands are under
the control of the hydro. My answer to that is that, so long
as they are controlled by the Ontario Power Co. there is a
doubt, and where there is a doubt, exemption should not
apply. It is clear that the Ontario Power Co. does control
its lands. In the Hamilton case cited the act clearly applied,
as it was a local commission; this case is diffei-ent. There-
is no substantial difference between this case and the last
and I dismiss the appeal."
December 31, 1920
THE MONETARY TIMES
iinnniiiMiiiiiiMiiiiiiiiMiiiiitiiiMiiiniiiiiiuniiuiiiiiiiiiiiinniMinnuiiiiiiiiiiiiiiiiiHiiuiiiiMiiiiMiiMiiiiiiiiiiiiiiiiiiiiiiiiriiiiiiiiiiiiiiiiiMiiiiii:
i REPRESENTATIVE LEGAL FIRMS |
HiiiiiUMiiiiiiiiiMiiiiiinuiiiiuiiniMiiiiiiiiiiMiiiiiiiiiiniMiiMiiiiiiiMiiiiMMifiiiiiiiiMinMiinniiiiiiiiiMiiiiiiiiiiiiitiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii
BRANDON
KILGOUR, FOSTER & McQUEEN
Barrister!, Solicitors, Etc., Brandon, Man.
Solicitors for the Bank of Montreal. The
Royal Bank of Canada- Hamilton Provident
and Loan Society. North American Life
Assurance Company-
LETHBRIDGE, Alta.
Conybeare, Church & Davidson
Barristers, Solicitors, Etc.
Solicitors for Bank of Montreal, The Trust
and Loan Co of Canada. British Canadian
Trust Co-. &c., &c-
C. K. P. Conybeare, K.C., H W. Church. M.A-
R. R- Davidson. LL-B-
Lethbridge - - Alta.
PRINCE ALBERT
COLIN E. BAKER, B.A.
Solicitor for the City of Prince Albert
IMPERIAL BANK BUILDING
PRINCE ALBERT, SASK.
CALGARY
Charles F. Adams, K.C.
Bank of Montreal BIdg.
CALGARY - - ALTA.
W.P.W.Lent Alex. B.Mackay, M.A..LL.B.
H. D. Mann, M.A.,LL.B.
LENT, MACKAY & MANN
Barristers, i^ollcltors, .\atarles, etc.
30S Grain Bxchange Bids , Calgary. Alberta
Cable AddresSt" Lenjo." Western Union Code
Solicitors for The Standard Bank of Canada,
The Northern Trusts Co.. Associated Mort-
gage Investors, ^c. ^^^^
C. A. Wright, B.CL.
WRIGHT & WRIGHT
Barristers, Solicitors, Notaries, Etc.
Suite 10-15 Alberta Block
CALGARY, ALBERTA
JOHNSTONE & RITCHIE
Barristers, Solicitors, Notaries
LETHBRIDGE - Alberta
MEDICINE HAT
G. F. H, Long- LL.B- J. \V. Sleight. B.A.
LONG & SLEIGHT
Barristers, etc.
MEDICINE HAT and BROOKS, Alta.
MOOSE JAW
Lester McTaegart
Grayson, Emerson & McTaggart
Barristers. Etc.
Moose Jaw - Saskatchewan
REGINA
Gordon, Gordon, Keown
and Collins
Barristers, Solicitors, <6c.
Aldon Building, REGINA, Sask.
Solicitors for In
nk of Canada
SASKATOON
C. L. DURIE. B.A. B. M Wakelino
DURIE & WAKELING
ICarrl4lc
Solicitors fo
and mollrltorft
Iton.
the Bank of H
Great West Permanent Lc
Monarch Life Assurance Co.
Canada Bulldin
Saabaloon, Canada
Chas.G. Locke. Major J. Mc.^ughey.O.B.E.
LOCKE & McAUGHEY
Barristers, Solicitors, Etc.
208 Canada Building
SASKATOON - CANADA
EDMONTON
Hon. A. C. Rutherford, K.C.LL.D.
P. C. Jamieson, K C. Chas. H. Grant
S. H. McCuaig Cecil Rutherford
RUTHERFORD. JAMIESON
& GRANT
Barristers, Solicitors, Etc.
514-18 McLeod BIdg. Edmonton, Alberta
NEW WESTMINSTER
JOHN W. DIXIE
Barrister and Solicitor
405 Westminster Trust Building
NEW WESTMINSTER, B.C.
VANCOUVER
W, J, Bowser
0- S.WallbrKl
K C.
>;e A.H.
R L. Reid. K.C. 1
Douglas J.G.Gibson
BOWSER. REID, WALLBRIDGE
DOUGLAS & GIBSON
Barristers, So
licitors. Etc.
Solicitors for
British
B.ink o
.\orth Ar
f .Montreal (Ba
nerica Branch)
nkof
York.bire Buildi
K, S25 Ser
nonrSl., VancooTCr
B.C.
WE BUY
WE SELL
Chauvin,Allsopp & Company, Limited
FARM LANDS
And other good property. EDMONTON DISTRICT.
VALUATORS
Ground Floor. McLeod Building - Edmonton. Alta.
McARA BROS. & WALLACE
INVESTMENTS INSURANCE
INSIDE AND WAREHOUSE PROPERTIES
REGINA
NIBLOCK & TULL, Limited
STOCK, BOND and GRAIN BROKERS
(Direct Private Wire)
Grain Exchange
Calgary, Alta.
A. J. Pattison Jr. & Co.
Specialists Unlisted Securities
106 BAY STREET - ■ - TORONTO
THE MONETARY TIMES
Volume 65.
News of Industrial Development in Canada
Backus Interests Secure English River Timber Limits— Will Spend Large
Sum in the Development of That Region— Deal is Profitable to Ontario
Government — Nova Scotia Steel Industry Reports Few New Orders
AFTER a great deal of controvei-sy, the Ontario govern-
ment has awarded the E. W. Backus interests the Eng-
lish River pulpwood limits. Tenders were called for these
limits, and when opened last week, it was found that the
Backus offer was $50,100, or more than double the second
highest bid. The limits are estimated to have about 1,000,000
cords of spruce, from 10 to 12 million cords of poplar and
enough jackpire to make about 25,000,000 railway ties.
The amount of government dues expected from the limits
is $10,000,000. The Backus syndicate not only must pay
these dues, but will have to invest in pulp and paper mills,
electric power plants, railways and sawmills at least $12,-
000,000. Work will be provided for more than a thousand
men, the sawmills at Kenora will resume operations, the
municipal power plant will be taken over at a cost of $350,000,
and a contract assumed that will mean a loss of $600,000
over a period of years; and more than 100 miles of railway
will be built.
Summing up the results of the purchase. Premier Drury
stated : —
"It will ensure to the treasury, from tei-ritory which is
now unproductive, a yearly revenue ranging from $150,000
to $200,000, and eventually from the timber now standing
an aggregate amount of from $8,000,000 to $10,000,000. This
estimate is based upon the existing dues, which will un-
doubtedly increase in years to come. I am confident that the
public will appreciate the immense advantage at this critical
time of dealing promptly and energetically with this matter.
There can be no doubt that the action of the department
will help materially at once in relieving the unemplojTnent
situation, and that it will for many years to come contribute
to the prosperity of the whole province."
Although at first the selling of these limits to an
American syndicate was frowned upon, it is now generally
considered, in view of the agi'eement between the government
and E. W. Backus, that the deal will be beneficial to the
province, and more particulai'ly to the towji oS Kenora, which
will obtain a valuable new industry. According to the agree-
ment, the first step necessary for the Backus interests is to
erect a mill at Kenora and develop the Lake of the Woods
limits which they now hold. The government also grants
a lease to the Backus people of the water power at White
Dog Rapids on the Winnipeg River, subject to such "rentals.
reservations and conditions," as the minister of lands and
forests may deem in the public interest. Mr. Backus, who
is the owner of the Norman dam at the outlet of the Lake of
the Woods, which is <in essential work for the regulation of
the level of the Lake of the Woods, consents, as a further
term of the agreement, to submit to such regulations as to
this dam as may be imposed by the minister of lands and
forests. The government has also made a stipulation with
Mr. Backus that any portion of the newsprint product must
be available for sale to Canadian publishers at the instruc-
tion of the government. The amount is left open, but it is
said that the government could order 100 per cent, to
Canadian publishers under the agreement.
Pulp and Paper Notes
Letters patent have just been issued by the Quebec gov-
ernment to the "Canadian International Paper Co.," of
Three Rivers, Que., with a capital of $20,000,000. The new
company possesses large buildings in Throe Rivers, where
it has commenced to manufacture sulphite. The manufacture
of paper will begin next summer. The company has timber
limits in the St. IMaurice district, sufficient for all needs dur-
ing the next hundred years, it is stated. The temporary
directors are: Philip T. Dodge, president of the Interna-
tional Paper Co., of New York; Robert F. Grant, manager
of the St. Maurice Lumber Co., Three Rivers; Hon. Jacques
Bureau, K.C., M.P.; Philippe Bigue, K.C.; Hon. Wilfrid
Gariepy, K.C., of Three Rivers. The company has the right
to manufacture and deal in all kinds of wood, pulp and
paper.
Speaking in Montreal this week with regard to the new
pulp mill on the Fraser River, British Columbia, some
particulars of which have already been given in these
columns, F. J. Jones, of the Canada Cement Co., said: "There
is no doubt that a mill will be constructed, the size of which
will depend upon the extent of the government leases. The
forests of British Columbia are unsurpassed, and a very
great future awaits the pulp industry there; consequently
there, need be no hesitation in building a mill of considerable
dimensions. The lumber business in British Columbia is not
prosperous at present, due no doubt to prevailing world de-
pression. Indeed it is almost at a standstill. The high cost
of rail haulage has contributed to make the industry un-
profitable, and a very large number of employees have been
thrown out of work. Unemployment generally has become
a grave problem in the province, having reached an acuter
stage than the rest of Canada has yet experienced. An
explaination frequently offered locally for these conditions is
the rush of returned soldiers to British Columbia on de-
mobilization. Though partially causative of labor conditions,
this will shortly cease to have any marked effect by the
gradual return of these men to their own provinces."
The plant of the Mattagami Pulp and Paper Co. at
Smooth Rock Falls, Ont., has been closed down, and all
operations there have been suspended until the new year.
.According to authentic reports, wages for bushmen then will
be cut to $40 per month and boai'd, this representing a con-
siderable decrease in the scale formerly paid.
Iron and Steel
The plate mill at the plant of the Dominion Iron and
Steel Co. opened on December 21, and is now giving employ-
ment to about 140 men. This will not increase the number
of men employed on the plant. Some of the men who have
been walking the streets since the advent of the strike have
been given their jobs at the plate mill, and the remainder
are composed of men who have been employed at other
capacities on the plant. It is not known how long the mill
will continue operations. Enough work is at hand, it is
thought, to keep it in operation for several weeks at the least.
The mill may have to close when these orders have been
filled unless further ones are received after the holidays.
Within a short period it is expected that a considerable
number of the men at present employed on the plant of the
Dominion Iron and Steel Co. will be laid off. An official
has announced that it will be impossible for the company to
keep up operations at their present scale for any great
length of time. No further orders have been received by the
company, and those at hand will not keep the plant going
long even at its present capacity.
That employees of the Nova Scotia^ steel industries
should be demanding settlement of wage differences is con-
sidered ridiculous in the face of present conditions. If there
is any adjustment at all, it will be most likely downward.
Following such adoptions as have occurred at certain Ameri-
can steel plants — namely, the Luken Iron and Steel Co. of
Coatsville, Pa., the Midvale Steel and Ordinance Co., and
the Cambria Steel Co., of Johnstown, Pa., it seems more than
probable that Canadian steel manufacturers will be forced
to follow suits. In the United States, the companies above
named have had to cut the wages of their employees twenty-
'December 31. 1920
THE MONETARY TIMES
33
The Imperial
Guarantee and Accident
InsuTEuice Company
of Canada
Head Office, 46 KING ST. WEST, TORONTO, ONT.
IMPERIAL PROTECTION
Guarantee Insurance, Accident Insurance, Sickness
Insurance, Automobile Insurance, Plate Glass Insurance.
A STRONG CANADIAN COMPANY
Paid up Capital - - - SiOO,000.00
Authorized Capital - - - $1,000,000.00
Subscribed Capital - - - SI. 000,000.00
Government Deposits $111,000.00
LONDON GUARANTEE
*-'A^ *^ '■^ ^^ ^^ ACCIDENT COY., Li
Head Office for Canada
AND
mited
Toronto
Employers' Liability, Elevator. Contract. Personal Accident. Fidelity
Gu irantee. Internal Revenue. Sickness. Court Bonds.
Teams and Automobile.
AND FIRE INSURANCE
The Western Mutual Fire
Insurance Co.
Head Office
Didsbury, Alberta
President-
-H. B. ATKINS
M.L.A.
PARKER R, REED.
LARGEST ALBERTA
iiana^mg Director
FIRE .MLTUAL
CANADIAN STRONG PROGRESSIVE
<?«»ie i^r%mmf^^&&msimt
FIRE INSURANCE
AT TARIFF RATES
Merchants Casualty Co,
Head Office : Winnipeg, Man.
The most progressive c
pervision of tne Dominit
nbracing the entire Doro
npany in Canada. Operating under
and Provincial Insurance Departme
ion of Canada.
SALESMEN NOTE !
al protection offered
accident and health policy is the most libi
I of $1.00 per month and up.
Covers over 2.500 different disea<:es.
Pays for Life if disabled through Accident o
Illness.
Fifty per cent extra if confined to hospital.
Pays for Accidental Death, Quarantine. Sur
geon Fees for minor injuries, also for death o;
Beneficiary and children of the Insured.
Good Openings for Live Agent*
rn Head Office. Royal Bank BIdg. .Toronto
Office Electric Railway Chambers.
Winnipeg. Man.
Palatine Insurance Company
LIMITED
OF LOXDO.W E.\CLA\D
Capital Fully Paid • $1,000,000
Fire Premiums, 1919 3,957,6SO
Total Funds - 6,826,795
vhose funds (
Head Office : — Canadian Branch
COMMERCIAL UNION BUILDING, MONTREAL
W. S. JopLiNG. Manager
Toronto Office— 60 KING STREET WEST
JoxES & Proctor Bros.. Li.mited, Agents
I Automobile— 1 920— Seztson |
I . . I
g Policies to cover ANY or ALL motoring risks 1
I ATTRACTIVE AGENCY CONTRACTS I
I British Empire Fire Underwriters
I 82-88 Kins Street East, Toronto
GENERAL
ACCIDENT FIRE AND LIFE
ASSURANCE CORPORATION, LIMITED, OF PERTH, SCOTLAND
PELEG HOWLAND, THOS. H HALL.
Canadian Advisory Director Manager for Canada
Toronto Agents. E. L. .McLBAN. LI.MITED
niiiiBPH HE
lUIIHIMili Ul
HEAD OFFICE - WINNIPEG.
FARMERS^
FIRE & HAIL INSURANCE COMPANY
FIRE, HAIL AND AUTOMOBILE INSURANCE
Head Office, CALGARY. Saskatchewan Office, REGINA
\l. P. JOH.VSTON. ManaginR Director
34
THE MONETARY TIMES
Volume 65.
five per cent— all clue to the unsettled condition of the steel
markets and the existing economic situation.
Nearly 74,000 tons of pig iron was produced by the
Nova Scotia Steel and Coal Co. at the blast furnace depart-
ment of the plant during the current year up to November
If), when the furnace was banked. The monthly totals, by
tons, were as follows January, 6,059; February, 6,595;
March, 7,408; April, 7,258; May, 7,445; June, 7,112; July,
7,608; Augnast, 7,504; September, 6,643; October, 6,596;
.\ovember, 3,241.
Manitoba .\battoir
Two tliousand Manitoba farmers, banded together in the
Farmers' Packing Co., Ltd., expect to build a $500,000 cold
storage plant next summer in connection with their packing
establishment near the Union Stockyards, Winnipeg, Man.,
if assistance to the extent of $200,000 is obtained from the
provincial government. Members of the government an-
nounced that they were anxious to assist the farmers, but
that the decision on the grant would have to be made by the
legislature as a whole. The present plant has a capacity
for killing and dressing 125 cattle and 300 hogs daily.
The production of coal at Springhill, N.S., has been
going on steadily and the output for the month of November
established a record when 41,000 tons of coal were raised,
as compared with 31,000 in October. Several improvements
have also been made, prominent among them being a new
power house which will have a capacity large enough to take
care of the power end of the developments for years to
come.
Announcement has been made that the Borden Co., Ltd.,
Truro, N.S., manufacturers of condensed milk, etc., would
close its plant for a period of probably sixty days, beginning
the first of the new year. The step is taken because of pre-
sent market conditions. Two hundred and seventy milk pro-
ducers in Cumberland, Colchester, and Hants counties will
be affected by this shut-down.
INSURANCE NOTES
Members of the Royal Victoria Mutual Fire Insurance
Co. met in the Pi-ince Edward Hotel, in Brandon, Man., on
December 8, 1920, when it was decided to move the head
office of the company from Beulah, Man., to the city of Win-
nipeg, .^fter the New Year the move will be made, and the
company will be installed in their new offices at 20S Montreal
Trust Building by Januaa-y 8. The management is still in the
hands of M. G. Doyle, who has been identified with the com-
pany for the past twelve years.
Mr. Doyle, who has been secretary-manager of the Min-
iota Farmers Mutual Fire Insurance Co., of Beulah, Man.,
for the past twelve years, has resigned his position with that
organization, to take effect on January 8, 1921, and has ac-
cepted a position with the Retail Merchants Underwriters'
Agency as inspector for Manitoba, with headquarters at Win-
nipeg. His position with the Miniota Mutual has been filled
by H. E. Hemmons, who has been treasurer of the company
for some years.
The Northwestern Mutual Fire Association, of Seattle,
Wash., ha« been i-egistered to write fire insurance in the pro-
vince of Manitoba.
In recognition of good service and loyal co-operation,
the employees of the Adams Furniture Co., Toronto, Ont.,
have just been presented with free Canada Life Insurance
policies varying from .$500 to $3,000 under the group insur-
:ince plan. In addition to the usual benefits for protection of
dependents, the policies also provide a disajsility benefit
under which the insurance benefits may becorne payable to
the employees themselves.
W. R. McEachern, hitherto superintendent of the To-
ronto Centre district for the Metropolitan Life, has been
appointed to the superintendency of the Riverdale district
(Toronto^, the appointment dating from December 27th.
NEW INCORPORATIONS
Canada-Metropolitan Securities, Ltd., .Montreal, $1,250,000—
Miller Bros. Co., Ltd., Montreal, $1.000,000— Western
Gem Coal Co., Ltd., Calgary, $750,000
The following is a list of companies recently incorporated
under Dominion charter, with the head office and authorized
capital: —
Miller Bros. Co., Ltd., Montreal, $1,000,000; Canadian
Cleveland Fare Box Co., Ltd., Preston, $50,000; Corson's
Products, Ltd., Toronto, $100,000; Railway Audit r.nd Inspec-
tion Co., Inc., Ltd., Montreal, $50,000; Canadian F-I-R-O-L
Spark Plug Co., Ltd., Hamilton, $100,000; Western Canada
Bakeries, Ltd., Edmonton, $500,000; Bleackley, Ltd., Mont-
real, $50,000; Trudel.Ltd., Montreal, $100,000; Canada-Met-
ropolitan Securities Corp., Ltd., Montreal, $1,250,000.
Provincial Charter
The following is a list of companies recently incorporated
under provincial charter: —
Alberta. — Dominion Purebred Stock Co., Ltd., Calgary,
$200,000; Victoria Bakery, Ltd., Calgary, $20,000; Brown and
.■\nderson Consolidated, Ltd., Edmonton, $150,000; Precision
Machine Co., Ltd., Calgary, $40,000; Fairacres Farms, Ltd.,
Edmonton, $75,000; Western Tie fond Timber Co., Ltd., Ed-
monton, $50,000; North- West Securities Corp., Ltd., Edmon-
ton, $20,000; West Pleasant Heights, Ltd., Lethbridge, $18,-
000; Western Gem Coal Co., Ltd., Calgary, $750,000; Western
Trading, Ltd., Westlock, $20,000; Peace River Gold Dredging
Co., Ltd., Edmonton, $300,000; Wapiti Rink, Ltd., Grande
Prairie, $20,000.
British Columbia. — Revelstoke Agencies, Ltd., Revel-
stoke, $20,000; Reynolds, MacKidd, Vernon, Ltd., Vernon,
$100,000; Vancouver Trunk and Bag, Ltd., Vancouver, $75,-
000; Swartz Bros., Ltd., Vancouver, $25,000; T. H. Boothe
and Co., Ltd., Penticton, $25,000; Western Pole a^nd Pilling
Co., Ltd., Vancouver, $10,000; Fort Norman Oil Lands Hold-
ing Co., Ltd., Vancouver, $40,000; Ariel Rubber Manufactur-
ing Co., Ltd., Vancouver, $50,000; O. D. Lampman, Ltd., Van-
couver, $10,000.
Manitoba. — Brandon Exchange and Sales Co., Ltd., Bran-
don, $5,000; B. Levison and Bros., Ltd., Winnipeg, $20,000;
Arbuthnot Lumber Co., Ltd., Winnipeg, $300,000.
Ontario.— Arcade Brantford, Ltd., Hamilton, $500,000;
Cobourg City Dairy Co., Ltd., Cobourg, $60,000; Soo Hotel
Co., Ltd., Sault Ste. Marie, $500,000; Springvale Gas and
Oil Co., Ltd., Hagersville, $100,000; Lambeth Farmers Co-
operative Co., Ltd., Lambeth, $40,000; Winter Gardens As-
sociation of London, Ltd., London, $25,000; Grey Farmers
Co-operative Co., Ltd., Owen Sound, $9,900; Duntroon Far-
mers Co-operative Co., Ltd., Duntroon, $10,000; Pannill Door
Co., Ltd., Toronto, $60,000; IngersoU Ice Cream Cone Co.,
Ltd., IngersoU, $100,000.
Quebec. — Lr.. Co-operative Ouvriere, Ltd., No. 81a Pare
Sir Georges-Etienne Cartier, Saint-Henri Ward, Montreal,
$20,000; Universal Engineering Corp., Montreal, $100,000;
Laiterie Ferme Saraguay, Ltd., Montreal, $50,000; Northern
Amusements, Ltd., Montreal, $300,000; Tippet and Co., Ltd.,
Montreal, $15,000; Lachine Housing and Development Co.,
Ltd., Montreal, $100,000; Art Swiss Embroidery, Ltd., Mont-
real, $20,000; Penin.sula Lumber Co., Quebec, $650,000; Quality
Tool Works, l,td., Montre&l, $99,000.
TARIFF COiMMISSION SITS AT KINGSTON
The postponed session of the Tariff Commission
Kingston, Ont., was held on December 20. Thirteen were pre- '
sent to give evidence, three being r.epresentatives of the
United Farmers of Ontario. Six local men and three from
Belleville supported the present tariff.
December 31, 1920
THE MONETARY TIMES
Confederation Life
ASSOCIATION
INSURANCE IN FORCE, $133,000,000,00
LIBERAL INSURANCE AND ANNUITY
CONTRACTS ISSUED UPON ALL AP-
PROVED PLANS
HEAD OFFICE
TORONTO
STRIDING AHEAD
These are wonderful days for life insurance salesmen,
particularly North American Life men. Our representa-
tives are placing unprecedented amounts of new business.
All 1919 records are being smashed.
*" Solid as the Continent *' policies, coupled with splen-
did dividends and the great enthusiasm of all our repre-
sentatives tell you why.
Get in line for success in underwriting. A North.
American Life contract is your opening. Write us for full
particulars.
Address E. J. Harvey. Supervisor of Agencies.
North American Life Assurance Company
"SOLID .-V.S THE CONTIXENT'^
HOME OFFICE
TORONTO, ONT,
Important Features of the Eighth Annual Report
OF THE
Western Life Assurance Co.
HEAD OFFICE - WINNIPEG. MAN.
Assurances, New and Revi'ed - - - 51,211,447.00
Premiums on same .... 43,890.00
Assurances in Force - - . . 3,458.939.00
Total Premium Income - 109,586.03
Policy Reserves - . - - - 2U,497.00
Admitted Assets ..... 296,430.62
Average Policj- ..... 2,237.50
Collected in cash per 81,000 insurance in force 31.75
For particulars of a good agency apply to
ADAM REID, Managing Director - Winnipeg.
Insuring the Motive Power
The object of Business Insurance is to insure the ■ brains' of an organ-
ization. Knowledge, combined with administrative ability, is invaluable.
Every business, large or small, depends primarily upon one or more
experienced leaders. The death of any one of them would result in a heavy
financial loss. There would be heavy going until the deceased ofWcial
was replaced by someone of equal ability. The possession of a policy of
insurance payable to the firm in the event of the death of such a leader
is essential. Joint policies payable on the death of the first partner, or
(preferably) separate policies on the lives of the individual partners in
favor of the survivors are issued by The Mutual Life of Canada. It will
be the object of the Company to adapt each Business Policy to the parti-
cular requirements of the insuring firm. Consult our representative.
He will be glad to advise you regarding business insurance.
The Mutual Life Assurance Co. of Canada
Waterloo
Ontario
CO-OPERATIVE SERVICE
"To Policyholders between ihe Company and the Agents is the secret of our
success. Every representative is given the utmost assistance, but he
must look after our clients' interests. During the last 21 years The ConlinenUl
Life has built an enviable reputation for prompt payment of claims.
Write for booklet, "our Kest AdrertLsers." For Manager's positions in On
tario. apply with references, stating experience, etc.. to S. S. WK.tVKK.
Eastern .superlnleudent, at Head OlUre
THE CONTINENTAL LIFE INSURANCE CO.
Head Office
TORONTO, ONTARIO
ENDOWMENTS AT LIFE RATES
ISSUED ONLY BY
THE LONDON LIFE INSURANCE CO.
Head Office ... LO.NDON, CANADA
Profit Resolts in this Company 70% better than Estimates.
POLICIES 'GOOD AS GOLD."
MUTUAL HELP
is the root-idea of Life Insurance. Men join togetKcr
that ALL may bear, without disaster, loss that would
fall with crushing weight upon one alone.
Obtain particulars of this helpful alliance. While
you are doing so. procure particulars of THE BEST
THERE IS in Life Insurance. And the best Policies
— by the proof of .ACTU.AL RESULTS— are those of
THE GREAT- WEST LIFE ASSURANCE COMPANY
DEPT. "F "
HEAD OFFICE - - - WINNIPEG
.A postal will bring full information by
il. State
The Western Empire
Life Assurance Company
Head Oftice : 701 Somerset Building, Winnipeg, Man.
SASKATOON
Officks
EDMONTON
VANCOUVER
Queensland Insurance Co. Limited
of Sydney, N.S.'VV.
Capital Paid Up $1,750,000 Assets $4,015,811
Afmli Wantid in Unntnunttd Districli
Montreal Agencies Limited
Montreal
Moose Jaw, Saskatchewan
STOCKS AND BONDS
INSURANCE
FARM LANDS AND PROPERTY MANAGERS
KERN AGENCIES
LIMITED
Pkivatb Wires to WIN.MPEG. CHICAGO, TORONTO.
MONTREAL AND NEW YORK
HE MONETARY TIMES
News of Municipal Finance
British Columbia Will Make No Gifts to Municipalities— Aid Will be
Extended in Form of Loan-Red Deer Statement lor 1920 Shows Satisfactory
Results— Gait Hydro Profitable-Winnipeg Will Seek to Impose Income Tax
T" HAT the British Columbia government does not intend to
■ grant any financial assistance to municipalities in the
fonn of a gift is evident from an interview between Premier
Oliver and the city council of New Westminster. As a result
of the interview, the city will ask the government for a loan
of $25,000, the premier making it clear that any aid so
granted to municipalities by the province shall be loans re-
payable with interest. It was also agreed that the money
may be repaid in five instalments. With regard to the policy
of the government in not making grants, the premier stated
that the money might be spent more carefully if the city
had to pay it back.
Mr. Oliver said that the minister of public works is con-
sulting the department officials with a view to ascertaining
what work can be done at this season of the year. The min-
ister of finance is also taking stock of the position and will
present a report shortly. The executive is in the position
that it must take stock and find out where it is, financially.
This year the cost of work has been much heavier than esti-
mated— 30 per cent, higher, it was stated.
The premier said that it was his desire to work in har-
mony with the municipalities, but it would not do any good
to try to force the government to do anything not in the
interests of the province as a whole. What he had in mind,
he went on, is that under the new liquor legislation there
will be a certain amount of revenue coming to the munici-
I)alities, and that this sum will help them repay such sums
as they may borrow.
The government's attitude is apparent. It does not intend
to give anything away, and any municipalities which have
been expecting such aid will be disappointed. The forth-
coming session of the legislature is being anticipated with
interest, as many municipalities who are in financial diffi-
culties intend pressing claims on the province.
Milton, Ont. — In the annual statement of the town treas-
urer up to December 15, 1920, the following important items
are shown: Expenditures, $34,377; high school teachers' sal-
aries, $3,364; public school teachers' salaries, $5,1.50; fines
paid, $1,044; town's assets in excess of liabilities, $42,272.
Mimico, Ont, — The financial statement of the town, just
issued, shows an excess of assets over liabilities of $37,025.
The total assets of the town are $706,631. The Hydro-Electric
balance sheet shows a surplus of $18,720, the assets amount-
ing to $41,485. The school board report shows receipts of
*77,744, with expenditures of $75,570.
Lethbridge, Alta.— On the first of the new year the city
has to meet coupon interest to the amount of $50,000, of
which sum $25,000 is payable in New York. At the present
rate of exchange the city stands to lose a considerable sum
in remitting this amount.
Brantford, Ont.— With total receipts of $1,063,186, the
city expects to close the financial year with a deficit of $31,-
068. The net debt, however, has been decreased by $69,143
by an addition to the sinking fund and a reduction in gross.
The bonded debt as at December 31 will be as follows: Gross
debt, $4,069,168; sinking fund, $935,405; net debt, $3,133,763.
.\t Januarv 1. 1920, the figures were: Gross, $4,098,234;
.sinking fund, $895,328; net, $3,202,906.
Winnipeg. Man.— .\nother attempt to obtain the legis-
lative right to impose an income tax is to be made by the
city, members of the legislation committee have announcc<l.
They said they wished to lighten the burden of taxation by
increasing the number of contributors. "We all are in favor
of broadening the basis of taxation by means of an income
tax," .Mdtrnian George Fisher said. "We are in favor of
going ahead with this tax unless we see something better."
The city also intends to seek legislation providing for
redemption of property sold in tax sales without passing a
separate by-law in each case as the existing arrangement
requires.
Calgary, Alta.— Municipal hospitals have cost the city
during eleven months of operation this year the sum total
of $464,690, according to the report of City Comptroller Wood.
Last year for the same period there was expended on the
hospitals $354,655, so that this year there has been spent
$110,035 more on the hospitals. Revenue for the eleven
months amounted to $228,776. At the beginning of the year
the council estimated that $273,360 would have to be raised
by taxation to carry on the operations of the hospitals.
Gait, Ont. — Since the introduction of Hydro in Gait in
1911, this year has been the best in the history of the de-
partment, "a profit of $17,000 on the year's business being
reported recently by Manager W. H. Fairchild in his annual
report to the Public Utilities Commission. Gait has now
invested in its Hydro-Electric system $357,986, against which
there is a debenture issue of $184,477, with sinking fund of
$55,000. Depreciation reserve fund is now $69,230, and the
net surplus to the credit of the department is $104,000.
During the past year 210 new customers were served, and
the increase would have been greater had it not been for the
shortage of power. During the coming year it is planned
to erect a new utilities building, with practically new electric
equipment, which will provide for an increased load.
Edmonton, Alta. — Exemption from assessment of lands
forfeited to the city under tax sale proceedings is proposed
in a communication which Assessor T. Walker has sent to
the city council. Mr. Walker says that, as the 1921 assess-
ment rolls are now nearing completion, it is very desirable
that this question should be taken up by council. Under
the old tax regulations there was an eighteen months' re-
demption period on lands sold at a tax sale.
This allowance would bring the redemption limit on pro-
perties to December, 1920. In 1919 the Arrears Extension
Act was passed, which allowed owners to retain their rights
in tax sale lands by making agreements to pay the arrears
over a ten-year term. For this reason, says Mr. Walker, all
tax sale properties have been included in previous assess-
ments and taxes levied up to the end of 1920. In the as-
sessor's annual report it was pointed out that it was not
expected that more lands would be redeemed by the exten-
sion method, and that it was desirable that no further tax
levies should be made on land forfeited to the city.
Properties assessed at $6,230,000 are under forfeit to
the city, says Mr. Walker, in pointing out that it is necessarj-
for council to pass a resolution instructing him to exempt
these properties from assessment next year. "The effect will,
of course, be to reduce the taxable area of the city," says
the assessor, "and increase the tax burden proportionately
on the remaining taxable area. As, however, tax arrears
have accumulated to the full market value of much of this
land, it seems most undesirable to continue additional levies."
Revisions of the city's million-dollar insurance schedule
are being made by the comptroller and commissioners. This
schedule is checked up annually, when various readjustments
are made. Last year the city's insurance cost was $18,000.
Red Deer, Alia. — In the city's report for 1920, W. E.
Lord, mayor, makes the following remarks: "The city's
finances are now on a sound basis, and our banking and
financing arrangements are very satisfactory and agreeable.
The 1919 account has been reduced to a little less than ten
thousand dollars. All current demands have been paid. The
school board has been paid its full demand for this year. All
debentures and treasury bills have been paid on presenta-
tion. We have taken up of the treasury bills due next year
five thousand dollars, and we now have cash on hand to take
up the balance of all treasury bills due in 1921. The city's
December 31, 1920
THE MONETARY TIMES
j^^^s/sr
C.P.R. BUILDING
TORONTO
INVESTMENT BANKERS
CANADIAN GOVERNMENT
AND MUNICIPAL BONDS
HIGH GRADE INDUSTRIAL
SECURITIES
12 KING ST. EAST
TORONTO
REAL ESTATE
Farm Lands City Properties
Building Management Rentals
OSLER, HAMMOND & NANTON
WINNIPEG
NEW ISSUE
CITY
OF TORONTO !
5^" BONDS
Maturing 1921-1930
TO
Harris,
HELD 6.60%-6.70%
Forbes & Company
INCORPORATED
C. 1'. U. Build
TORONTO
ing 21 St. John Street
MONTREAL
N. T. MacMillan Company
Limited
FINANCIAL AGENTS
STOCK and BOND BROKERS
INSURANCE MORTGAGE LOANS
RENTAL AGENTS
305 McArthur Bldg., WINNIPEG, Canada
Membera of Winnipeg Real Elstate Elxchange. Winnipeg Stock Elxchange
c.
H.
BURGESS & CO.
Government and
Municipal Bonds
14
King
Street East - - Toronto
— 1
WINSLOW & COMPANY
Stock and Bond Brokers
GOVERNMENT AND
MUNICIPAL BONDS
INDUSTRIAL SECURITIES
300 Nanton Building, Winnipeg
T. S. G. PEPLER & CO.
Investment Brokers
CANADIAN GOVERNMENT
MUNICIPAL AND
CORPORATION SECURITIES
106 Bay Street Toronto
Siimi iiiiiiiiiiiiiiiiiiiiiiiiiniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiciiiiiiaiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiimiiiiiiiiiiiiiiiiiiiiiiiiir iiiiiiiimiiiii liiiimi immpriiiii
THE MONETARY TIMES
Volume 65.
debenture debt has been reduced since 1914 by $72,261.46,
but this must not be understood to mean that the city's total
debit is reduced by that amount, for in connection with the
arrears of taxes account there is the liability of the treasury
bills. However, we are in the best financial position we have
been in for years, and we must be very careful to hold our
position by avoiding unnecessary expenditures, practising
economy and undertaking no new obligations. We must pay
as we go, which may be done only by making the tax levy
sufficient to meet the requirements and then collecting the
taxes."
A. T. Stephenson, secretary-treasurer and commissioner,
also remarks: "There is a large surplus of assets over lia-
bilities, and part of this surplus will be absorbed in loss on
taxes in subdivision property, but there is an ample surplus
to take care of this loss. The arrears of taxes were capitalized
and consolidated, and a new issue made last year of $90,000
ten-year treasury bills. The proceeds of the sale of these
bills were used to pay off all outstanding treasury bills and
bank loans previous to 1919. All these have been paid off
excepting $8,000 treasury bills, due 1921, and sufficient money
is in the savings bank to pay off this issue when due."
The financial statement for the ten months ended Oc-
tober .31, 1920, shows total revenue assets of $230,342, as
compared with revenue liabilities of $134,443. Receipts are
shown as $336,317 and disbursements as $308,646, the amount
of cash on hand and in the bank being $27,671. The total
debenture debt is shown as $297,567 and the net debt at
$147,129.
Assessment for 1920 is given as follows: City net,
$2,237,060; exemptions, $539,000; business, $51,700; public
school, $3,325,015; separate school, $105,850.
Current taxes collected during the ten months totalled
$70,413, while 1919 taxes collected amounted to $9,604, and
an-ears, $17,093. Arrears of taxes, 1919, at the end of Oc-
tober amounted to $24,118, and other arrears, $93,894.
Government and Municipal Bond Market
Tenders on Lethbiidse Irrigation Bonds Close Next Week — Victory Bond ;
Prices Are Slightlj' VVealier — Few Municipal Issues Coming on Market,
But Numerous Money By-Laws Are to be Submitted to Ratepayers
MANY views as to the trend of the bond market at the
beginning of the new year have been expressed, but
within a short time concrete evidence will be cA hand. During
the pa.st week two municipalities, Kenora and Iroquois Falls,
showed their confidence in the strengthening of the market
by postponing their issues. The former is calling for ten-
• ders again on January 12.
Already there are several issues on the list for sale in
January, the most important of which is the Lethbridge
Northern Irrigation offering. Bond dealers in Toronto do
not appear to be very interested in the proposition. Irriga-
tion bonds are a new kind of investment to Canadian bond
buyers. In the United States they were not held in very
high repute, and it is feared that this might adversely affect
the sale of the Lethbridge Northern bonds.
The amount of the bond issue is placed at the figure
named in the district vote — namely, $5,400,000. This is the
estimated cost of the project, plus a margin to carry it on
for a year or two. The debentures ai-e issued on the credit
of the district and are repayable in thirty years. Under the
terms of the issue, interest at 7 per cent, is to be paid for the
first three years of the lofm, provision being made for these
payments out of the margin allowed for working expenses
during the first two or three years. Interest only will be
continued to be payable for the next four years, at the rate
of $5.45 per irrigable acre, but in 1920 payments on interest
and principal will begin. There will be twenty-three of these
annual payments, taking up the full amount of the loan
by 1950.
The Alberta government, in accordance with the legisla-
tion passed at the last session, will create a fund equal to
two years' interest, of $756,000, which will be availc'ble for
making up any arrears on the part of the ratepayers. This
fund is to be perpetual during the lifetime of the loan, but
it is limited at any time to the amount indicated. Stringent
action is provided for in case of such defaults, by which the
government may proceed against the landowners and recover
the amounts so paid by means of tax sales of the delinquent
lands. Protection for the bondholder is therefore amply
afforded, but the farmers in the Lethbridge Northern district
have no doubt about their being able to meet all their oV)li-
gations and having something to spai-e from the proceeds
of the increased crops they may re.osonably expect to harvest,
when they have irrigation.
Victory Bonds Weaker
Victory bonds again moved irregularly this week, and
the close on December 29 found prices slightly lower. The
1922 maturities were the only ones to register a net gain
for the week, while the 1933's were fairly steady and closed
at the same price as it opened. The following figures illus-
trate the movement during the last two weeks, &nd show the
standing as compaied with the controlled price: —
Control Last week. This week,
price. High. Low. High. Low.
1922 98 97% 95% 97% 96V4
1927 97 96y2 gSVz 96 95
1937 98 98% 97 98% 97
1923 98 97% 96% 97 95%
1933 96% 95% 94% 95% 94%
1924 97 95 94% 94% 93%
1934 93 93% 92% 92% 92
Coming Offerings
The following is a list of debentures offered for sale,
particulars of which are given in this or previous issues: —
Tenders
Borrower. Amount. Rate 9'c. Maturity. close.
Scarboro Tp., Ont. . .$ 130,000 7 30-instal. Jan. 6
Decker S.D., Man. . . 40,000 7 Jan. 7
Lethbridge Northern
Irrigation District 5,400,000 7 30-years Jan. 7
Laval-sur-le-Lac, Que. 60,000 6 Optional Jan. 8
Kenora, Ont 82,320 6% & 7 Various Jan. 12
Laval-sur-le-Lac. Que. — Tenders will be received until
January 8, 1921, for the purchase of $60,000 6 per cent, serial
bonds, dated November 1, 1920, and due November 1, 1950.
.\n alternative bid for five-ye&r bonds will also be accepted.
Kenora. Ont. — The town has extended the date on which
tenders for its debentures close from December 29, 1920, to
January 12, 1921. The debentures, which total $82,320.25, are
as follows: $10,000 7 per cent. 15-instalments, for electric
utility; $20,000 7 per cent. 20-year, for waterworks; $13,564.87
6% per cent. 33-year, for consolidation of debt; $6,000 7 per
cent. 10-year, for electric; $25,000 7 per cent. 20-instalments,
for public improvement; $7,755.38 7 per cent. 20-instalments.
for local improvement. F. J. Hooper, clei-k and treasurer.
Debenture Notes
Niagara Falls, Ont.— A by-law to raise $100,000 for
sewers will be submitted to the ratepayers.
Iroquoi.s Falls, Ont. — All tenders received on the $45,000
6 per cent. 20-year debentures (guaranteed by the province)
were rejected.
December 31, 1920
THE MONETARY TIMES
39
Why Not Select a
Convenient Investment ?
When you have money to invest, it is ad-
visable for you to place it • in a security
where principal is safe, where interest is
promptly paid and easily collected, and
which you can readily convert into cash.
Then why not buy Canadian Government
or Municipal Bonds? These bonds offer
the highest grade of security, are easily
marketable and the interest coupons, which
are attached to each bond, need only be
clipped oif and deposited in your bank on
the due date.
At existing prices, these bonds yield from
6.70% to 7.25%.
Write for a list.
Wood, Gundy & Company
Canadian Pacific Railway Building
Toronto Saskatoon
Montreal Toronto New York
Winnipeg London, Eng.
pj>^y.<i^#.mm.<AfAlklk>.
Bonds are
Cheap To-day
because 7 and 8% interest rates on
gilt-edged Bonds will not continue.
The next long swing in interest rates
will be down. Lower rates for
money will most certainly advance
the prices of existing Bonds and
fixed-income securities.
The large income-returns of to-day wil' then
he a thing of the past.
This, therefoie, is the time to buy.
Write for our list of Government, Municipal
and Corporation gilt-edged Bonds.
Royal Securities
^ 'CORF' ORATION
MONTREAL
TORONTO HALIFAX ST. JOHN. N.B.
WINNIPEG VANCOUVER NEW YORK
LONDON. Eng.
\V. L. McKINNON
DEA.N H. PETTES
We Buy and Sell
VICTORY BONDS
at Current Prices
W. L. McKINNON & CO.
Government and Municipal Bonds
McKINNON BUILDING -:- TORONTO
Telephone Adelaide 3870
IDlIBMlIlilllllliniMIIIIlllllIIDIllllH
RE -INVEST YOUR
JANUARY
Interest and Dividends
GOVERNMENT, PROVINCIAL and
MUNICIPAL BONDS
These Securities represent the safest
fornn of investment. We have a choice
selection of such bonds to offer.
Telephone, Call or Write.
W. A. MACKENZIE & CO.
Covcrnmcnt and Municipal Bonds
42 Kins St. West
TORONTO -:- CANADA
ilUMDimillliUlllffllllilDililllilllllllllH
THE MONETARY TIMES
Volume 65.
St. Thomas, Ont. — The Ontario Railway and Municipal
Board has sanctioned the issue of $.50,000 debentures for the
purpose of enlarging the gas mr.an service and works in the
city.
Vancouver, B.C. — Ratepayers will be asked to vote on the
following money by-law.s in .January: $500,000 for roads and
streets; $241,000 for school purposes; $7.5,000 for waterworks;
$25,000 for bridge.
Saanich. B.C. — The $200,000 waterworks debenture by-
law, which WK'S rejected by ratepayers some time ago, will
be again submitted on January. The only change from the
original draft is that the interest rate has been increased to
6^^ per cent.
Fort Garry R.M., Man. — On .January 14, 1921, voting will
take place on a by-law E-uthorizing the I'aising of $50,000 for
school purposes.
Brooklands S.I)., Man. — Two by-laws will be submitted
to ratepayers on January 22, 1921, authorizing the raising
of $40,000 and $80,000 for school purposes.
Saskatchewan. — The following is a list of debentures
authorized by the Local Government Bo&rd from December
(i to December 18, 1920: —
Rural Telephones — 8 per cent. 15-years annuity: Her-
schel, $1,500; Rainton, $1,000; Yellow Lake, $3,100; Biggar
Neola, $14,700; Scott, $3,900; Spalding, $16,000; Doyton,
$10,600; Leslie, $14,800; Frankslade, $1,400; Fern Glen, $3,-
000; West Hague, $8,000; Warrior, $15,000; Blaine Lake,
$18,300.
School Districts — Findlator, $800 8 per cent. 20-years
annuity; Ceylon, $1,500 8 per cent. 10-years annuity; Derby,
$1,000 8 per cent. 10-years annuity; Harvest, $1,000 8 per
cent. 10-years annuity.
Town of Maple Creek, $'4,000 6V2 per cent. 10-years an-
nuity, for water meters.
Mariott R.M., $8,098 8 per cent. 15-instalment, for Rose
Union Hospital.
Edmonton, Alta.— There was a good deal of interest in
the arrest of J. L. Etheridge, former president of Morris
Bros., and the report of the collK'pse of the deal with the
Portland bond house. It will be remembered that this com-
pany purchased in September last $2,130,000 6 per cent, notes,
dated September, 1920, and maturing two, three and four
years after date, at a price of 97.29, and interim certificates
were issued for same. The city will not lose, however, ac-
cording to Mayor Duggrn. The bond issue was taken to
Portland last week by Secretary-Treasurer Barnhouse and
deposited with the First National Bank, to be given out to
the purchasers when the face value in cash was deposited.
According to a wire received by city officials from the bank,
the city is fully protected by the fact of the ba^nk holding
the bonds until the purchasers redeem them in cash.
There is also the possibility that the city will be able
to dispose of the unsold balance, if any, at a favorable price,
as an offer has been made by a Toronto house.
Bond Sales
Vorkton, Sask. — Stra-ng and Snowden, Winnipeg, have
purchased $100,000 7 per cent. 5-year bonds at a price of
97',i, and have also taken an option on $55,000 at 98 '2. The
town pays about 7.60 per cent, for its money at 97V-;.
Township of Teck, Ont. — On December 1, Hamilton H.
Wills and Company were awarded $10,000 (> per cent. 10-year
debentures at a price of 89.14, at which rate the municipality
paid slightly more than 7.50 per cent, for its money. The
securities are not guaranteed by the province.
Saskatchewan. — The following is a list of debentures re-
ported sold by the Local Government Board from December
G to 13, 1920:—
Schools.— Hyas, $15,000 20-years 8 per cent.. Coot Hill,
$4,000 15-years 8 per cent., Franksland, $3,900 15-years 8 per
cent.; Wr.-terman-Waterbury Co., Regina. Semans, $25,000
20-years 8 per cent.; H. J. Birkett, Toronto, Ont. Pleasant
Grove, Sl.lOO 10-years 8 per cent.; C. M. Gripton, St. Cath-
arines. Highland $1,050 10-years 8 per cent.; Walter Martin,
Kegina. Cottage Grove, $2,.500 10-vears 8 per cent.; Stand-
ard Rank.
Rural Telephones. — Marcelin, $4,000 15-years 8 per cent;
local purchK'ser. Little Manitou, $2,500 15-years 8 per cent;
Wood, Gundy and Co., Sa.skatoon. Wroxton-Kessock, $5,200
15-years 8 per cent.. Mikado, $10,000 15-years 8 per cent.;
R. 0. Berwick Ltd., Regina. Fort Felly, $1,200 14-years 8
per cent., S. W. Moosomin, $24,500 15-years 8 per cent.; W.
L. McKinnon and Co., Regina. Elbow Lake, $11,900 15-ye&rs
8 per cent; Harris, Read and Co., Regina. Marquis, $1,800
15-years 8 per cent.; C. W. Milestone, Moose Jaw. Twin
Valley, $3,500 1.5-years 8 per cent.; W. D. Craig, Regina.
Village.— Fenwood, $700 10-years 8 per cent.; H. C.
Riddel!, Fenwood.
Midland, Ont. — C. H. Burgess and Co. have been awarded
.$79,227 61/2 per cent. 19 and 20-instf,'lment debentures at a
price of 98.61: At this rate the town pays about 6.75 per
cent, for its money. There were two bids the same, but the
securities were awarded to C. H. Burgess and Co., presum-
ably in view of the fact that the securities of the munici-
pality were handled by that company previously. Tenders
were as follows: —
C. H. Burgess and Co 98.61
Dyment, Anderson and Co., and Turner,
Spragge a-nd Co 98.61
A. Jarvis and Co 98.57
R. C. Matthews and Co 98.17
A. E. Ames and Co 97.89
Dominion Securities Corp 97.78
N. F. Jarvis and Co 97.10
New Brunswick. — The following tenders were received
by the province for its $1,750,000 6 per cent. 15-year deben-
tures. Bids were asked for securities p&yable in Canada and
New York, and Canada only: —
Canada Canada
only. and U.S.
Wood, Gundy and Co., National City
Co., Ltd., and Eastern Securities
Co., Ltd 95.14
Wood, Gundy and Co., National City
Co., and E. H. Rollins a-nd Sons 95.53
A. K. ,\mes and Co., and J. M. Robinson
and Sons 95.11 97.50
.-^. Jarvis and Co., and Morrow and
Jellett 94.03
Osier, Hammond and Co., C&nadian
Debentures Corp., C. H. Burgess
and Co., and Housser, Wood and Co. 93.517
W. -A. Mackenzie and Co., and R. A.
Daly and Co 93.37 96.06
Dominion Securities Corp., and W. F.
Mahon and Co 93.147 ....
Harris, Forbes a^nd Co 96.16
The issue was awarded to the highest bidder for bonds
payable in Canada at the price of 95.14, as stated above,
.■^t this i-ate the pi-ovince pays slightly n ore than 6i-! per
cent, for its money.
Cochrane, Ont. — Brent, Noxon and Company have pur-
chased $32,000 6 per cent. 20-instalmciU at a price on about
a 7 per cent, basis.
Dundas, Ont. — R. C. Matthews and Conipa.ny have pur-
chased $64,000 512 per cent. 20-year debentures and $55,995
5\2 per cent. 30-year debentures. The proceeds of the issues
will be used for school and sewer purposes.
M.VM'I'OBA INVITES TENDERS
The province of M&nitoba is calling for tenders until
January 5, 1921, for the purchase of $2,000,000 6 per cent.
10-yea)- bonds, interest and principal payable in New York
as well as Canada. The securities are dated January 2, 1921.
Proceeds in Canadian funds, payment and delivery, Winnipeg,
Toronto or Montreal. Interim certificates will be ready within
one week of purchase.
December 31. 1920
THE MONETARY TIMES
City of Halifax, N.S.
6% BONDS
Due January 1st, 1931
Print-ipal and semi-annual intertst payable at Toronto. Montreal.
Halifax. Quebec
Denominations, $1,000
PRICE: 96 36.5 AND .\CCRUED INTEREST
Yielding 6.50%
Full particulars
Eastern Securities Company, Limited
ST. JOHN, N.B.
HALIFAX, N.S.
Western Municipal & School
Debentures
TO YIELD
6%
71'
THE BOND AND DEBENTURE CORPORATION
OF CANADA, LIMITED
CORRESPONDENCE
INVITED
L'NION TRUST BUILDING
WINNIPEG
CANADIAN)
IPACIFIC/
Bureau of
Canadian
Information
^^m
T'HE Canadian Pa-
' c ific Railway,
through its Bureau
of Canadian Infor-
mation, will furnish
you with the latest reliable information on
every phase of industrial and agricultural
development in Canada. !n the Reference Li-
braries maintained at Chicago, New York and
Montreal are complete data on natural resources,
climate, labor, transportation, business openings,
etc., in Canada. Additional data is constantly
being added.
No charge or obligation attaches to this service.
Business organizations are invited to make use
of it.
Canadian Pacific Railway
Department of Colonization and Development
165 E Ontario St.
Chicago
33S Windsor Station
Montreal
1270 Broadwi
New York
ACCOUNT BOOKS
Loose Leaf Ledgers
BINDERS, SHEETS and SPECIALTIES
Full Stock, or Special Patterns made to order
PAPER STATIONERY, OFFICE SUPPLIES
All Kinds, Size and Quality, Real Value
THE BROWN BROTHERS limited
Simcoe and Pearl Streets
TORONTO
Dominion Textile Company
Limited
Manufacturers of
Cotton Fabrics
Montreal Toronto Winnipeg
Very Attractive —
— is this new issue of a
7% Canadian Industrial Bond
carrying a bonus of Common Stock
payable in New York funds.
Asl( us for full parlicutars.
R. M. HEFFERNAN & CO., Limited
HEAD OFFICE : 204 Jackson Building, OTTAWA
Investment Holders
Increase Your Income With Safety
We request you to sen<^ us. without obligation, a
list of your holdings.
We may be aLle to suggest a method of increasing
your income without decreasing your security.
Your InvcstrncnlBu
will he appreciaicJ
Gillespie, Hart & Todd, Ltd.
Head Office
711 FORT STREET.
VICTORIA. B.C.
Branch
414 PENDER STREET,
VANCOUVER, B.C.
THE MONETARY TIMES
CORPORATION SECLRITIES MARKET
Stock I'rices Move Upward— Paper Issues Most Prominent-
Selling Less Urgent and Better Demand— Loew's
Merger Approved
THOSE who have been regarding the business situation
TOth apprehension should find encouragement in the
movement of stock prices during the past week. The mar-
kets, both in Montreal and Toronto, presented a much better
appearance at the close on December 29. Nobody has dared
predict how long the upward movement will continue or how
steady it will be, but the greatly improved sentiment would
seem to indicate a much better future for Canadian stocks.
Steadiness and strength in New York led to a better
tone here, while less urgent selling and good demand contri-
buted to the marking up of prices. The sudden rally on De-
cember 23 was considered too drastic to be good, but the
steadiness since that date' has brought about a different
feeling.
Paper stocks have once more come to the fore, undoubt-
edly in response to the strong financial statements presented
by Wyagamack and Brompton. The "merger" issues also
gave a much better account of themselves. An advance in
Montreal of sixteen points on bids, without offers, by Windsor
Hotel was explained when it was stated that the directors
of the company have received an offer through the Crown
Trust Company to take an option on the company's stock
at $175 per share. The name of the party taking the option
has not yet been ascertained, but the proposal is being con-
sidered. " For some time there have been rumors that a
strong syndicate is anxious to buy the hotel. Three weeks
ago ten shares of stock sold at 82, so that the advantages of
such a deal to present shareholders is readily apparent.
The following figures show the day-to-day trading for
the week ending December 29: —
Montreal. Toronto.
Listed stocks. Bonds. Listed stocks. Bonds.
' Thursday 12,788 $ 229,050 1,942 $ 454,150
Friday 7,365 285,500 1,135 73,300
Monday 7,341 255,050 2,629 341,700
Tuesday 13,383 306,700 1,809 205,850
Wednesday . . . 13,847 327,350 1,496 344,000
Totals .... 54,724 $1,403,650 9,011 $1,419,000
The figures in the previous week were: Montreal, listed
stocks, 89,023; bonds, $1,071,018. Toronto, listed stocks, 15,-
654; bonds, $2,754,560. A reduction in trading was due to
some extent to the holidays on Friday afternoon and Satur-
day, when the exchanges were closed, but the relief of selling
pressure was the principal factor.
Bondholders of the Marcus Loew's Theatres, Ltd., have
approved unanimously the $20,000,000 merger of Loew's
theatres in Canada. As Windsor shareholders also gave their
approval this week, all the interests connected with the merger
have given their approval and the consolidation can now be
jronsummated.
Capitalization Changes
The following companies, which are operating under
Dominion charters, have been authorized to increase their
capital stock. In each case the new shares to be issued vyill
have a par value of $100: —
Former Increased
Company. capital stock. to
Edmanson and Bates, Toronto, Ont. $ 100,000 $ 500,000
La Compagnie Dentaire Masson,
Ltee 10,000 1,000,000
Marshall Wells Co., Ltd., Winnipeg,
Man 1,000,000 2,000,000
Dominion Radiator Co., Toronto,
Ont 600,000 1,500,000
British American Oil Co., Ltd 1,500,000 3,000,000
Mason and Risch, Limited, Toronto, Ont., have been au-
thorized to decrease their capital stock from $1,000,000 to
$400,000 by cancelling 6,000 shares of unissued stock of $100
each and then increasing the capital to $1,500,000 by the
issue of 11,000 new shares of a par value of $100.
In January the New Brunswick Power Company will
increase its pi-esent bonded indebtedness of $1,750,000 by the
issue of $132,000 first mortgage bonds, due 1937, at 5 per
cent., interest and principal payable in New York funds. The
proceeds of the proposed issue are to be used for plant re-
placements.
MANITOBA WORKMEN'S COMPENSATION
By the Workmen's Compensation Act, which becomes
effective January 1, 1921, workmen in the province of Mani-
toba came under what is practically a system of state insur-
ance. Workmen's compensation has been operative in the
province since 1919, but the employers have hitherto dealt
with the insurance companies, where&s from January 1 they
will deal directly with the body representing the state, the
Workmen's Compensation Board, which will maintain a com-
mon accident fund, out of which compensation payments and
the cost of administration will be met.
Under the new act the compensation to be paid to a
worker for total disability is 66% per cent, of his wages.
In the event of death the widow will get $30 a month until
she dies or remarries, and, in addition, she will be allowed
$7.50 for each child up to the fourth, the maximum allowance
thus being $60 a month.
Nine racing associations in Ontario have made well over
two million dollars in profits in their meets this year. About
forty-two millions were wagered. The sums are totalled
from the annual reports to the provincial treasurer.
The Royal Trust Company's booklet "The Income Tax
and the Individual," which was found of great use to the
taxpayers, has been completely revised and rewritten, in view
of the great changes recently made in the law.
UNLISTED SECURITIES
(.Quotations
furnished to The .Monetary Times by A. J. Pattison, Jr.. & Co.. Toronto
iWeek ended Dec. 29th, 1920.1
"
Bid
Ask
Bid
Ask
Bid
Ask
Bid
Ask
Abbey's Salts
Abitibi Gen. Mort.B's...
.211
.^5
Sit. 25
Cuban Can. Sugar, com.
..pref.
13
41
Manuf.icturers Life
Marconi Wireless
170
I
199
2.50
109
19
115
Sterling Coal com.
22
Alta. P»c. Grain... com.
i;io
Davics William B's
93
99
MasseyHarris
99
Toronto Paper 6's.
80
88
'■ . . .pref.
75
82
Pom. Iron & Steel 5's 1939
64
69
MattaRama Pulp. ..pref.
70
80
Toronto Power. 5's (1924)
85
91
American Sales BooU.S's
9(1
Dom. Power com.
42
. . .com.
26
30
Trust & Guar...
65
72
Hrnndm Henderson. pfd.
81)
92
DunlopTirc pref.
88
92.75
.Mercantile Trust
91
United CigarStores com.
.40
4iritish Amcr. Assurance
7.50
12. .SO
Mexican Nor. Powcr..5's
8
li.'is
pref.
1.75
Hums. 1> 1st MtRe. ft's..
SH
101 .50
Eastern Car 6's
as
91.. SO
Morrow Screw 6*s
84
87.75
Western Assurance
10
Vl.W
.Can. Crocljer Wheeler pf.
71
Famous Players. 8% pfd.
80
Murray. Kay pfd.
70
Western Can. Pulp.com.
24
29
Can. Machinery ... com.
22
28
Goodyear Tire., pref....
National Life
160
Western Grocers. . ..pref.
65
70
6's.
73
79
G'rd'n. Ironside & Fare6's
93
North American Pulp. .
4.25
5.25
VVhalenPulp com
12.50
19
Can. Oil com.
62
69
Gunns. Ltd pref.
86
Nova Scotia Steel 6% deb
71
76.50
45
101
109
44
74
Harris Abattoir 6's
Home Bank
Imperial Oil
89.50
98
105
93.50
101
112
Ont. Pulp 6's
Page Herscy pref.
Riordon com. (new stk.)
89
83
■23
95
•26.50
pref
•CocUshutt Plow 7% pref.
52
.16
KinR Edward Hotel. .7's.
72.50
76.75
■■ pfd.
72
CollinKwnoJShipb'dR.e's
90
Lake Superior Paper. 8's.
89
95
R. Simpson pfd.
74
76.50
Crown Life Insurance...
75
London Loan & Savings.
83
South. Can. Power. pref.
67
73
December 31. 1920
THE MONETARY TIMES
4S
We Offer
SCHOOL BONDS
Province of Alberta
Malur
ing
7
10 and 15
to yield
lo J'i^"
Year,
We Specially Recommend these Bonds as Sound Investments
W. Ross Alger & Company
INVESTMENT BANKERS
Bank of Toronto BIdg. Royal Bank Chambers
EDMONTON CALGARY
The Bond House of British Columbia
WE ARE IN THE MARKET FOR
Early Maturity Government and
Provincial Bonds
PAYABLE NEW YORK FUNDS
Wire at our expense any offerings also any British
Columbia Government and Municipal issues.
BRITISH AMERICAN BOND
CORPORATION LIMITED
Vancouver, B.C. Victoria, B.C.
Our Service to Investors
INDUSTRIALS
' I ■'HE Securities issued hy several Canadian
-*- industries are as ^ood as gold bonds. They
can he purchased through us by persons of
limited means. They pay high dividends and
capital is secured.
These Securities present no speculative risks
because their market value is maintained by
steady expansion and the unusually stronji re-
sources behind them.
As a means of steady money accumulation, par-
ticularly attractive to those of limited means,
the list of Securities which can be negotiated
through us calls for consideration. A letter
endorsed "Service to Investors " will bring you
the information you require.
Address : —
M. S. WHEELWRIGHT & CO.
Canadian Investment Securities Limited
TRANSPORTATION BLDG.,
132St.PeterSt. MONTREAL 63 Sparks St.
QUEBEC OTTAWA
MAHAN-WESTMAN, LIMITED
FINANCE INSURANCE - REALTY
432 Pender Street, W., Vancouver, B.C.
Dr. J. W. MAHAN J.A WESTMAN
President M.inaflinR Director
OLDFIELD, KIRBY & GARDNER
INVESTMENT BROKERS
WINNIPEG
Branches— SASKATOON AND CALGAKY
Canadian Managers
at Winchester St.. B.C.
H. M. E. Evans & Company, Limited
FINANCIAL AGENTS
Bonds Insurance Real Estate Loans
Union Bank BIdg., Edmonton, Alta.
P. M. LIDDELL & COMPANY
Investment Bankers. Fiscal Agents
Insurance Brokers
826-7-8 ROGERS BUILDING, VANCOUVER, B.C.
Northern Securities, Limited
ESTABLISHKI) 1S06
GENERAL FINANCIAL BROKER
Confidential Advice on British Columbia Investments
Member of Mortgage and Trust Companies Associ.-|t.on of British Columbia
52S Pender Street W. VANCOUVER. B.C.
8. GEORGE HANSULD J. P.. Manager
F. S. RATLIFF & CO.
FARM LANDS—FARM LOANS
STOCKS AND BONDS
Medicine Hat Alberta
X
Vancouver District Property
Expert Estate Agents and ManaRers
Property Bought and Sold, Valued. Rented and
Reported on. Correspondence invited.
Vancouver
WAGHORN GWYNN Co., Ltd.
T. K. McCallum & Company
GOVERNMENT AND MUNICIPAL SECURITIES
Western Miiiilclpiil. Sriiixil hikI .Saohatrhew nn Kiiral Tele.
pliuiic <'o. <l<-l>eiiliireit H|ic<-lnllzpil In.
Correspondence invited
GRAINGER BUILDING - - SASKATOON
THE MONETARY TIMES
Volume 65
MONETARY TIMES WEEKLY STOCK EXCHANGE RECORD
MOXTICKAL— >V<-rli KiKlod Itcf. '^th.
'i-'igures supplied by Burnett & Co.)
StllCkM
Sales
Open
High
Low
Close
Ahitibi P.JtP
■MiM
52
.56?
.52
.56
pfd
Asbestos Corp
9«
72
84
72
82*
• pfd
45
S5
90
85
90
Anlcs-Holdcn
pfd
95
28
28
27
27
Atlantic Sugar
12«
20
21*
19*
20
•■ ....pfd.
1701
24*
24*
24*
24*
Oell Telephone
172
100
101*
100
lUI
Brazilian T.L.& Power
161S
28f
30
28*
30
B.C. Fish
30C
34
39:
34
39
Brompton Pulp & P. . .
11I68C
444
543
444
,54:)
Canada Cement
■Mb
56
57
56
57f
■■ ...pfd.
l.iS
89
90
m
90
Can. Con
Vi-t
.53
55
53
,55
Canadian Cottons
5''B
75
75
71
71
•■ .pfd.
6
6(i
68*
66
684
CanadianCar
10
34
34
34
34
■• ....pfd.
.sno
83
83
83
83
Canadian Gen. Elec...
48
92
92
92
92
Carriage Factories . . .
.1(1
7*
7*
7*
7*
Can. Steamship
1135
40)
44
39';
44
■ " pfd.
l.i5
63
644
at
64*
Con. Mining* Smcl. .
1075
16
18
16
18
Del Rys
:«is
83
86
82
86
145
27
3'M
27
30
Dominion Bridge
■il5
73
77
73
77
Dom. Coal pfd
Dom. Iron pfd.
13
69
69
69
69
Dominion Glass
170
.53
55
,53
54
..pfd.
Dom. Steel Corp
2.576
4(1*
43
40i
43
..pfd.
96
64*
65
64
65
Dominion Te.Ntile
H65
97
102
97
102
■• ....pfd.
87
90
99
89*
91*
Howard Smith
"liio
105
iii"
105
110
Illinois Tracti.jn ..pfd.
50
65
65
65
65
Kaministiqiia . .
(i34
92
92
92
92
Ualieof the Woods.
47
135
135
134
135
Laurentidc
■,i0»2
82*
9li
82*
91 J
38
35
Macdonald Co
KiO
20
20
20
20
.Mont. Cottons pfd.
10
90
90
90
90
Montreal Power
■illi2
76*
79
76
79
Telegraph...
29
no
110
110
110
National Breweries...
•1455
■12J
47
,421
47
Ogilvie Flour Mills...
131
17,5
160
175
180
.pfd
25
99
99
99
99
Ottawa L. H.&P
Ont. Steel Prod
80
93
95
93
95
15
250
2,50
200
QuebecRy. L. H.&P..
91S
18i
214
I8j
21*
•Riordswi Pulp& P
s;«
130
137
130
131
pfd.
5
93
9.3
ai
83
•St. Lawrence Fl. Mills.
.pfd.
Shawinigan VV. * P ...
4542
100
104
iixi
104
-Shcrwin-Williams.pfd.
: Spanish River
4790
79
86
79
86
■■ pfd.
3098
92
" Div.Vou.
•SL-Uauricc
■Steel Co. of Canada...
1677
8S3
59
bH
.59
■' ■■ pfd.
1
85-1
85i
:i65
51
.56ii
.50*
.561
Tuclictts
ss
41
41
41
41
TwinCity
Wabasso Cot'n
Wayaganiaclt P. & P..
480
82
86
1?
P6
Windsor Hotel
ItniikR
98
184
184
182
182
Hochelaga
Cmpcrial
■ ■ ' 74
ies '
iw"
iwj
' ier.' ■
5
III
I<I4
170
195
194
195
14
Z50
250
250
250
«oyal
167
I9:<
195
I9:<
1931
5
180
I42i
180
I42i
180
I42i
180
1424
Bond!*
Hell Telephone Co
111000
91
9U
91
91
MMKI
88
88
88
88
2.510(1
87
87
87
87
City Mont. Dec. f.s.l922
210(1
W'i
102}
1024
1024
" Maylis. 1923
(120(1
I06i
KM
106*
106
■ Sept.6's.l923
Dom. Can.W. Loan. 1925
3401
92
921
9lj
92S
19.11
(i20:(i 91
»5i
90i
91*
1937
2«992
94
^i
94
944
Victory Bonds. 192^..
I4.5(>0il
913
94S
9:15
94*
19.T4.. .
I2;I99S
92
93
92
92
•• 1922...
I03(i4t
97i
97*
9I!»
97i
•• 1927...
8S.5<1(]
96
961
954
953
1937...
19IS;"
974
98
97
97*
1923...
441 84
9«»
i»7
96
9R
•■ 1933...
2077B9
951
954
941
9H
noSTKKAV-Continued-
Sales Open High Low Close
Dom. Cottons
Dom. Canners
Dom. Coal. . , .
Do
Dom, Steel
Dom. Textile A
Like of Woods
.Mont. St. Ry
Mont. Power
Ogilvie Flour
Penmans
Price Bros . . .
Quebec Ry.L.H.&P..
Riordon
Sherwin-Williams. .
Spanish River
Steel Co. of Canada..
Waba^so Cotton
Wayagamack P. & P. .
1000
2000
1.500
57(MI
116(H)
S7J
• S7l 1
95
95 i
894
89*1
92
92 '
85
86
75
76
TOKO.XTO— Week Ended Itrc. 2»lli.
Stocks
Atlantic Sugar
Abitibi
Barcelona .
Bell Telephone ...
Brazilian Traction.
Burt. F. N
B.C. Fish
Can. Bread
Canada Cement . . . ,
& F.
Can
Can
Canadian Pa
les
Open
High
375
20
21J
356
.52
.57
.305
3'i
4i
64
10(1
1(11
Car
, Ele
ific R.
pfd.
Canada Steamship...
pfd. I
City Dairy j
Coniagas |
Crows Nest
Det. United
Dome
Dom. Tel '
Duluth t
MacUay Companies —
•• ..pfd.j
Maple Leaf
761 90?
60 9(1
396 39
N. S. Steel .
Nipissing .
Ogilvii
.Bur
Penman's pfd.
Porto Rico
■■ pfd.
Quebec R.L.H. &P
Riordon..
Rogers pfd.
Russell pfd.
Salcsbook , ...pfd.
SawyerMassey . . . .pfd
Smelters
Spanish River
..pfd.
Steel Corp
• pfd.
Steel Company . ,
...pfd.
Tooke pfd .
Toronto Ry
Trethewey
Tucketts
Twin City
Winnipeg Elec
K4lllkH
(Commerce
Dominion
Hamilton
Imperial
Merchants
Molsons
.Montreal
Nova Scotia
Royal
Standard.
Toronto
Union
tionii niid Trust
Col. Inv
Can. Perm
Toronto Gen. Tr. Rights
ICnndH
Quebec L. & P
Rio. Jan. T., L. & P....
Steel of Can
Sao Paulo
Sterling Coal
I 2'25
184A 1844 184*
564 564
TOUONTO— Continued
War Loaii.s
Sales
Open
High
Low
Close
Dom. Can.W.Loan, 1925
28300
921
92J
924
924
1931
1600
90
901
90
90i
1937
99000
95
95
94*
94
Victory Loan 1922 . . . ,
176350
97
97g
96+
97i
1923 ....
1533.50
96}
97
9,5*
95
1927 ....
52350
96
96
95
95}
1937 ....
67600
98;
984
97
97
1933 ....
776750
9.54
955
94*
1934
326200
92*
923
92
92!
1924 ....
74400
94 1
9IS
93*
944
WIMSilPE«-Week end«Ml
Iter.
i4tll.
Victory Loan 1922
" 1923
" 1924
•■ 1925
" 1927
•■ 1937
■• 1933
■■ 1934
War Loan 1931
■' ffi37
" 1925
Homelnv.&Sav.Assn,
Union Bank
j Sales; Open ; High Low I Close
96}
34250
I83(K)
6600
200
2650
22850
15050
34050
3000
3100
20
94i
%
91*
963
94i
914
95i
97J 97i
954 95*
92*
NEW ¥«»KK-Week ended Itec. «4tli.
Sales Open High 1 Low Close
Canadian Pacific
Canada Southern ....
Nova Scotia S.& Coal. [ .5400
Granby Consolid.ated , . [ 1800
Bonds
Dom. of Can. 5% 1921 1 75000 ..
S*% 19211 40000i.
5% 1926 50000 .
54% 1929 80000 .
5% 1931 ! 60001.
LOXWON, Eiig.— Week ended Pec. 18th.
Vov't, A Muu.
Canada., .3*%
•■ .... 3i% 193050
... 3*% 1909-34.
•' .... 4% 1940-60.
•' .... 44% 192025
Calgary 44% debs
5% debs
Edmonton 5% deb
5%bds.23-S3
Manitoba 4% Reg
44%
Nfld.3*%bds
Montreal 4*% Reg
4% Reg. 48-50
5% deb
Nova Scotia 4*% cons.
Quebec 3%
" 4';;,deb
Sask. 4% deb
S. Vancouver .5% cons
Vancouver 4% deb
Toronto 4%
3*% 1929
Victoria 3«% 1921-6...
" 3*% 1929-49...
" 4% cons
4*% cons. 1962
4% 1918-22 ...
54% cons.
Winnipeg 4% 1940-60...
4%<
KjillwayK
Can. Nor. 4% deb. 1939
■ 4'^o deb. 1930.
•• •• 5% deb
Can. Pac
■■ 4% deb.
'■ 4% pfd.
G.T.P. Br. 4% bd 1939.
GT.P.3%bds ..
G.T. P.4%1955
Gr. Trunk. . 4% guar.'
Gr. Trunk5% 1st. pfd-.
Gr. Trunk 5% 2nd pfd..
Gr. Trunk 4'S, 3rd pfd.,
Gr. Trunk 4% cons
Ont. & Quebec 5% deb.
P. Gt. East. 44% deb. '42
Ind.. Fin., Kir. I
Can. Car 7% 1
•• •■ 6% bds '
Can. Cement 7'a> pfd...:
Can. West Lumber S I
Can. Bk. of Commerce. )
Bank of Montreal I
Toronto Pow. 4«%deb.
Open
72i
High
Low
2tI
72J
60|
etH
73J
73i
73i
72
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71?
90
90*
90
79
79
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92
92
92
883
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883
754
75*
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743
82*
82*
m
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633
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723
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924
924
92i
123
123
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64*
64i
64i
58
58
58
98
98
98
764
76*
764
8IS
813
8IS
663
6ii
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66i
66S
67
67
93!
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931
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93i
93
69
69
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773
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773
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.55*
54*
84
84
84
92i
92i
91
162*
1644
159
66t
66}
653
614
62
614
884
894
88*
64
67
631
69
69J
69
60
61
60
424
4.5J
42
304
33*
29J
124
13:
12;
62
62:
613
73i
73
73!
78
78
78
102
102
102
107
107
1064
106
106
106
62
62
Si
44
44}
44
61
61
61
82}
loej
Dweraber 31. 1920
THE MONETARY TIMES
Corporation Finance
Brompton Company Has Prosperous Year — Wayagamack Also
Presents Good Statement — Canadian Pacific Railway Net Earninjjs
Again Show Substantial Increase — Coniagas Profits Are Lower
Dryden Pulp and Paper Company. — The only contracts
for new construction which have been made so far amount
to less than $200,000, and are to cover necessary work in
the present plant, which will add substantially to the sulphate
output.
The prices of commodities, machinery and labor are de-
clining, and it is expected that the company will be able to
carry out its construction program for considerably less than
estimated. The directors have decided to move slowly in the
placing of new contracts for this reason. In the meantime,
owing to the slun.p in commodities, which has included kraft
paper, sulphate pulp and building paper, the company's pre-
sent production, its operations will be necessarily rendered
less profitable than have been anticipated for the next few
months.
Canadian Pacific Railway. — While the November earn-
ings statement of the company does not quite mark up to
that of October, due to the seasonal falling oif in traffic, the
showing, on the whole, is a good one. Gross earnings during
the month at $23,799,146 were higher than any November
record in the history of the company, and exceeded last year's
figure by nearly $6,500,000. Net earnings inci'eased approxi-
mately 43 per cent, over last year. The detailed figures for
this year and last are as follows: —
Nov.. 1920. Nov., 1919. Increase.
Gross $23,799,146 $17,366,849 $6,432,296
Expenses 19.726,13.5 14,527,040 5,209,095
.\et 4,073,010 2,849,808 1,223,201
The November increase in net results reduced the de-
crease for the eleven expired mont'ns of the current calendar
year to the small sum of $319,888, gross earnings having
increased in the period by 22.6 per cent., as compared with
1919, while working costs grew by 28.4 per cent, in the in-
terval. The eleven months' figures are as follows: —
1920. 1919. Increase.
Gross $196,037,181 $1.59,903,476 $36,133,704
Expenses 165,106,209 128,6.52,616 36,453,593
Net 30,930.071 31,250,860 *319,888
*Decrease.
Granby Consolidated .Mining. Smelting and I'ower Com-
pany.— Employees of the company at the copper mines and
smelter at .4nyox, B.C., have announced their decision to
accept a slight reduction in wages. The agreement between
the men and the company, which takes into consideration
a reduction of wages of seventy-five cents per day, runs for
the months of January, February and March.
While a large number of other copper companies have
been forced to suspend operations, or at least to cui-tail pro-
duction, the decision of the men at .\nyox to accept the offer
of the company is regarded as particularly gratifying.
The Granby Company is to-day running closer to capa-
city than any other copper company on the North .American
continent. Average laborer's wages at An.vox for the next
three months in the new year will scale from $4 to $4.25.
Skilled labor is, of course, considerably higher, .-Vnyox now
paying a heavier scale than any other copper camp in Canada
or the United States.
The price of copper has been at the lowest ebb since
the date of the armistice, and as a result there is estimated
now to be more than 500,000,000 pounds of the red metal
held in storage, which copper companies cannot dispose of
excepting at a heavy loss. It is stated that many copper com-
panies which have never before had to become borrowers are
now forced to seek capital to continue production. Copper
conditions as reflected from .Anaconda show the mines of that
section to be operating on practically a 25 per cent, basis
of labor.
Coniagas Klines, Limited. — The annual report of the
company, which was presented to shareholders at the annual
meeting on December '-2 last at St. Catharines, shows that
profits for the twelve months ended OctJber 31, 1920,.
amounted to $512,380, compared with $645,352 in 1919. Total
assets are $6,734,972, as against $6,562,837. Tonnage of ore
mined was 97,634. as against 71,743. The company realized
an average of $1,225 an ounce for silver sold during the year,
as compared with $1.06 last year. The output of silver from
the mine was 994,235. as compared with 940,267 ounces the
previous year. This production was obtained from 97,624
tons of ore hoisted and concentrated. During the year the
following dividends and bonuses, amounting to 12'/2 per cent.,
were paid: —
November 1, 1919, $100,000; February 1, 1920. $100,000;
May 1, 1920, $100,000; bonus No. 17, May 1, 1920. $100,000;.
No. 49, .August 1, 1920, $100.00, making a total distribution
to October 31 of $10,040,000. There has been a total distri-
bution to date to the shareholders of $10,140,000, of which
$7,900,000 was paid in dividtnds. Last .January the company
acquired the 35-acre property just to the north of their pro-
pei-ty from the Trethewey Silver-Cobalt Mine, Limited, for
$100,000, including buildings and equipment.
In his report, R. W. Leonard, president, states: —
"Only 5.6 tons of high-grade ore wei'e shipped during
the past year by the Coniagas Company, and the m:ne is
MOW solely dependent upon the concentration of ores averag-
ing about ten ounces to the ton, according to reports pre-
sented at the meeting; the rcgrindin.g and retreating of .he
liiles of sand tailings which have accumulated during the lift-
of the mine, about one-third of which has been handled during
the year under review, and the cyaniding of some slimes
which were impounded during past years. The retreating of
these sand tailings and slimes was carried on at a moderate
profit.
"Having in view the changed conditions as aflfecting the
supply of labor and cost of materials which present ten-
dencies indicate, the directors are looking foiAvard to greater
economies in production and the management of the property
during the coming year. .A contingency, however, which may
hamper operations during the winter months is that the in-
tensely dry season which has prevailed throughout Northern
Ontario has lowered the water levels to such an extent that
it is doubtful if the necessary power will be available to
operate the mines during the latter months of the winter,
and this is a situation greatly to be regretted, as it will
cause much unemployment in the mining district."
H. H. Collier, of St. Catharines, has been appointed ta
succeed the late W. D. Woodruff on the directorate.
Brompton Pulp and Paper Company. — The annual state-
ment of the company for the period ended October 31, 1920,
reflects the prosperity of the pulp and paper industry during
the past year. Profits for the twelve months amounted to
$1,853,588, a gain of nearly 70 per cent, over those for 1919,
when the figures reached $1,098,337, and compare with $1,-
051,274 in the 1918 statement. After deducting $235,122 for
depreciation, against $188,499 last year, together with bond
interest and preferred stock dividends, there remained a bal-
ance available for application to the common shares of $1,-
340,886, compared with $687,383 in 1919 and $637,274 at the
close of the preceding twelve-monthly period.
The results of the year in this respect were equivalent
to $9.57 per share on the outstanding 140,000 shares of no
par value for which the old securities were exchanged earlier
in the year. Last year the company earned 9.8 per cent, on
its common capitalization and 9.1 per cent, in 1918. The
THE MONETARY TIMES
Volume 65.
earnings referred to are only those of the Brompton Pulp
and Paper Co. and do not include those of the concern's two
United States subsidiaries, the Groveton Paper Co. and the
Clareniont Paper Co., in which the Canadian enterprise owns
all the outstanding common stock. In his report to the share-
holders, the president, F. N. McCrea, M.P., pointing this out,
states that the earnings of the two subsidiaries have not been
taken into account in any way, as their fiscal years do not
end until December 31.
"It can be stated, however," Mr. McCrea goes on to say,
"that the combined earnings of these two companies will
approximate those of the Brompton Pulp and Paper Co., Ltd."
After disbux'sing among shareholders the sum of $665,000
during the year, against $350,000 in the two previous years,
there remained a surplus of $675,886 to carry into the cur-
rent year's accounts, compared with $337,383 in 1919 and
some $50,000 less in 1918.
As a result of such a prosperous year the company is
able to present a strong balance sheet. Figures in this sec-
tion of the statement show current assets exceeding liabilities
of a similar character by well over $2,000,000, despite the
extensive additions to the East Angus plant of the company
in process during the period. A bank loan of $375,000 which
appeared in the exhibit of a year ago was wiped out alto-
gether, and, in addition, the company was able to add the
substantial sum of $372,326 to its investments during the
year, bringing these up to $1,721,418. Cash holdings also are
shown at $244,111 in this year's statement, against $83,831
as at October 31, 1919.
Southern Canada Power Co., Ltd. — A satisfactory show-
ing in respect to both gross and net earnings is made in the
annual statement of the company, for the twelve months
ended September 30 last. Gross for the year aggregated
$663,.587, against $566,097 in the previous report and $475,009
in 1918, while the 1920 net of $324,467 compared with $263,-
293 last year and $210,517 in the preceding year. After
allowing for interest, discount on securities and bad debts,
amouting in all to $252,810, against $205,229 in 1919, there
remained a surplus as the result of the year's operations of
$71,657, out of which was paid preferred dividends amount-
ing to $13,027, the initial distribution on the securities having
been made in April last.
The total surplus carried forward into the current year's
accounts is given in the statement at $262,565, compared
with $203,935 a year ago and $145,871 at the end of the pre-
ceding period.
The balance sheet portion of the report discloses few
changes of an outstanding character, as will be seen in the
following comparative statement of the company's standing
at the end of the last two years: —
1920. 1919.
Plant, etc $8,219,558 $7,961,897
Current assets 510,134 412,036
Other assets 74,031 51,773
TotR.l assets 8,803,724 8,425,707
Preferred stock 292,200 285,200
Common stock 4,000,000 4,000,000
Bonded debentures 3,490,025 3,147,677
Mortgages 13,850 27,307
Current liabilities 723,369 748,787
Accrued liabilities 21,782 15,699
Reserve 2,858 ......
Profit and loss surplus 259,038 201,035
In their report to the shareholders, the' directors state:
"During the year the distribution plants were extended
to take care of the requirements of over 1,500 new customers,
bringing the total to slightly over 10,500 customers which
the company was serving at the close of the fiscal year.
The industrial expansion in the district served has continued
in a gratifying manner. Several new plants, requiring large
block.s of power, are nearing completion in the different
municipalities served by the company, and will shortly be
added to the list of customers. Amongst the new industries
which have located in the district during the past year are:
Jenckes Canadian Co.; Canadian Manhasset Cotton Co.; Ken-
worthy Bros, of Canada, Ltd.; Dominion Hair Felt Co.; But-
terfly Hosiery Co.; Canadian H. W. Gossard Co.; Macdonald
Wire Goods Co.; Edwin G. Schultz, Ltd.; and Waterville
Veneer and Panel Co."
Wayagamack Pulp and Paper Co. — That the market con-
dition under which the company has operated during the past
year have been of a most favorable character, is evident
from the financial statement for the year ended November
30, 1920, as, without any addition to plant, the earnings have
more than doubled, as compared with the previous year. The
profit and loss account shows that the gross income for the
year amounted to $2,152,707, as compared with $1,103,687
in the previous year. The net earnings were $1,108,807,
equivalent to 22.17 per cent, on the outstanding common
stock, and compa-red with $551,587, equal to 11.03 per cent,
last year.
The general statement of assets and liabilities also shows
some interesting changes, representing the much larger busi-
ness which the company is now handling. Total current
assets how stand at $4,445,627, and compare with $2,652,253.
These compare with current lia-bilities of $2,337,173, against
$585,095 a year ago. The current assets and current liabilities
represent in particular the large addition of materials on
hand, and the temporary financial arrangements which have
been effected to provide for their purchase, in anticipation of
additional financing, which will be carried out by the share-
holders of the company.
In inventories, the pulp wood, logs and lumber holdings
stand at $1,751,884, compared with $722,694; stores, chemicals
&nd fuels, $1,071,950, up from $303,577; logging expenses,
season 1920-21, $531,667, against $417,528. In current lia-
bilities, accounts payable stand at $937,836, up from $510,-
095. This year there also appears bills payable, including
payments on account of limits, $240,500, and bank loans
current for purchase of limits, $600,000, against the purchase
made during the course of the year. Reserve for war taxes,
1919-20, amounted to $413,837.
In the statement of fixed assets, the company also makes
provision for the expenditures made in the different depart-
ments during the course of the year, and buildings, plant,
machinery, etc., stand at $3,132,065, to which was added ex-
penditure during the yea-r of $530,995, making a total of $3,-
663,061. Property limits, real estate, etc., total $5,890,925,
and expenditure during the year $726,126, making a total of
$6,617,051, from which was deducted for stumpage $297,900,
leaving a total of $6,319,151, against $5,890,925 a year ago.
The total assets connplete at the end of the year amounted to
$14,725,259, compared with $11,989,382 a year ago.
INCOME TAX RULING ON DIVIDENDS
A ruling received by R. W. Gould, secretary of the
Montreal branch of the Canadian Manufacturers' Association,
from headquarters at Ottawa, making it clear that all divi-
dends payable up to December 31, 1916, whether paid out or held
as cash reserves, would be clear of income tax dues if dis-
tribution was made before the end of December, 1920. This
clears up considerable doubt as to whether companies whose
fiscal year ended during January, February or March, 1917,
would be liable to income tax on the whole of the previous
12 months, or only on that part of the year subsequent to the
end of 1916.
MACAULAY & NICOLLS
INSURANCE OF ALL CLASSES
ESTATES MANAGED
746 Hastings Street - VANCOUVER, B.C.
C. H. MACAULAY J. P. NICOLLS, Notary Public.
December 31, 1920
THE MONETARY TIMES
47
Wayagamack Pulp & Paper Company, Limited
DIRECTORS:
C. R. WHITEHEAD, President and General Manaeer. JAMES W. PYKE. Vice-President.
HUGH MACKAY. K.C., ALEX. MACLAREN, G. H. DUGGAN. SIR WILLIAM PRICE. NORMAN J. DAWES.
EIGHTH ANNUAL REPORT
Thr
Ri'
•s. P.Q.. December 16th. 1920.
at the 30th November, 1920, and
To the Shareholders:
Your Directors submit the Eighth Annual Report of the Company together with Balance Sheet
Profit and Loss Account for the year ending that date.
The earnings for the twelve months before providing for War Tax Interest on Bonds. Depreciation of Buildings and Plant, and Stump-
age written off Limits, amounted to $2,152,707.17.
The Company's Capital Assets have been increased during the year by the expenditure of $1,257,121.81 on account of Limits, new Paper-
making Machinery and Buildings. o^^r, nnn nn a ff*
During the year your Directors put the Common Stock on a Dividend basis, and declared dividends amountmg to $250,000.00. Alter pro-
viding for this amount and setting aside the sum of $366,000.00 for War Tax. there was added to the surplus the sum of $858,807.17.
At a Special General Meeting of the Shareholders held on the 9th of December. 1920, it was decided that the outsUnding 50.000 Common
shares of the par value of $100 each, be converted to 100.000 Common shares without nominal or par value, and that each Shareholder re-
ceive two shares of such new Capital stock, without nominal or par value for each one share then held by him. It was further decided
that the authorized Capital Stock of the Company should be increased by an additional 150,000 Common shares without nominal or par value.
It is the present intention of the Directors to issue 50.000 of the above shares rateably to the then Shareholders of the Company on
favorable terms to provide for the cost of new extensions recently made and new machinery recently purchased, and also to provide addi-
tional working capital for the Company's requirements. The remaining 100.000 Common Shares without nominal or par value will only
be issued when it may become necessary or advisable in the Company's interests.
Accounts have been audited by Messrs. Riddell. Stead. Graham & Hutchison, and their report is appended hereto.
Submitted on behalf of the Directors.
(Signed) C. R. WHITEHEAD. President.
BALANCE SHEET AS AT
ASSETS
CURRENT ASSETS:
Cash on Hand and in Bank $
Accounts and Bills Re-
ceivable $ 587,345.09
LESS:
Reserve for Bad and
Doubtful Debts 36.500.00
INVENTORIES:
Pulpwood, Logs and Lum-
ber $1,751,884.04
Stores, Chemicals and
Fuel 1,071.950.74
i'ulp and Paper 101.247.13
Logging Expenses Season
1920-1921. including sup-
plies at Depots 531.fi67.75
NOVEMBER 30th, 1920
LIABILITIES
CURRENT LIABILITIES:
Accounts Payable, Accrued Charges,
Bills Payable, including payments on
account of Limits
Bank Loans. Current and for pur-
cha
of Lii
lite
for War Tax 1919 and 1920.
Accrued Interest on Bonds
Dividend No. 4 Payable December Is
1920
937.836.12
240.500.00
600.000.00
413.837.79
70.000.00
-$ 2,337.173.91
Investments. including Bonds ac-
quired for Sinking Fund purposes
at Cost 142.268.50
BONDS 6^:; 40-YEAR 1st MORTGAGE:
Authorized S5.(
Issued *^''
Less Redeemed for Sinking Fund..
-$ 4.445.627.49
CAPITAL:
Authorized and Issued—
50.000 shares of $100 each fully paid
Reserve for Depreciation and Sinking
FIXED ASSETS:
Buildings. Plant. Machinery, etc.. as
at November 30th. 1919 $3.132.06.x98
Expenditure during year 530.995.81
Fund
General Reserve
Property. Limits, Real Estate, etc.,
at November 30th. 1919
Expenditure during
$6,617,051.27
Deduct for Stumpage 297.900.00
Bond Discount, less written off
PROFIT AND LOSS:
Credit Balance as at 30th November.
liiia 5
Add Profit for year $2,152,707.17
Bond Interest. $210, 000.00
Bond Discount 10.000.00
Depreciation . . 160.000.00
Stumpage 297.900.00
Deduct Reserve
for War Tax $366,000.00
Dividends No. 1
to No. 4 250.000.00
Contingent Liability
Customers' Notes un-
der Discount $ 228.639.38
Verified subject to our report of this date,
(Signed) RIDDEL, STEAD, GRAHAM & HUTCHISON. C.A.
Signed on behalf of the Board,
J. W. PYKE. Director.
HUGH MACKAY. Director.
Montreal. 16th December. 1920. AUDITORS' REPORT
The President and Shareholders,
■Wayagamack Pulp & Paper Company. Limitc
We have examined and audited the Books an
November. 1920. and report as fo'ln^'^-— ^ , p„, ^nd Paper on hand have been certified correct as to quantities and prices by
The Inventories of PulP"""-! and ^"J' S'"^'/;^^"^ ^Jj^o^^elves that they are valued on a basis of not more than cost
responsible officials of the Company, and "^^ ".^^ ^^„„ ^„a explanations we have required, and that in our opinion, the accompanying
We certify that we have obtained all ^J^ '"'"^"^^riirawn up so as to exhibit a true and correct view of the state of the Company's
Sheet as at 30th November. 1920, "..P':"P'=ji\;;r explanations given to us. and as shown by the Books of the Company.
(Signed) RIDDELL. STEAD. GRAHAM & HUTCHISON. C.A..
Chartered Accountants. Auditors.
Montreal, 16th December. 1920.
unts of the Wayagamack Pulp & Paper Company. Limited, for the year ended 30ih
Balance Sheet as at 30th November
affairs according to the best of oui
n format i
THE MONETARY TIMES
Volume 65.
K E (: E N T FIRES
There Has Been a Number of Larj;e Fires During the Past
Week — Toronto, MonUeal, Halifax and Berthierville,
Que., Suffered the Heaviest Losses
Amherstburs, Ont. — December 25 — Brick building on
Main Street, oceupied by the Imperial Bank, was damaged
by fire. The loss is placed at close to $10,000.
Berthierville, Que. — December 23 — The plant of the Do-
minion Blank Book Co., Ltd., was destroyed by fire. The fire
originated through an overheated furnace. The damage is
estimated at $300,000.
Chatham, Ont. — December 27 — The overheating of a gas
stove in the kitchen was the cause of a fire which di<l about
.$.3,000 damage to the residence of Mrs. Clark, Stanley Avenue.
Edmonton, .\lta. — December 25 — Fire starting from a
defective stove ruined the confectionery store and tea rooms
of Hepburn, Ltd., with a loss of $15,000. The Regal Fruit
sind Meat Market on Jasper Street West was also damaged
to the amount of $3,500.
December 18 — A barn, owned by the General Adminis-
tration Society, adjacent to 11125 8()th Street, was destroyed
by fire. The barn cost $4,000 and was insured for $1,000.
Grand I'rairie, Alia. — December 20 — Fire broke out in
the Stewart Sheet Metal Works, doing $500 damage to con-
tents and interior of the building.
Halifax, N.S. — December 24 — Several buildings in the
heart of the banking district were destroyed by fire. The
buildings destroyed were Wood Bros. Co., Ltd., dry goods and
ladies' wear; .41fred E. Nigris, manufacturing furriers, and
the City Music Store. The loss is estimated at $500,000.
Jasper, Ont. — December 2.3 — Large steel barn, owned by
Roy Willow, was desti'oyed by fire. Insurance of about $6,000
was carried on the structure and contents, which were valued
at $15,000.
London, Ont. — December 28 — Store owned by the Cronyn
Estate at 121 Dundas Street was damaged by fire to the
extent of $2,000 to the building and of approximately $20,000
to $30,000 to a stock of women's furs and cloaks, owned by
a syndicate of Toronto manufacturers. There is insurance
of $30,000.
Milton, Onl. — December 15 — Barns on the farm of
Samuel .'\lcxander, corner of Dundas Street and the town
line of Trafalgar, were destroyed by fire.
.Moncton, N.I5. — December 15— Fire that caused between
.$25,000 and $30,000 damage to building, plant and stock broke
out in the basement of the "Times" office.
^lontreal, ({ue. — December 14 — The premises of the Lewis
S. Jaslow, Inc., 328 St. Catherine Street West, was damaged
by fire. The loss is $10,000.
December 17 — Damage estimated at $5,000 was done by
fire at the premises of John Shamy, 31 Bonsecours Street,
;ind of Saykaly Brothers, 35 Bonsecours Street.
Montreal, ({ue. — December 22 — Fire of unknown cause
broke out in the store of Joseph W. Hava, ladies' tailor,
367 St. Catherine Street West, and considerable damage was
done. The premises of the Dominion Wine Distributors Co.,
427 St. James Street, was damaged by fire.
December 23 — Damage amounting to $10,000 was done
by a fire which broke out in the first floor of the Dollard
School, 2615 St. Urbain Street, and spread through an air-
shaft to the third floor.
December 24 — The premises of the United Silk Co., on
the seventh floor of the Dandurand Building, at the corner
of St. Catherine and St. Denis Streets, was damaged by lire
to the extent of $25,000.
December 27 — Building at Nos. 29 and 31 William Street
was damaged by fire. The loss is estimated at $105,000.
Ottawa, Ont — December 25 — The clubhouse of the Ot-
tawa branch of the Great War Veterans' .Association, at the
.south-east corner of Cartier and Cooper Streets, was <lani-
•aged by fire. The loss is estimated at $12,000.
Oxford, N.S.— December 22 — Scotia Woodworkers, Ltd..
:i woodworking factory owned by the firm of Davison and
Park, lumber nierchants, Halifax, was completely destroyed
by fire, er.tailing a loss of $100,000. The fire is thought to
)iave been causid by spontaneous combustion.
Regina, Sask. — December 23 — Fire of unknown origin
caused the destruction of the riding school at the Royal Cana-
dian Mounted Police barracks. The loss is estimated at $25,-
000. The shops operated by Alex. Young, Ltd., cut stone and
monumental contractors, were destroyed by fire. The loss is
estimated at $25,000, and is partly covered by insurance.
Shcrbrooke, Que. — December 22 — The building occupied
by the A. J. Chociuette shoe repairing shop at 72 Welling
Street North was damaged by fire.
St. Catharines, Ont. — Three boathouses on the old Wel-
land Canal at Lock 2 were damaged by fire. One of the
houses, owned by John O'Gorman, contained his $2,000
launch, which was destroyed. The total loss is $5,000.
St. John's, Nfld. — December 23 — Star Theatre was dam-
aged by fire. The loss is placed at $50,000. The Smallpox
Hospital was destroyed by a fire which was caused by a de-
fective chimney.
St. Peter's, C.B. — The insane asylum was destroyed by
fire. Tliere were thirty patients in the building, but it is
believed that all escaped.
St. Stephen, N.B. — December 15 — Residence of Henry
.\cke was destroyed by fire. The loss is estimated at $60,000.
The insurance was placed as follows: Dwelling, $5,000, in
the Hartford, J. M. Flewelling; furniture, $1,000, New York
IJndei-writers, White and Calkin, St. John; stock, Palatine,
$5,000, F. C. Murchie, St. Stephen; Insurance Company, of
North America, $5,000; Yorkshire, $5,000; Acadia, $5,000,
J. M. Flewelling; British Empire, $3,500, C. E. L. Jarvis and
Son, St. John; .^tna, $2,000, H. Murchie; Atlas, $1,500, White
and Calkin.
Sunbury, Ont. — December 25 — Barn on the farm of Fred-
erick Cummings was destroyed by fire. There was no insur-
ance.
Sudbury, Ont. — December 20 — The Laberge Building was
destroyed by fire, which started in the elevator or dumb
waiter, and which resulted in a loss of $65,000.
Sydney Mines, N.S. — December 16 — A three-story wooden
building, owned by John McLeod, was destroyed by fire.
The fire originated in an overheated kitchen stove. The
building was valued at $15,000 and was insured for $7,000.
Toronto. Ont. — December 24 — Building, owned by E. B.
Shuttleworth, at Victoria and Dundas Streets, was destroyed
by fire. The loss is estimated at $250,000.
December 26 — Three motor cars were badly damaged by
a fire which broke out in a garage owned by the Meade
Estate and run by Miss Cryderman at 252 Bloor Street West.
The damage to the building is $1,000.
December 29^Brick building at 54 and 56 Wolseley
Street was damaged to the extent of $2,000, and caused a
loss of $10,000 to S. B. Beare, stationer, and the Newport
Shoe Co. ■ Residence of Dr. Chapin, 2 Tennis Crescent, was
damaged to the extent of $2,500.
Toronto, Ont. — December 21 — The three-story building
at 114 Adelaide Street West was damaged by fire, which
resulted in a loss of $15,500.
December 22 — Boxes igniting from hot metal caused
fire which was discovered in the moulding-room of the Wil-
liam and J. W. Grcey foundry, Church and Esplanade Street.
The loss was $700 to building and $300 to contents.
Thamesville. Ont. — December 20 — .\ fire, which is be-
lieved to have started from a pipe in the kitchen stove, de-
stroyed the residence of William Pickard. The loss was
covered by insurance.
Winnipeg, Man. — December I!) — Stable at the rear of
1357 Winnipeg .Avenue was destroyed by fire. Two horses
belonging to Samuel Ashcroft, 355 Roseberry Street, were
suffocated. The loss is $1,000.
ADDITION Al. iMORMATION CONCERNING FIRES
Ontario. — The fire marshal's report for the month of
November shows that during the month there were 662 fires,
with an aggregate loss of $884,839. Manufacturing risks
were responsible for 37 fires.
HF The Monetary times
1
M66
V.65
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